PGDCX
Prospectus
Principal Diversified Income Fund
Prospectus
Overview
Performance & expenses
Holdings
Portfolio characteristics
Portfolio management
Literature
Overview
Performance
As of 12/31/2025
YTD
Returns shown for periods of less than one year are not annualized.
5.36%
1 year
5.36%
3 year
5.67%
5 year
2.18%
10 year
3.56%
Returns represent past performance and do not guarantee future results. Share price, principal value, and return will vary and you may have a gain or loss when shares are sold. Current performance may be lower or higher than quoted.
Highlights

Increase diversification and yield potential

  • Open architecture approach combines credit sectors and third-party managers targeting an incremental yield advantage over traditional, core fixed income.
  • Global, diversified opportunity set may offer more attractive income and total return potential than traditional, core fixed income.
  • Risk-aware portfolio construction incorporates macroeconomic insights with robust holdings-based risk analysis.
Fund details as of 01/29/2026 unless indicated otherwise
Fund ticker
PGDCX
CUSIP
74254V216
Benchmark
DI Blended Index (Linked)
NAV
$11.80
Total fund assets
Total Fund Assets as of 12/31/2025
$2.30B
Dividend frequency
Monthly
Minimum investment
$1,000.00
Inception date
12/15/2008
Morningstar category
Multisector Bond
Investment approach The investment seeks income. The fund generally invests a majority of its assets in fixed income securities, such as investment-grade corporate bonds, high yield bonds (also known as "junk" bonds), preferred securities, securitized products, and emerging market debt securities, in an effort to provide incremental yields over a portfolio of government securities. Such securities include instruments with variable or floating interest rates. The fixed income portion of the fund is not managed to a particular maturity or duration. The fund invests in foreign, including emerging market, securities.
Performance & expenses
Annual returns Calendar year Distributions Expenses
As of 12/31/2025
As of 12/31/2025
Month end Quarter end
Performance and Expenses Data Table
Name 1 month 3 month YTD 1-year 3-year 5-year 10-year Since inception Overall
Excluding sales charge 0.27% -0.44% 5.36% 5.36% 5.67% 2.18% 3.56% 6.78% —
Including sales charge -0.72% -1.42% 4.36% 4.36% 5.67% 2.18% 3.56% 6.78% —
Benchmark performance
DI Blended Index (Linked)
 -0.15% 1.10% 7.30% 7.30% 4.66% 0.02% 3.27% — —
Morningstar category average
Multisector Bond
 0.26% 1.29% 7.75% 7.75% 7.40% 2.89% 4.07% — —
Morningstar percentile rankings
Morningstar percentile rankings are based on total returns 		— — — 92 89 70 82 — —
# of funds in category 374 368 353 353 334 302 209 — 334
Morningstar rating

Morningstar ratings are based on risk-adjusted returns.

The Morningstar Rating™ for funds, or “star rating”, is calculated for managed products (including mutual funds, variable annuity and variable life subaccounts, exchange-traded funds, closed-end funds, and separate accounts) with at least a three-year history. Exchange traded funds and open-ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar risk-adjusted return measure that accounts for variation in a managed product's monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. The Overall Morningstar Rating for a managed product is derived from a weighted average of the performance figures associated with its three-, five-, and 10-year (if applicable) Morningstar Rating metrics. The weights are: 100% three-year rating for 36-59 months of total returns, 60% five-year rating/40% three-year rating for 60-119 months of total returns, and 50% 10-year rating/30% five-year rating/20% three-year rating for 120 or more months of total returns. While the 10-year overall star rating formula seems to give the most weight to the 10-year period, the most recent three-year period actually has the greatest impact because it is included in all three rating periods. Morningstar ratings do not reflect the inclusion of sales charges. If sales charges were reflected, ratings could be lower.
— — — —
—
Returns represent past performance and do not guarantee future results. Share price, principal value, and return will vary and you may have a gain or loss when shares are sold. Current performance may be lower or higher than quoted. Returns shown for periods of less than one year are not annualized. Index performance information: no deductions for fees, expenses or taxes. Indices are unmanaged and individuals cannot invest directly in an index.
Performance and Expenses Data Table
Name 1 month 3 month YTD 1-year 3-year 5-year 10-year Since inception Overall
Excluding sales charge 0.27% -0.44% 5.36% 5.36% 5.67% 2.18% 3.56% 6.78% —
Including sales charge -0.72% -1.42% 4.36% 4.36% 5.67% 2.18% 3.56% 6.78% —
Benchmark performance
DI Blended Index (Linked)
 -0.15% 1.10% 7.30% 7.30% 4.66% 0.02% 3.27% — —
Morningstar category average
Multisector Bond
 0.26% 1.29% 7.75% 7.75% 7.40% 2.89% 4.07% — —
Returns represent past performance and do not guarantee future results. Share price, principal value, and return will vary and you may have a gain or loss when shares are sold. Current performance may be lower or higher than quoted. Returns shown for periods of less than one year are not annualized. Index performance information: no deductions for fees, expenses or taxes. Indices are unmanaged and individuals cannot invest directly in an index.
Performance and Expenses Data Table
Data 2025 2024 2023 2022 2021
Excluding sales charge 5.36% 4.28% 7.40% -12.20% 7.53%
Including sales charge 4.36% 3.29% 6.40% -13.04% 6.53%
Morningstar category average
Multisector Bond
 7.75% 5.96% 8.13% -9.85% 2.49%
Returns represent past performance and do not guarantee future results. Share price, principal value, and return will vary and you may have a gain or loss when shares are sold. Current performance may be lower or higher than quoted.
Performance and Expenses Data Table
Date Type Dollar per share
01/27/2026 Income 0.0442
12/29/2025 Income 0.0723
11/24/2025 Income 0.0604
10/28/2025 Income 0.0454
09/25/2025 Income 0.0459
08/26/2025 Income 0.0465
07/28/2025 Income 0.0443
06/25/2025 Income 0.0467
05/27/2025 Income 0.0473
04/25/2025 Income 0.0454
03/26/2025 Income 0.0460
02/25/2025 Income 0.0463
01/28/2025 Income 0.0436
12/27/2024 Income 0.0649
11/22/2024 Income 0.0618
10/28/2024 Income 0.0483
09/25/2024 Income 0.0493
08/27/2024 Income 0.0477
07/26/2024 Income 0.0504
06/25/2024 Income 0.0474
05/28/2024 Income 0.0489
04/25/2024 Income 0.0465
03/25/2024 Income 0.0475
02/26/2024 Income 0.0480
01/26/2024 Income 0.0464
12/27/2023 Income 0.1181
11/27/2023 Income 0.0522
10/26/2023 Income 0.0521
09/26/2023 Income 0.0513
08/28/2023 Income 0.0505
07/26/2023 Income 0.0510
06/27/2023 Income 0.0439
05/25/2023 Income 0.0446
04/25/2023 Income 0.0450
03/28/2023 Income 0.0437
02/23/2023 Income 0.0424
Expense ratio gross
As of current prospectus date
1.82%
Expense ratio net
As of current prospectus date
1.82%
Expense limit expiration date
—
Maximum up-front sales charge
—
Contingent deferred sales charge
1.00%
A contingent deferred sales charge of 1% may apply to redemptions made during the first 12 months. See the prospectus for details. Performance listed with sales charge reflects the maximum sales charge. In situations where the net and gross fund expense figures are different, the investment manager has contractually agreed to limit the investment option's expense. Differences may also be shown due to the investment manager choosing to pay certain expenses that would normally be payable by the fund. The gross fund expense figure does not reflect any waivers or caps on the mutual fund. Performance shown reflects the application of net expenses of the fund.
Holdings
Top 10 as of 12/31/2025
% of Assets % of Assets
% of Assets
1 iShares Broad USD High Yield C
2.30%
2 Principal Government Money Mar
2.26%
3 Specialty Steel
1.16%
4 Real Alloy Holding Inc
1.13%
5 Daiwa Securities Repurchase Ag
0.64%
6 Republic of South Africa Gover
0.62%
7 Vanguard Intermediate-Term Cor
0.60%
8 Baffinland Iron Mines Corp / B
0.55%
9 AthenaHealth Group Inc
0.50%
10 Engineered Machinery Holdings
0.46%
The holdings listed do not constitute a recommendation to purchase or sell a particular security. Cash and/or derivative positions that are not part of the core investment strategy will not be reflected in the top holdings list.
May not reflect current holdings or allocations.
Portfolio characteristics
Analysis
# of holdings as of 12/31/2025
3,183
Turnover ratio
Turnover is calculated semi-annually; reflects most recent available calculation. as of 10/31/2025
92.90%
Weighted avg duration as of 12/31/2025
4.22
R-squared (3-year)
Ranges from 0 to 100 and reveals how closely an investment's returns track those of a benchmark index. as of 12/31/2025
—
Sharpe ratio (3-year)
Measures how an investment balances risks and rewards. The higher the Sharpe ratio, the better the investment's historical risk-adjusted performance. as of 12/31/2025
—
Standard deviation (3-year)
Measures how much an investment's returns are likely to fluctuate. as of 12/31/2025
—
May not reflect current holdings or allocations.
Portfolio management
Jessica Bush, CFA
25 years of experience
Ben Rotenberg, CFA, CAIA
33 years of experience
May Tong, CFA
25 years of experience

No information
Literature
Investment materials Fact sheet
Commentary
Prospectus, Annual report, Semi-annual report and Statement of additional information
Fund update
Information statement November 2025
Information statement January 2026
Portfolio holdings 07/2025
08/2025
09/2025
10/2025
11/2025
12/2025
Principal Funds are distributed by Principal Funds Distributor, Inc. ALPS Distributors, Inc. is the distributor of the Principal ETFs. ALPS Distributors, Inc. and the Principal Funds are not affiliated.
Emerging market debt may be subject to heightened default and liquidity risk.
Fixed-income investments are subject to interest rate risk; as interest rates rise their value will decline. Lower-rated securities are subject to additional credit and default risks, as are mortgage-backed securities, which carry pre-payment risk and increased risk due to real estate exposure. International investing involves greater risks such as currency fluctuations, political/social instability, and differing accounting standards. These risks are magnified in emerging markets, which have increased liquidity risk. Equity investments involve greater risk, including higher volatility, than fixed-income investments.
The holdings listed do not constitute a recommendation to purchase or sell a particular security. Cash and/or derivative positions that are not part of the core investment strategy will not be reflected in the top holdings list.
NOT FDIC INSURED - MAY LOSE VALUE - NO BANK GUARANTEE
Morningstar percentile rankings are based on total returns and do not reflect the inclusion of sales charges. If sales charges were reflected, rankings could be lower.
Performance assumes reinvestment of all dividends and capital gains.
Principal Global Investors is the Investment Adviser of all funds included in the Principal Funds, Inc. Principal Funds are managed by Principal Global Investors, its boutique affiliates, and by many leading sub-advisors.
To obtain a prospectus, download prospectus online or call Customer Service at 1-800-222-5852 . Carefully consider a fund’s objectives, risks, charges, and expenses. The prospectus, or summary prospectus if available, contains this and other information. Please read it carefully before investing.
DI Blended Index (Linked) composition: March 1, 2022 and after, 100% Bloomberg U.S. Aggregate Index (covers the U.S. investment-grade fixed rate bond market and represents securities that are domestic, taxable, and dollar denominated), for the period prior to March 1, 2022, 80% Bloomberg Global Aggregate Index (a broad-based measure of global investment-grade fixed income) and 20% MSCI World Value Index NTR (includes large- and mid-cap securities across developed markets that exhibit overall value style), and for the period prior to January 1, 2019, 40% Bloomberg Global Credit Index (represents global investment-grade, fixed-rate, taxable corporate and government-related bonds), 30% Bloomberg Global High Yield Index (represents the global high yield bond market), and 30% MSCI ACWI Value Index NTR (a market cap weighted index that is a broad measure of global equity-markets). Net Total Return (NTR) includes dividends after the deduction of withholding taxes.
© 2026 Morningstar, Inc. All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete, or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.
The Morningstar Medalist Rating™ is the summary expression of Morningstar’s forward-looking analysis of investment strategies as offered via specific vehicles using a rating scale of Gold, Silver, Bronze, Neutral, and Negative. The Medalist Ratings indicate which investments Morningstar believes are likely to outperform a relevant index or peer group average on a risk-adjusted basis over time. Investment products are evaluated on three key pillars (People, Parent, and Process) which, when coupled with a fee assessment, forms the basis for Morningstar’s conviction in those products’ investment merits and determines the Medalist Rating they’re assigned. Pillar ratings take the form of Low, Below Average, Average, Above Average, and High. Pillars may be evaluated via an analyst’s qualitative assessment (either directly to a vehicle the analyst covers or indirectly when the pillar ratings of a covered vehicle are mapped to a related uncovered vehicle) or using algorithmic techniques. Vehicles are sorted by their expected performance into rating groups defined by their Morningstar Category and their active or passive status. When analysts directly cover a vehicle, they assign the three pillar ratings based on their qualitative assessment, subject to the oversight of the Analyst Rating Committee, and monitor and reevaluate them at least every 14 months. When the vehicles are covered either indirectly by analysts or by algorithm, the ratings are assigned monthly. For more detailed information about these ratings, including their methodology, please refer to the Morningstar shareholder disclosures .
The Morningstar Medalist Ratings are not statements of fact, nor are they credit or risk ratings. The Morningstar Medalist Rating (i) should not be used as the sole basis in evaluating an investment product, (ii) involves unknown risks and uncertainties which may cause expectations not to occur or to differ significantly from what was expected, (iii) are not guaranteed to be based on complete or accurate assumptions or models when determined algorithmically, (iv) involve the risk that the return target will not be met due to such things as unforeseen changes in management, technology, economic development, interest rate development, operating and/or material costs, competitive pressure, supervisory law, exchange rate, tax rates, exchange rate changes, and/or changes in political and social conditions, and (v) should not be considered an offer or solicitation to buy or sell the investment product. A change in the fundamental factors underlying the Morningstar Medalist Rating can mean that the rating is subsequently no longer accurate.
The Analyst-Driven % data point displays the weighted percentage of a vehicle’s pillar ratings assigned directly or indirectly by analysts.
The Data Coverage % data point is a summary metric describing the level of data completeness used to generate the overall rating.
Overview
Performance
As of 12/31/2025
YTD
Returns shown for periods of less than one year are not annualized.
5.36%
1 year
5.36%
3 year
5.67%
5 year
2.18%
10 year
3.56%
Returns represent past performance and do not guarantee future results. Share price, principal value, and return will vary and you may have a gain or loss when shares are sold. Current performance may be lower or higher than quoted.
Highlights

Increase diversification and yield potential

  • Open architecture approach combines credit sectors and third-party managers targeting an incremental yield advantage over traditional, core fixed income.
  • Global, diversified opportunity set may offer more attractive income and total return potential than traditional, core fixed income.
  • Risk-aware portfolio construction incorporates macroeconomic insights with robust holdings-based risk analysis.
Fund details as of 01/29/2026 unless indicated otherwise
Fund ticker
PGDCX
CUSIP
74254V216
Benchmark
DI Blended Index (Linked)
NAV
$11.80
Total fund assets
Total Fund Assets as of 12/31/2025
$2.30B
Dividend frequency
Monthly
Minimum investment
$1,000.00
Inception date
12/15/2008
Morningstar category
Multisector Bond
Investment approach The investment seeks income. The fund generally invests a majority of its assets in fixed income securities, such as investment-grade corporate bonds, high yield bonds (also known as "junk" bonds), preferred securities, securitized products, and emerging market debt securities, in an effort to provide incremental yields over a portfolio of government securities. Such securities include instruments with variable or floating interest rates. The fixed income portion of the fund is not managed to a particular maturity or duration. The fund invests in foreign, including emerging market, securities.
Performance & expenses
Annual returns Calendar year Distributions Expenses
As of 12/31/2025
As of 12/31/2025
Month end Quarter end
Performance and Expenses Data Table
Name 1 month 3 month YTD 1-year 3-year 5-year 10-year Since inception Overall
Excluding sales charge 0.27% -0.44% 5.36% 5.36% 5.67% 2.18% 3.56% 6.78% —
Including sales charge -0.72% -1.42% 4.36% 4.36% 5.67% 2.18% 3.56% 6.78% —
Benchmark performance
DI Blended Index (Linked)
 -0.15% 1.10% 7.30% 7.30% 4.66% 0.02% 3.27% — —
Morningstar category average
Multisector Bond
 0.26% 1.29% 7.75% 7.75% 7.40% 2.89% 4.07% — —
Morningstar percentile rankings
Morningstar percentile rankings are based on total returns 		— — — 92 89 70 82 — —
# of funds in category 374 368 353 353 334 302 209 — 334
Morningstar rating

Morningstar ratings are based on risk-adjusted returns.

The Morningstar Rating™ for funds, or “star rating”, is calculated for managed products (including mutual funds, variable annuity and variable life subaccounts, exchange-traded funds, closed-end funds, and separate accounts) with at least a three-year history. Exchange traded funds and open-ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar risk-adjusted return measure that accounts for variation in a managed product's monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. The Overall Morningstar Rating for a managed product is derived from a weighted average of the performance figures associated with its three-, five-, and 10-year (if applicable) Morningstar Rating metrics. The weights are: 100% three-year rating for 36-59 months of total returns, 60% five-year rating/40% three-year rating for 60-119 months of total returns, and 50% 10-year rating/30% five-year rating/20% three-year rating for 120 or more months of total returns. While the 10-year overall star rating formula seems to give the most weight to the 10-year period, the most recent three-year period actually has the greatest impact because it is included in all three rating periods. Morningstar ratings do not reflect the inclusion of sales charges. If sales charges were reflected, ratings could be lower.
— — — —
—
Returns represent past performance and do not guarantee future results. Share price, principal value, and return will vary and you may have a gain or loss when shares are sold. Current performance may be lower or higher than quoted. Returns shown for periods of less than one year are not annualized. Index performance information: no deductions for fees, expenses or taxes. Indices are unmanaged and individuals cannot invest directly in an index.
Performance and Expenses Data Table
Name 1 month 3 month YTD 1-year 3-year 5-year 10-year Since inception Overall
Excluding sales charge 0.27% -0.44% 5.36% 5.36% 5.67% 2.18% 3.56% 6.78% —
Including sales charge -0.72% -1.42% 4.36% 4.36% 5.67% 2.18% 3.56% 6.78% —
Benchmark performance
DI Blended Index (Linked)
 -0.15% 1.10% 7.30% 7.30% 4.66% 0.02% 3.27% — —
Morningstar category average
Multisector Bond
 0.26% 1.29% 7.75% 7.75% 7.40% 2.89% 4.07% — —
Returns represent past performance and do not guarantee future results. Share price, principal value, and return will vary and you may have a gain or loss when shares are sold. Current performance may be lower or higher than quoted. Returns shown for periods of less than one year are not annualized. Index performance information: no deductions for fees, expenses or taxes. Indices are unmanaged and individuals cannot invest directly in an index.
Performance and Expenses Data Table
Data 2025 2024 2023 2022 2021
Excluding sales charge 5.36% 4.28% 7.40% -12.20% 7.53%
Including sales charge 4.36% 3.29% 6.40% -13.04% 6.53%
Morningstar category average
Multisector Bond
 7.75% 5.96% 8.13% -9.85% 2.49%
Returns represent past performance and do not guarantee future results. Share price, principal value, and return will vary and you may have a gain or loss when shares are sold. Current performance may be lower or higher than quoted.
Performance and Expenses Data Table
Date Type Dollar per share
01/27/2026 Income 0.0442
12/29/2025 Income 0.0723
11/24/2025 Income 0.0604
10/28/2025 Income 0.0454
09/25/2025 Income 0.0459
08/26/2025 Income 0.0465
07/28/2025 Income 0.0443
06/25/2025 Income 0.0467
05/27/2025 Income 0.0473
04/25/2025 Income 0.0454
03/26/2025 Income 0.0460
02/25/2025 Income 0.0463
01/28/2025 Income 0.0436
12/27/2024 Income 0.0649
11/22/2024 Income 0.0618
10/28/2024 Income 0.0483
09/25/2024 Income 0.0493
08/27/2024 Income 0.0477
07/26/2024 Income 0.0504
06/25/2024 Income 0.0474
05/28/2024 Income 0.0489
04/25/2024 Income 0.0465
03/25/2024 Income 0.0475
02/26/2024 Income 0.0480
01/26/2024 Income 0.0464
12/27/2023 Income 0.1181
11/27/2023 Income 0.0522
10/26/2023 Income 0.0521
09/26/2023 Income 0.0513
08/28/2023 Income 0.0505
07/26/2023 Income 0.0510
06/27/2023 Income 0.0439
05/25/2023 Income 0.0446
04/25/2023 Income 0.0450
03/28/2023 Income 0.0437
02/23/2023 Income 0.0424
Expense ratio gross
As of current prospectus date
1.82%
Expense ratio net
As of current prospectus date
1.82%
Expense limit expiration date
—
Maximum up-front sales charge
—
Contingent deferred sales charge
1.00%
A contingent deferred sales charge of 1% may apply to redemptions made during the first 12 months. See the prospectus for details. Performance listed with sales charge reflects the maximum sales charge. In situations where the net and gross fund expense figures are different, the investment manager has contractually agreed to limit the investment option's expense. Differences may also be shown due to the investment manager choosing to pay certain expenses that would normally be payable by the fund. The gross fund expense figure does not reflect any waivers or caps on the mutual fund. Performance shown reflects the application of net expenses of the fund.
Holdings
Top 10 as of 12/31/2025
% of Assets % of Assets
% of Assets
1 iShares Broad USD High Yield C
2.30%
2 Principal Government Money Mar
2.26%
3 Specialty Steel
1.16%
4 Real Alloy Holding Inc
1.13%
5 Daiwa Securities Repurchase Ag
0.64%
6 Republic of South Africa Gover
0.62%
7 Vanguard Intermediate-Term Cor
0.60%
8 Baffinland Iron Mines Corp / B
0.55%
9 AthenaHealth Group Inc
0.50%
10 Engineered Machinery Holdings
0.46%
The holdings listed do not constitute a recommendation to purchase or sell a particular security. Cash and/or derivative positions that are not part of the core investment strategy will not be reflected in the top holdings list.
May not reflect current holdings or allocations.
Portfolio characteristics
Analysis
# of holdings as of 12/31/2025
3,183
Turnover ratio
Turnover is calculated semi-annually; reflects most recent available calculation. as of 10/31/2025
92.90%
Weighted avg duration as of 12/31/2025
4.22
R-squared (3-year)
Ranges from 0 to 100 and reveals how closely an investment's returns track those of a benchmark index. as of 12/31/2025
—
Sharpe ratio (3-year)
Measures how an investment balances risks and rewards. The higher the Sharpe ratio, the better the investment's historical risk-adjusted performance. as of 12/31/2025
—
Standard deviation (3-year)
Measures how much an investment's returns are likely to fluctuate. as of 12/31/2025
—
May not reflect current holdings or allocations.
Portfolio management
Jessica Bush, CFA
25 years of experience
Ben Rotenberg, CFA, CAIA
33 years of experience
May Tong, CFA
25 years of experience

No information
Literature
Investment materials Fact sheet
Commentary
Prospectus, Annual report, Semi-annual report and Statement of additional information
Fund update
Information statement November 2025
Information statement January 2026
Portfolio holdings 07/2025
08/2025
09/2025
10/2025
11/2025
12/2025
Principal Funds are distributed by Principal Funds Distributor, Inc. ALPS Distributors, Inc. is the distributor of the Principal ETFs. ALPS Distributors, Inc. and the Principal Funds are not affiliated.
Emerging market debt may be subject to heightened default and liquidity risk.
Fixed-income investments are subject to interest rate risk; as interest rates rise their value will decline. Lower-rated securities are subject to additional credit and default risks, as are mortgage-backed securities, which carry pre-payment risk and increased risk due to real estate exposure. International investing involves greater risks such as currency fluctuations, political/social instability, and differing accounting standards. These risks are magnified in emerging markets, which have increased liquidity risk. Equity investments involve greater risk, including higher volatility, than fixed-income investments.
The holdings listed do not constitute a recommendation to purchase or sell a particular security. Cash and/or derivative positions that are not part of the core investment strategy will not be reflected in the top holdings list.
NOT FDIC INSURED - MAY LOSE VALUE - NO BANK GUARANTEE
Morningstar percentile rankings are based on total returns and do not reflect the inclusion of sales charges. If sales charges were reflected, rankings could be lower.
Performance assumes reinvestment of all dividends and capital gains.
Principal Global Investors is the Investment Adviser of all funds included in the Principal Funds, Inc. Principal Funds are managed by Principal Global Investors, its boutique affiliates, and by many leading sub-advisors.
To obtain a prospectus, download prospectus online or call Customer Service at 1-800-222-5852 . Carefully consider a fund’s objectives, risks, charges, and expenses. The prospectus, or summary prospectus if available, contains this and other information. Please read it carefully before investing.
DI Blended Index (Linked) composition: March 1, 2022 and after, 100% Bloomberg U.S. Aggregate Index (covers the U.S. investment-grade fixed rate bond market and represents securities that are domestic, taxable, and dollar denominated), for the period prior to March 1, 2022, 80% Bloomberg Global Aggregate Index (a broad-based measure of global investment-grade fixed income) and 20% MSCI World Value Index NTR (includes large- and mid-cap securities across developed markets that exhibit overall value style), and for the period prior to January 1, 2019, 40% Bloomberg Global Credit Index (represents global investment-grade, fixed-rate, taxable corporate and government-related bonds), 30% Bloomberg Global High Yield Index (represents the global high yield bond market), and 30% MSCI ACWI Value Index NTR (a market cap weighted index that is a broad measure of global equity-markets). Net Total Return (NTR) includes dividends after the deduction of withholding taxes.
© 2026 Morningstar, Inc. All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete, or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.
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