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Principal Financial Group

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Principal Financial Group, Inc.
Company typePublic
IndustryInsurance, Financial Services
Founded1879; 145 years ago (1879)
FounderEdward Temple
Headquarters
Des Moines, Iowa
,
U.S.
Area served
Global
Key people
Daniel Houston (CEO)
Productsretirement planning
insurance
asset management
RevenueDecrease US$14.263 Billion (Fiscal Year Ended December 31, 2021)[1]
Increase US$2.084 Billion (Fiscal Year Ended December 31, 2021)[1]
Increase US$1.711 Billion (Fiscal Year Ended December 31, 2021)[1]
AUMDecrease US$713.9 Billion (Fiscal Year Ended December 31, 2021)[1]
Total assetsIncrease US$304.657 Billion (Fiscal Year Ended December 31, 2021)[1]
Total equityDecrease US$16.125 Billion (Fiscal Year Ended December 31, 2021)[1]
Number of employees
~18,600 (As of December 31, 2022)[1]
SubsidiariesPrincipal Mutual Fund
Websiteprincipal.com

Principal Financial Group, Inc. (PFG) is an American global financial investment management and insurance company headquartered in Des Moines, Iowa, United States.

History

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PFG was first founded under the name Bankers Life Insurance Company.[2] Bankers Life Insurance Company was founded by wealthy Des Moines bankers, including Edward Temple, Simon Casady, and Phineas M. Casady.[3] The bank was founded in 1879 with Temple as president and Phineas Casady as vice president.[4]

Business operations

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Four segments comprise the company: Retirement and Income Solutions, Principal Global Investors, Principal International, and Benefits & Protection.

The company employs roughly 9,000 people in Des Moines, Iowa, and owns and operates several buildings in the downtown area. The tallest, known as 801 Grand, is 45 stories tall (192m/630 ft),[5] and houses many other companies in addition to Principal.

As of March 2014, Principal employed 14,600 employees worldwide, with its Global Delivery center, Principal Global Services, in Pune, Maharashtra, India.[6]

Principal also has a lobbyist registered in the Iowa Legislature since December 2016. He is designated to lobby the Executive Branch of the Government of Iowa.[7]

In 2019, Principal purchased Wells Fargo's institutional retirement and trust business (including 401k, pension, executive deferred compensation, employee stock ownership plans and asset advice business) for $1.2 billion. The deal was financed with cash and senior debt financing.[8]

In 2021, activist investor firm Elliott Investment Management took a stake in Principal, saying it will push for changes at the company.[9] Talks with Elliott resulted in the February 2021 announcement of two new independent directors to its board of directors.[10]

In 2024, Principal agreed to acquire the employee stock-option plan (ESOP) business from Ascensus. The transaction was expected to add 800 plans and over 165,000 participants to Principal's book of business.[11]

Eddie

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Eddie was the lead and central character in the marketing campaign of the Principal Financial Group from 2005 to 2015. Eddie's television and print ads often depicted him facing challenges and using the Principal Edge logo to solve his financial, business, and everyday life problems. Eddie retired in 2015 in preparation for the company's new logo that debuted in 2016.[12]

Naming rights

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Principal owns the naming rights to Principal Riverwalk, Principal Park and The Principal Charity Classic in Des Moines.

Management

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On August 20, 2020, the company announced that Ken McCullum would become the new chief risk officer, following the retirement of Julia Lawler.[13]

See also

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References

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  1. ^ a b c d e f g "Principal Financial Group 2021 Annual Report Results" (PDF). February 11, 2022. Retrieved November 2, 2022.
  2. ^ "A bedrock of dependability will be reborn". Des Moines Register. Retrieved April 30, 2024.
  3. ^ "Community News". Des Moines Register. Retrieved April 30, 2024.
  4. ^ "Temple, Edward Ames". The Biographical Dictionary of Iowa. Retrieved April 30, 2024.
  5. ^ "801 Grand, Des Moines". November 8, 2004. Archived from the original on November 8, 2004.
  6. ^ "2012 Company Profile" (PDF). Archived from the original (PDF) on May 21, 2013. Retrieved May 21, 2012.
  7. ^ "Registered Lobbyist: Matthew Ahmann". Archived from the original on January 3, 2017. Retrieved January 2, 2017.
  8. ^ "Principal closes $1.2 billion deal to buy Wells Fargo retirement business". Des Moines Register. Associated Press. Retrieved September 9, 2020.
  9. ^ "Activist investor Elliott to buy stake in insurer Principal Financial: Bloomberg News". Reuters. February 22, 2021. Retrieved March 21, 2021.
  10. ^ "Principal Financial Group Announces Shareholder Value Initiatives". www.businesswire.com. February 22, 2021. Retrieved April 1, 2021.
  11. ^ "Principal to Expand ESOP Business Via Acquisition from Ascensus | PLANADVISER". www.planadviser.com. Retrieved October 29, 2024.
  12. ^ "Even Cartoon Guys Plan for Retirement: The Principal Financial Group Bids Farewell to "Eddie" with Launch of #SeeYourRetirement Campaign". Principal Financial Group. Archived from the original on May 6, 2016. Retrieved April 14, 2016.
  13. ^ "Principal Financial Group Appoints New Head of Global Risk". businesswire. August 20, 2020. Retrieved August 23, 2020.
[edit]
  • The Principal Financial Group Official Website
  • Business data for Principal Financial Group:
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