New Spectrem Research Confirms The Principal Financial Group Proven Leader in all Retirement Market Segments
Dec. 7, 2005 (Des Moines, Iowa) — The Principal Financial Group®, the nation's 401(k) leader and retirement solutions innovator, has long been recognized as a major player in all market segments of the retirement industry. A recent Spectrem Group study confirms this leadership and reveals the company's growing dominance and number one market share in the competitive mid-sized plan marketplace.
According to Spectrem, The Principal® has overtaken the top ranking in the mid-sized market, ranking first in the industry in retirement plans administered in the $5-25 million plan assets segment. The study also validates the company's strength in all market segments. "The data reveals that The Principal has tremendous breadth and depth in all market segments," says Gerald M. O'Connor, director, Spectrem Group. "This assessment verifies that The Principal is a leader in the 401(k) market overall, and it also reveals the company's impressive growth in the mid- and large-case market."
"The Principal is committed to serving the needs of growing businesses. The leadership we've established in the hotly contested middle market shows that no matter what size the company, The Principal provides continued value and best-in-class services as companies and their retirement plans grow and mature," remarked Dan Houston, senior vice president-retirement and investor services, The Principal.
According to Spectrem, The Principal gained significant ground over competitors in the previous year in both the large case (over $25 million in plan assets) and mid-sized ($5-25 million) market segments. In the over $25 million plan asset segment, The Principal saw a dramatic 58 percent increase in market share in terms of plans over the last year. In the $5-25 million market, The Principal grew 25 percent in market share in terms of plans over the year. Additional highlights of the Spectrem Group report include:
- In the over $25 million in plan assets market, The Principal has increased its ranking each year for the past three years in all measures, including number of plans, total assets and the number of participants.
- The Principal ranks first in the number of participants in the under $5 million plan assets segment, and ranks second in the number of participants in the under 500 participant segment.
- The Principal ranks second in plans administered in the 100-499 participant segment.
About Spectrem Group
Spectrem Group is a strategic consulting firm specializing in the affluent and retirement markets. It integrates proprietary research with expertise in building business, marketing and M&A strategies. Spectrem professionals have held senior management positions at leading global companies. Through a collaborative process, they create and implement practical and profitable strategies that fit the cultures of client firms.
About The Principal Financial Group
The Principal Financial Group®
(The Principal®)1
is a leader in offering businesses, individuals and institutional clients a wide range of financial products and services, including retirement and investment services, life and health insurance and banking through its diverse family of financial services companies. A member of the Fortune 500, the Principal Financial Group has $188.4 billion in assets under management2 and serves some 15.3 million customers worldwide from offices in Asia, Australia, Europe, Latin America and the United States. Principal Financial Group, Inc. is traded on the New York Stock Exchange under the ticker symbol PFG. For more information, visit www.principal.com.
1) "The Principal Financial Group" and "The Principal" are registered service marks of Principal Financial Services, Inc., a member of the Principal Financial Group.
2) As of September 30, 2005.
