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Our Strategy

Growth Strategy of The Principal

Larry Zimpleman, Chairman, President and CEO, shares how The Principal has grown into a global investment management leader as he talks with Institutional Investor senior writer Julie Segal.

The Principal Financial Group® is a global investment management leader focused on helping individuals, business owners and institutional investors achieve financial success.

The Principal began in 1879 as a life insurance company, evolved into a U.S. retirement leader and is now a global investment management company with more than $403 billion assets under management.*

Our strategy is well suited for the current environment


Three core trends remain to create an era of personal responsibility


Globally competitive employers, aging populations, and fiscally contrained governments

The Principal has the right strategy to capitalize on these trends by:


  • Meeting retirement and employee benefit needs of growing businesses and their employees
  • Capitalizing on unprecedented demand for financial services among Baby Boomers and Echo Boomers
  • Growing proven, global, multi-boutique asset management model for institutional markets and clients
  • Extending retirement and long-term asset management accumulation expertise in key emerging markets that have fast-growing middle classes and retirement assets

An impactful combination of businesses


Our Businesses

We put together the right mix of businesses to offer financial products and solutions to individuals, businesses and institutions.

  • Retirement & Investor Services
  • U.S. Insurance Solutions
  • Principal International
  • Principal Global Investors

Each business independently provides value to shareholders, advisors and customers. But it's the unique synergies among these businesses that create a total value that's greater than the sum of the parts.

» More about our businesses

Operating Earnings by Business

Total company: $947.8 million**
As of 12/31/12

Operating earnings by line of business: Retirement and Investor Serivces (61%), Principal International (16%), U.S. Insurance Solutions (15%), Principal Global Investors (8%)


**After-tax. Results exclude Corporate.


 

*AUM as of December 31, 2012

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