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Investment Type: pif

Real Estate Securities R3 Fund (PRERX)

Quick Facts

Real Estate

Investment Strategy

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The investment seeks to generate a total return. Under normal circumstances, the fund invests at least 80% of its net assets, plus any borrowings for investment purposes, in equity securities of companies principally engaged in the real estate industry at the time of purchase. It invests in equity securities regardless of market capitalization (small, medium or large). The fund concentrates its investments (invest more than 25% of its net assets) in securities in the real estate industry. It is non-diversified.

Morningstar Style Box™

  as of 04/30/2024
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Investment Style
Stylebox Market Capitalization

Overall Morningstar Star Rating™

  as of 05/31/2024
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Out of 235 Real Estate Funds


Morningstar's Star Ratings reflect risk adjusted performance and are derived from a weighted average of the performance figures associated with its three, five, and ten-year (if applicable) time periods.

Total Returns

Investment results shown represent historical performance and do not guarantee future results. Investment returns and principal values fluctuate with changes in interest rates and other market conditions so the value, when redeemed, may be worth more or less than original costs. Current performance may be lower or higher than the performance data shown.

In situations where the net and gross total investment expense figures are different, the mutual fund or the underlying fund in which a Separate Account invests has waived/capped a portion of its management fees through the date displayed in the waiver expiration date or contractual cap expiration date column. Differences may also be shown due to the fund family choosing to pay certain expenses that would normally be payable by the fund. Returns displayed are based on net total investment expense.

Month-End | Quarter-End
Average Annual Total Returns as of 05/31/2024
1 Month3 MonthYTD1 Year3 Year5 Year10 YearSince     
Total Return % 6.17 -0.48 -3.73 8.35 -1.17 3.43 6.08 9.40
U.S. REIT Linked Index % 5.29 -1.32 -3.52 9.31 -0.03 3.46 5.60 ---
FTSE NAREIT All Equity REIT Index % 5.29 -1.32 -4.31 9.03 -1.45 3.23 5.99 ---
Real Estate Category % 4.54 -0.56 -3.59 8.96 -1.80 2.84 4.97 ---
Morningstar Percentile Rankings** --- --- --- 61 39 35 15 ---
# of Funds in Category 252 251 251 247 235 213 157 ---
**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.


  as of 05/31/2024
Total Investment Expense - Gross: 1.37%
Total Investment Expense - Net: 1.37%
12b-1 Fee: 0.25%

Inv Manager or Sub-Advisor

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Principal Real Estate Inv

Portfolio Managers

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Kelly D. Rush , CFA
Since 12/06/2000
M.B.A. , University of Iowa

Anthony Kenkel , CFA
Since 06/15/2012
M.B.A. , University of Chicago

Keith Bokota , CFA
Since 11/22/2013
B.A. , Georgetown University

© 2024 Morningstar, Inc. All Rights Reserved. Part of the mutual fund data 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.

Returns shown for periods of less than one year are not annualized.

Insurance products and plan administrative services, if applicable, are provided by Principal Life Insurance Company. Principal Funds, Inc. is distributed by Principal Funds Distributor, Inc. Securities are offered through Principal Securities, Inc., 800-547-7754, member SIPC and/or independent broker/dealers. Securities sold by a Principal Securities Registered Representative are offered through Principal Securities. Principal Funds Distributor, Principal Securities and Principal Life are members of the Principal Financial Group®, Des Moines, IA 50392. Certain investment options may not be available in all states or U.S. commonwealths.

The full name of this investment option is Principal Funds, Inc. - Principal Real Estate Securities R3 Fund.

Investors should carefully consider a mutual fund's investment objectives, risks, charges, and expenses prior to investing. A prospectus, or summary prospectus if available, containing this and other information can be obtained by contacting a financial professional, visiting, or calling 1-800-547-7754. Read the prospectus carefully before investing.

Not FDIC Insured
May Lose Value - Not a Deposit - No Bank Guarantee
Not Insured by any Federal Government Agency

U.S. REIT Linked Index composition: For March 01, 2024, and after, the index is 100% the FTSE NAREIT All Equity REIT Index, and for the period prior to March 01, 2024, it is 100% the MSCI US REIT Index.

The FTSE NAREIT All Equity REIT Index measures the performance of all tax-qualified REITs with more than 50 percent of total assets in qualifying real estate assets other than mortgages secured by real property that also meet minimum size and liquidity criteria. A REIT is a company that owns, and in most cases, operates income-producing real estate.

This investment option is considered non-diversified, which means it, or the underlying mutual fund, can invest a higher percentage of its assets in fewer individual issuers than a diversified investment. As a result, changes in the value of a single investment could cause greater fluctuations, gain or loss, in the net asset value than would occur if it was more diversified.

Real Estate investment options are subject to investment and liquidity risk and other risks inherent in real estate such as those associated with general and local economic conditions. Property values can decline due to environmental and other reasons. In addition, fluctuation in interest rates can negatively impact the performance of real estate investment options.