Skip navigation.
Go to the Principal Financial Group(R) home page
Target Date Story
Target Date Resources

Target Date Series from The Principal

Staying on Target with Disciplined Rebalancing

This graphic illustrates a simplified concept of how rebalancing works. Actual rebalancing ranges may vary by asset class and specific target date series.

To maintain the selected asset allocation for each Principal target date series, disciplined rebalancing is essential. Our rebalancing process is strategic—we view it as a risk management service—in which we focus, not on short-term market trends, but on controlling and managing systematic risk.

Our portfolio managers blend qualitative factors and quantitative inputs, including economic fundamentals, market conditions, and changing investor sentiment, to keep each target date series allocated within a target range for every asset class and investment manager. Through ongoing monitoring, our portfolio managers determine when the portfolios' asset allocations drift outside of their minimum or maximum target ranges. They actively manage the appropriate timing and pace of portfolio adjustments back to target weights. This systematic approach to rebalancing helps maintain consistent portfolio performance.

Additional Important Information

No investment strategy, such as asset allocation or diversification, can guarantee a profit or protect against loss in periods of declining values.

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.

Before directing retirement funds to a separate account, investors should carefully consider the investment objectives, risks, charges and expenses of the separate account as well as their individual risk tolerance, time horizon and goals. For additional information contact us at 1.800.547.7754 or by visiting

Investment options are subject to investment risk. Shares or unit values will fluctuate and investments, when redeemed, may be worth more or less than their original cost.

Asset allocation does not guarantee a profit or protect against a loss. Equity investment options involve greater risk, including heightened volatility, than fixed-income investment options. Fixed-income investment options are subject to interest rate risk, and their value will decline as interest rates rise. International and global investment options are subject to additional risk due to fluctuating exchange rates, foreign accounting and financial policies, and other economic and political environments. These risks are magnified in emerging markets.There is no guarantee that a target date investment will provide adequate income at or through retirement.


Contact Us

Our Advisor Support Team can help financial professionals put our target date series to work for your clients today, 1.800.952.3343.

Individual investors can learn more by calling 1.800.986.3343.

For more information visit

For more information visit

Connect with us

Visit our blog Visit us on Facebook Visit us on Twitter Visit us on YouTube Visit us on LinkedIn



Copyright © , Principal Financial Services, Inc.
Disclosures and Terms of Use | Products and Services Disclosures | Privacy and Security
Securities offered through Princor Financial Services Corporation, member SIPC