Our sustainability strategy

We’ve learned that people live their most fulfilling lives when they feel secure. And for 145 years, everything we do has been built around this understanding.

Dad and child outside exploring a field.

Our purpose

At Principal, our purpose is to help more people, businesses, and communities gain access to financial security.

The scope of our strategy

As sustainability at Principal continues to grow and evolve, we're advancing our strategy to meet tomorrow's challenges.

Our evolving strategy focuses on four key areas that directly support our purpose of fostering a more secure financial future for all while creating value for society, the environment, and our business. This enhanced approach strengthens our connection to our business priorities and our people, while maintaining our commitment to transparent reporting and meeting both voluntary and regulatory requirements.

We remain committed to delivering meaningful sustainability outcomes that create value for our stakeholders while staying responsive to emerging needs.

Diagram of Principal's purpose and value framework

Sustainability materiality matrix

The following sustainability topics help drive our sustainability goals and initiatives.

Chart with sustainability topics that compare outward impact in relation to financial impact.

Sustainable development goals

The UN describes SDGs as “the blueprint to achieve a better and more sustainable future for all,” and we're committed to supporting this effort.

Goal 5: Gender equality

Achieve gender equality and empower all women and girls

Goal 8: Decent work and economic growth

Promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all

Goal 10: Reduced inequalities

Reduce inequality within and among countries

Goal 13: Climate action

Take urgent action to combat climate change and its impacts*

Goal 17: Partnerships for the goals

Strengthen the means of implementation and revitalize the global partnership for sustainable development

Insurance products issued by Principal National Life Insurance Co (except in NY) and Principal Life Insurance Company^®. Plan administrative services offered by Principal Life. Principal Funds, Inc. is distributed by Principal Funds Distributor, Inc. Securities offered through Principal Securities, Inc., member SIPC and/or independent broker/dealers. Referenced companies are members of the Principal Financial Group^®, Des Moines, IA 50392. © 2025 Principal Financial Services, Inc.

Principal Financial Group Foundation, Inc. (“Principal^® Foundation”) is a duly recognized 501(c)(3) entity focused on providing philanthropic support to programs that build financial security in the communities where Principal Financial Group, Inc. (“Principal”) operates. While Principal Foundation receives funding from Principal, Principal Foundation is a distinct, independent, charitable entity. Principal Foundation does not practice any form of investment advisory services and is not authorized to do so. © 2025 Principal Foundation.

Integration of sustainability considerations and/or environmental, social and governance (ESG) factors is qualitative and subjective by nature. There is no guarantee that the criteria used, or judgment exercised, will reflect the beliefs or values of any particular investor. There is no assurance that any strategy or integration of sustainability considerations and/or ESG factors will be successful or profitable.

The term “materiality” used here refers to the ESG elements deemed fundamental to the long-term success of our company’s sustainability strategy. While our approach to considering materiality in the context of our sustainability strategy includes the consideration of events, including potential future events, that may be significant, any such significance should not be read as necessarily rising to the level of materiality used for purposes of complying with U.S. federal securities laws and regulations. Further, we are not using the term “materiality” on these pages as it is used in the context of financial statements or financial reporting.