Press release
Principal® Advances Plan for First Semi-Transparent ETF Offering
DES MOINES, Iowa--(BUSINESS WIRE)-- Principal Global Investors® today announced its plan to add its first semi-transparent ETF to its growing line-up of
About this update from Principal Financial Group Inc
[{"type":"text","content":" DES MOINES, Iowa--(BUSINESS WIRE)--\nPrincipal Global Investors® today announced its plan to add its first semi-transparent ETF to its growing line-up of ETFs, filing for an exemptive order to use Fidelity’s active equity ETF methodology. This approach complements the active management capabilities of Principal and will help deliver stronger investment outcomes for clients.\n\nWhen approved and launched, the first semi-transparent ETF offered by Principal will target real estate assets.\n\n“We believe in active investing and are excited to expand our offerings of new investment strategies and solutions that could deliver strong performance and generate more income for investors,” said Jill Brown, managing director of U.S. Wealth Markets for Principal Global Investors. “There’s tremendous growth potential in semi-transparent ETFs and, with our active management DNA, we believe we’re uniquely positioned to deliver in this space.”\n\nPrincipal currently offers 14 ETFs – six strategic beta and eight actively managed – that are designed to enhance investor returns, mitigate risk, and improve portfolio diversification. Combined, they represent approximately $5 billion in assets under management1.\n\nFidelity’s active equity ETF model employs an innovative “tracking basket” methodology, which maintains the benefits of the ETF structure, provides information to market participants to promote efficient trading of shares, and preserves the ability to add value through active management.\n\n\"We are excited to work with Principal as they seek to expand their ETF offering and develop innovative new solutions to help meet the needs of investors,\" said Greg Friedman, head of ETF management and strategy at Fidelity. \"We believe Fidelity’s methodology is an industry leading approach, designed to operate seamlessly within the existing ETF market.”\n\nAbout Principal Global Investors®\n\nPrincipal Global Investors® leads global asset management at Principal®. As a multi-investment team firm, we bring a focused perspective and offer expertise across a host of asset classes.\n\nAt our core, we are driven by our purpose to help investors and businesses achieve their financial goals. Our global investment professionals deliver investment solutions for public and private pension funds, foundations and endowments, central banks, insurance companies,...