Principal Financial Group

Last updated

Principal Financial Group, Inc.
Company type Public
IndustryInsurance, Financial Services
Founded1879;145 years ago (1879)
Founder Edward Temple
Headquarters,
U.S.
Area served
Global
Key people
Daniel Houston (CEO)
Products retirement planning
insurance
asset management
RevenueDecrease2.svg US$14.263 Billion (Fiscal Year Ended December 31, 2021) [1]
Increase2.svg US$2.084 Billion (Fiscal Year Ended December 31, 2021) [1]
Increase2.svg US$1.711 Billion (Fiscal Year Ended December 31, 2021) [1]
AUM Decrease2.svg US$713.9 Billion (Fiscal Year Ended December 31, 2021) [1]
Total assets Increase2.svg US$304.657 Billion (Fiscal Year Ended December 31, 2021) [1]
Total equity Decrease2.svg US$16.125 Billion (Fiscal Year Ended December 31, 2021) [1]
Number of employees
~18,600 (As of December 31, 2022) [1]
Subsidiaries Principal Mutual Fund
Website principal.com

Principal Financial Group, Inc. (PFG) is an American global financial investment management and insurance company headquartered in Des Moines, Iowa, United States.

Contents

History

PFG was first founded under the name Bankers Life Insurance Company. [2] Bankers Life Insurance Company was founded by wealthy Des Moines bankers, including Edward Temple, Simon Casady, and Phineas M. Casady. [3] The bank was founded in 1879 with Temple as president and Phineas Casady as vice president. [4]

Business operations

Four segments comprise the company: Retirement and Income Solutions, Principal Global Investors, Principal International, and Benefits & Protection.

The company employs roughly 9,000 people in Des Moines, Iowa, and owns and operates several buildings in the downtown area. The tallest, known as 801 Grand, is 45 stories tall (192m/630 ft), [5] and houses many other companies in addition to Principal.

As of March 2014, Principal employed 14,600 employees worldwide, with its Global Delivery center, Principal Global Services, in Pune, Maharashtra, India. [6]

Principal also has a lobbyist registered in the Iowa Legislature since December 2016. He is designated to lobby the Executive Branch of the Government of Iowa. [7]

In 2019, Principal purchased Wells Fargo's institutional retirement and trust business (including 401k, pension, executive deferred compensation, employee stock ownership plans and asset advice business) for $1.2 billion. The deal was financed with cash and senior debt financing. [8]

In 2021, activist investor firm Elliott Investment Management took a stake in Principal, saying it will push for changes at the company. [9] Talks with Elliott resulted in the February 2021 announcement of two new independent directors to its board of directors. [10]

In 2024, Principal agreed to acquire the employee stock-option plan (ESOP) business from Ascensus. The transaction was expected to add 800 plans and over 165,000 participants to Principal's book of business. [11]

Eddie

Eddie was the lead and central character in the marketing campaign of the Principal Financial Group from 2005 to 2015. Eddie's television and print ads often depicted him facing challenges and using the Principal Edge logo to solve his financial, business, and everyday life problems. Eddie retired in 2015 in preparation for the company's new logo that debuted in 2016. [12]

Naming rights

Principal owns the naming rights to Principal Riverwalk, Principal Park and The Principal Charity Classic in Des Moines.

Management

On August 20, 2020, the company announced that Ken McCullum would become the new chief risk officer, following the retirement of Julia Lawler. [13]

See also

Related Research Articles

<span class="mw-page-title-main">Des Moines, Iowa</span> Capital and most populous city of Iowa, US

Des Moines is the capital and most populous city in the U.S. state of Iowa. It is the county seat of Polk County with parts extending into Warren County. It was incorporated on September 22, 1851, as Fort Des Moines, which was shortened to "Des Moines" in 1857. It is located on, and named after, the Des Moines River, which likely was adapted from the early French name, Rivière des Moines, meaning "River of the Monks". The city's population was 214,133 as of the 2020 census. The six-county metropolitan area is ranked 81st in terms of population in the United States, with 709,466 residents according to the 2020 census by the United States Census Bureau, and is the largest metropolitan area fully located within the state.

<span class="mw-page-title-main">Des Moines metropolitan area</span> Metropolitan statistical area in Iowa, United States

The Des Moines metropolitan area, officially known as the Des Moines–West Des Moines, IA Metropolitan Statistical Area (MSA) is located at the confluence of the Des Moines River and the Raccoon River. Des Moines serves as the capital of the U.S. state of Iowa. The metro area consists of six counties in central Iowa: Polk, Dallas, Warren, Madison, Guthrie, and Jasper. The Des Moines–Ames–West Des Moines Combined Statistical Area (CSA) encompasses the separate metropolitan area of Ames, and the separate micropolitan areas of Pella, Boone and Oskaloosa (Mahaska). The Des Moines area is a fast-growing metro area.

Comcast Spectacor is an American sports and entertainment company based in Philadelphia, Pennsylvania. It owns the Philadelphia Flyers of the National Hockey League, the Philadelphia Wings of the National Lacrosse League, the Seoul Infernal of the Overwatch League, and formerly owned the Philadelphia 76ers of the National Basketball Association and the Maine Mariners of the ECHL. The company owns and manages the Wells Fargo Center and formerly managed the Spectrum in South Philadelphia, plus several community skating rinks in the Philadelphia region. The Comcast SportsNet (CSN) regional sports networks were also owned by Comcast Spectacor prior to parent company Comcast's acquisition of NBCUniversal in January 2011; CSN is now operated through NBC Sports.

<span class="mw-page-title-main">Grinnell Mutual</span> Mutual insurance company

Grinnell Mutual is a property-casualty mutual insurance company and reinsurer based in Grinnell, Iowa, United States.

Thomas Casady was the third missionary bishop of Oklahoma and the first diocesan bishop of the Diocese of Oklahoma in the Episcopal Church.

J. Barry Griswell is former Chairman and CEO of the Principal Financial Group and retired CEO of the Community Foundation of Greater Des Moines.

<span class="mw-page-title-main">Voya Financial</span> American financial services company

Voya Financial is an American financial, retirement, investment and insurance company based in New York City. Voya began as ING U.S., the United States operating subsidiary of ING Group, which was spun off in 2013 and established independent financial backing through an initial public offering. In April 2014, the company rebranded itself as Voya Financial. Voya's predecessors had first entered the U.S. market in the 1970s.

Pathward Financial, Inc. is a U.S.-based banking and financial services company. It adopted its current name in 2022 after its parent, Meta Financial Group, sold the "Meta" trademark to Meta Platforms.

<span class="mw-page-title-main">F&G</span> American insurance company

F&G Annuities & Life, Inc. is a public company headquartered in Des Moines, Iowa. It primarily provides annuities, life insurance, and pension buyout services. The company was founded in 1959.

Richard Elmer Olson was an American politician and insurance executive who served as the Mayor of Des Moines, Iowa, for two consecutive terms from 1972 until 1979.

<span class="mw-page-title-main">Downtown Des Moines</span> Place in Iowa, United States

Downtown Des Moines is the central business district of Des Moines, Iowa and the Greater Des Moines Metropolitan Area. Downtown Des Moines is defined by the City of Des Moines as located between the Des Moines River to the east, the Raccoon River to the south, Center Street to the north, and 18th and 15th Streets to the west.

Ascensus, LLC. is an American financial services company that provides financial recordkeeping, tax-advantaged savings and retirement plan services. As of 2024, the company reports that it manages more than 14 million accounts and oversees more than $808 billion in assets under administration. Ascensus primarily partners with financial institutions and government agencies to provide services to their employees and clients.

<span class="mw-page-title-main">Woodland Cemetery (Des Moines, Iowa)</span> Cemetery in Des Moines, Iowa

Woodland Cemetery is the oldest cemetery in Des Moines, Iowa, having been established in 1848, before Des Moines was the state capital. It is a municipal cemetery owned and operated by the Des Moines Parks and Recreation Department. It covers 69 acres (28 ha) at the corner of 20th Street and Woodland Ave and is the site of over 80,000 graves.

<span class="mw-page-title-main">Flynn–Griffin Building</span> United States historic place

The Flynn–Griffin Building, also known as the Flynn Block, Peoples' Savings Bank Building, and the Edna M. Griffin Building, is a historic building located in Des Moines, Iowa, United States. It was listed on the National Register of Historic Places in 2016.

<span class="mw-page-title-main">Cindy Axne</span> American politician (born 1965)

Cynthia Lynne Axne is an American politician who served as the U.S. representative from Iowa's 3rd congressional district from 2019 until 2023. She is currently a senior adviser to the U.S. Department of Agriculture under the Biden Administration.

<span class="mw-page-title-main">Phineas M. Casady</span> American politician

Phineas McCray Casady was an American pioneer, judge, lawyer, and state senator in Iowa. Casady was one of the earliest white settlers of Pottawattamie County and a member of the influential Casady family who had a strong impact on the early history and legislation of Iowa.

Simon Casady was a prominent banker in Iowa, best known for his role in organizing the Des Moines Bank, which later evolved into the Des Moines Savings Bank. Casady served as the president of the Des Moines Savings Bank and the Central State Bank, as well as the vice president of the Iowa National Bank and the treasurer of the Bankers Life Association. Casady has been referred to as "the dean of Iowa bankers" in news accounts. He was a member of the Casady family, an influential lineage of bankers, politicians, landowners, and farmers who played a significant role in the early history and legislative matters of Iowa.

<span class="mw-page-title-main">Simon Casady (journalist)</span>

Simon Casady was a journalist and political figure who was influential in California Democratic Party politics, serving as president of the California Democratic Council. Due to his publishing power in the southwest, he helped launch the political careers of Barry Goldwater, Lyndon Johnson, Senator Lloyd Bentsen, and other politicians. Casady was known for his liberal political positions, including his opposition to the Vietnam War, support for the civil rights movement, environmentalism, and the farm workers' movement, and was known as a frequent defender of Fidel Castro and the Sandinistas. He was the former publisher for El Cajon Valley News as well as The Arizona Republic and the Phoenix Gazette.

Jefferson P. Casady was an American pioneer, judge, lawyer, and state senator in Iowa. Casady and his siblings, including his brothers Phineas and Samuel, were members of the influential Casady family of bankers, politicians, landowners, and farmers who had a strong impact on the early history and legislation of Iowa. The Casady family were some of the earliest white settlers of Pottawattamie County.

Edward Ames Temple was a prominent American banker and pioneer in Iowa, best known for his role in founding the Bankers Life Association, which later evolved into Principal Financial Group, one of the largest insurance and financial services corporations in the United States.

References

  1. 1 2 3 4 5 6 7 "Principal Financial Group 2021 Annual Report Results" (PDF). February 11, 2022. Retrieved November 2, 2022.
  2. "A bedrock of dependability will be reborn". Des Moines Register . Retrieved April 30, 2024.
  3. "Community News". Des Moines Register . Retrieved April 30, 2024.
  4. "Temple, Edward Ames". The Biographical Dictionary of Iowa . Retrieved April 30, 2024.
  5. "801 Grand, Des Moines". November 8, 2004. Archived from the original on November 8, 2004.{{cite web}}: CS1 maint: unfit URL (link)
  6. "2012 Company Profile" (PDF). Archived from the original (PDF) on May 21, 2013. Retrieved May 21, 2012.
  7. "Registered Lobbyist: Matthew Ahmann". Archived from the original on January 3, 2017. Retrieved January 2, 2017.
  8. "Principal closes $1.2 billion deal to buy Wells Fargo retirement business". Des Moines Register. Associated Press. Retrieved September 9, 2020.
  9. "Activist investor Elliott to buy stake in insurer Principal Financial: Bloomberg News". Reuters. February 22, 2021. Retrieved March 21, 2021.
  10. "Principal Financial Group Announces Shareholder Value Initiatives". www.businesswire.com. February 22, 2021. Retrieved April 1, 2021.
  11. "Principal to Expand ESOP Business Via Acquisition from Ascensus | PLANADVISER". www.planadviser.com. Retrieved October 29, 2024.
  12. "Even Cartoon Guys Plan for Retirement: The Principal Financial Group Bids Farewell to "Eddie" with Launch of #SeeYourRetirement Campaign". Principal Financial Group. Archived from the original on May 6, 2016. Retrieved April 14, 2016.
  13. "Principal Financial Group Appoints New Head of Global Risk". businesswire. August 20, 2020. Retrieved August 23, 2020.