Investment objective & strategy
As of Dec. 23, 2025 · prospectusObjective. The Fund seeks to provide current income.
Strategy. Under normal circumstances, the Fund uses a passive investment approach known as sampling to invest at least 80% of its net assets, plus any borrowings for investment purposes, in investments designed to track the Bloomberg US Aggregate Index (the Index). The Index is composed of investment-grade, fixed-rate debt issues with maturities of one year or more, including government securities, corporate securities, and asset-backed and mortgage-backed securities (securitized products). As of November 30, 2025, the Index was composed of 13,913 issues. The Index is rebalanced monthly to reflect securities that have dropped out of or entered the Index in the preceding month. Generally, the Fund makes corresponding changes to its portfolio shortly after Index changes are made public. Because of the … Under normal circumstances, the Fund uses a passive investment approach known as sampling to invest at least 80% of its net assets, plus any borrowings for investment purposes, in investments designed to track the Bloomberg US Aggregate Index (the Index). The Index is composed of investment-grade, fixed-rate debt issues with maturities of one year or more, including government securities, corporate securities, and asset-backed and mortgage-backed securities (securitized products). As of November 30, 2025, the Index was composed of 13,913 issues. The Index is rebalanced monthly to reflect securities that have dropped out of or entered the Index in the preceding month. Generally, the Fund makes corresponding changes to its portfolio shortly after Index changes are made public. Because of the practical difficulties and expense of purchasing all of the securities in the Index, the Fund does not purchase all of the securities in the Index. Instead, the Fund uses a sampling methodology to purchase securities with generally the same risk and return characteristics of the Index. Under normal circumstances, the Fund maintains an average portfolio duration that is in line with the duration of the Index, which as of November 30, 2025 was 6.03 years. The Fund will not concentrate (i.e., invest more than 25% of its assets) its investments in a particular industry except to the extent the Index is so concentrated. As of November 30, 2025, the Index was not concentrated in any industry.
Top holdings
As of Feb. 28, 2026 · N-PORT| Security | Ticker | Value | % of fund |
|---|---|---|---|
| Principal Government Money Market Fund - Class R-6 | — | $66.61M | 2.34% |
| US TREASURY N/B | — | $22.38M | 0.79% |
| US TREASURY N/B | — | $17.58M | 0.62% |
| US TREASURY N/B | — | $17.13M | 0.60% |
| US TREASURY N/B | — | $14.51M | 0.51% |
| US TREASURY N/B | — | $13.80M | 0.48% |
| US TREASURY N/B | — | $13.53M | 0.48% |
| iShares Trust IBOXX USD INVST GRADE CORP | LQD | $13.40M | 0.47% |
| US TREASURY N/B | — | $13.30M | 0.47% |
| US TREASURY N/B | — | $13.08M | 0.46% |
Portfolio moves
Nov 30, 2025 → Feb 28, 2026How many positions this fund opened, exited, grew, trimmed, or left unchanged between its two most recent N-PORT snapshots — net changes between point-in-time reports, not a trade log.
Similar funds
Funds whose portfolios most overlap this one, by weight| Fund | Overlap | Net exp. |
|---|---|---|
| Bond Market Index Account | 59% | 0.15% |
| VANGUARD TOTAL BOND MARKET INDEX FUND · VBTLX, VBMFX, VBTIX, BND, VBMPX, VTBSX | 49% | 0.01% |
| Schwab U.S. Aggregate Bond Index Fund · SWAGX | 48% | 0.04% |
Advisers
| Firm | Role |
|---|---|
| Principal Global Investors, LLC | Adviser |
Footnotes
- Expense ratio as of December 23, 2025, from the fund's prospectus.
- Net assets and holdings count as of February 28, 2026, from the fund's N-PORT filing.
- Total return for calendar year 2025, before tax and after fund expenses. Computed by compounding the twelve monthly total returns the fund reported in its SEC N-PORT filings for 2025 (the latest prospectus does not yet chart this year).
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