Principal Financial Group®: A Message From Our President and CEO

Originally published in Principal Financial Group 2024 Sustainability Report

Thanks to Dan for his decade of leadership in so many areas, especially with respect to our purpose, culture, and core values.

In my 35 years with the company, I’ve had a firsthand seat to witness how our thinking has evolved regarding the broad impact Principal® makes, as well as the growing importance of aligning our practices with current and future customer and business needs.

Dan did a great job summarizing our five-year look back. I want to highlight some key successes from the past year and then look ahead to 2025 and beyond.

2024 highlights

Building stronger communities.
Principal® Foundation contributed $18.8 million to help eliminate barriers to a better financial future and expand access to essential resources and services. In addition, Principal employees, advisors, and retirees recorded nearly 100,000 volunteer hours globally.

Strengthening our client offerings.
We launched six new sustainable investment products, positioning Principal to better meet increasing customer demand. And we increased the percentage of our assets under management classified as sustainable to 63%.¹

Enhancing opportunities for employees.
I’m excited about the apprentice program we launched in July, a 12-month immersive program that provides pathways to full-time employment
at Principal for individuals without a four-year degree. And I’m proud that
we met or are on track for nearly all of our goals to expand access to and engagement in our core development programs, ensuring we are setting our workforce up for future success.

Reducing our environmental impact.
We made reductions across the board, lowering our emissions as well as our energy, waste, and water use.

2025 and beyond

Our commitment to financial security remains unchanged. We’ll continue working to better understand both barriers and solutions to greater financial inclusion for individuals and businesses around the world. This includes maximizing the reach and impact of our Global Financial Inclusion Index, designed to help spur important conversations about actionable solutions with demonstrated results.

The fourth installment of this Index will be published toward the end of the year.

We’re actively using new technologies like AI and exploring additional uses to create more efficiencies and added value for customers. While we pursue the advantages these technologies offer, we’re doing so responsibly—mindful of the concerns and risks involved.

We’ll continue to closely monitor government regulations related to sustainability practices, as well as customer sentiment.

Finally, we’ll be focused on increasing employee engagement and enhancing the employee experience in 2025, as both are key factors in productivity and performance.

Being a responsible company remains paramount for Principal. It’s been a key aspect of our success over the past 145 years and will continue to propel us forward. And, while our commitment isn’t driven by external recognition, it’s always gratifying to be recognized for a culture that emphasizes corporate responsibility. Already in 2025 we’ve been named:

• One of Ethisphere’s World’s Most Ethical Companies® for the 14th year²
• A JUST company, ranked no. 1 for the insurance category and no. 11 overall

Both awards are especially meaningful because they acknowledge our values- driven organization. We’ll continue to prioritize values as we make progress and tackle new challenges in 2025 and beyond. I’m excited for all that’s ahead.

Deanna Strable
President and CEO

To learn more, read the Principal Financial Group 2024 Sustainability Report.

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.

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.

¹AUM representative of Principal Asset Management - Investment Management as of December 31, 2024. AUM that are sustainable investment products are internally classified by Principal Asset ManagementSM and not by any third party or regulatory body.

²2025 World’s Most Ethical Companies® honoree designation is awarded by the Ethisphere Institute. Principal received the 2025 designation based on results as of August 2024.

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