SEC Filing Summary: Form 13F-HR
Business Context and Reporting Period
Reporting Manager: Principal Financial Group, Inc.
Filing Type: 13F Combination Report (Holdings Report)
Reporting Period: Quarter ended June 30, 2008
Submission Date: July 25, 2008
Scope: This report covers the equity holdings of Principal Financial Group, Inc. and four other affiliated institutional managers: Principal Global Investors, LLC; Principal Real Estate Investors, LLC; Principal Life Insurance Co.; and Principal Financial Services, Inc.
Key Financial Metrics
Note: As a Form 13F filing, this document reports portfolio holdings and does not contain the reporting manager's internal financial statements (revenue, profit, cash flow, or debt).
- Total Portfolio Value: $24,426,426,000 (approx. $24.43 billion)
- Total Number of Holdings: 2,156 entries
- Asset Class: Primarily U.S. and foreign equity securities (Common Stock, ADRs, REITs).
- Voting Authority: The vast majority of holdings are reported with "Sole" voting authority. A small subset of Real Estate Investment Trust (REIT) holdings includes "Shared" voting authority.
Material Changes and Portfolio Composition
This filing represents a snapshot of holdings as of June 30, 2008. It does not provide comparative data against the prior quarter (March 31, 2008) to calculate material changes in position size or value. However, the portfolio composition indicates a diversified strategy with significant exposure to the following sectors:
- Financials: Heavy concentration in major banks and insurance companies (e.g., Bank of America, Citigroup, Wells Fargo, MetLife).
- Technology: Significant positions in large-cap tech firms (e.g., Microsoft, Intel, Cisco Systems, Oracle).
- Energy: Substantial holdings in integrated oil and gas companies (e.g., Exxon Mobil, Chevron, ConocoPhillips).
- Healthcare: Diversified exposure to pharmaceuticals and medical devices (e.g., Pfizer, Johnson & Johnson, Merck).
- Real Estate: Notable holdings in REITs, often managed by the affiliated "Principal Real Estate Investors, LLC."
Guidance, Outlook, and Risks
Management Commentary: Form 13F filings are statutory disclosures of holdings and do not contain management commentary, forward-looking guidance, or strategic outlooks.
Risks and Contingencies: The filing does not disclose specific risk factors or contingencies. However, the portfolio's heavy weighting in financial institutions and energy sectors as of mid-2008 reflects exposure to the market volatility and credit concerns prevalent during that period.
Key Facts for Investor Verification
- Top Holdings by Value: The portfolio includes massive positions in General Electric (~$11.1B), Microsoft (~$8.8B), Pfizer (~$7.1B), and Exxon Mobil (~$6.1B).
- Affiliated Managers: Investors should note that the reported value aggregates positions across five distinct legal entities under the Principal Financial Group umbrella.
- REIT Structure: Several Real Estate Investment Trust positions (e.g., AvalonBay, Boston Properties, Equity Residential) show split voting authority between "Sole" and "Shared," indicating complex fund structures or co-investment arrangements.
- Foreign Exposure: The portfolio includes significant American Depositary Receipts (ADRs) for international companies, including Petrobras, PetroChina, and various European and Asian financial institutions.