Principal Securities

Principal Securities is a wholly owned subsidiary of Principal Financial Group and operates as the company's retail broker-dealer and registered investment advisor. It serves as one of the primary distribution channels for products manufactured by Principal Global Investors, the parent company's asset management arm. The entity was renamed from Princor Financial Services Corporation to Principal Securities in 2017.

Yes, the firm offers a wrap-fee discretionary program called Principal Advised Services. Through it, clients can access model portfolios built with proprietary Principal funds as well as third-party strategies. Advisors using the program are required to follow the firm's documented suitability and best-interest processes.

The core menu includes the Principal family of mutual funds, Principal variable annuities, and retirement-plan products. Advisors also have access to third-party mutual funds, exchange-traded funds, equities, fixed income, and alternative investments. The platform uses Pershing as its clearing firm for brokerage accounts.

Given the parent's position as one of the largest US retirement-plan recordkeepers, rollover recommendations from Principal-administered plans to Principal Securities advisory or brokerage accounts have drawn regulatory scrutiny. The firm has enhanced its supervision and disclosure framework in response to SEC and FINRA guidance on conflicts of interest in rollover advice.

The firm serves both mass-affluent retail clients and high-net-worth individuals, often those who first engage with Principal through a workplace retirement plan. Its advisor force includes career agents of Principal Life Insurance Company as well as independent financial professionals affiliated through the broker-dealer.