Principal Blue Chip Fund (PBLAX)

Overview

The fund described operates as a large-cap equity investment vehicle, earmarking at least 80% of its net assets (plus any borrowed funds for investment purposes) for equity securities of companies with significant market capitalizations. These companies are selected based on their "blue chip" characteristics, as determined by the fund's investment advisor. The fund is positioned towards entities that demonstrate the potential for capital growth and are expected to yield above-average earnings. Additionally, it includes investments in foreign companies, broadening the scope of its investment strategy beyond domestic markets.

Products and Services

• Equity Securities of Large Market Capitalization Companies:

  The fund's core investment focuses on equity securities, specifically targeting companies with large market capitalizations. These are typically well-established companies with stable earnings streams, which are considered "blue chip" in nature. This investment preference is rooted in the belief that such companies are likely to offer steady growth and reliable returns over time.

• Investment in Foreign Companies:

  Expanding its investment horizon, the fund also allocates a portion of its portfolio to securities of foreign companies. This diversification strategy is aimed at capitalizing on growth opportunities in international markets, potentially enhancing the fund's return profile and spreading its risk exposure across a broader economic landscape.