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Principal Real Estate Investors Review

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This review was produced by SmartAsset based on publicly available information. The named firm and its financial professionals have not reviewed, approved, or endorsed this review and are not responsible for its accuracy. Review content is produced by SmartAsset independently of any business relationships that might exist between SmartAsset and the named firm and its financial professionals, and firms and financial professionals having business relationships with SmartAsset receive no special treatment or consideration in SmartAsset’s reviews. This page contains links to SmartAsset’s financial advisor matching tool, which may or may not match you with the firm mentioned in this review or its financial professionals.

Principal Real Estate Investors provides investment solutions to individuals and institutions. It offers access to real estate investments including private equity and debt in both domestic and select international markets. Today, this registered investment advisor (RIA) in De Moines, Iowa, oversees billions of dollars in client assets.

As a fee-based firm, some advisors here can receive securities commissions in addition to client-paid fees. A fee-only firm, by contrast, focuses strictly on client fees.

Principal Real Estate Investors Background

Principal Real Estate Investors broke ground in 1998. It’s currently a wholly owned subsidiary of the Principal Financial Group, Inc. The firm also delivers its services in partnership with other asset-management firms. These companies employ experts on investing in various asset classes, including equities, fixed-income and alternative investments. 

Principal Real Estate Investors Client Types and Minimum Account Sizes

Principal Real Estate Investors serves a diverse range of clients including:

  • Individuals, both high-net-worth and non-high-net-worth 
  • Corporate pension and profit-sharing plans
  • Taft-Hartley plans
  • Charitable institutions, foundations and endowments
  • Municipalities
  • Registered mutual funds
  • Private investment funds
  • Trusts
  • Sovereign funds and foreign funds
  • Supranationals
  • Central banks
  • Collective investment trusts (CITs)
  • Wrap programs
  • Insurance separate accounts
  • Life insurance
  • U.S. and international institutions

To establish a separately managed account (SMA) with the firm, clients will generally need to make a minimum investment of $25 million to $250 million, depending on whether you're an individual or not. These minimums, however, may be negotiable at the firm's discretion. 

Services Offered by Principal Real Estate Investors

Principal Real Estate Investors delivers advisory services concerning private real estate equity and private real estate debt. Additionally, the firm specializes in public real estate debt investments, including commercial mortgage-backed securities and public real estate equity securities issued by real estate investment trusts and other companies. 

In partnership with other asset management firms, Principal Real Estate Investors also designs and monitors investment portfolios that utilize the following asset classes: 

Principal Real Estate Investors Investment Philosophy

Principal Real Estate Investors focuses on long-term investing with an emphasis on in-depth market research to identify securities and strategies. The film relies on the research and expertise of its boutique asset management partners. Each specializes in a specific asset class. 

Fees Under Principal Real Estate Investors

The firm primarily charges investment management fees as a percentage of assets under management (AUM). The percentage varies, depending on account type, investment strategy and the size of the account. For public real estate equity and debt investments, these fees generally range from 0.20% to 0.85%, depending on the strategy and account size.

SMA fees generally range from 0.23% to 0.55%. Accounts are also responsibible for transaction fees, brokerage commissions and mutual fund expenses. These vary depending on the funds you’re invested in and how often trades are executed in your account. So you should carefully review investment prospectuses and other fee-related documents that are provided to you or are publicly available.

What to Watch Out For

Principal Real Estate Investors has no disclosures present on its SEC-filed Form ADV.

Some members of the Principal Real Estate Investors staff are registered representatives of affiliated broker-dealers Principal Funds Distributor (PFD) and Principal Securities Inc. (PSI). In these capacities, they may receive commissions, which is a potential conflict of interest. However, the firm and its advisors are bound by fiduciary duty to act in your best interest.

Opening an Account With Principal Real Estate Investors

The easiest way to get in touch with Principal Real Estate Investors is to call (800) 533-1390.

All information is accurate as of the writing of this article.

Tips for Finding the Right Financial Advisor

  • If you can't meet the minimums of Principal Real Estate Investors, there are plenty of other financial advisors who serve your area. To find such options, use SmartAsset's free financial advisor matching tool. It suggests up to three advisors who serve your area, with the final choice of who to work with being up to you. Get started now.
  • Ask prospective advisors about their formal training. Believe it or not, but you don't actually need any to be a financial advisor. So those who have professional credentials will have that much more preparation - and probably a speciality.

How Long $1mm Lasts in Retirement

SmartAsset's interactive map highlights places where $1 million will last the longest in retirement. Zoom between states and the national map to see the top spots in each region. Also, scroll over any city to learn about the cost of living in retirement for that location.

Rank City Housing Expenses Food Expenses Healthcare Expenses Utilities Expenses Transportation Expenses

Methodology We analyzed data on average expenditures for seniors, cost of living and investment returns to determine how many years of retirement a $1 million nest egg would cover in cities across America.

First, we looked at data from the Bureau of Labor Statistics (BLS) on the average annual expenditures of seniors. We then applied cost of living data from the Council for Community and Economic Research to adjust those national average spending levels based on the costs of each expense category (housing, food, healthcare, utilities, transportation and other) in each city. Using this data, SmartAsset calculated the average cost of living for retirees in the largest U.S. cities.

We assumed the $1 million would grow at a real return (interest minus inflation) of 2%. Then, we divided $1 million by the sum of each of those annual numbers to determine how long $1 million would cover retirement expenses in each of the cities in our study. Cities where $1 million lasted the longest ranked the highest in the study.

Sources: Bureau of Labor Statistics (BLS), Council for Community and Economic Research