Principal Financial Group 2012 Annual Report Download - page 15

nPrincipal International 2012 operating earnings
were $153 million.
nReported record assets under management
of $69.3 billion (excluding $11.3 billion of
assets under management in our asset
management joint venture in China, which
is not included in reported assets under
management).
nRecord reported net cash flows of $9.3 billion
in 2012.

nExpanded our retirement franchise with
successful acquisitions in Latin America:
• Claritas added mutual fund and asset
management capabilities in Brazil.
(Announced March 2012. Closed April
2012.)
• Cuprum is a leading provider of mandatory
and voluntary pension products in
Chile. (Announced October 2012. Closed
February 2013.)
nEntered new pension markets in Asia:
• CIMB Principal Asset Management Bhd
launched their Private Retirement Scheme
(PRS) to encourage greater retirement savings
in Malaysia. (October 2012)
• Launched Principal Retirement Advisors
(PRA) in India. The country’s first dedicated
retirement solutions specialist.
(October 2012)
nPrincipal Trust in Hong Kong was named
the “Best MPF Provider” by AsianInvestor.
(April 2012)
nBrasilPrev received the award for
“Outstanding Performance in the Retirement
Industry” by Brasil Notícias Editora e
Comunicação Empresarial, Brazilian news
and business communication publisher.
(April 2012)
nCIMB-Principal was named “Best Asset
Manager in Southeast Asia” for the third year
in a row by Alpha Southeast Asia.
(August 2012)
nFundPro selected two Principal AFORE
Funds as the best among its categories in the
Mexican pension industry. (November 2012)
nExtended distribution of mandatory pension
products in Mexico through an exclusive
distribution agreement with HSBC. Principal
AFORE products are now sold in more than
500 HSBC branches. (December 2012)
nRetirement and Investor Services full-year 2012
operating earnings were $575 million.
nFull service accumulation had record sales
of $11.5 billion and record net cash flows of
$7 billion. Annualized net revenue on new
sales is up 46 percent over 2011.
nPrincipal Funds had record sales of
$15.8 billion for the year, up 41 percent,
resulting in record net cash flows of $7 billion
for the year.
nIn the 2011 Chatham Partners Client
Satisfaction Survey of defined benefit
and defined contribution plans with more than
$5 million in assets, The Principal outperformed
the benchmark in client loyalty. The Principal
continues to receive a “Best in Class”
ranking for customer service and 97 percent
overall satisfaction score. (April 2012)
nReceived the DALBAR Communication Seal
of Excellence in customer communications for
our defined contribution statement.
(January 2012)
nPrincipal Funds was named one of the
“hottest fund firms this year” by
InvestmentNews, a weekly newspaper for
financial advisors. The rating is based on net
inflows to mutual funds through Oct. 31,
2012, as tracked by Morningstar.
(November 2012)
nPrincipal Funds is No. 19 on the list of top
advisor-sold mutual fund companies in the
U.S., according to Strategic Insight.
(December 2012)
nPrincipal Global Investors 2012 operating
earnings were $81 million.
nRecord unaffiliated assets under management
of $98.2 billion.
nStrong full-year unaffiliated net cash flows of
$6.9 billion.
nPrincipal Global Investors manages assets
for 13 of the 25 largest U.S. retirement plans.
(Determined by comparing the Pensions &
Investments “P&I 1,000” issued Feb. 4, 2013,
with company internal data as of
Dec. 31, 2012.)
nPrincipal Global Investors manages assets for
10 of the 25 world’s largest retirement funds.
(Determined by comparing “P&I/Towers
Watson World 300: The Largest Retirement
Funds” issued Sept. 3, 2012, with company
internal records as of Dec. 31, 2012.)
nPrincipal Real Estate Investors is a Top 10
manager of real estate. Managers ranked
by total worldwide real estate assets. Real
estate assets reported net of leverage and
93 managers profiled. “The Largest Real
Estate Investment Managers,” Pensions &
Investments, data as of June 30, 2012.
(October 2012)
nPrincipal Global Investors is the 28th largest
U.S. money manager out of 300 managers
profiled. Managers ranked by total assets
under management as of Dec. 31, 2011.
“II 300 America’s Top 300 Money
Managers,” Institutional Investor.
(July 2012)
2012 FINANCIAL HIGHLIGHTS RECOGNITION AND ACCOMPLISHMENTS
nU.S. Insurance Solutions 2012 operating
earnings were $138 million.
nAdjusting for a third quarter 2012 actuarial
assumption review, U.S. Insurance Solutions
2012 operating earnings were $198 million.
nStrong sales in U.S. Insurance Solutions
• Individual Life full-year sales up 22 percent
over 2011.
• Specialty Benefits premium and fee growth
of 5 percent over full-year 2011 and
favorable incurred loss ratio of 68.2 percent,
which is at the midpoint of the targeted
range.
nThe Principal acquired First Dental Health,
a California-based independent dental
provider organization with more than 11,000
credentialed dentists in California, Nevada and
Arizona. (August 2012)
nRecognized by PLANSPONSOR magazine
as the No. 2 non-qualified deferred
compensation provider based on number of
plans. (December 2012)
nRecognized as the No. 4 provider of non-
medical (dental, life and disability) insurance
based on 2011 LIMRA data on fully insured
employer contracts in force. (April 2012)
nRanked as the No. 6 provider of non-cancelable
individual disability income insurance based on
2011 LIMRA data of annualized new sale
premium. (February 2012)
2012 YEAR IN REVIEW | THE PRINCIPAL FINANCIAL GROUP 13