Principal Real Estate Investors LLC (Des Moines)


Principal Real Estate Investors LLC is a large advisory firm based in Des Moines. It manages $22.66 billion of regulatory assets for 1,698 client accounts. It has been registered with the SEC as an adviser since 2003 and has operated in the jurisdictions of Alabama, Alaska, Arizona, and 49 other states.

Principal Real Estate Investors provides portfolio management for individuals and small businesses, portfolio management for investment companies, portfolio management for pooled investment vehicles, portfolio management for businesses and institutional clients, and providing model portfolios. It doesn't provide financial planning services to its clients. On top of advisory services, the firm doesn't engage in other business activities.

Principal Real Estate Investors: assets under management

The assets under management (AUM) of Principal Real Estate Investors LLC is $22.66 billion. The firm's AUM has grown by 389% since the beginning of its operation, and $4.8 billion of the total AUM is attributable to clients outside of the United States.

The firm manages $16.38 billion in discretionary accounts and $6.28 billion in non-discretionary accounts. On average, the discretionary accounts where all decisions are made on behalf of the client hold $9.71 million each. Non-discretionary accounts, where clients actively manage their portfolios, generally hold around $523.45 million.
Principal Real Estate Investors has custody of $1.39 billion in cash and securities for 27 clients in total but doesn’t act as a qualified custodian.

Investments

The firm invests in exchange traded securities the most. They account for 63% of the total AUM. The second-largest asset type is other assets, which make up 35% of the firm’s portfolio. Investments in cash and cash equivalents form 1% of the total invested assets.

Fees & Commissions

The advisory firm has several streams of revenue. Clients pay Principal Real Estate Investors LLC for their services and products based on a percentage of assets under management, fixed fees, and performance-based fees. Flat-fee based compensation is the most transparent and the one you can safely predict in advance. These fees don’t include brokerage commissions, interest, taxes, and other account expenses.

What kind of clients James Patrick Mccaughan serves?

The firm provides services to individuals, insurance companies, investment companies, charitable organizations, high net worth individuals, pooled investment vehicles, banking or thrift institutions, corporations or other businesses, pension and profit sharing plans, state or municipal government entities, and sovereign wealth funds and foreign official institutions. The largest group of clients of James Patrick Mccaughan is investment companies with 11 clients and $9.49 billion of assets under management. Among the 9 most similar advisory firms, Principal Real Estate Investors has the highest percentage of investment companies out of all clients.

The amount of regulatory assets under management is $22.66 billion for 1,698 clients that can include trusts, estates, and 401(k) plans and IRAs of individuals and their family members. 1% of the firm’s clients are foreign persons or businesses.

Principal Real Estate Investors also advises several private funds. Namely, one hedge fund and two securitized asset funds. The minimum investment commitment required of non-related persons ranges from $250,000 to $300,000,000.

Careers at Principal Real Estate Investors LLC

The company employs 429 people that are either part- or full-time employees. 64 percent of the employees work as investment advisers or researchers. 3 employees are registered as investment adviser representatives with the state securities authorities.

There isn’t anyone with the role of looking for and bringing in new clients on behalf of the firm. The firm compensates employees in addition to the salary for bringing in new clients. Employees don’t receive compensation from other entities for client referrals.

James Patrick Mccaughan has been acting as President since 1 Nov 2011. Todd Eugene Everett joined the executive team most recently as the Director.

Direct owners and executive officers


Name Entity Date acquired Ownership Employer ID
Llc Principal Global Investors Sole member, 100% ownership 1 Sep 1998 75% - 100% 109002
Patrick Gregory Halter Chief executive officer 1 Oct 1998 Other 4372565
Gregory Charles Hauser Chief executive officer 1 Oct 1998 Other 4372550
Steven Kent Graves Chief operating officer 1 Oct 1998 Other 4372575
Richard W Hibbs Executive vice president - marketing 1 Oct 1998 Other 874204
Tim Howald Board member 1 Nov 1998 Other 3070136
Stephen William Pick Chief financial officer 1 Mar 2000 Other 4372599
Leanne Marie Valentine Counsel 1 Mar 2001 Other 4380646
Randall Craig Mundt President and chief investment officer 1 Jan 2002 Other 4372105
Frank Edward Schmitz Managing head of real estate equity 1 Oct 2002 Other 4650707
Michael Migro Chief compliance officer 1 Nov 2003 Other 4518525
Jerald Lee Bogart Board member 1 Aug 2004 Other 1700772
Barbara Mckenzie Executive director/chief compliance officer 1 May 2005 Other 4355260
Minoo Seraji Spellerberg Chief compliance officer - north america 1 Mar 2007 Other 2756308
Jeffrey Hiller Chief compliance officer-global 1 Apr 2007 Other 2612970
Karen Pearston Counsel 1 Mar 2008 Other 5512274
James Patrick Mccaughan Director 1 Nov 2011 Other 3074797
Julia Marie Lawler Director 1 Dec 2012 Other 4372586
Andrew John Donohue Chief compliance officer 1 Jan 2017 Other 2783317
Principal Global Investors Holding Company (Us) Llc 100% ownership 1 May 2017 75% - 100% 81-5287564
Todd Eugene Everett Director 1 Sep 2018 Other 6629511

Indirect Owners

The SEC currently registers 4 indirect owners.

Name Entity Date acquired Ownership Employer ID
Principal Life Insurance Company 100% owner 1 Sep 1998 75% - 100% 42-0127290
Inc. Principal Financial Services 100% owner 1 Oct 2001 75% - 100% 42-1520348
Inc. Principal Financial Group 100% owner 1 Oct 2001 75% - 100% 42-1520346
Inc. Principal Financial Services 100% owner 1 May 2017 75% - 100% 42-1520348

Based in Des Moines

The principal office where Principal Real Estate Investors LLC performs its advisory services is located at 801 Grand Ave, Des Moines, IA 50392 The mailing address of the firm is 711 High Street, Des Moines, IA 50392. An additional office of the firm is in New York, NY. It doesn’t run an office outside of the United States.

You can reach the main office by calling the phone number 1-800-533-1390 or by fax 866-850-4024. The normal business hours are 8:00a.m. - 5:00p.m. on Monday - Friday. You can find more information about the New York firm at principalglobal.com/ and its LinkedIn profile.