Principal Spectrum Preferred Securities Active ETF

The investment seeks to provide current income. Under normal circumstances, the fund invests at least 80% of its net assets, plus any borrowings for investment purposes, in preferred securities at the time of purchase. Examples of preferred securities include preferred stock, certain depositary receipts, and various types of junior subordinated debt (such debt generally includes the contractual ability to defer payment of interest without accelerating an immediate default event). It concentrates its investments (invests more than 25% of its net assets) in securities in one or more industries within the financial services sector.

Key features

Deep and broad experience 
A 30-year history analyzing,managing, and pricing complex security structures across a
variety of credit, interest rate, and regulatory conditions

Precise focus
Dedicated exposure to $1,000 par preferred securities, designed to offer attractive yields, diversification benefits, and reduced risk compared to other fixed income securities

Unique security structures
Fixed-to-float and fixed-to-variable securities offer potential for higher back-end spreads that may result in increased coupons to help manage interest rate risk

Daily as of 10/23/2020 unless otherwise stated


ICE BofA US Investment Grade Institutional Capital Securities Index

Net Asset Value (NAV)




Net Assets


Median Bid-Ask Spread as of 10/22/2020


Daily Volume


NAV Per Share Ticker


Shares Outstanding


Intraday NAV Ticker


30 Day SEC Yield as of 9/30/2020


Shares Outstanding Ticker


30 Day SEC Yield (Unsubsidized) as of 9/30/2020


Estimated Cash Ticker


Distribution Yield as of 10/1/2020


Total Cash Ticker


Investment Manager or Sub-advisor

Principal Global Investors, LLC

Portfolio Managers

Manu Krishnan since 7/10/2017

Roberto Giangregorio since 7/10/2017

Mark Lieb since 7/10/2017

L. Jacoby since 7/10/2017

  • Monthlyas of 9/30/2020
  • Monthlyas of 9/30/2020
  • Quarterlyas of 9/30/2020
  • Calendar Yearas of 2019
Average Annual Total Returns 1 Month 3 Month YTD 1 Year 3 Year 5 Year 10 Year Since Inception*
Net Asset Value (NAV) Return -0.64 4.70 2.94 5.72 4.79 N/A N/A 4.92
Market Price Return -0.40 4.74 2.96 5.70 4.67 N/A N/A 5.07
ICE BofA US Investment Grade Institutional Capital Securities Index -0.77 4.38 3.56 6.45 5.65 N/A N/A 6.03
Morningstar Category
Preferred Stock
-0.92 6.22 -2.31 0.11 2.81 4.71 6.04 N/A
# of Funds in Category 70 70 67 66 58 45 23 N/A
Morningstar Percentile Rankings 36 83 8 1 26 N/A N/A N/A
Average Annual Total Returns 1 Month 3 Month YTD 1 Year 3 Year 5 Year 10 Year Since Inception*
Net Asset Value (NAV) Return -0.64 4.70 2.94 5.72 4.79 N/A N/A 4.92
Market Price Return -0.40 4.74 2.96 5.70 4.67 N/A N/A 5.07
ICE BofA US Investment Grade Institutional Capital Securities Index -0.77 4.38 3.56 6.45 5.65 N/A N/A 6.03
Calendar Year Total Returns 2019 2018 2017 2016 2015
Net Asset Value (NAV) Return 17.78 -5.62 N/A N/A N/A
Market Price Return 17.38 -5.47 N/A N/A N/A
ICE BofA US Investment Grade Institutional Capital Securities Index 18.57 -4.52 N/A N/A N/A
Preferred Stock 17.63 -5.49 N/A N/A N/A

*Inception date: 7/10/2017

Some data is provided by Morningstar and is the most current information available. As of 9/30/2020


Morningstar percentile rankings are based on total returns. 

Investment results shown represent historical performance and do not guarantee future results. Investment returns and principal values fluctuate with changes in interest rates and other market conditions so the value, when redeemed, may be worth more or less than original costs. Current performance may be lower or higher than the performance data shown.

as of 9/30/2020
Rating # of Funds
3 Year Rating
# of Funds58
5 Year Rating


# of Funds45
Overall Rating
# of Funds67

Morningstar Category: Preferred Stock

Ratings reflect risk adjusted performance.

Ex-Date Type $ Per Share
Ex-Date10/1/2020 TypeIncome $ Per Share0.077899
Ex-Date9/1/2020 TypeIncome $ Per Share0.079159
Ex-Date8/3/2020 TypeIncome $ Per Share0.078304
Ex-Date7/1/2020 TypeIncome $ Per Share0.455586
Ex-Date6/1/2020 TypeIncome $ Per Share0.372966
Ex-Date5/1/2020 TypeIncome $ Per Share0.414308
Ex-Date4/1/2020 TypeIncome $ Per Share0.37056
Ex-Date3/2/2020 TypeIncome $ Per Share0.390174
Ex-Date2/3/2020 TypeIncome $ Per Share0.363091
Ex-Date12/27/2019 TypeIncome $ Per Share0.425
Ex-Date12/2/2019 TypeIncome $ Per Share0.394737
Ex-Date11/1/2019 TypeIncome $ Per Share0.341263
Ex-Date10/1/2019 TypeIncome $ Per Share0.349882
Ex-Date9/3/2019 TypeIncome $ Per Share0.416533
Ex-Date8/1/2019 TypeIncome $ Per Share0.377
Ex-Date7/1/2019 TypeIncome $ Per Share0.419143
Ex-Date6/3/2019 TypeIncome $ Per Share0.358
Ex-Date5/1/2019 TypeIncome $ Per Share0.4
Ex-Date4/1/2019 TypeIncome $ Per Share0.406666
Ex-Date3/1/2019 TypeIncome $ Per Share0.413454
Ex-Date2/1/2019 TypeIncome $ Per Share0.403454
Ex-Date12/27/2018 TypeIncome $ Per Share0.45308
Ex-Date12/3/2018 TypeIncome $ Per Share0.430182
Ex-Date11/1/2018 TypeIncome $ Per Share0.439091
Ex-Date10/1/2018 TypeIncome $ Per Share0.438
Ex-Date9/4/2018 TypeIncome $ Per Share0.437818
Ex-Date8/1/2018 TypeIncome $ Per Share0.365818
Ex-Date7/2/2018 TypeIncome $ Per Share0.365818
Ex-Date6/1/2018 TypeIncome $ Per Share0.387091
Ex-Date5/1/2018 TypeIncome $ Per Share0.402
Ex-Date4/2/2018 TypeIncome $ Per Share0.422666
Ex-Date3/1/2018 TypeIncome $ Per Share0.438999
Ex-Date2/1/2018 TypeIncome $ Per Share0.36225
Ex-Date12/27/2017 TypeIncome $ Per Share0.413999
Ex-Date12/15/2017 TypeShort Term Capital Gain $ Per Share0.02326
Ex-Date12/1/2017 TypeIncome $ Per Share0.425332
Ex-Date11/1/2017 TypeIncome $ Per Share0.436332

Dividends are paid monthly.

Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2020 Q2 2020 Q3 2020
Days Traded At Premium Q1 201961 Q2 201961 Q3 201964 Q4 201963 Q1 202053 Q2 202062 Q3 202060
Days Traded At Discount Q1 20190 Q2 20192 Q3 20190 Q4 20191 Q1 20209 Q2 20201 Q3 20204

Inception: 7/10/2017

This information shows differences between the per share net asset value (NAV) of the Fund and the market trading price of shares. For these purposes, the market price is the midpoint of the highest bid and lowest offer for Fund shares as of close of trading on the exchange where Fund shares are listed. Timing discrepancies may exist between NAV and closing price. Shareholders may pay more than net asset value when they buy Fund shares and receive less than net asset value when they sell those shares, because shares are bought and sold at current market prices.

as of 8/31/2020
3 Year 5 Year
Information Ratio
Sharpe Ratio
Standard Deviation
Tracking Error

Inception Date: 7/10/2017

Risk and return statistical data is calculated by Principal Global Investors.

Fund Information

as of 9/30/2020
Average Market Cap (mil): $N/A
Price/Earnings Ratio: N/A
Price/Book Ratio: N/A
Price/Cash Flow Ratio: N/A
Turnover Ratio: 41.90%
# Stock Holdings: 0
# Bond Holdings: 36
# Other Holdings: 10
# Total Holdings: 46
as of 9/30/2020
Investment Style
Interest-Rate Sensitivity

as of 10/23/2020
Top 10 Holdings Total Market Value % of Net Assets
Top 10 HoldingsTRANSCANADA TRUST COMPANY GUAR 09/79 VAR Total Market Value7,158,038.49 % of Net Assets4.03%
Top 10 HoldingsSUMITOMO LIFE INSUR SUBORDINATED 144A 09/73 VAR Total Market Value7,066,217.50 % of Net Assets3.98%
Top 10 HoldingsBANK OF AMERICA CORP JR SUBORDINA 12/49 VAR Total Market Value6,870,817.89 % of Net Assets3.87%
Top 10 HoldingsMETLIFE INC JR SUBORDINA 144A 04/68 9.25 Total Market Value6,832,180.78 % of Net Assets3.85%
Top 10 HoldingsDUKE ENERGY CORP JR SUBORDINA 12/99 VAR Total Market Value6,667,185.04 % of Net Assets3.76%
Top 10 HoldingsUS TREASURY N/B 08/40 1.125 Total Market Value6,658,845.11 % of Net Assets3.75%
Top 10 HoldingsCLOVERIE PLC ZURICH INS SUBORDINATED REGS 06/46 VAR Total Market Value6,631,870.00 % of Net Assets3.74%
Top 10 HoldingsARGENTUM (SWISS RE LTD) SUBORDINATED REGS 08/52 VAR Total Market Value6,389,923.40 % of Net Assets3.60%
Top 10 HoldingsTRUIST FINANCIAL CORP JR SUBORDINA 12/99 VAR Total Market Value6,349,921.76 % of Net Assets3.58%
Top 10 HoldingsAXA SA JR SUBORDINA 144A 12/49 VAR Total Market Value5,716,402.57 % of Net Assets3.22%

Includes, but is not limited to, unsettled activity from creation/redemption transactions and portfolio security trades and accrued interest. Values may exceed 100% if both long and short positions are included in the portfolio.

as of 09/30/2020
Asset Type Net Short Long
Asset TypeU.S. Bonds Net51.35% Short0.00% Long51.35%
Asset TypeNon-U.S. Bonds Net25.24% Short0.00% Long25.24%
Asset TypeU.S. Stocks Net0.00% Short0.00% Long0.00%
Asset TypeNon-U.S. Stocks Net0.00% Short0.00% Long0.00%
Asset TypePreferred Net3.09% Short0.00% Long3.09%
Asset TypeOther Net0.00% Short0.00% Long0.00%
Asset TypeCash Net2.75% Short0.09% Long2.84%
Asset TypeConvertibles Net17.58% Short0.00% Long17.58%
Total: 101.00%
as of 9/30/2020
Stock Sector Breakdown (% of Stocks)
% of stocks
Basic Materials 0.00%
Consumer Cyclical 0.00%
Financial Services 0.00%
Real Estate 0.00%

Consumer Defensive 0.00%
Healthcare 0.00%
Utilities 0.00%

Communication Services 0.00%
Energy 0.00%
Industrials 0.00%
Technology 0.00%


Holding, portfolio and sector allocations are subject to change.

Returns shown for periods of less than one year are not annualized.

Investor shares are bought and sold at market price (not NAV) and are not individually redeemed from the Fund. Ordinary brokerage commissions apply.

The market price used to calculate the Market Price Return is the midpoint between the highest bid and the lowest offer on the exchange on which the shares of the Fund are listed for trading, as of the time that the Fund's NAV is calculated. If you trade your shares at another time, your return may differ.

Where gross and net expense ratios differ, the investment adviser has contractually agreed to limit the investment option's expenses. Differences also may be due to the investment adviser's decision to waive (through the same dates) certain expenses that would normally be payable by the fund. The net expense figure reflects the impact of any limits or waivers. Returns displayed are based on net total investment expense.

Performance data quoted represents past performance. Past performance is no guarantee of future results and investment returns, and principal value of the Fund will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance quoted.

Investors should carefully consider a fund’s investment objectives, risks, charges, and expenses prior to investing.

© 2020 Morningstar, Inc. All Rights Reserved. Part of the data contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete, or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information.

The Morningstar Style Box is a nine-square grid that provides a graphical representation of the "investment style" of a fund. The Equity style box classifies securities by size along the vertical axis and by value and growth characteristics along the horizontal axis. The model for the fixed-income style box is based on the two pillars of fixed-incomeperformance: interest-rate sensitivity and credit quality. The three interest sensitivity groups are limited, moderate and extensive and the three credit quality groups are high, medium and low. These groupings display a portfolio’s effective duration and third party credit ratings to provide an overall representation of the fund’s risk orientation given the sensitivity to interest rate and credit rating of bonds in the portfolio.

The Morningstar RatingTM for funds, or "star rating," is calculated for managed products (including mutual funds, variable annuity and variable life subaccounts, exchange-traded funds, closed-end funds, and separate accounts) with at least a three-year history. Exchange traded funds and open-ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product's monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. The Overall Morningstar Rating for a managed product is derived from a weighted average of the performance figures associated with its three-, five-, and 10-year (if applicable) Morningstar Rating metrics. The weights are: 100% three-year rating for 36-59 months of total returns, 60% five-year rating/40% three-year rating for 60-119 months of total returns, and 50% 10-year rating/30% five-year rating/20% three-year rating for 120 or more months of total returns. While the 10-year overall star rating formula seems to give the most weight to the 10-year period, the most recent three-year period actually has the greatest impact because it is included in all three rating periods. Morningstar ratings do not reflect the inclusion of sales charges. If sales charges were reflected, ratings could be lower.


The ICE BofA Merrill Lynch U.S. Investment Grade Institutional Capital Securities Index tracks the performance of U.S. dollar denominated investment grade hybrid capital corporate and preferred securities publicly issued in the U.S. domestic market.


Asset allocation and diversification do not ensure a profit or protect against a loss. Investing in ETFs involves risk, including possible loss of principal. ETFs are subject to risk similar to those of stocks, including those regarding short-selling and margin account maintenance.

Risks of preferred securities differ from risks inherent in other investments. In particular, in a bankruptcy preferred securities are senior to common stock but subordinate to other corporate debt.

Unlike typical ETFs, there are no indices that the Principal Spectrum Preferred Securities Active ETF attempts to track or replicate. Thus, the ability of the Fund to achieve its objectives will depend on the effectiveness of the portfolio manager.