UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
| Investment Company Act file number | 811-23029 | |
| Principal Exchange-Traded Funds |
(Exact name of registrant as specified in charter)
| 711 High Street, Des Moines, IA 50309 |
(Address of principal executive offices) (Zip code)
| Principal Global Investors, LLC, 801 Grand Avenue, Des Moines, IA 50309 |
(Name and address of agent for service)
| Registrant’s telephone number, including area code: | 515-235-1719 | |
| Date of fiscal year end: | June 30, 2025 | |
| Date of reporting period: | December 31, 2024 | |
ITEM 1 – REPORT TO STOCKHOLDERS
(a) The following is a copy of the report transmitted to stockholders pursuant to Rule 30e-1 under the Act (17 CFR 270.30e-1).
Principal Active High Yield ETF
Principal U.S. Listing Exchange: NYSE Arca
Semi-Annual Shareholder Report
December 31, 2024
This semi-annual shareholder report contains important information about Principal Active High Yield ETF (the "Fund") for the period of July 1, 2024 to December 31, 2024. You can find additional information about the Fund at www.PrincipalAM.com/ETFprospectuses or you can request information by contacting us at 1-800-222-5852 or emailing prospectus@principalfunds.com.
What were the Fund costs for the last six months?
(based on a hypothetical $10,000 investment)
| Fund Name | Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
|---|
| Principal Active High Yield ETF | $20 | 0.39%Footnote Reference* |
|---|
| Footnote | Description |
Footnote* | Computed on an annualized basis. |
- Net Assets$267,864,685
- Total Number of Portfolio Holdings133
- Portfolio Turnover Rate24.5%
Graphical Representation of Holdings
| Asset Weighting | Percent of Net Assets |
| Bonds | 89.39% |
| Senior Floating Rate Interests | 8.07% |
| Investment Companies | 6.71% |
| Other Assets and Liabilities | (4.17)% |
| Total Net Assets | 100.00% |
| Sector | Percent of Net Assets |
| Consumer, Non-cyclical | 19.62% |
| Financial | 16.18% |
| Consumer, Cyclical | 15.09% |
| Energy | 10.64% |
| Basic Materials | 9.82% |
| Industrial | 7.57% |
| Communications | 7.38% |
| Utilities | 6.93% |
| Money Market Funds | 6.71% |
| Technology | 4.23% |
| Other Assets and Liabilities | (4.17)% |
| Total Net Assets | 100.00% |
Changes in and Disagreements with Accountants
During the two most recent fiscal years or any subsequent interim period, there have been no changes in or disagreements with Accountants.
The Fund's most recent prospectus, statement of additional information, financial statements and additional information, complete schedules of investments for the first and third quarters of each fiscal year, and proxy voting record can be found at www.PrincipalAM.com/ETFprospectuses. Did you know that our Tax Center can provide answers to your tax-related questions on your account? Visit our website at www.Principal.com/tax-center for more information.
Principal U.S. Listing Exchange: The Nasdaq Stock Market LLC
Semi-Annual Shareholder Report
December 31, 2024
This semi-annual shareholder report contains important information about Principal Quality ETF (the "Fund") for the period of July 1, 2024 to December 31, 2024. You can find additional information about the Fund at www.PrincipalAM.com/ETFprospectuses or you can request information by contacting us at 1-800-222-5852 or emailing prospectus@principalfunds.com.
What were the Fund costs for the last six months?
(based on a hypothetical $10,000 investment)
| Fund Name | Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
|---|
| Principal Quality ETF | $8 | 0.15%Footnote Reference* |
|---|
| Footnote | Description |
Footnote* | Computed on an annualized basis. |
- Net Assets$58,636,285
- Total Number of Portfolio Holdings74
- Portfolio Turnover Rate0.0%
Graphical Representation of Holdings
| Asset Weighting | Percent of Net Assets |
| Common Stocks | 99.83% |
| Investment Companies | 0.13% |
| Other Assets and Liabilities | 0.04% |
| Total Net Assets | 100.00% |
| Sector | Percent of Net Assets |
| Technology | 42.72% |
| Industrial | 16.60% |
| Consumer, Non-cyclical | 15.12% |
| Communications | 13.24% |
| Consumer, Cyclical | 8.09% |
| Basic Materials | 1.98% |
| Financial | 1.28% |
| Energy | 0.80% |
| Money Market Funds | 0.13% |
| Other Assets and Liabilities | 0.04% |
| Total Net Assets | 100.00% |
Changes in and Disagreements with Accountants
During the two most recent fiscal years or any subsequent interim period, there have been no changes in or disagreements with Accountants.
The Fund's most recent prospectus, statement of additional information, financial statements and additional information, complete schedules of investments for the first and third quarters of each fiscal year, and proxy voting record can be found at www.PrincipalAM.com/ETFprospectuses. Did you know that our Tax Center can provide answers to your tax-related questions on your account? Visit our website at www.Principal.com/tax-center for more information.
Principal U.S. Listing Exchange: The Nasdaq Stock Market LLC
Semi-Annual Shareholder Report
December 31, 2024
This semi-annual shareholder report contains important information about Principal Value ETF (the "Fund") for the period of July 1, 2024 to December 31, 2024. You can find additional information about the Fund at www.PrincipalAM.com/ETFprospectuses or you can request information by contacting us at 1-800-222-5852 or emailing prospectus@principalfunds.com.
What were the Fund costs for the last six months?
(based on a hypothetical $10,000 investment)
| Fund Name | Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
|---|
| Principal Value ETF | $8 | 0.15%Footnote Reference* |
|---|
| Footnote | Description |
Footnote* | Computed on an annualized basis. |
- Net Assets$80,685,201
- Total Number of Portfolio Holdings105
- Portfolio Turnover Rate38.7%
Graphical Representation of Holdings
| Asset Weighting | Percent of Net Assets |
| Common Stocks | 99.68% |
| Investment Companies | 0.16% |
| Other Assets and Liabilities | 0.16% |
| Total Net Assets | 100.00% |
| Sector | Percent of Net Assets |
| Financial | 28.09% |
| Technology | 21.48% |
| Industrial | 12.83% |
| Consumer, Non-cyclical | 11.45% |
| Energy | 10.99% |
| Consumer, Cyclical | 7.89% |
| Basic Materials | 4.30% |
| Communications | 2.65% |
| Money Market Funds | 0.16% |
| Other Assets and Liabilities | 0.16% |
| Total Net Assets | 100.00% |
Changes in and Disagreements with Accountants
During the two most recent fiscal years or any subsequent interim period, there have been no changes in or disagreements with Accountants.
The Fund's most recent prospectus, statement of additional information, financial statements and additional information, complete schedules of investments for the first and third quarters of each fiscal year, and proxy voting record can be found at www.PrincipalAM.com/ETFprospectuses. Did you know that our Tax Center can provide answers to your tax-related questions on your account? Visit our website at www.Principal.com/tax-center for more information.
Principal Spectrum Preferred Securities Active ETF
Principal U.S. Listing Exchange: NYSE Arca
Semi-Annual Shareholder Report
December 31, 2024
This semi-annual shareholder report contains important information about Principal Spectrum Preferred Securities Active ETF (the "Fund") for the period of July 1, 2024 to December 31, 2024. You can find additional information about the Fund at www.PrincipalAM.com/ETFprospectuses or you can request information by contacting us at 1-800-222-5852 or emailing prospectus@principalfunds.com.
What were the Fund costs for the last six months?
(based on a hypothetical $10,000 investment)
| Fund Name | Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
|---|
| Principal Spectrum Preferred Securities Active ETF | $28 | 0.55%Footnote Reference* |
|---|
| Footnote | Description |
Footnote* | Computed on an annualized basis. |
- Net Assets$1,055,821,824
- Total Number of Portfolio Holdings117
- Portfolio Turnover Rate7.8%
Graphical Representation of Holdings
| Asset Weighting | Percent of Net Assets |
| Bonds | 97.00% |
| Investment Companies | 3.50% |
| Other Assets and Liabilities | (0.50)% |
| Total Net Assets | 100.00% |
| Sector | Percent of Net Assets |
| Financial | 77.68% |
| Utilities | 11.87% |
| Energy | 7.38% |
| Money Market Funds | 3.50% |
| Government | 0.07% |
| Other Assets and Liabilities | (0.50)% |
| Total Net Assets | 100.00% |
Changes in and Disagreements with Accountants
During the two most recent fiscal years or any subsequent interim period, there have been no changes in or disagreements with Accountants.
The Fund's most recent prospectus, statement of additional information, financial statements and additional information, complete schedules of investments for the first and third quarters of each fiscal year, and proxy voting record can be found at www.PrincipalAM.com/ETFprospectuses. Did you know that our Tax Center can provide answers to your tax-related questions on your account? Visit our website at www.Principal.com/tax-center for more information.
Principal U.S. Small-Cap ETF
Principal U.S. Listing Exchange: The Nasdaq Stock Market LLC
Semi-Annual Shareholder Report
December 31, 2024
This semi-annual shareholder report contains important information about Principal U.S. Small-Cap ETF (the "Fund") for the period of July 1, 2024 to December 31, 2024. You can find additional information about the Fund at www.PrincipalAM.com/ETFprospectuses or you can request information by contacting us at 1-800-222-5852 or emailing prospectus@principalfunds.com.
What were the Fund costs for the last six months?
(based on a hypothetical $10,000 investment)
| Fund Name | Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
|---|
| Principal U.S. Small-Cap ETF | $20 | 0.38%Footnote Reference* |
|---|
| Footnote | Description |
Footnote* | Computed on an annualized basis. |
- Net Assets$728,244,420
- Total Number of Portfolio Holdings502
- Portfolio Turnover Rate34.7%
Graphical Representation of Holdings
| Asset Weighting | Percent of Net Assets |
| Common Stocks | 99.73% |
| Investment Companies | 0.57% |
| Other Assets and Liabilities | (0.30)% |
| Total Net Assets | 100.00% |
| Sector | Percent of Net Assets |
| Financial | 23.28% |
| Consumer, Non-cyclical | 22.56% |
| Industrial | 17.82% |
| Consumer, Cyclical | 11.82% |
| Technology | 9.21% |
| Energy | 4.71% |
| Communications | 4.38% |
| Basic Materials | 3.15% |
| Utilities | 2.80% |
| Money Market Funds | 0.57% |
| Other Assets and Liabilities | (0.30)% |
| Total Net Assets | 100.00% |
Changes in and Disagreements with Accountants
During the two most recent fiscal years or any subsequent interim period, there have been no changes in or disagreements with Accountants.
The Fund's most recent prospectus, statement of additional information, financial statements and additional information, complete schedules of investments for the first and third quarters of each fiscal year, and proxy voting record can be found at www.PrincipalAM.com/ETFprospectuses. Did you know that our Tax Center can provide answers to your tax-related questions on your account? Visit our website at www.Principal.com/tax-center for more information.
Principal U.S. Mega-Cap ETF
Principal U.S. Listing Exchange: The Nasdaq Stock Market LLC
Semi-Annual Shareholder Report
December 31, 2024
This semi-annual shareholder report contains important information about Principal U.S. Mega-Cap ETF (the "Fund") for the period of July 1, 2024 to December 31, 2024. You can find additional information about the Fund at www.PrincipalAM.com/ETFprospectuses or you can request information by contacting us at 1-800-222-5852 or emailing prospectus@principalfunds.com.
What were the Fund costs for the last six months?
(based on a hypothetical $10,000 investment)
| Fund Name | Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
|---|
| Principal U.S. Mega-Cap ETF | $6 | 0.12%Footnote Reference* |
|---|
| Footnote | Description |
Footnote* | Computed on an annualized basis. |
- Net Assets$2,563,960,209
- Total Number of Portfolio Holdings26
- Portfolio Turnover Rate27.9%
Graphical Representation of Holdings
| Asset Weighting | Percent of Net Assets |
| Common Stocks | 99.82% |
| Investment Companies | 0.16% |
| Other Assets and Liabilities | 0.02% |
| Total Net Assets | 100.00% |
| Sector | Percent of Net Assets |
| Technology | 24.40% |
| Financial | 21.92% |
| Communications | 18.34% |
| Consumer, Non-cyclical | 17.69% |
| Consumer, Cyclical | 13.33% |
| Energy | 4.14% |
| Money Market Funds | 0.16% |
| Other Assets and Liabilities | 0.02% |
| Total Net Assets | 100.00% |
Changes in and Disagreements with Accountants
During the two most recent fiscal years or any subsequent interim period, there have been no changes in or disagreements with Accountants.
The Fund's most recent prospectus, statement of additional information, financial statements and additional information, complete schedules of investments for the first and third quarters of each fiscal year, and proxy voting record can be found at www.PrincipalAM.com/ETFprospectuses. Did you know that our Tax Center can provide answers to your tax-related questions on your account? Visit our website at www.Principal.com/tax-center for more information.
Principal Focused Blue Chip ETF
Principal U.S. Listing Exchange: Cboe BZX Exchange, Inc.
Semi-Annual Shareholder Report
December 31, 2024
This semi-annual shareholder report contains important information about Principal Focused Blue Chip ETF (the "Fund") for the period of July 1, 2024 to December 31, 2024. You can find additional information about the Fund at www.PrincipalAM.com/ETFprospectuses or you can request information by contacting us at 1-800-222-5852 or emailing prospectus@principalfunds.com.
What were the Fund costs for the last six months?
(based on a hypothetical $10,000 investment)
| Fund Name | Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
|---|
| Principal Focused Blue Chip ETF | $30 | 0.58%Footnote Reference* |
|---|
| Footnote | Description |
Footnote* | Computed on an annualized basis. |
- Net Assets$89,785,854
- Total Number of Portfolio Holdings24
- Portfolio Turnover Rate12.4%
Graphical Representation of Holdings
| Asset Weighting | Percent of Net Assets |
| Common Stocks | 99.80% |
| Investment Companies | 0.36% |
| Other Assets and Liabilities | (0.16)% |
| Total Net Assets | 100.00% |
| Sector | Percent of Net Assets |
| Communications | 31.52% |
| Financial | 24.59% |
| Technology | 23.19% |
| Consumer, Non-cyclical | 8.30% |
| Consumer, Cyclical | 7.63% |
| Industrial | 4.57% |
| Money Market Funds | 0.36% |
| Other Assets and Liabilities | (0.16)% |
| Total Net Assets | 100.00% |
Changes in and Disagreements with Accountants
During the two most recent fiscal years or any subsequent interim period, there have been no changes in or disagreements with Accountants.
The Fund's most recent prospectus, statement of additional information, financial statements and additional information, complete schedules of investments for the first and third quarters of each fiscal year, and proxy voting record can be found at www.PrincipalAM.com/ETFprospectuses. Did you know that our Tax Center can provide answers to your tax-related questions on your account? Visit our website at www.Principal.com/tax-center for more information.
Principal Investment Grade Corporate Active ETF
Principal U.S. Listing Exchange: NYSE Arca
Semi-Annual Shareholder Report
December 31, 2024
This semi-annual shareholder report contains important information about Principal Investment Grade Corporate Active ETF (the "Fund") for the period of July 1, 2024 to December 31, 2024. You can find additional information about the Fund at www.PrincipalAM.com/ETFprospectuses or you can request information by contacting us at 1-800-222-5852 or emailing prospectus@principalfunds.com.
What were the Fund costs for the last six months?
(based on a hypothetical $10,000 investment)
| Fund Name | Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
|---|
| Principal Investment Grade Corporate Active ETF | $10 | 0.19%Footnote Reference* |
|---|
| Footnote | Description |
Footnote* | Computed on an annualized basis. |
- Net Assets$91,597,125
- Total Number of Portfolio Holdings206
- Portfolio Turnover Rate39.1%
Graphical Representation of Holdings
| Asset Weighting | Percent of Net Assets |
| Bonds | 97.83% |
| Investment Companies | 1.62% |
Other Assets and LiabilitiesFootnote Reference* | 0.55% |
| Total Net Assets | 100.00% |
| Footnote | Description |
Footnote* | Includes derivatives |
| Sector | Percent of Net Assets |
| Financial | 38.70% |
| Utilities | 13.08% |
| Consumer, Non-cyclical | 9.60% |
| Technology | 8.50% |
| Energy | 7.63% |
| Industrial | 6.53% |
| Communications | 6.09% |
| Consumer, Cyclical | 5.36% |
| Basic Materials | 2.34% |
| Money Market Funds | 1.62% |
Other Assets and LiabilitiesFootnote Reference* | 0.55% |
| Total Net Assets | 100.00% |
| Footnote | Description |
Footnote* | Includes derivatives |
Changes in and Disagreements with Accountants
During the two most recent fiscal years or any subsequent interim period, there have been no changes in or disagreements with Accountants.
The Fund's most recent prospectus, statement of additional information, financial statements and additional information, complete schedules of investments for the first and third quarters of each fiscal year, and proxy voting record can be found at www.PrincipalAM.com/ETFprospectuses. Did you know that our Tax Center can provide answers to your tax-related questions on your account? Visit our website at www.Principal.com/tax-center for more information.
Principal Spectrum Tax-Advantaged Dividend Active ETF
Principal U.S. Listing Exchange: NYSE Arca
Semi-Annual Shareholder Report
December 31, 2024
This semi-annual shareholder report contains important information about Principal Spectrum Tax-Advantaged Dividend Active ETF (the "Fund") for the period of July 1, 2024 to December 31, 2024. You can find additional information about the Fund at www.PrincipalAM.com/ETFprospectuses or you can request information by contacting us at 1-800-222-5852 or emailing prospectus@principalfunds.com.
What were the Fund costs for the last six months?
(based on a hypothetical $10,000 investment)
| Fund Name | Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
|---|
| Principal Spectrum Tax-Advantaged Dividend Active ETF | $31 | 0.60%Footnote Reference* |
|---|
| Footnote | Description |
Footnote* | Computed on an annualized basis. |
- Net Assets$35,908,055
- Total Number of Portfolio Holdings60
- Portfolio Turnover Rate10.5%
Graphical Representation of Holdings
| Asset Weighting | Percent of Net Assets |
| Bonds | 90.59% |
| Preferred Stocks | 7.20% |
| Investment Companies | 1.37% |
| Other Assets and Liabilities | 0.84% |
| Total Net Assets | 100.00% |
| Sector | Percent of Net Assets |
| Financial | 90.83% |
| Utilities | 2.97% |
| Energy | 2.47% |
| Communications | 1.52% |
| Money Market Funds | 1.37% |
| Other Assets and Liabilities | 0.84% |
| Total Net Assets | 100.00% |
Changes in and Disagreements with Accountants
During the two most recent fiscal years or any subsequent interim period, there have been no changes in or disagreements with Accountants.
The Fund's most recent prospectus, statement of additional information, financial statements and additional information, complete schedules of investments for the first and third quarters of each fiscal year, and proxy voting record can be found at www.PrincipalAM.com/ETFprospectuses. Did you know that our Tax Center can provide answers to your tax-related questions on your account? Visit our website at www.Principal.com/tax-center for more information.
Principal Real Estate Active Opportunities ETF
Principal U.S. Listing Exchange: NYSE Arca
Semi-Annual Shareholder Report
December 31, 2024
This semi-annual shareholder report contains important information about Principal Real Estate Active Opportunities ETF (the "Fund") for the period of July 1, 2024 to December 31, 2024. You can find additional information about the Fund at www.PrincipalAM.com/ETFprospectuses or you can request information by contacting us at 1-800-222-5852 or emailing prospectus@principalfunds.com.
What were the Fund costs for the last six months?
(based on a hypothetical $10,000 investment)
| Fund Name | Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
|---|
| Principal Real Estate Active Opportunities ETF | $33 | 0.63%Footnote Reference* |
|---|
| Footnote | Description |
Footnote* | Computed on an annualized basis. |
- Net Assets$11,773,152
- Total Number of Portfolio Holdings24
- Portfolio Turnover Rate17.7%
Graphical Representation of Holdings
| Asset Weighting | Percent of Net Assets |
| Common Stocks | 98.43% |
| Investment Companies | 1.19% |
| Other Assets and Liabilities | 0.38% |
| Total Net Assets | 100.00% |
| Sector | Percent of Net Assets |
| Financial | 96.90% |
| Consumer, Cyclical | 1.53% |
| Money Market Funds | 1.19% |
| Other Assets and Liabilities | 0.38% |
| Total Net Assets | 100.00% |
Changes in and Disagreements with Accountants
During the two most recent fiscal years or any subsequent interim period, there have been no changes in or disagreements with Accountants.
The Fund's most recent prospectus, statement of additional information, financial statements and additional information, complete schedules of investments for the first and third quarters of each fiscal year, and proxy voting record can be found at www.PrincipalAM.com/ETFprospectuses. Did you know that our Tax Center can provide answers to your tax-related questions on your account? Visit our website at www.Principal.com/tax-center for more information.
Principal International Equity ETF
Principal U.S. Listing Exchange: Cboe BZX Exchange, Inc.
Semi-Annual Shareholder Report
December 31, 2024
This semi-annual shareholder report contains important information about Principal International Equity ETF (the "Fund") for the period of November 5, 2024 to December 31, 2024. You can find additional information about the Fund at www.PrincipalAM.com/ETFprospectuses or you can request information by contacting us at 1-800-222-5852 or emailing prospectus@principalfunds.com.
What were the Fund costs for the last six months?
(based on a hypothetical $10,000 investment)
| Fund Name | Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
|---|
| Principal International Equity ETF | $7Footnote Reference* | 0.48%Footnote Reference† |
|---|
| Footnote | Description |
Footnote* | Expenses are for the period from November 5, 2024, date operations commenced, through December 31, 2024. Expenses for the full reporting period would be higher. |
Footnote† | Computed on an annualized basis. |
- Net Assets$39,661,336
- Total Number of Portfolio Holdings32
- Portfolio Turnover Rate3.7%
Graphical Representation of Holdings
| Asset Weighting | Percent of Net Assets |
| Common Stocks | 98.04% |
| Investment Companies | 1.95% |
| Other Assets and Liabilities | 0.01% |
| Total Net Assets | 100.00% |
| Top Locations | Percent of Net Assets |
| United Kingdom | 19.59% |
| United States | 13.23% |
| Japan | 11.52% |
| Canada | 8.49% |
| Germany | 8.30% |
| China | 6.82% |
| France | 6.71% |
| Ireland | 4.12% |
| Netherlands | 3.93% |
| Taiwan | 3.72% |
| South Korea | 3.23% |
| Greece | 2.91% |
| Hong Kong | 2.84% |
| Italy | 2.63% |
Other LocationsFootnote Reference* | 1.95% |
| Other Assets and Liabilities | 0.01% |
| Total Net Assets | 100.00% |
| Footnote | Description |
Footnote* | Includes locations other than the top twenty and/or Investment Companies. |
Changes in and Disagreements with Accountants
During the two most recent fiscal years or any subsequent interim period, there have been no changes in or disagreements with Accountants.
The Fund's most recent prospectus, statement of additional information, financial statements and additional information, complete schedules of investments for the first and third quarters of each fiscal year, and proxy voting record can be found at www.PrincipalAM.com/ETFprospectuses. Did you know that our Tax Center can provide answers to your tax-related questions on your account? Visit our website at www.Principal.com/tax-center for more information.
(b) Not applicable.
ITEM 2 – CODE OF ETHICS
Not applicable to semi-annual reports.
ITEM 3 – AUDIT COMMITTEE FINANCIAL EXPERT
Not applicable to semi-annual reports.
ITEM 4 – PRINCIPAL ACCOUNTANT FEES AND SERVICES
Not applicable to semi-annual reports.
ITEM 5 – AUDIT COMMITTEE OF LISTED REGISTRANTS
Not applicable to semi-annual reports.
ITEM 6 – INVESTMENTS
Schedule of Investments is included as part of the Financial Statements filed under Item 7 of this form.
ITEM 7 – FINANCIAL STATEMENTS AND FINANCIAL HIGHLIGHTS FOR OPEN-END MANAGEMENT INVESTMENT COMPANIES
(a) Financial Statements
(b) Financial Highlights
Principal
Exchange-Traded
Funds
Semi-Annual
Financial
Statements
and
Additional
Information
December
31,
2024
Not
FDIC
or
NCUA
insured
May
lose
value
•
Not
a
deposit
•
No
bank
or
credit
union
guarantee
Not
insured
by
any
Federal
government
agency
Financial
Statements
1
Notes
to
Financial
Statements
20
Schedules
of
Investments
33
Financial
Highlights
(Includes
performance
information)
61
Unaudited
Supplemental
Information
72
Changes
in
and
Disagreements
with
Accountants
(N-CSR
Item
8)
73
Proxy
Disclosures
(N-CSR
Item
9)
74
Remuneration
Paid
to
Directors,
Officers
and
Others
(N-CSR
Item
10)
75
Statement
Regarding
Basis
for
Approval
of
Investment
Advisory
Contracts
(N-CSR
Item
11)
76
Statements
of
Assets
and
Liabilities
Principal
Exchange-Traded
Funds
December
31,
2024
(unaudited)
Principal
Active
High
Yield
ETF
Principal
Focused
Blue
Chip
ETF
Principal
International
Equity
ETF
Investment
in
securities
-
at
cost
..................................................
$
266,845,974
$
78,469,529
$
40,358,677
Investment
in
affiliated
funds
-
at
cost
.............................................
$
11,016,690
$
—
$
—
Foreign
currency
-
at
cost
........................................................
$
—
$
—
$
1,777
Assets
Investment
in
securities
-
at
value
...................................................
$
268,017,497
(a)
$
89,930,520
$
39,655,831
Investment
in
affiliated
funds
-
at
value
..............................................
11,016,690
—
—
Foreign
currency
-
at
value
........................................................
—
—
1,774
Receivables:
Dividends
and
interest
........................................................
4,727,659
7,198
19,955
Securities
lending
income
.....................................................
14,322
98
—
Investment
securities
sold
.....................................................
37,104
252,692
—
Fund
shares
sold
............................................................
956,554
—
—
Total
Assets
284,769,826
90,190,508
39,677,560
Liabilities
Cash
overdraft
..................................................................
5,304
—
—
Accrued
management
and
investment
advisory
fees
....................................
87,261
44,604
16,221
Payables:
–
–
–
Investment
securities
purchased
................................................
5,795,886
360,050
3
Collateral
obligation
on
securities
loaned
-
at
value
.....................................
11,016,690
—
—
Total
Liabilities
16,905,141
404,654
16,224
Net
Assets
Applicable
to
Outstanding
Shares
........................................
$
267,864,685
$
89,785,854
$
39,661,336
0
.00
%!
0
.00
%!
0
.00
%!
Net
Assets
Consist
of:
Capital
shares
and
additional
paid-in-capital
..........................................
$
284,460,109
$
78,225,546
$
40,406,094
Total
distributable
earnings
(accumulated
loss)
........................................
(
16,595,424
)
11,560,308
(
744,758
)
Total
Net
Assets
$
267,864,685
$
89,785,854
$
39,661,336
Net
Asset
Value
Per
Share:
Net
assets
..................................................................
$
267,864,685
$
89,785,854
$
39,661,336
Shares
issued
and
outstanding
..................................................
14,000,000
2,640,001
1,640,001
Net
asset
value
per
share
......................................................
$
19
.13
$
34
.01
$
24
.18
(a)
Includes
fair
market
value
of
securities
loaned,
see
'Securities
Lending'
in
Notes
to
Financial
Statements.
Statements
of
Assets
and
Liabilities
Principal
Exchange-Traded
Funds
December
31,
2024
(unaudited)
Principal
Investment
Grade
Corporate
Active
ETF
Principal
Quality
ETF
Principal
Real
Estate
Active
Opportunities
ETF
Investment
in
securities
-
at
cost
..................................................
$
91,545,658
$
49,882,392
$
11,208,853
Investment
in
affiliated
funds
-
at
cost
.............................................
$
800,320
$
—
$
—
Assets
Investment
in
securities
-
at
value
...................................................
$
90,296,791
(a)
$
58,614,172
$
11,728,438
Investment
in
affiliated
funds
-
at
value
..............................................
800,320
—
—
Deposits
with
counterparty
........................................................
87,620
—
—
Receivables:
Dividends
and
interest
........................................................
1,218,710
29,768
66,364
Securities
lending
income
.....................................................
104
—
—
Investment
securities
sold
.....................................................
—
—
98,795
Variation
margin
on
financial
derivative
instruments
................................
8,564
—
—
Total
Assets
92,412,109
58,643,940
11,893,597
Liabilities
Accrued
management
and
investment
advisory
fees
....................................
14,664
7,655
6,180
Payables:
–
–
–
Investment
securities
purchased
................................................
—
—
114,265
Collateral
obligation
on
securities
loaned
-
at
value
.....................................
800,320
—
—
Total
Liabilities
814,984
7,655
120,445
Net
Assets
Applicable
to
Outstanding
Shares
........................................
$
91,597,125
$
58,636,285
$
11,773,152
0
.00
%!
0
.00
%!
0
.00
%!
Net
Assets
Consist
of:
Capital
shares
and
additional
paid-in-capital
..........................................
$
112,422,086
$
59,825,360
$
11,407,783
Total
distributable
earnings
(accumulated
loss)
........................................
(
20,824,961
)
(
1,189,075
)
365,369
Total
Net
Assets
$
91,597,125
$
58,636,285
$
11,773,152
Net
Asset
Value
Per
Share:
Net
assets
..................................................................
$
91,597,125
$
58,636,285
$
11,773,152
Shares
issued
and
outstanding
..................................................
4,500,001
820,001
480,001
Net
asset
value
per
share
......................................................
$
20
.35
$
71
.51
$
24
.53
(a)
Includes
fair
market
value
of
securities
loaned,
see
'Securities
Lending'
in
Notes
to
Financial
Statements.
Statements
of
Assets
and
Liabilities
Principal
Exchange-Traded
Funds
December
31,
2024
(unaudited)
Principal
Spectrum
Preferred
Securities
Active
ETF
Principal
Spectrum
Tax-Advantaged
Dividend
Active
ETF
Principal
U.S.
Mega-
Cap
ETF
Investment
in
securities
-
at
cost
..................................................
$
1,005,576,857
$
35,254,240
$
1,947,389,308
Investment
in
affiliated
funds
-
at
cost
.............................................
$
15,853,593
$
—
$
—
Assets
Investment
in
securities
-
at
value
...................................................
$
1,045,229,432
(a)
$
35,606,799
$
2,563,519,431
Investment
in
affiliated
funds
-
at
value
..............................................
15,853,593
—
—
Deposits
with
counterparty
........................................................
—
27,210
—
Receivables:
Dividends
and
interest
........................................................
11,076,213
292,064
709,131
Securities
lending
income
.....................................................
2,150
—
—
Fund
shares
sold
............................................................
—
—
1,196,417
Expense
reimbursement
from
Advisor
...........................................
—
—
67,263
Total
Assets
1,072,161,388
35,926,073
2,565,492,242
Liabilities
Accrued
management
and
investment
advisory
fees
....................................
485,971
18,018
336,314
Payables:
–
–
–
Investment
securities
purchased
................................................
—
—
1,195,719
Collateral
obligation
on
securities
loaned
-
at
value
.....................................
15,853,593
—
—
Total
Liabilities
16,339,564
18,018
1,532,033
Net
Assets
Applicable
to
Outstanding
Shares
........................................
$
1,055,821,824
$
35,908,055
$
2,563,960,209
0
.00
%!
0
.00
%!
0
.00
%!
Net
Assets
Consist
of:
Capital
shares
and
additional
paid-in-capital
..........................................
$
1,042,535,007
$
37,178,358
$
1,804,791,926
Total
distributable
earnings
(accumulated
loss)
........................................
13,286,817
(
1,270,303
)
759,168,283
Total
Net
Assets
$
1,055,821,824
$
35,908,055
$
2,563,960,209
Net
Asset
Value
Per
Share:
Net
assets
..................................................................
$
1,055,821,824
$
35,908,055
$
2,563,960,209
Shares
issued
and
outstanding
..................................................
56,900,005
1,900,001
42,860,001
Net
asset
value
per
share
......................................................
$
18
.56
$
18
.90
$
59
.82
(a)
Includes
fair
market
value
of
securities
loaned,
see
'Securities
Lending'
in
Notes
to
Financial
Statements.
Statements
of
Assets
and
Liabilities
Principal
Exchange-Traded
Funds
December
31,
2024
(unaudited)
Principal
U.S.
Small-
Cap
ETF
Principal
Value
ETF
Investment
in
securities
-
at
cost
.......................................................................
$
688,065,371
$
74,800,616
Investment
in
affiliated
funds
-
at
cost
..................................................................
$
2,593,049
$
—
Assets
Investment
in
securities
-
at
value
........................................................................
$
727,850,308
(a)
$
80,552,894
Investment
in
affiliated
funds
-
at
value
...................................................................
2,593,049
—
Receivables:
Dividends
and
interest
.............................................................................
613,816
142,768
Securities
lending
income
..........................................................................
2,751
—
Investment
securities
sold
..........................................................................
596
—
Fund
shares
sold
.................................................................................
4,096,953
—
Total
Assets
735,157,473
80,695,662
Liabilities
Accrued
management
and
investment
advisory
fees
.........................................................
235,939
10,461
Payables:
–
–
Investment
securities
purchased
.....................................................................
4,084,065
—
Collateral
obligation
on
securities
loaned
-
at
value
..........................................................
2,593,049
—
Total
Liabilities
6,913,053
10,461
Net
Assets
Applicable
to
Outstanding
Shares
.............................................................
$
728,244,420
$
80,685,201
0
.00
%!
0
.00
%!
Net
Assets
Consist
of:
Capital
shares
and
additional
paid-in-capital
...............................................................
$
810,054,276
$
96,722,890
Total
distributable
earnings
(accumulated
loss)
.............................................................
(
81,809,856
)
(
16,037,689
)
Total
Net
Assets
$
728,244,420
$
80,685,201
Net
Asset
Value
Per
Share:
Net
assets
.......................................................................................
$
728,244,420
$
80,685,201
Shares
issued
and
outstanding
.......................................................................
14,220,001
1,630,001
Net
asset
value
per
share
...........................................................................
$
51
.21
$
49
.50
(a)
Includes
fair
market
value
of
securities
loaned,
see
'Securities
Lending'
in
Notes
to
Financial
Statements.
Statements
of
Operations
Principal
Exchange-Traded
Funds
Six
Months
Ended
December
31,
2024
(unaudited)
–
Principal
Active
High
Yield
ETF
Principal
Focused
Blue
Chip
ETF
Principal
International
Equity
ETF
(a)
Net
Investment
Income
(Loss)
Income:
Dividends
...........................................................
$
260,760
$
362,190
$
55,962
Withholding
tax
.......................................................
(
1,074
)
(
2,004
)
(
4,648
)
Interest
............................................................
8,770,141
—
—
Securities
lending
-
net
..................................................
61,047
146
—
Total
Income
9,090,874
360,332
51,314
Expenses:
Management
and
investment
advisory
fees
...................................
461,544
224,952
20,589
Total
Expenses
461,544
224,952
20,589
Net
Investment
Income
(Loss)
8,629,330
135,380
30,725
Net
Realized
and
Unrealized
Gain
(Loss)
Net
realized
gain
(loss)
from:
Investment
transactions
.................................................
879,100
725,979
(
22,806
)
In-kind
redemptions
....................................................
292,253
—
—
Foreign
currency
transactions
.............................................
—
—
(
9,840
)
Net
change
in
unrealized
appreciation
(depreciation)
of:
Investments
.........................................................
992,860
4,990,523
(
702,846
)
Translation
of
assets
and
liabilities
in
foreign
currencies
..........................
—
—
10
Net
Realized
and
Unrealized
Gain
(Loss)
2,164,213
5,716,502
(
735,482
)
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
$
10,793,543
$
5,851,882
$
(
704,757
)
–
%!
–
%!
–
%!
(a)
Period
from
November
5,
2024,
date
operations
commenced,
through
December
31,
2024.
Statements
of
Operations
Principal
Exchange-Traded
Funds
Six
Months
Ended
December
31,
2024
(unaudited)
–
Principal
Investment
Grade
Corporate
Active
ETF
Principal
Quality
ETF
Principal
Real
Estate
Active
Opportunities
ETF
Net
Investment
Income
(Loss)
Income:
Dividends
...........................................................
$
30,354
$
233,387
$
222,091
Interest
............................................................
2,260,356
—
—
Securities
lending
-
net
..................................................
867
—
—
Total
Income
2,291,577
233,387
222,091
Expenses:
Management
and
investment
advisory
fees
...................................
83,667
42,732
38,124
Total
Expenses
83,667
42,732
38,124
Net
Investment
Income
(Loss)
2,207,910
190,655
183,967
Net
Realized
and
Unrealized
Gain
(Loss)
Net
realized
gain
(loss)
from:
Investment
transactions
.................................................
165,124
219
(
6,006
)
Futures
contracts
......................................................
(
62,060
)
—
—
Net
change
in
unrealized
appreciation
(depreciation)
of:
Investments
.........................................................
(
136,507
)
2,711,585
471,140
Futures
contracts
......................................................
(
68,734
)
—
—
Net
Realized
and
Unrealized
Gain
(Loss)
(
102,177
)
2,711,804
465,134
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
$
2,105,733
$
2,902,459
$
649,101
–
%!
–
%!
–
%!
Statements
of
Operations
Principal
Exchange-Traded
Funds
Six
Months
Ended
December
31,
2024
(unaudited)
–
Principal
Spectrum
Preferred
Securities
Active
ETF
Principal
Spectrum
Tax-Advantaged
Dividend
Active
ETF
Principal
U.S.
Mega-
Cap
ETF
Net
Investment
Income
(Loss)
Income:
Dividends
...........................................................
$
419,258
$
87,373
$
15,007,715
Interest
............................................................
24,551,520
838,610
—
Securities
lending
-
net
..................................................
17,076
—
—
Total
Income
24,987,854
925,983
15,007,715
Expenses:
Management
and
investment
advisory
fees
...................................
2,689,041
103,708
1,904,502
Total
Gross
Expenses
2,689,041
103,708
1,904,502
Less:
Reimbursement
from
Advisor
............................................
—
—
(
380,900
)
Total
Net
Expenses
2,689,041
103,708
1,523,602
Net
Investment
Income
(Loss)
22,298,813
822,275
13,484,113
Net
Realized
and
Unrealized
Gain
(Loss)
Net
realized
gain
(loss)
from:
Investment
transactions
.................................................
894,833
146,619
(
26,681,471
)
In-kind
redemptions
....................................................
—
—
262,952,440
Net
change
in
unrealized
appreciation
(depreciation)
of:
Investments
.........................................................
19,640,575
503,347
16,565,754
Net
Realized
and
Unrealized
Gain
(Loss)
20,535,408
649,966
252,836,723
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
$
42,834,221
$
1,472,241
$
266,320,836
–
%!
–
%!
–
%!
Statements
of
Operations
Principal
Exchange-Traded
Funds
Six
Months
Ended
December
31,
2024
(unaudited)
–
Principal
U.S.
Small-
Cap
ETF
Principal
Value
ETF
Net
Investment
Income
(Loss)
Income:
Dividends
..............................................................................
$
5,764,329
$
929,115
Withholding
tax
..........................................................................
(
13,919
)
—
Securities
lending
-
net
.....................................................................
11,025
—
Income
tax
benefit
—
2,455
Total
Income
5,761,435
931,570
Expenses:
Management
and
investment
advisory
fees
......................................................
1,265,753
57,271
Total
Expenses
1,265,753
57,271
Net
Investment
Income
(Loss)
4,495,682
874,299
Net
Realized
and
Unrealized
Gain
(Loss)
Net
realized
gain
(loss)
from:
Investment
transactions
....................................................................
(
3,954,269
)
1,139,590
In-kind
redemptions
.......................................................................
42,670,909
5,793,388
Net
change
in
unrealized
appreciation
(depreciation)
of:
Investments
............................................................................
(
3,392,541
)
(
1,215,973
)
Net
Realized
and
Unrealized
Gain
(Loss)
35,324,099
5,717,005
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
$
39,819,781
$
6,591,304
–
%!
–
%!
Statement
of
Changes
in
Net
Assets
Principal
Exchange-Traded
Funds
(unaudited)
Principal
Active
High
Yield
ETF
Period
Ended
December
31,
2024
Year
Ended
June
30,
2024
Operations
Net
investment
income
(loss)
......................................................................
$
8,629,330
$
10,092,393
Net
realized
gain
(loss)
...........................................................................
1,171,353
(
1,573,051
)
Net
change
in
unrealized
appreciation
(depreciation)
......................................................
992,860
7,374,240
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
10,793,543
15,893,582
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments
............................................
(
10,067,833
)
(
9,781,816
)
Total
Dividends
and
Distributions
(
10,067,833
)
(
9,781,816
)
Capital
Share
Transactions
Net
increase
(decrease)
in
capital
share
transactions
......................................................
54,147,721
101,785,431
Total
Increase
(Decrease)
in
Net
Assets
54,873,431
107,897,197
Net
Assets
Beginning
of
period
.............................................................................
212,991,254
105,094,057
End
of
period
..................................................................................
$
267,864,685
$
212,991,254
Capital
Share
Transactions:
Dollars:
Sold
.....................................................................................
$
60,795,365
$
103,668,643
Redeemed
.................................................................................
(
6,647,644
)
(
1,883,212
)
Net
Increase
(Decrease)
$
54,147,721
$
101,785,431
Shares:
Sold
.....................................................................................
3,150,000
5,550,000
Redeemed
.................................................................................
(
350,000
)
(
100,000
)
Net
Increase
(Decrease)
2,800,000
5,450,000
Statement
of
Changes
in
Net
Assets
Principal
Exchange-Traded
Funds
(unaudited)
Principal
Focused
Blue
Chip
ETF
Period
Ended
December
31,
2024
Period
Ended
June
30,
2024
(a)
Operations
Net
investment
income
(loss)
......................................................................
$
135,380
$
49,583
Net
realized
gain
(loss)
...........................................................................
725,979
1,763,858
Net
change
in
unrealized
appreciation
(depreciation)
......................................................
4,990,523
6,470,468
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
5,851,882
8,283,909
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments
............................................
(
905,324
)
(
56,457
)
Total
Dividends
and
Distributions
(
905,324
)
(
56,457
)
Capital
Share
Transactions
Net
increase
(decrease)
in
capital
share
transactions
......................................................
37,295,307
39,316,537
Total
Increase
(Decrease)
in
Net
Assets
42,241,865
47,543,989
Net
Assets
Beginning
of
period
.............................................................................
47,543,989
—
End
of
period
..................................................................................
$
89,785,854
$
47,543,989
Capital
Share
Transactions:
Dollars:
Sold
.....................................................................................
$
37,295,307
$
54,025,241
Redeemed
.................................................................................
—
(
14,708,704
)
Net
Increase
(Decrease)
$
37,295,307
$
39,316,537
Shares:
Sold
.....................................................................................
1,160,000
2,020,001
Redeemed
.................................................................................
—
(
540,000
)
Net
Increase
(Decrease)
1,160,000
1,480,001
(a)
Period
from
July
12,
2023,
date
operations
commenced,
through
June
30,
2024.
Statement
of
Changes
in
Net
Assets
Principal
Exchange-Traded
Funds
(unaudited)
Principal
International
Equity
ETF
Period
Ended
December
31,
2024
(a)
Operations
Net
investment
income
(loss)
.......................................................................................
$
30,725
Net
realized
gain
(loss)
............................................................................................
(
32,646
)
Net
change
in
unrealized
appreciation
(depreciation)
.......................................................................
(
702,836
)
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
(
704,757
)
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments
.............................................................
(
40,001
)
Total
Dividends
and
Distributions
(
40,001
)
Capital
Share
Transactions
Net
increase
(decrease)
in
capital
share
transactions
.......................................................................
40,406,094
Total
Increase
(Decrease)
in
Net
Assets
39,661,336
Net
Assets
Beginning
of
period
..............................................................................................
—
End
of
period
...................................................................................................
$
39,661,336
Capital
Share
Transactions:
Dollars:
Sold
......................................................................................................
$
40,406,094
Redeemed
..................................................................................................
—
Net
Increase
(Decrease)
$
40,406,094
Shares:
Sold
......................................................................................................
1,640,001
Redeemed
..................................................................................................
—
Net
Increase
(Decrease)
1,640,001
(a)
Period
from
November
5,
2024,
date
operations
commenced,
through
December
31,
2024.
Statement
of
Changes
in
Net
Assets
Principal
Exchange-Traded
Funds
(unaudited)
Principal
Investment
Grade
Corporate
Active
ETF
Period
Ended
December
31,
2024
Year
Ended
June
30,
2024
Operations
Net
investment
income
(loss)
......................................................................
$
2,207,910
$
3,339,489
Net
realized
gain
(loss)
...........................................................................
103,064
(
1,289,396
)
Net
change
in
unrealized
appreciation
(depreciation)
......................................................
(
205,241
)
1,432,016
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
2,105,733
3,482,109
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments
............................................
(
2,615,652
)
(
3,265,121
)
Total
Dividends
and
Distributions
(
2,615,652
)
(
3,265,121
)
Capital
Share
Transactions
Net
increase
(decrease)
in
capital
share
transactions
......................................................
11,481,193
33,234,667
Total
Increase
(Decrease)
in
Net
Assets
10,971,274
33,451,655
Net
Assets
Beginning
of
period
.............................................................................
80,625,851
47,174,196
End
of
period
..................................................................................
$
91,597,125
$
80,625,851
Capital
Share
Transactions:
Dollars:
Sold
.....................................................................................
$
11,481,193
$
33,234,667
Redeemed
.................................................................................
—
—
Net
Increase
(Decrease)
$
11,481,193
$
33,234,667
Shares:
Sold
.....................................................................................
550,000
1,650,000
Redeemed
.................................................................................
—
—
Net
Increase
(Decrease)
550,000
1,650,000
Statement
of
Changes
in
Net
Assets
Principal
Exchange-Traded
Funds
(unaudited)
Principal
Quality
ETF
Period
Ended
December
31,
2024
Year
Ended
June
30,
2024
Operations
Net
investment
income
(loss)
......................................................................
$
190,655
$
366,784
Net
realized
gain
(loss)
...........................................................................
219
5,367,627
Net
change
in
unrealized
appreciation
(depreciation)
......................................................
2,711,585
2,320,354
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
2,902,459
8,054,765
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments
............................................
(
276,206
)
(
365,717
)
Total
Dividends
and
Distributions
(
276,206
)
(
365,717
)
Capital
Share
Transactions
Net
increase
(decrease)
in
capital
share
transactions
......................................................
2,788,690
8,836,615
Total
Increase
(Decrease)
in
Net
Assets
5,414,943
16,525,663
Net
Assets
Beginning
of
period
.............................................................................
53,221,342
36,695,679
End
of
period
..................................................................................
$
58,636,285
$
53,221,342
Capital
Share
Transactions:
Dollars:
Sold
.....................................................................................
$
2,788,690
$
26,799,652
Redeemed
.................................................................................
—
(
17,963,037
)
Net
Increase
(Decrease)
$
2,788,690
$
8,836,615
Shares:
Sold
.....................................................................................
40,000
450,000
Redeemed
.................................................................................
—
(
320,000
)
Net
Increase
(Decrease)
40,000
130,000
Statement
of
Changes
in
Net
Assets
Principal
Exchange-Traded
Funds
(unaudited)
Principal
Real
Estate
Active
Opportunities
ETF
Period
Ended
December
31,
2024
Year
Ended
June
30,
2024
Operations
Net
investment
income
(loss)
......................................................................
$
183,967
$
208,643
Net
realized
gain
(loss)
...........................................................................
(
6,006
)
42,815
Net
change
in
unrealized
appreciation
(depreciation)
......................................................
471,140
519,664
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
649,101
771,122
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments
............................................
(
207,248
)
(
185,133
)
Total
Dividends
and
Distributions
(
207,248
)
(
185,133
)
Capital
Share
Transactions
Net
increase
(decrease)
in
capital
share
transactions
......................................................
1,036,053
4,266,169
Total
Increase
(Decrease)
in
Net
Assets
1,477,906
4,852,158
Net
Assets
Beginning
of
period
.............................................................................
10,295,246
5,443,088
End
of
period
..................................................................................
$
11,773,152
$
10,295,246
Capital
Share
Transactions:
Dollars:
Sold
.....................................................................................
$
1,036,053
$
6,042,999
Redeemed
.................................................................................
—
(
1,776,830
)
Net
Increase
(Decrease)
$
1,036,053
$
4,266,169
Shares:
Sold
.....................................................................................
40,000
280,000
Redeemed
.................................................................................
—
(
80,000
)
Net
Increase
(Decrease)
40,000
200,000
Statement
of
Changes
in
Net
Assets
Principal
Exchange-Traded
Funds
(unaudited)
Principal
Spectrum
Preferred
Securities
Active
ETF
Period
Ended
December
31,
2024
Year
Ended
June
30,
2024
Operations
Net
investment
income
(loss)
......................................................................
$
22,298,813
$
33,957,561
Net
realized
gain
(loss)
...........................................................................
894,833
(
225,877
)
Net
change
in
unrealized
appreciation
(depreciation)
......................................................
19,640,575
64,353,416
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
42,834,221
98,085,100
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments
............................................
(
26,658,510
)
(
35,097,696
)
Total
Dividends
and
Distributions
(
26,658,510
)
(
35,097,696
)
Capital
Share
Transactions
Net
increase
(decrease)
in
capital
share
transactions
......................................................
134,793,970
265,878,510
Total
Increase
(Decrease)
in
Net
Assets
150,969,681
328,865,914
Net
Assets
Beginning
of
period
.............................................................................
904,852,143
575,986,229
End
of
period
..................................................................................
$
1,055,821,824
$
904,852,143
Capital
Share
Transactions:
Dollars:
Sold
.....................................................................................
$
134,793,970
$
265,878,510
Redeemed
.................................................................................
—
—
Net
Increase
(Decrease)
$
134,793,970
$
265,878,510
Shares:
Sold
.....................................................................................
7,250,000
15,500,000
Redeemed
.................................................................................
—
—
Net
Increase
(Decrease)
7,250,000
15,500,000
Statement
of
Changes
in
Net
Assets
Principal
Exchange-Traded
Funds
(unaudited)
Principal
Spectrum
Tax-Advantaged
Dividend
Active
ETF
Period
Ended
December
31,
2024
Year
Ended
June
30,
2024
Operations
Net
investment
income
(loss)
......................................................................
$
822,275
$
1,034,701
Net
realized
gain
(loss)
...........................................................................
146,619
(
93,135
)
Net
change
in
unrealized
appreciation
(depreciation)
......................................................
503,347
1,581,675
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
1,472,241
2,523,241
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments
............................................
(
1,008,766
)
(
1,128,933
)
Total
Dividends
and
Distributions
(
1,008,766
)
(
1,128,933
)
Capital
Share
Transactions
Net
increase
(decrease)
in
capital
share
transactions
......................................................
11,213,455
2,755,468
Total
Increase
(Decrease)
in
Net
Assets
11,676,930
4,149,776
Net
Assets
Beginning
of
period
.............................................................................
24,231,125
20,081,349
End
of
period
..................................................................................
$
35,908,055
$
24,231,125
Capital
Share
Transactions:
Dollars:
Sold
.....................................................................................
$
13,110,523
$
2,755,468
Redeemed
.................................................................................
(
1,897,068
)
—
Net
Increase
(Decrease)
$
11,213,455
$
2,755,468
Shares:
Sold
.....................................................................................
700,000
150,000
Redeemed
.................................................................................
(
100,000
)
—
Net
Increase
(Decrease)
600,000
150,000
Statement
of
Changes
in
Net
Assets
Principal
Exchange-Traded
Funds
(unaudited)
Principal
U.S.
Mega-Cap
ETF
Period
Ended
December
31,
2024
Year
Ended
June
30,
2024
Operations
Net
investment
income
(loss)
......................................................................
$
13,484,113
$
26,849,465
Net
realized
gain
(loss)
...........................................................................
236,270,969
60,219,185
Net
change
in
unrealized
appreciation
(depreciation)
......................................................
16,565,754
398,405,905
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
266,320,836
485,474,555
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments
............................................
(
20,619,166
)
(
24,799,821
)
Total
Dividends
and
Distributions
(
20,619,166
)
(
24,799,821
)
Capital
Share
Transactions
Net
increase
(decrease)
in
capital
share
transactions
......................................................
(
122,441,107
)
516,171,391
Total
Increase
(Decrease)
in
Net
Assets
123,260,563
976,846,125
Net
Assets
Beginning
of
period
.............................................................................
2,440,699,646
1,463,853,521
End
of
period
..................................................................................
$
2,563,960,209
$
2,440,699,646
Capital
Share
Transactions:
Dollars:
Sold
.....................................................................................
$
698,306,293
$
680,910,849
Redeemed
.................................................................................
(
820,747,400
)
(
164,739,458
)
Net
Increase
(Decrease)
$
(
122,441,107
)
$
516,171,391
Shares:
Sold
.....................................................................................
12,440,000
14,930,000
Redeemed
.................................................................................
(
14,680,000
)
(
3,330,000
)
Net
Increase
(Decrease)
(
2,240,000
)
11,600,000
Statement
of
Changes
in
Net
Assets
Principal
Exchange-Traded
Funds
(unaudited)
Principal
U.S.
Small-Cap
ETF
Period
Ended
December
31,
2024
Year
Ended
June
30,
2024
Operations
Net
investment
income
(loss)
......................................................................
$
4,495,682
$
3,991,014
Net
realized
gain
(loss)
...........................................................................
38,716,640
20,288,434
Net
change
in
unrealized
appreciation
(depreciation)
......................................................
(
3,392,541
)
37,490,832
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
39,819,781
61,770,280
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments
............................................
(
3,667,064
)
(
3,309,240
)
Total
Dividends
and
Distributions
(
3,667,064
)
(
3,309,240
)
Capital
Share
Transactions
Net
increase
(decrease)
in
capital
share
transactions
......................................................
109,263,796
323,075,596
Total
Increase
(Decrease)
in
Net
Assets
145,416,513
381,536,636
Net
Assets
Beginning
of
period
.............................................................................
582,827,907
201,291,271
End
of
period
..................................................................................
$
728,244,420
$
582,827,907
Capital
Share
Transactions:
Dollars:
Sold
.....................................................................................
$
287,031,526
$
336,938,688
Redeemed
.................................................................................
(
177,767,730
)
(
13,863,092
)
Net
Increase
(Decrease)
$
109,263,796
$
323,075,596
Shares:
Sold
.....................................................................................
5,580,000
7,680,000
Redeemed
.................................................................................
(
3,460,000
)
(
330,000
)
Net
Increase
(Decrease)
2,120,000
7,350,000
Statement
of
Changes
in
Net
Assets
Principal
Exchange-Traded
Funds
(unaudited)
Principal
Value
ETF
Period
Ended
December
31,
2024
Year
Ended
June
30,
2024
Operations
Net
investment
income
(loss)
......................................................................
$
874,299
$
1,344,912
Net
realized
gain
(loss)
...........................................................................
6,932,978
(
219,931
)
Net
change
in
unrealized
appreciation
(depreciation)
......................................................
(
1,215,973
)
6,733,378
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
6,591,304
7,858,359
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments
............................................
(
1,255,840
)
(
1,265,935
)
Total
Dividends
and
Distributions
(
1,255,840
)
(
1,265,935
)
Capital
Share
Transactions
Net
increase
(decrease)
in
capital
share
transactions
......................................................
6,864,093
24,553,238
Total
Increase
(Decrease)
in
Net
Assets
12,199,557
31,145,662
Net
Assets
Beginning
of
period
.............................................................................
68,485,644
37,339,982
End
of
period
..................................................................................
$
80,685,201
$
68,485,644
Capital
Share
Transactions:
Dollars:
Sold
.....................................................................................
$
32,118,809
$
26,202,905
Redeemed
.................................................................................
(
25,254,716
)
(
1,649,667
)
Net
Increase
(Decrease)
$
6,864,093
$
24,553,238
Shares:
Sold
.....................................................................................
660,000
630,000
Redeemed
.................................................................................
(
520,000
)
(
40,000
)
Net
Increase
(Decrease)
140,000
590,000
Notes
to
Financial
Statements
Principal
Exchange-Traded
Funds
December
31,
2024
(unaudited)
1.
Organization
The
Principal
Exchange-Traded
Funds
(the
“Trust”)
is
a
statutory
trust
organized
under
the
laws
of
the
State
of
Delaware
in
2013
and
is
authorized
to
have
multiple
series
or
portfolios.
The
Trust
is
an
open-end
management
investment
company,
registered
under
the
Investment
Company
Act
of
1940,
as
amended
(the
“1940
Act”).
The
Trust
currently
consists
of eleven
series,
Principal
Active
High
Yield
ETF,
Principal
Focused
Blue
Chip
ETF,
Principal
International
Equity
ETF,
Principal
Investment
Grade
Corporate
Active
ETF,
Principal
Quality
ETF,
Principal
Real
Estate
Active
Opportunities
ETF,
Principal
Spectrum
Preferred
Securities
Active
ETF,
Principal
Spectrum
Tax-Advantaged
Dividend
Active
ETF,
Principal
U.S.
Mega-Cap
ETF,
Principal
U.S.
Small-Cap
ETF
and
Principal
Value
ETF
(collectively,
the
“Funds”
and
individually,
a
“Fund”).
The
shares
of
the
Funds
are
referred
to
herein
as
“Shares”.
Each
of
the
Funds
is
an
investment
company
and
applies
specialized
accounting
and
reporting
under
Accounting
Standards
Codification
Topic
946,
Financial
Services
-
Investment
Companies.
The
Funds
have
not
provided
financial
support
and
are
not
contractually
required
to
provide
financial
support
to
any
investee.
The
Trust
issues
and
redeems
Shares
at
net
asset
value
(“NAV”)
only
with
Authorized
Participants
(“APs”)
and
only
in
aggregations
of
20,000
Shares
with
the
exception
of
Principal
Active
High
Yield
ETF,
Principal
Investment
Grade
Corporate
Active
ETF,
Principal
Spectrum
Preferred
Securities
Active
ETF
and
Principal
Spectrum
Tax-Advantaged
Dividend
Active
ETF
which
are
issued
and
redeemed
in
aggregations
of
50,000
shares
(each
a
“Creation
Unit”
or
multiples
thereof
“Creation
Unit
Aggregations”),
which
is
subject
to
change.
The
Trust
issues
and
redeems
Creation
Unit
Aggregations
in
exchange
for
portfolio
securities
and/or
cash,
plus
a
fixed
and/or
variable
transaction
fee.
Shares
trade
on
exchanges
at
market
prices
that
may
be
below,
at,
or
above
NAV.
Shares
are
listed
on
the
respective
exchanges
as
listed
below:
Principal
Focused
Blue
Chip
ETF
initial
investment
and
commencement
of
operations
was
July
12,
2023.
Principal
International
Equity
ETF
initial
investment
and
commencement
of
operations
was
November
5,
2024.
2.
Significant
Accounting
Policies
The
preparation
of
financial
statements
in
conformity
with
U.S.
Generally
Accepted
Accounting
Principles
(“U.S.
GAAP”)
requires
management
to
make
estimates
and
assumptions
that
affect
the
reported
amounts
of
assets
and
liabilities
and
disclosure
of
contingent
assets
and
liabilities
at
the
date
of
the
financial
statements
and
the
reported
amounts
of
revenues
and
expenses
during
the
reporting
period.
Actual
results
could
differ
from
those
estimates.
The
following
summarizes
the
significant
accounting
policies
of
the
Funds:
Security
Valuation.
The
Funds
may
invest
in
series
of
Principal
Funds,
Inc.
(an
affiliate
of
the
Advisor)
and
other
investment
funds,
which
may
include
money
market
funds
and
other
registered
open-end
investment
companies.
Investments
in
registered
open-end
investment
companies
are
valued
at
the
respective
fund’s
closing
NAV
per
share
on
the
day
of
valuation.
The
Funds
value
securities
for
which
market
quotations
are
readily
available
at
fair
value,
which
is
determined
using
the
last
reported
sale
price.
If
no
sales
are
reported,
as
is
regularly
the
case
for
some
securities
traded
over-the-counter
(“OTC”),
securities
are
valued
using
the
last
reported
bid
price
or
an
evaluated
bid
price
provided
by
a
pricing
service.
Pricing
services
use
modeling
techniques
that
incorporate
security
characteristics
such
as
current
quotations
by
broker/dealers,
coupon,
maturity,
quality,
type
of
issue,
trading
characteristics,
other
yield
and
risk
factors
and
other
market
conditions
to
determine
an
evaluated
bid
price.
When
reliable
market
quotations
are
not
considered
to
be
readily
available,
which
may
be
the
case,
for
example,
with
respect
to
restricted
securities,
certain
debt
securities,
preferred
stocks,
and
foreign
securities,
the
investments
are
valued
at
their
fair
value
as
determined
in
good
faith
by
the
Principal
Global
Investors,
LLC
(“the
Advisor”)
under
procedures
established
and
periodically
reviewed
by
the
Board
of
Trustees.
Fund
Exchange
Principal
Active
High
Yield
ETF
NYSE
Arca
Principal
Focused
Blue
Chip
ETF
Cboe
BZX
Exchange,
Inc.
Principal
International
Equity
ETF
Cboe
BZX
Exchange,
Inc.
Principal
Investment
Grade
Corporate
Active
ETF
NYSE
Arca
Principal
Quality
ETF
The
Nasdaq
Stock
Market
LLC
Principal
Real
Estate
Active
Opportunities
ETF
NYSE
Arca
Principal
Spectrum
Preferred
Securities
Active
ETF
NYSE
Arca
Principal
Spectrum
Tax-Advantaged
Dividend
Active
ETF
NYSE
Arca
Principal
U.S.
Mega-Cap
ETF
The
Nasdaq
Stock
Market
LLC
Principal
U.S.
Small-Cap
ETF
The
Nasdaq
Stock
Market
LLC
Principal
Value
ETF
The
Nasdaq
Stock
Market
LLC
Notes
to
Financial
Statements
Principal
Exchange-Traded
Funds
December
31,
2024
(unaudited)
The
value
of
foreign
securities
used
in
computing
the
NAV
per
share
is
generally
determined
as
of
the
close
of
the
foreign
exchange
where
the
security
is
principally
traded.
Events
that
occur
after
the
close
of
the
applicable
foreign
market
or
exchange
but
prior
to
the
calculation
of
the
Fund’s
NAV
are
reflected
in
the
Fund’s
NAV
and
these
securities
are
valued
at
fair
value.
Many
factors,
provided
by
independent
pricing
services,
are
reviewed
in
the
course
of
making
a
good
faith
determination
of
a
security’s
fair
value
including,
but
not
limited
to,
price
movements
in
American
Depository
Receipts
(“ADRs”),
futures
contracts,
industry
indices,
general
indices,
and
foreign
currencies.
To
the
extent
the
Funds
invest
in
foreign
securities
listed
on
foreign
exchanges
which
trade
on
days
on
which
the
Funds
do
not
determine
NAV,
for
example,
weekends
and
other
customary
national
U.S.
holidays,
the
Fund’s
NAV
could
be
significantly
affected
on
days
when
shares
are
not
able
to
be
issued
or
redeemed
by
APs.
Certain
securities
issued
by
companies
in
emerging
market
countries
may
have
more
than
one
quoted
valuation
at
any
given
point
in
time,
sometimes
referred
to
as
a
“local”
price
and
a
“premium”
price.
The
premium
price
is
often
a
negotiated
price,
which
may
not
consistently
represent
a
price
at
which
a
specific
transaction
can
be
effected.
It
is
the
policy
of
the
Funds
to
value
such
securities
at
prices
at
which
it
is
expected
those
shares
may
be
sold,
and
the
Advisor,
or
any
sub-advisor,
is
authorized
to
make
such
determinations
subject
to
such
oversight
by
the
Board
of
Trustees,
as
may
occasionally
be
necessary.
Currency
Translation.
Foreign
holdings
are
translated
to
U.S.
dollars
using
the
exchange
rate
at
the
daily
close
of
the
New
York
Stock
Exchange.
The
identified
cost
of
the
Funds’
holdings
is
translated
at
approximate
rates
prevailing
when
acquired.
Income
and
expense
amounts
are
translated
at
approximate
rates
prevailing
when
received
or
paid,
with
daily
accruals
of
such
amounts
reported
at
approximate
rates
prevailing
at
the
date
of
valuation.
Since
the
carrying
amount
of
the
foreign
securities
is
determined
based
on
the
exchange
rate
and
market
values
at
the
close
of
the
period,
it
is
not
practicable
to
isolate
that
portion
of
the
results
of
operations
arising
as
a
result
of
changes
in
the
foreign
exchange
rates
from
the
fluctuations
arising
from
changes
in
the
market
prices
of
securities
during
the
period.
Net
realized
foreign
exchange
gains
or
losses
arise
from
sales
of
foreign
currencies,
currency
gains
or
losses
realized
between
trade
and
settlement
dates
on
security
transactions,
and
the
difference
between
the
amount
of
dividends,
interest
income,
interest
expense,
and
foreign
withholding
taxes
recorded
on
the
books
and
the
U.S.
dollar
equivalent
of
the
amounts
actually
received
or
paid.
Net
unrealized
appreciation
(depreciation)
on
translation
of
assets
and
liabilities
in
foreign
currencies
arise
from
changes
in
the
exchange
rate
relating
to
assets
and
liabilities,
other
than
investments
in
securities,
purchased
and
held
in
non-U.S.
denominated
currencies.
The
following
Funds
held
securities
denominated
in
foreign
currencies
that
exceeded
5%
of
net
assets
of
the
respective
Fund
as
of
December
31,
2024:
Income
and
Investment
Transactions.
The
Funds
record
investment
transactions
on
a
trade
date
basis.
Trade
date
for
senior
floating
rate
interests
purchased
in
the
primary
market
is
considered
the
date
on
which
the
loan
allocations
are
determined.
Trade
date
for
senior
floating
rate
interests
purchased
in
the
secondary
market
is
the
date
on
which
the
transaction
is
entered
into.
The
identified
cost
basis
has
been
used
in
determining
the
net
realized
gain
or
loss
from
investment
transactions
and
unrealized
appreciation
or
depreciation
of
investments.
The
Funds
record
dividend
income
on
the
ex-dividend
date,
except
dividend
income
from
foreign
securities
whereby
the
ex-dividend
date
has
passed;
such
dividends
are
recorded
as
soon
as
the
Funds
are
informed
of
the
ex-dividend
date.
Interest
income
is
recognized
on
an
accrual
basis.
Payment
in
kind
(“PIK”)
income
is
computed
on
the
value
of
the
securities
received
at
the
contractual
rate
specified
in
each
loan
agreement.
Discounts
and
premiums
on
securities
are
accreted/amortized,
respectively,
on
the
level
yield
method
over
the
expected
lives
of
the
respective
securities.
Callable
debt
securities
purchased
at
a
premium
are
amortized
to
the
earliest
call
date
and
to
the
callable
amount,
if
other
than
par.
Distributions
from
Real
Estate
Investment
Trusts
(“REITs”) may
be
characterized
as
ordinary
income,
capital
gain,
or
a
return
of
capital
to
the
Funds.
The
proper
characterization
of
REIT
distributions
is
generally
not
known
until
after
the
end
of
each
calendar
year.
As
such,
estimates
are
used
in
reporting
the
character
of
income
and
distributions
for
financial
statement
purposes.
Principal
Real
Estate
Active
Opportunities
ETF
receives
substantial
distributions
from
holdings
in
REITs.
Capital
Share
Transactions.
Capital
shares
are
issued
and
redeemed
by
the
Funds
only
in
a
Creation
Unit
or
Creation
Unit
Aggregations.
Except
when
aggregated
into
at
least
a
Creation
Unit,
Shares
are
not
redeemable.
Principal
International
Equity
ETF
British
Pound
Sterling
22
.42
%
Canadian
Dollar
8
.50
Euro
29
.61
Hong
Kong
Dollar
9
.66
Japanese
Yen
11
.51
2.
Significant
Accounting
Policies
(continued)
Notes
to
Financial
Statements
Principal
Exchange-Traded
Funds
December
31,
2024
(unaudited)
The
consideration
for
the
purchase
of
a
Creation
Unit
or
Creation
Unit
Aggregations
of
a
Fund
generally
consists
of
a
basket
of
cash
and/or
securities
that
the
Fund
specifies
each
business
day.
To
offset
transfer
and
other
transaction
costs
associated
with
the
issuance
and
redemption
of
Creation
Unit
Aggregations,
APs
are
subject
to
standard
creation
and
redemption
transaction
fees.
Expenses.
For
all
Funds,
a
unitary
investment
management
and
advisory
fee
is
charged.
The
Advisor
covers
all
operating
expenses
including
Trustee
expenses
and
Chief
Compliance
Officer's
compensation through
the
investment
management
and
advisory
fee
with
the
exception
of
12b-1
fees,
brokerage
commissions
and
other
expenses
connected
to
the
execution
of
portfolio
transactions,
interest
expense,
taxes,
acquired
fund
fees
and
expenses,
litigation
expenses
and
other
extraordinary
expenses,
if
applicable.
Dividends
and
Distributions to
Shareholders.
Dividends
and
distributions
to
shareholders
of
the
Funds
are
recorded
on
the
ex-dividend
date.
Dividends
and
distributions
to
shareholders
from
net
investment
income
and
net
realized
gain
from
investments
and
foreign
currency
transactions
are
determined
in
accordance
with
federal
tax
regulations,
which
may
differ
from
U.S.
GAAP.
These
differences
are
primarily
due
to
differing
treatments
for
amortization
of
premiums
and
discounts,
futures
contracts,
net
operating
losses,
sales
of
passive
foreign
investment
companies,
partnership
investments,
foreign
currency
transactions,
losses
deferred
due
to
wash
sales,
tax
straddles,
mortgage-backed
securities,
certain
preferred
securities,
redemptions-in-kind,
REITs,
utilization
of
earnings
and
profits
distributed
to
shareholders
on
redemption
of
Shares,
and
limitations
imposed
by
Sections
381-384
of
the
Internal
Revenue
Code
(“IRC”).
Permanent
book
and
tax
basis
differences
are
reclassified
within
the
capital
accounts
based
on
federal
tax-basis
treatment;
temporary
differences
do
not
require
reclassification.
To
the
extent
dividends
and
distributions
exceed
current
and
accumulated
earnings
and
profits
for
federal
income
tax
purposes,
they
are
reported
as
return
of
capital
distributions.
Federal
Income
Taxes.
No
provision
for
federal
income
taxes
is
considered
necessary
because
the
Funds
each
intend
to
qualify
as
a
“regulated
investment
company”
under
the
IRC
and
they
intend
to
distribute
each
year
substantially
all
of
their
net
investment
income
and
realized
capital
gains
to
shareholders.
Management
evaluates
tax
positions
taken
or
expected
to
be
taken
in
the
course
of
preparing
the
Funds’
tax
returns
to
determine
whether
it
is
“more
likely
than
not”
that
each
tax
position
would
be
sustained
upon
examination
by
a
taxing
authority
based
on
the
technical
merits
of
their
position.
Tax
positions
not
deemed
to
meet
the
“more
likely
than
not”
threshold
would
be
recorded
as
a
tax
benefit
or
expense
in
the
current
year.
The
Funds
recognize
interest
and
penalties,
if
any,
related
to
unrecognized
tax
positions
as
tax
expense
on
the
Statements
of
Operations.
During
the
period ended
December
31,
2024,
the
Principal
Value
ETF
Fund
has
reported
an
income
tax
benefit
of
$2,455.
The
statute
of
limitations
remains
open
for
the
last
three
years,
once
a
return
is
filed.
No
examinations
are
in
progress
at
this
time.
Foreign
Taxes.
Certain
Funds
are
subject
to
foreign
income
taxes
imposed
by
certain
countries
in
which
they
invest.
Foreign
income
taxes
are
accrued
by
the
Funds
as
a
reduction
of
income.
These
amounts
are
shown
as
withholding
tax
on
the
Statements
of
Operations.
Recent
Accounting
Pronouncements.
In
March
2020,
the
Financial
Accounting
Standards
Board
(“FASB”)
issued
Accounting
Standards
Update
(“ASU”)
No.
2020-04,
Reference
Rate
Reform
(Topic
848);
Facilitation
of
the
Effects
of
Reference
Rate
Reform
on
Financial
Reporting,
which
provides
optional
guidance
for
a
limited
period
of
time
to
ease
the
potential
burden
in
accounting
for
(or
recognizing
the
effects
of)
reference
rate
reform.
The
guidance
is
applicable
to
contracts
referencing
London
Inter-Bank
Offered
Rate
(“LIBOR”)
or
another
reference
rate
that
is
expected
to
be
discontinued
due
to
reference
rate
reform.
The
ASU
is
effective
as
of
March
12,
2020
and
generally
can
be
applied
through
December
31,
2022.
In
December
2022,
the
FASB
issued
ASU
No.
2022-06
Reference
Rate
Reform
(Topic
848):
Deferral
of
the
Sunset
Date
of
Topic
848
which
updates
and
clarifies
ASU
No.
2020-04.
The
amendments
in
this
ASU
defer
the
sunset
date
of
Topic
848
from
December
31,
2022,
to
December
31,
2024.
The
impact
of
these
ASUs
did
not
have
a
material
impact
on
the
Funds’
financial
statements.
In
June
2022,
the
FASB
issued
ASU
No.
2022-03,
Fair
Value
Measurement
(Topic
820);
Fair
Value
Measurement
of
Equity
Securities
Subject
to
Contractual
Sale
Restrictions,
which
provides
clarifying
guidance
that
a
contractual
restriction
on
the
sale
of
an
equity
security
is
not
considered
part
of
the
unit
of
account
of
the
equity
security
and,
therefore,
is
not
considered
in
measuring
fair
value.
The
ASU
is
effective
for
fiscal
years
beginning
after
December
15,
2023,
and
interim
periods
within
those
fiscal
years.
Management
expects
the
ASU
will
not
have
a
material
impact
on
the
Funds’
financial
statements.
In
November
2023,
the
FASB
issued
ASU
No.
2023-07,
Segment
Reporting
(Topic
280);
Improvements
to
Reportable
Segment
Disclosures,
which
improves
reportable
segment
disclosure
requirements,
primarily
through
enhanced
disclosures.
The
ASU
is
effective
for
fiscal
years
beginning
after
December
15,
2023,
and
interim
periods
within
fiscal
years
beginning
after
December
15,
2024.
Management
is
currently
evaluating
the
impact
of
applying
the
ASU
to
the
Funds’
financial
statement.
2.
Significant
Accounting
Policies
(continued)
Notes
to
Financial
Statements
Principal
Exchange-Traded
Funds
December
31,
2024
(unaudited)
Tracking
Basket
Structure.
Principal
Focused
Blue
Chip
ETF
and
Principal
Real
Estate
Active
Opportunities
ETF
operate
pursuant
to
an
exemptive
order
from
the
Securities
and
Exchange
Commission
(“SEC”)
and
do
not
publicly
disclose
its
complete
portfolio
holdings
each
business
day.
Instead,
these
Funds
publish
each
business
day
on
its
website
a
“Tracking
Basket”
which
is
designed
to
closely
track
the
daily
performance
of
these
Funds
but
is
not
these
Funds’
actual
portfolio.
The
Funds’
Tracking
Basket
structure
may
affect
the
price
at
which
shares
of
the
Funds
trade
in
the
secondary
market.
Although
the
Tracking
Basket
is
intended
to
provide
investors
with
enough
information
to
allow
for
an
effective
arbitrage
mechanism
that
will
keep
the
market
price
of
the
Funds
at
or
close
to
the
Funds’
NAV,
there
is
a
risk
that
market
prices
will
vary
significantly
from
NAV.
3.
Operating
Policies
Contingent
Convertible
Securities
(“CoCos”).
As
footnoted
in
the
Schedules
of
Investments,
certain
of
the
Funds
invest
in
contingent
convertible
securities.
CoCos
are
hybrid
debt
securities
that
may
convert
into
equity
or
have
their
principal
written
down
upon
the
occurrence
of
certain
“triggers”.
Although
a
contingent
convertible
security’s
equity
conversion
and
principal
write-down
features
are
tailored
to
the
particular
issuing
banking
institution
and
its
regulatory
requirements,
triggers
are
generally
linked
to
regulatory
capital
thresholds
or
regulatory
actions
calling
into
question
such
institution’s
continued
viability
as
a
going-concern.
CoCos
may
have
no
stated
maturity
and
fully
discretionary
coupons,
which
means
coupon
payments
can
be
canceled
at
the
issuing
banking
institution’s
discretion
or
at
the
request
of
the
relevant
regulatory
authority
without
causing
a
default.
To
provide
the
appropriate
regulatory
capital
treatment,
CoCos
are
usually
issued
in
the
form
of
subordinated
debt
instruments
that
rank
junior
to
the
claims
of
holders
of
more
senior
obligations
in
the
event
of
the
issuer’s
liquidation.
If
CoCos
are
converted
into
equity
securities
due
to
a
trigger
event,
holders
will
be
further
subordinated.
The
future
value
of
CoCos
is
unpredictable
and
is
influenced
by
many
factors
including,
without
limitation:
the
creditworthiness
of
the
issuer
and/or
fluctuations
in
such
issuer’s
applicable
capital
ratios;
supply
and
demand
for
CoCos;
general
market
conditions
and
available
liquidity;
and
economic,
financial
and
political
events
that
affect
the
issuer,
its
particular
market
or
the
financial
markets
in
general.
Due
to
these
features,
CoCos
may
have
substantially
greater
risk
than
other
securities
in
times
of
financial
stress.
Because
of
the
uncertainty
regarding
whether
a
conversion
event
will
occur,
it
may
be
difficult
to
predict
when,
if
at
all,
a
contingent
convertible
security
will
be
converted
to
equity,
and
a
fund
may
suffer
losses
as
a
result.
If
the
trigger
level
is
breached,
the
issuer’s
decision
to
write
down,
write
off
or
convert
a
contingent
convertible
security
may
result
in
the
fund’s
complete
loss
on
an
investment
in
CoCos
with
no
chance
of
recovery
even
if
the
issuer
remains
in
existence.
Cross
Trades.
The
Funds
may
engage
in
cross
trades.
A
cross
trade
is
a
purchase
or
sale
transaction
between
affiliated
portfolios
executed
directly
or
through
an
intermediary.
Mutual
funds
and
other
managed
portfolios
may
be
considered
affiliated
if
they
have
a
common
investment
advisor,
so
a
fund
may
be
considered
affiliated
with
any
portfolio
for
which
the
fund’s
sub-advisor
acts
as
an
investment
advisor.
Such
transactions
are
permissible
provided
that
the
conditions
of
Rule
17a-7
under
the
1940
Act
are
satisfied.
For
the
period
ended
December
31,
2024,
none
of
the
Funds
had
cross
trades.
Deposits
with
Counterparty.
Cash
pledged
as
collateral
is
reflected
as
an
asset
on
the
Statements
of
Assets
and
Liabilities
as
deposits
with
counterparty.
There
are
a
variety
of
security
types
which
require
varying
levels
of
pledged
collateral.
Customer
account
agreements
govern
cleared
derivatives
transactions
such
as
futures
contracts.
Such
transactions
require
posting
of
initial
margin
as
determined
by
each
relevant
clearing
agency
which
is
segregated
in
an
account
at
a
futures
commission
merchant
(“FCM”)
registered
with
the
Commodity
Futures
Trading
Commission.
As
of
December
31,
2024,
deposits
with
counterparty
for Principal
Investment
Grade
Corporate
Active
ETF
and
Principal
Spectrum
Tax-Advantaged
Dividend
Active
ETF
were $87,620
and $27,210
respectively.
Futures
Contracts.
The
Funds
are
subject
to
equity
price
risk,
interest
rate
risk,
and
foreign
currency
exchange
rate
risk
in
the
normal
course
of
pursuing
its
investment
objectives.
The
Funds
may
enter
into
futures
contracts
to
hedge
against
changes
in,
or
to
gain
exposure
to,
change
in
the
value
of
equities,
interest
rates
and
foreign
currencies.
Initial
margin
deposits
are
made
by
cash
deposits
or
segregation
of
specific
securities
as
may
be
required
by
the
exchange
on
which
the
transaction
was
conducted.
Pursuant
to
the
contracts,
typically
a
Fund
agrees
to
receive
from
or
pay
to
the
broker,
an
amount
of
cash
equal
to
the
daily
fluctuation
in
the
value
of
the
contract.
Such
receipts
or
payments
are
known
as
“variation
margin”
and
are
recorded
by
the
Funds
as
variation
margin
receivable
or
payable
on
financial
derivative
instruments.
For
those
contracts
where
daily
variation
margin
payments
are
not
received
from
or
paid
to
the
broker,
the
cumulative
unrealized
gains
or
losses
are
included
in
variation
margin
receivable
or
payable
on
financial
derivative
instruments.
Futures
contracts
are
marked
to
market
daily
at
the
closing
settlement
price
or
in
the
absence
of
such
a
price,
the
most
recent
quoted
bid
price.
If
there
are
no
quotations
available,
the
security
is
valued
at
the
last
available
closing
settlement
price.
During
the
period
the
futures
contracts
are
open,
daily
changes
in
the
fair
value
of
the
contracts
are
recognized
as
unrealized
gains
or
losses.
These
unrealized
gains
or
losses
are
included
as
a
component
of
net
unrealized
appreciation
(depreciation)
of
investments
on
the
Statements
of
Assets
and
Liabilities.
When
the
contracts
are
closed,
the
Funds
recognize
a
realized
gain
or
loss
equal
to
the
difference
between
the
proceeds
from,
or
cost
of,
the
closing
transaction
and
the
Fund’s
cost
basis
in
the
contract.
There
is
minimal
counterparty
credit
risk
to
the
Funds
because
futures
are
exchange
traded
and
the
exchange’s
clearinghouse,
as
counterparty
to
all
exchange
traded
futures,
guarantees
the
futures
against
default.
2.
Significant
Accounting
Policies
(continued)
Notes
to
Financial
Statements
Principal
Exchange-Traded
Funds
December
31,
2024
(unaudited)
Long
and
short
U.S.
Treasury
futures
contracts
are
used
to
obtain
interest
rate
exposure
in
order
to
manage
duration
of
the
Principal
Investment
Grade
Corporate
Active
ETF.
The
notional
values
of
the
futures
contracts
will
vary
in
accordance
with
changing
duration
of
this
Fund.
Illiquid
Securities.
Illiquid
securities
generally
cannot
be
sold
or
disposed
of
in
the
ordinary
course
of
business
(within
seven
calendar
days)
at
approximately
the
value
at
which
each
of
the
Funds
has
valued
the
investments.
This
may
have
an
adverse
effect
on
each
of
the
Funds’
ability
to
dispose
of
particular
illiquid
securities
at
fair
value
and
may
limit
each
of
the
Funds’
ability
to
obtain
accurate
market
quotations
for
purposes
of
valuing
the
securities.
Indemnification.
In
a
normal
course
of
business,
the
Funds
enter
into
contracts
that
contain
a
variety
of
indemnifications.
The
Funds’
maximum
exposure
under
these
arrangements
is
unknown
as
this
would
involve
potential
future
claims
against
the
Funds
that
have
not
yet
occurred.
Based
on
management’s
experience,
the
risk
of
loss
would
be
remote.
Restricted
Securities.
Certain
of
the
Funds
may
invest
in
securities
that
are
subject
to
legal
or
contractual
restrictions
on
resale.
These
securities
generally
may
be
resold
in
transactions
exempt
from
registration
or
to
the
public
if
the
securities
are
registered.
Disposal
of
these
securities
may
involve
time-consuming
negotiations
and
expense,
and
prompt
sale
at
an
acceptable
price
may
be
difficult.
Securities
Lending.
As
footnoted
in
the
Schedules
of
Investments,
certain
of
the
Funds
may
lend
portfolio
securities
to
approved
brokerage
firms
to
earn
additional
income.
The
Funds
receive
collateral,
in
the
form
of
cash,
against
the
loaned
securities.
During
the
period
of
the
loan,
the
borrower
must
maintain
collateral
in
an
amount
not
less
than
102%
of
the
market
value
of
the
domestic
and
foreign
fixed
income
loaned
securities
and
105%
of
the
market
value
of
the
foreign
equity
loaned
securities.
The
market
value
of
the
loaned
securities
is
determined
at
the
close
of
business
of
the
Funds
and
any
additional
required
collateral
is
delivered
to
the
Funds
on
the
next
business
day.
The
transactions
are
accounted
for
as
secured
borrowings
and
the
remaining
contractual
maturity
is
overnight
and
continuous
for
all
securities.
The
cash
collateral
received
is
usually
invested
in
a
SEC-registered
money
market
mutual
fund
and
the
Funds
could
realize
a
loss
on
such
investments.
Further,
the
Funds
could
experience
a
delay
in
recovering
their
securities
and
possible
loss
of
income
or
value
if
the
borrower
fails
to
return
them.
Securities
lending
income,
net
of
related
fees,
is
shown
on
the
Statements
of
Operations.
Senior
Floating
Rate
Interests.
The
Fund
may
invest
in
senior
floating
rate
interests
(bank
loans).
Senior
floating
rate
interests
hold
the
most
senior
position
in
the
capital
structure
of
a
business
entity
(the
“Borrower”),
are
typically
secured
by
specific
collateral
and
have
a
claim
on
the
assets
and/or
stock
of
the
Borrower
that
is
senior
to
that
held
by
subordinated
debtholders
and
stockholders
of
the
Borrower.
Senior
floating
rate
interests
are
typically
structured
and
administered
by
a
financial
institution
that
acts
as
the
agent
of
the
lenders
participating
in
the
senior
floating
rate
interest.
Borrowers
of
senior
floating
rate
interests
are
typically
rated
below
investment
grade,
which
means
they
are
more
likely
to
default
than
investment-grade
loans.
A
default
could
lead
to
non-payment
of
income
which
would
result
in
a
reduction
of
income
to
the
Fund
and
there
can
be
no
assurance
that
the
liquidation
of
any
collateral
would
satisfy
the
Borrower’s
obligation
in
the
event
of
non-payment
of
scheduled
interest
or
principal
payments,
or
that
such
collateral
could
be
readily
liquidated.
Senior
floating
rate
interests
pay
interest
at
rates
which
are
periodically
reset
by
reference
to
a
base
lending
rate
plus
a
spread.
These
base
lending
rates
are
generally
the
prime
rate
offered
by
a
designated
U.S.
bank,
LIBOR,
Secured
Overnight
Financing
Rate
(“SOFR”),
or
a
similar
reference
rate.
Senior
floating
rate
interests
generally
are
subject
to
mandatory
and/or
optional
prepayment.
Because
of
these
mandatory
prepayment
conditions
and
because
there
may
be
significant
economic
incentives
for
the
Borrower
to
repay,
prepayments
of
senior
floating
rate
interests
may
occur.
As
a
result,
the
actual
remaining
maturity
of
senior
floating
rate
interests
may
be
substantially
less
than
stated
maturities
shown
in
the
Schedule
of
Investments.
In
connection
with
the
senior
floating
rate
interests,
the
Fund
may
also
enter
into
unfunded
loan
commitments.
All
or
a
portion
of
the
loan
commitments
may
be
unfunded.
The
Fund
is
obligated
to
fund
these
commitments
at
the
Borrower’s
discretion.
Therefore,
the
Fund
must
have
funds
sufficient
to
cover
its
contractual
obligation.
Unfunded
loan
commitments
are
marked
to
market
daily
and
the
unrealized
gain
or
loss
is
shown
as
a
separate
line
item
called
unrealized
gain
or
loss
on
unfunded
commitments
on
the
Statements
of
Assets
and
Liabilities
and
included
in
the
net
change
in
unrealized
appreciation/(depreciation)
of
investments
on
the
Statements
of
Operations,
as
applicable.
As
of
period
end,
the
unfunded
loan
commitments
are
categorized
as
Level
2
within
the
disclosure
hierarchy.
As
of
December
31,
2024,
there
were
no
unfunded
loan
commitments.
Underlying
Funds.
An
underlying
fund
may
experience
relatively
large
redemptions
or
purchases
as
the
investee
fund
periodically
reallocates
or
rebalances
its
assets.
These
transactions
may
accelerate
the
realization
of
taxable
income
if
sales
of
portfolio
securities
result
in
gains
and
could
increase
transaction
costs.
3.
Operating
Policies
(continued)
Notes
to
Financial
Statements
Principal
Exchange-Traded
Funds
December
31,
2024
(unaudited)
The
Advisor
is
the
advisor
to
Principal
Funds,
Inc.,
Principal
Variable
Contracts
Funds,
Inc.
(affiliates
of
the
Advisor)
and
other
asset
allocation
programs.
The
Advisor
is
committed
to
minimizing
the
potential
impact
of
underlying
fund
risk
to
the
extent
consistent
with
pursuing
the
investment
objectives
of
the
investee
funds
which
it
manages.
Each
may
face
conflicts
of
interest
in
fulfilling
its
responsibilities
to
all
such
funds.
As
of
December
31,
2024,
series
of
Principal
Funds,
Inc.
and
Principal
Variable
Contracts
Funds,
Inc.
owned
the
following
percentages,
in
aggregate,
of
the
outstanding
Shares
of
the
Funds
listed
below:
U.S.
Government
Agencies
or
Government-Sponsored
Enterprises.
Certain
of
the
Funds
may
invest
in
U.S.
Government
agencies
or
government-sponsored
enterprises.
U.S.
Government
securities
are
obligations
of,
and
in
certain
cases,
guaranteed
by,
the
U.S.
Government
or
its
agencies.
The
U.S.
Government
does
not
guarantee
the
NAV
of
the
Funds’
Shares.
Some
U.S.
Government
securities
such
as
treasury
bills,
notes
and
bonds,
and
securities
guaranteed
by
the
Government
National
Mortgage
Association
(“GNMA”)
are
supported
by
the
full
faith
and
credit
of
the
U.S.
Government.
Other
securities,
such
as
those
of
the
Federal
Home
Loan
Bank,
are
supported
by
the
right
of
the
issuer
to
borrow
from
the
U.S.
Department
of
the
Treasury.
Still
other
securities,
such
as
those
of
the
Federal
National
Mortgage
Association
(“FNMA”),
are
supported
by
the
discretionary
authority
of
the
U.S.
Government
to
purchase
the
agency’s
obligations.
Government
related
guarantors
(those
not
backed
by
the
full
faith
and
credit
of
the
U.S.
Government)
include
FNMA
and
Federal
Home
Loan
Mortgage
Corporation
(“FHLMC”).
FNMA
is
a
government
sponsored
corporation,
the
common
stock
of
which
is
owned
entirely
by
private
stockholders.
FNMA
purchases
conventional
residential
mortgages
from
a
list
of
approved
seller/servicers
which
include
state
and
federally
chartered
savings
and
loan
associations,
mutual
savings
banks,
commercial
banks,
credit
unions,
and
mortgage
bankers.
Pass-through
securities
issued
by
FNMA
are
guaranteed
as
to
the
timely
payment
of
principal
and
interest
by
FNMA,
but
are
not
backed
by
the
full
faith
and
credit
of
the
U.S.
Government.
FHLMC
issues
participation
certificates,
which
are
pass-through
securities,
each
representing
an
undivided
interest
in
a
pool
of
residential
mortgages.
FHLMC
guarantees
the
timely
payment
of
interest
and
ultimate
collection
of
principal,
but
participation
certificates
are
not
backed
by
the
full
faith
and
credit
of
the
U.S.
Government.
Derivatives.
The
following
tables
provide
information
about
where
on
the
Statements
of
Assets
and
Liabilities
and
Statements
of
Operations
information
about
derivatives
can
be
found:
Fund
Total
Percentage
of
Outstanding
Shares
Owned
Principal
Active
High
Yield
ETF
15
.67
%
Principal
U.S.
Mega-Cap
ETF
68
.21
Principal
U.S.
Small-Cap
ETF
61
.04
Asset
Derivatives
December
31,
2024
Liability
Derivatives
December
31,
2024
Derivatives
not
accounted
for
as
hedging
instruments
Statement
of
Assets
and
Liabilities
Location
Fair
Value
Statement
of
Assets
and
Liabilities
Location
Fair
Value
Principal
Investment
Grade
Corporate
Active
ETF
Interest
Rate
Contracts
Receivables,
Total
distributable
earnings
(accumulated
loss)
$
91,482
*
Payables,
Total
distributable
earnings
(accumulated
loss)
$
156,583
*
*
Includes
cumulative
unrealized
appreciation
(depreciation)
of
exchange
cleared
swaps
and/or
futures
contracts
as
shown
in
the
Schedule
of
Investments.
Only
the
portion
of
the
unrealized
appreciation
(depreciation)
not
yet
cash
settled
is
shown
in
the
Statements
of
Assets
and
Liabilities
as
variation
margin.
Derivatives
not
accounted
for
as
hedging
instruments
Location
of
Gain
or
(Loss)
on
Derivatives
Recognized
in
Statement
of
Operations
Net
Realized
Gain
or
(Loss)
on
Derivatives
Recognized
in
Statement
of
Operations
Net
Change
in
Unrealized
Appreciation
(Depreciation)
of
Derivatives
Recognized
in
Statement
of
Operations
Principal
Investment
Grade
Corporate
Active
ETF
Interest
Rate
Contracts
Futures
contracts
$
(
62,060
)
$
(
68,734
)
3.
Operating
Policies
(continued)
Notes
to
Financial
Statements
Principal
Exchange-Traded
Funds
December
31,
2024
(unaudited)
The
following
table
includes
a
summary
of
the
monthly
average
outstanding
notional
by
derivative
instrument
type
for
the
period
ended
December
31,
2024:
4.
Fair
Valuation
Fair
value
is
defined
as
the
price
that
the
Funds
would
receive
upon
selling
a
security
or
transferring
a
liability
in
a
timely
transaction
to
an
independent
buyer
in
the
principal
or
most
advantageous
market
of
the
security
at
the
measurement
date.
In
determining
fair
value,
the
Funds
may
use
one
or
more
of
the
following
approaches:
market,
income
and/or
cost.
A
hierarchy
for
inputs
is
used
in
measuring
fair
value
that
maximizes
the
use
of
observable
inputs
and
minimizes
the
use
of
unobservable
inputs
by
requiring
that
the
most
observable
inputs
be
used
when
available.
Observable
inputs
are
inputs
that
reflect
the
assumptions
market
participants
would
use
in
pricing
the
asset
or
liability
developed
based
on
market
data
obtained
from
sources
independent
of
the
Funds.
Unobservable
inputs
are
inputs
that
reflect
the
Fund’s
own
estimates
about
the
estimates
market
participants
would
use
in
pricing
the
asset
or
liability
developed
based
on
the
best
information
available
in
the
circumstances.
The
three-tier
hierarchy
of
inputs
is
summarized
in
the
three
broad
levels
listed
below.
Level
1
—
Quoted
prices
are
available
in
active
markets
for
identical
securities
as
of
the
reporting
date.
Investments
which
are
generally
included
in
this
category
include
listed
equities
and
exchange-traded
derivatives.
Level
2
—
Other
significant
observable
inputs
(including
quoted
prices
for
similar
investments,
interest
rates,
prepayment
speeds,
credit
risk,
etc.).
Investments
which
are
generally
included
in
this
category
include
certain
corporate
bonds,
senior
floating
rate
interests,
OTC
derivatives,
exchange
cleared
derivatives, mortgage-
backed
securities
and
municipal
bonds.
Level
3
—
Significant
unobservable
inputs
(including
the
Funds’
assumptions
in
determining
the
fair
value
of
investments).
Investments
which
are
generally
included
in
this
category
include
certain
corporate
bonds
and
certain
common
stocks.
The
availability
of
observable
inputs
can
vary
from
security
to
security
and
is
affected
by
a
wide
variety
of
factors,
including,
for
example,
the
type
of
security,
whether
the
security
is
new
and
not
yet
established
in
the
market
place,
and
other
characteristics
particular
to
the
transaction.
To
the
extent
that
valuation
is
based
on
models
or
inputs
that
are
less
observable
or
unobservable
in
the
market,
the
determination
of
fair
value
requires
more
judgment.
Accordingly,
the
degree
of
judgment
exercised
by
the
Funds
in
determining
fair
value
is
greatest
for
instruments
categorized
in
Level
3.
In
certain
cases,
the
inputs
used
to
measure
fair
value
may
fall
into
different
levels
of
the
fair
value
hierarchy.
In
such
cases,
for
disclosure
purposes,
the
level
in
the
fair
value
hierarchy
within
which
the
fair
value
measurement
in
its
entirety
falls
is
determined
based
on
the
lowest
level
input
that
is
significant
to
the
fair
value
measurement
in
its
entirety.
Fair
value
is
a
market
based
measure
considered
from
the
perspective
of
a
market
participant
who
holds
the
asset
rather
than
an
entity
specific
measure.
Therefore,
even
when
market
assumptions
are
not
readily
available,
the
Funds’
own
assumptions
are
set
to
reflect
those
that
market
participants
would
use
in
pricing
the
asset
or
liability
at
the
measurement
date.
The
Funds
use
prices
and
inputs
that
are
current
as
of
the
measurement
date,
to
the
extent
available.
Investments
which
are
included
in
the
Level
3
category
may
be
valued
using
quoted
prices
from
brokers
and
dealers
participating
in
the
market
for
these
investments.
These
investments
are
classified
as
Level
3
investments
due
to
the
lack
of
market
transparency
and
market
corroboration
to
support
these
quoted
prices.
Valuation
models
may
be
used
as
the
pricing
source
for
other
investments
classified
as
Level
3.
Valuation
models
rely
on
one
or
more
significant
unobservable
inputs
such
as
prepayment
rates,
probability
of
default,
or
loss
severity
in
the
event
of
default.
Significant
increases
in
any
of
those
inputs
in
isolation
would
result
in
a
significantly
lower
fair
value
measurement.
Contract
Type
Derivative
Type
Average
Notional
Principal
Investment
Grade
Corporate
Active
ETF
Interest
Rate
Contracts
Futures
—
Long
$
8,082,460
Futures
—
Short
$
6,827,905
3.
Operating
Policies
(continued)
Notes
to
Financial
Statements
Principal
Exchange-Traded
Funds
December
31,
2024
(unaudited)
The
fair
values
of
these
entities
are
dependent
on
economic,
political
and
other
considerations.
The
values
of
the
underlying
investee
entities
may
be
affected
by
significant
changes
in
the
economic
conditions,
changes
in
government
policies,
and
other
factors
(e.g.,
natural
disasters,
pandemics,
accidents,
conflicts,
etc.).
The
inputs
or
methodology
used
for
valuing
securities
are
not
necessarily
an
indication
of
the
risk
associated
with
investing
in
those
instruments.
During
the
period
there
were
no
significant
purchases,
sales,
or
transfers
into
or
out
of
Level
3.
The
following
is
a
summary
of
the
inputs
used
as
of
December
31,
2024,
in
valuing
the
Funds’
securities
carried
at
fair
value:
Fund
Level
1
-
Quoted
Prices
Level
2
-
Other
Significant
Observable
Inputs
Level
3
-
Significant
Unobservable
Inputs
Totals
(Level
1,2,3)
Principal
Active
High
Yield
ETF
Investment
Companies
*
$
17,961,471
$
—
$
—
$
17,961,471
Bonds
*
—
239,449,059
—
239,449,059
Senior
Floating
Rate
Interests
*
—
21,623,657
—
21,623,657
Total
investments
in
securities
$
17,961,471
$
261,072,716
$
—
$
279,034,187
Principal
Focused
Blue
Chip
ETF
Common
Stocks
*
89,604,716
—
—
89,604,716
Investment
Companies
*
325,804
—
—
325,804
Total
investments
in
securities
$
89,930,520
$
—
$
—
$
89,930,520
Principal
International
Equity
ETF
Common
Stocks
*
38,880,689
—
—
38,880,689
Investment
Companies
*
775,142
—
—
775,142
Total
investments
in
securities
$
39,655,831
$
—
$
—
$
39,655,831
Principal
Investment
Grade
Corporate
Active
ETF
Investment
Companies
*
1,482,455
—
—
1,482,455
Bonds
*
—
89,614,656
—
89,614,656
Total
investments
in
securities
$
1,482,455
$
89,614,656
$
—
$
91,097,111
Derivative
Assets
Interest
Rate
Contracts
Futures
**
91,482
—
—
91,482
Derivative
Liabilities
Interest
Rate
Contracts
Futures
**
(
156,583
)
—
—
(
156,583
)
Principal
Quality
ETF
Common
Stocks
*
58,538,694
—
—
58,538,694
Investment
Companies
*
75,478
—
—
75,478
Total
investments
in
securities
$
58,614,172
$
—
$
—
$
58,614,172
Principal
Real
Estate
Active
Opportunities
ETF
Common
Stocks
*
11,588,117
—
—
11,588,117
Investment
Companies
*
140,321
—
—
140,321
Total
investments
in
securities
$
11,728,438
$
—
$
—
$
11,728,438
Principal
Spectrum
Preferred
Securities
Active
ETF
Investment
Companies
*
36,928,294
—
—
36,928,294
Bonds
*
—
1,024,154,731
—
1,024,154,731
Total
investments
in
securities
$
36,928,294
$
1,024,154,731
$
—
$
1,061,083,025
Principal
Spectrum
Tax-Advantaged
Dividend
Active
ETF
Investment
Companies
*
490,787
—
—
490,787
Preferred
Stocks
*
2,585,124
—
—
2,585,124
Bonds
*
—
32,530,888
—
32,530,888
Total
investments
in
securities
$
3,075,911
$
32,530,888
$
—
$
35,606,799
Principal
U.S.
Mega-Cap
ETF
Common
Stocks
*
2,559,367,629
—
—
2,559,367,629
Investment
Companies
*
4,151,802
—
—
4,151,802
Total
investments
in
securities
$
2,563,519,431
$
—
$
—
$
2,563,519,431
Principal
U.S.
Small-Cap
ETF
Common
Stocks
Basic
Materials
22,909,219
—
—
22,909,219
4.
Fair
Valuation
(continued)
Notes
to
Financial
Statements
Principal
Exchange-Traded
Funds
December
31,
2024
(unaudited)
5.
Management
Agreement
and
Transactions
with
Affiliates
Management
Services.
The
Funds
have
agreed
to
pay
management
and
investment
advisory
fees
to
the
Advisor
computed
at
an
annual
percentage
rate
of
each
of
the
Funds’
average
daily
net
assets.
A
portion
of
the
management
fee
is
paid
by
the
Advisor
to
the
sub-advisor
of
the
Funds,
which
is
also
an
affiliate
of
the
Advisor.
The
management
fee
schedule
for
the
Funds
is
as
follows:
The
Advisor
has
contractually
agreed
to
limit
the
expenses
(excluding
interest
expense,
expenses
related
to
fund
investments,
acquired
fund
fees
and
expenses,
tax
reclaim
recovery
expenses,
and
other
extraordinary
expenses)
for
Principal
U.S.
Mega-Cap
ETF.
The
reductions
and
reimbursements
are
in
amounts
that
maintain
total
operating
expenses
at
or
below
certain
limits.
The
limit
is
expressed
as
a
percentage
of
average
daily
net
assets
attributable
to
each
Fund
on
an
annualized
basis
during
the
reporting
period.
The
expenses
borne
by
the
Advisor
are
subject
to
reimbursement
by
the
Fund
through
the
fiscal
year
end,
provided
no
reimbursement
will
be
made
if
it
would
result
in
the
Fund
exceeding
the
total
operating
expense
limit.
Any
amount
outstanding
at
the
end
of
the
period
are
shown
as
an
expense
reimbursement
from
Advisor
or
expense
reimbursement
to
Advisor
on
the
Statements
of
Assets
and
Liabilities.
The
expense
limit
for
Principal
U.S.
Mega-Cap
ETF
is
0.12%
through
October
31,
2025.
No
other
Funds
had
expense
limitation
agreements
in
place
during
the
period.
Affiliated
Ownership.
At
December
31,
2024,
Principal
Financial
Services,
Inc.
(an
affiliate
of
the
Advisor)
owned
Shares
of
the
Funds
as
follows:
Fund
Level
1
-
Quoted
Prices
Level
2
-
Other
Significant
Observable
Inputs
Level
3
-
Significant
Unobservable
Inputs
Totals
(Level
1,2,3)
Principal
U.S.
Small-Cap
ETF
(continued)
Common
Stocks
(continued)
Communications
$
31,930,025
$
—
$
—
$
31,930,025
Consumer,
Cyclical
86,115,703
—
—
86,115,703
Consumer,
Non-cyclical
164,311,953
—
3,863
164,315,816
Energy
34,283,355
—
—
34,283,355
Financial
169,527,990
—
—
169,527,990
Industrial
129,745,463
—
—
129,745,463
Technology
67,080,218
—
—
67,080,218
Utilities
20,406,692
—
—
20,406,692
Investment
Companies
*
4,128,876
—
—
4,128,876
Total
investments
in
securities
$
730,439,494
$
—
$
3,863
$
730,443,357
Principal
Value
ETF
Common
Stocks
*
80,422,878
—
—
80,422,878
Investment
Companies
*
130,016
—
—
130,016
Total
investments
in
securities
$
80,552,894
$
—
$
—
$
80,552,894
*
For
additional
detail
regarding
sector
and/or
sub-industry
classifications,
please
see
the
Schedules
of
Investments.
**
Futures
are
presented
at
the
unrealized
appreciation
(depreciation)
of
the
instrument.
Fund
All
Assets
Principal
Active
High
Yield
ETF
0.39%
Principal
Focused
Blue
Chip
ETF
0.58
Principal
International
Equity
ETF
0.48
Principal
Investment
Grade
Corporate
Active
ETF
0.19
Principal
Quality
ETF
0.15
Principal
Real
Estate
Active
Opportunities
ETF
0.60
*
Principal
Spectrum
Preferred
Securities
Active
ETF
0.55
Principal
Spectrum
Tax-Advantaged
Dividend
Active
ETF
0.60
Principal
U.S.
Mega-Cap
ETF
0.15
Principal
U.S.
Small-Cap
ETF
0.38
Principal
Value
ETF
0.15
*
Prior
to
November
1,
2024,
the
management
fee
was
0.65%.
Fund
Shares
Principal
Focused
Blue
Chip
ETF
198,099
Principal
International
Equity
ETF
400,640
Principal
Real
Estate
Active
Opportunities
ETF
199,204
4.
Fair
Valuation
(continued)
Notes
to
Financial
Statements
Principal
Exchange-Traded
Funds
December
31,
2024
(unaudited)
Affiliated
Brokerage
Commissions.
There
were
no
Funds
that
paid
brokerage
commissions
to
any
member
of
the
Principal
Financial
Group
during
the
period ended
December
31,
2024.
6.
Investment
Transactions
For
the
period
ended
December
31,
2024,
the
cost
of
investment
securities
purchased
and
proceeds
from
investment
securities
sold
(not
including
short-term
investments
and
in-kind
transactions)
by
the
Funds
were
as
follows:
For
the
period
ended
December
31,
2024,
in-kind
transactions
were
as
follows:
Unsettled
in-kind
purchases
and
sales
at
the
end
of
the
period
are
included
in
investment
securities
purchased
and
investment
securities
sold,
respectively,
on
the
Statements
of
Assets
and
Liabilities.
7.
Federal
Tax
Information
Distributions
to
Shareholders.
The
federal
income
tax
character
of
distributions
paid
for
the
periods
ended
December
31,
2024,
and June
30,
2024 was
as
follows:
Fund
Shares
Principal
Spectrum
Tax-Advantaged
Dividend
Active
ETF
995,521
Non-U.S.
Government
U.S.
Government
Fund
Purchases
Sales
Purchases
Sales
Principal
Active
High
Yield
ETF
$
78,539,942
$
54,099,960
$
—
$
1,579,737
Principal
Focused
Blue
Chip
ETF
9,807,327
9,558,333
—
—
Principal
International
Equity
ETF
8,409,300
1,440,848
—
—
Principal
Investment
Grade
Corporate
Active
ETF
34,842,306
33,532,234
57,299
—
Principal
Quality
ETF
11,750
—
—
—
Principal
Real
Estate
Active
Opportunities
ETF
2,072,889
2,117,032
—
—
Principal
Spectrum
Preferred
Securities
Active
ETF
149,494,652
73,986,234
—
—
Principal
Spectrum
Tax-Advantaged
Dividend
Active
ETF
4,829,372
3,538,795
—
—
Principal
U.S.
Mega-Cap
ETF
697,726,031
696,146,598
—
—
Principal
U.S.
Small-Cap
ETF
232,543,918
229,392,849
—
—
Principal
Value
ETF
30,084,876
29,246,132
—
—
Fund
Purchases
Sales
Principal
Active
High
Yield
ETF
$
45,882,869
$
8,591,457
Principal
Focused
Blue
Chip
ETF
36,123,368
—
Principal
International
Equity
ETF
32,645,440
—
Principal
Investment
Grade
Corporate
Active
ETF
10,987,200
—
Principal
Quality
ETF
2,782,452
—
Principal
Real
Estate
Active
Opportunities
ETF
989,629
—
Principal
Spectrum
Preferred
Securities
Active
ETF
52,827,974
—
Principal
Spectrum
Tax-Advantaged
Dividend
Active
ETF
9,565,618
—
Principal
U.S.
Mega-Cap
ETF
693,158,418
818,599,298
Principal
U.S.
Small-Cap
ETF
286,348,546
177,860,967
Principal
Value
ETF
31,943,363
26,023,156
Ordinary
Income
Long-Term
Capital
Gain
*
Section
1250
Gain
**
Fund
Period
ended
December
31,
2024
Period
ended
June
30,
2024
Period
ended
December
31,
2024
Period
ended
June
30,
2024
Period
ended
December
31,
2024
Period
ended
June
30,
2024
Principal
Active
High
Yield
ETF
$
10,067,833
$
9,781,816
$
—
$
—
$
—
$
—
Principal
Focused
Blue
Chip
ETF
19,184
56,457
886,140
—
—
—
Principal
International
Equity
ETF
40,001
N/A
—
N/A
—
N/A
Principal
Investment
Grade
Corporate
Active
ETF
2,615,652
3,265,121
—
—
—
—
Principal
Quality
ETF
276,206
365,717
—
—
—
—
Principal
Real
Estate
Active
Opportunities
ETF
207,248
185,133
—
—
—
—
Principal
Spectrum
Preferred
Securities
Active
ETF
26,658,510
35,097,696
—
—
—
—
Principal
Spectrum
Tax-Advantaged
Dividend
Active
ETF
1,008,766
1,128,933
—
—
—
—
5.
Management
Agreement
and
Transactions
with
Affiliates
(continued)
Notes
to
Financial
Statements
Principal
Exchange-Traded
Funds
December
31,
2024
(unaudited)
Certain
Funds
may
also
utilize
earnings
and
profits
distributed
to
shareholders
on
redemptions
of
shares
as
part
of
the
dividends
paid
deduction.
For
U.S.
federal
income
tax
purposes,
short-term
capital
gain
distributions
are
considered
ordinary
income
distributions.
Distributable
Earnings.
As
of
June
30,
2024,
the
components
of
distributable
earnings
(accumulated
loss)
on
a
federal
income
tax
basis
were:
Capital
Loss
Carryforwards.
For
federal
income
tax
purposes,
capital
loss
carryforwards
are
losses
that
can
be
used
to
offset
future
capital
gains
of
the
Fund.
As
of
June
30,
2024,
the
Funds
had
approximate
net
capital
loss
carryforwards
as
follows:
All
of
these
capital
losses
were
generated
in
taxable
years
beginning
after
the
enactment
date
of
the
Regulated
Investment
Company
Modernization
Act
of
2010
on
December
22,
2010,
and
will
be
carried
forward
with
no
expiration
and
with
the
character
of
the
loss
retained.
Ordinary
Income
Long-Term
Capital
Gain
*
Section
1250
Gain
**
Fund
Period
ended
December
31,
2024
Period
ended
June
30,
2024
Period
ended
December
31,
2024
Period
ended
June
30,
2024
Period
ended
December
31,
2024
Period
ended
June
30,
2024
Principal
U.S.
Mega-Cap
ETF
$
20,619,166
$
24,799,821
$
—
$
—
$
—
$
—
Principal
U.S.
Small-Cap
ETF
3,667,064
3,309,240
—
—
—
—
Principal
Value
ETF
1,255,840
1,265,935
—
—
—
—
*
The
Funds
designate
these
distributions
as
long-term
capital
gain
dividends
per
IRC
Sec.
852(b)(3)(C)
in
the
20-percent
group
(which
may
be
taxed
at
a
20-percent
rate,
a
15-percent
rate
or
a
0-percent
rate,
depending
on
the
shareholder’s
taxable
income).
**
Unrecaptured
Section
1250
gains
are
gains
from
the
sale
of
depreciable
property
that
are
subject
to
a
maximum
tax
rate
of
25%.
Fund
Undistributed
Ordinary
Income
Undistributed
Long-Term
Capital
Gains
Unrealized
Appreciation/
(Depreciation)
Late
Year
Ordinary
and
Post
October
Capital
Loss
Deferrals
Capital
Loss
Carryforward
Other
Temporary
Differences
*
Principal
Active
High
Yield
ETF
$
1,362,903
$
—
$
(
551,725
)
$
—
$
(
18,117,048
)
$
(
15,264
)
Principal
Focused
Blue
Chip
ETF
143,660
78
6,470,012
—
—
—
Principal
Investment
Grade
Corporate
Active
ETF
347,797
—
(
1,283,444
)
—
(
19,379,395
)
—
Principal
Quality
ETF
84,720
—
6,017,429
—
(
9,917,477
)
—
Principal
Real
Estate
Active
Opportunities
ETF
60,123
—
45,848
—
(
182,455
)
—
Principal
Spectrum
Preferred
Securities
Active
ETF
3,638,221
—
12,663,712
—
(
19,956,637
)
765,810
Principal
Spectrum
Tax-Advantaged
Dividend
Active
ETF
108,223
—
(
496,772
)
—
(
1,384,110
)
38,881
Principal
U.S.
Mega-Cap
ETF
7,213,547
—
599,146,236
—
(
92,893,170
)
—
Principal
U.S.
Small-Cap
ETF
1,144,162
—
43,063,953
—
(
162,170,688
)
—
Principal
Value
ETF
396,380
—
6,948,297
—
(
28,717,830
)
—
*
Represents
book-to-tax
accounting
differences.
Fund
No
Expiration
Short-Term
No
Expiration
Long-Term
Total
Annual
Limitations
*
Principal
Active
High
Yield
ETF
$
8,539,534
$
9,577,514
$
18,117,048
$
6,296,672
**
Principal
Investment
Grade
Corporate
Active
ETF
6,857,060
12,522,335
19,379,395
473,238
Principal
Quality
ETF
9,148,326
769,151
9,917,477
—
Principal
Real
Estate
Active
Opportunities
ETF
25,849
156,606
182,455
—
Principal
Spectrum
Preferred
Securities
Active
ETF
5,319,301
14,637,336
19,956,637
—
Principal
Spectrum
Tax-Advantaged
Dividend
Active
ETF
404,736
979,374
1,384,110
—
Principal
U.S.
Mega-Cap
ETF
80,564,447
12,328,723
92,893,170
—
Principal
U.S.
Small-Cap
ETF
118,764,043
43,406,645
162,170,688
—
Principal
Value
ETF
25,939,628
2,778,202
28,717,830
230,798
*
In
accordance
with
IRC
Sections
381-384,
a
portion
of
certain
Funds’
losses
have
been
subjected
to
an
annual
limitation.
**
Certain
losses
are
subject
to
an
annual
limit
of
$1,874,152
and
certain
losses
are
subject
to
an
additional
limit
of
$6,296,672.
7.
Federal
Tax
Information
(continued)
Notes
to
Financial
Statements
Principal
Exchange-Traded
Funds
December
31,
2024
(unaudited)
For
the
year
ended
June
30,
2024,
the
Funds
utilized
capital
loss
carryforwards
as
follows:
Late-Year
Losses.
A
regulated
investment
company
may
elect
to
treat
any
portion
of
its
qualified
late-year
loss
as
arising
on
the
first
day
of
the
next
taxable
year.
Qualified
late-year
losses
are
certain
capital
and
ordinary
losses
which
occur
during
the
portion
of
the
Fund’s
taxable
year
subsequent
to
October
31
and
December
31,
respectively.
As
of
June
30,
2024,
the
Funds
do
not
plan
to
defer
late-year
losses.
Reclassification
of
Capital
Accounts.
The
Funds
may
record
reclassifications
in
their
capital
accounts.
These
reclassifications
have
no
impact
on
the
total
net
assets
of
the
Funds.
The
reclassifications
are
a
result
of
permanent
differences
between
U.S.
GAAP
and
tax
accounting.
Adjustments
are
made
to
reflect
the
impact
these
items
have
on
current
and
future
distributions
to
shareholders.
Therefore,
the
source
of
the
Funds’
distributions
may
be
shown
in
the
accompanying
Statement
of
Changes
in
Net
Assets
as
from
net
investment
income
and
net
realized
gains
on
investments
or
from
tax
return
of
capital
depending
on
the
type
of
book
and
tax
differences
that
exist.
For
the
period
ended
June
30,
2024,
the
Funds
recorded
reclassifications
as
follows:
Federal
Income
Tax
Basis.
As
of
June
30,
2024,
the
net
federal
income
tax
unrealized
appreciation
(depreciation)
and
federal
tax
cost
of
investments
held
by
each
Fund
were
as
follows:
Fund
Short-Term
Utilized
Long-Term
Utilized
Principal
Active
High
Yield
ETF
$
392,463
$
—
Principal
Quality
ETF
2,387,497
356,215
Principal
Real
Estate
Active
Opportunities
ETF
26,954
—
Principal
Spectrum
Preferred
Securities
Active
ETF
86,546
—
Principal
Spectrum
Tax-Advantaged
Dividend
Active
ETF
5,658
—
Principal
U.S.
Mega-Cap
ETF
—
288,342
Principal
U.S.
Small-Cap
ETF
17,745,383
—
Principal
Value
ETF
265,405
—
Fund
Total
Distributable
Earnings
(Accumulated
Loss)
Paid
In
Capital
Principal
Active
High
Yield
ETF
$
(
139,833
)
$
139,833
Principal
Focused
Blue
Chip
ETF
(
1,613,702
)
1,613,702
Principal
Investment
Grade
Corporate
Active
ETF
(
15,375
)
15,375
Principal
Quality
ETF
(
2,622,927
)
2,622,927
Principal
Real
Estate
Active
Opportunities
ETF
(
171,168
)
171,168
Principal
Spectrum
Preferred
Securities
Active
ETF
(
824,897
)
824,897
Principal
Spectrum
Tax-Advantaged
Dividend
Active
ETF
(
9,645
)
9,645
Principal
U.S.
Mega-Cap
ETF
(
60,012,040
)
60,012,040
Principal
U.S.
Small-Cap
ETF
(
2,881,953
)
2,881,953
Principal
Value
ETF
(
167,480
)
167,480
Fund
Unrealized
Appreciation
Unrealized
(Depreciation)
Net
Unrealized
Appreciation
(Depreciation)
Cost
for
Federal
Income
Tax
Purposes
Principal
Active
High
Yield
ETF
$
2,614,826
$
(
3,166,551
)
$
(
551,725
)
$
224,277,887
Principal
Focused
Blue
Chip
ETF
6,693,275
(
223,263
)
6,470,012
41,082,446
Principal
Investment
Grade
Corporate
Active
ETF
312,175
(
1,595,619
)
(
1,283,444
)
81,087,256
Principal
Quality
ETF
7,830,640
(
1,813,211
)
6,017,429
47,185,616
Principal
Real
Estate
Active
Opportunities
ETF
467,452
(
421,604
)
45,848
10,205,892
Principal
Spectrum
Preferred
Securities
Active
ETF
25,251,817
(
12,588,105
)
12,663,712
892,828,268
Principal
Spectrum
Tax-Advantaged
Dividend
Active
ETF
502,467
(
999,240
)
(
496,773
)
24,476,909
Principal
U.S.
Mega-Cap
ETF
637,239,553
(
38,093,317
)
599,146,236
1,841,096,488
Principal
U.S.
Small-Cap
ETF
72,743,372
(
29,679,419
)
43,063,953
540,804,232
Principal
Value
ETF
8,807,430
(
1,859,133
)
6,948,297
61,438,990
7.
Federal
Tax
Information
(continued)
Notes
to
Financial
Statements
Principal
Exchange-Traded
Funds
December
31,
2024
(unaudited)
8.
Subsequent
Events
Management
has
evaluated
events
or
transactions
that
have
occurred
through
the
date
the
financial
statements
were
issued
that
would
merit
recognition
or
disclosure
in
the
financial
statements.
There
were
no items
requiring
adjustment
of
the
financial
statements
or
additional
disclosure.
Schedule
of
Investments
Principal
Active
High
Yield
ETF
December
31,
2024
(unaudited)
INVESTMENT
COMPANIES
-
6
.71
%
Shares
Held
Value
Money
Market
Funds
-
6
.71
%
-
—
Principal
Government
Money
Market
Fund,
Class
R-6
4.37%
(a),(b),(c)
11,016,690
$
11,016,690
State
Street
Institutional
U.S.
Government
Money
Market
Fund,
Premier
Class
4.42%
(a)
6,944,781
6,944,781
TOTAL
INVESTMENT
COMPANIES
a
$
17,961,471
BONDS
-
89
.39
%
Principal
Amount
Value
Aerospace
&
Defense
-
1
.38
%
—
—
Bombardier,
Inc.
7.00%,
06/01/2032
(d),(e)
$
95,000
$
96,640
7.25%,
07/01/2031
(d)
480,000
495,012
7.50%,
02/01/2029
(d),(e)
1,310,000
1,362,961
8.75%,
11/15/2030
(d)
1,624,000
1,745,693
$
3,700,306
Airlines
-
0
.21
%
Grupo
Aeromexico
SAB
de
CV
8.63%,
11/15/2031
(d)
448,000
441,280
United
Airlines
Pass-Through
Trust
,
Class
B
3.65%,
07/07/2027
124,565
122,179
$
563,459
Auto
Parts
&
Equipment
-
0
.94
%
Dana,
Inc.
4.25%,
09/01/2030
2,715,000
2,526,776
Banks
-
2
.88
%
Barclays
PLC
(5-year
Treasury
Constant
Maturity
Rate
+
5.43%),
8.00%,
03/15/2029
(f),(g)
3,706,000
3,834,133
JPMorgan
Chase
&
Co.
(3-month
Term
Secured
Overnight
Financing
Rate
+
3.13%),
4.60%,
02/01/2025
(f),(g)
3,910,000
3,892,546
$
7,726,679
Building
Materials
-
2
.83
%
AmeriTex
HoldCo
Intermediate
LLC
10.25%,
10/15/2028
(d)
3,557,000
3,791,666
Smyrna
Ready
Mix
Concrete
LLC
6.00%,
11/01/2028
(d)
3,890,000
3,794,173
$
7,585,839
Chemicals
-
4
.97
%
Consolidated
Energy
Finance
SA
5.63%,
10/15/2028
(d)
2,507,000
2,044,684
12.00%,
02/15/2031
(d),(e)
1,295,000
1,243,066
Kobe
U.S.
Midco
2,
Inc.
9.25%,
PIK
10.00%,
11/01/2026
(d),(h)
2,527,061
2,141,684
Olympus
Water
U.S.
Holding
Corp.
6.25%,
10/01/2029
(d),(e)
4,200,000
3,989,762
Vibrantz
Technologies,
Inc.
9.00%,
02/15/2030
(d)
4,235,000
3,888,073
$
13,307,269
Commercial
Services
-
5
.63
%
Albion
Financing
1
SARL/Aggreko
Holdings,
Inc.
6.13%,
10/15/2026
(d)
2,178,000
2,178,444
EquipmentShare.com,
Inc.
8.00%,
03/15/2033
(d)
3,257,000
3,298,299
Garda
World
Security
Corp.
6.00%,
06/01/2029
(d)
1,704,000
1,615,374
8.38%,
11/15/2032
(d)
2,321,000
2,362,418
Veritiv
Operating
Co.
10.50%,
11/30/2030
(d)
2,463,000
2,652,602
WASH
Multifamily
Acquisition,
Inc.
5.75%,
04/15/2026
(d)
2,999,000
2,975,811
$
15,082,948
Computers
-
3
.28
%
McAfee
Corp.
7.38%,
02/15/2030
(d)
3,015,000
2,928,248
NCR
Atleos
Corp.
9.50%,
04/01/2029
(d)
2,277,000
2,466,686
BONDS
(continued)
Principal
Amount
Value
Computers
(continued)
Seagate
HDD
Cayman
5.75%,
12/01/2034
$
1,215,000
$
1,165,737
9.63%,
12/01/2032
1,969,921
2,219,793
$
8,780,464
Diversified
Financial
Services
-
6
.68
%
AerCap
Ireland
Capital
DAC/AerCap
Global
Aviation
Trust
(5-year
Treasury
Constant
Maturity
Rate
+
2.72%),
6.95%,
03/10/2055
(g)
2,126,000
2,188,023
Credit
Acceptance
Corp.
9.25%,
12/15/2028
(d)
3,587,000
3,793,877
Freedom
Mortgage
Holdings
LLC
9.13%,
05/15/2031
(d)
3,829,000
3,947,969
Global
Aircraft
Leasing
Co.
Ltd.
8.75%,
09/01/2027
(d)
3,879,000
3,956,157
OneMain
Finance
Corp.
3.50%,
01/15/2027
278,000
265,178
4.00%,
09/15/2030
3,528,000
3,135,554
6.63%,
01/15/2028
540,000
546,685
7.50%,
05/15/2031
50,000
51,317
$
17,884,760
Electric
-
6
.93
%
California
Buyer
Ltd./Atlantica
Sustainable
Infrastructure
PLC
6.38%,
02/15/2032
(d)
4,066,000
4,055,209
Clearway
Energy
Operating
LLC
3.75%,
02/15/2031
(d)
4,515,000
3,931,618
GenOn
Energy,
Inc.
0.00%,
10/15/2020
(i),(j),(k)
3,100,000
—
Lightning
Power
LLC
7.25%,
08/15/2032
(d)
3,853,000
3,961,397
NRG
Energy,
Inc.
3.63%,
02/15/2031
(d)
2,123,000
1,856,483
3.88%,
02/15/2032
(d)
259,000
226,202
(5-year
Treasury
Constant
Maturity
Rate
+
5.92%),
10.25%,
03/15/2028
(d),(f),(g)
519,000
572,994
Vistra
Corp.
(5-year
Treasury
Constant
Maturity
Rate
+
5.74%),
7.00%,
12/15/2026
(d),(f),(g)
1,573,000
1,581,970
Vistra
Operations
Co.
LLC
4.38%,
05/01/2029
(d)
2,523,000
2,375,436
$
18,561,309
Entertainment
-
6
.57
%
Caesars
Entertainment,
Inc.
6.50%,
02/15/2032
(d)
3,253,000
3,267,682
CCM
Merger,
Inc.
6.38%,
05/01/2026
(d)
3,517,000
3,508,109
Churchill
Downs,
Inc.
5.75%,
04/01/2030
(d)
3,803,000
3,732,464
Cinemark
USA,
Inc.
5.25%,
07/15/2028
(d),(e)
2,671,000
2,604,811
7.00%,
08/01/2032
(d)
1,113,000
1,134,514
Lions
Gate
Capital
Holdings
LLC
5.50%,
04/15/2029
(d)
2,441,000
1,914,126
Wynn
Resorts
Finance
LLC/Wynn
Resorts
Capital
Corp.
7.13%,
02/15/2031
(d)
1,392,000
1,449,643
$
17,611,349
Food
-
1
.66
%
Chobani
LLC/Chobani
Finance
Corp.,
Inc.
7.63%,
07/01/2029
(d)
3,235,000
3,345,264
Fiesta
Purchaser,
Inc.
7.88%,
03/01/2031
(d)
1,062,000
1,108,455
$
4,453,719
Schedule
of
Investments
Principal
Active
High
Yield
ETF
December
31,
2024
(unaudited)
BONDS
(continued)
Principal
Amount
Value
Forest
Products
&
Paper
-
0
.44
%
Mercer
International,
Inc.
5.13%,
02/01/2029
$
774,000
$
669,037
12.88%,
10/01/2028
(d)
484,000
521,004
$
1,190,041
Healthcare
-
Services
-
3
.01
%
Acadia
Healthcare
Co.,
Inc.
5.00%,
04/15/2029
(d)
4,297,000
4,019,188
Star
Parent,
Inc.
9.00%,
10/01/2030
(d)
3,885,000
4,034,961
$
8,054,149
Home
Builders
-
0
.98
%
Adams
Homes,
Inc.
9.25%,
10/15/2028
(d)
2,533,000
2,625,338
Household
Products
&
Wares
-
0
.69
%
Kronos
Acquisition
Holdings,
Inc.
10.75%,
06/30/2032
(d),(e)
1,994,000
1,834,668
Insurance
-
0
.91
%
Acrisure
LLC/Acrisure
Finance,
Inc.
6.00%,
08/01/2029
(d)
2,530,000
2,426,531
Investment
Companies
-
2
.62
%
Compass
Group
Diversified
Holdings
LLC
5.25%,
04/15/2029
(d)
3,323,000
3,189,579
Icahn
Enterprises
LP/Icahn
Enterprises
Finance
Corp.
4.38%,
02/01/2029
4,589,000
3,833,105
$
7,022,684
Iron
&
Steel
-
1
.07
%
TMS
International
Corp.
6.25%,
04/15/2029
(d)
2,979,000
2,856,227
Lodging
-
0
.44
%
Wynn
Macau
Ltd.
5.63%,
08/26/2028
(d)
1,228,000
1,182,663
Machinery
-
Diversified
-
1
.21
%
Maxim
Crane
Works
Holdings
Capital
LLC
11.50%,
09/01/2028
(d)
3,069,000
3,245,493
Media
-
3
.19
%
CSC
Holdings
LLC
4.50%,
11/15/2031
(d)
3,264,000
2,350,182
Directv
Financing
LLC
8.88%,
02/01/2030
(d)
555,000
546,143
Directv
Financing
LLC/Directv
Financing
Co-
Obligor,
Inc.
5.88%,
08/15/2027
(d)
3,504,000
3,413,942
DISH
DBS
Corp.
5.25%,
12/01/2026
(d)
284
258
DISH
Network
Corp.
11.75%,
11/15/2027
(d)
2,117,000
2,242,309
$
8,552,834
Mining
-
1
.47
%
Taseko
Mines
Ltd.
8.25%,
05/01/2030
(d)
3,868,000
3,948,240
Oil
&
Gas
-
6
.14
%
Aethon
United
BR
LP/Aethon
United
Finance
Corp.
7.50%,
10/01/2029
(d)
3,857,000
3,944,431
Hilcorp
Energy
I
LP/Hilcorp
Finance
Co.
7.25%,
02/15/2035
(d)
1,365,000
1,283,272
Matador
Resources
Co.
6.25%,
04/15/2033
(d)
4,015,000
3,891,027
Permian
Resources
Operating
LLC
6.25%,
02/01/2033
(d)
2,610,000
2,576,226
Transocean,
Inc.
8.50%,
05/15/2031
(d)
4,005,000
3,926,407
Vital
Energy,
Inc.
9.75%,
10/15/2030
778,000
820,264
$
16,441,627
BONDS
(continued)
Principal
Amount
Value
Oil
&
Gas
Services
-
0
.96
%
Archrock
Partners
LP/Archrock
Partners
Finance
Corp.
6.25%,
04/01/2028
(d)
$
2,580,000
$
2,566,247
Packaging
&
Containers
-
1
.42
%
Clydesdale
Acquisition
Holdings,
Inc.
6.63%,
04/15/2029
(d)
301,000
302,995
6.88%,
01/15/2030
(d)
105,000
105,711
8.75%,
04/15/2030
(d)
1,113,000
1,125,097
LABL,
Inc.
5.88%,
11/01/2028
(d)
600,000
534,541
8.25%,
11/01/2029
(d),(e)
1,065,000
923,887
9.50%,
11/01/2028
(d)
812,000
813,089
$
3,805,320
Pharmaceuticals
-
5
.81
%
AdaptHealth
LLC
5.13%,
03/01/2030
(d)
4,437,000
4,020,628
Bausch
Health
Cos.,
Inc.
5.50%,
11/01/2025
(d)
3,120,000
3,042,600
Endo
Finance
Holdings,
Inc.
8.50%,
04/15/2031
(d),(e)
2,808,000
2,975,169
Jazz
Securities
DAC
4.38%,
01/15/2029
(d)
3,547,000
3,344,370
Owens
&
Minor,
Inc.
4.50%,
03/31/2029
(d),(e)
2,432,000
2,170,210
$
15,552,977
Pipelines
-
3
.54
%
Antero
Midstream
Partners
LP/Antero
Midstream
Finance
Corp.
6.63%,
02/01/2032
(d)
2,586,000
2,604,834
Harvest
Midstream
I
LP
7.50%,
05/15/2032
(d)
341,000
347,215
Hess
Midstream
Operations
LP
4.25%,
02/15/2030
(d)
3,535,000
3,258,992
Venture
Global
LNG,
Inc.
7.00%,
01/15/2030
(d)
8,000
8,120
8.38%,
06/01/2031
(d)
241,000
251,345
9.50%,
02/01/2029
(d)
2,732,000
3,019,587
$
9,490,093
REITs
-
3
.09
%
Blackstone
Mortgage
Trust,
Inc.
7.75%,
12/01/2029
(d)
757,000
778,206
CBL
&
Associates
LP
0.00%,
12/15/2026
(i),(j),(k)
6,000,000
—
Ladder
Capital
Finance
Holdings
LLLP/Ladder
Capital
Finance
Corp.
4.75%,
06/15/2029
(d)
4,767,000
4,494,916
7.00%,
07/15/2031
(d)
65,000
66,603
Uniti
Group
LP/Uniti
Fiber
Holdings,
Inc./CSL
Capital
LLC
6.00%,
01/15/2030
(d)
3,357,000
2,947,449
$
8,287,174
Retail
-
3
.27
%
Bath
&
Body
Works,
Inc.
5.25%,
02/01/2028
344,000
338,686
6.63%,
10/01/2030
(d)
567,000
571,076
6.75%,
07/01/2036
297,000
301,825
9.38%,
07/01/2025
(d)
30,000
30,509
Carvana
Co.
13.00%,
PIK
11.00%,
06/01/2030
(d),(h)
2,420,000
2,657,045
Fertitta
Entertainment
LLC/Fertitta
Entertainment
Finance
Co.,
Inc.
4.63%,
01/15/2029
(d)
1,583,000
1,466,934
6.75%,
01/15/2030
(d)
1,123,000
1,035,994
Park
River
Holdings,
Inc.
5.63%,
02/01/2029
(d)
1,330,000
1,147,609
Victra
Holdings
LLC/Victra
Finance
Corp.
8.75%,
09/15/2029
(d)
1,154,000
1,206,529
$
8,756,207
Schedule
of
Investments
Principal
Active
High
Yield
ETF
December
31,
2024
(unaudited)
BONDS
(continued)
Principal
Amount
Value
Software
-
0
.95
%
Cloud
Software
Group,
Inc.
6.50%,
03/31/2029
(d)
$
40,000
$
39,261
9.00%,
09/30/2029
(d)
2,457,000
2,494,577
$
2,533,838
Telecommunications
-
3
.49
%
Connect
Finco
SARL/Connect
U.S.
Finco
LLC
9.00%,
09/15/2029
(d)
3,034,000
2,763,380
EchoStar
Corp.
10.75%,
11/30/2029
2,482,320
2,669,203
Level
3
Financing,
Inc.
10.50%,
05/15/2030
(d)
491,000
534,699
10.75%,
12/15/2030
(d)
1,043,000
1,163,625
Zayo
Group
Holdings,
Inc.
4.00%,
03/01/2027
(d),(e)
351,000
323,713
6.13%,
03/01/2028
(d),(e)
2,214,000
1,881,881
$
9,336,501
Transportation
-
0
.73
%
Watco
Cos.
LLC/Watco
Finance
Corp.
7.13%,
08/01/2032
(d)
1,897,000
1,955,330
TOTAL
BONDS
a
$
239,449,059
SENIOR
FLOATING
RATE
INTERESTS
-
8
.07
%
Principal
Amount
Value
Airlines
-
1
.73
%
–
—
American
Airlines,
Inc.,
2021
Term
Loan
(3-month
Term
Secured
Overnight
Financing
Rate
+
4.75%),
9.63%,
04/20/2028
$
2,064,125
$
2,116,430
United
Airlines,
Inc.,
2024
Term
Loan
B
(3-month
Term
Secured
Overnight
Financing
Rate
+
2.75%),
7.32%,
02/22/2031
957,973
959,687
WestJet
Loyalty
LP,
Term
Loan
B
(3-month
Term
Secured
Overnight
Financing
Rate
+
3.25%),
7.58%,
02/14/2031
1,548,300
1,553,007
$
4,629,124
Commercial
Services
-
0
.11
%
Veritiv
Corp.,
Term
Loan
B
(3-month
Term
Secured
Overnight
Financing
Rate
+
4.50%),
8.83%,
11/30/2030
304,236
304,932
Food
-
1
.02
%
Fiesta
Purchaser,
Inc.,
2024
Term
Loan
B
(1-month
Term
Secured
Overnight
Financing
Rate
+
3.25%),
7.61%,
02/12/2031
2,741,242
2,740,804
Forest
Products
&
Paper
-
0
.43
%
Spectrum
Group
Buyer,
Inc.,
2022
Term
Loan
B
(3-month
Term
Secured
Overnight
Financing
Rate
+
7.50%),
12.09%,
05/19/2028
1,390,311
1,160,395
Healthcare
-
Services
-
1
.07
%
LifePoint
Health,
Inc.,
2024
1st
Lien
Term
Loan
B
(3-month
Term
Secured
Overnight
Financing
Rate
+
3.75%),
8.05%,
05/17/2031
2,865,000
2,872,965
Household
Products
&
Wares
-
0
.37
%
Kronos
Acquisition
Holdings,
Inc.,
2024
Term
Loan
(3-month
Term
Secured
Overnight
Financing
Rate
+
4.00%),
8.29%,
07/08/2031
1,062,338
1,000,254
Media
-
0
.48
%
iHeartCommunications,
Inc.,
2020
Term
Loan
0.00%,
05/01/2026
(l)
1,440,000
1,274,400
SENIOR
FLOATING
RATE
INTERESTS
(continued)
Principal
Amount
Value
Mining
-
1
.44
%
Arsenal
AIC
Parent
LLC,
2024
1st
Lien
Term
Loan
B
(1-month
Term
Secured
Overnight
Financing
Rate
+
3.25%),
7.61%,
08/18/2030
$
3,816,389
$
3,844,058
Pharmaceuticals
-
0
.36
%
Endo
Luxembourg
Finance
Co.
I
SARL,
2024
1st
Lien
Term
Loan
0.00%,
04/23/2031
(l)
45,000
45,270
Endo
Luxembourg
Finance
Co.
I
SARL,
2024
Term
Loan
B
(1-month
Term
Secured
Overnight
Financing
Rate
+
4.00%),
8.36%,
04/23/2031
920,000
925,520
$
970,790
Retail
-
0
.95
%
MI
Windows
&
Doors
LLC,
2024
Term
Loan
B2
(1-month
Term
Secured
Overnight
Financing
Rate
+
3.00%),
7.36%,
03/28/2031
2,509,931
2,531,542
Telecommunications
-
0
.11
%
Zayo
Group
Holdings,
Inc.,
USD
Term
Loan
(1-month
Term
Secured
Overnight
Financing
Rate
+
3.00%),
7.47%,
03/09/2027
315,000
294,393
TOTAL
SENIOR
FLOATING
RATE
INTERESTS
a
$
21,623,657
Total
Investments
104.17%
$
279,034,187
Other
Assets
and
Liabilities
-
(4.17%)
(
11,169,502
)
TOTAL
NET
ASSETS
-
100.00%
$
267,864,685
(a)
1-day
yield
shown
as
of
period
end.
(b)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.00%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
Affiliated
Securities
sub-schedule
for
transactional
information.
(c)
Security
or
a
portion
of
the
security
was
received
as
collateral
for
securities
lending.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$11,016,690
or
4.11%
of
net
assets.
(d)
Security
exempt
from
registration
under
Rule
144A
of
the
Securities
Act
of
1933.
These
securities
may
be
resold
in
transactions
exempt
from
registration,
normally
to
qualified
institutional
buyers.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$210,869,018
or
78.72%
of
net
assets.
(e)
Security
or
a
portion
of
the
security
was
on
loan.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$10,705,731
or
4.00%
of
net
assets.
(f)
Perpetual
security.
Perpetual
securities
pay
an
indefinite
stream
of
interest,
but
they
may
be
called
by
the
issuer
at
an
earlier
date.
Date
shown,
if
any,
reflects
the
next
call
date
or
final
legal
maturity
date.
Rate
shown
is
as
of
period
end.
(g)
Rate
shown
is
as
of
period
end.
The
rate
may
be
a
variable
or
floating
rate
or
a
fixed
rate
which
may
convert
to
a
variable
or
floating
rate
in
the
future.
(h)
Payment
in
kind;
the
issuer
has
the
option
of
paying
additional
securities
in
lieu
of
cash.
(i)
Security
is
defaulted.
(j)
Non-income
producing
security.
(k)
The
value
of
these
investments
was
determined
using
significant
unobservable
inputs,
in
good
faith
by
the
Advisor,
under
procedures
established
and
periodically
reviewed
by
the
Board
of
Trustees.
(l)
This
Senior
Floating
Rate
Interest
will
settle
after
December
31,
2024,
at
which
time
the
interest
rate
will
be
determined.
Schedule
of
Investments
Principal
Active
High
Yield
ETF
December
31,
2024
(unaudited)
Affiliated
Securities
June
30,
2024
Value
Purchases
Cost
Sales
Proceeds
December
31,
2024
Value
Principal
Government
Money
Market
Fund,
Class
R-6
4.37%
$
7,350,220
$
62,593,353
$
58,926,883
$
11,016,690
$
7,350,220
$
62,593,353
$
58,926,883
$
11,016,690
a
a
Income
(a)
Realized
Gain/(Loss)
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/(Loss)
Principal
Government
Money
Market
Fund,
Class
R-6
4.37%
$
—
$
—
$
—
$
—
$
—
$
—
$
—
$
—
(a)
Amount
excludes
earnings
from
securities
lending
collateral.
Schedule
of
Investments
Principal
Focused
Blue
Chip
ETF
December
31,
2024
(unaudited)
COMMON
STOCKS
-
99
.80
%
Shares
Held
Value
Aerospace
&
Defense
-
4
.57
%
-
—
TransDigm
Group,
Inc.
3,237
$
4,102,185
Distribution
&
Wholesale
-
1
.96
%
Copart,
Inc.
(a)
30,738
1,764,054
Diversified
Financial
Services
-
12
.37
%
Charles
Schwab
Corp.
28,862
2,136,077
Mastercard,
Inc.,
Class
A
8,867
4,669,096
Visa,
Inc.,
Class
A
13,604
4,299,408
$
11,104,581
Electronics
-
0
.00
%
Amphenol
Corp.,
Class
A
23
1,597
Healthcare
-
Products
-
5
.88
%
Danaher
Corp.
14,485
3,325,032
Thermo
Fisher
Scientific,
Inc.
3,755
1,953,463
$
5,278,495
Insurance
-
4
.34
%
Progressive
Corp.
16,255
3,894,861
Internet
-
31
.52
%
Airbnb,
Inc.,
Class
A
(a)
9,367
1,230,917
Alphabet,
Inc.,
Class
C
59,872
11,402,024
Amazon.com,
Inc.
(a)
53,968
11,840,040
Netflix,
Inc.
(a)
4,295
3,828,219
$
28,301,200
Lodging
-
3
.24
%
Hilton
Worldwide
Holdings,
Inc.
11,785
2,912,781
Pharmaceuticals
-
2
.42
%
Zoetis,
Inc.
13,361
2,176,908
Private
Equity
-
5
.52
%
Brookfield
Corp.
86,283
4,956,958
Real
Estate
-
2
.37
%
CoStar
Group,
Inc.
(a)
29,700
2,126,223
Retail
-
2
.42
%
O'Reilly
Automotive,
Inc.
(a)
1,830
2,170,014
Semiconductors
-
1
.35
%
Broadcom,
Inc.
5,208
1,207,423
Software
-
21
.84
%
Cadence
Design
Systems,
Inc.
(a)
10,209
3,067,396
Intuit,
Inc.
4,923
3,094,106
Microsoft
Corp.
26,957
11,362,375
Roper
Technologies,
Inc.
4,008
2,083,559
$
19,607,436
TOTAL
COMMON
STOCKS
a
$
89,604,716
INVESTMENT
COMPANIES
-
0
.36
%
Shares
Held
Value
Money
Market
Funds
-
0
.36
%
-
—
State
Street
Institutional
U.S.
Government
Money
Market
Fund,
Premier
Class
4.42%
(b)
325,804
$
325,804
TOTAL
INVESTMENT
COMPANIES
a
$
325,804
Total
Investments
100.16%
$
89,930,520
Other
Assets
and
Liabilities
-
(0.16%)
(
144,666
)
TOTAL
NET
ASSETS
-
100.00%
$
89,785,854
(a)
Non-income
producing
security.
(b)
1-day
yield
shown
as
of
period
end.
Affiliated
Securities
June
30,
2024
Value
Purchases
Cost
Sales
Proceeds
December
31,
2024
Value
Principal
Government
Money
Market
Fund,
Class
R-6
4.37%
$
—
$
3,029,171
$
3,029,171
$
—
$
—
$
3,029,171
$
3,029,171
$
—
a
a
Income
(a)
Realized
Gain/(Loss)
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/(Loss)
Principal
Government
Money
Market
Fund,
Class
R-6
4.37%
$
—
$
—
$
—
$
—
$
—
$
—
$
—
$
—
(a)
Amount
excludes
earnings
from
securities
lending
collateral.
Schedule
of
Investments
Principal
International
Equity
ETF
December
31,
2024
(unaudited)
COMMON
STOCKS
-
98
.04
%
Shares
Held
Value
Aerospace
&
Defense
-
6
.49
%
-
—
Airbus
SE
8,036
$
1,288,402
BAE
Systems
PLC
89,431
1,285,845
$
2,574,247
Apparel
-
6
.82
%
PRADA
SpA
134,600
1,042,430
Samsonite
International
SA
(a)
597,600
1,661,998
$
2,704,428
Auto
Manufacturers
-
2
.89
%
Toyota
Motor
Corp.
57,400
1,147,672
Banks
-
7
.03
%
AIB
Group
PLC
296,184
1,635,255
National
Bank
of
Greece
SA
145,434
1,153,962
$
2,789,217
Biotechnology
-
0
.09
%
Zai
Lab
Ltd.,
ADR
(b)
1,398
36,614
Building
Materials
-
2
.82
%
CRH
PLC
12,055
1,118,895
Coal
-
2
.52
%
Teck
Resources
Ltd.,
Class
B
24,600
997,383
Cosmetics
&
Personal
Care
-
4
.55
%
Unilever
PLC
31,653
1,802,208
Entertainment
-
2
.79
%
Entain
PLC
128,576
1,106,146
Healthcare
-
Products
-
3
.08
%
Smith
&
Nephew
PLC
98,400
1,221,275
Insurance
-
12
.05
%
AIA
Group
Ltd.
155,200
1,125,036
AXA
SA
38,622
1,373,026
Hannover
Rueck
SE
5,495
1,374,047
Sompo
Holdings,
Inc.
34,600
905,764
$
4,777,873
Internet
-
6
.73
%
JD.com,
Inc.,
ADR
35,998
1,248,051
Tencent
Holdings
Ltd.,
ADR
26,733
1,421,661
$
2,669,712
Machinery
-
Construction
&
Mining
-
2
.42
%
Weir
Group
PLC
35,046
958,210
Oil
&
Gas
-
5
.53
%
Noble
Corp.
PLC
32,554
1,022,196
Suncor
Energy,
Inc.
32,800
1,170,801
$
2,192,997
Pharmaceuticals
-
7
.16
%
AstraZeneca
PLC
10,661
1,397,112
Sanofi
SA
14,857
1,442,623
$
2,839,735
Retail
-
3
.03
%
Dollarama,
Inc.
12,300
1,200,351
Semiconductors
-
13
.56
%
ASML
Holding
NV
2,217
1,558,620
Renesas
Electronics
Corp.
(b)
82,000
1,066,529
Samsung
Electronics
Co.
Ltd.
35,421
1,280,031
Taiwan
Semiconductor
Manufacturing
Co.
Ltd.,
ADR
7,462
1,473,670
$
5,378,850
Telecommunications
-
4
.83
%
Deutsche
Telekom
AG
64,042
1,916,502
Toys,Games
&
Hobbies
-
3
.65
%
Nintendo
Co.
Ltd.
24,600
1,448,374
TOTAL
COMMON
STOCKS
a
$
38,880,689
INVESTMENT
COMPANIES
-
1
.95
%
Shares
Held
Value
Money
Market
Funds
-
1
.95
%
-
—
State
Street
Institutional
U.S.
Government
Money
Market
Fund,
Premier
Class
4.42%
(c)
775,142
$
775,142
TOTAL
INVESTMENT
COMPANIES
a
$
775,142
Total
Investments
99.99%
$
39,655,831
Other
Assets
and
Liabilities
-
0.01%
5,505
TOTAL
NET
ASSETS
-
100.00%
$
39,661,336
(a)
Security
exempt
from
registration
under
Rule
144A
of
the
Securities
Act
of
1933.
These
securities
may
be
resold
in
transactions
exempt
from
registration,
normally
to
qualified
institutional
buyers.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$1,661,998
or
4.19%
of
net
assets.
(b)
Non-income
producing
security.
(c)
1-day
yield
shown
as
of
period
end.
Schedule
of
Investments
Principal
Investment
Grade
Corporate
Active
ETF
December
31,
2024
(unaudited)
INVESTMENT
COMPANIES
-
1
.62
%
Shares
Held
Value
Money
Market
Funds
-
1
.62
%
-
—
Principal
Government
Money
Market
Fund,
Class
R-6
4.37%
(a),(b),(c)
800,320
$
800,320
State
Street
Institutional
U.S.
Government
Money
Market
Fund,
Premier
Class
4.42%
(a)
682,135
682,135
TOTAL
INVESTMENT
COMPANIES
a
$
1,482,455
BONDS
-
97
.83
%
Principal
Amount
Value
Aerospace
&
Defense
-
3
.26
%
—
—
BAE
Systems
PLC
5.00%,
03/26/2027
(d)
$
415,000
$
416,766
Boeing
Co.
2.20%,
02/04/2026
598,000
579,935
5.81%,
05/01/2050
221,000
205,564
6.26%,
05/01/2027
172,000
176,091
L3Harris
Technologies,
Inc.
5.05%,
06/01/2029
180,000
179,959
RTX
Corp.
4.13%,
11/16/2028
561,000
546,032
6.10%,
03/15/2034
836,000
880,304
$
2,984,651
Agriculture
-
1
.59
%
BAT
Capital
Corp.
4.54%,
08/15/2047
445,000
350,939
4.76%,
09/06/2049
613,000
496,208
5.83%,
02/20/2031
245,000
250,455
Philip
Morris
International,
Inc.
4.63%,
11/01/2029
361,000
356,065
$
1,453,667
Airlines
-
2
.46
%
AS
Mileage
Plan
IP
Ltd.
5.02%,
10/20/2029
(d)
207,000
201,633
5.31%,
10/20/2031
(d)
334,000
326,101
Delta
Air
Lines,
Inc./SkyMiles
IP
Ltd.
4.75%,
10/20/2028
(d)
1,212,940
1,196,375
United
Airlines
Pass-Through
Trust
,
Class
A
5.88%,
08/15/2038
517,000
526,065
$
2,250,174
Auto
Manufacturers
-
2
.29
%
Ford
Motor
Credit
Co.
LLC
5.80%,
03/08/2029
450,000
450,160
6.13%,
03/08/2034
(e)
252,000
246,554
Hyundai
Capital
America
5.30%,
06/24/2029
(d)
248,000
248,682
5.40%,
01/08/2031
(d)
299,000
298,900
5.40%,
06/24/2031
(d)
202,000
201,978
6.50%,
01/16/2029
(d)
626,000
653,415
$
2,099,689
Banks
-
27
.20
%
AIB
Group
PLC
(6-month
Secured
Overnight
Financing
Rate
+
1.91%),
5.87%,
03/28/2035
(d),(f)
515,000
514,995
Bank
of
America
Corp.
(6-month
Secured
Overnight
Financing
Rate
+
1.32%),
2.69%,
04/22/2032
(f)
2,334,000
2,006,284
(6-month
Secured
Overnight
Financing
Rate
+
1.74%),
5.52%,
10/25/2035
(f)
277,000
270,829
Bank
of
New
York
Mellon
Corp.
(6-month
Secured
Overnight
Financing
Rate
+
1.61%),
4.97%,
04/26/2034
(f)
283,000
277,347
Barclays
PLC
(6-month
Secured
Overnight
Financing
Rate
+
1.91%),
5.34%,
09/10/2035
(f)
531,000
510,015
BONDS
(continued)
Principal
Amount
Value
Banks
(continued)
Citigroup,
Inc.
(5-year
Treasury
Constant
Maturity
Rate
+
1.28%),
5.59%,
11/19/2034
(f)
$
309,000
$
306,337
Commonwealth
Bank
of
Australia
5.84%,
03/13/2034
(d)
338,000
341,667
Danske
Bank
AS
(1-year
Treasury
Constant
Maturity
Rate
+
1.10%),
4.61%,
10/02/2030
(d),(f)
288,000
279,430
(1-year
Treasury
Constant
Maturity
Rate
+
1.40%),
5.71%,
03/01/2030
(d),(f)
458,000
464,306
Deutsche
Bank
AG
(6-month
Secured
Overnight
Financing
Rate
+
2.05%),
5.40%,
09/11/2035
(f)
373,000
353,403
(6-month
Secured
Overnight
Financing
Rate
+
1.59%),
5.71%,
02/08/2028
(f)
365,000
368,890
Goldman
Sachs
Group,
Inc.
(6-month
Secured
Overnight
Financing
Rate
+
1.42%),
5.02%,
10/23/2035
(f)
641,000
613,451
(6-month
Secured
Overnight
Financing
Rate
+
1.58%),
5.56%,
11/19/2045
(f)
294,000
283,932
HSBC
Holdings
PLC
(6-month
Secured
Overnight
Financing
Rate
+
1.06%),
5.60%,
05/17/2028
(f)
981,000
991,514
(6-month
Secured
Overnight
Financing
Rate
+
1.52%),
5.73%,
05/17/2032
(f)
238,000
240,775
Huntington
Bancshares,
Inc.
(6-month
Secured
Overnight
Financing
Rate
+
1.87%),
5.71%,
02/02/2035
(f)
1,089,000
1,086,884
(5-year
Treasury
Constant
Maturity
Rate
+
1.70%),
6.14%,
11/18/2039
(f)
264,000
263,657
JPMorgan
Chase
&
Co.
(6-month
Secured
Overnight
Financing
Rate
+
1.81%),
6.25%,
10/23/2034
(f)
2,308,000
2,439,312
KBC
Group
NV
(1-year
Treasury
Constant
Maturity
Rate
+
1.07%),
4.93%,
10/16/2030
(d),(f)
340,000
334,623
KeyBank
NA
5.00%,
01/26/2033
277,000
265,675
KeyCorp
(6-month
Secured
Overnight
Financing
Rate
+
2.42%),
6.40%,
03/06/2035
(f)
336,000
349,712
Morgan
Stanley
(6-month
Secured
Overnight
Financing
Rate
+
1.56%),
5.32%,
07/19/2035
(f)
726,000
714,100
(6-month
Secured
Overnight
Financing
Rate
+
1.73%),
5.47%,
01/18/2035
(f)
3,026,000
3,009,095
(6-month
Secured
Overnight
Financing
Rate
+
1.71%),
5.52%,
11/19/2055
(f)
221,000
212,981
(6-month
Secured
Overnight
Financing
Rate
+
1.58%),
5.83%,
04/19/2035
(f)
148,000
150,819
Schedule
of
Investments
Principal
Investment
Grade
Corporate
Active
ETF
December
31,
2024
(unaudited)
BONDS
(continued)
Principal
Amount
Value
Banks
(continued)
NatWest
Group
PLC
(1-year
Treasury
Constant
Maturity
Rate
+
1.22%),
4.96%,
08/15/2030
(f)
$
208,000
$
204,879
PNC
Financial
Services
Group,
Inc.
(6-month
Secured
Overnight
Financing
Rate
+
1.60%),
5.40%,
07/23/2035
(f)
298,000
295,684
(6-month
Secured
Overnight
Financing
Rate
+
1.90%),
5.68%,
01/22/2035
(f)
1,320,000
1,335,240
(6-month
Secured
Overnight
Financing
Rate
+
2.28%),
6.88%,
10/20/2034
(f)
176,000
192,115
Truist
Financial
Corp.
(6-month
Secured
Overnight
Financing
Rate
+
1.62%),
5.44%,
01/24/2030
(f)
182,000
183,606
(6-month
Secured
Overnight
Financing
Rate
+
1.63%),
5.90%,
10/28/2026
(f)
206,000
207,572
(6-month
Secured
Overnight
Financing
Rate
+
2.45%),
7.16%,
10/30/2029
(f)
425,000
454,452
U.S.
Bancorp
(6-month
Secured
Overnight
Financing
Rate
+
1.25%),
5.10%,
07/23/2030
(f)
288,000
287,644
(6-month
Secured
Overnight
Financing
Rate
+
1.86%),
5.68%,
01/23/2035
(f)
714,000
720,027
UBS
Group
AG
(1-year
Treasury
Constant
Maturity
Rate
+
1.75%),
4.75%,
05/12/2028
(d),(f)
1,468,000
1,458,830
(1-year
Treasury
Constant
Maturity
Rate
+
1.77%),
5.70%,
02/08/2035
(d),(f)
247,000
248,616
Wells
Fargo
&
Co.
(6-month
Secured
Overnight
Financing
Rate
+
2.10%),
2.39%,
06/02/2028
(f)
2,067,000
1,946,758
Westpac
Banking
Corp.
(5-year
Treasury
Constant
Maturity
Rate
+
2.00%),
4.11%,
07/24/2034
(f)
430,000
404,945
(1-year
Treasury
Constant
Maturity
Rate
+
1.20%),
5.62%,
11/20/2035
(f)
332,000
326,145
$
24,916,546
Beverages
-
0
.35
%
Anheuser-Busch
Cos.
LLC/Anheuser-Busch
InBev
Worldwide,
Inc.
4.90%,
02/01/2046
349,000
317,369
Biotechnology
-
0
.83
%
Amgen,
Inc.
5.60%,
03/02/2043
783,000
761,175
Chemicals
-
0
.32
%
International
Flavors
&
Fragrances,
Inc.
1.83%,
10/15/2027
(d)
245,000
225,004
3.47%,
12/01/2050
(d)
106,000
69,431
$
294,435
Commercial
Services
-
0
.26
%
Ashtead
Capital,
Inc.
5.80%,
04/15/2034
(d)
242,000
242,183
Computers
-
1
.82
%
Apple,
Inc.
3.95%,
08/08/2052
181,000
144,001
BONDS
(continued)
Principal
Amount
Value
Computers
(continued)
Hewlett
Packard
Enterprise
Co.
4.55%,
10/15/2029
$
642,000
$
625,815
5.00%,
10/15/2034
374,000
359,479
5.60%,
10/15/2054
573,000
539,364
$
1,668,659
Diversified
Financial
Services
-
3
.71
%
AerCap
Ireland
Capital
DAC/AerCap
Global
Aviation
Trust
3.40%,
10/29/2033
1,166,000
992,991
3.85%,
10/29/2041
790
618
4.63%,
09/10/2029
194,000
189,730
(5-year
Treasury
Constant
Maturity
Rate
+
2.72%),
6.95%,
03/10/2055
(f)
197,000
202,747
Aircastle
Ltd.
5.95%,
02/15/2029
(d)
147,000
150,058
Aircastle
Ltd./Aircastle
Ireland
DAC
5.75%,
10/01/2031
(d)
517,000
520,480
Apollo
Global
Management,
Inc.
(5-year
Treasury
Constant
Maturity
Rate
+
2.17%),
6.00%,
12/15/2054
(e),(f)
207,000
203,776
Atlas
Warehouse
Lending
Co.
LP
6.05%,
01/15/2028
(d)
259,000
259,387
6.25%,
01/15/2030
(d)
259,000
257,442
Blackstone
Holdings
Finance
Co.
LLC
2.85%,
08/05/2051
(d)
667,342
398,887
Charles
Schwab
Corp.
(6-month
Secured
Overnight
Financing
Rate
+
2.50%),
5.85%,
05/19/2034
(f)
142,000
146,169
Macquarie
Airfinance
Holdings
Ltd.
6.40%,
03/26/2029
(d)
78,000
80,257
$
3,402,542
Electric
-
11
.16
%
Alliant
Energy
Finance
LLC
5.95%,
03/30/2029
(d)
147,000
150,447
Commonwealth
Edison
Co.
4.00%,
03/01/2049
684,000
526,589
Consolidated
Edison
Co.
of
New
York,
Inc.
5.90%,
11/15/2053
156,000
158,030
Duke
Energy
Carolinas
LLC
3.75%,
06/01/2045
684,000
523,428
Duke
Energy
Florida
LLC
6.20%,
11/15/2053
192,000
202,341
FirstEnergy
Corp.
4.85%,
07/15/2047
514,000
438,407
Florida
Power
&
Light
Co.
3.95%,
03/01/2048
514,000
403,521
Indianapolis
Power
&
Light
Co.
5.70%,
04/01/2054
(d)
362,000
355,455
Kentucky
Utilities
Co.
4.38%,
10/01/2045
735,000
608,899
MidAmerican
Energy
Co.
3.15%,
04/15/2050
396,000
265,700
4.40%,
10/15/2044
684,000
584,730
Monongahela
Power
Co.
3.55%,
05/15/2027
(d)
530,000
514,105
NextEra
Energy
Capital
Holdings,
Inc.
(5-year
Treasury
Constant
Maturity
Rate
+
2.36%),
6.70%,
09/01/2054
(f)
624,000
635,103
(5-year
Treasury
Constant
Maturity
Rate
+
2.46%),
6.75%,
06/15/2054
(f)
278,000
284,806
Northern
States
Power
Co.
5.10%,
05/15/2053
367,000
339,511
NRG
Energy,
Inc.
2.00%,
12/02/2025
(d)
690,000
669,995
Schedule
of
Investments
Principal
Investment
Grade
Corporate
Active
ETF
December
31,
2024
(unaudited)
BONDS
(continued)
Principal
Amount
Value
Electric
(continued)
Oncor
Electric
Delivery
Co.
LLC
5.55%,
06/15/2054
(d)
$
184,000
$
179,250
Pacific
Gas
&
Electric
Co.
2.95%,
03/01/2026
1,294,000
1,265,202
5.55%,
05/15/2029
450,000
457,338
Sempra
(5-year
Treasury
Constant
Maturity
Rate
+
2.14%),
6.55%,
04/01/2055
(f)
621,000
616,126
Southwestern
Public
Service
Co.
4.50%,
08/15/2041
177,000
151,997
6.00%,
06/01/2054
560,000
566,063
Xcel
Energy,
Inc.
5.45%,
08/15/2033
331,000
328,335
$
10,225,378
Electronics
-
0
.12
%
Amphenol
Corp.
5.38%,
11/15/2054
118,000
112,172
Engineering
&
Construction
-
0
.24
%
CIMIC
Finance
USA
Pty.
Ltd.
7.00%,
03/25/2034
(d)
210,000
217,102
Entertainment
-
0
.61
%
Warnermedia
Holdings,
Inc.
5.14%,
03/15/2052
749,000
556,510
Environmental
Control
-
0
.37
%
Waste
Management,
Inc.
4.95%,
03/15/2035
352,000
343,182
Food
-
0
.47
%
JBS
USA
Holding
Lux
SARL/JBS
USA
Food
Co./JBS
Lux
Co.
SARL
4.38%,
02/02/2052
566,400
426,865
Sysco
Corp.
3.15%,
12/14/2051
736
474
$
427,339
Gas
-
1
.05
%
NiSource,
Inc.
5.25%,
03/30/2028
93,000
93,806
(5-year
Treasury
Constant
Maturity
Rate
+
2.45%),
6.95%,
11/30/2054
(f)
578,000
588,467
Southern
California
Gas
Co.
5.05%,
09/01/2034
282,000
277,864
$
960,137
Healthcare
-
Services
-
3
.21
%
Centene
Corp.
2.45%,
07/15/2028
1,473,000
1,325,565
HCA,
Inc.
5.45%,
04/01/2031
331,000
330,334
5.45%,
09/15/2034
504,000
491,244
6.00%,
04/01/2054
150,000
142,892
UnitedHealth
Group,
Inc.
2.75%,
05/15/2040
700,000
494,973
5.75%,
07/15/2064
160,000
155,466
$
2,940,474
Insurance
-
3
.54
%
AIA
Group
Ltd.
5.40%,
09/30/2054
(d)
324,000
300,121
American
International
Group,
Inc.
5.13%,
03/27/2033
124,000
122,460
Aon
North
America,
Inc.
5.45%,
03/01/2034
229,000
228,601
5.75%,
03/01/2054
295,000
287,654
Arthur
J
Gallagher
&
Co.
2.40%,
11/09/2031
844,000
706,868
5.55%,
02/15/2055
248,000
238,113
Athene
Holding
Ltd.
6.25%,
04/01/2054
385,000
385,661
Corebridge
Financial,
Inc.
5.75%,
01/15/2034
540,000
550,059
BONDS
(continued)
Principal
Amount
Value
Insurance
(continued)
MetLife,
Inc.
5.00%,
07/15/2052
$
125,000
$
112,943
Reinsurance
Group
of
America,
Inc.
5.75%,
09/15/2034
147,000
148,157
Sammons
Financial
Group
Global
Funding
5.10%,
12/10/2029
(d)
161,000
159,812
$
3,240,449
Internet
-
1
.23
%
Meta
Platforms,
Inc.
5.40%,
08/15/2054
203,000
196,578
Netflix,
Inc.
5.88%,
11/15/2028
897,000
929,505
$
1,126,083
Iron
&
Steel
-
0
.12
%
Steel
Dynamics,
Inc.
5.38%,
08/15/2034
109,000
108,053
Media
-
1
.84
%
Charter
Communications
Operating
LLC/Charter
Communications
Operating
Capital
4.80%,
03/01/2050
445,000
334,265
5.25%,
04/01/2053
440,000
355,133
Comcast
Corp.
3.97%,
11/01/2047
787,000
596,375
5.65%,
06/01/2054
114,000
110,201
Paramount
Global
4.20%,
05/19/2032
334,000
294,360
$
1,690,334
Mining
-
1
.90
%
Glencore
Funding
LLC
5.37%,
04/04/2029
(d)
1,055,000
1,063,299
6.13%,
10/06/2028
(d)
661,000
681,620
$
1,744,919
Oil
&
Gas
-
1
.64
%
Diamondback
Energy,
Inc.
5.75%,
04/18/2054
356,000
334,081
Occidental
Petroleum
Corp.
5.20%,
08/01/2029
456,000
452,422
6.60%,
03/15/2046
454,000
458,342
Saudi
Arabian
Oil
Co.
5.75%,
07/17/2054
(d)
274,000
256,242
$
1,501,087
Packaging
&
Containers
-
1
.70
%
Packaging
Corp.
of
America
5.70%,
12/01/2033
626,000
638,956
Smurfit
Kappa
Treasury
ULC
5.20%,
01/15/2030
(d)
601,000
604,354
Sonoco
Products
Co.
4.60%,
09/01/2029
168,000
163,603
5.00%,
09/01/2034
156,000
147,928
$
1,554,841
Pharmaceuticals
-
2
.89
%
AbbVie,
Inc.
3.20%,
11/21/2029
702,000
651,563
4.25%,
11/21/2049
576,000
468,313
4.95%,
03/15/2031
920,000
919,814
5.40%,
03/15/2054
276,000
265,666
5.50%,
03/15/2064
156,000
148,941
Bristol-Myers
Squibb
Co.
4.25%,
10/26/2049
238,000
192,258
$
2,646,555
Pipelines
-
5
.99
%
Cheniere
Energy,
Inc.
5.65%,
04/15/2034
180,000
181,034
DT
Midstream,
Inc.
4.13%,
06/15/2029
(d)
943,000
880,647
5.80%,
12/15/2034
(d)
141,000
141,993
Eastern
Energy
Gas
Holdings
LLC
5.65%,
10/15/2054
91,000
85,827
Schedule
of
Investments
Principal
Investment
Grade
Corporate
Active
ETF
December
31,
2024
(unaudited)
BONDS
(continued)
Principal
Amount
Value
Pipelines
(continued)
Energy
Transfer
LP
3.75%,
05/15/2030
$
879,000
$
820,085
5.15%,
03/15/2045
602,000
526,830
5.25%,
07/01/2029
111,000
111,528
6.05%,
09/01/2054
202,000
197,698
Enterprise
Products
Operating
LLC
3.13%,
07/31/2029
1,406,000
1,308,309
Kinder
Morgan,
Inc.
5.40%,
02/01/2034
720,000
709,022
MPLX
LP
5.50%,
06/01/2034
257,000
253,292
ONEOK,
Inc.
4.40%,
10/15/2029
280,000
271,461
$
5,487,726
Real
Estate
-
1
.14
%
CoStar
Group,
Inc.
2.80%,
07/15/2030
(d),(e)
1,196,000
1,044,389
REITs
-
3
.11
%
American
Homes
4
Rent
LP
2.38%,
07/15/2031
430,000
359,764
4.25%,
02/15/2028
89,000
86,832
5.50%,
07/15/2034
919,000
910,680
Cousins
Properties
LP
5.38%,
02/15/2032
189,000
185,620
Crown
Castle,
Inc.
5.80%,
03/01/2034
626,000
637,748
Realty
Income
Corp.
3.10%,
12/15/2029
70
64
3.20%,
02/15/2031
744,000
667,348
$
2,848,056
Semiconductors
-
2
.67
%
Broadcom,
Inc.
4.11%,
09/15/2028
4,000
3,907
4.35%,
02/15/2030
359,000
349,305
4.55%,
02/15/2032
207,000
200,175
5.05%,
07/12/2029
217,000
217,824
5.15%,
11/15/2031
253,000
254,638
Intel
Corp.
4.75%,
03/25/2050
156,000
120,573
Marvell
Technology,
Inc.
2.95%,
04/15/2031
346,000
303,502
5.95%,
09/15/2033
441,000
457,856
Micron
Technology,
Inc.
5.30%,
01/15/2031
238,000
237,762
6.75%,
11/01/2029
279,000
297,044
$
2,442,586
Shipbuilding
-
0
.39
%
Huntington
Ingalls
Industries,
Inc.
5.75%,
01/15/2035
362,000
361,020
Software
-
4
.01
%
Oracle
Corp.
3.95%,
03/25/2051
485,000
359,242
4.00%,
07/15/2046
701,000
539,471
Take-Two
Interactive
Software,
Inc.
4.00%,
04/14/2032
789,000
728,191
4.95%,
03/28/2028
299,000
298,845
5.40%,
06/12/2029
199,000
201,819
VMware
LLC
4.65%,
05/15/2027
1,554,000
1,547,431
$
3,674,999
Telecommunications
-
3
.02
%
AT&T,
Inc.
2.55%,
12/01/2033
420,000
338,324
3.50%,
09/15/2053
2,086,000
1,404,588
Verizon
Communications,
Inc.
2.36%,
03/15/2032
503,000
417,139
2.65%,
11/20/2040
518,000
354,179
BONDS
(continued)
Principal
Amount
Value
Telecommunications
(continued)
Vodafone
Group
PLC
5.75%,
06/28/2054
$
258,000
$
248,833
$
2,763,063
Transportation
-
0
.45
%
Norfolk
Southern
Corp.
5.35%,
08/01/2054
435,000
414,149
Water
-
0
.87
%
Essential
Utilities,
Inc.
2.40%,
05/01/2031
934,000
792,963
TOTAL
BONDS
a
$
89,614,656
Total
Investments
99.45%
$
91,097,111
Other
Assets
and
Liabilities
-
0.55%
500,014
TOTAL
NET
ASSETS
-
100.00%
$
91,597,125
(a)
1-day
yield
shown
as
of
period
end.
(b)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.00%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
Affiliated
Securities
sub-schedule
for
transactional
information.
(c)
Security
or
a
portion
of
the
security
was
received
as
collateral
for
securities
lending.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$800,320
or
0.87%
of
net
assets.
(d)
Security
exempt
from
registration
under
Rule
144A
of
the
Securities
Act
of
1933.
These
securities
may
be
resold
in
transactions
exempt
from
registration,
normally
to
qualified
institutional
buyers.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$16,608,277
or
18.13%
of
net
assets.
(e)
Security
or
a
portion
of
the
security
was
on
loan.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$783,498
or
0.86%
of
net
assets.
(f)
Rate
shown
is
as
of
period
end.
The
rate
may
be
a
variable
or
floating
rate
or
a
fixed
rate
which
may
convert
to
a
variable
or
floating
rate
in
the
future.
Schedule
of
Investments
Principal
Investment
Grade
Corporate
Active
ETF
December
31,
2024
(unaudited)
Affiliated
Securities
June
30,
2024
Value
Purchases
Cost
Sales
Proceeds
December
31,
2024
Value
Principal
Government
Money
Market
Fund,
Class
R-6
4.37%
$
—
$
9,523,753
$
8,723,433
$
800,320
$
—
$
9,523,753
$
8,723,433
$
800,320
a
a
Income
(a)
Realized
Gain/(Loss)
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/(Loss)
Principal
Government
Money
Market
Fund,
Class
R-6
4.37%
$
—
$
—
$
—
$
—
$
—
$
—
$
—
$
—
(a)
Amount
excludes
earnings
from
securities
lending
collateral.
Futures
Contracts
Description
and
Expiration
Date
Type
Contracts
Notional
Amount
Value
and
Unrealized
Appreciation/(Depreciation)
U.S.
2
Year
Treasury
Notes
CBT;
March
2025
Long
13
$
2,672,922
$
1,011
U.S.
5
Year
Treasury
Notes
CBT;
March
2025
Short
5
531,523
4,443
U.S.
10
Year
Treasury
Notes
CBT;
March
2025
Short
17
1,848,750
15,636
U.S.
10
Year
Ultra
Treasury
Notes;
March
2025
Short
51
5,676,937
70,392
U.S.
Long
Bonds
CBT;
March
2025
Long
21
2,390,719
(
69,272
)
U.S.
Ultra
Long-Term
Treasury
Bond
CBT;
March
2025
Long
13
1,545,781
(
87,311
)
Total
$
(
65,101
)
Schedule
of
Investments
Principal
Quality
ETF
December
31,
2024
(unaudited)
COMMON
STOCKS
-
99
.83
%
Shares
Held
Value
Auto
Parts
&
Equipment
-
0
.78
%
-
—
Aptiv
PLC
(a)
7,529
$
455,354
Building
Materials
-
3
.26
%
Martin
Marietta
Materials,
Inc.
1,017
525,280
Trane
Technologies
PLC
2,188
808,138
Vulcan
Materials
Co.
2,244
577,224
$
1,910,642
Chemicals
-
1
.98
%
Ecolab,
Inc.
2,761
646,957
PPG
Industries,
Inc.
4,313
515,188
$
1,162,145
Commercial
Services
-
3
.49
%
Corpay,
Inc.
(a)
1,964
664,657
Global
Payments,
Inc.
4,592
514,580
PayPal
Holdings,
Inc.
(a)
10,170
868,009
$
2,047,246
Computers
-
12
.19
%
Accenture
PLC,
Class
A
2,268
797,860
Apple,
Inc.
13,721
3,436,013
Gartner,
Inc.
(a)
1,284
622,059
Hewlett
Packard
Enterprise
Co.
34,728
741,443
International
Business
Machines
Corp.
4,046
889,432
NetApp,
Inc.
5,672
658,406
$
7,145,213
Distribution
&
Wholesale
-
2
.18
%
Copart,
Inc.
(a)
10,965
629,281
WW
Grainger,
Inc.
614
647,187
$
1,276,468
Diversified
Financial
Services
-
1
.05
%
Cboe
Global
Markets,
Inc.
3,151
615,705
Electrical
Components
&
Equipment
-
2
.36
%
AMETEK,
Inc.
3,346
603,150
Eaton
Corp.
PLC
2,361
783,545
$
1,386,695
Electronics
-
3
.19
%
Allegion
PLC
4,357
569,373
Jabil,
Inc.
4,660
670,574
Keysight
Technologies,
Inc.
(a)
3,923
630,151
$
1,870,098
Environmental
Control
-
1
.11
%
Republic
Services,
Inc.
3,231
650,012
Food
-
0
.97
%
Sysco
Corp.
7,477
571,691
Hand
&
Machine
Tools
-
1
.15
%
Snap-on,
Inc.
1,979
671,831
Healthcare
-
Products
-
6
.71
%
Agilent
Technologies,
Inc.
4,126
554,287
Boston
Scientific
Corp.
(a)
10,207
911,689
Edwards
Lifesciences
Corp.
(a)
6,764
500,739
Stryker
Corp.
2,001
720,460
Thermo
Fisher
Scientific,
Inc.
1,444
751,212
West
Pharmaceutical
Services,
Inc.
1,521
498,219
$
3,936,606
Healthcare
-
Services
-
0
.81
%
IQVIA
Holdings,
Inc.
(a)
2,423
476,144
Home
Builders
-
1
.94
%
DR
Horton,
Inc.
4,031
563,615
PulteGroup,
Inc.
5,266
573,467
$
1,137,082
Household
Products
&
Wares
-
2
.09
%
Church
&
Dwight
Co.,
Inc.
5,618
588,261
Kimberly-Clark
Corp.
4,875
638,820
$
1,227,081
Insurance
-
0
.23
%
Berkshire
Hathaway,
Inc.,
Class
B
(a)
299
135,531
Internet
-
10
.49
%
Alphabet,
Inc.,
Class
A
1,699
321,621
Alphabet,
Inc.,
Class
C
6,267
1,193,487
Amazon.com,
Inc.
(a)
6,798
1,491,413
CDW
Corp.
2,425
422,047
F5,
Inc.
(a)
3,023
760,194
COMMON
STOCKS
(continued)
Shares
Held
Value
Internet
(continued)
Meta
Platforms,
Inc.,
Class
A
1,116
$
653,429
Netflix,
Inc.
(a)
1,466
1,306,675
$
6,148,866
Machinery
-
Diversified
-
3
.73
%
Dover
Corp.
3,330
624,708
IDEX
Corp.
2,405
503,343
Nordson
Corp.
2,174
454,888
Rockwell
Automation,
Inc.
2,117
605,017
$
2,187,956
Media
-
0
.99
%
FactSet
Research
Systems,
Inc.
1,213
582,580
Miscellaneous
Manufacturers
-
1
.80
%
A.O.
Smith
Corp.
6,515
444,388
Illinois
Tool
Works,
Inc.
2,419
613,362
$
1,057,750
Oil
&
Gas
Services
-
0
.80
%
Schlumberger
NV
12,273
470,547
Pharmaceuticals
-
1
.05
%
Zoetis,
Inc.
3,785
616,690
Retail
-
3
.19
%
Chipotle
Mexican
Grill,
Inc.
(a)
11,826
713,108
O'Reilly
Automotive,
Inc.
(a)
573
679,463
Ulta
Beauty,
Inc.
(a)
1,096
476,683
$
1,869,254
Semiconductors
-
14
.92
%
Advanced
Micro
Devices,
Inc.
(a)
4,929
595,374
Applied
Materials,
Inc.
3,845
625,312
Broadcom,
Inc.
10,045
2,328,833
KLA
Corp.
988
622,559
Microchip
Technology,
Inc.
6,931
397,493
Monolithic
Power
Systems,
Inc.
866
512,412
NVIDIA
Corp.
21,866
2,936,385
QUALCOMM,
Inc.
4,750
729,695
$
8,748,063
Software
-
15
.61
%
Broadridge
Financial
Solutions,
Inc.
2,914
658,826
Cadence
Design
Systems,
Inc.
(a)
2,216
665,820
Fiserv,
Inc.
(a)
4,460
916,173
Intuit,
Inc.
1,238
778,083
Microsoft
Corp.
10,704
4,511,736
Salesforce,
Inc.
3,107
1,038,763
Synopsys,
Inc.
(a)
1,198
581,461
$
9,150,862
Telecommunications
-
1
.76
%
Arista
Networks,
Inc.
(a)
9,324
1,030,582
TOTAL
COMMON
STOCKS
a
$
58,538,694
INVESTMENT
COMPANIES
-
0
.13
%
Shares
Held
Value
Money
Market
Funds
-
0
.13
%
-
—
State
Street
Institutional
U.S.
Government
Money
Market
Fund,
Premier
Class
4.42%
(b)
75,478
$
75,478
TOTAL
INVESTMENT
COMPANIES
a
$
75,478
Total
Investments
99.96%
$
58,614,172
Other
Assets
and
Liabilities
-
0.04%
22,113
TOTAL
NET
ASSETS
-
100.00%
$
58,636,285
(a)
Non-income
producing
security.
(b)
1-day
yield
shown
as
of
period
end.
Schedule
of
Investments
Principal
Real
Estate
Active
Opportunities
ETF
December
31,
2024
(unaudited)
COMMON
STOCKS
-
98
.43
%
Shares
Held
Value
Entertainment
-
1
.53
%
-
—
Marriott
Vacations
Worldwide
Corp.
2,007
$
180,228
REITs
-
96
.90
%
American
Healthcare
REIT,
Inc.
23,559
669,547
American
Homes
4
Rent,
Class
A
17,624
659,490
American
Tower
Corp.
4,087
749,597
Americold
Realty
Trust,
Inc.
23,357
499,840
Crown
Castle,
Inc.
2,066
187,510
Digital
Realty
Trust,
Inc.
2,527
448,113
Equinix,
Inc.
997
940,061
Equity
LifeStyle
Properties,
Inc.
5,139
342,257
Extra
Space
Storage,
Inc.
4,285
641,036
Gaming
&
Leisure
Properties,
Inc.
10,230
492,677
Invitation
Homes,
Inc.
18,017
576,003
Lineage,
Inc.
5,422
317,567
National
Health
Investors,
Inc.
5,097
353,222
Rexford
Industrial
Realty,
Inc.
11,192
432,683
Ryman
Hospitality
Properties,
Inc.
2,985
311,455
Sabra
Health
Care
REIT,
Inc.
31,610
547,485
SBA
Communications
Corp.
2,589
527,638
Sunstone
Hotel
Investors,
Inc.
21,534
254,963
Terreno
Realty
Corp.
6,395
378,200
Ventas,
Inc.
17,103
1,007,196
VICI
Properties,
Inc.
16,964
495,518
Welltower,
Inc.
4,569
575,831
$
11,407,889
TOTAL
COMMON
STOCKS
a
$
11,588,117
INVESTMENT
COMPANIES
-
1
.19
%
Shares
Held
Value
Money
Market
Funds
-
1
.19
%
-
—
State
Street
Institutional
U.S.
Government
Money
Market
Fund,
Premier
Class
4.42%
(a)
140,321
$
140,321
TOTAL
INVESTMENT
COMPANIES
a
$
140,321
Total
Investments
99.62%
$
11,728,438
Other
Assets
and
Liabilities
-
0.38%
44,714
TOTAL
NET
ASSETS
-
100.00%
$
11,773,152
(a)
1-day
yield
shown
as
of
period
end.
Schedule
of
Investments
Principal
Spectrum
Preferred
Securities
Active
ETF
December
31,
2024
(unaudited)
INVESTMENT
COMPANIES
-
3
.50
%
Shares
Held
Value
Money
Market
Funds
-
3
.50
%
-
—
Principal
Government
Money
Market
Fund,
Class
R-6
4.37%
(a),(b),(c)
15,853,593
$
15,853,593
State
Street
Institutional
U.S.
Government
Money
Market
Fund,
Premier
Class
4.42%
(a)
21,074,701
21,074,701
TOTAL
INVESTMENT
COMPANIES
a
$
36,928,294
BONDS
-
97
.00
%
Principal
Amount
Value
Banks
-
52
.67
%
—
—
Bank
of
America
Corp.
(5-year
Treasury
Constant
Maturity
Rate
+
2.76%),
4.38%,
01/27/2027
(d),(e)
$
18,925,000
$
18,221,788
(5-year
Treasury
Constant
Maturity
Rate
+
3.23%),
6.13%,
04/27/2027
(d),(e)
12,308,000
12,388,974
Bank
of
Montreal
(5-year
Treasury
Constant
Maturity
Rate
+
2.98%),
6.70%,
02/25/2025
(d),(e),(f)
4,112,000
4,119,011
(5-year
Treasury
Constant
Maturity
Rate
+
3.01%),
7.30%,
11/26/2084
(e)
13,500,000
13,794,098
(5-year
Treasury
Constant
Maturity
Rate
+
3.45%),
7.70%,
05/26/2084
(e)
2,945,000
3,055,452
Bank
of
New
York
Mellon
Corp.
(5-year
Treasury
Constant
Maturity
Rate
+
3.35%),
3.70%,
03/20/2026
(d),(e)
16,900,000
16,385,904
(5-year
Treasury
Constant
Maturity
Rate
+
2.63%),
3.75%,
12/20/2026
(d),(e)
13,427,000
12,689,520
(3-month
Term
Secured
Overnight
Financing
Rate
+
3.39%),
4.63%,
09/20/2026
(d),(e)
1,404,000
1,370,781
(5-year
Treasury
Constant
Maturity
Rate
+
4.36%),
4.70%,
09/20/2025
(d),(e)
7,900,000
7,825,018
Bank
of
Nova
Scotia
(5-year
Treasury
Constant
Maturity
Rate
+
4.55%),
4.90%,
06/04/2025
(d),(e)
16,135,000
15,967,112
(5-year
Treasury
Constant
Maturity
Rate
+
4.38%),
8.63%,
10/27/2082
(e)
21,578,000
22,902,700
Canadian
Imperial
Bank
of
Commerce
(5-year
Treasury
Constant
Maturity
Rate
+
2.83%),
6.95%,
01/28/2085
(e)
5,915,000
5,878,070
Citigroup,
Inc.
(5-year
Treasury
Constant
Maturity
Rate
+
3.42%),
3.88%,
02/18/2026
(d),(e)
12,289,000
11,931,638
(5-year
Treasury
Constant
Maturity
Rate
+
3.60%),
4.00%,
12/10/2025
(d),(e)
16,102,000
15,677,286
(6-month
Secured
Overnight
Financing
Rate
+
3.23%),
4.70%,
01/30/2025
(d),(e)
3,000,000
2,981,120
(5-year
Treasury
Constant
Maturity
Rate
+
2.57%),
6.75%,
02/15/2030
(d),(e)
2,500,000
2,479,667
(10-year
Treasury
Constant
Maturity
Rate
+
2.76%),
7.00%,
08/15/2034
(d),(e)
3,000,000
3,163,725
(5-year
Treasury
Constant
Maturity
Rate
+
2.69%),
7.13%,
08/15/2029
(d),(e)
500,000
509,289
BONDS
(continued)
Principal
Amount
Value
Banks
(continued)
Citigroup,
Inc.
(continued)
(5-year
Treasury
Constant
Maturity
Rate
+
3.20%),
7.38%,
05/15/2028
(d),(e),(f)
$
7,530,000
$
7,757,722
Citizens
Financial
Group,
Inc.
(5-year
Treasury
Constant
Maturity
Rate
+
3.22%),
4.00%,
10/06/2026
(d),(e)
10,435,000
9,906,220
(5-year
Treasury
Constant
Maturity
Rate
+
5.31%),
5.65%,
10/06/2025
(d),(e)
18,905,000
18,772,693
Goldman
Sachs
Group,
Inc.
(5-year
Treasury
Constant
Maturity
Rate
+
2.92%),
3.65%,
08/10/2026
(d),(e),(f)
2,621,000
2,504,111
(5-year
Treasury
Constant
Maturity
Rate
+
2.97%),
3.80%,
05/10/2026
(d),(e)
2,855,000
2,756,688
(5-year
Treasury
Constant
Maturity
Rate
+
2.95%),
4.13%,
11/10/2026
(d),(e)
8,914,000
8,519,351
(10-year
Treasury
Constant
Maturity
Rate
+
2.40%),
6.13%,
11/10/2034
(d),(e)
11,500,000
11,351,814
(5-year
Treasury
Constant
Maturity
Rate
+
3.62%),
7.38%,
02/10/2025
(d),(e)
1,754,000
1,752,630
(5-year
Treasury
Constant
Maturity
Rate
+
2.81%),
7.50%,
05/10/2029
(d),(e)
4,000,000
4,172,858
Huntington
Bancshares,
Inc.
(7-year
Treasury
Constant
Maturity
Rate
+
4.05%),
4.45%,
10/15/2027
(d),(e)
5,232,000
4,998,696
(10-year
Treasury
Constant
Maturity
Rate
+
4.95%),
5.63%,
07/15/2030
(d),(e)
20,103,000
19,619,454
JPMorgan
Chase
&
Co.
(5-year
Treasury
Constant
Maturity
Rate
+
2.85%),
3.65%,
06/01/2026
(d),(e)
19,205,000
18,630,478
(5-year
Treasury
Constant
Maturity
Rate
+
2.74%),
6.88%,
06/01/2029
(d),(e)
4,400,000
4,594,649
KeyCorp
Capital
I
(3-month
Term
Secured
Overnight
Financing
Rate
+
1.00%),
5.60%,
07/01/2028
7,704,000
7,459,679
KeyCorp
Capital
III
7.75%,
07/15/2029
9,000,000
9,375,224
M&T
Bank
Corp.
(5-year
Treasury
Constant
Maturity
Rate
+
2.68%),
3.50%,
09/01/2026
(d),(e)
19,608,000
18,609,653
(5-year
Treasury
Constant
Maturity
Rate
+
3.17%),
7.01%,
02/01/2025
(d),(e)
5,000,000
4,968,354
Northern
Trust
Corp.
(3-month
Term
Secured
Overnight
Financing
Rate
+
3.46%),
4.60%,
10/01/2026
(d),(e)
2,899,000
2,837,964
PNC
Financial
Services
Group,
Inc.
(5-year
Treasury
Constant
Maturity
Rate
+
2.60%),
3.40%,
09/15/2026
(d),(e)
1,146,000
1,075,624
(5-year
Treasury
Constant
Maturity
Rate
+
3.00%),
6.00%,
05/15/2027
(d),(e)
5,600,000
5,589,238
Schedule
of
Investments
Principal
Spectrum
Preferred
Securities
Active
ETF
December
31,
2024
(unaudited)
BONDS
(continued)
Principal
Amount
Value
Banks
(continued)
PNC
Financial
Services
Group,
Inc.
(continued)
(5-year
Treasury
Constant
Maturity
Rate
+
3.24%),
6.20%,
09/15/2027
(d),(e),(f)
$
14,108,000
$
14,168,820
(7-year
Treasury
Constant
Maturity
Rate
+
2.81%),
6.25%,
03/15/2030
(d),(e)
27,490,000
27,748,791
Royal
Bank
of
Canada
(5-year
Treasury
Constant
Maturity
Rate
+
2.26%),
6.35%,
11/24/2084
(e),(f)
5,710,000
5,459,357
(5-year
Treasury
Constant
Maturity
Rate
+
2.89%),
7.50%,
05/02/2084
(e)
10,500,000
10,887,093
State
Street
Corp.
(5-year
Treasury
Constant
Maturity
Rate
+
2.61%),
6.70%,
03/15/2029
(d),(e)
7,928,000
8,084,626
(5-year
Treasury
Constant
Maturity
Rate
+
2.63%),
6.70%,
09/15/2029
(d),(e)
10,600,000
10,817,677
Toronto-Dominion
Bank
(5-year
Treasury
Constant
Maturity
Rate
+
2.98%),
7.25%,
07/31/2084
(e)
6,500,000
6,613,262
(5-year
Treasury
Constant
Maturity
Rate
+
4.07%),
8.13%,
10/31/2082
(e)
28,435,000
29,638,376
Truist
Financial
Corp.
(5-year
Treasury
Constant
Maturity
Rate
+
4.61%),
4.95%,
09/01/2025
(d),(e)
11,697,000
11,593,313
(10-year
Treasury
Constant
Maturity
Rate
+
4.35%),
5.10%,
03/01/2030
(d),(e)
3,000,000
2,899,692
(3-month
Term
Secured
Overnight
Financing
Rate
+
0.91%),
5.27%,
03/15/2028
1,250,000
1,224,091
(3-month
Term
Secured
Overnight
Financing
Rate
+
0.93%),
5.46%,
05/15/2027
4,800,000
4,728,873
(5-year
Treasury
Constant
Maturity
Rate
+
3.00%),
6.67%,
03/01/2025
(d),(e)
9,194,000
9,144,172
U.S.
Bancorp
(5-year
Treasury
Constant
Maturity
Rate
+
2.54%),
3.70%,
01/15/2027
(d),(e)
21,725,000
20,546,365
(3-month
Term
Secured
Overnight
Financing
Rate
+
3.18%),
5.30%,
04/15/2027
(d),(e),(f)
5,296,000
5,221,951
Wells
Fargo
&
Co.
(5-year
Treasury
Constant
Maturity
Rate
+
3.45%),
3.90%,
03/15/2026
(d),(e)
34,456,000
33,478,148
(5-year
Treasury
Constant
Maturity
Rate
+
2.77%),
6.85%,
09/15/2029
(d),(e)
6,793,000
7,011,398
(5-year
Treasury
Constant
Maturity
Rate
+
3.61%),
7.63%,
09/15/2028
(d),(e),(f)
9,710,000
10,303,511
$
556,163,769
Diversified
Financial
Services
-
11
.90
%
American
Express
Co.
(5-year
Treasury
Constant
Maturity
Rate
+
2.85%),
3.55%,
09/15/2026
(d),(e)
41,767,000
40,145,563
BONDS
(continued)
Principal
Amount
Value
Diversified
Financial
Services
(continued)
Capital
One
Financial
Corp.
(5-year
Treasury
Constant
Maturity
Rate
+
3.16%),
3.95%,
09/01/2026
(d),(e),(f)
$
19,399,000
$
18,451,017
Charles
Schwab
Corp.
(5-year
Treasury
Constant
Maturity
Rate
+
3.17%),
4.00%,
06/01/2026
(d),(e)
24,610,000
23,802,669
(10-year
Treasury
Constant
Maturity
Rate
+
3.08%),
4.00%,
12/01/2030
(d),(e)
2,000,000
1,726,602
(5-year
Treasury
Constant
Maturity
Rate
+
3.26%),
5.00%,
06/01/2027
(d),(e),(f)
1,500,000
1,456,143
(5-year
Treasury
Constant
Maturity
Rate
+
4.97%),
5.38%,
06/01/2025
(d),(e)
8,938,000
8,890,402
Discover
Financial
Services
(5-year
Treasury
Constant
Maturity
Rate
+
5.78%),
6.13%,
06/23/2025
(d),(e)
16,441,000
16,350,611
Voya
Financial,
Inc.
(5-year
Treasury
Constant
Maturity
Rate
+
3.36%),
7.76%,
09/15/2028
(d),(e)
14,139,000
14,885,016
$
125,708,023
Electric
-
11
.28
%
American
Electric
Power
Co.,
Inc.
(5-year
Treasury
Constant
Maturity
Rate
+
2.68%),
3.88%,
02/15/2062
(e)
12,928,000
12,154,928
(5-year
Treasury
Constant
Maturity
Rate
+
2.68%),
6.95%,
12/15/2054
(e),(f)
1,700,000
1,754,014
(5-year
Treasury
Constant
Maturity
Rate
+
2.75%),
7.05%,
12/15/2054
(e),(f)
3,460,000
3,584,784
CMS
Energy
Corp.
(5-year
Treasury
Constant
Maturity
Rate
+
4.12%),
4.75%,
06/01/2050
(e)
3,290,000
3,116,387
Dominion
Energy,
Inc.
(5-year
Treasury
Constant
Maturity
Rate
+
3.20%),
4.35%,
01/15/2027
(d),(e)
17,325,000
16,775,415
(5-year
Treasury
Constant
Maturity
Rate
+
2.21%),
6.63%,
05/15/2055
(e)
2,600,000
2,643,326
(5-year
Treasury
Constant
Maturity
Rate
+
2.39%),
6.88%,
02/01/2055
(e)
5,439,000
5,651,949
Duke
Energy
Corp.
(5-year
Treasury
Constant
Maturity
Rate
+
2.32%),
3.25%,
01/15/2082
(e)
16,385,000
15,230,510
(5-year
Treasury
Constant
Maturity
Rate
+
2.59%),
6.45%,
09/01/2054
(e)
2,800,000
2,834,012
Emera,
Inc.
(3-month
USD
LIBOR
+
5.44%),
6.75%,
06/15/2076
(e)
7,859,000
7,899,780
EUSHI
Finance,
Inc.
(5-year
Treasury
Constant
Maturity
Rate
+
3.14%),
7.63%,
12/15/2054
(e),(g)
2,381,000
2,476,964
Evergy,
Inc.
(5-year
Treasury
Constant
Maturity
Rate
+
2.56%),
6.65%,
06/01/2055
(e)
2,000,000
1,999,428
Schedule
of
Investments
Principal
Spectrum
Preferred
Securities
Active
ETF
December
31,
2024
(unaudited)
BONDS
(continued)
Principal
Amount
Value
Electric
(continued)
NextEra
Energy
Capital
Holdings,
Inc.
(5-year
Treasury
Constant
Maturity
Rate
+
2.55%),
3.80%,
03/15/2082
(e)
$
18,549,000
$
17,646,376
(5-year
Treasury
Constant
Maturity
Rate
+
2.36%),
6.70%,
09/01/2054
(e)
7,442,000
7,574,420
Southern
Co.
(5-year
Treasury
Constant
Maturity
Rate
+
3.73%),
4.00%,
01/15/2051
(e)
18,095,000
17,732,069
$
119,074,362
Gas
-
0
.59
%
NiSource,
Inc.
(5-year
Treasury
Constant
Maturity
Rate
+
2.45%),
6.95%,
11/30/2054
(e)
6,107,000
6,217,589
Insurance
-
12
.87
%
Allianz
SE
(5-year
Treasury
Constant
Maturity
Rate
+
3.23%),
6.35%,
09/06/2053
(e),(g)
5,000,000
5,210,580
Argentum
Netherlands
BV
for
Swiss
Re
Ltd.
(3-month
USD
LIBOR
+
3.78%),
5.63%,
08/15/2052
(e)
6,500,000
6,484,680
Argentum
Netherlands
BV
for
Zurich
Insurance
Co.
Ltd.
(5-year
Treasury
Constant
Maturity
Rate
+
3.27%),
5.13%,
06/01/2048
(e)
4,000,000
3,966,000
Cloverie
PLC
for
Zurich
Insurance
Co.
Ltd.
(3-month
USD
LIBOR
+
4.92%),
5.63%,
06/24/2046
(e)
6,500,000
6,508,125
Corebridge
Financial,
Inc.
(5-year
Treasury
Constant
Maturity
Rate
+
2.65%),
6.38%,
09/15/2054
(e)
4,900,000
4,866,490
(5-year
Treasury
Constant
Maturity
Rate
+
3.85%),
6.88%,
12/15/2052
(e)
11,778,000
12,086,816
Equitable
Holdings,
Inc.
(5-year
Treasury
Constant
Maturity
Rate
+
4.74%),
4.95%,
09/15/2025
(d),(e)
4,417,000
4,391,460
Liberty
Mutual
Group,
Inc.
(5-year
Treasury
Constant
Maturity
Rate
+
3.32%),
4.13%,
12/15/2051
(e),(g)
20,309,000
19,326,259
Meiji
Yasuda
Life
Insurance
Co.
(5-year
Swap
rate
+
4.23%),
5.20%,
10/20/2045
(e),(g)
1,210,000
1,207,084
(5-year
Treasury
Constant
Maturity
Rate
+
3.03%),
5.80%,
09/11/2054
(e),(g)
1,941,000
1,945,598
MetLife,
Inc.
(5-year
Treasury
Constant
Maturity
Rate
+
3.58%),
3.85%,
09/15/2025
(d),(e)
12,824,000
12,590,220
6.40%,
12/15/2066
2,910,000
2,966,216
9.25%,
04/08/2068
(g)
3,485,000
4,098,276
Nippon
Life
Insurance
Co.
(5-year
Treasury
Constant
Maturity
Rate
+
2.65%),
2.75%,
01/21/2051
(e),(g)
10,587,000
8,931,827
(5-year
Treasury
Constant
Maturity
Rate
+
2.60%),
2.90%,
09/16/2051
(e),(g)
3,804,000
3,220,606
BONDS
(continued)
Principal
Amount
Value
Insurance
(continued)
Prudential
Financial,
Inc.
(5-year
Treasury
Constant
Maturity
Rate
+
3.04%),
3.70%,
10/01/2050
(e)
$
20,097,000
$
17,878,167
(5-year
Treasury
Constant
Maturity
Rate
+
3.16%),
5.13%,
03/01/2052
(e)
5,597,000
5,326,230
Sumitomo
Life
Insurance
Co.
(5-year
Treasury
Constant
Maturity
Rate
+
2.75%),
3.38%,
04/15/2081
(e),(g)
4,640,000
4,086,498
Swiss
RE
Subordinated
Finance
PLC
(3-month
Term
Secured
Overnight
Financing
Rate
+
1.81%),
5.70%,
04/05/2035
(e),(g)
1,000,000
993,127
Willow
No.
2
Ireland
PLC
for
Zurich
Insurance
Co.
Ltd.
(3-month
USD
LIBOR
+
3.18%),
4.25%,
10/01/2045
(e)
3,000,000
2,968,728
Zurich
Finance
Ireland
Designated
Activity
Co.
(5-year
Treasury
Constant
Maturity
Rate
+
2.78%),
3.00%,
04/19/2051
(e)
8,000,000
6,830,000
$
135,882,987
Oil
&
Gas
-
1
.98
%
BP
Capital
Markets
PLC
(5-year
Treasury
Constant
Maturity
Rate
+
4.04%),
4.38%,
06/22/2025
(d),(e)
2,030,000
2,011,289
(5-year
Treasury
Constant
Maturity
Rate
+
4.40%),
4.88%,
03/22/2030
(d),(e)
3,459,000
3,296,016
(5-year
Treasury
Constant
Maturity
Rate
+
1.67%),
6.13%,
03/18/2035
(d),(e)
5,800,000
5,698,867
(5-year
Treasury
Constant
Maturity
Rate
+
2.15%),
6.45%,
12/01/2033
(d),(e)
9,600,000
9,862,177
$
20,868,349
Pipelines
-
5
.40
%
Enbridge,
Inc.
(5-year
Treasury
Constant
Maturity
Rate
+
5.31%),
5.75%,
07/15/2080
(e)
2,733,000
2,642,082
(3-month
Term
Secured
Overnight
Financing
Rate
+
4.15%),
6.00%,
01/15/2077
(e)
6,312,000
6,251,392
(5-year
Treasury
Constant
Maturity
Rate
+
4.42%),
7.63%,
01/15/2083
(e)
8,045,000
8,440,709
(5-year
Treasury
Constant
Maturity
Rate
+
4.43%),
8.50%,
01/15/2084
(e)
12,741,000
14,150,830
Enterprise
Products
Operating
LLC
(3-month
Term
Secured
Overnight
Financing
Rate
+
3.29%),
5.25%,
08/16/2077
(e)
5,628,000
5,499,197
Transcanada
Trust
(6-month
Secured
Overnight
Financing
Rate
+
4.42%),
5.50%,
09/15/2079
(e)
5,233,000
5,028,767
(5-year
Treasury
Constant
Maturity
Rate
+
3.99%),
5.60%,
03/07/2082
(e)
15,785,000
14,967,694
$
56,980,671
Schedule
of
Investments
Principal
Spectrum
Preferred
Securities
Active
ETF
December
31,
2024
(unaudited)
BONDS
(continued)
Principal
Amount
Value
REITs
-
0
.24
%
Scentre
Group
Trust
2
(5-year
Treasury
Constant
Maturity
Rate
+
4.38%),
4.75%,
09/24/2080
(e),(g)
$
256,000
$
252,508
(5-year
Treasury
Constant
Maturity
Rate
+
4.69%),
5.13%,
09/24/2080
(e),(g)
2,349,000
2,292,530
$
2,545,038
Sovereign
-
0
.07
%
CoBank
ACB
(5-year
Treasury
Constant
Maturity
Rate
+
3.05%),
4.25%,
01/01/2027
(d),(e)
750,000
713,943
TOTAL
BONDS
a
$
1,024,154,731
Total
Investments
100.50%
$
1,061,083,025
Other
Assets
and
Liabilities
-
(0.50%)
(
5,261,201
)
TOTAL
NET
ASSETS
-
100.00%
$
1,055,821,824
(a)
1-day
yield
shown
as
of
period
end.
(b)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.00%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
Affiliated
Securities
sub-schedule
for
transactional
information.
(c)
Security
or
a
portion
of
the
security
was
received
as
collateral
for
securities
lending.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$15,853,593
or
1.50%
of
net
assets.
(d)
Perpetual
security.
Perpetual
securities
pay
an
indefinite
stream
of
interest,
but
they
may
be
called
by
the
issuer
at
an
earlier
date.
Date
shown,
if
any,
reflects
the
next
call
date
or
final
legal
maturity
date.
Rate
shown
is
as
of
period
end.
(e)
Rate
shown
is
as
of
period
end.
The
rate
may
be
a
variable
or
floating
rate
or
a
fixed
rate
which
may
convert
to
a
variable
or
floating
rate
in
the
future.
(f)
Security
or
a
portion
of
the
security
was
on
loan.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$15,549,071
or
1.47%
of
net
assets.
(g)
Security
exempt
from
registration
under
Rule
144A
of
the
Securities
Act
of
1933.
These
securities
may
be
resold
in
transactions
exempt
from
registration,
normally
to
qualified
institutional
buyers.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$54,041,857
or
5.12%
of
net
assets.
Affiliated
Securities
June
30,
2024
Value
Purchases
Cost
Sales
Proceeds
December
31,
2024
Value
Principal
Government
Money
Market
Fund,
Class
R-6
4.37%
$
5,226,055
$
108,842,470
$
98,214,932
$
15,853,593
$
5,226,055
$
108,842,470
$
98,214,932
$
15,853,593
a
a
Income
(a)
Realized
Gain/(Loss)
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/(Loss)
Principal
Government
Money
Market
Fund,
Class
R-6
4.37%
$
—
$
—
$
—
$
—
$
—
$
—
$
—
$
—
(a)
Amount
excludes
earnings
from
securities
lending
collateral.
Schedule
of
Investments
Principal
Spectrum
Tax-Advantaged
Dividend
Active
ETF
December
31,
2024
(unaudited)
INVESTMENT
COMPANIES
-
1
.37
%
Shares
Held
Value
Money
Market
Funds
-
1
.37
%
-
—
State
Street
Institutional
U.S.
Government
Money
Market
Fund,
Premier
Class
4.42%
(a)
490,787
$
490,787
TOTAL
INVESTMENT
COMPANIES
a
$
490,787
PREFERRED
STOCKS
-
7
.20
%
Shares
Held
Value
Banks
-
3
.99
%
—
Bank
of
America
Corp.,
Series
NN
4.38%,
11/03/2025
(b)
4,380
$
85,059
Morgan
Stanley,
Series
I
6.38%,
04/15/2025
(b)
17,030
427,453
Morgan
Stanley,
Series
P
6.50%,
10/15/2027
(b)
4,000
102,880
Morgan
Stanley,
Series
Q
6.63%,
10/15/2029
(b)
12,000
318,120
Regions
Financial
Corp.
(5-year
Treasury
Constant
Maturity
Rate
+
2.77%),
6.95%,
09/15/2029
(b)
19,000
498,560
$
1,432,072
Insurance
-
1
.69
%
Allstate
Corp.,
Series
H
5.10%,
04/15/2025
(b)
11,500
251,620
MetLife,
Inc.,
Series
F
4.75%,
03/15/2025
(b)
17,250
356,385
$
608,005
Telecommunications
-
1
.52
%
AT&T,
Inc.,
Series
A
5.00%,
01/30/2025
(b)
11,381
239,456
AT&T,
Inc.,
Series
C
4.75%,
02/18/2025
(b)
15,395
305,591
$
545,047
TOTAL
PREFERRED
STOCKS
a
$
2,585,124
BONDS
-
90
.59
%
Principal
Amount
Value
Banks
-
71
.21
%
—
—
Banco
Santander
SA
(5-year
Treasury
Constant
Maturity
Rate
+
3.91%),
8.00%,
02/01/2034
(b),(c),(d)
$
400,000
$
414,081
Bank
of
America
Corp.
(3-month
Term
Secured
Overnight
Financing
Rate
+
4.81%),
6.30%,
03/10/2026
(b),(c)
575,000
578,205
Bank
of
Montreal
(5-year
Treasury
Constant
Maturity
Rate
+
3.01%),
7.30%,
11/26/2084
(c)
1,600,000
1,634,856
Bank
of
New
York
Mellon
Corp.
(5-year
Treasury
Constant
Maturity
Rate
+
3.35%),
3.70%,
03/20/2026
(b),(c)
230,000
223,003
(5-year
Treasury
Constant
Maturity
Rate
+
2.63%),
3.75%,
12/20/2026
(b),(c)
100,000
94,508
(5-year
Treasury
Constant
Maturity
Rate
+
4.36%),
4.70%,
09/20/2025
(b),(c)
596,000
590,343
Bank
of
Nova
Scotia
(5-year
Treasury
Constant
Maturity
Rate
+
4.55%),
4.90%,
06/04/2025
(b),(c)
1,365,000
1,350,797
(5-year
Treasury
Constant
Maturity
Rate
+
4.38%),
8.63%,
10/27/2082
(c)
300,000
318,417
Barclays
PLC
(5
yr.
USD
Secured
Overnight
Financing
Rate
ICE
Swap
Rate
+
5.78%),
9.63%,
12/15/2029
(b),(c),(d)
219,000
240,981
BONDS
(continued)
Principal
Amount
Value
Banks
(continued)
BNP
Paribas
SA
(5-year
Treasury
Constant
Maturity
Rate
+
4.90%),
7.75%,
08/16/2029
(b),(c),(d),(e)
$
200,000
$
204,455
Citigroup,
Inc.
(5-year
Treasury
Constant
Maturity
Rate
+
3.42%),
3.88%,
02/18/2026
(b),(c)
1,055,000
1,024,321
(10-year
Treasury
Constant
Maturity
Rate
+
2.76%),
7.00%,
08/15/2034
(b),(c)
500,000
527,287
Citizens
Financial
Group,
Inc.
(5-year
Treasury
Constant
Maturity
Rate
+
5.31%),
5.65%,
10/06/2025
(b),(c)
632,000
627,577
Credit
Agricole
SA
(5-year
Swap
rate
+
6.19%),
8.13%,
12/23/2025
(b),(c),(d),(e)
250,000
255,038
Fifth
Third
Bancorp
(5-year
Treasury
Constant
Maturity
Rate
+
4.22%),
4.50%,
09/30/2025
(b),(c)
560,000
552,290
Goldman
Sachs
Group,
Inc.
(5-year
Treasury
Constant
Maturity
Rate
+
2.92%),
3.65%,
08/10/2026
(b),(c)
585,000
558,910
(10-year
Treasury
Constant
Maturity
Rate
+
2.40%),
6.13%,
11/10/2034
(b),(c)
400,000
394,846
Huntington
Bancshares,
Inc.
(7-year
Treasury
Constant
Maturity
Rate
+
4.05%),
4.45%,
10/15/2027
(b),(c)
187,000
178,661
(10-year
Treasury
Constant
Maturity
Rate
+
4.95%),
5.63%,
07/15/2030
(b),(c)
1,068,000
1,042,311
ING
Groep
NV
(5-year
Treasury
Constant
Maturity
Rate
+
4.34%),
5.75%,
11/16/2026
(b),(c),(d)
1,110,000
1,095,360
JPMorgan
Chase
&
Co.
(5-year
Treasury
Constant
Maturity
Rate
+
2.85%),
3.65%,
06/01/2026
(b),(c)
110,000
106,709
(5-year
Treasury
Constant
Maturity
Rate
+
2.74%),
6.88%,
06/01/2029
(b),(c)
1,400,000
1,461,934
Lloyds
Banking
Group
PLC
(5-year
Swap
Rate
+
4.50%),
7.50%,
09/27/2025
(b),(c),(d)
991,000
998,796
M&T
Bank
Corp.
(5-year
Treasury
Constant
Maturity
Rate
+
2.68%),
3.50%,
09/01/2026
(b),(c)
550,000
521,997
(3-month
Term
Secured
Overnight
Financing
Rate
+
3.78%),
5.13%,
11/01/2026
(b),(c)
247,000
243,249
NatWest
Group
PLC
(5-year
Swap
rate
+
5.72%),
8.00%,
08/10/2025
(b),(c),(d)
861,000
868,720
Nordea
Bank
Abp
(5-year
Treasury
Constant
Maturity
Rate
+
4.11%),
6.63%,
03/26/2026
(b),(c),(d),(e)
861,000
863,602
PNC
Financial
Services
Group,
Inc.
(5-year
Treasury
Constant
Maturity
Rate
+
3.00%),
6.00%,
05/15/2027
(b),(c)
1,077,000
1,074,931
Schedule
of
Investments
Principal
Spectrum
Tax-Advantaged
Dividend
Active
ETF
December
31,
2024
(unaudited)
BONDS
(continued)
Principal
Amount
Value
Banks
(continued)
PNC
Financial
Services
Group,
Inc.
(continued)
(5-year
Treasury
Constant
Maturity
Rate
+
3.24%),
6.20%,
09/15/2027
(b),(c)
$
100,000
$
100,431
Royal
Bank
of
Canada
(5-year
Treasury
Constant
Maturity
Rate
+
2.26%),
6.35%,
11/24/2084
(c)
200,000
191,221
(5-year
Treasury
Constant
Maturity
Rate
+
2.89%),
7.50%,
05/02/2084
(c)
400,000
414,746
State
Street
Corp.
(5-year
Treasury
Constant
Maturity
Rate
+
2.61%),
6.70%,
03/15/2029
(b),(c)
1,400,000
1,427,658
Toronto-Dominion
Bank
(5-year
Treasury
Constant
Maturity
Rate
+
4.07%),
8.13%,
10/31/2082
(c)
1,001,000
1,043,363
Truist
Financial
Corp.
(5-year
Treasury
Constant
Maturity
Rate
+
4.61%),
4.95%,
09/01/2025
(b),(c)
660,000
654,150
U.S.
Bancorp
(5-year
Treasury
Constant
Maturity
Rate
+
2.54%),
3.70%,
01/15/2027
(b),(c)
890,000
841,715
UBS
Group
AG
(5-year
Treasury
Constant
Maturity
Rate
+
3.31%),
4.38%,
02/10/2031
(b),(c),(d),(e)
300,000
257,286
(5-year
Treasury
Constant
Maturity
Rate
+
4.75%),
9.25%,
11/13/2028
(b),(c),(e)
800,000
864,857
Wells
Fargo
&
Co.
(5-year
Treasury
Constant
Maturity
Rate
+
3.45%),
3.90%,
03/15/2026
(b),(c)
1,128,000
1,095,988
(5-year
Treasury
Constant
Maturity
Rate
+
2.77%),
6.85%,
09/15/2029
(b),(c)
200,000
206,430
(5-year
Treasury
Constant
Maturity
Rate
+
3.61%),
7.63%,
09/15/2028
(b),(c)
400,000
424,449
$
25,568,479
Diversified
Financial
Services
-
13
.33
%
American
Express
Co.
(5-year
Treasury
Constant
Maturity
Rate
+
2.85%),
3.55%,
09/15/2026
(b),(c)
1,663,000
1,598,441
Capital
One
Financial
Corp.
(5-year
Treasury
Constant
Maturity
Rate
+
3.16%),
3.95%,
09/01/2026
(b),(c)
674,000
641,063
Charles
Schwab
Corp.
(5-year
Treasury
Constant
Maturity
Rate
+
3.17%),
4.00%,
06/01/2026
(b),(c)
1,028,000
994,276
(5-year
Treasury
Constant
Maturity
Rate
+
4.97%),
5.38%,
06/01/2025
(b),(c)
375,000
373,003
Discover
Financial
Services
(5-year
Treasury
Constant
Maturity
Rate
+
5.78%),
6.13%,
06/23/2025
(b),(c)
575,000
571,839
BONDS
(continued)
Principal
Amount
Value
Diversified
Financial
Services
(continued)
Voya
Financial,
Inc.
(5-year
Treasury
Constant
Maturity
Rate
+
3.36%),
7.76%,
09/15/2028
(b),(c)
$
578,000
$
608,497
$
4,787,119
Electric
-
2
.97
%
Dominion
Energy,
Inc.
(5-year
Treasury
Constant
Maturity
Rate
+
3.20%),
4.35%,
01/15/2027
(b),(c)
1,100,000
1,065,106
Insurance
-
0
.61
%
MetLife,
Inc.
(5-year
Treasury
Constant
Maturity
Rate
+
3.58%),
3.85%,
09/15/2025
(b),(c)
225,000
220,898
Oil
&
Gas
-
1
.14
%
BP
Capital
Markets
PLC
(5-year
Treasury
Constant
Maturity
Rate
+
2.15%),
6.45%,
12/01/2033
(b),(c)
400,000
410,924
Pipelines
-
1
.33
%
Enbridge,
Inc.
(3-month
Term
Secured
Overnight
Financing
Rate
+
4.15%),
6.00%,
01/15/2077
(c)
483,000
478,362
TOTAL
BONDS
a
$
32,530,888
Total
Investments
99.16%
$
35,606,799
Other
Assets
and
Liabilities
-
0.84%
301,256
TOTAL
NET
ASSETS
-
100.00%
$
35,908,055
(a)
1-day
yield
shown
as
of
period
end.
(b)
Perpetual
security.
Perpetual
securities
pay
an
indefinite
stream
of
interest,
but
they
may
be
called
by
the
issuer
at
an
earlier
date.
Date
shown,
if
any,
reflects
the
next
call
date
or
final
legal
maturity
date.
Rate
shown
is
as
of
period
end.
(c)
Rate
shown
is
as
of
period
end.
The
rate
may
be
a
variable
or
floating
rate
or
a
fixed
rate
which
may
convert
to
a
variable
or
floating
rate
in
the
future.
(d)
Security
is
a
contingent
convertible
security,
("CoCo").
CoCo's
are
hybrid
debt
securities
that
may
convert
to
equity
or
have
their
principal
written
down
upon
occurrence
of
certain
"triggers".
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$5,198,319
or
14.48%
of
net
assets.
(e)
Security
exempt
from
registration
under
Rule
144A
of
the
Securities
Act
of
1933.
These
securities
may
be
resold
in
transactions
exempt
from
registration,
normally
to
qualified
institutional
buyers.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$2,445,238
or
6.81%
of
net
assets.
Schedule
of
Investments
Principal
U.S.
Mega-Cap
ETF
December
31,
2024
(unaudited)
COMMON
STOCKS
-
99
.82
%
Shares
Held
Value
Auto
Manufacturers
-
4
.20
%
-
—
Tesla,
Inc.
(a)
266,826
$
107,755,012
Banks
-
7
.51
%
Bank
of
America
Corp.
1,662,052
73,047,186
JPMorgan
Chase
&
Co.
498,306
119,448,931
$
192,496,117
Computers
-
7
.13
%
Apple,
Inc.
729,808
182,758,519
Cosmetics
&
Personal
Care
-
4
.43
%
Procter
&
Gamble
Co.
676,989
113,497,206
Diversified
Financial
Services
-
9
.61
%
Mastercard,
Inc.,
Class
A
231,416
121,856,723
Visa,
Inc.,
Class
A
394,372
124,637,327
$
246,494,050
Healthcare
-
Services
-
3
.56
%
UnitedHealth
Group,
Inc.
180,391
91,252,591
Insurance
-
4
.80
%
Berkshire
Hathaway,
Inc.,
Class
B
(a)
271,585
123,104,049
Internet
-
18
.34
%
Alphabet,
Inc.,
Class
A
585,983
110,926,582
Amazon.com,
Inc.
(a)
448,086
98,305,587
Meta
Platforms,
Inc.,
Class
A
207,069
121,240,970
Netflix,
Inc.
(a)
156,874
139,824,934
$
470,298,073
Oil
&
Gas
-
4
.14
%
Exxon
Mobil
Corp.
987,648
106,241,295
Pharmaceuticals
-
9
.70
%
AbbVie,
Inc.
400,422
71,154,989
Eli
Lilly
&
Co.
74,366
57,410,552
Johnson
&
Johnson
459,280
66,421,074
Merck
&
Co.,
Inc.
539,556
53,675,031
$
248,661,646
Retail
-
9
.13
%
Costco
Wholesale
Corp.
76,148
69,772,128
Home
Depot,
Inc.
200,472
77,981,603
Walmart,
Inc.
957,097
86,473,714
$
234,227,445
Semiconductors
-
11
.08
%
Advanced
Micro
Devices,
Inc.
(a)
395,887
47,819,191
Broadcom,
Inc.
525,206
121,763,759
NVIDIA
Corp.
851,822
114,391,176
$
283,974,126
Software
-
6
.19
%
Microsoft
Corp.
376,293
158,607,500
TOTAL
COMMON
STOCKS
a
$
2,559,367,629
INVESTMENT
COMPANIES
-
0
.16
%
Shares
Held
Value
Money
Market
Funds
-
0
.16
%
-
—
State
Street
Institutional
U.S.
Government
Money
Market
Fund,
Premier
Class
4.42%
(b)
4,151,802
$
4,151,802
TOTAL
INVESTMENT
COMPANIES
a
$
4,151,802
Total
Investments
99.98%
$
2,563,519,431
Other
Assets
and
Liabilities
-
0.02%
440,778
TOTAL
NET
ASSETS
-
100.00%
$
2,563,960,209
(a)
Non-income
producing
security.
(b)
1-day
yield
shown
as
of
period
end.
Schedule
of
Investments
Principal
U.S.
Small-Cap
ETF
December
31,
2024
(unaudited)
COMMON
STOCKS
-
99
.73
%
Shares
Held
Value
Advertising
-
0
.05
%
-
—
Advantage
Solutions,
Inc.
(a)
53,820
$
157,154
Stagwell,
Inc.
(a)
29,572
194,584
$
351,738
Aerospace
&
Defense
-
0
.53
%
Leonardo
DRS,
Inc.
(a)
46,356
1,497,763
Moog,
Inc.,
Class
A
11,967
2,355,584
$
3,853,347
Agriculture
-
0
.41
%
Dole
PLC
31,060
420,552
Turning
Point
Brands,
Inc.
5,881
353,448
Vital
Farms,
Inc.
(a)
59,536
2,243,912
$
3,017,912
Airlines
-
0
.43
%
SkyWest,
Inc.
(a)
31,063
3,110,338
Apparel
-
0
.38
%
Kontoor
Brands,
Inc.
18,403
1,571,800
Steven
Madden
Ltd.
28,871
1,227,595
$
2,799,395
Auto
Manufacturers
-
0
.48
%
Blue
Bird
Corp.
(a)
46,878
1,810,897
REV
Group,
Inc.
53,864
1,716,646
$
3,527,543
Auto
Parts
&
Equipment
-
0
.64
%
Dorman
Products,
Inc.
(a)
5,665
733,901
Fox
Factory
Holding
Corp.
(a)
23,003
696,301
Miller
Industries,
Inc.
8,272
540,658
Phinia,
Inc.
24,645
1,187,149
Standard
Motor
Products,
Inc.
8,611
266,769
Visteon
Corp.
(a)
11,850
1,051,332
XPEL,
Inc.
(a),(b)
4,042
161,437
$
4,637,547
Banks
-
7
.33
%
1st
Source
Corp.
11,101
648,076
Amalgamated
Financial
Corp.
18,022
603,196
Ameris
Bancorp
42,219
2,641,643
BancFirst
Corp.
8,776
1,028,372
Bancorp,
Inc.
(a)
70,863
3,729,520
Bank
of
NT
Butterfield
&
Son
Ltd.
28,904
1,056,441
Byline
Bancorp,
Inc.
20,313
589,077
Central
Pacific
Financial
Corp.
20,824
604,937
City
Holding
Co.
6,682
791,683
Coastal
Financial
Corp.
(a)
6,655
565,076
CrossFirst
Bankshares,
Inc.
(a)
29,019
439,638
Enterprise
Financial
Services
Corp.
15,224
858,634
FB
Financial
Corp.
16,461
847,906
First
BanCorp
135,970
2,527,682
First
Bancshares,
Inc.
27,264
954,240
First
Commonwealth
Financial
Corp.
65,347
1,105,671
First
Financial
Bancorp
48,851
1,313,115
First
Merchants
Corp.
29,809
1,189,081
Fulton
Financial
Corp.
169,097
3,260,190
German
American
Bancorp,
Inc.
15,095
607,121
Hanmi
Financial
Corp.
25,456
601,271
Heartland
Financial
USA,
Inc.
30,101
1,845,342
Heritage
Financial
Corp.
24,123
591,014
Hope
Bancorp,
Inc.
89,377
1,098,443
Independent
Bank
Corp.
14,656
510,468
International
Bancshares
Corp.
30,069
1,899,158
Live
Oak
Bancshares,
Inc.
23,304
921,673
Mercantile
Bank
Corp.
8,477
377,142
National
Bank
Holdings
Corp.,
Class
A
33,423
1,439,194
OFG
Bancorp
29,193
1,235,448
Old
National
Bancorp
241,665
5,245,339
Old
Second
Bancorp,
Inc.
32,930
585,495
Orrstown
Financial
Services,
Inc.
13,532
495,407
Peoples
Bancorp,
Inc.
16,519
523,487
Preferred
Bank
10,385
897,056
Premier
Financial
Corp.
24,908
636,898
QCR
Holdings,
Inc.
8,040
648,346
S&T
Bancorp,
Inc.
16,155
617,444
COMMON
STOCKS
(continued)
Shares
Held
Value
Banks
(continued)
Simmons
First
National
Corp.,
Class
A
64,545
$
1,431,608
UMB
Financial
Corp.
49,972
5,639,840
Westamerica
BanCorp
15,521
814,232
$
53,415,604
Beverages
-
0
.47
%
Primo
Brands
Corp.,
Class
A
64,487
1,984,265
Vita
Coco
Co.,
Inc.
(a)
39,942
1,474,259
$
3,458,524
Biotechnology
-
2
.57
%
ACADIA
Pharmaceuticals,
Inc.
(a)
133,388
2,447,670
ADMA
Biologics,
Inc.
(a)
106,370
1,824,246
ANI
Pharmaceuticals,
Inc.
(a)
12,771
705,981
Ardelyx,
Inc.
(a)
128,057
649,249
Chinook
Therapeutics,
Inc.
(a),(c)
9,658
3,863
Evolus,
Inc.
(a)
28,422
313,779
Halozyme
Therapeutics,
Inc.
(a)
80,446
3,846,123
Innoviva,
Inc.
(a)
30,467
528,602
Kiniksa
Pharmaceuticals
International
PLC
(a)
23,576
466,333
Ligand
Pharmaceuticals,
Inc.
(a)
8,056
863,200
Summit
Therapeutics,
Inc.
(a),(d)
56,382
1,006,137
TG
Therapeutics,
Inc.
(a)
123,467
3,716,357
Veracyte,
Inc.
(a)
28,326
1,121,710
Vericel
Corp.
(a)
22,095
1,213,236
$
18,706,486
Building
Materials
-
3
.18
%
American
Woodmark
Corp.
(a)
10,426
829,180
Apogee
Enterprises,
Inc.
11,142
795,650
Boise
Cascade
Co.
21,481
2,553,232
Gibraltar
Industries,
Inc.
(a)
14,924
879,024
Griffon
Corp.
35,284
2,514,691
Knife
River
Corp.
(a)
22,900
2,327,556
Masterbrand,
Inc.
(a)
69,386
1,013,729
Modine
Manufacturing
Co.
(a)
17,681
2,049,758
SPX
Technologies,
Inc.
(a)
19,498
2,837,349
Summit
Materials,
Inc.,
Class
A
(a)
61,964
3,135,378
Tecnoglass,
Inc.
24,727
1,961,346
UFP
Industries,
Inc.
20,192
2,274,629
$
23,171,522
Chemicals
-
1
.28
%
Balchem
Corp.
6,308
1,028,173
Cabot
Corp.
21,914
2,000,967
Hawkins,
Inc.
6,550
803,489
HB
Fuller
Co.
18,957
1,279,218
Innospec,
Inc.
7,863
865,402
Koppers
Holdings,
Inc.
10,456
338,774
Minerals
Technologies,
Inc.
12,002
914,673
Perimeter
Solutions,
Inc.
(a)
35,371
452,041
Quaker
Chemical
Corp.
6,915
973,355
Sensient
Technologies
Corp.
9,261
659,939
$
9,316,031
Coal
-
0
.75
%
CONSOL
Energy,
Inc.
17,899
1,909,465
Ramaco
Resources,
Inc.,
Class
A
35,665
365,923
Warrior
Met
Coal,
Inc.
58,285
3,161,379
$
5,436,767
Commercial
Services
-
4
.83
%
ABM
Industries,
Inc.
37,075
1,897,498
Adtalem
Global
Education,
Inc.
(a)
18,568
1,686,903
Alarm.com
Holdings,
Inc.
(a)
24,289
1,476,771
American
Public
Education,
Inc.
(a)
11,298
243,698
AMN
Healthcare
Services,
Inc.
(a)
52,113
1,246,543
Barrett
Business
Services,
Inc.
16,895
733,919
BrightView
Holdings,
Inc.
(a)
47,153
753,976
Brink's
Co.
23,714
2,199,948
Carriage
Services,
Inc.
6,621
263,847
CBIZ,
Inc.
(a)
27,428
2,244,433
CompoSecure,
Inc.,
Class
A
9,268
142,078
CRA
International,
Inc.
4,328
810,202
Cross
Country
Healthcare,
Inc.
(a)
29,201
530,290
Graham
Holdings
Co.,
Class
B
731
637,374
Schedule
of
Investments
Principal
U.S.
Small-Cap
ETF
December
31,
2024
(unaudited)
COMMON
STOCKS
(continued)
Shares
Held
Value
Commercial
Services
(continued)
Hackett
Group,
Inc.
5,960
$
183,091
Heidrick
&
Struggles
International,
Inc.
14,317
634,386
ICF
International,
Inc.
7,727
921,136
John
Wiley
&
Sons,
Inc.,
Class
A
16,614
726,198
Korn
Ferry
27,262
1,838,822
LiveRamp
Holdings,
Inc.
(a)
50,882
1,545,286
National
Research
Corp.
10,648
187,831
Payoneer
Global,
Inc.
(a)
295,757
2,969,400
Paysafe
Ltd.
(a)
35,954
614,813
Perdoceo
Education
Corp.
19,192
508,012
Progyny,
Inc.
(a)
96,643
1,667,092
Repay
Holdings
Corp.
(a)
147,879
1,128,317
Sezzle,
Inc.
(a)
3,401
869,976
Strategic
Education,
Inc.
6,581
614,797
Stride,
Inc.
(a)
21,982
2,284,589
Transcat,
Inc.
(a)
4,245
448,866
Universal
Technical
Institute,
Inc.
(a)
23,246
597,655
Verra
Mobility
Corp.
(a)
85,283
2,062,143
Willdan
Group,
Inc.
(a)
7,533
286,932
ZipRecruiter,
Inc.,
Class
A
(a)
31,490
227,988
$
35,184,810
Computers
-
2
.30
%
ASGN,
Inc.
(a)
18,976
1,581,460
ExlService
Holdings,
Inc.
(a)
66,395
2,946,610
Grid
Dynamics
Holdings,
Inc.
(a)
16,099
358,042
Insight
Enterprises,
Inc.
(a)
10,265
1,561,306
Maximus,
Inc.
25,798
1,925,821
OneSpan,
Inc.
17,179
318,499
PlayAGS,
Inc.
(a)
19,341
223,002
Qualys,
Inc.
(a)
23,674
3,319,568
Rapid7,
Inc.
(a)
48,998
1,971,189
Varonis
Systems,
Inc.
(a)
57,790
2,567,610
$
16,773,107
Cosmetics
&
Personal
Care
-
0
.28
%
Edgewell
Personal
Care
Co.
21,372
718,099
Prestige
Consumer
Healthcare,
Inc.
(a)
16,917
1,321,049
$
2,039,148
Distribution
&
Wholesale
-
0
.38
%
G-III
Apparel
Group
Ltd.
(a)
25,735
839,476
Resideo
Technologies,
Inc.
(a)
61,946
1,427,855
ScanSource,
Inc.
(a)
10,012
475,069
$
2,742,400
Diversified
Financial
Services
-
4
.54
%
BGC
Group,
Inc.,
Class
A
332,765
3,014,851
Enact
Holdings,
Inc.
25,154
814,486
Enova
International,
Inc.
(a)
24,223
2,322,501
Federal
Agricultural
Mortgage
Corp.,
Class
C
7,106
1,399,527
Hamilton
Lane,
Inc.,
Class
A
33,233
4,920,146
International
Money
Express,
Inc.
(a)
35,312
735,549
Mr.
Cooper
Group,
Inc.
(a)
52,786
5,067,984
Pagseguro
Digital
Ltd.,
Class
A
(a)
437,753
2,740,334
PJT
Partners,
Inc.,
Class
A
24,312
3,836,677
StoneX
Group,
Inc.
(a)
18,879
1,849,575
Victory
Capital
Holdings,
Inc.,
Class
A
49,313
3,228,029
Virtus
Investment
Partners,
Inc.
6,169
1,360,758
WisdomTree,
Inc.
167,676
1,760,598
$
33,051,015
Electric
-
1
.59
%
ALLETE,
Inc.
52,123
3,377,570
Avista
Corp.
55,739
2,041,719
Black
Hills
Corp.
47,042
2,752,898
MGE
Energy,
Inc.
15,371
1,444,259
Otter
Tail
Corp.
22,640
1,671,738
Unitil
Corp.
5,798
314,194
$
11,602,378
Electrical
Components
&
Equipment
-
1
.13
%
Belden,
Inc.
14,684
1,653,565
Energizer
Holdings,
Inc.
29,862
1,041,885
EnerSys
23,153
2,140,032
Graham
Corp.
(a)
9,032
401,653
COMMON
STOCKS
(continued)
Shares
Held
Value
Electrical
Components
&
Equipment
(continued)
Novanta,
Inc.
(a)
7,214
$
1,102,083
Powell
Industries,
Inc.
8,432
1,868,953
$
8,208,171
Electronics
-
2
.73
%
Atkore,
Inc.
50,929
4,250,025
Badger
Meter,
Inc.
7,976
1,691,869
Bel
Fuse,
Inc.,
Class
B
3,650
301,015
Benchmark
Electronics,
Inc.
15,892
721,497
CTS
Corp.
8,276
436,393
Itron,
Inc.
(a)
32,965
3,579,340
Mesa
Laboratories,
Inc.
2,287
301,587
Napco
Security
Technologies,
Inc.
18,192
646,908
NEXTracker,
Inc.,
Class
A
(a)
124,215
4,537,574
OSI
Systems,
Inc.
(a)
5,229
875,491
Plexus
Corp.
(a)
6,114
956,719
Sanmina
Corp.
(a)
20,874
1,579,536
$
19,877,954
Energy
-
Alternate
Sources
-
0
.04
%
REX
American
Resources
Corp.
(a)
6,658
277,572
Engineering
&
Construction
-
2
.68
%
Construction
Partners,
Inc.,
Class
A
(a)
25,489
2,254,757
Dycom
Industries,
Inc.
(a)
20,388
3,548,735
Exponent,
Inc.
14,132
1,259,161
Frontdoor,
Inc.
(a)
29,732
1,625,449
IES
Holdings,
Inc.
(a)
7,652
1,537,746
Limbach
Holdings,
Inc.
(a)
12,047
1,030,500
Primoris
Services
Corp.
51,491
3,933,912
Sterling
Infrastructure,
Inc.
(a)
25,557
4,305,077
$
19,495,337
Entertainment
-
1
.00
%
Cinemark
Holdings,
Inc.
(a)
142,083
4,401,731
IMAX
Corp.
(a)
30,463
779,853
Madison
Square
Garden
Entertainment
Corp.
(a)
17,707
630,369
Monarch
Casino
&
Resort,
Inc.
5,244
413,752
Rush
Street
Interactive,
Inc.
(a)
79,520
1,091,014
$
7,316,719
Environmental
Control
-
0
.09
%
CECO
Environmental
Corp.
(a)
22,009
665,332
Food
-
1
.83
%
Cal-Maine
Foods,
Inc.
23,053
2,372,615
Chefs'
Warehouse,
Inc.
(a)
15,655
772,105
Lancaster
Colony
Corp.
6,857
1,187,221
Mama's
Creations,
Inc.
(a)
19,846
157,974
Simply
Good
Foods
Co.
(a)
53,733
2,094,512
Sprouts
Farmers
Market,
Inc.
(a)
53,119
6,749,831
$
13,334,258
Forest
Products
&
Paper
-
0
.17
%
Sylvamo
Corp.
15,361
1,213,826
Gas
-
1
.21
%
ONE
Gas,
Inc.
45,596
3,157,523
Southwest
Gas
Holdings,
Inc.
40,702
2,878,038
Spire,
Inc.
40,819
2,768,753
$
8,804,314
Hand
&
Machine
Tools
-
0
.38
%
Cadre
Holdings,
Inc.
17,978
580,689
Enerpac
Tool
Group
Corp.
22,779
935,989
Franklin
Electric
Co.,
Inc.
12,979
1,264,804
$
2,781,482
Healthcare
-
Products
-
6
.33
%
Artivion,
Inc.
(a)
18,053
516,135
Avanos
Medical,
Inc.
(a)
14,964
238,227
Axogen,
Inc.
(a)
12,220
201,386
BioLife
Solutions,
Inc.
(a)
22,914
594,847
Bioventus,
Inc.,
Class
A
(a)
16,488
173,124
CareDx,
Inc.
(a)
15,822
338,749
Castle
Biosciences,
Inc.
(a)
15,034
400,656
CONMED
Corp.
29,386
2,011,178
Haemonetics
Corp.
(a)
39,876
3,113,518
ICU
Medical,
Inc.
(a)
13,526
2,098,829
Schedule
of
Investments
Principal
U.S.
Small-Cap
ETF
December
31,
2024
(unaudited)
COMMON
STOCKS
(continued)
Shares
Held
Value
Healthcare
-
Products
(continued)
Inari
Medical,
Inc.
(a)
62,982
$
3,215,231
Inmode
Ltd.
(a)
95,233
1,590,391
Integer
Holdings
Corp.
(a)
18,918
2,507,013
Integra
LifeSciences
Holdings
Corp.
(a)
101,526
2,302,610
iRadimed
Corp.
4,727
259,985
Lantheus
Holdings,
Inc.
(a)
22,643
2,025,643
LeMaitre
Vascular,
Inc.
8,793
810,187
LivaNova
PLC
(a)
51,057
2,364,450
Merit
Medical
Systems,
Inc.
(a)
27,714
2,680,498
MiMedx
Group,
Inc.
(a)
51,782
498,143
Neogen
Corp.
(a)
136,354
1,655,338
OmniAb,
Inc.,
Earnout
Shares
(a)
1,130
—
OmniAb,
Inc.,
Earnout
Shares
(a)
1,130
—
Omnicell,
Inc.
(a)
13,791
613,975
OraSure
Technologies,
Inc.
(a)
68,783
248,307
PROCEPT
BioRobotics
Corp.
(a)
23,382
1,882,719
RxSight,
Inc.
(a)
36,860
1,267,247
Semler
Scientific,
Inc.
(a)
16,652
899,208
STAAR
Surgical
Co.
(a)
50,261
1,220,840
Surmodics,
Inc.
(a)
35,004
1,386,158
Tactile
Systems
Technology,
Inc.
(a)
19,078
326,806
Tandem
Diabetes
Care,
Inc.
(a)
67,851
2,443,993
TransMedics
Group,
Inc.
(a),(d)
29,249
1,823,675
Twist
Bioscience
Corp.
(a)
58,287
2,708,597
UFP
Technologies,
Inc.
(a)
3,535
864,343
Varex
Imaging
Corp.
(a)
38,971
568,587
Zimvie,
Inc.
(a)
17,512
244,292
$
46,094,885
Healthcare
-
Services
-
2
.55
%
Addus
HomeCare
Corp.
(a)
9,305
1,166,382
Astrana
Health,
Inc.
(a)
13,953
439,938
Brookdale
Senior
Living,
Inc.
(a)
134,377
675,916
Concentra
Group
Holdings
Parent,
Inc.
37,585
743,431
CorVel
Corp.
(a)
7,014
780,378
Ensign
Group,
Inc.
20,083
2,668,227
GeneDx
Holdings
Corp.
(a)
14,991
1,152,208
HealthEquity,
Inc.
(a)
44,256
4,246,363
National
HealthCare
Corp.
3,823
411,202
Pediatrix
Medical
Group,
Inc.
(a)
45,430
596,042
Pennant
Group,
Inc.
(a)
11,223
297,634
RadNet,
Inc.
(a)
38,625
2,697,570
Select
Medical
Holdings
Corp.
46,541
877,298
Surgery
Partners,
Inc.
(a)
45,315
959,319
U.S.
Physical
Therapy,
Inc.
9,439
837,334
$
18,549,242
Home
Builders
-
2
.28
%
Cavco
Industries,
Inc.
(a)
2,551
1,138,333
Dream
Finders
Homes,
Inc.,
Class
A
(a)
16,792
390,750
Forestar
Group,
Inc.
(a)
17,988
466,249
Green
Brick
Partners,
Inc.
(a)
15,566
879,323
Hovnanian
Enterprises,
Inc.,
Class
A
(a)
2,107
281,959
Installed
Building
Products,
Inc.
13,489
2,363,947
KB
Home
45,621
2,998,212
M/I
Homes,
Inc.
(a)
9,074
1,206,388
Meritage
Homes
Corp.
16,784
2,581,715
Taylor
Morrison
Home
Corp.
(a)
32,125
1,966,371
Tri
Pointe
Homes,
Inc.
(a)
31,507
1,142,444
Winnebago
Industries,
Inc.
25,488
1,217,817
$
16,633,508
Home
Furnishings
-
0
.24
%
Arhaus,
Inc.
69,245
650,903
Daktronics,
Inc.
(a)
20,105
338,970
MillerKnoll,
Inc.
33,008
745,651
$
1,735,524
Household
Products
&
Wares
-
0
.44
%
Central
Garden
&
Pet
Co.
(a)
7,043
273,268
Central
Garden
&
Pet
Co.,
Class
A
(a)
15,774
521,331
Helen
of
Troy
Ltd.
(a)
20,501
1,226,575
WD-40
Co.
4,765
1,156,370
$
3,177,544
COMMON
STOCKS
(continued)
Shares
Held
Value
Insurance
-
3
.85
%
Baldwin
Insurance
Group,
Inc.
(a)
54,196
$
2,100,637
CNO
Financial
Group,
Inc.
88,781
3,303,541
Essent
Group
Ltd.
65,839
3,584,275
F&G
Annuities
&
Life,
Inc.
11,598
480,621
Fidelis
Insurance
Holdings
Ltd.
67,329
1,220,675
HCI
Group,
Inc.
18,939
2,206,962
Horace
Mann
Educators
Corp.
37,035
1,452,883
Jackson
Financial,
Inc.,
Class
A
59,706
5,199,198
NMI
Holdings,
Inc.
(a)
68,353
2,512,656
Palomar
Holdings,
Inc.
(a)
18,472
1,950,459
SiriusPoint
Ltd.
(a)
63,966
1,048,403
Skyward
Specialty
Insurance
Group,
Inc.
(a)
48,961
2,474,489
Universal
Insurance
Holdings,
Inc.
22,990
484,169
$
28,018,968
Internet
-
2
.88
%
AudioEye,
Inc.
(a)
2,859
43,485
Bumble,
Inc.,
Class
A
(a)
153,095
1,246,193
Cargurus,
Inc.
(a)
42,642
1,558,139
Despegar.com
Corp.
(a)
48,471
933,067
ePlus,
Inc.
(a)
8,288
612,318
Grindr,
Inc.
(a)
31,733
566,117
HealthStream,
Inc.
9,879
314,152
Hims
&
Hers
Health,
Inc.
(a)
310,837
7,516,039
Magnite,
Inc.
(a)
112,661
1,793,563
Q2
Holdings,
Inc.
(a)
28,038
2,822,025
Shutterstock,
Inc.
31,749
963,582
Sprinklr,
Inc.,
Class
A
(a)
103,096
871,161
Yelp,
Inc.
(a)
45,232
1,750,478
$
20,990,319
Iron
&
Steel
-
1
.22
%
Carpenter
Technology
Corp.
35,352
5,999,588
Commercial
Metals
Co.
52,618
2,609,853
Universal
Stainless
&
Alloy
Products,
Inc.
(a)
6,822
300,372
$
8,909,813
Leisure
Time
-
0
.21
%
Acushnet
Holdings
Corp.
11,536
819,979
MasterCraft
Boat
Holdings,
Inc.
(a)
10,536
200,922
OneSpaWorld
Holdings
Ltd.
26,775
532,822
$
1,553,723
Machinery
-
Construction
&
Mining
-
0
.79
%
Argan,
Inc.
14,492
1,985,984
Hyster-Yale,
Inc.
9,207
468,912
Terex
Corp.
70,976
3,280,511
$
5,735,407
Machinery
-
Diversified
-
2
.76
%
Alamo
Group,
Inc.
6,338
1,178,297
Applied
Industrial
Technologies,
Inc.
21,227
5,083,230
Cactus,
Inc.,
Class
A
32,063
1,871,197
CSW
Industrials,
Inc.
7,015
2,474,892
DXP
Enterprises,
Inc.
(a)
9,824
811,659
Gorman-Rupp
Co.
9,333
353,907
Kadant,
Inc.
6,132
2,115,479
Mueller
Water
Products,
Inc.,
Class
A
98,044
2,205,990
Tennant
Co.
9,536
777,470
Thermon
Group
Holdings,
Inc.
(a)
15,415
443,489
Watts
Water
Technologies,
Inc.,
Class
A
13,673
2,779,721
$
20,095,331
Media
-
0
.79
%
AMC
Networks,
Inc.,
Class
A
(a)
21,233
210,207
Cable
One,
Inc.
6,165
2,232,470
Gannett
Co.,
Inc.
(a)
78,501
397,215
Liberty
Latin
America
Ltd.,
Class
A
(a)
17,981
114,359
Liberty
Latin
America
Ltd.,
Class
C
(a)
61,686
391,089
TEGNA,
Inc.
129,994
2,377,590
$
5,722,930
Metal
Fabrication
&
Hardware
-
1
.08
%
AZZ,
Inc.
19,242
1,576,305
Janus
International
Group,
Inc.
(a)
198,145
1,456,366
Mayville
Engineering
Co.,
Inc.
(a)
13,675
214,971
Metallus,
Inc.
(a)
21,124
298,482
Schedule
of
Investments
Principal
U.S.
Small-Cap
ETF
December
31,
2024
(unaudited)
COMMON
STOCKS
(continued)
Shares
Held
Value
Metal
Fabrication
&
Hardware
(continued)
Mueller
Industries,
Inc.
44,295
$
3,515,251
Standex
International
Corp.
4,371
817,333
$
7,878,708
Mining
-
0
.48
%
Century
Aluminum
Co.
(a)
66,033
1,203,121
Constellium
SE
(a)
81,092
832,815
Kaiser
Aluminum
Corp.
9,995
702,348
U.S.
Lime
&
Minerals,
Inc.
5,509
731,265
$
3,469,549
Miscellaneous
Manufacturers
-
0
.91
%
Fabrinet
(a)
19,332
4,250,720
Federal
Signal
Corp.
25,469
2,353,081
$
6,603,801
Multi-National
-
0
.09
%
Banco
Latinoamericano
de
Comercio
Exterior
SA
19,108
679,672
Office
Furnishings
-
0
.25
%
HNI
Corp.
17,738
893,463
Interface,
Inc.
32,734
797,073
Virco
Mfg.
Corp.
14,954
153,279
$
1,843,815
Oil
&
Gas
-
1
.92
%
CNX
Resources
Corp.
(a)
122,270
4,483,641
Gulfport
Energy
Corp.
(a)
10,779
1,985,492
Magnolia
Oil
&
Gas
Corp.,
Class
A
100,780
2,356,236
Seadrill
Ltd.
(a)
42,336
1,648,140
SM
Energy
Co.
80,302
3,112,506
VAALCO
Energy,
Inc.
46,717
204,153
Vitesse
Energy,
Inc.
7,422
185,550
$
13,975,718
Oil
&
Gas
Services
-
1
.81
%
Archrock,
Inc.
62,811
1,563,366
Aris
Water
Solutions,
Inc.,
Class
A
32,106
768,939
Atlas
Energy
Solutions,
Inc.
(d)
36,448
808,417
ChampionX
Corp.
85,489
2,324,446
Helix
Energy
Solutions
Group,
Inc.
(a)
73,427
684,340
Kodiak
Gas
Services,
Inc.
21,969
896,994
Liberty
Energy,
Inc.
104,518
2,078,863
NPK
International,
Inc.
(a)
27,738
212,750
Oceaneering
International,
Inc.
(a)
33,995
886,590
Select
Water
Solutions,
Inc.
41,755
552,836
Solaris
Energy
Infrastructure,
Inc.
6,522
187,703
Tidewater,
Inc.
(a)
41,130
2,250,222
$
13,215,466
Packaging
&
Containers
-
0
.13
%
Greif,
Inc.,
Class
A
10,607
648,300
Pactiv
Evergreen,
Inc.
19,182
335,109
$
983,409
Pharmaceuticals
-
2
.85
%
AdaptHealth
Corp.
(a)
50,512
480,874
Alkermes
PLC
(a)
110,306
3,172,401
Amneal
Pharmaceuticals,
Inc.
(a)
83,765
663,419
Amphastar
Pharmaceuticals,
Inc.
(a)
24,897
924,426
Catalyst
Pharmaceuticals,
Inc.
(a)
53,388
1,114,207
Collegium
Pharmaceutical,
Inc.
(a)
27,537
788,935
Corcept
Therapeutics,
Inc.
(a)
63,334
3,191,400
Harmony
Biosciences
Holdings,
Inc.
(a)
22,222
764,659
Harrow,
Inc.
(a)
5,038
169,025
Heron
Therapeutics,
Inc.
(a),(d)
105,658
161,657
Ironwood
Pharmaceuticals,
Inc.
(a)
80,762
357,776
MannKind
Corp.
(a)
163,518
1,051,421
Option
Care
Health,
Inc.
(a)
85,964
1,994,365
Pacira
BioSciences,
Inc.
(a)
33,719
635,266
Protagonist
Therapeutics,
Inc.
(a)
47,069
1,816,863
Rhythm
Pharmaceuticals,
Inc.
(a)
32,196
1,802,332
SIGA
Technologies,
Inc.
20,180
121,282
Supernus
Pharmaceuticals,
Inc.
(a)
29,101
1,052,292
Xeris
Biopharma
Holdings,
Inc.
(a)
100,704
341,386
Y-mAbs
Therapeutics,
Inc.
(a)
19,032
149,021
$
20,753,007
COMMON
STOCKS
(continued)
Shares
Held
Value
Pipelines
-
0
.19
%
Excelerate
Energy,
Inc.,
Class
A
8,427
$
254,917
Kinetik
Holdings,
Inc.
19,801
1,122,915
$
1,377,832
Real
Estate
-
0
.48
%
Cushman
&
Wakefield
PLC
(a)
162,190
2,121,445
Newmark
Group,
Inc.,
Class
A
79,755
1,021,661
Real
Brokerage,
Inc.
(a)
71,646
329,572
$
3,472,678
REITs
-
5
.80
%
Acadia
Realty
Trust
73,866
1,784,603
Alexander's,
Inc.
1,003
200,660
American
Assets
Trust,
Inc.
22,915
601,748
Armada
Hoffler
Properties,
Inc.
38,380
392,627
Broadstone
Net
Lease,
Inc.
103,496
1,641,447
CareTrust
REIT,
Inc.
126,029
3,409,084
CBL
&
Associates
Properties,
Inc.
7,776
228,692
Centerspace
10,410
688,621
CTO
Realty
Growth,
Inc.
13,562
267,307
Curbline
Properties
Corp.
84,407
1,959,930
Empire
State
Realty
Trust,
Inc.,
Class
A
99,967
1,031,659
Essential
Properties
Realty
Trust,
Inc.
113,713
3,556,943
Four
Corners
Property
Trust,
Inc.
38,392
1,041,959
Independence
Realty
Trust,
Inc.
206,008
4,087,199
Innovative
Industrial
Properties,
Inc.
14,020
934,293
LTC
Properties,
Inc.
27,210
940,105
National
Health
Investors,
Inc.
13,540
938,322
NexPoint
Residential
Trust,
Inc.
10,125
422,719
PennyMac
Mortgage
Investment
Trust
114,664
1,443,620
Ryman
Hospitality
Properties,
Inc.
40,363
4,211,475
SITE
Centers
Corp.
42,223
645,590
Sunstone
Hotel
Investors,
Inc.
189,627
2,245,184
Tanger,
Inc.
63,429
2,164,832
Terreno
Realty
Corp.
55,013
3,253,469
UMH
Properties,
Inc.
33,234
627,458
Uniti
Group,
Inc.
160,514
882,827
Universal
Health
Realty
Income
Trust
5,085
189,213
Urban
Edge
Properties
91,601
1,969,421
Whitestone
REIT
33,575
475,758
$
42,236,765
Retail
-
5
.52
%
Abercrombie
&
Fitch
Co.,
Class
A
(a)
30,791
4,602,331
American
Eagle
Outfitters,
Inc.
180,897
3,015,553
Boot
Barn
Holdings,
Inc.
(a)
27,997
4,250,504
Brinker
International,
Inc.
(a)
70,834
9,370,630
Buckle,
Inc.
15,595
792,382
Caleres,
Inc.
20,531
475,498
Cheesecake
Factory,
Inc.
39,575
1,877,438
FirstCash
Holdings,
Inc.
40,054
4,149,594
GMS,
Inc.
(a)
28,651
2,430,464
Group
1
Automotive,
Inc.
4,520
1,905,090
La-Z-Boy,
Inc.
20,806
906,517
Patrick
Industries,
Inc.
9,957
827,228
PC
Connection,
Inc.
3,982
275,833
PriceSmart,
Inc.
7,274
670,445
Sally
Beauty
Holdings,
Inc.
(a)
51,716
540,432
Shoe
Carnival,
Inc.
9,527
315,153
Urban
Outfitters,
Inc.
(a)
69,426
3,810,099
$
40,215,191
Savings
&
Loans
-
1
.19
%
Axos
Financial,
Inc.
(a)
74,665
5,215,350
WaFd,
Inc.
54,544
1,758,499
WSFS
Financial
Corp.
31,610
1,679,439
$
8,653,288
Semiconductors
-
1
.56
%
Axcelis
Technologies,
Inc.
(a)
29,923
2,090,720
Impinj,
Inc.
(a)
19,976
2,901,714
Photronics,
Inc.
(a)
26,813
631,714
Rambus,
Inc.
(a)
82,187
4,344,405
Veeco
Instruments,
Inc.
(a)
51,174
1,371,463
$
11,340,016
Schedule
of
Investments
Principal
U.S.
Small-Cap
ETF
December
31,
2024
(unaudited)
COMMON
STOCKS
(continued)
Shares
Held
Value
Software
-
5
.35
%
8x8,
Inc.
(a)
25,498
$
68,080
ACI
Worldwide,
Inc.
(a)
33,647
1,746,616
Agilysys,
Inc.
(a)
12,168
1,602,647
Alkami
Technology,
Inc.
(a)
26,565
974,404
Altair
Engineering,
Inc.,
Class
A
(a)
30,075
3,281,483
AvePoint,
Inc.
(a)
63,110
1,041,946
Blackbaud,
Inc.
(a)
10,034
741,713
BlackLine,
Inc.
(a)
51,462
3,126,831
Box,
Inc.,
Class
A
(a)
80,367
2,539,597
Clear
Secure,
Inc.,
Class
A
49,351
1,314,711
Clearwater
Analytics
Holdings,
Inc.,
Class
A
(a)
82,545
2,271,638
Commvault
Systems,
Inc.
(a)
18,738
2,827,752
Daily
Journal
Corp.
(a)
598
339,658
Definitive
Healthcare
Corp.
(a)
41,004
168,527
DigitalOcean
Holdings,
Inc.
(a)
63,157
2,151,759
Evolent
Health,
Inc.,
Class
A
(a)
52,574
591,458
GigaCloud
Technology,
Inc.,
Class
A
(a),(d)
71,062
1,316,068
Immersion
Corp.
53,524
467,265
Innodata,
Inc.
(a)
18,077
714,403
N-able,
Inc.
(a)
37,397
349,288
Privia
Health
Group,
Inc.
(a)
42,963
839,927
Progress
Software
Corp.
19,726
1,285,149
PubMatic,
Inc.,
Class
A
(a)
21,448
315,071
Sapiens
International
Corp.
NV
7,787
209,237
SEMrush
Holdings,
Inc.,
Class
A
(a)
28,727
341,277
Simulations
Plus,
Inc.
11,896
331,779
SolarWinds
Corp.
29,177
415,772
SPS
Commerce,
Inc.
(a)
10,067
1,852,227
Vertex,
Inc.,
Class
A
(a)
49,775
2,655,496
Vimeo,
Inc.
(a)
54,085
346,144
Yext,
Inc.
(a)
50,049
318,312
Zeta
Global
Holdings
Corp.,
Class
A
(a)
134,567
2,420,860
$
38,967,095
Telecommunications
-
0
.67
%
A10
Networks,
Inc.
44,360
816,224
IDT
Corp.,
Class
B
4,877
231,755
InterDigital,
Inc.
19,704
3,817,059
$
4,865,038
Transportation
-
1
.43
%
Ardmore
Shipping
Corp.
32,107
390,100
Costamare,
Inc.
63,152
811,503
DHT
Holdings,
Inc.
100,461
933,283
Dorian
LPG
Ltd.
31,053
756,762
International
Seaways,
Inc.
29,044
1,043,841
Matson,
Inc.
19,920
2,686,013
Safe
Bulkers,
Inc.
67,642
241,482
Scorpio
Tankers,
Inc.
42,933
2,133,341
Teekay
Corp.
Ltd.
26,993
187,061
Teekay
Tankers
Ltd.,
Class
A
14,357
571,265
World
Kinect
Corp.
23,301
641,011
$
10,395,662
TOTAL
COMMON
STOCKS
a
$
726,314,481
INVESTMENT
COMPANIES
-
0
.57
%
Shares
Held
Value
Money
Market
Funds
-
0
.57
%
-
—
Principal
Government
Money
Market
Fund,
Class
R-6
4.37%
(e),(f),(g)
2,593,049
$
2,593,049
State
Street
Institutional
U.S.
Government
Money
Market
Fund,
Premier
Class
4.42%
(e)
1,535,827
1,535,827
TOTAL
INVESTMENT
COMPANIES
a
$
4,128,876
Total
Investments
100.30%
$
730,443,357
Other
Assets
and
Liabilities
-
(0.30%)
(
2,198,937
)
TOTAL
NET
ASSETS
-
100.00%
$
728,244,420
(a)
Non-income
producing
security.
(b)
Security
exempt
from
registration
under
Rule
144A
of
the
Securities
Act
of
1933.
These
securities
may
be
resold
in
transactions
exempt
from
registration,
normally
to
qualified
institutional
buyers.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$161,437
or
0.02%
of
net
assets.
(c)
The
value
of
these
investments
was
determined
using
significant
unobservable
inputs,
in
good
faith
by
the
Advisor,
under
procedures
established
and
periodically
reviewed
by
the
Board
of
Trustees.
(d)
Security
or
a
portion
of
the
security
was
on
loan.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$2,591,921
or
0.36%
of
net
assets.
(e)
1-day
yield
shown
as
of
period
end.
(f)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.00%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
Affiliated
Securities
sub-schedule
for
transactional
information.
(g)
Security
or
a
portion
of
the
security
was
received
as
collateral
for
securities
lending.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$2,593,049
or
0.36%
of
net
assets.
Schedule
of
Investments
Principal
U.S.
Small-Cap
ETF
December
31,
2024
(unaudited)
Affiliated
Securities
June
30,
2024
Value
Purchases
Cost
Sales
Proceeds
December
31,
2024
Value
Principal
Government
Money
Market
Fund,
Class
R-6
4.37%
$
1,899,837
$
23,272,697
$
22,579,485
$
2,593,049
$
1,899,837
$
23,272,697
$
22,579,485
$
2,593,049
a
a
Income
(a)
Realized
Gain/(Loss)
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/(Loss)
Principal
Government
Money
Market
Fund,
Class
R-6
4.37%
$
—
$
—
$
—
$
—
$
—
$
—
$
—
$
—
(a)
Amount
excludes
earnings
from
securities
lending
collateral.
Schedule
of
Investments
Principal
Value
ETF
December
31,
2024
(unaudited)
COMMON
STOCKS
-
99
.68
%
Shares
Held
Value
Aerospace
&
Defense
-
1
.82
%
-
—
Lockheed
Martin
Corp.
1,357
$
659,421
RTX
Corp.
7,003
810,387
$
1,469,808
Agriculture
-
1
.51
%
Altria
Group,
Inc.
13,392
700,268
Archer-Daniels-Midland
Co.
10,273
518,992
$
1,219,260
Apparel
-
1
.81
%
NIKE,
Inc.,
Class
B
9,034
683,603
Ralph
Lauren
Corp.
3,373
779,095
$
1,462,698
Banks
-
6
.11
%
Bank
of
New
York
Mellon
Corp.
9,747
748,862
Fifth
Third
Bancorp
15,227
643,798
Morgan
Stanley
7,966
1,001,485
PNC
Financial
Services
Group,
Inc.
3,858
744,015
Regions
Financial
Corp.
27,362
643,554
Wells
Fargo
&
Co.
16,373
1,150,040
$
4,931,754
Beverages
-
0
.74
%
Molson
Coors
Beverage
Co.,
Class
B
10,371
594,466
Building
Materials
-
0
.93
%
Trane
Technologies
PLC
2,030
749,780
Chemicals
-
3
.53
%
CF
Industries
Holdings,
Inc.
7,596
648,091
DuPont
de
Nemours,
Inc.
7,800
594,750
Eastman
Chemical
Co.
5,974
545,545
LyondellBasell
Industries
NV,
Class
A
6,438
478,150
PPG
Industries,
Inc.
4,895
584,708
$
2,851,244
Commercial
Services
-
1
.01
%
Automatic
Data
Processing,
Inc.
2,781
814,082
Computers
-
7
.98
%
Accenture
PLC,
Class
A
2,727
959,332
Apple,
Inc.
14,015
3,509,636
Cognizant
Technology
Solutions
Corp.,
Class
A
8,398
645,806
Hewlett
Packard
Enterprise
Co.
34,360
733,586
HP,
Inc.
18,056
589,167
$
6,437,527
Diversified
Financial
Services
-
5
.86
%
American
Express
Co.
3,276
972,284
Ameriprise
Financial,
Inc.
1,497
797,048
Discover
Financial
Services
4,869
843,457
Franklin
Resources,
Inc.
30,418
617,181
Nasdaq,
Inc.
8,658
669,350
Synchrony
Financial
12,739
828,035
$
4,727,355
Electronics
-
0
.70
%
Allegion
PLC
4,321
564,668
Environmental
Control
-
0
.87
%
Pentair
PLC
7,001
704,581
Food
-
5
.06
%
General
Mills,
Inc.
8,428
537,454
Hershey
Co.
3,061
518,380
Hormel
Foods
Corp.
17,723
555,970
Kroger
Co.
11,918
728,786
McCormick
&
Co.,
Inc.
7,196
548,623
Mondelez
International,
Inc.,
Class
A
9,748
582,248
Sysco
Corp.
7,983
610,380
$
4,081,841
Hand
&
Machine
Tools
-
0
.93
%
Snap-on,
Inc.
2,200
746,856
Healthcare
-
Services
-
0
.71
%
Cigna
Group
2,071
571,886
Household
Products
&
Wares
-
0
.71
%
Kimberly-Clark
Corp.
4,389
575,135
Insurance
-
9
.04
%
American
International
Group,
Inc.
9,094
662,043
Assurant,
Inc.
3,060
652,453
Chubb
Ltd.
2,643
730,261
COMMON
STOCKS
(continued)
Shares
Held
Value
Insurance
(continued)
Cincinnati
Financial
Corp.
4,492
$
645,500
Everest
Group
Ltd.
1,538
557,464
Hartford
Financial
Services
Group,
Inc.
5,506
602,356
Marsh
&
McLennan
Cos.,
Inc.
3,307
702,440
MetLife,
Inc.
8,741
715,713
Prudential
Financial,
Inc.
5,666
671,591
Travelers
Cos.,
Inc.
2,832
682,201
Willis
Towers
Watson
PLC
2,141
670,647
$
7,292,669
Internet
-
0
.79
%
eBay,
Inc.
10,336
640,315
Iron
&
Steel
-
0
.76
%
Steel
Dynamics,
Inc.
5,403
616,320
Machinery
-
Construction
&
Mining
-
1
.14
%
Caterpillar,
Inc.
2,542
922,136
Machinery
-
Diversified
-
3
.30
%
Deere
&
Co.
1,941
822,402
Nordson
Corp.
2,388
499,665
Otis
Worldwide
Corp.
6,949
643,547
Rockwell
Automation,
Inc.
2,432
695,041
$
2,660,655
Media
-
1
.86
%
Comcast
Corp.,
Class
A
21,137
793,272
Fox
Corp.,
Class
A
14,581
708,345
$
1,501,617
Miscellaneous
Manufacturers
-
1
.51
%
A.O.
Smith
Corp.
7,502
511,711
Illinois
Tool
Works,
Inc.
2,771
702,615
$
1,214,326
Oil
&
Gas
-
7
.58
%
Chevron
Corp.
6,980
1,010,983
Diamondback
Energy,
Inc.
3,424
560,954
EQT
Corp.
18,674
861,058
Exxon
Mobil
Corp.
12,628
1,358,394
Marathon
Petroleum
Corp.
3,977
554,792
Occidental
Petroleum
Corp.
11,923
589,115
Phillips
66
5,192
591,525
Valero
Energy
Corp.
4,824
591,374
$
6,118,195
Oil
&
Gas
Services
-
2
.46
%
Baker
Hughes
Co.
18,551
760,962
Halliburton
Co.
21,526
585,292
Schlumberger
NV
16,532
633,837
$
1,980,091
Pharmaceuticals
-
1
.71
%
Bristol-Myers
Squibb
Co.
15,019
849,474
CVS
Health
Corp.
11,876
533,114
$
1,382,588
Pipelines
-
0
.95
%
Targa
Resources
Corp.
4,271
762,374
REITs
-
7
.08
%
Alexandria
Real
Estate
Equities,
Inc.
5,090
496,530
AvalonBay
Communities,
Inc.
2,751
605,137
Camden
Property
Trust
4,777
554,323
Essex
Property
Trust,
Inc.
1,989
567,740
Invitation
Homes,
Inc.
16,588
530,318
Mid-America
Apartment
Communities,
Inc.
3,718
574,691
Prologis,
Inc.
5,994
633,566
SBA
Communications
Corp.
2,534
516,429
Simon
Property
Group,
Inc.
4,036
695,040
VICI
Properties,
Inc.
18,529
541,232
$
5,715,006
Retail
-
6
.08
%
Bath
&
Body
Works,
Inc.
20,101
779,316
Darden
Restaurants,
Inc.
3,782
706,062
Genuine
Parts
Co.
4,414
515,379
Home
Depot,
Inc.
3,251
1,264,606
Lowe's
Cos.,
Inc.
3,324
820,363
TJX
Cos.,
Inc.
6,784
819,575
$
4,905,301
Schedule
of
Investments
Principal
Value
ETF
December
31,
2024
(unaudited)
COMMON
STOCKS
(continued)
Shares
Held
Value
Semiconductors
-
8
.22
%
Broadcom,
Inc.
11,534
$
2,674,042
NVIDIA
Corp.
19,287
2,590,051
QUALCOMM,
Inc.
5,451
837,383
Skyworks
Solutions,
Inc.
5,953
527,912
$
6,629,388
Software
-
5
.28
%
Broadridge
Financial
Solutions,
Inc.
2,957
668,548
Microsoft
Corp.
6,868
2,894,862
Paychex,
Inc.
4,970
696,894
$
4,260,304
Transportation
-
1
.64
%
CSX
Corp.
20,184
651,337
FedEx
Corp.
2,372
667,315
$
1,318,652
TOTAL
COMMON
STOCKS
a
$
80,422,878
INVESTMENT
COMPANIES
-
0
.16
%
Shares
Held
Value
Money
Market
Funds
-
0
.16
%
-
—
State
Street
Institutional
U.S.
Government
Money
Market
Fund,
Premier
Class
4.42%
(a)
130,016
$
130,016
TOTAL
INVESTMENT
COMPANIES
a
$
130,016
Total
Investments
99.84%
$
80,552,894
Other
Assets
and
Liabilities
-
0.16%
132,307
TOTAL
NET
ASSETS
-
100.00%
$
80,685,201
(a)
1-day
yield
shown
as
of
period
end.
Financial
Highlights
Principal
Exchange-Traded
Funds
(unaudited)
Principal
Active
High
Yield
ETF
For
a
share
outstanding:
Period
ended
December
31,
2024
(a)
Year
ended
June
30,
2024
Year
ended
June
30,
2023
Year
ended
June
30,
2022
Year
ended
June
30,
2021
Year
ended
June
30,
2020
Net
asset
value,
beginning
of
period
$
19
.02
$
18
.28
$
17
.71
$
20
.85
(b)
$
18
.07
(b)
$
19
.96
(b)
Investment
Operations:
Net
investment
income
(loss)
(c)
0
.71
1
.30
1
.05
0
.90
0
.77
(b)
0
.94
(b)
Net
realized
and
change
in
unrealized
gain
(loss)
0
.22
0
.73
0
.70
(
2
.90
)
2
.82
(b)
(
1
.86
)
(b)
Total
from
investment
operations
0
.93
2
.03
1
.75
(
2
.00
)
3
.59
(b)
(
0
.92
)
(b)
Dividends
to
Shareholders
from:
Net
investment
income
(
0
.82
)
(
1
.29
)
(
1
.18
)
(
1
.14
)
(
0
.81
)
(b)
(
0
.97
)
(b)
Total
dividends
to
stockholders
(
0
.82
)
(
1
.29
)
(
1
.18
)
(
1
.14
)
(
0
.81
)
(b)
(
0
.97
)
(b)
Net
asset
value,
end
of
period
$
19
.13
$
19
.02
$
18
.28
$
17
.71
$
20
.85
(b)
$
18
.07
(b)
Total
return
4
.96
%
(d)
11
.50
%
10
.15
%
(
10
.65
)
%
20
.25
%
(
4
.78
)
%
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
Ratios/Supplemental
Data:
Net
assets,
end
of period
(000s)
$
267,865
$
212,991
$
105,094
$
218,775
$
232,443
$
270,096
Ratio
of
expenses
to
average
net
assets
0
.39
%
(e)
0
.39
%
0
.39
%
0
.41
%
0
.49
%
0
.49
%
Ratio
of
net
investment
income
(loss)
to
average
net
assets
7
.28
%
(e)
6
.99
%
5
.84
%
4
.46
%
3
.90
%
4
.89
%
Portfolio
turnover
rate
(f)
24
.5
%
42
.2
%
34
.5
%
110
.5
%
19
.5
%
10
.6
%
(a)
Six
months
ended
December
31,
2024.
(b)
Reflects
a
2
to
1
stock
split
effective
after
the
close
of
trading
on
August
30,
2021.
(c)
Calculated
on
average
shares
outstanding
during
the
period.
(d)
Total
return
amounts
have
not
been
annualized.
(e)
Computed
on
an
annualized
basis.
(f)
Portfolio
turnover
rate
excludes
the
value
of
portfolio
securities
received
or
delivered
as
a
result
of
in-kind
creations
or
redemptions
of
the
Fund's
Shares,
if
any.
Financial
Highlights
Principal
Exchange-Traded
Funds
(unaudited)
Principal
Focused
Blue
Chip
ETF
For
a
share
outstanding:
Period
ended
December
31,
2024
(a)
Period
ended
June
30,
2024
(b)
Net
asset
value,
beginning
of
period
$
32
.12
$
25
.00
Investment
Operations:
Net
investment
income
(loss)
(c)
0
.06
0
.05
Net
realized
and
change
in
unrealized
gain
(loss)
2
.18
7
.12
Total
from
investment
operations
2
.24
7
.17
Dividends
to
Shareholders
from:
Net
investment
income
(
0
.01
)
(
0
.05
)
Net
realized
gains
(
0
.34
)
—
Total
dividends
to
stockholders
(
0
.35
)
(
0
.05
)
Net
asset
value,
end
of
period
$
34
.01
$
32
.12
Total
return
6
.95
%
(d)
28
.75
%
(d)
(
1
.00
)
%!
(
1
.00
)
%!
Ratios/Supplemental
Data:
Net
assets,
end
of period
(000s)
$
89,786
$
47,544
Ratio
of
expenses
to
average
net
assets
0
.58
%
(e)
0
.58
%
(e)
Ratio
of
net
investment
income
(loss)
to
average
net
assets
0
.35
%
(e)
0
.19
%
(e)
Portfolio
turnover
rate
(f)
12
.4
%
15
.4
%
(a)
Six
months
ended
December
31,
2024.
(b)
Period
from
July
12,
2023,
date
operations
commenced,
through
June
30,
2024.
(c)
Calculated
on
average
shares
outstanding
during
the
period.
(d)
Total
return
amounts
have
not
been
annualized.
(e)
Computed
on
an
annualized
basis.
(f)
Portfolio
turnover
rate
excludes
the
value
of
portfolio
securities
received
or
delivered
as
a
result
of
in-kind
creations
or
redemptions
of
the
Fund's
Shares,
if
any.
Financial
Highlights
Principal
Exchange-Traded
Funds
(unaudited)
Principal
International
Equity
ETF
For
a
share
outstanding:
Period
ended
December
31,
2024
(a)
Net
asset
value,
beginning
of
period
$
25
.00
Investment
Operations:
Net
investment
income
(loss)
(b)
0
.03
Net
realized
and
change
in
unrealized
gain
(loss)
(
0
.83
)
Total
from
investment
operations
(
0
.80
)
Dividends
to
Shareholders
from:
Net
investment
income
(
0
.02
)
Total
dividends
to
stockholders
(
0
.02
)
Net
asset
value,
end
of
period
$
24
.18
Total
return
(
3
.17
)
%
(c)
(
1
.00
)
%!
Ratios/Supplemental
Data:
Net
assets,
end
of period
(000s)
$
39,661
Ratio
of
expenses
to
average
net
assets
0
.48
%
(d)
Ratio
of
net
investment
income
(loss)
to
average
net
assets
0
.72
%
(d)
Portfolio
turnover
rate
(e)
3
.7
%
(a)
Period
from
November
5,
2024,
date
operations
commenced,
through
December
31,
2024.
(b)
Calculated
on
average
shares
outstanding
during
the
period.
(c)
Total
return
amounts
have
not
been
annualized.
(d)
Computed
on
an
annualized
basis.
(e)
Portfolio
turnover
rate
excludes
the
value
of
portfolio
securities
received
or
delivered
as
a
result
of
in-kind
creations
or
redemptions
of
the
Fund's
Shares,
if
any.
Financial
Highlights
Principal
Exchange-Traded
Funds
(unaudited)
Principal
Investment
Grade
Corporate
Active
ETF
For
a
share
outstanding:
Period
ended
December
31,
2024
(a)
Year
ended
June
30,
2024
Year
ended
June
30,
2023
Year
ended
June
30,
2022
Year
ended
June
30,
2021
Year
ended
June
30,
2020
Net
asset
value,
beginning
of
period
$
20
.41
$
20
.51
$
21
.84
$
26
.74
$
26
.67
$
26
.20
Investment
Operations:
Net
investment
income
(loss)
(b)
0
.53
1
.00
0
.76
0
.65
0
.62
0
.88
Net
realized
and
change
in
unrealized
gain
(loss)
0
.03
(
0
.12
)
(
0
.60
)
(
4
.68
)
0
.69
1
.39
Total
from
investment
operations
0
.56
0
.88
0
.16
(
4
.03
)
1
.31
2
.27
Dividends
to
Shareholders
from:
Net
investment
income
(
0
.62
)
(
0
.98
)
(
1
.49
)
(
0
.80
)
(
0
.79
)
(
0
.95
)
Net
realized
gains
—
—
—
(
0
.07
)
(
0
.45
)
(
0
.85
)
Total
dividends
to
stockholders
(
0
.62
)
(
0
.98
)
(
1
.49
)
(
0
.87
)
(
1
.24
)
(
1
.80
)
Net
asset
value,
end
of
period
$
20
.35
$
20
.41
$
20
.51
$
21
.84
$
26
.74
$
26
.67
Total
return
2
.75
%
(c)
4
.45
%
0
.87
%
(
15
.47
)
%
4
.90
%
8
.98
%
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
Ratios/Supplemental
Data:
Net
assets,
end
of period
(000s)
$
91,597
$
80,626
$
47,174
$
369,026
$
481,271
$
110,693
Ratio
of
expenses
to
average
net
assets
0
.19
%
(d)
0
.19
%
0
.19
%
0
.19
%
0
.25
%
0
.26
%
Ratio
of
net
investment
income
(loss)
to
average
net
assets
5
.01
%
(d)
4
.93
%
3
.52
%
2
.58
%
2
.30
%
3
.37
%
Portfolio
turnover
rate
(e)
39
.1
%
123
.0
%
61
.0
%
46
.9
%
67
.8
%
73
.3
%
(a)
Six
months
ended
December
31,
2024.
(b)
Calculated
on
average
shares
outstanding
during
the
period.
(c)
Total
return
amounts
have
not
been
annualized.
(d)
Computed
on
an
annualized
basis.
(e)
Portfolio
turnover
rate
excludes
the
value
of
portfolio
securities
received
or
delivered
as
a
result
of
in-kind
creations
or
redemptions
of
the
Fund's
Shares,
if
any.
Financial
Highlights
Principal
Exchange-Traded
Funds
(unaudited)
Principal
Quality
ETF
For
a
share
outstanding:
Period
ended
December
31,
2024
(a)
Year
ended
June
30,
2024
Year
ended
June
30,
2023
Year
ended
June
30,
2022
Year
ended
June
30,
2021
Year
ended
June
30,
2020
Net
asset
value,
beginning
of
period
$
68
.23
$
56
.45
$
47
.88
$
53
.17
$
39
.89
$
37
.79
Investment
Operations:
Net
investment
income
(loss)
(b)
0
.24
0
.54
0
.60
0
.61
0
.57
0
.51
Net
realized
and
change
in
unrealized
gain
(loss)
3
.39
11
.77
8
.71
(
5
.36
)
13
.22
1
.00
Net
realized
gain
due
from
reimbursement
from
Advisor
—
—
—
—
—
1
.13
(c)
Total
from
investment
operations
3
.63
12
.31
9
.31
(
4
.75
)
13
.79
2
.64
Dividends
to
Shareholders
from:
Net
investment
income
(
0
.35
)
(
0
.53
)
(
0
.74
)
(
0
.54
)
(
0
.51
)
(
0
.54
)
Total
dividends
to
stockholders
(
0
.35
)
(
0
.53
)
(
0
.74
)
(
0
.54
)
(
0
.51
)
(
0
.54
)
Net
asset
value,
end
of
period
$
71
.51
$
68
.23
$
56
.45
$
47
.88
$
53
.17
$
39
.89
Total
return
5
.31
%
(d)
21
.96
%
19
.69
%
(
9
.07
)
%
34
.83
%
7
.05
%
(c)
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
Ratios/Supplemental
Data:
Net
assets,
end
of period
(000s)
$
58,636
$
53,221
$
36,696
$
45,489
$
58,486
$
17,951
Ratio
of
expenses
to
average
net
assets
0
.15
%
(e)
0
.15
%
0
.15
%
0
.15
%
0
.15
%
(f)
0
.29
%
(f)
Ratio
of
gross
expenses
to
average
net
assets
(g)
—
%
(g)
(g)
—
%
(g)
(g)
—
%
(g)
(g)
—
%
(g)
(g)
—
%
(g)
0
.34
%
Ratio
of
net
investment
income
(loss)
to
average
net
assets
0
.67
%
(e)
0
.87
%
1
.18
%
1
.11
%
1
.22
%
1
.32
%
Portfolio
turnover
rate
(h)
0.0
%
(i)
57
.1
%
47
.7
%
96
.0
%
45
.1
%
103
.7
%
(a)
Six
months
ended
December
31,
2024.
(b)
Calculated
on
average
shares
outstanding
during
the
period.
(c)
During
2020,
the
Fund
experienced
a
significant
one-time
gain
as
the
result
of
a
payment
by
the
Advisor
due
to
an
operational
error
by
a
third
party.
If
such
payment
had
not
been
recognized,
the
total
return
amounts
expressed
herein
would
have
been
lower
by
3.04%.
(d)
Total
return
amounts
have
not
been
annualized.
(e)
Computed
on
an
annualized
basis.
(f)
Includes
reimbursement
from
Advisor.
(g)
Ratio
is
not
applicable
as
there
was
no
waiver
during
the
period.
(h)
Portfolio
turnover
rate
excludes
the
value
of
portfolio
securities
received
or
delivered
as
a
result
of
in-kind
creations
or
redemptions
of
the
Fund's
Shares,
if
any.
(i)
Reflects
an
amount
rounding
to
less
than
0.0%.
Financial
Highlights
Principal
Exchange-Traded
Funds
(unaudited)
Principal
Real
Estate
Active
Opportunities
ETF
For
a
share
outstanding:
Period
ended
December
31,
2024
(a)
Year
ended
June
30,
2024
Year
ended
June
30,
2023
Period
ended
June
30,
2022
(b)
Net
asset
value,
beginning
of
period
$
23
.40
$
22
.68
$
24
.50
$
25
.00
Investment
Operations:
Net
investment
income
(loss)
(c)
0
.39
0
.59
0
.54
0
.10
Net
realized
and
change
in
unrealized
gain
(loss)
1
.18
0
.72
(
1
.78
)
(
0
.60
)
Total
from
investment
operations
1
.57
1
.31
(
1
.24
)
(
0
.50
)
Dividends
to
Shareholders
from:
Net
investment
income
(
0
.44
)
(
0
.59
)
(
0
.48
)
—
Net
realized
gains
—
—
(
0
.10
)
—
Total
dividends
to
stockholders
(
0
.44
)
(
0
.59
)
(
0
.58
)
—
Net
asset
value,
end
of
period
$
24
.53
$
23
.40
$
22
.68
$
24
.50
Total
return
6
.73
%
(d)
5
.90
%
(
5
.03
)
%
(
2
.01
)
%
(d)
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
Ratios/Supplemental
Data:
Net
assets,
end
of period
(000s)
$
11,773
$
10,295
$
5,443
$
5,390
Ratio
of
expenses
to
average
net
assets
0
.63
%
(e)
0
.65
%
0
.65
%
0
.65
%
(e)
Ratio
of
net
investment
income
(loss)
to
average
net
assets
3
.05
%
(e)
2
.61
%
2
.33
%
3
.51
%
(e)
Portfolio
turnover
rate
(f)
17
.7
%
27
.0
%
17
.6
%
16
.2
%
(a)
Six
months
ended
December
31,
2024.
(b)
Period
from
May
18,
2022,
date
operations
commenced,
through
June
30,
2022.
(c)
Calculated
on
average
shares
outstanding
during
the
period.
(d)
Total
return
amounts
have
not
been
annualized.
(e)
Computed
on
an
annualized
basis.
(f)
Portfolio
turnover
rate
excludes
the
value
of
portfolio
securities
received
or
delivered
as
a
result
of
in-kind
creations
or
redemptions
of
the
Fund's
Shares,
if
any.
Financial
Highlights
Principal
Exchange-Traded
Funds
(unaudited)
Principal
Spectrum
Preferred
Securities
Active
ETF
For
a
share
outstanding:
Period
ended
December
31,
2024
(a)
Year
ended
June
30,
2024
Year
ended
June
30,
2023
Year
ended
June
30,
2022
Year
ended
June
30,
2021
Year
ended
June
30,
2020
Net
asset
value,
beginning
of
period
$
18
.22
$
16
.87
$
17
.20
$
20
.64
$
19
.31
(b)
$
19
.36
(b)
Investment
Operations:
Net
investment
income
(loss)
(c)
0
.43
0
.80
0
.72
0
.64
0
.70
0
.80
(b)
Net
realized
and
change
in
unrealized
gain
(loss)
0
.42
1
.39
(
0
.25
)
(
3
.27
)
1
.86
0
.08
(b)
Total
from
investment
operations
0
.85
2
.19
0
.47
(
2
.63
)
2
.56
0
.88
(b)
Dividends
to
Shareholders
from:
Net
investment
income
(
0
.51
)
(
0
.84
)
(
0
.80
)
(
0
.81
)
(
1
.23
)
(
0
.93
)
(b)
Total
dividends
to
stockholders
(
0
.51
)
(
0
.84
)
(
0
.80
)
(
0
.81
)
(
1
.23
)
(
0
.93
)
(b)
Net
asset
value,
end
of
period
$
18
.56
$
18
.22
$
16
.87
$
17
.20
$
20
.64
$
19
.31
(b)
Total
return
4
.64
%
(d)
13
.40
%
2
.68
%
(
13
.15
)
%
11
.58
%
4
.60
%
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
Ratios/Supplemental
Data:
Net
assets,
end
of period
(000s)
$
1,055,822
$
904,852
$
575,986
$
344,957
$
363,333
$
139,995
Ratio
of
expenses
to
average
net
assets
0
.55
%
(e)
0
.55
%
0
.55
%
0
.55
%
0
.55
%
0
.55
%
Ratio
of
net
investment
income
(loss)
to
average
net
assets
4
.56
%
(e)
4
.60
%
4
.21
%
3
.24
%
3
.43
%
4
.10
%
Portfolio
turnover
rate
(f)
7
.8
%
6
.6
%
16
.7
%
9
.2
%
12
.6
%
41
.9
%
(a)
Six
months
ended
December
31,
2024.
(b)
Reflects
a
5
to
1
stock
split
effective
after
the
close
of
trading
on
July
22,
2020.
(c)
Calculated
on
average
shares
outstanding
during
the
period.
(d)
Total
return
amounts
have
not
been
annualized.
(e)
Computed
on
an
annualized
basis.
(f)
Portfolio
turnover
rate
excludes
the
value
of
portfolio
securities
received
or
delivered
as
a
result
of
in-kind
creations
or
redemptions
of
the
Fund's
Shares,
if
any.
Financial
Highlights
Principal
Exchange-Traded
Funds
(unaudited)
Principal
Spectrum
Tax-Advantaged
Dividend
Active
ETF
For
a
share
outstanding:
Period
ended
December
31,
2024
(a)
Year
ended
June
30,
2024
Year
ended
June
30,
2023
Year
ended
June
30,
2022
Year
ended
June
30,
2021
Period
ended
June
30,
2020
(b)
Net
asset
value,
beginning
of
period
$
18
.64
$
17
.46
$
18
.34
$
21
.57
$
19
.95
$
20
.00
Investment
Operations:
Net
investment
income
(loss)
(c)
0
.45
0
.86
0
.87
0
.84
0
.88
0
.03
Net
realized
and
change
in
unrealized
gain
(loss)
0
.37
1
.26
(
0
.75
)
(
2
.98
)
1
.76
(
0
.08
)
Total
from
investment
operations
0
.82
2
.12
0
.12
(
2
.14
)
2
.64
(
0
.05
)
Dividends
to
Shareholders
from:
Net
investment
income
(
0
.56
)
(
0
.94
)
(
1
.00
)
(
1
.00
)
(
0
.98
)
—
Net
realized
gains
—
—
—
(
0
.09
)
(
0
.04
)
—
Total
dividends
to
stockholders
(
0
.56
)
(
0
.94
)
(
1
.00
)
(
1
.09
)
(
1
.02
)
—
Net
asset
value,
end
of
period
$
18
.90
$
18
.64
$
17
.46
$
18
.34
$
21
.57
$
19
.95
Total
return
4
.41
%
(d)
12
.52
%
0
.65
%
(
10
.38
)
%
13
.42
%
(
0
.26
)
%
(d)
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
Ratios/Supplemental
Data:
Net
assets,
end
of period
(000s)
$
35,908
$
24,231
$
20,081
$
21,088
$
22,647
$
19,948
Ratio
of
expenses
to
average
net
assets
0
.60
%
(e)
0
.60
%
0
.60
%
0
.60
%
0
.60
%
0
.60
%
(e)
Ratio
of
net
investment
income
(loss)
to
average
net
assets
4
.75
%
(e)
4
.80
%
4
.81
%
4
.09
%
4
.15
%
4
.35
%
(e)
Portfolio
turnover
rate
(f)
10
.5
%
16
.3
%
12
.8
%
6
.7
%
15
.5
%
6
.3
%
(a)
Six
months
ended
December
31,
2024.
(b)
Period
from
June
16,
2020,
date
operations
commenced,
through
June
30,
2020.
(c)
Calculated
on
average
shares
outstanding
during
the
period.
(d)
Total
return
amounts
have
not
been
annualized.
(e)
Computed
on
an
annualized
basis.
(f)
Portfolio
turnover
rate
excludes
the
value
of
portfolio
securities
received
or
delivered
as
a
result
of
in-kind
creations
or
redemptions
of
the
Fund's
Shares,
if
any.
Financial
Highlights
Principal
Exchange-Traded
Funds
(unaudited)
Principal
U.S.
Mega-Cap
ETF
For
a
share
outstanding:
Period
ended
December
31,
2024
(a)
Year
ended
June
30,
2024
Year
ended
June
30,
2023
Year
ended
June
30,
2022
Year
ended
June
30,
2021
Year
ended
June
30,
2020
Net
asset
value,
beginning
of
period
$
54
.12
$
43
.70
$
36
.61
$
39
.68
$
30
.04
$
29
.07
Investment
Operations:
Net
investment
income
(loss)
(b)
0
.31
0
.66
0
.59
0
.68
0
.59
0
.60
Net
realized
and
change
in
unrealized
gain
(loss)
5
.86
10
.39
7
.13
(
3
.05
)
9
.60
1
.00
Total
from
investment
operations
6
.17
11
.05
7
.72
(
2
.37
)
10
.19
1
.60
Dividends
to
Shareholders
from:
Net
investment
income
(
0
.47
)
(
0
.63
)
(
0
.63
)
(
0
.70
)
(
0
.55
)
(
0
.63
)
Total
dividends
to
stockholders
(
0
.47
)
(
0
.63
)
(
0
.63
)
(
0
.70
)
(
0
.55
)
(
0
.63
)
Net
asset
value,
end
of
period
$
59
.82
$
54
.12
$
43
.70
$
36
.61
$
39
.68
$
30
.04
Total
return
11
.45
%
(c)
25
.59
%
21
.39
%
(
6
.18
)
%
34
.25
%
5
.62
%
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
Ratios/Supplemental
Data:
Net
assets,
end
of period
(000s)
$
2,563,960
$
2,440,700
$
1,463,854
$
1,367,427
$
1,958,064
$
1,505,046
Ratio
of
net
expenses
to
average
net
assets
(d)
0
.12
%
(e)
0
.12
%
0
.12
%
0
.12
%
0
.12
%
0
.12
%
Ratio
of
gross
expenses
to
average
net
assets
(e)
0
.15
%
(e)
0
.15
%
0
.15
%
0
.15
%
0
.15
%
0
.15
%
Ratio
of
net
investment
income
(loss)
to
average
net
assets
1
.06
%
(e)
1
.38
%
1
.53
%
1
.65
%
1
.67
%
2
.05
%
Portfolio
turnover
rate
(f)
27
.9
%
0
.5
%
28
.8
%
41
.1
%
42
.9
%
42
.9
%
(a)
Six
months
ended
December
31,
2024.
(b)
Calculated
on
average
shares
outstanding
during
the
period.
(c)
Total
return
amounts
have
not
been
annualized.
(d)
Includes
reimbursement
from
Advisor.
(e)
Computed
on
an
annualized
basis.
(f)
Portfolio
turnover
rate
excludes
the
value
of
portfolio
securities
received
or
delivered
as
a
result
of
in-kind
creations
or
redemptions
of
the
Fund's
Shares,
if
any.
Financial
Highlights
Principal
Exchange-Traded
Funds
(unaudited)
Principal
U.S.
Small-Cap
ETF
For
a
share
outstanding:
Period
ended
December
31,
2024
(a)
Year
ended
June
30,
2024
Year
ended
June
30,
2023
Year
ended
June
30,
2022
Year
ended
June
30,
2021
Year
ended
June
30,
2020
Net
asset
value,
beginning
of
period
$
48
.17
$
42
.38
$
38
.04
$
46
.92
$
27
.36
$
31
.43
Investment
Operations:
Net
investment
income
(loss)
(b)
0
.35
0
.45
0
.56
0
.62
0
.54
0
.45
Net
realized
and
change
in
unrealized
gain
(loss)
2
.98
5
.75
4
.53
(
8
.90
)
19
.51
(
4
.11
)
Total
from
investment
operations
3
.33
6
.20
5
.09
(
8
.28
)
20
.05
(
3
.66
)
Dividends
to
Shareholders
from:
Net
investment
income
(
0
.29
)
(
0
.41
)
(
0
.75
)
(
0
.60
)
(
0
.49
)
(
0
.41
)
Total
dividends
to
stockholders
(
0
.29
)
(
0
.41
)
(
0
.75
)
(
0
.60
)
(
0
.49
)
(
0
.41
)
Net
asset
value,
end
of
period
$
51
.21
$
48
.17
$
42
.38
$
38
.04
$
46
.92
$
27
.36
Total
return
6
.93
%
(c)
14
.74
%
13
.59
%
(
17
.88
)
%
74
.05
%
(
11
.71
)
%
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
Ratios/Supplemental
Data:
Net
assets,
end
of period
(000s)
$
728,244
$
582,828
$
201,291
$
616,265
$
1,628,003
$
328,305
Ratio
of
expenses
to
average
net
assets
0
.38
%
(d)
0
.38
%
0
.38
%
0
.38
%
0
.38
%
0
.38
%
Ratio
of
net
investment
income
(loss)
to
average
net
assets
1
.35
%
(d)
0
.99
%
1
.39
%
1
.37
%
1
.39
%
1
.54
%
Portfolio
turnover
rate
(e)
34
.7
%
58
.0
%
74
.1
%
70
.6
%
93
.1
%
80
.4
%
(a)
Six
months
ended
December
31,
2024.
(b)
Calculated
on
average
shares
outstanding
during
the
period.
(c)
Total
return
amounts
have
not
been
annualized.
(d)
Computed
on
an
annualized
basis.
(e)
Portfolio
turnover
rate
excludes
the
value
of
portfolio
securities
received
or
delivered
as
a
result
of
in-kind
creations
or
redemptions
of
the
Fund's
Shares,
if
any.
Financial
Highlights
Principal
Exchange-Traded
Funds
(unaudited)
Principal
Value
ETF
For
a
share
outstanding:
Period
ended
December
31,
2024
(a)
Year
ended
June
30,
2024
Year
ended
June
30,
2023
Year
ended
June
30,
2022
Year
ended
June
30,
2021
Year
ended
June
30,
2020
Net
asset
value,
beginning
of
period
$
45
.96
$
41
.49
$
38
.90
$
42
.38
$
27
.75
$
31
.99
Investment
Operations:
Net
investment
income
(loss)
(b)
0
.56
1
.12
0
.93
1
.63
1
.16
0
.87
Net
realized
and
change
in
unrealized
gain
(loss)
3
.79
4
.51
3
.04
(
3
.89
)
14
.52
(
4
.36
)
Total
from
investment
operations
4
.35
5
.63
3
.97
(
2
.26
)
15
.68
(
3
.49
)
Dividends
to
Shareholders
from:
Net
investment
income
(
0
.81
)
(
1
.16
)
(
1
.38
)
(
1
.22
)
(
1
.05
)
(
0
.75
)
Total
dividends
to
stockholders
(
0
.81
)
(
1
.16
)
(
1
.38
)
(
1
.22
)
(
1
.05
)
(
0
.75
)
Net
asset
value,
end
of
period
$
49
.50
$
45
.96
$
41
.49
$
38
.90
$
42
.38
$
27
.75
Total
return
9
.51
%
(c)
13
.92
%
10
.45
%
(
5
.58
)
%
57
.97
%
(
11
.09
)
%
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
(
1
.00
)
%!
Ratios/Supplemental
Data:
Net
assets,
end
of period
(000s)
$
80,685
$
68,486
$
37,340
$
215,875
$
44,498
$
31,907
Ratio
of
expenses
to
average
net
assets
0
.15
%
(d)
0
.15
%
0
.15
%
0
.15
%
0
.15
%
(e)
0
.29
%
(e)
Ratio
of
gross
expenses
to
average
net
assets
(f)
—
%
(f)
(f)
—
%
(f)
(f)
—
%
(f)
(f)
—
%
(f)
(f)
—
%
(f)
0
.32
%
Ratio
of
net
investment
income
(loss)
to
average
net
assets
2
.28
%
(d)
2
.61
%
2
.31
%
3
.83
%
3
.31
%
2
.95
%
Portfolio
turnover
rate
(g)
38
.7
%
49
.8
%
1
.8
%
298
.2
%
44
.8
%
47
.6
%
(a)
Six
months
ended
December
31,
2024.
(b)
Calculated
on
average
shares
outstanding
during
the
period.
(c)
Total
return
amounts
have
not
been
annualized.
(d)
Computed
on
an
annualized
basis.
(e)
Includes
reimbursement
from
Advisor.
(f)
Ratio
is
not
applicable
as
there
was
no
waiver
during
the
period.
(g)
Portfolio
turnover
rate
excludes
the
value
of
portfolio
securities
received
or
delivered
as
a
result
of
in-kind
creations
or
redemptions
of
the
Fund's
Shares,
if
any.
Principal
Exchange-Traded
Funds
(unaudited)
Notification
of
Source
of
Distributions
Pursuant
to
Rule
19a-1
of
the
Investment
Company
Act
of
1940
As
noted
in
the
table
provided
below,
certain
of
the
Principal
Exchange-Traded
Funds
made
distributions
for
the
month
of
December
2024
for
which
a
portion
is
estimated
to
be
in
excess
of
the
Fund’s
current
and
accumulated
net
income.
As
of
December
2024,
the
estimated
sources
of
these
distributions
were
as
follows:
The
ultimate
composition
of
these
distributions
may
vary
from
the
estimates
provided
above
due
to
a
variety
of
factors
including
future
income
and
expenses,
and
realized
gains
and
losses
from
the
purchase
and
sale
of
securities.
Please
note
that
this
information
is
being
provided
to
satisfy
certain
notice
requirements
under
the
Investment
Company
Act
of
1940.
Tax
reporting
information
for
shareholders
of
the
Funds
will
not
be
available
until
the
end
of
the
Funds’
fiscal
year.
As
a
result,
shareholders
should
not
use
the
information
provided
in
this
notice
for
tax
reporting
purposes.
December
2024
Fund
Net
Income
Realized
Gain
Capital
Sources
Principal
International
Equity
ETF
76.97
%
0.00
%
23.03
%
Principal
Quality
ETF
99.15
0.00
0.85
Changes
in
and
Disagreements
with
Accountants
(N-CSR
Item
8)
Principal
Exchange-Traded
Funds
December
31,
2024
During
the
two
most
recent
fiscal
years
or
any
subsequent
interim
period,
there
have
been
no
changes
in
or
disagreements
with
Accountants.
Proxy
Disclosures
(N-CSR
Item
9)
Principal
Exchange-Traded
Funds
December
31,
2024
During
the
period
covered
by
this
report,
the
following
were
matters
submitted
through
the
solicitation
of
proxies
or
otherwise.
Approval
to
change
the
sub-classification
under
the
Investment
Company
Act
of
1940,
as
amended,
from
“diversified”
to
“non-diversified”
and
to
change
the
related
fundamental
investment
restriction
on
Principal
U.S.
Mega-Cap
ETF.
Shares
Voted
For
34,149,902.279
Against
25,083.339
Abstained/Withheld
38,500.893
Remuneration
Paid
to
Directors,
Officers
and
Others
(N-CSR
Item
10)
Principal
Exchange-Traded
Funds
December
31,
2024
The
Principal
Exchange-Traded
Funds
(the
“Funds”)
do
not
pay
any
remuneration
to
its
officers
or
to
any
Board
Members
who
serve
as
Interested
Board
Members.
The
Board
annually
considers
a
proposal
to
reimburse
the
Manager
for
certain
expenses,
including
a
portion
of
the
Chief
Compliance
Officer’s
compensation.
If
the
proposal
is
adopted,
these
amounts
are
allocated
across
all
Funds
based
on
relative
net
assets
of
each
portfolio.
Trustee
expenses
and
Chief
Compliance
Officer’s
compensation
are
included
in
the
financial
statements
as
a
part
of
the
unitary
fee
structure.
Statement
Regarding
Basis
for
Approval
of
Investment
Advisory
Contracts
(N-CSR
Item
11)
Principal
Exchange-Traded
Funds
December
31,
2024
During
the
period
covered
by
this
report,
the
Board
of
Trustees
of
Principal
Exchange-Traded
Funds
(“PETF”)
approved
(1)
a
Management
Agreement
between
Principal
Global
Investors,
LLC
(the
“Manager”)
and
the
Principal
International
Equity
ETF;
and
(2)
the
annual
renewal
of
the
Management
Agreement
and
various
sub-advisory
agreements
for
all
Funds.
Approval
of
Management
Agreement
for
Principal
International
Equity
ETF
On
June 12,
2024,
the
Board
considered
for
the
newly
established
Principal
International
Equity
ETF
(the
“Fund”)
the
approval
of
a
management
agreement
(the
“Management
Agreement”)
between
PETF,
on
behalf
of
the
Fund,
and
the
Manager.
The
Board
considered,
among
other
factors,
that
the
Manager
serves
as
the
investment
advisor
to
the
existing
series
of
PETF,
that
the
Manager
has
had
a
long-term
relationship
with
PETF,
Principal
Funds,
Inc.,
Principal
Variable
Contracts,
Inc.
and
Principal
Real
Asset
Fund
(collectively,
the
“Principal
Funds”),
all
of
which
are
also
overseen
by
the
Board;
and
that
the
Manager
has
demonstrated
a
long-term
commitment
to
support
the
Principal
Funds.
The
Board
concluded
that
a
long-term
relationship
with
a
capable
and
conscientious
advisor
is
in
the
best
interests
of
the
Fund.
The
Board
considered
various
factors,
including
the
following,
and
made
certain
findings
and
conclusions
with
regard
thereto,
in
approving
the
Management
Agreement.
Nature,
Quality
and
Extent
of
Services
The
Board
considered
the
nature,
quality
and
extent
of
the
services
to
be
provided
under
the
Management
Agreement,
including
administrative
services.
The
Board
noted
that,
in
connection
with
the
2023
annual
renewal
of
the
management
agreements
for
the
other
Principal
Funds,
the
Board
had:
(1) reviewed
the
services
provided
by
the
Manager
to
the
other
Principal
Funds
under
their
respective
management
agreements;
(2) considered
the
experience
and
skills
of
senior
management
leading
fund
operations,
the
experience
and
skills
of
the
personnel
performing
the
functions
under
the
management
agreements
and
the
resources
made
available
to
such
personnel,
the
ability
of
the
Manager
to
attract
and
retain
high-quality
personnel,
and
the
organizational
depth
and
stability
of
the
Manager
and
concluded
that
appropriate
resources
were
provided
under
the
management
agreements
for
the
other
Principal
Funds;
and
(3) considered
the
compliance
program
established
by
the
Manager
for
the
Principal
Funds
and
their
respective
series,
as
applicable,
the
quality
of
that
program
and
the
level
of
compliance
attained
by
the
Principal
Funds.
Based
upon
all
relevant
factors,
the
Board
concluded
that
the
nature,
quality
and
extent
of
the
services
to
be
provided
by
the
Manager
to
the
Fund
under
the
Management
Agreement
are
expected
to
be
satisfactory.
Investment
Performance
Because
the
Fund
is
a
newly
created
series,
the
Board
did
not
review
the
performance
of
the
Fund
as
no
track
record
was
available.
Fees,
Economies
of
Scale
and
Profitability
The
Board
considered
the
proposed
management
fee
rate
for
the
Fund.
The
Board
noted
that
the
Manager
proposed
a
unitary
management
fee
for
the
Fund.
The
Board
also
received
information
from
the
Manager,
based
upon
data
supplied
by
Broadridge
Financial
Solutions,
Inc.
(“Broadridge”),
an
independent
provider
of
investment
company
data,
comparing
the
proposed
unitary
management
fee
rate
for
the
Fund
to
the
total
expense
ratios
of
funds
in
a
peer
group
selected
by
Broadridge.
The
Board
noted
the
Manager’s
statement
that
the
Fund’s
proposed
management
fee
rate
was
competitive.
The
Board
also
considered
whether
there
are
economies
of
scale
with
respect
to
the
services
to
be
provided
to
the
Fund
under
the
Management
Agreement.
The
Board
concluded
that,
although
the
proposed
management
fee
schedule
for
the
Fund
does
not
include
breakpoints,
the
management
fee
schedule
is
appropriate
at
currently
anticipated
asset
levels.
In
addition,
in
evaluating
the
proposed
management
fee,
the
Board
considered
the
Manager’s
statement
regarding
the
forecasted
time
and
asset
thresholds
for
the
Fund
to
achieve
scale
and
break
even
based
on
the
Manager’s
sales
projections.
On
the
basis
of
the
information
provided,
the
Board
concluded
that
the
proposed
management
fee
rate
was
reasonable.
Other
Benefits
The
Board
also
considered
the
character
and
amount
of
other
incidental
benefits
to
be
received
by
the
Manager.
The
Board
noted
the
Manager’s
statement
that
it
intends
to
use
Fund
commissions
to
buy
Section 28(e)-eligible
products
and
services
consistent
with
its
use
of
commissions
for
the
other
equity
portfolios
it
currently
manages,
as
well
as
the
Manager’s
statement
that
there
would
be
no
known
fall-out
benefits
to
the
Manager
in
connection
with
its
management
of
the
Fund
outside
the
use
of
soft
dollars.
The
Board
concluded
that,
on
the
basis
of
the
information
provided,
the
incidental
benefits
to
be
received
by
the
Manager
were
appropriate.
Overall
Conclusions
Based
upon
all
of
the
information
considered
and
the
conclusions
reached,
the
Board
determined
that
the
terms
of
the
Management
Agreement,
including
the
fee
rate
payable
thereunder,
are
fair
and
reasonable
and
that
approval
of
the
Management
Agreement
is
in
the
best
interests
of
the
Fund.
Statement
Regarding
Basis
for
Approval
of
Investment
Advisory
Contracts
(N-CSR
Item
11)
Principal
Exchange-Traded
Funds
December
31,
2024
Annual
Review
and
Renewal
of
Management
Agreement
and
Sub-Advisory
Agreements
At
its
September 11,
2024
meeting,
the
Board
performed
its
annual
review
and
renewal
process
relating
to
the
Management
Agreement
and
the
Sub-Advisory
Agreement
for
all
Funds.
Section 15(c)
of
the
Investment
Company
Act
of
1940
(the
“1940
Act”)
requires
the
Board,
including
a
majority
of
the
Trustees
who
have
no
direct
or
indirect
interest
in
the
investment
advisory
agreements
and
who
are
not
“interested
persons”
of
PETF,
as
defined
in
the
1940
Act
,
annually
to
review
and
to
consider
the
continuation
of:
(1) the
Management
Agreement
between
the
Manager
and
PETF,
on
behalf
of
each
of
the
eleven
(11)
series
of
PETF
(each
series
is
referred
to
as
a
“Fund”);
and
(2) the
Sub-Advisory
Agreement
between
the
Manager
and
each
of
Principal
Real
Estate
Investors,
LLC
(“Principal-REI”)
and
Spectrum
Asset
Management
Inc.
(“Spectrum”) (collectively,
the
“Sub-Advisors”).
The
Management
Agreement
and
the
Sub-Advisory
Agreements
are
collectively
referred
to
as
the
“Advisory
Agreements.”
The
Board
considered
the
factors
and
reached
the
conclusions
described
below
relating
to
the
continuation
of
the
Advisory
Agreements.
In
evaluating
the
Advisory
Agreements,
the
Board
reviewed
a
broad
range
of
information
requested
for
this
purpose,
including,
among
other
information,
information
regarding
performance,
investment
advisory
fees,
total
expenses,
profitability
from
the
Advisory
Agreements
to
the
Manager
and
information
about
economies
of
scale
and
fall
out
benefits.
The
Board
reviewed
the
materials
provided
and
concluded
that
it
was
provided
all
information
reasonably
necessary
to
evaluate
the
Advisory
Agreements.
The
Board
reviewed
the
materials
provided
and,
with
the
assistance
of
independent
legal
counsel,
concluded
that
they
were
provided
information
reasonably
necessary
to
evaluate
the
Advisory
Agreements.
Management
Agreement
With
respect
to
the
Management
Agreement
for
each
Fund,
the
Board
considered,
among
other
factors,
that
the
Manager
and
its
affiliates
have
demonstrated
a
long-term
commitment
to
support
the
Funds.
In
addition,
the
Board
considered
the
following
factors,
and
made
certain
findings
and
conclusions
with
respect
thereto,
for
each
of
the
Funds.
The
Board
concluded
that
a
relationship
with
a
capable
and
conscientious
adviser
is
in
the
best
interests
of
each
Fund.
Nature,
Extent
and
Quality
of
Services
The
Board
considered
the
nature,
quality
and
extent
of
the
services
provided
under
the
Management
Agreement,
including
accounting
and
administrative
services,
as
applicable.
The
Board
considered
the
experience
and
skills
of
senior
management
leading
Fund
operations,
the
experience
and
skills
of
the
personnel
performing
the
functions
under
the
Management
Agreement
and
the
resources
made
available
to
such
personnel,
the
ability
of
the
Manager
to
attract
and
retain
high-quality
personnel
and
the
organizational
depth
and
stability
of
the
Manager.
The
Board
concluded
that
appropriate
resources
were
provided
under
the
Management
Agreement.
The
Board
also
considered
that
for
certain
Funds,
during
the
periods
reviewed,
the
Manager
had
delegated
day-to-day
portfolio
management
responsibility
to
the
Sub-Advisors.
The
Board
noted
that
the
Manager’s
process
for
the
selection
of
sub-advisors
emphasizes
the
selection
of
Principal-affiliated
sub-advisors
that
are
determined
to
be
qualified
under
the
Manager’s
due
diligence
process.
Based
upon
all
relevant
factors,
the
Board
concluded
that
the
nature,
quality
and
extent
of
the
services
provided
by
the
Manager
to
the
Funds
under
the
Management
Agreement
was
satisfactory.
Investment
Performance
The
Board
reviewed
each
Fund’s
investment
performance
over
longer-term
periods,
reviewing
both
the
investment
return
during
the
three-
year
period
ended
March 31,
2024
and
the
blended
investment
return
(50%/50%)
of
the
three
and
five-year
periods
ended
March 31,
2024,
and
compared
those
returns
to
various
agreed-upon
performance
measures
including
peer-group
data
based
upon
a
broad-based
industry
category
determined
using
Morningstar
Direct
data
(“Performance
Universe”).
For
Funds
or
Sub-Advisors
that
did
not
have
a
five-year
performance
history,
the
Board
reviewed
performance
information
for
a
three-year
period
ended
March 31,
2024,
if
available.
For
Funds
or
Sub-Advisors
that
did
not
have
a
three-year
performance
history,
the
Board
reviewed
performance
information
for
a
one-year
period
ended
March 31,
2024,
if
available.
The
Board
also
compared
each
Fund’s
investment
performance
over
the
one-,
three-
and
five-year
periods
ended
March 31,
2024,
as
available,
to
one
or
more
relevant
benchmark
indices.
The
Board
noted
that
certain
Funds
had
commenced
operations
recently
and,
accordingly,
no
or
limited
performance
information
was
considered.
The
Board
also
considered
whether
investment
results
were
consistent
with
a
Fund’s
investment
objective(s)
and
policies.
For
most
Funds,
the
Board
concluded
that
the
Fund’s
investment
returns
met
acceptable
levels
of
investment
performance.
There
were
certain
Funds,
and
certain
Sub-Advisors
or
affiliated
portfolio
management
teams
for
multi-manager
Funds,
that
had
not
attained,
during
the
relevant
Statement
Regarding
Basis
for
Approval
of
Investment
Advisory
Contracts
(N-CSR
Item
11)
Principal
Exchange-Traded
Funds
December
31,
2024
period(s),
a
level
of
investment
performance
considered
satisfactory
by
the
Board.
For
such
Funds,
the
Board
also
considered
other
factors,
such
as
the
longer-term
performance
of
each
such
Fund,
Sub-Advisor
or
portfolio
management
team,
remedial
efforts
being
undertaken
to
improve
performance
and/or
the
Manager’s
explanation
for
the
performance
of
such
Fund,
Sub-Advisor
or
portfolio
management
team.
The
Board
considered
the
Manager’s
due
diligence
process
for
evaluating
the
performance
of
all
Funds,
all
Sub-Advisors
and
all
affiliated
portfolio
management
teams,
for
which
they
receive
regular
reporting,
and
concluded
that
the
Manager
has
in
place
an
effective
due
diligence
process
to
monitor
investment
performance,
to
encourage
remedial
action
and
to
make
changes
in
the
Sub-Advisors
or
affiliated
portfolio
management
teams
at
the
appropriate
time,
if
necessary,
subject
to
Board
oversight.
Fees
and
Expenses
The
Board
considered
each
Fund’s
effective
unitary
management
fee
rate.
For
each
Fund,
the
Board
received
certain
information
from
Broadridge
including
comparing
the
contractual
and
effective
unitary
management
fee
rates
and
total
expense
ratio
for
the
Fund’s
commons
shares
to
investment
advisory
fee
rates
and
expense
ratios
of
funds
in
an
appropriate
Expense
Group
and
Expense
Universe
provided
by
Broadridge.
In
evaluating
the
contractual
and
effective
management
fee
rates,
the
Board
considered
a
variety
of
factors,
including
the
contractual
and
effective
fee
rates,
breakpoints,
comparisons
to
fee
rates
of
peer
group
funds
and
other
funds
and
non-fund
accounts
managed
by
the
Manager,
sub-
advisory
fee
rates
paid,
services
provided,
investment
performance,
total
net
expense
ratios,
profitability,
the
existence
and
sharing
of
economies
of
scale,
indirect
benefits,
and
expense
caps
and
fee
waivers.
The
Board
considered
the
impact
of
changes
in
sub-advisory
fee
rates
put
into
effect
since
September 2023.
The
Board
considered
that
certain
Funds
with
similar
investment
strategies
and
policies
have
different
management
fee
schedules
and
noted
the
reasons
cited
by
the
Manager
for
the
differing
fee
rates.
In
reviewing
the
fee
rates
of
other
accounts
managed
by
the
Manager,
the
Board
considered
information
provided
by
the
Manager
regarding
differences
between
the
services
provided
to
and
the
risks
involved
in
sponsoring
the
Funds
and
the
services
provided
to
and
the
risks
involved
in
sponsoring
such
other
accounts.
For
most
Funds,
effective
net
management
fee
rates
were
within
the
third
quartile
or
better
when
compared
to
the
applicable
Expense
Group.
For
some
Funds,
although
effective
net
management
fee
rates
were
higher
than
the
third
quartile,
total
net
expense
ratios
were
within
the
third
quartile
or
better.
Discussion
is
set
forth
below
regarding
specific
factors
relevant
to
the
Board’s
review
of
certain
other
Funds.
Considering
all
factors
they
deemed
relevant,
the
Board
concluded
that
the
management
fee
payable
by
each
Fund
was
reasonable
in
light
of
the
nature,
quality
and
extent
of
the
services
provided
by
the
Manager
and
other
relevant
factors.
Profitability
The
Board
reviewed
detailed
information
regarding
revenues
the
Manager
received
under
the
Management
Agreements
and
the
estimated
direct
and
indirect
costs
incurred
in
providing
to
each
Fund
the
services
described
in
the
applicable
Management
Agreements
for
the
year
ended
December 31,
2023.
The
Board
also
considered
the
returns
on
revenue
generated
in
connection
with
the
payment
of
sub-advisory
fees
to
affiliated
Sub-Advisors
(Principal
Real
Estate
Investors
LLC
and
Spectrum
Asset
Management,
Inc.)
and
the
aggregated
return
on
revenue
to
the
Manager
and
its
affiliates
for
the
year
ended
December 31,
2023.
The
Board
noted
that
the
Manager
compensates
each
Sub-Advisor
from
its
own
management
fee
and
considered
the
pro
forma
impact
on
the
Manager’s
returns
on
revenue
from
the
reductions
of
certain
Funds’
effective
management
fee
rates
described
above
and
the
reductions
of
certain
Funds’
effective
sub-advisory
fee
rates
described
below.
The
Board
concluded
that,
for
each
Fund,
the
profitability
to
the
Manager
of
the
Management
Agreement
was
not
unreasonable.
Economies
of
Scale
The
Board
considered
whether
there
are
economies
of
scale
with
respect
to
the
management
of
each
Fund
and
whether
the
Funds
benefit
from
any
such
economies
of
scale.
The
Board
determined
that
no
breakpoints
were
necessary
at
this
time
for
the
unitary
management
fee
schedules
of
the
Funds
due
to,
among
other
factors,
their
current
asset
levels
and
taking
into
account
historical
levels
of
profitability
to
the
Manager.
Other
Benefits
to
Manager
The
Board
also
considered
the
character
and
amount
of
other
indirect
benefits
received
by
the
Manager
and
its
affiliates
from
their
relationships
with
the
Funds.
The
Board
noted
that
the
Manager
uses
Fund
commissions
to
buy
Section 28(e)-eligible
products
and
services.
The
Board
concluded
that,
on
the
basis
of
the
information
provided,
the
indirect
benefits
received
by
the
Manager
and
its
affiliates
were
appropriate.
Special
Circumstances
Statement
Regarding
Basis
for
Approval
of
Investment
Advisory
Contracts
(N-CSR
Item
11)
Principal
Exchange-Traded
Funds
December
31,
2024
For
certain
Funds,
in
reaching
the
conclusion
that
the
Management
Agreement
should
be
renewed,
the
Board
included
within
their
considerations
certain
other
actions
taken
by
the
Board.
Sub-Advisory
Agreements
Nature,
Quality
and
Extent
of
Services
The
Board
considered
the
nature,
quality
and
extent
of
the
services
provided
under
each
Sub-Advisory
Agreement.
The
Board
considered
the
reputation,
qualifications
and
background
of
the
Sub-Advisor,
the
investment
approach
of
the
Sub-Advisor,
the
experience
and
skills
of
investment
personnel
responsible
for
the
day-to-day
management
of
each
Fund
and
the
resources
made
available
to
such
personnel.
The
Board
also
considered
the
Sub-Advisors’
compliance
with
investment
policies
and
general
legal
compliance.
Based
upon
all
relevant
factors,
the
Board
concluded
that
the
nature,
quality
and
extent
of
the
services
provided
by
the
Sub-Advisors
to
the
sub-
advised
Funds
under
the
Sub-Advisory
Agreements
were
satisfactory
.
Investment
Performance
As
to
each
sub-advised
Fund,
the
Manager
recommended
the
renewal
of
each
Sub-Advisory
Agreement.
Based
upon
all
relevant
factors,
the
Board
concluded
that
each
Sub-Advisor
is
qualified
and
that
either:
(1) the
investment
performance
of
the
Sub-Advisor
met
acceptable
levels
of
investment
performance;
or
(2) although
the
Fund
experienced
underperformance
from
the
applicable
Sub-Advisor,
based
upon
that
Fund’s
particular
circumstances
or
in
light
of
remedial
efforts
being
undertaken
to
improve
performance,
as
applicable,
it
was
in
the
best
interests
of
the
Fund
to
continue
to
closely
monitor
performance
and
to
renew
the
Sub-Advisory
Agreement.
In
each
case
involving
underperformance,
the
Board
concluded
that
the
Manager
was
providing
effective
monitoring.
Fees,
Economies
of
Scale
and
Profitability
For
each
sub-advised
Fund,
the
Board
considered
the
sub-advisory
fee
rate(s),
noting
that
the
Manager
compensates
each
Sub-Advisor
from
its
own
management
fee,
so
that
shareholders
pay
only
the
management
fee.
For
each
sub-advised
Fund,
other
than
as
noted
below,
the
Board
received
certain
information
from
Broadridge
comparing
each
such
Fund’s
sub-advisory
fee
rate(s)
at
current
asset
levels
and
at
theoretical
asset
levels
to
sub-advisory
fee
rates
of
sub-advised
funds
in
the
Broadridge
classification.
The
Board
considered
whether
there
are
economies
of
scale
with
respect
to
the
sub-advisory
services
provided
to
each
sub-advised
Fund
and,
if
so,
whether
the
sub-advisory
fees
reflect
such
economies
of
scale
through
breakpoints
in
fee
schedules
or
whether
the
sub-advisory
fee
schedule
is
otherwise
appropriate
at
current
asset
levels.
In
addition,
in
evaluating
the
sub-advisory
fee
rates
and
the
factor
of
profitability,
the
Board
considered
the
profitability
of
the
affiliated
Sub-Advisors,
taking
into
account
the
changes
in
the
sub-advisory
fee
schedules
noted
above,
as
applicable,
in
conjunction
with
their
review
of
the
profitability
of
the
Manager.
Other
Benefits
to
Sub-Advisors
The
Board
also
considered
the
character
and
amount
of
other
indirect
benefits
received
by
each
Sub-Advisor
when
evaluating
the
sub-advisory
fees.
The
Board
considered
as
a
part
of
this
analysis
each
Sub-Advisor’s
brokerage
practices,
soft
dollar
practices
and
use
of
research
payment
accounts.
The
Board
concluded
that
the
indirect
benefits
received
by
each
Sub-Advisor
were
appropriate.
Overall
Conclusions
Based
upon
all
of
the
information
considered
and
the
conclusions
reached,
the
Board
determined
that
the
terms
of
each
Advisory
Agreement,
including
the
fee
rate
payable
thereunder,
continue
to
be
fair
and
reasonable
and
that
the
continuation
of
each
Advisory
Agreement,
with
the
actions
proposed
by
the
Manager,
is
in
the
best
interests
of
each
Fund.
Principal
Financial
Group
®
,
Des
Moines,
Iowa
50392-0001,
www.PrincipalAM.com
ALPS
Distributors,
Inc.
is
the
distributor
of
the
Principal
ETFs.
ALPS
Distributors,
Inc.
and
the
Principal
Funds
are
not
affiliated.
Principal
®
,
Principal
Financial
Group
®
,
and
Principal
and
the
logomark
design
are
registered
trademarks
of
Principal
Financial
Services,
Inc.,
a
Principal
Financial
Group
company,
in
the
United
States
and
are
trademarks
and
services
marks
of
Principal
Financial
Services,
Inc.,
in
various
countries
around
the
world.
©
2024
Principal
Financial
Group
Services,
Inc.
|
ETF4SAR-09
|
12/2024
|
3247629
ITEM 8 – CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS FOR OPEN-END MANAGEMENT INVESTMENT COMPANIES
There were no changes or disagreements with Accountants. Changes in and disagreements with Accountants would be included as part of the Financial Statements filed under Item 7 of this form.
ITEM 9 – PROXY DISCLOSURES FOR OPEN-END MANAGEMENT COMPANIES
Proxy Disclosures are included as part of the Financial Statements filed under Item 7 of this form.
ITEM 10 – REMUNERATION PAID TO DIRECTORS, OFFICERS, AND OTHERS OF OPEN-END MANAGEMENT INVESTMENT COMPANIES
Remuneration paid to Directors, Officers, and Others of Open-End Management Investment Companies is included as part of the Financial Statements filed under Item 7 of this form.
ITEM 11 – STATEMENT REGARDING BASIS FOR APPROVAL OF INVESTMENT ADVISORY CONTRACT
Statement Regarding Basis for Approval of Investment Advisory Contracts is included as part of the Financial Statements filed under Item 7 of this form.
ITEM 12 – DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES
Not applicable.
ITEM 13 – PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES
Not applicable.
ITEM 14 – PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT COMPANY AND AFFILIATED PURCHASERS
Not applicable.
ITEM 15 – SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
None.
ITEM 16 – CONTROLS AND PROCEDURES
(a) The registrant's principal executive officer and principal financial officer have concluded that the registrant's disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended) are effective (such disclosure controls and procedures having been evaluated within 90 days of the date of this filing).
(b) There have been no changes in the registrant’s internal controls over financial reporting (as defined in Rule 30a-3(d) under the Act (17 CFR 270.30a-3(d)) that occurred during the period covered by this report that have materially affected, or are reasonably likely to materially affect, the registrant’s internal control over financial reporting.
ITEM 17 – DISCLOSURE OF SECURITIES LENDING ACTIVITIES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES
Not applicable.
ITEM 18 – RECOVERY OF ERRONEOUSLY AWARDED COMPENSATION
(a) Not applicable.
(b) Not applicable.
ITEM 19 – EXHIBITS
(a)(1) Code of Ethics - Not applicable to semi-annual reports.
(a)(2) Certifications pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 attached hereto as Exhibit 99.CERT.
(b) Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 attached hereto as Exhibit 99.906CERT.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| (Registrant) | Principal Exchange-Traded Funds | |
| By | /s/ Kamal Bhatia | |
| | Kamal Bhatia, Director, President, and Chief Executive Officer (Principal Executive Officer) | |
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
| By | /s/ Kamal Bhatia | |
| | Kamal Bhatia, Director, President, and Chief Executive Officer (Principal Executive Officer) | |
| By | /s/ Michael Scholten | |
| | Michael Scholten, Chief Financial Officer (Principal Financial Officer) | |
