Principal Financial Group’s (PFG) defined contribution plan sponsor website has been ranked first for three consecutive quarters by DALBAR. Additionally, Principal’s defined contribution plan participant site was ranked in DALBAR’s top 10. DALBAR is one of the nation’s leading financial-services market research firms.

Principal has also launched iGoogle and text messaging features for its Retirement Plan participants. iGoogle is a personalized web page provided by Google Inc. (GOOG).

Principal is a leading provider of retirement savings, investment and insurance products and services and competes with companies such as Ameriprise Financial, Inc. (AMP), AXA (AXA) and Manulife Financial Corporation (MFC). The company primarily focuses on small and medium-sized businesses (usually companies with less than 1,000 employees).

Principal continues to take full advantage of important demographic shifts such as the aging baby boomer generation and extended life spans. These trends require innovative products that can meet the needs of a population whose health and longevity concerns meet the desire for wealth accumulation. At the same time, the company focuses on the younger generation who wants to get communicated electronically.

Principal has always focused on superior site functionality and has resorted to such innovative ways to provide better service to its clients along with its innovative product line up.

During the second quarter, Principal has experienced sequentially improved results at its three asset management and asset accumulation segments. Though the company’s earnings remained restricted in the recent past as a result of the turbulence in the equity market, we believe that the recent rebound in the equity market will provide some relief. Hence, we have a Neutral recommendation on its shares.