0000898745-12-000662.txt : 20120926 0000898745-12-000662.hdr.sgml : 20120926 20120926124756 ACCESSION NUMBER: 0000898745-12-000662 CONFORMED SUBMISSION TYPE: 497 PUBLIC DOCUMENT COUNT: 7 FILED AS OF DATE: 20120926 DATE AS OF CHANGE: 20120926 EFFECTIVENESS DATE: 20120926 FILER: COMPANY DATA: COMPANY CONFORMED NAME: PRINCIPAL FUNDS INC CENTRAL INDEX KEY: 0000898745 IRS NUMBER: 000000000 STATE OF INCORPORATION: MD FISCAL YEAR END: 1031 FILING VALUES: FORM TYPE: 497 SEC ACT: 1933 Act SEC FILE NUMBER: 033-59474 FILM NUMBER: 121110661 BUSINESS ADDRESS: STREET 1: 650 8TH STREET CITY: DES MOINES STATE: IA ZIP: 50392-2080 BUSINESS PHONE: 515-248-4745 MAIL ADDRESS: STREET 1: PRINCIPAL FINANCIAL GROUP CITY: DES MOINES STATE: IA ZIP: 50392 FORMER COMPANY: FORMER CONFORMED NAME: PRINCIPAL INVESTORS FUND INC DATE OF NAME CHANGE: 20001012 FORMER COMPANY: FORMER CONFORMED NAME: PRINCIPAL SPECIAL MARKETS FUND INC DATE OF NAME CHANGE: 19930714 0000898745 S000007015 LargeCap Growth Fund C000019163 Institutional Class PGLIX 0000898745 S000007017 LargeCap Value Fund C000019182 Institutional Class PVLIX 0000898745 S000007075 MidCap Blend Fund C000019315 Institutional Class PCBIX 0000898745 S000007077 LargeCap Growth Fund I C000019331 Institutional Class PLGIX 0000898745 S000007078 MidCap Growth Fund C000019340 Institutional Class PGWIX 0000898745 S000007080 MidCap Value Fund III C000019354 Institutional Class PVUIX 0000898745 S000007121 LargeCap Growth Fund II C000019455 Institutional Class PPIIX 0000898745 S000007122 LargeCap Value Fund III C000019463 Institutional Class PLVIX 0000898745 S000007123 LargeCap Value Fund I C000019472 Institutional Class PVPIX 0000898745 S000007125 MidCap Growth Fund III C000019484 Institutional Class PPIMX 0000898745 S000007169 SmallCap Value Fund II C000019589 Institutional Class PPVIX 0000898745 S000007173 MidCap Value Fund I C000019618 Institutional Class PVMIX 0000898745 S000007175 SmallCap Growth Fund I C000019630 Institutional Class PGRTX 0000898745 S000007176 SmallCap Growth Fund II C000019637 Institutional Class PSIIX 0000898745 S000007214 SmallCap Blend Fund C000019807 Institutional Class PSLIX 0000898745 S000014240 Equity Income Fund formerly Equity Income Fund I C000038747 Institutional Class PEIIX 0000898745 S000024296 Global Div Inc Fund C000071805 Institutional Class PGDIX 497 1 instlsupp-xbrl091412.htm XBRL PFI INSTITUTIONAL PROSPECTUS SUPP DTD 09/14/12 instlsupp-xbrl091412.htm - Generated by SEC Publisher for SEC Filing

 

September 26, 2012

 

Securities and Exchange Commission

 

Via EDGAR

 

Re:       Principal Funds, Inc.

File Nos. 033-59474, 811-07572

Interactive data files for previous 497 filing

 

Pursuant to Rule 497 under the Securities Act of 1933, as amended, Principal Funds, Inc. (“the Registrant”) is filing interactive data files that relate to the supplement the Registrant filed on September 14, 2012 (SEC Accession No. 0000898745-12-000616) and now is incorporating by reference.

 

 


 

 

Exhibit No.                                                                                     Exhibits

 

Ex-101.INS                                                        XBRL Instance Document

 

Ex-101.SCH                                                      XBRL Taxonomy Extension Schema Document

 

Ex-101.CAL                                                       XBRL Taxonomy Extension Calculations Linkbase Document

 

Ex-101.DEF                                                      XBRL Taxonomy Extension Definition Linkbase Document

 

Ex-101.LAB                                                       XBRL Taxonomy Extension Labels Linkbase Document

 

Ex-101.PRE                                                      XBRL Taxonomy Extension Presentation Linkbase Document

 

 

 

 


 
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<p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp;</font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>Supplement dated September 14, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>to the Institutional Class Shares Prospectus </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>for Principal Funds, Inc. </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>dated February 29, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:12.0pt;font-family: "Times New Roman","serif";color:black'>&nbsp; </font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:10.0pt;font-family: "Arial","sans-serif";color:black'>(as supplemented on March 16, 2012, April 9, 2012, April 20, 2012, June 15, 2012, and July 17, 2012) </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black'>This supplement updates information currently in the Prospectus. Retain this supplement with the Prospectus. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal;page-break-after: avoid"><b><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black;text-transform:uppercase'>FUND SUMMARIES </font></b></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> Under the Principal Investment Strategies heading, delete the paragraph and substitute: &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif";color:black'>Under normal circumstances, the Fund invests at least 80% of its net assets, plus any borrowings for investment purposes, in equity securities of companies with large market capitalizations (those with market capitalizations similar to companies in the Russell 1000 <sup>® </sup>Growth Index (as of December 31, 2011, this range was between approximately $117 million and $401.25 billion)) at the time of purchase. The Fund invests in growth equity securities; growth orientation emphasizes buying equity securities of companies whose potential for growth of capital and earnings is expected to be above average. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> PGLIX LargeCap Value Fund &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp;</font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>Supplement dated September 14, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>to the Institutional Class Shares Prospectus </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>for Principal Funds, Inc. </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>dated February 29, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:12.0pt;font-family: "Times New Roman","serif";color:black'>&nbsp; </font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:10.0pt;font-family: "Arial","sans-serif";color:black'>(as supplemented on March 16, 2012, April 9, 2012, April 20, 2012, June 15, 2012, and July 17, 2012) </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black'>This supplement updates information currently in the Prospectus. Retain this supplement with the Prospectus. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal;page-break-after: avoid"><b><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black;text-transform:uppercase'>FUND SUMMARIES </font></b></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> Under the Principal Investment Strategies heading, delete the paragraph and substitute: &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif";color:black'>Under normal circumstances, the Fund invests at least 80% of its net assets, plus any borrowings for investment purposes, in equity securities of companies with large market capitalizations (those with market capitalizations similar to companies in the Russell 1000 <sup>® </sup>Value Index, which as of December 31, 2011 ranged between approximately $117 million and $401.25 billion) at the time of purchase. The Fund invests in value equity securities, an investment strategy that emphasizes buying equity securities that appear to be undervalued. The Fund may actively trade portfolio securities. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> PVLIX MidCap Blend Fund &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp;</font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>Supplement dated September 14, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>to the Institutional Class Shares Prospectus </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>for Principal Funds, Inc. </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>dated February 29, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:12.0pt;font-family: "Times New Roman","serif";color:black'>&nbsp; </font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:10.0pt;font-family: "Arial","sans-serif";color:black'>(as supplemented on March 16, 2012, April 9, 2012, April 20, 2012, June 15, 2012, and July 17, 2012) </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black'>This supplement updates information currently in the Prospectus. Retain this supplement with the Prospectus. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal;page-break-after: avoid"><b><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black;text-transform:uppercase'>FUND SUMMARIES </font></b></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> Under the Principal Investment Strategies heading, delete the first paragraph and substitute: &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif";color:black'>Under normal circumstances, the Fund invests at least 80% of its net assets, plus any borrowings for investment purposes, in equity securities of companies with medium market capitalizations (those with market capitalizations similar to companies in the Russell Midcap <sup>® </sup>Index (as of December 31, 2011, this range was between approximately $117 million and $20.51 billion) at the time of purchase. The Fund may invest in foreign securities. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> PCBIX LargeCap Growth Fund I &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp;</font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>Supplement dated September 14, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>to the Institutional Class Shares Prospectus </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>for Principal Funds, Inc. </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>dated February 29, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:12.0pt;font-family: "Times New Roman","serif";color:black'>&nbsp; </font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:10.0pt;font-family: "Arial","sans-serif";color:black'>(as supplemented on March 16, 2012, April 9, 2012, April 20, 2012, June 15, 2012, and July 17, 2012) </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black'>This supplement updates information currently in the Prospectus. Retain this supplement with the Prospectus. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal;page-break-after: avoid"><b><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black;text-transform:uppercase'>FUND SUMMARIES </font></b></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> Under the Principal Investment Strategies heading, delete the first paragraph and substitute: &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:9.0pt;line-height:normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif";color:black'>Under normal circumstances, the Fund invests at least 80% of its net assets, plus any borrowings for investment purposes, in equity securities of companies with large market capitalizations (those with market capitalization ranges similar to the companies in the Russell 1000 <sup>® </sup>Growth Index (as of December 31, 2011, this range was between approximately $117 million and $401.25 billion)) at the time of purchase. The Fund invests in growth equity securities; growth orientation emphasizes buying equity securities of companies whose potential for growth of capital and earnings is expected to be above average. The Fund may also invest in securities of foreign companies. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> PLGIX MidCap Growth Fund &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp;</font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>Supplement dated September 14, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>to the Institutional Class Shares Prospectus </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>for Principal Funds, Inc. </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>dated February 29, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:12.0pt;font-family: "Times New Roman","serif";color:black'>&nbsp; </font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:10.0pt;font-family: "Arial","sans-serif";color:black'>(as supplemented on March 16, 2012, April 9, 2012, April 20, 2012, June 15, 2012, and July 17, 2012) </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black'>This supplement updates information currently in the Prospectus. Retain this supplement with the Prospectus. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal;page-break-after: avoid"><b><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black;text-transform:uppercase'>FUND SUMMARIES </font></b></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> Under the Principal Investment Strategies heading, delete the paragraph and substitute: &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif";color:black'>Under normal circumstances, the Fund invests at least 80% of its net assets, plus any borrowings for investment purposes, in equity securities of companies with medium market capitalizations (those with market capitalizations similar to companies in the Russell Midcap <sup>® </sup>Growth Index (as of December 31, 2011, this range was between approximately $117 million and $20.51 billion)) at the time of purchase. The Fund invests in growth equity securities; growth orientation emphasizes buying equity securities of companies whose potential for growth of capital and earnings is expected to be above average. The Fund may actively trade portfolio securities and invest its assets in the securities of foreign issuers. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> PGWIX MidCap Value Fund III &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp;</font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>Supplement dated September 14, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>to the Institutional Class Shares Prospectus </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>for Principal Funds, Inc. </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>dated February 29, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:12.0pt;font-family: "Times New Roman","serif";color:black'>&nbsp; </font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:10.0pt;font-family: "Arial","sans-serif";color:black'>(as supplemented on March 16, 2012, April 9, 2012, April 20, 2012, June 15, 2012, and July 17, 2012) </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black'>This supplement updates information currently in the Prospectus. Retain this supplement with the Prospectus. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal;page-break-after: avoid"><b><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black;text-transform:uppercase'>FUND SUMMARIES </font></b></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> Under the Principal Investment Strategies heading, delete the first paragraph and substitute: &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif";color:black'>Under normal circumstances, the Fund invests at least 80% of its net assets, plus any borrowings for investment purposes, in equity securities of companies with medium market capitalizations (those with market capitalizations similar to companies in the Russell Midcap <sup>® </sup>Value Index (as of December 31, 2011, this range was between approximately $117 million and $20.51 billion)) at the time of purchase. The Fund invests in value equity securities, an investment strategy that emphasizes buying equity securities that appear to be undervalued. The Fund may invest in real estate investment trusts. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> PVUIX LargeCap Growth Fund II &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp;</font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>Supplement dated September 14, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>to the Institutional Class Shares Prospectus </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>for Principal Funds, Inc. </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>dated February 29, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:12.0pt;font-family: "Times New Roman","serif";color:black'>&nbsp; </font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:10.0pt;font-family: "Arial","sans-serif";color:black'>(as supplemented on March 16, 2012, April 9, 2012, April 20, 2012, June 15, 2012, and July 17, 2012) </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black'>This supplement updates information currently in the Prospectus. Retain this supplement with the Prospectus. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal;page-break-after: avoid"><b><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black;text-transform:uppercase'>FUND SUMMARIES </font></b></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> Under the Principal Investment Strategies heading, delete the first paragraph and substitute: &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif";color:black'>Under normal circumstances, the Fund invests at least 80% of its net assets, plus any borrowings for investment purposes, in equity securities of companies with large market capitalizations (those with market capitalizations similar to companies in the Russell 1000 <sup>® </sup>Growth Index (as of December 31, 2011, the range was between approximately $117 million and $401.25 billion)) at the time of purchase. The Fund invests in growth equity securities; growth orientation emphasizes buying equity securities of companies whose potential for growth of capital and earnings is expected to be above average. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> PPIIX LargeCap Value Fund III &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp;</font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>Supplement dated September 14, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>to the Institutional Class Shares Prospectus </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>for Principal Funds, Inc. </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>dated February 29, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:12.0pt;font-family: "Times New Roman","serif";color:black'>&nbsp; </font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:10.0pt;font-family: "Arial","sans-serif";color:black'>(as supplemented on March 16, 2012, April 9, 2012, April 20, 2012, June 15, 2012, and July 17, 2012) </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black'>This supplement updates information currently in the Prospectus. Retain this supplement with the Prospectus. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal;page-break-after: avoid"><b><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black;text-transform:uppercase'>FUND SUMMARIES </font></b></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> Under the Principal Investment Strategies heading, delete the first paragraph and substitute: &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif";color:black'>Under normal circumstances, the Fund invests at least 80% of its net assets, plus any borrowings for investment purposes, in companies with large market capitalizations similar to companies in the Russell 1000 <sup>® </sup>Value Index (approximately $117 million to $401.25 billion as of December 31, 2011) at the time of purchase. The Fund invests in value equity securities, an investment strategy that emphasizes buying equity securities that appear to be undervalued. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> PLVIX LargeCap Value Fund I &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp;</font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>Supplement dated September 14, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>to the Institutional Class Shares Prospectus </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>for Principal Funds, Inc. </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>dated February 29, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:12.0pt;font-family: "Times New Roman","serif";color:black'>&nbsp; </font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:10.0pt;font-family: "Arial","sans-serif";color:black'>(as supplemented on March 16, 2012, April 9, 2012, April 20, 2012, June 15, 2012, and July 17, 2012) </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black'>This supplement updates information currently in the Prospectus. Retain this supplement with the Prospectus. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal;page-break-after: avoid"><b><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black;text-transform:uppercase'>FUND SUMMARIES </font></b></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> Under the Principal Investment Strategies heading, delete the first paragraph and substitute: &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif";color:black'>Under normal circumstances, the Fund invests at least 80% of its net assets, plus any borrowings for investment purposes, in securities of companies with large market capitalizations (those with market capitalizations similar to companies in the Russell 1000 <sup>® </sup>Value Index (as of December 31, 2011, this range was between approximately $117 million and $401.25 billion)) at the time of purchase. The Fund invests in value equity securities, an investment strategy that emphasizes buying equity securities that appear to be undervalued. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> PVPIX MidCap Growth Fund III &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp;</font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>Supplement dated September 14, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>to the Institutional Class Shares Prospectus </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>for Principal Funds, Inc. </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>dated February 29, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:12.0pt;font-family: "Times New Roman","serif";color:black'>&nbsp; </font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:10.0pt;font-family: "Arial","sans-serif";color:black'>(as supplemented on March 16, 2012, April 9, 2012, April 20, 2012, June 15, 2012, and July 17, 2012) </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black'>This supplement updates information currently in the Prospectus. Retain this supplement with the Prospectus. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal;page-break-after: avoid"><b><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black;text-transform:uppercase'>FUND SUMMARIES </font></b></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> Under the Principal Investment Strategies heading, delete the first paragraph and substitute: &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:8.0pt;line-height:normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif";color:black'>Under normal circumstances, the Fund invests at least 80% of its net assets, plus any borrowings for investment purposes, in equity securities of companies with medium market capitalizations (those with market capitalizations similar to companies in the Russell Midcap <sup>® </sup>Growth Index (as of December 31, 2011, this range was between approximately $117 million and $20.51 billion)) at the time of purchase. The Fund invests in growth equity securities; growth orientation emphasizes buying equity securities of companies whose potential for growth of capital and earnings is expected to be above average. The Fund may actively trade portfolio securities. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> PPIMX SmallCap Value Fund II &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp;</font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>Supplement dated September 14, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>to the Institutional Class Shares Prospectus </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>for Principal Funds, Inc. </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>dated February 29, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:12.0pt;font-family: "Times New Roman","serif";color:black'>&nbsp; </font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:10.0pt;font-family: "Arial","sans-serif";color:black'>(as supplemented on March 16, 2012, April 9, 2012, April 20, 2012, June 15, 2012, and July 17, 2012) </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black'>This supplement updates information currently in the Prospectus. Retain this supplement with the Prospectus. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal;page-break-after: avoid"><b><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black;text-transform:uppercase'>FUND SUMMARIES </font></b></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> Under the Principal Investment Strategies heading, delete the first paragraph and substitute: &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:8.0pt;line-height:normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif";color:black'>Under normal circumstances, the Fund invests at least 80% of its net assets, plus any borrowings for investment purposes, in equity securities of U.S. companies with small market capitalizations (those with market capitalizations similar to companies in the Russell 2000 <sup>® </sup>Value Index (as of December 31, 2011, this range was between approximately $20 million and $3.7 billion)) or in securities with market capitalizations of $3.5 billion or less at the time of purchase. The Fund invests in value equity securities, an investment strategy that emphasizes buying equity securities that appear to be undervalued. The Fund will also invest in real estate investment trusts. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> PPVIX MidCap Value Fund I &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp;</font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>Supplement dated September 14, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>to the Institutional Class Shares Prospectus </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>for Principal Funds, Inc. </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>dated February 29, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:12.0pt;font-family: "Times New Roman","serif";color:black'>&nbsp; </font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:10.0pt;font-family: "Arial","sans-serif";color:black'>(as supplemented on March 16, 2012, April 9, 2012, April 20, 2012, June 15, 2012, and July 17, 2012) </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black'>This supplement updates information currently in the Prospectus. Retain this supplement with the Prospectus. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal;page-break-after: avoid"><b><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black;text-transform:uppercase'>FUND SUMMARIES </font></b></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> Under the Principal Investment Strategies heading, delete the first paragraph and substitute: &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif";color:black'>Under normal circumstances, the Fund invests at least 80% of its net assets, plus any borrowings for investment purposes, in a diversified portfolio of equity securities of companies with a medium market capitalization (those with market capitalizations similar to companies in the Russell Midcap <sup>® </sup>Value Index (as of December 31, 2011, the range was between approximately $117 million and $20.51 billion)) at the time of purchase. The Fund invests in value equity securities, an investment strategy that emphasizes buying equity securities that appear to be undervalued. The Fund will also invest in real estate investment trusts. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> PVMIX SmallCap Growth Fund I &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp;</font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>Supplement dated September 14, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>to the Institutional Class Shares Prospectus </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>for Principal Funds, Inc. </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>dated February 29, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:12.0pt;font-family: "Times New Roman","serif";color:black'>&nbsp; </font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:10.0pt;font-family: "Arial","sans-serif";color:black'>(as supplemented on March 16, 2012, April 9, 2012, April 20, 2012, June 15, 2012, and July 17, 2012) </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black'>This supplement updates information currently in the Prospectus. Retain this supplement with the Prospectus. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal;page-break-after: avoid"><b><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black;text-transform:uppercase'>FUND SUMMARIES </font></b></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> Under the Principal Investment Strategies heading, delete the first paragraph and substitute: &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif";color:black'>Under normal circumstances, the Fund invests at least 80% of its net assets, plus any borrowings for investment purposes, in equity securities of companies with small market capitalizations (those with market capitalizations equal to or smaller than the greater of: 1) $4.0 billion or 2) the highest market capitalization of the companies in the Russell 2000 <sup>® </sup>Growth Index (as of December 31, 2011, the range was between approximately $23 million and $3.7 billion)) at the time of purchase. The Fund invests in growth equity securities; growth orientation emphasizes buying equity securities of companies whose potential for growth of capital and earnings is expected to be above average. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> PGRTX SmallCap Growth Fund II &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp;</font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>Supplement dated September 14, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>to the Institutional Class Shares Prospectus </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>for Principal Funds, Inc. </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>dated February 29, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:12.0pt;font-family: "Times New Roman","serif";color:black'>&nbsp; </font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:10.0pt;font-family: "Arial","sans-serif";color:black'>(as supplemented on March 16, 2012, April 9, 2012, April 20, 2012, June 15, 2012, and July 17, 2012) </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black'>This supplement updates information currently in the Prospectus. Retain this supplement with the Prospectus. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal;page-break-after: avoid"><b><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black;text-transform:uppercase'>FUND SUMMARIES </font></b></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> Under the Principal Investment Strategies heading, delete the first paragraph and substitute: &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif";color:black'>Under normal circumstances, the Fund invests at least 80% of its net assets, plus any borrowings for investment purposes, in equity securities of companies with small market capitalizations (those with market capitalizations equal to or smaller than the greater of 1) $2.5 billion or 2) the highest market capitalization of the companies in the Russell 2000 <sup>® </sup>Growth Index (as of December 31, 2011, this range was between approximately $23 million and $3.7 billion)) at the time of purchase. The Fund invests in growth equity securities; growth orientation emphasizes buying equity securities of companies whose potential for growth of capital and earnings is expected to be above average. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> PSIIX SmallCap Blend Fund &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp;</font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>Supplement dated September 14, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>to the Institutional Class Shares Prospectus </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>for Principal Funds, Inc. </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>dated February 29, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:12.0pt;font-family: "Times New Roman","serif";color:black'>&nbsp; </font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:10.0pt;font-family: "Arial","sans-serif";color:black'>(as supplemented on March 16, 2012, April 9, 2012, April 20, 2012, June 15, 2012, and July 17, 2012) </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black'>This supplement updates information currently in the Prospectus. Retain this supplement with the Prospectus. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal;page-break-after: avoid"><b><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black;text-transform:uppercase'>FUND SUMMARIES </font></b></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> Under the Principal Investment Strategies heading, delete the first paragraph and substitute: &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif";color:black'>Under normal circumstances, the Fund invests at least 80% of its net assets, plus any borrowings for investment purposes, in equity securities of companies with small market capitalizations (those with market capitalizations similar to companies in the Russell 2000 <sup>® </sup>Index (as of December 31, 2011, this range was between approximately $20 million and $3.7 billion)) at the time of purchase. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> PSLIX Equity Income Fund &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp;</font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>Supplement dated September 14, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>to the Institutional Class Shares Prospectus </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>for Principal Funds, Inc. </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>dated February 29, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:12.0pt;font-family: "Times New Roman","serif";color:black'>&nbsp; </font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:10.0pt;font-family: "Arial","sans-serif";color:black'>(as supplemented on March 16, 2012, April 9, 2012, April 20, 2012, June 15, 2012, and July 17, 2012) </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black'>This supplement updates information currently in the Prospectus. Retain this supplement with the Prospectus. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal;page-break-after: avoid"><b><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black;text-transform:uppercase'>FUND SUMMARIES </font></b></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> Under the Principal Investment Strategies heading, delete the paragraph and substitute: &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif";color:black'>Under normal circumstances, the Fund invests at least 80% of its net assets, plus any borrowings for investment purposes, in dividend-paying equity securities. The Fund usually invests in equity securities of companies with large market capitalizations (those included in the S&amp;P 500 Index, which as of December 31, 2011 ranged between $1.57 billion and $401.25 billion), but may also invest in equity securities of companies with medium market capitalizations (those included in the Russell Midcap <sup>® </sup>Index, which as of December 31, 2011 ranged between $117 million and $20.51 billion). The Fund invests in value equity securities, an investment strategy that emphasizes buying equity securities that appear to be undervalued. The Fund will also invest in real estate investment trusts and securities of foreign issuers. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> PEIIX Global Diversified Income Fund &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp;</font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>Supplement dated September 14, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>to the Institutional Class Shares Prospectus </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>for Principal Funds, Inc. </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><b><font style='font-family:"Arial","sans-serif"; color:black'>dated February 29, 2012 </font></b></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:12.0pt;font-family: "Times New Roman","serif";color:black'>&nbsp; </font></p> <p class="MsoNormal" align="center" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt; text-align:center;line-height:normal"><font style='font-size:10.0pt;font-family: "Arial","sans-serif";color:black'>(as supplemented on March 16, 2012, April 9, 2012, April 20, 2012, June 15, 2012, and July 17, 2012) </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black'>This supplement updates information currently in the Prospectus. Retain this supplement with the Prospectus. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:12.0pt;font-family:"Times New Roman","serif"; color:black'>&nbsp; </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal;page-break-after: avoid"><b><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black;text-transform:uppercase'>FUND SUMMARIES </font></b></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:8.0pt;line-height:normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black'>On September 11, 2012, the Board of Directors of Principal Funds, Inc. approved the hiring of Post Advisory Group, Inc. (“Post”) as sub-advisor for the Global Diversified Income Fund. The proposal to hire Post will be submitted for shareholder vote at a Special Meeting of Shareholders of Global Diversified Income Fund tentatively scheduled for December 11, 2012. Additional information about this proposal will be provided in the Proxy Statement that is expected to be mailed to record date shareholders of Global Diversified Income Fund in October 2012. If shareholders approve this proposal, Post is expected to begin managing Global Diversified Income Fund assets in January 2013. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> Under the Principal Investment Strategies heading, delete the fourth paragraph and substitute: &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:8.0pt;line-height:normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif";color:black'>The Fund may also write (or sell) call options by using equity index/exchange traded fund (“ETF”) call options on the indices represented by certain asset categories of the Fund, including global real estate, global value equity, MLPs, and publicly-traded infrastructure. Call option overwriting is an investment strategy that is used to generate income through receipt of the call option premium and reduce portfolio volatility. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><font style='font-size:8.0pt;font-family:"Arial","sans-serif"; color:black'>Under the Principal Investment Strategies<b> </b>heading, delete the fifth paragraph and substitute: </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:12.0pt;line-height:normal"><font style='font-size:10.0pt;font-family:"Arial","sans-serif";color:black'>A portion of the Fund's assets may be invested in high yield and other income-producing securities including bank loans, corporate bonds, corporate loan participations and assignments, and securities of companies in bankruptcy proceedings or otherwise in the process of debt restructuring. &quot;High yield&quot; securities are commonly known as &quot;junk bonds&quot; and are rated at the time of purchase Ba1 or lower by Moody's Investor Service, Inc. (&quot;Moody's&quot;) or BB+ or lower by Standard &amp; Poor's Rating Service (&quot;S&amp;P&quot;). These securities offer a higher yield than other, higher rated securities, but they carry a greater degree of risk and are considered speculative with respect to the issuer's ability to pay interest and to repay principal. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> Under the Principal Risks heading, add: &nbsp; <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;font-size:11.0pt;font-family:'calibri','sans-serif';margin-bottom:0in;margin-bottom:.0001pt;line-height: normal"><b><font style='font-size:10.0pt;font-family:"Arial","sans-serif"; color:black'>Bank Loans Risk. </font></b><font style='font-size:10.0pt; font-family:"Arial","sans-serif";color:black'>Changes in economic conditions are likely to cause issuers of bank loans (also known as senior floating rate interests) to be unable to meet their obligations. In addition, the value of the collateral securing the loan may decline, causing a loan to be substantially unsecured. Underlying credit agreements governing the bank loans, reliance on market makers, priority of repayment and overall market volatility may harm the liquidity of loans. </font></p> <p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-left:0in;margin-bottom:10.0pt;line-height:115%;font-size:11.0pt;font-family:'calibri','sans-serif';">&nbsp;</p> PGDIX EX-101.SCH 3 ck0000898745-20120914.xsd XBRL SCHEMA FILE 0011 - Document - Document And Entity Information {Elements} link:calculationLink link:presentationLink link:definitionLink 010005 - Document - Risk/Return Summary {Unlabeled} (LargeCap Growth Fund (Prospectus Summary):) link:presentationLink link:calculationLink link:definitionLink 010010 - Schedule - Shareholder Fees link:presentationLink link:calculationLink link:definitionLink 010015 - Schedule - Annual Fund Operating Expenses link:presentationLink link:calculationLink link:definitionLink 010020 - Schedule - Expense Example {Transposed} link:presentationLink link:calculationLink link:definitionLink 010025 - 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