N-CSRS 1 primary-document.htm
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
 

FORM N-CSR

 

CERTIFIED SHAREHOLDER REPORT OF REGISTERED

MANAGEMENT INVESTMENT COMPANIES
 
 
 Investment Company Act file number
 811-01944
 
Principal Variable Contracts Funds, Inc.
(Exact name of registrant as specified in charter)
 
801 Grand Avenue, Des Moines, IA 50309
(Address of principal executive offices)                                                         (Zip code)
 
Principal Global Investors, LLC, 801 Grand Avenue, Des Moines, IA 50309
(Name and address of agent for service)
                                                                                               
Registrant’s telephone number, including area code:
515-248-0156
 
Date of fiscal year end:
December 31, 2019
 
Date of reporting period:
June 30, 2019
 

ITEM 1 – REPORT TO STOCKHOLDERS
 
Principal
Variable
Contracts
Funds,
Inc.
Semiannual
Report
June
30
,
2019
Beginning
on
January
1,
2021,
as
permitted
by
regulations
adopted
by
the
Securities
and
Exchange
Commission,
you
may
not
be
receiving
paper
copies
of
the
Fund’s
shareholder
reports
from
the
insurance
company
that
offers
your
contract
unless
you
specifically
request
paper
copies
from
the
insurance
company
or
from
your
financial
intermediary.
Instead,
the
shareholder
reports
will
be
made
available
on
a
website,
and
the
insurance
company
will
notify
you
by
mail
each
time
a
report
is
posted
and
provide
you
with
a
website
link
to
access
the
report.
Instructions
for
requesting
paper
copies
will
be
provided
by
your
insurance
company.
If
you
already
elected
to
receive
shareholder
reports
electronically,
you
will
not
be
affected
by
this
change
and
you
need
not
take
any
action.
You
may
elect
to
receive
shareholder
reports
and
other
communications
from
the
insurance
company
electronically
by
following
the
instructions
provided
by
the
insurance
company.
You
may
elect
to
receive
all
future
reports
in
paper
free
of
charge
from
the
insurance
company.
You
can
inform
the
insurance
company
that
you
wish
to
continue
receiving
paper
copies
of
your
shareholder
reports
by
calling
1-800-247-
9988
if
you
have
a
life
insurance
policy
or
1-800-852-4450
if
you
have
an
annuity.
Your
election
to
receive
reports
in
paper
will
apply
to
all
portfolio
companies
available
under
your
contract.
Sign
up
for
eDelivery!
Safe,
secure
and
ready
when
you
are,
sign
up
for
eDelivery
today.
Two
ways
to
sign
up
(some
restrictions
may
apply):
Visit
Principal.com
>
Log
in,
select
“My
Profile”,
then
select
“Manage
Subscriptions
and
Delivery
Preferences”
Telephone:
>
Call
us
at
1-800-247-9988
if
you
have
a
life
insurance
policy
or
1-800-852-4450
if
you
have
an
annuity.
Table
of
Contents
Not
FDIC
or
NCUA
insured
May
lose
value
•
Not
a
deposit
•
No
bank
or
credit
union
guarantee
Not
insured
by
any
Federal
government
agency
Financial
Statements
1
Notes
to
Financial
Statements
40
Schedules
of
Investments
65
Financial
Highlights
(Includes
performance
information)
202
Shareholder
Expense
Example
222
Supplemental
Information
226
Statements
of
Assets
and
Liabilities
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
1
See
accompanying
notes.
Amounts
in
thousands,
except
per
share
amounts
Bond
Market
Index
Account
Core
Plus
Bond
Account
Diversified
Balanced
Account
Investment
in
securities--at
cost
..........................................................
$
2,263,159‌
$
320,094‌
$
7‌
Investment
in
affiliated
securities--at
cost
................................................
$
132,771‌
$
14,059‌
$
787,515‌
Assets
Investment
in
securities--at
value 
..........................................................
$
2,331,578‌
$
326,580‌
(a)
$
2‌
Investment
in
affiliated
securities--at
value
.................................................
132,771‌
14,059‌
1,047,551‌
Cash
.........................................................................................
835‌
63‌
–‌
Deposits
with
counterparty
..................................................................
–‌
9‌
–‌
Receivables:
Dividends
and
interest
.................................................................
14,347‌
2,200‌
–‌
Expense
reimbursement
from
Manager
...............................................
200‌
–‌
–‌
Fund
shares
sold
.......................................................................
2,635‌
170‌
30‌
Investment
securities
sold
.............................................................
123,559‌
6,058‌
789‌
Variation
margin
on
futures
...........................................................
–‌
1‌
–‌
Total
Assets  
2,605,925‌
349,140‌
1,048,372‌
Liabilities
Accrued
management
and
investment
advisory
fees
........................................
500‌
115‌
43‌
Accrued
distribution
fees
....................................................................
–‌
–‌
205‌
Accrued
directors'
expenses
.................................................................
11‌
2‌
6‌
Accrued
other
expenses
.....................................................................
13‌
10‌
5‌
Deposits
from
counterparty
.................................................................
428‌
–‌
–‌
Payables:
Dividends
and
interest
on
securities
sold
short
.......................................
3‌
–‌
–‌
Fund
shares
redeemed
.................................................................
1,058‌
69‌
819‌
Investment
securities
purchased
......................................................
123,289‌
26,360‌
–‌
Variation
margin
on
futures
...........................................................
–‌
4‌
–‌
Collateral
obligation
on
securities
loaned,
at
value
.........................................
–‌
758‌
–‌
Total
Liabilities  
125,302‌
27,318‌
1,078‌
Net
Assets
Applicable
to
Outstanding
Shares
............................................
$
2,480,623‌
$
321,822‌
$
1,047,294‌
Net
Assets
Consist
of:
Capital
shares
and
additional
paid-in-capital
...............................................
$
2,347,740‌
$
308,307‌
$
715,432‌
Total
distributable
earnings
(accumulated
loss)
.............................................
132,883‌
13,515‌
331,862‌
Total
Net
Assets 
$
2,480,623‌
$
321,822‌
$
1,047,294‌
Capital
Stock
(par
value:
$.01
per
share):
Shares
authorized
............................................................................
300,000‌
400,000‌
450,000‌
Net
Asset
Value
Per
Share:
Class
1
:
Net
Assets
..........................................................................
$
2,480,623‌
$
321,822‌
$
39,491‌
Shares
issued
and
outstanding
........................................................
230,587‌
27,788‌
2,377‌
Net
Asset
Value
per
share
.............................................................
$
10.76‌
$
11.58‌
$
16.61‌
Class
2
:
Net
Assets
..........................................................................
N/A‌
N/A‌
$
1,007,803‌
Shares
issued
and
outstanding
........................................................
60,670‌
Net
Asset
Value
per
share
.............................................................
$
16.61‌
(a)
Includes
fair
market
value
of
securities
loaned,
see
"Securities
Lending"
in
Notes
to
Financial
Statements.
Statements
of
Assets
and
Liabilities
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
2
See
accompanying
notes.
Amounts
in
thousands,
except
per
share
amounts
Diversified
Balanced
Managed
Volatility
Account
Diversified
Balanced
Volatility
Control
Account
Diversified
Growth
Account
Investment
in
securities--at
cost
..........................................................
$
–‌
$
17,729‌
$
–‌
Investment
in
affiliated
securities--at
cost
................................................
$
152,826‌
$
72,901‌
$
2,806,238‌
Assets
Investment
in
securities--at
value 
..........................................................
$
–‌
$
18,712‌
$
–‌
Investment
in
affiliated
securities--at
value
.................................................
174,317‌
75,906‌
3,767,075‌
Receivables:
Dividends
and
interest
.................................................................
–‌
2‌
–‌
Fund
shares
sold
.......................................................................
4‌
777‌
166‌
Investment
securities
sold
.............................................................
131‌
21‌
1,672‌
Total
Assets  
174,452‌
95,418‌
3,768,913‌
Liabilities
Accrued
management
and
investment
advisory
fees
........................................
7‌
9‌
153‌
Accrued
distribution
fees
....................................................................
35‌
19‌
764‌
Accrued
chief
compliance
officer
fees
......................................................
–‌
–‌
1‌
Accrued
directors'
expenses
.................................................................
2‌
1‌
17‌
Accrued
other
expenses
.....................................................................
5‌
4‌
5‌
Deposits
from
counterparty
.................................................................
–‌
–‌
–‌
Payables:
Fund
shares
redeemed
.................................................................
135‌
–‌
1,838‌
Investment
securities
purchased
......................................................
–‌
710‌
–‌
Total
Liabilities  
184‌
743‌
2,778‌
Net
Assets
Applicable
to
Outstanding
Shares
............................................
$
174,268‌
$
94,675‌
$
3,766,135‌
Net
Assets
Consist
of:
Capital
shares
and
additional
paid-in-capital
...............................................
$
146,821‌
$
89,090‌
$
2,589,909‌
Total
distributable
earnings
(accumulated
loss)
.............................................
27,447‌
5,585‌
1,176,226‌
Total
Net
Assets 
$
174,268‌
$
94,675‌
$
3,766,135‌
Capital
Stock
(par
value:
$.01
per
share):
Shares
authorized
............................................................................
200,000‌
200,000‌
300,000‌
Net
Asset
Value
Per
Share:
Class
2
:
Net
Assets
..........................................................................
$
174,268‌
$
94,675‌
$
3,766,135‌
Shares
issued
and
outstanding
........................................................
13,825‌
8,383‌
204,073‌
Net
Asset
Value
per
share
.............................................................
$
12.61‌
$
11.29‌
$
18.45‌
Statements
of
Assets
and
Liabilities
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
3
See
accompanying
notes.
Amounts
in
thousands,
except
per
share
amounts
Diversified
Growth
Managed
Volatility
Account
Diversified
Growth
Volatility
Control
Account
Diversified
Income
Account
Investment
in
securities--at
cost
..........................................................
$
–‌
$
103,070‌
$
–‌
Investment
in
affiliated
securities--at
cost
................................................
$
301,872‌
$
422,971‌
$
226,882‌
Assets
Investment
in
securities--at
value 
..........................................................
$
–‌
$
108,633‌
$
–‌
Investment
in
affiliated
securities--at
value
.................................................
352,546‌
439,944‌
263,211‌
Receivables:
Dividends
and
interest
.................................................................
–‌
11‌
–‌
Fund
shares
sold
.......................................................................
53‌
6,137‌
275‌
Investment
securities
sold
.............................................................
32‌
–‌
–‌
Total
Assets  
352,631‌
554,725‌
263,486‌
Liabilities
Accrued
management
and
investment
advisory
fees
........................................
14‌
52‌
11‌
Accrued
distribution
fees
....................................................................
71‌
108‌
53‌
Accrued
directors'
expenses
.................................................................
3‌
3‌
2‌
Accrued
other
expenses
.....................................................................
5‌
1‌
4‌
Deposits
from
counterparty
.................................................................
–‌
–‌
–‌
Payables:
Fund
shares
redeemed
.................................................................
85‌
–‌
232‌
Investment
securities
purchased
......................................................
–‌
5,232‌
44‌
Total
Liabilities  
178‌
5,396‌
346‌
Net
Assets
Applicable
to
Outstanding
Shares
............................................
$
352,453‌
$
549,329‌
$
263,140‌
Net
Assets
Consist
of:
Capital
shares
and
additional
paid-in-capital
...............................................
$
289,713‌
$
517,834‌
$
216,407‌
Total
distributable
earnings
(accumulated
loss)
.............................................
62,740‌
31,495‌
46,733‌
Total
Net
Assets 
$
352,453‌
$
549,329‌
$
263,140‌
Capital
Stock
(par
value:
$.01
per
share):
Shares
authorized
............................................................................
200,000‌
200,000‌
50,000‌
Net
Asset
Value
Per
Share:
Class
2
:
Net
Assets
..........................................................................
$
352,453‌
$
549,329‌
$
263,140‌
Shares
issued
and
outstanding
........................................................
26,947‌
47,917‌
19,218‌
Net
Asset
Value
per
share
.............................................................
$
13.08‌
$
11.46‌
$
13.69‌
Statements
of
Assets
and
Liabilities
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
4
See
accompanying
notes.
Amounts
in
thousands,
except
per
share
amounts
Diversified
International
Account
Equity
Income
Account
Government
&
High
Quality
Bond
Account
Investment
in
securities--at
cost
..........................................................
$
221,877‌
$
449,808‌
$
217,829‌
Investment
in
affiliated
securities--at
cost
................................................
$
1,286‌
$
11,977‌
$
6,172‌
Foreign
currency--at
cost
..................................................................
$
210‌
$
–‌
$
–‌
Assets
Investment
in
securities--at
value 
..........................................................
$
257,827‌
(a)
$
718,277‌
$
217,943‌
Investment
in
affiliated
securities--at
value
.................................................
1,286‌
11,977‌
6,172‌
Foreign
currency--at
value
..................................................................
210‌
–‌
–‌
Cash
.........................................................................................
5‌
116‌
41‌
Receivables:
Dividends
and
interest
.................................................................
1,242‌
1,523‌
898‌
Fund
shares
sold
.......................................................................
52‌
119‌
10‌
Investment
securities
sold
.............................................................
4,018‌
1,634‌
–‌
Total
Assets  
264,640‌
733,646‌
225,064‌
Liabilities
Accrued
management
and
investment
advisory
fees
........................................
178‌
278‌
92‌
Accrued
distribution
fees
....................................................................
–‌
6‌
–‌
Accrued
directors'
expenses
.................................................................
2‌
5‌
2‌
Accrued
other
expenses
.....................................................................
37‌
47‌
5‌
Deposits
from
counterparty
.................................................................
–‌
–‌
–‌
Payables:
Fund
shares
redeemed
.................................................................
327‌
320‌
50‌
Investment
securities
purchased
......................................................
4,289‌
285‌
–‌
Collateral
obligation
on
securities
loaned,
at
value
.........................................
392‌
–‌
–‌
Total
Liabilities  
5,225‌
941‌
149‌
Net
Assets
Applicable
to
Outstanding
Shares
............................................
$
259,415‌
$
732,705‌
$
224,915‌
Net
Assets
Consist
of:
Capital
shares
and
additional
paid-in-capital
...............................................
$
205,822‌
$
405,857‌
$
224,881‌
Total
distributable
earnings
(accumulated
loss)
.............................................
53,593‌
326,848‌
34‌
Total
Net
Assets 
$
259,415‌
$
732,705‌
$
224,915‌
Capital
Stock
(par
value:
$.01
per
share):
Shares
authorized
............................................................................
300,000‌
200,000‌
200,000‌
Net
Asset
Value
Per
Share:
Class
1
:
Net
Assets
..........................................................................
$
259,415‌
$
704,246‌
$
224,915‌
Shares
issued
and
outstanding
........................................................
16,476‌
26,316‌
22,740‌
Net
Asset
Value
per
share
.............................................................
$
15.74‌
$
26.76‌
$
9.89‌
Class
2
:
Net
Assets
..........................................................................
N/A‌
$
28,459‌
N/A‌
Shares
issued
and
outstanding
........................................................
1,074‌
Net
Asset
Value
per
share
.............................................................
$
26.49‌
(a)
Includes
fair
market
value
of
securities
loaned,
see
"Securities
Lending"
in
Notes
to
Financial
Statements.
Statements
of
Assets
and
Liabilities
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
5
See
accompanying
notes.
Amounts
in
thousands,
except
per
share
amounts
International
Emerging
Markets
Account
LargeCap
Growth
Account
I
LargeCap
S&P
500
Index
Account
Investment
in
securities--at
cost
..........................................................
$
80,395‌
$
325,707‌
$
1,567,957‌
Investment
in
affiliated
securities--at
cost
................................................
$
1,262‌
$
8,691‌
$
9,712‌
Foreign
currency--at
cost
..................................................................
$
31‌
$
–‌
$
–‌
Assets
Investment
in
securities--at
value 
..........................................................
$
89,610‌
$
466,814‌
(a)
$
2,572,358‌
Investment
in
affiliated
securities--at
value
.................................................
1,262‌
8,731‌
9,712‌
Foreign
currency--at
value
..................................................................
31‌
–‌
–‌
Cash
.........................................................................................
5‌
70‌
–‌
Deposits
with
counterparty
..................................................................
–‌
126‌
–‌
Receivables:
Dividends
and
interest
.................................................................
334‌
150‌
2,166‌
Expense
reimbursement
from
Manager
...............................................
15‌
8‌
–‌
Fund
shares
sold
.......................................................................
23‌
40‌
1,907‌
Investment
securities
sold
.............................................................
289‌
9,739‌
–‌
Variation
margin
on
futures
...........................................................
–‌
12‌
43‌
Total
Assets  
91,569‌
485,690‌
2,586,186‌
Liabilities
Accrued
management
and
investment
advisory
fees
........................................
90‌
254‌
524‌
Accrued
distribution
fees
....................................................................
–‌
–‌
2‌
Accrued
directors'
expenses
.................................................................
2‌
2‌
13‌
Accrued
other
expenses
.....................................................................
18‌
29‌
21‌
Deposits
from
counterparty
.................................................................
–‌
–‌
–‌
Payables:
Fund
shares
redeemed
.................................................................
29‌
306‌
1,144‌
Investment
securities
purchased
......................................................
494‌
9,768‌
1,273‌
Collateral
obligation
on
securities
loaned,
at
value
.........................................
–‌
1,143‌
–‌
Total
Liabilities  
633‌
11,502‌
2,977‌
Net
Assets
Applicable
to
Outstanding
Shares
............................................
$
90,936‌
$
474,188‌
$
2,583,209‌
Net
Assets
Consist
of:
Capital
shares
and
additional
paid-in-capital
...............................................
$
78,238‌
$
281,858‌
$
1,310,240‌
Total
distributable
earnings
(accumulated
loss)
.............................................
12,698‌
192,330‌
1,272,969‌
Total
Net
Assets 
$
90,936‌
$
474,188‌
$
2,583,209‌
Capital
Stock
(par
value:
$.01
per
share):
Shares
authorized
............................................................................
200,000‌
200,000‌
300,000‌
Net
Asset
Value
Per
Share:
Class
1
:
Net
Assets
..........................................................................
$
90,936‌
$
474,188‌
$
2,572,922‌
Shares
issued
and
outstanding
........................................................
5,459‌
12,882‌
132,649‌
Net
Asset
Value
per
share
.............................................................
$
16.66‌
$
36.81‌
$
19.40‌
Class
2
:
Net
Assets
..........................................................................
N/A‌
N/A‌
$
10,287‌
Shares
issued
and
outstanding
........................................................
535‌
Net
Asset
Value
per
share
.............................................................
$
19.20‌
(a)
Includes
fair
market
value
of
securities
loaned,
see
"Securities
Lending"
in
Notes
to
Financial
Statements.
Statements
of
Assets
and
Liabilities
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
6
See
accompanying
notes.
Amounts
in
thousands,
except
per
share
amounts
LargeCap
S&P
500
Managed
Volatility
Index
Account
MidCap
Account
Principal
Capital
Appreciation
Account
Investment
in
securities--at
cost
..........................................................
$
148,755‌
$
382,610‌
$
91,590‌
Investment
in
affiliated
securities--at
cost
................................................
$
12,477‌
$
1,415‌
$
2,357‌
Assets
Investment
in
securities--at
value 
..........................................................
$
206,874‌
$
594,510‌
(a)
$
150,762‌
Investment
in
affiliated
securities--at
value
.................................................
12,477‌
1,415‌
2,357‌
Cash
.........................................................................................
–‌
230‌
–‌
Receivables:
Dividends
and
interest
.................................................................
194‌
288‌
157‌
Fund
shares
sold
.......................................................................
–‌
24‌
22‌
Investment
securities
sold
.............................................................
–‌
–‌
294‌
Variation
margin
on
futures
...........................................................
10‌
–‌
–‌
Total
Assets  
219,555‌
596,467‌
153,592‌
Liabilities
Accrued
management
and
investment
advisory
fees
........................................
80‌
257‌
79‌
Accrued
distribution
fees
....................................................................
–‌
4‌
2‌
Accrued
directors'
expenses
.................................................................
2‌
4‌
2‌
Accrued
other
expenses
.....................................................................
4‌
11‌
9‌
Cash
overdraft
...............................................................................
3‌
–‌
–‌
Deposits
from
counterparty
.................................................................
–‌
–‌
–‌
Payables:
Fund
shares
redeemed
.................................................................
60‌
348‌
65‌
Investment
securities
purchased
......................................................
102‌
355‌
520‌
Options
and
swaptions
contracts
written
 (premiums
received
$
493
,
$
0
and
$
0
)
.....
434‌
–‌
–‌
Collateral
obligation
on
securities
loaned,
at
value
.........................................
–‌
1,183‌
–‌
Total
Liabilities  
685‌
2,162‌
677‌
Net
Assets
Applicable
to
Outstanding
Shares
............................................
$
218,870‌
$
594,305‌
$
152,915‌
Net
Assets
Consist
of:
Capital
shares
and
additional
paid-in-capital
...............................................
$
153,293‌
$
268,766‌
$
71,126‌
Total
distributable
earnings
(accumulated
loss)
.............................................
65,577‌
325,539‌
81,789‌
Total
Net
Assets 
$
218,870‌
$
594,305‌
$
152,915‌
Capital
Stock
(par
value:
$.01
per
share):
Shares
authorized
............................................................................
100,000‌
105,000‌
200,000‌
Net
Asset
Value
Per
Share:
Class
1
:
Net
Assets
..........................................................................
$
218,870‌
$
574,637‌
$
142,163‌
Shares
issued
and
outstanding
........................................................
14,677‌
9,084‌
4,605‌
Net
Asset
Value
per
share
.............................................................
$
14.91‌
$
63.26‌
$
30.87‌
Class
2
:
Net
Assets
..........................................................................
N/A‌
$
19,668‌
$
10,752‌
Shares
issued
and
outstanding
........................................................
313‌
353‌
Net
Asset
Value
per
share
.............................................................
$
62.73‌
$
30.49‌
(a)
Includes
fair
market
value
of
securities
loaned,
see
"Securities
Lending"
in
Notes
to
Financial
Statements.
Statements
of
Assets
and
Liabilities
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
7
See
accompanying
notes.
Amounts
in
thousands,
except
per
share
amounts
Principal
LifeTime
2010
Account
Principal
LifeTime
2020
Account
Principal
LifeTime
2030
Account
Investment
in
affiliated
securities--at
cost
................................................
$
29,943‌
$
174,570‌
$
151,612‌
Assets
Investment
in
affiliated
securities--at
value
.................................................
$
32,343‌
$
192,283‌
$
167,105‌
Receivables:
Dividends
and
interest
.................................................................
12‌
32‌
–‌
Fund
shares
sold
.......................................................................
2‌
370‌
296‌
Investment
securities
sold
.............................................................
8‌
–‌
11‌
Total
Assets  
32,365‌
192,685‌
167,412‌
Liabilities
Accrued
directors'
expenses
.................................................................
1‌
2‌
2‌
Accrued
professional
fees
...................................................................
4‌
–‌
–‌
Accrued
other
expenses
.....................................................................
–‌
5‌
5‌
Deposits
from
counterparty
.................................................................
–‌
–‌
–‌
Payables:
Fund
shares
redeemed
.................................................................
10‌
29‌
306‌
Investment
securities
purchased
......................................................
12‌
373‌
–‌
Total
Liabilities  
27‌
409‌
313‌
Net
Assets
Applicable
to
Outstanding
Shares
............................................
$
32,338‌
$
192,276‌
$
167,099‌
Net
Assets
Consist
of:
Capital
shares
and
additional
paid-in-capital
...............................................
$
27,122‌
$
161,551‌
$
139,466‌
Total
distributable
earnings
(accumulated
loss)
.............................................
5,216‌
30,725‌
27,633‌
Total
Net
Assets 
$
32,338‌
$
192,276‌
$
167,099‌
Capital
Stock
(par
value:
$.01
per
share):
Shares
authorized
............................................................................
100,000‌
200,000‌
200,000‌
Net
Asset
Value
Per
Share:
Class
1
:
Net
Assets
..........................................................................
$
32,338‌
$
192,276‌
$
167,099‌
Shares
issued
and
outstanding
........................................................
2,419‌
13,600‌
12,597‌
Net
Asset
Value
per
share
.............................................................
$
13.37‌
$
14.14‌
$
13.27‌
Class
2
:
Net
Assets
..........................................................................
N/A‌
N/A‌
N/A‌
Shares
issued
and
outstanding
........................................................
Net
Asset
Value
per
share
.............................................................
Statements
of
Assets
and
Liabilities
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
8
See
accompanying
notes.
Amounts
in
thousands,
except
per
share
amounts
Principal
LifeTime
2040
Account
Principal
LifeTime
2050
Account
Principal
LifeTime
2060
Account
Investment
in
affiliated
securities--at
cost
................................................
$
68,783‌
$
31,974‌
$
6,307‌
Assets
Investment
in
affiliated
securities--at
value
.................................................
$
76,010‌
$
35,990‌
$
6,765‌
Receivables:
Fund
shares
sold
.......................................................................
223‌
30‌
–‌
Investment
securities
sold
.............................................................
–‌
–‌
154‌
Total
Assets  
76,233‌
36,020‌
6,919‌
Liabilities
Accrued
directors'
expenses
.................................................................
1‌
1‌
1‌
Accrued
professional
fees
...................................................................
–‌
5‌
–‌
Accrued
other
expenses
.....................................................................
4‌
–‌
4‌
Deposits
from
counterparty
.................................................................
–‌
–‌
–‌
Payables:
Fund
shares
redeemed
.................................................................
12‌
14‌
154‌
Investment
securities
purchased
......................................................
211‌
16‌
–‌
Total
Liabilities  
228‌
36‌
159‌
Net
Assets
Applicable
to
Outstanding
Shares
............................................
$
76,005‌
$
35,984‌
$
6,760‌
Net
Assets
Consist
of:
Capital
shares
and
additional
paid-in-capital
...............................................
$
63,541‌
$
29,202‌
$
5,850‌
Total
distributable
earnings
(accumulated
loss)
.............................................
12,464‌
6,782‌
910‌
Total
Net
Assets 
$
76,005‌
$
35,984‌
$
6,760‌
Capital
Stock
(par
value:
$.01
per
share):
Shares
authorized
............................................................................
200,000‌
200,000‌
100,000‌
Net
Asset
Value
Per
Share:
Class
1
:
Net
Assets
..........................................................................
$
76,005‌
$
35,984‌
$
6,760‌
Shares
issued
and
outstanding
........................................................
4,696‌
2,298‌
467‌
Net
Asset
Value
per
share
.............................................................
$
16.18‌
$
15.66‌
$
14.48‌
Class
2
:
Net
Assets
..........................................................................
N/A‌
N/A‌
N/A‌
Shares
issued
and
outstanding
........................................................
Net
Asset
Value
per
share
.............................................................
Statements
of
Assets
and
Liabilities
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
9
See
accompanying
notes.
Amounts
in
thousands,
except
per
share
amounts
Principal
LifeTime
Strategic
Income
Account
Real
Estate
Securities
Account
SAM
Balanced
Portfolio
Investment
in
securities--at
cost
..........................................................
$
–‌
$
116,761‌
$
–‌
Investment
in
affiliated
securities--at
cost
................................................
$
22,162‌
$
1,129‌
$
588,848‌
Assets
Investment
in
securities--at
value 
..........................................................
$
–‌
$
153,482‌
$
–‌
Investment
in
affiliated
securities--at
value
.................................................
23,509‌
1,129‌
702,340‌
Receivables:
Dividends
and
interest
.................................................................
10‌
464‌
364‌
Expense
reimbursement
from
Manager
...............................................
–‌
2‌
–‌
Fund
shares
sold
.......................................................................
29‌
254‌
92‌
Investment
securities
sold
.............................................................
–‌
550‌
138‌
Total
Assets  
23,548‌
155,881‌
702,934‌
Liabilities
Accrued
management
and
investment
advisory
fees
........................................
–‌
114‌
131‌
Accrued
distribution
fees
....................................................................
–‌
1‌
24‌
Accrued
directors'
expenses
.................................................................
1‌
1‌
4‌
Accrued
professional
fees
...................................................................
3‌
–‌
–‌
Accrued
other
expenses
.....................................................................
1‌
8‌
6‌
Deposits
from
counterparty
.................................................................
–‌
–‌
–‌
Payables:
Fund
shares
redeemed
.................................................................
8‌
21‌
230‌
Investment
securities
purchased
......................................................
31‌
605‌
360‌
Total
Liabilities  
44‌
750‌
755‌
Net
Assets
Applicable
to
Outstanding
Shares
............................................
$
23,504‌
$
155,131‌
$
702,179‌
Net
Assets
Consist
of:
Capital
shares
and
additional
paid-in-capital
...............................................
$
20,396‌
$
97,639‌
$
536,902‌
Total
distributable
earnings
(accumulated
loss)
.............................................
3,108‌
57,492‌
165,277‌
Total
Net
Assets 
$
23,504‌
$
155,131‌
$
702,179‌
Capital
Stock
(par
value:
$.01
per
share):
Shares
authorized
............................................................................
100,000‌
300,000‌
300,000‌
Net
Asset
Value
Per
Share:
Class
1
:
Net
Assets
..........................................................................
$
23,504‌
$
150,767‌
$
585,362‌
Shares
issued
and
outstanding
........................................................
1,914‌
6,969‌
37,383‌
Net
Asset
Value
per
share
.............................................................
$
12.28‌
$
21.63‌
$
15.66‌
Class
2
:
Net
Assets
..........................................................................
N/A‌
$
4,364‌
$
116,817‌
Shares
issued
and
outstanding
........................................................
201‌
7,558‌
Net
Asset
Value
per
share
.............................................................
$
21.68‌
$
15.46‌
Statements
of
Assets
and
Liabilities
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
10
See
accompanying
notes.
Amounts
in
thousands,
except
per
share
amounts
SAM
Conservative
Balanced
Portfolio
SAM
Conservative
Growth
Portfolio
SAM
Flexible
Income
Portfolio
Investment
in
affiliated
securities--at
cost
................................................
$
168,125‌
$
283,596‌
$
173,248‌
Assets
Investment
in
affiliated
securities--at
value
.................................................
$
187,792‌
$
337,921‌
$
186,615‌
Receivables:
Dividends
and
interest
.................................................................
148‌
74‌
202‌
Fund
shares
sold
.......................................................................
9‌
54‌
43‌
Investment
securities
sold
.............................................................
46‌
202‌
–‌
Total
Assets  
187,995‌
338,251‌
186,860‌
Liabilities
Accrued
management
and
investment
advisory
fees
........................................
35‌
63‌
35‌
Accrued
distribution
fees
....................................................................
5‌
27‌
5‌
Accrued
directors'
expenses
.................................................................
2‌
2‌
2‌
Accrued
other
expenses
.....................................................................
6‌
6‌
6‌
Deposits
from
counterparty
.................................................................
–‌
–‌
–‌
Payables:
Fund
shares
redeemed
.................................................................
54‌
256‌
27‌
Investment
securities
purchased
......................................................
147‌
72‌
215‌
Total
Liabilities  
249‌
426‌
290‌
Net
Assets
Applicable
to
Outstanding
Shares
............................................
$
187,746‌
$
337,825‌
$
186,570‌
Net
Assets
Consist
of:
Capital
shares
and
additional
paid-in-capital
...............................................
$
157,839‌
$
261,913‌
$
158,821‌
Total
distributable
earnings
(accumulated
loss)
.............................................
29,907‌
75,912‌
27,749‌
Total
Net
Assets 
$
187,746‌
$
337,825‌
$
186,570‌
Capital
Stock
(par
value:
$.01
per
share):
Shares
authorized
............................................................................
200,000‌
200,000‌
200,000‌
Net
Asset
Value
Per
Share:
Class
1
:
Net
Assets
..........................................................................
$
164,894‌
$
205,481‌
$
158,437‌
Shares
issued
and
outstanding
........................................................
13,547‌
10,407‌
12,307‌
Net
Asset
Value
per
share
.............................................................
$
12.17‌
$
19.75‌
$
12.87‌
Class
2
:
Net
Assets
..........................................................................
$
22,852‌
$
132,344‌
$
28,133‌
Shares
issued
and
outstanding
........................................................
1,903‌
6,808‌
2,209‌
Net
Asset
Value
per
share
.............................................................
$
12.01‌
$
19.44‌
$
12.73‌
Statements
of
Assets
and
Liabilities
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
11
See
accompanying
notes.
Amounts
in
thousands,
except
per
share
amounts
SAM
Strategic
Growth
Portfolio
Short-Term
Income
Account
SmallCap
Account
Investment
in
securities--at
cost
..........................................................
$
–‌
$
128,131‌
$
164,947‌
Investment
in
affiliated
securities--at
cost
................................................
$
255,461‌
$
2,045‌
$
3,510‌
Assets
Investment
in
securities--at
value 
..........................................................
$
–‌
$
129,586‌
(a)
$
186,540‌
(a)
Investment
in
affiliated
securities--at
value
.................................................
292,324‌
2,045‌
3,510‌
Cash
.........................................................................................
–‌
2‌
–‌
Receivables:
Dividends
and
interest
.................................................................
12‌
639‌
238‌
Expense
reimbursement
from
Manager
...............................................
–‌
1‌
–‌
Fund
shares
sold
.......................................................................
15‌
92‌
2‌
Investment
securities
sold
.............................................................
129‌
–‌
8,140‌
Total
Assets  
292,480‌
132,365‌
198,430‌
Liabilities
Accrued
management
and
investment
advisory
fees
........................................
54‌
53‌
127‌
Accrued
distribution
fees
....................................................................
27‌
–‌
1‌
Accrued
directors'
expenses
.................................................................
2‌
2‌
3‌
Accrued
other
expenses
.....................................................................
6‌
5‌
9‌
Deposits
from
counterparty
.................................................................
–‌
–‌
–‌
Payables:
Fund
shares
redeemed
.................................................................
144‌
17‌
53‌
Investment
securities
purchased
......................................................
–‌
767‌
3,407‌
Collateral
obligation
on
securities
loaned,
at
value
.........................................
–‌
525‌
2,897‌
Total
Liabilities  
233‌
1,369‌
6,497‌
Net
Assets
Applicable
to
Outstanding
Shares
............................................
$
292,247‌
$
130,996‌
$
191,933‌
Net
Assets
Consist
of:
Capital
shares
and
additional
paid-in-capital
...............................................
$
236,541‌
$
125,314‌
$
135,657‌
Total
distributable
earnings
(accumulated
loss)
.............................................
55,706‌
5,682‌
56,276‌
Total
Net
Assets 
$
292,247‌
$
130,996‌
$
191,933‌
Capital
Stock
(par
value:
$.01
per
share):
Shares
authorized
............................................................................
200,000‌
400,000‌
200,000‌
Net
Asset
Value
Per
Share:
Class
1
:
Net
Assets
..........................................................................
$
158,172‌
$
130,996‌
$
185,964‌
Shares
issued
and
outstanding
........................................................
7,366‌
50,389‌
10,877‌
Net
Asset
Value
per
share
.............................................................
$
21.48‌
$
2.60‌
$
17.10‌
Class
2
:
Net
Assets
..........................................................................
$
134,075‌
N/A‌
$
5,969‌
Shares
issued
and
outstanding
........................................................
6,333‌
351‌
Net
Asset
Value
per
share
.............................................................
$
21.16‌
$
17.01‌
(a)
Includes
fair
market
value
of
securities
loaned,
see
"Securities
Lending"
in
Notes
to
Financial
Statements.
Statements
of
Operations
Principal
Variable
Contracts
Funds,
Inc.
Six
Months
Ended
June
30,
2019
(unaudited)
12
See
accompanying
notes.
Amounts
in
thousands
Bond
Market
Index
Account
Core
Plus
Bond
Account
(a)
Diversified
Balanced
Account
Net
Investment
Income
(Loss)
Income:
Dividends
from
affiliated
securities
.......................................................
$
1,487‌
$
148‌
$
–‌
Dividends
..................................................................................
93‌
3‌
–‌
Interest
.....................................................................................
32,415‌
5,173‌
–‌
Total
Income
33,809‌
5,324‌
–‌
Expenses:
Management
and
investment
advisory
fees
...............................................
2,949‌
658‌
258‌
Distribution
fees
-
Class
2
.................................................................
N/A‌
1‌
1,240‌
Chief
compliance
officer
expenses
........................................................
2‌
–‌
1‌
Custodian
fees
.............................................................................
26‌
12‌
–‌
Directors'
expenses
........................................................................
25‌
4‌
11‌
Professional fees
..........................................................................
2‌
2‌
2‌
Shareholder
meeting
expense
............................................................
1‌
3‌
1‌
Total
Gross
Expenses
3,005‌
680‌
1,513‌
Less:
Reimbursement
from
Manager
.....................................................
1,179‌
–‌
–‌
Total
Net
Expenses
1,826‌
680‌
1,513‌
Net
Investment
Income
(Loss)
31,983‌
4,644‌
(
1,513‌
)
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments,
Futures,
Short
sales
and
Swap
agreements
Net
realized
gain
(loss)
from:
Investment
transactions
...................................................................
4,055‌
(
55‌
)
19‌
Investment
transactions
in
affiliated
securities
............................................
–‌
–‌
12,322‌
Futures
contracts
..........................................................................
–‌
532‌
–‌
Short
sales
.................................................................................
(
116‌
)
–‌
–‌
Swap
agreements
..........................................................................
–‌
(
320‌
)
–‌
Change
in
unrealized
appreciation/depreciation
of:
Investments
................................................................................
104,686‌
16,169‌
(
1‌
)
Investments
in
affiliated
securities
........................................................
–‌
–‌
102,681‌
Futures
contracts
..........................................................................
–‌
(
216‌
)
–‌
Short
sales
.................................................................................
50‌
–‌
–‌
Swap
agreements
..........................................................................
–‌
(
207‌
)
–‌
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments,
Futures,
Short
sales
and
Swap
agreements
108,675‌
15,903‌
115,021‌
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
$
140,658‌
$
20,547‌
$
113,508‌
(a)
Class
2
shares
discontinued
operations
and
converted
to
Class
1
shares
on
June
14,
2019.
Statements
of
Operations
Principal
Variable
Contracts
Funds,
Inc.
Six
Months
Ended
June
30,
2019
(unaudited)
13
See
accompanying
notes.
Amounts
in
thousands
Diversified
Balanced
Managed
Volatility
Account
Diversified
Balanced
Volatility
Control
Account
Diversified
Growth
Account
Net
Investment
Income
(Loss)
Income:
Dividends
from
affiliated
securities
.......................................................
$
–‌
$
2‌
$
–‌
Dividends
..................................................................................
–‌
173‌
–‌
Interest
.....................................................................................
–‌
17‌
–‌
Total
Income
–‌
192‌
–‌
Expenses:
Management
and
investment
advisory
fees
...............................................
42‌
48‌
917‌
Distribution
fees
-
Class
2
.................................................................
211‌
100‌
4,584‌
Chief
compliance
officer
expenses
........................................................
–‌
–‌
2‌
Directors'
expenses
........................................................................
3‌
2‌
38‌
Professional fees
..........................................................................
2‌
2‌
2‌
Shareholder
meeting
expense
............................................................
1‌
–‌
1‌
Other
expenses
............................................................................
–‌
–‌
2‌
Total
Expenses
259‌
152‌
5,546‌
Net
Investment
Income
(Loss)
(
259‌
)
40‌
(
5,546‌
)
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
and
Futures
Net
realized
gain
(loss)
from:
Investment
transactions
...................................................................
–‌
254‌
–‌
Investment
transactions
in
affiliated
securities
............................................
906‌
4‌
23,816‌
Futures
contracts
..........................................................................
–‌
(
256‌
)
–‌
Change
in
unrealized
appreciation/depreciation
of:
Investments
................................................................................
–‌
982‌
–‌
Investments
in
affiliated
securities
........................................................
17,194‌
6,069‌
436,970‌
Futures
contracts
..........................................................................
–‌
48‌
–‌
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
and
Futures
18,100‌
7,101‌
460,786‌
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
$
17,841‌
$
7,141‌
$
455,240‌
Statements
of
Operations
Principal
Variable
Contracts
Funds,
Inc.
Six
Months
Ended
June
30,
2019
(unaudited)
14
See
accompanying
notes.
Amounts
in
thousands
Diversified
Growth
Managed
Volatility
Account
Diversified
Growth
Volatility
Control
Account
Diversified
Income
Account
Net
Investment
Income
(Loss)
Income:
Dividends
from
affiliated
securities
.......................................................
$
–‌
$
12‌
$
–‌
Dividends
..................................................................................
–‌
1,001‌
–‌
Interest
.....................................................................................
–‌
106‌
–‌
Total
Income
–‌
1,119‌
–‌
Expenses:
Management
and
investment
advisory
fees
...............................................
85‌
275‌
63‌
Distribution
fees
-
Class
2
.................................................................
427‌
572‌
316‌
Directors'
expenses
........................................................................
5‌
5‌
4‌
Professional fees
..........................................................................
2‌
2‌
2‌
Shareholder
meeting
expense
............................................................
1‌
–‌
–‌
Other
expenses
............................................................................
–‌
1‌
–‌
Total
Expenses
520‌
855‌
385‌
Net
Investment
Income
(Loss)
(
520‌
)
264‌
(
385‌
)
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
and
Futures
Net
realized
gain
(loss)
from:
Investment
transactions
...................................................................
–‌
1,332‌
–‌
Investment
transactions
in
affiliated
securities
............................................
2,003‌
118‌
752‌
Futures
contracts
..........................................................................
–‌
(
4,476‌
)
–‌
Change
in
unrealized
appreciation/depreciation
of:
Investments
................................................................................
–‌
5,563‌
–‌
Investments
in
affiliated
securities
........................................................
39,139‌
40,942‌
23,563‌
Futures
contracts
..........................................................................
–‌
1,487‌
–‌
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
and
Futures
41,142‌
44,966‌
24,315‌
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
$
40,622‌
$
45,230‌
$
23,930‌
Statements
of
Operations
Principal
Variable
Contracts
Funds,
Inc.
Six
Months
Ended
June
30,
2019
(unaudited)
15
See
accompanying
notes.
Amounts
in
thousands
Diversified
International
Account
(a)
Equity
Income
Account
Government
&
High
Quality
Bond
Account
(a)
Net
Investment
Income
(Loss)
Income:
Dividends
from
affiliated
securities
.......................................................
$
23‌
$
107‌
$
24‌
Dividends
..................................................................................
4,908‌
10,069‌
–‌
Withholding
tax
...........................................................................
(
432‌
)
(
352‌
)
–‌
Interest
.....................................................................................
–‌
–‌
3,231‌
Total
Income
4,499‌
9,824‌
3,255‌
Expenses:
Management
and
investment
advisory
fees
...............................................
1,072‌
1,661‌
549‌
Distribution
fees
-
Class
2
.................................................................
3‌
34‌
3‌
Chief
compliance
officer
expenses
........................................................
–‌
1‌
–‌
Custodian
fees
.............................................................................
61‌
11‌
2‌
Directors'
expenses
........................................................................
4‌
8‌
3‌
Professional fees
..........................................................................
20‌
4‌
2‌
Shareholder
meeting
expense
............................................................
3‌
4‌
4‌
Total
Expenses
1,163‌
1,723‌
563‌
Net
Investment
Income
(Loss)
3,336‌
8,101‌
2,692‌
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
and
Foreign
currencies
Net
realized
gain
(loss)
from:
Investment
transactions
...................................................................
(
755‌
)
13,984‌
(
327‌
)
Foreign
currency
transactions
.............................................................
(
55‌
)
–‌
–‌
Change
in
unrealized
appreciation/depreciation
of:
Investments
................................................................................
31,908‌
88,731‌
7,246‌
Translation
of
assets
and
liabilities
in
foreign
currencies
.................................
6‌
–‌
–‌
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
and
Foreign
currencies
31,104‌
102,715‌
6,919‌
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
$
34,440‌
$
110,816‌
$
9,611‌
(a)
Class
2
shares
discontinued
operations
and
converted
to
Class
1
shares
on
June
14,
2019.
Statements
of
Operations
Principal
Variable
Contracts
Funds,
Inc.
Six
Months
Ended
June
30,
2019
(unaudited)
16
See
accompanying
notes.
Amounts
in
thousands
International
Emerging
Markets
Account
(a)
LargeCap
Growth
Account
I
(a)
LargeCap
S&P
500
Index
Account
Net
Investment
Income
(Loss)
Income:
Dividends
from
affiliated
securities
.......................................................
$
18‌
$
83‌
$
317‌
Dividends
..................................................................................
1,255‌
1,250‌
24,662‌
Withholding
tax
...........................................................................
(
105‌
)
(
8‌
)
–‌
Interest
.....................................................................................
–‌
1‌
9‌
Total
Income
1,168‌
1,326‌
24,988‌
Expenses:
Management
and
investment
advisory
fees
...............................................
555‌
1,296‌
3,137‌
Distribution
fees
-
Class
2
.................................................................
2‌
5‌
11‌
Chief
compliance
officer
expenses
........................................................
–‌
–‌
2‌
Custodian
fees
.............................................................................
40‌
12‌
6‌
Directors'
expenses
........................................................................
2‌
4‌
27‌
Professional fees
..........................................................................
18‌
2‌
2‌
Shareholder
meeting
expense
............................................................
2‌
2‌
3‌
Other
expenses
............................................................................
–‌
–‌
17‌
Total
Gross
Expenses
619‌
1,321‌
3,205‌
Less:
Reimbursement
from
Manager
.....................................................
67‌
28‌
–‌
Less:
Reimbursement
from
Manager
-
Class
1
...........................................
17‌
2‌
–‌
Total
Net
Expenses
535‌
1,291‌
3,205‌
Net
Investment
Income
(Loss)
633‌
35‌
21,783‌
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments,
Foreign
currencies
and
Futures
Net
realized
gain
(loss)
from:
Investment
transactions
...................................................................
558‌
17,001‌
91,242‌
Foreign
currency
transactions
.............................................................
(
122‌
)
–‌
–‌
Futures
contracts
..........................................................................
–‌
287‌
5,226‌
Change
in
unrealized
appreciation/depreciation
of:
Investments
................................................................................
7,553‌
52,343‌
304,850‌
Investments
in
affiliated
securities
........................................................
–‌
69‌
–‌
Futures
contracts
..........................................................................
–‌
19‌
1,395‌
Translation
of
assets
and
liabilities
in
foreign
currencies
.................................
1‌
–‌
–‌
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments,
Foreign
currencies
and
Futures
7,990‌
69,719‌
402,713‌
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
$
8,623‌
$
69,754‌
$
424,496‌
(a)
Class
2
shares
discontinued
operations
and
converted
to
Class
1
shares
on
June
14,
2019.
Statements
of
Operations
Principal
Variable
Contracts
Funds,
Inc.
Six
Months
Ended
June
30,
2019
(unaudited)
17
See
accompanying
notes.
Amounts
in
thousands
LargeCap
S&P
500
Managed
Volatility
Index
Account
MidCap
Account
Principal
Capital
Appreciation
Account
Net
Investment
Income
(Loss)
Income:
Dividends
from
affiliated
securities
.......................................................
$
154‌
$
9‌
$
35‌
Dividends
..................................................................................
1,992‌
2,352‌
1,408‌
Withholding
tax
...........................................................................
–‌
(
76‌
)
(
8‌
)
Interest
.....................................................................................
2‌
–‌
–‌
Securities
lending
-
net
....................................................................
–‌
1‌
–‌
Total
Income
2,148‌
2,286‌
1,435‌
Expenses:
Management
and
investment
advisory
fees
...............................................
482‌
1,493‌
463‌
Distribution
fees
-
Class
2
.................................................................
N/A‌
23‌
12‌
Custodian
fees
.............................................................................
7‌
3‌
1‌
Directors'
expenses
........................................................................
3‌
6‌
3‌
Professional fees
..........................................................................
2‌
2‌
2‌
Shareholder
meeting
expense
............................................................
–‌
3‌
3‌
Other
expenses
............................................................................
1‌
2‌
–‌
Total
Expenses
495‌
1,532‌
484‌
Net
Investment
Income
(Loss)
1,653‌
754‌
951‌
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments,
Futures
and
Options
and
Swaptions
Net
realized
gain
(loss)
from:
Investment
transactions
...................................................................
940‌
31,164‌
6,779‌
Futures
contracts
..........................................................................
600‌
–‌
–‌
Options
and
swaptions
....................................................................
2,916‌
–‌
–‌
Change
in
unrealized
appreciation/depreciation
of:
Investments
................................................................................
28,002‌
112,743‌
18,244‌
Futures
contracts
..........................................................................
226‌
–‌
–‌
Options
and
swaptions
....................................................................
(
382‌
)
–‌
–‌
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments,
Futures
and
Options
and
Swaptions
32,302‌
143,907‌
25,023‌
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
$
33,955‌
$
144,661‌
$
25,974‌
Statements
of
Operations
Principal
Variable
Contracts
Funds,
Inc.
Six
Months
Ended
June
30,
2019
(unaudited)
18
See
accompanying
notes.
Amounts
in
thousands
Principal
LifeTime
2010
Account
Principal
LifeTime
2020
Account
(a)
Principal
LifeTime
2030
Account
(a)
Net
Investment
Income
(Loss)
Income:
Dividends
from
affiliated
securities
.......................................................
$
142‌
$
672‌
$
404‌
Total
Income
142‌
672‌
404‌
Expenses:
Distribution
fees
-
Class
2
.................................................................
N/A‌
2‌
2‌
Directors'
expenses
........................................................................
1‌
3‌
3‌
Professional fees
..........................................................................
2‌
2‌
2‌
Shareholder
meeting
expense
............................................................
1‌
2‌
2‌
Total
Expenses
4‌
9‌
9‌
Net
Investment
Income
(Loss)
138‌
663‌
395‌
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
Net
realized
gain
(loss)
from:
Investment
transactions
in
affiliated
securities
............................................
111‌
34‌
(
86‌
)
Change
in
unrealized
appreciation/depreciation
of:
Investments
in
affiliated
securities
........................................................
2,769‌
20,450‌
20,659‌
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
2,880‌
20,484‌
20,573‌
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
$
3,018‌
$
21,147‌
$
20,968‌
(a)
Class
2
shares
discontinued
operations
and
converted
to
Class
1
shares
on
June
14,
2019.
Statements
of
Operations
Principal
Variable
Contracts
Funds,
Inc.
Six
Months
Ended
June
30,
2019
(unaudited)
19
See
accompanying
notes.
Amounts
in
thousands
Principal
LifeTime
2040
Account
(a)
Principal
LifeTime
2050
Account
(a)
Principal
LifeTime
2060
Account
Net
Investment
Income
(Loss)
Income:
Dividends
from
affiliated
securities
.......................................................
$
170‌
$
70‌
$
13‌
Total
Income
170‌
70‌
13‌
Expenses:
Distribution
fees
-
Class
2
.................................................................
1‌
1‌
N/A‌
Directors'
expenses
........................................................................
2‌
1‌
1‌
Professional fees
..........................................................................
2‌
2‌
2‌
Shareholder
meeting
expense
............................................................
2‌
2‌
1‌
Total
Gross
Expenses
7‌
6‌
4‌
Less:
Reimbursement
from
Manager
-
Class
1
...........................................
–‌
–‌
1‌
Total
Net
Expenses
7‌
6‌
3‌
Net
Investment
Income
(Loss)
163‌
64‌
10‌
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
Net
realized
gain
(loss)
from:
Investment
transactions
in
affiliated
securities
............................................
(
219‌
)
(
111‌
)
(
4‌
)
Change
in
unrealized
appreciation/depreciation
of:
Investments
in
affiliated
securities
........................................................
10,369‌
5,391‌
900‌
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
10,150‌
5,280‌
896‌
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
$
10,313‌
$
5,344‌
$
906‌
(a)
Class
2
shares
discontinued
operations
and
converted
to
Class
1
shares
on
June
14,
2019.
Statements
of
Operations
Principal
Variable
Contracts
Funds,
Inc.
Six
Months
Ended
June
30,
2019
(unaudited)
20
See
accompanying
notes.
Amounts
in
thousands
Principal
LifeTime
Strategic
Income
Account
Real
Estate
Securities
Account
SAM
Balanced
Portfolio
Net
Investment
Income
(Loss)
Income:
Dividends
from
affiliated
securities
.......................................................
$
104‌
$
10‌
$
3,072‌
Dividends
..................................................................................
–‌
1,826‌
–‌
Total
Income
104‌
1,836‌
3,072‌
Expenses:
Management
and
investment
advisory
fees
...............................................
–‌
671‌
795‌
Distribution
fees
-
Class
2
.................................................................
N/A‌
5‌
139‌
Custodian
fees
.............................................................................
–‌
1‌
–‌
Directors'
expenses
........................................................................
1‌
2‌
8‌
Professional fees
..........................................................................
2‌
2‌
2‌
Shareholder
meeting
expense
............................................................
1‌
2‌
3‌
Total
Gross
Expenses
4‌
683‌
947‌
Less:
Reimbursement
from
Manager
.....................................................
–‌
15‌
–‌
Total
Net
Expenses
4‌
668‌
947‌
Net
Investment
Income
(Loss)
100‌
1,168‌
2,125‌
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
Net
realized
gain
(loss)
from:
Investment
transactions
...................................................................
–‌
6,459‌
9‌
Investment
transactions
in
affiliated
securities
............................................
88‌
–‌
10,568‌
Change
in
unrealized
appreciation/depreciation
of:
Investments
................................................................................
–‌
20,952‌
–‌
Investments
in
affiliated
securities
........................................................
1,641‌
–‌
69,341‌
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
1,729‌
27,411‌
79,918‌
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
$
1,829‌
$
28,579‌
$
82,043‌
Statements
of
Operations
Principal
Variable
Contracts
Funds,
Inc.
Six
Months
Ended
June
30,
2019
(unaudited)
21
See
accompanying
notes.
Amounts
in
thousands
SAM
Conservative
Balanced
Portfolio
SAM
Conservative
Growth
Portfolio
SAM
Flexible
Income
Portfolio
Net
Investment
Income
(Loss)
Income:
Dividends
from
affiliated
securities
.......................................................
$
1,192‌
$
874‌
$
1,685‌
Total
Income
1,192‌
874‌
1,685‌
Expenses:
Management
and
investment
advisory
fees
...............................................
211‌
378‌
214‌
Distribution
fees
-
Class
2
.................................................................
27‌
159‌
33‌
Directors'
expenses
........................................................................
3‌
4‌
3‌
Professional fees
..........................................................................
2‌
2‌
2‌
Shareholder
meeting
expense
............................................................
3‌
3‌
3‌
Total
Expenses
246‌
546‌
255‌
Net
Investment
Income
(Loss)
946‌
328‌
1,430‌
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
Net
realized
gain
(loss)
from:
Investment
transactions
in
affiliated
securities
............................................
2,426‌
1,030‌
3,643‌
Change
in
unrealized
appreciation/depreciation
of:
Investments
in
affiliated
securities
........................................................
14,337‌
44,096‌
10,221‌
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
16,763‌
45,126‌
13,864‌
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
$
17,709‌
$
45,454‌
$
15,294‌
Statements
of
Operations
Principal
Variable
Contracts
Funds,
Inc.
Six
Months
Ended
June
30,
2019
(unaudited)
22
See
accompanying
notes.
Amounts
in
thousands
SAM
Strategic
Growth
Portfolio
Short-Term
Income
Account
(a)
SmallCap
Account
Net
Investment
Income
(Loss)
Income:
Dividends
from
affiliated
securities
.......................................................
$
785‌
$
32‌
$
39‌
Dividends
..................................................................................
–‌
–‌
1,280‌
Withholding
tax
...........................................................................
–‌
–‌
(
1‌
)
Interest
.....................................................................................
–‌
2,054‌
–‌
Securities
lending
-
net
....................................................................
–‌
–‌
2‌
Total
Income
785‌
2,086‌
1,320‌
Expenses:
Management
and
investment
advisory
fees
...............................................
321‌
355‌
778‌
Distribution
fees
-
Class
2
.................................................................
158‌
4‌
7‌
Custodian
fees
.............................................................................
–‌
5‌
2‌
Directors'
expenses
........................................................................
4‌
3‌
3‌
Professional fees
..........................................................................
2‌
2‌
2‌
Shareholder
meeting
expense
............................................................
3‌
3‌
3‌
Total
Gross
Expenses
488‌
372‌
795‌
Less:
Reimbursement
from
Manager
-
Class
1
...........................................
–‌
7‌
–‌
Total
Net
Expenses
488‌
365‌
795‌
Net
Investment
Income
(Loss)
297‌
1,721‌
525‌
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
Net
realized
gain
(loss)
from:
Investment
transactions
...................................................................
–‌
151‌
4,921‌
Investment
transactions
in
affiliated
securities
............................................
416‌
–‌
–‌
Change
in
unrealized
appreciation/depreciation
of:
Investments
................................................................................
–‌
2,637‌
27,257‌
Investments
in
affiliated
securities
........................................................
42,232‌
–‌
–‌
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
42,648‌
2,788‌
32,178‌
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
$
42,945‌
$
4,509‌
$
32,703‌
(a)
Class
2
shares
discontinued
operations
and
converted
to
Class
1
shares
on
June
14,
2019.
Statements
of
Changes
in
Net
Assets
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
23
See
accompanying
notes.
Amounts
in
thousands
Bond
Market
Index
Account
Core
Plus
Bond
Account
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Period
Ended
June
30,
2019
(a)
Year
Ended
December
31,
2018
Operations
Net
investment
income
(loss)
............................................................................
$
31,983‌
$
60,798‌
$
4,644‌
$
9,405‌
Net
realized
gain
(loss)
on
Investments
,
Futures
,
Short
sales
and
Swap
agreements
....................
3,939‌
(
20,805‌
)
157‌
(
4,080‌
)
Change
in
unrealized
appreciation/depreciation
of
Investments
,
Futures
,
Short
sales
and
Swap
agreements
...............................................................................................
104,736‌
(
48,394‌
)
15,746‌
(
9,640‌
)
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
140,658‌
(
8,401‌
)
20,547‌
(
4,315‌
)
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments:
Class
1
..............................................................................................
–‌
(
52,158‌
)
–‌
(
9,608‌
)
Class
2
..............................................................................................
N/A‌
N/A‌
–‌
(
28‌
)
Total
Dividends
and
Distributions
–‌
(
52,158‌
)
–‌
(
9,636‌
)
Capital
Share
Transactions
Shares
sold:
Class
1
..............................................................................................
349,532‌
364,715‌
30,868‌
45,295‌
Class
2
..............................................................................................
N/A‌
N/A‌
678‌
485‌
Shares
issued
in
acquisition:
Class
1
..............................................................................................
N/A‌
N/A‌
13,863‌
N/A‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
52,158‌
–‌
9,608‌
Class
2
..............................................................................................
N/A‌
N/A‌
–‌
28‌
Shares
redeemed:
Class
1
..............................................................................................
(
222,922‌
)
(
591,027‌
)
(
24,157‌
)
(
53,893‌
)
Class
2
..............................................................................................
N/A‌
N/A‌
(
1,497‌
)
(
306‌
)
Net
Increase
(Decrease)
in
Net
Assets
from
Capital
Share
Transactions
126,610‌
(
174,154‌
)
19,755‌
1,217‌
Total
Increase
(Decrease)
267,268‌
(
234,713‌
)
40,302‌
(
12,734‌
)
Net
Assets
Beginning
of
period
......................................................................................
2,213,355‌
2,448,068‌
281,520‌
294,254‌
End
of
period
............................................................................................
$
2,480,623‌
$
2,213,355‌
$
321,822‌
$
281,520‌
Increase
(Decrease)
in
Capital
Shares
Shares
sold:
Class
1
..............................................................................................
33,785‌
35,856‌
2,765‌
4,117‌
Class
2
..............................................................................................
N/A‌
N/A‌
61‌
45‌
Shares
issued
in
acquisition:
Class
1
..............................................................................................
N/A‌
N/A‌
1,210‌
N/A‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
5,216‌
–‌
891‌
Class
2
..............................................................................................
N/A‌
N/A‌
–‌
3‌
Shares
redeemed:
Class
1
..............................................................................................
(
21,339‌
)
(
58,606‌
)
(
2,171‌
)
(
4,899‌
)
Class
2
..............................................................................................
N/A‌
N/A‌
(
132‌
)
(
29‌
)
Net
Increase
(Decrease)
..................................................................................
12,446‌
(
17,534‌
)
1,733‌
128‌
(a)
Class
2
shares
discontinued
operations
and
converted
to
Class
1
shares
on
June
14,
2019.
Statements
of
Changes
in
Net
Assets
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
24
See
accompanying
notes.
Amounts
in
thousands
Diversified
Balanced
Account
Diversified
Balanced
Managed
Volatility
Account
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Operations
Net
investment
income
(loss)
............................................................................
$
(
1,513‌
)
$
18,859‌
$
(
259‌
)
$
2,782‌
Net
realized
gain
(loss)
on
Investments
..................................................................
12,341‌
42,426‌
906‌
2,547‌
Change
in
unrealized
appreciation/depreciation
of
Investments
.........................................
102,680‌
(
96,244‌
)
17,194‌
(
10,559‌
)
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
113,508‌
(
34,959‌
)
17,841‌
(
5,230‌
)
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments:
Class
1
..............................................................................................
–‌
(
1,603‌
)
N/A‌
N/A‌
Class
2
..............................................................................................
–‌
(
39,311‌
)
–‌
(
7,738‌
)
Total
Dividends
and
Distributions
–‌
(
40,914‌
)
–‌
(
7,738‌
)
Capital
Share
Transactions
Shares
sold:
Class
1
..............................................................................................
588‌
1,529‌
N/A‌
N/A‌
Class
2
..............................................................................................
4,045‌
11,925‌
2,668‌
7,201‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
1,603‌
N/A‌
N/A‌
Class
2
..............................................................................................
–‌
39,311‌
–‌
7,738‌
Shares
redeemed:
Class
1
..............................................................................................
(
2,111‌
)
(
6,293‌
)
N/A‌
N/A‌
Class
2
..............................................................................................
(
73,948‌
)
(
141,065‌
)
(
8,407‌
)
(
20,810‌
)
Net
Increase
(Decrease)
in
Net
Assets
from
Capital
Share
Transactions
(
71,426‌
)
(
92,990‌
)
(
5,739‌
)
(
5,871‌
)
Total
Increase
(Decrease)
42,082‌
(
168,863‌
)
12,102‌
(
18,839‌
)
Net
Assets
Beginning
of
period
......................................................................................
1,005,212‌
1,174,075‌
162,166‌
181,005‌
End
of
period
............................................................................................
$
1,047,294‌
$
1,005,212‌
$
174,268‌
$
162,166‌
Increase
(Decrease)
in
Capital
Shares
Shares
sold:
Class
1
..............................................................................................
37‌
97‌
N/A‌
N/A‌
Class
2
..............................................................................................
250‌
755‌
221‌
592‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
101‌
N/A‌
N/A‌
Class
2
..............................................................................................
–‌
2,482‌
–‌
644‌
Shares
redeemed:
Class
1
..............................................................................................
(
133‌
)
(
398‌
)
N/A‌
N/A‌
Class
2
..............................................................................................
(
4,643‌
)
(
8,911‌
)
(
693‌
)
(
1,721‌
)
Net
Increase
(Decrease)
..................................................................................
(
4,489‌
)
(
5,874‌
)
(
472‌
)
(
485‌
)
Statements
of
Changes
in
Net
Assets
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
25
See
accompanying
notes.
Amounts
in
thousands
Diversified
Balanced
Volatility
Control
Account
Diversified
Growth
Account
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Operations
Net
investment
income
(loss)
............................................................................
$
40‌
$
1,009‌
$
(
5,546‌
)
$
64,811‌
Net
realized
gain
(loss)
on
Investments
and
Futures
.....................................................
2‌
546‌
23,816‌
133,147‌
Change
in
unrealized
appreciation/depreciation
of
Investments
and
Futures
...........................
7,099‌
(
3,893‌
)
436,970‌
(
358,524‌
)
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
7,141‌
(
2,338‌
)
455,240‌
(
160,566‌
)
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments:
Class
2
..............................................................................................
–‌
(
582‌
)
–‌
(
135,495‌
)
Total
Dividends
and
Distributions
–‌
(
582‌
)
–‌
(
135,495‌
)
Capital
Share
Transactions
Shares
sold:
Class
2
..............................................................................................
22,940‌
35,517‌
11,499‌
41,392‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
2
..............................................................................................
–‌
582‌
–‌
135,495‌
Shares
redeemed:
Class
2
..............................................................................................
(
2,389‌
)
(
2,718‌
)
(
188,916‌
)
(
338,227‌
)
Net
Increase
(Decrease)
in
Net
Assets
from
Capital
Share
Transactions
20,551‌
33,381‌
(
177,417‌
)
(
161,340‌
)
Total
Increase
(Decrease)
27,692‌
30,461‌
277,823‌
(
457,401‌
)
Net
Assets
Beginning
of
period
......................................................................................
66,983‌
36,522‌
3,488,312‌
3,945,713‌
End
of
period
............................................................................................
$
94,675‌
$
66,983‌
$
3,766,135‌
$
3,488,312‌
Increase
(Decrease)
in
Capital
Shares
Shares
sold:
Class
2
..............................................................................................
2,108‌
3,315‌
646‌
2,331‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
2
..............................................................................................
–‌
53‌
–‌
7,629‌
Shares
redeemed:
Class
2
..............................................................................................
(
219‌
)
(
255‌
)
(
10,654‌
)
(
19,246‌
)
Net
Increase
(Decrease)
..................................................................................
1,889‌
3,113‌
(
10,008‌
)
(
9,286‌
)
Statements
of
Changes
in
Net
Assets
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
26
See
accompanying
notes.
Amounts
in
thousands
Diversified
Growth
Managed
Volatility
Account
Diversified
Growth
Volatility
Control
Account
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Operations
Net
investment
income
(loss)
............................................................................
$
(
520‌
)
$
5,363‌
$
264‌
$
5,626‌
Net
realized
gain
(loss)
on
Investments
and
Futures
.....................................................
2,003‌
5,267‌
(
3,026‌
)
6,099‌
Change
in
unrealized
appreciation/depreciation
of
Investments
and
Futures
...........................
39,139‌
(
24,370‌
)
47,992‌
(
30,259‌
)
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
40,622‌
(
13,740‌
)
45,230‌
(
18,534‌
)
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments:
Class
2
..............................................................................................
–‌
(
17,296‌
)
–‌
(
3,112‌
)
Total
Dividends
and
Distributions
–‌
(
17,296‌
)
–‌
(
3,112‌
)
Capital
Share
Transactions
Shares
sold:
Class
2
..............................................................................................
4,121‌
15,080‌
121,698‌
233,076‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
2
..............................................................................................
–‌
17,296‌
–‌
3,112‌
Shares
redeemed:
Class
2
..............................................................................................
(
17,518‌
)
(
31,174‌
)
(
2,305‌
)
(
1,605‌
)
Net
Increase
(Decrease)
in
Net
Assets
from
Capital
Share
Transactions
(
13,397‌
)
1,202‌
119,393‌
234,583‌
Total
Increase
(Decrease)
27,225‌
(
29,834‌
)
164,623‌
212,937‌
Net
Assets
Beginning
of
period
......................................................................................
325,228‌
355,062‌
384,706‌
171,769‌
End
of
period
............................................................................................
$
352,453‌
$
325,228‌
$
549,329‌
$
384,706‌
Increase
(Decrease)
in
Capital
Shares
Shares
sold:
Class
2
..............................................................................................
329‌
1,210‌
11,011‌
21,326‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
2
..............................................................................................
–‌
1,376‌
–‌
278‌
Shares
redeemed:
Class
2
..............................................................................................
(
1,397‌
)
(
2,476‌
)
(
207‌
)
(
143‌
)
Net
Increase
(Decrease)
..................................................................................
(
1,068‌
)
110‌
10,804‌
21,461‌
Statements
of
Changes
in
Net
Assets
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
27
See
accompanying
notes.
Amounts
in
thousands
Diversified
Income
Account
Diversified
International
Account
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Period
Ended
June
30,
2019
(a)
Year
Ended
December
31,
2018
Operations
Net
investment
income
(loss)
............................................................................
$
(
385‌
)
$
4,384‌
$
3,336‌
$
5,381‌
Net
realized
gain
(loss)
on
Investments
and
Foreign
currencies
.........................................
752‌
5,740‌
(
810‌
)
12,743‌
Change
in
unrealized
appreciation/depreciation
of
Investments
.........................................
23,563‌
(
15,995‌
)
31,914‌
(
68,991‌
)
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
23,930‌
(
5,871‌
)
34,440‌
(
50,867‌
)
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments:
Class
1
..............................................................................................
N/A‌
N/A‌
–‌
(
5,962‌
)
Class
2
..............................................................................................
–‌
(
6,908‌
)
–‌
(
45‌
)
Total
Dividends
and
Distributions
–‌
(
6,908‌
)
–‌
(
6,007‌
)
Capital
Share
Transactions
Shares
sold:
Class
1
..............................................................................................
N/A‌
N/A‌
10,164‌
25,975‌
Class
2
..............................................................................................
19,319‌
31,949‌
282‌
757‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
N/A‌
N/A‌
–‌
5,962‌
Class
2
..............................................................................................
–‌
6,908‌
–‌
45‌
Shares
redeemed:
Class
1
..............................................................................................
N/A‌
N/A‌
(
18,567‌
)
(
34,901‌
)
Class
2
..............................................................................................
(
21,440‌
)
(
52,882‌
)
(
2,536‌
)
(
175‌
)
Net
Increase
(Decrease)
in
Net
Assets
from
Capital
Share
Transactions
(
2,121‌
)
(
14,025‌
)
(
10,657‌
)
(
2,337‌
)
Total
Increase
(Decrease)
21,809‌
(
26,804‌
)
23,783‌
(
59,211‌
)
Net
Assets
Beginning
of
period
......................................................................................
241,331‌
268,135‌
235,632‌
294,843‌
End
of
period
............................................................................................
$
263,140‌
$
241,331‌
$
259,415‌
$
235,632‌
Increase
(Decrease)
in
Capital
Shares
Shares
sold:
Class
1
..............................................................................................
N/A‌
N/A‌
674‌
1,569‌
Class
2
..............................................................................................
1,465‌
2,474‌
19‌
45‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
N/A‌
N/A‌
–‌
379‌
Class
2
..............................................................................................
–‌
533‌
–‌
3‌
Shares
redeemed:
Class
1
..............................................................................................
N/A‌
N/A‌
(
1,229‌
)
(
2,138‌
)
Class
2
..............................................................................................
(
1,621‌
)
(
4,073‌
)
(
165‌
)
(
11‌
)
Net
Increase
(Decrease)
..................................................................................
(
156‌
)
(
1,066‌
)
(
701‌
)
(
153‌
)
(a)
Class
2
shares
discontinued
operations
and
converted
to
Class
1
shares
on
June
14,
2019.
Statements
of
Changes
in
Net
Assets
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
28
See
accompanying
notes.
Amounts
in
thousands
Equity
Income
Account
Government
&
High
Quality
Bond
Account
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Period
Ended
June
30,
2019
(a)
Year
Ended
December
31,
2018
Operations
Net
investment
income
(loss)
............................................................................
$
8,101‌
$
15,325‌
$
2,692‌
$
5,612‌
Net
realized
gain
(loss)
on
Investments
..................................................................
13,984‌
26,702‌
(
327‌
)
(
4,919‌
)
Change
in
unrealized
appreciation/depreciation
of
Investments
.........................................
88,731‌
(
78,310‌
)
7,246‌
1,170‌
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
110,816‌
(
36,283‌
)
9,611‌
1,863‌
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments:
Class
1
..............................................................................................
–‌
(
45,062‌
)
–‌
(
8,577‌
)
Class
2
..............................................................................................
–‌
(
2,105‌
)
–‌
(
94‌
)
Total
Dividends
and
Distributions
–‌
(
47,167‌
)
–‌
(
8,671‌
)
Capital
Share
Transactions
Shares
sold:
Class
1
..............................................................................................
11,109‌
58,053‌
15,320‌
23,115‌
Class
2
..............................................................................................
960‌
2,423‌
109‌
587‌
Shares
issued
in
acquisition:
Class
1
..............................................................................................
N/A‌
138,113‌
N/A‌
N/A‌
Class
2
..............................................................................................
N/A‌
728‌
N/A‌
N/A‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
45,062‌
–‌
8,577‌
Class
2
..............................................................................................
–‌
2,105‌
–‌
94‌
Shares
redeemed:
Class
1
..............................................................................................
(
49,639‌
)
(
97,723‌
)
(
19,529‌
)
(
47,180‌
)
Class
2
..............................................................................................
(
1,925‌
)
(
4,025‌
)
(
2,835‌
)
(
287‌
)
Net
Increase
(Decrease)
in
Net
Assets
from
Capital
Share
Transactions
(
39,495‌
)
144,736‌
(
6,935‌
)
(
15,094‌
)
Total
Increase
(Decrease)
71,321‌
61,286‌
2,676‌
(
21,902‌
)
Net
Assets
Beginning
of
period
......................................................................................
661,384‌
600,098‌
222,239‌
244,141‌
End
of
period
............................................................................................
$
732,705‌
$
661,384‌
$
224,915‌
$
222,239‌
Increase
(Decrease)
in
Capital
Shares
Shares
sold:
Class
1
..............................................................................................
446‌
2,255‌
1,580‌
2,427‌
Class
2
..............................................................................................
38‌
94‌
11‌
62‌
Shares
issued
in
acquisition:
Class
1
..............................................................................................
N/A‌
5,656‌
N/A‌
N/A‌
Class
2
..............................................................................................
N/A‌
30‌
N/A‌
N/A‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
1,759‌
–‌
922‌
Class
2
..............................................................................................
–‌
83‌
–‌
10‌
Shares
redeemed:
Class
1
..............................................................................................
(
1,959‌
)
(
3,796‌
)
(
2,028‌
)
(
4,946‌
)
Class
2
..............................................................................................
(
76‌
)
(
157‌
)
(
289‌
)
(
30‌
)
Net
Increase
(Decrease)
..................................................................................
(
1,551‌
)
5,924‌
(
726‌
)
(
1,555‌
)
(a)
Class
2
shares
discontinued
operations
and
converted
to
Class
1
shares
on
June
14,
2019.
Statements
of
Changes
in
Net
Assets
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
29
See
accompanying
notes.
Amounts
in
thousands
International
Emerging
Markets
Account
LargeCap
Growth
Account
I
Period
Ended
June
30,
2019
(a)
Year
Ended
December
31,
2018
Period
Ended
June
30,
2019
(a)
Year
Ended
December
31,
2018
Operations
Net
investment
income
(loss)
............................................................................
$
633‌
$
1,098‌
$
35‌
$
253‌
Net
realized
gain
(loss)
on
Investments
,
Foreign
currencies
and
Futures
...............................
436‌
2,108‌
17,288‌
39,058‌
Change
in
unrealized
appreciation/depreciation
of
Investments
and
Futures
...........................
7,554‌
(
26,211‌
)
52,431‌
(
27,387‌
)
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
8,623‌
(
23,005‌
)
69,754‌
11,924‌
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments:
Class
1
..............................................................................................
–‌
(
1,219‌
)
–‌
(
23,659‌
)
Class
2
..............................................................................................
–‌
(
19‌
)
–‌
(
197‌
)
Total
Dividends
and
Distributions
–‌
(
1,238‌
)
–‌
(
23,856‌
)
Capital
Share
Transactions
Shares
sold:
Class
1
..............................................................................................
6,803‌
12,049‌
30,197‌
40,614‌
Class
2
..............................................................................................
301‌
1,293‌
1,475‌
2,908‌
Shares
issued
in
acquisition:
Class
1
..............................................................................................
N/A‌
N/A‌
112,835‌
N/A‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
1,219‌
–‌
23,659‌
Class
2
..............................................................................................
–‌
19‌
–‌
197‌
Shares
redeemed:
Class
1
..............................................................................................
(
7,780‌
)
(
20,815‌
)
(
34,094‌
)
(
58,731‌
)
Class
2
..............................................................................................
(
1,909‌
)
(
294‌
)
(
5,277‌
)
(
266‌
)
Net
Increase
(Decrease)
in
Net
Assets
from
Capital
Share
Transactions
(
2,585‌
)
(
6,529‌
)
105,136‌
8,381‌
Total
Increase
(Decrease)
6,038‌
(
30,772‌
)
174,890‌
(
3,551‌
)
Net
Assets
Beginning
of
period
......................................................................................
84,898‌
115,670‌
299,298‌
302,849‌
End
of
period
............................................................................................
$
90,936‌
$
84,898‌
$
474,188‌
$
299,298‌
Increase
(Decrease)
in
Capital
Shares
Shares
sold:
Class
1
..............................................................................................
421‌
664‌
873‌
1,205‌
Class
2
..............................................................................................
19‌
70‌
42‌
86‌
Shares
issued
in
acquisition:
Class
1
..............................................................................................
N/A‌
N/A‌
3,150‌
N/A‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
74‌
–‌
687‌
Class
2
..............................................................................................
–‌
1‌
–‌
6‌
Shares
redeemed:
Class
1
..............................................................................................
(
477‌
)
(
1,137‌
)
(
979‌
)
(
1,745‌
)
Class
2
..............................................................................................
(
121‌
)
(
17‌
)
(
148‌
)
(
9‌
)
Net
Increase
(Decrease)
..................................................................................
(
158‌
)
(
345‌
)
2,938‌
230‌
(a)
Class
2
shares
discontinued
operations
and
converted
to
Class
1
shares
on
June
14,
2019.
Statements
of
Changes
in
Net
Assets
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
30
See
accompanying
notes.
Amounts
in
thousands
LargeCap
S&P
500
Index
Account
LargeCap
S&P
500
Managed
Volatility
Index
Account
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Operations
Net
investment
income
(loss)
............................................................................
$
21,783‌
$
49,484‌
$
1,653‌
$
3,583‌
Net
realized
gain
(loss)
on
Investments
,
Futures
and
Options
and
Swaptions
...........................
96,468‌
134,502‌
4,456‌
11,285‌
Change
in
unrealized
appreciation/depreciation
of
Investments
,
Futures
and
Options
and
Swaptions
.
306,245‌
(
278,290‌
)
27,846‌
(
20,990‌
)
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
424,496‌
(
94,304‌
)
33,955‌
(
6,122‌
)
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments:
Class
1
..............................................................................................
–‌
(
128,550‌
)
–‌
(
3,114‌
)
Class
2
..............................................................................................
–‌
(
322‌
)
N/A‌
N/A‌
Total
Dividends
and
Distributions
–‌
(
128,872‌
)
–‌
(
3,114‌
)
Capital
Share
Transactions
Shares
sold:
Class
1
..............................................................................................
99,038‌
336,816‌
5,386‌
24,533‌
Class
2
..............................................................................................
2,237‌
4,642‌
N/A‌
N/A‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
128,550‌
–‌
3,114‌
Class
2
..............................................................................................
–‌
322‌
N/A‌
N/A‌
Shares
redeemed:
Class
1
..............................................................................................
(
327,333‌
)
(
428,913‌
)
(
26,126‌
)
(
34,782‌
)
Class
2
..............................................................................................
(
398‌
)
(
292‌
)
N/A‌
N/A‌
Net
Increase
(Decrease)
in
Net
Assets
from
Capital
Share
Transactions
(
226,456‌
)
41,125‌
(
20,740‌
)
(
7,135‌
)
Total
Increase
(Decrease)
198,040‌
(
182,051‌
)
13,215‌
(
16,371‌
)
Net
Assets
Beginning
of
period
......................................................................................
2,385,169‌
2,567,220‌
205,655‌
222,026‌
End
of
period
............................................................................................
$
2,583,209‌
$
2,385,169‌
$
218,870‌
$
205,655‌
Increase
(Decrease)
in
Capital
Shares
Shares
sold:
Class
1
..............................................................................................
5,346‌
19,434‌
378‌
1,872‌
Class
2
..............................................................................................
121‌
255‌
N/A‌
N/A‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
6,845‌
–‌
217‌
Class
2
..............................................................................................
–‌
17‌
N/A‌
N/A‌
Shares
redeemed:
Class
1
..............................................................................................
(
17,827‌
)
(
23,083‌
)
(
1,846‌
)
(
2,489‌
)
Class
2
..............................................................................................
(
22‌
)
(
16‌
)
N/A‌
N/A‌
Net
Increase
(Decrease)
..................................................................................
(
12,382‌
)
3,452‌
(
1,468‌
)
(
400‌
)
Statements
of
Changes
in
Net
Assets
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
31
See
accompanying
notes.
Amounts
in
thousands
MidCap
Account
Principal
Capital
Appreciation
Account
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Operations
Net
investment
income
(loss)
............................................................................
$
754‌
$
1,610‌
$
951‌
$
2,365‌
Net
realized
gain
(loss)
on
Investments
..................................................................
31,164‌
91,599‌
6,779‌
15,443‌
Change
in
unrealized
appreciation/depreciation
of
Investments
.........................................
112,743‌
(
126,070‌
)
18,244‌
(
21,803‌
)
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
144,661‌
(
32,861‌
)
25,974‌
(
3,995‌
)
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments:
Class
1
..............................................................................................
–‌
(
71,720‌
)
–‌
(
9,374‌
)
Class
2
..............................................................................................
–‌
(
2,314‌
)
–‌
(
592‌
)
Total
Dividends
and
Distributions
–‌
(
74,034‌
)
–‌
(
9,966‌
)
Capital
Share
Transactions
Shares
sold:
Class
1
..............................................................................................
7,134‌
14,347‌
1,159‌
3,936‌
Class
2
..............................................................................................
82‌
318‌
1,114‌
1,928‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
71,720‌
–‌
9,374‌
Class
2
..............................................................................................
–‌
2,314‌
–‌
592‌
Shares
redeemed:
Class
1
..............................................................................................
(
46,851‌
)
(
83,342‌
)
(
11,825‌
)
(
26,219‌
)
Class
2
..............................................................................................
(
796‌
)
(
1,283‌
)
(
811‌
)
(
1,344‌
)
Net
Increase
(Decrease)
in
Net
Assets
from
Capital
Share
Transactions
(
40,431‌
)
4,074‌
(
10,363‌
)
(
11,733‌
)
Total
Increase
(Decrease)
104,230‌
(
102,821‌
)
15,611‌
(
25,694‌
)
Net
Assets
Beginning
of
period
......................................................................................
490,075‌
592,896‌
137,304‌
162,998‌
End
of
period
............................................................................................
$
594,305‌
$
490,075‌
$
152,915‌
$
137,304‌
Increase
(Decrease)
in
Capital
Shares
Shares
sold:
Class
1
..............................................................................................
122‌
254‌
41‌
140‌
Class
2
..............................................................................................
1‌
6‌
39‌
66‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
1,273‌
–‌
320‌
Class
2
..............................................................................................
–‌
41‌
–‌
21‌
Shares
redeemed:
Class
1
..............................................................................................
(
812‌
)
(
1,432‌
)
(
406‌
)
(
902‌
)
Class
2
..............................................................................................
(
14‌
)
(
22‌
)
(
28‌
)
(
47‌
)
Net
Increase
(Decrease)
..................................................................................
(
703‌
)
120‌
(
354‌
)
(
402‌
)
Statements
of
Changes
in
Net
Assets
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
32
See
accompanying
notes.
Amounts
in
thousands
Principal
LifeTime
2010
Account
Principal
LifeTime
2020
Account
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Period
Ended
June
30,
2019
(a)
Year
Ended
December
31,
2018
Operations
Net
investment
income
(loss)
............................................................................
$
138‌
$
908‌
$
663‌
$
4,533‌
Net
realized
gain
(loss)
on
Investments
..................................................................
111‌
1,696‌
34‌
8,007‌
Change
in
unrealized
appreciation/depreciation
of
Investments
.........................................
2,769‌
(
3,947‌
)
20,450‌
(
22,610‌
)
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
3,018‌
(
1,343‌
)
21,147‌
(
10,070‌
)
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments:
Class
1
..............................................................................................
–‌
(
1,991‌
)
–‌
(
10,770‌
)
Class
2
..............................................................................................
N/A‌
N/A‌
–‌
(
77‌
)
Total
Dividends
and
Distributions
–‌
(
1,991‌
)
–‌
(
10,847‌
)
Capital
Share
Transactions
Shares
sold:
Class
1
..............................................................................................
2,714‌
5,287‌
26,332‌
24,719‌
Class
2
..............................................................................................
N/A‌
N/A‌
57‌
847‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
1,991‌
–‌
10,770‌
Class
2
..............................................................................................
N/A‌
N/A‌
–‌
77‌
Shares
redeemed:
Class
1
..............................................................................................
(
5,284‌
)
(
13,890‌
)
(
27,240‌
)
(
40,498‌
)
Class
2
..............................................................................................
N/A‌
N/A‌
(
1,506‌
)
(
121‌
)
Net
Increase
(Decrease)
in
Net
Assets
from
Capital
Share
Transactions
(
2,570‌
)
(
6,612‌
)
(
2,357‌
)
(
4,206‌
)
Total
Increase
(Decrease)
448‌
(
9,946‌
)
18,790‌
(
25,123‌
)
Net
Assets
Beginning
of
period
......................................................................................
31,890‌
41,836‌
173,486‌
198,609‌
End
of
period
............................................................................................
$
32,338‌
$
31,890‌
$
192,276‌
$
173,486‌
Increase
(Decrease)
in
Capital
Shares
Shares
sold:
Class
1
..............................................................................................
212‌
401‌
1,930‌
1,791‌
Class
2
..............................................................................................
N/A‌
N/A‌
4‌
60‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
156‌
–‌
795‌
Class
2
..............................................................................................
N/A‌
N/A‌
–‌
6‌
Shares
redeemed:
Class
1
..............................................................................................
(
411‌
)
(
1,058‌
)
(
1,995‌
)
(
2,948‌
)
Class
2
..............................................................................................
N/A‌
N/A‌
(
109‌
)
(
9‌
)
Net
Increase
(Decrease)
..................................................................................
(
199‌
)
(
501‌
)
(
170‌
)
(
305‌
)
(a)
Class
2
shares
discontinued
operations
and
converted
to
Class
1
shares
on
June
14,
2019.
Statements
of
Changes
in
Net
Assets
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
33
See
accompanying
notes.
Amounts
in
thousands
Principal
LifeTime
2030
Account
Principal
LifeTime
2040
Account
Period
Ended
June
30,
2019
(a)
Year
Ended
December
31,
2018
Period
Ended
June
30,
2019
(a)
Year
Ended
December
31,
2018
Operations
Net
investment
income
(loss)
............................................................................
$
395‌
$
3,489‌
$
163‌
$
1,440‌
Net
realized
gain
(loss)
on
Investments
..................................................................
(
86‌
)
8,790‌
(
219‌
)
3,902‌
Change
in
unrealized
appreciation/depreciation
of
Investments
.........................................
20,659‌
(
22,990‌
)
10,369‌
(
10,636‌
)
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
20,968‌
(
10,711‌
)
10,313‌
(
5,294‌
)
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments:
Class
1
..............................................................................................
–‌
(
8,819‌
)
–‌
(
3,624‌
)
Class
2
..............................................................................................
–‌
(
86‌
)
–‌
(
35‌
)
Total
Dividends
and
Distributions
–‌
(
8,905‌
)
–‌
(
3,659‌
)
Capital
Share
Transactions
Shares
sold:
Class
1
..............................................................................................
19,997‌
32,095‌
9,873‌
14,992‌
Class
2
..............................................................................................
193‌
1,181‌
158‌
571‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
8,819‌
–‌
3,624‌
Class
2
..............................................................................................
–‌
86‌
–‌
35‌
Shares
redeemed:
Class
1
..............................................................................................
(
14,257‌
)
(
33,379‌
)
(
6,831‌
)
(
10,786‌
)
Class
2
..............................................................................................
(
2,217‌
)
(
92‌
)
(
906‌
)
(
221‌
)
Net
Increase
(Decrease)
in
Net
Assets
from
Capital
Share
Transactions
3,716‌
8,710‌
2,294‌
8,215‌
Total
Increase
(Decrease)
24,684‌
(
10,906‌
)
12,607‌
(
738‌
)
Net
Assets
Beginning
of
period
......................................................................................
142,415‌
153,321‌
63,398‌
64,136‌
End
of
period
............................................................................................
$
167,099‌
$
142,415‌
$
76,005‌
$
63,398‌
Increase
(Decrease)
in
Capital
Shares
Shares
sold:
Class
1
..............................................................................................
1,578‌
2,454‌
638‌
953‌
Class
2
..............................................................................................
15‌
92‌
11‌
35‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
690‌
–‌
231‌
Class
2
..............................................................................................
–‌
7‌
–‌
2‌
Shares
redeemed:
Class
1
..............................................................................................
(
1,121‌
)
(
2,579‌
)
(
442‌
)
(
676‌
)
Class
2
..............................................................................................
(
172‌
)
(
7‌
)
(
58‌
)
(
14‌
)
Net
Increase
(Decrease)
..................................................................................
300‌
657‌
149‌
531‌
(a)
Class
2
shares
discontinued
operations
and
converted
to
Class
1
shares
on
June
14,
2019.
Statements
of
Changes
in
Net
Assets
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
34
See
accompanying
notes.
Amounts
in
thousands
Principal
LifeTime
2050
Account
Principal
LifeTime
2060
Account
Period
Ended
June
30,
2019
(a)
Year
Ended
December
31,
2018
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Operations
Net
investment
income
(loss)
............................................................................
$
64‌
$
682‌
$
10‌
$
97‌
Net
realized
gain
(loss)
on
Investments
..................................................................
(
111‌
)
2,171‌
(
4‌
)
352‌
Change
in
unrealized
appreciation/depreciation
of
Investments
.........................................
5,391‌
(
5,787‌
)
900‌
(
860‌
)
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
5,344‌
(
2,934‌
)
906‌
(
411‌
)
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments:
Class
1
..............................................................................................
–‌
(
2,121‌
)
–‌
(
305‌
)
Class
2
..............................................................................................
–‌
(
49‌
)
N/A‌
N/A‌
Total
Dividends
and
Distributions
–‌
(
2,170‌
)
–‌
(
305‌
)
Capital
Share
Transactions
Shares
sold:
Class
1
..............................................................................................
3,911‌
9,326‌
2,457‌
4,605‌
Class
2
..............................................................................................
93‌
604‌
N/A‌
N/A‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
2,121‌
–‌
305‌
Class
2
..............................................................................................
–‌
49‌
N/A‌
N/A‌
Shares
redeemed:
Class
1
..............................................................................................
(
3,489‌
)
(
7,749‌
)
(
1,252‌
)
(
5,257‌
)
Class
2
..............................................................................................
(
1,155‌
)
(
354‌
)
N/A‌
N/A‌
Net
Increase
(Decrease)
in
Net
Assets
from
Capital
Share
Transactions
(
640‌
)
3,997‌
1,205‌
(
347‌
)
Total
Increase
(Decrease)
4,704‌
(
1,107‌
)
2,111‌
(
1,063‌
)
Net
Assets
Beginning
of
period
......................................................................................
31,280‌
32,387‌
4,649‌
5,712‌
End
of
period
............................................................................................
$
35,984‌
$
31,280‌
$
6,760‌
$
4,649‌
Increase
(Decrease)
in
Capital
Shares
Shares
sold:
Class
1
..............................................................................................
261‌
599‌
180‌
320‌
Class
2
..............................................................................................
6‌
39‌
N/A‌
N/A‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
139‌
–‌
22‌
Class
2
..............................................................................................
–‌
3‌
N/A‌
N/A‌
Shares
redeemed:
Class
1
..............................................................................................
(
233‌
)
(
492‌
)
(
90‌
)
(
362‌
)
Class
2
..............................................................................................
(
76‌
)
(
22‌
)
N/A‌
N/A‌
Net
Increase
(Decrease)
..................................................................................
(
42‌
)
266‌
90‌
(
20‌
)
(a)
Class
2
shares
discontinued
operations
and
converted
to
Class
1
shares
on
June
14,
2019.
Statements
of
Changes
in
Net
Assets
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
35
See
accompanying
notes.
Amounts
in
thousands
Principal
LifeTime
Strategic
Income
Account
Real
Estate
Securities
Account
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Operations
Net
investment
income
(loss)
............................................................................
$
100‌
$
605‌
$
1,168‌
$
2,786‌
Net
realized
gain
(loss)
on
Investments
..................................................................
88‌
985‌
6,459‌
10,389‌
Change
in
unrealized
appreciation/depreciation
of
Investments
.........................................
1,641‌
(
2,234‌
)
20,952‌
(
19,411‌
)
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
1,829‌
(
644‌
)
28,579‌
(
6,236‌
)
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments:
Class
1
..............................................................................................
–‌
(
876‌
)
–‌
(
14,247‌
)
Class
2
..............................................................................................
N/A‌
N/A‌
–‌
(
340‌
)
Total
Dividends
and
Distributions
–‌
(
876‌
)
–‌
(
14,587‌
)
Capital
Share
Transactions
Shares
sold:
Class
1
..............................................................................................
2,817‌
4,140‌
7,504‌
11,906‌
Class
2
..............................................................................................
N/A‌
N/A‌
561‌
1,190‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
876‌
–‌
14,247‌
Class
2
..............................................................................................
N/A‌
N/A‌
–‌
340‌
Shares
redeemed:
Class
1
..............................................................................................
(
1,806‌
)
(
7,462‌
)
(
18,005‌
)
(
26,990‌
)
Class
2
..............................................................................................
N/A‌
N/A‌
(
430‌
)
(
393‌
)
Net
Increase
(Decrease)
in
Net
Assets
from
Capital
Share
Transactions
1,011‌
(
2,446‌
)
(
10,370‌
)
300‌
Total
Increase
(Decrease)
2,840‌
(
3,966‌
)
18,209‌
(
20,523‌
)
Net
Assets
Beginning
of
period
......................................................................................
20,664‌
24,630‌
136,922‌
157,445‌
End
of
period
............................................................................................
$
23,504‌
$
20,664‌
$
155,131‌
$
136,922‌
Increase
(Decrease)
in
Capital
Shares
Shares
sold:
Class
1
..............................................................................................
239‌
346‌
365‌
611‌
Class
2
..............................................................................................
N/A‌
N/A‌
26‌
61‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
75‌
–‌
737‌
Class
2
..............................................................................................
N/A‌
N/A‌
–‌
17‌
Shares
redeemed:
Class
1
..............................................................................................
(
154‌
)
(
626‌
)
(
867‌
)
(
1,376‌
)
Class
2
..............................................................................................
N/A‌
N/A‌
(
20‌
)
(
20‌
)
Net
Increase
(Decrease)
..................................................................................
85‌
(
205‌
)
(
496‌
)
30‌
Statements
of
Changes
in
Net
Assets
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
36
See
accompanying
notes.
Amounts
in
thousands
SAM
Balanced
Portfolio
SAM
Conservative
Balanced
Portfolio
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Operations
Net
investment
income
(loss)
............................................................................
$
2,125‌
$
16,876‌
$
946‌
$
5,257‌
Net
realized
gain
(loss)
on
Investments
..................................................................
10,577‌
26,614‌
2,426‌
4,053‌
Change
in
unrealized
appreciation/depreciation
of
Investments
.........................................
69,341‌
(
78,727‌
)
14,337‌
(
15,820‌
)
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
82,043‌
(
35,237‌
)
17,709‌
(
6,510‌
)
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments:
Class
1
..............................................................................................
–‌
(
49,734‌
)
–‌
(
11,929‌
)
Class
2
..............................................................................................
–‌
(
8,765‌
)
–‌
(
1,454‌
)
Total
Dividends
and
Distributions
–‌
(
58,499‌
)
–‌
(
13,383‌
)
Capital
Share
Transactions
Shares
sold:
Class
1
..............................................................................................
6,410‌
18,427‌
7,399‌
12,728‌
Class
2
..............................................................................................
6,674‌
9,719‌
1,288‌
4,078‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
49,734‌
–‌
11,929‌
Class
2
..............................................................................................
–‌
8,765‌
–‌
1,454‌
Shares
redeemed:
Class
1
..............................................................................................
(
51,309‌
)
(
106,200‌
)
(
12,449‌
)
(
31,254‌
)
Class
2
..............................................................................................
(
6,852‌
)
(
10,034‌
)
(
947‌
)
(
3,360‌
)
Net
Increase
(Decrease)
in
Net
Assets
from
Capital
Share
Transactions
(
45,077‌
)
(
29,589‌
)
(
4,709‌
)
(
4,425‌
)
Total
Increase
(Decrease)
36,966‌
(
123,325‌
)
13,000‌
(
24,318‌
)
Net
Assets
Beginning
of
period
......................................................................................
665,213‌
788,538‌
174,746‌
199,064‌
End
of
period
............................................................................................
$
702,179‌
$
665,213‌
$
187,746‌
$
174,746‌
Increase
(Decrease)
in
Capital
Shares
Shares
sold:
Class
1
..............................................................................................
428‌
1,191‌
639‌
1,055‌
Class
2
..............................................................................................
448‌
630‌
110‌
345‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
3,318‌
–‌
1,026‌
Class
2
..............................................................................................
–‌
591‌
–‌
127‌
Shares
redeemed:
Class
1
..............................................................................................
(
3,410‌
)
(
6,846‌
)
(
1,061‌
)
(
2,587‌
)
Class
2
..............................................................................................
(
463‌
)
(
654‌
)
(
82‌
)
(
282‌
)
Net
Increase
(Decrease)
..................................................................................
(
2,997‌
)
(
1,770‌
)
(
394‌
)
(
316‌
)
Statements
of
Changes
in
Net
Assets
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
37
See
accompanying
notes.
Amounts
in
thousands
SAM
Conservative
Growth
Portfolio
SAM
Flexible
Income
Portfolio
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Operations
Net
investment
income
(loss)
............................................................................
$
328‌
$
5,906‌
$
1,430‌
$
6,420‌
Net
realized
gain
(loss)
on
Investments
..................................................................
1,030‌
15,591‌
3,643‌
5,776‌
Change
in
unrealized
appreciation/depreciation
of
Investments
.........................................
44,096‌
(
43,484‌
)
10,221‌
(
15,998‌
)
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
45,454‌
(
21,987‌
)
15,294‌
(
3,802‌
)
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments:
Class
1
..............................................................................................
–‌
(
16,069‌
)
–‌
(
11,234‌
)
Class
2
..............................................................................................
–‌
(
9,631‌
)
–‌
(
1,602‌
)
Total
Dividends
and
Distributions
–‌
(
25,700‌
)
–‌
(
12,836‌
)
Capital
Share
Transactions
Shares
sold:
Class
1
..............................................................................................
7,380‌
21,584‌
5,262‌
8,441‌
Class
2
..............................................................................................
5,118‌
9,393‌
1,910‌
7,676‌
Shares
issued
in
acquisition:
Class
1
..............................................................................................
N/A‌
N/A‌
346‌
N/A‌
Class
2
..............................................................................................
N/A‌
N/A‌
107‌
N/A‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
16,069‌
–‌
11,234‌
Class
2
..............................................................................................
–‌
9,631‌
–‌
1,602‌
Shares
redeemed:
Class
1
..............................................................................................
(
19,572‌
)
(
38,633‌
)
(
17,324‌
)
(
42,935‌
)
Class
2
..............................................................................................
(
8,516‌
)
(
9,529‌
)
(
1,700‌
)
(
4,450‌
)
Net
Increase
(Decrease)
in
Net
Assets
from
Capital
Share
Transactions
(
15,590‌
)
8,515‌
(
11,399‌
)
(
18,432‌
)
Total
Increase
(Decrease)
29,864‌
(
39,172‌
)
3,895‌
(
35,070‌
)
Net
Assets
Beginning
of
period
......................................................................................
307,961‌
347,133‌
182,675‌
217,745‌
End
of
period
............................................................................................
$
337,825‌
$
307,961‌
$
186,570‌
$
182,675‌
Increase
(Decrease)
in
Capital
Shares
Shares
sold:
Class
1
..............................................................................................
397‌
1,136‌
425‌
668‌
Class
2
..............................................................................................
277‌
491‌
155‌
613‌
Shares
issued
in
acquisition:
Class
1
..............................................................................................
N/A‌
N/A‌
27‌
N/A‌
Class
2
..............................................................................................
N/A‌
N/A‌
8‌
N/A‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
847‌
–‌
921‌
Class
2
..............................................................................................
–‌
514‌
–‌
132‌
Shares
redeemed:
Class
1
..............................................................................................
(
1,039‌
)
(
2,012‌
)
(
1,387‌
)
(
3,390‌
)
Class
2
..............................................................................................
(
462‌
)
(
494‌
)
(
139‌
)
(
353‌
)
Net
Increase
(Decrease)
..................................................................................
(
827‌
)
482‌
(
911‌
)
(
1,409‌
)
Statements
of
Changes
in
Net
Assets
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
38
See
accompanying
notes.
Amounts
in
thousands
SAM
Strategic
Growth
Portfolio
Short-Term
Income
Account
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Period
Ended
June
30,
2019
(a)
Year
Ended
December
31,
2018
Operations
Net
investment
income
(loss)
............................................................................
$
297‌
$
4,190‌
$
1,721‌
$
3,396‌
Net
realized
gain
(loss)
on
Investments
..................................................................
416‌
16,667‌
151‌
(
914‌
)
Change
in
unrealized
appreciation/depreciation
of
Investments
.........................................
42,232‌
(
45,097‌
)
2,637‌
(
759‌
)
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
42,945‌
(
24,240‌
)
4,509‌
1,723‌
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments:
Class
1
..............................................................................................
–‌
(
12,164‌
)
–‌
(
3,250‌
)
Class
2
..............................................................................................
–‌
(
9,663‌
)
–‌
(
71‌
)
Total
Dividends
and
Distributions
–‌
(
21,827‌
)
–‌
(
3,321‌
)
Capital
Share
Transactions
Shares
sold:
Class
1
..............................................................................................
5,800‌
15,633‌
19,538‌
29,747‌
Class
2
..............................................................................................
4,869‌
9,438‌
1,116‌
2,906‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
12,164‌
–‌
3,250‌
Class
2
..............................................................................................
–‌
9,663‌
–‌
71‌
Shares
redeemed:
Class
1
..............................................................................................
(
11,463‌
)
(
26,105‌
)
(
42,024‌
)
(
40,805‌
)
Class
2
..............................................................................................
(
5,053‌
)
(
10,070‌
)
(
5,301‌
)
(
1,159‌
)
Net
Increase
(Decrease)
in
Net
Assets
from
Capital
Share
Transactions
(
5,847‌
)
10,723‌
(
26,671‌
)
(
5,990‌
)
Total
Increase
(Decrease)
37,098‌
(
35,344‌
)
(
22,162‌
)
(
7,588‌
)
Net
Assets
Beginning
of
period
......................................................................................
255,149‌
290,493‌
153,158‌
160,746‌
End
of
period
............................................................................................
$
292,247‌
$
255,149‌
$
130,996‌
$
153,158‌
Increase
(Decrease)
in
Capital
Shares
Shares
sold:
Class
1
..............................................................................................
284‌
737‌
7,617‌
11,770‌
Class
2
..............................................................................................
242‌
448‌
437‌
1,153‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
589‌
–‌
1,300‌
Class
2
..............................................................................................
–‌
474‌
–‌
28‌
Shares
redeemed:
Class
1
..............................................................................................
(
559‌
)
(
1,230‌
)
(
16,434‌
)
(
16,117‌
)
Class
2
..............................................................................................
(
251‌
)
(
480‌
)
(
2,065‌
)
(
460‌
)
Net
Increase
(Decrease)
..................................................................................
(
284‌
)
538‌
(
10,445‌
)
(
2,326‌
)
(a)
Class
2
shares
discontinued
operations
and
converted
to
Class
1
shares
on
June
14,
2019.
Statements
of
Changes
in
Net
Assets
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
39
See
accompanying
notes.
Amounts
in
thousands
SmallCap
Account
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Operations
Net
investment
income
(loss)
...................................................................................................................
$
525‌
$
394‌
Net
realized
gain
(loss)
on
Investments
.........................................................................................................
4,921‌
28,868‌
Change
in
unrealized
appreciation/depreciation
of
Investments
................................................................................
27,257‌
(
48,626‌
)
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
32,703‌
(
19,364‌
)
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments:
Class
1
.....................................................................................................................................
–‌
(
13,133‌
)
Class
2
.....................................................................................................................................
–‌
(
366‌
)
Total
Dividends
and
Distributions
–‌
(
13,499‌
)
Capital
Share
Transactions
Shares
sold:
Class
1
.....................................................................................................................................
4,457‌
12,588‌
Class
2
.....................................................................................................................................
328‌
866‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
.....................................................................................................................................
–‌
13,133‌
Class
2
.....................................................................................................................................
–‌
366‌
Shares
redeemed:
Class
1
.....................................................................................................................................
(
13,486‌
)
(
39,263‌
)
Class
2
.....................................................................................................................................
(
186‌
)
(
750‌
)
Net
Increase
(Decrease)
in
Net
Assets
from
Capital
Share
Transactions
(
8,887‌
)
(
13,060‌
)
Total
Increase
(Decrease)
23,816‌
(
45,923‌
)
Net
Assets
Beginning
of
period
.............................................................................................................................
168,117‌
214,040‌
End
of
period
...................................................................................................................................
$
191,933‌
$
168,117‌
Increase
(Decrease)
in
Capital
Shares
Shares
sold:
Class
1
.....................................................................................................................................
273‌
732‌
Class
2
.....................................................................................................................................
20‌
50‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
.....................................................................................................................................
–‌
716‌
Class
2
.....................................................................................................................................
–‌
20‌
Shares
redeemed:
Class
1
.....................................................................................................................................
(
815‌
)
(
2,233‌
)
Class
2
.....................................................................................................................................
(
11‌
)
(
43‌
)
Net
Increase
(Decrease)
.........................................................................................................................
(
533‌
)
(
758‌
)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
40
1.
Organization
Principal
Variable
Contracts
Funds,
Inc.
(the
"Fund")
is
registered
under
the
Investment
Company
Act
of
1940,
as
amended,
as
an
open-end
management
investment
company
and
operates
as
a
series
fund
in
the
mutual
fund
industry.
The
financial
statements
for
Bond
Market
Index
Account,
Core
Plus
Bond
Account,
Diversified
Balanced
Account,
Diversified
Balanced
Managed
Volatility
Account,
Diversified
Balanced
Volatility
Control
Account,
Diversified
Growth
Account,
Diversified
Growth
Managed
Volatility
Account,
Diversified
Growth
Volatility
Control
Account,
Diversified
Income
Account,
Diversified
International
Account,
Equity
Income
Account,
Government
&
High
Quality
Bond
Account,
International
Emerging
Markets
Account,
LargeCap
Growth
Account
I,
LargeCap
S&P
500
Index
Account,
LargeCap
S&P
500
Managed
Volatility
Index
Account,
MidCap
Account,
Principal
Capital
Appreciation
Account,
Principal
LifeTime
2010
Account,
Principal
LifeTime
2020
Account,
Principal
LifeTime
2030
Account,
Principal
LifeTime
2040
Account,
Principal
LifeTime
2050
Account,
Principal
LifeTime
2060
Account,
Principal
LifeTime
Strategic
Income
Account,
Real
Estate
Securities
Account,
SAM
Balanced
Portfolio,
SAM
Conservative
Balanced
Portfolio,
SAM
Conservative
Growth
Portfolio,
SAM
Flexible
Income
Portfolio,
SAM
Strategic
Growth
Portfolio,
Short-Term
Income
Account
and
SmallCap
Account
(known
as
the
“Accounts”),
are
presented
herein.
Each
of
the
Accounts
is
an
investment
company
and
applies
specialized
accounting
and
reporting
under
Accounting
Standards
Codification
Topic
946,
Financial
Services
-
Investment
Companies
.
The
Accounts
have
not
provided
financial
support
and
are
not
contractually
required
to
provide
financial
support
to
any
investee.
Effective
October
12,
2018,
Equity
Income
Account
acquired
all
the
assets
and
assumed
all
the
liabilities
of
LargeCap
Value
Account
pursuant
to
a
plan
of
reorganization
approved
by
shareholders
October
1,
2018.
The
purpose
of
the
acquisition
was
to
combine
two
accounts
managed
by
Principal
Global
Investors,
LLC
(“the
Manager”)
with
similar
investment
objectives,
principal
policies,
and
risks.
The
acquisition
was
accomplished
by
a
tax-free
exchange
of
5,827,000
shares
from
LargeCap
Value
Account
for
5,686,000
shares
valued
at
$138,841,000
of
Equity
Income
Account
at
an
approximate
exchange
rate
of
.98
for
Class
1
and
.98
for
Class
2.
The
investment
securities
of
LargeCap
Value
Account,
with
a
fair
value
of
approximately
$136,333,000
and
a
cost
of
$141,343,000,
and
$2,514,000
cash
were
the
primary
assets
acquired
by
Equity
Income
Account
on
October
12,
2018.
For
financial
reporting
purposes,
assets
received
and
shares
issued
by
Equity
Income
Account
were
recorded
at
fair
value;
however,
the
cost
basis
of
the
investments
received
from
LargeCap
Value
Account
were
maintained
through
the
reorganization.
The
net
assets
of
LargeCap
Value
Account
and
Equity
Income
Account
immediately
prior
to
the
acquisition
in
accordance
with
U.S.
generally
accepted
accounting
principles
(“U.S.
GAAP”)
were
approximately
$138,841,000
($1,038,000
of
accumulated
realized
gain)
and
$580,109,000,
respectively.
The
aggregate
net
assets
of
Equity
Income
Account
immediately
following
the
acquisition
were
$718,950,000.
In
accordance
with
Sections
381-384
of
the
Internal
Revenue
Code,
a
portion
of
accumulated
realized
losses
may
be
subject
to
limitation.
Assuming
the
acquisition
had
been
completed
on
January
1,
2018,
the
beginning
of
the
fiscal
year
for
Equity
Income
Account,
Equity
Income
Account’s
pro
forma
results
of
operations
for
the
year
ended
December
31,
2018,
would
have
been
$17,543,000
of
net
investment
income,
$54,739,000
of
net
realized
and
unrealized
loss
on
investments,
and
$37,196,000
of
net
decrease
in
net
assets
resulting
from
operations.
Because
the
combined
investment
portfolios
have
been
managed
as
a
single
integrated
portfolio
since
the
acquisition
was
completed,
it
is
not
practicable
to
separate
the
amounts
of
revenue
and
earnings
of
LargeCap
Value
Account
that
have
been
included
in
Equity
Income
Account’s
statement
of
operations
since
October
12,
2018.
Effective
June
7,
2019,
Core
Plus
Bond
Account
acquired
all
the
assets
and
assumed
all
the
liabilities
of
Income
Account
pursuant
to
a
plan
of
reorganization
approved
by
shareholders
December
11,
2018.
The
purpose
of
the
acquisition
was
to
combine
two
accounts
managed
by
the
Manager
with
similar
investment
objectives,
principal
policies,
and
risks.
The
acquisition
was
accomplished
by
a
taxable
exchange
of
5,873,000
shares
from
Income
Account
for
1,210,000
shares
valued
at
$13,863,000
of
Core
Plus
Bond
Account
at
an
approximate
exchange
rate
of
.21
and
.21
for
Class
1
and
Class
2
shares,
respectively.
The
investment
securities
of
Income
Account,
with
a
fair
value
of
approximately
$13,145,000
and
a
cost
of
$12,607,000
and
$613,000
cash
were
the
primary
assets
acquired
by
Core
Plus
Bond
Account
on
June
7,
2019.
For
financial
reporting
purposes,
assets
received,
and
shares
issued
by
Core
Plus
Bond
Account
were
recorded
at
fair
value;
however,
the
cost
basis
of
the
investments
received
from
Income
Account
were
maintained
through
the
reorganization.
The
net
assets
of
Income
Account
and
Core
Plus
Bond
Account
immediately
prior
to
the
acquisition
in
accordance
with
U.S.
GAAP
were
approximately
$13,863,000
($4,875,000
of
accumulated
realized
gain)
and
$304,718,000,
respectively.
The
aggregate
net
assets
of
Core
Plus
Bond
Account
immediately
following
the
acquisition
were
$318,581,000.
In
accordance
with
Sections
381-384
of
the
Internal
Revenue
Code,
a
portion
of
accumulated
realized
losses
may
be
subject
to
limitation.
Assuming
the
acquisition
had
been
completed
on
January
1,
2019,
the
beginning
of
the
fiscal
year
for
Core
Plus
Bond
Account,
Core
Plus
Bond
Account’s
pro
forma
results
of
operations
for
the
period
ended
June
30,
2019,
would
have
been
$7,249,000
of
net
investment
income,
$20,829,000
of
net
realized
and
unrealized
gain
on
investments,
and
$28,078,000
of
net
increase
in
net
assets
resulting
from
operations.
Because
the
combined
investment
portfolios
have
been
managed
as
a
single
integrated
portfolio
since
the
acquisition
was
completed,
it
is
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
41
not
practicable
to
separate
the
amounts
of
revenue
and
earnings
of
Income
Account
that
have
been
included
in
Core
Plus
Bond
Account’s
statement
of
operations
since
June
7,
2019.
Effective
June
7,
2019,
LargeCap
Growth
Account
I
acquired
all
the
assets
and
assumed
all
the
liabilities
of
LargeCap
Growth
Account
pursuant
to
a
plan
of
reorganization
approved
by
shareholders
December
11,
2018.
The
purpose
of
the
acquisition
was
to
combine
two
accounts
managed
by
the
Manager
with
similar
investment
objectives,
principal
policies,
and
risks.
The
acquisition
was
accomplished
by
a
non-taxable
exchange
of
4,657,000
shares
from
LargeCap
Growth
Account
for
3,150,000
shares
valued
at
$112,835,000
of
LargeCap
Growth
Account
I
at
an
approximate
exchange
rate
of
.68
and
.67
for
Class
1
and
Class
2
shares,
respectively.
The
investment
securities
of
LargeCap
Growth
Account,
with
a
fair
value
of
approximately
$109,603,000
and
a
cost
of
$97,236,000
and
$3,176,000
cash
were
the
primary
assets
acquired
by
LargeCap
Growth
Account
I
on
June
7,
2019.
For
financial
reporting
purposes,
assets
received,
and
shares
issued
by
LargeCap
Growth
Account
I
were
recorded
at
fair
value;
however,
the
cost
basis
of
the
investments
received
from
LargeCap
Growth
Account
were
maintained
through
the
reorganization.
The
net
assets
of
LargeCap
Growth
Account
and
LargeCap
Growth
Account
I
immediately
prior
to
the
acquisition
in
accordance
with
U.S.
GAAP
were
approximately
$112,835,000
($650,000
of
accumulated
realized
gain)
and
$351,045,000,
respectively.
The
aggregate
net
assets
of
LargeCap
Growth
Account
I
immediately
following
the
acquisition
were
$463,880,000.
In
accordance
with
Sections
381-384
of
the
Internal
Revenue
Code,
a
portion
of
accumulated
realized
losses
may
be
subject
to
limitation.
Assuming
the
acquisition
had
been
completed
on
January
1,
2019,
the
beginning
of
the
fiscal
year
for
LargeCap
Growth
Account
I,
LargeCap
Growth
Account
I’s
pro
forma
results
of
operations
for
the
period
ended
June
30,
2019,
would
have
been
$91,000
of
net
investment
income,
$87,116,000
of
net
realized
and
unrealized
gain
on
investments,
and
$87,207,000
of
net
increase
in
net
assets
resulting
from
operations.
Because
the
combined
investment
portfolios
have
been
managed
as
a
single
integrated
portfolio
since
the
acquisition
was
completed,
it
is
not
practicable
to
separate
the
amounts
of
revenue
and
earnings
of
LargeCap
Growth
Account
that
have
been
included
in
LargeCap
Growth
Account
I’s
statement
of
operations
since
June
7,
2019.
Effective
June
7,
2019,
SAM
Flexible
Income
Account
acquired
all
the
assets
and
assumed
all
the
liabilities
of
Multi-Asset
Income
Account
pursuant
to
a
plan
of
reorganization
approved
by
shareholders
December
11,
2018.
The
purpose
of
the
acquisition
was
to
combine
two
accounts
managed
by
the
Manager
with
similar
investment
objectives,
principal
policies,
and
risks.
The
acquisition
was
accomplished
by
a
non-taxable
exchange
of
43,000
shares
from
Multi-Asset
Income
Account
for
35,000
shares
valued
at
$453,000
of
SAM
Flexible
Income
Account
at
an
approximate
exchange
rate
of
.83
and
.83
for
Class
1
and
Class
2
shares,
respectively.
$457,000
cash
was
the
primary
asset
acquired
by
SAM
Flexible
Income
Account
on
June
7,
2019.
The
net
assets
of
Multi-Asset
Income
Account
and
SAM
Flexible
Income
Account
immediately
prior
to
the
acquisition
in
accordance
with
U.S.
GAAP
were
approximately
$453,000
and
$185,924,000,
respectively.
The
aggregate
net
assets
of
SAM
Flexible
Income
Account
immediately
following
the
acquisition
were
$186,377,000.
In
accordance
with
Sections
381-384
of
the
Internal
Revenue
Code,
a
portion
of
accumulated
realized
losses
may
be
subject
to
limitation.
Assuming
the
acquisition
had
been
completed
on
January
1,
2019,
the
beginning
of
the
fiscal
year
for
SAM
Flexible
Income
Account,
SAM
Flexible
Income
Account’s
pro
forma
results
of
operations
for
the
period
ended
June
30,
2019,
would
have
been
$1,437,000
of
net
investment
income,
$13,889,000
of
net
realized
and
unrealized
gain
on
investments,
and
$15,326,000
of
net
increase
in
net
assets
resulting
from
operations.
Because
the
combined
investment
portfolios
have
been
managed
as
a
single
integrated
portfolio
since
the
acquisition
was
completed,
it
is
not
practicable
to
separate
the
amounts
of
revenue
and
earnings
of
Multi-Asset
Income
Account
that
have
been
included
in
SAM
Flexible
Income
Account’s
statement
of
operations
since
June
7,
2019.
Effective
June
14,
2019,
Class
2
shares
discontinued
and
converted
into
Class
1
shares
for
the
following
Accounts:
Both
classes
of
shares
for
each
of
the
Accounts
represent
interests
in
the
same
portfolio
of
investments
and
will
vote
together
as
a
single
class,
except
where
otherwise
required
by
law
or
as
determined
by
the
Fund’s
Board
of
Directors.
In
addition,
the
Board
of
Directors
declares
separate
dividends
on
each
class
of
shares.
Core
Plus
Bond
Account
Principal
LifeTime
2020
Account
Diversified
International
Account
Principal
LifeTime
2030
Account
Government
&
High-Quality
Bond
Account
Principal
LifeTime
2040
Account
International
Emerging
Markets
Account
Principal
LifeTime
2050
Account
LargeCap
Growth
Account
I
Short-Term
Income
Account
1.
Organization
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
42
2.
Significant
Accounting
Policies
The
preparation
of
financial
statements
in
conformity
with
U.S. GAAP
requires
management
to
make
estimates
and
assumptions
that
affect
the
reported
amounts
of
assets
and
liabilities
and
disclosure
of
contingent
assets
and
liabilities
at
the
date
of
the
financial
statements
and
the
reported
amounts
of
revenues
and
expenses
during
the
reporting
period.
Actual
results
could
differ
from
those
estimates.
The
following
summarizes
the
significant
accounting
policies
of
the
Accounts:
Security
Valuation.
Certain
of
the
Accounts,
including
Principal
LifeTime
2010
Account,
Principal
LifeTime
2020
Account,
Principal
LifeTime
2030
Account,
Principal
LifeTime
2040
Account,
Principal
LifeTime
2050
Account,
Principal
LifeTime
2060
Account,
and
Principal
LifeTime
Strategic
Income
Account
(collectively,
the
“Principal
LifeTime
Accounts”)
along
with
SAM
Balanced
Portfolio,
SAM
Conservative
Balanced
Portfolio,
SAM
Conservative
Growth
Portfolio,
SAM
Flexible
Income
Portfolio,
SAM
Strategic
Growth
Portfolio
(collectively,
the
“SAM
Portfolios”)
and
Diversified
Balanced
Account,
Diversified
Balanced
Volatility
Control
Account,
Diversified
Balanced
Managed
Volatility
Account,
Diversified
Growth
Account,
Diversified
Growth
Managed
Volatility
Account,
Diversified
Growth
Volatility
Control
Account,
and
Diversified
Income
Account
invest
in
other
series
of
the
Fund
and
in
class
R-6
and
Institutional
shares
of
series
of
Principal
Funds,
Inc.
which
are
valued
at
the
closing
net
asset
value
per
share
of
each
respective
fund
on
the
day
of
valuation.
In
addition,
certain
of
the
Accounts
invest
in
Principal
Exchange-Traded
Funds
and
other
publicly
traded
investment
funds,
which
are
valued
at
the
close
of
the
exchange.
The
shares
of
the
other
series
of
the
Fund,
Principal
Funds,
Inc.,
Principal
Exchange-Traded
Funds,
and
other
publicly
traded
investment
funds
are
referred
to
as
the
“Underlying
Funds”.
The
Accounts
(with
the
exception
of
Diversified
Balanced
Volatility
Control
Account,
Diversified
Balanced
Managed
Volatility
Account,
Diversified
Growth
Account,
Diversified
Growth
Managed
Volatility
Account,
Diversified
Growth
Volatility
Control
Account,
Diversified
Income
Account,
Principal
LifeTime
Accounts,
and
SAM
Portfolios)
value
securities
for
which
market
quotations
are
readily
available
at
fair
value,
which
is
determined
using
the
last
reported
sale
price.
If
no
sales
are
reported,
as
is
regularly
the
case
for
some
securities
traded
over-the-counter,
securities
are
valued
using
the
last
reported
bid
price
or
an
evaluated
bid
price
provided
by
a
pricing
service.
Pricing
services
use
modeling
techniques
that
incorporate
security
characteristics
such
as
current
quotations
by
broker/dealers,
coupon,
maturity,
quality,
type
of
issue,
trading
characteristics,
other
yield
and
risk
factors,
and
other
market
conditions
to
determine
an
evaluated
bid
price
or,
in
the
case
of
certain
credit
default
swaps,
a
mean
price
provided
by
a
pricing
service.
When
reliable
market
quotations
are
not
considered
to
be
readily
available,
which
may
be
the
case,
for
example,
with
respect
to
restricted
securities,
certain
debt
securities,
preferred
stocks,
and
foreign
securities,
the
investments
are
valued
at
their
fair
value
as
determined
in
good
faith
by
the
Manager
under
procedures
established
and
periodically
reviewed
by
the
Fund’s
Board
of
Directors.
The
value
of
foreign
securities
used
in
computing
the
net
asset
value
per
share
is
generally
determined
as
of
the
close
of
the
foreign
exchange
where
the
security
is
principally
traded.
Events
that
occur
after
the
close
of
the
applicable
foreign
market
or
exchange
but
prior
to
the
calculation
of
the
Accounts’
net
asset
values
are
reflected
in
the
Accounts’
net
asset
values
and
these
securities
are
valued
at
fair
value
as
determined
in
good
faith
by
the
Manager
under
procedures
established
and
periodically
reviewed
by
the
Fund’s
Board
of
Directors.
Many
factors,
provided
by
independent
pricing
services,
are
reviewed
in
the
course
of
making
a
good
faith
determination
of
a
security’s
fair
value,
including,
but
not
limited
to,
price
movements
in
American
depository
receipts
(“ADRs”),
futures
contracts,
industry
indices,
general
indices,
and
foreign
currencies.
To
the
extent
the
Accounts
invest
in
foreign
securities
listed
on
foreign
exchanges
which
trade
on
days
on
which
the
Accounts
do
not
determine
net
asset
values,
for
example,
weekends
and
other
customary
national
U.S.
holidays,
the
Accounts’
net
asset
values
could
be
significantly
affected
on
days
when
shareholders
cannot
purchase
or
redeem
shares.
Certain
securities
issued
by
companies
in
emerging
market
countries
may
have
more
than
one
quoted
valuation
at
any
given
point
in
time,
sometimes
referred
to
as
a
"local"
price
and
a
"premium"
price.
The
premium
price
is
often
a
negotiated
price,
which
may
not
consistently
represent
a
price
at
which
a
specific
transaction
can
be
effected.
It
is
the
policy
of
the
Accounts
to
value
such
securities
at
prices
at
which
it
is
expected
those
shares
may
be
sold,
and
the
Manager
or
any
sub-advisor
is
authorized
to
make
such
determinations
subject
to
such
oversight
by
the
Fund’s
Board
of
Directors
as
may
occasionally
be
necessary.
Currency
Translation.
Foreign
holdings
are
translated
to
U.S.
dollars
using
the
exchange
rate
at
the
daily
close
of
the
New
York
Stock
Exchange.
The
identified
cost
of
the
Accounts’
holdings
is
translated
at
approximate
rates
prevailing
when
acquired.
Income
and
expense
amounts
are
translated
at
approximate
rates
prevailing
when
received
or
paid,
with
daily
accruals
of
such
amounts
reported
at
approximate
rates
prevailing
at
the
date
of
valuation.
Since
the
carrying
amount
of
the
foreign
securities
is
determined
based
on
the
exchange
rate
and
market
values
at
the
close
of
the
period,
it
is
not
practicable
to
isolate
that
portion
of
the
results
of
operations
arising
as
a
result
of
changes
in
the
foreign
exchange
rates
from
the
fluctuations
arising
from
changes
in
the
market
prices
of
securities
during
the
period.
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
43
Net
realized
foreign
exchange
gains
or
losses
arise
from
sales
of
foreign
currencies,
currency
gains
or
losses
realized
between
trade
and
settlement
dates
on
security
transactions,
and
the
difference
between
the
amount
of
dividends,
interest
income,
interest
expense,
and
foreign
withholding
taxes
recorded
on
the
books
and
the
U.S.
dollar
equivalent
of
the
amounts
actually
received
or
paid.
Net
unrealized
appreciation
(depreciation)
on
translation
of
assets
and
liabilities
in
foreign
currencies
arise
from
changes
in
the
exchange
rate
relating
to
assets
and
liabilities,
other
than
investments
in
securities,
purchased
and
held
in
non-U.S.
denominated
currencies.
The
following accounts
held
securities
denominated
in
foreign
currencies
that
exceeded
5%
of
net
assets
of
the
respective
account as
of
June
30,
2019:
Income
and
Investment
Transactions.
The Accounts
record
investment
transactions
on
a
trade
date
basis.
Trade
date
for
senior
floating
rate
interests
purchased
in
the
primary
market
is
considered
the
date
on
which
the
loan
allocations
are
determined.
Trade
date
for
senior
floating
rate
interests
purchased
in
the
secondary
market
is
the
date
on
which
the
transaction
is
entered
into.
The
identified
cost
basis
has
been
used
in
determining
the
net
realized
gain
or
loss
from
investment
transactions
and
unrealized
appreciation
or
depreciation
of
investments.
The
Accounts
record
dividend
income
on
the
ex-dividend
date,
except
dividend
income
from
foreign
securities
whereby
the
ex-dividend
date
has
passed;
such
dividends
are
recorded
as
soon
as
the Accounts
are
informed
of
the
ex-dividend
date.
Interest
income
is
recognized
on
an
accrual
basis.
Discounts
and
premiums
on
securities
are
accreted/amortized,
respectively,
on
the
level
yield
method
over
the
expected
lives
of
the
respective
securities.
The Accounts
allocate
all
income
and
realized
and
unrealized
gains
or
losses
on
a
daily
basis
to
each
class
of
shares
based
upon
the
relative
proportion
of
the
value
of
shares
outstanding
of
each
class. 
Expenses.
Expenses
directly
attributed
to
a
particular account
are
charged
to
that
account.
Other
expenses
not
directly
attributed
to
a
particular account
are
apportioned
among
the
registered
investment
companies
managed
by
the
Manager.
Management
fees
are
allocated
daily
to
each
class
of
shares
based
upon
the
relative
proportion
of
the
value
of
shares
outstanding
of
each
class.
Expenses
specifically
attributable
to
a
particular
class
are
charged
directly
to
such
class
and
are
included
separately
in
the
statements
of
operations.
In
addition
to
the
expenses
the Accounts
bear
directly,
each
of
the Accounts
may
indirectly
bear
a
pro
rata
share
of
the
fees
and
expenses
of
the
Underlying
Funds
in
which
they
invest.
Because
the
Underlying
Funds
have
varied
expense
levels
and
each
of
the Accounts
may
own
different
proportions
of
Underlying
Funds
at
different
times,
the
amount
of
expense
incurred
indirectly
by
each Account
will
vary.
Expenses
included
in
the
statements
of
operations
of
the Accounts
reflect
the
expenses
of
each
Account
and do
not
include
any
expenses
associated
with
the
Underlying
Funds. 
Distributions
to
Shareholders.
Dividends
and
distributions
to
shareholders
are
recorded
on
the
ex-dividend
date.
Dividends
and
distributions
to
shareholders
from
net
investment
income
and
net
realized
gain
from
investments
and
foreign
currency
transactions
are
determined
in
accordance
with
federal
tax
regulations,
which
may
differ
from
U.S.
GAAP.
These
differences
are
primarily
due
to
differing
treatments
for
amortization
of
premiums
and
discounts,
net
operating
losses,
foreign
currency
transactions,
options
and
futures
contracts,
certain
defaulted
securities,
sales
of
Passive
Foreign
Investment
Companies,
losses
deferred
due
to
wash
sales,
mortgage-backed
securities,
certain
preferred
securities,
swap
agreements,
short
sales,
partnership
investments,
Real
Estate
Investment
Trusts
(“REITs”),
utilization
of
earnings
and
profits
distributed
to
shareholders
on
redemption
of
shares,
and
expiring
capital
loss
carry
forwards.
Permanent
book
and
tax
basis
differences
are
reclassified
within
the
capital
accounts
based
on
federal
tax-basis
treatment;
temporary
differences
do
not
require
reclassification.
To
the
extent
dividends
and
distributions
exceed
current
and
accumulated
earnings
and
profits
for
federal
income
tax
purposes,
they
are
reported
as
return
of
capital
distributions.
Diversified
International
Account
Euro
18.8%
Japanese
Yen
14.8%
British
Pound
Sterling
11.8%
Swiss
Franc
8.9%
Canadian
Dollar
8.4%
International
Emerging
Markets
Account
Hong
Kong
Dollar
18.2%
Indian
Rupee
12.4%
South
Korean
Won
11.4%
New
Taiwan
Dollar
10.3%
Brazilian
Real
8.1%
South
African
Rand
6.0%
2.
Significant
Accounting
Policies
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
44
Distributions
from
REITs
may
be
characterized
as
ordinary
income,
net
capital
gain,
or
a
return
of
capital
to
the
account.
The
proper
characterization
of
REIT
distributions
is
generally
not
known
until
after
the
end
of
each
calendar
year.
As
such,
estimates
are
used
in
reporting
the
character
of
income
and
distributions
for
financial
statement
purposes.
Real
Estate
Securities
Account
receives
substantial
distributions
from
holdings
in
REITs.
Federal
Income
Taxes.
No
provision
for
federal
income
taxes
is
considered
necessary
because
each
of
the Accounts
intends
to
qualify
as
a
“regulated
investment
company”
under
the
Internal
Revenue
Code
and
intends
to
distribute
each
year
substantially
all
of
its
net
investment
income
and
realized
capital
gains
to
shareholders.
Management
evaluates
tax
positions
taken
or
expected
to
be
taken
in
the
course
of
preparing
the
Accounts’
tax
returns
to
determine
whether
it
is
“more
likely
than
not”
that
each
tax
position
would
be
sustained
upon
examination
by
a
taxing
authority
based
on
the
technical
merits
of
the
position.
Tax
positions
not
deemed
to
meet
the
more
likely
than
not
threshold
would
be
recorded
as
a
tax
benefit
or
expense
in
the
current
year.
During
the period
ended
June
30,
2019,
the Accounts
did
not
record
any
such
tax
benefit
or
expense
in
the
accompanying
financial
statements.
The
statute
of
limitations
remains
open
for
the
fiscal
years
from
2015-2017.
Foreign
Taxes.
Certain
of
the Accounts
are
subject
to
foreign
income
taxes
imposed
by
certain
countries
in
which
they
invest.
Foreign
income
taxes
are
accrued
by
the Accounts
as
a
reduction
of
income.
These
amounts
are
shown
as
withholding
tax
on
the
statements
of
operations.
In
consideration
of
recent
decisions
rendered
by
European
courts,
certain
of
the Accounts
have
filed
additional
tax
reclaims
for
taxes
withheld
in
prior
years.
Due
to
the
uncertainty
and
timing
of
these
reclaims,
a
corresponding
receivable
will
only
be
recorded
when
both
the
amount
is
known
and
there
are
no
significant
uncertainties
regarding
collectability.
Gains
realized
upon
the
disposition
of
certain
foreign
securities
held
by
certain
of
the
Accounts
may
be
subject
to
capital
gains
tax,
payable
prior
to
repatriation
of
sale
proceeds.
The
tax
is
computed
on
certain
net
realized
gains
and,
if
any,
is
shown
on
the
statements
of
operations.
Realized
losses
in
excess
of
gains
may
be
carried
forward
to
offset
future
gains.
In
addition,
the
Accounts
accrue
an
estimated
deferred
tax
liability
for
future
gains
on
certain
foreign
securities.
Any
accrued
tax
liability
is
shown
on
the
statements
of
assets
and
liabilities.
At
June
30,
2019,
none
of
the
Accounts
had
a
deferred
tax
liability.
Recent
Accounting
Pronouncements.
Effective
August
17,
2018,
the
U.S.
Securities
and
Exchange
Commission
(“SEC”)
approved
a
final
rule,
Disclosure
Update
and
Simplification
.
The
SEC
adopted
amendments
to
certain
disclosures
that
have
become
redundant
or
superseded
in
light
of
other
SEC
disclosure
requirements,
U.S.
GAAP
or
changes
in
the
information
environment.
As
of December
31,
2018,
the
Accounts
have adopted
the
new
amendments.
In
August
2018,
the
Financial
Accounting
Standards
Board
issued
Accounting
Standards
Update
("ASU")
No.
2018-13,
Fair
Value
Measurement
(Topic
820):
Disclosure
Framework
-
Changes
to
the
Disclosure
Requirements
for
Fair
Value
Measurement
,
which
amends
and
eliminates
certain
disclosure
requirements
for
fair
value
as
part
of
its
framework
project.
The
ASU
is
effective
for
annual
and
interim
periods
beginning
after
December
15,
2019.
The
early
adoption
of
the
removal
or
modification
of
disclosures
and
delay
of
adoption
of
the
additional
disclosures
is
permitted.
As
of December
31,
2018,
the Accounts
have
adopted
the
removal
and
modification
of
disclosures.
In
March
2017,
the
Financial
Accounting
Standards
Board
issued
ASU
No.
2017-08
Premium
Amortization
on
Purchased
Callable
Debt
Securities,
which
amends
the
accounting
standards
to
shorten
the
amortization
period
of
certain
purchased
callable
debt
securities
to
the
earliest
call
date.
The
ASU
is
effective
for
annual
and
interim
periods
beginning
after
December
15,
2018.
The
Accounts have
adopted
the
new
amendments
as
of
January
1,
2019. 
3.
Operating
Policies
Borrowings.
Pursuant
to
an
exemptive
order
issued
by
the
SEC,
the
Accounts and
other
registered
investment
companies
managed
by
the
Manager
may
participate
in
an
interfund
lending
facility
(“Facility”).
The
Facility
allows
the Accounts
to
borrow
money
from
or
loan
money
to
the
other
participants.
Loans
under
the
Facility
are
made
to
handle
unusual
and/or
unanticipated
short-term
cash
requirements.
Interest
paid
and
received
on
borrowings
is
the
average
of
the
current
repurchase
agreement
rate
and
the
bank
loan
rate
(the
higher
of
(i)
the
Federal
Funds
Rate
or
(ii)
the
One
Month
London
Interbank
Offered Rate
("LIBOR")
rate
plus
1.00%).
The
interest
income
received
is
included
in
interest
income
on
the
statements
of
operations.
The
interest
expense
associated
with
these
borrowings
is
included
in
other
expenses
on
the
statements
of
operations.
There
were
no
outstanding
borrowings
as
of
the
period
ending
June
30,
2019
.
2.
Significant
Accounting
Policies
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
45
During
the period
ended
June
30,
2019, Accounts
lending
to
the
Facility
were
as
follows
(amounts
in
thousands):
During
the period
ended
June
30,
2019, Accounts
borrowing
from
the
Facility
were
as
follows
(amounts
in
thousands): 
In
addition,
the
Accounts
participate
with
other
registered
investment
companies
managed
by
the
Manager
in
an
unsecured
joint
line
of
credit
with
a
bank
which
allows
the
participants
to
borrow
up
to
$100
million,
collectively.
Borrowings
are
made
solely
to
facilitate
the
handling
of
unusual
and/or
unanticipated
short-term
cash
requirements.
Interest
is
charged
to
each
participant,
based
on
its
borrowings,
at
a
rate
equal
to
the
higher
of
the
Federal
Funds
Rate
or
the
One
Month
LIBOR
rate
plus
1.00%.
Additionally,
a
commitment
fee
is
charged
at
an
annual
rate
of
.15%
on
the
amount
of
the
line
of
credit
which
is
allocated
to
each
participating
fund
based
on
average
net
assets.
The
interest
expense
associated
with
these
borrowings
is
included
in
other
expenses
on
the
statements
of
operations.
The
Accounts
did
not
borrow
against
the
line
of
credit
for
the
period
ended
June
30,
2019
.
Contingent
Convertible
Securities.
Core
Plus
Bond Account
invests in
contingent
convertible
securities
(“CoCos”).
CoCos
are
hybrid
debt
securities
that
may
convert
into
equity
or
have
their
principal
written
down
upon
the
occurrence
of
certain
“triggers.”
Although
a
contingent
convertible
security’s
equity
conversion
and
principal
write-down
features
are
tailored
to
the
particular
issuing
banking
institution
and
its
regulatory
requirements,
triggers
are
generally
linked
to
regulatory
capital
thresholds
or
regulatory
actions
calling
into
question
such
institution’s
continued
viability
as
a
going-concern.
CoCos
may
have
no
stated
maturity
and
fully
discretionary
coupons,
which
means
coupon
payments
can
be
canceled
at
the
issuing
banking
institution’s
discretion
or
at
the
request
of
the
relevant
regulatory
authority
without
causing
a
default.
To
provide
the
appropriate
regulatory
capital
treatment,
CoCos
are
usually
issued
in
the
form
of
subordinated
debt
instruments
that
rank
junior
to
the
claims
of
holders
of
more
senior
obligations
in
the
event
of
the
issuer’s
liquidation.
If
CoCos
are
converted
into
equity
securities
due
to
a
trigger
event,
holders
will
be
further
subordinated.
The
future
value
of
CoCos
is
unpredictable
and
is
influenced
by
many
factors
including,
without
limitation:
the
creditworthiness
of
the
issuer
and/or
fluctuations
in
such
issuer’s
applicable
capital
ratios;
supply
and
demand
for
CoCos;
general
market
conditions
and
available
liquidity;
and
economic,
financial
and
political
events
that
affect
the
issuer,
its
particular
market
or
the
financial
markets
in
general.
Due
to
these
features,
CoCos
may
have
substantially
greater
risk
than
other
securities
in
times
of
financial
stress.
Because
of
the
uncertainty
regarding
whether
a
conversion
event
will
occur,
it
may
be
difficult
to
predict
when,
if
at
all,
a
contingent
convertible
security
will
be
converted
to
equity,
and
an
account may
suffer
losses
as
a
result.
If
the
trigger
level
is
breached,
the
issuer’s
decision
to
write
down,
write
off
or
convert
a
contingent
convertible
security
may
result
in
the
account's
complete
loss
on
an
investment
in
CoCos
with
no
chance
of
recovery
even
if
the
issuer
remains
in
existence. 
Average
Daily
Amount
Loaned
Weighted
Average
Annual
Interest
Rate
Bond
Market
Index
Account
$644
3.25%
Core
Plus
Bond
Account
53
2.95
Diversified
International
Account
4
3.00
Equity
Income
Account
2
2.97
Government
&
High
Quality
Bond
Account
12
3.00
LargeCap
Growth
Account
I
17
2.96
LargeCap
S&P
500
Index
Account
560
3.22
LargeCap
S&P
500
Managed
Volatility
Index
Account
47
2.99
Principal
Capital
Appreciation
Account
11
2.97
Real
Estate
Securities
Account
3
2.94
Short-Term
Income
Account
6
2.99
SmallCap
Account
13
2.96
Average
Daily
Amount
Borrowed
Weighted
Average
Annual
Interest
Rate
Diversified
Balanced
Volatility
Control
Account
$12
2.99%
Diversified
Growth
Volatility
Control
Account
38
3.00
Diversified
International
Account
2
2.97
Government
&
High
Quality
Bond
Account
2
3.00
LargeCap
S&P
500
Index
Account
223
2.97
MidCap
Account
87
3.00
Real
Estate
Securities
Account
6
2.94
Short-Term
Income
Account
9
3.02
3.
Operating
Policies
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
46
Counterparties.
The
Accounts
may
be
exposed
to
counterparty
risk,
or
the
risk
that
another
party
with
which
the
Accounts
have
unsettled
or
open
transactions
will
fail
to
perform
on
their
commitment.
To
the
extent
that
unpaid
amounts
owed
to
the
Accounts
exceed
a
predetermined
threshold
agreed
to
with
the
counterparty,
such
counterparty
shall
advance
collateral
to
the
Accounts
in
the
form
of
cash
or
cash
equivalents
equal
in
value
to
the
unpaid
amount
owed
to
the
Accounts.
If
the
unpaid
amount
owed
to
the
Accounts
subsequently
decreases,
the
Accounts
would
be
required
to
return
all
or
a
portion
of
the
collateral.
Master
Netting
Agreements
may
also
help
limit
counterparty
risk
by
specifying
collateral
posting
arrangements
at
pre-arranged
exposure
levels.
Under
the
Master
Netting
Agreements,
collateral
is
routinely
transferred
if
the
total
net
exposure
to
certain
transactions
governed
under
the
relevant
master
netting
agreement
with
a
counterparty
exceeds
a
specified
threshold.
Collateral
information
relating
to
securities
on
loan
is
included
in
the
securities
lending
note
to
financial
statements.
The
financial
instruments
that
are
subject
to
Master
Netting
Agreements
or
similar
agreements
may
include
right
of
setoff
provisions.
Derivative
instruments
include
provisions
to
setoff
positions
covered
under
the
agreements
with
the
same
counterparties
and
provisions
to
setoff
positions
outside
of
the
agreements
with
the
same
counterparties
in
the
event
of
default
by
one
of
the
parties.
Derivative
instruments
also
include
collateral
provisions.
Collateral
received
and
pledged
are
generally
settled
daily
with
each
counterparty.
As
of
June
30,
2019,
no
Accounts
had
financial
assets
and
liabilities
subject
to
Master
Netting
Agreements
or
similar
agreements.
Deposits
with
Counterparty.
Cash
pledged
as
collateral
is
reflected
as
an
asset
on
the
statements
of
assets
and
liabilities
as
deposits
with
counterparty.
There
are
a
variety
of
security
types
which
require
varying
levels
of
pledged
collateral.
Customer
account
agreements
govern
cleared
derivatives
transactions
such
as
futures
contracts
and
certain
swap
agreements.
Such
transactions
require
posting
of
initial
margin
as
determined
by
each
relevant
clearing
agency
which
is
segregated
in
an
account
at
a
futures
commission
merchant
(“FCM”)
registered
with
the
Commodity
Futures
Trading
Commission.
International
Swaps
and
Derivatives
Association
(“ISDA”)
accounts
are
maintained
in
a
segregated
account
at
the
custodian
for
OTC
Derivatives.
Master
Securities
Forward
Transaction
Agreements
("MSFTA")
accounts
are
also
maintained
in
a
segregated
account
at
the
custodian
for
collateral
related
to
forward
currency
contracts
and
"to-be-announced"
("TBA")
securities.
Certain
of
the Accounts may
pledge
cash
to
a
broker
for
securities
sold
short.
As
of
June
30,
2019,
deposits
with
counterparty
were
as
follows
(amounts
in
thousands):
Deposits
from
Counterparty.
Cash
received
from
a
counterparty
as
collateral
is
reflected
as
a
liability
on
the
statements
of
assets
and
liabilities
as
deposits
from
counterparty.
There
are
a
variety
of
security
types
which
require
varying
levels
of
pledged
collateral.
The
collateral
posted
to
the Accounts
by
the
broker
is
received
in
the
account’s
custodian
account.
As
of
June
30,
2019,
deposits
from
counterparty
were
as
follows
(amounts
in
thousands):
Foreign
Currency
Contracts.
Certain
of
the
Accounts
may
be
subject
to
foreign
currency
exchange
rate
risk
in
the
normal
course
of
pursuing
such
Accounts’
investment
objectives.
The
Accounts
may
use
foreign
currency
contracts
to
gain
exposure
to,
or
hedge
against
changes
in
the
value
of
foreign
currencies.
Certain
of
the
Accounts
enter
into
forward
contracts
to
purchase
and
sell
foreign
currencies
at
a
specified
future
date
at
a
fixed
exchange
rate.
Forward
foreign
currency
contracts
are
valued
at
the
forward
rate,
and
are
marked-to-market
daily.
The
change
in
fair
value
is
recorded
by
the
Accounts
as
an
unrealized
gain
or
loss.
When
the
contract
is
closed,
the
Accounts
record
a
realized
gain
or
loss
equal
to
the
difference
between
the
value
of
the
contract
at
the
time
it
was
opened
and
the
value
at
the
time
it
was
closed.
The
use
of
forward
foreign
currency
contracts
does
not
eliminate
the
fluctuations
in
underlying
prices
of
the
Accounts’
portfolio
securities,
but
it
does
establish
a
rate
of
exchange
that
can
be
achieved
in
the
future.
Although
forward
foreign
currency
contracts
limit
the
risk
of
loss
due
to
a
decline
in
the
value
of
the
hedged
currency,
they
also
limit
any
potential
gain
that
might
result
should
the
value
of
the
currency
FCM
(Futures
and
Cleared
Swaps)
ISDA
(OTC
Derivatives)
MSFTA
(Forward
Currency
Contracts
and
TBA
Securities)
Shorts
Total
Deposits
with
Counterparty
Core
Plus
Bond
Account
$
—
$
1
$
8
$
—
$
9
LargeCap
Growth
Account
I
126
—
—
—
126
FCM
(Futures
and
Cleared
Swaps)
ISDA
(OTC
Derivatives)
MSFTA
(Forward
Currency
Contracts
and
TBA
Securities)
Shorts
Total
Deposits
from
Counterparty
Bond
Market
Index
Account
$
—
$
—
$
428
$
—
$
428
3.
Operating
Policies
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
47
increase.
In
addition,
the
Accounts
could
be
exposed
to
risks
if
the
counterparties
to
the
contracts
are
unable
to
meet
the
terms
of
their
contracts
or
if
the
value
of
the
currency
changes
unfavorably
to
the
U.S.
dollar. 
Futures
Contracts.
The Accounts
are
subject
to
equity
price
risk,
interest
rate
risk,
and
foreign
currency
exchange
rate
risk
in
the
normal
course
of
pursuing
their
investment
objectives.
The Accounts
(with
the
exception
of
Diversified
Balanced
Account,
Diversified
Balanced
Managed
Volatility
Account,
Diversified
Balanced
Volatility
Control
Account,
Diversified
Growth
Account,
Diversified
Growth
Managed
Volatility
Account,
Diversified
Growth
Volatility
Control
Account,
Diversified
Income
Account,
Principal
LifeTime
Accounts,
and
SAM
Portfolios)
may
enter
into
futures
contracts
to
hedge
against
changes
in
or
to
gain
exposure
to,
change
in
the
value
of
equities,
interest
rates
and
foreign
currencies.
Initial
margin
deposits
are
made
by
cash
deposits
or
segregation
of
specific
securities
as
may
be
required
by
the
exchange
on
which
the
transaction
was
conducted.
Pursuant
to
the
contracts,
an
account agrees
to
receive
from
or
pay
to
the
broker,
an
amount
of
cash
equal
to
the
daily
fluctuation
in
the
value
of
the
contract.
Such
receipts
or
payments
are
known
as
“variation
margin”
and
are
recorded
by
the account
as
a
variation
margin
receivable
or
payable
on
financial
derivative
instruments.
Futures
contracts
are
marked
to
market
daily
at
the
closing
settlement
price
or
in
the
absence
of
such
a
price,
the
most
recent
quoted
bid
price.
If
there
are
no
quotations
available,
the
security
is
valued
at
the
last
available
closing
settlement
price.
During
the
period
the
futures
contracts
are
open,
daily
changes
in
the
fair
value
of
the
contracts
are
recognized
as
unrealized
gains
or
losses.
These
unrealized
gains
or
losses
are
included
as
a
component
of
total
distributable
earnings
(accumulated
loss)
on
the
statements
of
assets
and
liabilities.
When
the
contracts
are
closed,
the account
recognizes
a
realized
gain
or
loss
equal
to
the
difference
between
the
proceeds
from,
or
cost
of,
the
closing
transaction
and
the
account’s
cost
basis
in
the
contract.
There
is
minimal
counterparty
credit
risk
to
the Accounts
because
futures
are
exchange
traded
and
the
exchange’s
clearinghouse,
as
counterparty
to
all
exchange
traded
futures,
guarantees
the
futures
against
default. 
Illiquid
Securities.
Illiquid
securities
generally
cannot
be
sold
or
disposed
of
in
the
ordinary
course
of
business
(within
seven
calendar
days)
at
approximately
the
value
at
which
each
of
the Accounts
has
valued
the
investments.
This
may
have
an
adverse
effect
on
each
of
the
Accounts'
ability
to
dispose
of
particular
illiquid
securities
at
fair
value
and
may
limit
each
of
the
Accounts’
ability
to
obtain
accurate
market
quotations
for
purposes
of
valuing
the
securities. 
Indemnification.
Under
the
Fund’s
by-laws,
present
and
past
officers,
directors,
and
employees
are
indemnified
against
certain
liabilities
arising
out
of
the
performance
of
their
duties.
In
addition,
in
the
normal
course
of
business,
the
Fund
may
enter
into
a
variety
of
contracts
that
may
contain
representations
and
warranties
which
provide
general
indemnifications.
The
Fund’s
maximum
exposure
under
these
arrangements
is
unknown,
as
this
would
involve
future
claims
that
may
be
made
against
the
Fund. 
Inflation-Indexed
Bonds.
Certain
of
the
Accounts
may
invest
in
inflation-indexed
bonds.
Inflation-indexed
bonds
are
fixed-income
securities
whose
principal
value
is
periodically
adjusted
to
the
rate
of
inflation.
The
interest
rate
on
these
bonds
is
generally
fixed
at
issuance
at
a
rate
lower
than
typical
bonds.
Over
the
life
of
an
inflation-indexed
bond,
however,
interest
will
be
paid
based
on
a
principal
value,
which
is
adjusted
for
inflation.
Any
increase
or
decrease
in
the
principal
amount
of
an
inflation-indexed
bond
will
be
included
as
interest
income
on
the
statements
of
operations,
even
though
the
Accounts
would
not
receive
the
principal
until
maturity.
Mortgage
Dollar
Rolls.
Certain
of
the
Accounts
have
entered
into
mortgage-dollar-roll
transactions
on TBA
securities,
in
which
the
Accounts
sell
mortgage-backed
securities
and
simultaneously
agree
to
purchase
similar
securities
in
the
future
at
a
predetermined
price.
The
proceeds
of
the
securities
sold
in
mortgage-dollar-roll
transactions
are
invested
in
additional
securities.
The
Accounts
forgo
principal
and
interest
paid
on
the
securities,
and
are
compensated
by
interest
earned
on
the
proceeds
of
the
initial
sale
and
by
a
lower
price
on
the
securities
to
be
repurchased.
The
Accounts
treat
mortgage-dollar-roll
transactions
as
purchases
and
sales;
as
such,
these
transactions
may
increase
the
Accounts’
portfolio
turnover
ratio.
Amounts
to
be
received
or
paid
in
connection
with
open
mortgage-dollar-rolls
are
included
in
Investment
securities
sold
and
Investment
securities
purchased
on
the
statements
of
assets
and
liabilities. 
Options
Contracts.
During
the
period,
LargeCap
S&P
500
Managed
Volatility
Index
Account
wrote
call
and
put
options
on indices
it owns
or
in
which it
may
invest
for
both
hedging
and
non-hedging
purposes.
Writing
put
options
tends
to
increase
an
account’s
exposure
to
the
underlying
instrument.
Writing
call
options
tends
to
decrease
an
account’s
exposure
to
the
underlying
instrument.
When
an
account
writes
a
call
or
put
option,
an
amount
equal
to
the
premium
received
is
recorded
as
a
liability
and
subsequently
marked
to
market
to
reflect
the
current
value
of
the
option
written.
These
liabilities
are
reflected
as
options
contracts
written
on
the
statements
of
assets
and
liabilities.
Premiums
received
from
writing
options
which
expire
are
treated
as
realized
gains.
Premiums
received
from
writing
options
which
are
exercised
or
closed
are
added
to
the
proceeds
or
offset
against
amounts
paid
on
the
underlying index
to
determine
the
realized
gain
or
loss.
An
account,
as
a
writer
of
an
option,
has
no
control
over
whether
the
underlying
index
may
be
sold
(call)
or
purchased
(put)
and
as
a
result
bears
the
market
risk
of
an
unfavorable
change
in
the
price
of
the
index
underlying
the
written
option.
There
is
the
risk an
account may
not
be
able
to
enter
into
a
closing
transaction
because
of
an
illiquid
market.
The
maximum
potential
amount
of
future
payments
(undiscounted)
that
an
account
as
a
writer
of
put
options
could
be
required
to
make
is
equal
to
the
notional
amount
multiplied
by
the
exercise
price
as
shown
in
the
schedule
of
investments. An
account may
also
purchase
put
and
call
options.
Purchasing
call
options
tends
to
increase an
account's
exposure
3.
Operating
Policies
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
48
to
the
underlying
instrument.
Purchasing
put
options
tends
to
decrease an
account's
exposure
to
the
underlying
instrument.
An
account pays
a
premium
which
is
included
on
the account's
statements
of
assets
and
liabilities
as
an
investment
and
subsequently
marked
to
market
to
reflect
the
current
value
of
the
option.
Premiums
paid
for
purchasing
options
which
expire
are
treated
as
realized
losses.
The
risk
associated
with
purchasing
put
and
call
options
is
limited
to
the
premium
paid.
Premiums
paid
for
purchasing
options
which
are
exercised
or
closed
are
added
to
the
amounts
paid
or
offset
against
the
proceeds
on
the
underlying
index
transaction
to
determine
the
realized
gain
or
loss.
Details
of
options
contracts
open
at 
period
end
are
included
in
the
Accounts'
schedules
of
investments.
Rebates.
Subject
to
best
execution,
the Accounts
may
direct
certain
portfolio
transactions
to
brokerage
firms
that,
in
turn,
have
agreed
to
rebate
a
portion
of
the
related
brokerage
commission
to
the
Accounts
in
cash.
Commission
rebates
are
included
as
a
component
of
realized
gain
from
investment
transactions
in
the
statements
of
operations. 
Repurchase
Agreements.
The
Accounts
may
invest
in
repurchase
agreements
that
are
fully
collateralized,
typically
by
U.S.
government
or
U.S.
government
agency
securities.
It
is
the
Accounts’
policy
that
the
counterparties’
custodian
takes
possession
of
the
underlying
collateral
securities.
The
fair
value
of
the
collateral
is
at
all
times
at
least
equal
to
the
total
amount
of
the
repurchase
obligation.
In
the
event
of
default
on
the
obligation
to
repurchase,
the
Accounts
have
the
right
to
liquidate
the
collateral
and
apply
the
proceeds
in
satisfaction
of
the
obligation.
In
the
event
the
seller
of
a
repurchase
agreement
defaults,
the
Accounts
could
experience
delays
in
the
realization
of
the
collateral. 
Restricted
Securities.
Certain
of
the
Accounts
may
invest
in
securities
that
are
subject
to
legal
or
contractual
restrictions
on
resale.
These
securities
generally
may
be
resold
in
transactions
exempt
from
registration
or
to
the
public
if
the
securities
are
registered.
Disposal
of
these
securities
may
involve
time-consuming
negotiations
and
expense,
and
prompt
sale
at
an
acceptable
price
may
be
difficult. 
Securities
Lending.
To
earn
additional
income,
certain
of
the
Accounts
may
lend
portfolio
securities
to
approved
brokerage
firms.
The
Accounts
receive
collateral,
in
the
form
of
cash,
against
the
loaned
securities.
During
the
period
of
the
loan,
the
borrower
must
maintain
collateral
in
an
amount
not
less
than
102%
of
the
market
value
of
the
loaned
securities.
The
market
value
of
the
loaned
securities
is
determined
at
the
close
of
business
of
the
Accounts
and
any
additional
required
collateral
is
delivered
to
the
Accounts
on
the
next
business
day.
The
cash
collateral
received
is
usually
invested
in
a
SEC-registered
money
market
mutual
fund
and
the
Accounts
could
realize
a
loss
on
such
investments.
Further,
the
Accounts
could
experience
a
delay
in
recovering
its
securities
and
possible
loss
of
income
or
value
if
the
borrower
fails
to
return
them.
Security
lending
income
is
shown
on
the
statements
of
operations.
As
of
June
30,
2019,
the
Accounts
had
securities
on
loan
as
follows
(in
thousands):  
Senior
Floating
Rate
Interests.
The
Accounts
may
invest
in
senior
floating
rate
interests
(bank
loans).
Senior
floating
rate
interests
typically
hold
the
most
senior
position
in
the
capital
structure
of
a
business
entity
(the
“Borrower”),
are
secured
by
specific
collateral
and
have
a
claim
on
the
assets
and/or
stock
of
the
Borrower
that
is
senior
to
that
held
by
subordinated
debtholders
and
stockholders
of
the
Borrower.
Senior
floating
rate
interests
are
typically
structured
and
administered
by
a
financial
institution
that
acts
as
the
agent
of
the
lenders
participating
in
the
senior
floating
rate
interest.
Borrowers
of
senior
floating
rate
interests
are
typically
rated
below-investment-grade,
which
means
they
are
more
likely
to
default
than
investment-grade
loans.
A
default
could
lead
to
non-payment
of
income
which
would
result
in
a
reduction
of
income
to
the
account
and
there
can
be
no
assurance
that
the
liquidation
of
any
collateral
would
satisfy
the
Borrower’s
obligation
in
the
event
of
non-payment
of
scheduled
interest
or
principal
payments,
or
that
such
collateral
could
be
readily
liquidated.
Senior
floating
rate
interests
pay
interest
at
rates
which
are
periodically
reset
by
reference
to
a
base
lending
rate
plus
a
spread.
These
base
lending
rates
are
generally
the
prime
rate
offered
by
a
designated
U.S.
bank
or
the
LIBOR
rate.
Senior
floating
rate
interests
generally
are
subject
to
mandatory
and/or
optional
prepayment.
Because
of
these
mandatory
prepayment
conditions
and
because
there
may
be
significant
economic
incentives
for
the
Borrower
to
repay,
prepayments
of
senior
floating
rate
interests
may
occur.
As
a
result,
the
actual
remaining
maturity
of
senior
floating
rate
interests
may
be
substantially
less
than
stated
maturities
shown
in
the
schedules
of
investments.
In
connection
with
the
senior
floating
rate
interests,
the
Accounts
may
also
enter
into
unfunded
loan
commitments
(“commitments”).
All
or
a
portion
of
the
commitments
may
be
unfunded.
The
Accounts
are
obligated
to
fund
these
commitments
at
the
Borrower’s
discretion.
Market
Value
Collateral
Value
Core
Plus
Bond
Account
$
736
$
758
Diversified
International
Account
374
392
LargeCap
Growth
Account
I
1,10
6
1,143
MidCap
Account
1,156
1,183
Short-Term
Income
Account
510
525
SmallCap
Account
2,879
2,897
3.
Operating
Policies
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
49
Therefore,
the
Accounts
must
have
funds
sufficient
to
cover
its
contractual
obligation.
Commitments
are
marked
to
market
daily
and
the
unrealized
gain
or
loss
is
shown
as
a
separate
line
item
called
unrealized
gain
or
loss
on
commitments
on
the
statements
of
assets
and
liabilities
as
applicable.
As
of
June
30,
2019
,
the
Accounts
had
no
commitments
outstanding.
Short
Sales.
Bond
Market
Index
Account
entered
into
short
sales
transactions
during
the
period.
A
short
sale
is
a
transaction
in
which
an
account
sells
a
security
it
does
not
own
as
a
hedge
against
some
of
its
long
positions
and/or
in
anticipation
of
a
decline
in
the
market
price
of
the
security.
The
account
must
borrow
the
security
sold
short
and
deliver
it
to
the
broker
dealer
which
made
the
short
sale.
A
security
sold
in
a
short
sale
transaction
and
the
interest
or
dividend
payable
on
the
security
if
any,
is
reflected
as
a
liability
on
the
statements
of
assets
and
liabilities.
The
account
is
obligated
to
pay
any
interest
or
dividends
received
on
the
borrowed
securities.
Interest
accrued
and
dividends
declared
on
short
positions
are
recorded
as
an
expense
and,
if
any,
appear
as
dividends
and
interest
on
shorts
on
the
statements
of
operations.
An
account
is
obligated
to
deliver
the
security
at
the
market
price
at
the
time
the
short
position
is
closed.
Possible
losses
from
short
sales
may
be
unlimited.
The
account
is
required
to
pledge
cash
or
securities
to
the
broker
as
collateral
for
securities
sold
short.
Collateral
requirements
are
calculated
daily
based
on
the
current
market
value
of
the
short
positions.
Cash
deposited
with
the
broker
for
collateral
is
included
in
deposits
with
counterparty
on
the
statements
of
assets
and
liabilities
and
securities
segregated
as
collateral
are
footnoted
in
the
schedules
of
investments.
The
account
may
pay
broker’s
fees
on
the
borrowed
securities
and
may
also
pay
a
financing
charge
for
the
difference
in
the
market
value
of
the
short
position
and
cash
collateral
deposited
with
the
broker.
These
fees
are
included
as
short
sale
fees
on
the
statements
of
operations.
Swap
Agreements.
Core
Plus
Bond Account
invested
in
swap
agreements
during
the
period.
Swap
agreements
are
negotiated
agreements
between
an
account and
a
counterparty
to
exchange
a
series
of
cash
flows
at
specified
intervals
based
upon,
or
calculated
by
reference
to,
changes
in
specified
prices
or
rates
for
a
specified
amount
of
an
underlying
asset.
An
account
may
enter
into
credit
default,
interest
rate,
or
total
return
swap
agreements
to
manage
its
exposure
to
credit,
interest
rate,
or
market
risk.
In
connection
with
these
agreements,
securities
may
be
identified
as
collateral
in
accordance
with
the
terms
of
the
respective
swap
agreements
to
provide
assets
of
value
and
recourse
in
the
event
of
default
or
bankruptcy/insolvency.
Swap
agreements
are
valued
through
a
pricing
service
or
using
procedures
established
and
periodically
reviewed
by
the
Fund’s
Board
of
Directors;
changes
in
value
are
recorded
as
unrealized
gain
or
loss.
These
unrealized
gains
or
losses
are
included
as
a
component
of
total
distributable
earnings
(accumulated
loss)
on the
statements
of
assets
and
liabilities.
Upon
termination
of
swap
agreements,
the Accounts
recognize
a
realized
gain
or
loss.
Net
periodic
payments
to
be
received
or
paid
are
accrued
daily
and
are
recorded
in
the
statements
of
operations
as
realized
gains
or
losses.
Payments
received
or
made
at
the
beginning
of
the
measurement
period
are
reflected
as
such
on
the
statements
of
assets
and
liabilities
and
represent
payments
made
or
received
upon
entering
into
the
swap
agreement
to
compensate
for
differences
between
the
stated
terms
of
the
swap
agreement
and
prevailing
market
conditions
(credit
spreads,
interest
rates,
and
other
relevant
factors).
These
upfront
payments
are
amortized
daily
over
the
term
of
the
swap
agreement
as
realized
gains
or
losses
on
the
statements
of
operations.
Notional
principal
amounts
are
used
to
express
the
extent
of
involvement
in
these
agreements.
Risks
may
exceed
amounts
shown
on
the
statements
of
assets
and
liabilities.
These
risks
include
changes
in
the
returns
of
the
underlying
instruments,
unfavorable
interest
rate
fluctuation,
that
the
counterparty
to
the
agreements
may
default
on
its
obligation
to
perform
or
disagree
as
to
the
meaning
of
contractual
terms
in
the
agreements,
and
the
possible
lack
of
liquidity
with
respect
to
the
swap
agreements.
The Accounts
and
any
counterparty
are
required
to
maintain
an
agreement
that
requires
the Accounts
and
that
counterparty
to
monitor
the
net
fair
value
of
all
derivative
transactions
entered
into
pursuant
to
the
contract
between
the Accounts
and
such
counterparty.
If
the
net
fair
value
of
such
derivatives
transactions
between
the Accounts
and
that
counterparty
exceeds
a
certain
threshold
(as
defined
in
the
agreement),
the Accounts
or
the
counterparty
are
required
to
post
cash
and/or
securities
as
collateral.
Fair
values
of
derivatives
transactions
presented
in
the
financial
statements
are
not
netted
with
the
fair
values
of
other
derivatives
transactions
or
with
any
collateral
amounts
posted
by
the Accounts
or
any
counterparty.
Credit
default
swaps
involve
commitments
to
pay
a
fixed
rate
at
a
predetermined
frequency
in
exchange
for
a
lump
sum
payment
if
a
“credit
event”,
as
defined
in
the
agreement,
affecting
a
third
party
occurs.
Credit
events
may
include
a
failure
to
pay
interest,
bankruptcy,
restructuring,
or
other
event
as
defined
in
the
agreement.
A
“buyer”
of
credit
protection
agrees
to
pay
a
counterparty
to
assume
the
credit
risk
of
an
issuer
upon
the
occurrence
of
a
credit
event.
The
“seller”
of
the
protection
receives
periodic
payments
and
agrees
to
assume
the
credit
risk
of
an
issuer
upon
the
occurrence
of
a
credit
event.
As
the
seller
of
credit
protection, an
account would
add
leverage
to
its
portfolio
because,
in
addition
to
its
total
net
assets,
a
fund
would
be
subject
to
investment
exposure
on
the
notional
amount
of
the
swap.
3.
Operating
Policies
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
50
If an
account
is
a
seller
of
protection
and
a
credit
event
occurs,
as
defined
under
the
terms
of
that
particular
swap
agreement,
the account
will
either
(i)
pay
to
the
buyer
of
protection
an
amount
equal
to
the
notional
amount
of
the
swap
and
take
delivery
of
the
referenced
obligation,
other
deliverable
obligations
or
underlying
securities
comprising
the
referenced
index
or
(ii)
pay
a
net
settlement
amount
in
the
form
of
cash
or
securities
equal
to
the
notional
amount
of
the
swap
less
the
recovery
value
of
the
referenced
obligation
or
underlying
securities
comprising
the
referenced
index.
If an
account
is
a
buyer
of
protection
and
a
credit
event
occurs,
as
defined
under
the
terms
of
that
particular
swap
agreement,
an
account will
either
(i)
receive
from
the
seller
of
protection
an
amount
equal
to
the
notional
amount
of
the
swap
and
deliver
the
referenced
obligation,
other
deliverable
obligations
or
underlying
securities
comprising
the
referenced
index
or
(ii)
receive
a
net
settlement
amount
in
the
form
of
cash
or
securities
equal
to
the
notional
amount
of
the
swap
less
the
recovery
value
of
the
referenced
obligation
or
underlying
securities
comprising
the
referenced
index.
Credit
default
swap
agreements
on
credit
indices
involve
one
party
making
a
stream
of
payments
to
another
party
in
exchange
for
the
right
to
receive
a
specified
return
in
the
event
of
a
write-down,
principal
shortfall,
interest
shortfall
or
default
of
all
or
part
of
the
referenced
entities
comprising
the
credit
index.
A
credit
index
is
a
basket
of
credit
instruments
or
exposures
designed
to
be
representative
of
some
part
of
the
credit
market
as
a
whole.
These
indices
are
made
up
of
reference
credits
that
are
judged
by
a
poll
of
dealers
to
be
the
most
liquid
entities
in
the
credit
default
swap
market
based
on
the
sector
of
the
index.
Components
of
the
indices
may
include,
but
are
not
limited
to,
investment
grade
securities,
high
yield
securities,
asset
backed
securities,
emerging
markets,
and/or
various
credit
ratings
within
each
sector.
Credit
indices
are
traded
using
credit
default
swaps
with
standardized
terms
including
a
fixed
spread
and
standard
maturity
dates.
An
index
credit
default
swap
references
all
the
names
in
the
index,
and
if
there
is
a
default,
the
credit
event
is
settled
based
on
that
name’s
weight
in
the
index.
The
composition
of
the
indices
changes
periodically,
usually
every
six
months,
and
for
most
indices,
each
name
has
an
equal
weight
in
the
index.
An
account
may
use
credit
default
swaps
on
credit
indices
to
hedge
a
portfolio
of
credit
default
swaps
or
bonds,
which
is
less
expensive
than
it
would
be
to
buy
many
credit
default
swaps
to
achieve
a
similar
effect.
Credit
default
swaps
on
indices
are
benchmarks
for
protecting
investors
owning
bonds
against
default,
and
traders
use
them
to
speculate
on
changes
in
credit
quality.
For
credit
default
swap
agreements
on
asset-backed
securities
and
credit
indices,
the
quoted
market
prices
and
resulting
values
serve
as
the
indicator
of
the
current
status
of
the
payment/performance
risk.
Wider
credit
spreads
and
increasing
values,
in
absolute
terms
when
compared
to
the
notional
amount
of
the
swap,
represent
a
deterioration
of
the
referenced
entity’s
credit
soundness
and
a
greater
likelihood
or
risk
of
default
or
other
credit
event
occurring
as
defined
under
the
terms
of
the
agreement.
The
maximum
potential
amount
of
future
payments
(undiscounted)
that
an
account
as
a
seller
of
protection
could
be
required
to
make
under
a
credit
default
swap
agreement
would
be
an
amount
equal
to
the
notional
amount
of
the
agreement.
Notional
amounts
of
all
credit
default
swap
agreements
outstanding
as
of June
30,
2019
for
which an
account
is
the
seller
of
protection
are
disclosed
in
the
footnotes
to
the
schedules
of
investments.
These
potential
amounts
would
be
partially
offset
by
any
recovery
values
of
the
respective
referenced
obligations,
upfront
payments
received
upon
entering
into
the
agreement,
or
net
amounts
received
from
the
settlement
of
buy
protection
credit
default
swap
agreements
entered
into
by an
account
for
the
same
referenced
entity
or
entities.
Interest
rate
swaps
involve
the
commitment
to
exchange
fixed
or
floating
rate
cash
flows
based
on
changes
in
the
value
of
a
specific
reference
rate.
Certain
collateral
amounts
relate
to
exchange
cleared
swaps
which
are
not
subject
to
master
netting
agreements
with
counterparties.
To
Be
Announced
Securities.
The Accounts
may
trade
portfolio
securities
on
a
TBA
or
when-issued
basis.
In
a
TBA
or
when-issued
transaction,
the Accounts
commit
to
purchase
or
sell
securities
for
which
all
specific
information
is
not
known
at
the
time
of
the
trade.
Securities
purchased
on
a
TBA
or
when-issued
basis
are
not
settled
until
they
are
delivered
to
the
Accounts,
normally
15
to
30
days
later.
These
transactions
are
subject
to
market
fluctuations
and
their
current
value
is
determined
in
the
same
manner
as
for
other
portfolio
securities. 
Underlying
Funds.
The
performance
and
risks
of
each
Principal
LifeTime
Account,
each
SAM
Portfolio,
Diversified
Balanced
Account,
Diversified
Balanced
Volatility
Control
Account,
Diversified
Balanced
Managed
Volatility
Account,
Diversified
Growth
Account,
Diversified
Growth
Managed
Volatility
Account,
Diversified
Growth
Volatility
Control
Account,
and
Diversified
Income
Account
(singly,
“a
fund
of
funds”
and
collectively,
“the
funds
of
funds”)
directly
correspond
to
the
performance
and
risks
of
the
Underlying
Funds
in
which
the
fund
of
funds
invest.
By
investing
in
many
Underlying
Funds,
the
funds
of
funds
have
partial
exposure
to
the
risks
of
many
different
areas
of
the
market.
The
more
a
fund
of
funds
allocates
to
stock
funds,
the
greater
the
expected
risk.
An
Underlying
Fund
to
a
fund
of
funds
may
experience
relatively
large
redemptions
or
purchases
as
the
fund
of
funds
periodically
reallocates
or
rebalances
its
assets.
These
transactions
may
accelerate
the
realization
of
taxable
income
if
sales
of
portfolio
securities
result
in
gains
and
3.
Operating
Policies
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
51
could
increase
transaction
costs.
In
addition,
when
a
fund
of
funds
reallocates
or
redeems
significant
assets
away
from
an
Underlying
Fund,
the
loss
of
assets
to
the
Underlying
Fund
could
result
in
increased
expense
ratios
for
that
fund.
The
Manager
is
the
advisor
to
the
Fund,
Principal
Funds,
Inc.,
and
some
of
the
Underlying
Funds.
Principal
Real
Estate
Investors,
LLC
serves
as
sub-advisor
to
some
of
the
Underlying
Funds.
The
Manager
is
committed
to
minimizing
the
potential
impact
of
Underlying
Fund
risk
on
Underlying
Funds
to
the
extent
consistent
with
pursuing
the
investment
objectives
of
the
fund
of
funds
which
it
manages.
Each
may
face
conflicts
of
interest
in
fulfilling
its
responsibilities
to
all
such
funds.
As
of
June
30,
2019,
series
of
the
Fund
owned
the
following
percentages,
in
the
aggregate,
of
the
outstanding
shares
of
the
Accounts
listed
below:
U.S.
Government
Agencies
or
Government-Sponsored
Enterprises.
Certain
of
the Accounts
may
invest
in
U.S.
Government
agencies
or
government-sponsored
enterprises.
U.S.
Government
securities
are
obligations
of,
and
in
certain
cases,
guaranteed
by,
the
U.S.
Government
or
its
agencies.
The
U.S.
Government
does
not
guarantee
the
net
asset
value
of
the Accounts'
shares.
Some
U.S.
Government
securities
such
as
treasury
bills,
notes
and
bonds,
and
securities
guaranteed
by
the
Government
National
Mortgage
Association
(“GNMA”)
are
supported
by
the
full
faith
and
credit
of
the
U.S.
Government.
Other
securities,
such
as
those
of
the
Federal
Home
Loan
Bank
are
supported
by
the
right
of
the
issuer
to
borrow
from
the
U.S.
Department
of
the
Treasury.
Still
other
securities,
such
as
those
of
the
Federal
National
Mortgage
Association
(“FNMA”),
are
supported
by
the
discretionary
authority
of
the
U.S.
Government
to
purchase
the
agency’s
obligations.
Government
related
guarantors
(those
not
backed
by
the
full
faith
and
credit
of
the U.S.
Government)
include
the
FNMA
and
the
Federal
Home
Loan
Mortgage
Corporation
(“FHLMC”).
The
FNMA
is
a
government
sponsored
corporation,
the
common
stock
of
which
is
owned
entirely
by
private
stockholders.
The
FNMA
purchases
conventional
residential
mortgages
from
a
list
of
approved
seller/servicers
which
include
state
and
federally
chartered
savings
and
loan
associations,
mutual
savings
banks,
commercial
banks,
credit
unions,
and
mortgage
bankers.
Pass-through
securities
issued
by
the
FNMA
are
guaranteed
as
to
the
timely
payment
of
principal
and
interest
by
the
FNMA,
but
are
not
backed
by
the
full
faith
and
credit
of
the
U.S.
Government.
The
FHLMC
issues
Participation
Certificates
which
are
pass-through
securities,
each
representing
an
undivided
interest
in
a
pool
of
residential
mortgages.
The
FHLMC
guarantees
the
timely
payment
of
interest
and
ultimate
collection
of
principal,
but
Participation
Certificates
are
not
backed
by
the
full
faith
and
credit
of
the
U.S.
Government. 
Derivatives.
The
following
tables
provide
information
about
where
in
the
statements
of
assets
and
liabilities
and
statements
of
operations
information
about
derivatives
can
be
found
(amounts
in
thousands):
Account
Total
Percentage
of
Outstanding
Shares
Owned
Bond
Market
Index
Account
99.48%
Core
Plus
Bond
Account
23.00
Equity
Income
Account
30.85
Government
&
High
Quality
Bond
Account
38.61
LargeCap
S&P
500
Index
Account
87.90
LargeCap
S&P
500
Managed
Volatility
Index
Account
100.00
Asset
Derivatives
June
30,
2019
Liability
Derivatives
June
30,
2019
Derivatives
not
accounted
for
as
hedging
instruments
Statement
of
Assets
and
Liabilities
Location
Fair
Value
Statement
of
Assets
and
Liabilities
Location
Fair
Value
Core
Plus
Bond
Account
Interest
rate
contracts
Receivables,
Total
distributable
earnings
(accumulated
loss)
$
194
*
Payables,
Total
distributable
earnings
(accumulated
loss)
$
91
*
LargeCap
Growth
Account
I
Equity
contracts
Receivables,
Total
distributable
earnings
(accumulated
loss)
$
17
*
Payables,
Total
distributable
earnings
(accumulated
loss)
$
—
LargeCap
S&P
500
Index
Account
Equity
contracts
Receivables,
Total
distributable
earnings
(accumulated
loss)
$
118
*
Payables,
Total
distributable
earnings
(accumulated
loss)
$
—
3.
Operating
Policies
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
52
Long
equity
futures
contracts
are
used
to
obtain
market
exposure
for
the
cash
balances
that
are
maintained
by
certain
of
the Accounts
and
the
notional
values
of
the
futures
contracts
will
vary
in
accordance
with
changing
cash
balances.
Long
and
short
U.S.
Treasury
futures
contracts
are
used
to
obtain
interest
rate
exposure
in
order
to
manage
duration
of
Core
Plus
Bond
Account.
The
following
table
includes
a
summary
of
the
average
quarterly
outstanding
notional
by
derivative
instrument
type
for
the period
ended
June
30,
2019:
Asset
Derivatives
June
30,
2019
Liability
Derivatives
June
30,
2019
Derivatives
not
accounted
for
as
hedging
instruments
Statement
of
Assets
and
Liabilities
Location
Fair
Value
Statement
of
Assets
and
Liabilities
Location
Fair
Value
LargeCap
S&P
500
Managed
Volatility
Index
Account
Equity
contracts
Receivables,
Total
distributable
earnings
(accumulated
loss)
$
661
*
Payables,
Total
distributable
earnings
(accumulated
loss)
$
434
*
Includes
cumulative
unrealized
appreciation/depreciation
of
futures
contracts
as
shown
in
the
schedules
of
investments.
Only
the
portion
of
the
unrealized
appreciation/depreciation
not
yet
cash
settled
is
shown
in
the
statements
of
assets
and
liabilities
as
variation
margin.
Derivatives
not
accounted
for
as
hedging
instruments
Location
of
Gain
or
(Loss)
on
Derivatives
Recognized
in
Statement
of
Operations
Net
Realized
Gain
or
(Loss)
on
Derivatives
Recognized
in
Statement
of
Operations
Net
Change
in
Unrealized
Appreciation/
(Depreciation)
of
Derivatives
Recognized
in
Statement
of  Operations
Core
Plus
Bond
Account
Credit
contracts
Net
realized
gain
(loss)
from
Swap
agreements/
Net
change
in
unrealized
appreciation/
(depreciation)
of
Swap
agreements
$
(320)
$
(207)
Interest
rate
contracts
Net
realized
gain
(loss)
Futures
contracts/Net
change
in
unrealized
appreciation/(depreciation)
of
Futures
contracts
532
(216)
Total
$
212
$
(423)
Diversified
Balanced
Volatility
Control
Account
Equity
contracts
Net
realized
gain
(loss)
from
Futures
contracts/
Net
change
in
unrealized
appreciation/
(depreciation)
of
Futures
contracts
$
(256)
$
48
Diversified
Growth
Volatility
Control
Account
Equity
contracts
Net
realized
gain
(loss)
from
Futures
contracts/
Net
change
in
unrealized
appreciation/
(depreciation)
of
Futures
contracts
$
(4,476)
$
1,487
LargeCap
Growth
Account
I
Equity
contracts
Net
realized
gain
(loss)
from
Futures
contracts/
Net
change
in
unrealized
appreciation/
(depreciation)
of
Futures
contracts
$
287
$
19
LargeCap
S&P
500
Index
Account
Equity
contracts
Net
realized
gain
(loss)
from
Futures
contracts/
Net
change
in
unrealized
appreciation/
(depreciation)
of
Futures
contracts
$
5,226
$
1,395
LargeCap
S&P
500
Managed
Volatility
Index
Account
Equity
contracts
Net
realized
gain
(loss)
from
Investment
transactions,
Futures
contracts,
and
Options
and
swaptions/Net
change
in
unrealized
appreciation/
(depreciation)
of
Investments,
Futures
contracts,
and
Options
and
swaptions
$
(18)
$
314
Contract
Type
Derivative
Type
Average
Notional
(‘000)
Core
Plus
Bond
Account
Credit
Contracts
Exchange
Cleared
Credit
Default
Swaps
-
Buy
Protection
$
10,655
Interest
Rate
Contracts
Futures
-
Long
13,974
Futures
-
Short
6,924
Diversified
Balanced
Volatility
Control
Account
Equity
Contracts
Futures
-
Short
877
Diversified
Growth
Volatility
Control
Account
Equity
Contracts
Futures
-
Short
27,307
LargeCap
Growth
Account
I
Equity
Contracts
Futures
-
Long
2,087
LargeCap
S&P
500
Index
Account
Equity
Contracts
Futures
-
Long
33,117
3.
Operating
Policies
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
53
4.
Fair
Valuation
Fair
value
is
defined
as
the
price
that
the Accounts
would
receive
upon
selling
a
security
in
a
timely
transaction
to
an
independent
buyer
in
the
principal
or
most
advantageous
market
of
the
security
at
the
measurement
date.
In
determining
fair
value,
the Accounts
may
use
one
or
more
of
the
following
approaches:
market,
income
and/or
cost.
A
hierarchy
for
inputs
is
used
in
measuring
fair
value
that
maximizes
the
use
of
observable
inputs
and
minimizes
the
use
of
unobservable
inputs
by
requiring
that
the
most
observable
inputs
be
used
when
available.
Observable
inputs
are
inputs
that
reflect
the
assumptions
market
participants
would
use
in
pricing
the
asset
or
liability
developed
based
on
market
data
obtained
from
sources
independent
of
the
Accounts.
Unobservable
inputs
are
inputs
that
reflect
the
account's
own
estimates
about
the
estimates
market
participants
would
use
in
pricing
the
asset
or
liability
developed
based
on
the
best
information
available
in
the
circumstances.
The
three-tier
hierarchy
of
inputs
is
summarized
in
the
three
broad
levels
listed
below.
●
Level
1
–
Quoted
prices
are
available
in
active
markets
for
identical
securities
as
of
the
reporting
date.
The
type
of
securities
included
in
Level
1
includes
listed
equities
and
listed
derivatives.
●
Level
2
–
Other
significant
observable
inputs
(including
quoted
prices
for
similar
investments,
interest
rates,
prepayment
speeds,
credit
risk,
etc.).
Investments
which
are
generally
included
in
this
category
include
certain
foreign
equities,
corporate
bonds,
senior
floating
rate
interests,
municipal
bonds,
and
U.S.
Government
and
Government
Agency
Obligations.
●
Level
3
–
Significant
unobservable
inputs
(including
the
Accounts’
assumptions
in
determining
the
fair
value
of
investments).
Investments
which are
generally included
in
this
category
include
certain
common
stocks,
corporate
bonds,
mortgage
backed
securities
or
senior
floating
rate
interests.
The
availability
of
observable
inputs
can
vary
from
security
to
security
and
is
affected
by
a
wide
variety
of
factors,
including,
for
example,
the
type
of
security,
whether
the
security
is
new
and
not
yet
established
in
the
market
place,
and
other
characteristics
particular
to
the
transaction.
To
the
extent
that
valuation
is
based
on
models
or
inputs
that
are
less
observable
or
unobservable
in
the
market,
the
determination
of
fair
value
requires
more
judgment.
Accordingly,
the
degree
of
judgment
exercised
by
the
Accounts
in
determining
fair
value
is
greatest
for
instruments
categorized
in
Level
3.
In
certain
cases,
the
inputs
used
to
measure
fair
value
may
fall
into
different
levels
of
the
fair
value
hierarchy.
In
such
cases,
for
disclosure
purposes,
the
level
in
the
fair
value
hierarchy
within
which
the
fair
value
measurement
in
its
entirety
falls
is
determined
based
on
the
lowest
level
input
that
is
significant
to
the
fair
value
measurement
in
its
entirety.
Fair
value
is
a
market
based
measure
considered
from
the
perspective
of
a
market
participant
who
holds
the
asset
rather
than
an
entity
specific
measure.
Therefore,
even
when
market
assumptions
are
not
readily
available,
the
Accounts'
own
assumptions
are
set
to
reflect
those
that
market
participants
would
use
in
pricing
the
asset
or
liability
at
the
measurement
date.
The
Accounts
use
prices
and
inputs
that
are
current
as
of
the
measurement
date,
when
available. 
Investments
which
are
included
in
the
Level
3
category
may
be
valued
using
indicative
quoted
prices
from
brokers
and
dealers
participating
in
the
market
for
these
investments.
These
investments
are
classified
as
Level
3
investments
due
to
the
lack
of
market
transparency
and
market
corroboration
to
support
these
quoted
prices.
Valuation
models
may
be
used
as
the
pricing
source
for
other
investments
classified
as
Level
3.
Valuation
models
rely
on
one
or
more
significant
unobservable
inputs
such
as
prepayment
rates,
probability
of
default,
or
loss
severity
in
the
event
of
default.
Significant
increases
in
any
of
those
inputs
in
isolation
would
result
in
a
significantly
lower
fair
value
measurement.
Benchmark
pricing
procedures
set
the
base
price
of
a
security
based
on
current
market
data.
The
base
price
may
be
a
broker-
dealer
quote,
transaction
price,
or
internal
value
based
on
relevant
market
data.
Contract
Type
Derivative
Type
Average
Notional
(‘000)
LargeCap
S&P
500
Managed
Volatility
Index
Account
Equity
Contracts
Futures
-
Long
3,367
Purchased
Options
41
Written
Options
41
3.
Operating
Policies
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
54
The
fair
values
of
these
securities
are
dependent
on
economic,
political,
and
other
considerations.
The
values
of
such
securities
may
be
affected
by
significant
changes
in
the
economic
conditions,
changes
in
government
policies,
and
other
factors
(e.g.,
natural
disasters,
accidents,
conflicts,
etc.).
Fair
value
of
these
investments
is
determined
in
good
faith
by
the
Manager
under
procedures
established
and
periodically
reviewed
by
the
Fund’s
Board
of
Directors.
The
Manager
has
established
a
valuation
committee
(“Valuation
Committee”)
of
senior
officers
and
employees,
with
the
responsibility
of
overseeing
the
pricing
and
valuation
of
all
securities,
including
securities
where
market
quotations
are
not
readily
available.
The
Valuation
Committee
meets
at
least
monthly
and
reports
directly
to
the
Board
of
Directors.
A
pricing
group
(the
“Pricing
Group”)
who
reports
to
the
Valuation
Committee,
relies
on
the
established
pricing
policies
to
determine
fair
valuation.
Included
in
the
pricing
policies
is
an
overview
of
the
approved
valuation
approaches
established
for
each
asset
class.
The
Pricing
Group
will
consider
all
appropriate
information
available
when
determining
fair
valuation.
The
Pricing
Group
relies
on
externally
provided
valuation
inputs
to
determine
the
value
of
Level
3
securities.
Security
values
are
updated
as
new
information
becomes
available.
Valuation
data
and
changes
in
valuation
amounts
are
reviewed
on
a
daily
basis
based
on
specified
criteria
for
the
security,
asset
class,
and
other
factors.
In
addition,
valuation
data
is
periodically
compared
to
actual
transactions
executed
by
the
Accounts
(i.e.,
purchases/sales)
and
differences
between
transaction
prices
and
prior
period
valuation
data
are
investigated
based
on
specified
tolerances.
The
inputs
or
methodology
used
for
valuing
securities
are
not
necessarily
an
indication
of
the
risk
associated
with
investing
in
those
instruments.
The
following
is
a
summary
of
the
inputs
used
as
of June
30,
2019
in
valuing
the
Accounts'
securities
carried
at
value
(amounts
shown
in
thousands):
Account
Fund
Level
1
-
Quoted
Prices
Level
2
-
Other
Significant
Observable
Inputs
Level
3
-
Significant
Unobservable
Inputs
Totals
(Level
1,2,3)
Bond
Market
Index
Account
Bonds*
$
—
$
796,050
$
—
$
796,050
Investment
Companies
133,199
—
—
133,199
Municipal
Bonds*
—
19,343
—
19,343
U.S.
Government
&
Government
Agency
Obligations*
—
1,515,757
—
1,515,757
Total
investments
in
securities
$
133,199
$
2,331,150
$
—
$
2,464,349
Core
Plus
Bond
Account
Bonds*
—
181,122
—
181,122
Common
Stocks*
39
—
—
39
Investment
Companies
24,404
—
—
24,404
Preferred
Stocks
Consumer,
Non-cyclical
—
—
7
7
Senior
Floating
Rate
Interests*
—
2,324
—
2,324
U.S.
Government
&
Government
Agency
Obligations*
—
132,743
—
132,743
Total
investments
in
securities
$
24,443
$
316,189
$
7
$
340,639
Assets
Interest
Rate
Contracts
Futures**
194
—
—
194
Liabilities
Interest
Rate
Contracts
Futures**
(91)
—
—
(91)
Diversified
Balanced
Account
Bonds*
—
2
—
2
Investment
Companies
1,047,551
—
—
1,047,551
Preferred
Stocks
Consumer,
Non-cyclical
—
—
—
—
Total
investments
in
securities
$
1,047,551
$
2
$
—
$
1,047,553
Diversified
Balanced
Managed
Volatility
Account
Investment
Companies
174,317
—
—
174,317
Total
investments
in
securities
$
174,317
$
—
$
—
$
174,317
4.
Fair
Valuation
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
55
Account
Fund
Level
1
-
Quoted
Prices
Level
2
-
Other
Significant
Observable
Inputs
Level
3
-
Significant
Unobservable
Inputs
Totals
(Level
1,2,3)
Diversified
Balanced
Volatility
Control
Account
Investment
Companies
$
94,618
$
—
$
—
$
94,618
Total
investments
in
securities
$
94,618
$
—
$
—
$
94,618
Diversified
Growth
Account
Investment
Companies
3,767,075
—
—
3,767,075
Total
investments
in
securities
$
3,767,075
$
—
$
—
$
3,767,075
Diversified
Growth
Managed
Volatility
Account
Investment
Companies
352,54
6
—
—
352,546
Total
investments
in
securities
$
352,546
$
—
$
—
$
352,546
Diversified
Growth
Volatility
Control
Account
Investment
Companies
548,577
—
—
548,577
Total
investments
in
securities
$
548,577
$
—
$
—
$
548,577
Diversified
Income
Account
Investment
Companies
263,211
—
—
263,211
Total
investments
in
securities
$
263,211
$
—
$
—
$
263,211
Diversified
International
Account
Common
Stocks
Basic
Materials
1,997
9,234
—
11,231
Communications
4,714
18,036
—
22,750
Consumer,
Cyclical
6,398
36,565
—
42,963
Consumer,
Non-cyclical
1,784
41,027
—
42,811
Energy
4,474
13,679
—
18,153
Financial
13,338
54,318
—
67,656
Industrial
4,561
18,079
—
22,640
Technology
477
21,187
—
21,664
Utilities
—
6,388
—
6,388
Investment
Companies
1,678
—
—
1,678
Preferred
Stocks
1,179
—
—
1,179
Total
investments
in
securities
$
40,600
$
218,513
$
—
$
259,113
Equity
Income
Account
Common
Stocks*
718,277
—
—
718,277
Investment
Companies
11,977
—
—
11,977
Total
investments
in
securities
$
730,254
$
—
$
—
$
730,254
Government
&
High
Quality
Bond
Account
Bonds*
—
63,556
—
63,556
Investment
Companies
6,172
—
—
6,172
U.S.
Government
&
Government
Agency
Obligations*
—
154,387
—
154,387
Total
investments
in
securities
$
6,172
$
217,943
$
—
$
224,115
International
Emerging
Markets
Account
Common
Stocks
Basic
Materials
1,521
2,170
—
3,691
Communications
5,787
9,990
—
15,777
Consumer,
Cyclical
3,781
6,644
—
10,425
Consumer,
Non-cyclical
2,356
4,738
—
7,094
Energy
355
8,073
—
8,428
Financial
4,105
20,682
—
24,787
Industrial
—
4,600
—
4,600
Technology
948
11,055
—
12,003
Utilities
—
1,170
—
1,170
Investment
Companies
1,262
—
—
1,262
Preferred
Stocks
1,63
5
—
—
1,63
5
Total
investments
in
securities
$
21,75
0
$
69,122
$
—
$
90,87
2
4.
Fair
Valuation
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
56
Account
Fund
Level
1
-
Quoted
Prices
Level
2
-
Other
Significant
Observable
Inputs
Level
3
-
Significant
Unobservable
Inputs
Totals
(Level
1,2,3)
LargeCap
Growth
Account
I
Common
Stocks*
$
464,543
$
—
$
—
$
464,543
Convertible
Preferred
Stocks
Communications
—
—
596
596
Investment
Companies
9,874
—
—
9,874
Preferred
Stocks
Communications
—
119
—
119
Technology
—
260
153
413
Total
investments
in
securities
$
474,417
$
379
$
749
$
475,545
Assets
Equity
Contracts
Futures**
17
—
—
$
17
LargeCap
S&P
500
Index
Account
Common
Stocks*
2,567,931
—
—
2,567,931
Investment
Companies
14,139
—
—
14,139
Total
investments
in
securities
$
2,582,070
$
—
$
—
$
2,582,070
Assets
Equity
Contracts
Futures**
118
—
—
118
LargeCap
S&P
500
Managed
Volatility
Index
Account
Common
Stocks*
205,174
—
—
205,174
Investment
Companies
13,550
—
—
13,550
Purchased
Options
627
—
—
627
Total
investments
in
securities
$
219,351
$
—
$
—
$
219,351
Assets
Equity
Contracts
Futures**
34
—
—
34
Liabilities
Equity
Contracts
Written
Options
(434)
—
—
(434)
MidCap
Account
Common
Stocks*
593,327
—
—
593,327
Investment
Companies
2,598
—
—
2,598
Total
investments
in
securities
$
595,925
$
—
$
—
$
595,925
Principal
Capital
Appreciation
Account
Common
Stocks*
150,76
2
—
—
150,76
2
Investment
Companies
2,357
—
—
2,357
Total
investments
in
securities
$
153,11
9
$
—
$
—
$
153,11
9
Principal
LifeTime
2010
Account
Investment
Companies
32,343
—
—
32,343
Total
investments
in
securities
$
32,343
$
—
$
—
$
32,343
Principal
LifeTime
2020
Account
Investment
Companies
192,283
—
—
192,283
Total
investments
in
securities
$
192,283
$
—
$
—
$
192,283
Principal
LifeTime
2030
Account
Investment
Companies
167,105
—
—
167,105
Total
investments
in
securities
$
167,105
$
—
$
—
$
167,105
Principal
LifeTime
2040
Account
Investment
Companies
76,010
—
—
76,010
Total
investments
in
securities
$
76,010
$
—
$
—
$
76,010
Principal
LifeTime
2050
Account
Investment
Companies
35,990
—
—
35,990
Total
investments
in
securities
$
35,990
$
—
$
—
$
35,990
4.
Fair
Valuation
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
57
*For
additional
detail
regarding
sector
classifications,
please
see
the
schedules
of
investments.
**Futures
are
presented
at
the
unrealized
appreciation/(depreciation)
of
the
instrument.
At
the
end
of
the
period,
there
were
no
other Accounts
which
had
a
significant
Level
3
balance.
During
the
period,
there
were
no
significant
purchases,
sales,
or
transfers
into
or
out
of
Level
3. 
5.
Management
Agreement
and
Transactions
with
Affiliates
Management
Services.
The
Accounts
have
agreed
to
pay
investment
advisory
and
management
fees
to
the
Manager
computed
at
an
annual
percentage
rate
of
each
account’s
average
daily
net
assets.
A
portion
of
the
management
fee
is
paid
by
the
Manager
to
the
sub-advisor
of
each
of
the
Accounts,
some
of
which
are
affiliates
of
the
Manager.
The
annual
rate
paid
by
the
SAM
Portfolios
is
based
upon
the
aggregate
average
daily
net
assets
(“aggregate
net
assets”)
of
the
SAM
Portfolios.
The
investment
advisory
and
management
fee
schedule
for
the
SAM
Portfolios
is
.25%
of
aggregate
net
assets
up
to
the
first
$1
billion
and
.20%
of
aggregate
net
assets
over
$1
billion.
The
Principal
LifeTime
Account
Fund
Level
1
-
Quoted
Prices
Level
2
-
Other
Significant
Observable
Inputs
Level
3
-
Significant
Unobservable
Inputs
Totals
(Level
1,2,3)
Principal
LifeTime
2060
Account
Investment
Companies
$
6,765
$
—
$
—
$
6,765
Total
investments
in
securities
$
6,765
$
—
$
—
$
6,765
Principal
LifeTime
Strategic
Income
Account
Investment
Companies
23,509
—
—
23,509
Total
investments
in
securities
$
23,509
$
—
$
—
$
23,509
Real
Estate
Securities
Account
Common
Stocks*
153,482
—
—
153,482
Investment
Companies
1,129
—
—
1,129
Total
investments
in
securities
$
154,611
$
—
$
—
$
154,611
SAM
Balanced
Portfolio
Investment
Companies
702,340
—
—
702,340
Total
investments
in
securities
$
702,340
$
—
$
—
$
702,340
SAM
Conservative
Balanced
Portfolio
Investment
Companies
187,792
—
—
187,792
Total
investments
in
securities
$
187,792
$
—
$
—
$
187,792
SAM
Conservative
Growth
Portfolio
Investment
Companies
337,921
—
—
337,921
Total
investments
in
securities
$
337,921
$
—
$
—
$
337,921
SAM
Flexible
Income
Portfolio
Investment
Companies
186,615
—
—
186,615
Total
investments
in
securities
$
186,615
$
—
$
—
$
186,615
SAM
Strategic
Growth
Portfolio
Investment
Companies
292,324
—
—
292,324
Total
investments
in
securities
$
292,324
$
—
$
—
$
292,324
Short-Term
Income
Account
Bonds*
—
127,421
—
127,421
Investment
Companies
2,570
—
—
2,570
U.S.
Government
&
Government
Agency
Obligations*
—
1,640
—
1,640
Total
investments
in
securities
$
2,570
$
129,061
$
—
$
131,631
SmallCap
Account
Common
Stocks*
183,643
—
—
183,643
Investment
Companies
6,407
—
—
6,407
Total
investments
in
securities
$
190,050
$
—
$
—
$
190,050
4.
Fair
Valuation
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
58
Accounts
do
not
pay
investment
advisory
and
management
fees.
The
annual
rates
used
in
this
calculation
for
each
of
the
other
Accounts
are
as
follows:
The
Manager
contractually
agreed
to
limit
the
expenses
(including
acquired
fund
fees
and
expenses,
but
excluding
interest
expense,
expenses
related
to
fund
investments,
and
other
extraordinary
expenses)
for
certain
classes
of
shares
of
certain
of
the
Accounts.
The
reductions
and
reimbursements
are
in
amounts
that
maintain
total
operating
expenses
at
or
below
certain
limits.
The
limits
are
expressed
as
a
percentage
of
average
daily
net
assets
attributable
to
each
class
of
shares
on
an
annualized
basis
during
the
reporting
period.
The
operating
expense
limits,
which
expired
April
30,
2019, were
as
follows:
Net
Assets
of
Accounts
(in
millions)
First
$100
Next
$100
Next
$100
Next
$100
Thereafter
Core
Plus
Bond
Account
.50%
.45%
.40%
.35%
.30%
Equity
Income
Account
.60
.55
.50
.45
.40
LargeCap
Growth
Account
I
.80
.75
.70
.65
.60
MidCap
Account
.65
.60
.55
.50
.45
Real
Estate
Securities
Account
.90
.85
.80
.75
.70
SmallCap
Account
.85
.80
.75
.70
.65
Net
Assets
of
Accounts
(in
millions)
First
$250
Next
$250
Next
$250
Next
$250
Thereafter
Diversified
International
Account
.85%
.80%
.75%
.70%
.65%
International
Emerging
Markets
Account
1.25
1.20
1.15
1.10
1.05
Net
Assets
of
Account
(in
millions)
First
$200
Next
$300
Over
$500
Short-Term
Income
Account
.50%
.45%
.40%
Net
Assets
of
Account
(in
millions)
First
$500
Over
$500
Principal
Capital
Appreciation
Account
.625%
.50%
Net
Assets
of
Accounts
(in
billions)
First
$2
Over
$2
Government
&
High
Quality
Bond
Account
.50%
.45%
All
Net
Assets
Bond
Market
Index
Account
.25%
Diversified
Balanced
Account
.05
Diversified
Balanced
Managed
Volatility
Account
.05
Diversified
Balanced
Volatility
Control
Account
.12
Diversified
Growth
Account
.05
Diversified
Growth
Managed
Volatility
Account
.05
Diversified
Growth
Volatility
Control
Account
.12
Diversified
Income
Account
.05
LargeCap
S&P
500
Index
Account
.25
LargeCap
S&P
500
Managed
Volatility
Index
Account
.45
Period
from
January
1,
2019
through
April
30,
2019
Class
1
Class
2
SAM
Balanced
Portfolio
.86%
1.11%
SAM
Conservative
Balanced
Portfolio
.84
1.09
SAM
Conservative
Growth
Portfolio
.99
1.24
SAM
Strategic
Growth
Portfolio
.99
1.24
5.
Management
Agreement
and
Transactions
with
Affiliates
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
59
The
Manager
has
contractually
agreed
to
limit
certain
of
the
Accounts'
management
and
investment
advisory
fees.
The
expense
limit
will
reduce
the account's
management
and
investment
advisory
fees
by
the
following
amounts:
The
Manager
has
contractually
agreed
to
limit
the
expenses
(excluding
interest
expense,
expenses
related
to account
investments,
acquired
fund
fees
and
expenses,
and
other
extraordinary
expenses)
for
certain
classes
of
shares
of
certain
of
the
Accounts.
The
reductions
and
reimbursements
are
in
amounts
that
maintain
total
operating
expenses
at
or
below
certain
limits.
The
limits
are
expressed
as
a
percentage
of
average
daily
net
assets
attributable
to
each
class
of
shares
on
an
annualized
basis
during
the
reporting
period.
The
operating
expense
limits are
as
follows:
*Period
from
June
10,
2019
through
June
30,
2019.
Prior
to
June
10,
2019,
there
was
no
contractual
limit.
The
Manager
has
contractually
agreed
to
reduce
Short-Term
Income
Account’s
expenses
by
.01%
through
the
period
ended
April
30,
2020.
In
addition,
the
Manager
has
voluntarily
agreed
to
limit
the
expenses
(excluding
interest
expense,
expenses
related
to
account
investments,
acquired
fund
fees
and
expenses,
and
other
extraordinary
expenses)
attributable
to
Class
2
shares
of
certain
of
the
Accounts.
The
reductions
and
reimbursements
are
in
amounts
that
maintain
total
operating
expenses
at
or
below
certain
limits.
The
limits
are
expressed
as
a
percentage
of
average
daily
net
assets
on
an
annualized
basis
during
the
reporting
period.
The
expense
limit
may
be
terminated
at
any
time.
The
operating
expense
limits
are
as
follows:
Amounts
owed
to
the Accounts
under
the
terms
of
the
expense
limitation
agreements
are
reflected
in
the
statements
of
assets
and
liabilities
as
expense
reimbursement
from
Manager
and
are
settled
periodically. 
Distribution
Fees.
Class
2
shares
of
the
Accounts
bear
distribution
fees.
The
fee
is
computed
at
an
annual
rate
of
the
average
daily
net
assets
attributable
to
Class
2
shares
of
each
of
the
Accounts.
Distribution
fees
are
paid
to
Principal
Funds
Distributor,
Inc.
(an
affiliate
of
the
Manager),
the
principal
distributor
of
the
Accounts.
A
portion
of
the
distribution
fees
may
be
paid
to
other
selling
dealers
for
providing
certain
services.
The
annual
distribution
fee
rate
is
.25%.
Chief
Compliance
Officer
Expenses.
The Accounts
pay
certain
expenses
associated
with
the
Chief
Compliance
Officer
(“CCO”).
This
expense
is
allocated
based
on
the
relative
net
assets
of
each account
and
is
shown
on
the
statements
of
operations.
Affiliated
Ownership.
At
June
30,
2019,
Principal
Life
Insurance
Company
(an
affiliate
of
the
Manager)
and/or
one
or
more
separate
accounts
sponsored
by
Principal
Life
Insurance
Company
owned
shares
of
the
Accounts as
follows
(amounts
in
thousands):
Expiration
Bond
Market
Index
Account
.100%
April
30,
2020
International
Emerging
Markets
Account
.150
April
30,
2020
LargeCap
Growth
Account
I
.016
April
30,
2020
Real
Estate
Securities
Account
.020
April
30,
2020
Period
from
January
1,
2019
through
June
30,
2019
Class
1
Class
2
Expiration
Diversified
Balanced
Managed
Volatility
Account
N/A
.31%
April
30,
2020
Diversified
Balanced
Volatility
Control
Account
N/A
.39
April
30,
2020
Diversified
Growth
Managed
Volatility
Account
N/A
.31
April
30,
2020
Diversified
Growth
Volatility
Control
Account
N/A
.39
April
30,
2019
International
Emerging
Markets
Account
1.20%
N/A
April
30,
2020
LargeCap
Growth
Account
I
.69*
N/A
April
30,
2021
Principal
LifeTime
2060
Account
.10
N/A
April
30,
2020
Expense
Limit
Class
2
Diversified
Balanced
Account
.31%
Diversified
Growth
Account
.31
Diversified
Income
Account
.31
Class
1
Class
2
Bond
Market
Index
Account
1,195
N/A
Core
Plus
Bond
Account
20,813
N/A
Diversified
Balanced
Account
2,377
60,670
Diversified
Balanced
Managed
Volatility
Account
N/A
13,825
5.
Management
Agreement
and
Transactions
with
Affiliates
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
60
6.
Capital
Share
Transactions
The
following
table
reflects
the
conversion
of
Class 2
shares
into
Class 1
shares
(reflected
in
the
statements
of
changes
in
net
assets
as
Class 2
shares
and
dollars
redeemed
and
Class 1
dollars
sold)
for
the period ended June
30,
2019
(amounts
in
thousands).
7.
Investment
Transactions
For
the period ended
June
30,
2019,
the
cost
of
investment
securities
purchased
and
proceeds
from
investment
securities
sold
(not
including
short-term
investments
and
U.S.
government
securities)
by
the Accounts
were
as
follows
(amounts
in
thousands):
Class
1
Class
2
Diversified
Balanced
Volatility
Control
Account
N/A
8,383
Diversified
Growth
Account
N/A
204,073
Diversified
Growth
Managed
Volatility
Account
N/A
26,947
Diversified
Growth
Volatility
Control
Account
N/A
47,916
Diversified
Income
Account
N/A
19,218
Diversified
International
Account
16,273
N/A
Equity
Income
Account
13,844
208
Government
&
High
Quality
Bond
Account
13,601
N/A
International
Emerging
Markets
Account
5,459
N/A
LargeCap
Growth
Account
I
12,616
N/A
LargeCap
S&P
500
Index
Account
15,578
536
MidCap
Account
8,921
N/A
Principal
Capital
Appreciation
Account
3,979
100
Principal
LifeTime
2010
Account
2,419
N/A
Principal
LifeTime
2020
Account
13,600
N/A
Principal
LifeTime
2030
Account
12,597
N/A
Principal
LifeTime
2040
Account
4,696
N/A
Principal
LifeTime
2050
Account
2,298
N/A
Principal
LifeTime
2060
Account
467
N/A
Principal
LifeTime
Strategic
Income
Account
1,914
N/A
Real
Estate
Securities
Account
6,950
190
SAM
Balanced
Portfolio
34,550
1,165
SAM
Conservative
Balanced
Portfolio
13,241
595
SAM
Conservative
Growth
Portfolio
8,998
589
SAM
Flexible
Income
Portfolio
11,774
1,106
SAM
Strategic
Growth
Portfolio
6,929
373
Short-Term
Income
Account
49,401
N/A
SmallCap
Account
10,660
105
Shares
Dollars
Core
Plus
Bond
Account
129
$
1,465
Diversified
International
Account
147
2,256
Government
&
High-Quality
Bond
Account
274
2,691
International
Emerging
Markets
Account
117
1,851
LargeCap
Growth
Account
I
145
5,163
Principal
LifeTime
2020
Account
105
1,447
Principal
LifeTime
2030
Account
167
2,145
Principal
LifeTime
2040
Account
57
895
Principal
LifeTime
2050
Account
75
1,139
Short-Term
Income
Account
1,570
4,045
Purchases
Sales
Covers
on
Securities
Sold
Short
Securities
Sold
Short
Bond
Market
Index
Account
$
624,296
$
675,418
$
26,556
$
16,952
Core
Plus
Bond
Account
186,350
200,839
—
—
Diversified
Balanced
Account
74,635
147,555
—
—
Diversified
Balanced
Managed
Volatility
Account
13,643
19,638
—
—
Diversified
Balanced
Volatility
Control
Account
44,722
11,331
—
—
Diversified
Growth
Account
237,513
420,460
—
—
Diversified
Growth
Managed
Volatility
Account
23,675
37,588
—
—
Diversified
Growth
Volatility
Control
Account
244,432
55,065
—
—
5.
Management
Agreement
and
Transactions
with
Affiliates
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
61
For
the period
ended
June
30,
2019,
the
cost
of
U.S.
government
securities
purchased
and
proceeds
from
U.S.
government
securities
sold
(not
including
short-term
investments)
by
the Accounts
were
as
follows
(amounts
in
thousands):
8.
Federal
Tax
Information
Distributions
to
Shareholders.
The
federal
income
tax
character
of
distributions
paid
for
the periods
ended
June
30,
2019 and
December
31,
2018 were
as
follows
(amounts
in
thousands):
Purchases
Sales
Covers
on
Securities
Sold
Short
Securities
Sold
Short
Diversified
Income
Account
31,454
33,955
—
—
Diversified
International
Account
62,200
68,716
—
—
Equity
Income
Account
57,154
90,942
—
—
Government
&
High
Quality
Bond
Account
11,509
15,449
—
—
International
Emerging
Markets
Account
73,822
74,342
—
—
LargeCap
Growth
Account
I
59,818
65,406
—
—
LargeCap
S&P
500
Index
Account
28,281
184,548
—
—
LargeCap
S&P
500
Managed
Volatility
Index
Account
3,107
16,281
—
—
MidCap
Account
32,467
70,661
—
—
Principal
Capital
Appreciation
Account
37,220
44,704
—
—
Principal
LifeTime
2010
Account
8,871
11,301
—
—
Principal
LifeTime
2020
Account
41,008
42,699
—
—
Principal
LifeTime
2030
Account
16,699
12,587
—
—
Principal
LifeTime
2040
Account
9,033
6,575
—
—
Principal
LifeTime
2050
Account
2,884
3,458
—
—
Principal
LifeTime
2060
Account
2,463
1,247
—
—
Principal
LifeTime
Strategic
Income
Account
7,843
6,729
—
—
Real
Estate
Securities
Account
17,098
25,837
—
—
SAM
Balanced
Portfolio
100,147
142,483
—
—
SAM
Conservative
Balanced
Portfolio
40,884
44,596
—
—
SAM
Conservative
Growth
Portfolio
21,336
36,270
—
—
SAM
Flexible
Income
Portfolio
53,662
63,691
—
—
SAM
Strategic
Growth
Portfolio
32,971
38,483
—
—
Short-Term
Income
Account
45,055
66,994
—
—
SmallCap
Account
35,647
49,390
—
—
Purchases
Sales
Covers
on
Securities
Sold
Short
Securities
Sold
Short
Bond
Market
Index
Account
$
740,988
$
682,524
$
5,197
$
3,353
Core
Plus
Bond
Account
73,519
62,616
—
—
Government
&
High
Quality
Bond
Account
688
9,273
—
—
Short-Term
Income
Account
3,101
5,650
—
—
Ordinary
Income
Long-Term
Capital
Gain
Section
1250
Gain
2019
2018
2019
2018*
2019
2018^
Bond
Market
Index
Account
$
—
$
52,158
$
—
$
—
$
—
$
—
Core
Plus
Bond
Account
—
9,636
—
—
—
—
Diversified
Balanced
Account
—
28,469
—
12,445
—
—
Diversified
Balanced
Managed
Volatility
Account
—
6,912
—
826
—
—
Diversified
Balanced
Volatility
Control
Account
—
434
—
148
—
—
Diversified
Growth
Account
—
106,005
—
29,490
—
—
Diversified
Growth
Managed
Volatility
Account
—
15,420
—
1,876
—
—
Diversified
Growth
Volatility
Control
Account
—
2,237
—
875
—
—
Diversified
Income
Account
—
5,794
—
1,114
—
—
Diversified
International
Account
—
6,007
—
—
—
—
Equity
Income
Account
—
13,448
—
33,719
—
—
Government
&
High
Quality
Bond
Account
—
8,671
—
—
—
—
International
Emerging
Markets
Account
—
1,238
—
—
—
—
LargeCap
Growth
Account
I
—
452
—
23,404
—
—
7.
Investment
Transactions
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
62
*The
Accounts
designate
these
distributions
as
long-term
capital
gain
dividends
per
IRC
Sec.
852
(b)(3)(C)
in
the
20-percent
group
(which
may
be
taxed
at
a
20-percent
rate,
a
15-percent
rate
or
a
0-percent
rate,
depending
on
the
shareholder’s
taxable
income).
^Unrecaptured
Section
1250
gains
are
gains
from
the
sale
of
depreciable
property
that
are
subject
to
a
maximum
tax
rate
of
25%.
Certain
Accounts
may
also
utilize
earnings
and
profits
distributed
to
shareholders
on
redemptions
of
shares
as
part
of
the
dividends
paid
deduction.
For
U.S.
federal
income
tax
purposes,
short-term
capital
gain
distributions
are
considered
ordinary
income
distributions.
Distributable
Earnings.
As
of December
31,
2018,
the
components
of
total
distributable
earnings
(accumulated
loss)
on
a
federal
tax
basis
were
as
follows
(amounts
in
thousands):
Ordinary
Income
Long-Term
Capital
Gain
Section
1250
Gain
2019
2018
2019
2018*
2019
2018^
LargeCap
S&P
500
Index
Account
—
45,501
—
83,371
—
—
LargeCap
S&P
500
Managed
Volatility
Index
Account
—
3,114
—
—
—
—
MidCap
Account
—
1,796
—
72,238
—
—
Principal
Capital
Appreciation
Account
—
1,753
—
8,213
—
—
Principal
LifeTime
2010
Account
—
1,158
—
833
—
—
Principal
LifeTime
2020
Account
—
5,625
—
5,222
—
—
Principal
LifeTime
2030
Account
—
4,192
—
4,713
—
—
Principal
LifeTime
2040
Account
—
1,460
—
2,199
—
—
Principal
LifeTime
2050
Account
—
834
—
1,336
—
—
Principal
LifeTime
2060
Account
—
124
—
181
—
—
Principal
LifeTime
Strategic
Income
Account
—
631
—
245
—
—
Real
Estate
Securities
Account
—
2,980
—
11,
385
—
222
SAM
Balanced
Portfolio
—
24,236
—
34,263
—
—
SAM
Conservative
Balanced
Portfolio
—
6,540
—
6,843
—
—
SAM
Conservative
Growth
Portfolio
—
10,266
—
15,434
—
—
SAM
Flexible
Income
Portfolio
—
8,176
—
4,660
—
—
SAM
Strategic
Growth
Portfolio
—
7,336
—
14,491
—
—
Short-Term
Income
Account
—
3,321
—
—
—
—
SmallCap
Account
—
1,441
—
12,058
—
—
Undistributed
Ordinary
Income
Undistributed
Long-Term
Capital
Gains
Accumulated
Losses
Net
Unrealized
Appreciation
(Depreciation)
Other
Temporary
Differences
*
Total
Accumulated
Earnings
(Deficit)
Bond
Market
Index
Account
$
63,572
$
—
$
(30,485)
$
(40,862)
$
—
$
(7,775)
Core
Plus
Bond
Account
10,175
—
(6,805)
(10,493)
91
(7,032)
Diversified
Balanced
Account
19,154
42,189
—
157,011
—
218,354
Diversified
Balanced
Managed
Volatility
Account
2,984
2,349
—
4,273
—
9,606
Diversified
Balanced
Volatility
Control
Account
1,238
761
—
(3,555)
—
(1,556)
Diversified
Growth
Account
66,026
132,157
—
522,803
—
720,986
Diversified
Growth
Managed
Volatility
Account
6,092
4,546
—
11,480
—
22,118
Diversified
Growth
Volatility
Control
Account
5,623
4,663
—
(24,021)
—
(13,735)
Diversified
Income
Account
4,541
5,616
—
12,646
—
22,803
Diversified
International
Account
4,108
12,521
—
2,524
—
19,153
Equity
Income
Account
17,075
16,183
—
182,774
—
216,032
Government
&
High
Quality
Bond
Account
6,456
—
(8,862)
(7,132)
(39)
(9,577)
International
Emerging
Markets
Account
801
2,283
—
991
—
4,075
LargeCap
Growth
Account
I
244
34,548
—
75,432
(15)
110,209
LargeCap
S&P
500
Index
Account
49,196
111,411
—
687,866
—
848,473
LargeCap
S&P
500
Managed
Volatility
Index
Account
3,610
14,917
—
30,141
(17,046)
31,622
MidCap
Account
1,526
79,299
—
100,053
—
180,878
Principal
Capital
Appreciation
Account
2,596
13,120
—
40,099
—
55,815
Principal
LifeTime
2010
Account
910
1,712
—
(424)
—
2,198
Principal
LifeTime
2020
Account
4,556
8,015
—
(2,993)
—
9,578
Principal
LifeTime
2030
Account
3,600
8,675
—
(5,610)
—
6,665
Principal
LifeTime
2040
Account
1,500
3,851
—
(3,200)
—
2,151
Principal
LifeTime
2050
Account
718
2,142
—
(1,422)
—
1,438
8.
Federal
Tax
Information
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
63
*Represents
book-to-tax
accounting
differences.
^Undistributed
Ordinary
Income
reported
includes
$327
of
undistributed
Section
1250
Capital
Gains.
Capital
Loss
Carryforwards.
For
federal
income
tax
purposes,
capital
loss
carryforwards
are
losses
that
can
be
used
to
offset
future
capital
gains
of
the
Accounts.
At December
31,
2018,
the Accounts had
approximate
net
capital
loss
carryforwards
as
follows
(amounts
in
thousands):
Capital
losses
generated
in
taxable
years
beginning
after
the
enactment
date
of
the
Regulated
Investment
Company
Modernization
Act
of
2010
on
December
22,
2010,
will
be
carried
forward
with
no
expiration
and
with
the
character
of
the
loss
retained.
For
the
year
ended
December
31,
2018,
the
following
accounts
had
utilized
capital
loss
carryforwards
as
follows
(amounts
in
thousands):
Late-Year
Losses.
A
regulated
investment
company
may
elect
to
treat
any
portion
of
its
qualified
late-year
loss
as
arising
on
the
first
day
of
the
next
taxable
year.
Qualified
late-year
losses
are
certain
capital
and
ordinary
losses
which
occur
during
the
portion
of
the account's
taxable
year
subsequent
to
October 31.
For
the
taxable
year
ended
December
31,
2018,
the
Accounts
do
not
plan
to
defer
any
late-year
losses. 
Reclassification
of
Capital
Accounts.
The
Accounts
may
record
reclassifications
in
their
capital
accounts.
These
reclassifications
have
no
impact
on
the
total
net
assets
of
the
Accounts.
The
reclassifications
are
a
result
of
permanent
differences
between
U.S.
GAAP
and
tax
accounting.
Adjustments
are
made
to
reflect
the
impact
these
items
have
on
current
and
future
distributions
to
shareholders.
Therefore,
the
source
of
the Accounts'
distributions
may
be
shown
in
the
accompanying
statements
of
changes
in
net
assets
as
from
net
investment
income
and net
realized
gain
on
investments
or
from
tax
return
of
capital
depending
on
the
type
of
book
and
tax
differences
that
exist.
For
the
year
ended
December
31,
2018,
the
Accounts
recorded
reclassifications
as
follows
(amounts
in
thousands):
Undistributed
Ordinary
Income
Undistributed
Long-Term
Capital
Gains
Accumulated
Losses
Net
Unrealized
Appreciation
(Depreciation)
Other
Temporary
Differences
*
Total
Accumulated
Earnings
(Deficit)
Principal
LifeTime
2060
Account
130
325
—
(451)
—
4
Principal
LifeTime
Strategic
Income
Account
610
984
—
(315)
—
1,279
Real
Estate
Securities
Account
3,463
^
9,689
—
15,761
—
28,913
SAM
Balanced
Portfolio
17,360
24,097
—
41,777
—
83,234
SAM
Conservative
Balanced
Portfolio
5,314
3,637
—
3,247
—
12,198
SAM
Conservative
Growth
Portfolio
5,905
15,505
—
9,048
—
30,458
SAM
Flexible
Income
Portfolio
6,505
5,218
—
732
—
12,455
SAM
Strategic
Growth
Portfolio
4,270
15,096
—
(6,605)
—
12,761
Short-Term
Income
Account
3,393
—
(989)
(1,224)
(7)
1,173
SmallCap
Account
6,339
23,412
—
(6,178)
—
23,573
Short-Term
Long-Term
Total
Bond
Market
Index
Account
$
7,790
$
22,695
$
30,485
Core
Plus
Bond
Account
2,741
4,064
6,805
Government
&
High
Quality
Bond
Account
502
8,360
8,862
Short-Term
Income
Account
305
684
989
Utilized
International
Emerging
Markets
Account
549
LargeCap
S&P
500
Managed
Volatility
Index
Account
6,131
Total
Distributable
Earnings
(Accumulated
Loss)
Capital
Shares
and
Additional
Paid-in-Capital
Equity
Income
Account
$
(6,455)
$
6,455
LargeCap
Growth
Account
I
(5,038)
5,038
LargeCap
S&P
500
Index
Account
(21,981)
21,981
MidCap
Account
(10,946)
10,946
Principal
Capital
Appreciation
Account
(2,184)
2,184
Real
Estate
Securities
Account
59
(59)
8.
Federal
Tax
Information
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
64
Federal
Income
Tax
Basis.
At
June
30,
2019,
the
net
federal
income
tax
unrealized
appreciation
(depreciation)
and
federal
tax
cost
of
investments
held
by
the
Accounts
were
as
follows
(amounts
in
thousands):
9.
Subsequent
Events
Management
has
evaluated
events
and
transactions
that
have
occurred
through
the
date
the
financial
statements
were
issued
that
would
merit
recognition
or
disclosure
in
the
financial
statements. 
There
were
no
items
requiring
adjustment
of
the
financial
statements
or
additional
disclosure.
Unrealized
Appreciation
Unrealized
(Depreciation)
Net
Unrealized
Appreciation/
(Depreciation)
Cost
for
Federal
Income
Tax
Purposes
Bond
Market
Index
Account
$
73,040
$
(9,262)
$
63,778
$
2,400,571
Core
Plus
Bond
Account
9,227
(3,960)
5,267
335,372
Diversified
Balanced
Account
260,811
(1,119)
259,692
787,861
Diversified
Balanced
Managed
Volatility
Account
21,688
(221)
21,467
152,850
Diversified
Balanced
Volatility
Control
Account
4,596
(1,053)
3,543
91,075
Diversified
Growth
Account
969,516
(9,742)
959,774
2,807,301
Diversified
Growth
Managed
Volatility
Account
51,324
(704)
50,620
301,926
Diversified
Growth
Volatility
Control
Account
27,526
(3,554)
23,972
524,605
Diversified
Income
Account
36,556
(348)
36,208
227,003
Diversified
International
Account
42,681
(8,232)
34,449
224,664
Equity
Income
Account
286,970
(15,465)
271,505
458,749
Government
&
High
Quality
Bond
Account
4,481
(4,367)
114
224,001
International
Emerging
Markets
Account
10,993
(2,447)
8,546
82,326
LargeCap
Growth
Account
I
146,419
(6,189)
140,230
335,315
LargeCap
S&P
500
Index
Account
1,094,494
(100,381)
994,113
1,587,957
LargeCap
S&P
500
Managed
Volatility
Index
Account
67,565
(9,579)
57,986
161,365
MidCap
Account
218,991
(6,194)
212,797
383,128
Principal
Capital
Appreciation
Account
60,132
(1,789)
58,343
94,776
Principal
LifeTime
2010
Account
3,049
(704)
2,345
29,998
Principal
LifeTime
2020
Account
23,034
(5,577)
17,457
174,826
Principal
LifeTime
2030
Account
19,027
(3,978)
15,049
152,056
Principal
LifeTime
2040
Account
8,986
(1,816)
7,170
68,840
Principal
LifeTime
2050
Account
4,870
(900)
3,970
32,020
Principal
LifeTime
2060
Account
630
(180)
450
6,315
Principal
LifeTime
Strategic
Income
Account
1,751
(425)
1,326
22,183
Real
Estate
Securities
Account
38,513
(1,800)
36,713
117,898
SAM
Balanced
Portfolio
113,729
(2,610)
111,119
591,221
SAM
Conservative
Balanced
Portfolio
19,895
(2,311)
17,584
170,208
SAM
Conservative
Growth
Portfolio
54,700
(1,556)
53,144
284,777
SAM
Flexible
Income
Portfolio
13,600
(2,647)
10,953
175,662
SAM
Strategic
Growth
Portfolio
37,057
(1,430)
35,627
256,697
Short-Term
Income
Account
1,843
(429)
1,414
130,217
SmallCap
Account
38,150
(17,072)
21,078
168,972
8.
Federal
Tax
Information
(continued)
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
65
INVESTMENT
COMPANIES
-
5.37%
Shares
Held
Value
(000's)
Money
Market
Funds
-
5.37%
First
American
Government
Obligations
Fund
2.28%
(a)
428,193‌
$
428‌
Principal
Government
Money
Market
Fund
2.23%
(a),(b)
132,771,206‌
132,771‌
$
133,199‌
TOTAL
INVESTMENT
COMPANIES
$
133,199‌
BONDS
-
32.09%
Principal
Amount
(000's)
Value
(000's)
Advertising
-
0.03%
Interpublic
Group
of
Cos
Inc
/The
3.50%,
10/01/2020
$
30‌
$
30‌
3.75%,
10/01/2021
300‌
308‌
5.40%,
10/01/2048
300‌
334‌
Omnicom
Group
Inc
/
Omnicom
Capital
Inc
4.45%,
08/15/2020
128‌
131‌
$
803‌
Aerospace
&
Defense
-
0.57%
Boeing
Co/The
1.88%,
06/15/2023
500‌
491‌
2.25%,
06/15/2026
500‌
487‌
2.80%,
03/01/2024
600‌
610‌
3.50%,
03/01/2039
600‌
599‌
3.83%,
03/01/2059
300‌
300‌
3.90%,
05/01/2049
90‌
94‌
5.88%,
02/15/2040
154‌
202‌
Embraer
Netherlands
Finance
BV
5.05%,
06/15/2025
300‌
324‌
General
Dynamics
Corp
2.13%,
08/15/2026
350‌
343‌
2.25%,
11/15/2022
15‌
15‌
3.38%,
05/15/2023
300‌
313‌
3.50%,
05/15/2025
300‌
320‌
3.75%,
05/15/2028
300‌
328‌
L3
Technologies
Inc
4.95%,
02/15/2021
277‌
286‌
L3Harris
Technologies
Inc
3.83%,
04/27/2025
500‌
526‌
Lockheed
Martin
Corp
2.50%,
11/23/2020
255‌
256‌
3.35%,
09/15/2021
102‌
105‌
3.55%,
01/15/2026
240‌
255‌
3.60%,
03/01/2035
350‌
365‌
3.80%,
03/01/2045
25‌
27‌
4.07%,
12/15/2042
47‌
52‌
4.09%,
09/15/2052
389‌
433‌
4.70%,
05/15/2046
25‌
31‌
Northrop
Grumman
Corp
2.55%,
10/15/2022
380‌
381‌
3.20%,
02/01/2027
500‌
513‌
3.50%,
03/15/2021
277‌
282‌
3.85%,
04/15/2045
500‌
515‌
4.03%,
10/15/2047
25‌
27‌
Raytheon
Co
2.50%,
12/15/2022
20‌
20‌
3.13%,
10/15/2020
77‌
78‌
4.88%,
10/15/2040
154‌
185‌
Rockwell
Collins
Inc
3.50%,
03/15/2027
325‌
338‌
4.35%,
04/15/2047
40‌
44‌
4.80%,
12/15/2043
460‌
523‌
Spirit
AeroSystems
Inc
3.95%,
06/15/2023
250‌
258‌
4.60%,
06/15/2028
300‌
315‌
United
Technologies
Corp
1.95%,
11/01/2021
80‌
79‌
2.30%,
05/04/2022
600‌
599‌
3.10%,
06/01/2022
530‌
542‌
3.13%,
05/04/2027
15‌
15‌
3.65%,
08/16/2023
450‌
471‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Aerospace
&
Defense
(continued)
United
Technologies
Corp  
(continued)
3.75%,
11/01/2046
$
30‌
$
31‌
4.05%,
05/04/2047
300‌
320‌
4.13%,
11/16/2028
435‌
478‌
4.15%,
05/15/2045
40‌
43‌
4.50%,
06/01/2042
600‌
679‌
4.63%,
11/16/2048
210‌
245‌
5.70%,
04/15/2040
51‌
65‌
6.13%,
07/15/2038
18‌
24‌
6.70%,
08/01/2028
175‌
225‌
$
14,057‌
Agriculture
-
0.29%
Altria
Group
Inc
2.85%,
08/09/2022
40‌
40‌
3.88%,
09/16/2046
60‌
53‌
4.00%,
01/31/2024
350‌
367‌
4.25%,
08/09/2042
25‌
23‌
4.75%,
05/05/2021
163‌
170‌
4.80%,
02/14/2029
785‌
845‌
5.80%,
02/14/2039
630‌
708‌
6.20%,
02/14/2059
310‌
353‌
Archer-Daniels-Midland
Co
2.50%,
08/11/2026
850‌
851‌
4.48%,
03/01/2021
29‌
30‌
BAT
Capital
Corp
2.76%,
08/15/2022
580‌
581‌
3.56%,
08/15/2027
550‌
547‌
4.54%,
08/15/2047
325‌
302‌
Philip
Morris
International
Inc
1.88%,
02/25/2021
70‌
70‌
2.38%,
08/17/2022
30‌
30‌
2.75%,
02/25/2026
310‌
312‌
2.90%,
11/15/2021
81‌
82‌
3.25%,
11/10/2024
30‌
31‌
4.25%,
11/10/2044
30‌
31‌
4.38%,
11/15/2041
61‌
64‌
4.50%,
03/20/2042
400‌
431‌
4.88%,
11/15/2043
35‌
40‌
Reynolds
American
Inc
4.00%,
06/12/2022
30‌
31‌
4.45%,
06/12/2025
250‌
265‌
4.85%,
09/15/2023
350‌
376‌
5.70%,
08/15/2035
25‌
27‌
5.85%,
08/15/2045
415‌
447‌
$
7,107‌
Airlines
-
0.05%
American
Airlines
2014-1
Class
A
Pass
Through
Trust
3.70%,
04/01/2028
301‌
311‌
Continental
Airlines
2012-2
Class
A
Pass
Through
Trust
4.00%,
04/29/2026
145‌
151‌
Delta
Air
Lines
2007-1
Class
A
Pass
Through
Trust
6.82%,
02/10/2024
55‌
60‌
Southwest
Airlines
Co
2.65%,
11/05/2020
500‌
502‌
United
Airlines
2014-2
Class
A
Pass
Through
Trust
3.75%,
03/03/2028
160‌
166‌
US
Airways
2013-1
Class
A
Pass
Through
Trust
3.95%,
05/15/2027
137‌
145‌
$
1,335‌
Apparel
-
0.04%
NIKE
Inc
2.25%,
05/01/2023
200‌
201‌
3.38%,
11/01/2046
350‌
346‌
3.63%,
05/01/2043
200‌
205‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
66
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Apparel
(continued)
Ralph
Lauren
Corp
3.75%,
09/15/2025
$
300‌
$
318‌
$
1,070‌
Automobile
Asset
Backed
Securities
-
0.23%
BMW
Vehicle
Owner
Trust
2018-A
2.51%,
06/25/2024
1,500‌
1,511‌
Nissan
Auto
Receivables
2017-B
Owner
Trust
1.75%,
10/15/2021
1,000‌
997‌
Toyota
Auto
Receivables
2018-A
Owner
Trust
2.35%,
05/16/2022
1,000‌
1,002‌
World
Omni
Auto
Receivables
Trust
2018-A
2.50%,
04/17/2023
600‌
603‌
World
Omni
Automobile
Lease
Securitization
Trust
2019-A
2.94%,
05/16/2022
1,500‌
1,523‌
$
5,636‌
Automobile
Manufacturers
-
0.52%
American
Honda
Finance
Corp
1.70%,
09/09/2021
30‌
30‌
2.45%,
09/24/2020
1,025‌
1,027‌
3.55%,
01/12/2024
50‌
53‌
Daimler
Finance
North
America
LLC
8.50%,
01/18/2031
127‌
189‌
Ford
Motor
Co
5.29%,
12/08/2046
380‌
354‌
7.45%,
07/16/2031
125‌
148‌
Ford
Motor
Credit
Co
LLC
3.34%,
03/18/2021
1,000‌
1,005‌
4.13%,
08/04/2025
200‌
200‌
4.25%,
09/20/2022
200‌
205‌
4.39%,
01/08/2026
200‌
201‌
4.69%,
06/09/2025
200‌
205‌
5.11%,
05/03/2029
500‌
511‌
5.60%,
01/07/2022
400‌
423‌
5.88%,
08/02/2021
400‌
422‌
General
Motors
Co
4.88%,
10/02/2023
25‌
27‌
5.00%,
10/01/2028
400‌
420‌
5.40%,
04/01/2048
360‌
352‌
6.75%,
04/01/2046
25‌
28‌
General
Motors
Financial
Co
Inc
3.15%,
06/30/2022
30‌
30‌
3.20%,
07/13/2020
25‌
25‌
3.20%,
07/06/2021
330‌
333‌
3.25%,
01/05/2023
400‌
401‌
3.45%,
01/14/2022
30‌
30‌
3.45%,
04/10/2022
325‌
330‌
3.50%,
11/07/2024
300‌
299‌
3.55%,
07/08/2022
500‌
509‌
3.70%,
05/09/2023
325‌
330‌
3.95%,
04/13/2024
5‌
5‌
4.30%,
07/13/2025
325‌
335‌
4.35%,
01/17/2027
30‌
31‌
4.38%,
09/25/2021
330‌
341‌
5.10%,
01/17/2024
500‌
535‌
5.25%,
03/01/2026
1,020‌
1,094‌
PACCAR
Financial
Corp
3.10%,
05/10/2021
300‌
305‌
3.15%,
08/09/2021
200‌
204‌
Toyota
Motor
Corp
3.67%,
07/20/2028
200‌
217‌
Toyota
Motor
Credit
Corp
2.25%,
10/18/2023
350‌
349‌
2.60%,
01/11/2022
30‌
30‌
2.63%,
01/10/2023
100‌
101‌
3.30%,
01/12/2022
77‌
79‌
3.35%,
01/08/2024
400‌
418‌
3.45%,
09/20/2023
400‌
419‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Automobile
Manufacturers
(continued)
Toyota
Motor
Credit
Corp  
(continued)
3.65%,
01/08/2029
$
400‌
$
432‌
$
12,982‌
Automobile
Parts
&
Equipment
-
0.02%
BorgWarner
Inc
3.38%,
03/15/2025
500‌
515‌
Banks
-
5.97%
Australia
&
New
Zealand
Banking
Group
Ltd
2.13%,
08/19/2020
250‌
250‌
Australia
&
New
Zealand
Banking
Group
Ltd/
New
York
NY
2.30%,
06/01/2021
310‌
310‌
2.63%,
05/19/2022
250‌
252‌
Banco
Santander
SA
3.13%,
02/23/2023
600‌
609‌
Bank
of
America
Corp
2.37%,
07/21/2021
(c)
500‌
499‌
3
Month
USD
LIBOR
+
0.66%
2.63%,
04/19/2021
750‌
755‌
2.82%,
07/21/2023
(c)
500‌
505‌
3
Month
USD
LIBOR
+
0.93%
3.00%,
12/20/2023
(c)
1,389‌
1,414‌
3
Month
USD
LIBOR
+
0.79%
3.12%,
01/20/2023
(c)
500‌
507‌
3
Month
USD
LIBOR
+
1.16%
3.25%,
10/21/2027
40‌
41‌
3.30%,
01/11/2023
330‌
340‌
3.37%,
01/23/2026
(c)
500‌
516‌
3
Month
USD
LIBOR
+
0.81%
3.42%,
12/20/2028
(c)
1,041‌
1,071‌
3
Month
USD
LIBOR
+
1.04%
3.50%,
05/17/2022
(c)
300‌
306‌
3
Month
USD
LIBOR
+
0.63%
3.50%,
04/19/2026
795‌
833‌
3.59%,
07/21/2028
(c)
500‌
521‌
3
Month
USD
LIBOR
+
1.37%
3.71%,
04/24/2028
(c)
1,000‌
1,051‌
3
Month
USD
LIBOR
+
1.51%
3.82%,
01/20/2028
(c)
400‌
423‌
3
Month
USD
LIBOR
+
1.58%
3.86%,
07/23/2024
(c)
300‌
315‌
3
Month
USD
LIBOR
+
0.94%
3.88%,
08/01/2025
30‌
32‌
3.95%,
04/21/2025
830‌
870‌
3.97%,
02/07/2030
(c)
1,000‌
1,072‌
3
Month
USD
LIBOR
+
1.21%
4.13%,
01/22/2024
500‌
535‌
4.18%,
11/25/2027
60‌
64‌
4.20%,
08/26/2024
25‌
27‌
4.27%,
07/23/2029
(c)
360‌
393‌
3
Month
USD
LIBOR
+
1.31%
4.33%,
03/15/2050
(c)
310‌
346‌
3
Month
USD
LIBOR
+
1.52%
4.44%,
01/20/2048
(c)
30‌
34‌
3
Month
USD
LIBOR
+
1.99%
5.00%,
01/21/2044
25‌
30‌
5.63%,
07/01/2020
380‌
392‌
5.70%,
01/24/2022
580‌
629‌
5.88%,
02/07/2042
228‌
303‌
7.75%,
05/14/2038
850‌
1,255‌
Bank
of
America
NA
6.00%,
10/15/2036
250‌
330‌
Bank
of
Montreal
1.90%,
08/27/2021
15‌
15‌
2.55%,
11/06/2022
15‌
15‌
3.10%,
04/13/2021
1,000‌
1,015‌
3.30%,
02/05/2024
400‌
415‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
67
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Banks
(continued)
Bank
of
Nova
Scotia/The
2.35%,
10/21/2020
$
500‌
$
500‌
2.45%,
09/19/2022
30‌
30‌
2.70%,
03/07/2022
15‌
15‌
3.13%,
04/20/2021
1,000‌
1,015‌
3.40%,
02/11/2024
400‌
416‌
4.50%,
12/16/2025
500‌
538‌
Barclays
Bank
PLC
2.65%,
01/11/2021
350‌
351‌
5.14%,
10/14/2020
1,000‌
1,028‌
Barclays
PLC
3.20%,
08/10/2021
200‌
201‌
3.25%,
01/12/2021
200‌
201‌
3.68%,
01/10/2023
200‌
203‌
4.34%,
01/10/2028
1,030‌
1,055‌
4.38%,
01/12/2026
200‌
207‌
4.97%,
05/16/2029
(c)
210‌
224‌
3
Month
USD
LIBOR
+
1.90%
BB&T
Corp
2.15%,
02/01/2021
400‌
399‌
BNP
Paribas
SA
4.25%,
10/15/2024
750‌
788‌
5.00%,
01/15/2021
77‌
80‌
BPCE
SA
4.00%,
04/15/2024
250‌
266‌
Branch
Banking
&
Trust
Co
2.85%,
04/01/2021
1,000‌
1,009‌
3.63%,
09/16/2025
250‌
263‌
3.80%,
10/30/2026
250‌
265‌
Canadian
Imperial
Bank
of
Commerce
3.50%,
09/13/2023
500‌
523‌
Citibank
NA
2.13%,
10/20/2020
400‌
399‌
3.17%,
02/19/2022
(c)
400‌
405‌
3
Month
USD
LIBOR
+
0.53%
3.65%,
01/23/2024
500‌
526‌
Citigroup
Inc
2.35%,
08/02/2021
25‌
25‌
2.70%,
03/30/2021
30‌
30‌
2.70%,
10/27/2022
900‌
908‌
2.75%,
04/25/2022
15‌
15‌
2.88%,
07/24/2023
(c)
200‌
203‌
3
Month
USD
LIBOR
+
0.95%
2.90%,
12/08/2021
1,000‌
1,010‌
3.20%,
10/21/2026
770‌
785‌
3.50%,
05/15/2023
600‌
619‌
3.67%,
07/24/2028
(c)
1,200‌
1,252‌
3
Month
USD
LIBOR
+
1.39%
3.75%,
06/16/2024
500‌
527‌
3.88%,
10/25/2023
30‌
32‌
3.89%,
01/10/2028
(c)
400‌
423‌
3
Month
USD
LIBOR
+
1.56%
4.05%,
07/30/2022
200‌
209‌
4.07%,
04/23/2029
(c)
240‌
258‌
3
Month
USD
LIBOR
+
1.19%
4.28%,
04/24/2048
(c)
330‌
369‌
3
Month
USD
LIBOR
+
1.84%
4.30%,
11/20/2026
525‌
558‌
4.40%,
06/10/2025
780‌
832‌
4.45%,
09/29/2027
20‌
22‌
4.50%,
01/14/2022
454‌
477‌
4.60%,
03/09/2026
60‌
65‌
4.65%,
07/30/2045
222‌
256‌
5.30%,
05/06/2044
25‌
30‌
5.50%,
09/13/2025
325‌
368‌
5.88%,
01/30/2042
328‌
433‌
6.63%,
06/15/2032
112‌
145‌
6.68%,
09/13/2043
30‌
42‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Banks
(continued)
Citigroup
Inc  
(continued)
8.13%,
07/15/2039
$
132‌
$
211‌
Citizens
Bank
NA/Providence
RI
2.55%,
05/13/2021
250‌
251‌
Cooperatieve
Rabobank
UA
3.88%,
02/08/2022
328‌
341‌
3.95%,
11/09/2022
300‌
311‌
4.50%,
01/11/2021
51‌
53‌
5.25%,
05/24/2041
500‌
641‌
5.25%,
08/04/2045
250‌
302‌
5.75%,
12/01/2043
250‌
318‌
Cooperatieve
Rabobank
UA/NY
2.50%,
01/19/2021
500‌
502‌
Credit
Suisse
AG/New
York
NY
3.00%,
10/29/2021
250‌
254‌
3.63%,
09/09/2024
400‌
421‌
Credit
Suisse
Group
Funding
Guernsey
Ltd
3.13%,
12/10/2020
300‌
302‌
3.75%,
03/26/2025
750‌
783‌
4.88%,
05/15/2045
500‌
584‌
Deutsche
Bank
AG/New
York
NY
3.38%,
05/12/2021
500‌
497‌
4.10%,
01/13/2026
500‌
494‌
4.25%,
10/14/2021
400‌
406‌
5.00%,
02/14/2022
400‌
412‌
Discover
Bank
3.20%,
08/09/2021
250‌
254‌
4.20%,
08/08/2023
250‌
265‌
4.25%,
03/13/2026
500‌
530‌
Fifth
Third
Bancorp
2.88%,
07/27/2020
60‌
60‌
4.30%,
01/16/2024
30‌
32‌
Fifth
Third
Bank/Cincinnati
OH
2.25%,
06/14/2021
700‌
700‌
2.88%,
10/01/2021
200‌
202‌
3.85%,
03/15/2026
700‌
739‌
Goldman
Sachs
Group
Inc
/The
2.35%,
11/15/2021
780‌
779‌
2.75%,
09/15/2020
500‌
502‌
2.88%,
02/25/2021
90‌
91‌
3.00%,
04/26/2022
25‌
25‌
3.50%,
01/23/2025
1,500‌
1,552‌
3.50%,
11/16/2026
2,000‌
2,049‌
3.63%,
02/20/2024
1,000‌
1,043‌
3.69%,
06/05/2028
(c)
1,000‌
1,033‌
3
Month
USD
LIBOR
+
1.51%
3.75%,
05/22/2025
30‌
31‌
3.85%,
07/08/2024
20‌
21‌
3.85%,
01/26/2027
60‌
63‌
4.02%,
10/31/2038
(c)
750‌
775‌
3
Month
USD
LIBOR
+
1.37%
4.22%,
05/01/2029
(c)
415‌
445‌
3
Month
USD
LIBOR
+
1.30%
4.25%,
10/21/2025
1,280‌
1,357‌
4.41%,
04/23/2039
(c)
180‌
195‌
3
Month
USD
LIBOR
+
1.43%
4.80%,
07/08/2044
25‌
29‌
5.15%,
05/22/2045
310‌
355‌
5.25%,
07/27/2021
502‌
531‌
5.75%,
01/24/2022
228‌
246‌
6.75%,
10/01/2037
30‌
39‌
HSBC
Holdings
PLC
2.65%,
01/05/2022
200‌
201‌
2.95%,
05/25/2021
700‌
706‌
3.60%,
05/25/2023
500‌
520‌
3.90%,
05/25/2026
395‌
413‌
3.95%,
05/18/2024
(c)
400‌
418‌
3
Month
USD
LIBOR
+
0.99%
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
68
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Banks
(continued)
HSBC
Holdings
PLC  
(continued)
3.97%,
05/22/2030
(c)
$
400‌
$
418‌
3
Month
USD
LIBOR
+
1.61%
4.00%,
03/30/2022
148‌
154‌
4.04%,
03/13/2028
(c)
500‌
525‌
3
Month
USD
LIBOR
+
1.55%
4.25%,
03/14/2024
500‌
528‌
4.29%,
09/12/2026
(c)
500‌
532‌
3
Month
USD
LIBOR
+
1.35%
4.30%,
03/08/2026
945‌
1,015‌
4.58%,
06/19/2029
(c)
365‌
399‌
3
Month
USD
LIBOR
+
1.53%
5.10%,
04/05/2021
728‌
761‌
5.25%,
03/14/2044
500‌
585‌
6.10%,
01/14/2042
174‌
237‌
6.50%,
05/02/2036
420‌
544‌
HSBC
USA
Inc
2.75%,
08/07/2020
500‌
503‌
Huntington
Bancshares
Inc
/OH
2.30%,
01/14/2022
500‌
500‌
Huntington
National
Bank/The
3.25%,
05/14/2021
400‌
407‌
3.55%,
10/06/2023
400‌
419‌
Industrial
&
Commercial
Bank
of
China
Ltd/New
York
NY
2.45%,
10/20/2021
500‌
498‌
ING
Groep
NV
3.55%,
04/09/2024
400‌
414‌
JPMorgan
Chase
&
Co
2.30%,
08/15/2021
880‌
879‌
2.55%,
10/29/2020
1,000‌
1,002‌
2.75%,
06/23/2020
1,000‌
1,004‌
2.78%,
04/25/2023
(c)
250‌
252‌
3
Month
USD
LIBOR
+
0.94%
2.97%,
01/15/2023
1,040‌
1,055‌
3.13%,
01/23/2025
1,000‌
1,028‌
3.20%,
01/25/2023
1,025‌
1,052‌
3.20%,
06/15/2026
25‌
26‌
3.25%,
09/23/2022
320‌
329‌
3.30%,
04/01/2026
500‌
517‌
3.38%,
05/01/2023
400‌
411‌
3.51%,
01/23/2029
(c)
400‌
416‌
3
Month
USD
LIBOR
+
0.95%
3.63%,
12/01/2027
25‌
26‌
3.80%,
07/23/2024
(c)
270‌
283‌
3
Month
USD
LIBOR
+
0.89%
3.88%,
02/01/2024
20‌
21‌
3.88%,
09/10/2024
500‌
526‌
3.88%,
07/24/2038
(c)
500‌
524‌
3
Month
USD
LIBOR
+
1.36%
3.96%,
01/29/2027
(c)
1,000‌
1,070‌
3
Month
USD
LIBOR
+
1.25%
3.96%,
11/15/2048
(c)
400‌
424‌
3
Month
USD
LIBOR
+
1.38%
4.01%,
04/23/2029
(c)
270‌
291‌
3
Month
USD
LIBOR
+
1.12%
4.03%,
07/24/2048
(c)
30‌
32‌
3
Month
USD
LIBOR
+
1.46%
4.20%,
07/23/2029
(c)
300‌
328‌
3
Month
USD
LIBOR
+
1.26%
4.25%,
10/15/2020
70‌
72‌
4.25%,
10/01/2027
10‌
11‌
4.26%,
02/22/2048
(c)
500‌
551‌
3
Month
USD
LIBOR
+
1.58%
4.40%,
07/22/2020
212‌
217‌
4.50%,
01/24/2022
257‌
271‌
4.63%,
05/10/2021
287‌
299‌
4.85%,
02/01/2044
20‌
24‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Banks
(continued)
JPMorgan
Chase
&
Co  
(continued)
4.95%,
06/01/2045
$
55‌
$
65‌
5.40%,
01/06/2042
102‌
130‌
5.60%,
07/15/2041
154‌
200‌
5.63%,
08/16/2043
375‌
476‌
6.40%,
05/15/2038
200‌
276‌
KeyCorp
2.90%,
09/15/2020
30‌
30‌
5.10%,
03/24/2021
102‌
107‌
Kreditanstalt
fuer
Wiederaufbau
0.00%,
04/18/2036
(d)
380‌
248‌
0.00%,
06/29/2037
(d)
200‌
127‌
1.50%,
06/15/2021
1,290‌
1,282‌
1.63%,
03/15/2021
1,170‌
1,165‌
1.88%,
11/30/2020
500‌
500‌
2.00%,
05/02/2025
880‌
886‌
2.13%,
03/07/2022
500‌
504‌
2.13%,
06/15/2022
960‌
969‌
2.13%,
01/17/2023
500‌
505‌
2.38%,
12/29/2022
600‌
612‌
2.63%,
01/25/2022
1,257‌
1,283‌
2.63%,
02/28/2024
1,500‌
1,553‌
2.75%,
09/08/2020
300‌
303‌
Landwirtschaftliche
Rentenbank
1.75%,
07/27/2026
500‌
493‌
2.00%,
01/13/2025
300‌
302‌
Lloyds
Bank
PLC
3.30%,
05/07/2021
500‌
508‌
6.38%,
01/21/2021
51‌
54‌
Lloyds
Banking
Group
PLC
3.57%,
11/07/2028
(c)
630‌
631‌
3
Month
USD
LIBOR
+
1.21%
3.75%,
01/11/2027
515‌
524‌
4.05%,
08/16/2023
400‌
418‌
4.45%,
05/08/2025
400‌
426‌
4.65%,
03/24/2026
500‌
522‌
5.30%,
12/01/2045
200‌
225‌
Mitsubishi
UFJ
Financial
Group
Inc
2.53%,
09/13/2023
400‌
399‌
2.67%,
07/25/2022
30‌
30‌
2.76%,
09/13/2026
400‌
400‌
3.00%,
02/22/2022
500‌
508‌
3.29%,
07/25/2027
10‌
10‌
3.54%,
07/26/2021
300‌
307‌
3.76%,
07/26/2023
300‌
314‌
3.85%,
03/01/2026
350‌
371‌
4.05%,
09/11/2028
500‌
548‌
4.29%,
07/26/2038
300‌
333‌
Mizuho
Financial
Group
Inc
2.27%,
09/13/2021
400‌
399‌
2.84%,
09/13/2026
400‌
400‌
2.95%,
02/28/2022
500‌
506‌
3.17%,
09/11/2027
200‌
205‌
3.92%,
09/11/2024
(c)
500‌
524‌
3
Month
USD
LIBOR
+
1.00%
Morgan
Stanley
2.50%,
04/21/2021
1,000‌
1,002‌
2.63%,
11/17/2021
1,030‌
1,036‌
2.75%,
05/19/2022
300‌
303‌
2.80%,
06/16/2020
1,050‌
1,055‌
3.13%,
01/23/2023
300‌
307‌
3.13%,
07/27/2026
1,330‌
1,355‌
3.59%,
07/22/2028
(c)
30‌
31‌
3
Month
USD
LIBOR
+
1.34%
3.63%,
01/20/2027
30‌
32‌
3.70%,
10/23/2024
25‌
26‌
3.75%,
02/25/2023
1,230‌
1,285‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
69
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Banks
(continued)
Morgan
Stanley  
(continued)
3.77%,
01/24/2029
(c)
$
360‌
$
378‌
3
Month
USD
LIBOR
+
1.14%
3.88%,
04/29/2024
30‌
32‌
3.95%,
04/23/2027
50‌
52‌
3.97%,
07/22/2038
(c)
15‌
16‌
3
Month
USD
LIBOR
+
1.46%
4.00%,
07/23/2025
30‌
32‌
4.10%,
05/22/2023
380‌
400‌
4.30%,
01/27/2045
50‌
55‌
4.35%,
09/08/2026
30‌
32‌
4.38%,
01/22/2047
30‌
33‌
4.43%,
01/23/2030
(c)
1,000‌
1,106‌
3
Month
USD
LIBOR
+
1.63%
4.88%,
11/01/2022
30‌
32‌
5.00%,
11/24/2025
525‌
581‌
5.75%,
01/25/2021
1,050‌
1,103‌
6.38%,
07/24/2042
620‌
865‌
National
Australia
Bank
Ltd/New
York
1.88%,
07/12/2021
500‌
496‌
2.50%,
05/22/2022
570‌
573‌
Northern
Trust
Corp
3.95%,
10/30/2025
500‌
540‌
Oesterreichische
Kontrollbank
AG
1.50%,
10/21/2020
160‌
159‌
1.88%,
01/20/2021
1,000‌
999‌
PNC
Bank
NA
2.45%,
07/28/2022
500‌
505‌
2.63%,
02/17/2022
1,000‌
1,009‌
3.80%,
07/25/2023
400‌
420‌
PNC
Financial
Services
Group
Inc
/The
3.15%,
05/19/2027
10‌
10‌
3.45%,
04/23/2029
300‌
316‌
4.38%,
08/11/2020
51‌
52‌
Regions
Financial
Corp
3.80%,
08/14/2023
1,000‌
1,046‌
Royal
Bank
of
Canada
2.35%,
10/30/2020
500‌
501‌
Royal
Bank
of
Scotland
Group
PLC
3.88%,
09/12/2023
200‌
205‌
4.80%,
04/05/2026
500‌
535‌
4.89%,
05/18/2029
(c)
400‌
427‌
3
Month
USD
LIBOR
+
1.75%
5.08%,
01/27/2030
(c)
1,000‌
1,085‌
3
Month
USD
LIBOR
+
1.91%
6.13%,
12/15/2022
500‌
539‌
Santander
Holdings
USA
Inc
4.40%,
07/13/2027
20‌
21‌
4.50%,
07/17/2025
780‌
830‌
Santander
UK
Group
Holdings
PLC
2.88%,
10/16/2020
1,000‌
1,002‌
3.57%,
01/10/2023
520‌
529‌
Skandinaviska
Enskilda
Banken
AB
1.88%,
09/13/2021
500‌
494‌
2.63%,
03/15/2021
250‌
251‌
State
Street
Corp
1.95%,
05/19/2021
35‌
35‌
2.55%,
08/18/2020
180‌
181‌
2.65%,
05/19/2026
60‌
60‌
3.10%,
05/15/2023
325‌
334‌
3.55%,
08/18/2025
225‌
237‌
3.70%,
11/20/2023
10‌
11‌
Sumitomo
Mitsui
Banking
Corp
3.20%,
07/18/2022
100‌
102‌
3.65%,
07/23/2025
500‌
530‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Banks
(continued)
Sumitomo
Mitsui
Financial
Group
Inc
2.93%,
03/09/2021
$
500‌
$
505‌
3.10%,
01/17/2023
500‌
509‌
3.36%,
07/12/2027
750‌
778‌
3.45%,
01/11/2027
140‌
146‌
3.78%,
03/09/2026
500‌
532‌
SunTrust
Bank/Atlanta
GA
2.75%,
05/01/2023
200‌
202‌
SunTrust
Banks
Inc
2.70%,
01/27/2022
30‌
30‌
2.90%,
03/03/2021
65‌
66‌
Svenska
Handelsbanken
AB
3.35%,
05/24/2021
400‌
407‌
Synchrony
Bank
3.65%,
05/24/2021
300‌
305‌
Toronto-Dominion
Bank/The
1.80%,
07/13/2021
520‌
516‌
2.50%,
12/14/2020
1,015‌
1,021‌
3.15%,
09/17/2020
500‌
506‌
US
Bancorp
2.35%,
01/29/2021
20‌
20‌
2.63%,
01/24/2022
55‌
56‌
2.95%,
07/15/2022
230‌
235‌
3.00%,
03/15/2022
158‌
162‌
3.10%,
04/27/2026
780‌
797‌
3.15%,
04/27/2027
25‌
26‌
3.60%,
09/11/2024
15‌
16‌
4.13%,
05/24/2021
112‌
116‌
Wells
Fargo
&
Co
2.10%,
07/26/2021
15‌
15‌
2.50%,
03/04/2021
1,020‌
1,022‌
2.55%,
12/07/2020
20‌
20‌
2.60%,
07/22/2020
10‌
10‌
3.00%,
04/22/2026
500‌
505‌
3.00%,
10/23/2026
530‌
535‌
3.07%,
01/24/2023
35‌
36‌
3.45%,
02/13/2023
215‌
221‌
3.50%,
03/08/2022
180‌
185‌
3.58%,
05/22/2028
(c)
500‌
522‌
3
Month
USD
LIBOR
+
1.31%
3.75%,
01/24/2024
2,000‌
2,103‌
4.40%,
06/14/2046
385‌
416‌
4.60%,
04/01/2021
102‌
106‌
4.65%,
11/04/2044
30‌
33‌
4.90%,
11/17/2045
520‌
604‌
5.38%,
02/07/2035
500‌
617‌
5.38%,
11/02/2043
20‌
24‌
5.61%,
01/15/2044
45‌
56‌
Wells
Fargo
Bank
NA
5.95%,
08/26/2036
750‌
957‌
6.60%,
01/15/2038
250‌
348‌
Wells
Fargo
Capital
X
5.95%,
12/01/2086
200‌
236‌
Westpac
Banking
Corp
2.00%,
08/19/2021
500‌
497‌
2.60%,
11/23/2020
500‌
502‌
2.65%,
01/25/2021
1,000‌
1,005‌
2.80%,
01/11/2022
500‌
506‌
3.35%,
03/08/2027
30‌
31‌
3.65%,
05/15/2023
400‌
419‌
$
147,997‌
Beverages
-
0.69%
Anheuser-Busch
Cos
LLC
/
Anheuser-Busch
InBev
Worldwide
Inc
3.65%,
02/01/2026
2,825‌
2,970‌
4.70%,
02/01/2036
1,030‌
1,130‌
4.90%,
02/01/2046
790‌
880‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
70
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Beverages
(continued)
Anheuser-Busch
InBev
Finance
Inc
4.63%,
02/01/2044
$
25‌
$
27‌
Anheuser-Busch
InBev
Worldwide
Inc
2.50%,
07/15/2022
340‌
343‌
3.75%,
07/15/2042
100‌
95‌
4.75%,
01/23/2029
560‌
636‌
4.90%,
01/23/2031
750‌
865‌
5.45%,
01/23/2039
500‌
595‌
5.55%,
01/23/2049
500‌
613‌
5.80%,
01/23/2059
595‌
746‌
8.20%,
01/15/2039
51‌
77‌
Coca-Cola
Co/The
2.50%,
04/01/2023
10‌
10‌
2.88%,
10/27/2025
520‌
538‌
3.15%,
11/15/2020
528‌
536‌
3.20%,
11/01/2023
60‌
63‌
3.30%,
09/01/2021
30‌
31‌
Constellation
Brands
Inc
3.60%,
02/15/2028
500‌
516‌
3.75%,
05/01/2021
500‌
511‌
Diageo
Capital
PLC
2.63%,
04/29/2023
10‌
10‌
4.83%,
07/15/2020
51‌
52‌
5.88%,
09/30/2036
139‌
184‌
Diageo
Investment
Corp
2.88%,
05/11/2022
200‌
204‌
Keurig
Dr
Pepper
Inc
3.13%,
12/15/2023
500‌
507‌
3.55%,
05/25/2021
500‌
511‌
4.06%,
05/25/2023
425‌
446‌
4.42%,
12/15/2046
500‌
495‌
Molson
Coors
Brewing
Co
3.00%,
07/15/2026
530‌
524‌
5.00%,
05/01/2042
50‌
53‌
PepsiCo
Inc
1.70%,
10/06/2021
30‌
30‌
2.15%,
10/14/2020
500‌
500‌
2.38%,
10/06/2026
20‌
20‌
2.75%,
03/05/2022
593‌
604‌
2.85%,
02/24/2026
500‌
514‌
3.10%,
07/17/2022
15‌
15‌
3.13%,
11/01/2020
128‌
130‌
3.45%,
10/06/2046
545‌
560‌
4.25%,
10/22/2044
500‌
573‌
4.45%,
04/14/2046
20‌
24‌
$
17,138‌
Biotechnology
-
0.38%
Amgen
Inc
1.85%,
08/19/2021
65‌
64‌
2.60%,
08/19/2026
500‌
492‌
2.65%,
05/11/2022
40‌
40‌
3.88%,
11/15/2021
25‌
26‌
4.10%,
06/15/2021
501‌
516‌
4.40%,
05/01/2045
40‌
42‌
4.56%,
06/15/2048
485‌
526‌
4.66%,
06/15/2051
810‌
885‌
Baxalta
Inc
4.00%,
06/23/2025
50‌
53‌
5.25%,
06/23/2045
130‌
156‌
Biogen
Inc
5.20%,
09/15/2045
540‌
606‌
Celgene
Corp
2.88%,
08/15/2020
500‌
503‌
3.25%,
08/15/2022
25‌
26‌
3.25%,
02/20/2023
400‌
410‌
3.55%,
08/15/2022
20‌
21‌
3.88%,
08/15/2025
470‌
504‌
3.90%,
02/20/2028
185‌
198‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Biotechnology
(continued)
Celgene
Corp  
(continued)
3.95%,
10/15/2020
$
400‌
$
408‌
4.35%,
11/15/2047
150‌
165‌
4.55%,
02/20/2048
185‌
212‌
4.63%,
05/15/2044
355‌
405‌
5.00%,
08/15/2045
30‌
36‌
Gilead
Sciences
Inc
2.50%,
09/01/2023
10‌
10‌
2.55%,
09/01/2020
600‌
602‌
2.95%,
03/01/2027
530‌
537‌
3.25%,
09/01/2022
60‌
62‌
4.00%,
09/01/2036
300‌
316‌
4.15%,
03/01/2047
70‌
73‌
4.40%,
12/01/2021
127‌
133‌
4.50%,
04/01/2021
35‌
36‌
4.60%,
09/01/2035
500‌
563‌
4.75%,
03/01/2046
195‌
222‌
4.80%,
04/01/2044
500‌
568‌
$
9,416‌
Building
Materials
-
0.04%
Masco
Corp
4.45%,
04/01/2025
300‌
320‌
Owens
Corning
4.20%,
12/15/2022
500‌
520‌
4.40%,
01/30/2048
300‌
254‌
$
1,094‌
Chemicals
-
0.34%
Albemarle
Corp
5.45%,
12/01/2044
150‌
161‌
Dow
Chemical
Co/The
3.50%,
10/01/2024
5‌
5‌
3.63%,
05/15/2026
(e)
300‌
311‌
4.13%,
11/15/2021
256‌
265‌
4.38%,
11/15/2042
230‌
233‌
4.80%,
05/15/2049
(e)
300‌
323‌
5.25%,
11/15/2041
30‌
33‌
7.38%,
11/01/2029
850‌
1,121‌
9.40%,
05/15/2039
51‌
81‌
DuPont
de
Nemours
Inc
5.32%,
11/15/2038
590‌
693‌
5.42%,
11/15/2048
245‌
298‌
Eastman
Chemical
Co
3.60%,
08/15/2022
49‌
50‌
4.80%,
09/01/2042
100‌
106‌
Ecolab
Inc
4.35%,
12/08/2021
112‌
118‌
5.50%,
12/08/2041
307‌
389‌
LYB
International
Finance
BV
5.25%,
07/15/2043
515‌
573‌
LYB
International
Finance
II
BV
3.50%,
03/02/2027
35‌
36‌
LyondellBasell
Industries
NV
4.63%,
02/26/2055
20‌
20‌
5.75%,
04/15/2024
130‌
146‌
Mosaic
Co/The
4.25%,
11/15/2023
496‌
526‌
4.88%,
11/15/2041
520‌
523‌
Nutrien
Ltd
3.63%,
03/15/2024
500‌
519‌
4.90%,
06/01/2043
200‌
218‌
6.13%,
01/15/2041
250‌
306‌
PPG
Industries
Inc
3.60%,
11/15/2020
251‌
255‌
Praxair
Inc
2.20%,
08/15/2022
300‌
301‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
71
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Chemicals
(continued)
Sherwin-Williams
Co/The
2.75%,
06/01/2022
$
35‌
$
35‌
3.45%,
06/01/2027
330‌
340‌
4.50%,
06/01/2047
25‌
27‌
Westlake
Chemical
Corp
3.60%,
08/15/2026
350‌
356‌
$
8,368‌
Commercial
Mortgage
Backed
Securities
-
2.06%
BANK
2018-BNK10
3.69%,
02/15/2061
1,850‌
1,987‌
CFCRE
Commercial
Mortgage
Trust
2016-C4
3.28%,
05/10/2058
1,300‌
1,344‌
Citigroup
Commercial
Mortgage
Trust
2013-GC15
4.37%,
09/10/2046
(f)
1,000‌
1,077‌
Citigroup
Commercial
Mortgage
Trust
2016-GC36
3.62%,
02/10/2049
1,000‌
1,063‌
COMM
2012-CCRE3
Mortgage
Trust
2.82%,
10/15/2045
489‌
494‌
COMM
2013-CCRE8
Mortgage
Trust
3.61%,
06/10/2046
(f)
500‌
523‌
COMM
2013-LC6
Mortgage
Trust
2.94%,
01/10/2046
500‌
510‌
COMM
2014-UBS3
Mortgage
Trust
3.82%,
06/10/2047
500‌
531‌
COMM
2015-DC1
Mortgage
Trust
3.35%,
02/10/2048
1,000‌
1,040‌
COMM
2015-LC19
Mortgage
Trust
3.18%,
02/10/2048
1,000‌
1,037‌
Commercial
Mortgage
Pass
Through
Certificates
3.76%,
02/10/2049
1,000‌
1,069‌
CSAIL
2015-C1
Commercial
Mortgage
Trust
2.97%,
04/15/2050
1,000‌
1,000‌
CSAIL
2016-C7
Commercial
Mortgage
Trust
3.31%,
11/15/2049
1,000‌
1,033‌
Fannie
Mae-Aces
2.50%,
10/25/2026
(f)
1,000‌
999‌
2.53%,
09/25/2024
1,000‌
1,013‌
2.71%,
04/25/2023
(f)
409‌
416‌
2.80%,
06/25/2025
(f)
2,000‌
2,046‌
2.88%,
02/25/2027
(f)
1,100‌
1,131‌
2.96%,
02/25/2027
(f)
1,000‌
1,034‌
3.09%,
12/25/2027
(f)
1,000‌
1,038‌
3.22%,
08/25/2024
(f)
919‌
959‌
3.50%,
07/25/2028
(f)
2,025‌
2,164‌
3.51%,
12/25/2023
(f)
961‌
1,010‌
Freddie
Mac
Multifamily
Structured
Pass
Through
Certificates
2.34%,
07/25/2026
370‌
371‌
2.67%,
03/25/2026
1,050‌
1,075‌
2.87%,
12/25/2021
523‌
532‌
3.02%,
02/25/2023
216‌
219‌
3.06%,
07/25/2023
(f)
750‌
777‌
3.06%,
12/25/2024
500‌
521‌
3.31%,
05/25/2023
(f)
810‌
846‌
3.32%,
02/25/2023
1,000‌
1,042‌
3.41%,
12/25/2026
1,500‌
1,605‌
3.53%,
10/25/2023
(f)
1,050‌
1,108‌
4.19%,
12/25/2020
(f)
850‌
871‌
GS
Mortgage
Securities
Trust
2012-GC6
3.48%,
01/10/2045
273‌
279‌
GS
Mortgage
Securities
Trust
2012-GCJ9
2.77%,
11/10/2045
496‌
503‌
GS
Mortgage
Securities
Trust
2014-GC18
3.80%,
01/10/2047
456‌
480‌
GS
Mortgage
Securities
Trust
2015-GC34
3.51%,
10/10/2048
1,000‌
1,054‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Commercial
Mortgage
Backed
Securities
(continued)
GS
Mortgage
Securities
Trust
2017-GS5
3.47%,
03/10/2050
$
2,250‌
$
2,361‌
GS
Mortgage
Securities
Trust
2018-GS9
3.99%,
03/10/2051
(f)
1,500‌
1,639‌
JP
Morgan
Chase
Commercial
Mortgage
Securities
Trust
2011-C5
4.17%,
08/15/2046
146‌
151‌
JPMBB
Commercial
Mortgage
Securities
Trust
2013-C15
4.13%,
11/15/2045
500‌
534‌
JPMBB
Commercial
Mortgage
Securities
Trust
2014-C22
3.80%,
09/15/2047
1,000‌
1,060‌
Morgan
Stanley
Bank
of
America
Merrill
Lynch
Trust
2015-C24
3.48%,
05/15/2048
1,000‌
1,052‌
Morgan
Stanley
Capital
I
Trust
2017-H1
3.26%,
06/15/2050
2,500‌
2,600‌
SG
Commercial
Mortgage
Securities
Trust
2016-C5
3.06%,
10/10/2048
1,000‌
1,022‌
UBS
Commercial
Mortgage
Trust
2012-C1
3.40%,
05/10/2045
486‌
499‌
UBS-Barclays
Commercial
Mortgage
Trust
2012-C3
3.09%,
08/10/2049
550‌
563‌
UBS-Barclays
Commercial
Mortgage
Trust
2013-C6
3.24%,
04/10/2046
500‌
516‌
Wells
Fargo
Commercial
Mortgage
Trust
2012-LC5
2.92%,
10/15/2045
494‌
504‌
Wells
Fargo
Commercial
Mortgage
Trust
2015-C28
3.29%,
05/15/2048
1,845‌
1,912‌
WFRBS
Commercial
Mortgage
Trust
2012-C7
2.30%,
06/15/2045
69‌
69‌
WFRBS
Commercial
Mortgage
Trust
2013-C14
2.98%,
06/15/2046
829‌
837‌
$
51,120‌
Commercial
Services
-
0.20%
Automatic
Data
Processing
Inc
2.25%,
09/15/2020
20‌
20‌
3.38%,
09/15/2025
500‌
529‌
Board
of
Trustees
of
The
Leland
Stanford
Junior
University/The
3.65%,
05/01/2048
287‌
312‌
California
Institute
of
Technology
4.32%,
08/01/2045
80‌
95‌
IHS
Markit
Ltd
3.63%,
05/01/2024
372‌
384‌
Massachusetts
Institute
of
Technology
3.89%,
07/01/2116
250‌
267‌
4.68%,
07/01/2114
250‌
316‌
Moody's
Corp
5.25%,
07/15/2044
500‌
593‌
President
&
Fellows
of
Harvard
College
3.15%,
07/15/2046
350‌
343‌
RELX
Capital
Inc
3.13%,
10/15/2022
125‌
127‌
S&P
Global
Inc
4.40%,
02/15/2026
160‌
176‌
6.55%,
11/15/2037
51‌
70‌
University
of
Southern
California
3.84%,
10/01/2047
500‌
546‌
5.25%,
10/01/2111
30‌
41‌
Verisk
Analytics
Inc
4.00%,
06/15/2025
500‌
534‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
72
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Commercial
Services
(continued)
William
Marsh
Rice
University
3.57%,
05/15/2045
$
500‌
$
523‌
$
4,876‌
Computers
-
0.69%
Apple
Inc
1.55%,
08/04/2021
30‌
30‌
2.15%,
02/09/2022
50‌
50‌
2.25%,
02/23/2021
535‌
537‌
2.30%,
05/11/2022
30‌
30‌
2.40%,
01/13/2023
300‌
303‌
2.40%,
05/03/2023
330‌
333‌
2.50%,
02/09/2022
530‌
536‌
2.70%,
05/13/2022
60‌
61‌
2.85%,
05/06/2021
1,285‌
1,304‌
2.85%,
02/23/2023
30‌
31‌
2.90%,
09/12/2027
230‌
235‌
3.00%,
02/09/2024
60‌
62‌
3.20%,
05/13/2025
445‌
465‌
3.20%,
05/11/2027
320‌
334‌
3.25%,
02/23/2026
775‌
810‌
3.35%,
02/09/2027
535‌
562‌
3.45%,
05/06/2024
405‌
428‌
3.45%,
02/09/2045
30‌
30‌
3.75%,
09/12/2047
115‌
120‌
3.75%,
11/13/2047
150‌
158‌
3.85%,
05/04/2043
300‌
318‌
4.50%,
02/23/2036
1,000‌
1,172‌
4.65%,
02/23/2046
385‌
457‌
Dell
International
LLC
/
EMC
Corp
4.42%,
06/15/2021
(e)
980‌
1,010‌
8.10%,
07/15/2036
(e)
255‌
314‌
8.35%,
07/15/2046
(e)
335‌
423‌
DXC
Technology
Co
4.75%,
04/15/2027
505‌
537‌
Hewlett
Packard
Enterprise
Co
3.60%,
10/15/2020
470‌
476‌
4.90%,
10/15/2025
300‌
327‌
6.20%,
10/15/2035
80‌
90‌
6.35%,
10/15/2045
195‌
216‌
HP
Inc
3.75%,
12/01/2020
121‌
123‌
6.00%,
09/15/2041
154‌
170‌
IBM
Credit
LLC
2.65%,
02/05/2021
100‌
101‌
International
Business
Machines
Corp
2.25%,
02/19/2021
300‌
300‌
2.85%,
05/13/2022
400‌
407‌
3.00%,
05/15/2024
685‌
703‌
3.30%,
05/15/2026
400‌
415‌
3.38%,
08/01/2023
335‌
347‌
3.50%,
05/15/2029
470‌
492‌
4.00%,
06/20/2042
35‌
36‌
4.15%,
05/15/2039
230‌
246‌
4.25%,
05/15/2049
340‌
366‌
4.70%,
02/19/2046
185‌
212‌
5.60%,
11/30/2039
92‌
116‌
5.88%,
11/29/2032
200‌
255‌
6.22%,
08/01/2027
351‌
432‌
Seagate
HDD
Cayman
4.75%,
06/01/2023
530‌
547‌
4.75%,
01/01/2025
30‌
30‌
$
17,057‌
Consumer
Products
-
0.05%
Church
&
Dwight
Co
Inc
3.15%,
08/01/2027
300‌
302‌
3.95%,
08/01/2047
300‌
303‌
Clorox
Co/The
3.80%,
11/15/2021
128‌
132‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Consumer
Products
(continued)
Kimberly-Clark
Corp
2.40%,
03/01/2022
$
257‌
$
258‌
2.40%,
06/01/2023
150‌
151‌
$
1,146‌
Cosmetics
&
Personal
Care
-
0.06%
Procter
&
Gamble
Co/The
1.70%,
11/03/2021
30‌
30‌
2.15%,
08/11/2022
30‌
30‌
2.30%,
02/06/2022
441‌
445‌
3.10%,
08/15/2023
30‌
31‌
Unilever
Capital
Corp
2.20%,
05/05/2022
100‌
100‌
3.25%,
03/07/2024
400‌
416‌
5.90%,
11/15/2032
230‌
307‌
$
1,359‌
Credit
Card
Asset
Backed
Securities
-
0.32%
Capital
One
Multi-Asset
Execution
Trust
1.99%,
07/17/2023
1,000‌
999‌
2.43%,
01/15/2025
2,000‌
2,018‌
Citibank
Credit
Card
Issuance
Trust
2.19%,
11/20/2023
1,000‌
1,002‌
2.49%,
01/20/2023
1,350‌
1,359‌
2.68%,
06/07/2023
1,000‌
1,011‌
2.88%,
01/23/2023
500‌
506‌
Synchrony
Credit
Card
Master
Note
Trust
2.97%,
03/15/2024
1,000‌
1,013‌
$
7,908‌
Distribution
&
Wholesale
-
0.01%
WW
Grainger
Inc
4.60%,
06/15/2045
250‌
279‌
Diversified
Financial
Services
-
0.83%
AerCap
Ireland
Capital
DAC
/
AerCap
Global
Aviation
Trust
3.30%,
01/23/2023
500‌
504‌
3.50%,
01/15/2025
300‌
302‌
3.88%,
01/23/2028
300‌
301‌
3.95%,
02/01/2022
650‌
669‌
4.50%,
05/15/2021
150‌
155‌
5.00%,
10/01/2021
150‌
157‌
Air
Lease
Corp
2.50%,
03/01/2021
500‌
500‌
3.00%,
09/15/2023
20‌
20‌
3.25%,
03/01/2025
500‌
503‌
American
Express
Co
2.20%,
10/30/2020
500‌
499‌
2.65%,
12/02/2022
400‌
404‌
3.00%,
10/30/2024
400‌
410‌
3.38%,
05/17/2021
400‌
408‌
3.40%,
02/22/2024
400‌
417‌
3.63%,
12/05/2024
500‌
525‌
3.70%,
08/03/2023
400‌
420‌
4.05%,
12/03/2042
25‌
27‌
American
Express
Credit
Corp
2.25%,
05/05/2021
555‌
555‌
3.30%,
05/03/2027
30‌
32‌
Ameriprise
Financial
Inc
4.00%,
10/15/2023
225‌
239‌
BlackRock
Inc
3.38%,
06/01/2022
200‌
207‌
3.50%,
03/18/2024
500‌
531‌
4.25%,
05/24/2021
500‌
520‌
Brookfield
Finance
Inc
3.90%,
01/25/2028
400‌
408‌
Capital
One
Bank
USA
NA
3.38%,
02/15/2023
340‌
347‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
73
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Diversified
Financial
Services
(continued)
Capital
One
Financial
Corp
3.05%,
03/09/2022
$
30‌
$
31‌
3.20%,
02/05/2025
415‌
423‌
3.50%,
06/15/2023
114‌
118‌
3.75%,
04/24/2024
5‌
5‌
3.75%,
03/09/2027
1,020‌
1,053‌
4.20%,
10/29/2025
30‌
32‌
4.75%,
07/15/2021
30‌
31‌
Charles
Schwab
Corp/The
3.25%,
05/21/2021
200‌
204‌
3.45%,
02/13/2026
250‌
262‌
3.85%,
05/21/2025
200‌
214‌
CME
Group
Inc
3.00%,
09/15/2022
25‌
26‌
3.00%,
03/15/2025
530‌
549‌
5.30%,
09/15/2043
200‌
256‌
Credit
Suisse
USA
Inc
7.13%,
07/15/2032
300‌
427‌
Discover
Financial
Services
4.10%,
02/09/2027
500‌
521‌
GE
Capital
International
Funding
Co
Unlimited
Co
2.34%,
11/15/2020
500‌
498‌
3.37%,
11/15/2025
1,025‌
1,038‌
4.42%,
11/15/2035
1,000‌
990‌
Intercontinental
Exchange
Inc
2.75%,
12/01/2020
10‌
10‌
3.75%,
12/01/2025
50‌
53‌
4.25%,
09/21/2048
150‌
167‌
International
Lease
Finance
Corp
5.88%,
08/15/2022
20‌
22‌
8.25%,
12/15/2020
20‌
22‌
Jefferies
Group
LLC
6.50%,
01/20/2043
200‌
217‌
6.88%,
04/15/2021
27‌
29‌
Jefferies
Group
LLC
/
Jefferies
Group
Capital
Finance
Inc
4.15%,
01/23/2030
400‌
383‌
Mastercard
Inc
3.38%,
04/01/2024
25‌
26‌
Nasdaq
Inc
4.25%,
06/01/2024
350‌
375‌
ORIX
Corp
3.70%,
07/18/2027
300‌
316‌
Synchrony
Financial
3.75%,
08/15/2021
5‌
5‌
4.25%,
08/15/2024
800‌
833‌
4.50%,
07/23/2025
20‌
21‌
TD
Ameritrade
Holding
Corp
2.95%,
04/01/2022
20‌
20‌
Visa
Inc
2.20%,
12/14/2020
625‌
626‌
2.80%,
12/14/2022
20‌
21‌
3.15%,
12/14/2025
600‌
629‌
3.65%,
09/15/2047
85‌
91‌
4.15%,
12/14/2035
215‌
247‌
4.30%,
12/14/2045
375‌
444‌
Western
Union
Co/The
6.20%,
11/17/2036
200‌
216‌
$
20,511‌
Electric
-
1.65%
AEP
Transmission
Co
LLC
4.00%,
12/01/2046
600‌
628‌
Alabama
Power
Co
4.30%,
01/02/2046
400‌
446‌
Ameren
Illinois
Co
2.70%,
09/01/2022
300‌
304‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Electric
(continued)
Appalachian
Power
Co
3.30%,
06/01/2027
$
400‌
$
407‌
7.00%,
04/01/2038
120‌
166‌
Arizona
Public
Service
Co
4.50%,
04/01/2042
77‌
85‌
Baltimore
Gas
&
Electric
Co
3.35%,
07/01/2023
500‌
518‌
4.25%,
09/15/2048
300‌
333‌
Berkshire
Hathaway
Energy
Co
3.75%,
11/15/2023
500‌
528‌
3.80%,
07/15/2048
300‌
307‌
4.50%,
02/01/2045
250‌
282‌
5.15%,
11/15/2043
15‌
18‌
6.13%,
04/01/2036
156‌
209‌
CenterPoint
Energy
Houston
Electric
LLC
4.25%,
02/01/2049
300‌
340‌
CMS
Energy
Corp
3.45%,
08/15/2027
350‌
360‌
5.05%,
03/15/2022
500‌
532‌
Commonwealth
Edison
Co
4.00%,
08/01/2020
510‌
517‌
4.00%,
03/01/2049
300‌
322‌
Consolidated
Edison
Co
of
New
York
Inc
3.13%,
11/15/2027
300‌
307‌
3.88%,
06/15/2047
500‌
515‌
4.13%,
05/15/2049
300‌
323‌
4.20%,
03/15/2042
128‌
138‌
4.30%,
12/01/2056
230‌
248‌
5.85%,
03/15/2036
51‌
64‌
6.75%,
04/01/2038
125‌
176‌
Delmarva
Power
&
Light
Co
4.15%,
05/15/2045
350‌
376‌
Dominion
Energy
Inc
4.70%,
12/01/2044
300‌
334‌
4.90%,
08/01/2041
77‌
87‌
5.95%,
06/15/2035
400‌
491‌
Dominion
Energy
South
Carolina
Inc
5.45%,
02/01/2041
77‌
95‌
DPL
Inc
4.35%,
04/15/2029
(e)
300‌
305‌
DTE
Electric
Co
3.45%,
10/01/2020
405‌
410‌
3.95%,
03/01/2049
500‌
545‌
DTE
Energy
Co
3.50%,
06/01/2024
500‌
518‌
Duke
Energy
Carolinas
LLC
2.50%,
03/15/2023
279‌
281‌
3.70%,
12/01/2047
300‌
306‌
3.90%,
06/15/2021
410‌
422‌
4.00%,
09/30/2042
100‌
107‌
5.30%,
02/15/2040
512‌
638‌
Duke
Energy
Corp
1.80%,
09/01/2021
45‌
44‌
2.65%,
09/01/2026
555‌
549‌
3.15%,
08/15/2027
15‌
15‌
3.75%,
09/01/2046
600‌
585‌
Duke
Energy
Florida
LLC
3.40%,
10/01/2046
300‌
293‌
5.65%,
04/01/2040
25‌
32‌
6.40%,
06/15/2038
66‌
92‌
Duke
Energy
Indiana
LLC
3.75%,
07/15/2020
37‌
38‌
6.12%,
10/15/2035
77‌
101‌
6.45%,
04/01/2039
300‌
420‌
Duke
Energy
Progress
LLC
4.15%,
12/01/2044
300‌
325‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
74
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Electric
(continued)
Emera
US
Finance
LP
3.55%,
06/15/2026
$
25‌
$
26‌
4.75%,
06/15/2046
25‌
27‌
Entergy
Arkansas
LLC
3.70%,
06/01/2024
500‌
529‌
3.75%,
02/15/2021
25‌
26‌
Entergy
Corp
5.13%,
09/15/2020
89‌
91‌
Entergy
Louisiana
LLC
3.12%,
09/01/2027
700‌
715‌
Entergy
Texas
Inc
4.00%,
03/30/2029
300‌
323‌
4.50%,
03/30/2039
300‌
335‌
Evergy
Inc
4.85%,
06/01/2021
77‌
80‌
Eversource
Energy
2.50%,
03/15/2021
300‌
301‌
Exelon
Corp
3.95%,
06/15/2025
25‌
27‌
4.45%,
04/15/2046
20‌
21‌
Exelon
Generation
Co
LLC
4.25%,
06/15/2022
500‌
524‌
6.25%,
10/01/2039
349‌
413‌
FirstEnergy
Corp
3.90%,
07/15/2027
900‌
945‌
Florida
Power
&
Light
Co
3.70%,
12/01/2047
200‌
208‌
5.65%,
02/01/2037
478‌
601‌
5.69%,
03/01/2040
48‌
62‌
Fortis
Inc
/Canada
3.06%,
10/04/2026
13‌
13‌
Georgia
Power
Co
4.30%,
03/15/2042
228‌
242‌
Gulf
Power
Co
3.30%,
05/30/2027
400‌
416‌
Hydro-Quebec
8.05%,
07/07/2024
102‌
130‌
Iberdrola
International
BV
6.75%,
07/15/2036
128‌
169‌
Kentucky
Utilities
Co
5.13%,
11/01/2040
250‌
304‌
LG&E
&
KU
Energy
LLC
3.75%,
11/15/2020
77‌
78‌
Louisville
Gas
&
Electric
Co
3.30%,
10/01/2025
50‌
52‌
MidAmerican
Energy
Co
3.65%,
04/15/2029
300‌
324‌
4.25%,
05/01/2046
500‌
557‌
4.25%,
07/15/2049
300‌
342‌
Mississippi
Power
Co
4.25%,
03/15/2042
100‌
101‌
National
Rural
Utilities
Cooperative
Finance
Corp
2.40%,
04/25/2022
300‌
302‌
3.05%,
02/15/2022
102‌
104‌
3.05%,
04/25/2027
300‌
308‌
3.25%,
11/01/2025
500‌
520‌
NextEra
Energy
Capital
Holdings
Inc
4.50%,
06/01/2021
351‌
363‌
5.65%,
05/01/2079
(c)
500‌
516‌
3
Month
USD
LIBOR
+
3.16%
Northern
States
Power
Co/MN
3.40%,
08/15/2042
100‌
99‌
5.35%,
11/01/2039
82‌
103‌
NorthWestern
Corp
4.18%,
11/15/2044
300‌
323‌
NSTAR
Electric
Co
2.38%,
10/15/2022
750‌
754‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Electric
(continued)
Oncor
Electric
Delivery
Co
LLC
2.75%,
06/01/2024
(e)
$
300‌
$
306‌
3.80%,
06/01/2049
(e)
300‌
317‌
5.25%,
09/30/2040
51‌
64‌
7.25%,
01/15/2033
300‌
437‌
PacifiCorp
6.25%,
10/15/2037
92‌
124‌
PECO
Energy
Co
2.38%,
09/15/2022
100‌
101‌
3.90%,
03/01/2048
200‌
211‌
PPL
Capital
Funding
Inc
3.40%,
06/01/2023
300‌
307‌
4.70%,
06/01/2043
100‌
106‌
PPL
Electric
Utilities
Corp
3.95%,
06/01/2047
300‌
319‌
Progress
Energy
Inc
3.15%,
04/01/2022
128‌
130‌
7.75%,
03/01/2031
136‌
191‌
Public
Service
Co
of
Colorado
2.25%,
09/15/2022
500‌
501‌
3.70%,
06/15/2028
300‌
324‌
4.05%,
09/15/2049
400‌
440‌
Public
Service
Electric
&
Gas
Co
3.00%,
05/15/2027
400‌
407‌
3.25%,
09/01/2023
400‌
415‌
3.65%,
09/01/2042
200‌
205‌
Puget
Sound
Energy
Inc
5.80%,
03/15/2040
351‌
453‌
Sempra
Energy
2.90%,
02/01/2023
300‌
303‌
3.40%,
02/01/2028
300‌
299‌
3.80%,
02/01/2038
300‌
290‌
4.00%,
02/01/2048
400‌
392‌
6.00%,
10/15/2039
112‌
135‌
Southern
California
Edison
Co
2.40%,
02/01/2022
300‌
298‌
4.00%,
04/01/2047
15‌
15‌
4.05%,
03/15/2042
668‌
657‌
5.50%,
03/15/2040
102‌
117‌
5.95%,
02/01/2038
117‌
140‌
Southern
Co/The
2.35%,
07/01/2021
520‌
520‌
3.25%,
07/01/2026
570‌
579‌
5.50%,
03/15/2057
(c)
400‌
410‌
3
Month
USD
LIBOR
+
3.63%
Southern
Power
Co
5.25%,
07/15/2043
200‌
222‌
Southwestern
Electric
Power
Co
3.85%,
02/01/2048
300‌
295‌
4.10%,
09/15/2028
400‌
431‌
6.20%,
03/15/2040
51‌
65‌
Tampa
Electric
Co
4.35%,
05/15/2044
200‌
215‌
TransAlta
Corp
6.50%,
03/15/2040
25‌
23‌
Union
Electric
Co
3.50%,
04/15/2024
500‌
526‌
Virginia
Electric
&
Power
Co
2.75%,
03/15/2023
500‌
507‌
3.15%,
01/15/2026
30‌
31‌
3.50%,
03/15/2027
30‌
32‌
4.00%,
11/15/2046
500‌
528‌
4.65%,
08/15/2043
250‌
288‌
6.00%,
05/15/2037
77‌
99‌
8.88%,
11/15/2038
10‌
16‌
WEC
Energy
Group
Inc
3.55%,
06/15/2025
110‌
116‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
75
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Electric
(continued)
Westar
Energy
Inc
4.25%,
12/01/2045
$
500‌
$
549‌
Wisconsin
Electric
Power
Co
5.70%,
12/01/2036
450‌
584‌
$
40,896‌
Electrical
Components
&
Equipment
-
0.00%
Emerson
Electric
Co
2.63%,
02/15/2023
100‌
102‌
Electronics
-
0.08%
Allegion
US
Holding
Co
Inc
3.55%,
10/01/2027
500‌
493‌
Arrow
Electronics
Inc
4.50%,
03/01/2023
200‌
210‌
Fortive
Corp
3.15%,
06/15/2026
535‌
533‌
Honeywell
International
Inc
1.85%,
11/01/2021
30‌
30‌
2.50%,
11/01/2026
50‌
50‌
3.35%,
12/01/2023
265‌
278‌
3.81%,
11/21/2047
77‌
82‌
Jabil
Inc
3.95%,
01/12/2028
300‌
294‌
4.70%,
09/15/2022
100‌
104‌
Tyco
Electronics
Group
SA
7.13%,
10/01/2037
14‌
19‌
$
2,093‌
Environmental
Control
-
0.08%
Republic
Services
Inc
2.90%,
07/01/2026
500‌
503‌
3.95%,
05/15/2028
300‌
324‌
4.75%,
05/15/2023
51‌
55‌
5.25%,
11/15/2021
200‌
213‌
Waste
Management
Inc
3.90%,
03/01/2035
200‌
214‌
4.10%,
03/01/2045
210‌
229‌
4.15%,
07/15/2049
115‌
126‌
4.60%,
03/01/2021
350‌
361‌
$
2,025‌
Federal
&
Federally
Sponsored
Credit
-
0.03%
Federal
Farm
Credit
Banks
1.58%,
02/17/2021
175‌
174‌
1.90%,
11/27/2020
500‌
500‌
$
674‌
Finance
-
Mortgage
Loan/Banker
-
1.08%
Fannie
Mae
1.13%,
07/26/2019
2,300‌
2,298‌
1.25%,
05/06/2021
500‌
495‌
1.38%,
02/26/2021
750‌
744‌
1.38%,
10/07/2021
400‌
396‌
1.50%,
11/30/2020
500‌
498‌
1.70%,
01/27/2020
500‌
499‌
1.88%,
12/28/2020
500‌
500‌
1.88%,
04/05/2022
1,000‌
1,002‌
2.00%,
01/05/2022
400‌
402‌
2.00%,
10/05/2022
500‌
503‌
2.13%,
04/24/2026
500‌
504‌
2.25%,
04/12/2022
250‌
253‌
2.38%,
01/19/2023
500‌
510‌
2.50%,
02/05/2024
500‌
515‌
2.63%,
01/11/2022
500‌
510‌
2.63%,
09/06/2024
750‌
778‌
5.63%,
07/15/2037
200‌
282‌
6.63%,
11/15/2030
602‌
861‌
7.13%,
01/15/2030
199‌
289‌
7.25%,
05/15/2030
280‌
413‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Finance
-
Mortgage
Loan/Banker
(continued)
Federal
Home
Loan
Banks
1.13%,
07/14/2021
$
1,500‌
$
1,481‌
1.38%,
09/28/2020
2,000‌
1,987‌
1.38%,
02/18/2021
250‌
248‌
1.88%,
11/29/2021
250‌
250‌
2.13%,
06/09/2023
200‌
202‌
2.50%,
02/13/2024
500‌
515‌
2.63%,
05/28/2020
1,000‌
1,005‌
2.63%,
10/01/2020
1,000‌
1,009‌
3.00%,
10/12/2021
1,000‌
1,027‌
3.25%,
11/16/2028
500‌
543‌
5.50%,
07/15/2036
180‌
251‌
5.63%,
06/11/2021
350‌
375‌
Freddie
Mac
1.40%,
08/22/2019
500‌
499‌
1.88%,
11/17/2020
750‌
750‌
2.38%,
02/16/2021
1,000‌
1,009‌
2.38%,
01/13/2022
1,757‌
1,783‌
2.75%,
06/19/2023
500‌
518‌
6.25%,
07/15/2032
231‌
332‌
6.75%,
03/15/2031
577‌
839‌
$
26,875‌
Food
-
0.51%
Campbell
Soup
Co
3.30%,
03/19/2025
300‌
302‌
4.15%,
03/15/2028
160‌
168‌
4.25%,
04/15/2021
51‌
52‌
Conagra
Brands
Inc
3.20%,
01/25/2023
567‌
577‌
4.85%,
11/01/2028
205‌
227‌
5.30%,
11/01/2038
120‌
130‌
5.40%,
11/01/2048
120‌
132‌
General
Mills
Inc
2.60%,
10/12/2022
500‌
502‌
3.15%,
12/15/2021
77‌
78‌
3.20%,
04/16/2021
500‌
508‌
3.70%,
10/17/2023
300‌
315‌
4.00%,
04/17/2025
300‌
319‌
4.55%,
04/17/2038
300‌
319‌
Hershey
Co/The
3.10%,
05/15/2021
200‌
203‌
3.38%,
05/15/2023
200‌
209‌
3.38%,
08/15/2046
350‌
344‌
Kellogg
Co
2.65%,
12/01/2023
500‌
506‌
3.25%,
04/01/2026
500‌
509‌
Koninklijke
Ahold
Delhaize
NV
5.70%,
10/01/2040
30‌
35‌
Kraft
Heinz
Foods
Co
3.00%,
06/01/2026
65‌
63‌
3.38%,
06/15/2021
400‌
407‌
3.50%,
06/06/2022
330‌
339‌
3.95%,
07/15/2025
625‌
650‌
4.00%,
06/15/2023
400‌
419‌
4.38%,
06/01/2046
395‌
375‌
4.63%,
01/30/2029
400‌
430‌
5.00%,
06/04/2042
200‌
207‌
5.20%,
07/15/2045
235‌
246‌
6.50%,
02/09/2040
75‌
88‌
6.88%,
01/26/2039
161‌
193‌
Kroger
Co/The
3.30%,
01/15/2021
321‌
325‌
3.40%,
04/15/2022
154‌
158‌
3.70%,
08/01/2027
300‌
309‌
4.45%,
02/01/2047
55‌
53‌
5.15%,
08/01/2043
300‌
318‌
5.40%,
07/15/2040
25‌
27‌
5.40%,
01/15/2049
400‌
443‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
76
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Food
(continued)
Mondelez
International
Inc
3.63%,
05/07/2023
$
300‌
$
315‌
4.13%,
05/07/2028
300‌
324‌
Sysco
Corp
4.85%,
10/01/2045
250‌
285‌
5.38%,
09/21/2035
500‌
595‌
Tyson
Foods
Inc
3.55%,
06/02/2027
20‌
21‌
4.55%,
06/02/2047
520‌
544‌
$
12,569‌
Forest
Products
&
Paper
-
0.12%
Celulosa
Arauco
y
Constitucion
SA
4.50%,
08/01/2024
500‌
526‌
Georgia-Pacific
LLC
7.75%,
11/15/2029
51‌
72‌
8.00%,
01/15/2024
228‌
282‌
International
Paper
Co
3.00%,
02/15/2027
35‌
35‌
3.65%,
06/15/2024
443‌
463‌
4.40%,
08/15/2047
350‌
341‌
4.75%,
02/15/2022
373‌
394‌
4.80%,
06/15/2044
300‌
308‌
7.30%,
11/15/2039
25‌
32‌
7.50%,
08/15/2021
92‌
102‌
Suzano
Austria
GmbH
5.00%,
01/15/2030
(e)
300‌
304‌
$
2,859‌
Gas
-
0.08%
Atmos
Energy
Corp
4.13%,
10/15/2044
400‌
438‌
Dominion
Energy
Gas
Holdings
LLC
4.80%,
11/01/2043
300‌
338‌
NiSource
Inc
3.49%,
05/15/2027
20‌
21‌
5.95%,
06/15/2041
525‌
645‌
Southern
California
Gas
Co
3.15%,
09/15/2024
500‌
516‌
$
1,958‌
Hand
&
Machine
Tools
-
0.01%
Stanley
Black
&
Decker
Inc
2.90%,
11/01/2022
200‌
203‌
Healthcare
-
Products
-
0.36%
Abbott
Laboratories
2.55%,
03/15/2022
35‌
35‌
2.90%,
11/30/2021
520‌
529‌
3.75%,
11/30/2026
266‌
288‌
4.75%,
11/30/2036
40‌
47‌
5.30%,
05/27/2040
200‌
247‌
Becton
Dickinson
and
Co
2.89%,
06/06/2022
50‌
51‌
3.25%,
11/12/2020
500‌
505‌
3.36%,
06/06/2024
20‌
21‌
3.73%,
12/15/2024
394‌
413‌
4.67%,
06/06/2047
35‌
39‌
4.69%,
12/15/2044
196‌
217‌
Boston
Scientific
Corp
3.85%,
05/15/2025
530‌
564‌
4.13%,
10/01/2023
350‌
372‌
4.70%,
03/01/2049
50‌
57‌
7.38%,
01/15/2040
51‌
73‌
Koninklijke
Philips
NV
5.00%,
03/15/2042
128‌
149‌
Medtronic
Global
Holdings
SCA
3.35%,
04/01/2027
45‌
48‌
Medtronic
Inc
3.15%,
03/15/2022
560‌
576‌
3.50%,
03/15/2025
1,880‌
1,994‌
4.38%,
03/15/2035
20‌
23‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Healthcare
-
Products
(continued)
Medtronic
Inc  
(continued)
4.63%,
03/15/2045
$
625‌
$
757‌
Stryker
Corp
2.63%,
03/15/2021
15‌
15‌
3.50%,
03/15/2026
500‌
523‌
4.10%,
04/01/2043
200‌
208‌
4.63%,
03/15/2046
20‌
23‌
Thermo
Fisher
Scientific
Inc
2.95%,
09/19/2026
530‌
533‌
3.00%,
04/15/2023
20‌
20‌
4.15%,
02/01/2024
20‌
21‌
Zimmer
Biomet
Holdings
Inc
3.15%,
04/01/2022
500‌
508‌
$
8,856‌
Healthcare
-
Services
-
0.64%
Aetna
Inc
2.80%,
06/15/2023
35‌
35‌
4.13%,
06/01/2021
102‌
105‌
4.13%,
11/15/2042
100‌
94‌
6.63%,
06/15/2036
105‌
129‌
6.75%,
12/15/2037
112‌
141‌
Anthem
Inc
2.50%,
11/21/2020
700‌
701‌
2.95%,
12/01/2022
300‌
304‌
3.30%,
01/15/2023
325‌
333‌
3.50%,
08/15/2024
15‌
16‌
3.65%,
12/01/2027
300‌
312‌
4.38%,
12/01/2047
300‌
320‌
4.63%,
05/15/2042
30‌
33‌
4.65%,
01/15/2043
115‌
125‌
Ascension
Health
3.95%,
11/15/2046
500‌
541‌
Baylor
Scott
&
White
Holdings
3.97%,
11/15/2046
232‌
244‌
Children's
Hospital
Corp/The
4.12%,
01/01/2047
500‌
553‌
Children's
Hospital
Medical
Center/Cincinnati
OH
4.27%,
05/15/2044
215‌
243‌
Cigna
Holding
Co
3.05%,
10/15/2027
500‌
495‌
3.25%,
04/15/2025
775‌
788‌
3.88%,
10/15/2047
615‌
573‌
CommonSpirit
Health
4.35%,
11/01/2042
200‌
201‌
Coventry
Health
Care
Inc
5.45%,
06/15/2021
500‌
524‌
Dignity
Health
3.13%,
11/01/2022
500‌
510‌
HCA
Inc
4.50%,
02/15/2027
400‌
427‌
5.25%,
06/15/2026
400‌
443‌
5.88%,
03/15/2022
500‌
546‌
Humana
Inc
4.80%,
03/15/2047
500‌
543‌
4.95%,
10/01/2044
325‌
359‌
Kaiser
Foundation
Hospitals
4.15%,
05/01/2047
470‌
527‌
Laboratory
Corp
of
America
Holdings
4.63%,
11/15/2020
500‌
512‌
4.70%,
02/01/2045
15‌
16‌
Memorial
Sloan-Kettering
Cancer
Center
4.13%,
07/01/2052
200‌
225‌
4.20%,
07/01/2055
250‌
285‌
Mount
Sinai
Hospitals
Group
Inc
3.98%,
07/01/2048
400‌
407‌
Partners
Healthcare
System
Inc
4.12%,
07/01/2055
300‌
324‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
77
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Healthcare
-
Services
(continued)
Quest
Diagnostics
Inc
3.50%,
03/30/2025
$
500‌
$
516‌
4.70%,
04/01/2021
102‌
106‌
UnitedHealth
Group
Inc
2.38%,
10/15/2022
500‌
501‌
2.88%,
03/15/2022
180‌
183‌
3.35%,
07/15/2022
30‌
31‌
3.45%,
01/15/2027
540‌
568‌
4.20%,
01/15/2047
30‌
33‌
4.25%,
06/15/2048
165‌
183‌
4.38%,
03/15/2042
750‌
830‌
4.45%,
12/15/2048
120‌
138‌
4.63%,
07/15/2035
30‌
34‌
4.70%,
02/15/2021
90‌
93‌
6.50%,
06/15/2037
77‌
107‌
6.88%,
02/15/2038
491‌
710‌
$
15,967‌
Home
Furnishings
-
0.00%
Whirlpool
Corp
4.85%,
06/15/2021
77‌
80‌
Housewares
-
0.05%
Newell
Brands
Inc
3.85%,
04/01/2023
400‌
406‌
4.20%,
04/01/2026
500‌
497‌
5.38%,
04/01/2036
270‌
267‌
$
1,170‌
Insurance
-
0.78%
Aflac
Inc
3.63%,
11/15/2024
230‌
243‌
Allied
World
Assurance
Co
Holdings
Ltd
4.35%,
10/29/2025
500‌
505‌
Allstate
Corp/The
3.28%,
12/15/2026
500‌
523‌
5.55%,
05/09/2035
200‌
251‌
American
International
Group
Inc
3.75%,
07/10/2025
20‌
21‌
3.88%,
01/15/2035
750‌
747‌
4.20%,
04/01/2028
190‌
203‌
4.38%,
01/15/2055
30‌
30‌
4.70%,
07/10/2035
750‌
823‌
4.80%,
07/10/2045
50‌
55‌
4.88%,
06/01/2022
280‌
300‌
Aon
Corp
5.00%,
09/30/2020
128‌
132‌
Aon
PLC
3.88%,
12/15/2025
20‌
21‌
Arch
Capital
Finance
LLC
5.03%,
12/15/2046
250‌
298‌
Arch
Capital
Group
US
Inc
5.14%,
11/01/2043
375‌
448‌
Athene
Holding
Ltd
4.13%,
01/12/2028
500‌
504‌
AXA
Equitable
Holdings
Inc
4.35%,
04/20/2028
205‌
216‌
AXA
SA
8.60%,
12/15/2030
38‌
54‌
Berkshire
Hathaway
Finance
Corp
3.00%,
05/15/2022
30‌
31‌
4.20%,
08/15/2048
285‌
319‌
4.25%,
01/15/2021
102‌
105‌
4.25%,
01/15/2049
400‌
450‌
4.30%,
05/15/2043
300‌
335‌
5.75%,
01/15/2040
115‌
152‌
Berkshire
Hathaway
Inc
2.20%,
03/15/2021
415‌
416‌
2.75%,
03/15/2023
30‌
31‌
3.13%,
03/15/2026
350‌
362‌
3.40%,
01/31/2022
205‌
213‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Insurance
(continued)
Berkshire
Hathaway
Inc  
(continued)
4.50%,
02/11/2043
$
25‌
$
29‌
Chubb
Corp/The
6.50%,
05/15/2038
10‌
14‌
Chubb
INA
Holdings
Inc
2.30%,
11/03/2020
15‌
15‌
2.88%,
11/03/2022
500‌
509‌
3.35%,
05/03/2026
30‌
31‌
4.35%,
11/03/2045
25‌
29‌
6.70%,
05/15/2036
250‌
354‌
CNA
Financial
Corp
5.75%,
08/15/2021
77‌
82‌
Hartford
Financial
Services
Group
Inc
/The
4.30%,
04/15/2043
250‌
264‌
Lincoln
National
Corp
3.80%,
03/01/2028
60‌
63‌
4.00%,
09/01/2023
1,000‌
1,058‌
4.35%,
03/01/2048
55‌
58‌
6.15%,
04/07/2036
6‌
7‌
7.00%,
06/15/2040
47‌
65‌
Loews
Corp
2.63%,
05/15/2023
200‌
202‌
4.13%,
05/15/2043
200‌
206‌
Manulife
Financial
Corp
5.38%,
03/04/2046
250‌
306‌
Marsh
&
McLennan
Cos
Inc
3.75%,
03/14/2026
750‌
791‌
3.88%,
03/15/2024
500‌
531‌
4.38%,
03/15/2029
50‌
55‌
4.90%,
03/15/2049
400‌
474‌
MetLife
Inc
3.00%,
03/01/2025
300‌
310‌
3.60%,
04/10/2024
250‌
265‌
4.37%,
09/15/2023
235‌
254‌
4.60%,
05/13/2046
225‌
260‌
4.88%,
11/13/2043
20‌
24‌
5.70%,
06/15/2035
164‌
210‌
6.40%,
12/15/2066
288‌
329‌
3
Month
USD
LIBOR
+
2.21%
PartnerRe
Finance
B
LLC
5.50%,
06/01/2020
115‌
118‌
Progressive
Corp/The
3.75%,
08/23/2021
277‌
286‌
4.35%,
04/25/2044
200‌
226‌
Prudential
Financial
Inc
3.50%,
05/15/2024
700‌
740‌
3.91%,
12/07/2047
177‌
185‌
4.35%,
02/25/2050
500‌
561‌
4.50%,
11/16/2021
128‌
135‌
5.20%,
03/15/2044
(c)
350‌
364‌
3
Month
USD
LIBOR
+
3.04%
5.70%,
12/14/2036
25‌
32‌
5.70%,
09/15/2048
(c)
150‌
161‌
3
Month
USD
LIBOR
+
2.67%
Reinsurance
Group
of
America
Inc
4.70%,
09/15/2023
200‌
217‌
Travelers
Cos
Inc
/The
4.00%,
05/30/2047
400‌
442‌
6.25%,
06/15/2037
12‌
17‌
6.75%,
06/20/2036
51‌
73‌
Trinity
Acquisition
PLC
4.40%,
03/15/2026
500‌
532‌
Willis
North
America
Inc
3.60%,
05/15/2024
300‌
310‌
XLIT
Ltd
5.25%,
12/15/2043
400‌
484‌
$
19,466‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
78
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Internet
-
0.28%
Alibaba
Group
Holding
Ltd
3.13%,
11/28/2021
$
270‌
$
274‌
3.40%,
12/06/2027
325‌
330‌
3.60%,
11/28/2024
300‌
313‌
4.40%,
12/06/2057
305‌
325‌
Alphabet
Inc
2.00%,
08/15/2026
30‌
29‌
3.38%,
02/25/2024
530‌
560‌
3.63%,
05/19/2021
51‌
53‌
Amazon.com
Inc
2.40%,
02/22/2023
370‌
374‌
2.50%,
11/29/2022
130‌
131‌
3.15%,
08/22/2027
490‌
515‌
3.80%,
12/05/2024
20‌
21‌
3.88%,
08/22/2037
340‌
375‌
4.05%,
08/22/2047
30‌
34‌
4.25%,
08/22/2057
630‌
726‌
4.80%,
12/05/2034
30‌
37‌
4.95%,
12/05/2044
515‌
649‌
Baidu
Inc
3.50%,
11/28/2022
500‌
511‌
4.13%,
06/30/2025
500‌
525‌
eBay
Inc
2.60%,
07/15/2022
600‌
601‌
2.75%,
01/30/2023
10‌
10‌
2.88%,
08/01/2021
5‌
5‌
3.45%,
08/01/2024
30‌
31‌
3.80%,
03/09/2022
500‌
518‌
4.00%,
07/15/2042
100‌
94‌
$
7,041‌
Iron
&
Steel
-
0.08%
Nucor
Corp
4.00%,
08/01/2023
500‌
530‌
Vale
Overseas
Ltd
4.38%,
01/11/2022
96‌
99‌
6.25%,
08/10/2026
400‌
454‌
6.88%,
11/21/2036
617‌
741‌
8.25%,
01/17/2034
38‌
50‌
$
1,874‌
Leisure
Products
&
Services
-
0.02%
Royal
Caribbean
Cruises
Ltd
7.50%,
10/15/2027
400‌
495‌
Lodging
-
0.06%
Marriott
International
Inc
/MD
2.30%,
01/15/2022
30‌
30‌
2.88%,
03/01/2021
500‌
503‌
3.13%,
10/15/2021
500‌
507‌
Sands
China
Ltd
4.60%,
08/08/2023
200‌
210‌
5.40%,
08/08/2028
300‌
326‌
$
1,576‌
Machinery
-
Construction
&
Mining
-
0.09%
ABB
Finance
USA
Inc
2.88%,
05/08/2022
100‌
102‌
Caterpillar
Financial
Services
Corp
1.70%,
08/09/2021
380‌
376‌
1.93%,
10/01/2021
190‌
189‌
2.95%,
02/26/2022
400‌
408‌
3.45%,
05/15/2023
300‌
314‌
Caterpillar
Inc
3.40%,
05/15/2024
30‌
31‌
3.80%,
08/15/2042
105‌
112‌
3.90%,
05/27/2021
60‌
62‌
4.75%,
05/15/2064
350‌
414‌
6.05%,
08/15/2036
132‌
175‌
$
2,183‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Machinery
-
Diversified
-
0.13%
Crane
Co
4.45%,
12/15/2023
$
100‌
$
106‌
Deere
&
Co
3.90%,
06/09/2042
30‌
33‌
5.38%,
10/16/2029
500‌
614‌
Dover
Corp
5.38%,
03/01/2041
77‌
90‌
John
Deere
Capital
Corp
2.80%,
03/06/2023
20‌
20‌
3.05%,
01/06/2028
300‌
310‌
3.20%,
01/10/2022
300‌
308‌
3.90%,
07/12/2021
500‌
517‌
Roper
Technologies
Inc
2.80%,
12/15/2021
500‌
503‌
3.13%,
11/15/2022
750‌
763‌
Xylem
Inc
/NY
4.88%,
10/01/2021
19‌
20‌
$
3,284‌
Media
-
0.89%
CBS
Corp
2.90%,
06/01/2023
200‌
202‌
4.00%,
01/15/2026
515‌
539‌
4.30%,
02/15/2021
535‌
548‌
4.85%,
07/01/2042
200‌
210‌
7.88%,
07/30/2030
178‌
242‌
Charter
Communications
Operating
LLC
/
Charter
Communications
Operating
Capital
4.46%,
07/23/2022
340‌
357‌
5.75%,
04/01/2048
605‌
669‌
6.38%,
10/23/2035
800‌
940‌
6.48%,
10/23/2045
435‌
513‌
Comcast
Corp
2.35%,
01/15/2027
60‌
58‌
2.75%,
03/01/2023
115‌
117‌
2.85%,
01/15/2023
100‌
102‌
3.13%,
07/15/2022
30‌
31‌
3.15%,
03/01/2026
30‌
31‌
3.38%,
08/15/2025
525‌
549‌
3.40%,
07/15/2046
20‌
19‌
3.55%,
05/01/2028
125‌
132‌
3.60%,
03/01/2024
30‌
32‌
3.70%,
04/15/2024
1,140‌
1,210‌
3.90%,
03/01/2038
150‌
158‌
4.00%,
08/15/2047
30‌
32‌
4.00%,
03/01/2048
400‌
423‌
4.00%,
11/01/2049
20‌
21‌
4.20%,
08/15/2034
750‌
831‌
4.25%,
01/15/2033
120‌
135‌
4.40%,
08/15/2035
500‌
557‌
4.60%,
10/15/2038
485‌
555‌
4.60%,
08/15/2045
500‌
568‌
4.65%,
07/15/2042
615‌
707‌
4.75%,
03/01/2044
45‌
52‌
5.65%,
06/15/2035
20‌
25‌
6.40%,
03/01/2040
500‌
676‌
6.45%,
03/15/2037
85‌
115‌
6.95%,
08/15/2037
274‌
388‌
7.05%,
03/15/2033
15‌
21‌
Discovery
Communications
LLC
2.80%,
06/15/2020
500‌
501‌
3.25%,
04/01/2023
200‌
203‌
3.95%,
03/20/2028
500‌
515‌
4.38%,
06/15/2021
500‌
518‌
4.88%,
04/01/2043
25‌
25‌
6.35%,
06/01/2040
73‌
86‌
Fox
Corp
5.58%,
01/25/2049
(e)
500‌
612‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
79
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Media
(continued)
Grupo
Televisa
SAB
4.63%,
01/30/2026
$
500‌
$
524‌
6.63%,
03/18/2025
200‌
231‌
NBCUniversal
Media
LLC
4.38%,
04/01/2021
151‌
157‌
4.45%,
01/15/2043
15‌
17‌
6.40%,
04/30/2040
251‌
340‌
Thomson
Reuters
Corp
5.85%,
04/15/2040
25‌
29‌
Time
Warner
Cable
LLC
4.00%,
09/01/2021
190‌
195‌
5.50%,
09/01/2041
340‌
356‌
5.88%,
11/15/2040
20‌
22‌
6.55%,
05/01/2037
176‌
203‌
6.75%,
06/15/2039
77‌
89‌
7.30%,
07/01/2038
300‌
364‌
Time
Warner
Entertainment
Co
LP
8.38%,
07/15/2033
95‌
128‌
TWDC
Enterprises
18
Corp
2.30%,
02/12/2021
500‌
502‌
2.35%,
12/01/2022
770‌
775‌
2.75%,
08/16/2021
102‌
104‌
3.70%,
12/01/2042
100‌
106‌
3.75%,
06/01/2021
200‌
206‌
7.00%,
03/01/2032
51‌
73‌
Viacom
Inc
3.88%,
12/15/2021
128‌
131‌
4.38%,
03/15/2043
435‌
425‌
6.88%,
04/30/2036
181‌
229‌
Walt
Disney
Co/The
3.70%,
10/15/2025
(e)
500‌
536‌
4.50%,
02/15/2021
(e)
200‌
208‌
4.75%,
11/15/2046
(e)
230‌
283‌
4.95%,
10/15/2045
(e)
350‌
434‌
5.65%,
08/15/2020
(e)
51‌
53‌
6.15%,
03/01/2037
(e)
15‌
20‌
6.15%,
02/15/2041
(e)
577‌
802‌
6.20%,
12/15/2034
(e)
154‌
209‌
6.40%,
12/15/2035
(e)
128‌
175‌
$
22,151‌
Metal
Fabrication
&
Hardware
-
0.02%
Precision
Castparts
Corp
2.50%,
01/15/2023
100‌
101‌
3.25%,
06/15/2025
25‌
26‌
4.38%,
06/15/2045
250‌
283‌
$
410‌
Mining
-
0.17%
Barrick
Gold
Corp
5.25%,
04/01/2042
20‌
23‌
Barrick
North
America
Finance
LLC
5.75%,
05/01/2043
355‌
444‌
Barrick
PD
Australia
Finance
Pty
Ltd
5.95%,
10/15/2039
90‌
110‌
BHP
Billiton
Finance
USA
Ltd
4.13%,
02/24/2042
328‌
362‌
5.00%,
09/30/2043
270‌
338‌
Newmont
Goldcorp
Corp
3.50%,
03/15/2022
30‌
31‌
3.63%,
06/09/2021
(e)
300‌
306‌
4.88%,
03/15/2042
20‌
22‌
6.25%,
10/01/2039
515‌
661‌
Rio
Tinto
Alcan
Inc
6.13%,
12/15/2033
77‌
103‌
Rio
Tinto
Finance
USA
Ltd
7.13%,
07/15/2028
537‌
718‌
Rio
Tinto
Finance
USA
PLC
4.75%,
03/22/2042
328‌
391‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Mining
(continued)
Southern
Copper
Corp
5.88%,
04/23/2045
$
350‌
$
412‌
6.75%,
04/16/2040
258‌
326‌
$
4,247‌
Miscellaneous
Manufacturers
-
0.27%
3M
Co
1.63%,
09/19/2021
500‌
495‌
3.13%,
09/19/2046
300‌
277‌
3.38%,
03/01/2029
800‌
843‌
Eaton
Corp
2.75%,
11/02/2022
100‌
101‌
3.92%,
09/15/2047
400‌
405‌
4.00%,
11/02/2032
100‌
111‌
4.15%,
11/02/2042
50‌
53‌
General
Electric
Co
2.70%,
10/09/2022
385‌
385‌
3.10%,
01/09/2023
35‌
35‌
3.38%,
03/11/2024
20‌
21‌
4.13%,
10/09/2042
325‌
299‌
4.38%,
09/16/2020
25‌
26‌
4.50%,
03/11/2044
70‌
68‌
4.63%,
01/07/2021
77‌
79‌
4.65%,
10/17/2021
30‌
31‌
5.30%,
02/11/2021
308‌
319‌
6.15%,
08/07/2037
155‌
180‌
6.75%,
03/15/2032
896‌
1,104‌
Illinois
Tool
Works
Inc
2.65%,
11/15/2026
500‌
505‌
3.50%,
03/01/2024
350‌
369‌
Ingersoll-Rand
Global
Holding
Co
Ltd
3.75%,
08/21/2028
70‌
73‌
Ingersoll-Rand
Luxembourg
Finance
SA
4.65%,
11/01/2044
300‌
327‌
Parker-Hannifin
Corp
3.50%,
09/15/2022
577‌
595‌
$
6,701‌
Oil
&
Gas
-
1.47%
Anadarko
Finance
Co
7.50%,
05/01/2031
77‌
102‌
Anadarko
Petroleum
Corp
4.50%,
07/15/2044
100‌
102‌
4.85%,
03/15/2021
16‌
17‌
6.20%,
03/15/2040
25‌
30‌
6.45%,
09/15/2036
725‌
891‌
6.60%,
03/15/2046
40‌
52‌
Apache
Corp
3.25%,
04/15/2022
13‌
13‌
3.63%,
02/01/2021
211‌
214‌
4.75%,
04/15/2043
133‌
130‌
5.10%,
09/01/2040
92‌
93‌
BP
Capital
Markets
America
Inc
3.22%,
11/28/2023
30‌
31‌
3.22%,
04/14/2024
420‌
435‌
3.59%,
04/14/2027
30‌
32‌
4.50%,
10/01/2020
20‌
21‌
4.74%,
03/11/2021
128‌
133‌
BP
Capital
Markets
PLC
2.50%,
11/06/2022
1,220‌
1,227‌
3.06%,
03/17/2022
315‌
322‌
3.28%,
09/19/2027
175‌
181‌
3.54%,
11/04/2024
20‌
21‌
3.56%,
11/01/2021
200‌
206‌
3.72%,
11/28/2028
40‌
43‌
3.81%,
02/10/2024
400‌
423‌
Canadian
Natural
Resources
Ltd
2.95%,
01/15/2023
30‌
30‌
3.85%,
06/01/2027
55‌
57‌
4.95%,
06/01/2047
20‌
23‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
80
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Oil
&
Gas
(continued)
Canadian
Natural
Resources
Ltd  
(continued)
6.25%,
03/15/2038
$
664‌
$
820‌
Cenovus
Energy
Inc
4.25%,
04/15/2027
400‌
414‌
5.40%,
06/15/2047
480‌
521‌
Chevron
Corp
2.10%,
05/16/2021
80‌
80‌
2.36%,
12/05/2022
325‌
327‌
2.41%,
03/03/2022
500‌
505‌
2.43%,
06/24/2020
450‌
450‌
2.95%,
05/16/2026
355‌
366‌
3.19%,
06/24/2023
15‌
16‌
CNOOC
Finance
2013
Ltd
3.00%,
05/09/2023
150‌
151‌
4.25%,
05/09/2043
100‌
107‌
CNOOC
Nexen
Finance
2014
ULC
4.25%,
04/30/2024
500‌
531‌
Concho
Resources
Inc
4.30%,
08/15/2028
300‌
323‌
4.88%,
10/01/2047
120‌
134‌
Conoco
Funding
Co
7.25%,
10/15/2031
200‌
282‌
ConocoPhillips
6.50%,
02/01/2039
169‌
237‌
ConocoPhillips
Co
4.30%,
11/15/2044
420‌
465‌
ConocoPhillips
Holding
Co
6.95%,
04/15/2029
202‌
272‌
Devon
Energy
Corp
3.25%,
05/15/2022
60‌
61‌
5.00%,
06/15/2045
10‌
12‌
5.60%,
07/15/2041
425‌
505‌
Ecopetrol
SA
5.88%,
09/18/2023
650‌
719‌
5.88%,
05/28/2045
400‌
442‌
EOG
Resources
Inc
2.63%,
03/15/2023
200‌
202‌
4.15%,
01/15/2026
350‌
381‌
4.40%,
06/01/2020
51‌
52‌
Equinor
ASA
2.45%,
01/17/2023
30‌
30‌
2.65%,
01/15/2024
400‌
406‌
3.15%,
01/23/2022
102‌
104‌
3.95%,
05/15/2043
200‌
216‌
5.10%,
08/17/2040
263‌
328‌
Exxon
Mobil
Corp
2.22%,
03/01/2021
530‌
531‌
2.40%,
03/06/2022
30‌
30‌
2.71%,
03/06/2025
30‌
31‌
2.73%,
03/01/2023
30‌
31‌
3.04%,
03/01/2026
280‌
290‌
3.18%,
03/15/2024
530‌
554‌
3.57%,
03/06/2045
300‌
315‌
4.11%,
03/01/2046
95‌
109‌
Hess
Corp
5.60%,
02/15/2041
51‌
55‌
7.13%,
03/15/2033
221‌
271‌
7.30%,
08/15/2031
25‌
31‌
HollyFrontier
Corp
5.88%,
04/01/2026
475‌
520‌
Marathon
Oil
Corp
2.80%,
11/01/2022
10‌
10‌
3.85%,
06/01/2025
505‌
524‌
6.60%,
10/01/2037
223‌
276‌
Marathon
Petroleum
Corp
3.63%,
09/15/2024
400‌
414‌
4.75%,
12/15/2023
300‌
324‌
5.00%,
09/15/2054
200‌
206‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Oil
&
Gas
(continued)
Marathon
Petroleum
Corp  
(continued)
5.13%,
03/01/2021
$
77‌
$
80‌
5.13%,
12/15/2026
300‌
328‌
Newfield
Exploration
Co
5.63%,
07/01/2024
500‌
553‌
Nexen
Inc
5.88%,
03/10/2035
500‌
618‌
6.40%,
05/15/2037
157‌
209‌
7.50%,
07/30/2039
15‌
23‌
Noble
Energy
Inc
5.05%,
11/15/2044
25‌
27‌
5.25%,
11/15/2043
350‌
377‌
6.00%,
03/01/2041
102‌
117‌
Occidental
Petroleum
Corp
2.70%,
02/15/2023
330‌
333‌
3.13%,
02/15/2022
30‌
30‌
3.50%,
06/15/2025
500‌
516‌
4.10%,
02/15/2047
300‌
296‌
4.40%,
04/15/2046
50‌
52‌
4.63%,
06/15/2045
25‌
27‌
Petro-Canada
5.95%,
05/15/2035
400‌
498‌
6.80%,
05/15/2038
12‌
16‌
Petroleos
Mexicanos
3.50%,
07/23/2020
350‌
349‌
4.50%,
01/23/2026
500‌
459‌
4.88%,
01/24/2022
385‌
384‌
5.50%,
01/21/2021
208‌
210‌
5.50%,
06/27/2044
350‌
280‌
6.38%,
01/23/2045
400‌
344‌
6.50%,
03/13/2027
1,790‌
1,767‌
6.63%,
06/15/2035
536‌
495‌
6.75%,
09/21/2047
640‌
570‌
Phillips
66
4.30%,
04/01/2022
1,143‌
1,204‌
5.88%,
05/01/2042
128‌
158‌
Pioneer
Natural
Resources
Co
3.95%,
07/15/2022
100‌
104‌
Shell
International
Finance
BV
1.75%,
09/12/2021
65‌
64‌
2.38%,
08/21/2022
130‌
131‌
2.50%,
09/12/2026
330‌
328‌
3.40%,
08/12/2023
1,530‌
1,597‌
3.63%,
08/21/2042
100‌
103‌
3.75%,
09/12/2046
30‌
32‌
4.00%,
05/10/2046
245‌
270‌
4.13%,
05/11/2035
410‌
456‌
4.38%,
05/11/2045
490‌
564‌
4.55%,
08/12/2043
35‌
41‌
5.50%,
03/25/2040
25‌
32‌
6.38%,
12/15/2038
43‌
61‌
Suncor
Energy
Inc
4.00%,
11/15/2047
90‌
93‌
6.50%,
06/15/2038
428‌
574‌
6.85%,
06/01/2039
5‌
7‌
Total
Capital
International
SA
2.75%,
06/19/2021
400‌
405‌
2.88%,
02/17/2022
128‌
130‌
3.46%,
02/19/2029
800‌
852‌
Total
Capital
SA
4.25%,
12/15/2021
51‌
54‌
4.45%,
06/24/2020
500‌
511‌
Valero
Energy
Corp
3.65%,
03/15/2025
500‌
519‌
6.63%,
06/15/2037
234‌
296‌
7.50%,
04/15/2032
15‌
20‌
$
36,374‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
81
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Oil
&
Gas
Services
-
0.11%
Baker
Hughes
a
GE
Co
LLC
3.20%,
08/15/2021
$
149‌
$
151‌
Baker
Hughes
a
GE
Co
LLC
/
Baker
Hughes
Co-
Obligor
Inc
2.77%,
12/15/2022
155‌
157‌
3.34%,
12/15/2027
165‌
166‌
4.08%,
12/15/2047
170‌
165‌
Halliburton
Co
3.25%,
11/15/2021
651‌
664‌
3.80%,
11/15/2025
275‌
288‌
4.50%,
11/15/2041
51‌
51‌
4.85%,
11/15/2035
275‌
293‌
7.45%,
09/15/2039
10‌
14‌
National
Oilwell
Varco
Inc
2.60%,
12/01/2022
500‌
499‌
Patterson-UTI
Energy
Inc
3.95%,
02/01/2028
300‌
296‌
$
2,744‌
Packaging
&
Containers
-
0.02%
WestRock
RKT
LLC
4.00%,
03/01/2023
500‌
519‌
Pharmaceuticals
-
1.35%
AbbVie
Inc
2.90%,
11/06/2022
200‌
201‌
3.20%,
11/06/2022
30‌
30‌
3.20%,
05/14/2026
335‌
339‌
3.38%,
11/14/2021
350‌
356‌
3.60%,
05/14/2025
500‌
517‌
3.75%,
11/14/2023
350‌
364‌
4.25%,
11/14/2028
220‌
235‌
4.30%,
05/14/2036
170‌
170‌
4.40%,
11/06/2042
200‌
197‌
4.45%,
05/14/2046
280‌
275‌
4.50%,
05/14/2035
300‌
309‌
4.70%,
05/14/2045
330‌
336‌
4.88%,
11/14/2048
210‌
221‌
Allergan
Finance
LLC
3.25%,
10/01/2022
180‌
182‌
4.63%,
10/01/2042
100‌
100‌
Allergan
Funding
SCS
3.45%,
03/15/2022
30‌
31‌
3.80%,
03/15/2025
330‌
342‌
3.85%,
06/15/2024
445‌
462‌
4.75%,
03/15/2045
235‌
241‌
AmerisourceBergen
Corp
3.40%,
05/15/2024
250‌
257‌
AstraZeneca
PLC
2.38%,
06/12/2022
20‌
20‌
3.38%,
11/16/2025
305‌
319‌
4.00%,
09/18/2042
125‌
132‌
4.38%,
11/16/2045
185‌
205‌
4.38%,
08/17/2048
90‌
101‌
6.45%,
09/15/2037
164‌
224‌
Bristol-Myers
Squibb
Co
2.55%,
05/14/2021
(e)
500‌
504‌
2.60%,
05/16/2022
(e)
500‌
506‌
2.90%,
07/26/2024
(e)
610‌
624‌
3.25%,
08/01/2042
300‌
281‌
3.40%,
07/26/2029
(e)
540‌
565‌
4.13%,
06/15/2039
(e)
230‌
248‌
4.25%,
10/26/2049
(e)
430‌
475‌
Cardinal
Health
Inc
2.62%,
06/15/2022
250‌
252‌
3.08%,
06/15/2024
50‌
50‌
3.20%,
03/15/2023
200‌
203‌
3.41%,
06/15/2027
200‌
200‌
4.60%,
03/15/2043
100‌
95‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Pharmaceuticals
(continued)
Cigna
Corp
3.40%,
09/17/2021
(e)
$
400‌
$
408‌
4.13%,
11/15/2025
(e)
270‌
288‌
4.80%,
08/15/2038
(e)
400‌
431‌
4.90%,
12/15/2048
(e)
360‌
391‌
CVS
Health
Corp
2.13%,
06/01/2021
30‌
30‌
2.80%,
07/20/2020
530‌
531‌
3.50%,
07/20/2022
1,000‌
1,028‌
4.00%,
12/05/2023
70‌
73‌
4.13%,
05/15/2021
500‌
514‌
4.30%,
03/25/2028
500‌
527‌
4.78%,
03/25/2038
1,010‌
1,054‌
5.05%,
03/25/2048
980‌
1,044‌
5.13%,
07/20/2045
370‌
395‌
5.30%,
12/05/2043
25‌
27‌
Eli
Lilly
&
Co
2.75%,
06/01/2025
10‌
10‌
3.70%,
03/01/2045
510‌
531‌
3.95%,
03/15/2049
400‌
433‌
Express
Scripts
Holding
Co
3.05%,
11/30/2022
300‌
305‌
3.50%,
06/15/2024
515‌
530‌
3.90%,
02/15/2022
200‌
207‌
4.50%,
02/25/2026
30‌
32‌
4.75%,
11/15/2021
77‌
81‌
4.80%,
07/15/2046
25‌
27‌
6.13%,
11/15/2041
16‌
20‌
GlaxoSmithKline
Capital
Inc
3.88%,
05/15/2028
545‌
597‌
5.38%,
04/15/2034
500‌
632‌
GlaxoSmithKline
Capital
PLC
2.85%,
05/08/2022
143‌
145‌
Johnson
&
Johnson
2.25%,
03/03/2022
30‌
30‌
2.45%,
03/01/2026
30‌
30‌
2.95%,
09/01/2020
128‌
129‌
2.95%,
03/03/2027
5‌
5‌
3.50%,
01/15/2048
90‌
95‌
3.63%,
03/03/2037
20‌
21‌
3.70%,
03/01/2046
225‌
243‌
3.75%,
03/03/2047
30‌
33‌
4.95%,
05/15/2033
201‌
249‌
5.95%,
08/15/2037
775‌
1,080‌
McKesson
Corp
3.95%,
02/16/2028
75‌
78‌
4.75%,
03/01/2021
250‌
257‌
4.88%,
03/15/2044
150‌
160‌
Mead
Johnson
Nutrition
Co
4.60%,
06/01/2044
250‌
287‌
Merck
&
Co
Inc
2.35%,
02/10/2022
800‌
807‌
2.40%,
09/15/2022
130‌
131‌
2.75%,
02/10/2025
385‌
397‌
2.80%,
05/18/2023
230‌
236‌
3.60%,
09/15/2042
100‌
102‌
3.70%,
02/10/2045
10‌
11‌
3.88%,
01/15/2021
40‌
41‌
3.90%,
03/07/2039
115‌
125‌
4.00%,
03/07/2049
170‌
189‌
4.15%,
05/18/2043
200‌
222‌
Mylan
NV
3.75%,
12/15/2020
750‌
757‌
3.95%,
06/15/2026
295‌
285‌
5.25%,
06/15/2046
170‌
159‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
82
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Pharmaceuticals
(continued)
Novartis
Capital
Corp
3.00%,
11/20/2025
$
500‌
$
517‌
3.10%,
05/17/2027
20‌
21‌
4.40%,
05/06/2044
350‌
410‌
Pfizer
Inc
1.95%,
06/03/2021
30‌
30‌
2.20%,
12/15/2021
30‌
30‌
2.75%,
06/03/2026
35‌
35‌
3.00%,
06/15/2023
530‌
545‌
3.45%,
03/15/2029
210‌
222‌
4.00%,
03/15/2049
140‌
153‌
4.13%,
12/15/2046
525‌
581‌
4.20%,
09/15/2048
470‌
530‌
4.40%,
05/15/2044
30‌
34‌
5.60%,
09/15/2040
380‌
494‌
7.20%,
03/15/2039
176‌
268‌
Sanofi
3.38%,
06/19/2023
400‌
417‌
3.63%,
06/19/2028
400‌
430‌
Shire
Acquisitions
Investments
Ireland
DAC
2.40%,
09/23/2021
500‌
499‌
2.88%,
09/23/2023
35‌
35‌
3.20%,
09/23/2026
525‌
529‌
Wyeth
LLC
5.95%,
04/01/2037
91‌
121‌
6.50%,
02/01/2034
144‌
201‌
Zoetis
Inc
3.25%,
02/01/2023
100‌
102‌
3.45%,
11/13/2020
750‌
760‌
3.95%,
09/12/2047
5‌
5‌
$
33,588‌
Pipelines
-
0.97%
Andeavor
Logistics
LP
/
Tesoro
Logistics
Finance
Corp
4.25%,
12/01/2027
400‌
422‌
5.20%,
12/01/2047
200‌
212‌
Boardwalk
Pipelines
LP
3.38%,
02/01/2023
200‌
202‌
Buckeye
Partners
LP
4.88%,
02/01/2021
850‌
864‌
Columbia
Pipeline
Group
Inc
5.80%,
06/01/2045
250‌
293‌
Enable
Midstream
Partners
LP
5.00%,
05/15/2044
500‌
466‌
Enbridge
Energy
Partners
LP
7.38%,
10/15/2045
100‌
147‌
Enbridge
Inc
4.25%,
12/01/2026
750‌
815‌
5.50%,
12/01/2046
30‌
37‌
Energy
Transfer
Operating
LP
3.60%,
02/01/2023
15‌
15‌
4.75%,
01/15/2026
50‌
54‌
4.90%,
03/15/2035
300‌
302‌
5.20%,
02/01/2022
102‌
108‌
5.25%,
04/15/2029
400‌
447‌
5.30%,
04/15/2047
15‌
16‌
5.95%,
10/01/2043
350‌
385‌
6.13%,
12/15/2045
525‌
595‌
6.25%,
04/15/2049
500‌
592‌
6.50%,
02/01/2042
102‌
120‌
Enterprise
Products
Operating
LLC
2.80%,
02/15/2021
95‌
96‌
3.35%,
03/15/2023
300‌
308‌
3.70%,
02/15/2026
525‌
556‌
3.75%,
02/15/2025
500‌
529‌
3.90%,
02/15/2024
250‌
265‌
4.25%,
02/15/2048
155‌
160‌
4.85%,
08/15/2042
300‌
328‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Pipelines
(continued)
Enterprise
Products
Operating
LLC  
(continued)
4.85%,
03/15/2044
$
430‌
$
476‌
4.90%,
05/15/2046
400‌
449‌
5.20%,
09/01/2020
77‌
79‌
6.13%,
10/15/2039
123‌
152‌
6.45%,
09/01/2040
177‌
227‌
6.88%,
03/01/2033
15‌
20‌
EQM
Midstream
Partners
LP
4.75%,
07/15/2023
300‌
312‌
Kinder
Morgan
Energy
Partners
LP
3.50%,
03/01/2021
750‌
762‌
3.50%,
09/01/2023
200‌
206‌
4.15%,
03/01/2022
300‌
313‌
4.70%,
11/01/2042
200‌
203‌
5.00%,
03/01/2043
100‌
105‌
5.40%,
09/01/2044
400‌
443‌
6.38%,
03/01/2041
128‌
155‌
6.50%,
09/01/2039
112‌
138‌
6.95%,
01/15/2038
112‌
144‌
7.40%,
03/15/2031
177‌
228‌
Kinder
Morgan
Inc
/DE
3.15%,
01/15/2023
500‌
509‌
4.30%,
06/01/2025
55‌
59‌
5.05%,
02/15/2046
15‌
16‌
5.55%,
06/01/2045
50‌
58‌
Magellan
Midstream
Partners
LP
4.85%,
02/01/2049
400‌
447‌
MPLX
LP
3.38%,
03/15/2023
60‌
61‌
4.13%,
03/01/2027
425‌
445‌
4.50%,
07/15/2023
30‌
32‌
4.50%,
04/15/2038
220‌
222‌
4.70%,
04/15/2048
185‌
189‌
4.88%,
12/01/2024
30‌
33‌
4.90%,
04/15/2058
60‌
61‌
5.20%,
03/01/2047
330‌
355‌
5.50%,
02/15/2049
170‌
193‌
ONEOK
Inc
4.00%,
07/13/2027
300‌
312‌
4.25%,
02/01/2022
300‌
310‌
4.95%,
07/13/2047
300‌
316‌
ONEOK
Partners
LP
5.00%,
09/15/2023
250‌
270‌
6.13%,
02/01/2041
128‌
151‌
Plains
All
American
Pipeline
LP
/
PAA
Finance
Corp
2.85%,
01/31/2023
200‌
199‌
3.65%,
06/01/2022
128‌
131‌
4.30%,
01/31/2043
200‌
180‌
4.50%,
12/15/2026
520‌
553‌
4.65%,
10/15/2025
15‌
16‌
Sabine
Pass
Liquefaction
LLC
5.00%,
03/15/2027
360‌
395‌
5.63%,
03/01/2025
40‌
45‌
5.75%,
05/15/2024
300‌
334‌
5.88%,
06/30/2026
345‌
394‌
6.25%,
03/15/2022
100‌
108‌
Southern
Natural
Gas
Co
LLC
/
Southern
Natural
Issuing
Corp
4.40%,
06/15/2021
51‌
53‌
Spectra
Energy
Partners
LP
5.95%,
09/25/2043
200‌
249‌
Sunoco
Logistics
Partners
Operations
LP
3.45%,
01/15/2023
200‌
203‌
4.95%,
01/15/2043
200‌
194‌
5.35%,
05/15/2045
15‌
16‌
Texas
Eastern
Transmission
LP
7.00%,
07/15/2032
100‌
131‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
83
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Pipelines
(continued)
TransCanada
PipeLines
Ltd
3.80%,
10/01/2020
$
128‌
$
130‌
4.25%,
05/15/2028
300‌
324‌
4.75%,
05/15/2038
300‌
329‌
4.88%,
05/15/2048
420‌
469‌
5.60%,
03/31/2034
300‌
349‌
6.10%,
06/01/2040
25‌
31‌
7.25%,
08/15/2038
51‌
71‌
Western
Midstream
Operating
LP
5.50%,
08/15/2048
300‌
285‌
Williams
Cos
Inc
/The
3.35%,
08/15/2022
15‌
15‌
3.75%,
06/15/2027
400‌
413‌
3.90%,
01/15/2025
350‌
367‌
4.00%,
09/15/2025
595‌
630‌
5.10%,
09/15/2045
180‌
194‌
6.30%,
04/15/2040
343‌
417‌
$
24,010‌
Private
Equity
-
0.01%
Brookfield
Asset
Management
Inc
4.00%,
01/15/2025
300‌
313‌
Regional
Authority
-
0.16%
Province
of
Alberta
Canada
3.30%,
03/15/2028
150‌
161‌
Province
of
British
Columbia
Canada
2.65%,
09/22/2021
77‌
78‌
6.50%,
01/15/2026
18‌
22‌
Province
of
Manitoba
Canada
3.05%,
05/14/2024
500‌
523‌
Province
of
Ontario
Canada
2.40%,
02/08/2022
500‌
506‌
2.50%,
09/10/2021
500‌
506‌
3.20%,
05/16/2024
750‌
790‌
3.40%,
10/17/2023
305‌
322‌
Province
of
Quebec
Canada
2.75%,
08/25/2021
231‌
235‌
3.50%,
07/29/2020
750‌
762‌
7.50%,
09/15/2029
64‌
93‌
Province
of
Saskatchewan
Canada
8.50%,
07/15/2022
6‌
7‌
$
4,005‌
REITs
-
0.74%
Alexandria
Real
Estate
Equities
Inc
4.00%,
01/15/2024
250‌
264‌
American
Campus
Communities
Operating
Partnership
LP
3.63%,
11/15/2027
300‌
306‌
American
Homes
4
Rent
LP
4.25%,
02/15/2028
60‌
62‌
American
Tower
Corp
3.38%,
10/15/2026
500‌
509‌
3.50%,
01/31/2023
530‌
547‌
3.55%,
07/15/2027
20‌
20‌
4.70%,
03/15/2022
278‌
294‌
AvalonBay
Communities
Inc
2.95%,
09/15/2022
100‌
102‌
3.63%,
10/01/2020
100‌
101‌
4.20%,
12/15/2023
400‌
429‌
Boston
Properties
LP
2.75%,
10/01/2026
550‌
541‌
3.85%,
02/01/2023
200‌
209‌
4.13%,
05/15/2021
77‌
79‌
5.63%,
11/15/2020
25‌
26‌
Brixmor
Operating
Partnership
LP
3.85%,
02/01/2025
300‌
309‌
CC
Holdings
GS
V
LLC
/
Crown
Castle
GS
III
Corp
3.85%,
04/15/2023
20‌
21‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
REITs
(continued)
Crown
Castle
International
Corp
3.20%,
09/01/2024
$
400‌
$
409‌
3.70%,
06/15/2026
765‌
795‌
5.25%,
01/15/2023
30‌
33‌
Digital
Realty
Trust
LP
4.45%,
07/15/2028
250‌
271‌
Duke
Realty
LP
3.88%,
10/15/2022
100‌
104‌
4.00%,
09/15/2028
400‌
428‌
ERP
Operating
LP
3.50%,
03/01/2028
60‌
63‌
4.63%,
12/15/2021
500‌
526‌
4.75%,
07/15/2020
51‌
52‌
Essex
Portfolio
LP
4.00%,
03/01/2029
300‌
320‌
4.50%,
03/15/2048
300‌
324‌
Federal
Realty
Investment
Trust
4.50%,
12/01/2044
250‌
277‌
GLP
Capital
LP
/
GLP
Financing
II
Inc
5.38%,
04/15/2026
300‌
324‌
HCP
Inc
3.40%,
02/01/2025
300‌
307‌
4.20%,
03/01/2024
250‌
265‌
6.75%,
02/01/2041
300‌
401‌
Highwoods
Realty
LP
3.20%,
06/15/2021
350‌
353‌
Hospitality
Properties
Trust
5.00%,
08/15/2022
100‌
105‌
Host
Hotels
&
Resorts
LP
6.00%,
10/01/2021
200‌
212‌
Kimco
Realty
Corp
3.13%,
06/01/2023
200‌
203‌
3.20%,
05/01/2021
250‌
253‌
4.13%,
12/01/2046
300‌
298‌
Liberty
Property
LP
3.38%,
06/15/2023
300‌
308‌
Mid-America
Apartments
LP
4.00%,
11/15/2025
500‌
529‌
National
Retail
Properties
Inc
4.30%,
10/15/2028
400‌
432‌
4.80%,
10/15/2048
200‌
225‌
Office
Properties
Income
Trust
4.00%,
07/15/2022
400‌
404‌
Omega
Healthcare
Investors
Inc
4.50%,
01/15/2025
300‌
313‌
4.95%,
04/01/2024
750‌
794‌
Prologis
LP
3.88%,
09/15/2028
250‌
271‌
Realty
Income
Corp
4.65%,
08/01/2023
250‌
270‌
Simon
Property
Group
LP
3.25%,
11/30/2026
500‌
517‌
3.38%,
10/01/2024
300‌
313‌
3.75%,
02/01/2024
500‌
527‌
4.13%,
12/01/2021
200‌
208‌
4.25%,
11/30/2046
130‌
144‌
6.75%,
02/01/2040
25‌
36‌
SL
Green
Operating
Partnership
LP
3.25%,
10/15/2022
300‌
304‌
UDR
Inc
4.00%,
10/01/2025
200‌
213‌
Ventas
Realty
LP
3.50%,
04/15/2024
300‌
311‌
4.00%,
03/01/2028
80‌
84‌
5.70%,
09/30/2043
300‌
358‌
Ventas
Realty
LP
/
Ventas
Capital
Corp
4.25%,
03/01/2022
128‌
134‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
84
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
REITs
(continued)
Weingarten
Realty
Investors
3.38%,
10/15/2022
$
180‌
$
183‌
Welltower
Inc
3.63%,
03/15/2024
300‌
312‌
3.75%,
03/15/2023
200‌
208‌
4.13%,
03/15/2029
300‌
318‌
Weyerhaeuser
Co
4.70%,
03/15/2021
51‌
53‌
7.38%,
03/15/2032
300‌
419‌
$
18,330‌
Retail
-
0.75%
AutoZone
Inc
3.75%,
06/01/2027
250‌
261‌
4.00%,
11/15/2020
251‌
256‌
Costco
Wholesale
Corp
2.15%,
05/18/2021
35‌
35‌
2.30%,
05/18/2022
310‌
312‌
2.75%,
05/18/2024
50‌
51‌
3.00%,
05/18/2027
150‌
155‌
Dollar
General
Corp
4.15%,
11/01/2025
500‌
535‌
Dollar
Tree
Inc
4.20%,
05/15/2028
185‌
192‌
Home
Depot
Inc
/The
2.13%,
09/15/2026
250‌
245‌
2.63%,
06/01/2022
30‌
30‌
2.70%,
04/01/2023
30‌
31‌
3.50%,
09/15/2056
305‌
301‌
3.75%,
02/15/2024
380‌
406‌
3.90%,
06/15/2047
30‌
32‌
4.20%,
04/01/2043
20‌
22‌
4.25%,
04/01/2046
15‌
17‌
4.40%,
03/15/2045
20‌
23‌
5.88%,
12/16/2036
987‌
1,310‌
5.95%,
04/01/2041
351‌
476‌
Kohl's
Corp
5.55%,
07/17/2045
250‌
250‌
Lowe's
Cos
Inc
3.10%,
05/03/2027
530‌
538‌
3.12%,
04/15/2022
30‌
31‌
3.65%,
04/05/2029
465‌
485‌
3.70%,
04/15/2046
40‌
38‌
3.80%,
11/15/2021
102‌
105‌
4.05%,
05/03/2047
30‌
30‌
4.38%,
09/15/2045
500‌
521‌
Macy's
Retail
Holdings
Inc
2.88%,
02/15/2023
305‌
299‌
3.45%,
01/15/2021
500‌
502‌
McDonald's
Corp
2.75%,
12/09/2020
20‌
20‌
3.38%,
05/26/2025
500‌
523‌
3.50%,
07/15/2020
151‌
153‌
3.70%,
02/15/2042
128‌
125‌
4.70%,
12/09/2035
25‌
28‌
4.88%,
07/15/2040
9‌
10‌
4.88%,
12/09/2045
250‌
287‌
6.30%,
10/15/2037
262‌
342‌
O'Reilly
Automotive
Inc
3.85%,
06/15/2023
300‌
314‌
4.35%,
06/01/2028
300‌
324‌
QVC
Inc
4.38%,
03/15/2023
250‌
254‌
Starbucks
Corp
3.55%,
08/15/2029
500‌
523‌
3.85%,
10/01/2023
530‌
559‌
4.45%,
08/15/2049
300‌
328‌
4.50%,
11/15/2048
200‌
220‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Retail
(continued)
Target
Corp
2.50%,
04/15/2026
$
500‌
$
503‌
2.90%,
01/15/2022
25‌
26‌
3.50%,
07/01/2024
30‌
32‌
3.63%,
04/15/2046
35‌
36‌
TJX
Cos
Inc
/The
2.50%,
05/15/2023
500‌
506‌
Walgreens
Boots
Alliance
Inc
3.45%,
06/01/2026
420‌
424‌
3.80%,
11/18/2024
300‌
312‌
4.80%,
11/18/2044
355‌
357‌
Walmart
Inc
2.35%,
12/15/2022
500‌
506‌
2.85%,
07/08/2024
575‌
594‌
3.05%,
07/08/2026
500‌
524‌
3.25%,
10/25/2020
71‌
72‌
3.25%,
07/08/2029
490‌
517‌
3.40%,
06/26/2023
530‌
557‌
3.63%,
07/08/2020
81‌
82‌
3.63%,
12/15/2047
120‌
128‌
3.70%,
06/26/2028
390‌
426‌
3.95%,
06/28/2038
185‌
206‌
5.63%,
04/01/2040
38‌
50‌
5.63%,
04/15/2041
280‌
374‌
7.55%,
02/15/2030
628‌
890‌
$
18,621‌
Semiconductors
-
0.44%
Analog
Devices
Inc
2.50%,
12/05/2021
750‌
752‌
2.95%,
01/12/2021
300‌
303‌
Applied
Materials
Inc
3.30%,
04/01/2027
35‌
36‌
3.90%,
10/01/2025
500‌
537‌
4.35%,
04/01/2047
40‌
45‌
5.10%,
10/01/2035
250‌
303‌
Broadcom
Corp
/
Broadcom
Cayman
Finance
Ltd
3.00%,
01/15/2022
550‌
551‌
3.63%,
01/15/2024
75‌
76‌
3.88%,
01/15/2027
660‌
647‌
Broadcom
Inc
3.63%,
10/15/2024
(e)
350‌
352‌
4.25%,
04/15/2026
(e)
500‌
507‌
4.75%,
04/15/2029
(e)
730‌
750‌
Intel
Corp
2.35%,
05/11/2022
5‌
5‌
2.45%,
07/29/2020
500‌
501‌
2.60%,
05/19/2026
530‌
534‌
2.70%,
12/15/2022
25‌
25‌
3.15%,
05/11/2027
540‌
562‌
3.30%,
10/01/2021
207‌
213‌
3.73%,
12/08/2047
240‌
251‌
4.00%,
12/15/2032
200‌
225‌
4.25%,
12/15/2042
200‌
221‌
4.80%,
10/01/2041
77‌
91‌
4.90%,
07/29/2045
25‌
30‌
KLA-Tencor
Corp
4.65%,
11/01/2024
500‌
548‌
Marvell
Technology
Group
Ltd
4.88%,
06/22/2028
300‌
318‌
NVIDIA
Corp
2.20%,
09/16/2021
500‌
499‌
QUALCOMM
Inc
2.60%,
01/30/2023
360‌
361‌
2.90%,
05/20/2024
20‌
20‌
3.00%,
05/20/2022
30‌
31‌
3.25%,
05/20/2027
320‌
326‌
3.45%,
05/20/2025
300‌
311‌
4.65%,
05/20/2035
115‌
128‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
85
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Semiconductors
(continued)
QUALCOMM
Inc  
(continued)
4.80%,
05/20/2045
$
175‌
$
196‌
Texas
Instruments
Inc
2.75%,
03/12/2021
400‌
405‌
4.15%,
05/15/2048
205‌
233‌
$
10,893‌
Software
-
0.64%
CA
Inc
3.60%,
08/15/2022
300‌
305‌
Fidelity
National
Information
Services
Inc
3.00%,
08/15/2026
40‌
41‌
3.50%,
04/15/2023
30‌
31‌
3.63%,
10/15/2020
340‌
345‌
3.75%,
05/21/2029
400‌
425‌
4.75%,
05/15/2048
300‌
335‌
5.00%,
10/15/2025
242‌
272‌
Fiserv
Inc
3.50%,
10/01/2022
600‌
618‌
3.80%,
10/01/2023
400‌
421‌
Microsoft
Corp
1.55%,
08/08/2021
670‌
664‌
2.00%,
11/03/2020
210‌
210‌
2.38%,
02/12/2022
380‌
384‌
2.38%,
05/01/2023
25‌
25‌
2.40%,
02/06/2022
690‌
697‌
2.40%,
08/08/2026
55‌
55‌
2.65%,
11/03/2022
55‌
56‌
2.70%,
02/12/2025
30‌
31‌
2.88%,
02/06/2024
40‌
41‌
3.00%,
10/01/2020
600‌
607‌
3.13%,
11/03/2025
700‌
737‌
3.30%,
02/06/2027
920‌
978‌
3.45%,
08/08/2036
750‌
794‌
3.63%,
12/15/2023
30‌
32‌
3.70%,
08/08/2046
45‌
49‌
4.00%,
02/12/2055
850‌
956‌
4.10%,
02/06/2037
180‌
205‌
4.20%,
11/03/2035
430‌
493‌
4.25%,
02/06/2047
50‌
59‌
4.50%,
02/06/2057
625‌
765‌
5.30%,
02/08/2041
77‌
101‌
Oracle
Corp
2.40%,
09/15/2023
30‌
30‌
2.50%,
05/15/2022
30‌
30‌
2.50%,
10/15/2022
1,570‌
1,581‌
2.63%,
02/15/2023
390‌
396‌
2.80%,
07/08/2021
80‌
81‌
3.80%,
11/15/2037
250‌
265‌
3.88%,
07/15/2020
77‌
78‌
4.00%,
07/15/2046
780‌
836‌
4.30%,
07/08/2034
1,015‌
1,155‌
4.38%,
05/15/2055
610‌
676‌
$
15,860‌
Sovereign
-
1.30%
Chile
Government
International
Bond
3.13%,
03/27/2025
250‌
260‌
3.25%,
09/14/2021
180‌
184‌
3.88%,
08/05/2020
500‌
510‌
Colombia
Government
International
Bond
2.63%,
03/15/2023
500‌
498‌
4.38%,
07/12/2021
100‌
104‌
4.50%,
01/28/2026
200‌
216‌
5.63%,
02/26/2044
1,000‌
1,182‌
6.13%,
01/18/2041
200‌
248‌
8.13%,
05/21/2024
201‌
247‌
10.38%,
01/28/2033
100‌
157‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Sovereign
(continued)
Export-Import
Bank
of
Korea
3.00%,
11/01/2022
$
500‌
$
510‌
3.25%,
11/10/2025
500‌
521‌
3.25%,
08/12/2026
500‌
514‌
5.00%,
04/11/2022
200‌
214‌
Hungary
Government
International
Bond
7.63%,
03/29/2041
500‌
802‌
Indonesia
Government
International
Bond
3.50%,
01/11/2028
200‌
201‌
4.35%,
01/11/2048
500‌
516‌
Israel
Government
AID
Bond
5.50%,
09/18/2023
25‌
29‌
5.50%,
04/26/2024
125‌
145‌
5.50%,
09/18/2033
12‌
16‌
Israel
Government
International
Bond
3.25%,
01/17/2028
300‌
316‌
4.00%,
06/30/2022
500‌
525‌
4.13%,
01/17/2048
300‌
328‌
Japan
Bank
for
International
Cooperation
2.13%,
06/01/2020
500‌
500‌
2.38%,
04/20/2026
300‌
302‌
2.50%,
06/01/2022
500‌
507‌
3.00%,
05/29/2024
1,000‌
1,040‌
3.38%,
07/31/2023
1,000‌
1,050‌
Korea
International
Bond
3.88%,
09/11/2023
250‌
268‌
Mexico
Government
International
Bond
3.50%,
01/21/2021
1,000‌
1,015‌
3.60%,
01/30/2025
210‌
215‌
3.63%,
03/15/2022
300‌
307‌
3.75%,
01/11/2028
500‌
509‌
4.60%,
01/23/2046
670‌
685‌
4.60%,
02/10/2048
700‌
721‌
4.75%,
03/08/2044
506‌
528‌
5.55%,
01/21/2045
300‌
350‌
6.05%,
01/11/2040
464‌
554‌
8.30%,
08/15/2031
738‌
1,041‌
Panama
Government
International
Bond
3.88%,
03/17/2028
500‌
534‌
4.50%,
04/16/2050
200‌
224‌
6.70%,
01/26/2036
224‌
305‌
8.88%,
09/30/2027
77‌
109‌
Peruvian
Government
International
Bond
5.63%,
11/18/2050
528‌
727‌
6.55%,
03/14/2037
126‌
178‌
7.35%,
07/21/2025
180‌
230‌
8.75%,
11/21/2033
192‌
310‌
Philippine
Government
International
Bond
3.00%,
02/01/2028
300‌
308‌
3.70%,
02/02/2042
230‌
250‌
3.95%,
01/20/2040
300‌
334‌
5.00%,
01/13/2037
300‌
374‌
6.38%,
10/23/2034
210‌
293‌
9.50%,
02/02/2030
400‌
639‌
10.63%,
03/16/2025
400‌
573‌
Republic
of
Italy
Government
International
Bond
5.38%,
06/15/2033
64‌
70‌
6.88%,
09/27/2023
712‌
805‌
Republic
of
Poland
Government
International
Bond
4.00%,
01/22/2024
1,000‌
1,076‌
5.00%,
03/23/2022
528‌
567‌
5.13%,
04/21/2021
51‌
54‌
Svensk
Exportkredit
AB
2.38%,
03/09/2022
500‌
506‌
2.88%,
05/22/2021
800‌
814‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
86
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Sovereign
(continued)
Tennessee
Valley
Authority
2.88%,
02/01/2027
$
250‌
$
261‌
3.50%,
12/15/2042
400‌
429‌
3.88%,
02/15/2021
500‌
516‌
4.25%,
09/15/2065
200‌
252‌
5.25%,
09/15/2039
251‌
335‌
5.38%,
04/01/2056
154‌
226‌
6.75%,
11/01/2025
102‌
130‌
Uruguay
Government
International
Bond
4.13%,
11/20/2045
100‌
102‌
4.38%,
10/27/2027
940‌
1,015‌
4.98%,
04/20/2055
210‌
232‌
5.10%,
06/18/2050
500‌
562‌
8.00%,
11/18/2022
1,015‌
1,146‌
$
32,321‌
Supranational
Bank
-
1.39%
African
Development
Bank
2.38%,
09/23/2021
400‌
405‌
Asian
Development
Bank
1.75%,
06/08/2021
500‌
499‌
1.75%,
09/13/2022
465‌
464‌
1.75%,
08/14/2026
500‌
492‌
1.88%,
02/18/2022
1,250‌
1,252‌
2.13%,
11/24/2021
750‌
755‌
2.13%,
03/19/2025
300‌
304‌
2.25%,
01/20/2021
500‌
502‌
2.63%,
01/30/2024
1,000‌
1,034‌
2.75%,
03/17/2023
400‌
413‌
2.75%,
01/19/2028
300‌
315‌
5.82%,
06/16/2028
15‌
19‌
6.38%,
10/01/2028
51‌
68‌
Asian
Infrastructure
Investment
Bank/The
2.25%,
05/16/2024
500‌
509‌
Corp
Andina
de
Fomento
2.20%,
07/18/2020
1,000‌
995‌
3.25%,
02/11/2022
900‌
916‌
4.38%,
06/15/2022
22‌
23‌
European
Bank
for
Reconstruction
&
Development
1.13%,
08/24/2020
500‌
495‌
1.88%,
02/23/2022
250‌
250‌
European
Investment
Bank
1.38%,
09/15/2021
1,350‌
1,337‌
2.00%,
03/15/2021
1,775‌
1,778‌
2.25%,
03/15/2022
400‌
405‌
2.25%,
08/15/2022
1,000‌
1,013‌
2.25%,
06/24/2024
500‌
509‌
2.38%,
05/24/2027
300‌
309‌
2.50%,
04/15/2021
1,500‌
1,517‌
2.50%,
03/15/2023
600‌
615‌
2.63%,
05/20/2022
900‌
920‌
2.63%,
03/15/2024
1,000‌
1,035‌
3.25%,
01/29/2024
1,000‌
1,061‌
4.88%,
02/15/2036
25‌
33‌
FMS
Wertmanagement
2.75%,
01/30/2024
500‌
519‌
Inter-American
Development
Bank
1.75%,
04/14/2022
1,000‌
998‌
1.88%,
03/15/2021
500‌
500‌
2.13%,
11/09/2020
250‌
251‌
2.13%,
01/18/2022
340‌
343‌
2.38%,
07/07/2027
500‌
512‌
2.50%,
01/18/2023
450‌
461‌
3.00%,
02/21/2024
250‌
263‌
3.13%,
09/18/2028
500‌
543‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Supranational
Bank
(continued)
International
Bank
for
Reconstruction
&
Development
1.38%,
05/24/2021
$
345‌
$
342‌
1.38%,
09/20/2021
500‌
495‌
1.63%,
02/10/2022
1,000‌
996‌
2.13%,
11/01/2020
750‌
752‌
2.25%,
06/24/2021
500‌
504‌
2.50%,
11/25/2024
500‌
516‌
2.50%,
07/29/2025
1,700‌
1,754‌
2.50%,
11/22/2027
1,500‌
1,552‌
7.63%,
01/19/2023
12‌
14‌
International
Finance
Corp
1.13%,
07/20/2021
1,500‌
1,478‌
2.25%,
01/25/2021
500‌
503‌
Nordic
Investment
Bank
2.25%,
02/01/2021
500‌
503‌
2.25%,
05/21/2024
500‌
509‌
$
34,550‌
Telecommunications
-
1.27%
America
Movil
SAB
de
CV
3.13%,
07/16/2022
600‌
613‌
6.13%,
03/30/2040
102‌
133‌
6.38%,
03/01/2035
200‌
260‌
AT&T
Inc
2.45%,
06/30/2020
600‌
600‌
2.63%,
12/01/2022
630‌
634‌
2.95%,
07/15/2026
20‌
20‌
3.00%,
06/30/2022
200‌
204‌
3.40%,
05/15/2025
200‌
206‌
3.60%,
07/15/2025
500‌
519‌
3.80%,
03/01/2024
25‌
26‌
3.80%,
02/15/2027
40‌
42‌
4.00%,
01/15/2022
180‌
187‌
4.05%,
12/15/2023
500‌
530‌
4.10%,
02/15/2028
81‌
86‌
4.13%,
02/17/2026
30‌
32‌
4.25%,
03/01/2027
530‌
568‌
4.30%,
02/15/2030
1,101‌
1,178‌
4.30%,
12/15/2042
221‌
219‌
4.35%,
03/01/2029
500‌
539‌
4.35%,
06/15/2045
1,005‌
1,005‌
4.50%,
05/15/2035
1,225‌
1,282‌
4.50%,
03/09/2048
572‌
585‌
4.55%,
03/09/2049
247‌
252‌
4.60%,
02/15/2021
171‌
176‌
4.65%,
06/01/2044
500‌
516‌
4.75%,
05/15/2046
230‌
243‌
4.85%,
07/15/2045
60‌
64‌
5.15%,
03/15/2042
30‌
33‌
5.15%,
11/15/2046
20‌
22‌
5.35%,
09/01/2040
30‌
34‌
5.38%,
10/15/2041
128‌
142‌
5.45%,
03/01/2047
30‌
34‌
5.65%,
02/15/2047
15‌
18‌
5.70%,
03/01/2057
530‌
624‌
6.00%,
08/15/2040
663‌
788‌
British
Telecommunications
PLC
9.62%,
12/15/2030
577‌
870‌
Cisco
Systems
Inc
1.85%,
09/20/2021
350‌
348‌
2.20%,
09/20/2023
30‌
30‌
2.50%,
09/20/2026
30‌
30‌
2.95%,
02/28/2026
500‌
515‌
3.63%,
03/04/2024
30‌
32‌
5.90%,
02/15/2039
680‌
929‌
Corning
Inc
4.38%,
11/15/2057
300‌
292‌
4.75%,
03/15/2042
102‌
112‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
87
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Telecommunications
(continued)
Deutsche
Telekom
International
Finance
BV
8.75%,
06/15/2030
$
641‌
$
923‌
Juniper
Networks
Inc
4.60%,
03/15/2021
500‌
517‌
Motorola
Solutions
Inc
4.00%,
09/01/2024
500‌
521‌
Orange
SA
4.13%,
09/14/2021
128‌
133‌
5.38%,
01/13/2042
102‌
123‌
Rogers
Communications
Inc
3.00%,
03/15/2023
400‌
408‌
4.30%,
02/15/2048
95‌
101‌
5.00%,
03/15/2044
500‌
577‌
Telefonica
Emisiones
SA
5.21%,
03/08/2047
530‌
584‌
7.05%,
06/20/2036
295‌
386‌
TELUS
Corp
4.60%,
11/16/2048
300‌
330‌
Verizon
Communications
Inc
2.63%,
08/15/2026
25‌
25‌
2.95%,
03/15/2022
746‌
762‌
3.13%,
03/16/2022
260‌
266‌
3.38%,
02/15/2025
40‌
42‌
3.85%,
11/01/2042
25‌
26‌
3.88%,
02/08/2029
400‌
429‌
4.02%,
12/03/2029
(e)
1,274‌
1,379‌
4.13%,
03/16/2027
500‌
544‌
4.33%,
09/21/2028
500‌
554‌
4.40%,
11/01/2034
750‌
831‌
4.50%,
08/10/2033
360‌
406‌
4.81%,
03/15/2039
25‌
29‌
4.86%,
08/21/2046
2,140‌
2,492‌
5.01%,
04/15/2049
540‌
643‌
5.01%,
08/21/2054
50‌
60‌
5.15%,
09/15/2023
615‌
687‌
5.50%,
03/16/2047
25‌
31‌
Vodafone
Group
PLC
4.38%,
05/30/2028
560‌
605‌
5.00%,
05/30/2038
250‌
272‌
5.25%,
05/30/2048
400‌
442‌
6.15%,
02/27/2037
201‌
244‌
6.25%,
11/30/2032
500‌
617‌
$
31,561‌
Toys,
Games
&
Hobbies
-
0.01%
Hasbro
Inc
3.15%,
05/15/2021
250‌
252‌
6.35%,
03/15/2040
25‌
30‌
$
282‌
Transportation
-
0.57%
Burlington
Northern
Santa
Fe
LLC
3.00%,
04/01/2025
500‌
515‌
4.13%,
06/15/2047
30‌
33‌
4.15%,
04/01/2045
500‌
559‌
4.45%,
03/15/2043
20‌
23‌
4.55%,
09/01/2044
15‌
17‌
5.15%,
09/01/2043
350‌
435‌
6.20%,
08/15/2036
500‌
668‌
Canadian
National
Railway
Co
3.20%,
08/02/2046
400‌
391‌
3.65%,
02/03/2048
75‌
79‌
Canadian
Pacific
Railway
Co
4.00%,
06/01/2028
300‌
327‌
4.45%,
03/15/2023
128‌
137‌
4.80%,
09/15/2035
500‌
567‌
CSX
Corp
2.60%,
11/01/2026
300‌
297‌
3.25%,
06/01/2027
40‌
41‌
3.35%,
11/01/2025
500‌
524‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Transportation
(continued)
CSX
Corp  
(continued)
3.70%,
11/01/2023
$
500‌
$
526‌
3.80%,
03/01/2028
100‌
108‌
3.80%,
11/01/2046
30‌
30‌
4.25%,
11/01/2066
400‌
412‌
4.30%,
03/01/2048
105‌
114‌
4.75%,
05/30/2042
277‌
315‌
FedEx
Corp
2.63%,
08/01/2022
100‌
101‌
3.25%,
04/01/2026
400‌
415‌
3.88%,
08/01/2042
100‌
94‌
4.40%,
01/15/2047
55‌
55‌
4.55%,
04/01/2046
400‌
409‌
4.75%,
11/15/2045
525‌
550‌
Kansas
City
Southern
4.70%,
05/01/2048
300‌
336‌
Norfolk
Southern
Corp
3.25%,
12/01/2021
251‌
256‌
3.85%,
01/15/2024
200‌
211‌
3.94%,
11/01/2047
398‌
414‌
4.84%,
10/01/2041
100‌
116‌
Union
Pacific
Corp
3.15%,
03/01/2024
400‌
412‌
3.70%,
03/01/2029
900‌
968‌
3.80%,
10/01/2051
577‌
580‌
3.95%,
09/10/2028
210‌
230‌
4.15%,
01/15/2045
350‌
370‌
4.16%,
07/15/2022
256‌
269‌
4.80%,
09/10/2058
225‌
262‌
United
Parcel
Service
Inc
2.45%,
10/01/2022
10‌
10‌
3.05%,
11/15/2027
500‌
517‌
3.13%,
01/15/2021
1,128‌
1,145‌
3.75%,
11/15/2047
140‌
141‌
4.88%,
11/15/2040
25‌
29‌
6.20%,
01/15/2038
23‌
31‌
$
14,039‌
Trucking
&
Leasing
-
0.01%
GATX
Corp
4.55%,
11/07/2028
300‌
322‌
Water
-
0.01%
American
Water
Capital
Corp
3.75%,
09/01/2047
180‌
182‌
6.59%,
10/15/2037
5‌
7‌
$
189‌
TOTAL
BONDS
$
796,050‌
MUNICIPAL
BONDS
-
0.78%
Principal
Amount
(000's)
Value
(000's)
California
-
0.23%
Bay
Area
Toll
Authority
6.26%,
04/01/2049
$
300‌
$
450‌
6.92%,
04/01/2040
120‌
173‌
East
Bay
Municipal
Utility
District
Water
System
Revenue
5.87%,
06/01/2040
60‌
82‌
Los
Angeles
Department
of
Water
&
Power
Power
System
Revenue
6.57%,
07/01/2045
150‌
228‌
Los
Angeles
Unified
School
District/CA
5.75%,
07/01/2034
80‌
102‌
5.76%,
07/01/2029
50‌
61‌
6.76%,
07/01/2034
530‌
727‌
Regents
of
the
University
of
California
Medical
Center
Pooled
Revenue
6.55%,
05/15/2048
250‌
359‌
San
Diego
County
Water
Authority
6.14%,
05/01/2049
260‌
369‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
88
MUNICIPAL
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
California
(continued)
Santa
Clara
Valley
Transportation
Authority
5.88%,
04/01/2032
$
25‌
$
31‌
State
of
California
3.50%,
04/01/2028
165‌
178‌
7.30%,
10/01/2039
375‌
563‌
7.35%,
11/01/2039
500‌
756‌
7.60%,
11/01/2040
180‌
292‌
7.63%,
03/01/2040
280‌
442‌
7.95%,
03/01/2036
500‌
519‌
University
of
California
5.77%,
05/15/2043
200‌
263‌
$
5,595‌
Connecticut
-
0.05%
State
of
Connecticut
5.85%,
03/15/2032
1,025‌
1,318‌
District
of
Columbia
-
0.02%
District
of
Columbia
Water
&
Sewer
Authority
4.81%,
10/01/2114
450‌
576‌
Florida
-
0.05%
State
Board
of
Administration
Finance
Corp
3.00%,
07/01/2020
1,305‌
1,313‌
Georgia
-
0.02%
Municipal
Electric
Authority
of
Georgia
6.64%,
04/01/2057
150‌
180‌
7.06%,
04/01/2057
199‌
252‌
$
432‌
Illinois
-
0.07%
Chicago
Transit
Authority
6.20%,
12/01/2040
70‌
91‌
6.90%,
12/01/2040
200‌
270‌
City
of
Chicago
IL
6.31%,
01/01/2044
250‌
270‌
County
of
Cook
IL
6.23%,
11/15/2034
102‌
136‌
State
of
Illinois
4.95%,
06/01/2023
26‌
28‌
5.10%,
06/01/2033
735‌
774‌
7.35%,
07/01/2035
70‌
83‌
$
1,652‌
Kansas
-
0.01%
State
of
Kansas
Department
of
Transportation
4.60%,
09/01/2035
115‌
134‌
Massachusetts
-
0.01%
Commonwealth
of
Massachusetts
4.20%,
12/01/2021
300‌
311‌
Nevada
-
0.01%
County
of
Clark
Department
of
Aviation
6.82%,
07/01/2045
25‌
39‌
6.88%,
07/01/2042
70‌
70‌
$
109‌
New
Jersey
-
0.07%
New
Jersey
Economic
Development
Authority
(credit
support
from
AGM
)
0.00%,
02/15/2023
(d),(g)
51‌
46‌
New
Jersey
Economic
Development
Authority
(credit
support
from
NATL
)
7.43%,
02/15/2029
(g)
700‌
884‌
New
Jersey
Transportation
Trust
Fund
Authority
5.75%,
12/15/2028
190‌
219‌
6.56%,
12/15/2040
210‌
284‌
New
Jersey
Turnpike
Authority
7.10%,
01/01/2041
147‌
221‌
Rutgers
The
State
University
of
New
Jersey
(credit
support
from
GO
OF
UNIV
)
5.67%,
05/01/2040
(g)
130‌
169‌
$
1,823‌
MUNICIPAL
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
New
York
-
0.09%
City
of
New
York
NY
5.52%,
10/01/2037
$
25‌
$
32‌
Metropolitan
Transportation
Authority
6.81%,
11/15/2040
135‌
190‌
New
York
City
Transitional
Finance
Authority
Future
Tax
Secured
Revenue
5.51%,
08/01/2037
250‌
320‌
New
York
City
Water
&
Sewer
System
5.72%,
06/15/2042
270‌
379‌
5.95%,
06/15/2042
125‌
175‌
New
York
State
Dormitory
Authority
5.60%,
03/15/2040
435‌
557‌
Port
Authority
of
New
York
&
New
Jersey
4.46%,
10/01/2062
100‌
120‌
4.96%,
08/01/2046
300‌
383‌
Port
Authority
of
New
York
&
New
Jersey
(credit
support
from
GO
OF
AUTH
)
6.04%,
12/01/2029
(g)
50‌
65‌
$
2,221‌
Ohio
-
0.01%
American
Municipal
Power
Inc
6.27%,
02/15/2050
69‌
93‌
Ohio
State
University/The
4.91%,
06/01/2040
125‌
155‌
$
248‌
Pennsylvania
-
0.02%
State
Public
School
Building
Authority
5.00%,
09/15/2027
500‌
574‌
Texas
-
0.09%
City
of
San
Antonio
TX
Electric
&
Gas
Systems
Revenue
5.81%,
02/01/2041
135‌
186‌
Dallas
Area
Rapid
Transit
5.02%,
12/01/2048
50‌
64‌
Dallas
Convention
Center
Hotel
Development
Corp
7.09%,
01/01/2042
70‌
97‌
Dallas
County
Hospital
District
5.62%,
08/15/2044
83‌
109‌
Dallas
Independent
School
District
(credit
support
from
PSF-GTD
)
6.45%,
02/15/2035
(g)
50‌
53‌
Grand
Parkway
Transportation
Corp
5.18%,
10/01/2042
300‌
378‌
State
of
Texas
4.68%,
04/01/2040
100‌
120‌
5.52%,
04/01/2039
405‌
538‌
Texas
Transportation
Commission
State
Highway
Fund
5.18%,
04/01/2030
625‌
755‌
$
2,300‌
Utah
-
0.01%
State
of
Utah
3.54%,
07/01/2025
300‌
314‌
Wisconsin
-
0.02%
State
of
Wisconsin
(credit
support
from
AGM
)
5.70%,
05/01/2026
(g)
370‌
423‌
TOTAL
MUNICIPAL
BONDS
$
19,343‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
-
61.10%
Principal
Amount
(000's)
Value
(000's)
Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
-
5.99%
2.00%,
09/01/2028
$
128‌
$
128‌
2.00%,
08/01/2029
487‌
486‌
2.00%,
10/01/2031
111‌
110‌
2.00%,
03/01/2032
209‌
207‌
2.50%,
08/01/2027
87‌
87‌
2.50%,
08/01/2027
89‌
89‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
89
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
(continued)
2.50%,
10/01/2027
$
172‌
$
174‌
2.50%,
03/01/2028
367‌
371‌
2.50%,
04/01/2028
75‌
76‌
2.50%,
04/01/2028
27‌
27‌
2.50%,
06/01/2028
89‌
90‌
2.50%,
06/01/2028
197‌
199‌
2.50%,
06/01/2028
98‌
99‌
2.50%,
06/01/2028
484‌
489‌
2.50%,
07/01/2028
327‌
330‌
2.50%,
10/01/2028
164‌
166‌
2.50%,
10/01/2028
186‌
188‌
2.50%,
10/01/2029
440‌
444‌
2.50%,
12/01/2029
534‌
538‌
2.50%,
09/01/2030
875‌
882‌
2.50%,
01/01/2031
78‌
78‌
2.50%,
01/01/2031
928‌
936‌
2.50%,
01/01/2031
131‌
132‌
2.50%,
02/01/2031
102‌
102‌
2.50%,
03/01/2031
302‌
305‌
2.50%,
12/01/2031
292‌
294‌
2.50%,
12/01/2031
330‌
333‌
2.50%,
01/01/2032
408‌
411‌
2.50%,
02/01/2032
364‌
367‌
2.50%,
03/01/2032
472‌
476‌
2.50%,
11/01/2032
34‌
34‌
2.50%,
11/01/2032
958‌
966‌
2.50%,
02/01/2033
272‌
274‌
2.50%,
03/01/2033
851‌
858‌
2.50%,
03/01/2033
152‌
154‌
2.50%,
04/01/2033
356‌
359‌
2.50%,
05/01/2033
178‌
179‌
2.50%,
06/01/2033
279‌
281‌
2.50%,
11/01/2036
198‌
199‌
2.50%,
02/01/2043
187‌
187‌
2.50%,
03/01/2043
144‌
144‌
2.50%,
07/01/2045
50‌
50‌
2.50%,
11/01/2046
36‌
36‌
2.50%,
01/01/2047
66‌
66‌
2.50%,
02/01/2047
39‌
39‌
3.00%,
04/01/2021
32‌
33‌
3.00%,
01/01/2026
51‌
52‌
3.00%,
01/01/2027
157‌
161‌
3.00%,
02/01/2027
143‌
146‌
3.00%,
02/01/2027
99‌
102‌
3.00%,
02/01/2027
63‌
64‌
3.00%,
03/01/2027
26‌
26‌
3.00%,
03/01/2027
123‌
126‌
3.00%,
05/01/2027
112‌
114‌
3.00%,
06/01/2027
99‌
101‌
3.00%,
09/01/2028
49‌
50‌
3.00%,
10/01/2028
372‌
380‌
3.00%,
07/01/2029
460‌
471‌
3.00%,
07/01/2029
267‌
274‌
3.00%,
08/01/2029
201‌
206‌
3.00%,
09/01/2029
76‌
78‌
3.00%,
10/01/2029
120‌
123‌
3.00%,
11/01/2029
111‌
113‌
3.00%,
11/01/2029
203‌
208‌
3.00%,
12/01/2029
42‌
43‌
3.00%,
07/01/2030
459‌
470‌
3.00%,
09/01/2030
611‌
625‌
3.00%,
11/01/2030
315‌
322‌
3.00%,
11/01/2030
104‌
106‌
3.00%,
11/01/2030
183‌
187‌
3.00%,
01/01/2031
221‌
226‌
3.00%,
02/01/2031
230‌
235‌
3.00%,
04/01/2031
258‌
264‌
3.00%,
02/01/2032
87‌
89‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
(continued)
3.00%,
05/01/2032
$
140‌
$
143‌
3.00%,
12/01/2032
822‌
839‌
3.00%,
12/01/2032
722‌
737‌
3.00%,
01/01/2033
1,188‌
1,213‌
3.00%,
02/01/2033
691‌
705‌
3.00%,
03/01/2033
413‌
422‌
3.00%,
04/01/2033
240‌
245‌
3.00%,
04/01/2033
226‌
230‌
3.00%,
06/01/2033
147‌
150‌
3.00%,
09/01/2033
211‌
215‌
3.00%,
09/01/2033
202‌
206‌
3.00%,
12/01/2033
91‌
93‌
3.00%,
12/01/2034
73‌
74‌
3.00%,
01/01/2035
50‌
51‌
3.00%,
02/01/2035
70‌
71‌
3.00%,
05/01/2035
611‌
621‌
3.00%,
02/01/2036
134‌
136‌
3.00%,
09/01/2036
106‌
109‌
3.00%,
02/01/2037
158‌
161‌
3.00%,
05/01/2037
234‌
238‌
3.00%,
06/01/2037
258‌
263‌
3.00%,
07/01/2037
420‌
428‌
3.00%,
09/01/2037
84‌
86‌
3.00%,
01/01/2043
359‌
365‌
3.00%,
01/01/2043
216‌
220‌
3.00%,
01/01/2043
506‌
515‌
3.00%,
02/01/2043
1,365‌
1,389‌
3.00%,
03/01/2043
898‌
914‌
3.00%,
04/01/2043
321‌
327‌
3.00%,
05/01/2043
330‌
336‌
3.00%,
06/01/2043
632‌
643‌
3.00%,
06/01/2043
188‌
192‌
3.00%,
07/01/2043
56‌
57‌
3.00%,
07/01/2043
974‌
991‌
3.00%,
07/01/2043
503‌
512‌
3.00%,
07/01/2043
560‌
570‌
3.00%,
07/01/2043
1,013‌
1,031‌
3.00%,
08/01/2043
198‌
202‌
3.00%,
08/01/2043
116‌
118‌
3.00%,
08/01/2043
295‌
300‌
3.00%,
08/01/2043
1,693‌
1,723‌
3.00%,
08/01/2043
265‌
270‌
3.00%,
08/01/2043
27‌
28‌
3.00%,
08/01/2043
242‌
246‌
3.00%,
09/01/2043
88‌
90‌
3.00%,
09/01/2043
395‌
402‌
3.00%,
09/01/2043
274‌
279‌
3.00%,
09/01/2043
607‌
617‌
3.00%,
10/01/2043
517‌
526‌
3.00%,
10/01/2043
147‌
150‌
3.00%,
03/01/2045
801‌
813‌
3.00%,
04/01/2045
261‌
265‌
3.00%,
06/01/2045
914‌
928‌
3.00%,
07/01/2045
524‌
533‌
3.00%,
07/01/2045
542‌
550‌
3.00%,
08/01/2045
268‌
272‌
3.00%,
08/01/2045
335‌
340‌
3.00%,
08/01/2045
1,013‌
1,028‌
3.00%,
12/01/2045
1,511‌
1,533‌
3.00%,
03/01/2046
211‌
214‌
3.00%,
03/01/2046
706‌
716‌
3.00%,
04/01/2046
1,013‌
1,027‌
3.00%,
04/01/2046
123‌
125‌
3.00%,
05/01/2046
229‌
232‌
3.00%,
07/01/2046
61‌
62‌
3.00%,
09/01/2046
1,100‌
1,115‌
3.00%,
10/01/2046
871‌
884‌
3.00%,
11/01/2046
1,202‌
1,217‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
90
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
(continued)
3.00%,
11/01/2046
$
960‌
$
973‌
3.00%,
11/01/2046
167‌
169‌
3.00%,
11/01/2046
1,648‌
1,670‌
3.00%,
12/01/2046
1,168‌
1,183‌
3.00%,
12/01/2046
1,428‌
1,445‌
3.00%,
01/01/2047
26‌
26‌
3.00%,
01/01/2047
1,884‌
1,907‌
3.00%,
03/01/2047
1,718‌
1,739‌
3.00%,
03/01/2048
953‌
962‌
3.50%,
04/01/2021
49‌
50‌
3.50%,
10/01/2023
41‌
43‌
3.50%,
10/01/2025
8‌
8‌
3.50%,
10/01/2025
138‌
142‌
3.50%,
10/01/2025
6‌
7‌
3.50%,
11/01/2025
4‌
4‌
3.50%,
11/01/2025
2‌
3‌
3.50%,
11/01/2025
187‌
195‌
3.50%,
11/01/2025
20‌
21‌
3.50%,
11/01/2025
7‌
7‌
3.50%,
11/01/2025
16‌
17‌
3.50%,
12/01/2025
6‌
6‌
3.50%,
12/01/2025
15‌
16‌
3.50%,
01/01/2026
11‌
11‌
3.50%,
01/01/2026
284‌
293‌
3.50%,
02/01/2026
9‌
10‌
3.50%,
04/01/2026
26‌
27‌
3.50%,
05/01/2026
38‌
39‌
3.50%,
06/01/2026
6‌
6‌
3.50%,
06/01/2026
4‌
4‌
3.50%,
07/01/2026
25‌
25‌
3.50%,
07/01/2026
15‌
16‌
3.50%,
07/01/2026
4‌
4‌
3.50%,
08/01/2026
61‌
63‌
3.50%,
08/01/2026
15‌
16‌
3.50%,
09/01/2026
22‌
22‌
3.50%,
10/01/2026
14‌
15‌
3.50%,
12/01/2026
189‌
196‌
3.50%,
01/01/2027
25‌
26‌
3.50%,
12/01/2028
56‌
58‌
3.50%,
01/01/2029
155‌
161‌
3.50%,
03/01/2029
31‌
32‌
3.50%,
06/01/2029
203‌
211‌
3.50%,
07/01/2029
80‌
83‌
3.50%,
08/01/2029
38‌
40‌
3.50%,
09/01/2029
54‌
56‌
3.50%,
01/01/2030
27‌
28‌
3.50%,
01/01/2032
117‌
122‌
3.50%,
02/01/2032
74‌
77‌
3.50%,
03/01/2032
91‌
94‌
3.50%,
04/01/2032
85‌
88‌
3.50%,
08/01/2032
72‌
74‌
3.50%,
09/01/2033
535‌
554‌
3.50%,
01/01/2034
79‌
82‌
3.50%,
01/01/2035
165‌
172‌
3.50%,
02/01/2035
150‌
156‌
3.50%,
07/01/2035
195‌
202‌
3.50%,
09/01/2035
387‌
399‌
3.50%,
04/01/2037
117‌
121‌
3.50%,
06/01/2037
277‌
286‌
3.50%,
02/01/2041
30‌
31‌
3.50%,
05/01/2041
372‌
385‌
3.50%,
10/01/2041
31‌
32‌
3.50%,
11/01/2041
34‌
35‌
3.50%,
01/01/2042
79‌
82‌
3.50%,
02/01/2042
472‌
490‌
3.50%,
02/01/2042
32‌
33‌
3.50%,
03/01/2042
42‌
43‌
3.50%,
03/01/2042
12‌
12‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
(continued)
3.50%,
04/01/2042
$
120‌
$
125‌
3.50%,
04/01/2042
83‌
86‌
3.50%,
04/01/2042
93‌
97‌
3.50%,
04/01/2042
26‌
27‌
3.50%,
04/01/2042
123‌
128‌
3.50%,
06/01/2042
285‌
296‌
3.50%,
06/01/2042
73‌
76‌
3.50%,
06/01/2042
78‌
81‌
3.50%,
07/01/2042
393‌
408‌
3.50%,
07/01/2042
476‌
495‌
3.50%,
08/01/2042
206‌
214‌
3.50%,
08/01/2042
103‌
107‌
3.50%,
08/01/2042
464‌
482‌
3.50%,
02/01/2043
447‌
464‌
3.50%,
08/01/2043
40‌
42‌
3.50%,
02/01/2044
547‌
567‌
3.50%,
06/01/2044
793‌
824‌
3.50%,
08/01/2044
505‌
524‌
3.50%,
09/01/2044
432‌
447‌
3.50%,
02/01/2045
472‌
487‌
3.50%,
03/01/2045
672‌
693‌
3.50%,
06/01/2045
750‌
774‌
3.50%,
07/01/2045
1,287‌
1,329‌
3.50%,
09/01/2045
36‌
37‌
3.50%,
09/01/2045
737‌
760‌
3.50%,
10/01/2045
824‌
851‌
3.50%,
11/01/2045
1,315‌
1,358‌
3.50%,
12/01/2045
739‌
763‌
3.50%,
12/01/2045
1,052‌
1,086‌
3.50%,
12/01/2045
126‌
131‌
3.50%,
01/01/2046
148‌
153‌
3.50%,
01/01/2046
373‌
385‌
3.50%,
03/01/2046
3,550‌
3,664‌
3.50%,
03/01/2046
287‌
296‌
3.50%,
03/01/2046
687‌
710‌
3.50%,
04/01/2046
856‌
884‌
3.50%,
05/01/2046
935‌
965‌
3.50%,
06/01/2046
1,051‌
1,084‌
3.50%,
08/01/2046
724‌
747‌
3.50%,
04/01/2047
1,312‌
1,353‌
3.50%,
08/01/2047
1,292‌
1,331‌
3.50%,
11/01/2047
1,230‌
1,268‌
3.50%,
11/01/2047
932‌
960‌
3.50%,
12/01/2047
1,062‌
1,093‌
3.50%,
01/01/2048
492‌
507‌
3.50%,
05/01/2048
188‌
194‌
3.50%,
06/01/2048
481‌
494‌
3.50%,
06/01/2048
932‌
956‌
3.50%,
06/01/2048
489‌
502‌
3.50%,
09/01/2048
564‌
578‌
3.50%,
09/01/2048
370‌
383‌
3.50%,
10/01/2048
469‌
480‌
3.50%,
11/01/2048
542‌
555‌
3.50%,
04/01/2049
492‌
504‌
4.00%,
10/01/2020
3‌
3‌
4.00%,
05/01/2024
18‌
19‌
4.00%,
05/01/2024
41‌
42‌
4.00%,
12/01/2024
7‌
7‌
4.00%,
01/01/2025
12‌
12‌
4.00%,
02/01/2025
5‌
5‌
4.00%,
03/01/2025
4‌
4‌
4.00%,
03/01/2025
9‌
10‌
4.00%,
04/01/2025
7‌
7‌
4.00%,
06/01/2025
121‌
126‌
4.00%,
06/01/2025
12‌
13‌
4.00%,
06/01/2025
7‌
7‌
4.00%,
06/01/2025
5‌
5‌
4.00%,
07/01/2025
4‌
4‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
91
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
(continued)
4.00%,
07/01/2025
$
171‌
$
178‌
4.00%,
08/01/2025
11‌
11‌
4.00%,
08/01/2025
6‌
7‌
4.00%,
09/01/2025
2‌
2‌
4.00%,
10/01/2025
23‌
24‌
4.00%,
02/01/2026
11‌
11‌
4.00%,
05/01/2026
33‌
34‌
4.00%,
07/01/2026
24‌
25‌
4.00%,
12/01/2030
38‌
40‌
4.00%,
08/01/2031
41‌
43‌
4.00%,
10/01/2031
55‌
58‌
4.00%,
11/01/2031
17‌
18‌
4.00%,
12/01/2031
28‌
30‌
4.00%,
11/01/2033
78‌
83‌
4.00%,
01/01/2034
126‌
133‌
4.00%,
07/01/2035
55‌
58‌
4.00%,
03/01/2037
241‌
253‌
4.00%,
05/01/2038
131‌
137‌
4.00%,
06/01/2039
3‌
3‌
4.00%,
07/01/2039
27‌
29‌
4.00%,
09/01/2039
18‌
19‌
4.00%,
12/01/2039
19‌
20‌
4.00%,
12/01/2039
12‌
13‌
4.00%,
01/01/2040
21‌
22‌
4.00%,
03/01/2040
9‌
9‌
4.00%,
09/01/2040
28‌
29‌
4.00%,
09/01/2040
4‌
5‌
4.00%,
10/01/2040
22‌
23‌
4.00%,
10/01/2040
43‌
45‌
4.00%,
12/01/2040
26‌
27‌
4.00%,
12/01/2040
41‌
43‌
4.00%,
12/01/2040
71‌
75‌
4.00%,
12/01/2040
33‌
34‌
4.00%,
12/01/2040
37‌
39‌
4.00%,
02/01/2041
84‌
89‌
4.00%,
02/01/2041
257‌
272‌
4.00%,
02/01/2041
58‌
61‌
4.00%,
04/01/2041
30‌
32‌
4.00%,
07/01/2041
24‌
25‌
4.00%,
08/01/2041
46‌
49‌
4.00%,
08/01/2041
22‌
23‌
4.00%,
10/01/2041
33‌
35‌
4.00%,
10/01/2041
28‌
29‌
4.00%,
10/01/2041
68‌
72‌
4.00%,
10/01/2041
9‌
9‌
4.00%,
10/01/2041
74‌
78‌
4.00%,
11/01/2041
50‌
53‌
4.00%,
11/01/2041
142‌
149‌
4.00%,
11/01/2041
89‌
94‌
4.00%,
03/01/2042
83‌
88‌
4.00%,
06/01/2042
159‌
168‌
4.00%,
06/01/2042
125‌
132‌
4.00%,
08/01/2043
733‌
771‌
4.00%,
11/01/2043
14‌
14‌
4.00%,
01/01/2044
180‌
188‌
4.00%,
02/01/2044
200‌
210‌
4.00%,
02/01/2044
48‌
49‌
4.00%,
02/01/2044
409‌
431‌
4.00%,
03/01/2044
125‌
132‌
4.00%,
04/01/2044
526‌
552‌
4.00%,
05/01/2044
139‌
146‌
4.00%,
05/01/2044
56‌
58‌
4.00%,
07/01/2044
419‌
439‌
4.00%,
07/01/2044
81‌
85‌
4.00%,
07/01/2044
346‌
363‌
4.00%,
10/01/2044
373‌
391‌
4.00%,
11/01/2044
694‌
728‌
4.00%,
12/01/2044
807‌
845‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
(continued)
4.00%,
12/01/2044
$
12‌
$
13‌
4.00%,
01/01/2045
223‌
234‌
4.00%,
02/01/2045
332‌
347‌
4.00%,
02/01/2045
24‌
25‌
4.00%,
04/01/2045
11‌
12‌
4.00%,
04/01/2045
282‌
295‌
4.00%,
05/01/2045
138‌
145‌
4.00%,
06/01/2045
311‌
326‌
4.00%,
07/01/2045
350‌
366‌
4.00%,
08/01/2045
115‌
120‌
4.00%,
08/01/2045
56‌
59‌
4.00%,
08/01/2045
119‌
125‌
4.00%,
08/01/2045
1,129‌
1,182‌
4.00%,
09/01/2045
12‌
13‌
4.00%,
09/01/2045
1,336‌
1,398‌
4.00%,
09/01/2045
390‌
408‌
4.00%,
10/01/2045
1,407‌
1,472‌
4.00%,
11/01/2045
812‌
849‌
4.00%,
12/01/2045
361‌
377‌
4.00%,
01/01/2046
98‌
102‌
4.00%,
02/01/2046
17‌
18‌
4.00%,
03/01/2047
1,260‌
1,317‌
4.00%,
08/01/2047
1,360‌
1,417‌
4.00%,
10/01/2047
965‌
1,005‌
4.00%,
12/01/2047
1,548‌
1,612‌
4.00%,
07/01/2048
1,523‌
1,582‌
4.00%,
08/01/2048
903‌
936‌
4.00%,
09/01/2048
40‌
43‌
4.00%,
09/01/2048
850‌
882‌
4.00%,
09/01/2048
46‌
47‌
4.00%,
11/01/2048
931‌
962‌
4.50%,
04/01/2023
4‌
4‌
4.50%,
08/01/2023
70‌
73‌
4.50%,
01/01/2024
4‌
4‌
4.50%,
01/01/2024
2‌
2‌
4.50%,
04/01/2024
38‌
39‌
4.50%,
05/01/2024
66‌
69‌
4.50%,
07/01/2024
4‌
4‌
4.50%,
09/01/2024
11‌
11‌
4.50%,
09/01/2024
9‌
10‌
4.50%,
11/01/2024
57‌
59‌
4.50%,
04/01/2025
11‌
11‌
4.50%,
05/01/2025
5‌
5‌
4.50%,
07/01/2025
11‌
11‌
4.50%,
09/01/2026
55‌
57‌
4.50%,
02/01/2030
12‌
13‌
4.50%,
08/01/2030
9‌
10‌
4.50%,
05/01/2031
12‌
13‌
4.50%,
06/01/2031
82‌
87‌
4.50%,
08/01/2035
35‌
37‌
4.50%,
08/01/2035
75‌
80‌
4.50%,
08/01/2036
13‌
14‌
4.50%,
02/01/2039
1‌
1‌
4.50%,
02/01/2039
30‌
32‌
4.50%,
03/01/2039
24‌
26‌
4.50%,
04/01/2039
43‌
47‌
4.50%,
05/01/2039
110‌
119‌
4.50%,
05/01/2039
56‌
60‌
4.50%,
06/01/2039
135‌
145‌
4.50%,
06/01/2039
25‌
27‌
4.50%,
09/01/2039
232‌
250‌
4.50%,
10/01/2039
58‌
63‌
4.50%,
10/01/2039
98‌
105‌
4.50%,
11/01/2039
24‌
25‌
4.50%,
11/01/2039
37‌
40‌
4.50%,
11/01/2039
39‌
42‌
4.50%,
11/01/2039
16‌
17‌
4.50%,
12/01/2039
65‌
70‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
92
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
(continued)
4.50%,
12/01/2039
$
18‌
$
19‌
4.50%,
02/01/2040
66‌
71‌
4.50%,
02/01/2040
8‌
9‌
4.50%,
02/01/2040
58‌
63‌
4.50%,
02/01/2040
34‌
37‌
4.50%,
04/01/2040
37‌
40‌
4.50%,
05/01/2040
46‌
50‌
4.50%,
05/01/2040
12‌
13‌
4.50%,
07/01/2040
35‌
38‌
4.50%,
07/01/2040
40‌
43‌
4.50%,
08/01/2040
69‌
74‌
4.50%,
08/01/2040
22‌
23‌
4.50%,
08/01/2040
30‌
32‌
4.50%,
08/01/2040
15‌
16‌
4.50%,
08/01/2040
15‌
17‌
4.50%,
09/01/2040
15‌
16‌
4.50%,
09/01/2040
14‌
15‌
4.50%,
09/01/2040
8‌
9‌
4.50%,
10/01/2040
155‌
166‌
4.50%,
02/01/2041
27‌
29‌
4.50%,
03/01/2041
378‌
407‌
4.50%,
03/01/2041
247‌
265‌
4.50%,
03/01/2041
331‌
356‌
4.50%,
03/01/2041
47‌
50‌
4.50%,
04/01/2041
42‌
45‌
4.50%,
04/01/2041
60‌
65‌
4.50%,
05/01/2041
70‌
73‌
4.50%,
05/01/2041
62‌
66‌
4.50%,
05/01/2041
21‌
22‌
4.50%,
06/01/2041
30‌
32‌
4.50%,
06/01/2041
21‌
22‌
4.50%,
06/01/2041
13‌
14‌
4.50%,
06/01/2041
31‌
33‌
4.50%,
07/01/2041
41‌
44‌
4.50%,
07/01/2041
39‌
42‌
4.50%,
08/01/2041
23‌
25‌
4.50%,
09/01/2041
180‌
189‌
4.50%,
10/01/2041
60‌
65‌
4.50%,
11/01/2041
250‌
269‌
4.50%,
03/01/2042
51‌
54‌
4.50%,
09/01/2043
37‌
40‌
4.50%,
09/01/2043
213‌
228‌
4.50%,
10/01/2043
17‌
18‌
4.50%,
11/01/2043
13‌
14‌
4.50%,
11/01/2043
118‌
126‌
4.50%,
11/01/2043
136‌
146‌
4.50%,
11/01/2043
62‌
66‌
4.50%,
01/01/2044
110‌
118‌
4.50%,
01/01/2044
158‌
169‌
4.50%,
03/01/2044
60‌
63‌
4.50%,
03/01/2044
176‌
188‌
4.50%,
05/01/2044
27‌
28‌
4.50%,
05/01/2044
291‌
310‌
4.50%,
05/01/2044
38‌
39‌
4.50%,
07/01/2044
112‌
119‌
4.50%,
07/01/2044
74‌
80‌
4.50%,
09/01/2044
111‌
118‌
4.50%,
07/01/2045
16‌
17‌
4.50%,
09/01/2045
80‌
85‌
4.50%,
10/01/2045
131‌
139‌
4.50%,
02/01/2046
600‌
636‌
4.50%,
03/01/2047
629‌
663‌
4.50%,
03/01/2047
132‌
139‌
4.50%,
04/01/2047
177‌
187‌
4.50%,
06/01/2047
388‌
409‌
4.50%,
09/01/2047
359‌
378‌
4.50%,
11/01/2047
87‌
92‌
4.50%,
05/01/2048
449‌
472‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
(continued)
4.50%,
07/01/2048
$
858‌
$
899‌
4.50%,
09/01/2048
482‌
505‌
4.50%,
11/01/2048
899‌
940‌
4.50%,
11/01/2048
465‌
488‌
4.50%,
12/01/2048
395‌
415‌
4.50%,
01/01/2049
1,480‌
1,554‌
5.00%,
12/01/2019
1‌
1‌
5.00%,
12/01/2021
1‌
1‌
5.00%,
02/01/2022
2‌
2‌
5.00%,
09/01/2022
3‌
3‌
5.00%,
06/01/2023
58‌
60‌
5.00%,
06/01/2023
2‌
2‌
5.00%,
09/01/2023
57‌
60‌
5.00%,
12/01/2023
30‌
31‌
5.00%,
04/01/2024
25‌
26‌
5.00%,
07/01/2024
3‌
3‌
5.00%,
01/01/2025
88‌
93‌
5.00%,
06/01/2025
4‌
4‌
5.00%,
06/01/2026
15‌
15‌
5.00%,
12/01/2027
32‌
33‌
5.00%,
02/01/2030
6‌
6‌
5.00%,
03/01/2030
4‌
4‌
5.00%,
08/01/2033
31‌
34‌
5.00%,
08/01/2033
4‌
4‌
5.00%,
09/01/2033
5‌
5‌
5.00%,
09/01/2033
10‌
11‌
5.00%,
03/01/2034
8‌
9‌
5.00%,
04/01/2034
96‌
105‌
5.00%,
04/01/2034
13‌
14‌
5.00%,
05/01/2034
26‌
28‌
5.00%,
05/01/2035
22‌
25‌
5.00%,
06/01/2035
128‌
140‌
5.00%,
08/01/2035
8‌
9‌
5.00%,
08/01/2035
3‌
3‌
5.00%,
09/01/2035
20‌
22‌
5.00%,
09/01/2035
8‌
9‌
5.00%,
10/01/2035
9‌
10‌
5.00%,
11/01/2035
38‌
41‌
5.00%,
12/01/2035
33‌
36‌
5.00%,
12/01/2035
22‌
24‌
5.00%,
04/01/2036
1‌
2‌
5.00%,
06/01/2036
4‌
4‌
5.00%,
08/01/2036
19‌
20‌
5.00%,
10/01/2036
65‌
71‌
5.00%,
01/01/2037
38‌
42‌
5.00%,
01/01/2038
237‌
257‌
5.00%,
02/01/2038
101‌
109‌
5.00%,
02/01/2038
11‌
12‌
5.00%,
03/01/2038
1‌
1‌
5.00%,
06/01/2038
4‌
4‌
5.00%,
09/01/2038
7‌
8‌
5.00%,
09/01/2038
1‌
1‌
5.00%,
11/01/2038
200‌
217‌
5.00%,
11/01/2038
13‌
14‌
5.00%,
12/01/2038
198‌
215‌
5.00%,
01/01/2039
20‌
21‌
5.00%,
01/01/2039
213‌
231‌
5.00%,
02/01/2039
11‌
12‌
5.00%,
03/01/2039
19‌
21‌
5.00%,
06/01/2039
5‌
5‌
5.00%,
07/01/2039
16‌
17‌
5.00%,
09/01/2039
312‌
339‌
5.00%,
09/01/2039
43‌
47‌
5.00%,
10/01/2039
33‌
36‌
5.00%,
01/01/2040
57‌
62‌
5.00%,
01/01/2040
194‌
210‌
5.00%,
03/01/2040
9‌
9‌
5.00%,
05/01/2040
142‌
154‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
93
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
(continued)
5.00%,
07/01/2040
$
34‌
$
37‌
5.00%,
07/01/2040
31‌
33‌
5.00%,
08/01/2040
72‌
78‌
5.00%,
08/01/2040
23‌
25‌
5.00%,
08/01/2040
96‌
104‌
5.00%,
09/01/2040
77‌
81‌
5.00%,
02/01/2041
417‌
454‌
5.00%,
04/01/2041
134‌
146‌
5.00%,
04/01/2041
32‌
34‌
5.00%,
05/01/2041
5‌
6‌
5.00%,
06/01/2041
107‌
114‌
5.00%,
07/01/2041
29‌
32‌
5.00%,
09/01/2041
37‌
40‌
5.00%,
10/01/2041
45‌
49‌
5.00%,
10/01/2041
91‌
99‌
5.00%,
10/01/2041
68‌
74‌
5.00%,
11/01/2041
118‌
129‌
5.00%,
11/01/2041
299‌
317‌
5.50%,
01/01/2022
2‌
2‌
5.50%,
04/01/2023
9‌
9‌
5.50%,
01/01/2028
77‌
83‌
5.50%,
12/01/2032
33‌
36‌
5.50%,
03/01/2033
2‌
2‌
5.50%,
12/01/2033
1‌
1‌
5.50%,
01/01/2034
9‌
10‌
5.50%,
01/01/2034
49‌
55‌
5.50%,
02/01/2034
78‌
86‌
5.50%,
03/01/2034
18‌
20‌
5.50%,
10/01/2034
1‌
1‌
5.50%,
10/01/2034
7‌
7‌
5.50%,
02/01/2035
16‌
18‌
5.50%,
03/01/2035
11‌
12‌
5.50%,
05/01/2035
12‌
13‌
5.50%,
11/01/2035
17‌
19‌
5.50%,
04/01/2036
165‌
183‌
5.50%,
05/01/2036
23‌
26‌
5.50%,
05/01/2036
6‌
6‌
5.50%,
07/01/2036
60‌
66‌
5.50%,
07/01/2036
15‌
17‌
5.50%,
11/01/2036
7‌
8‌
5.50%,
12/01/2036
115‌
128‌
5.50%,
12/01/2036
120‌
133‌
5.50%,
12/01/2036
2‌
3‌
5.50%,
01/01/2037
102‌
113‌
5.50%,
02/01/2037
35‌
39‌
5.50%,
02/01/2037
1‌
1‌
5.50%,
07/01/2037
2‌
2‌
5.50%,
07/01/2037
7‌
8‌
5.50%,
09/01/2037
4‌
5‌
5.50%,
11/01/2037
5‌
6‌
5.50%,
01/01/2038
25‌
28‌
5.50%,
01/01/2038
4‌
4‌
5.50%,
04/01/2038
3‌
3‌
5.50%,
04/01/2038
1‌
1‌
5.50%,
04/01/2038
14‌
15‌
5.50%,
05/01/2038
3‌
3‌
5.50%,
05/01/2038
5‌
5‌
5.50%,
06/01/2038
1‌
1‌
5.50%,
06/01/2038
48‌
53‌
5.50%,
06/01/2038
8‌
9‌
5.50%,
07/01/2038
3‌
3‌
5.50%,
07/01/2038
14‌
15‌
5.50%,
07/01/2038
67‌
73‌
5.50%,
08/01/2038
17‌
19‌
5.50%,
09/01/2038
5‌
5‌
5.50%,
09/01/2038
82‌
90‌
5.50%,
10/01/2038
66‌
71‌
5.50%,
10/01/2038
3‌
3‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
(continued)
5.50%,
11/01/2038
$
1‌
$
1‌
5.50%,
11/01/2038
3‌
3‌
5.50%,
12/01/2038
65‌
71‌
5.50%,
01/01/2039
9‌
10‌
5.50%,
02/01/2039
71‌
77‌
5.50%,
03/01/2039
181‌
200‌
5.50%,
04/01/2039
108‌
118‌
5.50%,
04/01/2039
9‌
10‌
5.50%,
09/01/2039
32‌
35‌
5.50%,
12/01/2039
20‌
21‌
5.50%,
01/01/2040
21‌
23‌
5.50%,
02/01/2040
170‌
189‌
5.50%,
03/01/2040
3‌
3‌
5.50%,
06/01/2040
25‌
27‌
5.50%,
06/01/2041
252‌
280‌
5.50%,
06/01/2041
24‌
26‌
6.00%,
11/01/2022
2‌
2‌
6.00%,
02/01/2027
9‌
10‌
6.00%,
07/01/2029
1‌
1‌
6.00%,
07/01/2029
2‌
2‌
6.00%,
12/01/2031
2‌
2‌
6.00%,
01/01/2032
15‌
17‌
6.00%,
11/01/2033
27‌
31‌
6.00%,
06/01/2034
21‌
24‌
6.00%,
08/01/2034
2‌
2‌
6.00%,
05/01/2036
11‌
12‌
6.00%,
06/01/2036
27‌
30‌
6.00%,
11/01/2036
19‌
21‌
6.00%,
12/01/2036
112‌
127‌
6.00%,
02/01/2037
2‌
2‌
6.00%,
05/01/2037
1‌
1‌
6.00%,
10/01/2037
9‌
10‌
6.00%,
11/01/2037
11‌
13‌
6.00%,
12/01/2037
2‌
2‌
6.00%,
12/01/2037
40‌
46‌
6.00%,
01/01/2038
11‌
13‌
6.00%,
01/01/2038
3‌
3‌
6.00%,
01/01/2038
1‌
1‌
6.00%,
01/01/2038
41‌
46‌
6.00%,
01/01/2038
8‌
10‌
6.00%,
01/01/2038
10‌
11‌
6.00%,
04/01/2038
59‌
66‌
6.00%,
05/01/2038
16‌
18‌
6.00%,
07/01/2038
9‌
10‌
6.00%,
07/01/2038
4‌
4‌
6.00%,
08/01/2038
6‌
6‌
6.00%,
09/01/2038
6‌
7‌
6.00%,
09/01/2038
4‌
4‌
6.00%,
12/01/2039
2‌
2‌
6.50%,
05/01/2031
3‌
4‌
6.50%,
10/01/2031
1‌
1‌
6.50%,
04/01/2035
1‌
1‌
6.50%,
09/01/2036
5‌
6‌
6.50%,
10/01/2037
13‌
16‌
6.50%,
11/01/2037
5‌
6‌
6.50%,
12/01/2037
1‌
1‌
6.50%,
02/01/2038
2‌
2‌
6.50%,
09/01/2038
8‌
9‌
6.50%,
10/01/2038
3‌
4‌
6.50%,
01/01/2039
5‌
6‌
6.50%,
09/01/2039
11‌
12‌
7.00%,
10/01/2029
1‌
1‌
7.00%,
09/01/2031
3‌
3‌
7.00%,
09/01/2038
4‌
5‌
7.50%,
07/01/2029
11‌
13‌
7.50%,
10/01/2030
1‌
1‌
$
148,555‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
94
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
National
Mortgage
Association
(FNMA)/Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
Uniform
Mortgage-Backed
Security
-
9.92%
2.00%,
08/01/2028
$
118‌
$
118‌
2.00%,
09/01/2028
138‌
138‌
2.00%,
11/01/2028
35‌
35‌
2.00%,
01/01/2029
13‌
13‌
2.00%,
05/01/2029
499‌
498‌
2.00%,
05/01/2030
294‌
291‌
2.00%,
01/01/2032
172‌
171‌
2.00%,
03/01/2032
274‌
272‌
2.00%,
04/01/2032
121‌
120‌
2.00%,
11/01/2032
22‌
21‌
2.50%,
12/01/2027
10‌
10‌
2.50%,
01/01/2028
173‌
175‌
2.50%,
02/01/2028
40‌
41‌
2.50%,
06/01/2028
13‌
13‌
2.50%,
06/01/2028
286‌
288‌
2.50%,
07/01/2028
199‌
201‌
2.50%,
08/01/2028
112‌
113‌
2.50%,
08/01/2028
192‌
194‌
2.50%,
08/01/2028
11‌
12‌
2.50%,
08/01/2028
215‌
217‌
2.50%,
09/01/2028
232‌
234‌
2.50%,
09/01/2028
80‌
81‌
2.50%,
10/01/2028
265‌
267‌
2.50%,
05/01/2029
40‌
40‌
2.50%,
06/01/2029
396‌
399‌
2.50%,
07/01/2029
127‌
128‌
2.50%,
07/01/2029
244‌
246‌
2.50%,
07/01/2029
160‌
161‌
2.50%,
09/01/2029
276‌
278‌
2.50%,
09/01/2029
41‌
41‌
2.50%,
12/01/2029
57‌
57‌
2.50%,
12/01/2029
168‌
170‌
2.50%,
12/01/2029
49‌
49‌
2.50%,
01/01/2030
211‌
213‌
2.50%,
02/01/2030
101‌
102‌
2.50%,
04/01/2030
271‌
274‌
2.50%,
04/01/2030
14‌
14‌
2.50%,
05/01/2030
568‌
573‌
2.50%,
06/01/2030
311‌
314‌
2.50%,
06/01/2030
100‌
101‌
2.50%,
06/01/2030
62‌
62‌
2.50%,
06/01/2030
62‌
63‌
2.50%,
08/01/2030
694‌
699‌
2.50%,
08/01/2030
144‌
146‌
2.50%,
01/01/2031
222‌
224‌
2.50%,
01/01/2031
235‌
237‌
2.50%,
02/01/2031
301‌
303‌
2.50%,
02/01/2031
276‌
279‌
2.50%,
05/01/2031
176‌
178‌
2.50%,
06/01/2031
298‌
300‌
2.50%,
09/01/2031
85‌
85‌
2.50%,
11/01/2031
1,026‌
1,034‌
2.50%,
12/01/2031
446‌
450‌
2.50%,
12/01/2031
500‌
504‌
2.50%,
01/01/2032
521‌
525‌
2.50%,
01/01/2032
967‌
974‌
2.50%,
02/01/2032
606‌
610‌
2.50%,
03/01/2032
169‌
170‌
2.50%,
03/01/2032
245‌
247‌
2.50%,
04/01/2032
350‌
353‌
2.50%,
08/01/2032
38‌
39‌
2.50%,
11/01/2032
46‌
46‌
2.50%,
12/01/2032
131‌
132‌
2.50%,
01/01/2033
506‌
509‌
2.50%,
01/01/2033
50‌
50‌
2.50%,
01/01/2033
36‌
36‌
2.50%,
01/01/2033
21‌
21‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
National
Mortgage
Association
(FNMA)/Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
Uniform
Mortgage-Backed
Security
(continued)
2.50%,
02/01/2033
$
784‌
$
790‌
2.50%,
07/01/2033
103‌
103‌
2.50%,
10/01/2036
154‌
155‌
2.50%,
10/01/2036
60‌
60‌
2.50%,
12/01/2036
246‌
247‌
2.50%,
01/01/2043
560‌
559‌
2.50%,
07/01/2043
63‌
62‌
2.50%,
08/01/2043
123‌
123‌
2.50%,
10/01/2043
338‌
337‌
2.50%,
05/01/2046
52‌
52‌
2.50%,
05/01/2046
42‌
42‌
2.50%,
11/01/2046
16‌
16‌
2.50%,
12/01/2046
149‌
148‌
3.00%,
09/01/2026
41‌
42‌
3.00%,
11/01/2026
135‌
139‌
3.00%,
11/01/2026
47‌
48‌
3.00%,
01/01/2027
40‌
41‌
3.00%,
02/01/2027
36‌
37‌
3.00%,
02/01/2027
242‌
248‌
3.00%,
04/01/2027
57‌
59‌
3.00%,
04/01/2027
1,156‌
1,183‌
3.00%,
04/01/2027
56‌
57‌
3.00%,
07/01/2027
162‌
166‌
3.00%,
08/01/2027
183‌
187‌
3.00%,
09/01/2027
9‌
9‌
3.00%,
10/01/2027
151‌
154‌
3.00%,
08/01/2028
31‌
32‌
3.00%,
10/01/2028
370‌
378‌
3.00%,
11/01/2028
204‌
209‌
3.00%,
12/01/2028
22‌
22‌
3.00%,
12/01/2028
30‌
31‌
3.00%,
02/01/2029
157‌
161‌
3.00%,
03/01/2029
252‌
257‌
3.00%,
03/01/2029
150‌
153‌
3.00%,
04/01/2029
38‌
38‌
3.00%,
04/01/2029
207‌
211‌
3.00%,
05/01/2029
72‌
73‌
3.00%,
05/01/2029
196‌
200‌
3.00%,
05/01/2029
43‌
44‌
3.00%,
06/01/2029
133‌
136‌
3.00%,
07/01/2029
85‌
87‌
3.00%,
07/01/2029
8‌
9‌
3.00%,
08/01/2029
179‌
183‌
3.00%,
08/01/2029
170‌
174‌
3.00%,
08/01/2029
21‌
21‌
3.00%,
08/01/2029
164‌
167‌
3.00%,
10/01/2029
138‌
141‌
3.00%,
10/01/2029
119‌
121‌
3.00%,
10/01/2029
116‌
119‌
3.00%,
10/01/2029
80‌
82‌
3.00%,
11/01/2029
105‌
107‌
3.00%,
01/01/2030
62‌
64‌
3.00%,
01/01/2030
537‌
549‌
3.00%,
01/01/2030
242‌
247‌
3.00%,
01/01/2030
585‌
598‌
3.00%,
03/01/2030
325‌
332‌
3.00%,
06/01/2030
304‌
311‌
3.00%,
06/01/2030
337‌
345‌
3.00%,
08/01/2030
250‌
255‌
3.00%,
09/01/2030
117‌
120‌
3.00%,
09/01/2030
577‌
590‌
3.00%,
10/01/2030
337‌
344‌
3.00%,
11/01/2030
165‌
169‌
3.00%,
11/01/2030
53‌
54‌
3.00%,
02/01/2031
155‌
158‌
3.00%,
09/01/2031
59‌
60‌
3.00%,
04/01/2032
1,339‌
1,370‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
95
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
National
Mortgage
Association
(FNMA)/Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
Uniform
Mortgage-Backed
Security
(continued)
3.00%,
04/01/2032
$
37‌
$
38‌
3.00%,
05/01/2032
185‌
189‌
3.00%,
08/01/2032
296‌
302‌
3.00%,
01/01/2033
64‌
65‌
3.00%,
02/01/2033
1,304‌
1,330‌
3.00%,
08/01/2033
770‌
784‌
3.00%,
05/01/2034
491‌
501‌
3.00%,
05/01/2034
164‌
167‌
3.00%,
10/01/2034
80‌
81‌
3.00%,
11/01/2034
212‌
216‌
3.00%,
02/01/2035
200‌
204‌
3.00%,
02/01/2035
235‌
239‌
3.00%,
03/01/2035
102‌
104‌
3.00%,
04/01/2035
108‌
110‌
3.00%,
06/01/2035
241‌
246‌
3.00%,
07/01/2035
90‌
92‌
3.00%,
11/01/2035
138‌
140‌
3.00%,
07/01/2036
218‌
222‌
3.00%,
12/01/2036
453‌
462‌
3.00%,
12/01/2036
627‌
638‌
3.00%,
12/01/2036
311‌
317‌
3.00%,
02/01/2037
41‌
42‌
3.00%,
02/01/2037
261‌
265‌
3.00%,
04/01/2037
137‌
140‌
3.00%,
04/01/2037
162‌
165‌
3.00%,
07/01/2037
103‌
105‌
3.00%,
08/01/2037
168‌
171‌
3.00%,
09/01/2037
427‌
435‌
3.00%,
04/01/2042
223‌
226‌
3.00%,
09/01/2042
122‌
125‌
3.00%,
11/01/2042
786‌
802‌
3.00%,
12/01/2042
120‌
122‌
3.00%,
02/01/2043
509‌
518‌
3.00%,
02/01/2043
494‌
504‌
3.00%,
02/01/2043
830‌
845‌
3.00%,
04/01/2043
298‌
303‌
3.00%,
04/01/2043
516‌
525‌
3.00%,
04/01/2043
395‌
402‌
3.00%,
04/01/2043
424‌
431‌
3.00%,
04/01/2043
686‌
697‌
3.00%,
04/01/2043
406‌
413‌
3.00%,
04/01/2043
1,130‌
1,149‌
3.00%,
04/01/2043
500‌
509‌
3.00%,
04/01/2043
275‌
280‌
3.00%,
05/01/2043
569‌
579‌
3.00%,
05/01/2043
308‌
313‌
3.00%,
05/01/2043
372‌
378‌
3.00%,
05/01/2043
60‌
61‌
3.00%,
06/01/2043
687‌
699‌
3.00%,
06/01/2043
969‌
983‌
3.00%,
06/01/2043
385‌
392‌
3.00%,
06/01/2043
506‌
515‌
3.00%,
06/01/2043
19‌
20‌
3.00%,
06/01/2043
27‌
28‌
3.00%,
06/01/2043
538‌
548‌
3.00%,
07/01/2043
285‌
290‌
3.00%,
07/01/2043
231‌
235‌
3.00%,
07/01/2043
44‌
44‌
3.00%,
07/01/2043
712‌
725‌
3.00%,
07/01/2043
184‌
187‌
3.00%,
07/01/2043
34‌
34‌
3.00%,
07/01/2043
419‌
426‌
3.00%,
08/01/2043
545‌
555‌
3.00%,
08/01/2043
72‌
73‌
3.00%,
08/01/2043
180‌
184‌
3.00%,
08/01/2043
875‌
890‌
3.00%,
08/01/2043
538‌
547‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
National
Mortgage
Association
(FNMA)/Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
Uniform
Mortgage-Backed
Security
(continued)
3.00%,
08/01/2043
$
301‌
$
306‌
3.00%,
08/01/2043
194‌
198‌
3.00%,
08/01/2043
119‌
122‌
3.00%,
09/01/2043
14‌
14‌
3.00%,
09/01/2043
15‌
15‌
3.00%,
09/01/2043
303‌
309‌
3.00%,
09/01/2043
727‌
740‌
3.00%,
09/01/2043
22‌
22‌
3.00%,
10/01/2043
173‌
175‌
3.00%,
10/01/2043
926‌
942‌
3.00%,
11/01/2043
99‌
101‌
3.00%,
11/01/2043
267‌
272‌
3.00%,
11/01/2043
183‌
187‌
3.00%,
11/01/2043
112‌
114‌
3.00%,
12/01/2043
18‌
18‌
3.00%,
01/01/2044
131‌
133‌
3.00%,
01/01/2045
26‌
26‌
3.00%,
01/01/2045
673‌
684‌
3.00%,
05/01/2045
856‌
869‌
3.00%,
06/01/2045
25‌
25‌
3.00%,
06/01/2045
64‌
65‌
3.00%,
09/01/2045
166‌
168‌
3.00%,
09/01/2045
151‌
153‌
3.00%,
10/01/2045
553‌
561‌
3.00%,
11/01/2045
321‌
325‌
3.00%,
11/01/2045
135‌
137‌
3.00%,
12/01/2045
53‌
53‌
3.00%,
12/01/2045
52‌
53‌
3.00%,
12/01/2045
734‌
744‌
3.00%,
12/01/2045
92‌
93‌
3.00%,
01/01/2046
473‌
480‌
3.00%,
01/01/2046
25‌
25‌
3.00%,
02/01/2046
274‌
278‌
3.00%,
02/01/2046
29‌
29‌
3.00%,
02/01/2046
885‌
897‌
3.00%,
02/01/2046
541‌
548‌
3.00%,
03/01/2046
71‌
72‌
3.00%,
04/01/2046
129‌
130‌
3.00%,
04/01/2046
720‌
728‌
3.00%,
05/01/2046
484‌
491‌
3.00%,
05/01/2046
343‌
347‌
3.00%,
05/01/2046
80‌
81‌
3.00%,
05/01/2046
125‌
126‌
3.00%,
06/01/2046
180‌
183‌
3.00%,
07/01/2046
70‌
71‌
3.00%,
07/01/2046
869‌
880‌
3.00%,
08/01/2046
241‌
244‌
3.00%,
08/01/2046
880‌
892‌
3.00%,
09/01/2046
428‌
433‌
3.00%,
09/01/2046
1,105‌
1,120‌
3.00%,
09/01/2046
1,119‌
1,134‌
3.00%,
09/01/2046
294‌
298‌
3.00%,
10/01/2046
188‌
191‌
3.00%,
10/01/2046
1,570‌
1,591‌
3.00%,
11/01/2046
888‌
900‌
3.00%,
11/01/2046
132‌
133‌
3.00%,
11/01/2046
197‌
200‌
3.00%,
11/01/2046
1,116‌
1,130‌
3.00%,
11/01/2046
1,154‌
1,169‌
3.00%,
11/01/2046
844‌
855‌
3.00%,
11/01/2046
813‌
824‌
3.00%,
11/01/2046
22‌
22‌
3.00%,
12/01/2046
34‌
34‌
3.00%,
12/01/2046
2,290‌
2,320‌
3.00%,
12/01/2046
1,175‌
1,191‌
3.00%,
01/01/2047
25‌
25‌
3.00%,
01/01/2047
434‌
439‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
96
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
National
Mortgage
Association
(FNMA)/Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
Uniform
Mortgage-Backed
Security
(continued)
3.00%,
01/01/2047
$
1,250‌
$
1,265‌
3.00%,
02/01/2047
220‌
223‌
3.00%,
02/01/2047
911‌
922‌
3.00%,
02/01/2047
1,261‌
1,277‌
3.00%,
04/01/2047
291‌
295‌
3.00%,
05/01/2047
433‌
438‌
3.00%,
09/01/2047
41‌
42‌
3.00%,
11/01/2047
943‌
952‌
3.00%,
11/01/2047
30‌
30‌
3.00%,
12/01/2047
25‌
25‌
3.00%,
12/01/2047
22‌
23‌
3.00%,
02/01/2048
28‌
28‌
3.00%,
03/01/2048
48‌
49‌
3.00%,
04/01/2048
475‌
479‌
3.00%,
05/01/2048
25‌
25‌
3.00%,
10/01/2048
123‌
124‌
3.00%,
11/01/2048
97‌
98‌
3.50%,
03/01/2023
8‌
9‌
3.50%,
08/01/2025
13‌
13‌
3.50%,
10/01/2025
183‌
189‌
3.50%,
10/01/2025
9‌
9‌
3.50%,
10/01/2025
249‌
257‌
3.50%,
11/01/2025
10‌
11‌
3.50%,
11/01/2025
298‌
310‌
3.50%,
11/01/2025
132‌
136‌
3.50%,
12/01/2025
64‌
66‌
3.50%,
12/01/2025
19‌
20‌
3.50%,
12/01/2025
11‌
11‌
3.50%,
01/01/2026
37‌
38‌
3.50%,
01/01/2026
14‌
14‌
3.50%,
01/01/2026
276‌
285‌
3.50%,
02/01/2026
96‌
100‌
3.50%,
03/01/2026
269‌
277‌
3.50%,
03/01/2026
4‌
4‌
3.50%,
03/01/2026
95‌
98‌
3.50%,
05/01/2026
6‌
6‌
3.50%,
06/01/2026
32‌
33‌
3.50%,
06/01/2026
23‌
24‌
3.50%,
07/01/2026
8‌
8‌
3.50%,
08/01/2026
45‌
46‌
3.50%,
08/01/2026
4‌
4‌
3.50%,
09/01/2026
188‌
194‌
3.50%,
10/01/2026
12‌
13‌
3.50%,
12/01/2026
53‌
54‌
3.50%,
12/01/2026
218‌
225‌
3.50%,
01/01/2027
39‌
40‌
3.50%,
01/01/2027
69‌
71‌
3.50%,
02/01/2027
138‌
143‌
3.50%,
11/01/2028
211‌
218‌
3.50%,
12/01/2028
11‌
11‌
3.50%,
12/01/2028
118‌
122‌
3.50%,
01/01/2029
107‌
110‌
3.50%,
03/01/2029
13‌
13‌
3.50%,
03/01/2029
197‌
204‌
3.50%,
12/01/2029
50‌
52‌
3.50%,
12/01/2029
91‌
94‌
3.50%,
04/01/2030
102‌
106‌
3.50%,
11/01/2030
31‌
32‌
3.50%,
01/01/2031
9‌
9‌
3.50%,
02/01/2031
81‌
85‌
3.50%,
04/01/2031
18‌
19‌
3.50%,
02/01/2032
111‌
115‌
3.50%,
04/01/2032
77‌
80‌
3.50%,
05/01/2032
167‌
173‌
3.50%,
06/01/2032
294‌
305‌
3.50%,
07/01/2032
107‌
111‌
3.50%,
09/01/2032
166‌
172‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
National
Mortgage
Association
(FNMA)/Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
Uniform
Mortgage-Backed
Security
(continued)
3.50%,
09/01/2033
$
273‌
$
282‌
3.50%,
09/01/2033
81‌
84‌
3.50%,
10/01/2033
166‌
172‌
3.50%,
10/01/2033
631‌
652‌
3.50%,
11/01/2033
170‌
177‌
3.50%,
01/01/2034
119‌
123‌
3.50%,
06/01/2034
216‌
224‌
3.50%,
08/01/2034
56‌
58‌
3.50%,
11/01/2034
134‌
139‌
3.50%,
12/01/2035
308‌
318‌
3.50%,
07/01/2036
338‌
349‌
3.50%,
02/01/2037
228‌
235‌
3.50%,
03/01/2037
284‌
292‌
3.50%,
05/01/2037
59‌
61‌
3.50%,
07/01/2037
140‌
144‌
3.50%,
10/01/2037
164‌
169‌
3.50%,
01/01/2038
414‌
427‌
3.50%,
10/01/2040
8‌
8‌
3.50%,
11/01/2040
33‌
34‌
3.50%,
12/01/2040
37‌
39‌
3.50%,
01/01/2041
1,174‌
1,214‌
3.50%,
01/01/2041
24‌
25‌
3.50%,
02/01/2041
17‌
17‌
3.50%,
02/01/2041
14‌
15‌
3.50%,
03/01/2041
60‌
62‌
3.50%,
03/01/2041
1,569‌
1,619‌
3.50%,
10/01/2041
153‌
159‌
3.50%,
12/01/2041
437‌
453‌
3.50%,
12/01/2041
474‌
492‌
3.50%,
12/01/2041
156‌
162‌
3.50%,
01/01/2042
89‌
93‌
3.50%,
01/01/2042
79‌
82‌
3.50%,
01/01/2042
162‌
168‌
3.50%,
02/01/2042
41‌
42‌
3.50%,
02/01/2042
17‌
17‌
3.50%,
03/01/2042
165‌
172‌
3.50%,
03/01/2042
108‌
113‌
3.50%,
03/01/2042
349‌
363‌
3.50%,
03/01/2042
90‌
94‌
3.50%,
03/01/2042
39‌
40‌
3.50%,
03/01/2042
51‌
53‌
3.50%,
04/01/2042
82‌
85‌
3.50%,
04/01/2042
60‌
62‌
3.50%,
04/01/2042
74‌
76‌
3.50%,
04/01/2042
75‌
78‌
3.50%,
05/01/2042
772‌
801‌
3.50%,
05/01/2042
114‌
118‌
3.50%,
07/01/2042
199‌
207‌
3.50%,
07/01/2042
110‌
114‌
3.50%,
08/01/2042
145‌
151‌
3.50%,
09/01/2042
113‌
118‌
3.50%,
09/01/2042
47‌
49‌
3.50%,
10/01/2042
386‌
401‌
3.50%,
10/01/2042
847‌
879‌
3.50%,
10/01/2042
13‌
13‌
3.50%,
04/01/2043
91‌
95‌
3.50%,
04/01/2043
204‌
211‌
3.50%,
05/01/2043
659‌
684‌
3.50%,
05/01/2043
513‌
534‌
3.50%,
05/01/2043
243‌
252‌
3.50%,
06/01/2043
530‌
552‌
3.50%,
06/01/2043
299‌
311‌
3.50%,
07/01/2043
269‌
280‌
3.50%,
07/01/2043
836‌
868‌
3.50%,
08/01/2043
152‌
158‌
3.50%,
08/01/2043
630‌
654‌
3.50%,
09/01/2043
195‌
203‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
97
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
National
Mortgage
Association
(FNMA)/Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
Uniform
Mortgage-Backed
Security
(continued)
3.50%,
09/01/2043
$
522‌
$
542‌
3.50%,
12/01/2043
217‌
225‌
3.50%,
01/01/2044
43‌
45‌
3.50%,
02/01/2044
411‌
426‌
3.50%,
02/01/2044
210‌
218‌
3.50%,
04/01/2044
45‌
46‌
3.50%,
07/01/2044
1,187‌
1,232‌
3.50%,
10/01/2044
33‌
34‌
3.50%,
10/01/2044
640‌
663‌
3.50%,
10/01/2044
35‌
36‌
3.50%,
10/01/2044
241‌
250‌
3.50%,
11/01/2044
651‌
674‌
3.50%,
12/01/2044
110‌
113‌
3.50%,
12/01/2044
556‌
575‌
3.50%,
12/01/2044
604‌
624‌
3.50%,
01/01/2045
712‌
736‌
3.50%,
02/01/2045
93‌
96‌
3.50%,
04/01/2045
681‌
702‌
3.50%,
05/01/2045
31‌
32‌
3.50%,
05/01/2045
246‌
254‌
3.50%,
07/01/2045
631‌
651‌
3.50%,
07/01/2045
129‌
134‌
3.50%,
08/01/2045
776‌
801‌
3.50%,
08/01/2045
735‌
758‌
3.50%,
09/01/2045
713‌
735‌
3.50%,
09/01/2045
402‌
415‌
3.50%,
09/01/2045
787‌
812‌
3.50%,
10/01/2045
19‌
20‌
3.50%,
11/01/2045
620‌
640‌
3.50%,
11/01/2045
322‌
332‌
3.50%,
11/01/2045
766‌
790‌
3.50%,
11/01/2045
18‌
19‌
3.50%,
12/01/2045
719‌
741‌
3.50%,
12/01/2045
1,104‌
1,138‌
3.50%,
12/01/2045
627‌
647‌
3.50%,
01/01/2046
1,326‌
1,368‌
3.50%,
01/01/2046
944‌
973‌
3.50%,
02/01/2046
280‌
288‌
3.50%,
02/01/2046
82‌
84‌
3.50%,
02/01/2046
556‌
573‌
3.50%,
03/01/2046
635‌
654‌
3.50%,
03/01/2046
821‌
846‌
3.50%,
03/01/2046
588‌
607‌
3.50%,
03/01/2046
886‌
914‌
3.50%,
04/01/2046
51‌
53‌
3.50%,
05/01/2046
1,030‌
1,062‌
3.50%,
06/01/2046
170‌
175‌
3.50%,
06/01/2046
1,023‌
1,054‌
3.50%,
07/01/2046
727‌
748‌
3.50%,
07/01/2046
63‌
65‌
3.50%,
09/01/2046
714‌
734‌
3.50%,
11/01/2046
1,098‌
1,133‌
3.50%,
12/01/2046
831‌
856‌
3.50%,
01/01/2047
1,479‌
1,523‌
3.50%,
02/01/2047
1,287‌
1,327‌
3.50%,
03/01/2047
133‌
136‌
3.50%,
07/01/2047
29‌
30‌
3.50%,
08/01/2047
290‌
298‌
3.50%,
09/01/2047
405‌
417‌
3.50%,
11/01/2047
1,807‌
1,861‌
3.50%,
01/01/2048
1,549‌
1,595‌
3.50%,
02/01/2048
1,479‌
1,521‌
3.50%,
02/01/2048
236‌
243‌
3.50%,
03/01/2048
1,140‌
1,173‌
3.50%,
03/01/2048
29‌
30‌
3.50%,
04/01/2048
712‌
732‌
3.50%,
06/01/2048
979‌
1,006‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
National
Mortgage
Association
(FNMA)/Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
Uniform
Mortgage-Backed
Security
(continued)
3.50%,
06/01/2048
$
347‌
$
355‌
3.50%,
07/01/2048
923‌
946‌
3.50%,
10/01/2048
219‌
224‌
3.50%,
10/01/2048
411‌
420‌
3.50%,
10/01/2048
247‌
253‌
3.50%,
10/01/2048
660‌
676‌
3.50%,
11/01/2048
1,051‌
1,077‌
3.50%,
12/01/2048
493‌
505‌
3.50%,
01/01/2049
95‌
97‌
3.50%,
02/01/2049
490‌
501‌
3.50%,
03/01/2049
858‌
879‌
3.50%,
03/01/2049
98‌
101‌
4.00%,
03/01/2024
31‌
32‌
4.00%,
05/01/2024
8‌
8‌
4.00%,
05/01/2024
7‌
7‌
4.00%,
06/01/2024
12‌
12‌
4.00%,
07/01/2024
13‌
14‌
4.00%,
09/01/2024
5‌
6‌
4.00%,
10/01/2024
45‌
46‌
4.00%,
11/01/2024
3‌
4‌
4.00%,
01/01/2025
12‌
12‌
4.00%,
03/01/2025
13‌
13‌
4.00%,
04/01/2025
3‌
3‌
4.00%,
04/01/2025
69‌
71‌
4.00%,
05/01/2025
14‌
15‌
4.00%,
05/01/2025
3‌
3‌
4.00%,
05/01/2025
13‌
13‌
4.00%,
05/01/2025
10‌
10‌
4.00%,
05/01/2025
1‌
1‌
4.00%,
06/01/2025
3‌
3‌
4.00%,
06/01/2025
13‌
14‌
4.00%,
07/01/2025
200‌
208‌
4.00%,
07/01/2025
20‌
21‌
4.00%,
08/01/2025
9‌
9‌
4.00%,
09/01/2025
12‌
12‌
4.00%,
11/01/2025
16‌
17‌
4.00%,
12/01/2025
22‌
22‌
4.00%,
01/01/2026
15‌
15‌
4.00%,
01/01/2026
32‌
33‌
4.00%,
01/01/2026
19‌
20‌
4.00%,
03/01/2026
2‌
2‌
4.00%,
03/01/2026
27‌
28‌
4.00%,
03/01/2026
55‌
57‌
4.00%,
05/01/2026
13‌
13‌
4.00%,
06/01/2026
15‌
15‌
4.00%,
07/01/2026
14‌
15‌
4.00%,
08/01/2026
58‌
60‌
4.00%,
09/01/2026
32‌
33‌
4.00%,
04/01/2029
4‌
5‌
4.00%,
10/01/2030
13‌
14‌
4.00%,
12/01/2030
118‌
124‌
4.00%,
02/01/2031
40‌
41‌
4.00%,
03/01/2031
978‌
1,019‌
4.00%,
07/01/2031
25‌
26‌
4.00%,
10/01/2031
102‌
107‌
4.00%,
11/01/2031
24‌
25‌
4.00%,
12/01/2031
20‌
21‌
4.00%,
01/01/2032
30‌
31‌
4.00%,
09/01/2033
220‌
232‌
4.00%,
01/01/2036
222‌
234‌
4.00%,
02/01/2036
143‌
150‌
4.00%,
06/01/2036
126‌
132‌
4.00%,
01/01/2037
171‌
178‌
4.00%,
02/01/2037
443‌
463‌
4.00%,
07/01/2038
518‌
540‌
4.00%,
02/01/2039
166‌
173‌
4.00%,
03/01/2039
6‌
7‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
98
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
National
Mortgage
Association
(FNMA)/Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
Uniform
Mortgage-Backed
Security
(continued)
4.00%,
08/01/2039
$
24‌
$
25‌
4.00%,
08/01/2039
5‌
5‌
4.00%,
10/01/2039
223‌
232‌
4.00%,
10/01/2039
7‌
8‌
4.00%,
11/01/2039
33‌
35‌
4.00%,
12/01/2039
8‌
8‌
4.00%,
02/01/2040
22‌
24‌
4.00%,
05/01/2040
6‌
6‌
4.00%,
05/01/2040
21‌
23‌
4.00%,
08/01/2040
19‌
20‌
4.00%,
10/01/2040
34‌
36‌
4.00%,
10/01/2040
9‌
10‌
4.00%,
10/01/2040
16‌
16‌
4.00%,
10/01/2040
31‌
33‌
4.00%,
10/01/2040
10‌
10‌
4.00%,
10/01/2040
56‌
59‌
4.00%,
10/01/2040
18‌
19‌
4.00%,
11/01/2040
13‌
14‌
4.00%,
12/01/2040
58‌
61‌
4.00%,
12/01/2040
33‌
35‌
4.00%,
12/01/2040
12‌
13‌
4.00%,
12/01/2040
44‌
46‌
4.00%,
12/01/2040
60‌
63‌
4.00%,
01/01/2041
44‌
46‌
4.00%,
01/01/2041
394‌
415‌
4.00%,
01/01/2041
28‌
30‌
4.00%,
01/01/2041
69‌
73‌
4.00%,
02/01/2041
113‌
119‌
4.00%,
02/01/2041
36‌
38‌
4.00%,
02/01/2041
44‌
47‌
4.00%,
02/01/2041
318‌
335‌
4.00%,
02/01/2041
65‌
69‌
4.00%,
02/01/2041
57‌
60‌
4.00%,
03/01/2041
270‌
281‌
4.00%,
03/01/2041
42‌
44‌
4.00%,
03/01/2041
63‌
67‌
4.00%,
04/01/2041
5‌
5‌
4.00%,
09/01/2041
148‌
156‌
4.00%,
09/01/2041
16‌
17‌
4.00%,
09/01/2041
94‌
99‌
4.00%,
10/01/2041
9‌
10‌
4.00%,
10/01/2041
53‌
56‌
4.00%,
10/01/2041
115‌
121‌
4.00%,
11/01/2041
43‌
45‌
4.00%,
11/01/2041
95‌
100‌
4.00%,
11/01/2041
62‌
65‌
4.00%,
11/01/2041
8‌
8‌
4.00%,
11/01/2041
19‌
20‌
4.00%,
12/01/2041
59‌
62‌
4.00%,
12/01/2041
56‌
60‌
4.00%,
12/01/2041
85‌
90‌
4.00%,
12/01/2041
157‌
165‌
4.00%,
12/01/2041
58‌
61‌
4.00%,
01/01/2042
60‌
63‌
4.00%,
01/01/2042
20‌
21‌
4.00%,
01/01/2042
68‌
72‌
4.00%,
02/01/2042
44‌
46‌
4.00%,
05/01/2042
433‌
457‌
4.00%,
02/01/2043
153‌
162‌
4.00%,
08/01/2043
94‌
98‌
4.00%,
09/01/2043
19‌
20‌
4.00%,
09/01/2043
78‌
82‌
4.00%,
12/01/2043
157‌
165‌
4.00%,
01/01/2044
445‌
469‌
4.00%,
02/01/2044
36‌
38‌
4.00%,
04/01/2044
500‌
524‌
4.00%,
06/01/2044
263‌
276‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
National
Mortgage
Association
(FNMA)/Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
Uniform
Mortgage-Backed
Security
(continued)
4.00%,
06/01/2044
$
411‌
$
433‌
4.00%,
06/01/2044
69‌
72‌
4.00%,
07/01/2044
523‌
548‌
4.00%,
07/01/2044
396‌
415‌
4.00%,
09/01/2044
200‌
209‌
4.00%,
10/01/2044
274‌
287‌
4.00%,
10/01/2044
137‌
143‌
4.00%,
10/01/2044
89‌
94‌
4.00%,
10/01/2044
283‌
296‌
4.00%,
10/01/2044
740‌
775‌
4.00%,
11/01/2044
289‌
303‌
4.00%,
11/01/2044
85‌
87‌
4.00%,
11/01/2044
70‌
74‌
4.00%,
12/01/2044
363‌
380‌
4.00%,
12/01/2044
61‌
63‌
4.00%,
12/01/2044
96‌
100‌
4.00%,
12/01/2044
58‌
61‌
4.00%,
12/01/2044
302‌
316‌
4.00%,
01/01/2045
41‌
43‌
4.00%,
01/01/2045
11‌
12‌
4.00%,
01/01/2045
176‌
185‌
4.00%,
01/01/2045
29‌
30‌
4.00%,
02/01/2045
185‌
194‌
4.00%,
02/01/2045
494‌
517‌
4.00%,
02/01/2045
245‌
256‌
4.00%,
03/01/2045
19‌
19‌
4.00%,
07/01/2045
26‌
27‌
4.00%,
07/01/2045
302‌
316‌
4.00%,
07/01/2045
406‌
425‌
4.00%,
08/01/2045
46‌
48‌
4.00%,
08/01/2045
11‌
11‌
4.00%,
09/01/2045
507‌
531‌
4.00%,
10/01/2045
131‌
137‌
4.00%,
10/01/2045
483‌
506‌
4.00%,
11/01/2045
109‌
114‌
4.00%,
11/01/2045
19‌
20‌
4.00%,
11/01/2045
193‌
202‌
4.00%,
11/01/2045
635‌
664‌
4.00%,
12/01/2045
252‌
263‌
4.00%,
12/01/2045
146‌
153‌
4.00%,
01/01/2046
447‌
468‌
4.00%,
02/01/2046
146‌
153‌
4.00%,
02/01/2046
68‌
70‌
4.00%,
02/01/2046
543‌
568‌
4.00%,
03/01/2046
182‌
188‌
4.00%,
03/01/2046
103‌
108‌
4.00%,
03/01/2046
225‌
235‌
4.00%,
03/01/2046
212‌
222‌
4.00%,
04/01/2046
39‌
40‌
4.00%,
04/01/2046
449‌
470‌
4.00%,
07/01/2046
654‌
681‌
4.00%,
08/01/2046
31‌
32‌
4.00%,
04/01/2047
1,295‌
1,353‌
4.00%,
06/01/2047
1,271‌
1,326‌
4.00%,
08/01/2047
1,185‌
1,236‌
4.00%,
08/01/2047
1,338‌
1,394‌
4.00%,
08/01/2047
173‌
181‌
4.00%,
08/01/2047
742‌
773‌
4.00%,
09/01/2047
1,290‌
1,344‌
4.00%,
11/01/2047
2,472‌
2,573‌
4.00%,
01/01/2048
1,888‌
1,964‌
4.00%,
02/01/2048
909‌
946‌
4.00%,
03/01/2048
444‌
462‌
4.00%,
06/01/2048
921‌
957‌
4.00%,
07/01/2048
742‌
770‌
4.00%,
08/01/2048
520‌
539‌
4.00%,
08/01/2048
436‌
453‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
99
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
National
Mortgage
Association
(FNMA)/Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
Uniform
Mortgage-Backed
Security
(continued)
4.00%,
09/01/2048
$
1,333‌
$
1,385‌
4.00%,
09/01/2048
1,508‌
1,564‌
4.00%,
11/01/2048
1,271‌
1,314‌
4.00%,
12/01/2048
1,498‌
1,549‌
4.00%,
01/01/2049
1,539‌
1,594‌
4.00%,
03/01/2049
948‌
986‌
4.00%,
03/01/2049
493‌
509‌
4.00%,
04/01/2049
1,638‌
1,694‌
4.50%,
01/01/2020
1‌
1‌
4.50%,
05/01/2022
1‌
1‌
4.50%,
02/01/2024
2‌
2‌
4.50%,
04/01/2024
1‌
1‌
4.50%,
04/01/2024
1‌
1‌
4.50%,
11/01/2024
5‌
5‌
4.50%,
12/01/2024
8‌
9‌
4.50%,
12/01/2024
13‌
14‌
4.50%,
02/01/2025
20‌
20‌
4.50%,
02/01/2025
19‌
19‌
4.50%,
04/01/2025
2‌
2‌
4.50%,
05/01/2025
15‌
15‌
4.50%,
04/01/2026
20‌
21‌
4.50%,
07/01/2029
2‌
2‌
4.50%,
02/01/2030
11‌
12‌
4.50%,
04/01/2030
4‌
4‌
4.50%,
08/01/2030
81‌
87‌
4.50%,
09/01/2030
65‌
70‌
4.50%,
01/01/2031
14‌
15‌
4.50%,
04/01/2031
8‌
8‌
4.50%,
05/01/2031
12‌
13‌
4.50%,
07/01/2031
50‌
54‌
4.50%,
08/01/2031
28‌
29‌
4.50%,
08/01/2033
15‌
16‌
4.50%,
08/01/2033
1‌
1‌
4.50%,
11/01/2033
34‌
36‌
4.50%,
02/01/2035
117‌
126‌
4.50%,
12/01/2035
85‌
91‌
4.50%,
01/01/2036
1‌
1‌
4.50%,
03/01/2036
5‌
5‌
4.50%,
04/01/2038
26‌
27‌
4.50%,
06/01/2038
20‌
21‌
4.50%,
01/01/2039
3‌
3‌
4.50%,
02/01/2039
10‌
10‌
4.50%,
04/01/2039
36‌
38‌
4.50%,
04/01/2039
46‌
50‌
4.50%,
04/01/2039
7‌
8‌
4.50%,
06/01/2039
62‌
67‌
4.50%,
06/01/2039
33‌
36‌
4.50%,
06/01/2039
11‌
11‌
4.50%,
06/01/2039
18‌
19‌
4.50%,
07/01/2039
20‌
22‌
4.50%,
07/01/2039
32‌
34‌
4.50%,
07/01/2039
49‌
52‌
4.50%,
08/01/2039
24‌
26‌
4.50%,
09/01/2039
20‌
21‌
4.50%,
10/01/2039
36‌
39‌
4.50%,
10/01/2039
60‌
64‌
4.50%,
10/01/2039
14‌
14‌
4.50%,
12/01/2039
15‌
17‌
4.50%,
12/01/2039
34‌
37‌
4.50%,
12/01/2039
12‌
13‌
4.50%,
12/01/2039
48‌
52‌
4.50%,
12/01/2039
78‌
84‌
4.50%,
01/01/2040
66‌
72‌
4.50%,
01/01/2040
77‌
83‌
4.50%,
02/01/2040
46‌
50‌
4.50%,
02/01/2040
27‌
29‌
4.50%,
03/01/2040
29‌
32‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
National
Mortgage
Association
(FNMA)/Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
Uniform
Mortgage-Backed
Security
(continued)
4.50%,
04/01/2040
$
39‌
$
42‌
4.50%,
05/01/2040
26‌
28‌
4.50%,
05/01/2040
108‌
116‌
4.50%,
05/01/2040
32‌
35‌
4.50%,
05/01/2040
66‌
70‌
4.50%,
06/01/2040
19‌
21‌
4.50%,
07/01/2040
1‌
1‌
4.50%,
07/01/2040
24‌
26‌
4.50%,
08/01/2040
36‌
38‌
4.50%,
08/01/2040
57‌
61‌
4.50%,
08/01/2040
107‌
115‌
4.50%,
08/01/2040
218‌
234‌
4.50%,
09/01/2040
17‌
18‌
4.50%,
09/01/2040
20‌
21‌
4.50%,
09/01/2040
13‌
14‌
4.50%,
10/01/2040
84‌
90‌
4.50%,
12/01/2040
15‌
16‌
4.50%,
12/01/2040
198‌
212‌
4.50%,
03/01/2041
32‌
35‌
4.50%,
03/01/2041
115‌
123‌
4.50%,
03/01/2041
23‌
24‌
4.50%,
03/01/2041
34‌
36‌
4.50%,
04/01/2041
28‌
30‌
4.50%,
04/01/2041
4‌
4‌
4.50%,
05/01/2041
102‌
110‌
4.50%,
05/01/2041
74‌
80‌
4.50%,
05/01/2041
38‌
41‌
4.50%,
06/01/2041
143‌
154‌
4.50%,
06/01/2041
85‌
91‌
4.50%,
06/01/2041
21‌
23‌
4.50%,
06/01/2041
31‌
34‌
4.50%,
06/01/2041
73‌
78‌
4.50%,
07/01/2041
34‌
37‌
4.50%,
07/01/2041
28‌
30‌
4.50%,
07/01/2041
42‌
45‌
4.50%,
08/01/2041
44‌
47‌
4.50%,
09/01/2041
211‌
226‌
4.50%,
09/01/2041
44‌
47‌
4.50%,
09/01/2041
57‌
61‌
4.50%,
10/01/2041
45‌
48‌
4.50%,
11/01/2041
56‌
60‌
4.50%,
11/01/2041
54‌
58‌
4.50%,
11/01/2041
41‌
44‌
4.50%,
11/01/2041
45‌
48‌
4.50%,
12/01/2041
53‌
57‌
4.50%,
04/01/2042
20‌
21‌
4.50%,
09/01/2042
91‌
97‌
4.50%,
09/01/2043
298‌
318‌
4.50%,
09/01/2043
254‌
272‌
4.50%,
09/01/2043
127‌
136‌
4.50%,
10/01/2043
309‌
329‌
4.50%,
11/01/2043
11‌
12‌
4.50%,
12/01/2043
123‌
131‌
4.50%,
12/01/2043
16‌
17‌
4.50%,
01/01/2044
620‌
660‌
4.50%,
01/01/2044
523‌
558‌
4.50%,
02/01/2044
267‌
284‌
4.50%,
03/01/2044
259‌
275‌
4.50%,
03/01/2044
162‌
172‌
4.50%,
04/01/2044
35‌
37‌
4.50%,
04/01/2044
83‌
88‌
4.50%,
05/01/2044
72‌
77‌
4.50%,
05/01/2044
207‌
220‌
4.50%,
05/01/2044
193‌
206‌
4.50%,
05/01/2044
654‌
698‌
4.50%,
05/01/2044
119‌
127‌
4.50%,
06/01/2044
374‌
399‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
100
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
National
Mortgage
Association
(FNMA)/Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
Uniform
Mortgage-Backed
Security
(continued)
4.50%,
06/01/2044
$
213‌
$
227‌
4.50%,
06/01/2044
155‌
165‌
4.50%,
06/01/2044
344‌
366‌
4.50%,
06/01/2044
181‌
192‌
4.50%,
07/01/2044
269‌
286‌
4.50%,
07/01/2044
150‌
159‌
4.50%,
07/01/2044
6‌
6‌
4.50%,
08/01/2044
34‌
37‌
4.50%,
08/01/2044
253‌
269‌
4.50%,
08/01/2044
272‌
290‌
4.50%,
08/01/2044
94‌
101‌
4.50%,
10/01/2044
17‌
19‌
4.50%,
12/01/2044
358‌
383‌
4.50%,
03/01/2046
57‌
61‌
4.50%,
04/01/2046
298‌
316‌
4.50%,
07/01/2046
30‌
32‌
4.50%,
08/01/2046
250‌
264‌
4.50%,
08/01/2046
25‌
26‌
4.50%,
01/01/2047
89‌
94‌
4.50%,
01/01/2047
183‌
193‌
4.50%,
01/01/2047
225‌
237‌
4.50%,
02/01/2047
336‌
354‌
4.50%,
02/01/2047
162‌
171‌
4.50%,
03/01/2047
271‌
285‌
4.50%,
03/01/2047
755‌
796‌
4.50%,
10/01/2047
321‌
338‌
4.50%,
11/01/2047
569‌
599‌
4.50%,
01/01/2048
87‌
91‌
4.50%,
02/01/2048
423‌
444‌
4.50%,
05/01/2048
884‌
929‌
4.50%,
06/01/2048
605‌
634‌
4.50%,
08/01/2048
860‌
900‌
4.50%,
08/01/2048
99‌
104‌
4.50%,
08/01/2048
270‌
284‌
4.50%,
10/01/2048
1,608‌
1,680‌
4.50%,
11/01/2048
93‌
97‌
4.50%,
12/01/2048
1,370‌
1,434‌
4.50%,
01/01/2049
1,461‌
1,526‌
4.50%,
02/01/2049
1,220‌
1,275‌
4.50%,
04/01/2049
1,344‌
1,404‌
5.00%,
11/01/2020
24‌
24‌
5.00%,
02/01/2023
3‌
3‌
5.00%,
07/01/2023
1‌
1‌
5.00%,
09/01/2023
26‌
26‌
5.00%,
12/01/2023
2‌
2‌
5.00%,
12/01/2023
5‌
6‌
5.00%,
01/01/2024
4‌
4‌
5.00%,
01/01/2024
10‌
10‌
5.00%,
02/01/2024
25‌
26‌
5.00%,
07/01/2024
4‌
4‌
5.00%,
12/01/2024
17‌
17‌
5.00%,
04/01/2029
9‌
9‌
5.00%,
09/01/2029
111‌
118‌
5.00%,
03/01/2030
14‌
15‌
5.00%,
08/01/2030
19‌
20‌
5.00%,
05/01/2033
7‌
7‌
5.00%,
05/01/2033
10‌
11‌
5.00%,
07/01/2033
47‌
51‌
5.00%,
08/01/2033
3‌
3‌
5.00%,
09/01/2033
23‌
25‌
5.00%,
09/01/2033
31‌
33‌
5.00%,
11/01/2033
29‌
32‌
5.00%,
02/01/2034
4‌
4‌
5.00%,
03/01/2034
5‌
5‌
5.00%,
05/01/2034
45‌
49‌
5.00%,
02/01/2035
35‌
39‌
5.00%,
03/01/2035
5‌
5‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
National
Mortgage
Association
(FNMA)/Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
Uniform
Mortgage-Backed
Security
(continued)
5.00%,
04/01/2035
$
5‌
$
6‌
5.00%,
06/01/2035
65‌
71‌
5.00%,
07/01/2035
7‌
7‌
5.00%,
07/01/2035
160‌
175‌
5.00%,
07/01/2035
3‌
3‌
5.00%,
07/01/2035
72‌
77‌
5.00%,
07/01/2035
30‌
33‌
5.00%,
09/01/2035
5‌
5‌
5.00%,
10/01/2035
15‌
16‌
5.00%,
01/01/2036
26‌
29‌
5.00%,
03/01/2036
17‌
19‌
5.00%,
03/01/2036
27‌
29‌
5.00%,
04/01/2036
1‌
1‌
5.00%,
06/01/2036
65‌
71‌
5.00%,
07/01/2036
37‌
40‌
5.00%,
04/01/2037
222‌
239‌
5.00%,
07/01/2037
11‌
12‌
5.00%,
02/01/2038
70‌
76‌
5.00%,
04/01/2038
24‌
26‌
5.00%,
05/01/2038
1‌
1‌
5.00%,
06/01/2038
3‌
3‌
5.00%,
12/01/2038
9‌
9‌
5.00%,
01/01/2039
23‌
25‌
5.00%,
01/01/2039
315‌
342‌
5.00%,
02/01/2039
38‌
41‌
5.00%,
03/01/2039
14‌
15‌
5.00%,
03/01/2039
1‌
1‌
5.00%,
04/01/2039
32‌
35‌
5.00%,
04/01/2039
22‌
24‌
5.00%,
04/01/2039
11‌
12‌
5.00%,
06/01/2039
59‌
64‌
5.00%,
07/01/2039
131‌
142‌
5.00%,
07/01/2039
134‌
146‌
5.00%,
07/01/2039
36‌
39‌
5.00%,
10/01/2039
27‌
29‌
5.00%,
12/01/2039
61‌
67‌
5.00%,
12/01/2039
23‌
26‌
5.00%,
01/01/2040
50‌
55‌
5.00%,
02/01/2040
76‌
84‌
5.00%,
05/01/2040
97‌
105‌
5.00%,
05/01/2040
14‌
16‌
5.00%,
06/01/2040
6‌
7‌
5.00%,
06/01/2040
35‌
38‌
5.00%,
06/01/2040
44‌
47‌
5.00%,
08/01/2040
72‌
78‌
5.00%,
08/01/2040
20‌
22‌
5.00%,
08/01/2040
15‌
16‌
5.00%,
09/01/2040
7‌
7‌
5.00%,
09/01/2040
57‌
61‌
5.00%,
11/01/2040
24‌
26‌
5.00%,
02/01/2041
174‌
189‌
5.00%,
02/01/2041
284‌
309‌
5.00%,
04/01/2041
19‌
21‌
5.00%,
05/01/2041
27‌
29‌
5.00%,
05/01/2041
27‌
29‌
5.00%,
05/01/2041
24‌
27‌
5.00%,
05/01/2041
14‌
15‌
5.00%,
07/01/2041
251‌
273‌
5.00%,
07/01/2041
5‌
6‌
5.00%,
05/01/2042
385‌
418‌
5.00%,
09/01/2043
312‌
339‌
5.00%,
12/01/2043
275‌
299‌
5.00%,
01/01/2044
84‌
91‌
5.00%,
01/01/2044
70‌
76‌
5.00%,
03/01/2044
273‌
296‌
5.00%,
03/01/2044
187‌
200‌
5.00%,
05/01/2044
161‌
174‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
101
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
National
Mortgage
Association
(FNMA)/Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
Uniform
Mortgage-Backed
Security
(continued)
5.00%,
07/01/2044
$
86‌
$
91‌
5.00%,
08/01/2044
80‌
85‌
5.00%,
11/01/2044
259‌
281‌
5.00%,
09/01/2047
361‌
383‌
5.00%,
04/01/2048
199‌
210‌
5.00%,
07/01/2048
90‌
95‌
5.00%,
08/01/2048
238‌
252‌
5.00%,
08/01/2048
61‌
65‌
5.00%,
02/01/2049
175‌
186‌
5.00%,
05/01/2049
319‌
338‌
5.00%,
06/01/2049
49‌
52‌
5.50%,
05/01/2021
1‌
1‌
5.50%,
11/01/2022
2‌
2‌
5.50%,
11/01/2022
4‌
4‌
5.50%,
01/01/2023
3‌
4‌
5.50%,
02/01/2023
4‌
4‌
5.50%,
03/01/2023
3‌
3‌
5.50%,
04/01/2023
7‌
7‌
5.50%,
07/01/2023
4‌
4‌
5.50%,
08/01/2023
41‌
44‌
5.50%,
09/01/2023
3‌
3‌
5.50%,
10/01/2023
51‌
54‌
5.50%,
11/01/2023
61‌
65‌
5.50%,
12/01/2023
2‌
2‌
5.50%,
05/01/2025
1‌
1‌
5.50%,
02/01/2026
55‌
59‌
5.50%,
03/01/2027
49‌
52‌
5.50%,
06/01/2028
5‌
5‌
5.50%,
09/01/2028
1‌
2‌
5.50%,
01/01/2029
4‌
4‌
5.50%,
01/01/2029
26‌
28‌
5.50%,
12/01/2029
20‌
22‌
5.50%,
06/01/2033
9‌
9‌
5.50%,
10/01/2033
152‌
169‌
5.50%,
04/01/2034
26‌
29‌
5.50%,
04/01/2034
19‌
21‌
5.50%,
04/01/2034
37‌
41‌
5.50%,
05/01/2034
23‌
26‌
5.50%,
06/01/2034
2‌
3‌
5.50%,
11/01/2034
20‌
23‌
5.50%,
01/01/2035
5‌
6‌
5.50%,
01/01/2035
20‌
23‌
5.50%,
03/01/2035
8‌
9‌
5.50%,
04/01/2035
1‌
1‌
5.50%,
04/01/2035
12‌
13‌
5.50%,
08/01/2035
3‌
4‌
5.50%,
09/01/2035
1‌
1‌
5.50%,
10/01/2035
2‌
2‌
5.50%,
10/01/2035
4‌
5‌
5.50%,
11/01/2035
181‌
201‌
5.50%,
12/01/2035
7‌
8‌
5.50%,
01/01/2036
2‌
3‌
5.50%,
02/01/2036
17‌
18‌
5.50%,
04/01/2036
25‌
27‌
5.50%,
04/01/2036
1‌
1‌
5.50%,
05/01/2036
96‌
107‌
5.50%,
07/01/2036
12‌
13‌
5.50%,
08/01/2036
35‌
39‌
5.50%,
09/01/2036
34‌
37‌
5.50%,
09/01/2036
14‌
15‌
5.50%,
10/01/2036
28‌
32‌
5.50%,
11/01/2036
8‌
8‌
5.50%,
11/01/2036
4‌
5‌
5.50%,
11/01/2036
10‌
11‌
5.50%,
12/01/2036
101‌
112‌
5.50%,
01/01/2037
11‌
12‌
5.50%,
02/01/2037
23‌
26‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
National
Mortgage
Association
(FNMA)/Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
Uniform
Mortgage-Backed
Security
(continued)
5.50%,
03/01/2037
$
74‌
$
82‌
5.50%,
03/01/2037
152‌
168‌
5.50%,
05/01/2037
10‌
11‌
5.50%,
05/01/2037
1‌
1‌
5.50%,
05/01/2037
83‌
91‌
5.50%,
05/01/2037
306‌
339‌
5.50%,
05/01/2037
61‌
67‌
5.50%,
06/01/2037
26‌
28‌
5.50%,
07/01/2037
2‌
2‌
5.50%,
07/01/2037
1‌
1‌
5.50%,
08/01/2037
146‌
162‌
5.50%,
08/01/2037
113‌
126‌
5.50%,
08/01/2037
118‌
131‌
5.50%,
01/01/2038
5‌
6‌
5.50%,
01/01/2038
5‌
5‌
5.50%,
02/01/2038
12‌
13‌
5.50%,
02/01/2038
31‌
35‌
5.50%,
02/01/2038
12‌
13‌
5.50%,
03/01/2038
7‌
7‌
5.50%,
03/01/2038
43‌
47‌
5.50%,
03/01/2038
15‌
17‌
5.50%,
03/01/2038
7‌
7‌
5.50%,
05/01/2038
11‌
12‌
5.50%,
05/01/2038
217‌
238‌
5.50%,
05/01/2038
4‌
4‌
5.50%,
06/01/2038
1‌
2‌
5.50%,
06/01/2038
113‌
123‌
5.50%,
06/01/2038
85‌
92‌
5.50%,
06/01/2038
10‌
11‌
5.50%,
06/01/2038
1‌
1‌
5.50%,
07/01/2038
8‌
9‌
5.50%,
07/01/2038
6‌
7‌
5.50%,
08/01/2038
115‌
125‌
5.50%,
11/01/2038
3‌
4‌
5.50%,
11/01/2038
3‌
3‌
5.50%,
11/01/2038
49‌
53‌
5.50%,
11/01/2038
4‌
5‌
5.50%,
11/01/2038
116‌
127‌
5.50%,
11/01/2038
4‌
4‌
5.50%,
12/01/2038
9‌
10‌
5.50%,
12/01/2038
4‌
4‌
5.50%,
12/01/2038
7‌
8‌
5.50%,
01/01/2039
11‌
12‌
5.50%,
04/01/2039
3‌
4‌
5.50%,
06/01/2039
120‌
133‌
5.50%,
07/01/2039
28‌
31‌
5.50%,
09/01/2039
22‌
24‌
5.50%,
10/01/2039
6‌
7‌
5.50%,
12/01/2039
33‌
36‌
5.50%,
12/01/2039
13‌
14‌
5.50%,
05/01/2040
65‌
71‌
5.50%,
06/01/2040
5‌
5‌
5.50%,
07/01/2040
23‌
24‌
5.50%,
07/01/2041
93‌
101‌
5.50%,
09/01/2041
37‌
41‌
5.50%,
09/01/2041
28‌
31‌
5.50%,
06/01/2048
91‌
97‌
6.00%,
12/01/2032
11‌
13‌
6.00%,
01/01/2033
2‌
2‌
6.00%,
10/01/2033
4‌
5‌
6.00%,
12/01/2033
9‌
10‌
6.00%,
10/01/2034
14‌
16‌
6.00%,
12/01/2034
5‌
6‌
6.00%,
01/01/2035
33‌
37‌
6.00%,
07/01/2035
24‌
27‌
6.00%,
07/01/2035
50‌
57‌
6.00%,
10/01/2035
25‌
28‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
102
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
National
Mortgage
Association
(FNMA)/Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
Uniform
Mortgage-Backed
Security
(continued)
6.00%,
05/01/2036
$
2‌
$
2‌
6.00%,
05/01/2036
1‌
2‌
6.00%,
06/01/2036
15‌
17‌
6.00%,
02/01/2037
16‌
18‌
6.00%,
02/01/2037
2‌
2‌
6.00%,
03/01/2037
32‌
37‌
6.00%,
03/01/2037
13‌
15‌
6.00%,
06/01/2037
7‌
8‌
6.00%,
07/01/2037
3‌
3‌
6.00%,
09/01/2037
17‌
20‌
6.00%,
10/01/2037
1‌
1‌
6.00%,
11/01/2037
4‌
5‌
6.00%,
11/01/2037
5‌
5‌
6.00%,
12/01/2037
6‌
7‌
6.00%,
01/01/2038
7‌
8‌
6.00%,
01/01/2038
4‌
4‌
6.00%,
01/01/2038
117‌
133‌
6.00%,
02/01/2038
3‌
4‌
6.00%,
03/01/2038
7‌
8‌
6.00%,
03/01/2038
38‌
43‌
6.00%,
05/01/2038
5‌
5‌
6.00%,
05/01/2038
4‌
4‌
6.00%,
08/01/2038
7‌
7‌
6.00%,
09/01/2038
27‌
31‌
6.00%,
10/01/2038
16‌
18‌
6.00%,
11/01/2038
22‌
24‌
6.00%,
12/01/2038
4‌
4‌
6.00%,
10/01/2039
9‌
10‌
6.00%,
10/01/2039
8‌
10‌
6.00%,
04/01/2040
19‌
21‌
6.00%,
09/01/2040
6‌
7‌
6.00%,
10/01/2040
22‌
25‌
6.00%,
10/01/2040
9‌
11‌
6.00%,
05/01/2041
198‌
224‌
6.50%,
12/01/2031
1‌
1‌
6.50%,
03/01/2032
1‌
1‌
6.50%,
07/01/2032
4‌
5‌
6.50%,
11/01/2033
6‌
7‌
6.50%,
08/01/2034
13‌
15‌
6.50%,
09/01/2034
10‌
11‌
6.50%,
10/01/2034
4‌
4‌
6.50%,
07/01/2037
6‌
7‌
6.50%,
07/01/2037
4‌
4‌
6.50%,
08/01/2037
3‌
3‌
6.50%,
10/01/2037
26‌
30‌
6.50%,
01/01/2038
4‌
4‌
6.50%,
01/01/2038
108‌
126‌
6.50%,
02/01/2038
7‌
8‌
6.50%,
02/01/2038
6‌
7‌
6.50%,
03/01/2038
2‌
2‌
6.50%,
03/01/2038
20‌
24‌
6.50%,
05/01/2038
71‌
84‌
6.50%,
05/01/2038
6‌
7‌
6.50%,
09/01/2038
3‌
4‌
6.50%,
10/01/2039
6‌
7‌
7.00%,
12/01/2037
9‌
10‌
7.00%,
12/01/2037
5‌
5‌
7.50%,
05/01/2031
6‌
7‌
$
246,011‌
Government
National
Mortgage
Association
(GNMA)
-
6.08%
2.50%,
08/20/2027
57‌
58‌
2.50%,
09/20/2027
121‌
123‌
2.50%,
01/20/2028
146‌
148‌
2.50%,
03/20/2028
109‌
111‌
2.50%,
04/20/2028
112‌
113‌
2.50%,
07/20/2028
108‌
110‌
2.50%,
11/20/2030
53‌
53‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Government
National
Mortgage
Association
(GNMA)
(continued)
2.50%,
03/20/2031
$
133‌
$
135‌
2.50%,
04/20/2032
74‌
75‌
2.50%,
05/20/2032
170‌
172‌
2.50%,
03/15/2043
85‌
86‌
2.50%,
07/20/2043
205‌
208‌
2.50%,
06/20/2045
129‌
130‌
2.50%,
10/15/2046
91‌
91‌
2.50%,
11/20/2046
65‌
66‌
2.50%,
12/20/2046
324‌
326‌
2.50%,
01/20/2047
514‌
517‌
3.00%,
01/20/2027
14‌
15‌
3.00%,
04/15/2027
58‌
59‌
3.00%,
04/20/2027
99‌
102‌
3.00%,
09/20/2027
104‌
106‌
3.00%,
11/20/2027
53‌
55‌
3.00%,
09/20/2028
67‌
69‌
3.00%,
10/20/2028
94‌
96‌
3.00%,
11/20/2028
37‌
38‌
3.00%,
01/20/2029
29‌
29‌
3.00%,
05/20/2029
115‌
118‌
3.00%,
07/20/2030
233‌
239‌
3.00%,
01/20/2031
146‌
150‌
3.00%,
07/20/2032
204‌
208‌
3.00%,
01/20/2033
101‌
104‌
3.00%,
04/15/2042
17‌
17‌
3.00%,
08/20/2042
9‌
9‌
3.00%,
09/20/2042
1,400‌
1,433‌
3.00%,
10/15/2042
249‌
255‌
3.00%,
12/20/2042
395‌
404‌
3.00%,
01/20/2043
560‌
574‌
3.00%,
03/20/2043
754‌
772‌
3.00%,
03/20/2043
238‌
244‌
3.00%,
04/15/2043
40‌
41‌
3.00%,
04/20/2043
985‌
1,008‌
3.00%,
05/15/2043
34‌
35‌
3.00%,
05/15/2043
16‌
17‌
3.00%,
05/15/2043
12‌
12‌
3.00%,
06/15/2043
346‌
355‌
3.00%,
06/20/2043
216‌
221‌
3.00%,
07/15/2043
113‌
116‌
3.00%,
08/15/2043
228‌
233‌
3.00%,
08/15/2043
215‌
220‌
3.00%,
08/20/2043
102‌
105‌
3.00%,
09/20/2043
383‌
392‌
3.00%,
10/20/2043
192‌
197‌
3.00%,
11/20/2043
143‌
146‌
3.00%,
03/20/2044
281‌
287‌
3.00%,
05/15/2044
31‌
32‌
3.00%,
08/20/2044
1,140‌
1,167‌
3.00%,
11/15/2044
269‌
275‌
3.00%,
11/20/2044
448‌
459‌
3.00%,
12/20/2044
533‌
546‌
3.00%,
02/15/2045
305‌
313‌
3.00%,
03/15/2045
67‌
69‌
3.00%,
04/20/2045
51‌
52‌
3.00%,
05/20/2045
470‌
481‌
3.00%,
07/15/2045
219‌
223‌
3.00%,
07/20/2045
1,492‌
1,527‌
3.00%,
08/15/2045
244‌
250‌
3.00%,
08/20/2045
1,018‌
1,042‌
3.00%,
10/20/2045
963‌
986‌
3.00%,
11/20/2045
551‌
564‌
3.00%,
12/20/2045
794‌
813‌
3.00%,
01/20/2046
202‌
207‌
3.00%,
02/20/2046
259‌
265‌
3.00%,
03/20/2046
1,345‌
1,377‌
3.00%,
04/20/2046
935‌
957‌
3.00%,
05/20/2046
821‌
840‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
103
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Government
National
Mortgage
Association
(GNMA)
(continued)
3.00%,
06/20/2046
$
340‌
$
348‌
3.00%,
07/20/2046
1,234‌
1,264‌
3.00%,
08/20/2046
2,553‌
2,614‌
3.00%,
09/20/2046
1,465‌
1,500‌
3.00%,
10/20/2046
961‌
984‌
3.00%,
11/15/2046
37‌
37‌
3.00%,
11/20/2046
396‌
406‌
3.00%,
11/20/2046
1,452‌
1,487‌
3.00%,
12/20/2046
1,748‌
1,789‌
3.00%,
01/20/2047
1,153‌
1,181‌
3.00%,
07/20/2047
60‌
61‌
3.00%,
10/20/2047
1,388‌
1,420‌
3.00%,
11/20/2047
668‌
683‌
3.00%,
12/20/2047
2,117‌
2,166‌
3.00%,
01/20/2048
924‌
946‌
3.00%,
02/20/2048
993‌
1,016‌
3.00%,
03/20/2048
926‌
947‌
3.50%,
12/15/2025
7‌
7‌
3.50%,
02/15/2026
25‌
25‌
3.50%,
05/15/2026
11‌
11‌
3.50%,
03/20/2027
24‌
25‌
3.50%,
04/20/2027
40‌
41‌
3.50%,
09/20/2028
151‌
156‌
3.50%,
01/20/2041
44‌
46‌
3.50%,
11/15/2041
31‌
32‌
3.50%,
11/20/2041
13‌
14‌
3.50%,
01/15/2042
39‌
41‌
3.50%,
01/20/2042
63‌
66‌
3.50%,
02/15/2042
62‌
65‌
3.50%,
02/15/2042
264‌
275‌
3.50%,
02/20/2042
60‌
63‌
3.50%,
03/15/2042
53‌
55‌
3.50%,
03/15/2042
54‌
56‌
3.50%,
03/20/2042
68‌
71‌
3.50%,
04/15/2042
133‌
138‌
3.50%,
04/15/2042
304‌
316‌
3.50%,
04/20/2042
996‌
1,040‌
3.50%,
05/15/2042
85‌
88‌
3.50%,
05/15/2042
6‌
6‌
3.50%,
05/20/2042
1,038‌
1,083‌
3.50%,
06/20/2042
290‌
303‌
3.50%,
07/20/2042
1,153‌
1,203‌
3.50%,
08/15/2042
65‌
67‌
3.50%,
08/20/2042
222‌
232‌
3.50%,
10/20/2042
681‌
710‌
3.50%,
01/15/2043
417‌
434‌
3.50%,
01/15/2043
218‌
226‌
3.50%,
01/20/2043
345‌
360‌
3.50%,
02/20/2043
1,052‌
1,098‌
3.50%,
03/20/2043
438‌
453‌
3.50%,
03/20/2043
1,008‌
1,052‌
3.50%,
04/15/2043
124‌
128‌
3.50%,
04/15/2043
57‌
59‌
3.50%,
04/20/2043
994‌
1,037‌
3.50%,
04/20/2043
708‌
739‌
3.50%,
06/15/2043
42‌
44‌
3.50%,
06/15/2043
44‌
46‌
3.50%,
07/20/2043
1,174‌
1,224‌
3.50%,
08/15/2043
118‌
123‌
3.50%,
08/20/2043
969‌
1,010‌
3.50%,
09/20/2043
630‌
657‌
3.50%,
01/20/2044
9‌
9‌
3.50%,
02/20/2044
74‌
77‌
3.50%,
04/20/2044
308‌
320‌
3.50%,
07/20/2044
838‌
871‌
3.50%,
08/20/2044
878‌
913‌
3.50%,
09/15/2044
24‌
24‌
3.50%,
09/20/2044
326‌
339‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Government
National
Mortgage
Association
(GNMA)
(continued)
3.50%,
10/20/2044
$
352‌
$
366‌
3.50%,
11/20/2044
387‌
401‌
3.50%,
12/20/2044
433‌
450‌
3.50%,
02/20/2045
434‌
450‌
3.50%,
05/20/2045
605‌
628‌
3.50%,
06/20/2045
121‌
126‌
3.50%,
07/20/2045
878‌
910‌
3.50%,
08/20/2045
401‌
415‌
3.50%,
09/20/2045
216‌
224‌
3.50%,
10/20/2045
1,629‌
1,692‌
3.50%,
11/20/2045
1,308‌
1,356‌
3.50%,
12/20/2045
817‌
850‌
3.50%,
01/20/2046
1,594‌
1,650‌
3.50%,
02/20/2046
117‌
121‌
3.50%,
03/20/2046
1,408‌
1,457‌
3.50%,
04/20/2046
861‌
892‌
3.50%,
05/20/2046
1,192‌
1,233‌
3.50%,
06/20/2046
1,560‌
1,615‌
3.50%,
07/15/2046
114‌
118‌
3.50%,
07/20/2046
640‌
662‌
3.50%,
08/20/2046
991‌
1,025‌
3.50%,
09/20/2046
1,128‌
1,168‌
3.50%,
10/20/2046
1,333‌
1,380‌
3.50%,
11/20/2046
1,026‌
1,062‌
3.50%,
12/20/2046
1,058‌
1,095‌
3.50%,
01/20/2047
1,178‌
1,219‌
3.50%,
02/20/2047
735‌
760‌
3.50%,
03/20/2047
1,042‌
1,078‌
3.50%,
04/20/2047
267‌
276‌
3.50%,
05/20/2047
778‌
805‌
3.50%,
06/20/2047
1,207‌
1,249‌
3.50%,
07/20/2047
1,248‌
1,290‌
3.50%,
08/20/2047
846‌
875‌
3.50%,
09/20/2047
269‌
278‌
3.50%,
10/15/2047
93‌
96‌
3.50%,
10/20/2047
897‌
927‌
3.50%,
11/20/2047
1,142‌
1,181‌
3.50%,
12/20/2047
1,321‌
1,366‌
3.50%,
01/20/2048
1,965‌
2,030‌
3.50%,
02/20/2048
295‌
305‌
3.50%,
07/20/2048
599‌
619‌
4.00%,
07/15/2024
36‌
38‌
4.00%,
08/15/2024
9‌
10‌
4.00%,
12/15/2024
7‌
8‌
4.00%,
11/15/2025
8‌
8‌
4.00%,
05/15/2026
10‌
10‌
4.00%,
06/15/2039
7‌
7‌
4.00%,
07/20/2040
25‌
26‌
4.00%,
08/15/2040
98‌
104‌
4.00%,
08/15/2040
24‌
25‌
4.00%,
09/15/2040
42‌
45‌
4.00%,
09/15/2040
5‌
5‌
4.00%,
09/15/2040
21‌
22‌
4.00%,
10/15/2040
35‌
37‌
4.00%,
11/15/2040
28‌
29‌
4.00%,
11/15/2040
5‌
5‌
4.00%,
11/20/2040
20‌
22‌
4.00%,
12/20/2040
43‌
45‌
4.00%,
01/15/2041
23‌
24‌
4.00%,
01/15/2041
38‌
40‌
4.00%,
01/15/2041
61‌
65‌
4.00%,
01/20/2041
66‌
70‌
4.00%,
05/15/2041
18‌
19‌
4.00%,
05/15/2041
40‌
42‌
4.00%,
07/20/2041
22‌
23‌
4.00%,
08/15/2041
100‌
107‌
4.00%,
08/15/2041
16‌
17‌
4.00%,
08/15/2041
37‌
39‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
104
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Government
National
Mortgage
Association
(GNMA)
(continued)
4.00%,
09/15/2041
$
57‌
$
60‌
4.00%,
09/15/2041
24‌
26‌
4.00%,
09/15/2041
32‌
34‌
4.00%,
09/15/2041
77‌
82‌
4.00%,
09/20/2041
109‌
115‌
4.00%,
10/15/2041
33‌
35‌
4.00%,
10/15/2041
22‌
24‌
4.00%,
11/15/2041
125‌
133‌
4.00%,
11/20/2041
40‌
42‌
4.00%,
12/15/2041
8‌
9‌
4.00%,
12/15/2041
33‌
35‌
4.00%,
12/20/2041
38‌
41‌
4.00%,
01/15/2042
15‌
16‌
4.00%,
01/15/2042
54‌
57‌
4.00%,
01/20/2042
209‌
222‌
4.00%,
02/20/2042
165‌
175‌
4.00%,
03/15/2042
132‌
138‌
4.00%,
03/15/2042
47‌
49‌
4.00%,
03/20/2042
200‌
212‌
4.00%,
04/20/2042
173‌
183‌
4.00%,
05/15/2042
367‌
386‌
4.00%,
05/20/2042
16‌
17‌
4.00%,
07/20/2042
403‌
427‌
4.00%,
06/20/2043
55‌
59‌
4.00%,
08/15/2043
12‌
13‌
4.00%,
09/15/2043
259‌
275‌
4.00%,
09/20/2043
71‌
75‌
4.00%,
10/20/2043
108‌
114‌
4.00%,
11/20/2043
249‌
263‌
4.00%,
02/20/2044
591‌
624‌
4.00%,
03/15/2044
238‌
253‌
4.00%,
04/20/2044
288‌
303‌
4.00%,
05/20/2044
386‌
407‌
4.00%,
06/20/2044
286‌
302‌
4.00%,
07/20/2044
1,150‌
1,213‌
4.00%,
08/20/2044
809‌
850‌
4.00%,
09/20/2044
724‌
763‌
4.00%,
10/20/2044
964‌
1,013‌
4.00%,
11/20/2044
439‌
463‌
4.00%,
12/20/2044
767‌
809‌
4.00%,
01/15/2045
59‌
62‌
4.00%,
01/20/2045
636‌
671‌
4.00%,
03/15/2045
50‌
53‌
4.00%,
04/15/2045
39‌
41‌
4.00%,
04/20/2045
415‌
437‌
4.00%,
05/15/2045
229‌
240‌
4.00%,
07/15/2045
52‌
54‌
4.00%,
07/20/2045
172‌
181‌
4.00%,
08/15/2045
40‌
42‌
4.00%,
08/20/2045
483‌
510‌
4.00%,
09/20/2045
700‌
736‌
4.00%,
10/20/2045
365‌
383‌
4.00%,
11/20/2045
130‌
137‌
4.00%,
12/15/2045
168‌
179‌
4.00%,
12/20/2045
319‌
337‌
4.00%,
01/20/2046
205‌
217‌
4.00%,
02/20/2046
298‌
313‌
4.00%,
04/20/2046
503‌
528‌
4.00%,
05/20/2046
254‌
267‌
4.00%,
07/20/2046
539‌
566‌
4.00%,
01/20/2047
1,149‌
1,199‌
4.00%,
02/20/2047
998‌
1,041‌
4.00%,
03/20/2047
985‌
1,031‌
4.00%,
05/20/2047
1,358‌
1,417‌
4.00%,
06/20/2047
1,351‌
1,409‌
4.00%,
07/20/2047
1,971‌
2,056‌
4.00%,
08/20/2047
156‌
163‌
4.00%,
10/20/2047
768‌
801‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Government
National
Mortgage
Association
(GNMA)
(continued)
4.00%,
06/20/2048
$
367‌
$
381‌
4.00%,
08/20/2048
922‌
956‌
4.00%,
09/20/2048
348‌
360‌
4.00%,
10/20/2048
2,125‌
2,203‌
4.00%,
11/20/2048
969‌
1,004‌
4.00%,
12/20/2048
795‌
824‌
4.50%,
04/20/2026
6‌
6‌
4.50%,
11/20/2033
5‌
5‌
4.50%,
02/15/2039
132‌
142‌
4.50%,
03/15/2039
19‌
20‌
4.50%,
03/15/2039
59‌
63‌
4.50%,
03/15/2039
27‌
29‌
4.50%,
03/15/2039
15‌
16‌
4.50%,
03/20/2039
29‌
30‌
4.50%,
04/15/2039
43‌
46‌
4.50%,
04/15/2039
22‌
23‌
4.50%,
04/15/2039
41‌
45‌
4.50%,
05/15/2039
140‌
151‌
4.50%,
05/15/2039
51‌
55‌
4.50%,
05/15/2039
53‌
57‌
4.50%,
05/15/2039
7‌
7‌
4.50%,
05/15/2039
5‌
6‌
4.50%,
06/15/2039
50‌
54‌
4.50%,
07/15/2039
11‌
12‌
4.50%,
08/15/2039
57‌
61‌
4.50%,
11/15/2039
10‌
11‌
4.50%,
11/15/2039
263‌
289‌
4.50%,
12/15/2039
51‌
55‌
4.50%,
01/15/2040
61‌
66‌
4.50%,
02/15/2040
12‌
13‌
4.50%,
02/15/2040
25‌
27‌
4.50%,
02/15/2040
6‌
6‌
4.50%,
02/15/2040
8‌
9‌
4.50%,
02/15/2040
6‌
7‌
4.50%,
02/15/2040
6‌
7‌
4.50%,
04/15/2040
390‌
420‌
4.50%,
05/15/2040
16‌
17‌
4.50%,
06/15/2040
18‌
19‌
4.50%,
06/15/2040
12‌
12‌
4.50%,
07/15/2040
17‌
18‌
4.50%,
07/15/2040
15‌
16‌
4.50%,
08/15/2040
24‌
26‌
4.50%,
08/15/2040
21‌
23‌
4.50%,
08/15/2040
30‌
33‌
4.50%,
08/15/2040
36‌
38‌
4.50%,
08/15/2040
81‌
87‌
4.50%,
09/15/2040
30‌
32‌
4.50%,
09/15/2040
30‌
32‌
4.50%,
10/15/2040
35‌
38‌
4.50%,
12/15/2040
15‌
16‌
4.50%,
01/20/2041
45‌
48‌
4.50%,
01/20/2041
31‌
33‌
4.50%,
02/20/2041
44‌
47‌
4.50%,
02/20/2041
35‌
37‌
4.50%,
03/15/2041
14‌
15‌
4.50%,
03/15/2041
72‌
78‌
4.50%,
03/20/2041
19‌
21‌
4.50%,
03/20/2041
35‌
37‌
4.50%,
04/15/2041
31‌
34‌
4.50%,
04/15/2041
14‌
15‌
4.50%,
04/20/2041
35‌
37‌
4.50%,
05/15/2041
17‌
18‌
4.50%,
05/15/2041
25‌
27‌
4.50%,
06/15/2041
78‌
84‌
4.50%,
06/20/2041
115‌
123‌
4.50%,
07/15/2041
169‌
180‌
4.50%,
07/15/2041
49‌
53‌
4.50%,
07/15/2041
14‌
15‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
105
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Government
National
Mortgage
Association
(GNMA)
(continued)
4.50%,
07/20/2041
$
9‌
$
10‌
4.50%,
07/20/2041
225‌
240‌
4.50%,
08/15/2041
88‌
94‌
4.50%,
08/20/2041
85‌
90‌
4.50%,
09/20/2041
21‌
23‌
4.50%,
11/20/2041
314‌
335‌
4.50%,
12/20/2041
23‌
25‌
4.50%,
01/20/2042
159‌
170‌
4.50%,
02/20/2042
82‌
87‌
4.50%,
03/20/2042
21‌
22‌
4.50%,
04/20/2042
37‌
40‌
4.50%,
05/20/2042
42‌
44‌
4.50%,
05/20/2043
179‌
191‌
4.50%,
06/20/2043
167‌
178‌
4.50%,
08/20/2043
27‌
29‌
4.50%,
09/20/2043
84‌
90‌
4.50%,
10/20/2043
158‌
169‌
4.50%,
11/20/2043
514‌
547‌
4.50%,
03/20/2044
692‌
736‌
4.50%,
04/20/2044
31‌
33‌
4.50%,
05/20/2044
502‌
534‌
4.50%,
07/20/2044
260‌
276‌
4.50%,
09/20/2044
16‌
17‌
4.50%,
10/20/2044
36‌
39‌
4.50%,
11/20/2044
69‌
73‌
4.50%,
12/20/2044
110‌
117‌
4.50%,
02/20/2045
291‌
309‌
4.50%,
03/20/2045
133‌
141‌
4.50%,
04/20/2045
161‌
171‌
4.50%,
06/20/2045
46‌
49‌
4.50%,
10/20/2045
87‌
93‌
4.50%,
12/20/2045
74‌
78‌
4.50%,
06/20/2046
175‌
185‌
4.50%,
09/15/2046
58‌
62‌
4.50%,
12/20/2046
493‌
524‌
4.50%,
02/20/2047
361‌
382‌
4.50%,
04/20/2047
295‌
309‌
4.50%,
06/15/2047
255‌
275‌
4.50%,
06/15/2047
43‌
46‌
4.50%,
08/20/2047
673‌
706‌
4.50%,
10/20/2047
339‌
356‌
4.50%,
05/20/2048
248‌
259‌
4.50%,
08/20/2048
1,378‌
1,439‌
4.50%,
10/20/2048
929‌
969‌
4.50%,
11/20/2048
1,547‌
1,613‌
4.50%,
12/20/2048
496‌
517‌
5.00%,
08/15/2033
36‌
39‌
5.00%,
02/15/2034
43‌
46‌
5.00%,
07/15/2035
108‌
118‌
5.00%,
08/15/2035
25‌
27‌
5.00%,
04/20/2037
2‌
3‌
5.00%,
04/20/2038
203‌
223‌
5.00%,
05/15/2038
48‌
52‌
5.00%,
06/20/2038
21‌
23‌
5.00%,
08/15/2038
63‌
69‌
5.00%,
10/15/2038
13‌
15‌
5.00%,
01/15/2039
74‌
81‌
5.00%,
01/15/2039
56‌
61‌
5.00%,
02/15/2039
68‌
75‌
5.00%,
02/15/2039
65‌
71‌
5.00%,
03/15/2039
100‌
110‌
5.00%,
04/15/2039
90‌
98‌
5.00%,
05/15/2039
8‌
8‌
5.00%,
06/15/2039
41‌
46‌
5.00%,
06/15/2039
22‌
24‌
5.00%,
06/20/2039
25‌
27‌
5.00%,
07/15/2039
18‌
19‌
5.00%,
07/15/2039
43‌
47‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Government
National
Mortgage
Association
(GNMA)
(continued)
5.00%,
07/15/2039
$
19‌
$
21‌
5.00%,
07/15/2039
15‌
17‌
5.00%,
08/15/2039
27‌
30‌
5.00%,
09/15/2039
29‌
32‌
5.00%,
09/15/2039
19‌
21‌
5.00%,
09/15/2039
23‌
25‌
5.00%,
09/15/2039
8‌
9‌
5.00%,
09/15/2039
24‌
27‌
5.00%,
11/15/2039
37‌
40‌
5.00%,
12/15/2039
39‌
43‌
5.00%,
02/15/2040
24‌
26‌
5.00%,
02/15/2040
39‌
43‌
5.00%,
02/15/2040
42‌
46‌
5.00%,
04/15/2040
22‌
24‌
5.00%,
05/15/2040
24‌
26‌
5.00%,
05/15/2040
12‌
13‌
5.00%,
05/20/2040
7‌
8‌
5.00%,
06/15/2040
46‌
51‌
5.00%,
06/15/2040
33‌
36‌
5.00%,
06/15/2040
3‌
4‌
5.00%,
06/15/2040
23‌
25‌
5.00%,
06/20/2040
32‌
35‌
5.00%,
07/15/2040
17‌
19‌
5.00%,
07/20/2040
32‌
35‌
5.00%,
01/20/2041
18‌
19‌
5.00%,
02/20/2041
41‌
45‌
5.00%,
04/15/2041
254‌
278‌
5.00%,
05/20/2041
35‌
39‌
5.00%,
06/20/2041
9‌
10‌
5.00%,
07/20/2041
14‌
16‌
5.00%,
08/20/2041
97‌
107‌
5.00%,
10/20/2041
13‌
14‌
5.00%,
11/20/2041
39‌
43‌
5.00%,
12/20/2041
29‌
32‌
5.00%,
02/20/2042
141‌
155‌
5.00%,
03/20/2042
31‌
34‌
5.00%,
04/20/2042
94‌
104‌
5.00%,
12/20/2042
258‌
284‌
5.00%,
01/20/2043
47‌
51‌
5.00%,
05/20/2043
53‌
58‌
5.00%,
07/20/2043
142‌
156‌
5.00%,
11/20/2043
156‌
168‌
5.00%,
01/20/2044
104‌
113‌
5.00%,
02/20/2044
145‌
159‌
5.00%,
03/20/2044
100‌
109‌
5.00%,
05/20/2044
43‌
47‌
5.00%,
07/20/2044
81‌
88‌
5.00%,
08/20/2044
36‌
40‌
5.00%,
12/20/2044
62‌
68‌
5.00%,
10/20/2045
78‌
84‌
5.00%,
12/20/2045
134‌
146‌
5.00%,
04/20/2046
210‌
230‌
5.00%,
03/20/2048
262‌
277‌
5.00%,
10/20/2048
509‌
533‌
5.50%,
01/15/2024
4‌
4‌
5.50%,
11/15/2033
27‌
29‌
5.50%,
03/15/2034
6‌
7‌
5.50%,
04/15/2034
7‌
8‌
5.50%,
07/15/2034
5‌
6‌
5.50%,
11/15/2034
19‌
21‌
5.50%,
02/15/2035
13‌
15‌
5.50%,
03/15/2036
5‌
5‌
5.50%,
04/15/2036
4‌
5‌
5.50%,
12/15/2036
8‌
9‌
5.50%,
04/15/2037
23‌
26‌
5.50%,
05/15/2038
9‌
10‌
5.50%,
06/15/2038
14‌
16‌
5.50%,
08/15/2038
29‌
31‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
106
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Government
National
Mortgage
Association
(GNMA)
(continued)
5.50%,
08/15/2038
$
72‌
$
78‌
5.50%,
09/15/2038
12‌
13‌
5.50%,
10/20/2038
24‌
26‌
5.50%,
11/15/2038
8‌
8‌
5.50%,
12/20/2038
9‌
10‌
5.50%,
01/15/2039
12‌
13‌
5.50%,
01/15/2039
2‌
3‌
5.50%,
01/15/2039
39‌
41‌
5.50%,
01/15/2039
4‌
5‌
5.50%,
02/15/2039
6‌
7‌
5.50%,
02/20/2039
56‌
62‌
5.50%,
05/15/2039
2‌
3‌
5.50%,
12/15/2039
13‌
14‌
5.50%,
01/15/2040
111‌
123‌
5.50%,
03/15/2040
50‌
55‌
5.50%,
04/15/2040
139‌
148‌
5.50%,
06/20/2040
70‌
75‌
5.50%,
07/20/2040
18‌
19‌
5.50%,
11/15/2040
18‌
20‌
5.50%,
12/20/2040
14‌
15‌
5.50%,
01/20/2041
214‌
235‌
5.50%,
04/20/2041
36‌
40‌
5.50%,
10/20/2041
33‌
36‌
5.50%,
11/20/2041
34‌
37‌
5.50%,
10/20/2042
93‌
102‌
5.50%,
11/20/2042
85‌
93‌
5.50%,
06/20/2043
86‌
95‌
5.50%,
09/20/2043
118‌
129‌
5.50%,
01/20/2047
53‌
58‌
6.00%,
07/15/2032
1‌
1‌
6.00%,
12/15/2032
1‌
1‌
6.00%,
10/15/2034
19‌
21‌
6.00%,
04/15/2035
14‌
16‌
6.00%,
04/15/2036
7‌
8‌
6.00%,
06/15/2036
12‌
14‌
6.00%,
04/15/2037
25‌
29‌
6.00%,
05/15/2037
20‌
23‌
6.00%,
10/20/2037
31‌
36‌
6.00%,
11/20/2037
12‌
14‌
6.00%,
01/15/2038
12‌
14‌
6.00%,
08/15/2038
8‌
9‌
6.00%,
01/15/2039
69‌
78‌
6.00%,
09/15/2039
43‌
48‌
6.00%,
09/15/2039
19‌
21‌
6.00%,
11/15/2039
52‌
60‌
6.00%,
01/20/2042
29‌
32‌
6.50%,
10/20/2028
1‌
1‌
6.50%,
05/20/2029
1‌
1‌
6.50%,
05/20/2032
4‌
4‌
6.50%,
05/15/2037
28‌
31‌
6.50%,
08/20/2038
11‌
12‌
7.00%,
03/15/2029
2‌
2‌
7.00%,
07/15/2031
1‌
1‌
$
150,899‌
U.S.
Treasury
-
39.11%
1.13%,
02/28/2021
4,685‌
4,632‌
1.13%,
06/30/2021
3,730‌
3,684‌
1.13%,
07/31/2021
3,250‌
3,208‌
1.13%,
08/31/2021
4,050‌
3,996‌
1.13%,
09/30/2021
3,730‌
3,681‌
1.25%,
03/31/2021
1,740‌
1,724‌
1.25%,
10/31/2021
5,200‌
5,142‌
1.25%,
07/31/2023
3,000‌
2,942‌
1.38%,
08/31/2020
4,485‌
4,457‌
1.38%,
09/15/2020
2,180‌
2,167‌
1.38%,
09/30/2020
7,400‌
7,353‌
1.38%,
10/31/2020
2,285‌
2,270‌
1.38%,
01/31/2021
5,650‌
5,610‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
U.S.
Treasury
(continued)
1.38%,
04/30/2021
$
7,510‌
$
7,455‌
1.38%,
05/31/2021
4,265‌
4,233‌
1.38%,
06/30/2023
4,050‌
3,994‌
1.38%,
08/31/2023
3,000‌
2,956‌
1.38%,
09/30/2023
2,220‌
2,187‌
1.50%,
06/15/2020
5,815‌
5,789‌
1.50%,
08/15/2020
7,010‌
6,978‌
1.50%,
01/31/2022
3,104‌
3,087‌
1.50%,
02/28/2023
2,995‌
2,971‌
1.50%,
03/31/2023
3,340‌
3,312‌
1.50%,
08/15/2026
10,725‌
10,452‌
1.63%,
06/30/2020
4,050‌
4,037‌
1.63%,
07/31/2020
6,000‌
5,980‌
1.63%,
10/15/2020
5,753‌
5,735‌
1.63%,
11/30/2020
4,280‌
4,266‌
1.63%,
08/15/2022
1,990‌
1,984‌
1.63%,
08/31/2022
3,960‌
3,947‌
1.63%,
11/15/2022
2,790‌
2,781‌
1.63%,
04/30/2023
3,000‌
2,988‌
1.63%,
05/31/2023
3,540‌
3,526‌
1.63%,
10/31/2023
3,035‌
3,020‌
1.63%,
05/15/2026
3,345‌
3,292‌
1.75%,
10/31/2020
2,250‌
2,246‌
1.75%,
11/15/2020
1,000‌
999‌
1.75%,
12/31/2020
2,475‌
2,472‌
1.75%,
11/30/2021
1,000‌
1,000‌
1.75%,
02/28/2022
3,680‌
3,682‌
1.75%,
03/31/2022
4,435‌
4,438‌
1.75%,
04/30/2022
3,335‌
3,338‌
1.75%,
05/15/2022
3,430‌
3,433‌
1.75%,
05/31/2022
5,280‌
5,283‌
1.75%,
06/30/2022
3,860‌
3,865‌
1.75%,
09/30/2022
1,640‌
1,641‌
1.75%,
01/31/2023
2,560‌
2,562‌
1.75%,
05/15/2023
2,517‌
2,518‌
1.88%,
06/30/2020
3,290‌
3,287‌
1.88%,
12/15/2020
2,905‌
2,906‌
1.88%,
11/30/2021
3,107‌
3,117‌
1.88%,
01/31/2022
3,580‌
3,593‌
1.88%,
02/28/2022
3,000‌
3,011‌
1.88%,
03/31/2022
6,700‌
6,730‌
1.88%,
04/30/2022
3,640‌
3,655‌
1.88%,
05/31/2022
4,785‌
4,807‌
1.88%,
07/31/2022
3,640‌
3,656‌
1.88%,
08/31/2022
3,810‌
3,827‌
1.88%,
09/30/2022
4,005‌
4,025‌
1.88%,
10/31/2022
4,000‌
4,019‌
1.88%,
08/31/2024
4,000‌
4,020‌
2.00%,
07/31/2020
2,464‌
2,466‌
2.00%,
09/30/2020
3,000‌
3,004‌
2.00%,
11/30/2020
500‌
501‌
2.00%,
01/15/2021
1,990‌
1,995‌
2.00%,
02/28/2021
3,720‌
3,731‌
2.00%,
05/31/2021
3,800‌
3,816‌
2.00%,
08/31/2021
3,995‌
4,016‌
2.00%,
10/31/2021
2,620‌
2,636‌
2.00%,
11/15/2021
4,500‌
4,529‌
2.00%,
12/31/2021
2,890‌
2,909‌
2.00%,
02/15/2022
1,545‌
1,556‌
2.00%,
07/31/2022
3,331‌
3,359‌
2.00%,
10/31/2022
4,050‌
4,085‌
2.00%,
11/30/2022
6,410‌
6,468‌
2.00%,
02/15/2023
4,597‌
4,640‌
2.00%,
04/30/2024
4,035‌
4,079‌
2.00%,
05/31/2024
6,765‌
6,845‌
2.00%,
06/30/2024
5,195‌
5,251‌
2.00%,
02/15/2025
8,570‌
8,657‌
2.00%,
08/15/2025
4,000‌
4,038‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
107
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
U.S.
Treasury
(continued)
2.00%,
11/15/2026
$
8,630‌
$
8,696‌
2.13%,
08/31/2020
3,300‌
3,308‌
2.13%,
01/31/2021
2,105‌
2,115‌
2.13%,
05/31/2021
3,000‌
3,020‌
2.13%,
06/30/2021
2,965‌
2,986‌
2.13%,
08/15/2021
3,140‌
3,164‌
2.13%,
09/30/2021
2,955‌
2,980‌
2.13%,
12/31/2021
3,105‌
3,135‌
2.13%,
05/15/2022
4,160‌
4,207‌
2.13%,
06/30/2022
4,365‌
4,416‌
2.13%,
12/31/2022
9,760‌
9,893‌
2.13%,
11/30/2023
3,080‌
3,129‌
2.13%,
02/29/2024
2,260‌
2,297‌
2.13%,
03/31/2024
10,250‌
10,421‌
2.13%,
07/31/2024
3,810‌
3,875‌
2.13%,
09/30/2024
4,770‌
4,851‌
2.13%,
11/30/2024
4,460‌
4,537‌
2.13%,
05/15/2025
8,950‌
9,101‌
2.13%,
05/31/2026
2,000‌
2,033‌
2.25%,
03/31/2021
5,340‌
5,382‌
2.25%,
04/30/2021
3,537‌
3,567‌
2.25%,
07/31/2021
5,370‌
5,423‌
2.25%,
04/15/2022
4,315‌
4,376‌
2.25%,
12/31/2023
3,655‌
3,734‌
2.25%,
01/31/2024
5,850‌
5,977‌
2.25%,
04/30/2024
4,850‌
4,960‌
2.25%,
10/31/2024
3,336‌
3,414‌
2.25%,
11/15/2024
10,663‌
10,911‌
2.25%,
12/31/2024
3,000‌
3,071‌
2.25%,
11/15/2025
2,500‌
2,560‌
2.25%,
03/31/2026
5,000‌
5,123‌
2.25%,
02/15/2027
10,660‌
10,924‌
2.25%,
08/15/2027
7,535‌
7,718‌
2.25%,
11/15/2027
6,990‌
7,156‌
2.25%,
08/15/2046
4,870‌
4,601‌
2.38%,
12/31/2020
2,309‌
2,327‌
2.38%,
03/15/2021
3,000‌
3,029‌
2.38%,
04/15/2021
3,600‌
3,637‌
2.38%,
03/15/2022
4,230‌
4,305‌
2.38%,
01/31/2023
4,235‌
4,330‌
2.38%,
02/29/2024
4,635‌
4,766‌
2.38%,
08/15/2024
9,395‌
9,670‌
2.38%,
04/30/2026
5,000‌
5,163‌
2.38%,
05/15/2027
6,185‌
6,394‌
2.38%,
05/15/2029
2,500‌
2,583‌
2.50%,
12/31/2020
4,255‌
4,296‌
2.50%,
01/31/2021
4,420‌
4,466‌
2.50%,
02/28/2021
4,520‌
4,570‌
2.50%,
01/15/2022
4,200‌
4,279‌
2.50%,
02/15/2022
4,295‌
4,379‌
2.50%,
03/31/2023
4,560‌
4,687‌
2.50%,
08/15/2023
5,482‌
5,648‌
2.50%,
01/31/2024
4,530‌
4,679‌
2.50%,
05/15/2024
3,066‌
3,171‌
2.50%,
01/31/2025
3,485‌
3,614‌
2.50%,
02/15/2045
5,395‌
5,375‌
2.50%,
02/15/2046
4,075‌
4,054‌
2.50%,
05/15/2046
4,425‌
4,399‌
2.63%,
08/15/2020
3,660‌
3,689‌
2.63%,
08/31/2020
4,375‌
4,411‌
2.63%,
11/15/2020
6,000‌
6,062‌
2.63%,
05/15/2021
3,320‌
3,371‌
2.63%,
06/15/2021
3,875‌
3,940‌
2.63%,
07/15/2021
4,320‌
4,395‌
2.63%,
12/15/2021
4,045‌
4,134‌
2.63%,
02/28/2023
4,265‌
4,400‌
2.63%,
06/30/2023
4,360‌
4,510‌
2.63%,
12/31/2023
4,360‌
4,524‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
U.S.
Treasury
(continued)
2.63%,
03/31/2025
$
1,805‌
$
1,885‌
2.63%,
02/15/2029
6,785‌
7,155‌
2.75%,
09/30/2020
4,530‌
4,577‌
2.75%,
11/30/2020
4,425‌
4,480‌
2.75%,
08/15/2021
3,645‌
3,720‌
2.75%,
09/15/2021
4,285‌
4,380‌
2.75%,
04/30/2023
4,205‌
4,363‌
2.75%,
05/31/2023
5,000‌
5,191‌
2.75%,
07/31/2023
2,700‌
2,807‌
2.75%,
08/31/2023
4,495‌
4,677‌
2.75%,
11/15/2023
5,656‌
5,894‌
2.75%,
02/15/2024
5,336‌
5,572‌
2.75%,
02/28/2025
3,535‌
3,714‌
2.75%,
06/30/2025
4,570‌
4,809‌
2.75%,
02/15/2028
7,605‌
8,086‌
2.75%,
08/15/2042
1,591‌
1,669‌
2.75%,
11/15/2042
2,610‌
2,736‌
2.75%,
08/15/2047
4,280‌
4,467‌
2.75%,
11/15/2047
5,265‌
5,496‌
2.88%,
10/31/2020
4,340‌
4,396‌
2.88%,
10/15/2021
4,110‌
4,215‌
2.88%,
11/15/2021
3,235‌
3,320‌
2.88%,
09/30/2023
4,750‌
4,969‌
2.88%,
10/31/2023
4,450‌
4,659‌
2.88%,
11/30/2023
4,535‌
4,752‌
2.88%,
04/30/2025
2,475‌
2,619‌
2.88%,
05/31/2025
4,120‌
4,363‌
2.88%,
07/31/2025
2,000‌
2,120‌
2.88%,
11/30/2025
3,435‌
3,648‌
2.88%,
05/15/2028
11,570‌
12,424‌
2.88%,
08/15/2028
10,165‌
10,923‌
2.88%,
05/15/2043
5,703‌
6,100‌
2.88%,
08/15/2045
4,255‌
4,548‌
2.88%,
11/15/2046
4,690‌
5,019‌
2.88%,
05/15/2049
3,310‌
3,551‌
3.00%,
09/30/2025
820‌
876‌
3.00%,
10/31/2025
4,500‌
4,810‌
3.00%,
05/15/2042
1,200‌
1,314‌
3.00%,
11/15/2044
3,345‌
3,654‌
3.00%,
05/15/2045
4,260‌
4,659‌
3.00%,
11/15/2045
4,735‌
5,182‌
3.00%,
02/15/2047
4,540‌
4,979‌
3.00%,
05/15/2047
2,900‌
3,176‌
3.00%,
02/15/2048
4,050‌
4,437‌
3.00%,
08/15/2048
5,255‌
5,763‌
3.00%,
02/15/2049
3,465‌
3,806‌
3.13%,
05/15/2021
4,745‌
4,862‌
3.13%,
11/15/2028
4,855‌
5,325‌
3.13%,
11/15/2041
5,380‌
6,021‌
3.13%,
02/15/2043
4,020‌
4,483‌
3.13%,
08/15/2044
4,060‌
4,530‌
3.13%,
05/15/2048
4,020‌
4,511‌
3.38%,
05/15/2044
5,540‌
6,438‌
3.38%,
11/15/2048
7,155‌
8,422‌
3.63%,
02/15/2021
4,415‌
4,542‌
3.63%,
08/15/2043
3,570‌
4,309‌
3.63%,
02/15/2044
5,760‌
6,960‌
3.75%,
11/15/2043
6,400‌
7,878‌
3.88%,
08/15/2040
3,169‌
3,959‌
4.25%,
05/15/2039
3,040‌
3,977‌
4.25%,
11/15/2040
2,060‌
2,703‌
4.38%,
02/15/2038
2,510‌
3,318‌
4.38%,
11/15/2039
600‌
798‌
4.38%,
05/15/2040
3,159‌
4,206‌
4.38%,
05/15/2041
1,660‌
2,217‌
4.50%,
02/15/2036
2,000‌
2,639‌
4.50%,
05/15/2038
710‌
954‌
4.50%,
08/15/2039
1,235‌
1,668‌
Schedule
of
Investments
Bond
Market
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
108
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
U.S.
Treasury
(continued)
4.75%,
02/15/2041
$
2,628‌
$
3,677‌
5.25%,
11/15/2028
2,415‌
3,088‌
5.25%,
02/15/2029
2,000‌
2,569‌
5.38%,
02/15/2031
3,616‌
4,856‌
5.50%,
08/15/2028
1,000‌
1,294‌
6.00%,
02/15/2026
2,000‌
2,514‌
6.13%,
11/15/2027
2,225‌
2,943‌
6.13%,
08/15/2029
1,000‌
1,377‌
6.25%,
05/15/2030
1,500‌
2,116‌
6.38%,
08/15/2027
1,830‌
2,440‌
6.88%,
08/15/2025
1,000‌
1,290‌
8.00%,
11/15/2021
510‌
583‌
$
970,292‌
TOTAL
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
$
1,515,757‌
Total
Investments
$
2,464,349‌
Other
Assets
and
Liabilities
-  0.66%
16,274‌
TOTAL
NET
ASSETS
-
100.00%
$
2,480,623‌
(a)
Current
yield
shown
is
as
of
period
end.
(b)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(c)
Rate
shown
is
as
of
period
end.
The
rate
may
be
a
variable
or
floating
rate
or
a
fixed
rate
which
may
convert
to
a
variable
or
floating
rate
in
the
future.
(d)
Non-income
producing
security
(e)
Security
exempt
from
registration
under
Rule
144A
of
the
Securities
Act
of
1933.
These
securities
may
be
resold
in
transactions
exempt
from
registration,
normally
to
qualified
institutional
buyers.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$14,679
or
0.59%
of
net
assets.
(f)
Certain
variable
rate
securities
are
not
based
on
a
published
reference
rate
and
spread
but
are
determined
by
the
issuer
or
agent
and
are
based
on
current
market
conditions.  These
securities
do
not
indicate
a
reference
rate
and
spread
in
their
description.
Rate
shown
is
the
rate
in
effect
as
of
period
end.
(g)
Credit
support
indicates
investments
that
benefit
from
credit
enhancement
or
liquidity
support
provided
by
a
third
party
bank,
institution,
or
government
agency.
Portfolio
Summary
(unaudited)
Sector
Percent
Government
43.07‌%
Mortgage
Securities
24.05‌%
Financial
8.33‌%
Money
Market
Funds
5.37‌%
Consumer,
Non-cyclical
4.53‌%
Energy
2.55‌%
Communications
2.47‌%
Industrial
1.89‌%
Technology
1.77‌%
Utilities
1.74‌%
Consumer,
Cyclical
1.53‌%
Basic
Materials
0.71‌%
Asset
Backed
Securities
0.55‌%
Revenue
Bonds
0.43‌%
General
Obligation
Unlimited
0.28‌%
Insured
0.06‌%
General
Obligation
Limited
0.01‌%
Other
Assets
and
Liabilities
0.66‌%
TOTAL
NET
ASSETS
100.00%
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Principal
Government
Money
Market
Fund
2.23%
$
120,512‌
$
363,505‌
$
351,246‌
$
132,771‌
$
120,512‌
$
363,505‌
$
351,246‌
$
132,771‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Principal
Government
Money
Market
Fund
2.23%
$
1,487‌
$
—‌
$
—‌
$
—‌
$
1,487‌
$
—‌
$
—‌
$
—‌
Amounts
in
thousands
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
109
COMMON
STOCKS
-
0.01%
Shares
Held
Value
(000's)
Oil
&
Gas
Services
-
0.01%
Patterson-UTI
Energy
Inc
3,386‌
$
39‌
TOTAL
COMMON
STOCKS
$
39‌
INVESTMENT
COMPANIES
-
7.59%
Shares
Held
Value
(000's)
Exchange-Traded
Funds
-
2.98%
SPDR
Bloomberg
Barclays
High
Yield
Bond
ETF
88,000‌
9,587‌
Money
Market
Funds
-
4.61%
BlackRock
Liquidity
FedFund
2.26%
(a),(b)
758,291‌
758‌
Principal
Government
Money
Market
Fund
2.23%
(a),(c)
14,059,253‌
14,059‌
$
14,817‌
TOTAL
INVESTMENT
COMPANIES
$
24,404‌
PREFERRED
STOCKS
-
0.00%
Shares
Held
Value
(000's)
Agriculture
-
0.00%
Pinnacle
Operating
Corp
0.00%
(d),(e),(f)
81,952‌
$
7‌
TOTAL
PREFERRED
STOCKS
$
7‌
BONDS
-
56.28%
Principal
Amount
(000's)
Value
(000's)
Aerospace
&
Defense
-
1.27%
Air
2
US
8.63%,
10/01/2020
(g)
$
2‌
$
2‌
Boeing
Co/The
3.10%,
05/01/2026
190‌
196‌
3.20%,
03/01/2029
200‌
207‌
3.50%,
03/01/2039
65‌
65‌
3.63%,
03/01/2048
155‌
155‌
3.90%,
05/01/2049
155‌
162‌
Bombardier
Inc
6.13%,
01/15/2023
(g)
75‌
76‌
7.50%,
03/15/2025
(g)
195‌
196‌
7.88%,
04/15/2027
(g)
45‌
45‌
Lockheed
Martin
Corp
2.90%,
03/01/2025
360‌
370‌
4.09%,
09/15/2052
120‌
134‌
TransDigm
Inc
6.25%,
03/15/2026
(g)
80‌
84‌
7.50%,
03/15/2027
(g)
40‌
42‌
Triumph
Group
Inc
5.25%,
06/01/2022
40‌
39‌
7.75%,
08/15/2025
150‌
145‌
United
Technologies
Corp
2.80%,
05/04/2024
420‌
426‌
3.10%,
06/01/2022
215‌
220‌
3.95%,
08/16/2025
390‌
421‌
4.13%,
11/16/2028
765‌
840‌
4.45%,
11/16/2038
115‌
129‌
4.63%,
11/16/2048
80‌
93‌
5.40%,
05/01/2035
40‌
48‌
$
4,095‌
Agriculture
-
0.78%
Altria
Group
Inc
4.00%,
01/31/2024
235‌
246‌
4.50%,
05/02/2043
5‌
5‌
5.80%,
02/14/2039
85‌
96‌
5.95%,
02/14/2049
55‌
63‌
BAT
Capital
Corp
3.12%,
08/14/2020
200‌
200‌
3
Month
USD
LIBOR
+
0.59%
3.22%,
08/15/2024
170‌
171‌
Imperial
Brands
Finance
PLC
3.75%,
07/21/2022
(g)
220‌
227‌
JBS
Investments
II
GmbH
7.00%,
01/15/2026
(g)
200‌
217‌
Philip
Morris
International
Inc
2.38%,
08/17/2022
120‌
120‌
4.38%,
11/15/2041
20‌
21‌
Pinnacle
Operating
Corp
9.00%,
05/15/2023
(g)
118‌
39‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Agriculture
(continued)
Reynolds
American
Inc
5.70%,
08/15/2035
$
300‌
$
329‌
5.85%,
08/15/2045
45‌
48‌
6.88%,
05/01/2020
580‌
600‌
7.00%,
08/04/2041
120‌
141‌
$
2,523‌
Airlines
-
0.72%
American
Airlines
2013-2
Class
A
Pass
Through
Trust
4.95%,
07/15/2024
564‌
592‌
American
Airlines
2014-1
Class
A
Pass
Through
Trust
3.70%,
04/01/2028
124‌
128‌
American
Airlines
2015-1
Class
A
Pass
Through
Trust
3.38%,
11/01/2028
24‌
24‌
American
Airlines
2016-3
Class
A
Pass
Through
Trust
3.25%,
04/15/2030
206‌
204‌
American
Airlines
2017-1
Class
AA
Pass
Through
Trust
3.65%,
08/15/2030
148‌
154‌
Continental
Airlines
2007-1
Class
A
Pass
Through
Trust
5.98%,
10/19/2023
93‌
99‌
Continental
Airlines
2012-1
Class
A
Pass
Through
Trust
4.15%,
10/11/2025
328‌
343‌
United
Airlines
2014-2
Class
A
Pass
Through
Trust
3.75%,
03/03/2028
240‌
250‌
United
Airlines
2018-1
Class
A
Pass
Through
Trust
3.70%,
09/01/2031
201‌
204‌
United
Airlines
2018-1
Class
AA
Pass
Through
Trust
3.50%,
09/01/2031
197‌
201‌
US
Airways
2013-1
Class
A
Pass
Through
Trust
3.95%,
05/15/2027
103‌
109‌
$
2,308‌
Automobile
Asset
Backed
Securities
-
3.08%
AmeriCredit
Automobile
Receivables
Trust
2017-4
2.56%,
05/18/2021
85‌
85‌
1.00
x
1
Month
USD
LIBOR
+
0.18%
Americredit
Automobile
Receivables
Trust
2018-2
2.86%,
11/18/2021
765‌
766‌
Carmax
Auto
Owner
Trust
2018-4
2.59%,
02/15/2022
1,900‌
1,899‌
1.00
x
1
Month
USD
LIBOR
+
0.20%
Drive
Auto
Receivables
Trust
2018-5
2.71%,
07/15/2021
280‌
280‌
1.00
x
1
Month
USD
LIBOR
+
0.32%
Drive
Auto
Receivables
Trust
2019-1
2.78%,
09/15/2021
369‌
369‌
1.00
x
1
Month
USD
LIBOR
+
0.39%
GM
Financial
Automobile
Leasing
Trust
2018-2
2.60%,
07/20/2020
1,611‌
1,611‌
1.00
x
1
Month
USD
LIBOR
+
0.22%
Santander
Drive
Auto
Receivables
Trust
2018-3
2.66%,
03/15/2021
116‌
117‌
1.00
x
1
Month
USD
LIBOR
+
0.27%
Santander
Drive
Auto
Receivables
Trust
2018-5
2.62%,
07/15/2021
1,773‌
1,772‌
1.00
x
1
Month
USD
LIBOR
+
0.23%
Santander
Drive
Auto
Receivables
Trust
2019-1
2.66%,
01/18/2022
2,500‌
2,500‌
1.00
x
1
Month
USD
LIBOR
+
0.27%
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
110
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Automobile
Asset
Backed
Securities
(continued)
Santander
Retail
Auto
Lease
Trust
2017-A
2.02%,
03/20/2020
(g)
$
1‌
$
1‌
World
Omni
Auto
Receivables
Trust
2019-A
3.02%,
04/15/2022
500‌
503‌
$
9,903‌
Automobile
Manufacturers
-
0.66%
Daimler
Finance
North
America
LLC
2.25%,
03/02/2020
(g)
445‌
445‌
2.70%,
08/03/2020
(g)
450‌
451‌
2.85%,
01/06/2022
(g)
180‌
181‌
General
Motors
Co
6.25%,
10/02/2043
30‌
32‌
6.60%,
04/01/2036
275‌
304‌
General
Motors
Financial
Co
Inc
3.59%,
01/05/2023
450‌
443‌
3
Month
USD
LIBOR
+
0.99%
3.85%,
01/05/2028
100‌
98‌
Navistar
International
Corp
6.63%,
11/01/2025
(g)
175‌
183‌
$
2,137‌
Automobile
Parts
&
Equipment
-
0.07%
IHO
Verwaltungs
GmbH
4.75%,
PIK
5.50%,
09/15/2026
(g),(h),(
i
)
25‌
24‌
Panther
BF
Aggregator
2
LP
/
Panther
Finance
Co
Inc
6.25%,
05/15/2026
(g)
190‌
198‌
$
222‌
Banks
-
6.37%
Bank
of
America
Corp
3.46%,
03/15/2025
(j)
360‌
374‌
3
Month
USD
LIBOR
+
0.97%
3.50%,
05/17/2022
(j)
200‌
204‌
3
Month
USD
LIBOR
+
0.63%
3.97%,
02/07/2030
(j)
525‌
563‌
3
Month
USD
LIBOR
+
1.21%
4.10%,
07/24/2023
180‌
192‌
4.20%,
08/26/2024
830‌
882‌
4.25%,
10/22/2026
150‌
160‌
4.27%,
07/23/2029
(j)
210‌
229‌
3
Month
USD
LIBOR
+
1.31%
Barclays
PLC
7.75%,
12/31/2049
(j),(k)
200‌
205‌
USD
Swap
Semi-Annual
5
Year
+
4.84%
BPCE
SA
2.50%,
07/15/2019
450‌
450‌
CIT
Group
Inc
4.13%,
03/09/2021
75‌
76‌
5.00%,
08/15/2022
120‌
127‌
5.25%,
03/07/2025
20‌
22‌
5.80%,
12/31/2049
(j),(k)
95‌
96‌
3
Month
USD
LIBOR
+
3.97%
6.13%,
03/09/2028
40‌
45‌
Citigroup
Inc
3.52%,
10/27/2028
(j)
390‌
402‌
3
Month
USD
LIBOR
+
1.15%
3.67%,
07/24/2028
(j)
240‌
250‌
3
Month
USD
LIBOR
+
1.39%
3.88%,
03/26/2025
100‌
104‌
4.50%,
01/14/2022
100‌
105‌
4.65%,
07/23/2048
230‌
268‌
Cooperatieve
Rabobank
UA
4.75%,
01/15/2020
(g)
490‌
496‌
DBS
Group
Holdings
Ltd
4.52%,
12/11/2028
(g),(j)
515‌
546‌
USD
Swap
Rate
NY
5
Year
+
1.59%
Discover
Bank
3.10%,
06/04/2020
345‌
347‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Banks
(continued)
First
Republic
Bank/CA
2.50%,
06/06/2022
$
500‌
$
501‌
4.63%,
02/13/2047
500‌
538‌
Goldman
Sachs
Group
Inc
/The
3.63%,
02/20/2024
535‌
558‌
3.85%,
01/26/2027
625‌
653‌
5.38%,
03/15/2020
200‌
204‌
5.75%,
01/24/2022
555‌
600‌
6.75%,
10/01/2037
300‌
392‌
HSBC
Holdings
PLC
3.80%,
03/11/2025
(j)
200‌
208‌
3
Month
USD
LIBOR
+
1.21%
JPMorgan
Chase
&
Co
3.21%,
04/01/2023
(j)
360‌
367‌
3
Month
USD
LIBOR
+
0.70%
3.63%,
05/13/2024
100‌
105‌
3.70%,
05/06/2030
(j)
330‌
348‌
3
Month
USD
LIBOR
+
1.16%
3.96%,
11/15/2048
(j)
100‌
106‌
3
Month
USD
LIBOR
+
1.38%
4.95%,
06/01/2045
125‌
148‌
5.50%,
10/15/2040
260‌
331‌
KeyBank
NA/Cleveland
OH
3.30%,
02/01/2022
250‌
257‌
Morgan
Stanley
4.43%,
01/23/2030
(j)
280‌
310‌
3
Month
USD
LIBOR
+
1.63%
5.00%,
11/24/2025
285‌
316‌
5.50%,
07/28/2021
100‌
106‌
5.55%,
12/31/2049
(j),(k)
165‌
167‌
3
Month
USD
LIBOR
+
3.81%
5.75%,
01/25/2021
240‌
252‌
6.25%,
08/09/2026
100‌
120‌
6.38%,
07/24/2042
270‌
377‌
MUFG
Union
Bank
NA
3.15%,
04/01/2022
250‌
256‌
Popular
Inc
6.13%,
09/14/2023
25‌
27‌
Royal
Bank
of
Canada
3.70%,
10/05/2023
410‌
431‌
Royal
Bank
of
Scotland
Group
PLC
4.27%,
03/22/2025
(j)
400‌
414‌
3
Month
USD
LIBOR
+
1.76%
5.13%,
05/28/2024
555‌
589‌
7.50%,
12/31/2049
(j),(k)
425‌
436‌
USD
Swap
Semi-Annual
5
Year
+
5.80%
Santander
UK
PLC
5.00%,
11/07/2023
(g)
450‌
475‌
Skandinaviska
Enskilda
Banken
AB
5.75%,
12/31/2049
(j),(k)
485‌
489‌
USD
Swap
Semi-Annual
5
Year
+
3.85%
State
Street
Corp
4.14%,
12/03/2029
(j)
155‌
172‌
3
Month
USD
LIBOR
+
1.03%
SunTrust
Bank/Atlanta
GA
4.05%,
11/03/2025
165‌
178‌
Svenska
Handelsbanken
AB
3.90%,
11/20/2023
345‌
366‌
Synchrony
Bank
3.00%,
06/15/2022
650‌
655‌
UBS
AG/London
4.50%,
06/26/2048
(g)
200‌
236‌
UBS
AG/Stamford
CT
2.35%,
03/26/2020
450‌
450‌
UBS
Group
Funding
Switzerland
AG
6.87%,
12/31/2049
(j),(k)
440‌
458‌
USD
Swap
Rate
NY
5
Year
+
5.50%
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
111
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Banks
(continued)
Wells
Fargo
&
Co
3.75%,
01/24/2024
$
485‌
$
510‌
4.15%,
01/24/2029
280‌
305‌
4.40%,
06/14/2046
140‌
151‌
Zions
Bancorp
NA
3.50%,
08/27/2021
790‌
806‌
$
20,511‌
Beverages
-
0.75%
Anheuser-Busch
Cos
LLC
/
Anheuser-Busch
InBev
Worldwide
Inc
3.65%,
02/01/2026
115‌
121‌
4.90%,
02/01/2046
395‌
440‌
Anheuser-Busch
InBev
Finance
Inc
3.70%,
02/01/2024
190‌
200‌
Anheuser-Busch
InBev
Worldwide
Inc
2.50%,
07/15/2022
100‌
101‌
4.38%,
04/15/2038
145‌
153‌
4.75%,
04/15/2058
70‌
74‌
5.45%,
01/23/2039
225‌
268‌
5.55%,
01/23/2049
390‌
478‌
Constellation
Brands
Inc
2.65%,
11/07/2022
255‌
256‌
4.40%,
11/15/2025
70‌
76‌
5.25%,
11/15/2048
110‌
127‌
Keurig
Dr
Pepper
Inc
3.55%,
05/25/2021
115‌
117‌
$
2,411‌
Biotechnology
-
0.31%
Amgen
Inc
2.20%,
05/11/2020
315‌
314‌
3.88%,
11/15/2021
100‌
103‌
Celgene
Corp
2.88%,
08/15/2020
315‌
317‌
5.25%,
08/15/2043
30‌
36‌
Gilead
Sciences
Inc
3.65%,
03/01/2026
100‌
106‌
4.40%,
12/01/2021
100‌
105‌
$
981‌
Building
Materials
-
0.11%
BMC
East
LLC
5.50%,
10/01/2024
(g)
105‌
107‌
Builders
FirstSource
Inc
5.63%,
09/01/2024
(g)
90‌
93‌
6.75%,
06/01/2027
(g)
80‌
84‌
Norbord
Inc
5.75%,
07/15/2027
(g)
65‌
65‌
$
349‌
Chemicals
-
0.63%
Aruba
Investments
Inc
8.75%,
02/15/2023
(g)
105‌
105‌
Blue
Cube
Spinco
LLC
9.75%,
10/15/2023
70‌
77‌
Braskem
Finance
Ltd
6.45%,
02/03/2024
200‌
221‌
CF
Industries
Inc
7.13%,
05/01/2020
20‌
21‌
Consolidated
Energy
Finance
SA
6.50%,
05/15/2026
(g)
165‌
164‌
6.88%,
06/15/2025
(g)
150‌
154‌
Dow
Chemical
Co/The
3.63%,
05/15/2026
(g)
190‌
197‌
5.55%,
11/30/2048
(g)
55‌
65‌
DuPont
de
Nemours
Inc
5.32%,
11/15/2038
190‌
223‌
5.42%,
11/15/2048
205‌
249‌
NOVA
Chemicals
Corp
5.25%,
08/01/2023
(g)
35‌
35‌
5.25%,
06/01/2027
(g)
100‌
106‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Chemicals
(continued)
SABIC
Capital
II
BV
4.00%,
10/10/2023
(g)
$
200‌
$
208‌
SASOL
Financing
USA
LLC
5.88%,
03/27/2024
200‌
217‌
$
2,042‌
Commercial
Mortgage
Backed
Securities
-
5.06%
Banc
of
America
Commercial
Mortgage
Trust
2015-UBS7
3.71%,
09/15/2048
500‌
533‌
BANK
2017-BNK9
4.03%,
11/15/2054
(h)
500‌
525‌
BBCMS
MORTGAGE
TRUST
2017-C1
3.67%,
02/15/2050
500‌
530‌
BENCHMARK
2018-B4
4.12%,
07/15/2051
(h)
500‌
554‌
Citigroup
Commercial
Mortgage
Trust
2015-GC27
3.57%,
02/10/2048
900‌
937‌
Citigroup
Commercial
Mortgage
Trust
2015-GC29
4.28%,
04/10/2048
(h)
500‌
521‌
Citigroup
Commercial
Mortgage
Trust
2016-GC37
3.58%,
04/10/2049
350‌
365‌
Citigroup
Commercial
Mortgage
Trust
2018-B2
4.01%,
03/10/2051
350‌
384‌
COMM
2013-CCRE11
Mortgage
Trust
1.10%,
08/10/2050
(h),(l)
6,034‌
210‌
COMM
2013-CCRE8
Mortgage
Trust
4.09%,
06/10/2046
(g),(h)
350‌
365‌
COMM
2015-PC1
Mortgage
Trust
4.29%,
07/10/2050
(h)
250‌
269‌
COMM
2018-COR3
Mortgage
Trust
4.23%,
05/10/2051
1,000‌
1,110‌
Credit
Suisse
Commercial
Mortgage
Trust
Series
2006-C5
1.09%,
12/15/2039
(h),(l)
134‌
1‌
DBUBS
2011-LC2
Mortgage
Trust
4.54%,
07/10/2044
(g)
749‌
775‌
GS
Mortgage
Securities
Trust
2011-GC5
1.50%,
08/10/2044
(g),(h),(l)
9,296‌
196‌
GS
Mortgage
Securities
Trust
2012-GCJ7
2.36%,
05/10/2045
(h),(l)
1,718‌
66‌
GS
Mortgage
Securities
Trust
2013-GC16
1.22%,
11/10/2046
(h),(l)
1,949‌
75‌
GS
Mortgage
Securities
Trust
2013-GCJ12
3.78%,
06/10/2046
(h)
250‌
257‌
GS
Mortgage
Securities
Trust
2014-GC26
1.15%,
11/10/2047
(h),(l)
4,617‌
195‌
GS
Mortgage
Securities
Trust
2015-GC34
3.51%,
10/10/2048
375‌
395‌
GS
Mortgage
Securities
Trust
2015-GS1
3.73%,
11/10/2048
1,000‌
1,064‌
GS
Mortgage
Securities
Trust
2019-GC39
3.57%,
05/10/2052
300‌
320‌
JP
Morgan
Chase
Commercial
Mortgage
Securities
Trust
2010-C1
5.95%,
06/15/2043
(g)
400‌
405‌
JP
Morgan
Chase
Commercial
Mortgage
Securities
Trust
2011-C5
5.55%,
08/15/2046
(g),(h)
350‌
366‌
JP
Morgan
Chase
Commercial
Mortgage
Securities
Trust
2012-LC9
1.66%,
12/15/2047
(h),(l)
2,212‌
90‌
JP
Morgan
Chase
Commercial
Mortgage
Securities
Trust
2013-C16
1.11%,
12/15/2046
(h),(l)
8,148‌
283‌
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
112
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Commercial
Mortgage
Backed
Securities
(continued)
JP
Morgan
Chase
Commercial
Mortgage
Securities
Trust
2016-JP3
3.14%,
08/15/2049
$
500‌
$
505‌
JPMBB
Commercial
Mortgage
Securities
Trust
2014-C24
4.54%,
11/15/2047
(h)
500‌
521‌
LB-UBS
Commercial
Mortgage
Trust
2007-C1
0.35%,
02/15/2040
(h),(l)
421‌
—‌
Morgan
Stanley
Bank
of
America
Merrill
Lynch
Trust
2012-C5
1.62%,
08/15/2045
(g),(h),(l)
3,348‌
119‌
Morgan
Stanley
Bank
of
America
Merrill
Lynch
Trust
2014-C14
1.18%,
02/15/2047
(h),(l)
6,633‌
221‌
Morgan
Stanley
Bank
of
America
Merrill
Lynch
Trust
2014-C16
1.18%,
06/15/2047
(h),(l)
3,641‌
136‌
Morgan
Stanley
Bank
of
America
Merrill
Lynch
Trust
2015-C26
3.89%,
10/15/2048
(h)
250‌
264‌
Morgan
Stanley
Bank
of
America
Merrill
Lynch
Trust
2015-C27
3.75%,
12/15/2047
100‌
107‌
Morgan
Stanley
Bank
of
America
Merrill
Lynch
Trust
2016-C30
3.18%,
09/15/2049
500‌
504‌
MSBAM
Commercial
Mortgage
Securities
Trust
2012-CKSV
1.21%,
10/15/2030
(g),(h),(l)
3,556‌
103‌
UBS
Commercial
Mortgage
Trust
2012-C1
3.40%,
05/10/2045
146‌
150‌
UBS-Barclays
Commercial
Mortgage
Trust
2012-C3
3.09%,
08/10/2049
255‌
261‌
UBS-Barclays
Commercial
Mortgage
Trust
2012-C4
1.78%,
12/10/2045
(g),(h),(l)
1,220‌
54‌
3.32%,
12/10/2045
(g)
500‌
511‌
UBS-Barclays
Commercial
Mortgage
Trust
2013-C5
4.21%,
03/10/2046
(g),(h)
175‌
167‌
Wells
Fargo
Commercial
Mortgage
Trust
2015-NXS1
3.66%,
05/15/2048
(h)
700‌
719‌
Wells
Fargo
Commercial
Mortgage
Trust
2017-C38
3.45%,
07/15/2050
500‌
526‌
WFRBS
Commercial
Mortgage
Trust
2013-C12
1.41%,
03/15/2048
(g),(h),(l)
2,824‌
102‌
WFRBS
Commercial
Mortgage
Trust
2014-C22
4.07%,
09/15/2057
(h)
500‌
531‌
$
16,292‌
Commercial
Services
-
0.32%
Ahern
Rentals
Inc
7.38%,
05/15/2023
(g)
145‌
129‌
DP
World
PLC
6.85%,
07/02/2037
100‌
126‌
ERAC
USA
Finance
LLC
7.00%,
10/15/2037
(g)
100‌
137‌
Garda
World
Security
Corp
8.75%,
05/15/2025
(g)
130‌
128‌
Garda
World
Security
Corp/Old
7.25%,
11/15/2021
(g)
25‌
25‌
Refinitiv
US
Holdings
Inc
6.25%,
05/15/2026
(g)
95‌
98‌
8.25%,
11/15/2026
(g)
120‌
123‌
TMS
International
Corp
7.25%,
08/15/2025
(g)
155‌
150‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Commercial
Services
(continued)
United
Rentals
North
America
Inc
4.63%,
10/15/2025
$
75‌
$
76‌
4.88%,
01/15/2028
25‌
25‌
5.88%,
09/15/2026
15‌
16‌
$
1,033‌
Computers
-
0.97%
Apple
Inc
2.40%,
05/03/2023
100‌
101‌
2.75%,
01/13/2025
220‌
225‌
2.85%,
05/11/2024
665‌
685‌
3.00%,
02/09/2024
270‌
279‌
3.35%,
02/09/2027
570‌
599‌
Dell
Inc
4.63%,
04/01/2021
155‌
159‌
Dell
International
LLC
/
EMC
Corp
4.90%,
10/01/2026
(g)
530‌
553‌
7.13%,
06/15/2024
(g)
330‌
348‌
8.35%,
07/15/2046
(g)
125‌
158‌
$
3,107‌
Consumer
Products
-
0.02%
Prestige
Brands
Inc
5.38%,
12/15/2021
(g)
35‌
35‌
Spectrum
Brands
Inc
6.63%,
11/15/2022
20‌
21‌
$
56‌
Credit
Card
Asset
Backed
Securities
-
0.31%
Chase
Issuance
Trust
2.69%,
01/15/2022
1,000‌
1,001‌
1.00
x
1
Month
USD
LIBOR
+
0.30%
Distribution
&
Wholesale
-
0.05%
American
Builders
&
Contractors
Supply
Co
Inc
5.75%,
12/15/2023
(g)
95‌
99‌
5.88%,
05/15/2026
(g)
55‌
57‌
$
156‌
Diversified
Financial
Services
-
1.43%
Aircastle
Ltd
5.13%,
03/15/2021
20‌
21‌
Ally
Financial
Inc
4.25%,
04/15/2021
30‌
31‌
Brookfield
Finance
Inc
3.90%,
01/25/2028
395‌
403‌
4.00%,
04/01/2024
750‌
788‌
4.70%,
09/20/2047
465‌
486‌
4.85%,
03/29/2029
100‌
109‌
Credit
Acceptance
Corp
6.13%,
02/15/2021
105‌
105‌
6.63%,
03/15/2026
(g)
285‌
300‌
7.38%,
03/15/2023
160‌
166‌
E*TRADE
Financial
Corp
5.30%,
12/31/2049
(j),(k)
235‌
228‌
3
Month
USD
LIBOR
+
3.16%
GE
Capital
International
Funding
Co
Unlimited
Co
4.42%,
11/15/2035
200‌
198‌
Navient
Corp
6.13%,
03/25/2024
105‌
108‌
6.63%,
07/26/2021
165‌
175‌
6.75%,
06/15/2026
(m)
135‌
140‌
Nuveen
Finance
LLC
4.13%,
11/01/2024
(g)
640‌
689‌
Nuveen
LLC
4.00%,
11/01/2028
(g)
320‌
351‌
Springleaf
Finance
Corp
5.63%,
03/15/2023
75‌
80‌
6.63%,
01/15/2028
30‌
31‌
6.88%,
03/15/2025
190‌
208‌
$
4,617‌
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
113
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Electric
-
3.21%
AEP
Texas
Inc
4.15%,
05/01/2049
$
115‌
$
124‌
Alabama
Power
Co
4.15%,
08/15/2044
120‌
129‌
CMS
Energy
Corp
3.00%,
05/15/2026
145‌
145‌
4.70%,
03/31/2043
135‌
149‌
4.88%,
03/01/2044
180‌
207‌
Commonwealth
Edison
Co
4.00%,
03/01/2049
255‌
274‌
Consolidated
Edison
Co
of
New
York
Inc
4.63%,
12/01/2054
150‌
168‌
Dominion
Energy
Inc
2.58%,
07/01/2020
900‌
899‌
3.90%,
10/01/2025
115‌
123‌
4.25%,
06/01/2028
305‌
332‌
DTE
Electric
Co
3.95%,
03/01/2049
75‌
82‌
DTE
Energy
Co
3.40%,
06/15/2029
455‌
463‌
6.38%,
04/15/2033
85‌
109‌
Duke
Energy
Florida
LLC
3.80%,
07/15/2028
295‌
318‌
Electricite
de
France
SA
5.63%,
12/31/2049
(g),(j),(k)
280‌
288‌
USD
Swap
Semi-Annual
10
Year
+
3.04%
Enel
Chile
SA
4.88%,
06/12/2028
105‌
115‌
Exelon
Corp
3.50%,
06/01/2022
290‌
297‌
Fortis
Inc
/Canada
2.10%,
10/04/2021
185‌
183‌
3.06%,
10/04/2026
103‌
102‌
Georgia
Power
Co
4.30%,
03/15/2043
80‌
84‌
Indiantown
Cogeneration
LP
9.77%,
12/15/2020
35‌
36‌
LG&E
&
KU
Energy
LLC
4.38%,
10/01/2021
100‌
104‌
Louisville
Gas
&
Electric
Co
4.25%,
04/01/2049
105‌
118‌
Metropolitan
Edison
Co
3.50%,
03/15/2023
(g)
100‌
103‌
MidAmerican
Energy
Co
4.25%,
07/15/2049
45‌
51‌
National
Rural
Utilities
Cooperative
Finance
Corp
2.40%,
04/25/2022
255‌
257‌
4.75%,
04/30/2043
(j)
125‌
123‌
3
Month
USD
LIBOR
+
2.91%
NextEra
Energy
Capital
Holdings
Inc
3.50%,
04/01/2029
375‌
390‌
NextEra
Energy
Operating
Partners
LP
4.25%,
07/15/2024
(g)
130‌
131‌
NRG
Energy
Inc
5.25%,
06/15/2029
(g)
40‌
43‌
6.63%,
01/15/2027
110‌
119‌
7.25%,
05/15/2026
85‌
94‌
NSTAR
Electric
Co
3.25%,
05/15/2029
350‌
363‌
Oncor
Electric
Delivery
Co
LLC
5.25%,
09/30/2040
120‌
150‌
5.75%,
03/15/2029
200‌
247‌
PacifiCorp
3.85%,
06/15/2021
150‌
154‌
5.25%,
06/15/2035
100‌
119‌
PPL
Electric
Utilities
Corp
3.95%,
06/01/2047
85‌
91‌
4.75%,
07/15/2043
115‌
135‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Electric
(continued)
PPL
WEM
Ltd
/
Western
Power
Distribution
Ltd
5.38%,
05/01/2021
(g)
$
440‌
$
455‌
Public
Service
Co
of
Colorado
4.05%,
09/15/2049
105‌
116‌
Public
Service
Enterprise
Group
Inc
2.88%,
06/15/2024
215‌
218‌
Solar
Star
Funding
LLC
5.38%,
06/30/2035
(g)
100‌
102‌
Southern
California
Edison
Co
4.13%,
03/01/2048
115‌
116‌
4.20%,
03/01/2029
250‌
266‌
4.88%,
03/01/2049
210‌
236‌
Southern
Co/The
5.50%,
03/15/2057
(j)
50‌
51‌
3
Month
USD
LIBOR
+
3.63%
Southwestern
Electric
Power
Co
3.55%,
02/15/2022
100‌
102‌
3.85%,
02/01/2048
100‌
98‌
State
Grid
Overseas
Investment
2016
Ltd
3.50%,
05/04/2027
250‌
259‌
Tucson
Electric
Power
Co
3.85%,
03/15/2023
100‌
103‌
4.85%,
12/01/2048
65‌
76‌
Virginia
Electric
&
Power
Co
3.80%,
04/01/2028
230‌
247‌
4.60%,
12/01/2048
95‌
109‌
4.65%,
08/15/2043
65‌
75‌
Vistra
Energy
Corp
7.38%,
11/01/2022
25‌
26‌
8.13%,
01/30/2026
(g)
35‌
38‌
Vistra
Operations
Co
LLC
5.00%,
07/31/2027
(g)
40‌
41‌
5.50%,
09/01/2026
(g)
120‌
127‌
5.63%,
02/15/2027
(g)
40‌
42‌
$
10,322‌
Electrical
Components
&
Equipment
-
0.03%
Energizer
Holdings
Inc
5.50%,
06/15/2025
(g)
65‌
66‌
6.38%,
07/15/2026
(g)
45‌
46‌
$
112‌
Electronics
-
0.07%
ADT
Security
Corp/The
6.25%,
10/15/2021
45‌
47‌
Sensata
Technologies
BV
5.00%,
10/01/2025
(g)
155‌
162‌
$
209‌
Engineering
&
Construction
-
0.02%
MasTec
Inc
4.88%,
03/15/2023
60‌
61‌
Entertainment
-
0.33%
Boyne
USA
Inc
7.25%,
05/01/2025
(g)
195‌
211‌
Caesars
Resort
Collection
LLC
/
CRC
Finco
Inc
5.25%,
10/15/2025
(g)
195‌
195‌
CCM
Merger
Inc
6.00%,
03/15/2022
(g)
115‌
118‌
Eldorado
Resorts
Inc
6.00%,
04/01/2025
35‌
37‌
6.00%,
09/15/2026
185‌
202‌
7.00%,
08/01/2023
50‌
52‌
Enterprise
Development
Authority/The
12.00%,
07/15/2024
(g)
130‌
141‌
Lions
Gate
Capital
Holdings
LLC
5.88%,
11/01/2024
(g)
25‌
26‌
6.38%,
02/01/2024
(g)
65‌
68‌
Scientific
Games
International
Inc
10.00%,
12/01/2022
13‌
14‌
$
1,064‌
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
114
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Environmental
Control
-
0.31%
Republic
Services
Inc
3.55%,
06/01/2022
$
100‌
$
103‌
Stericycle
Inc
5.38%,
07/15/2024
(g)
110‌
115‌
Waste
Connections
Inc
4.25%,
12/01/2028
300‌
328‌
Waste
Management
Inc
3.20%,
06/15/2026
430‌
447‌
$
993‌
Food
-
0.95%
Albertsons
Cos
LLC
/
Safeway
Inc
/
New
Albertsons
LP
/
Albertson's
LLC
7.50%,
03/15/2026
(g)
135‌
144‌
General
Mills
Inc
4.55%,
04/17/2038
120‌
128‌
Gruma
SAB
de
CV
4.88%,
12/01/2024
(g)
350‌
371‌
Ingles
Markets
Inc
5.75%,
06/15/2023
145‌
148‌
JBS
USA
LUX
SA
/
JBS
USA
Finance
Inc
5.75%,
06/15/2025
(g)
195‌
203‌
JBS
USA
LUX
SA
/
JBS
USA
Food
Co
/
JBS
USA
Finance
Inc
6.50%,
04/15/2029
(g)
45‌
49‌
Kraft
Heinz
Foods
Co
5.00%,
07/15/2035
135‌
141‌
McCormick
&
Co
Inc
/MD
3.15%,
08/15/2024
325‌
332‌
Nestle
Holdings
Inc
3.35%,
09/24/2023
(g)
240‌
250‌
3.50%,
09/24/2025
(g)
360‌
382‌
Post
Holdings
Inc
5.00%,
08/15/2026
(g)
225‌
228‌
5.75%,
03/01/2027
(g)
30‌
31‌
TreeHouse
Foods
Inc
4.88%,
03/15/2022
30‌
30‌
Want
Want
China
Finance
Ltd
2.88%,
04/27/2022
200‌
201‌
Wm
Wrigley
Jr
Co
3.38%,
10/21/2020
(g)
415‌
421‌
$
3,059‌
Forest
Products
&
Paper
-
0.10%
Domtar
Corp
6.25%,
09/01/2042
225‌
239‌
International
Paper
Co
4.35%,
08/15/2048
95‌
93‌
$
332‌
Gas
-
0.15%
Piedmont
Natural
Gas
Co
Inc
3.50%,
06/01/2029
280‌
293‌
Southern
Co
Gas
Capital
Corp
4.40%,
05/30/2047
165‌
175‌
$
468‌
Healthcare
-
Products
-
0.70%
Abbott
Laboratories
2.90%,
11/30/2021
25‌
25‌
3.75%,
11/30/2026
170‌
184‌
4.90%,
11/30/2046
540‌
667‌
Becton
Dickinson
and
Co
3.36%,
06/06/2024
200‌
206‌
3.50%,
06/06/2022
165‌
166‌
3
Month
USD
LIBOR
+
1.03%
4.69%,
12/15/2044
141‌
156‌
Boston
Scientific
Corp
4.00%,
03/01/2029
240‌
260‌
4.70%,
03/01/2049
190‌
218‌
Kinetic
Concepts
Inc
/
KCI
USA
Inc
7.88%,
02/15/2021
(g)
60‌
62‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Healthcare
-
Products
(continued)
Medtronic
Inc
4.38%,
03/15/2035
$
245‌
$
282‌
4.63%,
03/15/2045
17‌
21‌
$
2,247‌
Healthcare
-
Services
-
0.77%
AHP
Health
Partners
Inc
9.75%,
07/15/2026
(g)
180‌
194‌
Centene
Corp
4.75%,
05/15/2022
255‌
260‌
5.38%,
06/01/2026
(g)
110‌
116‌
5.63%,
02/15/2021
70‌
71‌
6.13%,
02/15/2024
60‌
63‌
HCA
Healthcare
Inc
6.25%,
02/15/2021
240‌
251‌
HCA
Inc
4.75%,
05/01/2023
245‌
262‌
5.50%,
06/15/2047
50‌
53‌
5.88%,
03/15/2022
10‌
11‌
5.88%,
02/01/2029
290‌
318‌
MPH
Acquisition
Holdings
LLC
7.13%,
06/01/2024
(g)
55‌
52‌
Tenet
Healthcare
Corp
4.63%,
07/15/2024
95‌
96‌
6.00%,
10/01/2020
90‌
93‌
UnitedHealth
Group
Inc
3.88%,
12/15/2028
280‌
306‌
WellCare
Health
Plans
Inc
5.25%,
04/01/2025
325‌
339‌
$
2,485‌
Home
Builders
-
0.17%
Century
Communities
Inc
5.88%,
07/15/2025
140‌
141‌
6.75%,
06/01/2027
(g)
35‌
36‌
KB
Home
7.63%,
05/15/2023
55‌
61‌
Lennar
Corp
4.88%,
12/15/2023
120‌
126‌
LGI
Homes
Inc
6.88%,
07/15/2026
(g)
75‌
77‌
Taylor
Morrison
Communities
Inc
/
Taylor
Morrison
Holdings
II
Inc
5.63%,
03/01/2024
(g)
70‌
72‌
TRI
Pointe
Group
Inc
4.88%,
07/01/2021
30‌
31‌
$
544‌
Home
Equity
Asset
Backed
Securities
-
0.06%
Saxon
Asset
Securities
Trust
2004-1
3.18%,
03/25/2035
124‌
69‌
1.00
x
1
Month
USD
LIBOR
+
1.70%
Specialty
Underwriting
&
Residential
Finance
Trust
Series
2004-BC1
3.17%,
02/25/2035
123‌
122‌
1.00
x
1
Month
USD
LIBOR
+
0.77%
$
191‌
Insurance
-
2.11%
AIA
Group
Ltd
3.20%,
03/11/2025
(g)
410‌
419‌
3.90%,
04/06/2028
(g)
625‌
663‌
American
International
Group
Inc
3.90%,
04/01/2026
805‌
842‌
4.50%,
07/16/2044
400‌
423‌
Arch
Capital
Finance
LLC
4.01%,
12/15/2026
265‌
284‌
5.03%,
12/15/2046
340‌
406‌
CNO
Financial
Group
Inc
5.25%,
05/30/2029
70‌
76‌
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
115
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Insurance
(continued)
Markel
Corp
3.50%,
11/01/2027
$
180‌
$
180‌
4.30%,
11/01/2047
95‌
93‌
5.00%,
04/05/2046
405‌
433‌
5.00%,
05/20/2049
120‌
130‌
PartnerRe
Finance
B
LLC
3.70%,
07/02/2029
300‌
305‌
Swiss
Re
Finance
Luxembourg
SA
5.00%,
04/02/2049
(g),(j)
200‌
214‌
US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
3.58%
Voya
Financial
Inc
5.65%,
05/15/2053
(j)
475‌
493‌
3
Month
USD
LIBOR
+
3.58%
6.13%,
12/31/2049
(j),(k)
50‌
52‌
US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
3.36%
XLIT
Ltd
4.45%,
03/31/2025
885‌
956‌
5.05%,
12/31/2049
(k)
305‌
293‌
3
Month
USD
LIBOR
+
2.46%
5.50%,
03/31/2045
450‌
531‌
$
6,793‌
Internet
-
0.34%
Alibaba
Group
Holding
Ltd
3.40%,
12/06/2027
200‌
203‌
Amazon.com
Inc
4.05%,
08/22/2047
100‌
114‌
Baidu
Inc
4.38%,
05/14/2024
200‌
212‌
Netflix
Inc
5.38%,
02/01/2021
145‌
150‌
Symantec
Corp
3.95%,
06/15/2022
65‌
66‌
Tencent
Holdings
Ltd
3.98%,
04/11/2029
(g)
200‌
209‌
Zayo
Group
LLC
/
Zayo
Capital
Inc
6.00%,
04/01/2023
140‌
143‌
$
1,097‌
Investment
Companies
-
0.10%
Icahn
Enterprises
LP
/
Icahn
Enterprises
Finance
Corp
6.25%,
02/01/2022
165‌
169‌
6.25%,
05/15/2026
(g)
80‌
81‌
6.38%,
12/15/2025
65‌
66‌
$
316‌
Iron
&
Steel
-
0.06%
AK
Steel
Corp
6.38%,
10/15/2025
60‌
48‌
7.50%,
07/15/2023
50‌
51‌
7.63%,
10/01/2021
50‌
49‌
ArcelorMittal
5.50%,
03/01/2021
20‌
21‌
Vale
Overseas
Ltd
6.88%,
11/21/2036
26‌
31‌
$
200‌
Leisure
Products
&
Services
-
0.00%
NCL
Corp
Ltd
4.75%,
12/15/2021
(g)
10‌
10‌
Lodging
-
0.15%
Jack
Ohio
Finance
LLC
/
Jack
Ohio
Finance
1
Corp
6.75%,
11/15/2021
(g)
165‌
169‌
MGM
Resorts
International
6.00%,
03/15/2023
60‌
65‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Lodging
(continued)
Wynn
Las
Vegas
LLC
/
Wynn
Las
Vegas
Capital
Corp
5.25%,
05/15/2027
(g)
$
200‌
$
201‌
5.50%,
03/01/2025
(g)
50‌
52‌
$
487‌
Machinery
-
Diversified
-
0.09%
Cloud
Crane
LLC
10.13%,
08/01/2024
(g)
260‌
279‌
Media
-
2.81%
Altice
Financing
SA
6.63%,
02/15/2023
(g)
200‌
205‌
Altice
Luxembourg
SA
7.75%,
05/15/2022
(g)
200‌
203‌
AMC
Networks
Inc
4.75%,
12/15/2022
30‌
30‌
CCO
Holdings
LLC
/
CCO
Holdings
Capital
Corp
5.13%,
02/15/2023
215‌
218‌
5.13%,
05/01/2023
(g)
365‌
373‌
5.50%,
05/01/2026
(g)
250‌
262‌
Charter
Communications
Operating
LLC
/
Charter
Communications
Operating
Capital
3.58%,
07/23/2020
305‌
308‌
5.75%,
04/01/2048
155‌
171‌
6.48%,
10/23/2045
120‌
141‌
Comcast
Corp
3.38%,
02/15/2025
335‌
351‌
3.95%,
10/15/2025
200‌
216‌
4.15%,
10/15/2028
875‌
964‌
4.20%,
08/15/2034
160‌
177‌
4.60%,
10/15/2038
405‌
464‌
4.60%,
08/15/2045
160‌
182‌
4.70%,
10/15/2048
110‌
129‌
6.45%,
03/15/2037
200‌
271‌
CSC
Holdings
LLC
6.50%,
02/01/2029
(g)
208‌
227‌
6.75%,
11/15/2021
40‌
43‌
Discovery
Communications
LLC
4.13%,
05/15/2029
150‌
156‌
5.30%,
05/15/2049
50‌
54‌
DISH
DBS
Corp
5.13%,
05/01/2020
70‌
70‌
5.88%,
07/15/2022
160‌
162‌
5.88%,
11/15/2024
90‌
85‌
7.75%,
07/01/2026
20‌
19‌
Fox
Corp
5.48%,
01/25/2039
(g)
110‌
130‌
Grupo
Televisa
SAB
5.25%,
05/24/2049
200‌
208‌
Meredith
Corp
6.88%,
02/01/2026
365‌
387‌
NBCUniversal
Media
LLC
4.45%,
01/15/2043
145‌
160‌
5.15%,
04/30/2020
505‌
517‌
Radiate
Holdco
LLC
/
Radiate
Finance
Inc
6.63%,
02/15/2025
(g)
35‌
34‌
6.88%,
02/15/2023
(g)
40‌
40‌
Time
Warner
Cable
LLC
5.88%,
11/15/2040
135‌
146‌
6.55%,
05/01/2037
100‌
116‌
Viacom
Inc
4.25%,
09/01/2023
110‌
116‌
4.38%,
03/15/2043
375‌
367‌
Virgin
Media
Finance
PLC
6.00%,
10/15/2024
(g)
200‌
207‌
Walt
Disney
Co/The
3.00%,
09/15/2022
(g)
170‌
174‌
5.40%,
10/01/2043
(g)
230‌
300‌
6.15%,
02/15/2041
(g)
35‌
49‌
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
116
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Media
(continued)
Walt
Disney
Co/The  
(continued)
6.20%,
12/15/2034
(g)
$
20‌
$
27‌
6.40%,
12/15/2035
(g)
85‌
116‌
Ziggo
Bond
Co
BV
6.00%,
01/15/2027
(g)
300‌
301‌
Ziggo
BV
5.50%,
01/15/2027
(g)
150‌
153‌
$
9,029‌
Metal
Fabrication
&
Hardware
-
0.02%
Park-Ohio
Industries
Inc
6.63%,
04/15/2027
60‌
60‌
Mining
-
0.50%
First
Quantum
Minerals
Ltd
7.00%,
02/15/2021
(g)
8‌
8‌
7.50%,
04/01/2025
(g)
200‌
190‌
FMG
Resources
August
2006
Pty
Ltd
4.75%,
05/15/2022
(g)
125‌
129‌
Hudbay
Minerals
Inc
7.25%,
01/15/2023
(g)
25‌
26‌
7.63%,
01/15/2025
(g)
115‌
119‌
IAMGOLD
Corp
7.00%,
04/15/2025
(g)
130‌
135‌
Newmont
Goldcorp
Corp
5.13%,
10/01/2019
150‌
151‌
Taseko
Mines
Ltd
8.75%,
06/15/2022
(g)
135‌
130‌
Teck
Resources
Ltd
3.75%,
02/01/2023
60‌
61‌
5.40%,
02/01/2043
65‌
67‌
6.13%,
10/01/2035
180‌
205‌
6.25%,
07/15/2041
270‌
303‌
8.50%,
06/01/2024
(g)
75‌
80‌
$
1,604‌
Miscellaneous
Manufacturers
-
0.34%
General
Electric
Co
4.50%,
03/11/2044
45‌
44‌
5.55%,
01/05/2026
180‌
201‌
6.88%,
01/10/2039
75‌
94‌
Ingersoll-Rand
Luxembourg
Finance
SA
3.80%,
03/21/2029
195‌
205‌
Parker-Hannifin
Corp
2.70%,
06/14/2024
100‌
101‌
3.25%,
06/14/2029
275‌
285‌
4.00%,
06/14/2049
160‌
169‌
$
1,099‌
Mortgage
Backed
Securities
-
3.45%
Fannie
Mae
REMIC
Trust
2005-W2
2.60%,
05/25/2035
42‌
42‌
1.00
x
1
Month
USD
LIBOR
+
0.20%
Fannie
Mae
REMICS
2.25%,
07/25/2040
89‌
90‌
3.00%,
04/25/2022
(l)
271‌
8‌
3.00%,
04/25/2027
(l)
239‌
19‌
3.50%,
11/25/2027
(l)
166‌
15‌
3.50%,
07/25/2028
(l)
316‌
27‌
3.50%,
03/25/2031
(l)
376‌
23‌
3.60%,
10/25/2046
(l)
1,142‌
252‌
(1.00)
x
1
Month
USD
LIBOR
+
6.00%
3.70%,
02/25/2043
(l)
340‌
66‌
(1.00)
x
1
Month
USD
LIBOR
+
6.10%
3.70%,
09/25/2046
(l)
305‌
55‌
(1.00)
x
1
Month
USD
LIBOR
+
6.10%
3.75%,
09/25/2047
(l)
825‌
170‌
(1.00)
x
1
Month
USD
LIBOR
+
6.15%
4.10%,
03/25/2022
(l)
23‌
1‌
(1.00)
x
1
Month
USD
LIBOR
+
6.50%
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Mortgage
Backed
Securities
(continued)
Freddie
Mac
REMICS
2.84%,
05/15/2049
$
1,989‌
$
1,988‌
1.00
x
1
Month
USD
LIBOR
+
0.45%
3.00%,
09/15/2025
(l)
65‌
1‌
3.00%,
03/15/2026
(l)
212‌
7‌
3.00%,
05/15/2027
(l)
218‌
14‌
3.00%,
10/15/2027
(l)
103‌
8‌
3.50%,
11/15/2020
(l)
142‌
3‌
3.50%,
09/15/2026
(l)
550‌
45‌
3.61%,
04/15/2046
(l)
2,059‌
440‌
(1.00)
x
1
Month
USD
LIBOR
+
6.00%
3.61%,
10/15/2046
(l)
2,119‌
449‌
(1.00)
x
1
Month
USD
LIBOR
+
6.00%
4.00%,
11/15/2038
(l)
488‌
26‌
Ginnie
Mae
3.12%,
05/20/2042
(l)
1,167‌
203‌
(1.00)
x
1
Month
USD
LIBOR
+
5.50%
3.71%,
07/16/2042
(l)
2,594‌
524‌
(1.00)
x
1
Month
USD
LIBOR
+
6.10%
3.71%,
07/16/2043
(l)
731‌
125‌
(1.00)
x
1
Month
USD
LIBOR
+
6.10%
3.72%,
06/20/2046
(l)
750‌
143‌
(1.00)
x
1
Month
USD
LIBOR
+
6.10%
3.82%,
09/20/2041
(l)
3,241‌
465‌
(1.00)
x
1
Month
USD
LIBOR
+
6.20%
3.82%,
11/20/2045
(l)
1,983‌
370‌
(1.00)
x
1
Month
USD
LIBOR
+
6.20%
3.82%,
08/20/2047
(l)
925‌
206‌
(1.00)
x
1
Month
USD
LIBOR
+
6.20%
3.82%,
09/20/2047
(l)
3,104‌
639‌
(1.00)
x
1
Month
USD
LIBOR
+
6.20%
3.86%,
08/16/2045
(l)
2,944‌
580‌
(1.00)
x
1
Month
USD
LIBOR
+
6.25%
3.87%,
06/20/2044
(l)
5,015‌
663‌
(1.00)
x
1
Month
USD
LIBOR
+
6.25%
4.26%,
04/16/2042
(l)
1,239‌
271‌
(1.00)
x
1
Month
USD
LIBOR
+
6.65%
4.37%,
11/20/2045
(l)
2,588‌
557‌
(1.00)
x
1
Month
USD
LIBOR
+
6.75%
4.47%,
04/20/2041
(l)
1,545‌
288‌
(1.10)
x
1
Month
USD
LIBOR
+
7.10%
4.50%,
04/16/2044
(l)
288‌
47‌
HomeBanc
Mortgage
Trust
2005-5
2.74%,
01/25/2036
274‌
276‌
1.00
x
1
Month
USD
LIBOR
+
0.34%
JP
Morgan
Mortgage
Trust
2016-2
2.81%,
06/25/2046
(g),(h)
448‌
450‌
JP
Morgan
Mortgage
Trust
2016-3
3.50%,
10/25/2046
(g),(h)
386‌
392‌
Sequoia
Mortgage
Trust
2016-3
3.50%,
11/25/2046
(g),(h)
1,070‌
1,087‌
Washington
Mutual
Mortgage
Pass-Through
Certificates
WMALT
Series
2006-AR1
Trust
2.65%,
02/25/2036
84‌
75‌
1.00
x
1
Month
USD
LIBOR
+
0.25%
$
11,110‌
Office
&
Business
Equipment
-
0.02%
Xerox
Corp
3.63%,
03/15/2023
60‌
61‌
Oil
&
Gas
-
2.43%
Ascent
Resources
Utica
Holdings
LLC
/
ARU
Finance
Corp
7.00%,
11/01/2026
(g)
100‌
91‌
10.00%,
04/01/2022
(g)
148‌
157‌
BP
Capital
Markets
America
Inc
3.02%,
01/16/2027
165‌
169‌
3.41%,
02/11/2026
205‌
215‌
3.94%,
09/21/2028
100‌
109‌
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
117
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Oil
&
Gas
(continued)
BP
Capital
Markets
America
Inc  
(continued)
4.23%,
11/06/2028
$
90‌
$
100‌
Brazos
Valley
Longhorn
LLC
/
Brazos
Valley
Longhorn
Finance
Corp
6.88%,
02/01/2025
105‌
99‌
Canadian
Natural
Resources
Ltd
3.85%,
06/01/2027
190‌
197‌
3.90%,
02/01/2025
145‌
151‌
Chesapeake
Energy
Corp
7.00%,
10/01/2024
15‌
13‌
Chesapeake
Oil
Op/Fin
Escrow
Shares
0.00%,
11/15/2019
(d),(e),(f)
90‌
—‌
Concho
Resources
Inc
4.38%,
01/15/2025
185‌
192‌
Continental
Resources
Inc
/OK
3.80%,
06/01/2024
770‌
792‌
4.38%,
01/15/2028
480‌
505‌
4.90%,
06/01/2044
(m)
225‌
236‌
Ecopetrol
SA
7.38%,
09/18/2043
65‌
83‌
EP
Energy
LLC
/
Everest
Acquisition
Finance
Inc
7.75%,
05/15/2026
(g)
245‌
219‌
Extraction
Oil
&
Gas
Inc
7.38%,
05/15/2024
(g)
75‌
64‌
Gulfport
Energy
Corp
6.38%,
05/15/2025
210‌
162‌
Marathon
Oil
Corp
4.40%,
07/15/2027
105‌
111‌
6.60%,
10/01/2037
535‌
661‌
Marathon
Petroleum
Corp
4.75%,
09/15/2044
36‌
37‌
Nabors
Industries
Inc
5.00%,
09/15/2020
24‌
24‌
5.75%,
02/01/2025
220‌
195‌
Newfield
Exploration
Co
5.38%,
01/01/2026
480‌
526‌
Oasis
Petroleum
Inc
6.25%,
05/01/2026
(g)
40‌
39‌
6.88%,
01/15/2023
50‌
50‌
Petrobras
Global
Finance
BV
7.38%,
01/17/2027
250‌
286‌
Petroleos
Mexicanos
4.50%,
01/23/2026
75‌
69‌
6.50%,
03/13/2027
210‌
207‌
Saudi
Arabian
Oil
Co
3.50%,
04/16/2029
(g)
250‌
253‌
4.25%,
04/16/2039
(g)
250‌
253‌
Sinopec
Group
Overseas
Development
2017
Ltd
2.50%,
09/13/2022
(g)
325‌
323‌
SM
Energy
Co
6.63%,
01/15/2027
45‌
42‌
Southwestern
Energy
Co
7.75%,
10/01/2027
185‌
177‌
Suncor
Energy
Inc
4.00%,
11/15/2047
85‌
88‌
Sunoco
LP
/
Sunoco
Finance
Corp
4.88%,
01/15/2023
215‌
220‌
5.50%,
02/15/2026
95‌
99‌
Total
Capital
International
SA
3.46%,
02/19/2029
225‌
240‌
Ultra
Resources
Inc
6.88%,
04/15/2022
(g)
65‌
8‌
Whiting
Petroleum
Corp
5.75%,
03/15/2021
90‌
91‌
6.25%,
04/01/2023
60‌
60‌
6.63%,
01/15/2026
75‌
72‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Oil
&
Gas
(continued)
XTO
Energy
Inc
6.75%,
08/01/2037
$
100‌
$
142‌
$
7,827‌
Oil
&
Gas
Services
-
0.20%
Archrock
Partners
LP
/
Archrock
Partners
Finance
Corp
6.00%,
10/01/2022
80‌
81‌
6.88%,
04/01/2027
(g)
70‌
73‌
Baker
Hughes
a
GE
Co
LLC
/
Baker
Hughes
Co-
Obligor
Inc
3.34%,
12/15/2027
150‌
151‌
4.08%,
12/15/2047
85‌
82‌
USA
Compression
Partners
LP
/
USA
Compression
Finance
Corp
6.88%,
04/01/2026
120‌
127‌
6.88%,
09/01/2027
(g)
135‌
142‌
$
656‌
Other
Asset
Backed
Securities
-
1.33%
Dell
Equipment
Finance
Trust
2018-1
2.70%,
10/22/2020
(g)
1,371‌
1,371‌
1.00
x
1
Month
USD
LIBOR
+
0.30%
Verizon
Owner
Trust
2017-1
2.06%,
09/20/2021
(g)
1,061‌
1,059‌
Verizon
Owner
Trust
2017-3
2.65%,
04/20/2022
(g)
1,850‌
1,850‌
1.00
x
1
Month
USD
LIBOR
+
0.27%
$
4,280‌
Packaging
&
Containers
-
0.39%
Ardagh
Packaging
Finance
PLC
/
Ardagh
Holdings
USA
Inc
6.00%,
02/15/2025
(g)
200‌
207‌
BWAY
Holding
Co
7.25%,
04/15/2025
(g)
260‌
251‌
Crown
Americas
LLC
/
Crown
Americas
Capital
Corp
V
4.25%,
09/30/2026
43‌
44‌
Crown
Americas
LLC
/
Crown
Americas
Capital
Corp
VI
4.75%,
02/01/2026
110‌
113‌
Crown
Cork
&
Seal
Co
Inc
7.38%,
12/15/2026
132‌
152‌
Flex
Acquisition
Co
Inc
6.88%,
01/15/2025
(g)
135‌
122‌
Reynolds
Group
Issuer
Inc
/
Reynolds
Group
Issuer
LLC
/
Reynolds
Group
Issuer
(Luxembourg)
S.A.
5.13%,
07/15/2023
(g)
195‌
199‌
6.10%,
07/15/2021
(g)
40‌
40‌
3
Month
USD
LIBOR
+
3.50%
Sealed
Air
Corp
4.88%,
12/01/2022
(g)
120‌
126‌
$
1,254‌
Pharmaceuticals
-
1.70%
AbbVie
Inc
2.90%,
11/06/2022
100‌
101‌
3.38%,
11/14/2021
35‌
36‌
Bausch
Health
Americas
Inc
8.50%,
01/31/2027
(g)
90‌
99‌
Bausch
Health
Cos
Inc
6.50%,
03/15/2022
(g)
45‌
47‌
Bayer
US
Finance
II
LLC
3.88%,
12/15/2023
(g)
200‌
208‌
Bristol-Myers
Squibb
Co
2.60%,
05/16/2022
(g)
180‌
182‌
2.90%,
07/26/2024
(g)
175‌
179‌
3.40%,
07/26/2029
(g)
370‌
387‌
4.13%,
06/15/2039
(g)
240‌
259‌
4.25%,
10/26/2049
(g)
470‌
519‌
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
118
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Pharmaceuticals
(continued)
Cigna
Corp
3.75%,
07/15/2023
(g)
$
545‌
$
567‌
4.13%,
11/15/2025
(g)
350‌
373‌
4.38%,
10/15/2028
(g)
200‌
216‌
4.90%,
12/15/2048
(g)
150‌
163‌
CVS
Health
Corp
3.70%,
03/09/2023
215‌
222‌
4.78%,
03/25/2038
170‌
177‌
4.88%,
07/20/2035
190‌
199‌
5.00%,
12/01/2024
410‌
447‌
5.05%,
03/25/2048
225‌
240‌
Eli
Lilly
&
Co
3.88%,
03/15/2039
120‌
130‌
4.15%,
03/15/2059
80‌
88‌
Pfizer
Inc
3.45%,
03/15/2029
170‌
180‌
Zoetis
Inc
3.90%,
08/20/2028
320‌
341‌
4.45%,
08/20/2048
95‌
105‌
$
5,465‌
Pipelines
-
2.21%
Abu
Dhabi
Crude
Oil
Pipeline
LLC
3.65%,
11/02/2029
(g),(m)
200‌
210‌
Andeavor
Logistics
LP
/
Tesoro
Logistics
Finance
Corp
4.25%,
12/01/2027
105‌
111‌
Crestwood
Midstream
Partners
LP
/
Crestwood
Midstream
Finance
Corp
5.63%,
05/01/2027
(g)
120‌
120‌
DCP
Midstream
Operating
LP
5.35%,
03/15/2020
(g)
450‌
456‌
Enbridge
Inc
6.00%,
01/15/2077
(j)
165‌
166‌
3
Month
USD
LIBOR
+
3.89%
Energy
Transfer
Operating
LP
4.90%,
03/15/2035
100‌
101‌
5.15%,
03/15/2045
180‌
183‌
5.25%,
04/15/2029
225‌
251‌
6.25%,
04/15/2049
335‌
397‌
Enterprise
Products
Operating
LLC
3.13%,
07/31/2029
(n)
440‌
441‌
4.20%,
01/31/2050
(n)
295‌
302‌
5.38%,
02/15/2078
(j)
250‌
232‌
3
Month
USD
LIBOR
+
2.57%
Hess
Infrastructure
Partners
LP
/
Hess
Infrastructure
Partners
Finance
Corp
5.63%,
02/15/2026
(g)
200‌
206‌
Kinder
Morgan
Energy
Partners
LP
4.70%,
11/01/2042
300‌
305‌
Kinder
Morgan
Inc
/DE
5.63%,
11/15/2023
(g)
215‌
238‌
MPLX
LP
4.50%,
07/15/2023
290‌
308‌
5.50%,
02/15/2049
125‌
142‌
NuStar
Logistics
LP
6.00%,
06/01/2026
120‌
124‌
6.75%,
02/01/2021
120‌
125‌
ONEOK
Partners
LP
3.80%,
03/15/2020
390‌
393‌
Sabine
Pass
Liquefaction
LLC
4.20%,
03/15/2028
150‌
158‌
5.00%,
03/15/2027
190‌
208‌
5.75%,
05/15/2024
790‌
879‌
Southeast
Supply
Header
LLC
4.25%,
06/15/2024
(g)
100‌
104‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Pipelines
(continued)
Targa
Resources
Partners
LP
/
Targa
Resources
Partners
Finance
Corp
5.88%,
04/15/2026
$
35‌
$
37‌
6.50%,
07/15/2027
(g)
166‌
181‌
6.88%,
01/15/2029
(g)
26‌
29‌
TransCanada
PipeLines
Ltd
4.63%,
03/01/2034
80‌
89‌
Western
Midstream
Operating
LP
5.45%,
04/01/2044
45‌
42‌
5.50%,
08/15/2048
90‌
85‌
Williams
Cos
Inc
/The
4.30%,
03/04/2024
110‌
117‌
5.75%,
06/24/2044
320‌
373‌
$
7,113‌
Real
Estate
-
0.07%
Forestar
Group
Inc
8.00%,
04/15/2024
(g)
220‌
231‌
Regional
Authority
-
0.03%
Provincia
de
Buenos
Aires/Argentina
7.88%,
06/15/2027
150‌
111‌
REITs
-
1.70%
Alexandria
Real
Estate
Equities
Inc
3.45%,
04/30/2025
1,115‌
1,147‌
4.30%,
01/15/2026
100‌
107‌
4.60%,
04/01/2022
100‌
106‌
4.70%,
07/01/2030
240‌
271‌
American
Tower
Corp
3.80%,
08/15/2029
175‌
180‌
Camden
Property
Trust
3.15%,
07/01/2029
425‌
432‌
4.10%,
10/15/2028
460‌
502‌
CC
Holdings
GS
V
LLC
/
Crown
Castle
GS
III
Corp
3.85%,
04/15/2023
510‌
533‌
CubeSmart
LP
4.80%,
07/15/2022
200‌
211‌
Equinix
Inc
5.38%,
04/01/2023
115‌
117‌
5.88%,
01/15/2026
40‌
42‌
Essex
Portfolio
LP
4.00%,
03/01/2029
180‌
192‌
HCP
Inc
3.25%,
07/15/2026
(n)
115‌
116‌
3.50%,
07/15/2029
(n)
85‌
85‌
Hudson
Pacific
Properties
LP
4.65%,
04/01/2029
230‌
247‌
Iron
Mountain
Inc
4.38%,
06/01/2021
(g)
115‌
116‌
Mid-America
Apartments
LP
3.95%,
03/15/2029
230‌
243‌
SBA
Tower
Trust
2.90%,
10/15/2044
(g)
125‌
125‌
Welltower
Inc
3.63%,
03/15/2024
320‌
333‌
4.13%,
03/15/2029
165‌
175‌
Weyerhaeuser
Co
4.70%,
03/15/2021
200‌
206‌
$
5,486‌
Retail
-
0.28%
Golden
Nugget
Inc
6.75%,
10/15/2024
(g)
130‌
134‌
Home
Depot
Inc
/The
5.88%,
12/16/2036
60‌
80‌
IRB
Holding
Corp
6.75%,
02/15/2026
(g)
75‌
75‌
McDonald's
Corp
2.75%,
12/09/2020
85‌
85‌
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
119
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Retail
(continued)
Walmart
Inc
2.85%,
07/08/2024
$
120‌
$
124‌
3.05%,
07/08/2026
370‌
388‌
4.05%,
06/29/2048
10‌
11‌
$
897‌
Semiconductors
-
0.44%
KLA-Tencor
Corp
4.10%,
03/15/2029
150‌
158‌
Lam
Research
Corp
3.75%,
03/15/2026
205‌
216‌
4.00%,
03/15/2029
80‌
85‌
4.88%,
03/15/2049
135‌
149‌
NXP
BV
/
NXP
Funding
LLC
4.63%,
06/01/2023
(g)
400‌
421‌
4.88%,
03/01/2024
(g)
140‌
150‌
Xilinx
Inc
2.95%,
06/01/2024
225‌
228‌
$
1,407‌
Software
-
0.56%
Epicor
Software
Corp
9.57%,
06/30/2023
(g)
10‌
10‌
3
Month
USD
LIBOR
+
7.25%
Fiserv
Inc
3.50%,
07/01/2029
255‌
262‌
3.80%,
10/01/2023
200‌
210‌
Microsoft
Corp
2.40%,
08/08/2026
285‌
286‌
3.70%,
08/08/2046
120‌
130‌
4.45%,
11/03/2045
110‌
132‌
4.50%,
02/06/2057
90‌
110‌
Open
Text
Corp
5.88%,
06/01/2026
(g)
80‌
85‌
Oracle
Corp
2.95%,
11/15/2024
175‌
180‌
2.95%,
05/15/2025
100‌
103‌
4.00%,
11/15/2047
35‌
38‌
6.13%,
07/08/2039
180‌
247‌
$
1,793‌
Sovereign
-
1.41%
Argentine
Republic
Government
International
Bond
5.63%,
01/26/2022
335‌
282‌
CoBank
ACB
6.25%,
12/31/2049
(j),(k)
115‌
123‌
3
Month
USD
LIBOR
+
4.66%
Colombia
Government
International
Bond
5.00%,
06/15/2045
200‌
221‌
Dominican
Republic
International
Bond
6.40%,
06/05/2049
(g),(m)
150‌
157‌
Egypt
Government
International
Bond
5.58%,
02/21/2023
(g)
200‌
203‌
7.60%,
03/01/2029
(g)
200‌
211‌
Honduras
Government
International
Bond
7.50%,
03/15/2024
200‌
220‌
Hungary
Government
International
Bond
5.38%,
02/21/2023
44‌
48‌
Indonesia
Government
International
Bond
5.38%,
10/17/2023
(g)
300‌
329‌
Mexico
Government
International
Bond
4.15%,
03/28/2027
200‌
210‌
Nigeria
Government
International
Bond
7.14%,
02/23/2030
200‌
202‌
Panama
Government
International
Bond
3.88%,
03/17/2028
200‌
214‌
Qatar
Government
International
Bond
3.25%,
06/02/2026
400‌
411‌
3.88%,
04/23/2023
(g)
200‌
210‌
4.82%,
03/14/2049
(g)
200‌
229‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Sovereign
(continued)
Russian
Foreign
Bond
-
Eurobond
5.10%,
03/28/2035
(g)
$
200‌
$
217‌
Saudi
Government
International
Bond
4.00%,
04/17/2025
(g)
600‌
638‌
Ukraine
Government
International
Bond
7.38%,
09/25/2032
(g)
200‌
197‌
9.75%,
11/01/2028
(g)
200‌
226‌
$
4,548‌
Student
Loan
Asset
Backed
Securities
-
0.67%
Navient
Private
Education
Loan
Trust
2018-B
2.74%,
12/15/2059
(g)
1,272‌
1,271‌
1.00
x
1
Month
USD
LIBOR
+
0.35%
Navient
Student
Loan
Trust
2017-3
2.70%,
07/26/2066
(g)
290‌
290‌
1.00
x
1
Month
USD
LIBOR
+
0.30%
Navient
Student
Loan
Trust
2019-1
2.73%,
12/27/2067
(g)
415‌
415‌
1.00
x
1
Month
USD
LIBOR
+
0.33%
SMB
Private
Education
Loan
Trust
2017-B
2.66%,
06/17/2024
(g)
168‌
168‌
1.00
x
1
Month
USD
LIBOR
+
0.27%
$
2,144‌
Telecommunications
-
2.58%
AT&T
Inc
3.88%,
01/15/2026
175‌
183‌
4.05%,
12/15/2023
135‌
143‌
4.30%,
02/15/2030
810‌
867‌
4.35%,
03/01/2029
525‌
565‌
4.90%,
08/15/2037
325‌
350‌
5.15%,
03/15/2042
50‌
55‌
5.38%,
10/15/2041
130‌
144‌
5.45%,
03/01/2047
105‌
121‌
5.70%,
03/01/2057
190‌
224‌
6.38%,
03/01/2041
135‌
168‌
Bell
Canada
Inc
4.30%,
07/29/2049
175‌
189‌
British
Telecommunications
PLC
4.50%,
12/04/2023
200‌
214‌
Corning
Inc
4.75%,
03/15/2042
100‌
110‌
Embarq
Corp
8.00%,
06/01/2036
75‌
73‌
Frontier
Communications
Corp
8.50%,
04/01/2026
(g)
170‌
165‌
11.00%,
09/15/2025
130‌
81‌
GTT
Communications
Inc
7.88%,
12/31/2024
(g)
90‌
74‌
Intelsat
Jackson
Holdings
SA
5.50%,
08/01/2023
150‌
137‌
8.00%,
02/15/2024
(g)
90‌
94‌
Level
3
Financing
Inc
5.13%,
05/01/2023
30‌
30‌
Ooredoo
International
Finance
Ltd
3.88%,
01/31/2028
250‌
259‌
Rogers
Communications
Inc
4.35%,
05/01/2049
255‌
276‌
Sprint
Capital
Corp
8.75%,
03/15/2032
105‌
121‌
Sprint
Communications
Inc
6.00%,
11/15/2022
75‌
78‌
7.00%,
08/15/2020
135‌
140‌
Sprint
Corp
7.13%,
06/15/2024
70‌
74‌
7.63%,
03/01/2026
35‌
37‌
7.88%,
09/15/2023
180‌
195‌
Telecom
Italia
Capital
SA
6.38%,
11/15/2033
25‌
26‌
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
120
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Telecommunications
(continued)
Telefonica
Emisiones
SA
5.21%,
03/08/2047
$
220‌
$
243‌
TELUS
Corp
4.30%,
06/15/2049
300‌
318‌
T-Mobile
USA
Inc
0.00%,
01/15/2024
(d),(e),(f)
30‌
—‌
0.00%,
04/15/2024
(d),(e),(f)
95‌
—‌
0.00%,
04/15/2025
(d),(e),(f)
320‌
—‌
0.00%,
01/15/2026
(d),(e),(f)
95‌
—‌
4.00%,
04/15/2022
125‌
128‌
5.13%,
04/15/2025
320‌
333‌
6.50%,
01/15/2024
30‌
31‌
6.50%,
01/15/2026
95‌
103‌
VEON
Holdings
BV
3.95%,
06/16/2021
(g)
200‌
200‌
Verizon
Communications
Inc
3.88%,
02/08/2029
270‌
290‌
4.50%,
08/10/2033
355‌
400‌
5.01%,
08/21/2054
245‌
293‌
5.25%,
03/16/2037
260‌
311‌
Vodafone
Group
PLC
4.13%,
05/30/2025
210‌
223‌
4.88%,
06/19/2049
215‌
226‌
$
8,292‌
Transportation
-
0.26%
CSX
Corp
4.75%,
11/15/2048
85‌
99‌
Eletson
Holdings
Inc
/
Eletson
Finance
US
LLC
/
Agathonissos
Finance
LLC
0.00%,
01/15/2022
(d)
121‌
42‌
Navios
Maritime
Acquisition
Corp
/
Navios
Acquisition
Finance
US
Inc
8.13%,
11/15/2021
(g)
290‌
231‌
Navios
Maritime
Holdings
Inc
/
Navios
Maritime
Finance
II
US
Inc
7.38%,
01/15/2022
(g)
75‌
51‌
11.25%,
08/15/2022
(g)
45‌
32‌
Navios
South
American
Logistics
Inc
/
Navios
Logistics
Finance
US
Inc
7.25%,
05/01/2022
(g)
85‌
83‌
Union
Pacific
Corp
3.50%,
06/08/2023
220‌
229‌
4.38%,
11/15/2065
60‌
63‌
$
830‌
Trucking
&
Leasing
-
0.25%
Avolon
Holdings
Funding
Ltd
4.38%,
05/01/2026
(g)
55‌
57‌
5.13%,
10/01/2023
(g)
35‌
37‌
5.25%,
05/15/2024
(g)
70‌
75‌
5.50%,
01/15/2023
(g)
355‌
378‌
DAE
Funding
LLC
4.50%,
08/01/2022
(g)
95‌
96‌
5.25%,
11/15/2021
(g)
25‌
26‌
5.75%,
11/15/2023
(g)
100‌
105‌
Park
Aerospace
Holdings
Ltd
5.50%,
02/15/2024
(g)
35‌
38‌
$
812‌
TOTAL
BONDS
$
181,122‌
SENIOR
FLOATING
RATE
INTERESTS
-
0.72%
Principal
Amount
(000's)
Value
(000's)
Automobile
Manufacturers
-
0.02%
Navistar
Inc
5.91%,
11/06/2024
(o)
$
70‌
$
69‌
US
LIBOR
+
3.50%
Commercial
Services
-
0.02%
Garda
World
Security
Corp
6.03%,
05/24/2024
(o)
34‌
33‌
US
LIBOR
+
3.50%
SENIOR
FLOATING
RATE
INTERESTS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Commercial
Services
(continued)
Refinitiv
US
Holdings
Inc
6.15%,
09/18/2025
(o)
$
35‌
$
34‌
US
LIBOR
+
3.75%
$
67‌
Computers
-
0.02%
McAfee
LLC
10.90%,
09/29/2025
(o)
55‌
56‌
US
LIBOR
+
8.50%
Diversified
Financial
Services
-
0.09%
Russell
Investments
US
Institutional
Holdco
Inc
5.65%,
06/01/2023
(o)
283‌
279‌
US
LIBOR
+
3.25%
Electrical
Components
&
Equipment
-
0.04%
Energizer
Holdings
Inc
4.75%,
12/17/2025
(o)
140‌
139‌
US
LIBOR
+
2.25%
Entertainment
-
0.04%
CCM
Merger
Inc
4.65%,
08/06/2021
(o)
48‌
48‌
US
LIBOR
+
2.25%
Eldorado
Resorts
Inc
4.69%,
04/17/2024
(o)
45‌
45‌
US
LIBOR
+
2.25%
Lions
Gate
Capital
Holdings
LLC
4.65%,
03/24/2025
(o)
53‌
53‌
US
LIBOR
+
2.25%
$
146‌
Food
-
0.04%
Post
Holdings
Inc
4.40%,
05/24/2024
(o)
118‌
117‌
US
LIBOR
+
2.00%
Healthcare
-
Services
-
0.05%
MPH
Acquisition
Holdings
LLC
5.08%,
06/07/2023
(o)
156‌
149‌
US
LIBOR
+
3.00%
Insurance
-
0.03%
Genworth
Holdings
Inc
6.99%,
03/07/2023
(o)
99‌
100‌
US
LIBOR
+
4.50%
Lodging
-
0.02%
Golden
Nugget
LLC
5.15%,
10/04/2023
(o)
79‌
78‌
US
LIBOR
+
2.75%
Oil
&
Gas
-
0.06%
California
Resources
Corp
7.15%,
12/31/2022
(o)
105‌
100‌
US
LIBOR
+
4.75%
12.78%,
12/31/2021
(o)
100‌
102‌
US
LIBOR
+
10.37%
$
202‌
Pharmaceuticals
-
0.17%
Bausch
Health
Americas
Inc
5.16%,
11/14/2025
(o)
164‌
163‌
US
LIBOR
+
2.75%
5.41%,
05/19/2025
(o)
250‌
250‌
US
LIBOR
+
3.00%
Endo
International
PLC
6.75%,
04/29/2024
(o)
134‌
126‌
US
LIBOR
+
4.25%
$
539‌
Retail
-
0.04%
Academy
Ltd
6.44%,
07/01/2022
(o)
104‌
74‌
US
LIBOR
+
4.00%
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
121
SENIOR
FLOATING
RATE
INTERESTS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Retail
(continued)
IRB
Holding
Corp
5.64%,
01/17/2025
(o)
$
45‌
$
44‌
US
LIBOR
+
3.25%
$
118‌
Telecommunications
-
0.08%
Avaya
Inc
6.65%,
12/16/2024
(o)
143‌
137‌
US
LIBOR
+
4.25%
Maxar
Technologies
Ltd
5.16%,
10/05/2024
(o)
143‌
128‌
US
LIBOR
+
2.75%
$
265‌
TOTAL
SENIOR
FLOATING
RATE
INTERESTS
$
2,324‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
-
41.25%
Principal
Amount
(000's)
Value
(000's)
Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
-
4.79%
3.00%,
10/01/2042
$
54‌
$
55‌
3.00%,
11/01/2042
293‌
299‌
3.00%,
11/01/2042
54‌
55‌
3.00%,
03/01/2043
1,297‌
1,326‌
3.00%,
12/01/2046
131‌
133‌
3.00%,
01/01/2047
2,405‌
2,456‌
3.50%,
10/01/2041
52‌
54‌
3.50%,
04/01/2042
65‌
67‌
3.50%,
04/01/2042
129‌
134‌
3.50%,
04/01/2045
60‌
62‌
3.50%,
10/01/2045
953‌
994‌
3.50%,
03/01/2048
136‌
141‌
4.00%,
02/01/2045
33‌
34‌
4.00%,
02/01/2046
471‌
493‌
4.00%,
02/01/2046
64‌
67‌
4.00%,
06/01/2046
70‌
73‌
4.00%,
04/01/2047
415‌
437‌
4.00%,
05/01/2047
1,270‌
1,328‌
4.00%,
11/01/2047
671‌
702‌
4.00%,
08/01/2048
948‌
998‌
4.00%,
01/01/2049
490‌
511‌
4.50%,
07/01/2024
16‌
16‌
4.50%,
07/01/2039
71‌
76‌
4.50%,
10/01/2041
39‌
42‌
4.50%,
12/01/2043
968‌
1,036‌
4.50%,
03/01/2046
305‌
331‌
4.50%,
05/01/2048
1,387‌
1,459‌
4.50%,
01/01/2049
484‌
508‌
4.75%,
02/01/2037
20‌
20‌
1.00
x
12
Month
USD
LIBOR
+
1.63%
5.00%,
06/01/2031
105‌
111‌
5.00%,
10/01/2035
36‌
40‌
5.00%,
06/01/2041
1,033‌
1,123‌
5.02%,
02/01/2034
2‌
2‌
1.00
x
12
Month
USD
LIBOR
+
1.99%
6.00%,
06/01/2032
23‌
26‌
6.00%,
10/01/2032
13‌
14‌
6.00%,
01/01/2038
61‌
70‌
6.50%,
03/01/2029
3‌
4‌
6.50%,
05/01/2029
5‌
5‌
6.50%,
04/01/2031
2‌
2‌
6.50%,
02/01/2032
4‌
5‌
6.50%,
05/01/2032
4‌
5‌
6.50%,
04/01/2035
8‌
9‌
7.00%,
12/01/2029
13‌
15‌
7.00%,
06/01/2030
4‌
4‌
7.00%,
12/01/2030
1‌
1‌
7.00%,
01/01/2031
2‌
2‌
7.00%,
12/01/2031
30‌
31‌
7.50%,
04/01/2030
1‌
2‌
7.50%,
03/01/2031
8‌
9‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
(continued)
8.00%,
09/01/2030
$
32‌
$
34‌
$
15,421‌
Federal
National
Mortgage
Association
(FNMA)
-
0.00%
4.33%,
07/01/2034
1‌
1‌
1.00
x
US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
2.21%
Federal
National
Mortgage
Association
(FNMA)/Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
Uniform
Mortgage-Backed
Security
-
15.42%
3.00%,
10/01/2030
1,433‌
1,465‌
3.00%,
03/01/2034
321‌
327‌
3.00%,
07/01/2034
(p)
4,000‌
4,079‌
3.00%,
03/01/2042
99‌
101‌
3.00%,
03/01/2042
90‌
91‌
3.00%,
05/01/2042
50‌
51‌
3.00%,
06/01/2042
45‌
46‌
3.00%,
06/01/2042
92‌
94‌
3.00%,
11/01/2042
854‌
872‌
3.00%,
05/01/2043
184‌
187‌
3.00%,
07/01/2049
(p)
3,900‌
3,933‌
3.50%,
04/01/2030
364‌
379‌
3.50%,
07/01/2034
(p)
1,500‌
1,548‌
3.50%,
08/01/2034
375‌
389‌
3.50%,
12/01/2040
71‌
73‌
3.50%,
01/01/2041
41‌
42‌
3.50%,
12/01/2041
24‌
25‌
3.50%,
03/01/2042
40‌
41‌
3.50%,
04/01/2042
79‌
82‌
3.50%,
11/01/2042
937‌
976‌
3.50%,
02/01/2043
50‌
52‌
3.50%,
07/01/2043
286‌
298‌
3.50%,
07/01/2043
863‌
900‌
3.50%,
09/01/2044
2,037‌
2,121‌
3.50%,
11/01/2044
1,796‌
1,864‌
3.50%,
03/01/2045
61‌
64‌
3.50%,
06/01/2045
115‌
119‌
3.50%,
11/01/2045
2,820‌
2,944‌
3.50%,
11/01/2045
80‌
83‌
3.50%,
05/01/2046
71‌
73‌
3.50%,
08/01/2047
1,719‌
1,797‌
3.50%,
10/01/2047
1,740‌
1,808‌
3.50%,
11/01/2047
770‌
799‌
3.50%,
01/01/2048
545‌
566‌
3.50%,
03/01/2048
1,141‌
1,183‌
3.50%,
04/01/2048
685‌
712‌
3.50%,
04/01/2048
1,534‌
1,591‌
4.00%,
10/01/2019
1‌
1‌
4.00%,
08/01/2020
26‌
27‌
4.00%,
03/01/2034
407‌
432‌
4.00%,
09/01/2040
97‌
102‌
4.00%,
11/01/2040
1,393‌
1,469‌
4.00%,
05/01/2041
207‌
218‌
4.00%,
10/01/2041
34‌
36‌
4.00%,
10/01/2041
50‌
52‌
4.00%,
11/01/2041
53‌
55‌
4.00%,
04/01/2042
31‌
33‌
4.00%,
09/01/2043
615‌
648‌
4.00%,
11/01/2043
116‌
123‌
4.00%,
11/01/2043
43‌
45‌
4.00%,
02/01/2044
138‌
146‌
4.00%,
06/01/2044
290‌
305‌
4.00%,
09/01/2044
40‌
42‌
4.00%,
09/01/2045
128‌
133‌
4.00%,
12/01/2045
750‌
785‌
4.00%,
08/01/2046
100‌
105‌
4.00%,
01/01/2047
74‌
77‌
4.00%,
04/01/2047
405‌
426‌
4.00%,
05/01/2047
865‌
902‌
4.00%,
06/01/2047
840‌
883‌
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
122
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
National
Mortgage
Association
(FNMA)/Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
Uniform
Mortgage-Backed
Security
(continued)
4.00%,
09/01/2047
$
868‌
$
904‌
4.00%,
10/01/2047
431‌
449‌
4.00%,
11/01/2047
2,077‌
2,188‌
4.00%,
04/01/2048
1,369‌
1,442‌
4.00%,
10/01/2048
481‌
508‌
4.50%,
07/01/2025
44‌
47‌
4.50%,
08/01/2040
59‌
63‌
4.50%,
11/01/2040
862‌
926‌
4.50%,
12/01/2040
37‌
39‌
4.50%,
07/01/2041
(p)
1,000‌
1,045‌
4.50%,
08/01/2041
39‌
42‌
4.50%,
09/01/2041
257‌
277‌
4.50%,
05/01/2044
51‌
55‌
4.50%,
12/01/2044
125‌
133‌
4.50%,
06/01/2046
53‌
56‌
4.50%,
05/01/2047
36‌
37‌
4.50%,
05/01/2047
151‌
160‌
4.50%,
02/01/2049
240‌
254‌
5.00%,
10/01/2041
184‌
198‌
5.00%,
06/01/2048
458‌
498‌
5.50%,
10/01/2019
1‌
1‌
5.50%,
10/01/2019
1‌
1‌
5.50%,
12/01/2022
12‌
12‌
5.50%,
07/01/2033
251‌
278‌
5.50%,
04/01/2035
24‌
25‌
5.50%,
08/01/2036
477‌
530‌
5.50%,
02/01/2037
4‌
5‌
5.50%,
05/01/2040
42‌
45‌
6.00%,
05/01/2031
2‌
3‌
6.00%,
07/01/2035
146‌
165‌
6.00%,
02/01/2037
81‌
89‌
6.00%,
02/01/2038
53‌
60‌
6.50%,
03/01/2032
4‌
4‌
6.50%,
07/01/2037
21‌
24‌
6.50%,
07/01/2037
32‌
38‌
6.50%,
02/01/2038
38‌
44‌
6.50%,
03/01/2038
11‌
12‌
6.50%,
09/01/2038
124‌
146‌
$
49,623‌
Government
National
Mortgage
Association
(GNMA)
-
6.42%
3.00%,
02/15/2043
368‌
377‌
3.00%,
07/20/2044
565‌
578‌
3.00%,
01/20/2046
429‌
440‌
3.00%,
07/20/2046
695‌
712‌
3.00%,
12/20/2046
1,900‌
1,945‌
3.50%,
04/20/2046
211‌
218‌
3.50%,
10/20/2046
316‌
326‌
3.50%,
07/20/2047
1,272‌
1,313‌
3.50%,
07/01/2049
5,050‌
5,217‌
3.75%,
07/20/2043
96‌
98‌
1.00
x
US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
1.50%
4.00%,
02/15/2042
138‌
147‌
4.00%,
06/20/2046
80‌
83‌
4.00%,
09/20/2047
1,877‌
1,957‌
4.00%,
01/20/2048
2,400‌
2,521‌
4.50%,
09/15/2039
580‌
628‌
4.50%,
11/15/2040
114‌
123‌
4.50%,
06/20/2048
43‌
45‌
4.50%,
07/01/2049
1,635‌
1,704‌
5.00%,
02/15/2034
229‌
248‌
5.00%,
10/15/2034
82‌
89‌
5.00%,
10/20/2039
44‌
49‌
5.00%,
07/20/2040
23‌
24‌
5.00%,
02/15/2042
93‌
103‌
5.50%,
12/20/2033
113‌
123‌
5.50%,
05/20/2035
12‌
14‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Government
National
Mortgage
Association
(GNMA)
(continued)
5.50%,
12/20/2048
$
971‌
$
1,024‌
6.00%,
01/20/2029
21‌
23‌
6.00%,
07/20/2029
3‌
4‌
6.00%,
12/15/2033
28‌
32‌
6.00%,
12/20/2036
59‌
67‌
6.50%,
03/20/2028
3‌
4‌
6.50%,
05/20/2029
3‌
4‌
6.50%,
12/15/2032
340‌
378‌
7.00%,
03/15/2031
6‌
6‌
7.50%,
05/15/2029
15‌
15‌
8.00%,
12/15/2030
6‌
7‌
$
20,646‌
U.S.
Treasury
-
14.62%
1.25%,
10/31/2021
1,555‌
1,538‌
1.25%,
07/31/2023
1,405‌
1,378‌
1.50%,
08/15/2026
1,420‌
1,384‌
1.63%,
11/15/2022
75‌
75‌
1.63%,
10/31/2023
370‌
368‌
1.75%,
04/30/2022
3,385‌
3,388‌
1.75%,
05/15/2022
150‌
150‌
1.88%,
11/30/2021
2,550‌
2,558‌
2.00%,
05/31/2021
720‌
723‌
2.00%,
11/15/2021
75‌
76‌
2.00%,
10/31/2022
4,500‌
4,539‌
2.00%,
11/15/2026
75‌
76‌
2.13%,
11/30/2023
(q)
1,140‌
1,158‌
2.25%,
08/15/2046
1,090‌
1,030‌
2.50%,
05/15/2024
7,575‌
7,835‌
2.63%,
07/31/2020
3,000‌
3,022‌
2.63%,
11/15/2020
150‌
152‌
2.75%,
02/15/2024
75‌
78‌
2.75%,
08/15/2042
210‌
220‌
2.75%,
11/15/2047
75‌
78‌
2.88%,
05/15/2043
75‌
80‌
2.88%,
08/15/2045
620‌
663‌
2.88%,
11/15/2046
75‌
80‌
3.00%,
11/15/2044
1,525‌
1,666‌
3.00%,
05/15/2045
2,640‌
2,887‌
3.00%,
11/15/2045
2,000‌
2,189‌
3.13%,
05/15/2021
75‌
77‌
3.13%,
08/15/2044
75‌
84‌
3.13%,
05/15/2048
3,500‌
3,927‌
3.38%,
05/15/2044
75‌
87‌
3.38%,
11/15/2048
75‌
88‌
3.50%,
02/15/2039
75‌
89‌
3.63%,
02/15/2044
75‌
91‌
3.75%,
08/15/2041
75‌
92‌
3.75%,
11/15/2043
1,650‌
2,031‌
4.75%,
02/15/2037
2,260‌
3,095‌
$
47,052‌
TOTAL
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
$
132,743‌
Total
Investments
$
340,6
39‌
Other
Assets
and
Liabilities
-  (5.85)%
(18,81
7‌
)
TOTAL
NET
ASSETS
-
100.00%
$
321,822‌
(a)
Current
yield
shown
is
as
of
period
end.
(b)
Security
or
a
portion
of
the
security
was
pledged
as
collateral
for
securities
lending.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$758
or
0.24%
of
net
assets.
(c)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(d)
Non-income
producing
security
(e)
The
value
of
these
investments
was
determined
using
significant
unobservable
inputs.
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
123
(f)
Fair
value
of
these
investments
is
determined
in
good
faith
by
the
Manager
under
procedures
established
and
periodically
reviewed
by
the
Board
of
Directors.
Certain
inputs
used
in
the
valuation
may
be
unobservable;
however,
each
security
is
evaluated
individually
for
purposes
of
ASC
820
which
results
in
not
all
securities
being
identified
as
Level
3
of
the
fair
value
hierarchy.
At
the
end
of
the
period,
the
fair
value
of
these
securities
totaled
$8
or
0.00%
of
net
assets.
(g)
Security
exempt
from
registration
under
Rule
144A
of
the
Securities
Act
of
1933.
These
securities
may
be
resold
in
transactions
exempt
from
registration,
normally
to
qualified
institutional
buyers.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$44,580
or
13.85%
of
net
assets.
(h)
Certain
variable
rate
securities
are
not
based
on
a
published
reference
rate
and
spread
but
are
determined
by
the
issuer
or
agent
and
are
based
on
current
market
conditions.  These
securities
do
not
indicate
a
reference
rate
and
spread
in
their
description.
Rate
shown
is
the
rate
in
effect
as
of
period
end.
(
i
)
Payment
in
kind;
the
issuer
has
the
option
of
paying
additional
securities
in
lieu
of
cash.
(j)
Rate
shown
is
as
of
period
end.
The
rate
may
be
a
variable
or
floating
rate
or
a
fixed
rate
which
may
convert
to
a
variable
or
floating
rate
in
the
future.
(k)
Perpetual
security.
Perpetual
securities
pay
an
indefinite
stream
of
interest,
but
they
may
be
called
by
the
issuer
at
an
earlier
date.
Date
shown,
if
any,
reflects
the
next
call
date
or
final
legal
maturity
date.
Rate
shown
is
as
of
period
end.
(l)
Security
is
an
Interest
Only
Strip.
(m)
Security
or
a
portion
of
the
security
was
on
loan
at
the
end
of
the
period.
(n)
Security
purchased
on
a
when-issued
basis.
(o)
Rate
information
disclosed
is
based
on
an
average
weighted
rate
of
the
underlying
tranches
as
of
period
end.
(p)
Security
was
purchased
in
a
"to-be-announced"
("TBA")
transaction.  See
Notes
to
Financial
Statements
for
additional
information.
(q)
Security
or
a
portion
of
the
security
was
pledged
to
cover
margin
requirements
for
futures
contracts.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$260
or
0.08%
of
net
assets.
Portfolio
Summary
(unaudited)
Sector
Percent
Mortgage
Securities
35.14‌%
Government
16.06‌%
Financial
11.90‌%
Consumer,
Non-cyclical
6.58‌%
Communications
5.81‌%
Asset
Backed
Securities
5.45‌%
Energy
4.91‌%
Money
Market
Funds
4.61‌%
Utilities
3.36‌%
Industrial
3.20‌%
Investment
Companies
2.98‌%
Consumer,
Cyclical
2.55‌%
Technology
2.01‌%
Basic
Materials
1.29‌%
Other
Assets
and
Liabilities
(5.85‌)%
TOTAL
NET
ASSETS
100.00%
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Principal
Government
Money
Market
Fund
2.23%
$
3,894‌
$
75,123‌
$
64,958‌
$
14,059‌
$
3,894‌
$
75,123‌
$
64,958‌
$
14,059‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Principal
Government
Money
Market
Fund
2.23%
$
148‌
$
—‌
$
—‌
$
—‌
$
148‌
$
—‌
$
—‌
$
—‌
Amounts
in
thousands
Futures
Contracts
Description
and
Expiration
Date
Type
Contracts
Notional
Amount
Value
and
Unrealized
Appreciation/(Depreciation)
US
10
Year
Note;
September
2019
Short
2‌
$
256‌
$
(5‌)
US
2
Year
Note;
September
2019
Short
14‌
3,013‌
(23‌)
US
5
Year
Note;
September
2019
Short
41‌
4,844‌
(63‌)
US
Long
Bond;
September
2019
Long
18‌
2,801‌
128‌
US
Ultra
Bond;
September
2019
Long
9‌
1,598‌
66‌
Total
$
103‌
Amounts
in
thousands
except
contracts.
Schedule
of
Investments
Diversified
Balanced
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
124
INVESTMENT
COMPANIES
-
100.02%
Shares
Held
Value
(000's)
Principal
Funds,
Inc.
Class
R-6
-
15.05%
International
Equity
Index
Fund
(a)
7,165,915‌
$
73,379‌
MidCap
S&P
400
Index
Fund
(a)
2,095,415‌
42,034‌
SmallCap
S&P
600
Index
Fund
(a)
1,717,449‌
42,267‌
$
157,680‌
Principal
Variable
Contracts
Funds,
Inc.
Class
1
-
84.97%
Bond
Market
Index
Account
(a)
48,758,959‌
524,646‌
LargeCap
S&P
500
Index
Account
(a)
18,826,020‌
365,225‌
$
889,871‌
TOTAL
INVESTMENT
COMPANIES
$
1,047,551‌
PREFERRED
STOCKS
-
0.00%
Shares
Held
Value
(000's)
Agriculture
-
0.00%
Pinnacle
Operating
Corp
0.00%
(b),(c),(d)
5,058‌
$
—‌
TOTAL
PREFERRED
STOCKS
$
—‌
BONDS
-
0.00%
Principal
Amount
(000's)
Value
(000's)
Agriculture
-
0.00%
Pinnacle
Operating
Corp
9.00%,
05/15/2023
(e)
$
5‌
$
2‌
Oil
&
Gas
-
0.00%
Chesapeake
Oil
Op/Fin
Escrow
Shares
0.00%,
11/15/2019
(b),(c),(d)
5‌
—‌
TOTAL
BONDS
$
2‌
Total
Investments
$
1,047,553‌
Other
Assets
and
Liabilities
-  (0.02)%
(259‌)
TOTAL
NET
ASSETS
-
100.00%
$
1,047,294‌
(a)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(b)
Non-income
producing
security
(c)
The
value
of
these
investments
was
determined
using
significant
unobservable
inputs.
(d)
Fair
value
of
these
investments
is
determined
in
good
faith
by
the
Manager
under
procedures
established
and
periodically
reviewed
by
the
Board
of
Directors.
Certain
inputs
used
in
the
valuation
may
be
unobservable;
however,
each
security
is
evaluated
individually
for
purposes
of
ASC
820
which
results
in
not
all
securities
being
identified
as
Level
3
of
the
fair
value
hierarchy.
At
the
end
of
the
period,
the
fair
value
of
these
securities
totaled
$0
or
0.00%
of
net
assets.
(e)
Security
exempt
from
registration
under
Rule
144A
of
the
Securities
Act
of
1933.
These
securities
may
be
resold
in
transactions
exempt
from
registration,
normally
to
qualified
institutional
buyers.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$2
or
0.00%
of
net
assets.
Portfolio
Summary
(unaudited)
Fund
Type
Percent
Fixed
Income
Funds
50.10‌%
Domestic
Equity
Funds
42.91‌%
International
Equity
Funds
7.01‌%
Energy
0.00‌%
Consumer,
Non-cyclical
0.00‌%
Other
Assets
and
Liabilities
(0.02‌)%
TOTAL
NET
ASSETS
100.00%
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Bond
Market
Index
Account
$
494,742‌
$
54,868‌
$
55,231‌
$
524,646‌
International
Equity
Index
Fund
70,566‌
2,039‌
8,745‌
73,379‌
LargeCap
S&P
500
Index
Account
358,195‌
9,004‌
64,33
8‌
365,225‌
MidCap
S&P
400
Index
Fund
40,747‌
3,587‌
9,448‌
42,034‌
SmallCap
S&P
600
Index
Fund
41,218‌
5,137‌
9,793‌
42,267‌
$
1,005,468‌
$
74,635‌
$
147,55
5‌
$
1,047,551‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Bond
Market
Index
Account
$
—‌
$
85‌
$
—‌
$
30,182‌
International
Equity
Index
Fund
—‌
(7‌)
—‌
9,526‌
LargeCap
S&P
500
Index
Account
—‌
11,48
0‌
—‌
50,884‌
MidCap
S&P
400
Index
Fund
—‌
494‌
—‌
6,654‌
SmallCap
S&P
600
Index
Fund
—‌
270‌
—‌
5,435‌
$
—‌
$
12,32
2‌
$
—‌
$
102,681‌
Amounts
in
thousands
Schedule
of
Investments
Diversified
Balanced
Managed
Volatility
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
125
INVESTMENT
COMPANIES
-
100.03%
Shares
Held
Value
(000's)
Principal
Funds,
Inc.
Class
R-6
-
15.06%
International
Equity
Index
Fund
(a)
1,192,613‌
$
12,212‌
MidCap
S&P
400
Index
Fund
(a)
348,739‌
6,996‌
SmallCap
S&P
600
Index
Fund
(a)
285,834‌
7,034‌
$
26,242‌
Principal
Variable
Contracts
Funds,
Inc.
Class
1
-
84.97%
Bond
Market
Index
Account
(a)
8,114,832‌
87,316‌
LargeCap
S&P
500
Managed
Volatility
Index
Account
(a)
4,075,050‌
60,759‌
$
148,075‌
TOTAL
INVESTMENT
COMPANIES
$
174,317‌
Total
Investments
$
174,317‌
Other
Assets
and
Liabilities
-  (0.03)%
(49‌)
TOTAL
NET
ASSETS
-
100.00%
$
174,268‌
(a)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
Portfolio
Summary
(unaudited)
Fund
Type
Percent
Fixed
Income
Funds
50.10‌%
Domestic
Equity
Funds
42.92‌%
International
Equity
Funds
7.01‌%
Other
Assets
and
Liabilities
(0.03‌)%
TOTAL
NET
ASSETS
100.00%
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Bond
Market
Index
Account
$
79,909‌
$
9,472‌
$
7,047‌
$
87,316‌
International
Equity
Index
Fund
11,398‌
480‌
1,222‌
12,212‌
LargeCap
S&P
500
Managed
Volatility
Index
Account
57,667‌
2,096‌
8,474‌
60,759‌
MidCap
S&P
400
Index
Fund
6,581‌
671‌
1,421‌
6,996‌
SmallCap
S&P
600
Index
Fund
6,657‌
924‌
1,474‌
7,034‌
$
162,212‌
$
13,643‌
$
19,638‌
$
174,317‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Bond
Market
Index
Account
$
—‌
$
—‌
$
—‌
$
4,982‌
International
Equity
Index
Fund
—‌
1‌
—‌
1,555‌
LargeCap
S&P
500
Managed
Volatility
Index
Account
—‌
898‌
—‌
8,572‌
MidCap
S&P
400
Index
Fund
—‌
(2‌)
—‌
1,167‌
SmallCap
S&P
600
Index
Fund
—‌
9‌
—‌
918‌
$
—‌
$
906‌
$
—‌
$
17,194‌
Amounts
in
thousands
Schedule
of
Investments
Diversified
Balanced
Volatility
Control
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
126
INVESTMENT
COMPANIES
-
99.94%
Shares
Held
Value
(000's)
Exchange-Traded
Funds
-
19.76%
iShares
Core
S&P
500
ETF
63,484‌
$
18,712‌
Money
Market
Funds
-
0.07%
Principal
Government
Money
Market
Fund
2.23%
(a),(b)
67,418‌
67‌
Principal
Funds,
Inc.
Class
R-6
-
15.06%
International
Equity
Index
Fund
(a)
647,893‌
6,634‌
MidCap
S&P
400
Index
Fund
(a)
189,470‌
3,801‌
SmallCap
S&P
600
Index
Fund
(a)
155,295‌
3,822‌
$
14,257‌
Principal
Variable
Contracts
Funds,
Inc.
Class
1
-
65.05%
Bond
Market
Index
Account
(a)
4,407,878‌
47,429‌
LargeCap
S&P
500
Index
Account
(a)
729,536‌
14,153‌
$
61,582‌
TOTAL
INVESTMENT
COMPANIES
$
94,618‌
Total
Investments
$
94,618‌
Other
Assets
and
Liabilities
-  0.06%
57‌
TOTAL
NET
ASSETS
-
100.00%
$
94,675‌
(a)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(b)
Current
yield
shown
is
as
of
period
end.
Portfolio
Summary
(unaudited)
Fund
Type
Percent
Fixed
Income
Funds
50.10‌%
Domestic
Equity
Funds
23.00‌%
Investment
Companies
19.76‌%
International
Equity
Funds
7.01‌%
Money
Market
Funds
0.07‌%
Other
Assets
and
Liabilities
0.06‌%
TOTAL
NET
ASSETS
100.00%
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Bond
Market
Index
Account
$
33,032‌
$
14,861‌
$
2,896‌
$
47,429‌
International
Equity
Index
Fund
4,747‌
1,701‌
524‌
6,634‌
LargeCap
S&P
500
Index
Account
10,500‌
4,458‌
2,805‌
14,153‌
MidCap
S&P
400
Index
Fund
2,782‌
1,166‌
671‌
3,801‌
Principal
Government
Money
Market
Fund
2.23%
—‌
4,710‌
4,643‌
67‌
SmallCap
S&P
600
Index
Fund
2,789‌
1,274‌
648‌
3,822‌
$
53,850‌
$
28,170‌
$
12,187‌
$
75,906‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Bond
Market
Index
Account
$
—‌
$
1‌
$
—‌
$
2,431‌
International
Equity
Index
Fund
—‌
1‌
—‌
709‌
LargeCap
S&P
500
Index
Account
—‌
4‌
—‌
1,996‌
MidCap
S&P
400
Index
Fund
—‌
5‌
—‌
519‌
Principal
Government
Money
Market
Fund
2.23%
2‌
—‌
—‌
—‌
SmallCap
S&P
600
Index
Fund
—‌
(7‌)
—‌
414‌
$
2‌
$
4‌
$
—‌
$
6,069‌
Amounts
in
thousands
Schedule
of
Investments
Diversified
Growth
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
127
INVESTMENT
COMPANIES
-
100.02%
Shares
Held
Value
(000's)
Principal
Funds,
Inc.
Class
R-6
-
20.08%
International
Equity
Index
Fund
(a)
36,831,539‌
$
377,155‌
MidCap
S&P
400
Index
Fund
(a)
9,423,793‌
189,041‌
SmallCap
S&P
600
Index
Fund
(a)
7,723,968‌
190,087‌
$
756,283‌
Principal
Variable
Contracts
Funds,
Inc.
Class
1
-
79.94%
Bond
Market
Index
Account
(a)
122,800,116‌
1,321,329‌
LargeCap
S&P
500
Index
Account
(a)
87,085,690‌
1,689,463‌
$
3,010,792‌
TOTAL
INVESTMENT
COMPANIES
$
3,767,075‌
Total
Investments
$
3,767,075‌
Other
Assets
and
Liabilities
-  (0.02)%
(940‌)
TOTAL
NET
ASSETS
-
100.00%
$
3,766,135‌
(a)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
Portfolio
Summary
(unaudited)
Fund
Type
Percent
Domestic
Equity
Funds
54.93‌%
Fixed
Income
Funds
35.08‌%
International
Equity
Funds
10.01‌%
Other
Assets
and
Liabilities
(0.02‌)%
TOTAL
NET
ASSETS
100.00%
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Bond
Market
Index
Account
$
1,196,602‌
$
171,148‌
$
121,970‌
$
1,321,329‌
International
Equity
Index
Fund
348,261‌
6,713‌
25,576‌
377,155‌
LargeCap
S&P
500
Index
Account
1,590,506‌
25,018‌
207,652‌
1,689,463‌
MidCap
S&P
400
Index
Fund
175,905‌
13,867‌
31,893‌
189,041‌
SmallCap
S&P
600
Index
Fund
177,962‌
20,767‌
33,369‌
190,087‌
$
3,489,236‌
$
237,513‌
$
420,460‌
$
3,767,075‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Bond
Market
Index
Account
$
—‌
$
123‌
$
—‌
$
75,426‌
International
Equity
Index
Fund
—‌
42‌
—‌
47,715‌
LargeCap
S&P
500
Index
Account
—‌
22,711‌
—‌
258,880‌
MidCap
S&P
400
Index
Fund
—‌
62‌
—‌
31,100‌
SmallCap
S&P
600
Index
Fund
—‌
878‌
—‌
23,849‌
$
—‌
$
23,816‌
$
—‌
$
436,970‌
Amounts
in
thousands
Schedule
of
Investments
Diversified
Growth
Managed
Volatility
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
128
INVESTMENT
COMPANIES
-
100.03%
Shares
Held
Value
(000's)
Principal
Funds,
Inc.
Class
R-6
-
20.09%
International
Equity
Index
Fund
(a)
3,447,560‌
$
35,303‌
MidCap
S&P
400
Index
Fund
(a)
882,103‌
17,695‌
SmallCap
S&P
600
Index
Fund
(a)
722,992‌
17,793‌
$
70,791‌
Principal
Variable
Contracts
Funds,
Inc.
Class
1
-
79.94%
Bond
Market
Index
Account
(a)
11,494,556‌
123,682‌
LargeCap
S&P
500
Managed
Volatility
Index
Account
(a)
10,601,903‌
158,07
3‌
$
281,75
5‌
TOTAL
INVESTMENT
COMPANIES
$
352,54
6‌
Total
Investments
$
352,54
6‌
Other
Assets
and
Liabilities
-  (0.03)%
(9
3‌
)
TOTAL
NET
ASSETS
-
100.00%
$
352,453‌
(a)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
Portfolio
Summary
(unaudited)
Fund
Type
Percent
Domestic
Equity
Funds
54.92‌%
Fixed
Income
Funds
35.09‌%
International
Equity
Funds
10.02‌%
Other
Assets
and
Liabilities
(0.03‌)%
TOTAL
NET
ASSETS
100.00%
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Bond
Market
Index
Account
$
111,746‌
$
15,986‌
$
11,100‌
$
123,682‌
International
Equity
Index
Fund
32,517‌
907‌
2,578‌
35,303‌
LargeCap
S&P
500
Managed
Volatility
Index
Account
148,017‌
3,291‌
17,65
3‌
158,07
3‌
MidCap
S&P
400
Index
Fund
16,424‌
1,424‌
3,062‌
17,695‌
SmallCap
S&P
600
Index
Fund
16,613‌
2,067‌
3,195‌
17,793‌
$
325,317‌
$
23,675‌
$
37,58
8‌
$
352,54
6‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Bond
Market
Index
Account
$
—‌
$
2‌
$
—‌
$
7,048‌
International
Equity
Index
Fund
—‌
—‌
—‌
4,457‌
LargeCap
S&P
500
Managed
Volatility
Index
Account
—‌
1,993‌
—‌
22,425‌
MidCap
S&P
400
Index
Fund
—‌
(6‌)
—‌
2,915‌
SmallCap
S&P
600
Index
Fund
—‌
14‌
—‌
2,294‌
$
—‌
$
2,003‌
$
—‌
$
39,139‌
Amounts
in
thousands
Schedule
of
Investments
Diversified
Growth
Volatility
Control
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
129
INVESTMENT
COMPANIES
-
99.86%
Shares
Held
Value
(000's)
Exchange-Traded
Funds
-
19.77%
iShares
Core
S&P
500
ETF
368,561‌
$
108,633‌
Money
Market
Funds
-
0.06%
Principal
Government
Money
Market
Fund
2.23%
(a),(b)
322,854‌
323‌
Principal
Funds,
Inc.
Class
R-6
-
20.07%
International
Equity
Index
Fund
(a)
5,368,391‌
54,972‌
MidCap
S&P
400
Index
Fund
(a)
1,373,730‌
27,557‌
SmallCap
S&P
600
Index
Fund
(a)
1,125,965‌
27,710‌
$
110,239‌
Principal
Variable
Contracts
Funds,
Inc.
Class
1
-
59.96%
Bond
Market
Index
Account
(a)
17,896,458‌
192,566‌
LargeCap
S&P
500
Index
Account
(a)
7,052,361‌
136,816‌
$
329,382‌
TOTAL
INVESTMENT
COMPANIES
$
548,577‌
Total
Investments
$
548,577‌
Other
Assets
and
Liabilities
-  0.14%
752‌
TOTAL
NET
ASSETS
-
100.00%
$
549,329‌
(a)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(b)
Current
yield
shown
is
as
of
period
end.
Portfolio
Summary
(unaudited)
Fund
Type
Percent
Fixed
Income
Funds
35.05‌%
Domestic
Equity
Funds
34.97‌%
Investment
Companies
19.77‌%
International
Equity
Funds
10.01‌%
Money
Market
Funds
0.06‌%
Other
Assets
and
Liabilities
0.14‌%
TOTAL
NET
ASSETS
100.00%
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Bond
Market
Index
Account
$
132,215‌
$
58,653‌
$
8,046‌
$
192,566‌
International
Equity
Index
Fund
38,786‌
12,600‌
2,195‌
54,972‌
LargeCap
S&P
500
Index
Account
100,102‌
32,411‌
14,640‌
136,816‌
MidCap
S&P
400
Index
Fund
19,887‌
7,707‌
3,748‌
27,557‌
Principal
Government
Money
Market
Fund
2.23%
—‌
29,093‌
28,770‌
323‌
SmallCap
S&P
600
Index
Fund
19,941‌
8,497‌
3,609‌
27,710‌
$
310,931‌
$
148,961‌
$
61,008‌
$
439,944‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Bond
Market
Index
Account
$
—‌
$
(1‌)
$
—‌
$
9,745‌
International
Equity
Index
Fund
—‌
1‌
—‌
5,780‌
LargeCap
S&P
500
Index
Account
—‌
5‌
—‌
18,938‌
MidCap
S&P
400
Index
Fund
—‌
84‌
—‌
3,627‌
Principal
Government
Money
Market
Fund
2.23%
12‌
—‌
—‌
—‌
SmallCap
S&P
600
Index
Fund
—‌
29‌
—‌
2,852‌
$
12‌
$
118‌
$
—‌
$
40,942‌
Amounts
in
thousands
Schedule
of
Investments
Diversified
Income
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
130
INVESTMENT
COMPANIES
-
100.03%
Shares
Held
Value
(000's)
Principal
Funds,
Inc.
Class
R-6
-
10.04%
International
Equity
Index
Fund
(a)
1,028,368‌
$
10,530‌
MidCap
S&P
400
Index
Fund
(a)
394,706‌
7,918‌
SmallCap
S&P
600
Index
Fund
(a)
323,516‌
7,962‌
$
26,410‌
Principal
Variable
Contracts
Funds,
Inc.
Class
1
-
89.99%
Bond
Market
Index
Account
(a)
15,918,526‌
171,283‌
LargeCap
S&P
500
Index
Account
(a)
3,377,185‌
65,518‌
$
236,801‌
TOTAL
INVESTMENT
COMPANIES
$
263,211‌
Total
Investments
$
263,211‌
Other
Assets
and
Liabilities
-  (0.03)%
(71‌)
TOTAL
NET
ASSETS
-
100.00%
$
263,140‌
(a)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
Portfolio
Summary
(unaudited)
Fund
Type
Percent
Fixed
Income
Funds
65.09‌%
Domestic
Equity
Funds
30.94‌%
International
Equity
Funds
4.00‌%
Other
Assets
and
Liabilities
(0.03‌)%
TOTAL
NET
ASSETS
100.00%
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Bond
Market
Index
Account
$
155,094‌
$
22,055‌
$
15,542‌
$
171,283‌
International
Equity
Index
Fund
9,727‌
978‌
1,513‌
10,530‌
LargeCap
S&P
500
Index
Account
61,743‌
5,780‌
12,943‌
65,518‌
MidCap
S&P
400
Index
Fund
7,374‌
1,178‌
1,949‌
7,918‌
SmallCap
S&P
600
Index
Fund
7,459‌
1,463‌
2,008‌
7,962‌
$
241,397‌
$
31,454‌
$
33,955‌
$
263,211‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Bond
Market
Index
Account
$
—‌
$
(3‌)
$
—‌
$
9,679‌
International
Equity
Index
Fund
—‌
1‌
—‌
1,337‌
LargeCap
S&P
500
Index
Account
—‌
706‌
—‌
10,232‌
MidCap
S&P
400
Index
Fund
—‌
4‌
—‌
1,311‌
SmallCap
S&P
600
Index
Fund
—‌
44‌
—‌
1,004‌
$
—‌
$
752‌
$
—‌
$
23,563‌
Amounts
in
thousands
Schedule
of
Investments
Diversified
International
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
131
COMMON
STOCKS
-
98.78%
Shares
Held
Value
(000's)
Aerospace
&
Defense
-
1.30%
CAE
Inc
42,500‌
$
1,143‌
Safran
SA
7,268‌
1,063‌
Thales
SA
9,402‌
1,161‌
$
3,367‌
Agriculture
-
0.44%
Swedish
Match
AB
27,131‌
1,147‌
Apparel
-
2.71%
Adidas
AG
6,558‌
2,029‌
Fila
Korea
Ltd
15,565‌
1,033‌
LVMH
Moet
Hennessy
Louis
Vuitton
SE
7,720‌
3,282‌
Moncler
SpA
16,233‌
696‌
$
7,040‌
Automobile
Manufacturers
-
3.31%
Ferrari
NV
11,647‌
1,888‌
Isuzu
Motors
Ltd
66,000‌
754‌
Kia
Motors
Corp
43,826‌
1,672‌
Maruti
Suzuki
India
Ltd
12,609‌
1,194‌
Toyota
Motor
Corp
49,500‌
3,072‌
$
8,580‌
Banks
-
10.89%
Banco
Comercial
Portugues
SA
1,809,850‌
560‌
Banco
do
Brasil
SA
77,400‌
1,084‌
Bangkok
Bank
PCL
102,100‌
663‌
Bank
Leumi
Le-Israel
BM
208,597‌
1,508‌
BNP
Paribas
SA
1,294‌
61‌
Credicorp
Ltd
7,623‌
1,745‌
DBS
Group
Holdings
Ltd
89,900‌
1,727‌
DNB
ASA
91,716‌
1,709‌
Erste
Group
Bank
AG
(a)
43,666‌
1,619‌
HDFC
Bank
Ltd
ADR
7,681‌
999‌
ING
Groep
NV
186,369‌
2,159‌
Krung
Thai
Bank
PCL
1,682,600‌
1,070‌
Lloyds
Banking
Group
PLC
3,040,532‌
2,184‌
Macquarie
Group
Ltd
27,670‌
2,441‌
Mediobanca
Banca
di
Credito
Finanziario
SpA
131,688‌
1,358‌
OTP
Bank
Nyrt
14,852‌
591‌
Skandinaviska
Enskilda
Banken
AB
111,364‌
1,031‌
Swedbank
AB
117,522‌
1,769‌
Toronto-Dominion
Bank/The
51,300‌
2,998‌
United
Overseas
Bank
Ltd
50,100‌
968‌
$
28,244‌
Beverages
-
2.44%
Carlsberg
A/S
8,238‌
1,093‌
Coca-Cola
Bottlers
Japan
Holdings
Inc
(b)
21,700‌
550‌
Coca-Cola
HBC
AG
(a)
16,963‌
641‌
Diageo
PLC
42,069‌
1,811‌
Jiangsu
Yanghe
Brewery
Joint-Stock
Co
Ltd
81,299‌
1,443‌
Thai
Beverage
PCL
1,273,100‌
781‌
$
6,319‌
Biotechnology
-
0.90%
CSL
Ltd
15,363‌
2,326‌
Building
Materials
-
0.28%
Anhui
Conch
Cement
Co
Ltd
117,998‌
714‌
Chemicals
-
1.55%
Koninklijke
DSM
NV
13,457‌
1,660‌
Nitto
Denko
Corp
22,300‌
1,104‌
Nutrien
Ltd
23,400‌
1,252‌
$
4,016‌
Commercial
Services
-
0.34%
Brambles
Ltd
98,568‌
893‌
Computers
-
1.76%
Capgemini
SE
7,445‌
926‌
CyberArk
Software
Ltd
(a)
3,735‌
477‌
Logitech
International
SA
50,121‌
2,003‌
Obic
Co
Ltd
10,100‌
1,148‌
$
4,554‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Distribution
&
Wholesale
-
3.24%
Ferguson
PLC
28,016‌
$
1,994‌
ITOCHU
Corp
129,800‌
2,487‌
Mitsubishi
Corp
95,400‌
2,521‌
Sumitomo
Corp
92,800‌
1,409‌
$
8,411‌
Diversified
Financial
Services
-
1.84%
Housing
Development
Finance
Corp
Ltd
47,726‌
1,516‌
ORIX
Corp
129,300‌
1,932‌
Shinhan
Financial
Group
Co
Ltd
27,048‌
1,052‌
Tisco
Financial
Group
PCL
85,700‌
261‌
$
4,761‌
Electric
-
2.46%
Chubu
Electric
Power
Co
Inc
71,400‌
1,003‌
Enel
SpA
294,873‌
2,057‌
Iberdrola
SA
277,400‌
2,762‌
Korea
Electric
Power
Corp
25,579‌
566‌
$
6,388‌
Electrical
Components
&
Equipment
-
0.39%
Delta
Electronics
Inc
200,000‌
1,016‌
Electronics
-
1.25%
Halma
PLC
39,095‌
1,004‌
Hoya
Corp
29,096‌
2,236‌
$
3,240‌
Energy
-
Alternate
Sources
-
0.59%
Vestas
Wind
Systems
A/S
17,505‌
1,517‌
Engineering
&
Construction
-
2.11%
ACS
Actividades
de
Construccion
y
Servicios
SA
46,607‌
1,865‌
ACS
Actividades
de
Construccion
y
Servicios
SA
-
Rights
(a)
46,607‌
73‌
Larsen
&
Toubro
Ltd
51,912‌
1,168‌
Vinci
SA
23,240‌
2,373‌
$
5,479‌
Food
-
5.34%
MEIJI
Holdings
Co
Ltd
14,700‌
1,051‌
Nestle
India
Ltd
3,509‌
606‌
Nestle
SA
61,438‌
6,360‌
Seven
&
i
Holdings
Co
Ltd
41,200‌
1,396‌
Tesco
PLC
630,135‌
1,816‌
Uni-President
Enterprises
Corp
704,000‌
1,875‌
X5
Retail
Group
NV
22,226‌
761‌
$
13,865‌
Food
Service
-
0.69%
Compass
Group
PLC
75,164‌
1,802‌
Forest
Products
&
Paper
-
0.89%
Mondi
PLC
74,714‌
1,700‌
Suzano
SA
70,900‌
606‌
$
2,306‌
Hand
&
Machine
Tools
-
0.33%
Techtronic
Industries
Co
Ltd
110,500‌
847‌
Healthcare
-
Products
-
0.91%
Carl
Zeiss
Meditec
AG
10,194‌
1,005‌
Sonova
Holding
AG
2,538‌
578‌
Straumann
Holding
AG
872‌
771‌
$
2,354‌
Healthcare
-
Services
-
1.36%
ICON
PLC
(a)
11,587‌
1,784‌
Lonza
Group
AG
(a)
5,190‌
1,752‌
$
3,536‌
Home
Builders
-
0.73%
Persimmon
PLC
39,635‌
1,007‌
Taylor
Wimpey
PLC
445,583‌
894‌
$
1,901‌
Home
Furnishings
-
1.13%
Howden
Joinery
Group
PLC
140,758‌
906‌
Sony
Corp
38,700‌
2,034‌
$
2,940‌
Schedule
of
Investments
Diversified
International
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
132
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Insurance
-
7.18%
ASR
Nederland
NV
34,808‌
$
1,414‌
BB
Seguridade
Participacoes
SA
166,331‌
1,410‌
Fairfax
Financial
Holdings
Ltd
2,800‌
1,375‌
Hannover
Rueck
SE
9,124‌
1,475‌
Legal
&
General
Group
PLC
726,859‌
2,490‌
NN
Group
NV
50,281‌
2,021‌
Prudential
PLC
117,055‌
2,556‌
Sompo
Holdings
Inc
31,900‌
1,234‌
Swiss
Life
Holding
AG
5,276‌
2,616‌
Tokio
Marine
Holdings
Inc
40,700‌
2,042‌
$
18,633‌
Internet
-
2.71%
Alibaba
Group
Holding
Ltd
ADR
(a)
19,888‌
3,370‌
Tencent
Holdings
Ltd
80,793‌
3,655‌
$
7,025‌
Investment
Companies
-
0.74%
EXOR
NV
9,174‌
643‌
Investor
AB
26,742‌
1,286‌
$
1,929‌
Lodging
-
0.20%
Huazhu
Group
Ltd
ADR
14,154‌
513‌
Machinery
-
Diversified
-
1.16%
Amada
Holdings
Co
Ltd
83,800‌
947‌
Keyence
Corp
2,000‌
1,233‌
Valmet
OYJ
33,058‌
825‌
$
3,005‌
Mining
-
1.89%
Anglo
American
PLC
56,046‌
1,601‌
MMC
Norilsk
Nickel
PJSC
ADR
6,162‌
139‌
Rio
Tinto
Ltd
43,274‌
3,169‌
$
4,909‌
Office
&
Business
Equipment
-
0.33%
Konica
Minolta
Inc
87,500‌
853‌
Oil
&
Gas
-
5.68%
BP
PLC
530,798‌
3,698‌
Husky
Energy
Inc
67,300‌
638‌
LUKOIL
PJSC
ADR
17,056‌
1,442‌
Neste
Oyj
71,708‌
2,438‌
Parkland
Fuel
Corp
12,000‌
381‌
PTT
PCL
1,124,000‌
1,790‌
Reliance
Industries
Ltd
(a)
153,981‌
2,794‌
Suncor
Energy
Inc
49,900‌
1,556‌
$
14,737‌
Pharmaceuticals
-
4.77%
Merck
KGaA
12,116‌
1,266‌
Novartis
AG
42,338‌
3,865‌
Novo
Nordisk
A/S
42,943‌
2,193‌
Roche
Holding
AG
17,950‌
5,047‌
$
12,371‌
Pipelines
-
0.73%
TC
Energy
Corp
38,300‌
1,899‌
Private
Equity
-
2.88%
3i
Group
PLC
217,024‌
3,071‌
Brookfield
Asset
Management
Inc
77,913‌
3,727‌
Intermediate
Capital
Group
PLC
38,601‌
677‌
$
7,475‌
Real
Estate
-
2.11%
CK
Asset
Holdings
Ltd
213,500‌
1,673‌
LEG
Immobilien
AG
8,680‌
979‌
Vonovia
SE
24,305‌
1,161‌
Wharf
Real
Estate
Investment
Co
Ltd
235,000‌
1,656‌
$
5,469‌
REITs
-
0.44%
Dexus
125,538‌
1,145‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Retail
-
4.02%
Alimentation
Couche-Tard
Inc
52,223‌
$
3,286‌
ANTA
Sports
Products
Ltd
244,000‌
1,683‌
Atacadao
SA
104,300‌
598‌
Grafton
Group
PLC
66,586‌
681‌
Li
Ning
Co
Ltd
462,500‌
1,094‌
Pan
Pacific
International
Holdings
Corp
16,900‌
1,075‌
Wal-Mart
de
Mexico
SAB
de
CV
733,222‌
2,001‌
$
10,418‌
Semiconductors
-
3.30%
Samsung
Electronics
Co
Ltd
101,312‌
4,125‌
Taiwan
Semiconductor
Manufacturing
Co
Ltd
581,140‌
4,445‌
$
8,570‌
Software
-
2.96%
Amadeus
IT
Group
SA
24,722‌
1,959‌
Capcom
Co
Ltd
37,800‌
761‌
Dassault
Systemes
SE
8,856‌
1,413‌
Nemetschek
SE
9,246‌
557‌
SimCorp
A/S
6,915‌
669‌
Tech
Mahindra
Ltd
107,700‌
1,103‌
Ubisoft
Entertainment
SA
(a)
15,665‌
1,225‌
$
7,687‌
Telecommunications
-
6.06%
China
Mobile
Ltd
209,500‌
1,907‌
Deutsche
Telekom
AG
93,801‌
1,625‌
Nice
Ltd
ADR
(a)
9,812‌
1,344‌
Nippon
Telegraph
&
Telephone
Corp
40,800‌
1,901‌
Orange
SA
75,038‌
1,184‌
SK
Telecom
Co
Ltd
5,701‌
1,279‌
SoftBank
Group
Corp
57,600‌
2,774‌
Telefonaktiebolaget
LM
Ericsson
261,927‌
2,486‌
Telenor
ASA
57,635‌
1,225‌
$
15,725‌
Toys,
Games
&
Hobbies
-
0.52%
Nintendo
Co
Ltd
3,700‌
1,358‌
Transportation
-
1.92%
Canadian
National
Railway
Co
36,928‌
3,418‌
East
Japan
Railway
Co
16,600‌
1,554‌
$
4,972‌
TOTAL
COMMON
STOCKS
$
256,256‌
INVESTMENT
COMPANIES
-
0.65%
Shares
Held
Value
(000's)
Money
Market
Funds
-
0.65%
BlackRock
Liquidity
FedFund
2.26%
(c),(d)
392,070‌
392‌
Principal
Government
Money
Market
Fund
2.23%
(c),(e)
1,286,279‌
1,286‌
$
1,678‌
TOTAL
INVESTMENT
COMPANIES
$
1,678‌
PREFERRED
STOCKS
-
0.45%
Shares
Held
Value
(000's)
Investment
Companies
-
0.45%
Itausa
-
Investimentos
Itau
SA
0.08%
350,246‌
$
1,179‌
TOTAL
PREFERRED
STOCKS
$
1,179‌
Total
Investments
$
259,113‌
Other
Assets
and
Liabilities
-  0.12%
302‌
TOTAL
NET
ASSETS
-
100.00%
$
259,415‌
(a)
Non-income
producing
security
(b)
Security
or
a
portion
of
the
security
was
on
loan
at
the
end
of
the
period.
(c)
Current
yield
shown
is
as
of
period
end.
(d)
Security
or
a
portion
of
the
security
was
pledged
as
collateral
for
securities
lending.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$392
or
0.15%
of
net
assets.
(e)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
Schedule
of
Investments
Diversified
International
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
133
Portfolio
Summary
(unaudited)
Country
Percent
Japan
14.82‌%
United
Kingdom
12.47‌%
Switzerland
9.11‌%
Canada
8.37‌%
France
4.88‌%
China
4.82‌%
Germany
3.90‌%
Korea,
Republic
Of
3.76‌%
India
3.62‌%
Netherlands
3.04‌%
Sweden
2.97‌%
Taiwan,
Province
Of
China
2.82‌%
Australia
2.62‌%
Spain
2.57‌%
Hong
Kong
2.34‌%
Italy
2.31‌%
Denmark
2.11‌%
Brazil
1.87‌%
Thailand
1.76‌%
Israel
1.29‌%
Finland
1.26‌%
Norway
1.13‌%
Singapore
1.04‌%
Ireland
0.95‌%
Russian
Federation
0.89‌%
Mexico
0.77‌%
Peru
0.67‌%
United
States
0.65‌%
Austria
0.62‌%
Hungary
0.23‌%
Portugal
0.22‌%
Other
Assets
and
Liabilities
0.12‌%
TOTAL
NET
ASSETS
100.00%
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Principal
Government
Money
Market
Fund
2.23%
$
1,664‌
$
25,397‌
$
25,775‌
$
1,286‌
$
1,664‌
$
25,397‌
$
25,775‌
$
1,286‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Principal
Government
Money
Market
Fund
2.23%
$
23‌
$
—‌
$
—‌
$
—‌
$
23‌
$
—‌
$
—‌
$
—‌
Amounts
in
thousands
Schedule
of
Investments
Equity
Income
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
134
COMMON
STOCKS
-
98.04%
Shares
Held
Value
(000's)
Aerospace
&
Defense
-
0.40%
Boeing
Co/The
8,107‌
$
2,951‌
Airlines
-
1.52%
Delta
Air
Lines
Inc
196,327‌
11,142‌
Apparel
-
0.84%
VF
Corp
70,809‌
6,185‌
Automobile
Manufacturers
-
1.55%
PACCAR
Inc
158,217‌
11,338‌
Automobile
Parts
&
Equipment
-
1.73%
Magna
International
Inc
254,270‌
12,637‌
Banks
-
10.20%
Bank
of
Nova
Scotia/The
202,020‌
10,980‌
First
Republic
Bank/CA
7,703‌
752‌
JPMorgan
Chase
&
Co
183,007‌
20,460‌
PNC
Financial
Services
Group
Inc
/The
133,267‌
18,295‌
SunTrust
Banks
Inc
153,557‌
9,651‌
US
Bancorp
278,326‌
14,584‌
$
74,722‌
Beverages
-
1.06%
Coca-Cola
Co/The
152,677‌
7,774‌
Biotechnology
-
0.11%
Corteva
Inc
26,923‌
796‌
Chemicals
-
3.43%
Air
Products
&
Chemicals
Inc
36,156‌
8,185‌
Albemarle
Corp
60,274‌
4,244‌
DuPont
de
Nemours
Inc
98,151‌
7,368‌
PPG
Industries
Inc
45,749‌
5,339‌
$
25,136‌
Computers
-
3.31%
Accenture
PLC
-
Class
A
32,456‌
5,997‌
Apple
Inc
92,191‌
18,246‌
$
24,243‌
Diversified
Financial
Services
-
4.43%
BlackRock
Inc
31,833‌
14,939‌
Discover
Financial
Services
226,148‌
17,547‌
$
32,486‌
Electric
-
6.38%
Eversource
Energy
112,081‌
8,491‌
NextEra
Energy
Inc
42,494‌
8,705‌
Sempra
Energy
81,835‌
11,248‌
WEC
Energy
Group
Inc
107,512‌
8,963‌
Xcel
Energy
Inc
156,795‌
9,328‌
$
46,735‌
Electronics
-
0.90%
Honeywell
International
Inc
37,763‌
6,593‌
Food
-
2.47%
Hormel
Foods
Corp
218,723‌
8,867‌
Tyson
Foods
Inc
114,022‌
9,206‌
$
18,073‌
Healthcare
-
Products
-
5.51%
Abbott
Laboratories
170,857‌
14,369‌
Becton
Dickinson
and
Co
43,955‌
11,077‌
Medtronic
PLC
153,307‌
14,931‌
$
40,377‌
Healthcare
-
Services
-
1.68%
HCA
Healthcare
Inc
90,997‌
12,300‌
Insurance
-
6.69%
Allstate
Corp/The
103,143‌
10,489‌
Chubb
Ltd
100,143‌
14,750‌
Fidelity
National
Financial
Inc
334,242‌
13,470‌
Swiss
Re
AG
ADR
408,245‌
10,341‌
$
49,050‌
Machinery
-
Diversified
-
1.20%
Deere
&
Co
52,907‌
8,767‌
Media
-
1.69%
Walt
Disney
Co/The
88,471‌
12,354‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Miscellaneous
Manufacturers
-
2.07%
3M
Co
32,581‌
$
5,647‌
Parker-Hannifin
Corp
55,948‌
9,512‌
$
15,159‌
Oil
&
Gas
-
7.61%
Chevron
Corp
79,861‌
9,938‌
Cimarex
Energy
Co
108,593‌
6,443‌
EOG
Resources
Inc
75,395‌
7,024‌
Exxon
Mobil
Corp
57,890‌
4,436‌
Marathon
Petroleum
Corp
234,078‌
13,080‌
Occidental
Petroleum
Corp
36,407‌
1,830‌
Royal
Dutch
Shell
PLC
-
B
shares
ADR
197,808‌
13,004‌
$
55,755‌
Pharmaceuticals
-
7.62%
Merck
&
Co
Inc
198,976‌
16,684‌
Novartis
AG
ADR
121,102‌
11,058‌
Pfizer
Inc
302,843‌
13,119‌
Roche
Holding
AG
ADR
426,379‌
14,966‌
$
55,827‌
Pipelines
-
1.89%
Enterprise
Products
Partners
LP
480,394‌
13,869‌
Private
Equity
-
2.30%
KKR
&
Co
Inc
667,304‌
16,863‌
REITs
-
3.86%
Alexandria
Real
Estate
Equities
Inc
45,384‌
6,403‌
Digital
Realty
Trust
Inc
105,354‌
12,410‌
Simon
Property
Group
Inc
59,379‌
9,486‌
$
28,299‌
Retail
-
3.35%
Costco
Wholesale
Corp
51,574‌
13,629‌
Starbucks
Corp
130,381‌
10,930‌
$
24,559‌
Semiconductors
-
3.79%
Applied
Materials
Inc
200,771‌
9,017‌
Microchip
Technology
Inc
125,709‌
10,899‌
Taiwan
Semiconductor
Manufacturing
Co
Ltd
ADR
199,823‌
7,827‌
$
27,743‌
Software
-
3.36%
Fidelity
National
Information
Services
Inc
65,005‌
7,975‌
Microsoft
Corp
72,377‌
9,695‌
SAP
SE
ADR
50,745‌
6,942‌
$
24,612‌
Telecommunications
-
3.46%
BCE
Inc
270,350‌
12,296‌
Verizon
Communications
Inc
228,200‌
13,037‌
$
25,333‌
Toys,
Games
&
Hobbies
-
2.37%
Hasbro
Inc
164,171‌
17,350‌
Transportation
-
1.26%
Union
Pacific
Corp
54,689‌
9,249‌
TOTAL
COMMON
STOCKS
$
718,277‌
INVESTMENT
COMPANIES
-
1.63%
Shares
Held
Value
(000's)
Money
Market
Funds
-
1.63%
Principal
Government
Money
Market
Fund
2.23%
(a),(b)
11,977,164‌
11,977‌
TOTAL
INVESTMENT
COMPANIES
$
11,977‌
Total
Investments
$
730,254‌
Other
Assets
and
Liabilities
-  0.33%
2,451‌
TOTAL
NET
ASSETS
-
100.00%
$
732,705‌
(a)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(b)
Current
yield
shown
is
as
of
period
end.
Schedule
of
Investments
Equity
Income
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
135
Portfolio
Summary
(unaudited)
Sector
Percent
Financial
27.48‌%
Consumer,
Non-cyclical
18.45‌%
Consumer,
Cyclical
11.36‌%
Technology
10.46‌%
Energy
9.50‌%
Utilities
6.38‌%
Industrial
5.83‌%
Communications
5.15‌%
Basic
Materials
3.43‌%
Money
Market
Funds
1.63‌%
Other
Assets
and
Liabilities
0.33‌%
TOTAL
NET
ASSETS
100.00%
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Principal
Government
Money
Market
Fund
2.23%
$
8,817‌
$
38,135‌
$
34,975‌
$
11,977‌
$
8,817‌
$
38,135‌
$
34,975‌
$
11,977‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Principal
Government
Money
Market
Fund
2.23%
$
107‌
$
—‌
$
—‌
$
—‌
$
107‌
$
—‌
$
—‌
$
—‌
Amounts
in
thousands
Schedule
of
Investments
Government
&
High
Quality
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
136
INVESTMENT
COMPANIES
-
2.74%
Shares
Held
Value
(000's)
Money
Market
Funds
-
2.74%
Principal
Government
Money
Market
Fund
2.23%
(a),(b)
6,171,733‌
$
6,172‌
TOTAL
INVESTMENT
COMPANIES
$
6,172‌
BONDS
-
28.26%
Principal
Amount
(000's)
Value
(000's)
Commercial
Mortgage
Backed
Securities
-
12.95%
CD
2017-CD3
Mortgage
Trust
3.98%,
02/10/2050
(c)
$
1,000‌
$
1,056‌
COMM
2014-CCRE19
Mortgage
Trust
4.90%,
08/10/2047
(c)
600‌
634‌
COMM
2014-UBS5
Mortgage
Trust
4.76%,
09/10/2047
(c)
1,000‌
1,034‌
Freddie
Mac
Multifamily
Structured
Pass
Through
Certificates
2.65%,
08/25/2026
850‌
868‌
3.19%,
09/25/2027
(c)
1,330‌
1,403‌
3.29%,
11/25/2027
1,100‌
1,169‌
3.44%,
12/25/2027
1,500‌
1,612‌
3.60%,
01/25/2028
1,330‌
1,443‌
3.65%,
02/25/2028
(c)
700‌
762‌
3.90%,
04/25/2028
1,120‌
1,244‌
4.05%,
09/25/2028
(c)
1,000‌
1,123‌
Ginnie
Mae
0.52%,
06/16/2060
(c),(d)
7,424‌
417‌
0.56%,
10/16/2054
(c),(d)
10,349‌
302‌
0.57%,
12/16/2059
(c),(d)
7,778‌
433‌
0.59%,
04/16/2047
(c),(d)
10,003‌
377‌
0.59%,
02/16/2060
(c),(d)
11,305‌
674‌
0.59%,
03/16/2060
(c),(d)
4,687‌
275‌
0.61%,
11/16/2045
(c),(d)
15,534‌
545‌
0.70%,
11/16/2052
(c),(d)
13,407‌
531‌
0.79%,
09/16/2053
(c),(d)
9,631‌
396‌
0.84%,
02/16/2053
(c),(d)
11,082‌
606‌
0.84%,
02/16/2055
(c),(d)
21,824‌
695‌
0.92%,
03/16/2052
(c),(d)
10,836‌
636‌
0.98%,
02/16/2046
(c),(d)
11,650‌
567‌
2.60%,
05/16/2059
680‌
672‌
2.60%,
03/16/2060
1,157‌
1,145‌
GS
Mortgage
Securities
Trust
2014-GC20
5.13%,
04/10/2047
(c)
300‌
314‌
JP
Morgan
Chase
Commercial
Mortgage
Securities
Trust
2011-C5
5.55%,
08/15/2046
(c),(e)
2,000‌
2,103‌
JP
Morgan
Chase
Commercial
Mortgage
Securities
Trust
2013-C16
5.13%,
12/15/2046
(c)
1,800‌
1,953‌
JPMDB
Commercial
Mortgage
Securities
Trust
2018-C8
4.90%,
06/15/2051
(c)
500‌
550‌
WFRBS
Commercial
Mortgage
Trust
2014-C23
4.53%,
10/15/2057
(c)
1,000‌
1,067‌
WFRBS
Commercial
Mortgage
Trust
2014-LC14
4.34%,
03/15/2047
(c)
2,450‌
2,520‌
$
29,126‌
Home
Equity
Asset
Backed
Securities
-
0.36%
ACE
Securities
Corp
Mortgage
Loan
Trust
Series
2007-D1
6.93%,
02/25/2038
(c),(e)
835‌
816‌
Mortgage
Backed
Securities
-
14.13%
EverBank
Mortgage
Loan
Trust
18-1
3.50%,
02/25/2048
(c),(e)
639‌
643‌
Fannie
Mae
Grantor
Trust
2005-T1
2.75%,
05/25/2035
221‌
220‌
1.00
x
1
Month
USD
LIBOR
+
0.35%
Fannie
Mae
Interest
Strip
3.50%,
12/25/2043
(c),(d)
1,581‌
258‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Mortgage
Backed
Securities
(continued)
Fannie
Mae
REMICS
1.70%,
06/25/2045
(c),(d)
$
4,326‌
$
278‌
3.00%,
10/25/2040
(d)
5,365‌
417‌
3.00%,
04/25/2042
974‌
987‌
3.00%,
02/25/2043
456‌
468‌
3.00%,
01/25/2046
744‌
760‌
3.00%,
05/25/2048
211‌
213‌
3.50%,
01/25/2040
(d)
2,583‌
214‌
3.50%,
11/25/2042
2,500‌
2,637‌
3.50%,
03/25/2048
(d)
2,148‌
162‌
4.00%,
12/25/2039
(d)
1,271‌
116‌
4.00%,
03/25/2045
1,000‌
1,131‌
4.00%,
04/25/2047
656‌
733‌
4.50%,
04/25/2045
(d)
3,278‌
671‌
7.00%,
04/25/2032
117‌
133‌
Freddie
Mac
REMICS
1.50%,
04/15/2028
993‌
978‌
1.55%,
05/15/2038
(c),(d)
3,591‌
164‌
2.50%,
11/15/2032
961‌
967‌
2.50%,
02/15/2043
944‌
946‌
3.00%,
11/15/2030
(d)
2,328‌
126‌
3.00%,
11/15/2035
950‌
962‌
3.00%,
06/15/2040
476‌
484‌
3.00%,
10/15/2041
391‌
400‌
3.00%,
04/15/2046
296‌
304‌
3.50%,
03/15/2029
322‌
341‌
3.50%,
08/15/2040
(d)
2,654‌
235‌
3.50%,
05/15/2043
803‌
833‌
3.50%,
09/15/2043
1,200‌
1,240‌
4.00%,
05/15/2039
4,200‌
4,377‌
Ginnie
Mae
3.50%,
12/20/2034
(d)
695‌
7‌
3.50%,
05/20/2039
96‌
96‌
3.50%,
10/20/2044
(d)
5,195‌
738‌
3.50%,
11/20/2045
930‌
951‌
4.00%,
02/20/2044
(d)
3,334‌
522‌
4.00%,
04/20/2044
(d)
1,688‌
256‌
4.00%,
01/20/2046
(d)
1,732‌
231‌
JP
Morgan
Mortgage
Trust
2016-4
3.50%,
10/25/2046
(c),(e)
756‌
763‌
JP
Morgan
Mortgage
Trust
2017-3
3.86%,
08/25/2047
(c),(e)
573‌
581‌
JP
Morgan
Mortgage
Trust
2018-8
4.00%,
01/25/2049
(c),(e)
971‌
979‌
New
Residential
Mortgage
Loan
Trust
2014-1
5.00%,
01/25/2054
(c),(e)
1,548‌
1,633‌
New
Residential
Mortgage
Loan
Trust
2015-2
5.55%,
08/25/2055
(c),(e)
1,109‌
1,213‌
Sequoia
Mortgage
Trust
2013-2
3.64%,
02/25/2043
(c)
749‌
768‌
Sequoia
Mortgage
Trust
2018-5
3.50%,
05/25/2048
(c),(e)
628‌
631‌
$
31,767‌
Other
Asset
Backed
Securities
-
0.82%
Chase
Funding
Trust
Series
2004-1
2.86%,
12/25/2033
97‌
95‌
1.00
x
1
Month
USD
LIBOR
+
0.46%
CNH
Equipment
Trust
2016-C
1.76%,
09/15/2023
500‌
497‌
Towd
Point
Mortgage
Trust
4.25%,
10/25/2053
(c),(e)
550‌
583‌
Towd
Point
Mortgage
Trust
2017-6
3.25%,
10/25/2057
(c),(e)
700‌
672‌
$
1,847‌
TOTAL
BONDS
$
63,556‌
Schedule
of
Investments
Government
&
High
Quality
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
137
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
-
68.64%
Principal
Amount
(000's)
Value
(000's)
Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
-
15.49%
2.00%,
10/01/2031
$
726‌
$
719‌
2.50%,
02/01/2028
677‌
683‌
3.00%,
02/01/2027
245‌
251‌
3.00%,
01/01/2031
564‌
578‌
3.00%,
01/01/2033
959‌
982‌
3.00%,
03/01/2037
406‌
413‌
3.00%,
08/01/2042
741‌
754‌
3.00%,
10/01/2042
1,034‌
1,052‌
3.00%,
10/01/2042
1,105‌
1,131‌
3.00%,
10/01/2042
536‌
546‌
3.00%,
05/01/2043
761‌
777‌
3.00%,
10/01/2046
804‌
822‌
3.00%,
01/01/2047
1,024‌
1,047‌
3.50%,
02/01/2032
1,148‌
1,191‌
3.50%,
04/01/2042
1,637‌
1,700‌
3.50%,
05/01/2042
594‌
617‌
3.50%,
07/01/2042
2,127‌
2,210‌
3.50%,
02/01/2044
862‌
893‌
3.50%,
08/01/2045
892‌
932‌
3.50%,
07/01/2046
721‌
752‌
3.50%,
01/01/2047
1,984‌
2,062‌
3.50%,
01/01/2048
1,050‌
1,096‌
4.00%,
07/01/2042
758‌
811‌
4.00%,
01/01/2043
1,023‌
1,079‌
4.00%,
04/01/2043
1,269‌
1,355‌
4.00%,
06/01/2043
1,255‌
1,329‌
4.00%,
10/01/2045
1,233‌
1,314‌
4.00%,
08/01/2047
1,503‌
1,602‌
4.00%,
01/01/2048
1,261‌
1,347‌
4.00%,
06/01/2048
1,440‌
1,534‌
4.50%,
09/01/2032
13‌
14‌
1.00
x
US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
2.23%
4.50%,
11/01/2043
914‌
999‌
5.00%,
10/01/2025
116‌
122‌
5.00%,
02/01/2033
155‌
169‌
5.00%,
06/01/2033
177‌
190‌
5.00%,
01/01/2034
485‌
527‌
5.00%,
07/01/2035
98‌
107‌
5.00%,
07/01/2035
22‌
25‌
5.00%,
07/01/2035
10‌
11‌
5.00%,
10/01/2035
45‌
49‌
5.50%,
03/01/2033
107‌
118‌
5.50%,
04/01/2038
7‌
8‌
5.50%,
05/01/2038
41‌
45‌
6.00%,
12/01/2023
3‌
3‌
6.00%,
05/01/2031
11‌
13‌
6.00%,
12/01/2031
12‌
14‌
6.00%,
09/01/2032
7‌
7‌
6.00%,
11/01/2033
50‌
56‌
6.00%,
11/01/2033
23‌
25‌
6.00%,
09/01/2034
50‌
57‌
6.00%,
02/01/2035
46‌
53‌
6.00%,
10/01/2036
45‌
51‌
6.00%,
03/01/2037
39‌
44‌
6.00%,
01/01/2038
7‌
8‌
6.00%,
01/01/2038
85‌
97‌
6.00%,
04/01/2038
41‌
45‌
6.50%,
08/01/2021
1‌
1‌
6.50%,
12/01/2021
7‌
7‌
6.50%,
04/01/2022
10‌
11‌
6.50%,
05/01/2022
6‌
6‌
6.50%,
05/01/2023
6‌
6‌
6.50%,
04/01/2024
2‌
2‌
6.50%,
04/01/2026
2‌
2‌
6.50%,
05/01/2026
3‌
3‌
6.50%,
05/01/2026
1‌
1‌
6.50%,
01/01/2028
4‌
4‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
(continued)
6.50%,
03/01/2028
$
2‌
$
2‌
6.50%,
10/01/2028
15‌
17‌
6.50%,
11/01/2028
3‌
4‌
6.50%,
12/01/2028
8‌
8‌
6.50%,
03/01/2029
3‌
4‌
6.50%,
07/01/2031
19‌
21‌
6.50%,
08/01/2031
5‌
5‌
6.50%,
10/01/2031
8‌
9‌
6.50%,
10/01/2031
8‌
9‌
6.50%,
12/01/2031
13‌
15‌
6.50%,
02/01/2032
13‌
15‌
6.50%,
05/01/2032
33‌
39‌
6.50%,
04/01/2035
6‌
7‌
7.00%,
09/01/2023
4‌
4‌
7.00%,
12/01/2023
2‌
2‌
7.00%,
01/01/2024
2‌
2‌
7.00%,
09/01/2027
3‌
4‌
7.00%,
01/01/2028
30‌
32‌
7.00%,
04/01/2028
14‌
16‌
7.00%,
05/01/2028
2‌
3‌
7.00%,
10/01/2031
6‌
7‌
7.00%,
10/01/2031
12‌
13‌
7.00%,
04/01/2032
47‌
54‌
7.50%,
10/01/2030
7‌
8‌
7.50%,
02/01/2031
8‌
9‌
7.50%,
02/01/2031
4‌
4‌
7.50%,
02/01/2031
2‌
3‌
8.00%,
10/01/2030
16‌
19‌
8.50%,
07/01/2029
16‌
17‌
$
34,831‌
Federal
National
Mortgage
Association
(FNMA)
-
0.64%
3.00%,
04/01/2043
963‌
978‌
4.33%,
07/01/2034
20‌
20‌
1.00
x
US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
2.21%
4.47%,
12/01/2033
108‌
112‌
1.00
x
12
Month
USD
LIBOR
+
1.60%
4.77%,
12/01/2032
12‌
12‌
1.00
x
12
Month
USD
LIBOR
+
1.64%
5.50%,
05/01/2033
14‌
15‌
6.00%,
05/01/2037
164‌
180‌
6.50%,
08/01/2025
17‌
18‌
6.50%,
11/01/2032
14‌
15‌
7.00%,
08/01/2028
15‌
17‌
7.00%,
12/01/2028
13‌
15‌
7.50%,
11/01/2029
12‌
13‌
8.00%,
05/01/2027
8‌
8‌
8.00%,
09/01/2027
3‌
2‌
8.50%,
10/01/2027
25‌
26‌
$
1,431‌
Federal
National
Mortgage
Association
(FNMA)/Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
Uniform
Mortgage-Backed
Security
-
36.78%
2.00%,
02/01/2032
438‌
433‌
2.50%,
06/01/2027
1,112‌
1,121‌
2.50%,
08/01/2028
747‌
753‌
2.50%,
12/01/2031
853‌
860‌
2.50%,
09/01/2032
575‌
580‌
3.00%,
05/01/2029
833‌
854‌
3.00%,
08/01/2031
1,598‌
1,638‌
3.00%,
10/01/2036
630‌
644‌
3.00%,
10/01/2042
1,516‌
1,547‌
3.00%,
11/01/2042
1,666‌
1,701‌
3.00%,
12/01/2042
1,481‌
1,512‌
3.00%,
02/01/2043
1,047‌
1,071‌
3.00%,
06/01/2043
1,852‌
1,891‌
3.00%,
08/01/2043
1,290‌
1,317‌
3.00%,
09/01/2046
1,529‌
1,560‌
3.00%,
10/01/2046
1,050‌
1,071‌
Schedule
of
Investments
Government
&
High
Quality
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
138
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
National
Mortgage
Association
(FNMA)/Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
Uniform
Mortgage-Backed
Security
(continued)
3.00%,
11/01/2046
$
1,594‌
$
1,630‌
3.00%,
01/01/2047
943‌
964‌
3.50%,
08/01/2031
795‌
824‌
3.50%,
02/01/2033
1,234‌
1,287‌
3.50%,
02/01/2042
1,158‌
1,207‌
3.50%,
09/01/2042
1,887‌
1,964‌
3.50%,
11/01/2042
1,284‌
1,339‌
3.50%,
12/01/2042
1,380‌
1,437‌
3.50%,
02/01/2043
491‌
515‌
3.50%,
09/01/2044
1,984‌
2,077‌
3.50%,
10/01/2044
623‌
652‌
3.50%,
11/01/2044
611‌
642‌
3.50%,
03/01/2045
620‌
648‌
3.50%,
03/01/2045
1,459‌
1,519‌
3.50%,
06/01/2045
1,017‌
1,065‌
3.50%,
09/01/2045
904‌
942‌
3.50%,
10/01/2045
685‌
718‌
3.50%,
11/01/2045
705‌
736‌
3.50%,
01/01/2046
691‌
724‌
3.50%,
03/01/2046
486‌
509‌
3.50%,
04/01/2046
1,075‌
1,125‌
3.50%,
03/01/2047
1,027‌
1,074‌
3.50%,
10/01/2047
764‌
799‌
4.00%,
01/01/2034
528‌
556‌
4.00%,
10/01/2037
989‌
1,031‌
4.00%,
02/01/2041
1,449‌
1,538‌
4.00%,
02/01/2042
855‌
909‌
4.00%,
08/01/2043
485‌
519‌
4.00%,
10/01/2043
417‌
439‌
4.00%,
04/01/2044
327‌
349‌
4.00%,
08/01/2044
544‌
581‌
4.00%,
10/01/2044
1,601‌
1,677‌
4.00%,
11/01/2044
526‌
563‌
4.00%,
12/01/2044
871‌
931‌
4.00%,
02/01/2045
890‌
951‌
4.00%,
08/01/2045
865‌
925‌
4.00%,
09/01/2045
1,908‌
2,039‌
4.00%,
05/01/2046
1,599‌
1,703‌
4.00%,
07/01/2046
730‌
780‌
4.00%,
08/01/2046
1,658‌
1,755‌
4.00%,
07/01/2047
1,071‌
1,144‌
4.00%,
10/01/2047
944‌
1,005‌
4.00%,
12/01/2047
862‌
921‌
4.00%,
03/01/2049
1,079‌
1,153‌
4.50%,
12/01/2019
2‌
2‌
4.50%,
01/01/2020
7‌
7‌
4.50%,
08/01/2039
1,680‌
1,813‌
4.50%,
03/01/2042
431‌
468‌
4.50%,
09/01/2043
1,744‌
1,902‌
4.50%,
10/01/2043
929‌
1,013‌
4.50%,
11/01/2043
1,040‌
1,134‌
4.50%,
09/01/2045
760‌
825‌
4.50%,
10/01/2045
976‌
1,069‌
4.50%,
11/01/2045
1,417‌
1,537‌
4.50%,
08/01/2048
1,037‌
1,126‌
4.50%,
09/01/2048
1,878‌
2,042‌
5.00%,
05/01/2033
1,174‌
1,281‌
5.00%,
04/01/2035
114‌
124‌
5.00%,
04/01/2035
89‌
98‌
5.00%,
07/01/2035
5‌
6‌
5.00%,
02/01/2038
373‌
409‌
5.00%,
02/01/2040
1,321‌
1,458‌
5.00%,
07/01/2041
1,049‌
1,158‌
5.50%,
08/01/2019
3‌
3‌
5.50%,
09/01/2019
2‌
2‌
5.50%,
05/01/2024
8‌
8‌
5.50%,
06/01/2033
58‌
64‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
National
Mortgage
Association
(FNMA)/Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
Uniform
Mortgage-Backed
Security
(continued)
5.50%,
02/01/2037
$
4‌
$
4‌
5.50%,
03/01/2038
107‌
119‌
6.00%,
06/01/2022
11‌
12‌
6.00%,
11/01/2028
13‌
14‌
6.00%,
12/01/2031
6‌
7‌
6.00%,
01/01/2033
50‌
57‌
6.00%,
07/01/2037
131‌
148‌
6.00%,
11/01/2037
3‌
3‌
6.00%,
12/01/2037
8‌
9‌
6.00%,
03/01/2038
56‌
63‌
6.50%,
11/01/2023
16‌
18‌
6.50%,
05/01/2024
6‌
6‌
6.50%,
09/01/2024
9‌
10‌
6.50%,
07/01/2025
10‌
11‌
6.50%,
02/01/2026
3‌
3‌
6.50%,
03/01/2026
1‌
1‌
6.50%,
05/01/2026
3‌
3‌
6.50%,
06/01/2026
1‌
1‌
6.50%,
07/01/2028
9‌
10‌
6.50%,
09/01/2028
16‌
18‌
6.50%,
02/01/2029
2‌
3‌
6.50%,
03/01/2029
5‌
6‌
6.50%,
04/01/2029
4‌
5‌
6.50%,
06/01/2031
10‌
11‌
6.50%,
06/01/2031
9‌
10‌
6.50%,
01/01/2032
4‌
4‌
6.50%,
04/01/2032
13‌
14‌
6.50%,
08/01/2032
9‌
10‌
6.50%,
02/01/2033
19‌
21‌
6.50%,
12/01/2036
33‌
38‌
6.50%,
07/01/2037
16‌
19‌
6.50%,
07/01/2037
25‌
29‌
6.50%,
02/01/2038
30‌
35‌
7.00%,
10/01/2029
14‌
16‌
7.00%,
05/01/2031
4‌
4‌
7.00%,
11/01/2031
20‌
22‌
7.50%,
04/01/2022
1‌
1‌
8.00%,
06/01/2030
2‌
2‌
9.00%,
09/01/2030
1‌
1‌
$
82,736‌
Government
National
Mortgage
Association
(GNMA)
-
6.65%
3.00%,
11/15/2042
931‌
953‌
3.00%,
12/15/2042
1,664‌
1,706‌
3.00%,
02/15/2043
1,454‌
1,490‌
3.50%,
01/15/2043
1,169‌
1,214‌
3.50%,
05/15/2043
1,347‌
1,398‌
3.50%,
06/20/2043
808‌
837‌
3.50%,
04/20/2045
783‌
810‌
3.50%,
06/20/2046
111‌
114‌
3.50%,
02/20/2047
855‌
882‌
3.50%,
05/20/2047
972‌
1,010‌
3.50%,
11/20/2047
747‌
772‌
4.00%,
08/15/2041
993‌
1,061‌
4.00%,
07/20/2047
958‌
1,000‌
4.50%,
07/15/2040
511‌
551‌
5.00%,
09/15/2033
5‌
6‌
5.00%,
02/15/2034
296‌
322‌
5.00%,
09/15/2039
38‌
42‌
5.50%,
11/15/2033
28‌
30‌
5.50%,
05/20/2035
125‌
137‌
5.50%,
03/15/2039
86‌
92‌
6.00%,
04/20/2026
4‌
4‌
6.00%,
05/20/2026
3‌
3‌
6.00%,
03/20/2028
2‌
3‌
6.00%,
06/20/2028
13‌
15‌
6.00%,
07/20/2028
7‌
8‌
6.00%,
02/20/2029
7‌
8‌
Schedule
of
Investments
Government
&
High
Quality
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
139
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Government
National
Mortgage
Association
(GNMA)
(continued)
6.00%,
03/20/2029
$
15‌
$
17‌
6.00%,
07/20/2029
16‌
17‌
6.00%,
07/20/2033
113‌
129‌
6.50%,
12/20/2025
8‌
8‌
6.50%,
02/20/2026
6‌
6‌
6.50%,
03/20/2031
10‌
12‌
6.50%,
04/20/2031
11‌
13‌
7.00%,
01/15/2028
1‌
1‌
7.00%,
01/15/2028
1‌
1‌
7.00%,
01/15/2028
1‌
1‌
7.00%,
01/15/2028
3‌
3‌
7.00%,
01/15/2028
4‌
5‌
7.00%,
03/15/2028
56‌
58‌
7.00%,
05/15/2028
6‌
6‌
7.00%,
01/15/2029
12‌
13‌
7.00%,
03/15/2029
4‌
4‌
7.00%,
05/15/2031
8‌
9‌
7.00%,
09/15/2031
30‌
34‌
7.00%,
06/15/2032
116‌
131‌
7.50%,
02/15/2023
1‌
1‌
7.50%,
04/15/2023
6‌
6‌
7.50%,
09/15/2023
1‌
1‌
7.50%,
09/15/2023
1‌
1‌
7.50%,
10/15/2023
3‌
3‌
7.50%,
11/15/2023
2‌
2‌
8.00%,
07/15/2026
1‌
1‌
8.00%,
08/15/2026
2‌
2‌
8.00%,
01/15/2027
1‌
1‌
8.00%,
02/15/2027
1‌
1‌
$
14,955‌
U.S.
Treasury
-
9.08%
1.13%,
12/31/2019
2,200‌
2,189‌
1.13%,
03/31/2020
2,200‌
2,186‌
1.25%,
01/31/2020
1,700‌
1,692‌
2.00%,
02/15/2025
2,700‌
2,727‌
2.13%,
12/31/2022
2,400‌
2,433‌
3.13%,
05/15/2021
2,500‌
2,562‌
4.25%,
11/15/2040
750‌
984‌
4.50%,
02/15/2036
1,000‌
1,319‌
5.25%,
11/15/2028
1,000‌
1,279‌
6.25%,
08/15/2023
2,600‌
3,063‌
$
20,434‌
TOTAL
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
$
154,387‌
Total
Investments
$
224,115‌
Other
Assets
and
Liabilities
-  0.36%
800‌
TOTAL
NET
ASSETS
-
100.00%
$
224,915‌
(a)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(b)
Current
yield
shown
is
as
of
period
end.
(c)
Certain
variable
rate
securities
are
not
based
on
a
published
reference
rate
and
spread
but
are
determined
by
the
issuer
or
agent
and
are
based
on
current
market
conditions.  These
securities
do
not
indicate
a
reference
rate
and
spread
in
their
description.
Rate
shown
is
the
rate
in
effect
as
of
period
end.
(d)
Security
is
an
Interest
Only
Strip.
(e)
Security
exempt
from
registration
under
Rule
144A
of
the
Securities
Act
of
1933.
These
securities
may
be
resold
in
transactions
exempt
from
registration,
normally
to
qualified
institutional
buyers.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$10,617
or
4.72%
of
net
assets.
Portfolio
Summary
(unaudited)
Sector
Percent
Mortgage
Securities
86.64‌%
Government
9.08‌%
Money
Market
Funds
2.74‌%
Asset
Backed
Securities
1.18‌%
Other
Assets
and
Liabilities
0.36‌%
TOTAL
NET
ASSETS
100.00%
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Principal
Government
Money
Market
Fund
2.23%
$
1,278‌
$
27,281‌
$
22,387‌
$
6,172‌
$
1,278‌
$
27,281‌
$
22,387‌
$
6,172‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Principal
Government
Money
Market
Fund
2.23%
$
24‌
$
—‌
$
—‌
$
—‌
$
24‌
$
—‌
$
—‌
$
—‌
Amounts
in
thousands
Schedule
of
Investments
International
Emerging
Markets
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
140
COMMON
STOCKS
-
96.74%
Shares
Held
Value
(000's)
Agriculture
-
0.92%
KT&G
Corp
9,779‌
$
834‌
Apparel
-
1.64%
Feng
TAY
Enterprise
Co
Ltd
52,000‌
406‌
Fila
Korea
Ltd
9,559‌
635‌
Makalot
Industrial
Co
Ltd
67,000‌
453‌
$
1,494‌
Automobile
Manufacturers
-
2.09%
Hyundai
Motor
Co
8,047‌
976‌
Kia
Motors
Corp
24,324‌
928‌
$
1,904‌
Automobile
Parts
&
Equipment
-
0.65%
Weichai
Power
Co
Ltd
348,000‌
589‌
Banks
-
13.18%
Absa
Group
Ltd
42,910‌
537‌
Axis
Bank
Ltd
91,931‌
1,077‌
Banco
do
Brasil
SA
45,000‌
630‌
Banco
Santander
Brasil
SA
39,900‌
476‌
Bangkok
Bank
PCL
99,700‌
647‌
Bank
of
Communications
Co
Ltd
301,000‌
229‌
Bank
Rakyat
Indonesia
Persero
Tbk
PT
2,142,100‌
661‌
China
Construction
Bank
Corp
865,902‌
746‌
Credicorp
Ltd
3,066‌
702‌
First
Abu
Dhabi
Bank
PJSC
108,867‌
441‌
Grupo
Financiero
Banorte
SAB
de
CV
142,900‌
830‌
HDFC
Bank
Ltd
22,059‌
781‌
Industrial
Bank
Co
Ltd
193,494‌
516‌
Krung
Thai
Bank
PCL
707,200‌
450‌
OTP
Bank
Nyrt
22,763‌
907‌
PT
Bank
Central
Asia
Tbk
323,400‌
686‌
Sberbank
of
Russia
PJSC
ADR
73,183‌
1,128‌
State
Bank
of
India
(a)
103,714‌
543‌
$
11,987‌
Beverages
-
0.96%
Kweichow
Moutai
Co
Ltd
1,699‌
244‌
Thai
Beverage
PCL
1,017,500‌
625‌
$
869‌
Building
Materials
-
1.31%
Anhui
Conch
Cement
Co
Ltd
78,396‌
474‌
China
Lesso
Group
Holdings
Ltd
134,000‌
108‌
Huaxin
Cement
Co
Ltd
206,075‌
608‌
$
1,190‌
Chemicals
-
0.41%
UPL
Ltd
27,252‌
370‌
Coal
-
0.48%
Exxaro
Resources
Ltd
35,785‌
438‌
Commercial
Services
-
2.59%
CCR
SA
80,400‌
287‌
New
Oriental
Education
&
Technology
Group
Inc
ADR
(a)
9,014‌
871‌
Qualicorp
Consultoria
e
Corretora
de
Seguros
SA
67,700‌
408‌
TAL
Education
Group
ADR
(a)
20,725‌
790‌
$
2,356‌
Computers
-
2.11%
Globant
SA
(a)
1,754‌
177‌
Lenovo
Group
Ltd
740,000‌
573‌
Tata
Consultancy
Services
Ltd
20,297‌
655‌
Wipro
Ltd
126,012‌
513‌
$
1,918‌
Diversified
Financial
Services
-
6.70%
Bajaj
Finance
Ltd
17,187‌
916‌
Capitec
Bank
Holdings
Ltd
7,089‌
654‌
CTBC
Financial
Holding
Co
Ltd
790,000‌
543‌
Housing
Development
Finance
Corp
Ltd
28,259‌
897‌
Muthoot
Finance
Ltd
62,167‌
581‌
Old
Mutual
Ltd
408,607‌
615‌
Qudian
Inc
ADR
(a)
42,420‌
318‌
Shinhan
Financial
Group
Co
Ltd
26,247‌
1,021‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Diversified
Financial
Services
(continued)
Tisco
Financial
Group
PCL
180,300‌
$
550‌
$
6,095‌
Electrical
Components
&
Equipment
-
1.01%
Delta
Electronics
Inc
180,000‌
915‌
Electronics
-
0.66%
Taiwan
Union
Technology
Corp
(a)
149,000‌
599‌
Engineering
&
Construction
-
1.00%
Daelim
Industrial
Co
Ltd
2,648‌
264‌
Larsen
&
Toubro
Ltd
28,625‌
644‌
$
908‌
Food
-
3.00%
Charoen
Pokphand
Foods
PCL
666,500‌
614‌
Indofood
Sukses
Makmur
Tbk
PT
499,600‌
249‌
Nestle
India
Ltd
1,520‌
262‌
Uni
-President
Enterprises
Corp
340,000‌
906‌
X5
Retail
Group
NV
20,397‌
698‌
$
2,729‌
Forest
Products
&
Paper
-
0.42%
Mondi
PLC
16,724‌
381‌
Gas
-
0.92%
GAIL
India
Ltd
131,737‌
595‌
Perusahaan
Gas
Negara
Tbk
PT
1,625,500‌
243‌
$
838‌
Insurance
-
6.02%
AIA
Group
Ltd
123,200‌
1,330‌
BB
Seguridade
Participacoes
SA
61,800‌
524‌
IRB
Brasil
Resseguros
S/A
24,100‌
625‌
Ping
An
Insurance
Group
Co
of
China
Ltd
196,500‌
2,363‌
Powszechny
Zaklad
Ubezpieczen
SA
53,987‌
632‌
$
5,474‌
Internet
-
14.68%
AfreecaTV
Co
Ltd
6,895‌
368‌
Alibaba
Group
Holding
Ltd
ADR
(a)
26,515‌
4,493‌
JD.com
Inc
ADR
(a)
31,416‌
952‌
Just
Dial
Ltd
(a)
45,109‌
497‌
MercadoLibre
Inc
(a)
559‌
342‌
Naspers
Ltd
7,262‌
1,758‌
Tencent
Holdings
Ltd
103,700‌
4,691‌
Tongcheng-Elong
Holdings
Ltd
(a)
125,200‌
248‌
$
13,349‌
Iron
&
Steel
-
1.15%
Kumba
Iron
Ore
Ltd
9,679‌
343‌
Vale
SA
52,321‌
706‌
$
1,049‌
Leisure
Products
&
Services
-
0.59%
China
International
Travel
Service
Corp
Ltd
19,399‌
251‌
Giant
Manufacturing
Co
Ltd
(a)
36,000‌
282‌
$
533‌
Mining
-
2.08%
AngloGold
Ashanti
Ltd
20,138‌
361‌
BHP
Group
PLC
27,906‌
715‌
Grupo
Mexico
SAB
de
CV
167,100‌
445‌
MMC
Norilsk
Nickel
PJSC
ADR
16,425‌
370‌
$
1,891‌
Miscellaneous
Manufacturers
-
0.27%
Largan
Precision
Co
Ltd
2,000‌
250‌
Oil
&
Gas
-
8.22%
China
Petroleum
&
Chemical
Corp
730,000‌
497‌
CNOOC
Ltd
490,000‌
836‌
Gazprom
PJSC
ADR
97,943‌
719‌
Indian
Oil
Corp
Ltd
178,219‌
402‌
LUKOIL
PJSC
ADR
24,578‌
2,078‌
MOL
Hungarian
Oil
&
Gas
PLC
19,659‌
218‌
Oil
&
Natural
Gas
Corp
Ltd
220,607‌
536‌
Petroleo
Brasileiro
SA
45,600‌
355‌
PTT
Exploration
&
Production
PCL
112,000‌
494‌
PTT
PCL
296,200‌
472‌
Schedule
of
Investments
International
Emerging
Markets
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
141
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Oil
&
Gas
(continued)
Reliance
Industries
Ltd
(a)
48,104‌
$
873‌
$
7,480‌
Pharmaceuticals
-
0.34%
China
National
Accord
Medicines
Corp
Ltd
50,198‌
306‌
Pipelines
-
0.56%
Petronet
LNG
Ltd
143,661‌
510‌
Real
Estate
-
1.35%
Future
Land
Development
Holdings
Ltd
(a)
398,000‌
524‌
Sunac
China
Holdings
Ltd
144,000‌
707‌
$
1,231‌
Retail
-
6.10%
ANTA
Sports
Products
Ltd
109,000‌
752‌
Atacadao
SA
87,000‌
499‌
Home
Product
Center
PCL
1,034,400‌
587‌
Li
Ning
Co
Ltd
202,000‌
478‌
Lojas
Renner
SA
69,850‌
855‌
Suning.com
Co
Ltd
183,497‌
307‌
Wal-Mart
de
Mexico
SAB
de
CV
438,600‌
1,197‌
Yum
China
Holdings
Inc
18,828‌
870‌
$
5,545‌
Semiconductors
-
9.60%
Chipbond
Technology
Corp
110,000‌
215‌
Realtek
Semiconductor
Corp
91,000‌
670‌
Samsung
Electronics
Co
Ltd
97,827‌
3,984‌
SK
Hynix
Inc
6,636‌
399‌
Taiwan
Semiconductor
Manufacturing
Co
Ltd
452,164‌
3,458‌
$
8,726‌
Software
-
1.49%
NetEase
Inc
ADR
3,016‌
771‌
Tech
Mahindra
Ltd
57,372‌
588‌
$
1,359‌
Telecommunications
-
2.67%
Accton
Technology
Corp
162,000‌
688‌
China
Mobile
Ltd
108,000‌
983‌
China
Telecom
Corp
Ltd
1,056,000‌
532‌
KT
Corp
9,162‌
225‌
$
2,428‌
Textiles
-
0.40%
Cia
Hering
46,100‌
360‌
Transportation
-
0.81%
Hyundai
Glovis
Co
Ltd
5,284‌
738‌
Water
-
0.36%
Guangdong
Investment
Ltd
168,000‌
332‌
TOTAL
COMMON
STOCKS
$
87,975‌
INVESTMENT
COMPANIES
-
1.39%
Shares
Held
Value
(000's)
Money
Market
Funds
-
1.39%
Principal
Government
Money
Market
Fund
2.23%
(b),(c)
1,262,106‌
1,262‌
TOTAL
INVESTMENT
COMPANIES
$
1,262‌
PREFERRED
STOCKS
-
1.80%
Shares
Held
Value
(000's)
Banks
-
0.94%
Banco
Bradesco
SA
0.19%
86,660‌
$
854‌
Oil
&
Gas
-
0.86%
Petroleo
Brasileiro
SA
0.02%
110,000‌
78
1‌
TOTAL
PREFERRED
STOCKS
$
1,63
5‌
Total
Investments
$
90,87
2‌
Other
Assets
and
Liabilities
-  0.07%
6
4‌
TOTAL
NET
ASSETS
-
100.00%
$
90,936‌
(a)
Non-income
producing
security
(b)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(c)
Current
yield
shown
is
as
of
period
end.
Portfolio
Summary
(unaudited)
Country
Percent
China
28.22‌%
India
12.36‌%
Korea,
Republic
Of
11.40‌%
Taiwan,
Province
Of
China
10.33‌%
Brazil
8.09‌%
Russian
Federation
5.49‌%
South
Africa
5.17‌%
Thailand
4.87‌%
Hong
Kong
2.90‌%
Mexico
2.72‌%
Indonesia
2.02‌%
United
States
1.39‌%
Hungary
1.24‌%
Australia
0.78‌%
Peru
0.77‌%
Poland
0.69‌%
Argentina
0.58‌%
United
Arab
Emirates
0.49‌%
United
Kingdom
0.42‌%
Other
Assets
and
Liabilities
0.07‌%
TOTAL
NET
ASSETS
100.00%
Schedule
of
Investments
International
Emerging
Markets
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
142
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Principal
Government
Money
Market
Fund
2.23%
$
2,711‌
$
23,287‌
$
24,736‌
$
1,262‌
$
2,711‌
$
23,287‌
$
24,736‌
$
1,262‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Principal
Government
Money
Market
Fund
2.23%
$
18‌
$
—‌
$
—‌
$
—‌
$
18‌
$
—‌
$
—‌
$
—‌
Amounts
in
thousands
Schedule
of
Investments
LargeCap
Growth
Account
I
June
30,
2019
(unaudited)
See
accompanying
notes.
143
COMMON
STOCKS
-
97.97%
Shares
Held
Value
(000's)
Advertising
-
0.02%
Interpublic
Group
of
Cos
Inc
/The
201‌
$
5‌
Omnicom
Group
Inc
455‌
37‌
Trade
Desk
Inc
/The
(a)
167‌
38‌
$
80‌
Aerospace
&
Defense
-
3.10%
Boeing
Co/The
29,209‌
10,632‌
General
Dynamics
Corp
245‌
45‌
Harris
Corp
443‌
84‌
HEICO
Corp
181‌
24‌
HEICO
Corp
-
Class
A
329‌
34‌
Lockheed
Martin
Corp
1,017‌
370‌
Northrop
Grumman
Corp
7,214‌
2,331‌
Raytheon
Co
831‌
145‌
Spirit
AeroSystems
Holdings
Inc
11,989‌
975‌
TransDigm
Group
Inc
(a)
158‌
76‌
$
14,716‌
Agriculture
-
0.43%
Altria
Group
Inc
4,151‌
196‌
Philip
Morris
International
Inc
23,389‌
1,837‌
$
2,033‌
Airlines
-
0.02%
Alaska
Air
Group
Inc
259‌
17‌
Delta
Air
Lines
Inc
325‌
18‌
Southwest
Airlines
Co
1,184‌
60‌
United
Airlines
Holdings
Inc
(a)
239‌
21‌
$
116‌
Apparel
-
0.51%
Capri
Holdings
Ltd
(a)
308‌
11‌
Carter's
Inc
121‌
12‌
Columbia
Sportswear
Co
115‌
11‌
Hanesbrands
Inc
1,251‌
22‌
NIKE
Inc
26,973‌
2,264‌
VF
Corp
853‌
74‌
$
2,394‌
Automobile
Manufacturers
-
0.26%
PACCAR
Inc
15,682‌
1,124‌
Tesla
Inc
(a),(b)
389‌
87‌
$
1,211‌
Automobile
Parts
&
Equipment
-
0.63%
Allison
Transmission
Holdings
Inc
546‌
25‌
Aptiv
PLC
36,094‌
2,918‌
WABCO
Holdings
Inc
(a)
182‌
24‌
$
2,967‌
Banks
-
0.30%
CIT
Group
Inc
53‌
3‌
Comerica
Inc
52‌
4‌
Morgan
Stanley
32,104‌
1,406‌
Signature
Bank/New
York
NY
108‌
13‌
SVB
Financial
Group
(a)
19‌
4‌
Synovus
Financial
Corp
76‌
3‌
Western
Alliance
Bancorp
(a)
63‌
3‌
$
1,436‌
Beverages
-
1.33%
Brown-Forman
Corp
-
A
Shares
177‌
10‌
Brown-Forman
Corp
-
B
Shares
91,536‌
5,074‌
Coca-Cola
Co/The
10,349‌
527‌
Monster
Beverage
Corp
(a)
1,447‌
92‌
PepsiCo
Inc
4,616‌
605‌
$
6,308‌
Biotechnology
-
1.14%
Alexion
Pharmaceuticals
Inc
(a)
9,053‌
1,186‌
Alnylam
Pharmaceuticals
Inc
(a)
331‌
24‌
Amgen
Inc
2,103‌
388‌
Biogen
Inc
(a)
249‌
58‌
BioMarin
Pharmaceutical
Inc
(a)
668‌
57‌
Celgene
Corp
(a)
2,633‌
243‌
Exact
Sciences
Corp
(a)
477‌
56‌
Exelixis
Inc
(a)
457‌
10‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Biotechnology
(continued)
Gilead
Sciences
Inc
689‌
$
47‌
Guardant
Health
Inc
(a)
169‌
15‌
Illumina
Inc
(a)
406‌
150‌
Incyte
Corp
(a)
664‌
56‌
Ionis
Pharmaceuticals
Inc
(a)
478‌
31‌
Moderna
Inc
(a),(b)
100‌
2‌
Regeneron
Pharmaceuticals
Inc
(a)
64‌
20‌
Sage
Therapeutics
Inc
(a)
188‌
34‌
Seattle
Genetics
Inc
(a)
408‌
28‌
Vertex
Pharmaceuticals
Inc
(a)
16,384‌
3,004‌
$
5,409‌
Building
Materials
-
0.03%
Armstrong
World
Industries
Inc
228‌
22‌
Fortune
Brands
Home
&
Security
Inc
224‌
13‌
Lennox
International
Inc
139‌
38‌
Martin
Marietta
Materials
Inc
81‌
19‌
Vulcan
Materials
Co
468‌
64‌
$
156‌
Chemicals
-
1.52%
Air
Products
&
Chemicals
Inc
171‌
39‌
Axalta
Coating
Systems
Ltd
(a)
311‌
9‌
Ecolab
Inc
1,009‌
199‌
NewMarket
Corp
32‌
13‌
PPG
Industries
Inc
389‌
45‌
RPM
International
Inc
122‌
8‌
Sherwin-Williams
Co/The
14,916‌
6,836‌
Versum
Materials
Inc
471‌
24‌
WR
Grace
&
Co
253‌
19‌
$
7,192‌
Commercial
Services
-
5.99%
Automatic
Data
Processing
Inc
1,205‌
199‌
Avalara
Inc
(a)
237‌
17‌
Booz
Allen
Hamilton
Holding
Corp
606‌
40‌
Bright
Horizons
Family
Solutions
Inc
(a)
244‌
37‌
Cintas
Corp
28,611‌
6,789‌
CoreLogic
Inc
/United
States
(a)
95‌
4‌
CoStar
Group
Inc
(a)
143‌
79‌
Euronet
Worldwide
Inc
(a)
225‌
38‌
FleetCor
Technologies
Inc
(a)
12,076‌
3,392‌
Gartner
Inc
(a)
350‌
56‌
Global
Payments
Inc
18,464‌
2,957‌
Grand
Canyon
Education
Inc
(a)
37‌
4‌
H&R
Block
Inc
273‌
8‌
IHS
Markit
Ltd
(a)
1,017‌
65‌
MarketAxess
Holdings
Inc
138‌
44‌
Moody's
Corp
456‌
89‌
Morningstar
Inc
78‌
11‌
Paylocity
Holding
Corp
(a)
185‌
17‌
PayPal
Holdings
Inc
(a)
107,294‌
12,281‌
Quanta
Services
Inc
222‌
9‌
Robert
Half
International
Inc
499‌
28‌
Rollins
Inc
642‌
23‌
S&P
Global
Inc
683‌
156‌
Sabre
Corp
311‌
7‌
Service
Corp
International/US
305‌
14‌
Total
System
Services
Inc
13,905‌
1,784‌
TransUnion
769‌
57‌
Verisk
Analytics
Inc
635‌
93‌
WEX
Inc
(a)
182‌
38‌
Worldpay
Inc
(a)
583‌
71‌
$
28,407‌
Computers
-
2.85%
Accenture
PLC
-
Class
A
1,768‌
327‌
Apple
Inc
34,467‌
6,822‌
Cognizant
Technology
Solutions
Corp
123‌
8‌
Dell
Technologies
Inc
(a)
479‌
24‌
EPAM
Systems
Inc
(a)
230‌
40‌
Fortinet
Inc
(a)
611‌
47‌
Genpact
Ltd
153,993‌
5,865‌
Schedule
of
Investments
LargeCap
Growth
Account
I
June
30,
2019
(unaudited)
See
accompanying
notes.
144
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Computers
(continued)
HP
Inc
5,210‌
$
108‌
International
Business
Machines
Corp
1,489‌
205‌
NCR
Corp
(a)
559‌
18‌
NetApp
Inc
1,003‌
62‌
$
13,526‌
Consumer
Products
-
0.03%
Avery
Dennison
Corp
325‌
38‌
Church
&
Dwight
Co
Inc
920‌
67‌
Clorox
Co/The
389‌
59‌
$
164‌
Cosmetics
&
Personal
Care
-
1.43%
Estee
Lauder
Cos
Inc
/The
36,505‌
6,685‌
Procter
&
Gamble
Co/The
795‌
87‌
$
6,772‌
Distribution
&
Wholesale
-
0.04%
Copart
Inc
(a)
800‌
60‌
Fastenal
Co
2,046‌
67‌
LKQ
Corp
(a)
276‌
7‌
Pool
Corp
168‌
32‌
$
166‌
Diversified
Financial
Services
-
6.04%
American
Express
Co
1,640‌
202‌
Ameriprise
Financial
Inc
77‌
11‌
Cboe
Global
Markets
Inc
107‌
11‌
Charles
Schwab
Corp/The
71,433‌
2,871‌
Credit
Acceptance
Corp
(a)
36‌
17‌
Discover
Financial
Services
440‌
34‌
E*TRADE
Financial
Corp
182‌
8‌
Evercore
Inc
-
Class
A
64‌
6‌
Intercontinental
Exchange
Inc
22,752‌
1,956‌
Lazard
Ltd
174‌
6‌
LPL
Financial
Holdings
Inc
325‌
27‌
Mastercard
Inc
4,025‌
1,065‌
Raymond
James
Financial
Inc
123‌
10‌
SEI
Investments
Co
242‌
14‌
Synchrony
Financial
735‌
26‌
T
Rowe
Price
Group
Inc
255‌
28‌
TD
Ameritrade
Holding
Corp
27,750‌
1,385‌
Virtu
Financial
Inc
95‌
2‌
Visa
Inc
120,838‌
20,971‌
Western
Union
Co/The
619‌
12‌
$
28,662‌
Electric
-
0.34%
Sempra
Energy
11,660‌
1,603‌
Electrical
Components
&
Equipment
-
0.03%
AMETEK
Inc
738‌
67‌
Emerson
Electric
Co
678‌
45‌
Hubbell
Inc
150‌
20‌
$
132‌
Electronics
-
3.20%
Agilent
Technologies
Inc
169‌
13‌
Allegion
PLC
315‌
35‌
Amphenol
Corp
60,766‌
5,830‌
FLIR
Systems
Inc
124‌
7‌
Fortive
Corp
92,296‌
7,524‌
Honeywell
International
Inc
8,373‌
1,462‌
Jabil
Inc
240‌
8‌
Keysight
Technologies
Inc
(a)
751‌
67‌
Mettler
-Toledo
International
Inc
(a)
97‌
81‌
National
Instruments
Corp
129‌
5‌
PerkinElmer
Inc
128‌
12‌
Sensata
Technologies
Holding
PLC
(a)
322‌
16‌
Trimble
Inc
(a)
254‌
11‌
Waters
Corp
(a)
275‌
59‌
Woodward
Inc
212‌
24‌
$
15,154‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Entertainment
-
0.01%
Live
Nation
Entertainment
Inc
(a)
497‌
$
33‌
Madison
Square
Garden
Co/The
(a)
9‌
2‌
Vail
Resorts
Inc
142‌
32‌
$
67‌
Environmental
Control
-
0.41%
Republic
Services
Inc
113‌
10‌
Waste
Connections
Inc
18,553‌
1,773‌
Waste
Management
Inc
1,518‌
175‌
$
1,958‌
Food
-
0.07%
Campbell
Soup
Co
356‌
14‌
Hershey
Co/The
472‌
63‌
Kellogg
Co
353‌
19‌
Lamb
Weston
Holdings
Inc
141‌
9‌
McCormick
&
Co
Inc
/MD
297‌
46‌
Pilgrim's
Pride
Corp
(a)
70‌
2‌
Post
Holdings
Inc
(a)
109‌
11‌
Sprouts
Farmers
Market
Inc
(a)
208‌
4‌
Sysco
Corp
2,257‌
160‌
TreeHouse
Foods
Inc
(a)
35‌
2‌
$
330‌
Hand
&
Machine
Tools
-
0.00%
Lincoln
Electric
Holdings
Inc
271‌
22‌
Healthcare
-
Products
-
9.43%
Abbott
Laboratories
3,562‌
300‌
Align
Technology
Inc
(a)
307‌
84‌
Avantor
Inc
(a)
73,352‌
1,400‌
Baxter
International
Inc
629‌
52‌
Becton
Dickinson
and
Co
15,317‌
3,860‌
Bio-
Techne
Corp
160‌
33‌
Boston
Scientific
Corp
(a)
3,849‌
165‌
Bruker
Corp
493‌
25‌
Cooper
Cos
Inc
/The
40‌
14‌
Danaher
Corp
53,845‌
7,696‌
Edwards
Lifesciences
Corp
(a)
28,898‌
5,338‌
Henry
Schein
Inc
(a)
148‌
10‌
Hill-Rom
Holdings
Inc
175‌
18‌
Hologic
Inc
(a)
895‌
43‌
IDEXX
Laboratories
Inc
(a)
334‌
92‌
Intuitive
Surgical
Inc
(a)
22,191‌
11,640‌
Masimo
Corp
(a)
209‌
31‌
ResMed
Inc
561‌
69‌
STERIS
PLC
53‌
8‌
Stryker
Corp
24,038‌
4,941‌
Teleflex
Inc
184‌
61‌
Thermo
Fisher
Scientific
Inc
29,822‌
8,758‌
Varian
Medical
Systems
Inc
(a)
378‌
52‌
West
Pharmaceutical
Services
Inc
244‌
31‌
$
44,721‌
Healthcare
-
Services
-
2.12%
Anthem
Inc
6,900‌
1,947‌
Centene
Corp
(a)
19,262‌
1,011‌
Charles
River
Laboratories
International
Inc
(a)
209‌
30‌
Chemed
Corp
73‌
26‌
Encompass
Health
Corp
254‌
16‌
HCA
Healthcare
Inc
25,311‌
3,421‌
Humana
Inc
161‌
43‌
IQVIA
Holdings
Inc
(a)
212‌
34‌
Laboratory
Corp
of
America
Holdings
(a)
51‌
9‌
Molina
Healthcare
Inc
(a)
212‌
30‌
UnitedHealth
Group
Inc
9,900‌
2,416‌
WellCare
Health
Plans
Inc
(a)
3,699‌
1,054‌
$
10,037‌
Home
Builders
-
0.02%
Lennar
Corp
-
A
Shares
517‌
25‌
Lennar
Corp
-
B
Shares
141‌
5‌
NVR
Inc
(a)
13‌
44‌
$
74‌
Schedule
of
Investments
LargeCap
Growth
Account
I
June
30,
2019
(unaudited)
See
accompanying
notes.
145
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Home
Furnishings
-
0.00%
Dolby
Laboratories
Inc
91‌
$
6‌
Tempur
Sealy
International
Inc
(a)
200‌
15‌
$
21‌
Housewares
-
0.01%
Scotts
Miracle-
Gro
Co/The
173‌
17‌
Toro
Co/The
476‌
32‌
$
49‌
Insurance
-
0.13%
Alleghany
Corp
(a)
7‌
5‌
Aon
PLC
989‌
191‌
Arch
Capital
Group
Ltd
(a)
228‌
8‌
Arthur
J
Gallagher
&
Co
154‌
14‌
Athene
Holding
Ltd
(a)
261‌
11‌
Axis
Capital
Holdings
Ltd
46‌
3‌
Brown
&
Brown
Inc
66‌
2‌
Erie
Indemnity
Co
64‌
16‌
Everest
Re
Group
Ltd
51‌
13‌
Kemper
Corp
56‌
5‌
Marsh
&
McLennan
Cos
Inc
1,893‌
189‌
Primerica
Inc
122‌
15‌
Progressive
Corp/The
1,113‌
89‌
RenaissanceRe
Holdings
Ltd
68‌
12‌
Travelers
Cos
Inc
/The
384‌
57‌
Voya
Financial
Inc
57‌
3‌
$
633‌
Internet
-
19.65%
Alibaba
Group
Holding
Ltd
ADR
(a)
51,450‌
8,718‌
Alphabet
Inc
-
A
Shares
(a)
9,965‌
10,790‌
Alphabet
Inc
-
C
Shares
(a)
10,933‌
11,818‌
Amazon.com
Inc
(a)
15,889‌
30,088‌
Anaplan
Inc
(a)
361‌
18‌
Booking
Holdings
Inc
(a)
4,289‌
8,041‌
CDW
Corp/DE
585‌
65‌
eBay
Inc
3,320‌
131‌
Etsy
Inc
(a)
497‌
30‌
Expedia
Group
Inc
471‌
63‌
F5
Networks
Inc
(a)
242‌
35‌
Facebook
Inc
(a)
66,152‌
12,768‌
GoDaddy
Inc
(a)
695‌
49‌
IAC/InterActiveCorp
(a)
7,247‌
1,577‌
Match
Group
Inc
230‌
15‌
Netflix
Inc
(a)
8,989‌
3,302‌
Okta
Inc
(a)
423‌
52‌
Palo
Alto
Networks
Inc
(a)
359‌
73‌
RingCentral
Inc
(a)
309‌
35‌
Roku
Inc
(a)
328‌
30‌
Spotify
Technology
SA
(a)
444‌
65‌
Tencent
Holdings
Ltd
ADR
104,382‌
4,724‌
TripAdvisor
Inc
(a)
375‌
17‌
Twitter
Inc
(a)
2,848‌
99‌
Uber
Technologies
Inc
(a),(c)
9,331‌
433‌
VeriSign
Inc
(a)
301‌
63‌
Zendesk
Inc
(a)
447‌
40‌
Zscaler
Inc
(a)
310‌
24‌
$
93,163‌
Leisure
Products
&
Services
-
0.01%
Norwegian
Cruise
Line
Holdings
Ltd
(a)
212‌
11‌
Planet
Fitness
Inc
(a)
367‌
27‌
Polaris
Industries
Inc
230‌
21‌
$
59‌
Lodging
-
0.77%
Choice
Hotels
International
Inc
103‌
9‌
Hilton
Grand
Vacations
Inc
(a)
112‌
4‌
Hilton
Worldwide
Holdings
Inc
23,515‌
2,299‌
Las
Vegas
Sands
Corp
21,005‌
1,241‌
Marriott
International
Inc
/MD
770‌
108‌
Wyndham
Hotels
&
Resorts
Inc
152‌
8‌
$
3,669‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Machinery
-
Construction
&
Mining
-
0.82%
BWX
Technologies
Inc
74,267‌
$
3,869‌
Caterpillar
Inc
121‌
17‌
$
3,886‌
Machinery
-
Diversified
-
1.86%
Cognex
Corp
657‌
32‌
Deere
&
Co
97‌
16‌
Dover
Corp
287‌
29‌
Graco
Inc
726‌
36‌
IDEX
Corp
174‌
30‌
Middleby
Corp/The
(a)
242‌
33‌
Nordson
Corp
230‌
33‌
Rockwell
Automation
Inc
473‌
77‌
Roper
Technologies
Inc
23,137‌
8,474‌
Xylem
Inc
/NY
716‌
60‌
$
8,820‌
Media
-
0.20%
Altice
USA
Inc
(a)
1,253‌
31‌
AMC
Networks
Inc
(a)
185‌
10‌
Cable
One
Inc
17‌
20‌
CBS
Corp
1,150‌
57‌
Charter
Communications
Inc
(a)
260‌
103‌
Comcast
Corp
-
Class
A
14,368‌
607‌
FactSet
Research
Systems
Inc
141‌
40‌
Fox
Corp
-
A
Shares
169‌
6‌
Fox
Corp
-
B
Shares
103‌
4‌
New
York
Times
Co/The
153‌
5‌
Nexstar
Media
Group
Inc
146‌
15‌
Sinclair
Broadcast
Group
Inc
240‌
13‌
Sirius
XM
Holdings
Inc
(b)
5,509‌
31‌
World
Wrestling
Entertainment
Inc
178‌
13‌
$
955‌
Miscellaneous
Manufacturers
-
0.14%
3M
Co
1,187‌
206‌
AO
Smith
Corp
159‌
8‌
AptarGroup
Inc
120‌
15‌
Carlisle
Cos
Inc
219‌
31‌
Donaldson
Co
Inc
555‌
28‌
Hexcel
Corp
361‌
29‌
Illinois
Tool
Works
Inc
1,442‌
217‌
Ingersoll-Rand
PLC
1,112‌
141‌
$
675‌
Office
&
Business
Equipment
-
0.01%
Zebra
Technologies
Corp
(a)
222‌
46‌
Oil
&
Gas
-
0.23%
Anadarko
Petroleum
Corp
492‌
35‌
Cabot
Oil
&
Gas
Corp
978‌
22‌
Concho
Resources
Inc
9,430‌
973‌
Diamondback
Energy
Inc
127‌
14‌
Parsley
Energy
Inc
(a)
576‌
11‌
Pioneer
Natural
Resources
Co
268‌
41‌
$
1,096‌
Packaging
&
Containers
-
0.03%
Ball
Corp
1,277‌
89‌
Berry
Global
Group
Inc
(a)
252‌
13‌
Crown
Holdings
Inc
(a)
330‌
20‌
Sealed
Air
Corp
111‌
5‌
$
127‌
Pharmaceuticals
-
4.73%
AbbVie
Inc
5,542‌
403‌
Agios
Pharmaceuticals
Inc
(a)
21‌
1‌
AmerisourceBergen
Corp
629‌
54‌
Bristol-Myers
Squibb
Co
1,860‌
84‌
Cigna
Corp
22,352‌
3,522‌
DexCom
Inc
(a)
41,685‌
6,246‌
Eli
Lilly
&
Co
11,744‌
1,301‌
Herbalife
Nutrition
Ltd
(a)
58‌
2‌
Horizon
Therapeutics
Plc
(a)
296‌
7‌
Jazz
Pharmaceuticals
PLC
(a)
213‌
30‌
Schedule
of
Investments
LargeCap
Growth
Account
I
June
30,
2019
(unaudited)
See
accompanying
notes.
146
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Pharmaceuticals
(continued)
Johnson
&
Johnson
1,975‌
$
275‌
McKesson
Corp
118‌
16‌
Merck
&
Co
Inc
9,942‌
834‌
Neurocrine
Biosciences
Inc
(a)
338‌
29‌
PRA
Health
Sciences
Inc
(a)
262‌
26‌
Sarepta
Therapeutics
Inc
(a)
264‌
40‌
Zoetis
Inc
84,210‌
9,557‌
$
22,427‌
Pipelines
-
0.01%
Cheniere
Energy
Inc
(a)
501‌
34‌
Equitrans
Midstream
Corp
77‌
2‌
ONEOK
Inc
491‌
34‌
$
70‌
REITs
-
2.07%
American
Homes
4
Rent
563‌
14‌
American
Tower
Corp
1,918‌
392‌
Americold
Realty
Trust
824‌
27‌
Brookfield
Property
REIT
Inc
533‌
10‌
CoreSite
Realty
Corp
125‌
14‌
Crown
Castle
International
Corp
1,957‌
255‌
Equinix
Inc
232‌
117‌
Equity
LifeStyle
Properties
Inc
350‌
42‌
Extra
Space
Storage
Inc
407‌
43‌
Lamar
Advertising
Co
361‌
29‌
Outfront
Media
Inc
174‌
5‌
Public
Storage
311‌
74‌
SBA
Communications
Corp
(a)
38,433‌
8,641‌
Simon
Property
Group
Inc
755‌
121‌
Sun
Communities
Inc
104‌
13‌
UDR
Inc
102‌
5‌
$
9,802‌
Retail
-
4.47%
Advance
Auto
Parts
Inc
88‌
14‌
AutoZone
Inc
(a)
100‌
110‌
Best
Buy
Co
Inc
245‌
17‌
Burlington
Stores
Inc
(a)
266‌
45‌
CarMax
Inc
(a)
320‌
28‌
Casey's
General
Stores
Inc
34‌
5‌
Chipotle
Mexican
Grill
Inc
(a)
99‌
73‌
Costco
Wholesale
Corp
18,759‌
4,957‌
Darden
Restaurants
Inc
497‌
60‌
Dollar
General
Corp
21,723‌
2,936‌
Dollar
Tree
Inc
(a)
509‌
55‌
Domino's
Pizza
Inc
165‌
46‌
Dunkin'
Brands
Group
Inc
342‌
27‌
Five
Below
Inc
(a)
232‌
28‌
Home
Depot
Inc
/The
2,400‌
499‌
L
Brands
Inc
267‌
7‌
Lowe's
Cos
Inc
3,078‌
311‌
Lululemon
Athletica
Inc
(a)
461‌
83‌
McDonald's
Corp
6,798‌
1,411‌
Nordstrom
Inc
536‌
17‌
Ollie's
Bargain
Outlet
Holdings
Inc
(a)
238‌
21‌
O'Reilly
Automotive
Inc
(a)
313‌
116‌
Restaurant
Brands
International
Inc
21,346‌
1,484‌
Ross
Stores
Inc
24,682‌
2,447‌
Starbucks
Corp
4,650‌
390‌
Target
Corp
204‌
18‌
TJX
Cos
Inc
/The
106,773‌
5,646‌
Tractor
Supply
Co
492‌
53‌
Ulta
Beauty
Inc
(a)
223‌
77‌
Wendy's
Co/The
918‌
18‌
Williams-Sonoma
Inc
101‌
7‌
Yum
China
Holdings
Inc
1,179‌
54‌
Yum!
Brands
Inc
1,102‌
122‌
$
21,182‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Semiconductors
-
2.21%
Advanced
Micro
Devices
Inc
(a)
2,775‌
$
84‌
Analog
Devices
Inc
138‌
16‌
Applied
Materials
Inc
1,409‌
63‌
ASML
Holding
NV
-
NY
Reg
Shares
7,497‌
1,559‌
Broadcom
Inc
1,070‌
308‌
Cree
Inc
(a)
65‌
4‌
Entegris
Inc
602‌
22‌
KLA-Tencor
Corp
644‌
76‌
Lam
Research
Corp
1,038‌
195‌
Marvell
Technology
Group
Ltd
68,561‌
1,637‌
Maxim
Integrated
Products
Inc
20,599‌
1,232‌
NVIDIA
Corp
1,618‌
266‌
NXP
Semiconductors
NV
44,440‌
4,338‌
QUALCOMM
Inc
3,372‌
257‌
Skyworks
Solutions
Inc
57‌
4‌
Teradyne
Inc
740‌
35‌
Texas
Instruments
Inc
2,601‌
298‌
Xilinx
Inc
704‌
83‌
$
10,477‌
Shipbuilding
-
0.01%
Huntington
Ingalls
Industries
Inc
137‌
31‌
Software
-
18.43%
Activision
Blizzard
Inc
114‌
5‌
Adobe
Inc
(a)
19,920‌
5,869‌
Akamai
Technologies
Inc
(a)
608‌
49‌
Alteryx
Inc
(a)
227‌
25‌
ANSYS
Inc
(a)
336‌
69‌
Aspen
Technology
Inc
(a)
303‌
38‌
Atlassian
Corp
PLC
(a)
1,913‌
251‌
Autodesk
Inc
(a)
41,647‌
6,784‌
Black
Knight
Inc
(a)
605‌
36‌
Broadridge
Financial
Solutions
Inc
472‌
60‌
Cadence
Design
Systems
Inc
(a)
1,132‌
80‌
CDK
Global
Inc
527‌
26‌
Ceridian
HCM
Holding
Inc
(a)
297‌
15‌
Cerner
Corp
1,281‌
94‌
Citrix
Systems
Inc
469‌
46‌
Coupa
Software
Inc
(a)
276‌
35‌
Dropbox
Inc
-
A
Shares
(a)
938‌
23‌
Electronic
Arts
Inc
(a)
72,553‌
7,347‌
Fair
Isaac
Corp
(a)
128‌
40‌
Fidelity
National
Information
Services
Inc
9,690‌
1,188‌
First
Data
Corp
(a)
2,310‌
63‌
Fiserv
Inc
(a)
1,086‌
99‌
HubSpot
Inc
(a)
184‌
31‌
Intuit
Inc
47,396‌
12,386‌
Jack
Henry
&
Associates
Inc
272‌
36‌
Manhattan
Associates
Inc
(a)
330‌
23‌
Medidata
Solutions
Inc
(a)
282‌
26‌
Microsoft
Corp
209,801‌
28,105‌
MongoDB
Inc
(a)
114‌
17‌
MSCI
Inc
310‌
74‌
New
Relic
Inc
(a)
211‌
18‌
Oracle
Corp
11,572‌
659‌
Paychex
Inc
1,272‌
105‌
Paycom
Software
Inc
(a)
211‌
48‌
Pegasystems
Inc
199‌
14‌
RealPage
Inc
(a)
345‌
20‌
Red
Hat
Inc
(a)
13,106‌
2,461‌
salesforce.com
Inc
(a)
61,290‌
9,300‌
ServiceNow
Inc
(a)
7,477‌
2,053‌
Smartsheet
Inc
(a)
419‌
20‌
SolarWinds
Corp
(a)
294‌
5‌
Splunk
Inc
(a)
17,016‌
2,140‌
SS&C
Technologies
Holdings
Inc
830‌
48‌
Synopsys
Inc
(a)
606‌
78‌
Tableau
Software
Inc
(a)
314‌
52‌
Take-Two
Interactive
Software
Inc
(a)
200‌
23‌
Temenos
AG
ADR
3,668‌
655‌
Schedule
of
Investments
LargeCap
Growth
Account
I
June
30,
2019
(unaudited)
See
accompanying
notes.
147
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Software
(continued)
Tencent
Music
Entertainment
Group
ADR
(a),(b)
70,967‌
$
1,064‌
Teradata
Corp
(a)
528‌
19‌
Twilio
Inc
(a)
467‌
64‌
Veeva
Systems
Inc
(a)
503‌
82‌
VMware
Inc
20,346‌
3,402‌
Workday
Inc
(a)
10,000‌
2,056‌
Zoom
Video
Communications
Inc
(a)
590‌
52‌
Zynga
Inc
(a)
951‌
6‌
$
87,384‌
Telecommunications
-
0.28%
Arista
Networks
Inc
(a)
232‌
60‌
Cisco
Systems
Inc
18,382‌
1,006‌
Corning
Inc
1,013‌
34‌
Motorola
Solutions
Inc
1,050‌
175‌
Switch
Inc
457‌
6‌
T-Mobile
US
Inc
(a)
631‌
47‌
Ubiquiti
Networks
Inc
(b)
76‌
10‌
$
1,338‌
Toys,
Games
&
Hobbies
-
0.01%
Hasbro
Inc
456‌
48‌
Transportation
-
0.39%
CH
Robinson
Worldwide
Inc
433‌
37‌
CSX
Corp
1,488‌
115‌
Expeditors
International
of
Washington
Inc
523‌
40‌
Genesee
&
Wyoming
Inc
(a)
74‌
7‌
JB
Hunt
Transport
Services
Inc
9,453‌
864‌
Landstar
System
Inc
171‌
18‌
Norfolk
Southern
Corp
302‌
60‌
Old
Dominion
Freight
Line
Inc
134‌
20‌
Union
Pacific
Corp
2,853‌
483‌
United
Parcel
Service
Inc
1,936‌
200‌
$
1,844‌
Water
-
0.20%
American
Water
Works
Co
Inc
8,002‌
928‌
TOTAL
COMMON
STOCKS
$
464,543‌
INVESTMENT
COMPANIES
-
2.08%
Shares
Held
Value
(000's)
Money
Market
Funds
-
1.99%
BlackRock
Liquidity
FedFund
2.26%
(d),(e)
1,142,852‌
1,14
3‌
Principal
Government
Money
Market
Fund
2.23%
(d),(f)
8,311,899‌
8,31
2‌
$
9,45
5‌
Principal
Exchange-Traded
Funds
-
0.09%
Principal
Millennials
Index
ETF
(f)
4,789‌
183‌
Principal
Price
Setters
Index
ETF
(f)
1,616‌
61‌
Principal
Sustainable
Momentum
Index
ETF
(f)
749‌
21‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
(b),(f)
5,280‌
154‌
$
419‌
TOTAL
INVESTMENT
COMPANIES
$
9,87
4‌
PREFERRED
STOCKS
-
0.11%
Shares
Held
Value
(000's)
Software
-
0.08%
Magic
Leap
Inc
-
Series
C
0.00%
(a),(c),(g),(h)
5,653‌
$
153‌
Magic
Leap
Inc
-
Series
D
0.00%
(a),(c),(h)
1,903‌
51‌
UIPATH
Inc
Ser
D-1
0.00%
(a),(c),(h)
4,548‌
179‌
UIPATH
Inc
Ser
D-2
0.00%
(a),(c),(h)
764‌
30‌
$
413‌
Telecommunications
-
0.03%
Aurora
Innovation
0.00%
(a),(c),(h)
12,920‌
119‌
TOTAL
PREFERRED
STOCKS
$
532‌
CONVERTIBLE
PREFERRED
STOCKS
-
0.13%
Shares
Held
Value
(000's)
Internet
-
0.13%
Airbnb
Inc
-
Series
D
0.00%
(a),(c),(g),(h)
3,936‌
$
464‌
Airbnb
Inc
-
Series
E
0.00%
(a),(c),(g),(h)
1,119‌
132‌
$
596‌
TOTAL
CONVERTIBLE
PREFERRED
STOCKS
$
596‌
Total
Investments
$
475,545‌
Other
Assets
and
Liabilities
-  (0.29)%
(1,357‌)
TOTAL
NET
ASSETS
-
100.00%
$
474,188‌
(a)
Non-income
producing
security
(b)
Security
or
a
portion
of
the
security
was
on
loan
at
the
end
of
the
period.
(c)
Restricted
Security.
Please
see
Restricted
Security
Sub-Schedule
for
more
information.
(d)
Current
yield
shown
is
as
of
period
end.
(e)
Security
or
a
portion
of
the
security
was
pledged
as
collateral
for
securities
lending.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$1,143
or
0.24%
of
net
assets.
(f)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(g)
The
value
of
these
investments
was
determined
using
significant
unobservable
inputs.
(h)
Fair
value
of
these
investments
is
determined
in
good
faith
by
the
Manager
under
procedures
established
and
periodically
reviewed
by
the
Board
of
Directors.
Certain
inputs
used
in
the
valuation
may
be
unobservable;
however,
each
security
is
evaluated
individually
for
purposes
of
ASC
820
which
results
in
not
all
securities
being
identified
as
Level
3
of
the
fair
value
hierarchy.
At
the
end
of
the
period,
the
fair
value
of
these
securities
totaled
$1,128
or
0.24%
of
net
assets.
Portfolio
Summary
(unaudited)
Sector
Percent
Consumer,
Non-cyclical
26.70‌%
Technology
23.58‌%
Communications
20.31‌%
Industrial
10.02‌%
Financial
8.54‌%
Consumer,
Cyclical
6.76‌%
Money
Market
Funds
1.99‌%
Basic
Materials
1.52‌%
Utilities
0.54‌%
Energy
0.24‌%
Domestic
Equity
Funds
0.09‌%
Other
Assets
and
Liabilities
(0.29‌)%
TOTAL
NET
ASSETS
100.00%
Schedule
of
Investments
LargeCap
Growth
Account
I
June
30,
2019
(unaudited)
See
accompanying
notes.
148
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Principal
Government
Money
Market
Fund
2.23%
$
6,022‌
$
56,01
4‌
$
53,724‌
$
8,31
2‌
Principal
Millennials
Index
ETF
150‌
—‌
—‌
183‌
Principal
Price
Setters
Index
ETF
50‌
—‌
—‌
61‌
Principal
Sustainable
Momentum
Index
ETF
18‌
—‌
—‌
21‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
132‌
—‌
—‌
154‌
$
6,372‌
$
56,01
4‌
$
53,724‌
$
8,73
1‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Principal
Government
Money
Market
Fund
2.23%
$
82‌
$
—‌
$
—‌
$
—‌
Principal
Millennials
Index
ETF
—‌
—‌
—‌
33‌
Principal
Price
Setters
Index
ETF
—‌
—‌
—‌
11‌
Principal
Sustainable
Momentum
Index
ETF
—‌
—‌
—‌
3‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
1‌
—‌
—‌
22‌
$
83‌
$
—‌
$
—‌
$
69‌
Amounts
in
thousands
Restricted
Securities
Security
Name
Acquisition
Date
Cost
Value
Percent
of
Net
Assets
Airbnb
Inc
-
Series
D  
0.00%
04/16/2014
$
160‌
$
464‌
0.10%
Airbnb
Inc
-
Series
E  
0.00%
07/14/2015
104‌
132‌
0.03%
Aurora
Innovation  
0.00%
03/01/2019
119‌
119‌
0.03%
Magic
Leap
Inc
-
Series
C  
0.00%
01/20/2016
13
0‌
153‌
0.02%
Magic
Leap
Inc
-
Series
D  
0.00%
10/12/2017
51‌
51‌
0.01%
Uber
Technologies
Inc
12/05/2014-1/16/2018
362‌
433‌
0.09%
UIPATH
Inc
Ser
D-1  
0.00%
04/26/2019
179‌
179‌
0.04%
UIPATH
Inc
Ser
D-2  
0.00%
04/26/2019
30‌
30‌
0.01%
Total
$
1,561‌
0.33%
Amounts
in
thousands.
Futures
Contracts
Description
and
Expiration
Date
Type
Contracts
Notional
Amount
Value
and
Unrealized
Appreciation/(Depreciation)
S&P
500
Emini
;
September
2019
Long
18‌
$
2,650‌
$
17‌
Total
$
17‌
Amounts
in
thousands
except
contracts.
Schedule
of
Investments
LargeCap
S&P
500
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
149
COMMON
STOCKS
-
99.41%
Shares
Held
Value
(000's)
Advertising
-
0.11%
Interpublic
Group
of
Cos
Inc
/The
40,674‌
$
919‌
Omnicom
Group
Inc
23,138‌
1,896‌
$
2,815‌
Aerospace
&
Defense
-
2.50%
Arconic
Inc
41,961‌
1,083‌
Boeing
Co/The
54,988‌
20,016‌
General
Dynamics
Corp
28,536‌
5,188‌
Harris
Corp
12,413‌
2,348‌
L3
Technologies
Inc
8,349‌
2,047‌
Lockheed
Martin
Corp
25,832‌
9,391‌
Northrop
Grumman
Corp
17,844‌
5,766‌
Raytheon
Co
29,272‌
5,090‌
TransDigm
Group
Inc
(a)
5,141‌
2,487‌
United
Technologies
Corp
85,242‌
11,099‌
$
64,515‌
Agriculture
-
0.95%
Altria
Group
Inc
196,615‌
9,310‌
Archer-Daniels-Midland
Co
58,867‌
2,402‌
Philip
Morris
International
Inc
163,499‌
12,839‌
$
24,551‌
Airlines
-
0.40%
Alaska
Air
Group
Inc
12,979‌
829‌
American
Airlines
Group
Inc
41,606‌
1,357‌
Delta
Air
Lines
Inc
62,606‌
3,553‌
Southwest
Airlines
Co
51,364‌
2,608‌
United
Airlines
Holdings
Inc
(a)
23,228‌
2,034‌
$
10,381‌
Apparel
-
0.72%
Capri
Holdings
Ltd
(a)
15,863‌
550‌
Hanesbrands
Inc
37,987‌
654‌
NIKE
Inc
132,069‌
11,087‌
PVH
Corp
7,873‌
745‌
Ralph
Lauren
Corp
5,485‌
623‌
Tapestry
Inc
30,490‌
968‌
Under
Armour
Inc
-
Class
A
(a)
19,758‌
501‌
Under
Armour
Inc
-
Class
C
(a)
20,415‌
453‌
VF
Corp
34,224‌
2,990‌
$
18,571‌
Automobile
Manufacturers
-
0.47%
Ford
Motor
Co
411,816‌
4,213‌
General
Motors
Co
138,625‌
5,341‌
PACCAR
Inc
36,407‌
2,609‌
$
12,163‌
Automobile
Parts
&
Equipment
-
0.12%
Aptiv
PLC
27,096‌
2,190‌
BorgWarner
Inc
21,781‌
914‌
$
3,104‌
Banks
-
6.26%
Bank
of
America
Corp
929,275‌
26,949‌
Bank
of
New
York
Mellon
Corp/The
92,575‌
4,087‌
BB&T
Corp
80,490‌
3,955‌
Citigroup
Inc
243,018‌
17,019‌
Citizens
Financial
Group
Inc
48,169‌
1,703‌
Comerica
Inc
16,201‌
1,177‌
Fifth
Third
Bancorp
76,417‌
2,132‌
First
Republic
Bank/CA
17,316‌
1,691‌
Goldman
Sachs
Group
Inc
/The
35,755‌
7,315‌
Huntington
Bancshares
Inc
/OH
109,970‌
1,520‌
JPMorgan
Chase
&
Co
340,911‌
38,114‌
KeyCorp
105,961‌
1,881‌
M&T
Bank
Corp
14,358‌
2,442‌
Morgan
Stanley
134,358‌
5,886‌
Northern
Trust
Corp
22,875‌
2,059‌
PNC
Financial
Services
Group
Inc
/The
47,442‌
6,513‌
Regions
Financial
Corp
106,481‌
1,591‌
State
Street
Corp
39,216‌
2,198‌
SunTrust
Banks
Inc
46,641‌
2,931‌
SVB
Financial
Group
(a)
5,499‌
1,235‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Banks
(continued)
US
Bancorp
157,272‌
$
8,241‌
Wells
Fargo
&
Co
425,081‌
20,115‌
Zions
Bancorp
NA
19,186‌
882‌
$
161,636‌
Beverages
-
1.86%
Brown-Forman
Corp
-
B
Shares
17,481‌
969‌
Coca-Cola
Co/The
403,494‌
20,546‌
Constellation
Brands
Inc
17,572‌
3,461‌
Molson
Coors
Brewing
Co
19,734‌
1,105‌
Monster
Beverage
Corp
(a)
41,129‌
2,625‌
PepsiCo
Inc
147,317‌
19,318‌
$
48,024‌
Biotechnology
-
2.04%
Alexion
Pharmaceuticals
Inc
(a)
23,565‌
3,086‌
Amgen
Inc
64,099‌
11,812‌
Biogen
Inc
(a)
20,377‌
4,766‌
Celgene
Corp
(a)
74,115‌
6,851‌
Corteva
Inc
78,693‌
2,327‌
Gilead
Sciences
Inc
133,628‌
9,028‌
Illumina
Inc
(a)
15,448‌
5,687‌
Incyte
Corp
(a)
18,704‌
1,589‌
Regeneron
Pharmaceuticals
Inc
(a)
8,264‌
2,587‌
Vertex
Pharmaceuticals
Inc
(a)
26,915‌
4,936‌
$
52,669‌
Building
Materials
-
0.35%
Fortune
Brands
Home
&
Security
Inc
14,701‌
840‌
Johnson
Controls
International
plc
83,629‌
3,455‌
Martin
Marietta
Materials
Inc
6,565‌
1,511‌
Masco
Corp
30,849‌
1,210‌
Vulcan
Materials
Co
13,881‌
1,906‌
$
8,922‌
Chemicals
-
1.91%
Air
Products
&
Chemicals
Inc
23,133‌
5,237‌
Albemarle
Corp
11,135‌
784‌
Celanese
Corp
13,306‌
1,434‌
CF
Industries
Holdings
Inc
23,234‌
1,085‌
Dow
Inc
78,694‌
3,880‌
DuPont
de
Nemours
Inc
78,691‌
5,907‌
Eastman
Chemical
Co
14,564‌
1,133‌
Ecolab
Inc
26,656‌
5,263‌
FMC
Corp
13,836‌
1,148‌
International
Flavors
&
Fragrances
Inc
10,651‌
1,545‌
Linde
PLC
57,040‌
11,454‌
LyondellBasell
Industries
NV
31,912‌
2,749‌
Mosaic
Co/The
37,299‌
934‌
PPG
Industries
Inc
24,812‌
2,896‌
Sherwin-Williams
Co/The
8,538‌
3,913‌
$
49,362‌
Commercial
Services
-
2.10%
Automatic
Data
Processing
Inc
45,738‌
7,562‌
Cintas
Corp
8,901‌
2,112‌
Equifax
Inc
12,697‌
1,717‌
FleetCor
Technologies
Inc
(a)
9,058‌
2,544‌
Gartner
Inc
(a)
9,467‌
1,524‌
Global
Payments
Inc
16,467‌
2,637‌
H&R
Block
Inc
21,365‌
626‌
IHS
Markit
Ltd
(a)
38,228‌
2,436‌
MarketAxess
Holdings
Inc
3,959‌
1,273‌
Moody's
Corp
17,335‌
3,386‌
Nielsen
Holdings
PLC
37,358‌
844‌
PayPal
Holdings
Inc
(a)
123,474‌
14,133‌
Quanta
Services
Inc
14,931‌
570‌
Robert
Half
International
Inc
12,451‌
710‌
Rollins
Inc
15,489‌
555‌
S&P
Global
Inc
25,861‌
5,891‌
Total
System
Services
Inc
17,109‌
2,194‌
United
Rentals
Inc
(a)
8,263‌
1,096‌
Verisk
Analytics
Inc
17,199‌
2,519‌
$
54,329‌
Schedule
of
Investments
LargeCap
S&P
500
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
150
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Computers
-
5.12%
Accenture
PLC
-
Class
A
67,030‌
$
12,385‌
Apple
Inc
459,352‌
90,915‌
Cognizant
Technology
Solutions
Corp
59,827‌
3,792‌
DXC
Technology
Co
28,192‌
1,555‌
Fortinet
Inc
(a)
15,253‌
1,172‌
Hewlett
Packard
Enterprise
Co
140,732‌
2,104‌
HP
Inc
158,297‌
3,291‌
International
Business
Machines
Corp
93,177‌
12,849‌
NetApp
Inc
25,954‌
1,601‌
Seagate
Technology
PLC
26,476‌
1,248‌
Western
Digital
Corp
30,791‌
1,464‌
$
132,376‌
Consumer
Products
-
0.38%
Avery
Dennison
Corp
8,871‌
1,026‌
Church
&
Dwight
Co
Inc
25,875‌
1,890‌
Clorox
Co/The
13,386‌
2,050‌
Kimberly-Clark
Corp
36,129‌
4,815‌
$
9,781‌
Cosmetics
&
Personal
Care
-
1.55%
Colgate-Palmolive
Co
90,221‌
6,466‌
Coty
Inc
31,585‌
423‌
Estee
Lauder
Cos
Inc
/The
23,043‌
4,220‌
Procter
&
Gamble
Co/The
(b)
263,601‌
28,904‌
$
40,013‌
Distribution
&
Wholesale
-
0.22%
Copart
Inc
(a)
21,188‌
1,584‌
Fastenal
Co
60,144‌
1,960‌
LKQ
Corp
(a)
32,997‌
878‌
WW
Grainger
Inc
4,720‌
1,266‌
$
5,688‌
Diversified
Financial
Services
-
4.34%
Affiliated
Managers
Group
Inc
5,381‌
496‌
Alliance
Data
Systems
Corp
4,735‌
663‌
American
Express
Co
71,963‌
8,883‌
Ameriprise
Financial
Inc
14,073‌
2,043‌
BlackRock
Inc
12,504‌
5,868‌
Capital
One
Financial
Corp
49,350‌
4,478‌
Cboe
Global
Markets
Inc
11,740‌
1,217‌
Charles
Schwab
Corp/The
124,863‌
5,018‌
CME
Group
Inc
37,619‌
7,302‌
Discover
Financial
Services
34,021‌
2,640‌
E*TRADE
Financial
Corp
25,713‌
1,147‌
Franklin
Resources
Inc
30,936‌
1,077‌
Intercontinental
Exchange
Inc
59,257‌
5,093‌
Invesco
Ltd
42,097‌
861‌
Jefferies
Financial
Group
Inc
26,628‌
512‌
Mastercard
Inc
94,453‌
24,986‌
Nasdaq
Inc
12,189‌
1,172‌
Raymond
James
Financial
Inc
13,280‌
1,123‌
Synchrony
Financial
66,646‌
2,311‌
T
Rowe
Price
Group
Inc
24,851‌
2,726‌
Visa
Inc
182,751‌
31,716‌
Western
Union
Co/The
45,264‌
900‌
$
112,232‌
Electric
-
3.11%
AES
Corp/VA
69,751‌
1,169‌
Alliant
Energy
Corp
24,832‌
1,219‌
Ameren
Corp
25,809‌
1,938‌
American
Electric
Power
Co
Inc
51,855‌
4,564‌
CenterPoint
Energy
Inc
52,773‌
1,511‌
CMS
Energy
Corp
29,819‌
1,727‌
Consolidated
Edison
Inc
34,375‌
3,014‌
Dominion
Energy
Inc
84,320‌
6,520‌
DTE
Energy
Co
19,253‌
2,462‌
Duke
Energy
Corp
76,510‌
6,751‌
Edison
International
34,239‌
2,308‌
Entergy
Corp
19,959‌
2,054‌
Evergy
Inc
25,653‌
1,543‌
Eversource
Energy
33,744‌
2,556‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Electric
(continued)
Exelon
Corp
102,037‌
$
4,892‌
FirstEnergy
Corp
53,056‌
2,271‌
NextEra
Energy
Inc
50,331‌
10,311‌
NRG
Energy
Inc
28,076‌
986‌
Pinnacle
West
Capital
Corp
11,799‌
1,110‌
PPL
Corp
75,848‌
2,352‌
Public
Service
Enterprise
Group
Inc
53,115‌
3,124‌
Sempra
Energy
28,835‌
3,963‌
Southern
Co/The
109,381‌
6,047‌
WEC
Energy
Group
Inc
33,149‌
2,764‌
Xcel
Energy
Inc
54,087‌
3,218‌
$
80,374‌
Electrical
Components
&
Equipment
-
0.25%
AMETEK
Inc
23,943‌
2,175‌
Emerson
Electric
Co
64,590‌
4,309‌
$
6,484‌
Electronics
-
1.33%
Agilent
Technologies
Inc
33,208‌
2,479‌
Allegion
PLC
9,873‌
1,091‌
Amphenol
Corp
31,393‌
3,012‌
FLIR
Systems
Inc
14,231‌
770‌
Fortive
Corp
30,989‌
2,526‌
Garmin
Ltd
12,742‌
1,017‌
Honeywell
International
Inc
76,478‌
13,352‌
Keysight
Technologies
Inc
(a)
19,774‌
1,776‌
Mettler
-Toledo
International
Inc
(a)
2,606‌
2,189‌
PerkinElmer
Inc
11,656‌
1,123‌
TE
Connectivity
Ltd
35,402‌
3,391‌
Waters
Corp
(a)
7,302‌
1,572‌
$
34,298‌
Engineering
&
Construction
-
0.04%
Jacobs
Engineering
Group
Inc
12,060‌
1,018‌
Environmental
Control
-
0.28%
Pentair
PLC
16,619‌
618‌
Republic
Services
Inc
22,643‌
1,962‌
Waste
Management
Inc
41,059‌
4,737‌
$
7,317‌
Food
-
1.25%
Campbell
Soup
Co
20,254‌
812‌
Conagra
Brands
Inc
51,064‌
1,354‌
General
Mills
Inc
62,927‌
3,305‌
Hershey
Co/The
14,638‌
1,962‌
Hormel
Foods
Corp
28,611‌
1,160‌
JM
Smucker
Co/The
11,953‌
1,377‌
Kellogg
Co
26,122‌
1,399‌
Kraft
Heinz
Co/The
65,383‌
2,030‌
Kroger
Co/The
84,774‌
1,840‌
Lamb
Weston
Holdings
Inc
15,371‌
974‌
McCormick
&
Co
Inc
/MD
12,868‌
1,995‌
Mondelez
International
Inc
151,375‌
8,159‌
Sysco
Corp
49,692‌
3,514‌
Tyson
Foods
Inc
30,981‌
2,501‌
$
32,382‌
Forest
Products
&
Paper
-
0.07%
International
Paper
Co
41,756‌
1,809‌
Gas
-
0.09%
Atmos
Energy
Corp
12,294‌
1,298‌
NiSource
Inc
39,209‌
1,129‌
$
2,427‌
Hand
&
Machine
Tools
-
0.13%
Snap-on
Inc
5,822‌
964‌
Stanley
Black
&
Decker
Inc
15,924‌
2,303‌
$
3,267‌
Healthcare
-
Products
-
4.04%
Abbott
Laboratories
185,398‌
15,592‌
ABIOMED
Inc
(a)
4,742‌
1,235‌
Align
Technology
Inc
(a)
7,651‌
2,094‌
Baxter
International
Inc
49,861‌
4,084‌
Schedule
of
Investments
LargeCap
S&P
500
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
151
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Healthcare
-
Products
(continued)
Becton
Dickinson
and
Co
28,346‌
$
7,143‌
Boston
Scientific
Corp
(a)
146,144‌
6,281‌
Cooper
Cos
Inc
/The
5,200‌
1,752‌
Danaher
Corp
66,209‌
9,463‌
DENTSPLY
SIRONA
Inc
24,588‌
1,435‌
Edwards
Lifesciences
Corp
(a)
21,911‌
4,048‌
Henry
Schein
Inc
(a)
15,667‌
1,095‌
Hologic
Inc
(a)
28,169‌
1,353‌
IDEXX
Laboratories
Inc
(a)
9,038‌
2,488‌
Intuitive
Surgical
Inc
(a)
12,132‌
6,364‌
Medtronic
PLC
140,894‌
13,722‌
ResMed
Inc
15,069‌
1,839‌
Stryker
Corp
32,544‌
6,690‌
Teleflex
Inc
4,850‌
1,606‌
Thermo
Fisher
Scientific
Inc
42,035‌
12,345‌
Varian
Medical
Systems
Inc
(a)
9,557‌
1,301‌
Zimmer
Biomet
Holdings
Inc
21,522‌
2,534‌
$
104,464‌
Healthcare
-
Services
-
1.98%
Anthem
Inc
27,028‌
7,627‌
Centene
Corp
(a)
43,440‌
2,278‌
DaVita
Inc
(a)
13,290‌
748‌
HCA
Healthcare
Inc
28,059‌
3,793‌
Humana
Inc
14,190‌
3,764‌
IQVIA
Holdings
Inc
(a)
16,582‌
2,668‌
Laboratory
Corp
of
America
Holdings
(a)
10,351‌
1,790‌
Quest
Diagnostics
Inc
14,121‌
1,438‌
UnitedHealth
Group
Inc
99,872‌
24,370‌
Universal
Health
Services
Inc
8,711‌
1,136‌
WellCare
Health
Plans
Inc
(a)
5,287‌
1,507‌
$
51,119‌
Home
Builders
-
0.15%
DR
Horton
Inc
35,687‌
1,539‌
Lennar
Corp
-
A
Shares
29,996‌
1,454‌
PulteGroup
Inc
26,794‌
847‌
$
3,840‌
Home
Furnishings
-
0.06%
Leggett
&
Platt
Inc
13,795‌
529‌
Whirlpool
Corp
6,657‌
948‌
$
1,477‌
Housewares
-
0.02%
Newell
Brands
Inc
40,906‌
631‌
Insurance
-
4.17%
Aflac
Inc
78,342‌
4,294‌
Allstate
Corp/The
35,006‌
3,560‌
American
International
Group
Inc
91,402‌
4,870‌
Aon
PLC
25,276‌
4,878‌
Arthur
J
Gallagher
&
Co
19,468‌
1,705‌
Assurant
Inc
6,460‌
687‌
Berkshire
Hathaway
Inc
-
Class
B
(a)
203,644‌
43,411‌
Chubb
Ltd
48,117‌
7,087‌
Cincinnati
Financial
Corp
15,943‌
1,653‌
Everest
Re
Group
Ltd
4,280‌
1,058‌
Hartford
Financial
Services
Group
Inc
/The
37,990‌
2,117‌
Lincoln
National
Corp
21,265‌
1,371‌
Loews
Corp
28,196‌
1,541‌
Marsh
&
McLennan
Cos
Inc
53,737‌
5,360‌
MetLife
Inc
99,875‌
4,961‌
Principal
Financial
Group
Inc
27,223‌
1,577‌
Progressive
Corp/The
61,371‌
4,905‌
Prudential
Financial
Inc
42,667‌
4,309‌
Torchmark
Corp
10,629‌
951‌
Travelers
Cos
Inc
/The
27,524‌
4,115‌
Unum
Group
22,267‌
747‌
Willis
Towers
Watson
PLC
13,581‌
2,601‌
$
107,758‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Internet
-
9.22%
Alphabet
Inc
-
A
Shares
(a)
31,467‌
$
34,072‌
Alphabet
Inc
-
C
Shares
(a)
32,207‌
34,813‌
Amazon.com
Inc
(a)
43,461‌
82,299‌
Booking
Holdings
Inc
(a)
4,550‌
8,530‌
eBay
Inc
86,094‌
3,401‌
Expedia
Group
Inc
12,435‌
1,654‌
F5
Networks
Inc
(a)
6,273‌
914‌
Facebook
Inc
(a)
252,483‌
48,729‌
Netflix
Inc
(a)
45,947‌
16,877‌
Symantec
Corp
64,967‌
1,414‌
TripAdvisor
Inc
(a)
10,877‌
504‌
Twitter
Inc
(a)
76,736‌
2,678‌
VeriSign
Inc
(a)
11,022‌
2,305‌
$
238,190‌
Iron
&
Steel
-
0.07%
Nucor
Corp
32,030‌
1,765‌
Leisure
Products
&
Services
-
0.23%
Carnival
Corp
42,078‌
1,958‌
Harley-Davidson
Inc
16,717‌
599‌
Norwegian
Cruise
Line
Holdings
Ltd
(a)
22,636‌
1,214‌
Royal
Caribbean
Cruises
Ltd
18,066‌
2,190‌
$
5,961‌
Lodging
-
0.38%
Hilton
Worldwide
Holdings
Inc
30,588‌
2,990‌
Marriott
International
Inc
/MD
29,045‌
4,075‌
MGM
Resorts
International
53,631‌
1,532‌
Wynn
Resorts
Ltd
10,182‌
1,262‌
$
9,859‌
Machinery
-
Construction
&
Mining
-
0.32%
Caterpillar
Inc
60,099‌
8,191‌
Machinery
-
Diversified
-
0.74%
Cummins
Inc
15,226‌
2,609‌
Deere
&
Co
33,314‌
5,520‌
Dover
Corp
15,272‌
1,530‌
Flowserve
Corp
13,781‌
726‌
Rockwell
Automation
Inc
12,439‌
2,038‌
Roper
Technologies
Inc
10,912‌
3,997‌
Wabtec
Corp
17,001‌
1,220‌
Xylem
Inc
/NY
18,909‌
1,582‌
$
19,222‌
Media
-
2.36%
CBS
Corp
36,986‌
1,846‌
Charter
Communications
Inc
(a)
18,079‌
7,144‌
Comcast
Corp
-
Class
A
475,990‌
20,125‌
Discovery
Inc
-
A
Shares
(a)
16,588‌
509‌
Discovery
Inc
-
C
Shares
(a)
37,890‌
1,078‌
DISH
Network
Corp
(a)
24,247‌
931‌
Fox
Corp
-
A
Shares
37,238‌
1,364‌
Fox
Corp
-
B
Shares
17,063‌
623‌
News
Corp
-
A
Shares
40,515‌
547‌
News
Corp
-
B
Shares
13,007‌
182‌
Viacom
Inc
-
B
Shares
37,164‌
1,110‌
Walt
Disney
Co/The
183,456‌
25,618‌
$
61,077‌
Mining
-
0.20%
Freeport-McMoRan
Inc
152,447‌
1,770‌
Newmont
Goldcorp
Corp
86,135‌
3,313‌
$
5,083‌
Miscellaneous
Manufacturers
-
1.40%
3M
Co
60,576‌
10,500‌
AO
Smith
Corp
14,833‌
700‌
Eaton
Corp
PLC
44,463‌
3,703‌
General
Electric
Co
916,472‌
9,623‌
Illinois
Tool
Works
Inc
31,497‌
4,750‌
Ingersoll-Rand
PLC
25,344‌
3,210‌
Parker-Hannifin
Corp
13,482‌
2,292‌
Textron
Inc
24,462‌
1,297‌
$
36,075‌
Schedule
of
Investments
LargeCap
S&P
500
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
152
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Office
&
Business
Equipment
-
0.03%
Xerox
Corp
20,538‌
$
727‌
Oil
&
Gas
-
4.16%
Anadarko
Petroleum
Corp
52,767‌
3,723‌
Apache
Corp
39,505‌
1,145‌
Cabot
Oil
&
Gas
Corp
44,483‌
1,021‌
Chevron
Corp
200,187‌
24,911‌
Cimarex
Energy
Co
10,659‌
632‌
Concho
Resources
Inc
21,080‌
2,175‌
ConocoPhillips
118,770‌
7,245‌
Devon
Energy
Corp
43,634‌
1,244‌
Diamondback
Energy
Inc
16,267‌
1,773‌
EOG
Resources
Inc
60,986‌
5,682‌
Exxon
Mobil
Corp
444,646‌
34,073‌
Helmerich
&
Payne
Inc
11,613‌
588‌
Hess
Corp
26,786‌
1,703‌
HollyFrontier
Corp
16,510‌
764‌
Marathon
Oil
Corp
85,955‌
1,221‌
Marathon
Petroleum
Corp
69,635‌
3,891‌
Noble
Energy
Inc
50,258‌
1,126‌
Occidental
Petroleum
Corp
78,609‌
3,953‌
Phillips
66
43,895‌
4,106‌
Pioneer
Natural
Resources
Co
17,699‌
2,723‌
Valero
Energy
Corp
43,847‌
3,754‌
$
107,453‌
Oil
&
Gas
Services
-
0.44%
Baker
Hughes
a
GE
Co
54,111‌
1,333‌
Halliburton
Co
91,846‌
2,089‌
National
Oilwell
Varco
Inc
40,556‌
901‌
Schlumberger
Ltd
145,562‌
5,785‌
TechnipFMC
PLC
44,262‌
1,148‌
$
11,256‌
Packaging
&
Containers
-
0.27%
Amcor
PLC
(a)
170,570‌
1,960‌
Ball
Corp
35,178‌
2,462‌
Packaging
Corp
of
America
9,930‌
947‌
Sealed
Air
Corp
16,362‌
700‌
Westrock
Co
27,012‌
985‌
$
7,054‌
Pharmaceuticals
-
5.76%
AbbVie
Inc
155,358‌
11,298‌
Allergan
PLC
32,382‌
5,422‌
AmerisourceBergen
Corp
16,345‌
1,393‌
Bristol-Myers
Squibb
Co
171,898‌
7,795‌
Cardinal
Health
Inc
31,323‌
1,475‌
Cigna
Corp
39,877‌
6,283‌
CVS
Health
Corp
136,521‌
7,439‌
Eli
Lilly
&
Co
90,802‌
10,060‌
Johnson
&
Johnson
279,020‌
38,862‌
McKesson
Corp
19,964‌
2,683‌
Merck
&
Co
Inc
270,570‌
22,687‌
Mylan
NV
(a)
54,170‌
1,031‌
Nektar
Therapeutics
(a)
18,317‌
652‌
Perrigo
Co
PLC
13,148‌
626‌
Pfizer
Inc
583,440‌
25,275‌
Zoetis
Inc
50,302‌
5,709‌
$
148,690‌
Pipelines
-
0.42%
Kinder
Morgan
Inc
/DE
204,591‌
4,272‌
ONEOK
Inc
43,376‌
2,984‌
Williams
Cos
Inc
/The
127,345‌
3,571‌
$
10,827‌
Real
Estate
-
0.07%
CBRE
Group
Inc
(a)
32,865‌
1,686‌
REITs
-
2.97%
Alexandria
Real
Estate
Equities
Inc
11,868‌
1,674‌
American
Tower
Corp
46,452‌
9,497‌
Apartment
Investment
&
Management
Co
15,641‌
784‌
AvalonBay
Communities
Inc
14,649‌
2,976‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
REITs
(continued)
Boston
Properties
Inc
16,238‌
$
2,095‌
Crown
Castle
International
Corp
43,690‌
5,695‌
Digital
Realty
Trust
Inc
21,888‌
2,578‌
Duke
Realty
Corp
37,772‌
1,194‌
Equinix
Inc
8,834‌
4,455‌
Equity
Residential
38,931‌
2,956‌
Essex
Property
Trust
Inc
6,906‌
2,016‌
Extra
Space
Storage
Inc
13,394‌
1,421‌
Federal
Realty
Investment
Trust
7,871‌
1,013‌
HCP
Inc
50,231‌
1,606‌
Host
Hotels
&
Resorts
Inc
77,860‌
1,419‌
Iron
Mountain
Inc
30,148‌
944‌
Kimco
Realty
Corp
44,352‌
820‌
Macerich
Co/The
11,132‌
373‌
Mid-America
Apartment
Communities
Inc
11,979‌
1,411‌
Prologis
Inc
66,290‌
5,310‌
Public
Storage
15,772‌
3,756‌
Realty
Income
Corp
33,084‌
2,282‌
Regency
Centers
Corp
17,561‌
1,172‌
SBA
Communications
Corp
(a)
11,901‌
2,676‌
Simon
Property
Group
Inc
32,471‌
5,188‌
SL
Green
Realty
Corp
8,861‌
712‌
UDR
Inc
29,613‌
1,329‌
Ventas
Inc
38,821‌
2,653‌
Vornado
Realty
Trust
18,242‌
1,169‌
Welltower
Inc
42,555‌
3,469‌
Weyerhaeuser
Co
78,269‌
2,062‌
$
76,705‌
Retail
-
5.45%
Advance
Auto
Parts
Inc
7,538‌
1,162‌
AutoZone
Inc
(a)
2,578‌
2,834‌
Best
Buy
Co
Inc
24,416‌
1,703‌
CarMax
Inc
(a)
17,466‌
1,517‌
Chipotle
Mexican
Grill
Inc
(a)
2,562‌
1,878‌
Costco
Wholesale
Corp
46,217‌
12,213‌
Darden
Restaurants
Inc
12,924‌
1,573‌
Dollar
General
Corp
27,148‌
3,669‌
Dollar
Tree
Inc
(a)
24,967‌
2,681‌
Foot
Locker
Inc
11,803‌
495‌
Gap
Inc
/The
22,244‌
400‌
Genuine
Parts
Co
15,349‌
1,590‌
Home
Depot
Inc
/The
115,630‌
24,048‌
Kohl's
Corp
17,028‌
810‌
L
Brands
Inc
24,103‌
629‌
Lowe's
Cos
Inc
82,277‌
8,303‌
Macy's
Inc
32,459‌
697‌
McDonald's
Corp
80,242‌
16,663‌
Nordstrom
Inc
11,052‌
352‌
O'Reilly
Automotive
Inc
(a)
8,226‌
3,038‌
Ross
Stores
Inc
38,615‌
3,827‌
Starbucks
Corp
127,286‌
10,670‌
Target
Corp
53,842‌
4,663‌
Tiffany
&
Co
11,355‌
1,063‌
TJX
Cos
Inc
/The
127,440‌
6,739‌
Tractor
Supply
Co
12,679‌
1,379‌
Ulta
Beauty
Inc
(a)
5,837‌
2,025‌
Walgreens
Boots
Alliance
Inc
81,672‌
4,465‌
Walmart
Inc
147,002‌
16,242‌
Yum!
Brands
Inc
32,155‌
3,559‌
$
140,887‌
Savings
&
Loans
-
0.03%
People's
United
Financial
Inc
41,445‌
695‌
Semiconductors
-
3.75%
Advanced
Micro
Devices
Inc
(a)
93,205‌
2,831‌
Analog
Devices
Inc
38,858‌
4,386‌
Applied
Materials
Inc
98,376‌
4,418‌
Broadcom
Inc
41,599‌
11,975‌
Intel
Corp
470,490‌
22,522‌
IPG
Photonics
Corp
(a)
3,741‌
577‌
Schedule
of
Investments
LargeCap
S&P
500
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
153
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Semiconductors
(continued)
KLA-Tencor
Corp
16,985‌
$
2,008‌
Lam
Research
Corp
15,756‌
2,960‌
Maxim
Integrated
Products
Inc
28,629‌
1,713‌
Microchip
Technology
Inc
25,003‌
2,168‌
Micron
Technology
Inc
(a)
116,303‌
4,488‌
NVIDIA
Corp
63,999‌
10,510‌
Qorvo
Inc
(a)
12,522‌
834‌
QUALCOMM
Inc
127,758‌
9,718‌
Skyworks
Solutions
Inc
18,149‌
1,402‌
Texas
Instruments
Inc
98,596‌
11,315‌
Xilinx
Inc
26,684‌
3,146‌
$
96,971‌
Shipbuilding
-
0.04%
Huntington
Ingalls
Industries
Inc
4,366‌
981‌
Software
-
7.71%
Activision
Blizzard
Inc
80,499‌
3,800‌
Adobe
Inc
(a)
51,278‌
15,109‌
Akamai
Technologies
Inc
(a)
17,245‌
1,382‌
ANSYS
Inc
(a)
8,820‌
1,807‌
Autodesk
Inc
(a)
23,079‌
3,760‌
Broadridge
Financial
Solutions
Inc
12,205‌
1,558‌
Cadence
Design
Systems
Inc
(a)
29,533‌
2,091‌
Cerner
Corp
34,198‌
2,507‌
Citrix
Systems
Inc
13,143‌
1,290‌
Electronic
Arts
Inc
(a)
31,176‌
3,157‌
Fidelity
National
Information
Services
Inc
34,032‌
4,175‌
Fiserv
Inc
(a)
41,241‌
3,760‌
Intuit
Inc
27,243‌
7,119‌
Jack
Henry
&
Associates
Inc
8,113‌
1,086‌
Microsoft
Corp
805,287‌
107,876‌
MSCI
Inc
8,898‌
2,125‌
Oracle
Corp
255,006‌
14,528‌
Paychex
Inc
33,614‌
2,766‌
Red
Hat
Inc
(a)
18,680‌
3,507‌
salesforce.com
Inc
(a)
81,607‌
12,382‌
Synopsys
Inc
(a)
15,752‌
2,027‌
Take-Two
Interactive
Software
Inc
(a)
11,828‌
1,343‌
$
199,155‌
Telecommunications
-
3.27%
Arista
Networks
Inc
(a)
5,556‌
1,442‌
AT&T
Inc
766,948‌
25,700‌
CenturyLink
Inc
100,831‌
1,186‌
Cisco
Systems
Inc
449,864‌
24,621‌
Corning
Inc
82,470‌
2,741‌
Juniper
Networks
Inc
36,186‌
964‌
Motorola
Solutions
Inc
17,317‌
2,887‌
Verizon
Communications
Inc
434,622‌
24,830‌
$
84,371‌
Textiles
-
0.04%
Mohawk
Industries
Inc
(a)
6,469‌
954‌
Toys,
Games
&
Hobbies
-
0.05%
Hasbro
Inc
12,167‌
1,286‌
Transportation
-
1.58%
CH
Robinson
Worldwide
Inc
14,351‌
1,211‌
CSX
Corp
80,784‌
6,250‌
Expeditors
International
of
Washington
Inc
18,075‌
1,371‌
FedEx
Corp
25,193‌
4,136‌
JB
Hunt
Transport
Services
Inc
9,141‌
836‌
Kansas
City
Southern
10,570‌
1,288‌
Norfolk
Southern
Corp
27,951‌
5,571‌
Union
Pacific
Corp
74,387‌
12,580‌
United
Parcel
Service
Inc
73,303‌
7,570‌
$
40,813‌
Water
-
0.08%
American
Water
Works
Co
Inc
18,970‌
2,200‌
TOTAL
COMMON
STOCKS
$
2,567,931‌
INVESTMENT
COMPANIES
-
0.55%
Shares
Held
Value
(000's)
Exchange-Traded
Funds
-
0.17%
iShares
Core
S&P
500
ETF
15,016‌
$
4,427‌
Money
Market
Funds
-
0.38%
Principal
Government
Money
Market
Fund
2.23%
(c),(d)
9,711,628‌
9,712‌
TOTAL
INVESTMENT
COMPANIES
$
14,139‌
Total
Investments
$
2,582,070‌
Other
Assets
and
Liabilities
-  0.04%
1,139‌
TOTAL
NET
ASSETS
-
100.00%
$
2,583,209‌
(a)
Non-income
producing
security
(b)
Security
or
a
portion
of
the
security
was
pledged
to
cover
margin
requirements
for
futures
contracts.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$1,135
or
0.04%
of
net
assets.
(c)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(d)
Current
yield
shown
is
as
of
period
end.
Portfolio
Summary
(unaudited)
Sector
Percent
Consumer,
Non-cyclical
21.91‌%
Financial
17.84‌%
Technology
16.61‌%
Communications
14.96‌%
Industrial
9.23‌%
Consumer,
Cyclical
8.31‌%
Energy
5.02‌%
Utilities
3.28‌%
Basic
Materials
2.25‌%
Money
Market
Funds
0.38‌%
Investment
Companies
0.17‌%
Other
Assets
and
Liabilities
0.04‌%
TOTAL
NET
ASSETS
100.00%
Schedule
of
Investments
LargeCap
S&P
500
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
154
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Principal
Government
Money
Market
Fund
2.23%
$
56,593‌
$
236,115‌
$
282,996‌
$
9,712‌
$
56,593‌
$
236,115‌
$
282,996‌
$
9,712‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Principal
Government
Money
Market
Fund
2.23%
$
317‌
$
—‌
$
—‌
$
—‌
$
317‌
$
—‌
$
—‌
$
—‌
Amounts
in
thousands
Futures
Contracts
Description
and
Expiration
Date
Type
Contracts
Notional
Amount
Value
and
Unrealized
Appreciation/(Depreciation)
S&P
500
Emini
;
September
2019
Long
58‌
$
8,538‌
$
118‌
Total
$
118‌
Amounts
in
thousands
except
contracts.
Schedule
of
Investments
LargeCap
S&P
500
Managed
Volatility
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
155
COMMON
STOCKS
-
93.74%
Shares
Held
Value
(000's)
Advertising
-
0.10%
Interpublic
Group
of
Cos
Inc
/The
3,249‌
$
73‌
Omnicom
Group
Inc
1,849‌
152‌
$
225‌
Aerospace
&
Defense
-
2.35%
Arconic
Inc
3,353‌
87‌
Boeing
Co/The
4,394‌
1,599‌
General
Dynamics
Corp
2,280‌
415‌
Harris
Corp
991‌
187‌
L3
Technologies
Inc
667‌
164‌
Lockheed
Martin
Corp
2,064‌
750‌
Northrop
Grumman
Corp
1,425‌
460‌
Raytheon
Co
2,339‌
407‌
TransDigm
Group
Inc
(a)
410‌
198‌
United
Technologies
Corp
6,811‌
887‌
$
5,154‌
Agriculture
-
0.90%
Altria
Group
Inc
15,710‌
744‌
Archer-Daniels-Midland
Co
4,703‌
192‌
Philip
Morris
International
Inc
13,064‌
1,026‌
$
1,962‌
Airlines
-
0.38%
Alaska
Air
Group
Inc
1,037‌
66‌
American
Airlines
Group
Inc
3,325‌
108‌
Delta
Air
Lines
Inc
5,003‌
284‌
Southwest
Airlines
Co
4,105‌
209‌
United
Airlines
Holdings
Inc
(a)
1,856‌
163‌
$
830‌
Apparel
-
0.68%
Capri
Holdings
Ltd
(a)
1,268‌
44‌
Hanesbrands
Inc
3,035‌
52‌
NIKE
Inc
10,552‌
886‌
PVH
Corp
630‌
60‌
Ralph
Lauren
Corp
439‌
50‌
Tapestry
Inc
2,436‌
77‌
Under
Armour
Inc
-
Class
A
(a)
1,578‌
40‌
Under
Armour
Inc
-
Class
C
(a)
1,631‌
36‌
VF
Corp
2,734‌
239‌
$
1,484‌
Automobile
Manufacturers
-
0.44%
Ford
Motor
Co
32,905‌
337‌
General
Motors
Co
11,076‌
427‌
PACCAR
Inc
2,909‌
208‌
$
972‌
Automobile
Parts
&
Equipment
-
0.11%
Aptiv
PLC
2,166‌
175‌
BorgWarner
Inc
1,740‌
73‌
$
248‌
Banks
-
5.90%
Bank
of
America
Corp
74,252‌
2,153‌
Bank
of
New
York
Mellon
Corp/The
7,397‌
327‌
BB&T
Corp
6,431‌
316‌
Citigroup
Inc
19,418‌
1,360‌
Citizens
Financial
Group
Inc
3,849‌
136‌
Comerica
Inc
1,295‌
94‌
Fifth
Third
Bancorp
6,106‌
170‌
First
Republic
Bank/CA
1,383‌
135‌
Goldman
Sachs
Group
Inc
/The
2,857‌
585‌
Huntington
Bancshares
Inc
/OH
8,786‌
121‌
JPMorgan
Chase
&
Co
27,240‌
3,046‌
KeyCorp
8,466‌
150‌
M&T
Bank
Corp
1,148‌
195‌
Morgan
Stanley
10,736‌
470‌
Northern
Trust
Corp
1,827‌
164‌
PNC
Financial
Services
Group
Inc
/The
3,791‌
520‌
Regions
Financial
Corp
8,509‌
127‌
State
Street
Corp
3,134‌
176‌
SunTrust
Banks
Inc
3,726‌
234‌
SVB
Financial
Group
(a)
440‌
99‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Banks
(continued)
US
Bancorp
12,567‌
$
659‌
Wells
Fargo
&
Co
33,966‌
1,607‌
Zions
Bancorp
NA
1,533‌
71‌
$
12,915‌
Beverages
-
1.75%
Brown-Forman
Corp
-
B
Shares
1,396‌
77‌
Coca-Cola
Co/The
32,240‌
1,642‌
Constellation
Brands
Inc
1,404‌
276‌
Molson
Coors
Brewing
Co
1,576‌
88‌
Monster
Beverage
Corp
(a)
3,286‌
210‌
PepsiCo
Inc
11,771‌
1,544‌
$
3,837‌
Biotechnology
-
1.92%
Alexion
Pharmaceuticals
Inc
(a)
1,882‌
247‌
Amgen
Inc
5,122‌
944‌
Biogen
Inc
(a)
1,629‌
381‌
Celgene
Corp
(a)
5,922‌
547‌
Corteva
Inc
6,287‌
186‌
Gilead
Sciences
Inc
10,677‌
721‌
Illumina
Inc
(a)
1,234‌
454‌
Incyte
Corp
(a)
1,494‌
127‌
Regeneron
Pharmaceuticals
Inc
(a)
660‌
207‌
Vertex
Pharmaceuticals
Inc
(a)
2,150‌
394‌
$
4,208‌
Building
Materials
-
0.33%
Fortune
Brands
Home
&
Security
Inc
1,175‌
67‌
Johnson
Controls
International
plc
6,683‌
276‌
Martin
Marietta
Materials
Inc
524‌
121‌
Masco
Corp
2,464‌
97‌
Vulcan
Materials
Co
1,109‌
152‌
$
713‌
Chemicals
-
1.80%
Air
Products
&
Chemicals
Inc
1,848‌
418‌
Albemarle
Corp
889‌
63‌
Celanese
Corp
1,064‌
115‌
CF
Industries
Holdings
Inc
1,857‌
87‌
Dow
Inc
6,288‌
310‌
DuPont
de
Nemours
Inc
6,287‌
472‌
Eastman
Chemical
Co
1,164‌
91‌
Ecolab
Inc
2,129‌
420‌
FMC
Corp
1,106‌
92‌
International
Flavors
&
Fragrances
Inc
851‌
123‌
Linde
PLC
4,558‌
915‌
LyondellBasell
Industries
NV
2,549‌
219‌
Mosaic
Co/The
2,980‌
75‌
PPG
Industries
Inc
1,982‌
231‌
Sherwin-Williams
Co/The
683‌
313‌
$
3,944‌
Commercial
Services
-
1.98%
Automatic
Data
Processing
Inc
3,654‌
604‌
Cintas
Corp
711‌
169‌
Equifax
Inc
1,014‌
137‌
FleetCor
Technologies
Inc
(a)
723‌
203‌
Gartner
Inc
(a)
756‌
122‌
Global
Payments
Inc
1,316‌
211‌
H&R
Block
Inc
1,708‌
50‌
IHS
Markit
Ltd
(a)
3,054‌
195‌
MarketAxess
Holdings
Inc
316‌
102‌
Moody's
Corp
1,386‌
271‌
Nielsen
Holdings
PLC
2,985‌
67‌
PayPal
Holdings
Inc
(a)
9,865‌
1,129‌
Quanta
Services
Inc
1,193‌
45‌
Robert
Half
International
Inc
995‌
57‌
Rollins
Inc
1,237‌
44‌
S&P
Global
Inc
2,067‌
471‌
Total
System
Services
Inc
1,367‌
175‌
United
Rentals
Inc
(a)
661‌
88‌
Verisk
Analytics
Inc
1,374‌
201‌
$
4,341‌
Schedule
of
Investments
LargeCap
S&P
500
Managed
Volatility
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
156
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Computers
-
4.83%
Accenture
PLC
-
Class
A
5,355‌
$
989‌
Apple
Inc
36,704‌
7,264‌
Cognizant
Technology
Solutions
Corp
4,781‌
303‌
DXC
Technology
Co
2,252‌
124‌
Fortinet
Inc
(a)
1,218‌
94‌
Hewlett
Packard
Enterprise
Co
11,245‌
168‌
HP
Inc
12,649‌
263‌
International
Business
Machines
Corp
7,445‌
1,027‌
NetApp
Inc
2,073‌
128‌
Seagate
Technology
PLC
2,116‌
100‌
Western
Digital
Corp
2,460‌
117‌
$
10,577‌
Consumer
Products
-
0.36%
Avery
Dennison
Corp
708‌
82‌
Church
&
Dwight
Co
Inc
2,067‌
151‌
Clorox
Co/The
1,070‌
164‌
Kimberly-Clark
Corp
2,886‌
384‌
$
781‌
Cosmetics
&
Personal
Care
-
1.46%
Colgate-Palmolive
Co
7,208‌
517‌
Coty
Inc
2,523‌
34‌
Estee
Lauder
Cos
Inc
/The
1,841‌
337‌
Procter
&
Gamble
Co/The
21,062‌
2,309‌
$
3,197‌
Distribution
&
Wholesale
-
0.21%
Copart
Inc
(a)
1,692‌
127‌
Fastenal
Co
4,805‌
157‌
LKQ
Corp
(a)
2,636‌
70‌
WW
Grainger
Inc
378‌
101‌
$
455‌
Diversified
Financial
Services
-
4.10%
Affiliated
Managers
Group
Inc
430‌
39‌
Alliance
Data
Systems
Corp
379‌
53‌
American
Express
Co
5,750‌
710‌
Ameriprise
Financial
Inc
1,125‌
163‌
BlackRock
Inc
1,000‌
469‌
Capital
One
Financial
Corp
3,943‌
358‌
Cboe
Global
Markets
Inc
938‌
97‌
Charles
Schwab
Corp/The
9,976‌
401‌
CME
Group
Inc
3,005‌
583‌
Discover
Financial
Services
2,719‌
211‌
E*TRADE
Financial
Corp
2,055‌
92‌
Franklin
Resources
Inc
2,471‌
86‌
Intercontinental
Exchange
Inc
4,735‌
407‌
Invesco
Ltd
3,363‌
69‌
Jefferies
Financial
Group
Inc
2,128‌
41‌
Mastercard
Inc
7,548‌
1,997‌
Nasdaq
Inc
973‌
93‌
Raymond
James
Financial
Inc
1,061‌
90‌
Synchrony
Financial
5,326‌
185‌
T
Rowe
Price
Group
Inc
1,985‌
218‌
Visa
Inc
14,603‌
2,534‌
Western
Union
Co/The
3,617‌
72‌
$
8,968‌
Electric
-
2.93%
AES
Corp/VA
5,573‌
93‌
Alliant
Energy
Corp
1,984‌
97‌
Ameren
Corp
2,062‌
155‌
American
Electric
Power
Co
Inc
4,143‌
364‌
CenterPoint
Energy
Inc
4,216‌
121‌
CMS
Energy
Corp
2,382‌
138‌
Consolidated
Edison
Inc
2,746‌
241‌
Dominion
Energy
Inc
6,737‌
521‌
DTE
Energy
Co
1,538‌
197‌
Duke
Energy
Corp
6,113‌
539‌
Edison
International
2,735‌
184‌
Entergy
Corp
1,594‌
164‌
Evergy
Inc
2,050‌
123‌
Eversource
Energy
2,696‌
204‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Electric
(continued)
Exelon
Corp
8,153‌
$
391‌
FirstEnergy
Corp
4,239‌
181‌
NextEra
Energy
Inc
4,021‌
824‌
NRG
Energy
Inc
2,244‌
79‌
Pinnacle
West
Capital
Corp
942‌
89‌
PPL
Corp
6,060‌
188‌
Public
Service
Enterprise
Group
Inc
4,244‌
250‌
Sempra
Energy
2,304‌
317‌
Southern
Co/The
8,739‌
483‌
WEC
Energy
Group
Inc
2,648‌
221‌
Xcel
Energy
Inc
4,321‌
257‌
$
6,421‌
Electrical
Components
&
Equipment
-
0.24%
AMETEK
Inc
1,913‌
174‌
Emerson
Electric
Co
5,160‌
344‌
$
518‌
Electronics
-
1.25%
Agilent
Technologies
Inc
2,654‌
198‌
Allegion
PLC
789‌
87‌
Amphenol
Corp
2,508‌
241‌
FLIR
Systems
Inc
1,137‌
61‌
Fortive
Corp
2,476‌
202‌
Garmin
Ltd
1,018‌
81‌
Honeywell
International
Inc
6,110‌
1,067‌
Keysight
Technologies
Inc
(a)
1,580‌
142‌
Mettler
-Toledo
International
Inc
(a)
209‌
175‌
PerkinElmer
Inc
931‌
90‌
TE
Connectivity
Ltd
2,829‌
271‌
Waters
Corp
(a)
584‌
126‌
$
2,741‌
Engineering
&
Construction
-
0.04%
Jacobs
Engineering
Group
Inc
964‌
81‌
Environmental
Control
-
0.27%
Pentair
PLC
1,327‌
49‌
Republic
Services
Inc
1,809‌
157‌
Waste
Management
Inc
3,280‌
379‌
$
585‌
Food
-
1.18%
Campbell
Soup
Co
1,618‌
65‌
Conagra
Brands
Inc
4,080‌
108‌
General
Mills
Inc
5,028‌
264‌
Hershey
Co/The
1,169‌
157‌
Hormel
Foods
Corp
2,286‌
92‌
JM
Smucker
Co/The
955‌
110‌
Kellogg
Co
2,088‌
112‌
Kraft
Heinz
Co/The
5,224‌
162‌
Kroger
Co/The
6,773‌
147‌
Lamb
Weston
Holdings
Inc
1,228‌
78‌
McCormick
&
Co
Inc
/MD
1,028‌
159‌
Mondelez
International
Inc
12,095‌
652‌
Sysco
Corp
3,970‌
281‌
Tyson
Foods
Inc
2,475‌
200‌
$
2,587‌
Forest
Products
&
Paper
-
0.07%
International
Paper
Co
3,337‌
145‌
Gas
-
0.09%
Atmos
Energy
Corp
982‌
104‌
NiSource
Inc
3,132‌
90‌
$
194‌
Hand
&
Machine
Tools
-
0.12%
Snap-on
Inc
465‌
77‌
Stanley
Black
&
Decker
Inc
1,272‌
184‌
$
261‌
Healthcare
-
Products
-
3.81%
Abbott
Laboratories
14,813‌
1,246‌
ABIOMED
Inc
(a)
378‌
98‌
Align
Technology
Inc
(a)
611‌
167‌
Baxter
International
Inc
3,985‌
326‌
Schedule
of
Investments
LargeCap
S&P
500
Managed
Volatility
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
157
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Healthcare
-
Products
(continued)
Becton
Dickinson
and
Co
2,264‌
$
571‌
Boston
Scientific
Corp
(a)
11,677‌
502‌
Cooper
Cos
Inc
/The
415‌
140‌
Danaher
Corp
5,290‌
756‌
DENTSPLY
SIRONA
Inc
1,964‌
115‌
Edwards
Lifesciences
Corp
(a)
1,750‌
323‌
Henry
Schein
Inc
(a)
1,252‌
88‌
Hologic
Inc
(a)
2,250‌
108‌
IDEXX
Laboratories
Inc
(a)
722‌
199‌
Intuitive
Surgical
Inc
(a)
969‌
508‌
Medtronic
PLC
11,257‌
1,096‌
ResMed
Inc
1,204‌
147‌
Stryker
Corp
2,600‌
535‌
Teleflex
Inc
387‌
128‌
Thermo
Fisher
Scientific
Inc
3,359‌
986‌
Varian
Medical
Systems
Inc
(a)
763‌
104‌
Zimmer
Biomet
Holdings
Inc
1,719‌
202‌
$
8,345‌
Healthcare
-
Services
-
1.87%
Anthem
Inc
2,159‌
609‌
Centene
Corp
(a)
3,471‌
182‌
DaVita
Inc
(a)
1,061‌
60‌
HCA
Healthcare
Inc
2,241‌
303‌
Humana
Inc
1,134‌
301‌
IQVIA
Holdings
Inc
(a)
1,324‌
213‌
Laboratory
Corp
of
America
Holdings
(a)
827‌
143‌
Quest
Diagnostics
Inc
1,128‌
115‌
UnitedHealth
Group
Inc
7,981‌
1,947‌
Universal
Health
Services
Inc
696‌
91‌
WellCare
Health
Plans
Inc
(a)
422‌
120‌
$
4,084‌
Home
Builders
-
0.14%
DR
Horton
Inc
2,851‌
123‌
Lennar
Corp
-
A
Shares
2,396‌
116‌
PulteGroup
Inc
2,140‌
68‌
$
307‌
Home
Furnishings
-
0.05%
Leggett
&
Platt
Inc
1,102‌
42‌
Whirlpool
Corp
531‌
76‌
$
118‌
Housewares
-
0.02%
Newell
Brands
Inc
3,268‌
50‌
Insurance
-
3.93%
Aflac
Inc
6,260‌
343‌
Allstate
Corp/The
2,797‌
284‌
American
International
Group
Inc
7,303‌
389‌
Aon
PLC
2,019‌
390‌
Arthur
J
Gallagher
&
Co
1,555‌
136‌
Assurant
Inc
516‌
55‌
Berkshire
Hathaway
Inc
-
Class
B
(a)
16,271‌
3,469‌
Chubb
Ltd
3,844‌
566‌
Cincinnati
Financial
Corp
1,273‌
132‌
Everest
Re
Group
Ltd
342‌
85‌
Hartford
Financial
Services
Group
Inc
/The
3,035‌
169‌
Lincoln
National
Corp
1,700‌
110‌
Loews
Corp
2,253‌
123‌
Marsh
&
McLennan
Cos
Inc
4,293‌
428‌
MetLife
Inc
7,981‌
396‌
Principal
Financial
Group
Inc
2,175‌
126‌
Progressive
Corp/The
4,903‌
392‌
Prudential
Financial
Inc
3,410‌
344‌
Torchmark
Corp
849‌
76‌
Travelers
Cos
Inc
/The
2,200‌
329‌
Unum
Group
1,780‌
60‌
Willis
Towers
Watson
PLC
1,085‌
208‌
$
8,610‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Internet
-
8.69%
Alphabet
Inc
-
A
Shares
(a)
2,514‌
$
2,722‌
Alphabet
Inc
-
C
Shares
(a)
2,573‌
2,781‌
Amazon.com
Inc
(a)
3,472‌
6,575‌
Booking
Holdings
Inc
(a)
364‌
682‌
eBay
Inc
6,880‌
272‌
Expedia
Group
Inc
993‌
132‌
F5
Networks
Inc
(a)
501‌
73‌
Facebook
Inc
(a)
20,174‌
3,894‌
Netflix
Inc
(a)
3,671‌
1,349‌
Symantec
Corp
5,191‌
113‌
TripAdvisor
Inc
(a)
869‌
40‌
Twitter
Inc
(a)
6,131‌
214‌
VeriSign
Inc
(a)
881‌
184‌
$
19,031‌
Iron
&
Steel
-
0.06%
Nucor
Corp
2,559‌
141‌
Leisure
Products
&
Services
-
0.22%
Carnival
Corp
3,362‌
156‌
Harley-Davidson
Inc
1,335‌
48‌
Norwegian
Cruise
Line
Holdings
Ltd
(a)
1,809‌
97‌
Royal
Caribbean
Cruises
Ltd
1,443‌
175‌
$
476‌
Lodging
-
0.36%
Hilton
Worldwide
Holdings
Inc
2,445‌
239‌
Marriott
International
Inc
/MD
2,321‌
326‌
MGM
Resorts
International
4,285‌
122‌
Wynn
Resorts
Ltd
813‌
101‌
$
788‌
Machinery
-
Construction
&
Mining
-
0.30%
Caterpillar
Inc
4,803‌
655‌
Machinery
-
Diversified
-
0.70%
Cummins
Inc
1,216‌
208‌
Deere
&
Co
2,662‌
441‌
Dover
Corp
1,220‌
122‌
Flowserve
Corp
1,101‌
58‌
Rockwell
Automation
Inc
994‌
163‌
Roper
Technologies
Inc
871‌
319‌
Wabtec
Corp
1,358‌
98‌
Xylem
Inc
/NY
1,510‌
126‌
$
1,535‌
Media
-
2.23%
CBS
Corp
2,955‌
147‌
Charter
Communications
Inc
(a)
1,445‌
571‌
Comcast
Corp
-
Class
A
38,032‌
1,608‌
Discovery
Inc
-
A
Shares
(a)
1,325‌
41‌
Discovery
Inc
-
C
Shares
(a)
3,027‌
86‌
DISH
Network
Corp
(a)
1,937‌
74‌
Fox
Corp
-
A
Shares
2,975‌
109‌
Fox
Corp
-
B
Shares
1,363‌
50‌
News
Corp
-
A
Shares
3,237‌
44‌
News
Corp
-
B
Shares
1,039‌
14‌
Viacom
Inc
-
B
Shares
2,969‌
89‌
Walt
Disney
Co/The
14,658‌
2,047‌
$
4,880‌
Mining
-
0.19%
Freeport-McMoRan
Inc
12,180‌
141‌
Newmont
Goldcorp
Corp
6,882‌
265‌
$
406‌
Miscellaneous
Manufacturers
-
1.32%
3M
Co
4,840‌
839‌
AO
Smith
Corp
1,185‌
56‌
Eaton
Corp
PLC
3,552‌
296‌
General
Electric
Co
73,228‌
769‌
Illinois
Tool
Works
Inc
2,517‌
380‌
Ingersoll-Rand
PLC
2,025‌
256‌
Parker-Hannifin
Corp
1,078‌
183‌
Textron
Inc
1,955‌
104‌
$
2,883‌
Schedule
of
Investments
LargeCap
S&P
500
Managed
Volatility
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
158
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Office
&
Business
Equipment
-
0.03%
Xerox
Corp
1,641‌
$
58‌
Oil
&
Gas
-
3.92%
Anadarko
Petroleum
Corp
4,216‌
297‌
Apache
Corp
3,156‌
91‌
Cabot
Oil
&
Gas
Corp
3,554‌
82‌
Chevron
Corp
15,995‌
1,990‌
Cimarex
Energy
Co
851‌
50‌
Concho
Resources
Inc
1,684‌
174‌
ConocoPhillips
9,490‌
579‌
Devon
Energy
Corp
3,487‌
99‌
Diamondback
Energy
Inc
1,299‌
142‌
EOG
Resources
Inc
4,872‌
454‌
Exxon
Mobil
Corp
(b)
35,528‌
2,722‌
Helmerich
&
Payne
Inc
927‌
47‌
Hess
Corp
2,140‌
136‌
HollyFrontier
Corp
1,319‌
61‌
Marathon
Oil
Corp
6,868‌
98‌
Marathon
Petroleum
Corp
5,565‌
311‌
Noble
Energy
Inc
4,016‌
90‌
Occidental
Petroleum
Corp
6,281‌
316‌
Phillips
66
3,507‌
328‌
Pioneer
Natural
Resources
Co
1,414‌
218‌
Valero
Energy
Corp
3,503‌
300‌
$
8,585‌
Oil
&
Gas
Services
-
0.41%
Baker
Hughes
a
GE
Co
4,323‌
106‌
Halliburton
Co
7,338‌
167‌
National
Oilwell
Varco
Inc
3,240‌
72‌
Schlumberger
Ltd
11,630‌
462‌
TechnipFMC
PLC
3,537‌
92‌
$
899‌
Packaging
&
Containers
-
0.26%
Amcor
PLC
(a)
13,629‌
156‌
Ball
Corp
2,810‌
197‌
Packaging
Corp
of
America
793‌
75‌
Sealed
Air
Corp
1,307‌
56‌
Westrock
Co
2,158‌
79‌
$
563‌
Pharmaceuticals
-
5.43%
AbbVie
Inc
12,413‌
903‌
Allergan
PLC
2,588‌
433‌
AmerisourceBergen
Corp
1,305‌
111‌
Bristol-Myers
Squibb
Co
13,735‌
623‌
Cardinal
Health
Inc
2,502‌
118‌
Cigna
Corp
3,186‌
502‌
CVS
Health
Corp
10,908‌
594‌
Eli
Lilly
&
Co
7,255‌
804‌
Johnson
&
Johnson
22,294‌
3,105‌
McKesson
Corp
1,596‌
214‌
Merck
&
Co
Inc
21,619‌
1,813‌
Mylan
NV
(a)
4,328‌
82‌
Nektar
Therapeutics
(a)
1,463‌
52‌
Perrigo
Co
PLC
1,050‌
50‌
Pfizer
Inc
46,618‌
2,020‌
Zoetis
Inc
4,019‌
456‌
$
11,880‌
Pipelines
-
0.40%
Kinder
Morgan
Inc
/DE
16,347‌
341‌
ONEOK
Inc
3,465‌
239‌
Williams
Cos
Inc
/The
10,175‌
285‌
$
865‌
Real
Estate
-
0.06%
CBRE
Group
Inc
(a)
2,626‌
135‌
REITs
-
2.80%
Alexandria
Real
Estate
Equities
Inc
948‌
134‌
American
Tower
Corp
3,711‌
759‌
Apartment
Investment
&
Management
Co
1,250‌
63‌
AvalonBay
Communities
Inc
1,170‌
238‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
REITs
(continued)
Boston
Properties
Inc
1,297‌
$
167‌
Crown
Castle
International
Corp
3,490‌
455‌
Digital
Realty
Trust
Inc
1,748‌
206‌
Duke
Realty
Corp
3,018‌
95‌
Equinix
Inc
705‌
356‌
Equity
Residential
3,110‌
236‌
Essex
Property
Trust
Inc
551‌
161‌
Extra
Space
Storage
Inc
1,070‌
114‌
Federal
Realty
Investment
Trust
628‌
81‌
HCP
Inc
4,013‌
128‌
Host
Hotels
&
Resorts
Inc
6,221‌
113‌
Iron
Mountain
Inc
2,408‌
75‌
Kimco
Realty
Corp
3,543‌
65‌
Macerich
Co/The
889‌
30‌
Mid-America
Apartment
Communities
Inc
957‌
113‌
Prologis
Inc
5,296‌
424‌
Public
Storage
1,260‌
300‌
Realty
Income
Corp
2,643‌
182‌
Regency
Centers
Corp
1,403‌
94‌
SBA
Communications
Corp
(a)
950‌
214‌
Simon
Property
Group
Inc
2,594‌
414‌
SL
Green
Realty
Corp
708‌
57‌
UDR
Inc
2,366‌
106‌
Ventas
Inc
3,101‌
212‌
Vornado
Realty
Trust
1,457‌
93‌
Welltower
Inc
3,400‌
277‌
Weyerhaeuser
Co
6,253‌
165‌
$
6,127‌
Retail
-
5.14%
Advance
Auto
Parts
Inc
602‌
93‌
AutoZone
Inc
(a)
206‌
226‌
Best
Buy
Co
Inc
1,951‌
136‌
CarMax
Inc
(a)
1,396‌
121‌
Chipotle
Mexican
Grill
Inc
(a)
205‌
150‌
Costco
Wholesale
Corp
3,692‌
976‌
Darden
Restaurants
Inc
1,032‌
126‌
Dollar
General
Corp
2,170‌
293‌
Dollar
Tree
Inc
(a)
1,994‌
214‌
Foot
Locker
Inc
944‌
40‌
Gap
Inc
/The
1,778‌
32‌
Genuine
Parts
Co
1,226‌
127‌
Home
Depot
Inc
/The
9,240‌
1,922‌
Kohl's
Corp
1,361‌
65‌
L
Brands
Inc
1,925‌
50‌
Lowe's
Cos
Inc
6,575‌
663‌
Macy's
Inc
2,593‌
56‌
McDonald's
Corp
6,411‌
1,331‌
Nordstrom
Inc
884‌
28‌
O'Reilly
Automotive
Inc
(a)
658‌
243‌
Ross
Stores
Inc
3,086‌
306‌
Starbucks
Corp
10,171‌
853‌
Target
Corp
4,303‌
373‌
Tiffany
&
Co
907‌
85‌
TJX
Cos
Inc
/The
10,183‌
538‌
Tractor
Supply
Co
1,013‌
110‌
Ulta
Beauty
Inc
(a)
467‌
162‌
Walgreens
Boots
Alliance
Inc
6,526‌
357‌
Walmart
Inc
11,746‌
1,298‌
Yum!
Brands
Inc
2,569‌
284‌
$
11,258‌
Savings
&
Loans
-
0.03%
People's
United
Financial
Inc
3,311‌
56‌
Semiconductors
-
3.54%
Advanced
Micro
Devices
Inc
(a)
7,447‌
226‌
Analog
Devices
Inc
3,104‌
350‌
Applied
Materials
Inc
7,861‌
353‌
Broadcom
Inc
3,323‌
957‌
Intel
Corp
37,594‌
1,800‌
IPG
Photonics
Corp
(a)
298‌
46‌
Schedule
of
Investments
LargeCap
S&P
500
Managed
Volatility
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
159
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Semiconductors
(continued)
KLA-Tencor
Corp
1,358‌
$
160‌
Lam
Research
Corp
1,259‌
236‌
Maxim
Integrated
Products
Inc
2,287‌
137‌
Microchip
Technology
Inc
1,997‌
173‌
Micron
Technology
Inc
(a)
9,293‌
359‌
NVIDIA
Corp
5,113‌
840‌
Qorvo
Inc
(a)
1,001‌
67‌
QUALCOMM
Inc
10,208‌
777‌
Skyworks
Solutions
Inc
1,451‌
112‌
Texas
Instruments
Inc
7,878‌
904‌
Xilinx
Inc
2,132‌
251‌
$
7,748‌
Shipbuilding
-
0.04%
Huntington
Ingalls
Industries
Inc
349‌
78‌
Software
-
7.27%
Activision
Blizzard
Inc
6,432‌
304‌
Adobe
Inc
(a)
4,097‌
1,207‌
Akamai
Technologies
Inc
(a)
1,377‌
110‌
ANSYS
Inc
(a)
704‌
144‌
Autodesk
Inc
(a)
1,844‌
300‌
Broadridge
Financial
Solutions
Inc
975‌
125‌
Cadence
Design
Systems
Inc
(a)
2,359‌
167‌
Cerner
Corp
2,732‌
200‌
Citrix
Systems
Inc
1,050‌
103‌
Electronic
Arts
Inc
(a)
2,491‌
252‌
Fidelity
National
Information
Services
Inc
2,719‌
334‌
Fiserv
Inc
(a)
3,295‌
300‌
Intuit
Inc
2,176‌
569‌
Jack
Henry
&
Associates
Inc
648‌
87‌
Microsoft
Corp
(b)
64,344‌
8,620‌
MSCI
Inc
711‌
170‌
Oracle
Corp
20,376‌
1,161‌
Paychex
Inc
2,685‌
221‌
Red
Hat
Inc
(a)
1,492‌
280‌
salesforce.com
Inc
(a)
6,520‌
989‌
Synopsys
Inc
(a)
1,258‌
162‌
Take-Two
Interactive
Software
Inc
(a)
945‌
107‌
$
15,912‌
Telecommunications
-
3.08%
Arista
Networks
Inc
(a)
443‌
115‌
AT&T
Inc
61,281‌
2,053‌
CenturyLink
Inc
8,056‌
95‌
Cisco
Systems
Inc
35,946‌
1,967‌
Corning
Inc
6,589‌
219‌
Juniper
Networks
Inc
2,892‌
77‌
Motorola
Solutions
Inc
1,383‌
231‌
Verizon
Communications
Inc
34,727‌
1,984‌
$
6,741‌
Textiles
-
0.03%
Mohawk
Industries
Inc
(a)
516‌
76‌
Toys,
Games
&
Hobbies
-
0.05%
Hasbro
Inc
972‌
103‌
Transportation
-
1.49%
CH
Robinson
Worldwide
Inc
1,146‌
97‌
CSX
Corp
6,455‌
499‌
Expeditors
International
of
Washington
Inc
1,444‌
110‌
FedEx
Corp
2,013‌
330‌
JB
Hunt
Transport
Services
Inc
730‌
67‌
Kansas
City
Southern
844‌
103‌
Norfolk
Southern
Corp
2,234‌
445‌
Union
Pacific
Corp
5,944‌
1,005‌
United
Parcel
Service
Inc
5,857‌
605‌
$
3,261‌
Water
-
0.08%
American
Water
Works
Co
Inc
1,515‌
176‌
TOTAL
COMMON
STOCKS
$
205,174‌
INVESTMENT
COMPANIES
-
6.19%
Shares
Held
Value
(000's)
Exchange-Traded
Funds
-
0.49%
iShares
Core
S&P
500
ETF
3,638‌
$
1,073‌
Money
Market
Funds
-
5.70%
Principal
Government
Money
Market
Fund
2.23%
(c),(d)
12,477,420‌
12,477‌
TOTAL
INVESTMENT
COMPANIES
$
13,550‌
TOTAL
PURCHASED
OPTIONS
-
0.29%
$
627‌
Total
Investments
$
219,351‌
Other
Assets
and
Liabilities
-  (0.22)%
(481‌)
TOTAL
NET
ASSETS
-
100.00%
$
218,870‌
(a)
Non-income
producing
security
(b)
Security
or
a
portion
of
the
security
was
pledged
to
cover
margin
requirements
for
futures
contracts.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$1,625
or
0.74%
of
net
assets.
(c)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(d)
Current
yield
shown
is
as
of
period
end.
Portfolio
Summary
(unaudited)
Sector
Percent
Consumer,
Non-cyclical
20.66‌%
Financial
16.82‌%
Technology
15.67‌%
Communications
14.10‌%
Industrial
8.71‌%
Consumer,
Cyclical
7.83‌%
Money
Market
Funds
5.70‌%
Energy
4.73‌%
Utilities
3.10‌%
Basic
Materials
2.12‌%
Investment
Companies
0.49‌%
Purchased
Options
0.29‌%
Other
Assets
and
Liabilities
(0.22‌)%
TOTAL
NET
ASSETS
100.00%
Schedule
of
Investments
LargeCap
S&P
500
Managed
Volatility
Index
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
160
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Principal
Government
Money
Market
Fund
2.23%
$
16,994‌
$
21,563‌
$
26,080‌
$
12,477‌
$
16,994‌
$
21,563‌
$
26,080‌
$
12,477‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Principal
Government
Money
Market
Fund
2.23%
$
154‌
$
—‌
$
—‌
$
—‌
$
154‌
$
—‌
$
—‌
$
—‌
Amounts
in
thousands
Options
Purchased
Options
Outstanding
Counterparty
Contracts/
Shares
Notional
Amount
Exercise
Price
Expiration
Date
Upfront
Payments/
(Premiums)
Fair
Value
Unrealized
Appreciation/
(Depreciation)
Put
-
S&P
500
Index
N/A
150‌
$
15‌
$
3,000.00‌
07/22/2019
$
211‌
$
177‌
$
(34‌)
Put
-
S&P
500
Index
N/A
200‌
$
20‌
$
2,900.00‌
07/22/2019
480‌
450‌
(30‌)
Total
$
691‌
$
627‌
$
(64‌)
Written
Options
Outstanding
Counterparty
Contracts/
Shares
Notional
Amount
Exercise
Price
Expiration
Date
Upfront
Payments/
(Premiums)
Fair
Value
Unrealized
Appreciation/
(Depreciation)
Put
-
S&P
500
Index
N/A
150‌
$
15‌
$
3,010.00‌
07/22/2019
$
(169‌)
$
(139‌)
$
30‌
Put
-
S&P
500
Index
N/A
200‌
$
20‌
$
2,860.00‌
07/22/2019
(324‌)
(295‌)
29‌
Total
$
(493‌)
$
(434‌)
$
59‌
Amounts
in
thousands
except
contracts/shares.
Futures
Contracts
Description
and
Expiration
Date
Type
Contracts
Notional
Amount
Value
and
Unrealized
Appreciation/(Depreciation)
S&P
500
Emini
;
September
2019
Long
15‌
$
2,208‌
$
34‌
Total
$
34‌
Amounts
in
thousands
except
contracts.
Schedule
of
Investments
MidCap
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
161
COMMON
STOCKS
-
99.83%
Shares
Held
Value
(000's)
Aerospace
&
Defense
-
4.46%
HEICO
Corp
-
Class
A
17,141‌
$
1,772‌
TransDigm
Group
Inc
(a)
51,133‌
24,738‌
$
26,510‌
Banks
-
2.26%
First
Republic
Bank/CA
103,378‌
10,095‌
M&T
Bank
Corp
19,773‌
3,363‌
$
13,458‌
Beverages
-
0.55%
Brown-Forman
Corp
-
B
Shares
58,759‌
3,257‌
Building
Materials
-
4.33%
Martin
Marietta
Materials
Inc
41,758‌
9,609‌
Summit
Materials
Inc
(a)
130,783‌
2,518‌
Vulcan
Materials
Co
99,006‌
13,594‌
$
25,721‌
Chemicals
-
1.17%
Air
Products
&
Chemicals
Inc
30,699‌
6,949‌
Commercial
Services
-
10.87%
AMERCO
10,975‌
4,155‌
Gartner
Inc
(a)
96,281‌
15,495‌
IHS
Markit
Ltd
(a)
183,133‌
11,669‌
Moody's
Corp
29,822‌
5,825‌
S&P
Global
Inc
22,378‌
5,097‌
TransUnion
147,810‌
10,866‌
Verisk
Analytics
Inc
78,621‌
11,515‌
$
64,622‌
Distribution
&
Wholesale
-
2.93%
Copart
Inc
(a)
185,560‌
13,869‌
Fastenal
Co
108,714‌
3,543‌
$
17,412‌
Electric
-
1.93%
Brookfield
Infrastructure
Partners
LP
205,893‌
8,841‌
Brookfield
Renewable
Partners
LP
(b)
75,941‌
2,627‌
$
11,468‌
Electronics
-
1.63%
Mettler
-Toledo
International
Inc
(a)
11,525‌
9,681‌
Entertainment
-
2.76%
Live
Nation
Entertainment
Inc
(a)
108,859‌
7,212‌
Vail
Resorts
Inc
41,146‌
9,183‌
$
16,395‌
Hand
&
Machine
Tools
-
0.89%
Colfax
Corp
(a)
189,073‌
5,300‌
Healthcare
-
Products
-
1.11%
IDEXX
Laboratories
Inc
(a)
23,896‌
6,579‌
Home
Builders
-
1.50%
Lennar
Corp
-
A
Shares
100,588‌
4,874‌
Lennar
Corp
-
B
Shares
1,475‌
57‌
NVR
Inc
(a)
1,174‌
3,957‌
$
8,888‌
Insurance
-
9.90%
Aon
PLC
26,805‌
5,173‌
Arch
Capital
Group
Ltd
(a)
265,526‌
9,846‌
Brown
&
Brown
Inc
234,946‌
7,870‌
Fidelity
National
Financial
Inc
306,776‌
12,363‌
Markel
Corp
(a)
16,278‌
17,736‌
Progressive
Corp/The
72,136‌
5,766‌
Trisura
Group
Ltd
(a)
4,276‌
98‌
$
58,852‌
Internet
-
4.61%
Liberty
Expedia
Holdings
Inc
(a)
5,412‌
259‌
Shopify
Inc
(a)
8,252‌
2,477‌
VeriSign
Inc
(a)
64,808‌
13,555‌
Wayfair
Inc
(a)
9,484‌
1,385‌
Wix.com
Ltd
(a)
68,398‌
9,719‌
$
27,395‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Lodging
-
3.35%
Hilton
Worldwide
Holdings
Inc
153,510‌
$
15,004‌
Hyatt
Hotels
Corp
64,719‌
4,927‌
$
19,931‌
Machinery
-
Diversified
-
1.82%
Cognex
Corp
9,658‌
463‌
Roper
Technologies
Inc
28,253‌
10,348‌
$
10,811‌
Media
-
4.56%
Liberty
Broadband
Corp
-
A
Shares
(a)
23,834‌
2,451‌
Liberty
Broadband
Corp
-
C
Shares
(a)
45,035‌
4,693‌
Liberty
Global
PLC
-
A
Shares
(a)
17,556‌
474‌
Liberty
Global
PLC
-
C
Shares
(a)
211,639‌
5,615‌
Liberty
Media
Corp-Liberty
Braves
-
A
Shares
(a)
5,176‌
144‌
Liberty
Media
Corp-Liberty
Braves
-
C
Shares
(a)
22,134‌
619‌
Liberty
Media
Corp-Liberty
Formula
One
-
A
Shares
(a)
18,376‌
659‌
Liberty
Media
Corp-Liberty
Formula
One
-
C
Shares
(a)
174,915‌
6,544‌
Liberty
Media
Corp-Liberty
SiriusXM
-
A
Shares
(a)
37,270‌
1,409‌
Liberty
Media
Corp-Liberty
SiriusXM
-
C
Shares
(a)
117,889‌
4,477‌
$
27,085‌
Pharmaceuticals
-
0.11%
Elanco
Animal
Health
Inc
(a)
19,493‌
659‌
Private
Equity
-
7.27%
Brookfield
Asset
Management
Inc
493,980‌
23,602‌
Kennedy-Wilson
Holdings
Inc
216,745‌
4,459‌
KKR
&
Co
Inc
344,283‌
8,700‌
Onex
Corp
106,880‌
6,460‌
$
43,221‌
Real
Estate
-
3.69%
Brookfield
Business
Partners
LP
15,995‌
613‌
Brookfield
Property
Partners
LP
(b)
99,799‌
1,889‌
CBRE
Group
Inc
(a)
229,772‌
11,787‌
Howard
Hughes
Corp/The
(a)
61,801‌
7,654‌
$
21,943‌
REITs
-
4.31%
Equinix
Inc
10,691‌
5,392‌
SBA
Communications
Corp
(a)
85,066‌
19,126‌
Vornado
Realty
Trust
17,350‌
1,112‌
$
25,630‌
Retail
-
11.12%
CarMax
Inc
(a)
204,545‌
17,761‌
Dollar
General
Corp
48,026‌
6,491‌
Domino's
Pizza
Inc
31,307‌
8,712‌
O'Reilly
Automotive
Inc
(a)
40,784‌
15,062‌
Restaurant
Brands
International
Inc
245,338‌
17,061‌
Ross
Stores
Inc
10,148‌
1,006‌
$
66,093‌
Semiconductors
-
1.44%
Microchip
Technology
Inc
98,545‌
8,544‌
Software
-
9.18%
ANSYS
Inc
(a)
51,970‌
10,644‌
Autodesk
Inc
(a)
67,248‌
10,955‌
Black
Knight
Inc
(a)
219,060‌
13,176‌
Guidewire
Software
Inc
(a)
53,426‌
5,416‌
MSCI
Inc
22,303‌
5,326‌
RealPage
Inc
(a)
101,029‌
5,946‌
Slack
Technologies
Inc
(a)
83,018‌
3,113‌
$
54,576‌
Telecommunications
-
1.81%
EchoStar
Corp
(a)
20,491‌
908‌
GCI
Liberty
Inc
(a)
86,349‌
5,307‌
Motorola
Solutions
Inc
27,287‌
4,550‌
$
10,765‌
Schedule
of
Investments
MidCap
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
162
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Textiles
-
0.27%
Mohawk
Industries
Inc
(a)
10,732‌
$
1,582‌
TOTAL
COMMON
STOCKS
$
593,327‌
INVESTMENT
COMPANIES
-
0.44%
Shares
Held
Value
(000's)
Money
Market
Funds
-
0.44%
BlackRock
Liquidity
FedFund
2.26%
(c),(d)
1,182,965‌
1,183‌
Principal
Government
Money
Market
Fund
2.23%
(c),(e)
1,415,080‌
1,415‌
$
2,598‌
TOTAL
INVESTMENT
COMPANIES
$
2,598‌
Total
Investments
$
595,925‌
Other
Assets
and
Liabilities
-  (0.27)%
(1,620‌)
TOTAL
NET
ASSETS
-
100.00%
$
594,305‌
(a)
Non-income
producing
security
(b)
Security
or
a
portion
of
the
security
was
on
loan
at
the
end
of
the
period.
(c)
Current
yield
shown
is
as
of
period
end.
(d)
Security
or
a
portion
of
the
security
was
pledged
as
collateral
for
securities
lending.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$1,183
or
0.20%
of
net
assets.
(e)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
Portfolio
Summary
(unaudited)
Sector
Percent
Financial
27.43‌%
Consumer,
Cyclical
21.93‌%
Industrial
13.13‌%
Consumer,
Non-cyclical
12.64‌%
Communications
10.98‌%
Technology
10.62‌%
Utilities
1.93‌%
Basic
Materials
1.17‌%
Money
Market
Funds
0.44‌%
Other
Assets
and
Liabilities
(0.27‌)%
TOTAL
NET
ASSETS
100.00%
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Principal
Government
Money
Market
Fund
2.23%
$
4,942‌
$
25,345‌
$
28,872‌
$
1,415‌
$
4,942‌
$
25,345‌
$
28,872‌
$
1,415‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Principal
Government
Money
Market
Fund
2.23%
$
9‌
$
—‌
$
—‌
$
—‌
$
9‌
$
—‌
$
—‌
$
—‌
Amounts
in
thousands
Schedule
of
Investments
Principal
Capital
Appreciation
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
163
COMMON
STOCKS
-
98.59%
Shares
Held
Value
(000's)
Aerospace
&
Defense
-
2.55%
Boeing
Co/The
2,817‌
$
1,026‌
Northrop
Grumman
Corp
6,367‌
2,057‌
Teledyne
Technologies
Inc
(a)
2,970‌
813‌
$
3,896‌
Airlines
-
1.09%
Delta
Air
Lines
Inc
29,234‌
1,659‌
Apparel
-
1.46%
Deckers
Outdoor
Corp
(a)
8,769‌
1,543‌
NIKE
Inc
8,151‌
684‌
$
2,227‌
Automobile
Manufacturers
-
0.83%
PACCAR
Inc
17,710‌
1,269‌
Banks
-
6.27%
East
West
Bancorp
Inc
3,471‌
162‌
JPMorgan
Chase
&
Co
46,719‌
5,223‌
PNC
Financial
Services
Group
Inc
/The
16,559‌
2,273‌
US
Bancorp
36,686‌
1,923‌
$
9,581‌
Beverages
-
2.12%
Keurig
Dr
Pepper
Inc
19,081‌
551‌
PepsiCo
Inc
20,489‌
2,687‌
$
3,238‌
Chemicals
-
2.14%
Albemarle
Corp
4,424‌
311‌
DuPont
de
Nemours
Inc
9,412‌
707‌
FMC
Corp
19,652‌
1,630‌
HB
Fuller
Co
13,424‌
623‌
$
3,271‌
Commercial
Services
-
2.24%
Aaron's
Inc
38,454‌
2,362‌
PayPal
Holdings
Inc
(a)
9,270‌
1,061‌
$
3,423‌
Computers
-
3.63%
Apple
Inc
28,027‌
5,547‌
Consumer
Products
-
1.00%
Church
&
Dwight
Co
Inc
20,989‌
1,533‌
Distribution
&
Wholesale
-
1.69%
IAA
Inc
(a)
41,395‌
1,605‌
KAR
Auction
Services
Inc
39,421‌
986‌
$
2,591‌
Diversified
Financial
Services
-
4.62%
Ameriprise
Financial
Inc
12,650‌
1,836‌
Charles
Schwab
Corp/The
14,916‌
600‌
Discover
Financial
Services
36,479‌
2,830‌
Visa
Inc
10,384‌
1,802‌
$
7,068‌
Electric
-
3.40%
NextEra
Energy
Inc
13,639‌
2,794‌
Xcel
Energy
Inc
40,424‌
2,405‌
$
5,199‌
Electronics
-
1.20%
Honeywell
International
Inc
10,533‌
1,839‌
Environmental
Control
-
0.11%
Waste
Connections
Inc
1,721‌
164‌
Food
-
1.64%
McCormick
&
Co
Inc
/MD
7,356‌
1,140‌
Tyson
Foods
Inc
17,003‌
1,373‌
$
2,513‌
Hand
&
Machine
Tools
-
0.42%
Snap-on
Inc
3,873‌
642‌
Healthcare
-
Products
-
6.44%
Abbott
Laboratories
14,551‌
1,224‌
Becton
Dickinson
and
Co
7,321‌
1,845‌
Edwards
Lifesciences
Corp
(a)
5,252‌
970‌
Medtronic
PLC
22,645‌
2,206‌
Thermo
Fisher
Scientific
Inc
7,247‌
2,128‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Healthcare
-
Products
(continued)
Varian
Medical
Systems
Inc
(a)
10,852‌
$
1,477‌
$
9,850‌
Healthcare
-
Services
-
2.07%
UnitedHealth
Group
Inc
6,709‌
1,637‌
Universal
Health
Services
Inc
11,730‌
1,530‌
$
3,167‌
Home
Builders
-
0.26%
Thor
Industries
Inc
6,850‌
400‌
Insurance
-
3.77%
Chubb
Ltd
9,235‌
1,360‌
Fidelity
National
Financial
Inc
64,820‌
2,612‌
Marsh
&
McLennan
Cos
Inc
17,995‌
1,795‌
$
5,767‌
Internet
-
7.75%
Alibaba
Group
Holding
Ltd
ADR
(a)
3,059‌
518‌
Alphabet
Inc
-
A
Shares
(a)
3,356‌
3,634‌
Amazon.com
Inc
(a)
2,223‌
4,209‌
Booking
Holdings
Inc
(a)
219‌
411‌
Facebook
Inc
(a)
12,837‌
2,478‌
Palo
Alto
Networks
Inc
(a)
2,971‌
605‌
$
11,855‌
Lodging
-
0.78%
Marriott
International
Inc
/MD
8,544‌
1,199‌
Machinery
-
Diversified
-
0.99%
Deere
&
Co
9,163‌
1,518‌
Media
-
3.05%
Comcast
Corp
-
Class
A
41,687‌
1,762‌
Nexstar
Media
Group
Inc
10,075‌
1,018‌
Walt
Disney
Co/The
13,494‌
1,884‌
$
4,664‌
Miscellaneous
Manufacturers
-
0.42%
3M
Co
3,693‌
640‌
Oil
&
Gas
-
5.15%
Chevron
Corp
20,923‌
2,604‌
EOG
Resources
Inc
4,972‌
463‌
Royal
Dutch
Shell
PLC
-
B
shares
ADR
46,272‌
3,042‌
Valero
Energy
Corp
20,581‌
1,762‌
$
7,871‌
Pharmaceuticals
-
5.81%
Bristol-Myers
Squibb
Co
29,939‌
1,358‌
Johnson
&
Johnson
14,174‌
1,974‌
Merck
&
Co
Inc
36,252‌
3,040‌
Pfizer
Inc
58,107‌
2,517‌
$
8,889‌
REITs
-
3.47%
Alexandria
Real
Estate
Equities
Inc
23,048‌
3,252‌
American
Tower
Corp
2,896‌
592‌
Extra
Space
Storage
Inc
8,425‌
894‌
Simon
Property
Group
Inc
3,564‌
569‌
$
5,307‌
Retail
-
3.18%
Costco
Wholesale
Corp
7,083‌
1,872‌
Home
Depot
Inc
/The
8,603‌
1,789‌
Lululemon
Athletica
Inc
(a)
4,134‌
745‌
Starbucks
Corp
5,508‌
462‌
$
4,868‌
Semiconductors
-
3.48%
Broadcom
Inc
5,124‌
1,475‌
Lam
Research
Corp
3,981‌
748‌
Microchip
Technology
Inc
11,820‌
1,025‌
NVIDIA
Corp
2,330‌
382‌
ON
Semiconductor
Corp
(a)
27,000‌
546‌
Taiwan
Semiconductor
Manufacturing
Co
Ltd
ADR
29,161‌
1,142‌
$
5,318‌
Schedule
of
Investments
Principal
Capital
Appreciation
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
164
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Software
-
8.30%
Adobe
Inc
(a)
5,180‌
$
1,526‌
Fair
Isaac
Corp
(a)
5,098‌
1,601‌
Fidelity
National
Information
Services
Inc
15,745‌
1,932‌
Microsoft
Corp
51,307‌
6,873‌
ServiceNow
Inc
(a)
2,756‌
757‌
$
12,689‌
Telecommunications
-
4.71%
Arista
Networks
Inc
(a)
2,360‌
613‌
Cisco
Systems
Inc
50,789‌
2,780‌
T-Mobile
US
Inc
(a)
19,182‌
1,422‌
Verizon
Communications
Inc
41,853‌
2,391‌
$
7,206‌
Toys,
Games
&
Hobbies
-
1.34%
Hasbro
Inc
19,401‌
2,05
1‌
Transportation
-
1.21%
Expeditors
International
of
Washington
Inc
13,166‌
999‌
Union
Pacific
Corp
4,991‌
844‌
$
1,843‌
TOTAL
COMMON
STOCKS
$
150,76
2‌
INVESTMENT
COMPANIES
-
1.54%
Shares
Held
Value
(000's)
Money
Market
Funds
-
1.54%
Principal
Government
Money
Market
Fund
2.23%
(b),(c)
2,356,503‌
2,357‌
TOTAL
INVESTMENT
COMPANIES
$
2,357‌
Total
Investments
$
153,11
9‌
Other
Assets
and
Liabilities
-  (0.13)%
(20
4‌
)
TOTAL
NET
ASSETS
-
100.00%
$
152,915‌
(a)
Non-income
producing
security
(b)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(c)
Current
yield
shown
is
as
of
period
end.
Portfolio
Summary
(unaudited)
Sector
Percent
Consumer,
Non-cyclical
21.32‌%
Financial
18.13‌%
Communications
15.51‌%
Technology
15.41‌%
Consumer,
Cyclical
10.63‌%
Industrial
6.90‌%
Energy
5.15‌%
Utilities
3.40‌%
Basic
Materials
2.14‌%
Money
Market
Funds
1.54‌%
Other
Assets
and
Liabilities
(0.13‌)%
TOTAL
NET
ASSETS
100.00%
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Principal
Government
Money
Market
Fund
2.23%
$
2,989‌
$
16,784‌
$
17,416‌
$
2,357‌
$
2,989‌
$
16,784‌
$
17,416‌
$
2,357‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Principal
Government
Money
Market
Fund
2.23%
$
3
5‌
$
—‌
$
—‌
$
—‌
$
3
5‌
$
—‌
$
—‌
$
—‌
Amounts
in
thousands
Schedule
of
Investments
Principal
LifeTime
2010
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
165
85
INVESTMENT
COMPANIES
-
100.02%
Shares
Held
Value
(000's)
Principal
Funds,
Inc.
Class
R-6
-
23.50%
Blue
Chip
Fund
(a)
42,440‌
$
1,081‌
Diversified
International
Fund
(a)
103,661‌
1,275‌
Diversified
Real
Asset
Fund
(a)
49,264‌
563‌
Global
Multi-Strategy
Fund
(a)
168,075‌
1,800‌
International
Small
Company
Fund
(a)
37,382‌
403‌
LargeCap
Growth
Fund
I
(a)
65,757‌
1,035‌
MidCap
Fund
(a)
30,941‌
913‌
SmallCap
Growth
Fund
I
(a)
20,679‌
291‌
SmallCap
Value
Fund
II
(a)
22,741‌
236‌
$
7,597‌
Principal
Funds,
Inc.
Institutional
Class
-
57.82%
Bond
Market
Index
Fund
(a)
337,609‌
3,808‌
Equity
Income
Fund
(a)
24,348‌
782‌
High
Yield
Fund
I
(a)
230,539‌
2,190‌
Inflation
Protection
Fund
(a)
201,531‌
1,729‌
LargeCap
S&P
500
Index
Fund
(a)
97,255‌
1,791‌
LargeCap
Value
Fund
III
(a)
48,271‌
799‌
MidCap
Value
Fund
I
(a)
33,549‌
470‌
Overseas
Fund
(a)
130,669‌
1,243‌
Short-Term
Income
Fund
(a)
480,069‌
5,886‌
$
18,698‌
Principal
Variable
Contracts
Funds,
Inc.
Class
1
-
18.70%
Core
Plus
Bond
Account
(a)
522,257‌
6,048‌
TOTAL
INVESTMENT
COMPANIES
$
32,343‌
Total
Investments
$
32,343‌
Other
Assets
and
Liabilities
-  (0.02)%
(5‌)
TOTAL
NET
ASSETS
-
100.00%
$
32,338‌
(a)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
Portfolio
Summary
(unaudited)
Fund
Type
Percent
Fixed
Income
Funds
64.74‌%
Domestic
Equity
Funds
22.88‌%
Specialty
Funds
7.31‌%
International
Equity
Funds
5.09‌%
Other
Assets
and
Liabilities
(0.02‌)%
TOTAL
NET
ASSETS
100.00%
Schedule
of
Investments
Principal
LifeTime
2010
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
166
Affiliated
Securities
December
31,
2018
Purchases
(a),(b)
Sales
(a),(b)
June
30,
2019
Value
Cost
Proceeds
Value
Blue
Chip
Fund
$
909‌
$
47‌
$
107‌
$
1,081‌
Bond
Market
Index
Fund
3,138‌
954‌
481‌
3,808‌
Core
Plus
Bond
Account
6,111‌
403‌
882‌
6,048‌
Diversified
International
Fund
Class
R-6
—‌
1,671‌
119‌
1,275‌
Diversified
International
Fund
Institutional
Class
1,214‌
31‌
1,698‌
—‌
Diversified
Real
Asset
Fund
570‌
51‌
115‌
563‌
Equity
Income
Fund
722‌
55‌
106‌
782‌
Global
Multi-Strategy
Fund
1,925‌
103‌
332‌
1,800‌
High
Yield
Fund
I
2,900‌
265‌
1,122‌
2,190‌
Inflation
Protection
Fund
1,777‌
124‌
262‌
1,729‌
International
Small
Company
Fund
380‌
29‌
66‌
403‌
LargeCap
Growth
Fund
I
898‌
47‌
106‌
1,035‌
LargeCap
S&P
500
Index
Fund
1,617‌
93‌
211‌
1,791‌
LargeCap
Value
Fund
III
746‌
47‌
106‌
799‌
MidCap
Fund
748‌
45‌
101‌
913‌
MidCap
Value
Fund
I
—‌
508‌
28‌
470‌
MidCap
Value
Fund
III
430‌
32‌
548‌
—‌
Overseas
Fund
1,220‌
90‌
204‌
1,243‌
Short-Term
Income
Account
6,128‌
278‌
6,502‌
—‌
Short-Term
Income
Fund
—‌
6,083‌
255‌
5,886‌
SmallCap
Growth
Fund
I
240‌
14‌
31‌
291‌
SmallCap
Value
Fund
II
220‌
14‌
32‌
236‌
$
31,893‌
$
10,984‌
$
13,414‌
$
32,343‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Blue
Chip
Fund
$
—‌
$
6‌
$
—‌
$
226‌
Bond
Market
Index
Fund
—‌
1‌
—‌
196‌
Core
Plus
Bond
Account
—‌
(3‌)
—‌
419‌
Diversified
International
Fund
Class
R-6
—‌
12‌
—‌
(289‌)
Diversified
International
Fund
Institutional
Class
—‌
3‌
—‌
450‌
Diversified
Real
Asset
Fund
—‌
6‌
—‌
51‌
Equity
Income
Fund
8‌
8‌
—‌
103‌
Global
Multi-Strategy
Fund
—‌
1‌
—‌
103‌
High
Yield
Fund
I
89‌
(12‌)
—‌
159‌
Inflation
Protection
Fund
9‌
3‌
—‌
87‌
International
Small
Company
Fund
—‌
—‌
—‌
60‌
LargeCap
Growth
Fund
I
—‌
8‌
—‌
188‌
LargeCap
S&P
500
Index
Fund
—‌
13‌
—‌
279‌
LargeCap
Value
Fund
III
—‌
4‌
—‌
108‌
MidCap
Fund
—‌
8‌
—‌
213‌
MidCap
Value
Fund
I
—‌
—‌
—‌
(10‌)
MidCap
Value
Fund
III
6‌
—‌
—‌
86‌
Overseas
Fund
—‌
5‌
—‌
132‌
Short-Term
Income
Account
—‌
42‌
—‌
54‌
Short-Term
Income
Fund
3
0‌
1‌
—‌
57‌
SmallCap
Growth
Fund
I
—‌
3‌
—‌
65‌
SmallCap
Value
Fund
II
—‌
2‌
—‌
32‌
$
14
2‌
$
111‌
$
—‌
$
2,769‌
Amounts
in
thousands
(a)
Purchases
and
Sales
include
transactions
related
to
the
transition
of
assets
from
the
Institutional
Class
to
Class
R-6.
(b)
Purchases
and
Sales
include
transactions
related
to
the
acquisition
of
the
MidCap
Value
Fund
III
by
the
MidCap
Value
Fund
I.
Schedule
of
Investments
Principal
LifeTime
2020
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
167
INVESTMENT
COMPANIES
-
100.00%
Shares
Held
Value
(000's)
Principal
Funds,
Inc.
Class
R-6
-
30.99%
Blue
Chip
Fund
(a)
362,661‌
$
9,241‌
Diversified
International
Fund
(a)
1,017,585‌
12,516‌
Diversified
Real
Asset
Fund
(a)
307,923‌
3,520‌
Global
Multi-Strategy
Fund
(a)
768,771‌
8,234‌
International
Small
Company
Fund
(a)
360,518‌
3,886‌
LargeCap
Growth
Fund
I
(a)
581,754‌
9,157‌
MidCap
Fund
(a)
271,494‌
8,012‌
SmallCap
Growth
Fund
I
(a)
195,976‌
2,755‌
SmallCap
Value
Fund
II
(a)
218,886‌
2,274‌
$
59,595‌
Principal
Funds,
Inc.
Institutional
Class
-
52.51%
Bond
Market
Index
Fund
(a)
1,794,958‌
20,247‌
Equity
Income
Fund
(a)
229,731‌
7,377‌
High
Yield
Fund
I
(a)
1,034,072‌
9,824‌
Inflation
Protection
Fund
(a)
840,505‌
7,212‌
LargeCap
S&P
500
Index
Fund
(a)
860,477‌
15,841‌
LargeCap
Value
Fund
III
(a)
446,453‌
7,393‌
MidCap
Value
Fund
I
(a)
340,538‌
4,774‌
Overseas
Fund
(a)
1,280,122‌
12,174‌
Short-Term
Income
Fund
(a)
1,314,496‌
16,116‌
$
100,958‌
Principal
Variable
Contracts
Funds,
Inc.
Class
1
-
16.50%
Core
Plus
Bond
Account
(a)
2,740,106‌
31,730‌
TOTAL
INVESTMENT
COMPANIES
$
192,283‌
Total
Investments
$
192,283‌
Other
Assets
and
Liabilities
-  0.00%
(7‌)
TOTAL
NET
ASSETS
-
100.00%
$
192,276‌
(a)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
Portfolio
Summary
(unaudited)
Fund
Type
Percent
Fixed
Income
Funds
50.78‌%
Domestic
Equity
Funds
34.76‌%
International
Equity
Funds
8.35‌%
Specialty
Funds
6.11‌%
Other
Assets
and
Liabilities
0.00‌%
TOTAL
NET
ASSETS
100.00%
Schedule
of
Investments
Principal
LifeTime
2020
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
168
Affiliated
Securities
December
31,
2018
Purchases
(a),(b)
Sales
(a),(b)
June
30,
2019
Value
Cost
Proceeds
Value
Blue
Chip
Fund
$
7,401‌
$
734‌
$
821‌
$
9,241‌
Bond
Market
Index
Fund
14,856‌
6,558‌
2,179‌
20,247‌
Core
Plus
Bond
Account
29,308‌
3,746‌
3,430‌
31,730‌
Diversified
International
Fund
Class
R-6
—‌
16,775‌
1,350‌
12,516‌
Diversified
International
Fund
Institutional
Class
11,047‌
232‌
15,825‌
—‌
Diversified
Real
Asset
Fund
3,245‌
496‌
554‌
3,520‌
Equity
Income
Fund
6,379‌
812‌
821‌
7,377‌
Global
Multi-Strategy
Fund
8,687‌
598‌
1,526‌
8,234‌
High
Yield
Fund
I
13,182‌
1,610‌
5,640‌
9,824‌
Inflation
Protection
Fund
6,906‌
830‌
889‌
7,212‌
International
Small
Company
Fund
3,385‌
446‌
501‌
3,886‌
LargeCap
Growth
Fund
I
7,561‌
734‌
821‌
9,157‌
LargeCap
S&P
500
Index
Fund
13,526‌
1,468‌
1,644‌
15,841‌
LargeCap
Value
Fund
III
6,481‌
734‌
821‌
7,393‌
MidCap
Fund
6,207‌
685‌
766‌
8,012‌
MidCap
Value
Fund
I
—‌
5,066‌
421‌
4,774‌
MidCap
Value
Fund
III
4,052‌
190‌
4,836‌
—‌
Overseas
Fund
11,082‌
1,419‌
1,588‌
12,174‌
Short-Term
Income
Account
16,035‌
431‌
16,721‌
—‌
Short-Term
Income
Fund
—‌
17,224‌
1,267‌
16,116‌
SmallCap
Growth
Fund
I
2,156‌
238‌
268‌
2,755‌
SmallCap
Value
Fund
II
1,994‌
238‌
266‌
2,274‌
$
173,490‌
$
61,264‌
$
62,955‌
$
192,283‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Blue
Chip
Fund
$
—‌
$
19‌
$
—‌
$
1,908‌
Bond
Market
Index
Fund
—‌
5‌
—‌
1,007‌
Core
Plus
Bond
Account
—‌
10‌
—‌
2,096‌
Diversified
International
Fund
Class
R-6
—‌
(1‌)
—‌
(2,908‌)
Diversified
International
Fund
Institutional
Class
—‌
4‌
—‌
4,542‌
Diversified
Real
Asset
Fund
—‌
(4‌)
—‌
337‌
Equity
Income
Fund
78‌
8‌
—‌
999‌
Global
Multi-Strategy
Fund
—‌
(1‌)
—‌
476‌
High
Yield
Fund
I
411‌
(60‌)
—‌
732‌
Inflation
Protection
Fund
36‌
1‌
—‌
364‌
International
Small
Company
Fund
—‌
1‌
—‌
555‌
LargeCap
Growth
Fund
I
—‌
(1‌)
—‌
1,684‌
LargeCap
S&P
500
Index
Fund
—‌
(12‌)
—‌
2,503‌
LargeCap
Value
Fund
III
—‌
7‌
—‌
992‌
MidCap
Fund
—‌
16‌
—‌
1,870‌
MidCap
Value
Fund
I
—‌
(2‌)
—‌
131‌
MidCap
Value
Fund
III
62‌
6‌
—‌
588‌
Overseas
Fund
—‌
—‌
—‌
1,261‌
Short-Term
Income
Account
—‌
26‌
—‌
229‌
Short-Term
Income
Fund
8
5‌
2‌
—‌
157‌
SmallCap
Growth
Fund
I
—‌
8‌
—‌
621‌
SmallCap
Value
Fund
II
—‌
2‌
—‌
306‌
$
67
2‌
$
34‌
$
—‌
$
20,450‌
Amounts
in
thousands
(a)
Purchases
and
Sales
include
transactions
related
to
the
transition
of
assets
from
the
Institutional
Class
to
Class
R-6.
(b)
Purchases
and
Sales
include
transactions
related
to
the
acquisition
of
the
MidCap
Value
Fund
III
by
the
MidCap
Value
Fund
I.
Schedule
of
Investments
Principal
LifeTime
2030
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
169
INVESTMENT
COMPANIES
-
100.00%
Shares
Held
Value
(000's)
Principal
Funds,
Inc.
Class
R-6
-
40.05%
Blue
Chip
Fund
(a)
210,337‌
$
5,359‌
Diversified
International
Fund
(a)
1,103,583‌
13,574‌
Diversified
Real
Asset
Fund
(a)
273,266‌
3,123‌
Global
Multi-Strategy
Fund
(a)
610,146‌
6,535‌
International
Small
Company
Fund
(a)
422,260‌
4,552‌
LargeCap
Growth
Fund
I
(a)
973,708‌
15,326‌
MidCap
Fund
(a)
317,536‌
9,371‌
Origin
Emerging
Markets
Fund
(a)
294,578‌
3,167‌
SmallCap
Growth
Fund
I
(a)
230,242‌
3,237‌
SmallCap
Value
Fund
II
(a)
258,325‌
2,684‌
$
66,928‌
Principal
Funds,
Inc.
Institutional
Class
-
46.88%
Bond
Market
Index
Fund
(a)
1,095,975‌
12,363‌
Equity
Income
Fund
(a)
142,775‌
4,585‌
High
Yield
Fund
I
(a)
758,232‌
7,203‌
Inflation
Protection
Fund
(a)
397,332‌
3,409‌
LargeCap
S&P
500
Index
Fund
(a)
1,018,218‌
18,745‌
LargeCap
Value
Fund
III
(a)
785,540‌
13,009‌
MidCap
Value
Fund
I
(a)
414,228‌
5,807‌
Overseas
Fund
(a)
1,389,163‌
13,211‌
$
78,332‌
Principal
Variable
Contracts
Funds,
Inc.
Class
1
-
13.07%
Core
Plus
Bond
Account
(a)
1,886,464‌
21,845‌
TOTAL
INVESTMENT
COMPANIES
$
167,105‌
Total
Investments
$
167,105‌
Other
Assets
and
Liabilities
-  0.00%
(6‌)
TOTAL
NET
ASSETS
-
100.00%
$
167,099‌
(a)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
Portfolio
Summary
(unaudited)
Fund
Type
Percent
Domestic
Equity
Funds
46.76‌%
Fixed
Income
Funds
34.94‌%
International
Equity
Funds
12.52‌%
Specialty
Funds
5.78‌%
Other
Assets
and
Liabilities
0.00‌%
TOTAL
NET
ASSETS
100.00%
Schedule
of
Investments
Principal
LifeTime
2030
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
170
Affiliated
Securities
December
31,
2018
Purchases
(a),(b)
Sales
(a),(b)
June
30,
2019
Value
Cost
Proceeds
Value
Blue
Chip
Fund
$
4,165‌
$
339‌
$
244‌
$
5,359‌
Bond
Market
Index
Fund
9,760‌
2,665‌
702‌
12,363‌
Core
Plus
Bond
Account
19,749‌
1,928‌
1,265‌
21,845‌
Diversified
International
Fund
Class
R-6
—‌
14,113‌
675‌
13,574‌
Diversified
International
Fund
Institutional
Class
11,512‌
407‌
13,519‌
—‌
Diversified
Real
Asset
Fund
2,743‌
333‌
240‌
3,123‌
Equity
Income
Fund
3,830‌
388‌
245‌
4,585‌
Global
Multi-Strategy
Fund
6,259‌
399‌
477‌
6,535‌
High
Yield
Fund
I
7,946‌
931‌
2,084‌
7,203‌
Inflation
Protection
Fund
3,142‌
310‌
212‌
3,409‌
International
Emerging
Markets
Fund
1,385‌
82‌
1,503‌
—‌
International
Small
Company
Fund
3,807‌
399‌
287‌
4,552‌
LargeCap
Growth
Fund
I
12,275‌
1,012‌
731‌
15,326‌
LargeCap
S&P
500
Index
Fund
15,471‌
1,364‌
984‌
18,745‌
LargeCap
Value
Fund
III
11,001‌
1,012‌
730‌
13,009‌
MidCap
Fund
7,031‌
619‌
447‌
9,371‌
MidCap
Value
Fund
I
—‌
5,889‌
177‌
5,807‌
MidCap
Value
Fund
III
4,740‌
377‌
5,876‌
—‌
Origin
Emerging
Markets
Fund
1,340‌
1,568‌
73‌
3,167‌
Overseas
Fund
11,543‌
1,171‌
845‌
13,211‌
SmallCap
Growth
Fund
I
2,454‌
220‌
159‌
3,237‌
SmallCap
Value
Fund
II
2,267‌
220‌
159‌
2,684‌
$
142,420‌
$
35,746‌
$
31,634‌
$
167,105‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Blue
Chip
Fund
$
—‌
$
2‌
$
—‌
$
1,097‌
Bond
Market
Index
Fund
—‌
—‌
—‌
640‌
Core
Plus
Bond
Account
—‌
1‌
—‌
1,432‌
Diversified
International
Fund
Class
R-6
—‌
—‌
—‌
136‌
Diversified
International
Fund
Institutional
Class
—‌
—‌
—‌
1,600‌
Diversified
Real
Asset
Fund
—‌
—‌
—‌
287‌
Equity
Income
Fund
48‌
—‌
—‌
612‌
Global
Multi-Strategy
Fund
—‌
—‌
—‌
354‌
High
Yield
Fund
I
264‌
(17‌)
—‌
427‌
Inflation
Protection
Fund
17‌
—‌
—‌
169‌
International
Emerging
Markets
Fund
—‌
(69‌)
—‌
105‌
International
Small
Company
Fund
—‌
—‌
—‌
633‌
LargeCap
Growth
Fund
I
—‌
(2‌)
—‌
2,772‌
LargeCap
S&P
500
Index
Fund
—‌
1‌
—‌
2,893‌
LargeCap
Value
Fund
III
—‌
—‌
—‌
1,726‌
MidCap
Fund
—‌
(1‌)
—‌
2,169‌
MidCap
Value
Fund
I
—‌
—‌
—‌
95‌
MidCap
Value
Fund
III
75‌
(1‌)
—‌
760‌
Origin
Emerging
Markets
Fund
—‌
—‌
—‌
332‌
Overseas
Fund
—‌
—‌
—‌
1,342‌
SmallCap
Growth
Fund
I
—‌
—‌
—‌
722‌
SmallCap
Value
Fund
II
—‌
—‌
—‌
356‌
$
404‌
$
(86‌)
$
—‌
$
20,659‌
Amounts
in
thousands
(a)
Purchases
and
Sales
include
transactions
related
to
the
transition
of
assets
from
the
Institutional
Class
to
Class
R-6.
(b)
Purchases
and
Sales
include
transactions
related
to
the
acquisition
of
the
MidCap
Value
Fund
III
by
the
MidCap
Value
Fund
I.
Schedule
of
Investments
Principal
LifeTime
2040
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
171
INVESTMENT
COMPANIES
-
100.01%
Shares
Held
Value
(000's)
Principal
Funds,
Inc.
Class
R-6
-
36.69%
Blue
Chip
Fund
(a)
112,927‌
$
2,877‌
Diversified
International
Fund
(a)
606,913‌
7,465‌
International
Small
Company
Fund
(a)
218,957‌
2,360‌
LargeCap
Growth
Fund
I
(a)
523,255‌
8,236‌
Origin
Emerging
Markets
Fund
(a)
195,045‌
2,097‌
Real
Estate
Securities
Fund
(a)
62,623‌
1,640‌
SmallCap
Growth
Fund
I
(a)
123,378‌
1,735‌
SmallCap
Value
Fund
II
(a)
141,965‌
1,475‌
$
27,885‌
Principal
Funds,
Inc.
Institutional
Class
-
53.75%
Bond
Market
Index
Fund
(a)
322,704‌
3,640‌
Equity
Income
Fund
(a)
77,249‌
2,480‌
High
Yield
Fund
I
(a)
251,740‌
2,392‌
LargeCap
S&P
500
Index
Fund
(a)
547,404‌
10,078‌
LargeCap
Value
Fund
III
(a)
430,435‌
7,128‌
MidCap
Growth
Fund
III
(a)
354,963‌
4,267‌
MidCap
Value
Fund
I
(a)
256,636‌
3,598‌
Overseas
Fund
(a)
764,060‌
7,266‌
$
40,849‌
Principal
Variable
Contracts
Funds,
Inc.
Class
1
-
9.57%
Core
Plus
Bond
Account
(a)
628,349‌
7,276‌
TOTAL
INVESTMENT
COMPANIES
$
76,010‌
Total
Investments
$
76,010‌
Other
Assets
and
Liabilities
-  (0.01)%
(5‌)
TOTAL
NET
ASSETS
-
100.00%
$
76,005‌
(a)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
Portfolio
Summary
(unaudited)
Fund
Type
Percent
Domestic
Equity
Funds
57.26‌%
Fixed
Income
Funds
27.33‌%
International
Equity
Funds
15.42‌%
Other
Assets
and
Liabilities
(0.01‌)%
TOTAL
NET
ASSETS
100.00%
Schedule
of
Investments
Principal
LifeTime
2040
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
172
Affiliated
Securities
December
31,
2018
Purchases
(a),(b)
Sales
(a),(b)
June
30,
2019
Value
Cost
Proceeds
Value
Blue
Chip
Fund
$
2,222‌
$
236‌
$
167‌
$
2,877‌
Bond
Market
Index
Fund
3,098‌
654‌
308‌
3,640‌
Core
Plus
Bond
Account
6,561‌
808‌
569‌
7,276‌
Diversified
International
Fund
Class
R-6
—‌
7,717‌
310‌
7,465‌
Diversified
International
Fund
Institutional
Class
6,277‌
284‌
7,450‌
—‌
Equity
Income
Fund
2,056‌
262‌
167‌
2,480‌
High
Yield
Fund
I
2,331‌
339‌
399‌
2,392‌
International
Emerging
Markets
Fund
911‌
72‌
1,007‌
—‌
International
Small
Company
Fund
1,957‌
263‌
185‌
2,360‌
LargeCap
Growth
Fund
I
6,553‌
708‌
499‌
8,236‌
LargeCap
S&P
500
Index
Fund
8,255‌
948‌
666‌
10,078‌
LargeCap
Value
Fund
III
5,981‌
708‌
499‌
7,128‌
MidCap
Growth
Fund
III
3,267‌
387‌
272‌
4,267‌
MidCap
Value
Fund
I
—‌
3,741‌
139‌
3,598‌
MidCap
Value
Fund
III
2,913‌
292‌
3,732‌
—‌
Origin
Emerging
Markets
Fund
878‌
1,062‌
60‌
2,097‌
Overseas
Fund
6,294‌
816‌
575‌
7,266‌
Real
Estate
Securities
Fund
1,306‌
210‌
136‌
1,640‌
SmallCap
Growth
Fund
I
1,306‌
155‌
109‌
1,735‌
SmallCap
Value
Fund
II
1,236‌
155‌
110‌
1,475‌
$
63,402‌
$
19,817‌
$
17,359‌
$
76,010‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Blue
Chip
Fund
$
—‌
$
2‌
$
—‌
$
584‌
Bond
Market
Index
Fund
—‌
—‌
—‌
196‌
Core
Plus
Bond
Account
—‌
—‌
—‌
476‌
Diversified
International
Fund
Class
R-6
—‌
(1‌)
—‌
59‌
Diversified
International
Fund
Institutional
Class
—‌
(1‌)
—‌
890‌
Equity
Income
Fund
26‌
—‌
—‌
329‌
High
Yield
Fund
I
80‌
—‌
—‌
121‌
International
Emerging
Markets
Fund
—‌
(221‌)
—‌
245‌
International
Small
Company
Fund
—‌
1‌
—‌
324‌
LargeCap
Growth
Fund
I
—‌
—‌
—‌
1,474‌
LargeCap
S&P
500
Index
Fund
—‌
—‌
—‌
1,541‌
LargeCap
Value
Fund
III
—‌
—‌
—‌
938‌
MidCap
Growth
Fund
III
—‌
—‌
—‌
885‌
MidCap
Value
Fund
I
—‌
—‌
—‌
(4‌)
MidCap
Value
Fund
III
47‌
—‌
—‌
527‌
Origin
Emerging
Markets
Fund
—‌
—‌
—‌
217‌
Overseas
Fund
—‌
1‌
—‌
730‌
Real
Estate
Securities
Fund
17‌
—‌
—‌
260‌
SmallCap
Growth
Fund
I
—‌
—‌
—‌
383‌
SmallCap
Value
Fund
II
—‌
—‌
—‌
194‌
$
170‌
$
(219‌)
$
—‌
$
10,369‌
Amounts
in
thousands
(a)
Purchases
and
Sales
include
transactions
related
to
the
transition
of
assets
from
the
Institutional
Class
to
Class
R-6.
(b)
Purchases
and
Sales
include
transactions
related
to
the
acquisition
of
the
MidCap
Value
Fund
III
by
the
MidCap
Value
Fund
I.
Schedule
of
Investments
Principal
LifeTime
2050
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
173
INVESTMENT
COMPANIES
-
100.02%
Shares
Held
Value
(000's)
Principal
Funds,
Inc.
Class
R-6
-
40.45%
Blue
Chip
Fund
(a)
58,816‌
$
1,499‌
Diversified
International
Fund
(a)
316,173‌
3,889‌
International
Small
Company
Fund
(a)
111,736‌
1,204‌
LargeCap
Growth
Fund
I
(a)
274,663‌
4,323‌
Origin
Emerging
Markets
Fund
(a)
104,422‌
1,123‌
Real
Estate
Securities
Fund
(a)
29,596‌
775‌
SmallCap
Growth
Fund
I
(a)
66,873‌
940‌
SmallCap
Value
Fund
II
(a)
77,147‌
802‌
$
14,555‌
Principal
Funds,
Inc.
Institutional
Class
-
54.75%
Bond
Market
Index
Fund
(a)
56,382‌
636‌
Equity
Income
Fund
(a)
40,331‌
1,295‌
High
Yield
Fund
I
(a)
84,494‌
803‌
LargeCap
S&P
500
Index
Fund
(a)
286,010‌
5,265‌
LargeCap
Value
Fund
III
(a)
226,761‌
3,755‌
MidCap
Growth
Fund
III
(a)
189,811‌
2,282‌
MidCap
Value
Fund
I
(a)
134,239‌
1,882‌
Overseas
Fund
(a)
397,694‌
3,782‌
$
19,700‌
Principal
Variable
Contracts
Funds,
Inc.
Class
1
-
4.82%
Core
Plus
Bond
Account
(a)
149,826‌
1,735‌
TOTAL
INVESTMENT
COMPANIES
$
35,990‌
Total
Investments
$
35,990‌
Other
Assets
and
Liabilities
-  (0.02)%
(6‌)
TOTAL
NET
ASSETS
-
100.00%
$
35,984‌
(a)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
Portfolio
Summary
(unaudited)
Fund
Type
Percent
Domestic
Equity
Funds
63.41‌%
Fixed
Income
Funds
19.63‌%
International
Equity
Funds
16.98‌%
Other
Assets
and
Liabilities
(0.02‌)%
TOTAL
NET
ASSETS
100.00%
Schedule
of
Investments
Principal
LifeTime
2050
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
174
Affiliated
Securities
December
31,
2018
Purchases
(a),(b)
Sales
(a),(b)
June
30,
2019
Value
Cost
Proceeds
Value
Blue
Chip
Fund
$
1,206‌
$
75‌
$
96‌
$
1,499‌
Bond
Market
Index
Fund
669‌
69‌
141‌
636‌
Core
Plus
Bond
Account
1,656‌
132‌
170‌
1,735‌
Diversified
International
Fund
Class
R-6
—‌
4,156‌
275‌
3,889‌
Diversified
International
Fund
Institutional
Class
3,451‌
94‌
4,050‌
—‌
Equity
Income
Fund
1,125‌
89‌
97‌
1,295‌
High
Yield
Fund
I
703‌
124‌
60‌
803‌
International
Emerging
Markets
Fund
514‌
22‌
550‌
—‌
International
Small
Company
Fund
1,055‌
83‌
107‌
1,204‌
LargeCap
Growth
Fund
I
3,589‌
229‌
295‌
4,323‌
LargeCap
S&P
500
Index
Fund
4,520‌
306‌
394‌
5,265‌
LargeCap
Value
Fund
III
3,309‌
229‌
294‌
3,755‌
MidCap
Growth
Fund
III
1,828‌
125‌
160‌
2,282‌
MidCap
Value
Fund
I
—‌
1,953‌
80‌
1,882‌
MidCap
Value
Fund
III
1,606‌
96‌
1,980‌
—‌
Origin
Emerging
Markets
Fund
496‌
562‌
56‌
1,123‌
Overseas
Fund
3,459‌
262‌
337‌
3,782‌
Real
Estate
Securities
Fund
653‌
64‌
73‌
775‌
SmallCap
Growth
Fund
I
739‌
51‌
65‌
940‌
SmallCap
Value
Fund
II
706‌
51‌
66‌
802‌
$
31,284‌
$
8,772‌
$
9,346‌
$
35,990‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Blue
Chip
Fund
$
—‌
$
1‌
$
—‌
$
313‌
Bond
Market
Index
Fund
—‌
—‌
—‌
39‌
Core
Plus
Bond
Account
—‌
—‌
—‌
117‌
Diversified
International
Fund
Class
R-6
—‌
—‌
—‌
8‌
Diversified
International
Fund
Institutional
Class
—‌
—‌
—‌
505‌
Equity
Income
Fund
14‌
—‌
—‌
178‌
High
Yield
Fund
I
25‌
—‌
—‌
36‌
International
Emerging
Markets
Fund
—‌
(113‌)
—‌
127‌
International
Small
Company
Fund
—‌
—‌
—‌
173‌
LargeCap
Growth
Fund
I
—‌
—‌
—‌
800‌
LargeCap
S&P
500
Index
Fund
—‌
—‌
—‌
833‌
LargeCap
Value
Fund
III
—‌
—‌
—‌
511‌
MidCap
Growth
Fund
III
—‌
—‌
—‌
489‌
MidCap
Value
Fund
I
—‌
—‌
—‌
9‌
MidCap
Value
Fund
III
23‌
—‌
—‌
278‌
Origin
Emerging
Markets
Fund
—‌
—‌
—‌
121‌
Overseas
Fund
—‌
—‌
—‌
398‌
Real
Estate
Securities
Fund
8‌
1‌
—‌
130‌
SmallCap
Growth
Fund
I
—‌
—‌
—‌
215‌
SmallCap
Value
Fund
II
—‌
—‌
—‌
111‌
$
70‌
$
(111‌)
$
—‌
$
5,391‌
Amounts
in
thousands
(a)
Purchases
and
Sales
include
transactions
related
to
the
transition
of
assets
from
the
Institutional
Class
to
Class
R-6.
(b)
Purchases
and
Sales
include
transactions
related
to
the
acquisition
of
the
MidCap
Value
Fund
III
by
the
MidCap
Value
Fund
I.
Schedule
of
Investments
Principal
LifeTime
2060
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
175
INVESTMENT
COMPANIES
-
100.07%
Shares
Held
Value
(000's)
Principal
Funds,
Inc.
Class
R-6
-
42.22%
Blue
Chip
Fund
(a)
11,128‌
$
283‌
Diversified
International
Fund
(a)
63,436‌
780‌
International
Small
Company
Fund
(a)
21,696‌
234‌
LargeCap
Growth
Fund
I
(a)
51,908‌
817‌
Origin
Emerging
Markets
Fund
(a)
22,571‌
243‌
Real
Estate
Securities
Fund
(a)
5,794‌
152‌
SmallCap
Growth
Fund
I
(a)
13,218‌
186‌
SmallCap
Value
Fund
II
(a)
15,331‌
159‌
$
2,854‌
Principal
Funds,
Inc.
Institutional
Class
-
55.63%
Bond
Market
Index
Fund
(a)
5,962‌
67‌
Equity
Income
Fund
(a)
7,820‌
251‌
High
Yield
Fund
I
(a)
12,646‌
120‌
LargeCap
S&P
500
Index
Fund
(a)
54,996‌
1,013‌
LargeCap
Value
Fund
III
(a)
43,889‌
727‌
MidCap
Growth
Fund
III
(a)
36,830‌
443‌
MidCap
Value
Fund
I
(a)
27,271‌
382‌
Overseas
Fund
(a)
79,702‌
758‌
$
3,761‌
Principal
Variable
Contracts
Funds,
Inc.
Class
1
-
2.22%
Core
Plus
Bond
Account
(a)
12,937‌
150‌
TOTAL
INVESTMENT
COMPANIES
$
6,765‌
Total
Investments
$
6,765‌
Other
Assets
and
Liabilities
-  (0.07)%
(5‌)
TOTAL
NET
ASSETS
-
100.00%
$
6,760‌
(a)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
Portfolio
Summary
(unaudited)
Fund
Type
Percent
Domestic
Equity
Funds
65.28‌%
International
Equity
Funds
18.26‌%
Fixed
Income
Funds
16.53‌%
Other
Assets
and
Liabilities
(0.07‌)%
TOTAL
NET
ASSETS
100.00%
Schedule
of
Investments
Principal
LifeTime
2060
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
176
Affiliated
Securities
December
31,
2018
Purchases
(a),(b)
Sales
(a),(b)
June
30,
2019
Value
Cost
Proceeds
Value
Blue
Chip
Fund
$
187‌
$
81‌
$
39‌
$
283‌
Bond
Market
Index
Fund
27‌
58‌
21‌
67‌
Core
Plus
Bond
Account
103‌
73‌
36‌
150‌
Diversified
International
Fund
Class
R-6
—‌
863‌
109‌
780‌
Diversified
International
Fund
Institutional
Class
543‌
88‌
696‌
—‌
Equity
Income
Fund
175‌
84‌
39‌
251‌
High
Yield
Fund
I
102‌
50‌
37‌
120‌
International
Emerging
Markets
Fund
87‌
29‌
117‌
—‌
International
Small
Company
Fund
160‌
87‌
42‌
234‌
LargeCap
Growth
Fund
I
555‌
244‌
118‌
817‌
LargeCap
S&P
500
Index
Fund
700‌
328‌
159‌
1,013‌
LargeCap
Value
Fund
III
512‌
244‌
118‌
727‌
MidCap
Growth
Fund
III
287‌
136‌
65‌
443‌
MidCap
Value
Fund
I
—‌
443‌
36‌
382‌
MidCap
Value
Fund
III
257‌
95‌
427‌
—‌
Origin
Emerging
Markets
Fund
84‌
166‌
31‌
243‌
Overseas
Fund
544‌
284‌
137‌
758‌
Real
Estate
Securities
Fund
99‌
60‌
28‌
152‌
SmallCap
Growth
Fund
I
119‌
56‌
27‌
186‌
SmallCap
Value
Fund
II
112‌
56‌
27‌
159‌
$
4,653‌
$
3,525‌
$
2,309‌
$
6,765‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Blue
Chip
Fund
$
—‌
$
1‌
$
—‌
$
53‌
Bond
Market
Index
Fund
—‌
—‌
—‌
3‌
Core
Plus
Bond
Account
—‌
—‌
—‌
10‌
Diversified
International
Fund
Class
R-6
—‌
—‌
—‌
26‌
Diversified
International
Fund
Institutional
Class
—‌
—‌
—‌
65‌
Equity
Income
Fund
3‌
—‌
—‌
31‌
High
Yield
Fund
I
4‌
—‌
—‌
5‌
International
Emerging
Markets
Fund
—‌
(8‌)
—‌
9‌
International
Small
Company
Fund
—‌
—‌
—‌
29‌
LargeCap
Growth
Fund
I
—‌
1‌
—‌
135‌
LargeCap
S&P
500
Index
Fund
—‌
1‌
—‌
143‌
LargeCap
Value
Fund
III
—‌
1‌
—‌
88‌
MidCap
Growth
Fund
III
—‌
—‌
—‌
85‌
MidCap
Value
Fund
I
—‌
—‌
—‌
(25‌)
MidCap
Value
Fund
III
5‌
—‌
—‌
75‌
Origin
Emerging
Markets
Fund
—‌
—‌
—‌
24‌
Overseas
Fund
—‌
—‌
—‌
67‌
Real
Estate
Securities
Fund
1‌
—‌
—‌
21‌
SmallCap
Growth
Fund
I
—‌
—‌
—‌
38‌
SmallCap
Value
Fund
II
—‌
—‌
—‌
18‌
$
13‌
$
(4‌)
$
—‌
$
900‌
Amounts
in
thousands
(a)
Purchases
and
Sales
include
transactions
related
to
the
transition
of
assets
from
the
Institutional
Class
to
Class
R-6.
(b)
Purchases
and
Sales
include
transactions
related
to
the
acquisition
of
the
MidCap
Value
Fund
III
by
the
MidCap
Value
Fund
I.
Schedule
of
Investments
Principal
LifeTime
Strategic
Income
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
177
INVESTMENT
COMPANIES
-
100.02%
Shares
Held
Value
(000's)
Principal
Funds,
Inc.
Class
R-6
-
20.78%
Blue
Chip
Fund
(a)
40,930‌
$
1,043‌
Diversified
International
Fund
(a)
51,194‌
630‌
Diversified
Real
Asset
Fund
(a)
37,826‌
432‌
Global
Multi-Strategy
Fund
(a)
146,643‌
1,570‌
International
Small
Company
Fund
(a)
18,802‌
203‌
MidCap
Fund
(a)
24,823‌
732‌
SmallCap
Growth
Fund
I
(a)
10,519‌
148‌
SmallCap
Value
Fund
II
(a)
12,217‌
127‌
$
4,885‌
Principal
Funds,
Inc.
Institutional
Class
-
57.03%
Bond
Market
Index
Fund
(a)
273,841‌
3,089‌
Equity
Income
Fund
(a)
25,154‌
808‌
High
Yield
Fund
I
(a)
189,432‌
1,800‌
Inflation
Protection
Fund
(a)
126,379‌
1,084‌
LargeCap
S&P
500
Index
Fund
(a)
48,591‌
894‌
Overseas
Fund
(a)
64,550‌
614‌
Short-Term
Income
Fund
(a)
417,182‌
5,115‌
$
13,404‌
Principal
Variable
Contracts
Funds,
Inc.
Class
1
-
22.21%
Core
Plus
Bond
Account
(a)
450,771‌
5,220‌
TOTAL
INVESTMENT
COMPANIES
$
23,509‌
Total
Investments
$
23,509‌
Other
Assets
and
Liabilities
-  (0.02)%
(5‌)
TOTAL
NET
ASSETS
-
100.00%
$
23,504‌
(a)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
Portfolio
Summary
(unaudited)
Fund
Type
Percent
Fixed
Income
Funds
72.06‌%
Domestic
Equity
Funds
15.97‌%
Specialty
Funds
8.52‌%
International
Equity
Funds
3.47‌%
Other
Assets
and
Liabilities
(0.02‌)%
TOTAL
NET
ASSETS
100.00%
Schedule
of
Investments
Principal
LifeTime
Strategic
Income
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
178
Affiliated
Securities
December
31,
2018
Purchases
(a)
Sales
(a)
June
30,
2019
Value
Cost
Proceeds
Value
Blue
Chip
Fund
$
800‌
$
73‌
$
41‌
$
1,043‌
Bond
Market
Index
Fund
2,391‌
692‌
153‌
3,089‌
Core
Plus
Bond
Account
4,624‌
544‌
288‌
5,220‌
Diversified
International
Fund
Class
R-6
—‌
718‌
16‌
630‌
Diversified
International
Fund
Institutional
Class
521‌
20‌
691‌
—‌
Diversified
Real
Asset
Fund
369‌
58‌
33‌
432‌
Equity
Income
Fund
662‌
81‌
40‌
808‌
Global
Multi-Strategy
Fund
1,443‌
148‌
103‌
1,570‌
High
Yield
Fund
I
1,941‌
281‌
521‌
1,800‌
Inflation
Protection
Fund
976‌
121‌
66‌
1,084‌
International
Small
Company
Fund
165‌
23‌
13‌
203‌
LargeCap
S&P
500
Index
Fund
728‌
71‌
41‌
894‌
MidCap
Fund
540‌
59‌
33‌
732‌
Overseas
Fund
523‌
69‌
38‌
614‌
Short-Term
Income
Account
4,766‌
414‌
5,256‌
—‌
Short-Term
Income
Fund
—‌
5,116‌
51‌
5,115‌
SmallCap
Growth
Fund
I
111‌
12‌
7‌
148‌
SmallCap
Value
Fund
II
106‌
12‌
7‌
127‌
$
20,666‌
$
8,512‌
$
7,398‌
$
23,509‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Blue
Chip
Fund
$
—‌
$
1‌
$
—‌
$
210‌
Bond
Market
Index
Fund
—‌
—‌
—‌
159‌
Core
Plus
Bond
Account
—‌
—‌
—‌
340‌
Diversified
International
Fund
Class
R-6
—‌
—‌
—‌
(72‌)
Diversified
International
Fund
Institutional
Class
—‌
—‌
—‌
150‌
Diversified
Real
Asset
Fund
—‌
—‌
—‌
38‌
Equity
Income
Fund
9‌
1‌
—‌
104‌
Global
Multi-Strategy
Fund
—‌
—‌
—‌
82‌
High
Yield
Fund
I
65‌
(4‌)
—‌
103‌
Inflation
Protection
Fund
5‌
—‌
—‌
53‌
International
Small
Company
Fund
—‌
—‌
—‌
28‌
LargeCap
S&P
500
Index
Fund
—‌
1‌
—‌
135‌
MidCap
Fund
—‌
1‌
—‌
165‌
Overseas
Fund
—‌
—‌
—‌
60‌
Short-Term
Income
Account
—‌
88‌
—‌
(12‌)
Short-Term
Income
Fund
25‌
—‌
—‌
50‌
SmallCap
Growth
Fund
I
—‌
—‌
—‌
32‌
SmallCap
Value
Fund
II
—‌
—‌
—‌
16‌
$
104‌
$
88‌
$
—‌
$
1,641‌
Amounts
in
thousands
(a)
Purchases
and
Sales
include
transactions
related
to
the
transition
of
assets
from
the
Institutional
Class
to
Class
R-6.
Schedule
of
Investments
Real
Estate
Securities
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
179
COMMON
STOCKS
-
98.93%
Shares
Held
Value
(000's)
Lodging
-
2.81%
Extended
Stay
America
Inc
58,773‌
$
993‌
Hilton
Worldwide
Holdings
Inc
34,419‌
3,364‌
$
4,357‌
REITs
-
93.60%
Alexandria
Real
Estate
Equities
Inc
48,638‌
6,862‌
American
Homes
4
Rent
117,715‌
2,862‌
American
Tower
Corp
5,556‌
1,136‌
Americold
Realty
Trust
54,677‌
1,773‌
Apartment
Investment
&
Management
Co
95,543‌
4,789‌
AvalonBay
Communities
Inc
46,450‌
9,438‌
Boston
Properties
Inc
35,917‌
4,633‌
Corporate
Office
Properties
Trust
15,169‌
400‌
Cousins
Properties
Inc
66,697‌
2,412‌
Crown
Castle
International
Corp
11,511‌
1,500‌
CubeSmart
72,894‌
2,437‌
Duke
Realty
Corp
78,116‌
2,469‌
EPR
Properties
39,437‌
2,942‌
Equinix
Inc
19,259‌
9,712‌
Equity
LifeStyle
Properties
Inc
22,250‌
2,700‌
Equity
Residential
20,747‌
1,575‌
Essex
Property
Trust
Inc
22,219‌
6,486‌
Extra
Space
Storage
Inc
35,380‌
3,754‌
First
Industrial
Realty
Trust
Inc
37,922‌
1,393‌
HCP
Inc
57,450‌
1,837‌
Healthcare
Realty
Trust
Inc
51,570‌
1,615‌
Healthcare
Trust
of
America
Inc
152,076‌
4,171‌
Industrial
Logistics
Properties
Trust
6,040‌
126‌
Invitation
Homes
Inc
276,346‌
7,387‌
Kilroy
Realty
Corp
44,461‌
3,282‌
Physicians
Realty
Trust
65,631‌
1,144‌
Prologis
Inc
139,962‌
11,211‌
Public
Storage
10,722‌
2,554‌
Regency
Centers
Corp
73,521‌
4,907‌
Sabra
Health
Care
REIT
Inc
87,660‌
1,726‌
Saul
Centers
Inc
13,444‌
755‌
Simon
Property
Group
Inc
37,105‌
5,928‌
Spirit
Realty
Capital
Inc
42,664‌
1,820‌
STORE
Capital
Corp
138,475‌
4,596‌
Sun
Communities
Inc
34,470‌
4,419‌
Sunstone
Hotel
Investors
Inc
174,453‌
2,392‌
Tanger
Factory
Outlet
Centers
Inc
43,247‌
701‌
Taubman
Centers
Inc
27,290‌
1,114‌
Terreno
Realty
Corp
54,850‌
2,690‌
VICI
Properties
Inc
111,109‌
2,449‌
Welltower
Inc
100,225‌
8,171‌
Weyerhaeuser
Co
35,840‌
944‌
$
145,212‌
Software
-
2.52%
InterXion
Holding
NV
(a)
51,421‌
3,913‌
TOTAL
COMMON
STOCKS
$
153,482‌
INVESTMENT
COMPANIES
-
0.73%
Shares
Held
Value
(000's)
Money
Market
Funds
-
0.73%
Principal
Government
Money
Market
Fund
2.23%
(b),(c)
1,129,310‌
1,129‌
TOTAL
INVESTMENT
COMPANIES
$
1,129‌
Total
Investments
$
154,611‌
Other
Assets
and
Liabilities
-  0.34%
520‌
TOTAL
NET
ASSETS
-
100.00%
$
155,131‌
(a)
Non-income
producing
security
(b)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(c)
Current
yield
shown
is
as
of
period
end.
Portfolio
Summary
(unaudited)
Sector
Percent
Financial
93.60‌%
Consumer,
Cyclical
2.81‌%
Technology
2.52‌%
Money
Market
Funds
0.73‌%
Other
Assets
and
Liabilities
0.34‌%
TOTAL
NET
ASSETS
100.00%
Schedule
of
Investments
Real
Estate
Securities
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
180
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Principal
Government
Money
Market
Fund
2.23%
$
911‌
$
14,566‌
$
14,348‌
$
1,129‌
$
911‌
$
14,566‌
$
14,348‌
$
1,129‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Principal
Government
Money
Market
Fund
2.23%
$
10‌
$
—‌
$
—‌
$
—‌
$
10‌
$
—‌
$
—‌
$
—‌
Amounts
in
thousands
Schedule
of
Investments
SAM
Balanced
Portfolio
June
30,
2019
(unaudited)
See
accompanying
notes.
181
INVESTMENT
COMPANIES
-
100.02%
Shares
Held
Value
(000's)
Money
Market
Funds
-
0.32%
Principal
Government
Money
Market
Fund
2.23%
(a),(b)
2,240,579‌
$
2,241‌
Principal
Exchange-Traded
Funds
-
20.30%
Principal
Active
Global
Dividend
Income
ETF
(a)
1,237,500‌
34,662‌
Principal
Active
Income
ETF
(a)
228,100‌
9,149‌
Principal
Investment
Grade
Corporate
Active
ETF
(a)
205,200‌
5,394‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
(a)
2,665,200‌
77,531‌
Principal
U.S.
Small-Cap
Multi-Factor
Index
ETF
(a)
504,100‌
15,844‌
$
142,580‌
Principal
Funds,
Inc.
Class
R-6
-
53.00%
Blue
Chip
Fund
(a)
2,339,073‌
59,598‌
Diversified
International
Fund
(a)
6,474,574‌
79,637‌
Diversified
Real
Asset
Fund
(a)
2,022,522‌
23,117‌
EDGE
MidCap
Fund
(a)
1,865,761‌
26,774‌
Global
Multi-Strategy
Fund
(a)
2,292,671‌
24,554‌
Global
Real
Estate
Securities
Fund
(a)
1,994,640‌
20,445‌
High
Yield
Fund
(a)
1,483,616‌
10,608‌
Income
Fund
(a)
8,793,649‌
84,859‌
International
Small
Company
Fund
(a)
788,939‌
8,505‌
Origin
Emerging
Markets
Fund
(a)
849,682‌
9,134‌
Preferred
Securities
Fund
(a)
1,832,901‌
18,494‌
Real
Estate
Debt
Income
Fund
(a)
648,546‌
6,408‌
$
372,133‌
Principal
Funds,
Inc.
Institutional
Class
-
8.55%
Inflation
Protection
Fund
(a)
1,292,279‌
11,087‌
Short-Term
Income
Fund
(a)
3,991,662‌
48,938‌
$
60,025‌
Principal
Variable
Contracts
Funds,
Inc.
Class
1
-
17.85%
Equity
Income
Account
(a)
3,244,068‌
86,811‌
Government
&
High
Quality
Bond
Account
(a)
3,897,832‌
38,550‌
$
125,361‌
TOTAL
INVESTMENT
COMPANIES
$
702,340‌
Total
Investments
$
702,340‌
Other
Assets
and
Liabilities
-  (0.02)%
(161‌)
TOTAL
NET
ASSETS
-
100.00%
$
702,179‌
(a)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(b)
Current
yield
shown
is
as
of
period
end.
Portfolio
Summary
(unaudited)
Fund
Type
Percent
Fixed
Income
Funds
44.60‌%
Domestic
Equity
Funds
37.96‌%
International
Equity
Funds
10.35‌%
Specialty
Funds
6.79‌%
Money
Market
Funds
0.32‌%
Other
Assets
and
Liabilities
(0.02‌)%
TOTAL
NET
ASSETS
100.00%
Schedule
of
Investments
SAM
Balanced
Portfolio
June
30,
2019
(unaudited)
See
accompanying
notes.
182
Affiliated
Securities
December
31,
2018
Purchases
(a)
Sales
(a)
June
30,
2019
Value
Cost
Proceeds
Value
Blue
Chip
Fund
$
54,795‌
$
155‌
$
9,130‌
$
59,598‌
Diversified
International
Fund
Class
R-6
—‌
78,682‌
3,186‌
79,637‌
Diversified
International
Fund
Institutional
Class
71,127‌
936‌
78,482‌
—‌
Diversified
Real
Asset
Fund
22,409‌
167‌
1,728‌
23,117‌
EDGE
MidCap
Fund
24,457‌
95‌
2,494‌
26,774‌
Equity
Income
Account
80,186‌
309‌
7,074‌
86,811‌
Global
Multi-Strategy
Fund
26,336‌
14‌
3,210‌
24,554‌
Global
Real
Estate
Securities
Fund
20,436‌
220‌
3,338‌
20,445‌
Government
&
High
Quality
Bond
Account
40,125‌
400‌
3,649‌
38,550‌
High
Yield
Fund
10,242‌
463‌
771‌
10,608‌
Income
Account
79,967‌
262‌
83,449‌
—‌
Income
Fund
—‌
84,245‌
436‌
84,859‌
Inflation
Protection
Fund
11,152‌
138‌
765‌
11,087‌
International
Emerging
Markets
Fund
8,258‌
6‌
9,276‌
—‌
International
Small
Company
Fund
7,392‌
27‌
127‌
8,505‌
Origin
Emerging
Markets
Fund
—‌
9,284‌
49‌
9,134‌
Preferred
Securities
Fund
17,967‌
577‌
1,362‌
18,494‌
Principal
Active
Global
Dividend
Income
ETF
30,012‌
—‌
—‌
34,662‌
Principal
Active
Income
ETF
8,651‌
—‌
—‌
9,149‌
Principal
Government
Money
Market
Fund
2.23%
2,067‌
7,667‌
7,493‌
2,241‌
Principal
Investment
Grade
Corporate
Active
ETF
10,579‌
—‌
5,922‌
5,394‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
66,603‌
—‌
—‌
77,531‌
Principal
U.S.
Small-Cap
Multi-Factor
Index
ETF
14,004‌
—‌
—‌
15,844‌
Real
Estate
Debt
Income
Fund
7,387‌
131‌
1,486‌
6,408‌
Short-Term
Income
Fund
50,441‌
2,124‌
4,637‌
48,938‌
$
664,593‌
$
185,902‌
$
228,064‌
$
702,340‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Blue
Chip
Fund
$
—‌
$
660‌
$
—‌
$
13,118‌
Diversified
International
Fund
Class
R-6
—‌
(1‌)
—‌
4,142‌
Diversified
International
Fund
Institutional
Class
—‌
(19‌)
—‌
6,438‌
Diversified
Real
Asset
Fund
—‌
17‌
—‌
2,252‌
EDGE
MidCap
Fund
—‌
43‌
—‌
4,673‌
Equity
Income
Account
—‌
682‌
—‌
12,708‌
Global
Multi-Strategy
Fund
—‌
9‌
—‌
1,405‌
Global
Real
Estate
Securities
Fund
208‌
152‌
—‌
2,975‌
Government
&
High
Quality
Bond
Account
—‌
(88‌)
—‌
1,762‌
High
Yield
Fund
314‌
1‌
—‌
673‌
Income
Account
—‌
7,339‌
—‌
(4,119‌)
Income
Fund
257‌
2‌
—‌
1,048‌
Inflation
Protection
Fund
55‌
(31‌)
—‌
593‌
International
Emerging
Markets
Fund
—‌
1,749‌
—‌
(737‌)
International
Small
Company
Fund
—‌
6‌
—‌
1,207‌
Origin
Emerging
Markets
Fund
—‌
(1‌)
—‌
(100‌)
Preferred
Securities
Fund
464‌
(73‌)
—‌
1,385‌
Principal
Active
Global
Dividend
Income
ETF
185‌
—‌
—‌
4,650‌
Principal
Active
Income
ETF
184‌
—‌
—‌
498‌
Principal
Government
Money
Market
Fund
2.23%
26‌
—‌
—‌
—‌
Principal
Investment
Grade
Corporate
Active
ETF
170‌
153‌
—‌
584‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
405‌
—‌
—‌
10,928‌
Principal
U.S.
Small-Cap
Multi-Factor
Index
ETF
55‌
—‌
—‌
1,840‌
Real
Estate
Debt
Income
Fund
131‌
3‌
—‌
373‌
Short-Term
Income
Fund
618‌
(35‌)
—‌
1,045‌
$
3,072‌
$
10,568‌
$
—‌
$
69,341‌
Amounts
in
thousands
(a)
Purchases
and
Sales
include
transactions
related
to
the
transition
of
assets
from
the
Institutional
Class
to
Class
R-6.
Schedule
of
Investments
SAM
Conservative
Balanced
Portfolio
June
30,
2019
(unaudited)
See
accompanying
notes.
183
INVESTMENT
COMPANIES
-
100.02%
Shares
Held
Value
(000's)
Money
Market
Funds
-
0.53%
Principal
Government
Money
Market
Fund
2.23%
(a),(b)
991,138‌
$
991‌
Principal
Exchange-Traded
Funds
-
13.72%
Principal
Active
Global
Dividend
Income
ETF
(a)
133,000‌
3,726‌
Principal
Active
Income
ETF
(a)
126,800‌
5,086‌
Principal
Investment
Grade
Corporate
Active
ETF
(a)
73,400‌
1,929‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
(a)
431,800‌
12,561‌
Principal
U.S.
Small-Cap
Multi-Factor
Index
ETF
(a)
78,200‌
2,458‌
$
25,760‌
Principal
Funds,
Inc.
Class
R-6
-
54.11%
Blue
Chip
Fund
(a)
422,673‌
10,770‌
Diversified
International
Fund
(a)
1,172,737‌
14,425‌
Diversified
Real
Asset
Fund
(a)
482,124‌
5,511‌
EDGE
MidCap
Fund
(a)
316,120‌
4,536‌
Global
Diversified
Income
Fund
(a)
367,672‌
4,996‌
Global
Multi-Strategy
Fund
(a)
635,133‌
6,802‌
Global
Real
Estate
Securities
Fund
(a)
415,695‌
4,261‌
High
Yield
Fund
(a)
651,025‌
4,655‌
Income
Fund
(a)
3,453,908‌
33,330‌
International
Small
Company
Fund
(a)
146,002‌
1,574‌
Origin
Emerging
Markets
Fund
(a)
143,200‌
1,539‌
Preferred
Securities
Fund
(a)
761,326‌
7,682‌
Real
Estate
Debt
Income
Fund
(a)
153,010‌
1,512‌
$
101,593‌
Principal
Funds,
Inc.
Institutional
Class
-
13.72%
Inflation
Protection
Fund
(a)
571,099‌
4,900‌
Short-Term
Income
Fund
(a)
1,701,666‌
20,862‌
$
25,762‌
Principal
Variable
Contracts
Funds,
Inc.
Class
1
-
17.94%
Equity
Income
Account
(a)
582,354‌
15,584‌
Government
&
High
Quality
Bond
Account
(a)
1,830,332‌
18,102‌
$
33,686‌
TOTAL
INVESTMENT
COMPANIES
$
187,792‌
Total
Investments
$
187,792‌
Other
Assets
and
Liabilities
-  (0.02)%
(46‌)
TOTAL
NET
ASSETS
-
100.00%
$
187,746‌
(a)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(b)
Current
yield
shown
is
as
of
period
end.
Portfolio
Summary
(unaudited)
Fund
Type
Percent
Fixed
Income
Funds
59.90‌%
Domestic
Equity
Funds
24.46‌%
Specialty
Funds
9.22‌%
International
Equity
Funds
5.91‌%
Money
Market
Funds
0.53‌%
Other
Assets
and
Liabilities
(0.02‌)%
TOTAL
NET
ASSETS
100.00%
Schedule
of
Investments
SAM
Conservative
Balanced
Portfolio
June
30,
2019
(unaudited)
See
accompanying
notes.
184
Affiliated
Securities
December
31,
2018
Purchases
(a)
Sales
(a)
June
30,
2019
Value
Cost
Proceeds
Value
Blue
Chip
Fund
$
9,319‌
$
344‌
$
1,319‌
$
10,770‌
Diversified
International
Fund
Class
R-6
—‌
13,769‌
285‌
14,425‌
Diversified
International
Fund
Institutional
Class
12,173‌
563‌
13,647‌
—‌
Diversified
Real
Asset
Fund
5,061‌
156‌
228‌
5,511‌
EDGE
MidCap
Fund
3,962‌
186‌
394‌
4,536‌
Equity
Income
Account
13,827‌
461‌
1,068‌
15,584‌
Global
Diversified
Income
Fund
4,642‌
29
4‌
2
50‌
4,996‌
Global
Multi-Strategy
Fund
6,969‌
152‌
699‌
6,802‌
Global
Real
Estate
Securities
Fund
3,917‌
243‌
520‌
4,261‌
Government
&
High
Quality
Bond
Account
17,903‌
528‌
1,105‌
18,102‌
High
Yield
Fund
4,362‌
384‌
388‌
4,655‌
Income
Account
29,763‌
686‌
31,690‌
—‌
Income
Fund
—‌
33,055‌
136‌
33,330‌
Inflation
Protection
Fund
4,746‌
178‌
271‌
4,900‌
International
Emerging
Markets
Fund
1,347‌
47‌
1,561‌
—‌
International
Small
Company
Fund
1,335‌
64‌
47‌
1,574‌
Origin
Emerging
Markets
Fund
—‌
1,556‌
—‌
1,539‌
Preferred
Securities
Fund
7,074‌
482‌
406‌
7,682‌
Principal
Active
Global
Dividend
Income
ETF
3,226‌
—‌
—‌
3,726‌
Principal
Active
Income
ETF
4,809‌
—‌
—‌
5,086‌
Principal
Government
Money
Market
Fund
2.23%
897‌
2,991‌
2,897‌
991‌
Principal
Investment
Grade
Corporate
Active
ETF
4,251‌
—‌
2,608‌
1,929‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
10,791‌
—‌
—‌
12,561‌
Principal
U.S.
Small-Cap
Multi-Factor
Index
ETF
2,172‌
—‌
—‌
2,458‌
Real
Estate
Debt
Income
Fund
1,616‌
54‌
244‌
1,512‌
Short-Term
Income
Fund
20,485‌
1,330‌
1,378‌
20,862‌
$
174,647‌
$
57,52
3‌
$
61,14
1‌
$
187,792‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Blue
Chip
Fund
$
—‌
$
49‌
$
—‌
$
2,377‌
Diversified
International
Fund
Class
R-6
—‌
(1‌)
—‌
942‌
Diversified
International
Fund
Institutional
Class
—‌
—‌
—‌
911‌
Diversified
Real
Asset
Fund
—‌
—‌
—‌
522‌
EDGE
MidCap
Fund
—‌
9‌
—‌
773‌
Equity
Income
Account
—‌
(5‌)
—‌
2,369‌
Global
Diversified
Income
Fund
126‌
(1
0‌
)
—‌
32
0‌
Global
Multi-Strategy
Fund
—‌
(24‌)
—‌
404‌
Global
Real
Estate
Securities
Fund
43‌
14‌
—‌
607‌
Government
&
High
Quality
Bond
Account
—‌
(50‌)
—‌
826‌
High
Yield
Fund
141‌
2‌
—‌
295‌
Income
Account
—‌
2,107‌
—‌
(866‌)
Income
Fund
100‌
1‌
—‌
410‌
Inflation
Protection
Fund
24‌
(9‌)
—‌
256‌
International
Emerging
Markets
Fund
—‌
312‌
—‌
(145‌)
International
Small
Company
Fund
—‌
(9‌)
—‌
231‌
Origin
Emerging
Markets
Fund
—‌
—‌
—‌
(17‌)
Preferred
Securities
Fund
192‌
(19‌)
—‌
551‌
Principal
Active
Global
Dividend
Income
ETF
20‌
—‌
—‌
500‌
Principal
Active
Income
ETF
103‌
—‌
—‌
277‌
Principal
Government
Money
Market
Fund
2.23%
11‌
—‌
—‌
—‌
Principal
Investment
Grade
Corporate
Active
ETF
68‌
67‌
—‌
219‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
66‌
—‌
—‌
1,770‌
Principal
U.S.
Small-Cap
Multi-Factor
Index
ETF
8‌
—‌
—‌
286‌
Real
Estate
Debt
Income
Fund
30‌
1‌
—‌
85‌
Short-Term
Income
Fund
260‌
(9‌)
—‌
434‌
$
1,192‌
$
2,42
6‌
$
—‌
$
14,33
7‌
Amounts
in
thousands
(a)
Purchases
and
Sales
include
transactions
related
to
the
transition
of
assets
from
the
Institutional
Class
to
Class
R-6.
Schedule
of
Investments
SAM
Conservative
Growth
Portfolio
June
30,
2019
(unaudited)
See
accompanying
notes.
185
INVESTMENT
COMPANIES
-
100.03%
Shares
Held
Value
(000's)
Money
Market
Funds
-
0.26%
Principal
Government
Money
Market
Fund
2.23%
(a),(b)
862,121‌
$
862‌
Principal
Exchange-Traded
Funds
-
20.85%
Principal
Active
Global
Dividend
Income
ETF
(a)
378,000‌
10,588‌
Principal
Investment
Grade
Corporate
Active
ETF
(a)
64,900‌
1,706‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
(a)
1,637,800‌
47,644‌
Principal
U.S.
Small-Cap
Multi-Factor
Index
ETF
(a)
333,900‌
10,494‌
$
70,432‌
Principal
Funds,
Inc.
Class
R-6
-
54.76%
Blue
Chip
Fund
(a)
1,588,873‌
40,485‌
Diversified
International
Fund
(a)
4,550,997‌
55,977‌
Diversified
Real
Asset
Fund
(a)
1,059,134‌
12,106‌
EDGE
MidCap
Fund
(a)
1,385,606‌
19,884‌
Global
Multi-Strategy
Fund
(a)
402,369‌
4,309‌
Global
Real
Estate
Securities
Fund
(a)
1,110,500‌
11,383‌
Income
Fund
(a)
1,718,016‌
16,579‌
International
Small
Company
Fund
(a)
516,086‌
5,563‌
Multi-Manager
Equity
Long/Short
Fund
(a)
772,701‌
7,240‌
Origin
Emerging
Markets
Fund
(a)
577,249‌
6,205‌
Preferred
Securities
Fund
(a)
521,467‌
5,262‌
$
184,993‌
Principal
Funds,
Inc.
Institutional
Class
-
4.48%
Short-Term
Income
Fund
(a)
1,235,187‌
15,143‌
Principal
Variable
Contracts
Funds,
Inc.
Class
1
-
19.68%
Equity
Income
Account
(a)
2,128,820‌
56,967‌
Government
&
High
Quality
Bond
Account
(a)
963,003‌
9,524‌
$
66,491‌
TOTAL
INVESTMENT
COMPANIES
$
337,921‌
Total
Investments
$
337,921‌
Other
Assets
and
Liabilities
-  (0.03)%
(96‌)
TOTAL
NET
ASSETS
-
100.00%
$
337,825‌
(a)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(b)
Current
yield
shown
is
as
of
period
end.
Portfolio
Summary
(unaudited)
Fund
Type
Percent
Domestic
Equity
Funds
51.94‌%
Fixed
Income
Funds
30.85‌%
International
Equity
Funds
9.99‌%
Specialty
Funds
6.99‌%
Money
Market
Funds
0.26‌%
Other
Assets
and
Liabilities
(0.03‌)%
TOTAL
NET
ASSETS
100.00%
Schedule
of
Investments
SAM
Conservative
Growth
Portfolio
June
30,
2019
(unaudited)
See
accompanying
notes.
186
Affiliated
Securities
December
31,
2018
Purchases
(a)
Sales
(a)
June
30,
2019
Value
Cost
Proceeds
Value
Blue
Chip
Fund
$
35,689‌
$
376‌
$
4,634‌
$
40,485‌
Diversified
International
Fund
Class
R-6
—‌
54,014‌
759‌
55,977‌
Diversified
International
Fund
Institutional
Class
47,933‌
839‌
53,245‌
—‌
Diversified
Real
Asset
Fund
11,715‌
185‌
980‌
12,106‌
EDGE
MidCap
Fund
17,707‌
395‌
1,666‌
19,884‌
Equity
Income
Account
52,108‌
575‌
4,402‌
56,967‌
Global
Multi-Strategy
Fund
5,034‌
11‌
995‌
4,309‌
Global
Real
Estate
Securities
Fund
10,875‌
153‌
1,319‌
11,383‌
Government
&
High
Quality
Bond
Account
9,629‌
297‌
807‌
9,524‌
Income
Account
16,085‌
107‌
16,840‌
—‌
Income
Fund
—‌
16,448‌
73‌
16,579‌
International
Small
Company
Fund
4,663‌
149‌
24‌
5,563‌
Multi-Manager
Equity
Long/Short
Fund
7,946‌
15‌
1,233‌
7,240‌
Origin
Emerging
Markets
Fund
5,466‌
118‌
245‌
6,205‌
Preferred
Securities
Fund
5,137‌
224‌
474‌
5,262‌
Principal
Active
Global
Dividend
Income
ETF
9,167‌
—‌
—‌
10,588‌
Principal
Government
Money
Market
Fund
2.23%
797‌
1,319‌
1,254‌
862‌
Principal
Investment
Grade
Corporate
Active
ETF
2,084‌
—‌
552‌
1,706‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
40,929‌
—‌
—‌
47,644‌
Principal
U.S.
Small-Cap
Multi-Factor
Index
ETF
9,276‌
—‌
—‌
10,494‌
Short-Term
Income
Fund
15,424‌
661‌
1,253‌
15,143‌
$
307,664‌
$
75,886‌
$
90,755‌
$
337,921‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Blue
Chip
Fund
$
—‌
$
110‌
$
—‌
$
8,944‌
Diversified
International
Fund
Class
R-6
—‌
(37‌)
—‌
2,759‌
Diversified
International
Fund
Institutional
Class
—‌
(2‌)
—‌
4,475‌
Diversified
Real
Asset
Fund
—‌
(17‌)
—‌
1,203‌
EDGE
MidCap
Fund
—‌
35‌
—‌
3,413‌
Equity
Income
Account
—‌
(123‌)
—‌
8,809‌
Global
Multi-Strategy
Fund
—‌
25‌
—‌
234‌
Global
Real
Estate
Securities
Fund
114‌
27‌
—‌
1,647‌
Government
&
High
Quality
Bond
Account
—‌
(40‌)
—‌
445‌
Income
Account
—‌
1,135‌
—‌
(487‌)
Income
Fund
49‌
—‌
—‌
204‌
International
Small
Company
Fund
—‌
(2‌)
—‌
777‌
Multi-Manager
Equity
Long/Short
Fund
—‌
(93‌)
—‌
605‌
Origin
Emerging
Markets
Fund
—‌
17‌
—‌
849‌
Preferred
Securities
Fund
134‌
(15‌)
—‌
390‌
Principal
Active
Global
Dividend
Income
ETF
57‌
—‌
—‌
1,421‌
Principal
Government
Money
Market
Fund
2.23%
10‌
—‌
—‌
—‌
Principal
Investment
Grade
Corporate
Active
ETF
35‌
20‌
—‌
154‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
249‌
—‌
—‌
6,715‌
Principal
U.S.
Small-Cap
Multi-Factor
Index
ETF
36‌
—‌
—‌
1,218‌
Short-Term
Income
Fund
190‌
(10‌)
—‌
321‌
$
874‌
$
1,030‌
$
—‌
$
44,096‌
Amounts
in
thousands
(a)
Purchases
and
Sales
include
transactions
related
to
the
transition
of
assets
from
the
Institutional
Class
to
Class
R-6.
Schedule
of
Investments
SAM
Flexible
Income
Portfolio
June
30,
2019
(unaudited)
See
accompanying
notes.
187
INVESTMENT
COMPANIES
-
100.02%
Shares
Held
Value
(000's)
Money
Market
Funds
-
0.99%
Principal
Government
Money
Market
Fund
2.23%
(a),(b)
1,854,374‌
$
1,854‌
Principal
Exchange-Traded
Funds
-
15.77%
Principal
Active
Global
Dividend
Income
ETF
(a)
505,300‌
14,154‌
Principal
Active
Income
ETF
(a)
124,400‌
4,990‌
Principal
Investment
Grade
Corporate
Active
ETF
(a)
110,300‌
2,899‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
(a)
253,600‌
7,377‌
$
29,420‌
Principal
Funds,
Inc.
Class
R-6
-
46.86%
Blue
Chip
Fund
(a)
90,050‌
2,295‌
EDGE
MidCap
Fund
(a)
174,052‌
2,498‌
Global
Diversified
Income
Fund
(a)
655,288‌
8,905‌
Global
Real
Estate
Securities
Fund
(a)
622,764‌
6,383‌
High
Yield
Fund
(a)
1,142,741‌
8,171‌
Income
Fund
(a)
4,834,942‌
46,657‌
Preferred
Securities
Fund
(a)
947,313‌
9,558‌
Real
Estate
Debt
Income
Fund
(a)
300,601‌
2,970‌
$
87,437‌
Principal
Funds,
Inc.
Institutional
Class
-
18.83%
Inflation
Protection
Fund
(a)
1,387,406‌
11,904‌
Short-Term
Income
Fund
(a)
1,894,468‌
23,226‌
$
35,130‌
Principal
Variable
Contracts
Funds,
Inc.
Class
1
-
17.57%
Equity
Income
Account
(a)
452,329‌
12,104‌
Government
&
High
Quality
Bond
Account
(a)
2,089,947‌
20,670‌
$
32,774‌
TOTAL
INVESTMENT
COMPANIES
$
186,615‌
Total
Investments
$
186,615‌
Other
Assets
and
Liabilities
-  (0.02)%
(45‌)
TOTAL
NET
ASSETS
-
100.00%
$
186,570‌
(a)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(b)
Current
yield
shown
is
as
of
period
end.
Portfolio
Summary
(unaudited)
Fund
Type
Percent
Fixed
Income
Funds
70.24‌%
Domestic
Equity
Funds
13.01‌%
International
Equity
Funds
11.01‌%
Specialty
Funds
4.77‌%
Money
Market
Funds
0.99‌%
Other
Assets
and
Liabilities
(0.02‌)%
TOTAL
NET
ASSETS
100.00%
Schedule
of
Investments
SAM
Flexible
Income
Portfolio
June
30,
2019
(unaudited)
See
accompanying
notes.
188
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Blue
Chip
Fund
$
1,887‌
$
338‌
$
452‌
$
2,295‌
EDGE
MidCap
Fund
2,515‌
106‌
609‌
2,498‌
Equity
Income
Account
11,253‌
314‌
1,348‌
12,104‌
Global
Diversified
Income
Fund
8,979‌
42
6‌
1,08
7‌
8,905‌
Global
Real
Estate
Securities
Fund
6,772‌
131‌
1,561‌
6,383‌
Government
&
High
Quality
Bond
Account
21,000‌
850‌
2,079‌
20,670‌
High
Yield
Fund
7,655‌
1,728‌
1,719‌
8,171‌
Income
Account
42,682‌
635‌
45,071‌
—‌
Income
Fund
—‌
46,634‌
557‌
46,657‌
Inflation
Protection
Fund
12,205‌
315‌
1,236‌
11,904‌
Preferred
Securities
Fund
9,184‌
642‌
947‌
9,558‌
Principal
Active
Global
Dividend
Income
ETF
12,255‌
—‌
—‌
14,154‌
Principal
Active
Income
ETF
5,670‌
—‌
986‌
4,990‌
Principal
Government
Money
Market
Fund
2.23%
1,632‌
4,831‌
4,609‌
1,854‌
Principal
Investment
Grade
Corporate
Active
ETF
5,868‌
—‌
3,373‌
2,899‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
6,337‌
—‌
—‌
7,377‌
Real
Estate
Debt
Income
Fund
3,406‌
120‌
733‌
2,970‌
Short-Term
Income
Fund
23,258‌
1,425‌
1,935‌
23,226‌
$
182,558‌
$
58,49
5‌
$
68,30
2‌
$
186,615‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Blue
Chip
Fund
$
—‌
$
(9‌)
$
—‌
$
531‌
EDGE
MidCap
Fund
—‌
2‌
—‌
484‌
Equity
Income
Account
—‌
413‌
—‌
1,472‌
Global
Diversified
Income
Fund
235‌
1‌
—‌
58
6‌
Global
Real
Estate
Securities
Fund
67‌
108‌
—‌
933‌
Government
&
High
Quality
Bond
Account
—‌
(67‌)
—‌
966‌
High
Yield
Fund
236‌
19‌
—‌
488‌
Income
Account
—‌
3,169‌
—‌
(1,415‌)
Income
Fund
142‌
2‌
—‌
578‌
Inflation
Protection
Fund
59‌
(35‌)
—‌
655‌
Preferred
Securities
Fund
242‌
(44‌)
—‌
723‌
Principal
Active
Global
Dividend
Income
ETF
75‌
—‌
—‌
1,899‌
Principal
Active
Income
ETF
121‌
3‌
—‌
303‌
Principal
Government
Money
Market
Fund
2.23%
22‌
—‌
—‌
—‌
Principal
Investment
Grade
Corporate
Active
ETF
94‌
86‌
—‌
318‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
38‌
—‌
—‌
1,040‌
Real
Estate
Debt
Income
Fund
62‌
4‌
—‌
173‌
Short-Term
Income
Fund
292‌
(9‌)
—‌
487‌
$
1,685‌
$
3,64
3‌
$
—‌
$
10,22
1‌
Amounts
in
thousands
Schedule
of
Investments
SAM
Strategic
Growth
Portfolio
June
30,
2019
(unaudited)
See
accompanying
notes.
189
INVESTMENT
COMPANIES
-
100.03%
Shares
Held
Value
(000's)
Money
Market
Funds
-
0.40%
Principal
Government
Money
Market
Fund
2.23%
(a),(b)
1,170,922‌
$
1,171‌
Principal
Exchange-Traded
Funds
-
20.24%
Principal
Active
Global
Dividend
Income
ETF
(a)
578,000‌
16,190‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
(a)
1,056,500‌
30,734‌
Principal
U.S.
Small-Cap
Multi-Factor
Index
ETF
(a)
389,100‌
12,229‌
$
59,153‌
Principal
Funds,
Inc.
Class
R-6
-
60.69%
Blue
Chip
Fund
(a)
1,774,136‌
45,205‌
Diversified
International
Fund
(a)
5,139,556‌
63,217‌
EDGE
MidCap
Fund
(a)
1,352,814‌
19,413‌
Global
Real
Estate
Securities
Fund
(a)
1,535,045‌
15,734‌
International
Small
Company
Fund
(a)
686,168‌
7,397‌
LargeCap
Growth
Fund
I
(a)
697,491‌
10,978‌
Origin
Emerging
Markets
Fund
(a)
1,432,984‌
15,405‌
$
177,349‌
Principal
Variable
Contracts
Funds,
Inc.
Class
1
-
18.70%
Equity
Income
Account
(a)
2,042,277‌
54,651‌
TOTAL
INVESTMENT
COMPANIES
$
292,324‌
Total
Investments
$
292,324‌
Other
Assets
and
Liabilities
-  (0.03)%
(77‌)
TOTAL
NET
ASSETS
-
100.00%
$
292,247‌
(a)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(b)
Current
yield
shown
is
as
of
period
end.
Portfolio
Summary
(unaudited)
Fund
Type
Percent
Domestic
Equity
Funds
59.27‌%
Fixed
Income
Funds
21.63‌%
International
Equity
Funds
18.73‌%
Money
Market
Funds
0.40‌%
Other
Assets
and
Liabilities
(0.03‌)%
TOTAL
NET
ASSETS
100.00%
Affiliated
Securities
December
31,
2018
Purchases
(a)
Sales
(a)
June
30,
2019
Value
Cost
Proceeds
Value
Blue
Chip
Fund
$
37,817‌
$
636‌
$
2,950‌
$
45,205‌
Diversified
International
Fund
Class
R-6
—‌
62,051‌
1,091‌
63,217‌
Diversified
International
Fund
Institutional
Class
48,705‌
809‌
54,608‌
—‌
EDGE
MidCap
Fund
16,394‌
620‌
809‌
19,413‌
Equity
Income
Account
48,144‌
863‌
2,479‌
54,651‌
Global
Real
Estate
Securities
Fund
14,841‌
313‌
1,704‌
15,734‌
International
Small
Company
Fund
4,479‌
2,217‌
73‌
7,397‌
LargeCap
Growth
Fund
I
—‌
11,017‌
—‌
10,978‌
Origin
Emerging
Markets
Fund
8,731‌
5,510‌
355‌
15,405‌
Principal
Active
Global
Dividend
Income
ETF
14,018‌
—‌
—‌
16,190‌
Principal
Active
Income
ETF
11,476‌
—‌
11,931‌
—‌
Principal
Government
Money
Market
Fund
2.23%
798‌
21,204‌
20,831‌
1,171‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
33,899‌
—‌
8,767‌
30,734‌
Principal
U.S.
Small-Cap
Multi-Factor
Index
ETF
10,392‌
465‌
—‌
12,229‌
Short-Term
Income
Fund
5,121‌
2,677‌
7,923‌
—‌
$
254,815‌
$
108,382‌
$
113,521‌
$
292,324‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Blue
Chip
Fund
$
—‌
$
(143‌)
$
—‌
$
9,845‌
Diversified
International
Fund
Class
R-6
—‌
(45‌)
—‌
2,302‌
Diversified
International
Fund
Institutional
Class
—‌
(42‌)
—‌
5,136‌
EDGE
MidCap
Fund
—‌
(37‌)
—‌
3,245‌
Equity
Income
Account
—‌
(97‌)
—‌
8,220‌
Global
Real
Estate
Securities
Fund
157‌
28‌
—‌
2,256‌
International
Small
Company
Fund
—‌
(2‌)
—‌
776‌
LargeCap
Growth
Fund
I
—‌
—‌
—‌
(39‌)
Origin
Emerging
Markets
Fund
—‌
(1‌)
—‌
1,520‌
Principal
Active
Global
Dividend
Income
ETF
86‌
—‌
—‌
2,172‌
Principal
Active
Income
ETF
212‌
22‌
—‌
433‌
Principal
Government
Money
Market
Fund
2.23%
14‌
—‌
—‌
—‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
206‌
661‌
—‌
4,941‌
Principal
U.S.
Small-Cap
Multi-Factor
Index
ETF
41‌
—‌
—‌
1,372‌
Short-Term
Income
Fund
69‌
72‌
—‌
53‌
$
785‌
$
416‌
$
—‌
$
42,232‌
Amounts
in
thousands
(a)
Purchases
and
Sales
include
transactions
related
to
the
transition
of
assets
from
the
Institutional
Class
to
Class
R-6.
Schedule
of
Investments
Short-Term
Income
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
190
INVESTMENT
COMPANIES
-
1.96%
Shares
Held
Value
(000's)
Money
Market
Funds
-
1.96%
BlackRock
Liquidity
FedFund
2.26%
(a),(b)
525,319‌
$
525‌
Principal
Government
Money
Market
Fund
2.23%
(a),(c)
2,044,811‌
2,045‌
$
2,570‌
TOTAL
INVESTMENT
COMPANIES
$
2,570‌
BONDS
-
97.27%
Principal
Amount
(000's)
Value
(000's)
Aerospace
&
Defense
-
1.04%
General
Dynamics
Corp
2.88%,
05/11/2020
$
200‌
$
201‌
3.00%,
05/11/2021
250‌
254‌
Northrop
Grumman
Corp
2.08%,
10/15/2020
150‌
150‌
Rockwell
Collins
Inc
3.20%,
03/15/2024
250‌
257‌
United
Technologies
Corp
1.50%,
11/01/2019
400‌
399‌
1.90%,
05/04/2020
100‌
100‌
$
1,361‌
Airlines
-
0.60%
American
Airlines
2013-2
Class
A
Pass
Through
Trust
4.95%,
07/15/2024
260‌
273‌
Continental
Airlines
2009-2
Class
A
Pass
Through
Trust
7.25%,
05/10/2021
181‌
183‌
Delta
Air
Lines
2009-1
Class
A
Pass
Through
Trust
7.75%,
06/17/2021
111‌
113‌
Delta
Air
Lines
2012-1
Class
A
Pass
Through
Trust
4.75%,
11/07/2021
215‌
219‌
$
788‌
Automobile
Asset
Backed
Securities
-
9.11%
AmeriCredit
Automobile
Receivables
Trust
2015-2
3.00%,
06/08/2021
792‌
793‌
AmeriCredit
Automobile
Receivables
Trust
2017-4
1.83%,
05/18/2021
11‌
11‌
Americredit
Automobile
Receivables
Trust
2018-1
3.07%,
12/19/2022
250‌
252‌
Americredit
Automobile
Receivables
Trust
2018-2
3.15%,
03/20/2023
200‌
203‌
Americredit
Automobile
Receivables
Trust
2018-3
3.11%,
01/18/2022
405‌
406‌
Americredit
Automobile
Receivables
Trust
2019-1
2.93%,
06/20/2022
300‌
301‌
2.97%,
11/20/2023
200‌
203‌
Americredit
Automobile
Receivables
Trust
2019-2
2.28%,
01/18/2024
400‌
401‌
2.43%,
09/19/2022
200‌
200‌
Bank
of
The
West
Auto
Trust
2017-1
1.78%,
02/15/2021
(d)
23‌
23‌
Bank
of
The
West
Auto
Trust
2018-1
3.09%,
04/15/2021
(d)
344‌
344‌
Capital
Auto
Receivables
Asset
Trust
2018-1
2.54%,
10/20/2020
(d)
94‌
94‌
Capital
Auto
Receivables
Asset
Trust
2018-2
3.02%,
02/22/2021
(d)
449‌
450‌
3.27%,
06/20/2023
(d)
250‌
252‌
CPS
Auto
Receivables
Trust
2014-C
3.77%,
08/17/2020
(d)
56‌
56‌
CPS
Auto
Receivables
Trust
2017-D
1.87%,
03/15/2021
(d)
4‌
4‌
CPS
Auto
Receivables
Trust
2018-A
2.16%,
05/17/2021
(d)
40‌
40‌
CPS
Auto
Receivables
Trust
2018-B
2.72%,
09/15/2021
(d)
128‌
128‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Automobile
Asset
Backed
Securities
(continued)
CPS
Auto
Receivables
Trust
2018-D
3.06%,
01/18/2022
(d)
$
350‌
$
351‌
CPS
Auto
Receivables
Trust
2019-A
3.18%,
06/15/2022
(d)
192‌
193‌
CPS
Auto
Receivables
Trust
2019-B
2.89%,
05/16/2022
(d)
228‌
229‌
CPS
Auto
Trust
2.87%,
09/15/2021
(d)
223‌
223‌
Ford
Credit
Auto
Owner
Trust
2015-REV2
2.44%,
01/15/2027
(d)
173‌
173‌
Ford
Credit
Auto
Owner
Trust
2016-REV2
2.03%,
12/15/2027
(d)
750‌
748‌
Ford
Credit
Auto
Owner
Trust
2017-REV1
2.62%,
08/15/2028
(d)
500‌
506‌
Ford
Credit
Auto
Owner
Trust
2018-REV2
3.47%,
01/15/2030
(d)
400‌
419‌
Ford
Credit
Auto
Owner
Trust
2019-REV1
3.52%,
07/15/2030
(d)
300‌
314‌
OneMain
Direct
Auto
Receivables
Trust
2017-2
2.31%,
12/14/2021
(d)
296‌
296‌
OneMain
Direct
Auto
Receivables
Trust
2018-1
3.43%,
12/16/2024
(d)
500‌
507‌
OneMain
Direct
Auto
Receivables
Trust
2019-1
3.63%,
09/14/2027
(d)
750‌
776‌
Santander
Drive
Auto
Receivables
Trust
2018-3
2.78%,
03/15/2021
39‌
39‌
Santander
Drive
Auto
Receivables
Trust
2018-4
2.73%,
04/15/2021
47‌
47‌
3.01%,
03/15/2022
200‌
200‌
Santander
Drive
Auto
Receivables
Trust
2018-5
2.97%,
07/15/2021
236‌
236‌
Santander
Drive
Auto
Receivables
Trust
2019-1
2.91%,
01/18/2022
200‌
200‌
TCF
Auto
Receivables
Owner
Trust
2016-PT1
1.93%,
06/15/2022
(d)
233‌
232‌
Toyota
Auto
Loan
Extended
Note
Trust
2019-1
2.56%,
11/25/2031
(d)
250‌
253‌
Westlake
Automobile
Receivables
Trust
2018-1
2.24%,
12/15/2020
(d)
80‌
80‌
Westlake
Automobile
Receivables
Trust
2018-2
2.84%,
09/15/2021
(d)
92‌
92‌
3.20%,
01/16/2024
(d)
200‌
201‌
Westlake
Automobile
Receivables
Trust
2018-3
2.98%,
01/18/2022
(d)
235‌
236‌
3.32%,
10/16/2023
(d)
300‌
303‌
Westlake
Automobile
Receivables
Trust
2019-1
3.51%,
05/16/2022
(d)
300‌
302‌
3.81%,
10/17/2022
(d)
350‌
354‌
World
Omni
Select
Auto
Trust
2018-1
3.24%,
04/15/2022
(d)
265‌
266‌
$
11,937‌
Automobile
Floor
Plan
Asset
Backed
Securities
-
1.46%
Ally
Master
Owner
Trust
2.70%,
01/17/2023
500‌
503‌
3.29%,
05/15/2023
500‌
511‌
Navistar
Financial
Dealer
Note
Master
Owner
Trust
II
3.03%,
09/25/2023
(d)
250‌
250‌
1.00
x
1
Month
USD
LIBOR
+
0.63%
Volvo
Financial
Equipment
Master
Owner
Trust
2.89%,
11/15/2022
(d)
250‌
251‌
1.00
x
1
Month
USD
LIBOR
+
0.50%
2.91%,
07/17/2023
(d)
400‌
401‌
1.00
x
1
Month
USD
LIBOR
+
0.52%
$
1,916‌
Automobile
Manufacturers
-
1.24%
Daimler
Finance
North
America
LLC
1.75%,
10/30/2019
(d)
350‌
349‌
Schedule
of
Investments
Short-Term
Income
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
191
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Automobile
Manufacturers
(continued)
General
Motors
Financial
Co
Inc
3.44%,
04/09/2021
$
300‌
$
300‌
3
Month
USD
LIBOR
+
0.85%
PACCAR
Financial
Corp
2.20%,
09/15/2019
323‌
323‌
3.10%,
05/10/2021
250‌
254‌
Toyota
Motor
Credit
Corp
2.60%,
01/11/2022
400‌
404‌
$
1,630‌
Banks
-
18.76%
Bank
of
America
Corp
2.50%,
10/21/2022
500‌
501‌
2.63%,
10/19/2020
250‌
251‌
3.00%,
12/20/2023
(e)
430‌
438‌
3
Month
USD
LIBOR
+
0.79%
3.75%,
01/20/2023
350‌
354‌
3
Month
USD
LIBOR
+
1.16%
4.20%,
08/26/2024
500‌
531‌
Bank
of
New
York
Mellon
Corp/The
2.50%,
04/15/2021
300‌
302‌
3.63%,
10/30/2023
500‌
509‌
3
Month
USD
LIBOR
+
1.05%
BB&T
Corp
2.05%,
05/10/2021
200‌
199‌
3.24%,
04/01/2022
100‌
101‌
3
Month
USD
LIBOR
+
0.65%
BNP
Paribas
SA
3.50%,
03/01/2023
(d)
250‌
257‌
Branch
Banking
&
Trust
Co
2.10%,
01/15/2020
600‌
599‌
2.63%,
01/15/2022
600‌
604‌
Capital
One
NA
3.21%,
09/13/2019
500‌
500‌
3
Month
USD
LIBOR
+
0.77%
3.73%,
01/30/2023
600‌
605‌
3
Month
USD
LIBOR
+
1.15%
Citigroup
Inc
2.70%,
03/30/2021
900‌
905‌
3.50%,
05/15/2023
250‌
258‌
3.54%,
04/25/2022
200‌
202‌
3
Month
USD
LIBOR
+
0.96%
4.00%,
08/05/2024
274‌
289‌
4.04%,
06/01/2024
(e)
250‌
264‌
3
Month
USD
LIBOR
+
1.02%
Credit
Suisse
Group
AG
4.21%,
06/12/2024
(d),(e)
500‌
525‌
3
Month
USD
LIBOR
+
1.24%
Fifth
Third
Bancorp
2.60%,
06/15/2022
600‌
604‌
3.65%,
01/25/2024
200‌
210‌
4.30%,
01/16/2024
400‌
427‌
Fifth
Third
Bank/Cincinnati
OH
1.63%,
09/27/2019
250‌
250‌
2.25%,
06/14/2021
300‌
300‌
Goldman
Sachs
Group
Inc
/The
2.30%,
12/13/2019
400‌
400‌
3.00%,
04/26/2022
950‌
959‌
3.75%,
04/23/2020
400‌
402‌
3
Month
USD
LIBOR
+
1.16%
HSBC
Holdings
PLC
3.95%,
05/18/2024
(e)
250‌
262‌
3
Month
USD
LIBOR
+
0.99%
ING
Groep
NV
3.15%,
03/29/2022
450‌
458‌
JPMorgan
Chase
&
Co
2.30%,
08/15/2021
250‌
250‌
3.48%,
04/25/2023
500‌
502‌
3
Month
USD
LIBOR
+
0.90%
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Banks
(continued)
JPMorgan
Chase
&
Co  
(continued)
3.81%,
10/24/2023
$
500‌
$
508‌
3
Month
USD
LIBOR
+
1.23%
4.25%,
10/15/2020
750‌
768‌
KeyBank
NA/Cleveland
OH
2.40%,
06/09/2022
400‌
401‌
3.30%,
02/01/2022
250‌
257‌
KeyCorp
5.10%,
03/24/2021
488‌
510‌
Morgan
Stanley
3.10%,
02/10/2021
300‌
300‌
3
Month
USD
LIBOR
+
0.55%
3.98%,
10/24/2023
1,400‌
1,427‌
3
Month
USD
LIBOR
+
1.40%
4.10%,
05/22/2023
300‌
316‌
PNC
Bank
NA
2.00%,
05/19/2020
500‌
499‌
2.70%,
11/01/2022
600‌
606‌
3.08%,
07/27/2022
400‌
401‌
3
Month
USD
LIBOR
+
0.50%
PNC
Financial
Services
Group
Inc
/The
3.90%,
04/29/2024
150‌
158‌
Royal
Bank
of
Scotland
Group
PLC
4.27%,
03/22/2025
(e)
250‌
259‌
3
Month
USD
LIBOR
+
1.76%
State
Street
Corp
3.10%,
05/15/2023
688‌
706‌
SunTrust
Bank/Atlanta
GA
2.45%,
08/01/2022
600‌
602‌
3.17%,
08/02/2022
250‌
250‌
3
Month
USD
LIBOR
+
0.59%
SunTrust
Banks
Inc
2.90%,
03/03/2021
500‌
504‌
UBS
AG/London
2.20%,
06/08/2020
(d)
500‌
499‌
UBS
Group
Funding
Switzerland
AG
3.49%,
05/23/2023
(d)
300‌
308‌
US
Bancorp
3.60%,
09/11/2024
350‌
368‌
US
Bank
NA/Cincinnati
OH
2.00%,
01/24/2020
400‌
399‌
2.05%,
10/23/2020
300‌
299‌
Wells
Fargo
&
Co
3.07%,
01/24/2023
1,000‌
1,016‌
$
24,579‌
Beverages
-
1.03%
Anheuser-Busch
InBev
Worldwide
Inc
4.15%,
01/23/2025
500‌
542‌
Keurig
Dr
Pepper
Inc
3.55%,
05/25/2021
250‌
255‌
PepsiCo
Inc
1.35%,
10/04/2019
350‌
349‌
2.15%,
10/14/2020
200‌
200‌
$
1,346‌
Biotechnology
-
1.55%
Amgen
Inc
2.20%,
05/11/2020
200‌
200‌
2.65%,
05/11/2022
400‌
403‌
Biogen
Inc
2.90%,
09/15/2020
500‌
502‌
Celgene
Corp
3.25%,
08/15/2022
250‌
257‌
3.63%,
05/15/2024
350‌
367‌
Gilead
Sciences
Inc
1.85%,
09/20/2019
300‌
300‌
$
2,029‌
Schedule
of
Investments
Short-Term
Income
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
192
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Building
Materials
-
0.51%
Martin
Marietta
Materials
Inc
2.89%,
12/20/2019
$
300‌
$
300‌
3
Month
USD
LIBOR
+
0.50%
4.25%,
07/02/2024
349‌
370‌
$
670‌
Chemicals
-
1.06%
Air
Liquide
Finance
SA
1.75%,
09/27/2021
(d)
250‌
247‌
Celanese
US
Holdings
LLC
3.50%,
05/08/2024
200‌
206‌
Chevron
Phillips
Chemical
Co
LLC
/
Chevron
Phillips
Chemical
Co
LP
2.45%,
05/01/2020
(d)
168‌
168‌
3.30%,
05/01/2023
(d)
200‌
204‌
DuPont
de
Nemours
Inc
3.63%,
11/15/2023
250‌
252‌
3
Month
USD
LIBOR
+
1.11%
International
Flavors
&
Fragrances
Inc
3.40%,
09/25/2020
100‌
101‌
Westlake
Chemical
Corp
3.60%,
07/15/2022
200‌
204‌
$
1,382‌
Commercial
Mortgage
Backed
Securities
-
1.20%
Ginnie
Mae
0.46%,
09/16/2055
(f),(g)
2,809‌
84‌
0.68%,
01/16/2054
(f),(g)
2,597‌
84‌
0.70%,
10/16/2054
(f),(g)
3,197‌
100‌
0.84%,
02/16/2055
(f),(g)
5,388‌
172‌
0.87%,
01/16/2055
(f),(g)
5,535‌
218‌
0.90%,
06/16/2045
(f),(g)
933‌
47‌
1.37%,
12/16/2036
(f),(g)
1,970‌
101‌
GS
Mortgage
Securities
Trust
2017-GS6
1.95%,
05/10/2050
443‌
440‌
JPMDB
Commercial
Mortgage
Securities
Trust
2016-C4
1.54%,
12/15/2049
327‌
323‌
$
1,569‌
Computers
-
0.77%
Apple
Inc
1.90%,
02/07/2020
200‌
200‌
2.50%,
02/09/2022
150‌
152‌
International
Business
Machines
Corp
2.25%,
02/19/2021
250‌
250‌
2.80%,
05/13/2021
200‌
202‌
3.00%,
05/15/2024
200‌
205‌
$
1,009‌
Diversified
Financial
Services
-
1.25%
American
Express
Co
2.75%,
05/20/2022
200‌
202‌
3.00%,
02/22/2021
250‌
253‌
3.70%,
11/05/2021
150‌
154‌
Capital
One
Financial
Corp
3.90%,
01/29/2024
100‌
105‌
GTP
Acquisition
Partners
I
LLC
2.35%,
06/15/2045
(d)
721‌
719‌
USAA
Capital
Corp
2.63%,
06/01/2021
(d)
200‌
202‌
$
1,635‌
Electric
-
5.49%
Alabama
Power
Co
2.45%,
03/30/2022
250‌
251‌
Alliant
Energy
Finance
LLC
3.75%,
06/15/2023
(d)
200‌
208‌
Black
Hills
Corp
4.25%,
11/30/2023
500‌
529‌
CenterPoint
Energy
Inc
3.60%,
11/01/2021
300‌
308‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Electric
(continued)
Dominion
Energy
Inc
2.58%,
07/01/2020
$
200‌
$
200‌
2.72%,
08/15/2021
(g)
200‌
200‌
2.96%,
07/01/2019
(g)
650‌
650‌
3.07%,
08/15/2024
(g)
200‌
202‌
DTE
Energy
Co
2.60%,
06/15/2022
200‌
201‌
Duke
Energy
Florida
LLC
1.85%,
01/15/2020
400‌
399‌
3.10%,
08/15/2021
250‌
254‌
Emera
US
Finance
LP
2.70%,
06/15/2021
300‌
301‌
Exelon
Corp
3.50%,
06/01/2022
500‌
512‌
Fortis
Inc
/Canada
2.10%,
10/04/2021
633‌
628‌
Indiantown
Cogeneration
LP
9.77%,
12/15/2020
96‌
99‌
LG&E
&
KU
Energy
LLC
4.38%,
10/01/2021
310‌
321‌
NextEra
Energy
Capital
Holdings
Inc
2.90%,
04/01/2022
150‌
153‌
3.15%,
04/01/2024
150‌
154‌
Public
Service
Enterprise
Group
Inc
2.88%,
06/15/2024
100‌
101‌
San
Diego
Gas
&
Electric
Co
1.91%,
02/01/2022
87‌
85‌
Sempra
Energy
2.40%,
02/01/2020
250‌
250‌
3.10%,
01/15/2021
500‌
498‌
3
Month
USD
LIBOR
+
0.50%
Southern
California
Edison
Co
1.85%,
02/01/2022
177‌
174‌
Tucson
Electric
Power
Co
3.05%,
03/15/2025
100‌
101‌
WEC
Energy
Group
Inc
3.38%,
06/15/2021
400‌
408‌
$
7,187‌
Electronics
-
0.53%
Fortive
Corp
2.35%,
06/15/2021
300‌
299‌
Honeywell
International
Inc
1.85%,
11/01/2021
400‌
398‌
$
697‌
Environmental
Control
-
0.08%
Waste
Management
Inc
2.95%,
06/15/2024
100‌
103‌
Finance
-
Mortgage
Loan/Banker
-
8.82%
Fannie
Mae
1.38%,
02/26/2021
500‌
496‌
1.88%,
12/28/2020
1,000‌
1,000‌
1.88%,
09/24/2026
2,400‌
2,375‌
2.00%,
01/05/2022
500‌
503‌
2.00%,
10/05/2022
1,000‌
1,007‌
2.38%,
01/19/2023
1,000‌
1,020‌
2.50%,
02/05/2024
(h)
500‌
515‌
2.63%,
09/06/2024
1,500‌
1,556‌
2.88%,
09/12/2023
500‌
521‌
Freddie
Mac
2.38%,
02/16/2021
1,000‌
1,009‌
2.75%,
06/19/2023
1,500‌
1,553‌
$
11,555‌
Food
-
1.34%
Conagra
Brands
Inc
3.34%,
10/22/2020
250‌
250‌
3
Month
USD
LIBOR
+
0.75%
3.80%,
10/22/2021
100‌
103‌
Schedule
of
Investments
Short-Term
Income
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
193
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Food
(continued)
Kraft
Heinz
Foods
Co
3.12%,
02/10/2021
$
400‌
$
399‌
3
Month
USD
LIBOR
+
0.57%
4.00%,
06/15/2023
150‌
157‌
Mondelez
International
Holdings
Netherlands
BV
1.63%,
10/28/2019
(d)
500‌
498‌
Tyson
Foods
Inc
2.25%,
08/23/2021
150‌
150‌
2.97%,
08/21/2020
200‌
200‌
3
Month
USD
LIBOR
+
0.45%
$
1,757‌
Healthcare
-
Services
-
0.59%
Cigna
Holding
Co
4.00%,
02/15/2022
100‌
104‌
Humana
Inc
2.50%,
12/15/2020
100‌
100‌
Roche
Holdings
Inc
2.67%,
09/30/2019
(d)
323‌
323‌
3
Month
USD
LIBOR
+
0.34%
UnitedHealth
Group
Inc
1.95%,
10/15/2020
250‌
249‌
$
776‌
Housewares
-
0.16%
Newell
Brands
Inc
3.85%,
04/01/2023
200‌
203‌
Insurance
-
3.91%
Allstate
Corp/The
2.96%,
03/29/2023
250‌
249‌
3
Month
USD
LIBOR
+
0.63%
Berkshire
Hathaway
Inc
2.75%,
03/15/2023
500‌
508‌
Five
Corners
Funding
Trust
4.42%,
11/15/2023
(d)
750‌
804‌
MassMutual
Global
Funding
II
1.55%,
10/11/2019
(d)
350‌
349‌
2.00%,
04/15/2021
(d)
450‌
449‌
Metropolitan
Life
Global
Funding
I
1.95%,
09/15/2021
(d)
470‌
466‌
2.84%,
06/12/2020
(d)
250‌
251‌
3
Month
USD
LIBOR
+
0.40%
2.99%,
09/07/2020
(d)
250‌
251‌
United
States
Secured
Overnight
Financing
Rate
+
0.57%
New
York
Life
Global
Funding
1.95%,
02/11/2020
(d)
400‌
399‌
2.00%,
04/13/2021
(d)
400‌
399‌
2.97%,
06/10/2022
(d)
1,000‌
1,003‌
3
Month
USD
LIBOR
+
0.52%
$
5,128‌
Internet
-
0.21%
Amazon.com
Inc
2.60%,
12/05/2019
273‌
273‌
Machinery
-
Construction
&
Mining
-
0.23%
Caterpillar
Financial
Services
Corp
2.55%,
11/29/2022
300‌
304‌
Machinery
-
Diversified
-
0.27%
John
Deere
Capital
Corp
2.05%,
03/10/2020
350‌
350‌
Media
-
0.19%
Comcast
Corp
3.30%,
10/01/2020
250‌
253‌
Mining
-
0.16%
Glencore
Funding
LLC
4.13%,
05/30/2023
(d)
200‌
208‌
Miscellaneous
Manufacturers
-
0.77%
General
Electric
Co
5.50%,
01/08/2020
150‌
152‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Miscellaneous
Manufacturers
(continued)
Ingersoll-Rand
Global
Holding
Co
Ltd
2.90%,
02/21/2021
$
500‌
$
503‌
Siemens
Financieringsmaatschappij
NV
2.20%,
03/16/2020
(d)
350‌
350‌
$
1,005‌
Mortgage
Backed
Securities
-
8.93%
Alternative
Loan
Trust
2004-J8
6.00%,
02/25/2017
4‌
4‌
CHL
Mortgage
Pass-Through
Trust
2003-46
4.32%,
01/19/2034
(g)
32‌
32‌
Credit
Suisse
First
Boston
Mortgage
Securities
Corp
5.00%,
09/25/2019
1‌
1‌
CSFB
Mortgage-Backed
Pass-Through
Certificates
Series
2004-AR4
3.36%,
05/25/2034
12‌
12‌
1.00
x
1
Month
USD
LIBOR
+
0.96%
CSMC
2017-HL1
Trust
3.50%,
06/25/2047
(d),(g)
492‌
497‌
CSMC
2017-HL2
Trust
3.50%,
10/25/2047
(d),(g)
413‌
419‌
JP
Morgan
Mortgage
Trust
2004-A3
4.66%,
07/25/2034
(g)
20‌
20‌
JP
Morgan
Mortgage
Trust
2004-S1
5.00%,
09/25/2034
29‌
29‌
JP
Morgan
Mortgage
Trust
2016-4
3.50%,
10/25/2046
(d),(g)
556‌
564‌
JP
Morgan
Mortgage
Trust
2017-2
3.50%,
05/25/2047
(d),(g)
372‌
378‌
JP
Morgan
Mortgage
Trust
2017-4
3.50%,
11/25/2048
(d),(g)
380‌
385‌
JP
Morgan
Mortgage
Trust
2017-6
3.50%,
12/25/2048
(d),(g)
205‌
208‌
JP
Morgan
Mortgage
Trust
2018-3
3.50%,
09/25/2048
(d),(g)
431‌
437‌
JP
Morgan
Mortgage
Trust
2018-4
3.50%,
10/25/2048
(d),(g)
259‌
262‌
JP
Morgan
Mortgage
Trust
2018-6
3.50%,
12/25/2048
(d),(g)
337‌
342‌
JP
Morgan
Mortgage
Trust
2019-2
4.00%,
08/25/2049
(d),(g)
333‌
338‌
JP
Morgan
Mortgage
Trust
2019-5
4.00%,
11/25/2049
(d),(g)
500‌
509‌
PHH
Mortgage
Trust
Series
2008-CIM1
5.22%,
06/25/2038
83‌
83‌
1.00
x
1
Month
USD
LIBOR
+
2.25%
Prime
Mortgage
Trust
2005-2
5.25%,
07/25/2020
29‌
29‌
Provident
Funding
Mortgage
Loan
Trust
2005-1
2.98%,
05/25/2035
76‌
76‌
1.00
x
1
Month
USD
LIBOR
+
0.58%
PSMC
2018-1
Trust
3.50%,
02/25/2048
(d),(g)
695‌
706‌
PSMC
2018-2
Trust
3.50%,
06/25/2048
(d),(g)
458‌
466‌
PSMC
2018-3
Trust
4.00%,
08/25/2048
(d),(g)
737‌
753‌
PSMC
2018-4
Trust
4.00%,
11/25/2048
(d),(g)
628‌
637‌
RALI
Series
2003-QS23
Trust
5.00%,
12/26/2018
1‌
1‌
RBSSP
Resecuritization
Trust
2009-7
2.83%,
06/26/2037
(d)
15‌
15‌
1.00
x
1
Month
USD
LIBOR
+
0.40%
Sequoia
Mortgage
Trust
2013-4
1.55%,
04/25/2043
(g)
41‌
40‌
Sequoia
Mortgage
Trust
2013-8
2.25%,
06/25/2043
(g)
272‌
268‌
Schedule
of
Investments
Short-Term
Income
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
194
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Mortgage
Backed
Securities
(continued)
Sequoia
Mortgage
Trust
2017-1
3.50%,
02/25/2047
(d),(g)
$
390‌
$
397‌
Sequoia
Mortgage
Trust
2017-2
3.50%,
02/25/2047
(d),(g)
189‌
192‌
Sequoia
Mortgage
Trust
2017-3
3.50%,
04/25/2047
(d),(g)
337‌
342‌
Sequoia
Mortgage
Trust
2018-3
3.50%,
03/25/2048
(d),(g)
253‌
257‌
Sequoia
Mortgage
Trust
2018-5
3.50%,
05/25/2048
(d),(g)
432‌
439‌
Sequoia
Mortgage
Trust
2018-6
4.00%,
07/25/2048
(d),(g)
164‌
167‌
Sequoia
Mortgage
Trust
2018-7
4.00%,
09/25/2048
(d),(g)
201‌
206‌
Sequoia
Mortgage
Trust
2018-8
4.00%,
11/25/2048
(d),(g)
614‌
625‌
Sequoia
Mortgage
Trust
2018-CH3
4.00%,
08/25/2048
(d),(g)
164‌
166‌
Sequoia
Mortgage
Trust
2019-1
4.00%,
02/25/2049
(d),(g)
159‌
162‌
Wells
Fargo
Mortgage
Backed
Securities
2018-1
3.50%,
07/25/2047
(d),(g)
370‌
376‌
Wells
Fargo
Mortgage
Backed
Securities
2019-1
Trust
4.00%,
11/25/2048
(d),(g)
433‌
440‌
4.00%,
11/25/2048
(d),(g)
416‌
421‌
$
11,701‌
Oil
&
Gas
-
1.24%
Chevron
Corp
2.90%,
03/03/2024
250‌
258‌
Cimarex
Energy
Co
4.38%,
06/01/2024
250‌
265‌
Phillips
66
3.35%,
04/15/2020
(d)
300‌
300‌
3
Month
USD
LIBOR
+
0.75%
Shell
International
Finance
BV
2.13%,
05/11/2020
505‌
505‌
2.38%,
08/21/2022
300‌
302‌
$
1,630‌
Oil
&
Gas
Services
-
0.19%
Baker
Hughes
a
GE
Co
LLC
/
Baker
Hughes
Co-
Obligor
Inc
2.77%,
12/15/2022
250‌
253‌
Other
Asset
Backed
Securities
-
6.96%
CCG
Receivables
Trust
2.80%,
09/14/2026
(d)
500‌
503‌
CCG
Receivables
Trust
2018-1
2.50%,
06/16/2025
(d)
63‌
63‌
CCG
Receivables
Trust
2018-2
3.09%,
12/15/2025
(d)
468‌
472‌
Daimler
Trucks
Retail
Trust
2019-1
2.77%,
04/15/2021
(d)
650‌
651‌
Drug
Royalty
II
LP
2
3.48%,
07/15/2023
(d)
96‌
96‌
Drug
Royalty
III
LP
1
3.98%,
04/15/2027
(d)
65‌
65‌
4.27%,
10/15/2031
(d)
227‌
233‌
5.29%,
04/15/2027
(d)
144‌
145‌
1.00
x
3
Month
USD
LIBOR
+
2.50%
MMAF
Equipment
Finance
LLC
2018-A
2.92%,
07/12/2021
(d)
169‌
170‌
MMAF
Equipment
Finance
LLC
2019-A
2.84%,
01/10/2022
(d)
400‌
402‌
MVW
Owner
Trust
2015-1
2.52%,
12/20/2032
(d)
210‌
209‌
MVW
Owner
Trust
2016-1
2.25%,
12/20/2033
(d)
179‌
177‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Other
Asset
Backed
Securities
(continued)
MVW
Owner
Trust
2018-1
3.45%,
01/21/2036
(d)
$
412‌
$
424‌
PFS
Financing
Corp
2.40%,
10/17/2022
(d)
300‌
301‌
2.86%,
10/15/2021
(d)
200‌
200‌
1.00
x
1
Month
USD
LIBOR
+
0.47%
2.86%,
04/15/2024
(d)
250‌
253‌
3.19%,
04/17/2023
(d)
250‌
254‌
Verizon
Owner
Trust
2016-1
1.42%,
01/20/2021
(d)
41‌
41‌
Verizon
Owner
Trust
2016-2
1.68%,
05/20/2021
(d)
374‌
373‌
Verizon
Owner
Trust
2017-1
2.06%,
09/20/2021
(d)
177‌
177‌
Verizon
Owner
Trust
2017-2
1.92%,
12/20/2021
(d)
750‌
748‌
Verizon
Owner
Trust
2017-3
2.06%,
04/20/2022
(d)
300‌
300‌
Verizon
Owner
Trust
2018-1
2.82%,
09/20/2022
(d)
500‌
503‌
Verizon
Owner
Trust
2018-A
3.23%,
04/20/2023
600‌
612‌
Verizon
Owner
Trust
2019-A
2.93%,
09/20/2023
500‌
509‌
Verizon
Owner
Trust
2019-B
2.33%,
12/20/2023
500‌
501‌
Volvo
Financial
Equipment
LLC
Series
2018-1
2.26%,
09/15/2020
(d)
101‌
101‌
2.76%,
10/17/2022
(d)
100‌
101‌
Volvo
Financial
Equipment
LLC
Series
2019-1
3.00%,
03/15/2023
(d)
300‌
305‌
VSE
2018-A
Voi
Mortgage
LLC
3.56%,
02/20/2036
(d)
218‌
227‌
$
9,116‌
Packaging
&
Containers
-
0.15%
Packaging
Corp
of
America
2.45%,
12/15/2020
200‌
200‌
Pharmaceuticals
-
1.68%
AbbVie
Inc
2.30%,
05/14/2021
200‌
199‌
2.50%,
05/14/2020
336‌
336‌
Bayer
US
Finance
II
LLC
3.88%,
12/15/2023
(d)
200‌
208‌
Bristol-Myers
Squibb
Co
2.90%,
07/26/2024
(d)
150‌
153‌
Cigna
Corp
3.40%,
09/17/2021
(d)
389‌
397‌
CVS
Health
Corp
3.13%,
03/09/2020
200‌
201‌
Mead
Johnson
Nutrition
Co
3.00%,
11/15/2020
250‌
252‌
Merck
&
Co
Inc
2.90%,
03/07/2024
200‌
207‌
Pfizer
Inc
2.80%,
03/11/2022
250‌
254‌
$
2,207‌
Pipelines
-
2.36%
Buckeye
Partners
LP
4.15%,
07/01/2023
400‌
389‌
Columbia
Pipeline
Group
Inc
3.30%,
06/01/2020
168‌
169‌
Enterprise
Products
Operating
LLC
3.50%,
02/01/2022
500‌
513‌
Florida
Gas
Transmission
Co
LLC
3.88%,
07/15/2022
(d)
250‌
257‌
Kinder
Morgan
Inc
/DE
3.88%,
01/15/2023
500‌
505‌
3
Month
USD
LIBOR
+
1.28%
Schedule
of
Investments
Short-Term
Income
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
195
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Pipelines
(continued)
ONEOK
Partners
LP
5.00%,
09/15/2023
$
325‌
$
351‌
Southeast
Supply
Header
LLC
4.25%,
06/15/2024
(d)
200‌
207‌
TransCanada
PipeLines
Ltd
4.73%,
05/15/2067
900‌
694‌
3
Month
USD
LIBOR
+
2.21%
$
3,085‌
REITs
-
1.79%
Alexandria
Real
Estate
Equities
Inc
2.75%,
01/15/2020
250‌
250‌
3.90%,
06/15/2023
250‌
262‌
CubeSmart
LP
4.38%,
12/15/2023
92‌
97‌
Healthcare
Realty
Trust
Inc
3.75%,
04/15/2023
365‌
373‌
Hospitality
Properties
Trust
4.50%,
06/15/2023
200‌
207‌
Omega
Healthcare
Investors
Inc
4.95%,
04/01/2024
250‌
265‌
SBA
Tower
Trust
2.88%,
07/15/2046
(d)
150‌
150‌
3.17%,
04/09/2047
(d)
400‌
403‌
Welltower
Inc
3.75%,
03/15/2023
80‌
84‌
4.95%,
01/15/2021
250‌
258‌
$
2,349‌
Retail
-
0.96%
Home
Depot
Inc
/The
1.80%,
06/05/2020
500‌
498‌
McDonald's
Corp
2.75%,
12/09/2020
500‌
503‌
Walmart
Inc
1.75%,
10/09/2019
100‌
100‌
1.90%,
12/15/2020
150‌
150‌
$
1,251‌
Savings
&
Loans
-
0.00%
Washington
Mutual
Bank
/
Henderson
NV
0.00%,
01/15/2013
(
i
)
200‌
2‌
Semiconductors
-
0.96%
Broadcom
Corp
/
Broadcom
Cayman
Finance
Ltd
2.38%,
01/15/2020
600‌
599‌
3.00%,
01/15/2022
200‌
200‌
Microchip
Technology
Inc
4.33%,
06/01/2023
200‌
209‌
QUALCOMM
Inc
2.60%,
01/30/2023
250‌
251‌
$
1,259‌
Software
-
1.07%
Microsoft
Corp
1.10%,
08/08/2019
250‌
250‌
1.85%,
02/12/2020
400‌
399‌
Oracle
Corp
1.90%,
09/15/2021
200‌
199‌
2.25%,
10/08/2019
250‌
250‌
VMware
Inc
2.95%,
08/21/2022
300‌
302‌
$
1,400‌
Student
Loan
Asset
Backed
Securities
-
5.76%
Commonbond
Student
Loan
Trust
2018-BGS
3.56%,
09/25/2045
(d)
320‌
329‌
Commonbond
Student
Loan
Trust
2018-C-GS
3.87%,
02/25/2046
(d)
313‌
324‌
Keycorp
Student
Loan
Trust
2000-b
2.89%,
07/25/2029
388‌
384‌
1.00
x
3
Month
USD
LIBOR
+
0.31%
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Student
Loan
Asset
Backed
Securities
(continued)
KeyCorp
Student
Loan
Trust
2003-A
3.11%,
01/25/2037
$
653‌
$
641‌
1.00
x
3
Month
USD
LIBOR
+
0.53%
Navient
Private
Education
Loan
Trust
2014-CT
3.09%,
09/16/2024
(d)
53‌
53‌
1.00
x
1
Month
USD
LIBOR
+
0.70%
Navient
Private
Education
Loan
Trust
2017-A
2.79%,
12/16/2058
(d)
61‌
61‌
1.00
x
1
Month
USD
LIBOR
+
0.40%
Navient
Private
Education
Loan
Trust
2018-B
2.74%,
12/15/2059
(d)
106‌
106‌
1.00
x
1
Month
USD
LIBOR
+
0.35%
Navient
Private
Education
Refi
Loan
Trust
2018-A
2.53%,
02/18/2042
(d)
234‌
234‌
Navient
Private
Education
Refi
Loan
Trust
2018-C
3.01%,
06/16/2042
(d)
164‌
166‌
Navient
Private
Education
Refi
Loan
Trust
2018-D
2.69%,
12/15/2059
(d)
222‌
222‌
1.00
x
1
Month
USD
LIBOR
+
0.30%
Navient
Private
Education
Refi
Loan
Trust
2019-A
3.03%,
01/15/2043
(d)
87‌
87‌
3.42%,
01/15/2043
(d)
100‌
103‌
Navient
Private
Education
Refi
Loan
Trust
2019-C
2.82%,
02/15/2068
(d)
500‌
503‌
Navient
Private
Education
Refi
Loan
Trust
2019-D
2.77%,
12/15/2059
(d)
250‌
250‌
1.00
x
1
Month
USD
LIBOR
+
0.40%
Navient
Student
Loan
Trust
2018-EA
3.43%,
12/15/2059
(d)
792‌
802‌
Navient
Student
Loan
Trust
2019-B
2.79%,
12/15/2059
(d)
214‌
213‌
1.00
x
1
Month
USD
LIBOR
+
0.40%
SLM
Private
Credit
Student
Loan
Trust
2002-A
2.96%,
12/16/2030
302‌
302‌
1.00
x
3
Month
USD
LIBOR
+
0.55%
SLM
Private
Credit
Student
Loan
Trust
2004-A
2.81%,
06/15/2033
126‌
125‌
1.00
x
3
Month
USD
LIBOR
+
0.40%
SLM
Private
Credit
Student
Loan
Trust
2004-B
2.74%,
03/15/2024
385‌
384‌
1.00
x
3
Month
USD
LIBOR
+
0.33%
SLM
Private
Credit
Student
Loan
Trust
2006-A
2.70%,
06/15/2039
769‌
747‌
1.00
x
3
Month
USD
LIBOR
+
0.29%
SLM
Private
Credit
Student
Loan
Trust
2006-B
2.61%,
12/15/2039
302‌
295‌
1.00
x
3
Month
USD
LIBOR
+
0.20%
SLM
Private
Education
Loan
Trust
2013-B
1.85%,
06/17/2030
(d)
42‌
42‌
SMB
Private
Education
Loan
Trust
2017-B
2.66%,
06/17/2024
(d)
63‌
63‌
1.00
x
1
Month
USD
LIBOR
+
0.27%
SMB
Private
Education
Loan
Trust
2018-A
2.74%,
03/16/2026
(d)
394‌
394‌
1.00
x
1
Month
USD
LIBOR
+
0.35%
SMB
Private
Education
Loan
Trust
2018-B
2.71%,
12/16/2024
(d)
128‌
128‌
1.00
x
1
Month
USD
LIBOR
+
0.32%
SMB
Private
Education
Loan
Trust
2018-C
2.69%,
09/15/2025
(d)
136‌
136‌
1.00
x
1
Month
USD
LIBOR
+
0.30%
Schedule
of
Investments
Short-Term
Income
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
196
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Student
Loan
Asset
Backed
Securities
(continued)
SMB
Private
Education
Loan
Trust
2019-A
2.74%,
02/16/2026
(d)
$
197‌
$
197‌
1.00
x
1
Month
USD
LIBOR
+
0.35%
SMB
Private
Education
Loan
Trust
2019-B
2.76%,
07/15/2026
(d)
250‌
250‌
1.00
x
1
Month
USD
LIBOR
+
0.35%
$
7,541‌
Telecommunications
-
2.42%
AT&T
Inc
3.42%,
02/15/2023
250‌
247‌
3
Month
USD
LIBOR
+
0.89%
3.60%,
02/17/2023
200‌
208‌
Cisco
Systems
Inc
2.20%,
02/28/2021
250‌
250‌
Crown
Castle
Towers
LLC
3.22%,
05/15/2022
(d)
272‌
275‌
Sprint
Spectrum
Co
LLC
/
Sprint
Spectrum
Co
II
LLC
/
Sprint
Spectrum
Co
III
LLC
3.36%,
03/20/2023
(d)
422‌
422‌
4.74%,
03/20/2025
(d)
950‌
986‌
Verizon
Communications
Inc
3.07%,
05/22/2020
200‌
201‌
3
Month
USD
LIBOR
+
0.55%
Vodafone
Group
PLC
3.75%,
01/16/2024
550‌
575‌
$
3,164‌
Transportation
-
0.31%
Ryder
System
Inc
2.25%,
09/01/2021
200‌
199‌
3.75%,
06/09/2023
200‌
208‌
$
407‌
Trucking
&
Leasing
-
0.16%
Penske
Truck
Leasing
Co
Lp
/
PTL
Finance
Corp
3.45%,
07/01/2024
(d)
200‌
206‌
TOTAL
BONDS
$
127,421‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
-
1.25%
Principal
Amount
(000's)
Value
(000's)
Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
-
0.01%
4.76%,
09/01/2035
11‌
12‌
1.00
x
US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
2.25%
$
12‌
Federal
National
Mortgage
Association
(FNMA)
-
0.08%
4.17%,
04/01/2033
27‌
28‌
1.00
x
6
Month
USD
LIBOR
+
1.51%
4.40%,
07/01/2034
15‌
16‌
1.00
x
12
Month
USD
LIBOR
+
1.65%
4.42%,
08/01/2034
6‌
6‌
1.00
x
12
Month
USD
LIBOR
+
1.63%
4.57%,
02/01/2037
21‌
22‌
1.00
x
US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
2.10%
4.77%,
12/01/2032
4‌
4‌
1.00
x
12
Month
USD
LIBOR
+
1.64%
4.79%,
11/01/2032
3‌
3‌
1.00
x
US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
2.29%
4.87%,
01/01/2035
7‌
7‌
1.00
x
12
Month
USD
LIBOR
+
1.75%
4.89%,
02/01/2035
3‌
3‌
1.00
x
6
Month
USD
LIBOR
+
2.07%
5.00%,
12/01/2033
12‌
12‌
1.00
x
6
Month
USD
LIBOR
+
2.25%
8.00%,
05/01/2027
5‌
6‌
$
107‌
Government
National
Mortgage
Association
(GNMA)
-
0.00%
10.00%,
06/15/2020
1‌
1‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
U.S.
Treasury
-
1.16%
1.63%,
05/15/2026
$
900‌
$
886‌
2.63%,
05/15/2021
500‌
507‌
2.63%,
06/15/2021
125‌
127‌
$
1,520‌
TOTAL
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
$
1,640‌
Total
Investments
$
131,631‌
Other
Assets
and
Liabilities
-  (0.48)%
(635‌)
TOTAL
NET
ASSETS
-
100.00%
$
130,996‌
(a)
Current
yield
shown
is
as
of
period
end.
(b)
Security
or
a
portion
of
the
security
was
pledged
as
collateral
for
securities
lending.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$525
or
0.40%
of
net
assets.
(c)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(d)
Security
exempt
from
registration
under
Rule
144A
of
the
Securities
Act
of
1933.
These
securities
may
be
resold
in
transactions
exempt
from
registration,
normally
to
qualified
institutional
buyers.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$46,010
or
35.12%
of
net
assets.
(e)
Rate
shown
is
as
of
period
end.
The
rate
may
be
a
variable
or
floating
rate
or
a
fixed
rate
which
may
convert
to
a
variable
or
floating
rate
in
the
future.
(f)
Security
is
an
Interest
Only
Strip.
(g)
Certain
variable
rate
securities
are
not
based
on
a
published
reference
rate
and
spread
but
are
determined
by
the
issuer
or
agent
and
are
based
on
current
market
conditions.  These
securities
do
not
indicate
a
reference
rate
and
spread
in
their
description.
Rate
shown
is
the
rate
in
effect
as
of
period
end.
(h)
Security
or
a
portion
of
the
security
was
on
loan
at
the
end
of
the
period.
(
i
)
Non-income
producing
security
Portfolio
Summary
(unaudited)
Sector
Percent
Financial
25.71‌%
Asset
Backed
Securities
23.29‌%
Mortgage
Securities
10.22‌%
Government
9.98‌%
Consumer,
Non-cyclical
6.19‌%
Utilities
5.49‌%
Industrial
4.05‌%
Energy
3.79‌%
Consumer,
Cyclical
2.96‌%
Communications
2.82‌%
Technology
2.80‌%
Money
Market
Funds
1.96‌%
Basic
Materials
1.22‌%
Other
Assets
and
Liabilities
(0.48‌)%
TOTAL
NET
ASSETS
100.00%
Schedule
of
Investments
Short-Term
Income
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
197
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Principal
Government
Money
Market
Fund
2.23%
$
4,856‌
$
31,310‌
$
34,121‌
$
2,045‌
$
4,856‌
$
31,310‌
$
34,121‌
$
2,045‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Principal
Government
Money
Market
Fund
2.23%
$
32‌
$
—‌
$
—‌
$
—‌
$
32‌
$
—‌
$
—‌
$
—‌
Amounts
in
thousands
Schedule
of
Investments
SmallCap
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
198
COMMON
STOCKS
-
95.68%
Shares
Held
Value
(000's)
Aerospace
&
Defense
-
1.35%
Aerojet
Rocketdyne
Holdings
Inc
(a)
57,900‌
$
2,592‌
Agriculture
-
1.18%
Darling
Ingredients
Inc
(a)
113,800‌
2,264‌
Automobile
Parts
&
Equipment
-
0.79%
Modine
Manufacturing
Co
(a)
48,300‌
691‌
Visteon
Corp
(a)
14,200‌
832‌
$
1,523‌
Banks
-
8.08%
Atlantic
Union
Bankshares
Corp
38,000‌
1,343‌
BancFirst
Corp
10,200‌
568‌
Cathay
General
Bancorp
67,700‌
2,431‌
First
Interstate
BancSystem
Inc
29,800‌
1,180‌
First
Merchants
Corp
32,400‌
1,228‌
Flagstar
Bancorp
Inc
35,800‌
1,186‌
Franklin
Financial
Network
Inc
21,700‌
605‌
Great
Western
Bancorp
Inc
40,400‌
1,443‌
IBERIABANK
Corp
33,340‌
2,529‌
Independent
Bank
Corp/MI
21,900‌
477‌
Lakeland
Bancorp
Inc
23,150‌
374‌
United
Community
Banks
Inc
/GA
75,120‌
2,145‌
$
15,509‌
Biotechnology
-
3.71%
Acceleron
Pharma
Inc
(a)
18,600‌
764‌
Allogene
Therapeutics
Inc
(a),(b)
21,700‌
583‌
Bluebird
Bio
Inc
(a)
6,100‌
776‌
Denali
Therapeutics
Inc
(a)
33,000‌
685‌
DNIB
Unwind
Inc
-
Warrants
(a),(c),(d)
1,938‌
—‌
FibroGen
Inc
(a)
20,700‌
935‌
Insmed
Inc
(a)
34,700‌
888‌
MacroGenics
Inc
(a)
32,200‌
547‌
Magenta
Therapeutics
Inc
(a)
35,800‌
528‌
Precision
BioSciences
Inc
(a)
20,076‌
266‌
Seattle
Genetics
Inc
(a)
11,952‌
827‌
Spark
Therapeutics
Inc
(a)
3,215‌
329‌
$
7,128‌
Chemicals
-
0.81%
Cabot
Corp
32,560‌
1,553‌
Commercial
Services
-
6.71%
AMN
Healthcare
Services
Inc
(a)
48,900‌
2,653‌
Brink's
Co/The
25,600‌
2,078‌
HMS
Holdings
Corp
(a)
72,300‌
2,342‌
ICF
International
Inc
23,700‌
1,725‌
K12
Inc
(a)
56,500‌
1,718‌
Korn
Ferry
24,300‌
974‌
Medifast
Inc
10,760‌
1,381‌
$
12,871‌
Computers
-
3.98%
CACI
International
Inc
(a)
13,800‌
2,823‌
ExlService
Holdings
Inc
(a)
23,500‌
1,554‌
Perspecta
Inc
85,800‌
2,009‌
PlayAGS
Inc
(a)
43,315‌
843‌
Tenable
Holdings
Inc
(a)
14,510‌
414‌
$
7,643‌
Consumer
Products
-
0.56%
Central
Garden
&
Pet
Co
-
A
Shares
(a)
43,720‌
1,077‌
Diversified
Financial
Services
-
3.21%
Hamilton
Lane
Inc
23,546‌
1,343‌
LPL
Financial
Holdings
Inc
12,100‌
987‌
Piper
Jaffray
Cos
18,650‌
1,385‌
Stifel
Financial
Corp
41,495‌
2,451‌
$
6,166‌
Electric
-
2.86%
PNM
Resources
Inc
53,180‌
2,707‌
Portland
General
Electric
Co
51,500‌
2,790‌
$
5,497‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Electrical
Components
&
Equipment
-
1.14%
EnerSys
26,300‌
$
1,802‌
nLight
Inc
(a)
19,890‌
382‌
$
2,184‌
Electronics
-
2.75%
Advanced
Energy
Industries
Inc
(a)
29,500‌
1,660‌
SYNNEX
Corp
22,500‌
2,214‌
Vishay
Intertechnology
Inc
84,713‌
1,399‌
$
5,273‌
Engineering
&
Construction
-
2.74%
BrightView
Holdings
Inc
(a)
73,700‌
1,379‌
MasTec
Inc
(a)
54,700‌
2,819‌
Tutor
Perini
Corp
(a)
75,800‌
1,051‌
$
5,249‌
Entertainment
-
2.44%
Eldorado
Resorts
Inc
(a)
53,300‌
2,456‌
Golden
Entertainment
Inc
(a)
47,600‌
666‌
Vail
Resorts
Inc
7,000‌
1,562‌
$
4,684‌
Environmental
Control
-
2.95%
Advanced
Disposal
Services
Inc
(a)
72,708‌
2,320‌
Energy
Recovery
Inc
(a)
45,810‌
478‌
Tetra
Tech
Inc
36,400‌
2,859‌
$
5,657‌
Forest
Products
&
Paper
-
0.19%
PH
Glatfelter
Co
21,900‌
370‌
Gas
-
1.47%
Southwest
Gas
Holdings
Inc
31,350‌
2,810‌
Healthcare
-
Products
-
1.63%
Adaptive
Biotechnologies
Corp
(a)
9,000‌
435‌
Nevro
Corp
(a)
23,520‌
1,525‌
RA
Medical
Systems
Inc
(a),(b)
62,600‌
226‌
STAAR
Surgical
Co
(a)
32,300‌
949‌
$
3,135‌
Healthcare
-
Services
-
4.71%
Addus
HomeCare
Corp
(a)
19,300‌
1,446‌
Encompass
Health
Corp
33,600‌
2,129‌
Natera
Inc
(a)
32,880‌
907‌
Syneos
Health
Inc
(a)
60,300‌
3,081‌
Teladoc
Health
Inc
(a)
22,200‌
1,474‌
$
9,037‌
Holding
Companies
-
Diversified
-
0.63%
Capitol
Investment
Corp
IV
(a)
118,700‌
1,214‌
Home
Builders
-
1.05%
William
Lyon
Homes
(a)
110,960‌
2,023‌
Insurance
-
4.20%
Hanover
Insurance
Group
Inc
/The
18,600‌
2,387‌
Kemper
Corp
26,510‌
2,288‌
MGIC
Investment
Corp
(a)
155,200‌
2,039‌
National
General
Holdings
Corp
58,383‌
1,339‌
$
8,053‌
Internet
-
1.14%
Anaplan
Inc
(a)
11,514‌
581‌
Eventbrite
Inc
(a),(b)
52,600‌
852‌
Revolve
Group
Inc
(a),(b)
21,998‌
759‌
$
2,192‌
Iron
&
Steel
-
0.82%
Cleveland-Cliffs
Inc
(b)
77,000‌
822‌
Reliance
Steel
&
Aluminum
Co
7,910‌
748‌
$
1,570‌
Leisure
Products
&
Services
-
2.00%
OneSpaWorld
Holdings
Ltd
(a)
90,600‌
1,404‌
Planet
Fitness
Inc
(a)
33,600‌
2,434‌
$
3,838‌
Lodging
-
1.10%
Extended
Stay
America
Inc
125,300‌
2,116‌
Schedule
of
Investments
SmallCap
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
199
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Machinery
-
Diversified
-
2.07%
Altra
Industrial
Motion
Corp
79,400‌
$
2,849‌
Columbus
McKinnon
Corp/NY
26,677‌
1,120‌
$
3,969‌
Media
-
0.65%
World
Wrestling
Entertainment
Inc
17,200‌
1,242‌
Metal
Fabrication
&
Hardware
-
1.42%
Rexnord
Corp
(a)
90,030‌
2,721‌
Mining
-
0.23%
Alcoa
Corp
(a)
19,040‌
446‌
Miscellaneous
Manufacturers
-
1.05%
Hillenbrand
Inc
33,050‌
1,308‌
Trinseo
SA
16,830‌
712‌
$
2,020‌
Oil
&
Gas
-
2.29%
Carrizo
Oil
&
Gas
Inc
(a)
72,000‌
722‌
Delek
US
Holdings
Inc
53,400‌
2,164‌
Mammoth
Energy
Services
Inc
60,364‌
415‌
Ring
Energy
Inc
(a)
126,800‌
412‌
Whiting
Petroleum
Corp
(a),(b)
36,100‌
674‌
$
4,387‌
Oil
&
Gas
Services
-
0.63%
Pioneer
Energy
Services
Corp
(a)
146,800‌
37‌
Select
Energy
Services
Inc
(a)
101,200‌
1,175‌
$
1,212‌
Packaging
&
Containers
-
0.74%
Graphic
Packaging
Holding
Co
102,100‌
1,427‌
Pharmaceuticals
-
2.75%
Array
BioPharma
Inc
(a)
43,300‌
2,006‌
Bellicum
Pharmaceuticals
Inc
(a)
56,800‌
97‌
Clovis
Oncology
Inc
(a)
11,080‌
165‌
DexCom
Inc
(a)
2,900‌
434‌
Horizon
Therapeutics
Plc
(a)
73,200‌
1,761‌
Neurocrine
Biosciences
Inc
(a)
3,100‌
262‌
Revance
Therapeutics
Inc
(a)
43,047‌
558‌
$
5,283‌
REITs
-
7.91%
Agree
Realty
Corp
39,400‌
2,524‌
Brandywine
Realty
Trust
150,600‌
2,157‌
Cousins
Properties
Inc
60,601‌
2,192‌
First
Industrial
Realty
Trust
Inc
85,780‌
3,151‌
Ladder
Capital
Corp
90,400‌
1,501‌
Pebblebrook
Hotel
Trust
98,320‌
2,771‌
Two
Harbors
Investment
Corp
69,460‌
880‌
$
15,176‌
Retail
-
3.53%
BJ's
Wholesale
Club
Holdings
Inc
(a)
87,800‌
2,318‌
Caleres
Inc
73,240‌
1,459‌
Carvana
Co
(a),(b)
32,400‌
2,028‌
Ruth's
Hospitality
Group
Inc
42,510‌
965‌
$
6,770‌
Savings
&
Loans
-
0.25%
Berkshire
Hills
Bancorp
Inc
15,400‌
483‌
Semiconductors
-
1.58%
Aquantia
Corp
(a)
34,530‌
450‌
Entegris
Inc
69,000‌
2,575‌
$
3,025‌
Software
-
5.36%
Alteryx
Inc
(a)
12,390‌
1,352‌
Aspen
Technology
Inc
(a)
20,100‌
2,498‌
Ceridian
HCM
Holding
Inc
(a)
12,881‌
647‌
Manhattan
Associates
Inc
(a)
34,000‌
2,357‌
Pluralsight
Inc
(a)
20,400‌
619‌
Smartsheet
Inc
(a)
17,709‌
857‌
SolarWinds
Corp
(a)
107,088‌
1,964‌
$
10,294‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Telecommunications
-
1.02%
Plantronics
Inc
44,500‌
$
1,648‌
Switch
Inc
(b)
23,800‌
312‌
$
1,960‌
TOTAL
COMMON
STOCKS
$
183,643‌
INVESTMENT
COMPANIES
-
3.34%
Shares
Held
Value
(000's)
Money
Market
Funds
-
3.34%
BlackRock
Liquidity
FedFund
2.26%
(e),(f)
2,897,154‌
2,897‌
Principal
Government
Money
Market
Fund
2.23%
(e),(g)
3,510,432‌
3,510‌
$
6,407‌
TOTAL
INVESTMENT
COMPANIES
$
6,407‌
Total
Investments
$
190,050‌
Other
Assets
and
Liabilities
-  0.98%
1,883‌
TOTAL
NET
ASSETS
-
100.00%
$
191,933‌
(a)
Non-income
producing
security
(b)
Security
or
a
portion
of
the
security
was
on
loan
at
the
end
of
the
period.
(c)
The
value
of
these
investments
was
determined
using
significant
unobservable
inputs.
(d)
Fair
value
of
these
investments
is
determined
in
good
faith
by
the
Manager
under
procedures
established
and
periodically
reviewed
by
the
Board
of
Directors.
Certain
inputs
used
in
the
valuation
may
be
unobservable;
however,
each
security
is
evaluated
individually
for
purposes
of
ASC
820
which
results
in
not
all
securities
being
identified
as
Level
3
of
the
fair
value
hierarchy.
At
the
end
of
the
period,
the
fair
value
of
these
securities
totaled
$0
or
0.00%
of
net
assets.
(e)
Current
yield
shown
is
as
of
period
end.
(f)
Security
or
a
portion
of
the
security
was
pledged
as
collateral
for
securities
lending.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$2,897
or
1.51%
of
net
assets.
(g)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
Portfolio
Summary
(unaudited)
Sector
Percent
Financial
23.65‌%
Consumer,
Non-cyclical
21.25‌%
Industrial
16.21‌%
Technology
10.92‌%
Consumer,
Cyclical
10.91‌%
Utilities
4.33‌%
Money
Market
Funds
3.34‌%
Energy
2.92‌%
Communications
2.81‌%
Basic
Materials
2.05‌%
Diversified
0.63‌%
Other
Assets
and
Liabilities
0.98‌%
TOTAL
NET
ASSETS
100.00%
Schedule
of
Investments
SmallCap
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
200
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Principal
Government
Money
Market
Fund
2.23%
$
1,443‌
$
25,344‌
$
23,277‌
$
3,510‌
$
1,443‌
$
25,344‌
$
23,277‌
$
3,510‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Principal
Government
Money
Market
Fund
2.23%
$
3
9‌
$
—‌
$
—‌
$
—‌
$
3
9‌
$
—‌
$
—‌
$
—‌
Amounts
in
thousands
Glossary
to
the
Schedule
of
Investments
June
30,
2019
(unaudited)
See
accompanying
notes.
201
Currency
Abbreviations
USD/$
United
States
Dollar
See
accompanying
notes.
202
Financial
Highlights
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Selected
data
for
a
share
of
Capital
Stock
outstanding
throughout
each
year
ended
December
31
(except
as
noted):
Net
Asset
Value,
Beginning
of
Period
Net
Investment
Income
(Loss)(a)
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
Total
From
Investment
Operations
Dividends
from
Net
Investment
Income
Distributions
from
Realized
Gains
Total
Dividends
and
Distributions
Net
Asset
Value,
End
of
Period
BOND
MARKET
INDEX
ACCOUNT
Class
1
shares
2019(c)
$
10.15‌
$
0.14‌
$
0.47‌
$
0.61‌
$
–‌
$
–‌
$
–‌
$
10.76‌
2018
10.39‌
0.26‌
(
0.28‌)
(
0.02‌)
(
0.22‌)
–‌
(
0.22‌)
10.15‌
2017
10.25‌
0.22‌
0.11‌
0.33‌
(
0.19‌)
–‌
(
0.19‌)
10.39‌
2016
10.20‌
0.19‌
0.05‌
0.24‌
(
0.19‌)
–‌
(
0.19‌)
10.25‌
2015
10.34‌
0.18‌
(
0.17‌)
0.01‌
(
0.15‌)
–‌
(
0.15‌)
10.20‌
2014
9.88‌
0.17‌
0.40‌
0.57‌
(
0.11‌)
–‌
(
0.11‌)
10.34‌
CORE
PLUS
BOND
ACCOUNT
Class
1
shares
2019(c)
10.81‌
0.18‌
0.59‌
0.77‌
–‌
–‌
–‌
11.58‌
2018
11.35‌
0.36‌
(
0.52‌)
(
0.16‌)
(
0.38‌)
–‌
(
0
.38‌)
10.81‌
2017
11.15‌
0.35‌
0.18‌
0.53‌
(
0.33‌)
–‌
(
0.33‌)
11.35‌
2016
11.05‌
0.32‌
0.14‌
0.46‌
(
0.36‌)
–‌
(
0.36‌)
11.15‌
2015
11.46‌
0.32‌
(
0.37‌)
(
0.05‌)
(
0.36‌)
–‌
(
0.36‌)
11.05‌
2014
11.24‌
0.31‌
0.28‌
0.59‌
(
0.37‌)
–‌
(
0.37‌)
11.46‌
DIVERSIFIED
BALANCED
ACCOUNT
Class
1
shares
2019(c)
14.87‌
–‌
1.74‌
1.74‌
–‌
–‌
–‌
16.61‌
2018
15.98‌
0.31‌
(
0.78‌)
(
0.47‌)
(
0.43‌)
(
0.21‌)
(
0.64‌)
14.87‌
2017(h)
15.36‌
0.45‌
0.65‌
1.10‌
(
0.26‌)
(
0.22‌)
(
0.48‌)
15.98‌
Class
2
shares
2019(c)
14.88‌
(
0.02‌)
1.75‌
1.73‌
–‌
–‌
–‌
16.61‌
2018
15.99‌
0.27‌
(
0.78‌)
(
0.51‌)
(
0.39‌)
(
0.21‌)
(
0.60‌)
14.88‌
2017
14.76‌
0.35‌
1.32‌
1.67‌
(
0.22‌)
(
0.22‌)
(
0.44‌)
15.99‌
2016
14.11‌
0.22‌
0.75‌
0.97‌
(
0.18‌)
(
0.14‌)
(
0.32‌)
14.76‌
2015
14.39‌
0.19‌
(
0.17‌)
0.02‌
(
0.14‌
)
(
0.16‌)
(
0.30‌)
14.11‌
2014
13.66‌
0.16‌
0.85‌
1.01‌
(
0.13‌)
(
0.15‌)
(
0.28‌)
14.39‌
(a)
(b)
(c)
(d)
(e)
(f)
(g)
(h)
(i)
See
accompanying
notes.
203
Financial
Highlights
(Continued)
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Total
Return(b)
Net
Assets,
End
of
Period
(in
thousands)
Ratio
of
Expenses
to
Average
Net
Assets
Ratio
of
Gross
Expenses
to
Average
Net
Assets
Ratio
of
Net
Investment
Income
to
Average
Net
Assets
Portfolio
Turnover
Rate
6.01‌
%
(d)
$
2,480,623‌
0.15‌
%
(e),(f)
–‌
%
2.71‌
%
(e)
115.6‌
%
(e)
(0.19‌)
2,213,355‌
0.15‌
(f)
–‌
2.52‌
123.1‌
3.27‌
2,448,068‌
0.23‌
(f)
–‌
2.10‌
108.9‌
2.29‌
2,184,608‌
0.25‌
–‌
1.86‌
118.5‌
0.13‌
1,937,655‌
0.25‌
–‌
1.77‌
154.0‌
5.75‌
1,734,803‌
0.26‌
–‌
1.68‌
195.7‌
7.12‌
(d)
321,822‌
0.46‌
(e)
–‌
3.18‌
(e)
169.2‌
(e)
(1.41‌)
280,760‌
0.47‌
–‌
3.27‌
127.5‌
4.81‌
293,662‌
0.46‌
–‌
3.08‌
123.5‌
4.09‌
292,436‌
0.46‌
–‌
2.79‌
155.1‌
(0.48‌)
290,032‌
0.46‌
–‌
2.80‌
177.2‌
5.24‌
321,735‌
0.45‌
–‌
2.74‌
205.6‌
11.70‌
(d)
39,491‌
0.05‌
(e),(g)
0.05‌
(e),(g)
(0.05‌)
(e)
14.4‌
(e)
(3.14‌)
36,763‌
0.05‌
(g)
0.05‌
(g)
1.95‌
15.7‌
7.27‌
(d)
42,702‌
0.05‌
(e),(g)
0.05‌
(e),(g)
4.27‌
(e)
13.9‌
(e)
11.63‌
(d)
1,007,803‌
0.30‌
(e),(g)
0.30‌
(e),(g),(i)
(0.30‌)
(e)
14.4‌
(e)
(3.40‌)
968,449‌
0.30‌
(g)
0.30‌
(g),(i)
1.69‌
15.7‌
11.43‌
1,131,373‌
0.30‌
(g)
0.30‌
(g),(i)
2.27‌
13.9‌
6.90‌
1,099,647‌
0.30‌
(g)
0.30‌
(g),(i)
1.51‌
14.1‌
0.16‌
1,031,111‌
0.30‌
(g)
0.30‌
(g),(i)
1.29‌
14.3‌
7.41‌
1,011,106‌
0.30‌
(g)
0.30‌
(g),(i)
1.11‌
9.0‌
(a)
Calculated
based
on
average
shares
outstanding
during
the
period.
(b)
Total
return
does
not
reflect
charges
attributable
to separate
accounts. 
Inclusion
of
these
charges
would
reduce
the
amounts
shown. 
(c)
Six
months
ended
June
30,
2019.
(d)
Total
return
amounts
have
not
been
annualized.
(e)
Computed
on
an
annualized
basis.
(f)
Reflects
Manager's
contractual
expense
limit.
(g)
Does
not
include
expenses
of
the
investment
companies
in
which
the
Account
invests.
(h)
Period
from
May
1,
2017
date
operations
commenced,
through
December
31,
2017.
(i)
Excludes
expense
reimbursement
from
Manager.
See
accompanying
notes.
204
Financial
Highlights
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Selected
data
for
a
share
of
Capital
Stock
outstanding
throughout
each
year
ended
December
31
(except
as
noted):
Net
Asset
Value,
Beginning
of
Period
Net
Investment
Income
(Loss)(a)
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
Total
From
Investment
Operations
Dividends
from
Net
Investment
Income
Distributions
from
Realized
Gains
Total
Dividends
and
Distributions
Net
Asset
Value,
End
of
Period
DIVERSIFIED
BALANCED
MANAGED
VOLATILITY
ACCOUNT
Class
2
shares
2019(c)
$
11.34‌
(
$
0.02‌)
$
1.29‌
$
1.27‌
$
–‌
$
–‌
$
–‌
$
12.61‌
2018
12.25‌
0.19‌
(
0.55‌)
(
0.36‌)
(
0.46‌)
(
0.09‌)
(
0.55‌)
11.34‌
2017
11.27‌
0.43‌
0.78‌
1.21‌
(
0.15‌)
(
0.08‌)
(
0.23‌)
12.25‌
2016
10.72‌
0.16‌
0.53‌
0.69‌
(
0.08‌)
(
0.06‌)
(
0.14‌)
11.27‌
2015
10.88‌
0.10‌
(
0.09‌)
0.01‌
(
0.09‌)
(
0.08‌)
(
0.17‌)
10.72‌
2014
10.18‌
0.27‌
0.43‌
0.70‌
–‌
–‌
–‌
10.88‌
DIVERSIFIED
BALANCED
VOLATILITY
CONTROL
ACCOUNT
Class
2
shares
2019(c)
10.31‌
0.01‌
0.97‌
0.98‌
–‌
–‌
–‌
11.29‌
2018
10.80‌
0.20‌
(
0.58‌)
(
0.38‌)
(
0.08‌)
(
0.03‌)
(
0.11‌)
10.31‌
2017(i)
10.00‌
0.27‌
0.53‌
0.80‌
–‌
–‌
–‌
10.80‌
DIVERSIFIED
GROWTH
ACCOUNT
Class
2
shares
2019(c)
16.29‌
(
0.03‌)
2.19‌
2.16‌
–‌
–‌
–‌
18.45‌
2018
17.66‌
0.30‌
(
1.03‌)
(
0.73‌)
(
0.45‌)
(
0.19‌)
(
0.64‌)
16.29‌
2017
15.93‌
0.43‌
1.79‌
2.22‌
(
0.23‌)
(
0.26‌)
(
0.49‌)
17.66‌
2016
15.08‌
0.24‌
0.98‌
1.22‌
(
0.19‌)
(
0.18‌)
(
0.37‌)
15.93‌
2015
15.40‌
0.21‌
(
0.18‌)
0.03‌
(
0.16‌)
(
0.19‌)
(
0.35‌)
15.08‌
2014
14.60‌
0.19‌
0.94‌
1.13‌
(
0.14‌)
(
0.19‌)
(
0.33‌)
15.40‌
(a)
(b)
(c)
(d)
(e)
(f)
(g)
(h)
(i)
(j)
See
accompanying
notes.
205
Financial
Highlights
(Continued)
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Total
Return(b)
Net
Assets,
End
of
Period
(in
thousands)
Ratio
of
Expenses
to
Avera
ge
Net
Assets
Ratio
of
Gross
Expenses
to
Average
Net
Assets
Ratio
of
Net
Investment
Income
to
Average
Net
Assets
Portfolio
Turnover
Rate
11.20‌
%
(d)
$
174,268‌
0.31‌
%
(e),(f),(g)
–‌
%
(0.31‌)
%
(e)
16.0‌
%
(e)
(3.20‌)
162,166‌
0.31‌
(f),(g)
–‌
1.59‌
16.2‌
10.90‌
181,005‌
0.31‌
(f),(g)
–‌
3.65‌
13.6‌
6.42‌
168,756‌
0.31‌
(f),(g)
–‌
1.48‌
13.6‌
0.01‌
138,384‌
0.31‌
(f),(g)
–‌
0.90‌
14.1‌
6.89‌
84,527‌
0.31‌
(f),(g)
–‌
2.54‌
8.1‌
9.51‌
(d)
94,675‌
0.38‌
(e),(f),(g)
–‌
0.10‌
(e)
29.2‌
(e)
(3.71‌)
(h)
66,983‌
0.38‌
(f),(g)
–‌
1.90‌
99.6‌
8.10‌
(d),(h)
36,522‌
0.39‌
(e),(f),(g)
–‌
3.36‌
(e)
8.0‌
(e)
13.32‌
(d),(h)
3,766,135‌
0.30‌
(e),(g)
0.30‌
(e),(g),(j)
(0.30‌)
(e)
12.9‌
(e)
(4.51‌)
(h)
3,488,312‌
0.30‌
(g)
0.30‌
(g),(j)
1.69‌
15.5‌
14.21‌
(h)
3,945,713‌
0.30‌
(g)
0.30‌
(g),(j)
2.52‌
10.9‌
8.14‌
3,588,901‌
0.30‌
(g)
0.30‌
(g),(j)
1.53‌
11.1‌
0.17‌
3,201,495‌
0.30‌
(g)
0.30‌
(g),(j)
1.37‌
10.7‌
7.83‌
2,880,722‌
0.30‌
(g)
0.30‌
(g),(j)
1.25‌
7.1‌
(a)
Calculated
based
on
average
shares
outstanding
during
the
period.
(b)
Total
return
does
not
reflect
charges
attributable
to separate
accounts. 
Inclusion
of
these
charges
would
reduce
the
amounts
shown. 
(c)
Six
months
ended
June
30,
2019.
(d)
Total
return
amounts
have
not
been
annualized.
(e)
Computed
on
an
annualized
basis.
(f)
Reflects
Manager's
contractual
expense
limit.
(g)
Does
not
include
expenses
of
the
investment
companies
in
which
the
Account
invests.
(h)
Total
return
is
calculated
using
the
traded
net
asset
value
which
may
differ
from
the
reported
net
asset
value.
The
traded
net
asset
value
is
the
net
asset
value
which
a
shareholder
would
have
paid
or
received
from
a
subscription
or
redemption.
(i)
Period
from
March
30,
2017
date
operations
commenced,
through
December
31,
2017.
(j)
Excludes
expense
reimbursement
from
Manager.
See
accompanying
notes.
206
Financial
Highlights
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Selected
data
for
a
share
of
Capital
Stock
outstanding
throughout
each
year
ended
December
31
(except
as
noted):
Net
Asset
Value,
Beginning
of
Period
Net
Investment
Income
(Loss)(a)
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
Total
From
Investment
Operations
Dividends
from
Net
Investment
Income
Distributions
from
Realized
Gains
Total
Dividends
and
Distributions
Net
Asset
Value,
End
of
Period
DIVERSIFIED
GROWTH
MANAGED
VOLATILITY
ACCOUNT
Class
2
shares
2019(c)
$
11.61‌
(
$
0.02‌)
$
1.49‌
$
1.47‌
$
–‌
$
–‌
$
–‌
$
13.08‌
2018
12.72‌
0.19‌
(
0.66‌)
(
0.47‌)
(
0.54‌)
(
0.10‌)
(
0.64‌)
11.61‌
2017
11.46‌
0.52‌
0.99‌
1.51‌
(
0.15‌)
(
0.10‌)
(
0.25‌)
12.72‌
2016
10.79‌
0.16‌
0.66‌
0.82‌
(
0.07‌)
(
0.08‌)
(
0.15‌)
11.46‌
2015
10.99‌
0.09‌
(
0.08‌)
0.01‌
(
0.11‌)
(
0.10‌)
(
0.21‌)
10.79‌
2014
10.27‌
0.31‌
0.41‌
0.72‌
–‌
–‌
–‌
10.99‌
DIVERSIFIED
GROWTH
VOLATILITY
CONTROL
ACCOUNT
Class
2
shares
2019(c)
10.37‌
0.01‌
1.08‌
1.09‌
–‌
–‌
–‌
11.46‌
2018
10.97‌
0.21‌
(
0.71‌)
(
0.50‌)
(
0.07‌)
(
0.03‌)
(
0.10‌)
10.37‌
2017(h)
10.00‌
0.30‌
0.67‌
0.97‌
–‌
–‌
–‌
10.97‌
DIVERSIFIED
INCOME
ACCOUNT
Class
2
shares
2019(c)
12.46‌
(
0.02‌)
1.25‌
1.23‌
–‌
–‌
–‌
13.69‌
2018
13.12‌
0.22‌
(
0.51‌)
(
0.29‌)
(
0.28‌)
(
0.09‌)
(
0.37‌)
12.46‌
2017
12.34‌
0.26‌
0.82‌
1.08‌
(
0.18‌)
(
0.12‌)
(
0.30‌)
13.12‌
2016
11.87‌
0.19‌
0.47‌
0.66‌
(
0.12‌)
(
0.07‌)
(
0.19‌)
12.34‌
2015
12.03‌
0.15‌
(
0.12‌)
0.03‌
(
0.10‌)
(
0.09‌)
(
0.19‌)
11.87‌
2014
11.38‌
0.12‌
0.66‌
0.78‌
(
0.06‌)
(
0.07‌)
(
0.13‌)
12.03‌
(a)
(b)
(c)
(d)
(e)
(f)
(g)
(h)
(i)
See
accompanying
notes.
207
Financial
Highlights
(Continued)
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Total
Return(b)
Net
Assets,
End
of
Period
(in
thousands)
Ratio
of
Expenses
to
Average
Net
Assets
Ratio
of
Gross
Expenses
to
Average
Net
Assets
Ratio
of
Net
Investment
Income
to
Average
Net
Assets
Portfolio
Turnover
Rate
12.66‌
%
(d)
$
352,453‌
0.30‌
%
(e),(f),(g
)
–‌
%
(0.30‌)
%
(e)
13.8‌
%
(e)
(4.07‌)
325,228‌
0.30‌
(f),(g)
–‌
1.53‌
16.3‌
13.34‌
355,062‌
0.30‌
(f),(g)
–‌
4.30‌
12.5‌
7.56‌
313,672‌
0.30‌
(f),(g)
–‌
1.49‌
11.7‌
0.06‌
252,611‌
0.30‌
(f),(g)
–‌
0.82‌
11.5‌
7.06‌
151,672‌
0.31‌
(f),(g)
–‌
2.92‌
8.0‌
10.51‌
(d)
549,329‌
0.37‌
(e),(f),(g)
–‌
0.12‌
(e)
24.7‌
(e)
(4.60‌)
384,706‌
0.37‌
(f),(g)
–‌
1.96‌
103.6‌
9.70‌
(d)
171,769‌
0.38‌
(e),(f),(g)
–‌
3.80‌
(e)
0.9‌
(e)
9.87‌
(d)
263,140‌
0.30‌
(e),(g)
0.30‌
(e),(g),(i)
(0.30‌)
(e)
24.7‌
(e)
(2.38‌)
241,331‌
0.30‌
(g)
0.30‌
(g),(i)
1.72‌
22.8‌
8.81‌
268,135‌
0.30‌
(g)
0.30‌
(g),(i)
2.06‌
21.2‌
5.56‌
254,001‌
0.30‌
(g)
0.30‌
(g),(i)
1.56‌
19.3‌
0.16‌
198,762‌
0.30‌
(g)
0.30‌
(g),(i)
1.25‌
20.1‌
6.89‌
168,562‌
0.31‌
(g)
0.31‌
(g),(i)
1.06‌
18.7‌
(a)
Calculated
based
on
average
shares
outstanding
during
the
period.
(b)
Total
return
does
not
reflect
charges
attributable
to separate
accounts. 
Inclusion
of
these
charges
would
reduce
the
amounts
shown. 
(c)
Six
months
ended
June
30,
2019.
(d)
Total
return
amounts
have
not
been
annualized.
(e)
Computed
on
an
annualized
basis.
(f)
Reflects
Manager's
contractual
expense
limit.
(g)
Does
not
include
expenses
of
the
investment
companies
in
which
the
Account
invests.
(h)
Period
from
March
30,
2017
date
operations
commenced,
through
December
31,
2017.
(i)
Excludes
expense
reimbursement
from
Manager.
See
accompanying
notes.
208
Financial
Highlights
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Selected
data
for
a
share
of
Capital
Stock
outstanding
throughout
each
year
ended
December
31
(except
as
noted):
Net
Asset
Value,
Beginning
of
Period
Net
Investment
Income
(Loss)(a)
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
Total
From
Investment
Operations
Dividends
from
Net
Investment
Income
Distributions
from
Realized
Gains
Total
Dividends
and
Distributions
Net
Asset
Value,
End
of
Period
DIVERSIFIED
INTERNATIONAL
ACCOUNT
Class
1
shares
2019(c)
$
13
.72‌
$
0
.20‌
$
1
.82‌
$
2
.02‌
$
–‌
$
–‌
$
–‌
$
15
.74‌
2018
17
.01‌
0
.31‌
(
3
.25‌
)
(
2
.94‌
)
(
0
.35‌
)
–‌
(
0
.35‌
)
13
.72‌
2017
13
.42‌
0
.21‌
3
.67‌
3
.88‌
(
0
.29‌
)
–‌
(
0
.29‌
)
17
.01‌
2016
13
.68‌
0
.24‌
(
0
.18‌
)
0
.06‌
(
0
.32‌
)
–‌
(
0
.32‌
)
13
.42‌
2015
14
.08‌
0
.26‌
(
0
.29‌
)
(
0
.03‌
)
(
0
.37‌
)
–‌
(
0
.37‌
)
13
.68‌
2014
14
.87‌
0
.24‌
(
0
.70‌
)
(
0
.46‌
)
(
0
.33‌
)
–‌
(
0
.33‌
)
14
.08‌
EQUITY
INCOME
ACCOUNT
Class
1
shares
2019(c)
22
.86‌
0
.29‌
3
.61‌
3
.90‌
–‌
–‌
–‌
26
.76‌
2018
26
.08‌
0
.64‌
(
1
.72‌
)
(
1
.08‌
)
(
0
.52‌
)
(
1
.62‌
)
(
2
.14‌
)
22
.86‌
2017
23
.20‌
0
.56‌
4
.14‌
4
.70‌
(
0
.58‌
)
(
1
.24‌
)
(
1
.82‌
)
26
.08‌
2016
21
.67‌
0
.57‌
2
.77‌
3
.34‌
(
0
.64‌
)
(
1
.17‌
)
(
1
.81‌
)
23
.20‌
2015
23
.12‌
0
.58‌
(
1
.46‌
)
(
0
.88‌
)
(
0
.57‌
)
–‌
(
0
.57‌
)
21
.67‌
2014
21
.00‌
0
.57‌
2
.09‌
2
.66‌
(
0
.54‌
)
–‌
(
0
.54‌
)
23
.12‌
Class
2
shares
2019(c)
22
.66‌
0
.25‌
3
.58‌
3
.83‌
–‌
–‌
–‌
26
.49‌
2018
25
.87‌
0
.57‌
(
1
.70‌
)
(
1
.13‌
)
(
0
.46‌
)
(
1
.62‌
)
(
2
.08‌
)
22
.66‌
2017
23
.03‌
0
.49‌
4
.11‌
4
.60‌
(
0
.52‌
)
(
1
.24‌
)
(
1
.76‌
)
25
.87‌
2016
21
.52‌
0
.51‌
2
.75‌
3
.26‌
(
0
.58‌
)
(
1
.17‌
)
(
1
.75‌
)
23
.03‌
2015
22
.96‌
0
.52‌
(
1
.45‌
)
(
0
.93‌
)
(
0
.51‌
)
–‌
(
0
.51‌
)
21
.52‌
2014
20
.87‌
0
.51‌
2
.07‌
2
.58‌
(
0
.49‌
)
–‌
(
0
.49‌
)
22
.96‌
GOVERNMENT
&
HIGH
QUALITY
BOND
ACCOUNT
Class
1
shares
2019(c)
9
.47‌
0
.12‌
0
.30‌
0
.42‌
–‌
–‌
–‌
9
.89‌
2018
9
.76‌
0
.23‌
(
0
.15‌
)
0
.08‌
(
0
.37‌
)
–‌
(
0
.37‌
)
9
.47‌
2017
9
.98‌
0
.31‌
(
0
.12‌
)
0
.19‌
(
0
.41‌
)
–‌
(
0
.41‌
)
9
.76‌
2016
10
.16‌
0
.33‌
(
0
.14‌
)
0
.19‌
(
0
.37‌
)
–‌
(
0
.37‌
)
9
.98‌
2015
10
.44‌
0
.27‌
(
0
.19‌
)
0
.08‌
(
0
.35‌
)
(
0
.01‌
)
(
0
.36‌
)
10
.16‌
2014
10
.33‌
0
.27‌
0
.25‌
0
.52‌
(
0
.41‌
)
–‌
(
0
.41‌
)
10
.44‌
INTERNATIONAL
EMERGING
MARKETS
ACCOUNT
Class
1
shares
2019(c)
15
.12‌
0
.12‌
1
.42‌
1
.54‌
–‌
–‌
–‌
16
.66‌
2018
19
.40‌
0
.19‌
(
4
.25‌
)
(
4
.06‌
)
(
0
.22‌
)
–‌
(
0
.22‌
)
15
.12‌
2017
13
.94‌
0
.15‌
5
.53‌
5
.68‌
(
0
.22‌
)
–‌
(
0
.22‌
)
19
.40‌
2016
12
.88‌
0
.14‌
1
.08‌
1
.22‌
(
0
.16‌
)
–‌
(
0
.16‌
)
13
.94‌
2015
15
.21‌
0
.17‌
(
2
.25‌
)
(
2
.08‌
)
(
0
.25‌
)
–‌
(
0
.25‌
)
12
.88‌
2014
15
.94‌
0
.20‌
(
0
.78‌
)
(
0
.58‌
)
(
0
.15‌
)
–‌
(
0
.15‌
)
15
.21‌
(a)
(b)
(c)
(d)
(e)
(f)
(g)
(h)
See
accompanying
notes.
209
Financial
Highlights
(Continued)
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Total
Return(b)
Net
Assets,
End
of
Period
(in
thousands)
Ratio
of
Expenses
to
Average
Net
Assets
Ratio
of
Net
Investment
Income
to
Average
Net
Assets
Portfolio
Turnover
Rate
14
.80‌
%
(d)
,(e)
$
259,415‌
0
.92‌
%
(f)
2
.64‌
%
(f)
49
.9‌
%
(f)
(
17
.54‌
)
233,612‌
0
.91‌
1
.91‌
59
.3‌
29
.06‌
292,975‌
0
.91‌
1
.37‌
42
.8‌
0
.36‌
243,997‌
0
.91‌
1
.77‌
56
.8‌
(
0
.35‌
)
273,300‌
0
.88‌
1
.80‌
48
.2‌
(
3
.21‌
)
429,194‌
0
.86‌
1
.64‌
62
.1‌
17
.06‌
(d)
704,246‌
0
.48‌
(f)
2
.30‌
(f)
16
.4‌
(f)
(
5
.01‌
)
636,177‌
0
.49‌
2
.47‌
13
.2‌
21
.08‌
572,629‌
0
.50‌
2
.26‌
15
.9‌
15
.72‌
525,829‌
0
.50‌
2
.54‌
17
.1‌
(
3
.93‌
)
513,126‌
0
.49‌
2
.54‌
10
.7‌
12
.80‌
599,407‌
0
.48‌
2
.57‌
11
.6‌
16
.90‌
(d)
28,459‌
0
.73‌
(f)
2
.05‌
(f)
16
.4‌
(f)
(
5
.24‌
)
25,207‌
0
.74‌
2
.23‌
13
.2‌
20
.77‌
27,469‌
0
.75‌
2
.00‌
15
.9‌
15
.43‌
24,197‌
0
.75‌
2
.29‌
17
.1‌
(
4
.15‌
)
23,215‌
0
.74‌
2
.29‌
10
.7‌
12
.46‌
25,491‌
0
.73‌
2
.32‌
11
.6‌
4
.44‌
(d)
224,915‌
0
.51‌
(f)
2
.45‌
(f)
11
.2‌
(f)
0
.91‌
219,612‌
0
.51‌
2
.43‌
17
.4‌
1
.88‌
241,839‌
0
.51‌
3
.09‌
24
.3‌
1
.80‌
247,620‌
0
.51‌
3
.25‌
25
.8‌
0
.79‌
286,659‌
0
.51‌
2
.61‌
21
.9‌
5
.08‌
314,509‌
0
.51‌
2
.56‌
19
.1‌
10
.19‌
(d)
90,936‌
1
.20‌
(f)
,(g)
1
.44‌
(f)
168
.4‌
(f)
(
21
.02‌
)
83,366‌
1
.35‌
(g)
1
.05‌
121
.8‌
40
.84‌
114,735‌
1
.35‌
(g)
0
.91‌
98
.6‌
9
.40‌
(h)
85,677‌
1
.40‌
(g)
1
.07‌
115
.0‌
(
13
.81‌
)
85,434‌
1
.37‌
1
.18‌
97
.3‌
(
3
.75‌
)
103,091‌
1
.38‌
1
.28‌
106
.9‌
(a)
Calculated
based
on
average
shares
outstanding
during
the
period.
(b)
Total
return
does
not
reflect
charges
attributable
to separate
accounts. 
Inclusion
of
these
charges
would
reduce
the
amounts
shown. 
(c)
Six
months
ended
June
30,
2019.
(d)
Total
return
amounts
have
not
been
annualized.
(e)
Total
return
is
calculated
using
the
traded
net
asset
value
which
may
differ
from
the
reported
net
asset
value.
The
traded
net
asset
value
is
the
net
asset
value
which
a
shareholder
would
have
paid
or
received
from
a
subscription
or
redemption.
(f)
Computed
on
an
annualized
basis.
(g)
Reflects
Manager's
contractual
expense
limit.
(h)
During
2016,
the
Account
experienced
a
significant
one-time
gain
of
approximately
$0.07/share
as
the
result
of
a
settlement
in
a
litigation
proceeding.
If
such
gain
had
not
been
recognized,
the
total
return
amounts
expressed
herein
would
have
been
lower.
See
accompanying
notes.
210
Financial
Highlights
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Selected
data
for
a
share
of
Capital
Stock
outstanding
throughout
each
year
ended
December
31
(except
as
noted):
Net
Asset
Value,
Beginning
of
Period
Net
Investment
Income
(Loss)(a)
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
Total
From
Investment
Operations
Dividends
from
Net
Investment
Income
Distributions
from
Realized
Gains
Total
Dividends
and
Distributions
Net
Asset
Value,
End
of
Period
LARGECAP
GROWTH
ACCOUNT
I
Class
1
shares
2019(c)
$
30
.10‌
$
–‌
$
6
.71‌
$
6
.71‌
$
–‌
$
–‌
$
–‌
$
36
.81‌
2018
31
.18‌
0
.03‌
1
.41‌
1
.44‌
(
0
.01‌
)
(
2
.51‌
)
(
2
.52‌
)
30
.10‌
2017
24
.55‌
0
.01‌
8
.13‌
8
.14‌
(
0
.01‌
)
(
1
.50‌
)
(
1
.51‌
)
31
.18‌
2016
26
.33‌
0
.01‌
0
.34‌
0
.35‌
–‌
(
2
.13‌
)
(
2
.13‌
)
24
.55‌
2015
28
.70‌
0
.02‌
2
.26‌
2
.28‌
(
0
.07‌
)
(
4
.58‌
)
(
4
.65‌
)
26
.33‌
2014
32
.58‌
0
.03‌
2
.46‌
2
.49‌
(
0
.04‌
)
(
6
.33‌
)
(
6
.37‌
)
28
.70‌
LARGECAP
S&P
500
INDEX
ACCOUNT
Class
1
shares
2019(c)
16
.39‌
0
.16‌
2
.85‌
3
.01‌
–‌
–‌
–‌
19
.40‌
2018
18
.06‌
0
.36‌
(
1
.06‌
)
(
0
.70‌
)
(
0
.32‌
)
(
0
.65‌
)
(
0
.97‌
)
16
.39‌
2017
15
.44‌
0
.29‌
2
.97‌
3
.26‌
(
0
.29‌
)
(
0
.35‌
)
(
0
.64‌
)
18
.06‌
2016
14
.41‌
0
.29‌
1
.36‌
1
.65‌
(
0
.25‌
)
(
0
.37‌
)
(
0
.62‌
)
15
.44‌
2015
14
.63‌
0
.27‌
(
0
.09‌
)
0
.18‌
(
0
.22‌
)
(
0
.18‌
)
(
0
.40‌
)
14
.41‌
2014
13
.38‌
0
.24‌
1
.51‌
1
.75‌
(
0
.18‌
)
(
0
.32‌
)
(
0
.50‌
)
14
.63‌
Class
2
shares
2019(c)
16
.24‌
0
.13‌
2
.83‌
2
.96‌
–‌
–‌
–‌
19
.20‌
2018
17
.95‌
0
.32‌
(
1
.07‌
)
(
0
.75‌
)
(
0
.31‌
)
(
0
.65‌
)
(
0
.96‌
)
16
.24‌
2017
15
.38‌
0
.25‌
2
.95‌
3
.20‌
(
0
.28‌
)
(
0
.35‌
)
(
0
.63‌
)
17
.95‌
2016
14
.39‌
0
.26‌
1
.35‌
1
.61‌
(
0
.25‌
)
(
0
.37‌
)
(
0
.62‌
)
15
.38‌
2015(g)
15
.07‌
0
.17‌
(
0
.45‌
)
(
0
.28‌
)
(
0
.22‌
)
(
0
.18‌
)
(
0
.40‌
)
14
.39‌
LARGECAP
S&P
500
MANAGED
VOLATILITY
INDEX
ACCOUNT
Class
1
shares
2019(c)
12
.74‌
0
.11‌
2
.06‌
2
.17‌
–‌
–‌
–‌
14
.91‌
2018
13
.42‌
0
.23‌
(
0
.71‌
)
(
0
.48‌
)
(
0
.20‌
)
–‌
(
0
.20‌
)
12
.74‌
2017
12
.15‌
0
.18‌
2
.11‌
2
.29‌
(
0
.18‌
)
(
0
.84‌
)
(
1
.02‌
)
13
.42‌
2016
11
.27‌
0
.19‌
0
.96‌
1
.15‌
(
0
.12‌
)
(
0
.15‌
)
(
0
.27‌
)
12
.15‌
2015
11
.22‌
0
.16‌
(
0
.07‌
)
0
.09‌
–‌
(
0
.04‌
)
(
0
.04‌
)
11
.27‌
2014
10
.46‌
0
.14‌
1
.09‌
1
.23‌
(
0
.08‌
)
(
0
.39‌
)
(
0
.47‌
)
11
.22‌
(a)
(b)
(c)
(d)
(e)
(f)
(g)
See
accompanying
notes.
211
Financial
Highlights
(Continued)
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Total
Return(b)
Net
Assets,
End
of
Period
(in
thousands)
Ratio
of
Expenses
to
Average
Net
Assets
Ratio
of
Net
Investment
Income
to
Average
Net
Assets
Portfolio
Turnover
Rate
22
.29‌
%
(d)
$
474,188‌
0
.73‌
%
(e)
,(f)
0
.02‌
%
(e)
34
.2‌
%
(e)
3
.60‌
296,139‌
0
.74‌
(f)
0
.08‌
36
.9‌
33
.71‌
302,147‌
0
.75‌
(f)
0
.03‌
36
.2‌
1
.26‌
244,058‌
0
.76‌
(f)
0
.04‌
36
.8‌
7
.77‌
252,386‌
0
.76‌
(f)
0
.07‌
38
.6‌
8
.61‌
239,629‌
0
.76‌
(f)
0
.11‌
38
.9‌
18
.36‌
(d)
2,572,922‌
0
.25‌
(e)
1
.74‌
(e)
2
.3‌
(e)
(
4
.58‌
)
2,378,088‌
0
.25‌
1
.94‌
8
.7‌
21
.49‌
2,563,986‌
0
.25‌
1
.71‌
3
.0‌
11
.59‌
2,262,283‌
0
.25‌
1
.96‌
6
.4‌
1
.14‌
2,033,459‌
0
.25‌
1
.82‌
6
.3‌
13
.29‌
1,863,035‌
0
.25‌
1
.74‌
2
.8‌
18
.23‌
(d)
10,287‌
0
.50‌
(e)
1
.49‌
(e)
2
.3‌
(e)
(
4
.90‌
)
7,081‌
0
.50‌
1
.77‌
8
.7‌
21
.20‌
3,234‌
0
.50‌
1
.46‌
3
.0‌
11
.30‌
766‌
0
.50‌
1
.74‌
6
.4‌
(
1
.95‌
)
(d)
161‌
0
.50‌
(e)
1
.78‌
(e)
6
.3‌
(e)
17
.03‌
(d)
218,870‌
0
.46‌
(e)
1
.54‌
(e)
3
.1‌
(e)
(
3
.73‌
)
205,655‌
0
.46‌
1
.64‌
11
.2‌
19
.55‌
222,026‌
0
.46‌
(f)
1
.40‌
3
.0‌
10
.33‌
198,548‌
0
.46‌
(f)
1
.63‌
4
.8‌
0
.83‌
161,654‌
0
.47‌
(f)
1
.46‌
5
.5‌
11
.77‌
97,236‌
0
.49‌
(f)
1
.29‌
24
.6‌
(a)
Calculated
based
on
average
shares
outstanding
during
the
period.
(b)
Total
return
does
not
reflect
charges
attributable
to separate
accounts. 
Inclusion
of
these
charges
would
reduce
the
amounts
shown. 
(c)
Six
months
ended
June
30,
2019.
(d)
Total
return
amounts
have
not
been
annualized.
(e)
Computed
on
an
annualized
basis.
(f)
Reflects
Manager's
contractual
expense
limit.
(g)
Period
from
May
1,
2015
date
operations
commenced,
through
December
31,
2015.
See
accompanying
notes.
212
Financial
Highlights
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Selected
data
for
a
share
of
Capital
Stock
outstanding
throughout
each
year
ended
December
31
(except
as
noted):
Net
Asset
Value,
Beginning
of
Period
Net
Investment
Income
(Loss)(a)
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
Total
From
Investment
Operations
Dividends
from
Net
Investment
Income
Distributions
from
Realized
Gains
Total
Dividends
and
Distributions
Net
Asset
Value,
End
of
Period
MIDCAP
ACCOUNT
Class
1
shares
2019(c)
$
48
.53‌
$
0
.08‌
$
14
.65‌
$
14
.73‌
$
–‌
$
–‌
$
–‌
$
63
.26‌
2018
59
.42‌
0
.17‌
(
2
.93‌
)
(
2
.76‌
)
(
0
.17‌
)
(
7
.96‌
)
(
8
.13‌
)
48
.53‌
2017
50
.96‌
0
.19‌
12
.48‌
12
.67‌
(
0
.32‌
)
(
3
.89‌
)
(
4
.21‌
)
59
.42‌
2016
55
.24‌
0
.33‌
5
.30‌
5
.63‌
(
0
.24‌
)
(
9
.67‌
)
(
9
.91‌
)
50
.96‌
2015
60
.79‌
0
.22‌
1
.19‌
1
.41‌
(
0
.32‌
)
(
6
.64‌
)
(
6
.96‌
)
55
.24‌
2014
59
.37‌
0
.36‌
6
.96‌
7
.32‌
(
0
.32‌
)
(
5
.58‌
)
(
5
.90‌
)
60
.79‌
Class
2
shares
2019(c)
48
.19‌
0
.01‌
14
.53‌
14
.54‌
–‌
–‌
–‌
62
.73‌
2018
59
.05‌
0
.02‌
(
2
.89‌
)
(
2
.87‌
)
(
0
.03‌
)
(
7
.96‌
)
(
7
.99‌
)
48
.19‌
2017
50
.69‌
0
.05‌
12
.39‌
12
.44‌
(
0
.19‌
)
(
3
.89‌
)
(
4
.08‌
)
59
.05‌
2016
54
.97‌
0
.20‌
5
.27‌
5
.47‌
(
0
.08‌
)
(
9
.67‌
)
(
9
.75‌
)
50
.69‌
2015
60
.54‌
0
.07‌
1
.17‌
1
.24‌
(
0
.17‌
)
(
6
.64‌
)
(
6
.81‌
)
54
.97‌
2014
59
.16‌
0
.21‌
6
.93‌
7
.14‌
(
0
.18‌
)
(
5
.58‌
)
(
5
.76‌
)
60
.54‌
PRINCIPAL
CAPITAL
APPRECIATION
ACCOUNT
Class
1
shares
2019(c)
25
.86‌
0
.19‌
4
.82‌
5
.01‌
–‌
–‌
–‌
30
.87‌
2018
28
.54‌
0
.44‌
(
1
.19‌
)
(
0
.75‌
)
(
0
.34‌
)
(
1
.59‌
)
(
1
.93‌
)
25
.86‌
2017
23
.94‌
0
.28‌
4
.66‌
4
.94‌
(
0
.34‌
)
–‌
(
0
.34‌
)
28
.54‌
2016
22
.35‌
0
.30‌
1
.73‌
2
.03‌
(
0
.26‌
)
(
0
.18‌
)
(
0
.44‌
)
23
.94‌
2015
22
.31‌
0
.30‌
0
.20‌
0
.50‌
(
0
.06‌
)
(
0
.40‌
)
(
0
.46‌
)
22
.35‌
2014
24
.45‌
0
.24‌
2
.52‌
2
.76‌
(
0
.81‌
)
(
4
.09‌
)
(
4
.90‌
)
22
.31‌
Class
2
shares
2019(c)
25
.58‌
0
.15‌
4
.76‌
4
.91‌
–‌
–‌
–‌
30
.49‌
2018
28
.25‌
0
.37‌
(
1
.17‌
)
(
0
.80‌
)
(
0
.28‌
)
(
1
.59‌
)
(
1
.87‌
)
25
.58‌
2017
23
.71‌
0
.22‌
4
.60‌
4
.82‌
(
0
.28‌
)
–‌
(
0
.28‌
)
28
.25‌
2016
22
.14‌
0
.24‌
1
.72‌
1
.96‌
(
0
.21‌
)
(
0
.18‌
)
(
0
.39‌
)
23
.71‌
2015
22
.11‌
0
.23‌
0
.21‌
0
.44‌
(
0
.01‌
)
(
0
.40‌
)
(
0
.41‌
)
22
.14‌
2014
24
.27‌
0
.18‌
2
.50‌
2
.68‌
(
0
.75‌
)
(
4
.09‌
)
(
4
.84‌
)
22
.11‌
PRINCIPAL
LIFETIME
2010
ACCOUNT
Class
1
shares
2019(c)
12
.18‌
0
.05‌
1
.14‌
1
.19‌
–‌
–‌
–‌
13
.37‌
2018
13
.41‌
0
.32‌
(
0
.80‌
)
(
0
.48‌
)
(
0
.41‌
)
(
0
.34‌
)
(
0
.75‌
)
12
.18‌
2017
12
.48‌
0
.34‌
1
.07‌
1
.41‌
(
0
.29‌
)
(
0
.19‌
)
(
0
.48‌
)
13
.41‌
2016
12
.18‌
0
.27‌
0
.37‌
0
.64‌
(
0
.27‌
)
(
0
.07‌
)
(
0
.34‌
)
12
.48‌
2015
12
.60‌
0
.25‌
(
0
.39‌
)
(
0
.14‌
)
(
0
.28‌
)
–‌
(
0
.28‌
)
12
.18‌
2014
12
.29‌
0
.25‌
0
.34‌
0
.59‌
(
0
.28‌
)
–‌
(
0
.28‌
)
12
.60‌
(a)
(b)
(c)
(d)
(e)
(f)
(g)
(h)
See
accompanying
notes.
213
Financial
Highlights
(Continued)
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Total
Return(b)
Net
Assets,
End
of
Period
(in
thousands)
Ratio
of
Expenses
to
Average
Net
Assets
Ratio
of
Net
Investment
Income
to
Average
Net
Assets
Portfolio
Turnover
Rate
30
.35‌
%
(d)
$
574,637‌
0
.54‌
%
(e)
0
.28‌
%
(e)
11
.7‌
%
(e)
(
6
.55‌
)
474,365‌
0
.54‌
0
.29‌
24
.6‌
25
.51‌
575,104‌
0
.54‌
0
.34‌
13
.4‌
10
.37‌
576,634‌
0
.54‌
0
.62‌
13
.6‌
1
.64‌
617,437‌
0
.53‌
0
.37‌
26
.3‌
12
.99‌
676,836‌
0
.53‌
0
.60‌
21
.6‌
30
.20‌
(d)
,(f)
19,668‌
0
.79‌
(e)
0
.03‌
(e)
11
.7‌
(e)
(
6
.79‌
)
(f)
15,710‌
0
.79‌
0
.04‌
24
.6‌
25
.19‌
(f)
17,792‌
0
.79‌
0
.09‌
13
.4‌
10
.11‌
14,985‌
0
.79‌
0
.38‌
13
.6‌
1
.37‌
15,243‌
0
.78‌
0
.12‌
26
.3‌
12
.70‌
15,960‌
0
.78‌
0
.35‌
21
.6‌
19
.37‌
(d)
142,163‌
0
.64‌
(e)
1
.30‌
(e)
51
.4‌
(e)
(
3
.41‌
)
128,547‌
0
.63‌
1
.52‌
44
.9‌
20
.75‌
154,472‌
0
.63‌
1
.07‌
28
.5‌
9
.11‌
147,193‌
0
.63‌
1
.31‌
33
.7‌
2
.18‌
154,732‌
0
.64‌
1
.33‌
22
.1‌
(g)
12
.45‌
33,190‌
0
.66‌
1
.02‌
8
.6‌
19
.19‌
(d)
10,752‌
0
.89‌
(e)
1
.05‌
(e)
51
.4‌
(e)
(
3
.64‌
)
(f)
8,757‌
0
.88‌
1
.28‌
44
.9‌
20
.46‌
(f)
8,526‌
0
.88‌
0
.83‌
28
.5‌
8
.85‌
7,420‌
0
.88‌
1
.06‌
33
.7‌
1
.94‌
7,517‌
0
.89‌
1
.05‌
22
.1‌
(g)
12
.19‌
6,891‌
0
.91‌
0
.77‌
8
.6‌
9
.77‌
(d)
32,338‌
0
.03‌
(e)
,(h)
0
.86‌
(e)
54
.8‌
(e)
(
3
.87‌
)
31,890‌
0
.02‌
(h)
2
.43‌
29
.0‌
11
.42‌
41,836‌
0
.01‌
(h)
2
.57‌
21
.7‌
5
.25‌
42,641‌
0
.02‌
(h)
2
.16‌
28
.9‌
(
1
.17‌
)
41,132‌
0
.04‌
(h)
2
.00‌
24
.6‌
4
.81‌
47,312‌
0
.04‌
(h)
2
.02‌
41
.3‌
(a)
Calculated
based
on
average
shares
outstanding
during
the
period.
(b)
Total
return
does
not
reflect
charges
attributable
to separate
accounts. 
Inclusion
of
these
charges
would
reduce
the
amounts
shown. 
(c)
Six
months
ended
June
30,
2019.
(d)
Total
return
amounts
have
not
been
annualized.
(e)
Computed
on
an
annualized
basis.
(f)
Total
return
is
calculated
using
the
traded
net
asset
value
which
may
differ
from
the
reported
net
asset
value.
The
traded
net
asset
value
is
the
net
asset
value
which
a
shareholder
would
have
paid
or
received
from
a
subscription
or
redemption.
(g)
Portfolio
turnover
rate
excludes
approximately
$1,237,000
of
purchases
from
portfolio
realignment
from
the
acquisition
of
LargeCap
Blend
Account
II.
(h)
Does
not
include
expenses
of
the
investment
companies
in
which
the
Account
invests.
See
accompanying
notes.
214
Financial
Highlights
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Selected
data
for
a
share
of
Capital
Stock
outstanding
throughout
each
year
ended
December
31
(except
as
noted):
Net
Asset
Value,
Beginning
of
Period
Net
Investment
Income
(Loss)(a)
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
Total
From
Investment
Operations
Dividends
from
Net
Investment
Income
Distributions
from
Realized
Gains
Total
Dividends
and
Distributions
Net
Asset
Value,
End
of
Period
PRINCIPAL
LIFETIME
2020
ACCOUNT
Class
1
shares
2019(c)
$
12
.60‌
$
0
.05‌
$
1
.49‌
$
1
.54‌
$
–‌
$
–‌
$
–‌
$
14
.14‌
2018
14
.11‌
0
.33‌
(
1
.04‌
)
(
0
.71‌
)
(
0
.38‌
)
(
0
.42‌
)
(
0
.80‌
)
12
.60‌
2017
12
.66‌
0
.36‌
1
.52‌
1
.88‌
(
0
.27‌
)
(
0
.16‌
)
(
0
.43‌
)
14
.11‌
2016
12
.64‌
0
.26‌
0
.47‌
0
.73‌
(
0
.25‌
)
(
0
.46‌
)
(
0
.71‌
)
12
.66‌
2015
13
.77‌
0
.24‌
(
0
.37‌
)
(
0
.13‌
)
(
0
.36‌
)
(
0
.64‌
)
(
1
.00‌
)
12
.64‌
2014
13
.62‌
0
.33‌
0
.44‌
0
.77‌
(
0
.33‌
)
(
0
.29‌
)
(
0
.62‌
)
13
.77‌
PRINCIPAL
LIFETIME
2030
ACCOUNT
Class
1
shares
2019(c)
11
.58‌
0
.03‌
1
.66‌
1
.69‌
–‌
–‌
–‌
13
.27‌
2018
13
.17‌
0
.29‌
(
1
.15‌
)
(
0
.86‌
)
(
0
.32‌
)
(
0
.41‌
)
(
0
.73‌
)
11
.58‌
2017
11
.45‌
0
.34‌
1
.73‌
2
.07‌
(
0
.20‌
)
(
0
.15‌
)
(
0
.35‌
)
13
.17‌
2016
11
.45‌
0
.22‌
0
.45‌
0
.67‌
(
0
.19‌
)
(
0
.48‌
)
(
0
.67‌
)
11
.45‌
2015
12
.34‌
0
.20‌
(
0
.30‌
)
(
0
.10‌
)
(
0
.32‌
)
(
0
.47‌
)
(
0
.79‌
)
11
.45‌
2014
14
.05‌
0
.36‌
0
.45‌
0
.81‌
(
0
.31‌
)
(
2
.21‌
)
(
2
.52‌
)
12
.34‌
PRINCIPAL
LIFETIME
2040
ACCOUNT
Class
1
shares
2019(c)
13
.94‌
0
.04‌
2
.20‌
2
.24‌
–‌
–‌
–‌
16
.18‌
2018
15
.97‌
0
.34‌
(
1
.50‌
)
(
1
.16‌
)
(
0
.33‌
)
(
0
.54‌
)
(
0
.87‌
)
13
.94‌
2017
13
.52‌
0
.36‌
2
.41‌
2
.77‌
(
0
.20‌
)
(
0
.12‌
)
(
0
.32‌
)
15
.97‌
2016
13
.53‌
0
.22‌
0
.51‌
0
.73‌
(
0
.20‌
)
(
0
.54‌
)
(
0
.74‌
)
13
.52‌
2015
14
.50‌
0
.22‌
(
0
.31‌
)
(
0
.09‌
)
(
0
.36‌
)
(
0
.52‌
)
(
0
.88‌
)
13
.53‌
2014
14
.94‌
0
.42‌
0
.49‌
0
.91‌
(
0
.31‌
)
(
1
.04‌
)
(
1
.35‌
)
14
.50‌
PRINCIPAL
LIFETIME
2050
ACCOUNT
Class
1
shares
2019(c)
13
.37‌
0
.03‌
2
.26‌
2
.29‌
–‌
–‌
–‌
15
.66‌
2018
15
.62‌
0
.31‌
(
1
.53‌
)
(
1
.22‌
)
(
0
.33‌
)
(
0
.70‌
)
(
1
.03‌
)
13
.37‌
2017
13
.06‌
0
.32‌
2
.55‌
2
.87‌
(
0
.19‌
)
(
0
.12‌
)
(
0
.31‌
)
15
.62‌
2016
13
.07‌
0
.21‌
0
.52‌
0
.73‌
(
0
.18‌
)
(
0
.56‌
)
(
0
.74‌
)
13
.06‌
2015
14
.18‌
0
.20‌
(
0
.26‌
)
(
0
.06‌
)
(
0
.38‌
)
(
0
.67‌
)
(
1
.05‌
)
13
.07‌
2014
14
.96‌
0
.40‌
0
.50‌
0
.90‌
(
0
.34‌
)
(
1
.34‌
)
(
1
.68‌
)
14
.18‌
(a)
(b)
(c)
(d)
(e)
(f)
See
accompanying
notes.
215
Financial
Highlights
(Continued)
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Total
Return(b)
Net
Assets,
End
of
Period
(in
thousands)
Ratio
of
Expenses
to
Average
Net
Assets
Ratio
of
Net
Investment
Income
to
Average
Net
Assets
Portfolio
Turnover
Rate
12
.22‌
%
(d)
$
192,276‌
0
.01‌
%
(e)
,(f)
0
.72‌
%
(e)
44
.1‌
%
(e)
(
5
.40‌
)
172,173‌
0
.01‌
(f)
2
.37‌
28
.7‌
15
.00‌
197,935‌
0
.00‌
(f)
2
.64‌
23
.6‌
5
.76‌
186,646‌
0
.01‌
(f)
2
.03‌
17
.7‌
(
1
.13‌
)
190,987‌
0
.03‌
(f)
1
.79‌
27
.6‌
5
.75‌
211,470‌
0
.03‌
(f)
2
.40‌
31
.9‌
14
.59‌
(d)
167,099‌
0
.01‌
(e)
,(f)
0
.51‌
(e)
16
.0‌
(e)
(
7
.06‌
)
140,617‌
0
.01‌
(f)
2
.21‌
28
.6‌
18
.26‌
152,469‌
0
.01‌
(f)
2
.77‌
31
.0‌
5
.87‌
123,825‌
0
.01‌
(f)
1
.89‌
22
.4‌
(
1
.05‌
)
116,691‌
0
.04‌
(f)
1
.67‌
31
.3‌
6
.06‌
116,965‌
0
.04‌
(f)
2
.67‌
23
.9‌
16
.07‌
(d)
76,005‌
0
.02‌
(e)
,(f)
0
.46‌
(e)
18
.5‌
(e)
(
7
.85‌
)
62,741‌
0
.01‌
(f)
2
.17‌
14
.5‌
20
.68‌
63,759‌
0
.01‌
(f)
2
.43‌
28
.3‌
5
.45‌
49,980‌
0
.02‌
(f)
1
.68‌
30
.4‌
(
0
.85‌
)
45,261‌
0
.04‌
(f)
1
.52‌
24
.2‌
6
.21‌
42,304‌
0
.05‌
(f)
2
.83‌
21
.1‌
17
.13‌
(d)
35,984‌
0
.03‌
(e)
,(f)
0
.39‌
(e)
16
.7‌
(e)
(
8
.64‌
)
30,354‌
0
.02‌
(f)
2
.03‌
22
.6‌
22
.14‌
31,610‌
0
.02‌
(f)
2
.23‌
36
.5‌
5
.58‌
26,674‌
0
.03‌
(f)
1
.64‌
33
.1‌
(
0
.69‌
)
23,502‌
0
.05‌
(f)
1
.46‌
26
.6‌
6
.21‌
21,796‌
0
.06‌
(f)
2
.70‌
28
.5‌
(a)
Calculated
based
on
average
shares
outstanding
during
the
period.
(b)
Total
return
does
not
reflect
charges
attributable
to separate
accounts. 
Inclusion
of
these
charges
would
reduce
the
amounts
shown. 
(c)
Six
months
ended
June
30,
2019.
(d)
Total
return
amounts
have
not
been
annualized.
(e)
Computed
on
an
annualized
basis.
(f)
Does
not
include
expenses
of
the
investment
companies
in
which
the
Account
invests.
See
accompanying
notes.
216
Financial
Highlights
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Selected
data
for
a
share
of
Capital
Stock
outstanding
throughout
each
year
ended
December
31
(except
as
noted):
Net
Asset
Value,
Beginning
of
Period
Net
Investment
Income
(Loss)(a)
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
Total
From
Investment
Operations
Dividends
from
Net
Investment
Income
Distributions
from
Realized
Gains
Total
Dividends
and
Distributions
Net
Asset
Value,
End
of
Period
PRINCIPAL
LIFETIME
2060
ACCOUNT
Class
1
shares
2019(c)
$
12
.32‌
$
0
.02‌
$
2
.14‌
$
2
.16‌
$
–‌
$
–‌
$
–‌
$
14
.48‌
2018
14
.38‌
0
.25‌
(
1
.47‌
)
(
1
.22‌
)
(
0
.31‌
)
(
0
.53‌
)
(
0
.84‌
)
12
.32‌
2017
11
.88‌
0
.40‌
2
.29‌
2
.69‌
(
0
.12‌
)
(
0
.07‌
)
(
0
.19‌
)
14
.38‌
2016
11
.75‌
0
.18‌
0
.46‌
0
.64‌
(
0
.13‌
)
(
0
.38‌
)
(
0
.51‌
)
11
.88‌
2015
12
.19‌
0
.20‌
(
0
.28‌
)
(
0
.08‌
)
(
0
.15‌
)
(
0
.21‌
)
(
0
.36‌
)
11
.75‌
2014
11
.58‌
0
.39‌
0
.25‌
0
.64‌
(
0
.01‌
)
(
0
.02‌
)
(
0
.03‌
)
12
.19‌
PRINCIPAL
LIFETIME
STRATEGIC
INCOME
ACCOUNT
Class
1
shares
2019(c)
11
.30‌
0
.05‌
0
.93‌
0
.98‌
–‌
–‌
–‌
12
.28‌
2018
12
.11‌
0
.31‌
(
0
.66‌
)
(
0
.35‌
)
(
0
.33‌
)
(
0
.13‌
)
(
0
.46‌
)
11
.30‌
2017
11
.40‌
0
.30‌
0
.69‌
0
.99‌
(
0
.28‌
)
–‌
(
0
.28‌
)
12
.11‌
2016
11
.15‌
0
.26‌
0
.27‌
0
.53‌
(
0
.28‌
)
–‌
(
0
.28‌
)
11
.40‌
2015
11
.51‌
0
.25‌
(
0
.35‌
)
(
0
.10‌
)
(
0
.26‌
)
–‌
(
0
.26‌
)
11
.15‌
2014
11
.29‌
0
.23‌
0
.29‌
0
.52‌
(
0
.30‌
)
–‌
(
0
.30‌
)
11
.51‌
REAL
ESTATE
SECURITIES
ACCOUNT
Class
1
shares
2019(c)
17
.86‌
0
.16‌
3
.61‌
3
.77‌
–‌
–‌
–‌
21
.63‌
2018
20
.62‌
0
.37‌
(
1
.09‌
)
(
0
.72‌
)
(
0
.37‌
)
(
1
.67‌
)
(
2
.04‌
)
17
.86‌
2017
21
.30‌
0
.25‌
1
.62‌
1
.87‌
(
0
.39‌
)
(
2
.16‌
)
(
2
.55‌
)
20
.62‌
2016
22
.20‌
0
.31‌
1
.09‌
1
.40‌
(
0
.32‌
)
(
1
.98‌
)
(
2
.30‌
)
21
.30‌
2015
22
.33‌
0
.34‌
0
.57‌
0
.91‌
(
0
.34‌
)
(
0
.70‌
)
(
1
.04‌
)
22
.20‌
2014
17
.08‌
0
.29‌
5
.28‌
5
.57‌
(
0
.32‌
)
–‌
(
0
.32‌
)
22
.33‌
Class
2
shares
2019(c)
17
.92‌
0
.13‌
3
.63‌
3
.76‌
–‌
–‌
–‌
21
.68‌
2018
20
.70‌
0
.34‌
(
1
.12‌
)
(
0
.78‌
)
(
0
.33‌
)
(
1
.67‌
)
(
2
.00‌
)
17
.92‌
2017
21
.36‌
0
.19‌
1
.64‌
1
.83‌
(
0
.33‌
)
(
2
.16‌
)
(
2
.49‌
)
20
.70‌
2016
22
.29‌
0
.28‌
1
.06‌
1
.34‌
(
0
.29‌
)
(
1
.98‌
)
(
2
.27‌
)
21
.36‌
2015
22
.45‌
0
.34‌
0
.53‌
0
.87‌
(
0
.33‌
)
(
0
.70‌
)
(
1
.03‌
)
22
.29‌
2014
17
.18‌
0
.27‌
5
.27‌
5
.54‌
(
0
.27‌
)
–‌
(
0
.27‌
)
22
.45‌
(a)
(b)
(c)
(d)
(e)
(f)
(g)
See
accompanying
notes.
217
Financial
Highlights
(Continued)
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Total
Return(b)
Net
Assets,
End
of
Period
(in
thousands)
Ratio
of
Expenses
to
Average
Net
Assets
Ratio
of
Net
Investment
Income
to
Average
Net
Assets
Portfolio
Turnover
Rate
17
.53‌
%
(d)
$
6,760‌
0
.10‌
%
(e)
,(f)
,(g)
0
.33‌
%
(e)
41
.6‌
%
(e)
(
9
.25‌
)
4,649‌
0
.10‌
(f)
,(g)
1
.71‌
84
.9‌
22
.74‌
5,712‌
0
.10‌
(f)
,(g)
2
.98‌
33
.1‌
5
.52‌
2,644‌
0
.10‌
(f)
,(g)
1
.55‌
43
.1‌
(
0
.75‌
)
2,097‌
0
.13‌
(f)
,(g)
1
.65‌
30
.3‌
5
.58‌
825‌
0
.13‌
(f)
,(g)
3
.28‌
43
.2‌
8
.67‌
(d)
23,504‌
0
.04‌
(e)
,(g)
0
.91‌
(e)
60
.7‌
(e)
(
3
.00‌
)
20,664‌
0
.03‌
(g)
2
.61‌
31
.2‌
8
.76‌
24,630‌
0
.02‌
(g)
2
.56‌
20
.0‌
4
.77‌
24,741‌
0
.03‌
(g)
2
.29‌
28
.5‌
(
0
.95‌
)
24,452‌
0
.05‌
(g)
2
.21‌
24
.4‌
4
.57‌
30,016‌
0
.05‌
(g)
2
.01‌
39
.8‌
21
.11‌
(d)
150,767‌
0
.87‌
(e)
,(f)
1
.54‌
(e)
22
.7‌
(e)
(
4
.21‌
)
133,429‌
0
.89‌
1
.89‌
17
.3‌
9
.19‌
154,615‌
0
.89‌
1
.19‌
19
.6‌
5
.85‌
158,760‌
0
.89‌
1
.38‌
31
.3‌
4
.21‌
159,292‌
0
.89‌
1
.54‌
22
.8‌
32
.82‌
166,701‌
0
.89‌
1
.48‌
15
.7‌
20
.98‌
(d)
4,364‌
1
.12‌
(e)
,(f)
1
.31‌
(e)
22
.7‌
(e)
(
4
.47‌
)
3,493‌
1
.14‌
1
.73‌
17
.3‌
8
.94‌
2,830‌
1
.14‌
0
.89‌
19
.6‌
5
.53‌
4,215‌
1
.14‌
1
.26‌
31
.3‌
4
.00‌
1,994‌
1
.14‌
1
.56‌
22
.8‌
32
.44‌
492‌
1
.14‌
1
.37‌
15
.7‌
(a)
Calculated
based
on
average
shares
outstanding
during
the
period.
(b)
Total
return
does
not
reflect
charges
attributable
to separate
accounts. 
Inclusion
of
these
charges
would
reduce
the
amounts
shown. 
(c)
Six
months
ended
June
30,
2019.
(d)
Total
return
amounts
have
not
been
annualized.
(e)
Computed
on
an
annualized
basis.
(f)
Reflects
Manager's
contractual
expense
limit.
(g)
Does
not
include
expenses
of
the
investment
companies
in
which
the
Account
invests.
See
accompanying
notes.
218
Financial
Highlights
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Selected
data
for
a
share
of
Capital
Stock
outstanding
throughout
each
year
ended
December
31
(except
as
noted):
Net
Asset
Value,
Beginning
of
Period
Net
Investment
Income
(Loss)(a)
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
Total
From
Investment
Operations
Dividends
from
Net
Investment
Income
Distributions
from
Realized
Gains
Total
Dividends
and
Distributions
Net
Asset
Value,
End
of
Period
SAM
BALANCED
PORTFOLIO
Class
1
shares
2019(c)
$
13
.90‌
$
0
.05‌
$
1
.71‌
$
1
.76‌
$
–‌
$
–‌
$
–‌
$
15
.66‌
2018
15
.89‌
0
.36‌
(
1
.07‌
)
(
0
.71‌
)
(
0
.50‌
)
(
0
.78‌
)
(
1
.28‌
)
13
.90‌
2017
14
.44‌
0
.45‌
1
.71‌
2
.16‌
(
0
.34‌
)
(
0
.37‌
)
(
0
.71‌
)
15
.89‌
2016
14
.69‌
0
.30‌
0
.70‌
1
.00‌
(
0
.32‌
)
(
0
.93‌
)
(
1
.25‌
)
14
.44‌
2015
16
.51‌
0
.30‌
(
0
.38‌
)
(
0
.08‌
)
(
0
.49‌
)
(
1
.25‌
)
(
1
.74‌
)
14
.69‌
2014
18
.53‌
0
.47‌
0
.73‌
1
.20‌
(
0
.52‌
)
(
2
.70‌
)
(
3
.22‌
)
16
.51‌
Class
2
shares
2019(c)
13
.74‌
0
.03‌
1
.69‌
1
.72‌
–‌
–‌
–‌
15
.46‌
2018
15
.72‌
0
.32‌
(
1
.06‌
)
(
0
.74‌
)
(
0
.46‌
)
(
0
.78‌
)
(
1
.24‌
)
13
.74‌
2017
14
.30‌
0
.42‌
1
.67‌
2
.09‌
(
0
.30‌
)
(
0
.37‌
)
(
0
.67‌
)
15
.72‌
2016
14
.55‌
0
.27‌
0
.69‌
0
.96‌
(
0
.28‌
)
(
0
.93‌
)
(
1
.21‌
)
14
.30‌
2015
16
.37‌
0
.26‌
(
0
.38‌
)
(
0
.12‌
)
(
0
.45‌
)
(
1
.25‌
)
(
1
.70‌
)
14
.55‌
2014
18
.39‌
0
.43‌
0
.73‌
1
.16‌
(
0
.48‌
)
(
2
.70‌
)
(
3
.18‌
)
16
.37‌
SAM
CONSERVATIVE
BALANCED
PORTFOLIO
Class
1
shares
2019(c)
11
.05‌
0
.06‌
1
.06‌
1
.12‌
–‌
–‌
–‌
12
.17‌
2018
12
.33‌
0
.34‌
(
0
.73‌
)
(
0
.39‌
)
(
0
.42‌
)
(
0
.47‌
)
(
0
.89‌
)
11
.05‌
2017
11
.50‌
0
.38‌
0
.92‌
1
.30‌
(
0
.34‌
)
(
0
.13‌
)
(
0
.47‌
)
12
.33‌
2016
11
.52‌
0
.31‌
0
.42‌
0
.73‌
(
0
.30‌
)
(
0
.45‌
)
(
0
.75‌
)
11
.50‌
2015
12
.60‌
0
.29‌
(
0
.36‌
)
(
0
.07‌
)
(
0
.41‌
)
(
0
.60‌
)
(
1
.01‌
)
11
.52‌
2014
13
.39‌
0
.41‌
0
.40‌
0
.81‌
(
0
.42‌
)
(
1
.18‌
)
(
1
.60‌
)
12
.60‌
Class
2
shares
2019(c)
10
.91‌
0
.05‌
1
.05‌
1
.10‌
–‌
–‌
–‌
12
.01‌
2018
12
.19‌
0
.31‌
(
0
.73‌
)
(
0
.42‌
)
(
0
.39‌
)
(
0
.47‌
)
(
0
.86‌
)
10
.91‌
2017
11
.38‌
0
.36‌
0
.89‌
1
.25‌
(
0
.31‌
)
(
0
.13‌
)
(
0
.44‌
)
12
.19‌
2016
11
.41‌
0
.27‌
0
.42‌
0
.69‌
(
0
.27‌
)
(
0
.45‌
)
(
0
.72‌
)
11
.38‌
2015
12
.48‌
0
.27‌
(
0
.36‌
)
(
0
.09‌
)
(
0
.38‌
)
(
0
.60‌
)
(
0
.98‌
)
11
.41‌
2014
13
.28‌
0
.38‌
0
.38‌
0
.76‌
(
0
.38‌
)
(
1
.18‌
)
(
1
.56‌
)
12
.48‌
SAM
CONSERVATIVE
GROWTH
PORTFOLIO
Class
1
shares
2019(c)
17
.16‌
0
.03‌
2
.56‌
2
.59‌
–‌
–‌
–‌
19
.75‌
2018
19
.86‌
0
.35‌
(
1
.51‌
)
(
1
.16‌
)
(
0
.56‌
)
(
0
.98‌
)
(
1
.54‌
)
17
.16‌
2017
17
.22‌
0
.54‌
2
.82‌
3
.36‌
(
0
.30‌
)
(
0
.42‌
)
(
0
.72‌
)
19
.86‌
2016
17
.22‌
0
.30‌
0
.90‌
1
.20‌
(
0
.26‌
)
(
0
.94‌
)
(
1
.20‌
)
17
.22‌
2015
19
.02‌
0
.26‌
(
0
.41‌
)
(
0
.15‌
)
(
0
.43‌
)
(
1
.22‌
)
(
1
.65‌
)
17
.22‌
2014
20
.60‌
0
.48‌
0
.97‌
1
.45‌
(
0
.39‌
)
(
2
.64‌
)
(
3
.03‌
)
19
.02‌
Class
2
shares
2019(c)
16
.92‌
–‌
2
.52‌
2
.52‌
–‌
–‌
–‌
19
.44‌
2018
19
.60‌
0
.31‌
(
1
.50‌
)
(
1
.19‌
)
(
0
.51‌
)
(
0
.98‌
)
(
1
.49‌
)
16
.92‌
2017
17
.01‌
0
.49‌
2
.78‌
3
.27‌
(
0
.26‌
)
(
0
.42‌
)
(
0
.68‌
)
19
.60‌
2016
17
.02‌
0
.25‌
0
.89‌
1
.14‌
(
0
.21‌
)
(
0
.94‌
)
(
1
.15‌
)
17
.01‌
2015
18
.82‌
0
.21‌
(
0
.40‌
)
(
0
.19‌
)
(
0
.39‌
)
(
1
.22‌
)
(
1
.61‌
)
17
.02‌
2014
20
.42‌
0
.42‌
0
.97‌
1
.39‌
(
0
.35‌
)
(
2
.64‌
)
(
2
.99‌
)
18
.82‌
(a)
(b)
(c)
(d)
(e)
(f)
(g)
See
accompanying
notes.
219
Financial
Highlights
(Continued)
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Total
Return(b)
Net
Assets,
End
of
Period
(in
thousands)
Ratio
of
Expenses
to
Average
Net
Assets
Ratio
of
Net
Investment
Income
to
Average
Net
Assets
Portfolio
Turnover
Rate
12
.66‌
%
(d)
$
585,362‌
0
.23‌
%
(e)
,(f)
,(g)
0
.66‌
%
(e)
29
.0‌
%
(e)
(
5
.04‌
)
561,162‌
0
.23‌
(f)
,(g)
2
.29‌
18
.2‌
15
.21‌
678,409‌
0
.23‌
(g)
2
.92‌
27
.4‌
6
.82‌
672,562‌
0
.23‌
(g)
2
.07‌
16
.5‌
(
0
.81‌
)
732,937‌
0
.23‌
(g)
1
.88‌
26
.1‌
6
.82‌
826,908‌
0
.23‌
(g)
2
.64‌
16
.4‌
12
.52‌
(d)
116,817‌
0
.48‌
(e)
,(f)
,(g)
0
.41‌
(e)
29
.0‌
(e)
(
5
.25‌
)
104,051‌
0
.48‌
(f)
,(g)
2
.10‌
18
.2‌
14
.88‌
110,129‌
0
.48‌
(g)
2
.77‌
27
.4‌
6
.62‌
97,047‌
0
.48‌
(g)
1
.88‌
16
.5‌
(
1
.08‌
)
96,511‌
0
.48‌
(g)
1
.66‌
26
.1‌
6
.59‌
99,852‌
0
.48‌
(g)
2
.44‌
16
.4‌
10
.14‌
(d)
164,894‌
0
.24‌
(e)
,(f)
,(g)
1
.06‌
(e)
44
.7‌
(e)
(
3
.49‌
)
154,297‌
0
.22‌
(f)
,(g)
2
.79‌
19
.5‌
11
.46‌
178,523‌
0
.23‌
(g)
3
.16‌
26
.3‌
6
.37‌
183,830‌
0
.23‌
(g)
2
.64‌
19
.8‌
(
0
.78‌
)
193,585‌
0
.23‌
(g)
2
.38‌
28
.2‌
6
.22‌
206,621‌
0
.23‌
(g)
3
.10‌
21
.2‌
10
.08‌
(d)
22,852‌
0
.49‌
(e)
,(f)
,(g)
0
.82‌
(e)
44
.7‌
(e)
(
3
.75‌
)
20,449‌
0
.47‌
(f)
,(g)
2
.59‌
19
.5‌
11
.14‌
20,541‌
0
.48‌
(g)
3
.06‌
26
.3‌
6
.08‌
17,477‌
0
.48‌
(g)
2
.39‌
19
.8‌
(
0
.93‌
)
17,774‌
0
.48‌
(g)
2
.19‌
28
.2‌
5
.92‌
16,731‌
0
.48‌
(g)
2
.87‌
21
.2‌
15
.09‌
(d)
205,481‌
0
.24‌
(e)
,(f)
,(g)
0
.30‌
(e)
13
.0‌
(e)
(
6
.62‌
)
189,654‌
0
.23‌
(f)
,(g)
1
.81‌
27
.0‌
19
.78‌
220,054‌
0
.23‌
(g)
2
.88‌
35
.1‌
7
.00‌
194,284‌
0
.23‌
(g)
1
.73‌
25
.5‌
(
1
.09‌
)
193,966‌
0
.23‌
(g)
1
.40‌
29
.1‌
7
.43‌
198,465‌
0
.23‌
(g)
2
.40‌
19
.4‌
14
.89‌
(d)
132,344‌
0
.49‌
(e)
,(f)
,(g)
0
.05‌
(e)
13
.0‌
(e)
(
6
.82‌
)
118,307‌
0
.48‌
(f)
,(g)
1
.60‌
27
.0‌
19
.46‌
127,079‌
0
.48‌
(g)
2
.68‌
35
.1‌
6
.76‌
108,247‌
0
.48‌
(g)
1
.49‌
25
.5‌
(
1
.34‌
)
103,771‌
0
.48‌
(g)
1
.17‌
29
.1‌
7
.14‌
102,757‌
0
.48‌
(g)
2
.11‌
19
.4‌
(a)
Calculated
based
on
average
shares
outstanding
during
the
period.
(b)
Total
return
does
not
reflect
charges
attributable
to separate
accounts. 
Inclusion
of
these
charges
would
reduce
the
amounts
shown. 
(c)
Six
months
ended
June
30,
2019.
(d)
Total
return
amounts
have
not
been
annualized.
(e)
Computed
on
an
annualized
basis.
(f)
Reflects
Manager's
contractual
expense
limit.
(g)
Does
not
include
expenses
of
the
investment
companies
in
which
the
Portfolio
invests.
See
accompanying
notes.
220
Financial
Highlights
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Selected
data
for
a
share
of
Capital
Stock
outstanding
throughout
each
year
ended
December
31
(except
as
noted):
Net
Asset
Value,
Beginning
of
Period
Net
Investment
Income
(Loss)(a)
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
Total
From
Investment
Operations
Dividends
from
Net
Investment
Income
Distributions
from
Realized
Gains
Total
Dividends
and
Distributions
Net
Asset
Value,
End
of
Period
SAM
FLEXIBLE
INCOME
PORTFOLIO
Class
1
shares
2019(c)
$
11
.86‌
$
0
.10‌
$
0
.91‌
$
1
.01‌
$
–‌
$
–‌
$
–‌
$
12
.87‌
2018
12
.95‌
0
.40‌
(
0
.63‌
)
(
0
.23‌
)
(
0
.53‌
)
(
0
.33‌
)
(
0
.86‌
)
11
.86‌
2017
12
.45‌
0
.47‌
0
.56‌
1
.03‌
(
0
.44‌
)
(
0
.09‌
)
(
0
.53‌
)
12
.95‌
2016
12
.27‌
0
.42‌
0
.44‌
0
.86‌
(
0
.43‌
)
(
0
.25‌
)
(
0
.68‌
)
12
.45‌
2015
13
.22‌
0
.40‌
(
0
.56‌
)
(
0
.16‌
)
(
0
.47‌
)
(
0
.32‌
)
(
0
.79‌
)
12
.27‌
2014
13
.72‌
0
.49‌
0
.33‌
0
.82‌
(
0
.52‌
)
(
0
.80‌
)
(
1
.32‌
)
13
.22‌
Class
2
shares
2019(c)
11
.74‌
0
.08‌
0
.91‌
0
.99‌
–‌
–‌
–‌
12
.73‌
2018
12
.83‌
0
.38‌
(
0
.63‌
)
(
0
.25‌
)
(
0
.51‌
)
(
0
.33‌
)
(
0
.84‌
)
11
.74‌
2017
12
.34‌
0
.45‌
0
.54‌
0
.99‌
(
0
.41‌
)
(
0
.09‌
)
(
0
.50‌
)
12
.83‌
2016
12
.17‌
0
.38‌
0
.44‌
0
.82‌
(
0
.40‌
)
(
0
.25‌
)
(
0
.65‌
)
12
.34‌
2015
13
.12‌
0
.37‌
(
0
.56‌
)
(
0
.19‌
)
(
0
.44‌
)
(
0
.32‌
)
(
0
.76‌
)
12
.17‌
2014
13
.62‌
0
.45‌
0
.33‌
0
.78‌
(
0
.48‌
)
(
0
.80‌
)
(
1
.28‌
)
13
.12‌
SAM
STRATEGIC
GROWTH
PORTFOLIO
Class
1
shares
2019(c)
18
.36‌
0
.03‌
3
.09‌
3
.12‌
–‌
–‌
–‌
21
.48‌
2018
21
.72‌
0
.33‌
(
2
.01‌
)
(
1
.68‌
)
(
0
.52‌
)
(
1
.16‌
)
(
1
.68‌
)
18
.36‌
2017
18
.54‌
0
.51‌
3
.54‌
4
.05‌
(
0
.30‌
)
(
0
.57‌
)
(
0
.87‌
)
21
.72‌
2016
18
.70‌
0
.30‌
0
.85‌
1
.15‌
(
0
.28‌
)
(
1
.03‌
)
(
1
.31‌
)
18
.54‌
2015
21
.00‌
0
.29‌
(
0
.56‌
)
(
0
.27‌
)
(
0
.47‌
)
(
1
.56‌
)
(
2
.03‌
)
18
.70‌
2014
23
.55‌
0
.56‌
1
.33‌
1
.89‌
(
0
.38‌
)
(
4
.06‌
)
(
4
.44‌
)
21
.00‌
Class
2
shares
2019(c)
18
.11‌
0
.01‌
3
.04‌
3
.05‌
–‌
–‌
–‌
21
.16‌
2018
21
.46‌
0
.28‌
(
2
.00‌
)
(
1
.72‌
)
(
0
.47‌
)
(
1
.16‌
)
(
1
.63‌
)
18
.11‌
2017
18
.33‌
0
.47‌
3
.48‌
3
.95‌
(
0
.25‌
)
(
0
.57‌
)
(
0
.82‌
)
21
.46‌
2016
18
.50‌
0
.26‌
0
.83‌
1
.09‌
(
0
.23‌
)
(
1
.03‌
)
(
1
.26‌
)
18
.33‌
2015
20
.80‌
0
.24‌
(
0
.55‌
)
(
0
.31‌
)
(
0
.43‌
)
(
1
.56‌
)
(
1
.99‌
)
18
.50‌
2014
23
.38‌
0
.49‌
1
.32‌
1
.81‌
(
0
.33‌
)
(
4
.06‌
)
(
4
.39‌
)
20
.80‌
SHORT-TERM
INCOME
ACCOUNT
Class
1
shares
2019(c)
2
.52‌
0
.03‌
0
.05‌
0
.08‌
–‌
–‌
–‌
2
.60‌
2018
2
.55‌
0
.06‌
(
0
.03‌
)
0
.03‌
(
0
.06‌
)
–‌
(
0
.06‌
)
2
.52‌
2017
2
.54‌
0
.05‌
0
.01‌
0
.06‌
(
0
.05‌
)
–‌
(
0
.05‌
)
2
.55‌
2016
2
.54‌
0
.05‌
–‌
0
.05‌
(
0
.05‌
)
–‌
(
0
.05‌
)
2
.54‌
2015
2
.59‌
0
.04‌
(
0
.02‌
)
0
.02‌
(
0
.07‌
)
–‌
(
0
.07‌
)
2
.54‌
2014
2
.59‌
0
.05‌
(
0
.01‌
)
0
.04‌
(
0
.04‌
)
–‌
(
0
.04‌
)
2
.59‌
SMALLCAP
ACCOUNT
Class
1
shares
2019(c)
14
.30‌
0
.05‌
2
.75‌
2
.80‌
–‌
–‌
–‌
17
.10‌
2018
17
.10‌
0
.03‌
(
1
.62‌
)
(
1
.59‌
)
(
0
.06‌
)
(
1
.15‌
)
(
1
.21‌
)
14
.30‌
2017
15
.21‌
0
.06‌
1
.89‌
1
.95‌
(
0
.06‌
)
–‌
(
0
.06‌
)
17
.10‌
2016
13
.55‌
0
.15‌
2
.15‌
2
.30‌
(
0
.04‌
)
(
0
.60‌
)
(
0
.64‌
)
15
.21‌
2015
13
.99‌
0
.05‌
(
0
.03‌
)
0
.02‌
(
0
.01‌
)
(
0
.45‌
)
(
0
.46‌
)
13
.55‌
2014
13
.79‌
0
.02‌
0
.64‌
0
.66‌
(
0
.05‌
)
(
0
.41‌
)
(
0
.46‌
)
13
.99‌
Class
2
shares
2019(c)
14
.24‌
0
.03‌
2
.74‌
2
.77‌
–‌
–‌
–‌
17
.01‌
2018
17
.04‌
(
0
.01‌
)
(
1
.62‌
)
(
1
.63‌
)
(
0
.02‌
)
(
1
.15‌
)
(
1
.17‌
)
14
.24‌
2017
15
.17‌
0
.02‌
1
.87‌
1
.89‌
(
0
.02‌
)
–‌
(
0
.02‌
)
17
.04‌
2016
13
.52‌
0
.11‌
2
.15‌
2
.26‌
(
0
.01‌
)
(
0
.60‌
)
(
0
.61‌
)
15
.17‌
2015(i)
14
.49‌
0
.02‌
(
0
.53‌
)
(
0
.51‌
)
(
0
.01‌
)
(
0
.45‌
)
(
0
.46‌
)
13
.52‌
(a)
(b)
(c)
(d)
(e)
(f)
(g)
(h)
(i)
See
accompanying
notes.
221
Financial
Highlights
(Continued)
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Total
Return(b)
Net
Assets,
End
of
Period
(in
thousands)
Ratio
of
Expenses
to
Average
Net
Assets
Ratio
of
Net
Investment
Income
to
Average
Net
Assets
Portfolio
Turnover
Rate
8
.52‌
%
(d)
$
158,437‌
0
.24‌
%
(e)
,(f)
1
.57‌
%
(e)
58
.0‌
%
(e)
(
1
.97‌
)
157,019‌
0
.23‌
(f)
3
.19‌
19
.9‌
8
.41‌
194,742‌
0
.23‌
(f)
3
.69‌
29
.3‌
7
.04‌
196,393‌
0
.23‌
(f)
3
.32‌
17
.1‌
(
1
.31‌
)
200,828‌
0
.23‌
(f)
3
.05‌
25
.2‌
6
.03‌
215,309‌
0
.23‌
(f)
3
.55‌
18
.8‌
8
.43‌
(d)
28,133‌
0
.49‌
(e)
,(f)
1
.34‌
(e)
58
.0‌
(e)
(
2
.20‌
)
25,656‌
0
.48‌
(f)
3
.07‌
19
.9‌
8
.13‌
23,003‌
0
.48‌
(f)
3
.57‌
29
.3‌
6
.73‌
20,085‌
0
.48‌
(f)
3
.06‌
17
.1‌
(
1
.55‌
)
21,108‌
0
.48‌
(f)
2
.85‌
25
.2‌
5
.80‌
19,836‌
0
.48‌
(f)
3
.27‌
18
.8‌
16
.99‌
(d)
158,172‌
0
.24‌
(e)
,(f)
,(g)
0
.33‌
(e)
23
.7‌
(e)
(
8
.60‌
)
140,247‌
0
.23‌
(f)
,(g)
1
.56‌
37
.8‌
22
.22‌
163,861‌
0
.23‌
(f)
2
.50‌
37
.7‌
6
.15‌
145,083‌
0
.23‌
(f)
1
.61‌
23
.4‌
(
1
.62‌
)
142,227‌
0
.23‌
(f)
1
.45‌
37
.9‌
8
.68‌
138,863‌
0
.23‌
(f)
2
.50‌
20
.4‌
16
.90‌
(d)
,(h)
134,075‌
0
.49‌
(e)
,(f)
,(g)
0
.08‌
(e)
23
.7‌
(e)
(
8
.87‌
)
114,902‌
0
.48‌
(f)
,(g)
1
.34‌
37
.8‌
21
.95‌
126,632‌
0
.48‌
(f)
2
.33‌
37
.7‌
5
.90‌
103,870‌
0
.48‌
(f)
1
.41‌
23
.4‌
(
1
.87‌
)
95,775‌
0
.48‌
(f)
1
.19‌
37
.9‌
8
.35‌
96,446‌
0
.48‌
(f)
2
.21‌
20
.4‌
3
.17‌
(d)
130,996‌
0
.51‌
(e)
,(g)
2
.43‌
(e)
68
.8‌
(e)
1
.02‌
149,075‌
0
.50‌
(g)
2
.19‌
49
.9‌
2
.39‌
158,446‌
0
.50‌
(g)
2
.01‌
67
.3‌
2
.14‌
170,538‌
0
.50‌
(g)
1
.91‌
48
.6‌
0
.71‌
160,833‌
0
.49‌
(g)
1
.63‌
57
.0‌
1
.73‌
267,674‌
0
.49‌
(g)
1
.74‌
54
.3‌
19
.58‌
(d)
185,964‌
0
.84‌
(e)
0
.56‌
(e)
38
.8‌
(e)
(
10
.89‌
)
163,243‌
0
.83‌
0
.20‌
45
.0‌
12
.87‌
208,669‌
0
.83‌
0
.37‌
64
.1‌
17
.39‌
209,911‌
0
.83‌
1
.08‌
57
.1‌
(
0
.10‌
)
205,344‌
0
.83‌
0
.33‌
63
.3‌
4
.89‌
64,682‌
0
.87‌
0
.16‌
67
.0‌
19
.45‌
(d)
5,969‌
1
.09‌
(e)
0
.32‌
(e)
38
.8‌
(e)
(
11
.17‌
)
(h)
4,874‌
1
.08‌
(
0
.05‌
)
45
.0‌
12
.57‌
(h)
5,371‌
1
.08‌
0
.12‌
64
.1‌
17
.15‌
4,938‌
1
.08‌
0
.80‌
57
.1‌
(
3
.76‌
)
(d)
4,523‌
1
.08‌
(e)
0
.13‌
(e)
63
.3‌
(e)
(a)
Calculated
based
on
average
shares
outstanding
during
the
period.
(b)
Total
return
does
not
reflect
charges
attributable
to separate
accounts. 
Inclusion
of
these
charges
would
reduce
the
amounts
shown. 
(c)
Six
months
ended
June
30,
2019.
(d)
Total
return
amounts
have
not
been
annualized.
(e)
Computed
on
an
annualized
basis.
(f)
Does
not
include
expenses
of
the
investment
companies
in
which
the
Portfolio
invests.
(g)
Reflects
Manager's
contractual
expense
limit.
(h)
Total
return
is
calculated
using
the
traded
net
asset
value
which
may
differ
from
the
reported
net
asset
value.
The
traded
net
asset
value
is
the
net
asset
value
which
a
shareholder
would
have
paid
or
received
from
a
subscription
or
redemption.
(i)
Period
from
February
17,
2015
date
operations
commenced,
through
December
31,
2015.
Shareholder
Expense
Example
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
222
As
a
shareholder
of
Principal
Variable
Contracts
Funds,
Inc.
you
incur
ongoing
costs,
including
management
fees;
distribution
fees;
and
other
fund
expenses.
This
example
is
intended
to
help
you
understand
your
ongoing
costs
(in
dollars)
of
investing
in
Principal
Variable
Contracts
Funds,
Inc.
and
to
compare
these
costs
with
the
ongoing
costs
of
investing
in
other
mutual
funds.
In
addition
to
the
expenses
the
Funds
bear
directly,
each
of
the
Accounts
may
indirectly
bear
its
pro
rata
share
of
the
expenses
incurred
by
the
investment
companies
in
which
the
fund
invests.
These
expenses
are
not
included
in
the
fund’s
annualized
expense
ratio
used
to
calculate
the
expenses
paid
in
this
example.
If
they
were,
the
expenses
paid
would
be
higher.
Expenses
shown
below
and
on
the
following
pages
do
not
account
for
fees,
expenses
and
charges
of
any
variable
insurance
contract
or
retirement
plan.
If
these
fees
had
been
reflected,
expenses
would
have
been
higher.
The
Example
is
based
on
an
investment
of
$1,000
invested
at
the
beginning
of
the
period
and
held
for
the
entire
period
(January
1,
2019
to
June
30,
2019),
unless
otherwise
noted.
Actual
Expenses
The
first
line
of
the
table
below
provides
information
about
actual
account
values
and
actual
expenses.
You
may
use
the
information
in
this
line,
together
with
the
amount
you
invested,
to
estimate
the
expenses
that
you
paid
over
the
period.
Simply
divide
your
account
value
by
$1,000
(for
example,
an
$8,600
account
value
divided
by
$1,000
=
8.6),
then
multiply
the
result
by
the
number
in
the
first
line
under
the
heading
entitled
“Expenses
Paid
During
Period”
to
estimate
the
expenses
you
paid
on
your
account
during
this
period.
Hypothetical
Example
for
Comparison
Purposes
The
second
line
of
the
table
below
provides
information
about
hypothetical
account
values
and
hypothetical
expenses
based
on
each
account’s
actual
expense
ratio
and
an
assumed
rate
of
return
of
5%
per
year
before
expenses,
which
is
not
the
account’s
actual
return.
The
hypothetical
account
values
and
expenses
may
not
be
used
to
estimate
the
actual
ending
account
balance
or
expenses
you
paid
for
the
period.
You
may
use
this
information
to
compare
the
ongoing
costs
of
investing
in
Principal
Variable
Contracts
Funds,
Inc.
and
other
funds.
To
do
so,
compare
this
5%
hypothetical
example
with
the
5%
hypothetical
examples
that
appear
in
the
shareholder
reports
of
the
other
funds.
Please
note
that
the
expenses
shown
in
the
table
are
meant
to
highlight
your
ongoing
costs
only.
Therefore,
the
second
line
of
the
table
is
useful
in
comparing
ongoing
costs
only,
and
will
not
help
you
determine
the
relative
total
cost
of
owning
different
funds.
Beginning
Account
Value
January
1,
2019
Ending
Account
Value
June
30,
2019
Expenses
Paid
During
Period
January
1,
2019 
to
June
30,
2019
(a)
Annualized
Expense
Ratio
Bond
Market
Index
Account
Class
1
Actual
$
1,000.00
$
1,060.10
$
0.77
0.15
%
Hypothetical
1,000.00
1,024.05
0.75
0.15
Core
Plus
Bond
Account
Class
1
Actual
1,000.00
1,071.23
2.36
0.46
Hypothetical
1,000.00
1,022.51
2.31
0.46
Diversified
Balanced
Account
Class
1
Actual
1,000.00
1,117.01
0.26
0.05
Hypothetical
1,000.00
1,024.55
0.25
0.05
Diversified
Balanced
Account
Class
2
Actual
1,000.00
1,116.26
1.57
0.30
Hypothetical
1,000.00
1,023.31
1.51
0.30
Diversified
Balanced
Managed
Volatility
Account
Class
2
Actual
1,000.00
1,111.99
1.62
0.31
Hypothetical
1,000.00
1,023.26
1.56
0.31
Diversified
Balanced
Volatility
Control
Account
Class
2
Actual
1,000.00
1,095.05
1.97
0.38
Hypothetical
1,000.00
1,022.91
1.91
0.38
Diversified
Growth
Account
Class
2
Actual
1,000.00
1,133.21
1.59
0.30
Hypothetical
1,000.00
1,023.31
1.51
0.30
Diversified
Growth
Managed
Volatility
Account
Class
2
Actual
1,000.00
1,126.61
1.58
0.30
Hypothetical
1,000.00
1,023.31
1.51
0.30
Shareholder
Expense
Example
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
223
Beginning
Account
Value
January
1,
2019
Ending
Account
Value
June
30,
2019
Expenses
Paid
During
Period
January
1,
2019 
to
June
30,
2019
(a)
Annualized
Expense
Ratio
Diversified
Growth
Volatility
Control
Account
Class
2
Actual
$
1,000.00
$
1,105.11
$
1.93
0.37
%
Hypothetical
1,000.00
1,022.96
1.86
0.37
Diversified
Income
Account
Class
2
Actual
1,000.00
1,098.72
1.56
0.30
Hypothetical
1,000.00
1,023.31
1.51
0.30
Diversified
International
Account
Class
1
Actual
1,000.00
1,147.96
4.90
0.92
Hypothetical
1,000.00
1,020.23
4.61
0.92
Equity
Income
Account
Class
1
Actual
1,000.00
1,170.60
2.58
0.48
Hypothetical
1,000.00
1,022.41
2.41
0.48
Equity
Income
Account
Class
2
Actual
1,000.00
1,169.02
3.93
0.73
Hypothetical
1,000.00
1,021.17
3.66
0.73
Government
&
High
Quality
Bond
Account
Class
1
Actual
1,000.00
1,044.35
2.59
0.51
Hypothetical
1,000.00
1,022.27
2.56
0.51
International
Emerging
Markets
Account
Class
1
Actual
1,000.00
1,101.85
6.25
1.20
Hypothetical
1,000.00
1,018.84
6.01
1.20
LargeCap
Growth
Account
I
Class
1
Actual
1,000.00
1,222.92
4.02
0.73
Hypothetical
1,000.00
1,021.17
3.66
0.73
LargeCap
S&P
500
Index
Account
Class
1
Actual
1,000.00
1,183.65
1.35
0.25
Hypothetical
1,000.00
1,023.55
1.25
0.25
LargeCap
S&P
500
Index
Account
Class
2
Actual
1,000.00
1,182.27
2.71
0.50
Hypothetical
1,000.00
1,022.32
2.51
0.50
LargeCap
S&P
500
Managed
Volatility
Index
Account
Class
1
Actual
1,000.00
1,170.33
2.48
0.46
Hypothetical
1,000.00
1,022.51
2.31
0.46
MidCap
Account
Class
1
Actual
1,000.00
1,303.52
3.08
0.54
Hypothetical
1,000.00
1,022.12
2.71
0.54
MidCap
Account
Class
2
Actual
1,000.00
1,301.99
4.51
0.79
Hypothetical
1,000.00
1,020.88
3.96
0.79
Principal
Capital
Appreciation
Account
Class
1
Actual
1,000.00
1,193.74
3.48
0.64
Hypothetical
1,000.00
1,021.62
3.21
0.64
Principal
Capital
Appreciation
Account
Class
2
Actual
1,000.00
1,191.95
4.84
0.89
Hypothetical
1,000.00
1,020.38
4.46
0.89
Principal
LifeTime
2010
Account
Class
1
Actual
1,000.00
1,097.70
0.16
0.03
Hypothetical
1,000.00
1,024.65
0.15
0.03
Principal
LifeTime
2020
Account
Class
1
Actual
1,000.00
1,122.22
0.05
0.01
Hypothetical
1,000.00
1,024.74
0.05
0.01
Shareholder
Expense
Example
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
224
Beginning
Account
Value
January
1,
2019
Ending
Account
Value
June
30,
2019
Expenses
Paid
During
Period
January
1,
2019 
to
June
30,
2019
(a)
Annualized
Expense
Ratio
Principal
LifeTime
2030
Account
Class
1
Actual
$
1,000.00
$
1,145.94
$
0.05
0.01
%
Hypothetical
1,000.00
1,024.74
0.05
0.01
Principal
LifeTime
2040
Account
Class
1
Actual
1,000.00
1,160.69
0.11
0.02
Hypothetical
1,000.00
1,024.70
0.10
0.02
Principal
LifeTime
2050
Account
Class
1
Actual
1,000.00
1,171.28
0.16
0.03
Hypothetical
1,000.00
1,024.65
0.15
0.03
Principal
LifeTime
2060
Account
Class
1
Actual
1,000.00
1,175.32
0.54
0.10
Hypothetical
1,000.00
1,024.30
0.50
0.10
Principal
LifeTime
Strategic
Income
Account
Class
1
Actual
1,000.00
1,086.73
0.21
0.04
Hypothetical
1,000.00
1,024.60
0.20
0.04
Real
Estate
Securities
Account
Class
1
Actual
1,000.00
1,211.09
4.77
0.87
Hypothetical
1,000.00
1,020.48
4.36
0.87
Real
Estate
Securities
Account
Class
2
Actual
1,000.00
1,209.82
6.14
1.12
Hypothetical
1,000.00
1,019.24
5.61
1.12
SAM
Balanced
Portfolio
Class
1
Actual
1,000.00
1,126.62
1.21
0.23
Hypothetical
1,000.00
1,023.65
1.15
0.23
SAM
Balanced
Portfolio
Class
2
Actual
1,000.00
1,125.18
2.53
0.48
Hypothetical
1,000.00
1,022.41
2.41
0.48
SAM
Conservative
Balanced
Portfolio
Class
1
Actual
1,000.00
1,101.36
1.25
0.24
Hypothetical
1,000.00
1,023.60
1.20
0.24
SAM
Conservative
Balanced
Portfolio
Class
2
Actual
1,000.00
1,100.82
2.55
0.49
Hypothetical
1,000.00
1,022.36
2.46
0.49
SAM
Conservative
Growth
Portfolio
Class
1
Actual
1,000.00
1,150.93
1.28
0.24
Hypothetical
1,000.00
1,023.60
1.20
0.24
SAM
Conservative
Growth
Portfolio
Class
2
Actual
1,000.00
1,148.94
2.61
0.49
Hypothetical
1,000.00
1,022.36
2.46
0.49
SAM
Flexible
Income
Portfolio
Class
1
Actual
1,000.00
1,085.16
1.24
0.24
Hypothetical
1,000.00
1,023.60
1.20
0.24
SAM
Flexible
Income
Portfolio
Class
2
Actual
1,000.00
1,084.33
2.53
0.49
Hypothetical
1,000.00
1,022.36
2.46
0.49
SAM
Strategic
Growth
Portfolio
Class
1
Actual
1,000.00
1,169.93
1.29
0.24
Hypothetical
1,000.00
1,023.60
1.20
0.24
SAM
Strategic
Growth
Portfolio
Class
2
Actual
1,000.00
1,168.97
2.64
0.49
Hypothetical
1,000.00
1,022.36
2.46
0.49
Short-Term
Income
Account
Class
1
Actual
1,000.00
1,031.75
2.57
0.51
Hypothetical
1,000.00
1,022.27
2.56
0.51
Shareholder
Expense
Example
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
225
Beginning
Account
Value
January
1,
2019
Ending
Account
Value
June
30,
2019
Expenses
Paid
During
Period
January
1,
2019 
to
June
30,
2019
(a)
Annualized
Expense
Ratio
SmallCap
Account
Class
1
Actual
$
1,000.00
$
1,195.80
$
4.57
0.84
%
Hypothetical
1,000.00
1,020.63
4.21
0.84
SmallCap
Account
Class
2
Actual
1,000.00
1,194.52
5.93
1.09
Hypothetical
1,000.00
1,019.39
5.46
1.09
(a)
Expenses
are
equal
to
a
fund's
annualized
expense
ratio
multiplied
by
the
average
account
value
over
the
period,
multiplied
by
181/365
(to
reflect
the
one-half
year
period).
226
FUND
DIRECTORS
AND
OFFICERS
Under
Maryland
law,
a
Board
of
Directors
oversees
the
Fund.
The
Directors
have
financial
or
other
relevant
experience
and
meet
several
times
during
the
year
to
review
contracts,
Fund
activities
and
the
quality
of
services
provided
to
the
Fund.
Each
director
also
has
the
same
position
with
Principal
Funds,
Inc.
and
Principal
Exchange-Traded
Funds
which
are
also
sponsored
by
Principal
Life
Insurance
Company.
Each
director
holds
office
for
an
indefinite
term
or
until
reaching
age
72.
Directors
considered
to
be
“interested
persons”
as
defined
in
the
Investment
Company
Act
of
1940,
as
shown
below
are
considered
to
be
interested
because
of
an
affiliation
with
the
Manager
and
Principal
Life
Insurance
Company.
The
following
directors
are
considered
not
to
be
“interested
persons”
as
defined
in
the
1940
Act
Name,
Position
Held
with
the
Fund,
Year
of
Birth
Principal
Occupation(s)
During
past
5
years
Number
of
Portfolios
in
Fund
Complex
Overseen
by
Director
Other
Directorships
Held
by
Director
During
Past
5
Years
Elizabeth
Ballantine
Director
since
2004
Member,
Nominating
and
Governance
Committee
1948
Principal,
EBA
Associates
128
Durango
Herald,
Inc.;
McClatchy
Newspapers,
Inc.
Leroy
T.
Barnes,
Jr.
Director
since
2012
Member,
Audit
Committee
1951
Retired.
128
McClatchy
Newspapers,
Inc.;
Frontier
Communications,
Inc.;
formerly,
Herbalife
Ltd.
Craig
Damos
Director
since
2008
Member,
Audit
Committee
Member,
15(c)
Committee
1954
President,
C.P.
Damos
Consulting
LLC
128
None
Mark
A.
Grimmett
Lead
Independent
Director
since
2011
Director
since
2004
Member,
Nominating
and
Governance
Committee
Member,
15(c)
Committee
Member,
Executive
Committee
1960
Formerly,
Executive
Vice
President
and
CFO,
Merle
Norman
Cosmetics,
Inc.
128
None
Fritz
S.
Hirsch
Director
since
2005
Member,
Operations
Committee
Member,
15(c)
Committee
1951
Formerly,
CEO,
MAM
USA
128
MAM
USA
Tao
Huang
Director
since
2012
Member,
Operations
Committee
Member,
15(c)
Committee
1962
Retired.
128
Armstrong
World
Industries,
Inc.
and
Equity
Lifestyle
Properties,
Inc.
Karen
(“Karrie”)
McMillan
Director
since
2014
Member,
Operations
Committee
1961
Managing
Director,
Patomak
Global
Partners,
LLC.
Formerly,
General
Counsel,
Investment
Company
Institute
128
None
Elizabeth
A.
Nickels
Director
since
2015
Member,
Audit
Committee
1962
Formerly,
Executive
Director,
Herman
Miller
Foundation;
Formerly
President,
Herman
Miller
Healthcare
128
SpartanNash;
formerly:
Charlotte
Russe;
Follet
Corporation;
PetSmart;
Spectrum
Health
Systems
Mary
M.
(“Meg”)
VanDeWeghe
Director
since
2018
Member,
Operations
Committee
1959
CEO
and
President,
Forte
Consulting,
Inc.
128
Denbury
Resources
Inc.
and
Helmerich
&
Payne;
Formerly:
Brown
Advisory;
B/E
Aerospace;
WP
Carey;
Nalco
(and
its
successor
Ecolab)
227
The
following
directors
are
considered
to
be
“interested
persons”
as
defined
in
the
1940
Act,
because
of
an
affiliation
with
the
Manager
and
Principal
Life.
Correspondence
intended
for
each
Director
who
is
other
than
an
Interested
Director
may
be
sent
to
655
9th
Street,
Des
Moines,
IA
50392.
Name,
Position
Held
with
the
Fund,
Year
of
Birth
Principal
Occupation(s)
During
past
5
years
Number
of
Portfolios
in
Fund
Complex
Overseen
by
Director
Other
Directorships
Held
by
Director
During
Past
5
Years
Michael
J.
Beer
Director
since
2012
President,
Chief
Executive
Officer
Member,
Executive
Committee
1961
Chief
Executive
Officer,
Principal
Funds
Distributor,
Inc.
(“PFD”)
since
2015
Executive
Director
–
Funds,
Principal
Global
Investors,
LLC
(“PGI”)
since
2017
Director,
PGI
since
2017
Director,
PFD
since
2015
Vice
President/Mutual
Funds
and
Broker
Dealer,
Principal
Life
Insurance
Company
(“PLIC”)
(2001-
2014)
Vice
President/Chief
Operating
Officer,
Principal
Funds,
PLIC
(2014-2015)
Executive
Director,
Principal
Funds
&
Trust,
PLIC
since
2015
Director,
Principal
Management
Corporation,
(“PMC”)
(2006-2015)
President
&
Chief
Executive
Officer,
PMC
(2015-
2017)
Executive
Vice
President/Chief
Operating
Officer,
PMC
(2008-2015)
Chair,
PMC
(2015-2017)
Director,
Principal
Securities,
Inc.
(“PSI”)
(2005-
2015)
President,
PSI
(2005-2015)
Director,
Principal
Shareholder
Services
(“PSS”)
(2007-2015)
Chairman,
PSS
since
2015
President,
PSS
(2007-2015)
Executive
Vice
President,
PSS
since
2015
128
None
Timothy
M.
Dunbar
Director
since
2019
1957
Director,
PGI
since
2018
President,
Principal
Global
Asset
Management,
PGI,
PLIC,
Principal
Financial
Services,
Inc.
(“PFSI”),
and
Principal
Financial
Group
(“PFG”)
since
2018
Chair/Executive
Vice
President,
RobustWealth,
Inc.
since
2018
Director,
Post
Advisory
Group,
LLC
(“Post”)
since
2018
Executive
Vice
President/Chief
Investment
Officer,
PLIC,
PFSI
and
PFG
(2014-2018)
128
None
Patrick
Halter
Director
since
2017
Member,
Executive
Committee
1959
Chief
Executive
Officer
and
President,
PGI
since
2018
Chief
Operating
Officer,
PGI
(2017-2018)
Chair,
PGI
since
2018
Director,
PGI
(2003-2018)
Director,
Finisterre
Capital
LLP
since
2018
Director,
Origin
Asset
Management
LLP
since
2018
Chair,
Post
since
2017
Chief
Executive
Officer,
Principal
Real
Estate
Investors,
LLC
(“PREI”)
since
2005
Chair,
PREI
since
2004
Chair,
Spectrum
Asset
Management,
Inc.
since
2017
Director,
CCIP,
LLC
since
2017
128
None
228
The
following
table
presents
officers
of
the
Funds.
Name,
Position
Held
with
the
Fund,
Address,
and
Year
of
Birth
Principal
Occupation(s)
During
past
5
years
Randy
L.
Bergstrom
Assistant
Tax
Counsel
Des
Moines,
IA
50392
1955
Counsel,
PGI
Counsel,
PLIC
Jennifer
A.
Block
Deputy
Chief
Compliance
Officer
Des
Moines,
IA
50392
1973
Vice
President
and
Counsel
(2017-2018)
Assistant
Counsel
(2010-2017)
Assistant
Secretary
(2015-2018)
Counsel,
PGI
(2017-2018)
Counsel,
PLIC
(2009-2018)
Counsel,
PMC
(2009-2013,
2014-2017)
Tracy
Bollin
Chief
Financial
Officer
Des
Moines,
IA
50392
1970
Managing
Director,
PGI
since
2016
Chief
Operating
Officer,
PMC
(2015-2017)
Chief
Financial
Officer,
PFA
(2010-2015)
Senior
Vice
President,
PFD
since
2015
Chief
Financial
Officer,
PFD
(2010-2016)
Senior
Vice
President,
PMC
(2015–2017)
Chief
Financial
Officer,
PMC
(2010-2015)
Director,
PMC
(2014–2017)
Chief
Financial
Officer,
PSI
(2010-2015)
Director,
PSS
since
2014
President,
PSS
since
2015
Chief
Financial
Officer,
PSS
(2010-2015)
Gina
L.
Graham
Treasurer
Des
Moines,
IA
50392
1965
Vice
President/Treasurer,
PFA
since
2016
Vice
President/Treasurer,
PFD
since
2016
Vice
President/Treasurer,
PGI
since
2016
Vice
President/Treasurer,
PLIC
since
2016
Vice
President/Treasurer,
PMC
(2016-2017)
Vice
President/Treasurer,
PREI
since
2016
Vice
President/Treasurer,
PSI
since
2016
Vice
President/Treasurer,
PSS
since
2016
Laura
B.
Latham
Assistant
Counsel
and
Assistant
Secretary
Des
Moines,
IA
50392
1986
Counsel,
PGI
since
2018
Prior
thereto,
Attorney
in
Private
Practice
Diane
K.
Nelson
AML
Officer
Des
Moines,
IA
50392
1965
Chief
Compliance
Officer/AML
Officer,
PSS
since
2015
Compliance
Advisor,
PMC
(2013-2015)
Sara
L.
Reece
Vice
President
and
Controller
Des
Moines,
IA
50392
1975
Director
-
Accounting,
PLIC
since
2015
Assistant
Financial
Controller,
PLIC
prior
to
2015
Teri
R.
Root
Chief
Compliance
Officer
Des
Moines,
IA
50392
1979
Interim
Chief
Compliance
Officer
(2018)
Deputy
Chief
Compliance
Officer
(2015-2018)
Deputy
Chief
Compliance
Officer,
PGI
(2017-2018)
Vice
President
and
Chief
Compliance
Officer,
PMC
(2015–2017)
Vice
President,
PSS
since
2015
Britney
L.
Schnathorst
Assistant
Counsel
and
Assistant
Secretary
Des
Moines,
IA
50392
1981
Counsel,
PLIC
since
2013
Prior
thereto,
Attorney
in
Private
Practice
Adam
U.
Shaikh
Assistant
Counsel
Des
Moines,
IA
50392
1972
Assistant
General
Counsel,
PGI
since
2018
Counsel,
PGI
(2017-2018)
Counsel,
PLIC
since
2006
Counsel,
PMC
(2007-2013,
2014-2017)
John
Sullivan
Assistant
Counsel
and
Assistant
Secretary
Des
Moines,
IA
50392
1970
Counsel,
PGI
since
2019
Prior
thereto,
Attorney
in
Private
Practice
229
The
15(c)
Committee’s
primary
purpose
is
to
assist
the
Board
in
performing
the
annual
review
of
the
Fund’s
advisory
and
sub-advisory
agreements
pursuant
to
Section
15(c)
of
the
1940
Act.
The
Committee
responsibilities
include
requesting
and
reviewing
materials.
The
Audit
Committee’s
primary
purpose
is
to
assist
the
Board
in
fulfilling
certain
of
its
responsibilities.
The
Audit
Committee
serves
as
an
independent
and
objective
party
to
monitor
the
Fund
Complex’s
accounting
policies,
financial
reporting
and
internal
control
system,
as
well
as
the
work
of
the
independent
registered
public
accountants.
The
Audit
Committee
assists
Board
oversight
of
1)
the
integrity
of
the
Fund
Complex’s
financial
statements;
2)
the
Fund
Complex’s
compliance
with
certain
legal
and
regulatory
requirements;
3)
the
independent
registered
public
accountants’
qualifications
and
independence;
and
4)
the
performance
of
the
Fund
Complex’s
independent
registered
public
accountants.
The
Audit
Committee
also
provides
an
open
avenue
of
communication
among
the
independent
registered
public
accountants,
the
Manager’s
internal
auditors,
Fund
Complex
management,
and
the
Board.
The
Executive
Committee’s
primary
purpose
is
to
exercise
certain
powers
of
the
Board
when
the
Board
is
not
in
session.
When
the
Board
is
not
in
session,
the
Committee
may
exercise
all
powers
of
the
Board
in
the
management
of
the
business
of
the
Fund
Complex
except
the
power
to
1)
authorize
dividends
or
distributions
on
stock;
2)
issue
stock,
except
as
permitted
by
law;
3)
recommend
to
the
stockholders
any
action
which
requires
stockholder
approval;
4)
amend
the
bylaws;
or
5)
approve
any
merger
or
share
exchange
which
does
not
require
stockholder
approval.
The
Nominating
and
Governance
Committee’s
primary
purpose
is
to
oversee
the
structure
and
efficiency
of
the
Board
and
the
committees
established
by
the
Board.
The
Committee
responsibilities
include
evaluating
Board
membership
and
functions,
committee
membership
and
functions,
insurance
coverage,
and
legal
matters.
The
nominating
functions
of
the
Committee
include
selecting
and
nominating
all
candidates
who
are
not
“interested
persons”
of
the
Fund
Complex
for
election
to
the
Board.
Generally,
the
Committee
requests
director
nominee
suggestions
from
the
committee
members
and
management.
In
addition,
the
Committee
will
consider
Director
candidates
recommended
by
shareholders
of
the
Fund
Complex.
Recommendations
should
be
submitted
in
writing
to
Principal
Funds,
Inc.
at
711
High
Street,
Des
Moines,
IA
50392.
When
evaluating
a
person
as
a
potential
nominee
to
serve
as
an
Independent
Director,
the
Committee
will
generally
consider,
among
other
factors:
age;
education;
relevant
business
experience;
geographical
factors;
whether
the
person
is
“independent”
and
otherwise
qualified
under
applicable
laws
and
regulations
to
serve
as
a
director;
and
whether
the
person
is
willing
to
serve,
and
willing
and
able
to
commit
the
time
necessary
for
attendance
at
meetings
and
the
performance
of
the
duties
of
an
independent
director.
The
Committee
also
meets
personally
with
the
nominees
and
conducts
a
reference
check.
The
final
decision
is
based
on
a
combination
of
factors,
including
the
strengths
and
the
experience
an
individual
may
bring
to
the
Board.
The
Committee
believes
the
Board
generally
benefits
from
diversity
of
background,
experience
and
views
among
its
members,
and
considers
these
factors
in
evaluating
the
composition
of
the
Board.
The
Board
does
not
use
regularly
the
services
of
any
professional
search
firms
to
identify
or
evaluate
or
assist
in
identifying
or
evaluating
potential
candidates
or
nominees.
Name,
Position
Held
with
the
Fund,
Address,
and
Year
of
Birth
Principal
Occupation(s)
During
past
5
years
Dan
Westholm
Assistant
Treasurer
Des
Moines,
IA
50392
1966
Assistant
Vice
President/Treasurer,
PGI
since
2017
Assistant
Vice
President/Treasury,
PFA
since
2013
Assistant
Vice
President/Treasury,
PFD
since
2013
Assistant
Vice
President/Treasury,
PLIC
since
2014
Director
–
Treasury,
PLIC
(2007-2014)
Assistant
Vice
President/Treasury,
PMC
(2013-
2017)
Assistant
Vice
President/Treasury,
PSI
since
2013
Assistant
Vice
President/Treasury,
PSS
since
2013
Beth
Wilson
Vice
President
and
Secretary
Des
Moines,
IA
50392
1956
Director
and
Secretary
–
Funds,
PLIC
Clint
Woods
Counsel,
Vice
President,
and
Assistant
Secretary
Des
Moines,
IA
50392
1961
Of
Counsel
(2017-2018)
Vice
President
(2016-2017)
Counsel
(2015-2017)
Vice
President,
PLIC
since
2015
Associate
General
Counsel,
Governance
Officer,
and
Assistant
Corporate
Secretary,
PLIC
since
2013
Jared
Yepsen
Assistant
Tax
Counsel
Des
Moines,
IA
50392
1981
Counsel,
PGI
since
2017
Counsel,
PLIC
since
2015
Senior
Attorney,
Transamerica
Life
Insurance
Company
(2013-2015)
230
The
Operations
Committee’s
primary
purpose
is
to
oversee
the
provision
of
administrative
and
distribution
services
to
the
Funds
Complex,
communications
with
the
Fund
Complex’s
shareholders,
and
review
and
oversight
of
the
Fund
Complex’s
operations.
Additional
information
about
the
Fund
is
available
in
the
Prospectus
dated
May
1,
2019,
and
the
Statement
of
Additional
Information
dated
May
1,
2019.
These
documents
may
be
obtained
free
of
charge
by
writing
Principal
Funds,
Inc.,
P.O.
Box
8024,
Boston,
MA
02266-8024
or
telephoning
1-800-222-5852.
The
prospectus
may
be
viewed
at
www.PrincipalFunds.com/prospectuses-pvc.
PROXY
VOTING
POLICIES
A
description
of
the
policies
and
procedures
the
Fund
uses
to
determine
how
to
vote
proxies
relating
to
portfolio
securities
and
the
results
of
the
proxy
votes
for
the
most
recent
twelve
months
ended
June
30
may
be
obtained
free
of
charge
by
telephoning
1-800-222-5852,
or
on
the
SEC
website
at
www.sec.gov.
SCHEDULES
OF
INVESTMENTS
The
Fund
files
complete
schedules
of
investments
with
the
Securities
and
Exchange
Commission
as
of
March
31
and
September
30
each
year
as
a
part
of
Form
N-PORT.
The
Fund’s
Form
N-PORT
can
be
reviewed
and
copied
at
the
Commission’s
Public
Reference
Room
in
Washington,
D.C.
or
on
the
Commission’s
website
at
www.sec.gov.
Information
on
the
operation
of
the
Public
Reference
Room
may
be
obtained
by
calling
the
Commission
at
1-202-551-8090.
STATEMENT
REGARDING
LIQUIDITY
RISK
MANAGEMENT
PROGRAM
On
June
1,
2019,
a
Liquidity
Risk
Management
Program
(the
“Program”)
was
adopted
by
the
Fund.
The
Board
is
expected
to
review
the
operation
and
effectiveness
of
the
Program
in
June
2020.
231
BOARD
CONSIDERATION
OF
INVESTMENT
ADVISORY
CONTRACTS
During
the
period
covered
by
this
report,
the
Board
of
Directors
of
Principal
Variable
Contracts
Funds,
Inc.
(“PVC”)
approved
an
amended
and
restated
Management
Agreement
with
Principal
Global
Investors,
LLC
(the
“Manage”)
in
connection
with
a
proposal
to
amend
the
management
fee
schedule
for
all
asset
levels
related
to
the
Bond
Market
Index
Account.
Amended
and
Restated
Management
Agreement
On
March
12,
2019,
the
Board
met
to
consider
for
the
Bond
Market
Index
Account
(the
“Account”)
the
approval
of
an
amended
fee
schedule
under
the
management
agreement
(the
“Management
Agreement”)
with
the
Manager
with
respect
to
the
Account,
which
would
result
in
a
reduction
of
the
management
fee
rate
at
all
asset
levels.
The
Board
reviewed
materials
received
from
the
Manager
regarding
the
proposed
change
in
the
management
fee
schedule.
The
Board
considered
the
Manager’s
representation
that
the
change
in
the
management
fee
schedule
would
not
reduce
the
quality
or
quantity
of
the
services
the
Manager
provides
to
the
Account
and
that
the
Manager’s
obligations
under
the
Management
Agreement
would
remain
the
same
in
all
material
respects.
The
Board
also
considered
that
the
Manager
was
not
proposing
any
material
changes
to
the
terms
of
the
Management
Agreement
other
than
to
the
fee
schedule.
The
Board
considered
that
they
had
last
approved
the
Management
Agreement
for
the
Account
during
the
annual
contract
renewal
process
that
concluded
at
the
Board
of
Directors’
September
2018
meeting.
They
noted
that
during
the
annual
contract
renewal
process,
they
had
considered
the
nature,
quality
and
extent
of
the
services
provided
by
the
Manager
under
the
Management
Agreement
and
had
concluded,
based
upon
the
information
provided,
that
the
terms
of
the
Management
Agreement
were
reasonable
and
that
approval
of
the
Management
Agreement
was
in
the
best
interests
of
the
Account.
Based
upon
all
of
the
information
considered,
the
Board
concluded
that
it
was
in
the
best
interests
of
the
Account
to
approve
the
amended
Management
Agreement
at
this
time
and,
accordingly,
recommended
the
approval
of
the
amended
Management
Agreement.
232
Special
Meeting
of
Shareholders
Principal
Variable
Contracts
Funds,
Inc.
Held
April
25,
2019
1.
Election
of
Board
of
Directors.
2.
Approval
of
the
ability
of
Principal
Global
Investors,
LLC
to
enter
into
and/or
materially
amend
agreements
with
wholly-owned
affiliated
sub-advisors,
as
defined
in
the
proposal,
on
behalf
of
the
Account
without
obtaining
shareholder
approval
(Group
A
Accounts,
as
set
forth
in
the
proposal,
only).
3.
Approval
of
the
ability
of
Principal
Global
Investors,
LLC
to
enter
into
and/or
materially
amend
agreements
with
majority-owned
affiliated
sub-advisors,
as
defined
in
the
proposal,
on
behalf
of
the
Account
without
obtaining
shareholder
approval
(Group
A
Accounts,
as
set
forth
in
the
proposal,
only).
For
Withheld
Ballantine
1,103,113,155.348
38,666,195.286
Barnes
1,102,218,734.727
39,560,615.907
Damos
1,104,362,124.076
37,417,226.558
Grimmett
1,105,675,021.391
36,104,329.243
Hirsch
1,102,959,731.499
38,819,619.135
Huang
1,104,855,103.829
36,924,246.805
McMillan
1,105,372,346.558
36,407,004.076
Nickels
1,105,363,079.744
36,416,270.890
VanDeWeghe
1,104,596,840.456
37,182,510.178
Beer
1,103,154,868.771
38,624,481.863
Dunbar
1,102,601,524.542
39,177,826.092
Halter
1,103,101,984.734
38,677,365.900
For
Against
Abstain
Bond
Market
Index
Account
221,418,760.288
0.000
6,234,186.016
Core
Plus
Bond
Account
25,131,676.349
494,370.581
440,924.034
Diversified
Balanced
Account
53,804,021.680
5,659,782.834
6,751,348.213
Diversified
Balanced
Managed
Volatility
Account
12,363,468.844
517,205.143
1,296,826.142
Diversified
Growth
Account
172,425,296.834
22,169,005.613
17,082,284.569
Diversified
Growth
Managed
Volatility
Account
24,346,984.244
969,923.072
2,372,675.164
Diversified
Income
Account
17,675,617.576
132,672.857
1,835,219.131
Diversified
International
Account
16,026,589.238
535,425.946
483,356.030
Equity
Income
Account
25,570,676.410
1,479,919.857
1,430,599.096
Government
&
High
Quality
Bond
Account
19,742,759.676
1,090,053.571
2,062,038.276
Income
Account
14,301,880.163
1,437,122.116
1,926,635.343
International
Emerging
Markets
Account
4,964,335.299
451,612.112
155,623.101
LargeCap
Growth
Account
3,351,140.122
98,959.548
56,916.209
LargeCap
Growth
Account
I
8,906,091.994
536,079.037
471,186.878
LargeCap
S&P
500
Index
Account
121,355,059.725
9,648,946.590
9,432,361.317
LargeCap
S&P
500
Managed
Volatility
Index
Account
15,533,899.877
0.000
0.000
MidCap
Account
8,552,833.899
583,667.831
775,729.036
Principal
Capital
Appreciation
Account
4,451,499.890
356,017.759
414,556.115
Principal
LifeTime
2010
Account
2,386,914.446
72,329.848
53,588.452
Principal
LifeTime
2020
Account
12,013,476.057
942,060.070
861,188.043
Principal
LifeTime
2030
Account
10,359,855.898
1,454,997.106
679,041.770
Principal
LifeTime
2040
Account
4,407,415.994
127,330.297
12,610.104
Principal
LifeTime
2050
Account
2,142,026.862
188,427.044
13,623.146
Principal
LifeTime
2060
Account
96,369.031
0.000
0.000
Principal
LifeTime
Strategic
Income
Account
1,733,473.173
0.000
82,583.306
Real
Estate
Securities
Account
6,336,300.917
559,708.784
667,686.932
Short-Term
Income
Account
52,467,303.843
3,008,150.526
3,781,824.884
SmallCap
Account
10,539,966.465
408,819.884
677,400.908
SAM
Balanced
Portfolio
Account
41,185,539.792
2,496,426.019
3,421,339.778
SAM
Conservative
Balanced
Portfolio
Account
13,411,527.785
1,289,089.140
1,211,570.430
SAM
Conservative
Growth
Portfolio
Account
14,441,280.487
1,832,050.320
1,516,172.744
SAM
Flexible
Income
Portfolio
Account
12,703,901.662
638,242.364
1,897,138.836
SAM
Strategic
Growth
Portfolio
Account
12,699,645.269
531,531.445
348,432.337
For
Against
Abstain
Bond
Market
Index
Account
221,418,760.288
0.000
6,234,186.016
Core
Plus
Bond
Account
25,079,788.347
546,947.747
440,234.870
233
4a.
Approval
of
an
amended
fundamental
investment
restriction
relating
to
commodities
for
the
Account
(each
Account).
For
Against
Abstain
Diversified
Balanced
Account
54,028,383.648
5,329,588.954
6,857,180.125
Diversified
Balanced
Managed
Volatility
Account
12,300,660.196
517,205.143
1,359,634.790
Diversified
Growth
Account
172,688,680.655
21,775,318.722
17,212,587.639
Diversified
Growth
Managed
Volatility
Account
24,253,014.712
1,153,364.925
2,283,202.843
Diversified
Income
Account
17,319,353.986
378,114.225
1,946,041.353
Diversified
International
Account
15,939,734.725
613,289.363
492,347.126
Equity
Income
Account
25,517,541.047
1,484,979.701
1,478,674.615
Government
&
High
Quality
Bond
Account
19,618,225.838
1,229,744.847
2,046,880.838
Income
Account
14,228,919.199
1,510,083.026
1,926,635.397
International
Emerging
Markets
Account
4,947,221.694
464,130.903
160,217.915
LargeCap
Growth
Account
3,343,871.312
106,191.968
56,952.599
LargeCap
Growth
Account
I
8,836,210.035
584,612.084
492,535.790
LargeCap
S&P
500
Index
Account
121,937,782.204
9,234,959.766
9,263,625.662
LargeCap
S&P
500
Managed
Volatility
Index
Account
15,533,899.877
0.000
0.000
MidCap
Account
8,518,916.671
587,966.887
805,347.208
Principal
Capital
Appreciation
Account
4,486,404.559
320,135.080
415,534.125
Principal
LifeTime
2010
Account
2,386,914.446
72,329.848
53,588.452
Principal
LifeTime
2020
Account
12,100,803.086
831,520.946
884,400.138
Principal
LifeTime
2030
Account
10,355,383.590
1,368,467.203
770,043.981
Principal
LifeTime
2040
Account
4,398,338.817
136,407.474
12,610.104
Principal
LifeTime
2050
Account
2,134,243.088
196,210.818
13,623.146
Principal
LifeTime
2060
Account
96,369.031
0.000
0.000
Principal
LifeTime
Strategic
Income
Account
1,733,473.173
0.000
82,583.306
Real
Estate
Securities
Account
6,061,727.343
584,833.045
917,136.245
Short-Term
Income
Account
51,769,240.679
3,954,312.356
3,533,726.218
SmallCap
Account
10,522,952.329
424,768.117
678,466.811
SAM
Balanced
Portfolio
Account
39,826,194.050
3,098,094.197
4,179,017.342
SAM
Conservative
Balanced
Portfolio
Account
13,440,951.646
1,381,929.696
1,089,306.013
SAM
Conservative
Growth
Portfolio
Account
14,499,605.128
1,777,924.115
1,511,974.308
SAM
Flexible
Income
Portfolio
Account
12,325,462.033
630,761.364
2,283,059.465
SAM
Strategic
Growth
Portfolio
Account
12,249,305.017
981,871.697
348,432.337
For
Against
Abstain
Bond
Market
Index
Account
221,418,760.288
0.000
6,234,186.016
Core
Plus
Bond
Account
25,368,307.364
262,031.549
436,632.051
Diversified
Balanced
Account
55,358,289.849
3,068,349.896
7,788,512.982
Diversified
Balanced
Managed
Volatility
Account
12,726,078.325
227,977.323
1,223,444.481
Diversified
Balance
Volatility
Control
Account
6,450,210.409
409,154.196
214,053.754
Diversified
Growth
Account
179,798,611.810
11,833,152.166
20,044,823.040
Diversified
Growth
Managed
Volatility
Account
25,233,753.938
699,907.162
1,755,921.380
Diversified
Growth
Volatility
Control
Account
33,312,543.583
1,924,922.525
4,433,158.523
Diversified
Income
Account
17,198,436.971
119,961.288
2,325,111.305
Diversified
International
Account
16,030,265.284
488,004.762
527,101.168
Equity
Income
Account
25,822,034.129
1,289,838.563
1,369,322.671
Government
&
High
Quality
Bond
Account
20,438,502.694
451,357.282
2,004,991.547
Income
Account
15,087,160.038
651,842.187
1,926,635.397
International
Emerging
Markets
Account
4,965,385.073
377,163.520
229,021.919
LargeCap
Growth
Account
3,355,398.465
83,289.905
68,327.509
LargeCap
Growth
Account
I
8,927,033.844
343,684.679
642,639.386
LargeCap
S&P
500
Index
Account
122,582,107.569
9,202,874.678
8,651,385.385
LargeCap
S&P
500
Managed
Volatility
Index
Account
15,533,899.877
0.000
0.000
MidCap
Account
8,663,753.811
471,121.629
777,355.326
Multi-Asset
Income
Account
31,124.201
0.000
0.000
Principal
Capital
Appreciation
Account
4,618,434.558
251,460.572
352,178.634
Principal
LifeTime
2010
Account
2,370,232.114
70,422.631
72,178.001
Principal
LifeTime
2020
Account
12,305,207.928
532,948.231
978,568.011
Principal
LifeTime
2030
Account
11,431,997.510
304,444.531
757,452.733
Principal
LifeTime
2040
Account
4,398,338.818
127,330.297
21,687.280
Principal
LifeTime
2050
Account
2,051,748.769
270,921.363
21,406.920
Principal
LifeTime
2060
Account
96,369.031
0.000
0.000
Principal
LifeTime
Strategic
Income
Account
1,733,473.173
0.000
82,583.306
Real
Estate
Securities
Account
6,169,365.761
494,871.904
899,458.968
Short-Term
Income
Account
53,763,658.423
1,836,560.311
3,657,060.519
SmallCap
Account
10,797,024.787
274,100.070
555,062.400
234
4b.
Approval
of
an
amended
fundamental
investment
restriction
relating
to
concentration
for
the
Account
(Group
B
Accounts,
as
set
forth
in
the
proposal,
only).
4c.
Approval
of
an
amended
fundamental
investment
restriction
relating
to
concentration
for
the
Account
(Group
C
Accounts,
as
set
forth
in
the
proposal,
only).
Special
Meeting
of
Shareholders
Principal
Variable
Contracts
Funds,
Inc.
–
Principal
LifeTime
2060
Account
Held
May
22,
2019
2.
Approval
of
the
ability
of
Principal
Global
Investors,
LLC
to
enter
into
and/or
materially
amend
agreements
with
wholly-owned
affiliated
sub-advisors,
as
defined
in
the
proposal,
on
behalf
of
the
Account
without
obtaining
shareholder
approval.
3.
Approval
of
the
ability
of
Principal
Global
Investors,
LLC
to
enter
into
and/or
materially
amend
agreements
with
majority-owned
affiliated
sub-advisors,
as
defined
in
the
proposal,
on
behalf
of
the
Account
without
obtaining
shareholder
approval.
For
Against
Abstain
SAM
Balanced
Portfolio
Account
41,432,947.912
1,313,025.709
4,357,331.968
SAM
Conservative
Balanced
Portfolio
Account
14,194,897.919
450,588.768
1,266,700.668
SAM
Conservative
Growth
Portfolio
Account
15,191,663.329
775,363.402
1,822,476.820
SAM
Flexible
Income
Portfolio
Account
12,743,233.938
576,120.879
1,919,928.045
SAM
Strategic
Growth
Portfolio
Account
12,748,447.234
438,483.409
392,678.408
For
Against
Abstain
Core
Plus
Bond
Account
25,313,974.596
299,842.035
453,154.333
Diversified
International
Account
16,017,563.252
490,765.991
537,041.971
Equity
Income
Account
25,738,463.005
1,295,572.712
1,447,159.646
Government
&
High
Quality
Bond
Account
20,359,944.829
469,228.526
2,065,678.168
Income
Account
15,087,160.038
651,842.187
1,926,635.397
International
Emerging
Markets
Account
4,932,182.356
414,003.577
225,384.579
LargeCap
Growth
Account
3,356,004.136
79,067.620
71,944.123
LargeCap
Growth
Account
I
8,942,374.948
313,163.095
657,819.866
MidCap
Account
8,649,170.506
433,574.580
829,485.680
Principal
Capital
Appreciation
Account
4,600,977.412
241,408.679
379,687.673
Short-Term
Income
Account
53,503,302.833
1,823,516.692
3,930,459.728
SmallCap
Account
10,738,639.141
246,496.072
641,052.044
For
Against
Abstain
Diversified
Balanced
Account
54,994,994.352
3,194,951.625
8,025,206.750
Diversified
Balanced
Managed
Volatility
Account
12,664,184.901
242,086.758
1,271,228.470
Diversified
Balance
Volatility
Control
Account
6,563,700.726
295,663.879
214,053.754
Diversified
Growth
Account
178,646,701.395
11,367,912.175
21,661,973.446
Diversified
Growth
Managed
Volatility
Account
25,234,735.947
529,868.947
1,924,977.586
Diversified
Growth
Volatility
Control
Account
33,189,297.636
1,637,824.318
4,843,502.677
Diversified
Income
Account
17,169,132.117
110,839.467
2,363,537.980
Multi-Asset
Income
Account
31,124.201
0.000
0.000
Principal
LifeTime
2010
Account
2,345,217.044
70,422.631
97,193.071
Principal
LifeTime
2020
Account
12,257,483.342
543,645.037
1,015,595.791
Principal
LifeTime
2030
Account
11,274,119.111
462,322.930
757,452.733
Principal
LifeTime
2040
Account
4,267,045.437
258,623.678
21,687.280
Principal
LifeTime
2050
Account
2,051,748.769
270,921.363
21,406.920
Principal
LifeTime
2060
Account
96,369.031
0.000
0.000
Principal
LifeTime
Strategic
Income
Account
1,720,650.682
0.000
95,405.797
SAM
Balanced
Portfolio
Account
40,678,801.557
1,543,072.593
4,881,431.439
SAM
Conservative
Balanced
Portfolio
Account
14,264,510.923
324,793.397
1,322,883.035
SAM
Conservative
Growth
Portfolio
Account
15,208,975.306
780,864.070
1,799,664.175
SAM
Flexible
Income
Portfolio
Account
12,859,951.330
596,648.922
1,782,682.610
SAM
Strategic
Growth
Portfolio
Account
12,725,046.468
448,189.583
406,373.000
For
Against
Abstain
391,391.375
550.934
0.000
For
Against
Abstain
391,391.375
550.934
0.000
235
4a.
Approval
of
an
amended
fundamental
investment
restriction
relating
to
commodities
for
the
Account.
4c.
Approval
of
an
amended
fundamental
investment
restriction
relating
to
concentration
for
the
Account.
Special
Meeting
of
Shareholders
Principal
Variable
Contracts
Funds,
Inc.
–
Income
Account
Held
May
31,
2019
1.
Shareholders
of
the
Income
Account
voted
to
approve
a
Plan
of
Acquisition
providing
for
the
reorganization
of
the
Income
Account
(Class
1
and
Class
2)
into
the
Core
Plus
Bond
Account
(Class
1).
Special
Meeting
of
Shareholders
Principal
Variable
Contracts
Funds,
Inc.
–
LargeCap
Growth
Account
Held
May
31,
2019
1.
Shareholders
of
the
LargeCap
Growth
Account
voted
to
approve
a
Plan
of
Acquisition
providing
for
the
reorganization
of
the
LargeCap
Growth
Account
(Class
1
and
Class
2)
into
the
LargeCap
Growth
Account
I
(Class
1).
Special
Meeting
of
Shareholders
Principal
Variable
Contracts
Funds,
Inc.
–
Multi-Asset
Income
Account
Held
May
31,
2019
1.
Shareholders
of
the
Multi-Asset
Income
Account
voted
to
approve
a
Plan
of
Acquisition
providing
for
the
reorganization
of
the
Multi-
Asset
Income
Account
(Class
1
and
Class
2)
into
the
SAM
(Strategic
Asset
Management)
Flexible
Income
Account
(Class
1
and
Class
2).
For
Against
Abstain
391,391.375
550.934
0.000
For
Against
Abstain
391,391.375
550.934
0.000
For
Against
Abstain
16,582,642.000
644,139.000
324,703.000
For
Against
Abstain
3,426,926.000
26,601.000
46,551.000
For
Against
Abstain
37,345.000
0.000
0.000
principalfunds.com
This
report
must
be
preceded
or
accompanied
by
a
current
prospectus
for
the
Principal
Variable
Contracts
Funds,
Inc.
Principal
Funds
are
distributed
by
Principal
Funds
Distributor,
Inc.
©
2019
Principal
Financial
Services,
Inc.
|
MM1291-24
|
06/2019
|
873095-062021
Principal
Variable
Contracts
Funds,
Inc.
Semiannual
Report
June
30,
2019
Beginning
on
January
1,
2021,
as
permitted
by
regulations
adopted
by
the
Securities
and
Exchange
Commission,
you
may
not
be
receiving
paper
copies
of
the
Fund’s
shareholder
reports
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the
insurance
company
that
offers
your
contract
unless
you
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copies
from
the
insurance
company
or
from
your
financial
intermediary.
Instead,
the
shareholder
reports
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available
on
a
website,
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insurance
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you
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Table
of
Contents
Not
FDIC
or
NCUA
insured
May
lose
value
•
Not
a
deposit
•
No
bank
or
credit
union
guarantee
Not
insured
by
any
Federal
government
agency
Financial
Statements
1
Notes
to
Financial
Statements
19
Schedules
of
Investments
37
Financial
Highlights
(Includes
performance
information)
94
Shareholder
Expense
Example
110
Supplemental
Information
112
Statements
of
Assets
and
Liabilities
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
1
See
accompanying
notes.
Amounts
in
thousands,
except
per
share
amounts
Core
Plus
Bond
Account
Diversified
International
Account
Equity
Income
Account
Investment
in
securities--at
cost
..........................................................
$
320,094‌
$
221,877‌
$
449,808‌
Investment
in
affiliated
securities--at
cost
................................................
$
14,059‌
$
1,286‌
$
11,977‌
Foreign
currency--at
cost
..................................................................
$
–‌
$
210‌
$
–‌
Assets
Investment
in
securities--at
value 
..........................................................
$
326,580‌
(a)
$
257,827‌
(a)
$
718,277‌
Investment
in
affiliated
securities--at
value
.................................................
14,059‌
1,286‌
11,977‌
Foreign
currency--at
value
..................................................................
–‌
210‌
–‌
Cash
.........................................................................................
63‌
5‌
116‌
Deposits
with
counterparty
..................................................................
9‌
–‌
–‌
Receivables:
Dividends
and
interest
.................................................................
2,200‌
1,242‌
1,523‌
Fund
shares
sold
.......................................................................
170‌
52‌
119‌
Investment
securities
sold
.............................................................
6,058‌
4,018‌
1,634‌
Variation
margin
on
futures
...........................................................
1‌
–‌
–‌
Total
Assets  
349,140‌
264,640‌
733,646‌
Liabilities
Accrued
management
and
investment
advisory
fees
........................................
115‌
178‌
278‌
Accrued
distribution
fees
....................................................................
–‌
–‌
6‌
Accrued
directors'
expenses
.................................................................
2‌
2‌
5‌
Accrued
other
expenses
.....................................................................
10‌
37‌
47‌
Deposits
from
counterparty
.................................................................
–‌
–‌
–‌
Payables:
Fund
shares
redeemed
.................................................................
69‌
327‌
320‌
Investment
securities
purchased
......................................................
26,360‌
4,289‌
285‌
Variation
margin
on
futures
...........................................................
4‌
–‌
–‌
Collateral
obligation
on
securities
loaned,
at
value
.........................................
758‌
392‌
–‌
Total
Liabilities  
27,318‌
5,225‌
941‌
Net
Assets
Applicable
to
Outstanding
Shares
............................................
$
321,822‌
$
259,415‌
$
732,705‌
Net
Assets
Consist
of:
Capital
shares
and
additional
paid-in-capital
...............................................
$
308,307‌
$
205,822‌
$
405,857‌
Total
distributable
earnings
(accumulated
loss)
.............................................
13,515‌
53,593‌
326,848‌
Total
Net
Assets 
$
321,822‌
$
259,415‌
$
732,705‌
Capital
Stock
(par
value:
$.01
per
share):
Shares
authorized
............................................................................
400,000‌
300,000‌
200,000‌
Net
Asset
Value
Per
Share:
Class
1
:
Net
Assets
..........................................................................
$
321,822‌
$
259,415‌
$
704,246‌
Shares
issued
and
outstanding
........................................................
27,788‌
16,476‌
26,316‌
Net
Asset
Value
per
share
.............................................................
$
11.58‌
$
15.74‌
$
26.76‌
Class
2
:
Net
Assets
..........................................................................
N/A‌
N/A‌
$
28,459‌
Shares
issued
and
outstanding
........................................................
1,074‌
Net
Asset
Value
per
share
.............................................................
$
26.49‌
(a)
Includes
fair
market
value
of
securities
loaned,
see
"Securities
Lending"
in
Notes
to
Financial
Statements.
Statements
of
Assets
and
Liabilities
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
2
See
accompanying
notes.
Amounts
in
thousands,
except
per
share
amounts
Government
&
High
Quality
Bond
Account
LargeCap
Growth
Account
I
MidCap
Account
Investment
in
securities--at
cost
..........................................................
$
217,829‌
$
325,707‌
$
382,610‌
Investment
in
affiliated
securities--at
cost
................................................
$
6,172‌
$
8,691‌
$
1,415‌
Assets
Investment
in
securities--at
value 
..........................................................
$
217,943‌
$
466,814‌
(a)
$
594,510‌
(a)
Investment
in
affiliated
securities--at
value
.................................................
6,172‌
8,731‌
1,415‌
Cash
.........................................................................................
41‌
70‌
230‌
Deposits
with
counterparty
..................................................................
–‌
126‌
–‌
Receivables:
Dividends
and
interest
.................................................................
898‌
150‌
288‌
Expense
reimbursement
from
Manager
...............................................
–‌
8‌
–‌
Fund
shares
sold
.......................................................................
10‌
40‌
24‌
Investment
securities
sold
.............................................................
–‌
9,739‌
–‌
Variation
margin
on
futures
...........................................................
–‌
12‌
–‌
Total
Assets  
225,064‌
485,690‌
596,467‌
Liabilities
Accrued
management
and
investment
advisory
fees
........................................
92‌
254‌
257‌
Accrued
distribution
fees
....................................................................
–‌
–‌
4‌
Accrued
directors'
expenses
.................................................................
2‌
2‌
4‌
Accrued
other
expenses
.....................................................................
5‌
29‌
11‌
Deposits
from
counterparty
.................................................................
–‌
–‌
–‌
Payables:
Fund
shares
redeemed
.................................................................
50‌
306‌
348‌
Investment
securities
purchased
......................................................
–‌
9,768‌
355‌
Collateral
obligation
on
securities
loaned,
at
value
.........................................
–‌
1,143‌
1,183‌
Total
Liabilities  
149‌
11,502‌
2,162‌
Net
Assets
Applicable
to
Outstanding
Shares
............................................
$
224,915‌
$
474,188‌
$
594,305‌
Net
Assets
Consist
of:
Capital
shares
and
additional
paid-in-capital
...............................................
$
224,881‌
$
281,858‌
$
268,766‌
Total
distributable
earnings
(accumulated
loss)
.............................................
34‌
192,330‌
325,539‌
Total
Net
Assets 
$
224,915‌
$
474,188‌
$
594,305‌
Capital
Stock
(par
value:
$.01
per
share):
Shares
authorized
............................................................................
200,000‌
200,000‌
105,000‌
Net
Asset
Value
Per
Share:
Class
1
:
Net
Assets
..........................................................................
$
224,915‌
$
474,188‌
$
574,637‌
Shares
issued
and
outstanding
........................................................
22,740‌
12,882‌
9,084‌
Net
Asset
Value
per
share
.............................................................
$
9.89‌
$
36.81‌
$
63.26‌
Class
2
:
Net
Assets
..........................................................................
N/A‌
N/A‌
$
19,668‌
Shares
issued
and
outstanding
........................................................
313‌
Net
Asset
Value
per
share
.............................................................
$
62.73‌
(a)
Includes
fair
market
value
of
securities
loaned,
see
"Securities
Lending"
in
Notes
to
Financial
Statements.
Statements
of
Assets
and
Liabilities
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
3
See
accompanying
notes.
Amounts
in
thousands,
except
per
share
amounts
Principal
Capital
Appreciation
Account
Real
Estate
Securities
Account
SAM
Balanced
Portfolio
Investment
in
securities--at
cost
..........................................................
$
91,590‌
$
116,761‌
$
–‌
Investment
in
affiliated
securities--at
cost
................................................
$
2,357‌
$
1,129‌
$
588,848‌
Assets
Investment
in
securities--at
value 
..........................................................
$
150,762‌
$
153,482‌
$
–‌
Investment
in
affiliated
securities--at
value
.................................................
2,357‌
1,129‌
702,340‌
Receivables:
Dividends
and
interest
.................................................................
157‌
464‌
364‌
Expense
reimbursement
from
Manager
...............................................
–‌
2‌
–‌
Fund
shares
sold
.......................................................................
22‌
254‌
92‌
Investment
securities
sold
.............................................................
294‌
550‌
138‌
Total
Assets  
153,592‌
155,881‌
702,934‌
Liabilities
Accrued
management
and
investment
advisory
fees
........................................
79‌
114‌
131‌
Accrued
distribution
fees
....................................................................
2‌
1‌
24‌
Accrued
directors'
expenses
.................................................................
2‌
1‌
4‌
Accrued
other
expenses
.....................................................................
9‌
8‌
6‌
Deposits
from
counterparty
.................................................................
–‌
–‌
–‌
Payables:
Fund
shares
redeemed
.................................................................
65‌
21‌
230‌
Investment
securities
purchased
......................................................
520‌
605‌
360‌
Total
Liabilities  
677‌
750‌
755‌
Net
Assets
Applicable
to
Outstanding
Shares
............................................
$
152,915‌
$
155,131‌
$
702,179‌
Net
Assets
Consist
of:
Capital
shares
and
additional
paid-in-capital
...............................................
$
71,126‌
$
97,639‌
$
536,902‌
Total
distributable
earnings
(accumulated
loss)
.............................................
81,789‌
57,492‌
165,277‌
Total
Net
Assets 
$
152,915‌
$
155,131‌
$
702,179‌
Capital
Stock
(par
value:
$.01
per
share):
Shares
authorized
............................................................................
200,000‌
300,000‌
300,000‌
Net
Asset
Value
Per
Share:
Class
1
:
Net
Assets
..........................................................................
$
142,163‌
$
150,767‌
$
585,362‌
Shares
issued
and
outstanding
........................................................
4,605‌
6,969‌
37,383‌
Net
Asset
Value
per
share
.............................................................
$
30.87‌
$
21.63‌
$
15.66‌
Class
2
:
Net
Assets
..........................................................................
$
10,752‌
$
4,364‌
$
116,817‌
Shares
issued
and
outstanding
........................................................
353‌
201‌
7,558‌
Net
Asset
Value
per
share
.............................................................
$
30.49‌
$
21.68‌
$
15.46‌
Statements
of
Assets
and
Liabilities
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
4
See
accompanying
notes.
Amounts
in
thousands,
except
per
share
amounts
SAM
Conservative
Balanced
Portfolio
SAM
Conservative
Growth
Portfolio
SAM
Flexible
Income
Portfolio
Investment
in
affiliated
securities--at
cost
................................................
$
168,125‌
$
283,596‌
$
173,248‌
Assets
Investment
in
affiliated
securities--at
value
.................................................
$
187,792‌
$
337,921‌
$
186,615‌
Receivables:
Dividends
and
interest
.................................................................
148‌
74‌
202‌
Fund
shares
sold
.......................................................................
9‌
54‌
43‌
Investment
securities
sold
.............................................................
46‌
202‌
–‌
Total
Assets  
187,995‌
338,251‌
186,860‌
Liabilities
Accrued
management
and
investment
advisory
fees
........................................
35‌
63‌
35‌
Accrued
distribution
fees
....................................................................
5‌
27‌
5‌
Accrued
directors'
expenses
.................................................................
2‌
2‌
2‌
Accrued
other
expenses
.....................................................................
6‌
6‌
6‌
Deposits
from
counterparty
.................................................................
–‌
–‌
–‌
Payables:
Fund
shares
redeemed
.................................................................
54‌
256‌
27‌
Investment
securities
purchased
......................................................
147‌
72‌
215‌
Total
Liabilities  
249‌
426‌
290‌
Net
Assets
Applicable
to
Outstanding
Shares
............................................
$
187,746‌
$
337,825‌
$
186,570‌
Net
Assets
Consist
of:
Capital
shares
and
additional
paid-in-capital
...............................................
$
157,839‌
$
261,913‌
$
158,821‌
Total
distributable
earnings
(accumulated
loss)
.............................................
29,907‌
75,912‌
27,749‌
Total
Net
Assets 
$
187,746‌
$
337,825‌
$
186,570‌
Capital
Stock
(par
value:
$.01
per
share):
Shares
authorized
............................................................................
200,000‌
200,000‌
200,000‌
Net
Asset
Value
Per
Share:
Class
1
:
Net
Assets
..........................................................................
$
164,894‌
$
205,481‌
$
158,437‌
Shares
issued
and
outstanding
........................................................
13,547‌
10,407‌
12,307‌
Net
Asset
Value
per
share
.............................................................
$
12.17‌
$
19.75‌
$
12.87‌
Class
2
:
Net
Assets
..........................................................................
$
22,852‌
$
132,344‌
$
28,133‌
Shares
issued
and
outstanding
........................................................
1,903‌
6,808‌
2,209‌
Net
Asset
Value
per
share
.............................................................
$
12.01‌
$
19.44‌
$
12.73‌
Statements
of
Assets
and
Liabilities
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
5
See
accompanying
notes.
Amounts
in
thousands,
except
per
share
amounts
SAM
Strategic
Growth
Portfolio
Short-Term
Income
Account
SmallCap
Account
Investment
in
securities--at
cost
..........................................................
$
–‌
$
128,131‌
$
164,947‌
Investment
in
affiliated
securities--at
cost
................................................
$
255,461‌
$
2,045‌
$
3,510‌
Assets
Investment
in
securities--at
value 
..........................................................
$
–‌
$
129,586‌
(a)
$
186,540‌
(a)
Investment
in
affiliated
securities--at
value
.................................................
292,324‌
2,045‌
3,510‌
Cash
.........................................................................................
–‌
2‌
–‌
Receivables:
Dividends
and
interest
.................................................................
12‌
639‌
238‌
Expense
reimbursement
from
Manager
...............................................
–‌
1‌
–‌
Fund
shares
sold
.......................................................................
15‌
92‌
2‌
Investment
securities
sold
.............................................................
129‌
–‌
8,140‌
Total
Assets  
292,480‌
132,365‌
198,430‌
Liabilities
Accrued
management
and
investment
advisory
fees
........................................
54‌
53‌
127‌
Accrued
distribution
fees
....................................................................
27‌
–‌
1‌
Accrued
directors'
expenses
.................................................................
2‌
2‌
3‌
Accrued
other
expenses
.....................................................................
6‌
5‌
9‌
Deposits
from
counterparty
.................................................................
–‌
–‌
–‌
Payables:
Fund
shares
redeemed
.................................................................
144‌
17‌
53‌
Investment
securities
purchased
......................................................
–‌
767‌
3,407‌
Collateral
obligation
on
securities
loaned,
at
value
.........................................
–‌
525‌
2,897‌
Total
Liabilities  
233‌
1,369‌
6,497‌
Net
Assets
Applicable
to
Outstanding
Shares
............................................
$
292,247‌
$
130,996‌
$
191,933‌
Net
Assets
Consist
of:
Capital
shares
and
additional
paid-in-capital
...............................................
$
236,541‌
$
125,314‌
$
135,657‌
Total
distributable
earnings
(accumulated
loss)
.............................................
55,706‌
5,682‌
56,276‌
Total
Net
Assets 
$
292,247‌
$
130,996‌
$
191,933‌
Capital
Stock
(par
value:
$.01
per
share):
Shares
authorized
............................................................................
200,000‌
400,000‌
200,000‌
Net
Asset
Value
Per
Share:
Class
1
:
Net
Assets
..........................................................................
$
158,172‌
$
130,996‌
$
185,964‌
Shares
issued
and
outstanding
........................................................
7,366‌
50,389‌
10,877‌
Net
Asset
Value
per
share
.............................................................
$
21.48‌
$
2.60‌
$
17.10‌
Class
2
:
Net
Assets
..........................................................................
$
134,075‌
N/A‌
$
5,969‌
Shares
issued
and
outstanding
........................................................
6,333‌
351‌
Net
Asset
Value
per
share
.............................................................
$
21.16‌
$
17.01‌
(a)
Includes
fair
market
value
of
securities
loaned,
see
"Securities
Lending"
in
Notes
to
Financial
Statements.
Statements
of
Operations
Principal
Variable
Contracts
Funds,
Inc.
Six
Months
Ended
June
30,
2019
(unaudited)
6
See
accompanying
notes.
Amounts
in
thousands
Core
Plus
Bond
Account
(a)
Diversified
International
Account
(a)
Equity
Income
Account
Net
Investment
Income
(Loss)
Income:
Dividends
from
affiliated
securities
.......................................................
$
148‌
$
23‌
$
107‌
Dividends
..................................................................................
3‌
4,908‌
10,069‌
Withholding
tax
...........................................................................
–‌
(
432‌
)
(
352‌
)
Interest
.....................................................................................
5,173‌
–‌
–‌
Total
Income
5,324‌
4,499‌
9,824‌
Expenses:
Management
and
investment
advisory
fees
...............................................
658‌
1,072‌
1,661‌
Distribution
fees
-
Class
2
.................................................................
1‌
3‌
34‌
Chief
compliance
officer
expenses
........................................................
–‌
–‌
1‌
Custodian
fees
.............................................................................
12‌
61‌
11‌
Directors'
expenses
........................................................................
4‌
4‌
8‌
Professional fees
..........................................................................
2‌
20‌
4‌
Shareholder
meeting
expense
............................................................
3‌
3‌
4‌
Total
Expenses
680‌
1,163‌
1,723‌
Net
Investment
Income
(Loss)
4,644‌
3,336‌
8,101‌
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments,
Foreign
currencies,
Futures
and
Swap
agreements
Net
realized
gain
(loss)
from:
Investment
transactions
...................................................................
(
55‌
)
(
755‌
)
13,984‌
Foreign
currency
transactions
.............................................................
–‌
(
55‌
)
–‌
Futures
contracts
..........................................................................
532‌
–‌
–‌
Swap
agreements
..........................................................................
(
320‌
)
–‌
–‌
Change
in
unrealized
appreciation/depreciation
of:
Investments
................................................................................
16,169‌
31,908‌
88,731‌
Futures
contracts
..........................................................................
(
216‌
)
–‌
–‌
Swap
agreements
..........................................................................
(
207‌
)
–‌
–‌
Translation
of
assets
and
liabilities
in
foreign
currencies
.................................
–‌
6‌
–‌
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments,
Foreign
currencies,
Futures
and
Swap
agreements
15,903‌
31,104‌
102,715‌
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
$
20,547‌
$
34,440‌
$
110,816‌
(a)
Class
2
shares
discontinued
operations
and
converted
to
Class
1
shares
on
June
14,
2019.
Statements
of
Operations
Principal
Variable
Contracts
Funds,
Inc.
Six
Months
Ended
June
30,
2019
(unaudited)
7
See
accompanying
notes.
Amounts
in
thousands
Government
&
High
Quality
Bond
Account
(a)
LargeCap
Growth
Account
I
(a)
MidCap
Account
Net
Investment
Income
(Loss)
Income:
Dividends
from
affiliated
securities
.......................................................
$
24‌
$
83‌
$
9‌
Dividends
..................................................................................
–‌
1,250‌
2,352‌
Withholding
tax
...........................................................................
–‌
(
8‌
)
(
76‌
)
Interest
.....................................................................................
3,231‌
1‌
–‌
Securities
lending
-
net
....................................................................
–‌
–‌
1‌
Total
Income
3,255‌
1,326‌
2,286‌
Expenses:
Management
and
investment
advisory
fees
...............................................
549‌
1,296‌
1,493‌
Distribution
fees
-
Class
2
.................................................................
3‌
5‌
23‌
Custodian
fees
.............................................................................
2‌
12‌
3‌
Directors'
expenses
........................................................................
3‌
4‌
6‌
Professional fees
..........................................................................
2‌
2‌
2‌
Shareholder
meeting
expense
............................................................
4‌
2‌
3‌
Other
expenses
............................................................................
–‌
–‌
2‌
Total
Gross
Expenses
563‌
1,321‌
1,532‌
Less:
Reimbursement
from
Manager
.....................................................
–‌
28‌
–‌
Less:
Reimbursement
from
Manager
-
Class
1
...........................................
–‌
2‌
–‌
Total
Net
Expenses
563‌
1,291‌
1,532‌
Net
Investment
Income
(Loss)
2,692‌
35‌
754‌
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
and
Futures
Net
realized
gain
(loss)
from:
Investment
transactions
...................................................................
(
327‌
)
17,001‌
31,164‌
Futures
contracts
..........................................................................
–‌
287‌
–‌
Change
in
unrealized
appreciation/depreciation
of:
Investments
................................................................................
7,246‌
52,343‌
112,743‌
Investments
in
affiliated
securities
........................................................
–‌
69‌
–‌
Futures
contracts
..........................................................................
–‌
19‌
–‌
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
and
Futures
6,919‌
69,719‌
143,907‌
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
$
9,611‌
$
69,754‌
$
144,661‌
(a)
Class
2
shares
discontinued
operations
and
converted
to
Class
1
shares
on
June
14,
2019.
Statements
of
Operations
Principal
Variable
Contracts
Funds,
Inc.
Six
Months
Ended
June
30,
2019
(unaudited)
8
See
accompanying
notes.
Amounts
in
thousands
Principal
Capital
Appreciation
Account
Real
Estate
Securities
Account
SAM
Balanced
Portfolio
Net
Investment
Income
(Loss)
Income:
Dividends
from
affiliated
securities
.......................................................
$
35‌
$
10‌
$
3,072‌
Dividends
..................................................................................
1,408‌
1,826‌
–‌
Withholding
tax
...........................................................................
(
8‌
)
–‌
–‌
Total
Income
1,435‌
1,836‌
3,072‌
Expenses:
Management
and
investment
advisory
fees
...............................................
463‌
671‌
795‌
Distribution
fees
-
Class
2
.................................................................
12‌
5‌
139‌
Custodian
fees
.............................................................................
1‌
1‌
–‌
Directors'
expenses
........................................................................
3‌
2‌
8‌
Professional fees
..........................................................................
2‌
2‌
2‌
Shareholder
meeting
expense
............................................................
3‌
2‌
3‌
Total
Gross
Expenses
484‌
683‌
947‌
Less:
Reimbursement
from
Manager
.....................................................
–‌
15‌
–‌
Total
Net
Expenses
484‌
668‌
947‌
Net
Investment
Income
(Loss)
951‌
1,168‌
2,125‌
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
Net
realized
gain
(loss)
from:
Investment
transactions
...................................................................
6,779‌
6,459‌
9‌
Investment
transactions
in
affiliated
securities
............................................
–‌
–‌
10,568‌
Change
in
unrealized
appreciation/depreciation
of:
Investments
................................................................................
18,244‌
20,952‌
–‌
Investments
in
affiliated
securities
........................................................
–‌
–‌
69,341‌
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
25,023‌
27,411‌
79,918‌
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
$
25,974‌
$
28,579‌
$
82,043‌
Statements
of
Operations
Principal
Variable
Contracts
Funds,
Inc.
Six
Months
Ended
June
30,
2019
(unaudited)
9
See
accompanying
notes.
Amounts
in
thousands
SAM
Conservative
Balanced
Portfolio
SAM
Conservative
Growth
Portfolio
SAM
Flexible
Income
Portfolio
Net
Investment
Income
(Loss)
Income:
Dividends
from
affiliated
securities
.......................................................
$
1,192‌
$
874‌
$
1,685‌
Total
Income
1,192‌
874‌
1,685‌
Expenses:
Management
and
investment
advisory
fees
...............................................
211‌
378‌
214‌
Distribution
fees
-
Class
2
.................................................................
27‌
159‌
33‌
Directors'
expenses
........................................................................
3‌
4‌
3‌
Professional fees
..........................................................................
2‌
2‌
2‌
Shareholder
meeting
expense
............................................................
3‌
3‌
3‌
Total
Expenses
246‌
546‌
255‌
Net
Investment
Income
(Loss)
946‌
328‌
1,430‌
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
Net
realized
gain
(loss)
from:
Investment
transactions
in
affiliated
securities
............................................
2,426‌
1,030‌
3,643‌
Change
in
unrealized
appreciation/depreciation
of:
Investments
in
affiliated
securities
........................................................
14,337‌
44,096‌
10,221‌
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
16,763‌
45,126‌
13,864‌
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
$
17,709‌
$
45,454‌
$
15,294‌
Statements
of
Operations
Principal
Variable
Contracts
Funds,
Inc.
Six
Months
Ended
June
30,
2019
(unaudited)
10
See
accompanying
notes.
Amounts
in
thousands
SAM
Strategic
Growth
Portfolio
Short-Term
Income
Account
(a)
SmallCap
Account
Net
Investment
Income
(Loss)
Income:
Dividends
from
affiliated
securities
.......................................................
$
785‌
$
32‌
$
39‌
Dividends
..................................................................................
–‌
–‌
1,280‌
Withholding
tax
...........................................................................
–‌
–‌
(
1‌
)
Interest
.....................................................................................
–‌
2,054‌
–‌
Securities
lending
-
net
....................................................................
–‌
–‌
2‌
Total
Income
785‌
2,086‌
1,320‌
Expenses:
Management
and
investment
advisory
fees
...............................................
321‌
355‌
778‌
Distribution
fees
-
Class
2
.................................................................
158‌
4‌
7‌
Custodian
fees
.............................................................................
–‌
5‌
2‌
Directors'
expenses
........................................................................
4‌
3‌
3‌
Professional fees
..........................................................................
2‌
2‌
2‌
Shareholder
meeting
expense
............................................................
3‌
3‌
3‌
Total
Gross
Expenses
488‌
372‌
795‌
Less:
Reimbursement
from
Manager
-
Class
1
...........................................
–‌
7‌
–‌
Total
Net
Expenses
488‌
365‌
795‌
Net
Investment
Income
(Loss)
297‌
1,721‌
525‌
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
Net
realized
gain
(loss)
from:
Investment
transactions
...................................................................
–‌
151‌
4,921‌
Investment
transactions
in
affiliated
securities
............................................
416‌
–‌
–‌
Change
in
unrealized
appreciation/depreciation
of:
Investments
................................................................................
–‌
2,637‌
27,257‌
Investments
in
affiliated
securities
........................................................
42,232‌
–‌
–‌
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
42,648‌
2,788‌
32,178‌
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
$
42,945‌
$
4,509‌
$
32,703‌
(a)
Class
2
shares
discontinued
operations
and
converted
to
Class
1
shares
on
June
14,
2019.
Statements
of
Changes
in
Net
Assets
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
11
See
accompanying
notes.
Amounts
in
thousands
Core
Plus
Bond
Account
Diversified
International
Account
Period
Ended
June
30,
2019
(a)
Year
Ended
December
31,
2018
Period
Ended
June
30,
2019
(a)
Year
Ended
December
31,
2018
Operations
Net
investment
income
(loss)
............................................................................
$
4,644‌
$
9,405‌
$
3,336‌
$
5,381‌
Net
realized
gain
(loss)
on
Investments
,
Foreign
currencies
,
Futures
and
Swap
agreements
...........
157‌
(
4,080‌
)
(
810‌
)
12,743‌
Change
in
unrealized
appreciation/depreciation
of
Investments
,
Futures
and
Swap
agreements
.......
15,746‌
(
9,640‌
)
31,914‌
(
68,991‌
)
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
20,547‌
(
4,315‌
)
34,440‌
(
50,867‌
)
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments:
Class
1
..............................................................................................
–‌
(
9,608‌
)
–‌
(
5,962‌
)
Class
2
..............................................................................................
–‌
(
28‌
)
–‌
(
45‌
)
Total
Dividends
and
Distributions
–‌
(
9,636‌
)
–‌
(
6,007‌
)
Capital
Share
Transactions
Shares
sold:
Class
1
..............................................................................................
30,868‌
45,295‌
10,164‌
25,975‌
Class
2
..............................................................................................
678‌
485‌
282‌
757‌
Shares
issued
in
acquisition:
Class
1
..............................................................................................
13,863‌
N/A‌
N/A‌
N/A‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
9,608‌
–‌
5,962‌
Class
2
..............................................................................................
–‌
28‌
–‌
45‌
Shares
redeemed:
Class
1
..............................................................................................
(
24,157‌
)
(
53,893‌
)
(
18,567‌
)
(
34,901‌
)
Class
2
..............................................................................................
(
1,497‌
)
(
306‌
)
(
2,536‌
)
(
175‌
)
Net
Increase
(Decrease)
in
Net
Assets
from
Capital
Share
Transactions
19,755‌
1,217‌
(
10,657‌
)
(
2,337‌
)
Total
Increase
(Decrease)
40,302‌
(
12,734‌
)
23,783‌
(
59,211‌
)
Net
Assets
Beginning
of
period
......................................................................................
281,520‌
294,254‌
235,632‌
294,843‌
End
of
period
............................................................................................
$
321,822‌
$
281,520‌
$
259,415‌
$
235,632‌
Increase
(Decrease)
in
Capital
Shares
Shares
sold:
Class
1
..............................................................................................
2,765‌
4,117‌
674‌
1,569‌
Class
2
..............................................................................................
61‌
45‌
19‌
45‌
Shares
issued
in
acquisition:
Class
1
..............................................................................................
1,210‌
N/A‌
N/A‌
N/A‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
891‌
–‌
379‌
Class
2
..............................................................................................
–‌
3‌
–‌
3‌
Shares
redeemed:
Class
1
..............................................................................................
(
2,171‌
)
(
4,899‌
)
(
1,229‌
)
(
2,138‌
)
Class
2
..............................................................................................
(
132‌
)
(
29‌
)
(
165‌
)
(
11‌
)
Net
Increase
(Decrease)
..................................................................................
1,733‌
128‌
(
701‌
)
(
153‌
)
(a)
Class
2
shares
discontinued
operations
and
converted
to
Class
1
shares
on
June
14,
2019.
Statements
of
Changes
in
Net
Assets
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
12
See
accompanying
notes.
Amounts
in
thousands
Equity
Income
Account
Government
&
High
Quality
Bond
Account
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Period
Ended
June
30,
2019
(a)
Year
Ended
December
31,
2018
Operations
Net
investment
income
(loss)
............................................................................
$
8,101‌
$
15,325‌
$
2,692‌
$
5,612‌
Net
realized
gain
(loss)
on
Investments
..................................................................
13,984‌
26,702‌
(
327‌
)
(
4,919‌
)
Change
in
unrealized
appreciation/depreciation
of
Investments
.........................................
88,731‌
(
78,310‌
)
7,246‌
1,170‌
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
110,816‌
(
36,283‌
)
9,611‌
1,863‌
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments:
Class
1
..............................................................................................
–‌
(
45,062‌
)
–‌
(
8,577‌
)
Class
2
..............................................................................................
–‌
(
2,105‌
)
–‌
(
94‌
)
Total
Dividends
and
Distributions
–‌
(
47,167‌
)
–‌
(
8,671‌
)
Capital
Share
Transactions
Shares
sold:
Class
1
..............................................................................................
11,109‌
58,053‌
15,320‌
23,115‌
Class
2
..............................................................................................
960‌
2,423‌
109‌
587‌
Shares
issued
in
acquisition:
Class
1
..............................................................................................
N/A‌
138,113‌
N/A‌
N/A‌
Class
2
..............................................................................................
N/A‌
728‌
N/A‌
N/A‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
45,062‌
–‌
8,577‌
Class
2
..............................................................................................
–‌
2,105‌
–‌
94‌
Shares
redeemed:
Class
1
..............................................................................................
(
49,639‌
)
(
97,723‌
)
(
19,529‌
)
(
47,180‌
)
Class
2
..............................................................................................
(
1,925‌
)
(
4,025‌
)
(
2,835‌
)
(
287‌
)
Net
Increase
(Decrease)
in
Net
Assets
from
Capital
Share
Transactions
(
39,495‌
)
144,736‌
(
6,935‌
)
(
15,094‌
)
Total
Increase
(Decrease)
71,321‌
61,286‌
2,676‌
(
21,902‌
)
Net
Assets
Beginning
of
period
......................................................................................
661,384‌
600,098‌
222,239‌
244,141‌
End
of
period
............................................................................................
$
732,705‌
$
661,384‌
$
224,915‌
$
222,239‌
Increase
(Decrease)
in
Capital
Shares
Shares
sold:
Class
1
..............................................................................................
446‌
2,255‌
1,580‌
2,427‌
Class
2
..............................................................................................
38‌
94‌
11‌
62‌
Shares
issued
in
acquisition:
Class
1
..............................................................................................
N/A‌
5,656‌
N/A‌
N/A‌
Class
2
..............................................................................................
N/A‌
30‌
N/A‌
N/A‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
1,759‌
–‌
922‌
Class
2
..............................................................................................
–‌
83‌
–‌
10‌
Shares
redeemed:
Class
1
..............................................................................................
(
1,959‌
)
(
3,796‌
)
(
2,028‌
)
(
4,946‌
)
Class
2
..............................................................................................
(
76‌
)
(
157‌
)
(
289‌
)
(
30‌
)
Net
Increase
(Decrease)
..................................................................................
(
1,551‌
)
5,924‌
(
726‌
)
(
1,555‌
)
(a)
Class
2
shares
discontinued
operations
and
converted
to
Class
1
shares
on
June
14,
2019.
Statements
of
Changes
in
Net
Assets
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
13
See
accompanying
notes.
Amounts
in
thousands
LargeCap
Growth
Account
I
MidCap
Account
Period
Ended
June
30,
2019
(a)
Year
Ended
December
31,
2018
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Operations
Net
investment
income
(loss)
............................................................................
$
35‌
$
253‌
$
754‌
$
1,610‌
Net
realized
gain
(loss)
on
Investments
and
Futures
.....................................................
17,288‌
39,058‌
31,164‌
91,599‌
Change
in
unrealized
appreciation/depreciation
of
Investments
and
Futures
...........................
52,431‌
(
27,387‌
)
112,743‌
(
126,070‌
)
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
69,754‌
11,924‌
144,661‌
(
32,861‌
)
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments:
Class
1
..............................................................................................
–‌
(
23,659‌
)
–‌
(
71,720‌
)
Class
2
..............................................................................................
–‌
(
197‌
)
–‌
(
2,314‌
)
Total
Dividends
and
Distributions
–‌
(
23,856‌
)
–‌
(
74,034‌
)
Capital
Share
Transactions
Shares
sold:
Class
1
..............................................................................................
30,197‌
40,614‌
7,134‌
14,347‌
Class
2
..............................................................................................
1,475‌
2,908‌
82‌
318‌
Shares
issued
in
acquisition:
Class
1
..............................................................................................
112,835‌
N/A‌
N/A‌
N/A‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
23,659‌
–‌
71,720‌
Class
2
..............................................................................................
–‌
197‌
–‌
2,314‌
Shares
redeemed:
Class
1
..............................................................................................
(
34,094‌
)
(
58,731‌
)
(
46,851‌
)
(
83,342‌
)
Class
2
..............................................................................................
(
5,277‌
)
(
266‌
)
(
796‌
)
(
1,283‌
)
Net
Increase
(Decrease)
in
Net
Assets
from
Capital
Share
Transactions
105,136‌
8,381‌
(
40,431‌
)
4,074‌
Total
Increase
(Decrease)
174,890‌
(
3,551‌
)
104,230‌
(
102,821‌
)
Net
Assets
Beginning
of
period
......................................................................................
299,298‌
302,849‌
490,075‌
592,896‌
End
of
period
............................................................................................
$
474,188‌
$
299,298‌
$
594,305‌
$
490,075‌
Increase
(Decrease)
in
Capital
Shares
Shares
sold:
Class
1
..............................................................................................
873‌
1,205‌
122‌
254‌
Class
2
..............................................................................................
42‌
86‌
1‌
6‌
Shares
issued
in
acquisition:
Class
1
..............................................................................................
3,150‌
N/A‌
N/A‌
N/A‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
687‌
–‌
1,273‌
Class
2
..............................................................................................
–‌
6‌
–‌
41‌
Shares
redeemed:
Class
1
..............................................................................................
(
979‌
)
(
1,745‌
)
(
812‌
)
(
1,432‌
)
Class
2
..............................................................................................
(
148‌
)
(
9‌
)
(
14‌
)
(
22‌
)
Net
Increase
(Decrease)
..................................................................................
2,938‌
230‌
(
703‌
)
120‌
(a)
Class
2
shares
discontinued
operations
and
converted
to
Class
1
shares
on
June
14,
2019.
Statements
of
Changes
in
Net
Assets
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
14
See
accompanying
notes.
Amounts
in
thousands
Principal
Capital
Appreciation
Account
Real
Estate
Securities
Account
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Operations
Net
investment
income
(loss)
............................................................................
$
951‌
$
2,365‌
$
1,168‌
$
2,786‌
Net
realized
gain
(loss)
on
Investments
..................................................................
6,779‌
15,443‌
6,459‌
10,389‌
Change
in
unrealized
appreciation/depreciation
of
Investments
.........................................
18,244‌
(
21,803‌
)
20,952‌
(
19,411‌
)
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
25,974‌
(
3,995‌
)
28,579‌
(
6,236‌
)
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments:
Class
1
..............................................................................................
–‌
(
9,374‌
)
–‌
(
14,247‌
)
Class
2
..............................................................................................
–‌
(
592‌
)
–‌
(
340‌
)
Total
Dividends
and
Distributions
–‌
(
9,966‌
)
–‌
(
14,587‌
)
Capital
Share
Transactions
Shares
sold:
Class
1
..............................................................................................
1,159‌
3,936‌
7,504‌
11,906‌
Class
2
..............................................................................................
1,114‌
1,928‌
561‌
1,190‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
9,374‌
–‌
14,247‌
Class
2
..............................................................................................
–‌
592‌
–‌
340‌
Shares
redeemed:
Class
1
..............................................................................................
(
11,825‌
)
(
26,219‌
)
(
18,005‌
)
(
26,990‌
)
Class
2
..............................................................................................
(
811‌
)
(
1,344‌
)
(
430‌
)
(
393‌
)
Net
Increase
(Decrease)
in
Net
Assets
from
Capital
Share
Transactions
(
10,363‌
)
(
11,733‌
)
(
10,370‌
)
300‌
Total
Increase
(Decrease)
15,611‌
(
25,694‌
)
18,209‌
(
20,523‌
)
Net
Assets
Beginning
of
period
......................................................................................
137,304‌
162,998‌
136,922‌
157,445‌
End
of
period
............................................................................................
$
152,915‌
$
137,304‌
$
155,131‌
$
136,922‌
Increase
(Decrease)
in
Capital
Shares
Shares
sold:
Class
1
..............................................................................................
41‌
140‌
365‌
611‌
Class
2
..............................................................................................
39‌
66‌
26‌
61‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
320‌
–‌
737‌
Class
2
..............................................................................................
–‌
21‌
–‌
17‌
Shares
redeemed:
Class
1
..............................................................................................
(
406‌
)
(
902‌
)
(
867‌
)
(
1,376‌
)
Class
2
..............................................................................................
(
28‌
)
(
47‌
)
(
20‌
)
(
20‌
)
Net
Increase
(Decrease)
..................................................................................
(
354‌
)
(
402‌
)
(
496‌
)
30‌
Statements
of
Changes
in
Net
Assets
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
15
See
accompanying
notes.
Amounts
in
thousands
SAM
Balanced
Portfolio
SAM
Conservative
Balanced
Portfolio
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Operations
Net
investment
income
(loss)
............................................................................
$
2,125‌
$
16,876‌
$
946‌
$
5,257‌
Net
realized
gain
(loss)
on
Investments
..................................................................
10,577‌
26,614‌
2,426‌
4,053‌
Change
in
unrealized
appreciation/depreciation
of
Investments
.........................................
69,341‌
(
78,727‌
)
14,337‌
(
15,820‌
)
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
82,043‌
(
35,237‌
)
17,709‌
(
6,510‌
)
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments:
Class
1
..............................................................................................
–‌
(
49,734‌
)
–‌
(
11,929‌
)
Class
2
..............................................................................................
–‌
(
8,765‌
)
–‌
(
1,454‌
)
Total
Dividends
and
Distributions
–‌
(
58,499‌
)
–‌
(
13,383‌
)
Capital
Share
Transactions
Shares
sold:
Class
1
..............................................................................................
6,410‌
18,427‌
7,399‌
12,728‌
Class
2
..............................................................................................
6,674‌
9,719‌
1,288‌
4,078‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
49,734‌
–‌
11,929‌
Class
2
..............................................................................................
–‌
8,765‌
–‌
1,454‌
Shares
redeemed:
Class
1
..............................................................................................
(
51,309‌
)
(
106,200‌
)
(
12,449‌
)
(
31,254‌
)
Class
2
..............................................................................................
(
6,852‌
)
(
10,034‌
)
(
947‌
)
(
3,360‌
)
Net
Increase
(Decrease)
in
Net
Assets
from
Capital
Share
Transactions
(
45,077‌
)
(
29,589‌
)
(
4,709‌
)
(
4,425‌
)
Total
Increase
(Decrease)
36,966‌
(
123,325‌
)
13,000‌
(
24,318‌
)
Net
Assets
Beginning
of
period
......................................................................................
665,213‌
788,538‌
174,746‌
199,064‌
End
of
period
............................................................................................
$
702,179‌
$
665,213‌
$
187,746‌
$
174,746‌
Increase
(Decrease)
in
Capital
Shares
Shares
sold:
Class
1
..............................................................................................
428‌
1,191‌
639‌
1,055‌
Class
2
..............................................................................................
448‌
630‌
110‌
345‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
3,318‌
–‌
1,026‌
Class
2
..............................................................................................
–‌
591‌
–‌
127‌
Shares
redeemed:
Class
1
..............................................................................................
(
3,410‌
)
(
6,846‌
)
(
1,061‌
)
(
2,587‌
)
Class
2
..............................................................................................
(
463‌
)
(
654‌
)
(
82‌
)
(
282‌
)
Net
Increase
(Decrease)
..................................................................................
(
2,997‌
)
(
1,770‌
)
(
394‌
)
(
316‌
)
Statements
of
Changes
in
Net
Assets
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
16
See
accompanying
notes.
Amounts
in
thousands
SAM
Conservative
Growth
Portfolio
SAM
Flexible
Income
Portfolio
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Operations
Net
investment
income
(loss)
............................................................................
$
328‌
$
5,906‌
$
1,430‌
$
6,420‌
Net
realized
gain
(loss)
on
Investments
..................................................................
1,030‌
15,591‌
3,643‌
5,776‌
Change
in
unrealized
appreciation/depreciation
of
Investments
.........................................
44,096‌
(
43,484‌
)
10,221‌
(
15,998‌
)
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
45,454‌
(
21,987‌
)
15,294‌
(
3,802‌
)
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments:
Class
1
..............................................................................................
–‌
(
16,069‌
)
–‌
(
11,234‌
)
Class
2
..............................................................................................
–‌
(
9,631‌
)
–‌
(
1,602‌
)
Total
Dividends
and
Distributions
–‌
(
25,700‌
)
–‌
(
12,836‌
)
Capital
Share
Transactions
Shares
sold:
Class
1
..............................................................................................
7,380‌
21,584‌
5,262‌
8,441‌
Class
2
..............................................................................................
5,118‌
9,393‌
1,910‌
7,676‌
Shares
issued
in
acquisition:
Class
1
..............................................................................................
N/A‌
N/A‌
346‌
N/A‌
Class
2
..............................................................................................
N/A‌
N/A‌
107‌
N/A‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
16,069‌
–‌
11,234‌
Class
2
..............................................................................................
–‌
9,631‌
–‌
1,602‌
Shares
redeemed:
Class
1
..............................................................................................
(
19,572‌
)
(
38,633‌
)
(
17,324‌
)
(
42,935‌
)
Class
2
..............................................................................................
(
8,516‌
)
(
9,529‌
)
(
1,700‌
)
(
4,450‌
)
Net
Increase
(Decrease)
in
Net
Assets
from
Capital
Share
Transactions
(
15,590‌
)
8,515‌
(
11,399‌
)
(
18,432‌
)
Total
Increase
(Decrease)
29,864‌
(
39,172‌
)
3,895‌
(
35,070‌
)
Net
Assets
Beginning
of
period
......................................................................................
307,961‌
347,133‌
182,675‌
217,745‌
End
of
period
............................................................................................
$
337,825‌
$
307,961‌
$
186,570‌
$
182,675‌
Increase
(Decrease)
in
Capital
Shares
Shares
sold:
Class
1
..............................................................................................
397‌
1,136‌
425‌
668‌
Class
2
..............................................................................................
277‌
491‌
155‌
613‌
Shares
issued
in
acquisition:
Class
1
..............................................................................................
N/A‌
N/A‌
27‌
N/A‌
Class
2
..............................................................................................
N/A‌
N/A‌
8‌
N/A‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
847‌
–‌
921‌
Class
2
..............................................................................................
–‌
514‌
–‌
132‌
Shares
redeemed:
Class
1
..............................................................................................
(
1,039‌
)
(
2,012‌
)
(
1,387‌
)
(
3,390‌
)
Class
2
..............................................................................................
(
462‌
)
(
494‌
)
(
139‌
)
(
353‌
)
Net
Increase
(Decrease)
..................................................................................
(
827‌
)
482‌
(
911‌
)
(
1,409‌
)
Statements
of
Changes
in
Net
Assets
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
17
See
accompanying
notes.
Amounts
in
thousands
SAM
Strategic
Growth
Portfolio
Short-Term
Income
Account
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Period
Ended
June
30,
2019
(a)
Year
Ended
December
31,
2018
Operations
Net
investment
income
(loss)
............................................................................
$
297‌
$
4,190‌
$
1,721‌
$
3,396‌
Net
realized
gain
(loss)
on
Investments
..................................................................
416‌
16,667‌
151‌
(
914‌
)
Change
in
unrealized
appreciation/depreciation
of
Investments
.........................................
42,232‌
(
45,097‌
)
2,637‌
(
759‌
)
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
42,945‌
(
24,240‌
)
4,509‌
1,723‌
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments:
Class
1
..............................................................................................
–‌
(
12,164‌
)
–‌
(
3,250‌
)
Class
2
..............................................................................................
–‌
(
9,663‌
)
–‌
(
71‌
)
Total
Dividends
and
Distributions
–‌
(
21,827‌
)
–‌
(
3,321‌
)
Capital
Share
Transactions
Shares
sold:
Class
1
..............................................................................................
5,800‌
15,633‌
19,538‌
29,747‌
Class
2
..............................................................................................
4,869‌
9,438‌
1,116‌
2,906‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
12,164‌
–‌
3,250‌
Class
2
..............................................................................................
–‌
9,663‌
–‌
71‌
Shares
redeemed:
Class
1
..............................................................................................
(
11,463‌
)
(
26,105‌
)
(
42,024‌
)
(
40,805‌
)
Class
2
..............................................................................................
(
5,053‌
)
(
10,070‌
)
(
5,301‌
)
(
1,159‌
)
Net
Increase
(Decrease)
in
Net
Assets
from
Capital
Share
Transactions
(
5,847‌
)
10,723‌
(
26,671‌
)
(
5,990‌
)
Total
Increase
(Decrease)
37,098‌
(
35,344‌
)
(
22,162‌
)
(
7,588‌
)
Net
Assets
Beginning
of
period
......................................................................................
255,149‌
290,493‌
153,158‌
160,746‌
End
of
period
............................................................................................
$
292,247‌
$
255,149‌
$
130,996‌
$
153,158‌
Increase
(Decrease)
in
Capital
Shares
Shares
sold:
Class
1
..............................................................................................
284‌
737‌
7,617‌
11,770‌
Class
2
..............................................................................................
242‌
448‌
437‌
1,153‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
..............................................................................................
–‌
589‌
–‌
1,300‌
Class
2
..............................................................................................
–‌
474‌
–‌
28‌
Shares
redeemed:
Class
1
..............................................................................................
(
559‌
)
(
1,230‌
)
(
16,434‌
)
(
16,117‌
)
Class
2
..............................................................................................
(
251‌
)
(
480‌
)
(
2,065‌
)
(
460‌
)
Net
Increase
(Decrease)
..................................................................................
(
284‌
)
538‌
(
10,445‌
)
(
2,326‌
)
(a)
Class
2
shares
discontinued
operations
and
converted
to
Class
1
shares
on
June
14,
2019.
Statements
of
Changes
in
Net
Assets
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
18
See
accompanying
notes.
Amounts
in
thousands
SmallCap
Account
Period
Ended
June
30,
2019
Year
Ended
December
31,
2018
Operations
Net
investment
income
(loss)
...................................................................................................................
$
525‌
$
394‌
Net
realized
gain
(loss)
on
Investments
.........................................................................................................
4,921‌
28,868‌
Change
in
unrealized
appreciation/depreciation
of
Investments
................................................................................
27,257‌
(
48,626‌
)
Net
Increase
(Decrease)
in
Net
Assets
Resulting
from
Operations
32,703‌
(
19,364‌
)
Dividends
and
Distributions
to
Shareholders
From
net
investment
income
and
net
realized
gain
on
investments:
Class
1
.....................................................................................................................................
–‌
(
13,133‌
)
Class
2
.....................................................................................................................................
–‌
(
366‌
)
Total
Dividends
and
Distributions
–‌
(
13,499‌
)
Capital
Share
Transactions
Shares
sold:
Class
1
.....................................................................................................................................
4,457‌
12,588‌
Class
2
.....................................................................................................................................
328‌
866‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
.....................................................................................................................................
–‌
13,133‌
Class
2
.....................................................................................................................................
–‌
366‌
Shares
redeemed:
Class
1
.....................................................................................................................................
(
13,486‌
)
(
39,263‌
)
Class
2
.....................................................................................................................................
(
186‌
)
(
750‌
)
Net
Increase
(Decrease)
in
Net
Assets
from
Capital
Share
Transactions
(
8,887‌
)
(
13,060‌
)
Total
Increase
(Decrease)
23,816‌
(
45,923‌
)
Net
Assets
Beginning
of
period
.............................................................................................................................
168,117‌
214,040‌
End
of
period
...................................................................................................................................
$
191,933‌
$
168,117‌
Increase
(Decrease)
in
Capital
Shares
Shares
sold:
Class
1
.....................................................................................................................................
273‌
732‌
Class
2
.....................................................................................................................................
20‌
50‌
Shares
issued
in
reinvestment
of
dividends
and
distributions:
Class
1
.....................................................................................................................................
–‌
716‌
Class
2
.....................................................................................................................................
–‌
20‌
Shares
redeemed:
Class
1
.....................................................................................................................................
(
815‌
)
(
2,233‌
)
Class
2
.....................................................................................................................................
(
11‌
)
(
43‌
)
Net
Increase
(Decrease)
.........................................................................................................................
(
533‌
)
(
758‌
)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
19
1.
Organization
Principal
Variable
Contracts
Funds,
Inc.
(the
"Fund")
is
registered
under
the
Investment
Company
Act
of
1940,
as
amended,
as
an
open-end
management
investment
company
and
operates
as
a
series
fund
in
the
mutual
fund
industry.
The
financial
statements
for
Core
Plus
Bond
Account,
Diversified
International
Account,
Equity
Income
Account,
Government
&
High
Quality
Bond
Account,
LargeCap
Growth
Account
I,
MidCap
Account,
Principal
Capital
Appreciation
Account,
Real
Estate
Securities
Account,
SAM
Balanced
Portfolio,
SAM
Conservative
Balanced
Portfolio,
SAM
Conservative
Growth
Portfolio,
SAM
Flexible
Income
Portfolio,
SAM
Strategic
Growth
Portfolio,
Short-Term
Income
Account,
and
SmallCap
Account
(known
as
the
“Accounts”),
are
presented
herein.
Each
of
the
Accounts
is
an
investment
company
and
applies
specialized
accounting
and
reporting
under
Accounting
Standards
Codification
Topic
946,
Financial
Services
-
Investment
Companies
.
The
Accounts
have
not
provided
financial
support
and
are
not
contractually
required
to
provide
financial
support
to
any
investee.
Effective
October
12,
2018,
Equity
Income
Account
acquired
all
the
assets
and
assumed
all
the
liabilities
of
LargeCap
Value
Account
pursuant
to
a
plan
of
reorganization
approved
by
shareholders
October
1,
2018.
The
purpose
of
the
acquisition
was
to
combine
two
accounts
managed
by
Principal
Global
Investors,
LLC
(“the
Manager”)
with
similar
investment
objectives,
principal
policies,
and
risks.
The
acquisition
was
accomplished
by
a
tax-free
exchange
of
5,827,000
shares
from
LargeCap
Value
Account
for
5,686,000
shares
valued
at
$138,841,000
of
Equity
Income
Account
at
an
approximate
exchange
rate
of
.98
for
Class
1
and
.98
for
Class
2.
The
investment
securities
of
LargeCap
Value
Account,
with
a
fair
value
of
approximately
$136,333,000
and
a
cost
of
$141,343,000,
and
$2,514,000
cash
were
the
primary
assets
acquired
by
Equity
Income
Account
on
October
12,
2018.
For
financial
reporting
purposes,
assets
received
and
shares
issued
by
Equity
Income
Account
were
recorded
at
fair
value;
however,
the
cost
basis
of
the
investments
received
from
LargeCap
Value
Account
were
maintained
through
the
reorganization.
The
net
assets
of
LargeCap
Value
Account
and
Equity
Income
Account
immediately
prior
to
the
acquisition
in
accordance
with
U.S.
generally
accepted
accounting
principles
(“U.S.
GAAP”)
were
approximately
$138,841,000
($1,038,000
of
accumulated
realized
gain)
and
$580,109,000,
respectively.
The
aggregate
net
assets
of
Equity
Income
Account
immediately
following
the
acquisition
were
$718,950,000.
In
accordance
with
Sections
381-384
of
the
Internal
Revenue
Code,
a
portion
of
accumulated
realized
losses
may
be
subject
to
limitation.
Assuming
the
acquisition
had
been
completed
on
January
1,
2018,
the
beginning
of
the
fiscal
year
for
Equity
Income
Account,
Equity
Income
Account’s
pro
forma
results
of
operations
for
the
year
ended
December
31,
2018,
would
have
been
$17,543,000
of
net
investment
income,
$54,739,000
of
net
realized
and
unrealized
loss
on
investments,
and
$37,196,000
of
net
decrease
in
net
assets
resulting
from
operations.
Because
the
combined
investment
portfolios
have
been
managed
as
a
single
integrated
portfolio
since
the
acquisition
was
completed,
it
is
not
practicable
to
separate
the
amounts
of
revenue
and
earnings
of
LargeCap
Value
Account
that
have
been
included
in
Equity
Income
Account’s
statement
of
operations
since
October
12,
2018.
Effective
June
7,
2019,
Core
Plus
Bond
Account
acquired
all
the
assets
and
assumed
all
the
liabilities
of
Income
Account
pursuant
to
a
plan
of
reorganization
approved
by
shareholders
December
11,
2018.
The
purpose
of
the
acquisition
was
to
combine
two
accounts
managed
by
the
Manager
with
similar
investment
objectives,
principal
policies,
and
risks.
The
acquisition
was
accomplished
by
a
taxable
exchange
of
5,873,000
shares
from
Income
Account
for
1,210,000
shares
valued
at
$13,863,000
of
Core
Plus
Bond
Account
at
an
approximate
exchange
rate
of
.21
and
.21
for
Class
1
and
Class
2
shares,
respectively.
The
investment
securities
of
Income
Account,
with
a
fair
value
of
approximately
$13,145,000
and
a
cost
of
$12,607,000
and
$613,000
cash
were
the
primary
assets
acquired
by
Core
Plus
Bond
Account
on
June
7,
2019.
For
financial
reporting
purposes,
assets
received,
and
shares
issued
by
Core
Plus
Bond
Account
were
recorded
at
fair
value;
however,
the
cost
basis
of
the
investments
received
from
Income
Account
were
maintained
through
the
reorganization.
The
net
assets
of
Income
Account
and
Core
Plus
Bond
Account
immediately
prior
to
the
acquisition
in
accordance
with
U.S.
GAAP
were
approximately
$13,863,000
($4,875,000
of
accumulated
realized
gain)
and
$304,718,000,
respectively.
The
aggregate
net
assets
of
Core
Plus
Bond
Account
immediately
following
the
acquisition
were
$318,581,000.
In
accordance
with
Sections
381-384
of
the
Internal
Revenue
Code,
a
portion
of
accumulated
realized
losses
may
be
subject
to
limitation.
Assuming
the
acquisition
had
been
completed
on
January
1,
2019,
the
beginning
of
the
fiscal
year
for
Core
Plus
Bond
Account,
Core
Plus
Bond
Account’s
pro
forma
results
of
operations
for
the
period
ended
June
30,
2019,
would
have
been
$7,249,000
of
net
investment
income,
$20,829,000
of
net
realized
and
unrealized
gain
on
investments,
and
$28,078,000
of
net
increase
in
net
assets
resulting
from
operations.
Because
the
combined
investment
portfolios
have
been
managed
as
a
single
integrated
portfolio
since
the
acquisition
was
completed,
it
is
not
practicable
to
separate
the
amounts
of
revenue
and
earnings
of
Income
Account
that
have
been
included
in
Core
Plus
Bond
Account’s
statement
of
operations
since
June
7,
2019.
Effective
June
7,
2019,
LargeCap
Growth
Account
I
acquired
all
the
assets
and
assumed
all
the
liabilities
of
LargeCap
Growth
Account
pursuant
to
a
plan
of
reorganization
approved
by
shareholders
December
11,
2018.
The
purpose
of
the
acquisition
was
to
combine
two
accounts
managed
by
the
Manager
with
similar
investment
objectives,
principal
policies,
and
risks.
The
acquisition
was
accomplished
by
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
20
a
non-taxable
exchange
of
4,657,000
shares
from
LargeCap
Growth
Account
for
3,150,000
shares
valued
at
$112,835,000
of
LargeCap
Growth
Account
I
at
an
approximate
exchange
rate
of
.68
and
.67
for
Class
1
and
Class
2
shares,
respectively.
The
investment
securities
of
LargeCap
Growth
Account,
with
a
fair
value
of
approximately
$109,603,000
and
a
cost
of
$97,236,000
and
$3,176,000
cash
were
the
primary
assets
acquired
by
LargeCap
Growth
Account
I
on
June
7,
2019.
For
financial
reporting
purposes,
assets
received,
and
shares
issued
by
LargeCap
Growth
Account
I
were
recorded
at
fair
value;
however,
the
cost
basis
of
the
investments
received
from
LargeCap
Growth
Account
were
maintained
through
the
reorganization.
The
net
assets
of
LargeCap
Growth
Account
and
LargeCap
Growth
Account
I
immediately
prior
to
the
acquisition
in
accordance
with
U.S.
GAAP
were
approximately
$112,835,000
($650,000
of
accumulated
realized
gain)
and
$351,045,000,
respectively.
The
aggregate
net
assets
of
LargeCap
Growth
Account
I
immediately
following
the
acquisition
were
$463,880,000.
In
accordance
with
Sections
381-384
of
the
Internal
Revenue
Code,
a
portion
of
accumulated
realized
losses
may
be
subject
to
limitation.
Assuming
the
acquisition
had
been
completed
on
January
1,
2019,
the
beginning
of
the
fiscal
year
for
LargeCap
Growth
Account
I,
LargeCap
Growth
Account
I’s
pro
forma
results
of
operations
for
the
period
ended
June
30,
2019,
would
have
been
$91,000
of
net
investment
income,
$87,116,000
of
net
realized
and
unrealized
gain
on
investments,
and
$87,207,000
of
net
increase
in
net
assets
resulting
from
operations.
Because
the
combined
investment
portfolios
have
been
managed
as
a
single
integrated
portfolio
since
the
acquisition
was
completed,
it
is
not
practicable
to
separate
the
amounts
of
revenue
and
earnings
of
LargeCap
Growth
Account
that
have
been
included
in
LargeCap
Growth
Account
I’s
statement
of
operations
since
June
7,
2019.
Effective
June
7,
2019,
SAM
Flexible
Income
Account
acquired
all
the
assets
and
assumed
all
the
liabilities
of
Multi-Asset
Income
Account
pursuant
to
a
plan
of
reorganization
approved
by
shareholders
December
11,
2018.
The
purpose
of
the
acquisition
was
to
combine
two
accounts
managed
by
the
Manager
with
similar
investment
objectives,
principal
policies,
and
risks.
The
acquisition
was
accomplished
by
a
non-taxable
exchange
of
43,000
shares
from
Multi-Asset
Income
Account
for
35,000
shares
valued
at
$453,000
of
SAM
Flexible
Income
Account
at
an
approximate
exchange
rate
of
.83
and
.83
for
Class
1
and
Class
2
shares,
respectively.
$457,000
cash
was
the
primary
asset
acquired
by
SAM
Flexible
Income
Account
on
June
7,
2019.
The
net
assets
of
Multi-Asset
Income
Account
and
SAM
Flexible
Income
Account
immediately
prior
to
the
acquisition
in
accordance
with
U.S.
GAAP
were
approximately
$453,000
and
$185,924,000,
respectively.
The
aggregate
net
assets
of
SAM
Flexible
Income
Account
immediately
following
the
acquisition
were
$186,377,000.
In
accordance
with
Sections
381-384
of
the
Internal
Revenue
Code,
a
portion
of
accumulated
realized
losses
may
be
subject
to
limitation.
Assuming
the
acquisition
had
been
completed
on
January
1,
2019,
the
beginning
of
the
fiscal
year
for
SAM
Flexible
Income
Account,
SAM
Flexible
Income
Account’s
pro
forma
results
of
operations
for
the
period
ended
June
30,
2019,
would
have
been
$1,437,000
of
net
investment
income,
$13,889,000
of
net
realized
and
unrealized
gain
on
investments,
and
$15,326,000
of
net
increase
in
net
assets
resulting
from
operations.
Because
the
combined
investment
portfolios
have
been
managed
as
a
single
integrated
portfolio
since
the
acquisition
was
completed,
it
is
not
practicable
to
separate
the
amounts
of
revenue
and
earnings
of
Multi-Asset
Income
Account
that
have
been
included
in
SAM
Flexible
Income
Account’s
statement
of
operations
since
June
7,
2019.
Effective
June
14,
2019,
Class
2
shares
discontinued
and
converted
into
Class
1
shares
for
the
following
Accounts:
Both
classes
of
shares
for
each
of
the
Accounts
represent
interests
in
the
same
portfolio
of
investments
and
will
vote
together
as
a
single
class,
except
where
otherwise
required
by
law
or
as
determined
by
the
Fund’s
Board
of
Directors.
In
addition,
the
Board
of
Directors
declares
separate
dividends
on
each
class
of
shares.
2.
Significant
Accounting
Policies
The
preparation
of
financial
statements
in
conformity
with
U.S. GAAP
requires
management
to
make
estimates
and
assumptions
that
affect
the
reported
amounts
of
assets
and
liabilities
and
disclosure
of
contingent
assets
and
liabilities
at
the
date
of
the
financial
statements
and
the
reported
amounts
of
revenues
and
expenses
during
the
reporting
period.
Actual
results
could
differ
from
those
estimates.
The
following
summarizes
the
significant
accounting
policies
of
the
Accounts:
Security
Valuation.
Certain
of
the
Accounts,
including
SAM
Balanced
Portfolio,
SAM
Conservative
Balanced
Portfolio,
SAM
Conservative
Growth
Portfolio,
SAM
Flexible
Income
Portfolio,
SAM
Strategic
Growth
Portfolio
(collectively,
the
“SAM
Portfolios”)
invest
in
other
series
of
the
Fund
and
in
class
R-6
and
Institutional
shares
of
series
of
Principal
Funds,
Inc.
which
are
valued
at
the
closing
net
asset
value
per
share
of
each
respective
fund
on
the
day
of
valuation.
In
addition,
certain
of
the
Accounts
invest
in
Principal
Exchange-Traded
Funds
and
Core
Plus
Bond
Account
LargeCap
Growth
Account
I
Diversified
International
Account
Short-Term
Account
Government
&
High
Quality
Bond
Account
1.
Organization
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
21
other
publicly
traded
investment
funds,
which
are
valued
at
the
close
of
the
exchange.
The
shares
of
the
other
series
of
the
Fund,
Principal
Funds,
Inc.,
Principal
Exchange-Traded
Funds,
and
other
publicly
traded
investment
funds
are
referred
to
as
the
“Underlying
Funds”.
The
Accounts
(with
the
exception
of
the
SAM
Portfolios)
value
securities
for
which
market
quotations
are
readily
available
at
fair
value,
which
is
determined
using
the
last
reported
sale
price.
If
no
sales
are
reported,
as
is
regularly
the
case
for
some
securities
traded
over-the-
counter,
securities
are
valued
using
the
last
reported
bid
price
or
an
evaluated
bid
price
provided
by
a
pricing
service.
Pricing
services
use
modeling
techniques
that
incorporate
security
characteristics
such
as
current
quotations
by
broker/dealers,
coupon,
maturity,
quality,
type
of
issue,
trading
characteristics,
other
yield
and
risk
factors,
and
other
market
conditions
to
determine
an
evaluated
bid
price
or,
in
the
case
of
certain
credit
default
swaps,
a
mean
price
provided
by
a
pricing
service.
When
reliable
market
quotations
are
not
considered
to
be
readily
available,
which
may
be
the
case,
for
example,
with
respect
to
restricted
securities,
certain
debt
securities,
preferred
stocks,
and
foreign
securities,
the
investments
are
valued
at
their
fair
value
as
determined
in
good
faith
by
the
Manager
under
procedures
established
and
periodically
reviewed
by
the
Fund’s
Board
of
Directors.
The
value
of
foreign
securities
used
in
computing
the
net
asset
value
per
share
is
generally
determined
as
of
the
close
of
the
foreign
exchange
where
the
security
is
principally
traded.
Events
that
occur
after
the
close
of
the
applicable
foreign
market
or
exchange
but
prior
to
the
calculation
of
the
Accounts’
net
asset
values
are
reflected
in
the
Accounts’
net
asset
values
and
these
securities
are
valued
at
fair
value
as
determined
in
good
faith
by
the
Manager
under
procedures
established
and
periodically
reviewed
by
the
Fund’s
Board
of
Directors.
Many
factors,
provided
by
independent
pricing
services,
are
reviewed
in
the
course
of
making
a
good
faith
determination
of
a
security’s
fair
value,
including,
but
not
limited
to,
price
movements
in
American
depository
receipts
(“ADRs”),
futures
contracts,
industry
indices,
general
indices,
and
foreign
currencies.
To
the
extent
the
Accounts
invest
in
foreign
securities
listed
on
foreign
exchanges
which
trade
on
days
on
which
the
Accounts
do
not
determine
net
asset
values,
for
example,
weekends
and
other
customary
national
U.S.
holidays,
the
Accounts’
net
asset
values
could
be
significantly
affected
on
days
when
shareholders
cannot
purchase
or
redeem
shares.
Certain
securities
issued
by
companies
in
emerging
market
countries
may
have
more
than
one
quoted
valuation
at
any
given
point
in
time,
sometimes
referred
to
as
a
"local"
price
and
a
"premium"
price.
The
premium
price
is
often
a
negotiated
price,
which
may
not
consistently
represent
a
price
at
which
a
specific
transaction
can
be
effected.
It
is
the
policy
of
the
Accounts
to
value
such
securities
at
prices
at
which
it
is
expected
those
shares
may
be
sold,
and
the
Manager
or
any
sub-advisor
is
authorized
to
make
such
determinations
subject
to
such
oversight
by
the
Fund’s
Board
of
Directors
as
may
occasionally
be
necessary.
Currency
Translation.
Foreign
holdings
are
translated
to
U.S.
dollars
using
the
exchange
rate
at
the
daily
close
of
the
New
York
Stock
Exchange.
The
identified
cost
of
the
Accounts’
holdings
is
translated
at
approximate
rates
prevailing
when
acquired.
Income
and
expense
amounts
are
translated
at
approximate
rates
prevailing
when
received
or
paid,
with
daily
accruals
of
such
amounts
reported
at
approximate
rates
prevailing
at
the
date
of
valuation.
Since
the
carrying
amount
of
the
foreign
securities
is
determined
based
on
the
exchange
rate
and
market
values
at
the
close
of
the
period,
it
is
not
practicable
to
isolate
that
portion
of
the
results
of
operations
arising
as
a
result
of
changes
in
the
foreign
exchange
rates
from
the
fluctuations
arising
from
changes
in
the
market
prices
of
securities
during
the
period.
Net
realized
foreign
exchange
gains
or
losses
arise
from
sales
of
foreign
currencies,
currency
gains
or
losses
realized
between
trade
and
settlement
dates
on
security
transactions,
and
the
difference
between
the
amount
of
dividends,
interest
income,
interest
expense,
and
foreign
withholding
taxes
recorded
on
the
books
and
the
U.S.
dollar
equivalent
of
the
amounts
actually
received
or
paid.
Net
unrealized
appreciation
(depreciation)
on
translation
of
assets
and
liabilities
in
foreign
currencies
arise
from
changes
in
the
exchange
rate
relating
to
assets
and
liabilities,
other
than
investments
in
securities,
purchased
and
held
in
non-U.S.
denominated
currencies.
The
following accounts
held
securities
denominated
in
foreign
currencies
that
exceeded
5%
of
net
assets
of
the
respective
account as
of
June
30,
2019:
Income
and
Investment
Transactions.
The Accounts
record
investment
transactions
on
a
trade
date
basis.
Trade
date
for
senior
floating
rate
interests
purchased
in
the
primary
market
is
considered
the
date
on
which
the
loan
allocations
are
determined.
Trade
date
for
senior
floating
rate
interests
purchased
in
the
secondary
market
is
the
date
on
which
the
transaction
is
entered
into
.
The
identified
cost
basis
has
been
used
in
determining
the
net
realized
gain
or
loss
from
investment
transactions
and
unrealized
appreciation
or
depreciation
of
investments.
The
Diversified
International
Account
Euro
18.8%
Japanese
Yen
14.8%
British
Pound
Sterling
11.8%
Swiss
Franc
8.9%
Canadian
Dollar
8.4%
2.
Significant
Accounting
Policies
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
22
Accounts
record
dividend
income
on
the
ex-dividend
date,
except
dividend
income
from
foreign
securities
whereby
the
ex-dividend
date
has
passed;
such
dividends
are
recorded
as
soon
as
the Accounts
are
informed
of
the
ex-dividend
date.
Interest
income
is
recognized
on
an
accrual
basis.
Discounts
and
premiums
on
securities
are
accreted/amortized,
respectively,
on
the
level
yield
method
over
the
expected
lives
of
the
respective
securities.
The Accounts
allocate
all
income
and
realized
and
unrealized
gains
or
losses
on
a
daily
basis
to
each
class
of
shares
based
upon
the
relative
proportion
of
the
value
of
shares
outstanding
of
each
class. 
Expenses.
Expenses
directly
attributed
to
a
particular account
are
charged
to
that
account.
Other
expenses
not
directly
attributed
to
a
particular account
are
apportioned
among
the
registered
investment
companies
managed
by
the
Manager.
Management
fees
are
allocated
daily
to
each
class
of
shares
based
upon
the
relative
proportion
of
the
value
of
shares
outstanding
of
each
class.
Expenses
specifically
attributable
to
a
particular
class
are
charged
directly
to
such
class
and
are
included
separately
in
the
statements
of
operations.
In
addition
to
the
expenses
the Accounts
bear
directly,
each
of
the Accounts
may
indirectly
bear
a
pro
rata
share
of
the
fees
and
expenses
of
the
Underlying
Funds
in
which
they
invest.
Because
the
Underlying
Funds
have
varied
expense
levels
and
each
of
the Accounts
may
own
different
proportions
of
Underlying
Funds
at
different
times,
the
amount
of
expense
incurred
indirectly
by
each Account
will
vary.
Expenses
included
in
the
statements
of
operations
of
the Accounts
reflect
the
expenses
of
each
Account
and do
not
include
any
expenses
associated
with
the
Underlying
Funds. 
Distributions
to
Shareholders.
Dividends
and
distributions
to
shareholders
are
recorded
on
the
ex-dividend
date.
Dividends
and
distributions
to
shareholders
from
net
investment
income
and
net
realized
gain
from
investments
and
foreign
currency
transactions
are
determined
in
accordance
with
federal
tax
regulations,
which
may
differ
from
U.S.
GAAP.
These
differences
are
primarily
due
to
differing
treatments
for
amortization
of
premiums
and
discounts,
net
operating
losses,
foreign
currency
transactions,
options
and
futures
contracts,
certain
defaulted
securities,
sales
of
Passive
Foreign
Investment
Companies,
losses
deferred
due
to
wash
sales,
mortgage-backed
securities,
certain
preferred
securities,
swap
agreements,
short
sales,
partnership
investments,
Real
Estate
Investment
Trusts
(“REITs”),
utilization
of
earnings
and
profits
distributed
to
shareholders
on
redemption
of
shares,
and
expiring
capital
loss
carry
forwards.
Permanent
book
and
tax
basis
differences
are
reclassified
within
the
capital
accounts
based
on
federal
tax-basis
treatment;
temporary
differences
do
not
require
reclassification.
To
the
extent
dividends
and
distributions
exceed
current
and
accumulated
earnings
and
profits
for
federal
income
tax
purposes,
they
are
reported
as
return
of
capital
distributions.
Distributions
from
REITs
may
be
characterized
as
ordinary
income,
net
capital
gain,
or
a
return
of
capital
to
the
account.
The
proper
characterization
of
REIT
distributions
is
generally
not
known
until
after
the
end
of
each
calendar
year.
As
such,
estimates
are
used
in
reporting
the
character
of
income
and
distributions
for
financial
statement
purposes.
Real
Estate
Securities
Account
receives
substantial
distributions
from
holdings
in
REITs.
Federal
Income
Taxes.
No
provision
for
federal
income
taxes
is
considered
necessary
because
each
of
the Accounts
intends
to
qualify
as
a
“regulated
investment
company”
under
the
Internal
Revenue
Code
and
intends
to
distribute
each
year
substantially
all
of
its
net
investment
income
and
realized
capital
gains
to
shareholders.
Management
evaluates
tax
positions
taken
or
expected
to
be
taken
in
the
course
of
preparing
the
Accounts’
tax
returns
to
determine
whether
it
is
“more
likely
than
not”
that
each
tax
position
would
be
sustained
upon
examination
by
a
taxing
authority
based
on
the
technical
merits
of
the
position.
Tax
positions
not
deemed
to
meet
the
more
likely
than
not
threshold
would
be
recorded
as
a
tax
benefit
or
expense
in
the
current
year.
During
the period
ended
June
30,
2019,
the Accounts
did
not
record
any
such
tax
benefit
or
expense
in
the
accompanying
financial
statements.
The
statute
of
limitations
remains
open
for
the
fiscal
years
from
2015-2017.
Foreign
Taxes.
Certain
of
the Accounts
are
subject
to
foreign
income
taxes
imposed
by
certain
countries
in
which
they
invest.
Foreign
income
taxes
are
accrued
by
the Accounts
as
a
reduction
of
income.
These
amounts
are
shown
as
withholding
tax
on
the
statements
of
operations.
In
consideration
of
recent
decisions
rendered
by
European
courts,
certain
of
the Accounts
have
filed
additional
tax
reclaims
for
taxes
withheld
in
prior
years.
Due
to
the
uncertainty
and
timing
of
these
reclaims,
a
corresponding
receivable
will
only
be
recorded
when
both
the
amount
is
known
and
there
are
no
significant
uncertainties
regarding
collectability.
Gains
realized
upon
the
disposition
of
certain
foreign
securities
held
by
certain
of
the
Accounts
may
be
subject
to
capital
gains
tax,
payable
prior
to
repatriation
of
sale
proceeds.
The
tax
is
computed
on
certain
net
realized
gains
and,
if
any,
is
shown
on
the
statements
of
operations.
Realized
losses
in
excess
of
gains
may
be
carried
forward
to
offset
future
gains.
In
addition,
the
Accounts
accrue
an
estimated
deferred
tax
liability
for
future
gains
on
certain
foreign
securities.
Any
accrued
tax
liability
is
shown
on
the
statements
of
assets
and
liabilities.
At
June
30,
2019,
none
of
the
Accounts
had
a
deferred
tax
liability.
2.
Significant
Accounting
Policies
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
23
Recent
Accounting
Pronouncements.
Effective
August
17,
2018,
the
U.S.
Securities
and
Exchange
Commission
(“SEC”)
approved
a
final
rule,
Disclosure
Update
and
Simplification
.
The
SEC
adopted
amendments
to
certain
disclosures
that
have
become
redundant
or
superseded
in
light
of
other
SEC
disclosure
requirements,
U.S.
GAAP
or
changes
in
the
information
environment.
As
of December
31,
2018,
the
Accounts
have adopted
the
new
amendments.
In
August
2018,
the
Financial
Accounting
Standards
Board
issued
Accounting
Standards
Update
("ASU")
No.
2018-13,
Fair
Value
Measurement
(Topic
820):
Disclosure
Framework
-
Changes
to
the
Disclosure
Requirements
for
Fair
Value
Measurement
,
which
amends
and
eliminates
certain
disclosure
requirements
for
fair
value
as
part
of
its
framework
project.
The
ASU
is
effective
for
annual
and
interim
periods
beginning
after
December
15,
2019.
The
early
adoption
of
the
removal
or
modification
of
disclosures
and
delay
of
adoption
of
the
additional
disclosures
is
permitted.
As
of December
31,
2018,
the Accounts
have
adopted
the
removal
and
modification
of
disclosures.
In
March
2017,
the
Financial
Accounting
Standards
Board
issued
ASU
No.
2017-08
Premium
Amortization
on
Purchased
Callable
Debt
Securities,
which
amends
the
accounting
standards
to
shorten
the
amortization
period
of
certain
purchased
callable
debt
securities
to
the
earliest
call
date.
The
ASU
is
effective
for
annual
and
interim
periods
beginning
after
December
15,
2018.
The
Accounts have
adopted
the
new
amendments
as
of
January
1,
2019. 
3.
Operating
Policies
Borrowings.
Pursuant
to
an
exemptive
order
issued
by
the
SEC,
the
Accounts and
other
registered
investment
companies
managed
by
the
Manager
may
participate
in
an
interfund
lending
facility
(“Facility”).
The
Facility
allows
the Accounts
to
borrow
money
from
or
loan
money
to
the
other
participants.
Loans
under
the
Facility
are
made
to
handle
unusual
and/or
unanticipated
short-term
cash
requirements.
Interest
paid
and
received
on
borrowings
is
the
average
of
the
current
repurchase
agreement
rate
and
the
bank
loan
rate
(the
higher
of
(
i
)
the
Federal
Funds
Rate
or
(ii)
the
One
Month
London
Interbank
Offered Rate
("LIBOR")
rate
plus
1.00%).
The
interest
income
received
is
included
in
interest
income
on
the
statements
of
operations.
The
interest
expense
associated
with
these
borrowings
is
included
in
other
expenses
on
the
statements
of
operations.
There
were
no
outstanding
borrowings
as
of
the
period
ending
June
30,
2019
.
During
the period
ended
June
30,
2019, Accounts
lending
to
the
Facility
were
as
follows
(amounts
in
thousands):
During
the period
ended
June
30,
2019, Accounts
borrowing
from
the
Facility
were
as
follows
(amounts
in
thousands): 
In
addition,
the
Accounts
participate
with
other
registered
investment
companies
managed
by
the
Manager
in
an
unsecured
joint
line
of
credit
with
a
bank
which
allows
the
participants
to
borrow
up
to
$100
million,
collectively.
Borrowings
are
made
solely
to
facilitate
the
handling
of
unusual
and/or
unanticipated
short-term
cash
requirements.
Interest
is
charged
to
each
participant,
based
on
its
borrowings,
at
a
rate
equal
to
the
higher
of
the
Federal
Funds
Rate
or
the
One
Month
LIBOR
rate
plus
1.00%.
Additionally,
a
commitment
fee
is
charged
at
an
annual
rate
of
.15%
on
the
amount
of
the
line
of
credit
which
is
allocated
to
each
participating
fund
based
on
average
net
assets.
The
interest
expense
associated
with
these
borrowings
is
included
in
other
expenses
on
the
statements
of
operations.
The
Accounts
did
not
borrow
against
the
line
of
credit
for
the
period
ended
June
30,
2019
.
Contingent
Convertible
Securities.
Core
Plus
Bond Account
invests in
contingent
convertible
securities
(“CoCos”).
CoCos
are
hybrid
debt
Average
Daily
Amount
Loaned
Weighted
Average
Annual
Interest
Rate
Core
Plus
Bond
Account
$53
2.95%
Diversified
International
Account
4
3.00
Equity
Income
Account
2
2.97
Government
&
High
Quality
Bond
Account
12
3.00
LargeCap
Growth
Account
I
17
2.96
Principal
Capital
Appreciation
Account
11
2.97
Real
Estate
Securities
Account
3
2.94
Short-Term
Income
Account
6
2.99
SmallCap
Account
13
2.96
Average
Daily
Amount
Borrowed
Weighted
Average
Annual
Interest
Rate
Diversified
International
Account
$2
2.97%
Government
&
High
Quality
Bond
Account
2
3.00
MidCap
Account
87
3.00
Real
Estate
Securities
Account
6
2.94
Short-Term
Income
Account
9
3.02
2.
Significant
Accounting
Policies
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
24
securities
that
may
convert
into
equity
or
have
their
principal
written
down
upon
the
occurrence
of
certain
“triggers.”
Although
a
contingent
convertible
security’s
equity
conversion
and
principal
write-down
features
are
tailored
to
the
particular
issuing
banking
institution
and
its
regulatory
requirements,
triggers
are
generally
linked
to
regulatory
capital
thresholds
or
regulatory
actions
calling
into
question
such
institution’s
continued
viability
as
a
going-concern.
CoCos
may
have
no
stated
maturity
and
fully
discretionary
coupons,
which
means
coupon
payments
can
be
canceled
at
the
issuing
banking
institution’s
discretion
or
at
the
request
of
the
relevant
regulatory
authority
without
causing
a
default.
To
provide
the
appropriate
regulatory
capital
treatment,
CoCos
are
usually
issued
in
the
form
of
subordinated
debt
instruments
that
rank
junior
to
the
claims
of
holders
of
more
senior
obligations
in
the
event
of
the
issuer’s
liquidation.
If
CoCos
are
converted
into
equity
securities
due
to
a
trigger
event,
holders
will
be
further
subordinated.
The
future
value
of
CoCos
is
unpredictable
and
is
influenced
by
many
factors
including,
without
limitation:
the
creditworthiness
of
the
issuer
and/or
fluctuations
in
such
issuer’s
applicable
capital
ratios;
supply
and
demand
for
CoCos;
general
market
conditions
and
available
liquidity;
and
economic,
financial
and
political
events
that
affect
the
issuer,
its
particular
market
or
the
financial
markets
in
general.
Due
to
these
features,
CoCos
may
have
substantially
greater
risk
than
other
securities
in
times
of
financial
stress.
Because
of
the
uncertainty
regarding
whether
a
conversion
event
will
occur,
it
may
be
difficult
to
predict
when,
if
at
all,
a
contingent
convertible
security
will
be
converted
to
equity,
and
an
account may
suffer
losses
as
a
result.
If
the
trigger
level
is
breached,
the
issuer’s
decision
to
write
down,
write
off
or
convert
a
contingent
convertible
security
may
result
in
the
account's
complete
loss
on
an
investment
in
CoCos
with
no
chance
of
recovery
even
if
the
issuer
remains
in
existence. 
Counterparties.
The
Accounts
may
be
exposed
to
counterparty
risk,
or
the
risk
that
another
party
with
which
the
Accounts
have
unsettled
or
open
transactions
will
fail
to
perform
on
their
commitment.
To
the
extent
that
unpaid
amounts
owed
to
the
Accounts
exceed
a
predetermined
threshold
agreed
to
with
the
counterparty,
such
counterparty
shall
advance
collateral
to
the
Accounts
in
the
form
of
cash
or
cash
equivalents
equal
in
value
to
the
unpaid
amount
owed
to
the
Accounts.
If
the
unpaid
amount
owed
to
the
Accounts
subsequently
decreases,
the
Accounts
would
be
required
to
return
all
or
a
portion
of
the
collateral.
Master
Netting
Agreements
may
also
help
limit
counterparty
risk
by
specifying
collateral
posting
arrangements
at
pre-arranged
exposure
levels.
Under
the
Master
Netting
Agreements,
collateral
is
routinely
transferred
if
the
total
net
exposure
to
certain
transactions
governed
under
the
relevant
master
netting
agreement
with
a
counterparty
exceeds
a
specified
threshold.
Collateral
information
relating
to
securities
on
loan
is
included
in
the
securities
lending
note
to
financial
statements.
The
financial
instruments
that
are
subject
to
Master
Netting
Agreements
or
similar
agreements
may
include
right
of
setoff
provisions.
Derivative
instruments
include
provisions
to
setoff
positions
covered
under
the
agreements
with
the
same
counterparties
and
provisions
to
setoff
positions
outside
of
the
agreements
with
the
same
counterparties
in
the
event
of
default
by
one
of
the
parties.
Derivative
instruments
also
include
collateral
provisions.
Collateral
received
and
pledged
are
generally
settled
daily
with
each
counterparty.
As
of
June
30,
2019,
no
Accounts
had
financial
assets
and
liabilities
subject
to
Master
Netting
Agreements
or
similar
agreements.
Deposits
with
Counterparty.
Cash
pledged
as
collateral
is
reflected
as
an
asset
on
the
statements
of
assets
and
liabilities
as
deposits
with
counterparty.
There
are
a
variety
of
security
types
which
require
varying
levels
of
pledged
collateral.
Customer
account
agreements
govern
cleared
derivatives
transactions
such
as
futures
contracts
and
certain
swap
agreements.
Such
transactions
require
posting
of
initial
margin
as
determined
by
each
relevant
clearing
agency
which
is
segregated
in
an
account
at
a
futures
commission
merchant
(“FCM”)
registered
with
the
Commodity
Futures
Trading
Commission.
International
Swaps
and
Derivatives
Association
(“ISDA”)
accounts
are
maintained
in
a
segregated
account
at
the
custodian
for
OTC
Derivatives.
Master
Securities
Forward
Transaction
Agreements
("MSFTA")
accounts
are
also
maintained
in
a
segregated
account
at
the
custodian
for
collateral
related
to
forward
currency
contracts
and
"to-be-announced"
("TBA")
securities.
Certain
of
the Accounts may
pledge
cash
to
a
broker
for
securities
sold
short.
As
of
June
30,
2019,
deposits
with
counterparty
were
as
follows
(amounts
in
thousands):
Futures
Contracts.
The Accounts
are
subject
to
equity
price
risk,
interest
rate
risk,
and
foreign
currency
exchange
rate
risk
in
the
normal
course
of
pursuing
their
investment
objectives.
The Accounts
(
with
the
exception
of
SAM
Portfolios)
may
enter
into
futures
contracts
to
hedge
against
changes
in
or
to
gain
exposure
to,
change
in
the
value
of
equities,
interest
rates
and
foreign
currencies.
Initial
margin
deposits
are
made
by
cash
deposits
or
segregation
of
specific
securities
as
may
be
required
by
the
exchange
on
which
the
transaction
was
conducted.
Pursuant
to
the
contracts,
an
account agrees
to
receive
from
or
pay
to
the
broker,
an
amount
of
cash
equal
to
the
daily
fluctuation
in
the
FCM
(Futures
and
Cleared
Swaps)
ISDA
(OTC
Derivatives)
MSFTA
(Forward
Currency
Contracts
and
TBA
Securities)
Shorts
Total
Deposits
with
Counterparty
Core
Plus
Bond
Account
$
—
$
1
$
8
$
—
$
9
LargeCap
Growth
Account
I
126
—
—
—
126
3.
Operating
Policies
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
25
value
of
the
contract.
Such
receipts
or
payments
are
known
as
“variation
margin”
and
are
recorded
by
the account
as
a
variation
margin
receivable
or
payable
on
financial
derivative
instruments.
Futures
contracts
are
marked
to
market
daily
at
the
closing
settlement
price
or
in
the
absence
of
such
a
price,
the
most
recent
quoted
bid
price.
If
there
are
no
quotations
available,
the
security
is
valued
at
the
last
available
closing
settlement
price.
During
the
period
the
futures
contracts
are
open,
daily
changes
in
the
fair
value
of
the
contracts
are
recognized
as
unrealized
gains
or
losses.
These
unrealized
gains
or
losses
are
included
as
a
component
of
total
distributable
earnings
(accumulated
loss)
on
the
statements
of
assets
and
liabilities.
When
the
contracts
are
closed,
the account
recognizes
a
realized
gain
or
loss
equal
to
the
difference
between
the
proceeds
from,
or
cost
of,
the
closing
transaction
and
the
account’s
cost
basis
in
the
contract.
There
is
minimal
counterparty
credit
risk
to
the Accounts
because
futures
are
exchange
traded
and
the
exchange’s
clearinghouse,
as
counterparty
to
all
exchange
traded
futures,
guarantees
the
futures
against
default. 
Illiquid
Securities.
Illiquid
securities
generally
cannot
be
sold
or
disposed
of
in
the
ordinary
course
of
business
(within
seven
calendar
days)
at
approximately
the
value
at
which
each
of
the Accounts
has
valued
the
investments.
This
may
have
an
adverse
effect
on
each
of
the
Accounts'
ability
to
dispose
of
particular
illiquid
securities
at
fair
value
and
may
limit
each
of
the
Accounts’
ability
to
obtain
accurate
market
quotations
for
purposes
of
valuing
the
securities. 
Indemnification.
Under
the
Fund’s
by-laws,
present
and
past
officers,
directors,
and
employees
are
indemnified
against
certain
liabilities
arising
out
of
the
performance
of
their
duties.
In
addition,
in
the
normal
course
of
business,
the
Fund
may
enter
into
a
variety
of
contracts
that
may
contain
representations
and
warranties
which
provide
general
indemnifications.
The
Fund’s
maximum
exposure
under
these
arrangements
is
unknown,
as
this
would
involve
future
claims
that
may
be
made
against
the
Fund. 
Inflation-Indexed
Bonds.
Certain
of
the
Accounts
may
invest
in
inflation-indexed
bonds.
Inflation-indexed
bonds
are
fixed-income
securities
whose
principal
value
is
periodically
adjusted
to
the
rate
of
inflation.
The
interest
rate
on
these
bonds
is
generally
fixed
at
issuance
at
a
rate
lower
than
typical
bonds.
Over
the
life
of
an
inflation-indexed
bond,
however,
interest
will
be
paid
based
on
a
principal
value,
which
is
adjusted
for
inflation.
Any
increase
or
decrease
in
the
principal
amount
of
an
inflation-indexed
bond
will
be
included
as
interest
income
on
the
statements
of
operations,
even
though
the
Accounts
would
not
receive
the
principal
until
maturity.
Mortgage
Dollar
Rolls.
Certain
of
the
Accounts
have
entered
into
mortgage-dollar-roll
transactions
on TBA
securities,
in
which
the
Accounts
sell
mortgage-backed
securities
and
simultaneously
agree
to
purchase
similar
securities
in
the
future
at
a
predetermined
price.
The
proceeds
of
the
securities
sold
in
mortgage-dollar-roll
transactions
are
invested
in
additional
securities.
The
Accounts
forgo
principal
and
interest
paid
on
the
securities,
and
are
compensated
by
interest
earned
on
the
proceeds
of
the
initial
sale
and
by
a
lower
price
on
the
securities
to
be
repurchased.
The
Accounts
treat
mortgage-dollar-roll
transactions
as
purchases
and
sales;
as
such,
these
transactions
may
increase
the
Accounts’
portfolio
turnover
ratio.
Amounts
to
be
received
or
paid
in
connection
with
open
mortgage-dollar-rolls
are
included
in
Investment
securities
sold
and
Investment
securities
purchased
on
the
statements
of
assets
and
liabilities. 
Rebates.
Subject
to
best
execution,
the Accounts
may
direct
certain
portfolio
transactions
to
brokerage
firms
that,
in
turn,
have
agreed
to
rebate
a
portion
of
the
related
brokerage
commission
to
the
Accounts
in
cash.
Commission
rebates
are
included
as
a
component
of
realized
gain
from
investment
transactions
in
the
statements
of
operations. 
Repurchase
Agreements.
The
Accounts
may
invest
in
repurchase
agreements
that
are
fully
collateralized,
typically
by
U.S.
government
or
U.S.
government
agency
securities.
It
is
the
Accounts’
policy
that
the
counterparties’
custodian
takes
possession
of
the
underlying
collateral
securities.
The
fair
value
of
the
collateral
is
at
all
times
at
least
equal
to
the
total
amount
of
the
repurchase
obligation.
In
the
event
of
default
on
the
obligation
to
repurchase,
the
Accounts
have
the
right
to
liquidate
the
collateral
and
apply
the
proceeds
in
satisfaction
of
the
obligation.
In
the
event
the
seller
of
a
repurchase
agreement
defaults,
the
Accounts
could
experience
delays
in
the
realization
of
the
collateral. 
Restricted
Securities.
Certain
of
the
Accounts
may
invest
in
securities
that
are
subject
to
legal
or
contractual
restrictions
on
resale.
These
securities
generally
may
be
resold
in
transactions
exempt
from
registration
or
to
the
public
if
the
securities
are
registered.
Disposal
of
these
securities
may
involve
time-consuming
negotiations
and
expense,
and
prompt
sale
at
an
acceptable
price
may
be
difficult. 
Securities
Lending.
To
earn
additional
income,
certain
of
the
Accounts
may
lend
portfolio
securities
to
approved
brokerage
firms.
The
Accounts
receive
collateral,
in
the
form
of
cash,
against
the
loaned
securities.
During
the
period
of
the
loan,
the
borrower
must
maintain
collateral
in
an
amount
not
less
than
102%
of
the
market
value
of
the
loaned
securities.
The
market
value
of
the
loaned
securities
is
determined
at
the
close
of
business
of
the
Accounts
and
any
additional
required
collateral
is
delivered
to
the
Accounts
on
the
next
business
day.
The
cash
collateral
received
is
usually
invested
in
a
SEC-registered
money
market
mutual
fund
and
the
Accounts
could
realize
a
loss
on
such
investments.
Further,
the
Accounts
could
experience
a
delay
in
recovering
its
securities
and
possible
loss
of
income
or
value
if
the
borrower
fails
to
return
them.
Security
lending
income
is
shown
on
the
statements
of
operations.
As
of
June
30,
2019,
the
Accounts
had
3.
Operating
Policies
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
26
securities
on
loan
as
follows
(in
thousands):  
Senior
Floating
Rate
Interests.
The
Accounts
may
invest
in
senior
floating
rate
interests
(bank
loans).
Senior
floating
rate
interests
typically
hold
the
most
senior
position
in
the
capital
structure
of
a
business
entity
(the
“Borrower”),
are
secured
by
specific
collateral
and
have
a
claim
on
the
assets
and/or
stock
of
the
Borrower
that
is
senior
to
that
held
by
subordinated
debtholders
and
stockholders
of
the
Borrower.
Senior
floating
rate
interests
are
typically
structured
and
administered
by
a
financial
institution
that
acts
as
the
agent
of
the
lenders
participating
in
the
senior
floating
rate
interest.
Borrowers
of
senior
floating
rate
interests
are
typically
rated
below-investment-grade,
which
means
they
are
more
likely
to
default
than
investment-grade
loans.
A
default
could
lead
to
non-payment
of
income
which
would
result
in
a
reduction
of
income
to
the
account
and
there
can
be
no
assurance
that
the
liquidation
of
any
collateral
would
satisfy
the
Borrower’s
obligation
in
the
event
of
non-payment
of
scheduled
interest
or
principal
payments,
or
that
such
collateral
could
be
readily
liquidated.
Senior
floating
rate
interests
pay
interest
at
rates
which
are
periodically
reset
by
reference
to
a
base
lending
rate
plus
a
spread.
These
base
lending
rates
are
generally
the
prime
rate
offered
by
a
designated
U.S.
bank
or
the
LIBOR
rate.
Senior
floating
rate
interests
generally
are
subject
to
mandatory
and/or
optional
prepayment.
Because
of
these
mandatory
prepayment
conditions
and
because
there
may
be
significant
economic
incentives
for
the
Borrower
to
repay,
prepayments
of
senior
floating
rate
interests
may
occur.
As
a
result,
the
actual
remaining
maturity
of
senior
floating
rate
interests
may
be
substantially
less
than
stated
maturities
shown
in
the
schedules
of
investments.
In
connection
with
the
senior
floating
rate
interests,
the
Accounts
may
also
enter
into
unfunded
loan
commitments
(“commitments”).
All
or
a
portion
of
the
commitments
may
be
unfunded.
The
Accounts
are
obligated
to
fund
these
commitments
at
the
Borrower’s
discretion.
Therefore,
the
Accounts
must
have
funds
sufficient
to
cover
its
contractual
obligation.
Commitments
are
marked
to
market
daily
and
the
unrealized
gain
or
loss
is
shown
as
a
separate
line
item
called
unrealized
gain
or
loss
on
commitments
on
the
statements
of
assets
and
liabilities
as
applicable.
As
of
June
30,
2019
,
the
Accounts
had
no
commitments
outstanding.
Swap
Agreements.
Core
Plus
Bond
Account
invested
in
swap
agreements
during
the
period.
Swap
agreements
are
negotiated
agreements
between
an
account
and
a
counterparty
to
exchange
a
series
of
cash
flows
at
specified
intervals
based
upon,
or
calculated
by
reference
to,
changes
in
specified
prices
or
rates
for
a
specified
amount
of
an
underlying
asset.
An
account
may
enter
into
credit
default,
interest
rate,
or
total
return
swap
agreements
to
manage
its
exposure
to
credit,
interest
rate,
or
market
risk.
In
connection
with
these
agreements,
securities
may
be
identified
as
collateral
in
accordance
with
the
terms
of
the
respective
swap
agreements
to
provide
assets
of
value
and
recourse
in
the
event
of
default
or
bankruptcy/insolvency.
Swap
agreements
are
valued
through
a
pricing
service
or
using
procedures
established
and
periodically
reviewed
by
the
Fund’s
Board
of
Directors;
changes
in
value
are
recorded
as
unrealized
gain
or
loss.
These
unrealized
gains
or
losses
are
included
as
a
component
of
total
distributable
earnings
(accumulated
loss)
on
the
statements
of
assets
and
liabilities.
Upon
termination
of
swap
agreements,
the
Accounts
recognize
a
realized
gain
or
loss.
Net
periodic
payments
to
be
received
or
paid
are
accrued
daily
and
are
recorded
in
the
statements
of
operations
as
realized
gains
or
losses.
Payments
received
or
made
at
the
beginning
of
the
measurement
period
are
reflected
as
such
on
the
statements
of
assets
and
liabilities
and
represent
payments
made
or
received
upon
entering
into
the
swap
agreement
to
compensate
for
differences
between
the
stated
terms
of
the
swap
agreement
and
prevailing
market
conditions
(credit
spreads,
interest
rates,
and
other
relevant
factors).
These
upfront
payments
are
amortized
daily
over
the
term
of
the
swap
agreement
as
realized
gains
or
losses
on
the
statements
of
operations.
Notional
principal
amounts
are
used
to
express
the
extent
of
involvement
in
these
agreements.
Risks
may
exceed
amounts
shown
on
the
statements
of
assets
and
liabilities.
These
risks
include
changes
in
the
returns
of
the
underlying
instruments,
unfavorable
interest
rate
fluctuation,
that
the
counterparty
to
the
agreements
may
default
on
its
obligation
to
perform
or
disagree
as
to
the
meaning
of
contractual
terms
in
the
agreements,
and
the
possible
lack
of
liquidity
with
respect
to
the
swap
agreements.
Market
Value
Collateral
Value
Core
Plus
Bond
Account
$
736
$
758
Diversified
International
Account
374
392
LargeCap
Growth
Account
I
1,10
6
1,143
MidCap
Account
1,156
1,183
Short-Term
Income
Account
510
525
SmallCap
Account
2,879
2,897
3.
Operating
Policies
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
27
The
Accounts
and
any
counterparty
are
required
to
maintain
an
agreement
that
requires
the
Accounts
and
that
counterparty
to
monitor
the
net
fair
value
of
all
derivative
transactions
entered
into
pursuant
to
the
contract
between
the
Accounts
and
such
counterparty.
If
the
net
fair
value
of
such
derivatives
transactions
between
the
Accounts
and
that
counterparty
exceeds
a
certain
threshold
(as
defined
in
the
agreement),
the
Accounts
or
the
counterparty
are
required
to
post
cash
and/or
securities
as
collateral.
Fair
values
of
derivatives
transactions
presented
in
the
financial
statements
are
not
netted
with
the
fair
values
of
other
derivatives
transactions
or
with
any
collateral
amounts
posted
by
the
Accounts
or
any
counterparty.
Credit
default
swaps
involve
commitments
to
pay
a
fixed
rate
at
a
predetermined
frequency
in
exchange
for
a
lump
sum
payment
if
a
“credit
event”,
as
defined
in
the
agreement,
affecting
a
third
party
occurs.
Credit
events
may
include
a
failure
to
pay
interest,
bankruptcy,
restructuring,
or
other
event
as
defined
in
the
agreement.
A
“buyer”
of
credit
protection
agrees
to
pay
a
counterparty
to
assume
the
credit
risk
of
an
issuer
upon
the
occurrence
of
a
credit
event.
The
“seller”
of
the
protection
receives
periodic
payments
and
agrees
to
assume
the
credit
risk
of
an
issuer
upon
the
occurrence
of
a
credit
event.
As
the
seller
of
credit
protection,
an
account
would
add
leverage
to
its
portfolio
because,
in
addition
to
its
total
net
assets,
an
account
would
be
subject
to
investment
exposure
on
the
notional
amount
of
the
swap.
If
an
account
is
a
seller
of
protection
and
a
credit
event
occurs,
as
defined
under
the
terms
of
that
particular
swap
agreement,
the
account
will
either
(i)
pay
to
the
buyer
of
protection
an
amount
equal
to
the
notional
amount
of
the
swap
and
take
delivery
of
the
referenced
obligation,
other
deliverable
obligations
or
underlying
securities
comprising
the
referenced
index
or
(ii)
pay
a
net
settlement
amount
in
the
form
of
cash
or
securities
equal
to
the
notional
amount
of
the
swap
less
the
recovery
value
of
the
referenced
obligation
or
underlying
securities
comprising
the
referenced
index.
If
an
account
is
a
buyer
of
protection
and
a
credit
event
occurs,
as
defined
under
the
terms
of
that
particular
swap
agreement,
an
account
will
either
(i)
receive
from
the
seller
of
protection
an
amount
equal
to
the
notional
amount
of
the
swap
and
deliver
the
referenced
obligation,
other
deliverable
obligations
or
underlying
securities
comprising
the
referenced
index
or
(ii)
receive
a
net
settlement
amount
in
the
form
of
cash
or
securities
equal
to
the
notional
amount
of
the
swap
less
the
recovery
value
of
the
referenced
obligation
or
underlying
securities
comprising
the
referenced
index.
Credit
default
swap
agreements
on
credit
indices
involve
one
party
making
a
stream
of
payments
to
another
party
in
exchange
for
the
right
to
receive
a
specified
return
in
the
event
of
a
write-down,
principal
shortfall,
interest
shortfall
or
default
of
all
or
part
of
the
referenced
entities
comprising
the
credit
index.
A
credit
index
is
a
basket
of
credit
instruments
or
exposures
designed
to
be
representative
of
some
part
of
the
credit
market
as
a
whole.
These
indices
are
made
up
of
reference
credits
that
are
judged
by
a
poll
of
dealers
to
be
the
most
liquid
entities
in
the
credit
default
swap
market
based
on
the
sector
of
the
index.
Components
of
the
indices
may
include,
but
are
not
limited
to,
investment
grade
securities,
high
yield
securities,
asset
backed
securities,
emerging
markets,
and/or
various
credit
ratings
within
each
sector.
Credit
indices
are
traded
using
credit
default
swaps
with
standardized
terms
including
a
fixed
spread
and
standard
maturity
dates.
An
index
credit
default
swap
references
all
the
names
in
the
index,
and
if
there
is
a
default,
the
credit
event
is
settled
based
on
that
name’s
weight
in
the
index.
The
composition
of
the
indices
changes
periodically,
usually
every
six
months,
and
for
most
indices,
each
name
has
an
equal
weight
in
the
index.
An
account
may
use
credit
default
swaps
on
credit
indices
to
hedge
a
portfolio
of
credit
default
swaps
or
bonds,
which
is
less
expensive
than
it
would
be
to
buy
many
credit
default
swaps
to
achieve
a
similar
effect.
Credit
default
swaps
on
indices
are
benchmarks
for
protecting
investors
owning
bonds
against
default,
and
traders
use
them
to
speculate
on
changes
in
credit
quality.
For
credit
default
swap
agreements
on
asset-backed
securities
and
credit
indices,
the
quoted
market
prices
and
resulting
values
serve
as
the
indicator
of
the
current
status
of
the
payment/performance
risk.
Wider
credit
spreads
and
increasing
values,
in
absolute
terms
when
compared
to
the
notional
amount
of
the
swap,
represent
a
deterioration
of
the
referenced
entity’s
credit
soundness
and
a
greater
likelihood
or
risk
of
default
or
other
credit
event
occurring
as
defined
under
the
terms
of
the
agreement.
The
maximum
potential
amount
of
future
payments
(undiscounted)
that
an
account
as
a
seller
of
protection
could
be
required
to
make
under
a
credit
default
swap
agreement
would
be
an
amount
equal
to
the
notional
amount
of
the
agreement.
Notional
amounts
of
all
credit
default
swap
agreements
outstanding
as
of
June
30,
2019
for
which
an
account
is
the
seller
of
protection
are
disclosed
in
the
footnotes
to
the
schedules
of
investments.
These
potential
amounts
would
be
partially
offset
by
any
recovery
values
of
the
respective
referenced
obligations,
upfront
payments
received
upon
entering
into
the
agreement,
or
net
amounts
received
from
the
settlement
of
buy
protection
credit
default
swap
agreements
entered
into
by
an
account
for
the
same
referenced
entity
or
entities.
Interest
rate
swaps
involve
the
commitment
to
exchange
fixed
or
floating
rate
cash
flows
based
on
changes
in
the
value
of
a
specific
reference
rate.
Certain
collateral
amounts
relate
to
exchange
cleared
swaps
which
are
not
subject
to
master
netting
agreements
with
counterparties.
To
Be
Announced
Securities.
The Accounts
may
trade
portfolio
securities
on
a
TBA
or
when-issued
basis.
In
a
TBA
or
when-issued
3.
Operating
Policies
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
28
transaction,
the Accounts
commit
to
purchase
or
sell
securities
for
which
all
specific
information
is
not
known
at
the
time
of
the
trade.
Securities
purchased
on
a
TBA
or
when-issued
basis
are
not
settled
until
they
are
delivered
to
the
Accounts,
normally
15
to
30
days
later.
These
transactions
are
subject
to
market
fluctuations
and
their
current
value
is
determined
in
the
same
manner
as
for
other
portfolio
securities. 
Underlying
Funds.
The
performance
and
risks
of
each
SAM
Portfolio
(singly,
“a
fund
of
funds”
and
collectively,
“the
funds
of
funds”)
directly
correspond
to
the
performance
and
risks
of
the
Underlying
Funds
in
which
the
fund
of
funds
invest.
By
investing
in
many
Underlying
Funds,
the
funds
of
funds
have
partial
exposure
to
the
risks
of
many
different
areas
of
the
market.
The
more
a
fund
of
funds
allocates
to
stock
funds,
the
greater
the
expected
risk.
An
Underlying
Fund
to
a
fund
of
funds
may
experience
relatively
large
redemptions
or
purchases
as
the
fund
of
funds
periodically
reallocates
or
rebalances
its
assets.
These
transactions
may
accelerate
the
realization
of
taxable
income
if
sales
of
portfolio
securities
result
in
gains
and
could
increase
transaction
costs.
In
addition,
when
a
fund
of
funds
reallocates
or
redeems
significant
assets
away
from
an
Underlying
Fund,
the
loss
of
assets
to
the
Underlying
Fund
could
result
in
increased
expense
ratios
for
that
fund.
The
Manager
is
the
advisor
to
the
Fund,
Principal
Funds,
Inc.,
and
some
of
the
Underlying
Funds.
Principal
Real
Estate
Investors,
LLC
serves
as
sub-advisor
to
some
of
the
Underlying
Funds.
The
Manager
is
committed
to
minimizing
the
potential
impact
of
Underlying
Fund
risk
on
Underlying
Funds
to
the
extent
consistent
with
pursuing
the
investment
objectives
of
the
fund
of
funds
which
it
manages.
Each
may
face
conflicts
of
interest
in
fulfilling
its
responsibilities
to
all
such
funds.
As
of
June
30,
2019
,
series
of
the
Fund
owned
the
following
percentages,
in
the
aggregate,
of
the
outstanding
shares
of
the
Accounts
listed
below:
U.S.
Government
Agencies
or
Government-Sponsored
Enterprises.
Certain
of
the Accounts
may
invest
in
U.S.
Government
agencies
or
government-sponsored
enterprises.
U.S.
Government
securities
are
obligations
of,
and
in
certain
cases,
guaranteed
by,
the
U.S.
Government
or
its
agencies.
The
U.S.
Government
does
not
guarantee
the
net
asset
value
of
the Accounts'
shares.
Some
U.S.
Government
securities
such
as
treasury
bills,
notes
and
bonds,
and
securities
guaranteed
by
the
Government
National
Mortgage
Association
(“GNMA”)
are
supported
by
the
full
faith
and
credit
of
the
U.S.
Government.
Other
securities,
such
as
those
of
the
Federal
Home
Loan
Bank
are
supported
by
the
right
of
the
issuer
to
borrow
from
the
U.S.
Department
of
the
Treasury.
Still
other
securities,
such
as
those
of
the
Federal
National
Mortgage
Association
(“FNMA”),
are
supported
by
the
discretionary
authority
of
the
U.S.
Government
to
purchase
the
agency’s
obligations.
Government
related
guarantors
(those
not
backed
by
the
full
faith
and
credit
of
the U.S.
Government)
include
the
FNMA
and
the
Federal
Home
Loan
Mortgage
Corporation
(“FHLMC”).
The
FNMA
is
a
government
sponsored
corporation,
the
common
stock
of
which
is
owned
entirely
by
private
stockholders.
The
FNMA
purchases
conventional
residential
mortgages
from
a
list
of
approved
seller/servicers
which
include
state
and
federally
chartered
savings
and
loan
associations,
mutual
savings
banks,
commercial
banks,
credit
unions,
and
mortgage
bankers.
Pass-through
securities
issued
by
the
FNMA
are
guaranteed
as
to
the
timely
payment
of
principal
and
interest
by
the
FNMA,
but
are
not
backed
by
the
full
faith
and
credit
of
the
U.S.
Government.
The
FHLMC
issues
Participation
Certificates
which
are
pass-through
securities,
each
representing
an
undivided
interest
in
a
pool
of
residential
mortgages.
The
FHLMC
guarantees
the
timely
payment
of
interest
and
ultimate
collection
of
principal,
but
Participation
Certificates
are
not
backed
by
the
full
faith
and
credit
of
the
U.S.
Government. 
Account
Total
Percentage
of
Outstanding
Shares
Owned
Core
Plus
Bond
Account
23.00%
Equity
Income
Account
30.85
Government
&
High
Quality
Bond
Account
38.61
3.
Operating
Policies
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
29
Derivatives.
The
following
tables
provide
information
about
where
in
the
statements
of
assets
and
liabilities
and
statements
of
operations
information
about
derivatives
can
be
found
(amounts
in
thousands):
Long
equity
futures
contracts
are
used
to
obtain
market
exposure
for
the
cash
balances
that
are
maintained
by
certain
of
the Accounts
and
the
notional
values
of
the
futures
contracts
will
vary
in
accordance
with
changing
cash
balances.
Long
and
short
U.S.
Treasury
futures
contracts
are
used
to
obtain
interest
rate
exposure
in
order
to
manage
duration
of
Core
Plus
Bond
Account.
The
following
table
includes
a
summary
of
the
average
quarterly
outstanding
notional
by
derivative
instrument
type
for
the period
ended
June
30,
2019
:
4.
Fair
Valuation
Fair
value
is
defined
as
the
price
that
the Accounts
would
receive
upon
selling
a
security
in
a
timely
transaction
to
an
independent
buyer
in
the
principal
or
most
advantageous
market
of
the
security
at
the
measurement
date.
In
determining
fair
value,
the Accounts
may
use
one
or
more
of
the
following
approaches:
market,
income
and/or
cost.
A
hierarchy
for
inputs
is
used
in
measuring
fair
value
that
maximizes
the
use
of
observable
inputs
and
minimizes
the
use
of
unobservable
inputs
by
requiring
that
the
most
observable
inputs
be
used
when
available.
Observable
inputs
are
inputs
that
reflect
the
assumptions
market
participants
would
use
in
pricing
the
asset
or
liability
developed
based
on
market
data
obtained
from
sources
independent
of
the
Accounts.
Unobservable
inputs
are
inputs
that
reflect
the
account's
own
estimates
about
the
estimates
market
participants
would
use
in
pricing
the
asset
or
liability
developed
based
on
the
best
information
available
in
the
circumstances.
The
three-tier
hierarchy
of
inputs
is
summarized
in
the
three
broad
levels
listed
below.
●
Level
1
–
Quoted
prices
are
available
in
active
markets
for
identical
securities
as
of
the
reporting
date.
The
type
of
securities
included
in
Level
1
includes
listed
equities
and
listed
derivatives.
Asset
Derivatives
June
30,
2019
Liability
Derivatives
June
30,
2019
Derivatives
not
accounted
for
as
hedging
instruments
Statement
of
Assets
and
Liabilities
Location
Fair
Value
Statement
of
Assets
and
Liabilities
Location
Fair
Value
Core
Plus
Bond
Account
Interest
rate
contracts
Receivables,
Total
distributable
earnings
(accumulated
loss)
$
194
*
Payables,
Total
distributable
earnings
(accumulated
loss)
$
91
*
LargeCap
Growth
Account
I
Equity
contracts
Receivables,
Total
distributable
earnings
(accumulated
loss)
$
17
*
Payables,
Total
distributable
earnings
(accumulated
loss)
$
—
*
Includes
cumulative
unrealized
appreciation/depreciation
of
futures
contracts
as
shown
in
the
schedules
of
investments.
Only
the
portion
of
the
unrealized
appreciation/depreciation
not
yet
cash
settled
is
shown
in
the
statements
of
assets
and
liabilities
as
variation
margin.
Derivatives
not
accounted
for
as
hedging
instruments
Location
of
Gain
or
(Loss)
on
Derivatives
Recognized
in
Statement
of
Operations
Net
Realized
Gain
or
(Loss)
on
Derivatives
Recognized
in
Statement
of
Operations
Net
Change
in
Unrealized
Appreciation/
(Depreciation)
of
Derivatives
Recognized
in
Statement
of  Operations
Core
Plus
Bond
Account
Credit
contracts
Net
realized
gain
(loss)
from
Swap
agreements/
Net
change
in
unrealized
appreciation/
(depreciation)
of
Swap
agreements
$
(320)
$
(207)
Interest
rate
contracts
Net
realized
gain
(loss)
Futures
contracts/Net
change
in
unrealized
appreciation/(depreciation)
of
Futures
contracts
532
(216)
Total
$
212
$
(423)
LargeCap
Growth
Account
I
Equity
contracts
Net
realized
gain
(loss)
from
Futures
contracts/
Net
change
in
unrealized
appreciation/
(depreciation)
of
Futures
contracts
$
287
$
19
Contract
Type
Derivative
Type
Average
Notional
(‘000)
Core
Plus
Bond
Account
Credit
Contracts
Exchange
Cleared
Credit
Default
Swaps
–
Buy
Protection
$
10,655
Interest
Rate
Contracts
Futures
-
Long
13,974
Futures
-
Short
6,924
LargeCap
Growth
Account
I
Equity
Contracts
Futures
-
Long
2,087
3.
Operating
Policies
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
30
●
Level
2
–
Other
significant
observable
inputs
(including
quoted
prices
for
similar
investments,
interest
rates,
prepayment
speeds,
credit
risk,
etc.).
Investments
which
are
generally
included
in
this
category
include
certain
foreign
equities,
corporate
bonds,
senior
floating
rate
interests,
municipal
bonds,
and
U.S.
Government
and
Government
Agency
Obligations.
●
Level
3
–
Significant
unobservable
inputs
(including
the
Accounts’
assumptions
in
determining
the
fair
value
of
investments).
Investments
which are
generally included
in
this
category
include
certain
common
stocks,
corporate
bonds,
mortgage
backed
securities
or
senior
floating
rate
interests.
The
availability
of
observable
inputs
can
vary
from
security
to
security
and
is
affected
by
a
wide
variety
of
factors,
including,
for
example,
the
type
of
security,
whether
the
security
is
new
and
not
yet
established
in
the
market
place,
and
other
characteristics
particular
to
the
transaction.
To
the
extent
that
valuation
is
based
on
models
or
inputs
that
are
less
observable
or
unobservable
in
the
market,
the
determination
of
fair
value
requires
more
judgment.
Accordingly,
the
degree
of
judgment
exercised
by
the
Accounts
in
determining
fair
value
is
greatest
for
instruments
categorized
in
Level
3.
In
certain
cases,
the
inputs
used
to
measure
fair
value
may
fall
into
different
levels
of
the
fair
value
hierarchy.
In
such
cases,
for
disclosure
purposes,
the
level
in
the
fair
value
hierarchy
within
which
the
fair
value
measurement
in
its
entirety
falls
is
determined
based
on
the
lowest
level
input
that
is
significant
to
the
fair
value
measurement
in
its
entirety.
Fair
value
is
a
market
based
measure
considered
from
the
perspective
of
a
market
participant
who
holds
the
asset
rather
than
an
entity
specific
measure.
Therefore,
even
when
market
assumptions
are
not
readily
available,
the
Accounts'
own
assumptions
are
set
to
reflect
those
that
market
participants
would
use
in
pricing
the
asset
or
liability
at
the
measurement
date.
The
Accounts
use
prices
and
inputs
that
are
current
as
of
the
measurement
date,
when
available. 
Investments
which
are
included
in
the
Level
3
category
may
be
valued
using
indicative
quoted
prices
from
brokers
and
dealers
participating
in
the
market
for
these
investments.
These
investments
are
classified
as
Level
3
investments
due
to
the
lack
of
market
transparency
and
market
corroboration
to
support
these
quoted
prices.
Valuation
models
may
be
used
as
the
pricing
source
for
other
investments
classified
as
Level
3.
Valuation
models
rely
on
one
or
more
significant
unobservable
inputs
such
as
prepayment
rates,
probability
of
default,
or
loss
severity
in
the
event
of
default.
Significant
increases
in
any
of
those
inputs
in
isolation
would
result
in
a
significantly
lower
fair
value
measurement.
Benchmark
pricing
procedures
set
the
base
price
of
a
security
based
on
current
market
data.
The
base
price
may
be
a
broker-
dealer
quote,
transaction
price,
or
internal
value
based
on
relevant
market
data.
The
fair
values
of
these
securities
are
dependent
on
economic,
political,
and
other
considerations.
The
values
of
such
securities
may
be
affected
by
significant
changes
in
the
economic
conditions,
changes
in
government
policies,
and
other
factors
(e.g.,
natural
disasters,
accidents,
conflicts,
etc.).
Fair
value
of
these
investments
is
determined
in
good
faith
by
the
Manager
under
procedures
established
and
periodically
reviewed
by
the
Fund’s
Board
of
Directors.
The
Manager
has
established
a
valuation
committee
(“Valuation
Committee”)
of
senior
officers
and
employees,
with
the
responsibility
of
overseeing
the
pricing
and
valuation
of
all
securities,
including
securities
where
market
quotations
are
not
readily
available.
The
Valuation
Committee
meets
at
least
monthly
and
reports
directly
to
the
Board
of
Directors.
A
pricing
group
(the
“Pricing
Group”)
who
reports
to
the
Valuation
Committee,
relies
on
the
established
pricing
policies
to
determine
fair
valuation.
Included
in
the
pricing
policies
is
an
overview
of
the
approved
valuation
approaches
established
for
each
asset
class.
The
Pricing
Group
will
consider
all
appropriate
information
available
when
determining
fair
valuation.
The
Pricing
Group
relies
on
externally
provided
valuation
inputs
to
determine
the
value
of
Level
3
securities.
Security
values
are
updated
as
new
information
becomes
available.
Valuation
data
and
changes
in
valuation
amounts
are
reviewed
on
a
daily
basis
based
on
specified
criteria
for
the
security,
asset
class,
and
other
factors.
In
addition,
valuation
data
is
periodically
compared
to
actual
transactions
executed
by
the
Accounts
(i.e.,
purchases/sales)
and
differences
between
transaction
prices
and
prior
period
valuation
data
are
investigated
based
on
specified
tolerances.
The
inputs
or
methodology
used
for
valuing
securities
are
not
necessarily
an
indication
of
the
risk
associated
with
investing
in
those
instruments.
The
following
is
a
summary
of
the
inputs
used
as
of June
30,
2019
in
valuing
the
Accounts'
securities
carried
at
value
(amounts
shown
in
thousands):
4.
Fair
Valuation
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
31
Account
Fund
Level
1
-
Quoted
Prices
Level
2
-
Other
Significant
Observable
Inputs
Level
3
-
Significant
Unobservable
Inputs
Totals
(Level
1,2,3)
Core
Plus
Bond
Account
Bonds*
$
—
$
181,122
$
—
$
181,122
Common
Stocks*
39
—
—
39
Investment
Companies
24,404
—
—
24,404
Preferred
Stocks
Consumer,
Non-cyclical
—
—
7
7
Senior
Floating
Rate
Interests*
—
2,324
—
2,324
U.S.
Government
&
Government
Agency
Obligations*
—
132,743
—
132,743
Total
investments
in
securities
$
24,443
$
316,189
$
7
$
340,6
39
Assets
Interest
Rate
Contracts
Futures**
194
—
—
194
Liabilities
Interest
Rate
Contracts
Futures**
(91)
—
—
(91)
Diversified
International
Account
Common
Stocks
Basic
Materials
1,997
9,234
—
11,231
Communications
4,714
18,036
—
22,750
Consumer,
Cyclical
6,398
36,565
—
42,963
Consumer,
Non-cyclical
1,784
41,027
—
42,811
Energy
4,474
13,679
—
18,153
Financial
13,338
54,318
—
67,656
Industrial
4,561
18,079
—
22,640
Technology
477
21,187
—
21,664
Utilities
—
6,388
—
6,388
Investment
Companies
1,678
—
—
1,678
Preferred
Stocks
1,179
—
—
1,179
Total
investments
in
securities
$
40,600
$
218,513
$
—
$
259,113
Equity
Income
Account
Common
Stocks*
718,277
—
—
718,277
Investment
Companies
11,977
—
—
11,977
Total
investments
in
securities
$
730,254
$
—
$
—
$
730,254
Government
&
High
Quality
Bond
Account
Bonds*
—
63,556
—
63,556
Investment
Companies
6,172
—
—
6,172
U.S.
Government
&
Government
Agency
Obligations*
—
154,387
—
154,387
Total
investments
in
securities
$
6,172
$
217,943
$
—
$
224,115
LargeCap
Growth
Account
I
Common
Stocks*
464,543
—
—
464,543
Convertible
Preferred
Stocks
Communications
—
—
596
596
Investment
Companies
9,874
—
—
9,874
Preferred
Stocks
Communications
—
119
—
119
Technology
—
260
153
413
Total
investments
in
securities
$
474,417
$
379
$
749
$
475,545
Assets
Equity
Contracts
Futures**
17
—
—
$
17
MidCap
Account
Common
Stocks*
593,327
—
—
593,327
Investment
Companies
2,598
—
—
2,598
Total
investments
in
securities
$
595,925
$
—
$
—
$
595,925
Principal
Capital
Appreciation
Account
Common
Stocks*
150,76
2
—
—
150,76
2
Investment
Companies
2,357
—
—
2,357
Total
investments
in
securities
$
153,11
9
$
—
$
—
$
153,11
9
4.
Fair
Valuation
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
32
*For
additional
detail
regarding
sector
classifications,
please
see
the
schedules
of
investments.
**Futures
are
presented
at
the
unrealized
appreciation/(depreciation)
of
the
instrument.
At
the
end
of
the
period,
there
were
no
other Accounts
which
had
a
significant
Level
3
balance.
During
the
period,
there
were
no
significant
purchases,
sales,
or
transfers
into
or
out
of
Level
3. 
5.
Management
Agreement
and
Transactions
with
Affiliates
Management
Services.
The
Accounts
have
agreed
to
pay
investment
advisory
and
management
fees
to
the
Manager
computed
at
an
annual
percentage
rate
of
each
account’s
average
daily
net
assets.
A
portion
of
the
management
fee
is
paid
by
the
Manager
to
the
sub-advisor
of
each
of
the
Accounts,
some
of
which
are
affiliates
of
the
Manager.
The
annual
rate
paid
by
the
SAM
Portfolios
is
based
upon
the
aggregate
average
daily
net
assets
(“aggregate
net
assets”)
of
the
SAM
Portfolios.
The
investment
advisory
and
management
fee
schedule
for
the
SAM
Portfolios
is
.25%
of
aggregate
net
assets
up
to
the
first
$1
billion
and
.20%
of
aggregate
net
assets
over
$1
billion.
The
annual
rates
used
in
this
calculation
for
each
of
the
other
Accounts
are
as
follows:
Account
Fund
Level
1
-
Quoted
Prices
Level
2
-
Other
Significant
Observable
Inputs
Level
3
-
Significant
Unobservable
Inputs
Totals
(Level
1,2,3)
Real
Estate
Securities
Account
Common
Stocks*
$
153,482
$
—
$
—
$
153,482
Investment
Companies
1,129
—
—
1,129
Total
investments
in
securities
$
154,611
$
—
$
—
$
154,611
SAM
Balanced
Portfolio
Investment
Companies
702,340
—
—
702,340
Total
investments
in
securities
$
702,340
$
—
$
—
$
702,340
SAM
Conservative
Balanced
Portfolio
Investment
Companies
187,792
—
—
187,792
Total
investments
in
securities
$
187,792
$
—
$
—
$
187,792
SAM
Conservative
Growth
Portfolio
Investment
Companies
337,921
—
—
337,921
Total
investments
in
securities
$
337,921
$
—
$
—
$
337,921
SAM
Flexible
Income
Portfolio
Investment
Companies
186,615
—
—
186,615
Total
investments
in
securities
$
186,615
$
—
$
—
$
186,615
SAM
Strategic
Growth
Portfolio
Investment
Companies
292,324
—
—
292,324
Total
investments
in
securities
$
292,324
$
—
$
—
$
292,324
Short-Term
Income
Account
Bonds*
—
127,421
—
127,421
Investment
Companies
2,570
—
—
2,570
U.S.
Government
&
Government
Agency
Obligations*
—
1,640
—
1,640
Total
investments
in
securities
$
2,570
$
129,061
$
—
$
131,631
SmallCap
Account
Common
Stocks*
183,643
—
—
183,643
Investment
Companies
6,407
—
—
6,407
Total
investments
in
securities
$
190,050
$
—
$
—
$
190,050
Net
Assets
of
Accounts
(
in
millions)
First
$100
Next
$100
Next
$100
Next
$100
Thereafter
Core
Plus
Bond
Account
.50%
.45%
.40%
.35%
.30%
Equity
Income
Account
.60
.55
.50
.45
.40
LargeCap
Growth
Account
I
.80
.75
.70
.65
.60
MidCap
Account
.65
.60
.55
.50
.45
Real
Estate
Securities
Account
.90
.85
.80
.75
.70
SmallCap
Account
.85
.80
.75
.70
.65
4.
Fair
Valuation
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
33
The
Manager
contractually
agreed
to
limit
the
expenses
(including
acquired
fund
fees
and
expenses,
but
excluding
interest
expense,
expenses
related
to
fund
investments,
and
other
extraordinary
expenses)
for
certain
classes
of
shares
of
certain
of
the
Accounts.
The
reductions
and
reimbursements
are
in
amounts
that
maintain
total
operating
expenses
at
or
below
certain
limits.
The
limits
are
expressed
as
a
percentage
of
average
daily
net
assets
attributable
to
each
class
of
shares
on
an
annualized
basis
during
the
reporting
period.
The
operating
expense
limits,
which
expired
April
30,
2019, were
as
follows:
The
Manager
has
contractually
agreed
to
limit
certain
of
the
Accounts'
management
and
investment
advisory
fees.
The
expense
limit
will
reduce
the account's
management
and
investment
advisory
fees
by
the
following
amounts:
The
Manager
has
contractually
agreed
to
limit
the
expenses
(excluding
interest
expense,
expenses
related
to account
investments,
acquired
fund
fees
and
expenses,
and
other
extraordinary
expenses)
for
certain
classes
of
shares
of
certain
of
the
Accounts.
The
reductions
and
reimbursements
are
in
amounts
that
maintain
total
operating
expenses
at
or
below
certain
limits.
The
limits
are
expressed
as
a
percentage
of
average
daily
net
assets
attributable
to
each
class
of
shares
on
an
annualized
basis
during
the
reporting
period.
The
operating
expense
limits are
as
follows:
*Period
from
June
10,
2019
through
June
30,
2019.
Prior
to
June
10,
2019,
there
was
no
contractual
limit.
The
Manager
has
contractually
agreed
to
reduce
Short-Term
Income
Account’s
expenses
by
.01%
through
the
period
ended
April
30,
2020.
Amounts
owed
to
the Accounts
under
the
terms
of
the
expense
limitation
agreements
are
reflected
in
the
statements
of
assets
and
liabilities
as
expense
reimbursement
from
Manager
and
are
settled
periodically. 
Distribution
Fees.
Class
2
shares
of
the
Accounts
bear
distribution
fees.
The
fee
is
computed
at
an
annual
rate
of
the
average
daily
net
assets
attributable
to
Class
2
shares
of
each
of
the
Accounts.
Distribution
fees
are
paid
to
Principal
Funds
Distributor,
Inc.
(an
affiliate
of
the
Manager),
the
principal
distributor
of
the
Accounts.
A
portion
of
the
distribution
fees
may
be
paid
to
other
selling
dealers
for
providing
certain
services.
The
annual
distribution
fee
rate
is
.25%.
Chief
Compliance
Officer
Expenses.
The Accounts
pay
certain
expenses
associated
with
the
Chief
Compliance
Officer
(“CCO”).
This
expense
is
allocated
based
on
the
relative
net
assets
of
each account
and
is
shown
on
the
statements
of
operations.
Net
Assets
of
Account
(
in
millions)
First
$250
Next
$250
Next
$250
Next
$250
Thereafter
Diversified
International
Account
.85%
.80%
.75%
.70%
.65%
Net
Assets
of
Account
(
in
millions)
First
$200
Next
$300
Over
$500
Short-Term
Income
Account
.50%
.45%
.40%
Net
Assets
of
Account
(
in
millions)
First
$500
Over
$500
Principal
Capital
Appreciation
Account
.625%
.50%
Net
Assets
of
Accounts
(
in
billions)
First
$2
Over
$2
Government
&
High
Quality
Bond
Account
.50%
.45%
Period
from
January
1,
2019
through
April
30,
2019
Class
1
Class
2
SAM
Balanced
Portfolio
.86%
1.11%
SAM
Conservative
Balanced
Portfolio
.84
1.09
SAM
Conservative
Growth
Portfolio
.99
1.24
SAM
Strategic
Growth
Portfolio
.99
1.24
Expiration
LargeCap
Growth
Account
I
.016%
April
30,
2020
Real
Estate
Securities
Account
.020
April
30,
2020
Period
from
January
1,
2019
through
June
30,
2019
Class
1
Class
2
Expiration
LargeCap
Growth
Account
I
.69%*
N/A
April
30,
2021
5.
Management
Agreement
and
Transactions
with
Affiliates
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
34
Affiliated
Ownership.
At
June
30,
2019,
Principal
Life
Insurance
Company
(an
affiliate
of
the
Manager)
and/or
one
or
more
separate
accounts
sponsored
by
Principal
Life
Insurance
Company
owned
shares
of
the
Accounts as
follows
(amounts
in
thousands):
6.
Capital
Share
Transactions
The
following
table
reflects
the
conversion
of
Class 2
shares
into
Class 1
shares
(reflected
in
the
statements
of
changes
in
net
assets
as
Class 2
shares
and
dollars
redeemed
and
Class 1
dollars
sold)
for
the period ended June
30,
2019
(amounts
in
thousands).
7.
Investment
Transactions
For
the period ended
June
30,
2019,
the
cost
of
investment
securities
purchased
and
proceeds
from
investment
securities
sold
(not
including
short-term
investments
and
U.S.
government
securities)
by
the Accounts
were
as
follows
(amounts
in
thousands):
For
the period
ended
June
30,
2019,
the
cost
of
U.S.
government
securities
purchased
and
proceeds
from
U.S.
government
securities
sold
(not
including
short-term
investments)
by
the Accounts
were
as
follows
(amounts
in
thousands):
Class
1
Class
2
Core
Plus
Bond
Account
20,813
N/A
Diversified
International
Account
16,273
N/A
Equity
Income
Account
13,844
208
Government
&
High
Quality
Bond
Account
13,601
N/A
LargeCap
Growth
Account
I
12,616
N/A
MidCap
Account
8,921
N/A
Principal
Capital
Appreciation
Account
3,979
100
Real
Estate
Securities
Account
6,950
190
SAM
Balanced
Portfolio
34,550
1,165
SAM
Conservative
Balanced
Portfolio
13,241
595
SAM
Conservative
Growth
Portfolio
8,998
589
SAM
Flexible
Income
Portfolio
11,774
1,106
SAM
Strategic
Growth
Portfolio
6,929
373
Short-Term
Income
Account
49,401
N/A
SmallCap
Account
10,660
105
Shares
Dollars
Core
Plus
Bond
Account
129
$
1,465
Diversified
International
Account
147
2,256
Government
&
High-Quality
Bond
Account
274
2,691
LargeCap
Growth
Account
I
145
5,163
Short-Term
Income
Account
1,570
4,045
Purchases
Sales
Core
Plus
Bond
Account
$
186,350
$
200,839
Diversified
International
Account
62,200
68,716
Equity
Income
Account
57,154
90,942
Government
&
High
Quality
Bond
Account
11,509
15,449
LargeCap
Growth
Account
I
59,818
65,406
MidCap
Account
32,467
70,661
Principal
Capital
Appreciation
Account
37,220
44,704
Real
Estate
Securities
Account
17,098
25,837
SAM
Balanced
Portfolio
100,147
142,483
SAM
Conservative
Balanced
Portfolio
40,884
44,596
SAM
Conservative
Growth
Portfolio
21,336
36,270
SAM
Flexible
Income
Portfolio
53,662
63,691
SAM
Strategic
Growth
Portfolio
32,971
38,483
Short-Term
Income
Account
45,055
66,994
SmallCap
Account
35,647
49,390
Purchases
Sales
Core
Plus
Bond
Account
$
73,519
$
62,616
Government
&
High
Quality
Bond
Account
688
9,273
Short-Term
Income
Account
3,101
5,650
5.
Management
Agreement
and
Transactions
with
Affiliates
(continued)
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
35
8.
Federal
Tax
Information
Distributions
to
Shareholders.
The
federal
income
tax
character
of
distributions
paid
for
the periods
ended
June
30,
2019 and
December
31,
2018 were
as
follows
(amounts
in
thousands):
*The
Accounts
designate
these
distributions
as
long-term
capital
gain
dividends
per
IRC
Sec.
852
(b)(3)(C)
in
the
20-percent
group
(which
may
be
taxed
at
a
20-percent
rate,
a
15-percent
rate
or
a
0-percent
rate,
depending
on
the
shareholder’s
taxable
income).
^Unrecaptured
Section
1250
gains
are
gains
from
the
sale
of
depreciable
property
that
are
subject
to
a
maximum
tax
rate
of
25%.
Certain
Accounts
may
also
utilize
earnings
and
profits
distributed
to
shareholders
on
redemptions
of
shares
as
part
of
the
dividends
paid
deduction.
For
U.S.
federal
income
tax
purposes,
short-term
capital
gain
distributions
are
considered
ordinary
income
distributions.
Distributable
Earnings.
As
of December
31,
2018,
the
components
of
total
distributable
earnings
(accumulated
loss)
on
a
federal
tax
basis
were
as
follows
(amounts
in
thousands):
*Represents
book-to-tax
accounting
differences.
^Undistributed
Ordinary
Income
reported
includes
$327
of
undistributed
Section
1250
Capital
Gains.
Capital
Loss
Carryforwards.
For
federal
income
tax
purposes,
capital
loss
carryforwards
are
losses
that
can
be
used
to
offset
future
capital
gains
of
the
Accounts.
At December
31,
2018,
the Accounts had
approximate
net
capital
loss
carryforwards
as
follows
(amounts
in
thousands):
Ordinary
Income
Long-Term
Capital
Gain
Section
1250
Gain
2019
2018
2019
2018*
2019
2018^
Core
Plus
Bond
Account
$
—
$
9,636
$
—
$
—
$
—
$
—
Diversified
International
Account
—
6,007
—
—
—
—
Equity
Income
Account
—
13,448
—
33,719
—
—
Government
&
High
Quality
Bond
Account
—
8,671
—
—
—
—
LargeCap
Growth
Account
I
—
452
—
23,404
—
—
MidCap
Account
—
1,796
—
72,238
—
—
Principal
Capital
Appreciation
Account
—
1,753
—
8,213
—
—
Real
Estate
Securities
Account
—
2,980
—
11,
385
—
222
SAM
Balanced
Portfolio
—
24,236
—
34,263
—
—
SAM
Conservative
Balanced
Portfolio
—
6,540
—
6,843
—
—
SAM
Conservative
Growth
Portfolio
—
10,266
—
15,434
—
—
SAM
Flexible
Income
Portfolio
—
8,176
—
4,660
—
—
SAM
Strategic
Growth
Portfolio
—
7,336
—
14,491
—
—
Short-Term
Income
Account
—
3,321
—
—
—
—
SmallCap
Account
—
1,441
—
12,058
—
—
Undistributed
Ordinary
Income
Undistributed
Long-Term
Capital
Gains
Accumulated
Losses
Net
Unrealized
Appreciation
(Depreciation)
Other
Temporary
Differences
*
Total
Accumulated
Earnings
(Deficit)
Core
Plus
Bond
Account
$
10,175
$
—
$
(
6,805
)
$
(
10,493
)
$
91
$
(
7,032
)
Diversified
International
Account
4,108
12,521
—
2,524
—
19,153
Equity
Income
Account
17,075
16,183
—
182,774
—
216,032
Government
&
High
Quality
Bond
Account
6,456
—
(8,862)
(7,132)
(39)
(9,577)
LargeCap
Growth
Account
1
244
34,548
—
75,432
(15)
110,209
MidCap
Account
1,526
79,299
—
100,053
—
180,878
Principal
Capital
Appreciation
Account
2,596
13,120
—
40,099
—
55,815
Real
Estate
Securities
Account
3,463
^
9,689
—
15,761
—
28,913
SAM
Balanced
Portfolio
17,360
24,097
—
41,777
—
83,234
SAM
Conservative
Balanced
Portfolio
5,314
3,637
—
3,247
—
12,198
SAM
Conservative
Growth
Portfolio
5,905
15,505
—
9,048
—
30,458
SAM
Flexible
Income
Portfolio
6,505
5,218
—
732
—
12,455
SAM
Strategic
Growth
Portfolio
4,270
15,096
—
(6,605)
—
12,761
Short-Term
Income
Account
3,393
—
(989)
(1,224)
(7)
1,173
SmallCap
Account
6,339
23,412
—
(6,178)
—
23,573
Short-Term
Long-Term
Total
Core
Plus
Bond
Account
$
2,741
$
4,064
$
6,805
Government
&
High
Quality
Bond
Account
502
8,360
8,862
Short-Term
Income
Account
305
684
989
Notes
to
Financial
Statements
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
36
Capital
losses
generated
in
taxable
years
beginning
after
the
enactment
date
of
the
Regulated
Investment
Company
Modernization
Act
of
2010
on
December
22,
2010,
will
be
carried
forward
with
no
expiration
and
with
the
character
of
the
loss
retained.
Late-Year
Losses.
A
regulated
investment
company
may
elect
to
treat
any
portion
of
its
qualified
late-year
loss
as
arising
on
the
first
day
of
the
next
taxable
year.
Qualified
late-year
losses
are
certain
capital
and
ordinary
losses
which
occur
during
the
portion
of
the account's
taxable
year
subsequent
to
October 31.
For
the
taxable
year
ended
December
31,
2018,
the
Accounts
do
not
plan
to
defer
any
late-year
losses. 
Reclassification
of
Capital
Accounts.
The
Accounts
may
record
reclassifications
in
their
capital
accounts.
These
reclassifications
have
no
impact
on
the
total
net
assets
of
the
Accounts.
The
reclassifications
are
a
result
of
permanent
differences
between
U.S.
GAAP
and
tax
accounting.
Adjustments
are
made
to
reflect
the
impact
these
items
have
on
current
and
future
distributions
to
shareholders.
Therefore,
the
source
of
the Accounts'
distributions
may
be
shown
in
the
accompanying
statements
of
changes
in
net
assets
as
from
net
investment
income
and net
realized
gain
on
investments
or
from
tax
return
of
capital
depending
on
the
type
of
book
and
tax
differences
that
exist.
For
the
year
ended
December
31,
2018,
the
Accounts
recorded
reclassifications
as
follows
(amounts
in
thousands):
Federal
Income
Tax
Basis.
At
June
30,
2019,
the
net
federal
income
tax
unrealized
appreciation
(depreciation)
and
federal
tax
cost
of
investments
held
by
the
Accounts
were
as
follows
(amounts
in
thousands):
9.
Subsequent
Events
Management
has
evaluated
events
and
transactions
that
have
occurred
through
the
date
the
financial
statements
were
issued
that
would
merit
recognition
or
disclosure
in
the
financial
statements. 
There
were
no
items
requiring
adjustment
of
the
financial
statements
or
additional
disclosure.
Total
Distributable
Earnings
(Accumulated
Loss)
Capital
Shares
and
Additional
Paid-in-Capital
Equity
Income
Account
$
(6,455)
$
6,455
LargeCap
Growth
Account
I
(5,038)
5,038
MidCap
Account
(10,946)
10,946
Principal
Capital
Appreciation
Account
(2,184)
2,184
Real
Estate
Securities
Account
59
(59)
Unrealized
Appreciation
Unrealized
(Depreciation)
Net
Unrealized
Appreciation/
(Depreciation)
Cost
for
Federal
Income
Tax
Purposes
Core
Plus
Bond
Account
$
9,227
$
(3,960)
$
5,267
$
335,372
Diversified
International
Account
42,681
(8,232)
34,449
224,664
Equity
Income
Account
286,970
(15,465)
271,505
458,749
Government
&
High
Quality
Bond
Account
4,481
(4,367)
114
224,001
LargeCap
Growth
Account
I
146,419
(6,189)
140,230
335,315
MidCap
Account
218,991
(6,194)
212,797
383,128
Principal
Capital
Appreciation
Account
60,132
(1,789)
58,343
94,776
Real
Estate
Securities
Account
38,513
(1,800)
36,713
117,898
SAM
Balanced
Portfolio
113,729
(2,610)
111,119
591,221
SAM
Conservative
Balanced
Portfolio
19,895
(2,311)
17,584
170,208
SAM
Conservative
Growth
Portfolio
54,700
(1,556)
53,144
284,777
SAM
Flexible
Income
Portfolio
13,600
(2,647)
10,953
175,662
SAM
Strategic
Growth
Portfolio
37,057
(1,430)
35,627
256,697
Short-Term
Income
Account
1,843
(429)
1,414
130,217
SmallCap
Account
38,150
(17,072)
21,078
168,972
8.
Federal
Tax
Information
(continued)
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
37
COMMON
STOCKS
-
0.01%
Shares
Held
Value
(000's)
Oil
&
Gas
Services
-
0.01%
Patterson-UTI
Energy
Inc
3,386‌
$
39‌
TOTAL
COMMON
STOCKS
$
39‌
INVESTMENT
COMPANIES
-
7.59%
Shares
Held
Value
(000's)
Exchange-Traded
Funds
-
2.98%
SPDR
Bloomberg
Barclays
High
Yield
Bond
ETF
88,000‌
9,587‌
Money
Market
Funds
-
4.61%
BlackRock
Liquidity
FedFund
2.26%
(a),(b)
758,291‌
758‌
Principal
Government
Money
Market
Fund
2.23%
(a),(c)
14,059,253‌
14,059‌
$
14,817‌
TOTAL
INVESTMENT
COMPANIES
$
24,404‌
PREFERRED
STOCKS
-
0.00%
Shares
Held
Value
(000's)
Agriculture
-
0.00%
Pinnacle
Operating
Corp
0.00%
(d),(e),(f)
81,952‌
$
7‌
TOTAL
PREFERRED
STOCKS
$
7‌
BONDS
-
56.28%
Principal
Amount
(000's)
Value
(000's)
Aerospace
&
Defense
-
1.27%
Air
2
US
8.63%,
10/01/2020
(g)
$
2‌
$
2‌
Boeing
Co/The
3.10%,
05/01/2026
190‌
196‌
3.20%,
03/01/2029
200‌
207‌
3.50%,
03/01/2039
65‌
65‌
3.63%,
03/01/2048
155‌
155‌
3.90%,
05/01/2049
155‌
162‌
Bombardier
Inc
6.13%,
01/15/2023
(g)
75‌
76‌
7.50%,
03/15/2025
(g)
195‌
196‌
7.88%,
04/15/2027
(g)
45‌
45‌
Lockheed
Martin
Corp
2.90%,
03/01/2025
360‌
370‌
4.09%,
09/15/2052
120‌
134‌
TransDigm
Inc
6.25%,
03/15/2026
(g)
80‌
84‌
7.50%,
03/15/2027
(g)
40‌
42‌
Triumph
Group
Inc
5.25%,
06/01/2022
40‌
39‌
7.75%,
08/15/2025
150‌
145‌
United
Technologies
Corp
2.80%,
05/04/2024
420‌
426‌
3.10%,
06/01/2022
215‌
220‌
3.95%,
08/16/2025
390‌
421‌
4.13%,
11/16/2028
765‌
840‌
4.45%,
11/16/2038
115‌
129‌
4.63%,
11/16/2048
80‌
93‌
5.40%,
05/01/2035
40‌
48‌
$
4,095‌
Agriculture
-
0.78%
Altria
Group
Inc
4.00%,
01/31/2024
235‌
246‌
4.50%,
05/02/2043
5‌
5‌
5.80%,
02/14/2039
85‌
96‌
5.95%,
02/14/2049
55‌
63‌
BAT
Capital
Corp
3.12%,
08/14/2020
200‌
200‌
3
Month
USD
LIBOR
+
0.59%
3.22%,
08/15/2024
170‌
171‌
Imperial
Brands
Finance
PLC
3.75%,
07/21/2022
(g)
220‌
227‌
JBS
Investments
II
GmbH
7.00%,
01/15/2026
(g)
200‌
217‌
Philip
Morris
International
Inc
2.38%,
08/17/2022
120‌
120‌
4.38%,
11/15/2041
20‌
21‌
Pinnacle
Operating
Corp
9.00%,
05/15/2023
(g)
118‌
39‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Agriculture
(continued)
Reynolds
American
Inc
5.70%,
08/15/2035
$
300‌
$
329‌
5.85%,
08/15/2045
45‌
48‌
6.88%,
05/01/2020
580‌
600‌
7.00%,
08/04/2041
120‌
141‌
$
2,523‌
Airlines
-
0.72%
American
Airlines
2013-2
Class
A
Pass
Through
Trust
4.95%,
07/15/2024
564‌
592‌
American
Airlines
2014-1
Class
A
Pass
Through
Trust
3.70%,
04/01/2028
124‌
128‌
American
Airlines
2015-1
Class
A
Pass
Through
Trust
3.38%,
11/01/2028
24‌
24‌
American
Airlines
2016-3
Class
A
Pass
Through
Trust
3.25%,
04/15/2030
206‌
204‌
American
Airlines
2017-1
Class
AA
Pass
Through
Trust
3.65%,
08/15/2030
148‌
154‌
Continental
Airlines
2007-1
Class
A
Pass
Through
Trust
5.98%,
10/19/2023
93‌
99‌
Continental
Airlines
2012-1
Class
A
Pass
Through
Trust
4.15%,
10/11/2025
328‌
343‌
United
Airlines
2014-2
Class
A
Pass
Through
Trust
3.75%,
03/03/2028
240‌
250‌
United
Airlines
2018-1
Class
A
Pass
Through
Trust
3.70%,
09/01/2031
201‌
204‌
United
Airlines
2018-1
Class
AA
Pass
Through
Trust
3.50%,
09/01/2031
197‌
201‌
US
Airways
2013-1
Class
A
Pass
Through
Trust
3.95%,
05/15/2027
103‌
109‌
$
2,308‌
Automobile
Asset
Backed
Securities
-
3.08%
AmeriCredit
Automobile
Receivables
Trust
2017-4
2.56%,
05/18/2021
85‌
85‌
1.00
x
1
Month
USD
LIBOR
+
0.18%
Americredit
Automobile
Receivables
Trust
2018-2
2.86%,
11/18/2021
765‌
766‌
Carmax
Auto
Owner
Trust
2018-4
2.59%,
02/15/2022
1,900‌
1,899‌
1.00
x
1
Month
USD
LIBOR
+
0.20%
Drive
Auto
Receivables
Trust
2018-5
2.71%,
07/15/2021
280‌
280‌
1.00
x
1
Month
USD
LIBOR
+
0.32%
Drive
Auto
Receivables
Trust
2019-1
2.78%,
09/15/2021
369‌
369‌
1.00
x
1
Month
USD
LIBOR
+
0.39%
GM
Financial
Automobile
Leasing
Trust
2018-2
2.60%,
07/20/2020
1,611‌
1,611‌
1.00
x
1
Month
USD
LIBOR
+
0.22%
Santander
Drive
Auto
Receivables
Trust
2018-3
2.66%,
03/15/2021
116‌
117‌
1.00
x
1
Month
USD
LIBOR
+
0.27%
Santander
Drive
Auto
Receivables
Trust
2018-5
2.62%,
07/15/2021
1,773‌
1,772‌
1.00
x
1
Month
USD
LIBOR
+
0.23%
Santander
Drive
Auto
Receivables
Trust
2019-1
2.66%,
01/18/2022
2,500‌
2,500‌
1.00
x
1
Month
USD
LIBOR
+
0.27%
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
38
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Automobile
Asset
Backed
Securities
(continued)
Santander
Retail
Auto
Lease
Trust
2017-A
2.02%,
03/20/2020
(g)
$
1‌
$
1‌
World
Omni
Auto
Receivables
Trust
2019-A
3.02%,
04/15/2022
500‌
503‌
$
9,903‌
Automobile
Manufacturers
-
0.66%
Daimler
Finance
North
America
LLC
2.25%,
03/02/2020
(g)
445‌
445‌
2.70%,
08/03/2020
(g)
450‌
451‌
2.85%,
01/06/2022
(g)
180‌
181‌
General
Motors
Co
6.25%,
10/02/2043
30‌
32‌
6.60%,
04/01/2036
275‌
304‌
General
Motors
Financial
Co
Inc
3.59%,
01/05/2023
450‌
443‌
3
Month
USD
LIBOR
+
0.99%
3.85%,
01/05/2028
100‌
98‌
Navistar
International
Corp
6.63%,
11/01/2025
(g)
175‌
183‌
$
2,137‌
Automobile
Parts
&
Equipment
-
0.07%
IHO
Verwaltungs
GmbH
4.75%,
PIK
5.50%,
09/15/2026
(g),(h),(
i
)
25‌
24‌
Panther
BF
Aggregator
2
LP
/
Panther
Finance
Co
Inc
6.25%,
05/15/2026
(g)
190‌
198‌
$
222‌
Banks
-
6.37%
Bank
of
America
Corp
3.46%,
03/15/2025
(j)
360‌
374‌
3
Month
USD
LIBOR
+
0.97%
3.50%,
05/17/2022
(j)
200‌
204‌
3
Month
USD
LIBOR
+
0.63%
3.97%,
02/07/2030
(j)
525‌
563‌
3
Month
USD
LIBOR
+
1.21%
4.10%,
07/24/2023
180‌
192‌
4.20%,
08/26/2024
830‌
882‌
4.25%,
10/22/2026
150‌
160‌
4.27%,
07/23/2029
(j)
210‌
229‌
3
Month
USD
LIBOR
+
1.31%
Barclays
PLC
7.75%,
12/31/2049
(j),(k)
200‌
205‌
USD
Swap
Semi-Annual
5
Year
+
4.84%
BPCE
SA
2.50%,
07/15/2019
450‌
450‌
CIT
Group
Inc
4.13%,
03/09/2021
75‌
76‌
5.00%,
08/15/2022
120‌
127‌
5.25%,
03/07/2025
20‌
22‌
5.80%,
12/31/2049
(j),(k)
95‌
96‌
3
Month
USD
LIBOR
+
3.97%
6.13%,
03/09/2028
40‌
45‌
Citigroup
Inc
3.52%,
10/27/2028
(j)
390‌
402‌
3
Month
USD
LIBOR
+
1.15%
3.67%,
07/24/2028
(j)
240‌
250‌
3
Month
USD
LIBOR
+
1.39%
3.88%,
03/26/2025
100‌
104‌
4.50%,
01/14/2022
100‌
105‌
4.65%,
07/23/2048
230‌
268‌
Cooperatieve
Rabobank
UA
4.75%,
01/15/2020
(g)
490‌
496‌
DBS
Group
Holdings
Ltd
4.52%,
12/11/2028
(g),(j)
515‌
546‌
USD
Swap
Rate
NY
5
Year
+
1.59%
Discover
Bank
3.10%,
06/04/2020
345‌
347‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Banks
(continued)
First
Republic
Bank/CA
2.50%,
06/06/2022
$
500‌
$
501‌
4.63%,
02/13/2047
500‌
538‌
Goldman
Sachs
Group
Inc
/The
3.63%,
02/20/2024
535‌
558‌
3.85%,
01/26/2027
625‌
653‌
5.38%,
03/15/2020
200‌
204‌
5.75%,
01/24/2022
555‌
600‌
6.75%,
10/01/2037
300‌
392‌
HSBC
Holdings
PLC
3.80%,
03/11/2025
(j)
200‌
208‌
3
Month
USD
LIBOR
+
1.21%
JPMorgan
Chase
&
Co
3.21%,
04/01/2023
(j)
360‌
367‌
3
Month
USD
LIBOR
+
0.70%
3.63%,
05/13/2024
100‌
105‌
3.70%,
05/06/2030
(j)
330‌
348‌
3
Month
USD
LIBOR
+
1.16%
3.96%,
11/15/2048
(j)
100‌
106‌
3
Month
USD
LIBOR
+
1.38%
4.95%,
06/01/2045
125‌
148‌
5.50%,
10/15/2040
260‌
331‌
KeyBank
NA/Cleveland
OH
3.30%,
02/01/2022
250‌
257‌
Morgan
Stanley
4.43%,
01/23/2030
(j)
280‌
310‌
3
Month
USD
LIBOR
+
1.63%
5.00%,
11/24/2025
285‌
316‌
5.50%,
07/28/2021
100‌
106‌
5.55%,
12/31/2049
(j),(k)
165‌
167‌
3
Month
USD
LIBOR
+
3.81%
5.75%,
01/25/2021
240‌
252‌
6.25%,
08/09/2026
100‌
120‌
6.38%,
07/24/2042
270‌
377‌
MUFG
Union
Bank
NA
3.15%,
04/01/2022
250‌
256‌
Popular
Inc
6.13%,
09/14/2023
25‌
27‌
Royal
Bank
of
Canada
3.70%,
10/05/2023
410‌
431‌
Royal
Bank
of
Scotland
Group
PLC
4.27%,
03/22/2025
(j)
400‌
414‌
3
Month
USD
LIBOR
+
1.76%
5.13%,
05/28/2024
555‌
589‌
7.50%,
12/31/2049
(j),(k)
425‌
436‌
USD
Swap
Semi-Annual
5
Year
+
5.80%
Santander
UK
PLC
5.00%,
11/07/2023
(g)
450‌
475‌
Skandinaviska
Enskilda
Banken
AB
5.75%,
12/31/2049
(j),(k)
485‌
489‌
USD
Swap
Semi-Annual
5
Year
+
3.85%
State
Street
Corp
4.14%,
12/03/2029
(j)
155‌
172‌
3
Month
USD
LIBOR
+
1.03%
SunTrust
Bank/Atlanta
GA
4.05%,
11/03/2025
165‌
178‌
Svenska
Handelsbanken
AB
3.90%,
11/20/2023
345‌
366‌
Synchrony
Bank
3.00%,
06/15/2022
650‌
655‌
UBS
AG/London
4.50%,
06/26/2048
(g)
200‌
236‌
UBS
AG/Stamford
CT
2.35%,
03/26/2020
450‌
450‌
UBS
Group
Funding
Switzerland
AG
6.87%,
12/31/2049
(j),(k)
440‌
458‌
USD
Swap
Rate
NY
5
Year
+
5.50%
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
39
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Banks
(continued)
Wells
Fargo
&
Co
3.75%,
01/24/2024
$
485‌
$
510‌
4.15%,
01/24/2029
280‌
305‌
4.40%,
06/14/2046
140‌
151‌
Zions
Bancorp
NA
3.50%,
08/27/2021
790‌
806‌
$
20,511‌
Beverages
-
0.75%
Anheuser-Busch
Cos
LLC
/
Anheuser-Busch
InBev
Worldwide
Inc
3.65%,
02/01/2026
115‌
121‌
4.90%,
02/01/2046
395‌
440‌
Anheuser-Busch
InBev
Finance
Inc
3.70%,
02/01/2024
190‌
200‌
Anheuser-Busch
InBev
Worldwide
Inc
2.50%,
07/15/2022
100‌
101‌
4.38%,
04/15/2038
145‌
153‌
4.75%,
04/15/2058
70‌
74‌
5.45%,
01/23/2039
225‌
268‌
5.55%,
01/23/2049
390‌
478‌
Constellation
Brands
Inc
2.65%,
11/07/2022
255‌
256‌
4.40%,
11/15/2025
70‌
76‌
5.25%,
11/15/2048
110‌
127‌
Keurig
Dr
Pepper
Inc
3.55%,
05/25/2021
115‌
117‌
$
2,411‌
Biotechnology
-
0.31%
Amgen
Inc
2.20%,
05/11/2020
315‌
314‌
3.88%,
11/15/2021
100‌
103‌
Celgene
Corp
2.88%,
08/15/2020
315‌
317‌
5.25%,
08/15/2043
30‌
36‌
Gilead
Sciences
Inc
3.65%,
03/01/2026
100‌
106‌
4.40%,
12/01/2021
100‌
105‌
$
981‌
Building
Materials
-
0.11%
BMC
East
LLC
5.50%,
10/01/2024
(g)
105‌
107‌
Builders
FirstSource
Inc
5.63%,
09/01/2024
(g)
90‌
93‌
6.75%,
06/01/2027
(g)
80‌
84‌
Norbord
Inc
5.75%,
07/15/2027
(g)
65‌
65‌
$
349‌
Chemicals
-
0.63%
Aruba
Investments
Inc
8.75%,
02/15/2023
(g)
105‌
105‌
Blue
Cube
Spinco
LLC
9.75%,
10/15/2023
70‌
77‌
Braskem
Finance
Ltd
6.45%,
02/03/2024
200‌
221‌
CF
Industries
Inc
7.13%,
05/01/2020
20‌
21‌
Consolidated
Energy
Finance
SA
6.50%,
05/15/2026
(g)
165‌
164‌
6.88%,
06/15/2025
(g)
150‌
154‌
Dow
Chemical
Co/The
3.63%,
05/15/2026
(g)
190‌
197‌
5.55%,
11/30/2048
(g)
55‌
65‌
DuPont
de
Nemours
Inc
5.32%,
11/15/2038
190‌
223‌
5.42%,
11/15/2048
205‌
249‌
NOVA
Chemicals
Corp
5.25%,
08/01/2023
(g)
35‌
35‌
5.25%,
06/01/2027
(g)
100‌
106‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Chemicals
(continued)
SABIC
Capital
II
BV
4.00%,
10/10/2023
(g)
$
200‌
$
208‌
SASOL
Financing
USA
LLC
5.88%,
03/27/2024
200‌
217‌
$
2,042‌
Commercial
Mortgage
Backed
Securities
-
5.06%
Banc
of
America
Commercial
Mortgage
Trust
2015-UBS7
3.71%,
09/15/2048
500‌
533‌
BANK
2017-BNK9
4.03%,
11/15/2054
(h)
500‌
525‌
BBCMS
MORTGAGE
TRUST
2017-C1
3.67%,
02/15/2050
500‌
530‌
BENCHMARK
2018-B4
4.12%,
07/15/2051
(h)
500‌
554‌
Citigroup
Commercial
Mortgage
Trust
2015-GC27
3.57%,
02/10/2048
900‌
937‌
Citigroup
Commercial
Mortgage
Trust
2015-GC29
4.28%,
04/10/2048
(h)
500‌
521‌
Citigroup
Commercial
Mortgage
Trust
2016-GC37
3.58%,
04/10/2049
350‌
365‌
Citigroup
Commercial
Mortgage
Trust
2018-B2
4.01%,
03/10/2051
350‌
384‌
COMM
2013-CCRE11
Mortgage
Trust
1.10%,
08/10/2050
(h),(l)
6,034‌
210‌
COMM
2013-CCRE8
Mortgage
Trust
4.09%,
06/10/2046
(g),(h)
350‌
365‌
COMM
2015-PC1
Mortgage
Trust
4.29%,
07/10/2050
(h)
250‌
269‌
COMM
2018-COR3
Mortgage
Trust
4.23%,
05/10/2051
1,000‌
1,110‌
Credit
Suisse
Commercial
Mortgage
Trust
Series
2006-C5
1.09%,
12/15/2039
(h),(l)
134‌
1‌
DBUBS
2011-LC2
Mortgage
Trust
4.54%,
07/10/2044
(g)
749‌
775‌
GS
Mortgage
Securities
Trust
2011-GC5
1.50%,
08/10/2044
(g),(h),(l)
9,296‌
196‌
GS
Mortgage
Securities
Trust
2012-GCJ7
2.36%,
05/10/2045
(h),(l)
1,718‌
66‌
GS
Mortgage
Securities
Trust
2013-GC16
1.22%,
11/10/2046
(h),(l)
1,949‌
75‌
GS
Mortgage
Securities
Trust
2013-GCJ12
3.78%,
06/10/2046
(h)
250‌
257‌
GS
Mortgage
Securities
Trust
2014-GC26
1.15%,
11/10/2047
(h),(l)
4,617‌
195‌
GS
Mortgage
Securities
Trust
2015-GC34
3.51%,
10/10/2048
375‌
395‌
GS
Mortgage
Securities
Trust
2015-GS1
3.73%,
11/10/2048
1,000‌
1,064‌
GS
Mortgage
Securities
Trust
2019-GC39
3.57%,
05/10/2052
300‌
320‌
JP
Morgan
Chase
Commercial
Mortgage
Securities
Trust
2010-C1
5.95%,
06/15/2043
(g)
400‌
405‌
JP
Morgan
Chase
Commercial
Mortgage
Securities
Trust
2011-C5
5.55%,
08/15/2046
(g),(h)
350‌
366‌
JP
Morgan
Chase
Commercial
Mortgage
Securities
Trust
2012-LC9
1.66%,
12/15/2047
(h),(l)
2,212‌
90‌
JP
Morgan
Chase
Commercial
Mortgage
Securities
Trust
2013-C16
1.11%,
12/15/2046
(h),(l)
8,148‌
283‌
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
40
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Commercial
Mortgage
Backed
Securities
(continued)
JP
Morgan
Chase
Commercial
Mortgage
Securities
Trust
2016-JP3
3.14%,
08/15/2049
$
500‌
$
505‌
JPMBB
Commercial
Mortgage
Securities
Trust
2014-C24
4.54%,
11/15/2047
(h)
500‌
521‌
LB-UBS
Commercial
Mortgage
Trust
2007-C1
0.35%,
02/15/2040
(h),(l)
421‌
—‌
Morgan
Stanley
Bank
of
America
Merrill
Lynch
Trust
2012-C5
1.62%,
08/15/2045
(g),(h),(l)
3,348‌
119‌
Morgan
Stanley
Bank
of
America
Merrill
Lynch
Trust
2014-C14
1.18%,
02/15/2047
(h),(l)
6,633‌
221‌
Morgan
Stanley
Bank
of
America
Merrill
Lynch
Trust
2014-C16
1.18%,
06/15/2047
(h),(l)
3,641‌
136‌
Morgan
Stanley
Bank
of
America
Merrill
Lynch
Trust
2015-C26
3.89%,
10/15/2048
(h)
250‌
264‌
Morgan
Stanley
Bank
of
America
Merrill
Lynch
Trust
2015-C27
3.75%,
12/15/2047
100‌
107‌
Morgan
Stanley
Bank
of
America
Merrill
Lynch
Trust
2016-C30
3.18%,
09/15/2049
500‌
504‌
MSBAM
Commercial
Mortgage
Securities
Trust
2012-CKSV
1.21%,
10/15/2030
(g),(h),(l)
3,556‌
103‌
UBS
Commercial
Mortgage
Trust
2012-C1
3.40%,
05/10/2045
146‌
150‌
UBS-Barclays
Commercial
Mortgage
Trust
2012-C3
3.09%,
08/10/2049
255‌
261‌
UBS-Barclays
Commercial
Mortgage
Trust
2012-C4
1.78%,
12/10/2045
(g),(h),(l)
1,220‌
54‌
3.32%,
12/10/2045
(g)
500‌
511‌
UBS-Barclays
Commercial
Mortgage
Trust
2013-C5
4.21%,
03/10/2046
(g),(h)
175‌
167‌
Wells
Fargo
Commercial
Mortgage
Trust
2015-NXS1
3.66%,
05/15/2048
(h)
700‌
719‌
Wells
Fargo
Commercial
Mortgage
Trust
2017-C38
3.45%,
07/15/2050
500‌
526‌
WFRBS
Commercial
Mortgage
Trust
2013-C12
1.41%,
03/15/2048
(g),(h),(l)
2,824‌
102‌
WFRBS
Commercial
Mortgage
Trust
2014-C22
4.07%,
09/15/2057
(h)
500‌
531‌
$
16,292‌
Commercial
Services
-
0.32%
Ahern
Rentals
Inc
7.38%,
05/15/2023
(g)
145‌
129‌
DP
World
PLC
6.85%,
07/02/2037
100‌
126‌
ERAC
USA
Finance
LLC
7.00%,
10/15/2037
(g)
100‌
137‌
Garda
World
Security
Corp
8.75%,
05/15/2025
(g)
130‌
128‌
Garda
World
Security
Corp/Old
7.25%,
11/15/2021
(g)
25‌
25‌
Refinitiv
US
Holdings
Inc
6.25%,
05/15/2026
(g)
95‌
98‌
8.25%,
11/15/2026
(g)
120‌
123‌
TMS
International
Corp
7.25%,
08/15/2025
(g)
155‌
150‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Commercial
Services
(continued)
United
Rentals
North
America
Inc
4.63%,
10/15/2025
$
75‌
$
76‌
4.88%,
01/15/2028
25‌
25‌
5.88%,
09/15/2026
15‌
16‌
$
1,033‌
Computers
-
0.97%
Apple
Inc
2.40%,
05/03/2023
100‌
101‌
2.75%,
01/13/2025
220‌
225‌
2.85%,
05/11/2024
665‌
685‌
3.00%,
02/09/2024
270‌
279‌
3.35%,
02/09/2027
570‌
599‌
Dell
Inc
4.63%,
04/01/2021
155‌
159‌
Dell
International
LLC
/
EMC
Corp
4.90%,
10/01/2026
(g)
530‌
553‌
7.13%,
06/15/2024
(g)
330‌
348‌
8.35%,
07/15/2046
(g)
125‌
158‌
$
3,107‌
Consumer
Products
-
0.02%
Prestige
Brands
Inc
5.38%,
12/15/2021
(g)
35‌
35‌
Spectrum
Brands
Inc
6.63%,
11/15/2022
20‌
21‌
$
56‌
Credit
Card
Asset
Backed
Securities
-
0.31%
Chase
Issuance
Trust
2.69%,
01/15/2022
1,000‌
1,001‌
1.00
x
1
Month
USD
LIBOR
+
0.30%
Distribution
&
Wholesale
-
0.05%
American
Builders
&
Contractors
Supply
Co
Inc
5.75%,
12/15/2023
(g)
95‌
99‌
5.88%,
05/15/2026
(g)
55‌
57‌
$
156‌
Diversified
Financial
Services
-
1.43%
Aircastle
Ltd
5.13%,
03/15/2021
20‌
21‌
Ally
Financial
Inc
4.25%,
04/15/2021
30‌
31‌
Brookfield
Finance
Inc
3.90%,
01/25/2028
395‌
403‌
4.00%,
04/01/2024
750‌
788‌
4.70%,
09/20/2047
465‌
486‌
4.85%,
03/29/2029
100‌
109‌
Credit
Acceptance
Corp
6.13%,
02/15/2021
105‌
105‌
6.63%,
03/15/2026
(g)
285‌
300‌
7.38%,
03/15/2023
160‌
166‌
E*TRADE
Financial
Corp
5.30%,
12/31/2049
(j),(k)
235‌
228‌
3
Month
USD
LIBOR
+
3.16%
GE
Capital
International
Funding
Co
Unlimited
Co
4.42%,
11/15/2035
200‌
198‌
Navient
Corp
6.13%,
03/25/2024
105‌
108‌
6.63%,
07/26/2021
165‌
175‌
6.75%,
06/15/2026
(m)
135‌
140‌
Nuveen
Finance
LLC
4.13%,
11/01/2024
(g)
640‌
689‌
Nuveen
LLC
4.00%,
11/01/2028
(g)
320‌
351‌
Springleaf
Finance
Corp
5.63%,
03/15/2023
75‌
80‌
6.63%,
01/15/2028
30‌
31‌
6.88%,
03/15/2025
190‌
208‌
$
4,617‌
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
41
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Electric
-
3.21%
AEP
Texas
Inc
4.15%,
05/01/2049
$
115‌
$
124‌
Alabama
Power
Co
4.15%,
08/15/2044
120‌
129‌
CMS
Energy
Corp
3.00%,
05/15/2026
145‌
145‌
4.70%,
03/31/2043
135‌
149‌
4.88%,
03/01/2044
180‌
207‌
Commonwealth
Edison
Co
4.00%,
03/01/2049
255‌
274‌
Consolidated
Edison
Co
of
New
York
Inc
4.63%,
12/01/2054
150‌
168‌
Dominion
Energy
Inc
2.58%,
07/01/2020
900‌
899‌
3.90%,
10/01/2025
115‌
123‌
4.25%,
06/01/2028
305‌
332‌
DTE
Electric
Co
3.95%,
03/01/2049
75‌
82‌
DTE
Energy
Co
3.40%,
06/15/2029
455‌
463‌
6.38%,
04/15/2033
85‌
109‌
Duke
Energy
Florida
LLC
3.80%,
07/15/2028
295‌
318‌
Electricite
de
France
SA
5.63%,
12/31/2049
(g),(j),(k)
280‌
288‌
USD
Swap
Semi-Annual
10
Year
+
3.04%
Enel
Chile
SA
4.88%,
06/12/2028
105‌
115‌
Exelon
Corp
3.50%,
06/01/2022
290‌
297‌
Fortis
Inc
/Canada
2.10%,
10/04/2021
185‌
183‌
3.06%,
10/04/2026
103‌
102‌
Georgia
Power
Co
4.30%,
03/15/2043
80‌
84‌
Indiantown
Cogeneration
LP
9.77%,
12/15/2020
35‌
36‌
LG&E
&
KU
Energy
LLC
4.38%,
10/01/2021
100‌
104‌
Louisville
Gas
&
Electric
Co
4.25%,
04/01/2049
105‌
118‌
Metropolitan
Edison
Co
3.50%,
03/15/2023
(g)
100‌
103‌
MidAmerican
Energy
Co
4.25%,
07/15/2049
45‌
51‌
National
Rural
Utilities
Cooperative
Finance
Corp
2.40%,
04/25/2022
255‌
257‌
4.75%,
04/30/2043
(j)
125‌
123‌
3
Month
USD
LIBOR
+
2.91%
NextEra
Energy
Capital
Holdings
Inc
3.50%,
04/01/2029
375‌
390‌
NextEra
Energy
Operating
Partners
LP
4.25%,
07/15/2024
(g)
130‌
131‌
NRG
Energy
Inc
5.25%,
06/15/2029
(g)
40‌
43‌
6.63%,
01/15/2027
110‌
119‌
7.25%,
05/15/2026
85‌
94‌
NSTAR
Electric
Co
3.25%,
05/15/2029
350‌
363‌
Oncor
Electric
Delivery
Co
LLC
5.25%,
09/30/2040
120‌
150‌
5.75%,
03/15/2029
200‌
247‌
PacifiCorp
3.85%,
06/15/2021
150‌
154‌
5.25%,
06/15/2035
100‌
119‌
PPL
Electric
Utilities
Corp
3.95%,
06/01/2047
85‌
91‌
4.75%,
07/15/2043
115‌
135‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Electric
(continued)
PPL
WEM
Ltd
/
Western
Power
Distribution
Ltd
5.38%,
05/01/2021
(g)
$
440‌
$
455‌
Public
Service
Co
of
Colorado
4.05%,
09/15/2049
105‌
116‌
Public
Service
Enterprise
Group
Inc
2.88%,
06/15/2024
215‌
218‌
Solar
Star
Funding
LLC
5.38%,
06/30/2035
(g)
100‌
102‌
Southern
California
Edison
Co
4.13%,
03/01/2048
115‌
116‌
4.20%,
03/01/2029
250‌
266‌
4.88%,
03/01/2049
210‌
236‌
Southern
Co/The
5.50%,
03/15/2057
(j)
50‌
51‌
3
Month
USD
LIBOR
+
3.63%
Southwestern
Electric
Power
Co
3.55%,
02/15/2022
100‌
102‌
3.85%,
02/01/2048
100‌
98‌
State
Grid
Overseas
Investment
2016
Ltd
3.50%,
05/04/2027
250‌
259‌
Tucson
Electric
Power
Co
3.85%,
03/15/2023
100‌
103‌
4.85%,
12/01/2048
65‌
76‌
Virginia
Electric
&
Power
Co
3.80%,
04/01/2028
230‌
247‌
4.60%,
12/01/2048
95‌
109‌
4.65%,
08/15/2043
65‌
75‌
Vistra
Energy
Corp
7.38%,
11/01/2022
25‌
26‌
8.13%,
01/30/2026
(g)
35‌
38‌
Vistra
Operations
Co
LLC
5.00%,
07/31/2027
(g)
40‌
41‌
5.50%,
09/01/2026
(g)
120‌
127‌
5.63%,
02/15/2027
(g)
40‌
42‌
$
10,322‌
Electrical
Components
&
Equipment
-
0.03%
Energizer
Holdings
Inc
5.50%,
06/15/2025
(g)
65‌
66‌
6.38%,
07/15/2026
(g)
45‌
46‌
$
112‌
Electronics
-
0.07%
ADT
Security
Corp/The
6.25%,
10/15/2021
45‌
47‌
Sensata
Technologies
BV
5.00%,
10/01/2025
(g)
155‌
162‌
$
209‌
Engineering
&
Construction
-
0.02%
MasTec
Inc
4.88%,
03/15/2023
60‌
61‌
Entertainment
-
0.33%
Boyne
USA
Inc
7.25%,
05/01/2025
(g)
195‌
211‌
Caesars
Resort
Collection
LLC
/
CRC
Finco
Inc
5.25%,
10/15/2025
(g)
195‌
195‌
CCM
Merger
Inc
6.00%,
03/15/2022
(g)
115‌
118‌
Eldorado
Resorts
Inc
6.00%,
04/01/2025
35‌
37‌
6.00%,
09/15/2026
185‌
202‌
7.00%,
08/01/2023
50‌
52‌
Enterprise
Development
Authority/The
12.00%,
07/15/2024
(g)
130‌
141‌
Lions
Gate
Capital
Holdings
LLC
5.88%,
11/01/2024
(g)
25‌
26‌
6.38%,
02/01/2024
(g)
65‌
68‌
Scientific
Games
International
Inc
10.00%,
12/01/2022
13‌
14‌
$
1,064‌
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
42
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Environmental
Control
-
0.31%
Republic
Services
Inc
3.55%,
06/01/2022
$
100‌
$
103‌
Stericycle
Inc
5.38%,
07/15/2024
(g)
110‌
115‌
Waste
Connections
Inc
4.25%,
12/01/2028
300‌
328‌
Waste
Management
Inc
3.20%,
06/15/2026
430‌
447‌
$
993‌
Food
-
0.95%
Albertsons
Cos
LLC
/
Safeway
Inc
/
New
Albertsons
LP
/
Albertson's
LLC
7.50%,
03/15/2026
(g)
135‌
144‌
General
Mills
Inc
4.55%,
04/17/2038
120‌
128‌
Gruma
SAB
de
CV
4.88%,
12/01/2024
(g)
350‌
371‌
Ingles
Markets
Inc
5.75%,
06/15/2023
145‌
148‌
JBS
USA
LUX
SA
/
JBS
USA
Finance
Inc
5.75%,
06/15/2025
(g)
195‌
203‌
JBS
USA
LUX
SA
/
JBS
USA
Food
Co
/
JBS
USA
Finance
Inc
6.50%,
04/15/2029
(g)
45‌
49‌
Kraft
Heinz
Foods
Co
5.00%,
07/15/2035
135‌
141‌
McCormick
&
Co
Inc
/MD
3.15%,
08/15/2024
325‌
332‌
Nestle
Holdings
Inc
3.35%,
09/24/2023
(g)
240‌
250‌
3.50%,
09/24/2025
(g)
360‌
382‌
Post
Holdings
Inc
5.00%,
08/15/2026
(g)
225‌
228‌
5.75%,
03/01/2027
(g)
30‌
31‌
TreeHouse
Foods
Inc
4.88%,
03/15/2022
30‌
30‌
Want
Want
China
Finance
Ltd
2.88%,
04/27/2022
200‌
201‌
Wm
Wrigley
Jr
Co
3.38%,
10/21/2020
(g)
415‌
421‌
$
3,059‌
Forest
Products
&
Paper
-
0.10%
Domtar
Corp
6.25%,
09/01/2042
225‌
239‌
International
Paper
Co
4.35%,
08/15/2048
95‌
93‌
$
332‌
Gas
-
0.15%
Piedmont
Natural
Gas
Co
Inc
3.50%,
06/01/2029
280‌
293‌
Southern
Co
Gas
Capital
Corp
4.40%,
05/30/2047
165‌
175‌
$
468‌
Healthcare
-
Products
-
0.70%
Abbott
Laboratories
2.90%,
11/30/2021
25‌
25‌
3.75%,
11/30/2026
170‌
184‌
4.90%,
11/30/2046
540‌
667‌
Becton
Dickinson
and
Co
3.36%,
06/06/2024
200‌
206‌
3.50%,
06/06/2022
165‌
166‌
3
Month
USD
LIBOR
+
1.03%
4.69%,
12/15/2044
141‌
156‌
Boston
Scientific
Corp
4.00%,
03/01/2029
240‌
260‌
4.70%,
03/01/2049
190‌
218‌
Kinetic
Concepts
Inc
/
KCI
USA
Inc
7.88%,
02/15/2021
(g)
60‌
62‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Healthcare
-
Products
(continued)
Medtronic
Inc
4.38%,
03/15/2035
$
245‌
$
282‌
4.63%,
03/15/2045
17‌
21‌
$
2,247‌
Healthcare
-
Services
-
0.77%
AHP
Health
Partners
Inc
9.75%,
07/15/2026
(g)
180‌
194‌
Centene
Corp
4.75%,
05/15/2022
255‌
260‌
5.38%,
06/01/2026
(g)
110‌
116‌
5.63%,
02/15/2021
70‌
71‌
6.13%,
02/15/2024
60‌
63‌
HCA
Healthcare
Inc
6.25%,
02/15/2021
240‌
251‌
HCA
Inc
4.75%,
05/01/2023
245‌
262‌
5.50%,
06/15/2047
50‌
53‌
5.88%,
03/15/2022
10‌
11‌
5.88%,
02/01/2029
290‌
318‌
MPH
Acquisition
Holdings
LLC
7.13%,
06/01/2024
(g)
55‌
52‌
Tenet
Healthcare
Corp
4.63%,
07/15/2024
95‌
96‌
6.00%,
10/01/2020
90‌
93‌
UnitedHealth
Group
Inc
3.88%,
12/15/2028
280‌
306‌
WellCare
Health
Plans
Inc
5.25%,
04/01/2025
325‌
339‌
$
2,485‌
Home
Builders
-
0.17%
Century
Communities
Inc
5.88%,
07/15/2025
140‌
141‌
6.75%,
06/01/2027
(g)
35‌
36‌
KB
Home
7.63%,
05/15/2023
55‌
61‌
Lennar
Corp
4.88%,
12/15/2023
120‌
126‌
LGI
Homes
Inc
6.88%,
07/15/2026
(g)
75‌
77‌
Taylor
Morrison
Communities
Inc
/
Taylor
Morrison
Holdings
II
Inc
5.63%,
03/01/2024
(g)
70‌
72‌
TRI
Pointe
Group
Inc
4.88%,
07/01/2021
30‌
31‌
$
544‌
Home
Equity
Asset
Backed
Securities
-
0.06%
Saxon
Asset
Securities
Trust
2004-1
3.18%,
03/25/2035
124‌
69‌
1.00
x
1
Month
USD
LIBOR
+
1.70%
Specialty
Underwriting
&
Residential
Finance
Trust
Series
2004-BC1
3.17%,
02/25/2035
123‌
122‌
1.00
x
1
Month
USD
LIBOR
+
0.77%
$
191‌
Insurance
-
2.11%
AIA
Group
Ltd
3.20%,
03/11/2025
(g)
410‌
419‌
3.90%,
04/06/2028
(g)
625‌
663‌
American
International
Group
Inc
3.90%,
04/01/2026
805‌
842‌
4.50%,
07/16/2044
400‌
423‌
Arch
Capital
Finance
LLC
4.01%,
12/15/2026
265‌
284‌
5.03%,
12/15/2046
340‌
406‌
CNO
Financial
Group
Inc
5.25%,
05/30/2029
70‌
76‌
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
43
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Insurance
(continued)
Markel
Corp
3.50%,
11/01/2027
$
180‌
$
180‌
4.30%,
11/01/2047
95‌
93‌
5.00%,
04/05/2046
405‌
433‌
5.00%,
05/20/2049
120‌
130‌
PartnerRe
Finance
B
LLC
3.70%,
07/02/2029
300‌
305‌
Swiss
Re
Finance
Luxembourg
SA
5.00%,
04/02/2049
(g),(j)
200‌
214‌
US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
3.58%
Voya
Financial
Inc
5.65%,
05/15/2053
(j)
475‌
493‌
3
Month
USD
LIBOR
+
3.58%
6.13%,
12/31/2049
(j),(k)
50‌
52‌
US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
3.36%
XLIT
Ltd
4.45%,
03/31/2025
885‌
956‌
5.05%,
12/31/2049
(k)
305‌
293‌
3
Month
USD
LIBOR
+
2.46%
5.50%,
03/31/2045
450‌
531‌
$
6,793‌
Internet
-
0.34%
Alibaba
Group
Holding
Ltd
3.40%,
12/06/2027
200‌
203‌
Amazon.com
Inc
4.05%,
08/22/2047
100‌
114‌
Baidu
Inc
4.38%,
05/14/2024
200‌
212‌
Netflix
Inc
5.38%,
02/01/2021
145‌
150‌
Symantec
Corp
3.95%,
06/15/2022
65‌
66‌
Tencent
Holdings
Ltd
3.98%,
04/11/2029
(g)
200‌
209‌
Zayo
Group
LLC
/
Zayo
Capital
Inc
6.00%,
04/01/2023
140‌
143‌
$
1,097‌
Investment
Companies
-
0.10%
Icahn
Enterprises
LP
/
Icahn
Enterprises
Finance
Corp
6.25%,
02/01/2022
165‌
169‌
6.25%,
05/15/2026
(g)
80‌
81‌
6.38%,
12/15/2025
65‌
66‌
$
316‌
Iron
&
Steel
-
0.06%
AK
Steel
Corp
6.38%,
10/15/2025
60‌
48‌
7.50%,
07/15/2023
50‌
51‌
7.63%,
10/01/2021
50‌
49‌
ArcelorMittal
5.50%,
03/01/2021
20‌
21‌
Vale
Overseas
Ltd
6.88%,
11/21/2036
26‌
31‌
$
200‌
Leisure
Products
&
Services
-
0.00%
NCL
Corp
Ltd
4.75%,
12/15/2021
(g)
10‌
10‌
Lodging
-
0.15%
Jack
Ohio
Finance
LLC
/
Jack
Ohio
Finance
1
Corp
6.75%,
11/15/2021
(g)
165‌
169‌
MGM
Resorts
International
6.00%,
03/15/2023
60‌
65‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Lodging
(continued)
Wynn
Las
Vegas
LLC
/
Wynn
Las
Vegas
Capital
Corp
5.25%,
05/15/2027
(g)
$
200‌
$
201‌
5.50%,
03/01/2025
(g)
50‌
52‌
$
487‌
Machinery
-
Diversified
-
0.09%
Cloud
Crane
LLC
10.13%,
08/01/2024
(g)
260‌
279‌
Media
-
2.81%
Altice
Financing
SA
6.63%,
02/15/2023
(g)
200‌
205‌
Altice
Luxembourg
SA
7.75%,
05/15/2022
(g)
200‌
203‌
AMC
Networks
Inc
4.75%,
12/15/2022
30‌
30‌
CCO
Holdings
LLC
/
CCO
Holdings
Capital
Corp
5.13%,
02/15/2023
215‌
218‌
5.13%,
05/01/2023
(g)
365‌
373‌
5.50%,
05/01/2026
(g)
250‌
262‌
Charter
Communications
Operating
LLC
/
Charter
Communications
Operating
Capital
3.58%,
07/23/2020
305‌
308‌
5.75%,
04/01/2048
155‌
171‌
6.48%,
10/23/2045
120‌
141‌
Comcast
Corp
3.38%,
02/15/2025
335‌
351‌
3.95%,
10/15/2025
200‌
216‌
4.15%,
10/15/2028
875‌
964‌
4.20%,
08/15/2034
160‌
177‌
4.60%,
10/15/2038
405‌
464‌
4.60%,
08/15/2045
160‌
182‌
4.70%,
10/15/2048
110‌
129‌
6.45%,
03/15/2037
200‌
271‌
CSC
Holdings
LLC
6.50%,
02/01/2029
(g)
208‌
227‌
6.75%,
11/15/2021
40‌
43‌
Discovery
Communications
LLC
4.13%,
05/15/2029
150‌
156‌
5.30%,
05/15/2049
50‌
54‌
DISH
DBS
Corp
5.13%,
05/01/2020
70‌
70‌
5.88%,
07/15/2022
160‌
162‌
5.88%,
11/15/2024
90‌
85‌
7.75%,
07/01/2026
20‌
19‌
Fox
Corp
5.48%,
01/25/2039
(g)
110‌
130‌
Grupo
Televisa
SAB
5.25%,
05/24/2049
200‌
208‌
Meredith
Corp
6.88%,
02/01/2026
365‌
387‌
NBCUniversal
Media
LLC
4.45%,
01/15/2043
145‌
160‌
5.15%,
04/30/2020
505‌
517‌
Radiate
Holdco
LLC
/
Radiate
Finance
Inc
6.63%,
02/15/2025
(g)
35‌
34‌
6.88%,
02/15/2023
(g)
40‌
40‌
Time
Warner
Cable
LLC
5.88%,
11/15/2040
135‌
146‌
6.55%,
05/01/2037
100‌
116‌
Viacom
Inc
4.25%,
09/01/2023
110‌
116‌
4.38%,
03/15/2043
375‌
367‌
Virgin
Media
Finance
PLC
6.00%,
10/15/2024
(g)
200‌
207‌
Walt
Disney
Co/The
3.00%,
09/15/2022
(g)
170‌
174‌
5.40%,
10/01/2043
(g)
230‌
300‌
6.15%,
02/15/2041
(g)
35‌
49‌
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
44
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Media
(continued)
Walt
Disney
Co/The  
(continued)
6.20%,
12/15/2034
(g)
$
20‌
$
27‌
6.40%,
12/15/2035
(g)
85‌
116‌
Ziggo
Bond
Co
BV
6.00%,
01/15/2027
(g)
300‌
301‌
Ziggo
BV
5.50%,
01/15/2027
(g)
150‌
153‌
$
9,029‌
Metal
Fabrication
&
Hardware
-
0.02%
Park-Ohio
Industries
Inc
6.63%,
04/15/2027
60‌
60‌
Mining
-
0.50%
First
Quantum
Minerals
Ltd
7.00%,
02/15/2021
(g)
8‌
8‌
7.50%,
04/01/2025
(g)
200‌
190‌
FMG
Resources
August
2006
Pty
Ltd
4.75%,
05/15/2022
(g)
125‌
129‌
Hudbay
Minerals
Inc
7.25%,
01/15/2023
(g)
25‌
26‌
7.63%,
01/15/2025
(g)
115‌
119‌
IAMGOLD
Corp
7.00%,
04/15/2025
(g)
130‌
135‌
Newmont
Goldcorp
Corp
5.13%,
10/01/2019
150‌
151‌
Taseko
Mines
Ltd
8.75%,
06/15/2022
(g)
135‌
130‌
Teck
Resources
Ltd
3.75%,
02/01/2023
60‌
61‌
5.40%,
02/01/2043
65‌
67‌
6.13%,
10/01/2035
180‌
205‌
6.25%,
07/15/2041
270‌
303‌
8.50%,
06/01/2024
(g)
75‌
80‌
$
1,604‌
Miscellaneous
Manufacturers
-
0.34%
General
Electric
Co
4.50%,
03/11/2044
45‌
44‌
5.55%,
01/05/2026
180‌
201‌
6.88%,
01/10/2039
75‌
94‌
Ingersoll-Rand
Luxembourg
Finance
SA
3.80%,
03/21/2029
195‌
205‌
Parker-Hannifin
Corp
2.70%,
06/14/2024
100‌
101‌
3.25%,
06/14/2029
275‌
285‌
4.00%,
06/14/2049
160‌
169‌
$
1,099‌
Mortgage
Backed
Securities
-
3.45%
Fannie
Mae
REMIC
Trust
2005-W2
2.60%,
05/25/2035
42‌
42‌
1.00
x
1
Month
USD
LIBOR
+
0.20%
Fannie
Mae
REMICS
2.25%,
07/25/2040
89‌
90‌
3.00%,
04/25/2022
(l)
271‌
8‌
3.00%,
04/25/2027
(l)
239‌
19‌
3.50%,
11/25/2027
(l)
166‌
15‌
3.50%,
07/25/2028
(l)
316‌
27‌
3.50%,
03/25/2031
(l)
376‌
23‌
3.60%,
10/25/2046
(l)
1,142‌
252‌
(1.00)
x
1
Month
USD
LIBOR
+
6.00%
3.70%,
02/25/2043
(l)
340‌
66‌
(1.00)
x
1
Month
USD
LIBOR
+
6.10%
3.70%,
09/25/2046
(l)
305‌
55‌
(1.00)
x
1
Month
USD
LIBOR
+
6.10%
3.75%,
09/25/2047
(l)
825‌
170‌
(1.00)
x
1
Month
USD
LIBOR
+
6.15%
4.10%,
03/25/2022
(l)
23‌
1‌
(1.00)
x
1
Month
USD
LIBOR
+
6.50%
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Mortgage
Backed
Securities
(continued)
Freddie
Mac
REMICS
2.84%,
05/15/2049
$
1,989‌
$
1,988‌
1.00
x
1
Month
USD
LIBOR
+
0.45%
3.00%,
09/15/2025
(l)
65‌
1‌
3.00%,
03/15/2026
(l)
212‌
7‌
3.00%,
05/15/2027
(l)
218‌
14‌
3.00%,
10/15/2027
(l)
103‌
8‌
3.50%,
11/15/2020
(l)
142‌
3‌
3.50%,
09/15/2026
(l)
550‌
45‌
3.61%,
04/15/2046
(l)
2,059‌
440‌
(1.00)
x
1
Month
USD
LIBOR
+
6.00%
3.61%,
10/15/2046
(l)
2,119‌
449‌
(1.00)
x
1
Month
USD
LIBOR
+
6.00%
4.00%,
11/15/2038
(l)
488‌
26‌
Ginnie
Mae
3.12%,
05/20/2042
(l)
1,167‌
203‌
(1.00)
x
1
Month
USD
LIBOR
+
5.50%
3.71%,
07/16/2042
(l)
2,594‌
524‌
(1.00)
x
1
Month
USD
LIBOR
+
6.10%
3.71%,
07/16/2043
(l)
731‌
125‌
(1.00)
x
1
Month
USD
LIBOR
+
6.10%
3.72%,
06/20/2046
(l)
750‌
143‌
(1.00)
x
1
Month
USD
LIBOR
+
6.10%
3.82%,
09/20/2041
(l)
3,241‌
465‌
(1.00)
x
1
Month
USD
LIBOR
+
6.20%
3.82%,
11/20/2045
(l)
1,983‌
370‌
(1.00)
x
1
Month
USD
LIBOR
+
6.20%
3.82%,
08/20/2047
(l)
925‌
206‌
(1.00)
x
1
Month
USD
LIBOR
+
6.20%
3.82%,
09/20/2047
(l)
3,104‌
639‌
(1.00)
x
1
Month
USD
LIBOR
+
6.20%
3.86%,
08/16/2045
(l)
2,944‌
580‌
(1.00)
x
1
Month
USD
LIBOR
+
6.25%
3.87%,
06/20/2044
(l)
5,015‌
663‌
(1.00)
x
1
Month
USD
LIBOR
+
6.25%
4.26%,
04/16/2042
(l)
1,239‌
271‌
(1.00)
x
1
Month
USD
LIBOR
+
6.65%
4.37%,
11/20/2045
(l)
2,588‌
557‌
(1.00)
x
1
Month
USD
LIBOR
+
6.75%
4.47%,
04/20/2041
(l)
1,545‌
288‌
(1.10)
x
1
Month
USD
LIBOR
+
7.10%
4.50%,
04/16/2044
(l)
288‌
47‌
HomeBanc
Mortgage
Trust
2005-5
2.74%,
01/25/2036
274‌
276‌
1.00
x
1
Month
USD
LIBOR
+
0.34%
JP
Morgan
Mortgage
Trust
2016-2
2.81%,
06/25/2046
(g),(h)
448‌
450‌
JP
Morgan
Mortgage
Trust
2016-3
3.50%,
10/25/2046
(g),(h)
386‌
392‌
Sequoia
Mortgage
Trust
2016-3
3.50%,
11/25/2046
(g),(h)
1,070‌
1,087‌
Washington
Mutual
Mortgage
Pass-Through
Certificates
WMALT
Series
2006-AR1
Trust
2.65%,
02/25/2036
84‌
75‌
1.00
x
1
Month
USD
LIBOR
+
0.25%
$
11,110‌
Office
&
Business
Equipment
-
0.02%
Xerox
Corp
3.63%,
03/15/2023
60‌
61‌
Oil
&
Gas
-
2.43%
Ascent
Resources
Utica
Holdings
LLC
/
ARU
Finance
Corp
7.00%,
11/01/2026
(g)
100‌
91‌
10.00%,
04/01/2022
(g)
148‌
157‌
BP
Capital
Markets
America
Inc
3.02%,
01/16/2027
165‌
169‌
3.41%,
02/11/2026
205‌
215‌
3.94%,
09/21/2028
100‌
109‌
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
45
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Oil
&
Gas
(continued)
BP
Capital
Markets
America
Inc  
(continued)
4.23%,
11/06/2028
$
90‌
$
100‌
Brazos
Valley
Longhorn
LLC
/
Brazos
Valley
Longhorn
Finance
Corp
6.88%,
02/01/2025
105‌
99‌
Canadian
Natural
Resources
Ltd
3.85%,
06/01/2027
190‌
197‌
3.90%,
02/01/2025
145‌
151‌
Chesapeake
Energy
Corp
7.00%,
10/01/2024
15‌
13‌
Chesapeake
Oil
Op/Fin
Escrow
Shares
0.00%,
11/15/2019
(d),(e),(f)
90‌
—‌
Concho
Resources
Inc
4.38%,
01/15/2025
185‌
192‌
Continental
Resources
Inc
/OK
3.80%,
06/01/2024
770‌
792‌
4.38%,
01/15/2028
480‌
505‌
4.90%,
06/01/2044
(m)
225‌
236‌
Ecopetrol
SA
7.38%,
09/18/2043
65‌
83‌
EP
Energy
LLC
/
Everest
Acquisition
Finance
Inc
7.75%,
05/15/2026
(g)
245‌
219‌
Extraction
Oil
&
Gas
Inc
7.38%,
05/15/2024
(g)
75‌
64‌
Gulfport
Energy
Corp
6.38%,
05/15/2025
210‌
162‌
Marathon
Oil
Corp
4.40%,
07/15/2027
105‌
111‌
6.60%,
10/01/2037
535‌
661‌
Marathon
Petroleum
Corp
4.75%,
09/15/2044
36‌
37‌
Nabors
Industries
Inc
5.00%,
09/15/2020
24‌
24‌
5.75%,
02/01/2025
220‌
195‌
Newfield
Exploration
Co
5.38%,
01/01/2026
480‌
526‌
Oasis
Petroleum
Inc
6.25%,
05/01/2026
(g)
40‌
39‌
6.88%,
01/15/2023
50‌
50‌
Petrobras
Global
Finance
BV
7.38%,
01/17/2027
250‌
286‌
Petroleos
Mexicanos
4.50%,
01/23/2026
75‌
69‌
6.50%,
03/13/2027
210‌
207‌
Saudi
Arabian
Oil
Co
3.50%,
04/16/2029
(g)
250‌
253‌
4.25%,
04/16/2039
(g)
250‌
253‌
Sinopec
Group
Overseas
Development
2017
Ltd
2.50%,
09/13/2022
(g)
325‌
323‌
SM
Energy
Co
6.63%,
01/15/2027
45‌
42‌
Southwestern
Energy
Co
7.75%,
10/01/2027
185‌
177‌
Suncor
Energy
Inc
4.00%,
11/15/2047
85‌
88‌
Sunoco
LP
/
Sunoco
Finance
Corp
4.88%,
01/15/2023
215‌
220‌
5.50%,
02/15/2026
95‌
99‌
Total
Capital
International
SA
3.46%,
02/19/2029
225‌
240‌
Ultra
Resources
Inc
6.88%,
04/15/2022
(g)
65‌
8‌
Whiting
Petroleum
Corp
5.75%,
03/15/2021
90‌
91‌
6.25%,
04/01/2023
60‌
60‌
6.63%,
01/15/2026
75‌
72‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Oil
&
Gas
(continued)
XTO
Energy
Inc
6.75%,
08/01/2037
$
100‌
$
142‌
$
7,827‌
Oil
&
Gas
Services
-
0.20%
Archrock
Partners
LP
/
Archrock
Partners
Finance
Corp
6.00%,
10/01/2022
80‌
81‌
6.88%,
04/01/2027
(g)
70‌
73‌
Baker
Hughes
a
GE
Co
LLC
/
Baker
Hughes
Co-
Obligor
Inc
3.34%,
12/15/2027
150‌
151‌
4.08%,
12/15/2047
85‌
82‌
USA
Compression
Partners
LP
/
USA
Compression
Finance
Corp
6.88%,
04/01/2026
120‌
127‌
6.88%,
09/01/2027
(g)
135‌
142‌
$
656‌
Other
Asset
Backed
Securities
-
1.33%
Dell
Equipment
Finance
Trust
2018-1
2.70%,
10/22/2020
(g)
1,371‌
1,371‌
1.00
x
1
Month
USD
LIBOR
+
0.30%
Verizon
Owner
Trust
2017-1
2.06%,
09/20/2021
(g)
1,061‌
1,059‌
Verizon
Owner
Trust
2017-3
2.65%,
04/20/2022
(g)
1,850‌
1,850‌
1.00
x
1
Month
USD
LIBOR
+
0.27%
$
4,280‌
Packaging
&
Containers
-
0.39%
Ardagh
Packaging
Finance
PLC
/
Ardagh
Holdings
USA
Inc
6.00%,
02/15/2025
(g)
200‌
207‌
BWAY
Holding
Co
7.25%,
04/15/2025
(g)
260‌
251‌
Crown
Americas
LLC
/
Crown
Americas
Capital
Corp
V
4.25%,
09/30/2026
43‌
44‌
Crown
Americas
LLC
/
Crown
Americas
Capital
Corp
VI
4.75%,
02/01/2026
110‌
113‌
Crown
Cork
&
Seal
Co
Inc
7.38%,
12/15/2026
132‌
152‌
Flex
Acquisition
Co
Inc
6.88%,
01/15/2025
(g)
135‌
122‌
Reynolds
Group
Issuer
Inc
/
Reynolds
Group
Issuer
LLC
/
Reynolds
Group
Issuer
(Luxembourg)
S.A.
5.13%,
07/15/2023
(g)
195‌
199‌
6.10%,
07/15/2021
(g)
40‌
40‌
3
Month
USD
LIBOR
+
3.50%
Sealed
Air
Corp
4.88%,
12/01/2022
(g)
120‌
126‌
$
1,254‌
Pharmaceuticals
-
1.70%
AbbVie
Inc
2.90%,
11/06/2022
100‌
101‌
3.38%,
11/14/2021
35‌
36‌
Bausch
Health
Americas
Inc
8.50%,
01/31/2027
(g)
90‌
99‌
Bausch
Health
Cos
Inc
6.50%,
03/15/2022
(g)
45‌
47‌
Bayer
US
Finance
II
LLC
3.88%,
12/15/2023
(g)
200‌
208‌
Bristol-Myers
Squibb
Co
2.60%,
05/16/2022
(g)
180‌
182‌
2.90%,
07/26/2024
(g)
175‌
179‌
3.40%,
07/26/2029
(g)
370‌
387‌
4.13%,
06/15/2039
(g)
240‌
259‌
4.25%,
10/26/2049
(g)
470‌
519‌
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
46
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Pharmaceuticals
(continued)
Cigna
Corp
3.75%,
07/15/2023
(g)
$
545‌
$
567‌
4.13%,
11/15/2025
(g)
350‌
373‌
4.38%,
10/15/2028
(g)
200‌
216‌
4.90%,
12/15/2048
(g)
150‌
163‌
CVS
Health
Corp
3.70%,
03/09/2023
215‌
222‌
4.78%,
03/25/2038
170‌
177‌
4.88%,
07/20/2035
190‌
199‌
5.00%,
12/01/2024
410‌
447‌
5.05%,
03/25/2048
225‌
240‌
Eli
Lilly
&
Co
3.88%,
03/15/2039
120‌
130‌
4.15%,
03/15/2059
80‌
88‌
Pfizer
Inc
3.45%,
03/15/2029
170‌
180‌
Zoetis
Inc
3.90%,
08/20/2028
320‌
341‌
4.45%,
08/20/2048
95‌
105‌
$
5,465‌
Pipelines
-
2.21%
Abu
Dhabi
Crude
Oil
Pipeline
LLC
3.65%,
11/02/2029
(g),(m)
200‌
210‌
Andeavor
Logistics
LP
/
Tesoro
Logistics
Finance
Corp
4.25%,
12/01/2027
105‌
111‌
Crestwood
Midstream
Partners
LP
/
Crestwood
Midstream
Finance
Corp
5.63%,
05/01/2027
(g)
120‌
120‌
DCP
Midstream
Operating
LP
5.35%,
03/15/2020
(g)
450‌
456‌
Enbridge
Inc
6.00%,
01/15/2077
(j)
165‌
166‌
3
Month
USD
LIBOR
+
3.89%
Energy
Transfer
Operating
LP
4.90%,
03/15/2035
100‌
101‌
5.15%,
03/15/2045
180‌
183‌
5.25%,
04/15/2029
225‌
251‌
6.25%,
04/15/2049
335‌
397‌
Enterprise
Products
Operating
LLC
3.13%,
07/31/2029
(n)
440‌
441‌
4.20%,
01/31/2050
(n)
295‌
302‌
5.38%,
02/15/2078
(j)
250‌
232‌
3
Month
USD
LIBOR
+
2.57%
Hess
Infrastructure
Partners
LP
/
Hess
Infrastructure
Partners
Finance
Corp
5.63%,
02/15/2026
(g)
200‌
206‌
Kinder
Morgan
Energy
Partners
LP
4.70%,
11/01/2042
300‌
305‌
Kinder
Morgan
Inc
/DE
5.63%,
11/15/2023
(g)
215‌
238‌
MPLX
LP
4.50%,
07/15/2023
290‌
308‌
5.50%,
02/15/2049
125‌
142‌
NuStar
Logistics
LP
6.00%,
06/01/2026
120‌
124‌
6.75%,
02/01/2021
120‌
125‌
ONEOK
Partners
LP
3.80%,
03/15/2020
390‌
393‌
Sabine
Pass
Liquefaction
LLC
4.20%,
03/15/2028
150‌
158‌
5.00%,
03/15/2027
190‌
208‌
5.75%,
05/15/2024
790‌
879‌
Southeast
Supply
Header
LLC
4.25%,
06/15/2024
(g)
100‌
104‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Pipelines
(continued)
Targa
Resources
Partners
LP
/
Targa
Resources
Partners
Finance
Corp
5.88%,
04/15/2026
$
35‌
$
37‌
6.50%,
07/15/2027
(g)
166‌
181‌
6.88%,
01/15/2029
(g)
26‌
29‌
TransCanada
PipeLines
Ltd
4.63%,
03/01/2034
80‌
89‌
Western
Midstream
Operating
LP
5.45%,
04/01/2044
45‌
42‌
5.50%,
08/15/2048
90‌
85‌
Williams
Cos
Inc
/The
4.30%,
03/04/2024
110‌
117‌
5.75%,
06/24/2044
320‌
373‌
$
7,113‌
Real
Estate
-
0.07%
Forestar
Group
Inc
8.00%,
04/15/2024
(g)
220‌
231‌
Regional
Authority
-
0.03%
Provincia
de
Buenos
Aires/Argentina
7.88%,
06/15/2027
150‌
111‌
REITs
-
1.70%
Alexandria
Real
Estate
Equities
Inc
3.45%,
04/30/2025
1,115‌
1,147‌
4.30%,
01/15/2026
100‌
107‌
4.60%,
04/01/2022
100‌
106‌
4.70%,
07/01/2030
240‌
271‌
American
Tower
Corp
3.80%,
08/15/2029
175‌
180‌
Camden
Property
Trust
3.15%,
07/01/2029
425‌
432‌
4.10%,
10/15/2028
460‌
502‌
CC
Holdings
GS
V
LLC
/
Crown
Castle
GS
III
Corp
3.85%,
04/15/2023
510‌
533‌
CubeSmart
LP
4.80%,
07/15/2022
200‌
211‌
Equinix
Inc
5.38%,
04/01/2023
115‌
117‌
5.88%,
01/15/2026
40‌
42‌
Essex
Portfolio
LP
4.00%,
03/01/2029
180‌
192‌
HCP
Inc
3.25%,
07/15/2026
(n)
115‌
116‌
3.50%,
07/15/2029
(n)
85‌
85‌
Hudson
Pacific
Properties
LP
4.65%,
04/01/2029
230‌
247‌
Iron
Mountain
Inc
4.38%,
06/01/2021
(g)
115‌
116‌
Mid-America
Apartments
LP
3.95%,
03/15/2029
230‌
243‌
SBA
Tower
Trust
2.90%,
10/15/2044
(g)
125‌
125‌
Welltower
Inc
3.63%,
03/15/2024
320‌
333‌
4.13%,
03/15/2029
165‌
175‌
Weyerhaeuser
Co
4.70%,
03/15/2021
200‌
206‌
$
5,486‌
Retail
-
0.28%
Golden
Nugget
Inc
6.75%,
10/15/2024
(g)
130‌
134‌
Home
Depot
Inc
/The
5.88%,
12/16/2036
60‌
80‌
IRB
Holding
Corp
6.75%,
02/15/2026
(g)
75‌
75‌
McDonald's
Corp
2.75%,
12/09/2020
85‌
85‌
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
47
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Retail
(continued)
Walmart
Inc
2.85%,
07/08/2024
$
120‌
$
124‌
3.05%,
07/08/2026
370‌
388‌
4.05%,
06/29/2048
10‌
11‌
$
897‌
Semiconductors
-
0.44%
KLA-Tencor
Corp
4.10%,
03/15/2029
150‌
158‌
Lam
Research
Corp
3.75%,
03/15/2026
205‌
216‌
4.00%,
03/15/2029
80‌
85‌
4.88%,
03/15/2049
135‌
149‌
NXP
BV
/
NXP
Funding
LLC
4.63%,
06/01/2023
(g)
400‌
421‌
4.88%,
03/01/2024
(g)
140‌
150‌
Xilinx
Inc
2.95%,
06/01/2024
225‌
228‌
$
1,407‌
Software
-
0.56%
Epicor
Software
Corp
9.57%,
06/30/2023
(g)
10‌
10‌
3
Month
USD
LIBOR
+
7.25%
Fiserv
Inc
3.50%,
07/01/2029
255‌
262‌
3.80%,
10/01/2023
200‌
210‌
Microsoft
Corp
2.40%,
08/08/2026
285‌
286‌
3.70%,
08/08/2046
120‌
130‌
4.45%,
11/03/2045
110‌
132‌
4.50%,
02/06/2057
90‌
110‌
Open
Text
Corp
5.88%,
06/01/2026
(g)
80‌
85‌
Oracle
Corp
2.95%,
11/15/2024
175‌
180‌
2.95%,
05/15/2025
100‌
103‌
4.00%,
11/15/2047
35‌
38‌
6.13%,
07/08/2039
180‌
247‌
$
1,793‌
Sovereign
-
1.41%
Argentine
Republic
Government
International
Bond
5.63%,
01/26/2022
335‌
282‌
CoBank
ACB
6.25%,
12/31/2049
(j),(k)
115‌
123‌
3
Month
USD
LIBOR
+
4.66%
Colombia
Government
International
Bond
5.00%,
06/15/2045
200‌
221‌
Dominican
Republic
International
Bond
6.40%,
06/05/2049
(g),(m)
150‌
157‌
Egypt
Government
International
Bond
5.58%,
02/21/2023
(g)
200‌
203‌
7.60%,
03/01/2029
(g)
200‌
211‌
Honduras
Government
International
Bond
7.50%,
03/15/2024
200‌
220‌
Hungary
Government
International
Bond
5.38%,
02/21/2023
44‌
48‌
Indonesia
Government
International
Bond
5.38%,
10/17/2023
(g)
300‌
329‌
Mexico
Government
International
Bond
4.15%,
03/28/2027
200‌
210‌
Nigeria
Government
International
Bond
7.14%,
02/23/2030
200‌
202‌
Panama
Government
International
Bond
3.88%,
03/17/2028
200‌
214‌
Qatar
Government
International
Bond
3.25%,
06/02/2026
400‌
411‌
3.88%,
04/23/2023
(g)
200‌
210‌
4.82%,
03/14/2049
(g)
200‌
229‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Sovereign
(continued)
Russian
Foreign
Bond
-
Eurobond
5.10%,
03/28/2035
(g)
$
200‌
$
217‌
Saudi
Government
International
Bond
4.00%,
04/17/2025
(g)
600‌
638‌
Ukraine
Government
International
Bond
7.38%,
09/25/2032
(g)
200‌
197‌
9.75%,
11/01/2028
(g)
200‌
226‌
$
4,548‌
Student
Loan
Asset
Backed
Securities
-
0.67%
Navient
Private
Education
Loan
Trust
2018-B
2.74%,
12/15/2059
(g)
1,272‌
1,271‌
1.00
x
1
Month
USD
LIBOR
+
0.35%
Navient
Student
Loan
Trust
2017-3
2.70%,
07/26/2066
(g)
290‌
290‌
1.00
x
1
Month
USD
LIBOR
+
0.30%
Navient
Student
Loan
Trust
2019-1
2.73%,
12/27/2067
(g)
415‌
415‌
1.00
x
1
Month
USD
LIBOR
+
0.33%
SMB
Private
Education
Loan
Trust
2017-B
2.66%,
06/17/2024
(g)
168‌
168‌
1.00
x
1
Month
USD
LIBOR
+
0.27%
$
2,144‌
Telecommunications
-
2.58%
AT&T
Inc
3.88%,
01/15/2026
175‌
183‌
4.05%,
12/15/2023
135‌
143‌
4.30%,
02/15/2030
810‌
867‌
4.35%,
03/01/2029
525‌
565‌
4.90%,
08/15/2037
325‌
350‌
5.15%,
03/15/2042
50‌
55‌
5.38%,
10/15/2041
130‌
144‌
5.45%,
03/01/2047
105‌
121‌
5.70%,
03/01/2057
190‌
224‌
6.38%,
03/01/2041
135‌
168‌
Bell
Canada
Inc
4.30%,
07/29/2049
175‌
189‌
British
Telecommunications
PLC
4.50%,
12/04/2023
200‌
214‌
Corning
Inc
4.75%,
03/15/2042
100‌
110‌
Embarq
Corp
8.00%,
06/01/2036
75‌
73‌
Frontier
Communications
Corp
8.50%,
04/01/2026
(g)
170‌
165‌
11.00%,
09/15/2025
130‌
81‌
GTT
Communications
Inc
7.88%,
12/31/2024
(g)
90‌
74‌
Intelsat
Jackson
Holdings
SA
5.50%,
08/01/2023
150‌
137‌
8.00%,
02/15/2024
(g)
90‌
94‌
Level
3
Financing
Inc
5.13%,
05/01/2023
30‌
30‌
Ooredoo
International
Finance
Ltd
3.88%,
01/31/2028
250‌
259‌
Rogers
Communications
Inc
4.35%,
05/01/2049
255‌
276‌
Sprint
Capital
Corp
8.75%,
03/15/2032
105‌
121‌
Sprint
Communications
Inc
6.00%,
11/15/2022
75‌
78‌
7.00%,
08/15/2020
135‌
140‌
Sprint
Corp
7.13%,
06/15/2024
70‌
74‌
7.63%,
03/01/2026
35‌
37‌
7.88%,
09/15/2023
180‌
195‌
Telecom
Italia
Capital
SA
6.38%,
11/15/2033
25‌
26‌
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
48
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Telecommunications
(continued)
Telefonica
Emisiones
SA
5.21%,
03/08/2047
$
220‌
$
243‌
TELUS
Corp
4.30%,
06/15/2049
300‌
318‌
T-Mobile
USA
Inc
0.00%,
01/15/2024
(d),(e),(f)
30‌
—‌
0.00%,
04/15/2024
(d),(e),(f)
95‌
—‌
0.00%,
04/15/2025
(d),(e),(f)
320‌
—‌
0.00%,
01/15/2026
(d),(e),(f)
95‌
—‌
4.00%,
04/15/2022
125‌
128‌
5.13%,
04/15/2025
320‌
333‌
6.50%,
01/15/2024
30‌
31‌
6.50%,
01/15/2026
95‌
103‌
VEON
Holdings
BV
3.95%,
06/16/2021
(g)
200‌
200‌
Verizon
Communications
Inc
3.88%,
02/08/2029
270‌
290‌
4.50%,
08/10/2033
355‌
400‌
5.01%,
08/21/2054
245‌
293‌
5.25%,
03/16/2037
260‌
311‌
Vodafone
Group
PLC
4.13%,
05/30/2025
210‌
223‌
4.88%,
06/19/2049
215‌
226‌
$
8,292‌
Transportation
-
0.26%
CSX
Corp
4.75%,
11/15/2048
85‌
99‌
Eletson
Holdings
Inc
/
Eletson
Finance
US
LLC
/
Agathonissos
Finance
LLC
0.00%,
01/15/2022
(d)
121‌
42‌
Navios
Maritime
Acquisition
Corp
/
Navios
Acquisition
Finance
US
Inc
8.13%,
11/15/2021
(g)
290‌
231‌
Navios
Maritime
Holdings
Inc
/
Navios
Maritime
Finance
II
US
Inc
7.38%,
01/15/2022
(g)
75‌
51‌
11.25%,
08/15/2022
(g)
45‌
32‌
Navios
South
American
Logistics
Inc
/
Navios
Logistics
Finance
US
Inc
7.25%,
05/01/2022
(g)
85‌
83‌
Union
Pacific
Corp
3.50%,
06/08/2023
220‌
229‌
4.38%,
11/15/2065
60‌
63‌
$
830‌
Trucking
&
Leasing
-
0.25%
Avolon
Holdings
Funding
Ltd
4.38%,
05/01/2026
(g)
55‌
57‌
5.13%,
10/01/2023
(g)
35‌
37‌
5.25%,
05/15/2024
(g)
70‌
75‌
5.50%,
01/15/2023
(g)
355‌
378‌
DAE
Funding
LLC
4.50%,
08/01/2022
(g)
95‌
96‌
5.25%,
11/15/2021
(g)
25‌
26‌
5.75%,
11/15/2023
(g)
100‌
105‌
Park
Aerospace
Holdings
Ltd
5.50%,
02/15/2024
(g)
35‌
38‌
$
812‌
TOTAL
BONDS
$
181,122‌
SENIOR
FLOATING
RATE
INTERESTS
-
0.72%
Principal
Amount
(000's)
Value
(000's)
Automobile
Manufacturers
-
0.02%
Navistar
Inc
5.91%,
11/06/2024
(o)
$
70‌
$
69‌
US
LIBOR
+
3.50%
Commercial
Services
-
0.02%
Garda
World
Security
Corp
6.03%,
05/24/2024
(o)
34‌
33‌
US
LIBOR
+
3.50%
SENIOR
FLOATING
RATE
INTERESTS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Commercial
Services
(continued)
Refinitiv
US
Holdings
Inc
6.15%,
09/18/2025
(o)
$
35‌
$
34‌
US
LIBOR
+
3.75%
$
67‌
Computers
-
0.02%
McAfee
LLC
10.90%,
09/29/2025
(o)
55‌
56‌
US
LIBOR
+
8.50%
Diversified
Financial
Services
-
0.09%
Russell
Investments
US
Institutional
Holdco
Inc
5.65%,
06/01/2023
(o)
283‌
279‌
US
LIBOR
+
3.25%
Electrical
Components
&
Equipment
-
0.04%
Energizer
Holdings
Inc
4.75%,
12/17/2025
(o)
140‌
139‌
US
LIBOR
+
2.25%
Entertainment
-
0.04%
CCM
Merger
Inc
4.65%,
08/06/2021
(o)
48‌
48‌
US
LIBOR
+
2.25%
Eldorado
Resorts
Inc
4.69%,
04/17/2024
(o)
45‌
45‌
US
LIBOR
+
2.25%
Lions
Gate
Capital
Holdings
LLC
4.65%,
03/24/2025
(o)
53‌
53‌
US
LIBOR
+
2.25%
$
146‌
Food
-
0.04%
Post
Holdings
Inc
4.40%,
05/24/2024
(o)
118‌
117‌
US
LIBOR
+
2.00%
Healthcare
-
Services
-
0.05%
MPH
Acquisition
Holdings
LLC
5.08%,
06/07/2023
(o)
156‌
149‌
US
LIBOR
+
3.00%
Insurance
-
0.03%
Genworth
Holdings
Inc
6.99%,
03/07/2023
(o)
99‌
100‌
US
LIBOR
+
4.50%
Lodging
-
0.02%
Golden
Nugget
LLC
5.15%,
10/04/2023
(o)
79‌
78‌
US
LIBOR
+
2.75%
Oil
&
Gas
-
0.06%
California
Resources
Corp
7.15%,
12/31/2022
(o)
105‌
100‌
US
LIBOR
+
4.75%
12.78%,
12/31/2021
(o)
100‌
102‌
US
LIBOR
+
10.37%
$
202‌
Pharmaceuticals
-
0.17%
Bausch
Health
Americas
Inc
5.16%,
11/14/2025
(o)
164‌
163‌
US
LIBOR
+
2.75%
5.41%,
05/19/2025
(o)
250‌
250‌
US
LIBOR
+
3.00%
Endo
International
PLC
6.75%,
04/29/2024
(o)
134‌
126‌
US
LIBOR
+
4.25%
$
539‌
Retail
-
0.04%
Academy
Ltd
6.44%,
07/01/2022
(o)
104‌
74‌
US
LIBOR
+
4.00%
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
49
SENIOR
FLOATING
RATE
INTERESTS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Retail
(continued)
IRB
Holding
Corp
5.64%,
01/17/2025
(o)
$
45‌
$
44‌
US
LIBOR
+
3.25%
$
118‌
Telecommunications
-
0.08%
Avaya
Inc
6.65%,
12/16/2024
(o)
143‌
137‌
US
LIBOR
+
4.25%
Maxar
Technologies
Ltd
5.16%,
10/05/2024
(o)
143‌
128‌
US
LIBOR
+
2.75%
$
265‌
TOTAL
SENIOR
FLOATING
RATE
INTERESTS
$
2,324‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
-
41.25%
Principal
Amount
(000's)
Value
(000's)
Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
-
4.79%
3.00%,
10/01/2042
$
54‌
$
55‌
3.00%,
11/01/2042
293‌
299‌
3.00%,
11/01/2042
54‌
55‌
3.00%,
03/01/2043
1,297‌
1,326‌
3.00%,
12/01/2046
131‌
133‌
3.00%,
01/01/2047
2,405‌
2,456‌
3.50%,
10/01/2041
52‌
54‌
3.50%,
04/01/2042
65‌
67‌
3.50%,
04/01/2042
129‌
134‌
3.50%,
04/01/2045
60‌
62‌
3.50%,
10/01/2045
953‌
994‌
3.50%,
03/01/2048
136‌
141‌
4.00%,
02/01/2045
33‌
34‌
4.00%,
02/01/2046
471‌
493‌
4.00%,
02/01/2046
64‌
67‌
4.00%,
06/01/2046
70‌
73‌
4.00%,
04/01/2047
415‌
437‌
4.00%,
05/01/2047
1,270‌
1,328‌
4.00%,
11/01/2047
671‌
702‌
4.00%,
08/01/2048
948‌
998‌
4.00%,
01/01/2049
490‌
511‌
4.50%,
07/01/2024
16‌
16‌
4.50%,
07/01/2039
71‌
76‌
4.50%,
10/01/2041
39‌
42‌
4.50%,
12/01/2043
968‌
1,036‌
4.50%,
03/01/2046
305‌
331‌
4.50%,
05/01/2048
1,387‌
1,459‌
4.50%,
01/01/2049
484‌
508‌
4.75%,
02/01/2037
20‌
20‌
1.00
x
12
Month
USD
LIBOR
+
1.63%
5.00%,
06/01/2031
105‌
111‌
5.00%,
10/01/2035
36‌
40‌
5.00%,
06/01/2041
1,033‌
1,123‌
5.02%,
02/01/2034
2‌
2‌
1.00
x
12
Month
USD
LIBOR
+
1.99%
6.00%,
06/01/2032
23‌
26‌
6.00%,
10/01/2032
13‌
14‌
6.00%,
01/01/2038
61‌
70‌
6.50%,
03/01/2029
3‌
4‌
6.50%,
05/01/2029
5‌
5‌
6.50%,
04/01/2031
2‌
2‌
6.50%,
02/01/2032
4‌
5‌
6.50%,
05/01/2032
4‌
5‌
6.50%,
04/01/2035
8‌
9‌
7.00%,
12/01/2029
13‌
15‌
7.00%,
06/01/2030
4‌
4‌
7.00%,
12/01/2030
1‌
1‌
7.00%,
01/01/2031
2‌
2‌
7.00%,
12/01/2031
30‌
31‌
7.50%,
04/01/2030
1‌
2‌
7.50%,
03/01/2031
8‌
9‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
(continued)
8.00%,
09/01/2030
$
32‌
$
34‌
$
15,421‌
Federal
National
Mortgage
Association
(FNMA)
-
0.00%
4.33%,
07/01/2034
1‌
1‌
1.00
x
US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
2.21%
Federal
National
Mortgage
Association
(FNMA)/Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
Uniform
Mortgage-Backed
Security
-
15.42%
3.00%,
10/01/2030
1,433‌
1,465‌
3.00%,
03/01/2034
321‌
327‌
3.00%,
07/01/2034
(p)
4,000‌
4,079‌
3.00%,
03/01/2042
99‌
101‌
3.00%,
03/01/2042
90‌
91‌
3.00%,
05/01/2042
50‌
51‌
3.00%,
06/01/2042
45‌
46‌
3.00%,
06/01/2042
92‌
94‌
3.00%,
11/01/2042
854‌
872‌
3.00%,
05/01/2043
184‌
187‌
3.00%,
07/01/2049
(p)
3,900‌
3,933‌
3.50%,
04/01/2030
364‌
379‌
3.50%,
07/01/2034
(p)
1,500‌
1,548‌
3.50%,
08/01/2034
375‌
389‌
3.50%,
12/01/2040
71‌
73‌
3.50%,
01/01/2041
41‌
42‌
3.50%,
12/01/2041
24‌
25‌
3.50%,
03/01/2042
40‌
41‌
3.50%,
04/01/2042
79‌
82‌
3.50%,
11/01/2042
937‌
976‌
3.50%,
02/01/2043
50‌
52‌
3.50%,
07/01/2043
286‌
298‌
3.50%,
07/01/2043
863‌
900‌
3.50%,
09/01/2044
2,037‌
2,121‌
3.50%,
11/01/2044
1,796‌
1,864‌
3.50%,
03/01/2045
61‌
64‌
3.50%,
06/01/2045
115‌
119‌
3.50%,
11/01/2045
2,820‌
2,944‌
3.50%,
11/01/2045
80‌
83‌
3.50%,
05/01/2046
71‌
73‌
3.50%,
08/01/2047
1,719‌
1,797‌
3.50%,
10/01/2047
1,740‌
1,808‌
3.50%,
11/01/2047
770‌
799‌
3.50%,
01/01/2048
545‌
566‌
3.50%,
03/01/2048
1,141‌
1,183‌
3.50%,
04/01/2048
685‌
712‌
3.50%,
04/01/2048
1,534‌
1,591‌
4.00%,
10/01/2019
1‌
1‌
4.00%,
08/01/2020
26‌
27‌
4.00%,
03/01/2034
407‌
432‌
4.00%,
09/01/2040
97‌
102‌
4.00%,
11/01/2040
1,393‌
1,469‌
4.00%,
05/01/2041
207‌
218‌
4.00%,
10/01/2041
34‌
36‌
4.00%,
10/01/2041
50‌
52‌
4.00%,
11/01/2041
53‌
55‌
4.00%,
04/01/2042
31‌
33‌
4.00%,
09/01/2043
615‌
648‌
4.00%,
11/01/2043
116‌
123‌
4.00%,
11/01/2043
43‌
45‌
4.00%,
02/01/2044
138‌
146‌
4.00%,
06/01/2044
290‌
305‌
4.00%,
09/01/2044
40‌
42‌
4.00%,
09/01/2045
128‌
133‌
4.00%,
12/01/2045
750‌
785‌
4.00%,
08/01/2046
100‌
105‌
4.00%,
01/01/2047
74‌
77‌
4.00%,
04/01/2047
405‌
426‌
4.00%,
05/01/2047
865‌
902‌
4.00%,
06/01/2047
840‌
883‌
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
50
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
National
Mortgage
Association
(FNMA)/Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
Uniform
Mortgage-Backed
Security
(continued)
4.00%,
09/01/2047
$
868‌
$
904‌
4.00%,
10/01/2047
431‌
449‌
4.00%,
11/01/2047
2,077‌
2,188‌
4.00%,
04/01/2048
1,369‌
1,442‌
4.00%,
10/01/2048
481‌
508‌
4.50%,
07/01/2025
44‌
47‌
4.50%,
08/01/2040
59‌
63‌
4.50%,
11/01/2040
862‌
926‌
4.50%,
12/01/2040
37‌
39‌
4.50%,
07/01/2041
(p)
1,000‌
1,045‌
4.50%,
08/01/2041
39‌
42‌
4.50%,
09/01/2041
257‌
277‌
4.50%,
05/01/2044
51‌
55‌
4.50%,
12/01/2044
125‌
133‌
4.50%,
06/01/2046
53‌
56‌
4.50%,
05/01/2047
36‌
37‌
4.50%,
05/01/2047
151‌
160‌
4.50%,
02/01/2049
240‌
254‌
5.00%,
10/01/2041
184‌
198‌
5.00%,
06/01/2048
458‌
498‌
5.50%,
10/01/2019
1‌
1‌
5.50%,
10/01/2019
1‌
1‌
5.50%,
12/01/2022
12‌
12‌
5.50%,
07/01/2033
251‌
278‌
5.50%,
04/01/2035
24‌
25‌
5.50%,
08/01/2036
477‌
530‌
5.50%,
02/01/2037
4‌
5‌
5.50%,
05/01/2040
42‌
45‌
6.00%,
05/01/2031
2‌
3‌
6.00%,
07/01/2035
146‌
165‌
6.00%,
02/01/2037
81‌
89‌
6.00%,
02/01/2038
53‌
60‌
6.50%,
03/01/2032
4‌
4‌
6.50%,
07/01/2037
21‌
24‌
6.50%,
07/01/2037
32‌
38‌
6.50%,
02/01/2038
38‌
44‌
6.50%,
03/01/2038
11‌
12‌
6.50%,
09/01/2038
124‌
146‌
$
49,623‌
Government
National
Mortgage
Association
(GNMA)
-
6.42%
3.00%,
02/15/2043
368‌
377‌
3.00%,
07/20/2044
565‌
578‌
3.00%,
01/20/2046
429‌
440‌
3.00%,
07/20/2046
695‌
712‌
3.00%,
12/20/2046
1,900‌
1,945‌
3.50%,
04/20/2046
211‌
218‌
3.50%,
10/20/2046
316‌
326‌
3.50%,
07/20/2047
1,272‌
1,313‌
3.50%,
07/01/2049
5,050‌
5,217‌
3.75%,
07/20/2043
96‌
98‌
1.00
x
US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
1.50%
4.00%,
02/15/2042
138‌
147‌
4.00%,
06/20/2046
80‌
83‌
4.00%,
09/20/2047
1,877‌
1,957‌
4.00%,
01/20/2048
2,400‌
2,521‌
4.50%,
09/15/2039
580‌
628‌
4.50%,
11/15/2040
114‌
123‌
4.50%,
06/20/2048
43‌
45‌
4.50%,
07/01/2049
1,635‌
1,704‌
5.00%,
02/15/2034
229‌
248‌
5.00%,
10/15/2034
82‌
89‌
5.00%,
10/20/2039
44‌
49‌
5.00%,
07/20/2040
23‌
24‌
5.00%,
02/15/2042
93‌
103‌
5.50%,
12/20/2033
113‌
123‌
5.50%,
05/20/2035
12‌
14‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Government
National
Mortgage
Association
(GNMA)
(continued)
5.50%,
12/20/2048
$
971‌
$
1,024‌
6.00%,
01/20/2029
21‌
23‌
6.00%,
07/20/2029
3‌
4‌
6.00%,
12/15/2033
28‌
32‌
6.00%,
12/20/2036
59‌
67‌
6.50%,
03/20/2028
3‌
4‌
6.50%,
05/20/2029
3‌
4‌
6.50%,
12/15/2032
340‌
378‌
7.00%,
03/15/2031
6‌
6‌
7.50%,
05/15/2029
15‌
15‌
8.00%,
12/15/2030
6‌
7‌
$
20,646‌
U.S.
Treasury
-
14.62%
1.25%,
10/31/2021
1,555‌
1,538‌
1.25%,
07/31/2023
1,405‌
1,378‌
1.50%,
08/15/2026
1,420‌
1,384‌
1.63%,
11/15/2022
75‌
75‌
1.63%,
10/31/2023
370‌
368‌
1.75%,
04/30/2022
3,385‌
3,388‌
1.75%,
05/15/2022
150‌
150‌
1.88%,
11/30/2021
2,550‌
2,558‌
2.00%,
05/31/2021
720‌
723‌
2.00%,
11/15/2021
75‌
76‌
2.00%,
10/31/2022
4,500‌
4,539‌
2.00%,
11/15/2026
75‌
76‌
2.13%,
11/30/2023
(q)
1,140‌
1,158‌
2.25%,
08/15/2046
1,090‌
1,030‌
2.50%,
05/15/2024
7,575‌
7,835‌
2.63%,
07/31/2020
3,000‌
3,022‌
2.63%,
11/15/2020
150‌
152‌
2.75%,
02/15/2024
75‌
78‌
2.75%,
08/15/2042
210‌
220‌
2.75%,
11/15/2047
75‌
78‌
2.88%,
05/15/2043
75‌
80‌
2.88%,
08/15/2045
620‌
663‌
2.88%,
11/15/2046
75‌
80‌
3.00%,
11/15/2044
1,525‌
1,666‌
3.00%,
05/15/2045
2,640‌
2,887‌
3.00%,
11/15/2045
2,000‌
2,189‌
3.13%,
05/15/2021
75‌
77‌
3.13%,
08/15/2044
75‌
84‌
3.13%,
05/15/2048
3,500‌
3,927‌
3.38%,
05/15/2044
75‌
87‌
3.38%,
11/15/2048
75‌
88‌
3.50%,
02/15/2039
75‌
89‌
3.63%,
02/15/2044
75‌
91‌
3.75%,
08/15/2041
75‌
92‌
3.75%,
11/15/2043
1,650‌
2,031‌
4.75%,
02/15/2037
2,260‌
3,095‌
$
47,052‌
TOTAL
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
$
132,743‌
Total
Investments
$
340,6
39‌
Other
Assets
and
Liabilities
-  (5.85)%
(18,81
7‌
)
TOTAL
NET
ASSETS
-
100.00%
$
321,822‌
(a)
Current
yield
shown
is
as
of
period
end.
(b)
Security
or
a
portion
of
the
security
was
pledged
as
collateral
for
securities
lending.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$758
or
0.24%
of
net
assets.
(c)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(d)
Non-income
producing
security
(e)
The
value
of
these
investments
was
determined
using
significant
unobservable
inputs.
Schedule
of
Investments
Core
Plus
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
51
(f)
Fair
value
of
these
investments
is
determined
in
good
faith
by
the
Manager
under
procedures
established
and
periodically
reviewed
by
the
Board
of
Directors.
Certain
inputs
used
in
the
valuation
may
be
unobservable;
however,
each
security
is
evaluated
individually
for
purposes
of
ASC
820
which
results
in
not
all
securities
being
identified
as
Level
3
of
the
fair
value
hierarchy.
At
the
end
of
the
period,
the
fair
value
of
these
securities
totaled
$8
or
0.00%
of
net
assets.
(g)
Security
exempt
from
registration
under
Rule
144A
of
the
Securities
Act
of
1933.
These
securities
may
be
resold
in
transactions
exempt
from
registration,
normally
to
qualified
institutional
buyers.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$44,580
or
13.85%
of
net
assets.
(h)
Certain
variable
rate
securities
are
not
based
on
a
published
reference
rate
and
spread
but
are
determined
by
the
issuer
or
agent
and
are
based
on
current
market
conditions.  These
securities
do
not
indicate
a
reference
rate
and
spread
in
their
description.
Rate
shown
is
the
rate
in
effect
as
of
period
end.
(
i
)
Payment
in
kind;
the
issuer
has
the
option
of
paying
additional
securities
in
lieu
of
cash.
(j)
Rate
shown
is
as
of
period
end.
The
rate
may
be
a
variable
or
floating
rate
or
a
fixed
rate
which
may
convert
to
a
variable
or
floating
rate
in
the
future.
(k)
Perpetual
security.
Perpetual
securities
pay
an
indefinite
stream
of
interest,
but
they
may
be
called
by
the
issuer
at
an
earlier
date.
Date
shown,
if
any,
reflects
the
next
call
date
or
final
legal
maturity
date.
Rate
shown
is
as
of
period
end.
(l)
Security
is
an
Interest
Only
Strip.
(m)
Security
or
a
portion
of
the
security
was
on
loan
at
the
end
of
the
period.
(n)
Security
purchased
on
a
when-issued
basis.
(o)
Rate
information
disclosed
is
based
on
an
average
weighted
rate
of
the
underlying
tranches
as
of
period
end.
(p)
Security
was
purchased
in
a
"to-be-announced"
("TBA")
transaction.  See
Notes
to
Financial
Statements
for
additional
information.
(q)
Security
or
a
portion
of
the
security
was
pledged
to
cover
margin
requirements
for
futures
contracts.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$260
or
0.08%
of
net
assets.
Portfolio
Summary
(unaudited)
Sector
Percent
Mortgage
Securities
35.14‌%
Government
16.06‌%
Financial
11.90‌%
Consumer,
Non-cyclical
6.58‌%
Communications
5.81‌%
Asset
Backed
Securities
5.45‌%
Energy
4.91‌%
Money
Market
Funds
4.61‌%
Utilities
3.36‌%
Industrial
3.20‌%
Investment
Companies
2.98‌%
Consumer,
Cyclical
2.55‌%
Technology
2.01‌%
Basic
Materials
1.29‌%
Other
Assets
and
Liabilities
(5.85‌)%
TOTAL
NET
ASSETS
100.00%
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Principal
Government
Money
Market
Fund
2.23%
$
3,894‌
$
75,123‌
$
64,958‌
$
14,059‌
$
3,894‌
$
75,123‌
$
64,958‌
$
14,059‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Principal
Government
Money
Market
Fund
2.23%
$
148‌
$
—‌
$
—‌
$
—‌
$
148‌
$
—‌
$
—‌
$
—‌
Amounts
in
thousands
Futures
Contracts
Description
and
Expiration
Date
Type
Contracts
Notional
Amount
Value
and
Unrealized
Appreciation/(Depreciation)
US
10
Year
Note;
September
2019
Short
2‌
$
256‌
$
(5‌)
US
2
Year
Note;
September
2019
Short
14‌
3,013‌
(23‌)
US
5
Year
Note;
September
2019
Short
41‌
4,844‌
(63‌)
US
Long
Bond;
September
2019
Long
18‌
2,801‌
128‌
US
Ultra
Bond;
September
2019
Long
9‌
1,598‌
66‌
Total
$
103‌
Amounts
in
thousands
except
contracts.
Schedule
of
Investments
Diversified
International
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
52
COMMON
STOCKS
-
98.78%
Shares
Held
Value
(000's)
Aerospace
&
Defense
-
1.30%
CAE
Inc
42,500‌
$
1,143‌
Safran
SA
7,268‌
1,063‌
Thales
SA
9,402‌
1,161‌
$
3,367‌
Agriculture
-
0.44%
Swedish
Match
AB
27,131‌
1,147‌
Apparel
-
2.71%
Adidas
AG
6,558‌
2,029‌
Fila
Korea
Ltd
15,565‌
1,033‌
LVMH
Moet
Hennessy
Louis
Vuitton
SE
7,720‌
3,282‌
Moncler
SpA
16,233‌
696‌
$
7,040‌
Automobile
Manufacturers
-
3.31%
Ferrari
NV
11,647‌
1,888‌
Isuzu
Motors
Ltd
66,000‌
754‌
Kia
Motors
Corp
43,826‌
1,672‌
Maruti
Suzuki
India
Ltd
12,609‌
1,194‌
Toyota
Motor
Corp
49,500‌
3,072‌
$
8,580‌
Banks
-
10.89%
Banco
Comercial
Portugues
SA
1,809,850‌
560‌
Banco
do
Brasil
SA
77,400‌
1,084‌
Bangkok
Bank
PCL
102,100‌
663‌
Bank
Leumi
Le-Israel
BM
208,597‌
1,508‌
BNP
Paribas
SA
1,294‌
61‌
Credicorp
Ltd
7,623‌
1,745‌
DBS
Group
Holdings
Ltd
89,900‌
1,727‌
DNB
ASA
91,716‌
1,709‌
Erste
Group
Bank
AG
(a)
43,666‌
1,619‌
HDFC
Bank
Ltd
ADR
7,681‌
999‌
ING
Groep
NV
186,369‌
2,159‌
Krung
Thai
Bank
PCL
1,682,600‌
1,070‌
Lloyds
Banking
Group
PLC
3,040,532‌
2,184‌
Macquarie
Group
Ltd
27,670‌
2,441‌
Mediobanca
Banca
di
Credito
Finanziario
SpA
131,688‌
1,358‌
OTP
Bank
Nyrt
14,852‌
591‌
Skandinaviska
Enskilda
Banken
AB
111,364‌
1,031‌
Swedbank
AB
117,522‌
1,769‌
Toronto-Dominion
Bank/The
51,300‌
2,998‌
United
Overseas
Bank
Ltd
50,100‌
968‌
$
28,244‌
Beverages
-
2.44%
Carlsberg
A/S
8,238‌
1,093‌
Coca-Cola
Bottlers
Japan
Holdings
Inc
(b)
21,700‌
550‌
Coca-Cola
HBC
AG
(a)
16,963‌
641‌
Diageo
PLC
42,069‌
1,811‌
Jiangsu
Yanghe
Brewery
Joint-Stock
Co
Ltd
81,299‌
1,443‌
Thai
Beverage
PCL
1,273,100‌
781‌
$
6,319‌
Biotechnology
-
0.90%
CSL
Ltd
15,363‌
2,326‌
Building
Materials
-
0.28%
Anhui
Conch
Cement
Co
Ltd
117,998‌
714‌
Chemicals
-
1.55%
Koninklijke
DSM
NV
13,457‌
1,660‌
Nitto
Denko
Corp
22,300‌
1,104‌
Nutrien
Ltd
23,400‌
1,252‌
$
4,016‌
Commercial
Services
-
0.34%
Brambles
Ltd
98,568‌
893‌
Computers
-
1.76%
Capgemini
SE
7,445‌
926‌
CyberArk
Software
Ltd
(a)
3,735‌
477‌
Logitech
International
SA
50,121‌
2,003‌
Obic
Co
Ltd
10,100‌
1,148‌
$
4,554‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Distribution
&
Wholesale
-
3.24%
Ferguson
PLC
28,016‌
$
1,994‌
ITOCHU
Corp
129,800‌
2,487‌
Mitsubishi
Corp
95,400‌
2,521‌
Sumitomo
Corp
92,800‌
1,409‌
$
8,411‌
Diversified
Financial
Services
-
1.84%
Housing
Development
Finance
Corp
Ltd
47,726‌
1,516‌
ORIX
Corp
129,300‌
1,932‌
Shinhan
Financial
Group
Co
Ltd
27,048‌
1,052‌
Tisco
Financial
Group
PCL
85,700‌
261‌
$
4,761‌
Electric
-
2.46%
Chubu
Electric
Power
Co
Inc
71,400‌
1,003‌
Enel
SpA
294,873‌
2,057‌
Iberdrola
SA
277,400‌
2,762‌
Korea
Electric
Power
Corp
25,579‌
566‌
$
6,388‌
Electrical
Components
&
Equipment
-
0.39%
Delta
Electronics
Inc
200,000‌
1,016‌
Electronics
-
1.25%
Halma
PLC
39,095‌
1,004‌
Hoya
Corp
29,096‌
2,236‌
$
3,240‌
Energy
-
Alternate
Sources
-
0.59%
Vestas
Wind
Systems
A/S
17,505‌
1,517‌
Engineering
&
Construction
-
2.11%
ACS
Actividades
de
Construccion
y
Servicios
SA
46,607‌
1,865‌
ACS
Actividades
de
Construccion
y
Servicios
SA
-
Rights
(a)
46,607‌
73‌
Larsen
&
Toubro
Ltd
51,912‌
1,168‌
Vinci
SA
23,240‌
2,373‌
$
5,479‌
Food
-
5.34%
MEIJI
Holdings
Co
Ltd
14,700‌
1,051‌
Nestle
India
Ltd
3,509‌
606‌
Nestle
SA
61,438‌
6,360‌
Seven
&
i
Holdings
Co
Ltd
41,200‌
1,396‌
Tesco
PLC
630,135‌
1,816‌
Uni-President
Enterprises
Corp
704,000‌
1,875‌
X5
Retail
Group
NV
22,226‌
761‌
$
13,865‌
Food
Service
-
0.69%
Compass
Group
PLC
75,164‌
1,802‌
Forest
Products
&
Paper
-
0.89%
Mondi
PLC
74,714‌
1,700‌
Suzano
SA
70,900‌
606‌
$
2,306‌
Hand
&
Machine
Tools
-
0.33%
Techtronic
Industries
Co
Ltd
110,500‌
847‌
Healthcare
-
Products
-
0.91%
Carl
Zeiss
Meditec
AG
10,194‌
1,005‌
Sonova
Holding
AG
2,538‌
578‌
Straumann
Holding
AG
872‌
771‌
$
2,354‌
Healthcare
-
Services
-
1.36%
ICON
PLC
(a)
11,587‌
1,784‌
Lonza
Group
AG
(a)
5,190‌
1,752‌
$
3,536‌
Home
Builders
-
0.73%
Persimmon
PLC
39,635‌
1,007‌
Taylor
Wimpey
PLC
445,583‌
894‌
$
1,901‌
Home
Furnishings
-
1.13%
Howden
Joinery
Group
PLC
140,758‌
906‌
Sony
Corp
38,700‌
2,034‌
$
2,940‌
Schedule
of
Investments
Diversified
International
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
53
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Insurance
-
7.18%
ASR
Nederland
NV
34,808‌
$
1,414‌
BB
Seguridade
Participacoes
SA
166,331‌
1,410‌
Fairfax
Financial
Holdings
Ltd
2,800‌
1,375‌
Hannover
Rueck
SE
9,124‌
1,475‌
Legal
&
General
Group
PLC
726,859‌
2,490‌
NN
Group
NV
50,281‌
2,021‌
Prudential
PLC
117,055‌
2,556‌
Sompo
Holdings
Inc
31,900‌
1,234‌
Swiss
Life
Holding
AG
5,276‌
2,616‌
Tokio
Marine
Holdings
Inc
40,700‌
2,042‌
$
18,633‌
Internet
-
2.71%
Alibaba
Group
Holding
Ltd
ADR
(a)
19,888‌
3,370‌
Tencent
Holdings
Ltd
80,793‌
3,655‌
$
7,025‌
Investment
Companies
-
0.74%
EXOR
NV
9,174‌
643‌
Investor
AB
26,742‌
1,286‌
$
1,929‌
Lodging
-
0.20%
Huazhu
Group
Ltd
ADR
14,154‌
513‌
Machinery
-
Diversified
-
1.16%
Amada
Holdings
Co
Ltd
83,800‌
947‌
Keyence
Corp
2,000‌
1,233‌
Valmet
OYJ
33,058‌
825‌
$
3,005‌
Mining
-
1.89%
Anglo
American
PLC
56,046‌
1,601‌
MMC
Norilsk
Nickel
PJSC
ADR
6,162‌
139‌
Rio
Tinto
Ltd
43,274‌
3,169‌
$
4,909‌
Office
&
Business
Equipment
-
0.33%
Konica
Minolta
Inc
87,500‌
853‌
Oil
&
Gas
-
5.68%
BP
PLC
530,798‌
3,698‌
Husky
Energy
Inc
67,300‌
638‌
LUKOIL
PJSC
ADR
17,056‌
1,442‌
Neste
Oyj
71,708‌
2,438‌
Parkland
Fuel
Corp
12,000‌
381‌
PTT
PCL
1,124,000‌
1,790‌
Reliance
Industries
Ltd
(a)
153,981‌
2,794‌
Suncor
Energy
Inc
49,900‌
1,556‌
$
14,737‌
Pharmaceuticals
-
4.77%
Merck
KGaA
12,116‌
1,266‌
Novartis
AG
42,338‌
3,865‌
Novo
Nordisk
A/S
42,943‌
2,193‌
Roche
Holding
AG
17,950‌
5,047‌
$
12,371‌
Pipelines
-
0.73%
TC
Energy
Corp
38,300‌
1,899‌
Private
Equity
-
2.88%
3i
Group
PLC
217,024‌
3,071‌
Brookfield
Asset
Management
Inc
77,913‌
3,727‌
Intermediate
Capital
Group
PLC
38,601‌
677‌
$
7,475‌
Real
Estate
-
2.11%
CK
Asset
Holdings
Ltd
213,500‌
1,673‌
LEG
Immobilien
AG
8,680‌
979‌
Vonovia
SE
24,305‌
1,161‌
Wharf
Real
Estate
Investment
Co
Ltd
235,000‌
1,656‌
$
5,469‌
REITs
-
0.44%
Dexus
125,538‌
1,145‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Retail
-
4.02%
Alimentation
Couche-Tard
Inc
52,223‌
$
3,286‌
ANTA
Sports
Products
Ltd
244,000‌
1,683‌
Atacadao
SA
104,300‌
598‌
Grafton
Group
PLC
66,586‌
681‌
Li
Ning
Co
Ltd
462,500‌
1,094‌
Pan
Pacific
International
Holdings
Corp
16,900‌
1,075‌
Wal-Mart
de
Mexico
SAB
de
CV
733,222‌
2,001‌
$
10,418‌
Semiconductors
-
3.30%
Samsung
Electronics
Co
Ltd
101,312‌
4,125‌
Taiwan
Semiconductor
Manufacturing
Co
Ltd
581,140‌
4,445‌
$
8,570‌
Software
-
2.96%
Amadeus
IT
Group
SA
24,722‌
1,959‌
Capcom
Co
Ltd
37,800‌
761‌
Dassault
Systemes
SE
8,856‌
1,413‌
Nemetschek
SE
9,246‌
557‌
SimCorp
A/S
6,915‌
669‌
Tech
Mahindra
Ltd
107,700‌
1,103‌
Ubisoft
Entertainment
SA
(a)
15,665‌
1,225‌
$
7,687‌
Telecommunications
-
6.06%
China
Mobile
Ltd
209,500‌
1,907‌
Deutsche
Telekom
AG
93,801‌
1,625‌
Nice
Ltd
ADR
(a)
9,812‌
1,344‌
Nippon
Telegraph
&
Telephone
Corp
40,800‌
1,901‌
Orange
SA
75,038‌
1,184‌
SK
Telecom
Co
Ltd
5,701‌
1,279‌
SoftBank
Group
Corp
57,600‌
2,774‌
Telefonaktiebolaget
LM
Ericsson
261,927‌
2,486‌
Telenor
ASA
57,635‌
1,225‌
$
15,725‌
Toys,
Games
&
Hobbies
-
0.52%
Nintendo
Co
Ltd
3,700‌
1,358‌
Transportation
-
1.92%
Canadian
National
Railway
Co
36,928‌
3,418‌
East
Japan
Railway
Co
16,600‌
1,554‌
$
4,972‌
TOTAL
COMMON
STOCKS
$
256,256‌
INVESTMENT
COMPANIES
-
0.65%
Shares
Held
Value
(000's)
Money
Market
Funds
-
0.65%
BlackRock
Liquidity
FedFund
2.26%
(c),(d)
392,070‌
392‌
Principal
Government
Money
Market
Fund
2.23%
(c),(e)
1,286,279‌
1,286‌
$
1,678‌
TOTAL
INVESTMENT
COMPANIES
$
1,678‌
PREFERRED
STOCKS
-
0.45%
Shares
Held
Value
(000's)
Investment
Companies
-
0.45%
Itausa
-
Investimentos
Itau
SA
0.08%
350,246‌
$
1,179‌
TOTAL
PREFERRED
STOCKS
$
1,179‌
Total
Investments
$
259,113‌
Other
Assets
and
Liabilities
-  0.12%
302‌
TOTAL
NET
ASSETS
-
100.00%
$
259,415‌
(a)
Non-income
producing
security
(b)
Security
or
a
portion
of
the
security
was
on
loan
at
the
end
of
the
period.
(c)
Current
yield
shown
is
as
of
period
end.
(d)
Security
or
a
portion
of
the
security
was
pledged
as
collateral
for
securities
lending.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$392
or
0.15%
of
net
assets.
(e)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
Schedule
of
Investments
Diversified
International
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
54
Portfolio
Summary
(unaudited)
Country
Percent
Japan
14.82‌%
United
Kingdom
12.47‌%
Switzerland
9.11‌%
Canada
8.37‌%
France
4.88‌%
China
4.82‌%
Germany
3.90‌%
Korea,
Republic
Of
3.76‌%
India
3.62‌%
Netherlands
3.04‌%
Sweden
2.97‌%
Taiwan,
Province
Of
China
2.82‌%
Australia
2.62‌%
Spain
2.57‌%
Hong
Kong
2.34‌%
Italy
2.31‌%
Denmark
2.11‌%
Brazil
1.87‌%
Thailand
1.76‌%
Israel
1.29‌%
Finland
1.26‌%
Norway
1.13‌%
Singapore
1.04‌%
Ireland
0.95‌%
Russian
Federation
0.89‌%
Mexico
0.77‌%
Peru
0.67‌%
United
States
0.65‌%
Austria
0.62‌%
Hungary
0.23‌%
Portugal
0.22‌%
Other
Assets
and
Liabilities
0.12‌%
TOTAL
NET
ASSETS
100.00%
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Principal
Government
Money
Market
Fund
2.23%
$
1,664‌
$
25,397‌
$
25,775‌
$
1,286‌
$
1,664‌
$
25,397‌
$
25,775‌
$
1,286‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Principal
Government
Money
Market
Fund
2.23%
$
23‌
$
—‌
$
—‌
$
—‌
$
23‌
$
—‌
$
—‌
$
—‌
Amounts
in
thousands
Schedule
of
Investments
Equity
Income
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
55
COMMON
STOCKS
-
98.04%
Shares
Held
Value
(000's)
Aerospace
&
Defense
-
0.40%
Boeing
Co/The
8,107‌
$
2,951‌
Airlines
-
1.52%
Delta
Air
Lines
Inc
196,327‌
11,142‌
Apparel
-
0.84%
VF
Corp
70,809‌
6,185‌
Automobile
Manufacturers
-
1.55%
PACCAR
Inc
158,217‌
11,338‌
Automobile
Parts
&
Equipment
-
1.73%
Magna
International
Inc
254,270‌
12,637‌
Banks
-
10.20%
Bank
of
Nova
Scotia/The
202,020‌
10,980‌
First
Republic
Bank/CA
7,703‌
752‌
JPMorgan
Chase
&
Co
183,007‌
20,460‌
PNC
Financial
Services
Group
Inc
/The
133,267‌
18,295‌
SunTrust
Banks
Inc
153,557‌
9,651‌
US
Bancorp
278,326‌
14,584‌
$
74,722‌
Beverages
-
1.06%
Coca-Cola
Co/The
152,677‌
7,774‌
Biotechnology
-
0.11%
Corteva
Inc
26,923‌
796‌
Chemicals
-
3.43%
Air
Products
&
Chemicals
Inc
36,156‌
8,185‌
Albemarle
Corp
60,274‌
4,244‌
DuPont
de
Nemours
Inc
98,151‌
7,368‌
PPG
Industries
Inc
45,749‌
5,339‌
$
25,136‌
Computers
-
3.31%
Accenture
PLC
-
Class
A
32,456‌
5,997‌
Apple
Inc
92,191‌
18,246‌
$
24,243‌
Diversified
Financial
Services
-
4.43%
BlackRock
Inc
31,833‌
14,939‌
Discover
Financial
Services
226,148‌
17,547‌
$
32,486‌
Electric
-
6.38%
Eversource
Energy
112,081‌
8,491‌
NextEra
Energy
Inc
42,494‌
8,705‌
Sempra
Energy
81,835‌
11,248‌
WEC
Energy
Group
Inc
107,512‌
8,963‌
Xcel
Energy
Inc
156,795‌
9,328‌
$
46,735‌
Electronics
-
0.90%
Honeywell
International
Inc
37,763‌
6,593‌
Food
-
2.47%
Hormel
Foods
Corp
218,723‌
8,867‌
Tyson
Foods
Inc
114,022‌
9,206‌
$
18,073‌
Healthcare
-
Products
-
5.51%
Abbott
Laboratories
170,857‌
14,369‌
Becton
Dickinson
and
Co
43,955‌
11,077‌
Medtronic
PLC
153,307‌
14,931‌
$
40,377‌
Healthcare
-
Services
-
1.68%
HCA
Healthcare
Inc
90,997‌
12,300‌
Insurance
-
6.69%
Allstate
Corp/The
103,143‌
10,489‌
Chubb
Ltd
100,143‌
14,750‌
Fidelity
National
Financial
Inc
334,242‌
13,470‌
Swiss
Re
AG
ADR
408,245‌
10,341‌
$
49,050‌
Machinery
-
Diversified
-
1.20%
Deere
&
Co
52,907‌
8,767‌
Media
-
1.69%
Walt
Disney
Co/The
88,471‌
12,354‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Miscellaneous
Manufacturers
-
2.07%
3M
Co
32,581‌
$
5,647‌
Parker-Hannifin
Corp
55,948‌
9,512‌
$
15,159‌
Oil
&
Gas
-
7.61%
Chevron
Corp
79,861‌
9,938‌
Cimarex
Energy
Co
108,593‌
6,443‌
EOG
Resources
Inc
75,395‌
7,024‌
Exxon
Mobil
Corp
57,890‌
4,436‌
Marathon
Petroleum
Corp
234,078‌
13,080‌
Occidental
Petroleum
Corp
36,407‌
1,830‌
Royal
Dutch
Shell
PLC
-
B
shares
ADR
197,808‌
13,004‌
$
55,755‌
Pharmaceuticals
-
7.62%
Merck
&
Co
Inc
198,976‌
16,684‌
Novartis
AG
ADR
121,102‌
11,058‌
Pfizer
Inc
302,843‌
13,119‌
Roche
Holding
AG
ADR
426,379‌
14,966‌
$
55,827‌
Pipelines
-
1.89%
Enterprise
Products
Partners
LP
480,394‌
13,869‌
Private
Equity
-
2.30%
KKR
&
Co
Inc
667,304‌
16,863‌
REITs
-
3.86%
Alexandria
Real
Estate
Equities
Inc
45,384‌
6,403‌
Digital
Realty
Trust
Inc
105,354‌
12,410‌
Simon
Property
Group
Inc
59,379‌
9,486‌
$
28,299‌
Retail
-
3.35%
Costco
Wholesale
Corp
51,574‌
13,629‌
Starbucks
Corp
130,381‌
10,930‌
$
24,559‌
Semiconductors
-
3.79%
Applied
Materials
Inc
200,771‌
9,017‌
Microchip
Technology
Inc
125,709‌
10,899‌
Taiwan
Semiconductor
Manufacturing
Co
Ltd
ADR
199,823‌
7,827‌
$
27,743‌
Software
-
3.36%
Fidelity
National
Information
Services
Inc
65,005‌
7,975‌
Microsoft
Corp
72,377‌
9,695‌
SAP
SE
ADR
50,745‌
6,942‌
$
24,612‌
Telecommunications
-
3.46%
BCE
Inc
270,350‌
12,296‌
Verizon
Communications
Inc
228,200‌
13,037‌
$
25,333‌
Toys,
Games
&
Hobbies
-
2.37%
Hasbro
Inc
164,171‌
17,350‌
Transportation
-
1.26%
Union
Pacific
Corp
54,689‌
9,249‌
TOTAL
COMMON
STOCKS
$
718,277‌
INVESTMENT
COMPANIES
-
1.63%
Shares
Held
Value
(000's)
Money
Market
Funds
-
1.63%
Principal
Government
Money
Market
Fund
2.23%
(a),(b)
11,977,164‌
11,977‌
TOTAL
INVESTMENT
COMPANIES
$
11,977‌
Total
Investments
$
730,254‌
Other
Assets
and
Liabilities
-  0.33%
2,451‌
TOTAL
NET
ASSETS
-
100.00%
$
732,705‌
(a)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(b)
Current
yield
shown
is
as
of
period
end.
Schedule
of
Investments
Equity
Income
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
56
Portfolio
Summary
(unaudited)
Sector
Percent
Financial
27.48‌%
Consumer,
Non-cyclical
18.45‌%
Consumer,
Cyclical
11.36‌%
Technology
10.46‌%
Energy
9.50‌%
Utilities
6.38‌%
Industrial
5.83‌%
Communications
5.15‌%
Basic
Materials
3.43‌%
Money
Market
Funds
1.63‌%
Other
Assets
and
Liabilities
0.33‌%
TOTAL
NET
ASSETS
100.00%
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Principal
Government
Money
Market
Fund
2.23%
$
8,817‌
$
38,135‌
$
34,975‌
$
11,977‌
$
8,817‌
$
38,135‌
$
34,975‌
$
11,977‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Principal
Government
Money
Market
Fund
2.23%
$
107‌
$
—‌
$
—‌
$
—‌
$
107‌
$
—‌
$
—‌
$
—‌
Amounts
in
thousands
Schedule
of
Investments
Government
&
High
Quality
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
57
INVESTMENT
COMPANIES
-
2.74%
Shares
Held
Value
(000's)
Money
Market
Funds
-
2.74%
Principal
Government
Money
Market
Fund
2.23%
(a),(b)
6,171,733‌
$
6,172‌
TOTAL
INVESTMENT
COMPANIES
$
6,172‌
BONDS
-
28.26%
Principal
Amount
(000's)
Value
(000's)
Commercial
Mortgage
Backed
Securities
-
12.95%
CD
2017-CD3
Mortgage
Trust
3.98%,
02/10/2050
(c)
$
1,000‌
$
1,056‌
COMM
2014-CCRE19
Mortgage
Trust
4.90%,
08/10/2047
(c)
600‌
634‌
COMM
2014-UBS5
Mortgage
Trust
4.76%,
09/10/2047
(c)
1,000‌
1,034‌
Freddie
Mac
Multifamily
Structured
Pass
Through
Certificates
2.65%,
08/25/2026
850‌
868‌
3.19%,
09/25/2027
(c)
1,330‌
1,403‌
3.29%,
11/25/2027
1,100‌
1,169‌
3.44%,
12/25/2027
1,500‌
1,612‌
3.60%,
01/25/2028
1,330‌
1,443‌
3.65%,
02/25/2028
(c)
700‌
762‌
3.90%,
04/25/2028
1,120‌
1,244‌
4.05%,
09/25/2028
(c)
1,000‌
1,123‌
Ginnie
Mae
0.52%,
06/16/2060
(c),(d)
7,424‌
417‌
0.56%,
10/16/2054
(c),(d)
10,349‌
302‌
0.57%,
12/16/2059
(c),(d)
7,778‌
433‌
0.59%,
04/16/2047
(c),(d)
10,003‌
377‌
0.59%,
02/16/2060
(c),(d)
11,305‌
674‌
0.59%,
03/16/2060
(c),(d)
4,687‌
275‌
0.61%,
11/16/2045
(c),(d)
15,534‌
545‌
0.70%,
11/16/2052
(c),(d)
13,407‌
531‌
0.79%,
09/16/2053
(c),(d)
9,631‌
396‌
0.84%,
02/16/2053
(c),(d)
11,082‌
606‌
0.84%,
02/16/2055
(c),(d)
21,824‌
695‌
0.92%,
03/16/2052
(c),(d)
10,836‌
636‌
0.98%,
02/16/2046
(c),(d)
11,650‌
567‌
2.60%,
05/16/2059
680‌
672‌
2.60%,
03/16/2060
1,157‌
1,145‌
GS
Mortgage
Securities
Trust
2014-GC20
5.13%,
04/10/2047
(c)
300‌
314‌
JP
Morgan
Chase
Commercial
Mortgage
Securities
Trust
2011-C5
5.55%,
08/15/2046
(c),(e)
2,000‌
2,103‌
JP
Morgan
Chase
Commercial
Mortgage
Securities
Trust
2013-C16
5.13%,
12/15/2046
(c)
1,800‌
1,953‌
JPMDB
Commercial
Mortgage
Securities
Trust
2018-C8
4.90%,
06/15/2051
(c)
500‌
550‌
WFRBS
Commercial
Mortgage
Trust
2014-C23
4.53%,
10/15/2057
(c)
1,000‌
1,067‌
WFRBS
Commercial
Mortgage
Trust
2014-LC14
4.34%,
03/15/2047
(c)
2,450‌
2,520‌
$
29,126‌
Home
Equity
Asset
Backed
Securities
-
0.36%
ACE
Securities
Corp
Mortgage
Loan
Trust
Series
2007-D1
6.93%,
02/25/2038
(c),(e)
835‌
816‌
Mortgage
Backed
Securities
-
14.13%
EverBank
Mortgage
Loan
Trust
18-1
3.50%,
02/25/2048
(c),(e)
639‌
643‌
Fannie
Mae
Grantor
Trust
2005-T1
2.75%,
05/25/2035
221‌
220‌
1.00
x
1
Month
USD
LIBOR
+
0.35%
Fannie
Mae
Interest
Strip
3.50%,
12/25/2043
(c),(d)
1,581‌
258‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Mortgage
Backed
Securities
(continued)
Fannie
Mae
REMICS
1.70%,
06/25/2045
(c),(d)
$
4,326‌
$
278‌
3.00%,
10/25/2040
(d)
5,365‌
417‌
3.00%,
04/25/2042
974‌
987‌
3.00%,
02/25/2043
456‌
468‌
3.00%,
01/25/2046
744‌
760‌
3.00%,
05/25/2048
211‌
213‌
3.50%,
01/25/2040
(d)
2,583‌
214‌
3.50%,
11/25/2042
2,500‌
2,637‌
3.50%,
03/25/2048
(d)
2,148‌
162‌
4.00%,
12/25/2039
(d)
1,271‌
116‌
4.00%,
03/25/2045
1,000‌
1,131‌
4.00%,
04/25/2047
656‌
733‌
4.50%,
04/25/2045
(d)
3,278‌
671‌
7.00%,
04/25/2032
117‌
133‌
Freddie
Mac
REMICS
1.50%,
04/15/2028
993‌
978‌
1.55%,
05/15/2038
(c),(d)
3,591‌
164‌
2.50%,
11/15/2032
961‌
967‌
2.50%,
02/15/2043
944‌
946‌
3.00%,
11/15/2030
(d)
2,328‌
126‌
3.00%,
11/15/2035
950‌
962‌
3.00%,
06/15/2040
476‌
484‌
3.00%,
10/15/2041
391‌
400‌
3.00%,
04/15/2046
296‌
304‌
3.50%,
03/15/2029
322‌
341‌
3.50%,
08/15/2040
(d)
2,654‌
235‌
3.50%,
05/15/2043
803‌
833‌
3.50%,
09/15/2043
1,200‌
1,240‌
4.00%,
05/15/2039
4,200‌
4,377‌
Ginnie
Mae
3.50%,
12/20/2034
(d)
695‌
7‌
3.50%,
05/20/2039
96‌
96‌
3.50%,
10/20/2044
(d)
5,195‌
738‌
3.50%,
11/20/2045
930‌
951‌
4.00%,
02/20/2044
(d)
3,334‌
522‌
4.00%,
04/20/2044
(d)
1,688‌
256‌
4.00%,
01/20/2046
(d)
1,732‌
231‌
JP
Morgan
Mortgage
Trust
2016-4
3.50%,
10/25/2046
(c),(e)
756‌
763‌
JP
Morgan
Mortgage
Trust
2017-3
3.86%,
08/25/2047
(c),(e)
573‌
581‌
JP
Morgan
Mortgage
Trust
2018-8
4.00%,
01/25/2049
(c),(e)
971‌
979‌
New
Residential
Mortgage
Loan
Trust
2014-1
5.00%,
01/25/2054
(c),(e)
1,548‌
1,633‌
New
Residential
Mortgage
Loan
Trust
2015-2
5.55%,
08/25/2055
(c),(e)
1,109‌
1,213‌
Sequoia
Mortgage
Trust
2013-2
3.64%,
02/25/2043
(c)
749‌
768‌
Sequoia
Mortgage
Trust
2018-5
3.50%,
05/25/2048
(c),(e)
628‌
631‌
$
31,767‌
Other
Asset
Backed
Securities
-
0.82%
Chase
Funding
Trust
Series
2004-1
2.86%,
12/25/2033
97‌
95‌
1.00
x
1
Month
USD
LIBOR
+
0.46%
CNH
Equipment
Trust
2016-C
1.76%,
09/15/2023
500‌
497‌
Towd
Point
Mortgage
Trust
4.25%,
10/25/2053
(c),(e)
550‌
583‌
Towd
Point
Mortgage
Trust
2017-6
3.25%,
10/25/2057
(c),(e)
700‌
672‌
$
1,847‌
TOTAL
BONDS
$
63,556‌
Schedule
of
Investments
Government
&
High
Quality
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
58
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
-
68.64%
Principal
Amount
(000's)
Value
(000's)
Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
-
15.49%
2.00%,
10/01/2031
$
726‌
$
719‌
2.50%,
02/01/2028
677‌
683‌
3.00%,
02/01/2027
245‌
251‌
3.00%,
01/01/2031
564‌
578‌
3.00%,
01/01/2033
959‌
982‌
3.00%,
03/01/2037
406‌
413‌
3.00%,
08/01/2042
741‌
754‌
3.00%,
10/01/2042
1,034‌
1,052‌
3.00%,
10/01/2042
1,105‌
1,131‌
3.00%,
10/01/2042
536‌
546‌
3.00%,
05/01/2043
761‌
777‌
3.00%,
10/01/2046
804‌
822‌
3.00%,
01/01/2047
1,024‌
1,047‌
3.50%,
02/01/2032
1,148‌
1,191‌
3.50%,
04/01/2042
1,637‌
1,700‌
3.50%,
05/01/2042
594‌
617‌
3.50%,
07/01/2042
2,127‌
2,210‌
3.50%,
02/01/2044
862‌
893‌
3.50%,
08/01/2045
892‌
932‌
3.50%,
07/01/2046
721‌
752‌
3.50%,
01/01/2047
1,984‌
2,062‌
3.50%,
01/01/2048
1,050‌
1,096‌
4.00%,
07/01/2042
758‌
811‌
4.00%,
01/01/2043
1,023‌
1,079‌
4.00%,
04/01/2043
1,269‌
1,355‌
4.00%,
06/01/2043
1,255‌
1,329‌
4.00%,
10/01/2045
1,233‌
1,314‌
4.00%,
08/01/2047
1,503‌
1,602‌
4.00%,
01/01/2048
1,261‌
1,347‌
4.00%,
06/01/2048
1,440‌
1,534‌
4.50%,
09/01/2032
13‌
14‌
1.00
x
US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
2.23%
4.50%,
11/01/2043
914‌
999‌
5.00%,
10/01/2025
116‌
122‌
5.00%,
02/01/2033
155‌
169‌
5.00%,
06/01/2033
177‌
190‌
5.00%,
01/01/2034
485‌
527‌
5.00%,
07/01/2035
98‌
107‌
5.00%,
07/01/2035
22‌
25‌
5.00%,
07/01/2035
10‌
11‌
5.00%,
10/01/2035
45‌
49‌
5.50%,
03/01/2033
107‌
118‌
5.50%,
04/01/2038
7‌
8‌
5.50%,
05/01/2038
41‌
45‌
6.00%,
12/01/2023
3‌
3‌
6.00%,
05/01/2031
11‌
13‌
6.00%,
12/01/2031
12‌
14‌
6.00%,
09/01/2032
7‌
7‌
6.00%,
11/01/2033
50‌
56‌
6.00%,
11/01/2033
23‌
25‌
6.00%,
09/01/2034
50‌
57‌
6.00%,
02/01/2035
46‌
53‌
6.00%,
10/01/2036
45‌
51‌
6.00%,
03/01/2037
39‌
44‌
6.00%,
01/01/2038
7‌
8‌
6.00%,
01/01/2038
85‌
97‌
6.00%,
04/01/2038
41‌
45‌
6.50%,
08/01/2021
1‌
1‌
6.50%,
12/01/2021
7‌
7‌
6.50%,
04/01/2022
10‌
11‌
6.50%,
05/01/2022
6‌
6‌
6.50%,
05/01/2023
6‌
6‌
6.50%,
04/01/2024
2‌
2‌
6.50%,
04/01/2026
2‌
2‌
6.50%,
05/01/2026
3‌
3‌
6.50%,
05/01/2026
1‌
1‌
6.50%,
01/01/2028
4‌
4‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
(continued)
6.50%,
03/01/2028
$
2‌
$
2‌
6.50%,
10/01/2028
15‌
17‌
6.50%,
11/01/2028
3‌
4‌
6.50%,
12/01/2028
8‌
8‌
6.50%,
03/01/2029
3‌
4‌
6.50%,
07/01/2031
19‌
21‌
6.50%,
08/01/2031
5‌
5‌
6.50%,
10/01/2031
8‌
9‌
6.50%,
10/01/2031
8‌
9‌
6.50%,
12/01/2031
13‌
15‌
6.50%,
02/01/2032
13‌
15‌
6.50%,
05/01/2032
33‌
39‌
6.50%,
04/01/2035
6‌
7‌
7.00%,
09/01/2023
4‌
4‌
7.00%,
12/01/2023
2‌
2‌
7.00%,
01/01/2024
2‌
2‌
7.00%,
09/01/2027
3‌
4‌
7.00%,
01/01/2028
30‌
32‌
7.00%,
04/01/2028
14‌
16‌
7.00%,
05/01/2028
2‌
3‌
7.00%,
10/01/2031
6‌
7‌
7.00%,
10/01/2031
12‌
13‌
7.00%,
04/01/2032
47‌
54‌
7.50%,
10/01/2030
7‌
8‌
7.50%,
02/01/2031
8‌
9‌
7.50%,
02/01/2031
4‌
4‌
7.50%,
02/01/2031
2‌
3‌
8.00%,
10/01/2030
16‌
19‌
8.50%,
07/01/2029
16‌
17‌
$
34,831‌
Federal
National
Mortgage
Association
(FNMA)
-
0.64%
3.00%,
04/01/2043
963‌
978‌
4.33%,
07/01/2034
20‌
20‌
1.00
x
US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
2.21%
4.47%,
12/01/2033
108‌
112‌
1.00
x
12
Month
USD
LIBOR
+
1.60%
4.77%,
12/01/2032
12‌
12‌
1.00
x
12
Month
USD
LIBOR
+
1.64%
5.50%,
05/01/2033
14‌
15‌
6.00%,
05/01/2037
164‌
180‌
6.50%,
08/01/2025
17‌
18‌
6.50%,
11/01/2032
14‌
15‌
7.00%,
08/01/2028
15‌
17‌
7.00%,
12/01/2028
13‌
15‌
7.50%,
11/01/2029
12‌
13‌
8.00%,
05/01/2027
8‌
8‌
8.00%,
09/01/2027
3‌
2‌
8.50%,
10/01/2027
25‌
26‌
$
1,431‌
Federal
National
Mortgage
Association
(FNMA)/Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
Uniform
Mortgage-Backed
Security
-
36.78%
2.00%,
02/01/2032
438‌
433‌
2.50%,
06/01/2027
1,112‌
1,121‌
2.50%,
08/01/2028
747‌
753‌
2.50%,
12/01/2031
853‌
860‌
2.50%,
09/01/2032
575‌
580‌
3.00%,
05/01/2029
833‌
854‌
3.00%,
08/01/2031
1,598‌
1,638‌
3.00%,
10/01/2036
630‌
644‌
3.00%,
10/01/2042
1,516‌
1,547‌
3.00%,
11/01/2042
1,666‌
1,701‌
3.00%,
12/01/2042
1,481‌
1,512‌
3.00%,
02/01/2043
1,047‌
1,071‌
3.00%,
06/01/2043
1,852‌
1,891‌
3.00%,
08/01/2043
1,290‌
1,317‌
3.00%,
09/01/2046
1,529‌
1,560‌
3.00%,
10/01/2046
1,050‌
1,071‌
Schedule
of
Investments
Government
&
High
Quality
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
59
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
National
Mortgage
Association
(FNMA)/Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
Uniform
Mortgage-Backed
Security
(continued)
3.00%,
11/01/2046
$
1,594‌
$
1,630‌
3.00%,
01/01/2047
943‌
964‌
3.50%,
08/01/2031
795‌
824‌
3.50%,
02/01/2033
1,234‌
1,287‌
3.50%,
02/01/2042
1,158‌
1,207‌
3.50%,
09/01/2042
1,887‌
1,964‌
3.50%,
11/01/2042
1,284‌
1,339‌
3.50%,
12/01/2042
1,380‌
1,437‌
3.50%,
02/01/2043
491‌
515‌
3.50%,
09/01/2044
1,984‌
2,077‌
3.50%,
10/01/2044
623‌
652‌
3.50%,
11/01/2044
611‌
642‌
3.50%,
03/01/2045
620‌
648‌
3.50%,
03/01/2045
1,459‌
1,519‌
3.50%,
06/01/2045
1,017‌
1,065‌
3.50%,
09/01/2045
904‌
942‌
3.50%,
10/01/2045
685‌
718‌
3.50%,
11/01/2045
705‌
736‌
3.50%,
01/01/2046
691‌
724‌
3.50%,
03/01/2046
486‌
509‌
3.50%,
04/01/2046
1,075‌
1,125‌
3.50%,
03/01/2047
1,027‌
1,074‌
3.50%,
10/01/2047
764‌
799‌
4.00%,
01/01/2034
528‌
556‌
4.00%,
10/01/2037
989‌
1,031‌
4.00%,
02/01/2041
1,449‌
1,538‌
4.00%,
02/01/2042
855‌
909‌
4.00%,
08/01/2043
485‌
519‌
4.00%,
10/01/2043
417‌
439‌
4.00%,
04/01/2044
327‌
349‌
4.00%,
08/01/2044
544‌
581‌
4.00%,
10/01/2044
1,601‌
1,677‌
4.00%,
11/01/2044
526‌
563‌
4.00%,
12/01/2044
871‌
931‌
4.00%,
02/01/2045
890‌
951‌
4.00%,
08/01/2045
865‌
925‌
4.00%,
09/01/2045
1,908‌
2,039‌
4.00%,
05/01/2046
1,599‌
1,703‌
4.00%,
07/01/2046
730‌
780‌
4.00%,
08/01/2046
1,658‌
1,755‌
4.00%,
07/01/2047
1,071‌
1,144‌
4.00%,
10/01/2047
944‌
1,005‌
4.00%,
12/01/2047
862‌
921‌
4.00%,
03/01/2049
1,079‌
1,153‌
4.50%,
12/01/2019
2‌
2‌
4.50%,
01/01/2020
7‌
7‌
4.50%,
08/01/2039
1,680‌
1,813‌
4.50%,
03/01/2042
431‌
468‌
4.50%,
09/01/2043
1,744‌
1,902‌
4.50%,
10/01/2043
929‌
1,013‌
4.50%,
11/01/2043
1,040‌
1,134‌
4.50%,
09/01/2045
760‌
825‌
4.50%,
10/01/2045
976‌
1,069‌
4.50%,
11/01/2045
1,417‌
1,537‌
4.50%,
08/01/2048
1,037‌
1,126‌
4.50%,
09/01/2048
1,878‌
2,042‌
5.00%,
05/01/2033
1,174‌
1,281‌
5.00%,
04/01/2035
114‌
124‌
5.00%,
04/01/2035
89‌
98‌
5.00%,
07/01/2035
5‌
6‌
5.00%,
02/01/2038
373‌
409‌
5.00%,
02/01/2040
1,321‌
1,458‌
5.00%,
07/01/2041
1,049‌
1,158‌
5.50%,
08/01/2019
3‌
3‌
5.50%,
09/01/2019
2‌
2‌
5.50%,
05/01/2024
8‌
8‌
5.50%,
06/01/2033
58‌
64‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Federal
National
Mortgage
Association
(FNMA)/Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
Uniform
Mortgage-Backed
Security
(continued)
5.50%,
02/01/2037
$
4‌
$
4‌
5.50%,
03/01/2038
107‌
119‌
6.00%,
06/01/2022
11‌
12‌
6.00%,
11/01/2028
13‌
14‌
6.00%,
12/01/2031
6‌
7‌
6.00%,
01/01/2033
50‌
57‌
6.00%,
07/01/2037
131‌
148‌
6.00%,
11/01/2037
3‌
3‌
6.00%,
12/01/2037
8‌
9‌
6.00%,
03/01/2038
56‌
63‌
6.50%,
11/01/2023
16‌
18‌
6.50%,
05/01/2024
6‌
6‌
6.50%,
09/01/2024
9‌
10‌
6.50%,
07/01/2025
10‌
11‌
6.50%,
02/01/2026
3‌
3‌
6.50%,
03/01/2026
1‌
1‌
6.50%,
05/01/2026
3‌
3‌
6.50%,
06/01/2026
1‌
1‌
6.50%,
07/01/2028
9‌
10‌
6.50%,
09/01/2028
16‌
18‌
6.50%,
02/01/2029
2‌
3‌
6.50%,
03/01/2029
5‌
6‌
6.50%,
04/01/2029
4‌
5‌
6.50%,
06/01/2031
10‌
11‌
6.50%,
06/01/2031
9‌
10‌
6.50%,
01/01/2032
4‌
4‌
6.50%,
04/01/2032
13‌
14‌
6.50%,
08/01/2032
9‌
10‌
6.50%,
02/01/2033
19‌
21‌
6.50%,
12/01/2036
33‌
38‌
6.50%,
07/01/2037
16‌
19‌
6.50%,
07/01/2037
25‌
29‌
6.50%,
02/01/2038
30‌
35‌
7.00%,
10/01/2029
14‌
16‌
7.00%,
05/01/2031
4‌
4‌
7.00%,
11/01/2031
20‌
22‌
7.50%,
04/01/2022
1‌
1‌
8.00%,
06/01/2030
2‌
2‌
9.00%,
09/01/2030
1‌
1‌
$
82,736‌
Government
National
Mortgage
Association
(GNMA)
-
6.65%
3.00%,
11/15/2042
931‌
953‌
3.00%,
12/15/2042
1,664‌
1,706‌
3.00%,
02/15/2043
1,454‌
1,490‌
3.50%,
01/15/2043
1,169‌
1,214‌
3.50%,
05/15/2043
1,347‌
1,398‌
3.50%,
06/20/2043
808‌
837‌
3.50%,
04/20/2045
783‌
810‌
3.50%,
06/20/2046
111‌
114‌
3.50%,
02/20/2047
855‌
882‌
3.50%,
05/20/2047
972‌
1,010‌
3.50%,
11/20/2047
747‌
772‌
4.00%,
08/15/2041
993‌
1,061‌
4.00%,
07/20/2047
958‌
1,000‌
4.50%,
07/15/2040
511‌
551‌
5.00%,
09/15/2033
5‌
6‌
5.00%,
02/15/2034
296‌
322‌
5.00%,
09/15/2039
38‌
42‌
5.50%,
11/15/2033
28‌
30‌
5.50%,
05/20/2035
125‌
137‌
5.50%,
03/15/2039
86‌
92‌
6.00%,
04/20/2026
4‌
4‌
6.00%,
05/20/2026
3‌
3‌
6.00%,
03/20/2028
2‌
3‌
6.00%,
06/20/2028
13‌
15‌
6.00%,
07/20/2028
7‌
8‌
6.00%,
02/20/2029
7‌
8‌
Schedule
of
Investments
Government
&
High
Quality
Bond
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
60
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Government
National
Mortgage
Association
(GNMA)
(continued)
6.00%,
03/20/2029
$
15‌
$
17‌
6.00%,
07/20/2029
16‌
17‌
6.00%,
07/20/2033
113‌
129‌
6.50%,
12/20/2025
8‌
8‌
6.50%,
02/20/2026
6‌
6‌
6.50%,
03/20/2031
10‌
12‌
6.50%,
04/20/2031
11‌
13‌
7.00%,
01/15/2028
1‌
1‌
7.00%,
01/15/2028
1‌
1‌
7.00%,
01/15/2028
1‌
1‌
7.00%,
01/15/2028
3‌
3‌
7.00%,
01/15/2028
4‌
5‌
7.00%,
03/15/2028
56‌
58‌
7.00%,
05/15/2028
6‌
6‌
7.00%,
01/15/2029
12‌
13‌
7.00%,
03/15/2029
4‌
4‌
7.00%,
05/15/2031
8‌
9‌
7.00%,
09/15/2031
30‌
34‌
7.00%,
06/15/2032
116‌
131‌
7.50%,
02/15/2023
1‌
1‌
7.50%,
04/15/2023
6‌
6‌
7.50%,
09/15/2023
1‌
1‌
7.50%,
09/15/2023
1‌
1‌
7.50%,
10/15/2023
3‌
3‌
7.50%,
11/15/2023
2‌
2‌
8.00%,
07/15/2026
1‌
1‌
8.00%,
08/15/2026
2‌
2‌
8.00%,
01/15/2027
1‌
1‌
8.00%,
02/15/2027
1‌
1‌
$
14,955‌
U.S.
Treasury
-
9.08%
1.13%,
12/31/2019
2,200‌
2,189‌
1.13%,
03/31/2020
2,200‌
2,186‌
1.25%,
01/31/2020
1,700‌
1,692‌
2.00%,
02/15/2025
2,700‌
2,727‌
2.13%,
12/31/2022
2,400‌
2,433‌
3.13%,
05/15/2021
2,500‌
2,562‌
4.25%,
11/15/2040
750‌
984‌
4.50%,
02/15/2036
1,000‌
1,319‌
5.25%,
11/15/2028
1,000‌
1,279‌
6.25%,
08/15/2023
2,600‌
3,063‌
$
20,434‌
TOTAL
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
$
154,387‌
Total
Investments
$
224,115‌
Other
Assets
and
Liabilities
-  0.36%
800‌
TOTAL
NET
ASSETS
-
100.00%
$
224,915‌
(a)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(b)
Current
yield
shown
is
as
of
period
end.
(c)
Certain
variable
rate
securities
are
not
based
on
a
published
reference
rate
and
spread
but
are
determined
by
the
issuer
or
agent
and
are
based
on
current
market
conditions.  These
securities
do
not
indicate
a
reference
rate
and
spread
in
their
description.
Rate
shown
is
the
rate
in
effect
as
of
period
end.
(d)
Security
is
an
Interest
Only
Strip.
(e)
Security
exempt
from
registration
under
Rule
144A
of
the
Securities
Act
of
1933.
These
securities
may
be
resold
in
transactions
exempt
from
registration,
normally
to
qualified
institutional
buyers.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$10,617
or
4.72%
of
net
assets.
Portfolio
Summary
(unaudited)
Sector
Percent
Mortgage
Securities
86.64‌%
Government
9.08‌%
Money
Market
Funds
2.74‌%
Asset
Backed
Securities
1.18‌%
Other
Assets
and
Liabilities
0.36‌%
TOTAL
NET
ASSETS
100.00%
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Principal
Government
Money
Market
Fund
2.23%
$
1,278‌
$
27,281‌
$
22,387‌
$
6,172‌
$
1,278‌
$
27,281‌
$
22,387‌
$
6,172‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Principal
Government
Money
Market
Fund
2.23%
$
24‌
$
—‌
$
—‌
$
—‌
$
24‌
$
—‌
$
—‌
$
—‌
Amounts
in
thousands
Schedule
of
Investments
LargeCap
Growth
Account
I
June
30,
2019
(unaudited)
See
accompanying
notes.
61
COMMON
STOCKS
-
97.97%
Shares
Held
Value
(000's)
Advertising
-
0.02%
Interpublic
Group
of
Cos
Inc
/The
201‌
$
5‌
Omnicom
Group
Inc
455‌
37‌
Trade
Desk
Inc
/The
(a)
167‌
38‌
$
80‌
Aerospace
&
Defense
-
3.10%
Boeing
Co/The
29,209‌
10,632‌
General
Dynamics
Corp
245‌
45‌
Harris
Corp
443‌
84‌
HEICO
Corp
181‌
24‌
HEICO
Corp
-
Class
A
329‌
34‌
Lockheed
Martin
Corp
1,017‌
370‌
Northrop
Grumman
Corp
7,214‌
2,331‌
Raytheon
Co
831‌
145‌
Spirit
AeroSystems
Holdings
Inc
11,989‌
975‌
TransDigm
Group
Inc
(a)
158‌
76‌
$
14,716‌
Agriculture
-
0.43%
Altria
Group
Inc
4,151‌
196‌
Philip
Morris
International
Inc
23,389‌
1,837‌
$
2,033‌
Airlines
-
0.02%
Alaska
Air
Group
Inc
259‌
17‌
Delta
Air
Lines
Inc
325‌
18‌
Southwest
Airlines
Co
1,184‌
60‌
United
Airlines
Holdings
Inc
(a)
239‌
21‌
$
116‌
Apparel
-
0.51%
Capri
Holdings
Ltd
(a)
308‌
11‌
Carter's
Inc
121‌
12‌
Columbia
Sportswear
Co
115‌
11‌
Hanesbrands
Inc
1,251‌
22‌
NIKE
Inc
26,973‌
2,264‌
VF
Corp
853‌
74‌
$
2,394‌
Automobile
Manufacturers
-
0.26%
PACCAR
Inc
15,682‌
1,124‌
Tesla
Inc
(a),(b)
389‌
87‌
$
1,211‌
Automobile
Parts
&
Equipment
-
0.63%
Allison
Transmission
Holdings
Inc
546‌
25‌
Aptiv
PLC
36,094‌
2,918‌
WABCO
Holdings
Inc
(a)
182‌
24‌
$
2,967‌
Banks
-
0.30%
CIT
Group
Inc
53‌
3‌
Comerica
Inc
52‌
4‌
Morgan
Stanley
32,104‌
1,406‌
Signature
Bank/New
York
NY
108‌
13‌
SVB
Financial
Group
(a)
19‌
4‌
Synovus
Financial
Corp
76‌
3‌
Western
Alliance
Bancorp
(a)
63‌
3‌
$
1,436‌
Beverages
-
1.33%
Brown-Forman
Corp
-
A
Shares
177‌
10‌
Brown-Forman
Corp
-
B
Shares
91,536‌
5,074‌
Coca-Cola
Co/The
10,349‌
527‌
Monster
Beverage
Corp
(a)
1,447‌
92‌
PepsiCo
Inc
4,616‌
605‌
$
6,308‌
Biotechnology
-
1.14%
Alexion
Pharmaceuticals
Inc
(a)
9,053‌
1,186‌
Alnylam
Pharmaceuticals
Inc
(a)
331‌
24‌
Amgen
Inc
2,103‌
388‌
Biogen
Inc
(a)
249‌
58‌
BioMarin
Pharmaceutical
Inc
(a)
668‌
57‌
Celgene
Corp
(a)
2,633‌
243‌
Exact
Sciences
Corp
(a)
477‌
56‌
Exelixis
Inc
(a)
457‌
10‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Biotechnology
(continued)
Gilead
Sciences
Inc
689‌
$
47‌
Guardant
Health
Inc
(a)
169‌
15‌
Illumina
Inc
(a)
406‌
150‌
Incyte
Corp
(a)
664‌
56‌
Ionis
Pharmaceuticals
Inc
(a)
478‌
31‌
Moderna
Inc
(a),(b)
100‌
2‌
Regeneron
Pharmaceuticals
Inc
(a)
64‌
20‌
Sage
Therapeutics
Inc
(a)
188‌
34‌
Seattle
Genetics
Inc
(a)
408‌
28‌
Vertex
Pharmaceuticals
Inc
(a)
16,384‌
3,004‌
$
5,409‌
Building
Materials
-
0.03%
Armstrong
World
Industries
Inc
228‌
22‌
Fortune
Brands
Home
&
Security
Inc
224‌
13‌
Lennox
International
Inc
139‌
38‌
Martin
Marietta
Materials
Inc
81‌
19‌
Vulcan
Materials
Co
468‌
64‌
$
156‌
Chemicals
-
1.52%
Air
Products
&
Chemicals
Inc
171‌
39‌
Axalta
Coating
Systems
Ltd
(a)
311‌
9‌
Ecolab
Inc
1,009‌
199‌
NewMarket
Corp
32‌
13‌
PPG
Industries
Inc
389‌
45‌
RPM
International
Inc
122‌
8‌
Sherwin-Williams
Co/The
14,916‌
6,836‌
Versum
Materials
Inc
471‌
24‌
WR
Grace
&
Co
253‌
19‌
$
7,192‌
Commercial
Services
-
5.99%
Automatic
Data
Processing
Inc
1,205‌
199‌
Avalara
Inc
(a)
237‌
17‌
Booz
Allen
Hamilton
Holding
Corp
606‌
40‌
Bright
Horizons
Family
Solutions
Inc
(a)
244‌
37‌
Cintas
Corp
28,611‌
6,789‌
CoreLogic
Inc
/United
States
(a)
95‌
4‌
CoStar
Group
Inc
(a)
143‌
79‌
Euronet
Worldwide
Inc
(a)
225‌
38‌
FleetCor
Technologies
Inc
(a)
12,076‌
3,392‌
Gartner
Inc
(a)
350‌
56‌
Global
Payments
Inc
18,464‌
2,957‌
Grand
Canyon
Education
Inc
(a)
37‌
4‌
H&R
Block
Inc
273‌
8‌
IHS
Markit
Ltd
(a)
1,017‌
65‌
MarketAxess
Holdings
Inc
138‌
44‌
Moody's
Corp
456‌
89‌
Morningstar
Inc
78‌
11‌
Paylocity
Holding
Corp
(a)
185‌
17‌
PayPal
Holdings
Inc
(a)
107,294‌
12,281‌
Quanta
Services
Inc
222‌
9‌
Robert
Half
International
Inc
499‌
28‌
Rollins
Inc
642‌
23‌
S&P
Global
Inc
683‌
156‌
Sabre
Corp
311‌
7‌
Service
Corp
International/US
305‌
14‌
Total
System
Services
Inc
13,905‌
1,784‌
TransUnion
769‌
57‌
Verisk
Analytics
Inc
635‌
93‌
WEX
Inc
(a)
182‌
38‌
Worldpay
Inc
(a)
583‌
71‌
$
28,407‌
Computers
-
2.85%
Accenture
PLC
-
Class
A
1,768‌
327‌
Apple
Inc
34,467‌
6,822‌
Cognizant
Technology
Solutions
Corp
123‌
8‌
Dell
Technologies
Inc
(a)
479‌
24‌
EPAM
Systems
Inc
(a)
230‌
40‌
Fortinet
Inc
(a)
611‌
47‌
Genpact
Ltd
153,993‌
5,865‌
Schedule
of
Investments
LargeCap
Growth
Account
I
June
30,
2019
(unaudited)
See
accompanying
notes.
62
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Computers
(continued)
HP
Inc
5,210‌
$
108‌
International
Business
Machines
Corp
1,489‌
205‌
NCR
Corp
(a)
559‌
18‌
NetApp
Inc
1,003‌
62‌
$
13,526‌
Consumer
Products
-
0.03%
Avery
Dennison
Corp
325‌
38‌
Church
&
Dwight
Co
Inc
920‌
67‌
Clorox
Co/The
389‌
59‌
$
164‌
Cosmetics
&
Personal
Care
-
1.43%
Estee
Lauder
Cos
Inc
/The
36,505‌
6,685‌
Procter
&
Gamble
Co/The
795‌
87‌
$
6,772‌
Distribution
&
Wholesale
-
0.04%
Copart
Inc
(a)
800‌
60‌
Fastenal
Co
2,046‌
67‌
LKQ
Corp
(a)
276‌
7‌
Pool
Corp
168‌
32‌
$
166‌
Diversified
Financial
Services
-
6.04%
American
Express
Co
1,640‌
202‌
Ameriprise
Financial
Inc
77‌
11‌
Cboe
Global
Markets
Inc
107‌
11‌
Charles
Schwab
Corp/The
71,433‌
2,871‌
Credit
Acceptance
Corp
(a)
36‌
17‌
Discover
Financial
Services
440‌
34‌
E*TRADE
Financial
Corp
182‌
8‌
Evercore
Inc
-
Class
A
64‌
6‌
Intercontinental
Exchange
Inc
22,752‌
1,956‌
Lazard
Ltd
174‌
6‌
LPL
Financial
Holdings
Inc
325‌
27‌
Mastercard
Inc
4,025‌
1,065‌
Raymond
James
Financial
Inc
123‌
10‌
SEI
Investments
Co
242‌
14‌
Synchrony
Financial
735‌
26‌
T
Rowe
Price
Group
Inc
255‌
28‌
TD
Ameritrade
Holding
Corp
27,750‌
1,385‌
Virtu
Financial
Inc
95‌
2‌
Visa
Inc
120,838‌
20,971‌
Western
Union
Co/The
619‌
12‌
$
28,662‌
Electric
-
0.34%
Sempra
Energy
11,660‌
1,603‌
Electrical
Components
&
Equipment
-
0.03%
AMETEK
Inc
738‌
67‌
Emerson
Electric
Co
678‌
45‌
Hubbell
Inc
150‌
20‌
$
132‌
Electronics
-
3.20%
Agilent
Technologies
Inc
169‌
13‌
Allegion
PLC
315‌
35‌
Amphenol
Corp
60,766‌
5,830‌
FLIR
Systems
Inc
124‌
7‌
Fortive
Corp
92,296‌
7,524‌
Honeywell
International
Inc
8,373‌
1,462‌
Jabil
Inc
240‌
8‌
Keysight
Technologies
Inc
(a)
751‌
67‌
Mettler
-Toledo
International
Inc
(a)
97‌
81‌
National
Instruments
Corp
129‌
5‌
PerkinElmer
Inc
128‌
12‌
Sensata
Technologies
Holding
PLC
(a)
322‌
16‌
Trimble
Inc
(a)
254‌
11‌
Waters
Corp
(a)
275‌
59‌
Woodward
Inc
212‌
24‌
$
15,154‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Entertainment
-
0.01%
Live
Nation
Entertainment
Inc
(a)
497‌
$
33‌
Madison
Square
Garden
Co/The
(a)
9‌
2‌
Vail
Resorts
Inc
142‌
32‌
$
67‌
Environmental
Control
-
0.41%
Republic
Services
Inc
113‌
10‌
Waste
Connections
Inc
18,553‌
1,773‌
Waste
Management
Inc
1,518‌
175‌
$
1,958‌
Food
-
0.07%
Campbell
Soup
Co
356‌
14‌
Hershey
Co/The
472‌
63‌
Kellogg
Co
353‌
19‌
Lamb
Weston
Holdings
Inc
141‌
9‌
McCormick
&
Co
Inc
/MD
297‌
46‌
Pilgrim's
Pride
Corp
(a)
70‌
2‌
Post
Holdings
Inc
(a)
109‌
11‌
Sprouts
Farmers
Market
Inc
(a)
208‌
4‌
Sysco
Corp
2,257‌
160‌
TreeHouse
Foods
Inc
(a)
35‌
2‌
$
330‌
Hand
&
Machine
Tools
-
0.00%
Lincoln
Electric
Holdings
Inc
271‌
22‌
Healthcare
-
Products
-
9.43%
Abbott
Laboratories
3,562‌
300‌
Align
Technology
Inc
(a)
307‌
84‌
Avantor
Inc
(a)
73,352‌
1,400‌
Baxter
International
Inc
629‌
52‌
Becton
Dickinson
and
Co
15,317‌
3,860‌
Bio-
Techne
Corp
160‌
33‌
Boston
Scientific
Corp
(a)
3,849‌
165‌
Bruker
Corp
493‌
25‌
Cooper
Cos
Inc
/The
40‌
14‌
Danaher
Corp
53,845‌
7,696‌
Edwards
Lifesciences
Corp
(a)
28,898‌
5,338‌
Henry
Schein
Inc
(a)
148‌
10‌
Hill-Rom
Holdings
Inc
175‌
18‌
Hologic
Inc
(a)
895‌
43‌
IDEXX
Laboratories
Inc
(a)
334‌
92‌
Intuitive
Surgical
Inc
(a)
22,191‌
11,640‌
Masimo
Corp
(a)
209‌
31‌
ResMed
Inc
561‌
69‌
STERIS
PLC
53‌
8‌
Stryker
Corp
24,038‌
4,941‌
Teleflex
Inc
184‌
61‌
Thermo
Fisher
Scientific
Inc
29,822‌
8,758‌
Varian
Medical
Systems
Inc
(a)
378‌
52‌
West
Pharmaceutical
Services
Inc
244‌
31‌
$
44,721‌
Healthcare
-
Services
-
2.12%
Anthem
Inc
6,900‌
1,947‌
Centene
Corp
(a)
19,262‌
1,011‌
Charles
River
Laboratories
International
Inc
(a)
209‌
30‌
Chemed
Corp
73‌
26‌
Encompass
Health
Corp
254‌
16‌
HCA
Healthcare
Inc
25,311‌
3,421‌
Humana
Inc
161‌
43‌
IQVIA
Holdings
Inc
(a)
212‌
34‌
Laboratory
Corp
of
America
Holdings
(a)
51‌
9‌
Molina
Healthcare
Inc
(a)
212‌
30‌
UnitedHealth
Group
Inc
9,900‌
2,416‌
WellCare
Health
Plans
Inc
(a)
3,699‌
1,054‌
$
10,037‌
Home
Builders
-
0.02%
Lennar
Corp
-
A
Shares
517‌
25‌
Lennar
Corp
-
B
Shares
141‌
5‌
NVR
Inc
(a)
13‌
44‌
$
74‌
Schedule
of
Investments
LargeCap
Growth
Account
I
June
30,
2019
(unaudited)
See
accompanying
notes.
63
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Home
Furnishings
-
0.00%
Dolby
Laboratories
Inc
91‌
$
6‌
Tempur
Sealy
International
Inc
(a)
200‌
15‌
$
21‌
Housewares
-
0.01%
Scotts
Miracle-
Gro
Co/The
173‌
17‌
Toro
Co/The
476‌
32‌
$
49‌
Insurance
-
0.13%
Alleghany
Corp
(a)
7‌
5‌
Aon
PLC
989‌
191‌
Arch
Capital
Group
Ltd
(a)
228‌
8‌
Arthur
J
Gallagher
&
Co
154‌
14‌
Athene
Holding
Ltd
(a)
261‌
11‌
Axis
Capital
Holdings
Ltd
46‌
3‌
Brown
&
Brown
Inc
66‌
2‌
Erie
Indemnity
Co
64‌
16‌
Everest
Re
Group
Ltd
51‌
13‌
Kemper
Corp
56‌
5‌
Marsh
&
McLennan
Cos
Inc
1,893‌
189‌
Primerica
Inc
122‌
15‌
Progressive
Corp/The
1,113‌
89‌
RenaissanceRe
Holdings
Ltd
68‌
12‌
Travelers
Cos
Inc
/The
384‌
57‌
Voya
Financial
Inc
57‌
3‌
$
633‌
Internet
-
19.65%
Alibaba
Group
Holding
Ltd
ADR
(a)
51,450‌
8,718‌
Alphabet
Inc
-
A
Shares
(a)
9,965‌
10,790‌
Alphabet
Inc
-
C
Shares
(a)
10,933‌
11,818‌
Amazon.com
Inc
(a)
15,889‌
30,088‌
Anaplan
Inc
(a)
361‌
18‌
Booking
Holdings
Inc
(a)
4,289‌
8,041‌
CDW
Corp/DE
585‌
65‌
eBay
Inc
3,320‌
131‌
Etsy
Inc
(a)
497‌
30‌
Expedia
Group
Inc
471‌
63‌
F5
Networks
Inc
(a)
242‌
35‌
Facebook
Inc
(a)
66,152‌
12,768‌
GoDaddy
Inc
(a)
695‌
49‌
IAC/InterActiveCorp
(a)
7,247‌
1,577‌
Match
Group
Inc
230‌
15‌
Netflix
Inc
(a)
8,989‌
3,302‌
Okta
Inc
(a)
423‌
52‌
Palo
Alto
Networks
Inc
(a)
359‌
73‌
RingCentral
Inc
(a)
309‌
35‌
Roku
Inc
(a)
328‌
30‌
Spotify
Technology
SA
(a)
444‌
65‌
Tencent
Holdings
Ltd
ADR
104,382‌
4,724‌
TripAdvisor
Inc
(a)
375‌
17‌
Twitter
Inc
(a)
2,848‌
99‌
Uber
Technologies
Inc
(a),(c)
9,331‌
433‌
VeriSign
Inc
(a)
301‌
63‌
Zendesk
Inc
(a)
447‌
40‌
Zscaler
Inc
(a)
310‌
24‌
$
93,163‌
Leisure
Products
&
Services
-
0.01%
Norwegian
Cruise
Line
Holdings
Ltd
(a)
212‌
11‌
Planet
Fitness
Inc
(a)
367‌
27‌
Polaris
Industries
Inc
230‌
21‌
$
59‌
Lodging
-
0.77%
Choice
Hotels
International
Inc
103‌
9‌
Hilton
Grand
Vacations
Inc
(a)
112‌
4‌
Hilton
Worldwide
Holdings
Inc
23,515‌
2,299‌
Las
Vegas
Sands
Corp
21,005‌
1,241‌
Marriott
International
Inc
/MD
770‌
108‌
Wyndham
Hotels
&
Resorts
Inc
152‌
8‌
$
3,669‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Machinery
-
Construction
&
Mining
-
0.82%
BWX
Technologies
Inc
74,267‌
$
3,869‌
Caterpillar
Inc
121‌
17‌
$
3,886‌
Machinery
-
Diversified
-
1.86%
Cognex
Corp
657‌
32‌
Deere
&
Co
97‌
16‌
Dover
Corp
287‌
29‌
Graco
Inc
726‌
36‌
IDEX
Corp
174‌
30‌
Middleby
Corp/The
(a)
242‌
33‌
Nordson
Corp
230‌
33‌
Rockwell
Automation
Inc
473‌
77‌
Roper
Technologies
Inc
23,137‌
8,474‌
Xylem
Inc
/NY
716‌
60‌
$
8,820‌
Media
-
0.20%
Altice
USA
Inc
(a)
1,253‌
31‌
AMC
Networks
Inc
(a)
185‌
10‌
Cable
One
Inc
17‌
20‌
CBS
Corp
1,150‌
57‌
Charter
Communications
Inc
(a)
260‌
103‌
Comcast
Corp
-
Class
A
14,368‌
607‌
FactSet
Research
Systems
Inc
141‌
40‌
Fox
Corp
-
A
Shares
169‌
6‌
Fox
Corp
-
B
Shares
103‌
4‌
New
York
Times
Co/The
153‌
5‌
Nexstar
Media
Group
Inc
146‌
15‌
Sinclair
Broadcast
Group
Inc
240‌
13‌
Sirius
XM
Holdings
Inc
(b)
5,509‌
31‌
World
Wrestling
Entertainment
Inc
178‌
13‌
$
955‌
Miscellaneous
Manufacturers
-
0.14%
3M
Co
1,187‌
206‌
AO
Smith
Corp
159‌
8‌
AptarGroup
Inc
120‌
15‌
Carlisle
Cos
Inc
219‌
31‌
Donaldson
Co
Inc
555‌
28‌
Hexcel
Corp
361‌
29‌
Illinois
Tool
Works
Inc
1,442‌
217‌
Ingersoll-Rand
PLC
1,112‌
141‌
$
675‌
Office
&
Business
Equipment
-
0.01%
Zebra
Technologies
Corp
(a)
222‌
46‌
Oil
&
Gas
-
0.23%
Anadarko
Petroleum
Corp
492‌
35‌
Cabot
Oil
&
Gas
Corp
978‌
22‌
Concho
Resources
Inc
9,430‌
973‌
Diamondback
Energy
Inc
127‌
14‌
Parsley
Energy
Inc
(a)
576‌
11‌
Pioneer
Natural
Resources
Co
268‌
41‌
$
1,096‌
Packaging
&
Containers
-
0.03%
Ball
Corp
1,277‌
89‌
Berry
Global
Group
Inc
(a)
252‌
13‌
Crown
Holdings
Inc
(a)
330‌
20‌
Sealed
Air
Corp
111‌
5‌
$
127‌
Pharmaceuticals
-
4.73%
AbbVie
Inc
5,542‌
403‌
Agios
Pharmaceuticals
Inc
(a)
21‌
1‌
AmerisourceBergen
Corp
629‌
54‌
Bristol-Myers
Squibb
Co
1,860‌
84‌
Cigna
Corp
22,352‌
3,522‌
DexCom
Inc
(a)
41,685‌
6,246‌
Eli
Lilly
&
Co
11,744‌
1,301‌
Herbalife
Nutrition
Ltd
(a)
58‌
2‌
Horizon
Therapeutics
Plc
(a)
296‌
7‌
Jazz
Pharmaceuticals
PLC
(a)
213‌
30‌
Schedule
of
Investments
LargeCap
Growth
Account
I
June
30,
2019
(unaudited)
See
accompanying
notes.
64
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Pharmaceuticals
(continued)
Johnson
&
Johnson
1,975‌
$
275‌
McKesson
Corp
118‌
16‌
Merck
&
Co
Inc
9,942‌
834‌
Neurocrine
Biosciences
Inc
(a)
338‌
29‌
PRA
Health
Sciences
Inc
(a)
262‌
26‌
Sarepta
Therapeutics
Inc
(a)
264‌
40‌
Zoetis
Inc
84,210‌
9,557‌
$
22,427‌
Pipelines
-
0.01%
Cheniere
Energy
Inc
(a)
501‌
34‌
Equitrans
Midstream
Corp
77‌
2‌
ONEOK
Inc
491‌
34‌
$
70‌
REITs
-
2.07%
American
Homes
4
Rent
563‌
14‌
American
Tower
Corp
1,918‌
392‌
Americold
Realty
Trust
824‌
27‌
Brookfield
Property
REIT
Inc
533‌
10‌
CoreSite
Realty
Corp
125‌
14‌
Crown
Castle
International
Corp
1,957‌
255‌
Equinix
Inc
232‌
117‌
Equity
LifeStyle
Properties
Inc
350‌
42‌
Extra
Space
Storage
Inc
407‌
43‌
Lamar
Advertising
Co
361‌
29‌
Outfront
Media
Inc
174‌
5‌
Public
Storage
311‌
74‌
SBA
Communications
Corp
(a)
38,433‌
8,641‌
Simon
Property
Group
Inc
755‌
121‌
Sun
Communities
Inc
104‌
13‌
UDR
Inc
102‌
5‌
$
9,802‌
Retail
-
4.47%
Advance
Auto
Parts
Inc
88‌
14‌
AutoZone
Inc
(a)
100‌
110‌
Best
Buy
Co
Inc
245‌
17‌
Burlington
Stores
Inc
(a)
266‌
45‌
CarMax
Inc
(a)
320‌
28‌
Casey's
General
Stores
Inc
34‌
5‌
Chipotle
Mexican
Grill
Inc
(a)
99‌
73‌
Costco
Wholesale
Corp
18,759‌
4,957‌
Darden
Restaurants
Inc
497‌
60‌
Dollar
General
Corp
21,723‌
2,936‌
Dollar
Tree
Inc
(a)
509‌
55‌
Domino's
Pizza
Inc
165‌
46‌
Dunkin'
Brands
Group
Inc
342‌
27‌
Five
Below
Inc
(a)
232‌
28‌
Home
Depot
Inc
/The
2,400‌
499‌
L
Brands
Inc
267‌
7‌
Lowe's
Cos
Inc
3,078‌
311‌
Lululemon
Athletica
Inc
(a)
461‌
83‌
McDonald's
Corp
6,798‌
1,411‌
Nordstrom
Inc
536‌
17‌
Ollie's
Bargain
Outlet
Holdings
Inc
(a)
238‌
21‌
O'Reilly
Automotive
Inc
(a)
313‌
116‌
Restaurant
Brands
International
Inc
21,346‌
1,484‌
Ross
Stores
Inc
24,682‌
2,447‌
Starbucks
Corp
4,650‌
390‌
Target
Corp
204‌
18‌
TJX
Cos
Inc
/The
106,773‌
5,646‌
Tractor
Supply
Co
492‌
53‌
Ulta
Beauty
Inc
(a)
223‌
77‌
Wendy's
Co/The
918‌
18‌
Williams-Sonoma
Inc
101‌
7‌
Yum
China
Holdings
Inc
1,179‌
54‌
Yum!
Brands
Inc
1,102‌
122‌
$
21,182‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Semiconductors
-
2.21%
Advanced
Micro
Devices
Inc
(a)
2,775‌
$
84‌
Analog
Devices
Inc
138‌
16‌
Applied
Materials
Inc
1,409‌
63‌
ASML
Holding
NV
-
NY
Reg
Shares
7,497‌
1,559‌
Broadcom
Inc
1,070‌
308‌
Cree
Inc
(a)
65‌
4‌
Entegris
Inc
602‌
22‌
KLA-Tencor
Corp
644‌
76‌
Lam
Research
Corp
1,038‌
195‌
Marvell
Technology
Group
Ltd
68,561‌
1,637‌
Maxim
Integrated
Products
Inc
20,599‌
1,232‌
NVIDIA
Corp
1,618‌
266‌
NXP
Semiconductors
NV
44,440‌
4,338‌
QUALCOMM
Inc
3,372‌
257‌
Skyworks
Solutions
Inc
57‌
4‌
Teradyne
Inc
740‌
35‌
Texas
Instruments
Inc
2,601‌
298‌
Xilinx
Inc
704‌
83‌
$
10,477‌
Shipbuilding
-
0.01%
Huntington
Ingalls
Industries
Inc
137‌
31‌
Software
-
18.43%
Activision
Blizzard
Inc
114‌
5‌
Adobe
Inc
(a)
19,920‌
5,869‌
Akamai
Technologies
Inc
(a)
608‌
49‌
Alteryx
Inc
(a)
227‌
25‌
ANSYS
Inc
(a)
336‌
69‌
Aspen
Technology
Inc
(a)
303‌
38‌
Atlassian
Corp
PLC
(a)
1,913‌
251‌
Autodesk
Inc
(a)
41,647‌
6,784‌
Black
Knight
Inc
(a)
605‌
36‌
Broadridge
Financial
Solutions
Inc
472‌
60‌
Cadence
Design
Systems
Inc
(a)
1,132‌
80‌
CDK
Global
Inc
527‌
26‌
Ceridian
HCM
Holding
Inc
(a)
297‌
15‌
Cerner
Corp
1,281‌
94‌
Citrix
Systems
Inc
469‌
46‌
Coupa
Software
Inc
(a)
276‌
35‌
Dropbox
Inc
-
A
Shares
(a)
938‌
23‌
Electronic
Arts
Inc
(a)
72,553‌
7,347‌
Fair
Isaac
Corp
(a)
128‌
40‌
Fidelity
National
Information
Services
Inc
9,690‌
1,188‌
First
Data
Corp
(a)
2,310‌
63‌
Fiserv
Inc
(a)
1,086‌
99‌
HubSpot
Inc
(a)
184‌
31‌
Intuit
Inc
47,396‌
12,386‌
Jack
Henry
&
Associates
Inc
272‌
36‌
Manhattan
Associates
Inc
(a)
330‌
23‌
Medidata
Solutions
Inc
(a)
282‌
26‌
Microsoft
Corp
209,801‌
28,105‌
MongoDB
Inc
(a)
114‌
17‌
MSCI
Inc
310‌
74‌
New
Relic
Inc
(a)
211‌
18‌
Oracle
Corp
11,572‌
659‌
Paychex
Inc
1,272‌
105‌
Paycom
Software
Inc
(a)
211‌
48‌
Pegasystems
Inc
199‌
14‌
RealPage
Inc
(a)
345‌
20‌
Red
Hat
Inc
(a)
13,106‌
2,461‌
salesforce.com
Inc
(a)
61,290‌
9,300‌
ServiceNow
Inc
(a)
7,477‌
2,053‌
Smartsheet
Inc
(a)
419‌
20‌
SolarWinds
Corp
(a)
294‌
5‌
Splunk
Inc
(a)
17,016‌
2,140‌
SS&C
Technologies
Holdings
Inc
830‌
48‌
Synopsys
Inc
(a)
606‌
78‌
Tableau
Software
Inc
(a)
314‌
52‌
Take-Two
Interactive
Software
Inc
(a)
200‌
23‌
Temenos
AG
ADR
3,668‌
655‌
Schedule
of
Investments
LargeCap
Growth
Account
I
June
30,
2019
(unaudited)
See
accompanying
notes.
65
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Software
(continued)
Tencent
Music
Entertainment
Group
ADR
(a),(b)
70,967‌
$
1,064‌
Teradata
Corp
(a)
528‌
19‌
Twilio
Inc
(a)
467‌
64‌
Veeva
Systems
Inc
(a)
503‌
82‌
VMware
Inc
20,346‌
3,402‌
Workday
Inc
(a)
10,000‌
2,056‌
Zoom
Video
Communications
Inc
(a)
590‌
52‌
Zynga
Inc
(a)
951‌
6‌
$
87,384‌
Telecommunications
-
0.28%
Arista
Networks
Inc
(a)
232‌
60‌
Cisco
Systems
Inc
18,382‌
1,006‌
Corning
Inc
1,013‌
34‌
Motorola
Solutions
Inc
1,050‌
175‌
Switch
Inc
457‌
6‌
T-Mobile
US
Inc
(a)
631‌
47‌
Ubiquiti
Networks
Inc
(b)
76‌
10‌
$
1,338‌
Toys,
Games
&
Hobbies
-
0.01%
Hasbro
Inc
456‌
48‌
Transportation
-
0.39%
CH
Robinson
Worldwide
Inc
433‌
37‌
CSX
Corp
1,488‌
115‌
Expeditors
International
of
Washington
Inc
523‌
40‌
Genesee
&
Wyoming
Inc
(a)
74‌
7‌
JB
Hunt
Transport
Services
Inc
9,453‌
864‌
Landstar
System
Inc
171‌
18‌
Norfolk
Southern
Corp
302‌
60‌
Old
Dominion
Freight
Line
Inc
134‌
20‌
Union
Pacific
Corp
2,853‌
483‌
United
Parcel
Service
Inc
1,936‌
200‌
$
1,844‌
Water
-
0.20%
American
Water
Works
Co
Inc
8,002‌
928‌
TOTAL
COMMON
STOCKS
$
464,543‌
INVESTMENT
COMPANIES
-
2.08%
Shares
Held
Value
(000's)
Money
Market
Funds
-
1.99%
BlackRock
Liquidity
FedFund
2.26%
(d),(e)
1,142,852‌
1,14
3‌
Principal
Government
Money
Market
Fund
2.23%
(d),(f)
8,311,899‌
8,31
2‌
$
9,45
5‌
Principal
Exchange-Traded
Funds
-
0.09%
Principal
Millennials
Index
ETF
(f)
4,789‌
183‌
Principal
Price
Setters
Index
ETF
(f)
1,616‌
61‌
Principal
Sustainable
Momentum
Index
ETF
(f)
749‌
21‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
(b),(f)
5,280‌
154‌
$
419‌
TOTAL
INVESTMENT
COMPANIES
$
9,87
4‌
PREFERRED
STOCKS
-
0.11%
Shares
Held
Value
(000's)
Software
-
0.08%
Magic
Leap
Inc
-
Series
C
0.00%
(a),(c),(g),(h)
5,653‌
$
153‌
Magic
Leap
Inc
-
Series
D
0.00%
(a),(c),(h)
1,903‌
51‌
UIPATH
Inc
Ser
D-1
0.00%
(a),(c),(h)
4,548‌
179‌
UIPATH
Inc
Ser
D-2
0.00%
(a),(c),(h)
764‌
30‌
$
413‌
Telecommunications
-
0.03%
Aurora
Innovation
0.00%
(a),(c),(h)
12,920‌
119‌
TOTAL
PREFERRED
STOCKS
$
532‌
CONVERTIBLE
PREFERRED
STOCKS
-
0.13%
Shares
Held
Value
(000's)
Internet
-
0.13%
Airbnb
Inc
-
Series
D
0.00%
(a),(c),(g),(h)
3,936‌
$
464‌
Airbnb
Inc
-
Series
E
0.00%
(a),(c),(g),(h)
1,119‌
132‌
$
596‌
TOTAL
CONVERTIBLE
PREFERRED
STOCKS
$
596‌
Total
Investments
$
475,545‌
Other
Assets
and
Liabilities
-  (0.29)%
(1,357‌)
TOTAL
NET
ASSETS
-
100.00%
$
474,188‌
(a)
Non-income
producing
security
(b)
Security
or
a
portion
of
the
security
was
on
loan
at
the
end
of
the
period.
(c)
Restricted
Security.
Please
see
Restricted
Security
Sub-Schedule
for
more
information.
(d)
Current
yield
shown
is
as
of
period
end.
(e)
Security
or
a
portion
of
the
security
was
pledged
as
collateral
for
securities
lending.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$1,143
or
0.24%
of
net
assets.
(f)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(g)
The
value
of
these
investments
was
determined
using
significant
unobservable
inputs.
(h)
Fair
value
of
these
investments
is
determined
in
good
faith
by
the
Manager
under
procedures
established
and
periodically
reviewed
by
the
Board
of
Directors.
Certain
inputs
used
in
the
valuation
may
be
unobservable;
however,
each
security
is
evaluated
individually
for
purposes
of
ASC
820
which
results
in
not
all
securities
being
identified
as
Level
3
of
the
fair
value
hierarchy.
At
the
end
of
the
period,
the
fair
value
of
these
securities
totaled
$1,128
or
0.24%
of
net
assets.
Portfolio
Summary
(unaudited)
Sector
Percent
Consumer,
Non-cyclical
26.70‌%
Technology
23.58‌%
Communications
20.31‌%
Industrial
10.02‌%
Financial
8.54‌%
Consumer,
Cyclical
6.76‌%
Money
Market
Funds
1.99‌%
Basic
Materials
1.52‌%
Utilities
0.54‌%
Energy
0.24‌%
Domestic
Equity
Funds
0.09‌%
Other
Assets
and
Liabilities
(0.29‌)%
TOTAL
NET
ASSETS
100.00%
Schedule
of
Investments
LargeCap
Growth
Account
I
June
30,
2019
(unaudited)
See
accompanying
notes.
66
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Principal
Government
Money
Market
Fund
2.23%
$
6,022‌
$
56,01
4‌
$
53,724‌
$
8,31
2‌
Principal
Millennials
Index
ETF
150‌
—‌
—‌
183‌
Principal
Price
Setters
Index
ETF
50‌
—‌
—‌
61‌
Principal
Sustainable
Momentum
Index
ETF
18‌
—‌
—‌
21‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
132‌
—‌
—‌
154‌
$
6,372‌
$
56,01
4‌
$
53,724‌
$
8,73
1‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Principal
Government
Money
Market
Fund
2.23%
$
82‌
$
—‌
$
—‌
$
—‌
Principal
Millennials
Index
ETF
—‌
—‌
—‌
33‌
Principal
Price
Setters
Index
ETF
—‌
—‌
—‌
11‌
Principal
Sustainable
Momentum
Index
ETF
—‌
—‌
—‌
3‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
1‌
—‌
—‌
22‌
$
83‌
$
—‌
$
—‌
$
69‌
Amounts
in
thousands
Restricted
Securities
Security
Name
Acquisition
Date
Cost
Value
Percent
of
Net
Assets
Airbnb
Inc
-
Series
D  
0.00%
04/16/2014
$
160‌
$
464‌
0.10%
Airbnb
Inc
-
Series
E  
0.00%
07/14/2015
104‌
132‌
0.03%
Aurora
Innovation  
0.00%
03/01/2019
119‌
119‌
0.03%
Magic
Leap
Inc
-
Series
C  
0.00%
01/20/2016
13
0‌
153‌
0.02%
Magic
Leap
Inc
-
Series
D  
0.00%
10/12/2017
51‌
51‌
0.01%
Uber
Technologies
Inc
12/05/2014-1/16/2018
362‌
433‌
0.09%
UIPATH
Inc
Ser
D-1  
0.00%
04/26/2019
179‌
179‌
0.04%
UIPATH
Inc
Ser
D-2  
0.00%
04/26/2019
30‌
30‌
0.01%
Total
$
1,561‌
0.33%
Amounts
in
thousands.
Futures
Contracts
Description
and
Expiration
Date
Type
Contracts
Notional
Amount
Value
and
Unrealized
Appreciation/(Depreciation)
S&P
500
Emini
;
September
2019
Long
18‌
$
2,650‌
$
17‌
Total
$
17‌
Amounts
in
thousands
except
contracts.
Schedule
of
Investments
MidCap
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
67
COMMON
STOCKS
-
99.83%
Shares
Held
Value
(000's)
Aerospace
&
Defense
-
4.46%
HEICO
Corp
-
Class
A
17,141‌
$
1,772‌
TransDigm
Group
Inc
(a)
51,133‌
24,738‌
$
26,510‌
Banks
-
2.26%
First
Republic
Bank/CA
103,378‌
10,095‌
M&T
Bank
Corp
19,773‌
3,363‌
$
13,458‌
Beverages
-
0.55%
Brown-Forman
Corp
-
B
Shares
58,759‌
3,257‌
Building
Materials
-
4.33%
Martin
Marietta
Materials
Inc
41,758‌
9,609‌
Summit
Materials
Inc
(a)
130,783‌
2,518‌
Vulcan
Materials
Co
99,006‌
13,594‌
$
25,721‌
Chemicals
-
1.17%
Air
Products
&
Chemicals
Inc
30,699‌
6,949‌
Commercial
Services
-
10.87%
AMERCO
10,975‌
4,155‌
Gartner
Inc
(a)
96,281‌
15,495‌
IHS
Markit
Ltd
(a)
183,133‌
11,669‌
Moody's
Corp
29,822‌
5,825‌
S&P
Global
Inc
22,378‌
5,097‌
TransUnion
147,810‌
10,866‌
Verisk
Analytics
Inc
78,621‌
11,515‌
$
64,622‌
Distribution
&
Wholesale
-
2.93%
Copart
Inc
(a)
185,560‌
13,869‌
Fastenal
Co
108,714‌
3,543‌
$
17,412‌
Electric
-
1.93%
Brookfield
Infrastructure
Partners
LP
205,893‌
8,841‌
Brookfield
Renewable
Partners
LP
(b)
75,941‌
2,627‌
$
11,468‌
Electronics
-
1.63%
Mettler
-Toledo
International
Inc
(a)
11,525‌
9,681‌
Entertainment
-
2.76%
Live
Nation
Entertainment
Inc
(a)
108,859‌
7,212‌
Vail
Resorts
Inc
41,146‌
9,183‌
$
16,395‌
Hand
&
Machine
Tools
-
0.89%
Colfax
Corp
(a)
189,073‌
5,300‌
Healthcare
-
Products
-
1.11%
IDEXX
Laboratories
Inc
(a)
23,896‌
6,579‌
Home
Builders
-
1.50%
Lennar
Corp
-
A
Shares
100,588‌
4,874‌
Lennar
Corp
-
B
Shares
1,475‌
57‌
NVR
Inc
(a)
1,174‌
3,957‌
$
8,888‌
Insurance
-
9.90%
Aon
PLC
26,805‌
5,173‌
Arch
Capital
Group
Ltd
(a)
265,526‌
9,846‌
Brown
&
Brown
Inc
234,946‌
7,870‌
Fidelity
National
Financial
Inc
306,776‌
12,363‌
Markel
Corp
(a)
16,278‌
17,736‌
Progressive
Corp/The
72,136‌
5,766‌
Trisura
Group
Ltd
(a)
4,276‌
98‌
$
58,852‌
Internet
-
4.61%
Liberty
Expedia
Holdings
Inc
(a)
5,412‌
259‌
Shopify
Inc
(a)
8,252‌
2,477‌
VeriSign
Inc
(a)
64,808‌
13,555‌
Wayfair
Inc
(a)
9,484‌
1,385‌
Wix.com
Ltd
(a)
68,398‌
9,719‌
$
27,395‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Lodging
-
3.35%
Hilton
Worldwide
Holdings
Inc
153,510‌
$
15,004‌
Hyatt
Hotels
Corp
64,719‌
4,927‌
$
19,931‌
Machinery
-
Diversified
-
1.82%
Cognex
Corp
9,658‌
463‌
Roper
Technologies
Inc
28,253‌
10,348‌
$
10,811‌
Media
-
4.56%
Liberty
Broadband
Corp
-
A
Shares
(a)
23,834‌
2,451‌
Liberty
Broadband
Corp
-
C
Shares
(a)
45,035‌
4,693‌
Liberty
Global
PLC
-
A
Shares
(a)
17,556‌
474‌
Liberty
Global
PLC
-
C
Shares
(a)
211,639‌
5,615‌
Liberty
Media
Corp-Liberty
Braves
-
A
Shares
(a)
5,176‌
144‌
Liberty
Media
Corp-Liberty
Braves
-
C
Shares
(a)
22,134‌
619‌
Liberty
Media
Corp-Liberty
Formula
One
-
A
Shares
(a)
18,376‌
659‌
Liberty
Media
Corp-Liberty
Formula
One
-
C
Shares
(a)
174,915‌
6,544‌
Liberty
Media
Corp-Liberty
SiriusXM
-
A
Shares
(a)
37,270‌
1,409‌
Liberty
Media
Corp-Liberty
SiriusXM
-
C
Shares
(a)
117,889‌
4,477‌
$
27,085‌
Pharmaceuticals
-
0.11%
Elanco
Animal
Health
Inc
(a)
19,493‌
659‌
Private
Equity
-
7.27%
Brookfield
Asset
Management
Inc
493,980‌
23,602‌
Kennedy-Wilson
Holdings
Inc
216,745‌
4,459‌
KKR
&
Co
Inc
344,283‌
8,700‌
Onex
Corp
106,880‌
6,460‌
$
43,221‌
Real
Estate
-
3.69%
Brookfield
Business
Partners
LP
15,995‌
613‌
Brookfield
Property
Partners
LP
(b)
99,799‌
1,889‌
CBRE
Group
Inc
(a)
229,772‌
11,787‌
Howard
Hughes
Corp/The
(a)
61,801‌
7,654‌
$
21,943‌
REITs
-
4.31%
Equinix
Inc
10,691‌
5,392‌
SBA
Communications
Corp
(a)
85,066‌
19,126‌
Vornado
Realty
Trust
17,350‌
1,112‌
$
25,630‌
Retail
-
11.12%
CarMax
Inc
(a)
204,545‌
17,761‌
Dollar
General
Corp
48,026‌
6,491‌
Domino's
Pizza
Inc
31,307‌
8,712‌
O'Reilly
Automotive
Inc
(a)
40,784‌
15,062‌
Restaurant
Brands
International
Inc
245,338‌
17,061‌
Ross
Stores
Inc
10,148‌
1,006‌
$
66,093‌
Semiconductors
-
1.44%
Microchip
Technology
Inc
98,545‌
8,544‌
Software
-
9.18%
ANSYS
Inc
(a)
51,970‌
10,644‌
Autodesk
Inc
(a)
67,248‌
10,955‌
Black
Knight
Inc
(a)
219,060‌
13,176‌
Guidewire
Software
Inc
(a)
53,426‌
5,416‌
MSCI
Inc
22,303‌
5,326‌
RealPage
Inc
(a)
101,029‌
5,946‌
Slack
Technologies
Inc
(a)
83,018‌
3,113‌
$
54,576‌
Telecommunications
-
1.81%
EchoStar
Corp
(a)
20,491‌
908‌
GCI
Liberty
Inc
(a)
86,349‌
5,307‌
Motorola
Solutions
Inc
27,287‌
4,550‌
$
10,765‌
Schedule
of
Investments
MidCap
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
68
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Textiles
-
0.27%
Mohawk
Industries
Inc
(a)
10,732‌
$
1,582‌
TOTAL
COMMON
STOCKS
$
593,327‌
INVESTMENT
COMPANIES
-
0.44%
Shares
Held
Value
(000's)
Money
Market
Funds
-
0.44%
BlackRock
Liquidity
FedFund
2.26%
(c),(d)
1,182,965‌
1,183‌
Principal
Government
Money
Market
Fund
2.23%
(c),(e)
1,415,080‌
1,415‌
$
2,598‌
TOTAL
INVESTMENT
COMPANIES
$
2,598‌
Total
Investments
$
595,925‌
Other
Assets
and
Liabilities
-  (0.27)%
(1,620‌)
TOTAL
NET
ASSETS
-
100.00%
$
594,305‌
(a)
Non-income
producing
security
(b)
Security
or
a
portion
of
the
security
was
on
loan
at
the
end
of
the
period.
(c)
Current
yield
shown
is
as
of
period
end.
(d)
Security
or
a
portion
of
the
security
was
pledged
as
collateral
for
securities
lending.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$1,183
or
0.20%
of
net
assets.
(e)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
Portfolio
Summary
(unaudited)
Sector
Percent
Financial
27.43‌%
Consumer,
Cyclical
21.93‌%
Industrial
13.13‌%
Consumer,
Non-cyclical
12.64‌%
Communications
10.98‌%
Technology
10.62‌%
Utilities
1.93‌%
Basic
Materials
1.17‌%
Money
Market
Funds
0.44‌%
Other
Assets
and
Liabilities
(0.27‌)%
TOTAL
NET
ASSETS
100.00%
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Principal
Government
Money
Market
Fund
2.23%
$
4,942‌
$
25,345‌
$
28,872‌
$
1,415‌
$
4,942‌
$
25,345‌
$
28,872‌
$
1,415‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Principal
Government
Money
Market
Fund
2.23%
$
9‌
$
—‌
$
—‌
$
—‌
$
9‌
$
—‌
$
—‌
$
—‌
Amounts
in
thousands
Schedule
of
Investments
Principal
Capital
Appreciation
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
69
COMMON
STOCKS
-
98.59%
Shares
Held
Value
(000's)
Aerospace
&
Defense
-
2.55%
Boeing
Co/The
2,817‌
$
1,026‌
Northrop
Grumman
Corp
6,367‌
2,057‌
Teledyne
Technologies
Inc
(a)
2,970‌
813‌
$
3,896‌
Airlines
-
1.09%
Delta
Air
Lines
Inc
29,234‌
1,659‌
Apparel
-
1.46%
Deckers
Outdoor
Corp
(a)
8,769‌
1,543‌
NIKE
Inc
8,151‌
684‌
$
2,227‌
Automobile
Manufacturers
-
0.83%
PACCAR
Inc
17,710‌
1,269‌
Banks
-
6.27%
East
West
Bancorp
Inc
3,471‌
162‌
JPMorgan
Chase
&
Co
46,719‌
5,223‌
PNC
Financial
Services
Group
Inc
/The
16,559‌
2,273‌
US
Bancorp
36,686‌
1,923‌
$
9,581‌
Beverages
-
2.12%
Keurig
Dr
Pepper
Inc
19,081‌
551‌
PepsiCo
Inc
20,489‌
2,687‌
$
3,238‌
Chemicals
-
2.14%
Albemarle
Corp
4,424‌
311‌
DuPont
de
Nemours
Inc
9,412‌
707‌
FMC
Corp
19,652‌
1,630‌
HB
Fuller
Co
13,424‌
623‌
$
3,271‌
Commercial
Services
-
2.24%
Aaron's
Inc
38,454‌
2,362‌
PayPal
Holdings
Inc
(a)
9,270‌
1,061‌
$
3,423‌
Computers
-
3.63%
Apple
Inc
28,027‌
5,547‌
Consumer
Products
-
1.00%
Church
&
Dwight
Co
Inc
20,989‌
1,533‌
Distribution
&
Wholesale
-
1.69%
IAA
Inc
(a)
41,395‌
1,605‌
KAR
Auction
Services
Inc
39,421‌
986‌
$
2,591‌
Diversified
Financial
Services
-
4.62%
Ameriprise
Financial
Inc
12,650‌
1,836‌
Charles
Schwab
Corp/The
14,916‌
600‌
Discover
Financial
Services
36,479‌
2,830‌
Visa
Inc
10,384‌
1,802‌
$
7,068‌
Electric
-
3.40%
NextEra
Energy
Inc
13,639‌
2,794‌
Xcel
Energy
Inc
40,424‌
2,405‌
$
5,199‌
Electronics
-
1.20%
Honeywell
International
Inc
10,533‌
1,839‌
Environmental
Control
-
0.11%
Waste
Connections
Inc
1,721‌
164‌
Food
-
1.64%
McCormick
&
Co
Inc
/MD
7,356‌
1,140‌
Tyson
Foods
Inc
17,003‌
1,373‌
$
2,513‌
Hand
&
Machine
Tools
-
0.42%
Snap-on
Inc
3,873‌
642‌
Healthcare
-
Products
-
6.44%
Abbott
Laboratories
14,551‌
1,224‌
Becton
Dickinson
and
Co
7,321‌
1,845‌
Edwards
Lifesciences
Corp
(a)
5,252‌
970‌
Medtronic
PLC
22,645‌
2,206‌
Thermo
Fisher
Scientific
Inc
7,247‌
2,128‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Healthcare
-
Products
(continued)
Varian
Medical
Systems
Inc
(a)
10,852‌
$
1,477‌
$
9,850‌
Healthcare
-
Services
-
2.07%
UnitedHealth
Group
Inc
6,709‌
1,637‌
Universal
Health
Services
Inc
11,730‌
1,530‌
$
3,167‌
Home
Builders
-
0.26%
Thor
Industries
Inc
6,850‌
400‌
Insurance
-
3.77%
Chubb
Ltd
9,235‌
1,360‌
Fidelity
National
Financial
Inc
64,820‌
2,612‌
Marsh
&
McLennan
Cos
Inc
17,995‌
1,795‌
$
5,767‌
Internet
-
7.75%
Alibaba
Group
Holding
Ltd
ADR
(a)
3,059‌
518‌
Alphabet
Inc
-
A
Shares
(a)
3,356‌
3,634‌
Amazon.com
Inc
(a)
2,223‌
4,209‌
Booking
Holdings
Inc
(a)
219‌
411‌
Facebook
Inc
(a)
12,837‌
2,478‌
Palo
Alto
Networks
Inc
(a)
2,971‌
605‌
$
11,855‌
Lodging
-
0.78%
Marriott
International
Inc
/MD
8,544‌
1,199‌
Machinery
-
Diversified
-
0.99%
Deere
&
Co
9,163‌
1,518‌
Media
-
3.05%
Comcast
Corp
-
Class
A
41,687‌
1,762‌
Nexstar
Media
Group
Inc
10,075‌
1,018‌
Walt
Disney
Co/The
13,494‌
1,884‌
$
4,664‌
Miscellaneous
Manufacturers
-
0.42%
3M
Co
3,693‌
640‌
Oil
&
Gas
-
5.15%
Chevron
Corp
20,923‌
2,604‌
EOG
Resources
Inc
4,972‌
463‌
Royal
Dutch
Shell
PLC
-
B
shares
ADR
46,272‌
3,042‌
Valero
Energy
Corp
20,581‌
1,762‌
$
7,871‌
Pharmaceuticals
-
5.81%
Bristol-Myers
Squibb
Co
29,939‌
1,358‌
Johnson
&
Johnson
14,174‌
1,974‌
Merck
&
Co
Inc
36,252‌
3,040‌
Pfizer
Inc
58,107‌
2,517‌
$
8,889‌
REITs
-
3.47%
Alexandria
Real
Estate
Equities
Inc
23,048‌
3,252‌
American
Tower
Corp
2,896‌
592‌
Extra
Space
Storage
Inc
8,425‌
894‌
Simon
Property
Group
Inc
3,564‌
569‌
$
5,307‌
Retail
-
3.18%
Costco
Wholesale
Corp
7,083‌
1,872‌
Home
Depot
Inc
/The
8,603‌
1,789‌
Lululemon
Athletica
Inc
(a)
4,134‌
745‌
Starbucks
Corp
5,508‌
462‌
$
4,868‌
Semiconductors
-
3.48%
Broadcom
Inc
5,124‌
1,475‌
Lam
Research
Corp
3,981‌
748‌
Microchip
Technology
Inc
11,820‌
1,025‌
NVIDIA
Corp
2,330‌
382‌
ON
Semiconductor
Corp
(a)
27,000‌
546‌
Taiwan
Semiconductor
Manufacturing
Co
Ltd
ADR
29,161‌
1,142‌
$
5,318‌
Schedule
of
Investments
Principal
Capital
Appreciation
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
70
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Software
-
8.30%
Adobe
Inc
(a)
5,180‌
$
1,526‌
Fair
Isaac
Corp
(a)
5,098‌
1,601‌
Fidelity
National
Information
Services
Inc
15,745‌
1,932‌
Microsoft
Corp
51,307‌
6,873‌
ServiceNow
Inc
(a)
2,756‌
757‌
$
12,689‌
Telecommunications
-
4.71%
Arista
Networks
Inc
(a)
2,360‌
613‌
Cisco
Systems
Inc
50,789‌
2,780‌
T-Mobile
US
Inc
(a)
19,182‌
1,422‌
Verizon
Communications
Inc
41,853‌
2,391‌
$
7,206‌
Toys,
Games
&
Hobbies
-
1.34%
Hasbro
Inc
19,401‌
2,05
1‌
Transportation
-
1.21%
Expeditors
International
of
Washington
Inc
13,166‌
999‌
Union
Pacific
Corp
4,991‌
844‌
$
1,843‌
TOTAL
COMMON
STOCKS
$
150,76
2‌
INVESTMENT
COMPANIES
-
1.54%
Shares
Held
Value
(000's)
Money
Market
Funds
-
1.54%
Principal
Government
Money
Market
Fund
2.23%
(b),(c)
2,356,503‌
2,357‌
TOTAL
INVESTMENT
COMPANIES
$
2,357‌
Total
Investments
$
153,11
9‌
Other
Assets
and
Liabilities
-  (0.13)%
(20
4‌
)
TOTAL
NET
ASSETS
-
100.00%
$
152,915‌
(a)
Non-income
producing
security
(b)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(c)
Current
yield
shown
is
as
of
period
end.
Portfolio
Summary
(unaudited)
Sector
Percent
Consumer,
Non-cyclical
21.32‌%
Financial
18.13‌%
Communications
15.51‌%
Technology
15.41‌%
Consumer,
Cyclical
10.63‌%
Industrial
6.90‌%
Energy
5.15‌%
Utilities
3.40‌%
Basic
Materials
2.14‌%
Money
Market
Funds
1.54‌%
Other
Assets
and
Liabilities
(0.13‌)%
TOTAL
NET
ASSETS
100.00%
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Principal
Government
Money
Market
Fund
2.23%
$
2,989‌
$
16,784‌
$
17,416‌
$
2,357‌
$
2,989‌
$
16,784‌
$
17,416‌
$
2,357‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Principal
Government
Money
Market
Fund
2.23%
$
3
5‌
$
—‌
$
—‌
$
—‌
$
3
5‌
$
—‌
$
—‌
$
—‌
Amounts
in
thousands
Schedule
of
Investments
Real
Estate
Securities
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
71
COMMON
STOCKS
-
98.93%
Shares
Held
Value
(000's)
Lodging
-
2.81%
Extended
Stay
America
Inc
58,773‌
$
993‌
Hilton
Worldwide
Holdings
Inc
34,419‌
3,364‌
$
4,357‌
REITs
-
93.60%
Alexandria
Real
Estate
Equities
Inc
48,638‌
6,862‌
American
Homes
4
Rent
117,715‌
2,862‌
American
Tower
Corp
5,556‌
1,136‌
Americold
Realty
Trust
54,677‌
1,773‌
Apartment
Investment
&
Management
Co
95,543‌
4,789‌
AvalonBay
Communities
Inc
46,450‌
9,438‌
Boston
Properties
Inc
35,917‌
4,633‌
Corporate
Office
Properties
Trust
15,169‌
400‌
Cousins
Properties
Inc
66,697‌
2,412‌
Crown
Castle
International
Corp
11,511‌
1,500‌
CubeSmart
72,894‌
2,437‌
Duke
Realty
Corp
78,116‌
2,469‌
EPR
Properties
39,437‌
2,942‌
Equinix
Inc
19,259‌
9,712‌
Equity
LifeStyle
Properties
Inc
22,250‌
2,700‌
Equity
Residential
20,747‌
1,575‌
Essex
Property
Trust
Inc
22,219‌
6,486‌
Extra
Space
Storage
Inc
35,380‌
3,754‌
First
Industrial
Realty
Trust
Inc
37,922‌
1,393‌
HCP
Inc
57,450‌
1,837‌
Healthcare
Realty
Trust
Inc
51,570‌
1,615‌
Healthcare
Trust
of
America
Inc
152,076‌
4,171‌
Industrial
Logistics
Properties
Trust
6,040‌
126‌
Invitation
Homes
Inc
276,346‌
7,387‌
Kilroy
Realty
Corp
44,461‌
3,282‌
Physicians
Realty
Trust
65,631‌
1,144‌
Prologis
Inc
139,962‌
11,211‌
Public
Storage
10,722‌
2,554‌
Regency
Centers
Corp
73,521‌
4,907‌
Sabra
Health
Care
REIT
Inc
87,660‌
1,726‌
Saul
Centers
Inc
13,444‌
755‌
Simon
Property
Group
Inc
37,105‌
5,928‌
Spirit
Realty
Capital
Inc
42,664‌
1,820‌
STORE
Capital
Corp
138,475‌
4,596‌
Sun
Communities
Inc
34,470‌
4,419‌
Sunstone
Hotel
Investors
Inc
174,453‌
2,392‌
Tanger
Factory
Outlet
Centers
Inc
43,247‌
701‌
Taubman
Centers
Inc
27,290‌
1,114‌
Terreno
Realty
Corp
54,850‌
2,690‌
VICI
Properties
Inc
111,109‌
2,449‌
Welltower
Inc
100,225‌
8,171‌
Weyerhaeuser
Co
35,840‌
944‌
$
145,212‌
Software
-
2.52%
InterXion
Holding
NV
(a)
51,421‌
3,913‌
TOTAL
COMMON
STOCKS
$
153,482‌
INVESTMENT
COMPANIES
-
0.73%
Shares
Held
Value
(000's)
Money
Market
Funds
-
0.73%
Principal
Government
Money
Market
Fund
2.23%
(b),(c)
1,129,310‌
1,129‌
TOTAL
INVESTMENT
COMPANIES
$
1,129‌
Total
Investments
$
154,611‌
Other
Assets
and
Liabilities
-  0.34%
520‌
TOTAL
NET
ASSETS
-
100.00%
$
155,131‌
(a)
Non-income
producing
security
(b)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(c)
Current
yield
shown
is
as
of
period
end.
Portfolio
Summary
(unaudited)
Sector
Percent
Financial
93.60‌%
Consumer,
Cyclical
2.81‌%
Technology
2.52‌%
Money
Market
Funds
0.73‌%
Other
Assets
and
Liabilities
0.34‌%
TOTAL
NET
ASSETS
100.00%
Schedule
of
Investments
Real
Estate
Securities
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
72
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Principal
Government
Money
Market
Fund
2.23%
$
911‌
$
14,566‌
$
14,348‌
$
1,129‌
$
911‌
$
14,566‌
$
14,348‌
$
1,129‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Principal
Government
Money
Market
Fund
2.23%
$
10‌
$
—‌
$
—‌
$
—‌
$
10‌
$
—‌
$
—‌
$
—‌
Amounts
in
thousands
Schedule
of
Investments
SAM
Balanced
Portfolio
June
30,
2019
(unaudited)
See
accompanying
notes.
73
INVESTMENT
COMPANIES
-
100.02%
Shares
Held
Value
(000's)
Money
Market
Funds
-
0.32%
Principal
Government
Money
Market
Fund
2.23%
(a),(b)
2,240,579‌
$
2,241‌
Principal
Exchange-Traded
Funds
-
20.30%
Principal
Active
Global
Dividend
Income
ETF
(a)
1,237,500‌
34,662‌
Principal
Active
Income
ETF
(a)
228,100‌
9,149‌
Principal
Investment
Grade
Corporate
Active
ETF
(a)
205,200‌
5,394‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
(a)
2,665,200‌
77,531‌
Principal
U.S.
Small-Cap
Multi-Factor
Index
ETF
(a)
504,100‌
15,844‌
$
142,580‌
Principal
Funds,
Inc.
Class
R-6
-
53.00%
Blue
Chip
Fund
(a)
2,339,073‌
59,598‌
Diversified
International
Fund
(a)
6,474,574‌
79,637‌
Diversified
Real
Asset
Fund
(a)
2,022,522‌
23,117‌
EDGE
MidCap
Fund
(a)
1,865,761‌
26,774‌
Global
Multi-Strategy
Fund
(a)
2,292,671‌
24,554‌
Global
Real
Estate
Securities
Fund
(a)
1,994,640‌
20,445‌
High
Yield
Fund
(a)
1,483,616‌
10,608‌
Income
Fund
(a)
8,793,649‌
84,859‌
International
Small
Company
Fund
(a)
788,939‌
8,505‌
Origin
Emerging
Markets
Fund
(a)
849,682‌
9,134‌
Preferred
Securities
Fund
(a)
1,832,901‌
18,494‌
Real
Estate
Debt
Income
Fund
(a)
648,546‌
6,408‌
$
372,133‌
Principal
Funds,
Inc.
Institutional
Class
-
8.55%
Inflation
Protection
Fund
(a)
1,292,279‌
11,087‌
Short-Term
Income
Fund
(a)
3,991,662‌
48,938‌
$
60,025‌
Principal
Variable
Contracts
Funds,
Inc.
Class
1
-
17.85%
Equity
Income
Account
(a)
3,244,068‌
86,811‌
Government
&
High
Quality
Bond
Account
(a)
3,897,832‌
38,550‌
$
125,361‌
TOTAL
INVESTMENT
COMPANIES
$
702,340‌
Total
Investments
$
702,340‌
Other
Assets
and
Liabilities
-  (0.02)%
(161‌)
TOTAL
NET
ASSETS
-
100.00%
$
702,179‌
(a)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(b)
Current
yield
shown
is
as
of
period
end.
Portfolio
Summary
(unaudited)
Fund
Type
Percent
Fixed
Income
Funds
44.60‌%
Domestic
Equity
Funds
37.96‌%
International
Equity
Funds
10.35‌%
Specialty
Funds
6.79‌%
Money
Market
Funds
0.32‌%
Other
Assets
and
Liabilities
(0.02‌)%
TOTAL
NET
ASSETS
100.00%
Schedule
of
Investments
SAM
Balanced
Portfolio
June
30,
2019
(unaudited)
See
accompanying
notes.
74
Affiliated
Securities
December
31,
2018
Purchases
(a)
Sales
(a)
June
30,
2019
Value
Cost
Proceeds
Value
Blue
Chip
Fund
$
54,795‌
$
155‌
$
9,130‌
$
59,598‌
Diversified
International
Fund
Class
R-6
—‌
78,682‌
3,186‌
79,637‌
Diversified
International
Fund
Institutional
Class
71,127‌
936‌
78,482‌
—‌
Diversified
Real
Asset
Fund
22,409‌
167‌
1,728‌
23,117‌
EDGE
MidCap
Fund
24,457‌
95‌
2,494‌
26,774‌
Equity
Income
Account
80,186‌
309‌
7,074‌
86,811‌
Global
Multi-Strategy
Fund
26,336‌
14‌
3,210‌
24,554‌
Global
Real
Estate
Securities
Fund
20,436‌
220‌
3,338‌
20,445‌
Government
&
High
Quality
Bond
Account
40,125‌
400‌
3,649‌
38,550‌
High
Yield
Fund
10,242‌
463‌
771‌
10,608‌
Income
Account
79,967‌
262‌
83,449‌
—‌
Income
Fund
—‌
84,245‌
436‌
84,859‌
Inflation
Protection
Fund
11,152‌
138‌
765‌
11,087‌
International
Emerging
Markets
Fund
8,258‌
6‌
9,276‌
—‌
International
Small
Company
Fund
7,392‌
27‌
127‌
8,505‌
Origin
Emerging
Markets
Fund
—‌
9,284‌
49‌
9,134‌
Preferred
Securities
Fund
17,967‌
577‌
1,362‌
18,494‌
Principal
Active
Global
Dividend
Income
ETF
30,012‌
—‌
—‌
34,662‌
Principal
Active
Income
ETF
8,651‌
—‌
—‌
9,149‌
Principal
Government
Money
Market
Fund
2.23%
2,067‌
7,667‌
7,493‌
2,241‌
Principal
Investment
Grade
Corporate
Active
ETF
10,579‌
—‌
5,922‌
5,394‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
66,603‌
—‌
—‌
77,531‌
Principal
U.S.
Small-Cap
Multi-Factor
Index
ETF
14,004‌
—‌
—‌
15,844‌
Real
Estate
Debt
Income
Fund
7,387‌
131‌
1,486‌
6,408‌
Short-Term
Income
Fund
50,441‌
2,124‌
4,637‌
48,938‌
$
664,593‌
$
185,902‌
$
228,064‌
$
702,340‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Blue
Chip
Fund
$
—‌
$
660‌
$
—‌
$
13,118‌
Diversified
International
Fund
Class
R-6
—‌
(1‌)
—‌
4,142‌
Diversified
International
Fund
Institutional
Class
—‌
(19‌)
—‌
6,438‌
Diversified
Real
Asset
Fund
—‌
17‌
—‌
2,252‌
EDGE
MidCap
Fund
—‌
43‌
—‌
4,673‌
Equity
Income
Account
—‌
682‌
—‌
12,708‌
Global
Multi-Strategy
Fund
—‌
9‌
—‌
1,405‌
Global
Real
Estate
Securities
Fund
208‌
152‌
—‌
2,975‌
Government
&
High
Quality
Bond
Account
—‌
(88‌)
—‌
1,762‌
High
Yield
Fund
314‌
1‌
—‌
673‌
Income
Account
—‌
7,339‌
—‌
(4,119‌)
Income
Fund
257‌
2‌
—‌
1,048‌
Inflation
Protection
Fund
55‌
(31‌)
—‌
593‌
International
Emerging
Markets
Fund
—‌
1,749‌
—‌
(737‌)
International
Small
Company
Fund
—‌
6‌
—‌
1,207‌
Origin
Emerging
Markets
Fund
—‌
(1‌)
—‌
(100‌)
Preferred
Securities
Fund
464‌
(73‌)
—‌
1,385‌
Principal
Active
Global
Dividend
Income
ETF
185‌
—‌
—‌
4,650‌
Principal
Active
Income
ETF
184‌
—‌
—‌
498‌
Principal
Government
Money
Market
Fund
2.23%
26‌
—‌
—‌
—‌
Principal
Investment
Grade
Corporate
Active
ETF
170‌
153‌
—‌
584‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
405‌
—‌
—‌
10,928‌
Principal
U.S.
Small-Cap
Multi-Factor
Index
ETF
55‌
—‌
—‌
1,840‌
Real
Estate
Debt
Income
Fund
131‌
3‌
—‌
373‌
Short-Term
Income
Fund
618‌
(35‌)
—‌
1,045‌
$
3,072‌
$
10,568‌
$
—‌
$
69,341‌
Amounts
in
thousands
(a)
Purchases
and
Sales
include
transactions
related
to
the
transition
of
assets
from
the
Institutional
Class
to
Class
R-6.
Schedule
of
Investments
SAM
Conservative
Balanced
Portfolio
June
30,
2019
(unaudited)
See
accompanying
notes.
75
INVESTMENT
COMPANIES
-
100.02%
Shares
Held
Value
(000's)
Money
Market
Funds
-
0.53%
Principal
Government
Money
Market
Fund
2.23%
(a),(b)
991,138‌
$
991‌
Principal
Exchange-Traded
Funds
-
13.72%
Principal
Active
Global
Dividend
Income
ETF
(a)
133,000‌
3,726‌
Principal
Active
Income
ETF
(a)
126,800‌
5,086‌
Principal
Investment
Grade
Corporate
Active
ETF
(a)
73,400‌
1,929‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
(a)
431,800‌
12,561‌
Principal
U.S.
Small-Cap
Multi-Factor
Index
ETF
(a)
78,200‌
2,458‌
$
25,760‌
Principal
Funds,
Inc.
Class
R-6
-
54.11%
Blue
Chip
Fund
(a)
422,673‌
10,770‌
Diversified
International
Fund
(a)
1,172,737‌
14,425‌
Diversified
Real
Asset
Fund
(a)
482,124‌
5,511‌
EDGE
MidCap
Fund
(a)
316,120‌
4,536‌
Global
Diversified
Income
Fund
(a)
367,672‌
4,996‌
Global
Multi-Strategy
Fund
(a)
635,133‌
6,802‌
Global
Real
Estate
Securities
Fund
(a)
415,695‌
4,261‌
High
Yield
Fund
(a)
651,025‌
4,655‌
Income
Fund
(a)
3,453,908‌
33,330‌
International
Small
Company
Fund
(a)
146,002‌
1,574‌
Origin
Emerging
Markets
Fund
(a)
143,200‌
1,539‌
Preferred
Securities
Fund
(a)
761,326‌
7,682‌
Real
Estate
Debt
Income
Fund
(a)
153,010‌
1,512‌
$
101,593‌
Principal
Funds,
Inc.
Institutional
Class
-
13.72%
Inflation
Protection
Fund
(a)
571,099‌
4,900‌
Short-Term
Income
Fund
(a)
1,701,666‌
20,862‌
$
25,762‌
Principal
Variable
Contracts
Funds,
Inc.
Class
1
-
17.94%
Equity
Income
Account
(a)
582,354‌
15,584‌
Government
&
High
Quality
Bond
Account
(a)
1,830,332‌
18,102‌
$
33,686‌
TOTAL
INVESTMENT
COMPANIES
$
187,792‌
Total
Investments
$
187,792‌
Other
Assets
and
Liabilities
-  (0.02)%
(46‌)
TOTAL
NET
ASSETS
-
100.00%
$
187,746‌
(a)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(b)
Current
yield
shown
is
as
of
period
end.
Portfolio
Summary
(unaudited)
Fund
Type
Percent
Fixed
Income
Funds
59.90‌%
Domestic
Equity
Funds
24.46‌%
Specialty
Funds
9.22‌%
International
Equity
Funds
5.91‌%
Money
Market
Funds
0.53‌%
Other
Assets
and
Liabilities
(0.02‌)%
TOTAL
NET
ASSETS
100.00%
Schedule
of
Investments
SAM
Conservative
Balanced
Portfolio
June
30,
2019
(unaudited)
See
accompanying
notes.
76
Affiliated
Securities
December
31,
2018
Purchases
(a)
Sales
(a)
June
30,
2019
Value
Cost
Proceeds
Value
Blue
Chip
Fund
$
9,319‌
$
344‌
$
1,319‌
$
10,770‌
Diversified
International
Fund
Class
R-6
—‌
13,769‌
285‌
14,425‌
Diversified
International
Fund
Institutional
Class
12,173‌
563‌
13,647‌
—‌
Diversified
Real
Asset
Fund
5,061‌
156‌
228‌
5,511‌
EDGE
MidCap
Fund
3,962‌
186‌
394‌
4,536‌
Equity
Income
Account
13,827‌
461‌
1,068‌
15,584‌
Global
Diversified
Income
Fund
4,642‌
29
4‌
2
50‌
4,996‌
Global
Multi-Strategy
Fund
6,969‌
152‌
699‌
6,802‌
Global
Real
Estate
Securities
Fund
3,917‌
243‌
520‌
4,261‌
Government
&
High
Quality
Bond
Account
17,903‌
528‌
1,105‌
18,102‌
High
Yield
Fund
4,362‌
384‌
388‌
4,655‌
Income
Account
29,763‌
686‌
31,690‌
—‌
Income
Fund
—‌
33,055‌
136‌
33,330‌
Inflation
Protection
Fund
4,746‌
178‌
271‌
4,900‌
International
Emerging
Markets
Fund
1,347‌
47‌
1,561‌
—‌
International
Small
Company
Fund
1,335‌
64‌
47‌
1,574‌
Origin
Emerging
Markets
Fund
—‌
1,556‌
—‌
1,539‌
Preferred
Securities
Fund
7,074‌
482‌
406‌
7,682‌
Principal
Active
Global
Dividend
Income
ETF
3,226‌
—‌
—‌
3,726‌
Principal
Active
Income
ETF
4,809‌
—‌
—‌
5,086‌
Principal
Government
Money
Market
Fund
2.23%
897‌
2,991‌
2,897‌
991‌
Principal
Investment
Grade
Corporate
Active
ETF
4,251‌
—‌
2,608‌
1,929‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
10,791‌
—‌
—‌
12,561‌
Principal
U.S.
Small-Cap
Multi-Factor
Index
ETF
2,172‌
—‌
—‌
2,458‌
Real
Estate
Debt
Income
Fund
1,616‌
54‌
244‌
1,512‌
Short-Term
Income
Fund
20,485‌
1,330‌
1,378‌
20,862‌
$
174,647‌
$
57,52
3‌
$
61,14
1‌
$
187,792‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Blue
Chip
Fund
$
—‌
$
49‌
$
—‌
$
2,377‌
Diversified
International
Fund
Class
R-6
—‌
(1‌)
—‌
942‌
Diversified
International
Fund
Institutional
Class
—‌
—‌
—‌
911‌
Diversified
Real
Asset
Fund
—‌
—‌
—‌
522‌
EDGE
MidCap
Fund
—‌
9‌
—‌
773‌
Equity
Income
Account
—‌
(5‌)
—‌
2,369‌
Global
Diversified
Income
Fund
126‌
(1
0‌
)
—‌
32
0‌
Global
Multi-Strategy
Fund
—‌
(24‌)
—‌
404‌
Global
Real
Estate
Securities
Fund
43‌
14‌
—‌
607‌
Government
&
High
Quality
Bond
Account
—‌
(50‌)
—‌
826‌
High
Yield
Fund
141‌
2‌
—‌
295‌
Income
Account
—‌
2,107‌
—‌
(866‌)
Income
Fund
100‌
1‌
—‌
410‌
Inflation
Protection
Fund
24‌
(9‌)
—‌
256‌
International
Emerging
Markets
Fund
—‌
312‌
—‌
(145‌)
International
Small
Company
Fund
—‌
(9‌)
—‌
231‌
Origin
Emerging
Markets
Fund
—‌
—‌
—‌
(17‌)
Preferred
Securities
Fund
192‌
(19‌)
—‌
551‌
Principal
Active
Global
Dividend
Income
ETF
20‌
—‌
—‌
500‌
Principal
Active
Income
ETF
103‌
—‌
—‌
277‌
Principal
Government
Money
Market
Fund
2.23%
11‌
—‌
—‌
—‌
Principal
Investment
Grade
Corporate
Active
ETF
68‌
67‌
—‌
219‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
66‌
—‌
—‌
1,770‌
Principal
U.S.
Small-Cap
Multi-Factor
Index
ETF
8‌
—‌
—‌
286‌
Real
Estate
Debt
Income
Fund
30‌
1‌
—‌
85‌
Short-Term
Income
Fund
260‌
(9‌)
—‌
434‌
$
1,192‌
$
2,42
6‌
$
—‌
$
14,33
7‌
Amounts
in
thousands
(a)
Purchases
and
Sales
include
transactions
related
to
the
transition
of
assets
from
the
Institutional
Class
to
Class
R-6.
Schedule
of
Investments
SAM
Conservative
Growth
Portfolio
June
30,
2019
(unaudited)
See
accompanying
notes.
77
INVESTMENT
COMPANIES
-
100.03%
Shares
Held
Value
(000's)
Money
Market
Funds
-
0.26%
Principal
Government
Money
Market
Fund
2.23%
(a),(b)
862,121‌
$
862‌
Principal
Exchange-Traded
Funds
-
20.85%
Principal
Active
Global
Dividend
Income
ETF
(a)
378,000‌
10,588‌
Principal
Investment
Grade
Corporate
Active
ETF
(a)
64,900‌
1,706‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
(a)
1,637,800‌
47,644‌
Principal
U.S.
Small-Cap
Multi-Factor
Index
ETF
(a)
333,900‌
10,494‌
$
70,432‌
Principal
Funds,
Inc.
Class
R-6
-
54.76%
Blue
Chip
Fund
(a)
1,588,873‌
40,485‌
Diversified
International
Fund
(a)
4,550,997‌
55,977‌
Diversified
Real
Asset
Fund
(a)
1,059,134‌
12,106‌
EDGE
MidCap
Fund
(a)
1,385,606‌
19,884‌
Global
Multi-Strategy
Fund
(a)
402,369‌
4,309‌
Global
Real
Estate
Securities
Fund
(a)
1,110,500‌
11,383‌
Income
Fund
(a)
1,718,016‌
16,579‌
International
Small
Company
Fund
(a)
516,086‌
5,563‌
Multi-Manager
Equity
Long/Short
Fund
(a)
772,701‌
7,240‌
Origin
Emerging
Markets
Fund
(a)
577,249‌
6,205‌
Preferred
Securities
Fund
(a)
521,467‌
5,262‌
$
184,993‌
Principal
Funds,
Inc.
Institutional
Class
-
4.48%
Short-Term
Income
Fund
(a)
1,235,187‌
15,143‌
Principal
Variable
Contracts
Funds,
Inc.
Class
1
-
19.68%
Equity
Income
Account
(a)
2,128,820‌
56,967‌
Government
&
High
Quality
Bond
Account
(a)
963,003‌
9,524‌
$
66,491‌
TOTAL
INVESTMENT
COMPANIES
$
337,921‌
Total
Investments
$
337,921‌
Other
Assets
and
Liabilities
-  (0.03)%
(96‌)
TOTAL
NET
ASSETS
-
100.00%
$
337,825‌
(a)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(b)
Current
yield
shown
is
as
of
period
end.
Portfolio
Summary
(unaudited)
Fund
Type
Percent
Domestic
Equity
Funds
51.94‌%
Fixed
Income
Funds
30.85‌%
International
Equity
Funds
9.99‌%
Specialty
Funds
6.99‌%
Money
Market
Funds
0.26‌%
Other
Assets
and
Liabilities
(0.03‌)%
TOTAL
NET
ASSETS
100.00%
Schedule
of
Investments
SAM
Conservative
Growth
Portfolio
June
30,
2019
(unaudited)
See
accompanying
notes.
78
Affiliated
Securities
December
31,
2018
Purchases
(a)
Sales
(a)
June
30,
2019
Value
Cost
Proceeds
Value
Blue
Chip
Fund
$
35,689‌
$
376‌
$
4,634‌
$
40,485‌
Diversified
International
Fund
Class
R-6
—‌
54,014‌
759‌
55,977‌
Diversified
International
Fund
Institutional
Class
47,933‌
839‌
53,245‌
—‌
Diversified
Real
Asset
Fund
11,715‌
185‌
980‌
12,106‌
EDGE
MidCap
Fund
17,707‌
395‌
1,666‌
19,884‌
Equity
Income
Account
52,108‌
575‌
4,402‌
56,967‌
Global
Multi-Strategy
Fund
5,034‌
11‌
995‌
4,309‌
Global
Real
Estate
Securities
Fund
10,875‌
153‌
1,319‌
11,383‌
Government
&
High
Quality
Bond
Account
9,629‌
297‌
807‌
9,524‌
Income
Account
16,085‌
107‌
16,840‌
—‌
Income
Fund
—‌
16,448‌
73‌
16,579‌
International
Small
Company
Fund
4,663‌
149‌
24‌
5,563‌
Multi-Manager
Equity
Long/Short
Fund
7,946‌
15‌
1,233‌
7,240‌
Origin
Emerging
Markets
Fund
5,466‌
118‌
245‌
6,205‌
Preferred
Securities
Fund
5,137‌
224‌
474‌
5,262‌
Principal
Active
Global
Dividend
Income
ETF
9,167‌
—‌
—‌
10,588‌
Principal
Government
Money
Market
Fund
2.23%
797‌
1,319‌
1,254‌
862‌
Principal
Investment
Grade
Corporate
Active
ETF
2,084‌
—‌
552‌
1,706‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
40,929‌
—‌
—‌
47,644‌
Principal
U.S.
Small-Cap
Multi-Factor
Index
ETF
9,276‌
—‌
—‌
10,494‌
Short-Term
Income
Fund
15,424‌
661‌
1,253‌
15,143‌
$
307,664‌
$
75,886‌
$
90,755‌
$
337,921‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Blue
Chip
Fund
$
—‌
$
110‌
$
—‌
$
8,944‌
Diversified
International
Fund
Class
R-6
—‌
(37‌)
—‌
2,759‌
Diversified
International
Fund
Institutional
Class
—‌
(2‌)
—‌
4,475‌
Diversified
Real
Asset
Fund
—‌
(17‌)
—‌
1,203‌
EDGE
MidCap
Fund
—‌
35‌
—‌
3,413‌
Equity
Income
Account
—‌
(123‌)
—‌
8,809‌
Global
Multi-Strategy
Fund
—‌
25‌
—‌
234‌
Global
Real
Estate
Securities
Fund
114‌
27‌
—‌
1,647‌
Government
&
High
Quality
Bond
Account
—‌
(40‌)
—‌
445‌
Income
Account
—‌
1,135‌
—‌
(487‌)
Income
Fund
49‌
—‌
—‌
204‌
International
Small
Company
Fund
—‌
(2‌)
—‌
777‌
Multi-Manager
Equity
Long/Short
Fund
—‌
(93‌)
—‌
605‌
Origin
Emerging
Markets
Fund
—‌
17‌
—‌
849‌
Preferred
Securities
Fund
134‌
(15‌)
—‌
390‌
Principal
Active
Global
Dividend
Income
ETF
57‌
—‌
—‌
1,421‌
Principal
Government
Money
Market
Fund
2.23%
10‌
—‌
—‌
—‌
Principal
Investment
Grade
Corporate
Active
ETF
35‌
20‌
—‌
154‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
249‌
—‌
—‌
6,715‌
Principal
U.S.
Small-Cap
Multi-Factor
Index
ETF
36‌
—‌
—‌
1,218‌
Short-Term
Income
Fund
190‌
(10‌)
—‌
321‌
$
874‌
$
1,030‌
$
—‌
$
44,096‌
Amounts
in
thousands
(a)
Purchases
and
Sales
include
transactions
related
to
the
transition
of
assets
from
the
Institutional
Class
to
Class
R-6.
Schedule
of
Investments
SAM
Flexible
Income
Portfolio
June
30,
2019
(unaudited)
See
accompanying
notes.
79
INVESTMENT
COMPANIES
-
100.02%
Shares
Held
Value
(000's)
Money
Market
Funds
-
0.99%
Principal
Government
Money
Market
Fund
2.23%
(a),(b)
1,854,374‌
$
1,854‌
Principal
Exchange-Traded
Funds
-
15.77%
Principal
Active
Global
Dividend
Income
ETF
(a)
505,300‌
14,154‌
Principal
Active
Income
ETF
(a)
124,400‌
4,990‌
Principal
Investment
Grade
Corporate
Active
ETF
(a)
110,300‌
2,899‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
(a)
253,600‌
7,377‌
$
29,420‌
Principal
Funds,
Inc.
Class
R-6
-
46.86%
Blue
Chip
Fund
(a)
90,050‌
2,295‌
EDGE
MidCap
Fund
(a)
174,052‌
2,498‌
Global
Diversified
Income
Fund
(a)
655,288‌
8,905‌
Global
Real
Estate
Securities
Fund
(a)
622,764‌
6,383‌
High
Yield
Fund
(a)
1,142,741‌
8,171‌
Income
Fund
(a)
4,834,942‌
46,657‌
Preferred
Securities
Fund
(a)
947,313‌
9,558‌
Real
Estate
Debt
Income
Fund
(a)
300,601‌
2,970‌
$
87,437‌
Principal
Funds,
Inc.
Institutional
Class
-
18.83%
Inflation
Protection
Fund
(a)
1,387,406‌
11,904‌
Short-Term
Income
Fund
(a)
1,894,468‌
23,226‌
$
35,130‌
Principal
Variable
Contracts
Funds,
Inc.
Class
1
-
17.57%
Equity
Income
Account
(a)
452,329‌
12,104‌
Government
&
High
Quality
Bond
Account
(a)
2,089,947‌
20,670‌
$
32,774‌
TOTAL
INVESTMENT
COMPANIES
$
186,615‌
Total
Investments
$
186,615‌
Other
Assets
and
Liabilities
-  (0.02)%
(45‌)
TOTAL
NET
ASSETS
-
100.00%
$
186,570‌
(a)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(b)
Current
yield
shown
is
as
of
period
end.
Portfolio
Summary
(unaudited)
Fund
Type
Percent
Fixed
Income
Funds
70.24‌%
Domestic
Equity
Funds
13.01‌%
International
Equity
Funds
11.01‌%
Specialty
Funds
4.77‌%
Money
Market
Funds
0.99‌%
Other
Assets
and
Liabilities
(0.02‌)%
TOTAL
NET
ASSETS
100.00%
Schedule
of
Investments
SAM
Flexible
Income
Portfolio
June
30,
2019
(unaudited)
See
accompanying
notes.
80
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Blue
Chip
Fund
$
1,887‌
$
338‌
$
452‌
$
2,295‌
EDGE
MidCap
Fund
2,515‌
106‌
609‌
2,498‌
Equity
Income
Account
11,253‌
314‌
1,348‌
12,104‌
Global
Diversified
Income
Fund
8,979‌
42
6‌
1,08
7‌
8,905‌
Global
Real
Estate
Securities
Fund
6,772‌
131‌
1,561‌
6,383‌
Government
&
High
Quality
Bond
Account
21,000‌
850‌
2,079‌
20,670‌
High
Yield
Fund
7,655‌
1,728‌
1,719‌
8,171‌
Income
Account
42,682‌
635‌
45,071‌
—‌
Income
Fund
—‌
46,634‌
557‌
46,657‌
Inflation
Protection
Fund
12,205‌
315‌
1,236‌
11,904‌
Preferred
Securities
Fund
9,184‌
642‌
947‌
9,558‌
Principal
Active
Global
Dividend
Income
ETF
12,255‌
—‌
—‌
14,154‌
Principal
Active
Income
ETF
5,670‌
—‌
986‌
4,990‌
Principal
Government
Money
Market
Fund
2.23%
1,632‌
4,831‌
4,609‌
1,854‌
Principal
Investment
Grade
Corporate
Active
ETF
5,868‌
—‌
3,373‌
2,899‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
6,337‌
—‌
—‌
7,377‌
Real
Estate
Debt
Income
Fund
3,406‌
120‌
733‌
2,970‌
Short-Term
Income
Fund
23,258‌
1,425‌
1,935‌
23,226‌
$
182,558‌
$
58,49
5‌
$
68,30
2‌
$
186,615‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Blue
Chip
Fund
$
—‌
$
(9‌)
$
—‌
$
531‌
EDGE
MidCap
Fund
—‌
2‌
—‌
484‌
Equity
Income
Account
—‌
413‌
—‌
1,472‌
Global
Diversified
Income
Fund
235‌
1‌
—‌
58
6‌
Global
Real
Estate
Securities
Fund
67‌
108‌
—‌
933‌
Government
&
High
Quality
Bond
Account
—‌
(67‌)
—‌
966‌
High
Yield
Fund
236‌
19‌
—‌
488‌
Income
Account
—‌
3,169‌
—‌
(1,415‌)
Income
Fund
142‌
2‌
—‌
578‌
Inflation
Protection
Fund
59‌
(35‌)
—‌
655‌
Preferred
Securities
Fund
242‌
(44‌)
—‌
723‌
Principal
Active
Global
Dividend
Income
ETF
75‌
—‌
—‌
1,899‌
Principal
Active
Income
ETF
121‌
3‌
—‌
303‌
Principal
Government
Money
Market
Fund
2.23%
22‌
—‌
—‌
—‌
Principal
Investment
Grade
Corporate
Active
ETF
94‌
86‌
—‌
318‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
38‌
—‌
—‌
1,040‌
Real
Estate
Debt
Income
Fund
62‌
4‌
—‌
173‌
Short-Term
Income
Fund
292‌
(9‌)
—‌
487‌
$
1,685‌
$
3,64
3‌
$
—‌
$
10,22
1‌
Amounts
in
thousands
Schedule
of
Investments
SAM
Strategic
Growth
Portfolio
June
30,
2019
(unaudited)
See
accompanying
notes.
81
INVESTMENT
COMPANIES
-
100.03%
Shares
Held
Value
(000's)
Money
Market
Funds
-
0.40%
Principal
Government
Money
Market
Fund
2.23%
(a),(b)
1,170,922‌
$
1,171‌
Principal
Exchange-Traded
Funds
-
20.24%
Principal
Active
Global
Dividend
Income
ETF
(a)
578,000‌
16,190‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
(a)
1,056,500‌
30,734‌
Principal
U.S.
Small-Cap
Multi-Factor
Index
ETF
(a)
389,100‌
12,229‌
$
59,153‌
Principal
Funds,
Inc.
Class
R-6
-
60.69%
Blue
Chip
Fund
(a)
1,774,136‌
45,205‌
Diversified
International
Fund
(a)
5,139,556‌
63,217‌
EDGE
MidCap
Fund
(a)
1,352,814‌
19,413‌
Global
Real
Estate
Securities
Fund
(a)
1,535,045‌
15,734‌
International
Small
Company
Fund
(a)
686,168‌
7,397‌
LargeCap
Growth
Fund
I
(a)
697,491‌
10,978‌
Origin
Emerging
Markets
Fund
(a)
1,432,984‌
15,405‌
$
177,349‌
Principal
Variable
Contracts
Funds,
Inc.
Class
1
-
18.70%
Equity
Income
Account
(a)
2,042,277‌
54,651‌
TOTAL
INVESTMENT
COMPANIES
$
292,324‌
Total
Investments
$
292,324‌
Other
Assets
and
Liabilities
-  (0.03)%
(77‌)
TOTAL
NET
ASSETS
-
100.00%
$
292,247‌
(a)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(b)
Current
yield
shown
is
as
of
period
end.
Portfolio
Summary
(unaudited)
Fund
Type
Percent
Domestic
Equity
Funds
59.27‌%
Fixed
Income
Funds
21.63‌%
International
Equity
Funds
18.73‌%
Money
Market
Funds
0.40‌%
Other
Assets
and
Liabilities
(0.03‌)%
TOTAL
NET
ASSETS
100.00%
Affiliated
Securities
December
31,
2018
Purchases
(a)
Sales
(a)
June
30,
2019
Value
Cost
Proceeds
Value
Blue
Chip
Fund
$
37,817‌
$
636‌
$
2,950‌
$
45,205‌
Diversified
International
Fund
Class
R-6
—‌
62,051‌
1,091‌
63,217‌
Diversified
International
Fund
Institutional
Class
48,705‌
809‌
54,608‌
—‌
EDGE
MidCap
Fund
16,394‌
620‌
809‌
19,413‌
Equity
Income
Account
48,144‌
863‌
2,479‌
54,651‌
Global
Real
Estate
Securities
Fund
14,841‌
313‌
1,704‌
15,734‌
International
Small
Company
Fund
4,479‌
2,217‌
73‌
7,397‌
LargeCap
Growth
Fund
I
—‌
11,017‌
—‌
10,978‌
Origin
Emerging
Markets
Fund
8,731‌
5,510‌
355‌
15,405‌
Principal
Active
Global
Dividend
Income
ETF
14,018‌
—‌
—‌
16,190‌
Principal
Active
Income
ETF
11,476‌
—‌
11,931‌
—‌
Principal
Government
Money
Market
Fund
2.23%
798‌
21,204‌
20,831‌
1,171‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
33,899‌
—‌
8,767‌
30,734‌
Principal
U.S.
Small-Cap
Multi-Factor
Index
ETF
10,392‌
465‌
—‌
12,229‌
Short-Term
Income
Fund
5,121‌
2,677‌
7,923‌
—‌
$
254,815‌
$
108,382‌
$
113,521‌
$
292,324‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Blue
Chip
Fund
$
—‌
$
(143‌)
$
—‌
$
9,845‌
Diversified
International
Fund
Class
R-6
—‌
(45‌)
—‌
2,302‌
Diversified
International
Fund
Institutional
Class
—‌
(42‌)
—‌
5,136‌
EDGE
MidCap
Fund
—‌
(37‌)
—‌
3,245‌
Equity
Income
Account
—‌
(97‌)
—‌
8,220‌
Global
Real
Estate
Securities
Fund
157‌
28‌
—‌
2,256‌
International
Small
Company
Fund
—‌
(2‌)
—‌
776‌
LargeCap
Growth
Fund
I
—‌
—‌
—‌
(39‌)
Origin
Emerging
Markets
Fund
—‌
(1‌)
—‌
1,520‌
Principal
Active
Global
Dividend
Income
ETF
86‌
—‌
—‌
2,172‌
Principal
Active
Income
ETF
212‌
22‌
—‌
433‌
Principal
Government
Money
Market
Fund
2.23%
14‌
—‌
—‌
—‌
Principal
U.S.
Mega-Cap
Multi-Factor
Index
ETF
206‌
661‌
—‌
4,941‌
Principal
U.S.
Small-Cap
Multi-Factor
Index
ETF
41‌
—‌
—‌
1,372‌
Short-Term
Income
Fund
69‌
72‌
—‌
53‌
$
785‌
$
416‌
$
—‌
$
42,232‌
Amounts
in
thousands
(a)
Purchases
and
Sales
include
transactions
related
to
the
transition
of
assets
from
the
Institutional
Class
to
Class
R-6.
Schedule
of
Investments
Short-Term
Income
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
82
INVESTMENT
COMPANIES
-
1.96%
Shares
Held
Value
(000's)
Money
Market
Funds
-
1.96%
BlackRock
Liquidity
FedFund
2.26%
(a),(b)
525,319‌
$
525‌
Principal
Government
Money
Market
Fund
2.23%
(a),(c)
2,044,811‌
2,045‌
$
2,570‌
TOTAL
INVESTMENT
COMPANIES
$
2,570‌
BONDS
-
97.27%
Principal
Amount
(000's)
Value
(000's)
Aerospace
&
Defense
-
1.04%
General
Dynamics
Corp
2.88%,
05/11/2020
$
200‌
$
201‌
3.00%,
05/11/2021
250‌
254‌
Northrop
Grumman
Corp
2.08%,
10/15/2020
150‌
150‌
Rockwell
Collins
Inc
3.20%,
03/15/2024
250‌
257‌
United
Technologies
Corp
1.50%,
11/01/2019
400‌
399‌
1.90%,
05/04/2020
100‌
100‌
$
1,361‌
Airlines
-
0.60%
American
Airlines
2013-2
Class
A
Pass
Through
Trust
4.95%,
07/15/2024
260‌
273‌
Continental
Airlines
2009-2
Class
A
Pass
Through
Trust
7.25%,
05/10/2021
181‌
183‌
Delta
Air
Lines
2009-1
Class
A
Pass
Through
Trust
7.75%,
06/17/2021
111‌
113‌
Delta
Air
Lines
2012-1
Class
A
Pass
Through
Trust
4.75%,
11/07/2021
215‌
219‌
$
788‌
Automobile
Asset
Backed
Securities
-
9.11%
AmeriCredit
Automobile
Receivables
Trust
2015-2
3.00%,
06/08/2021
792‌
793‌
AmeriCredit
Automobile
Receivables
Trust
2017-4
1.83%,
05/18/2021
11‌
11‌
Americredit
Automobile
Receivables
Trust
2018-1
3.07%,
12/19/2022
250‌
252‌
Americredit
Automobile
Receivables
Trust
2018-2
3.15%,
03/20/2023
200‌
203‌
Americredit
Automobile
Receivables
Trust
2018-3
3.11%,
01/18/2022
405‌
406‌
Americredit
Automobile
Receivables
Trust
2019-1
2.93%,
06/20/2022
300‌
301‌
2.97%,
11/20/2023
200‌
203‌
Americredit
Automobile
Receivables
Trust
2019-2
2.28%,
01/18/2024
400‌
401‌
2.43%,
09/19/2022
200‌
200‌
Bank
of
The
West
Auto
Trust
2017-1
1.78%,
02/15/2021
(d)
23‌
23‌
Bank
of
The
West
Auto
Trust
2018-1
3.09%,
04/15/2021
(d)
344‌
344‌
Capital
Auto
Receivables
Asset
Trust
2018-1
2.54%,
10/20/2020
(d)
94‌
94‌
Capital
Auto
Receivables
Asset
Trust
2018-2
3.02%,
02/22/2021
(d)
449‌
450‌
3.27%,
06/20/2023
(d)
250‌
252‌
CPS
Auto
Receivables
Trust
2014-C
3.77%,
08/17/2020
(d)
56‌
56‌
CPS
Auto
Receivables
Trust
2017-D
1.87%,
03/15/2021
(d)
4‌
4‌
CPS
Auto
Receivables
Trust
2018-A
2.16%,
05/17/2021
(d)
40‌
40‌
CPS
Auto
Receivables
Trust
2018-B
2.72%,
09/15/2021
(d)
128‌
128‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Automobile
Asset
Backed
Securities
(continued)
CPS
Auto
Receivables
Trust
2018-D
3.06%,
01/18/2022
(d)
$
350‌
$
351‌
CPS
Auto
Receivables
Trust
2019-A
3.18%,
06/15/2022
(d)
192‌
193‌
CPS
Auto
Receivables
Trust
2019-B
2.89%,
05/16/2022
(d)
228‌
229‌
CPS
Auto
Trust
2.87%,
09/15/2021
(d)
223‌
223‌
Ford
Credit
Auto
Owner
Trust
2015-REV2
2.44%,
01/15/2027
(d)
173‌
173‌
Ford
Credit
Auto
Owner
Trust
2016-REV2
2.03%,
12/15/2027
(d)
750‌
748‌
Ford
Credit
Auto
Owner
Trust
2017-REV1
2.62%,
08/15/2028
(d)
500‌
506‌
Ford
Credit
Auto
Owner
Trust
2018-REV2
3.47%,
01/15/2030
(d)
400‌
419‌
Ford
Credit
Auto
Owner
Trust
2019-REV1
3.52%,
07/15/2030
(d)
300‌
314‌
OneMain
Direct
Auto
Receivables
Trust
2017-2
2.31%,
12/14/2021
(d)
296‌
296‌
OneMain
Direct
Auto
Receivables
Trust
2018-1
3.43%,
12/16/2024
(d)
500‌
507‌
OneMain
Direct
Auto
Receivables
Trust
2019-1
3.63%,
09/14/2027
(d)
750‌
776‌
Santander
Drive
Auto
Receivables
Trust
2018-3
2.78%,
03/15/2021
39‌
39‌
Santander
Drive
Auto
Receivables
Trust
2018-4
2.73%,
04/15/2021
47‌
47‌
3.01%,
03/15/2022
200‌
200‌
Santander
Drive
Auto
Receivables
Trust
2018-5
2.97%,
07/15/2021
236‌
236‌
Santander
Drive
Auto
Receivables
Trust
2019-1
2.91%,
01/18/2022
200‌
200‌
TCF
Auto
Receivables
Owner
Trust
2016-PT1
1.93%,
06/15/2022
(d)
233‌
232‌
Toyota
Auto
Loan
Extended
Note
Trust
2019-1
2.56%,
11/25/2031
(d)
250‌
253‌
Westlake
Automobile
Receivables
Trust
2018-1
2.24%,
12/15/2020
(d)
80‌
80‌
Westlake
Automobile
Receivables
Trust
2018-2
2.84%,
09/15/2021
(d)
92‌
92‌
3.20%,
01/16/2024
(d)
200‌
201‌
Westlake
Automobile
Receivables
Trust
2018-3
2.98%,
01/18/2022
(d)
235‌
236‌
3.32%,
10/16/2023
(d)
300‌
303‌
Westlake
Automobile
Receivables
Trust
2019-1
3.51%,
05/16/2022
(d)
300‌
302‌
3.81%,
10/17/2022
(d)
350‌
354‌
World
Omni
Select
Auto
Trust
2018-1
3.24%,
04/15/2022
(d)
265‌
266‌
$
11,937‌
Automobile
Floor
Plan
Asset
Backed
Securities
-
1.46%
Ally
Master
Owner
Trust
2.70%,
01/17/2023
500‌
503‌
3.29%,
05/15/2023
500‌
511‌
Navistar
Financial
Dealer
Note
Master
Owner
Trust
II
3.03%,
09/25/2023
(d)
250‌
250‌
1.00
x
1
Month
USD
LIBOR
+
0.63%
Volvo
Financial
Equipment
Master
Owner
Trust
2.89%,
11/15/2022
(d)
250‌
251‌
1.00
x
1
Month
USD
LIBOR
+
0.50%
2.91%,
07/17/2023
(d)
400‌
401‌
1.00
x
1
Month
USD
LIBOR
+
0.52%
$
1,916‌
Automobile
Manufacturers
-
1.24%
Daimler
Finance
North
America
LLC
1.75%,
10/30/2019
(d)
350‌
349‌
Schedule
of
Investments
Short-Term
Income
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
83
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Automobile
Manufacturers
(continued)
General
Motors
Financial
Co
Inc
3.44%,
04/09/2021
$
300‌
$
300‌
3
Month
USD
LIBOR
+
0.85%
PACCAR
Financial
Corp
2.20%,
09/15/2019
323‌
323‌
3.10%,
05/10/2021
250‌
254‌
Toyota
Motor
Credit
Corp
2.60%,
01/11/2022
400‌
404‌
$
1,630‌
Banks
-
18.76%
Bank
of
America
Corp
2.50%,
10/21/2022
500‌
501‌
2.63%,
10/19/2020
250‌
251‌
3.00%,
12/20/2023
(e)
430‌
438‌
3
Month
USD
LIBOR
+
0.79%
3.75%,
01/20/2023
350‌
354‌
3
Month
USD
LIBOR
+
1.16%
4.20%,
08/26/2024
500‌
531‌
Bank
of
New
York
Mellon
Corp/The
2.50%,
04/15/2021
300‌
302‌
3.63%,
10/30/2023
500‌
509‌
3
Month
USD
LIBOR
+
1.05%
BB&T
Corp
2.05%,
05/10/2021
200‌
199‌
3.24%,
04/01/2022
100‌
101‌
3
Month
USD
LIBOR
+
0.65%
BNP
Paribas
SA
3.50%,
03/01/2023
(d)
250‌
257‌
Branch
Banking
&
Trust
Co
2.10%,
01/15/2020
600‌
599‌
2.63%,
01/15/2022
600‌
604‌
Capital
One
NA
3.21%,
09/13/2019
500‌
500‌
3
Month
USD
LIBOR
+
0.77%
3.73%,
01/30/2023
600‌
605‌
3
Month
USD
LIBOR
+
1.15%
Citigroup
Inc
2.70%,
03/30/2021
900‌
905‌
3.50%,
05/15/2023
250‌
258‌
3.54%,
04/25/2022
200‌
202‌
3
Month
USD
LIBOR
+
0.96%
4.00%,
08/05/2024
274‌
289‌
4.04%,
06/01/2024
(e)
250‌
264‌
3
Month
USD
LIBOR
+
1.02%
Credit
Suisse
Group
AG
4.21%,
06/12/2024
(d),(e)
500‌
525‌
3
Month
USD
LIBOR
+
1.24%
Fifth
Third
Bancorp
2.60%,
06/15/2022
600‌
604‌
3.65%,
01/25/2024
200‌
210‌
4.30%,
01/16/2024
400‌
427‌
Fifth
Third
Bank/Cincinnati
OH
1.63%,
09/27/2019
250‌
250‌
2.25%,
06/14/2021
300‌
300‌
Goldman
Sachs
Group
Inc
/The
2.30%,
12/13/2019
400‌
400‌
3.00%,
04/26/2022
950‌
959‌
3.75%,
04/23/2020
400‌
402‌
3
Month
USD
LIBOR
+
1.16%
HSBC
Holdings
PLC
3.95%,
05/18/2024
(e)
250‌
262‌
3
Month
USD
LIBOR
+
0.99%
ING
Groep
NV
3.15%,
03/29/2022
450‌
458‌
JPMorgan
Chase
&
Co
2.30%,
08/15/2021
250‌
250‌
3.48%,
04/25/2023
500‌
502‌
3
Month
USD
LIBOR
+
0.90%
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Banks
(continued)
JPMorgan
Chase
&
Co  
(continued)
3.81%,
10/24/2023
$
500‌
$
508‌
3
Month
USD
LIBOR
+
1.23%
4.25%,
10/15/2020
750‌
768‌
KeyBank
NA/Cleveland
OH
2.40%,
06/09/2022
400‌
401‌
3.30%,
02/01/2022
250‌
257‌
KeyCorp
5.10%,
03/24/2021
488‌
510‌
Morgan
Stanley
3.10%,
02/10/2021
300‌
300‌
3
Month
USD
LIBOR
+
0.55%
3.98%,
10/24/2023
1,400‌
1,427‌
3
Month
USD
LIBOR
+
1.40%
4.10%,
05/22/2023
300‌
316‌
PNC
Bank
NA
2.00%,
05/19/2020
500‌
499‌
2.70%,
11/01/2022
600‌
606‌
3.08%,
07/27/2022
400‌
401‌
3
Month
USD
LIBOR
+
0.50%
PNC
Financial
Services
Group
Inc
/The
3.90%,
04/29/2024
150‌
158‌
Royal
Bank
of
Scotland
Group
PLC
4.27%,
03/22/2025
(e)
250‌
259‌
3
Month
USD
LIBOR
+
1.76%
State
Street
Corp
3.10%,
05/15/2023
688‌
706‌
SunTrust
Bank/Atlanta
GA
2.45%,
08/01/2022
600‌
602‌
3.17%,
08/02/2022
250‌
250‌
3
Month
USD
LIBOR
+
0.59%
SunTrust
Banks
Inc
2.90%,
03/03/2021
500‌
504‌
UBS
AG/London
2.20%,
06/08/2020
(d)
500‌
499‌
UBS
Group
Funding
Switzerland
AG
3.49%,
05/23/2023
(d)
300‌
308‌
US
Bancorp
3.60%,
09/11/2024
350‌
368‌
US
Bank
NA/Cincinnati
OH
2.00%,
01/24/2020
400‌
399‌
2.05%,
10/23/2020
300‌
299‌
Wells
Fargo
&
Co
3.07%,
01/24/2023
1,000‌
1,016‌
$
24,579‌
Beverages
-
1.03%
Anheuser-Busch
InBev
Worldwide
Inc
4.15%,
01/23/2025
500‌
542‌
Keurig
Dr
Pepper
Inc
3.55%,
05/25/2021
250‌
255‌
PepsiCo
Inc
1.35%,
10/04/2019
350‌
349‌
2.15%,
10/14/2020
200‌
200‌
$
1,346‌
Biotechnology
-
1.55%
Amgen
Inc
2.20%,
05/11/2020
200‌
200‌
2.65%,
05/11/2022
400‌
403‌
Biogen
Inc
2.90%,
09/15/2020
500‌
502‌
Celgene
Corp
3.25%,
08/15/2022
250‌
257‌
3.63%,
05/15/2024
350‌
367‌
Gilead
Sciences
Inc
1.85%,
09/20/2019
300‌
300‌
$
2,029‌
Schedule
of
Investments
Short-Term
Income
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
84
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Building
Materials
-
0.51%
Martin
Marietta
Materials
Inc
2.89%,
12/20/2019
$
300‌
$
300‌
3
Month
USD
LIBOR
+
0.50%
4.25%,
07/02/2024
349‌
370‌
$
670‌
Chemicals
-
1.06%
Air
Liquide
Finance
SA
1.75%,
09/27/2021
(d)
250‌
247‌
Celanese
US
Holdings
LLC
3.50%,
05/08/2024
200‌
206‌
Chevron
Phillips
Chemical
Co
LLC
/
Chevron
Phillips
Chemical
Co
LP
2.45%,
05/01/2020
(d)
168‌
168‌
3.30%,
05/01/2023
(d)
200‌
204‌
DuPont
de
Nemours
Inc
3.63%,
11/15/2023
250‌
252‌
3
Month
USD
LIBOR
+
1.11%
International
Flavors
&
Fragrances
Inc
3.40%,
09/25/2020
100‌
101‌
Westlake
Chemical
Corp
3.60%,
07/15/2022
200‌
204‌
$
1,382‌
Commercial
Mortgage
Backed
Securities
-
1.20%
Ginnie
Mae
0.46%,
09/16/2055
(f),(g)
2,809‌
84‌
0.68%,
01/16/2054
(f),(g)
2,597‌
84‌
0.70%,
10/16/2054
(f),(g)
3,197‌
100‌
0.84%,
02/16/2055
(f),(g)
5,388‌
172‌
0.87%,
01/16/2055
(f),(g)
5,535‌
218‌
0.90%,
06/16/2045
(f),(g)
933‌
47‌
1.37%,
12/16/2036
(f),(g)
1,970‌
101‌
GS
Mortgage
Securities
Trust
2017-GS6
1.95%,
05/10/2050
443‌
440‌
JPMDB
Commercial
Mortgage
Securities
Trust
2016-C4
1.54%,
12/15/2049
327‌
323‌
$
1,569‌
Computers
-
0.77%
Apple
Inc
1.90%,
02/07/2020
200‌
200‌
2.50%,
02/09/2022
150‌
152‌
International
Business
Machines
Corp
2.25%,
02/19/2021
250‌
250‌
2.80%,
05/13/2021
200‌
202‌
3.00%,
05/15/2024
200‌
205‌
$
1,009‌
Diversified
Financial
Services
-
1.25%
American
Express
Co
2.75%,
05/20/2022
200‌
202‌
3.00%,
02/22/2021
250‌
253‌
3.70%,
11/05/2021
150‌
154‌
Capital
One
Financial
Corp
3.90%,
01/29/2024
100‌
105‌
GTP
Acquisition
Partners
I
LLC
2.35%,
06/15/2045
(d)
721‌
719‌
USAA
Capital
Corp
2.63%,
06/01/2021
(d)
200‌
202‌
$
1,635‌
Electric
-
5.49%
Alabama
Power
Co
2.45%,
03/30/2022
250‌
251‌
Alliant
Energy
Finance
LLC
3.75%,
06/15/2023
(d)
200‌
208‌
Black
Hills
Corp
4.25%,
11/30/2023
500‌
529‌
CenterPoint
Energy
Inc
3.60%,
11/01/2021
300‌
308‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Electric
(continued)
Dominion
Energy
Inc
2.58%,
07/01/2020
$
200‌
$
200‌
2.72%,
08/15/2021
(g)
200‌
200‌
2.96%,
07/01/2019
(g)
650‌
650‌
3.07%,
08/15/2024
(g)
200‌
202‌
DTE
Energy
Co
2.60%,
06/15/2022
200‌
201‌
Duke
Energy
Florida
LLC
1.85%,
01/15/2020
400‌
399‌
3.10%,
08/15/2021
250‌
254‌
Emera
US
Finance
LP
2.70%,
06/15/2021
300‌
301‌
Exelon
Corp
3.50%,
06/01/2022
500‌
512‌
Fortis
Inc
/Canada
2.10%,
10/04/2021
633‌
628‌
Indiantown
Cogeneration
LP
9.77%,
12/15/2020
96‌
99‌
LG&E
&
KU
Energy
LLC
4.38%,
10/01/2021
310‌
321‌
NextEra
Energy
Capital
Holdings
Inc
2.90%,
04/01/2022
150‌
153‌
3.15%,
04/01/2024
150‌
154‌
Public
Service
Enterprise
Group
Inc
2.88%,
06/15/2024
100‌
101‌
San
Diego
Gas
&
Electric
Co
1.91%,
02/01/2022
87‌
85‌
Sempra
Energy
2.40%,
02/01/2020
250‌
250‌
3.10%,
01/15/2021
500‌
498‌
3
Month
USD
LIBOR
+
0.50%
Southern
California
Edison
Co
1.85%,
02/01/2022
177‌
174‌
Tucson
Electric
Power
Co
3.05%,
03/15/2025
100‌
101‌
WEC
Energy
Group
Inc
3.38%,
06/15/2021
400‌
408‌
$
7,187‌
Electronics
-
0.53%
Fortive
Corp
2.35%,
06/15/2021
300‌
299‌
Honeywell
International
Inc
1.85%,
11/01/2021
400‌
398‌
$
697‌
Environmental
Control
-
0.08%
Waste
Management
Inc
2.95%,
06/15/2024
100‌
103‌
Finance
-
Mortgage
Loan/Banker
-
8.82%
Fannie
Mae
1.38%,
02/26/2021
500‌
496‌
1.88%,
12/28/2020
1,000‌
1,000‌
1.88%,
09/24/2026
2,400‌
2,375‌
2.00%,
01/05/2022
500‌
503‌
2.00%,
10/05/2022
1,000‌
1,007‌
2.38%,
01/19/2023
1,000‌
1,020‌
2.50%,
02/05/2024
(h)
500‌
515‌
2.63%,
09/06/2024
1,500‌
1,556‌
2.88%,
09/12/2023
500‌
521‌
Freddie
Mac
2.38%,
02/16/2021
1,000‌
1,009‌
2.75%,
06/19/2023
1,500‌
1,553‌
$
11,555‌
Food
-
1.34%
Conagra
Brands
Inc
3.34%,
10/22/2020
250‌
250‌
3
Month
USD
LIBOR
+
0.75%
3.80%,
10/22/2021
100‌
103‌
Schedule
of
Investments
Short-Term
Income
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
85
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Food
(continued)
Kraft
Heinz
Foods
Co
3.12%,
02/10/2021
$
400‌
$
399‌
3
Month
USD
LIBOR
+
0.57%
4.00%,
06/15/2023
150‌
157‌
Mondelez
International
Holdings
Netherlands
BV
1.63%,
10/28/2019
(d)
500‌
498‌
Tyson
Foods
Inc
2.25%,
08/23/2021
150‌
150‌
2.97%,
08/21/2020
200‌
200‌
3
Month
USD
LIBOR
+
0.45%
$
1,757‌
Healthcare
-
Services
-
0.59%
Cigna
Holding
Co
4.00%,
02/15/2022
100‌
104‌
Humana
Inc
2.50%,
12/15/2020
100‌
100‌
Roche
Holdings
Inc
2.67%,
09/30/2019
(d)
323‌
323‌
3
Month
USD
LIBOR
+
0.34%
UnitedHealth
Group
Inc
1.95%,
10/15/2020
250‌
249‌
$
776‌
Housewares
-
0.16%
Newell
Brands
Inc
3.85%,
04/01/2023
200‌
203‌
Insurance
-
3.91%
Allstate
Corp/The
2.96%,
03/29/2023
250‌
249‌
3
Month
USD
LIBOR
+
0.63%
Berkshire
Hathaway
Inc
2.75%,
03/15/2023
500‌
508‌
Five
Corners
Funding
Trust
4.42%,
11/15/2023
(d)
750‌
804‌
MassMutual
Global
Funding
II
1.55%,
10/11/2019
(d)
350‌
349‌
2.00%,
04/15/2021
(d)
450‌
449‌
Metropolitan
Life
Global
Funding
I
1.95%,
09/15/2021
(d)
470‌
466‌
2.84%,
06/12/2020
(d)
250‌
251‌
3
Month
USD
LIBOR
+
0.40%
2.99%,
09/07/2020
(d)
250‌
251‌
United
States
Secured
Overnight
Financing
Rate
+
0.57%
New
York
Life
Global
Funding
1.95%,
02/11/2020
(d)
400‌
399‌
2.00%,
04/13/2021
(d)
400‌
399‌
2.97%,
06/10/2022
(d)
1,000‌
1,003‌
3
Month
USD
LIBOR
+
0.52%
$
5,128‌
Internet
-
0.21%
Amazon.com
Inc
2.60%,
12/05/2019
273‌
273‌
Machinery
-
Construction
&
Mining
-
0.23%
Caterpillar
Financial
Services
Corp
2.55%,
11/29/2022
300‌
304‌
Machinery
-
Diversified
-
0.27%
John
Deere
Capital
Corp
2.05%,
03/10/2020
350‌
350‌
Media
-
0.19%
Comcast
Corp
3.30%,
10/01/2020
250‌
253‌
Mining
-
0.16%
Glencore
Funding
LLC
4.13%,
05/30/2023
(d)
200‌
208‌
Miscellaneous
Manufacturers
-
0.77%
General
Electric
Co
5.50%,
01/08/2020
150‌
152‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Miscellaneous
Manufacturers
(continued)
Ingersoll-Rand
Global
Holding
Co
Ltd
2.90%,
02/21/2021
$
500‌
$
503‌
Siemens
Financieringsmaatschappij
NV
2.20%,
03/16/2020
(d)
350‌
350‌
$
1,005‌
Mortgage
Backed
Securities
-
8.93%
Alternative
Loan
Trust
2004-J8
6.00%,
02/25/2017
4‌
4‌
CHL
Mortgage
Pass-Through
Trust
2003-46
4.32%,
01/19/2034
(g)
32‌
32‌
Credit
Suisse
First
Boston
Mortgage
Securities
Corp
5.00%,
09/25/2019
1‌
1‌
CSFB
Mortgage-Backed
Pass-Through
Certificates
Series
2004-AR4
3.36%,
05/25/2034
12‌
12‌
1.00
x
1
Month
USD
LIBOR
+
0.96%
CSMC
2017-HL1
Trust
3.50%,
06/25/2047
(d),(g)
492‌
497‌
CSMC
2017-HL2
Trust
3.50%,
10/25/2047
(d),(g)
413‌
419‌
JP
Morgan
Mortgage
Trust
2004-A3
4.66%,
07/25/2034
(g)
20‌
20‌
JP
Morgan
Mortgage
Trust
2004-S1
5.00%,
09/25/2034
29‌
29‌
JP
Morgan
Mortgage
Trust
2016-4
3.50%,
10/25/2046
(d),(g)
556‌
564‌
JP
Morgan
Mortgage
Trust
2017-2
3.50%,
05/25/2047
(d),(g)
372‌
378‌
JP
Morgan
Mortgage
Trust
2017-4
3.50%,
11/25/2048
(d),(g)
380‌
385‌
JP
Morgan
Mortgage
Trust
2017-6
3.50%,
12/25/2048
(d),(g)
205‌
208‌
JP
Morgan
Mortgage
Trust
2018-3
3.50%,
09/25/2048
(d),(g)
431‌
437‌
JP
Morgan
Mortgage
Trust
2018-4
3.50%,
10/25/2048
(d),(g)
259‌
262‌
JP
Morgan
Mortgage
Trust
2018-6
3.50%,
12/25/2048
(d),(g)
337‌
342‌
JP
Morgan
Mortgage
Trust
2019-2
4.00%,
08/25/2049
(d),(g)
333‌
338‌
JP
Morgan
Mortgage
Trust
2019-5
4.00%,
11/25/2049
(d),(g)
500‌
509‌
PHH
Mortgage
Trust
Series
2008-CIM1
5.22%,
06/25/2038
83‌
83‌
1.00
x
1
Month
USD
LIBOR
+
2.25%
Prime
Mortgage
Trust
2005-2
5.25%,
07/25/2020
29‌
29‌
Provident
Funding
Mortgage
Loan
Trust
2005-1
2.98%,
05/25/2035
76‌
76‌
1.00
x
1
Month
USD
LIBOR
+
0.58%
PSMC
2018-1
Trust
3.50%,
02/25/2048
(d),(g)
695‌
706‌
PSMC
2018-2
Trust
3.50%,
06/25/2048
(d),(g)
458‌
466‌
PSMC
2018-3
Trust
4.00%,
08/25/2048
(d),(g)
737‌
753‌
PSMC
2018-4
Trust
4.00%,
11/25/2048
(d),(g)
628‌
637‌
RALI
Series
2003-QS23
Trust
5.00%,
12/26/2018
1‌
1‌
RBSSP
Resecuritization
Trust
2009-7
2.83%,
06/26/2037
(d)
15‌
15‌
1.00
x
1
Month
USD
LIBOR
+
0.40%
Sequoia
Mortgage
Trust
2013-4
1.55%,
04/25/2043
(g)
41‌
40‌
Sequoia
Mortgage
Trust
2013-8
2.25%,
06/25/2043
(g)
272‌
268‌
Schedule
of
Investments
Short-Term
Income
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
86
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Mortgage
Backed
Securities
(continued)
Sequoia
Mortgage
Trust
2017-1
3.50%,
02/25/2047
(d),(g)
$
390‌
$
397‌
Sequoia
Mortgage
Trust
2017-2
3.50%,
02/25/2047
(d),(g)
189‌
192‌
Sequoia
Mortgage
Trust
2017-3
3.50%,
04/25/2047
(d),(g)
337‌
342‌
Sequoia
Mortgage
Trust
2018-3
3.50%,
03/25/2048
(d),(g)
253‌
257‌
Sequoia
Mortgage
Trust
2018-5
3.50%,
05/25/2048
(d),(g)
432‌
439‌
Sequoia
Mortgage
Trust
2018-6
4.00%,
07/25/2048
(d),(g)
164‌
167‌
Sequoia
Mortgage
Trust
2018-7
4.00%,
09/25/2048
(d),(g)
201‌
206‌
Sequoia
Mortgage
Trust
2018-8
4.00%,
11/25/2048
(d),(g)
614‌
625‌
Sequoia
Mortgage
Trust
2018-CH3
4.00%,
08/25/2048
(d),(g)
164‌
166‌
Sequoia
Mortgage
Trust
2019-1
4.00%,
02/25/2049
(d),(g)
159‌
162‌
Wells
Fargo
Mortgage
Backed
Securities
2018-1
3.50%,
07/25/2047
(d),(g)
370‌
376‌
Wells
Fargo
Mortgage
Backed
Securities
2019-1
Trust
4.00%,
11/25/2048
(d),(g)
433‌
440‌
4.00%,
11/25/2048
(d),(g)
416‌
421‌
$
11,701‌
Oil
&
Gas
-
1.24%
Chevron
Corp
2.90%,
03/03/2024
250‌
258‌
Cimarex
Energy
Co
4.38%,
06/01/2024
250‌
265‌
Phillips
66
3.35%,
04/15/2020
(d)
300‌
300‌
3
Month
USD
LIBOR
+
0.75%
Shell
International
Finance
BV
2.13%,
05/11/2020
505‌
505‌
2.38%,
08/21/2022
300‌
302‌
$
1,630‌
Oil
&
Gas
Services
-
0.19%
Baker
Hughes
a
GE
Co
LLC
/
Baker
Hughes
Co-
Obligor
Inc
2.77%,
12/15/2022
250‌
253‌
Other
Asset
Backed
Securities
-
6.96%
CCG
Receivables
Trust
2.80%,
09/14/2026
(d)
500‌
503‌
CCG
Receivables
Trust
2018-1
2.50%,
06/16/2025
(d)
63‌
63‌
CCG
Receivables
Trust
2018-2
3.09%,
12/15/2025
(d)
468‌
472‌
Daimler
Trucks
Retail
Trust
2019-1
2.77%,
04/15/2021
(d)
650‌
651‌
Drug
Royalty
II
LP
2
3.48%,
07/15/2023
(d)
96‌
96‌
Drug
Royalty
III
LP
1
3.98%,
04/15/2027
(d)
65‌
65‌
4.27%,
10/15/2031
(d)
227‌
233‌
5.29%,
04/15/2027
(d)
144‌
145‌
1.00
x
3
Month
USD
LIBOR
+
2.50%
MMAF
Equipment
Finance
LLC
2018-A
2.92%,
07/12/2021
(d)
169‌
170‌
MMAF
Equipment
Finance
LLC
2019-A
2.84%,
01/10/2022
(d)
400‌
402‌
MVW
Owner
Trust
2015-1
2.52%,
12/20/2032
(d)
210‌
209‌
MVW
Owner
Trust
2016-1
2.25%,
12/20/2033
(d)
179‌
177‌
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Other
Asset
Backed
Securities
(continued)
MVW
Owner
Trust
2018-1
3.45%,
01/21/2036
(d)
$
412‌
$
424‌
PFS
Financing
Corp
2.40%,
10/17/2022
(d)
300‌
301‌
2.86%,
10/15/2021
(d)
200‌
200‌
1.00
x
1
Month
USD
LIBOR
+
0.47%
2.86%,
04/15/2024
(d)
250‌
253‌
3.19%,
04/17/2023
(d)
250‌
254‌
Verizon
Owner
Trust
2016-1
1.42%,
01/20/2021
(d)
41‌
41‌
Verizon
Owner
Trust
2016-2
1.68%,
05/20/2021
(d)
374‌
373‌
Verizon
Owner
Trust
2017-1
2.06%,
09/20/2021
(d)
177‌
177‌
Verizon
Owner
Trust
2017-2
1.92%,
12/20/2021
(d)
750‌
748‌
Verizon
Owner
Trust
2017-3
2.06%,
04/20/2022
(d)
300‌
300‌
Verizon
Owner
Trust
2018-1
2.82%,
09/20/2022
(d)
500‌
503‌
Verizon
Owner
Trust
2018-A
3.23%,
04/20/2023
600‌
612‌
Verizon
Owner
Trust
2019-A
2.93%,
09/20/2023
500‌
509‌
Verizon
Owner
Trust
2019-B
2.33%,
12/20/2023
500‌
501‌
Volvo
Financial
Equipment
LLC
Series
2018-1
2.26%,
09/15/2020
(d)
101‌
101‌
2.76%,
10/17/2022
(d)
100‌
101‌
Volvo
Financial
Equipment
LLC
Series
2019-1
3.00%,
03/15/2023
(d)
300‌
305‌
VSE
2018-A
Voi
Mortgage
LLC
3.56%,
02/20/2036
(d)
218‌
227‌
$
9,116‌
Packaging
&
Containers
-
0.15%
Packaging
Corp
of
America
2.45%,
12/15/2020
200‌
200‌
Pharmaceuticals
-
1.68%
AbbVie
Inc
2.30%,
05/14/2021
200‌
199‌
2.50%,
05/14/2020
336‌
336‌
Bayer
US
Finance
II
LLC
3.88%,
12/15/2023
(d)
200‌
208‌
Bristol-Myers
Squibb
Co
2.90%,
07/26/2024
(d)
150‌
153‌
Cigna
Corp
3.40%,
09/17/2021
(d)
389‌
397‌
CVS
Health
Corp
3.13%,
03/09/2020
200‌
201‌
Mead
Johnson
Nutrition
Co
3.00%,
11/15/2020
250‌
252‌
Merck
&
Co
Inc
2.90%,
03/07/2024
200‌
207‌
Pfizer
Inc
2.80%,
03/11/2022
250‌
254‌
$
2,207‌
Pipelines
-
2.36%
Buckeye
Partners
LP
4.15%,
07/01/2023
400‌
389‌
Columbia
Pipeline
Group
Inc
3.30%,
06/01/2020
168‌
169‌
Enterprise
Products
Operating
LLC
3.50%,
02/01/2022
500‌
513‌
Florida
Gas
Transmission
Co
LLC
3.88%,
07/15/2022
(d)
250‌
257‌
Kinder
Morgan
Inc
/DE
3.88%,
01/15/2023
500‌
505‌
3
Month
USD
LIBOR
+
1.28%
Schedule
of
Investments
Short-Term
Income
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
87
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Pipelines
(continued)
ONEOK
Partners
LP
5.00%,
09/15/2023
$
325‌
$
351‌
Southeast
Supply
Header
LLC
4.25%,
06/15/2024
(d)
200‌
207‌
TransCanada
PipeLines
Ltd
4.73%,
05/15/2067
900‌
694‌
3
Month
USD
LIBOR
+
2.21%
$
3,085‌
REITs
-
1.79%
Alexandria
Real
Estate
Equities
Inc
2.75%,
01/15/2020
250‌
250‌
3.90%,
06/15/2023
250‌
262‌
CubeSmart
LP
4.38%,
12/15/2023
92‌
97‌
Healthcare
Realty
Trust
Inc
3.75%,
04/15/2023
365‌
373‌
Hospitality
Properties
Trust
4.50%,
06/15/2023
200‌
207‌
Omega
Healthcare
Investors
Inc
4.95%,
04/01/2024
250‌
265‌
SBA
Tower
Trust
2.88%,
07/15/2046
(d)
150‌
150‌
3.17%,
04/09/2047
(d)
400‌
403‌
Welltower
Inc
3.75%,
03/15/2023
80‌
84‌
4.95%,
01/15/2021
250‌
258‌
$
2,349‌
Retail
-
0.96%
Home
Depot
Inc
/The
1.80%,
06/05/2020
500‌
498‌
McDonald's
Corp
2.75%,
12/09/2020
500‌
503‌
Walmart
Inc
1.75%,
10/09/2019
100‌
100‌
1.90%,
12/15/2020
150‌
150‌
$
1,251‌
Savings
&
Loans
-
0.00%
Washington
Mutual
Bank
/
Henderson
NV
0.00%,
01/15/2013
(
i
)
200‌
2‌
Semiconductors
-
0.96%
Broadcom
Corp
/
Broadcom
Cayman
Finance
Ltd
2.38%,
01/15/2020
600‌
599‌
3.00%,
01/15/2022
200‌
200‌
Microchip
Technology
Inc
4.33%,
06/01/2023
200‌
209‌
QUALCOMM
Inc
2.60%,
01/30/2023
250‌
251‌
$
1,259‌
Software
-
1.07%
Microsoft
Corp
1.10%,
08/08/2019
250‌
250‌
1.85%,
02/12/2020
400‌
399‌
Oracle
Corp
1.90%,
09/15/2021
200‌
199‌
2.25%,
10/08/2019
250‌
250‌
VMware
Inc
2.95%,
08/21/2022
300‌
302‌
$
1,400‌
Student
Loan
Asset
Backed
Securities
-
5.76%
Commonbond
Student
Loan
Trust
2018-BGS
3.56%,
09/25/2045
(d)
320‌
329‌
Commonbond
Student
Loan
Trust
2018-C-GS
3.87%,
02/25/2046
(d)
313‌
324‌
Keycorp
Student
Loan
Trust
2000-b
2.89%,
07/25/2029
388‌
384‌
1.00
x
3
Month
USD
LIBOR
+
0.31%
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Student
Loan
Asset
Backed
Securities
(continued)
KeyCorp
Student
Loan
Trust
2003-A
3.11%,
01/25/2037
$
653‌
$
641‌
1.00
x
3
Month
USD
LIBOR
+
0.53%
Navient
Private
Education
Loan
Trust
2014-CT
3.09%,
09/16/2024
(d)
53‌
53‌
1.00
x
1
Month
USD
LIBOR
+
0.70%
Navient
Private
Education
Loan
Trust
2017-A
2.79%,
12/16/2058
(d)
61‌
61‌
1.00
x
1
Month
USD
LIBOR
+
0.40%
Navient
Private
Education
Loan
Trust
2018-B
2.74%,
12/15/2059
(d)
106‌
106‌
1.00
x
1
Month
USD
LIBOR
+
0.35%
Navient
Private
Education
Refi
Loan
Trust
2018-A
2.53%,
02/18/2042
(d)
234‌
234‌
Navient
Private
Education
Refi
Loan
Trust
2018-C
3.01%,
06/16/2042
(d)
164‌
166‌
Navient
Private
Education
Refi
Loan
Trust
2018-D
2.69%,
12/15/2059
(d)
222‌
222‌
1.00
x
1
Month
USD
LIBOR
+
0.30%
Navient
Private
Education
Refi
Loan
Trust
2019-A
3.03%,
01/15/2043
(d)
87‌
87‌
3.42%,
01/15/2043
(d)
100‌
103‌
Navient
Private
Education
Refi
Loan
Trust
2019-C
2.82%,
02/15/2068
(d)
500‌
503‌
Navient
Private
Education
Refi
Loan
Trust
2019-D
2.77%,
12/15/2059
(d)
250‌
250‌
1.00
x
1
Month
USD
LIBOR
+
0.40%
Navient
Student
Loan
Trust
2018-EA
3.43%,
12/15/2059
(d)
792‌
802‌
Navient
Student
Loan
Trust
2019-B
2.79%,
12/15/2059
(d)
214‌
213‌
1.00
x
1
Month
USD
LIBOR
+
0.40%
SLM
Private
Credit
Student
Loan
Trust
2002-A
2.96%,
12/16/2030
302‌
302‌
1.00
x
3
Month
USD
LIBOR
+
0.55%
SLM
Private
Credit
Student
Loan
Trust
2004-A
2.81%,
06/15/2033
126‌
125‌
1.00
x
3
Month
USD
LIBOR
+
0.40%
SLM
Private
Credit
Student
Loan
Trust
2004-B
2.74%,
03/15/2024
385‌
384‌
1.00
x
3
Month
USD
LIBOR
+
0.33%
SLM
Private
Credit
Student
Loan
Trust
2006-A
2.70%,
06/15/2039
769‌
747‌
1.00
x
3
Month
USD
LIBOR
+
0.29%
SLM
Private
Credit
Student
Loan
Trust
2006-B
2.61%,
12/15/2039
302‌
295‌
1.00
x
3
Month
USD
LIBOR
+
0.20%
SLM
Private
Education
Loan
Trust
2013-B
1.85%,
06/17/2030
(d)
42‌
42‌
SMB
Private
Education
Loan
Trust
2017-B
2.66%,
06/17/2024
(d)
63‌
63‌
1.00
x
1
Month
USD
LIBOR
+
0.27%
SMB
Private
Education
Loan
Trust
2018-A
2.74%,
03/16/2026
(d)
394‌
394‌
1.00
x
1
Month
USD
LIBOR
+
0.35%
SMB
Private
Education
Loan
Trust
2018-B
2.71%,
12/16/2024
(d)
128‌
128‌
1.00
x
1
Month
USD
LIBOR
+
0.32%
SMB
Private
Education
Loan
Trust
2018-C
2.69%,
09/15/2025
(d)
136‌
136‌
1.00
x
1
Month
USD
LIBOR
+
0.30%
Schedule
of
Investments
Short-Term
Income
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
88
BONDS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
Student
Loan
Asset
Backed
Securities
(continued)
SMB
Private
Education
Loan
Trust
2019-A
2.74%,
02/16/2026
(d)
$
197‌
$
197‌
1.00
x
1
Month
USD
LIBOR
+
0.35%
SMB
Private
Education
Loan
Trust
2019-B
2.76%,
07/15/2026
(d)
250‌
250‌
1.00
x
1
Month
USD
LIBOR
+
0.35%
$
7,541‌
Telecommunications
-
2.42%
AT&T
Inc
3.42%,
02/15/2023
250‌
247‌
3
Month
USD
LIBOR
+
0.89%
3.60%,
02/17/2023
200‌
208‌
Cisco
Systems
Inc
2.20%,
02/28/2021
250‌
250‌
Crown
Castle
Towers
LLC
3.22%,
05/15/2022
(d)
272‌
275‌
Sprint
Spectrum
Co
LLC
/
Sprint
Spectrum
Co
II
LLC
/
Sprint
Spectrum
Co
III
LLC
3.36%,
03/20/2023
(d)
422‌
422‌
4.74%,
03/20/2025
(d)
950‌
986‌
Verizon
Communications
Inc
3.07%,
05/22/2020
200‌
201‌
3
Month
USD
LIBOR
+
0.55%
Vodafone
Group
PLC
3.75%,
01/16/2024
550‌
575‌
$
3,164‌
Transportation
-
0.31%
Ryder
System
Inc
2.25%,
09/01/2021
200‌
199‌
3.75%,
06/09/2023
200‌
208‌
$
407‌
Trucking
&
Leasing
-
0.16%
Penske
Truck
Leasing
Co
Lp
/
PTL
Finance
Corp
3.45%,
07/01/2024
(d)
200‌
206‌
TOTAL
BONDS
$
127,421‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
-
1.25%
Principal
Amount
(000's)
Value
(000's)
Federal
Home
Loan
Mortgage
Corporation
(FHLMC)
-
0.01%
4.76%,
09/01/2035
11‌
12‌
1.00
x
US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
2.25%
$
12‌
Federal
National
Mortgage
Association
(FNMA)
-
0.08%
4.17%,
04/01/2033
27‌
28‌
1.00
x
6
Month
USD
LIBOR
+
1.51%
4.40%,
07/01/2034
15‌
16‌
1.00
x
12
Month
USD
LIBOR
+
1.65%
4.42%,
08/01/2034
6‌
6‌
1.00
x
12
Month
USD
LIBOR
+
1.63%
4.57%,
02/01/2037
21‌
22‌
1.00
x
US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
2.10%
4.77%,
12/01/2032
4‌
4‌
1.00
x
12
Month
USD
LIBOR
+
1.64%
4.79%,
11/01/2032
3‌
3‌
1.00
x
US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
2.29%
4.87%,
01/01/2035
7‌
7‌
1.00
x
12
Month
USD
LIBOR
+
1.75%
4.89%,
02/01/2035
3‌
3‌
1.00
x
6
Month
USD
LIBOR
+
2.07%
5.00%,
12/01/2033
12‌
12‌
1.00
x
6
Month
USD
LIBOR
+
2.25%
8.00%,
05/01/2027
5‌
6‌
$
107‌
Government
National
Mortgage
Association
(GNMA)
-
0.00%
10.00%,
06/15/2020
1‌
1‌
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
(continued)
Principal
Amount
(000’s)
Value
(000’s)
U.S.
Treasury
-
1.16%
1.63%,
05/15/2026
$
900‌
$
886‌
2.63%,
05/15/2021
500‌
507‌
2.63%,
06/15/2021
125‌
127‌
$
1,520‌
TOTAL
U.S.
GOVERNMENT
&
GOVERNMENT
AGENCY
OBLIGATIONS
$
1,640‌
Total
Investments
$
131,631‌
Other
Assets
and
Liabilities
-  (0.48)%
(635‌)
TOTAL
NET
ASSETS
-
100.00%
$
130,996‌
(a)
Current
yield
shown
is
as
of
period
end.
(b)
Security
or
a
portion
of
the
security
was
pledged
as
collateral
for
securities
lending.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$525
or
0.40%
of
net
assets.
(c)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
(d)
Security
exempt
from
registration
under
Rule
144A
of
the
Securities
Act
of
1933.
These
securities
may
be
resold
in
transactions
exempt
from
registration,
normally
to
qualified
institutional
buyers.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$46,010
or
35.12%
of
net
assets.
(e)
Rate
shown
is
as
of
period
end.
The
rate
may
be
a
variable
or
floating
rate
or
a
fixed
rate
which
may
convert
to
a
variable
or
floating
rate
in
the
future.
(f)
Security
is
an
Interest
Only
Strip.
(g)
Certain
variable
rate
securities
are
not
based
on
a
published
reference
rate
and
spread
but
are
determined
by
the
issuer
or
agent
and
are
based
on
current
market
conditions.  These
securities
do
not
indicate
a
reference
rate
and
spread
in
their
description.
Rate
shown
is
the
rate
in
effect
as
of
period
end.
(h)
Security
or
a
portion
of
the
security
was
on
loan
at
the
end
of
the
period.
(
i
)
Non-income
producing
security
Portfolio
Summary
(unaudited)
Sector
Percent
Financial
25.71‌%
Asset
Backed
Securities
23.29‌%
Mortgage
Securities
10.22‌%
Government
9.98‌%
Consumer,
Non-cyclical
6.19‌%
Utilities
5.49‌%
Industrial
4.05‌%
Energy
3.79‌%
Consumer,
Cyclical
2.96‌%
Communications
2.82‌%
Technology
2.80‌%
Money
Market
Funds
1.96‌%
Basic
Materials
1.22‌%
Other
Assets
and
Liabilities
(0.48‌)%
TOTAL
NET
ASSETS
100.00%
Schedule
of
Investments
Short-Term
Income
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
89
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Principal
Government
Money
Market
Fund
2.23%
$
4,856‌
$
31,310‌
$
34,121‌
$
2,045‌
$
4,856‌
$
31,310‌
$
34,121‌
$
2,045‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Principal
Government
Money
Market
Fund
2.23%
$
32‌
$
—‌
$
—‌
$
—‌
$
32‌
$
—‌
$
—‌
$
—‌
Amounts
in
thousands
Schedule
of
Investments
SmallCap
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
90
COMMON
STOCKS
-
95.68%
Shares
Held
Value
(000's)
Aerospace
&
Defense
-
1.35%
Aerojet
Rocketdyne
Holdings
Inc
(a)
57,900‌
$
2,592‌
Agriculture
-
1.18%
Darling
Ingredients
Inc
(a)
113,800‌
2,264‌
Automobile
Parts
&
Equipment
-
0.79%
Modine
Manufacturing
Co
(a)
48,300‌
691‌
Visteon
Corp
(a)
14,200‌
832‌
$
1,523‌
Banks
-
8.08%
Atlantic
Union
Bankshares
Corp
38,000‌
1,343‌
BancFirst
Corp
10,200‌
568‌
Cathay
General
Bancorp
67,700‌
2,431‌
First
Interstate
BancSystem
Inc
29,800‌
1,180‌
First
Merchants
Corp
32,400‌
1,228‌
Flagstar
Bancorp
Inc
35,800‌
1,186‌
Franklin
Financial
Network
Inc
21,700‌
605‌
Great
Western
Bancorp
Inc
40,400‌
1,443‌
IBERIABANK
Corp
33,340‌
2,529‌
Independent
Bank
Corp/MI
21,900‌
477‌
Lakeland
Bancorp
Inc
23,150‌
374‌
United
Community
Banks
Inc
/GA
75,120‌
2,145‌
$
15,509‌
Biotechnology
-
3.71%
Acceleron
Pharma
Inc
(a)
18,600‌
764‌
Allogene
Therapeutics
Inc
(a),(b)
21,700‌
583‌
Bluebird
Bio
Inc
(a)
6,100‌
776‌
Denali
Therapeutics
Inc
(a)
33,000‌
685‌
DNIB
Unwind
Inc
-
Warrants
(a),(c),(d)
1,938‌
—‌
FibroGen
Inc
(a)
20,700‌
935‌
Insmed
Inc
(a)
34,700‌
888‌
MacroGenics
Inc
(a)
32,200‌
547‌
Magenta
Therapeutics
Inc
(a)
35,800‌
528‌
Precision
BioSciences
Inc
(a)
20,076‌
266‌
Seattle
Genetics
Inc
(a)
11,952‌
827‌
Spark
Therapeutics
Inc
(a)
3,215‌
329‌
$
7,128‌
Chemicals
-
0.81%
Cabot
Corp
32,560‌
1,553‌
Commercial
Services
-
6.71%
AMN
Healthcare
Services
Inc
(a)
48,900‌
2,653‌
Brink's
Co/The
25,600‌
2,078‌
HMS
Holdings
Corp
(a)
72,300‌
2,342‌
ICF
International
Inc
23,700‌
1,725‌
K12
Inc
(a)
56,500‌
1,718‌
Korn
Ferry
24,300‌
974‌
Medifast
Inc
10,760‌
1,381‌
$
12,871‌
Computers
-
3.98%
CACI
International
Inc
(a)
13,800‌
2,823‌
ExlService
Holdings
Inc
(a)
23,500‌
1,554‌
Perspecta
Inc
85,800‌
2,009‌
PlayAGS
Inc
(a)
43,315‌
843‌
Tenable
Holdings
Inc
(a)
14,510‌
414‌
$
7,643‌
Consumer
Products
-
0.56%
Central
Garden
&
Pet
Co
-
A
Shares
(a)
43,720‌
1,077‌
Diversified
Financial
Services
-
3.21%
Hamilton
Lane
Inc
23,546‌
1,343‌
LPL
Financial
Holdings
Inc
12,100‌
987‌
Piper
Jaffray
Cos
18,650‌
1,385‌
Stifel
Financial
Corp
41,495‌
2,451‌
$
6,166‌
Electric
-
2.86%
PNM
Resources
Inc
53,180‌
2,707‌
Portland
General
Electric
Co
51,500‌
2,790‌
$
5,497‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Electrical
Components
&
Equipment
-
1.14%
EnerSys
26,300‌
$
1,802‌
nLight
Inc
(a)
19,890‌
382‌
$
2,184‌
Electronics
-
2.75%
Advanced
Energy
Industries
Inc
(a)
29,500‌
1,660‌
SYNNEX
Corp
22,500‌
2,214‌
Vishay
Intertechnology
Inc
84,713‌
1,399‌
$
5,273‌
Engineering
&
Construction
-
2.74%
BrightView
Holdings
Inc
(a)
73,700‌
1,379‌
MasTec
Inc
(a)
54,700‌
2,819‌
Tutor
Perini
Corp
(a)
75,800‌
1,051‌
$
5,249‌
Entertainment
-
2.44%
Eldorado
Resorts
Inc
(a)
53,300‌
2,456‌
Golden
Entertainment
Inc
(a)
47,600‌
666‌
Vail
Resorts
Inc
7,000‌
1,562‌
$
4,684‌
Environmental
Control
-
2.95%
Advanced
Disposal
Services
Inc
(a)
72,708‌
2,320‌
Energy
Recovery
Inc
(a)
45,810‌
478‌
Tetra
Tech
Inc
36,400‌
2,859‌
$
5,657‌
Forest
Products
&
Paper
-
0.19%
PH
Glatfelter
Co
21,900‌
370‌
Gas
-
1.47%
Southwest
Gas
Holdings
Inc
31,350‌
2,810‌
Healthcare
-
Products
-
1.63%
Adaptive
Biotechnologies
Corp
(a)
9,000‌
435‌
Nevro
Corp
(a)
23,520‌
1,525‌
RA
Medical
Systems
Inc
(a),(b)
62,600‌
226‌
STAAR
Surgical
Co
(a)
32,300‌
949‌
$
3,135‌
Healthcare
-
Services
-
4.71%
Addus
HomeCare
Corp
(a)
19,300‌
1,446‌
Encompass
Health
Corp
33,600‌
2,129‌
Natera
Inc
(a)
32,880‌
907‌
Syneos
Health
Inc
(a)
60,300‌
3,081‌
Teladoc
Health
Inc
(a)
22,200‌
1,474‌
$
9,037‌
Holding
Companies
-
Diversified
-
0.63%
Capitol
Investment
Corp
IV
(a)
118,700‌
1,214‌
Home
Builders
-
1.05%
William
Lyon
Homes
(a)
110,960‌
2,023‌
Insurance
-
4.20%
Hanover
Insurance
Group
Inc
/The
18,600‌
2,387‌
Kemper
Corp
26,510‌
2,288‌
MGIC
Investment
Corp
(a)
155,200‌
2,039‌
National
General
Holdings
Corp
58,383‌
1,339‌
$
8,053‌
Internet
-
1.14%
Anaplan
Inc
(a)
11,514‌
581‌
Eventbrite
Inc
(a),(b)
52,600‌
852‌
Revolve
Group
Inc
(a),(b)
21,998‌
759‌
$
2,192‌
Iron
&
Steel
-
0.82%
Cleveland-Cliffs
Inc
(b)
77,000‌
822‌
Reliance
Steel
&
Aluminum
Co
7,910‌
748‌
$
1,570‌
Leisure
Products
&
Services
-
2.00%
OneSpaWorld
Holdings
Ltd
(a)
90,600‌
1,404‌
Planet
Fitness
Inc
(a)
33,600‌
2,434‌
$
3,838‌
Lodging
-
1.10%
Extended
Stay
America
Inc
125,300‌
2,116‌
Schedule
of
Investments
SmallCap
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
91
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Machinery
-
Diversified
-
2.07%
Altra
Industrial
Motion
Corp
79,400‌
$
2,849‌
Columbus
McKinnon
Corp/NY
26,677‌
1,120‌
$
3,969‌
Media
-
0.65%
World
Wrestling
Entertainment
Inc
17,200‌
1,242‌
Metal
Fabrication
&
Hardware
-
1.42%
Rexnord
Corp
(a)
90,030‌
2,721‌
Mining
-
0.23%
Alcoa
Corp
(a)
19,040‌
446‌
Miscellaneous
Manufacturers
-
1.05%
Hillenbrand
Inc
33,050‌
1,308‌
Trinseo
SA
16,830‌
712‌
$
2,020‌
Oil
&
Gas
-
2.29%
Carrizo
Oil
&
Gas
Inc
(a)
72,000‌
722‌
Delek
US
Holdings
Inc
53,400‌
2,164‌
Mammoth
Energy
Services
Inc
60,364‌
415‌
Ring
Energy
Inc
(a)
126,800‌
412‌
Whiting
Petroleum
Corp
(a),(b)
36,100‌
674‌
$
4,387‌
Oil
&
Gas
Services
-
0.63%
Pioneer
Energy
Services
Corp
(a)
146,800‌
37‌
Select
Energy
Services
Inc
(a)
101,200‌
1,175‌
$
1,212‌
Packaging
&
Containers
-
0.74%
Graphic
Packaging
Holding
Co
102,100‌
1,427‌
Pharmaceuticals
-
2.75%
Array
BioPharma
Inc
(a)
43,300‌
2,006‌
Bellicum
Pharmaceuticals
Inc
(a)
56,800‌
97‌
Clovis
Oncology
Inc
(a)
11,080‌
165‌
DexCom
Inc
(a)
2,900‌
434‌
Horizon
Therapeutics
Plc
(a)
73,200‌
1,761‌
Neurocrine
Biosciences
Inc
(a)
3,100‌
262‌
Revance
Therapeutics
Inc
(a)
43,047‌
558‌
$
5,283‌
REITs
-
7.91%
Agree
Realty
Corp
39,400‌
2,524‌
Brandywine
Realty
Trust
150,600‌
2,157‌
Cousins
Properties
Inc
60,601‌
2,192‌
First
Industrial
Realty
Trust
Inc
85,780‌
3,151‌
Ladder
Capital
Corp
90,400‌
1,501‌
Pebblebrook
Hotel
Trust
98,320‌
2,771‌
Two
Harbors
Investment
Corp
69,460‌
880‌
$
15,176‌
Retail
-
3.53%
BJ's
Wholesale
Club
Holdings
Inc
(a)
87,800‌
2,318‌
Caleres
Inc
73,240‌
1,459‌
Carvana
Co
(a),(b)
32,400‌
2,028‌
Ruth's
Hospitality
Group
Inc
42,510‌
965‌
$
6,770‌
Savings
&
Loans
-
0.25%
Berkshire
Hills
Bancorp
Inc
15,400‌
483‌
Semiconductors
-
1.58%
Aquantia
Corp
(a)
34,530‌
450‌
Entegris
Inc
69,000‌
2,575‌
$
3,025‌
Software
-
5.36%
Alteryx
Inc
(a)
12,390‌
1,352‌
Aspen
Technology
Inc
(a)
20,100‌
2,498‌
Ceridian
HCM
Holding
Inc
(a)
12,881‌
647‌
Manhattan
Associates
Inc
(a)
34,000‌
2,357‌
Pluralsight
Inc
(a)
20,400‌
619‌
Smartsheet
Inc
(a)
17,709‌
857‌
SolarWinds
Corp
(a)
107,088‌
1,964‌
$
10,294‌
COMMON
STOCKS
(continued)
Shares
Held
Value
(000’s)
Telecommunications
-
1.02%
Plantronics
Inc
44,500‌
$
1,648‌
Switch
Inc
(b)
23,800‌
312‌
$
1,960‌
TOTAL
COMMON
STOCKS
$
183,643‌
INVESTMENT
COMPANIES
-
3.34%
Shares
Held
Value
(000's)
Money
Market
Funds
-
3.34%
BlackRock
Liquidity
FedFund
2.26%
(e),(f)
2,897,154‌
2,897‌
Principal
Government
Money
Market
Fund
2.23%
(e),(g)
3,510,432‌
3,510‌
$
6,407‌
TOTAL
INVESTMENT
COMPANIES
$
6,407‌
Total
Investments
$
190,050‌
Other
Assets
and
Liabilities
-  0.98%
1,883‌
TOTAL
NET
ASSETS
-
100.00%
$
191,933‌
(a)
Non-income
producing
security
(b)
Security
or
a
portion
of
the
security
was
on
loan
at
the
end
of
the
period.
(c)
The
value
of
these
investments
was
determined
using
significant
unobservable
inputs.
(d)
Fair
value
of
these
investments
is
determined
in
good
faith
by
the
Manager
under
procedures
established
and
periodically
reviewed
by
the
Board
of
Directors.
Certain
inputs
used
in
the
valuation
may
be
unobservable;
however,
each
security
is
evaluated
individually
for
purposes
of
ASC
820
which
results
in
not
all
securities
being
identified
as
Level
3
of
the
fair
value
hierarchy.
At
the
end
of
the
period,
the
fair
value
of
these
securities
totaled
$0
or
0.00%
of
net
assets.
(e)
Current
yield
shown
is
as
of
period
end.
(f)
Security
or
a
portion
of
the
security
was
pledged
as
collateral
for
securities
lending.
At
the
end
of
the
period,
the
value
of
these
securities
totaled
$2,897
or
1.51%
of
net
assets.
(g)
Affiliated
Security.
Security
is
either
an
affiliate
(and
registered
under
the
Investment
Company
Act
of
1940)
or
an
affiliate
as
defined
by
the
Investment
Company
Act
of
1940
(controls
5.0%
or
more
of
the
outstanding
voting
shares
of
the
security).
Please
see
affiliated
sub-schedule
for
transactional
information.
Portfolio
Summary
(unaudited)
Sector
Percent
Financial
23.65‌%
Consumer,
Non-cyclical
21.25‌%
Industrial
16.21‌%
Technology
10.92‌%
Consumer,
Cyclical
10.91‌%
Utilities
4.33‌%
Money
Market
Funds
3.34‌%
Energy
2.92‌%
Communications
2.81‌%
Basic
Materials
2.05‌%
Diversified
0.63‌%
Other
Assets
and
Liabilities
0.98‌%
TOTAL
NET
ASSETS
100.00%
Schedule
of
Investments
SmallCap
Account
June
30,
2019
(unaudited)
See
accompanying
notes.
92
Affiliated
Securities
December
31,
2018
Purchases
Sales
June
30,
2019
Value
Cost
Proceeds
Value
Principal
Government
Money
Market
Fund
2.23%
$
1,443‌
$
25,344‌
$
23,277‌
$
3,510‌
$
1,443‌
$
25,344‌
$
23,277‌
$
3,510‌
Income
Realized
Gain/Loss
on
Investments
Realized
Gain
from
Capital
Gain
Distributions
Change
in
Unrealized
Gain/Loss
Principal
Government
Money
Market
Fund
2.23%
$
3
9‌
$
—‌
$
—‌
$
—‌
$
3
9‌
$
—‌
$
—‌
$
—‌
Amounts
in
thousands
Glossary
to
the
Schedule
of
Investments
June
30,
2019
(unaudited)
See
accompanying
notes.
93
Currency
Abbreviations
USD/$
United
States
Dollar
See
accompanying
notes.
94
Financial
Highlights
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Selected
data
for
a
share
of
Capital
Stock
outstanding
throughout
each
year
ended
December
31
(except
as
noted):
Net
Asset
Value,
Beginning
of
Period
Net
Investment
Income
(Loss)
(a)
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
Total
From
Investment
Operations
Dividends
from
Net
Investment
Income
Total
Dividends
and
Distributions
Net
Asset
Value,
End
of
Period
CORE
PLUS
BOND
ACCOUNT
Class
1
shares
2019(c)
$
10
.81‌
$
0
.18‌
$
0
.59‌
$
0
.77‌
$
–‌
$
–‌
$
11
.58‌
2018
11
.35‌
0
.36‌
(
0
.52‌
)
(
0
.16‌
)
(
0
.38‌
)
(
0
.38‌
)
10
.81‌
2017
11
.15‌
0
.35‌
0
.18‌
0
.53‌
(
0
.33‌
)
(
0
.33‌
)
11
.35‌
2016
11
.05‌
0
.32‌
0
.14‌
0
.46‌
(
0
.36‌
)
(
0
.36‌
)
11
.15‌
2015
11
.46‌
0
.32‌
(
0
.37‌
)
(
0
.05‌
)
(
0
.36‌
)
(
0
.36‌
)
11
.05‌
2014
11
.24‌
0
.31‌
0
.28‌
0
.59‌
(
0
.37‌
)
(
0
.37‌
)
11
.46‌
DIVERSIFIED
INTERNATIONAL
ACCOUNT
Class
1
shares
2019(c)
13
.72‌
0
.20‌
1
.82‌
2
.02‌
–‌
–‌
15
.74‌
2018
17
.01‌
0
.31‌
(
3
.25‌
)
(
2
.94‌
)
(
0
.35‌
)
(
0
.35‌
)
13
.72‌
2017
13
.42‌
0
.21‌
3
.67‌
3
.88‌
(
0
.29‌
)
(
0
.29‌
)
17
.01‌
2016
13
.68‌
0
.24‌
(
0
.18‌
)
0
.06‌
(
0
.32‌
)
(
0
.32‌
)
13
.42‌
2015
14
.08‌
0
.26‌
(
0
.29‌
)
(
0
.03‌
)
(
0
.37‌
)
(
0
.37‌
)
13
.68‌
2014
14
.87‌
0
.24‌
(
0
.70‌
)
(
0
.46‌
)
(
0
.33‌
)
(
0
.33‌
)
14
.08‌
(a)
(b)
(c)
(d)
(e)
(f)
See
accompanying
notes.
95
Financial
Highlights
(Continued)
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Total
Return(b)
Net
Assets,
End
of
Period
(in
thousands)
Ratio
of
Expenses
to
Average
Net
Assets
Ratio
of
Net
Investment
Income
to
Average
Net
Assets
Portfolio
Turnover
Rate
7
.12‌
%
(d)
$
321,822‌
0
.46‌
%
(e)
3
.18‌
%
(e)
169
.2‌
%
(e)
(
1
.41‌
)
280,760‌
0
.47‌
3
.27‌
127
.5‌
4
.81‌
293,662‌
0
.46‌
3
.08‌
123
.5‌
4
.09‌
292,436‌
0
.46‌
2
.79‌
155
.1‌
(
0
.48‌
)
290,032‌
0
.46‌
2
.80‌
177
.2‌
5
.24‌
321,735‌
0
.45‌
2
.74‌
205
.6‌
14
.80‌
(d)
,(f)
259,415‌
0
.92‌
(e)
2
.64‌
(e)
49
.9‌
(e)
(
17
.54‌
)
233,612‌
0
.91‌
1
.91‌
59
.3‌
29
.06‌
292,975‌
0
.91‌
1
.37‌
42
.8‌
0
.36‌
243,997‌
0
.91‌
1
.77‌
56
.8‌
(
0
.35‌
)
273,300‌
0
.88‌
1
.80‌
48
.2‌
(
3
.21‌
)
429,194‌
0
.86‌
1
.64‌
62
.1‌
(a)
Calculated
based
on
average
shares
outstanding
during
the
period.
(b)
Total
return
does
not
reflect
charges
attributable
to separate
accounts. 
Inclusion
of
these
charges
would
reduce
the
amounts
shown. 
(c)
Six
months
ended
June
30,
2019.
(d)
Total
return
amounts
have
not
been
annualized.
(e)
Computed
on
an
annualized
basis.
(f)
Total
return
is
calculated
using
the
traded
net
asset
value
which
may
differ
from
the
reported
net
asset
value.
The
traded
net
asset
value
is
the
net
asset
value
which
a
shareholder
would
have
paid
or
received
from
a
subscription
or
redemption.
See
accompanying
notes.
96
Financial
Highlights
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Selected
data
for
a
share
of
Capital
Stock
outstanding
throughout
each
year
ended
December
31
(except
as
noted):
Net
Asset
Value,
Beginning
of
Period
Net
Investment
Income
(Loss)(a)
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
Total
From
Investment
Operations
Dividends
from
Net
Investment
Income
Distributions
from
Realized
Gains
Total
Dividends
and
Distributions
Net
Asset
Value,
End
of
Period
EQUITY
INCOME
ACCOUNT
Class
1
shares
2019(c)
$
22
.86‌
$
0
.29‌
$
3
.61‌
$
3
.90‌
$
–‌
$
–‌
$
–‌
$
26
.76‌
2018
26
.08‌
0
.64‌
(
1
.72‌
)
(
1
.08‌
)
(
0
.52‌
)
(
1
.62‌
)
(
2
.14‌
)
22
.86‌
2017
23
.20‌
0
.56‌
4
.14‌
4
.70‌
(
0
.58‌
)
(
1
.24‌
)
(
1
.82‌
)
26
.08‌
2016
21
.67‌
0
.57‌
2
.77‌
3
.34‌
(
0
.64‌
)
(
1
.17‌
)
(
1
.81‌
)
23
.20‌
2015
23
.12‌
0
.58‌
(
1
.46‌
)
(
0
.88‌
)
(
0
.57‌
)
–‌
(
0
.57‌
)
21
.67‌
2014
21
.00‌
0
.57‌
2
.09‌
2
.66‌
(
0
.54‌
)
–‌
(
0
.54‌
)
23
.12‌
Class
2
shares
2019(c)
22
.66‌
0
.25‌
3
.58‌
3
.83‌
–‌
–‌
–‌
26
.49‌
2018
25
.87‌
0
.57‌
(
1
.70‌
)
(
1
.13‌
)
(
0
.46‌
)
(
1
.62‌
)
(
2
.08‌
)
22
.66‌
2017
23
.03‌
0
.49‌
4
.11‌
4
.60‌
(
0
.52‌
)
(
1
.24‌
)
(
1
.76‌
)
25
.87‌
2016
21
.52‌
0
.51‌
2
.75‌
3
.26‌
(
0
.58‌
)
(
1
.17‌
)
(
1
.75‌
)
23
.03‌
2015
22
.96‌
0
.52‌
(
1
.45‌
)
(
0
.93‌
)
(
0
.51‌
)
–‌
(
0
.51‌
)
21
.52‌
2014
20
.87‌
0
.51‌
2
.07‌
2
.58‌
(
0
.49‌
)
–‌
(
0
.49‌
)
22
.96‌
GOVERNMENT
&
HIGH
QUALITY
BOND
ACCOUNT
Class
1
shares
2019(c)
9
.47‌
0
.12‌
0
.30‌
0
.42‌
–‌
–‌
–‌
9
.89‌
2018
9
.76‌
0
.23‌
(
0
.15‌
)
0
.08‌
(
0
.37‌
)
–‌
(
0
.37‌
)
9
.47‌
2017
9
.98‌
0
.31‌
(
0
.12‌
)
0
.19‌
(
0
.41‌
)
–‌
(
0
.41‌
)
9
.76‌
2016
10
.16‌
0
.33‌
(
0
.14‌
)
0
.19‌
(
0
.37‌
)
–‌
(
0
.37‌
)
9
.98‌
2015
10
.44‌
0
.27‌
(
0
.19‌
)
0
.08‌
(
0
.35‌
)
(
0
.01‌
)
(
0
.36‌
)
10
.16‌
2014
10
.33‌
0
.27‌
0
.25‌
0
.52‌
(
0
.41‌
)
–‌
(
0
.41‌
)
10
.44‌
(a)
(b)
(c)
(d)
(e)
See
accompanying
notes.
97
Financial
Highlights
(Continued)
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Total
Return(b)
Net
Assets,
End
of
Period
(in
thousands)
Ratio
of
Expenses
to
Average
Net
Assets
Ratio
of
Net
Investment
Income
to
Average
Net
Assets
Portfolio
Turnover
Rate
17
.06‌
%
(d)
$
704,246‌
0
.48‌
%
(e)
2
.30‌
%
(e)
16
.4‌
%
(e)
(
5
.01‌
)
636,177‌
0
.49‌
2
.47‌
13
.2‌
21
.08‌
572,629‌
0
.50‌
2
.26‌
15
.9‌
15
.72‌
525,829‌
0
.50‌
2
.54‌
17
.1‌
(
3
.93‌
)
513,126‌
0
.49‌
2
.54‌
10
.7‌
12
.80‌
599,407‌
0
.48‌
2
.57‌
11
.6‌
16
.90‌
(d)
28,459‌
0
.73‌
(e)
2
.05‌
(e)
16
.4‌
(e)
(
5
.24‌
)
25,207‌
0
.74‌
2
.23‌
13
.2‌
20
.77‌
27,469‌
0
.75‌
2
.00‌
15
.9‌
15
.43‌
24,197‌
0
.75‌
2
.29‌
17
.1‌
(
4
.15‌
)
23,215‌
0
.74‌
2
.29‌
10
.7‌
12
.46‌
25,491‌
0
.73‌
2
.32‌
11
.6‌
4
.44‌
(d)
224,915‌
0
.51‌
(e)
2
.45‌
(e)
11
.2‌
(e)
0
.91‌
219,612‌
0
.51‌
2
.43‌
17
.4‌
1
.88‌
241,839‌
0
.51‌
3
.09‌
24
.3‌
1
.80‌
247,620‌
0
.51‌
3
.25‌
25
.8‌
0
.79‌
286,659‌
0
.51‌
2
.61‌
21
.9‌
5
.08‌
314,509‌
0
.51‌
2
.56‌
19
.1‌
(a)
Calculated
based
on
average
shares
outstanding
during
the
period.
(b)
Total
return
does
not
reflect
charges
attributable
to separate
accounts. 
Inclusion
of
these
charges
would
reduce
the
amounts
shown. 
(c)
Six
months
ended
June
30,
2019.
(d)
Total
return
amounts
have
not
been
annualized.
(e)
Computed
on
an
annualized
basis.
See
accompanying
notes.
98
Financial
Highlights
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Selected
data
for
a
share
of
Capital
Stock
outstanding
throughout
each
year
ended
December
31
(except
as
noted):
Net
Asset
Value,
Beginning
of
Period
Net
Investment
Income
(Loss)(a)
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
Total
From
Investment
Operations
Dividends
from
Net
Investment
Income
Distributions
from
Realized
Gains
Total
Dividends
and
Distributions
Net
Asset
Value,
End
of
Period
LARGECAP
GROWTH
ACCOUNT
I
Class
1
shares
2019(c)
$
30
.10‌
$
–‌
$
6
.71‌
$
6
.71‌
$
–‌
$
–‌
$
–‌
$
36
.81‌
2018
31
.18‌
0
.03‌
1
.41‌
1
.44‌
(
0
.01‌
)
(
2
.51‌
)
(
2
.52‌
)
30
.10‌
2017
24
.55‌
0
.01‌
8
.13‌
8
.14‌
(
0
.01‌
)
(
1
.50‌
)
(
1
.51‌
)
31
.18‌
2016
26
.33‌
0
.01‌
0
.34‌
0
.35‌
–‌
(
2
.13‌
)
(
2
.13‌
)
24
.55‌
2015
28
.70‌
0
.02‌
2
.26‌
2
.28‌
(
0
.07‌
)
(
4
.58‌
)
(
4
.65‌
)
26
.33‌
2014
32
.58‌
0
.03‌
2
.46‌
2
.49‌
(
0
.04‌
)
(
6
.33‌
)
(
6
.37‌
)
28
.70‌
MIDCAP
ACCOUNT
Class
1
shares
2019(c)
48
.53‌
0
.08‌
14
.65‌
14
.73‌
–‌
–‌
–‌
63
.26‌
2018
59
.42‌
0
.17‌
(
2
.93‌
)
(
2
.76‌
)
(
0
.17‌
)
(
7
.96‌
)
(
8
.13‌
)
48
.53‌
2017
50
.96‌
0
.19‌
12
.48‌
12
.67‌
(
0
.32‌
)
(
3
.89‌
)
(
4
.21‌
)
59
.42‌
2016
55
.24‌
0
.33‌
5
.30‌
5
.63‌
(
0
.24‌
)
(
9
.67‌
)
(
9
.91‌
)
50
.96‌
2015
60
.79‌
0
.22‌
1
.19‌
1
.41‌
(
0
.32‌
)
(
6
.64‌
)
(
6
.96‌
)
55
.24‌
2014
59
.37‌
0
.36‌
6
.96‌
7
.32‌
(
0
.32‌
)
(
5
.58‌
)
(
5
.90‌
)
60
.79‌
Class
2
shares
2019(c)
48
.19‌
0
.01‌
14
.53‌
14
.54‌
–‌
–‌
–‌
62
.73‌
2018
59
.05‌
0
.02‌
(
2
.89‌
)
(
2
.87‌
)
(
0
.03‌
)
(
7
.96‌
)
(
7
.99‌
)
48
.19‌
2017
50
.69‌
0
.05‌
12
.39‌
12
.44‌
(
0
.19‌
)
(
3
.89‌
)
(
4
.08‌
)
59
.05‌
2016
54
.97‌
0
.20‌
5
.27‌
5
.47‌
(
0
.08‌
)
(
9
.67‌
)
(
9
.75‌
)
50
.69‌
2015
60
.54‌
0
.07‌
1
.17‌
1
.24‌
(
0
.17‌
)
(
6
.64‌
)
(
6
.81‌
)
54
.97‌
2014
59
.16‌
0
.21‌
6
.93‌
7
.14‌
(
0
.18‌
)
(
5
.58‌
)
(
5
.76‌
)
60
.54‌
(a)
(b)
(c)
(d)
(e)
(f)
(g)
See
accompanying
notes.
99
Financial
Highlights
(Continued)
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Total
Return(b)
Net
Assets,
End
of
Period
(in
thousands)
Ratio
of
Expenses
to
Average
Net
Assets
Ratio
of
Net
Investment
Income
to
Average
Net
Assets
Portfolio
Turnover
Rate
22
.29‌
%
(d)
$
474,188‌
0
.73‌
%
(e)
,(f)
0
.02‌
%
(e)
34
.2‌
%
(e)
3
.60‌
296,139‌
0
.74‌
(f)
0
.08‌
36
.9‌
33
.71‌
302,147‌
0
.75‌
(f)
0
.03‌
36
.2‌
1
.26‌
244,058‌
0
.76‌
(f)
0
.04‌
36
.8‌
7
.77‌
252,386‌
0
.76‌
(f)
0
.07‌
38
.6‌
8
.61‌
239,629‌
0
.76‌
(f)
0
.11‌
38
.9‌
30
.35‌
(d)
574,637‌
0
.54‌
(e)
0
.28‌
(e)
11
.7‌
(e)
(
6
.55‌
)
474,365‌
0
.54‌
0
.29‌
24
.6‌
25
.51‌
575,104‌
0
.54‌
0
.34‌
13
.4‌
10
.37‌
576,634‌
0
.54‌
0
.62‌
13
.6‌
1
.64‌
617,437‌
0
.53‌
0
.37‌
26
.3‌
12
.99‌
676,836‌
0
.53‌
0
.60‌
21
.6‌
30
.20‌
(d)
,(g)
19,668‌
0
.79‌
(e)
0
.03‌
(e)
11
.7‌
(e)
(
6
.79‌
)
(g)
15,710‌
0
.79‌
0
.04‌
24
.6‌
25
.19‌
(g)
17,792‌
0
.79‌
0
.09‌
13
.4‌
10
.11‌
14,985‌
0
.79‌
0
.38‌
13
.6‌
1
.37‌
15,243‌
0
.78‌
0
.12‌
26
.3‌
12
.70‌
15,960‌
0
.78‌
0
.35‌
21
.6‌
(a)
Calculated
based
on
average
shares
outstanding
during
the
period.
(b)
Total
return
does
not
reflect
charges
attributable
to separate
accounts. 
Inclusion
of
these
charges
would
reduce
the
amounts
shown. 
(c)
Six
months
ended
June
30,
2019.
(d)
Total
return
amounts
have
not
been
annualized.
(e)
Computed
on
an
annualized
basis.
(f)
Reflects
Manager's
contractual
expense
limit.
(g)
Total
return
is
calculated
using
the
traded
net
asset
value
which
may
differ
from
the
reported
net
asset
value.
The
traded
net
asset
value
is
the
net
asset
value
which
a
shareholder
would
have
paid
or
received
from
a
subscription
or
redemption.
See
accompanying
notes.
100
Financial
Highlights
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Selected
data
for
a
share
of
Capital
Stock
outstanding
throughout
each
year
ended
December
31
(except
as
noted):
Net
Asset
Value,
Beginning
of
Period
Net
Investment
Income
(Loss)(a)
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
Total
From
Investment
Operations
Dividends
from
Net
Investment
Income
Distributions
from
Realized
Gains
Total
Dividends
and
Distributions
Net
Asset
Value,
End
of
Period
PRINCIPAL
CAPITAL
APPRECIATION
ACCOUNT
Class
1
shares
2019(c)
$
25
.86‌
$
0
.19‌
$
4
.82‌
$
5
.01‌
$
–‌
$
–‌
$
–‌
$
30
.87‌
2018
28
.54‌
0
.44‌
(
1
.19‌
)
(
0
.75‌
)
(
0
.34‌
)
(
1
.59‌
)
(
1
.93‌
)
25
.86‌
2017
23
.94‌
0
.28‌
4
.66‌
4
.94‌
(
0
.34‌
)
–‌
(
0
.34‌
)
28
.54‌
2016
22
.35‌
0
.30‌
1
.73‌
2
.03‌
(
0
.26‌
)
(
0
.18‌
)
(
0
.44‌
)
23
.94‌
2015
22
.31‌
0
.30‌
0
.20‌
0
.50‌
(
0
.06‌
)
(
0
.40‌
)
(
0
.46‌
)
22
.35‌
2014
24
.45‌
0
.24‌
2
.52‌
2
.76‌
(
0
.81‌
)
(
4
.09‌
)
(
4
.90‌
)
22
.31‌
Class
2
shares
2019(c)
25
.58‌
0
.15‌
4
.76‌
4
.91‌
–‌
–‌
–‌
30
.49‌
2018
28
.25‌
0
.37‌
(
1
.17‌
)
(
0
.80‌
)
(
0
.28‌
)
(
1
.59‌
)
(
1
.87‌
)
25
.58‌
2017
23
.71‌
0
.22‌
4
.60‌
4
.82‌
(
0
.28‌
)
–‌
(
0
.28‌
)
28
.25‌
2016
22
.14‌
0
.24‌
1
.72‌
1
.96‌
(
0
.21‌
)
(
0
.18‌
)
(
0
.39‌
)
23
.71‌
2015
22
.11‌
0
.23‌
0
.21‌
0
.44‌
(
0
.01‌
)
(
0
.40‌
)
(
0
.41‌
)
22
.14‌
2014
24
.27‌
0
.18‌
2
.50‌
2
.68‌
(
0
.75‌
)
(
4
.09‌
)
(
4
.84‌
)
22
.11‌
REAL
ESTATE
SECURITIES
ACCOUNT
Class
1
shares
2019(c)
17
.86‌
0
.16‌
3
.61‌
3
.77‌
–‌
–‌
–‌
21
.63‌
2018
20
.62‌
0
.37‌
(
1
.09‌
)
(
0
.72‌
)
(
0
.37‌
)
(
1
.67‌
)
(
2
.04‌
)
17
.86‌
2017
21
.30‌
0
.25‌
1
.62‌
1
.87‌
(
0
.39‌
)
(
2
.16‌
)
(
2
.55‌
)
20
.62‌
2016
22
.20‌
0
.31‌
1
.09‌
1
.40‌
(
0
.32‌
)
(
1
.98‌
)
(
2
.30‌
)
21
.30‌
2015
22
.33‌
0
.34‌
0
.57‌
0
.91‌
(
0
.34‌
)
(
0
.70‌
)
(
1
.04‌
)
22
.20‌
2014
17
.08‌
0
.29‌
5
.28‌
5
.57‌
(
0
.32‌
)
–‌
(
0
.32‌
)
22
.33‌
Class
2
shares
2019(c)
17
.92‌
0
.13‌
3
.63‌
3
.76‌
–‌
–‌
–‌
21
.68‌
2018
20
.70‌
0
.34‌
(
1
.12‌
)
(
0
.78‌
)
(
0
.33‌
)
(
1
.67‌
)
(
2
.00‌
)
17
.92‌
2017
21
.36‌
0
.19‌
1
.64‌
1
.83‌
(
0
.33‌
)
(
2
.16‌
)
(
2
.49‌
)
20
.70‌
2016
22
.29‌
0
.28‌
1
.06‌
1
.34‌
(
0
.29‌
)
(
1
.98‌
)
(
2
.27‌
)
21
.36‌
2015
22
.45‌
0
.34‌
0
.53‌
0
.87‌
(
0
.33‌
)
(
0
.70‌
)
(
1
.03‌
)
22
.29‌
2014
17
.18‌
0
.27‌
5
.27‌
5
.54‌
(
0
.27‌
)
–‌
(
0
.27‌
)
22
.45‌
(a)
(b)
(c)
(d)
(e)
(f)
(g)
(h)
See
accompanying
notes.
101
Financial
Highlights
(Continued)
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Total
Return(b)
Net
Assets,
End
of
Period
(in
thousands)
Ratio
of
Expenses
to
Average
Net
Assets
Ratio
of
Net
Investment
Income
to
Average
Net
Assets
Portfolio
Turnover
Rate
19
.37‌
%
(d)
$
142,163‌
0
.64‌
%
(e)
1
.30‌
%
(e)
51
.4‌
%
(e)
(
3
.41‌
)
128,547‌
0
.63‌
1
.52‌
44
.9‌
20
.75‌
154,472‌
0
.63‌
1
.07‌
28
.5‌
9
.11‌
147,193‌
0
.63‌
1
.31‌
33
.7‌
2
.18‌
154,732‌
0
.64‌
1
.33‌
22
.1‌
(f)
12
.45‌
33,190‌
0
.66‌
1
.02‌
8
.6‌
19
.19‌
(d)
10,752‌
0
.89‌
(e)
1
.05‌
(e)
51
.4‌
(e)
(
3
.64‌
)
(g)
8,757‌
0
.88‌
1
.28‌
44
.9‌
20
.46‌
(g)
8,526‌
0
.88‌
0
.83‌
28
.5‌
8
.85‌
7,420‌
0
.88‌
1
.06‌
33
.7‌
1
.94‌
7,517‌
0
.89‌
1
.05‌
22
.1‌
(f)
12
.19‌
6,891‌
0
.91‌
0
.77‌
8
.6‌
21
.11‌
(d)
150,767‌
0
.87‌
(e)
,(h)
1
.54‌
(e)
22
.7‌
(e)
(
4
.21‌
)
133,429‌
0
.89‌
1
.89‌
17
.3‌
9
.19‌
154,615‌
0
.89‌
1
.19‌
19
.6‌
5
.85‌
158,760‌
0
.89‌
1
.38‌
31
.3‌
4
.21‌
159,292‌
0
.89‌
1
.54‌
22
.8‌
32
.82‌
166,701‌
0
.89‌
1
.48‌
15
.7‌
20
.98‌
(d)
4,364‌
1
.12‌
(e)
,(h)
1
.31‌
(e)
22
.7‌
(e)
(
4
.47‌
)
3,493‌
1
.14‌
1
.73‌
17
.3‌
8
.94‌
2,830‌
1
.14‌
0
.89‌
19
.6‌
5
.53‌
4,215‌
1
.14‌
1
.26‌
31
.3‌
4
.00‌
1,994‌
1
.14‌
1
.56‌
22
.8‌
32
.44‌
492‌
1
.14‌
1
.37‌
15
.7‌
(a)
Calculated
based
on
average
shares
outstanding
during
the
period.
(b)
Total
return
does
not
reflect
charges
attributable
to separate
accounts. 
Inclusion
of
these
charges
would
reduce
the
amounts
shown. 
(c)
Six
months
ended
June
30,
2019.
(d)
Total
return
amounts
have
not
been
annualized.
(e)
Computed
on
an
annualized
basis.
(f)
Portfolio
turnover
rate
excludes
approximately
$1,237,000
of
purchases
from
portfolio
realignment
from
the
acquisition
of
LargeCap
Blend
Account
II.
(g)
Total
return
is
calculated
using
the
traded
net
asset
value
which
may
differ
from
the
reported
net
asset
value.
The
traded
net
asset
value
is
the
net
asset
value
which
a
shareholder
would
have
paid
or
received
from
a
subscription
or
redemption.
(h)
Reflects
Manager's
contractual
expense
limit.
See
accompanying
notes.
102
Financial
Highlights
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Selected
data
for
a
share
of
Capital
Stock
outstanding
throughout
each
year
ended
December
31
(except
as
noted):
Net
Asset
Value,
Beginning
of
Period
Net
Investment
Income
(Loss)(a)
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
Total
From
Investment
Operations
Dividends
from
Net
Investment
Income
Distributions
from
Realized
Gains
Total
Dividends
and
Distributions
Net
Asset
Value,
End
of
Period
SAM
BALANCED
PORTFOLIO
Class
1
shares
2019(c)
$
13
.90‌
$
0
.05‌
$
1
.71‌
$
1
.76‌
$
–‌
$
–‌
$
–‌
$
15
.66‌
2018
15
.89‌
0
.36‌
(
1
.07‌
)
(
0
.71‌
)
(
0
.50‌
)
(
0
.78‌
)
(
1
.28‌
)
13
.90‌
2017
14
.44‌
0
.45‌
1
.71‌
2
.16‌
(
0
.34‌
)
(
0
.37‌
)
(
0
.71‌
)
15
.89‌
2016
14
.69‌
0
.30‌
0
.70‌
1
.00‌
(
0
.32‌
)
(
0
.93‌
)
(
1
.25‌
)
14
.44‌
2015
16
.51‌
0
.30‌
(
0
.38‌
)
(
0
.08‌
)
(
0
.49‌
)
(
1
.25‌
)
(
1
.74‌
)
14
.69‌
2014
18
.53‌
0
.47‌
0
.73‌
1
.20‌
(
0
.52‌
)
(
2
.70‌
)
(
3
.22‌
)
16
.51‌
Class
2
shares
2019(c)
13
.74‌
0
.03‌
1
.69‌
1
.72‌
–‌
–‌
–‌
15
.46‌
2018
15
.72‌
0
.32‌
(
1
.06‌
)
(
0
.74‌
)
(
0
.46‌
)
(
0
.78‌
)
(
1
.24‌
)
13
.74‌
2017
14
.30‌
0
.42‌
1
.67‌
2
.09‌
(
0
.30‌
)
(
0
.37‌
)
(
0
.67‌
)
15
.72‌
2016
14
.55‌
0
.27‌
0
.69‌
0
.96‌
(
0
.28‌
)
(
0
.93‌
)
(
1
.21‌
)
14
.30‌
2015
16
.37‌
0
.26‌
(
0
.38‌
)
(
0
.12‌
)
(
0
.45‌
)
(
1
.25‌
)
(
1
.70‌
)
14
.55‌
2014
18
.39‌
0
.43‌
0
.73‌
1
.16‌
(
0
.48‌
)
(
2
.70‌
)
(
3
.18‌
)
16
.37‌
SAM
CONSERVATIVE
BALANCED
PORTFOLIO
Class
1
shares
2019(c)
11
.05‌
0
.06‌
1
.06‌
1
.12‌
–‌
–‌
–‌
12
.17‌
2018
12
.33‌
0
.34‌
(
0
.73‌
)
(
0
.39‌
)
(
0
.42‌
)
(
0
.47‌
)
(
0
.89‌
)
11
.05‌
2017
11
.50‌
0
.38‌
0
.92‌
1
.30‌
(
0
.34‌
)
(
0
.13‌
)
(
0
.47‌
)
12
.33‌
2016
11
.52‌
0
.31‌
0
.42‌
0
.73‌
(
0
.30‌
)
(
0
.45‌
)
(
0
.75‌
)
11
.50‌
2015
12
.60‌
0
.29‌
(
0
.36‌
)
(
0
.07‌
)
(
0
.41‌
)
(
0
.60‌
)
(
1
.01‌
)
11
.52‌
2014
13
.39‌
0
.41‌
0
.40‌
0
.81‌
(
0
.42‌
)
(
1
.18‌
)
(
1
.60‌
)
12
.60‌
Class
2
shares
2019(c)
10
.91‌
0
.05‌
1
.05‌
1
.10‌
–‌
–‌
–‌
12
.01‌
2018
12
.19‌
0
.31‌
(
0
.73‌
)
(
0
.42‌
)
(
0
.39‌
)
(
0
.47‌
)
(
0
.86‌
)
10
.91‌
2017
11
.38‌
0
.36‌
0
.89‌
1
.25‌
(
0
.31‌
)
(
0
.13‌
)
(
0
.44‌
)
12
.19‌
2016
11
.41‌
0
.27‌
0
.42‌
0
.69‌
(
0
.27‌
)
(
0
.45‌
)
(
0
.72‌
)
11
.38‌
2015
12
.48‌
0
.27‌
(
0
.36‌
)
(
0
.09‌
)
(
0
.38‌
)
(
0
.60‌
)
(
0
.98‌
)
11
.41‌
2014
13
.28‌
0
.38‌
0
.38‌
0
.76‌
(
0
.38‌
)
(
1
.18‌
)
(
1
.56‌
)
12
.48‌
(a)
(b)
(c)
(d)
(e)
(f)
(g)
See
accompanying
notes.
103
Financial
Highlights
(Continued)
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Total
Return(b)
Net
Assets,
End
of
Period
(in
thousands)
Ratio
of
Expenses
to
Average
Net
Assets
Ratio
of
Net
Investment
Income
to
Average
Net
Assets
Portfolio
Turnover
Rate
12
.66‌
%
(d)
$
585,362‌
0
.23‌
%
(e)
,(f)
,(g)
0
.66‌
%
(e)
29
.0‌
%
(e)
(
5
.04‌
)
561,162‌
0
.23‌
(f)
,(g)
2
.29‌
18
.2‌
15
.21‌
678,409‌
0
.23‌
(g)
2
.92‌
27
.4‌
6
.82‌
672,562‌
0
.23‌
(g)
2
.07‌
16
.5‌
(
0
.81‌
)
732,937‌
0
.23‌
(g)
1
.88‌
26
.1‌
6
.82‌
826,908‌
0
.23‌
(g)
2
.64‌
16
.4‌
12
.52‌
(d)
116,817‌
0
.48‌
(e)
,(f)
,(g)
0
.41‌
(e)
29
.0‌
(e)
(
5
.25‌
)
104,051‌
0
.48‌
(f)
,(g)
2
.10‌
18
.2‌
14
.88‌
110,129‌
0
.48‌
(g)
2
.77‌
27
.4‌
6
.62‌
97,047‌
0
.48‌
(g)
1
.88‌
16
.5‌
(
1
.08‌
)
96,511‌
0
.48‌
(g)
1
.66‌
26
.1‌
6
.59‌
99,852‌
0
.48‌
(g)
2
.44‌
16
.4‌
10
.14‌
(d)
164,894‌
0
.24‌
(e)
,(f)
,(g)
1
.06‌
(e)
44
.7‌
(e)
(
3
.49‌
)
154,297‌
0
.22‌
(f)
,(g)
2
.79‌
19
.5‌
11
.46‌
178,523‌
0
.23‌
(g)
3
.16‌
26
.3‌
6
.37‌
183,830‌
0
.23‌
(g)
2
.64‌
19
.8‌
(
0
.78‌
)
193,585‌
0
.23‌
(g)
2
.38‌
28
.2‌
6
.22‌
206,621‌
0
.23‌
(g)
3
.10‌
21
.2‌
10
.08‌
(d)
22,852‌
0
.49‌
(e)
,(f)
,(g)
0
.82‌
(e)
44
.7‌
(e)
(
3
.75‌
)
20,449‌
0
.47‌
(f)
,(g)
2
.59‌
19
.5‌
11
.14‌
20,541‌
0
.48‌
(g)
3
.06‌
26
.3‌
6
.08‌
17,477‌
0
.48‌
(g)
2
.39‌
19
.8‌
(
0
.93‌
)
17,774‌
0
.48‌
(g)
2
.19‌
28
.2‌
5
.92‌
16,731‌
0
.48‌
(g)
2
.87‌
21
.2‌
(a)
Calculated
based
on
average
shares
outstanding
during
the
period.
(b)
Total
return
does
not
reflect
charges
attributable
to separate
accounts. 
Inclusion
of
these
charges
would
reduce
the
amounts
shown. 
(c)
Six
months
ended
June
30,
2019.
(d)
Total
return
amounts
have
not
been
annualized.
(e)
Computed
on
an
annualized
basis.
(f)
Reflects
Manager's
contractual
expense
limit.
(g)
Does
not
include
expenses
of
the
investment
companies
in
which
the
Portfolio
invests.
See
accompanying
notes.
104
Financial
Highlights
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Selected
data
for
a
share
of
Capital
Stock
outstanding
throughout
each
year
ended
December
31
(except
as
noted):
Net
Asset
Value,
Beginning
of
Period
Net
Investment
Income
(Loss)(a)
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
Total
From
Investment
Operations
Dividends
from
Net
Investment
Income
Distributions
from
Realized
Gains
Total
Dividends
and
Distributions
Net
Asset
Value,
End
of
Period
SAM
CONSERVATIVE
GROWTH
PORTFOLIO
Class
1
shares
2019(c)
$
17
.16‌
$
0
.03‌
$
2
.56‌
$
2
.59‌
$
–‌
$
–‌
$
–‌
$
19
.75‌
2018
19
.86‌
0
.35‌
(
1
.51‌
)
(
1
.16‌
)
(
0
.56‌
)
(
0
.98‌
)
(
1
.54‌
)
17
.16‌
2017
17
.22‌
0
.54‌
2
.82‌
3
.36‌
(
0
.30‌
)
(
0
.42‌
)
(
0
.72‌
)
19
.86‌
2016
17
.22‌
0
.30‌
0
.90‌
1
.20‌
(
0
.26‌
)
(
0
.94‌
)
(
1
.20‌
)
17
.22‌
2015
19
.02‌
0
.26‌
(
0
.41‌
)
(
0
.15‌
)
(
0
.43‌
)
(
1
.22‌
)
(
1
.65‌
)
17
.22‌
2014
20
.60‌
0
.48‌
0
.97‌
1
.45‌
(
0
.39‌
)
(
2
.64‌
)
(
3
.03‌
)
19
.02‌
Class
2
shares
2019(c)
16
.92‌
–‌
2
.52‌
2
.52‌
–‌
–‌
–‌
19
.44‌
2018
19
.60‌
0
.31‌
(
1
.50‌
)
(
1
.19‌
)
(
0
.51‌
)
(
0
.98‌
)
(
1
.49‌
)
16
.92‌
2017
17
.01‌
0
.49‌
2
.78‌
3
.27‌
(
0
.26‌
)
(
0
.42‌
)
(
0
.68‌
)
19
.60‌
2016
17
.02‌
0
.25‌
0
.89‌
1
.14‌
(
0
.21‌
)
(
0
.94‌
)
(
1
.15‌
)
17
.01‌
2015
18
.82‌
0
.21‌
(
0
.40‌
)
(
0
.19‌
)
(
0
.39‌
)
(
1
.22‌
)
(
1
.61‌
)
17
.02‌
2014
20
.42‌
0
.42‌
0
.97‌
1
.39‌
(
0
.35‌
)
(
2
.64‌
)
(
2
.99‌
)
18
.82‌
SAM
FLEXIBLE
INCOME
PORTFOLIO
Class
1
shares
2019(c)
11
.86‌
0
.10‌
0
.91‌
1
.01‌
–‌
–‌
–‌
12
.87‌
2018
12
.95‌
0
.40‌
(
0
.63‌
)
(
0
.23‌
)
(
0
.53‌
)
(
0
.33‌
)
(
0
.86‌
)
11
.86‌
2017
12
.45‌
0
.47‌
0
.56‌
1
.03‌
(
0
.44‌
)
(
0
.09‌
)
(
0
.53‌
)
12
.95‌
2016
12
.27‌
0
.42‌
0
.44‌
0
.86‌
(
0
.43‌
)
(
0
.25‌
)
(
0
.68‌
)
12
.45‌
2015
13
.22‌
0
.40‌
(
0
.56‌
)
(
0
.16‌
)
(
0
.47‌
)
(
0
.32‌
)
(
0
.79‌
)
12
.27‌
2014
13
.72‌
0
.49‌
0
.33‌
0
.82‌
(
0
.52‌
)
(
0
.80‌
)
(
1
.32‌
)
13
.22‌
Class
2
shares
2019(c)
11
.74‌
0
.08‌
0
.91‌
0
.99‌
–‌
–‌
–‌
12
.73‌
2018
12
.83‌
0
.38‌
(
0
.63‌
)
(
0
.25‌
)
(
0
.51‌
)
(
0
.33‌
)
(
0
.84‌
)
11
.74‌
2017
12
.34‌
0
.45‌
0
.54‌
0
.99‌
(
0
.41‌
)
(
0
.09‌
)
(
0
.50‌
)
12
.83‌
2016
12
.17‌
0
.38‌
0
.44‌
0
.82‌
(
0
.40‌
)
(
0
.25‌
)
(
0
.65‌
)
12
.34‌
2015
13
.12‌
0
.37‌
(
0
.56‌
)
(
0
.19‌
)
(
0
.44‌
)
(
0
.32‌
)
(
0
.76‌
)
12
.17‌
2014
13
.62‌
0
.45‌
0
.33‌
0
.78‌
(
0
.48‌
)
(
0
.80‌
)
(
1
.28‌
)
13
.12‌
(a)
(b)
(c)
(d)
(e)
(f)
(g)
See
accompanying
notes.
105
Financial
Highlights
(Continued)
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Total
Return(b)
Net
Assets,
End
of
Period
(in
thousands)
Ratio
of
Expenses
to
Average
Net
Assets
Ratio
of
Net
Investment
Income
to
Average
Net
Assets
Portfolio
Turnover
Rate
15
.09‌
%
(d)
$
205,481‌
0
.24‌
%
(e)
,(f)
,(g)
0
.30‌
%
(e)
13
.0‌
%
(e)
(
6
.62‌
)
189,654‌
0
.23‌
(f)
,(g)
1
.81‌
27
.0‌
19
.78‌
220,054‌
0
.23‌
(g)
2
.88‌
35
.1‌
7
.00‌
194,284‌
0
.23‌
(g)
1
.73‌
25
.5‌
(
1
.09‌
)
193,966‌
0
.23‌
(g)
1
.40‌
29
.1‌
7
.43‌
198,465‌
0
.23‌
(g)
2
.40‌
19
.4‌
14
.89‌
(d)
132,344‌
0
.49‌
(e)
,(f)
,(g)
0
.05‌
(e)
13
.0‌
(e)
(
6
.82‌
)
118,307‌
0
.48‌
(f)
,(g)
1
.60‌
27
.0‌
19
.46‌
127,079‌
0
.48‌
(g)
2
.68‌
35
.1‌
6
.76‌
108,247‌
0
.48‌
(g)
1
.49‌
25
.5‌
(
1
.34‌
)
103,771‌
0
.48‌
(g)
1
.17‌
29
.1‌
7
.14‌
102,757‌
0
.48‌
(g)
2
.11‌
19
.4‌
8
.52‌
(d)
158,437‌
0
.24‌
(e)
,(g)
1
.57‌
(e)
58
.0‌
(e)
(
1
.97‌
)
157,019‌
0
.23‌
(g)
3
.19‌
19
.9‌
8
.41‌
194,742‌
0
.23‌
(g)
3
.69‌
29
.3‌
7
.04‌
196,393‌
0
.23‌
(g)
3
.32‌
17
.1‌
(
1
.31‌
)
200,828‌
0
.23‌
(g)
3
.05‌
25
.2‌
6
.03‌
215,309‌
0
.23‌
(g)
3
.55‌
18
.8‌
8
.43‌
(d)
28,133‌
0
.49‌
(e)
,(g)
1
.34‌
(e)
58
.0‌
(e)
(
2
.20‌
)
25,656‌
0
.48‌
(g)
3
.07‌
19
.9‌
8
.13‌
23,003‌
0
.48‌
(g)
3
.57‌
29
.3‌
6
.73‌
20,085‌
0
.48‌
(g)
3
.06‌
17
.1‌
(
1
.55‌
)
21,108‌
0
.48‌
(g)
2
.85‌
25
.2‌
5
.80‌
19,836‌
0
.48‌
(g)
3
.27‌
18
.8‌
(a)
Calculated
based
on
average
shares
outstanding
during
the
period.
(b)
Total
return
does
not
reflect
charges
attributable
to separate
accounts. 
Inclusion
of
these
charges
would
reduce
the
amounts
shown. 
(c)
Six
months
ended
June
30,
2019.
(d)
Total
return
amounts
have
not
been
annualized.
(e)
Computed
on
an
annualized
basis.
(f)
Reflects
Manager's
contractual
expense
limit.
(g)
Does
not
include
expenses
of
the
investment
companies
in
which
the
Portfolio
invests.
See
accompanying
notes.
106
Financial
Highlights
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Selected
data
for
a
share
of
Capital
Stock
outstanding
throughout
each
year
ended
December
31
(except
as
noted):
Net
Asset
Value,
Beginning
of
Period
Net
Investment
Income
(Loss)(a)
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
Total
From
Investment
Operations
Dividends
from
Net
Investment
Income
Distributions
from
Realized
Gains
Total
Dividends
and
Distributions
Net
Asset
Value,
End
of
Period
SAM
STRATEGIC
GROWTH
PORTFOLIO
Class
1
shares
2019(c)
$
18
.36‌
$
0
.03‌
$
3
.09‌
$
3
.12‌
$
–‌
$
–‌
$
–‌
$
21
.48‌
2018
21
.72‌
0
.33‌
(
2
.01‌
)
(
1
.68‌
)
(
0
.52‌
)
(
1
.16‌
)
(
1
.68‌
)
18
.36‌
2017
18
.54‌
0
.51‌
3
.54‌
4
.05‌
(
0
.30‌
)
(
0
.57‌
)
(
0
.87‌
)
21
.72‌
2016
18
.70‌
0
.30‌
0
.85‌
1
.15‌
(
0
.28‌
)
(
1
.03‌
)
(
1
.31‌
)
18
.54‌
2015
21
.00‌
0
.29‌
(
0
.56‌
)
(
0
.27‌
)
(
0
.47‌
)
(
1
.56‌
)
(
2
.03‌
)
18
.70‌
2014
23
.55‌
0
.56‌
1
.33‌
1
.89‌
(
0
.38‌
)
(
4
.06‌
)
(
4
.44‌
)
21
.00‌
Class
2
shares
2019(c)
18
.11‌
0
.01‌
3
.04‌
3
.05‌
–‌
–‌
–‌
21
.16‌
2018
21
.46‌
0
.28‌
(
2
.00‌
)
(
1
.72‌
)
(
0
.47‌
)
(
1
.16‌
)
(
1
.63‌
)
18
.11‌
2017
18
.33‌
0
.47‌
3
.48‌
3
.95‌
(
0
.25‌
)
(
0
.57‌
)
(
0
.82‌
)
21
.46‌
2016
18
.50‌
0
.26‌
0
.83‌
1
.09‌
(
0
.23‌
)
(
1
.03‌
)
(
1
.26‌
)
18
.33‌
2015
20
.80‌
0
.24‌
(
0
.55‌
)
(
0
.31‌
)
(
0
.43‌
)
(
1
.56‌
)
(
1
.99‌
)
18
.50‌
2014
23
.38‌
0
.49‌
1
.32‌
1
.81‌
(
0
.33‌
)
(
4
.06‌
)
(
4
.39‌
)
20
.80‌
SHORT-TERM
INCOME
ACCOUNT
Class
1
shares
2019(c)
2
.52‌
0
.03‌
0
.05‌
0
.08‌
–‌
–‌
–‌
2
.60‌
2018
2
.55‌
0
.06‌
(
0
.03‌
)
0
.03‌
(
0
.06‌
)
–‌
(
0
.06‌
)
2
.52‌
2017
2
.54‌
0
.05‌
0
.01‌
0
.06‌
(
0
.05‌
)
–‌
(
0
.05‌
)
2
.55‌
2016
2
.54‌
0
.05‌
–‌
0
.05‌
(
0
.05‌
)
–‌
(
0
.05‌
)
2
.54‌
2015
2
.59‌
0
.04‌
(
0
.02‌
)
0
.02‌
(
0
.07‌
)
–‌
(
0
.07‌
)
2
.54‌
2014
2
.59‌
0
.05‌
(
0
.01‌
)
0
.04‌
(
0
.04‌
)
–‌
(
0
.04‌
)
2
.59‌
(a)
(b)
(c)
(d)
(e)
(f)
(g)
(h)
See
accompanying
notes.
107
Financial
Highlights
(Continued)
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Total
Return(b)
Net
Assets,
End
of
Period
(in
thousands)
Ratio
of
Expenses
to
Average
Net
Assets
Ratio
of
Net
Investment
Income
to
Average
Net
Assets
Portfolio
Turnover
Rate
16
.99‌
%
(d)
$
158,172‌
0
.24‌
%
(e)
,(f)
,(g)
0
.33‌
%
(e)
23
.7‌
%
(e)
(
8
.60‌
)
140,247‌
0
.23‌
(f)
,(g)
1
.56‌
37
.8‌
22
.22‌
163,861‌
0
.23‌
(g)
2
.50‌
37
.7‌
6
.15‌
145,083‌
0
.23‌
(g)
1
.61‌
23
.4‌
(
1
.62‌
)
142,227‌
0
.23‌
(g)
1
.45‌
37
.9‌
8
.68‌
138,863‌
0
.23‌
(g)
2
.50‌
20
.4‌
16
.90‌
(d)
,(h)
134,075‌
0
.49‌
(e)
,(f)
,(g)
0
.08‌
(e)
23
.7‌
(e)
(
8
.87‌
)
114,902‌
0
.48‌
(f)
,(g)
1
.34‌
37
.8‌
21
.95‌
126,632‌
0
.48‌
(g)
2
.33‌
37
.7‌
5
.90‌
103,870‌
0
.48‌
(g)
1
.41‌
23
.4‌
(
1
.87‌
)
95,775‌
0
.48‌
(g)
1
.19‌
37
.9‌
8
.35‌
96,446‌
0
.48‌
(g)
2
.21‌
20
.4‌
3
.17‌
(d)
130,996‌
0
.51‌
(e)
,(f)
2
.43‌
(e)
68
.8‌
(e)
1
.02‌
149,075‌
0
.50‌
(f)
2
.19‌
49
.9‌
2
.39‌
158,446‌
0
.50‌
(f)
2
.01‌
67
.3‌
2
.14‌
170,538‌
0
.50‌
(f)
1
.91‌
48
.6‌
0
.71‌
160,833‌
0
.49‌
(f)
1
.63‌
57
.0‌
1
.73‌
267,674‌
0
.49‌
(f)
1
.74‌
54
.3‌
(a)
Calculated
based
on
average
shares
outstanding
during
the
period.
(b)
Total
return
does
not
reflect
charges
attributable
to separate
accounts. 
Inclusion
of
these
charges
would
reduce
the
amounts
shown. 
(c)
Six
months
ended
June
30,
2019.
(d)
Total
return
amounts
have
not
been
annualized.
(e)
Computed
on
an
annualized
basis.
(f)
Reflects
Manager's
contractual
expense
limit.
(g)
Does
not
include
expenses
of
the
investment
companies
in
which
the
Portfolio
invests.
(h)
Total
return
is
calculated
using
the
traded
net
asset
value
which
may
differ
from
the
reported
net
asset
value.
The
traded
net
asset
value
is
the
net
asset
value
which
a
shareholder
would
have
paid
or
received
from
a
subscription
or
redemption.
See
accompanying
notes.
108
Financial
Highlights
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Selected
data
for
a
share
of
Capital
Stock
outstanding
throughout
each
year
ended
December
31
(except
as
noted):
Net
Asset
Value,
Beginning
of
Period
Net
Investment
Income
(Loss)(a)
Net
Realized
and
Unrealized
Gain
(Loss)
on
Investments
Total
From
Investment
Operations
Dividends
from
Net
Investment
Income
Distributions
from
Realized
Gains
Total
Dividends
and
Distributions
Net
Asset
Value,
End
of
Period
SMALLCAP
ACCOUNT
Class
1
shares
2019(c)
$
14
.30‌
$
0
.05‌
$
2
.75‌
$
2
.80‌
$
–‌
$
–‌
$
–‌
$
17
.10‌
2018
17
.10‌
0
.03‌
(
1
.62‌
)
(
1
.59‌
)
(
0
.06‌
)
(
1
.15‌
)
(
1
.21‌
)
14
.30‌
2017
15
.21‌
0
.06‌
1
.89‌
1
.95‌
(
0
.06‌
)
–‌
(
0
.06‌
)
17
.10‌
2016
13
.55‌
0
.15‌
2
.15‌
2
.30‌
(
0
.04‌
)
(
0
.60‌
)
(
0
.64‌
)
15
.21‌
2015
13
.99‌
0
.05‌
(
0
.03‌
)
0
.02‌
(
0
.01‌
)
(
0
.45‌
)
(
0
.46‌
)
13
.55‌
2014
13
.79‌
0
.02‌
0
.64‌
0
.66‌
(
0
.05‌
)
(
0
.41‌
)
(
0
.46‌
)
13
.99‌
Class
2
shares
2019(c)
14
.24‌
0
.03‌
2
.74‌
2
.77‌
–‌
–‌
–‌
17
.01‌
2018
17
.04‌
(
0
.01‌
)
(
1
.62‌
)
(
1
.63‌
)
(
0
.02‌
)
(
1
.15‌
)
(
1
.17‌
)
14
.24‌
2017
15
.17‌
0
.02‌
1
.87‌
1
.89‌
(
0
.02‌
)
–‌
(
0
.02‌
)
17
.04‌
2016
13
.52‌
0
.11‌
2
.15‌
2
.26‌
(
0
.01‌
)
(
0
.60‌
)
(
0
.61‌
)
15
.17‌
2015(g)
14
.49‌
0
.02‌
(
0
.53‌
)
(
0
.51‌
)
(
0
.01‌
)
(
0
.45‌
)
(
0
.46‌
)
13
.52‌
(a)
(b)
(c)
(d)
(e)
(f)
(g)
See
accompanying
notes.
109
Financial
Highlights
(Continued)
Principal
Variable
Contracts
Funds,
Inc.
(unaudited)
Total
Return(b)
Net
Assets,
End
of
Period
(in
thousands)
Ratio
of
Expenses
to
Average
Net
Assets
Ratio
of
Net
Investment
Income
to
Average
Net
Assets
Portfolio
Turnover
Rate
19
.58‌
%
(d)
$
185,964‌
0
.84‌
%
(e)
0
.56‌
%
(e)
38
.8‌
%
(e)
(
10
.89‌
)
163,243‌
0
.83‌
0
.20‌
45
.0‌
12
.87‌
208,669‌
0
.83‌
0
.37‌
64
.1‌
17
.39‌
209,911‌
0
.83‌
1
.08‌
57
.1‌
(
0
.10‌
)
205,344‌
0
.83‌
0
.33‌
63
.3‌
4
.89‌
64,682‌
0
.87‌
0
.16‌
67
.0‌
19
.45‌
(d)
5,969‌
1
.09‌
(e)
0
.32‌
(e)
38
.8‌
(e)
(
11
.17‌
)
(f)
4,874‌
1
.08‌
(
0
.05‌
)
45
.0‌
12
.57‌
(f)
5,371‌
1
.08‌
0
.12‌
64
.1‌
17
.15‌
4,938‌
1
.08‌
0
.80‌
57
.1‌
(
3
.76‌
)
(d)
4,523‌
1
.08‌
(e)
0
.13‌
(e)
63
.3‌
(e)
(a)
Calculated
based
on
average
shares
outstanding
during
the
period.
(b)
Total
return
does
not
reflect
charges
attributable
to separate
accounts. 
Inclusion
of
these
charges
would
reduce
the
amounts
shown. 
(c)
Six
months
ended
June
30,
2019.
(d)
Total
return
amounts
have
not
been
annualized.
(e)
Computed
on
an
annualized
basis.
(f)
Total
return
is
calculated
using
the
traded
net
asset
value
which
may
differ
from
the
reported
net
asset
value.
The
traded
net
asset
value
is
the
net
asset
value
which
a
shareholder
would
have
paid
or
received
from
a
subscription
or
redemption.
(g)
Period
from
February
17,
2015
date
operations
commenced,
through
December
31,
2015.
Shareholder
Expense
Example
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
110
As
a
shareholder
of
Principal
Variable
Contracts
Funds,
Inc.
you
incur
ongoing
costs,
including
management
fees;
distribution
fees;
and
other
fund
expenses.
This
example
is
intended
to
help
you
understand
your
ongoing
costs
(in
dollars)
of
investing
in
Principal
Variable
Contracts
Funds,
Inc.
and
to
compare
these
costs
with
the
ongoing
costs
of
investing
in
other
mutual
funds.
In
addition
to
the
expenses
the
Funds
bear
directly,
each
of
the
Accounts
may
indirectly
bear
its
pro
rata
share
of
the
expenses
incurred
by
the
investment
companies
in
which
the
fund
invests.
These
expenses
are
not
included
in
the
fund’s
annualized
expense
ratio
used
to
calculate
the
expenses
paid
in
this
example.
If
they
were,
the
expenses
paid
would
be
higher.
Expenses
shown
below
and
on
the
following
pages
do
not
account
for
fees,
expenses
and
charges
of
any
variable
insurance
contract
or
retirement
plan.
If
these
fees
had
been
reflected,
expenses
would
have
been
higher.
The
Example
is
based
on
an
investment
of
$1,000
invested
at
the
beginning
of
the
period
and
held
for
the
entire
period
(January
1,
2019
to
June
30,
2019),
unless
otherwise
noted.
Actual
Expenses
The
first
line
of
the
table
below
provides
information
about
actual
account
values
and
actual
expenses.
You
may
use
the
information
in
this
line,
together
with
the
amount
you
invested,
to
estimate
the
expenses
that
you
paid
over
the
period.
Simply
divide
your
account
value
by
$1,000
(for
example,
an
$8,600
account
value
divided
by
$1,000
=
8.6),
then
multiply
the
result
by
the
number
in
the
first
line
under
the
heading
entitled
“Expenses
Paid
During
Period”
to
estimate
the
expenses
you
paid
on
your
account
during
this
period.
Hypothetical
Example
for
Comparison
Purposes
The
second
line
of
the
table
below
provides
information
about
hypothetical
account
values
and
hypothetical
expenses
based
on
each
account’s
actual
expense
ratio
and
an
assumed
rate
of
return
of
5%
per
year
before
expenses,
which
is
not
the
account’s
actual
return.
The
hypothetical
account
values
and
expenses
may
not
be
used
to
estimate
the
actual
ending
account
balance
or
expenses
you
paid
for
the
period.
You
may
use
this
information
to
compare
the
ongoing
costs
of
investing
in
Principal
Variable
Contracts
Funds,
Inc.
and
other
funds.
To
do
so,
compare
this
5%
hypothetical
example
with
the
5%
hypothetical
examples
that
appear
in
the
shareholder
reports
of
the
other
funds.
Please
note
that
the
expenses
shown
in
the
table
are
meant
to
highlight
your
ongoing
costs
only.
Therefore,
the
second
line
of
the
table
is
useful
in
comparing
ongoing
costs
only,
and
will
not
help
you
determine
the
relative
total
cost
of
owning
different
funds.
Beginning
Account
Value
January
1,
2019
Ending
Account
Value
June
30,
2019
Expenses
Paid
During
Period
January
1,
2019 
to
June
30,
2019
(a)
Annualized
Expense
Ratio
Core
Plus
Bond
Account
Class
1
Actual
$
1,000.00
$
1,071.23
$
2.36
0.46
%
Hypothetical
1,000.00
1,022.51
2.31
0.46
Diversified
International
Account
Class
1
Actual
1,000.00
1,147.96
4.90
0.92
Hypothetical
1,000.00
1,020.23
4.61
0.92
Equity
Income
Account
Class
1
Actual
1,000.00
1,170.60
2.58
0.48
Hypothetical
1,000.00
1,022.41
2.41
0.48
Equity
Income
Account
Class
2
Actual
1,000.00
1,169.02
3.93
0.73
Hypothetical
1,000.00
1,021.17
3.66
0.73
Government
&
High
Quality
Bond
Account
Class
1
Actual
1,000.00
1,044.35
2.59
0.51
Hypothetical
1,000.00
1,022.27
2.56
0.51
LargeCap
Growth
Account
I
Class
1
Actual
1,000.00
1,222.92
4.02
0.73
Hypothetical
1,000.00
1,021.17
3.66
0.73
MidCap
Account
Class
1
Actual
1,000.00
1,303.52
3.08
0.54
Hypothetical
1,000.00
1,022.12
2.71
0.54
MidCap
Account
Class
2
Actual
1,000.00
1,301.99
4.51
0.79
Hypothetical
1,000.00
1,020.88
3.96
0.79
Shareholder
Expense
Example
Principal
Variable
Contracts
Funds,
Inc.
June
30,
2019
(unaudited)
111
Beginning
Account
Value
January
1,
2019
Ending
Account
Value
June
30,
2019
Expenses
Paid
During
Period
January
1,
2019 
to
June
30,
2019
(a)
Annualized
Expense
Ratio
Principal
Capital
Appreciation
Account
Class
1
Actual
$
1,000.00
$
1,193.74
$
3.48
0.64
%
Hypothetical
1,000.00
1,021.62
3.21
0.64
Principal
Capital
Appreciation
Account
Class
2
Actual
1,000.00
1,191.95
4.84
0.89
Hypothetical
1,000.00
1,020.38
4.46
0.89
Real
Estate
Securities
Account
Class
1
Actual
1,000.00
1,211.09
4.77
0.87
Hypothetical
1,000.00
1,020.48
4.36
0.87
Real
Estate
Securities
Account
Class
2
Actual
1,000.00
1,209.82
6.14
1.12
Hypothetical
1,000.00
1,019.24
5.61
1.12
SAM
Balanced
Portfolio
Class
1
Actual
1,000.00
1,126.62
1.21
0.23
Hypothetical
1,000.00
1,023.65
1.15
0.23
SAM
Balanced
Portfolio
Class
2
Actual
1,000.00
1,125.18
2.53
0.48
Hypothetical
1,000.00
1,022.41
2.41
0.48
SAM
Conservative
Balanced
Portfolio
Class
1
Actual
1,000.00
1,101.36
1.25
0.24
Hypothetical
1,000.00
1,023.60
1.20
0.24
SAM
Conservative
Balanced
Portfolio
Class
2
Actual
1,000.00
1,100.82
2.55
0.49
Hypothetical
1,000.00
1,022.36
2.46
0.49
SAM
Conservative
Growth
Portfolio
Class
1
Actual
1,000.00
1,150.93
1.28
0.24
Hypothetical
1,000.00
1,023.60
1.20
0.24
SAM
Conservative
Growth
Portfolio
Class
2
Actual
1,000.00
1,148.94
2.61
0.49
Hypothetical
1,000.00
1,022.36
2.46
0.49
SAM
Flexible
Income
Portfolio
Class
1
Actual
1,000.00
1,085.16
1.24
0.24
Hypothetical
1,000.00
1,023.60
1.20
0.24
SAM
Flexible
Income
Portfolio
Class
2
Actual
1,000.00
1,084.33
2.53
0.49
Hypothetical
1,000.00
1,022.36
2.46
0.49
SAM
Strategic
Growth
Portfolio
Class
1
Actual
1,000.00
1,169.93
1.29
0.24
Hypothetical
1,000.00
1,023.60
1.20
0.24
SAM
Strategic
Growth
Portfolio
Class
2
Actual
1,000.00
1,168.97
2.64
0.49
Hypothetical
1,000.00
1,022.36
2.46
0.49
Short-Term
Income
Account
Class
1
Actual
1,000.00
1,031.75
2.57
0.51
Hypothetical
1,000.00
1,022.27
2.56
0.51
SmallCap
Account
Class
1
Actual
1,000.00
1,195.80
4.57
0.84
Hypothetical
1,000.00
1,020.63
4.21
0.84
SmallCap
Account
Class
2
Actual
1,000.00
1,194.52
5.93
1.09
Hypothetical
1,000.00
1,019.39
5.46
1.09
(a)
Expenses
are
equal
to
a
fund's
annualized
expense
ratio
multiplied
by
the
average
account
value
over
the
period,
multiplied
by
181/365
(to
reflect
the
one-half
year
period).
112
FUND
DIRECTORS
AND
OFFICERS
Under
Maryland
law,
a
Board
of
Directors
oversees
the
Fund.
The
Directors
have
financial
or
other
relevant
experience
and
meet
several
times
during
the
year
to
review
contracts,
Fund
activities
and
the
quality
of
services
provided
to
the
Fund.
Each
director
also
has
the
same
position
with
Principal
Funds,
Inc.
and
Principal
Exchange-Traded
Funds
which
are
also
sponsored
by
Principal
Life
Insurance
Company.
Each
director
holds
office
for
an
indefinite
term
or
until
reaching
age
72.
Directors
considered
to
be
“interested
persons”
as
defined
in
the
Investment
Company
Act
of
1940,
as
shown
below
are
considered
to
be
interested
because
of
an
affiliation
with
the
Manager
and
Principal
Life
Insurance
Company.
The
following
directors
are
considered
not
to
be
“interested
persons”
as
defined
in
the
1940
Act
Name,
Position
Held
with
the
Fund,
Year
of
Birth
Principal
Occupation(s)
During
past
5
years
Number
of
Portfolios
in
Fund
Complex
Overseen
by
Director
Other
Directorships
Held
by
Director
During
Past
5
Years
Elizabeth
Ballantine
Director
since
2004
Member,
Nominating
and
Governance
Committee
1948
Principal,
EBA
Associates
128
Durango
Herald,
Inc.;
McClatchy
Newspapers,
Inc.
Leroy
T.
Barnes,
Jr.
Director
since
2012
Member,
Audit
Committee
1951
Retired.
128
McClatchy
Newspapers,
Inc.;
Frontier
Communications,
Inc.;
formerly,
Herbalife
Ltd.
Craig
Damos
Director
since
2008
Member,
Audit
Committee
Member,
15(c)
Committee
1954
President,
C.P.
Damos
Consulting
LLC
128
None
Mark
A.
Grimmett
Lead
Independent
Director
since
2011
Director
since
2004
Member,
Nominating
and
Governance
Committee
Member,
15(c)
Committee
Member,
Executive
Committee
1960
Formerly,
Executive
Vice
President
and
CFO,
Merle
Norman
Cosmetics,
Inc.
128
None
Fritz
S.
Hirsch
Director
since
2005
Member,
Operations
Committee
Member,
15(c)
Committee
1951
Formerly,
CEO,
MAM
USA
128
MAM
USA
Tao
Huang
Director
since
2012
Member,
Operations
Committee
Member,
15(c)
Committee
1962
Retired.
128
Armstrong
World
Industries,
Inc.
and
Equity
Lifestyle
Properties,
Inc.
Karen
(“Karrie”)
McMillan
Director
since
2014
Member,
Operations
Committee
1961
Managing
Director,
Patomak
Global
Partners,
LLC.
Formerly,
General
Counsel,
Investment
Company
Institute
128
None
Elizabeth
A.
Nickels
Director
since
2015
Member,
Audit
Committee
1962
Formerly,
Executive
Director,
Herman
Miller
Foundation;
Formerly
President,
Herman
Miller
Healthcare
128
SpartanNash;
formerly:
Charlotte
Russe;
Follet
Corporation;
PetSmart;
Spectrum
Health
Systems
Mary
M.
(“Meg”)
VanDeWeghe
Director
since
2018
Member,
Operations
Committee
1959
CEO
and
President,
Forte
Consulting,
Inc.
128
Denbury
Resources
Inc.
and
Helmerich
&
Payne;
Formerly:
Brown
Advisory;
B/E
Aerospace;
WP
Carey;
Nalco
(and
its
successor
Ecolab)
113
The
following
directors
are
considered
to
be
“interested
persons”
as
defined
in
the
1940
Act,
because
of
an
affiliation
with
the
Manager
and
Principal
Life.
Correspondence
intended
for
each
Director
who
is
other
than
an
Interested
Director
may
be
sent
to
655
9th
Street,
Des
Moines,
IA
50392.
Name,
Position
Held
with
the
Fund,
Year
of
Birth
Principal
Occupation(s)
During
past
5
years
Number
of
Portfolios
in
Fund
Complex
Overseen
by
Director
Other
Directorships
Held
by
Director
During
Past
5
Years
Michael
J.
Beer
Director
since
2012
President,
Chief
Executive
Officer
Member,
Executive
Committee
1961
Chief
Executive
Officer,
Principal
Funds
Distributor,
Inc.
(“PFD”)
since
2015
Executive
Director
–
Funds,
Principal
Global
Investors,
LLC
(“PGI”)
since
2017
Director,
PGI
since
2017
Director,
PFD
since
2015
Vice
President/Mutual
Funds
and
Broker
Dealer,
Principal
Life
Insurance
Company
(“PLIC”)
(2001-
2014)
Vice
President/Chief
Operating
Officer,
Principal
Funds,
PLIC
(2014-2015)
Executive
Director,
Principal
Funds
&
Trust,
PLIC
since
2015
Director,
Principal
Management
Corporation,
(“PMC”)
(2006-2015)
President
&
Chief
Executive
Officer,
PMC
(2015-
2017)
Executive
Vice
President/Chief
Operating
Officer,
PMC
(2008-2015)
Chair,
PMC
(2015-2017)
Director,
Principal
Securities,
Inc.
(“PSI”)
(2005-
2015)
President,
PSI
(2005-2015)
Director,
Principal
Shareholder
Services
(“PSS”)
(2007-2015)
Chairman,
PSS
since
2015
President,
PSS
(2007-2015)
Executive
Vice
President,
PSS
since
2015
128
None
Timothy
M.
Dunbar
Director
since
2019
1957
Director,
PGI
since
2018
President,
Principal
Global
Asset
Management,
PGI,
PLIC,
Principal
Financial
Services,
Inc.
(“PFSI”),
and
Principal
Financial
Group
(“PFG”)
since
2018
Chair/Executive
Vice
President,
RobustWealth,
Inc.
since
2018
Director,
Post
Advisory
Group,
LLC
(“Post”)
since
2018
Executive
Vice
President/Chief
Investment
Officer,
PLIC,
PFSI
and
PFG
(2014-2018)
128
None
Patrick
Halter
Director
since
2017
Member,
Executive
Committee
1959
Chief
Executive
Officer
and
President,
PGI
since
2018
Chief
Operating
Officer,
PGI
(2017-2018)
Chair,
PGI
since
2018
Director,
PGI
(2003-2018)
Director,
Finisterre
Capital
LLP
since
2018
Director,
Origin
Asset
Management
LLP
since
2018
Chair,
Post
since
2017
Chief
Executive
Officer,
Principal
Real
Estate
Investors,
LLC
(“PREI”)
since
2005
Chair,
PREI
since
2004
Chair,
Spectrum
Asset
Management,
Inc.
since
2017
Director,
CCIP,
LLC
since
2017
128
None
114
The
following
table
presents
officers
of
the
Funds.
Name,
Position
Held
with
the
Fund,
Address,
and
Year
of
Birth
Principal
Occupation(s)
During
past
5
years
Randy
L.
Bergstrom
Assistant
Tax
Counsel
Des
Moines,
IA
50392
1955
Counsel,
PGI
Counsel,
PLIC
Jennifer
A.
Block
Deputy
Chief
Compliance
Officer
Des
Moines,
IA
50392
1973
Vice
President
and
Counsel
(2017-2018)
Assistant
Counsel
(2010-2017)
Assistant
Secretary
(2015-2018)
Counsel,
PGI
(2017-2018)
Counsel,
PLIC
(2009-2018)
Counsel,
PMC
(2009-2013,
2014-2017)
Tracy
Bollin
Chief
Financial
Officer
Des
Moines,
IA
50392
1970
Managing
Director,
PGI
since
2016
Chief
Operating
Officer,
PMC
(2015-2017)
Chief
Financial
Officer,
PFA
(2010-2015)
Senior
Vice
President,
PFD
since
2015
Chief
Financial
Officer,
PFD
(2010-2016)
Senior
Vice
President,
PMC
(2015–2017)
Chief
Financial
Officer,
PMC
(2010-2015)
Director,
PMC
(2014–2017)
Chief
Financial
Officer,
PSI
(2010-2015)
Director,
PSS
since
2014
President,
PSS
since
2015
Chief
Financial
Officer,
PSS
(2010-2015)
Gina
L.
Graham
Treasurer
Des
Moines,
IA
50392
1965
Vice
President/Treasurer,
PFA
since
2016
Vice
President/Treasurer,
PFD
since
2016
Vice
President/Treasurer,
PGI
since
2016
Vice
President/Treasurer,
PLIC
since
2016
Vice
President/Treasurer,
PMC
(2016-2017)
Vice
President/Treasurer,
PREI
since
2016
Vice
President/Treasurer,
PSI
since
2016
Vice
President/Treasurer,
PSS
since
2016
Laura
B.
Latham
Assistant
Counsel
and
Assistant
Secretary
Des
Moines,
IA
50392
1986
Counsel,
PGI
since
2018
Prior
thereto,
Attorney
in
Private
Practice
Diane
K.
Nelson
AML
Officer
Des
Moines,
IA
50392
1965
Chief
Compliance
Officer/AML
Officer,
PSS
since
2015
Compliance
Advisor,
PMC
(2013-2015)
Sara
L.
Reece
Vice
President
and
Controller
Des
Moines,
IA
50392
1975
Director
-
Accounting,
PLIC
since
2015
Assistant
Financial
Controller,
PLIC
prior
to
2015
Teri
R.
Root
Chief
Compliance
Officer
Des
Moines,
IA
50392
1979
Interim
Chief
Compliance
Officer
(2018)
Deputy
Chief
Compliance
Officer
(2015-2018)
Deputy
Chief
Compliance
Officer,
PGI
(2017-2018)
Vice
President
and
Chief
Compliance
Officer,
PMC
(2015–2017)
Vice
President,
PSS
since
2015
Britney
L.
Schnathorst
Assistant
Counsel
and
Assistant
Secretary
Des
Moines,
IA
50392
1981
Counsel,
PLIC
since
2013
Prior
thereto,
Attorney
in
Private
Practice
Adam
U.
Shaikh
Assistant
Counsel
Des
Moines,
IA
50392
1972
Assistant
General
Counsel,
PGI
since
2018
Counsel,
PGI
(2017-2018)
Counsel,
PLIC
since
2006
Counsel,
PMC
(2007-2013,
2014-2017)
John
Sullivan
Assistant
Counsel
and
Assistant
Secretary
Des
Moines,
IA
50392
1970
Counsel,
PGI
since
2019
Prior
thereto,
Attorney
in
Private
Practice
115
The
15(c)
Committee’s
primary
purpose
is
to
assist
the
Board
in
performing
the
annual
review
of
the
Fund’s
advisory
and
sub-advisory
agreements
pursuant
to
Section
15(c)
of
the
1940
Act.
The
Committee
responsibilities
include
requesting
and
reviewing
materials.
The
Audit
Committee’s
primary
purpose
is
to
assist
the
Board
in
fulfilling
certain
of
its
responsibilities.
The
Audit
Committee
serves
as
an
independent
and
objective
party
to
monitor
the
Fund
Complex’s
accounting
policies,
financial
reporting
and
internal
control
system,
as
well
as
the
work
of
the
independent
registered
public
accountants.
The
Audit
Committee
assists
Board
oversight
of
1)
the
integrity
of
the
Fund
Complex’s
financial
statements;
2)
the
Fund
Complex’s
compliance
with
certain
legal
and
regulatory
requirements;
3)
the
independent
registered
public
accountants’
qualifications
and
independence;
and
4)
the
performance
of
the
Fund
Complex’s
independent
registered
public
accountants.
The
Audit
Committee
also
provides
an
open
avenue
of
communication
among
the
independent
registered
public
accountants,
the
Manager’s
internal
auditors,
Fund
Complex
management,
and
the
Board.
The
Executive
Committee’s
primary
purpose
is
to
exercise
certain
powers
of
the
Board
when
the
Board
is
not
in
session.
When
the
Board
is
not
in
session,
the
Committee
may
exercise
all
powers
of
the
Board
in
the
management
of
the
business
of
the
Fund
Complex
except
the
power
to
1)
authorize
dividends
or
distributions
on
stock;
2)
issue
stock,
except
as
permitted
by
law;
3)
recommend
to
the
stockholders
any
action
which
requires
stockholder
approval;
4)
amend
the
bylaws;
or
5)
approve
any
merger
or
share
exchange
which
does
not
require
stockholder
approval.
The
Nominating
and
Governance
Committee’s
primary
purpose
is
to
oversee
the
structure
and
efficiency
of
the
Board
and
the
committees
established
by
the
Board.
The
Committee
responsibilities
include
evaluating
Board
membership
and
functions,
committee
membership
and
functions,
insurance
coverage,
and
legal
matters.
The
nominating
functions
of
the
Committee
include
selecting
and
nominating
all
candidates
who
are
not
“interested
persons”
of
the
Fund
Complex
for
election
to
the
Board.
Generally,
the
Committee
requests
director
nominee
suggestions
from
the
committee
members
and
management.
In
addition,
the
Committee
will
consider
Director
candidates
recommended
by
shareholders
of
the
Fund
Complex.
Recommendations
should
be
submitted
in
writing
to
Principal
Funds,
Inc.
at
711
High
Street,
Des
Moines,
IA
50392.
When
evaluating
a
person
as
a
potential
nominee
to
serve
as
an
Independent
Director,
the
Committee
will
generally
consider,
among
other
factors:
age;
education;
relevant
business
experience;
geographical
factors;
whether
the
person
is
“independent”
and
otherwise
qualified
under
applicable
laws
and
regulations
to
serve
as
a
director;
and
whether
the
person
is
willing
to
serve,
and
willing
and
able
to
commit
the
time
necessary
for
attendance
at
meetings
and
the
performance
of
the
duties
of
an
independent
director.
The
Committee
also
meets
personally
with
the
nominees
and
conducts
a
reference
check.
The
final
decision
is
based
on
a
combination
of
factors,
including
the
strengths
and
the
experience
an
individual
may
bring
to
the
Board.
The
Committee
believes
the
Board
generally
benefits
from
diversity
of
background,
experience
and
views
among
its
members,
and
considers
these
factors
in
evaluating
the
composition
of
the
Board.
The
Board
does
not
use
regularly
the
services
of
any
professional
search
firms
to
identify
or
evaluate
or
assist
in
identifying
or
evaluating
potential
candidates
or
nominees.
Name,
Position
Held
with
the
Fund,
Address,
and
Year
of
Birth
Principal
Occupation(s)
During
past
5
years
Dan
Westholm
Assistant
Treasurer
Des
Moines,
IA
50392
1966
Assistant
Vice
President/Treasurer,
PGI
since
2017
Assistant
Vice
President/Treasury,
PFA
since
2013
Assistant
Vice
President/Treasury,
PFD
since
2013
Assistant
Vice
President/Treasury,
PLIC
since
2014
Director
–
Treasury,
PLIC
(2007-2014)
Assistant
Vice
President/Treasury,
PMC
(2013-
2017)
Assistant
Vice
President/Treasury,
PSI
since
2013
Assistant
Vice
President/Treasury,
PSS
since
2013
Beth
Wilson
Vice
President
and
Secretary
Des
Moines,
IA
50392
1956
Director
and
Secretary
–
Funds,
PLIC
Clint
Woods
Counsel,
Vice
President,
and
Assistant
Secretary
Des
Moines,
IA
50392
1961
Of
Counsel
(2017-2018)
Vice
President
(2016-2017)
Counsel
(2015-2017)
Vice
President,
PLIC
since
2015
Associate
General
Counsel,
Governance
Officer,
and
Assistant
Corporate
Secretary,
PLIC
since
2013
Jared
Yepsen
Assistant
Tax
Counsel
Des
Moines,
IA
50392
1981
Counsel,
PGI
since
2017
Counsel,
PLIC
since
2015
Senior
Attorney,
Transamerica
Life
Insurance
Company
(2013-2015)
116
The
Operations
Committee’s
primary
purpose
is
to
oversee
the
provision
of
administrative
and
distribution
services
to
the
Funds
Complex,
communications
with
the
Fund
Complex’s
shareholders,
and
review
and
oversight
of
the
Fund
Complex’s
operations.
Additional
information
about
the
Fund
is
available
in
the
Prospectus
dated
May
1,
2019,
and
the
Statement
of
Additional
Information
dated
May
1,
2019.
These
documents
may
be
obtained
free
of
charge
by
writing
Principal
Funds,
Inc.,
P.O.
Box
8024,
Boston,
MA
02266-8024
or
telephoning
1-800-222-5852.
The
prospectus
may
be
viewed
at
www.PrincipalFunds.com/prospectuses-pvc.
PROXY
VOTING
POLICIES
A
description
of
the
policies
and
procedures
the
Fund
uses
to
determine
how
to
vote
proxies
relating
to
portfolio
securities
and
the
results
of
the
proxy
votes
for
the
most
recent
twelve
months
ended
June
30
may
be
obtained
free
of
charge
by
telephoning
1-800-222-5852,
or
on
the
SEC
website
at
www.sec.gov.
SCHEDULES
OF
INVESTMENTS
The
Fund
files
complete
schedules
of
investments
with
the
Securities
and
Exchange
Commission
as
of
March
31
and
September
30
each
year
as
a
part
of
Form
N-PORT.
The
Fund’s
Form
N-PORT
can
be
reviewed
and
copied
at
the
Commission’s
Public
Reference
Room
in
Washington,
D.C.
or
on
the
Commission’s
website
at
www.sec.gov.
Information
on
the
operation
of
the
Public
Reference
Room
may
be
obtained
by
calling
the
Commission
at
1-202-551-8090.
STATEMENT
REGARDING
LIQUIDITY
RISK
MANAGEMENT
PROGRAM
On
June
1,
2019,
a
Liquidity
Risk
Management
Program
(the
“Program”)
was
adopted
by
the
Fund.
The
Board
is
expected
to
review
the
operation
and
effectiveness
of
the
Program
in
June
2020.
117
BOARD
CONSIDERATION
OF
INVESTMENT
ADVISORY
CONTRACTS
During
the
period
covered
by
this
report,
the
Board
of
Directors
of
Principal
Variable
Contracts
Funds,
Inc.
(“PVC”)
approved
an
amended
and
restated
Management
Agreement
with
Principal
Global
Investors,
LLC
(the
“Manage”)
in
connection
with
a
proposal
to
amend
the
management
fee
schedule
for
all
asset
levels
related
to
the
Bond
Market
Index
Account.
Amended
and
Restated
Management
Agreement
On
March
12,
2019,
the
Board
met
to
consider
for
the
Bond
Market
Index
Account
(the
“Account”)
the
approval
of
an
amended
fee
schedule
under
the
management
agreement
(the
“Management
Agreement”)
with
the
Manager
with
respect
to
the
Account,
which
would
result
in
a
reduction
of
the
management
fee
rate
at
all
asset
levels.
The
Board
reviewed
materials
received
from
the
Manager
regarding
the
proposed
change
in
the
management
fee
schedule.
The
Board
considered
the
Manager’s
representation
that
the
change
in
the
management
fee
schedule
would
not
reduce
the
quality
or
quantity
of
the
services
the
Manager
provides
to
the
Account
and
that
the
Manager’s
obligations
under
the
Management
Agreement
would
remain
the
same
in
all
material
respects.
The
Board
also
considered
that
the
Manager
was
not
proposing
any
material
changes
to
the
terms
of
the
Management
Agreement
other
than
to
the
fee
schedule.
The
Board
considered
that
they
had
last
approved
the
Management
Agreement
for
the
Account
during
the
annual
contract
renewal
process
that
concluded
at
the
Board
of
Directors’
September
2018
meeting.
They
noted
that
during
the
annual
contract
renewal
process,
they
had
considered
the
nature,
quality
and
extent
of
the
services
provided
by
the
Manager
under
the
Management
Agreement
and
had
concluded,
based
upon
the
information
provided,
that
the
terms
of
the
Management
Agreement
were
reasonable
and
that
approval
of
the
Management
Agreement
was
in
the
best
interests
of
the
Account.
Based
upon
all
of
the
information
considered,
the
Board
concluded
that
it
was
in
the
best
interests
of
the
Account
to
approve
the
amended
Management
Agreement
at
this
time
and,
accordingly,
recommended
the
approval
of
the
amended
Management
Agreement.
118
Special
Meeting
of
Shareholders
Principal
Variable
Contracts
Funds,
Inc.
Held
April
25,
2019
1.
Election
of
Board
of
Directors.
2.
Approval
of
the
ability
of
Principal
Global
Investors,
LLC
to
enter
into
and/or
materially
amend
agreements
with
wholly-owned
affiliated
sub-advisors,
as
defined
in
the
proposal,
on
behalf
of
the
Account
without
obtaining
shareholder
approval
(Group
A
Accounts,
as
set
forth
in
the
proposal,
only).
3.
Approval
of
the
ability
of
Principal
Global
Investors,
LLC
to
enter
into
and/or
materially
amend
agreements
with
majority-owned
affiliated
sub-advisors,
as
defined
in
the
proposal,
on
behalf
of
the
Account
without
obtaining
shareholder
approval
(Group
A
Accounts,
as
set
forth
in
the
proposal,
only).
For
Withheld
Ballantine
1,103,113,155.348
38,666,195.286
Barnes
1,102,218,734.727
39,560,615.907
Damos
1,104,362,124.076
37,417,226.558
Grimmett
1,105,675,021.391
36,104,329.243
Hirsch
1,102,959,731.499
38,819,619.135
Huang
1,104,855,103.829
36,924,246.805
McMillan
1,105,372,346.558
36,407,004.076
Nickels
1,105,363,079.744
36,416,270.890
VanDeWeghe
1,104,596,840.456
37,182,510.178
Beer
1,103,154,868.771
38,624,481.863
Dunbar
1,102,601,524.542
39,177,826.092
Halter
1,103,101,984.734
38,677,365.900
For
Against
Abstain
Bond
Market
Index
Account
221,418,760.288
0.000
6,234,186.016
Core
Plus
Bond
Account
25,131,676.349
494,370.581
440,924.034
Diversified
Balanced
Account
53,804,021.680
5,659,782.834
6,751,348.213
Diversified
Balanced
Managed
Volatility
Account
12,363,468.844
517,205.143
1,296,826.142
Diversified
Growth
Account
172,425,296.834
22,169,005.613
17,082,284.569
Diversified
Growth
Managed
Volatility
Account
24,346,984.244
969,923.072
2,372,675.164
Diversified
Income
Account
17,675,617.576
132,672.857
1,835,219.131
Diversified
International
Account
16,026,589.238
535,425.946
483,356.030
Equity
Income
Account
25,570,676.410
1,479,919.857
1,430,599.096
Government
&
High
Quality
Bond
Account
19,742,759.676
1,090,053.571
2,062,038.276
Income
Account
14,301,880.163
1,437,122.116
1,926,635.343
International
Emerging
Markets
Account
4,964,335.299
451,612.112
155,623.101
LargeCap
Growth
Account
3,351,140.122
98,959.548
56,916.209
LargeCap
Growth
Account
I
8,906,091.994
536,079.037
471,186.878
LargeCap
S&P
500
Index
Account
121,355,059.725
9,648,946.590
9,432,361.317
LargeCap
S&P
500
Managed
Volatility
Index
Account
15,533,899.877
0.000
0.000
MidCap
Account
8,552,833.899
583,667.831
775,729.036
Principal
Capital
Appreciation
Account
4,451,499.890
356,017.759
414,556.115
Principal
LifeTime
2010
Account
2,386,914.446
72,329.848
53,588.452
Principal
LifeTime
2020
Account
12,013,476.057
942,060.070
861,188.043
Principal
LifeTime
2030
Account
10,359,855.898
1,454,997.106
679,041.770
Principal
LifeTime
2040
Account
4,407,415.994
127,330.297
12,610.104
Principal
LifeTime
2050
Account
2,142,026.862
188,427.044
13,623.146
Principal
LifeTime
2060
Account
96,369.031
0.000
0.000
Principal
LifeTime
Strategic
Income
Account
1,733,473.173
0.000
82,583.306
Real
Estate
Securities
Account
6,336,300.917
559,708.784
667,686.932
Short-Term
Income
Account
52,467,303.843
3,008,150.526
3,781,824.884
SmallCap
Account
10,539,966.465
408,819.884
677,400.908
SAM
Balanced
Portfolio
Account
41,185,539.792
2,496,426.019
3,421,339.778
SAM
Conservative
Balanced
Portfolio
Account
13,411,527.785
1,289,089.140
1,211,570.430
SAM
Conservative
Growth
Portfolio
Account
14,441,280.487
1,832,050.320
1,516,172.744
SAM
Flexible
Income
Portfolio
Account
12,703,901.662
638,242.364
1,897,138.836
SAM
Strategic
Growth
Portfolio
Account
12,699,645.269
531,531.445
348,432.337
For
Against
Abstain
Bond
Market
Index
Account
221,418,760.288
0.000
6,234,186.016
Core
Plus
Bond
Account
25,079,788.347
546,947.747
440,234.870
119
4a.
Approval
of
an
amended
fundamental
investment
restriction
relating
to
commodities
for
the
Account
(each
Account).
For
Against
Abstain
Diversified
Balanced
Account
54,028,383.648
5,329,588.954
6,857,180.125
Diversified
Balanced
Managed
Volatility
Account
12,300,660.196
517,205.143
1,359,634.790
Diversified
Growth
Account
172,688,680.655
21,775,318.722
17,212,587.639
Diversified
Growth
Managed
Volatility
Account
24,253,014.712
1,153,364.925
2,283,202.843
Diversified
Income
Account
17,319,353.986
378,114.225
1,946,041.353
Diversified
International
Account
15,939,734.725
613,289.363
492,347.126
Equity
Income
Account
25,517,541.047
1,484,979.701
1,478,674.615
Government
&
High
Quality
Bond
Account
19,618,225.838
1,229,744.847
2,046,880.838
Income
Account
14,228,919.199
1,510,083.026
1,926,635.397
International
Emerging
Markets
Account
4,947,221.694
464,130.903
160,217.915
LargeCap
Growth
Account
3,343,871.312
106,191.968
56,952.599
LargeCap
Growth
Account
I
8,836,210.035
584,612.084
492,535.790
LargeCap
S&P
500
Index
Account
121,937,782.204
9,234,959.766
9,263,625.662
LargeCap
S&P
500
Managed
Volatility
Index
Account
15,533,899.877
0.000
0.000
MidCap
Account
8,518,916.671
587,966.887
805,347.208
Principal
Capital
Appreciation
Account
4,486,404.559
320,135.080
415,534.125
Principal
LifeTime
2010
Account
2,386,914.446
72,329.848
53,588.452
Principal
LifeTime
2020
Account
12,100,803.086
831,520.946
884,400.138
Principal
LifeTime
2030
Account
10,355,383.590
1,368,467.203
770,043.981
Principal
LifeTime
2040
Account
4,398,338.817
136,407.474
12,610.104
Principal
LifeTime
2050
Account
2,134,243.088
196,210.818
13,623.146
Principal
LifeTime
2060
Account
96,369.031
0.000
0.000
Principal
LifeTime
Strategic
Income
Account
1,733,473.173
0.000
82,583.306
Real
Estate
Securities
Account
6,061,727.343
584,833.045
917,136.245
Short-Term
Income
Account
51,769,240.679
3,954,312.356
3,533,726.218
SmallCap
Account
10,522,952.329
424,768.117
678,466.811
SAM
Balanced
Portfolio
Account
39,826,194.050
3,098,094.197
4,179,017.342
SAM
Conservative
Balanced
Portfolio
Account
13,440,951.646
1,381,929.696
1,089,306.013
SAM
Conservative
Growth
Portfolio
Account
14,499,605.128
1,777,924.115
1,511,974.308
SAM
Flexible
Income
Portfolio
Account
12,325,462.033
630,761.364
2,283,059.465
SAM
Strategic
Growth
Portfolio
Account
12,249,305.017
981,871.697
348,432.337
For
Against
Abstain
Bond
Market
Index
Account
221,418,760.288
0.000
6,234,186.016
Core
Plus
Bond
Account
25,368,307.364
262,031.549
436,632.051
Diversified
Balanced
Account
55,358,289.849
3,068,349.896
7,788,512.982
Diversified
Balanced
Managed
Volatility
Account
12,726,078.325
227,977.323
1,223,444.481
Diversified
Balance
Volatility
Control
Account
6,450,210.409
409,154.196
214,053.754
Diversified
Growth
Account
179,798,611.810
11,833,152.166
20,044,823.040
Diversified
Growth
Managed
Volatility
Account
25,233,753.938
699,907.162
1,755,921.380
Diversified
Growth
Volatility
Control
Account
33,312,543.583
1,924,922.525
4,433,158.523
Diversified
Income
Account
17,198,436.971
119,961.288
2,325,111.305
Diversified
International
Account
16,030,265.284
488,004.762
527,101.168
Equity
Income
Account
25,822,034.129
1,289,838.563
1,369,322.671
Government
&
High
Quality
Bond
Account
20,438,502.694
451,357.282
2,004,991.547
Income
Account
15,087,160.038
651,842.187
1,926,635.397
International
Emerging
Markets
Account
4,965,385.073
377,163.520
229,021.919
LargeCap
Growth
Account
3,355,398.465
83,289.905
68,327.509
LargeCap
Growth
Account
I
8,927,033.844
343,684.679
642,639.386
LargeCap
S&P
500
Index
Account
122,582,107.569
9,202,874.678
8,651,385.385
LargeCap
S&P
500
Managed
Volatility
Index
Account
15,533,899.877
0.000
0.000
MidCap
Account
8,663,753.811
471,121.629
777,355.326
Multi-Asset
Income
Account
31,124.201
0.000
0.000
Principal
Capital
Appreciation
Account
4,618,434.558
251,460.572
352,178.634
Principal
LifeTime
2010
Account
2,370,232.114
70,422.631
72,178.001
Principal
LifeTime
2020
Account
12,305,207.928
532,948.231
978,568.011
Principal
LifeTime
2030
Account
11,431,997.510
304,444.531
757,452.733
Principal
LifeTime
2040
Account
4,398,338.818
127,330.297
21,687.280
Principal
LifeTime
2050
Account
2,051,748.769
270,921.363
21,406.920
Principal
LifeTime
2060
Account
96,369.031
0.000
0.000
Principal
LifeTime
Strategic
Income
Account
1,733,473.173
0.000
82,583.306
Real
Estate
Securities
Account
6,169,365.761
494,871.904
899,458.968
Short-Term
Income
Account
53,763,658.423
1,836,560.311
3,657,060.519
SmallCap
Account
10,797,024.787
274,100.070
555,062.400
120
4b.
Approval
of
an
amended
fundamental
investment
restriction
relating
to
concentration
for
the
Account
(Group
B
Accounts,
as
set
forth
in
the
proposal,
only).
4c.
Approval
of
an
amended
fundamental
investment
restriction
relating
to
concentration
for
the
Account
(Group
C
Accounts,
as
set
forth
in
the
proposal,
only).
Special
Meeting
of
Shareholders
Principal
Variable
Contracts
Funds,
Inc.
–
Principal
LifeTime
2060
Account
Held
May
22,
2019
2.
Approval
of
the
ability
of
Principal
Global
Investors,
LLC
to
enter
into
and/or
materially
amend
agreements
with
wholly-owned
affiliated
sub-advisors,
as
defined
in
the
proposal,
on
behalf
of
the
Account
without
obtaining
shareholder
approval.
3.
Approval
of
the
ability
of
Principal
Global
Investors,
LLC
to
enter
into
and/or
materially
amend
agreements
with
majority-owned
affiliated
sub-advisors,
as
defined
in
the
proposal,
on
behalf
of
the
Account
without
obtaining
shareholder
approval.
For
Against
Abstain
SAM
Balanced
Portfolio
Account
41,432,947.912
1,313,025.709
4,357,331.968
SAM
Conservative
Balanced
Portfolio
Account
14,194,897.919
450,588.768
1,266,700.668
SAM
Conservative
Growth
Portfolio
Account
15,191,663.329
775,363.402
1,822,476.820
SAM
Flexible
Income
Portfolio
Account
12,743,233.938
576,120.879
1,919,928.045
SAM
Strategic
Growth
Portfolio
Account
12,748,447.234
438,483.409
392,678.408
For
Against
Abstain
Core
Plus
Bond
Account
25,313,974.596
299,842.035
453,154.333
Diversified
International
Account
16,017,563.252
490,765.991
537,041.971
Equity
Income
Account
25,738,463.005
1,295,572.712
1,447,159.646
Government
&
High
Quality
Bond
Account
20,359,944.829
469,228.526
2,065,678.168
Income
Account
15,087,160.038
651,842.187
1,926,635.397
International
Emerging
Markets
Account
4,932,182.356
414,003.577
225,384.579
LargeCap
Growth
Account
3,356,004.136
79,067.620
71,944.123
LargeCap
Growth
Account
I
8,942,374.948
313,163.095
657,819.866
MidCap
Account
8,649,170.506
433,574.580
829,485.680
Principal
Capital
Appreciation
Account
4,600,977.412
241,408.679
379,687.673
Short-Term
Income
Account
53,503,302.833
1,823,516.692
3,930,459.728
SmallCap
Account
10,738,639.141
246,496.072
641,052.044
For
Against
Abstain
Diversified
Balanced
Account
54,994,994.352
3,194,951.625
8,025,206.750
Diversified
Balanced
Managed
Volatility
Account
12,664,184.901
242,086.758
1,271,228.470
Diversified
Balance
Volatility
Control
Account
6,563,700.726
295,663.879
214,053.754
Diversified
Growth
Account
178,646,701.395
11,367,912.175
21,661,973.446
Diversified
Growth
Managed
Volatility
Account
25,234,735.947
529,868.947
1,924,977.586
Diversified
Growth
Volatility
Control
Account
33,189,297.636
1,637,824.318
4,843,502.677
Diversified
Income
Account
17,169,132.117
110,839.467
2,363,537.980
Multi-Asset
Income
Account
31,124.201
0.000
0.000
Principal
LifeTime
2010
Account
2,345,217.044
70,422.631
97,193.071
Principal
LifeTime
2020
Account
12,257,483.342
543,645.037
1,015,595.791
Principal
LifeTime
2030
Account
11,274,119.111
462,322.930
757,452.733
Principal
LifeTime
2040
Account
4,267,045.437
258,623.678
21,687.280
Principal
LifeTime
2050
Account
2,051,748.769
270,921.363
21,406.920
Principal
LifeTime
2060
Account
96,369.031
0.000
0.000
Principal
LifeTime
Strategic
Income
Account
1,720,650.682
0.000
95,405.797
SAM
Balanced
Portfolio
Account
40,678,801.557
1,543,072.593
4,881,431.439
SAM
Conservative
Balanced
Portfolio
Account
14,264,510.923
324,793.397
1,322,883.035
SAM
Conservative
Growth
Portfolio
Account
15,208,975.306
780,864.070
1,799,664.175
SAM
Flexible
Income
Portfolio
Account
12,859,951.330
596,648.922
1,782,682.610
SAM
Strategic
Growth
Portfolio
Account
12,725,046.468
448,189.583
406,373.000
For
Against
Abstain
391,391.375
550.934
0.000
For
Against
Abstain
391,391.375
550.934
0.000
121
4a.
Approval
of
an
amended
fundamental
investment
restriction
relating
to
commodities
for
the
Account.
4c.
Approval
of
an
amended
fundamental
investment
restriction
relating
to
concentration
for
the
Account.
Special
Meeting
of
Shareholders
Principal
Variable
Contracts
Funds,
Inc.
–
Income
Account
Held
May
31,
2019
1.
Shareholders
of
the
Income
Account
voted
to
approve
a
Plan
of
Acquisition
providing
for
the
reorganization
of
the
Income
Account
(Class
1
and
Class
2)
into
the
Core
Plus
Bond
Account
(Class
1).
Special
Meeting
of
Shareholders
Principal
Variable
Contracts
Funds,
Inc.
–
LargeCap
Growth
Account
Held
May
31,
2019
1.
Shareholders
of
the
LargeCap
Growth
Account
voted
to
approve
a
Plan
of
Acquisition
providing
for
the
reorganization
of
the
LargeCap
Growth
Account
(Class
1
and
Class
2)
into
the
LargeCap
Growth
Account
I
(Class
1).
Special
Meeting
of
Shareholders
Principal
Variable
Contracts
Funds,
Inc.
–
Multi-Asset
Income
Account
Held
May
31,
2019
1.
Shareholders
of
the
Multi-Asset
Income
Account
voted
to
approve
a
Plan
of
Acquisition
providing
for
the
reorganization
of
the
Multi-
Asset
Income
Account
(Class
1
and
Class
2)
into
the
SAM
(Strategic
Asset
Management)
Flexible
Income
Account
(Class
1
and
Class
2).
For
Against
Abstain
391,391.375
550.934
0.000
For
Against
Abstain
391,391.375
550.934
0.000
For
Against
Abstain
16,582,642.000
644,139.000
324,703.000
For
Against
Abstain
3,426,926.000
26,601.000
46,551.000
For
Against
Abstain
37,345.000
0.000
0.000
principalfunds.com
This
report
must
be
preceded
or
accompanied
by
a
current
prospectus
for
the
Principal
Variable
Contracts
Funds,
Inc.
Principal
Funds
are
distributed
by
Principal
Funds
Distributor,
Inc.
©
2019
Principal
Financial
Services,
Inc.
|
MM1291B-11
|
06/2019
|
871465-062021

ITEM 2 – CODE OF ETHICS

 
Not applicable to semi-annual reports.
 

ITEM 3 – AUDIT COMMITTEE FINANCIAL EXPERT

 
Not applicable to semi-annual reports.
 

ITEM 4 – PRINCIPAL ACCOUNTANT FEES AND SERVICES

 
Not applicable to semi-annual reports.
 

ITEM 5 – AUDIT COMMITTEE OF LISTED REGISTRANTS

 
Not applicable.
 

ITEM 6 – SCHEDULE OF INVESTMENTS

 
Schedule of Investments is included as part of the Report to Shareholders filed under Item 1 of this form.
 
ITEM 7 – DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES
 
Not applicable.
 
ITEM 8 – PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES
 
Not applicable.
 
ITEM 9 – PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT COMPANY AND AFFILIATED PURCHASERS
 
Not applicable.
 

ITEM 10 – SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

 

None

 

ITEM 11 – CONTROLS AND PROCEDURES

 
a) The registrant's principal executive officer and principal financial officer have concluded that the registrant's disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended) are effective (such disclosure controls and procedures having been evaluated within 90 days of the date of this filing).
 
(b) There have been no changes in the registrant’s internal controls over financial reporting (as defined in Rule 30a-3(d) under the Act (17 CFR 270.30a-3(d)) that occurred during the registrant’s last fiscal quarter that have materially affected, or are reasonably likely to materially affect, the registrant’s internal control over financial reporting.
 
 

ITEM 12 – DISCLOSURE OF SECURITIES LENDING ACTIVITIES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES

 
Not applicable.
 
 
ITEM 13 – EXHIBITS
 
(a)(1) Code of Ethics - Not applicable to semi-annual reports.
 
(a)(2) Certifications pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 attached hereto as Exhibit 99.CERT.
 
(b) Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 attached hereto as Exhibit 99.906CERT.

SIGNATURES
 
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
 
(Registrant)
Principal Variable Contracts Funds, Inc.
 
 
 
By
/s/ Michael J. Beer
 
            Michael J. Beer, President and CEO
 
Date
8/8/2019
 
 
 
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
 
 
 
By
/s/ Michael J. Beer
 
            Michael J. Beer, President and CEO
 
Date
8/8/2019
 
 
 
By
Michael J. Beer
 
            Tracy W. Bollin, Chief Financial Officer
 
Date
8/8/2019