PTDNX — Principal LifeTime 2040 Fund
Data updated: 2026-09-25
PTDNX — Principal LifeTime 2040 Fund. Target Date / Glide Path Allocation · $4.34B AUM · 1.39% expense ratio. Holdings, fees, performance and SEC filings.
PTDNX Fund Overview
PTDNX — Principal LifeTime 2040 Fund is a US mutual fund managed by Principal Funds, Inc., categorised as Target Date / Glide Path Allocation. ABC INVEST provides holdings, performance, costs, cashflows, risk data, prospectus documents and SEC filings, sourced from SEC filings.
- Type: US mutual fund
- Manager: Principal Funds, Inc.
- Category: Target Date / Glide Path Allocation
- Assets under management: $4.34B
- 1-year return: 31.7%
- Ticker: PTDNX
- SEC CIK: 0000898745
- SEC series ID: S000007209
- Share class ID: C000019759
PTDNX Investment Objective and Strategy
Principal LifeTime 2040 Fund describes its objective and strategy as follows, from its latest prospectus filed with the SEC by Principal Funds, Inc..
Investment objective
The Fund seeks a total return consisting of long-term growth of capital and current income.
Principal investment strategy
The Fund operates as a target date fund that invests according to an asset allocation strategy designed for investors having a retirement investment goal close to the year in the Funds name. The Fund is a fund of funds and invests in underlying funds of Principal Funds, Inc. (PFI). Its underlying funds consist of domestic and foreign equity funds, fixed-income funds, real asset funds, and other funds that aim to offer diversification beyond traditional equity and fixed-income securities. The asset class diversification of the Fund is designed to moderate overall price volatility. The Fund may add, remove, or substitute underlying funds at any time. The Fund is managed with strategic or long-term asset class targets and target ranges. There is a rebalancing strategy that aligns with the target weights to identify asset classes that are either overweight or underweight.
The Fund may shift asset class targets in response to normal evaluative processes, the shortening time horizon of the Fund or changes in market forces or Fund circumstances. In selecting underlying funds and target weights, the Fund considers both quantitative measures (e.g., past performance, expected levels of risk and returns, expense levels, diversification and style consistency) and qualitative factors (e.g., organizational stability, investment experience, investment and risk management processes, and information, trading, and compliance systems). There are no minimum or maximum percentages of assets that the Fund must invest in a specific asset class or underlying fund. The underlying funds invest in growth and value stocks of small, medium, and large market capitalization companies, fixed-income securities, domestic and foreign (including those in emerging markets) securities, securities denominated in foreign currencies, investment companies (including index funds), U.S.
government and U.S. government-sponsored securities, and derivatives. A derivative is a financial arrangement, the value of which is derived from, or based on, a traditional security, asset, or market index. The underlying funds principally use equity index futures and options in order to gain exposure to a variety of securities or asset classes or attempt to reduce risk. The Fund's asset allocation will become more conservative over time as investment goals near (for example, retirement, which is assumed to begin at age 65) and investors become more risk-averse. Approximately 15 years after its target year, the Fund's underlying fund allocation is expected to match that of the Principal LifeTime Strategic Income Fund. At that time, the Fund may be combined with the Principal LifeTime Strategic Income Fund if the Board of Directors determines that the combination is in the best interests of Fund shareholders.
It is expected that at the target date in the Funds name, the shareholder will begin gradually withdrawing the account's value.
PTDNX Holdings
Top 10 holdings of Principal LifeTime 2040 Fund by percentage of net assets, from the fund's latest SEC N-PORT filing.
| Holding | % of net assets |
|---|---|
| LargeCap S&P 500 Index Fund | 20.29% |
| Core Fixed Income Fund | 19.50% |
| International Equity Fund | 19.36% |
| Equity Income Fund | 5.68% |
| LargeCap Value Fund III | 5.46% |
| Global Emerging Markets Fund | 5.31% |
| LargeCap Growth Fund I | 4.66% |
| Blue Chip Fund | 4.32% |
| SmallCap Fund | 3.45% |
| High Yield Fund | 3.37% |
PTDNX Portfolio Allocation
Asset-class allocation of Principal LifeTime 2040 Fund by percentage of net assets, from the latest SEC N-PORT filing.
| Asset class | Allocation |
|---|---|
| Equity | 99.9% |
PTDNX Performance
Total returns for PTDNX (as of 2026-10-01), from SEC filings.
| Period | Total return |
|---|---|
| 1 year | 31.7% |
PTDNX Risk Information
Risk metrics for PTDNX, derived from monthly returns in SEC filings.
- 1-year volatility (annualised): 12.3%
PTDNX Costs and Fees
PTDNX costs about $139 per $10,000 invested per year in fund expenses.
- Net expense ratio: 1.39%
- Gross expense ratio: 1.39%
- Portfolio turnover: 39%
- Brokerage commissions: 0.00 bps of average net assets (SEC N-CEN)
PTDNX Cashflows
Over the 12 months to 2026-04, Principal LifeTime 2040 Fund had net outflows of $458.77M, from monthly SEC N-PORT filings.
| Month | Net flow |
|---|---|
| 2026-04 | −$191.45M |
| 2026-03 | −$74.62M |
| 2026-02 | −$52.49M |
| 2026-01 | −$17.27M |
| 2025-12 | $239.45M |
| 2025-11 | −$4.21M |
PTDNX Debt Constituents
No individual debt constituents are reported in Principal LifeTime 2040 Fund's latest SEC N-PORT filing.
PTDNX Prospectus and SEC Filings
Official Principal LifeTime 2040 Fund filings on SEC EDGAR — prospectus, portfolio holdings and annual reports.
- Prospectus (485BPOS) — filed 2026-02-27
- Prospectus (485BPOS) — filed 2025-02-26
- Prospectus (485BPOS) — filed 2024-02-27
- Portfolio holdings (N-PORT) — filed 2026-09-25
- Portfolio holdings (N-PORT) — filed 2026-06-25
- Portfolio holdings (N-PORT) — filed 2026-03-25
- Annual census (N-CEN) — filed 2026-01-14
- Annual census (N-CEN) — filed 2025-01-13
Related Funds
Other Target Date / Glide Path Allocation funds tracked on ABC INVEST:
Data Sources
ABC INVEST compiles this page from public filings made to the U.S. Securities and Exchange Commission (SEC) through EDGAR: portfolio holdings and monthly cashflows from Form N-PORT, expenses and returns from fund prospectuses (Form 485BPOS) and the SEC DERA Risk/Return Summary data sets, annual data from Form N-CEN, and shareholder reports from Form N-CSR.