Company: PGZ
Filing Date: 2025-07-03
Form Type: N-CSRS
Source: 0001398344-25-012685
Chunk: 11

Company: Principal Real Estate Income Fund
Filing Date: 2025-07-03
Form: N-CSRS
Chunk 11
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 be affected by numerous factors, including changes in the market spread over a specified benchmark, market interest rates and performance
of the broader equity markets. Fluctuations in net asset value may be magnified as a result of the Fund’s use of leverage.

2. SIGNIFICANT ACCOUNTING POLICIES

Use of Estimates: The financial statements
are prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”), which requires
management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent
assets and liabilities at the date of the financial statements and reported amount of increase or decrease in net assets from operations
during the period reported. Management believes the estimates and security valuations are appropriate; however, actual results may differ
from those estimates, and the security valuations reflected in the financial statements may differ from the value the Fund ultimately
realizes upon sale of the securities. The Fund is considered an investment company under GAAP and follows the accounting and reporting
guidance applicable to investment companies in the Financial Accounting Standards Board Accounting Standards Codification Topic 946 Financial
Services – Investment Companies. The financial statements have been prepared as of the close of the New York Stock Exchange (“NYSE”)
on April 30, 2025. In regards to Financial Accounting Standards Board Update 2023-07, Segment Reporting (Topic 280) - Improvements to
Reportable Segment Disclosures (“ASU 2023-07”), the Chief Operating Decision Maker (“CODM”) monitors the operating
results of the Fund as a whole. ALPS Advisors, Inc. (“AAI” or the “Adviser”) is the CODM for the Fund. The Fund's
financial information is used by the CODM to assess each segment's performance. The CODM has determined that the Fund is a single operating
segment as defined by ASU 2023-07 that recognizes revenues and incurs expenses. This is supported by the single investment strategy of
the Fund, against which the CODM assesses performance.

Portfolio Valuation: The net asset value per
common share of the Fund is determined no less frequently than daily, on each day that the NYSE is open for trading, as of the close of
regular trading on the NYSE (normally 4:00 p.m. New York time). The Fund’s net asset value per common share is calculated in the
manner authorized by the Fund’s Board of Trustees (the "Board" or "Trust