Company: PDSRX
Filing Date: 2025-11-12
Form Type: 424B3
Source: 0001756404-25-000035
Chunk: 2

Company: Principal Real Asset Fund
Filing Date: 2025-11-12
Form: 424B3
Chunk 2
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 that consider different criteria. The consideration of sustainability is qualitative and subjective by nature and there is no assurance that any strategy that considers sustainability factors will be successful or profitable. Further, investors may differ in their views of what constitutes positive or negative sustainability characteristics of a security. There is no guarantee that the criteria used, or judgment exercised, will reflect the beliefs or values of any particular investor.

Utilities Sector Risk. Companies in the utilities sector are sensitive to changes in interest rates and other economic conditions, government regulation, uncertainties created by deregulation, environmental protection or energy conservation policies and practices, the level and demand for services, and the cost and delay of technological developments.

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Under Additional Information about Investment Strategies and Risks , please replace the heading paragraph of Sustainable Investing Risk (Non-Principal) with Sustainable Investing Risk (Principal).

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Under Additional Information about Investment Strategies and Risks , please replace the paragraph entitled Utilities Sector Risk (Non-Principal) with the following:

#### Utilities Sector Risk (Principal)
When interest rates go up, the value of securities issued by utilities companies historically has gone down. In most countries and localities, the utilities industry is regulated by governmental entities, which can increase costs and delays for new projects and make it difficult to pass increased costs on to consumers. In certain areas, deregulation of utilities has resulted in increased competition and reduced profitability for certain companies and increased the risk that a particular company will become bankrupt or fail completely. Reduced profitability, as well as new uses for or additional need of funds (such as for expansion, operations, or stock buybacks), could result in reduced dividend payout rates for utilities companies. In addition, utilities companies face the risk of increases in the cost and reduced availability of fuel (such as oil, coal, natural gas, or nuclear energy) and potentially high interest costs for borrowing to finance new projects.

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