# EDGAR Filing Document

**Accession Number:** 0000012601
**File Stem:** 0000012601-25-000420
**Filing Date:** 2025-12
**Character Count:** 27558
**Document Hash:** 64afd638d90aec852e19c97b48edede1
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0000012601-25-000420.hdr.sgml**: 20251215

**ACCESSION NUMBER**: 0000012601-25-000420

**CONFORMED SUBMISSION TYPE**: 497

**PUBLIC DOCUMENT COUNT**: 1

**FILED AS OF DATE**: 20251215

**DATE AS OF CHANGE**: 20251215

**EFFECTIVENESS DATE**: 20251215

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** PRINCIPAL VARIABLE CONTRACTS FUNDS INC
- **CENTRAL INDEX KEY:** 0000012601

**ORGANIZATION NAME:**
- **EIN:** 000000000
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 497
- **SEC ACT:** 1933 Act
- **SEC FILE NUMBER:** 002-35570
- **FILM NUMBER:** 251570534

**BUSINESS ADDRESS:**
- **STREET 1:** 711 HIGH STREET
- **CITY:** DES MOINES
- **STATE:** IA
- **ZIP:** 50392
- **BUSINESS PHONE:** 515-247-5477

**MAIL ADDRESS:**
- **STREET 1:** PRINCIPAL FINANCIAL GROUP
- **CITY:** DES MOINES
- **STATE:** IA
- **ZIP:** 50392

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** PRINCIPAL VARIABLE CONTRACTS FUND INC
- **DATE OF NAME CHANGE:** 19980617

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** PRINCIPAL CAPITAL ACCUMULATION FUND INC
- **DATE OF NAME CHANGE:** 19920703

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** PRINCOR INVESTMENT FUND INC
- **DATE OF NAME CHANGE:** 19880906

## Series and Classes Contracts Data

### Global Emerging Markets Account (formerly, International Emerging Markets Account) (Series ID: S000007656)

---

|  |  |
|:---|:---|
| Class Name                              | Class ID   |
| Global Emerging Markets Account Class 1 | C000020904 |

---

### LargeCap S&P 500 Index Account (Series ID: S000007660)

---

|  |  |
|:---|:---|
| Class Name                             | Class ID   |
| LargeCap S&P 500 Index Account Class 1 | C000020908 |
| LargeCap S&P 500 Index Account Class 2 | C000155998 |

---

### MidCap Account (Series ID: S000007662)

---

|  |  |
|:---|:---|
| Class Name             | Class ID   |
| MidCap Account Class 1 | C000020910 |
| MidCap Account Class 2 | C000079602 |

---

### Principal LifeTime 2020 Account (Series ID: S000007668)

---

|  |  |
|:---|:---|
| Class Name                              | Class ID   |
| Principal LifeTime 2020 Account Class 1 | C000020916 |

---

### Principal LifeTime 2030 Account (Series ID: S000007669)

---

|  |  |
|:---|:---|
| Class Name                              | Class ID   |
| Principal LifeTime 2030 Account Class 1 | C000020917 |

---

### Principal LifeTime 2040 Account (Series ID: S000007670)

---

|  |  |
|:---|:---|
| Class Name                              | Class ID   |
| Principal LifeTime 2040 Account Class 1 | C000020918 |

---

### Principal LifeTime 2050 Account (Series ID: S000007671)

---

|  |  |
|:---|:---|
| Class Name                              | Class ID   |
| Principal LifeTime 2050 Account Class 1 | C000020919 |

---

### Principal LifeTime Strategic Income Account (Series ID: S000007672)

---

|  |  |
|:---|:---|
| Class Name                                          | Class ID   |
| Principal LifeTime Strategic Income Account Class 1 | C000020920 |

---

### Real Estate Securities Account (Series ID: S000007673)

---

|  |  |
|:---|:---|
| Class Name                             | Class ID   |
| Real Estate Securities Account Class 1 | C000020921 |
| Real Estate Securities Account Class 2 | C000038552 |

---

### SmallCap Account (Series ID: S000007675)

---

|  |  |
|:---|:---|
| Class Name               | Class ID   |
| SmallCap Account Class 1 | C000020923 |
| SmallCap Account Class 2 | C000152597 |

---

### Core Plus Bond Account (Series ID: S000007677)

---

|  |  |
|:---|:---|
| Class Name                     | Class ID   |
| Core Plus Bond Account Class 1 | C000020925 |

---

### Diversified International Account (Series ID: S000007681)

---

|  |  |
|:---|:---|
| Class Name                                | Class ID   |
| Diversified International Account Class 1 | C000020929 |

---

### LargeCap Growth Account I (Series ID: S000007682)

---

|  |  |
|:---|:---|
| Class Name                        | Class ID   |
| LargeCap Growth Account I Class 1 | C000020930 |

---

### Equity Income Account (Series ID: S000014083)

---

|  |  |
|:---|:---|
| Class Name                    | Class ID   |
| Equity Income Account Class 1 | C000038528 |
| Equity Income Account Class 2 | C000038529 |

---

### Strategic Asset Management Strategic Growth Portfolio (Series ID: S000014084)

---

|  |  |
|:---|:---|
| Class Name                                                    | Class ID   |
| Strategic Asset Management Strategic Growth Portfolio Class 1 | C000038530 |
| Strategic Asset Management Strategic Growth Portfolio Class 2 | C000038531 |

---

### Principal Capital Appreciation Account (Series ID: S000014085)

---

|  |  |
|:---|:---|
| Class Name                                     | Class ID   |
| Principal Capital Appreciation Account Class 1 | C000038532 |
| Principal Capital Appreciation Account Class 2 | C000038533 |

---

### Government & High Quality Bond Account f/k/a Mortgage Securities Account (Series ID: S000014088)

---

|  |  |
|:---|:---|
| Class Name                                     | Class ID   |
| Government & High Quality Bond Account Class 1 | C000038539 |

---

### Short-Term Income Account (Series ID: S000014089)

---

|  |  |
|:---|:---|
| Class Name                        | Class ID   |
| Short-Term Income Account Class 1 | C000038541 |

---

### Strategic Asset Management Balanced Portfolio (Series ID: S000014090)

---

|  |  |
|:---|:---|
| Class Name                                            | Class ID   |
| Strategic Asset Management Balanced Portfolio Class 2 | C000038542 |
| Strategic Asset Management Balanced Portfolio Class 1 | C000038543 |

---

### Strategic Asset Management Conservative Balanced Portfolio (Series ID: S000014091)

---

|  |  |
|:---|:---|
| Class Name                                                         | Class ID   |
| Strategic Asset Management Conservative Balanced Portfolio Class 2 | C000038544 |
| Strategic Asset Management Conservative Balanced Portfolio Class 1 | C000038545 |

---

### Strategic Asset Management Conservative Growth Portfolio (Series ID: S000014092)

---

|  |  |
|:---|:---|
| Class Name                                                       | Class ID   |
| Strategic Asset Management Conservative Growth Portfolio Class 1 | C000038546 |
| Strategic Asset Management Conservative Growth Portfolio Class 2 | C000038547 |

---

### Strategic Asset Management Flexible Income Portfolio (Series ID: S000014093)

---

|  |  |
|:---|:---|
| Class Name                                                   | Class ID   |
| Strategic Asset Management Flexible Income Portfolio Class 1 | C000038548 |
| Strategic Asset Management Flexible Income Portfolio Class 2 | C000038549 |

---

### Diversified Balanced Account (Series ID: S000027170)

---

|  |  |
|:---|:---|
| Class Name                           | Class ID   |
| Diversified Balanced Account Class 2 | C000081996 |
| Diversified Balanced Account Class 1 | C000186093 |

---

### Diversified Growth Account (Series ID: S000027171)

---

|  |  |
|:---|:---|
| Class Name                         | Class ID   |
| Diversified Growth Account Class 2 | C000081997 |

---

### Bond Market Index Account (Series ID: S000036925)

---

|  |  |
|:---|:---|
| Class Name                        | Class ID   |
| Bond Market Index Account Class 1 | C000112990 |

---

### Diversified Income Account (Series ID: S000036926)

---

|  |  |
|:---|:---|
| Class Name                         | Class ID   |
| Diversified Income Account Class 2 | C000112991 |

---

### Principal LifeTime 2060 Account (Series ID: S000040678)

---

|  |  |
|:---|:---|
| Class Name                              | Class ID   |
| Principal LifeTime 2060 Account Class 1 | C000126088 |

---

### LargeCap S&P 500 Managed Volatility Index Account (Series ID: S000042784)

---

|  |  |
|:---|:---|
| Class Name                                                | Class ID   |
| LargeCap S&P 500 Managed Volatility Index Account Class 1 | C000132327 |

---

### Diversified Balanced Strategic Allocation Account (formerly, Diversified Balanced Managed Volatility Account) (Series ID: S000042785)

---

|  |  |
|:---|:---|
| Class Name                                                                                                            | Class ID   |
| Diversified Balanced Strategic Allocation Account (formerly, Diversified Balanced Managed Volatility Account) Class 2 | C000132328 |

---

### Diversified Growth Strategic Allocation Account (formerly, Diversified Growth Managed Volatility Account) (Series ID: S000042786)

---

|  |  |
|:---|:---|
| Class Name                                                                                                        | Class ID   |
| Diversified Growth Strategic Allocation Account (formerly, Diversified Growth Managed Volatility Account) Class 2 | C000132329 |

---

### Diversified Balanced Adaptive Allocation Account (formerly, Diversified Balanced Volatility Control Account) (Series ID: S000056528)

---

|  |  |
|:---|:---|
| Class Name                                                                                                           | Class ID   |
| Diversified Balanced Adaptive Allocation Account (formerly, Diversified Balanced Volatility Control Account) Class 2 | C000178859 |

---

### Diversified Growth Adaptive Allocation Account (formerly, Diversified Growth Volatility Control Account) (Series ID: S000056529)

---

|  |  |
|:---|:---|
| Class Name                                                                                                       | Class ID   |
| Diversified Growth Adaptive Allocation Account (formerly, Diversified Growth Volatility Control Account) Class 2 | C000178860 |

---

### Blue Chip Account (Series ID: S000070249)

---

|  |  |
|:---|:---|
| Class Name                | Class ID   |
| Blue Chip Account Class 2 | C000260396 |

---

### U.S. LargeCap S&P 500 Index Buffer July Account (formerly, U.S. LargeCap Buffer July Account) (Series ID: S000076127)

---

|  |  |
|:---|:---|
| Class Name | Class ID   |
| Class 2    | C000235586 |

---

### U.S. LargeCap S&P 500 Index Buffer October Account (formerly, U.S. LargeCap Buffer October Account) (Series ID: S000077914)

---

|  |  |
|:---|:---|
| Class Name | Class ID   |
| Class 2    | C000238594 |

---

### U.S. LargeCap S&P 500 Index Buffer April Account (formerly, U.S. LargeCap Buffer April Account) (Series ID: S000077915)

---

|  |  |
|:---|:---|
| Class Name | Class ID   |
| Class 2    | C000238595 |

---

### U.S. LargeCap S&P 500 Index Buffer January Account (formerly, U.S. LargeCap Buffer January Account) (Series ID: S000077916)

---

|  |  |
|:---|:---|
| Class Name | Class ID   |
| Class 2    | C000238596 |

---

## Series and Classes Contracts Data

### Global Emerging Markets Account (formerly, International Emerging Markets Account) (Series ID: S000007656)

| Class ID   | Class Name                              | Ticker Symbol   |
|:---|:---|:---|
| C000020904 | Global Emerging Markets Account Class 1 |  |

### LargeCap S&P 500 Index Account (Series ID: S000007660)

| Class ID   | Class Name                             | Ticker Symbol   |
|:---|:---|:---|
| C000020908 | LargeCap S&P 500 Index Account Class 1 |  |
| C000155998 | LargeCap S&P 500 Index Account Class 2 |  |

### MidCap Account (Series ID: S000007662)

| Class ID   | Class Name             | Ticker Symbol   |
|:---|:---|:---|
| C000020910 | MidCap Account Class 1 |  |
| C000079602 | MidCap Account Class 2 |  |

### Principal LifeTime 2020 Account (Series ID: S000007668)

| Class ID   | Class Name                              | Ticker Symbol   |
|:---|:---|:---|
| C000020916 | Principal LifeTime 2020 Account Class 1 |  |

### Principal LifeTime 2030 Account (Series ID: S000007669)

| Class ID   | Class Name                              | Ticker Symbol   |
|:---|:---|:---|
| C000020917 | Principal LifeTime 2030 Account Class 1 |  |

### Principal LifeTime 2040 Account (Series ID: S000007670)

| Class ID   | Class Name                              | Ticker Symbol   |
|:---|:---|:---|
| C000020918 | Principal LifeTime 2040 Account Class 1 |  |

### Principal LifeTime 2050 Account (Series ID: S000007671)

| Class ID   | Class Name                              | Ticker Symbol   |
|:---|:---|:---|
| C000020919 | Principal LifeTime 2050 Account Class 1 |  |

### Principal LifeTime Strategic Income Account (Series ID: S000007672)

| Class ID   | Class Name                                          | Ticker Symbol   |
|:---|:---|:---|
| C000020920 | Principal LifeTime Strategic Income Account Class 1 |  |

### Real Estate Securities Account (Series ID: S000007673)

| Class ID   | Class Name                             | Ticker Symbol   |
|:---|:---|:---|
| C000020921 | Real Estate Securities Account Class 1 |  |
| C000038552 | Real Estate Securities Account Class 2 |  |

### SmallCap Account (Series ID: S000007675)

| Class ID   | Class Name               | Ticker Symbol   |
|:---|:---|:---|
| C000020923 | SmallCap Account Class 1 |  |
| C000152597 | SmallCap Account Class 2 |  |

### Core Plus Bond Account (Series ID: S000007677)

| Class ID   | Class Name                     | Ticker Symbol   |
|:---|:---|:---|
| C000020925 | Core Plus Bond Account Class 1 |  |

### Diversified International Account (Series ID: S000007681)

| Class ID   | Class Name                                | Ticker Symbol   |
|:---|:---|:---|
| C000020929 | Diversified International Account Class 1 |  |

### LargeCap Growth Account I (Series ID: S000007682)

| Class ID   | Class Name                        | Ticker Symbol   |
|:---|:---|:---|
| C000020930 | LargeCap Growth Account I Class 1 |  |

### Equity Income Account (Series ID: S000014083)

| Class ID   | Class Name                    | Ticker Symbol   |
|:---|:---|:---|
| C000038528 | Equity Income Account Class 1 |  |
| C000038529 | Equity Income Account Class 2 |  |

### Strategic Asset Management Strategic Growth Portfolio (Series ID: S000014084)

| Class ID   | Class Name                                                    | Ticker Symbol   |
|:---|:---|:---|
| C000038530 | Strategic Asset Management Strategic Growth Portfolio Class 1 |  |
| C000038531 | Strategic Asset Management Strategic Growth Portfolio Class 2 |  |

### Principal Capital Appreciation Account (Series ID: S000014085)

| Class ID   | Class Name                                     | Ticker Symbol   |
|:---|:---|:---|
| C000038532 | Principal Capital Appreciation Account Class 1 |  |
| C000038533 | Principal Capital Appreciation Account Class 2 |  |

### Government & High Quality Bond Account f/k/a Mortgage Securities Account (Series ID: S000014088)

| Class ID   | Class Name                                     | Ticker Symbol   |
|:---|:---|:---|
| C000038539 | Government & High Quality Bond Account Class 1 |  |

### Short-Term Income Account (Series ID: S000014089)

| Class ID   | Class Name                        | Ticker Symbol   |
|:---|:---|:---|
| C000038541 | Short-Term Income Account Class 1 |  |

### Strategic Asset Management Balanced Portfolio (Series ID: S000014090)

| Class ID   | Class Name                                            | Ticker Symbol   |
|:---|:---|:---|
| C000038542 | Strategic Asset Management Balanced Portfolio Class 2 |  |
| C000038543 | Strategic Asset Management Balanced Portfolio Class 1 |  |

### Strategic Asset Management Conservative Balanced Portfolio (Series ID: S000014091)

| Class ID   | Class Name                                                         | Ticker Symbol   |
|:---|:---|:---|
| C000038544 | Strategic Asset Management Conservative Balanced Portfolio Class 2 |  |
| C000038545 | Strategic Asset Management Conservative Balanced Portfolio Class 1 |  |

### Strategic Asset Management Conservative Growth Portfolio (Series ID: S000014092)

| Class ID   | Class Name                                                       | Ticker Symbol   |
|:---|:---|:---|
| C000038546 | Strategic Asset Management Conservative Growth Portfolio Class 1 |  |
| C000038547 | Strategic Asset Management Conservative Growth Portfolio Class 2 |  |

### Strategic Asset Management Flexible Income Portfolio (Series ID: S000014093)

| Class ID   | Class Name                                                   | Ticker Symbol   |
|:---|:---|:---|
| C000038548 | Strategic Asset Management Flexible Income Portfolio Class 1 |  |
| C000038549 | Strategic Asset Management Flexible Income Portfolio Class 2 |  |

### Diversified Balanced Account (Series ID: S000027170)

| Class ID   | Class Name                           | Ticker Symbol   |
|:---|:---|:---|
| C000081996 | Diversified Balanced Account Class 2 |  |
| C000186093 | Diversified Balanced Account Class 1 |  |

### Diversified Growth Account (Series ID: S000027171)

| Class ID   | Class Name                         | Ticker Symbol   |
|:---|:---|:---|
| C000081997 | Diversified Growth Account Class 2 |  |

### Bond Market Index Account (Series ID: S000036925)

| Class ID   | Class Name                        | Ticker Symbol   |
|:---|:---|:---|
| C000112990 | Bond Market Index Account Class 1 |  |

### Diversified Income Account (Series ID: S000036926)

| Class ID   | Class Name                         | Ticker Symbol   |
|:---|:---|:---|
| C000112991 | Diversified Income Account Class 2 |  |

### Principal LifeTime 2060 Account (Series ID: S000040678)

| Class ID   | Class Name                              | Ticker Symbol   |
|:---|:---|:---|
| C000126088 | Principal LifeTime 2060 Account Class 1 |  |

### LargeCap S&P 500 Managed Volatility Index Account (Series ID: S000042784)

| Class ID   | Class Name                                                | Ticker Symbol   |
|:---|:---|:---|
| C000132327 | LargeCap S&P 500 Managed Volatility Index Account Class 1 |  |

### Diversified Balanced Strategic Allocation Account (formerly, Diversified Balanced Managed Volatility Account) (Series ID: S000042785)

| Class ID   | Class Name                                                                                                            | Ticker Symbol   |
|:---|:---|:---|
| C000132328 | Diversified Balanced Strategic Allocation Account (formerly, Diversified Balanced Managed Volatility Account) Class 2 |  |

### Diversified Growth Strategic Allocation Account (formerly, Diversified Growth Managed Volatility Account) (Series ID: S000042786)

| Class ID   | Class Name                                                                                                        | Ticker Symbol   |
|:---|:---|:---|
| C000132329 | Diversified Growth Strategic Allocation Account (formerly, Diversified Growth Managed Volatility Account) Class 2 |  |

### Diversified Balanced Adaptive Allocation Account (formerly, Diversified Balanced Volatility Control Account) (Series ID: S000056528)

| Class ID   | Class Name                                                                                                           | Ticker Symbol   |
|:---|:---|:---|
| C000178859 | Diversified Balanced Adaptive Allocation Account (formerly, Diversified Balanced Volatility Control Account) Class 2 |  |

### Diversified Growth Adaptive Allocation Account (formerly, Diversified Growth Volatility Control Account) (Series ID: S000056529)

| Class ID   | Class Name                                                                                                       | Ticker Symbol   |
|:---|:---|:---|
| C000178860 | Diversified Growth Adaptive Allocation Account (formerly, Diversified Growth Volatility Control Account) Class 2 |  |

### Blue Chip Account (Series ID: S000070249)

| Class ID   | Class Name                | Ticker Symbol   |
|:---|:---|:---|
| C000260396 | Blue Chip Account Class 2 |  |

### U.S. LargeCap S&P 500 Index Buffer July Account (formerly, U.S. LargeCap Buffer July Account) (Series ID: S000076127)

| Class ID   | Class Name   | Ticker Symbol   |
|:---|:---|:---|
| C000235586 | Class 2      |  |

### U.S. LargeCap S&P 500 Index Buffer October Account (formerly, U.S. LargeCap Buffer October Account) (Series ID: S000077914)

| Class ID   | Class Name   | Ticker Symbol   |
|:---|:---|:---|
| C000238594 | Class 2      |  |

### U.S. LargeCap S&P 500 Index Buffer April Account (formerly, U.S. LargeCap Buffer April Account) (Series ID: S000077915)

| Class ID   | Class Name   | Ticker Symbol   |
|:---|:---|:---|
| C000238595 | Class 2      |  |

### U.S. LargeCap S&P 500 Index Buffer January Account (formerly, U.S. LargeCap Buffer January Account) (Series ID: S000077916)

| Class ID   | Class Name   | Ticker Symbol   |
|:---|:---|:---|
| C000238596 | Class 2      |  |

**Principal Variable Contracts Funds, Inc.** 

**Supplement dated December 15, 2025**

**to the Prospectus and Statement of Additional Information**

**both dated May 1, 2025** 

**(as previously supplemented)**

(Not all Accounts are offered in all variable annuity and variable life contracts.)

This supplement updates information contained in the Prospectus and Statement of Additional Information. Please retain this supplement for future reference.

The changes described below are being made to the Prospectus.

**SUMMARY FOR DIVERSIFIED BALANCED STRATEGIC ALLOCATION ACCOUNT**

**IMPORTANT NOTICE:** On December 9, 2025, the Board of Directors of Principal Variable Contracts Funds, Inc. approved the acquisition of the assets of the Diversified Balanced Strategic Allocation Account (the "Fund") by the Diversified Balanced Adaptive Allocation Account (the "Proposed Merger"). Additional information about the Proposed Merger will be provided in the Proxy Statement/Prospectus that is expected to be mailed to record date shareholders of the Fund in April 2026. The record date for the determination of shareholders entitled to receive notice of and vote on the Proposed Merger is March 5, 2026, and the Special Meeting of Shareholders of the Fund is tentatively scheduled for April 30, 2026. The Proposed Merger is expected to occur on or about May 1, 2026. The Fund's officers, however, have the discretion to change these dates. In preparation for the Proposed Merger, the Fund may deviate from its stated investment objective and strategies.

*On or about May 1, 2026, delete all references to the Diversified Balanced Strategic Allocation Account from the Prospectus.*

**SUMMARY FOR DIVERSIFIED GROWTH STRATEGIC ALLOCATION ACCOUNT**

**IMPORTANT NOTICE:** On December 9, 2025, the Board of Directors of Principal Variable Contracts Funds, Inc. approved the acquisition of the assets of the Diversified Growth Strategic Allocation Account (the "Fund") by the Diversified Growth Adaptive Allocation Account (the "Proposed Merger"). Additional information about the Proposed Merger will be provided in the Proxy Statement/Prospectus that is expected to be mailed to record date shareholders of the Fund in April 2026. The record date for the determination of shareholders entitled to receive notice of and vote on the Proposed Merger is March 5, 2026, and the Special Meeting of Shareholders of the Fund is tentatively scheduled for April 30, 2026. The Proposed Merger is expected to occur on or about May 1, 2026. The Fund's officers, however, have the discretion to change these dates. In preparation for the Proposed Merger, the Fund may deviate from its stated investment objective and strategies.

*On or about May 1, 2026, delete all references to the Diversified Growth Strategic Allocation Account from the Prospectus.*

**SUMMARY FOR LARGECAP S&P 500 MANAGED VOLATILITY INDEX ACCOUNT**

**LIQUIDATION NOTICE:** On December 9, 2025, the Board of Directors of Principal Variable Contracts Funds, Inc. approved a Plan of Liquidation and Termination (the "Plan") for the LargeCap S&P 500 Managed Volatility Index Account (the "Fund"). Pursuant to the Plan, the Fund will liquidate on or about March 25, 2026 (the "Liquidation Date"). On the Liquidation Date, all outstanding shares will be redeemed at net asset value, proceeds will be sent to shareholders of record, and the Fund will discontinue its operations. To prepare for liquidation, the Fund may deviate from its stated investment objective and strategies.

------

*On the Liquidation Date, delete all references to the LargeCap S&P 500 Managed Volatility Index Account from the Prospectus.*

**MANAGEMENT OF THE FUNDS**

*At the time of liquidation of the LargeCap S&P 500 Managed Volatility Index Account, delete all references to* Spectrum Asset Management, Inc. *under* **The Sub-Advisors** *section*.

The changes described below are being made to the Statement of Additional Information.

*The proposed mergers of the Diversified Balanced Strategic Allocation Account into the Diversified Balanced Adaptive Allocation Account and the Diversified Growth Strategic Allocation Account into the Diversified Growth Adaptive Allocation Account are expected to occur on or about May 1, 2026 (the "Merger Date"). The Funds' officers, however, have the discretion to change this date. On the Merger Date, delete all references to the Diversified Balanced Strategic Allocation Account and the Diversified Growth Strategic Allocation Account.* 

*On December 9, 2025, the Board of Directors of Principal Variable Contracts Funds, Inc. approved a Plan of Liquidation and Termination (the "Plan") for the LargeCap S&P 500 Managed Volatility Index Account (the "Fund"). Pursuant to the Plan, the Fund will liquidate on or about March 25, 2026.* 

*At the time of liquidation, delete all references to the LargeCap S&P 500 Managed Volatility Index Account from the Statement of Additional Information.* 

*At the time of liquidation, delete all references to Spectrum Asset Management, Inc. from the Statement of Additional Information.*

------

**LEADERSHIP STRUCTURE AND BOARD**

*In the* **Committee** *table, delete the members of the 15(c), Audit, Nominating and Governance, and Operations Committees and replace with the following:*

---

| |
|:---|
| **Committee Members** |
| <u>15(c) Committee</u> |
| Padelford L. Lattimer, Chair<br>Katharin S. Dyer<br>Karen McMillan |
| <u>Audit Committee</u>  |
| Frances P. Grieb, Chair<br>Craig Damos<br>Victor L. Hymes<br>Sharmila C. Kassam |
| <u>Nominating and Governance Committee</u> |
| Victor L. Hymes, Chair<br>Craig Damos<br>Frances P. Grieb<br>Thomas A. Swank |
| <u>Operations Committee</u>  |
| Thomas A. Swank, Chair<br>Katharin S. Dyer<br>Padelford L. Lattimer |

---

*Under* **Additional Information Regarding Board Members and Officers**, *in the* **PRINCIPAL FUNDS OFFICERS** *table, delete the row for Mandy L. Huebbe.*

*Under the* **Board Member and Officer Compensation** *section, delete the first paragraph and replace with the following:*

The Principal Funds do not pay any remuneration to officers or to any Board Members listed above as Interested Board Members. The Board annually considers a proposal to reimburse PGI for certain expenses, including a portion of the compensation of the Chief Compliance Officer ("CCO"). If the proposal is adopted, these amounts are allocated across all Funds and the other PGI-sponsored registered investment companies for which the CCO serves as the Chief Compliance Officer.