State Street Corporation (NYSE: STT) will provide custody, fund accounting and administration services for Principal Financial Group's mutual funds under an expanded agreement between the companies.

Principal Financial Group (NASDAQ: PFG) selected State Street to support its mutual fund business using State Street's investment servicing platform and global operating capabilities. The arrangement builds on a relationship spanning more than a decade, during which State Street has serviced Principal's exchange-traded funds and collective investment trusts.

"Principal has a strong track record of innovation and client focus, and we are pleased to expand our relationship in support of their next phase of growth," said Joerg Ambrosius, president of Investment Services at State Street.

The expanded mandate reflects Principal's strategy to align its operations with scalable infrastructure as it broadens its investment offerings. Principal operates asset management, retirement solutions and insurance businesses globally.

"Partnering with State Street gives us access to a scalable operational structure and speed to market as we continue to transform our U.S. wealth and retirement business," said Kamal Bhatia, president and CEO of Principal Asset Management.

State Street manages $5.6 trillion in assets and provides custody services for $54.5 trillion in assets as of March 31, 2026. The Boston-based company operates in more than 100 geographic markets with approximately 51,000 employees worldwide.

Principal Asset Management manages $593.9 billion in assets and serves more than 1,100 institutional clients across over 80 markets. The information is based on a press release statement from State Street Corporation.