Principal Financial Group Named to World’s Most Ethical Companies List for 2026

Principal Financial Group has, for the 15th time, been recognized as one of the World’s Most Ethical Companies by Ethisphere, an organization that evaluates corporate ethics. The 2026 list, announced March 18, places Des Moines-based Principal among 138 companies globally recognized for sustained commitment to ethical business practices. The designation comes as scrutiny of corporate governance and social responsibility continues to increase among investors and consumers.

Ethisphere’s assessment is based on its Ethics Quotient (EQ), a framework that scores companies on over 240 data points. These points cover areas including corporate governance, compliance programs, risk assessment, and environmental and social impact. The methodology aims to identify companies that go beyond simple compliance and actively embed ethics into their culture and decision-making processes. More details on the EQ framework are available on Ethisphere’s website: https://www.ethisphere.com/worlds-most-ethical-companies/.

A Culture of Integrity, According to Principal

“We’re honored to be recognized as one of the World’s Most Ethical Companies for 2026,” said Deanna Stable, chair, president, and CEO of Principal, in a prepared statement. “This recognition belongs to our employees, whose daily commitment has built a culture where ethics and integrity are a core part of who we are as a company. As we continue to help more people and businesses build their financial futures, this recognition reinforces that doing what’s right—consistently and authentically—is both a competitive strength and a fundamental part of our culture.”

Principal Financial Group operates globally, providing retirement, asset management, and insurance solutions. As of December 31, 2025, the company reported approximately $1.28 trillion in assets under management (AUM), according to its investor relations page. The company’s financial performance is closely tied to broader market conditions and the financial well-being of its customers, making a strong ethical foundation particularly critical for maintaining trust.

The Broader Landscape of Ethical Recognition

The 2026 World’s Most Ethical Companies list includes organizations across 19 countries and 41 industries. This year’s honorees demonstrate a commitment to transparency, accountability, and trust, according to Ethisphere. The recognition isn’t merely symbolic; companies with strong ethical reputations often benefit from increased customer loyalty, improved employee engagement, and reduced regulatory risk.

Erica Salmon Byrne, Ethisphere’s chief strategy officer and executive chair, noted that companies with robust ethics programs are “built for better long-term performance.” This suggests a growing recognition that ethical behavior isn’t just a matter of corporate social responsibility, but a key driver of sustainable business success. The full list of 2026 honorees can be found on Financial Content.

Implications for the Financial Services Sector

The financial services industry has faced increased scrutiny in recent years, particularly in the wake of the 2008 financial crisis and subsequent regulatory reforms. Maintaining public trust is paramount for companies like Principal, which manage the retirement savings and financial futures of millions of individuals and businesses.

The designation as one of the World’s Most Ethical Companies could provide Principal with a competitive advantage in attracting and retaining both customers and employees. A strong ethical reputation can also help the company navigate complex regulatory landscapes and mitigate potential legal risks. The Financial Times also covered the recognition, highlighting Principal’s consistent leadership in integrity: https://markets.ft.com/data/announce/full?dockey=600-202603181009BIZWIRE_USPRX____20260318_BW588858-1.

What’s Next for Principal and Ethisphere

Principal will likely continue to emphasize its commitment to ethical business practices in its investor communications and marketing materials. The company’s ongoing efforts to strengthen its compliance programs and promote a culture of integrity will be crucial for maintaining its position as a leader in ethical conduct.

Ethisphere will continue to refine its Ethics Quotient methodology and assess companies’ ethical performance on an annual basis. The organization’s work plays a vital role in promoting ethical leadership and accountability across the global business community. Investors increasingly use ESG (Environmental, Social, and Governance) factors – including ethical conduct – when making investment decisions, further reinforcing the importance of these types of recognitions.