PQIAX vs. PTDIX

Last updated Jun 23, 2026

PQIAX (Principal Equity Income Fund) and PTDIX (Principal LifeTime 2040 Fund) are both mutual funds - PQIAX is a Large Cap Value Equities fund managed by Principal, while PTDIX is a Target Retirement Date fund managed by Principal. Over the past 10 years, PQIAX returned 12.48%/yr vs 10.60%/yr for PTDIX. Their correlation of 0.93 suggests significant overlap in exposure. PQIAX charges 0.86%/yr vs 0.01%/yr for PTDIX.

Performance

PQIAX vs. PTDIX - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Principal Equity Income Fund (PQIAX) and Principal LifeTime 2040 Fund (PTDIX). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, PQIAX achieves a 9.60% return, which is significantly higher than PTDIX's 7.32% return. Over the past 10 years, PQIAX has outperformed PTDIX with an annualized return of 12.48%, while PTDIX has yielded a comparatively lower 10.60% annualized return.

PQIAX

• 1D: 0.25%
• 1M: 1.00%
• YTD: 9.60%
• 6M: 9.19%
• 1Y: 23.37%
• 3Y*: 19.69%
• 5Y*: 11.80%
• 10Y*: 12.48%

PTDIX

• 1D: 1.02%
• 1M: 1.53%
• YTD: 7.32%
• 6M: 7.21%
• 1Y: 18.66%
• 3Y*: 16.00%
• 5Y*: 8.36%
• 10Y*: 10.60%

*Multi-year figures are annualized to reflect compound growth (CAGR)

PQIAX vs. PTDIX - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
PQIAX Principal Equity Income Fund	9.60%	15.29%	26.56%	10.77%	-10.82%	21.88%	6.12%	28.44%	-5.44%	20.53%
PTDIX Principal LifeTime 2040 Fund	7.32%	15.59%	17.43%	18.33%	-18.13%	15.35%	16.04%	24.91%	-7.95%	20.69%

Correlation

The correlation between PQIAX and PTDIX is 0.80, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.80
Correlation (3Y) Calculated over the trailing 3-year period	0.85
Correlation (5Y) Calculated over the trailing 5-year period	0.89
Correlation (10Y) Calculated over the trailing 10-year period	0.90
Correlation (All Time) Calculated using the full available price history since Mar 2, 2001	0.93

The correlation between PQIAX and PTDIX shifts across timeframes, from 0.80 (1 year) to 0.93 (all time), reflecting how their relationship changes across market environments.

Return for Risk

PQIAX vs. PTDIX — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

PQIAX

PQIAX Risk / Return Rank: 71
PQIAX Sharpe Ratio Rank: 68
PQIAX Sortino Ratio Rank: 73
PQIAX Omega Ratio Rank: 63
PQIAX Calmar Ratio Rank: 78
PQIAX Martin Ratio Rank: 74

PTDIX

PTDIX Risk / Return Rank: 47
PTDIX Sharpe Ratio Rank: 42
PTDIX Sortino Ratio Rank: 41
PTDIX Omega Ratio Rank: 43
PTDIX Calmar Ratio Rank: 48
PTDIX Martin Ratio Rank: 58

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

PQIAX vs. PTDIX - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Principal Equity Income Fund (PQIAX) and Principal LifeTime 2040 Fund (PTDIX). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	PQIAX	PTDIX	Difference
Sharpe ratio: Return per unit of total volatility	2.21	1.78	+0.43
Sortino ratio: Return per unit of downside risk	3.25	2.51	+0.74
Omega ratio: Gain probability vs. loss probability	1.40	1.33	+0.07
Calmar ratio: Return relative to maximum drawdown	3.35	2.52	+0.83
Martin ratio: Return relative to average drawdown	13.11	10.99	+2.12

PQIAX vs. PTDIX - Sharpe Ratio Comparison

The current PQIAX Sharpe Ratio is 2.21, which is comparable to the PTDIX Sharpe Ratio of 1.78. The chart below compares the historical Sharpe Ratios of PQIAX and PTDIX, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

PQIAX vs. PTDIX - Drawdown Comparison

The maximum PQIAX drawdown since its inception was -54.68%, roughly equal to the maximum PTDIX drawdown of -54.38%. Use the drawdown chart below to compare losses from any high point for PQIAX and PTDIX.

Drawdown Indicators

	PQIAX	PTDIX	Difference
Max Drawdown Largest peak-to-trough decline	-54.68%	-54.38%	-0.30%
Max Drawdown (1Y) Largest decline over 1 year	-7.07%	-7.32%	+0.25%
Max Drawdown (3Y) Largest decline over 3 years	-15.47%	-13.05%	-2.42%
Max Drawdown (5Y) Largest decline over 5 years	-21.22%	-25.43%	+4.21%
Max Drawdown (10Y) Largest decline over 10 years	-37.67%	-30.02%	-7.65%
Current Drawdown Current decline from peak	-0.69%	-0.45%	-0.24%
Average Drawdown Average peak-to-trough decline	-7.00%	-7.48%	+0.48%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.80%	1.68%	+0.12%

Volatility

PQIAX vs. PTDIX - Volatility Comparison

The current volatility for Principal Equity Income Fund (PQIAX) is 2.92%, while Principal LifeTime 2040 Fund (PTDIX) has a volatility of 4.05%. This indicates that PQIAX experiences smaller price fluctuations and is considered to be less risky than PTDIX based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	PQIAX	PTDIX	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.92%	4.05%	-1.13%
Volatility (6M) Calculated over the trailing 6-month period	7.99%	8.56%	-0.57%
Volatility (1Y) Calculated over the trailing 1-year period	10.71%	10.36%	+0.35%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	15.28%	13.58%	+1.70%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.42%	13.86%	+2.56%

PQIAX vs. PTDIX - Expense Ratio Comparison

PQIAX has a 0.86% expense ratio, which is higher than PTDIX's 0.01% expense ratio.

Dividends

PQIAX vs. PTDIX - Dividend Comparison

PQIAX's dividend yield for the trailing twelve months is around 9.15%, which matches PTDIX's 9.13% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
PQIAX Principal Equity Income Fund	9.15%	9.92%	20.62%	2.58%	5.37%	5.05%	1.52%	4.30%	7.41%	6.28%	3.73%	2.11%
PTDIX Principal LifeTime 2040 Fund	9.13%	9.80%	12.28%	4.40%	8.61%	8.92%	6.01%	7.26%	9.28%	6.07%	4.86%	6.73%

Frequently Asked Questions

Can I hold both PQIAX and PTDIX in my portfolio?

PQIAX and PTDIX have a correlation of 0.80, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, PQIAX or PTDIX?

PTDIX has higher volatility (4.05%) compared to PQIAX (2.92%). In terms of maximum drawdown, PQIAX dropped -54.68% vs PTDIX's -54.38%.

Which has better risk-adjusted returns?

PQIAX currently has the higher Sharpe Ratio (2.21 vs 1.78), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.