ETF Research Center

The investment seeks to provide investment results that closely correspond, before expenses, to the performance of the Nasdaq U.S. Contrarian Value Index . The index uses a quantitative model designed to identify equity securities in the Nasdaq US Large Mid Cap Index that appear to be undervalued by the market relative to their fundamental value, when taking multiple market environments into consideration.

FUND BASICS
Category	US Equities
Fund Sponsor	The Principal Financial Group
Website	www.principalfunds.com
Inception date	Oct 19, 2017
Assets (mns)	$6
Currency	USD
Expense ratio	29 bp
Distributions	Quarterly

FUND STRUCTURE
Regulation	Open-Ended Fund
Custodian
Weighting	Multi-Factor
Index replication
Uses derivatives	No
Options available	No

SECTOR BREAKDOWN

CONSTITUENT BREAKDOWN
No. of constituents	272
Wgt avg mkt cap (mns)	$20,727
Large cap (>$10bn)	41.5%
Mid cap ($2-10bn)	58.2%
Small cap (<$2bn)	0.4%
Developed mkts	100.0%
Emerging mkts	0.0%

TOP TEN HOLDINGS
Total	7.9 %
MASTEC INC	0.9 %
PILGRIM'S PRIDE CORP	0.9 %
PULTE HOMES INC	0.8 %
KANSAS CITY SOUTHERN	0.8 %
DENTSPLY SIRONA, INC.	0.8 %
JABIL CIRCUIT INC	0.8 %
MARVELL TECHNOLOGY GROUP LTD	0.8 %
GRAPHIC PACKAGING HOLDING CO	0.7 %
DR HORTON INC	0.7 %
PERSPECTA, INC.	0.7 %

TOP COUNTRY EXPOSURE
	UNITED STATES	94.6 %
	IRELAND	2.3 %
	BERMUDA	1.9 %
	SWITZERLAND	1.0 %
	BRITAIN	0.2 %

HISTORICAL PERFORMANCE info

	Custom date range	Compare to
	thru

Standardized Annual Returns (thru October 31)
Year-to-date	1 year	5 years	10 years	Since Incep.
21.0%	10.0%	--	--	4.8%

Market Correlations
versus...	Beta	R-squared
S&P500	1.15	92%
MSCI EAFE	1.19	74%
MSCI Emg. Mkts.	0.86	61%

Technical Indicators
Recent close	$27.80
30d moving avg.	$26.91
Annualized volatility	17.5%
Short interest (ETF)	0.1%
Relative strength (RSI)	67

Liquidity measures
Avg. volume (thou.)	0
Turnover	0.0%
Bid/Ask (% of price)	0.20%
ADV underlying (mns)	$32,010

Distributions

FINDING ALTERNATIVE FUNDS

Below is a list of 20 potential alternatives to the Principal Contrarian Value Index ETF based on the alternatives' overlap in portfolio holdings with PVAL. Consider funds with lower expense ratios and/or higher ALTAR Score™ ratings as possible alternatives.

Benchmark ticker:

PVAL

Expense:

29 bp

ALTAR Score™:

7.2%

ALTERNATIVE ETFs BASED ON OVERLAP WITH PVAL
Ticker	Fund Name	Overlap¹ vs PVAL (%)	Expense ratio (bp)	Savings vs PVAL (bp)	ALTAR Score™ (%)	ALTAR vs PVAL (%)
OMFL	Oppenheimer Russell 1000 Dynamic Multifactor	31.4	29	0	9.6	+2.4
FAB	First Trust Multi Cap Value	30.2	71	-42	8.6	+1.4
IWS	iShares Russell Midcap Value	29.9	24	5	7.1	-0.1
USEQ	Invesco Russell 1000 Enhanced Equal Weight	29.0	29	0	6.7	-0.5
JVAL	JPMorgan U.S. Value Factor	28.9	12	17	8.6	+1.4
FNK	First Trust Mid Cap Value AlphaDEX	28.0	70	-41	9.1	+1.9
SCHM	Schwab US Mid Cap	27.5	4	25	6.4	-0.8
FNX	First Trust Mid Cap Core Alpadex	27.4	62	-33	6.8	-0.4
JHMM	John Hancock Multifactor Mid Cap	26.9	44	-15	6.0	-1.2
ULVM	USAA MSCI USA Value Momentum Blend Index	26.7	20	9	7.8	+0.6
DON	WisdomTree Midcap Dividend	26.5	38	-9	7.1	-0.1
OSIZ	Invesco Russell 1000 Size Factor ETF	26.3	19	10	6.4	-0.8
TUSA	First Trust Total US Market AlphaDEX	26.1	70	-41	6.7	-0.5
EUSA	iShares MSCI USA Equal Weight	25.6	15	14	6.6	-0.6
RSP	Invesco S&P 500 Equal Weight	25.5	20	9	6.9	-0.3
EZM	WisdomTree Midcap Earnings	25.5	38	-9	7.8	+0.6
RVRS	Reverse Cap Weighted US Large Cap	25.4	29	0	8.0	+0.8
FLAG	Forensic Accounting	25.4	152	-123	8.6	+1.4
CFO	Victory CEMP US 500 Enhanced Volatility Wtd	25.3	35	-6	6.1	-1.1
CFA	Compass EMP US 500 Volatility Weighted	25.3	35	-6	6.1	-1.1

¹Overlap is the percentage of holdings by weight that are identical. For example, if Fund A has a 2% position in Apple, Inc. (AAPL) and Fund B has a 5% position, their overlapping position in AAPL is 2%.

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RESULTS & ESTIMATES

	2014	2015	2016	2017	2018	2019E	2020E
Sales per share	**	**	**	**	**	**	**
Earnings per share	**	**	**	**	**	**	**
Dividends per share	**	**	**	**	**	**	**
Book value per share	**	**	**	**	**	**	**

Sales per share growth		**%	**%	**%	**%	**%	**%
EPS growth		**%	**%	**%	**%	**%	**%

Sales per share growth		**%	**%	**%	**%	**%	**%
EPS growth		**%	**%	**%	**%	**%	**%

OTHER FUNDAMENTAL METRICS

Long term EPS growth est.	**%		Debt-to-equity	**x
Asset turnover	**%		Assets-to-equity	**x

Return on equity

Revision activity*

*Six months ago = 100

Net margins

Compound annual growth rates

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VALUATION METRICS

	2018	2019E	2020E
Price-to-sales	**	**	**
Price-to-earnings	**	**	**
Price-to-cash flow	**	**	**
Price-to-growth	**	**	**
Price-to-book value	**	**	**
Yield	**	**	**

Historical valuation trends

Forward multiple:	Principal Contrarian Value Index
Relative to:	S&P500	MSCI EAFE	MSCI Emg. Mkts.	Other ETF:

OVERWEIGHT

Above average appreciation potential. A rating of OVERWEIGHT is assigned to ETFs with ALTAR Scores in the 4th quintile (ranking higher than 60%-80%) of their category. Typically, funds in this category consist of stocks trading at attractive valuations and/or having above-average fundamentals.

ALTAR Score™

Calculation of ALTAR Score™
Avg. Return on Equity	11.8	%
Divided by: Fwd. P/BV	1.6	x
Less: Expense ratio	29	bp
Equals: ALTAR Score	7.2	%

More information on ALTAR Score™

MODERN PORTFOLIO THEORY info

CONSENSUS RECOMMENDATIONS: FUND CONSTITUENTS

COMPOSITE RATING	1.55	CATEGORY AVERAGE	1.55

The composite rating is a weighted average of analysts' consensus recommendations for individual ETF constituents, based on the following scale: BUY = 1; OVERWEIGHT = 1.5, HOLD = 2; UNDERWEIGHT = 2.5; and SELL = 3. Readers are cautioned that because analyst ratings tend to be inflated, the composite score may be more useful as a relative measure of sentiment between funds rather than as a stand-alone recommendation.