SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

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                                    FORM 8-K

                                 CURRENT REPORT

                     PURSUANT TO SECTION 13 OR 15(D) OF THE
                         SECURITIES EXCHANGE ACT OF 1934

                        Date of Report: OCTOBER 14, 2004
                        (Date of earliest event reported)

                         PRINCIPAL FINANCIAL GROUP, INC.
             (Exact name of registrant as specified in its charter)

        DELAWARE                       1-16725                 42-1520346
(State or other jurisdiction    (Commission file number)    (I.R.S. Employer
  of incorporation)                                      Identification Number)

                     711 HIGH STREET, DES MOINES, IOWA 50392
                    (Address of principal executive offices)

                                 (515) 247-5111
              (Registrant's telephone number, including area code)

Check  the  appropriate  box  below  if the  Form  8-K  filing  is  intended  to
simultaneously  satisfy the filing obligation of the registrant under any of the
following provisions:

[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR
    230.425)
[ ] Soliciting  material pursuant to Rule 14a-12 under the Exchange Act (17  CFR
    240.14a-12)
[ ] Pre-commencement  communications  pursuant  to  Rule 14d-2(b) under the
    Exchange Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange
    Act (17 CFR 240.13e-4(c))

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ITEM 7.01  REGULATION FD DISCLOSURE

On October 14, 2004,  Principal  Financial Group,  Inc.  publicly  announced the
acquisition of a majority interest in Columbus Circle Investors. Under the terms
of the agreement,  Principal Global Investors LLC, a wholly-owned  subsidiary of
the Principal  Financial  Group,  will acquire a 70 percent interest in Columbus
Circle Investors for approximately $60 million.

The  transaction  is expected to close in early 2005.  The  Principal  Financial
Group expects the  acquisition  to have an immaterial  impact on fourth  quarter
2004 net  income  and  operating  earnings,  as the  Company  accrues  for minor
acquisition-related  expenses.  The Company also expects the  transaction  to be
slightly accretive to net income and operating earnings in 2005.

ITEM 9.01 FINANCIAL STATEMENTS AND EXHIBITS

99.1 Press Release regarding acquisition of majority interest in Columbus Circle
     Investors.

                                    SIGNATURE

         Pursuant to the  requirements  of the  Securities  and  Exchange Act of
1934,  the  registrant has duly caused this report to be signed on its behalf by
the undersigned thereunto duly authorized.

                                    PRINCIPAL FINANCIAL GROUP, INC.

                                    By:      /S/ THOMAS J. GRAF
                                             -----------------------------------
                                    Name:    Thomas J. Graf
                                    Title:   Senior Vice President - Investor
                                             Relations

Date:    October 14, 2004

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RELEASE:                      On receipt
MEDIA CONTACT:                Jeff Rader, 515-247-7883, rader.jeff@principal.com
INVESTOR RELATIONS CONTACT:   Tom Graf, 515-235-9500,
                              investor-relations@principal.com

           PRINCIPAL GLOBAL INVESTORS(R) TO ACQUIRE MAJORITY INTEREST
                          IN COLUMBUS CIRCLE INVESTORS
                   STRENGTHENS CAPABILITIES IN GROWTH EQUITIES

         Des Moines,  IA (October 14, 2004) -- Principal Global Investors LLC, a
wholly owned subsidiary of Principal  Financial Group,  Inc. (NYSE:  PFG), today
announced  it will  acquire a majority  interest  in Columbus  Circle  Investors
(Columbus Circle). Based in Stamford, Connecticut,  Columbus Circle is a premier
asset management firm specializing in growth equities, with more than $3 billion
in assets under management.  The transaction is expected to close in early 2005.
Additional information regarding the agreement is provided in Form 8-K, filed by
the Company with the Securities and Exchange Commission.
         "Over the past three years we've  rapidly  grown  institutional  assets
under  management,"  said Jim McCaughan,  CEO of Principal  Global Investors and
president of global asset  management for The Principal.  "Working with Spectrum
and Post Advisory Group, two firms in which we acquired  interests,  has been an
important part of this growth and  demonstrates our strong success in partnering
with affiliated firms. Columbus Circle's specialized expertise in the management
of growth  equities  complements  our already  strong  equity  investment  team,
furthering  our efforts to gain  recognition in the  marketplace  and to win new
mandates among institutional clients.
         "Importantly,   we  have  consistent  investment   philosophies,"  said
McCaughan.  "We  share a  commitment  to  integrity  and a focus  on  investment
strategies suitable for retirement assets and other long-term savings."
         Columbus   Circle   employs   more  than  20   experienced   investment
professionals  that  specialize  primarily in the  management  of growth  equity
portfolios.  Established in 1975,  the company  provides  investment  management
services  primarily to retirement  plans,  endowments and foundations.  Columbus
Circle also serves as an  investment  sub-advisor  to mutual fund  companies and
other financial institutions.
         The team is led by senior  managing  directors and  portfolio  managers
Anthony Rizza and Clifford  Fox.  Both have been with Columbus  Circle since the
early 1990's.  "Our team is very  enthusiastic  about  establishing  a long-term

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relationship  with The  Principal,"  said  Rizza.  "They  value our  specialized
investment  capabilities and boutique culture, and they share in our belief that
it is essential for Columbus Circle to maintain its focus and autonomy.
         Columbus Circle will retain operational and investment  autonomy,  with
no change to its  investment  philosophy  or  process.  The  company  name,  its
organizational   structure  and   headquarters  in  Stamford  will  also  remain
unchanged.  Key investment and  marketing/client  service executives of Columbus
Circle will continue to have substantial equity interests in the firm.

ABOUT PRINCIPAL GLOBAL INVESTORS
Principal Global Investors is a diversified asset management  organization and a
member of the Principal  Financial Group(R),  with expertise in equities,  fixed
income and real estate investments,  as well as specialized overlay and advisory
services.  Principal  Global  Investors  manages  over $122  billion  in assets,
primarily for retirement plans and other institutional clients.

ABOUT PRINCIPAL FINANCIAL GROUP
The Principal  Financial  Group(R) (The Principal  (R))1 is a leader in offering
businesses,  individuals  and  institutional  clients a wide range of  financial
products and services,  including retirement and investment  services,  life and
health  insurance and banking  through its diverse family of financial  services
companies.  A member of the Fortune 500, the Principal  Financial Group has $152
billion  in assets  under  management2  and  serves  some 14.6  million  clients
worldwide from offices in Asia, Australia,  Europe, Latin America and the United
States. Principal Financial Group, Inc. is traded on the New York Stock Exchange
under the ticker symbol PFG. For more information, visit WWW.PRINCIPAL.COM.

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1    "The Principal  Financial Group" and "The Principal" are registered service
     marks of Principal  Financial  Services,  Inc.,  a member of the  Principal
     Financial Group.

2    As of June 30, 2004

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