Principal Financial to increase stake in Columbus Circle

McCaughan is building groups of specialist money managers at Des Moines, Iowa-based Principal, under a so-called multi-boutique model. The company agreed to buy a stake in Liongate Capital Management LLP last year to add hedge funds. In 2011, Principal bought Finisterre Capital LLP and Origin Asset Management LLP to expand in emerging markets.

Assets under management at Stamford, Connecticut-based Columbus Circle have climbed to $17.5 billion as of June 30 from $3.9 billion when Principal made its initial investment, according to the statement, which didn’t disclose terms. Columbus Circle provides growth-oriented domestic portfolios in industries such as health care and technology for retirement plans and institutional investors.