Principal Funds picks 2 to subadvise on Global Diversified Income Fund

Updated with correction.

Principal Funds hired DDJ Capital Management and Post Advisory Group as subadvisers on the high-yield portion of the $5.2 billion Global Diversified Income Fund, confirmed spokeswoman Jaime Naig.

Post Advisory Group has a target allocation of 10% of the fund's total assets and DDJ, 8%. Guggenheim Partners Investment Management already manages about 20% of the fund's assets in high yield.

“Due to the rapid asset growth of the fund, Guggenheim reached capacity so we needed to hire additional high-yield subadvisers,” Ms. Naig said in an e-mail.