AMENDMENT TO THE PRINCIPAL INVESTORS FUND, INC. SUB-ADVISORY AGREEMENT

                                AMENDMENT TO THE
                         PRINCIPAL INVESTORS FUND, INC.
                             SUB-ADVISORY AGREEMENT

Agreement executed as of the 12th day of December, 2000, to amend the
Sub-Advisory Agreement executed as of October 20, 2000 (and including any
subsequent amendments thereafter) by and between Principal Management
Corporation (hereinafter called the "Manager") and Principal Capital Real Estate
Investors, LLC (hereinafter called "PCREI").

WHEREAS, in the Sub-Advisory Agreement, Manager retained PCREI to furnish it
with portfolio selection and related research and statistical services in
connection with the investment advisory services which the Manager has agreed to
provide to the Principal Investors Fund, Inc. (hereinafter called the "Fund");
and

WHEREAS, the Manager and PCREI now wish to amend the Sub-Advisory Agreement;

NOW, THEREFORE, in consideration of the terms and conditions set forth
hereinafter, the parties agree that effective January 1, 2001 Schedule A will
read as follows:


                                   SCHEDULE A

                Real Estate                                0.52%



                                  Principal Management Corporation

                                        /s/ A. S. Filean
                                  by:____________________________


                                  Principal Capital Real Estate Investors, LLC

                                         /s/ Xxxxxxx X. Xxxxx
                                  by:____________________________