A federal judge in Iowa has dismissed a class-action brought by a 401(k) plan sponsor alleging Principal Life Insurance Co. breached its fiduciary duties by charging excessive fees associated with the servicing of the plans. 

McCaffree Financial Corp., the lone named plaintiff in the case, alleged Principal charged "grossly excessive" investment management fees to plan participants by structuring investment products that only invested in Principal propriety mutual funds. 

"By structuring its investment products in this way, Principal reaps substantial fees on top of the fees charged by its own mutual funds. Nothing justifies this extra layer of fees," the complaint, filed last March, said. 

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