T. Rowe Price Group reports developments tied to its global asset management business, including assets under management, client flows, earnings, dividends, stockholder meeting results, and capital return activity. Company updates also cover its investment platform across equity, fixed income, multi-asset, and alternative strategies, with recurring references to retirement-related assets and client solutions.
News about T. Rowe Price also includes product and platform changes such as fixed income vehicles, CLO activity, 529 education savings offerings, private credit initiatives associated with OHA, and investment commentary from the firm's research and portfolio teams.
T. Rowe Price Group reported preliminary assets under management of $1.59 trillion as of May 31, 2021. The firm experienced $0.5 billion in client transfers from mutual funds during May 2021, totaling $12.0 billion year-to-date. The breakdown of assets includes $705 billion in equity and blended assets, $145 billion in fixed income, and $376 billion in target date retirement products. The data reflects ongoing client reallocation strategies and strong performance in target date retirement offerings.
T. Rowe Price released its annual 401(k) benchmarking report, revealing key insights on participant behavior and plan design influenced by the pandemic. Highlights include a rise in average pretax deferral rates from 7.6% in 2019 to 7.8% in 2020, and a 13% increase in average account balances over the year. The adoption of Roth 401(k)s grew, with plans offering these options increasing from 60% to 80%. While some plans changed their designs, 46% reinstated original features early in 2021, reflecting a commitment to employee savings.
T. Rowe Price has introduced a new framework aimed at helping defined contribution (DC) plan sponsors evaluate retirement income solutions for participants. Research indicates that retirement income is a priority for plan sponsors, yet progress in implementing these solutions remains slow. The new framework is designed to assist sponsors in identifying suitable retirement income options tailored to participants' needs. T. Rowe Price emphasizes the importance of understanding retiree needs and suggests that a suite of income solutions is preferable over a single offering, a view supported by 94% of DC consultants.
T. Rowe Price Group (NASDAQ: TROW) announced a reduction in expenses for its target date mutual funds and trusts, effective July 1, 2021. The company has filed with the SEC to launch a new Retirement Blend Fund series, combining active and passive strategies. The average fee reduction across mutual funds is 6.3 basis points, enhancing investor value. This initiative aims to broaden the firm's target date solutions, positioning T. Rowe Price as a leader in retirement investing.
On May 21, 2021, T. Rowe Price's George Riedel praised the reintroduction of a bipartisan retirement savings bill by Senators Cardin and Portman. The bill aims to enhance retirement savings by encouraging automatic contribution plans, simplifying disclosures, and allowing older workers greater flexibility in saving. Riedel emphasized the importance of passing this legislation swiftly to benefit American savers, while noting discussions on balancing budgetary concerns with the interests of retirement savers. T. Rowe Price manages $1.59 trillion in assets as of April 30, 2021.
T. Rowe Price Group (TROW) is enhancing its retirement recordkeeping services by deepening its partnership with FIS (FIS), a leader in fintech and retirement operations. This relationship, stemming from a 30-year collaboration, aims to improve operational efficiency and deliver innovative retirement solutions. As part of the transition, about 800 T. Rowe Price associates will shift to FIS while continuing their roles in Owings Mills and Colorado Springs. T. Rowe Price will focus on investment management and client service, leveraging FIS's technology to modernize recordkeeping and enhance digital capabilities.
T. Rowe Price Group, as of April 30, 2021, reported preliminary month-end assets under management of $1.59 trillion. In April, client transfers to other portfolios totaled $5.9 billion, with $5.2 billion going to target-date retirement trusts. The company's assets under management for U.S. mutual funds includes $539 billion in equity and $84 billion in fixed income. Year-to-date, total assets increased from $1.47 trillion at the end of 2020 and $1.52 trillion at the end of March 2021.
T. Rowe Price Group (TROW) has declared a quarterly dividend of $1.08 per share, payable on June 29, 2021, to stockholders on record as of June 15, 2021. At its annual meeting, all 11 Board nominees were elected, and shareholders approved the 2020 executive compensation. KPMG LLP was reappointed as the independent accounting firm for 2021. A stockholder proposal for a climate change report was rejected. As of March 31, 2021, the company manages $1.52 trillion in assets.
T. Rowe Price Group reported its financial results for Q1 2021, holding $1.52 trillion in assets under management as of March 31, 2021. The firm offers a diverse range of investment services, including mutual funds and separate account management for both individual and institutional investors. The company's disciplined investment approach emphasizes diversification, style consistency, and fundamental research.
T. Rowe Price Group (TROW) announced the upgrade of its Retirement Funds target date series to a Morningstar Gold Analyst Rating. This upgrade reflects the firm's strong multi-asset management team, led by Wyatt Lee, and robust research capabilities. The Retirement series has consistently outperformed its S&P Target-Date Index, with a 106 basis points average advantage over 10 years. Moreover, twelve of the 22 underlying funds have earned 4- or 5-star ratings from Morningstar, showcasing solid risk-adjusted performance. The firm is recognized for its high equity allocation designed to mitigate the risk of outliving assets.