T Rowe Price Grp Stock Price, News & Analysis

T. Rowe Price has launched industry-first pension-linked emergency savings accounts (ESAs) for retirement plan participants, enabled by the SECURE 2.0 Act of 2022. The new feature allows non-highly compensated employees to save up to $2,500 for emergencies within their 401(k), 403(b), or 457(b) plans.

Key findings show that 64% of T. Rowe Price's 401(k) participants cannot cover six months of expenses. Industry projections indicate 70% of advisors expect increased adoption of in-plan solutions within 3-5 years.

The ESAs complement T. Rowe Price's existing emergency savings solutions, including an out-of-plan savings app and emergency expense withdrawals up to $1,000 penalty-free from retirement plans. Once participants reach the ESA limit, additional contributions automatically convert to non-ESA Roth retirement contributions.

T. Rowe Price released its annual 401(k) benchmarking report revealing concerning trends in retirement savings behavior. The average 401(k) loan size increased by 4% in 2024, exceeding inflation rates, with increased borrowing across all age groups. Loan usage rose by two percentage points from 2023, though remaining below 2015-2019 levels.

A financial wellness survey showed 64% of participants cannot cover six months of expenses, with these individuals being twice as likely to take loans. The report highlighted that participants using target date products are 20 times less likely to make investment exchanges, with 84% staying within target date funds when they do make changes.

Notable findings include that 23% of participants aged 63+ are invested in different target years than the assumed retirement age of 65, and 55% of retirement-age participants exit the plan within four years of termination, while 50% of plan sponsors prefer participants maintain their balances in-plan during retirement.

T. Rowe Price Group (NASDAQ-GS: TROW) reported preliminary assets under management of $1.57 trillion as of March 31, 2025. The company experienced net outflows of $1.8 billion for March 2025 and $8.6 billion for Q1 2025, including $0.7 billion of Manager-driven distributions.

The asset breakdown shows:

• Equity: $773 billion
• Fixed income (including money market): $196 billion
• Multi-asset: $544 billion
• Alternatives: $53 billion

Target date retirement portfolios stood at $484 billion. The company will release Q1 2025 earnings on May 2, 2025, at 7:00 AM ET, followed by an earnings call at 8:00 AM ET.

SS&C Technologies Holdings (SSNC) has announced the renewal of its transfer agency agreement with T. Rowe Price for their U.K. fund range. The partnership involves SS&C providing transfer agency services for T. Rowe's OEIC funds, which currently manage approximately £1.5 billion in assets.

SS&C administers 21 of T. Rowe's active funds, focusing on distributors and nominees. The services include straight-through processing of trades, settlement support, and comprehensive reporting through SS&C's secure distributor portal. The renewal highlights SS&C's strong position in providing distribution solutions and technology services in the U.K. market.

T. Rowe Price (TROW) has released the latest episode of its investment-themed podcast series 'The Angle', featuring an interview with Intuitive Surgical CEO Gary Guthart. The episode, hosted by Eric Veiel, T. Rowe Price's head of Global Investments and CIO, explores advancements in robotic surgery, Intuitive Surgical's ecosystem, and Guthart's leadership journey.

The episode marks the third installment of the new season, following previous conversations with GE Aerospace's H. Lawrence Culp, Jr. and The New York Times Company's Meredith Kopit Levien. The podcast is available on Spotify and Apple Podcasts, with future episodes to be announced. This series complements T. Rowe Price's other podcast, 'CONFIDENT CONVERSATIONS® on Retirement', which launched its fourth season in November 2024.

T. Rowe Price (NASDAQ-GS: TROW) has launched Social Security Analyzer (SSAnalyzer™), a free tool for financial advisors to optimize clients' Social Security benefits through custom strategies and in-depth analysis. The launch comes after a survey revealed widespread lack of understanding about Social Security benefits among retirement savers.

The tool enables evaluation of spending needs, lifetime income analysis, and assessment of factors like taxes, cost of living adjustments, and inflation. Alongside SSAnalyzer, the company introduced 'The Power of Social Security' program, offering educational resources including continuing education videos, presentations, and white papers for advisors and clients.

This initiative follows the 2024 launch of Social Security Optimizer for individual investors and 401(k) plan participants, building upon T. Rowe Price's acquisition of Retiree, Inc. and its experience in retirement services.

T. Rowe Price (TROW) has expanded its active ETF lineup with two new transparent equity funds trading on NYSE Arca. The T. Rowe Price Capital Appreciation Premium Income ETF (TCAL) and T. Rowe Price Hedged Equity ETF (THEQ) bring the firm's total active ETF offerings to 19.

THEQ, managed by Sean McWilliams, aims for long-term capital growth by investing 80% in equities, combining U.S. Structured Research Equity Strategy with a derivatives hedging approach. It has an expense ratio of 0.46%.

TCAL, co-managed by award-winning portfolio manager David Giroux and five other professionals, focuses on high-quality stocks and covered calls to maximize income and preserve principal. It has a 0.34% expense ratio. The ETFs complement T. Rowe Price's mutual fund offerings, providing benefits like tax efficiency and intraday trading flexibility.

T. Rowe Price (TROW) has released a new white paper highlighting significant knowledge gaps in Social Security benefits understanding among retirement savers. The study, based on their 2024 Retirement Savings and Spending Study, reveals that even pre-retirees lack basic comprehension of the system.

Key findings show that while most pre-retirees (aged 50+) understand early claim penalties, only 62% know benefits increase with delayed claims, and just 45% know their approximate benefit amount. Among younger generations, 80% understand payroll tax funding, but two-thirds incorrectly believe benefits automatically start at 65.

Confidence in Social Security is notably low, with only 38% of respondents believing in the system's ability to pay scheduled benefits. Gen Z and millennials expect to receive just over half their scheduled benefits, while boomers anticipate 88%. The study also found support for proposed funding solutions, with 64% of respondents using SSA.gov for information, increasing to 85% among those aware of their benefits.

T. Rowe Price Group (NASDAQ-GS: TROW) has reported its preliminary assets under management (AUM) for February 2025, totaling $1.63 trillion as of February 28, 2025. The company experienced net outflows of $4.7 billion during February 2025.