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T. Rowe Price, a global investment management firm, announced the launch of its first thematic actively managed exchange-traded fund, T. Rowe Price Technology ETF (Ticker: TTEQ). The new ETF began trading on the NASDAQ exchange today.
The T. Rowe Price Technology ETF focuses on the technology sector, applying an active and opportunistic approach to a global technology universe. With a portfolio of 40-50 high-conviction investments, the ETF centers on the most innovative and fastest-growing subsectors of the market that are powered by technology over a full market cycle.
T. Rowe Price Technology ETF is managed by Dominic Rizzo, who has ten years of investment expertise at T. Rowe Price and serves as the portfolio manager of the Global Technology Equity strategy, which has assets under management that total $9.4 billion, as of June 30, 2024. The Technology ETF is a new strategy distinct from existing T. Rowe Price mutual funds.
T. Rowe Price Technology ETF (Ticker: TTEQ)
- Seeks to provide long-term capital growth, investing at least 80% of its net assets in securities of companies it expects to generate a majority of their revenue from technology or those whose competitive edge and/or market share are largely based on their technology capabilities.
- Net expense ratio is 0.63%
T. Rowe Price introduced its first active ETFs in August 2020, and the launch expands the firm’s active ETF lineup to 17, including five semi-transparent ETFs, six transparent fixed income ETFs and six transparent equity ETFs. The active ETFs complement the firm’s traditional mutual fund offerings and deliver key features associated with ETFs that some investors may prefer, such as tax efficiency, more competitive expense ratios, and the flexibility to buy and sell shares throughout the trading day.
QUOTES
Dominic Rizzo, CFA®, Portfolio Manager
“Leveraging our deep industry expertise and commitment to rigorous research, TTEQ targets mission-critical, linchpin technologies from companies innovating in secular growth markets. We look to navigate different market environments responsibly by tactically allocating to these enduring technology companies when they exhibit improving fundamentals and are trading at reasonable valuations. In a rapidly advancing technology landscape, we believe this strategy offers an appealing option to investors who favor the ETF format and are seeking to invest in attractive opportunities globally.”
Tim Coyne, Global Head of Exchange-Traded Funds
“The launch of the Technology ETF underscores our commitment to providing innovative offerings that meet our clients’ evolving needs in the ETF wrapper. As our ETF roster grows, our expansion into thematic offerings enables investors to tap into specific sectors and trends, like technology, and access the best of our active management expertise paired with the benefits of the ETF vehicle.”
Source: T. Rowe Price