T. Rowe Price Group, Inc. is an American publicly owned global

investment management Investment management (sometimes referred to more generally as financial asset management) is the professional asset management of various Security (finance), securities, including shareholdings, Bond (finance), bonds, and other assets, such as r ...

firm that offers

funds Funding is the act of providing resources to finance a need, program, or project. While this is usually in the form of money, it can also take the form of effort or time from an organization or company. Generally, this word is used when a firm us ...

, subadvisory services, separate account management, and

retirement plans A pension (; ) is a fund into which amounts are paid regularly during an individual's working career, and from which periodic payments are made to support the person's retirement from work. A pension may be either a "defined benefit plan", wher ...

and services for individuals, institutions, and financial intermediaries. The firm has assets under management of more than $1.51 trillion and annual revenues of $6.48 billion as of 2023, placing it 537 on the ''Fortune'' 1000 list of the largest U.S. companies. Headquartered at

100 East Pratt Street 100 East Pratt Street is a building located on Pratt Street in the Inner Harbor district of Baltimore, Maryland, that consists of a ten-story concrete building finished in 1975 and a 1991 glass and steel twenty-eight story tower. History The or ...

Baltimore Baltimore is the most populous city in the U.S. state of Maryland. With a population of 585,708 at the 2020 census and estimated at 568,271 in 2024, it is the 30th-most populous U.S. city. The Baltimore metropolitan area is the 20th-large ...

, Maryland, it has 7,868 employees across 17 international offices serving clients in 55 countries. The firm was founded in 1937 by Thomas Rowe Price Jr. who is best known for developing the

growth stock In finance, a growth stock is a stock of a company that generates substantial and sustainable positive cash flow and whose revenues and earnings are expected to increase at a faster rate than the average company within the same industry. A growth c ...

philosophy of investing. As of 2019, the company is focused on active management after strategically deciding against a major initiative in passive investment. Consistently ranked among the world's top asset managers, T. Rowe Price was named one of the best places to work in money management by ''

Pensions & Investments ''Pensions & Investments'' (P&I) is a business magazine that focuses on pensions and investment management for institutional investors. It is owned by Detroit-based Crain Communications. History In 1973, Crain Communications President Rance Cr ...

'' and was one of ''

Fortune Fortune may refer to: General * Fortuna or Fortune, the Roman goddess of luck * Luck * Wealth * Fate * Fortune, a prediction made in fortune-telling * Fortune, in a fortune cookie Arts and entertainment Film and television * ''The Fortune'' (19 ...

'' most admired companies in 2020. Listed on

Nasdaq The Nasdaq Stock Market (; National Association of Securities Dealers Automated Quotations) is an American stock exchange based in New York City. It is the most active stock trading venue in the U.S. by volume, and ranked second on the list ...

under the stock ticker TROW since 1986, T. Rowe Price is a component of the

Nasdaq Financial-100 The Nasdaq Financial-100 (^IXF) is a stock market index operated by Nasdaq consisting of companies that are listed on the Nasdaq stock exchange and that are in the financial services industry, including banking, insurance, mortgages and securities ...

and

S&P 500 The Standard and Poor's 500, or simply the S&P 500, is a stock market index tracking the stock performance of 500 leading companies listed on stock exchanges in the United States. It is one of the most commonly followed equity indices and in ...

indices.

Business philosophy

Thomas Rowe Price Jr. started in finance in the 1920s as an entry-level researcher and

account manager An account manager (AM) is a person who works for a company and is responsible for the management of sales and relationships with particular customers. An account manager maintains the company's existing relationships with a client or group of cli ...

at Baltimore-area brokerages, but disliked the operating models of sales-oriented firms at the time. When he founded T. Rowe Price & Associates in 1937, his firm diverged from the norm in three major ways: charging fees based on

assets under management In finance, assets under management (AUM), sometimes called fund under management, refers to the total market value of all financial assets that a financial institution—such as a mutual fund, venture capital firm, or depository institutio ...

rather than sales volume, actively managing his clients' accounts strictly as a

fiduciary A fiduciary is a person who holds a legal or ethical relationship of trust with one or more other parties (legal person or group of persons). Typically, a fiduciary prudently takes care of money or other assets for another person. One party, ...

, and investing in growth stocks instead of value stocks. He became well known as the "father of growth investing" and was nicknamed the "Sage of Baltimore" by ''

Forbes ''Forbes'' () is an American business magazine founded by B. C. Forbes in 1917. It has been owned by the Hong Kong–based investment group Integrated Whale Media Investments since 2014. Its chairman and editor-in-chief is Steve Forbes. The co ...

''.

History

1937–1986

Thomas Rowe Price, Jr. founded T. Rowe Price & Associates in Baltimore in 1937. The firm was originally headquartered at 10 Light Street and staffed by a small pool of associates, many of whom left

Legg Mason Legg Mason, Inc. was an American investment management and asset management firm headquartered in Baltimore, founded in 1899 and acquired by Franklin Templeton Investments as of July 2020. As of December 31, 2019, the company had $730.8 billion i ...

's precursor, MacKubin, Legg and Co., along with Price. Initially a very small firm focused on

wealth management Wealth management (WM) or wealth management advisory (WMA) is an investment advisory service that provides financial management and wealth advisory services to a wide array of clients ranging from affluent to high-net-worth (HNW) and ultra-hi ...

, and private investment accounts for Baltimore-area families, the company struggled during the

Great Depression The Great Depression was a severe global economic downturn from 1929 to 1939. The period was characterized by high rates of unemployment and poverty, drastic reductions in industrial production and international trade, and widespread bank and ...

and

World War II World War II or the Second World War (1 September 1939 – 2 September 1945) was a World war, global conflict between two coalitions: the Allies of World War II, Allies and the Axis powers. World War II by country, Nearly all of the wo ...

before gaining solid footing at the end of the 1940s. By 1950, its clientele grew too large for the staff to manage accounts individually, so the firm incorporated and launched its first mutual fund, the T. Rowe Price Growth Stock Fund. Gaining traction in Baltimore and along the U.S. eastern seaboard, the firm continued a steady expansion of clientele, staff, and geographic reach. By 1960, Price opened a second fund, named the New Horizons Fund, focused on growth investment opportunities, and especially technology firms like

Xerox Xerox Holdings Corporation (, ) is an American corporation that sells print and electronic document, digital document products and services in more than 160 countries. Xerox was the pioneer of the photocopier market, beginning with the introduc ...

IBM International Business Machines Corporation (using the trademark IBM), nicknamed Big Blue, is an American Multinational corporation, multinational technology company headquartered in Armonk, New York, and present in over 175 countries. It is ...

, and

Boeing The Boeing Company, or simply Boeing (), is an American multinational corporation that designs, manufactures, and sells airplanes, rotorcraft, rockets, satellites, and missiles worldwide. The company also provides leasing and product support s ...

. In need of more room, the headquarters were moved in 1962 to the new

One Charles Center One Charles Center is a historic office building located in Baltimore, Maryland, United States. It is a 23-story aluminium and glass International Style skyscraper designed by Ludwig Mies van der Rohe and constructed in 1962. It was the first ...

building designed by

Ludwig Mies van der Rohe Ludwig Mies van der Rohe ( ; ; born Maria Ludwig Michael Mies; March 27, 1886August 17, 1969) was a German-American architect, academic, and interior designer. He was commonly referred to as Mies, his surname. He is regarded as one of the pionee ...

nearby in downtown Baltimore. At the same time, Price began to prepare for retirement, resigning as president of the firm in 1963, delegating some responsibilities, and selling his shares in the company. Despite this, Price maintained an active presence in the firm for several years and urged the opening of the New Era Fund in 1969 as a response to the rapid

inflation In economics, inflation is an increase in the average price of goods and services in terms of money. This increase is measured using a price index, typically a consumer price index (CPI). When the general price level rises, each unit of curre ...

he predicted would dominate the 1970s. In 1971, the year Price completely retired, T. Rowe Price opened its Fixed Income Division, and began to modernize and diversify its operations. In the 1970s and early 1980s, T. Rowe Price kicked off more assertive growth than before, moving to its current location at

and opening its first international office. In 1979, T. Rowe Price launched a

joint venture A joint venture (JV) is a business entity created by two or more parties, generally characterized by shared ownership, shared returns and risks, and shared governance. Companies typically pursue joint ventures for one of four reasons: to acce ...

with British asset manager Robert Fleming & Co. named Rowe Price-Fleming International. The venture, which managed $39 billion at its height in 2000, allowed T. Rowe Price to offer a broader range of services and expertise internationally.

1986–2010

T. Rowe Price held its

initial public offering An initial public offering (IPO) or stock launch is a public offering in which shares of a company are sold to institutional investors and usually also to retail (individual) investors. An IPO is typically underwritten by one or more investm ...

, valued at nearly $200 million, in 1986. Shortly thereafter, the firm began establishing larger office complexes in the U.S. and research offices around the world, beginning with a Hong Kong office in 1987. Retirement Plan Services were launched in the 1990s alongside additional new services and funds, including mutual funds acquired from other companies such as

USF&G USF&G was an American insurance company that existed from 1896 until 1998. It was originally called the United States Fidelity and Guaranty Company. The insurer formed a holding company for its insurance businesses and changed its name to USF&G i ...

. This momentum, and the firm reaching $100 billion assets under management, pushed T. Rowe Price to create an asset management partnership with

Sumitomo Bank was a major Japanese bank, founded 1895 in Osaka and a central component of the Sumitomo Group. For much of the 20th century it was one of the largest Japanese banks, together with Dai-Ichi Bank, Mitsubishi Bank, Mitsui Bank, and Yasuda / Fu ...

and

Daiwa Securities is a Japanese investment bank that is the second largest securities brokerage after Nomura Securities. Major subsidiaries include ''Daiwa Securities'', which offers retail services such as online trading to individual investors and investment ...

in Tokyo in 1999, and to purchase 100% interest of the London-based Rowe Price-Fleming International, which was renamed T. Rowe Price International. Also in 1999, T. Rowe Price was added to the

S&P 500 Index The Standard and Poor's 500, or simply the S&P 500, is a stock market index tracking the stock performance of 500 leading companies listed on stock exchanges in the United States. It is one of the most commonly followed equity indices and in ...

. T. Rowe Price largely avoided the

dot-com bubble The dot-com bubble (or dot-com boom) was a stock market bubble that ballooned during the late-1990s and peaked on Friday, March 10, 2000. This period of market growth coincided with the widespread adoption of the World Wide Web and the Interne ...

of 2000. ''The

Wall Street Journal ''The Wall Street Journal'' (''WSJ''), also referred to simply as the ''Journal,'' is an American newspaper based in New York City. The newspaper provides extensive coverage of news, especially business and finance. It operates on a subscriptio ...

'' expressed surprise at the firm's moderation with avoiding concentrated holdings in trendy internet technology stocks, in an article published a week before the markets began to crash in March 2000. In 2001, the company launched T. Rowe Price Funds SICAV, domiciled in Luxembourg, for non-U.S. institutional investors and

financial intermediaries A financial intermediary is an institution or individual that serves as a "Intermediary, middleman" among diverse parties in order to facilitate financial transactions. Common types include commercial banks, investment banks, stockbrokers, insura ...

. Two years later it created target-date retirement funds. In 2010, T. Rowe Price bought a significant interest in

Unit Trust of India UTI Asset Management Company (UTI AMC) is one of India's leading asset management companies. It manages mutual funds, portfolio management services, and retirement solutions for individual and institutional investors. UTI Mutual Fund was launch ...

, India's oldest mutual fund company and one of its five largest. Since 2000, T. Rowe Price has opened global offices in locations ranging from Madrid and Dubai to Stockholm and Sydney.

2010–present

As of 2019, T. Rowe Price has continued to focus on

active management Active may refer to: Music * ''Active'' (album), a 1992 album by Casiopea * "Active" (song), a 2024 song by Asake and Travis Scott from Asake's album ''Lungu Boy'' * Active Records, a record label Ships * ''Active'' (ship), several com ...

rather than

passive management Passive management (also called passive investing) is an investing strategy that tracks a market-weighted index or portfolio. Passive management is most common on the equity market, where index funds track a stock market index, but it is becom ...

. Since 2010, T. Rowe Price increased its assets under management from $400 billion to $1.51 trillion and annual revenues increased more than 10 percent to $6.48 billion, placing it 537 on the

Fortune 1000 {{location map+ , United States , float=right , width=400, relief=1 , caption=''Fortune'' 1000 company headquarters locations. Top 20 companies labeled, places= {{location map~ , United States , lat= 36.365378 , long= -94.217629 , label= Walmart, ...

list of the largest U.S. companies.

Branding and sponsorships

T. Rowe Price's corporate logo since 1983 is a

bighorn sheep The bighorn sheep (''Ovis canadensis'') is a species of Ovis, sheep native to North America. It is named for its large Horn (anatomy), horns. A pair of horns may weigh up to ; the sheep typically weigh up to . Recent genetic testing indicates th ...

affectionately known within the firm as Trusty. The firm explained its symbol, "Known for its sure-footed agility and sharp vision, the bighorn sheep's ability to navigate challenging terrain with purpose and independence is an apt reflection of T. Rowe Price's mission and positioning." The firm was announced as the first-ever

jersey Jersey ( ; ), officially the Bailiwick of Jersey, is an autonomous and self-governing island territory of the British Islands. Although as a British Crown Dependency it is not a sovereign state, it has its own distinguishing civil and gov ...

sponsor of the

Baltimore Orioles The Baltimore Orioles (also known as the O's) are an American professional baseball team based in Baltimore. The Orioles compete in Major League Baseball (MLB) as a member club of the American League (AL) East Division. As one of the America ...

on June 10, 2024. A circular dark blue,

aqua Aqua is the Latin word for water. As such, it is often used in many words which relate to water, such as aquatic life. In English, it may also refer to: Arts * Aqua (color), a greenish-blue color Business * Aqua (Chicago), an 82-story resid ...

and white sleeve patch with Trusty on it debuted in a

home A home, or domicile, is a space used as a permanent or semi-permanent residence for one or more human occupants, and sometimes various companion animals. Homes provide sheltered spaces, for instance rooms, where domestic activity can be p ...

game against the

Atlanta Braves The Atlanta Braves are an American professional baseball team based in the Atlanta metropolitan area. The Braves compete in Major League Baseball (MLB) as a member club of the National League (baseball), National League (NL) National League Eas ...

the following night on June 11.

Awards and recognition

* 2017 Ranked one of the World's Most Admired Companies by ''

'' * 2016 Top Companies for Women Technologists by the

Anita Borg Institute AnitaB.org (formerly Anita Borg Institute for Women and Technology, and Institute for Women in Technology) is a global nonprofit organization based in Belmont, California. Founded by computer scientists Anita Borg and Telle Whitney, the institut ...

Leadership Index * 2015 P&I Best Places to Work in Money Management by Pension&Investments * 2015 Best Employers for Healthy Lifestyle by the National Business Group on Health

Notable people

Board of directors

* Glenn August, Founder and CEO of Oak Hill Advisors, L.P. * Mark S. Bartlett, Former Managing Partner of

Ernst & Young EY, previously known as Ernst & Young, is a multinational corporation, multinational professional services partnership, network based in London, United Kingdom. Along with Deloitte, KPMG and PwC, it is one of the Big Four accounting firms, Big F ...

* William P. Donnelly, Former Executive Vice President of Mettler-Toledo * Dina Dublon, Former Vice President and Chief Financial Officer of JPMorgan Chase & Co. * Robert F. MacLellan, Chairman of Northleaf Capital Partners * Eileen Rominger, Former Senior Advisor of CamberView Partners * Rob Sharps, President, and CEO of T. Rowe Price * Cynthia Smith, Senior Vice President, Regional Business and Distribution Development of

MetLife MetLife, Inc. is the Holding company, holding corporation for the Metropolitan Life Insurance Company (MLIC), better known as MetLife, and its affiliates. MetLife is among the largest global providers of insurance, Annuity (US financial produ ...

* Robert J. Stevens, Former Chairman and CEO of

Lockheed Martin The Lockheed Martin Corporation is an American Arms industry, defense and aerospace manufacturer with worldwide interests. It was formed by the merger of Lockheed Corporation with Martin Marietta on March 15, 1995. It is headquartered in North ...

* Sandra S. Wijnberg, Executive Adviser at Aquiline Capital Partners LLC * Alan D. Wilson, Former President of

McCormick & Company McCormick & Company, Incorporated is an American food company that manufactures, markets, and distributes spices, seasoning mixes, condiments, and other flavoring products to retail outlets, food manufacturers, and food service businesses. The ...

Others

* Eddie C. Brown, former portfolio manager at T. Rowe Price, Founder and President of Brown Capital Management, and noted philanthropist *

Abby Joseph Cohen Abby Joseph Cohen (born February 29, 1952) is an American economist and financial analyst on Wall Street. She is a professor of business at Columbia Business School. In 1999, she was first named as one of the most powerful women in business by Fo ...

, former research director at T. Rowe Price, named ''Institutional Investor'''s top strategist in the late 1990s. * Roger McNamee, former manager of the T. Rowe Price Science & Technology Fund who since founded the venture capital firm

Elevation Partners Elevation Partners was an American private equity firm that invested in intellectual property, technology and media companies. The firm had $1.9 billion of assets under management. The firm was founded in 2004 and was headquartered in New York ...

* Mary J. Miller, former director of the firm's Fixed Income Division who left to work for the

U.S. Department of the Treasury The Department of the Treasury (USDT) is the national treasury and finance department of the federal government of the United States. It is one of 15 current U.S. government departments. The department oversees the Bureau of Engraving and ...

, becoming

Assistant Secretary of the Treasury for Financial Markets The Assistant Secretary of the Treasury for Financial Markets is an official in the United States Department of the Treasury who heads the Office of Financial Markets. According to U.S. statute, there are ten Assistant Secretaries of the Treas ...

, then

Under Secretary of the Treasury for Domestic Finance The under secretary of the treasury for domestic finance is a high-ranking position within United States Department of the Treasury that reports to, advises, and assists the secretary of the treasury and the deputy secretary of the treasury. The ...

, and finally the

Deputy Secretary of the Treasury The deputy secretary of the treasury of the United States advises and assists the Secretary of the Treasury in the supervision and direction of the United States Department of the Treasury, Department of the Treasury and its activities, and succ ...

. *

Olympia Snowe Olympia Jean Snowe (; born February 21, 1947) is an American businesswoman and politician who was a United States Senate, United States Senator, representing Maine for three terms from 1995 to 2013. A lifelong member of the Republican Party (Unit ...

, former board member of T. Rowe Price and former US Senator and founder of Olympia Snowe LLC *

Alfred Sommer Alfred (Al) Sommer (born October 2, 1942) is an American ophthalmologist and epidemiologist at the Johns Hopkins Bloomberg School of Public Health. His research on vitamin A in the 1970s and 1980s revealed that dosing even mildly vitamin A defici ...

, former board member of T. Rowe Price and noted

epidemiologist Epidemiology is the study and analysis of the distribution (who, when, and where), patterns and determinants of health and disease conditions in a defined population, and application of this knowledge to prevent diseases. It is a cornerstone ...

at the

Johns Hopkins Bloomberg School of Public Health The Johns Hopkins Bloomberg School of Public Health is the public health graduate school of Johns Hopkins University, a private university, private research university primarily based in Baltimore, Maryland. It was founded as the Johns Hopkins ...

Richard Verma Richard Rahul Verma (born November 27, 1968) is an Americans, American diplomat, who served as the Deputy Secretary of State for Management and Resources, deputy secretary of state for management and resources, a position he held from April 5, 202 ...

, former board member of T. Rowe Price and former

U.S. Ambassador to India The United States ambassador to India is the chief diplomatic representative of United States in India. The U.S. ambassador's office is situated at the U.S. Embassy in New Delhi. On March 15, 2023, Eric Garcetti was confirmed as ambassador. ...

, Vice Chairman and Partner of The Asia Group

References

External links

{{authority control, state=expanded Investment management companies of the United States American companies established in 1937 Financial services companies established in 1937 Financial services companies of the United States Companies based in Baltimore Financial services companies based in Maryland Mutual funds of the United States 1937 establishments in Maryland 1980s initial public offerings Companies in the S&P 500 Dividend Aristocrats Asset management companies