T.
ROWE
PRICE
Health
Sciences
Fund
September
30,
2021
(Unaudited)
1
Portfolio
of
Investments
‡
Shares
$
Value
(Cost
and
value
in
$000s)
‡
COMMON
STOCKS
96.4%
BIOTECHNOLOGY
29.3%
Major
Biotechnology
6.3%
Alkermes (1)
76,805
2,369
Amgen
634,354
134,895
Biogen (1)
526,309
148,940
BioNTech,
ADR (1)
888,020
242,421
Exact
Sciences (1)
1,328,703
126,825
Exact
Sciences
CMO
Milestone,
Acquisition
Date:
1/6/21,
Cost $— (1)(2)(3)
3,726,272
2,981
Exact
Sciences
Expense
Fund,
Acquisition
Date:
1/6/21,
Cost $— (1)(2)(3)
3,795
4
Exact
Sciences
FDA
Milestone,
Acquisition
Date:
1/6/21,
Cost $— (1)(2)(3)
1,863,136
1,490
Neurocrine
Biosciences (1)
365,109
35,018
Novavax (1)
291,207
60,370
Seagen (1)
998,710
169,581
Vertex
Pharmaceuticals (1)
1,558,054
282,615
1,207,509
Other
Biotechnology
23.0%
AADI
Biosciences,
Acquisition
Date:
8/27/21,
Cost $5,305 (1)(3)
405,655
11,318
AC
Immune (1)
335,619
2,252
ACADIA
Pharmaceuticals (1)
1,096,469
18,212
Acceleron
Pharma (1)
1,526,603
262,728
Acerta
Future
Payments,
EC,
Acquisition
Date:
6/30/21,
Cost $25,373 (1)(2)(3)
25,372,879
22,772
Adaptive
Biotechnologies (1)
1,255,261
42,666
ADC
Therapeutics (1)
1,072,666
29,134
Agios
Pharmaceuticals (1)
570,909
26,347
Akero
Therapeutics (1)
320,250
7,158
Alector (1)
513,521
11,719
Allogene
Therapeutics (1)
1,265,834
32,532
Alnylam
Pharmaceuticals (1)
1,202,350
227,016
Annexon (1)
584,685
10,881
Apellis
Pharmaceuticals (1)
1,237,214
40,779
Arvinas (1)
549,763
45,180
Ascendis
Pharma,
ADR (1)
813,997
129,743
Atea
Pharmaceuticals (1)
933,093
32,714
Avidity
Biosciences (1)
963,638
23,734
BeiGene,
ADR (1)
260,250
94,471
Blueprint
Medicines (1)
730,223
75,074
C4
Therapeutics (1)
1,169,227
52,241
Centessa
Pharmaceuticals,
Acquisition
Date:
1/29/21,
Cost $7,143 (1)(3)
649,336
10,302
T.
ROWE
PRICE
Health
Sciences
Fund
2
Shares
$
Value
(Cost
and
value
in
$000s)
‡
Cerevel
Therapeutics
Holdings (1)
1,769,216
52,192
CM
Life
Sciences
III
SPAC/EQRX
PIPE (1)(4)
884,467
7,896
Cortexyme (1)
65,500
6,004
CRISPR
Therapeutics (1)
251,390
28,138
CureVac (1)
405,872
22,169
Day
One
Biopharmaceuticals (1)
200,661
4,762
Day
One
Biopharmaceuticals,
Acquisition
Date:
2/2/21,
Cost $3,646 (1)(3)
270,332
6,094
Deciphera
Pharmaceuticals (1)
96,883
3,292
Denali
Therapeutics (1)
1,432,855
72,288
DICE
Therapeutics (1)
474,448
15,538
Dicerna
Pharmaceuticals (1)
868,406
17,507
Enanta
Pharmaceuticals (1)
220,225
12,511
Evotec
(EUR) (1)
887,021
42,060
Exelixis (1)
4,276,740
90,410
Fate
Therapeutics (1)
1,206,059
71,483
Flame
Biosciences,
Acquisition
Date:
9/28/20,
Cost $5,500 (1)(2)
(3)
839,721
5,500
Generation
Bio (1)
1,736,219
43,527
Genmab
(DKK) (1)
215,537
94,173
Genmab,
ADR (1)
45,647
1,995
Ginkgo
Bioworks,
Acquisition
Date:
5/11/21,
Cost $5,479 (1)(3)
547,946
6,033
Ginkgo
Bioworks,
Acquisition
Date:
6/30/19-9/9/19,
Cost $21,415 (1)(3)
7,090,407
78,069
Ginkgo
Bioworks,
Earn
Out
Shares
$12.50,
Acquisition
Date:
9/17/21,
Cost $— (1)(3)
212,707
1,770
Ginkgo
Bioworks,
Earn
Out
Shares
$15.00,
Acquisition
Date:
9/17/21,
Cost $— (1)(3)
212,706
1,701
Ginkgo
Bioworks,
Earn
Out
Shares
$17.50,
Acquisition
Date:
9/17/21,
Cost $— (1)(3)
212,706
1,638
Ginkgo
Bioworks,
Earn
Out
Shares
$20.00,
Acquisition
Date:
9/17/21,
Cost $— (1)(3)
212,706
1,581
Global
Blood
Therapeutics (1)
159,954
4,076
IGM
Biosciences (1)
377,037
24,794
Imago
Biosciences (1)
240,093
4,809
Imago
Biosciences,
Acquisition
Date:
11/12/20,
Cost $5,370 (1)(3)
529,300
10,072
Immuneering (1)(5)
401,531
10,661
Immuneering,
Series
B,
Acquisition
Date:
12/21/20-5/4/21,
Cost $7,155 (1)(3)(5)
974,629
24,583
Immunocore
Holdings,
ADR (1)
304,616
11,292
Incyte (1)
2,310,007
158,882
Insmed (1)
2,316,374
63,793
Intellia
Therapeutics (1)
475,904
63,843
Ionis
Pharmaceuticals (1)
1,308,767
43,896
Iovance
Biotherapeutics (1)
1,467,698
36,193
IVERIC
bio (1)
2,537,772
41,213
T.
ROWE
PRICE
Health
Sciences
Fund
3
Shares
$
Value
(Cost
and
value
in
$000s)
‡
Karuna
Therapeutics (1)
427,366
52,280
Kodiak
Sciences (1)
1,364,585
130,973
Kronos
Bio (1)
552,898
11,589
Kymera
Therapeutics (1)
758,404
44,549
Longboard
Pharmaceuticals (1)(5)
780,435
6,954
Lonza
Group
(CHF)
77,625
58,227
MeiraGTx
Holdings (1)
494,331
6,515
Mersana
Therapeutics (1)
241,556
2,278
Mirati
Therapeutics (1)
702,359
124,254
Moderna (1)
1,276,162
491,144
Monte
Rosa
Therapeutics (1)
393,209
8,761
Monte
Rosa
Therapeutics,
Inc.,
Acquisition
Date:
3/11/21,
Cost $7,109 (1)(3)
679,381
14,380
Novocure (1)
563,219
65,429
Nurix
Therapeutics (1)
729,228
21,848
Prelude
Therapeutics (1)
328,791
10,275
Progenic
Pharmaceuticals,
CVR
842,223
41
Protagonist
Therapeutics (1)
388,176
6,878
Prothena (1)
1,006,244
71,675
PTC
Therapeutics (1)
414,054
15,407
Radius
Health (1)
507,175
6,294
RAPT
Therapeutics (1)
738,777
22,939
Reata
Pharmaceuticals,
Class
A (1)
186,798
18,794
Regeneron
Pharmaceuticals (1)
447,297
270,695
REGENXBIO (1)
238,760
10,009
Relay
Therapeutics (1)
370,846
11,693
Repligen (1)
137,815
39,827
Replimune
Group (1)
1,248,619
37,009
REVOLUTION
Medicines (1)
848,590
23,345
Rocket
Pharmaceuticals (1)
694,370
20,755
Sage
Therapeutics (1)
433,051
19,188
Sarepta
Therapeutics (1)
279,992
25,894
Scholar
Rock
Holding (1)
952,830
31,462
Seres
Therapeutics (1)
471,039
3,278
Stoke
Therapeutics (1)
254,758
6,481
Tenaya
Therapeutics (1)
296,851
6,130
Tenaya
Therapeutics,
Acquisition
Date:
12/17/20,
Cost $5,355 (1)
(3)
430,747
8,450
Turning
Point
Therapeutics (1)
531,122
35,282
Ultragenyx
Pharmaceutical (1)
1,525,947
137,625
uniQure (1)
416,122
13,320
Vividion
Therapeutics,
EC,
Acquisition
Date:
8/25/21,
Cost $— (1)
(2)
291,060
288
Vividion
Therapeutics,
Milestone
Payment,
Acquisition
Date:
8/25/21,
Cost $— (1)(2)(3)
2,328,482
1,138
T.
ROWE
PRICE
Health
Sciences
Fund
4
Shares
$
Value
(Cost
and
value
in
$000s)
‡
Vividion
Therapeutics,
Milestone
Payment,
Acquisition
Date:
8/25/21,
Cost $— (1)(2)(3)
1,746,361
1,024
Vividion
Therapeutics,
Milestone
Payment
3,
Acquisition
Date:
8/25/21,
Cost $— (1)(2)(3)
1,746,361
711
Xencor (1)
988,502
32,284
Zai
Lab,
ADR (1)
436,922
46,047
Zentalis
Pharmaceuticals (1)
915,673
61,020
Zymeworks (1)
490,021
14,230
4,444,080
Total
Biotechnology
5,651,589
CONSUMER
NONDURABLES
0.2%
Hospital
Supplies/Hosp
Management
0.2%
PROCEPT
BioRobotics (1)
268,312
10,236
PROCEPT
BioRobotics,
Acquisition
Date:
6/10/21,
Cost $13,279 (1)(3)
694,834
25,183
Total
Consumer
Nondurables
35,419
LIFE
SCIENCES
14.3%
Life
Sciences
14.3%
Abcam
(GBP) (1)
1,471,081
29,485
Agilent
Technologies
2,218,531
349,485
Berkeley
Lights (1)
331,312
6,481
Bio-Techne
118,351
57,349
Bruker
2,029,650
158,516
Danaher
2,423,520
737,816
Invitae (1)
901,387
25,626
MaxCyte (1)
422,700
5,161
Mettler-Toledo
International (1)
45,060
62,064
Olink
Holding,
ADR (1)
1,693,859
41,076
Ortho
Clinical
Diagnostics
Holdings (1)
3,577,780
66,117
Pacific
Biosciences
of
California (1)
2,701,237
69,017
Pacific
Biosciences
of
California,
Acquisition
Date:
7/21/21,
Cost $9,789 (1)(3)
365,964
8,883
Quanterix (1)
596,234
29,687
Quantum-Si (1)
1,866,008
15,563
Quidel (1)
436,942
61,674
Rapid
Micro
Biosystems,
Acquisition
Date:
3/9/21,
Cost $6,665 (1)
(3)
370,289
6,497
Rapid
Micro
Biosystems,
Class
A (1)
336,580
6,217
Schrodinger (1)
207,182
11,329
Seer (1)
2,630,514
90,832
SomaLogic (1)
551,066
6,828
SomaLogic,
Acquisition
Date:
11/20/20-9/15/21,
Cost $15,668 (1)
(3)
3,873,442
45,592
SomaLogic,
Acquisition
Date:
3/29/21,
Cost $7,566 (1)(3)
756,585
8,905
T.
ROWE
PRICE
Health
Sciences
Fund
5
Shares
$
Value
(Cost
and
value
in
$000s)
‡
SomaLogic,
Warrants,
2/3/21 (1)
110,601
382
SomaLogic,
Earn
Out
Shares
$20,
Acquisition
Date:
9/2/21,
Cost $— (1)(3)
3,873,442
321
Thermo
Fisher
Scientific
1,422,670
812,814
Twist
Bioscience (1)
398,661
42,645
Total
Life
Sciences
2,756,362
MISCELLANEOUS
0.4%
Miscellaneous
0.4%
Health
Sciences
Acquisitions
Corp
2 (1)
688,861
6,813
Helix
Acquisition,
Class
A (1)(5)
639,149
6,308
Revolution
Healthcare
Acquisition (1)
1,738,886
17,128
Royalty
Pharma,
Class
A
1,597,128
57,720
Total
Miscellaneous
87,969
PHARMACEUTICALS
9.6%
European
Major
-
Pharmaceuticals
0.5%
Merck
(EUR)
447,337
96,821
Zeneca,
CVR,
Acquisition
Date:
7/18/13,
Cost $0 (1)(2)(3)
375,635
—
96,821
Major
Pharmaceuticals
9.1%
AbbVie
2,638,952
284,664
AstraZeneca,
ADR
6,584,457
395,462
Daiichi
Sankyo
(JPY)
1,400,200
37,219
Eisai
(JPY)
344,900
25,836
Eli
Lilly
2,243,718
518,411
Merck
4,520,546
339,538
PMV
Pharmaceuticals (1)
96,760
2,883
Roche
Holding
(CHF)
430,837
157,243
1,761,256
Specialty
Pharmaceuticals
0.0%
Cara
Therapeutics (1)
383,715
5,928
5,928
Total
Pharmaceuticals
1,864,005
PRODUCTS
&
DEVICES
18.1%
Implants
8.8%
AtriCure (1)
305,070
21,218
Becton
Dickinson
&
Company
980,714
241,079
Intuitive
Surgical (1)
738,824
734,502
iRhythm
Technologies (1)
284,041
16,633
Stryker
1,682,049
443,590
Teleflex
405,745
152,783
Verily
Life
Sciences,
Series
B,
Acquisition
Date:
1/23/19,
Cost $13,998 (1)(2)(3)
113,564
14,845
T.
ROWE
PRICE
Health
Sciences
Fund
6
Shares
$
Value
(Cost
and
value
in
$000s)
‡
Zimmer
Biomet
Holdings
444,930
65,120
1,689,770
Other
Products
&
Devices
9.3%
10X
Genomics,
Class
A (1)
503,125
73,245
Alcon
(CHF)
512,034
41,460
Argenx,
ADR (1)
824,888
249,116
Avantor (1)
4,373,940
178,894
Burning
Rock
Biotech,
ADR (1)
456,624
8,164
Catalent (1)
804,457
107,049
Cooper
197,335
81,561
Dexcom (1)
284,357
155,503
Hologic (1)
2,907,559
214,607
ICU
Medical (1)
7,833
1,828
Inari
Medical (1)
167,497
13,584
Insulet (1)
313,825
89,199
Lantheus
Holdings (1)
878,190
22,552
Nevro (1)
245,132
28,528
Outset
Medical (1)
641,577
31,720
Pax
Labs,
Class
A,
Acquisition
Date:
4/18/19,
Cost $31,622 (1)(2)
(3)
8,397,988
10,665
Penumbra (1)
546,904
145,750
Shockwave
Medical (1)
1,000,171
205,915
Warby
Parker,
Class
A (1)
2,443,421
129,624
1,788,964
Total
Products
&
Devices
3,478,734
SERVICES
20.5%
Distribution
0.3%
Option
Care
Health (1)
1,666,189
40,422
Shop
Apotheke
Europe
(EUR) (1)
68,332
10,062
50,484
Information
0.3%
Definitive
Healthcare (1)
615,230
26,350
Sema4
Holdings (1)
1,419,923
10,777
Sema4
Holdings,
Warrants,
10/23/20 (1)
253,101
537
Sophia
Genetics (1)
1,146,130
20,092
57,756
Information
1.9%
Doximity,
Class
A (1)(5)
574,338
46,349
Doximity,
Series
C,
Acquisition
Date:
4/10/14,
Cost $4,993 (1)(3)
(5)
2,071,266
158,793
Veeva
Systems,
Class
A (1)
594,731
171,384
376,526
T.
ROWE
PRICE
Health
Sciences
Fund
7
Shares
$
Value
(Cost
and
value
in
$000s)
‡
Other
Services
3.3%
Accolade (1)
444,589
18,748
Agiliti (1)
1,604,221
30,544
Certara (1)
896,790
29,684
Elanco
Animal
Health (1)
930,291
29,667
Guardant
Health (1)
872,150
109,028
Multiplan (1)
1,988,518
11,195
Pennant
Group (1)
504,314
14,166
Phreesia (1)
1,174,872
72,490
West
Pharmaceutical
Services
652,954
277,205
Wuxi
Biologics
Cayman
(HKD) (1)
2,858,500
46,366
639,093
Payors
12.8%
Alignment
Healthcare (1)
2,570,009
41,069
Anthem
811,789
302,635
Bright
Health
Group,
Acquisition
Date:
9/16/20,
Cost $21,284 (1)
(3)
3,127,275
24,243
Centene (1)
4,396,641
273,955
Cigna
918,399
183,827
Humana
823,804
320,583
Molina
Healthcare (1)
665,900
180,665
UnitedHealth
Group
2,901,526
1,133,742
2,460,719
Providers
1.9%
agilon
health (1)
936,437
24,544
FS
Development
SPAC/Pardes
Bio
PIPE (1)(4)
530,954
4,755
HCA
Healthcare
1,150,869
279,339
Oak
Street
Health (1)
465,354
19,791
Surgery
Partners (1)
823,568
34,870
363,299
Total
Services
3,947,877
Total
Miscellaneous
Common
Stocks
4.0% (6)
776,610
Total
Common
Stocks
(Cost
$8,717,035)
18,598,565
CONVERTIBLE
PREFERRED
STOCKS
3.0%
BIOTECHNOLOGY
0.9%
Other
Biotechnology
0.9%
Affinivax,
Series
C,
Acquisition
Date:
1/6/21,
Cost $13,396 (1)(2)
(3)
424,076
13,396
Delfi
Diagnostics,
Series
A,
Acquisition
Date:
1/12/21,
Cost $4,465 (1)(2)(3)
2,152,801
4,465
T.
ROWE
PRICE
Health
Sciences
Fund
8
Shares
$
Value
(Cost
and
value
in
$000s)
‡
FOG
Pharma,
Series
C,
Acquisition
Date:
1/11/21-8/2/21,
Cost $6,251 (1)(2)(3)
431,391
6,251
Generate
Bio,
Series
B,
Acquisition
Date:
9/2/21,
Cost $22,096 (1)
(2)(3)
1,864,632
22,096
Genesis
Therapeutics,
Series
A,
Acquisition
Date:
11/24/20,
Cost $4,236 (1)(2)(3)
829,412
4,236
Gyroscope
Therapeutics,
Series
C-1,
Acquisition
Date:
3/30/21,
Cost $8,178 (1)(2)(3)
3,555,744
8,178
Insitro,
Series
B,
Acquisition
Date:
5/21/20,
Cost $5,505 (1)(2)(3)
883,580
16,161
Insitro,
Series
C,
Acquisition
Date:
4/7/21,
Cost $10,762 (1)(2)(3)
588,382
10,762
Laronde,
Series
B,
Acquisition
Date:
7/28/21,
Cost $32,757 (1)(2)
(3)
1,169,887
32,757
Lianbio,
Series
A,
Acquisition
Date:
10/28/20,
Cost $11,481 (1)(2)
(3)
202,628
11,481
Nutcracker
Therapeutics,
Series
C,
Acquisition
Date:
8/27/21,
Cost $11,050 (1)(2)(3)
1,027,785
11,050
Prime
Medicine,
Series
B,
Acquisition
Date:
4/19/21,
Cost $7,119 (1)(2)(3)
1,625,121
7,119
Ring
Therapeutics,
Series
B,
Acquisition
Date:
4/12/21,
Cost $9,004 (1)(2)(3)
978,705
9,004
Scribe
Therapeutics,
Series
B,
Acquisition
Date:
3/17/21,
Cost $6,219 (1)(2)(3)
1,027,755
6,219
Theseus
Pharmaceuticals,
Series
B,
Acquisition
Date:
2/9/21,
Cost $4,456 (1)(3)
514,797
5,838
Treeline,
Series
A,
Acquisition
Date:
4/9/21,
Cost $7,220 (1)(2)(3)
922,369
7,220
Total
Biotechnology
176,233
CONSUMER
NONDURABLES
0.2%
Healthcare
Services
0.2%
Capsule,
Series
D,
Acquisition
Date:
4/7/21,
Cost $12,364 (1)(2)(3)
853,213
12,364
Color
Health,
Series
D,
Acquisition
Date:
12/17/20,
Cost $11,181 (1)(2)(3)
296,922
13,596
Color
Health,
Series
D-1,
Acquisition
Date:
1/13/20,
Cost $9,358 (1)(2)(3)
438,696
20,088
Total
Consumer
Nondurables
46,048
LIFE
SCIENCES
0.7%
Life
Sciences
0.7%
Clear
Labs,
Series
C,
Acquisition
Date:
5/13/21,
Cost $13,294 (1)
(2)(3)
3,830,773
13,294
Element
Biosciences,
Series
C,
Acquisition
Date:
6/21/21,
Cost $17,704 (1)(2)(3)
861,217
17,704
Inscripta,
Series
E,
Acquisition
Date:
3/30/21,
Cost $12,829 (1)(2)
(3)
1,452,941
12,829
Lumicks
Tech,
Series
D,
Acquisition
Date:
4/14/21,
Cost $8,875 (1)(2)(3)
4,954
8,875
T.
ROWE
PRICE
Health
Sciences
Fund
9
Shares
$
Value
(Cost
and
value
in
$000s)
‡
National
Resilience,
Series
B,
Acquisition
Date:
10/23/20,
Cost $16,458 (1)(2)(3)
1,204,832
53,507
National
Resilience,
Series
C,
Acquisition
Date:
6/9/21,
Cost $18,957 (1)(2)(3)
426,855
18,957
Total
Life
Sciences
125,166
PRODUCTS
&
DEVICES
0.1%
Capital
Equipment
0.0%
Reflexion
Medical,
Acquisition
Date:
4/3/20,
Cost $2,142 (1)(2)(3)
1,123,437
2,561
Reflexion
Medical,
Series
C,
1/2/24,
Acquisition
Date:
4/3/18,
Cost $4,243 (1)(2)(3)
2,507,885
5,718
8,279
Implants
0.1%
Kardium,
Series
D-5,
Acquisition
Date:
11/29/18,
Cost $8,574 (1)
(2)(3)(5)
8,849,057
8,989
Kardium,
Series
D-6,
Acquisition
Date:
1/8/21,
Cost $12,516 (1)
(2)(3)(5)
12,320,393
12,516
21,505
Total
Products
&
Devices
29,784
SERVICES
1.1%
Other
Services
1.0%
Caris
Life
Sciences,
Series
C,
Acquisition
Date:
8/14/20,
Cost $10,374 (1)(2)(3)
3,758,668
30,445
Caris
Life
Sciences,
Series
D,
Acquisition
Date:
5/11/21,
Cost $18,471 (1)(2)(3)
2,280,334
18,471
Freenome
Holdings,
Series
B,
Acquisition
Date:
6/24/19,
Cost $7,103 (1)(2)(3)
1,558,570
10,307
Freenome
Holdings,
Series
C,
Acquisition
Date:
8/14/20,
Cost $6,139 (1)(2)(3)
928,231
6,139
PrognomIQ,
Series
A-4,
Acquisition
Date:
11/15/19,
Cost $1,356 (1)(2)(3)(5)
593,540
1,356
PrognomIQ,
Series
A-5,
Acquisition
Date:
5/12/20,
Cost $1,174 (1)
(2)(3)(5)
513,797
1,174
PrognomIQ,
Series
B,
Acquisition
Date:
9/11/20,
Cost $8,533 (1)
(2)(3)(5)
3,734,140
8,533
Tempus
Labs,
Series
D,
1/2/24,
Acquisition
Date:
3/16/18,
Cost $8,876 (1)(2)(3)
946,886
53,000
Tempus
Labs,
Series
E,
Acquisition
Date:
8/23/18,
Cost $10,607 (1)(2)(3)
633,505
36,166
Tempus
Labs,
Series
F,
Acquisition
Date:
4/30/19,
Cost $4,279 (1)
(2)(3)
172,826
9,948
Tempus
Labs,
Series
G,
Acquisition
Date:
2/6/20,
Cost $4,284 (1)
(2)(3)
111,715
6,462
T.
ROWE
PRICE
Health
Sciences
Fund
10
Shares
$
Value
(Cost
and
value
in
$000s)
‡
Tempus
Labs,
Series
G-2,
Acquisition
Date:
11/19/20,
Cost $6,720 (1)(2)(3)
117,271
6,720
188,721
Providers
0.1%
Honor
Technology,
Series
D,
Acquisition
Date:
10/16/20,
Cost $7,539 (1)(2)(3)
3,130,941
9,898
Honor
Technology,
Series
E,
Acquisition
Date:
9/29/21,
Cost $6,626 (1)(2)(3)
2,095,807
6,626
16,524
Total
Services
205,245
Total
Convertible
Preferred
Stocks
(Cost
$414,771)
582,476
PREFERRED
STOCKS
0.7%
LIFE
SCIENCES
0.7%
Life
Sciences
0.7%
Sartorius
(EUR)
195,622
124,535
Total
Life
Sciences
124,535
Total
Preferred
Stocks
(Cost
$28,101)
124,535
SHORT-TERM
INVESTMENTS
0.2%
Money
Market
Funds
0.2%
T.
Rowe
Price
Government
Reserve
Fund,
0.05% (5)(7)
34,557,789
34,558
Total
Short-Term
Investments
(Cost
$34,558)
34,558
Total
Investments
in
Securities
100.3%
(Cost
$9,194,465)
$
19,340,134
Other
Assets
Less
Liabilities
(0.3)%
(51,806)
Net
Assets
100.0%
$
19,288,328
T.
ROWE
PRICE
Health
Sciences
Fund
11
‡
Shares
are
denominated
in
U.S.
dollars
unless
otherwise
noted.
(1)
Non-income
producing
(2)
Level
3
in
fair
value
hierarchy.
(3)
Security
cannot
be
offered
for
public
resale
without
first
being
registered
under
the
Securities
Act
of
1933
and
related
rules
("restricted
security").
Acquisition
date
represents
the
day
on
which
an
enforceable
right
to
acquire
such
security
is
obtained
and
is
presented
along
with
related
cost
in
the
security
description.
The
fund
has
registration
rights
for
certain
restricted
securities.
Any
costs
related
to
such
registration
are
borne
by
the
issuer.
The
aggregate
value
of
restricted
securities
(excluding
144A
holdings)
at
period
end
amounts
to
$1,098,014
and
represents
5.7%
of
net
assets.
(4)
A
portion
of
the
position
represents
an
unfunded
commitment;
a
liability
to
fund
the
commitment
has
been
recognized.
The
fund's
total
unfunded
commitment
at
September
30,
2021,
was
$14,154
and
was
valued
at
$12,651
(0.1%
of
net
assets).
(5)
Affiliated
Companies
(6)
The
identity
of
certain
securities
has
been
concealed
to
protect
the
fund
while
it
completes
a
purchase
or
selling
program
for
the
securities.
(7)
Seven-day
yield
ADR
American
Depositary
Receipts
CHF
Swiss
Franc
CVR
Contingent
Value
Rights
DKK
Danish
Krone
EC
Escrow
CUSIP;
represents
a
beneficial
interest
in
a
residual
pool
of
assets;
the
amount
and
timing
of
future
distributions,
if
any,
is
uncertain;
when
presented,
interest
rate
and
maturity
date
are
those
of
the
original
security.
EUR
Euro
GBP
British
Pound
HKD
Hong
Kong
Dollar
JPY
Japanese
Yen
PIPE
Private
Investment
in
Public
Equity
SPAC
Special
Purpose
Acquisition
Company
T.
ROWE
PRICE
Health
Sciences
Fund
12
AFFILIATED
COMPANIES
($000s)
The
fund
may
invest
in
certain
securities
that
are
considered
affiliated
companies.
As
defined
by
the
1940
Act,
an
affiliated
company
is
one
in
which
the
fund
owns
5%
or
more
of
the
outstanding
voting
securities,
or
a
company
that
is
under
common
ownership
or
control.
The
following
securities
were
considered
affiliated
companies
for
all
or
some
portion
of
the
nine
months
ended
September
30,
2021.
Net
realized
gain
(loss),
investment
income,
change
in
net
unrealized
gain/loss,
and
purchase
and
sales
cost
reflect
all
activity
for
the
period
then
ended.
Affiliate
Net
Realized
Gain
(Loss)
Change
in
Net
Unrealized
Gain/Loss
Investment
Income
Doximity,
Class
A
$
—
$
27,028
$
—
Doximity,
Series
C
—
115,038
—
Helix
Acquisition,
Class
A
—
(614)
—
Immuneering
—
4,638
—
Immuneering,
Series
B
—
17,427
—
Kardium,
Series
D-5
—
415
—
Kardium,
Series
D-6
—
—
—
Longboard
Pharmaceuticals
(14)
(512)
—
Longboard
Pharmaceuticals,
Series
A
—
—
—
PrognomIQ,
Series
A-4
—
—
—
PrognomIQ,
Series
A-5
—
—
—
PrognomIQ,
Series
B
—
—
—
Seer ++
4,572
79,326
—
T.
Rowe
Price
Government
Reserve
Fund,
0.05%
—
—
16
Affiliates
not
held
at
period
end
—
(136,935)
—
Totals
$
4,558#
$
105,811
$
16+
T.
ROWE
PRICE
Health
Sciences
Fund
13
The
accompanying
notes
are
an
integral
part
of
this
Portfolio
of
Investments.
AFFILIATED
COMPANIES
(CONTINUED)
($000s)
Supplementary
Investment
Schedule
Affiliate
Value
12/31/20
Purchase
Cost
Sales
Cost
Value
09/30/21
Doximity,
Class
A
$
—
$
19,321
$
—
$
46,349
Doximity,
Series
C
*
—
—
158,793
Helix
Acquisition,
Class
A
*
—
—
6,308
Immuneering
—
6,023
—
10,661
Immuneering,
Series
B
—
7,156
—
24,583
Kardium,
Series
D-5
*
—
—
8,989
Kardium,
Series
D-6
—
12,516
—
12,516
Longboard
Pharmaceuticals
—
7,498
32
6,954
Longboard
Pharmaceuticals,
Series
A
4,157
—
4,157
—
PrognomIQ,
Series
A-4
1,356
—
—
1,356
PrognomIQ,
Series
A-5
1,174
—
—
1,174
PrognomIQ,
Series
B
8,533
—
—
8,533
Seer ++
15,584
—
4,078
90,832
Seer,
Class
A
136,935
—
—
—
T.
Rowe
Price
Government
Reserve
Fund,
0.05%
6,500
¤
¤
34,558
Total
$
411,606^
#
Capital
gain
distributions
from
mutual
funds
represented
$0
of
the
net
realized
gain
(loss).
++
Includes
previously
reported
affiliates
Seer
and
Seer,
Class
A
acquired
through
a
corporate
action.
+
Investment
income
comprised
$16
of
dividend
income
and
$0
of
interest
income.
¤
Purchase
and
sale
information
not
shown
for
cash
management
funds.
^
The
cost
basis
of
investments
in
affiliated
companies
was
$141,607.
*
On
the
date
indicated,
issuer
was
held
but
not
considered
an
affiliated
company.
T.
ROWE
PRICE
Health
Sciences
Fund
Unaudited
Notes
to
Portfolio
of
Investments
14
T.
Rowe
Price
Health
Sciences
Fund,
Inc. (the
fund) is
registered
under
the
Investment
Company
Act
of
1940
(the
1940
Act)
as
an
open-end
management
investment
company
and
follows
accounting
and
reporting
guidance
of
the
Financial
Accounting
Standards
Board
Accounting
Standards
Codification
Topic
946.
The
accompanying
Portfolio
of
Investments
was
prepared
in
accordance
with
accounting
principles
generally
accepted
in
the
United
States
of
America
(GAAP).
For
additional
information
on
the
fund’s
significant
accounting
policies
and
investment
related
disclosures,
please
refer
to
the
fund’s most
recent
semiannual
or
annual
shareholder
report
and
its
prospectus.
VALUATION
Fair
Value
The
fund’s
financial
instruments
are
valued
at
the
close
of
the
New
York
Stock
Exchange
(NYSE),
normally
4
p.m.
ET,
each
day
the
NYSE
is
open
for
business,
and
are
reported
at
fair
value,
which
GAAP
defines
as
the
price
that
would
be
received
to
sell
an
asset
or
paid
to
transfer
a
liability
in
an
orderly
transaction
between
market
participants
at
the
measurement
date. The
T.
Rowe
Price
Valuation
Committee
(the
Valuation
Committee)
is
an
internal
committee
that
has
been
delegated
certain
responsibilities
by
the
fund’s
Board
of
Directors
(the
Board)
to
ensure
that
financial
instruments
are
appropriately
priced
at
fair
value
in
accordance
with
GAAP
and
the
1940
Act.
Subject
to
oversight
by
the
Board,
the
Valuation
Committee
develops
and
oversees
pricing-related
policies
and
procedures
and
approves
all
fair
value
determinations.
Specifically,
the
Valuation
Committee
establishes
policies
and
procedures
used
in
valuing
financial
instruments,
including
those
which
cannot
be
valued
in
accordance
with
normal
procedures
or
using
pricing
vendors;
determines
pricing
techniques,
sources,
and
persons
eligible
to
effect
fair
value
pricing
actions;
evaluates
the
services
and
performance
of
the
pricing
vendors;
oversees
the
pricing
process
to
ensure
policies
and
procedures
are
being
followed;
and
provides
guidance
on
internal
controls
and
valuation-related
matters.
The
Valuation
Committee
provides
periodic
reporting
to
the
Board
on
valuation
matters.
Various
valuation
techniques
and
inputs
are
used
to
determine
the
fair
value
of
financial
instruments.
GAAP
establishes
the
following
fair
value
hierarchy
that
categorizes
the
inputs
used
to
measure
fair
value:
Level
1
–
quoted
prices
(unadjusted)
in
active
markets
for
identical
financial
instruments
that
the
fund
can
access
at
the
reporting
date
T.
ROWE
PRICE
Health
Sciences
Fund
15
Level
2
–
inputs
other
than
Level
1
quoted
prices
that
are
observable,
either
directly
or
indirectly
(including,
but
not
limited
to,
quoted
prices
for
similar
financial
instruments
in
active
markets,
quoted
prices
for
identical
or
similar
financial
instruments
in
inactive
markets,
interest
rates
and
yield
curves,
implied
volatilities,
and
credit
spreads)
Level
3
–
unobservable
inputs
(including
the fund’s
own
assumptions
in
determining
fair
value)
Observable
inputs
are
developed
using
market
data,
such
as
publicly
available
information
about
actual
events
or
transactions,
and
reflect
the
assumptions
that
market
participants
would
use
to
price
the
financial
instrument.
Unobservable
inputs
are
those
for
which
market
data
are
not
available
and
are
developed
using
the
best
information
available
about
the
assumptions
that
market
participants
would
use
to
price
the
financial
instrument.
GAAP
requires
valuation
techniques
to
maximize
the
use
of
relevant
observable
inputs
and
minimize
the
use
of
unobservable
inputs.
When
multiple
inputs
are
used
to
derive
fair
value,
the
financial
instrument
is
assigned
to
the
level
within
the
fair
value
hierarchy
based
on
the
lowest-level
input
that
is
significant
to
the
fair
value
of
the
financial
instrument.
Input
levels
are
not
necessarily
an
indication
of
the
risk
or
liquidity
associated
with
financial
instruments
at
that
level
but
rather
the
degree
of
judgment
used
in
determining
those
values.
Valuation
Techniques
Equity
securities,
including
exchange-traded
funds, listed
or
regularly
traded
on
a
securities
exchange
or
in
the
over-the-counter
(OTC)
market
are
valued
at
the
last
quoted
sale
price
or,
for
certain
markets,
the
official
closing
price
at
the
time
the
valuations
are
made.
OTC
Bulletin
Board
securities
are
valued
at
the
mean
of
the
closing
bid
and
asked
prices.
A
security
that
is
listed
or
traded
on
more
than
one
exchange
is
valued
at
the
quotation
on
the
exchange
determined
to
be
the
primary
market
for
such
security.
Listed
securities
not
traded
on
a
particular
day
are
valued
at
the
mean
of
the
closing
bid
and
asked
prices
for
domestic
securities
and
the
last
quoted
sale
or
closing
price
for
international
securities.
The
last
quoted
prices
of
non-U.S.
equity
securities
may
be
adjusted
to
reflect
the
fair
value
of
such
securities
at
the
close
of
the
NYSE,
if
the
fund
determines
that
developments
between
the
close
of
a
foreign
market
and
the
close
of
the
NYSE
will
affect
the
value
of
some
or
all
of
its
portfolio
securities.
Each
business
day,
the
fund
uses
information
from
outside
pricing
services
to
evaluate
and,
if
appropriate,
decide whether
it
is
necessary
to
adjust
quoted
prices
to
reflect
fair
value
by
reviewing
a
variety
of
factors,
including
developments
in
foreign
markets,
the
performance
of
U.S.
securities
markets,
and
the
performance
of
instruments
trading
in
U.S.
markets
that
represent
foreign
securities
and
baskets
of
foreign
securities. The
fund
uses
outside
pricing
services
T.
ROWE
PRICE
Health
Sciences
Fund
16
to
provide
it
with
quoted
prices
and
information
to
evaluate
or
adjust
those
prices.
The
fund
cannot
predict
how
often
it
will
use
quoted
prices
and
how
often
it
will
determine
it
necessary
to
adjust
those
prices
to
reflect
fair
value.
Investments
denominated
in
foreign
currencies
are
translated
into
U.S.
dollar
values
each
day
at
the
prevailing
exchange
rate,
using
the
mean
of
the
bid
and
asked
prices
of
such
currencies
against
U.S.
dollars
as
provided
by
an
outside
pricing
service.
Investments
in
mutual
funds
are
valued
at
the
mutual
fund’s
closing
NAV
per
share
on
the
day
of
valuation.
Investments
for
which
market
quotations
or
market-based
valuations
are
not
readily
available
or
deemed
unreliable
are
valued
at
fair
value
as
determined
in
good
faith
by
the
Valuation
Committee,
in
accordance
with
fair
valuation
policies
and
procedures.
The
objective
of
any
fair
value
pricing
determination
is
to
arrive
at
a
price
that
could
reasonably
be
expected
from
a
current
sale.
Financial
instruments
fair
valued
by
the
Valuation
Committee
are
primarily
private
placements,
restricted
securities,
warrants,
rights,
and
other
securities
that
are
not
publicly
traded.
Factors
used
in
determining
fair
value
vary
by
type
of
investment
and
may
include
market
or
investment
specific
considerations.
The
Valuation
Committee
typically
will
afford
greatest
weight
to
actual
prices
in
arm’s
length
transactions,
to
the
extent
they
represent
orderly
transactions
between
market
participants,
transaction
information
can
be
reliably
obtained,
and
prices
are
deemed
representative
of
fair
value.
However,
the
Valuation
Committee
may
also
consider
other
valuation
methods
such
as
market-based
valuation
multiples;
a
discount
or
premium
from
market
value
of
a
similar,
freely
traded
security
of
the
same
issuer;
discounted
cash
flows;
yield
to
maturity;
or
some
combination.
Fair
value
determinations
are
reviewed
on
a
regular
basis
and
updated
as
information
becomes
available,
including
actual
purchase
and
sale
transactions
of
the
investment.
Because
any
fair
value
determination
involves
a
significant
amount
of
judgment,
there
is
a
degree
of
subjectivity
inherent
in
such
pricing
decisions,
and
fair
value
prices
determined
by
the
Valuation
Committee
could
differ
from
those
of
other
market
participants.
Valuation
Inputs
The
following
table
summarizes
the
fund’s
financial
instruments,
based
on
the
inputs
used
to
determine
their
fair
values
on
September
30,
2021
(for
further
detail
by
category,
please
refer
to
the
accompanying
Portfolio
of
Investments):
T.
ROWE
PRICE
Health
Sciences
Fund
17
Following
is
a
reconciliation
of
the
fund’s
Level
3
holdings
for
the
period ended
September
30,
2021.
Gain
(loss)
reflects
both
realized
and
change
in
unrealized
gain/
loss
on
Level
3
holdings
during
the
period,
if
any.
The
change
in
unrealized
gain/loss
on
Level
3
instruments
held
at
September
30,
2021,
totaled $80,099,000 for
the
period ended
September
30,
2021.
In
accordance
with
GAAP,
the
following
table
provides
quantitative
information
about
significant
unobservable
inputs
used
to
determine
the
fair
valuations
of
the
fund’s
Level
3
assets,
by
class
of
financial
instrument.
Because
the
Valuation
Committee
considers
a
wide
variety
of
factors
and
inputs,
both
observable
and
unobservable,
in
determining
fair
values,
the
unobservable
inputs
presented
do
not
reflect
all
inputs
significant
to
the
fair
value
determination.
($000s)
Level
1
Level
2
Level
3
Total
Value
Assets
Common
Stocks
$
17,423,858
$
1,113,289
$
61,418
$
18,598,565
Convertible
Preferred
Stocks
—
5,838
576,638
582,476
Preferred
Stocks
—
124,535
—
124,535
Short-Term
Investments
34,558
—
—
34,558
Total
$
17,458,416
$
1,243,662
$
638,056
$
19,340,134
($000s)
Beginning
Balance
12/31/20
Gain
(Loss)
During
Period
Total
Purchases
Total
Sales
Ending
Balance
9/30/21
Investment
in
Securities
Common
Stocks
$
87,007
$
375
$
51,575
$
(77,539)
$
61,418
Convertible
Preferred
Stocks
424,227
13,244
263,014
(123,847)
576,638
Total
$
511,234
$
13,619
$
314,589
$
(201,386)
$
638,056
T.
ROWE
PRICE
Health
Sciences
Fund
18
Investments
in
Securities
Value
(000s)
Valuation
Technique(s)+
Significant
Unobservable
Input(s)
Value
or
Range
of
Input(s)
Weighted
Average
of
Input(s)*
Impact
to
Valuation
from
an
Increase
in
Input**
Common
Stock
$
61,418
Recent
comparable
transaction
price(s)
—#
—#
—#
—#
Discount
for
Uncertainty
1%-59%
30%
Decrease
Market
comparable
Enterprise
Value
to
Sales
Multiple
4.8x
–
21.8x
14.1x
Increase
Sales
Growth
Rate
11%-42%
29%
Increase
Enterprise
Value
to
Gross
Profit
Multiple
9.5x
–
15.4x
12.5x
Increase
Gross
Profit
Growth
Rate
13%
13%
Increase
Discount
for
Lack
of
Marketability
10%
10%
Decrease
Estimated
Liquidation
Value
Discount
for
lack
of
collectability
100%
100%
Decrease
Convertible
Preferred
Stocks
$
576,638
Recent
comparable
transaction
price(s)
—#
—#
—#
—#
Discount
for
Cumulative
Preferred
Dividend
Rights
0%
-
2%
2%
Decrease
T.
ROWE
PRICE
Health
Sciences
Fund
19
#
No
quantitative
unobservable
inputs
significant
to
the
valuation
technique
were
created
by
the
fund’s
management.
*
Unobservable
inputs
were
weighted
by
the
relative
fair
value
of
the
instruments.
**
Represents
the
directional
change
in
the
fair
value
of
the
Level
3
investment(s)
that
would
have
resulted
from
an
increase
in
the
corresponding
input
at
period
end.
A
decrease
in
the
unobservable
input
would
have
had
the
opposite
effect.
Significant
increases
and
decreases
in
these
inputs
in
isolation
could
result
in
significantly
higher
or
lower
fair
value
measurements.
+
Valuation
techniques
may
change
in
order
to
reflect
management’s
judgment
of
current
market
participant
assumptions.
F114-054Q3
09/21
Investments
in
Securities
Value
(000s)
Valuation
Technique(s)+
Significant
Unobservable
Input(s)
Value
or
Range
of
Input(s)
Weighted
Average
of
Input(s)*
Impact
to
Valuation
from
an
Increase
in
Input**
Premium
for
Cumulative
Preferred
Dividend
Rights
0%
-
1%
1%
Increase