T.
ROWE
PRICE
Tax-Efficient
Equity
Fund
May
31,
2024
(Unaudited)
1
Portfolio
of
Investments
‡
Shares
$
Value
(Cost
and
value
in
$000s)
‡
COMMON
STOCKS
99.7%
COMMUNICATION
SERVICES
12.4%
Entertainment
1.2%
Netflix (1)
13,400
8,598
ROBLOX,
Class
A (1)
5,900
198
Spotify
Technology (1)
13,656
4,053
Take-Two
Interactive
Software (1)
1,152
185
13,034
Interactive
Media
&
Services
10.6%
Alphabet,
Class
C (1)
376,080
65,423
Meta
Platforms,
Class
A
99,200
46,309
Pinterest,
Class
A (1)
18,000
747
Reddit,
Class
A (1)(2)
2,174
118
112,597
Media
0.6%
Omnicom
Group
12,800
1,190
Trade
Desk,
Class
A (1)
50,000
4,639
5,829
Total
Communication
Services
131,460
CONSUMER
DISCRETIONARY
13.1%
Automobiles
0.8%
Ferrari
2,240
920
Tesla (1)
44,175
7,867
8,787
Broadline
Retail
5.4%
Amazon.com (1)
300,860
53,084
Coupang (1)
34,500
784
MercadoLibre (1)
1,600
2,761
Ollie's
Bargain
Outlet
Holdings (1)
2,292
189
56,818
Distributors
0.1%
Pool
1,781
648
648
Diversified
Consumer
Services
0.1%
Bright
Horizons
Family
Solutions (1)
700
73
Duolingo (1)
500
96
Service
Corp.
International
13,380
959
1,128
T.
ROWE
PRICE
Tax-Efficient
Equity
Fund
2
Shares
$
Value
(Cost
and
value
in
$000s)
‡
Hotels,
Restaurants
&
Leisure
3.3%
Airbnb,
Class
A (1)
13,472
1,953
Booking
Holdings
1,007
3,803
Chipotle
Mexican
Grill (1)
2,600
8,137
Churchill
Downs
1,700
220
Darden
Restaurants
1,600
241
Domino's
Pizza
3,537
1,799
DoorDash,
Class
A (1)
12,000
1,321
DraftKings,
Class
A (1)
49,700
1,746
Expedia
Group (1)
800
90
Hilton
Worldwide
Holdings
35,500
7,121
Hyatt
Hotels,
Class
A
500
74
MGM
Resorts
International (1)
23,800
956
Restaurant
Brands
International
12,802
878
Royal
Caribbean
Cruises (1)
2,800
414
Starbucks
20,275
1,626
Viking
Holdings (1)
63,776
2,003
Wingstop
3,700
1,364
Wynn
Resorts
1,300
123
Yum!
Brands
10,000
1,374
35,243
Household
Durables
0.1%
NVR (1)
150
1,152
TopBuild (1)
300
126
1,278
Specialty
Retail
2.9%
AutoZone (1)
1,104
3,058
Burlington
Stores (1)
1,400
336
Carvana (1)
14,200
1,420
Dick's
Sporting
Goods
500
114
Five
Below (1)
3,700
511
Floor
&
Decor
Holdings,
Class
A (1)
500
58
Home
Depot
25,840
8,653
O'Reilly
Automotive (1)
7,053
6,794
RH (1)
100
27
Ross
Stores
13,200
1,845
TJX
34,577
3,565
Tractor
Supply
7,152
2,040
Ulta
Beauty (1)
5,400
2,134
Williams-Sonoma
900
264
30,819
T.
ROWE
PRICE
Tax-Efficient
Equity
Fund
3
Shares
$
Value
(Cost
and
value
in
$000s)
‡
Textiles,
Apparel
&
Luxury
Goods
0.4%
Lululemon
Athletica (1)
8,960
2,796
NIKE,
Class
B
11,749
1,117
On
Holding,
Class
A (1)
2,500
106
Skechers
USA,
Class
A (1)
3,500
250
4,269
Total
Consumer
Discretionary
138,990
CONSUMER
STAPLES
1.7%
Beverages
1.2%
Brown-Forman,
Class
B
4,712
216
Celsius
Holdings (1)
26,500
2,120
Constellation
Brands,
Class
A
8,000
2,002
Diageo,
ADR (2)
5,500
743
Monster
Beverage (1)
33,456
1,737
PepsiCo
32,800
5,671
12,489
Consumer
Staples
Distribution
&
Retail
0.3%
BJ's
Wholesale
Club
Holdings (1)
13,200
1,162
Casey's
General
Stores
500
166
Dollar
General
7,048
965
Performance
Food
Group (1)
18,300
1,274
3,567
Food
Products
0.1%
Freshpet (1)
1,600
210
Hershey
5,583
1,104
1,314
Household
Products
0.0%
Church
&
Dwight
919
98
98
Personal
Care
Products
0.1%
elf
Beauty (1)
1,171
219
Estee
Lauder,
Class
A
3,800
469
688
Total
Consumer
Staples
18,156
ENERGY
0.7%
Energy
Equipment
&
Services
0.1%
Halliburton
38,300
1,406
Noble
1,900
88
1,494
T.
ROWE
PRICE
Tax-Efficient
Equity
Fund
4
Shares
$
Value
(Cost
and
value
in
$000s)
‡
Oil,
Gas
&
Consumable
Fuels
0.6%
Cheniere
Energy
8,100
1,278
Chesapeake
Energy
2,100
191
Coterra
Energy
18,500
528
Diamondback
Energy
6,600
1,315
Exxon
Mobil
16,263
1,907
Magnolia
Oil
&
Gas,
Class
A
6,500
169
Matador
Resources
2,900
184
Permian
Resources
28,400
465
Targa
Resources
6,500
768
6,805
Total
Energy
8,299
FINANCIALS
8.5%
Banks
0.1%
NU
Holdings,
Class
A (1)
48,500
576
576
Capital
Markets
2.0%
Ares
Management,
Class
A
14,600
2,047
BlackRock
1,200
926
Blue
Owl
Capital
13,500
243
Cboe
Global
Markets
7,179
1,242
Charles
Schwab
13,583
995
CME
Group
6,310
1,281
Coinbase
Global,
Class
A (1)
500
113
FactSet
Research
Systems
1,100
445
KKR
11,000
1,131
LPL
Financial
Holdings
5,100
1,460
MarketAxess
Holdings
3,760
748
Moody's
4,961
1,969
Morningstar
600
173
MSCI
3,300
1,634
S&P
Global
7,337
3,137
StepStone
Group,
Class
A
2,300
99
TPG
2,100
88
Tradeweb
Markets,
Class
A
29,540
3,220
20,951
Financial
Services
5.7%
Apollo
Global
Management
37,500
4,356
Block (1)
11,600
743
Corpay (1)
5,600
1,499
Euronet
Worldwide (1)
1,600
187
Fiserv (1)
19,700
2,950
T.
ROWE
PRICE
Tax-Efficient
Equity
Fund
5
Shares
$
Value
(Cost
and
value
in
$000s)
‡
Mastercard,
Class
A
43,700
19,537
Mr
Cooper
Group (1)
1,200
100
Toast,
Class
A (1)
9,000
218
Visa,
Class
A
110,800
30,189
WEX (1)
667
125
59,904
Insurance
0.7%
Arch
Capital
Group (1)
6,700
688
Arthur
J
Gallagher
6,500
1,647
Brown
&
Brown
1,000
89
Hartford
Financial
Services
Group
15,300
1,583
Kinsale
Capital
Group
700
268
Marsh
&
McLennan
12,500
2,595
Ryan
Specialty
Holdings
5,400
300
7,170
Total
Financials
88,601
HEALTH
CARE
9.7%
Biotechnology
1.4%
Alkermes (1)
1,500
35
Alnylam
Pharmaceuticals (1)
2,301
342
Apellis
Pharmaceuticals (1)
1,700
67
Argenx,
ADR (1)
2,743
1,018
Ascendis
Pharma,
ADR (1)
600
81
BeiGene,
ADR (1)
900
134
BioNTech,
ADR (1)
7,528
757
Blueprint
Medicines (1)
800
84
Exact
Sciences (1)
2,300
104
Legend
Biotech,
ADR (1)
1,500
60
Moderna (1)
1,000
143
Natera (1)
2,900
309
Neurocrine
Biosciences (1)
2,945
399
Regeneron
Pharmaceuticals (1)
4,200
4,117
Sarepta
Therapeutics (1)
2,900
377
Vaxcyte (1)
1,300
91
Vertex
Pharmaceuticals (1)
14,199
6,465
14,583
Health
Care
Equipment
&
Supplies
1.0%
Alcon
1,000
89
Align
Technology (1)
2,800
720
Dexcom (1)
21,828
2,593
Globus
Medical,
Class
A (1)
2,700
181
IDEXX
Laboratories (1)
2,762
1,373
T.
ROWE
PRICE
Tax-Efficient
Equity
Fund
6
Shares
$
Value
(Cost
and
value
in
$000s)
‡
Inspire
Medical
Systems (1)
500
79
Insulet (1)
1,200
213
Intuitive
Surgical (1)
8,991
3,615
Lantheus
Holdings (1)
3,000
246
Masimo (1)
600
75
Penumbra (1)
3,300
625
ResMed
2,700
557
STERIS
565
126
10,492
Health
Care
Providers
&
Services
3.1%
Acadia
Healthcare (1)
1,300
90
Cardinal
Health
4,000
397
Cencora
2,600
589
Chemed
450
249
Elevance
Health
7,747
4,172
Encompass
Health
2,200
190
HCA
Healthcare
5,100
1,733
Humana
2,553
914
McKesson
13,500
7,689
Molina
Healthcare (1)
5,114
1,609
Tenet
Healthcare (1)
2,400
325
UnitedHealth
Group
29,100
14,415
32,372
Health
Care
Technology
0.1%
Veeva
Systems,
Class
A (1)
7,692
1,340
1,340
Life
Sciences
Tools
&
Services
1.3%
Agilent
Technologies
11,208
1,462
Bio-Rad
Laboratories,
Class
A (1)
300
86
Bio-Techne
5,000
386
Bruker
3,000
196
Charles
River
Laboratories
International (1)
400
83
Danaher
3,800
976
ICON (1)
1,100
357
IQVIA
Holdings (1)
4,000
876
Medpace
Holdings (1)
3,400
1,314
Mettler-Toledo
International (1)
1,313
1,844
Repligen (1)
3,100
462
Thermo
Fisher
Scientific
8,019
4,555
West
Pharmaceutical
Services
4,500
1,491
14,088
T.
ROWE
PRICE
Tax-Efficient
Equity
Fund
7
Shares
$
Value
(Cost
and
value
in
$000s)
‡
Pharmaceuticals
2.8%
Elanco
Animal
Health (1)
5,000
88
Eli
Lilly
32,100
26,333
Zoetis
20,068
3,403
29,824
Total
Health
Care
102,699
INDUSTRIALS
&
BUSINESS
SERVICES
6.7%
Aerospace
&
Defense
0.9%
Axon
Enterprise (1)
9,100
2,563
BWX
Technologies
1,400
129
HEICO
1,800
399
Howmet
Aerospace
4,000
339
L3Harris
Technologies
3,617
813
Northrop
Grumman
2,200
992
TransDigm
Group
3,428
4,604
9,839
Building
Products
0.3%
Advanced
Drainage
Systems
2,400
416
Allegion
1,700
207
Carrier
Global
1,600
101
Fortune
Brands
Innovations
1,800
126
Trane
Technologies
5,100
1,670
Trex (1)
2,700
234
2,754
Commercial
Services
&
Supplies
1.4%
Cintas
6,600
4,475
Clean
Harbors (1)
3,100
671
Copart (1)
74,800
3,969
RB
Global
4,500
327
Republic
Services
6,500
1,204
Rollins
21,000
959
Waste
Connections
19,710
3,239
14,844
Construction
&
Engineering
0.2%
API
Group (1)
2,500
89
Comfort
Systems
USA
1,000
327
Quanta
Services
7,000
1,932
WillScot
Mobile
Mini
Holdings (1)
2,800
110
2,458
Electrical
Equipment
0.7%
AMETEK
5,287
897
T.
ROWE
PRICE
Tax-Efficient
Equity
Fund
8
Shares
$
Value
(Cost
and
value
in
$000s)
‡
Eaton
10,500
3,495
Hubbell
4,100
1,594
nVent
Electric
1,100
89
Rockwell
Automation
2,472
637
Vertiv
Holdings,
Class
A
2,500
245
6,957
Ground
Transportation
1.0%
Canadian
Pacific
Kansas
City
12,000
952
Old
Dominion
Freight
Line
9,734
1,706
Saia (1)
375
154
Uber
Technologies (1)
86,000
5,552
Union
Pacific
7,600
1,769
10,133
Industrial
Conglomerates
0.1%
Roper
Technologies
1,842
981
981
Machinery
0.6%
AGCO
700
75
Cummins
3,363
948
Deere
6,847
2,566
Esab
2,400
247
Otis
Worldwide
1,000
99
Parker-Hannifin
3,000
1,595
RBC
Bearings (1)
600
177
Toro
1,000
80
Westinghouse
Air
Brake
Technologies
800
135
5,922
Professional
Services
0.8%
Automatic
Data
Processing
7,000
1,715
Booz
Allen
Hamilton
Holding
4,326
659
Broadridge
Financial
Solutions
7,761
1,558
Dayforce (1)(2)
2,063
102
Equifax
4,214
975
FTI
Consulting (1)
700
150
KBR
3,000
197
Paychex
7,900
949
Paylocity
Holding (1)
2,500
355
Verisk
Analytics
7,281
1,841
Verra
Mobility (1)
3,300
88
8,589
T.
ROWE
PRICE
Tax-Efficient
Equity
Fund
9
Shares
$
Value
(Cost
and
value
in
$000s)
‡
Trading
Companies
&
Distributors
0.7%
Fastenal
23,600
1,557
Ferguson
10,600
2,181
SiteOne
Landscape
Supply (1)
4,100
635
United
Rentals
2,200
1,473
Watsco
2,568
1,219
7,065
Total
Industrials
&
Business
Services
69,542
INFORMATION
TECHNOLOGY
45.6%
Communications
Equipment
0.7%
Arista
Networks (1)
17,400
5,179
Ciena (1)
2,000
96
Motorola
Solutions
6,500
2,372
7,647
Electronic
Equipment,
Instruments
&
Components
1.0%
Amphenol,
Class
A
52,386
6,934
CDW
11,015
2,463
Celestica (1)
3,700
207
Keysight
Technologies (1)
1,418
196
TE
Connectivity
1,200
180
Zebra
Technologies,
Class
A (1)
246
77
10,057
IT
Services
1.3%
Accenture,
Class
A
23,836
6,729
Cloudflare,
Class
A (1)
8,700
589
EPAM
Systems (1)
400
71
Gartner (1)
5,100
2,140
GoDaddy,
Class
A (1)
4,500
628
MongoDB (1)
4,800
1,133
Shopify,
Class
A (1)
35,000
2,070
Snowflake,
Class
A (1)
6,546
892
14,252
Semiconductors
&
Semiconductor
Equipment
16.7%
Advanced
Micro
Devices (1)
28,551
4,765
Analog
Devices
5,675
1,331
Astera
Labs (1)
743
48
Broadcom
15,700
20,858
Enphase
Energy (1)
1,600
204
Entegris
21,860
2,762
First
Solar (1)
400
109
KLA
21,100
16,026
T.
ROWE
PRICE
Tax-Efficient
Equity
Fund
10
Shares
$
Value
(Cost
and
value
in
$000s)
‡
Lam
Research
4,760
4,438
Lattice
Semiconductor (1)
11,031
819
Microchip
Technology
52,822
5,136
MKS
Instruments
500
63
Monolithic
Power
Systems
3,412
2,510
NVIDIA
96,000
105,248
ON
Semiconductor (1)
14,500
1,059
Onto
Innovation (1)
1,600
347
QUALCOMM
34,575
7,055
Taiwan
Semiconductor
Manufacturing,
ADR
21,800
3,293
Teradyne
3,000
423
176,494
Software
17.6%
Adobe (1)
17,500
7,783
Appfolio,
Class
A (1)
900
205
AppLovin,
Class
A (1)
2,500
204
Autodesk (1)
7,791
1,571
Bentley
Systems,
Class
B
5,949
299
BILL
Holdings (1)
900
47
Cadence
Design
Systems (1)
18,789
5,379
Canva,
Acquisition
Date:
8/16/21
-
11/4/21,
Cost $719 (1)(3)(4)
422
450
Confluent,
Class
A (1)
8,200
213
Crowdstrike
Holdings,
Class
A (1)
14,054
4,408
CyberArk
Software (1)
1,000
229
Databricks,
Class
A,
Acquisition
Date:
7/24/20
-
8/28/20,
Cost $82 (1)(3)(4)
5,133
377
Datadog,
Class
A (1)
23,563
2,596
Descartes
Systems
Group (1)
1,700
157
DocuSign (1)
5,000
274
Dynatrace (1)
6,448
295
Elastic (1)
2,700
281
Fair
Isaac (1)
2,000
2,580
Fortinet (1)
83,000
4,923
HubSpot (1)
1,600
978
Intuit
14,000
8,070
Manhattan
Associates (1)
7,100
1,559
Microsoft
252,125
104,665
Monday.com (1)
1,000
226
Nutanix,
Class
A (1)
5,400
299
Palantir
Technologies,
Class
A (1)
50,500
1,095
Palo
Alto
Networks (1)
15,800
4,660
Procore
Technologies (1)
2,500
168
PTC (1)
7,900
1,392
T.
ROWE
PRICE
Tax-Efficient
Equity
Fund
11
Shares
$
Value
(Cost
and
value
in
$000s)
‡
Salesforce
26,095
6,118
Samsara,
Class
A (1)
46,500
1,578
ServiceNow (1)
8,800
5,781
Snyk,
Acquisition
Date:
9/3/21,
Cost $144 (1)(3)(4)
10,031
97
Socure,
Acquisition
Date:
12/22/21,
Cost $159 (1)(3)(4)
9,912
62
Synopsys (1)
16,328
9,157
Tanium,
Class
B,
Acquisition
Date:
9/24/20,
Cost $52 (1)(3)(4)
4,598
23
Tyler
Technologies (1)
6,294
3,023
Workday,
Class
A (1)
12,500
2,643
Workiva (1)
487
37
Zscaler (1)
14,800
2,515
186,417
Technology
Hardware,
Storage
&
Peripherals
8.3%
Apple
457,000
87,858
Pure
Storage,
Class
A (1)
6,000
362
Super
Micro
Computer (1)
200
157
88,377
Total
Information
Technology
483,244
MATERIALS
0.8%
Chemicals
0.5%
CF
Industries
Holdings
2,000
159
Linde
4,600
2,003
RPM
International
1,300
146
Sherwin-Williams
9,814
2,982
5,290
Construction
Materials
0.2%
Vulcan
Materials
8,400
2,148
2,148
Containers
&
Packaging
0.0%
Avery
Dennison
582
132
132
Metals
&
Mining
0.1%
BHP
Group,
ADR
12,000
714
Steel
Dynamics
2,000
268
982
Total
Materials
8,552
REAL
ESTATE
0.4%
Industrial
Real
Estate
Investment
Trusts
0.0%
Rexford
Industrial
Realty,
REIT
1,000
45
T.
ROWE
PRICE
Tax-Efficient
Equity
Fund
12
Shares
$
Value
(Cost
and
value
in
$000s)
‡
Terreno
Realty,
REIT
1,000
57
102
Real
Estate
Management
&
Development
0.1%
CoStar
Group (1)
17,380
1,359
1,359
Residential
Real
Estate
Investment
Trusts
0.1%
Equity
LifeStyle
Properties,
REIT
10,900
684
684
Retail
Real
Estate
Investment
Trusts
0.0%
Simon
Property
Group,
REIT
2,000
303
303
Specialized
Real
Estate
Investment
Trusts
0.2%
CubeSmart,
REIT
21,100
893
Iron
Mountain,
REIT
2,300
186
Lamar
Advertising,
Class
A,
REIT
12,500
1,476
2,555
Total
Real
Estate
5,003
UTILITIES
0.1%
Independent
Power
&
Renewable
Electricity
Producer
0.1%
Vistra
6,400
634
Total
Utilities
634
Total
Common
Stocks
(Cost
$424,498)
1,055,180
CONVERTIBLE
PREFERRED
STOCKS
0.3%
HEALTH
CARE
0.0%
Biotechnology
0.0%
Caris
Life
Sciences,
Series
D,
Acquisition
Date:
5/11/21,
Cost $137 (1)(3)(4)
16,937
61
Total
Health
Care
61
INFORMATION
TECHNOLOGY
0.3%
Software
0.3%
Canva,
Series
A,
Acquisition
Date:
11/4/21,
Cost $43 (1)(3)(4)
25
27
Databricks,
Series
F,
Acquisition
Date:
10/22/19,
Cost $223 (1)
(3)(4)
15,573
1,145
Databricks,
Series
G,
Acquisition
Date:
2/1/21,
Cost $252 (1)
(3)(4)
4,257
313
Databricks,
Series
H,
Acquisition
Date:
8/31/21,
Cost $818 (1)
(3)(4)
11,136
818
T.
ROWE
PRICE
Tax-Efficient
Equity
Fund
13
Shares
$
Value
(Cost
and
value
in
$000s)
‡
DataRobot,
Series
G,
Acquisition
Date:
6/11/21,
Cost $186 (1)
(3)(4)
6,806
33
Rappi,
Series
E,
Acquisition
Date:
9/8/20,
Cost $523 (1)(3)(4)
8,757
199
Snyk,
Series
F,
Acquisition
Date:
9/3/21
-
12/14/22,
Cost $240 (1)(3)(4)
16,810
163
Socure,
Series
A,
Acquisition
Date:
12/22/21,
Cost $194 (1)(3)
(4)
12,046
75
Socure,
Series
A-1,
Acquisition
Date:
12/22/21,
Cost $159 (1)
(3)(4)
9,887
62
Socure,
Series
B,
Acquisition
Date:
12/22/21,
Cost $3 (1)(3)(4)
178
1
Socure,
Series
E,
Acquisition
Date:
10/27/21,
Cost $368 (1)(3)
(4)
22,915
143
Tanium,
Series
G,
Acquisition
Date:
8/26/15,
Cost $141 (1)(3)
(4)
28,431
140
Total
Information
Technology
3,119
Total
Convertible
Preferred
Stocks
(Cost
$3,287)
3,180
SHORT-TERM
INVESTMENTS
0.0%
Money
Market
Funds
0.0%
T.
Rowe
Price
Government
Reserve
Fund,
5.39% (5)(6)
400,652
401
Total
Short-Term
Investments
(Cost
$401)
401
SECURITIES
LENDING
COLLATERAL
0.1%
INVESTMENTS
IN
A
POOLED
ACCOUNT
THROUGH
SECURITIES
LENDING
PROGRAM
WITH
STATE
STREET
BANK
AND
TRUST
COMPANY 0.1%
Money
Market
Funds 0.1%
T.
Rowe
Price
Government
Reserve
Fund,
5.39% (5)(6)
840,896
841
Total
Investments
in
a
Pooled
Account
through
Securities
Lending
Program
with
State
Street
Bank
and
Trust
Company
841
Total
Securities
Lending
Collateral
(Cost
$841)
841
Total
Investments
in
Securities
100.1%
(Cost
$429,027)
$
1,059,602
Other
Assets
Less
Liabilities
(0.1)%
(902)
Net
Assets
100.0%
$
1,058,700
‡
Shares
are
denominated
in
U.S.
dollars
unless
otherwise
noted.
(1)
Non-income
producing
(2)
All
or
a
portion
of
this
security
is
on
loan
at
May
31,
2024.
T.
ROWE
PRICE
Tax-Efficient
Equity
Fund
14
.
.
.
.
.
.
.
.
.
.
(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
may
have
registration
rights
for
certain
restricted
securities.
Any
costs
related
to
such
registration
are
generally
borne
by
the
issuer.
The
aggregate
value
of
restricted
securities
(excluding
144A
holdings)
at
period
end
amounts
to
$4,189
and
represents
0.4%
of
net
assets.
(4)
Level
3
in
fair
value
hierarchy.
(5)
Seven-day
yield
(6)
Affiliated
Companies
ADR
American
Depositary
Receipts
REIT
A
domestic
Real
Estate
Investment
Trust
whose
distributions
pass-through
with
original
tax
character
to
the
shareholder
T.
ROWE
PRICE
Tax-Efficient
Equity
Fund
15
The
accompanying
notes
are
an
integral
part
of
this
Portfolio
of
Investments.
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
three
months
ended
May
31,
2024.
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
T.
Rowe
Price
Government
Reserve
Fund,
5.39%
$
—
$
—
$
6++
Totals
$
—#
$
—
$
6+
Supplementary
Investment
Schedule
Affiliate
Value
02/29/24
Purchase
Cost
Sales
Cost
Value
05/31/24
T.
Rowe
Price
Government
Reserve
Fund,
5.39%
$
5,160
¤
¤
$
1,242
Total
$
1,242^
#
Capital
gain
distributions
from
underlying
Price
funds
represented
$0
of
the
net
realized
gain
(loss).
++
Excludes
earnings
on
securities
lending
collateral,
which
are
subject
to
rebates
and
fees.
+
Investment
income
comprised
$6
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
$1,242.
T.
ROWE
PRICE
Tax-Efficient
Equity
Fund
Unaudited
Notes
to
Portfolio
of
Investments
16
T.
Rowe
Price
Tax-Efficient
Equity
Fund (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 fund’s
Board
of
Directors
(the
Board)
has
designated
T.
Rowe
Price
Associates,
Inc.
as
the
fund’s
valuation
designee
(Valuation
Designee).
Subject
to
oversight
by
the
Board,
the
Valuation
Designee
performs
the
following
functions
in
performing
fair
value
determinations:
assesses
and
manages
valuation
risks;
establishes
and
applies
fair
value
methodologies;
tests
fair
value
methodologies;
and
evaluates
pricing
vendors
and
pricing
agents.
The
duties
and
responsibilities
of
the
Valuation
Designee
are
performed
by
its
Valuation
Committee. The
Valuation
Designee 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
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)
T.
ROWE
PRICE
Tax-Efficient
Equity
Fund
17
Level
3
–
unobservable
inputs
(including
the Valuation
Designee’s 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.
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 are
not
readily
available
or
deemed
unreliable
are
valued
at
fair
value
as
determined
in
good
faith
by
the
Valuation
Designee.
The
Valuation
Designee
has
adopted
methodologies
for
determining
the
fair
value
of
investments
for
which
market
quotations
are
not
readily
available
or
deemed
unreliable,
including
the
use
of
other
pricing
sources.
Factors
used
in
determining
fair
value
vary
by
type
of
investment
and
may
include
market
or
investment
specific
considerations.
The
Valuation
Designee 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
Designee may
also
consider
other
valuation
methods
such
as
market-based
valuation
multiples;
T.
ROWE
PRICE
Tax-Efficient
Equity
Fund
18
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.
Because
any
fair
value
determination
involves
a
significant
amount
of
judgment,
there
is
a
degree
of
subjectivity
inherent
in
such
pricing
decisions. Fair
value
prices
determined
by
the
Valuation
Designee could
differ
from
those
of
other
market
participants,
and
it
is
possible
that
the
fair
value
determined
for
a
security
may
be
materially
different
from
the
value
that
could
be
realized
upon
the
sale
of
that
security.
Valuation
Inputs
The
following
table
summarizes
the
fund’s
financial
instruments,
based
on
the
inputs
used
to
determine
their
fair
values
on
May
31,
2024
(for
further
detail
by
category,
please
refer
to
the
accompanying
Portfolio
of
Investments):
OTHER
MATTERS
Unpredictable environmental,
political,
social
and
economic
events,
including
but
not
limited
to,
environmental
or
natural
disasters,
war
and
conflict
(including
Russia’s
military
invasion
of
Ukraine
and
the
conflict
in
Israel,
Gaza
and
surrounding
areas),
terrorism,
geopolitical
developments
(including
trading
and
tariff
arrangements,
sanctions
and
cybersecurity
attacks),
and
public
health
epidemics
(including
the
global
outbreak
of
COVID-19)
and
similar
public
health
threats,
may
significantly
affect
the
economy
and
the
markets
and
issuers
in
which
a
fund
invests.
The
extent
and
duration
of
such
events
and
resulting
market
disruptions
cannot
be
predicted.
These
and
other
similar
events
may
cause
instability
across
global
markets,
including
reduced
liquidity
and
disruptions
in
trading
markets,
while
some
events
may
affect
certain
geographic
regions,
countries,
sectors,
and
industries
more
significantly
than
others,
and
exacerbate
other
pre-existing
political,
social,
and
economic
risks.
The
fund’s
($000s)
Level
1
Level
2
Level
3
Total
Value
Assets
Common
Stocks
$
1,054,171
$
—
$
1,009
$
1,055,180
Convertible
Preferred
Stocks
—
—
3,180
3,180
Short-Term
Investments
401
—
—
401
Securities
Lending
Collateral
841
—
—
841
Total
$
1,055,413
$
—
$
4,189
$
1,059,602
T.
ROWE
PRICE
Tax-Efficient
Equity
Fund
19
performance
could
be
negatively
impacted
if
the
value
of
a
portfolio
holding
were
harmed
by
these
or
such
events.
Management
actively
monitors
the
risks
and
financial
impacts
arising
from
such
events.
F136-054Q1
05/24