| | |
| T. ROWE PRICE DIVERSIFIED MID-CAP GROWTH FUND |
|
| September 30, 2019 | (Unaudited) | |
| |
| |
| Portfolio of Investments‡ | Shares | $ Value |
| (Cost and value in $000s) | | |
| COMMON STOCKS 99.6% | | |
| COMMUNICATION SERVICES 2.1% | | |
| Entertainment 1.0% | | |
| Electronic Arts (1) | 41,400 | 4,049 |
| Live Nation Entertainment (1) | 63,100 | 4,186 |
| Take-Two Interactive Software (1) | 37,800 | 4,738 |
| Zynga, Class A (1) | 470,100 | 2,736 |
| | | 15,709 |
| Interactive Media & Services 0.8% | | |
| IAC/InterActiveCorp (1) | 33,500 | 7,302 |
| Match Group (2) | 57,400 | 4,101 |
| Zillow Group, Class A (1)(2) | 30,300 | 895 |
| | | 12,298 |
| Media 0.3% | | |
| Altice USA, Class A (1) | 100,558 | 2,884 |
| Interpublic Group | 39,200 | 845 |
| Omnicom Group | 16,600 | 1,300 |
| | | 5,029 |
| Total Communication Services | | 33,036 |
| CONSUMER DISCRETIONARY 15.4% | | |
| Auto Components 0.8% | | |
| Aptiv | 146,700 | 12,824 |
| | | 12,824 |
| Automobiles 0.2% | | |
| Ferrari | 19,120 | 2,946 |
| | | 2,946 |
| Distributors 0.3% | | |
| Pool | 22,700 | 4,579 |
| | | 4,579 |
| Diversified Consumer Services 0.9% | | |
| Bright Horizons Family Solutions (1) | 27,200 | 4,148 |
| Grand Canyon Education (1) | 38,100 | 3,741 |
| |
| The accompanying notes are an integral part of this Portfolio of Investments. | |
| | |
| T. ROWE PRICE DIVERSIFIED MID-CAP GROWTH FUND |
|
| |
| |
| |
| | Shares | $ Value |
| (Cost and value in $000s) | | |
| Service Corp. International | 141,612 | 6,771 |
| | | 14,660 |
| Hotels, Restaurants & Leisure 4.4% | | |
| Aramark | 52,200 | 2,275 |
| Choice Hotels International (2) | 32,800 | 2,918 |
| Domino's Pizza | 30,200 | 7,387 |
| Dunkin' Brands Group | 105,000 | 8,333 |
| Extended Stay America | 107,400 | 1,572 |
| Hilton Worldwide Holdings | 145,146 | 13,514 |
| MGM Resorts International | 152,500 | 4,227 |
| Norwegian Cruise Line Holdings (1) | 79,100 | 4,095 |
| Papa John's International (2) | 24,900 | 1,303 |
| Restaurant Brands International | 80,500 | 5,727 |
| Royal Caribbean Cruises | 41,300 | 4,474 |
| Wynn Resorts | 58,800 | 6,393 |
| Yum China Holdings | 79,500 | 3,612 |
| Yum! Brands | 34,000 | 3,857 |
| | | 69,687 |
| Household Durables 0.7% | | |
| Mohawk Industries (1) | 19,800 | 2,456 |
| NVR (1) | 1,880 | 6,989 |
| Toll Brothers | 40,600 | 1,667 |
| | | 11,112 |
| Internet & Direct Marketing Retail 0.5% | | |
| Chewy, Class A (1)(2) | 45,184 | 1,111 |
| Ctrip.com International, ADR (1) | 65,700 | 1,924 |
| Farfetch, Class A (1)(2) | 68,190 | 589 |
| GrubHub (1)(2) | 16,300 | 916 |
| MercadoLibre (1) | 5,300 | 2,921 |
| Wayfair, Class A (1)(2) | 10,110 | 1,134 |
| | | 8,595 |
| Multiline Retail 2.1% | | |
| Dollar General | 112,211 | 17,835 |
| Dollar Tree (1) | 107,900 | 12,318 |
| |
| The accompanying notes are an integral part of this Portfolio of Investments. | | |
| | |
| T. ROWE PRICE DIVERSIFIED MID-CAP GROWTH FUND |
|
| |
| |
| |
| | Shares | $ Value |
| (Cost and value in $000s) | | |
| Ollie's Bargain Outlet Holdings (1)(2) | 50,700 | 2,973 |
| | | 33,126 |
| Specialty Retail 4.6% | | |
| AutoZone (1) | 3,300 | 3,579 |
| Burlington Stores (1) | 82,862 | 16,558 |
| CarMax (1) | 66,200 | 5,826 |
| Five Below (1) | 24,700 | 3,115 |
| Michaels (1)(2) | 42,200 | 413 |
| O'Reilly Automotive (1) | 32,000 | 12,752 |
| Ross Stores | 74,500 | 8,184 |
| Tiffany (2) | 59,100 | 5,474 |
| Tractor Supply | 66,800 | 6,041 |
| Ulta Beauty (1) | 41,881 | 10,497 |
| Williams-Sonoma (2) | 23,400 | 1,591 |
| | | 74,030 |
| Textiles, Apparel & Luxury Goods 0.9% | | |
| Lululemon Athletica (1) | 43,100 | 8,298 |
| PVH | 16,400 | 1,447 |
| Tapestry | 149,600 | 3,897 |
| | | 13,642 |
| Total Consumer Discretionary | | 245,201 |
| CONSUMER STAPLES 3.3% | | |
| Beverages 0.4% | | |
| Brown-Forman, Class B | 111,692 | 7,012 |
| | | 7,012 |
| Food & Staples Retailing 0.3% | | |
| Casey's General Stores | 22,400 | 3,610 |
| Sprouts Farmers Market (1) | 46,000 | 890 |
| | | 4,500 |
| Food Products 1.5% | | |
| Conagra Brands | 81,168 | 2,490 |
| Hershey | 44,300 | 6,866 |
| Hormel Foods (2) | 29,400 | 1,286 |
| McCormick | 53,700 | 8,393 |
| The accompanying notes are an integral part of this Portfolio of Investments. | | |
| | |
| T. ROWE PRICE DIVERSIFIED MID-CAP GROWTH FUND |
|
| |
| |
| |
| | Shares | $ Value |
| (Cost and value in $000s) | | |
| |
| Tyson Foods, Class A | 50,600 | 4,359 |
| | | 23,394 |
| Household Products 1.1% | | |
| Church & Dwight | 123,100 | 9,262 |
| Clorox | 54,700 | 8,307 |
| | | 17,569 |
| Total Consumer Staples | | 52,475 |
| ENERGY 1.5% | | |
| |
| Oil, Gas & Consumable Fuels 1.5% | | |
| Cabot Oil & Gas | 272,500 | 4,788 |
| Centennial Resource Development, Class A (1) | 359,985 | 1,625 |
| Cimarex Energy | 8,100 | 388 |
| Concho Resources | 47,212 | 3,206 |
| Continental Resources (1) | 28,800 | 887 |
| Diamondback Energy | 38,200 | 3,434 |
| HollyFrontier | 75,800 | 4,066 |
| Jagged Peak Energy (1)(2) | 352,400 | 2,558 |
| Venture Global LNG, Series B, Acquisition Date: 3/8/18, | | |
| Cost $118 (1)(3)(4) | 39 | 203 |
| Venture Global LNG, Series C, Acquisition Date: 10/16/17 - | | |
| 3/8/18, Cost $1,703 (1)(3)(4) | 458 | 2,382 |
| Total Energy | | 23,537 |
| FINANCIALS 7.4% | | |
| Banks 1.8% | | |
| BankUnited | 45,702 | 1,537 |
| Fifth Third Bancorp | 70,100 | 1,919 |
| First Republic Bank | 98,600 | 9,535 |
| Pinnacle Financial Partners | 24,000 | 1,362 |
| Signature Bank | 28,300 | 3,374 |
| SVB Financial Group (1) | 24,000 | 5,015 |
| Webster Financial | 117,245 | 5,495 |
| | | 28,237 |
| Capital Markets 3.4% | | |
| Cboe Global Markets | 130,600 | 15,007 |
| E*TRADE Financial | 78,300 | 3,421 |
| The accompanying notes are an integral part of this Portfolio of Investments. | | |
| | |
| T. ROWE PRICE DIVERSIFIED MID-CAP GROWTH FUND |
|
| |
| |
| |
| | Shares | $ Value |
| (Cost and value in $000s) | | |
| |
| FactSet Research Systems | 7,950 | 1,932 |
| Lazard, Class A | 128,599 | 4,501 |
| MarketAxess Holdings | 14,800 | 4,847 |
| Moody's | 21,600 | 4,424 |
| MSCI | 22,200 | 4,834 |
| Nasdaq | 37,500 | 3,726 |
| Northern Trust | 30,200 | 2,818 |
| TD Ameritrade Holding | 138,300 | 6,459 |
| Tradeweb Markets, Class A | 68,508 | 2,533 |
| | | 54,502 |
| Consumer Finance 0.4% | | |
| Discover Financial Services | 70,900 | 5,749 |
| Green Dot, Class A (1) | 21,700 | 548 |
| | | 6,297 |
| Insurance 1.8% | | |
| Assurant | 57,500 | 7,235 |
| Axis Capital Holdings | 74,700 | 4,984 |
| Fidelity National Financial | 154,100 | 6,843 |
| Willis Towers Watson | 53,900 | 10,401 |
| | | 29,463 |
| Total Financials | | 118,499 |
| HEALTH CARE 13.4% | | |
| |
| Biotechnology 2.9% | | |
| Agios Pharmaceuticals (1)(2) | 37,200 | 1,205 |
| Alexion Pharmaceuticals (1) | 31,800 | 3,114 |
| Alkermes (1) | 90,700 | 1,770 |
| Alnylam Pharmaceuticals (1) | 54,080 | 4,349 |
| Argenx, ADR (1)(2) | 9,117 | 1,039 |
| Ascendis Pharma, ADR (1) | 9,360 | 902 |
| BioMarin Pharmaceutical (1) | 103,411 | 6,970 |
| Bluebird Bio (1)(2) | 8,100 | 744 |
| Blueprint Medicines (1) | 12,700 | 933 |
| Exelixis (1) | 114,700 | 2,028 |
| FibroGen (1) | 17,500 | 647 |
| Immunomedics (1)(2) | 46,900 | 622 |
| The accompanying notes are an integral part of this Portfolio of Investments. | | |
| | |
| T. ROWE PRICE DIVERSIFIED MID-CAP GROWTH FUND |
|
| |
| |
| |
| | Shares | $ Value |
| (Cost and value in $000s) | | |
| |
| Incyte (1) | 81,600 | 6,057 |
| Madrigal Pharmaceuticals (1)(2) | 2,989 | 258 |
| Neurocrine Biosciences (1)(2) | 46,822 | 4,219 |
| Sage Therapeutics (1)(2) | 23,053 | 3,234 |
| Sarepta Therapeutics (1)(2) | 32,600 | 2,455 |
| Seattle Genetics (1) | 56,161 | 4,796 |
| Ultragenyx Pharmaceutical (1) | 17,900 | 766 |
| | | 46,108 |
| Health Care Equipment & Supplies 4.6% | | |
| ABIOMED (1) | 22,200 | 3,949 |
| Align Technology (1) | 40,900 | 7,400 |
| Cooper | 39,500 | 11,732 |
| DexCom (1) | 34,300 | 5,119 |
| Exact Sciences (1)(2) | 66,500 | 6,010 |
| Hologic (1) | 173,300 | 8,750 |
| ICU Medical (1) | 11,228 | 1,792 |
| IDEXX Laboratories (1) | 37,300 | 10,143 |
| Novocure (1) | 20,600 | 1,540 |
| Penumbra (1)(2) | 14,700 | 1,977 |
| STERIS | 16,800 | 2,427 |
| Teleflex | 28,300 | 9,615 |
| West Pharmaceutical Services | 16,000 | 2,269 |
| | | 72,723 |
| Health Care Providers & Services 2.1% | | |
| Acadia Healthcare (1)(2) | 68,013 | 2,114 |
| Amedisys (1) | 14,600 | 1,913 |
| Centene (1) | 195,900 | 8,475 |
| DaVita (1) | 33,098 | 1,889 |
| Henry Schein (1) | 26,000 | 1,651 |
| Molina Healthcare (1) | 67,224 | 7,376 |
| Universal Health Services, Class B | 26,800 | 3,986 |
| WellCare Health Plans (1) | 20,953 | 5,430 |
| | | 32,834 |
| Health Care Technology 0.7% | | |
| Cerner | 42,200 | 2,877 |
| |
| The accompanying notes are an integral part of this Portfolio of Investments. | | |
| | |
| T. ROWE PRICE DIVERSIFIED MID-CAP GROWTH FUND |
|
| |
| |
| |
| | Shares | $ Value |
| (Cost and value in $000s) | | |
| Veeva Systems, Class A (1) | 53,600 | 8,184 |
| | | 11,061 |
| Life Sciences Tools & Services 2.1% | | |
| Agilent Technologies | 114,900 | 8,805 |
| Avantor (1) | 322,752 | 4,744 |
| Bruker | 38,800 | 1,705 |
| IQVIA Holdings (1) | 29,800 | 4,452 |
| Mettler-Toledo International (1) | 11,000 | 7,748 |
| PRA Health Sciences (1) | 27,100 | 2,689 |
| QIAGEN (1) | 120,900 | 3,986 |
| | | 34,129 |
| Pharmaceuticals 1.0% | | |
| Catalent (1) | 59,879 | 2,854 |
| Elanco Animal Health (1) | 157,462 | 4,187 |
| GW Pharmaceuticals, ADR (1)(2) | 7,000 | 805 |
| Jazz Pharmaceuticals (1) | 32,200 | 4,126 |
| Nektar Therapeutics (1)(2) | 22,600 | 412 |
| Perrigo | 59,915 | 3,348 |
| | | 15,732 |
| Total Health Care | | 212,587 |
| INDUSTRIALS & BUSINESS SERVICES 18.3% | | |
| Aerospace & Defense 3.0% | | |
| BWX Technologies (2) | 94,400 | 5,401 |
| Hexcel | 58,400 | 4,796 |
| Huntington Ingalls Industries | 23,200 | 4,914 |
| L3Harris Technologies | 78,640 | 16,408 |
| Textron | 78,700 | 3,853 |
| TransDigm Group | 23,000 | 11,975 |
| | | 47,347 |
| Air Freight & Logistics 0.4% | | |
| CH Robinson Worldwide (2) | 41,300 | 3,501 |
| Expeditors International of Washington | 27,900 | 2,073 |
| | | 5,574 |
| |
| The accompanying notes are an integral part of this Portfolio of Investments. | | |
| | |
| T. ROWE PRICE DIVERSIFIED MID-CAP GROWTH FUND |
|
| |
| |
| |
| | Shares | $ Value |
| (Cost and value in $000s) | | |
| |
| Airlines 1.1% | | |
| Alaska Air Group | 94,000 | 6,102 |
| American Airlines Group | 110,400 | 2,977 |
| Copa Holdings, Class A | 25,700 | 2,538 |
| United Airlines Holdings (1) | 63,000 | 5,570 |
| | | 17,187 |
| Building Products 1.0% | | |
| A.O. Smith | 103,900 | 4,957 |
| Allegion | 56,900 | 5,898 |
| Fortune Brands Home & Security | 87,651 | 4,794 |
| | | 15,649 |
| Commercial Services & Supplies 2.6% | | |
| ADT (2) | 181,900 | 1,141 |
| Cintas | 49,100 | 13,164 |
| Copart (1) | 92,900 | 7,463 |
| IAA (1) | 89,300 | 3,726 |
| KAR Auction Services (2) | 138,200 | 3,393 |
| Ritchie Bros Auctioneers | 36,300 | 1,448 |
| Rollins (2) | 127,862 | 4,356 |
| Waste Connections | 80,175 | 7,376 |
| | | 42,067 |
| Construction & Engineering 0.1% | | |
| Valmont Industries | 15,100 | 2,090 |
| | | 2,090 |
| Electrical Equipment 1.5% | | |
| AMETEK | 40,937 | 3,759 |
| Generac Holdings (1) | 28,100 | 2,201 |
| Hubbell | 45,100 | 5,926 |
| Rockwell Automation | 38,100 | 6,279 |
| Sensata Technologies Holding (1) | 114,000 | 5,707 |
| | | 23,872 |
| Industrial Conglomerates 0.1% | | |
| Roper Technologies | 4,400 | 1,569 |
| | | 1,569 |
| The accompanying notes are an integral part of this Portfolio of Investments. | | |
| | |
| T. ROWE PRICE DIVERSIFIED MID-CAP GROWTH FUND |
|
| |
| |
| |
| | Shares | $ Value |
| (Cost and value in $000s) | | |
| |
| Machinery 2.7% | | |
| Donaldson | 24,300 | 1,265 |
| Flowserve | 28,700 | 1,341 |
| Fortive | 92,688 | 6,355 |
| Graco | 72,300 | 3,329 |
| IDEX | 21,075 | 3,454 |
| Middleby (1) | 30,300 | 3,542 |
| Nordson | 29,500 | 4,315 |
| PACCAR | 31,100 | 2,177 |
| Snap-on | 17,900 | 2,802 |
| Toro | 45,647 | 3,346 |
| Wabtec (2) | 60,706 | 4,362 |
| Woodward | 34,000 | 3,666 |
| Xylem | 45,100 | 3,591 |
| | | 43,545 |
| Marine 0.1% | | |
| Kirby (1) | 11,000 | 904 |
| | | 904 |
| Professional Services 3.7% | | |
| CoStar Group (1) | 24,900 | 14,771 |
| Equifax | 51,000 | 7,174 |
| IHS Markit (1) | 93,143 | 6,230 |
| ManpowerGroup | 13,500 | 1,137 |
| Nielsen Holdings | 106,600 | 2,265 |
| Robert Half International | 61,100 | 3,401 |
| TransUnion | 170,600 | 13,837 |
| Verisk Analytics | 67,000 | 10,595 |
| | | 59,410 |
| Road & Rail 1.4% | | |
| JB Hunt Transport Services | 68,700 | 7,602 |
| Kansas City Southern | 50,800 | 6,757 |
| Landstar System | 11,200 | 1,261 |
| Old Dominion Freight Line | 27,900 | 4,742 |
| Schneider National, Class B | 97,795 | 2,124 |
| | | 22,486 |
| The accompanying notes are an integral part of this Portfolio of Investments. | | |
| | |
| T. ROWE PRICE DIVERSIFIED MID-CAP GROWTH FUND |
|
| |
| |
| |
| | Shares | $ Value |
| (Cost and value in $000s) | | |
| |
| Trading Companies & Distributors 0.6% | | |
| Fastenal | 39,300 | 1,284 |
| HD Supply Holdings (1) | 172,576 | 6,760 |
| Watsco | 12,500 | 2,115 |
| | | 10,159 |
| Total Industrials & Business Services | | 291,859 |
| INFORMATION TECHNOLOGY 32.0% | | |
| |
| Communications Equipment 0.7% | | |
| Motorola Solutions | 69,000 | 11,758 |
| | | 11,758 |
| Electronic Equipment, Instruments & Components 3.9% | | |
| Amphenol, Class A | 157,700 | 15,218 |
| CDW | 95,400 | 11,757 |
| Cognex | 81,500 | 4,004 |
| Coherent (1)(2) | 16,960 | 2,607 |
| Corning | 206,600 | 5,892 |
| FLIR Systems | 16,800 | 884 |
| IPG Photonics (1) | 26,100 | 3,539 |
| Keysight Technologies (1) | 105,100 | 10,221 |
| Littelfuse | 23,000 | 4,078 |
| Zebra Technologies, Class A (1) | 15,800 | 3,261 |
| | | 61,461 |
| IT Services 10.3% | | |
| Black Knight (1) | 127,183 | 7,766 |
| Booz Allen Hamilton Holding | 146,300 | 10,390 |
| CoreLogic (1) | 96,900 | 4,484 |
| EPAM Systems (1) | 14,900 | 2,717 |
| Euronet Worldwide (1) | 48,400 | 7,081 |
| Fidelity National Information Services | 68,255 | 9,062 |
| Fiserv (1) | 164,877 | 17,080 |
| FleetCor Technologies (1) | 46,700 | 13,393 |
| Gartner (1) | 72,500 | 10,367 |
| Genpact | 68,600 | 2,658 |
| Global Payments | 160,673 | 25,547 |
| |
| The accompanying notes are an integral part of this Portfolio of Investments. | | |
| | |
| T. ROWE PRICE DIVERSIFIED MID-CAP GROWTH FUND |
|
| |
| |
| |
| | Shares | $ Value |
| (Cost and value in $000s) | | |
| |
| GoDaddy, Class A (1) | 98,200 | 6,479 |
| Leidos Holdings | 74,700 | 6,415 |
| Okta (1) | 47,500 | 4,677 |
| Paychex | 50,000 | 4,138 |
| Sabre | 151,700 | 3,397 |
| Shopify, Class A (1) | 18,700 | 5,828 |
| StoneCo, Class A (1)(2) | 41,799 | 1,454 |
| Twilio, Class A (1)(2) | 56,533 | 6,216 |
| VeriSign (1) | 36,300 | 6,847 |
| WEX (1) | 38,700 | 7,820 |
| | | 163,816 |
| Semiconductors & Semiconductor Equipment 6.4% | | |
| Entegris | 182,000 | 8,565 |
| KLA | 96,150 | 15,331 |
| Lam Research | 54,600 | 12,619 |
| Marvell Technology Group | 373,130 | 9,317 |
| Maxim Integrated Products | 224,900 | 13,024 |
| Microchip Technology (2) | 165,900 | 15,414 |
| Monolithic Power Systems (2) | 32,400 | 5,042 |
| Skyworks Solutions | 136,100 | 10,786 |
| Xilinx | 115,800 | 11,105 |
| | | 101,203 |
| Software 10.4% | | |
| 2U (1)(2) | 12,000 | 195 |
| ANSYS (1) | 17,000 | 3,763 |
| Atlassian, Class A (1) | 100,483 | 12,605 |
| Autodesk (1) | 41,200 | 6,085 |
| Cadence Design Systems (1) | 150,600 | 9,952 |
| CDK Global | 78,900 | 3,794 |
| Ceridian HCM Holding (1)(2) | 76,829 | 3,793 |
| Coupa Software (1) | 35,800 | 4,639 |
| Crowdstrike Holdings, Class A (1)(2) | 13,913 | 811 |
| Datadog, Class A (1)(2) | 27,831 | 944 |
| Datadog, Class B, Acquisition Date: 5/7/19, Cost $359 (1)(3) | 22,512 | 725 |
| DocuSign (1)(2) | 91,997 | 5,696 |
| Dropbox, Class A (1) | 66,524 | 1,342 |
| The accompanying notes are an integral part of this Portfolio of Investments. | | |
| | |
| T. ROWE PRICE DIVERSIFIED MID-CAP GROWTH FUND |
|
| |
| |
| |
| | Shares | $ Value |
| (Cost and value in $000s) | | |
| |
| Dynatrace (1)(2) | 97,473 | 1,820 |
| Fortinet (1) | 79,900 | 6,133 |
| Guidewire Software (1)(2) | 62,000 | 6,533 |
| New Relic (1) | 36,500 | 2,243 |
| Palo Alto Networks (1) | 50,800 | 10,355 |
| Paycom Software (1) | 23,800 | 4,986 |
| Pluralsight, Class A (1)(2) | 38,866 | 653 |
| Proofpoint (1) | 49,900 | 6,440 |
| RealPage (1) | 113,710 | 7,148 |
| ServiceNow (1) | 32,700 | 8,301 |
| Slack Technologies, Class A (1)(2) | 82,488 | 1,957 |
| Splunk (1) | 117,700 | 13,872 |
| SS&C Technologies Holdings | 166,400 | 8,581 |
| Symantec | 171,000 | 4,041 |
| Synopsys (1) | 58,100 | 7,974 |
| Tyler Technologies (1) | 24,694 | 6,482 |
| Workday, Class A (1) | 43,773 | 7,440 |
| Zendesk (1) | 84,500 | 6,158 |
| Zoom Video Communications, Class A (1)(2) | 3,254 | 248 |
| | | 165,709 |
| Technology Hardware, Storage & Peripherals 0.3% | | |
| Pure Storage, Class A (1)(2) | 267,797 | 4,537 |
| | | 4,537 |
| Total Information Technology | | 508,484 |
| MATERIALS 3.9% | | |
| |
| Chemicals 1.3% | | |
| Axalta Coating Systems (1) | 73,400 | 2,213 |
| Celanese | 44,500 | 5,442 |
| CF Industries Holdings | 39,000 | 1,919 |
| PPG Industries | 35,200 | 4,171 |
| RPM International | 88,373 | 6,081 |
| Valvoline | 61,419 | 1,353 |
| | | 21,179 |
| Construction Materials 0.9% | | |
| Eagle Materials | 32,600 | 2,934 |
| The accompanying notes are an integral part of this Portfolio of Investments. | | |
| | |
| T. ROWE PRICE DIVERSIFIED MID-CAP GROWTH FUND |
|
| |
| |
| |
| | Shares | $ Value |
| (Cost and value in $000s) | | |
| Vulcan Materials | 70,900 | 10,723 |
| | | 13,657 |
| Containers & Packaging 1.5% | | |
| Avery Dennison | 58,800 | 6,678 |
| Ball | 148,700 | 10,827 |
| International Paper | 41,400 | 1,732 |
| Sealed Air | 101,546 | 4,215 |
| | | 23,452 |
| Metals & Mining 0.2% | | |
| Kirkland Lake Gold (2) | 66,500 | 2,979 |
| | | 2,979 |
| Total Materials | | 61,267 |
| REAL ESTATE 1.7% | | |
| Equity Real Estate Investment Trusts 1.5% | | |
| American Campus Communities, REIT | 28,770 | 1,383 |
| CubeSmart, REIT | 83,900 | 2,928 |
| Federal Realty Investment Trust, REIT | 6,900 | 939 |
| Iron Mountain, REIT (2) | 49,000 | 1,587 |
| MGM Growth Properties, Class A, REIT | 116,600 | 3,504 |
| SBA Communications, REIT | 49,500 | 11,937 |
| SL Green Realty, REIT | 16,000 | 1,308 |
| VEREIT, REIT | 109,140 | 1,068 |
| | | 24,654 |
| Real Estate Management & Development 0.2% | | |
| Jones Lang LaSalle | 19,800 | 2,754 |
| WeWork, Class A, Acquisition Date: 5/26/15, Cost $53 (1)(3)(4) | 3,707 | 63 |
| | | 2,817 |
| Total Real Estate | | 27,471 |
| UTILITIES 0.6% | | |
| Gas Utilities 0.3% | | |
| Atmos Energy | 40,100 | 4,567 |
| | | 4,567 |
| |
| The accompanying notes are an integral part of this Portfolio of Investments. | | |
| | | | | |
| T. ROWE PRICE DIVERSIFIED MID-CAP GROWTH FUND |
|
| |
| |
| |
| | | | | Shares | $ Value |
| (Cost and value in $000s) | | | | | |
| |
| Multi-Utilities 0.1% | | | | | |
| NiSource | | | | 62,000 | 1,855 |
| | | | | | 1,855 |
| Water Utilities 0.2% | | | | | |
| American Water Works | | | | 30,369 | 3,773 |
| | | | | | 3,773 |
| Total Utilities | | | | | 10,195 |
| Total Common Stocks (Cost $1,186,635) | | | | | 1,584,611 |
| |
| CONVERTIBLE PREFERRED STOCKS 0.3% | | | | | |
| CONSUMER DISCRETIONARY 0.1% | | | | | |
| Internet & Direct Marketing Retail 0.1% | | | | | |
| Airbnb, Series D, Acquisition Date: 4/16/14, Cost $516(1)(3)(4) | 12,672 | 1,434 |
| Airbnb, Series E, Acquisition Date: 7/14/15, Cost $185(1)(3)(4) | 1,981 | 224 |
| Total Consumer Discretionary | | | | | 1,658 |
| INFORMATION TECHNOLOGY 0.1% | | | | | |
| Software 0.1% | | | | | |
| Tanium, Series G, Acquisition Date: 8/26/15, | | | | | |
| Cost $985 (1)(3)(4) | | | | 198,465 | 1,725 |
| Uipath, Series D-1, Acquisition Date: 4/26/19, | | | | | |
| Cost $1,085 (1)(3)(4) | | | | 27,584 | 1,086 |
| Uipath, Series D-2, Acquisition Date: 4/26/19, | | | | | |
| Cost $182 (1)(3)(4) | | | | 4,632 | 182 |
| Total Information Technology | | | | | 2,993 |
| REAL ESTATE 0.1% | | | | | |
| Real Estate Management & Development 0.1% | | | | | |
| WeWork, Series D-1, Acquisition Date: 12/9/14, | | | | | |
| Cost $316 (1)(3)(4) | | | | 18,959 | 323 |
| WeWork, Series D-2, Acquisition Date: 12/9/14, | | | | | |
| Cost $248 (1)(3)(4) | | | | 14,896 | 254 |
| WeWork, Series E, Acquisition Date: 6/23/15, | | | | | |
| Cost $428 (1)(3)(4) | | | | 13,014 | 221 |
| Total Real Estate | | | | | 798 |
| Total Convertible Preferred Stocks (Cost $3,945) | | | | | 5,449 |
| The accompanying notes are an integral part of this Portfolio of Investments. | | | |
| | | | |
| T. ROWE PRICE DIVERSIFIED MID-CAP GROWTH FUND | | |
| |
| |
| | Shares | | $ Value |
| (Cost and value in $000s) | | | |
| |
| SHORT-TERM INVESTMENTS 0.1% | | | |
| Money Market Funds 0.1% | | | |
| T. Rowe Price Government Reserve Fund, 2.00% (5)(6) | 2,227,908 | | 2,228 |
| Total Short-Term Investments (Cost $2,228) | | | 2,228 |
| SECURITIES LENDING COLLATERAL 5.3% | | | |
| Investments in a Pooled Account through Securities Lending | | | |
| Program with State Street Bank and Trust Company 5.3% | | | |
| Short-Term Funds 5.3% | | | |
| T. Rowe Price Short-Term Fund, 2.07% (5)(6) | 8,427,312 | | 84,273 |
| Total Investments in a Pooled Account through Securities Lending Program with | | |
| State Street Bank and Trust Company | | | 84,273 |
| Total Securities Lending Collateral (Cost $84,273) | | | 84,273 |
| |
| Total Investments in Securities 105.3% | | | |
| (Cost $1,277,081) | | $ | 1,676,561 |
| Other Assets Less Liabilities (5.3)% | | | (84,976) |
| Net Assets 100.0% | | $ | 1,591,585 |
| | |
| ‡ | | 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 September 30, 2019. |
| (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 $8,822 and represents 0.6% of net assets. |
| (4 | ) | Level 3 in fair value hierarchy. |
| (5 | ) | Seven-day yield |
| (6 | ) | Affiliated Companies |
| ADR | | American Depositary Receipts |
| REIT | | A domestic Real Estate Investment Trust whose distributions pass-through |
| | | with original tax character to the shareholder |
The accompanying notes are an integral part of this Portfolio of Investments.
| | | | | | | | | | | |
| | | | | T. ROWE PRICE DIVERSIFIED MID-CAP GROWTH FUND | | |
| |
| |
| |
| |
| | Affiliated Companies | | | | | | | | | |
| ($ | 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, 2019. 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. | |
| |
| | | | | | | | Change in Net | | | |
| | | | | | Net Realized Gain | | Unrealized | Investment | |
| | Affiliate | | | | (Loss) | | Gain/Loss | | Income | |
| | T. Rowe Price Government | | | | | | | |
| | Reserve Fund | | | $ | — | $ | — | $ | 86 | |
| | T. Rowe Price Short-Term Fund | | — | | — | | —++ | |
| | Totals | | | $ | —# | $ | — | $ | 86 | + |
| |
| |
| | Supplementary Investment Schedule | | | | | | |
| | | | | | Value | Purchase | Sales | | Value | |
| | Affiliate | | | 12/31/18 | Cost | Cost | | 9/30/19 | |
| | T. Rowe Price Government | | | | | | | |
| | Reserve Fund | | $ | 1,192 | | ¤ | ¤ $ | | 2,228 | |
| | T. Rowe Price Short-Term | | | | | | | |
| | Fund | | | 90,948 | | ¤ | ¤ | | 84,273 | |
| | | | | | | | | $ | | 86,501 | ^ |
| | # | Capital gain distributions from mutual 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 $86 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 $86,501. | | | |
| |
| |
| |
| |
| | The accompanying notes are an integral part of this Portfolio of Investments. | | | |
T. ROWE PRICE DIVERSIFIED MID-CAP GROWTH FUND
Unaudited
NOTES TO PORTFOLIO OF
INVESTMENTS
T. Rowe Price Diversified Mid-Cap Growth 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 BoardAccounting Standards CodificationTopic 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
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.
Fair Value
The fund’s financial instruments 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 procedures to value securities; determines pricing
techniques, sources, and persons eligible to effect fair value pricing actions; oversees the selection, services, and
performance of pricing vendors; oversees valuation-related business continuity practices; and provides guidance on
internal controls and valuation-related matters. The Valuation Committee reports to the Board and has representation
from legal, portfolio management and trading, operations, risk management, and the fund’s treasurer.
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)
Level 3 - unobservable inputs
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 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
T. ROWE PRICE DIVERSIFIED MID-CAP GROWTH FUND
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.
Actively traded equity securities listed on a domestic exchange generally are categorized in Level 1 of the fair value
hierarchy. OTC Bulletin Board securities, certain preferred securities, and equity securities traded in inactive markets
generally are categorized in Level 2 of the fair value hierarchy.
Investments in mutual funds are valued at the mutual fund’s closing NAV per share on the day of valuation and are
categorized in Level 1 of the fair value hierarchy.
Thinly traded financial instruments and those for which the above valuation procedures are inappropriate or are
deemed not to reflect fair value are stated at fair value as determined in good faith by the Valuation Committee. 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.
Subject to oversight by the Board, the Valuation Committee regularly makes good faith judgments to establish and
adjust the fair valuations of certain securities as events occur and circumstances warrant. For instance, in determining
the fair value of an equity investment with limited market activity, such as a private placement or a thinly traded public
company stock, the Valuation Committee considers a variety of factors, which may include, but are not limited to, the
issuer’s business prospects, its financial standing and performance, recent investment transactions in the issuer, new
rounds of financing, negotiated transactions of significant size between other investors in the company, relevant market
valuations of peer companies, strategic events affecting the company, market liquidity for the issuer, and general
economic conditions and events. In consultation with the investment and pricing teams, the Valuation Committee will
determine an appropriate valuation technique based on available information, which may include both observable and
unobservable inputs. 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; 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
issue. 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. Depending on the relative significance of unobservable inputs, including the
valuation technique(s) used, fair valued securities may be categorized in Level 2 or 3 of the fair value hierarchy.
Valuation Inputs
The following table summarizes the fund’s financial instruments, based on the inputs used to determine their fair values
on September 30, 2019 (for further detail by category, please refer to the accompanying Portfolio of Investments):
| | | | | | | | |
| ($000s) | | Level 1 | | Level 2 | | Level 3 | | Total Value |
| Assets | | | | | | | | |
| Common Stocks | $ | 1,581,238 | $ | 725 | $ | 2,648 | $ | 1,584,611 |
| Convertible Preferred Stocks | | — | | — | | 5,449 | | 5,449 |
| Short-Term Investments | | 2,228 | | — | | — | | 2,228 |
| Securities Lending Collateral | | 84,273 | | — | | — | | 84,273 |
| Total | $ | 1,667,739 | $ | 725 | $ | 8,097 | $ | 1,676,561 |
T. ROWE PRICE DIVERSIFIED MID-CAP GROWTH FUND
Following is a reconciliation of the fund’s Level 3 holdings for the period ended September 30, 2019. 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, 2019, totaled $(1,854,000) for the period ended September 30,
2019. During the period, transfers out of Level 3 include securities acquired as a result of a corporate action.
| | | | | | | | | | | | | | | | | |
| ($ | 000s) | | Beginning | | Gain (Loss) | | | | | | Transfers | | Ending |
| | | | | Balance | | During | | Total | | Total | | Out of | | Balance |
| | | | | 1/1/19 | | Period | | Purchases | | Sales | | Level 3 | | 9/30/19 |
| | Investment in Securities | | | | | | | | | | | | | |
| | Common Stocks | | $ | 3,054 | $ | (117) | $ | – | $ | (289) | $ | – | $ | 2,648 |
| | Convertible Preferred Stocks | | | 6,380 | | (1,528) | | 1,268 | | – | | (671) | | 5,449 |
| | Total Level 3 | | $ | 9,434 | $ | (1,645) | $ | 1,268 | $ | (289) | $ | (671) | $ | 8,097 |
