UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
Investment Company Act File Number: 811-23494
T. Rowe Price Exchange-Traded Funds, Inc.
(Exact name of registrant as specified in charter)
100 East Pratt Street, Baltimore, MD 21202
(Address of principal executive offices)
David Oestreicher
100 East Pratt Street, Baltimore, MD 21202
(Name and address of agent for service)
Registrant’s telephone number, including area code: (410) 345-2000
Date of fiscal year end: December 31
Date of reporting period: June 30, 2024
Item 1. Reports to Shareholders
(a) Report pursuant to Rule 30e-1
![Image](https://capedge.com/proxy/N-CSRS/0001193125-24-208459/g755417kyaofgxdxanhnlybwdh8d.jpg)
Semi-Annual Shareholder Report
June 30, 2024
Capital Appreciation Equity ETF (TCAF)
Principal Listing Exchange: NYSE Arca, Inc.
This semiannual shareholder report contains important information about Capital Appreciation Equity ETF ("the fund") for the period of January 1, 2024 to June 30, 2024. You can find the fund’s prospectus, financial information on Form N-CSR (which includes required tax information for dividends), holdings, proxy voting information, and other information at www.troweprice.com/prospectus. You can also request this information without charge by contacting T. Rowe Price at 1-800-638-5660 or info@troweprice.com or by contacting your intermediary.
What were the fund costs for the last year? (based on a hypothetical $10,000 investment)
Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment | |
---|---|---|
Capital Appreciation Equity ETF | $16 | 0.31% |
What are some fund statistics?
Fund Statistics
- Total Net Assets (000s)$1,761,610
- Number of Portfolio Holdings98
- Portfolio Turnover Rate16.6%
What did the fund invest in?
Security Allocation (as a % of Net Assets)
Common Stocks | 99.6% |
Short-Term Investments | 0.4 |
100.0% |
Top Ten Holdings (as a % of Net Assets)
Microsoft | 8.4% |
NVIDIA | 6.5 |
Apple | 5.2 |
Alphabet | 4.5 |
Amazon.com | 4.5 |
UnitedHealth Group | 2.6 |
Meta Platforms | 2.2 |
Canadian Natural Resources | 2.1 |
Becton Dickinson | 2.1 |
Danaher | 2.1 |
If you invest directly with T. Rowe Price, you can elect to receive future shareholder reports or other important documents through electronic delivery by enrolling at www.troweprice.com/paperless. If you invest through a financial intermediary such as an investment advisor, a bank, retirement plan sponsor or a brokerage firm, please contact that organization and ask if it can provide electronic delivery.
T. Rowe Price Investment Services, Inc.
100 East Pratt Street
Baltimore, MD 21202
Capital Appreciation Equity ETF (TCAF)
![Image](https://capedge.com/proxy/N-CSRS/0001193125-24-208459/g755417gpzbdbpo7hv85lxzdbcwg.jpg)
Principal Listing Exchange: NYSE Arca, Inc.
202407-3725262
ETF1072-053 08/24
Item 1. (b) Notice pursuant to Rule 30e-3.
Not applicable.
Item 2. Code of Ethics.
A code of ethics, as defined in Item 2 of Form N-CSR, applicable to its principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions is filed as an exhibit to the registrant’s annual Form N-CSR. No substantive amendments were approved or waivers were granted to this code of ethics during the registrant’s most recent fiscal half-year.
Item 3. Audit Committee Financial Expert.
Disclosure required in registrant’s annual Form N-CSR.
Item 4. Principal Accountant Fees and Services.
Disclosure required in registrant’s annual Form N-CSR.
Item 5. Audit Committee of Listed Registrants.
Not applicable.
Item 6. Investments.
(a) Not applicable. The complete schedule of investments is included in Item 7 of this Form N-CSR.
(b) Not applicable.
Item 7. Financial Statements and Financial Highlights for Open-End Management Investment Companies.
(a – b) Report pursuant to Regulation S-X.
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T. ROWE PRICE | |
TCAF | Capital Appreciation Equity ETF |
For more insights from T. Rowe Price investment professionals, go to troweprice.com. |
![](https://capedge.com/proxy/N-CSRS/0001193125-24-208459/g755417imgcb4ed47a2.gif)
6 Months Ended | 6/14/23(1) Through | |
6/30/24 | 12/31/23 | |
NET ASSET VALUE | ||
Beginning of period | $ 27.57 | $ 25.00 |
Investment activities | ||
Net investment income(2) (3) | 0.13 | 0.15 |
Net realized and unrealized gain/loss | 3.70 | 2.49 |
Total from investment activities | 3.83 | 2.64 |
Distributions | ||
Net investment income | - | (0.07) |
NET ASSET VALUE | ||
End of period | $ 31.40 | $ 27.57 |
Ratios/Supplemental Data | ||
Total return, based on NAV(3) (4) | 13.89% | 10.57% |
Ratios to average net assets:(3) | ||
Gross expenses before waivers/payments by Price Associates | 0.31%(5) | 0.31%(5) |
Net expenses after waivers/payments by Price Associates | 0.31%(5) | 0.31%(5) |
Net investment income | 0.88%(5) | 1.04%(5) |
Portfolio turnover rate(6) | 16.6% | 18.5% |
Net assets, end of period (in thousands) | $ 1,761,610 | $ 669,903 |
(1) | Inception date |
(2) | Per share amounts calculated using average shares outstanding method. |
(3) | Includes the impact of expense-related arrangements with Price Associates. |
(4) | Total return reflects the rate that an investor would have earned on an investment in the fund during the period, assuming reinvestment of all distributions. Total return is not annualized for periods less than one year. |
(5) | Annualized |
(6) | Portfolio turnover excludes securities received or delivered through in-kind share transactions. |
PORTFOLIO OF INVESTMENTS‡ | Shares | $ Value |
(Cost and value in $000s) | ||
COMMON STOCKS 99.6% | ||
COMMUNICATION SERVICES 6.9% | ||
Entertainment 0.2% | ||
Walt Disney | 27,838 | 2,764 |
2,764 | ||
Interactive Media & Services 6.7% | ||
Alphabet, Class A | 437,078 | 79,614 |
Meta Platforms, Class A | 77,733 | 39,194 |
118,808 | ||
Total Communication Services | 121,572 | |
CONSUMER DISCRETIONARY 8.5% | ||
Broadline Retail 4.5% | ||
Amazon.com (1) | 407,668 | 78,782 |
78,782 | ||
Diversified Consumer Services 0.2% | ||
Service International | 48,524 | 3,451 |
3,451 | ||
Hotels Restaurants & Leisure 3.4% | ||
Chipotle Mexican Grill (1) | 20,608 | 1,291 |
Hilton Worldwide Holdings | 74,711 | 16,302 |
Marriott International, Class A | 21,215 | 5,129 |
McDonald's | 77,460 | 19,740 |
Yum! Brands | 139,239 | 18,444 |
60,906 |
Shares | $ Value | |
(Cost and value in $000s) | ||
Textiles, Apparel & Luxury Goods 0.4% | ||
NIKE, Class B | 92,485 | 6,971 |
6,971 | ||
Total Consumer Discretionary | 150,110 | |
CONSUMER STAPLES 0.8% | ||
Beverages 0.5% | ||
Keurig Dr Pepper | 228,676 | 7,638 |
7,638 | ||
Consumer Staples Distribution & Retail 0.3% | ||
Dollar Tree (1) | 53,442 | 5,706 |
5,706 | ||
Total Consumer Staples | 13,344 | |
ENERGY 3.3% | ||
Energy Equipment & Services 0.4% | ||
Schlumberger | 142,188 | 6,708 |
6,708 | ||
Oil, Gas & Consumable Fuels 2.9% | ||
Canadian Natural Resources | 1,054,278 | 37,533 |
Chesapeake Energy | 158,513 | 13,028 |
50,561 | ||
Total Energy | 57,269 | |
FINANCIALS 8.6% | ||
Banks 0.4% | ||
Bank of America | 55,884 | 2,223 |
PNC Financial Services Group | 35,080 | 5,454 |
7,677 | ||
Capital Markets 3.5% | ||
CME Group | 38,258 | 7,522 |
Shares | $ Value | |
(Cost and value in $000s) | ||
Goldman Sachs Group | 16,823 | 7,609 |
Intercontinental Exchange | 134,855 | 18,460 |
KKR | 98,721 | 10,389 |
Moody's | 3,545 | 1,492 |
Morgan Stanley | 63,001 | 6,123 |
MSCI | 4,462 | 2,150 |
S&P Global | 12,467 | 5,560 |
Tradeweb Markets, Class A | 14,646 | 1,553 |
60,858 | ||
Financial Services 2.5% | ||
Mastercard, Class A | 50,037 | 22,074 |
Visa, Class A | 84,410 | 22,155 |
44,229 | ||
Insurance 2.2% | ||
Arthur J Gallagher | 67,441 | 17,488 |
Marsh & McLennan | 101,066 | 21,297 |
38,785 | ||
Total Financials | 151,549 | |
HEALTH CARE 17.6% | ||
Biotechnology 2.4% | ||
AbbVie | 112,924 | 19,368 |
Argenx SE, ADR (1) | 14,996 | 6,449 |
Biogen (1) | 73,065 | 16,938 |
42,755 | ||
Health Care Equipment & Supplies 4.0% | ||
Abbott Laboratories | 135,891 | 14,120 |
Alcon | 31,780 | 2,831 |
Becton Dickinson | 157,765 | 36,871 |
GE HealthCare Technologies | 141,480 | 11,024 |
Shares | $ Value | |
(Cost and value in $000s) | ||
Stryker | 14,891 | 5,067 |
69,913 | ||
Health Care Providers & Services 4.2% | ||
Elevance Health | 20,224 | 10,959 |
Humana | 19,709 | 7,364 |
McKesson | 19,501 | 11,389 |
UnitedHealth Group | 88,863 | 45,255 |
74,967 | ||
Life Sciences Tools & Services 5.1% | ||
Avantor (1) | 178,792 | 3,790 |
Danaher | 145,314 | 36,307 |
Revvity | 323,091 | 33,879 |
Thermo Fisher Scientific | 27,904 | 15,431 |
89,407 | ||
Pharmaceuticals 1.9% | ||
Eli Lilly | 31,674 | 28,677 |
Zoetis | 28,701 | 4,976 |
33,653 | ||
Total Health Care | 310,695 | |
INDUSTRIALS & BUSINESS SERVICES 12.8% | ||
Aerospace & Defense 2.5% | ||
Boeing (1) | 31,216 | 5,682 |
Lockheed Martin | 12,368 | 5,777 |
Northrop Grumman | 20,225 | 8,817 |
RTX | 235,981 | 23,690 |
43,966 | ||
Building Products 0.1% | ||
Trane Technologies | 6,294 | 2,070 |
2,070 |
Shares | $ Value | |
(Cost and value in $000s) | ||
Commercial Services & Supplies 4.6% | ||
Republic Services | 91,580 | 17,798 |
Veralto | 298,202 | 28,469 |
Waste Connections | 200,400 | 35,142 |
81,409 | ||
Electrical Equipment 0.5% | ||
AMETEX | 54,324 | 9,056 |
9,056 | ||
Ground Transportation 0.5% | ||
CSX | 149,858 | 5,013 |
Old Dominion Freight Line | 24,678 | 4,358 |
9,371 | ||
Industrial Conglomerates 1.9% | ||
Roper Technologies | 58,245 | 32,830 |
32,830 | ||
Machinery 2.5% | ||
Fortive | 332,420 | 24,633 |
IDEX | 11,213 | 2,256 |
Ingersoll-Rand | 180,221 | 16,371 |
43,260 | ||
Professional Services 0.2% | ||
Broadridge Financial Solutions | 4,411 | 869 |
Equifax | 13,662 | 3,313 |
4,182 | ||
Total Industrials & Business Services | 226,144 | |
INFORMATION TECHNOLOGY 30.6% | ||
Electronic Equipment, Instruments & Components 1.0% | ||
Amphenol, Class A | 23,793 | 1,603 |
Shares | $ Value | |
(Cost and value in $000s) | ||
Teledyne Technologies (1) | 40,655 | 15,773 |
17,376 | ||
IT Services 0.5% | ||
Accenture, Class A | 30,950 | 9,391 |
9,391 | ||
Semiconductors & Semiconductor Equipment 9.3% | ||
Advanced Micro Devices (1) | 62,021 | 10,060 |
Broadcom | 16,093 | 25,838 |
KLA | 7,894 | 6,509 |
Lam Research | 3,753 | 3,996 |
NVIDIA | 925,732 | 114,365 |
NXP Semiconductors | 8,817 | 2,373 |
163,141 | ||
Software 14.6% | ||
ANSYS (1) | 15,646 | 5,030 |
Aurora Innovation (1) | 943,405 | 2,613 |
Autodesk (1) | 24,416 | 6,042 |
Cadence Design Systems (1) | 7,976 | 2,455 |
Intuit | 47,255 | 31,056 |
Microsoft | 330,827 | 147,863 |
PTC (1) | 150,293 | 27,304 |
Salesforce.com | 107,663 | 27,680 |
Tyler Technologies (1) | 12,782 | 6,427 |
256,470 | ||
Technology Hardware, Storage & Peripherals 5.2% | ||
Apple | 437,505 | 92,147 |
92,147 | ||
Total Information Technology | 538,525 |
Shares | $ Value | |
(Cost and value in $000s) | ||
MATERIALS 2.3% | ||
Chemicals 1.2% | ||
Linde | 48,479 | 21,273 |
21,273 | ||
Construction Materials 1.1% | ||
Martin Marietta Materials | 34,122 | 18,487 |
18,487 | ||
Total Materials | 39,760 | |
REAL ESTATE 1.4% | ||
Specialized REITs 1.4% | ||
American Tower, REIT | 65,018 | 12,638 |
SBA Communications, REIT | 61,054 | 11,985 |
Total Real Estate | 24,623 | |
UTILITIES 6.8% | ||
Electric Utilities 0.9% | ||
Exelon | 450,374 | 15,587 |
15,587 | ||
Multi-Utilities 5.3% | ||
Ameren | 274,141 | 19,494 |
CenterPoint Energy | 928,695 | 28,771 |
CMS Energy | 143,617 | 8,550 |
DTE Energy | 190,828 | 21,184 |
NiSource | 446,543 | 12,865 |
WEC Energy Group | 41,604 | 3,264 |
94,128 |
Shares | $ Value | |
(Cost and value in $000s) | ||
Water Utilities 0.6% | ||
Essential Utilities | 290,585 | 10,848 |
10,848 | ||
Total Utilities | 120,563 | |
Total Common Stocks (Cost $1,592,290) | 1,754,154 | |
SHORT-TERM INVESTMENTS 0.4% | ||
Money Market Funds 0.4% | ||
T. Rowe Price Government Reserve Fund, 5.38% (2)(3) | 6,937,758 | 6,938 |
Total Short-Term Investments (Cost $6,938) | 6,938 | |
Total Investments in Securities 100.0% of Net Assets (Cost $1,599,228) | $1,761,092 |
‡ | Shares are denominated in U.S. dollars unless otherwise noted. |
(1) | Non-income producing. |
(2) | Seven-day yield |
(3) | Affiliated Companies |
ADR | American Depositary Receipts |
REIT | A domestic Real Estate Investment Trust whose distributions pass-through with original tax character to the shareholder |
Affiliate | Net Realized Gain (Loss) | Changes in Net Unrealized Gain/Loss | Investment Income |
T. Rowe Price Government Reserve Fund | $— | $— | $109 |
Totals | $—# | $— | $109+ |
Supplementary Investment Schedule | ||||
Affiliate | Value 12/31/23 | Purchase Cost | Sales Cost | Value 6/30/24 |
T. Rowe Price Government Reserve Fund | $1,792 | ¤ | ¤ | $6,938 |
Total | $6,938^ |
# | Capital gain distributions from mutual funds represented $0 of the net realized gain (loss). |
+ | Investment income comprised $109 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 $6,938. |
Assets | |
Investments in securities, at value (cost $1,599,228) | $1,761,092 |
Receivable for shares sold | 7,850 |
Dividends receivable | 902 |
Total assets | 1,769,844 |
Liabilities | |
Payable for investment securities purchased | 7,809 |
Investment management and administrative fees payable | 425 |
Total liabilities | 8,234 |
NET ASSETS | $1,761,610 |
Net assets consists of: | |
Total distributable earnings (loss) | $186,961 |
Paid-in capital applicable to 56,100,000 shares of $0.0001 par value capital stock outstanding; 4,000,000,000 shares authorized | 1,574,649 |
NET ASSETS | $1,761,610 |
NET ASSET VALUE PER SHARE | $31.40 |
6 Months Ended | |
6/30/24 | |
Investment Income (Loss) | |
Income | |
Dividend (net of foreign taxes of $123) | $7,111 |
Interest | 1 |
Total income | 7,112 |
Investment management and administrative expense | 1,852 |
Net investment income | 5,260 |
Realized and Unrealized Gain / Loss | |
Net realized gain (loss) | |
Securities | (2,526) |
In-kind redemptions | 23,582 |
Foreign currency transactions | (2) |
Net realized gain | 21,054 |
Change in net unrealized gain / loss | |
Securities | 122,119 |
Other assets and liabilities denominated in foreign currencies | 2 |
Change in unrealized gain / loss | 122,121 |
Net realized and unrealized gain / loss | 143,175 |
INCREASE IN NET ASSETS FROM OPERATIONS | $148,435 |
6 Months Ended | 6/14/23 Through | ||
6/30/24 | 12/31/23 | ||
Increase (Decrease) in Net Assets | |||
Operations | |||
Net investment income | $5,260 | $1,520 | |
Net realized gain | 21,054 | 1,515 | |
Change in net unrealized gain / loss | 122,121 | 39,745 | |
Increase in net assets from operations | 148,435 | 42,780 | |
Distributions to shareholders | |||
Net earnings | — | (1,597) | |
Capital share transactions* | |||
Shares sold | 1,044,472 | 659,650 | |
Shares redeemed | (101,200) | (30,930) | |
Increase in net assets from capital share transactions | 943,272 | 628,720 | |
Net Assets | |||
Increase during period | 1,091,707 | 669,903 | |
Beginning of period | 669,903 | - | |
End of period | $1,761,610 | $669,903 | |
*Share information | |||
Shares sold | 35,150 | 25,500 | |
Shares redeemed | (3,350) | (1,200) | |
Increase in shares outstanding | 31,800 | 24,300 |
![](https://capedge.com/proxy/N-CSRS/0001193125-24-208459/g755417img3aba8d861.gif)
Item 8. Changes in and Disagreements with Accountants for Open-End Management Investment Companies.
Not applicable.
Item 9. Proxy Disclosures for Open-End Management Investment Companies.
Not applicable.
Item 10. Remuneration Paid to Directors, Officers, and Others of Open-End Management Investment Companies.
Remuneration paid to Directors is included in Item 7 of this Form N-CSR and/or the Statement of Additional Information.
Item 11. Statement Regarding Basis for Approval of Investment Advisory Contract.
If applicable, see Item 7.
Item 12. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.
Not applicable.
Item 13. Portfolio Managers of Closed-End Management Investment Companies.
Not applicable.
Item 14. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.
Not applicable.
Item 15. Submission of Matters to a Vote of Security Holders.
There has been no change to the procedures by which shareholders may recommend nominees to the registrant’s board of directors.
Item 16. Controls and Procedures.
(a) The registrant’s principal executive officer and principal financial officer have evaluated the registrant’s disclosure controls and procedures within 90 days of this filing and have concluded that the registrant’s disclosure controls and procedures were effective, as of that date, in ensuring that information required to be disclosed by the registrant in this Form N-CSR was recorded, processed, summarized, and reported timely.
(b) The registrant’s principal executive officer and principal financial officer are aware of no change in the registrant’s internal control over financial reporting that occurred during the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.
Item 17. Disclosure of Securities Lending Activities for Closed-End Management Investment Companies.
Not applicable.
Item 18. Recovery of Erroneously Awarded Compensation.
Not applicable.
Item 19. Exhibits.
(a)(1) | The registrant’s code of ethics pursuant to Item 2 of Form N-CSR is filed with the registrant’s annual Form N-CSR. | |
(2) | Listing standards relating to recovery of erroneously awarded compensation: Not applicable. | |
(3) | ||
(b) |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
T. Rowe Price Capital Appreciation Equity ETF | ||||
By | /s/ David Oestreicher | |||
David Oestreicher | ||||
Principal Executive Officer | ||||
Date | August 20, 2024 |
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
By | /s/ David Oestreicher | |||
David Oestreicher | ||||
Principal Executive Officer | ||||
Date | August 20, 2024 |
By | /s/ Alan S. Dupski | |||
Alan S. Dupski | ||||
Principal Financial Officer | ||||
Date | August 20, 2024 |