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: 811-03894
T. Rowe Price Short-Term Bond Fund, 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: May 31
Date of reporting period: November 30, 2024
Item 1. Reports to Shareholders
(a) Report pursuant to Rule 30e-1
Semi-Annual Shareholder Report
November 30, 2024
This semi-annual shareholder report contains important information about Short-Term Bond Fund (the "fund") for the period of June 1, 2024 to November 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 atwww.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 contacting your intermediary.
What were the fund costs for the last six months? (based on a hypothetical $10,000 investment)
| | Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
|---|
| Short-Term Bond Fund - Investor Class | $24 | 0.47% |
|---|
What are some fund statistics?
| Total Net Assets (000s) | $4,677,539 |
|---|
| Number of Portfolio Holdings | 901 |
|---|
| |
|---|
| Portfolio Turnover Rate | 55.1% |
|---|
What did the fund invest in?
Credit Quality Allocation*(as a % of Net Assets)
| AAA Rated | 17.0% |
| AA Rated | 9.5 |
| A Rated | 20.5 |
| BBB Rated | 24.7 |
| BB Rated and Below | 0.5 |
| Not Rated | 0.4 |
| U.S. Government Agency Securities | 5.5 |
| U.S. Treasury Securities | 20.7 |
| Reserves | 1.2 |
*Credit ratings for the securities held in the Fund are provided by Moody’s, Standard & Poor’s, and Fitch and are converted to the Standard & Poor’s nomenclature. A rating of AAA represents the highest-rated securities, and a rating of D represents the lowest rated securities. If the ratings agencies differ, the highest rating is applied to the security. If a rating is not available, the security is classified as Not Rated. The rating of the underlying investment vehicle is used to determine the creditworthiness of credit default swaps and sovereign securities. The Fund is not rated by any agency.
Top Ten Holdings (as a % of Net Assets)
| U.S. Treasury Notes | 20.7% |
| Federal National Mortgage Assn. | 2.7 |
| Federal Home Loan Mortgage | 1.8 |
| Santander Drive Auto Receivables Trust | 1.3 |
| Government National Mortgage Assn. | 1.0 |
| CarMax Auto Owner Trust | 0.8 |
| SBA Tower Trust | 0.8 |
| JPMorgan Chase | 0.8 |
| Verus Securitization Trust | 0.7 |
| Athene Global Funding | 0.6 |
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.
Visit www.troweprice.com/en/us/market-data-disclosures for additional legal notices & disclaimers.
Short-Term Bond Fund
Investor Class (PRWBX)
T. Rowe Price Investment Services, Inc.
100 East Pratt Street
Baltimore, MD 21202
Semi-Annual Shareholder Report
November 30, 2024
This semi-annual shareholder report contains important information about Short-Term Bond Fund (the "fund") for the period of June 1, 2024 to November 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 atwww.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 contacting your intermediary.
What were the fund costs for the last six months? (based on a hypothetical $10,000 investment)
| | Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
|---|
| Short-Term Bond Fund - Advisor Class | $40 | 0.78% |
|---|
What are some fund statistics?
| Total Net Assets (000s) | $4,677,539 |
|---|
| Number of Portfolio Holdings | 901 |
|---|
| |
|---|
| Portfolio Turnover Rate | 55.1% |
|---|
What did the fund invest in?
Credit Quality Allocation*(as a % of Net Assets)
| AAA Rated | 17.0% |
| AA Rated | 9.5 |
| A Rated | 20.5 |
| BBB Rated | 24.7 |
| BB Rated and Below | 0.5 |
| Not Rated | 0.4 |
| U.S. Government Agency Securities | 5.5 |
| U.S. Treasury Securities | 20.7 |
| Reserves | 1.2 |
*Credit ratings for the securities held in the Fund are provided by Moody’s, Standard & Poor’s, and Fitch and are converted to the Standard & Poor’s nomenclature. A rating of AAA represents the highest-rated securities, and a rating of D represents the lowest rated securities. If the ratings agencies differ, the highest rating is applied to the security. If a rating is not available, the security is classified as Not Rated. The rating of the underlying investment vehicle is used to determine the creditworthiness of credit default swaps and sovereign securities. The Fund is not rated by any agency.
Top Ten Holdings (as a % of Net Assets)
| U.S. Treasury Notes | 20.7% |
| Federal National Mortgage Assn. | 2.7 |
| Federal Home Loan Mortgage | 1.8 |
| Santander Drive Auto Receivables Trust | 1.3 |
| Government National Mortgage Assn. | 1.0 |
| CarMax Auto Owner Trust | 0.8 |
| SBA Tower Trust | 0.8 |
| JPMorgan Chase | 0.8 |
| Verus Securitization Trust | 0.7 |
| Athene Global Funding | 0.6 |
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.
Visit www.troweprice.com/en/us/market-data-disclosures for additional legal notices & disclaimers.
Short-Term Bond Fund
Advisor Class (PASHX)
T. Rowe Price Investment Services, Inc.
100 East Pratt Street
Baltimore, MD 21202
Semi-Annual Shareholder Report
November 30, 2024
This semi-annual shareholder report contains important information about Short-Term Bond Fund (the "fund") for the period of June 1, 2024 to November 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 atwww.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 contacting your intermediary.
What were the fund costs for the last six months? (based on a hypothetical $10,000 investment)
| | Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
|---|
| Short-Term Bond Fund - I Class | $17 | 0.33% |
|---|
What are some fund statistics?
| Total Net Assets (000s) | $4,677,539 |
|---|
| Number of Portfolio Holdings | 901 |
|---|
| |
|---|
| Portfolio Turnover Rate | 55.1% |
|---|
What did the fund invest in?
Credit Quality Allocation*(as a % of Net Assets)
| AAA Rated | 17.0% |
| AA Rated | 9.5 |
| A Rated | 20.5 |
| BBB Rated | 24.7 |
| BB Rated and Below | 0.5 |
| Not Rated | 0.4 |
| U.S. Government Agency Securities | 5.5 |
| U.S. Treasury Securities | 20.7 |
| Reserves | 1.2 |
*Credit ratings for the securities held in the Fund are provided by Moody’s, Standard & Poor’s, and Fitch and are converted to the Standard & Poor’s nomenclature. A rating of AAA represents the highest-rated securities, and a rating of D represents the lowest rated securities. If the ratings agencies differ, the highest rating is applied to the security. If a rating is not available, the security is classified as Not Rated. The rating of the underlying investment vehicle is used to determine the creditworthiness of credit default swaps and sovereign securities. The Fund is not rated by any agency.
Top Ten Holdings (as a % of Net Assets)
| U.S. Treasury Notes | 20.7% |
| Federal National Mortgage Assn. | 2.7 |
| Federal Home Loan Mortgage | 1.8 |
| Santander Drive Auto Receivables Trust | 1.3 |
| Government National Mortgage Assn. | 1.0 |
| CarMax Auto Owner Trust | 0.8 |
| SBA Tower Trust | 0.8 |
| JPMorgan Chase | 0.8 |
| Verus Securitization Trust | 0.7 |
| Athene Global Funding | 0.6 |
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.
Visit www.troweprice.com/en/us/market-data-disclosures for additional legal notices & disclaimers.
Short-Term Bond Fund
I Class (TBSIX)
T. Rowe Price Investment Services, Inc.
100 East Pratt Street
Baltimore, MD 21202
Semi-Annual Shareholder Report
November 30, 2024
This semi-annual shareholder report contains important information about Short-Term Bond Fund (the "fund") for the period of June 1, 2024 to November 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 atwww.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 contacting your intermediary.
What were the fund costs for the last six months? (based on a hypothetical $10,000 investment)
| | Costs of a $10,000 investment | Costs paid as a percentage of a $10,000 investment |
|---|
| Short-Term Bond Fund - Z Class | $0 | 0.00% |
|---|
What are some fund statistics?
| Total Net Assets (000s) | $4,677,539 |
|---|
| Number of Portfolio Holdings | 901 |
|---|
| |
|---|
| Portfolio Turnover Rate | 55.1% |
|---|
What did the fund invest in?
Credit Quality Allocation*(as a % of Net Assets)
| AAA Rated | 17.0% |
| AA Rated | 9.5 |
| A Rated | 20.5 |
| BBB Rated | 24.7 |
| BB Rated and Below | 0.5 |
| Not Rated | 0.4 |
| U.S. Government Agency Securities | 5.5 |
| U.S. Treasury Securities | 20.7 |
| Reserves | 1.2 |
*Credit ratings for the securities held in the Fund are provided by Moody’s, Standard & Poor’s, and Fitch and are converted to the Standard & Poor’s nomenclature. A rating of AAA represents the highest-rated securities, and a rating of D represents the lowest rated securities. If the ratings agencies differ, the highest rating is applied to the security. If a rating is not available, the security is classified as Not Rated. The rating of the underlying investment vehicle is used to determine the creditworthiness of credit default swaps and sovereign securities. The Fund is not rated by any agency.
Top Ten Holdings (as a % of Net Assets)
| U.S. Treasury Notes | 20.7% |
| Federal National Mortgage Assn. | 2.7 |
| Federal Home Loan Mortgage | 1.8 |
| Santander Drive Auto Receivables Trust | 1.3 |
| Government National Mortgage Assn. | 1.0 |
| CarMax Auto Owner Trust | 0.8 |
| SBA Tower Trust | 0.8 |
| JPMorgan Chase | 0.8 |
| Verus Securitization Trust | 0.7 |
| Athene Global Funding | 0.6 |
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.
Visit www.troweprice.com/en/us/market-data-disclosures for additional legal notices & disclaimers.
Short-Term Bond Fund
Z Class (TRZOX)
T. Rowe Price Investment Services, Inc.
100 East Pratt Street
Baltimore, MD 21202
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.
Financial
Statements
and
Other
Information
For
more
insights
from
T.
Rowe
Price
investment
professionals,
go
to
troweprice.com
.
T.
ROWE
PRICE
PRWBX
Short-Term
Bond
Fund
PASHX
Short-Term
Bond
Fund–
.
Advisor Class
TBSIX
Short-Term
Bond
Fund–
.
I Class
TRZOX
Short-Term
Bond
Fund–
.
Z Class
T.
ROWE
PRICE
Short-Term
Bond
Fund
(Unaudited)
For
a
share
outstanding
throughout
each
period
Investor
Class
6
Months
.
Ended
11/30/24
..
Year
..
..
Ended
.
5/31/24
5/31/23
5/31/22
5/31/21
5/31/20
NET
ASSET
VALUE
Beginning
of
period
$
4.54
$
4.50
$
4.61
$
4.84
$
4.76
$
4.71
Investment
activities
Net
investment
income
(1)(2)
0.10
0.16
0.11
0.06
0.08
0.11
Net
realized
and
unrealized
gain/
loss
0.05
0.04
(0.11)
(0.23)
0.08
0.05
Total
from
investment
activities
0.15
0.20
—
(0.17)
0.16
0.16
Distributions
Net
investment
income
(0.09)
(0.16)
(0.11)
(0.06)
(0.06)
(0.11)
Tax
return
of
capital
—
—
—
—
(0.02)
—
Total
distributions
(0.09)
(0.16)
(0.11)
(0.06)
(0.08)
(0.11)
NET
ASSET
VALUE
End
of
period
$
4.60
$
4.54
$
4.50
$
4.61
$
4.84
$
4.76
T.
ROWE
PRICE
Short-Term
Bond
Fund
(Unaudited)
For
a
share
outstanding
throughout
each
period
The
accompanying
notes
are
an
integral
part
of
these
financial
statements.
Investor
Class
6
Months
.
Ended
11/30/24
..
Year
..
..
Ended
.
5/31/24
5/31/23
5/31/22
5/31/21
5/31/20
Ratios/Supplemental
Data
Total
return
(2)(3)
3.43%
4.63%
0.11%
(3.61)%
3.28%
3.45%
Ratios
to
average
net
assets:
(2)
Gross
expenses
before
waivers/
payments
by
Price
Associates
0.47%
(4)
0.47%
0.46%
0.44%
0.44%
0.44%
Net
expenses
after
waivers/payments
by
Price
Associates
0.47%
(4)
0.47%
0.46%
0.44%
0.44%
0.44%
Net
investment
income
4.14%
(4)
3.62%
2.51%
1.16%
1.56%
2.35%
Portfolio
turnover
rate
55.1%
92.3%
50.6%
70.1%
49.4%
70.2%
Net
assets,
end
of
period
(in
millions)
$1,312
$1,329
$1,524
$1,856
$3,588
$4,298
0%
0%
0%
0%
0%
0%
(1)
Per
share
amounts
calculated
using
average
shares
outstanding
method.
(2)
Includes
the
impact
of
expense-related
arrangements
with
Price
Associates.
(3)
Total
return
reflects
the
rate
that
an
investor
would
have
earned
on
an
investment
in
the
fund
during
each
period,
assuming
reinvestment
of
all
distributions,
and
payment
of
no
redemption
or
account
fees,
if
applicable.
Total
return
is
not
annualized
for
periods
less
than
one
year.
(4)
Annualized
T.
ROWE
PRICE
Short-Term
Bond
Fund
(Unaudited)
For
a
share
outstanding
throughout
each
period
Advisor
Class
6
Months
.
Ended
11/30/24
..
Year
..
..
Ended
.
5/31/24
5/31/23
5/31/22
5/31/21
5/31/20
NET
ASSET
VALUE
Beginning
of
period
$
4.55
$
4.51
$
4.62
$
4.85
$
4.77
$
4.71
Investment
activities
Net
investment
income
(1)(2)
0.09
0.15
0.10
0.04
0.06
0.10
Net
realized
and
unrealized
gain/
loss
0.06
0.04
(0.11)
(0.23)
0.08
0.06
Total
from
investment
activities
0.15
0.19
(0.01)
(3)
(0.19)
0.14
0.16
Distributions
Net
investment
income
(0.09)
(0.15)
(0.10)
(0.04)
(0.04)
(0.10)
Tax
return
of
capital
—
—
—
—
(0.02)
—
Total
distributions
(0.09)
(0.15)
(0.10)
(0.04)
(0.06)
(0.10)
NET
ASSET
VALUE
End
of
period
$
4.61
$
4.55
$
4.51
$
4.62
$
4.85
$
4.77
T.
ROWE
PRICE
Short-Term
Bond
Fund
(Unaudited)
For
a
share
outstanding
throughout
each
period
The
accompanying
notes
are
an
integral
part
of
these
financial
statements.
Advisor
Class
6
Months
.
Ended
11/30/24
..
Year
..
..
Ended
.
5/31/24
5/31/23
5/31/22
5/31/21
5/31/20
Ratios/Supplemental
Data
Total
return
(2)(4)
3.26%
4.30%
(0.11)%
(3.89)%
2.95%
3.38%
Ratios
to
average
net
assets:
(2)
Gross
expenses
before
waivers/
payments
by
Price
Associates
0.78%
(5)
0.78%
0.70%
0.74%
0.76%
0.73%
Net
expenses
after
waivers/payments
by
Price
Associates
0.78%
(5)
0.78%
0.70%
0.74%
0.76%
0.73%
Net
investment
income
3.83%
(5)
3.31%
2.26%
0.87%
1.24%
2.06%
Portfolio
turnover
rate
55.1%
92.3%
50.6%
70.1%
49.4%
70.2%
Net
assets,
end
of
period
(in
thousands)
$6,860
$6,947
$8,050
$9,706
$22,646
$27,362
0%
0%
0%
0%
0%
0%
(1)
Per
share
amounts
calculated
using
average
shares
outstanding
method.
(2)
Includes
the
impact
of
expense-related
arrangements
with
Price
Associates.
(3)
The
amount
presented
is
inconsistent
with
the
fund's
results
of
operations
because
of
the
timing
of
redemptions
of
fund
shares
in
relation
to
fluctuating
market
values
for
the
investment
portfolio.
(4)
Total
return
reflects
the
rate
that
an
investor
would
have
earned
on
an
investment
in
the
fund
during
each
period,
assuming
reinvestment
of
all
distributions,
and
payment
of
no
redemption
or
account
fees,
if
applicable.
Total
return
is
not
annualized
for
periods
less
than
one
year.
(5)
Annualized
T.
ROWE
PRICE
Short-Term
Bond
Fund
(Unaudited)
For
a
share
outstanding
throughout
each
period
I
Class
6
Months
.
Ended
11/30/24
..
Year
..
..
Ended
.
5/31/24
5/31/23
5/31/22
5/31/21
5/31/20
NET
ASSET
VALUE
Beginning
of
period
$
4.55
$
4.51
$
4.61
$
4.84
$
4.77
$
4.72
Investment
activities
Net
investment
income
(1)(2)
0.10
0.17
0.12
0.06
0.08
0.12
Net
realized
and
unrealized
gain/
loss
0.06
0.04
(0.10)
(0.23)
0.07
0.05
Total
from
investment
activities
0.16
0.21
0.02
(0.17)
0.15
0.17
Distributions
Net
investment
income
(0.10)
(0.17)
(0.12)
(0.06)
(0.06)
(0.12)
Tax
return
of
capital
—
—
—
—
(0.02)
—
Total
distributions
(0.10)
(0.17)
(0.12)
(0.06)
(0.08)
(0.12)
NET
ASSET
VALUE
End
of
period
$
4.61
$
4.55
$
4.51
$
4.61
$
4.84
$
4.77
T.
ROWE
PRICE
Short-Term
Bond
Fund
(Unaudited)
For
a
share
outstanding
throughout
each
period
The
accompanying
notes
are
an
integral
part
of
these
financial
statements.
I
Class
6
Months
.
Ended
11/30/24
..
Year
..
..
Ended
.
5/31/24
5/31/23
5/31/22
5/31/21
5/31/20
Ratios/Supplemental
Data
Total
return
(2)(3)
3.49%
4.76%
0.47%
(3.51)%
3.15%
3.55%
Ratios
to
average
net
assets:
(2)
Gross
expenses
before
waivers/
payments
by
Price
Associates
0.33%
(4)
0.34%
0.33%
0.34%
0.36%
0.35%
Net
expenses
after
waivers/payments
by
Price
Associates
0.33%
(4)
0.34%
0.33%
0.34%
0.36%
0.35%
Net
investment
income
4.28%
(4)
3.77%
2.66%
1.31%
1.56%
2.43%
Portfolio
turnover
rate
55.1%
92.3%
50.6%
70.1%
49.4%
70.2%
Net
assets,
end
of
period
(in
millions)
$3,045
$3,041
$2,971
$3,183
$2,228
$933
0%
0%
0%
0%
0%
0%
(1)
Per
share
amounts
calculated
using
average
shares
outstanding
method.
(2)
Includes
the
impact
of
expense-related
arrangements
with
Price
Associates.
(3)
Total
return
reflects
the
rate
that
an
investor
would
have
earned
on
an
investment
in
the
fund
during
each
period,
assuming
reinvestment
of
all
distributions,
and
payment
of
no
redemption
or
account
fees,
if
applicable.
Total
return
is
not
annualized
for
periods
less
than
one
year.
(4)
Annualized
T.
ROWE
PRICE
Short-Term
Bond
Fund
(Unaudited)
For
a
share
outstanding
throughout
each
period
Z
Class
(1)
6
Months
.
Ended
11/30/24
..
Year
..
..
Ended
.
2/22/21
(1)
Through
5/31/21
5/31/24
5/31/23
5/31/22
NET
ASSET
VALUE
Beginning
of
period
$
4.54
$
4.50
$
4.61
$
4.84
$
4.85
Investment
activities
Net
investment
income
(2)(3)
0.11
0.19
0.13
0.08
0.02
Net
realized
and
unrealized
gain/loss
0.06
0.04
(0.11)
(0.23)
(0.01)
(4)
Total
from
investment
activities
0.17
0.23
0.02
(0.15)
0.01
Distributions
Net
investment
income
(0.11)
(0.19)
(0.13)
(0.08)
—
(5)
Tax
return
of
capital
—
—
—
—
(0.02)
Total
distributions
(0.11)
(0.19)
(0.13)
(0.08)
(0.02)
NET
ASSET
VALUE
End
of
period
$
4.60
$
4.54
$
4.50
$
4.61
$
4.84
T.
ROWE
PRICE
Short-Term
Bond
Fund
(Unaudited)
For
a
share
outstanding
throughout
each
period
The
accompanying
notes
are
an
integral
part
of
these
financial
statements.
Z
Class
(1)
6
Months
.
Ended
11/30/24
..
Year
..
..
Ended
.
2/22/21
(1)
Through
5/31/21
5/31/24
5/31/23
5/31/22
Ratios/Supplemental
Data
Total
return
(3)(6)
3.67%
5.12%
0.58%
(3.18)%
0.26%
Ratios
to
average
net
assets:
(3)
Gross
expenses
before
waivers/payments
by
Price
Associates
0.30%
(7)
0.31%
0.31%
0.32%
0.34%
(7)
Net
expenses
after
waivers/
payments
by
Price
Associates
0.00%
(7)
0.00%
0.00%
0.00%
0.00%
(7)
Net
investment
income
4.61%
(7)
4.19%
2.95%
1.62%
1.69%
(7)
Portfolio
turnover
rate
55.1%
92.3%
50.6%
70.1%
49.4%
Net
assets,
end
of
period
(in
thousands)
$313,752
$310,323
$150,111
$201,043
$244,089
0%
0%
0%
0%
0%
(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)
The
amount
presented
is
inconsistent
with
the
fund's
aggregate
gains
and
losses
because
of
the
timing
of
sales
and
redemptions
of
fund
shares
in
relation
to
fluctuating
market
values
for
the
investment
portfolio.
(5)
Amounts
round
to
less
than
$0.01
per
share.
(6)
Total
return
reflects
the
rate
that
an
investor
would
have
earned
on
an
investment
in
the
fund
during
each
period,
assuming
reinvestment
of
all
distributions,
and
payment
of
no
redemption
or
account
fees,
if
applicable.
Total
return
is
not
annualized
for
periods
less
than
one
year.
(7)
Annualized
T.
ROWE
PRICE
Short-Term
Bond
Fund
November
30,
2024
(Unaudited)
Par/Shares
$
Value
(Amounts
in
000s)
‡
ASSET-BACKED
SECURITIES
19.7%
Car
Loan
6.7%
Ally
Auto
Receivables
Trust
Series
2023-A,
Class
B
6.01%,
1/17/34 (1)
970
974
Ally
Auto
Receivables
Trust
Series
2023-A,
Class
C
6.08%,
1/17/34 (1)
1,947
1,975
Ally
Bank
Auto
Credit-Linked
Notes
Series
2024-A,
Class
B
5.827%,
5/17/32 (1)
203
205
Ally
Bank
Auto
Credit-Linked
Notes
Series
2024-A,
Class
C
6.022%,
5/17/32 (1)
223
226
Ally
Bank
Auto
Credit-Linked
Notes
Series
2024-B,
Class
A2
4.97%,
9/15/32 (1)
1,550
1,551
Ally
Bank
Auto
Credit-Linked
Notes
Series
2024-B,
Class
C
5.215%,
9/15/32 (1)
1,700
1,701
AmeriCredit
Automobile
Receivables
Trust
Series
2021-1,
Class
C
0.89%,
10/19/26
3,636
3,598
AmeriCredit
Automobile
Receivables
Trust
Series
2021-1,
Class
D
1.21%,
12/18/26
3,945
3,862
AmeriCredit
Automobile
Receivables
Trust
Series
2021-2,
Class
D
1.29%,
6/18/27
8,770
8,427
ARI
Fleet
Lease
Trust
Series
2024-B,
Class
A2
5.54%,
4/15/33 (1)
5,600
5,642
Avis
Budget
Rental
Car
Funding
AESOP
Series
2020-1A,
Class
A
2.33%,
8/20/26 (1)
3,950
3,900
Avis
Budget
Rental
Car
Funding
AESOP
Series
2022-5A,
Class
C
6.24%,
4/20/27 (1)
2,065
2,071
Avis
Budget
Rental
Car
Funding
AESOP
Series
2023-2A,
Class
C
6.18%,
10/20/27 (1)
1,455
1,458
Bayview
Opportunity
Master
Fund
VII
Series
2024-CAR1,
Class
A,
FRN
SOFR30A
+
1.10%,
5.834%,
12/26/31 (1)
2,356
2,360
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
CarMax
Auto
Owner
Trust
Series
2020-4,
Class
D
1.75%,
4/15/27
4,290
4,284
CarMax
Auto
Owner
Trust
Series
2023-3,
Class
B
5.47%,
2/15/29
1,595
1,615
CarMax
Auto
Owner
Trust
Series
2023-3,
Class
C
5.61%,
2/15/29
5,070
5,134
CarMax
Auto
Owner
Trust
Series
2023-3,
Class
D
6.44%,
12/16/30
2,515
2,571
CarMax
Auto
Owner
Trust
Series
2023-4,
Class
B
6.39%,
5/15/29
8,020
8,327
CarMax
Auto
Owner
Trust
Series
2023-4,
Class
C
6.58%,
5/15/29
8,020
8,315
CarMax
Auto
Owner
Trust
Series
2024-1,
Class
A4
4.94%,
8/15/29
1,845
1,863
CarMax
Auto
Owner
Trust
Series
2024-1,
Class
C
5.47%,
8/15/29
3,605
3,641
CarMax
Auto
Owner
Trust
Series
2024-2,
Class
D
6.42%,
10/15/30
400
412
CarMax
Auto
Owner
Trust
Series
2024-3,
Class
A4
4.85%,
1/15/30
1,200
1,208
CarMax
Auto
Owner
Trust
Series
2024-3,
Class
D
5.67%,
1/15/31
1,525
1,536
CarMax
Select
Receivables
Trust
Series
2024-A,
Class
B
5.35%,
1/15/30
1,640
1,661
CarMax
Select
Receivables
Trust
Series
2024-A,
Class
C
5.62%,
1/15/30
6,990
7,127
Carvana
Auto
Receivables
Trust
Series
2022-N1,
Class
C
3.32%,
12/11/28 (1)
256
251
Carvana
Auto
Receivables
Trust
Series
2022-P1,
Class
A4
3.52%,
2/10/28
12,850
12,608
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
Carvana
Auto
Receivables
Trust
Series
2024-N2,
Class
B
5.67%,
9/10/30 (1)
4,955
5,022
Enterprise
Fleet
Financing
Series
2023-2,
Class
A2
5.56%,
4/22/30 (1)
8,166
8,227
Enterprise
Fleet
Financing
Series
2024-3,
Class
A3
4.98%,
8/21/28 (1)
1,810
1,825
Enterprise
Fleet
Financing
Series
2024-3,
Class
A4
5.06%,
3/20/31 (1)
1,235
1,248
Enterprise
Fleet
Financing
Series
2024-4,
Class
A4
4.70%,
6/20/31 (1)
4,890
4,888
Exeter
Automobile
Receivables
Trust
Series
2022-4A,
Class
D
5.98%,
12/15/28
4,100
4,144
Exeter
Automobile
Receivables
Trust
Series
2022-5A,
Class
C
6.51%,
12/15/27
12,400
12,473
Exeter
Automobile
Receivables
Trust
Series
2023-1A,
Class
D
6.69%,
6/15/29
485
493
Exeter
Automobile
Receivables
Trust
Series
2024-4A,
Class
C
5.48%,
8/15/30
5,130
5,171
Ford
Credit
Auto
Lease
Trust
Series
2023-B,
Class
B
6.20%,
2/15/27
1,290
1,309
Ford
Credit
Auto
Lease
Trust
Series
2023-B,
Class
C
6.43%,
4/15/27
2,440
2,486
Ford
Credit
Auto
Owner
Trust
Series
2020-1,
Class
B
2.29%,
8/15/31 (1)
5,140
5,111
Ford
Credit
Auto
Owner
Trust
Series
2020-2,
Class
C
1.74%,
4/15/33 (1)
4,600
4,455
Ford
Credit
Auto
Owner
Trust
Series
2023-A,
Class
B
5.07%,
1/15/29
2,655
2,677
Ford
Credit
Floorplan
Master
Owner
Trust
Series
2023-1,
Class
C
5.75%,
5/15/28 (1)
2,985
3,005
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
Ford
Credit
Floorplan
Master
Owner
Trust
Series
2023-1,
Class
D
6.62%,
5/15/28 (1)
5,293
5,356
Ford
Credit
Floorplan
Master
Owner
Trust
Series
2024-1,
Class
B
5.48%,
4/15/29 (1)
3,375
3,418
GM
Financial
Automobile
Leasing
Trust
Series
2022-3,
Class
C
5.13%,
8/20/26
10,120
10,116
GM
Financial
Automobile
Leasing
Trust
Series
2023-1,
Class
C
5.76%,
1/20/27
2,405
2,416
GM
Financial
Automobile
Leasing
Trust
Series
2024-2,
Class
B
5.56%,
5/22/28
7,165
7,250
Huntington
Bank
Auto
Credit-Linked
Notes
Series
2024-1,
Class
B1
6.153%,
5/20/32 (1)
6,478
6,546
Huntington
Bank
Auto
Credit-Linked
Notes
Series
2024-2,
Class
B1
5.442%,
10/20/32 (1)
7,405
7,409
Navistar
Financial
Dealer
Note
Master
Owner
Trust
Series
2024-1,
Class
A
5.59%,
4/25/29 (1)
1,100
1,112
Navistar
Financial
Dealer
Note
Master
Owner
Trust
Series
2024-1,
Class
B
5.79%,
4/25/29 (1)
625
631
Navistar
Financial
Dealer
Note
Master
Owner
Trust
Series
2024-1,
Class
C
6.13%,
4/25/29 (1)
980
989
Navistar
Financial
Dealer
Note
Master
Owner
Trust
II
Series
2023-1,
Class
A
6.18%,
8/25/28 (1)
3,325
3,358
Santander
Bank
Series
2021-1A,
Class
B
1.833%,
12/15/31 (1)
32
32
Santander
Bank
Auto
Credit-Linked
Notes
Series
2022-B,
Class
A2
5.587%,
8/16/32 (1)
1,251
1,259
Santander
Bank
Auto
Credit-Linked
Notes
Series
2022-B,
Class
C
5.916%,
8/16/32 (1)
142
142
Santander
Bank
Auto
Credit-Linked
Notes
Series
2022-C,
Class
A2
6.024%,
12/15/32 (1)
1,005
1,019
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
Santander
Bank
Auto
Credit-Linked
Notes
Series
2022-C,
Class
B
6.451%,
12/15/32 (1)
625
628
Santander
Bank
Auto
Credit-Linked
Notes
Series
2023-B,
Class
A2
5.644%,
12/15/33 (1)
1,023
1,033
Santander
Bank
Auto
Credit-Linked
Notes
Series
2023-B,
Class
C
5.933%,
12/15/33 (1)
2,282
2,301
Santander
Bank
Auto
Credit-Linked
Notes
Series
2023-B,
Class
D
6.663%,
12/15/33 (1)
3,692
3,732
Santander
Bank
Auto
Credit-Linked
Notes
Series
2024-A,
Class
B
5.622%,
6/15/32 (1)
2,130
2,146
Santander
Bank
Auto
Credit-Linked
Notes
Series
2024-A,
Class
C
5.818%,
6/15/32 (1)
2,575
2,590
Santander
Consumer
Auto
Receivables
Trust
Series
2021-BA,
Class
C
3.09%,
3/15/29 (1)
2,168
2,132
Santander
Drive
Auto
Receivables
Trust
Series
2020-4,
Class
E
2.85%,
4/17/28 (1)
11,230
11,076
Santander
Drive
Auto
Receivables
Trust
Series
2021-1,
Class
E
2.51%,
12/15/28
14,955
14,576
Santander
Drive
Auto
Receivables
Trust
Series
2021-3,
Class
E
2.70%,
10/16/28 (1)
15,050
14,425
Santander
Drive
Auto
Receivables
Trust
Series
2021-4,
Class
D
1.67%,
10/15/27
9,308
9,139
Santander
Drive
Auto
Receivables
Trust
Series
2021-4,
Class
E
4.03%,
3/15/29 (1)
9,700
9,567
SBNA
Auto
Lease
Trust
Series
2024-A,
Class
A3
5.39%,
11/20/26 (1)
1,795
1,805
SBNA
Auto
Lease
Trust
Series
2024-A,
Class
A4
5.24%,
1/22/29 (1)
1,715
1,724
SBNA
Auto
Lease
Trust
Series
2024-B,
Class
A4
5.55%,
12/20/28 (1)
6,630
6,733
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
SFS
Auto
Receivables
Securitization
Trust
Series
2024-1A,
Class
A3
4.95%,
5/21/29 (1)
2,000
2,009
SFS
Auto
Receivables
Securitization
Trust
Series
2024-1A,
Class
C
5.51%,
1/20/32 (1)
655
662
SFS
Auto
Receivables
Securitization
Trust
Series
2024-2A,
Class
A4
5.26%,
8/20/30 (1)
1,820
1,854
U.S.
Bank
Series
2023-1,
Class
B
6.789%,
8/25/32 (1)
1,025
1,039
Wheels
Fleet
Lease
Funding
1
Series
2024-1A,
Class
A1
5.49%,
2/18/39 (1)
7,930
8,013
World
Omni
Auto
Receivables
Trust
Series
2022-A,
Class
C
2.55%,
9/15/28
4,240
4,109
313,383
Other
Asset-Backed
Securities
11.7%
AMSR
Trust
Series
2020-SFR4,
Class
A
1.355%,
11/17/37 (1)
147
143
Amur
Equipment
Finance
Receivables
X
Series
2022-1A,
Class
E
5.02%,
12/20/28 (1)
4,900
4,877
Amur
Equipment
Finance
Receivables
XIII
Series
2024-1A,
Class
A2
5.38%,
1/21/31 (1)
1,919
1,934
Amur
Equipment
Finance
Receivables
XIII
Series
2024-1A,
Class
C
5.55%,
1/21/31 (1)
1,515
1,537
Apidos
XVIII
Series
2018-18A,
Class
AR,
CLO,
FRN
3M
TSFR
+
1.15%,
5.782%,
10/22/30 (1)
6,649
6,659
Apidos
Xxv
Series
2016-25A,
Class
A1R2,
CLO,
FRN
3M
TSFR
+
1.15%,
5.767%,
10/20/31 (1)
8,363
8,373
Arbys
Funding
Series
2020-1A,
Class
A2
3.237%,
7/30/50 (1)
12,144
11,504
Auxilior
Term
Funding
Series
2023-1A,
Class
A2
6.18%,
12/15/28 (1)
5,471
5,531
Auxilior
Term
Funding
Series
2024-1A,
Class
A3
5.49%,
7/15/31 (1)
2,955
2,995
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
Ballyrock
Series
2021-1A,
Class
A1,
CLO,
FRN
3M
TSFR
+
1.322%,
5.978%,
4/15/34 (1)
2,280
2,284
Barings
Series
2018-4A,
Class
BR,
CLO,
FRN
3M
TSFR
+
1.80%,
6.456%,
10/15/30 (1)
9,285
9,302
Blue
Owl
Asset
Leasing
Trust
Series
2024-1A,
Class
A2
5.05%,
3/15/29 (1)
5,830
5,834
Blue
Owl
Asset
Leasing
Trust
Series
2024-1A,
Class
B
5.41%,
3/15/30 (1)
1,330
1,332
BlueMountain
Series
2016-3A,
Class
A1R2,
CLO,
FRN
3M
TSFR
+
1.20%,
5.723%,
11/15/30 (1)
9,137
9,149
BRE
Grand
Islander
Timeshare
Issuer
Series
2019-A,
Class
A
3.28%,
9/26/33 (1)
1,988
1,945
Clarus
Capital
Funding
Series
2024-1A,
Class
A2
4.71%,
8/20/32 (1)
630
627
Clarus
Capital
Funding
Series
2024-1A,
Class
B
4.79%,
8/20/32 (1)
990
977
CNH
Equipment
Trust
Series
2024-B,
Class
A3
5.19%,
9/17/29
2,980
3,027
CNH
Equipment
Trust
Series
2024-B,
Class
A4
5.23%,
11/17/31
2,630
2,680
Crossroads
Asset
Trust
Series
2024-A,
Class
A2
5.90%,
8/20/30 (1)
2,515
2,545
CyrusOne
Data
Centers
Issuer
I
Series
2024-2A,
Class
A2
4.50%,
5/20/49 (1)
9,325
8,966
Dell
Equipment
Finance
Trust
Series
2023-3,
Class
D
6.75%,
10/22/29 (1)
820
837
Dell
Equipment
Finance
Trust
Series
2024-1,
Class
D
6.12%,
9/23/30 (1)
1,185
1,205
Dell
Equipment
Finance
Trust
Series
2024-2,
Class
B
4.82%,
8/22/30 (1)
635
634
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
Dell
Equipment
Finance
Trust
Series
2024-2,
Class
D
5.29%,
2/24/31 (1)
1,470
1,472
DLLAA
Series
2023-1A,
Class
A3
5.64%,
2/22/28 (1)
4,710
4,782
DLLST
Series
2024-1A,
Class
A3
5.05%,
8/20/27 (1)
1,720
1,726
DLLST
Series
2024-1A,
Class
A4
4.93%,
4/22/30 (1)
465
466
Driven
Brands
Funding
Series
2019-1A,
Class
A2
4.641%,
4/20/49 (1)
4,304
4,246
Driven
Brands
Funding
Series
2019-2A,
Class
A2
3.981%,
10/20/49 (1)
2,902
2,818
Dryden
Series
2020-86A,
Class
A1R,
CLO,
FRN
3M
TSFR
+
1.362%,
6.009%,
7/17/34 (1)
9,145
9,147
Elara
HGV
Timeshare
Issuer
Series
2019-A,
Class
A
2.61%,
1/25/34 (1)
1,324
1,288
Elara
HGV
Timeshare
Issuer
Series
2023-A,
Class
A
6.16%,
2/25/38 (1)
1,551
1,581
Elara
HGV
Timeshare
Issuer
Series
2023-A,
Class
C
7.30%,
2/25/38 (1)
2,106
2,151
FirstKey
Homes
Trust
Series
2020-SFR1,
Class
C
1.941%,
8/17/37 (1)
6,850
6,664
FirstKey
Homes
Trust
Series
2020-SFR2,
Class
D
1.968%,
10/19/37 (1)
7,535
7,289
Fortress
Credit
Bsl
VII
Series
2019-1A,
Class
A1R,
CLO,
FRN
3M
TSFR
+
1.09%,
5.649%,
7/23/32 (1)
3,470
3,466
Fortress
Credit
Bsl
VII
Series
2019-1A,
Class
A2R,
CLO,
FRN
3M
TSFR
+
1.40%,
5.959%,
7/23/32 (1)
5,430
5,423
Fortress
Credit
Bsl
VII
Series
2019-1A,
Class
BR,
CLO,
FRN
3M
TSFR
+
1.65%,
6.209%,
7/23/32 (1)
6,935
6,922
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
Fortress
Credit
BSL
XV
Series
2022-2A,
Class
AR,
CLO,
FRN
3M
TSFR
+
1.40%,
6.032%,
10/18/33 (1)
11,805
11,843
Goto
Foods
Funding
Series
2017-1A,
Class
A2II
5.093%,
4/30/47 (1)
6,077
6,004
Hardee's
Funding
Series
2018-1A,
Class
A23
5.71%,
6/20/48 (1)
3,025
2,960
Hardee's
Funding
Series
2020-1A,
Class
A2
3.981%,
12/20/50 (1)
8,013
7,526
Hardee's
Funding
Series
2021-1A,
Class
A2
2.865%,
6/20/51 (1)
3,393
3,030
Hilton
Grand
Vacations
Trust
Series
2019-AA,
Class
A
2.34%,
7/25/33 (1)
369
359
Hilton
Grand
Vacations
Trust
Series
2019-AA,
Class
B
2.54%,
7/25/33 (1)
760
739
Hilton
Grand
Vacations
Trust
Series
2020-AA,
Class
A
2.74%,
2/25/39 (1)
548
529
Hilton
Grand
Vacations
Trust
Series
2022-1D,
Class
A
3.61%,
6/20/34 (1)
1,087
1,059
Hilton
Grand
Vacations
Trust
Series
2023-1A,
Class
B
6.11%,
1/25/38 (1)
5,893
5,979
Hilton
Grand
Vacations
Trust
Series
2023-1A,
Class
C
6.94%,
1/25/38 (1)
1,099
1,122
HPEFS
Equipment
Trust
Series
2023-1A,
Class
B
5.73%,
4/20/28 (1)
6,910
6,949
HPEFS
Equipment
Trust
Series
2023-1A,
Class
C
5.91%,
4/20/28 (1)
4,315
4,350
HPEFS
Equipment
Trust
Series
2023-2A,
Class
C
6.48%,
1/21/31 (1)
1,440
1,461
HPEFS
Equipment
Trust
Series
2023-2A,
Class
D
6.97%,
7/21/31 (1)
3,042
3,113
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
HPEFS
Equipment
Trust
Series
2024-1A,
Class
C
5.33%,
5/20/31 (1)
8,335
8,375
HPEFS
Equipment
Trust
Series
2024-2A,
Class
B
5.35%,
10/20/31 (1)
1,025
1,037
HPEFS
Equipment
Trust
Series
2024-2A,
Class
D
5.82%,
4/20/32 (1)
2,535
2,571
Jack
in
the
Box
Funding
Series
2022-1A,
Class
A2I
3.445%,
2/26/52 (1)
6,329
6,017
Jersey
Mike's
Funding
Series
2019-1A,
Class
A2
4.433%,
2/15/50 (1)
993
982
Jersey
Mike's
Funding
Series
2021-1A,
Class
A2I
2.891%,
2/15/52 (1)
126
121
Madison
Park
Funding
XLII
Series
13A,
Class
AR,
CLO,
FRN
3M
TSFR
+
1.15%,
5.776%,
11/21/30 (1)
8,817
8,831
Madison
Park
Funding
XXIII
Series
2017-23A,
Class
AR,
CLO,
FRN
3M
TSFR
+
1.232%,
5.849%,
7/27/31 (1)
8,317
8,333
Madison
Park
Funding
XXIII
Series
2017-23A,
Class
BR,
CLO,
FRN
3M
TSFR
+
1.812%,
6.429%,
7/27/31 (1)
7,810
7,819
Madison
Park
Funding
XXIV
Series
2016-24A,
Class
CR2,
CLO,
FRN
3M
TSFR
+
2.05%,
6.667%,
10/20/29 (1)
5,240
5,247
Madison
Park
Funding
XXIX
Series
2018-29A,
Class
BR,
CLO,
FRN
3M
TSFR
+
1.80%,
6.432%,
10/18/30 (1)
12,700
12,702
Madison
Park
Funding
XXXIII
Series
2019-33A,
Class
AR,
CLO,
FRN
3M
TSFR
+
1.29%,
5.946%,
10/15/32 (1)
13,845
13,857
Madison
Park
Funding
XXXV
Series
2019-35A,
Class
CR,
CLO,
FRN
3M
TSFR
+
2.162%,
6.779%,
4/20/32 (1)
745
746
Marathon
Static
Series
2022-18A,
Class
A1R2,
CLO,
FRN
3M
TSFR
+
1.15%,
5.767%,
7/20/30 (1)
4,908
4,912
Marble
Point
XII
Series
2018-1A,
Class
A,
CLO,
FRN
3M
TSFR
+
1.272%,
5.919%,
7/16/31 (1)
2,416
2,421
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
Marble
Point
XIV
Series
2018-2A,
Class
A12R,
CLO,
FRN
3M
TSFR
+
1.20%,
5.817%,
1/20/32 (1)
13,179
13,189
Marble
Point
XV
Series
2019-1A,
Class
A1R2,
CLO,
FRN
3M
TSFR
+
1.04%,
5.597%,
7/23/32 (1)
8,550
8,550
MidOcean
Credit
VI
Series
2016-6A,
Class
ARRR,
CLO,
FRN
3M
TSFR
+
1.23%,
5.847%,
4/20/33 (1)
4,792
4,802
MidOcean
Credit
XI
Series
2022-11A,
Class
A1R,
CLO,
FRN
3M
TSFR
+
1.73%,
6.362%,
10/18/33 (1)
3,670
3,679
MidOcean
Credit
XI
Series
2022-11A,
Class
BR,
CLO,
FRN
3M
TSFR
+
2.65%,
7.282%,
10/18/33 (1)
5,500
5,517
MMAF
Equipment
Finance
Series
2021-A,
Class
A5
1.19%,
11/13/43 (1)
1,430
1,367
MVW
Series
2020-1A,
Class
B
2.73%,
10/20/37 (1)
603
582
MVW
Series
2021-1WA,
Class
B
1.44%,
1/22/41 (1)
352
331
MVW
Series
2023-1A,
Class
A
4.93%,
10/20/40 (1)
6,227
6,207
MVW
Series
2023-2A,
Class
A
6.18%,
11/20/40 (1)
1,072
1,094
MVW
Series
2023-2A,
Class
B
6.33%,
11/20/40 (1)
611
622
Neuberger
Berman
Loan
Advisers
Series
2019-32A,
Class
AR,
CLO,
FRN
3M
TSFR
+
1.252%,
5.869%,
1/20/32 (1)
13,399
13,430
Octagon
Investment
Partners
39
Series
2018-3A,
Class
AR,
CLO,
FRN
3M
TSFR
+
1.15%,
5.767%,
10/20/30 (1)
7,810
7,825
Octane
Receivables
Trust
Series
2021-2A,
Class
A
1.21%,
9/20/28 (1)
463
459
Octane
Receivables
Trust
Series
2022-1A,
Class
B
4.90%,
5/22/28 (1)
5,025
5,018
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
Octane
Receivables
Trust
Series
2023-1A,
Class
A
5.87%,
5/21/29 (1)
234
235
Octane
Receivables
Trust
Series
2023-1A,
Class
B
5.96%,
7/20/29 (1)
2,695
2,719
Octane
Receivables
Trust
Series
2023-3A,
Class
B
6.48%,
7/20/29 (1)
1,570
1,603
Octane
Receivables
Trust
Series
2023-3A,
Class
C
6.74%,
8/20/29 (1)
515
530
Octane
Receivables
Trust
Series
2024-3A,
Class
A2
4.94%,
5/20/30 (1)
1,995
1,995
Octane
Receivables
Trust
Series
2024-3A,
Class
C
5.51%,
10/20/31 (1)
1,650
1,657
OZLM
Funding
II
Series
2012-2A,
Class
A1A2,
CLO,
FRN
3M
TSFR
+
1.20%,
5.789%,
7/30/31 (1)
4,963
4,966
OZLM
XXI
Series
2017-21A,
Class
A1R,
CLO,
FRN
3M
TSFR
+
1.15%,
5.767%,
1/20/31 (1)
8,350
8,351
Post
Road
Equipment
Finance
Series
2024-1A,
Class
A2
5.59%,
11/15/29 (1)
647
651
Progress
Residential
Trust
Series
2021-SFR8,
Class
C
1.931%,
10/17/38 (1)
5,320
5,055
Rockford
Tower
Series
2019-2A,
Class
AR2,
CLO,
FRN
3M
TSFR
+
1.13%,
5.651%,
8/20/32 (1)
16,298
16,252
Romark
II
Series
2018-2A,
Class
A2R,
CLO,
FRN
3M
TSFR
+
1.65%,
6.276%,
7/25/31 (1)
13,080
13,099
SCF
Equipment
Leasing
Series
2021-1A,
Class
E
3.56%,
8/20/32 (1)
1,675
1,657
SEB
Funding
Series
2024-1A,
Class
A2
7.386%,
4/30/54 (1)
7,335
7,526
Sierra
Timeshare
Receivables
Funding
Series
2020-2A,
Class
C
3.51%,
7/20/37 (1)
599
593
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
SOUND
POINT
XXII
Series
2019-1A,
Class
BRR,
CLO,
FRN
3M
TSFR
+
1.65%,
1/20/32 (1)(2)
1,360
1,360
Symphony
Static
I
Series
2021-1A,
Class
B,
CLO,
FRN
3M
TSFR
+
1.712%,
6.337%,
10/25/29 (1)
11,545
11,563
Symphony
XXIII
Series
2020-23A,
Class
AR,
CLO,
FRN
3M
TSFR
+
1.282%,
5.938%,
1/15/34 (1)
2,960
2,964
Symphony
XXVI
Series
2021-26A,
Class
AR,
CLO,
FRN
3M
TSFR
+
1.342%,
5.959%,
4/20/33 (1)
3,790
3,794
THL
Credit
Wind
River
Series
2015-1A,
Class
A1R3,
CLO,
FRN
3M
TSFR
+
1.20%,
5.817%,
10/20/30 (1)
7,902
7,914
THL
Credit
Wind
River
Series
2018-2A,
Class
A1R,
CLO,
FRN
3M
TSFR
+
1.20%,
5.856%,
7/15/30 (1)
2,023
2,026
THL
Credit
Wind
River
Series
2019-3A,
Class
AR2,
CLO,
FRN
3M
TSFR
+
1.06%,
4/15/31 (1)(2)
2,750
2,750
THL
Credit
Wind
River
Series
2019-3A,
Class
BR2,
CLO,
FRN
3M
TSFR
+
1.55%,
4/15/31 (1)(2)
6,280
6,280
THL
Credit
Wind
River
Series
2019-3A,
Class
CR2,
CLO,
FRN
3M
TSFR
+
2.00%,
4/15/31 (1)(2)
2,725
2,725
TIAA
Series
2016-1A,
Class
ARR,
CLO,
FRN
3M
TSFR
+
1.25%,
5.867%,
7/20/31 (1)
15,105
15,118
Tricon
Residential
Trust
Series
2024-SFR2,
Class
A
4.75%,
6/17/40 (1)
3,403
3,371
Tricon
Residential
Trust
Series
2024-SFR2,
Class
D
6.00%,
6/17/40 (1)
6,225
6,197
Trinitas
IX
Series
2018-9A,
Class
ARRR,
CLO,
FRN
3M
TSFR
+
1.20%,
5.817%,
1/20/32 (1)
7,622
7,633
Trinitas
IX
Series
2018-9A,
Class
BRRR,
CLO,
FRN
3M
TSFR
+
1.70%,
6.317%,
1/20/32 (1)
2,515
2,521
Trinitas
VI
Series
2017-6A,
Class
ARRR,
CLO,
FRN
3M
TSFR
+
1.33%,
5.956%,
1/25/34 (1)
11,805
11,846
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
Verdant
Receivables
Series
2023-1A,
Class
A2
6.24%,
1/13/31 (1)
4,095
4,154
Verdant
Receivables
Series
2024-1A,
Class
A2
5.68%,
12/12/31 (1)
1,545
1,566
Voya
Series
2018-3A,
Class
BR2,
CLO,
FRN
3M
TSFR
+
1.80%,
6.456%,
10/15/31 (1)
10,460
10,471
Wellfleet
Series
2018-2A,
Class
A1R,
CLO,
FRN
3M
TSFR
+
0.818%,
5.436%,
10/20/31 (1)
7,690
7,690
546,836
Student
Loan
1.1%
Navient
Private
Education
Loan
Trust
Series
2020-A,
Class
A2A
2.46%,
11/15/68 (1)
2,823
2,683
Navient
Private
Education
Refi
Loan
Trust
Series
2019-A,
Class
A2A
3.42%,
1/15/43 (1)
1,326
1,306
Navient
Private
Education
Refi
Loan
Trust
Series
2019-EA,
Class
A2A
2.64%,
5/15/68 (1)
2,664
2,577
Navient
Private
Education
Refi
Loan
Trust
Series
2019-GA,
Class
A
2.40%,
10/15/68 (1)
4,101
3,921
Navient
Private
Education
Refi
Loan
Trust
Series
2020-BA,
Class
A2
2.12%,
1/15/69 (1)
1,593
1,500
Navient
Private
Education
Refi
Loan
Trust
Series
2020-CA,
Class
A2A
2.15%,
11/15/68 (1)
10,837
10,196
Navient
Private
Education
Refi
Loan
Trust
Series
2020-DA,
Class
A
1.69%,
5/15/69 (1)
1,685
1,571
Navient
Private
Education
Refi
Loan
Trust
Series
2020-FA,
Class
A
1.22%,
7/15/69 (1)
1,829
1,691
Navient
Private
Education
Refi
Loan
Trust
Series
2020-GA,
Class
A
1.17%,
9/16/69 (1)
1,117
1,025
Navient
Private
Education
Refi
Loan
Trust
Series
2020-HA,
Class
A
1.31%,
1/15/69 (1)
934
867
Nelnet
Student
Loan
Trust
Series
2005-4,
Class
A4,
FRN
SOFR90A
+
0.442%,
5.813%,
3/22/32
1,771
1,717
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
Nelnet
Student
Loan
Trust
Series
2020-1A,
Class
A,
FRN
1M
TSFR
+
0.854%,
5.442%,
3/26/68 (1)
1,136
1,131
Nelnet
Student
Loan
Trust
Series
2021-CA,
Class
AFX
1.32%,
4/20/62 (1)
6,649
6,109
Nelnet
Student
Loan
Trust
Series
2021-DA,
Class
AFX
1.63%,
4/20/62 (1)
2,268
2,106
SMB
Private
Education
Loan
Trust
Series
2016-B,
Class
A2A
2.43%,
2/17/32 (1)
238
237
SMB
Private
Education
Loan
Trust
Series
2016-C,
Class
A2B,
FRN
1M
TSFR
+
1.214%,
5.824%,
9/15/34 (1)
307
307
SMB
Private
Education
Loan
Trust
Series
2018-B,
Class
A2B,
FRN
1M
TSFR
+
0.834%,
5.444%,
1/15/37 (1)
3,386
3,376
SMB
Private
Education
Loan
Trust
Series
2020-B,
Class
A1A
1.29%,
7/15/53 (1)
1,208
1,122
SMB
Private
Education
Loan
Trust
Series
2020-PTB,
Class
A2A
1.60%,
9/15/54 (1)
4,463
4,122
SMB
Private
Education
Loan
Trust
Series
2021-B,
Class
A
1.31%,
7/17/51 (1)
6,058
5,583
53,147
Whole
Business
0.2%
Wheels
Fleet
Lease
Funding
1
Series
2023-2A,
Class
A
6.46%,
8/18/38 (1)
7,984
8,131
8,131
Total
Asset-Backed
Securities
(Cost
$919,368)
921,497
CORPORATE
BONDS
40.4%
FINANCIAL
INSTITUTIONS
13.2%
Banking
8.4%
American
Express,
2.25%,
3/4/25
12,785
12,696
American
Express,
VR,
5.043%,
7/26/28 (3)
4,305
4,331
American
Express,
VR,
5.098%,
2/16/28 (3)
2,625
2,645
American
Express,
VR,
5.532%,
4/25/30 (3)
5,175
5,305
Banco
Santander,
3.496%,
3/24/25
8,200
8,159
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
Banco
Santander,
VR,
5.552%,
3/14/28 (3)
4,000
4,045
Banco
Santander
Mexico
Institucion
de
Banca
Multiple
Grupo
Financiero
Santand,
5.375%,
4/17/25 (4)
8,000
7,987
Banco
Santander
Mexico
Institucion
de
Banca
Multiple
Grupo
Financiero
Santand,
5.375%,
4/17/25 (1)
1,865
1,862
Bank
of
America,
VR,
1.734%,
7/22/27 (3)
5,125
4,881
Bank
of
America,
VR,
3.384%,
4/2/26 (3)
7,560
7,528
Bank
of
America,
VR,
5.08%,
1/20/27 (3)
3,965
3,975
Bank
of
Montreal,
3.70%,
6/7/25
10,110
10,050
Bank
of
New
York
Mellon,
VR,
4.414%,
7/24/26 (3)(4)
6,645
6,623
Bank
of
New
York
Mellon,
VR,
4.947%,
4/26/27 (3)(4)
6,805
6,833
Bank
of
New
York
Mellon,
VR,
5.148%,
5/22/26 (3)(4)
4,875
4,883
Banque
Federative
du
Credit
Mutuel,
0.998%,
2/4/25 (1)(4)
9,745
9,684
Banque
Federative
du
Credit
Mutuel,
4.935%,
1/26/26 (1)
4,965
4,973
Barclays,
VR,
5.304%,
8/9/26 (3)
4,510
4,518
Barclays,
VR,
7.325%,
11/2/26 (3)(4)
4,915
5,014
BPCE,
4.50%,
3/15/25 (1)
9,765
9,736
CaixaBank,
VR,
6.684%,
9/13/27 (1)(3)
6,125
6,300
Capital
One
Financial,
VR,
2.636%,
3/3/26 (3)(4)
7,645
7,601
Capital
One
Financial,
VR,
4.985%,
7/24/26 (3)
5,995
5,994
Capital
One
Financial,
VR,
6.312%,
6/8/29 (3)
3,000
3,108
Capital
One
Financial,
VR,
7.149%,
10/29/27 (3)
2,860
2,977
Citigroup,
4.40%,
6/10/25
4,390
4,374
Citigroup,
VR,
3.106%,
4/8/26 (3)
4,035
4,012
Citigroup,
VR,
5.174%,
2/13/30 (3)
4,635
4,675
Credicorp,
2.75%,
6/17/25 (1)
2,715
2,676
Danske
Bank,
VR,
4.613%,
10/2/30 (1)(3)
4,555
4,473
Danske
Bank,
VR,
5.427%,
3/1/28 (1)(3)
4,760
4,803
Danske
Bank,
VR,
6.259%,
9/22/26 (1)(3)
3,080
3,111
Fifth
Third
Bancorp,
VR,
4.895%,
9/6/30 (3)
1,900
1,890
Goldman
Sachs
Group,
3.50%,
4/1/25
7,425
7,390
Goldman
Sachs
Group,
VR,
4.482%,
8/23/28 (3)
4,835
4,796
HSBC
Holdings,
VR,
1.645%,
4/18/26 (3)
14,195
14,011
HSBC
Holdings,
VR,
5.13%,
11/19/28 (3)
6,740
6,768
HSBC
Holdings,
VR,
5.597%,
5/17/28 (3)(4)
6,410
6,501
JPMorgan
Chase,
FRN,
SOFR
+
0.885%,
5.545%,
4/22/27
5,480
5,500
JPMorgan
Chase,
VR,
2.083%,
4/22/26 (3)
13,190
13,049
JPMorgan
Chase,
VR,
4.08%,
4/26/26 (3)
7,690
7,665
JPMorgan
Chase,
VR,
4.979%,
7/22/28 (3)
4,820
4,844
JPMorgan
Chase,
VR,
5.04%,
1/23/28 (3)(4)
4,620
4,647
Lloyds
Banking
Group,
VR,
5.462%,
1/5/28 (3)(4)
4,660
4,714
Morgan
Stanley,
VR,
2.63%,
2/18/26 (3)(4)
7,180
7,147
Morgan
Stanley,
VR,
6.138%,
10/16/26 (3)(4)
6,730
6,808
Morgan
Stanley
Bank,
4.754%,
4/21/26
5,725
5,734
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
National
Bank
of
Canada,
4.50%,
10/10/29 (4)
7,150
7,030
NatWest
Markets,
3.479%,
3/22/25 (1)(4)
3,600
3,587
Northern
Trust,
3.95%,
10/30/25
4,035
4,014
PNC
Financial
Services
Group,
VR,
4.758%,
1/26/27 (3)
7,035
7,028
PNC
Financial
Services
Group,
VR,
5.812%,
6/12/26 (3)
2,525
2,539
Santander
Holdings
USA,
VR,
2.49%,
1/6/28 (3)
5,540
5,271
Santander
Holdings
USA,
VR,
6.124%,
5/31/27 (3)
980
994
Societe
Generale,
VR,
5.519%,
1/19/28 (1)(3)(4)
8,871
8,920
Standard
Chartered,
4.30%,
2/19/27 (1)
2,937
2,885
Standard
Chartered,
VR,
5.688%,
5/14/28 (1)(3)
4,780
4,849
State
Street,
4.33%,
10/22/27 (4)
14,095
14,042
State
Street,
VR,
4.857%,
1/26/26 (3)
3,080
3,079
State
Street,
VR,
5.104%,
5/18/26 (3)
4,620
4,628
U.S.
Bancorp,
VR,
4.548%,
7/22/28 (3)(4)
7,145
7,111
U.S.
Bancorp,
VR,
5.727%,
10/21/26 (3)
4,020
4,050
UBS
Group,
VR,
1.494%,
8/10/27 (1)(3)
3,200
3,026
UBS
Group,
VR,
4.488%,
5/12/26 (1)(3)
2,465
2,459
UBS
Group,
VR,
6.327%,
12/22/27 (1)(3)(4)
6,100
6,274
Wells
Fargo,
VR,
2.188%,
4/30/26 (3)
5,935
5,872
Wells
Fargo,
VR,
3.908%,
4/25/26 (3)
7,870
7,844
Wells
Fargo,
VR,
4.54%,
8/15/26 (3)
7,470
7,453
394,251
Brokerage
Asset
Managers
Exchanges
0.5%
Charles
Schwab,
2.45%,
3/3/27 (4)
11,128
10,635
Charles
Schwab,
3.20%,
3/2/27
3,330
3,224
LPL
Holdings,
5.70%,
5/20/27
6,964
7,089
LPL
Holdings,
6.75%,
11/17/28
2,275
2,402
Nasdaq,
5.65%,
6/28/25 (4)
1,155
1,160
24,510
Finance
Companies
1.1%
AerCap
Ireland
Capital,
6.10%,
1/15/27
2,160
2,215
AerCap
Ireland
Capital,
6.45%,
4/15/27
11,189
11,556
Avolon
Holdings
Funding,
2.125%,
2/21/26 (1)
9,215
8,871
Avolon
Holdings
Funding,
2.875%,
2/15/25 (1)
7,180
7,140
Avolon
Holdings
Funding,
5.75%,
3/1/29 (1)
4,810
4,919
Avolon
Holdings
Funding,
6.375%,
5/4/28 (1)
2,200
2,283
GATX,
3.25%,
3/30/25
6,715
6,666
GATX,
3.25%,
9/15/26
3,544
3,448
GATX,
3.85%,
3/30/27
1,932
1,889
GATX,
5.40%,
3/15/27
4,745
4,803
53,790
Insurance
3.1%
Athene
Global
Funding,
1.716%,
1/7/25 (1)
12,540
12,499
Athene
Global
Funding,
4.86%,
8/27/26 (1)
5,285
5,275
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
Athene
Global
Funding,
5.349%,
7/9/27 (1)
5,190
5,236
Athene
Global
Funding,
5.684%,
2/23/26 (1)
6,780
6,834
Brighthouse
Financial
Global
Funding,
1.55%,
5/24/26 (1)
1,680
1,598
Centene,
4.625%,
12/15/29 (4)
4,825
4,614
CNO
Global
Funding,
1.65%,
1/6/25 (1)
8,042
8,016
CNO
Global
Funding,
1.75%,
10/7/26 (1)
10,016
9,447
Corebridge
Financial,
3.50%,
4/4/25
5,855
5,827
Corebridge
Global
Funding,
4.65%,
8/20/27 (1)
2,475
2,472
Corebridge
Global
Funding,
5.20%,
1/12/29 (1)
2,300
2,323
Elevance
Health,
5.35%,
10/15/25
2,325
2,334
Equitable
Financial
Life
Global
Funding,
1.00%,
1/9/26 (1)
490
470
Equitable
Financial
Life
Global
Funding,
1.70%,
11/12/26 (1)(4)
2,095
1,980
Equitable
Financial
Life
Global
Funding,
5.50%,
12/2/25 (1)
3,500
3,528
Health
Care
Service
A
Mutual
Legal
Reserve,
1.50%,
6/1/25 (1)
11,700
11,510
Health
Care
Service
A
Mutual
Legal
Reserve,
5.20%,
6/15/29 (1)
3,540
3,604
Humana,
1.35%,
2/3/27 (4)
3,515
3,270
Humana,
4.50%,
4/1/25
4,125
4,119
Humana,
5.75%,
3/1/28
2,290
2,341
Jackson
National
Life
Global
Funding,
1.75%,
1/12/25 (1)
8,265
8,237
Jackson
National
Life
Global
Funding,
5.55%,
7/2/27 (1)(4)
4,325
4,392
Jackson
National
Life
Global
Funding,
5.60%,
4/10/26 (1)(4)
7,525
7,580
Marsh
&
McLennan,
4.55%,
11/8/27 (4)
8,560
8,577
Northwestern
Mutual
Global
Funding,
4.35%,
9/15/27 (1)
5,950
5,931
Principal
Life
Global
Funding
II,
0.875%,
1/12/26 (1)
5,795
5,552
Reinsurance
Group
of
America,
3.95%,
9/15/26
5,184
5,112
142,678
Real
Estate
Investment
Trusts
0.1%
Kilroy
Realty,
4.375%,
10/1/25
2,355
2,340
Realty
Income,
5.05%,
1/13/26 (4)
1,780
1,781
4,121
Total
Financial
Institutions
619,350
INDUSTRIAL
24.6%
Basic
Industry
1.1%
Celanese
U.S.
Holdings,
6.05%,
3/15/25
4,340
4,345
FMC,
3.45%,
10/1/29
4,977
4,611
LYB
International
Finance
III,
1.25%,
10/1/25
5,631
5,470
Newmont,
5.30%,
3/15/26
2,930
2,951
Nucor,
3.95%,
5/23/25
3,585
3,569
Nutrien,
4.90%,
3/27/28 (4)
2,955
2,977
POSCO,
4.375%,
8/4/25
7,200
7,173
POSCO,
5.625%,
1/17/26 (1)
6,020
6,066
Sherwin-Williams,
4.25%,
8/8/25
2,980
2,967
Sherwin-Williams,
4.55%,
3/1/28 (4)
5,375
5,371
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
Steel
Dynamics,
2.80%,
12/15/24
5,070
5,064
50,564
Capital
Goods
1.7%
Amcor
Flexibles
North
America,
4.00%,
5/17/25
5,355
5,328
Amphenol,
2.05%,
3/1/25
6,720
6,668
Amphenol,
4.75%,
3/30/26
9,211
9,204
Amphenol,
5.05%,
4/5/27 (4)
2,475
2,499
BAE
Systems,
5.00%,
3/26/27 (1)
5,475
5,511
Boeing,
2.196%,
2/4/26 (4)
3,925
3,791
Boeing,
6.259%,
5/1/27 (1)
9,763
9,995
Carrier
Global,
2.242%,
2/15/25
1,909
1,894
Fortive,
3.15%,
6/15/26
5,348
5,217
Huntington
Ingalls
Industries,
5.353%,
1/15/30
1,835
1,847
Mohawk
Industries,
5.85%,
9/18/28
3,565
3,678
Otis
Worldwide,
2.056%,
4/5/25 (4)
7,965
7,882
Owens
Corning,
3.40%,
8/15/26
3,093
3,027
Owens
Corning,
5.50%,
6/15/27
4,210
4,289
Regal
Rexnord,
6.05%,
2/15/26
5,222
5,263
Republic
Services,
0.875%,
11/15/25
1,566
1,509
77,602
Communications
3.7%
American
Tower,
1.60%,
4/15/26
11,099
10,613
American
Tower,
2.40%,
3/15/25
4,733
4,697
American
Tower,
3.55%,
7/15/27
4,480
4,349
AT&T,
4.10%,
2/15/28
2,395
2,359
Charter
Communications
Operating,
4.908%,
7/23/25
6,322
6,313
Charter
Communications
Operating,
6.15%,
11/10/26
2,995
3,058
Cox
Communications,
3.35%,
9/15/26 (1)
2,070
2,014
Cox
Communications,
3.50%,
8/15/27 (1)
2,570
2,487
Crown
Castle,
1.05%,
7/15/26 (4)
9,140
8,614
Crown
Castle,
2.90%,
3/15/27
7,465
7,166
Crown
Castle,
4.45%,
2/15/26
4,475
4,455
Crown
Castle,
5.00%,
1/11/28
2,340
2,354
Crown
Castle,
5.60%,
6/1/29
3,540
3,641
Crown
Castle
Towers,
4.241%,
7/15/28 (1)
2,075
1,999
KT,
4.00%,
8/8/25 (1)(4)
8,770
8,718
KT,
4.125%,
2/2/28 (1)(4)
5,350
5,271
NTT
Finance,
4.239%,
7/25/25 (1)(4)
1,630
1,624
Rogers
Communications,
2.95%,
3/15/25
10,585
10,508
Rogers
Communications,
3.20%,
3/15/27 (4)
9,100
8,798
Rogers
Communications,
5.00%,
2/15/29
7,010
7,030
SBA
Tower
Trust,
1.631%,
11/15/26 (1)(4)
5,077
4,743
SBA
Tower
Trust,
1.884%,
1/15/26 (1)
3,232
3,110
SBA
Tower
Trust,
2.836%,
1/15/25 (1)
9,510
9,487
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
SBA
Tower
Trust,
4.831%,
10/15/29 (1)
13,380
13,026
SBA
Tower
Trust,
6.599%,
1/15/28 (1)
7,561
7,800
T-Mobile
USA,
2.625%,
4/15/26
2,755
2,677
T-Mobile
USA,
3.50%,
4/15/25
7,685
7,644
Take-Two
Interactive
Software,
3.55%,
4/14/25
3,135
3,114
Take-Two
Interactive
Software,
4.95%,
3/28/28
6,000
6,037
Take-Two
Interactive
Software,
5.00%,
3/28/26
9,055
9,079
172,785
Consumer
Cyclical
5.9%
Advance
Auto
Parts,
5.90%,
3/9/26
5,550
5,590
Aptiv,
4.65%,
9/13/29
3,300
3,217
AutoZone,
6.25%,
11/1/28 (4)
4,435
4,668
BMW
U.S.
Capital,
4.60%,
8/13/27 (1)(4)
11,810
11,786
Daimler
Truck
Finance
North
America,
1.625%,
12/13/24 (1)
7,760
7,751
Daimler
Truck
Finance
North
America,
5.00%,
1/15/27 (1)
2,215
2,226
Daimler
Truck
Finance
North
America,
5.125%,
9/25/27 (1)
4,210
4,244
Daimler
Truck
Finance
North
America,
5.15%,
1/16/26 (1)(4)
2,165
2,173
Daimler
Truck
Finance
North
America,
5.20%,
1/17/25 (1)
2,745
2,746
Darden
Restaurants,
4.35%,
10/15/27
6,645
6,578
Dollar
General,
3.875%,
4/15/27
2,255
2,205
Dollar
General,
4.125%,
5/1/28 (4)
7,688
7,506
Dollar
General,
4.625%,
11/1/27
6,000
5,960
Dollar
General,
5.20%,
7/5/28 (4)
4,099
4,131
Ford
Motor
Credit,
5.125%,
6/16/25
7,190
7,183
Ford
Motor
Credit,
5.125%,
11/5/26
4,650
4,640
Ford
Motor
Credit,
5.80%,
3/5/27
5,830
5,896
General
Motors
Financial,
2.90%,
2/26/25
13,795
13,719
General
Motors
Financial,
5.35%,
7/15/27
6,995
7,068
General
Motors
Financial,
5.40%,
4/6/26
3,685
3,710
General
Motors
Financial,
5.40%,
5/8/27
2,895
2,935
General
Motors
Financial,
5.55%,
7/15/29
2,240
2,285
Genuine
Parts,
1.75%,
2/1/25
2,980
2,962
Hyundai
Capital
America,
5.25%,
1/8/27 (1)
2,440
2,457
Hyundai
Capital
America,
5.50%,
3/30/26 (1)(4)
3,270
3,293
Hyundai
Capital
America,
5.60%,
3/30/28 (1)(4)
4,300
4,387
Hyundai
Capital
America,
6.25%,
11/3/25 (1)(4)
3,100
3,142
Hyundai
Capital
Services,
2.125%,
4/24/25 (1)
2,800
2,769
Lowe's,
1.70%,
9/15/28 (4)
1,292
1,162
Lowe's,
3.35%,
4/1/27 (4)
2,275
2,212
Lowe's,
4.80%,
4/1/26
4,745
4,754
Marriott
International,
3.75%,
3/15/25
1,345
1,340
Marriott
International,
5.45%,
9/15/26
2,225
2,255
Marriott
International,
Series
EE,
5.75%,
5/1/25
1,381
1,384
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
Marriott
International,
Series
R,
3.125%,
6/15/26
8,661
8,462
Mercedes-Benz
Finance
North
America,
4.80%,
3/30/26 (1)
5,025
5,033
Mercedes-Benz
Finance
North
America,
4.80%,
1/11/27 (1)
14,430
14,464
O'Reilly
Automotive,
5.75%,
11/20/26
13,817
14,071
Ross
Stores,
0.875%,
4/15/26 (4)
6,748
6,404
Ross
Stores,
4.60%,
4/15/25
15,624
15,604
Starbucks,
3.50%,
3/1/28 (4)
2,660
2,582
Starbucks,
4.00%,
11/15/28 (4)
1,873
1,833
Starbucks,
4.75%,
2/15/26
5,815
5,824
Uber
Technologies,
4.50%,
8/15/29 (1)
10,995
10,748
VF,
2.40%,
4/23/25 (4)
10,443
10,287
VF,
2.80%,
4/23/27
5,330
5,005
Volkswagen
Group
of
America
Finance,
3.95%,
6/6/25 (1)
5,185
5,152
Volkswagen
Group
of
America
Finance,
4.85%,
8/15/27 (1)
8,305
8,247
Volkswagen
Group
of
America
Finance,
5.70%,
9/12/26 (1)
3,870
3,909
Volkswagen
Group
of
America
Finance,
5.80%,
9/12/25 (1)
4,550
4,584
Volkswagen
Group
of
America
Finance,
6.00%,
11/16/26 (1)(4)
4,520
4,595
277,138
Consumer
Non-Cyclical
5.6%
AbbVie,
2.95%,
11/21/26
14,705
14,285
Altria
Group,
2.625%,
9/16/26
5,137
4,956
BAT
International
Finance,
1.668%,
3/25/26
7,140
6,855
BAT
International
Finance,
4.448%,
3/16/28
13,155
13,044
Becton
Dickinson
&
Company,
3.734%,
12/15/24
2,160
2,159
Becton
Dickinson
&
Company,
4.693%,
2/13/28 (4)
10,060
10,078
Coca-Cola
Europacific
Partners,
1.50%,
1/15/27 (1)
1,091
1,019
CSL
Finance,
3.85%,
4/27/27 (1)(4)
2,575
2,521
CVS
Health,
1.30%,
8/21/27
13,114
11,938
CVS
Health,
2.875%,
6/1/26 (4)
4,883
4,744
CVS
Health,
3.00%,
8/15/26
2,945
2,854
CVS
Health,
5.00%,
2/20/26 (4)
9,290
9,304
HCA,
3.125%,
3/15/27 (4)
7,560
7,278
HCA,
5.375%,
2/1/25
4,260
4,262
HCA,
5.625%,
9/1/28
9,032
9,229
HCA,
5.875%,
2/15/26 (4)
5,890
5,928
Heineken,
3.50%,
1/29/28 (1)
24,087
23,345
Icon
Investments
Six,
5.809%,
5/8/27 (4)
8,885
9,055
Imperial
Brands
Finance,
4.25%,
7/21/25 (1)
1,013
1,006
IQVIA,
6.25%,
2/1/29
3,065
3,195
Kroger,
2.65%,
10/15/26 (4)
4,838
4,661
Kroger,
3.70%,
8/1/27
1,206
1,179
Kroger,
4.60%,
8/15/27 (4)
2,194
2,204
Mars,
4.55%,
4/20/28 (1)(4)
9,340
9,321
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
Mattel,
3.375%,
4/1/26 (1)
5,935
5,787
Mattel,
5.875%,
12/15/27 (1)
5,750
5,782
Mondelez
International,
2.625%,
3/17/27
5,415
5,186
Mondelez
International
Holdings
Netherlands,
4.25%,
9/15/25 (1)
3,950
3,932
PeaceHealth
Obligated
Group,
Series
2020,
1.375%,
11/15/25
1,555
1,504
Pernod
Ricard,
3.25%,
6/8/26 (1)
8,525
8,346
Perrigo
Finance
Unlimited,
3.90%,
12/15/24
5,988
5,982
Philip
Morris
International,
4.875%,
2/13/26
5,920
5,935
Solventum,
5.45%,
2/25/27 (1)
11,990
12,134
Stryker,
4.25%,
9/11/29
5,350
5,259
Utah
Acquisition
Sub,
3.95%,
6/15/26 (4)
6,750
6,641
Viatris,
2.30%,
6/22/27
5,092
4,778
Viterra
Finance,
2.00%,
4/21/26 (1)
1,515
1,447
Viterra
Finance,
4.90%,
4/21/27 (1)
7,230
7,214
Zoetis,
3.00%,
9/12/27 (4)
12,715
12,211
Zoetis,
5.40%,
11/14/25
6,720
6,754
263,312
Energy
2.9%
Canadian
Natural
Resources,
2.05%,
7/15/25
11,415
11,209
Columbia
Pipelines
Holding,
6.055%,
8/15/26 (1)(4)
1,060
1,078
DCP
Midstream
Operating,
5.375%,
7/15/25
7,981
7,994
Diamondback
Energy,
5.20%,
4/18/27
3,245
3,285
Enbridge,
2.50%,
1/15/25
9,500
9,462
Enbridge,
2.50%,
2/14/25
4,350
4,328
Enbridge,
5.90%,
11/15/26
2,765
2,824
Enbridge,
6.00%,
11/15/28
2,270
2,376
Energy
Transfer,
2.90%,
5/15/25
1,860
1,842
Energy
Transfer,
5.25%,
7/1/29
3,905
3,966
Energy
Transfer,
6.05%,
12/1/26
10,455
10,706
EQT,
3.125%,
5/15/26 (1)
1,885
1,832
Gray
Oak
Pipeline,
2.60%,
10/15/25 (1)
3,115
3,047
Occidental
Petroleum,
5.00%,
8/1/27
3,920
3,941
Occidental
Petroleum,
5.20%,
8/1/29
2,805
2,820
Occidental
Petroleum,
5.875%,
9/1/25
6,705
6,713
ONEOK,
4.25%,
9/24/27 (4)
9,355
9,239
ONEOK,
5.55%,
11/1/26
4,840
4,898
Ovintiv,
5.375%,
1/1/26
2,500
2,507
Ovintiv,
5.65%,
5/15/25
5,605
5,622
Pioneer
Natural
Resources,
5.10%,
3/29/26
6,135
6,174
Sabine
Pass
Liquefaction,
5.625%,
3/1/25
2,775
2,774
South
Bow
USA
Infrastructure
Holdings,
4.911%,
9/1/27 (1)
4,420
4,415
TER
Finance
Jersey,
Series
21,
Zero
Coupon,
1/2/25 (1)(5)
6,200
6,170
Williams,
4.80%,
11/15/29
4,020
4,003
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
Williams,
5.40%,
3/2/26
11,725
11,799
Woodside
Finance,
3.70%,
9/15/26 (1)
2,682
2,622
137,646
Technology
2.3%
Atlassian,
5.25%,
5/15/29
2,605
2,645
Cadence
Design
Systems,
4.20%,
9/10/27
3,380
3,356
CDW,
5.10%,
3/1/30
1,955
1,944
Fiserv,
5.15%,
3/15/27 (4)
5,895
5,954
Fortinet,
1.00%,
3/15/26
8,090
7,707
Foundry
JV
Holdco,
5.90%,
1/25/30 (1)
2,025
2,056
Intel,
3.75%,
8/5/27 (4)
3,890
3,788
Intel,
4.00%,
8/5/29 (4)
4,290
4,140
Intel,
4.875%,
2/10/28
1,326
1,327
Micron
Technology,
4.185%,
2/15/27
1,110
1,096
Micron
Technology,
4.975%,
2/6/26
1,110
1,108
Micron
Technology,
5.375%,
4/15/28 (4)
6,955
7,079
Moody's,
3.75%,
3/24/25
6,475
6,451
NXP,
2.70%,
5/1/25 (4)
5,910
5,852
NXP,
3.15%,
5/1/27
490
471
NXP,
3.875%,
6/18/26
4,219
4,168
NXP,
4.40%,
6/1/27
1,040
1,035
PayPal
Holdings,
2.85%,
10/1/29
9,049
8,360
Qorvo,
1.75%,
12/15/24
3,710
3,701
S&P
Global,
2.45%,
3/1/27
14,680
14,034
Western
Union,
2.85%,
1/10/25
16,803
16,748
Workday,
3.50%,
4/1/27 (4)
3,450
3,369
106,389
Transportation
1.4%
American
Airlines
PTT,
Series
2017-2,
Class
B,
3.70%,
10/15/25
2,275
2,221
Canadian
Pacific
Railway,
1.35%,
12/2/24
10,590
10,589
Canadian
Pacific
Railway,
1.75%,
12/2/26
4,645
4,384
Element
Fleet
Management,
5.643%,
3/13/27 (1)
4,310
4,375
ERAC
USA
Finance,
4.60%,
5/1/28 (1)
8,895
8,879
ERAC
USA
Finance,
5.00%,
2/15/29 (1)
3,460
3,505
FedEx,
3.25%,
4/1/26
7,417
7,283
HPHT
Finance,
1.50%,
9/17/26
6,650
6,269
Penske
Truck
Leasing,
1.70%,
6/15/26 (1)
540
514
Penske
Truck
Leasing,
5.35%,
1/12/27 (1)(4)
2,375
2,395
Penske
Truck
Leasing,
5.75%,
5/24/26 (1)
12,797
12,938
63,352
Total
Industrial
1,148,788
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
UTILITY
2.6%
Electric
2.2%
AES,
3.30%,
7/15/25 (1)
5,425
5,357
American
Electric
Power,
5.20%,
1/15/29
8,040
8,176
Appalachian
Power,
Series
X,
3.30%,
6/1/27 (4)
10,397
10,043
Constellation
Energy
Generation,
5.60%,
3/1/28
3,910
4,015
DTE
Energy,
4.95%,
7/1/27 (4)
3,625
3,647
Duke
Energy,
4.85%,
1/5/27
12,000
12,061
Enel
Finance
International,
1.625%,
7/12/26 (1)
9,605
9,131
Enel
Finance
International,
7.05%,
10/14/25 (1)
2,320
2,361
Exelon,
5.15%,
3/15/29 (4)
2,470
2,511
FirstEnergy,
Series
B,
3.90%,
7/15/27
4,905
4,797
FirstEnergy
Transmission,
4.55%,
1/15/30 (1)
1,855
1,824
Georgia
Power,
5.004%,
2/23/27
2,160
2,180
NextEra
Energy
Capital
Holdings,
1.875%,
1/15/27 (4)
9,130
8,619
NextEra
Energy
Capital
Holdings,
4.45%,
6/20/25
6,955
6,938
NextEra
Energy
Capital
Holdings,
5.749%,
9/1/25
2,175
2,188
NextEra
Energy
Capital
Holdings,
6.051%,
3/1/25
3,175
3,183
Pacific
Gas
&
Electric,
3.50%,
6/15/25
8,205
8,133
Southern,
5.113%,
8/1/27
4,238
4,295
Vistra
Operations,
5.05%,
12/30/26 (1)
2,490
2,496
Vistra
Operations,
5.125%,
5/13/25 (1)
3,074
3,075
105,030
Natural
Gas
0.4%
Engie,
5.25%,
4/10/29 (1)
2,330
2,372
NiSource,
5.25%,
3/30/28 (4)
1,560
1,584
Sempra,
3.30%,
4/1/25
5,035
5,007
Sempra,
5.40%,
8/1/26
2,840
2,870
Southern
California
Gas,
2.95%,
4/15/27
5,420
5,222
17,055
Total
Utility
122,085
Total
Corporate
Bonds
(Cost
$1,892,900)
1,890,223
FOREIGN
GOVERNMENT
OBLIGATIONS
&
MUNICIPALITIES
2.2%
Government
Sponsored
0.3%
MEGlobal,
4.25%,
11/3/26
12,000
11,767
11,767
Owned
No
Guarantee
1.9%
Banco
del
Estado
de
Chile,
2.704%,
1/9/25 (1)
4,585
4,577
Bharat
Petroleum,
4.00%,
5/8/25
11,900
11,852
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
Korea
Electric
Power,
5.375%,
4/6/26 (1)
12,400
12,492
Korea
Housing
Finance,
4.625%,
2/24/28 (1)
12,080
12,110
Korea
Hydro
&
Nuclear
Power,
1.25%,
4/27/26 (1)
12,038
11,471
Korea
Hydro
&
Nuclear
Power,
5.00%,
7/18/28 (1)
1,400
1,413
NBN,
1.45%,
5/5/26 (1)
15,195
14,515
QNB
Finance,
2.625%,
5/12/25
11,965
11,834
Tenaga
Nasional,
7.50%,
11/1/25
8,850
9,034
89,298
Total
Foreign
Government
Obligations
&
Municipalities
(Cost
$102,384)
101,065
NON-U.S.
GOVERNMENT
MORTGAGE-BACKED
SECURITIES
8.8%
Collateralized
Mortgage
Obligations
4.5%
Angel
Oak
Mortgage
Trust
Series
2021-1,
Class
A1,
CMO,
ARM,
0.909%,
1/25/66 (1)
3,468
2,927
Angel
Oak
Mortgage
Trust
Series
2021-2,
Class
A1,
CMO,
ARM,
0.985%,
4/25/66 (1)
3,355
2,822
Angel
Oak
Mortgage
Trust
Series
2021-2,
Class
A2,
CMO,
ARM,
1.19%,
4/25/66 (1)
969
819
Angel
Oak
Mortgage
Trust
Series
2021-6,
Class
A3,
CMO,
ARM,
1.714%,
9/25/66 (1)
2,779
2,298
Angel
Oak
Mortgage
Trust
Series
2024-9,
Class
A2,
CMO,
STEP,
5.341%,
9/25/69 (1)
4,567
4,525
Bayview
Financing
Trust
Series
2024-2F,
Class
A,
CMO,
ARM,
8.10%,
9/25/29,
Acquisition
Date:
8/29/24,
Cost $6,123 (5)(6)
6,123
6,123
Bayview
MSR
Opportunity
Master
Fund
Trust
Series
2021-5,
Class
A5,
CMO,
ARM,
2.50%,
11/25/51 (1)
4,503
3,955
BINOM
Securitization
Trust
Series
2021-INV1,
Class
A3,
CMO,
ARM,
2.625%,
6/25/56 (1)
1,955
1,743
BRAVO
Residential
Funding
Trust
Series
2021-NQM3,
Class
A1,
CMO,
ARM,
1.699%,
4/25/60 (1)
2,965
2,772
CIM
Trust
Series
2020-INV1,
Class
A2,
CMO,
ARM,
2.50%,
4/25/50 (1)
3,828
3,189
Citigroup
Mortgage
Loan
Trust
Series
2020-EXP2,
Class
A3,
CMO,
ARM,
2.50%,
8/25/50 (1)
3,576
3,056
COLT
Mortgage
Loan
Trust
Series
2020-3,
Class
A1,
CMO,
ARM,
1.506%,
4/27/65 (1)
244
235
COLT
Mortgage
Loan
Trust
Series
2021-1,
Class
A3,
CMO,
ARM,
1.373%,
6/25/66 (1)
2,166
1,831
COLT
Mortgage
Loan
Trust
Series
2024-6,
Class
A2,
CMO,
STEP,
5.644%,
11/25/69 (1)
7,195
7,176
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
COLT
Mortgage
Loan
Trust
Series
2024-INV4,
Class
A3,
CMO,
STEP,
6.111%,
5/25/69 (1)
6,823
6,823
Connecticut
Avenue
Securities
Series
2018-C03,
Class
1EB2,
CMO,
ARM,
SOFR30A
+
0.964%,
5.699%,
10/25/30
128
128
Connecticut
Avenue
Securities
Series
2018-C03,
Class
1ED2,
CMO,
ARM,
SOFR30A
+
0.964%,
5.699%,
10/25/30
8
8
Cross
Mortgage
Trust
Series
2024-H6,
Class
A2,
CMO,
STEP,
5.383%,
9/25/69 (1)
4,691
4,652
Deephaven
Residential
Mortgage
Trust
Series
2021-1,
Class
A3,
CMO,
ARM,
1.128%,
5/25/65 (1)
701
660
Deephaven
Residential
Mortgage
Trust
Series
2021-2,
Class
A3,
CMO,
ARM,
1.26%,
4/25/66 (1)
1,385
1,226
EFMT
Series
2024-INV2,
Class
A1,
CMO,
ARM,
5.035%,
10/25/69 (1)
5,540
5,483
EFMT
Series
2024-INV2,
Class
A2,
CMO,
ARM,
5.289%,
10/25/69 (1)
1,913
1,895
EFMT
Series
2024-NQM1,
Class
A1B,
CMO,
STEP,
5.81%,
11/25/69 (1)
10,870
10,868
Ellington
Financial
Mortgage
Trust
Series
2019-2,
Class
A3,
CMO,
ARM,
3.046%,
11/25/59 (1)
354
340
Ellington
Financial
Mortgage
Trust
Series
2021-2,
Class
A3,
CMO,
ARM,
1.291%,
6/25/66 (1)
1,988
1,630
Ellington
Financial
Mortgage
Trust
Series
2021-3,
Class
A3,
CMO,
ARM,
1.55%,
9/25/66 (1)
1,972
1,609
Flagstar
Mortgage
Trust
Series
2020-1INV,
Class
A11,
CMO,
ARM,
1M
TSFR
+
0.964%,
5.552%,
3/25/50 (1)
1,461
1,380
Freddie
Mac
Whole
Loan
Securities
Trust
Series
2017-SC02,
Class
M1,
CMO,
ARM,
3.859%,
5/25/47 (1)
159
156
Galton
Funding
Mortgage
Trust
Series
2018-1,
Class
A33,
CMO,
ARM,
3.50%,
11/25/57 (1)
373
337
Galton
Funding
Mortgage
Trust
Series
2019-1,
Class
A32,
CMO,
ARM,
4.00%,
2/25/59 (1)
328
310
Galton
Funding
Mortgage
Trust
Series
2019-H1,
Class
M1,
CMO,
ARM,
3.339%,
10/25/59 (1)
7,916
7,523
Galton
Funding
Mortgage
Trust
Series
2020-H1,
Class
M1,
CMO,
ARM,
2.832%,
1/25/60 (1)
4,592
3,844
GS
Mortgage-Backed
Securities
Trust
Series
2014-EB1A,
Class
2A1,
CMO,
ARM,
5.896%,
7/25/44 (1)
60
60
Imperial
Fund
Mortgage
Trust
Series
2021-NQM2,
Class
A3,
CMO,
ARM,
1.516%,
9/25/56 (1)
3,135
2,618
Imperial
Fund
Mortgage
Trust
Series
2022-NQM4,
Class
A1,
CMO,
STEP,
4.767%,
6/25/67 (1)
8,452
8,395
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
JPMorgan
Mortgage
Trust
Series
2020-INV1,
Class
A11,
CMO,
ARM,
1M
TSFR
+
0.944%,
5.532%,
8/25/50 (1)
601
568
JPMorgan
Mortgage
Trust
Series
2020-INV1,
Class
A15,
CMO,
ARM,
3.50%,
8/25/50 (1)
989
885
MFA
Trust
Series
2021-INV1,
Class
A1,
CMO,
ARM,
0.852%,
1/25/56 (1)
899
859
MFA
Trust
Series
2021-NQM2,
Class
A1,
CMO,
ARM,
1.029%,
11/25/64 (1)
2,428
2,131
MFA
Trust
Series
2021-NQM2,
Class
A2,
CMO,
ARM,
1.317%,
11/25/64 (1)
1,396
1,227
New
Residential
Mortgage
Loan
Trust
Series
2021-INV2,
Class
A7,
CMO,
ARM,
2.50%,
9/25/51 (1)
9,530
8,429
OBX
Trust
Series
2019-EXP2,
Class
2A2,
CMO,
ARM,
1M
TSFR
+
1.314%,
6.052%,
6/25/59 (1)
164
164
OBX
Trust
Series
2019-EXP3,
Class
2A1,
CMO,
ARM,
1M
TSFR
+
1.014%,
5.602%,
10/25/59 (1)
679
686
OBX
Trust
Series
2020-EXP1,
Class
1A8,
CMO,
ARM,
3.50%,
2/25/60 (1)
2,162
1,919
OBX
Trust
Series
2020-EXP1,
Class
2A2,
CMO,
ARM,
1M
TSFR
+
1.064%,
5.652%,
2/25/60 (1)
276
265
OBX
Trust
Series
2020-EXP2,
Class
A8,
CMO,
ARM,
3.00%,
5/25/60 (1)
2,383
2,058
OBX
Trust
Series
2020-EXP2,
Class
A9,
CMO,
ARM,
3.00%,
5/25/60 (1)
360
310
OBX
Trust
Series
2020-EXP3,
Class
1A8,
CMO,
ARM,
3.00%,
1/25/60 (1)
1,986
1,747
OBX
Trust
Series
2020-INV1,
Class
A5,
CMO,
ARM,
3.50%,
12/25/49 (1)
573
514
OBX
Trust
Series
2021-NQM1,
Class
A2,
CMO,
ARM,
1.175%,
2/25/66 (1)
2,573
2,261
OBX
Trust
Series
2023-NQM10,
Class
A2,
CMO,
STEP,
6.92%,
10/25/63 (1)
796
805
OBX
Trust
Series
2024-NQM17,
Class
A3,
CMO,
STEP,
6.015%,
11/25/64 (1)
4,020
4,020
Oceanview
Mortgage
Trust
Series
2022-1,
Class
A5,
CMO,
ARM,
2.50%,
12/25/51 (1)
5,011
4,400
RCKT
Mortgage
Trust
Series
2024-CES8,
Class
A1A,
CMO,
STEP,
5.49%,
11/25/44 (1)
7,790
7,764
Sequoia
Mortgage
Trust
Series
2018-CH2,
Class
A21,
CMO,
ARM,
4.00%,
6/25/48 (1)
283
264
Sequoia
Mortgage
Trust
Series
2018-CH2,
Class
A3,
CMO,
ARM,
4.00%,
6/25/48 (1)
741
690
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
Sequoia
Mortgage
Trust
Series
2018-CH3,
Class
A19,
CMO,
ARM,
4.50%,
8/25/48 (1)
31
30
SG
Residential
Mortgage
Trust
Series
2020-2,
Class
A1,
CMO,
ARM,
1.381%,
5/25/65 (1)
1,138
1,021
Starwood
Mortgage
Residential
Trust
Series
2019-INV1,
Class
A3,
CMO,
ARM,
2.916%,
9/27/49 (1)
1,386
1,366
Starwood
Mortgage
Residential
Trust
Series
2020-1,
Class
A2,
CMO,
ARM,
2.408%,
2/25/50 (1)
2,313
2,202
Starwood
Mortgage
Residential
Trust
Series
2021-2,
Class
A1,
CMO,
ARM,
0.943%,
5/25/65 (1)
1,517
1,406
Starwood
Mortgage
Residential
Trust
Series
2021-4,
Class
A1,
CMO,
ARM,
1.162%,
8/25/56 (1)
7,250
6,439
Structured
Agency
Credit
Risk
Debt
Notes
Series
2021-DNA5,
Class
M2,
CMO,
ARM,
SOFR30A
+
1.65%,
6.384%,
1/25/34 (1)
1,671
1,681
Structured
Agency
Credit
Risk
Debt
Notes
Series
2022-DNA5,
Class
M1A,
CMO,
ARM,
SOFR30A
+
2.95%,
7.684%,
6/25/42 (1)
5,051
5,197
Structured
Agency
Credit
Risk
Debt
Notes
Series
2023-HQA3,
Class
A1,
CMO,
ARM,
SOFR30A
+
1.85%,
6.584%,
11/25/43 (1)
1,898
1,920
Structured
Agency
Credit
Risk
Debt
Notes
Series
2024-HQA1,
Class
A1,
CMO,
ARM,
SOFR30A
+
1.25%,
5.984%,
3/25/44 (1)
8,296
8,308
UWM
Mortgage
Trust
Series
2021-INV2,
Class
A4,
CMO,
ARM,
2.50%,
9/25/51 (1)
1,931
1,697
Verus
Securitization
Trust
Series
2020-5,
Class
A3,
CMO,
STEP,
2.733%,
5/25/65 (1)
766
736
Verus
Securitization
Trust
Series
2021-1,
Class
A2,
CMO,
ARM,
1.052%,
1/25/66 (1)
1,378
1,224
Verus
Securitization
Trust
Series
2021-1,
Class
A3,
CMO,
ARM,
1.155%,
1/25/66 (1)
814
723
Verus
Securitization
Trust
Series
2021-2,
Class
A1,
CMO,
ARM,
1.031%,
2/25/66 (1)
1,839
1,640
Verus
Securitization
Trust
Series
2021-5,
Class
A3,
CMO,
ARM,
1.373%,
9/25/66 (1)
2,659
2,268
Verus
Securitization
Trust
Series
2021-R1,
Class
A2,
CMO,
ARM,
1.057%,
10/25/63 (1)
458
432
Verus
Securitization
Trust
Series
2021-R2,
Class
A1,
CMO,
ARM,
0.918%,
2/25/64 (1)
1,958
1,780
Verus
Securitization
Trust
Series
2022-1,
Class
A3,
CMO,
ARM,
3.288%,
1/25/67 (1)
7,548
6,829
Verus
Securitization
Trust
Series
2022-6,
Class
A1,
CMO,
STEP,
4.91%,
6/25/67 (1)
4,310
4,291
Verus
Securitization
Trust
Series
2023-4,
Class
A2,
CMO,
STEP,
6.116%,
5/25/68 (1)
682
682
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
Verus
Securitization
Trust
Series
2023-6,
Class
A2,
CMO,
STEP,
6.939%,
9/25/68 (1)
2,443
2,471
Verus
Securitization
Trust
Series
2023-7,
Class
A2,
CMO,
STEP,
7.272%,
10/25/68 (1)
4,622
4,700
Verus
Securitization
Trust
Series
2023-8,
Class
A2,
CMO,
STEP,
6.664%,
12/25/68 (1)
1,050
1,059
Verus
Securitization
Trust
Series
2023-INV3,
Class
A2,
CMO,
ARM,
7.33%,
11/25/68 (1)
3,646
3,718
Vista
Point
Securitization
Trust
Series
2020-2,
Class
A3,
CMO,
ARM,
2.496%,
4/25/65 (1)
527
501
209,703
Commercial
Mortgage-Backed
Securities
4.2%
Alen
Mortgage
Trust
Series
2021-ACEN,
Class
A,
ARM,
1M
TSFR
+
1.264%,
5.874%,
4/15/34 (1)
2,610
2,369
BANK
Series
2019-BN19,
Class
A1,
2.263%,
8/15/61
279
256
BANK
Series
2024-BNK47,
Class
A1,
5.523%,
6/15/57
1,105
1,121
BANK5
Series
2024-5YR10,
Class
AS,
5.637%,
10/15/57
3,465
3,522
BANK5
Series
2024-5YR11,
Class
AS,
6.139%,
11/15/57
3,815
3,962
BANK5
Series
2024-5YR12,
Class
A3,
ARM,
5.902%,
12/15/57
2,230
2,321
BANK5
Series
2024-5YR12,
Class
AS,
ARM,
6.122%,
12/15/57
5,935
6,178
BANK5
Series
2024-5YR8,
Class
AS,
ARM,
6.378%,
8/15/57
4,470
4,667
BANK5
Series
2024-5YR9,
Class
A1,
4.889%,
8/15/57
4,337
4,329
BBCMS
Mortgage
Trust
Series
2024-5C27,
Class
A1,
5.502%,
7/15/57
1,493
1,503
BCP
Trust
Series
2021-330N,
Class
A,
ARM,
1M
TSFR
+
0.913%,
5.523%,
6/15/38 (1)
4,285
3,968
Benchmark
Mortgage
Trust
Series
2024-V11,
Class
AM,
6.201%,
11/15/57
3,235
3,366
Benchmark
Mortgage
Trust
Series
2024-V6,
Class
A1,
5.568%,
3/15/57
1,890
1,908
Benchmark
Mortgage
Trust
Series
2024-V8,
Class
A1,
5.514%,
7/15/57
2,791
2,822
Benchmark
Mortgage
Trust
Series
2024-V9,
Class
AS,
ARM,
6.064%,
8/15/57
2,455
2,534
BMO
Mortgage
Trust
Series
2024-5C5,
Class
AS,
ARM,
6.364%,
2/15/57
6,325
6,591
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
BMO
Mortgage
Trust
Series
2024-C8,
Class
A1,
5.542%,
3/15/57
2,201
2,217
BPR
Trust
Series
2021-TY,
Class
B,
ARM,
1M
TSFR
+
1.264%,
5.874%,
9/15/38 (1)
6,525
6,461
BSREP
Commercial
Mortgage
Trust
Series
2021-DC,
Class
D,
ARM,
1M
TSFR
+
2.014%,
6.624%,
8/15/38 (1)
5,464
3,939
BX
Commercial
Mortgage
Trust
Series
2024-MDHS,
Class
A,
ARM,
1M
TSFR
+
1.641%,
6.251%,
5/15/41 (1)
5,494
5,511
BX
Commercial
Mortgage
Trust
Series
2024-MDHS,
Class
B,
ARM,
1M
TSFR
+
1.841%,
6.45%,
5/15/41 (1)
5,397
5,402
BX
Trust
Series
2021-VIEW,
Class
A,
ARM,
1M
TSFR
+
1.394%,
6.003%,
6/15/36 (1)
3,785
3,739
CAMB
Commercial
Mortgage
Trust
Series
2019-LIFE,
Class
A,
ARM,
1M
TSFR
+
1.367%,
5.977%,
12/15/37 (1)
5,640
5,640
Commercial
Mortgage
Trust
Series
2014-CR15,
Class
B,
ARM,
4.027%,
2/10/47
3,350
3,231
Commercial
Mortgage
Trust
Series
2014-CR19,
Class
D,
ARM,
4.69%,
8/10/47 (1)
1,163
1,104
Credit
Suisse
Mortgage
Trust
Series
2020-NET,
Class
A,
2.257%,
8/15/37 (1)
1,724
1,664
Federal
Home
Loan
Mortgage
Multifamily
Structured
PTC
Series
K753,
Class
A1,
4.60%,
6/25/30
3,891
3,909
GS
Mortgage
Securities
Trust
Series
2021-ROSS,
Class
B,
ARM,
1M
TSFR
+
1.864%,
6.474%,
5/15/26 (1)
5,705
4,779
HILT
Commercial
Mortgage
Trust
Series
2024-ORL,
Class
B,
ARM,
1M
TSFR
+
1.941%,
6.55%,
5/15/37 (1)
5,885
5,881
HYT
Commercial
Mortgage
Trust
Series
2024-RGCY,
Class
A,
ARM,
1M
TSFR
+
1.841%,
6.451%,
9/15/41 (1)
3,055
3,050
JPMorgan
Chase
Commercial
Mortgage
Securities
Trust
Series
2019-BKWD,
Class
C,
ARM,
1M
TSFR
+
2.214%,
6.824%,
9/15/29 (1)
3,975
3,379
JPMorgan
Chase
Commercial
Mortgage
Securities
Trust
Series
2020-609M,
Class
B,
ARM,
1M
TSFR
+
2.134%,
6.744%,
10/15/33 (1)
8,240
7,911
JPMorgan
Chase
Commercial
Mortgage
Securities
Trust
Series
2020-609M,
Class
C,
ARM,
1M
TSFR
+
2.534%,
7.144%,
10/15/33 (1)
6,310
5,805
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
KIND
Trust
Series
2021-KIND,
Class
C,
ARM,
1M
TSFR
+
1.864%,
6.474%,
8/15/38 (1)
8,406
8,292
LSTAR
Commercial
Mortgage
Trust
Series
2017-5,
Class
AS,
4.021%,
3/10/50 (1)
4,905
4,585
MED
Commercial
Mortgage
Trust
Series
2024-MOB,
Class
A,
ARM,
1M
TSFR
+
1.592%,
6.201%,
5/15/41 (1)
6,250
6,234
MHC
Commercial
Mortgage
Trust
Series
2021-MHC,
Class
B,
ARM,
1M
TSFR
+
1.215%,
5.824%,
4/15/38 (1)
8,836
8,811
Morgan
Stanley
Capital
I
Trust
Series
2014-150E,
Class
A,
3.912%,
9/9/32 (1)
9,590
8,391
ONE
Mortgage
Trust
Series
2021-PARK,
Class
B,
ARM,
1M
TSFR
+
1.064%,
5.673%,
3/15/36 (1)
11,219
10,847
ONE
Mortgage
Trust
Series
2021-PARK,
Class
C,
ARM,
1M
TSFR
+
1.214%,
5.823%,
3/15/36 (1)
6,005
5,770
RLGH
Trust
Series
2021-TROT,
Class
A,
ARM,
1M
TSFR
+
0.914%,
5.524%,
4/15/36 (1)
5,580
5,542
SDR
Commercial
Mortgage
Trust
Series
2024-DSNY,
Class
B,
ARM,
1M
TSFR
+
1.741%,
6.35%,
5/15/39 (1)
4,880
4,826
TX
Trust
Series
2024-HOU,
Class
B,
ARM,
1M
TSFR
+
2.091%,
6.70%,
6/15/39 (1)
6,490
6,466
Wells
Fargo
Commercial
Mortgage
Trust
Series
2015-NXS2,
Class
A2,
3.02%,
7/15/58
871
866
195,669
Residential
Mortgage
0.1%
Finance
of
America
HECM
Buyout
Series
2024-HB1,
Class
A1A,
ARM,
4.00%,
10/1/34 (1)
6,986
6,839
Towd
Point
Mortgage
Trust
Series
2017-3,
Class
A1,
CMO,
ARM,
2.75%,
7/25/57 (1)
219
217
Towd
Point
Mortgage
Trust
Series
2018-1,
Class
A1,
CMO,
ARM,
3.00%,
1/25/58 (1)
407
400
7,456
Total
Non-U.S.
Government
Mortgage-Backed
Securities
(Cost
$434,201)
412,828
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
U.S.
GOVERNMENT
&
AGENCY
MORTGAGE-BACKED
SECURITIES
5.5%
U.S.
Government
Agency
Obligations
4.5%
Federal
Home
Loan
Mortgage
3.50%,
3/1/46
-
12/1/47
3,341
3,091
5.00%,
7/1/25
—
—
5.50%,
10/1/38
17
18
6.00%,
9/1/34
-
9/1/35
285
295
7.00%,
3/1/39
442
460
7.50%,
6/1/38
378
395
Federal
Home
Loan
Mortgage,
ARM
1Y
CMT
+
2.219%,
6.719%,
10/1/33
—
—
1Y
CMT
+
2.347%,
6.681%,
11/1/34
50
51
RFUCCT1Y
+
1.625%,
6.848%,
4/1/37
4
5
RFUCCT1Y
+
1.625%,
7.26%,
6/1/38
112
113
RFUCCT1Y
+
1.625%,
7.457%,
6/1/38
17
17
RFUCCT1Y
+
1.726%,
7.597%,
7/1/35
31
31
RFUCCT1Y
+
1.733%,
6.108%,
2/1/37
19
20
RFUCCT1Y
+
1.733%,
7.606%,
10/1/36
71
73
RFUCCT1Y
+
1.742%,
7.03%,
5/1/38
57
58
RFUCCT1Y
+
1.775%,
7.232%,
5/1/37
25
25
RFUCCT1Y
+
1.842%,
6.091%,
1/1/37
33
34
RFUCCT1Y
+
1.916%,
6.291%,
2/1/37
18
18
RFUCCT1Y
+
1.944%,
6.204%,
12/1/36
45
46
RFUCCT1Y
+
1.961%,
6.461%,
2/1/33
1
1
RFUCCT1Y
+
1.975%,
6.225%,
2/1/34
1
1
RFUCCT1Y
+
2.031%,
6.565%,
11/1/36
29
29
RFUCCT1Y
+
2.083%,
6.582%,
2/1/38
118
120
RFUCCT1Y
+
2.22%,
6.558%,
2/1/37
29
30
Federal
Home
Loan
Mortgage,
UMBS
1.50%,
2/1/36
4,587
4,026
2.50%,
1/1/52
7,673
6,501
3.00%,
11/1/34
-
6/1/52
10,165
8,918
4.00%,
12/1/49
-
2/1/50
1,868
1,774
4.50%,
5/1/50
-
10/1/52
43,171
41,519
5.00%,
12/1/41
1,464
1,483
5.50%,
8/1/53
7,022
7,042
6.00%,
9/1/53
7,746
7,878
Federal
National
Mortgage
Assn.,
ARM
ECOFC
+
1.254%,
4.563%,
7/1/27
1
1
RFUCCT1Y
+
1.34%,
5.59%,
12/1/35
20
20
RFUCCT1Y
+
1.539%,
6.836%,
7/1/35
20
20
RFUCCT1Y
+
1.584%,
6.331%,
12/1/35
50
51
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
RFUCCT1Y
+
1.655%,
7.529%,
8/1/37
8
8
RFUCCT1Y
+
1.672%,
6.047%,
2/1/33
2
2
RFUCCT1Y
+
1.674%,
6.727%,
7/1/34
3
3
RFUCCT1Y
+
1.69%,
7.44%,
5/1/38
52
52
RFUCCT1Y
+
1.715%,
5.965%,
12/1/32
19
20
RFUCCT1Y
+
1.715%,
6.715%,
10/1/32
12
12
RFUCCT1Y
+
1.77%,
6.145%,
12/1/35
7
7
RFUCCT1Y
+
1.78%,
6.03%,
1/1/34
10
11
RFUCCT1Y
+
1.788%,
6.538%,
5/1/38
27
27
RFUCCT1Y
+
1.83%,
6.989%,
4/1/38
60
61
RFUCCT1Y
+
1.83%,
7.58%,
8/1/38
3
3
RFUCCT1Y
+
1.853%,
7.603%,
8/1/38
11
11
RFUCCT1Y
+
1.853%,
7.631%,
8/1/38
50
51
RFUCCT1Y
+
1.892%,
6.381%,
12/1/35
18
18
RFUCCT1Y
+
1.906%,
7.281%,
5/1/38
66
67
RFUCCT6M
+
1.371%,
6.768%,
10/1/33
176
178
Federal
National
Mortgage
Assn.,
CMO,
STEP,
5.11%,
1/25/32
—
—
Federal
National
Mortgage
Assn.,
UMBS
2.00%,
10/1/50
2,336
1,888
2.50%,
1/1/52
-
1/1/54
11,672
9,852
3.00%,
9/1/28
-
2/1/35
3,966
3,805
3.50%,
12/1/45
-
1/1/52
10,595
9,711
4.00%,
1/1/47
-
9/1/52
16,243
15,232
4.50%,
5/1/41
-
1/1/50
9,797
9,579
5.00%,
6/1/35
-
9/1/54
42,023
41,445
5.50%,
1/1/25
-
10/1/54
23,346
23,493
6.00%,
3/1/34
-
6/1/54
12,405
12,794
6.50%,
7/1/32
-
12/1/32
195
203
212,697
U.S.
Government
Obligations
1.0%
Government
National
Mortgage
Assn.
2.00%,
3/20/52
490
403
3.00%,
9/20/47
6,046
5,425
3.50%,
8/20/44
-
7/20/52
12,326
11,305
4.00%,
9/20/45
-
10/20/52
4,437
4,207
5.00%,
12/20/34
-
5/20/48
5,244
5,267
5.50%,
9/15/45
-
2/20/49
2,183
2,238
6.00%,
7/15/36
1,006
1,051
Government
National
Mortgage
Assn.,
TBA (7)
5.00%,
12/20/54
3,340
3,291
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
5.50%,
12/20/54
12,345
12,356
45,543
Total
U.S.
Government
&
Agency
Mortgage-Backed
Securities
(Cost
$268,258)
258,240
U.S.
GOVERNMENT
AGENCY
OBLIGATIONS
(EXCLUDING
MORTGAGE-BACKED)
20.7%
U.S.
Treasury
Obligations
20.7%
U.S.
Treasury
Notes,
3.50%,
9/30/26 (8)
264,585
261,319
U.S.
Treasury
Notes,
3.75%,
8/31/26
223,350
221,535
U.S.
Treasury
Notes,
4.125%,
10/31/26 (4)
262,515
262,146
U.S.
Treasury
Notes,
4.375%,
7/31/26
220,140
220,622
Total
U.S.
Government
Agency
Obligations
(Excluding
Mortgage-Backed)
(Cost
$969,607)
965,622
SHORT-TERM
INVESTMENTS
3.1%
Commercial
Paper
1.5%
4(2)
1.5%
(9)
Brunswick,
5.107%,
12/2/24
13,605
13,600
Conagra
Foods,
5.06%,
12/10/24
13,630
13,609
Constellation
Brands,
4.938%,
12/10/24
13,565
13,544
Crown
Castle
International,
5.22%,
12/3/24
13,550
13,543
FMC,
5.275%,
12/23/24
13,475
13,427
67,723
Money
Market
Funds
1.6%
T.
Rowe
Price
Government
Reserve
Fund,
4.67% (10)(11)
76,311
76,311
76,311
Total
Short-Term
Investments
(Cost
$144,053)
144,034
T.
ROWE
PRICE
Short-Term
Bond
Fund
Par/Shares
$
Value
(Amounts
in
000s)
SECURITIES
LENDING
COLLATERAL
5.3%
INVESTMENTS
IN
A
POOLED
ACCOUNT
THROUGH
SECURITIES
LENDING
PROGRAM
WITH
STATE
STREET
BANK
AND
TRUST
COMPANY 5.3%
Money
Market
Funds 5.3%
T.
Rowe
Price
Government
Reserve
Fund,
4.67% (10)(11)
249,216
249,216
Total
Investments
in
a
Pooled
Account
through
Securities
Lending
Program
with
State
Street
Bank
and
Trust
Company
249,216
Total
Securities
Lending
Collateral
(Cost
$249,216)
249,216
Total
Investments
in
Securities
105.7%
of
Net
Assets
(Cost
$4,979,987)
$
4,942,725
‡
Par/Shares
and
Notional
Amount
are
denominated
in
U.S.
dollars
unless
otherwise
noted.
(1)
Security
was
purchased
pursuant
to
Rule
144A
under
the
Securities
Act
of
1933
and
may
be
resold
in
transactions
exempt
from
registration
only
to
qualified
institutional
buyers.
Total
value
of
such
securities
at
period-end
amounts
to
$1,726,537
and
represents
36.9%
of
net
assets.
(2)
All
or
a
portion
of
this
loan
is
unsettled
as
of
November
30,
2024.
The
interest
rate
for
unsettled
loans
will
be
determined
upon
settlement
after
period
end.
(3)
Security
is
a
fix-to-float
security,
which
carries
a
fixed
coupon
until
a
certain
date,
upon
which
it
switches
to
a
floating
rate.
Reference
rate
and
spread
are
provided
if
the
rate
is
currently
floating.
(4)
See
Note
4
.
All
or
a
portion
of
this
security
is
on
loan
at
November
30,
2024.
(5)
See
Note
2.
Level
3
in
fair
value
hierarchy.
(6)
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
$6,123
and
represents
0.1%
of
net
assets.
(7)
See
Note
Footnote
4.
To-Be-Announced
purchase
commitment.
Total
value
of
such
securities
at
period-end
amounts
to
$15,647
and
represents
0.3%
of
net
assets.
(8)
At
November
30,
2024,
all
or
a
portion
of
this
security
is
pledged
as
collateral
and/or
margin
deposit
to
cover
future
funding
obligations.
T.
ROWE
PRICE
Short-Term
Bond
Fund
.
.
.
.
.
.
.
.
.
.
(9)
Commercial
paper
exempt
from
registration
under
Section
4(2)
of
the
Securities
Act
of
1933
and
may
be
resold
in
transactions
exempt
from
registration
only
to
dealers
in
that
program
or
other
"accredited
investors".
Total
value
of
such
securities
at
period-end
amounts
to
$67,723
and
represents
1.5%
of
net
assets.
(10)
Seven-day
yield
(11)
Affiliated
Companies
1M
TSFR
One
month
term
SOFR
(Secured
overnight
financing
rate)
3M
TSFR
Three
month
term
SOFR
(Secured
overnight
financing
rate)
1Y
CMT
One
year
U.S.
Treasury
note
constant
maturity
ARM
Adjustable
Rate
Mortgage
(ARM);
rate
shown
is
effective
rate
at
period-end.
The
rates
for
certain
ARMs
are
not
based
on
a
published
reference
rate
and
spread
but
may
be
determined
using
a
formula
based
on
the
rates
of
the
underlying
loans.
CLO
Collateralized
Loan
Obligation
CMO
Collateralized
Mortgage
Obligation
ECOFC
Enterprise
11th
District
COFI
Replacement
Index
FRN
Floating
Rate
Note
PTC
Pass-Through
Certificate
PTT
Pass-Through
Trust
RFUCCT6M
Six
month
Refinitiv
USD
IBOR
Consumer
Cash
Fallback
RFUCCT1Y
Twelve
month
Refinitiv
USD
IBOR
Consumer
Cash
Fallback
SOFR
Secured
overnight
financing
rate
SOFR30A
30-day
Average
SOFR
(Secured
overnight
financing
rate)
SOFR90A
90-day
Average
SOFR
(Secured
overnight
financing
rate)
STEP
Stepped
coupon
bond
for
which
the
coupon
rate
of
interest
adjusts
on
specified
date(s);
rate
shown
is
effective
rate
at
period-end.
TBA
To-Be-Announced
UMBS
Uniform
Mortgage-Backed
Securities
VR
Variable
Rate;
rate
shown
is
effective
rate
at
period-end.
The
rates
for
certain
variable
rate
securities
are
not
based
on
a
published
reference
rate
and
spread
but
are
determined
by
the
issuer
or
agent
and
based
on
current
market
conditions.
T.
ROWE
PRICE
Short-Term
Bond
Fund
(Amounts
in
000s)
SWAPS
0.1%
Description
Notional
Amount
$
Value
Upfront
Payments/
$
(Receipts)
Unrealized
$
Gain/(Loss)
BILATERAL
SWAPS
(0.0)%
Credit
Default
Swaps,
Protection
Bought
(0.0)%
Bank
of
America,
Protection
Bought
(Relevant
Credit:
General
Mills),
Pay
1.00%
Quarterly,
Receive
upon
credit
default,
12/20/24
4,857
(12)
(1)
(11)
Barclays
Bank,
Protection
Bought
(Relevant
Credit:
Omnicom
Group),
Pay
1.00%
Quarterly,
Receive
upon
credit
default,
12/20/24
13,750
(35)
(5)
(30)
Citibank,
Protection
Bought
(Relevant
Credit:
General
Mills),
Pay
1.00%
Quarterly,
Receive
upon
credit
default,
12/20/24
6,938
(18)
(3)
(15)
Goldman
Sachs,
Protection
Bought
(Relevant
Credit:
General
Mills),
Pay
1.00%
Quarterly,
Receive
upon
credit
default,
12/20/24
13,815
(35)
(5)
(30)
Total
Bilateral
Credit
Default
Swaps,
Protection
Bought
(14)
(86)
Total
Bilateral
Swaps
(14)
(86)
Description
Notional
Amount
$
Value
Initial
$
Value
**
Unrealized
$
Gain/(Loss)
CENTRALLY
CLEARED
SWAPS
0.1%
Credit
Default
Swaps,
Protection
Sold
0.1%
Protection
Sold
(Relevant
Credit:
Markit
CDX.NA.IG-S43,
5
Year
Index),
Receive
1.00%
Quarterly,
Pay
upon
credit
default,
12/20/29
117,930
3,049
2,687
362
Total
Centrally
Cleared
Credit
Default
Swaps,
Protection
Sold
362
Total
Centrally
Cleared
Swaps
362
Net
payments
(receipts)
of
variation
margin
to
date
(322)
Variation
margin
receivable
(payable)
on
centrally
cleared
swaps
$
40
**
Includes
interest
purchased
or
sold
but
not
yet
collected
of
$46.
T.
ROWE
PRICE
Short-Term
Bond
Fund
FUTURES
CONTRACTS
($000s)
Expiration
Date
Notional
Amount
Value
and
Unrealized
Gain
(Loss)
Short,
1,116
U.S.
Treasury
Notes
five
year
contracts
3/25
(120,083)
$
(952)
Short,
1,149
U.S.
Treasury
Notes
ten
year
contracts
3/25
(127,755)
(652)
Long,
6,566
U.S.
Treasury
Notes
two
year
contracts
3/25
1,353,314
3,889
Short,
177
Ultra
U.S.
Treasury
Bonds
contracts
3/25
(22,512)
(358)
Short,
569
Ultra
U.S.
Treasury
Notes
ten
year
contracts
3/25
(65,319)
(1,099)
Net
payments
(receipts)
of
variation
margin
to
date
(909)
Variation
margin
receivable
(payable)
on
open
futures
contracts
$
(81)
T.
ROWE
PRICE
Short-Term
Bond
Fund
The
accompanying
notes
are
an
integral
part
of
these
financial
statements.
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
six
months
ended
November
30,
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,
4.67%
$
—
$
—
$
1,669++
Totals
$
—#
$
—
$
1,669+
Supplementary
Investment
Schedule
Affiliate
Value
5/31/24
Purchase
Cost
Sales
Cost
Value
11/30/24
T.
Rowe
Price
Government
Reserve
Fund,
4.67%
$
83,789
¤
¤
$
325,527
Total
$
325,527^
#
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
as
described
in
Note
4
.
+
Investment
income
comprised
$1,669
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
$325,527.
T.
ROWE
PRICE
Short-Term
Bond
Fund
November
30,
2024
(Unaudited)
Statement
of
Assets
and
Liabilities
($000s,
except
shares
and
per
share
amounts)
Assets
Investments
in
securities,
at
value
(cost
$4,979,987)
$
4,942,725
Interest
receivable
32,050
Receivable
for
investment
securities
sold
7,547
Receivable
for
shares
sold
3,723
Cash
464
Variation
margin
receivable
on
centrally
cleared
swaps
40
Foreign
currency
(cost
$1)
1
Other
assets
50,423
Total
assets
5,036,973
Liabilities
Obligation
to
return
securities
lending
collateral
299,553
Payable
for
investment
securities
purchased
47,125
Payable
for
shares
redeemed
9,766
Investment
management
fees
payable
1,127
Due
to
affiliates
113
Unrealized
loss
on
bilateral
swaps
86
Variation
margin
payable
on
futures
contracts
81
Bilateral
swap
premiums
received
14
Payable
to
directors
2
Other
liabilities
1,567
Total
liabilities
359,434
NET
ASSETS
$
4,677,539
T.
ROWE
PRICE
Short-Term
Bond
Fund
November
30,
2024
(Unaudited)
Statement
of
Assets
and
Liabilities
($000s,
except
shares
and
per
share
amounts)
The
accompanying
notes
are
an
integral
part
of
these
financial
statements.
Net
Assets
Consist
of:
Total
distributable
earnings
(loss)
$
(233,802)
Paid-in
capital
applicable
to
1,015,942,273
shares
of
$0.01
par
value
capital
stock
outstanding;
6,000,000,000
shares
authorized
4,911,341
NET
ASSETS
$
4,677,539
NET
ASSET
VALUE
PER
SHARE
Investor
Class
(Net
assets:
$1,312,372;
Shares
outstanding:
285,198,746)
$
4.60
Advisor
Class
(Net
assets:
$6,860;
Shares
outstanding:
1,488,181)
$
4.61
I
Class
(Net
assets:
$3,044,555;
Shares
outstanding:
661,063,753)
$
4.61
Z
Class
(Net
assets:
$313,752;
Shares
outstanding:
68,191,593)
$
4.60
T.
ROWE
PRICE
Short-Term
Bond
Fund
(Unaudited)
6
Months
Ended
11/30/24
Investment
Income
(Loss)
Income
.
Interest
$
106,960
Dividend
1,669
Securities
lending
95
Other
1
Total
income
108,725
Expenses
Investment
management
6,933
Shareholder
servicing
Investor
Class
$
1,066
Advisor
Class
8
I
Class
420
1,494
Rule
12b-1
fees
Advisor
Class
8
Prospectus
and
shareholder
reports
Investor
Class
29
I
Class
20
49
Custody
and
accounting
160
Registration
50
Legal
and
audit
19
Directors
8
Miscellaneous
15
Waived
/
paid
by
Price
Associates
(478)
Total
expenses
8,258
Net
investment
income
100,467
T.
ROWE
PRICE
Short-Term
Bond
Fund
(Unaudited)
The
accompanying
notes
are
an
integral
part
of
these
financial
statements.
6
Months
Ended
11/30/24
Realized
and
Unrealized
Gain
/
Loss
–
Net
realized
gain
(loss)
Securities
5,387
Futures
3,935
Swaps
409
Net
realized
gain
9,731
Change
in
net
unrealized
gain
/
loss
Securities
48,909
Futures
(148)
Swaps
194
Change
in
net
unrealized
gain
/
loss
48,955
Net
realized
and
unrealized
gain
/
loss
58,686
INCREASE
IN
NET
ASSETS
FROM
OPERATIONS
$
159,153
T.
ROWE
PRICE
Short-Term
Bond
Fund
(Unaudited)
Statement
of
Changes
in
Net
Assets
6
Months
Ended
11/30/24
Year
Ended
5/31/24
Increase
(Decrease)
in
Net
Assets
Operations
Net
investment
income
$
100,467
$
172,787
Net
realized
gain
(loss)
9,731
(75,001)
Change
in
net
unrealized
gain
/
loss
48,955
115,723
Increase
in
net
assets
from
operations
159,153
213,509
Distributions
to
shareholders
Net
earnings
Investor
Class
(27,673)
(51,138)
Advisor
Class
(131)
(250)
I
Class
(65,280)
(110,595)
Z
Class
(7,228)
(10,408)
Decrease
in
net
assets
from
distributions
(100,312)
(172,391)
Capital
share
transactions
*
Shares
sold
Investor
Class
110,194
183,004
Advisor
Class
644
1,489
I
Class
753,998
704,850
Z
Class
8,646
154,464
Distributions
reinvested
Investor
Class
21,786
41,217
Advisor
Class
127
245
I
Class
59,415
100,077
Z
Class
7,186
10,489
Shares
redeemed
Investor
Class
(164,976)
(431,561)
Advisor
Class
(946)
(2,902)
I
Class
(847,958)
(760,716)
Z
Class
(16,343)
(8,206)
Decrease
in
net
assets
from
capital
share
transactions
(68,227)
(7,550)
T.
ROWE
PRICE
Short-Term
Bond
Fund
(Unaudited)
Statement
of
Changes
in
Net
Assets
The
accompanying
notes
are
an
integral
part
of
these
financial
statements.
6
Months
Ended
11/30/24
Year
Ended
5/31/24
Net
Assets
Increase
(decrease)
during
period
(9,386)
33,568
Beginning
of
period
4,686,925
4,653,357
End
of
period
$
4,677,539
$
4,686,925
*Share
information
(000s)
Shares
sold
Investor
Class
23,942
40,481
Advisor
Class
140
329
I
Class
163,892
155,625
Z
Class
1,875
34,459
Distributions
reinvested
Investor
Class
4,738
9,118
Advisor
Class
27
54
I
Class
12,907
22,109
Z
Class
1,563
2,317
Shares
redeemed
Investor
Class
(35,872)
(95,550)
Advisor
Class
(205)
(641)
I
Class
(184,315)
(168,366)
Z
Class
(3,542)
(1,814)
Decrease
in
shares
outstanding
(14,850)
(1,879)
T.
ROWE
PRICE
Short-Term
Bond
Fund
Unaudited
NOTES
TO
FINANCIAL
STATEMENTS
T.
Rowe
Price
Short-Term
Bond
Fund,
Inc. (the
corporation) is
registered
under
the
Investment
Company
Act
of
1940
(the
1940
Act).
The
Short-Term
Bond
Fund
(the
fund)
is a
diversified, open-end
management
investment
company
established
by
the
corporation. The
fund
seeks a
high
level
of
income
consistent
with
minimal
fluctuation
in
principal
value
and
liquidity.
The
fund
has four classes
of
shares:
the
Short-Term
Bond
Fund
(Investor
Class),
the
Short-Term
Bond
Fund–Advisor
Class
(Advisor
Class),
the
Short-Term
Bond
Fund–I
Class
(I
Class)
and
the
Short-Term
Bond
Fund–Z
Class
(Z
Class).
Advisor
Class
shares
are
sold
only
through
various
brokers
and
other
financial
intermediaries.
I
Class
shares
require
a
$500,000
initial
investment
minimum,
although
the
minimum
generally
is
waived
or
reduced
for
financial
intermediaries,
eligible
retirement
plans,
and
certain
other
accounts.
The
Z
Class
is
only
available
to
funds
advised
by
T.
Rowe
Price
Associates,
Inc.
and
its
affiliates
and
other
clients
that
are
subject
to
a
contractual
fee
for
investment
management
services.
The
Advisor
Class
operates
under
a
Board-approved
Rule
12b-1
plan
pursuant
to
which
the
class
compensates
financial
intermediaries
for
distribution,
shareholder
servicing,
and/or
certain
administrative
services;
the
Investor,
I
and
Z
Classes
do
not
pay
Rule
12b-1
fees. Each
class
has
exclusive
voting
rights
on
matters
related
solely
to
that
class;
separate
voting
rights
on
matters
that
relate
to
all
classes;
and,
in
all
other
respects,
the
same
rights
and
obligations
as
the
other
classes.
NOTE
1
-
SIGNIFICANT
ACCOUNTING
POLICIES
Basis
of
Preparation
The fund
is
an
investment
company
and
follows
accounting
and
reporting
guidance
in
the
Financial
Accounting
Standards
Board
(FASB)
Accounting
Standards
Codification
Topic
946
(ASC
946).
The
accompanying
financial
statements
were
prepared
in
accordance
with
accounting
principles
generally
accepted
in
the
United
States
of
America
(GAAP),
including,
but
not
limited
to,
ASC
946.
GAAP
requires
the
use
of
estimates
made
by
management.
Management
believes
that
estimates
and
valuations
are
appropriate;
however,
actual
results
may
differ
from
those
estimates,
and
the
valuations
reflected
in
the
accompanying
financial
statements
may
differ
from
the
value
ultimately
realized
upon
sale
or
maturity.
Investment
Transactions,
Investment
Income,
and
Distributions
Investment
transactions
are
accounted
for
on
the
trade
date
basis.
Income
and
expenses
are
recorded
on
the
accrual
basis.
Realized
gains
and
losses
T.
ROWE
PRICE
Short-Term
Bond
Fund
are
reported
on
the
identified
cost
basis. Premiums
and
discounts
on
debt
securities
are
amortized
for
financial
reporting
purposes. Paydown
gains
and
losses
are
recorded
as
an
adjustment
to
interest
income. Inflation
adjustments
to
the
principal
amount
of
inflation-indexed
bonds
are
reflected
as
interest
income. Income
tax-related
interest
and
penalties,
if
incurred,
are
recorded
as
income
tax
expense. Dividends
received
from other
investment
companies are
reflected
as
dividend income;
capital
gain
distributions
are
reflected
as
realized
gain/loss. Dividend
income and
capital
gain
distributions
are
recorded
on
the
ex-dividend
date. Earnings
on
investments
recognized
as
partnerships
for
federal
income
tax
purposes
reflect
the
tax
character
of
such
earnings. Non-cash
dividends,
if
any,
are
recorded
at
the
fair
market
value
of
the
asset
received. Proceeds
from
litigation
payments,
if
any,
are
included
in
either
net
realized
gain
(loss)
or
change
in
net
unrealized
gain/loss
from
securities. Distributions
to
shareholders
are
recorded
on
the
ex-dividend
date. Income
distributions,
if
any, are
declared
by
each
class daily
and
paid
monthly. A
capital
gain
distribution,
if
any, may
also
be
declared
and
paid
by
the
fund
annually.
Currency
Translation
Assets,
including
investments,
and
liabilities
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.
Purchases
and
sales
of
securities,
income,
and
expenses
are
translated
into
U.S.
dollars
at
the
prevailing
exchange
rate
on
the
respective
date
of
such
transaction.
The
effect
of
changes
in
foreign
currency
exchange
rates
on
realized
and
unrealized
security
gains
and
losses
is
not
bifurcated
from
the
portion
attributable
to
changes
in
market
prices.
Class
Accounting
Shareholder
servicing,
prospectus,
and
shareholder
report
expenses
incurred
by
each
class
are
charged
directly
to
the
class
to
which
they
relate.
Expenses
common
to
all
classes
and
investment
income
are
allocated
to
the
classes
based
upon
the
relative
daily
net
assets
of
each
class’s
settled
shares;
realized
and
unrealized
gains
and
losses
are
allocated
based
upon
the
relative
daily
net
assets
of
each
class’s
outstanding
shares.
The
Advisor
Class
pays
Rule
12b-1
fees,
in
an
amount
not
exceeding
0.25%
of
the
class’s
average
daily
net
assets.
Capital
Transactions
Each
investor’s
interest
in
the
net
assets
of the
fund
is
represented
by
fund
shares. The
fund’s
net
asset
value
(NAV)
per
share
is
computed
at
the
close
of
the
New
York
Stock
Exchange
(NYSE),
normally
4
p.m.
Eastern
time,
each
day
the
NYSE
is
open
for
business.
However,
the
T.
ROWE
PRICE
Short-Term
Bond
Fund
NAV
per
share
may
be
calculated
at
a
time
other
than
the
normal
close
of
the
NYSE
if
trading
on
the
NYSE
is
restricted,
if
the
NYSE
closes
earlier,
or
as
may
be
permitted
by
the
SEC.
Purchases
and
redemptions
of
fund
shares
are
transacted
at
the
next-computed
NAV
per
share,
after
receipt
of
the
transaction
order
by
T.
Rowe
Price
Associates,
Inc.,
or
its
agents.
New
Accounting
Guidance
In
November
2023,
the
FASB
issued
Accounting
Standards
Update
(ASU),
ASU
2023-07,
Segment
Reporting
(Topic
280)
–
Improvements
to
Reportable
Segment
Disclosures,
which
improves
reportable
segment
disclosure
requirements,
primarily
through
enhanced
disclosures
about
segment
expenses.
In
addition,
the
ASU
clarifies
that
a
public
entity
with
a
single
reportable
segment
provide
all
disclosures
required
by
the
ASU
and
all
existing
segment
disclosures
in
Topic
280.
The
amendments
under
this
ASU
are
effective
for
fiscal
years
beginning
after
December
15,
2023.
Management
expects
that
adoption
of
the
guidance
will
not
have
a
material
impact
on
the
fund’s
financial
statements.
In December
2023,
the
FASB
issued
Accounting
Standards
Update
(ASU),
ASU
2023-09,
Income
Taxes
(Topic
740)
–
Improvements
to
Income
Taxes
Disclosures,
which
enhances
the
transparency
of
income
tax
disclosures.
The
ASU
requires
public
entities,
on
an
annual
basis,
to
provide
disclosure
of
specific
categories
in
the
rate
reconciliation,
as
well
as
disclosure
of
income
taxes
paid
disaggregated
by
jurisdiction.
The
amendments
under
this
ASU
are
required
to
be
applied
prospectively
and
are
effective
for
fiscal
years
beginning
after
December
15,
2024.
Management
expects
that
adoption
of
the
guidance
will
not
have
a
material
impact
on
the
fund’s
financial
statements.
Indemnification
In
the
normal
course
of
business, the
fund
may
provide
indemnification
in
connection
with
its
officers
and
directors,
service
providers,
and/or
private
company
investments. The
fund’s
maximum
exposure
under
these
arrangements
is
unknown;
however,
the
risk
of
material
loss
is
currently
considered
to
be
remote.
NOTE
2
-
VALUATION
Fair
Value
The
fund’s
financial
instruments
are
valued
at
the
close
of
the
NYSE
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
T.
ROWE
PRICE
Short-Term
Bond
Fund
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)
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
Debt
securities
generally
are
traded
in
the over-the-
counter
(OTC)
market
and
are
valued
at
prices
furnished
by
independent
pricing
services
or
by
broker
dealers
who
make
markets
in
such
securities.
When
valuing
securities,
the
independent
pricing
services
consider
factors
such
as,
T.
ROWE
PRICE
Short-Term
Bond
Fund
but
not
limited
to,
the
yield
or
price
of
bonds
of
comparable
quality,
coupon,
maturity,
and
type,
as
well
as
prices
quoted
by
dealers
who
make
markets
in
such
securities.
Investments
in
mutual
funds
are
valued
at
the
mutual
fund’s
closing
NAV
per
share
on
the
day
of
valuation.
Futures
contracts
are
valued
at
closing
settlement
prices.
Swaps
are
valued
at
prices
furnished
by
an
independent
pricing
service
or
independent
swap
dealers.
Assets
and
liabilities
other
than
financial
instruments,
including
short-term
receivables
and
payables,
are
carried
at
cost,
or
estimated
realizable
value,
if
less,
which
approximates
fair
value.
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;
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
November
30,
2024
(for
further
detail
by
category,
please
refer
to
the
accompanying
Portfolio
of
Investments):
T.
ROWE
PRICE
Short-Term
Bond
Fund
NOTE
3
-
DERIVATIVE
INSTRUMENTS
During
the
six
months ended
November
30,
2024,
the
fund
invested
in
derivative
instruments.
As
defined
by
GAAP,
a
derivative
is
a
financial
instrument
whose
value
is
derived
from
an
underlying
security
price,
foreign
exchange
rate,
interest
rate,
index
of
prices
or
rates,
or
other
variable;
it
requires
little
or
no
initial
investment
and
permits
or
requires
net
settlement
or
delivery
of
cash
or
other
assets.
The
fund
invests
in
derivatives
only
if
the
expected
risks
and
rewards
are
consistent
with
its
investment
objectives,
policies,
and
overall
risk
profile,
as
described
in
its
prospectus
and
Statement
of
($000s)
Level
1
Level
2
Level
3
Total
Value
Assets
Fixed
Income
Securities
1
$
—
$
2,246,424
$
—
$
2,246,424
Corporate
Bonds
—
1,884,053
6,170
1,890,223
Non-U.S.
Government
Mortgage-Backed
Securities
—
406,705
6,123
412,828
Short-Term
Investments
76,311
67,723
—
144,034
Securities
Lending
Collateral
249,216
—
—
249,216
Total
Securities
325,527
4,604,905
12,293
4,942,725
Swaps*
—
362
—
362
Futures
Contracts*
3,889
—
—
3,889
Total
$
329,416
$
4,605,267
$
12,293
$
4,946,976
Liabilities
Swaps
$
—
$
100
$
—
$
100
Futures
Contracts*
3,061
—
—
3,061
Total
$
3,061
$
100
$
—
$
3,161
1
Includes
Asset-Backed
Securities,
Foreign
Government
Obligations
&
Municipalities,
U.S.
Government
&
Agency
Mortgage-Backed
Securities
and
U.S.
Government
Agency
Obligations
(Excluding
Mortgage-Backed).
*
The
fair
value
presented
includes
cumulative
gain
(loss)
on
open
futures
contracts
and
centrally
cleared
swaps;
however,
the
net
value
reflected
on
the
accompanying
Portfolio
of
Investments
is
only
the
unsettled
variation
margin
receivable
(payable)
at
that
date.
T.
ROWE
PRICE
Short-Term
Bond
Fund
Additional
Information.
The
fund
may
use
derivatives
for
a
variety
of
purposes
and
may
use
them
to
establish
both
long
and
short
positions
within
the
fund’s
portfolio.
Potential
uses
include
to
hedge
against
declines
in
principal
value,
increase
yield,
invest
in
an
asset
with
greater
efficiency
and
at
a
lower
cost
than
is
possible
through
direct
investment,
to
enhance
return,
or
to
adjust
portfolio
duration
and
credit
exposure.
The
risks
associated
with
the
use
of
derivatives
are
different
from,
and
potentially
much
greater
than,
the
risks
associated
with
investing
directly
in
the
instruments
on
which
the
derivatives
are
based.
The
fund
values
its
derivatives
at
fair
value
and
recognizes
changes
in
fair
value
currently
in
its
results
of
operations.
Accordingly,
the
fund
does
not
follow
hedge
accounting,
even
for
derivatives
employed
as
economic
hedges.
Generally,
the
fund
accounts
for
its
derivatives
on
a
gross
basis.
It
does
not
offset
the
fair
value
of
derivative
liabilities
against
the
fair
value
of
derivative
assets
on
its
financial
statements,
nor
does
it
offset
the
fair
value
of
derivative
instruments
against
the
right
to
reclaim
or
obligation
to
return
collateral.
The
following
table
summarizes
the
fair
value
of
the
fund’s
derivative
instruments
held
as
of
November
30,
2024,
and
the
related
location
on
the
accompanying
Statement
of
Assets
and
Liabilities,
presented
by
primary
underlying
risk
exposure:
($000s)
Location
on
Statement
of
Assets
and
Liabilities
Fair
Value*
Assets
Interest
rate
derivatives
Futures
$
3,889
Credit
derivatives
Centrally
Cleared
Swaps
362
*
Total
$
4,251
*
Liabilities
Interest
rate
derivatives
Futures
$
3,061
Credit
derivatives
Bilateral
Swaps
and
Premiums
100
Total
$
3,161
*
The
fair
value
presented
includes
cumulative
gain
(loss)
on
open
futures
contracts
and
centrally
cleared
swaps;
however,
the
value
reflected
on
the
accompanying
Statement
of
Assets
and
Liabilities
is
only
the
unsettled
variation
margin
receivable
(payable)
at
that
date.
T.
ROWE
PRICE
Short-Term
Bond
Fund
Additionally,
the
amount
of
gains
and
losses
on
derivative
instruments
recognized
in
fund
earnings
during
the
six
months ended
November
30,
2024,
and
the
related
location
on
the
accompanying
Statement
of
Operations
is
summarized
in
the
following
table
by
primary
underlying
risk
exposure:
Counterparty
Risk
and
Collateral
The
fund
invests
in
derivatives
in
various
markets,
which
expose
it
to
differing
levels
of
counterparty
risk.
Counterparty
risk
on
exchange-traded
and
centrally
cleared
derivative
contracts,
such
as
futures,
exchange-traded
options,
and
centrally
cleared
swaps,
is
minimal
because
the
clearinghouse
provides
protection
against
counterparty
defaults.
For
futures
and
centrally
cleared
swaps,
the
fund
is
required
to
deposit
collateral
in
an
amount
specified
by
the
clearinghouse
and
the
clearing
firm
(margin
requirement),
and
the
margin
requirement
must
be
maintained
over
the
life
of
the
contract.
Each
clearinghouse
and
clearing
firm,
in
its
sole
discretion,
may
adjust
the
margin
requirements
applicable
to
the
fund.
Derivatives,
such
as
non-cleared bilateral
swaps,
forward
currency
exchange
contracts,
and
OTC
options,
that
are
transacted
and
settle
directly
with
a
counterparty
(bilateral
derivatives)
may
expose
the
fund
to
greater
counterparty
risk.
To
mitigate
this
risk,
the
fund
has
entered
into
master
netting
arrangements
(MNAs)
with
certain
counterparties
that
permit
net
settlement
under
specified
conditions
and,
for
certain
counterparties,
also
require
the
exchange
of
collateral
($000s)
Location
of
Gain
(Loss)
on
Statement
of
Operations
Securities^
Futures
Swaps
Total
Realized
Gain
(Loss)
Interest
rate
derivatives
$
(1,196)
$
3,935
$
—
$
2,739
Credit
derivatives
—
—
409
409
Total
$
(1,196)
$
3,935
$
409
$
3,148
Change
in
Unrealized
Gain
(Loss)
Interest
rate
derivatives
$
368
$
(148)
$
—
$
220
Credit
derivatives
—
—
194
194
Total
$
368
$
(148)
$
194
$
414
^
Options
purchased
are
reported
as
securities.
T.
ROWE
PRICE
Short-Term
Bond
Fund
to
cover
mark-to-market
exposure.
MNAs
may
be
in
the
form
of
International
Swaps
and
Derivatives
Association
master
agreements
(ISDAs)
or
foreign
exchange
letter
agreements
(FX
letters).
MNAs
provide
the
ability
to
offset
amounts
the
fund
owes
a
counterparty
against
amounts
the
counterparty
owes
the
fund
(net
settlement).
Both
ISDAs
and
FX
letters
generally
allow
termination
of
transactions
and
net
settlement
upon
the
occurrence
of
contractually
specified
events,
such
as
failure
to
pay
or
bankruptcy.
In
addition,
ISDAs
specify
other
events,
the
occurrence
of
which
would
allow
one
of
the
parties
to
terminate.
For
example,
a
downgrade
in
credit
rating
of
a
counterparty
below
a
specified
rating
would
allow
the
fund
to
terminate,
while
a
decline
in
the
fund’s
net
assets
of
more
than
a
specified
percentage
would
allow
the
counterparty
to
terminate.
Upon
termination,
all
transactions
with
that
counterparty
would
be
liquidated
and
a
net
termination
amount
settled.
ISDAs
typically
include
collateral
agreements
whereas
FX
letters
do
not.
Collateral
requirements
are
determined
daily
based
on
the
net
aggregate
unrealized
gain
or
loss
on
all
bilateral
derivatives
with
a
counterparty,
subject
to
minimum
transfer
amounts
that
typically
range
from
$100,000
to
$250,000.
Any
additional
collateral
required
due
to
changes
in
security
values
is
typically
transferred
the
next
business
day.
Collateral
may
be
in
the
form
of
cash
or
debt
securities
issued
by
the
U.S.
government
or
related
agencies,
although
other
securities
may
be
used
depending
on
the
terms
outlined
in
the
applicable
MNA.
Cash
posted
by
the
fund
is
reflected
as
cash
deposits
in
the
accompanying
financial
statements
and
generally
is
restricted
from
withdrawal
by
the
fund;
securities
posted
by
the
fund
are
so
noted
in
the
accompanying
Portfolio
of
Investments;
both
remain
in
the
fund’s
assets.
Collateral
pledged
by
counterparties
is
not
included
in
the
fund’s
assets
because
the
fund
does
not
obtain
effective
control
over
those
assets.
For
bilateral
derivatives,
collateral
posted
or
received
by
the
fund
is
held
in
a
segregated
account
at
the
fund’s
custodian.
While
typically
not
sold
in
the
same
manner
as
equity
or
fixed
income
securities,
exchange-traded
or
centrally
cleared
derivatives
may
be
closed
out
only
on
the
exchange
or
clearinghouse
where
the
contracts
were
cleared,
and
OTC
and
bilateral
derivatives
may
be
unwound
with
counterparties
or
transactions
assigned
to
other
counterparties
to
allow
the
fund
to
exit
the
transaction.
This
ability
is
subject
to
the
liquidity
of
underlying
positions. As
of
November
30,
2024,
securities
valued
at $169,000 had
been
pledged
or
posted
by
the
fund
to
counterparties
for
bilateral
derivatives. As
of
November
30,
2024,
no
collateral
was
pledged
by
T.
ROWE
PRICE
Short-Term
Bond
Fund
counterparties
to
the
fund
for
bilateral
derivatives. As
of
November
30,
2024,
securities
valued
at $10,486,000
had
been
posted
by
the
fund
for
exchange-
traded
and/or
centrally
cleared
derivatives.
Futures
Contracts
The
fund
is
subject
to interest
rate
risk in
the
normal
course
of
pursuing
its
investment
objectives
and
uses
futures
contracts
to
help
manage
such
risk.
The fund
may
enter
into
futures
contracts
to
manage
exposure
to
interest
rate
and
yield
curve
movements,
security
prices,
foreign
currencies,
and
mortgage
prepayments;
as
an
efficient
means
of
adjusting
exposure
to
all
or
part
of
a
target
market;
as
a
cash
management
tool;
or
to
adjust
portfolio
duration. A
futures
contract
provides
for
the
future
sale
by
one
party
and
purchase
by
another
of
a
specified
amount
of
a
specific
underlying
financial
instrument
at
an
agreed-upon
price,
date,
time,
and
place.
The
fund
currently
invests
only
in
exchange-traded
futures,
which
generally
are
standardized
as
to
maturity
date,
underlying
financial
instrument,
and
other
contract
terms.
Payments
are
made
or
received
by
the
fund
each
day
to
settle
daily
fluctuations
in
the
value
of
the
contract
(variation
margin),
which
reflect
changes
in
the
value
of
the
underlying
financial
instrument.
Variation
margin
is
recorded
as
unrealized
gain
or
loss
until
the
contract
is
closed.
The
value
of
a
futures
contract
included
in
net
assets
is
the
amount
of
unsettled
variation
margin;
net
variation
margin
receivable
is
reflected
as
an
asset
and
net
variation
margin
payable
is
reflected
as
a
liability
on
the
accompanying
Statement
of
Assets
and
Liabilities.
When
a
contract
is
closed,
a
realized
gain
or
loss
is
recorded
on
the
accompanying
Statement
of
Operations.
Risks
related
to
the
use
of
futures
contracts
include
possible
illiquidity
of
the
futures
markets,
contract
prices
that
can
be
highly
volatile
and
imperfectly
correlated
to
movements
in
hedged
security
values
and/or
interest
rates,
and
potential
losses
in
excess
of
the
fund’s
initial
investment.
During
the
six
months ended
November
30,
2024,
the
volume
of
the
fund’s
activity
in
futures,
based
on
underlying
notional
amounts,
was
generally
between
28%
and
35%
of
net
assets.
Options
The
fund
is
subject
to interest
rate
risk in
the
normal
course
of
pursuing
its
investment
objectives
and
uses
options
to
help
manage
such
risk.
The
fund
may
use
options
to
manage
exposure
to
security
prices,
interest
rates,
foreign
currencies,
and
credit
quality;
as
an
efficient
means
of
adjusting
exposure
to
all
or
a
part
of
a
target
market;
to
enhance
income;
as
a
cash
management
tool;
or
to
adjust
credit
exposure.
The
fund
may
buy
or
sell
options
that
can
be
settled
either
directly
with
the
counterparty
(OTC
option)
or
through
a
central
clearinghouse
(exchange-traded
option).
Options
are
included
in
net
assets
at
fair
value,
options
purchased
are
included
in
Investments
in
Securities,
and
options
written
are
separately
reflected
as
a
liability
on
the
accompanying
T.
ROWE
PRICE
Short-Term
Bond
Fund
Statement
of
Assets
and
Liabilities.
Premiums
on
unexercised,
expired
options
are
recorded
as
realized
gains
or
losses
on
the
accompanying
Statement
of
Operations;
premiums
on
exercised
options
are
recorded
as
an
adjustment
to
the
proceeds
from
the
sale
or
cost
of
the
purchase.
The
difference
between
the
premium
and
the
amount
received
or
paid
in
a
closing
transaction
is
also
treated
as
realized
gain
or
loss
on
the
accompanying
Statement
of
Operations.
In
return
for
a
premium
paid,
call
and
put
options
on
futures
give
the
holder
the
right,
but
not
the
obligation,
to
purchase
or
sell,
respectively,
a
position
in
a
particular
futures
contract
at
a
specified
exercise
price. Risks related
to
the
use
of
options
include
possible
illiquidity
of
the
options
markets;
trading
restrictions
imposed
by
an
exchange
or
counterparty;
possible
failure
of
counterparties
to
meet
the
terms
of
the
agreements;
movements
in
the
underlying
asset
values
and
interest
rates;
and,
for
options
written,
the
potential
for
losses
to
exceed
any
premium
received
by
the
fund.
During
the
six
months ended
November
30,
2024,
the
volume
of
the
fund’s
activity
in
options,
based
on
underlying
notional
amounts,
was
generally
between
0%
and
29%
of
net
assets.
Swaps
The
fund
is
subject
to
credit
risk in
the
normal
course
of
pursuing
its
investment
objectives
and
uses
swap
contracts
to
help
manage
such
risk.
The
fund
may
use
swaps
in
an
effort
to
manage
both
long
and
short
exposure
to
changes
in
interest
rates,
inflation
rates,
and
credit
quality;
to
adjust
overall
exposure
to
certain
markets;
to
enhance
total
return
or
protect
the
value
of
portfolio
securities;
to
serve
as
a
cash
management
tool;
or
to
adjust
portfolio
duration
and
credit
exposure.
Swap
agreements
can
be
settled
either
directly
with
the
counterparty
(bilateral
swap)
or
through
a
central
clearinghouse
(centrally
cleared
swap).
Fluctuations
in
the
fair
value
of
a
contract
are
reflected
in
unrealized
gain
or
loss
and
are
reclassified
to
realized
gain
or
loss
on
the
accompanying
Statement
of
Operations upon
contract
termination
or
cash
settlement.
Net
periodic
receipts
or
payments
required
by
a
contract
increase
or
decrease,
respectively,
the
value
of
the
contract
until
the
contractual
payment
date,
at
which
time
such
amounts
are
reclassified
from
unrealized
to
realized
gain
or
loss
on
the
accompanying
Statement
of
Operations.
For
bilateral
swaps,
cash
payments
are
made
or
received
by
the
fund
on
a
periodic
basis
in
accordance
with
contract
terms;
unrealized
gain
on
contracts
and
premiums
paid
are
reflected
as
assets
and
unrealized
loss
on
contracts
and
premiums
received
are
reflected
as
liabilities
on
the
accompanying
Statement
of
Assets
and
Liabilities.
For
bilateral
swaps,
premiums
paid
or
received
are
amortized
over
the
life
of
the
swap
and
are
recognized
as
realized
gain
or
loss
on
the
accompanying
Statement
of
Operations.
For
centrally
cleared
swaps,
payments
are
made
or
received
by
the
fund
each
day
to
settle
the
daily
fluctuation
in
the
T.
ROWE
PRICE
Short-Term
Bond
Fund
value
of
the
contract
(variation
margin).
Accordingly,
the
value
of
a
centrally
cleared
swap
included
in
net
assets
is
the
unsettled
variation
margin;
net
variation
margin
receivable
is
reflected
as
an
asset
and
net
variation
margin
payable
is
reflected
as
a
liability
on
the
accompanying
Statement
of
Assets
and
Liabilities.
Credit
default
swaps
are
agreements
where
one
party
(the
protection
buyer)
agrees
to
make
periodic
payments
to
another
party
(the
protection
seller)
in
exchange
for
protection
against
specified
credit
events,
such
as
certain
defaults
and
bankruptcies
related
to
an
underlying
credit
instrument,
or
issuer
or
index
of
such
instruments.
Upon
occurrence
of
a
specified
credit
event,
the
protection
seller
is
required
to
pay
the
buyer
the
difference
between
the
notional
amount
of
the
swap
and
the
value
of
the
underlying
credit,
either
in
the
form
of
a
net
cash
settlement
or
by
paying
the
gross
notional
amount
and
accepting
delivery
of
the
relevant
underlying
credit.
For
credit
default
swaps
where
the
underlying
credit
is
an
index,
a
specified
credit
event
may
affect
all
or
individual
underlying
securities
included
in
the
index
and
will
be
settled
based
upon
the
relative
weighting
of
the
affected
underlying
security(ies)
within
the
index. Generally,
the
payment
risk
for
the
seller
of
protection
is
inversely
related
to
the
current
market
price
or
credit
rating
of
the
underlying
credit
or
the
market
value
of
the
contract
relative
to
the
notional
amount,
which
are
indicators
of
the
markets’
valuation
of
credit
quality.
As
of
November
30,
2024,
the
notional
amount
of
protection
sold
by
the
fund
totaled $117,930,000
(2.5%
of
net
assets),
which
reflects
the
maximum
potential
amount
the
fund
could
be
required
to
pay
under
such
contracts.
Risks
related
to
the
use
of
credit
default
swaps
include
the
possible
inability
of
the
fund
to
accurately
assess
the
current
and
future
creditworthiness
of
underlying
issuers,
the
possible
failure
of
a
counterparty
to
perform
in
accordance
with
the
terms
of
the
swap
agreements,
potential
government
regulation
that
could
adversely
affect
the
fund’s
swap
investments,
and
potential
losses
in
excess
of
the
fund’s
initial
investment.
During
the
six
months ended
November
30,
2024,
the
volume
of
the
fund’s
activity
in
swaps,
based
on
underlying
notional
amounts,
was
generally
between
1%
and
4%
of
net
assets.
T.
ROWE
PRICE
Short-Term
Bond
Fund
NOTE
4
-
OTHER
INVESTMENT
TRANSACTIONS
Consistent
with
its
investment
objective, the
fund
engages
in
the
following
practices
to
manage
exposure
to
certain
risks
and/or
to
enhance
performance.
The
investment
objective,
policies,
program,
and
risk
factors
of the
fund
are
described
more
fully
in the
fund’s prospectus
and
Statement
of
Additional
Information.
Restricted
Securities
The
fund
invests
in
securities
that
are
subject
to
legal
or
contractual
restrictions
on
resale.
Prompt
sale
of
such
securities
at
an
acceptable
price
may
be
difficult
and
may
involve
substantial
delays
and
additional
costs.
Collateralized
Loan
Obligations
The
fund
invests
in
collateralized
loan
obligations
(CLOs)
which
are
entities
backed
by
a
diversified
pool
of
syndicated
bank
loans.
The
cash
flows
of
the
CLO
can
be
split
into
multiple
segments,
called
“tranches”
or
“classes”,
which
will
vary
in
risk
profile
and
yield.
The
riskiest
segments,
which
are
the
subordinate
or
“equity”
tranches,
bear
the
greatest
risk
of
loss
from
defaults
in
the
underlying
assets
of
the
CLO
and
serve
to
protect
the
other,
more
senior,
tranches.
Senior
tranches
will
typically
have
higher
credit
ratings
and
lower
yields
than
the
securities
underlying
the
CLO.
Despite
the
protection
from
the
more
junior
tranches,
senior
tranches
can
experience
substantial
losses.
Mortgage-Backed
Securities
The
fund
invests
in
mortgage-backed
securities
(MBS
or
pass-through
certificates)
that
represent
an
interest
in
a
pool
of
specific
underlying
mortgage
loans
and
entitle
the
fund
to
the
periodic
payments
of
principal
and
interest
from
those
mortgages.
MBS
may
be
issued
by
government
agencies
or
corporations,
or
private
issuers.
Most
MBS
issued
by
government
agencies
are
guaranteed;
however,
the
degree
of
protection
differs
based
on
the
issuer.
MBS are
sensitive
to
changes
in
economic
conditions
that
affect
the
rate
of
prepayments
and
defaults
on
the
underlying
mortgages;
accordingly,
the
value,
income,
and
related
cash
flows
from
MBS
may
be
more
volatile
than
other
debt
instruments.
TBA
Purchase,
Sale
Commitments
and
Forward
Settling
Mortgage
Obligations
The
fund
enters
into
to-be-announced
(TBA)
purchase
or
sale
commitments
(collectively,
TBA
transactions),
pursuant
to
which
it
agrees
to
purchase
or
sell,
respectively,
mortgage-backed
securities
for
a
fixed
unit
price,
with
payment
and
delivery
at
a
scheduled
future
date
beyond
the
customary
settlement
period
for
such
securities.
With
TBA
transactions,
the
particular
securities
to
be
received
or
delivered
by
the
fund
are
not
identified
at
the
trade
T.
ROWE
PRICE
Short-Term
Bond
Fund
date;
however,
the
securities
must
meet
specified
terms,
including
rate
and
mortgage
term,
and
be
within
industry-accepted
“good
delivery”
standards.
The
fund
may
enter
into
TBA
transactions
with
the
intention
of
taking
possession
of
or
relinquishing
the
underlying
securities,
may
elect
to
extend
the
settlement
by
“rolling”
the
transaction,
and/or
may
use
TBA
transactions
to
gain
or
reduce
interim
exposure
to
underlying
securities.
To
mitigate
counterparty
risk,
the
fund
has
entered
into
Master
Securities
Forward
Transaction
Agreements
(MSFTA)
with
counterparties
that
provide
for
collateral
and
the
right
to
offset
amounts
due
to
or
from
those
counterparties
under
specified
conditions.
Subject
to
minimum
transfer
amounts,
collateral
requirements
are
determined
and
transfers
made
based
on
the
net
aggregate
unrealized
gain
or
loss
on
all
TBA
commitments
and
other
forward
settling
mortgage
obligations
with
a
particular
counterparty
(collectively,
MSFTA
Transactions).
At
any
time,
the
fund’s
risk
of
loss
from
a
particular
counterparty
related
to
its
MSFTA
Transactions
is
the
aggregate
unrealized
gain
on
appreciated
MSFTA
Transactions
in
excess
of
unrealized
loss
on
depreciated
MSFTA
Transactions
and
collateral
received,
if
any,
from
such
counterparty. As
of
November
30,
2024,
no
collateral
was
pledged
by
the
fund
or
counterparties
for
MSFTA
Transactions.
Securities
Lending
The fund
may
lend
its
securities
to
approved
borrowers
to
earn
additional
income.
Its
securities
lending
activities
are
administered
by
a
lending
agent
in
accordance
with
a
securities
lending
agreement.
Security
loans
generally
do
not
have
stated
maturity
dates,
and
the
fund
may
recall
a
security
at
any
time.
The
fund
receives
collateral
in
the
form
of
cash
or
U.S.
government
securities.
Collateral
is
maintained
over
the
life
of
the
loan
in
an
amount
not
less
than
the
value
of
loaned
securities;
any
additional
collateral
required
due
to
changes
in
security
values
is
delivered
to
the
fund
the
next
business
day.
Cash
collateral
is
invested
in
accordance
with
investment
guidelines
approved
by
fund
management.
Additionally,
the
lending
agent
indemnifies
the
fund
against
losses
resulting
from
borrower
default.
Although
risk
is
mitigated
by
the
collateral
and
indemnification,
the
fund
could
experience
a
delay
in
recovering
its
securities
and
a
possible
loss
of
income
or
value
if
the
borrower
fails
to
return
the
securities,
collateral
investments
decline
in
value,
and
the
lending
agent
fails
to
perform.
Securities
lending
revenue
consists
of
earnings
on
invested
collateral
and
borrowing
fees,
net
of
any
rebates
to
the
borrower,
compensation
to
the
lending
agent,
and
other
administrative
costs.
In
accordance
with
GAAP,
investments
made
with
cash
collateral
are
reflected
in
the
accompanying
financial
statements,
but
collateral
received
in
the
form
of
securities
is
not.
At
November
30,
2024,
the
value
of
loaned
securities
was
$292,376,000,
including
T.
ROWE
PRICE
Short-Term
Bond
Fund
securities
sold
but
not
yet
settled,
which
are
not
reflected
in
the
accompanying
Portfolio
of
Investments;
the
value
of
cash
collateral
and
related
investments
was
$299,553,000.
Other
Purchases
and
sales
of
portfolio
securities
other
than
in-kind
transactions,
if
any, short-term
and
U.S.
government securities
aggregated $827,454,000 and
$925,642,000,
respectively,
for
the
six
months ended
November
30,
2024. Purchases
and
sales
of
U.S.
government
securities
aggregated $1,694,393,000 and
$1,678,887,000,
respectively,
for
the
six
months ended
November
30,
2024.
NOTE
5
-
FEDERAL
INCOME
TAXES
Generally,
no
provision
for
federal
income
taxes
is
required
since
the
fund
intends
to continue
to
qualify
as
a
regulated
investment
company
under
Subchapter
M
of
the
Internal
Revenue
Code
and
distribute
to
shareholders
all
of
its taxable
income
and
gains.
Distributions
determined
in
accordance
with
federal
income
tax
regulations
may
differ
in
amount
or
character
from
net
investment
income
and
realized
gains
for
financial
reporting
purposes.
Financial
reporting
records
are
adjusted
for
permanent
book/tax
differences
to
reflect
tax
character
but
are
not
adjusted
for
temporary
differences.
The
amount
and
character
of
tax-basis
distributions
and
composition
of
net
assets
are
finalized
at
fiscal
year-end;
accordingly,
tax-basis
balances
have
not
been
determined
as
of
the
date
of
this
report.
The
fund
intends
to
retain
realized
gains
to
the
extent
of
available
capital
loss
carryforwards.
Net
realized
capital
losses
may
be
carried
forward
indefinitely
to
offset
future
realized
capital
gains.
As
of
May
31,
2024,
the
fund
had
$199,796,000
of
available
capital
loss
carryforwards.
At
November
30,
2024,
the
cost
of
investments
(including
derivatives,
if
any)
for
federal
income
tax
purposes
was
$4,982,866,000.
Net
unrealized
loss
aggregated
$36,364,000
at
period-end,
of
which
$24,147,000
related
to
appreciated
investments
and
$60,511,000
related
to
depreciated
investments.
T.
ROWE
PRICE
Short-Term
Bond
Fund
NOTE
6
-
RELATED
PARTY
TRANSACTIONS
The
fund
is
managed
by
T.
Rowe
Price
Associates,
Inc.
(Price
Associates),
a
wholly
owned
subsidiary
of
T.
Rowe
Price
Group,
Inc.
(Price
Group). Price
Associates
has
entered
into
a
sub-advisory
agreement(s)
with
one
or
more
of
its
wholly
owned
subsidiaries,
to
provide
investment
advisory
services
to
the
fund.
The
investment
management
agreement
between
the
fund
and
Price
Associates
provides
for
an
annual
investment
management
fee,
which
is
computed
daily
and
paid
monthly. The
fee
consists
of
an
individual
fund
fee,
equal
to
0.01%
of
the
fund’s
average
daily
net
assets,
and
a
group
fee.
The
group
fee
rate
is
calculated
based
on
the
combined
net
assets
of
certain
mutual
funds
sponsored
by
Price
Associates
(the
group)
applied
to
a
graduated
fee
schedule,
with
rates
ranging
from
0.48%
for
the
first
$1
billion
of
assets
to
0.260%
for
assets
in
excess
of
$845
billion.
The
fund’s
group
fee
is
determined
by
applying
the
group
fee
rate
to
the
fund’s
average
daily
net
assets. At
November
30,
2024,
the
effective
annual
group
fee
rate
was
0.28%.
The Investor
Class and Advisor
Class are
each
subject
to
a
contractual
expense
limitation
through
the
expense
limitation
dates
indicated
in
the
table
below.
This
agreement
will
continue
through
the
expense
limitation
dates
indicated
in
the
table
below,
and
may
be
renewed,
revised,
or
revoked
only
with
approval
of
the
fund’s
Board.
During
the
limitation
period,
Price
Associates
is required
to
waive
or
pay
any
expenses
(excluding
interest;
expenses
related
to
borrowings,
taxes,
and
brokerage;
non-recurring,
extraordinary
expenses;
and
acquired
fund
fees
and
expenses)
that
would
otherwise
cause
the class’s ratio
of
annualized
total
expenses
to
average
net
assets
(net
expense
ratio)
to
exceed
its
expense
limitation.
Each
class
is
required
to
repay
Price
Associates
for
expenses
previously
waived/paid
to
the
extent
the
class’s net
assets
grow
or
expenses
decline
sufficiently
to
allow
repayment
without
causing
the class’s net
expense
ratio
(after
the
repayment
is
taken
into
account)
to
exceed
the
lesser
of:
(1)
the
expense
limitation
in
place
at
the
time
such
amounts
were
waived;
or
(2)
the class’s
current
expense
limitation.
However,
no
repayment
will
be
made
more
than
three
years
after
the
date
of
a
payment
or
waiver.
The
I
Class
is
also
subject
to
an
operating
expense
limitation
(I
Class
Limit)
pursuant
to
which
Price
Associates
is
contractually
required
to
pay
all
operating
expenses
of
the
I
Class,
excluding
management
fees;
interest;
expenses
related
to
borrowings,
taxes,
and
brokerage; non-recurring,
extraordinary expenses; and
acquired
fund
fees
and
expenses, to
the
extent
such
operating
expenses,
on
an
annualized
basis,
exceed
the
I
Class
Limit. This
agreement
will
continue
through
the
expense
limitation
date
indicated
in
the
table
below,
and
may
T.
ROWE
PRICE
Short-Term
Bond
Fund
be
renewed,
revised,
or
revoked
only
with
approval
of
the
fund’s
Board.
The
I
Class
is
required
to
repay
Price
Associates
for
expenses
previously
paid
to
the
extent
the
class’s
net
assets
grow
or
expenses
decline
sufficiently
to
allow
repayment
without
causing
the
class’s
operating
expenses
(after
the
repayment
is
taken
into
account)
to
exceed
the
lesser
of:
(1)
the
I
Class
Limit
in
place
at
the
time
such
amounts
were
paid;
or
(2)
the
current
I
Class
Limit.
However,
no
repayment
will
be
made
more
than
three
years
after
the
date
of
a
payment
or
waiver.
The
Z
Class
is
also
subject
to
a
contractual
expense
limitation
agreement
whereby
Price
Associates
has
agreed
to
waive
and/or
bear
all
of
the
Z
Class’
expenses
(excluding
interest;
expenses
related
to
borrowings,
taxes,
and
brokerage;
non-recurring,
extraordinary
expenses;
and
acquired
fund
fees
and
expenses)
in
their
entirety.
This
fee
waiver
and/or
expense
reimbursement
arrangement
is
expected
to
remain
in
place
indefinitely,
and
the
agreement
may
only
be
amended
or
terminated
with
approval
by
the
fund’s
Board.
Expenses
of
the
fund
waived/paid
by
the
manager
are
not
subject
to
later
repayment
by
the
fund.
Pursuant
to
these
agreements,
expenses
were waived/paid
by
and/or
repaid
to
Price
Associates
during
the six
months
ended November
30,
2024 as
indicated
in
the
table
below.
At
November
30,
2024,
there
were
no
amounts
subject
to
repayment
by
the
fund.
Any
repayment
of
expenses
previously
waived/paid
by
Price
Associates
during
the
period
would
be
included
in
the
net
investment
income
and
expense
ratios
presented
on
the
accompanying
Financial
Highlights.
In
addition,
the
fund
has
entered
into
service
agreements
with
Price
Associates
and
two
wholly
owned
subsidiaries
of
Price
Associates,
each
an
affiliate
of
the
fund
(collectively,
Price).
Price
Associates
provides
certain
accounting
and
administrative
services
to
the
fund.
T.
Rowe
Price
Services,
Inc.
provides
shareholder
and
administrative
services
in
its
capacity
as
the
fund’s
transfer
and
dividend-disbursing
agent.
T.
Rowe
Price
Retirement
Plan
Services,
Inc.
Investor
Class
Advisor
Class
I
Class
Z
Class
Expense
limitation/I
Class
Limit
0.65%
0.90%
0.05%
0.00%
Expense
limitation
date
09/30/25
07/31/27
07/31/27
N/A
(Waived)/repaid
during
the
period
($000s)
$—
$—
$—
$(478)
T.
ROWE
PRICE
Short-Term
Bond
Fund
provides
subaccounting
and
recordkeeping
services
for
certain
retirement
accounts
invested
in
the
Investor
Class
and
Advisor
Class.
For
the
six
months
ended
November
30,
2024,
expenses
incurred
pursuant
to
these
service
agreements
were
$64,000
for
Price
Associates;
$685,000
for
T.
Rowe
Price
Services,
Inc.;
and
$37,000
for
T.
Rowe
Price
Retirement
Plan
Services,
Inc.
All
amounts
due
to
and
due
from
Price,
exclusive
of
investment
management
fees
payable,
are
presented
net
on
the
accompanying
Statement
of
Assets
and
Liabilities.
T.
Rowe
Price
Investment
Services,
Inc.
(Investment
Services)
serves
as
distributor
to
the
fund.
Pursuant
to
an
underwriting
agreement,
no
compensation
for
any
distribution
services
provided
is
paid
to
Investment
Services
by
the
fund
(except
for
12b-1
fees
under
a
Board-approved
Rule
12b-1
plan).
Additionally,
the
fund
is
one
of
several
mutual
funds
in
which
certain
college
savings
plans
managed
by
Price
Associates invests.
As
approved
by
the
fund’s
Board
of
Directors,
shareholder
servicing
costs
associated
with
each
college
savings
plan
are
borne
by
the
fund
in
proportion
to
the
average
daily
value
of
its
shares
owned
by
the
college
savings
plan.
Price
has
agreed
to waive/reimburse
shareholder
servicing
costs in
excess
of
0.05%
of
the
fund’s
average
daily
value
of
its
shares
owned
by
the
college
savings
plan.
Any
amounts
waived/
paid
by
Price
under
this
voluntary
agreement
are
not
subject
to
repayment
by
the
fund.
Price
may
amend
or
terminate
this
voluntary
arrangement
at
any
time
without
prior
notice.
For
the
six
months ended
November
30,
2024,
the
fund
was
charged $260,000 for
shareholder
servicing
costs
related
to
the
college
savings
plans, which
is
net
of
a
reimbursement
by
Price
of
$6,000.
All
amounts
due
to
and
due
from
Price,
exclusive
of
investment
management
fees
payable,
are
presented
net
on
the
accompanying
Statement
of
Assets
and
Liabilities. At
November
30,
2024,
approximately
37%
of
the
outstanding
shares
of
the
I
Class
were
held
by
college
savings
plans.
Mutual
funds,
trusts,
and
other
accounts
managed
by
Price
Associates
or
its
affiliates
(collectively,
Price
Funds
and
accounts)
may
invest
in
the
fund.
No
Price
fund
or
account
may
invest
for
the
purpose
of
exercising
management
or
control
over
the
fund.
At
November
30,
2024, 100%
of
the
Z
Class's
outstanding
shares
were
held
by
Price
Funds
and
accounts.
The fund
may
invest
its
cash
reserves
in
certain
open-end
management
investment
companies
managed
by
Price
Associates
and
considered
affiliates
of
the
fund:
the
T.
Rowe
Price
Government
Reserve
Fund
or
the
T.
Rowe
Price
Treasury
Reserve
Fund,
organized
as
money
market
funds
(together,
the
Price
Reserve
Funds).
The
Price
Reserve
Funds
are
offered
as
short-term
investment
T.
ROWE
PRICE
Short-Term
Bond
Fund
options
to
mutual
funds,
trusts,
and
other
accounts
managed
by
Price
Associates
or
its
affiliates
and
are
not
available
for
direct
purchase
by
members
of
the
public.
Cash
collateral
from
securities
lending,
if
any,
is
invested
in
the
T.
Rowe
Price
Government
Reserve Fund. The
Price
Reserve
Funds
pay
no
investment
management
fees.
As
of
November
30,
2024,
T.
Rowe
Price
Group,
Inc.,
or
its
wholly
owned
subsidiaries,
owned
51,825,393
shares
of
the
Investor
Class,
representing
18%
of
the
Investor
Class's
net
assets.
The fund may
participate
in
securities
purchase
and
sale
transactions
with
other
funds
or
accounts
advised
by
Price
Associates
(cross
trades),
in
accordance
with
procedures
adopted
by the
fund’s
Board
and
Securities
and
Exchange
Commission
rules,
which
require,
among
other
things,
that
such
purchase
and
sale
cross
trades
be
effected
at
the
independent
current
market
price
of
the
security.
During
the
six
months
ended
November
30,
2024,
the
fund
had
no
purchases
or
sales
cross
trades
with
other
funds
or
accounts
advised
by
Price
Associates.
NOTE
7
-
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
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.
100
East
Pratt
Street
Baltimore,
MD
21202
T.
Rowe
Price
Investment
Services,
Inc.
Call
1-800-225-5132
to
request
a
prospectus
or
summary
prospectus;
each
includes
investment
objectives,
risks,
fees,
expenses,
and
other
information
that
you
should
read
and
consider
carefully
before
investing.
F55-051
1/25
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.
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) Separate certifications by the registrant’s principal executive officer and principal financial officer, pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 and required by Rule 30a-2(a) under the Investment Company Act of 1940, are attached.
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 Short-Term Bond Fund, Inc. |
| | |
| By | | /s/ David Oestreicher | | |
| | David Oestreicher | | |
| | Principal Executive Officer | | |
| | |
| Date | | January 17, 2025 | | |
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 | | January 17, 2025 | | |
| | | | |
| By | | /s/ Alan S. Dupski | | |
| | Alan S. Dupski | | |
| | Principal Financial Officer | | |
| | |
| Date | | January 17, 2025 | | |
