T. Rowe Price Global Allocation Fund (RPGAX)
Filed: 22 Dec 22, 12:00am
December 22, 2022
Ms. Lauren Hamilton
Division of Investment Management
U.S. Securities and Exchange Commission
Disclosure and Review and Accounting Office
100 F Street, N.E.
Washington, D.C. 20549-4644
Re: Funds Listed in Exhibit
Dear Ms. Hamilton:
This letter responds to the Securities and Exchange Commission (SEC) Staff’s additional comments discussed with Richard Sennett, Brian Poole, Susan Silva, and Vicki Booth on December 6, 2022, which relate to the SEC Staff’s original comments provided on September 28, 2022, for the annual reports and Form N-CEN filings of certain T. Rowe Price funds and our November 15, 2022, response letter to those original comments.
1. SEC Comment: Responses to comments 4, 5, and 7 noted that related changes would be corrected going forward in filings. It is recommended that amended filings be filed with the SEC as it is best practice to have the most accurate information on file.
Management Response: With respect to original comments 4, 5, and 7, on December 9, 2022, Form N-CEN was refiled for the following funds, items, and reporting periods: (i) T. Rowe Price Tax-Free High Yield Fund, item C.8.b. for the February 28, 2022 reporting period (Accession #0001752724-22-277096); (ii) T. Rowe Price Institutional High Yield Fund, item C.6.b. for the May 31, 2022 reporting period (Accession #0001752724-22-277098); and (iii) T. Rowe Price Floating Rate Fund, item C.9. for the May 31, 2022 reporting period (Accession #0001752724-22-277097).
2. SEC Comment: For original comment 11, please provide additional color in correspondence, explaining the increase in the expense ratio for the Advisor Class of the New Income Fund related to an increase in the number of smaller retail accounts yet there was a decrease in net assets.
Management Response: In September 2021, the number of open shareholder accounts increased significantly from 47 to 1,502 (representing an approximate 3200% increase in accounts) in the Advisor Class of the New Income Fund (Fund), primarily due to an intermediary that opened several accounts on behalf of its clients. The value of those accounts was generally small, particularly when compared to the Advisor Class’s average account size in prior periods; and therefore, the number of accounts compared to the assets of those accounts was disproportional. Because the Fund incurs certain transfer agent expenses on a per account basis, the increase in shareholder servicing costs related to transfer agent services to the Advisor Class is driven by the number of accounts and not assets invested in the Class. In addition, there were net redemptions in the Advisor Class during the May 31, 2022, reporting period, which reduced the Advisor Class’s net assets and contributed to the increase in the expense ratio.
3. SEC Comment: For original comment 18, please explain why Global Allocation Fund invested in the Investor Class of Emerging Markets Local Currency Bond Fund until November 2021 when it transferred assets to the I Class, yet the I Class was available starting in 2015.
Management Response: Global Allocation Fund (Fund) incepted May 29, 2013, and initially invested in Emerging Markets Local Currency Bond Fund – Investor Class (Investor Class), which was the lowest fee class available to the Fund at that time. The Fund did not invest in the I Class of Emerging Markets Local Currency Bond Fund (I Class) when it incepted December 17, 2015. During a review in November 2021, the Fund’s investment in the Investor Class was transferred to the I Class. Subsequent to that review, the Adviser reimbursed the Fund $138,809.43 for the fee
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difference during the period the Fund was not invested in the I Class. The fee differential was solely related to class level expenses because the management fee of the Emerging Markets Local Currency Bond Fund was waived for the Fund’s investment. The reimbursement was not material to the Fund as it represented approximately 0.01% of the Fund’s net assets as of October 31, 2022.
If you have any additional questions or would like to discuss any response, please contact me (410-577-5143, Alan.Dupski@troweprice.com), Rick Sennett (410-577-4308, Richard.Sennett@troweprice.com), Susan Silva (410-345-6213, Susan.Silva@troweprice.com), or Brian Poole (410-345-6646, Brian.Poole@troweprice.com).
Respectfully,
/s/Alan S. Dupski
Alan S. Dupski
Treasurer, T. Rowe Price Funds
cc: Kristin Francisco – Partner, PricewaterhouseCoopers LLP
Fran Pollack-Matz – Managing Counsel, T. Rowe Price Associates, Inc.
Dino Capasso – Chief Compliance Officer, T. Rowe Price Associates, Inc.
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EXHIBIT
File # | Registrant Name | Series Name | FYE Reviewed |
811-02684 | T. Rowe Price Tax-Free Income Fund, Inc. | T. Rowe Price Tax-Free Income Fund, Inc. | 02/28/2022 |
811-03055 | T. Rowe Price Tax-Exempt Money Fund, Inc. | T. Rowe Price Tax-Exempt Money Fund, Inc. | 02/28/2022 |
811-03872 | T. Rowe Price Tax-Free Short-Intermediate Fund, Inc. | T. Rowe Price Tax-Free Short-Intermediate Fund, Inc. | 02/28/2022 |
811-04163 | T. Rowe Price Tax-Free High Yield Fund, Inc. | T. Rowe Price Tax-Free High Yield Fund, Inc. | 02/28/2022 |
811-04521 | T. Rowe Price State Tax-Free Funds, Inc. | T. Rowe Price Georgia Tax-Free Bond Fund | 02/28/2022 |
811-04521 | T. Rowe Price State Tax-Free Funds, Inc. | T. Rowe Price New Jersey Tax-Free Bond Fund | 02/28/2022 |
811-04521 | T. Rowe Price State Tax-Free Funds, Inc. | T. Rowe Price Maryland Short-Term Tax-Free Bond Fund | 02/28/2022 |
811-04521 | T. Rowe Price State Tax-Free Funds, Inc. | T. Rowe Price Maryland Tax-Free Money Fund | 02/28/2022 |
811-04521 | T. Rowe Price State Tax-Free Funds, Inc. | T. Rowe Price New York Tax-Free Money Fund | 02/28/2022 |
811-04521 | T. Rowe Price State Tax-Free Funds, Inc. | T. Rowe Price Maryland Tax-Free Bond Fund | 02/28/2022 |
811-04521 | T. Rowe Price State Tax-Free Funds, Inc. | T. Rowe Price Virginia Tax-Free Bond Fund | 02/28/2022 |
811-04521 | T. Rowe Price State Tax-Free Funds, Inc. | T. Rowe Price New York Tax-Free Bond Fund | 02/28/2022 |
811-07353 | T. Rowe Price Corporate Income Fund, Inc. | T. Rowe Price Corporate Income Fund, Inc. | 05/31/2022 |
811-08207 | T. Rowe Price Tax-Efficient Funds, Inc. | T. Rowe Price Tax-Efficient Equity Fund | 02/28/2022 |
811-21055 | T. Rowe Price Institutional Income Funds, Inc. | T. Rowe Price Institutional Long Duration Credit Fund | 05/31/2021 |
811-21055 | T. Rowe Price Institutional Income Funds, Inc. | T. Rowe Price Institutional Cash Reserves Fund | 05/31/2022 |
811-21055 | T. Rowe Price Institutional Income Funds, Inc. | T. Rowe Price Institutional High Yield Fund | 05/31/2022 |
811-21055 | T. Rowe Price Institutional Income Funds, Inc. | T. Rowe Price Institutional Floating Rate Fund | 05/31/2021 |
811-22620 | T. Rowe Price Multi-Sector Account Portfolios, Inc. | T. Rowe Price Investment-Grade Corporate Multi-Sector Account Portfolio | 02/28/2022 |
811-22620 | T. Rowe Price Multi-Sector Account Portfolios, Inc. | T. Rowe Price Emerging Markets Local Multi-Sector Account Portfolio | 12/31/2021 |
811-22620 | T. Rowe Price Multi-Sector Account Portfolios, Inc. | T. Rowe Price Mortgage-Backed Securities Multi-Sector Account Portfolio | 02/28/2022 |
811-22620 | T. Rowe Price Multi-Sector Account Portfolios, Inc. | T. Rowe Price Emerging Markets Corporate Multi-Sector Account Portfolio | 12/31/2021 |
811-22620 | T. Rowe Price Multi-Sector Account Portfolios, Inc. | T. Rowe Price Floating Rate Multi-Sector Account Portfolio | 02/28/2022 |
811-22620 | T. Rowe Price Multi-Sector Account Portfolios, Inc. | T. Rowe Price High Yield Multi-Sector Account Portfolio | 02/28/2022 |
811-22968 | T. Rowe Price Intermediate Tax-Free High Yield Fund, Inc. | T. Rowe Price Intermediate Tax-Free High Yield Fund, Inc. | 02/28/2022 |
811-02958 | T. Rowe Price International Funds, Inc. | T. Rowe Price Emerging Markets Stock Fund | 10/31/2021 |
811-02958 | T. Rowe Price International Funds, Inc. | T. Rowe Price Global High Income Bond Fund | 12/31/2021 |
811-02958 | T. Rowe Price International Funds, Inc. | T. Rowe Price Emerging Markets Local Currency Bond Fund | 12/31/2021 |
811-02958 | T. Rowe Price International Funds, Inc. | T. Rowe Price Emerging Markets Corporate Bond Fund | 12/31/2021 |
811-02958 | T. Rowe Price International Funds, Inc. | T. Rowe Price Emerging Markets Bond Fund | 12/31/2021 |
811-02958 | T. Rowe Price International Funds, Inc. | T. Rowe Price International Stock Fund | 10/31/2021 |
811-02958 | T. Rowe Price International Funds, Inc. | T. Rowe Price International Disciplined Equity Fund | 10/31/2021 |
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File # | Registrant Name | Series Name | FYE Reviewed |
811-02958 | T. Rowe Price International Funds, Inc. | T. Rowe Price International Bond Fund | 12/31/2021 |
811-02958 | T. Rowe Price International Funds, Inc. | T. Rowe Price Latin America Fund | 10/31/2021 |
811-02958 | T. Rowe Price International Funds, Inc. | T. Rowe Price European Stock Fund | 10/31/2021 |
811-02958 | T. Rowe Price International Funds, Inc. | T. Rowe Price Overseas Stock Fund | 10/31/2021 |
811-02958 | T. Rowe Price International Funds, Inc. | T. Rowe Price Emerging Europe Fund | 10/31/2021 |
811-02958 | T. Rowe Price International Funds, Inc. | T. Rowe Price Global Growth Stock Fund | 10/31/2021 |
811-02958 | T. Rowe Price International Funds, Inc. | T. Rowe Price Japan Fund | 10/31/2021 |
811-02958 | T. Rowe Price International Funds, Inc. | T. Rowe Price Emerging Markets Discovery Stock Fund | 10/31/2021 |
811-02958 | T. Rowe Price International Funds, Inc. | T. Rowe Price New Asia Fund | 10/31/2021 |
811-02958 | T. Rowe Price International Funds, Inc. | T. Rowe Price Global Stock Fund | 10/31/2021 |
811-02958 | T. Rowe Price International Funds, Inc. | T. Rowe Price Dynamic Global Bond Fund | 12/31/2021 |
811-02958 | T. Rowe Price International Funds, Inc. | T. Rowe Price Africa & Middle East Fund | 10/31/2021 |
811-02958 | T. Rowe Price International Funds, Inc. | T. Rowe Price Asia Opportunities Fund | 10/31/2021 |
811-02958 | T. Rowe Price International Funds, Inc. | T. Rowe Price International Value Equity Fund | 10/31/2021 |
811-02958 | T. Rowe Price International Funds, Inc. | T. Rowe Price International Discovery Fund | 10/31/2021 |
811-02603 | T. Rowe Price Government Money Fund, Inc. | T. Rowe Price Government Money Fund, Inc. | 05/31/2022 |
811-03894 | T. Rowe Price Short-Term Bond Fund, Inc. | T. Rowe Price Short-Term Bond Fund, Inc. | 05/31/2022 |
811-03894 | T. Rowe Price Short-Term Bond Fund, Inc. | T. Rowe Price Ultra Short-Term Bond Fund | 05/31/2022 |
811-04119 | T. Rowe Price High Yield Fund, Inc. | T. Rowe Price U.S. High Yield Fund | 05/31/2021 |
811-04119 | T. Rowe Price High Yield Fund, Inc. | T. Rowe Price High Yield Fund, Inc. | 05/31/2021 |
811-04441 | T. Rowe Price GNMA Fund, Inc. | T. Rowe Price GNMA Fund | 05/31/2022 |
811-05833 | T. Rowe Price Global Funds, Inc. | T. Rowe Price Institutional International Disciplined Equity Fund | 10/31/2021 |
811-05833 | T. Rowe Price Global Funds, Inc. | T. Rowe Price Global Value Equity Fund | 10/31/2021 |
811-05860 | T. Rowe Price U.S. Treasury Funds, Inc. | T. Rowe Price U.S. Treasury Money Fund | 05/31/2022 |
811-05860 | T. Rowe Price U.S. Treasury Funds, Inc. | T. Rowe Price U.S. Treasury Intermediate Index Fund | 05/31/2022 |
811-05860 | T. Rowe Price U.S. Treasury Funds, Inc. | T. Rowe Price U.S. Treasury Long-Term Index Fund | 05/31/2022 |
811-05986 | T. Rowe Price Index Trust, Inc. | T. Rowe Price Total Equity Market Index Fund | 12/31/2021 |
811-05986 | T. Rowe Price Index Trust, Inc. | T. Rowe Price Equity Index 500 Fund | 12/31/2021 |
811-05986 | T. Rowe Price Index Trust, Inc. | T. Rowe Price Mid-Cap Index Fund | 12/31/2021 |
811-05986 | T. Rowe Price Index Trust, Inc. | T. Rowe Price Small-Cap Index Fund | 12/31/2021 |
811-05986 | T. Rowe Price Index Trust, Inc. | T. Rowe Price Extended Equity Market Index Fund | 12/31/2021 |
811-07093 | T. Rowe Price Summit Funds, Inc. | T. Rowe Price Cash Reserves Fund | 10/31/2021 |
811-07095 | T. Rowe Price Summit Municipal Funds, Inc. | T. Rowe Price Summit Municipal Intermediate Fund | 10/31/2021 |
811-07095 | T. Rowe Price Summit Municipal Funds, Inc. | T. Rowe Price Summit Municipal Income Fund | 10/31/2021 |
811-07173 | T. Rowe Price Spectrum Funds II, Inc. | T. Rowe Price Spectrum Moderate Allocation Fund | 05/31/2022 |
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File # | Registrant Name | Series Name | FYE Reviewed |
811-07173 | T. Rowe Price Spectrum Funds II, Inc. | T. Rowe Price Spectrum Conservative Allocation Fund | 05/31/2022 |
811-07173 | T. Rowe Price Spectrum Funds II, Inc. | T. Rowe Price Spectrum Moderate Growth Allocation Fund | 05/31/2022 |
811-08279 | T. Rowe Price Reserve Investment Funds, Inc. | T. Rowe Price Treasury Reserve Fund | 05/31/2022 |
811-08279 | T. Rowe Price Reserve Investment Funds, Inc. | T. Rowe Price Short-Term Fund | 05/31/2021 |
811-08279 | T. Rowe Price Reserve Investment Funds, Inc. | T. Rowe Price Government Reserve Fund | 05/31/2022 |
811-10093 | T. Rowe Price QM U.S. Bond Index Fund, Inc. | T. Rowe Price QM U.S. Bond Index Fund | 10/31/2021 |
811-10063 | T. Rowe Price International Index Fund, Inc. | T. Rowe Price International Equity Index Fund | 10/31/2021 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Target 2005 Fund | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Target 2060 Fund | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Retirement 2020 Fund | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Retirement 2055 Fund | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Retirement Balanced Fund | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Retirement I 2045 Fund-I Class | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Target 2010 Fund | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Target 2045 Fund | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Retirement 2060 Fund | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Target 2020 Fund | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Retirement 2005 Fund | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Retirement I 2030 Fund-I Class | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Retirement I 2055 Fund-I Class | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Retirement I 2010 Fund-I Class | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Target 2050 Fund | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Retirement I 2015 Fund-I Class | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Target 2015 Fund | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Retirement I 2025 Fund-I Class | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Retirement I 2040 Fund-I Class | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Retirement 2050 Fund | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Retirement I 2020 Fund-I Class | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Retirement 2015 Fund | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Retirement 2040 Fund | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Target 2030 Fund | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Retirement 2045 Fund | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Target 2035 Fund | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Retirement 2030 Fund | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Target 2040 Fund | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Target 2055 Fund | 05/31/2022 |
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File # | Registrant Name | Series Name | FYE Reviewed |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Retirement I 2035 Fund-I Class | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Retirement 2010 Fund | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Retirement I 2050 Fund-I Class | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Retirement I 2005 Fund-I Class | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Retirement 2025 Fund | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Target 2025 Fund | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Retirement I 2060 Fund-I Class | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Retirement Balanced I Fund- I Class | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Retirement 2035 Fund | 05/31/2022 |
811-21185 | T. Rowe Price Inflation Protected Bond Fund, Inc. | T. Rowe Price Inflation Protected Bond Fund, Inc. | 05/31/2022 |
811-21919 | T. Rowe Price Limited-Duration Inflation Focused Bond Fund, Inc. | T. Rowe Price Limited Duration Inflation Focused Bond Fund, Inc. | 05/31/2022 |
811-22243 | T. Rowe Price Global Multi-Sector Bond Fund, Inc. | T. Rowe Price Global Multi-Sector Bond Fund, Inc. | 05/31/2021 |
811-22410 | T. Rowe Price Real Assets Fund, Inc. | T. Rowe Price Real Assets Fund, Inc. | 12/31/2021 |
811-22557 | T. Rowe Price Floating Rate Fund, Inc. | T. Rowe Price Floating Rate Fund, Inc. | 05/31/2022 |
811-22810 | T. Rowe Price Global Allocation Fund, Inc. | T. Rowe Price Global Allocation Fund, Inc. | 10/31/2021 |
811-22939 | T. Rowe Price Credit Opportunities Fund, Inc. | T. Rowe Price Credit Opportunities Fund, Inc. | 05/31/2021 |
811-23180 | T. Rowe Price Total Return Fund, Inc. | T. Rowe Price Total Return Fund | 05/31/2021 |
811-03566 | T. Rowe Price Growth & Income Fund, Inc. | T. Rowe Price Growth & Income Fund, Inc. | 12/31/2020 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Retirement 2065 Fund | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Target 2065 Fund | 05/31/2022 |
811-21149 | T. Rowe Price Retirement Funds, Inc. | T. Rowe Price Retirement I 2065 Fund-I Class | 05/31/2022 |
811-02396 | T. Rowe Price New Income Fund, Inc. | T. Rowe Price New Income Fund, Inc. | 05/31/2022 |