T. Rowe Price Capital Appreciation Equity ETF

TCAF

Market cap $5.75B

Active ETFs continue to see significant inflows as more and more investors take to the category's potential for outperformance. In both equities and fixed income segments, active ETFs can provide flexibility and tax efficiency compared to other popular investment areas.

The end of the year is approaching sooner than many investors and advisors may think. That means tax loss harvesting season is just around the corner, and for many market watchers, may already be here.

The Fed's big rate cut has arrived, boosting market performance and brightening outlooks. With potentially even more cuts coming down the line, too, investors have reason for optimism.

Investors have a growing number of active ETF options to choose from as the category continues to rise in prominence. As that category plays a bigger and bigger role in investor portfolios, choosing the right fund from that category matters.

The U.S. active ETF boom is now more than just billion-dollar blockbusters from the most prominent asset managers. Increasingly, smaller funds are building quietly.

On this episode of the ETF of the Week podcast, VettaFi's Head of Research Todd Rosenbluth discussed the T. Rowe Price Capital Appreciation Equity ETF (TCAF) with Chuck Jaffe of Money Life.

VettaFi's Head of Research Todd Rosenbluth discussed the T. Rowe Price Capital Appreciation Equity ETF (TCAF) on this week's “ETF of the Week” podcast with Chuck Jaffe of “Money Life.

In a sea of active ETF launches in the last two years, T. Rowe Price continues to bring strategies to market that resonate for investors.

T. Rowe Price Capital Appreciation Equity ETF holds top-tier AI and tech leaders like MSFT, NVDA, and AMZN, all of which have strong growth prospects and innovation pipelines. Despite strong holdings, TCAF's top stocks are mostly trading above historical P/E ratios, signaling the ETF is currently overvalued. TCAF's 0.31% expense ratio is high, and its performance has lagged behind cheaper alternatives like VOO.

Advisors and investors showed strong interest in actively managed ETFs and municipal bond products in June according to VettaFi sentiment. While industrywide flows strong support the former, we think the latter is similarly compelling.