T. Rowe Price Capital Appreciation Equity ETF

TCAF

Market cap $6.76B

Key Takeaways Active ETFs again set global AUM record seeing huge jumps Active ETFs have produced net inflows for a remarkable 71 consecutive months Total active ETF AUM up 11.6% YTD Active ETFs have taken on a new level of significance in the ETF landscape, once again setting a record.

Financial advisors are turning to active ETFs as a solution to navigating concentrated markets. Recent survey data reveals that fundamental research and strong performance top their priority lists.

Don't miss out on these winners.

TCAF is an actively managed large/mid-cap ETF led by David Giroux. Its expense ratio is 0.31% and the fund has $6.4B in assets under management since its launch in mid-2023. Using a bottom-up stock selection strategy, TCAF aims to outperform the S&P 500 Index with less risk. However, it's trailed SPY by nearly 12%, with volatility being only marginally lower. The ~2.5-year measurement period is short, and my returns distribution analysis indicates this period is highly unusual. A greater frequency of down months could help TCAF gain some ground.

T. Rowe Price Investment Management saw its active ETF asset base nearly double over the past year, as investors poured money into funds focused on stock and bond selection rather than passive index tracking, according to Todd Rosenbluth, head of research at VettaFi.

Markets entered 2025 facing significant concentration risk. Indeed, 2024 saw almost half of its performance owe the Magnificent Seven.

The active ETF market split along strategy lines in 2025, with discretionary equity funds gaining 3.3% market share while systematic equity funds lost 1.1%, according to Morningstar data shared by Ben Johnson, head of client solutions and asset management at the firm. The divergence shows not all active strategies performed equally, with the T.

T. Rowe Price added two new ETFs to its suite this week that innovate on the firm's existing ETF roster. The T. Rowe  Price Active Core U.S. Equity ETF (TACU) and the T.

December is here, and markets look set for a hopeful but uncertain end to 2025. Key equity holdings, including leading megacap tech names like Nvidia (NVDA), have seen some volatility in recent weeks.

Star managers are making the move to ETFs.