T. Rowe Price Ultra Short-Term Bond Fund
Actively managed U.S. bond fund
As of its 2026 Q2 report, T. Rowe Price Ultra Short-Term Bond Fund held 545 positions with $2.93B in net assets. Its ten largest holdings made up 7.7% of the fund. Over the 12 months to May 2026, TRBUX returned 4.8%, with dividends reinvested. In 2026 Q2 it added 185 new positions and exited 155.
The fund seeks a high level of income consistent with minimal fluctuations in principal value and liquidity.
The fund invests at least 80% of assets in investment-grade fixed income securities of shorter maturity, targeting a dollar-weighted average effective maturity of 1.5 years or less, and may hold corporate, government, mortgage- and asset-backed, municipal, and foreign securities. The portfolio manager adjusts maturity positioning and sector exposure based on outlook for interest rates and economic conditions, using interest rate derivatives to manage duration and credit default swaps to hedge or gain sector exposure. Because individual security selections depend on the manager's economic and credit views rather than an index, performance will diverge from any benchmark.
What you own
| Company | Weight | Value | Shares |
|---|---|---|---|
US TREASURY N/B 3.38% · due 2028-02-29 | 1.57% | $45.92M | — |
FNMA 30 YR 5.50% · due 2053-02-01 | 0.98% | $28.77M | — |
US TREASURY N/B 3.50% · due 2027-10-31 | 0.90% | $26.33M | — |
FNMA 30 YR 5.50% · due 2053-07-01 | 0.74% | $21.72M | — |
WESTERN MIDSTREAM OPERAT 4/2 144A CP 0.00% · due 2026-06-02 | 0.65% | $18.99M | — |
BATLN 2016-10A A1R3 144A 4.81% floating · due 2035-01-24 | 0.62% | $18.10M | — |
VOYA FINANCIAL INC 3.65% · due 2026-06-15 | 0.61% | $17.74M | — |
REGAL REXNORD CORP 6.05% · due 2028-04-15 | 0.58% | $17.08M | — |
BAT CAPITAL CORP 3.56% · due 2027-08-15 | 0.54% | $15.76M | — |
CARNIVAL CORP 144A 4.00% · due 2028-08-01 | 0.54% | $15.70M | — |
The 200 largest of 545 holdings, with the share counts as filed, open with a free account.
What the fund is made of
Percentages are of fund net assets. Rounding, liabilities and short positions can make totals differ from 100%.
| Bonds | 66.58% |
| Securitized | 34.35% |
| Cash & short-term | 0.19% |
| Derivatives | -0.05% |
The outer band is exposure held short — written against the portfolio rather than part of it, which is why it sits outside the ring and why the two are never netted into one figure.
Derivatives are shown at market value, not notional exposure.
By sector
- Securitized
- 34.0%
- Other
- 16.4%
- International
- 15.6%
- Financials
- 10.4%
- 11 other sectors
- 23.7%
- Securitized
- 34.0%
- Other
- 16.4%
- International
- 15.6%
- Financials
- 10.4%
- Government
- 6.5%
- Utilities
- 4.1%
- Health Care
- 3.0%
- Industrials
- 2.3%
- Energy
- 2.1%
- Real Estate
- 1.3%
- Materials
- 1.3%
- Consumer Staples
- 1.2%
- Information Technology
- 1.1%
- Consumer Discretionary
- 0.5%
- Cash
- 0.2%
How it has done
TRBUX share class · total returns with dividends reinvested
Volatility over the last 12 months: 0.56%. Past returns are a record, not a forecast.
The 3 share classes hold the same portfolio
| Share class | Expense ratio | 1 year | 3 years | 5 years | Worst fall |
|---|---|---|---|---|---|
| — | +4.78% | +18.44% | +19.97% | -0.04% | |
| — | +4.68% | +18.56% | +20.43% | 0.00% | |
| — | +5.08% | +19.29% | +21.82% | 0.00% |
These classes hold the same portfolio, so the 1.84pp spread over 5 years is the cost difference between them — roughly 0.37pp a year — not a difference in what they own.
Fees & fund details
T. Rowe Price Ultra Short-Term Bond Fund is an actively managed U.S. bond fund.
- Asset class
- Bonds
- Region
- United States
- Management
- Actively managed
- Fund type
- Open-end fund
- Credit quality
- Investment grade
- Rate sensitivity
- Short duration
- Portfolio turnover
- 73.40% a year · as of 2025 Q3
Turnover is how much of the portfolio was replaced in a year.
Classified from what the fund holds, not from its name · 2026 Q2. The summary is a paraphrase of the prospectus; the objective is verbatim.
What changed this quarter
Positions that entered or left the fund since its previous filing. Positions that were only resized are not listed.
185 new· the largest 8
155 exited· the largest 8
Debt profile
What this fund holds — value-weighted across its bond and securitized long positions · as of 2026-05-31
Share of the fund's debt by how its coupon behaves — the fact that decides whether a rate move reaches this portfolio at all.
| Fixed rate | 61.0% |
| Floating rate | 28.9% |
| Zero-coupon or unclassified | 10.2% |
Share of the fund's debt value in each maturity band, shortest first.
| <1y | 23.2% |
| 1-3y | 41.0% |
| 3-5y | 10.0% |
| 5-10y | 11.9% |
| 10y+ | 13.8% |
Based on what filers reported; a filer that never reported a flag also reads as none.
Risk profile
Interest-rate and credit-spread sensitivity, both in years · as of 2026Q2
More of this fund’s sensitivity sits in credit spreads than in interest rates — a rate rally that comes with a credit selloff works against it.
Where the loss would come from. The two shocks are the same size, so this is the balance of the fund's two sensitivities rather than a bet on one moving more.
| Credit spreads | 65% |
| Interest rates | 35% |
Filers report the impact of a 0.01% move only, so the total is our own scaling of that one number and overstates the loss on most bonds — read it as approximate, never as precise. The two sensitivities overlap rather than add up: they measure the same positions against different shocks, which is why the durations above are shown side by side and never summed.
Share of the fund's spread duration carried by each credit tier.
| Investment grade | +1.20 yr |
| High yield | +0.02 yr |
Share of duration at each point, shortest first. A positive figure loses value when spreads widen; a negative one offsets — a credit hedge.
| 3 mo | 0.10 yr | 14% |
| 1 yr | 0.52 yr | 71% |
| 5 yr | 0.11 yr | 15% |
10 yr and 30 yr are NEGATIVE (-0.06 yr, -0.02 yr) — a deliberate hedge at that point on the curve, so they are not part of the band above.
| 3 mo | 0.06 yr | 5% |
| 1 yr | 0.82 yr | 68% |
| 5 yr | 0.33 yr | 27% |
| 10 yr | 0.00 yr | 0% |
The two bands measure the same positions against different shocks and do not add — a Treasury carries rate duration and no spread duration, a floating-rate credit the reverse. Rate tenors are also summed across every currency the fund discloses.
Show the numbers
| Tenor | Rate yrs | IG yrs | HY yrs | IG $/bp | HY $/bp |
|---|---|---|---|---|---|
| 3 mo | +0.10 | +0.06 | +0.00 | $17.4k | $539 |
| 1 yr | +0.52 | +0.81 | +0.01 | $236.5k | $4.3k |
| 5 yr | +0.11 | +0.32 | +0.01 | $94.9k | $1.6k |
| 10 yr | -0.06 | +0.00 | +0.00 | $1.3k | $0 |
| 30 yr | -0.02 | +0.00 | +0.00 | $0 | $0 |
Dollar change per 1bp of spread movement, as filed and sign-anchored. A blank cell was not filed; a zero was.
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