T. Rowe Price U.S. Treasury Money Fund (PRTXX)
Ticker Symbol:
Fund Status:
Open to new Retail investors  /  Open to subsequent Retail investments
Fund Management
Fund Manager
  • Joseph K. Lynagh, CFA
  • Managed Fund Since: 01/30/2009
  • Joined Firm On 05/14/1990*
  • B.S. and M.S., Loyola College, Baltimore, Maryland

* Firm refers to T. Rowe Price Associates and Affiliates
Quarterly Commentaries
as of

The Federal Reserve did not raise short-term interest rates in the second quarter of 2016, citing concerns with global market volatility. The central bank kept the federal funds target rate in the 0.25% to 0.50% range that it established when it raised rates in December 2015. As a result, yields for money market investors remain low.

The U.S. Treasury Money Fund returned 0.00% in the quarter compared with 0.01% for the Lipper U.S. Treasury Money Market Funds Average. For the 12 months ended June 30, 2016, the fund returned 0.01% versus 0.02% for the Lipper U.S. Treasury Money Market Funds Average. The fund's average annual total returns were 0.01%, 0.01%, and 0.80% for the 1-, 5-, and 10-year periods, respectively, as of June 30, 2016. The fund's expense ratio was 0.44% as of its fiscal year ended May 31, 2015. The fund's seven-day simple annualized yield as of June 30, 2016, was 0.0100%. Its seven-day simple annualized yield without waiver was −0.0300%.* The fund's yield more closely reflects its current earnings than the total return.
For up-to-date standardized total returns, including the most recent month-end performance, please click on the Performance tab, above.
Current performance may be lower or higher than the quoted past performance, which cannot guarantee future results. Return and yield will vary.

You could lose money by investing in the Fund. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. An investment in the Fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The Fund's sponsor has no legal obligation to provide financial support to the Fund, and you should not expect that the sponsor will provide financial support to the Fund at any time.
* In an effort to maintain a zero or positive net yield for the fund, T. Rowe Price has voluntarily waived all or a portion of the management fee it is entitled to receive from the fund. A fee waiver has the effect of increasing the fund's net yield. The 7-day yield without waiver represents what the yield would have been if we were not waiving our management fee. This voluntary waiver is in addition to any contractual expense ratio limitation in effect for the fund and may be amended or terminated at any time without prior notice. Please see the prospectus for more details.

Benchmark Definitions

Although new SEC rules are changing the way many money market funds are managed, investors in the U.S. Treasury Money Fund will see virtually no change in the way we manage the fund. The fund will remain open to individual and institutional investors, its net asset value will still be managed to remain at $1.00 per share, and-unlike nongovernment money market funds-it will not implement liquidity fees or temporarily suspend redemptions (also known as "gates") in times of severe market stress or significant redemption pressure on the fund.

While the timing of the Fed's next move is still unclear, we continue to believe that Fed rate hikes will be gradual. The Fed, by its own admission, is cognizant of the global markets' ability to impact the U.S. economy, so central bank policymakers are keeping a watchful eye on global forces as they make their decisions. We are ready to take advantage of higher rates when they come, but principal stability and liquidity remain our highest priorities.

See Glossary for additional details on all data elements.