Strong Results From a Target Date Leader - T. Rowe …...along its glide path. T. Rowe Price uses...

Strong Results From a Target Date LeaderAt T. Rowe Price, we believe that investment success comes from balancing market, inflation, and longevity risks. This principle is at the core of our target date philosophy—and serves as the foundation for every decision we make to seek the best possible outcomes for our clients.

Over 95% of our Retirement Funds with a 10-year track record beat their 10-year Lipper average as of 9/30/19.1

2

Three Differentiators to Help Participants Achieve Lifetime Income

Goal-Driven Glide Path To help support lifetime income through prudent risk management

Dynamic Tactical Adjustments To help mitigate risks and enhance returns

The Opportunity of Active Management Our target date portfolios are invested across asset classes, regions, styles, and capitalizations seeking to reduce portfolio volatility and deliver strong, long-term performance

Our Best Thinking, Translated Into Solutions

Collaboration between our portfolio management and global research teams underlies our history of leadership.

§ Over 25 years of offering multi-asset solutions to meet client objectives

§ Pioneer in offering target date solutions since 2002

§ Commitment to dedicated multi-asset research and development

Over 75% of our mutual funds with a 10-year track record outperformed2

For the 10-year period ended September 30, 2019, over 75% of our funds with a 10-year track record outperformed their comparable Lipper average.

179 funds have 4 or 5 stars179 funds have received a 4- or 5-star Overall Morningstar RatingTM (or 58.9% versus a 32.5% industry average— as of 9/30/19).3

Past performance cannot guarantee future results.Results will vary for other periods, and all funds are subject to market risk.1 36 of our 40 Retirement Funds (Investor, Advisor, and R Class) had a 10-year track record as of 9/30/19 (includes all share classes). 35 of these 36 funds beat their Lipper average for the 10-year period. 29 of 40, 38 of 39, and 38 of 39 of the Retirement Funds outperformed their Lipper average for the 1-, 3-, and 5-year periods ended 9/30/19, respectively. Calculations are based on cumulative total return. Not all funds outperformed for all periods. (Source for data: Lipper Inc.)

2 169 of our 368 mutual funds had a 10-year track record as of 9/30/19. (Includes all share classes and excludes funds used in insurance products.) 132 of these 169 funds (79%) beat their Lipper average for the 10-year period. 282 of 368 (77%), 244 of 316 (77%), and 177 of 227 (78%) of T. Rowe Price funds outperformed their Lipper average for the 1-, 3-, and 5-year periods ended 9/30/19, respectively. Calculations are based on cumulative total return. Not all funds outperformed for all periods. (Source for data: Lipper Inc.)

3 Morningstar gives its best ratings of 5 or 4 stars to the top 32.5% of all funds (of the 32.5%, 10% get 5 stars and, 22.5% get 4 stars) based on their risk-adjusted returns. The Overall Morningstar RatingTM is derived from a weighted average of the performance figures associated with a fund’s 3-, 5-, and 10-year (if applicable) Morningstar RatingTM metrics. By comparison, as of September 30, 2019, 60.9% (193 of 317) of our rated funds (includes all share classes) received an overall rating of 5 or 4 stars.

3

We’ve Added Value for Our Clients Over Time

Past performance cannot guarantee future results.Results will vary for other periods, and all funds are subject to market risk.4 We examined the performance of all of our Retirement Funds (RFs) that had at least 10-year track records as of December 31, 2018. To quantify the total value added by T. Rowe Price’s target date implementation, RF returns in each rolling period were compared with combined index benchmarks created by T. Rowe Price that closely mirror the strategic allocations of each RF as it moves along its glide path. To account for the differing inception dates (and thus, longevity) of each RF, these averages were time-weighted—that is, the results are based on the percentage of the total performance periods in each time frame provided by each RF. To provide a summary of the effectiveness of T. Rowe Price’s target date process, we calculated performance averages for all 11 RFs across all 3 levels of our analysis (total value added, tactical allocation, and security selection). To account for the differing longevity of each RF, these averages were time-weighted—the results are based on the percentage of the total performance periods in each time frame provided by each RF. To quantify the value added by T. Rowe Price’s tactical allocation process, RF returns calculated using each fund’s fixed strategic asset allocation were compared with the returns based on actual allocation weights. To quantify the value added by security selection, excess returns—net of fees and other costs—were calculated for the underlying funds in each RF. Returns were calculated relative to each underlying fund’s asset class, sector, or style benchmark. Returns were then aggregated to show the total excess returns for each RF. To quantify the total value added by T. Rowe Price’s target date implementation, RF returns in each rolling period were compared with combined index benchmarks created by T. Rowe Price that closely mirror the strategic allocations of each RF as it moves along its glide path. T. Rowe Price uses combined index benchmarks to measure the relative performance of the firm’s Retirement Funds. These benchmarks are constructed from 4 indexes that reflect the broad asset classes in the underlying RF portfolios: U.S. Equity: The Russell 3000 Index, Non-U.S. Equity: The MSCI All Country World Index ex USA, Fixed Income: The Bloomberg Barclays U.S. Aggregate Bond Index, and Inflation Focused Fixed Income: The Bloomberg Barclays U.S. 1–5 Year Treasury TIPS Index. The combined benchmarks mirror the strategic allocations for each fund, isolating the contributions made by tactical allocation and security selection. This means the weights assigned to different asset classes in the benchmarks will change over time as the funds move along their glide paths. The combined index benchmarks for the 11 funds included in our analysis can be found at troweprice.com/targetdate.

5 For Lipper Best Individual Funds, the calculation periods extend over 36, 60, and 120 months. The highest Lipper Leader for Consistent Return (Effective Return) value within each eligible classification determines the fund classification winner over 3, 5, or 10 years as of the period-end and no other time periods. Only one share class (the one with the best Lipper Leader score) is used for each portfolio in determining asset class and overall awards. Only eligible investors may purchase Institutional shares. See a prospectus for eligibility requirements and other available share classes.

Over 95% of our Retirement Funds

with a 10-year track record beat their 10-year Lipper average as of 9/30/191

Active portfolio management added excess returns in

100%of rolling 10-year periods since inception for each

T. Rowe Price Retirement Fund4

For all 11 Retirement Funds with a 10-year track record, tactical allocation

added value in 87% or more of all rolling

five-year periods and in 100% of rolling 10-year periods since inception4

T. Rowe Price Retirement Funds recognized with

15 awards for strong, risk-adjusted

performance across 3-, 5-, or 10-year periods5

4

Past performance cannot guarantee future results.Value added is calculated by comparing the returns of the 11 Retirement Funds with a 10-year track record using each fund’s fixed strategic asset allocation versus the returns based on the actual allocation weights. To provide a high-level summary, a time-weighted performance average was calculated for the 11 Retirement Funds. Hit Rates are the percentage of the total rolling periods in each time frame in which active portfolio management made a positive contribution to fund returns. Value Added is the return contribution made by tactical asset allocation. Excess returns were calculated for each rolling period and then averaged across all the periods in each time frame.

Dynamic Tactical Adjustments Have Added Value4

Tactical allocation has added positive value over time, contributing to better outcomes.

tes 74%87%100%

Percentage of Time Tactical Allocation Has Added Value (net of Fund Inceptions Through September 30, 2019

Rolling Periods3-year

5-year

10-year

Average Value Added (net of fees) by Tactical AllocationFund Inceptions Through September 30, 2019

0 5 10 15 20

10-year

5-year

3-year 13

14

14

Rolling Periods

Value Added (in Basis Points)

Percentage of Time Tactical Allocation Has Added Value (net of fees) Fund Inceptions Through September 30, 2019


5-year

10-year

73%87%100%Hit Rates

On average, we’ve added 14 basis points over every rolling 10-year period since inception due to our tactical asset allocation.

Underlying Active Management Has Driven Excess Positive Returns4

Underlying active management has added value in 100% of all rolling 10-year periods net of fees.

76%87%100%

Average Value Added (net of fees) by Underlying Active ManagementFund Inceptions Through September 30, 2019

0 5 10 15 20 25 30 35 40 45

10-year

5-year

3-year 35

39

40

Rolling Periods

Value Added (in Basis Points)

Percentage of Time Underlying Active Management Has Added Value(net of fees) Fund Inceptions Through September 30, 2019


5-year

10-year

76%87%100%Hit Rates

On average, we’ve added 40 basis points over every rolling 10-year period since inception due to our underlying active management.

5

Even a Small Amount of Excess Returns Can Have a Profound Impact Over Time

200,000

400,000

600,000

1,000,000

800,000

+2 AdditionalYears ofSpending

+5 AdditionalYears ofSpending

Past performance cannot guarantee future results.Results will vary for other periods, and all funds are subject to market risk.

The results shown above are hypothetical, do not reflect actual investment results, and are not a guarantee of future results. Hypothetical results were developed with the benefit of hindsight and have inherent limitations. Hypothetical results do not reflect actual trading or the effect of material economic and market factors on the decision-making process. Results do not include the impact of fees, expenses, or taxes. Results have been adjusted to reflect the reinvestment of dividend and capital gains. Actual returns may differ significantly from the results shown. The demographic assumptions, returns, and ending balances are shown for illustrative purposes only and are not intended to provide any assurance or promise of actual returns and outcomes.

6

Strong Performance and Risk-Adjusted Outcomes

Our Retirement Funds have regularly outperformed across rolling 3-, 5-, and 10-year periods since inception.1

As of September 30, 2019

Past performance cannot guarantee future results.1 Figures reflect the aggregate performance of the 11 Retirement Funds (RF) with a 10-year track record (Retirement 2005 through Retirement 2055 Funds).2 Of the 11 Retirement Funds with a 10-year track record (the Retirement 2005 through 2055 Funds), 10 of 11, 10 of 11, and 10 of 11 funds were in the top quartile for each of the 3-, 5-, and 10-year periods ended September 30, 2019. See page 9 for additional ranking information.

* T. Rowe Price has created combined index performance benchmarks for its Retirement Funds. These benchmarks are constructed from 4 indexes that reflect the broad asset classes in the underlying RF portfolios: U.S. Equity represented by the Russell 3000 Index, Non-U.S. Equity represented by the MSCI All Country World Index ex USA, Fixed Income represented by the Bloomberg Barclays U.S. Aggregate Bond Index, and Inflation Focused Fixed Income represented by the Bloomberg Barclays 1–5 Year TIPS Index.

** Sharpe ratio is a measure of excess return per unit of risk. It measures return above or below the risk-free rate (T-bills), per unit of risk taken (portfolio’s standard deviation).

Source for Lipper Data: Lipper Inc.

Top Quartile vs. PeersPercent of time Retirement Funds were in the top quartile2 compared with Lipper peers

Outperformance over S&P Target Date IndexPercent of time Retirement Funds exceeded the S&P Target Date Index

Outperformance over combined passive benchmarkPercent of time Retirement Funds exceeded the combined passive benchmark*

Risk-adjusted outperformance over peersPercent of time Retirement Funds’ Sharpe ratios** were in the top half compared with Lipper peers

3-Year 5-Year 10-Year

84% 92% 98%84% 92% 98%84% 92% 98%


87% 95% 100%87% 95% 100%87% 95% 100%


77% 79% 100%77% 79% 100%77% 79% 100%


90% 93% 98%90% 93% 98%90% 93% 98%

7

What It All Adds Up to for Participants

Adding in the incremental value we have created through our underlying active management and tactical asset allocation, we can compare the total value we delivered over the S&P Target Date Index.

As of September 30, 2019

Chart shows growth of 100,000 USD invested in the T. Rowe Price Retirement 2030 Combined Index and the S&P Target Date 2030 Index on September 30, 2002.

Retirement 2030 Fund performance as of 9/30/19: 1-year 4.38%, 5-year 7.16%, 10-year 9.67%.Current performance may be higher or lower than the quoted past performance, which cannot guarantee future results. Share price, principal value, and return will vary, and you may have a gain or loss when you sell your shares. To obtain the most recent month-end performance, please call 1-800-638-7890 or go to troweprice.com. Figures include changes in principal value, reinvested dividends, and capital gain distributions. It is not possible to invest directly in an index.

Today, a participant would have had 25,980 USD more due to our underlying active management and tactical asset allocation.

In total, the participant would have had 72,890 USD more than if he or she had invested in the S&P Target Date 2030 Index.

Hyp

othe

tical

Tot

al A

ccou

nt V

alue

(USD

)

100,000

150,000

200,000

250,000

300,000

350,000

400,000

450,000RF 2030Total Value441,080 USD Tactical & Active ManagementGlide Path and DiversificationS&P Target Date2030 Index368,190 USD

Cumulative Growth of 100,000 USD—Retirement 2030 Fund (RF) vs. S&P Target Date 2030 Index

9/18 9/199/179/169/159/149/139/129/119/109/099/089/079/069/059/049/039/02

8

Even During the Financial Crisis, Our Solution Would Have Led to Better Outcomes

At the bottom of the market in 2009, a participant that invested in our glide path from inception would have had more money in their account compared with a lower-equity approach.

The performance shown on this page does not reflect the deduction of investment fees or expenses. If such fees were taken into consideration, the results would be different. Past performance cannot guarantee future results.Chart shows growth of 100,000 USD invested in the T. Rowe Price Retirement 2010 Combined Index and the S&P Target Date 2010 Index on September 30, 2002.

Figures include changes in principal value, reinvested dividends, and capital gain distributions.

The results above represent index performance. All examples are for illustrative purposes only and do not represent the performance of a particular investment. It is not possible to invest directly in an index.

The most recent mix of underlying indices as of September 30, 2019, for the Retirement 2010 Combined Index is 28.70% Russell 3000 Index, 12.30% MSCI All Country World Index ex-U.S., 42.00% Bloomberg Barclays U.S. Aggregate Bond Index, and 17.00% Bloomberg Barclays U.S. 1–5 Year Treasury TIPS Index.

100,000

150,000

200,000

250,000

300,000

350,000

9/02

9/03

9/04

9/05

9/06

9/07

9/08

9/09

9/10

9/11

9/12

9/13

9/14

9/15

9/16

9/17

9/18

9/19

185,700-167,800

17,900

316,190-274,200

41,990

-123,930123,150

780S&P Target Date Glide Path

T. Rowe Price Retirement Glide Path

Hyp

othe

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Tot

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ccou

nt V

alue

(USD

)

T. Rowe Price Retirement 2010 Glide Path vs. S&P Target Date 2010 Index

During the market downturn, a participant invested in the T. Rowe Price approach would have fallen from a higher peak, but their balance never dropped below that of the participant invested in the S&P Target Date approach.

As the market recovered, they again would have benefited from the higher-equity approach of T. Rowe Price and now would have had 41,990 USD more in their account.

9

Fund Morningstar CategoryOne-Year Return Percentile Rank

Three-Year Return Percentile Rank

Five-Year Return Percentile Rank

Ten-Year Return Percentile Ran

Morningstar Category

Retirement 2060 Fund US Fund Target Date 2060+

10th 15th 14th –12 out of 222 19 out of 146 7 out of 41

Retirement 2055 Fund US Fund Target Date 2055

10th 12th 7th 1st12 out of 233 21 out of 200 17 out of 170 1 out of 16


12th 10th 6th 3rd22 out of 245 18 out of 215 15 out of 187 4 out of 109


13th 9th 4th 2nd21 out of 233 16 out of 203 11 out of 176 2 out of 108


17th 9th 4th 2nd34 out of 245 15 out of 215 12 out of 187 2 out of 134


21st 9th 5th 3rd33 out of 233 16 out of 203 11 out of 176 4 out of 109


34th 7th 2nd 2nd67 out of 245 9 out of 215 3 out of 187 4 out of 134


45th 5th 1st 1st86 out of 239 7 out of 208 1 out of 181 1 out of 115


50th 4th 1st 1st106 out of 253 5 out of 221 1 out of 193 1 out of 140


49th 11th 4th 1st49 out of 136 10 out of 109 4 out of 91 1 out of 72


47th 16th 10th 4th53 out of 146 14 out of 112 9 out of 100 4 out of 87


32nd 42nd 38th 49th34 out of 146 40 out of 112 34 out of 100 44 out of 87

Retirement Funds Lipper RankingsAs of September 30, 2019

Past performance cannot guarantee future results.Results will vary for other periods, and all funds are subject to market risk. Lipper rankings are based on cumulative total return. Source for Lipper Data: Lipper Inc.

1st–25th Percentile 26th–50th Percentile 51st–100th Percentile

10

Retirement Funds Performance As of September 30, 2019 Figures Are Calculated in U.S. Dollars

Current performance may be higher or lower than the quoted past performance, which cannot guarantee future results. Share price, principal value, and return will vary, and you may have a gain or loss when you sell your shares. To obtain the most recent month-end performance, please call 1-800-638-7890 or go to troweprice.com.Figures include changes in principal value, reinvested dividends, and capital gain distributions.

*Expense ratios are as of 10/1/19.

See back cover for benchmark definitions.

Expense Ratio*

1 Year

3 Years

5 Years

10 Years

15 Years

Since Inception

Inception Date

RETIREMENT FUNDS

T. Rowe Price Retirement 2060 0.72% 3.44% 9.87% 7.72% – – 6.96% 06/23/14

Retirement 2060 Combined Index Portfolio – 2.84 10.31 7.92 – – 7.62

T. Rowe Price Retirement 2055 0.72 3.47 9.88 7.72 10.24% – 6.68 12/29/06

Retirement 2055 Combined Index Portfolio – 2.84 10.31 7.92 10.19 – 6.49

T. Rowe Price Retirement 2050 0.71 3.49 9.91 7.73 10.25 – 6.69 12/29/06


T. Rowe Price Retirement 2045 0.71 3.53 9.90 7.73 10.25 – 7.74 05/31/05


T. Rowe Price Retirement 2040 0.70 3.74 9.79 7.66 10.21 8.00% 9.39 09/30/02

Retirement 2040 Combined Index Portfolio – 3.18 10.19 7.83 10.15 7.71 9.03

T. Rowe Price Retirement 2035 0.68 4.01 9.38 7.44 9.99 7.85 7.50 02/27/04














T. Rowe Price Retirement Balanced 0.51 5.06 5.55 4.65 6.00 5.50 6.19 09/30/02

Retirement Balanced Combined Index Portfolio – 5.28 5.89 4.88 5.85 5.17 5.72

Annualized

11

Underlying Funds Performance As of September 30, 2019 Figures Are Calculated in U.S. Dollars

1 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.

* May not be available to new investors due to capacity constraints. The fund’s average annual total return figures include changes in principal value, reinvested dividends, and capital gain distributions. Figures include changes in principal value, reinvested dividends, and capital gain distributions.

Expense Ratio

Expense Ratio Prospectus

Date7-Day Yield 3 Months

1 Year

3 Years

5 Years

10 Years

Since Inception

Inception Date

U.S. EquityRussell 3000 Index – 1.16% 2.92% 12.83% 10.44% 13.08% 11.76%Growth Stock Fund 0.66 5/1/2019 – -1.18 2.06 16.31 13.01 14.94 10.97 04/11/1950S&P 500 Index 1.70 4.25 13.39 10.84 13.24 11.22Russell 1000 Growth Index 1.49 3.71 16.89 13.39 14.94 –Equity Index 500 Fund 0.20 5/1/2019 – 1.63 4.04 13.15 10.58 12.96 9.62 03/30/1990S&P 500 Index 1.70 4.25 13.39 10.84 13.24 9.93Value Fund 0.79 5/1/2019 – 2.64 8.15 10.73 8.23 12.12 10.82 09/30/1994Russell 1000 Value Index 1.36 4.00 9.43 7.79 11.46 9.68Mid-Cap Growth Fund* 0.75 5/1/2019 – -0.73 7.14 14.88 13.17 14.87 13.67 06/30/1992Russell Midcap Growth Index -0.67 5.20 14.50 11.12 14.08 10.34Mid-Cap Value Fund 0.78 5/1/2019 – -1.13 -5.20 5.86 6.61 10.42 10.79 06/28/1996Russell Midcap Value Index 1.22 1.60 7.82 7.55 12.29 10.37New Horizons Fund 0.77 5/1/2019 – -3.13 4.83 19.71 15.81 18.37 11.78 06/03/1960Russell 2000 Growth Index -4.17 -9.63 9.79 9.08 12.25 –Small-Cap Stock Fund 0.89 5/1/2019 – 0.10 4.21 14.21 11.69 14.41 12.98 06/01/1956Russell 2000 Index -2.40 -8.89 8.23 8.19 11.19 –Small-Cap Value Fund 0.85 5/1/2019 – 0.30 -4.10 10.17 9.27 11.56 11.38 06/30/1988Russell 2000 Value Index -0.57 -8.24 6.54 7.17 10.06 10.12International EquityMSCI All Country World Index ex USA -1.70 -0.72 6.85 3.39 4.93 5.88International Stock Fund 0.81 3/1/2019 – -1.03 1.38 6.89 4.97 6.28 8.78 05/09/1980MSCI All Country World Index ex USA Net -1.80 -1.23 6.33 2.90 4.45 –Overseas Stock Fund 0.81 3/1/2019 – 0.00 -3.29 6.26 3.28 5.49 2.47 12/29/2006MSCI EAFE Index Net -1.07 -1.34 6.48 3.27 4.90 2.14International Value Equity Fund 0.81 3/1/2019 – -1.05 -5.66 1.75 0.13 3.58 4.43 12/21/1998MSCI EAFE Index Net -1.07 -1.34 6.48 3.27 4.90 –Emerging Markets Stock Fund 1.22 3/1/2019 – -2.70 5.05 7.91 5.37 4.92 7.54 03/31/1995MSCI Emerging Markets Index Net -4.25 -2.02 5.97 2.33 3.37 –Real Assets EquityReal Assets Fund 0.81 5/1/2019 – -1.39 1.00 2.85 1.85 – 3.23 07/28/2010MSCI All-Country World Index 0.10 1.95 10.30 7.23 – 9.38Fixed IncomeBloomberg Barclays U.S. Aggregate Bond Index – 2.27 10.30 2.92 3.38 3.75 7.34New Income Fund 0.54 10/1/2018 – 2.08 9.83 2.88 3.18 3.81 6.94 08/31/1973Bloomberg Barclays U.S. Aggregate Bond Index 2.27 10.30 2.92 3.38 3.75 –International Bond Fund (USD Hedged) 0.67 5/1/2019 – 2.49 11.21 – – – 5.91 09/12/2017Bloomberg Barclays Global Aggregate ex USD Bond Index USD Hedged 2.83 10.84 – – – 6.21

Dynamic Global Bond Fund 0.66 5/1/2019 – -2.39 -0.79 -0.69 – – 1.15 01/22/20153 Month Libor in USD Index 0.56 2.54 1.91 – – 1.39High Yield Fund 0.72 10/1/2018 – 1.81 7.43 5.89 4.89 7.52 8.10 12/31/1984Credit Suisse High Yield Index 1.03 5.79 5.96 5.17 7.74 –Floating Rate Fund 0.76 10/1/2018 – 1.23 3.63 3.88 3.75 – 3.81 07/29/2011S&P/LSTA Performing Loan Index 0.90 3.00 4.63 4.29 – 4.56Emerging Markets Bond Fund 0.91 5/1/2019 -2.42 5.64 2.18 4.23 5.61 9.70 12/30/1994J.P. Morgan Emerging Markets Bond Index Global 1.34 10.74 3.84 5.10 6.51 10.00U.S. Treasury Long-Term Fund 0.44 10/1/2018 – 7.93 24.33 3.71 6.18 6.29 7.29 09/29/1989Bloomberg Barclays Treasury Long Index 7.92 24.79 4.07 6.77 6.87 8.04Limited Duration Inflation Focused Bond Fund 0.48 10/1/2018 – 0.21 3.78 1.44 1.02 1.17 1.98 09/29/2006Bloomberg Barclays U.S. 1-5 Year Treasury TIPS Index 0.27 3.68 1.60 1.28 1.83 2.63Money MarketU.S. Treasury Money Fund1 0.43 10/1/2018 1.71 0.48 2.00 1.16 0.70 0.35 3.45 06/28/1982FTSE 3 Month Treasury Bill 0.56 2.36 1.52 0.96 0.52 –

Annualized

CCON0027568 11/19201907-911128

The principal value of the Retirement Funds is not guaranteed at any time, including at or after the target date, which is the approximate year an investor plans to retire (assumed to be age 65) and likely stop making new investments in the fund. If an investor plans to retire significantly earlier or later than age 65, the funds may not be an appropriate investment even if the investor is retiring on or near the target date. The funds’ allocations among a broad range of underlying T. Rowe Price stock and bond funds will (with the exception of the Retirement Balanced Fund) change over time. The funds (other than the Retirement Balanced Fund) emphasize potential capital appreciation during the early phases of retirement asset accumulation, balance the need for appreciation with the need for income as retirement approaches, and focus on supporting an income stream over a long-term postretirement withdrawal horizon. The funds are not designed for a lump-sum redemption at the target date and do not guarantee a particular level of income. The funds maintain a substantial allocation to equities both prior to and after the target date, which can result in greater volatility over shorter time horizons.

Consider the investment objectives, risks, and charges and expenses carefully before investing. For a prospectus or, if available, a summary prospectus containing this and other information, call 1-800-638-7780. Read it carefully. The Morningstar Rating™ for funds, or “star rating,” is calculated for funds with at least a 3-year history. Exchange-traded funds and open-end mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar risk-adjusted return measure that accounts for variation in a managed product’s monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. The Overall Morningstar Rating for a managed product is derived from a weighted average of the performance figures associated with its 3-, 5-, and 10-year (if applicable) Morningstar Rating metrics.

©2019 Morningstar, Inc. All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete, or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.

©2019 Thomson Reuters. All rights reserved. Used by permission and protected by the copyright laws of the United States. The printing, copying, redistribution, or retransmission of this content without express written permission is prohibited.

Bloomberg Index Services Ltd. Copyright © 2019, Bloomberg Index Services Ltd. Used with permission.

MSCI makes no express or implied warranties or representations and shall have no liability whatsoever with respect to any MSCI data contained herein. The MSCI data may not be further redistributed or used as a basis for other indices or any securities or financial products. This report is not approved, reviewed, or produced by MSCI.

Frank Russell Company (Russell) is the source and owner of the Russell index data contained or reflected in these materials and all trademarks and copyrights related thereto. Russell® is a registered trademark of Russell. Russell is not responsible for the formatting or configuration of these materials or for any inaccuracy in T. Rowe Price Associates’ presentation thereof.

©2019 T. Rowe Price. All rights reserved. T. ROWE PRICE, INVEST WITH CONFIDENCE, and the bighorn sheep design are, collectively and/or apart, trademarks of T. Rowe Price Group, Inc.

T. Rowe Price Investment Services, Inc., Distributor.

Retirement Glide Path Combined Index Portfolio AllocationsAs of September 30, 2019

Russell 3000 IndexMSCI All Country

World Index Ex-U.S.

Bloomberg Barclays U.S. Aggregate

Bond Index

Bloomberg Barclays U.S. 1–5 Year

Treasury TIPS Index

RETIREMENT FUNDS

Retirement 2060 Combined Index Portfolio 63.00% 27.00% 10.00% 0.00%

Retirement 2055 Combined Index Portfolio 63.00 27.00 10.00 0.00











Strong Results From a Target Date Leader - T. Rowe …...along its glide path. T. Rowe Price uses...

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