asset allocation | february 26, 2025
An unprecedented streak of performance
The Capital Appreciation Fund has beaten its Morningstar category average for 17 straight years.
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Key Insights
The T. Rowe Price Capital Appreciation Fund, led by David Giroux, has outperformed its Morningstar category average for 17 consecutive years, setting a record for U.S. equity or muti-asset funds.
Over the 17-year period ending December 31, 2024, the fund ranked in the 1st percentile in its category, with returns nearly double that of its peer group average.
The fund’s success is supported by a dedicated team, including three associate portfolio managers, who contribute to its strategic investment approach.
Over the last two decades, one portfolio manager has been on an unprecedented run of performance—and in 2024 broke the record for beating competitors year after year.
The T. Rowe Price Capital Appreciation Fund, under the helm of portfolio manager David Giroux, has outperformed its Morningstar peer group average for 17 straight years. This sets a new record not only in the Moderate Allocation peer group, but among all U.S. equity or multi-asset peer groups.*
No multi-asset or U.S. equity mutual fund or ETF has had a longer streak under the same portfolio manager. The analysis compared the fund to more than 3,000 funds since 1925, the first full calendar year performance of the first mutual fund.
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First percentile in its peer group
A closer look at the fund’s performance during the 17 years of Giroux’s and his team’s streak further reveals how the fund’s performance stood out. For the 17-year period ending 12/31/24, the fund ranked in the 1st percentile in Morningstar’s Moderate Allocation category.**
Nearly double the returns of its peer group average over the 17-year streak
Better returns year after year can have a big impact on portfolio balances. An initial investment of $100,000 in the fund at the start of the 17-year streak would have resulted in significant earnings over time.
A manager unlike any other. Investors in T. Rowe Price Capital Appreciation are in the hands of an exceptional portfolio manager. 
- Morningstar, October 3, 2024
As of 12/31/2024, the Capital Appreciation Fund’s 1-, 5-, and 10-year average annual total returns were 12.69%, 10.55%, and 10.55%, respectively. The S&P 500 Index’ 1-, 5-, and 10-year average annual total returns were 25.02%, 14.53%, and 13.10%, respectively.
The performance data shown is past performance and is no guarantee of future results. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data quoted. To obtain the most recent month-end performance, visit troweprice.com. Not all investors will obtain these results.
Expense ratio for the T. Rowe Price Capital Appreciation Fund is 0.73% as of the most recent prospectus. Average annual total return figures include changes in principal value, reinvested dividends, and capital gain distributions. Data analysis by T. Rowe Price. It is not possible to invest in an index.
A dedicated, experienced and stable portfolio management team
Supporting the success of the fund is an experienced team. Curiosity powers our approach, driving team members to ask better questions and go against the grain to find undervalued or out-of-favor companies for the portfolio.
David Giroux, CFA
Portfolio Manager
26 years investment experience
Mike Signore
Associate Portfolio Manager
12 years investment experience
Vivek Rajeswaran, CFA
Associate Portfolio Manager
12 years investment experience
Brian Solomon, CFA
Associate Portfolio Manager
9 years investment experience
Although Giroux has been the main attraction, he’s not on his own running this strategy. Three experienced associate portfolio managers provide support and cover about 30 stocks each. - Morningstar, October 3, 2024
Our Capital Appreciation suite puts a record-breaking team on your side
Our commitment to serving clients drives us to think deeply about their needs and develop powerful solutions to address different investor goals. The Capital Appreciation Fund is just one of several in our Capital Appreciation suite, each designed with different objectives and risk tolerances in mind. While each fund has a unique investment objective, all share a single goal: to deliver better outcomes for clients.
Call 1-800-225-5132 to request a prospectus or summary prospectus; each includes investment objectives, risks, fees, expenses, and other information you should read and consider carefully before investing.
ETFs are bought and sold at market prices, not NAV. Investors generally incur the cost of the spread between the prices at which shares are bought and sold. Buying and selling shares may result in brokerage commissions which will reduce returns.
* As of December 31, 2024. Based upon a T. Rowe Price analysis of calendar year returns for all equity and multi-asset funds domiciled in the U.S. with greater than or equal to 17 consecutive years of beating their Morningstar peer group average while under the management of the same portfolio manager. The Morningstar Category system was introduced in 1996, but it includes funds that began operations earlier. The Capital Appreciation Fund is in Morningstar’s Moderate Allocation Category. Analysis excludes any portfolios managed by David Giroux in the same manner as the Capital Appreciation strategy.
**As of 12/31/2024, the fund rankings for the 1-, 5-, 10-, and 17-year periods were 220 out of 730, 19 out of 675, 7 out of 594, and 3 out of 489, respectively, based on cumulative total return.
*** Currently closed to new investors.
© 2025 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.
Risk Considerations:
Capital Appreciation Fund: The fund is subject to the inherent volatility of common stock investing. The value approach carries the risk that the market will not recognize a security’s intrinsic value for a long time or that a stock judged to be undervalued may actually be appropriately priced. Because of the fund’s fixed-income holdings or cash position, it may not keep pace in a rapidly rising market.
Capital Appreciation and Income Fund Risks: The fund is subject to the inherent volatility of common stock investing. Fixed-income securities are subject to credit risk, liquidity risk, call risk, and interest-rate risk. As interest rates rise, bond prices generally fall.
Capital Appreciation Equity ETF Risks: The ETF is subject to the inherent volatility of common stock investing. The fund’s value and growth investing styles may become out of favor, which may result in periods of underperformance. The fund is “nondiversified,” meaning it may invest a greater portion of its assets in a single company and own more of the company’ voting securities than is permissible for a “diversified” fund.
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Next Steps
Learn more about the Capital Appreciation suite of funds.
Contact a Financial Consultant at 1-800-401-1819.