T. Rowe Price Group, Inc. (NASDAQ-GS: TROW) reported month-end assets under management of $1.90 trillion for August 2026.

The asset manager recorded net outflows of $7.9 billion during the period.

What the Numbers Show

The firm’s total AUM stands at $1.90 trillion despite the monthly capital withdrawal. The $7.9 billion in net outflows represents a reduction in client assets against the broader fund base, highlighting investor redemption activity within the portfolio.

T. Rowe Price Group (NASDAQ-GS: TROW) has agreed to acquire F/m Investments LLC, a move designed to significantly expand its fixed income exchange-traded fund and separately managed account capabilities. The transaction targets the Washington-based asset manager’s $19 billion in assets under management as of July 31, 2026.

The acquisition is expected to increase T. Rowe Price’s fixed income assets under management by nearly 9%. Crucially for its ETF franchise, the deal is projected to more than double the firm’s fixed income ETF assets under management while simultaneously expanding its fixed income separately managed account business.

Strategic Rationale

Founded in 2019, F/m Investments specializes in precise and transparent fixed income solutions. Its portfolio includes the US Benchmark Series, noted as the first standardized suite of single-security U.S. Treasury ETFs. The firm manages a suite of 20 ETFs covering Treasuries, TIPS, corporate bonds, and municipal securities. Specific funds include the F/m Accumulator Ultrashort Treasury Fund (NASDAQ: SGVA) and the F/m Ultrashort Tax-Free Municipal ETF (NASDAQ: ZMUN).

Arif Husain, Head of Global Fixed Income at T. Rowe Price, described F/m as a strong strategic and cultural fit. He highlighted that F/m brings unique ETF product development capabilities that will complement T. Rowe Price’s active fixed income lineup across its Intermediary, Institutional, Retirement, and Wealth platforms.

Innovation and Product Depth

F/m Investments has positioned itself as a driver of innovation within the ETF industry. Key differentiators include:

• Launching the first dual-share class ETF.
• Filing a first-of-its-kind SEC application for tokenized ETF shares.
• Providing customized municipal bond and liquidity solutions to institutional and high-net-worth clients.

Alexander Morris, CEO and Co-Founder of F/m Investments, stated that the partnership with T. Rowe Price allows them to provide client value at scale while retaining their mission and investment approach.

Transaction Structure

Upon closing, expected in early 2027, F/m will operate as "F/m Investments, a T. Rowe Price Company." The entity will retain its brand, leadership, and day-to-day operating model. Alexander Morris will report to Arif Husain, and F/m employees will become T. Rowe Price associates.

Financial terms of the deal were not disclosed. Dechert LLP served as legal counsel to T. Rowe Price. Oppenheimer & Co. Inc. acted as exclusive financial advisor to F/m Investments, with Fried, Frank, Harris, Shriver & Jacobson LLP serving as legal counsel to the majority owners of F/m Investments.

What the Numbers Show

The acquisition highlights a strategic pivot toward scalable passive and semi-passive fixed income products. By more than doubling its fixed income ETF assets under management through this single transaction, T. Rowe Price is signaling a significant acceleration in its ETF growth strategy, leveraging F/m’s niche expertise in Treasury and municipal securities to complement its existing active management strengths.