The S & P 500 index fund investment strategy of the T. Rowe Price Equity Index 500 mutual fund.
According to its prospectus filing on the U.S. Securities and Exchange Commission EDGAR system, the investment strategy of the T. Rowe Price Equity Index 500 mutual fund is to seek “to match the performance of the Standard & Poor’s 500 Stock Index®. The S&P 500 is made up of primarily large-capitalization companies that represent a broad spectrum of the U.S. economy and a substantial part of the U.S. stock market’s total capitalization.”
This T. Roe Price S&P 500 Index Fund is one of the lower cost equity index funds that investors can buy directly.
To buy index funds, click on any of the 10 low cost, no load S&P 500 index funds below to find additional information about them. The article “Top 10 S&P 500 Index Funds” explains how this list was developed. The five letter term in parentheses is the fund’s trading symbol.
- California Investment S&P 500 Index Fund (SPFIX)
- Fidelity Spartan 500 Index Fund (FSMKX)
- Schwab S & P 500 Index Fund (SWPPX)
- SSga S&P 500 Index Fund (SVSPX)
- T Rowe Price Equity Index Fund 500 (PREIX)
- United Association S&P500 Index Fund (UAIIX)
- USAA S&P 500 Index Fund – Member (USSPX)
- Vanguard 500 Index Fund – Admiral (VFIAX)
- Vanguard 500 Index Fund (VFINX)
- Vantagepoint 500 Index Fund – Stock II (VPSKX)
You should be able to go directly to most of these 10 funds to buy them. Either call them or download the investment forms from their websites. When you shop for any investment, always pay attention to the details. Understand whether there are other restrictions, costs, and purchase conditions associated with buying any index mutual fund.
Overview of this low cost, no load mutual fund
The T. Rowe Price Equity Index 500 Fund has a management expense ratio that will only cost you .37% annually. Since you can buy shares directly from T Row Price, you do not have to pay any front-end sales load charges. Furthermore, there are also no annual 12b-1 marketing fees.
Total annual portfolio transactions costs are low, too, because this equity mutual fund has less than a 5% turnover ratio. The total net assets of the investment portfolio are approximately $10.3 billion, so this is one of the larger S&P 500 index mutual funds available to retail investors. The fund’s year of inception was 1990.
Of course, the fund holds very large capitalization U.S. equities. Examples of the fund’s largest holdings are: ExxonMobil Corporation XOM, General Electric Company GE, AT&T Inc. T, Microsoft Corporation MSFT, Citigroup Inc. C, Bank of America Corporation BAC, Procter & Gamble Company PG, Cisco Systems Inc. CSCO, Chevron Corporation CVX, and Johnson & Johnson JNJ.
The T Rowe Price Equity Index 500 Fund (PREIX) requires a $2,500 initial deposit for a taxable account. PREIX is the trading symbol for these direct purchase shares.
You can find the fund family website at www.troweprice.com. The customer service telephone number is 1-800-225-5132.
Your decision on whether to purchase or to sell any investment is yours and yours alone. READ OUR WEBSITE DISCLAIMER HERE: No Load Index Funds
