T. Rowe Price GNMA Fund
PRGMX
NASDAQ- -
USD
- -
- -
- -
- -
(- -)
Recent
price
- -
P/E
ratio
- -
div
yld
- -
ROIC.AI
Capital Structure
FRC
•
in mil. unless spec.Working Capital
FRC
•
in mil. unless spec.Growth Rates
FRC
•
in mil. unless spec.Quarterly Revenue
FRC
•
in mil. unless spec.Quarterly Earnings Per Share
FRC
•
in mil. unless spec.Quarterly Dividends Per Share
FRC
•
in mil. unless spec.- Similar Companies
- Business
- T. Rowe Price GNMA Fund (PRGMX) is an open-end mutual fund that seeks high current income consistent with high overall credit quality and moderate price fluctuation by investing at least 80% of its total assets in Government National Mortgage Association (GNMA) securities backed by the full faith and credit of the U.S. government. The fund primarily holds GNMA mortgage-backed securities across various maturities and coupon rates, including Government National Mortgage Association bonds at 2%, 2.5%, and 5.5%; agency mortgage-backed securities; collateralized mortgage obligations (CMOs); interest-only/principal-only strips (IO/PO); asset-backed securities (ABS); and commercial mortgage-backed securities (CMBS), with cash equivalents such as T. Rowe Price Government Reserve for liquidity. It employs active strategies including to-be-announced (TBA) forward commitments, delayed delivery transactions, and short sales of TBA mortgages to manage interest rate exposure, adjust duration, enhance returns, and increase portfolio turnover, which stood at 277.3% as of year-end 2024. Launched on November 26, 1985, and domiciled in the United States, the fund is managed by T. Rowe Price Associates, Inc., as part of its fixed income offerings targeting individual and institutional investors seeking intermediate-term government exposure with a minimum initial investment of USD 2,500. As of September 30, 2025, total net assets approximate USD 363 million, with an effective duration of 5.59 years, weighted average maturity of 7.10 years, and a net expense ratio of 0.62% under a contractual limitation expiring July 31, 2027. Credit quality emphasizes U.S. government agency securities (101.1% allocation), with sector diversification led by GNMA MBS (87.8%), agency MBS (9.4%), and CMOs (4.8%). In recent developments, Ramon de Castro assumed portfolio management responsibilities on February 28, 2023, bringing specialized expertise in mortgage-backed securities after joining T. Rowe Price in 2012. The fund maintained its core strategy amid T. Rowe Price's broader fixed income expansion, including the November 2025 launch of four new active ETFs—Short Municipal Income (TMNS), Long Municipal Income (TMNL), High Income Municipal (THYM), and Multi-Sector Income (TMSF)—to enhance its intermediate government and related offerings. Additionally, T. Rowe Price entered a strategic collaboration with Goldman Sachs in September 2025, involving up to USD 1 billion in open-market stock purchases to develop public-private investment solutions, such as target-date funds blending private assets with public fixed income, potentially complementing GNMA-focused strategies for retirement investors. No fund-specific acquisitions, reorganizations, or product shifts beyond these parent-level initiatives were reported in the last two years.