TAGG ETF — Holdings & Analysis
For informational purposes only. Not financial advice.
The T. Rowe Price QM U.S. Bond ETF (TAGG) is an actively managed equity ETF with $1.85 billion in assets under management. Launched in 2021, TAGG seeks to exceed the performance of the U.S. investment-grade bond market through quantitative modeling.
With an expense ratio of 0.08%, TAGG offers a relatively low-cost option for investors seeking exposure to a diversified portfolio of U.S. equities selected using a proprietary quantitative methodology.
T. Rowe Price QM U.S. Bond ETF (TAGG) ETF — Price, Holdings & Analysis
ETF Overview
Risk Metrics
Expense Ratio
How Is the Fund Allocated?
| Sector | Weight |
|---|---|
| Technology | 52.7% |
| Communication Services | 15.2% |
| Consumer Cyclical | 14.3% |
| Consumer Defensive | 5.5% |
| Healthcare | 5.0% |
| Industrials | 3.5% |
| Basic Materials | 1.3% |
| Utilities | 1.3% |
| Energy | 0.6% |
| Financial Services | 0.6% |
| Real Estate | 0.2% |
| Country | Weight |
|---|---|
| United States | 59.1% |
| Other | 35.5% |
| Canada | 1.3% |
| United Kingdom | 0.7% |
| Spain | 0.4% |
| Netherlands | 0.3% |
| Mexico | 0.3% |
| France | 0.2% |
| Japan | 0.2% |
| Luxembourg | 0.2% |
Dividend Yield
- iShares Russell 2000 ETF (IWM) — 0.19% expense ratio
- ARK Innovation ETF (ARKK) — 0.75% expense ratio
- State Street Technology Select Sector SPDR ETF (XLK) — 0.08% expense ratio
- Invesco QQQ Trust, Series 1 (QQQ) — 0.18% expense ratio
- iShares MSCI Emerging Markets ETF (EEM) — 0.72% expense ratio
- iShares MSCI EAFE ETF (EFA) — 0.32% expense ratio
- State Street Energy Select Sector SPDR ETF (XLE) — 0.08% expense ratio
- State Street SPDR S&P 500 ETF (SPY) — 0.09% expense ratio
- T. Rowe Price Dividend Growth ETF (TDVG) (Equity) — 0.50% expense ratio
- T. Rowe Price Floating Rate ETF (TFLR) (Equity) — 0.61% expense ratio
- T. Rowe Price Hedged Equity ETF (THEQ) (Equity) — 0.73% expense ratio
- T. Rowe Price Multi-Sector Income ETF (TMSF) (Equity) — 0.37% expense ratio
- T. Rowe Price Natural Resources ETF (TURF) (Equity) — 0.44% expense ratio
- T. Rowe Price Active Core U.S. Equity ETF (TACU) — 0.14% expense ratio
Risk Metrics
- Beta: 0.99
Questions & Answers
What is TAGG and what does it track?
TAGG is the T. Rowe Price QM U.S. Bond ETF. It aims to provide a total return that exceeds the performance of the U.S. investment-grade bond market.
The fund employs a quantitative approach, using mathematical models to identify securities with the potential for above-average returns. TAGG's portfolio consists of approximately 650 holdings, providing broad diversification within the equity market. As of 2026-03-15, TAGG has $1.85 billion in assets under management.
What is the expense ratio for TAGG?
The expense ratio for TAGG is 0.08%. This means that for every $10,000 invested in the fund, investors will pay $8 in annual fees.
This is lower than the category average, making TAGG a cost-effective option for investors seeking exposure to U.S. equities. The expense ratio covers the fund's operating expenses, including management fees, administrative costs, and other expenses.
What are the top holdings in TAGG?
As of 2026-03-15, the top sector allocations are Technology (52.7%), Communication Services (15.2%), and Consumer Cyclical (14.3%). These sectors represent a significant portion of the fund's portfolio, indicating that TAGG's performance is closely tied to the performance of these industries.
These sector allocations when evaluating TAGG's suitability for their portfolio may be worth researching.
Is TAGG a good long-term investment?
Whether TAGG is a suitable long-term investment depends on an individual's investment goals, risk tolerance, and time horizon. TAGG's objective is to outperform the U.S. investment-grade bond market, which may appeal to investors seeking above-average returns.
However, past performance does not guarantee future results.
How does TAGG compare to similar ETFs?
TAGG differentiates itself through its quantitative investment approach and focus on exceeding the U.S. investment-grade bond market performance. Its expense ratio of 0.08% is competitive compared to other actively managed equity ETFs.
With $1.85 billion in AUM, TAGG is a sizable ETF, indicating investor confidence.
Does TAGG pay dividends?
As of 2026-03-15, TAGG's dividend yield is 0.00%. This indicates that the fund does not currently distribute dividends to its shareholders. Investors seeking income-generating investments may want to consider other ETFs with higher dividend yields.
However, TAGG's focus is on capital appreciation through quantitative bond selection, rather than income generation.
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Data provided for informational purposes only.
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