The T. Rowe Price Science and Technology Fund invests in companies involved with aerospace, clean energy, healthcare services, medical devices, and equipment as well as other technology-focused opportunities. This fund's investments are high risk with the potential for high gains. The market will have a significant impact on the level of returns this fund generates. By employing a portfolio approach instead of concentrating on single companies or industries, there is an opportunity to lessen the negative impact that any individual company's stock performance may have on the fund.
The fund will seek to achieve exposure to equity securities of companies that are engaged in research and development as well as in production activities and in general, should also have significant exposure to companies involved with the implementation, manufacturing, distribution, and marketing of products. The T. Rowe Price Science and Technology Fund was launched on 10/26/1993 and is domiciled in the United States. The fund invests primarily in equity securities but may also invest up to 25% of its total assets in debt securities. The portfolio of securities selected must exhibit potential for growth with high-income potential.
How do I buy shares of T. Rowe Price Science & Technology Fund?
Shares of T. Rowe Price Science & Technology Fund and other mutual funds can be purchased in your brokerage account, by using a full-service or discount brokerage firm, or by investing through a bank trust department. Shares are also available through retirement plans operated by banks and other financial institutions, as well as through 529 college savings plans.
What is the difference between a fund's net asset value and its shares' price?
The price of a mutual fund's shares will be based on their net asset value (NAV) per share, which is typically calculated once a day. When you purchase a share of a mutual fund, your investment will be placed in a brokerage account for safekeeping, and the shares' NAV will be reflected in that account. Your shares will not be issued until the NAV is updated to reflect the fund's latest quarterly statement.
Why do mutual funds charge fees to buy and sell?
Funds use commission-based sales practices to cover their operating expenses and maximize revenue by selling large blocks of stock to make a profit on each sale. As a result, investors pay a fee for this service—the so-called front-end load fee or 12b-1 fee. If you purchase shares directly from the fund company without paying a front-end load fee, or if you sell shares without paying a 12b-1 fee, then the expenses of your mutual fund will vary according to your investment strategy.
Why should I invest in mutual funds?
Investing in mutual funds is a good way to start saving for the future. While we all wish we had more money to save, it's never too late to start. By investing regularly into mutual funds, you'll benefit from the growth of your money over time.
What kinds of risks are involved with investing?
The risks associated with investing are generally less than those involved with other forms of risk-taking, such as gambling or speculation. You can lose some or all of your original investment—that is a risk common to every investment.
How can I make sure my money is secure?
The FDIC insures deposits up to $250,000 per account holder on a combined balance at an FDIC-insured institution. Your mutual fund company may offer a similar type of coverage. In some cases, you may be able to minimize the risk associated with your investment by purchasing shares owned by other investors and in which you have an interest. In any case, it's important that you consider the fact that investing is not for everyone. Before investing money in your mutual fund, ask yourself whether you are comfortable with taking it risk. If not, consider buying stock directly from the company instead of through the mutual fund company.
Conclusion
The T. Rowe Price Science and Technology Fund invests primarily in equity securities of companies with the potential for growth with high-income potential. The fund will seek to achieve exposure to equity securities of companies that are engaged in research and development as well as in production activities and in general, should also have significant exposure to companies involved with the implementation, manufacturing, distribution, and marketing of products.
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