ETF Evaluator:
T. Rowe Price Ultra Short-Term Bond ETF (TBUX)
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(as of Sep 04)
Best Performing in Ultrashort Bond Over the Last Year
| 7.1% | iShares Interest Rate Hdg L/T Corp BdETF (IGBH) |
| 6.3% | iShares Interest Rate Hedged Corp Bd ETF (LQDH) |
| 5.2% | Simplify Treasury Option Income ETF (BUCK) |
| 5.2% | NEOS Enhanced Inc 1-3 Month T-Bill ETF (CSHI) |
| 4.9% | SLW Short Duration Income ETF (SLWS) |
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ETF Details
T. Rowe Price Ultra Short-Term Bond ETF Overview
T. Rowe Price Ultra Short-Term Bond ETF (TBUX) is an actively managed Taxable Bond Ultrashort Bond exchange-traded fund (ETF). T. Rowe Price launched the ETF in 2021.
The investment seeks a high level of income consistent with low volatility of principal value.
The fund normally invests at least 80% of its net assets (plus any borrowings for investment purposes) in bonds. The fund invests in a diversified portfolio of shorter-term investment-grade fixed income securities, including corporate, government, mortgage- and asset-backed securities, municipal securities, money market securities and bank obligations, and securities of foreign issuers.
About T. Rowe Price Ultra Short-Term Bond ETF (TBUX)
There are 1 members of the management team with an average tenure of 4.93 years: Alexander Obaza (2021). Management tenure is more important for actively managed ETFs than passive index ETFs.
The ETF has 2 primary benchmarks: Bloomberg US Agg Bond TR USD index with a weighting of 100% and Bloomberg Short-term Gov/Corp TR USD index with a weighting of 100%. T. Rowe Price Ultra Short-Term Bond ETF has 651 securities in its portfolio. The top 10 holdings constitute 27.6% of the ETF’s assets. The ETF meets the SEC requirement of being classified as a diversified fund. The ETF is not considered to have an ESG focus with its investment selection and management.
T. Rowe Price Ultra Short-Term Bond ETF is part of the Fixed Income global asset class and is within the Taxable Bond ETF group. T. Rowe Price Ultra Short-Term Bond ETF has 23.1% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 0.0% There is 0.0% allocated to foreign stock, and 0.0% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 81.8% (58.7% domestic bond, 23.1% foreign bond and 0.0% convertible bond). T. Rowe Price Ultra Short-Term Bond ETF has 18.2% of the portfolio in cash.
Assets Under Management
The fund has $1 billion in total assets, which is below the $5 billion average for the Ultrashort Bond category. Normally, lower assets under management translates to higher average expense ratios, and greater total assets are desired. However, for some investment categories, such as small-cap investing, it may be difficult for the manager to fully employ the desired active strategy if assets grow too large or too quickly.
TBUX Performance and Fees
The expense ratio measures how much of a fund’s assets are used for administrative expenses and operating expenses, including adviser fees and fees for the transfer agent and custodial services. The T. Rowe Price Ultra Short-Term Bond ETF expense ratio is low compared to funds in the Ultrashort Bond category. T. Rowe Price Ultra Short-Term Bond ETF has an expense ratio of 0.17%, which is 23% lower than its category average, making the fund expense ratio grade a C. While it is difficult to predict returns, it is known that high annual expense ratios reduce your rate of return, and excessive fees are difficult to overcome. Active management normally comes with higher expense ratios than passive index management. Certain investment categories such as small company and foreign also normally have higher expense ratios. It is best to compare fund expense ratios against the category averages for meaningful assessments.
High portfolio turnover can translate to higher expenses and lower aftertax returns. T. Rowe Price Ultra Short-Term Bond ETF has a portfolio turnover rate of 77%, which indicates that it holds its assets around / 0.0 years. By way of comparison, the average portfolio turnover is 58% for the Ultrashort Bond category.
Recently, in the month of August 2026, T. Rowe Price Ultra Short-Term Bond ETF returned 0.4%, which earned it a grade of A, as the Ultrashort Bond category had an average return of 0.3%. The letter grades of A, B, C, D and F are based upon relative rankings within the investment category. A grade of A, for example, would indicate that the return is in the highest 20% for that time period compared to all ETFs in that category.
T. Rowe Price Ultra Short-Term Bond ETF has a trailing yield of 4.29%, which is above the 4.03% category average.
The fund normally distributes its income monthly and its capital gains annually.
It’s natural to seek the best-performing investments, but you must consider the relationship between risk and return and the impact of costs and taxes on your realized returns.
T. Rowe Price Ultra Short-Term Bond ETF Grades
Year to date, the ETF has returned 2.7%, 0.2 percentage points better than the category, which translates into a grade of B. The fund has returned 4.4% over the past year (grade of A) and 5.6% over the past three years (grade of A).
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TBUX Trailing NAV Total Returns Data as of 8/31/26
| Last Month |
Last Quarter |
Ann'l. 1Yr |
Ann'l. 3Yr |
Ann'l. 5Yr |
Ann'l. 10Yr |
|
| TBUX Return (NAV) | 0.4% | 1.0% | 4.4% | 5.6% | na | na |
| TBUX Return (Price) | 0.4% | 1.0% | 4.5% | 5.7% | na | na |
| NAV +/- Price Return | -0.020% | -0.060% | -0.102% | -0.020% | na | na |
| Ultrashort Bond Avg | 0.3% | 0.9% | 4.1% | 5.2% | 3.9% | 3.0% |
| TBUX Grade (NAV) | A | B | A | A | na | na |
| +/- Category (NAV) | 0.0% | 0.0% | 0.3% | 0.5% | na | na |
| TBUX Tax-Cost Ratio | na | na | 1.8% | 2.0% | na | na |
TBUX Annual NAV Total ReturnsData as of 8/31/26
| 2026 | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | |
| TBUX Return (NAV) | 2.7% | 5.3% | 6.4% | 6.4% | -0.1% | na | na | na | na | na | na |
| TBUX Return (Price) | 2.7% | 5.4% | 6.4% | 6.4% | -0.1% | na | na | na | na | na | na |
| NAV +/- Price Ret | -0.008% | 0.007% | 0.003% | -0.002% | 0.067% | na | na | na | na | na | na |
| Ultrashort Bond Avg | 2.5% | 4.8% | 5.8% | 6.0% | 0.4% | 0.3% | 1.4% | 3.6% | 1.4% | 2.3% | 1.9% |
| TBUX Grade (NAV) | B | A | A | B | D | na | na | na | na | na | na |
| +/- Category | 0.2% | 0.5% | 0.6% | 0.4% | -0.6% | na | na | na | na | na | na |
| Risk Measures | |
| Beta: | 0.07 |
| R-Squared: | 63% |
| Standard Deviation: | 0.6% |
| Category Risk Index: | 0.94 |
| Category Risk Rating: | Above Average |
| Total Risk Index: | 0.05 |
| Total Risk Rating: | Low |
| Portfolio Characteristics | |
| Yield: | 4.3% |
| Total Assets: | $ 1,513 Mil |
| Share Class Assets: | $ 1,513 Mil |
| Turnover: | 77.5% |
| Expense Ratio: | 0.17% |
| Index Fund: | No |
| Index Tracked: | Bloomberg US Agg Bond TR USD |
| Index Weighting: | 100% |
| Leveraged: | No |
| Socially Responsible Fund: | No |
| Capital Gains Distribution Frequency: | Annually |
| Income Distribution Frequency: | Monthly |
Management Team
| Number of Managers: 1 | |||
| Longest Tenure: 4.9 years | |||
| Average Tenure: 4.9 years | |||
| Managers (Year): Obaza Alexander (2021) | |||
Portfolio Composition (as of 8/29/26)
| # of Holdings: | 651 |
| % in Top 10 Holdings: | 27.6% |
| Fund is Non-Diversified: | No |
| % in Foreign Issues: | 23.1% |
Portfolio Allocation |
|
| Domestic Stock: | 0.0% |
| Foreign Stock: | 0.0% |
| Preferred Stock: | 0.0% |
| Domestic Bond: | 58.7% |
| Foreign Bond: | 23.1% |
| Convertible Bond: | 0.0% |
| Other: | 0.0% |
| Cash: | 18.2% |
Purchase Information
| Legal Structure: | Open Ended Investment Company |
| Fund Family: | T. Rowe Price |
| Phone Number: | 800-638-5660 |
| Website: | |
| Inception Date: | September 28, 2021 |
Expenses and Fees
| Expense Ratio (%): | 0.17% (Rating: Low) |
| Category Average Expense Ratio (%): | 0.22% |
