--- title: "T. Rowe Price plans to turn two bond funds into ETFs without a vote" url: "https://etf.net/news/t-rowe-price-plans-etf-conversions-2026-11-11" published_at: "2026-11-11T13:05:48.104Z" updated_at: "2026-11-11T13:05:48.104Z" byline: "ETF.net Research" --- # T. Rowe Price plans to turn two bond funds into ETFs without a vote Holders need a brokerage account that can hold the new shares, with the long-duration fund set to move on or about April 30, 2027, and the short-duration fund on or about June 25. By ETF.net Research. Published Nov 11, 2026. T. Rowe Price said on Nov. 10 that the boards of two bond mutual funds have approved plans to convert them into exchange-traded funds next year, and that shareholders will not be asked to vote. Under the plans, holders would receive ETF shares equal in value to their mutual fund shares, plus cash instead of a fraction of a share. That cash may be taxable. The ETF shares come only if the mutual fund shares are in a brokerage account that can hold them. Each fund's board approved its plan at a meeting in October. Completion is subject to conditions, and T. Rowe Price said the dates can change. Each reorganization is intended to be tax-free. A dividend paid before the transfer, or a redemption, can still be taxable. ## What holders would receive The [T. Rowe Price Institutional Long Duration Credit Fund](https://www.troweprice.com/literature/public/country/us/language/en/literature-type/prospectus/sub-type/mf?productCode=LDC) would move into the T. Rowe Price Long Duration Credit ETF, ticker TLDC, on or about **April 30, 2027**. RPLCX is the Institutional Class, and it generally requires a $1 million minimum. The fund had $153.7 million in assets as of Sept. 30, 2026, according to [T. Rowe Price's fact sheet](https://www.troweprice.com/literature/public/country/us/language/en/literature-type/quarterly-factsheet/sub-type/mf-single-class?currency=USD&productCode=LDC), and its expense ratio is 0.45%. The [T. Rowe Price Short Duration Income Fund](https://www.troweprice.com/literature/public/country/us/language/en/literature-type/prospectus/sub-type/mf?productCode=SDI) would move into the T. Rowe Price Short Duration Income ETF, ticker TSDI, on or about **June 25, 2027**. It has two share classes. Investor Class, ticker TSDLX, generally requires $2,500 to start. I Class, ticker TSIDX, generally requires $500,000. Both classes would receive the same ETF shares. The fund had $234.1 million in assets as of Sept. 30, 2026, on [T. Rowe Price's site](https://www.troweprice.com/personal-investing/tools/fund-research/TSIDX). After fee waivers, the Investor Class charges 0.40% and the I Class charges 0.29%. The Nov. 10 supplements set the dates below, and say they can change if the transfer date changes. Table: , Long-duration credit, Short-duration income Buying stops after the New York Stock Exchange close on the first date, other than reinvested dividends and capital gains. Redeeming and exchanging stop at the close on the second date. Holders already in a brokerage account that can hold the ETF do not have to do anything else, the supplements say. If the account cannot hold ETF shares, the mutual fund shares may be redeemed or exchanged instead, and that can be taxable. The short-duration supplement adds a step the other one does not. Most shareholders who hold that fund directly with T. Rowe Price, rather than through a broker, would be moved into a T. Rowe Price brokerage account before the transfer. Some of those direct accounts would instead be exchanged, on the last redemption day, into the same share class of the T. Rowe Price U.S. Treasury Money Fund. The supplements tell anyone in a retirement plan or advisory account that cannot hold exchange-listed shares to contact the plan or the adviser before the last redemption date. T. Rowe Price said it will file an information statement and prospectus with the Securities and Exchange Commission, and will not send it until that filing is effective. ## What the new ETFs would do The same day, T. Rowe Price filed [prospectuses](https://www.sec.gov/Archives/edgar/data/1795351/000207422526000041/c485apos.htm) for TLDC and TSDI and asked for the registration to become effective on Jan. 25, 2027. The prospectuses are marked subject to completion, and the shares may not be sold until the registration is effective. Each ETF would begin investing only when its transfer happens. The supplements expect the public offering on May 3 for the long-duration fund and June 28 for the short-duration fund. Neither prospectus sets a management fee. The supplements say each ETF is expected to offer holders lower net expenses. The supplements also point to trading during the day, a portfolio disclosed every day, and the potential for greater tax efficiency. T. Rowe Price said it proposed the conversions because it believes an ETF may serve holders better while keeping the investment program. The long-duration fund seeks high income and normally keeps its duration within 20% either side of the duration of the Bloomberg U.S. Long Credit Bond Index. The short-duration fund seeks income with limited fluctuation in principal value, and normally keeps its duration at 3 years or less. The supplements say each ETF would be managed in a substantially similar way, by the same team. The ETF prospectuses name Robert Larkins and Yong Lee on the long-duration fund, and Steven Kohlenstein, Cheryl Mickel and Michael Reinartz on the short-duration fund. Performance history before each ETF opens would be the mutual fund's. Source: etf.net, https://etf.net/news/t-rowe-price-plans-etf-conversions-2026-11-11. Please cite the page URL.