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Form N-CSR T. Rowe Price U.S. Large For: Dec 31

February 22, 2024 10:25 AM EST

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED

MANAGEMENT INVESTMENT COMPANIES

Investment Company Act File Number: 811-22293

T. Rowe Price U.S. Large-Cap Core Fund, Inc.

 

(Exact name of registrant as specified in charter)

100 East Pratt Street, Baltimore, MD 21202

 

(Address of principal executive offices)

David Oestreicher

100 East Pratt Street, Baltimore, MD 21202

 

(Name and address of agent for service)

Registrant’s telephone number, including area code: (410) 345-2000

Date of fiscal year end: December 31 

Date of reporting period: December 31, 2023


Item 1. Reports to Shareholders

(a) Report pursuant to Rule 30e-1


Highlights
and
Market
Commentary
Management’s
Discussion
of
Fund
Performance
Performance
and
Expenses
Financial
Highlights
Portfolio
of
Investments
Financial
Statements
and
Notes
Additional
Fund
Information
December
31,
2023
Annual
Report
For
more
insights
from
T.
Rowe
Price
investment
professionals,
go
to
troweprice.com
.
T.
ROWE
PRICE
TRULX
U.S.
Large-Cap
Core
Fund
–!
PAULX
U.S.
Large-Cap
Core
Fund–
Advisor Class
RCLIX
U.S.
Large-Cap
Core
Fund–I  Class
TRZLX
U.S.
Large-Cap
Core
Fund–Z Class
T.
ROWE
PRICE
U.S.
Large-Cap
Core
Fund
HIGHLIGHTS
The
U.S.
Large-Cap
Core
Fund
underperformed
its
benchmark,
the
S&P
500
Index,
and
its
Lipper
peer
group
for
the
12
months
ended
December
31,
2023.
An
overweight
exposure
and
stock
selection
in
consumer
staples
and
security
choices
in
information
technology
detracted
from
relative
performance.
On
a
positive
note,
energy
supported
results
due
to
an
underweight
allocation
to
the
sector.
Our
largest
allocations
were
in
the
information
technology,
health
care,
and
financials
sectors—accounting
for
more
than
half
of
the
portfolio.
Moving
forward,
we
aim
to
skew
the
portfolio
toward
a
more
defensive
posture
while
opportunistically
adding
to
cyclicality
when
attractive
entry
points
present
themselves.
Log
in
to
your
account
at
troweprice.com
for
more
information.
*
An
account
service
fee
will
be
charged
annually
for
each
T.
Rowe
Price
mutual
fund
account
unless
you
meet
criteria
for
a
fee
waiver.
Go
to
troweprice.com/personal-investing/help/fees-and-
minimums.html
to
learn
more
about
this
account
service
fee,
including
other
ways
to
waive
it.
T.
ROWE
PRICE
U.S.
Large-Cap
Core
Fund
Market
Commentary
1
Dear
Shareholder
Global
stock
and
bond
indexes
were
broadly
positive
during
2023
as
most
economies
managed
to
avoid
the
recession
that
was
widely
predicted
at
the
start
of
the
year.
Technology
companies
benefited
from
investor
enthusiasm
for
artificial
intelligence
developments
and
led
the
equity
rally,
while
fixed
income
benchmarks
rebounded
late
in
the
year
amid
falling
interest
rates.
For
the
12-month
period,
the
technology-oriented
Nasdaq
Composite
Index
rose
about
43%,
reaching
a
record
high
and
producing
the
strongest
result
of
the
major
benchmarks.
Growth
stocks
outperformed
value
shares,
and
developed
market
stocks
generally
outpaced
their
emerging
markets
counterparts.
Currency
movements
were
mixed
over
the
period,
although
a
weaker
dollar
versus
major
European
currencies
was
beneficial
for
U.S.
investors
in
European
securities.
Within
the
S&P
500
Index,
which
finished
the
year
just
short
of
the
record
level
it
reached
in
early
2022,
the
information
technology,
communication
services,
and
consumer
discretionary
sectors
were
all
lifted
by
the
tech
rally
and
recorded
significant
gains.
A
small
group
of
tech-oriented
mega-cap
companies
helped
drive
much
of
the
market’s
advance.
Conversely,
the
defensive
utilities
sector
had
the
weakest
returns
in
the
growth-focused
environment,
and
the
energy
sector
also
lost
ground
amid
declining
oil
prices.
The
financials
sector
bounced
back
from
the
failure
of
three
large
regional
banks
in
the
spring
and
was
one
of
the
top-performing
segments
in
the
second
half
of
the
year.
The
U.S.
economy
was
the
strongest
among
the
major
markets
during
the
period,
with
gross
domestic
product
growth
coming
in
at
4.9%
in
the
third
quarter,
the
highest
since
the
end
of
2021.
Corporate
fundamentals
were
also
broadly
supportive.
Year-over-year
earnings
growth
contracted
in
the
first
and
second
quarters
of
2023,
but
results
were
better
than
expected,
and
earnings
growth
turned
positive
again
in
the
third
quarter.
Markets
remained
resilient
despite
a
debt
ceiling
standoff
in
the
U.S.,
the
outbreak
of
war
in
the
Middle
East,
the
continuing
conflict
between
Russia
and
Ukraine,
and
a
sluggish
economic
recovery
in
China.
Inflation
remained
a
concern,
but
investors
were
encouraged
by
the
slowing
pace
of
price
increases
as
well
as
the
possibility
that
the
Federal
Reserve
was
nearing
the
end
of
its
rate-hiking
cycle.
The
Fed
held
rates
steady
after
raising
its
short-term
lending
benchmark
rate
to
a
target
range
of
5.25%
to
5.50%
in
July,
the
highest
level
since
March
2001,
and
at
its
final
meeting
of
the
year
in
December,
the
central
bank
indicated
that
there
could
be
three
25-basis-point
rate
cuts
in
2024.
T.
ROWE
PRICE
U.S.
Large-Cap
Core
Fund
2
The
yield
of
the
benchmark
10-year
U.S.
Treasury
note
briefly
reached
5.00%
in
October
for
the
first
time
since
late
2007
before
falling
back
to
3.88%
by
period-end,
the
same
level
where
it
started
the
year,
amid
cooler-than-expected
inflation
readings
and
less-hawkish
Fed
rhetoric.
Fixed
income
benchmarks
were
lifted
late
in
the
year
by
falling
yields.
Investment-grade
and
high
yield
corporate
bonds
produced
solid
returns,
supported
by
the
higher
coupons
that
have
become
available
over
the
past
year,
as
well
as
increasing
hopes
that
the
economy
might
be
able
to
avoid
a
recession.
Global
economies
and
markets
showed
surprising
resilience
in
2023,
but
considerable
uncertainty
remains
as
we
look
ahead.
Geopolitical
events,
the
path
of
monetary
policy,
and
the
impact
of
the
Fed’s
rate
hikes
on
the
economy
all
raise
the
potential
for
additional
volatility.
We
believe
this
environment
makes
skilled
active
management
a
critical
tool
for
identifying
risks
and
opportunities,
and
our
investment
teams
will
continue
to
use
fundamental
research
to
help
identify
securities
that
can
add
value
to
your
portfolio
over
the
long
term.
Thank
you
for
your
continued
confidence
in
T.
Rowe
Price.
Sincerely, 
Robert
Sharps
CEO
and
President
T.
ROWE
PRICE
U.S.
Large-Cap
Core
Fund
Management’s
Discussion
of
Fund
Performance
3
INVESTMENT
OBJECTIVE 
The
fund
seeks
to
provide
long-term
capital
growth.
FUND
COMMENTARY
How
did
the
fund
perform
in
the
past
12
months?
The
U.S.
Large-Cap
Core
Fund
returned
22.60%
in
the
12
months
ended
December
31,
2023.
The
fund
underperformed
its
benchmark,
the
S&P
500
Index,
which
returned
26.29%,
and
its
peer
group,
the
Lipper
Large-Cap
Core
Funds
Index.
(Returns
for
the
Advisor,
I,
and
Z
Class
shares
varied,
reflecting
their
different
fee
structures.
Past
performance
cannot
guarantee
future
results
.
)
What
factors
influenced
the
fund’s
performance?
Consumer
staples
weighed
on
results
the
most
due
to
an
overweight
allocation
and
adverse
stock
selection.
Our
position
in
Dollar
General
detracted,
with
shares
recording
a
double-digit
loss
as
the
discount
retailer
contended
with
compressing
margins,
weak
sales
growth,
and
growing
competition
from
e-commerce
and
larger
retailers.
Negative
sentiment
pressured
shares
after
management
predicted
tighter
consumer
spending,
as
shoppers
shift
to
purchasing
essentials
over
general
merchandise,
and
ongoing
shoplifting-
related
headwinds
going
into
2024.
(Please
refer
to
the
portfolio
of
investments
for
a
complete
list
of
holdings
and
the
amount
each
represents
in
the
portfolio.)
Our
security
selection
in
information
technology
also
detracted.
Here,
our
underweight
exposure
to
NVIDIA
earlier
in
the
year
hurt,
as
shares
of
the
leading
chipmaker
traded
sharply
higher
following
consecutive
robust
quarterly
reports
and
impressive
guidance
that
reflected
improved
visibility
around
future
demand
for
advanced
graphics
processing
units
(GPUs)
PERFORMANCE
COMPARISON
Total
Return
Periods
Ended
12/31/23
6
Months
12
Months
U.S.
Large-Cap
Core
Fund
.
9.72‌%
22.60‌%
U.S.
Large-Cap
Core
Fund–
.
Advisor  Class
9.53‌
22.23‌
U.S.
Large-Cap
Core
Fund–
.
I  Class
9.75‌
22.66‌
U.S.
Large-Cap
Core
Fund–
.
Z  Class
10.07‌
23.40‌
S&P
500
Index
8.04‌
26.29‌
Lipper
Large-Cap
Core
Funds
Index
8.67‌
24.65‌
T.
ROWE
PRICE
U.S.
Large-Cap
Core
Fund
4
that
are
critical
for
the
buildout
of
artificial
intelligence
infrastructure.
We
added
to
our
position
in
the
name
midyear.
Our
holding
in
design
software
company
Autodesk
hindered
as
management
offered
guidance
that
fell
short
of
expectations
during
the
year.
In
communication
services,
an
underweight
allocation
and
stock
choices
held
back
relative
performance.
Particularly,
not
owning
Meta
Platforms
was
a
hindrance,
as
shares
rose
higher
over
the
year,
driven
by
the
tech
giant’s
continued
focus
on
cost
discipline,
a
rebound
in
digital
ad
spending,
and
improving
monetization
trends
within
short-form
video.
Turning
to
contributors,
our
underweight
exposure
to
energy
supported
relative
results
the
most.
The
sector
lagged
as
crude
oil
prices
fell
from
highs
earlier
in
2023
amid
global
economic
uncertainties
and
abundant
inventories.
Gasoline
prices
also
reached
their
lowest
levels
of
2023
on
relatively
weak
seasonal
demand
due
to
warmer
weather
and
increased
production.
Despite
an
unfavorable
overweight,
our
stock
selection
within
health
care
was
beneficial.
Cencora
(formerly,
AmerisourceBergen)
added
value
owing
to
strong
U.S.
drug
distribution
trends.
Following
disappointing
first-quarter
results,
the
company
subsequently
reported
growth
in
its
U.S.
and
international
health
care
solutions
segments
and,
later
in
the
year,
increased
quarterly
sales
driven
by
demand
for
specialty
products
and
diabetes
and
weight
loss
drugs.
Our
positions
in
Vertex
Pharmaceuticals
and
Regeneron
Pharmaceuticals,
both
recording
double-digit
returns,
were
also
among
the
leading
relative
contributors
within
the
sector.
T.
ROWE
PRICE
U.S.
Large-Cap
Core
Fund
5
How
is
the
fund
positioned?
The
fund’s
largest
allocations
were
in
the
information
technology
(IT),
health
care,
and
financials
sectors.
Within
IT,
we
focused
on
innovative
business
models
that
can
take
advantage
of
transformational
change,
favoring
companies
with
durable
business
models
that
address
large
and
growing
markets.
Our
largest
industry
exposure
is
in
semiconductors
and
semiconductor
equipment.
In
health
care,
we
value
companies
that
offer
relatively
stable
growth
potential
or
that
are
well
positioned
to
take
advantage
of
long-term
trends
by
offering
highly
innovative
products.
Our
largest
allocations
in
the
sector
are
to
the
health
care
providers
and
services
industry.
Within
the
financials
sector,
we
tend
to
prefer
names
with
solid
balance
sheets
and
diversified
revenue
streams
that
are
trading
at
attractive
relative
valuations.
Insurance
is
our
largest
industry
allocation
within
the
sector.
The
fund’s
top
five
holdings
in
the
portfolio
are
Microsoft,
Apple,
Amazon.com,
NVIDIA,
and
Alphabet.
We
think
Microsoft’s
broad-based
success
in
cloud
computing,
most
notably
with
Office
365
and
Azure,
and
its
early
leadership
in
artificial
technology
have
positioned
it
well
for
durably
fast
revenue
and
free
cash
flow
growth.
Apple
is
a
top
holding
as
we
believe
its
ability
to
compound
earnings
are
underappreciated
by
the
market;
however,
we
remain
cognizant
of
the
impact
a
recession
may
have
on
the
consumer
hardware
company.
We
think
Amazon.com’s
e-commerce,
AWS,
and
advertising
businesses
are
levered
to
durable
secular
growth
themes,
are
attacking
huge
addressable
markets,
and
have
plenty
of
runway
left
for
growth.
The
multinational
tech
company’s
profit
reinvestment
into
other
segments
like
devices
and
video
should
also
bode
well
for
future
growth.
We
are
attracted
to
NVIDIA’s
state-of-the-art
graphic
SECTOR
DIVERSIFICATION
Percent
of
Net
Assets
6/30/23
12/31/23
Information
Technology  
29.4‌%
27.4‌%
Health
Care  
16.6‌
14.4‌
Financials  
13.2‌
12.9‌
Industrials
and
Business
Services  
12.0‌
11.9‌
Consumer
Discretionary  
8.0‌
9.5‌
Consumer
Staples  
9.2‌
8.6‌
Communication
Services  
5.2‌
5.5‌
Energy  
2.7‌
5.1‌
Materials  
0.9‌
1.8‌
Real
Estate  
0.9‌
1.7‌
Utilities  
1.5‌
0.9‌
Other
and
Reserves  
0.4‌
0.3‌
Total
100.0‌%
100.0‌%
Historical
weightings
reflect
current
industry/sector
classifications.
T.
ROWE
PRICE
U.S.
Large-Cap
Core
Fund
6
processing
units,
which,
combined
with
its
embedded
software
intellectual
property,
have
created
an
expanding
moat
that
should
allow
the
company
to
continue
to
innovate
and
grow
earnings.
Finally,
we
appreciate
Alphabet’s
scale
advantages
and
exposure
to
secular
growth
trends.
During
the
period,
we
initiated
positions
in
Honeywell
International,
a
global
diversified
industrial
company
whose
organic
growth
should
stabilize
and
reaccelerate,
despite
the
market’s
focus
on
recent
warehouse
automation
sales
weakness,
and
whose
idiosyncratic
advantages
should
provide
additional
support
to
earnings
growth
in
the
coming
years.
We
also
started
a
position
in
oil
field
services
companies
Halliburton,
which
has
a
market-leading
North
America
franchise
and
an
international
and
offshore
business
we
believed
is
undervalued,
and
Schlumberger,
whose
potential
to
benefit
from
the
current
international
capital
expenditure
cycle,
which
should
continue
for
the
next
several
years,
was
attractive.
We
purchased
into
global
aerospace
and
defense
company
General
Dynamics
as
we
were
optimistic
about
its
ability
to
potentially
deliver
strong
near-
to
medium-term
returns
on
revenue
growth
in
defense
segments
augmented
by
a
cyclical
upturn
in
aerospace.
Rising
global
defense
budgets
should
also
prove
beneficial.
Turning
to
sales,
we
eliminated
Broadcom,
a
manufacturer
of
semiconductor
and
infrastructure
software
products,
to
redeploy
assets
into
other
opportunities
we
believe
have
more
attractive
risk/reward
algorithms.
We
also
exited
our
position
in
property
and
casualty
(P&C)
insurer
Chubb
to
capture
gains
from
a
relatively
strong
run
due
to
a
P&C
upcycle.
We
divested
our
positions
in
electric
and
gas
utility
Ameren
and
vertically
integrated
utility
Southern
Company
in
an
effort
to
substantially
reduce
our
utilities
exposure
to
strategically
invest
in
more
cyclical
names
as
compelling
opportunities
arose.
Finally,
we
exited
our
position
in
Regeneron
Pharmaceuticals
as
we
felt
that
the
increasingly
competitive
environment
around
one
of
its
flagship
drugs
made
the
biotechnology
company
a
less
attractive
investment.
What
is
portfolio
management’s
outlook?
The
current
environment
resembles
that
of
the
1960s,
a
time
of
big
government
spending,
rising
wages,
and
supply
chain
issues.
Hopes
of
a
soft
landing
grew
in
the
fourth
quarter,
boosting
market
sentiment
and
returns.
In
our
view,
the
odds
of
a
recession
in
the
near
term
have
decreased;
however,
the
likelihood
of
a
soft
landing
also
remains
low.
Should
the
Federal
Reserve
ease
monetary
policy
too
prematurely,
the
risk
of
a
return
to
inflation
increases.
T.
ROWE
PRICE
U.S.
Large-Cap
Core
Fund
7
Moving
forward,
we
aim
to
continue
to
skew
the
portfolio
toward
a
more
defensive
posture
while
opportunistically
adding
to
cyclicality
when
attractive
entry
points
present
themselves.
As
a
result,
the
portfolio
beta
should
trend
upward
modestly
over
time.
As
always,
we
remain
committed
to
identifying
fundamentally
sound,
higher-quality
companies
that
possess
attractive
risk-
adjusted
return
algorithms.
The
views
expressed
reflect
the
opinions
of
T.
Rowe
Price
as
of
the
date
of
this
report
and
are
subject
to
change
based
on
changes
in
market,
economic,
or
other
conditions.
These
views
are
not
intended
to
be
a
forecast
of
future
events
and
are
no
guarantee
of
future
results.
T.
ROWE
PRICE
U.S.
Large-Cap
Core
Fund
8
RISKS
OF
STOCK
INVESTING
As
with
all
stock
and
bond
mutual
funds,
a
fund’s
share
price
can
fall
because
of
weakness
in
the
stock
or
bond
markets,
a
particular
industry,
or
specific
holdings.
Stock
markets
can
decline
for
many
reasons,
including
adverse
political
or
economic
developments,
changes
in
investor
psychology,
or
heavy
institutional
selling.
The
prospects
for
an
industry
or
company
may
deteriorate
because
of
a
variety
of
factors,
including
disappointing
earnings
or
changes
in
the
competitive
environment.
In
addition,
the
investment
manager’s
assessment
of
companies
held
in
a
fund
may
prove
incorrect,
resulting
in
losses
or
poor
performance
even
in
rising
markets.
Funds
investing
in
stocks
with
a
dividend
orientation
may
have
somewhat
lower
potential
for
price
appreciation
than
those
concentrating
on
rapidly
growing
firms.
Also,
a
company
may
reduce
or
eliminate
its
dividend.
BENCHMARK
INFORMATION
Note:
Portions
of
the
mutual
fund
information
contained
in
this
report
was
supplied
by
Lipper,
a
Refinitiv
Company,
subject
to
the
following:
Copyright
2024
©
Refinitiv.
All
rights
reserved.
Any
copying,
republication
or
redistribution
of
Lipper
content
is
expressly
prohibited
without
the
prior
written
consent
of
Lipper.
Lipper
shall
not
be
liable
for
any
errors
or
delays
in
the
content,
or
for
any
actions
taken
in
reliance
thereon.
Note:
The
S&P
500
Index
is
a
product
of
S&P
Dow
Jones
Indices
LLC,
a
division
of
S&P
Global,
or
its
affiliates
(“SPDJI”)
and
has
been
licensed
for
use
by
T.
Rowe
Price.
Standard
&  Poor’s
®
and
S&P
®
 are
registered
trademarks of
Standard
&
Poor’s
Financial
Services
LLC,
a
division
of
S&P
Global (“S&P”);
Dow
Jones
®
is
a
registered
trademark
of
Dow
Jones
Trademark
Holdings
LLC
(“Dow
Jones”);
T.
Rowe
Price
is
not
sponsored,
endorsed,
sold
or
promoted
by
SPDJI,
Dow
Jones,
S&P,
or
their
respective
affiliates,
and
none
of
such
parties
make
any
representation
regarding
the
advisability
of
investing
in
such
product(s)
nor
do
they
have
any
liability
for
any
errors,
omissions,
or
interruptions
of
the
S&P
500
Index.
T.
ROWE
PRICE
U.S.
Large-Cap
Core
Fund
9
PORTFOLIO
HIGHLIGHTS
TWENTY-FIVE
LARGEST
HOLDINGS
Percent
of
Net
Assets
12/31/23
Microsoft
8.2‌%
Apple
5.0‌ 
Amazon.com
4.2‌ 
NVIDIA
3.9‌ 
Alphabet
3.2‌ 
Visa
2.7‌ 
Thermo
Fisher
Scientific
2.0‌ 
JPMorgan
Chase
1.7‌ 
UnitedHealth
Group
1.7‌ 
Applied
Materials
1.6‌ 
KLA
1.5‌ 
Honeywell
International
1.4‌ 
CSX
1.4‌ 
Elevance
Health
1.4‌ 
Merck
1.4‌ 
General
Dynamics
1.4‌ 
Cencora
1.3‌ 
Mondelez
International
1.3‌ 
Cummins
1.3‌ 
Procter
&
Gamble
1.3‌ 
Micron
Technology
1.3‌ 
Netflix
1.3‌ 
Amphenol
1.3‌ 
Bank
of
America
1.3‌ 
Eli
Lilly
and
Co
1.2‌ 
Total
54.3‌%
Note:
The
information
shown
does
not
reflect
any
exchange-traded
funds
(ETFs),
cash
reserves,
or
collateral
for
securities
lending
that
may
be
held
in
the
portfolio.
BENCHMARK
INFORMATION
(continued)
T.
ROWE
PRICE
U.S.
Large-Cap
Core
Fund
10
GROWTH
OF
$10,000 
This
chart
shows
the
value
of
a
hypothetical
$10,000
investment
in
the
fund
over
the
past
10
fiscal
year
periods
or
since
inception
(for funds
lacking
10-year
records).
The
result
is
compared
with
benchmarks,
which
include
a
broad-based
market
index
and
may
also
include
a
peer
group
average
or
index.
Market
indexes
do
not
include
expenses,
which
are
deducted
from
fund returns
as
well
as
mutual fund
averages
and
indexes.
U.S.
LARGE-CAP
CORE
FUND 
Note:
Performance
for
the Advisor,
I,
and
Z
Class
shares
will
vary
due
to
their
differing
fee
structures.
See
the
Average
Annual
Compound
Total
Return
table
on
the
next
page. 
T.
ROWE
PRICE
U.S.
Large-Cap
Core
Fund
11
AVERAGE
ANNUAL
COMPOUND
TOTAL
RETURN
Periods
Ended
12/31/23
1
Year
5
Years
10
Years
Since
Inception
Inception
Date
U.S.
Large-Cap
Core
Fund
.
22.60‌%
14.36‌%
11.48‌%
–‌
U.S.
Large-Cap
Core
Fund–
.
Advisor  Class
22.23‌
14.02‌
11.19‌
–‌
U.S.
Large-Cap
Core
Fund–
.
I  Class
22.66‌
14.48‌
–‌
12.59‌%
11/29/16
U.S.
Large-Cap
Core
Fund–
.
Z  Class
23.40‌
–‌
–‌
21.48‌
3/16/20
The
fund’s
performance
information
represents
only
past
performance
and
is
not
necessarily
an
indication
of
future
results.
Current
performance
may
be
lower
or
higher
than
the
performance
data
cited.
Share
price,
principal
value,
and
return
will
vary,
and
you
may
have
a
gain
or
loss
when
you
sell
your
shares.
For
the
most
recent
month-end
performance,
please
visit
our
website
(troweprice.com)
or
contact
a
T.
Rowe
Price
representative
at
1
-
800
-
225
-
5132
or,
for
0.02
Advisor,
0.03
I
,
and
0.04
Z
Class
shares,
1-800-638-8790.
This
table
shows
how
the
fund
would
have
performed
each
year
if
its
actual
(or
cumulative)
returns
for
the
periods
shown
had
been
earned
at
a
constant
rate.
Average
annual
total
return
figures
include
changes
in
principal
value,
reinvested
dividends,
and
capital
gain
distributions.
Returns
do
not
reflect
taxes
that
the
shareholder
may
pay
on
distributions
or
the
redemption
of
shares.
When
assessing
performance,
investors
should
consider
both
short-
and
long-term
returns.
T.
ROWE
PRICE
U.S.
Large-Cap
Core
Fund
12
EXPENSE
RATIO
FUND
EXPENSE
EXAMPLE
As
a
mutual
fund
shareholder,
you
may
incur
two
types
of
costs:
(1)
transaction
costs,
such
as
redemption
fees
or
sales
loads,
and
(2)
ongoing
costs,
including
management
fees,
distribution
and
service
(12b-1)
fees,
and
other
fund
expenses.
The
following
example
is
intended
to
help
you
understand
your
ongoing
costs
(in
dollars)
of
investing
in
the
fund
and
to
compare
these
costs
with
the
ongoing
costs
of
investing
in
other
mutual
funds.
The
example
is
based
on
an
investment
of
$1,000
invested
at
the
beginning
of
the
most
recent
six-month
period
and
held
for
the
entire
period.
Please
note
that
the
fund
has
four
share
classes:
The
original
share
class
(Investor
Class)
charges
no
distribution
and
service
(12b-1)
fee,
Advisor
Class
shares
are
offered
only
through
unaffiliated
brokers
and
other
financial
intermediaries
and
charge
a
0.25%
12b-1
fee,
I
Class
shares
are
available
to
institutionally
oriented
clients
and
impose
no
12b-1
or
administrative
fee
payment,
and
Z
Class
shares
are
offered
only
to
funds
advised
by
T.
Rowe
Price
and
other
advisory
clients
of
T.
Rowe
Price
or
its
affiliates
that
are
subject
to
a
contractual
fee
for
investment
management
services
and
impose
no
12b-1
fee
or
administrative
fee
payment.
Each
share
class
is
presented
separately
in
the
table.
Actual
Expenses
The
first
line
of
the
following
table
(Actual)
provides
information
about
actual
account
values
and
expenses
based
on
the
fund’s
actual
returns.
You
may
use
the
information
on
this
line,
together
with
your
account
balance,
to
estimate
the
expenses
that
you
paid
over
the
period.
Simply
divide
your
account
value
by
$1,000
(for
example,
an
$8,600
account
value
divided
by
$1,000
=
8.6),
then
multiply
the
result
by
the
number
on
the
first
line
under
the
heading
“Expenses
Paid
During
Period”
to
estimate
the
expenses
you
paid
on
your
account
during
this
period. 
Hypothetical
Example
for
Comparison
Purposes
The
information
on
the
second
line
of
the
table
(Hypothetical)
is
based
on
hypothetical
account
values
and
expenses
derived
from
the
fund’s
actual
expense
ratio
and
an
assumed
5%
per
year
rate
of
return
before
expenses
(not
the
fund’s
actual
return).
You
may
compare
the
ongoing
costs
of
investing
in
the
fund
with
other
funds
by
contrasting
this
5%
hypothetical
example
and
the
5%
hypothetical
examples
that
appear
in
the
shareholder
reports
of
the
other
funds.
The
hypothetical
account
values
and
expenses
may
not
be
used
to
estimate
the
actual
ending
account
balance
or
expenses
you
paid
for
the
period.
U.S.
Large-Cap
Core
Fund
0.70‌%
U.S.
Large-Cap
Core
Fund–Advisor
Class
0.97‌ 
U.S.
Large-Cap
Core
Fund–I
Class
0.58‌ 
U.S.
Large-Cap
Core
Fund–Z
Class
0.55‌ 
The
expense
ratio
shown
is
as
of
the
fund’s
most
recent
prospectus.
This
number
may
vary
from
the
expense
ratio
shown
elsewhere
in
this
report
because
it
is
based
on
a
different
time
period
and,
if
applicable,
includes
acquired
fund
fees
and
expenses
but
does
not
include
fee
or
expense
waivers.
T.
ROWE
PRICE
U.S.
Large-Cap
Core
Fund
13
Note:
T.
Rowe
Price
charges
an
annual
account
service
fee
of
$20,
generally
for
accounts
with
less
than
$10,000.
The
fee
is
waived
for
any
investor
whose
T.
Rowe
Price
mutual
fund
accounts
total
$50,000
or
more;
accounts
electing
to
receive
electronic
delivery
of
account
statements,
transaction
confirmations,
prospectuses,
and
shareholder
reports;
or
accounts
of
an
investor
who
is
a
T.
Rowe
Price
Personal
Services
or
Enhanced
Personal
Services
client
(enrollment
in
these
programs
generally
requires
T.
Rowe
Price
assets
of
at
least
$250,000).
This
fee
is
not
included
in
the
accompanying
table.
If
you
are
subject
to
the
fee,
keep
it
in
mind
when
you
are
estimating
the
ongoing
expenses
of
investing
in
the
fund
and
when
comparing
the
expenses
of
this
fund
with
other
funds.
You
should
also
be
aware
that
the
expenses
shown
in
the
table
highlight
only
your
ongoing
costs
and
do
not
reflect
any
transaction
costs,
such
as
redemption
fees
or
sales
loads.
Therefore,
the
second
line
of
the
table
is
useful
in
comparing
ongoing
costs
only
and
will
not
help
you
determine
the
relative
total
costs
of
owning
different
funds.
To
the
extent
a
fund
charges
transaction
costs,
however,
the