Table of Contents

Investment Objective(s)

The fund’s primary investment objective is to seek the orderly transition of securities and other financial instruments it receives in connection with a portfolio transition. When the fund is not actively being used to facilitate a portfolio transition, the fund will seek to preserve principal value.

Principal Investment Strategies

Transition Management Vehicle for T. Rowe Price Multi-Asset Products

The fund (transition fund or fund) is designed to be a transition management vehicle for T. Rowe Price mutual funds, collective investment trusts (CITs), and Section 529 college savings plans that invest in mutual funds or CITs advised and sponsored by T. Rowe Price (collectively, T. Rowe Price Multi-Asset Products). The transition fund is only available for purchase by T. Rowe Price Multi-Asset Products.

In certain circumstances, a T. Rowe Price Multi-Asset Product seeks to transition its investment in one or more underlying funds or CITs (each, an initial portfolio) to one or more different underlying funds or CITs (each, a receiving portfolio) or to cash. Each initial portfolio may distribute to the transition fund in-kind securities and other investments (in addition to cash) in satisfaction of the applicable T. Rowe Price Multi-Asset Product’s request to redeem its shares of the initial portfolio. The T. Rowe Price Multi-Asset Product will then contribute such securities and other investments to the transition fund in exchange for shares of the transition fund. The transition fund will then sell or otherwise liquidate certain of the securities and/or other investments received and will buy or otherwise acquire securities and/or other investments that align with the investment program of each receiving portfolio. The transition fund will then distribute to each receiving portfolio in-kind securities, other investments, or cash in satisfaction of the T. Rowe Price Multi-Asset Product’s request to redeem its shares of the transition fund. In general, any redemptions in-kind will represent a pro-rata distribution of the fund’s securities, subject to certain limited exceptions. Alternatively, the transition fund may satisfy the T. Rowe Price Multi-Asset Product’s redemption request solely through cash. The sole purpose of the transition fund is to provide each T. Rowe Price Multi-Asset Product with an investment vehicle designed to transition its investment from an initial portfolio to a receiving portfolio or to cash in an efficient manner (a portfolio transition).

The transition fund seeks to orderly liquidate and acquire instruments (as applicable) as soon as reasonably practicable and at a price that T. Rowe Price believes is reasonable. The transition fund seeks to minimize transaction costs to the T. Rowe Price Multi-Asset Products in connection with such transitions. After the transition fund liquidates and acquires applicable instruments, each T. Rowe Price Multi-Asset Product submits redemption orders to the transition fund as soon as reasonably practicable.

When the transition fund is not actively being used to facilitate a portfolio transition, the transition fund may invest up to 100% of its assets in cash, T. Rowe Price money market funds (including Z Class shares of the T. Rowe Price U.S. Treasury Money Market Fund), money

market instruments, and other short-term obligations (collectively, cash investments) that would not ordinarily be consistent with the transition fund’s primary investment objective. The transition fund may be invested in these types of investments for extended periods of time. When the transition fund is not actively being used to facilitate a portfolio transition, its assets are comprised of investments from T. Rowe Price (or its affiliates) and/or T. Rowe Price Multi-Asset Products.

Investment Strategies

The transition fund has broad flexibility with respect to its portfolio holdings in order to enable it to accommodate each initial portfolio’s and receiving portfolio’s investment program. As a result, the instruments in the transition fund’s portfolio will be determined by the investments that compose each initial portfolio and receiving portfolio for each portfolio transition. The transition fund’s holdings could be comprised of any type of investment and will be received by the transition fund without consideration of the investment risks or potential investment performance. Therefore, the transition fund is permitted to hold all types of securities and other investments, including, but not limited to, equity and equity-related investments, such as common stocks and convertible securities; and fixed income investments, such as bonds, asset-backed securities (ABS), mortgage-backed securities (MBS), and below investment-grade securities (also known as “junk bonds”).

The fund is “nondiversified,” meaning it may invest a greater portion of its assets in a single issuer and own more of the issuer’s voting securities than is permissible for a “diversified” fund.

Once the initial portfolio’s securities are received by the transition fund, T. Rowe Price will not actively manage the securities. Rather, T. Rowe Price’s primary focus will be to seek to orderly complete each portfolio transition as soon as reasonably practicable at a price T. Rowe Price believes is reasonable. As a result, except as discussed herein, the transition fund does not expect to hold any securities or other instruments other than the securities and other instruments received or purchased in connection with a portfolio transition, except that T. Rowe Price may invest in cash investments. In addition, T. Rowe Price may invest the transition fund’s assets in cash investments to the extent necessary to avoid the transition fund violating legal restrictions applicable to the transition fund (e.g., tax diversification requirements).

Given the purpose of the transition fund, it will sell securities and other instruments frequently in connection with portfolio transitions. The sale of the transition fund’s securities and other instruments will result in transaction costs and may result in capital gains to the transition fund, which will ultimately be borne by its shareholders (i.e., the applicable T. Rowe Price Multi-Asset Products).

Principal Risks

The principal risks associated with the fund’s principal investment strategies, which may be even greater in bad or uncertain market conditions, include the following:

Portfolio transitions: Because of the fund’s unique purpose and manner of operations, the fund’s performance is not comparable to the performance of other mutual funds that invest in similar securities and other investments. T. Rowe Price’s ability to liquidate the fund’s securities and other investments in an orderly or efficient manner is subject to liquidity risk. In addition, although the fund is designed to be a transition vehicle, it will still hold securities and other investments with fluctuating market prices during the transition process, which may be for an extended period of time. During the transition process, the value of the fund’s shares will vary as its portfolio holdings increase or decrease in value. Therefore, the value of the T. Rowe Price Multi-Asset Products’ investment in the fund could go down as well as up during the process of transitioning the fund’s holdings, and the T. Rowe Price Multi-Asset Products may lose money by investing in the fund. In addition, the T. Rowe Price Multi-Asset Products will indirectly pay the transaction costs incurred by the fund as part of the transition process.

Liquidity: Low trading volume, a lack of a market maker, or contractual or legal restrictions may limit the fund’s ability to value securities or prevent the fund from selling securities at desirable times or prices.

Money market funds: Although money market funds seek to preserve the value of investments, it is possible to lose money by investing in a money market fund. An investment in a money market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency.

Stock investing: Stocks generally fluctuate in value more than bonds and may decline significantly over short time periods. There is a chance that stock prices overall will decline because stock markets tend to move in cycles, with periods of rising and falling prices. The value of stocks held by the fund may decline due to general weakness or volatility in the stock markets in which the fund invests or because of factors that affect a particular company or industry.

Fixed income markets: Economic and other market developments can adversely affect the fixed income securities markets. At times, participants in these markets may develop concerns about the ability of certain issuers of debt instruments to make timely principal and interest payments, or they may develop concerns about the ability of financial institutions that make markets in certain debt instruments to facilitate an orderly market. Those concerns could cause increased volatility and reduced liquidity in particular securities or in the overall fixed income markets and the related derivatives markets. A lack of liquidity or other adverse credit market conditions may hamper the fund’s ability to sell the debt instruments in which it invests or to find and purchase suitable debt instruments.

Interest rates: A rise in interest rates typically causes the price of a fixed rate debt instrument to fall and its yield to rise. Conversely, a decline in interest rates typically causes the price of a fixed rate debt instrument to rise and the yield to fall. The prices and yields of inflation-linked

bonds are directly impacted by the rate of inflation as well as changes in interest rates. Generally, funds with longer weighted average maturities and durations carry greater interest rate risk. Changes in monetary policy made by central banks and/or governments are likely to affect the interest rates or yields of the securities in which the fund invests.

Prepayments and extensions: The fund is subject to prepayment risks because the principal on mortgage-backed securities, asset-backed securities, or any debt instrument with an embedded call option may be prepaid at any time, which could reduce the security’s yield and market value. The rate of prepayments tends to increase as interest rates fall, which could cause the average maturity of the portfolio to shorten. Extension risk may result from a rise in interest rates, which tends to make mortgage-backed securities, asset-backed securities, and other callable debt instruments more volatile.

Credit quality: An issuer of a debt instrument could suffer an adverse change in financial condition that results in a payment default (failure to make scheduled interest or principal payments), rating downgrade, or inability to meet a financial obligation. Securities that are rated below investment grade carry greater risk of default and should be considered speculative.

International investing: Non-U.S. securities tend to be more volatile and have lower overall liquidity than investments in U.S. securities and may lose value because of adverse local, political, social, or economic developments overseas, or due to changes in the exchange rates between foreign currencies and the U.S. dollar. In addition, investments outside the U.S. are subject to settlement practices and regulatory and financial reporting standards that differ from those of the U.S. The risks of investing outside the U.S. are heightened for any investments in emerging markets, which are susceptible to greater volatility than investments in developed markets.

Emerging markets: Investments in emerging market countries are subject to greater risk and overall volatility than investments in the U.S. and other developed markets. Emerging market countries tend to have economic structures that are less diverse and mature, less developed legal and regulatory regimes, and political systems that are less stable, than those of developed countries. In addition to the risks associated with investing outside the U.S., emerging markets are more susceptible to governmental interference, political and economic uncertainty, local taxes and restrictions on the fund’s investments, less efficient trading markets with lower overall liquidity, and more volatile currency exchange rates.

Sector exposure: Issuers in the same economic sector may be similarly affected by economic or market events, making the fund more vulnerable to unfavorable developments in that economic sector than funds that invest more broadly.

Nondiversification risks As a nondiversified fund, the fund has the ability to invest a larger percentage of its assets in the securities of a smaller number of issuers than a diversified fund. As a result, poor performance by a single issuer could adversely affect the fund’s performance more than if the fund were invested in a larger number of issuers. The fund’s share price can be expected to fluctuate more than that of a comparable diversified fund.

Market conditions: The value of the fund’s investments may decrease, sometimes rapidly or unexpectedly, due to factors affecting an issuer held by the fund, particular industries, or the overall securities markets. A variety of factors can increase the volatility of the fund’s holdings and markets generally, including economic, political, or regulatory developments, recessions, inflation, rapid interest rate changes, war, military conflict, acts of terrorism, natural disasters, and outbreaks of infectious illnesses or other widespread public health issues (such as the coronavirus pandemic) and related governmental and public responses (including sanctions). Certain events may cause instability across global markets, including reduced liquidity and disruptions in trading markets, while some events may affect certain geographic regions, countries, sectors, and industries more significantly than others. Government intervention in markets may impact interest rates, market volatility, and security pricing. These adverse developments may cause broad declines in market value due to short-term market movements or for significantly longer periods during more prolonged market downturns.

Cybersecurity breaches: The fund could be harmed by intentional cyberattacks and other cybersecurity breaches, including unauthorized access to the fund’s assets, confidential information, or other proprietary information. In addition, a cybersecurity breach could cause one of the fund’s service providers or financial intermediaries to suffer unauthorized data access, data corruption, or loss of operational functionality.

Management

Investment Adviser T. Rowe Price Associates, Inc. (T. Rowe Price or Price Associates)

Purchase and Sale of Fund Shares

The fund is not available for direct purchase by members of the public. The fund is only available for purchase by T. Rowe Price Multi-Asset Products.

There is no minimum amount required for initial or subsequent purchases. Shares of the fund may be purchased, redeemed, or exchanged on any day the New York Stock Exchange is open for business.

Tax Information

Any dividends or capital gains are declared and paid at least annually, usually in December, and additional declarations and payments may be made as determined by the fund, especially in connection with portfolio transitions. Redemptions or exchanges of fund shares and distributions by the fund, whether or not the T. Rowe Price Multi-Asset Products reinvest these amounts in additional fund shares, generally may be taxed as ordinary income or capital gains.

Investment Adviser(s)

T. Rowe Price is the fund’s investment adviser and oversees the selection of the fund’s investments and management of the fund’s portfolio pursuant to an investment management agreement between the investment adviser and the fund. T. Rowe Price is the investment adviser for all funds sponsored and managed by T. Rowe Price (T. Rowe Price Funds); is an SEC-registered investment adviser that provides investment management services to individual and institutional investors and sponsors; and serves as adviser and subadviser to registered investment companies, institutional separate accounts, and common trust funds. The address for T. Rowe Price is 100 East Pratt Street, Baltimore, Maryland 21202. As of December 31, 2023, T. Rowe Price and its affiliates (Firm) had approximately $1.45 trillion in assets under management.

Portfolio Management

T. Rowe Price has established an Investment Advisory Committee with respect to the fund. The committee cochairs are ultimately responsible for the day-to-day management of the fund’s portfolio and work with the committee in developing and executing the fund’s investment program. The members of the committee are as follows: Matthew W. Novak and Bradley R. Raglin, cochairs, Peter J. Roehrig, William Evan Scheiner, Neil Smith, Michael T. Wehn, and Arnold N. Welsh, Jr. The following information provides the year that the cochairs first joined the Firm and the cochairs’ specific business experience during the past five years (although the cochairs may have had portfolio management responsibilities for a longer period). Mr. Novak and Mr. Raglin have been cochairs of the committee since 2021. Mr. Novak joined the Firm in 2005, and his investment experience dates from 2011. During the past five years, he has served as an investment allocation analyst in the Firm’s Multi-Asset Division and as a portfolio manager (beginning in 2021) with the Firm. Mr. Raglin joined the Firm in 2005, and his investment experience dates from 2012. During the past five years, he has served as an investment allocation analyst in the Firm’s Multi-Asset Division and as a portfolio manager (beginning in 2021). The Statement of Additional Information (SAI) provides additional information about the portfolio managers’ compensation, other accounts managed by the portfolio managers, and the portfolio managers’ ownership of the fund’s shares.

The Management Fee

The fund does not pay an investment management fee, and T. Rowe Price waives and/or pays all of the fund’s ordinary, recurring operating expenses (excluding interest; expenses related to borrowings, taxes, and brokerage; nonrecurring, extraordinary expenses; and acquired fund fees and expenses).

A discussion about the factors considered by the fund’s Board of Directors (Board) and its conclusions in approving the fund’s investment management contract with T. Rowe Price appears in the fund’s semiannual shareholder report for the period ended June 30.

Investment Objective(s)

The fund’s primary investment objective is to seek the orderly transition of securities and other financial instruments it receives in connection with a portfolio transition as soon as reasonably practicable. When the fund is not actively being used to facilitate a portfolio transition, the fund will seek to preserve principal value.

Principal Investment Strategies

Transition Management Vehicle for T. Rowe Price Multi-Asset Products

The fund (transition fund or fund) is designed to be a transition management vehicle for T. Rowe Price mutual funds, collective investment trusts (CITs), and Section 529 college savings plans that invest in mutual funds or CITs advised and sponsored by T. Rowe Price (collectively, T. Rowe Price Multi-Asset Products). The transition fund is only available for purchase by T. Rowe Price Multi-Asset Products.

In certain circumstances, a T. Rowe Price Multi-Asset Product seeks to transition its investment in one or more underlying funds or CITs (each, an initial portfolio) to one or more different underlying funds or CITs (each, a receiving portfolio) or to cash. Each initial portfolio may distribute to the transition fund in-kind securities and other investments (in addition to cash) in satisfaction of the applicable T. Rowe Price Multi-Asset Product’s request to redeem its shares of the initial portfolio. The T. Rowe Price Multi-Asset Product will then contribute such securities and other investments to the transition fund in exchange for shares of the transition fund. The transition fund will then sell or otherwise liquidate certain of the securities and/or other investments received and will buy or otherwise acquire securities and/or other investments that align with the investment program of each receiving portfolio. The transition fund will then distribute to each receiving portfolio in-kind securities, other investments, or cash in satisfaction of the T. Rowe Price Multi-Asset Product’s request to redeem its shares of the transition fund. In general, any redemptions in-kind will represent a pro-rata distribution of the fund’s securities, subject to certain limited exceptions. Alternatively, the transition fund may satisfy the T. Rowe Price Multi-Asset Product’s redemption request solely through cash. The sole purpose of the transition fund is to provide each T. Rowe Price Multi-Asset Product with an investment vehicle designed to transition its investment from an initial portfolio to a receiving portfolio or to cash in an efficient manner (a portfolio transition).

The transition fund seeks to orderly liquidate and acquire instruments (as applicable) as soon as reasonably practicable and at a price that T. Rowe Price believes is reasonable. The transition fund seeks to minimize transaction costs to the T. Rowe Price Multi-Asset Products in

connection with such transitions. After the transition fund liquidates and acquires applicable instruments, each T. Rowe Price Multi-Asset Product submits redemption orders to the transition fund as soon as reasonably practicable.

When the transition fund is not actively being used to facilitate a portfolio transition, the transition fund may invest up to 100% of its assets in cash, T. Rowe Price money market funds (including Z Class shares of the T. Rowe Price U.S. Treasury Money Market Fund), money market instruments, and other short-term obligations (collectively, cash investments) that would not ordinarily be consistent with the transition fund’s primary investment objective. The transition fund may be invested in these types of investments for extended periods of time. When the transition fund is not actively being used to facilitate a portfolio transition, its assets are comprised of investments from T. Rowe Price (or its affiliates) and/or T. Rowe Price Multi-Asset Products.

Investment Strategies

The transition fund has broad flexibility with respect to its portfolio holdings in order to enable it to accommodate each initial portfolio’s and receiving portfolio’s investment program. As a result, the instruments in the transition fund’s portfolio will be determined by the investments that compose each initial portfolio and receiving portfolio for each portfolio transition. The transition fund’s holdings could be comprised of any type of investment and will be received by the transition fund without consideration of the investment risks or potential investment performance. Therefore, the transition fund is permitted to hold all types of securities and other investments, including, but not limited to, equity and equity-related investments, such as common stocks and convertible securities; and fixed income investments, such as bonds, asset-backed securities (ABS), mortgage-backed securities (MBS), and below investment-grade securities (also known as “junk bonds”).

The fund is “nondiversified,” meaning it may invest a greater portion of its assets in a single issuer and own more of the issuer’s voting securities than is permissible for a “diversified” fund.

Once the initial portfolio’s securities are received by the transition fund, T. Rowe Price will not actively manage the securities. Rather, T. Rowe Price’s primary focus will be to seek to orderly complete each portfolio transition as soon as reasonably practicable at a price T. Rowe Price believes is reasonable. As a result, except as discussed herein, the transition fund does not expect to hold any securities or other instruments other than the securities and other instruments received or purchased in connection with a portfolio transition, except that T. Rowe Price may invest in cash investments. In addition, T. Rowe Price may invest the transition fund’s assets in cash investments to the extent necessary to avoid the transition fund violating legal restrictions applicable to the transition fund (e.g., tax diversification requirements).

Given the purpose of the transition fund, it will sell securities and other instruments frequently in connection with portfolio transitions. The sale of the transition fund’s securities and other instruments will result in transaction costs and may result in capital gains to the transition

fund, which will ultimately be borne by its shareholders (i.e., the applicable T. Rowe Price Multi-Asset Products).

Investing in Cash Investments

A large portion of the fund’s assets may be held in reserves, or cash investments, and at times, the transition fund’s portfolio will consist entirely of reserves. The fund’s reserve positions will primarily consist of: (1) shares of a T. Rowe Price internal money market fund or short-term bond fund (which do not charge any management fees and are not available for public purchase); (2) short-term, high-quality U.S. money market securities; and (3) U.S. dollar currencies.

Common and Preferred Stocks

Stocks represent shares of ownership in a company. Generally, preferred stocks have a specified dividend rate and rank after bonds and before common stocks in their claim on income for dividend payments and on assets should the company be liquidated. After other claims are satisfied, common stockholders participate in company profits on a pro-rata basis and profits may be paid out in dividends or reinvested in the company to help it grow. Increases and decreases in earnings are usually reflected in a company’s stock price, so common stocks generally have the greatest appreciation and depreciation potential of all corporate securities. Unlike common stock, preferred stock does not ordinarily carry voting rights. While most preferred stocks pay a dividend, the fund may decide to purchase preferred stock where the issuer has suspended, or is in danger of suspending, payment of its dividend.

Convertible Securities and Warrants

The fund may invest in debt instruments or preferred equity securities that are convertible into, or exchangeable for, equity securities at specified times in the future and according to a certain exchange ratio. Convertible bonds are typically callable by the issuer, which could in effect force conversion before the holder would otherwise choose. Traditionally, convertible securities have paid dividends or interest at rates higher than common stocks but lower than nonconvertible securities. They generally participate in the appreciation or depreciation of the underlying stock into which they are convertible, but to a lesser degree than common stock. Some convertible securities combine higher or lower current income with options and other features. Warrants are options to buy, directly from the issuer, a stated number of shares of common stock at a specified price anytime during the life of the warrants (generally, two or more years). Warrants have no voting rights, pay no dividends, and can be highly volatile. In some cases, the redemption value of a warrant could be zero.

Foreign Securities

The fund may invest in foreign securities. Foreign securities could include non-U.S. dollar-denominated securities traded outside the U.S. and U.S. dollar-denominated securities of foreign issuers traded in the U.S. Investing in foreign securities involves special risks that can increase the potential for losses. These include exposure to potentially adverse local, political, social, and economic developments such as war, political instability, hyperinflation, currency devaluations, and overdependence on particular industries; government interference in markets such as nationalization and exchange controls, expropriation of assets, or imposition

of punitive taxes; the imposition of international trade and capital barriers and other protectionist or retaliatory measures; potentially lower liquidity and higher volatility; possible issues arising from accounting, disclosure, settlement, and regulatory practices and legal rights that differ from U.S. standards; and the potential for fluctuations in foreign exchange rates to decrease the investment’s value (favorable changes can increase its value). In addition, information with respect to foreign borrowers may differ from that available for U.S. borrowers because foreign companies are not generally subject to accounting, auditing and financial reporting standards, practices, and requirements comparable to those applicable to U.S. borrowers. The fund may purchase American Depositary Receipts and Global Depositary Receipts, which are certificates evidencing ownership of shares of a foreign issuer. American Depositary Receipts and Global Depositary Receipts trade on established markets and are alternatives to directly purchasing the underlying foreign securities in their local markets and currencies. Such investments are subject to many of the same risks associated with investing directly in foreign securities.

Bonds

A bond is an interest-bearing security. The issuer has a contractual obligation to pay interest at a stated rate on specific dates and to repay principal (the bond’s face value) on a specified date. An issuer may have the right to redeem or “call” a bond before maturity, and the investor may have to invest the proceeds at lower market rates. Bonds can be issued by U.S. and foreign governments, states, and municipalities, as well as a wide variety of companies.

A bond’s annual interest income, set by its coupon rate, is usually fixed for the life of the bond. Its yield (income as a percent of current price) will fluctuate to reflect changes in interest rate levels. A bond’s price usually rises when interest rates fall and vice versa, so its yield generally stays consistent with current market conditions.

Conventional fixed rate bonds offer a coupon rate for a fixed maturity with no adjustment for inflation. Real rate of return bonds also offer a fixed coupon but include ongoing inflation adjustments for the life of the bond.

Certain bonds have floating or variable interest rates that are adjusted periodically based on a particular index. These interest rate adjustments tend to minimize fluctuations in the bonds’ principal values. The maturity of certain floating rate securities may be shortened under certain specified conditions.

Bonds, including asset- and mortgage-backed securities, may be secured (backed by specific collateral) or may be unsecured (backed only by the issuer’s general creditworthiness).

Mortgage-Backed Securities

The fund may invest in a variety of mortgage-backed securities. Mortgage lenders pool individual home mortgages with similar characteristics to back a certificate or bond, which is sold to investors such as the fund. Interest and principal payments generated by the underlying mortgages are passed through to the investors. The “big three” issuers are the Government National Mortgage Association, the Federal National Mortgage Association, and the Federal Home Loan Mortgage Corporation. Government National Mortgage Association certificates

are backed by the full faith and credit of the U.S. government, while others, such as the Federal National Mortgage Association and Federal Home Loan Mortgage Corporation certificates, are only supported by the ability to borrow from the U.S. Treasury or by the credit of the agency. (The Federal National Mortgage Association and the Federal Home Loan Mortgage Corporation operate under conservatorship of the Federal Housing Finance Agency, an independent federal agency.) Private mortgage bankers and other institutions also issue mortgage-backed securities.

Mortgage-backed securities are subject to scheduled and unscheduled principal payments as homeowners pay down or prepay their mortgages. As these payments are received, they must be reinvested when interest rates may be higher or lower than on the original mortgage security. Therefore, these securities are not an effective means of locking in long-term interest rates. In addition, when interest rates fall, the rate of mortgage prepayments, including refinancings, tends to increase. Refinanced mortgages are paid off at face value or “par,” causing a loss for any investor who may have purchased the security at a price above par. In such an environment, this risk limits the potential price appreciation of these securities and can negatively affect the fund’s net asset value. When interest rates rise, the prices of mortgage-backed securities can be expected to decline. In addition, when interest rates rise and prepayments slow, the effective duration of mortgage-backed securities extends, resulting in increased price volatility.

Asset-Backed Securities

An underlying pool of assets, such as credit card or automobile trade receivables or corporate loans or bonds, backs asset-backed securities and provides the interest and principal payments to investors. On occasion, the pool of assets may also include a swap obligation, which is used to change the cash flows on the underlying assets. As an example, a swap may be used to allow floating rate assets to back a fixed rate obligation. Credit quality depends primarily on the quality of the underlying assets, the level of any credit support provided by the structure or a line of credit, and the credit quality of the swap counterparty, if any. The underlying assets (i.e., loans) are sometimes subject to prepayments, which can shorten the asset-backed security’s effective maturity and may lower its return. The value of these asset-backed securities also may change because of actual or perceived changes in the creditworthiness of the individual borrowers, the originator, the servicing agent, the financial institution providing the credit support, or the swap counterparty. There is no limit on the portion of the fund’s fixed income investments that may be invested in asset-backed securities.

High Yield or “Junk” Bonds

The price and yield of below investment-grade (high yield or “junk”) bonds, including below investment-grade emerging market bonds, can be expected to fluctuate more than the price and yield of higher-quality bonds. Because these bonds are rated below BBB (or an equivalent rating) or are in default, they are regarded as predominantly speculative with respect to the issuer’s continuing ability to meet principal and interest payments. Successful investment in lower-medium and low-quality bonds involves greater investment risk and is highly dependent on T. Rowe Price’s credit analysis. A real or perceived economic downturn or higher interest

rates could cause a decline in high yield bond prices by lessening the ability of issuers to make principal and interest payments. These bonds are often thinly traded and can be more difficult to sell and value accurately than higher-quality bonds. Because objective pricing data may be less available, judgment may play a greater role in the valuation process. In addition, the entire high yield bond market can experience sudden and sharp price swings due to a variety of factors, including changes in economic forecasts, stock market activity, large or sustained sales by major investors, a high profile default, or just a change in the market’s psychology.

Principal Risks

The principal risks associated with the fund’s principal investment strategies, which may be even greater in bad or uncertain market conditions, include the following:

Portfolio transitions: Because of the fund’s unique purpose and manner of operations, the fund’s performance is not comparable to the performance of other mutual funds that invest in similar securities. The fund may be forced to sell portfolio securities during periods of reduced liquidity and/or market disruption when prices are rapidly declining. This may require the fund to realize investment losses at times when another mutual fund with different investment goals may choose to hold a particular investment until a more orderly sale could occur, the market recovers or the security reaches maturity. The T. Rowe Price Multi-Asset Products will indirectly pay the transaction costs incurred by the transition fund as part of the liquidation process. There is a risk that a transition is subject to significant transaction expenses or brokerage commissions, which could cause the fund to lose money.

In addition, although the fund is designed to be a transition vehicle, the fund will still hold securities with fluctuating market prices during the transition process, which may be for an extended period of time. During the transition process, the value of the fund’s shares will vary as its portfolio securities increase or decrease in value. Therefore, the value of a T. Rowe Price Multi-Asset Product’s investment in the fund could go down as well as up during the process of transitioning the fund’s securities, and the T. Rowe Price Multi-Asset Products may lose money by investing in the fund. In addition, some securities (such as foreign securities) are subject to extended settlement periods, which may impair the fund’s ability to sell or realize the full value of such securities upon liquidation.

Liquidity: Low trading volume, a lack of a market maker, or contractual or legal restrictions may limit or prevent the fund from selling securities at desirable times or prices. During times of significant market or economic turmoil, usually liquid markets for certain of the fund’s investments may experience extreme reductions in buy-side demand, which may result in values of the fund’s portfolio securities declining significantly over short or extended periods of time. These reductions in value may occur regardless of whether there has been a change in interest rates or a change in the credit rating of the issuer of the security. Under certain adverse market or economic conditions, fund investments previously determined to be liquid may be deemed to be illiquid, and, because of regulatory limitations on investments in illiquid securities, the fund may not be able to make or gain the desired level of exposure to certain investments that it otherwise would.

Money market funds: An investment in a money market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although money market funds seek to preserve the value of investments, it is possible to lose money by investing in a money market fund. In addition, a money market fund is not designed to offer capital appreciation. In exchange for their emphasis on stability and liquidity, money market investments may offer lower long-term performance than stock or bond investments.

Stock investing: The fund’s share price can fall because of weakness in the overall stock markets, a particular industry, or specific holdings. Stock markets as a whole can be volatile and decline for many reasons, such as adverse local, regional, or global political, regulatory, or economic developments; changes in investor psychology; or heavy selling at the same time by major institutional investors in the market. 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 adviser’s assessment of companies whose stocks are held by the fund may prove incorrect, resulting in losses or poor performance, even in rising markets. In the event an issuer is liquidated or declares bankruptcy, the claims of owners of the issuer’s bonds and preferred stock take precedence over the claims of those who own common stock.

Fixed income markets: The market price of investments owned by the fund may go up or down, sometimes rapidly or unpredictably. The fund’s investments may decline in value due to factors affecting the overall fixed income markets or particular industries or sectors. The value of a holding may decline due to developments related to a particular issuer, but also due to general fixed income market conditions, including real or perceived adverse economic developments, such as changes in interest rates, credit quality, inflation, or currency rates, or generally adverse investor sentiment. The value of a holding may also decline due to factors that negatively affect a particular industry or sector, such as labor shortages, increased production costs, or competitive conditions. The fund may experience heavy redemptions that could cause it to liquidate its assets at inopportune times or at a loss or depressed value.

Interest rates: The prices of bonds and other fixed income securities typically increase as interest rates fall, and prices typically decrease as interest rates rise (bond prices and interest rates usually move in opposite directions). Such decreases in prices are due to the bonds and notes in the fund’s portfolio becoming less attractive to other investors when securities with higher yields become available. The prices and yields of inflation-linked bonds are directly impacted by the rate of inflation as well as changes in interest rates. Generally, funds with longer weighted average maturities (i.e., an average of the maturities of the underlying debt instruments, “weighted” by the percentage of the fund’s assets it represents) and durations (i.e., the measure of the price sensitivity of a fund to changes in interest rates) carry greater interest rate risk. As a result, in a rising interest rate environment, the net asset value of a fund with a longer weighted average maturity or duration typically decreases at a faster rate than the net asset value of a fund with a shorter weighted average maturity or duration. In addition, recent and potential future changes in monetary policy made by central banks and/or governments are likely to affect the interest rates or yields of the securities in which the fund invests. An elevated inflation environment may heighten risks associated with rising rates. As a

result, rapid changes in interest rates may increase the fund’s overall exposure to interest rate risk.

Prepayments and extensions: A fund investing in mortgage-backed securities, asset-backed securities, and other debt instruments that have embedded call options can be negatively impacted when interest rates fall because borrowers tend to refinance and prepay principal. Receiving increasing prepayments in a falling interest rate environment causes the average maturity of the fund’s portfolio to shorten, reducing its potential for price gains. It also requires the fund to reinvest proceeds at lower interest rates, which reduces the fund’s total return and yield, and could result in a loss if bond prices fall below the level that the fund paid for them. A rise in interest rates or lack of refinancing opportunities can cause the fund’s weighted average maturity to lengthen unexpectedly due to a drop in expected prepayments of mortgage-backed securities, asset-backed securities, and callable debt instruments. This would increase the fund’s sensitivity to rising interest rates and its potential for price declines.

Credit quality: An issuer of a debt instrument held by the fund could default (fail to make scheduled interest or principal payments), potentially reducing the fund’s income and share price. Credit risk is increased when portfolio holdings are downgraded or the perceived financial condition of an issuer deteriorates. Holdings with an investment-grade rating should have a relatively low risk of encountering financial problems and a relatively high probability of future payments. However, holdings rated below investment grade are more susceptible to adverse economic conditions than other investment-grade holdings and may have speculative characteristics. Holdings rated below investment grade should be regarded as speculative because their issuers may be more susceptible to financial setbacks and recession than more creditworthy issuers (commonly referred to as “junk”).

International investing: Investments outside the U.S. may lose value because of declining foreign currencies or adverse local, political, social, or economic events overseas, among other things. Securities of non-U.S. issuers (including depositary receipts and other instruments that represent interests in a non-U.S. issuer) tend to be more volatile than U.S. securities and are subject to trading markets with lower overall liquidity, governmental interference, and regulatory and accounting standards and settlement practices that differ from the U.S. The fund could experience losses based solely on the weakness of foreign currencies in which the fund’s holdings are denominated versus the U.S. dollar, and changes in the exchange rates between such currencies and the U.S. dollar. Risks can result from differing regulatory environments, less stringent investor protections, less availability of public information about issuers, uncertain tax laws, and higher transaction costs compared with U.S. markets. Investments outside the U.S. could be subject to governmental actions such as capital or currency controls, nationalization of a company or industry, expropriation of assets, or imposition of high taxes.

A trading market may close for national holidays or without warning for extended time periods, preventing the fund from buying or selling securities in that market. Trading securities in which the fund invests may take place in various foreign markets on certain days when the fund is not open for business and does not calculate its net asset value. For example, the fund

may invest in securities that trade in various foreign markets that are open on weekends. As the securities trade, their value may substantially change. As a result, the fund’s net asset value may be significantly affected on days when shareholders cannot make transactions. In addition, market volatility may significantly limit the liquidity of securities of certain issuers in a particular country or geographic region, or of all companies in the country or region. The fund may be unable to liquidate its positions in such securities at any time, or at a favorable price, in order to meet the fund’s obligations.

Emerging markets: Investments in emerging markets are subject to the risk of abrupt and severe price declines. The economic and political structures of emerging market countries, in most cases, do not compare favorably with the U.S. or other developed countries in terms of wealth and stability, and their financial markets often lack liquidity. These economies are less developed, can be overly reliant on particular industries, and are more vulnerable to the ebb and flow of international trade, trade barriers, and other protectionist or retaliatory measures. Governments in many emerging market countries participate to a significant degree in their economies and securities markets. As a result, foreign investments may be restricted and subject to greater government control, including repatriation of sales proceeds. Emerging market securities exchanges are more likely to experience problems with the clearing and settling of trades, as well as the custody of holdings by local banks, agents, and depositories. In addition, the accounting standards in emerging market countries may be unreliable and could present an inaccurate picture of a company’s finances. Some countries have histories of instability and upheaval that could cause their governments to act in a detrimental or hostile manner toward private enterprise or foreign investment. Investments in countries or regions that have recently begun moving away from central planning and state-owned industries toward free markets should be regarded as speculative.

While some countries have made progress in economic growth, liberalization, fiscal discipline, and political and social stability, there is no assurance these trends will continue. Significant risks, such as war and terrorism, currently affect some emerging market countries. The fund’s performance will likely be hurt by exposure to countries in the midst of hyperinflation, currency devaluation, trade disagreements, sudden political upheaval, or interventionist government policies. The volatility of emerging markets may be heightened by the actions (such as significant buying or selling) of a few major investors. For example, substantial increases or decreases in cash flows of funds investing in these markets could significantly affect local securities prices and, therefore, could cause fund share prices to decline.

Sector exposure: At times, the fund may have a significant portion of its assets invested in securities of issuers conducting business in a related group of industries within the same economic sector. Issuers within the same economic sector may be similarly affected by specific market events impacting that sector. As a result, the fund is more susceptible to adverse developments affecting an economic sector in which the fund has significant investments and may perform poorly during a downturn in one or more of the industries within that economic sector.

Nondiversification: Because the fund is nondiversified and thus can invest more of its assets in a smaller number of issuers, it is more exposed to the risks associated with an individual issuer than a fund that invests more broadly across many issuers. For example, poor performance by a single large holding of the fund would adversely affect the fund’s performance more than if the fund were invested in a larger number of issuers.

Market conditions: The value of investments held by the fund may decline, sometimes rapidly or unpredictably, due to factors affecting certain issuers, particular industries or sectors, or the overall markets. Rapid or unexpected changes in market conditions could cause the fund to liquidate its holdings at inopportune times or at a loss or depressed value. The value of a particular holding may decrease due to developments related to that issuer, but also due to general market conditions, including real or perceived economic developments, such as changes in interest rates, credit quality, inflation, or currency rates, or generally adverse investor sentiment. The value of a holding may also decline due to factors that negatively affect a particular industry or sector, such as labor shortages, increased production costs, or competitive conditions. In addition, local, regional, or global events such as war, military conflict, acts of terrorism, political and social unrest, regulatory changes, recessions, shifts in monetary or trade policies, natural or environmental disasters, and the spread of infectious diseases or other public health issues could have a significant negative impact on securities markets and the fund’s investments. Any of these events may lead to unexpected suspensions or closures of securities exchanges; travel restrictions or quarantines; business disruptions and closures; inability to obtain raw materials, supplies, and component parts; reduced or disrupted operations for the fund’s service providers or issuers in which the fund invests; and an extended adverse impact on global market conditions. Government intervention (including sanctions) in markets may impact interest rates, market volatility, and security pricing. The occurrence of any of these events could adversely affect the economies (including through changes in business activity and increased unemployment) and financial markets of specific countries or worldwide.

Cybersecurity breaches: The fund may be subject to operational and information security risks resulting from breaches in cybersecurity. Cybersecurity breaches may involve deliberate attacks and unauthorized access to the digital information systems (for example, through “hacking” or malicious software coding) used by the fund, its investment adviser and subadviser(s) (as applicable), or its service providers but may also result from outside attacks such as denial-of-service attacks, which are efforts to make network services unavailable to intended users. These breaches may, among other things, result in financial losses to the fund and its shareholders, cause the fund to lose proprietary information, disrupt business operations, or result in the unauthorized release of confidential information. Further, cybersecurity breaches involving the fund’s service providers, financial intermediaries, trading counterparties, or issuers in which the fund invests could subject the fund to many of the same risks associated with direct breaches.

Additional Investment Management Practices

The fund may employ additional investment management practices as described in this section. The fund’s investments may be subject to further restrictions and risks described in the SAI, which contains more detailed information about the fund and its investments, operations, and expenses.

Borrowing Money and Transferring Assets

The fund may borrow from banks, other persons, and other T. Rowe Price Funds for temporary or emergency purposes, to facilitate redemption requests, or for other purposes consistent with the fund’s policies as set forth in this prospectus and the SAI. Such borrowings may be collateralized with the fund’s assets, subject to certain restrictions.

Borrowings may not exceed 33⅓% of the fund’s total assets. This limitation includes any borrowings for temporary or emergency purposes, applies at the time of the transaction, and continues to the extent required by the Investment Company Act of 1940.

A description of T. Rowe Price’s policies and procedures with respect to the disclosure of portfolio information is available in the SAI.

This section of the prospectus describes the policies that apply to the transition fund, which is not available for direct purchase by members of the public. The transition fund is only available for purchase by T. Rowe Price Multi-Asset Products. Policies for other T. Rowe Price Funds are described in their respective prospectuses, and all available funds and share classes are described more fully in the Statement of Additional Information.

How and When Shares are Priced

The share price, also called the net asset value, for the fund is calculated at the close of trading on the New York Stock Exchange (NYSE), which is normally 4 p.m. ET, on each day that the NYSE is open for business. Net asset values are not calculated for the fund on days when the NYSE is scheduled to be closed for trading (for example, weekends and certain U.S. national holidays). If the NYSE is unexpectedly closed due to weather or other extenuating circumstances on a day it would typically be open for business, or if the NYSE has an unscheduled early closing on a day it has opened for business, the fund reserves the right to treat such day as a business day and accept purchase and redemption orders and calculate their share price as of the normally scheduled close of regular trading on the NYSE for that day.

To calculate the net asset value, the fund’s assets are valued and totaled; liabilities are subtracted; and the balance, called net assets, is divided by the number of shares outstanding. Market values are used to price portfolio holdings for which market quotations are readily available. Market values generally reflect the prices at which securities actually trade or represent prices that have been adjusted based on evaluations and information provided by the fund’s pricing services. Investments in other mutual funds are valued at the closing net asset value per share of the mutual fund on the day of valuation. Investments for which market quotations are not readily available or deemed unreliable are valued at fair value as determined in good faith by T. Rowe Price, as the valuation designee, designated by the Board, by taking into account various, adopted factors and methodologies for determining the fair value. This value may differ from the value the fund receives upon sale of the securities.

Non-U.S. equity securities are valued on the basis of their most recent closing market prices at 4 p.m. ET, except under the following circumstances. Most foreign markets close before 4 p.m. ET. For example, the most recent closing prices for securities traded in certain Asian markets may be as much as 15 hours old at 4 p.m. ET. If T. Rowe Price determines that developments between the close of a foreign market and the close of the NYSE will, in its judgment, affect the value of some or all of the fund’s securities, T. Rowe Price will adjust the previous closing prices to reflect what it believes to be the fair value of the securities as of 4 p.m. ET. In deciding whether to make these adjustments, T. Rowe Price reviews a variety of factors, including developments in foreign markets, the performance of U.S. securities markets, and the

performance of instruments trading in U.S. markets that represent foreign securities and baskets of foreign securities.

T. Rowe Price may also fair value certain securities or a group of securities in other situations, for example, when a particular foreign market is closed but the fund is open. For a fund that has investments in securities that are primarily listed on foreign exchanges that trade on weekends or other days when the fund does not price its shares, the fund’s net asset value may change on days when shareholders will not be able to purchase or redeem the fund’s shares. If an event occurs that affects the value of a security after the close of the market, such as a default of a commercial paper issuer or a significant move in short-term interest rates, T. Rowe Price may make a price adjustment depending on the nature and significance of the event.

A variety of factors are evaluated when assigning fair values to private placements and other restricted securities. Other mutual funds may adjust the prices of their securities by different amounts or assign different fair values than the fair value that the fund assigns to the same security.

How the Trade Date is Determined

If a request is received by T. Rowe Price in correct form by the close of the NYSE, which is normally 4 p.m. ET, the transaction will be priced at that business day’s net asset value. If the request is received by T. Rowe Price after the close of the NYSE, the transaction will be priced at the next business day’s net asset value.

Note: The time at which transactions and shares are priced and the time until which orders are accepted by the fund may be changed in case of an emergency or if the NYSE closes at a time other than 4 p.m. ET. The fund reserves the right to not treat an unscheduled intraday disruption or closure in NYSE trading as a closure of the NYSE and still accept transactions and calculate its net asset value as of 4 p.m. ET. Should this occur, the order must still be placed and received in correct form by T. Rowe Price prior to the time the NYSE closes to be priced at that business day’s net asset value.

Receiving Redemption Proceeds

Redemption proceeds will typically be invested in a designated receiving portfolio or sent to the T. Rowe Price Multi-Asset Product’s custody account. Proceeds are normally sent by the second business day after the redemption request is received and processed. Proceeds sent by wire are typically credited to the T. Rowe Price Multi-Asset Product’s custody account the business day after the redemption. However, under certain circumstances, and when deemed to be in the fund’s best interests, proceeds may not be sent for up to seven days after receipt of a valid redemption order (for example, during periods of deteriorating or stressed market conditions or during extraordinary or emergency circumstances).

The following policies and requirements apply generally to accounts in the transition fund.

The fund generally does not accept orders that request a particular day or price for a transaction or any other special conditions. However, the fund reserves the right to accept orders that are unaccompanied by payment. Payment for these shares must be received by the time designated by the fund.

All purchases must be paid for in U.S. dollars or as a contribution of portfolio securities in exchange for fund shares. The fund reserves the right to reject purchase orders or to stop offering shares without notice. There are no minimum initial or subsequent investment amount requirements for the fund.

Nonpayment The fund and its agents have the right to reject or cancel any purchase, exchange, or redemption due to nonpayment.

Payment of Redemption Proceeds Redemption proceeds will be deposited in the redeeming shareholder’s custody account or in a designated receiving portfolio unless instructed otherwise. The fund intends to pay sale (redemption) proceeds in cash or as an in-kind redemption of portfolio securities. In general, any redemptions in-kind will represent a pro-rata distribution of a fund’s securities, subject to certain limited exceptions. The redeeming shareholder will be responsible for disposing of the securities, and the shareholder will be subject to the risks that the value of the securities could decline prior to their sale, the securities could be difficult to sell, and brokerage fees could be incurred.

Delays in Sending Redemption Proceeds

The fund typically expects that redemption requests will take one to two days following the receipt of a redemption request that is in correct form. Under certain circumstances and when deemed to be in the fund’s best interest, proceeds may not be sent for up to seven calendar days after receipt of a valid redemption order.

Fund Operations and Shareholder Services

T. Rowe Price and The Bank of New York Mellon, subject to the oversight of T. Rowe Price, each provide certain accounting services to the T. Rowe Price Funds. T. Rowe Price Services, Inc., acts as the transfer and dividend disbursing agent and provides shareholder and administrative services to the fund. These companies receive compensation from the fund for their services.

Excessive and Short-Term Trading Policy

Because the transition fund is designed to facilitate portfolio transitions, shares of the transition fund may be purchased or redeemed on a frequent basis. The transition fund is therefore not subject to the excessive and short-term trading policies adopted for other T. Rowe Price Funds. For similar reasons, the fund does not charge a redemption fee on the sale of fund shares.

The fund intends to qualify to be treated each year as a regulated investment company under Subchapter M of the Internal Revenue Code of 1986, as amended. In order to qualify, a fund must satisfy certain income, diversification, and distribution requirements. A regulated investment company is not subject to U.S. federal income tax at the portfolio level on income and gains from investments that are distributed to shareholders. However, if a fund were to fail to qualify as a regulated investment company and were ineligible to or otherwise did not cure such failure, the result would be fund-level taxation and, consequently, a reduction in income available for distribution to the fund’s shareholders.

To the extent possible, all net investment income and realized capital gains are distributed to shareholders. Your share of the distributions is based on the number of shares of the fund outstanding on the record date. Therefore, if the fund has experienced a net redemption during the taxable period, your share of the distribution may be relatively higher due to the smaller number of shares outstanding on the record date. See also “Taxes on Fund Distributions” below.

Dividends and Other Distributions

Dividend and capital gain distributions are reinvested and treated as paid in additional fund shares. To the extent consented to by all shareholders, the fund may also make dividend distributions through consent dividends as provided by Section 561 of the Internal Revenue Code.

Any dividends or capital gains are declared and paid at least annually, usually in December, and additional declarations and payments may be made as determined by the fund, especially in connection with portfolio transitions. A shareholder must hold shares of the fund on the dividend record date in order to receive a dividend or capital gain payment.

Capital Gain Payments

A capital gain or loss is the difference between the purchase and sale price of a security. If a fund has net capital gains for the year (after subtracting any capital losses), they are usually declared and paid in December to shareholders of record on a specified date that month. If a second distribution is necessary, it is generally paid the following year. The fund may have to make additional capital gain distributions, if necessary, to comply with the applicable tax law.

The transition fund does not expect to distribute long-term capital gains to shareholders because any net capital gains are likely to occur during portfolio transitions and it does not expect the holding of portfolio securities during the transition period to satisfy the holding period requirements necessary to distribute long-term capital gains to shareholders.

Tax Information

In most cases, if required, you will be provided information for your tax filing needs no later than mid-February. Tax reporting is generally not required to be provided by the fund to T. Rowe Price Multi-Asset Products.

Taxes on Fund Redemptions

When you sell shares in the fund, you may realize a gain or loss. An exchange from one fund to another in a taxable account is also a sale for tax purposes.

All or a portion of the loss realized from a sale or exchange of your fund shares may be disallowed under the “wash sale” rule if you purchase substantially identical shares within a 61-day period beginning 30 days before and ending 30 days after the date on which the shares are sold or exchanged. Shares of the same fund you acquire through dividend reinvestment are shares purchased for the purpose of the wash sale rule and may trigger a disallowance of the loss for shares sold or exchanged within the 61-day period of the dividend reinvestment. Any loss disallowed under the wash sale rule is added to the cost basis of the purchased shares.

Taxes on Fund Distributions

The transition fund generally intends to operate in a manner such that it will not be liable for federal income or excise taxes. To the extent the fund generates ordinary income or net capital gains from the portfolio transitions, the fund intends to distribute all income and gains to the T. Rowe Price Multi-Asset Products in connection with the portfolio transitions.

The tax status of any income dividends, dividends exempt from federal income taxes, and capital gain distributions will be made available generally no later than mid-February. Taxable distributions are generally taxable to you in the year in which they are paid. A dividend declared in October, November, or December and paid in the following January is generally treated as taxable to you as if you received the distribution in December. Your bond or money market fund dividends for each calendar year will include dividends accrued up to the first business day of the next calendar year. Ordinary dividends and capital gain dividends may also be subject to state and local taxes.

Taxable distributions reinvested in additional shares are subject to tax in the same way as if they were paid in cash.

The tax treatment of a capital gain distribution is determined by how long the fund held the portfolio securities, not how long you held the shares in the fund. Short-term (one year or less) capital gain distributions are taxable at the same rate as ordinary income, and gains on securities held more than one year are taxed at the lower rates applicable to long-term capital gains. If you realized a loss on the sale or exchange of fund shares that you held six months or less, your short-term capital loss must be reclassified as a long-term capital loss to the extent of any long-term capital gain distributions received during the period you held the shares. It is anticipated that substantially all of the distributions by the fund will consist primarily of dividends and not capital gain distributions.

The fund’s distributions that have exceeded the fund’s earnings and profits for the relevant tax year may be treated as a return of capital to its shareholders. A return of capital distribution is generally nontaxable but reduces the shareholder’s cost basis in the fund, and any return of capital in excess of the cost basis will result in a capital gain.

The tax status of certain distributions may be recharacterized at year-end. Distributions made by the fund may later be recharacterized for federal income tax purposes—for example, from taxable ordinary income dividends to returns of capital.

If the fund qualifies and elects to pass through nonrefundable foreign income taxes paid to foreign governments during the year, your portion of such taxes will be reported to you as taxable income. However, you may be able to claim an offsetting credit or deduction on your tax return for those amounts. There can be no assurance that the fund will meet the requirements to pass through foreign income taxes paid.

Tax Consequences of Hedging

Entering into certain transactions involving options, futures, swaps, and forward currency exchange contracts may result in the application of the mark-to-market and straddle provisions of the Internal Revenue Code. These provisions could result in a fund being required to distribute gains on such transactions even though it did not close the contracts during the year or receive cash to pay such distributions. The fund may not be able to reduce its distributions for losses on such transactions to the extent of unrealized gains in offsetting positions.

Tax Effect of Buying Shares Before an Income Dividend or Capital Gain Distribution

If you buy shares shortly before or on the “record date”—the date that establishes you as the person to receive the upcoming distribution—you may receive a portion of the money you just invested in the form of a taxable distribution. Therefore, you may wish to find out the fund’s record date before investing. In addition, the fund’s share price may, at any time, reflect undistributed capital gains or income and unrealized appreciation, which may result in future taxable distributions. Such distributions can occur even in a year when the fund has a negative return.

Other Unusual Tax Consequences

Because the transition fund’s primary investment objective is to facilitate portfolio transactions, it may present unique tax issues for shareholders that are not typical of an investment in a traditional fund that maintains a portfolio of securities for its ongoing investment business. For example, due to portfolio transitions, the fund may experience an “ownership change” more frequently than a traditional fund. Under Section 382 of the Internal Revenue Code, an ownership change generally results when the shareholders owning 5% or more of the fund increase their aggregate holdings by more than 50 percentage points over a three-year period. The amount of capital losses that can be carried forward and used in any single year may be limited if a fund experiences an ownership change.

T. Rowe Price Funds and their agents, in their sole discretion, reserve the following rights: (1) to waive or lower investment minimums; (2) to accept initial purchases by telephone; (3) to

refuse any purchase or exchange order; (4) to cancel or rescind any purchase or exchange order placed through an intermediary no later than the business day after the order is received by the intermediary (including, but not limited to, orders deemed to result in excessive trading, market timing, or 5% ownership); (5) to cease offering fund shares at any time to all or certain groups of investors; (6) to freeze any account and suspend account services when notice has been received of a dispute regarding the ownership of the account, or a legal claim against an account, upon initial notification to T. Rowe Price of a shareholder’s death until T. Rowe Price receives required documentation in correct form, or if there is reason to believe a fraudulent transaction may occur; (7) to otherwise modify the conditions of purchase and modify or terminate any services at any time; (8) to waive any wire, small account, maintenance, or fiduciary fees charged to a group of shareholders; (9) to act on instructions reasonably believed to be genuine; (10) to involuntarily redeem an account at the net asset value calculated the day the account is redeemed, when permitted by law, including in cases of threatening or abusive conduct, suspected fraudulent or illegal activity, or if the fund or its agent is unable, through its procedures, to verify the identity of the person(s) or entity opening an account; and (11) for the money market funds, to suspend redemptions to facilitate an orderly liquidation.

The fund’s Statement of Additional Information, which contains a more detailed description of the fund’s operations, investment restrictions, policies, and practices, is incorporated by reference into this prospectus, which means that it is legally part of this prospectus even if you do not request a copy. Additional information about the fund’s investments is available in the fund’s annual and semi-annual reports to shareholders and in Form N-CSR. Except for money market funds, a fund’s annual report contains a discussion of the market conditions and investment strategies that significantly affected the fund’s performance during its last fiscal year. For all shareholder reports issued after July 24, 2024, the fund’s annual and semi-annual financial statements will only be available in Form N-CSR. Because the fund is not publicly available for purchase, these documents are not made available through troweprice.com.

Annual and semi-annual shareholder reports and other fund information are available on the EDGAR Database on the SEC’s internet site at sec.gov. Copies of this information may be obtained, after paying a duplicating fee, by electronic request at publicinfo@sec.gov.