T. Rowe Price Dividend Growth Fund
Figures last verified October 31, 2026
Active investing in companies with the ability and commitment to grow dividends over time; quality-tilted large-cap portfolio.
PRDGX hunts the same prey as Vanguard's dividend-appreciation index — companies that reliably raise payouts — but with analysts making the calls instead of a screening rule. The result is a quality-heavy portfolio that has historically cushioned bear markets well and kept pace respectably in bull markets, one of the steadier records in active large-cap land.
Steadiness, however, is exactly what the index version sells for 0.08%. The 0.56% fee gap means PRDGX's managers must out-pick a dividend-growth screen by more than half a percent annually, forever, just to tie. Some years they have; over long stretches the race is close enough that the cheaper fund wins by default. If you want this style with active cover, it's among the more defensible choices — but 'more defensible than most active funds' is a low bar this site keeps having to mention.
Quality-and-dividends investors comparing against VDADX.
PRDGX alternatives & comparable funds
If you’re weighing PRDGX against the field, these are the funds most investors line it up against — same job, different provider, slightly different terms.
| Fund | Family | Expense Ratio | Minimum |
|---|---|---|---|
| PRDGX — T. Rowe Price Dividend Growth Fund | T. Rowe Price | 0.64% | $2,500 |
| VDADX — Vanguard Dividend Apprecia… | Vanguard | 0.08% | $3,000 |
| VHYAX — Vanguard High Dividend Yie… | Vanguard | 0.08% | $3,000 |
| JENSX — Jensen Quality Growth Fund (Class J) | Jensen | 0.81% | $2,500 |
Frequently asked questions
What is the expense ratio of PRDGX?
PRDGX (T. Rowe Price Dividend Growth Fund) has an expense ratio of 0.64%, which works out to roughly $64 per year for every $10,000 invested. That is high relative to index alternatives, and it compounds against you every year, so the fund needs to outperform just to break even versus a cheaper option.
What is the minimum investment for PRDGX?
PRDGX requires a minimum initial investment of $2,500.
What does PRDGX invest in?
Active investing in companies with the ability and commitment to grow dividends over time; quality-tilted large-cap portfolio. It falls in the large value category and is an actively managed fund.
What are good alternatives to PRDGX?
The funds most often compared with PRDGX are VDADX, VHYAX, JENSX — broadly similar exposure from different providers, with small differences in fee, minimum, and portability that usually come down to which brokerage holds your account.
Expense ratio and minimum for PRDGX drawn from T. Rowe Price fund documentation; last verified October 31, 2026. Figures change — confirm against the official prospectus before investing. This review is editorial opinion, not investment advice.