• Employ a conservative, value-oriented investment approach and typically invest in high quality, dividend-paying companies with strong brands, franchises, or assets we think are undervalued. 
• To identify these companies, we let valuation be our guide and utilize a variety of different metrics and proprietary screens to assess valuation appeal.
• Leverage our global research platform to assist in uncovering companies with strong reward-to-risk characteristics. 
• Maintain a long-term orientation to allow for full exploitation of valuation anomalies.
• Construct a diversified portfolio to help manage our risk profile.

• We employ fundamental research and active, bottom-up stock selection to construct a portfolio of higher-quality companies, with a focus on stocks that generate above-average income. We favor names featuring compelling valuations, attractive long-term fundamentals, and strong dividend yields.
• The portfolio of 30 to 40 stocks represents high-conviction ideas within the U.S. large-cap value universe—with opportunistic exposure to non-U.S. stocks—while also managing risk through diversification and rigorous fundamental research at the individual company level.
• Stocks are selected by an experienced portfolio manager with a long history of managing large-cap value equities. Our patient, long-term approach seeks to minimize portfolio turnover.
• Outperformance will be sought primarily through effective security selection over a full market cycle of three to five years.

Established and Consistent Investment Philosophy

We have adhered to our investment philosophy and process since we began investing in large-cap value companies in 1985. We have successfully implemented this approach through diverse market conditions.

Tenured Portfolio Management

John Linehan, CFA, is an experienced portfolio manager with a solid track record of managing large-cap value portfolios. He is also chief investment officer of equity for T. Rowe Price. Mr. Linehan has been with the firm since 1998 and has been a large-cap value portfolio manager since 2000. His tenure and leadership promote consistency in investment style and performance.

Global Research Resources

T. Rowe Price has one of the industry’s strongest commitments to in-house research. We aim to bring our clients better insights, which can lead to stronger long-term investment results. In our view, the quality and breadth of our research efforts provide a critical information edge that supports well-informed investment choices. We have more than 260 equity research professionals in six different countries around the world, providing a unique level of insight and giving us the ability to “connect the dots globally” on many of our investment theses. 

All investments are subject to risks, including the possible loss of principal. There is no assurance that the investment process will capture quality companies with attractive and sustainable dividend yields. Dividend-paying stocks may lag shares of smaller, faster-growing companies. Dividends are not guaranteed and are subject to change. Diversification cannot assure a profit or protect against loss in a declining market. 

We would be pleased to discuss our solutions, products, and capabilities with you. Call 1-877-561-7670 to learn more about SMAs and model portfolios, and more specifically, about which T. Rowe Price SMAs may be suitable for your clients.