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Strategy

Investment Objective

To increase the value of its shares, over the long term, through growth in the value of its investments. The fund invests mainly in a widely diversified portfolio of stocks of natural resources or commodities-related companies. The companies may be anywhere in the world, including emerging markets.

Investment Approach

  • Focus on well-managed companies that own or develop natural resources and other basic commodities with attractive long-term supply-demand fundamentals.
  • Invest in companies that operate “downstream” from these resources, e.g., refining, paper manufacturing, steel fabrication, and petrochemicals.
  • The portfolio invests in resource companies on a global basis including — international energy, forest products, mining, and commodities.
  • Assessment of resource/commodity cycle, industry valuation, and company fundamentals is key.
  • Broadly diversify holdings to manage portfolio risk profile relative to highly concentrated energy or gold strategies.
  • Environmental, social and governance ("ESG") factors with particular focus on those considered most likely to have a material impact on the performance of the holdings or potential holdings in the funds’ portfolio are assessed. These ESG factors, which are incorporated into the investment process alongside financials, valuation, macro-economics and other factors, are components of the investment decision. Consequently, ESG factors are not the sole driver of an investment decision but are instead one of several important inputs considered during investment analysis.

Past performance is not a reliable indicator of future performance.

Annualised Performance

Current Year Performance

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30-Jun-2025 - Shinwoo Kim, Co-Portfolio Manager

Natural resources advanced in June. Oil prices rose as continued geopolitical tensions in the Middle East contributed to price movement, given Israeli strikes on Iranian nuclear sites and restrictions on export flow through the Strait of Hormuz, creating supply concerns. Ceasefire and peace talks eased worries, though. Within the portfolio, stock selection in diversified metals and mining added value. Copper and steel prices finished June higher as Chinese industrial demand accelerated. Our stock choices in construction materials boosted relative returns as prices rose due to tariff-driven input cost increases across the sector, supply chain challenges, and persistent demand. In coal and consumable fuels, an overweight allocation contributed. Uranium prices moved higher due to continued increased demand from artificial intelligence tailwinds. Conversely, stock selection in specialty chemicals detracted. Demand-related headwinds amid broad macroeconomic uncertainty, pulled down several of our holdings in the space during June. Stock selection and an underweight in OUS oil and gas exploration and production detracted as our holdings advanced but lagged the benchmark’s. Our focus in the industry remains in “quality beta”—low-cost operators with quality balance sheets.

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GIPS® Information

T. Rowe Price (“TRP”) claims compliance with the Global Investment Performance Standards (GIPS®).

A complete list and description of the Firm's composites and/or a presentation that adheres to the GIPS® standards are available upon request. Additional information regarding the firm's policies and procedures for calculating and reporting performance results is available upon request

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