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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 diversified portfolio of stocks of European companies.

Investment Approach

  • Fundamental research is critical to successfully identify and assess long-term investment opportunities. The portfolio benefits from our considerable equity research resources with over 20 European analysts seeking insights into the industries and companies that they cover.
  • We look to discover quality businesses that will benefit from change, either as a result of being on what we believe to be the “right side” of change, or from idiosyncratic change, and where we have an insight on key long-term drivers for the stock.
  • Valuation needs to present an attractive risk/reward profile, and we follow this overall approach across the market cycle and across style and market cap boundaries.
  • ESG considerations are embedded across our investment process, particularly as they can be a key indicator of the durability of a business and a source of change across many industries.
  • Risk management is integral to the portfolio construction process, and the portfolio benefits from close collaboration with our Risk, Quantitative and ESG teams as well as other investment personnel.
  • 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-Apr-2025 - Sebastian Schrott, Portfolio Manager

European shares fell for a second consecutive month in April in extremely volatile trade amid fears that new U.S. trade tariffs might trigger a recession. At the portfolio level, our choice of securities in industrials and business services and communication services were the main detractors from relative performance, as was an overweight exposure to energy. Stock picking in consumer discretionary and an underweight position in utilities also had a negative impact. Our holding in a giant industrial company fell sharply at the beginning of the month amid concerns that U.S. tariffs, trade conflicts and a potential economic slowdown would impact its interlinked supply chains that span the globe. Conversely, securities selection in health care and materials and an above-benchmark position in real estate were supportive. In health care, our investment in a bioprocessing business outperformed, rising on first-quarter revenue and profit growth that came in ahead of expectations. The results signalled that industry growth may be returning to the long-term trend.

Discrete Rolling Performance

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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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