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GIPS® Information

T. Rowe Price ("TRP") claims compliance with the Global Investment Performance Standards (GIPS®) and has prepared and presented this report in compliance with the GIPS standards. T. Rowe Price has been independently verified for the twenty four-year period ended June 30, 2020, by KPMG LLP. The verification report is available upon request. A firm that claims compliance with the GIPS standards must establish policies and procedures for complying with all the applicable requirements of the GIPS standards. Verification provides assurance on whether the firm’s policies and procedures related to composite and pooled fund maintenance, as well as the calculation, presentation, and distribution of performance, have been designed in compliance with the GIPS standards and have been implemented on a firm-wide basis. Verification does not provide assurance on the accuracy of any specific performance report.

TRP is a U.S. investment management firm with various investment advisers registered with the U.S. Securities and Exchange Commission, the U.K. Financial Conduct Authority, and other regulatory bodies in various countries and holds itself out as such to potential clients for GIPS purposes. TRP further defines itself under GIPS as a discretionary investment manager providing services primarily to institutional clients with regard to various mandates, which include U.S, international, and global strategies but excluding the services of the Private Asset Management group.

A complete list and description of all 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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Global Natural Resources Equity Fund

Seeking to identify long-term global winners in the arena of natural resources extraction and production.

ISIN LU1382644919 Bloomberg TRPGNQR:LX

3YR Return Annualised
(View Total Returns)

Total Assets


1YR Return
(View Total Returns)

Manager Tenure


Inception Date 18-Mar-2016

Performance figures calculated in GBP

31-Jan-2020 - Shawn T. Driscoll, Portfolio Manager ,
We believe the global commodities market is in middle of a long-term, secular downcycle. Although countercyclical rallies in oil prices can occur, we believe any periods of outperformance will likely be brief, due to a declining cost curve and the disruptive effects of short-cycle shale production. Nevertheless, we continue to find pockets of opportunity in several areas of the market.
Shinwoo Kim
Shinwoo Kim, Portfolio Manager

Shinwoo Kim is the portfolio manager for the Global Natural Resources Equity Strategy, including the New Era Fund. He is the president and chairman of the fund’s Investment Advisory Committee. In addition, Shinwoo is a member of the Investment Advisory Committees of the US Large-Cap Value Equity and US Large-Cap Equity Income Strategies. He is a vice president of T. Rowe Price Group, Inc., and T. Rowe Price Associates, Inc.

Click for Manager Outlook


Manager's Outlook

A massive productivity wave in U.S. shale, which collapsed cost curves, began in 2011 and prompted a secular bear market in oil that has since extended to other commodities. Commodity cycles tend to last 15 to 20 years on average, and we continue to believe that there is more room for productivity to improve and for the bear market to persist. The secular dynamic of productivity-driven oil price deflation was exacerbated in early 2020 by dual demand and supply shocks hitting the market, creating unprecedented pressure on market balance and ultimately driving West Texas Intermediate (WTI) prices briefly negative in a clear signal that oil production needed to be swiftly and meaningfully curtailed.

The global spread of the coronavirus effectively shut down many large economies around the world and sent oil demand negative for the first time since the 2008 global financial crisis. This negative demand shock far exceeded any weakness previously seen in oil, but it does not take long to rebalance the market. Historical data show that oil prices overshoot to the downside after demand shocks as supply curtailments initially lag falling demand; conversely, supply lags in response to demand recovery, allowing oil prices to overshoot to the upside before normalizing. We are seeing that play out now as oil spot prices overshoot the incentive curve. Predicting the magnitude and duration of this overshoot is complicated by multiple exogenous factors such as weather, geopolitics, and the lingering pandemic impact on supply against low gas and coal inventories in Europe and Asia heading into winter. Nevertheless, we continue to expect a normalization of prices as some of these exogenous factors reverse and productivity continues to improve, thus requiring increasingly less capital to meet demand over time. We have maintained our disciplined approach and will follow what the data tell us. We remain focused where we have an investment edge; specifically in the multi-year structural commodity call.

We remain committed to our data-driven, bottom-up stock selection process and our philosophy of buying and holding a diverse selection of fundamentally sound natural resources companies with solid balance sheets and talented management. Our expansive global research platform continues to assist in identifying those companies that can provide long-term capital appreciation for our clients, and we believe the market will reward our disciplined and consistent approach to investing over the long term.

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.

Portfolio Construction

  • Typically 90-120 securities
  • Positions typically range to 5%
  • Reserves typically range from 0% to 5%

Recent Performance

  Month to DateData as of 03-Dec-2021 Quarter to DateData as of 03-Dec-2021 Year to DateData as of 03-Dec-2021 1 MonthData as of 31-Oct-2021 3 MonthsData as of 31-Oct-2021
Fund % 0.87% 5.44% 23.53% 4.95% 8.20%
Indicative Benchmark % 0.74% 3.44% 30.46% 4.93% 11.23%
Excess Return % 0.13% 2.00% -6.93% 0.02% -3.03%

Inception Date 18-Mar-2016

Indicative Benchmark: MSCI World Select Natural Resources Index Net

Indicative Benchmark: MSCI World Select Natural Resources Index Net

Performance figures calculated in GBP


Largest Sector Chemicals 16.86% Was (30-Sep-2021) 17.18%
Other View complete Sector Diversification

Monthly Data as of 31-Oct-2021

Indicative Benchmark: Lipper Global Natural Resources Funds Index

Largest Overweight

Fund 16.86%
Indicative Benchmark 5.18%

Largest Underweight

Metals & Mining
Fund 10.75%
Indicative Benchmark 22.14%

Monthly Data as of 31-Oct-2021

31-Oct-2021 - Shinwoo Kim, Portfolio Manager ,
We follow what the data tell us and remain focused where we believe we have an investment edge—specifically in the multiyear structural commodity call. The oil cost curve is influential in the cost curve of many other commodities. Therefore, in addition to our underweight energy allocation, we are also underweight metals and mining. We favour defensive industries, such as electric utilities, and beneficiaries of commodity deflation, including utilities, packaging, and specialty chemicals. We also see meaningful opportunities in the paper and forest products industry, which we believe could benefit from a steepening cost curve and a favourable environmental, social, and governance profile.


Largest Country United States 500 Internal Server Error

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