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November 2020 / PODCAST

Opportunity in an era of extremes

David Eiswert discusses the key issues for global equity investors, including the US election and vaccine developments

Recorded: 23 November 2020
Duration: 32m 09s

This podcast features Global Focused Growth Equity Strategy Portfolio Manager, David Eiswert, and Portfolio Specialist, Laurence Taylor.

In this episode, Dave offers his latest take on the current market environment for global equity investors, the key issues on his mind and how he’s responding, including:

  • His reaction to the US election, vaccine developments and what these changes mean for stocks
  • The opportunity for cyclicals set against an outlook of improvement
  • How the team is sifting rhetoric from reality in a world where digital transformation has accelerated
  • The difficult choices he’s making as we look out to 2021


Risks – the following risks are materially relevant to the portfolio:

  • Currency risk – changes in currency exchange rates could reduce investment gains or increase investment losses.
  • Emerging markets risk – emerging markets are less established than developed markets and therefore involve higher risks.
  • Small and mid-cap risk – stocks of small and mid-size companies can be more volatile than stocks of larger companies.
  • Style risk – different investment styles typically go in and out of favour depending on market conditions and investor sentiment.

General Portfolio Risks

  • Capital risk – the value of your investment will vary and is not guaranteed. It will be affected by changes in the exchange rate between the base currency of the portfolio and the currency in which you subscribed, if different.
  • Equity risk – in general, equities involve higher risks than bonds or money market instruments.
  • Geographic concentration risk – to the extent that a portfolio invests a large portion of its assets in a particular geographic area, its performance will be more strongly affected by events within that area.
  • Hedging risk – a portfolio's attempts to reduce or eliminate certain risks through hedging may not work as intended.
  • Investment portfolio risk – investing in portfolios involves certain risks an investor would not face if investing in markets directly.
  • Management risk – the investment manager or its designees may at times find their obligations to a portfolio to be in conflict with their obligations to other investment portfolios they manage (although in such cases, all portfolios will be dealt with equitably).
  • Operational risk – operational failures could lead to disruptions of portfolio operations or financial losses.


This material is being furnished for general informational and/or marketing purposes only. The material does not constitute or undertake to give advice of any nature, including fiduciary investment advice, nor is it intended to serve as the primary basis for an investment decision. Prospective investors are recommended to seek independent legal, financial and tax advice before making any investment decision. T. Rowe Price group of companies including T. Rowe Price Associates, Inc. and/or its affiliates receive revenue from T. Rowe Price investment products and services. Past performance is not a reliable indicator of future performance. The value of an investment and any income from it can go down as well as up. Investors may get back less than the amount invested.

The material does not constitute a distribution, an offer, an invitation, a personal or general recommendation or solicitation to sell or buy any securities in any jurisdiction or to conduct any particular investment activity. The material has not been reviewed by any regulatory authority in any jurisdiction.

Information and opinions presented have been obtained or derived from sources believed to be reliable and current; however, we cannot guarantee the sources’ accuracy or completeness. There is no guarantee that any forecasts made will come to pass. The views contained herein are as of the date written and are subject to change without notice; these views may differ from those of other T. Rowe Price group companies and/or associates. Under no circumstances should the material, in whole or in part, be copied or redistributed without consent from T. Rowe Price.

The material is not intended for use by persons in jurisdictions which prohibit or restrict the distribution of the material and in certain countries the material is provided upon specific request. It is not intended for distribution to retail investors in any jurisdiction.

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November 2020 / MARKETS & ECONOMY

Why the Future Now Looks Brighter for Value Investing
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December 2020 / MARKETS & ECONOMY

Market Optimism May Be Justified—But I Urge Caution