Q (GBP) | T. Rowe Price

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 companies in Europe (excluding the UK).

Investment Approach

Fundamental research is critical to successfully identify and assess long-term investment opportunities. We look for companies with high returns on capital and capable of providing sustainable earnings across the market cycle.
Style agnostic, focus on quality. By avoiding style constraints, we can invest in quality companies and maintain a balanced portfolio through market cycles.
Disciplined approach to valuation. We aim to buy businesses at a clear discount to their intrinsic value.
Risk management is essential and is assisted by diversification, quantitative analysis, and automatic stabilizers built in to our investment process.

Portfolio Construction

Typically 40-70 stocks
Individual position size up to 4.0% relative to the indicative benchmark
Sector ranges: typically +/- 10% relative to the indicative benchmark
Country ranges: typically +/- 10% relative to the indicative benchmark
Expected Tracking Error: typically 3.0% to 6.0%
Information Ratio objective: >0.5
Cash target range: fully invested, typically less than 5.0%
Turnover range: 40%-100%

Performance (Class Q | GBP)

Annualised Performance

Calculated:

	1 YR	3 YR Annualised	5 YR Annualised	Since Inception Annualised
Fund %	12.92%	8.67%	11.81%	10.29%
Indicative Benchmark %	8.12%	5.21%	9.92%	8.03%
Excess Return %	4.80%	3.46%	1.89%	2.26%

	1 YR	3 YR Annualised	5 YR Annualised	Since Inception Annualised
Fund %	12.92%	8.67%	11.81%	10.29%
Indicative Benchmark %	8.12%	5.21%	9.92%	8.03%
Excess Return %	4.80%	3.46%	1.89%	2.26%

Recent Performance

	Month to DateData as of 20-Jan-2021	Quarter to DateData as of 20-Jan-2021	Year to DateData as of 20-Jan-2021	1 MonthData as of 31-Dec-2020	3 MonthsData as of 31-Dec-2020
Fund %	1.71%	1.71%	1.71%	2.43%	7.01%
Indicative Benchmark %	1.66%	1.66%	1.66%	2.19%	9.02%
Excess Return %	0.05%	0.05%	0.05%	0.24%	-2.01%

Past performance is not a reliable indicator of future performance. Source for fund performance: T. Rowe Price. Fund performance is calculated using the official NAV with dividends reinvested, if any. 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. It will be affected by changes in the exchange rate between the base currency of the fund and the subscription currency, if different. Sales charges (up to a maximum of 5% for the A Class), taxes and other locally applied costs have not been deducted and if applicable, they will reduce the performance figures.

Where the base currency of the fund differs from the share class currency, exchange rate movements may affect returns.

Index returns shown with reinvestment of dividends after the deduction of withholding taxes.

Effective 1 June 2019, the "net" version of the indicative benchmark replaced the "gross" version of the indicative benchmark. The "net" version of the indicative benchmark assumes the reinvestment of dividends after the deduction of withholding taxes applicable to the country where the dividend is paid; as such, the returns of the new benchmark are more representative of the returns experienced by investors in foreign issuers. Historical benchmark performance has been restated accordingly.

31-Dec-2020 - Tobias Mueller, Portfolio Manager ,

The FTSE All-World Developed Europe ex UK Index rose in December, lifted by the UK-European Union (EU) trade accord, the approval of a U.S. fiscal stimulus package and optimism surrounding coronavirus vaccinations. However, the emergence of a new variant of the virus raised the prospect of a slower economic recovery and curbed gains. At the portfolio level, stock picking in consumer discretionary, industrials and materials drove relative performance. Conversely, an underweight in information technology (IT) and negative stock selection in financials were modest drags. In consumer discretionary, luxury fashion company Prada rose strongly after ramping up marketing, which has helped generate strong brand momentum in the wake of new designer Raf Simons’ first joint Prada fashion show in September. On the negative side, Swedbank, a high-quality Swedish bank, underperformed after the European Central Bank injected more stimulus into the continental economy and extended its ultra-loose monetary policy. Earnings in the year ahead face headwinds from low interest rates and reduced demand for financial services due to the coronavirus.

Holdings

Total
Holdings

Largest Holding Roche Holding 4.00% Was (30-Sep-2020) 4.36%

Other View Full Holdings Quarterly data as of 31-Dec-2020

Top 10 Holdings 27.75% View Top 10 Holdings Monthly data as of 31-Dec-2020

Largest Top Contributor^

ASML Holding

By 1.44%

% of fund 3.77%

Largest Top Detractor^

Roche Holding

By -1.70%

% of fund 3.99%

Top Purchase

Topdanmark (N)

0.89%

Was (30-Sep-2020) 0%

Top Sale

SAP (E)

0.00%

Was (30-Sep-2020) 3.06%

30-Sep-2020 - Tobias Mueller, Portfolio Manager ,

New Manager Seeks Quality Names on Right Side of Change

Toby Mueller, the manager of the European Select Strategy, joined Dean Tenerelli as co-portfolio manager of the Europe Equity and Europe ex-UK Equity Strategies on July 1, 2020, and succeeded him as sole portfolio manager on October 1, 2020. Over the quarter, Mr. Mueller repositioned the strategy in line with his process and philosophy, namely seeking quality businesses that benefit from change where the team has an insight on the key drivers for the stock.

�

He added 23 new names and exited 18, which is a turnover of 44%. These changes have led to a modest increase in momentum and growth exposures.
Additions were made either to ensure the European Ex-Equity Strategy held the same Continental names as� the concentrated European Select Strategy (namely stocks that we believe are on the "right side of change" and in which we have an insight) and suitable alternatives for UK stocks or to broaden the risk profile of the strategy.
We sold those stocks that were not compliant with our focus, such as being unattractive from an environmental, social, and governance perspective, being on the wrong side of change, or where the thesis had played out and we lack an insight.
Considerable activity in some sectors resulted in little overall change in relative positioning. The number of trades in absolute terms better reflects the adjustments that have been made in certain sectors.
In absolute terms, industrial and business services, financials and health care saw the most trades, followed by consumer staples, utilities, consumer discretionary, and information technology (IT). Industrial and business services, health care, consumer discretionary, and materials remain the largest absolute sector positions.
In relative terms, consumer discretionary, industrials and business services and materials are the largest allocations; consumer staples, energy, and real estate are the smallest. We now have a greater exposure to the IT and health care sectors and a smaller one to industrials and business services and energy, an industry that we believe faces structural challenges over the medium term.

Industrials and Business Services

We pruned our exposure to industrials and business services, which is our largest absolute allocations, after adjusting the composition of our holdings. We also wanted to reduce the sector weighting because the rally in cyclical industrials lost steam and investors rotated into cyclical value names.

�

We added four stocks, including Siemens, a global industrial company operating in the power and gas, digital factory, and process industries and in renewables markets; Assa Abloy, a global leader in security lock products and solutions; and Knorr-Bremse, which develops, produces, markets, and services braking systems for rail and commercial vehicles. We exited three stocks: France-based Schneider Electric, a leading global specialist in energy management and automation; Germany-based GEA Group, which provides technology and components for the food processing industry worldwide; and Sandvik, a Swedish company that provides tools and solutions in the fields of mining, metal cutting, and advanced materials. �

�

Our largest industry exposures remain machinery, although we pared this overweight,�professional services, and building products. We are also overweight industrial conglomerates. We moved to an underweight in electrical equipment.

�

Siemens' organic growth, margins, and returns could well increase more than the market expects due to several underappreciated factors. The company could be a large beneficiary from the so-called fourth industrial revolution, or the use of modern smart technology to automate traditional manufacturing and industrial practice; productivity and cost-cutting efforts could also be faster than expected; and the stock could rerate as Siemens becomes a more focused industrial company and non-core businesses are sold.
We sold our holding in Germany-based GEA Group, which provides technology and components for the food processing industry worldwide, to recycle funds into better opportunities. Under the new chief executive officer, restructuring measures and cost-cutting to offset the impact of the coronavirus are helping the company to restore margins, but a transformation may take longer than expected in a de-globalizing world.

Financials

We adjusted our holdings in financials, moving from an underweight to a neutral allocation. We invested in five new names and sold our holdings in five, mainly banks and insurance stocks. We opened positions in Finnish holding company Sampo, which owns a non-life business, a domestic life insurer, and a stake in Nordea Bank; Sweden-based Swedbank, a leading high-quality retail bank; and Erste Group Bank, one of the largest lenders in Austria and central Europe. Our exits included Allianz, one of the largest global insurers and an asset manager; Nordea, the largest financial services provider in the Nordic region; and Bankinter, a Spain-based financial company primarily engaged in banking.

�

After these moves, we have a neutral weight in banks and insurance and a modest overweight in capital markets, where we increased our allocation.

�

We invested in Sampo because the non-life business is accelerating, driven by one of the most favorable market environments in over 20 years, and the return on equity in the insurance business is around 20%. We believe the management is increasingly likely to break up the company's existing structure by selling its stake in Nordea, which should help Sampo to rerate in line with its best-in-class peers.
We sold our holding in Allianz after it issued a profit warning for the first quarter and withdrew profit guidance for the year. We believe the impact of the coronavirus on the non-life business is unlikely to be contained in the first quarter and that the potential impact on earnings is being underestimated by the market.

Health Care

We rearranged our holdings in the health care sector, where we trimmeded our underweight exposure. We added four names, among them Alcon, a Switzerland-based manufacturer of eye care devices; Lonza Group, a Switzerland-based holding company and supplier to the pharmaceutical, health care, and life science industries; and Evotec, Europe's largest contract research organization that aims to be a one-stop outsourcing shop for all preclinical activities for the pharmaceutical industry. We eliminated two investments: Novo-Nordisk, a Danish pharmaceutical company that develops, manufactures, and distributes health care products, and Getinge, a Swedish medical technology company that provides surgical products and operating room supplies.

�

We raised our overweight in biotechnology, our largest allocation, and moved to an overweight in life sciences tools and services. We increased underweights in pharmaceuticals and health care equipment and supplies.

�

Alcon, a Switzerland-based manufacturer of eye care devices, has continued to invest through the period to be stronger on the other side of the crisis. We believe the business could rebound strongly next year as underlying conditions normalize and cataract operations return to their usual levels.
We exited Getinge because demand for ventilators fueled by the coronavirus pandemic had run its course, and the much larger part of the business is focused on activities such as elective procedures that are being curbed by the virus.

Consumer Discretionary

The consumer discretionary sector became our largest overweight allocation after we added two new names: Ferrari, a maker of high-performance supercars and a constructor team in F1 racing and Adidas, the world's second-biggest sportswear company. We sold Autoliv, a supplier of automotive safety systems.

�

We reduced our underweight in autos and moved to a neutral position in auto components. We also pared our underweight in textiles, apparel, and luxury goods. Our largest overweights are household durables and leisure products.

�

Ferrari makes high-performance supercars and participates as a constructor team in Formula One racing. Ferrari has a strong brand image as a unique maker of luxury autos with lucrative pricing power and a long waiting list among high-net-worth individuals. We believe earnings growth will be strong and sustainable over the medium term.
We exited Autoliv, taking advantage of the rebound in the share price since the March downturn to book profits and recycle them into higher-conviction names. In our view, the continuing coronavirus pandemic points to a slower economic recovery that is likely to dampen demand in the auto industry.�

Consumer Staples

We reduced our underweight allocation to the consumer staples sector, although it remains our biggest underweight exposure. We sought to diversify and reduce the size of our positions in the sector and sold the largest holding in the portfolio, Nestl�, which is the world's biggest processed food manufacturer. We initiated positions in Jeronimo Martins, a Portugal-based food retailer with operations in Poland and Colombia; Barry Callebaut, a large innovative manufacturer of chocolate and cocoa products, processing a quarter of the world's cacao beans; and Davide Campari-Milano, a family-owned Italy-based company that is the sixth-largest spirits producer globally.

Utilities

We pruned our underweight exposure to utilities. We started new investments in Iberdrola, a Spain-based integrated energy utility that operates in the renewables, electricity transmission, and distribution markets, and Terna Rete Elettrica Nazionale, an independent electricity grid operator. We sold Italgas, Italy's biggest gas distributor, and E.ON, a German energy company that operates in power generation, renewables, global commodities, and exploration and production.

�

Iberdrola is a Spain-based integrated energy utility operating in the renewables, electricity transmission, and distribution markets in the UK, the U.S., Spain, Portugal, and Latin America. Iberdrola is well run, has executed well, has a sizable renewables business, and is present in markets with rich growth opportunities. The company is at the forefront of Europe's transition to a greener economy emphasizing renewable energy, which should also drive long-term growth prospects.

Sectors

Total
Sectors

Largest Sector Industrials & Business Services 19.26% Was (30-Nov-2020) 18.99%

Other View complete Sector Diversification

Top Contributor^

Consumer Staples

Net Contribution 0.59%

Sector

0.60%

Selection -0.01%

Top Detractor^

Financials

Net Contribution -0.80%

Sector

0.13%

Selection

-0.93%

Largest Overweight

Consumer Discretionary

By4.75%

Fund 16.78%

Indicative Benchmark 12.03%

Largest Underweight

Consumer Staples

By-5.81%

Fund 4.94%

Indicative Benchmark 10.75%

31-Dec-2020 - Tobias Mueller, Portfolio Manager ,

There was little positioning activity in December because most of the intended changes to the portfolio have now been implemented in line with Tobias Mueller’s investment philosophy, namely seeking quality businesses that benefit from change where the team has an insight on the key drivers for the stock. We added to cyclical stocks in the industrials and consumer discretionary sectors that will likely benefit from an economic recovery. We also trimmed some of our holdings in the IT sector that performed strongly and we judge are looking expensive.

Countries

Total
Countries

Largest Country Switzerland 19.02% Was (30-Nov-2020) 19.28%

Other View complete Country Diversification

Top Contributor^

Switzerland

Net Contribution 0.86%

Country

0.07%

Selection 0.79%

Top Detractor^

France

Net Contribution -1.52%

Country

-0.38%

Selection

-1.14%

Largest Overweight

Italy

By6.51%

Fund 11.46%

Indicative Benchmark 4.96%

Largest Underweight

France

By-10.47%

Fund 11.57%

Indicative Benchmark 22.03%

30-Sep-2019 - Dean Tenerelli, Portfolio Manager ,

We deepened our underweight allocation in consumer staples, the largest in the portfolio, by selling Essity Aktiebolag, a global hygiene products company, taking profits after a strong run. In our view, the margin-improvement thesis has largely played out and is factored into the share price. Raw material prices have also started to decline, and the company could find it more challenging to maintain price increases. Consequently, the shares may struggle to rise much further. In contrast, we increased our overweight exposure to industrial and business services, health care and real estate.

Team (As of 15-Jan-2021)

Tobias Mueller, CFA
Portfolio Manager

Tobias Mueller is the portfolio manager for the European Select Strategy, effective October 2018. Previously, he covered the technology, medical technology and exchange sectors as a research analyst in the Equity Division. Mr. Mueller is a vice president of T. Rowe Price International Ltd.

Mr. Mueller has 13 years of investment experience, eight of which have been with T. Rowe Price. He completed an internship at the firm in 2010, and prior to joining T. Rowe Price in 2011, he worked at Lehman Brothers in the Principal Finance Group, London, where he focused on distressed fixed income assets.

Mr. Mueller has earned an M.B.A. from the University of Chicago Booth School of Business and is a graduate of business administration from the University of Applied Sciences in Munich, Germany. He also has earned the Chartered Financial Analyst designation.

Fund manager
since
2020
Years at
T. Rowe Price
9
Years investment
experience
14

Andrew Clifton
Portfolio Specialist

Andrew Clifton is a portfolio specialist in the Equity Division at T. Rowe Price. He is a vice president of T. Rowe Price Group, Inc., and T. Rowe Price International Ltd.

Mr. Clifton has over 30 years of investment experience, nine of which have been at T. Rowe Price. Prior to joining the firm in 2010, he was an executive director at UBS Global Asset Management. Prior to that, he was a vice president at Merrill Lynch.

Mr. Clifton earned a B.Sc. in economics from the London School of Economics and an M.Sc. in econometrics from the University of Southampton.

Years at
T. Rowe Price
10
Years investment
experience
31

Fee Schedule

Share Class	Minimum Initial Investment and Holding Amount (EUR)	Minimum Subsequent Investment (EUR)	Minimum Redemption Amount (EUR)	Sales Charge (up to)	Investment Management Fee (up to)	Ongoing Charges	UK Tax Reporting Status
Class I	€2,500,000	€100,000	€0	0.00%	65 basis points	0.75%	Yes
Class Q	€1,000	€100	€100	0.00%	65 basis points	0.82%	Yes

Please note that the Ongoing Charges figure is inclusive of the Investment Management Fee and is charged per annum.

T. Rowe Price Funds SICAV and its sub-funds are domiciled in Luxembourg and therefore considered offshore funds for UK tax purposes. Selected share classes of T. Rowe Price Funds SICAV have been designated “Reporting Funds” by HM Revenue & Customs (HMRC) under the guidelines of the UK Offshore Funds Regulation. These share classes report all relevant tax information to HMRC on an annual basis. Details on the information reported are outlined in the SICAV Shareholder Tax Reporting document that is available in the Fund Range Docs drop-down. Investors in “Reporting Fund” share classes who are considered United Kingdom residents for tax purposes will have any accrued gains treated as a capital gain rather than income upon sale or other disposal of their shares.

Portfolio Characteristics

as of 31-Dec-2020

Characteristic	Fund	Benchmark
Projected Earnings Growth Rate (IBES)	6.6%	5.6%
Price to Earnings (Current Fiscal Year)	25.7x	24.5x
Return on Equity (Current Fiscal Year)	12.4%	11.9%
Price to Book	3.5x	3.4x
Investment Weighted Median Market Cap (GBP mm)	17,184	35,702
Investment Weighted Average Market Cap (GBP mm)	40,343	63,583
Number of Issuers	60	428
Top 20 Holdings as % of Total	47.2%	32.0%
Portfolio Holdings Turnover (12 Months)	71.7%	N/A
Percent of Portfolio in Cash	0.8%	0.0%
Active Share Percentage	76.86%	N/A

Statistics are Investment Weighted Median unless otherwise noted.

These statistics are based on the portfolio's underlying holdings and are not a projection of future portfolio performance. Actual results may vary.

Risks

The following risks are materially relevant to the fund (refer to prospectus for further details):

Capital risk
Country risk (Russia and Ukraine)
Currency risk
Equity risk
Geographic concentration risk
Hedging risk
Investment fund risk
Management risk
Market risk
Operational risk
Small and mid-cap risk

Risk/Return Characteristics

as of 31-Dec-2020

Risk/Return (5 Years)	Fund	Indicative Benchmark
Alpha	1.80%	0.00%
Beta	0.98	1.00
R-Squared	0.97	1.00
Annualized Std. Deviation	13.04%	13.48%
Information Ratio	0.62	0.00
Sharpe Ratio	0.69	0.53
Tracking Error	3.04%	0.00%

Past performance is not a reliable indicator of future performance.

Statistics based on monthly net returns of the Fund's Class I shares.

Returns shown with reinvestment of dividends after the deduction of withholding taxes.

Calendar Year Performance

2013^	2014	2015	2016	2017	2018	2019	2020
13.60%	-0.09%	6.26%	14.76%	18.64%	-7.61%	23.01%	12.92%	Fund
7.53%	-0.80%	5.16%	18.53%	16.25%	-9.84%	19.46%	8.12%	Indicative Benchmark
6.07%	0.71%	1.10%	-3.77%	2.39%	2.23%	3.55%	4.80%	Value added

Fund
Indicative Benchmark

Purchases - 10 Largest (31-Dec-2020)

Quarterly as of:

Major Purchases	% of Fund	Previous Quarter Change	Industry	Country
Topdanmark (N)	0.89%	0.89%	Insurance	Denmark
Stora Enso	1.37%	0.80%	Paper & Forest Products	Finland
Siemens	2.75%	0.24%	Industrial Conglomerates	Germany
Julius Baer	2.08%	0.59%	Capital Markets	Switzerland
Erste Group Bank	1.73%	0.67%	Banks	Austria
RELX	1.75%	0.22%	Professional Services	United Kingdom
PRADA	2.25%	1.06%	Textiles, Apparel & Luxury Goods	Italy
Lonza Group	1.44%	0.04%	Life Sciences Tools & Services	Switzerland
Sampo	1.65%	0.04%	Insurance	Finland
Scout24 Holding	1.54%	-0.70%	Interactive Media & Services	Germany

(N) New Position.

30-Sep-2020 - Tobias Mueller, Portfolio Manager ,

He added 23 new names and exited 18, which is a turnover of 44%. These changes have led to a modest increase in momentum and growth exposures.
Additions were made either to ensure the European Ex-Equity Strategy held the same Continental names as� the concentrated European Select Strategy (namely stocks that we believe are on the "right side of change" and in which we have an insight) and suitable alternatives for UK stocks or to broaden the risk profile of the strategy.
We sold those stocks that were not compliant with our focus, such as being unattractive from an environmental, social, and governance perspective, being on the wrong side of change, or where the thesis had played out and we lack an insight.
Considerable activity in some sectors resulted in little overall change in relative positioning. The number of trades in absolute terms better reflects the adjustments that have been made in certain sectors.
In absolute terms, industrial and business services, financials and health care saw the most trades, followed by consumer staples, utilities, consumer discretionary, and information technology (IT). Industrial and business services, health care, consumer discretionary, and materials remain the largest absolute sector positions.
In relative terms, consumer discretionary, industrials and business services and materials are the largest allocations; consumer staples, energy, and real estate are the smallest. We now have a greater exposure to the IT and health care sectors and a smaller one to industrials and business services and energy, an industry that we believe faces structural challenges over the medium term.
Siemens' organic growth, margins, and returns could well increase more than the market expects due to several underappreciated factors. The company could be a large beneficiary from the so-called fourth industrial revolution, or the use of modern smart technology to automate traditional manufacturing and industrial practice; productivity and cost-cutting efforts could also be faster than expected; and the stock could rerate as Siemens becomes a more focused industrial company and non-core businesses are sold.
We sold our holding in Germany-based GEA Group, which provides technology and components for the food processing industry worldwide, to recycle funds into better opportunities. Under the new chief executive officer, restructuring measures and cost-cutting to offset the impact of the coronavirus are helping the company to restore margins, but a transformation may take longer than expected in a de-globalizing world.
We invested in Sampo because the non-life business is accelerating, driven by one of the most favorable market environments in over 20 years, and the return on equity in the insurance business is around 20%. We believe the management is increasingly likely to break up the company's existing structure by selling its stake in Nordea, which should help Sampo to rerate in line with its best-in-class peers.
We sold our holding in Allianz after it issued a profit warning for the first quarter and withdrew profit guidance for the year. We believe the impact of the coronavirus on the non-life business is unlikely to be contained in the first quarter and that the potential impact on earnings is being underestimated by the market.
Alcon, a Switzerland-based manufacturer of eye care devices, has continued to invest through the period to be stronger on the other side of the crisis. We believe the business could rebound strongly next year as underlying conditions normalize and cataract operations return to their usual levels.
We exited Getinge because demand for ventilators fueled by the coronavirus pandemic had run its course, and the much larger part of the business is focused on activities such as elective procedures that are being curbed by the virus.
Ferrari makes high-performance supercars and participates as a constructor team in Formula One racing. Ferrari has a strong brand image as a unique maker of luxury autos with lucrative pricing power and a long waiting list among high-net-worth individuals. We believe earnings growth will be strong and sustainable over the medium term.
We exited Autoliv, taking advantage of the rebound in the share price since the March downturn to book profits and recycle them into higher-conviction names. In our view, the continuing coronavirus pandemic points to a slower economic recovery that is likely to dampen demand in the auto industry.�
Iberdrola is a Spain-based integrated energy utility operating in the renewables, electricity transmission, and distribution markets in the UK, the U.S., Spain, Portugal, and Latin America. Iberdrola is well run, has executed well, has a sizable renewables business, and is present in markets with rich growth opportunities. The company is at the forefront of Europe's transition to a greener economy emphasizing renewable energy, which should also drive long-term growth prospects.

Sales - 10 Largest (31-Dec-2020)

Major Sales	% of Fund	Previous Quarter Change	Industry	Country
SAP (E)	0.00%	-3.06%	Software	Germany
Zalando	2.39%	-0.57%	Internet & Direct Marketing Retail	Germany
Scout24 Holding	1.54%	-0.70%	Interactive Media & Services	Germany
ASML Holding	3.65%	0.14%	Semiconductors & Semiconductor Equipment	Netherlands
Roche Holding	3.86%	-0.50%	Pharmaceuticals	Switzerland
Novartis	3.06%	-0.31%	Pharmaceuticals	Switzerland
Thule	1.78%	-0.33%	Leisure Products	Sweden
Grifols	1.07%	-0.50%	Biotechnology	Spain
Hera (E)	0.00%	-0.59%	Multi-Utilities	Italy
Siemens	2.75%	0.24%	Industrial Conglomerates	Germany

(E) Eliminated.

Major Purchases/Sales represent the highest to lowest total cost (purchases) and proceeds (sales) for the time period indicated.

The information shown does not reflect any ETFs that may be held in the portfolio.

Contributors (31-Dec-2020)

Quarterly as of:

Contributors	% of Fund	Industry	Country
ASML Holding	3.77%	Semiconductors & Semiconductor Equipment	Netherlands
PRADA	2.33%	Textiles, Apparel & Luxury Goods	Italy
Norma	1.70%	Machinery	Germany
Infineon Technologies	2.11%	Semiconductors & Semiconductor Equipment	Germany
Julius Baer	2.15%	Capital Markets	Switzerland

30-Sep-2020 - Tobias Mueller, Portfolio Manager ,

The portfolio outperformed the benchmark mainly due to stock selection. Group allocation was positive as well.
The main contributors to relative performance were stock selection and an overweight in consumer discretionary, stock picking in financials and our choice of securities in real estate. Conversely, information technology underperformed modestly due to an underweight for most of the quarter and stock selection, as did health care owing to stock picking.
Zalando's rebound from March lows continued during the quarter. Second-quarter results showed revenue and gross merchandise value grew strongly, helped by rising number of new customers and an accelerated shift to online shopping during the country lockdowns. The company said in a trading update that it expects "positive results" for the third quarter even as physical stores began to reopen.
Thule also rose to all-time highs. The coronavirus pandemic drove demand for the company's products as people favored staycation holidays and outdoor activities. Second-quarter sales and profit beat consensus estimates, reversing early declines after lockdown restrictions were eased and economies reopened.
Swedbank advanced strongly at the start of July ahead of results amid signs it was gaining market share in mortgages, a significant portion of the lending business. In the event, second-quarter results were stronger than expected, as income held up during the coronavirus crisis and asset management fees grew, with profit before impairments rising 9% on the year.
Scout24 Holding rose to a record level during the quarter after delivering solid second-quarter results that showed sales and earnings beating expectations. The results, in our view, were more resilient than those of its rivals. The company also reinstated its guidance for 2020. Traffic and time spent on the site increased after the company offered free private listings.

Detractors (31-Dec-2020)

Detractors	% of Fund	Industry	Country
SAP	0.00%	Software	Germany
Sanofi	2.29%	Pharmaceuticals	France
Scout24 Holding	1.60%	Interactive Media & Services	Germany
Koninklijke Vopak	1.08%	Oil, Gas & Consumable Fuels	Netherlands
Roche Holding	3.99%	Pharmaceuticals	Switzerland

The information shown does not reflect any ETFs that may be held in the portfolio.

N/A indicates Not Available.

Holdings (31-Dec-2020)

Quarterly as of:

Company	% of Fund	Previous Qtr Change	Value (EUR)	Shares	Sector	Industry	Country
Roche Holding	4.00%	-0.35	€5,309,313.60	18,590	Health Care	Pharmaceuticals	Switzerland
ASML Holding	3.78%	0.27	€5,016,683.45	12,619	Information Technology	Semiconductors & Semiconductor Equipment	Netherlands
Novartis	3.14%	-0.22	€4,169,035.09	54,423	Health Care	Pharmaceuticals	Switzerland
Siemens	2.84%	0.33	€3,761,289.13	32,198	Industrials & Business Services	Industrial Conglomerates	Germany
Zalando	2.46%	-0.50	€3,258,408.52	36,058	Consumer Discretionary	Internet & Direct Marketing Retail	Germany
Iberdrola	2.45%	0.01	€3,242,339.10	277,123	Utilities	Electric Utilities	Spain
PRADA	2.33%	1.14	€3,089,920.21	574,500	Consumer Discretionary	Textiles, Apparel & Luxury Goods	Italy
Sanofi	2.30%	-0.28	€3,049,231.50	38,745	Health Care	Pharmaceuticals	France
Zurich Insurance Group	2.24%	0.16	€2,976,326.23	8,655	Financials	Insurance	Switzerland
Ferrari	2.20%	0.18	€2,918,713.13	15,516	Consumer Discretionary	Automobiles	Italy
Julius Baer	2.16%	0.68	€2,866,443.50	60,524	Financials	Capital Markets	Switzerland
Amadeus IT	2.12%	0.24	€2,813,912.20	47,245	Information Technology	IT Services	Spain
Infineon Technologies	2.12%	0.33	€2,805,812.42	89,211	Information Technology	Semiconductors & Semiconductor Equipment	Germany
Alcon	1.99%	0.01	€2,639,375.32	48,992	Health Care	Health Care Equipment & Supplies	Switzerland
Cellnex Telecom	1.90%	-0.34	€2,519,806.88	51,299	Communication Services	Diversified Telecommunication Services	Spain
Adidas	1.89%	-0.18	€2,507,152.78	8,473	Consumer Discretionary	Textiles, Apparel & Luxury Goods	Germany
SEB	1.85%	-0.06	€2,458,351.00	16,499	Consumer Discretionary	Household Durables	France
Thule	1.84%	-0.27	€2,440,067.54	79,799	Consumer Discretionary	Leisure Products	Sweden
RELX	1.81%	0.29	€2,403,988.48	120,467	Industrials & Business Services	Professional Services	United Kingdom
Erste Group Bank	1.80%	0.74	€2,392,858.83	95,305	Financials	Banks	Austria
Air Liquide	1.77%	-0.22	€2,348,435.25	17,493	Materials	Chemicals	France
Koninklijke DSM	1.77%	-0.18	€2,345,587.20	16,659	Materials	Chemicals	Netherlands
Teleperformance	1.73%	0.12	€2,298,182.30	8,471	Industrials & Business Services	Professional Services	France
Sampo	1.71%	0.10	€2,270,887.40	65,789	Financials	Insurance	Finland
Barry Callebaut	1.71%	-0.14	€2,262,594.67	1,168	Consumer Staples	Food Products	Switzerland
Norma	1.69%	0.51	€2,247,247.97	54,045	Industrials & Business Services	Machinery	Germany
Davide Campari-Milano	1.66%	-0.26	€2,198,682.23	236,114	Consumer Staples	Beverages	Italy
Assa Abloy	1.65%	-0.01	€2,183,622.33	109,158	Industrials & Business Services	Building Products	Sweden
Bawag	1.61%	0.16	€2,129,829.27	56,878	Financials	Banks	Austria
Corbion	1.61%	-0.04	€2,129,037.95	46,133	Materials	Chemicals	Netherlands
Scout24 Holding	1.59%	-0.65	€2,114,079.55	31,666	Communication Services	Interactive Media & Services	Germany
Swedbank	1.59%	0.05	€2,107,504.82	147,553	Financials	Banks	Sweden
Jeronimo Martins	1.58%	-0.09	€2,090,703.42	151,281	Consumer Staples	Food & Staples Retailing	Portugal
Lonza Group	1.49%	0.09	€1,974,363.18	3,774	Health Care	Life Sciences Tools & Services	Switzerland
EssilorLuxottica	1.42%	0.00	€1,884,678.80	14,776	Consumer Discretionary	Textiles, Apparel & Luxury Goods	France
Stora Enso	1.42%	0.84	€1,878,859.50	120,299	Materials	Paper & Forest Products	Finland
Munich Re	1.41%	-0.00	€1,866,375.61	7,742	Financials	Insurance	Germany
Epiroc	1.32%	0.10	€1,750,874.20	117,852	Industrials & Business Services	Machinery	Sweden
Terna Rete Elettrica Nazionale	1.31%	0.61	€1,739,992.83	278,936	Utilities	Electric Utilities	Italy
Flughafen Zurich	1.30%	0.14	€1,717,723.65	11,945	Industrials & Business Services	Transportation Infrastructure	Switzerland
Verallia SASU	1.29%	0.19	€1,713,543.30	58,986	Materials	Containers & Packaging	France
Knorr-Bremse	1.22%	-0.15	€1,612,642.75	14,466	Industrials & Business Services	Machinery	Germany
FinecoBank Banca Fineco	1.21%	0.03	€1,607,776.89	120,725	Financials	Banks	Italy
Husqvarna	1.21%	-0.19	€1,606,848.84	152,065	Consumer Discretionary	Household Durables	Sweden
Valmet	1.20%	0.21	€1,587,862.98	68,076	Industrials & Business Services	Machinery	Finland
Thales	1.20%	0.06	€1,585,108.70	21,163	Industrials & Business Services	Aerospace & Defense	France
Rockwool International	1.19%	-0.24	€1,582,248.85	5,240	Industrials & Business Services	Building Products	Denmark
Prysmian	1.17%	0.06	€1,557,567.75	53,798	Industrials & Business Services	Electrical Equipment	Italy
Acerinox	1.16%	0.17	€1,536,611.13	170,092	Materials	Metals & Mining	Spain
Grifols	1.11%	-0.46	€1,476,500.40	61,830	Health Care	Biotechnology	Spain
Koninklijke Vopak	1.08%	-0.26	€1,435,522.08	33,392	Energy	Oil, Gas & Consumable Fuels	Netherlands
Partners Group Holding	0.99%	0.10	€1,306,340.22	1,363	Financials	Capital Markets	Switzerland
Kion	0.94%	-0.25	€1,248,517.80	17,656	Industrials & Business Services	Machinery	Germany
Topdanmark	0.92%	N/A	€1,220,271.03	34,547	Financials	Insurance	Denmark
Deutsche Boerse	0.91%	-0.19	€1,201,567.02	8,702	Financials	Capital Markets	Germany
Evotec	0.89%	0.15	€1,176,350.62	39,075	Health Care	Life Sciences Tools & Services	Germany
Aedas Homes SAU	0.80%	0.05	€1,057,532.00	50,120	Real Estate	Real Estate Management & Development	Spain
Brembo	0.79%	0.09	€1,051,683.61	97,995	Consumer Discretionary	Auto Components	Italy
de Longhi	0.78%	-0.20	€1,037,020.07	40,356	Consumer Discretionary	Household Durables	Italy
Morphosys	0.52%	0.07	€694,867.08	7,472	Health Care	Biotechnology	Germany

N/A indicates Not Available.

Numbers may not add due to rounding and/or the exclusion of reserves and other assets.

Sector Diversification (31-Dec-2020)

Monthly as of:

Sector Diversification	% of Fund	% of Indicative Benchmark
Consumer Discretionary	16.78%	12.03%
Industrials & Business Services	19.26%	16.26%
Materials	9.01%	6.95%
Financials	16.55%	15.27%
Health Care	15.45%	14.96%
Communication Services	3.49%	3.85%
Real Estate	0.80%	1.88%
Information Technology	8.02%	9.67%
Utilities	3.76%	5.42%
Energy	1.08%	2.96%
Consumer Staples	4.94%	10.75%

Numbers may not add due to rounding and/or the exclusion of reserves and other assets.

T. Rowe Price uses the MSCI/S&P Global Industry Classification Standard (GICS) for sector and industry reporting. T. Rowe Price will adhere to all updates to GICS for prospective reporting.

Sector Attribution - Top and Bottom Five by Total Value Added (31-Dec-2020)

Representative Portfolio vs Benchmark
Data as of:

Sector	Total Value Added %	Value from SectorWeight %	Value from Stock Selection %
Consumer Staples	0.59%	0.60%	-0.01%
Information Technology	0.44%	-0.09%	0.52%
Health Care	0.27%	-0.07%	0.34%
Materials	0.25%	-0.02%	0.26%
Real Estate	0.01%	-0.01%	0.02%
Utilities	-0.17%	-0.02%	-0.15%
Industrials & Business Services	-0.23%	0.05%	-0.27%
Communication Services	-0.52%	0.00%	-0.52%
Energy	-0.63%	-0.19%	-0.44%
Financials	-0.80%	0.13%	-0.93%
Total	-1.15%	0.61%	-1.76%

Numbers may not add to 100% due to rounding; all numbers are percentages.

Analysis represents the total performance of the portfolio as calculated by the FactSet attribution model and is inclusive of other assets that that will not receive a classification assignment in the detailed structure shown. Returns will not match official T. Rowe Price performance because FactSet uses different exchange rate sources and does not capture intra-day trading. Performance for each security is obtained in the local currency and, if necessary, is converted using an exchange rate determined by an independent third party. Figures are shown with gross dividends reinvested.

Sources: Financial data and analytics provider FactSet. Copyright 2019 FactSet. All Rights Reserved. MSCI/S&P GICS Sectors; Analysis by T. Rowe Price Associates, Inc. T. Rowe Price uses the current MSCI/S&P Global Industry Classification Standard (GICS) for sector and industry reporting. T. Rowe Price will adhere to all updates to GICS for prospective reporting.

Figures are shown gross of fees. Returns would be lower as a result of the deduction of such fees.

30-Sep-2020 - Tobias Mueller, Portfolio Manager ,