The Fund is a registered managed investment scheme governed by the Constitution. The Fund comprises assets which are acquired in accordance with the Fund’s investment strategy. Direct investors receive units in the Fund when they invest. In general, each unit represents an equal interest in the assets of the Fund subject to liabilities; however, it does not give investors an interest in any particular asset of the Fund.

Benefits of investing in the T. Rowe Price Australian Equity Fund

• An investment in the Fund provides diversified exposure to Australian equities and, more uniquely, to the investment expertise of T. Rowe Price's Australian equity investment team which comprises of senior investment professionals that have a long track record of investing in Australian equities.

• The extensive experience of the Australian Equity Investment Team is invaluable in its ability to gain insight into Australian equities and to consistently apply the strategy's investment philosophy and process. A strong collaborative culture allows the team to leverage the T. Rowe Price global research platform in order to gain unique insights when analyzing the offshore operations of Australian businesses, as well as, identifying global trends that could impact local Australian companies.
• The Australian Equity Investment Team has specialist knowledge in the areas where they conduct their research. The diversity of the team and their involvement in the industries they cover ensure they are experts in their respective sectors. Portfolios are constructed from the bottom-up, employing fundamental analysis to identify attractively priced companies with positive structural industry dynamics, strong competitive positions and which may sustainably grow at attractive rates of return. T. Rowe Price expects these businesses to compound value faster than the overall market and out-perform the market over time. T. Rowe Price believes bottom-up stock selection supported by proprietary, fundamental research is the key driver of value-added active management. T. Rowe Price's focus and commitment to fundamental research gives the firm an information edge that is a powerful competitive advantage.

The Fund may be suitable for long-term investors who wish to supplement existing holdings primarily in the Australian market and those seeking the potential for moderate capital appreciation over time and greater diversification for their equity investments and can accept the risks associated with investing in equity securities.

About the Fund

The Fund's investment objective is long-term capital appreciation through investment primarily in a portfolio of securities of Australian companies listed on the S&P/ASX200 Accumulation Index ("ASX200). The portfolio will include the securities of a broad range of companies across the market capitalisation. Additionally the portfolio may contain investments in the securities of companies outside of the ASX200 including certain New Zealand and ASX dual listed companies.

Investment style and approach

The Investment Manager seeks to maximise performance by:

• Employing fundamental analysis to identify companies with positive structural industry dynamics, strong competitive positions and which can sustainably grow at attractive rates of return.

• Focusing on franchise strength, management team quality, free cash flow, and financing/balance sheet structure.

• Verifying relative valuation appeal versus both local market and broad sector opportunity set.

• Applying negative screening for macroeconomic and political factors to temper bottom-up enthusiasm for specific securities.

How we invest your money

Asset allocation

The assets of the Fund will generally be invested in accordance with the following guidelines:

• Listed companies which are predominantly included in the ASX 200.

• Cash Reserves are typically less than 5% but will not exceed 10% of the Fund's total market value at the time of purchase.

Due to movements in the market or similar events, the guidelines set out above may not be adhered to from time to time. In these circumstances, the Investment Manager will seek to bring the Fund's investments within the guidelines within a reasonable period of time.