Equity Portfolio

Emphasizing long-term capital appreciation, An increase in the value of an investment such as a stock, bond, or mutual fund. This increase might also be referred to as "earnings." this all-equity portfolio invests in a broad range of funds focused on domestic equity Funds that invest in stocks of companies based in the United States. markets, with some exposure to international equity markets. It is designed for account holders who want a broadly diversified portfolio of primarily actively managed mutual funds A company that combines the money of many investors into a professionally managed portfolio of stocks, bonds, and/or other securities. Each investor shares in the gain or loss of earnings in the mutual fund. that does not become more conservative An investment portfolio that attempts to preserve its capital by holding securities with a relatively lower degree of risk. This strategy often involves allocating most holdings to bonds and/or money market investments. over time. Because this portfolio invests in many underlying funds, it will have partial exposure to the risks of different areas of the market. This strategy is based on the understanding that the volatility The range of price changes in a security within a given period of time. Volatility is often used to describe a level of risk of an investment. In most cases, the higher the volatility, the riskier the investment. associated with equity markets can be accompanied by the greatest potential for long-term capital appreciation.

Total Equity Market Index Portfolio

The Total Equity Market Index Portfolio seeks to approximate the performance of a benchmarkA specified comparison used to evaluate the investment return, risk, and asset allocation of a portfolio. index that measures the investment return of U.S. stocksShares of ownership or equity in a company that are bought and sold in a market such as a stock exchange. Stock prices can change every time any investor buys or sells shares of the stock and may reflect the state of the company as well as the economic environment.. The portfolio invests in the Small-Cap Index Fund—I Class, Mid-Cap Index Fund—I Class, and Equity Index 500 Fund—I Class. Index investing can provide a convenient and relatively low-cost way to approximate the performance of a particular market.

Global Impact Equity Portfolio

This portfolio invests exclusively in the T. Rowe Price Global Impact Equity Fund. The Global Impact Equity Fund seeks long-term growth of capital.

In pursuing its investment objective, the fund seeks to generate a positive, measurable environmental and/or social impactHave a positive impact on the global environment and/or social equity issues. with the potential to outperform its benchmarkA specified comparison used to evaluate the investment return, risk, and asset allocation of a portfolio. index. The fund selects companies for its portfolio using the fund manager’s in-house proprietary screening process. This screening process relies on the fund’s manager’s independent analysis of each issuer. The fund seeks to select companies for its portfolio that are, in the opinion of the fund’s manager, capable of achieving and sustaining above-average, long-term earnings and cash flow growthAn increase in the inflow of cash from a company’s business operations., and that are capable of generating a positive impact under one of the following three impact pillars: climate and resource impact, social equity and quality of life, and/or sustainable innovation and productivity.

The materiality of positive impact is assessed according to specific, in-house metrics for every business activity that aligns to one of the three impact pillars. Companies must meet one of the following four criteria: (1) a majority of current or future profits tied to at least one impact pillar; (2) a majority of expected revenues or profits in 10-years tied to at least one impact pillar, as projected by the fund’s portfolio manager; (3) best-in-class companies where a company is a leader in generating material social or environmental impact in its respective business activity or sector; and (4) occasionally, unique impact situations where a company has made or is expected to make a material social or environmental impact outside the scope of its otherwise normal business activities.

Under normal conditions, at least 80% of the fund’s net assets (including any borrowings for investment purposes) will be invested in equityShares of a specific company that are available for public purchase. Equities are also referred to as stocks. securities and at least 40% of the fund’s net assets will be invested in companies outside the U.S. (at least 30% if foreign market conditions are not favorable). Equity securities may include common stocksShares of ownership or equity in a company that are bought and sold in a market such as a stock exchange. Stock prices can change every time any investor buys or sells shares of the stock and may reflect the state of the company as well as the economic environment., preferred stocks, or convertible securities. In addition, for purposes of these policies, the fund’s investments include instruments that are linked to, or provide exposure to, equities or companies outside of the U.S., such as depositary receiptsA certificate issued in the United States but represents shares of foreign companies.. The fund may invest in issuers of any market capitalizationA way to categorize companies as being large, mid-sized or small based on their overall market values. and in securities offerings that are not registered in the U.S. or denominated in the U.S. dollar. The fund may invest in issuers in emerging markets.

Fixed Income Portfolio

This portfolio's primary objective is to seek a high level of current income with moderate price fluctuations by investing exclusively in the T. Rowe Price Spectrum Income Fund, which invests in a diversified group of other T. Rowe Price mutual fundsA company that combines the money of many investors into a professionally managed portfolio of stocks, bonds, and/or other securities. Each investor shares in the gain or loss of earnings in the mutual fund. *. The fund, which invests in a variety of domestic and international bondAn investment in which an investor loans money to an entity such as a corporation or government. The entity borrows the funds for a defined period of time and repays the loaned amount along with the predetermined interest. funds, a money market fund, A mutual fund that invests in highly liquid, short-term instruments such as U.S. Treasuries. and an income-oriented stockShares of ownership or equity in a company that are bought and sold in a market such as a stock exchange. Stock prices can change every time any investor buys or sells shares of the stock and may reflect the state of the company as well as the economic environment. fund, seeks to maintain broad exposure to several markets in an attempt to reduce the impact of declining markets and to benefit from good performance in particular market segments over time. The strategy is based on a lower-risk investment approach that seeks to conserve principal and generate a reasonable level of return while minimizing the risks associated with equity markets.

Balanced Portfolio

This moderately aggressive An investment portfolio that attempts to increase returns by holding securities with a relatively higher degree of risk. This strategy often involves allocating most holdings to stocks. portfolio focuses on a mix of approximately 60% of its holdings invested in stocksShares of ownership or equity in a company that are bought and sold in a market such as a stock exchange. Stock prices can change every time any investor buys or sells shares of the stock and may reflect the state of the company as well as the economic environment., including some exposure to international stocks, while seeking diversification through approximately 40% of its holdings allocated to fixed incomeA type of investment where the borrower or issuer is obliged to make payments with interest at a fixed rate on a fixed schedule. Bonds are considered to be fixed income securities.. This strategy is based on accepting the risks associated with stocks, which have the potential to provide high returns, and seeking to balance the effects of volatility The range of price changes in a security within a given period of time. Volatility is often used to describe a level of risk of an investment. In most cases, the higher the volatility, the riskier the investment. through diversification in fixed income securities*.

Money Market Portfolio

This portfolio invests exclusively in the T. Rowe Price U.S. Treasury Money Fund, which is a money market fundA mutual fund that invests in highly liquid, short-term instruments such as U.S. Treasuries. managed to provide a stable share price of $1.00 by investing in short-term, high-quality securities backed by the U.S. government and repurchase agreements thereon. This portfolio is designed for account holders who are conservative An investment portfolio that attempts to preserve its capital by holding securities with a relatively lower degree of risk. This strategy often involves allocating most holdings to bonds and/or money market investments. investors or have a beneficiary The future student designated by an account holder to receive the benefit of an account. nearing enrollment.

You could lose money by investing in this portfolio. Although the money market fund in which this portfolio invests seeks to preserve its value at $1.00 per share, the underlying money market fund cannot guarantee that it will do so. An investment in this portfolio is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The underlying money market fund's sponsor has no legal obligation to provide financial support to the underlying fund, and you should not expect that the sponsor will provide financial support to the underlying money market fund at any time.