Asset Allocation

PORTFOLIO FOR EDUCATION TODAY*

This portfolio is designed for beneficiariesThe future student designated by an account holder to receive the benefit of an account. who are already enrolled or are about to enroll in school. Emphasizing a mix of high-quality fixed income Generally-conservative government and corporate-issued bonds and other fixed instruments that have been highly rated by credit ratings agencies and are expected to have a relatively low risk of encountering financial problems and are expected to make their interest or principal payments on schedule. investments, this portfolio also maintains an approximate 20% allocation to stock Shares 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. funds with a primary focus on domestic equity.Funds that invest in stocks of companies based in the United States. There is exposure to international 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. as well. The portfolio seeks to generate income—at a time when a beneficiary The future student designated by an account holder to receive the benefit of an account. may be taking distributions from an account for education expenses—while also aiming to provide portfolio growth that meets or exceeds tuition inflation. There is no guarantee the portfolio will provide adequate income, and you could experience losses near, at, or through enrollment.

PORTFOLIO 2021

This portfolio invests primarily in fixed income A 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. instruments with some exposure to stocks.Shares 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. For diversification and some 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." , the portfolio may also invest a small component in international equity markets. This mix of funds offers reduced exposure to equities Shares of a specific company that are available for public purchase. Equities are also referred to as stocks. while diversifying in fixed income A 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. markets to reduce the risk and 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. typically associated with equity markets.

PORTFOLIO 2024

This balanced portfolio invests in an approximately equal mix of 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. and 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. instruments. The portfolio invests in both domestic and international equity markets. This mix of funds offers reduced exposure to equities Shares of a specific company that are available for public purchase. Equities are also referred to as stocks. while diversifying in fixed income A 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. markets to reduce the risk and 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. typically associated with equity markets.

PORTFOLIO 2027

This balanced portfolio invests in both 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. and fixed income A 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. instruments, with a higher exposure to stocks.Shares 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 both domestic and international equity markets. This mix of funds offers reduced exposure to equities Shares of a specific company that are available for public purchase. Equities are also referred to as stocks. while diversifying in fixed income A 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. markets to reduce the risk and 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. typically associated with equity markets.

PORTFOLIO 2030

This equity portfolio seeks 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." by broadly investing in funds focused on domestic and international equity markets, with some exposure to fixed income.A 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. The 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.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."

PORTFOLIO 2033

This 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. equity portfolio seeks 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." by broadly investing in funds primarily focused on domestic equity Funds that invest in stocks of companies based in the United States. markets, with some exposure to international equity markets. The 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.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."

PORTFOLIO 2036

This 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. equity portfolio seeks 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." by broadly investing in funds primarily focused on domestic equity Funds that invest in stocks of companies based in the United States. markets, with some exposure to international equity markets. The 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.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."

PORTFOLIO 2039

This 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. equity portfolio will seek 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." by broadly investing in funds primarily focused on domestic equity Funds that invest in stocks of companies based in the United States. markets, with some exposure to international equity markets. The 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.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." Due to the long time horizon until expected enrollment, this portfolio will initially have the same allocations as Portfolio 2036, although its allocations will begin to shift and 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. three years later than Portfolio 2036.

TOTAL EQUITY MARKET INDEX PORTFOLIO

This portfolio invests exclusively in the T. Rowe Price Total Equity Market Index Fund.A type of mutual fund that is designed with the goal of replicating a particular hypothetical portfolio of stocks or bonds representing some defined area of the financial market. The Total Equity Market Index Fund A type of mutual fund that is designed with the goal of replicating a particular hypothetical portfolio of stocks or bonds representing some defined area of the financial market. is a passively managed An investment strategy that seeks to replicate a market index or benchmark without additional consideration of a portfolio manager. Index funds are examples of passive management. fund that seeks to closely track its benchmark, A specified comparison used to evaluate the investment return, risk, and asset allocation of a portfolio. the S&P An abbreviation for Standard & Poor’s®, a company that provides many financial market indexes. The most well-known is the S&P 500® Index, which tracks 500 of the largest publicly traded companies in the United States. Total Market Index. The fund is passively managedAn investment strategy that seeks to replicate a market index or benchmark without additional consideration of a portfolio manager. Index funds are examples of passive management. , so it generally does not reallocate its holdings based on changes in market conditions or outlook. As a result, its expenses are typically lower than the expenses of an actively managed fund. The fund seeks to match the performance of the entire U.S. stock Shares 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. market as represented by the S&P An abbreviation for Standard & Poor’s®, a company that provides many financial market indexes. The most well-known is the S&P 500® Index, which tracks 500 of the largest publicly traded companies in the United States. Total Market Index but does not attempt to fully replicate the index by holding each of those stocks.Shares 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. Index investing can provide a convenient and relatively low-cost way to approximate the performance of a particular market, but it may not offer the flexibility to shift assets toward 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. or sectors that are rising or away from 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. or sectors that are declining.

The S&P Total Market Index is a product of SPDJI and has been licensed for use by T. Rowe Price. Standard & Poor's® and S&P® are registered trademarks of Standard & Poor's Financial Services LLC ("S&P"); Dow Jones® is a registered trademark of Dow Jones Trademark Holdings LLC ("Dow Jones"); and these trademarks have been licensed for use by SPDJI and sublicensed for certain purposes by T. Rowe Price.

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. 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."

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 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. 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 portfolio is subject to interest rate risk, credit risk, asset allocationThe division of a portfolio among various asset classes including stocks, bonds, and money market investments. An investor can include multiple portfolios to produce a desired overall combination or consider one portfolio that combines various assets to achieve the desired outcome. risk, liquidity risk, international investing risk, emerging markets risk, and dividend-paying 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. risk. 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,Shares 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. 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,Shares 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. 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 securitiesA 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..

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.

UNIVERSITY OF ALASKA PORTFOLIO*

The University of Alaska Portfolio is a balanced portfolio with a mix of approximately 40% 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. funds and 60% 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. funds. Like all Alaska 529 portfolios, it is professionally managed by T. Rowe Price. This portfolio is an option if you seek a balanced, low-cost approach to investing.

The University of Alaska Portfolio offers the Alaska 529 tuition-value guarantee,** which allows you to purchase UA tuition credits now for future use. Your portfolio contributions are tracked and reported to you in both their monetary and corresponding UA tuition credit values. With this guarantee, you do not need to face the uncertainty of predicting future UA tuition, and it ensures that your child’s tuition costs will be covered regardless of future tuition increases. If your child attends a school other than UA , you can still take advantage of the full monetary value of your account.

Since the University of Alaska Portfolio locks in the current tuition value at the University of Alaska, it can be a good choice if you believe your child may attend UA. However, this investment option can be used to save for virtually any college in the country if you choose.