“They are on the hook,” Jenneke affirmed. “Roughly half of their compensation is based on the performance of the stocks they rate.”

The other determinants were their stock ideas and how effectively they communicate them.   Until the Australian base begins operating, T. Rowe Price will continue to research Australian stocks from Baltimore, London, Singapore and Hong Kong. In doing so, it will keep covering less than 130. But as a result of the Sydney office, T. Rowe’s global equity, Asia ex-Japan and EAFE portfolio managers would each develop a keener understanding of the Australian market potentially changing the composition of their funds.

Brewer said the average tenure of a portfolio manager at T. Rowe Price is 14 years, and the average experience among the management team is 25 years.

He and Jenneke both worked at the domestic arm of Schroders, during which their tenures overlapped by five years, before joining T. Rowe Price.