Dimensional lists US marketwide value ETF after completing mutual fund-to-ETF conversion
Dimensional Fund Advisors has expanded its ETF offering with the listing of the firm’s US Marketwide Value ETF.
The firm writes that this new fund is the result of Dimensional’s conversion of its Tax-Managed US Marketwide Value Portfolio II mutual fund into an active transparent ETF, the seventh and final planned conversion of the firm’s tax-managed mutual funds into ETFs since June 2021.
The new fund, which is listed on the New York Stock Exchange (NYSE), is the US Marketwide Value ETF (NYSE Arca: Dfuv), with an expense ratio of 0.23 per cent.
The firm writes that the fund has a US market solution that emphasises companies with low prices in relation to their book values and targets higher expected returns and consistent exposure through a daily flexible process
“We are pleased to complete our final planned tax-managed mutual fund-to-ETF conversion, which provides tax-sensitive investors with another tool to manage capital gains,” says Co-CEO and Chief Investment Officer Gerard O’Reilly. “Dimensional is dedicated to continuous innovation within our well-constructed, broadly diversified investment solutions and delivering a full suite of ETFs to the financial professionals we work with.”
The conversion brings another USD8 billion in assets to Dimensional’s growing lineup of ETFs which now totals 24 funds and approximately USD50 billion in assets under management.
“Over the course of the last four decades, Dimensional has focused on empowering and equipping financial professionals with investment solutions that seek to deliver the best possible client and investment experience,” says Co-CEO Dave Butler. “Our growing ETF lineup furthers this mission and offers greater optionality for advisors and institutions to build asset allocations that better fit investors’ unique needs.”