Fund Rationale: Dimensional Global Core Equity Fund

Dimensional Global Core Equity Fund (the “Fund”)
SGD Institutional Class Accumulation Shares (ISIN: IE00BF20L879)
Fund Manager Page
Daily Price & Charts

Endowus has selected the Dimensional Global Core Equity Fund for its broadly diversified and passive exposure to the global developed equity market and its ability to add value to market returns through harvesting factor premiums using a cost-efficient and systematic investment process.

Key Information

Fund Objective: Aims to maximise total returns in the longer term by primarily investing in shares of companies listed on the principal stock exchanges in developed countries around the world.

Suitability: Investors who are seeking for long-term capital appreciation, have a long-term investment horizon, and understand that the principal of the Fund will be at risk.

* Total Fund-level Fees include fund management fee of 0.22%.
** Endowus do not charge a preliminary sales charge or any other additional fees, other than the all-in Endowus Access Fee.

Fund Characteristics

Fund Inception: 3 September 2008
Share Class Inception: 25 July 2017
Benchmark: MSCI World Index

Fund AUM: SGD 5.7bn
Source: MorningStar as of 30 March 2021. Please refer to the FMC page for the most updated AUM.

Regional Allocation:

Sector Allocation:

Source: MorningStar as of 31 December 2020. Allocation data indicate actual exposure as a percentage of the Fund's total Net Asset Value. Please refer to the Fund Manager Page for the most updated information on Fund Holdings and Breakdown.

Selection Criteria

Endowus has selected the Dimensional Global Core Equity Fund for its broadly diversified and passive exposure to the global developed equity market and its ability to add value to market returns through harvesting factor premiums using a cost-efficient and  systematic investment process.

Research by academics shows that tilts in equities towards cheaper valuation (value), smaller cap (size) and higher profitability (profitability) add statistically-significant positive returns above the market. These are called value, size and profitability premium, and they are considered as proven drivers of equity returns.

Dimensional has a systematic and time-tested investment process that translates the academic insights mentioned above into real-life portfolios. Importantly, Dimensional also has a strong focus on cost-efficient implementation and trading. Therefore, Dimensional’s portfolios not only capture the broad market total return, but also add value by harvesting the proven equity premiums and through its cost-efficient implementation. We have reviewed many funds that purport to have smart beta or factor-based investing, but our analysis shows that Dimensional consistently delivers better returns through long cycles and under all market conditions versus peers.

The Fund is the most broadly diversified portfolio for Developed Markets exposure available in Singapore with over 7500 stocks compared to the equivalent developed market index which is the MSCI World Index with only over 1600 stocks. It also has positive exposure to the value, size and profitability factors. We are using Dimensional’s institutional clean share class with no loaded fees. It is an Irish-domiciled UCITS fund which is more tax-efficient, and it is also denominated in Singapore dollars to make it an FX-efficient portfolio for Singapore-based investors matching your assets with your future liabilities and thereby removing unnecessary FX risks and costs.

Updated by Endowus: May 2021

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