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Emerging Markets Equities

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Overview

Dimensional's research documents that investing in emerging markets companies provides substantial diversification benefits. We believe that a diversified portfolio of emerging markets equities complements a well-structured developed markets portfolio

Before adding a country to the emerging markets portfolio, we undertake a rigorous review, including a visit on behalf of the Investment Committee of Dimensional Fund Advisors. The country must meet several criteria, including a minimum market capitalisation, sufficient liquidity, and an equity settlement system that ensures delivery vs. payment. Dimensional also applies subjective requirements, including fair treatment of foreign investors, well developed property rights, and a commitment to free markets.

Dimensional Ltd. offers emerging markets equity strategies through two fund families, as shown above. Dimensional Funds ICVC is an investment company with variable capital incorporated and registered in England and Wales under the Open Ended Investment Companies Regulations 2001. Dimensional Funds plc is an umbrella fund constituted under the laws of Ireland and authorised by the Irish Financial Services Regulatory Authority pursuant to the European Communities (Undertakings for Collective Investment in Transferable Securities) Regulations of 2003.

Emerging Markets Core Equity Strategy (ICVC)

The Emerging Markets Core Equity strategy seeks to provide broadly diversified coverage of eligible emerging markets as defined by Dimensional. The current emerging markets universe is comprised of seventeen countries in the MSCI Emerging Markets Index.

Traditional indices weight companies by market capitalisation, causing the largest companies to dominate. Dimensional's core equity strategy divides the market on a country-by-country basis into cells based on the market cap and book-to-market (BtM) ratio of each company. The weights of the cells are then adjusted to modestly increase exposure to small and value shares.

Owning a core portfolio reduces concentration in the largest companies in an index and provides targeted factor exposure. A smoother and broader exposure also reduces trading costs caused by style drift or the reconstitution of indices.

Emerging Markets Value Strategies (plc)

Dimensional's Emerging Markets Value and Emerging Markets Targeted Value strategies, which are based on the Fama/French research in multifactor asset pricing, are designed to capture the expected return premia associated with companies with high book-to-market (BtM) ratios. The strategies offer consistent, targeted exposure to the higher expected returns and diversification benefits of companies with high BtM ratios. The Emerging Markets Value strategy targets all value stocks in the eligible universe while the Emerging Markets Targeted Value strategy targets small and mid cap companies in this universe.

PRINCIPAL RISKS

Investment in these strategies carries with it a degree of risk including, but not limited to, the risks referred to below. Different risk considerations may apply to each strategy, and there can be no assurance that any strategy will achieve its investment objective. The principal risks of investing in these funds are as follows: market risk, equities risk, international investing risk, emerging markets risk, small companies risk, value stocks risk, foreign exchange risk, derivatives risk, and portfolio turnover risk. To more fully understand the risks related to an investment in Dimensional Funds ICVC or Dimensional Funds plc, investors should carefully read the corresponding prospectus and in particular the section titled "Risk Factors."

Past Performance
Past performance of a fund does not necessarily indicate future performance.

When-Issued and Delayed-Delivery Securities
The value of securities purchased on a when-issued or delayed-delivery basis may fluctuate prior to their actual delivery. The yield available in the market when the delivery takes place may be higher than that obtained in the transaction itself, or the securities may not be delivered

An investment in a fund is not in the nature of a deposit in a bank account and is not protected by any government, government agency, or other guarantee scheme which may be available to protect the holder of a bank deposit account.