Global Equities
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Dimensional Funds plc and Dimensional Funds II plc Global Applied Core Equity Strategy Global Core Equity Fund Class A (USD) Global Core Equity Fund Class B (EUR) Global Core Equity Fund Class C (GBP, Income) Global Core Equity Fund Class D (GBP, Accumulation) Globa Value Strategy Global Targeted Value Fund Class A (USD) Global Targeted Value Fund Class B (EUR) Global Targeted Value Fund Class C (GBP, Income) Global Targeted Value Fund Class D (GBP, Accumulation) |
Overview
Research by Fama and French, as well as other academics, shows that market, size, and value effects are robust around the world. Dimensional Fund Advisors Ltd.'s global equity strategies provide consistent, targeted exposure to both size and value factors. The purpose of an global portfolio is to reduce the risk of single-country exposure.
Dimensional Ltd. offers global equity strategies to UK and European investors through Dimensional Funds plc, 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.
Global Core Equity Strategy (plc)
Dimensional's Global Core Equity Strategy seeks to provide broadly diversified coverage of developed markets. The global developed markets universe is comprised of the twenty-three countries in the MSCI World 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.
Global Targeted Value Strategy
Dimensional's Global Targeted Value strategy is based on the Fama/French research in multifactor asset pricing that has shown small company shares and value shares to have higher expected returns than large and growth shares. The strategy is designed to provide broadly diversified exposure to small and mid-cap companies in twenty-five countries and capture the expected return premium associated with those companies bearing high book-to-market (BtM) ratios.
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.
No Investment Guarantee Equivalent to Deposit Protection
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.
Convertible Securities
A fund may invest in debt securities and preferred stocks which carry the right to purchase common stock or other equity securities. Generally speaking, the interest or dividend yield of a convertible security is somewhat less than that of a non-convertible security of similar quality issued by the same company.
Charges to Capital
Certain fees and/or other charges in a fund may be charged against capital rather than income. This will enhance income returns but may constrain future capital growth.
Liabilities of Dimensional Funds ICVC or Dimensional Funds plc
If the assets of any sub-fund are insufficient to meet the liabilities attributed to it, the excess liabilities may have to be met out of the assets of the other sub-funds.
Share Currency Designation Risk (plc only)
A class of a Dimensional Funds plc fund may be designated in a currency other than the base currency of the fund. Changes in the exchange rate between the base currency and the designated currency may lead to a depreciation of the value of the shares as expressed in the designated currency.
Dimensional Fund Advisors Ltd. is authorised and regulated in the United Kingdom by the Financial Services Authority (FRN: 150100). For professional investors and advisers only. You should obtain relevant and specific professional advice before making any investment decision. Past performance is not an indication of future performance. Please read the Important Information.