Dimensional Fund Advisors has listed its first active European ETFs on the London Stock Exchange and Xetra in Frankfurt.
The Global Core Equity UCITS ETF and the Global Targeted Value UCITS ETF are listed in GBP and USD in London, and EUR in Frankfurt. Both funds are registered in Finland, Germany, Ireland, the Netherlands, Norway, Sweden and the United Kingdom.
The firm writes that the funds are managed using Dimensional’s characteristic investment approach, systematically targeting a higher total return in broadly diversified, low-cost portfolios. The firm says that the new funds complement Dimensional’s existing UCITS funds and separate account solutions in the region and are likely to be joined by other new ETF strategies next year.
Nathan Lacaze, Co-CEO, Dimensional Fund Advisors Ltd, says: “Dimensional has quickly established itself as a leading global active ETF issuer. These first two European listings provide a new opportunity for investors to experience Dimensional investing, with its Nobel Prize-winning insights and decades of expertise working to outperform benchmarks and peers.”
Dimensional primarily serves investors who access the firm’s funds through financial advisors, intermediaries, and institutions. The firm began offering low-cost systematic strategies to institutions in 1981 and was an early supporter of industry shifts towards more investor-centric independent advice.
John Romiza, Co-CEO, Dimensional Fund Advisors Ltd, says: “For decades we have worked with financial professionals to help investors achieve their goals. We will do the same with our UCITS ETFs as they provide a new route to Dimensional and the high value experience we offer our clients.”
The active UCITS ETFs will be managed alongside the firm’s other fund types and client assets, with a team-based approach across Research, Portfolio Management and Capital Markets. They will not track an index but will instead aim to maximise long-term total return. The ongoing charges for the ETFs will be similar to those of comparable Dimensional funds at 0.26 per cent for Global Core Equity and 0.44 per cent for Global Targeted Value.
