Fund Rationale: Dimensional Global Core Fixed Income Fund

Dimensional Global Core Fixed Income Fund (the “Fund”)
SGD Institutional Class Accumulation Shares (ISIN: IE00BG85LQ14)
Fund Manager Page
Daily Price & Charts

Endowus has selected the Fund for its broadly diversified exposure to global high-quality credit and government bonds, and its ability to add value to market returns by harvesting factor-based returns in the long term using a disciplined systematic investment process.
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Key Information

Fund Objective: Aims to maximise total returns in Singapore Dollar terms over the longer term by investing in debt issued mainly by governments, other public bodies, and companies from developed countries.

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.

Cost:
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* Total Fund-level Fees include fund management fee of 0.24%.
** Endowus does not charge a preliminary sales charge or any other additional fees, other than the all-in Endowus Access Fee.

Fund Characteristics

Fund Inception: 11 December 2008
Share Class Inception: 11 December 2018
Benchmark: Bloomberg Barclays Global Aggregate Bond Index (hedged to SGD)

Fund AUM: SGD 1.0bn
Source: MorningStar as of 30 March 2021. Please refer to the FMC page for the most updated AUM.

Regional Allocation:
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Sector Allocation:
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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 Fixed Income Fund for its broadly diversified exposure to global high-quality credit and government bonds, and its ability to add value to market returns by harvesting factor-based returns in the long term using a disciplined systematic investment process.

Research by academics has shown that there are systemic factors in fixed income that are pervasive and proven factors that add statistically significant, positive returns above the market at an efficient cost. These are term and credit premiums. Expected credit premium is the difference in expected return between bonds of similar maturities but different credit qualities, while expected term premium is the difference in expected return between long-term and short-term bonds.

Dimensional has a systematic and time-tested investment process that translates these academic insights 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 fixed income premiums and through its cost-efficient implementation.

The Fund provides passive exposure to the broad universe of global credit and government bonds, and harvests term and credit premiums in the long term. 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 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.

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Updated by Endowus: March 2021

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