Dimensional International Small Cap ETF

The Dimensional International Small Cap ETF (DFIS) is an actively managed fund. As of July 31, 2026, it held 3,512 small companies in developed markets outside the US, led by Japan, Canada and the UK. It does not track an index. Instead, Dimensional leans toward cheaper and more profitable stocks. Its 0.39% expense ratio is well above broad rivals such as Vanguard's VSS (0.08%) and Schwab's SCHC (0.11%).

• Over the year to Oct 27, 2026, DFIS returned +14.0%, 2nd of 8 among similar funds.
• Its worst full calendar year was 2024 (+3.8%); its best was 2025 (+37.4%).
• The deepest fall in its price history was 27.2% (Mar 29, 2022 to Oct 12, 2022), recovered by Mar 6, 2024.

As of Jul 31, 2026, the fund held 3,512 securities; the ten largest made up 3.59% of assets. It also reported 4.24% in a money-market fund, most likely cash collateral from lending out shares rather than uninvested money.

• Over the three months to Jul 31, 2026, investors added a net $82.0M (creations minus redemptions, per the N-PORT report).
• Monthly total returns reported for that quarter: +3.94%, -4.21%, +2.41%.

DFIS is an actively managed ETF, so it does not try to copy an index. Dimensional starts with small companies in developed markets it has approved, then sets a size cap for each country. Based on data as of December 31, 2025, a "small" company had a market value below $16,226 million in Switzerland, $3,311 million in Japan and $1,934 million in Norway. Under normal conditions, at least 80% of net assets go into these small companies.

Holdings are weighted by market capitalization, which is share count times share price, so larger companies get bigger slices. Dimensional then tilts toward the smallest stocks, "value" stocks (those priced low relative to their book value) and highly profitable firms. It may also trim, add or skip a stock based on short-term signals such as price momentum. The result is very spread out: the top 10 holdings made up just 3.59% of assets as of July 31, 2026.

The prospectus describes no fixed rebalancing date. Instead, the fund trades flexibly to keep costs down, and its turnover was 9%. It may use futures to manage cash coming in and going out, and currency forwards to settle foreign trades. It also lends securities for extra income. Currency risk is listed among its principal risks, so moves in the yen, pound and other currencies against the dollar affect returns.

• DFIS charges 0.39% a year, versus an average of 0.29% for the similar funds below (5th of 8, cheapest first).
• Of that, 0.35% is the management fee; the rest covers other fund expenses.
• Using the prospectus's standard example, $10,000 invested would cost about $40 in the first year and $493 over 10 years (assuming a 5% annual return).

It adds thousands of smaller non-US companies, a part of the market many US-focused portfolios barely hold.

DFIS spreads money across small companies in Japan, Canada, Europe and Australia. Its record is short. The fund launched in March 2022, so it missed the 2008 and 2020 crashes and the start of the 2022 bear market. Even so, it fell 27.2% from March 29 to October 12, 2022. It did not recover until March 6, 2024, about 17 months later. Anyone who had to sell shares or draw cash during that stretch would have locked in losses. Its weakest full calendar year so far, 2024, was still a 3.79% gain. Income is modest: a 2.2% trailing yield as of October 27, 2026, paid quarterly. The 0.39% fee works out to $493 over 10 years on $10,000 in the SEC's standard example. Past results don't predict the future, and a plan should look at the whole portfolio, not one fund.

Matched by holdings overlap from the latest N-PORT reports.