Dimensional International Sustainability Core 1 ETF

Dimensional International Sustainability Core 1 ETF (DFSI) is an actively managed fund. As of July 31, 2026, it held about 2,810 stocks of companies in developed markets outside the US, led by Japan, the UK and Canada. It leans toward smaller, lower-priced and more profitable companies. It also excludes or trims companies that Dimensional judges less sustainable, including by potential emissions from their fossil fuel reserves. Its 0.24% expense ratio is higher than most similar funds charge.

• Over the year to Oct 27, 2026, DFSI returned +10.7%, 9th of 9 among similar funds.
• Its worst full calendar year was 2024 (+5.0%); its best was 2025 (+33.6%).
• The deepest fall in its price history was 12.8% (Jul 19, 2023 to Oct 27, 2023), recovered by Dec 14, 2023.

As of Jul 31, 2026, the fund held 2,810 securities; the ten largest made up 9.73% of assets, and 2.16% sat in cash and money-market holdings.

• Over the three months to Jul 31, 2026, investors added a net $81.5M (creations minus redemptions, per the N-PORT report).
• Monthly total returns reported for that quarter: +2.60%, -0.44%, +1.75%.

DFSI does not copy an index. Dimensional Fund Advisors starts with a list of non-US companies in developed markets that its Investment Committee has approved. In that list, each company is weighted by market capitalization, the total value of its shares, so bigger companies count for more. The fund buys companies of all sizes, but it holds less of large, expensive and less profitable firms. That moderately tilts it toward smaller companies, value stocks (cheap compared with their book value, roughly what the company's assets are worth on paper) and highly profitable companies. Under normal conditions, at least 80% of net assets is in stocks.

Sustainability changes the mix. Compared with an otherwise identical fund, DFSI holds less of companies it rates as less sustainable, or none at all, and more of those it rates as more sustainable. One measure ranks companies by the potential emissions from their reserves. The managers may also raise or cut positions based on short-term signals such as price momentum. They trade flexibly to keep costs down, and portfolio turnover was 9%, according to the prospectus filed February 27, 2026.

The fund does not use leverage. It may use futures to put new cash to work or to handle withdrawals. It may use currency forward contracts to settle foreign trades, buy depositary receipts (shares of foreign companies that trade on other exchanges) and lend securities for extra income. Its performance is compared with the MSCI World ex USA IMI Index.

• DFSI charges 0.24% a year, versus an average of 0.17% for the similar funds below (8th of 9, cheapest first).
• Of that, 0.2% is the management fee; the rest covers other fund expenses.
• The fee includes a 0.01% waiver from the adviser, which may end.
• Using the prospectus's standard example, $10,000 invested would cost about $25 in the first year and $306 over 10 years (assuming a 5% annual return).

It spreads money across about 2,810 developed-market stocks outside the US, which may balance a portfolio heavy in US shares.

DFSI launched in November 2022, so it has no record from the 2008 crisis, the 2020 COVID crash or the 2022 bear market. Its worst calendar year was 2024, and even then it gained 5.27%. Its deepest drop was 12.8%, from July 19 to October 27, 2023, and it recovered by December 14, 2023. That is a mild test. A retiree who has to sell shares in a real bear market could see much larger losses. The trailing yield was 2.29% as of October 27, 2026, paid quarterly. The 0.24% expense ratio works out to about $306 over 10 years on $10,000 in the SEC's standard example, more than many peers cost. Past results don't predict the future, and a retirement plan should look at the whole portfolio, not one fund.

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