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Dimensional converts ETFs into share classes of existing mutual funds
The NYSE Arca launches kept the ETF tickers, with merges completed after the Oct. 2 market close, following an earlier Sept. 25 conversion of five similar ETFs.
Dimensional Fund Advisors said three ETFs recently slated by NYSE Arca as Monday launches are not new funds. According to Dimensional, the DFAC, DFAS, and DFAT ETFs each merged into its matching Dimensional mutual fund after the market closed on October 2, and the ETFs kept their tickers.
The firm said the change reflects how a share class works, with the same underlying fund now trading in two formats that can have different fees and different ways of trading. Dimensional added that mutual fund investors would see no change to the fund’s ticker, name, or identification numbers.
Dimensional also said the Monday trio is the second and final batch of an eight-fund conversion, after five other Dimensional ETFs made the same switch after the market closed September 25. The company said the conversions combine roughly $100 billion in ETFs with $150 billion in mutual funds, and it announced fee cuts across those funds as a result.