Thursday, February 7, 2008

How Come Your Dfa Portfolio Didn’t Do As Well As The Market Last Year?

I have tracked your DFA and Vanguard portfolios for many years. In most years your recommended DFA portfolio made more than the Vanguard portfolio you recommend. Why did DFA under perform Vanguard, and the rest of the market, last year?During my workshops I try to make it very clear what I believe about the performance of Dimensional (DFA) funds compared to similar funds at Vanguard. I believe that the DFA all equity portfolio will average 1 to 2 percent a year more than a similar portfolio at Vanguard.But I have no expectation that the higher return will ha[...]

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[Source: The Money Blogs]

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