This Quant Giant Wants to Use Vanguard’s Tax-Busting Fund Structure
- Quant giant applies to issue ETF share classes in mutual funds
- Structure used by Bogle-founded firm for over two decades
This article is for subscribers only.
Pioneering quant investor Dimensional Fund Advisors has applied for a new fund structure that would give it a powerful tax advantage enjoyed exclusively by Vanguard Group for more than 20 years.
The David Booth-founded firm wants to create ETFs as a share class of its mutual funds, according to a Thursday filing with the Securities and Exchange Commission. That model would essentially mean the money manager can port the tax efficiency of the ETF wrapper into many of its established products.