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Emerging Markets StocksThird Quarter 2020 Index ReturnsEmerging markets posted positive returns for the quarter,Ranked Returns (%)Local currencyUS currencyoutperforming the US and developed ex US equity markets.Value underperformed growth.13.31Growth14.15Small caps outperformed large caps.10.51Small Cap11.858.65Large Cap9.563.68Value4.66World Market Capitalization—Emerging MarketsPeriod Returns (%)Asset Class12%Emerging Markets 7.1 trillion* AnnualizedYTD1 Year3 Years**5 Years**Growth12.4127.807.4513.265.29Large .23-5.70-2.894.45-0.44Small CapValue10 Years**Past performance is not a guarantee of future results. Indices are not available for direct investment. Index performance does not reflect the expenses associated with the management of an actual portfolio.Market segment (index representation) as follows: Large Cap (MSCI Emerging Markets Index), Small Cap (MSCI Emerging Markets Small Cap Index), Value (MSCI Emerging Markets Value Index), and Growth (MSCIEmerging Markets Growth Index). All index returns are net of withholding tax on dividends. World Market Cap represented by Russell 3000 Index, MSCI World ex USA IMI Index, and MSCI Emerging Markets IMI Index. MSCIEmerging Markets IMI Index used as the proxy for the emerging market portion of the market. MSCI data MSCI 2020, all rights reserved. Frank Russell Company is the source and owner of the trademarks, service marks,and copyrights related to the Russell Indexes.10

Select Market PerformanceThird Quarter 2020 Index ReturnsIn US dollar terms, Sweden and Denmark recorded the highest country performance in developed markets, while Portugal and Spain posted the lowestreturns for the quarter. In emerging markets, India and Pakistan recorded the highest country performance, while Turkey and Thailand posted the lowestperformance.Ranked Developed Markets Returns CanadaNetherlandsSwitzerlandAustraliaNew ZealandBelgiumFranceItalyHong l 5.604.043.593.143.002.772.302.070.850.24Ranked Emerging Markets Returns (%)IndiaPakistanTaiwanKoreaChinaSaudi ArabiaQatarMalaysiaUAEMexicoSouth 27Czech .39Turkey 034.274.203.532.991.00Past performance is not a guarantee of future results. Indices are not available for direct investment. Index performance does not reflect the expenses associated with the management of an actual portfolio.MSCI Index returns are in USD net of dividend withholding taxes. Country returns are the country component indices of the MSCI All Country World ex USA IMI for all countries except the United States, where the Russell 3000index is used instead. Frank Russell Company is the source and owner of the trademarks, service marks and copyrights related to the Russell Indexes. MSCI data MSCI 2020, all rights reserved. Indices are not available fordirect investment. Their performance does not reflect the expenses associated with the management of an actual portfolio. Past performance is not a guarantee of future results.11

Select Currency Performance vs. US DollarThird Quarter 2020In developed markets, all currencies appreciated versus the US dollar. In emerging markets, currency performance versus the US dollar was mixed. Mostcurrencies generally appreciated versus the US dollar, but some, notably the Turkish lira and Russian ruble, depreciated.Ranked Developed Markets (%)Ranked Emerging Markets (%)British pound (GBP)4.63Danish krone (DKK)4.54Euro (EUR)4.41Australian dollar (AUD)4.10Swedish krona (SEK)4.10Swiss franc (CHF)3.13Norwegian krone (NOK)3.10New Zealand dollar (NZD)2.68Japanese yen (JPY)2.23Singapore dollar (SGD)2.19Canadian dollar (CAD)1.97Israeli new shekel (ILS)Hong Kong dollar (HKD)1.190.01Mexican peso (MXN)South African rand (ZAR)Chilean peso (CLP)Chinese renminbi (CNY)Malaysian ringgit (MYR)Korean won (KRW)Philippine peso (PHP)Czech koruna (CZK)Egyptian pound (EGP)Indian rupee (INR)Polish zloty (PLN)Hungarian forint (HUF)New Taiwan dollar (TWD)Pakistani rupee (PKR)Saudi Arabian riyal (SAR)Peruvian sol (PEN)Thai baht (THB)Brazilian real (BRL)Colombian peso (COP)Indonesian rupiah (IDR)Argentinian peso (ARS)Russian ruble (RUB)Turkish lira -11.03Past performance is not a guarantee of future results. Indices are not available for direct investment. Index performance does not reflect the expenses associated with the management of an actual portfolio.MSCI data MSCI 2020, all rights reserved.12

Real Estate Investment Trusts (REITs)Third Quarter 2020 Index ReturnsUS real estate investment trusts underperformed non-USRanked Returns (%)REITs during the quarter.Global ex US REITSUS REITSTotal Value of REIT StocksWorld ex US 435 billion268 REITs(23 othercountries)0.83* AnnualizedPeriod Returns (%)Asset Class39%4.5761%YTD1 Year3 Years**5 Years** 10 Years**US REITS-21.36-22.33-1.851.997.03Global ex US REITS-21.84-18.37-1.621.674.13US 681 billion115 REITsPast performance is not a guarantee of future results. Indices are not available for direct investment. Index performance does not reflect the expenses associated with the management of an actual portfolio.Number of REIT stocks and total value based on the two indices. All index returns are net of withholding tax on dividends. Total value of REIT stocks represented by Dow Jones US Select REIT Index and the S&P Global ex USREIT Index. Dow Jones US Select REIT Index used as proxy for the US market, and S&P Global ex US REIT Index used as proxy for the World ex US market. Dow Jones and S&P data 2020 S&P Dow Jones Indices LLC, adivision of S&P Global. All rights reserved.13

CommoditiesThird Quarter 2020 Index ReturnsThe Bloomberg Commodity Index Total Return returned 9.07%Ranked Returns (%)for the third quarter of 2020.Lean hogsLean hogs and Silver were the best performers, returning30.76Silver30.76% and 25.06%, respectively.25.06ZincLow sulfur gas and Heating oil were the worst performers,declining 9.27% and 7.51%, respectively.16.71Soybeans16.01Soybean meal15.85Wheat15.48Soybean oil14.99Natural gas14.93Nickel13.01Kansas wheat12.81Copper* AnnualizedPeriod Returns (%)Asset ClassCommoditiesQTRYTD9.07 -12.081 Year 3 Years** 5 Years** 10 67Aluminum7.16Live cattle7.13Sugar6.93Corn6.65Unleaded gas5.57Gold3.60WTI crude oil0.81Brent crude oilHeating oil-0.26-7.51Low sulphur gas oil -9.27Past performance is not a guarantee of future results. Index is not available for direct investment. Index performance does not reflect the expenses associated with the management of an actual portfolio.Commodities returns represent the return of the Bloomberg Commodity Total Return Index. Individual commodities are sub-index values of the Bloomberg Commodity Total Return Index. Data provided by Bloomberg.14

Fixed IncomeThird Quarter 2020 Index ReturnsInterest rate changes were mixed in theUS Treasury Yield Curve (%)Bond Yield across Issuers (%)US Treasury fixed income market duringthe third quarter. The yield on the 5-year4.002.40US Treasury note decreased by 3 basispoints (bps), ending at 0.31%. The yield2.163.00on the 10-year US T-note rose by 3 bpsto 0.64%. The 30-year US T-bond yield1.569/30/20192.009/30/20206/30/2020increased by 5 bps to 1.46%.0.691.00On the short end of the yield curve, the1-month US Treasury bill yielddecreased to 0.08%, while the 1-year Tbill yield decreased by 5 bps to 0.14%.0.001Yr5Yr10Yr30Yr10-Year USTreasuryState he 2-year US T-note yield finished at0.09% after a decrease of 2 basis points.Period Returns (%)*AnnualizedIn terms of total returns, short-termAsset ClassQTRYTD1 Year3 Years** 5 Years**10 Years**corporate bonds returned 0.92% for theBloomberg Barclays US High Yield Corporate Bond Index4.600.623.254.216.796.47quarter. Intermediate-term corporatesBloomberg Barclays US TIPS Index3.039.2210.085.794.613.57returned 1.33%.FTSE World Government Bond Index 1-5 Years2.014.165.212.032.010.21Bloomberg Barclays Municipal Bond Index1.233.334.094.283.843.99The total return for short-term municipalBloomberg Barclays US Aggregate Bond Index0.626.796.985.244.183.64bonds was 0.83%, while intermediateFTSE World Government Bond Index 1-5 Years (hedged to USD)0.243.043.223.022.311.90munis returned 1.40%. Revenue bondsBloomberg Barclays US Government Bond Index Long0.1321.1316.2111.798.187.18outperformed general obligation bonds.ICE BofA 1-Year US Treasury Note Index0.081.772.372.191.540.93ICE BofA US 3-Month Treasury Bill Index0.040.641.101.691.200.64One basis point (bps) equals 0.01%. Past performance is not a guarantee of future results. Indices are not available for direct investment. Index performance does not reflect the expenses associated with themanagement of an actual portfolio. Yield curve data from Federal Reserve. State and local bonds are from the S&P National AMT-Free Municipal Bond Index. AAA-AA Corporates represent the Bank of America Merrill LynchUS Corporates, AA-AAA rated. A-BBB Corporates represent the ICE BofA Corporates, BBB-A rated. Bloomberg Barclays data provided by Bloomberg. US long-term bonds, bills, inflation, and fixed income factor data Stocks,Bonds, Bills, and Inflation (SBBI) Yearbook , Ibbotson Associates, Chicago (annually updated work by Roger G. Ibbotson and Rex A. Sinquefield). FTSE fixed income indices 2020 FTSE Fixed Income LLC, all rightsreserved. ICE BofA index data 2020 ICE Data Indices, LLC. S&P data 2020 S&P Dow Jones Indices LLC, a division of S&P Global. All rights reserved.15

Global Fixed IncomeThird Quarter 2020 Yield CurvesUSUK4.0rates in the global developed markets3.03.0were mixed for the quarter.2.0Longer-term bonds generallyoutperformed shorter-term bonds in9/30/20206/30/20201.00.0Yield (%)4.0Yield (%)Changes in Government bond interest-1.0global ex-US developed 0Y1Y5YYears to Maturity10Y20Y30YYears to MaturityShort- and intermediate-term nominalinterest rates were negative in Japan,Germanywhile all maturities finished the ield (%)Yield (%)in negative territory in 0Y20Y30Y1Y5YYears to .60.212.2-5.1Yield -2.1-14.520Y30YYears to 1.00.0-1.0Yield (%)Changes in Yields (bps) since 20YYears to MaturityOne basis point (bps) equals 0.01%. Source: ICE BofA government yield. ICE BofA index data 2020 ICE Data Indices, LLC.30Y1Y5Y10Y20Y30YYears to Maturity16

Impact of DiversificationThird Quarter 2020Ranked Returns (%)These portfolios illustrate the performance of different globalstock/bond mixes and highlight the benefits of diversification.100% StocksMixes with larger allocations to stocks are considered riskierbut have higher expected returns over time.8.2575/256.2150/504.1525/75100% Treasury Bills2.090.03Growth of Wealth: The Relationship between Risk and ReturnStock/Bond Mix 120,000100%Stocks 100,000Period Returns (%)* Annualized75/25 80,000Asset Class10-YearYTD 1 Year 3 Years** 5 Years** 10 Years** STDEV¹75/251.908.896.408.587.1210.28 60,00050/50100% Stocks1.7711.007.6810.909.1313.71 .783.323.652.823.42 20,000100% Treasury Bills0.420.831.541.070.550.23100%TreasuryBills 1. STDEV (standard deviation) is a measure of the variation or dispersion of a set of data points. Standard deviations are often used to quantify the historical return volatility of a security or portfolio.Diversification does not eliminate the risk of market loss. Past performance is not a guarantee of future results. Indices are not available for direct investment. Index performance does not reflect expenses associatedwith the management of an actual portfolio. Asset allocations and the hypothetical index portfolio returns are for illustrative purposes only and do not represent actual performance. Global Stocks represented by MSCI AllCountry World Index (gross div.) and Treasury Bills represented by US One-Month Treasury Bills. Globally diversified allocations rebalanced monthly, no withdrawals. Data MSCI 2020, all rights reserved. Treasury bills Stocks, Bonds, Bills, and Inflation Yearbook , Ibbotson Associates, Chicago (annually updated work by Roger G. Ibbotson and Rex A. Sinquefield).17

When It’s Value vs. Growth,History Is on Value’s SideThird Quarter 2020Logic and data provide the basis for a positive expected value premium,offering a guide for investors targeting higher potential returns. There ispervasive historical evidence of value stocks outperforming growth stocks.Data covering nearly a century in the US, and nearly five decades of marketdata outside the US, support the notion that value stocks— those with lowerrelative prices—have higher expected returns.Exhibit 1. Value AddYearly observations of premiums: value minus growth in US markets, 1928–2019Recently, growth stocks have enjoyed a run of outperformance vs. their valuecounterparts. But while disappointing periods emerge from time to time, theprinciple that lower relative prices lead to higher expected returns remains thesame. On average, value stocks have outperformed growth stocks by 4.54%annually in the US since 1928, as Exhibit 1 shows.Some historical context is helpful in providing perspective for growth stocks’recent outperformance. As Exhibit 1 demonstrates, realized premiums arehighly volatile. While periods of underperformance are disappointing, they arealso within the range of possible outcomes.We believe investors are best served by making decisions based on soundeconomic principles supported by a preponderance of evidence. Valueinvesting is based on the premise that paying less for a set of future cash flowsis associated with a higher expected return. That’s one of the mostfundamental tenets of investing. Combined with the long series of empiricaldata on the value premium, our research shows that value investing continuesto be a reliable way for investors to increase expected returns going forward.Past performance is no guarantee of future results. Investing risks include loss ofprincipal and fluctuating value. There is no guarantee an investment strategy will besuccessful. Indices are not available for direct investment. Their performance does notreflect the expenses associated with the management of an actual portfolio.In US dollars. Yearly premiums are calculated as the difference in one-year returns between the two indicesdescribed. Value minus growth: Fama/French US Value Research Index minus the Fama/French USGrowth Research Index.Fama/French US Value Research Index: Provided by Fama/French from CRSP securities data. Includesthe lower 30% in price-to-book of NYSE securities (plus NYSE Amex equivalents since July 1962 andNasdaq equivalents since 1973).Please see the end of this document for important disclosures.Fama/French US Growth Research Index: Provided by Fama/French from CRSP securities data. Includesthe higher 30% in price-to-book of NYSE securities (plus NYSE Amex equivalents since July 1962 andNasdaq equivalents since 1973).18

When It’s Value vs. Growth,History Is on Value’s Side(continued from page 18)GLOSSARYUNITED STATES: Dimensional Fund Advisors LP is an investment advisor registered withthe Securities and Exchange Commission.Value Stock: A stock trading at a low price relative to a measure offundamental value such as book equity.CANADA: These materials have been prepared by Dimensional Fund Advisors Canada ULC.Commissions, trailing commissions, management fees, and expenses all may be associatedwith mutual fund investments. Unless otherwise noted, any indicated total rates of returnreflect the historical annual compounded total returns, including changes in share or unitvalue and reinvestment of all dividends or other distributions, and do not take into accountsales, redemption, distribution, or optional charges or income taxes payable by any securityholder that would have reduced returns. Please read the prospectus before investing. Mutualfunds are not guaranteed, their values change frequently, and past performance may not berepeated.Growth Stock: A stock trading at a high price relative to a measure offundamental value such as book equity.Value Premium: The return difference between stocks with low relative prices(value) and stocks with high relative prices (growth).DISCLOSURESEugene Fama and Ken French are members of the Board of Directors of the general partnerof, and provide consulting services to, Dimensional Fund Advisors LP.The information in this document is provided in good faith without any warranty and isintended for the recipient’s background information only. It does not constitute investmentadvice, recommendation, or an offer of any services or products for sale and is not intendedto provide a sufficient basis on which to make an investment decision. It is the responsibility ofany persons wishing to make a purchase to inform themselves of and observe all applicablelaws and regulations. Unauthorized copying, reproducing, duplicating, or transmitting of thisdocument are strictly prohibited. Dimensional accepts no responsibility for loss arising fromthe use of the information contained herein.RISKSInvestments involve risks. The investment return and principal value of aninvestment may fluctuate so that an investor’s shares, when redeemed,may be worth more or less than their original value. Past performance isnot a guarantee of future results. There is no guarantee strategies will besuccessful.The information in this document is provided

World Market Cap represented by Russell 3000 Index, MSCI World ex USA IMI Index, and MSCI Emerging Markets IMI Index. Russell 3000 Index is used as the proxy for the US market. Dow Jones US Select REIT Index used as proxy for the US REIT market. Frank Russell Company is the source and owner of the