I think this one graph shows why we use DFA’s methodology. I believe DFA’s evidence based approach, has worked, is still working, and should work in the future. In investing many costs are hidden, and DFA’s low turnover approach handily beats most higher cost investment options (even if that cost is hidden in portfolio turnover from index reconstitution and active portfolio management based on guessing and predicting). With nearly 4 decades applying their methods I think tomorrow looks bright for DFA shareholders.
