Fund Evaluator:
DFA Two-Year Fixed Income Institutional (DFCFX)
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Fund Details
DFA Two-Year Fixed Income Institutional Overview
DFA Two-Year Fixed Income Institutional (DFCFX) is an actively managed Taxable Bond Ultrashort Bond fund. Dimensional Fund Advisors launched the fund in 1996.
The investment seeks to maximize total returns consistent with preservation of capital. The fund seeks to maximize total returns from a universe of high quality, U.S. issued, dollar-denominated fixed income securities maturing in three years or less from the date of settlement. It invests at least 80% of its net assets in fixed income securities that mature within two years from the date of settlement. The fund may invest in futures contracts and options on futures contracts.
About DFA Two-Year Fixed Income Institutional (DFCFX)
There are 3 members of the management team with an average tenure of 16.76 years: David Plecha (1996), Ryan Haselton (2021), Joseph Kolerich (2012). Management tenure is more important for actively managed funds than passive index funds.
The fund has 2 primary benchmarks: Bloomberg US Agg Bond TR USD index with a weighting of 100% and ICE BofA 1-3Y US Corp&Govt TR USD index with a weighting of 100%. DFA Two-Year Fixed Income Institutional has 113 securities in its portfolio. The top 10 holdings constitute 28.4% of the fund’s assets. The fund meets the SEC requirement of being classified as a diversified fund. The fund is not considered to have an ESG focus with its investment selection and management.
DFA Two-Year Fixed Income Institutional is part of the Fixed Income global asset class and is within the Taxable Bond fund group. DFA Two-Year Fixed Income Institutional has 48.9% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 0.0%. There is 0.0% allocated to foreign stock, and 0.0% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 97.3% (48.4% domestic bond, 48.9% foreign bond and 0.0% convertible bond). DFA Two-Year Fixed Income Institutional has 2.8% of the portfolio in cash.
Assets Under Management
The fund has $130 million in total assets, which is below the $969 million average for the Ultrashort Bond category. Normally, lower assets under management translates to higher average expense ratios, and greater total assets are desired. However, for some investment categories, such as small-cap investing, it may be difficult for the manager to fully employ the desired active strategy if assets grow too large or too quickly.
DFCFX Performance and Fees
The expense ratio measures how much of a fund’s assets are used for administrative expenses and operating expenses, including adviser fees and fees for the transfer agent and custodial services. The DFA Two-Year Fixed Income Institutional expense ratio is below average compared to funds in the Ultrashort Bond category. DFA Two-Year Fixed Income Institutional has an expense ratio of 0.21%, which is 53% lower than its category average, making the fund expense ratio grade a A. While it is difficult to predict returns, it is known that high annual expense ratios reduce your rate of return, and excessive fees are difficult to overcome. Active management normally comes with higher expense ratios than passive index management. Certain investment categories such as small company and foreign also normally have higher expense ratios. It is best to compare fund expense ratios against the category averages for meaningful assessments.
High portfolio turnover can translate to higher expenses and lower aftertax returns. DFA Two-Year Fixed Income Institutional has a portfolio turnover rate of 69%, indicating that holds its assets around 0.0 years. By way of comparison, the average portfolio turnover is 76% for the Ultrashort Bond category.
Recently, in the month of August 2026, DFA Two-Year Fixed Income Institutional returned 0.3%, which earned it a grade of D, as the Ultrashort Bond category had an average return of 0.3%. The letter grades of A, B, C, D and F are based upon relative rankings within the investment category. A grade of A, for example, would indicate that the return is in the highest 20% for that time period compared to all funds in that category.
DFA Two-Year Fixed Income Institutional has a trailing yield of 3.85%, which is below the 4.16% category average. The fund normally distributes its income quarterly and its capital gains annually.
It’s natural to seek the best-performing investments, but you must consider the relationship between risk and return and the impact of costs and taxes on your realized returns.
DFA Two-Year Fixed Income Institutional Grades
Year to date, the fund has returned 2.2%, 0.2 percentage points worse than the category, which translates into a grade of D. The fund has returned 3.7% over the past year (grade of D), 4.6% over the past three years (grade of F) and 2.6% per year over the past five years (grade of F) and 1.9% per year over the past 10 years (grade of F).
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DFCFX Trailing NAV Total Returns Data as of 8/31/26
| Last Month |
Last Quarter |
Ann'l. 1Yr |
Ann'l. 3Yr |
Ann'l. 5Yr |
Ann'l. 10Yr |
|
| DFCFX Return (NAV) | 0.3% | 0.7% | 3.7% | 4.6% | 2.6% | 1.9% |
| DFCFX Grade | D | F | D | F | F | F |
| +/- Category | -0.0% | -0.2% | -0.2% | -0.5% | -1.1% | -0.8% |
| Ultrashort Bond Avg | 0.3% | 0.9% | 3.9% | 5.1% | 3.7% | 2.7% |
| DFCFX Tax Cost Ratio | na | na | 1.6% | 1.7% | 1.3% | 0.9% |
DFCFX Annual NAV Total ReturnsData as of 8/31/26
| 2026 | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | |
| DFCFX Return (NAV) | 2.2% | 4.3% | 5.3% | 4.9% | -3.3% | -0.4% | 0.6% | 2.6% | 1.8% | 0.9% | 0.9% |
| DFCFX Grade | D | F | D | F | F | F | F | D | C | F | F |
| +/- Category | -0.2% | -0.5% | -0.5% | -1.0% | -3.1% | -0.5% | -1.0% | -0.4% | 0.1% | -0.6% | -0.6% |
| Ultrashort Bond Avg | 2.4% | 4.9% | 5.9% | 5.9% | -0.2% | 0.1% | 1.5% | 3.1% | 1.7% | 1.6% | 1.5% |
| Risk Measures | |
| Standard Deviation: | 0.3% |
| Total Risk Index: | 0.02 - Low |
| Category Risk Index: | 0.49 - Low |
| Category Risk Grade: | A (5% Rank) |
| Beta: | -0.01 |
| R-Squared: | 3% |
| Leveraged Fund: | No |
| Inverse Fund: | No |
| Portfolio Characteristics | |
| Equity Investment Style: | na |
| Bond Investment Style: | High Quality Limited Sensitivity |
| Yield: | 3.9% |
| Dividend Distribution: | Quarterly |
| Cap Gains Distribution: | Annually |
| Total Assets: | $130 Mil |
| Fund Total Assets: | $ 130 Mil |
| Share Class Type: | Inst |
| Portfolio Turnover: | 69% |
Management Team
| Number of Managers: 3 | |||
| Longest Tenure: 30.3 years | |||
| Average Tenure: 16.8 years | |||
| Managers (Year): Plecha David (1996), Kolerich Joseph (2012), Haselton Ryan (2021) | |||
Portfolio Composition (as of 7/31/26)
| # of Holdings: | 113 |
| % in Top 10 Holdings: | 28.4% |
| Fund is Non-Diversified: | No |
| % in Foreign Issues: | 48.9% |
Portfolio Allocation |
|
| Domestic Stock: | 0.0% |
| Foreign Stock: | 0.0% |
| Preferred Stock: | 0.0% |
| Domestic Bond: | 48.4% |
| Foreign Bond: | 48.9% |
| Convertible Bond: | 0.0% |
| Other: | 0.0% |
| Cash: | 2.8% |
Purchase Information
| Fund Family: | Dimensional Fund Advisors |
| Phone Number: | 800-366-7266 |
| Website: | www.dimensional.com |
| Status: | Open |
| Inception Date: | June 6, 1996 |
| Min. Initial Purchase: | $ 0 |
| Min. Initial IRA Purchase: | $ 0 |
| True No-Load: | Yes |
| Front Load Maximum: | 0.00% |
| Deferred Charge Maximum: | 0.00% |
| Redemption Charge Maximum: | 0.00% |
| 12b-1 Fee: | na |
Expenses and Fees | |
| Expense Ratio (%): | 0.21% ( Rating : Below Avg ) |
| Category Average Expense Ratio (%): | 0.45% |
| Share Class: | DFA Two-Year Fixed Income Institutional |
| Min. Subsequent Purchase: | $ 0 |
| Min. Subsequent IRA Purchase: | $ 0 |
