Dimensional Global Core Plus Fixed Income ETF(NASDAQ:DFGP)

DFGP is a core bond ETF that broadly invests in global debt securities maturing within 20 years from the date of settlement. Although the fund invests globally, the adviser expects the portfolio to invest primarily in developed market bonds. In addition, it also maintains at least 30% of its assets in non-US bonds. Securities include bonds issued or guaranteed by the US and foreign governments, their agencies, and instrumentalities, including mortgage-backed securities, obligations of supranational organizations, corporate debts, bank loans, commercial paper, repurchase agreements, and money market funds. The portfolio invests in debts of any credit rating but tends to emphasize investment-grade debt securities. Derivatives such as futures, forward contracts, and credit default swaps are used for hedging and risk mitigation. Overall, the fund captures expected credit and term premiums by modifying allocations based on the credit and term spreads in the current yield curves.