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Odd Lots

Dimensional Co-CEO Gerard O'Reilly on the Future of Fund Management

Nov 2, 2023
50:36
Snipd AI
We speak with Gerard O'Reilly, Co-CEO of Dimensional Fund Advisors, about the firm's history, approach to investing, and the future of fund management. Topics include active vs passive investing, market prices and outperformance, product offerings, intangible assets, ETF growth, and market structure.
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Podcast summary created with Snipd AI

Quick takeaways

  • Dimensional Fund Advisors focuses on providing conflict-free investment propositions that compete on their merits and collaborate with financial professionals to serve clients' needs.
  • Dimensional's outperformance is attributed to their systematic approach based on valuation theory, efficient portfolio implementation, and taking advantage of potential alpha opportunities.

Deep dives

The Rise of ETFs and the Challenge of Vertical Integration

The podcast episode explores the growth of ETFs and the impact of vertical integration on the industry. It discusses how companies like Vanguard and BlackRock dominate the market, while newer players like JP Morgan and Morgan Stanley also enter the space. The guest emphasizes the importance of a conflict-free investment approach, positioning it as a strength for Dimensional. He explains how Dimensional focuses on providing investment propositions that compete on their merits and collaborate with financial professionals to serve clients' needs.

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