Important Message from Plancorp’s Investment Committee
The Plancorp Investment Committee met on January 24, 2011 and voted to make a change in our asset allocation strategy for clients who currently own the DFA Real Estate Securities Portfolio (Symbol DFREX) in a retirement account. For these clients, as part of the next rebalancing review by your assigned Wealth Manager, the DFA Real Estate Securities fund will be sold and replaced by the DFA Global Real Estate Securities Portfolio (Symbol DFGEX). Due to foreign tax reporting requirements, it is Plancorp's strong recommendation that the DFA Global Real Estate Securities Portfolio be held only in a retirement account. Accordingly, any client who currently owns the DFA Real Estate Securities Portfolio in a taxable account will not be affected by this change.
The primary reason for this change is to add an international layer of diversification to real estate. The DFA Global Real Estate Securities Portfolio is a fund-of-funds which currently holds approximately 57% of the DFA Real Estate Securities Portfolio (domestic REITs) and 43% of the DFA International Real Estate Securities Portfolio. The DFA Global Real Estate Securities Portfolio is currently authorized to invest in real estate companies in the following countries: Australia, Belgium, Canada, China, France, Germany, Greece, Hong Kong, Italy, Japan, the Netherlands, New Zealand, Singapore, South Africa, Taiwan, the United Kingdom and the United States.
Please feel free to contact us if you have any questions regarding this change.
Sincerely,
Chris Kerckhoff
President
PAST PERFORMANCE IS NO GUARANTEE OF FUTURE RESULTS. Investing involves risk. It should not be assumed that recommendations made in the future will be profitable or will equal the performance shown. Investment returns and principal value of an investment will fluctuate and losses may occur. Diversification does not ensure a profit or guarantee against a loss.