David Booth Portfolios, Home Runs For Days

David Booth of DFA has suggested some fantastic portfolios. Here you will find some of the best portfolios you will meet

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David Booth investment portfolios are strong, diversified portfolios. In this article detailing the investment portfolios of David Booth, you will fin asset allocation and performance numbers for his portfolios.

David Booth Portfolios, Home Runs For Days

Co-founder and former CEO of Dimensional Fund Advisors (DFA) David Booth propose several portfolios in his article “Index and Enhanced Index Funds.”

What is unique about the David Booth Portfolios?

The Dimensional Fund Advisor methodology is weighted towards value and small-cap. This is no surprise as two of the investment committee members of DFA are Eugene Fama and Kenneth French. They two of them pioneered the model for describing asset class premia. In other words, they explained why classes have returns in the first place!

More importantly, they also described which asset classes do better over time and why. Value and small-cap are among those asset classes that have the highest returns. The impact on investing by Fama cannot be understated and is eloquently detailed in The Myth of the Rational Market by Justin Fox.

justin-fox-myth-of-the-rational-market

Performance of the David Booth Portfolios

NameAsset class countYear to dateReturn in 201910 year returnCAGR since 1989 (%)Risk levelExpense ratio
David Booth (DFA) Fixed Income Portfolio44.586.942.29%4.3910.06%
David Booth (DFA) Conservative Portfolio150.6610.554.09%5.8110.08%
David Booth (DFA) Moderate Portfolio15-3.2514.165.84%7.1110.10%
David Booth (DFA) Normal Portfolio15-7.1717.767.54%8.2920.12%
David Booth (DFA) Aggressive Portfolio15-11.0921.379.19%9.3430.15%
David Booth (DFA) Equity Portfolio11-15.024.9810.79%10.2430.17%

Building the portfolio(s)

Below you can see the asset allocations for the portfolio(s). You can also see if the portfolio(s) has a socially responsible investing (ESG) variant portfolio. You can read more about socially responsible investing (ESG) investment portfolios in this post.
To build the portfolio(s) yourself, go to our best in class ETF page to see which ETF you should choose for a particular asset class. There you can also see which socially responsible investing ESG ETFs you should select.

Asset Allocation of David Booth Portfolios

Pie chart of the David Booth Aggressive Portfolio

David-Booth-Aggressive-Portfolio

David Booth (DFA) Equity Portfolio                        

This portfolio is part of Portfolio Einstein Gold, Premium Portfolios. 

David Booth (DFA) Aggressive Portfolio               

  • 16.00%  US Large Cap Value         (VTV)
  • 16.00%  US Large Cap      (VV)
  • 8.00%    US Small Cap Value         (VIOV)
  • 8.00%    US Small Cap      (VIOO)
  • 8.00%    REITs     (VNQ)
  • 2.40%    Emerging Markets           (VWO)
  • 8.00%    International Large Cap Value     (EFV)
  • 4.00%    International Small Cap Blend             (VSS)
  • 5.00%    Intermediate-Term Treasuries       (VGIT)
  • 4.00%    International Small Cap Value             (DLS)
  • 3.20%    Emerging Markets Small Cap       (EWX)
  • 2.40%    Emerging Markets Value               (FNDE)
  • 5.00%    1 Year Fixed Income       (BSV)
  • 5.00%    2 Year Global Fixed Income         (BNDX)
  • 5.00%    5 Year Global Fixed Income         (BND/BNDX)

David Booth (DFA) Normal Portfolio                      

  • 12.00%  US Large Cap Value         (VTV)
  • 12.00%  US Large Cap      (VV)
  • 6.00%    US Small Cap Value         (VIOV)
  • 6.00%    US Small Cap      (VIOO)
  • 6.00%    REITs     (VNQ)
  • 1.80%    Emerging Markets           (VWO)
  • 6.00%    International Large Cap Value     (EFV)
  • 3.00%    International Small Cap Blend             (VSS)
  • 10.00%  Intermediate-Term Treasuries       (VGIT)
  • 3.00%    International Small Cap Value             (DLS)
  • 2.40%    Emerging Markets Small Cap       (EWX)
  • 1.80%    Emerging Markets Value               (FNDE)
  • 10.00%  1 Year Fixed Income       (BSV)
  • 10.00%  2 Year Global Fixed Income         (BNDX)
  • 10.00%  5 Year Global Fixed Income         (BND/BNDX)

David Booth (DFA) Moderate Portfolio                 

  • 8.00%    US Large Cap Value         (VTV)
  • 8.00%    US Large Cap      (VV)
  • 4.00%    US Small Cap Value         (VIOV)
  • 4.00%    US Small Cap      (VIOO)
  • 4.00%    REITs     (VNQ)
  • 1.20%    Emerging Markets           (VWO)
  • 4.00%    International Large Cap Value     (EFV)
  • 2.00%    International Small Cap Blend             (VSS)
  • 15.00%  Intermediate-Term Treasuries   (VGIT)
  • 2.00%    International Small Cap Value             (DLS)
  • 1.60%    Emerging Markets Small Cap       (EWX)
  • 1.20%    Emerging Markets Value               (FNDE)
  • 15.00%  1 Year Fixed Income       (BSV)
  • 15.00%  2 Year Global Fixed Income         (BNDX)
  • 15.00%  5 Year Global Fixed Income         (BND/BNDX)

David Booth (DFA) Conservative Portfolio                          

  • 4.00%    US Large Cap Value         (VTV)
  • 4.00%    US Large Cap      (VV)
  • 2.00%    US Small Cap Value         (VIOV)
  • 2.00%    US Small Cap      (VIOO)
  • 2.00%    REITs     (VNQ)
  • 0.60%    Emerging Markets           (VWO)
  • 2.00%    International Large Cap Value     (EFV)
  • 1.00%    International Small Cap Blend             (VSS)
  • 20.00%  Intermediate-Term Treasuries       (VGIT)
  • 1.00%    International Small Cap Value             (DLS)
  • 0.80%    Emerging Markets Small Cap       (EWX)
  • 0.60%    Emerging Markets Value               (FNDE)
  • 20.00%  1 Year Fixed Income       (BSV)
  • 20.00%  2 Year Global Fixed Income         (BNDX)
  • 20.00%  5 Year Global Fixed Income         (BND/BNDX)

David Booth (DFA) Fixed Income Portfolio                          

  • 25.00%  Intermediate-Term Treasuries       (VGIT)
  • 25.00%  1 Year Fixed Income       (BSV)
  • 25.00%  2 Year Global Fixed Income         (BNDX)
  • 25.00%  5 Year Global Fixed Income         (BND/BNDX)

How we select the right ETFs

There are a lot of ETFs out there. Most of them can be discarded because:

  • They are too expensive
  • They hold too few assets and are therefore too illiquid
  • They do not meet the criteria for representing the asset class they are supposed to mirror.

We have carefully selected an ETF for each asset class that the portfolios on portfolioeinstein.com use. If you want to read more about our selection process and see what we consider the best ETFs please visit our article What Is The Best ETF?

If you are a European investor you need to buy European ETFs. We list 47 best ETFs in our article What Are The Best ETFs For European Investors? (Here Is 47).

As of 2020 we also track socially responsible investing ESG portfolios. Socially responsible investing (ESG) portfolios prioritize investing that puts an emphasis on environmental, social and corporate governance issues.

You can find the socially responsible investing ESG ETFs in the same article.

Alternatives to David Booth portfolios

There are three similar groups of portfolios to David Booth portfolios. The first is the Index Fund Advisors (IFA) Portfolios. IFA makes extensive use of DFA services, so it should come as no surprise to see similarities. The second group is Dan Solin’s portfolios. Dan Solin used to work at IFA. The third group of portfolios is the FPL Capital Management Portfolios.

Suggestions for your next steps

Finding the correct portfolio is hard. Maintaining your portfolio is also daunting. If you are still in doubt about which portfolio to choose, we suggest you read our article How To Invest Money: 5 Simple Steps That Work For Anyone

If you have already committed to a portfolio – good for you! If you need help maintaining the portfolio you will find our rebalance worksheet useful. Rebalancing your portfolio lowers your risk and may even provide higher returns in the long run.

You can find the rebalance worksheet in our article Here Is The Most Easy To Use Portfolio Rebalance Tool

Conclusion

Which portfolio do you use? Do you think a David Booth portfolio is right for you?

After having read up on David Booth portfolios, I encourage you to find other great portfolios right here on portfolioeinstein.com.

I would love to hear from you!

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