Investor Reinvestment Decisions Loom as DFA Announces DRP Prices for Active Funds
DFA Australia Limited has announced the Distribution Reinvestment Plan (DRP) issue prices for its Dimensional Australian Core Equity Trust and Australian Value Trust following the September 2025 distribution.
- DRP issue prices set for DACE and DAVA ETFs
- Reinvestment elections due by 5pm AEST on election date
- Units to be issued under DRP on 16 October 2025
- DRP offers investors a way to reinvest distributions automatically
- Detailed statements to be provided post distribution
DFA Australia Announces DRP Issue Prices
DFA Australia Limited has revealed the Distribution Reinvestment Plan (DRP) issue prices for two of its actively managed exchange-traded funds (ETFs) listed on the ASX AQUA market. Following the final distribution for September 2025, the Dimensional Australian Core Equity Trust – Active ETF (ASX – DACE) and the Dimensional Australian Value Trust – Active ETF (ASX – DAVA) have set their DRP issue prices at $18.4141 and $29.5221 per unit respectively.
What This Means for Investors
The DRP allows investors to automatically reinvest their distributions back into the funds by purchasing additional units at the specified issue prices. This mechanism can be an efficient way for investors to compound their holdings without incurring brokerage fees or needing to actively manage the reinvestment process. Investors interested in participating must make their election by 5pm AEST on the designated election date, with the new units expected to be issued on 16 October 2025.
Context and Considerations
Distribution reinvestment plans are a common feature among ETFs and managed funds, providing a streamlined option for investors to grow their positions. While the announcement does not disclose the level of investor participation or the impact on the funds’ capital base, the DRP issue prices offer a transparent reference point for reinvestment decisions. It is also notable that DFA Australia emphasizes the importance of investors reviewing the Product Disclosure Statements and target market determinations to ensure alignment with their financial goals.
Looking Ahead
As the DRP units are issued mid-October, market watchers will be keen to observe the uptake rate and any subsequent influence on the liquidity and performance of these ETFs. Given the active management style of these funds, reinvestment flows could also provide insights into investor confidence in the underlying strategies amid the current market environment.
Bottom Line?
The upcoming DRP unit issuance will reveal investor appetite for reinvestment in DFA’s active Australian equity ETFs.
Questions in the middle?
- What proportion of investors will opt into the DRP this cycle?
- How might reinvestment flows affect the liquidity and pricing of DACE and DAVA units?
- Will the DRP uptake signal broader investor confidence in active Australian equity strategies?
