Universal Principles, Global Solutions


Robert Merton and David Booth discuss why Dimensional’s investment approach has global appeal.


Today, through technology and through the understanding of sciencifness, we are in a position to design something that is truly a political solution, where you adjust pieces to adapt to different countries' needs, different countries' cultural elements, and so forth. But it's really one solution which allows you to do many, many more things that weren't even thinkable before. One way it shows up that I've only just been focusing on in the last few years, is the ideas around which we built a firm, as we often say, are bigger than the firm itself. It doesn't just work in the United States. It can work in Asia, Latin America, anywhere in the world. It can actually work within systems that are culturally, politically, even to some degree institutionally, quite different. Right. Same principles apply. So what this means is, it's as we've already done in places like retirement. Things are designed for a global solution. Not just to work in one or another country. Not because we knew we were gonna do it for them. What we know is, we built these things to be universal. Because they're based on finance principles. And you've said it extremely well. I'd only add that and when you look at, say governments or whatever, if you look at their alternate, there aren't many people coming out and expressing these ideas. And so we still have that missionary kind of enthusiasm, because we think we have, we're going down the right approach. I think we are at a place where we have the resources, the client base, still the connection with the leading thinkers like yourself, and Gene Fama, and Ken French, as well as our own internal research group. I think we are in a position to really make a big change. And that it's also more, and make all these types of services and ideas, get them into the hands of more and more people. And I think if we do that, then when we look back on it we will hopefully feel like we've accomplished what you set out to do, and I think I set out to do in the first place, which is, can we use these ideas to help people?

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