DFTIX

About DFTIX

DFA Intermediate-Term Municipal Bond Portfolio Institutional Class is a mutual fund focused on generating current income that is exempt from federal personal income tax. The portfolio primarily invests in investment-grade municipal securities issued by states, cities, and public authorities to finance infrastructure and essential services, maintaining an intermediate profile with a dollar-weighted average maturity generally between three and ten years. It emphasizes broad diversification across many issuers and sectors within the municipal market, seeking to manage credit risk while providing tax-advantaged income. The fund’s approach aligns with the muni national intermediate category, which typically targets durations in the mid-range and spreads exposure across multiple states to reduce concentration risk. It holds hundreds of individual bonds, reflecting a systematic, research-driven process characteristic of its manager. With a low expense ratio and monthly distributions, the fund serves investors looking for federally tax-exempt income and moderate interest rate sensitivity within a diversified municipal bond allocation.