AVERAGE ANNUAL TOTAL RETURNS (%)

Past performance does not necessarily indicate future performance. The investment returnand principal value will fluctuate so that an investment's shares, when redeemed, may beworth more or less than their original cost.

GROWTH OF $100,000

BEST/WORST RETURNSSince Fund Inception Best Worst

Three-Month Total Return 68.13%(3/09-5/09)

-46.42%(9/08-11/08)

One-Year Total Return 124.13%(3/09-2/10)

-60.49%(11/07-10/08)

Three-Year Annualized Average Return 46.83%(4/03-3/06)

-12.96%(4/00-3/03)

Five-Year Annualized Average Return 42.77%(11/02-10/07)

1.89%(4/98-3/03)

INVESTMENT OBJECTIVE

The Emerging Markets Small Cap Portfolio is ano-load mutual fund designed to achieve long-termcapital appreciation. The Portfolio pursues itsobjective by investing in emerging markets equitysecurities that Dimensional deems to be smallcompany stocks at the time of purchase. Dimensionalwill consider, among other things, informationdisseminated by the International FinanceCorporation in determining and approving countriesthat have emerging markets. The Portfolio will investin companies whose market capitalization is less than$2.3 billion. The Portfolio currently invests incompanies in Brazil, Chile, China, Hungary, India,Indonesia, Israel, Malaysia, Mexico, the Philippines,Poland, South Africa, South Korea, Taiwan,Thailand, and Turkey. Due to repatriationrestrictions, the Portfolio currently holds but doesnot purchase securities in Argentina.

PRINCIPAL RISKS

The principal risks associated with this emergingmarkets investment are market risk, emergingmarkets risk, small company risk, and foreignsecurities and currencies risk. Small companiesare often less liquid than large companies, andthus their value may fluctuate more. The value ofsecurities in foreign markets may be affected bylocal political events, taxes, and accountingstandards. Risks may be more pronounced inemerging markets with less establishedeconomies. These risks are described in thePrincipal Risks section of the prospectus,available at dimensional.com.

Net dividends index data not available since fundinception. *Daily index data not available at the inceptionof the fund (3/5/1998). Index return is from the first fullmonth of fund inception.

FUND COSTS

Total Operating Expense Ratio 0.80%

Net Expense Ratio (to investor) 0.80%

Annual expense ratio as of 10/31/2009. The fund'sprospectus contains more complete information on risks,advisory fees, expense reimbursements, and otherexpenses. Prior to April 2002, the returns shown reflect areimbursement fee of 1.00% of the net asset value at thetime of purchase.

As of March 31, 2010Symbol DEMSXCUSIP 233-203-611Inception Date 3/5/1998

DIMENSIONAL FUND ADVISORS

ASSETS UNDER MANAGEMENT

All Strategies $176.6 Billion

Portfolio $1.3 Billion

COUNTRY ALLOCATIONSCountry Weight (%)

India 12.54China 12.26Taiwan 12.25Brazil 11.55South Korea 11.49South Africa 9.63Mexico 5.66Malaysia 5.65Indonesia 3.64Turkey 2.98Poland 2.79Chile 2.61Thailand 2.60Israel 2.51Philippines 1.59Hungary 0.25

Total may not equal 100% due to rounding.

ABOUT DIMENSIONAL

Working years ahead of the industry, Dimensional has forged a new way to invest based on thedimensions of risk and return identified by financial science. The firm inaugurated its strategiesin 1981 with early research into the stronger performance of small cap stocks. Later, acomprehensive analysis of stock prices worldwide deepened the strategy repertoire and set a newstandard for portfolio design. This evolution reflects an abiding belief in the efficacy of capitalmarkets.

PHILOSOPHY

At Dimensional, we see markets as an ally, not an adversary. We believe competition quicklydrives stock prices to fair value and that persistent differences in average portfolio returns areexplained by differences in average risk. Rather than trying to take advantage of the ways marketsare mistaken, we take advantage of the ways markets are right—the ways they compensateinvestors. Our mission is to deliver the performance of capital markets and increase returnsthrough state-of-the-art portfolio design and trading.

PORTFOLIO CONSTRUCTION

The Emerging Markets Small Cap Portfolio seeks broadly diversified exposure to smallcompanies in the seventeen emerging market countries defined by Dimensional. Size isdetermined by market capitalization. These stocks have historically provided high expectedreturns and low correlations with the stocks of companies in the US and in internationaldeveloped markets.

The portfolio generally invests in the bottom 20% to 40% of the market value in each country.Stocks of less than $50 million are excluded. The fund purchases at least 20 stocks in eachcountry in order to capture the small cap universe.

CHARACTERISTICS

As of 3/31/2010Emerging Markets

Small Cap Portfolio (I)

MSCI EmergingMarkets Index (gross

div.)

Number of Securities 2,486 771Weighted Average Market Cap (millions) $1,374 $47,537Median Market Cap (millions) $335 $4,917Weighted Average Book-to-Market 0.65 0.49Median Book-to-Market 0.66 0.45Price/Earnings (excluding negatives) 13.81 18.13Annual Turnover (as of 10/31/2009) 13% –

Dimensional Fund Advisors is an investment advisor registered with the Securities and Exchange Commission. Consider theinvestment objectives, risks, and charges and expenses of the Dimensional funds carefully before investing. For this and otherinformation about the Dimensional funds, please read the prospectus carefully before investing. Prospectuses are available bycalling Dimensional Fund Advisors collect at (512) 306-7400; on the internet at www.dimensional.com; or, by mail, DFA SecuritiesLLC, c/o Dimensional Fund Advisors, 6300 Bee Cave Road, Building One, Austin, TX 78746. Mutual funds distributed by DFASecurities LLC.

© 2010 Dimensional Fund Advisors. All rights reserved.

AS OF MARCH 31, 2010DIMENSIONAL FUND ADVISORS