Dimensional was founded in Brooklyn[4] in 1981 by David Booth, Rex Sinquefield and Larry Klotz.

[5] Dimensional maintains additional U.S. offices in Charlotte, North Carolina and Santa Monica, California.

[7] Dimensional was one of the earliest firms to offer passive investing and "runs the oldest small-cap index fund" in the United States.

[8] However, the firm's versions of index funds have the flexibility to trade daily[9] and skew towards smaller company stocks and value stocks; They operate differently from most index funds which rebalance on specific dates and are weighted by market capitalization.

[15] Researcher Robert C. Merton left SmartNest's board after the purchase and became a Resident Scientist at Dimensional.