(VFLO) VictoryShares Free Cash - Ratings and Ratios

Under normal market conditions, the VictoryShares Free Cash Flow ETF (NASDAQ:VFLO) invests at least 80% of its net assets in equity securities included in its underlying index. The fund tracks the S-Network U.S. Equity Free Cash Flow Index, which is designed to measure the performance of U.S. large- and mid-capitalization companies with high free cash flow yield and strong return on invested capital. The index provider employs a rules-based methodology to select 50 companies from the S-Network U.S. Equity Large/Mid-Cap 1000 Index, focusing on firms with robust free cash flow generation and attractive valuations. VFLO aims to replicate the indexs returns by holding all or substantially all of its constituents, ensuring tight tracking error and alignment with the indexs performance.

VFLOs investment strategy emphasizes companies with strong financial health, as measured by free cash flow, which is a key indicator of profitability and ability to generate shareholder value. The funds portfolio is rebalanced quarterly to maintain alignment with its target index, ensuring that the holdings reflect the most current free cash flow metrics and market conditions. Historically, the ETF has shown a bias toward sectors with stable cash flows, such as financials, industrials, and utilities, while maintaining exposure to technology and consumer staples. The funds focus on free cash flow makes it appealing to value-oriented investors seeking exposure to undervalued companies with strong fundamentals.

The VictoryShares Free Cash Flow ETF (VFLO) offers investors exposure to large- and mid-cap U.S. companies with strong free cash flow generation and attractive valuations. Its replication strategy ensures close tracking of the underlying index, making it a suitable option for value-focused investors seeking diversification across sectors with stable cash flows.