Victoryshares Small Cap Free Cash Flow ETF is a passively managed ETF with an FCF yield-centered strategy mixing the value and growth factors. At this point, SFLO has a 200 equities-strong portfolio, heavy in energy and industrials, with a massive adjusted weighted average earnings yield of 8.7% and a 13.3% levered FCF margin. Its performance leaves a lot to be desired, in part as it has been hypersensitive to the trade war, mostly owing to its exposure to SMID energy companies.
Advisors and investors looking to increase their exposure to small caps may want to consider the VictoryShares Small Cap Free Cash Flow ETF (SFLO). Small caps remain an asset class investors have been closely watching this year, particularly as concerns around technology stock concentration, valuations, and artificial intelligence (AI) resilience persist.
The ETF flow leader board tends to show many large funds getting even larger. However, when I looked last week, one more moderately sized ETF caught my eye.
SFLO SFLO In 4 days Estimated | Monthly | $0.04 Per Share |
SFLO SFLO 3 weeks ago Paid | Monthly | $0.04 Per Share |
SFLO SFLO 1 month ago Paid | Monthly | $0.02 Per Share |
SFLO SFLO 2 months ago Paid | Monthly | $0.05 Per Share |
SFLO SFLO 3 months ago Paid | Monthly | $0.04 Per Share |
SFLO SFLO 4 months ago Paid | Monthly | $0.02 Per Share |
SFLO SFLO In 4 days Estimated | Monthly | $0.04 Per Share |
SFLO SFLO 3 weeks ago Paid | Monthly | $0.04 Per Share |
SFLO SFLO 1 month ago Paid | Monthly | $0.02 Per Share |
SFLO SFLO 2 months ago Paid | Monthly | $0.05 Per Share |
SFLO SFLO 3 months ago Paid | Monthly | $0.04 Per Share |
SFLO SFLO 4 months ago Paid | Monthly | $0.02 Per Share |
NASDAQ (NMS) Exchange | US Country |
The company operates as an investment fund focusing primarily on equity securities with small market capitalizations in the United States. Its investment strategy emphasizes selecting companies with high free cash flow yields, aiming to generate substantial returns for its investors. By investing at least 80% of its assets in securities within a specific Index and in equity securities that meet its small market cap criteria, the fund adheres to a disciplined investment approach designed to tap into the growth potential of smaller companies with robust financial health.
This product focuses on investing in small market capitalization companies that show potential for high returns. By targeting these specific equities, the fund seeks to leverage the growth opportunities inherent in smaller firms that are often overlooked by larger investors, offering a unique blend of risk and reward to its clientele.
The fund's investment strategy is heavily anchored to a particular index which is composed of U.S. issuers characterized by high free cash flow yields. This method provides a structured approach to selecting investments, emphasizing companies that not only have small market capitalizations but also demonstrate financial robustness through significant free cash flows.