← ETFs
Factor - Value
ValueFCF growthUSSmall-capPassive

SFLO — VictoryShares Small Cap Free Cash Flow ETF

SFLO applies Victory's free-cash-flow yield screen to the small-cap universe, targeting profitable, cash-generative companies trading at a discount rather than the broad small-cap index's usual mix of speculative and unprofitable names.

Equity Efficiency:CCapital Efficiency grades how well this ETF delivers equity-side returns relative to the capital and beta it uses, with SPY as the B baseline. Leveraged ETFs score higher when they free up capital for an alpha sleeve. Long/short and factor ETFs are graded on excess return versus SPY, net of costs. SFLO screens for profitable, cash-generative U.S. small caps by free-cash-flow yield. The grade scores its return versus SPY for the equity risk it takes.

SFLO price history

Range
+33.99%
Total return (1Y)
SFLO

Total return (Yahoo adjusted close—dividends and splits per Yahoo), normalized to $10,000 at first available trade date. Educational only.

Strategy

The Victory U.S. Small Cap Free Cash Flow Index first applies profitability screens, then ranks the surviving universe on free-cash-flow yield, calculated as expected free cash flow (the average of trailing 12-month and forward 12-month FCF) divided by enterprise value, favoring names with the strongest yield that also show growth. The index rebalances and reconstitutes quarterly, with liquidity requirements built in to keep trading efficient.

Small-cap FCF investing is a bet that cash conversion, not just accounting earnings, separates durable businesses from index deadweight. Because the screen is quantitative and quarterly, a sharp change in a holding's cash flow between rebalances will not be reflected until the next reconstitution.

Manager and Issuer Pedigree

SFLO is issued by Victory Capital under the VictoryShares brand, using the same free-cash-flow methodology as the firm's large-cap sibling VFLO, extended down into small caps where balance-sheet quality varies far more widely across constituents.

Victory Capital reported approximately $345.1 billion in total assets under management as of July 31, 2026. Victory operates as a multi-affiliate holding company with shared index governance and capital-markets infrastructure across its VictoryShares ETF lineup, giving a small-cap factor fund institutional-grade creation and redemption support.

Outperformance

Outperforms when the market rewards profitable, cash-generative small caps over speculative or unprofitable ones, typically late-cycle or credit-tightening environments where balance-sheet quality and self-funded growth get repriced above story stocks.

Underperforms in speculative small-cap rallies driven by low-quality, cash-burning names, or when rate cuts fuel a broad small-cap beta rally that does not discriminate on fundamentals; the favorable setup is a small-cap tape where quality and cash flow actually drive dispersion.

Similar ETFs

TickerNameScoreMERAUM
SFLOVictoryShares Small Cap Free Cash Flow ETFC0.49%~$481M
COWZPacer U.S. Cash Cows 100 ETFB0.49%~$30B
VFLOVictoryShares Free Cash Flow ETFA+0.44%~$6B
AVUVAvantis U.S. Small Cap Value ETFB0.25%~$24B
GARPiShares MSCI USA Quality GARP ETFA0.15%~$2.6B
AVDVAvantis International Small Cap Value ETFA0.36%~$15B
SGRTSMART Earnings Growth 30 ETFA+0.59%~$58M
VAMOCambria Value and Momentum ETFA0.65%~$83M
COPYTweedy, Browne Insider + Value ETFA+0.80%~$367M

Official ETF page

Read the official ETF page for current NAV, holdings, and documents: VictoryShares (SFLO).

Beta and MER may not be accurate.
Educational content only; not investment advice. Past performance does not guarantee future results.