For educational purposes only. Nothing on this site constitutes investment advice. Disclaimers
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.
SFLO price history
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
| Ticker | Name | Score | MER | AUM |
|---|---|---|---|---|
| SFLO | VictoryShares Small Cap Free Cash Flow ETF | C | 0.49% | ~$481M |
| COWZ | Pacer U.S. Cash Cows 100 ETF | B | 0.49% | ~$30B |
| VFLO | VictoryShares Free Cash Flow ETF | A+ | 0.44% | ~$6B |
| AVUV | Avantis U.S. Small Cap Value ETF | B | 0.25% | ~$24B |
| GARP | iShares MSCI USA Quality GARP ETF | A | 0.15% | ~$2.6B |
| AVDV | Avantis International Small Cap Value ETF | A | 0.36% | ~$15B |
| SGRT | SMART Earnings Growth 30 ETF | A+ | 0.59% | ~$58M |
| VAMO | Cambria Value and Momentum ETF | A | 0.65% | ~$83M |
| COPY | Tweedy, Browne Insider + Value ETF | A+ | 0.80% | ~$367M |
Official ETF page
Read the official ETF page for current NAV, holdings, and documents: VictoryShares (SFLO).