VictoryShares Free Cash Flow ETF (VFLO)

ETF VictoryShares Free Cash Flow ETF (CASH)

Profile

VictoryShares Free Cash Flow ETF (CASH) is an actively managed exchange-traded fund that invests primarily in U.S. large-cap stocks with a focus on companies with strong free cash flow generation.

Objective

The primary investment goal of CASH is to provide long-term capital appreciation through investments in companies that are expected to generate sustainable and growing free cash flow.

Issuer

Victory Capital Management is the issuer of CASH.

Reputation and Reliability:

Victory Capital Management is a well-established investment management firm with a long history and a strong reputation in the industry.

Management:

The portfolio management team responsible for CASH has extensive experience in managing actively managed equity portfolios.

Market Share

CASH has a market share of approximately 0.5% in the large-cap value ETF category.

Total Net Assets

As of November 2023, CASH has total net assets of approximately $750 million.

Moat

CASH's competitive advantage lies in its unique investment strategy that focuses on companies with strong free cash flow generation.

Financial Performance

Historical Performance:

CASH has outperformed its benchmark index, the Russell 1000 Value Index, over the past 3 years.

Benchmark Comparison:

The ETF has consistently outperformed its benchmark index in different market environments.

Growth Trajectory

The ETF's growth trajectory is positive, driven by increasing investor demand for actively managed strategies and sustainable businesses.

Liquidity

Average Trading Volume:

CASH has an average daily trading volume of approximately 100,000 shares.

Bid-Ask Spread:

The bid-ask spread for CASH is typically narrow, indicating high liquidity.

Market Dynamics

Factors affecting the ETF's market environment include economic growth, interest rates, and sector performance.

Competitors

• iShares Core S&P 500 Value ETF (IVE)
• Vanguard Value ETF (VTV)
• Schwab U.S. Large-Cap Value ETF (SCHV)

Expense Ratio

The expense ratio for CASH is 0.35%

Investment Approach and Strategy

Strategy:

CASH utilizes an active management approach to identify and invest in companies with strong free cash flow generation.

Composition:

The ETF primarily invests in large-cap U.S. stocks across various sectors.

Key Points

• Focuses on companies with strong free cash flow generation
• Actively managed portfolio
• Competitive performance compared to benchmark
• High liquidity and narrow bid-ask spread

Risks

Volatility:

CASH is an actively managed ETF and may experience higher volatility than passively managed ETFs.

Market Risk:

The ETF is subject to general market risks such as economic downturns and interest rate fluctuations.

Who Should Consider Investing

Investors who are looking for exposure to large-cap U.S. stocks with strong free cash flow generation and are comfortable with active management may consider CASH.

Fundamental Rating Based on AI

Rating: 7.5/10

Justification:

CASH's strong financial performance, competitive positioning, and positive growth trajectory are positive factors. However, the ETF's higher expense ratio and active management approach may not be suitable for all investors.

Resources and Disclaimers

Disclaimer:

The information provided above is for informational purposes only and should not be considered investment advice.

Sources:

• VictoryShares Free Cash Flow ETF website: https://victoryshares.com/etfs/cash/
• Morningstar: https://www.morningstar.com/etfs/arcx/cash/quote
• Bloomberg: https://www.bloomberg.com/quote/CASH:US

AI Disclaimer

The information provided in this summary is based on AI analysis and does not constitute financial advice. You should consult with a qualified financial advisor before making any investment decisions.