VFLO ETF Outpaces S&P 500 in 2026

VictoryShares’ VFLO ETF has outperformed the S&P 500 both year-to-date and since the fund’s June 21, 2023 inception by targeting companies with high free cash flow. Through April 30, 2026, VFLO’s net asset value rose 7.16% year-to-date while the S&P 500 gained 5.70%. Since launch VFLO’s annualized NAV return is 21.65%, compared with the S&P 500’s 20.80% over the same period.

The fund tracks the Victory U.S. Large Cap Free Cash Flow Index, a rules-based screen that ranks companies by free cash flow yield and growth potential. The index defines expected free cash flow as the average of trailing 12-month free cash flow and forecasted next 12-month free cash flow, and it divides that figure by enterprise value to calculate FCF yield. The index is rebalanced and reconstituted quarterly.

VFLO’s market price return was 7.13% year-to-date through April 30, 2026. Market price and NAV annualized returns since inception were essentially the same at about 21.64%–21.65%. The ETF’s net expense ratio is 0.39% and the gross expense ratio is 0.44%, with fee waivers contractually in place through October 31, 2026; historical performance may reflect periods when waivers applied.

Attribution through April 30, 2026 shows Technology and Energy were primary contributors in 2026. Dell Technologies returned 56.88% year-to-date and added roughly 1.49 percentage points to VFLO’s return. Valero Energy posted a 37.06% total return in calendar 2025 and contributed about 1.03 percentage points to VFLO’s year-to-date return before it was removed at the quarterly rebalance.

Since the ETF’s launch, gains have come from a range of industries. Expedia Group returned 138.90% from June 21, 2023 through April 30, 2026. Vistra gained 545.58% and NRG Energy rose 386.95% over the same span. The fund has also held names that lost value during parts of the track record: Pinterest fell 45.4%, Cognizant Technology Solutions lost 44.6% and Halliburton dropped 39% in portions of the fund’s history. Portfolio weights as of April 30, 2026 included 3.56% in Dell, 2.74% in Expedia and 1.68% in NRG; the fund reported no exposure to Valero, Vistra, Pinterest or Halliburton at that date and a 1.80% weight in Cognizant Class A.

Operational details and risks: ETF shares trade on an exchange at market prices that can differ from NAV. Brokerage commissions affect returns. Quoted returns include reinvestment of dividends and capital gains, and performance for periods greater than one year is annualized. Reported performance may reflect past fee waivers and expense reimbursements; if those end, future returns could be lower. The fund is exposed to the risks of its underlying securities, sector concentrations and company-specific events that could reduce cash generation. Large shareholder activity may increase realized capital gains for remaining investors.

The Victory U.S. Large Cap Free Cash Flow Index is licensed from VettaFi, which receives a licensing fee. VFLO is distributed by Victory Capital Services. Investors are directed to read the fund prospectus at http://www.vcm.com/prospectus for full details on objectives, risks, charges and expenses. Past performance is not a guarantee of future results.