On February 6, 2026, Keystone Financial Group disclosed a fourth-quarter purchase of 269,496 shares of VictoryShares Free Cash Flow ETF (NASDAQ:VFLO), an estimated $10.34 million trade based on quarterly average pricing. What happened According to a filing with the Securities and Exchange Commission dated February 6, 2026, Keystone Financial Group purchased an additional 269,496 shares of VictoryShares Free Cash Flow ETF (NASDAQ:VFLO) in the fourth quarter. The estimated transaction value was $10.34 mill ...

Core Insights - Annex Advisory Services, LLC reduced its stake in Victory Portfolios II - VictoryShares Free Cash Flow ETF (NASDAQ: VFLO) by 1,421,755 shares, valued at approximately $54.53 million, leading to a decrease in the fund's quarter-end position value in VFLO by $50.69 million [1][5]. ETF Overview - The VictoryShares Free Cash Flow ETF (VFLO) has an Assets Under Management (AUM) of $5.91 billion, a price of $39.47 as of January 31, 2026, a dividend yield of 1.58%, and a 1-year total return of 10.22% [3]. - VFLO provides exposure to a curated basket of U.S. large- and mid-cap companies, focusing on those with strong free cash flow yields and growth metrics [4]. Transaction Implications - The sale of VFLO shares by Annex is not concerning as VFLO was not among the firm's top five holdings prior to the transaction, and the firm maintains exposure to large-cap stocks through other ETFs [5]. - Following the sale, VFLO represented 1.0486% of Annex Advisory Services, LLC's 13F AUM as of December 31, 2025 [8]. Performance Insights - VFLO achieved a modest return of approximately 10% in 2025, with a total return of 59% since its inception three years ago, indicating a well-positioned fund focused on companies with strong profits [7]. - The strongest sector in VFLO's holdings is healthcare, closely followed by energy and consumer markets [7].

Core Insights - The VictoryShares Free Cash Flow ETF targets U.S. large- and mid-cap equities with strong free cash flow profiles using a rules-based approach [2][5] - Allworth Financial LP reduced its position in the ETF by selling 3,192,152 shares, valued at approximately $105.3 million, bringing its total holdings to 3,512,017 shares worth $131.7 million [2][3] - The ETF's assets under management (AUM) stand at $22.7 billion, with a trailing twelve-month dividend yield of 1.50% [4][6] Performance Metrics - As of December 1, 2025, VFLO shares were priced at $38.80, reflecting a 7.99% increase over the past year, but underperforming the S&P 500 by 5.52 percentage points [3][4] - The ETF's 1-year total return is 7.99%, which is lower than the S&P 500's return of 14.4% [9][10] - Since its inception in June 2023, the fund has returned 61%, matching the S&P 500's total return over the same period [10] Investment Strategy - The ETF employs a transparent, rules-based selection process, focusing on the top 50 stocks with the highest growth prospects based on sales, EBITDA trends, and long-term EPS growth estimates [5][10] - The fund's strategy begins with the largest 400 most profitable U.S. companies and narrows down to the top 75 highest free cash flow-yielding value stocks [9][10] - The ETF has an expense ratio of 0.39%, which is justified by its potential long-term returns despite the availability of cheaper alternatives [11] Market Position - VFLO now represents 0.58% of reported 13F AUM, down from 1.14% in the previous quarter [3] - The ETF is structured to provide daily liquidity and is designed for both institutional and retail investors seeking exposure to high-free-cash-flow equities [6][12] - Despite the reduction in Allworth Financial's stake, the ETF is positioned as a solid investment option for long-term investors interested in free cash flow-generating companies [12]

Group 1 - The VictoryShares Free Cash Flow ETF (NASDAQ: VFLO) is a relatively new fund that was launched in 2023, and its performance will need to be evaluated over time [1] - The fund is positioned within the value investment universe, indicating a focus on companies with strong cash flow generation [1] Group 2 - The author has a background in corporate finance, M&A, and investment analysis, with expertise in financial modeling, valuation, and qualitative analysis [1] - The author aims to share insights and analysis on interesting companies, fostering a dialogue for continuous improvement in investment decision-making [1]