On October 9, 2025, Lifestyle Asset Management, Inc. disclosed a complete exit from VictoryShares Free Cash Flow ETF(VFLO), selling all shares in a trade estimated at approximately $7 million during Q3.
What happened
Lifestyle Asset Management, Inc. reported the sale of its entire position in Victory Portfolios II - VictoryShares Free Cash Flow ETF(VFLO), according to a filing with the Securities and Exchange Commission dated October 9, 2025. The fund sold 196,863 shares, with the trade’s estimated value at $6.96 million, based on average prices during the quarter.
What else to know
This was a full sell-out; VFLO previously represented 3.2% of AUM but now represents 0% of the fund’s 13F reportable assets.
Top holdings as of September 30, 2025:
- SPY: $37.2 million (12.7% of AUM)
- IBND: $14.8 million (5% of AUM)
- SDVY: $13.7 million (4.7% of AUM)
- AGG: $12.1 million (4.1% of AUM)
- CWB: $11.3 (3.9% of AUM)
As of October 15, 2025, shares of were priced at $37.36, up 10% YTD, underperforming the S&P 500 by 4.2 percentage points.
ETF overview
| Metric | Value |
|---|---|
| Price (as of October 15, 2025) | $37.36 |
| Dividend yield | 1.44% |
| 1-year total return | 10% |
ETF snapshot
- The investment strategy focuses on tracking an index of 50 large- and mid-cap U.S. companies using a rules-based methodology.
- Portfolio composition is diversified across constituents of the S-Network US Equity Large/Mid-Cap 1000 Index, with holdings designed to replicate index performance before fees and expenses.
- Structured as an ETF with a transparent, passively managed approach, it is designed for investors seeking exposure to free cash flow leaders.
- VictoryShares Free Cash Flow ETF (VFLO) offers investors access to a curated basket of U.S. large- and mid-cap equities. The fund follows a systematic, index-tracking strategy. VFLO's disciplined methodology provides a targeted solution for capturing the performance of companies within a single ETF.
Foolish take
Lifestyle Asset Management has fully exited its position in the VictoryShares Free Cash Flow ETF (VFLO), selling off roughly $7 million worth. This looks like a strategic portfolio adjustment after a pretty solid year for the fund. VFLO has actually gained about 10% this year through mid-October, which is a bit behind the S&P 500, but still a decent showing in a volatile market. The ETF used to be a smaller part of Lifestyle Asset Management’s holdings, suggesting this sale is more about reallocating funds rather than a negative view of VFLO itself.
VFLO tracks an index of large- and mid-cap U.S. companies that generate a lot of free cash flow—a key indicator of financial health that helps with dividends, paying down debt, and reinvesting in the business. Its passive, rules-based approach is appealing to investors who want consistent exposure to profitable companies without active management fees. So, while Lifestyle Asset Management has moved on, VFLO remains a diversified option for investors who prioritize strong cash flow in their equity portfolios.
Glossary
ETF: Exchange-Traded Fund, a security tracking an index or basket of assets, traded like a stock.
13F reportable assets: Securities holdings that institutional investment managers must disclose quarterly to the SEC if above a certain threshold.
AUM: Assets Under Management, the total market value of investments managed by a fund or firm.
Dividend yield: Annual dividends paid by an investment, expressed as a percentage of its current price.
Total return: The investment's price change plus all dividends and distributions, assuming those payouts are reinvested.
Index-tracking strategy: An investment approach aiming to replicate the performance of a specific market index.
Passively managed: A fund management style that aims to mirror an index rather than actively select investments.
Rules-based methodology: Investment selection guided by predefined, systematic criteria rather than manager discretion.
Constituents: The individual securities or companies that make up an index or portfolio.
Free cash flow: The cash a company generates after accounting for capital expenditures, available for dividends, debt repayment, or reinvestment.
