JQUA vs VFLO

JQUAAJPMorgan U.S. Quality Factor ETF

VFLOBVictoryShares Free Cash Flow ETF

In short

JQUA Quality investing without the quality price tag. JQUA screens U.S. companies for profitability and strong balance-sheet traits, and charges 0.12%, the lowest fee in the quality-factor group we track.

VFLO Free cash flow investing with a growth guardrail. VFLO holds about 50 US large caps chosen for high cash flow yields, screened so it isn't just buying whatever looks cheapest. A concentrated bet on companies that actually generate cash.

Stated mandate

JQUA JQUA is designed to provide domestic equity exposure focused on companies with strong quality and profitability characteristics, using a rules-based approach intended to enhance returns.

VFLO The Fund seeks, before fees and expenses, to closely track the Victory U.S. Large Cap Free Cash Flow Index. It normally invests at least 80% of its assets in securities in that Index.

Why people hold it

• JQUA 0.12% a year, against a roughly 0.29% median for quality-factor funds, and it undercuts the bigger badges QUAL and FQAL at 0.15%.
• About 300 U.S. names selected on quality and profitability: a broad core-shaped sleeve, not a concentrated wager on a dozen balance sheets.
• Live since 2017 and now a multi-billion-dollar, actively traded fund, so it has both a real track record and daily two-way flow.
• One of the stronger implementations in its peer group: it stays close to the JP Morgan US Quality Factor Index it follows while keeping costs at the bottom of the group.

• VFLO The index blends value and growth: high free cash flow yields, but filtered for growth characteristics, so the cheapest names don't automatically make the cut.
• About 50 holdings, so the cash flow screen actually shapes the portfolio instead of getting diluted into a closet index fund.
• The methodology weighs expected free cash flow using forward estimates, not only what a company already banked.vcm.com
• A multi-billion-dollar fund that trades actively, so getting in and out is rarely where the friction shows up.

Worth knowing

• JQUA A quality screen is a tilt, not a shield. Owning profitable companies means owning less of everything else, and that gap cuts both ways.
• Trades actively, though it is not the most heavily traded fund on the quality-factor shelf, which matters more for large orders than small ones.
• Distributions land quarterly and fall out of what the screen owns. Income is a byproduct here, not the mandate.

• VFLO At 0.44%, it costs more than the typical US multifactor fund, and well above broad value options like FNDX (0.25%) or VONV (0.06%).
• Roughly 50 names is real concentration. Sector and single-stock positions can push results a long way from the broad large-cap market, either direction.
• It launched in 2023, so the record is short, and distributions arrive on an irregular cadence rather than a set calendar.

Full JQUA profile⁠

Full VFLO profile⁠