Pacer Funds Trust - Pacer S&P 500 Quality FCF Aristocrats ETF

Frequently Asked Questions About LCOW

What does LCOW invest in?

LCOW tracks an index of US large-cap equities of companies with constant positive free cash flow (FCF). These securities are also determined as having high FCF margins and return on invested capital (ROIC). Selection begins with the initial index universe comprised of the 500 largest companies in the US equity market. Each company is screened to identify those with positive FCF for at least 10 consecutive years, with the exclusion of the real estate sector and certain financial sector industries. Qualified securities are then given an FCF score based on their five-year average FCF margin and ROIC and ranked accordingly. The top 100 companies with the highest scores are selected for inclusion in the index. Weighting is done based on float-adjusted market-cap along with the respective FCF score. Each constituent weighting is capped at 5% max and floored at 0.05%. Sector weighting is also capped at 40% each. The index is reconstituted and rebalanced on a semi-annual basis.

What is the expense ratio of LCOW?

Pacer Funds Trust - Pacer S&P 500 Quality FCF Aristocrats ETF (LCOW) charges an expense ratio of 0.49%. This is the annual fee deducted from fund assets to cover management and operations.

How big is LCOW?

Pacer Funds Trust - Pacer S&P 500 Quality FCF Aristocrats ETF (LCOW) manages $27.8M in total assets. AUM determines bid-ask liquidity and the fund's vulnerability to closure. Funds below ~$50M are at higher risk of liquidation.

Is LCOW actively managed or an index fund?

LCOW is a passive index fund. It tracks a published benchmark by holding the constituents in their published weights. Index funds typically charge low expense ratios (LCOW's is 0.49%) because there's no security selection cost.

When was LCOW launched?

Pacer Funds Trust - Pacer S&P 500 Quality FCF Aristocrats ETF (LCOW) launched in May 2025 and is managed by Pacer.

How has LCOW performed?

LCOW's total return (price change plus reinvested distributions) is charted at the top of this page. Switch the price chart to Total Return and pick a 1-year, 3-year, 5-year, or 10-year window to read the compound annual growth rate (CAGR) over each horizon.