MutualFundWire.com: 14 ETF Cash Cows and Counting

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Thursday, May 8, 2025

14 ETF Cash Cows and Counting

The team at a $39-billion-AUM (as of May 2, 2025) fund firm are expanding their flagship series with two more index funds.

Yesterday (May 7), Sean O'Hara, president of Pacer ETF Distributors, unveiled the launch of the Pacer Cash COWZ 100-Nasdaq 100 Rotator ETF (QQWZ on the Nasdaq) and the Pacer S&P 500 Quality FCF Aristocrat ETF (LCOW on the Cboe BZX). Malvern, Pennsylvania-based Pacer Advisors, Inc. [profile] serves as investment advisor to both ETFs.

The dual debut expands Pacer's $30-billion-AUM Cash Cows series to 14 funds in total.

LCOW and QQWZ's inception date was Tuesday (May 6), and both new ETFs come with an expense ratio of 49 basis points. As of yesterday, QQWZ had about $995,000 in AUM, while LCOW had about $1.496 million.

S&P Dow Jones Indices LLC serves as index provider for LCOW, which is designed to track the S&P 500 Quality FCF Aristocrats Index. Pacer's own Index Design Group (IDG) serves as index provider to QQWZ, which is designed to track the Cash COWZ 100-Nasdaq 100 Rotator Index. Both new funds are PM by the same duo: Bruce Kavanaugh, vice president at Pacer; and Danke Wang, portfolio manager.

O'Hara puts the launch of QQWZ and LCOW in the context of recent market volatility, noting that FAs "need a resilient toolkit to help clients navigate uncertainty with confidence."

"With the launch of QQWZ and LCOW, we are offering two distinct strategies that apply the strength of free cash flow in different ways. One provides tactical rotation between market styles, and the other emphasizes long-term quality through consistent fundamentals," O'Hara states. "Both are built to help advisors and investors navigate uncertainty and construct stronger, more resilient portfolios."

LCOW and QQWZ are both passively managed, non-diversified series of the Pacer Funds Trust. Their other service providers include:

Pacer Financial, Inc. as distributor;

Practus LLP as counsel;

Sanville & Company as independent accounting firm;

U.S. Bank Global Fund Services as administrator, fund accountant, index receipt agent, and transfer agent; and

U.S. Bank N.A. as custodian and securities lending agent.