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VictoryShares Launches Minimum Volatility ETF

June 22, 2017

New ETF Aims to Lower Volatility Using an Innovative Multi-Factor Approach

Cleveland, Ohio, June 22, 2017 – Victory Capital today announced that it has launched the VictoryShares US Multi-Factor Minimum Volatility ETF (VSMV), which began trading on the Nasdaq Stock Market® on June 22, 2017. The new ETF seeks to provide investment results that track the performance of the Nasdaq Victory US Multi-Factor Minimum Volatility Index (NQVMVUS), which Victory Capital developed in partnership with Nasdaq.

The Index employs a two-step approach that aims to deliver superior risk-adjusted equity returns, while potentially minimizing overall expected volatility relative to the US broad market. Step one screens for more durable companies by isolating certain characteristics such as momentum, quality, value and growth potential. Step two optimizes the portfolio to ensure diversification and to help reduce overall index volatility.

“We believe our two-step approach improves upon the process used by other minimum volatility ETF offerings available today,” said Mannik Dhillon, President, VictoryShares and Solutions. “We use a multi-factor approach to select a starting universe that has the potential to enhance returns and then optimize the portfolio with the aim of reducing volatility. Many minimum volatility strategies focus only on the latter step.”

The VictoryShares ETF platform, which has grown to approximately $1.5 billion in AUM as of May 31, 2017, is designed to provide investors with rules-based solutions that help bridge the gap between the active and traditional passive elements of their portfolios.

VSMV is the second in a series of new VictoryShares ETFs that track indexes developed with Nasdaq. The VictoryShares Dividend Accelerator ETF (VSDA), which launched in April 2017 and tracks the Nasdaq Victory Dividend Accelerator Index (NQVDIV), targets companies that we believe are mostly likely to grow dividends consistently over time. The new ETFs build on the strong experience that VictoryShares has delivered to clients over the past three years through its 11 ETFs that track Victory Capital’s proprietary CEMP Volatility Weighted Indexes.

“Nasdaq is committed to creating powerful index strategies and methodologies that help investors achieve key outcomes, such as lowering portfolio volatility,” said Dave Gedeon, Vice President and Head of Research & Development at Nasdaq Global Indexes. “We are pleased to partner with VictoryShares to bring a next generation approach to minimum volatility investing to the marketplace."

Visit www.victoryshares.com for more information.

ABOUT VICTORY CAPITAL

Victory Capital is an integrated multi-boutique asset management firm, headquartered in Cleveland, Ohio. As of March 31, 2017, the firm had approximately $56.6 billion in assets under management and advisement.

Victory Capital is comprised of 10 autonomous investment franchises, each with an independent culture and investment approach. The franchises are supported by a robust distribution and operational platform, allowing them to focus solely on investment management.

Victory Capital provides investment advisory services to institutional clients including corporations, nonprofits, public funds, Taft-Hartley and sub-advisory clients through separate accounts and commingled funds. Through its intermediary channel, Victory Capital also offers retail and retirement clients mutual funds and ETFs as well as separately managed accounts through wrap fee programs and access to its investment models through unified managed accounts. For more information, please visit www.vcm.com.

Disclosure:

Carefully consider a fund's investment objectives, risks, charges and expenses before investing. Download a prospectus or summary prospectus containing this and other important information. Read it carefully before investing.

All investing involves risk, including the potential loss of principal.

Victory Capital means Victory Capital Management Inc., the investment adviser of the Victory Capital mutual funds, USAA Mutual Funds and VictoryShares ETFs. Victory Capital mutual funds and USAA Mutual Funds are distributed by Victory Capital Services, Inc. (VCS), an affiliate of Victory Capital. VictoryShares ETFs are distributed by Foreside Fund Services, LLC (Foreside). VCS and Foreside are members of FINRA. VCS and Victory Capital are not affiliated with Foreside. USAA is not affiliated with Foreside, Victory Capital, or VCS. USAA and the USAA logos are registered trademarks and the USAA Mutual Funds and USAA Investments logos are trademarks of United Services Automobile Association and are being used by Victory Capital and its affiliates under license.

Learn more about Foreside at FINRA's BrokerCheck.

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