SOURCE: Bloomberg, S&P
DISCLAIMER: Results of the Accelerate Absolute Return Index are hypothetical and do not reflect investment results attained by any investor. Past performance is not indicative of future results. Performance is net of all estimated trading fees but gross of management fees. Investing involves varying degrees of risk and there can be no assurance that the future performance of any investment strategy will be profitable. This does not constitute investment advice.
The Accelerate Absolute Return strategy is a systematic long-short hedged equity investment strategy designed to outperform the S&P 500 Index with lower volatility. It is typically 110% long equities and 50% short equities. The goal of the short portfolio is to generate positive returns, manage volatility and reduce downside risk.
The strategy buys North American stocks which have the highest expected return and shorts (bets against) North American stocks with the lowest (or negative) expected return.
Stock selection of the long and short portfolios is driven by an integrated multi-factor approach consistent with financial theory.
Effectively, we’re betting on stock market anomalies, or inefficiencies, that have persisted throughout stock market history, including:
Value • Quality • Price Momentum • Operational Momentum • Trend
