Accelerate Enhanced Canadian Benchmark Alternative Fund

About the Fund

The Accelerate Enhanced Canadian Benchmark Alternative Fund (TSX: ATSX) combines exposure to the S&P/TSX 60 plus a long-short Canadian equity overlay designed to add incremental performance above the broad Canadian equity index.

Investment Objectives

  • Outperform the broad Canadian equity index
  • Provide volatility in-line with the broad Canadian equity index
QUICK FACTS

Type:
Long-short equity

Date Started:
May 10, 2019

Management Fee:
0.00%

Performance Fee:
1/2 of outperformance above S&P/ TSX 60 Total Return

Investment Manager:
Accelerate Financial Technologies Inc.

Distribution Frequency:
Quarterly

Exchange:
TSX

Currency:
CAD

Risk Rating:
Medium

Reference Portfolio Performance

Investment Process

In addition to providing exposure to the broad Canadian equity index, either through derivatives, ETFs or the underlying equities, ATSX holds a diversified, long-short equity overlay portfolio of Canadian equities.
To select the long-short overlay portfolio, ATSX utilizes a systematic, proprietary multi-factor model to sort and rank all liquid Canadian stocks based on 5 principle factors:
  1. Value
  2. Quality
  3. Price Momentum
  4. Operating Momentum
  5. Trend

The Fund goes long a portfolio of the highest expected return stocks selected from the top decile ranking from the multi-factor model while going short a portfolio of the lowest expected return stocks selected from the bottom decile ranking. The portfolio is balanced on a monthly basis. The long portfolio is up to 50% of NAV and the short portfolio is up to -50% of NAV.

Performance as of 2019-Oct-31

1 Month3 MonthsYTD1 Year3 YearsSince Inception
ATSXn/an/an/an/an/an/a

Under current regulations, fund performance can only be published one year after its inception.

Overlay Fund Characteristics as of 2019-Oct-31

Long Short
Number of Securities4039
Average Market Cap ($mm)$6,507$2,718
Beta 0.9 1.1
EBITDA/EV12.5%7.7%
FCF/EV5.0%-4.9%
Trailing Return49.0%-29.9%
Pct of 52 Week High92.5%62.4%
Return on Capital15.2%1.8%
Gross Profits/Assets5.9%2.6%
50 DMA to 200 DMA114%83.3%
EPS Revision2.1%-5.6%
Change In Shares-0.4%3.2%
Earnings Abnormal Return2.8%-5.0%

Overlay Sector Weightings as of 2019-Oct-31

Long Short
Communication Services2.7%-1.4%
Consumer Discretionary4.0%-3.6%
Consumer Staples5.9%-2.5%
Energy5.1%-8.7%
Financials4.0%-5.8%
Health Care2.8%-3.6%
Industrials6.6%-2.8%
Information Technology2.5%-5.0%
Materials10.2%-9.6%
Real Estate4.8%-2.5%
Utilities2.5%-1.3%
Total Equities51.2%-46.8%

Fund Holdings as of 2019-Oct-31

Long Security NameWeight
S&P / TSX 60 Index Futures94.9%
IShares S&P TSX 60 Index ETF7.0%
Wesdome Gold Mines Ltd1.6%
BRP Inc1.5%
Viemed Healthcare Inc1.5%
Equitable Group Inc1.4%
Cogeco Communications Inc1.4%
Cogeco Inc1.4%
Home Capital Group Inc1.4%
Air Canada1.3%
Ritchie Bros Auctioneers Inc1.3%
Richelieu Hardware Ltd1.3%
Real Matters Inc1.3%
Information Services Corp1.3%
CRH Medical Corp1.3%
GDI Integrated Facility Services1.3%
Genworth MI Canada Inc1.3%
Calian Group Ltd1.3%
Brookfield Renewable Partners1.3%
Torex Gold Resources Inc1.3%
Questor Technology Inc1.3%
K92 Mining Inc1.3%
Macro Enterprises Inc1.3%
Parkland Fuel Corp1.3%
Orca Exploration Group Inc1.3%
CGI Inc1.3%
Constellation Software Inc/Can1.3%
Silvercorp Metals Inc1.3%
Kirkland Lake Gold Ltd1.3%
Kinross Gold Corp1.3%
Polaris Infrastructure Inc1.2%
Metro Inc/CN1.2%
Alimentation Couche-Tard Inc1.2%
Empire Co Ltd1.2%
Altus Group Ltd/Canada1.2%
Loblaw Cos Ltd1.2%
Colliers International Group I1.2%
Gran Colombia Gold Corp1.2%
Dollarama Inc1.1%
Major Drilling Group Internati1.1%
High Liner Foods Inc1.1%
FirstService Corp1.1%

 

Short Security NameWeight
SNC-Lavalin Group Inc-1.5%
Stelco Holdings Inc-1.4%
Aimia Inc-1.4%
Golden Star Resources Ltd-1.4%
Mav Beauty Brands Inc-1.4%
Ag Growth International Inc-1.4%
Bausch Health Cos Inc-1.3%
McEwen Mining Inc-1.3%
Laurentian Bank of Canada-1.3%
Canada Goose Holdings Inc-1.3%
Sierra Wireless Inc-1.3%
Fiera Capital Corp-1.3%
NorthWest Healthcare Properties-1.3%
Linamar Corp-1.3%
Canaccord Genuity Group Inc-1.3%
Husky Energy Inc-1.3%
BlackBerry Ltd-1.3%
Just Energy Group Inc-1.3%
Brookfield Property Partners LP-1.3%
Tourmaline Oil Corp-1.2%
Celestica Inc-1.2%
GMP Capital Inc-1.2%
Aurinia Pharmaceuticals Inc-1.2%
SunOpta Inc-1.2%
Birchcliff Energy Ltd-1.2%
Peyto Exploration & Development-1.2%
Alithya Group Inc-1.2%
TORC Oil & Gas Ltd-1.2%
Interfor Corp-1.1%
West Fraser Timber Co Ltd-1.1%
NuVista Energy Ltd-1.1%
Greenbrook TMS Inc-1.1%
Encana Corp-1.1%
Hudbay Minerals Inc-1.1%
Methanex Corp-1.1%
Domtar Corp-1.1%
Indigo Books & Music Inc-0.9%
E-L Financial Corp Ltd-0.6%
Valeura Energy Inc-0.5%
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