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:
Alpha + beta

Structure:
Alternative ETF

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:
$0.10 per quarter

Exchange:
TSX

Currency:
CAD

Risk Rating:
Medium

DISCLAIMER: This information on this web page does not constitute investment, legal or tax advice. Past performance is not indicative of future results. Any data provided on this web page should not be viewed as a recommendation or solicitation of an offer to buy or sell any securities or investment strategies. The information on this web page is based on market conditions and may fluctuate and change without notice. Accelerate does not accept any liability for any direct, indirect or consequential loss or damage suffered by any person as a result of relying on all or any part of this website and any liability is expressly disclaimed.

Track Record

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 2021-Aug-31

1 Month3 MonthsYTD1 Year3 YearsSince Inception
ATSX2.7%5.1%15.9%12.2%n/a8.9%

Overlay Fund Characteristics as of 2021-Aug-31

Long Short
Number of Securities4141
Average Market Cap ($mm)$7,729$8,744
Beta1.31.0
EBITDA/EV19.0%2.7%
FCF/EV14.1%-1.1%
Trailing Return83.2%14.6%
Pct of 52 Week High90.3%81.2%
Return on Capital23.7%1.0%
Gross Profits/Assets8.6%1.9%
50 DMA to 200 DMA113%100.0%
EPS Revision2.5%-4.5%
Change In Shares0.2%7.5%
Earnings Abnormal Return2.5%-0.4%

Sector Weightings as of 2021-Aug-31

Long Short
Communication Services1.3%-1.0%
Consumer Discretionary8.4%-1.2%
Consumer Staples6.2%-1.1%
Energy7.3%-1.1%
Financials3.8%-2.2%
Health Care1.4%-1.0%
Industrials10.0%-9.2%
Information Technology1.2%-6.1%
Materials10.0%-10.3%
Real Estate0.0%-7.0%
Utilities1.2%-6.9%
Overlay Equity Exposure50.8%-47.0%
S&P/TSX60 Index Exposure100.3%0.0%
TOTAL PORTFOLIO EXPOSURE151.1%-47.0%

Fund Holdings as of 2021-Aug-31

Long Security NameWeight
S&P / TSX 60 Index Futures97.4%
IShares S&P TSX 60 Index ETF2.9%
Cervus Equipment Corp1.6%
Stelco Holdings Inc1.4%
Medical Facilities Corp1.4%
Canaccord Genuity Group Inc1.3%
Westshore Terminals Investment1.3%
Canfor Corp1.3%
Corus Entertainment Inc1.3%
ARC Resources Ltd1.3%
Interfor Corp1.3%
George Weston Ltd1.3%
West Fraser Timber Co Ltd1.3%
Richelieu Hardware Ltd1.3%
Aritzia Inc1.3%
Loblaw Cos Ltd1.3%
BRP Inc1.3%
AGF Management Ltd1.3%
TFI International Inc1.3%
Resolute Forest Products Inc1.3%
Parex Resources Inc1.2%
North West Co Inc/The1.2%
Empire Co Ltd1.2%
Sleep Country Canada Holdings1.2%
Wajax Corp1.2%
Alimentation Couche-Tard Inc1.2%
Baytex Energy Corp1.2%
Canadian Natural Resources Ltd1.2%
CI Financial Corp1.2%
CGI Inc1.2%
Uni-Select Inc1.2%
Brookfield Infrastructure Corp1.2%
Transcontinental Inc1.2%
Linamar Corp1.2%
Capstone Mining Corp1.2%
Hardwoods Distribution Inc1.2%
Frontera Energy Corp1.2%
Russel Metals Inc1.2%
AutoCanada Inc1.2%
Vermilion Energy Inc1.1%
Magna International Inc1.1%
Champion Iron Ltd1.1%
Doman Building Materials Group1.0%

 

Communication ServicesConsumer DiscretionaryConsumer StaplesEnergyFinancialsHealth CareIndustrialsInformation TechnologyMaterialsReal EstateUtilitiesOverlay Equity ExposureS&P/TSX60 Index ExposureTOTAL PORTFOLIO EXPOSURE
-1.0%-1.2%-1.1%-1.1%-2.2%-1.0%-9.2%-6.1%-10.3%-7.0%-6.9%-47.0%0.0%-47.0%
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