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-Aug-30

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-Aug-30

Long Short
Number of Securities4340
Average Market Cap ($mm)$11,533$2,308
Beta 0.9 1.0
EBITDA/EV10.7%8.8%
FCF/EV4.5%-3.3%
Trailing Return38.7%-33.0%
Pct of 52 Week High91.7%54.3%
Return on Capital15.7%-4.0%
Gross Profits/Assets6.7%3.0%
50 DMA to 200 DMA114%87.0%
EPS Revision-1.4%-17.8%
Change In Shares1.2%12.3%
Earnings Abnormal Return1.7%-2.8%

Overlay Sector Weightings as of 2019-Aug-30

Long Short
Communication Services6.1%-1.3%
Consumer Discretionary3.8%-4.8%
Consumer Staples5.3%-2.2%
Energy4.8%-11.1%
Financials2.5%0.0%
Health Care1.9%-2.4%
Industrials10.6%-8.0%
Information Technology3.8%-3.7%
Materials10.8%-10.7%
Real Estate1.2%-1.2%
Utilities2.4%0.0%
Total Equities53.1%-45.4%

Fund Holdings as of 2019-Aug-30

Long Security NameWeight
S&P / TSX 60 Index Futures93.2%
IShares S&P TSX 60 Index ETF6.0%
Kirkland Lake Gold Ltd2.0%
Boyd Group Income Fund1.4%
Loblaw Cos Ltd1.4%
ERO Copper Corp1.4%
Real Matters Inc1.4%
Cogeco Communications Inc1.4%
Silvercorp Metals Inc1.4%
Cogeco Inc1.4%
High Liner Foods Inc1.3%
BCE Inc1.3%
Viemed Healthcare Inc1.3%
Polaris Infrastructure Inc1.3%
Canadian Pacific Railway Ltd1.3%
Equitable Group Inc1.3%
Alimentation Couche-Tard Inc1.3%
CGI Inc1.3%
Dollarama Inc1.3%
Evertz Technologies Ltd1.3%
Wesdome Gold Mines Ltd1.3%
North American Construction Group1.3%
Empire Co Ltd1.3%
Calian Group Ltd1.2%
Constellation Software Inc/Can1.2%
GDI Integrated Facility Services1.2%
Canacol Energy Ltd1.2%
Gran Colombia Gold Corp1.2%
Canadian National Railway Co1.2%
FirstService Corp1.2%
Genworth MI Canada Inc1.2%
Parex Resources Inc1.2%
Rogers Communications Inc1.2%
Nutrien Ltd1.2%
SEMAFO Inc1.2%
Labrador Iron Ore Royalty Corp1.2%
Questor Technology Inc1.2%
Aritzia Inc1.2%
Badger Daylighting Ltd1.1%
TFI International Inc1.1%
Heroux-Devtek Inc1.1%
Superior Plus Corp1.1%
DIRTT Environmental Solutions0.9%
Corus Entertainment Inc0.8%
Medical Facilities Corp0.5%

 

Short Security NameWeight
Linamar Corp-1.4%
Seabridge Gold Inc-1.4%
CanWel Building Materials Group-1.3%
Tucows Inc-1.3%
McEwen Mining Inc-1.3%
Valeura Energy Inc-1.3%
Alcanna Inc-1.3%
Stingray Group Inc-1.3%
Encana Corp-1.3%
Kinder Morgan Canada Ltd-1.3%
Aurinia Pharmaceuticals Inc-1.3%
Canfor Pulp Products Inc-1.3%
Endeavour Silver Corp-1.3%
West Fraser Timber Co Ltd-1.3%
Bird Construction Inc-1.2%
Husky Energy Inc-1.2%
BlackBerry Ltd-1.2%
Pinnacle Renewable Energy Inc-1.2%
Brookfield Property Partners LP-1.2%
Uni-Select Inc-1.2%
Alithya Group Inc-1.2%
Interfor Corp-1.2%
Bonterra Energy Corp-1.2%
Ag Growth International Inc-1.2%
Bombardier Inc-1.2%
Rocky Mountain Dealerships Inc-1.2%
Transcontinental Inc-1.2%
The Stars Group Inc-1.1%
Trilogy Metals Inc-1.1%
First Quantum Minerals Ltd-1.0%
Golden Star Resources Ltd-1.0%
NuVista Energy Ltd-1.0%
Roots Corp-1.0%
TORC Oil & Gas Ltd-1.0%
ARC Resources Ltd-0.9%
SunOpta Inc-0.9%
Baytex Energy Corp-0.8%
IMV Inc-0.8%
SNC-Lavalin Group Inc-0.8%
CannTrust Holdings Inc-0.4%
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