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-Dec-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-Dec-31

Long Short
Number of Securities4039
Average Market Cap ($mm)$7,713$3,344
Beta 0.9 0.9
EBITDA/EV11.2%9.8%
FCF/EV3.9%-2.3%
Trailing Return59.0%-13.6%
Pct of 52 Week High94.1%71.1%
Return on Capital16.3%-2.2%
Gross Profits/Assets6.3%2.9%
50 DMA to 200 DMA111%90.4%
EPS Revision2.6%-1.4%
Change In Shares-0.5%0.3%
Earnings Abnormal Return4.5%-3.8%

Overlay Sector Weightings as of 2019-Dec-31

Long Short
Communication Services3.9%0.0%
Consumer Discretionary7.6%-2.2%
Consumer Staples4.7%-4.0%
Energy5.5%-9.8%
Financials5.2%-3.1%
Health Care0.0%-3.4%
Industrials9.2%-3.8%
Information Technology3.8%-4.7%
Materials11.2%-9.8%
Real Estate0.0%-5.0%
Utilities1.3%-1.3%
Total Equities52.3%-47.1%

Fund Holdings as of 2019-Dec-31

Long Security NameWeight
S&P / TSX 60 Index Futures101.8%
IShares S&P TSX 60 Index ETF1.5%
Parex Resources Inc1.5%
B2Gold Corp1.5%
K92 Mining Inc1.4%
Torex Gold Resources Inc1.4%
Silvercorp Metals Inc1.4%
Gibson Energy Inc1.4%
Kirkland Lake Gold Ltd1.4%
Richelieu Hardware Ltd1.4%
Centerra Gold Inc1.4%
Leons Furniture Ltd1.4%
Stantec Inc1.4%
Alacer Gold Corp1.4%
Parkland Fuel Corp1.3%
Superior Plus Corp1.3%
Boyd Group Services Inc1.3%
Air Canada1.3%
National Bank of Canada1.3%
K-Bro Linen Inc1.3%
Quebecor Inc1.3%
Cogeco Inc1.3%
Genworth MI Canada Inc1.3%
CI Financial Corp1.3%
CGI Inc1.3%
Cogeco Communications Inc1.3%
BRP Inc1.3%
Aritzia Inc1.3%
Constellation Software Inc1.3%
Major Drilling Group International Inc1.3%
Ritchie Bros Auctioneers Inc1.3%
Computer Modelling Group Ltd1.3%
Home Capital Group Inc1.3%
Magna International Inc1.3%
Real Matters Inc1.2%
Kinaxis Inc1.2%
Alimentation Couche-Tard Inc1.2%
GDI Integrated Facility Service1.2%
Metro Inc1.2%
Loblaw Companies Ltd1.2%
Canadian Tire Corp Ltd1.2%
Empire Company Ltd1.1%

 

Short Security NameWeight
BlackBerry Ltd-1.5%
Osisko Gold Royalties Ltd-1.4%
Husky Energy Inc-1.4%
Vermilion Energy Inc-1.4%
Kelt Exploration Ltd-1.4%
Lightspeed POS Inc-1.4%
OceanaGold Corp-1.4%
Mav Beauty Brands Inc-1.4%
PrairieSky Royalty Ltd-1.4%
Ag Growth International Inc-1.3%
Maple Leaf Foods Inc-1.3%
West Fraser Timber Co Ltd-1.3%
NFI Group Inc-1.3%
Fortis Inc-1.3%
Alcanna Inc-1.3%
Laurentian Bank of Canada-1.3%
ShawCor Ltd-1.3%
SmartCentres Real Estate Inves-1.3%
Premier Gold Mines Ltd-1.3%
Morguard Corp-1.3%
Morguard North American Reside-1.3%
Stelco Holdings Inc-1.2%
MTY Food Group Inc-1.2%
Brookfield Property Partners LP-1.2%
Canfor Pulp Products Inc-1.2%
Canaccord Genuity Group Inc-1.2%
Knight Therapeutics Inc-1.2%
SNC-Lavalin Group Inc-1.2%
Aurinia Pharmaceuticals Inc-1.1%
Chartwell Retirement Residence-1.1%
Bonterra Energy Corp-1.0%
NuVista Energy Ltd-1.0%
Total Energy Services Inc-1.0%
Dorel Industries Inc-1.0%
Absolute Software Corp-1.0%
Hudbay Minerals Inc-1.0%
Ivanhoe Mines Ltd-0.9%
Sierra Wireless Inc-0.9%
Sprott Inc-0.6%
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