SOURCE: Bloomberg, S&P
DISCLAIMER: Results of the Accelerate Enhanced 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 performance 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 Enhanced Index strategy holds the TSX Composite index stocks along with a 50% long / 50% short portfolio overlay. The strategy is designed to outperform the TSX Composite Index with similar volatility to the index. The Enhanced Index strategy has a novel fee model with 0% management fee and an annual incentive fee based on the Enhanced Index’s outperformance over the benchmark TSX Composite.
The overlay portfolio is long / overweight Canadian stocks with the highest expected return and short / underweight Canadian stocks with the lowest (or negative) expected return.
Stock selection of the overlay portfolio is driven by an integrated multi-factor approach consistent with financial theory. The strategy bets on stock market anomalies that have persisted in the Canadian markets including:
Value • Quality • Price Momentum • Operational Momentum • Trend
