Accelerate Absolute Return Hedge Fund

About the Fund

The Accelerate Absolute Return Hedge Fund (TSX: HDGE) is a diversified, liquid, and performance-oriented long-short equity hedge fund that seeks to achieve long-term capital appreciation and a superior risk-adjusted return relative to the broader U.S. equity market.

Investment Objectives

  • Target 10-15% annualized returns
  • Generate positive returns irrespective of market direction
  • Hedge downside risk
  • Manage volatility
  • Provide uncorrelated returns
QUICK FACTS

Type:
Long-short equity

Structure:
Alternative ETF

Date Started:
May 10, 2019

Management Fee:
0.00%

Performance Fee:
20% of outperformance over high water mark

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

HDGE utilizes a systematic, proprietary multi-factor model to sort and rank all liquid North American stocks based on five principal 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 rebalanced on a monthly basis.

Performance as of 2021-Aug-31

1 Month3 MonthsYTD1 Year3 YearsSince Inception
HDGE5.0%3.3%10.3%0.1%n/a-5.8%

Fund Characteristics as of 2021-Aug-31

Long Short
Number of Securities4441
Average Market Cap ($mm)$65,819$4,116
Beta1.31.2
EBITDA/EV18.0%-2.8%
FCF/EV13.0%-4.1%
Trailing Return99.7%6.3%
Pct of 52 Week High87.2%64.7%
Return on Capital26.1%-9.0%
Gross Profits/Assets10.5%3.2%
50 DMA to 200 DMA114.8%90.2%
EPS Revision2.9%5.1%
Change In Shares-0.6%9.7%
Earnings Abnormal Return2.0%-1.9%

Sector Weightings as of 2021-Aug-31

Long Short
Communication Services5.3%-2.2%
Consumer Discretionary16.8%-5.6%
Consumer Staples2.4%0.0%
Energy12.4%-3.4%
Financials17.0%-2.9%
Health Care2.9%-5.1%
Industrials20.7%-7.7%
Information Technology11.9%-7.9%
Materials20.7%-6.8%
Real Estate0.0%-1.1%
Utilities0.0%-2.3%
Equity Exposure110.1%-45.0%

Fund Holdings as of 2021-Aug-31

Long Security NameWeight
Grindrod Shipping Holdings Ltd3.5%
Stelco Holdings Inc3.0%
Quipt Home Medical Corp2.9%
Magnolia Oil & Gas Corp2.8%
Bath & Body Works Inc2.7%
Canfor Corp2.7%
Corus Entertainment Inc2.7%
Boise Cascade Co2.7%
Nucor Corp2.7%
Western Forest Products Inc2.6%
Sciplay Corp2.6%
Interfor Corp2.6%
Resolute Forest Products Inc2.5%
Parex Resources Inc2.5%
T Rowe Price Group Inc2.5%
Microsoft Corp2.5%
Masco Corp2.5%
CI Financial Corp2.5%
J2 Global Inc2.5%
Illinois Tool Works Inc2.5%
HP Inc2.5%
DR Horton Inc2.5%
BRP Inc2.5%
Moodys Corp2.4%
Pzena Investment Management Inc2.4%
Discover Financial Services2.4%
Fortune Brands Home & Security2.4%
Empire Co Ltd2.4%
Hardwoods Distribution Inc2.4%
Commercial Metals Co2.4%
Amplify Energy Corp2.4%
Linamar Corp2.4%
Russel Metals Inc2.4%
Donnelley Financial Solutions2.4%
EOG Resources Inc2.4%
Manning & Napier Inc2.3%
Applied Materials Inc2.3%
Earthstone Energy Inc2.3%
Haverty Furniture Cos Inc2.3%
Huttig Building Products Inc2.3%
XPEL Inc2.3%
Champion Iron Ltd2.2%
Revolve Group Inc2.1%
Cambium Networks Corp2.1%

 

Communication ServicesConsumer DiscretionaryConsumer StaplesEnergyFinancialsHealth CareIndustrialsInformation TechnologyMaterialsReal EstateUtilitiesEquity Exposure
-2.2%-5.6%0.0%-3.4%-2.9%-5.1%-7.7%-7.9%-6.8%-1.1%-2.3%-45.0%
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