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

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 Frequency:
Quarterly

Exchange:
TSX

Currency:
CAD

Risk Rating:
Medium

Reference Portfolio Performance

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 2019-Dec-31

1 Month3 MonthsYTD1 Year3 YearsSince Inception
HDGEn/an/an/an/an/an/a

Under current regulations, fund performance can only be published one year after its inception.

Fund Characteristics as of 2019-Dec-31

Long Short
Number of Securities4440
Average Market Cap ($mm)$45,029$2,285
Beta 0.9 1.2
EBITDA/EV10.7%0.4%
FCF/EV5.0%-12.9%
Trailing Return71.1%-33.1%
Pct of 52 Week High95.5%53.4%
Return on Capital18.5%-20.6%
Gross Profits/Assets9.1%3.9%
50 DMA to 200 DMA118.9%81.3%
EPS Revision0.1%-0.9%
Change In Shares-1.8%5.9%
Earnings Abnormal Return8.4%-9.2%

Sector Weightings as of 2019-Dec-31

Long Short
Communication Services2.7%0.0%
Consumer Discretionary17.8%-8.1%
Consumer Staples5.2%0.0%
Energy8.4%-4.7%
Financials10.6%0.0%
Health Care14.8%-10.1%
Industrials19.9%-8.9%
Information Technology22.7%-9.8%
Materials13.8%-4.4%
Real Estate0.0%0.0%
Utilities0.0%-1.3%
Total Equities115.8%-47.2%

Fund Holdings as of 2019-Dec-31

Long Security NameWeight
Skyworks Solutions Inc3.2%
Geopark Ltd3.1%
K92 Mining Inc3.0%
Torex Gold Resources Inc3.0%
Cirrus Logic Inc3.0%
InfuSystem Holdings Inc2.9%
AudioCodes Ltd2.9%
Applied Materials Inc2.9%
Apple Inc2.9%
Jabil Inc2.8%
United Rentals Inc2.8%
Sanderson Farms Inc2.8%
PC Connection Inc2.8%
Amgen Inc2.7%
Crawford & Company2.7%
DaVita Inc2.7%
Target Corp2.7%
MasTec Inc2.7%
Cogeco Inc2.7%
CI Financial Corp2.7%
Builders FirstSource Inc2.7%
China Biologic Products Holdings Inc2.6%
Alacer Gold Corp2.6%
Reliance Steel & Aluminum Co2.6%
Deluxe Corp2.6%
Computer Modelling Group Ltd2.6%
Phillips 662.6%
Kimball International Inc2.6%
Sportsmans Warehouse Holdings2.6%
Northern Trust Corp2.6%
Murphy USA Inc2.6%
BMC Stock Holdings Inc2.6%
Universal Forest Products Inc2.6%
Zumiez Inc2.6%
MSCI Inc2.6%
BRP Inc2.5%
Schweitzer-Mauduit International Inc2.5%
John B Sanfilippo & Son Inc2.4%
Lithia Motors Inc2.4%
CSG Systems International Inc2.4%
Corcept Therapeutics Inc2.4%
RH2.4%
AbbVie Inc1.4%
American Woodmark Corp1.3%

 

Short Security NameWeight
Babcock & Wilcox Enterprises-1.4%
Applied Optoelectronics Inc-1.4%
Manitex International Inc-1.4%
Twin Disc Inc-1.4%
Ag Growth International Inc-1.3%
Lovesac Co-1.3%
Wayfair Inc-1.3%
Occidental Petroleum Corp-1.3%
Inovio Pharmaceuticals Inc-1.3%
Pluralsight Inc-1.3%
New Jersey Resources Corp-1.3%
2U Inc-1.3%
Calyxt Inc-1.3%
Benefitfocus Inc-1.3%
UroGen Pharma Ltd-1.3%
Canfor Pulp Products Inc-1.2%
Roadrunner Transportation Systems Inc-1.2%
Arlo Technologies Inc-1.2%
Twilio Inc-1.2%
Veoneer Inc-1.2%
Carrols Restaurant Group Inc-1.2%
Drive Shack Inc-1.2%
Titan International Inc-1.2%
KalVista Pharmaceuticals Inc-1.2%
Nexa Resources SA-1.2%
Laredo Petroleum Inc-1.1%
Hudbay Minerals Inc-1.1%
Contura Energy Inc-1.1%
Five Prime Therapeutics Inc-1.1%
SandRidge Energy Inc-1.1%
Immersion Corp-1.1%
Eloxx Pharmaceuticals Inc-1.1%
Synchronoss Technologies Inc-1.1%
Aerie Pharmaceuticals Inc-1.0%
Grubhub Inc-1.0%
Concrete Pumping Holdings Inc-1.0%
Dynavax Technologies Corp-0.9%
Gritstone Oncology Inc-0.9%
LSB Industries Inc-0.9%
At Home Group Inc-0.8%
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