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

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 2020-Apr-30

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 2020-Apr-30

LongShort
Number of Securities5142
Average Market Cap ($mm)$83,750$1,585
Beta 1.11.2
EBITDA/EV10.2%3.1%
FCF/EV5.6%-5.9%
Trailing Return6.3%-54.5%
Pct of 52 Week High80.4%45.2%
Return on Capital21.3%-9.3%
Gross Profits/Assets10.8%4.5%
50 DMA to 200 DMA94.8%68.4%
EPS Revision-12.4%-0.2%
Change In Shares-2.6%5.1%
Earnings Abnormal Return3.5%-5.1%

Sector Weightings as of 2020-Apr-30

LongShort
Communication Services5.5%-1.0%
Consumer Discretionary19.3%-8.1%
Consumer Staples9.9%0.0%
Energy2.0%-2.0%
Financials18.3%-6.4%
Health Care11.9%-6.0%
Industrials17.9%-6.1%
Information Technology22.5%-10.0%
Materials6.4%-4.2%
Real Estate2.1%-1.3%
Utilities0.0%0.0%
Equity Exposure115.8%-45.2%

Fund Holdings as of 2020-Apr-30

Long Security NameWeight
Lifevantage Corp3.2%
Helen of Troy Ltd2.9%
BRP Inc2.7%
Mastech Digital Inc2.7%
Ameriprise Financial Inc2.6%
HomeStreet Inc2.6%
FMC Corp2.6%
Mettler-Toledo International Inc2.5%
Old Dominion Freight Line Inc2.5%
Gentex Corp2.5%
S&P Global Inc2.5%
RH2.5%
Bruker Corp2.4%
Cable One Inc2.4%
Microsoft Corp2.4%
Cirrus Logic Inc2.4%
Humana Inc2.4%
Leons Furniture Ltd2.4%
MagnaChip Semiconductor Corp2.4%
UnitedHealth Group Inc2.3%
Charter Communications Inc2.3%
Loblaw Cos Ltd2.3%
CI Financial Corp2.3%
Apple Inc2.3%
Copart Inc2.3%
TECSYS Inc2.3%
Intel Corp2.3%
Applied Materials Inc2.3%
Corby Spirit and Wine Ltd2.3%
Moodys Corp2.3%
Illinois Tool Works Inc2.2%
Cerner Corp2.2%
Universal Technical Institute2.2%
Quarterhill Inc2.2%
DR Horton Inc2.2%
Procter & Gamble Co2.2%
Victory Capital Holdings Inc2.1%
Masco Corp2.1%
Simpson Manufacturing Co Inc2.1%
DREAM Unlimited Corp2.1%
T Rowe Price Group Inc2.1%
Lam Research Corp2.0%
Fortune Brands Home & Security2.0%
Texas Pacific Land Trust2.0%
Deckers Outdoor Corp1.9%
Synaptics Inc1.9%
Reliance Steel & Aluminum Co1.9%
Commercial Metals Co1.9%
Carlisle Cos Inc1.9%
SEI Investments Co1.8%
Yellow Pages Ltd0.7%

 

Short Security NameWeight
OneSpaWorld Holdings Ltd-1.7%
Grubhub Inc-1.3%
Park Hotels & Resorts Inc-1.3%
Immersion Corp-1.3%
Twilio Inc-1.2%
Greenlight Capital Re Ltd-1.2%
Astronics Corp-1.2%
VirnetX Holding Corp-1.2%
GoPro Inc-1.2%
Stratasys Ltd-1.2%
Teck Resources Ltd-1.2%
Synchronoss Technologies Inc-1.2%
Quad/Graphics Inc-1.1%
Zuora Inc-1.1%
James River Group Holdings Ltd-1.1%
Pacific Biosciences of California-1.1%
Republic First Bancorp Inc-1.1%
Fluidigm Corp-1.1%
United Insurance Holdings Corp-1.1%
Playa Hotels & Resorts NV-1.1%
Canfor Pulp Products Inc-1.1%
Misonix Inc-1.0%
Cimarex Energy Co-1.0%
Virtu Financial Inc-1.0%
Ag Growth International Inc-1.0%
Venator Materials PLC-1.0%
Liquidity Services Inc-1.0%
Wayfair Inc-1.0%
OptimizeRx Corp-1.0%
Cree Inc-1.0%
Tidewater Inc-1.0%
Graham Corp-1.0%
Eventbrite Inc-1.0%
Nexa Resources SA-1.0%
International Money Express Inc-1.0%
Digimarc Corp-1.0%
Viad Corp-0.9%
Colony Credit Real Estate Inc-0.9%
Apyx Medical Corp-0.9%
Hertz Global Holdings Inc-0.9%
At Home Group Inc-0.9%
ViewRay Inc-0.8%
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