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-Dec-31

1 Month3 MonthsYTD1 Year3 YearsSince Inception
HDGE6.2%15.4%30.0%30.0%n/a0.7%

Fund Characteristics as of 2021-Dec-31

Long Short
Number of Securities5247
Average Market Cap ($mm)$56,938$3,693
Beta1.3 1.3
EBITDA/EV23.4%-4.4%
FCF/EV14.0%-11.5%
Trailing Return95.2%-42.4%
Pct of 52 Week High89.6%42.5%
Return on Capital28.2%-15.3%
Gross Profits/Assets9.6%3.2%
50 DMA to 200 DMA114.2%79.8%
EPS Revision1.3%1.1%
Change In Shares-0.7%8.2%
Earnings Abnormal Return2.9%-7.0%

Sector Weightings as of 2021-Dec-31

Long Short
Communication Services2.0%-2.7%
Consumer Discretionary18.7%-4.9%
Consumer Staples6.5%-1.9%
Energy16.5%-1.9%
Financials18.7%-3.0%
Health Care2.2%-10.9%
Industrials18.0%-4.4%
Information Technology6.5%-9.0%
Materials19.8%-3.7%
Real Estate0.0%-1.9%
Utilities2.2%0.0%
Equity Exposure111.0%-44.3%

Fund Holdings as of 2021-Dec-31

Long Security NameWeight
Grindrod Shipping Holdings Ltd2.4%
Huttig Building Products Inc2.4%
Coca-Cola Consolidated Inc2.3%
Applied Materials Inc2.3%
Obsidian Energy Ltd2.3%
Interfor Corp2.3%
Hardwoods Distribution Inc2.3%
BRP Inc2.3%
Encore Wire Corp2.3%
Credit Acceptance Corp2.3%
Resolute Forest Products Inc2.3%
Lazydays Holdings Inc2.2%
API Group Corp2.2%
Stelco Holdings Inc2.2%
West Fraser Timber Co Ltd2.2%
Medical Facilities Corp2.2%
Canfor Corp2.2%
Western Forest Products Inc2.2%
Boise Cascade Co2.2%
Steel Dynamics Inc2.2%
Donnelley Financial Solutions2.2%
AutoNation Inc2.2%
Loblaw Cos Ltd2.2%
Uni-Select Inc2.2%
Maxim Power Corp2.2%
Encore Capital Group Inc2.2%
Discover Financial Services2.1%
HP Inc2.1%
Bath & Body Works Inc2.1%
Manning & Napier Inc2.1%
Masco Corp2.1%
Suncor Energy Inc2.1%
Louisiana-Pacific Corp2.1%
Cato Corp/The2.1%
Nucor Corp2.1%
Parex Resources Inc2.1%
Russel Metals Inc2.1%
Evercore Inc2.1%
Amplify Energy Corp2.1%
EOG Resources Inc2.0%
Baytex Energy Corp2.0%
Albertsons Cos Inc2.0%
Microsoft Corp2.0%
TransGlobe Energy Corp2.0%
Dillards Inc2.0%
CI Financial Corp2.0%
Urban One Inc2.0%
Guardian Capital Group Ltd1.9%
Pzena Investment Management Inc1.9%
Academy Sports & Outdoors Inc1.9%
Magnolia Oil & Gas Corp1.9%
Crocs Inc1.7%

 

Short Security NameWeight
Purple Innovation Inc-1.3%
James River Group Holdings Ltd-1.1%
Tabula Rasa HealthCare Inc-1.1%
Limelight Networks Inc-1.1%
SI-BONE Inc-1.0%
Accolade Inc-1.0%
1847 Goedeker Inc-1.0%
National CineMedia Inc-1.0%
Guardant Health Inc-1.0%
Quanterix Corp-1.0%
Zillow Group Inc-1.0%
Calavo Growers Inc-1.0%
Oak Street Health Inc-1.0%
PetIQ Inc-1.0%
Royal Caribbean Cruises Ltd-1.0%
SilverCrest Metals Inc-1.0%
Coupa Software Inc-1.0%
Nikola Corp-1.0%
Osisko Mining Inc-1.0%
Berkeley Lights Inc-1.0%
Twilio Inc-1.0%
Vapotherm Inc-1.0%
Selectquote Inc-0.9%
eHealth Inc-0.9%
Sumo Logic Inc-0.9%
Akoustis Technologies Inc-0.9%
Liberty Oilfield Services Inc-0.9%
Cardlytics Inc-0.9%
American Well Corp-0.9%
VirnetX Holding Corp-0.9%
American Superconductor Corp-0.9%
New Fortress Energy Inc-0.9%
Coeur Mining Inc-0.9%
Ballard Power Systems Inc-0.9%
Redfin Corp-0.9%
Freshpet Inc-0.9%
Fluidigm Corp-0.9%
Orla Mining Ltd-0.9%
Velodyne Lidar Inc-0.9%
Matrix Service Co-0.9%
Vroom Inc-0.9%
Applied Optoelectronics Inc-0.8%
Hall of Fame Resort & Entertainment Co-0.8%
Maxeon Solar Technologies Ltd-0.8%
Sunrun Inc-0.8%
LiveOne Inc-0.8%
Cleanspark Inc-0.8%
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