SOURCE: Bloomberg, S&P
DISCLAIMER: Results of the Accelerate Market Neutral 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 management 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 Market Neutral strategy is a systematic, 100% long / 100% short hedged equity investment strategy designed to achieve positive returns with low correlation to stock market indices. It aims to generate long-term investment returns irrespective of market direction with lower volatility than that of the benchmark index.
The strategy buys a diversified basket of Canadian stocks which have the highest expected return and shorts a diversified portfolio of Canadian stocks with the lowest (or negative) expected return.
Stock selection of the market neutral long and short portfolios is driven by an integrated multi-factor approach consistent with financial theory. The strategy is betting on stock market anomalies, or inefficiencies, that have persisted historically in the Canadian market including:
Value • Quality • Price Momentum • Operational Momentum • Trend
