May 10, 2019 – Accelerate Financial Technologies Inc., (“Accelerate”), is pleased to announce the launch of three zero management fee, performance fee only alternative exchange traded funds (“Accelerate Alt ETFs”). Each Accelerate Alt ETF listed in the table below has closed the initial offering of units, and those units will start trading on the Toronto Stock Exchange (“TSX”) today.
“Accelerate was founded with the mission to democratize alternative investments by offering hedge fund and private equity-like strategies in low-cost ETFs accessible by any investor,” said Julian Klymochko, CEO at Accelerate.
| Alternative Exchange
Traded Fund |
Ticker (TSX) | Performance Fee | Management Fee | ||||||||
| Accelerate Private Equity Alpha Fund | ALFA | 15%1 | 0.00% | ||||||||
| Accelerate Enhanced Canadian Benchmark Alternative Fund | ATSX | 50%2 Over S&P/TSX 60 Index |
0.00% | ||||||||
| Accelerate Absolute Return Hedge Fund | HDGE | 20%3 | 0.00% | ||||||||
Fees are accrued daily and paid quarterly
- 15% of outperformance over high watermark
- 50% of outperformance over high watermark / S&P/TSX 60 Index
- 20% of outperformance over high watermark
Accelerate Private Equity Alpha Fund (TSX: ALFA) The Accelerate Private Equity Alpha Fund seeks to achieve long-term capital appreciation and to replicate the returns of private equity funds over the long term by investing primarily in listed equity securities that are expected to outperform the U.S. equity market, while entering into short positions in respect of listed equity securities in this market. ALFA uses derivatives to gain exposure to its short portfolio and borrows cash to increase its long equities portfolio. The amount of all cash borrowed to finance the purchase of equity securities and the aggregate notional amount of derivatives used for non-hedging purposes will not exceed the limits permitted under applicable securities legislation.
Accelerate Enhanced Canadian Benchmark Alternative Fund (TSX: ATSX) The Accelerate Enhanced Canadian Benchmark Alternative Fund seeks to achieve long-term capital appreciation and a superior risk-adjusted return relative to the broader Canadian equity market. ATSX seeks to outperform the Canadian equity market over the long term by investing primarily in Canadian and foreign issuers listed on an exchange or marketplace in Canada that represents the broad Canadian listed equity market and using a long-short overlay portfolio to seek to add positive absolute return. ATSX may use derivatives to gain exposure to its long portfolio. The aggregate market value of the securities sold short and the aggregate notional amount of derivatives used for non-hedging purposes will not exceed the limits permitted under applicable securities legislation.
Accelerate Absolute Return Hedge Fund (TSX: HDGE) The Accelerate Absolute Return Hedge Fund seeks to achieve long-term capital appreciation and a superior risk-adjusted return relative to the broader Canadian equity market. HDGE seeks to outperform the Canadian equity market over the long term with lower volatility by investing primarily in listed equity securities that are expected to outperform this market, while selling short certain listed equity securities that are expected to underperform this market. The aggregate market value of the securities sold short will not exceed the limits permitted under applicable securities legislation.
About the Accelerate Alt ETFs
Performance fees, brokerage fees and expenses all may be associated with investments in the Accelerate Alt ETFs. Please read the prospectus or ETF Facts document before investing. ETFs are not guaranteed, their values change frequently and past performance may not be repeated. ETF units are bought and sold at market price on a stock exchange and brokerage commissions will reduce returns.
About Accelerate Financial Technologies Inc.
Accelerate is committed to leading innovation in financial services, developing a suite of alternative exchange-traded funds for investors seeking long-term performance.
Accelerate was established by a team with a track record of successfully managing award-winning hedge funds and is disrupting the asset management industry by offering institutional-caliber investment strategies previously reserved for wealthy investors at a fee significantly lower than competitors.
For further information:
For investor inquiries: Contact Accelerate at 1-855-892-0740 (toll-free), info@acceleratefintech.com; For media inquiries: Contact Michael Lee Hing, COO, Accelerate, (403) 975-5294, mleehing@acceleratefintech.com.
