Maxam Arbitrage Fund

Maxam Arbitrage Fund​

Absolute return fund with low volatility and low correlation to traditional strategies.

The objective of the Maxam Arbitrage Fund is to generate consistent, positive returns with low correlation to traditional equity and fixed income strategies by investing in securities involved in publicly announced mergers, acquisitions and other specific corporate actions and events.

Consistent. Diversification. Alternative.

Strategy Benefits

  • Returns are generated from specific and definitive corporate events
  • Consistent returns with low volatility
  • Low correlation to traditional equity and fixed income strategies
  • Tax efficiency (primarily capital gains)
  • Experienced managers

Historical Performance

As at January 31, 2024Since Inception
1M3M6MYTD1Y3YAnnualizedCumulative
0.2%1.5%2.3%0.2%4.6%3.5%5.0%17.7%

Returns greater than one year are annualized except for cumulative. 

As at January 31, 2024Since Inception
1M3M6MYTD1Y3YAnnualizedCumulative
0.2%1.3%1.9%0.2%3.7%2.6%4.1%14.4%

Returns greater than one year are annualized except for cumulative. 

Growth of $10,000


Risk Metrics & Portfolio Statistics

 Risk vs Return

 Upside / Downside Capture

Risk Metrics

Portfolio Statistics

Fund Details

Type

Arbitrage

Investment Risk Rating

Low

Fund Snapshot

Fund Commentary

Fund Codes

F: MXM105
A: MXM101

Inception Date

October 1, 2020

Registered Plans

Yes

Pricing & Liquidity

Daily

Management Fee

F: 0.90%
A: 1.90%

Performance Fee

15% above HWM

Minimum Investment

$1,000

Distributions

Annually, if applicable

Prime Broker

TD Securities

Fund Admin

SGGG

Auditor

KPMG

Legal Counsel

Borden Ladner Gervais LLP

Historical Unit Prices

Fund Documents    & Information

For more detailed information on the Maxam Arbitrage Fund please contact us.

The information contained in this presentation is intended to provide you with information regarding Maxam Capital Management Ltd. and the funds it manages. Maxam Capital Management Ltd. is the manager for the Maxam Arbitrage Fund. Important information about the Fund is contained in the Fund’s Simplified Prospectus, which should be read before investing. This presentation is neither an offer to sell securities nor a solicitation to sell securities. The securities of the Fund are sold only through IIROC registered dealers in those jurisdictions where it may be lawfully offered for sale. Accredited investors or certain other qualified investors may also purchase securities through Maxam Capital Management Ltd in reliance on certain prospectus exemptions available in National Instrument 45-106. Investors should consult with their own investment advisor and obtain a copy of our applicable Simplified Prospectus and Fund Facts documents before investing in the Fund. Investors should seek advice on the risks of investing in the Fund before investing. This document may contain forward-looking statements. These forward-looking statements are based upon the reasonable beliefs of Maxam Capital Management Ltd. at the time they are made and are not guarantees of future performance, are subject to numerous assumptions, and involve risks and uncertainties about general economic factors which may change over time. Maxam assumes no duty, and does not undertake, to update any forward-looking statement and cautions you not to place undue reliance on these statements as actual events or results may differ materially from those expressed or implied in any forward-looking statements made. Disclosed returns for the Maxam Arbitrage Fund are for Class F and Class A units (please contact us regarding other classes). Index statistics use total return indices and ETF returns include reinvested distributions; “TSX” refers to the S&P/TSX Total Return Index, “Bonds” or “XBB” refers to the iShares Core Canadian Universe Bond Index ETF; “Scotia Alternative EW” refers to the Scotiabank Alternative Mutual Fund Index, Equal Weighted (note that the latest Scotiabank data provided is on a one month delay). “Sharpe Ratio” is a measure of excess return per unit of risk and calculated by dividing the annualized return less risk free rate by the annualized standard deviation, using the Bank of Canada overnight rate for the risk-free rate (a higher ratio is preferable). “Max. Drawdown” measures the maximum observed loss from a peak to a trough, before a new peak is attained. Maximum drawdown is an indicator of downside risk over a specified time period (smaller is preferable). “Correlation” measures the Fund’s relationship to a selected index or benchmark. A correlation of -1.0 shows a perfect negative correlation, while a correlation of 1.0 shows a perfect positive correlation; a correlation of 0.0 shows no linear relationship between the movement of the two variables. “Beta” measures the volatility of the Fund relative to a selected index or benchmark; a lower Beta typically implies less market risk, while a higher Beta typically implies more market risk. “Upside/Downside Capture” statistics measure the Fund’s performance during the up or down moves, respectively, of an index; the statistics displayed are the geometric average of Fund performance during up and down months for the TSX index and the XBB ETF, respectively (typically you want more upside capture and less downside capture). “SPAC” refers to a Special Purpose Acquisition Company. Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Please read the Simplified Prospectus before investing. Any indicated rates of return are the historical annual total returns including changes in value and reinvestment of all distributions and does not take into account sales, redemption, distribution or optional charges or income taxes payable by any unitholder that would have reduced returns. Mutual funds are not guaranteed, their values change frequently and past performance may not be repeated. This document is not intended to provide legal, accounting, tax or investment advice. Please consult an investment advisor and read the prospectus for the Maxam Arbitrage Fund prior to investing.