Alternative Funds

We’re proud to have some of the longest-running alternative funds in Canada, dating back to 1998. Each fund has been catered to offer investors a unique alternative to traditional mutual funds.

Vertex Fund

The Alternative Fund
An Authentic Alternative. Diversified by multiple strategies, the event-driven portfolio invests in companies and situations where catalysts present a favourable risk/return trade-off.

The portfolio has an event-driven focus, wherein catalysts are identified that will likely have an impact on a company’s stock price or capital structure. Throughout an economic cycle, different strategies will provide more favourable risk/reward tradeoffs, permitting opportunities for reallocating capital. Fundamental analysis is the cornerstone of the team’s skill...

The portfolio has an event-driven focus, wherein catalysts are identified that will likely have an impact on a company’s stock price or capital structure. Throughout an economic cycle, different strategies will provide more favourable risk/reward tradeoffs, permitting opportunities for reallocating capital. Fundamental analysis is the cornerstone of the team’s skill set, but the investment strategies include: merger arbitrage, convertible arbitrage, high yield debt, capital structure arbitrage, fundamental longs, shorts, options and other special situations.

The principal objective is the growth of capital in excess of benchmarks and to preserve capital throughout an economic cycle. The management team takes an opportunistic approach while employing a broad range of strategies to diversify the portfolio and drive results on a consistent basis.

An Authentic Alternative.

Incep. Date:06/02/1998
1 Month:-2.86%
YTD:-7.96%
1 Year:-37.22%
3 Year:-12.16%
10 Year:+2.01%
Incep.:+9.90%

Fund Codes

  • Class F (NL) : VRT 301
  • Class B (FEL) : VRT 302

Purchase Info

  • Minimum Investment :
  • $25,000 for accredited investors
aLearn More About This Fund

Vertex Fund

An Authentic Alternative. Diversified by multiple strategies, the event-driven portfolio invests in companies and situations where catalysts present a favourable risk/return trade-off.
Incep. Date:06/02/1998
1 Month:-2.86%
YTD:-7.96%
1 Year:-37.22%
3 Year:-12.16%
10 Year:+2.01%
Incep.:+9.90%
bPerformance Fact Sheet

Managed Value Portfolio

Vertex Alternative Fund
An Active Alternative. Value from the undervalued using: stocks, fixed income, derivative income and/or private lending. Protecting capital by avoiding hyper-valued investments.

Emphasis is placed on equities trading at values of under two-thirds of the general market, when looking at their price-to-earnings or price-to-book ratios, that also have annuity stream revenues with lower debt and higher dividends. If the valuations of annuity-based companies are not favourable due to changing economic conditions, the...

Emphasis is placed on equities trading at values of under two-thirds of the general market, when looking at their price-to-earnings or price-to-book ratios, that also have annuity stream revenues with lower debt and higher dividends. If the valuations of annuity-based companies are not favourable due to changing economic conditions, the portfolio may invest in equities within sectors trading at discounted valuations to the general market. This approach can result in a portfolio concentrated on fewer sectors of the overall economy.

Our core belief is that return is generated through company earnings, not stock trading; thus turnover is limited.

An Active Alternative.

Incep. Date:03/04/1998
1 Month:-0.03%
YTD:-7.05%
1 Year:-45.65%
3 Year:-5.35%
10 Year:+5.92%
Incep.:+6.17%

Fund Codes

  • Class F (NL) : VRT 101
  • Class B (FEL) : VRT 102

Purchase Info

  • Minimum Investment :
  • $25,000 for accredited investors
aLearn More About This Fund

Vertex Managed Value Portfolio

An Active Alternative. Value from the undervalued using: stocks, fixed income, derivative income and/or private lending. Protecting capital by avoiding hyper-valued investments.
Incep. Date:03/04/1998
1 Month:-0.03%
YTD:-7.05%
1 Year:-45.65%
3 Year:-5.35%
10 Year:+5.92%
Incep.:+6.17%
bPerformance Fact Sheet

Arbitrage Fund

Vertex Alternative Fund
Absolutely Alternative. Using market-neutral strategies to deliver absolute, low volatility, tax-efficient returns with low interest-rate risk.

The principal investment objective is to generate consistent, positive returns, with low volatility and low correlation to equity markets. With the majority of the return typically in the form of capital gains, the fund will be a tax efficient investment vehicle. "Merger arbitrage" will be the predominant strategy of the...

The principal investment objective is to generate consistent, positive returns, with low volatility and low correlation to equity markets. With the majority of the return typically in the form of capital gains, the fund will be a tax efficient investment vehicle.

"Merger arbitrage" will be the predominant strategy of the fund; this involves capturing a profit from the discount between the market price and the "deal" price for a target company in an announced, legally-binding merger situation. When part of the merger consideration includes shares of the acquiring company, the fund hedges by selling short these shares while simultaneously buying the target company shares. In a deal for cash consideration only there is no need to hedge with the acquirer's stock. The resulting portfolio is thus considered market-neutral.

Absolutely Alternative.

Incep. Date:31/10/2013
1 Month:-0.10%
3 Month:+0.41%
YTD:+1.16%
1 Year:+2.39%
3 Year:+3.33%
Incep.:+3.56%

Fund Codes

  • Class F (NL) : VRT 901
  • Class B (FEL) : VRT 902 (closed to purchases)

Purchase Info

  • Minimum Investment :
  • $25,000 for accredited investors
aLearn More About This Fund

Vertex Arbitrage Fund

Absolutely Alternative. Using market-neutral strategies to deliver absolute, low volatility, tax-efficient returns with low interest-rate risk.
Incep. Date:31/10/2013
1 Month:-0.10%
3 Month:+0.41%
YTD:+1.16%
1 Year:+2.39%
3 Year:+3.33%
Incep.:+3.56%
bPerformance Fact Sheet

Arbitrage Fund Plus

Vertex Alternative Fund
Absolutely Alternative. Utilizing leverage to enhance returns, the fund uses market-neutral strategies to deliver absolute, low volatility, tax-efficient returns with low interest-rate risk.

The principal investment objective is to generate consistent, positive returns, with low volatility and low correlation to equity markets. With the majority of the return in the form of capital gains the fund will be a tax efficient investment vehicle. “Merger Arbitrage” is the predominant strategy of the fund; this...

The principal investment objective is to generate consistent, positive returns, with low volatility and low correlation to equity markets. With the majority of the return in the form of capital gains the fund will be a tax efficient investment vehicle.

“Merger Arbitrage” is the predominant strategy of the fund; this involves capturing a profit from the discount between the market price and the “deal” price for a target company in an announced, legally-binding, merger situation. There are two main types of corporate mergers: cash and stock mergers. In stock mergers, the fund hedges market risk by selling short the acquiring company shares, while simultaneously buying the target company shares. In cash mergers, there is no need to hedge with the acquirer’s stock. In both situations the resulting portfolio is market-neutral.
This fund utilizes leverage to enhance returns.

Incep. Date:28/02/2017
1 Month:-0.21%
3 Month:+0.75%
YTD:+2.31%
1 Year:+4.73%
2 Year:+4.45%
Incep.:+5.41%

Fund Codes

  • Class F (NL) : VRT 991
  • Class B (FEL) : VRT 992

Purchase Info

  • Minimum Investment :
  • $25,000 for accredited investors
aLearn More About This Fund

Vertex Arbitrage Fund Plus

Absolutely Alternative. Utilizing leverage to enhance returns, the fund uses market-neutral strategies to deliver absolute, low volatility, tax-efficient returns with low interest-rate risk.
Incep. Date:28/02/2017
1 Month:-0.21%
3 Month:+0.75%
YTD:+2.31%
1 Year:+4.73%
2 Year:+4.45%
Incep.:+5.41%
bPerformance Fact Sheet