The Amethyst Arbitrage International Fund is a North American focused, low volatility investment fund with a multi?strategy arbitrage approach. The Fund employs event driven (mainly mergers & acquisitions), convertible securities (debentures, warrants, etc.), fixed income (mainly credit spreads between Canadian federal, provincial, municipal, and government agencies) and other arbitrage strategies (such as related pairs and SPACs) via an investment in the Amethyst Arbitrage International Master Fund (the “Master Fund”).
This International Fund is available exclusively to non-Canadian residents. However, a Canadian version of the fund available for Canadian resident investors. Click here for more information.
INVESTMENT OBJECTIVES
The investment objective of the Master Fund is to realize an absolute positive return:
- Return: 5 to 10% above 91d Can T-Bills
- Volatility: 5 to 7%, annualized
- Capital protection and near zero correlation with traditional asset classes.
INVESTMENT STRATEGIES
The Master Fund, principally employs three strategies but may also utilize other arbitrage strategies:
- EVENT DRIVEN ARBITRAGE opportunities
- Mergers & Acquisitions other “pure” arbitrage opportunities
- Private placements / subscription receipts / spin-offs / called bonds & preferred shares
- CONVERTIBLE SECURITIES ARBITRAGE opportunities
- Convertible debentures & synthetic convertible positions
- Warrants and other exchangeable securities
- FIXED INCOME ARBITRAGE opportunities
- Relative value (mainly spread strategies) using Canadian federal, provincial, municipal and agency backed government debt as well as investment grade corporate bonds
- Strategies on credit ratings, maturities, issuer types, liquidity profile, etc. with a very small directional component (opportunistic)
- OTHER ARBITRAGE opportunities
- Inter-listed Arbitrage between US and Canadian markets
- Related pair arbitrage on the spreads between securities of the same issuer, or of a related issuer
- Special Purpose Acquisition Company (“SPAC”) arbitrage
- Other arbitrage opportunities
The relative weighting of each strategy will vary according to the opportunities available at any given time.
FUND FACTS
| LIQUIDITY: | |
|---|---|
|
$250,000 USD |
|
Monthly |
|
2 days |
|
30 days minimum |
|
None |
| FUND STRUCTURE: | |
|---|---|
|
Cayman Domiciled Corp. |
|
KYG0328A1058 |
|
Amethyst Arbitrage Int’l. Master Fund |
|
Crystalline Management Inc. |
| FEES*: | |
|---|---|
|
1.75% |
|
20% above |
|
3 month US LIBOR |
|
Yes (perpetual) |
|
2% < 6mth; 1% <12mth |
| SERVICE PROVIDERS: | |
|---|---|
|
BMO Nesbitt Burns & Scotia Capital (Master Fund) |
|
SS&C |
|
Mourant Ozannes |
|
PricewaterHouse Coopers LLC |
* Management and Performance fees are paid by the Amethyst Arbitrage International Master Fund
