Fund Information

This Fund is currently closed to new investment.

The Adaly Opportunity Fund is an attractive addition to most portfolios. The Fund is a limited partnership focused on opportunistic investing with the objective of generating absolute returns in most market environments. Trapeze Capital Corp., the advisor to the Fund, employs various strategies to achieve this objective, the majority of which fall into classifications known as "event-driven" and "special situations".

Investment Strategies
The most common event-driven investment approach is "risk arbitrage" (also known as deal or merger arbitrage), which focuses on corporate merger and acquisition (M&A) activity, wherein the Partnership invests in securities that are the targets of publicly-disclosed transactions. Other event-driven investments include companies considering Trapeze alternatives, as well as restructurings, recapitalizations ("recaps"), spin-outs, and liquidations.

Special situations typically refer to securities with very specific attributes that one would expect to supersede their correlation to general market direction. These securities might reflect a secular investment theme, or an unusual value or growth proposition. Special situations can also include short sales, new issues, and distressed securities.

The Fund also engages in various market-neutral strategies that can include statistical arbitrage, convertible hedging, balance sheet (or value) arbitrage, paired trades, hedged long/short positions and the use of options.

Benefit from the Fund Manager's Experience

With over 20 years of related experience, the Manager is hands-on and research-oriented in his approach. The Manager judiciously selects the most attractive opportunities to build a diversified portfolio through well-conceived and well-timed investment ideas and strategies, with a view to first protecting, and then growing the Fund’s capital. The management team includes a senior portfolio manager and three analysts.

Investing in the Fund

Class "B" units of the Fund are offered by Offering Memorandum to eligible investors resident in Ontario, Quebec, British Columbia, Alberta and Nova Scotia, pursuant to available prospectus and registration exemptions under the securities laws of those provinces. (The original Class "A" units are not currently open to subscription). The Fund requires a minimum investment and a minimum hold period subject to applicable securities laws. The Fund was formed on November 12, 1999 under the name "Adaly M&A Opportunity Fund" and was changed to "Adaly Opportunity Fund" effective September 30, 2003. The Offering Memorandum contains important information about the Fund, including management fees, other charges and expenses, and should be read carefully before investing.

Fees

The following fees are applicable to the Class “B” units of the Fund:

• Administrative Fee
  2.0% per annum.
  Payable quarterly in arrears.
• Performance Fee
  20% of appreciation in the net asset value per unit of the Fund from the high water mark for such unit in excess of an annualized return of 4%.
  Payable quarterly in arrears.

For a copy of our Fund’s Offering Memorandum and subscription documents, please Contact Us. Please click here to view the Fund’s historical performance.

Quarterly investment letters to the Fund's limited partners are available in PDF versions to download below.