Aerial Ace inflicts damage and is unaffected by modifications to the Accuracy stat and Evasion stat. It will not hit a Pokémon during the semi-invulnerable turn of moves such as Dig, Fly and Dive.
The Japanese name of this move, つばめがえし Swallow Return (more commonly known in English as the "Turning Swallow Cut"), is probably taken from the signature technique of the legendary swordsman Sasaki Kojirō (the namesake of Team Rocket's James). It is widely believed that it consisted of first a rapid downward slash from above, immediately followed by an upward slash on the same line (this same motion is used for the move's animation in Generation IV). Its name came from Kojirō's observations of the motion of a swallow's tail in flight.
In Pokémon Battle Revolution, the anouncer commonly exclaims "Aerial Ace hits!" when this move is used, even though the move is always sure to hit.