Sprott Gold Bullion Fund will launch on March 17, Sprott Asset Management said Thursday.

The fund’s investment objective is to seek to provide a secure, convenient alternative for investors seeking to hold gold. The fund will invest primarily in unencumbered, fully allocated gold bullion, permitted gold certificates, and/or closed-end funds the underlying interest of which is gold, Sprott says. The fund may also invest a portion of its assets in cash, money market instruments and/or treasury bills.

Sprott says the fund is suitable for investors who want exposure to the capital appreciation potential of gold and who want to maintain a high level of liquidity of their investments with a medium tolerance for risk and volatility.

The fund is expected to be eligible for registered tax plans and will be managed by the Spott investment team.

IE