Sprott Corporate Class Funds

A More Tax-Efficient Way to Invest

Sprott Corporate Class Inc. is a Mutual Fund Corporation designed to optimize tax-efficiency of non-registered investments, helping enhance after-tax returns.

What Are Sprott Corporate Class Funds?

Sprott Corporate Class Funds are a suite of different mutual funds set up within a corporate structure. Each investment fund is offered as a separate class of shares within the Corporation. Investing in the Corporation allows switching from one class of shares to another without triggering an immediate taxable event.

Tax-Efficient Fund Switching

Switching from one Corporate Class Fund to another Corporate Class Fund, does not trigger an immediate taxable event. Any unrealized capital gains will continue to grow and compound within the Mutual Fund Corporation on a tax-deferred basis. Not until the investment is withdrawn from the Mutual Fund Corporation, will it be considered a disposition for tax purposes. In contrast, each time one Mutual Fund Trust is switched to another, an immediate taxable disposition is triggered.

Tax-Efficient Growth

A Mutual Fund Corporation can share capital losses, allowing some class funds to defer the distribution of taxable capital gains. A Mutual Fund Corporation provides enhanced tax-efficiency because it is treated as a single taxable entity. As a result, the Corporation aggregates all income and expenses, as well as any realized capital gains and losses from its underlying share classes. This provides greater flexibility in reducing the frequency and amount of taxable distributions that have to be paid to investors.

Tax-Efficient Income Investing

Interest income earned from fund’s bond holdings may be offset by the expenses of the aggregate Mutual Fund Corporation. This may allow for more to remain invested to grow and compound over the long-term. For investors seeking tax-efficient cash flow, some Sprott Corporate Class Funds are also available in Series T and Series FT, both provide monthly distributions, targeted at approximately 6% annually. The distributions consist of return of capital (ROC), which is not immediately taxable, but reduces the investment’s adjusted cost base.

The information provided is general in nature and is provided with the understanding that it may not be relied upon as, nor considered to be, the rendering or tax, legal, accounting or professional advice. Readers should consult with their own accountants and/or lawyers for advice on the specific circumstances before taking any action.

You are now leaving Sprott.com and entering a linked website. Sprott has partnered with ALPS in offering the Sprott Gold Miners ETF. For fact sheets, marketing materials, prospectuses, performance, expense information and other details about the ETF, you will be directed to the ALPS/Sprott website at www.SprottETFs.com

An investor should consider investment objectives, risks, charges and expenses carefully before investing. The prospectus contains this and other important information. For more information about the ETF or to obtain a prospectus, call 1.855.215.1425. Read the prospectus carefully before investing. The ETF is distributed by ALPS Distributors, Inc. ALPS Advisors, Inc. is the investment adviser to the ETF and Sprott Asset Management LP is the investment sub-adviser. Sprott is not affiliated with ALPS.

Continue to Sprott Exchange Traded Funds