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ASA Gold and Precious Metals Limited

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FY2018 Annual Report · ASA Gold and Precious Metals Limited
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92552_01_ASA_AR.qxp  1/18/19  2:26 PM  Page i

Gold and Precious Metals Limited

Annual Report and Financial Statements
November 2018

A Closed-End Fund
Specializing in Gold and Other
Precious Metals Investments

Beginning on January 1, 2021, as permitted by regulations adopted by the U.S. Securities and Exchange Commission, paper
copies of the Company’s annual and semi-annual shareholder reports will no longer be sent by mail, unless you specifically
request paper copies of the reports. Instead, the reports will be made available on the Company’s website www.asaltd.com, and
you will be notified by mail each time a report is posted and provided with a website link to access the report.

If you already elected to receive shareholder reports electronically, you will not be affected by this change and you need not take
any action. You may elect to receive shareholder reports and other communications from the Company electronically anytime by
contacting your financial intermediary (such as a broker-dealer or bank) or, if you are a direct investor, by calling 1-800-432-3378
or by sending an e-mail request to info@asaltd.com.

Beginning on January 1, 2019, you may elect to receive all future reports in paper free of charge. If you invest through a financial
intermediary, you can contact your financial intermediary to request that you continue to receive paper copies of your shareholder
reports. If you invest directly with the Company, you can call 1-800-432-3378 or send an email request to info@asaltd.com to
inform the Company that you wish to continue receiving paper copies of your shareholder reports. Your election to receive reports
in paper will apply to all funds held in your account if you invest through your financial intermediary or all funds held with the fund
complex if you invest directly with the Company.

92552_01_ASA_AR.qxp  1/18/19  2:26 PM  Page ii

92552_01_ASA_AR.qxp  1/18/19  2:26 PM  Page 1

ASA Gold and Precious Metals Limited

Annual Report and 
Financial Statements

November 30, 2018

Table of Contents
Management’s letter to shareholders, board retirement and message from the independent directors 2
Forward-looking statements 4
10-year performance returns 5
Certain investment policies and restrictions 6
Report of independent registered public accounting firm 6
Schedules of investments 7
Portfolio statistics 9
Principal portfolio changes 9
Statements of assets and liabilities 10
Statements of operations 11
Statements of changes in net assets 12
Notes to financial statements 13
Financial highlights 18
Certain tax information for U.S. shareholders 19
Dividend reinvestment and stock purchase plan 19
Privacy notice 20
Proxy voting 20
Form N-Q 20
Common shares repurchased 20
Board of directors and officers 21
Other information 22

1

 
92552_01_ASA_AR.qxp  1/18/19  2:26 PM  Page 2

Management's Letter to Shareholders, Board Retirement and Message from the
Independent Directors

During 2018, global economic growth characterized by
modest inflation and slowly rising interest rates continued
to dampen the market’s enthusiasm for gold and gold
mining shares. Much like the previous year, gold drifted
lower in this environment from $1,320 at the beginning
of the year to a low of $1,175 during August of 2018. With
a  lack  of  positive  gold  price  momentum  or  significant
growth in gold production from the miners, valuation mul-
tiples  attributed  to  mining  shares  continued  to  soften,
leaving most gold companies trading at lower levels at
the end of 2018 than at the beginning.

For the fiscal year ended November 30, 2018, ASA
Gold  and  Precious  Metals  Limited  (“ASA”  or  the
“Company”) reported a total return of negative 20.0%
based on its net asset value (“NAV”), including reinvested
dividends, compared with a total return of negative 14.5%
for the FTSE Gold Mines Total Return Index (the “Index”).
Announcement of the merger of Barrick Gold Corporation
and Randgold Resources, two of the largest gold mining
companies, caused their share prices to outperform and
had a significant effect on the total return of the Index,
which is calculated based on market capitalization. The
Index outperformed nearly all active gold mining invest-
ment managers, ASA included, during the last year. Total
return of ASA’s share price for the fiscal year was nega-
tive 21.4%. The gold price decreased 6.5% during the
one-year period ending November 30, 2018.

At fiscal year-end, total net assets of ASA were $194.8
million, a decline of $49.4 million as compared to fiscal
year-end 2017. The Company’s average expense ratio
rose to 1.35% during the 2018 fiscal year from 1.19% dur-
ing fiscal year 2017 due to the decrease in asset values.
Total  operating  costs decreased modestly  in  2018  as
compared to 2017 reflecting, among other things, a reduc-
tion in compensation and retirement benefits to  former
directors, offset somewhat by an increase in the office
lease. Investment income improved to $1.6 million during
fiscal year 2018 from $1.4 million during 2017, generated
by increased dividends from portfolio investments.

The discount at which ASA’s shares traded in the mar-
ket fluctuated during the year from a high of 15.8% to a
low of 12.3% and ended the fiscal year at 14.3%. The
Board of Directors of ASA monitors the Company’s share
price and discount to NAV on an ongoing basis.

Shareholders Becoming More Demanding

Investors  in  the  global  gold  mining  industry  have
increasingly demanded that mining companies be good
stewards of capital with a focus on returns to investors,
profitability  and  sustainability.  During  2018,  investors
intensified their agenda by restricting the availability of
capital for new mining projects and taking activist stances
with regards to board representation by pushing corpo-
rate boards to take accountability for their poor perform-
ance. A large investor initiated a proxy contest against
Detour Gold to replace its Board of Directors and man-
agement team whom they believed had repeatedly failed
to deliver. The result was a significant turnover of the
Board, a new CEO and a renewed commitment to listen
to shareholders. We believe that this and similar actions

2

may  provide  impetus  to  other  companies  to  increase
engagement with shareholders and improve their focus
on returns to all stakeholders.

Chart 1: Precious Metals Mining Companies –
Equity Financing Trends

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$16

$14

$12

$10

$8

$6

$4

$2

$0

$13.5

$10.3

$8.6

$6.0

$4.7

$8.9

$6.7

$3.4

$4.8

$3.2

9
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4
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0
2

5
1
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6
1
0
2

7
1
0
2

8
1
0
2

Source: ASA, Bloomberg

Demand for higher returns from investors combined
with the lack of price direction from gold has dramatically
decreased  the  quantity  of  and  increased  the  cost  of
financings in the mining sector. Equity financings in the
gold mining industry reached a 10 year low in 2018 with
only $3.1 billion raised by precious metals companies
throughout the year. Generally, only projects with very
strong returns and large backers have been able to raise
capital  as  investors  have  fled  the  industry  looking  for
higher return opportunities in other sectors. The low-cost
capital that fueled many unprofitable projects in the last
cycle  appears  to  be  no  longer  available.  Companies
seem to be reevaluating or sidelining marginal projects
and increasingly focusing on metrics like cash flow and
return on equity. We believe that companies who focus
on profitability and shareholder returns will outperform
over time.

This renewed focus on returns and scarcity of capital
has also forced companies to consider creative strategic
options. Traditionally, companies demanded steep pre-
miums for acquisitions and refused to engage in negoti-
ations in their absence. The strong market support for the
“no premium” merger between Randgold Resources and
Barrick Gold Corporation has shifted the narrative around
merger expectations. Investors have messaged that they
are more interested in solid, diversified companies than
short-lived, headline deal premiums. We are hopeful that
this trend will continue and may result in some well bal-
anced, multi-asset companies.

Portfolio Changes

ASA closely tracks numerous companies within the
precious  metals  mining  sector  to  identify  investment
opportunities as strategies and assets change over time.
In the second half of fiscal 2018, ASA added two new
positions to the portfolio, IAMGOLD and Centamin Pty.
ASA previously held shares in both operators but exited
them several years ago due to concerns about strategic

 
 
 
92552_01_ASA_AR.qxp  1/18/19  2:26 PM  Page 3

direction. We continued to follow their projects, manage-
ment changes and strategic focus at both companies,
despite no longer holding any shares, and saw an oppor-
tunity to reinvest in each in 2018.

Chart 2: Investment Holdings by Sector

United States
Gold Miners
15.7%

Australian
Gold Miners
7.8%

South African
Gold Miners
6.5%

Liquid
Assets
1.3%

Cayman
Gold
Miners
1.6%

Channel
Island
Gold
Miners
10.8%

Canadian
Gold Miners
49.1%

Diamond
Miners
1.1%

Silver
Miners
1.1%

Latin
American
Miners
5.1%

Source: ASA, As of fiscal year-end 2018

IAMGOLD operates mines in West Africa and South
America. Shares of IAMGOLD were purchased in 2018
based  on  a  view  that  there  is  strong  exploration  and
expansion potential at several of the company’s assets
and a solid balance sheet to support their development.
This improved outlook was a significant shift from when
we exited the position in 2013, and we saw an opportu-
nity to reinvest in the company.

Centamin  owns  a  high-quality  project  in  Egypt  that
mines both open pit and underground. We believe that
the mine has now reached a steady state in terms of oper-
ations and development and see upside from exploration
in surrounding areas as well as potential to support a div-
idend to shareholders. 

As in past years, many of our sales in 2018 were to
rebalance the portfolio as well as to generate cash to pay
our distributions to shareholders and operating expenses.
Most of the positions that we exited in 2018 no longer had
a compelling investment thesis and we believed capital
was better allocated elsewhere.

Shareholders are encouraged to contact us directly
with any questions that they may have either through the
company website at www.asaltd.com or by calling us at
1-800-432-3378.

David Christensen
President, Chief Executive Officer and Chief Investment
Officer
January 18, 2019

* * * * * *

Board Retirement

We  regret  that  on  January  8,  2019,  our  colleague
Robert Pilkington resigned from the Board for personal
reasons. Robert’s deep institutional knowledge of ASA, the
mining sector and investment world were invaluable to us.
We shall miss him and wish him well in his retirement.
David Christensen, Director      Bruce Hansen, Director
Gary Glynn, Director           Mary Joan Hoene, Director
Message from the Independent Directors
ASA Board Decision to Propose Merk Investments
LLC as its External Investment Adviser

ASA has had its own employees and operations since
1978.  Rising  costs  related  to  this  internally  managed
structure, declining assets at ASA, and many years of
overall flat to declining gold prices combined with per-
formance  lagging  the  FTSE  Gold  Mines  Total  Return
Index, have led the Independent Directors to evaluate
strategic options and conclude that externalizing portfolio
management to an experienced and committed invest-
ment adviser will provide valuable resources and greater
efficiencies. On December 14, 2018, ASA announced
that the Board has reached an agreement, in principle,
for Merk Investments LLC to become ASA’s investment
adviser, subject to approval of the advisory agreement
with Merk Investments by ASA shareholders at the share-
holder  meeting  scheduled  for  March 26,  2019.  Merk
Investments is an SEC registered investment adviser that
provides  advice  on  liquid  global  markets,  including
domestic and international equities, fixed income, com-
modities and currencies and their respective derivative
markets. In addition to the VanEck Merk Gold Trust, the
Merk Funds include the Merk Hard Currency Fund and
the Merk Absolute Return Currency Fund.

The Independent Directors believe that the opportunity
to work with Merk Investments will provide a more sus-
tainable and transparent cost structure for the long-term
benefit of shareholders. If approved by shareholders, the
Board anticipates that the transition will be completed on
or about March 31, 2019. ASA’s investment objective and
policies will remain the same.

The Independent Directors extend their deep appreci-
ation to David Christensen, who has led ASA as its CEO
and served on the Board since 2007. With the transition
to Merk Investments as ASA’s investment adviser, Mr.
Christensen will be stepping down from his positions. The
Independent Directors are grateful for his long and dedi-
cated service to ASA.

In addition to the election of directors and approval of
auditors, the ASA proxy statement for 2019 will include
the  proposal  to  approve  the  advisory  agreement  with
Merk Investments, along with detailed background and
information.  The  Independent  Directors  encourage
shareholders to review the proxy and vote promptly in
favor of each action proposed in the proxy.
Mary Joan Hoene, Chair
Gary Glynn
Bruce Hansen

3

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Copies of financial reports for ASA Gold and Precious
Metals  Limited,  as  well  as  its  latest  NAV,  may  be
requested from ASA Gold and Precious Metals Limited,
400 S. El Camino Real, Suite 710, San Mateo, CA (650)
376-3135 or (800) 432-3378, and may be found on the
Company’s website (www.asaltd.com). We would like to
call  to  your  attention  the  availability  of  the  Dividend
Reinvestment and Stock Purchase Plan. See page 19 of
this report for information on how shareholders can par-
ticipate in this plan.

* * * * * *

The Annual General Meeting of Shareholders is cur-
rently anticipated to be held Thursday, March 26, 2019
at 10:00 a.m. EST at the offices of K&L Gates LLP, 599
Lexington  Avenue,  32nd  Floor,  New  York,  New  York,
USA. We look forward to your attendance.

Forward-Looking Statements

This shareholder letter includes forward-looking state-
ments, which involve known and unknown risks, uncer-
tainties  and  other  factors  that  may  cause  the  actual
results, levels of activity, performance or achievements
of the Company, or industry results, to be materially dif-
ferent from any future results, levels of activity, perform-
ance  or  achievements  expressed  or  implied  by  such
forward-looking statements. The Company’s actual per-
formance or results may differ from its beliefs, expecta-
tions,  estimates,  goals  and  projections,  and
consequently, investors should not rely on these forward-
looking  statements  as  predictions  of  future  events.
Forward-looking statements are not historical in nature
and  generally  can  be  identified  by  words  such  as
“believe,”  “anticipate,”  “estimate,”  “expect,”  “intend,”
“should,” “may,” “will,” “seek,” or similar expressions or
their negative forms, or by references to strategy, plans,
goals or intentions. The absence of these words or refer-
ences does not mean that the statements are not for-
ward-looking. The Company’s performance or results can
fluctuate from month to month depending on a variety of
factors, a number of which are beyond the Company’s
control and/or are difficult to predict, including without lim-
itation: the Company’s investment decisions, the perform-
ance  of  the  securities  in  its  investment  portfolio,
economic, political, market and financial factors, and the
prices of gold, platinum and other precious minerals that
may fluctuate substantially over short periods of time. The
Company may or may not revise, correct or update the
forward-looking statements as a result of new informa-
tion, future events or otherwise.

The Company concentrates its investments in the gold
and precious minerals sector. This sector may be more
volatile  than  other  industries  and  may  be  affected  by
movements  in  commodity  prices  triggered  by  interna-
tional  monetary  and  political  developments.  The
Company is a non-diversified fund and, as such, may
invest in fewer investments than that of a diversified port-

4

folio. The Company may invest in smaller-sized compa-
nies that may be more volatile and less liquid than larger
more  established  companies.  Investments  in  foreign
securities, especially those in the emerging markets, may
involve increased risk as well as exposure to currency
fluctuations. Shares of closed-end funds frequently trade
at a discount to net asset value. All performance informa-
tion reflects past performance and is presented on a total
return basis. Past performance is no guarantee of future
results. Current performance may differ from the perform-
ance shown.

This shareholder letter does not constitute an offer to

sell or solicitation of an offer to buy any securities.

92552_01_ASA_AR.qxp  1/18/19  2:26 PM  Page 5

10-Year Performance Returns 

Fiscal Year Total Returns

120%

100%

80%

60%

40%

20%

0%

-20%

-40%

-60%

102.0%

101.2%

NAV

Share Price

51.9%

51.5%

29.1%

16.6%

-4.6%

-13.7%

-24.2%

-22.4%

-11.1%

-15.7%

-27.2%

-33.0%

-41.1%

-45.6%

0.7% 2.6%

-20.0%

-21.4%

2009

2010

2011

2012

2013

2014

2015

2016

2017

2018

Best Quarter (NAV):                                                                                                         Q2 2009                   44.18%

Worst Quarter (NAV):                                                                                                       Q4 2014                  -27.99%

Average Annual Total Returns
For the periods ended November 30, 2018

                                                                                 1 Year                    3 Year                    5 Year                  10 Year

ASA Gold and Precious Metals – NAV                  -19.97%                     6.97%                   -4.55%                   -3.03%

ASA Gold and Precious Metals – Share Price      -21.39%                     6.89%                   -7.15%                   -3.41%

FTSE Gold Mines Total Return Index (1)               -14.46%                   13.65%                   -0.90%                   -3.37%

The performance data quoted represent past performance and do not indicate future results. Current performance may
be  lower  or  higher  than  the  performance  data  quoted.  For  more  current  performance  data,  please  visit
http://www.asaltd.com/investor-information/factsheets.

The results shown in the table reflect the reinvestment of income dividends and other distributions, if any. The results do
not reflect the effect of taxes a shareholder would pay on Company distributions or on the sale of the Company’s common shares.
The investment return and market price will fluctuate and the Company’s common shares may trade at prices above or
below NAV. The Company’s common shares, when sold, may be worth more or less than their original cost.

(1)The FTSE Gold Mines Total Return Index encompasses gold mining companies that have a sustainable, attributable gold
production of at least 300,000 ounces a year and that derive 51% or more of their revenue from mined gold. Please note that
the Index is unmanaged, and does not take into account any fees and expenses or any tax consequences of investing in the
individual securities that it tracks and one cannot invest directly in the Index. The Company does not attempt to replicate the
Index.  The  Index  generally  does  not  reflect  investments  in  other  precious  metals  companies  (e.g.,  silver,  platinum,  and
diamonds) in which the Company invests. Data about the performance of this Index are prepared or obtained by Management
and include reinvestment of all income dividends and other distributions, if any. The Fund may invest in securities not included
in the Index and generally does not invest in all securities included in the Index.

5

92552_01_ASA_AR.qxp  1/18/19  2:26 PM  Page 6

Certain Investment Policies and Restrictions

The  following  is  a  summary  of  certain  of  the
Company’s investment policies and restrictions and is
subject to the more complete statements contained in
documents  filed  with  the  Securities  and  Exchange
Commission.

The concentration of investments in a particular
industry or group of industries. It is a fundamental pol-
icy (i.e., a policy that may be changed only by share-
holder vote) of the Company that at least 80% of its total
assets be (i) invested in common shares or securities
convertible into common shares of companies engaged,
directly or indirectly, in the exploration, mining or process-
ing of gold, silver, platinum, diamonds or other precious
minerals, (ii) held as bullion or other direct forms of gold,
silver, platinum or other precious minerals, (iii) invested
in instruments representing interests in gold, silver, plat-
inum or other precious minerals such as certificates of
deposit  therefor,  and/or  (iv)  invested  in  securities  of
investment companies, including exchange traded funds,
or other securities that seek to replicate the price move-

ment of gold, silver or platinum bullion. Com pli ance with
the percentage limitation relating to the concentration of
the Company’s investments will be measured at the time
of investment. If investment opportunities deemed by the
Company to be attractive are not available in the types
of securities referred to in the preceding paragraph, the
Company may deviate from the investment policy out-
lined in that paragraph and make temporary investments
of  unlimited  amounts  in  securities  issued  by  the  U.S.
Govern ment, its agencies or instrumentalities or other
high quality money market instruments.

The  percentage  of  voting  securities  of  any  one
issuer that the company may acquire. It is a non-fun-
damental policy (i.e., a policy that may be changed by
the  Board  of  Directors)  of  the  Company  that  the
Company shall not purchase a security if, at the time of
purchase, more than 20% of the value of its total assets
would  be  invested  in  securities  of  the  issuer  of  such
security.

Report of Independent Registered Public Accounting Firm

To the Board of Directors and Shareholders of 
ASA Gold and Precious Metals Limited

Opinion on the Financial Statements

We  have  audited  the  accompanying  statements  of
assets and liabilities of ASA Gold and Precious Metals
Limited  (the  “Company”),  including  the  schedules  of
investments, as of November 30, 2018 and November
30, 2017, the related statements of operations and the
statements of changes in net assets for each of the two
years in the period then ended, and financial highlights
for each of the five years in the period then ended, and
the related notes (collectively referred to as the “financial
statements”). In  our  opinion,  the  financial  statements
present  fairly,  in  all  material  respects,  the  financial
position of the Company as of November 30, 2018 and
November 30, 2017, the results of its operations and the
changes in its net assets for each of the two years in the
period then ended, and the financial highlights for each
of the five years in the period then ended, in conformity
with  accounting  principles  generally  accepted  in  the
United States of America.

Basis for Opinion

These  financial  statements  are  the  responsibility  of
the  Company’s  management.    Our  responsibility  is  to
express  an  opinion  on  the  Company’s  financial
statements  based  on  our  audits. We  are  a  public
accounting  firm  registered  with  the  Public  Company
Accounting  Oversight  Board 
(United  States)
(“PCAOB”)  and  are  required  to  be  independent  with
respect to the Fund in accordance with the U.S. federal
securities 
rules  and
regulations  of 
the  Securities  and  Exchange
Commission and the PCAOB.  We have served as the
Company’s auditor since 2012.

the  applicable 

laws  and 

We  conducted  our  audits  in  accordance  with  the
standards of the PCAOB. Those standards require that
we  plan  and  perform  the  audit  to  obtain  reasonable
assurance about whether the financial statements are
free of material misstatement, whether due to error or
fraud. The Company is not required to have, nor were
we engaged to perform, an audit of its internal control
over  financial  reporting.   As  part  of  our  audits  we  are
required to obtain an understanding of internal control
over  financial  reporting,  but  not  for  the  purpose  of
expressing  an  opinion  on  the  effectiveness  of  the
Company’s  internal  control  over  financial  reporting.
Accordingly, we express no such opinion.

Our  audits  included  performing  procedures  to
assess  the  risks  of  material  misstatement  of  the
financial statements, whether due to error or fraud, and
performing  procedures  that  respond  to  those  risks.
Such procedures included examining, on a test basis,
evidence regarding the amounts and disclosures in the
financial  statements. Our  audits  also 
included
evaluating 
the  accounting  principles  used  and
significant estimates made by management, as well as
evaluating  the  overall  presentation  of  the  financial
statements. Our  procedures  included  confirmation  of
securities  owned  as  of  November  30,  2018  by
correspondence  with  the  custodian.    We  believe  that
our audits provide a reasonable basis for our opinion.

TAIT, WELLER & BAKER LLP
Philadelphia, Pennsylvania
January 18, 2019

6

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Schedules of Investments

November 30, 2018 and November 30, 2017

                                                                                                        2018                                                          2017
                                                                    ___________________________________     __________________________________

                                                                                                                            Percent                                                       Percent 
                                                                                                                              of Net                                                         of Net 
Name of Company                                                           Shares             Value          Assets             Shares            Value            Assets
Common Shares
Gold mining, exploration, development and royalty companies

Australia
Newcrest Mining Limited                                           1,015,000    $  15,285,900            7.8%       1,015,000    $  17,610,250          7.2%

                                                                                                         15,285,900            7.8                                   17,610,250          7.2
Canada
Agnico Eagle Mines Limited                                        450,000        15,804,000            8.1              450,000        19,669,500          8.1
Alacer Gold Corp., (1)                                               2,500,000          3,893,612            2.0           2,500,000          4,051,801          1.7
Alamos Gold Inc.                                                          875,000          2,811,113            1.4              875,000          5,563,956          2.3
Atlantic Gold Corporation – 144A, (1)(2)                  2,750,000          3,144,985            1.6           2,750,000          3,284,091          1.3
B2Gold Corp., (1)                                                      1,594,338          3,922,568            2.0           1,594,338          4,067,599          1.7
Barrick Gold Corporation                                          1,125,000        14,343,750            7.4           1,125,000        15,502,500          6.3
Belo Sun Mining Corp., (1)                                       2,600,000             645,550            0.3           2,600,000             897,212          0.4
Detour Gold Corporation, (1)                                       450,000          3,341,735            1.7              450,000          4,885,425          2.0
Eldorado Gold Corporation, (3)                                             —                      —             —           1,296,570          1,465,124          0.6
Franco-Nevada Corporation                                        160,000        11,075,164            5.7              160,000        13,041,449          5.3
Goldcorp Inc.                                                                932,400          8,652,672            4.4              932,400        11,785,536          4.8
Golden Star Resource Ltd., (1)                                    580,000          1,711,000            0.9                       —                       —           —
Guyana Goldfields Inc., (1)                                          619,500             629,242            0.3              669,500          2,273,979          0.9
IAMGOLD Corp., (1)                                                    675,000          2,058,750            1.1                       —                       —           —
Kinross Gold Corporation, (1)                                      800,000          2,168,000            1.1              800,000          3,328,000          1.4
New Gold Inc., (1)                                                                 —                      —             —              500,000          1,550,000          0.6
OceanaGold Corporation                                          2,154,013          6,271,936            3.2           2,654,013          6,832,867          2.8
Pretium Resources Inc., (1)                                         725,000          5,154,750            2.6              725,000          7,757,500          3.2
Roxgold Inc., (1)                                                        2,827,200          1,701,723            0.9           2,827,200          2,587,023          1.1
Semafo Inc., (1)                                                           900,000          1,625,160            0.8              900,000          2,226,358          0.9
Tahoe Resources Inc., (3)                                            593,200          2,097,690            1.1              708,200          3,141,331          1.3
TMAC Resources Inc., (1)                                             26,500             125,412            0.1                26,500             153,096          0.1
TMAC Resources Inc. – 144A, (1)(2)                          185,000             875,517            0.4              185,000          1,068,784          0.4
Torex Gold Resources Inc., (1)                                    330,000          2,589,647            1.3              330,000          3,267,884          1.3
Torex Gold Resources Inc. – 144A, (1)(2)                   130,000          1,020,164            0.5              125,000          1,237,835          0.5

                                                                                                         95,664,140          49.1                                 119,638,851        49.0
Cayman Islands
Endeavour Mining Corporation, (1)                              250,000          3,114,890            1.6              250,000          4,526,773          1.9
Channel Islands
Centamin plc                                                             1,500,000          1,986,307            1.0                       —                       —           —
Lydian International Limited, (1)                                1,780,000               87,051            0.0           1,780,000             503,819          0.2
Lydian International Limited – 144A, (1)(2)             10,593,775             518,091            0.3         12,593,775          3,564,598          1.5
Randgold Resources Limited – ADRs                         229,100        18,366,947            9.4              254,100        23,316,216          9.5

                                                                                                         20,958,396          10.8                                   27,384,632        11.2
Peru
Compañia de Minas Buenaventura S.A.A. – ADRs     699,000          9,883,860            5.1              699,000          9,779,010          4.0
South Africa
AngloGold Ashanti Limited                                           898,420          8,912,326            4.6              898,420          9,388,489          3.8
Gold Fields Limited                                                   1,029,577          3,016,661            1.5           1,029,577           4,355,111          1.8
Sibanye-Stillwater                                                     1,092,174             666,226            0.3           1,050,168          1,462,359          0.6

                                                                                                         12,595,213            6.5                                   15,205,959          6.2
United States
Newmont Mining Corporation                                      570,368        18,445,701            9.5              570,368        21,097,912          8.6
Royal Gold, Inc.                                                           165,000        12,069,750            6.2              190,000        15,716,800          6.4

                                                                                                         30,515,451          15.7                                   36,814,712        15.1

Total gold mining, exploration, development and

royalty companies
(Cost $190,061,071 – 2018, $199,722,344 – 2017)                   188,017,850          96.5                                 230,960,189        94.6

The notes to financial statements form an integral part of these statements.

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Schedules of Investments (continued)

November 30, 2018 and November 30, 2017

                                                                                                        2018                                                          2017
                                                                             _______________________________  __________________________________

                                                                                                                            Percent                                                       Percent 
                                                                                                                              of Net                                                         of Net 
Name of Company                                                           Shares             Value          Assets             Shares            Value            Assets

Silver mining, exploration and development companies

Canada
MAG Silver Corp., (1)                                                  325,000    $    2,195,847            1.1%          325,000    $    3,445,194          1.4%

Total silver mining, exploration and development companies

(Cost $2,541,688 – 2018, $2,541,688 – 2017)                               2,195,847            1.1                                     3,445,194          1.4

Total gold and silver investments

(Cost $192,602,759 – 2018, $202,264,032 – 2017)                   190,213,697          97.6                                 234,405,383        96.0

Diamond Mining, Exploration and Development Companies

Bermuda
Petra Diamonds Limited, (1)                                     1,000,000             537,348            0.3           1,000,000             909,758          0.4
Canada
Stornoway Diamond Corporation, (1)                       1,389,500             198,634            0.1           1,389,500             711,155          0.3
Stornoway Diamond Corporation - 144A, (1)(2)       9,698,550          1,386,445            0.7           9,698,550          4,963,780          2.0

                                                                                                           1,585,080            0.8                                     5,674,935          2.3

Total diamond mining, exploration and development companies

(Cost $9,760,780 – 2018, $10,222,660 – 2017)                             2,122,428            1.1                                     6,584,693          2.7

Total common shares

(Cost $202,363,539 – 2018, $212,486,693 – 2017)                   192,336,125          98.7                                 240,990,076        98.7

Total investments

(Cost $202,363,539 – 2018, $212,486,693 – 2017), (4)            192,336,125          98.7                                 240,990,076        98.7
Cash, receivables, and other assets less liabilities                            2,497,874            1.3                                     3,211,495          1.3

Net assets                                                                                     $194,833,999        100.0%                            $244,201,571      100.0%

(1)  Non-income producing security.
(2)  Restricted security.
(3)  Non-income producing security in 2018 only.
(4)  Cost of investments shown approximates adjusted basis for U.S. federal income tax purposes, determined in accordance with

U.S. federal income tax principles. Gross unrealized appreciation of investments and gross unrealized depreciation of
investments at November 30, 2018 were $57,993,009 and $68,020,423, respectively, resulting in net unrealized depreciation on
investments of $10,027,414. Gross unrealized appreciation of investments and gross unrealized depreciation of investments at
November 30, 2017 were $80,547,008 and $52,043,624, respectively, resulting in net unrealized appreciation on investments of
$28,503,384.

ADR – American Depository Receipt.
May not total due to independent rounding.
The notes to financial statements form an integral part of these statements.

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92552_01_ASA_AR.qxp  1/18/19  2:26 PM  Page 9

Portfolio Statistics (Unaudited)
November 30, 2018 and November 30, 2017
Geographic Breakdown*                   2018                  2017

Australia                                               7.8%                  7.2%
Bermuda                                              0.3%                  0.4%
Canada                                              51.0%                52.7%
Cayman Islands                                   1.6%                  1.9%
Channel Islands                                 10.8%                11.2%
Peru                                                     5.1%                  4.0%
South Africa                                          6.5%                  6.2%
United States                                     15.7%                15.1%
Cash                                                     1.3%                  1.3%
                                                            _________                 _________
                                                        100.0%              100.0%
* Geographic breakdown, which is based on company domiciles, is expressed as a percentage of total net assets including cash.

Percentage totals may not equal 100.0% due to independent rounding.

Principal Portfolio Changes in Shares for the Years Ended (unaudited)
November 30, 2018 and November 30, 2017
                                                                                                                         2018                                       2017
Investments                                                                                       Increase      Decrease           Increase      Decrease

Agnico Eagle Mines Limited                                                                                                                                      25,000
Alacer Gold Corp.                                                                                                                          2,500,000
Alamos Gold Inc.                                                                                                                              275,000
Asanko Gold Inc.                                                                                                                              400,000        1,825,000
Atlantic Gold Corporation – 144A, (1)                                                                                                                      250,000
Barrick Gold Corporation                                                                                                                                         150,000
Centamin plc                                                                                    1,500,000
Eldorado Gold Corporation, (2)                                                                             1,296,570           896,570           250,000
Endeavour Mining Corporation                                                                                                        250,000
Golden Star Resource Ltd.                                                              2,900,000
Guyana Goldfields Inc.                                                                                               50,000           200,000           387,800
IAMGOLD Corp.                                                                                  675,000
Integra Gold Corp, (2)                                                                                                                      707,000        4,957,000
Lydian International Limited –144A, (1)                                                                 2,000,000        5,714,475
Lydian International Limited, C$0.36 Warrants, 11/27/2017                                                                                    585,000
Lydian International Limited, C$0.36 Warrants, 11/27/2017 – 144A, (1)                                                              5,159,475
MAG Silver Corp.                                                                                                                               50,000
New Gold Inc.                                                                                                           500,000
Newcrest Mining Limited                                                                                                                                          200,000
Newmont Mining Corporation                                                                                                                                  125,000
OceanaGold Corporation                                                                                          500,000        1,600,000
Perseus Mining Limited                                                                                                                                         7,067,700
Petra Diamonds Limited, GBp 40 Rights, 06/29/2018, (3)                 625,000         625,000
Pretium Resources Inc.                                                                                                                    425,000
Randgold Resources Limited - ADRs                                                                         25,000                                     28,000
Roxgold Inc.                                                                                                                                     303,800
Royal Gold, Inc.                                                                                                          25,000
Sibanye Gold Limited, R11.28 Rights, 06/09/2017, (4)                                                                 1,323,741        1,323,741
Sibanye-Stillwater                                                                                                                               20,591
Stillwater Mining Company                                                                                                                                      375,000
Tahoe Resources Inc.                                                                                               115,000
Torex Gold Resources, (1)                                                                      5,000                                  50,000
(1)  Restricted security.
(2)  Eldorado Gold Corporation acquired Integra Gold Corp. on July 18, 2017 for $0.24135 cash plus 0.18087 Eldorado Gold Corporation

shares per 1 Integra Gold Corp share.

(3)  On June 11, 2018, Petra Diamonds Limited conducted a Rights Offer in which 5 Petra Diamonds Limited, GBp 40 Rights, 06/29/2018 

were issued for every 8 Petra Diamonds Limited shares held.

(4)  On May 26, 2017, Sibanye Gold Limited conducted a Rights Offer in which 9 Sibanye Gold Limited, R11.28 Rights, 06/09/2017 were

issued for every 7 Sibanye Gold Limited shares held.

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92552_01_ASA_AR.qxp  1/18/19  2:26 PM  Page 10

Statements of Assets and Liabilities

November 30, 2018 and November 30, 2017

                                                                                                                                  2018                            2017

Assets

Investments, at value
Cost

$202,363,539 in 2018
$212,486,693 in 2017                                                                        $ 192,336,125             $ 240,990,076
Cash and cash equivalents                                                                                   3,449,518                    3,677,900
Dividends receivable, net of withholding taxes payable                                           102,658                       102,264
Due from broker                                                                                                                 —                       615,885
Other assets                                                                                                             183,921                       176,018

Total assets                                                                                                     $ 196,072,222             $ 245,562,143

Liabilities

Accrued affiliate expenses                                                                              $        625,108             $        709,206
Accounts payable and accrued liabilities                                                                  182,942                       164,804
Liability for retirement benefits due to current and future retired directors               430,173                       486,562

Total liabilities                                                                                                  $     1,238,223             $     1,360,572
Net assets                                                                                                      $ 194,833,999             $ 244,201,571

Common shares $1 par value

Authorized: 40,000,000 shares
Issued and Outstanding: 19,289,905 shares                                            $   19,289,905             $   19,289,905
Share premium (capital surplus)                                                                            1,372,500                    1,372,500
Distributable earnings                                                                                        174,171,594                223,539,166*

Net assets                                                                                                       $ 194,833,999             $ 244,201,571

Net asset value per share                                                                               $            10.10             $            12.66

* Distributable earnings as of November 30, 2017 consist of the following:

Undistributed net investment income                                                                                           $
7,352,171
Undistributed net realized gain from investments                                                                           306,757,097
Undistributed net realized loss from foreign currency transactions                                                (119,073,486)
Net unrealized appreciation on investments                                                                                      28,503,384
Total distributable earnings                                                                                                          $ 223,539,166

The closing price of the Company’s shares on the New York Stock Exchange was $8.66 and $11.05 on November 30,
2018 and November 30, 2017, respectively.

The notes to financial statements form an integral part of these statements.

10

92552_01_ASA_AR.qxp  1/18/19  2:26 PM  Page 11

Statements of Operations

For the years ended November 30, 2018 and November 30, 2017

                                                                                                                                  2018                            2017

Investment income
Dividend income (net of withholding taxes of $327,876 and $328,728
respectively, and ADR fees of $4,582 and $5,082, respectively)

$   1,607,015              $    1,402,806
Interest income                                                                                                          16,735                                —

Total investment income                                                                                        1,623,750                    1,402,806

Expenses
Shareholder reports and proxy expenses                                                                 88,932                         99,654
Directors’ fees and expenses                                                                                  243,173                       241,588
Retired directors’ fees                                                                                               63,750                         78,750
Investment research                                                                                                859,878                    1,006,310
Administration and operations                                                                              1,157,334                    1,055,592
Fund accounting                                                                                                      163,076                       163,076
Transfer agent, registrar and custodian                                                                  137,229                       144,733
Legal fees                                                                                                                136,994                       127,572
Audit fees                                                                                                                  55,000                         55,000
Professional fees – other                                                                                            1,000                           1,875
Insurance                                                                                                                157,482                       164,582
Dues and listing fees                                                                                                 25,000                         25,000
Depreciation expense                                                                                                       —                           2,527

Total expenses                                                                                                       3,088,848                    3,166,259
Change in retirement benefits due to directors                                                         (56,389)                      (94,306)

Net expenses                                                                                                         3,032,459                    3,071,953

Net investment income (loss)                                                                               (1,408,709)                 (1,669,147)

Net realized and unrealized gain (loss) from investments and foreign

currency transactions

Net realized gain (loss) from investments
Proceeds from sales                                                                                            8,823,413                  28,383,529
Cost of securities sold                                                                                        17,874,974                  35,348,795

Net realized gain (loss) from investments                                                            (9,051,561)                 (6,965,266)

Net realized gain (loss) from foreign currency transactions
Investments                                                                                                             202,613                       190,384
Foreign currency                                                                                                           (420)                          8,120

Net realized gain (loss) from foreign currency transactions                                     202,193                       198,504

Net increase (decrease) in unrealized appreciation (depreciation)

on investments

Balance, beginning of period                                                                              28,503,384                  18,323,599
Balance, end of period                                                                                      (10,027,414)                 28,503,384

Net increase (decrease) in unrealized appreciation (depreciation)

on investments                                                                                                (38,530,798)                 10,179,785

Net unrealized gain (loss) on translation of assets and liabilities in

foreign currency                                                                                                              —                                  5

Net realized and unrealized gain (loss) from investments and foreign

currency transactions                                                                                    $(47,380,166)                   3,413,028

Net increase (decrease) in net assets resulting from operations                     $(48,788,875)             $    1,743,881

The notes to financial statements form an integral part of these statements.

11

92552_01_ASA_AR.qxp  1/18/19  2:26 PM  Page 12

Statements of Changes in Net Assets

For the years ended November 30, 2018 and 2017

                                                                                                                                        2018                      2017

Net investment income (loss)                                                                               $   (1,408,709)        $   (1,669,147)
Net realized gain (loss) from investments                                                                 (9,051,561)             (6,965,266)
Net realized gain (loss) from foreign currency transactions                                          202,193                  198,504
Net increase (decrease) in unrealized appreciation (depreciation)

on investments                                                                                                    (38,530,798)            10,179,785

Net unrealized gain (loss) on translation of assets and liabilities

in foreign currency                                                                                                              —                             5

Net increase (decrease) in net assets resulting from operations                            (48,788,875)              1,743,881

Dividends paid/payable                                                                                                (578,697)                (771,596)*

Net increase (decrease) in net assets                                                                    (49,367,572)                 972,285
Net assets, beginning of period                                                                              244,201,571           243,229,286

Net assets, end of period                                                                                     $194,833,999         $244,201,571**

** Dividends paid from undistributed net investment income.
** Includes undistributed net investment income of $7,352,171 as of November 30, 2017.

The notes to financial statements form an integral part of these statements.

12

92552_01_ASA_AR.qxp  1/18/19  2:26 PM  Page 13

Notes to Financial Statements

Years ended November 30, 2018 and November 30, 2017

1. Organization

ASA Gold and Precious Metals Limited (the “Company”) is a closed-end investment company registered under the
Investment Company Act of 1940, as amended (the “1940 Act”), and was organized as an exempted limited liability
company under the laws of Bermuda.
2. Investment objective and strategy

The Company is a non-diversified, closed-end, internally managed fund that seeks long-term capital appreciation
primarily through investing in companies engaged in the exploration for, development of projects or mining of precious
metals and minerals.

It is a fundamental policy of the Company that at least 80% of its total assets must be (i) invested in common shares
or securities convertible into common shares of companies engaged, directly or indirectly, in the exploration, mining
or processing of gold, silver, platinum, diamonds or other precious minerals, (ii) held as bullion or other direct forms
of gold, silver, platinum or other precious minerals, (iii) invested in instruments representing interests in gold, silver,
platinum or other precious minerals such as certificates of deposit therefor, and/or (iv) invested in securities of invest-
ment companies, including exchange traded funds, or other securities that seek to replicate the price movement of
gold, silver or platinum bullion.

The Company employs bottom-up fundamental analysis and relies on detailed primary research including meetings
with company executives, site visits to key operating assets, and proprietary financial analysis in making its investment
decisions.
3. Summary of significant accounting policies

The following is a summary of the significant accounting policies:
A. Security valuation
The net asset value of the Company generally is determined as of the close of regular trading on the New York Stock
Exchange (the “NYSE”) or the Toronto Stock Exchange (the “TSX”), whichever is later, on the date for which the val-
uation is being made (the “Valuation Time”). Portfolio securities listed on U.S. and foreign stock exchanges generally
are valued at the last reported sale price as of the Valuation Time on the exchange on which the securities are pri-
marily traded, or the last reported bid price if a sale price is not available. Securities traded over the counter are
valued at the last reported sale price or the last reported bid price if a sale price is not available. Securities listed on
foreign stock exchanges may be fair valued based on significant events that have occurred subsequent to the close
of the foreign markets.

Securities for which current market quotations are not readily available are valued at their fair value as determined
in good faith by, or in accordance with procedures approved by, the Company’s Board of Directors. If a security is
valued at a “fair value,” that value may be different from the last quoted price for the security. Various factors may be
reviewed in order to make a good faith determination of a security’s fair value. These factors include, but are not lim-
ited to, the nature of the security; relevant financial or business developments of the issuer; actively traded similar
or related securities; conversion rights on the security; and changes in overall market conditions.

Where the Company holds securities listed on foreign stock exchanges and American Depository Receipts (“ADRs”)
representing these securities are actively traded in U.S. markets, the securities normally are fair valued based on
the last reported sales price of the ADRs.

The difference between cost and market value is reflected separately as net unrealized appreciation (depreciation)
on investments. The net realized gain or loss from the sale of securities is determined for accounting purposes on
the identified cost basis.

13

92552_01_ASA_AR.qxp  1/18/19  2:26 PM  Page 14

Notes to Financial Statements (continued)

Years ended November 30, 2018 and November 30, 2017

B. Restricted securities
At November 30, 2018 and November 30, 2017, the Company held investments in restricted securities of 3.56% and
5.78% of net assets, respectively, valued in accordance with procedures approved by the Company’s Board of
Directors as follows:

Restricted Securities
November 30, 2018
                                                                                                           Value                                    Acquisition
________       _________     ________________________________    _______      _________      ______________
Shares              Cost                                  Issuer                                 Per Unit           Value                    Date
5,000            $51,131     Torex Gold Resources, Inc. – 144A               $7.85              $39,237           01/31/2018
3,714,475         1,214,778     Lydian International Limited – 144A                0.05              181,657           11/21/2017
1,841,350         1,490,038     Stornoway Diamond Corporation – 144A        0.14              263,228           06/21/2016
6,879,300         1,269,275     Lydian International Limited – 144A                0.05              336,434           05/26/2016
2,750,000         1,285,447     Atlantic Gold Corporation – 144A                    1.14           3,144,985           05/09/2016
185,000            898,101     TMAC Resources, Inc. – 144A                        4.73              875,517           06/26/2015
7,857,200         4,641,822     Stornoway Diamond Corporation – 144A        0.14           1,123,217           07/08/2014
125,000         1,351,000     Torex Gold Resources, Inc. – 144A                 7.85              980,927           01/22/2014

Restricted Securities
November 30, 2017
                                                                                                           Value                                    Acquisition
________       _________     ________________________________    _______      _________      ______________
Shares              Cost                                  Issuer                                 Per Unit           Value                    Date
5,714,475       $1,869,119     Lydian International Limited – 144A              $0.28         $1,617,451           11/21/2017
1,841,350       $1,490,038     Stornoway Diamond Corporation – 144A        0.51              942,415           06/21/2016
6,879,300         1,269,275     Lydian International Limited – 144A                0.28           1,947,148           05/26/2016
2,750,000         1,285,447     Atlantic Gold Corporation – 144A                    1.19           3,284,091           05/09/2016
185,000            898,101     TMAC Resources, Inc. – 144A                        5.78           1,068,784           06/26/2015
7,857,200         4,641,822     Stornoway Diamond Corporation – 144A        0.51           4,021,366           07/08/2014
125,000         1,351,000     Torex Gold Resources, Inc. – 144A                 9.90           1,237,835           01/22/2014

C. Fair value measurement
In accordance with U.S. GAAP, fair value is defined as the price that the Company would receive to sell an investment
or pay to transfer a liability in a timely transaction with an independent buyer in the principal market, or in the absence
of a principal market the most advantageous market for the investment or liability. U.S. GAAP establishes a three-
tier hierarchy to distinguish between (1) inputs that reflect the assumptions market participants would use in pricing
an asset or liability developed based on market data obtained from sources independent of the reporting entity
(observable inputs) and (2) inputs that reflect the reporting entity’s own assumptions about the assumptions market
participants would use in pricing an asset or liability developed based on the best information available in the cir-
cumstances (unobservable inputs) and to establish classification of fair value measurements for disclosure purposes.
Various inputs are used in determining the value of the Company’s investments. The inputs are summarized in the
three broad levels listed below.

Level 1 – Unadjusted quoted prices in active markets for identical assets or liabilities that the Company has

the ability to access.

Level 2 – Observable inputs other than quoted prices included in level 1 that are observable for the asset or
liability either directly or indirectly. These inputs may include quoted prices for identical instruments
on an inactive market, prices for similar investments, interest rates, prepayment speeds, credit risk,
yield curves, default rates, and similar data.

Level 3 – Unobservable inputs for the assets or liability to the extent that relevant observable inputs are not
available, representing the Company’s own assumptions about the assumptions that a market par-
ticipant would use in valuing the asset or liability, and that would be based on the best information
available.

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with
investing in those securities.

14

92552_01_ASA_AR.qxp  1/18/19  2:26 PM  Page 15

Notes to Financial Statements (continued)

Years ended November 30, 2018 and November 30, 2017

The following is a summary of the inputs used as of November 30, 2018 and November 30, 2017 in valuing the
Company’s investments at fair value:

Investment in Securities
Measurements at November 30, 2018

Description (1)                                                       Level 1                   Level 2                   Level 3                       Total
                                                                                ______                   ______                   ______                       ____

Common Shares
Gold and Silver Investments

Gold mining, exploration, development

and royalty companies                           $154,577,979           $33,439,871

$               —         $188,017,850

Silver mining, exploration and

development companies                              2,195,847                           —                           —               2,195,847

Diamond Mining, Exploration and
Development Companies                                   735,983               1,386,445                           —               2,122,428
                                                                      ___________           ___________          ___________         ___________
Total Investments                                          $157,509,808           $34,826,317
$               —         $192,336,125
                                                                      ___________           ___________          ___________         ___________
                                                                      ___________           ___________          ___________         ___________

Transfers into and out of levels are recognized at the end of the period. During the year ended November 30, 2018,
there were no transfers into and out of Levels 1, 2, and 3.

(1) See schedules of investments for country classifications.

May not total due to independent rounding.

Investment in Securities
Measurements at November 30, 2017

Description (1)                                                       Level 1                   Level 2                   Level 3                       Total
                                                                                ______                   ______                   ______                       ____

Common Shares
Gold and Silver Investments

Gold mining, exploration, development

and royalty companies                           $188,988,672           $41,971,517

$               —         $230,960,189

Silver mining, exploration and

development companies                              3,445,194                           —                           —               3,445,194

Diamond Mining, Exploration and
Development Companies                                1,620,913               4,963,780                           —               6,584,693
                                                                      ___________           ___________          ___________         ___________
$               —         $240,990,076
Total Investments                                          $194,054,779           $46,935,297
                                                                      ___________           ___________          ___________         ___________
                                                                      ___________           ___________          ___________         ___________

Transfers into and out of levels are recognized at the end of the period. During the year ended November 30, 2017,
there were no transfers into and out of Levels 1, 2, and 3.

(1) See schedules of investments for country classifications.

May not total due to independent rounding.
D. Cash and Cash Equivalents
The Company considers all money market funds and all highly liquid temporary cash investments purchased with an
original maturity of less than three months to be cash equivalents. The majority of the Company’s cash and cash
equivalents at November 30, 2018 consisted of overnight deposit of excess funds in a commercial paper sweep
account held at JPMorgan Chase & Co (“JPM”).
E. Foreign Currency Translation
Portfolio securities and other assets and liabilities denominated in foreign currencies are translated into U.S. dollar
amounts at the rate of exchange reported one hour after the Valuation Time. Purchases and sales of investment
securities and income and expense items denominated in foreign currencies are translated into U.S. dollar amounts
on the respective dates of such transactions. The Company separately reports the effect of changes in foreign
exchange rates from changes in market prices of securities held. The resulting net foreign currency gain or loss is
included on the Statements of Operations. Realized foreign currency gains or losses arise from sales of foreign cur-
rencies, currency gains or losses realized between the trade and settlement dates on securities transactions, fluctu-
ation in exchange rates between the initial purchase date and subsequent sale date on securities transactions, and
the difference between the amounts of dividends, interest, and foreign withholding taxes recorded on the Company’s
books and the U.S. dollar equivalent of the amounts actually received or paid.

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Notes to Financial Statements (continued)

Years ended November 30, 2018 and November 30, 2017

F. Securities Transactions and Investment Income
During the year ended November 30, 2018, sales and purchases of portfolio securities (other than temporary short-
term investments) amounted to $8,823,414 and $7,549,208, respectively. During the year ended November 30, 2017,
sales and purchases of portfolio securities (other than temporary short-term investments) amounted to $25,484,241
and $23,772,331, respectively.

Dividend income is recorded on the ex-dividend date, net of withholding taxes or ADR fees, if any. Interest income
is recognized on the accrual basis.
G. Dividends to Shareholders
Dividends to shareholders are recorded on the ex-dividend date. The reporting for financial statement purposes of
dividends paid from net investment income and/or net realized gains may differ from their ultimate reporting for U.S.
federal income tax purposes, primarily because of the separate line item reporting for financial statement purposes
of foreign exchange gains or losses.
H. Use of Estimates
The preparation of the financial statements in conformity with U.S. GAAP requires management to make estimates
and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results
could differ from those estimates. It is management’s opinion that all adjustments necessary for a fair statement of
the results of the interim periods presented have been made. All adjustments are of a normal recurring nature.
I. Basis of Presentation
The financial statements are presented in U.S. dollars. The Company is an investment company and accordingly
follows the investment company accounting and reporting guidance of the Financial Accounting Standards Board
(“FASB”) Accounting Standard Codification, Topic 946 “Financial Services - Investment Companies”.
J. Income Taxes
In accordance with U.S. GAAP requirements regarding accounting for uncertainties on income taxes, management
has analyzed the Company’s tax positions taken on federal and state income tax returns, as applicable, for all open
tax years (2015 – 2018). As of November 30, 2018 and November 30, 2017, the Company has not recorded any
unrecognized tax benefits. The Company’s policy, if it had unrecognized benefits, is to recognize accrued interest
and penalties in operating expenses.
4. Tax status of the Company

The Company is a “passive foreign investment company” (“PFIC”) for the U.S. federal income tax purposes and is
not subject to Bermuda tax as an exempted limited liability company organized under the laws of Bermuda. Nor is
the Company generally subject to U.S. federal income tax, since it is a non-U.S. corporation whose only business
activity in the United States is trading in stocks or securities for its own account; under the U.S. federal tax law that
activity does not constitute engaging in the conduct of a trade or business within the United States, even if its principal
office is located therein. As a result, its gross income is not subject to U.S. federal income tax, though certain types
of income it earns from U.S. sources (such as dividends of U.S. payors) are subject to U.S. federal withholding tax.
5. Exemptive order

The Company is a closed-end investment company and operates pursuant to an exemptive order issued by the
Securities and Exchange Commission (the “SEC”) pursuant to Section 7(d) of the 1940 Act (the “Order”). The Order
is conditioned upon, among other things, the Company complying with certain requirements relating to the custody of
assets and settlement of securities transactions outside of the United States different than those required of other reg-
istered investment companies. These conditions make it more difficult for the Company to implement a flexible invest-
ment strategy and to fully achieve its desired portfolio diversification than if it were not subject to such requirements.
6. Retirement plans

The Company has recorded a liability for retirement benefits due to retired directors and one director who served on
the Board through January 8, 2019 and is now retired. See Note 12. Subsequent events. The liability for these benefits
at November 30, 2018 and November 30, 2017 was $430,173 and $486,562, respectively. A director whose first
election to the Board of Directors was prior to January 1, 2008 qualifies to receive retirement benefits if he has served
the Company (and any of its predecessors) for at least twelve years prior to retirement. Directors first elected on or
after January 1, 2008 are not eligible to participate in the plan.
7. Concentration risk

The Company invests at least 80% of its total assets in securities of companies engaged, directly or indirectly, in the
exploration, mining or processing of gold or other precious minerals. The Company also invests a substantial portion
of its assets in companies that are domiciled and/or have operations outside of the United States, including emerging

16

92552_01_ASA_AR.qxp  1/18/19  2:26 PM  Page 17

Notes to Financial Statements (continued)

Years ended November 30, 2018 and November 30, 2017

market countries, such as South Africa. The Company is, therefore, subject to gold and precious metals-related risk
as well as risk related to investing in foreign securities, including political, economic, regulatory, liquidity, currency
fluctuation, and foreign exchange risks. The Company currently is invested in a limited number of securities and thus
holds large positions in certain securities. Because the Company’s investments are concentrated in a limited number
of securities of companies involved in the holding or mining of gold and other precious minerals and related activities,
the net asset value of the Company may be subject to greater volatility than that of a more broadly diversified invest-
ment company.
8. Indemnifications

In the ordinary course of business, the Company enters into contracts that contain a variety of indemnification pro-
visions. The Company’s maximum exposure under these arrangements is unknown.
9. Compensation matters

For the year ended November 30, 2018 and November 30, 2017, the aggregate remuneration paid to the Company’s
officers was $1,465,918 and $1,485,685, respectively. In addition, $518,500 and $602,500, respectively was accrued
for bonuses to the Company’s officers and employees. The accrued bonuses are reflected in the “Accrued affiliated
expenses” on the Statements of Assets and Liabilities. The aggregate remuneration paid to the Company’s directors
was $213,000 and $213,000, respectively.
10. Operating lease commitment

In June 2017, the Company entered into a three-year operating lease agreement, commencing March 1, 2018, in
San Mateo, CA for approximately 2,500 square feet to be used as office space for its employees. The lease provides
for future minimum rental payments in the aggregate amount of $479,782 as of November 30, 2018. The lease con-
tains escalation clauses relating to the tenant’s share of insurance, operating expenses and tax expenses of the les-
sor.

Future minimum rental commitments under the lease are as follows:

12/01/2018 – 11/30/2019                      $209,584
12/01/2019 – 11/30/2020                        215,842
12/01/2020 – 02/28/2021                          54,356
                                                             ________
Total                                                      $479,782
                                                             ________
                                                             ________
11. Share repurchase

The Company may from time to time purchase its common shares at a discount to NAV on the open market in such
amounts and at such prices as the Company may deem advisable.

The Company had 19,289,905 shares outstanding as of November 30, 2018 and November 30, 2017. There were
no repurchases during the years ended November 30, 2018 and November 30, 2017.
12. Subsequent events

On December 14, 2018, the Company announced that its Board of Directors has reached an agreement, in principle,
for Merk Investments LLC, an SEC registered investment adviser (“Merk”), to become ASA’s investment adviser,
 subject to approval of the advisory agreement with Merk by ASA shareholders at the annual meeting of shareholders
scheduled for March 26, 2019. If the agreement is approved by shareholders, the Board anticipates that the transition
to Merk will be completed on or about March 31, 2019, with ASA closing its office and terminating employees as of
that date.

On January 8, 2019, a director of the company resigned and now receives retirement benefits. See Note 6. Retirement plans.

17

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Financial Highlights

                                                                                                              Year ended November 30

                                                                                              2018         2017         2016         2015         2014

Per share operating performance (1)

Net asset value, beginning of year                                       $12.66      $12.61        $8.33       $11.50      $12.98

Net investment income (loss)                                                  (0.07)        (0.09)        (0.10)        (0.09)        (0.08)
Net realized gain (loss) from investments                               (0.47)        (0.36)        (0.79)         0.13         (0.48)
Net realized gain (loss) from foreign currency transactions      0.01          0.01         (0.14)        (0.21)        (0.05)
Net increase (decrease) in unrealized appreciation

on investments                                                                   (2.00)         0.53          5.35         (2.96)        (0.83)

Net unrealized (loss) on translation of assets and liabilities

in foreign currency                                                                  —          0.00          0.00         (0.00)             —

Net increase (decrease) in net assets resulting

from operations                                                                  (2.53)         0.09          4.32         (3.13)        (1.44)

Dividends

From net investment income                                              (0.03)        (0.04)        (0.04)        (0.04)        (0.04)
From net realized gain on investments                                   —              —              —              —              —

Net asset value, end of year                                                 $10.10      $12.66      $12.61        $8.33       $11.50

Market value per share, end of year                                       $8.66       $11.05      $10.81        $7.16      $10.74

Total investment return
Based on market price (2)                                                  (21.39%)      2.57%     51.50%    (33.02%)   (15.69%)
Based on net asset value (3)                                              (19.97%)      0.74%     51.86%    (27.20%)   (11.11%)

Ratio to average net assets
Expenses                                                                               1.35%       1.19%       1.26%       1.64%       1.37%
Net investment income (loss)                                               (0.63%)     (0.65%)     (0.79%)     (0.83%)     (0.54%)

Supplemental data
Net assets, end of year (000 omitted)                               $194,834  $244,202  $243,229  $160,744  $221,800
Portfolio turnover rate                                                                 3%            9%          10%          10%            7%
Shares outstanding (000 omitted)                                         19,290      19,290      19,290      19,290      19,290

(1) Per share amounts from operations have been calculated using the average shares method.
(2) Total investment return is calculated assuming a purchase of common shares at the current market price at close the day
before and a sale at the current market price on the last day of each year reported. Dividends are assumed, for purposes
of this calculation, to be reinvested at prices obtained under the Company’s dividend reinvestment plan.

(3) Total investment return is calculated assuming a purchase of common shares at the current net asset value at close the
day before and a sale at the current net asset value on the last day of each year reported. Dividends are assumed, for
purposes of this calculation, to be reinvested at prices obtained under the Company’s dividend reinvestment plan.

18

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Certain Tax Information for U.S. Shareholders

The  Company  is  a  “passive  foreign  investment
 company” (“PFIC”) for U.S. federal income tax  purposes.
In view of this, U.S. investors holding common shares in
taxable accounts are strongly urged to review the impor-
tant tax information regarding the consequences of an
investment  in  the  common  shares  of  the  Company,
which may be found at www.asaltd.com under “Investor

 Information | Taxpayer Information - PFIC”. Due to the
complexity  and  potentially  adverse  effect  of  the
applicable tax rules, U.S. shareholders are strongly
urged to consult their own tax advisors concerning
the impact of these rules on their investment in the
Company and on their individual situations, and any
additional informational filing requirements.

Dividend Reinvestment and Stock Purchase Plan

Computershare  Trust  Company,  N.A.  (“Computer -
share”) has been authorized by the Company to offer
and administer the Computershare Investment Plan, a
dividend reinvestment and stock purchase plan (“CIP”) 
to  shareholders  as  well  as  new  investors  or  non-
shareholders.  Shareholders  and  new  investors  may
elect to participate in the CIP by signing an enrollment
form  or  by  going  to  www.computershare.com/investor
and  following  the  instructions.  New  investors  or  non-
shareholders  must  include  a  minimum  initial  invest -
ment  of  at  least  $500.  Computershare  as  agent  will
apply to the purchase of common shares of the Com -
pany  in  the  open  market  (i)  all  cash  dividends  (after
deduction of the service charge described below) that
become payable to such participant on the Company’s
shares (including shares registered in his or her name
and  shares  accumulated  under  the  CIP)  and  (ii)  any
optional cash purchases ($50 minimum, subject to an
annual  maximum  of  $250,000)  received  from  such
participant.

be 

in  bulk 

requests 

combined, 

requests  may 

Computershare  may  combine  CIP  participant
purchase  requests  with  other  purchase  requests
received  from  other  CIP  participants  and  may  submit
the  combined  purchase 
to
Computershare’s  broker  as  a  single  purchase  order.
Purchase 
at
Computershare’s discretion, according to one or more
type  (e.g.,  dividend
factors  such  as  purchase 
reinvestment,  one-time  ACH,  check,  etc.),  request
date, or request delivery method (e.g., online, regular
mail,  etc.).  Computershare  will  submit  bulk  purchase
orders  to  its  broker  as  and  when  required  under  the
terms of the CIP. Computershare’s broker may execute
each bulk purchase order in one or more transactions
over  one  or  more  days,  depending  on  market
conditions.  Each  participant  whose  purchase  request
is included in each bulk purchase order will receive the
weighted average market price of all shares purchased
by  Computershare’s  broker  for  such  order. Any  stock
dividends or split shares distributed on shares held in
the CIP will be credited to the participant’s account.

A  one-time  $10  enrollment  fee  to  establish  a  new
account for a new investor or non-shareholder will be
deducted  from  the  purchase  amount.  For  each
participant,  each  dividend  reinvestment  will  entail  a
transaction fee of 5% of the amount reinvested, up to a

maximum of $3 plus $0.03 per share purchased. Each
optional  cash  purchase  by  check  or  one-time  online
bank debit will entail a transaction fee of $5 plus $0.03
per  share  purchased.  If  a  participant  has  funds
automatically deducted monthly from his or her savings
or checking account, for each debit the transaction fee
is $2.50 plus $0.03 per share purchased. Fees will be
deducted from the purchase amount. Each batch order
sale will entail a transaction fee of $15 plus $0.12 per
share  sold.  Each  market  order  sale  will  entail  a
transaction fee of $25 plus $0.12 per share sold. Fees
are deducted from the proceeds derived from the sale.
All per share fees include any brokerage commissions
Computershare is required to pay. Any fractional share
will  be  rounded  up  to  a  whole  share  for  purposes  of
calculating  the  per  share  fee.  Additional  fees  are
charged  by  Computershare  for  specific  shareholder
requests  such  as  copies  of  account  statements  for
prior  years  ($10  per  year  requested)  and  a  returned
check and ACH reject fee of $25.

Participation  in  the  CIP  may  be  terminated  by  a
participant at any time by written, telephone or Internet
instructions  to  Computershare.  Upon  termination,  a
participant  will  receive  a  certificate  for  the  whole
number of shares credited to his or her account, unless
he  or  she  requests  the  sale  of  all  or  part  of  such
shares.  Dividends  reinvested  by  a  shareholder  under
the  CIP  will  generally  be  treated  for  U.S.  federal
income tax purposes in the same manner as dividends
paid  to  such  shareholder  in  cash.  See  “Certain  Tax
Information 
for  more
for  U.S.  Shareholders” 
tax  consequences  of  an
information  regarding 
investment  in  shares  of  the  Company,  including  the
effect of the Company’s status as a PFIC. The amount
of  the  service  charge  is  deductible  for  U.S.  federal
income tax purposes, subject to limitations.

To participate in the CIP, shareholders may not hold

their shares in a “street name” brokerage account.

Additional  information  regarding  the  CIP  may 
from  Computershare,  P.O.  Box 
be  obtained 
Information 
505000,  Louisville,  KY  40233-5000. 
Internet  at
may  also  be  obtained  on 
or  by  calling
www.computershare.com/investor
Computershare’s  Telephone  Response  Center  at 
(800)  317-4445  between  9:00  a.m.  and  5:00  p.m.,
Eastern time, Monday through Friday.

the 

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Privacy Notice

The  Company  is  committed  to  protecting  the

financial privacy of its shareholders.

We do not share any nonpublic, personal information
that  we  may  collect  about  shareholders  with  anyone,
including  our  affiliates,  except 
to  service  and
administer  shareholders’  share  accounts,  to  process
transactions, to comply with shareholders’ requests of
legal  requirements  or  for  other  limited  purposes
permitted  by  law.  For  example,  the  Company  may
disclose  a  shareholder’s  name,  address,  social
security number and the number of shares owned to its
administrator, transfer agent or other service providers
in  order  to  provide  the  shareholder  with  proxy

statements,  tax  reporting  forms,  annual  reports  or
other  information  about  the  Company.  This  policy
applies  to  all  of  the  Company’s  shareholders  and
former shareholders.

We keep nonpublic personal information in a secure
environment. We restrict access to nonpublic personal
information  to  Company  employees,  agents  and
service  providers  who  have  a  need  to  know  the
information  based  on  their  role  in  servicing  or
administering  shareholders’  accounts.  The  Company
also  maintains  physical,  electronic  and  procedural
safeguards  to  protect  the  confidentiality  of  nonpublic
personal information.

Form N-PX/Proxy Voting

The company files a list of its proxy votes with the
SEC for the period of July 1 - June 30 of each year on
Form N-PX. The policies and procedures used by the
Company to determine how to vote proxies relating to
portfolio securities and information regarding how the
Company voted proxies relating to portfolio securities

during  the  most  recent  twelve  month  period  are
available on the Company’s website at www.asaltd.com
and  on  the  SEC’s  website  at  www.sec.gov. A  written
copy  of  the  Company’s  policies  and  procedures  is
available without charge, upon request, by calling (800)
432-3378.

Form N-Q/Portfolio Holdings

The Company files its complete schedule of portfolio
holdings with the SEC for the first and third quarters of
each fiscal year on Form N-Q. The Company’s Forms
N-Q  are  available  on 
the  SEC’s  website  at
www.sec.gov. The Company’s Forms N-Q also may be
reviewed  and  copied  at  the  Reference  Room  in
Washington, D.C.; information on the operation of the

Public  Reference  Room  may  be  obtained  by  calling 
1-800-SEC-0330. The schedule of portfolio holdings on
Form N-Q also is included in the Company’s financial
statements for the first and third quarters of each fiscal
year which are available on the Company’s website at
www.asaltd.com.

Common Shares Repurchased

Notice  is  hereby  given  in  accordance  with  Section
23(c) of the 1940 Act that the Company is authorized to
purchase its common shares in the open market if the
discount to net asset value exceeds a certain threshold
as determined by the Board of Directors from time to
time. The Company may purchase its common shares
in such amounts and at such prices as the Company

may deem advisable. There can be no assurance that
such  action  will  reduce  the  discount.  There  were  no
repurchases  during 
twelve  months  ended
November  30,  2018  or  November  30,  2017.  The
Company  had  19,289,905  shares  outstanding  on
November 30, 2018.

the 

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Board of Directors and Officers
of ASA Gold and Precious
Metals Limited

Directors are elected at each annual general meeting of
shareholders to serve until the next annual general
meeting. The address of each director and officer is c/o
ASA Gold and Precious Metals Limited, 400 S. El
Camino Real, Suite 710, San Mateo, CA 94402.

Interested Director*
David Christensen (56)
Position held with the Company: Director since 2008;
President, Chief Executive Officer and Chief Investment
Officer since February 2009.
Other Directorships held by Director: Director of Denver
Gold Group from 2010 to 2015.

Independent Directors
Mary Joan Hoene, (69)
Position held with the Company: Chair (non-executive)
since January 2019. Deputy Chair (non-executive) from
2016 to 2018. Director since 2014.
Principal occupations during past 5 years: Counsel,
Carter Ledyard & Milburn LLP since 2010.
Other Directorships held by Director: None.

Gary Glynn (72)
Position held with the Company: Director since 2013.
Chairman (non-executive) from 2014 to 2016.
Principal occupations during past 5 years: Retired.
Other Directorships held by Director: Director of Taiwan
Opportunities Fund Ltd. since 2012.

Bruce Hansen (61)
Position held with the Company: Director since 2014.
Principal occupations during past 5 years: Chief
Executive Officer, General Moly, Inc. since 2007.
Other Directorships held by Director: Director of Energy
Fuels Inc. since 2006; Director of General Moly Inc.
since 2007; Director and past Chairman (2011) of the
Nevada Mining Association since 2010.

Other Officers
Jack Huntington (48)
Position held with the Company: Chief Compliance
Officer since September 2015.
Principal occupations during past 5 years: Fund Chief
Compliance Officer at Foreside Fund Officer Services,
LLC since 2015; Senior Vice President and Counsel at
Citi Fund Services from 2008 to 2015.

James Nash (38)
Position held with the Company: Corporate Secretary
and Deputy Chief Compliance Officer since September
2018.
Principal occupations during past 5 years: Fund Chief
Compliance Officer at Foreside Fund Officer Services,
LLC since 2016; Regulatory Administration Advisor with
JPMorgan Chase Bank, N.A. from 2014 to 2016; Product
Analyst with Linedata Services, Inc. from 2011 to 2014.

* By reason of being an Officer of the Company.

Sara Heston (39)
Position held with the Company: Vice President
Investments since December 2013; Analyst from
January 2010 to December 2013.
Other Directorships held by Officer: Director of
Denver Gold Group since December 2017.

David Lin (40)
Position held with the Company: Chief Financial
Officer since December 2015; Controller from
September 2014 to December 2015.
Other principal occupations during past 5 years:
Director of Finance from 2012 to 2014 and Controller
from 2008 to 2012 at White Oak Global Advisors,
LLC; Chief Financial Officer at White Oak Merchant
Partners, LLC from 2010 to 2014.

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Other Information

Executive Office and Shareholder Services
ASA Gold and Precious Metals Limited
400 S. El Camino Real, Suite 710
San Mateo, CA 94402 U.S.A.
(800) 432-3378

Registered Office
Canon’s Court
22 Victoria Street
Hamilton HM 12, Bermuda

Independent Registered Public Accounting
Firm
Tait, Weller & Baker LLP, Philadelphia, PA, U.S.A.

Counsel
Appleby, Hamilton, Bermuda
K&L Gates LLP, Washington, DC, U.S.A.

Custodian
JPMorgan Chase Bank, N.A.
New York, NY, U.S.A.

Fund Accountants
ALPS Alternative Investment Services, LLC
Miami, FL, U.S.A.

Transfer Agent
Computershare Trust Company, N.A.
P.O. Box 505000, Louisville, KY 40233-5000
(800) 317-4445

Website: www.asaltd.com

The  Semi-annual  and  Annual  Reports  of  the
Company and the  latest valuation of net assets per
share may be viewed on the Company’s website or
may be requested from the Executive Office (800-
432-3378).  Shareholders  are  reminded  to  notify
Computershare of any change of address.

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Gold and Precious Metals Limited