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ASA Gold and Precious Metals Limited

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FY2021 Annual Report · ASA Gold and Precious Metals Limited
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Gold and Precious Metals Limited

Annual Report and Financial Statements 
November 30, 2021  

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

  
ASA Gold and Precious Metals Limited

Annual Report and Financial Statements

November 30, 2021

Table of Contents
Letter to Shareholders (Unaudited) 
Forward-looking statements 
10-Year performance returns (Unaudited) 
Certain investment policies and restrictions (Unaudited) 
Report of Independent Registered Public Accounting Firm 
Schedule of investments 
Portfolio statistics (Unaudited) 
Statement of assets and liabilities 
Statement of operations 
Statements of changes in net assets 
Notes to financial statements 
Financial highlights 
Certain tax information for U.S. shareholders (Unaudited) 
Dividend reinvestment and stock purchase plan (Unaudited) 
Privacy notice (Unaudited) 
Form N-PX/proxy voting (Unaudited) 
Form N-PORT/portfolio holdings (Unaudited) 
Share repurchase (Unaudited) 
Company investment objective, investment strategy and risks (Unaudited) 
Board of directors and officers (Unaudited) 

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1

Dear Shareholder,

Fiscal 2021 was a volatile period for gold. In the last twelve months, there were nine price moves greater than $100/oz, 
yet the price of gold was essentially flat. The gold price ranged from a high of $1,959 to a low of $1,677, ending the 
fiscal  year  at  $1,775.  Price  fluctuations  were  attributed  to  concerns  and  optimism  surrounding  Covid-19,  conflicting 
economic data, the Federal Reserve’s (the “Fed”) tapering, and questions around when the Fed will begin to increase 
interest rates.

Gold decreased 0.1% during the fiscal year ended November 30, 2021, while ASA Gold and Precious Metals Limited 
(“ASA”, the “Fund” or the “Company”) reported a total return of 4.0% based on its net asset value (“NAV”), compared 
to a total return decrease of 7.3% for the NYSE Arca Gold Miners Index (the “Index”). Total return of ASA’s share price 
for the fiscal year was 4.1%. At fiscal year-end, total net assets of ASA were $481 million, an increase of $17 million as 
compared to fiscal year-end 2020. 

The Company’s average expense ratio dropped to 0.91% during the 2021 fiscal year from 1.02% during fiscal year 
2020 due to investment performance and the corresponding increase in assets. For the fiscal year ended November 30, 
2021, Merk Investments (“Merk”), the Fund’s investment adviser, proactively agreed to a scaled decrease in investment 
adviser fees on an asset level basis above $300 million in net assets, which also benefited the expense ratio.

Separately, investment income increased to $2.7 million during fiscal year 2021 from $1.3 million during 2020, which 
was primarily due to some of the producing companies in the portfolio increasing dividend payouts. 

The discount at which ASA’s shares traded in the market fluctuated during the year from a high of 18.1% to a low of 
10.1% and ended the fiscal year at 17.1%. The Board of Directors of ASA and Merk monitor the Company’s share price 
and discount to NAV on an ongoing basis. 

Annual portfolio turnover has somewhat stabilized since Merk took over the management of the portfolio in 2019. We 
are pleased with the current construction of the portfolio and now are at a point where we constantly manage risk versus 
reward when adding or subtracting names. 

Although the Company does not maintain a formal distribution policy, the Company has paid uninterrupted distributions 
since 1959, and expects to make distributions on a semi-annual basis (in May and November) to shareholders. The 
Company’s  distributions  have  been  the  same  amount  per  share  since  November  2018,  including  the  most  recent 
distribution,  paid  on  November  24,  2021.  In  general,  these  distributions  do  not  affect  the  Company’s  investment 
strategy and may reduce the Fund’s NAV.  For the 12-month period ended November 30, 2021, none of the Company’s 
distributions will be treated as a return of capital for tax purposes.   You should not draw any conclusions about the 
Company’s investment performance from the source or amount of the distributions.

We continue to believe that the U.S. dollar is in a long-term bear market. Also, we think the price of gold should be 
supported by ongoing negative real interest rates (i.e., nominal interest rates below inflation rates). If the Fed hikes 
interest rates faster than currently anticipated by the market, it may hasten an economic downturn that leads to rates 
going  back  down  to  near-zero.  Overall,  we  expect  volatility  in  the  gold  price  to  continue  and  believe  that  company 
specific catalysts will provide outperformance. 

As we have stated in previous letters and shown over the last twelve months, the Fund has moved into a position where 
we believe there is better leverage to the gold price. Stock selection on the smaller capitalization companies has shown 
to be the right decision. The following table shows the breakdown by stage of company and the performance attribution 
for each over the last fiscal year:

2

 
Large: annual production > 1,000,000 ounces
Medium: annual production 500,000 – 1,000,000 ounces
Small: annual production < 500,000 ounces
Attribution: a measure of the relative contribution to the performance

Our thesis is that larger capitalization companies are more inclined to perform in line with the gold price, whereas the 
exploration,  development  and  smaller  producers  have  catalysts  that  will  drive  outperformance. The  attribution  table 
above  shows  the  effect  on  our  portfolio.  A  number  of  our  exploration  holdings  have  had  success  with  the  drill  bit 
and  driven  the  majority  of  our  annual  performance. The  development  companies  are  in  the  build  out  stage  and  we 
believe they should start to see improved performance as the ramp up to production is closer. Additionally, a timely 
move into silver and copper/gold projects has been encouraging for the Fund. Operationally, we believe most of the 
producing companies have been performing well and generating free cash flow with nice dividends. Unfortunately, their 
performance has been driven mostly by the commodity. We continue to believe that these companies need to find new 
projects to improve their growth pipeline. 

In that vein, mergers and acquisition (M&A) activity has been increasing throughout the year, with a number of deals in 
the smaller capitalization part of the sector. The Agnico Eagle/Kirkland Lake transaction in the fourth quarter, though, 
was primarily done to appease the generalist investor and create a new alternative to the largest companies – Newmont 
Mining and Barrick Gold. It does not solve what we see as the increasing irrelevance of the mid-capitalization companies. 
In that environment, we believe our portfolio is positioned to benefit with projects that could be a source of growth to 
companies that are showing little future growth in their production pipelines. 

We continue to wish everyone health and safety during this period of global uncertainty. As always, please reach out to 
us if you have any questions.

Peter Maletis, Portfolio Manager  
Merk Investments LLC   

Axel Merk, Chief Investment Officer
Merk Investments LLC

3

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Forward-Looking Statements
This  shareholder  letter  includes  forward-looking  statements,  which  involve  known  and  unknown  risks,  uncertainties 
and other factors that may cause the actual results, levels of activity, performance or achievements of the Company, 
or  industry  results,  to  be  materially  different  from  any  future  results,  levels  of  activity,  performance  or  achievements 
expressed or implied by such forward-looking statements. The Company’s actual performance or results may differ from 
its beliefs, expectations, 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 references does not mean that the statements are not forward-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 limitation: the Company’s investment decisions, the 
performance 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 information, 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 international monetary and 
political developments. The Company is a non-diversified fund and, as such, may invest in fewer investments than that 
of a diversified portfolio. The Company may invest in smaller-sized companies 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 information 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 performance shown.

This shareholder letter does not constitute an offer to sell or solicitation of an offer to buy any securities.

4

10-Year Performance Returns

Comparison of Change in Value of a $10,000 Investment 
ASA Gold and Precious Metals – Share Price and NYSE ARCA Gold Miners Index(1)
The following chart reflects the change in the value of a hypothetical $10,000 investment, including reinvested dividends 
and  distributions,  in  ASA  Gold  and  Precious  Metals,  Ltd.  (the  “Company”)  compared  with  the  performance  of  the 
benchmark,  NYSE ARCA  Gold  Miners  Index,  over  the  past  ten  fiscal  years.  The  total  return  of  the  index  includes 
the reinvestment of dividends and income. The total return of the Company includes operating expenses that reduce 
returns, while the total return of the indices do not include expenses. The Company is professionally managed, while 
the index is unmanaged and is not available for investment.

 $12,000

 $10,000

 $8,000

 $6,000

 $4,000

 $2,000

 $-

$7,567

$6,012

2011

2012

2013

2014

2015

2016

2017

2018

2019

2020

2021

ASA Gold and Precious Metals - Share Price

NYSE ARCA Gold Miners Index

Fiscal Year Total Returns

120%

100%

80%

60%

40%

20%

0%

-20%

-40%

-60%

NAV

Share Price

51.9%

51.5%

62.5%

63.4%

47.0%

41.1%

0.7%

2.6%

4.0%

4.1%

-24.2%

-22.4%

-11.1%

-15.7%

-41.1%

-45.6%

-27.2%

-33.0%

-20.0%

-21.4%

2012

2013

2014

2015

2016

2017

2018

2019

2020

2021

Best Quarter (NAV):
Worst Quarter (NAV):

Q2 2020
Q2 2013

80.11%
-34.36%

5

           
Average Annual Total Returns 
For the years ended November 30, 2021
ASA Gold and Precious Metals - NAV
ASA Gold and Precious Metals - Share Price
FTSE Gold Mines Index(1)
NYSE ARCA Gold Miners Index (NTR)(1)
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.

1 Year
  3.96%  
  4.06%  
 -9.92%  
 -7.25%  

5 Year
 14.89%  
 14.11%  
  9.54%  
  9.84%  

3 Year
 35.41%  
 33.88%  
 19.26%  
 19.50%  

10 Year
 -2.07%
 -2.75%
 -5.17%
  3.97%

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 (“FTSE Gold 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 NYSE Arca Gold Miners Index 
(the “Index”) is a net total return modified capitalization weighted index comprised of publicly traded companies primarily involved 
in the mining of gold and silver in locations around the world. The Company does not attempt to replicate the FTSE Gold Index or 
the Index. The FTSE Gold Index and Index do not necessarily reflect investments in other precious metals companies (e.g., silver, 
platinum, and diamonds) in which the Company may invest. Data about the performance of the FTSE Gold Index and 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 FTSE Gold Index or Index and does not invest in all securities included in the FTSE 
Gold Index or Index.

For more complete information about the Company, please call us directly at 1-800-432-3378, or visit the Company’s 
website at www.asaltd.com.

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 policy (i.e., 
a  policy  that  may  be  changed  only  by  shareholder  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  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 investment companies, including exchange traded funds, or other securities that seek to replicate the price 
movement of gold, silver or platinum bullion. Compliance 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 above, the Company may deviate from 
the investment policy outlined in that paragraph and make temporary investments of unlimited amounts in securities 
issued by the U.S. Government, 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-fundamental 
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.

7

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
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 statement of assets and liabilities of ASA Gold and Precious Metals Limited (the 
“Company”),  including  the  schedule  of  investments,  as  of  November  30,  2021,  the  related  statement  of  operations 
for the year then ended, 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, 2021, the results of its operations for the year then ended, 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 laws and the applicable rules and regulations of the 
Securities and Exchange Commission and the PCAOB.  We have served as the Company’s auditor since 2012.

We  conducted  our  audits  in  accordance  with  the  standards  of  the  PCAOB.    Those  standards  require  that  we  plan 
and  perform  the  audits  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, 2021 by correspondence with the custodians.  We believe that our audit provide a reasonable basis 
for our opinion.

TAIT, WELLER & BAKER LLP
Philadelphia, Pennsylvania
January 19, 2022

8

Schedule of Investments 
November 30, 2021

Name of Company
Common Shares
Gold mining, exploration, development and royalty companies
Australia

Alicanto Minerals, Ltd. (1)
Barton Gold Holdings, Ltd. (1)
Bellevue Gold, Ltd. (1)
Bellevue Gold, Ltd. (1)
Cygnus Gold, Ltd. (1)
Dacian Gold, Ltd. (1)
Emerald Resources NL (1)
Los Cerros, Ltd. (1)
Los Cerros, Ltd. (1)
Pantoro, Ltd. (1)
Perseus Mining, Ltd.
Predictive Discovery, Ltd. (1)
Predictive Discovery, Ltd. (1)
Prodigy Gold NL (1)

Canada

Agnico Eagle Mines, Ltd.
Alamos Gold, Inc.
B2Gold Corp.
Barrick Gold Corp.
Calibre Mining Corp. (1)
Desert Gold Ventures, Inc. (1)
G Mining Ventures Corp. (1)
GoGold Resources, Inc. (1)
HighGold Mining, Inc. (1)
K92 Mining, Inc. (1)
Liberty Gold Corp. (1)
Marathon Gold Corp. (1)
Mawson Gold, Ltd. (1)
Millennial Precious Metals Corp. (1)
Monarch Mining Corp. (1)
Newcore Gold, Ltd. (1)
Nighthawk Gold Corp. (1)
O3 Mining, Inc. (1)
Orla Mining, Ltd. (1)
Osino Resources Corp. (1)
Prime Mining Corp. (1)
Probe Metals, Inc. (1)
Roscan Gold Corp. (1)
Skeena Resources, Ltd. (1)
SSR Mining, Inc.
Talisker Resources, Ltd. (1)
TDG Gold Corp. (1)
Thesis Gold, Inc. (1)
Westhaven Gold Corp. (1)

Cayman Islands

Endeavour Mining PLC

Shares

Value

% of Net 
Assets

25,000,004  $   2,227,656 
   1,287,407 
   4,344,820 
736,730 
   1,015,811 
   2,022,883 
   13,001,044 
   2,635,317 
202,717 
   3,763,847 
   12,859,811 
   10,696,133 
670,079 
   1,022,048 
   56,486,303 

8,600,000  
7,666,667  
1,300,000  
7,500,000  
13,842,639  
17,125,000  
28,437,500  
2,187,500  
16,000,000  
11,000,000  
63,850,000  
4,000,000  
38,750,000  

   0.5 %
   0.3  
   0.9  
   0.2  
   0.2  
   0.4  
   2.7  
   0.5  
   0.0  
   0.8  
   2.7  
   2.2  
   0.1  
   0.2  
   11.7  

200,000  
1,200,000  
2,000,000  
700,000  
11,083,000  
13,400,000  
17,843,965  
2,857,140  
3,000,000  
1,725,000  
11,082,000  
5,039,200  
8,600,000  
12,333,333  
5,600,000  
5,750,000  
4,348,000  
2,223,000  
8,200,000  
4,000,000  
6,450,000  
4,725,000  
10,886,900  
700,000  
1,050,000  
6,500,000  
6,977,925  
4,400,000  
5,500,000  

   9,960,000 
   9,168,000 
   7,880,000 
   13,293,000 
   11,712,435 
   1,363,654 
   12,012,846 
   7,291,304 
   3,616,580 
   9,992,563 
   9,369,103 
   11,873,648 
   1,077,146 
   5,116,965 
   3,156,288 
   2,385,612 
   2,927,144 
   3,619,586 
   35,112,137 
   3,694,861 
   23,680,379 
   6,731,770 
   2,982,829 
   6,678,000 
   19,067,692 
   1,602,802 
   2,731,193 
   4,408,783 
   1,851,344 
  234,357,664 

   2.1  
   1.9  
   1.6  
   2.8  
   2.4  
   0.3  
   2.5  
   1.5  
   0.7  
   2.1  
   1.9  
   2.5  
   0.2  
   1.1  
   0.6  
   0.5  
   0.6  
   0.7  
   7.3  
   0.8  
   4.9  
   1.4  
   0.6  
   1.4  
   4.0  
   0.3  
   0.6  
   0.9  
   0.4  
   48.6  

860,000  

   20,176,289 

   4.2  

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

9

  
  
  
 
 
Schedule of Investments (continued)
November 30, 2021

Name of Company
Common Shares (continued)
Gold mining, exploration, development and royalty companies (continued)
South Africa

Shares

Value

AngloGold Ashanti, Ltd. ADR
Gold Fields, Ltd. ADR

% of Net 
Assets

   3.5 %
   3.5  
   7.0  
   71.5  

1,500,000  

800,000  $   16,752,000 
   17,010,000 
   33,762,000 
  344,782,256 

Total gold mining, exploration, development and royalty companies (Cost $179,729,468)

Diversified metals mining, exploration, development and royalty companies
Australia

Auteco Minerals, Ltd. (1)
Castile Resources, Ltd. (1)
Geopacific Resources, Ltd. (1)
Red Dirt Metals, Ltd. (1)

Canada

Adventus Mining Corp. (1)
Americas Gold & Silver Corp. (1)
Americas Gold & Silver Corp. (1)
Americas Gold & Silver Corp. (1)(2)
Arizona Metals Corp. (1)
Aya Gold & Silver, Inc. (1)
Benchmark Metals, Inc. (1)
Bunker Hill Mining Corp. (1)
Emerita Resources Corp. (1)
Euro Sun Mining, Inc. (1)
Huntington Exploration, Inc. (1)
Huntsman Exploration, Inc. (1)
Integra Resources Corp. (1)
Integra Resources Corp. (1)
Pan Global Resources, Inc. (1)
Sable Resources, Ltd. (1)

United Kingdom

70,750,750  
12,500,000  
17,857,143  
11,338,600  

5,310,000  
1,975,000  
1,555,000  
1,071,400  
2,400,000  
2,400,000  
7,384,615  
14,214,957  
2,750,000  
11,000,000  
7,900,000  
6,175,000  
2,679,999  
550,001  
6,667,000  
26,160,000  

   3,580,861 
   1,782,125 
   2,673,187 
   5,900,385 
   13,936,558 

   3,782,614 
   1,599,553 
   1,278,132 
867,727 
   9,788,250 
   18,261,380 
   6,301,014 
   2,893,177 
   6,888,724 
   2,454,108 
   1,236,839 
290,031 
   5,874,200 
   1,199,002 
   3,548,914 
   4,300,442 
   70,564,107 

   0.7  
   0.4  
   0.6  
   1.2  
   2.9  

   0.8  
   0.3  
   0.3  
   0.2  
   2.0  
   3.8  
   1.3  
   0.6  
   1.4  
   0.5  
   0.3  
   0.1  
   1.2  
   0.2  
   0.7  
   0.9  
   14.6  

Adriatic Metals PLC (1)
Total diversified metals mining, exploration, development and royalty companies  
(Cost $63,437,782)

2,500,000  

   4,722,630 

   1.0  

   89,223,295 

   18.5  

Silver mining, exploration, development and royalty companies
Canada

Andean Precious Metals Corp. (1)
Discovery Silver Corp. (1)
Discovery Silver Corp. (1)
Silver Tiger Metals, Inc. (1)

South Africa

2,000,000  
1,555,556  
4,444,444  
10,595,333  

   2,270,148 
   2,301,461 
   6,575,599 
   4,893,535 
   16,040,743 

   0.5  
   0.5  
   1.4  
   1.0  
   3.4  

Sibanye Stillwater, Ltd. ADR
Total silver mining, exploration, development and royalty companies (Cost $7,876,838)
Total common shares (Cost $251,044,088 )

273,043  

   3,396,654 
   19,437,397 
  453,442,948 

   0.7  
   4.1  
   94.1  

Rights
Silver mining, exploration, development and royalty companies
Canada

Pan American Silver Corp. (Expiration Date 2/22/29) (1)(3)
Total rights (Cost $136,720)

393,200

149,731 
149,731 

   0.0  
   0.0  

10

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

 
 
  
   
   
   
 
 
 
  
  
 
 
 
 
 
 
  
 
  
 
 
Schedule of Investments (continued)
November 30, 2021

Name of Company
Warrants
Diversified metals mining, exploration, development and royalty companies
Australia

Shares

Value

% of Net 
Assets

Red Dirt Metals, Ltd. (Exercise Price $0.25, Exp. Date 11/19/24) (1)(3)

    2,834,650 

 $  

990,133 

   0.2 %

Canada

Arizona Metals Corp. (Exercise Price $3.00, Exp. Date 4/22/22) (1)(3)
Aya Gold & Silver, Inc. (Exercise Price $3.30, Exp. Date 9/8/23) (1)(3)
Benchmark Metals, Inc. (Exercise Price $0.40, Exp. Date 12/23/21) (1)(3)
Benchmark Metals, Inc. (Exercise Price $1.80, Exp. Date 9/15/22) (1)(3)
Bunker Hill Mining Corp. (Exercise Price $0.60, Exp. Date 2/9/26) (1)(3)
Bunker Hill Mining Corp. (Exercise Price $0.50, Exp. Date 8/15/23) (1)(3)
Bunker Hill Mining Corp. (Exercise Price $0.50, Exp. Date 8/15/23) (1)(3)
Emerita Resources Corp. (Exercise Price $1.50, Exp. Date 7/15/23) (1)(3)
Euro Sun Mining, Inc. (Exercise Price $0.55, Exp. Date 6/5/23) (1)(3)
Huntington Exploration, Inc. (Exercise Price $0.40, Exp. Date 6/17/23) (1)(3)
Huntsman Exploration, Inc. (Exercise Price $0.35, Exp. Date 10/22/23) (1)(3)
Sable Resources, Ltd. (Exercise Price $0.20, Exp. Date 9/10/23) (1)(3)
Total diversified metals mining, exploration, development and royalty companies  
(Cost $1,806,421)

    1,200,000 
    1,200,000 
    5,000,000 
    3,692,307 
    1,250,000 
    3,464,957 
    9,500,000 
    1,375,000 
    5,500,000 
    3,950,000 
    6,175,000 
    11,000,000 

Gold mining, exploration, development and royalty companies
Canada

Desert Gold Ventures, Inc. (Exercise Price $0.40, Exp. Date 8/21/23) (1)(3)
G Mining Ventures Corp. (Exercise Price $0.80, Exp. Date 5/25/22) (1)(3)
G Mining Ventures Corp. (Exercise Price $1.90, Exp. Date 9/9/24) (1)(3)
Maverix Metals, Inc. (Exercise Price $3.30, Exp. Date 12/23/21) (1)(3)
Mawson Resources, Ltd. (Exercise Price $0.45, Exp. Date 5/20/22) (1)(3)
Monarch Mining Corp. (Exercise Price $1.05, Exp. Date 6/29/23) (1)(3)
Nighthawk Gold Corp. (Exercise Price $1.50, Exp. Date 7/7/23) (1)(3)
O3 Mining, Inc. (Exercise Price $3.25, Exp. Date 6/18/22) (1)(3)
Osino Resources Corp. (Exercise Price $1.05, Exp. Date 1/30/22) (1)(3)
Prime Mining Corp. (Exercise Price $1.10, Exp. Date 6/10/25) (1)(3)
Prime Mining Corp. (Exercise Price $5.00, Exp. Date 4/27/24) (1)(3)
Probe Metals, Inc. (Exercise Price $1.30, Exp. Date 12/10/21) (1)(3)
Pure Gold Mining, Inc. (Exercise Price $0.85, Exp. Date 7/18/22) (1)(3)
Thesis Gold, Inc. (Exercise Price $0.75, Exp. Date 10/31/22) (1)(3)
Westhaven Gold Corp. (Exercise Price $1.00, Exp. Date 2/4/23) (1)(3)
Total gold mining, exploration, development and royalty companies (Cost $2,213,098)

    6,700,000 
    5,421,982 
    3,500,000 
250,000 
    4,300,000 
    2,500,000 
    2,174,000 
740,000 
    1,000,000 
920,000 
400,000 
    2,362,500 
    1,500,000 
    2,000,000 
    2,750,000 

Silver mining, exploration, development and royalty companies
Canada

   2,085,405 
   6,077,733 
   2,700,693 
57,808 
9,785 
0 
0 
   1,937,454 
43,055 
0 
0 
344,436 

   0.4  
   1.3  
   0.6  
   0.0  
   0.0  
   0.0  
   0.0  
   0.4  
   0.0  
   0.0  
   0.0  
   0.1  

   14,246,502 

   3.0  

0 
636,657 
273,983 
504,912 
0 
117,421 
17,018 
0 
109,593 
   2,599,867 
241,105 
998,669 
105,679 
861,091 
0 
   6,465,995 

   0.0  
   0.1  
   0.1  
   0.1  
   0.0  
   0.0  
   0.0  
   0.0  
   0.0  
   0.5  
   0.1  
   0.2  
   0.0  
   0.2  
   0.0  
   1.3  

Discovery Silver Corp. (Exercise Price $0.77, Exp. Date 5/28/22) (1)(3)
Discovery Silver Corp. (Exercise Price $1.75, Exp. Date 8/7/22) (1)(3)
Silver Tiger Metals, Inc. (Exercise Price $0.50, Exp. Date 7/31/23) (1)(3)
Total silver mining, exploration, development and royalty companies (Cost $137,059)
Total warrants (Cost $4,156,578)

    1,454,545 
975,000 
    1,666,666 

   1,275,268 
198,442 
156,562 
   1,630,272 
   22,342,769 

   0.3  
   0.1  
   0.0  
   0.4  
   4.7 

Money Market Fund
Federated US Treasury Cash Reserve Fund - Institutional Shares, 0.01% 

(Cost $6,337,406) (4)
Investments, at value (Cost $261,674,792)
Cash, receivables and other assets less other liabilities
Net assets

    6,337,406 

   6,337,406 
  482,272,854 
(374,399 )
 $  481,898,455 

   1.3  
  100.1 
   (0.1 )
  100.0 %

ADR
PLC

American Depositary Receipt
Public Limited Company

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

11

 
 
  
 
 
 
 
  
 
  
 
  
 
  
 
 
  
 
  
 
  
 
  
 
 
  
 
  
 
  
   
 
  
 
  
 
  
 
  
   
 
  
 
  
   
 
   
 
  
 
  
 
  
 
  
 
  
 
 
   
 
  
 
  
 
 
 
 
 
  
Schedule of Investments (continued)
November 30, 2021

(1)
(2)
(3)

(4)

Non-income producing security.
Restricted security.
Security fair valued in accordance with procedures adopted by the Board of Directors. At the period end, the value 
of these securities amounted to $22,492,500 or 4.7% of net assets.
Dividend yield changes daily to reflect current market conditions. Rate was the quoted yield as of November 30,
2021.

Portfolio Statistics (Unaudited)
November 30, 2021 

Geographic Breakdown*

Australia
Canada
Cayman Islands
South Africa
United Kingdom
Cash

14.8 %
71.1  
4.2  
7.7  
1.0  
1.2  
100.0 %

*Geographic breakdown, which is based on company domiciles, is expressed as a percentage of total net assets including cash. 

12

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

 
 
  
  
  
  
  
  
  
 
Statement of Assets and Liabilities
November 30, 2021
Assets

Investments, at value (Cost $261,674,792)
Cash
Foreign currency (Cost $411)
Dividends receivable, net of withholding taxes payable
Prepaid expenses
Total assets

Liabilities

Accrued investment adviser fees
Accrued fund service fees
Liability for retirement benefits due to retired directors
Other expenses
Total liabilities

Net assets

Common shares $1 par value 

Authorized: 40,000,000 shares 
Issued and Outstanding: 19,289,905 shares

Share premium (capital surplus)
Distributable earnings
Net assets
Net asset value per share

 $   482,272,854 
79,943 
401 
236,792 
104,177 
 $   482,694,167 

276,001 
39,353 
333,458 
146,900 
795,712 
 $   481,898,455 

 $  

19,289,905 
1,372,500 
     461,236,050 
 $   481,898,455 
24.98 
 $  

The closing price of the Company’s shares on the New York Stock Exchange was $20.70 on November 30, 2021.

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

13

    
    
    
    
    
    
    
    
    
    
Statement of Operations
For the year ended November 30, 2021

Investment income
Dividend income (net of withholding taxes of $619,443)
Total investment income

Expenses
Lease property expense (Note 8)
Investment adviser fees
Fund services fees
Compliance services fees
Transfer agent fees
Custodian fees
Directors' fees and expenses
Retired directors' fees
Insurance fees
Legal fees
Audit fees
Shareholder reports and proxy expenses
Dues and listing fees
Other expenses
Total expenses
Change in retirement benefits due to retired directors
Investment adviser fees waived
Net expenses
Net investment loss

Net realized and unrealized gain (loss) from investments and foreign currency transactions
Proceeds from sales
Cost of securities sold
Net realized gain from investments
Net realized gain (loss) from foreign currency transactions
Investments
Foreign currency
Net realized loss from foreign currency transactions
Net increase in unrealized appreciation (depreciation) on investments 
Balance, beginning of year
Balance, end of year
Net decrease in unrealized appreciation (depreciation) on investments
Net unrealized loss on translation of assets and liabilities in foreign currency
Net realized and unrealized gain (loss) from investments and foreign currency transactions     
Net increase in net assets resulting from operations
 $  

 $  

2,673,970 
2,673,970 

57,956 
3,361,800 
241,746 
73,510 
33,800 
125,000 
181,413 
75,000 
132,501 
108,333 
35,000 
31,865 
25,000 
10,030 
4,492,954 
(36,334 )
(95,530 )
4,361,090 
(1,687,120 )

88,022,608 
(61,590,514 )
26,432,094 

44,945 
(253,585 )
(208,640 )

226,785,880 
220,598,062 
(6,187,818 )
(586 )
20,035,050 
18,347,930 

14

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

    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
Statements of Changes in Net Assets

Net investment loss
Net realized gain
Net realized gain (loss) from foreign currency transactions
Net increase (decrease) in unrealized appreciation (depreciation) on 

investments

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

currency

Net increase in net assets resulting from operations
Dividends paid/payable
Net increase in net assets
Net assets, beginning of year
Net assets, end of year 

Year Ended 
November 30, 
2021

Year Ended 
November 30, 
2020

 $  
(1,687,120 )
     26,432,094 
(208,640 )

 $  
(2,573,199 )
     35,275,757 
989,453 

(6,187,818 )

    144,741,384 

(586 )
     18,347,930 
(385,798 )
     17,962,132 
    463,936,323 
 $  481,898,455 

9,506 
    178,442,901 
(385,798 )
    178,057,103 
    285,879,220 
 $  463,936,323 

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

15

 
    
    
    
    
    
    
    
Notes to Financial Statements
Year ended November 30, 2021

1. Organization

ASA Gold and Precious Metals Limited (the “Company”) is a non-diversified, closed-end investment company registered 
under the Investment Company Act of 1940, as amended (the “1940 Act”). 

The Company was initially organized as a public limited liability company in the Republic of South Africa in June 1958. On 
November 11, 2004, the Company’s shareholders approved a proposal to move the Company’s place of incorporation 
from the Republic of South Africa to the Commonwealth of Bermuda by reorganizing itself into an exempted limited 
liability company formed in Bermuda. The Company is registered with the Securities and Exchange Commission (the 
“SEC”) pursuant to an order under Section 7(d) of the 1940 Act.

The Company 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. The Company is managed by Merk Investments 
LLC (the “Adviser”).

2. 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”) on the date for which the valuation 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 primarily 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. Shares of non-exchange traded open-end mutual funds are 
valued at net asset value (“NAV”). To value its warrants, the Company's valuation committee typically utilizes the Black-
Scholes model using the listed price for the underlying common shares. The valuation is a combination of value of the 
stock price less the exercise price, plus some value related to the volatility of the stock over the remaining time period 
prior to expiration.

Securities for which current market quotations are not readily available are valued at their fair value as determined 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 limited 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.

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.

B. Restricted securities
At  November  30,  2021,  the  Company  held  investments  in  restricted  securities  of  0.18%  of  net  assets  valued  in 
accordance with procedures approved by the Company’s Board of Directors as follows:

Shares
1,071,400

Cost

Issuer

$2,142,800 Americas Gold & Silver Corp.

Value per 
Unit
$0.8099

Value
$867,727

Acquisition 
Date
5/7/20

C. Fair value measurement
In  accordance  with  accounting  principles  generally  accepted  in  the  United  States  of  America  (“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 circumstances (unobservable inputs) and to establish 

1616

Notes to Financial Statements (continued)
Year ended November 30, 2021

2. Summary of significant accounting policies (continued)

C. Fair value measurement (continued)
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 participant 
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.

The following is a summary of the inputs used as of November 30, 2021 in valuing the Company’s investments at fair 
value:

Investment in Securities (1)
Measurements at November 30, 2021

Level 1

Level 2

Level 3

Total

Common Shares
Gold mining, exploration, development 

and royalty companies

 $   344,782,256

 $   

Diversified metals mining, exploration, 

development and royalty companies       89,223,295

Silver mining, exploration, development 

and royalty companies

      19,437,397

Rights
Silver mining, exploration, development 

and royalty companies

Warrants
Diversified metals mining, exploration, 

development and royalty companies      

Gold mining, exploration, development 

and royalty companies

Silver mining, exploration, development 

–

–

–

and royalty companies

Money Market Fund
Total Investments

–
      6,337,406
 $   459,780,354

 $   

(1) See schedule of investments for country classifications.

–

–

–

–

–

–

–
–
–

 $   

–

–

–

 $   344,782,256

      89,223,295

      19,437,397

149,731

149,731

      14,246,502

      14,246,502

      6,465,995

      6,465,995

      1,630,272
–
 $    22,492,500

      1,630,272
      6,337,406
 $   482,272,854

17

     
     
     
     
     
     
     
     
     
     
     
     
     
     
     
 
 
 
 
 
 
 
 
Notes to Financial Statements (continued)
Year ended November 30, 2021

2. Summary of significant accounting policies (continued)

C. Fair value measurement (continued)

The following is a reconciliation of Level 3 investments for which significant unobservable inputs were used to determine 
fair value.

Common Stock 

Rights

Warrants

Balance November 30, 2020
Purchases
Sales
Realized gain
Transfers out
Net change in unrealized appreciation 
(depreciation)
Balance November 30, 2021
Net change in unrealized appreciation 
(depreciation) from investments held as of 
November 30, 2021*

 $   

 $   

 $   

770,001
-
-
-
(770,001)

 $   

173,123
-
-
-
-

 $    11,181,970
      1,255,755
(567,029)
(113,697)
-

-
-

-

(23,392)
149,731

      10,585,770
 $    22,342,769

 $   

 $   

(23,392)

 $    10,585,770

* The change in unrealized appreciation/(depreciation) is included in net change in unrealized appreciation/(depreciation) 
of investments in the accompanying Statement of Operations.

Significant unobservable inputs developed by the Valuation Committee (“Valuation Committee”) for Level 3 investments 
held at November 30, 2021 are as follows:

Asset Categories

Fair Value

Valuation 
Technique(s)

Unobservable 
Input

Range
(Weighted 
Average)

Rights1

Warrants2

 $   

149,731 Market transaction

Discount

70% (70%)

      22,342,769

Black Scholes Method Volatility

20% - 50% (37%)

1 Fair valued rights are valued based on the specifics of the rights at a discount to the market price of the underlying 
security. 

2  Warrants  are  priced  based  on  the  Black  Scholes  Method;  the  key  input  to  this  method  is  modeled  volatility  of  the 
investment; the lower the modeled volatility, the lower the valuation of the warrant. 

D. 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 by independent data providers. 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 portion of the results arising from changes in the exchange rates and the 
portion due to fluctuations arising from changes in the market prices of securities are not isolated. 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 currencies, currency gains or losses realized between the trade and settlement dates 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.

E. Securities Transactions and Investment Income
During the year ended November 30, 2021, sales and purchases of portfolio securities (other than temporary short-term 
investments) amounted to $86,792,341 and $79,367,697, respectively. 

As of November 30, 2021, a significant portion of the Company’s assets consisted of securities of junior and intermediate 
mining company issuers.

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.

18

 
     
     
     
     
     
     
     
     
     
     
     
     
     
 
 
Notes to Financial Statements (continued)
Year ended November 30, 2021

2. Summary of significant accounting policies (continued)

F. 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. 

G. Use of Estimates
The preparation of the financial statements in conformity with U.S. GAAP requires management to make estimates and 
assumptions  that  affect  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. 

H. 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”.

I. 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 (2018-2021). As of November 30, 2021, 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.

3. Tax status of the Company

The  Company  is  a  “passive  foreign  investment  company”  (“PFIC”)  for  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.

4. Fees and Expenses and Other Transactions with Affiliates

Investment Adviser – Merk Investments LLC (the “Adviser”) is the investment adviser to the Company. Pursuant to an 
investment advisory agreement, the Adviser receives an advisory fee, payable monthly, from the Company at an annual 
rate of 0.70% of the Company’s average daily net assets.

Effective December 1, 2020, the Adviser voluntarily agreed to waive a portion of its advisory fee, equal to an annual rate 
of 0.05% of the Company’s net assets exceeding $300 million, and an additional 0.10% of the Company’s net assets 
exceeding $500 million. The Adviser waived $95,530 for the year ended November 30, 2021. 

Other  Service  Providers  –  Apex  US  Holdings  LLC  (d/b/a  Apex  Fund  Services)  (“Apex”)  provides  fund  accounting, 
fund administration and compliance services to the Company. The fees related to these services are included in fund 
services fees within the Statement of Operations. Apex also provides certain shareholder report production and EDGAR 
conversion and filing services. Pursuant to an Apex services agreement, the Company pays Apex customary fees for its 
services. Apex provides a Principal Financial Officer, as well as certain additional compliance support functions.

Foreside Fund Services, LLC provides a Chief Compliance Officer to the Company.

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  registered 
investment  companies. These  conditions  make  it  more  difficult  for  the  Company  to  implement  a  flexible  investment 
strategy and to fully achieve its desired portfolio diversification than if it were not subject to such requirements.

19

Notes to Financial Statements (continued)
Year ended November 30, 2021

6. Retirement plans

The Company has recorded a liability for retirement benefits due to retired directors. The liability for these benefits at 
November 30, 2021 was $333,458. 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. 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.

8. 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 was terminated 
as of February 28, 2021. 

9. 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, 2021. There were no repurchases during the 
year ended November 30, 2021.

10. Subsequent events

In accordance with U.S. GAAP provisions, management has evaluated the possibility of subsequent events existing in 
the Company’s financial statements through the date the financial statements were issued. The Company believes that 
there are no material events that would require disclosure. 

20

Financial Highlights

Per share operating performance (1)
Net asset value, beginning of year
Net investment loss 
Net realized gain (loss) from 

investments

Net realized gain (loss) from foreign 

currency transactions

Net increase (decrease) in unrealized 

appreciation on investments
Net unrealized gain on translation 

of assets and liabilities in foreign 
currency

Net increase (decrease) in net assets 

resulting from operations

Dividends
From net investment income
From net realized gain on investments    
Net asset value, end of year
Market value per share, end of year

2021
$24.05
(0.09)

1.37

(0.01)

(0.32)

0.00

0.95

– 
(0.02)
$24.98
$20.70

Years ended November 30,
2019
$10.10
(0.06)

2020
$14.82
(0.13)

2018
$12.66
(0.07)

1.83

0.05

7.50

0.00

9.25

(0.02)
– 
$24.05
$19.91

0.09

(0.06)

4.77

0.00

4.74

(0.02)
– 
$14.82
$12.20

(0.47)

0.01

(2.00)

0.00

(2.53)

(0.03)
– 
$10.10
$8.66

2017
$12.61
(0.09)

(0.36)

0.01

0.53

0.00

0.09

(0.04)
– 
$12.66
$11.05

Total investment return
Based on market price (2)
Based on net asset value (3)

Ratio of average net assets
Expenses (4)
Net expenses
Net investment loss

4.06%   
3.96%   

63.38%   
62.46%   

41.14%   
47.01%   

(21.39)%  
(19.97)%  

2.57%
0.74%

0.94%   
0.91%   
(0.35)%  

1.02%   
1.02%   
(0.67)%  

1.38%   
1.38%   
(0.44)%  

1.35%   
1.35%   
(0.63)%  

1.19%
1.19%
(0.65)%

Supplemental data
Net assets, end of period (000 omitted)    
Portfolio turnover rate
Shares outstanding (000 omitted)

$481 ,898    

$463 ,936    

$285 ,879    

$194 ,834    

17 %   

31 %   

45 %   

3 %   

19 ,290    

19 ,290    

19 ,290    

19 ,290    

$244 ,202
9 %
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 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 period 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 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 period reported. Dividends are assumed, for purposes of this calculation, to be 
reinvested at prices obtained under the Company’s dividend reinvestment plan.

(4) Reflects the expense ratio excluding any waivers.

21

   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
   
  
  
       
  
  
  
  
   
Certain Tax Information for U.S. Shareholders (Unaudited)
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 important 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 (Unaudited)
Computershare Trust Company, N.A. (“Computershare”) 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 investment of at least $500. Computershare as agent will apply to the 
purchase of common shares of the Company 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.

Computershare may combine CIP participant purchase requests with other purchase requests received from other CIP 
participants and may submit the combined purchase requests in bulk to Computershare’s broker as a single purchase 
order. Purchase requests may be combined, at Computershare’s discretion, according to one or more factors such as 
purchase type (e.g., dividend 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 U.S. Shareholders” for more information regarding tax 
consequences of an 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  be  obtained  from  Computershare,  P.O.  Box  505000,  Louisville,  KY 
40233-5000.  Information  may  also  be  obtained  on  the  Internet  at  www.computershare.com/investor  or  by  calling 
Computershare’s  Telephone  Response  Center  at  (800)  317-4445  between  9:00  a.m.  and  5:00  p.m.,  Eastern  time, 
Monday through Friday.

22

Privacy Notice (Unaudited)
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 (Unaudited)
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-PORT/Portfolio Holdings (Unaudited)
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-PORT. The Company’s Forms N-PORT are available on the SEC’s website at www.sec.gov. The 
Company’s Forms N-PORT 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-PORT 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.

Share Repurchase (Unaudited)
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 the six months ended November 30, 2021. The Company had 19,289,905 shares 
outstanding on November 30, 2021.

Company Investment Objective, Investment Strategy and Risks (Unaudited)
Investment Objective

The  Company’s  investment  objective  is  long-term  capital  appreciation  through  investment  primarily  in  companies 
engaged in the exploration for, development of projects or mining of precious metals and minerals.

Investment Strategy

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  investment 
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.

23

 
Risks

The following discussion summarizes certain (but not all) of the principal risks associated with investing in the Company. 
The Company may be subject to other risks in addition to those identified below, such as the risks associated with its tax 
status as a PFIC (see Note 3) and its reliance on an SEC exemptive order (see Note 5). The risk factors set forth in the 
following are described in no particular order and the order of the risk factors is not necessarily indicative of significance. 
The relative importance of, or potential exposure as a result of, each of these risks will vary based on market and other 
investment-specific considerations. 

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  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 investment company.

Gold and Precious Metals/Minerals Risk. The Company invests in securities that typically respond to changes in the 
price of gold and other precious metals, which can be influenced by a variety of global economic, financial, and political 
factors; increased environmental and labor costs in mining; and changes in laws relating to mining or gold production or 
sales; and the price may fluctuate substantially over short periods of time.

Foreign Securities Risk/Emerging Markets Risk. The Company’s returns and share prices may be affected to a large 
degree by several factors, including fluctuations in currency exchange rates; political, social or economic instability; the 
rule of law with respect to the recognition and protection of property rights; and less stringent accounting, disclosure 
and financial reporting requirements in a particular country. These risks are generally intensified in emerging markets. 
The Company’s share prices will reflect the movements of the different stock markets in which it is invested and the 
currencies in which its investments are denominated.

Geographic Investment Risk. To the extent that the Company invests a significant portion of its assets in the securities 
of companies of a single country or region, it is more likely to be impacted by events or conditions affecting that country 
or region. As of November 30, 2021, a significant portion of the Company’s assets consisted of securities of Canadian 
issuers. 

Canada Risk. The Canadian economy is susceptible to adverse changes in certain commodities markets, including 
those related to the natural resources and mining industries. It is also heavily dependent on trading with key partners. 
Any adverse events that affect Canada’s major industries may have a negative impact on the overall Canadian 
economy and the Company’s investments in Canadian issuers.

Junior and Intermediate Mining Companies Risk. The securities of junior and intermediate exploration and development, 
gold and silver mining companies, which are often more speculative in nature, tend to be less liquid and more volatile 
in price than securities of larger companies.

Private Placement Risk. Privately issued securities, including those which may be sold only in accordance with Rule 144A 
under the Securities Act of 1933, as amended, are restricted securities that are not registered with the U.S. Securities 
and Exchange Commission. The liquidity of the market for specific privately issued securities may vary. Accordingly, the 
Company may not be able to redeem or resell its interests in a privately issued security at an advantageous time or at 
an advantageous price, which may result in a loss to the Company. 

Restricted Security Risk. The Company may make direct equity investments in securities that are subject to contractual 
and regulatory restrictions on transfer. These investments may involve a high degree of business and financial risk. The 
restrictions on transfer may cause the Company to hold a security at a time when it may be beneficial to liquidate the 
security, and the security could decline significantly in value before the Company could liquidate the security.

Depositary  Receipts  Risk.  Depositary  receipts  risks  include,  but  are  not  limited  to,  fluctuations  in  foreign  currencies 
and foreign investment risks, such as political and financial instability, less liquidity and greater volatility, lack of uniform 
accounting auditing and financial reporting standards and increased price volatility. In addition, depositary receipts may 
not track the price of the underlying foreign securities, and their value may change materially at times when the U.S. 
markets are not open for trading. Investments in unsponsored depositary receipts may be subject to additional risks.

24

 
 
 
 
 
 
 
 
Warrants Risk. Warrants can provide a greater potential for profit or loss than an equivalent investment in the underlying 
security.  Prices  of  warrants  do  not  necessarily  move,  however,  in  tandem  with  prices  of  the  underlying  securities, 
particularly for shorter periods of time, and, therefore, may be considered speculative investments. If a warrant held by 
the Company were not exercised by the date of its expiration, the Company would incur a loss in the amount of the cost 
of the warrant.

Market Discount from Net Asset Value. Shares of closed-end investment companies such as the Company frequently 
trade at a discount from their net asset value. The Company cannot predict whether its common shares will trade at, 
below or above net asset value.  This characteristic is a risk separate and distinct from the risk that the Company’s net 
asset value could decrease as a result of investment activities. 

Valuation Risk. The Company may not be able to sell an investment at the price at which the Company has valued the 
investment. Such differences could be significant, particularly for illiquid securities and securities that trade in relatively 
thin markets and/or markets that experience extreme volatility. If market or other conditions make it difficult to value 
some investments, SEC rules and applicable accounting protocols may require the Company to value these investments 
using more subjective methods, known as fair value methodologies. Using fair value methodologies to price investments 
may result in a value that is different from an investment’s most recent price and from the prices used by other funds to 
calculate their NAVs. The Company’s ability to value its investments in an accurate and timely manner may be impacted 
by technological issues and/or errors by third party service providers, such as pricing services or accounting agents.

Market Events Risk. Geopolitical events, including pandemics (such as COVID-19), may destabilize various countries’ 
economies and markets, which may experience increased volatility and reduced liquidity. Policy changes by the Federal 
Reserve and/or other government actors could similarly cause increased volatility in financial markets. Trade barriers 
and other protectionist trade policies (including those in the U.S.) may also result in market turbulence. Market volatility 
and  reductions  in  market  liquidity  may  negatively  affect  issuers  worldwide,  including  issuers  in  which  the  Company 
invests.  Under  such  circumstances,  the  Company  may  have  difficulty  liquidating  portfolio  holdings,  particularly  at 
favorable prices. Also, the Company may be required to transact in contemporaneous markets, even if they are volatile 
and/or illiquid, which may negatively impact the Company’s net asset value. 

The global outbreak of COVID-19 virus has caused negative effects on many companies, sectors, countries, regions, 
and financial markets in general, and uncertainty exists as to its long-term implications. The effects of the pandemic may 
adversely impact the Company’s assets and performance. The financial statements do not include any adjustments that 
might result from the outcome of this uncertainty.

25

 
 
 
 
 
Board of Directors and Officers of ASA Gold and Precious Metals Limited (Unaudited)
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, Three Canal Plaza, Suite 600, 
Portland, ME 04101.

Independent Directors

Mary Joan Hoene (72)
Position held with the Company: Chair (non-executive) 
since January 2019. Deputy Chair (non-executive) 
2016 to 2018. Director since 2014.
Principal occupations during past 5 years: Counsel, 
Carter Ledyard & Milburn LLP 2010 to 2021.
Other Directorships held by Director: None.

Anthony Artabane (67)
Position held with the Company: Director since 2019.
Principal occupations during past 5 years: Managing 
Member, Anthony Artabane CPA, PLLC since 2014.
Other Directorships held by Director: None.

Bruce Hansen (64)
Position held with the Company: Director since 2014. 
Principal occupations during past 5 years: Chief 
Executive Officer, General Moly, Inc. 2007 to 2020.
Other Directorships held by Director: Director, Energy 
Fuels Inc. since 2006; Director, General Moly Inc. 
2007 to 2020; Director and past Chairman (2011), 
Nevada Mining Association 2010 to 2019; Director, 
New Moly LLC since 2021.

William Donovan (62)
Position held with the Company: Director since 2020.
Principal occupations during past 5 years: President, 
United States Steel and Carnegie Pension Fund 2011 
to 2017.
Other Directorships held by Director: None.

Other Officers

Axel Merk (52)
Position held with the Company: Chief Operating 
Officer since March 2019.
Principal occupations during past 5 years: Founder, 
President and Chief Investment Officer, Merk 
Investments since 1994. 

Karen Shaw (49)
Position held with the Company: Chief Financial 
Officer since March 2019.
Principal occupations during past 5 years: Senior Vice 
President, Apex Fund Services since 2019; Senior 
Vice President, Atlantic Fund Services 2008 to 2019. 

Peter Maletis (51)
Position held with the Company: President since 
March 2019.
Principal occupations during past 5 years: Vice 
President, Merk Investments since March 2019; 
Research Analyst, Franklin Templeton Investments 
2010 to 2019.

Jack Huntington (51)
Position held with the Company: Chief Compliance 
Officer since September 2015.
Principal occupations during past 5 years: Fund Chief 
Compliance Officer, Foreside Fund Officer Services, 
LLC since 2015; Senior Vice President and Counsel, 
Citi Fund Services 2008 to 2015.

Zachary Tackett (33)
Position held with the Company: Corporate Secretary 
since November 2019.
Principal occupations during past 5 years: Senior 
Counsel, Apex Fund Services since 2019; Counsel, 
Atlantic Fund Services 2014 to 2019.

26

Gold and Precious Metals Limited

Other Information

Shareholder Services
ASA Gold and Precious Metals Limited
Three Canal Plaza, Suite 600
Portland, ME, U.S.A. 04101
(800) 432-3378

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

Investment Adviser
Merk Investments LLC
Menlo Park, CA, U.S.A.

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 Administrator
Apex Fund Services
Portland, ME, U.S.A.

Transfer Agent
Computershare Trust Company, N.A.
P.O. Box 505000
Louisville, KY, U.S.A. 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.