Gold and Precious Metals Limited
Annual Report and Financial Statements
November 30, 2022
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, 2022
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)
2
4
5
7
8
9
12
13
14
15
16
21
22
22
23
23
23
23
23
26
1
Dear Shareholder,
Fiscal year 2022 was another volatile year for the gold price and precious metals equities. The year got off to a strong
start with a significant move higher in both the gold price and the prices of precious metal equities. The geopolitical
turmoil, driven by the war in Ukraine, sent the gold price to the high for the year of $2,070/oz in March. Precious metal
equity prices peaked a month later in April, propelled higher by a broad equity market rally the prior month. After fiscal
Q1, the gold price and associated equities fell sharply as the Federal Reserve (the “Fed”) started to aggressively raise
interest rates. The price of gold came under significant pressure as yields on government bonds rose. The 10-year real
rates, that is 10-year bond yields net of 10-year inflation expectations, increased from below -1.1% early in the year
to at some point over +1.7% later in the year. Precious metal miners suffered from both challenging revenue and cost
environments: top-line revenue was under pressure due to lower metal prices; on the cost side, the much-discussed
global inflation also impacted miners. These factors contributed to a deterioration in earnings and company share prices.
The gold price bounced three times off the ~$1,620/oz level between September and November before heading higher
to end the fiscal year at $1,769/oz. The move higher in the price of gold coincided with a decline in the dollar and real
yields. The NYSE Arca Gold Miners Index (the “Index”) bottomed with the broader market in September. Subsequently,
the Index rallied into year-end along with the gold price. During the year, the gold price varied $455/oz from the March
high to the November low. After a volatile year, the price of gold ended the fiscal year relatively unchanged, declining a
mere 0.3% over the year.
ASA Statistics for the Fiscal year 2022:
• ASA Gold and Precious Metals Limited ("ASA", the "Fund" or the "Company") reported a total return decrease
of 32.3% based on its net asset value ("NAV"), compared to a total return decrease of 7.7% for the Index. The
total return based on ASA's share price for the fiscal year was a decrease of 31.0%. At 2022 fiscal year-end, the
total net assets of ASA were $325 million, a decrease of $156 million compared to fiscal year-end 2021.
• The Fund's expense ratio increased to 1.00% for the 2022 fiscal year from 0.91% for the 2021 fiscal year,
primarily due to the decrease in assets.
• Separately, investment income decreased slightly to $2.6 million during the 2022 fiscal year from $2.7 million
during the 2021 fiscal year. The decrease was primarily due to some of the producing companies in the portfolio
having lower dividend payouts due to increased costs without offsetting higher revenue.
• The discount of ASA's share price to its NAV per share fluctuated from 18.5% to a low of 9.6% and ended the
fiscal year at a discount of 15.5%. The Board of Directors of ASA and Merk Investments LLC (“Merk” or the
“Adviser”) monitor the Company's share price and discount to NAV per share on an ongoing basis.
Fund Performance Discussion:
When Peter Maletis became ASA’s portfolio manager in the spring of 2019, the Fund was repositioned to have a
more significant allocation to exploration and development companies (E&D). While this positioning was a source of
outperformance in 2019, 2020, and 2021, it was a headwind in 2022. Although we saw an increase in the gold price
at the tail end of 2022, E&D stocks did not outperform producing companies during this rally. The rally at the end of
the fiscal year benefitted larger miners that have significant allocations in the passive ETFs tracking the sector. In our
analysis, it is often the case that the largest companies in the sector move first as investors allocate capital to the most
liquid investment available: the ETFs and large mining companies. In the past, investors tended to allocate capital to
E&D companies in sustained gold price rallies and when M&A in the sector picks up. The current rally in the gold price
is just two months old.
The following table shows that in our portfolio, producers outperformed E&D companies during the fiscal year 2022. The
declining gold price and increasing cost structure of the precious metals mining industry led to tepid investor demand for
E&D companies. We believe the declining demand resulted from the larger miners focusing on addressing the margin
compression in their own business and not pursuing acquisitions of E&D companies. Also, E&D companies rely on
capital markets to fund exploration and development work because they do not generate cash flow. This year saw a
dearth of funding available in the sector. Without ample funding from the capital markets, some E&D companies resort
to offering more attractive pricing to entice investors or pursue other sources of financing, thereby putting downward
pressure on their share prices.
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
The sector ended the fiscal year with positive momentum in the gold price and the price of mining equities. The move
higher coincided with what we assess as an improving macro environment for gold. The Fed has slowed the rate at
which it is increasing the Federal Funds Rate, and we believe the market has priced in that the Fed could begin cutting
rates as soon as 2023. Many leading economic indicators show that the economy is slowing, and a recession is likely
in several countries around the globe. We believe that this data suggests we could move into a favorable economic
environment for the gold price. The profligate fiscal spending, elevated debt levels globally, and slowing global growth
contribute to our positive long-term outlook on gold prices and precious metal equities. We continue to pursue our
strategy of allocating capital to what we assess to be the most attractive companies that can grow through exploration.
Given the industry's lack of investment in exploration and declining production, we believe this strategy will position our
investors to generate an attractive return in a rising gold price environment.
We at Merk 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
James Holman
Portfolio Manager
Axel Merk
Chief Investment Officer
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 (Unaudited)
Comparison of Change in Value of a $10,000 Investment
ASA Gold and Precious Metals – Share Price and NYSE ARCA Gold Miners Index (NTR)(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 (NTR), 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.
$14,000
$12,000
$10,000
$8,000
$6,000
$4,000
$2,000
$-
$6,805
$6,728
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
ASA Gold and Precious Metals - Share Price
NYSE ARCA Gold Miners Index (NTR)
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%
-11.1%
-15.7%
-20.0%
-21.4%
-41.1%
-45.6%
-27.2%
-33.0%
-32.3%
-31.0%
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
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, 2022
ASA Gold and Precious Metals - NAV
ASA Gold and Precious Metals - Share Price
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
-32.34%
-31.02%
-7.68%
5 Year
6.10%
5.41%
6.38%
3 Year
4.55%
5.46%
3.47%
10 Year
-3.17%
-3.89%
-3.78%
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 NYSE Arca Gold Miners Index (NTR) (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 Index. The Index does 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 Index is 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 does not invest in all securities included in 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 (Unaudited)
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, 2022, 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, 2022, 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 audit. 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, 2022 by correspondence with the custodians. We believe that our audits provide a reasonable basis
for our opinion.
TAIT, WELLER & BAKER LLP
Philadelphia, Pennsylvania
January 25, 2023
8
Schedule of Investments
November 30, 2022
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)
Cygnus Gold, Ltd. (1)
Emerald Resources NL (1)
Los Cerros, Ltd. (1)
Pantoro, Ltd. (1)
Perseus Mining, Ltd.
Predictive Discovery, Ltd. (1)
Prodigy Gold NL (1)
Canada
Agnico Eagle Mines, Ltd.
Alamos Gold, Inc.
American Pacific Mining Corp. 144A (1)(2)
Angel Wing Metals, Inc. (1)
Atex Resources, Inc. (1)
B2Gold Corp.
Barrick Gold Corp.
Calibre Mining Corp. (1)(3)
Desert Gold Ventures, Inc. (1)
G Mining Ventures Corp. (1)
GoGold Resources, Inc. (1)
Gold Mountain Mining Corp. (1)
HighGold Mining, Inc. (1)
Lahontan Gold Corp. (1)
Liberty Gold Corp. (1)
Lotus Gold Corp. (1)(4)
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)
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
1,470,173
38,000,004 $
1,021,518
8,600,000
6,694,735
8,966,667
15,450,000
5,243,342
17,125,000 13,134,657
831,468
30,625,000
16,000,000
1,303,200
10,000,000 15,136,120
81,850,000 11,666,690
867,951
116,250,000
57,369,854
0.5 %
0.3
2.1
1.6
4.0
0.2
0.4
4.6
3.6
0.3
17.6
195,000
9,822,150
1,150,000 11,155,000
1,003,605
3,000,000
616,660
7,900,000
602,163
1,350,000
6,960,000
2,000,000
650,000 10,608,000
7,415,307
11,083,000
759,156
14,588,264
23,265,947 11,415,474
4,163,100
2,857,140
539,533
4,398,500
1,795,339
3,000,000
234,175
4,500,000
3,804,497
12,482,000
1,439,245
4,400,000
4,749,805
6,389,200
1,221,425
10,600,000
2,219,244
15,711,663
352,749
7,300,000
790,804
5,750,000
1,599,673
6,148,000
2,223,000
2,528,484
7,200,000 26,762,815
3,159,499
5,000,000
7,288,406
6,450,000
6,480,783
7,087,500
1,659,157
10,886,900
3,836,000
700,000
1,115,117
12,500,000
1,577,833
9,227,925
5,116,158
7,400,000
1,594,618
5,500,000
144,385,974
3.0
3.4
0.3
0.2
0.2
2.1
3.3
2.3
0.2
3.5
1.3
0.2
0.6
0.1
1.1
0.4
1.5
0.4
0.6
0.1
0.2
0.5
0.8
8.2
1.0
2.2
2.0
0.5
1.2
0.4
0.5
1.6
0.5
44.4
700,000 14,857,079
4.6
The notes to financial statements form an integral part of these statements.
9
Schedule of Investments (continued)
November 30, 2022
Name of Company
Common Shares (continued)
Gold mining, exploration, development and royalty companies (continued)
South Africa
AngloGold Ashanti, Ltd. ADR
Gold Fields, Ltd. ADR
United States
Shares
Value
% of Net
Assets
500,000 $
600,000
9,165,000
6,690,000
15,855,000
2.8 %
2.1
4.9
SSR Mining, Inc.
Total gold mining, exploration, development and royalty companies (Cost $186,121,290)
800,000 12,121,980
244,589,887
3.7
75.2
Diversified metals mining, exploration, development and royalty companies
Australia
Auteco Minerals, Ltd. (1)
Bellavista Resources ltd (1)
Castile Resources, Ltd. (1)
Genesis Minerals, Ltd. (1)
Geopacific Resources, Ltd. (1)
Red Dirt Metals, Ltd. (1)(3)
Canada
Adventus Mining Corp. (1)
Americas Gold & Silver Corp. (1)
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)
Huntsman Exploration, Inc. (1)
Integra Resources Corp. (1)
Max Resource Corp. (1)
Pan Global Resources, Inc. (1)
Sable Resources, Ltd. (1)
United States
82,000,750
1,625,000
15,143,255
1,166,934
17,857,143
11,338,600
3,116,847
319,861
1,284,810
1,013,832
593,906
4,348,281
10,677,537
1.0
0.1
0.4
0.3
0.2
1.3
3.3
1,973,758
5,310,000
2,206,331
4,601,400
2,500,000
7,322,603
2,300,000 14,157,529
4,346,098
2,214,116
1,349,292
611,642
45,906
2,096,394
1,889,752
2,106,438
1,750,288
42,070,147
15,384,615
19,214,957
2,750,000
10,970,000
6,175,000
3,230,000
8,200,000
6,667,000
26,160,000
0.6
0.6
2.3
4.4
1.3
0.7
0.4
0.2
0.0
0.6
0.6
0.7
0.5
12.9
Bendito Resources, Inc. 144A (1)(2)(4)
Total diversified metals mining, exploration, development and royalty companies
(Cost $77,621,802)
4,288,000
1,072,000
0.3
53,819,684
16.5
Silver mining, exploration, development and royalty companies
Canada
Andean Precious Metals Corp. (1)
Discovery Silver Corp. (1)
Silver Mountain Resources, Inc. (1)
Silver Tiger Metals, Inc. (1)
South Africa
2,000,000
7,154,545
10,000,000
12,395,333
1,189,458
6,329,337
2,824,964
2,303,708
12,647,467
0.4
1.9
0.9
0.7
3.9
Sibanye Stillwater, Ltd. ADR
Total silver mining, exploration, development and royalty companies (Cost $13,103,848)
Total common shares (Cost $276,846,940 )
273,043
3,060,812
15,708,279
314,117,850
0.9
4.8
96.5
10
The notes to financial statements form an integral part of these statements.
Schedule of Investments (continued)
November 30, 2022
Name of Company
Rights (1)(4)
Silver mining, exploration, development and royalty companies
Canada
Pan American Silver Corp. (Exp. Date 2/22/29)
Total rights (Cost $136,720)
Warrants (1)(4)
Diversified metals mining, exploration, development and royalty companies
Australia
Shares
Value
% of Net
Assets
393,200 $
96,088
96,088
0.0 %
0.0
Red Dirt Metals, Ltd. (Exercise Price $0.25, Exp. Date 11/18/24)
2,834,650
634,926
Canada
Angel Wing Metals, Inc. (Exercise Price $0.40, Exp. Date 6/17/23)
Aya Gold & Silver, Inc. (Exercise Price $3.30, Exp. Date 9/8/23)
Benchmark Metals, Inc. (Exercise Price $0.65, Exp. Date 9/28/24)
Bunker Hill Mining Corp. (Exercise Price $0.37, Exp. Date 4/1/25)
Bunker Hill Mining Corp. (Exercise Price $0.50, Exp. Date 8/15/23)
Bunker Hill Mining Corp. (Exercise Price $0.50, Exp. Date 8/15/23)
Bunker Hill Mining Corp. (Exercise Price $0.60, Exp. Date 2/9/26)
Emerita Resources Corp. (Exercise Price $1.50, Exp. Date 7/15/23)
Euro Sun Mining, Inc. (Exercise Price $0.55, Exp. Date 6/5/23)
Huntsman Exploration, Inc. (Exercise Price $0.35, Exp. Date 10/19/23)
Max Resource Corp. (Exercise Price $0.85, Exp. Date 5/18/23)
Sable Resources, Ltd. (Exercise Price $0.20, Exp. Date 9/10/23)
3,950,000
1,200,000
1,500,000
5,000,000
3,464,957
9,500,000
1,250,000
1,375,000
5,500,000
6,175,000
8,200,000
11,000,000
Total diversified metals mining, exploration, development and royalty companies
(Cost $1,647,759)
Gold mining, exploration, development and royalty companies
Canada
American Pacific Mining Corp. (Exercise Price $1.40, Exp. Date 12/10/23)
Atex Resources, Inc. (Exercise Price $1.00, Exp. Date 8/31/25)
Desert Gold Ventures, Inc. (Exercise Price $0.40, Exp. Date 8/28/23)
Desert Gold Ventures, Inc. (Exercise Price $0.25, Exp. Date 12/31/24)
G Mining Ventures Corp. (Exercise Price $1.90, Exp. Date 9/9/24)
Gold Mountain Mining Corp. (Exercise Price $1.75, Exp. Date 4/21/24)
Lahontan Gold Corp. (Exercise Price $0.65, Exp. Date 3/24/24)
Lotus Gold Corp. (Exercise Price $0.75, Exp. Date 8/16/23)
Marathon Gold Corp. (Exercise Price $1.35, Exp. Date 9/20/24)
Millennial Precious Metals Corp. (Exercise Price $0.55, Exp. Date 6/16/24)
Monarch Mining Corp. (Exercise Price $0.95, Exp. Date 4/6/27)
Monarch Mining Corp. (Exercise Price $1.05, Exp. Date 6/29/23)
Nighthawk Gold Corp. (Exercise Price $1.50, Exp. Date 7/7/23)
Nighthawk Gold Corp. (Exercise Price $1.05, Exp. Date 5/3/24)
Prime Mining Corp. (Exercise Price $1.10, Exp. Date 6/10/25)
Prime Mining Corp. (Exercise Price $5.00, Exp. Date 4/27/24)
TDG Gold Corp. (Exercise Price $0.75, Exp. Date 12/22/23)
Westhaven Gold Corp. (Exercise Price $1.00, Exp. Date 2/4/23)
1,500,000
675,000
6,700,000
594,132
3,500,000
2,200,000
2,250,000
2,200,000
1,675,000
1,689,165
1,700,000
2,500,000
2,174,000
900,000
920,000
400,000
225,000
2,750,000
Total gold mining, exploration, development and royalty companies (Cost $2,006,709)
Silver mining, exploration, development and royalty companies
Canada
0
4,549,678
33,454
0
0
0
0
10,222
0
0
0
0
4,593,354
5,228,280
0
5,018
0
0
52,039
0
0
32,710
174,330
0
0
0
0
0
410,363
0
0
0
674,460
674,460
Silver Mountain Resources, Inc. (Exercise Price $0.50, Exp. Date 1/31/24)
Silver Tiger Metals, Inc. (Exercise Price $0.50, Exp. Date 7/31/23)
Total silver mining, exploration, development and royalty companies (Cost $260,869)
Total warrants (Cost $3,915,337)
5,000,000
1,666,666
37,171
0
37,171
5,939,911
0.2
0.0
1.4
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
1.4
1.6
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.1
0.0
0.0
0.0
0.0
0.0
0.1
0.0
0.0
0.0
0.2
0.2
0.0
0.0
0.0
1.8
The notes to financial statements form an integral part of these statements.
11
Schedule of Investments (continued)
November 30, 2022
Name of Company
Money Market Fund
Federated US Treasury Cash Reserve Fund - Institutional Shares, 3.60% (5)
Total money market fund (Cost $4,912,863)
Investments, at value (Cost $285,811,860)
Cash, receivables and other assets less other liabilities
Net assets
Shares
Value
% of Net
Assets
4,912,863
$
4,912,863
4,912,863
1.5 %
1.5
325,066,712
505,917
$ 325,572,629
99.8
0.2
100.0 %
ADR
NL
PLC
American Depositary Receipt
No Liability
Public Limited Company
(1)
(2)
(3)
(4)
(5)
Non-income producing security.
Security exempt from registration under Rule 144A under the Securities Act of 1933. At year end, the value of
these securities amounted to $2,075,605 or 0.6% of net assets.
Level 2 security. See Note 2 of Notes to Financial Statements.
Security fair valued in accordance with procedures adopted by the Board of Directors. At year end, the value of
these securities amounted to $8,547,244 or 2.6% of net assets.
Dividend yield changes daily to reflect current market conditions. Rate was the quoted yield as of November 30,
2022.
Portfolio Statistics (Unaudited)
November 30, 2022
Geographic Breakdown*
Australia
Canada
Cayman Islands
South Africa
United States
Cash
21.1 %
62.8
4.6
5.8
4.0
1.7
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, 2022
Assets
Investments, at value (Cost $285,811,860)
Cash
Foreign currency (Cost $784,813)
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
$ 325,066,712
78,459
831,052
183,835
104,177
$ 326,264,235
176,015
26,519
379,242
109,830
691,606
$ 325,572,629
$
19,289,905
1,372,500
304,910,224
$ 325,572,629
16.88
$
The closing price of the Company’s shares on the New York Stock Exchange was $14.26 on November 30, 2022.
The notes to financial statements form an integral part of these statements.
13
Statement of Operations
For the year ended November 30, 2022
Investment income
Dividend income (net of withholding taxes of $592,116)
Total investment income
Expenses
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 gain on translation of assets and liabilities in foreign currency
Net realized and unrealized loss from investments and foreign currency transactions
Net decrease in net assets resulting from operations
$
$
2,550,038
2,550,038
2,778,568
208,497
80,532
63,615
125,708
239,967
74,996
125,012
112,574
35,000
39,898
25,000
51,689
3,961,056
45,784
(51,947 )
3,954,893
(1,404,855 )
54,141,002
(27,185,016 )
26,955,986
(58,724 )
(128,383 )
(187,107 )
220,598,062
39,254,852
(181,343,210 )
39,158
(154,535,173 )
(155,940,028 )
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 loss from foreign currency transactions
Net decrease in unrealized appreciation (depreciation) on investments
Net unrealized gain (loss) on translation of assets and liabilities in foreign
currency
Net increase (decrease) in net assets resulting from operations
Dividends paid/payable
Net increase (decrease) in net assets
Net assets, beginning of year
Net assets, end of year
Year Ended
November 30,
2022
Year Ended
November 30,
2021
$
(1,404,855 )
26,955,986
(187,107 )
(181,343,210 )
$
(1,687,120 )
26,432,094
(208,640 )
(6,187,818 )
39,158
(155,940,028 )
(385,798 )
(156,325,826 )
481,898,455
$ 325,572,629
(586 )
18,347,930
(385,798 )
17,962,132
463,936,323
$ 481,898,455
The notes to financial statements form an integral part of these statements.
15
Notes to Financial Statements
Year ended November 30, 2022
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.
Pursuant to Rule 2a-5 under the Investment Company Act, the Company’s Board of Directors (the "Board") has designated
the Adviser, as defined in Note 4, as the Company’s valuation designee to perform any fair value determinations for
securities and other assets held by the Company. The Adviser is subject to the oversight of the Board and certain
reporting and other requirements intended to provide the Board the information needed to oversee the Adviser's fair
value determinations. The Adviser is responsible for determining the fair value of investments in accordance with policies
and procedures that have been approved by the Board. Under these procedures, the Adviser convenes on a regular
and ad hoc basis to review such investments and considers a number of factors, including valuation methodologies and
unobservable inputs, when arriving at fair value. The Board has approved the Adviser’s fair valuation procedures as a
part of the Company’s compliance program and will review any changes made to the procedures.
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 at a value other than the last reported
sale price or last reported bid price 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 designee 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 Board. 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. 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
1616
Notes to Financial Statements (continued)
Year ended November 30, 2022
2. Summary of significant accounting policies (continued)
B. Fair value measurement (continued)
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
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, 2022 in valuing the Company’s investments at fair
value:
Investment in Securities (1)
Measurements at November 30, 2022
Level 1
Level 2
Level 3
Total
Common Stock
Gold mining, exploration, development
and royalty companies
$ 235,735,335
$ 7,415,307
$ 1,439,245
$ 244,589,887
Diversified metals mining, exploration,
development and royalty companies 48,399,403
4,348,281
1,072,000
53,819,684
Silver mining, exploration, development
and royalty companies
15,708,279
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
–
–
–
–
–
–
–
–
15,708,279
96,088
96,088
5,228,280
5,228,280
674,460
674,460
and royalty companies
Money Market Fund
Total Investments
–
4,912,863
$ 304,755,880
–
–
$ 11,763,588
37,171
–
$ 8,547,244
37,171
4,912,863
$ 325,066,712
(1) See schedule of investments for country classifications.
17
Notes to Financial Statements (continued)
Year ended November 30, 2022
2. Summary of significant accounting policies (continued)
B. Fair value measurement (continued)
The following is a reconciliation of Level 3 investments for which significant unobservable inputs were used to determine
fair value.
Balance November 30, 2021
Purchases
Sales
Realized loss
Net change in unrealized appreciation
(depreciation)
Balance November 30, 2022
Net change in unrealized appreciation
(depreciation) from investments held as of
November 30, 2022*
Common Stock
Rights
Warrants
$
-
2,389,179
-
-
$
149,731
-
-
-
$ 22,342,769
1,596,118
(1,064,537)
(772,820)
122,066
$ 2,511,245
(53,643)
96,088
(16,161,619)
$ 5,939,911
$
$
122,066
$
(53,643)
$ (16,161,619)
* 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 designee for Level 3 investments held at November 30,
2022 are as follows:
Asset Categories
Fair Value
Valuation
Technique(s)
Unobservable
Input
Range
(Weighted
Average)
Common Shares1
$ 2,511,245
Transaction cost
None
None
Rights2
Warrants3
96,088 Market transaction
Discount
70% (70%)
5,939,911
Black Scholes Method Volatility
20% - 50% (39%)
1 Fair valued common stocks with no public market are valued based on transaction cost and may be adjusted by the
valuation designee, including for subsequent known market transactions.
2 Fair valued rights are valued based on the specifics of the rights at a discount to the market price of the underlying
security.
3 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.
C. 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.
D. Securities Transactions and Investment Income
During the year ended November 30, 2022, sales and purchases of portfolio securities (other than temporary short-term
investments) amounted to $54,141,002 and $52,746,627, respectively.
18
Notes to Financial Statements (continued)
Year ended November 30, 2022
2. Summary of significant accounting policies (continued)
D. Securities Transactions and Investment Income (continued)
As of November 30, 2022, 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.
E. 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.
F. 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.
G. 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”.
H. 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 (2019-2022). As of November 30, 2022, 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.
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 $51,947 for the year ended November 30, 2022.
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, a wholly owned subsidiary of ACA Group, provides a Chief Compliance Officer to the
Company.
19
Notes to Financial Statements (continued)
Year ended November 30, 2022
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.
6. Retirement plans
The Company has recorded a liability for retirement benefits due to retired directors. The liability for these benefits at
November 30, 2022 was $379,242. 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. 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, 2022. There were no repurchases during the
year ended November 30, 2022.
9. 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. Effective January 1, 2023,
Jack Huntington was approved to replace James Nash as Chief Compliance Officer of the Company by the Board of
Directors.
20
assets resulting from operations
(8.08)
Financial Highlights
Per share operating performance(1)
Net asset value, beginning of
period
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
Dividends
From net investment income
From net realized gain on
investments
Net asset value, end of period
Market value per share, end of
period
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
Supplemental data
Net assets, end of Period (000
omitted)
Portfolio turnover rate
Shares outstanding (000 omitted)
(9.40)
(0.32)
2022
$24.98
(0.07)
1.40
(0.01)
0.00
–
(0.02)
$16.88
$14.26
2021
Years Ended November 30,
2020
2019
$24.05
(0.09)
1.37
(0.01)
0.00
0.95
–
(0.02)
$24.98
$20.70
$14.82
(0.13)
1.83
0.05
7.50
0.00
9.25
$10.10
(0.06)
0.09
(0.06)
4.77
0.00
4.74
(0.02)
(0.02)
–
$24.05
$19.91
–
$14.82
$12.20
2018
$12.66
(0.07)
(0.47)
0.01
(2.00)
0.00
(2.53)
(0.03)
–
$10.10
$8.66
(31.02)%
(32.34)%
4.06%
3.96%
63.38%
62.46%
41.14%
47.01%
(21.39)%
(19.97)%
1.00%
1.00%
(0.36)%
0.94%
0.91%
(0.35)%
1.02%
1.02%
(0.67)%
1.38%
1.38%
(0.44)%
1.35%
1.35%
(0.63)%
$325 ,573
1 3%
19 ,290
$481 ,898
17 %
19 ,290
$463 ,936
31 %
19 ,290
$285 ,879
45 %
19 ,290
$194 ,834
3 %
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 and the change in retirement benefits due to retired directors.
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.
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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 year ended November 30, 2022. The Company had 19,289,905 shares
outstanding on November 30, 2022.
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, 2022, 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.
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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.
Bruce Hansen (65)
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 (63)
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.
Independent Directors
Mary Joan Hoene (73)
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 (68)
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.
Interested Directors*
Axel Merk (53)
Position held with the Company: Director since
September 2022 and Chief Operating Officer since
March 2019.
Principal occupations during past 5 years: Founder,
President and Chief Investment Officer, Merk
Investments since 1994.
* Axel Merk is considered an interested person of the Company, as defined in the 1940 Act, due to his affiliation with the
Adviser and his role as Chief Executive Officer of the Company.
Other Officers
Karen Shaw (50)
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.
James Nash (41)
Position held with the Company: Chief Compliance
Officer since September 2022.
Principal occupations during past 5 years: Director
and Fund Chief Compliance Officer at Foreside Fund
Officer Services, LLC (d/b/a ACA Group, LLC) since
2016.
Peter Maletis (52)
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.
Zachary Tackett (34)
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.