susan:

sprott has 2 gold funds

Sprott Gold & Precious Minerals Fund

Effective January 2008, Investment Strategists Charles Oliver and Jamie Horvat joined John Embry, Chief Investment Strategist, in overseeing the Sprott Gold & Precious Minerals Fund.

Investment Objective
The primary objective of this Fund is to provide long-term capital growth. In order to achieve its investment objective, the Fund invests primarily in gold, gold certificates, precious metals and minerals, the certificates relating to such metals and minerals and/or in equity securities of companies that are directly or indirectly involved in the exploration, mining, production or distribution of gold and precious metals and minerals.

Sprott Gold Bullion Fund

A convenient, low-cost alternative to owning physical gold.

“In the sea of financial assets and currencies that are being decimated the world over, the one true safe haven continues to be gold.”
Eric Sprott Markets at a Glance, October 2008

Investment Objective
The investment objective of the Sprott Gold Bullion Fund is to seek to provide a secure, convenient alternative for investors seeking to hold gold. The Fund will invest primarily in unencumbered, fully allocated gold bullion, permitted gold certificates and/or closed-end funds and the underlying interest of which is gold. The Fund may also invest a portion of its assets in cash, money market instruments and/or treasury bills. Please refer to the simplified prospectus for additional details regarding the Investment Strategies for this Fund.

John embry is a firm believer in holding the physical gold and I believe the gold in these funds is held in toronto.

i do not hold physical gold but my husband buys gold coins. I play jr. gold miners..

By the way Sprott has a big holding in TMM,

http://www.timminsgold.com/s/NewsReleases.asp?ReportID=382705&_Type=News-Releases&_Title=Timmins-Gold-Closes-USD15-Million-Gold-Denominated-Financing-With-Sprott-As...

Kim