Sprott reaches $10-billion AUM milestone

Sprott reaches $10-billion AUM milestone

Sprott reaches $10-billion AUM milestone Global alternative asset manager Sprott Inc. has just passed a major milestone, announcing Thursday it has achieved $10 billion in assets under management.

CEO Peter Grosskopf says the achievement is thanks to boosted investor interest in commodities, as well as a burgeoning interest in alternatives.

“Our year-to-date AUM growth has been driven in part by renewed investor interest in precious metals and alternative income strategies,” he said in a statement. “We expect further growth in the second half of 2016 given several important product launches, including the Sprott World Gold Fund and additional alternative income strategies.”

Sprott specializes in private resources, exchange-listed products, as well as diversified alternative investment management, via its principal subsidiary Sprott Asset Management LP.

The asset management company is perhaps in an advantageous place following the UK’s decision to leave the EU; precious metals such as gold and silver, as well as exchange-traded funds have enjoyed a boom in the days following the Brexit. Portfolio manager Mark Wisniewski stated to Wealth Professional at the time that he anticipates resulting volatility to last for the medium term.

“It is in the UK’s best interests to drag their feet and get a strategy together before they start the negotiation process that could go on for two years,” he said.  “That means you get an extended period of uncertainty and more volatility. It looks like government bond yields are going even lower, which is hard to believe.”

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