Sprott Physical Trust Gets $400 Million

The IPO for Sprott Physical Trust got $400 million worth of subscriptions, near the amount that the Claymore Gold Bullion Trust (recently converted into an ETF) got. Further details are in the Globe and Mail's "Fund Watch" blog:

The appeal of the Sprott offering is a low management expense ratio (MER) of 0.45 per cent (compared to 0.65 per cent in the preliminary prospectus), while the gold is stored at the Royal Canadian Mint and unitholders can redeem units for the physical gold, said Peter Loach, executive vice-president of product development at Sprott....

So far, the Trust has lost the 50-cent discount it started off with when trading for it began; the American listing is currently at US$9.98; the Canadian listing is at C$10.04.