Sprott Inc. · TSX:SII

Sprott — Non-Deal Roadshow (October 2007)

13 slides from Sprott's roadshow presentation, October 2007

  1. Slide 1: Sprott Small Cap Equity Fund

    SPROTT SMALL CAP EQUITY FUND Sprott Asset Management Inc. Sprott Small Cap Equity Fund Launched August 23, 2007 Allan Jacobs, CA (S.A.) Director of Small Cap Investments Peter Imhof Investment Strategist October 2007 NEW SMALL CAP TEAM Allan Jacobs, CA (S.A.) and Peter Imhof – Allan managed the Scep

  2. Slide 2: Historical Track Record/Performance

    SPROTT SMALL CAP EQUITY FUND HISTORICAL TRACK RECORD/PERFORMANCE SCEPTRE EQUITY GROWTH FUND Annual Returns – Periods ending December 31st, 2006 2006 2005 2004 2003 2002 2001 2000 1999 1998 1997 1996 1995 1994 1993 Sceptre Equity Growth Fund - A 38.7% 19.9% 25.6% 66.7% 9.6% 7.3% 1.8% 3.8% -17.6% 15.0

  3. Slide 3: Sprott Small Cap Hedge Fund

    SPROTT SMALL CAP EQUITY FUND SPROTT SMALL CAP HEDGE FUND formerly the Sceptre Small Cap Opportunities Hedge Fund The net return for the Fund since inception* was 22.4% for the five months ended June 30th, 2007 (the Sceptre Equity Growth Fund - Series A, returned 14.9% during that same period). The S

  4. Slide 4: Why Invest in the Fund?

    SPROTT SMALL CAP EQUITY FUND WHY INVEST IN THE SPROTT SMALL CAP EQUITY FUND? WHY INVEST IN SPROTT SMALL CAP EQUITY FUND? – Proven team with an excellent long-term track record for managing small cap stocks with sizeable assets – Proven ability to add significant value through superior stock selectio

  5. Slide 5: Beliefs and Approach to Investing

    SPROTT SMALL CAP EQUITY FUND BELIEFS – Small-Mid Cap market is inefficient – Alpha generation is a key focus – Leave no stone unturned – use wide range of brokers to access management teams (meet with 500 per annum) – Companies with well-above-average earnings growth at relatively low valuations wil

  6. Slide 6: Security Selection Process

    SPROTT SMALL CAP EQUITY FUND SECURITY SELECTION PROCESS COMPANIES FAVOURED High Quality – Management – Profitability – Balance Sheets October 07 Slide 11 SECURITY SELECTION PROCESS (continued) COMPANIES FAVOURED Growth at Good Value – Strong earnings record – Good earnings momentum – Strong growth p

  7. Slide 7: Security Selection Process: Purchases and Sell Disciplines

    SPROTT SMALL CAP EQUITY FUND SECURITY SELECTION PROCESS: PURCHASES – Screen for companies with strong earnings growth and inexpensive valuations – Interviews with management: look for strong track record – Focus on good quality and profitable companies – Focus on companies with clean balance sheets

  8. Slide 8: Portfolio Characteristics and Examples of Past Winners

    SPROTT SMALL CAP EQUITY FUND PORTFOLIO CHARACTERISTICS RELATIVE TO BENCHMARKS/INVESTMENT STYLE – Well diversified across sectors – Significantly better actual earnings growth – Significantly higher forecast earnings growth – Trailing P/E ratio is similar or lower – Forecast P/E ratio is lower – Retu

  9. Slide 9: Fund Investment Objective

    SPROTT SMALL CAP EQUITY FUND SPROTT SMALL CAP EQUITY FUND INVESTMENT OBJECTIVE The objective of the Sprott Small Cap Equity Fund is to achieve long-term capital growth by investing primarily in small capitalization equity and equity-related securities listed in Canada, with some exposure to global s

  10. Slide 10: Fund Terms and Expected Portfolio Composition

    SPROTT SMALL CAP EQUITY FUND SPROTT SMALL CAP EQUITY FUND Investment Manager: Sprott Asset Management Type of Fund: Canadian Small Cap Equity Securities Offered: Mutual Fund Trust Units Launch Date: August 23, 2007 Launch NAV: $10 per unit Fund Codes: SPR 010 (Series A), SPR 110 (Series F) Registere

  11. Slide 11: Portfolio Positioning as at September 30, 2007

    SPROTT SMALL CAP EQUITY FUND SPROTT SMALL CAP EQUITY FUND Portfolio Positioning as at September 30, 2007 Total AUM (CDN) $75 million Top 10 Long Positions % Total Exposure 30% Gross Exposure % Long Positions 58% Top 10 Short Positions % Short Positions 0% Total Exposure n/a Net Exposure 58% Net Long

  12. Slide 12: Questions? Contact Information

    SPROTT SMALL CAP EQUITY FUND QUESTIONS? CONTACT INFORMATION Sprott Asset Management Inc. Royal Bank Plaza, South Tower Suite 2700 Toronto, ON M5J 2J1 T: 416 943 6707 Toll Free: 866 299 9906 F: 416 362 4928 Email: invest@sprott.com Web: www.sprott.com October 07 Slide 24

  13. Slide 13: Disclaimer

    SPROTT SMALL CAP EQUITY FUND DISCLAIMER The opinions, estimates and projections ("information") contained within this report are solely those of Sprott Asset Management Inc. (SAM) and are subject to change without notice. SAM makes every effort to ensure that the information has been derived from so

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