Press Release

Sprott Asset Management LP Announces Launch of Tax-Efficient Corporate Class Funds and Sprott Resource Class

TORONTO, Oct. 17, 2011 /CNW/ - Sprott Asset Management LP ("Sprott") is pleased to announce the launch of Sprott Corporate Class Inc. ("Corporate Class"), a mutual fund corporation designed to provide greater tax-efficiency for investors. Corporate Class will initially offer eight share classes, seven of which are patterned after existing Sprott funds.

"We are pleased to offer our clients a more tax-efficient way to invest in Sprott's award-winning funds and portfolio managers," said James Fox, President of Sprott.

As part of the Corporate Class launch, a new fund, Sprott Resource Class ("The Fund"), will also be offered. The Fund's investment team will be comprised of a number of Sprott's resource experts including: Eric Sprott, Rick Rule, Paul Wong, Charles Oliver, Jamie Horvat and Eric Nuttall. Paul Wong will oversee the Fund's overall allocations to resource sub-sectors and companies, consistent with the team's macro and sector views. The Fund will also serve as the rollover vehicle for Sprott's Flow-Through LPs.

"The addition of Rick Rule and Paul Wong to our firm earlier this year has enhanced our investment management capabilities and added depth to our resource team," said Peter Grosskopf, CEO of Sprott Inc. "We have assembled an industry-leading team to manage Sprott Resource Class and expect our clients to benefit from the combined investment expertise and stock picking abilities of the Fund's managers."

Rick Rule will act as an Investment Strategist to the Fund. Mr. Rule is the Founder of Global Resource Investments ("Global"), a company that was acquired by Sprott Inc. in February 2010. At Global, Rick leads a team of technical professionals with deep experience evaluating resource investment opportunities.

Paul Wong's education and background as a Petroleum Geologist also adds to Sprott's growing team of technical specialists. Mr. Wong has more than 20 years of experience in the investment industry. Prior to joining Sprott, he was a Portfolio Manager with Natcan Investment Management, where he managed three top-performing, natural resource-related funds with more than $350 million in combined assets.

Share classes of Sprott Corporate Class Inc. include:

Sprott Canadian Equity Class
Sprott Diversified Yield Class
Sprott Energy Class
Sprott Gold and Precious Minerals Class
Sprott Resource Class
Sprott Short-Term Bond Class
Sprott Small Cap Equity Class
Sprott Tactical Balanced Class

About Sprott Asset Management LP

Sprott Asset Management LP (www.sprott.com), a wholly owned subsidiary of Sprott Inc. (www.sprottinc.com), is a fund company dedicated to achieving superior returns for its investors over time. Sprott Asset Management LP manages assets primarily for institutions, endowments and high net worth individuals and is the investment manager of the Sprott Funds. Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Please read the prospectus before investing. Mutual Funds are not guaranteed, their values change frequently and past performance may not be repeated. The information contained herein does not constitute an offer or solicitation by anyone in the United States or in any other jurisdiction in which such an offer or solicitation is not authorized or to any person to whom it is unlawful to make such an offer or solicitation. Prospective investors should consult their financial advisor to determine if these Funds may be sold in their jurisdiction.