The aim is to invest in low-risk, high-reward opportunities through a concentrated portfolio of public gold mining companies, where the co-managers can help bridge the gap in access to financing, value realisation and market perception.
Tocqueville and Sprott US Holdings have entered a joint venture agreement to manage the strategy, describing their partnership as bringing together two leading names in precious metals to create a new investment platform.
"The gold industry is currently at the beginning stages of a wave of consolidation, which creates compelling opportunities for those able to identify the companies best positioned to benefit from the sector's new reality," Tocqueville senior portfolio manager John Hathaway said.
Sprott president Whitney George said the company was pleased to partner with Hathaway and the Tocqueville team.
"By combining the strengths of both our teams, we will offer investors a unique precious metals investment strategy," he said.
Alternative asset manager Sprott was founded in 1981 by Eric Sprott and Tocqueville Asset Management has been managing institutional and private client accounts since it was founded in 1985.