TRUST HIGHLIGHTS

The Trust was created to invest and hold substantially all of its assets in physical silver bullion. The Trust intends to invest primarily in long-term holdings of unencumbered, fully allocated, physical silver bullion and will not speculate with regard to short-term changes in silver prices. One of the unique features of the Trust is the ability of Unitholders to redeem their Units on a monthly basis for physical silver bullion.

In addition to the convenience and security offered by the Trust, an investment in silver can provide several benefits to investors. Silver may assist in protecting a portfolio from inflation, financial collapse and currency devaluation. Silver also has a negative or low correlation with many other asset classes, making it an effective portfolio diversifier. In particular, given that silver prices have generally increased during times of U.S. dollar decline and during inflationary periods, silver may provide a hedge against purchasing power erosion. In addition, over the past ten years, silver has grossly outperformed equity indices such as the S&P 500 Index, the S&P/TSX Composite Index, Dow Jones Industrial Average Index and the MSCI EAFE Index.

• Click here for US Prospectus
• Click here for Canadian Prospectus

1. Storage by the Royal Canadian Mint

The Trust’s physical silver bullion is stored and fully allocated by the Royal Canadian Mint, to which we refer to as the Mint. The Mint is a Canadian Crown corporation, which acts as an agent of the Canadian Government, and its obligations generally constitute unconditional obligations of the Canadian Government. The Mint is responsible for and bear the risk of loss of, and damage to, the Trust’s physical silver bullion that is in the custody of the Mint. The physical silver bullion is subject to periodic inspection and audits. See “Custody of the Trust’s Assets” in the prospectus. Under certain circumstances, the liability of the Mint may be limited.

2. Potential Tax Advantage for Certain U.S. Investors

Any gains realized on the sale of units by an investor that is an individual, trust or estate, including such investors that own units through partnerships and other pass-through entities for U.S. federal income tax purposes, may be taxable as long-term capital gains (at a maximum rate of 15% under current law, compared to a long-term capital gains tax rate of 28% applicable to the disposition of physical silver bullion and other ‘‘collectibles’’ held for more than one year), provided that such U.S. investor has held the units for more than one year at the time of the sale and such U.S. investor has made a timely and valid Qualified Electing Fund, to which we will refer as QEF, election with respect to the units. See ‘‘Tax Considerations—U.S. Federal Income Tax Considerations—U.S. Federal Income Taxation of U.S. Holders’’ in the prospectus for further discussion of the U.S. federal taxation of U.S. investors in units.

3. Ability to Redeem Units for Physical Silver Bullion

Unitholders have the ability, on a monthly basis and as described herein, to redeem their units for physical silver bullion for a redemption price equal to 100% of the NAV of the redeemed units, less redemption and delivery expenses, including the handling of the notice of redemption, the delivery of the physical bullion for units that are being redeemed and the applicable silver storage in-and-out fees, and subject to certain minimum redemption amounts.

4. Investment in Physical Silver Bullion Only

Except with respect to cash held by the Trust to pay expenses and anticipated redemptions, the Trust expects to own only London Good Delivery physical silver bullion. The Manager intends to invest and hold 97% of the total net assets of the Trust in physical silver bullion in London Good Delivery bar form. The Trust will not invest in silver certificates or other financial instruments that represent silver or that may be exchanged for silver.

5. Lower Transaction Costs

The Manager expects that, for many investors, costs associated with buying and selling the units in the secondary market and the payment of the Trust’s ongoing expenses will be lower than the costs associated with buying and selling physical silver bullion and storing and insuring physical silver bullion in a traditional allocated silver bullion account.

6. Experienced Manager

The Trust is administered by Sprott Asset Management LP. The Manager is a licensed portfolio manager that is wholly-owned by Sprott Inc., a public company whose shares are listed on the TSX. The Manager has considerable experience and a long track record of investing in physical silver bullion on behalf of investors.

7. Convenient Way to Own Physical Silver Bullion

The Trust units are listed on the NYSE Arca and the TSX. The Trust provides institutional and retail investors with indirect access to the physical silver bullion market while providing them with the liquidity of an exchange traded security. The units may be bought and sold on the NYSE Arca and the TSX like any other exchange-listed securities.