1. Sprott updates its Junior Gold Miners ETF index methodology. 2. The index constituents returned over 171% as of December 19, 2025. 3. Market cap thresholds for new and existing constituents have increased. 4. Eligible securities to include those with under $3 billion market cap. 5. Index aims for 25-30 constituents for better diversification.
FAQ
Why Bullish?
The significant returns and increased index inclusivity could bolster investor interest in SII.
How important is it?
The methodology changes enhance attractiveness and inclusivity, likely driving asset inflows.
Why Short Term?
Immediate investor sentiment may be positively influenced due to recent performance news.
Related Companies
Changes to Index Tracked by Sprott Junior Gold Miners ETF (SGDJ)
Company Symbol: SII
Source: GlobeNewsWire
Introduction
Sprott Asset Management USA, Inc., a subsidiary of Sprott Inc. (SII), has announced significant methodology changes to the index tracked by the Sprott Junior Gold Miners ETF (NYSE Arca: SGDJ). These changes are prompted by a remarkable market appreciation of junior gold miners, which recorded returns exceeding 171% as of December 19, 2025. As a result, the market capitalization of the index constituents has increased substantially.
Key Methodology Changes
To maintain the integrity of the Index and ensure effective implementation of the weighting methodology, Solactive AG has detailed several adjustments:
- Increase in market cap maximum for new constituents: The threshold for new eligible securities will be raised from below USD $2 billion to below USD $3 billion.
- Market cap buffer for existing constituents: Current index members must now have a market cap of no more than $4 billion.
- Expansion of the eligible index universe: The index universe will transition from the Solactive Global Gold Explorers & Developers Total Return Index to the Market Watch of this index.
- Target constituent count: The index will aim to include between 25 to 30 constituents.
These modifications will take effect during the next scheduled rebalance and will serve as an ongoing update to the index methodology.
About Sprott Asset Management
Sprott Asset Management USA, Inc., part of the larger Sprott Inc. (SII), specializes in global asset management focused on precious metals and critical materials investments. With a professional team that distinguishes itself through in-depth expertise, Sprott offers various investment strategies including Exchange Listed Products, Managed Equities, and Private Strategies. The company operates from offices in Toronto, New York, Connecticut, and California.
For further details, visit www.sprott.com.
Contact Information
Glen Williams
Senior Managing Partner
Investor and Institutional Client Relations
Direct: (416) 943-4394
Email: gwilliams@sprott.com
Important Disclosures
Investors should carefully consider their investment objectives, risks, charges, and expenses before investing in any fund. To obtain a fund’s Prospectus, which includes critical information, contact your financial professional, call 1.888.622.1813, or visit SprottETFs.com. It is important to read the Prospectus thoroughly before investing.
Exchange Traded Funds (ETFs) like the Sprott Junior Gold Miners ETF (SGDJ) provide continuous liquidity, allowing trades throughout the day; this may lead to higher transaction costs and potential tax implications. Since these funds are non-diversified, they may invest a larger percentage of assets in certain individual securities, especially within the natural resources and precious metals sectors, which can experience heightened price volatility and risks.