just received a monthly update from the Gold & Discovery Fund. 14% up for january and doing well. please find part of that report.

seems to me,... interest for the mcfaulds is growing. and remember the best thing we can do is keep on to those shares. that is what the current management doesn't like- they want to scoop up those cheapies. don't sell your shares cheap.

of cause just my personal opinion and not an advise. best roos

FUND RESULTS
I n v e s t m e n t s
Gold&Discovery Fund Herengracht 574 1017 CJ Amsterdam www.gdfund.nl info@gdfund.nl Bloomberg GOLDDIS NA
Administrator Circle Investment Support Services Auditor KPMG EDP Auditors
January 2009 +14.54%
Mon t h l y c omment
R e s u l t s %
During the worst January for the Dow since 1916 (-8.8%), our Gold&Discovery Fund gained an impressive 14.54%, after
having made a gain of over 15% during the month of December. Our benchmark, the TSX Venture Index (CDNX), was up
almost 11% but is still down -67%, from its 2008 high. So there is still quite a lot of upside potential before we get back to
any semblance of normal valuations. Mining equities, including small caps, largely outperformed the broader market since
bottoming in October 2008. Gold equities outperformed even more and benefited from a strengthening flight to quality. The
large undervaluation is also leading to some increased M&A activity. One of our positions, MAG Silver, gained 40% after the
company received an unsolicited and hostile offer by Fresnillo. Gold (+17%) set a new all-time-high in almost all currencies,
except for the dollar. More and more institutional money is starting to flow towards precious metals, as a hedge against the
worldwide trend of currency devaluation. Given all the unorthodox economic stimuli and money creation, it is quite hard to
imagine this trend to stop in the foreseeable future.
While producers like Goldcorp were responsible for the biggest gains in December, our best discovery investments
(A-discoveries) delivered an average gain of 21% last month. Victoria shares gained +81%, and Osisko (+48%) also did quite
well. Although our base metal plays only make up for only 3% of our portfolio, we are happy to see investors are starting to
realize that the chromium discovery by Noront (+59%) and Freewest (+94%) is simply “too big to ignore” by the major commodity
producers. Coal and iron ore heavyweight Cliffs Natural Resources has already made a move, and bought part of KWG
Resources, one of our positions. KWG is responsible for a nice piece of this remarkable chromium discovery, which could be
“The biggest deposit of its kind on the globe". Because of the rapid deterioration of the world economy and more shocks for our
financial system are to be expected, we decided to strengthen our defensive attitude. An addition of over one million cash from
new investors brings our funds still invested in cash, to over 30%, while gold and silver (future) positions account for almost 10
%. Exploration companies, working on the most important discovery projects, make up for almost 45%, with cash-flow producing
metal producers making up for the remaining 15%.
Fund stati s tics: 01.02.09
Price EUR
Monthly return
YTD return
Total return
CAGR since inception
Launch date 01.07.08
82.50
14.54 %
14.54 %
-17.50 %
-17.50 %
2008
J a n F e b Ma r A p r Ma y J u n J u l A u g S e p O c t N o v D e c
- - - - - - 1 . 6 4 - 2 . 9 9 - 1 3 . 9 - 2 2 . 9 0 0 . 9 2 1 5 . 8 0
2009 1 4 . 5 4 - - - - - - - - - - -
Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul
2008 2009
140
120
100
80
60
40
20
0
GD Fund NAV (value participation) in euro’s
CDNX index
AEX index