Business Context and Reporting Period
This Form 6-K filing by Sprott Physical Platinum & Palladium Trust covers the month of May 2019. The Trust is a foreign private issuer incorporated in Canada, managed by Sprott Asset Management LP. The filing serves to notify security holders of an administrative update regarding the redemption process for physical bullion.
Financial Metrics
The filing text does not provide specific financial data such as revenue, profit, cash flow, margins, debt, or liquidity. This report is strictly procedural and does not contain a financial statement or performance summary.
Material Changes
- Redemption Form Update: The Manager has replaced the existing Bullion Redemption Notice (previously Schedule "E" to the Trust Agreement) with a new form (Exhibit I).
- Effective Date: The change is effective immediately as of the filing date (May 2019).
- Operational Requirement: Effective immediately, the Manager will no longer accept redemption requests that do not utilize the new form.
Guidance, Outlook, and Risks
Management Commentary: The Manager exercised its sole discretion under Section 1.1(k) of the Trust Agreement to update the form of the Bullion Redemption Notice.
Operational Risks and Contingencies:
- Delivery Restrictions: Physical bullion must be delivered to a commercial address (place of business or bank); carriers will not deliver to residential addresses.
- Redemption Cancellation: Any changes or amendments to delivery instructions on the form will constitute a cancellation of the current redemption request, pushing processing to the following month.
- Time Sensitivity: Unitholders are responsible for arranging pickup of bullion within 5 business days of availability; failure to do so may result in cancellation.
- Signature Requirements: Signatures must be guaranteed by a Canadian chartered bank or a recognized Signature Medallion Guarantee Program.
Key Facts for Investor Verification
- Verify that any future physical redemption requests use the New Bullion Redemption Form (Exhibit I) to avoid rejection.
- Confirm that the designated delivery address is a commercial address and not a residence.
- Ensure the unitholder's signature is properly guaranteed by an authorized institution.
- Be aware that modifying delivery instructions after submission will cancel the redemption request.