Central GoldTrust Enters Into Definitive Agreement for ETF with Purpose; DO NOT TENDER to Sprott's Offer & WITHDRAW your Units if Tendered - Seite 2

GoldTrust anticipates that the conversion should not have any material adverse tax effect on GoldTrust or its unitholders and should preserve GoldTrust's tax efficient structure; and

Provides stewardship by highly experienced leaders in ETF management and bullion investment administration.

As an ETF, GoldTrust would be managed by Purpose and Central Gold Managers, GoldTrust's current administrator. The Trustees believe that Purpose's ETF management and marketing expertise will be beneficial to unitholders as GoldTrust transitions to the ETF structure. Importantly, GoldTrust's management fees, which are 43% lower than Sprott's, will remain the same after the conversion to an ETF⁽¹⁾. In addition, to help compensate unitholders for the costs GoldTrust has incurred in defending unitholder interests with respect to Sprott's hostile take-over bid, your Independent Trustees have agreed with Purpose and Central Gold Managers' offer of a 25% reduction in their already low monthly management fees until such time as up to $1.9⁽²⁾ million of costs incurred have been recovered for the benefit of unitholders.

In order for unitholders to consider and vote on the proposed ETF conversion, GoldTrust has called a unitholder meeting to be held on January 26, 2016. A Trustees' Information Circular will be sent to GoldTrust unitholders shortly and posted on the GoldTrust website. The Trustees' Information Circular will provide full details of the required amendments to the Declaration of Trust, the reasons for and implications of the proposed ETF conversion, your Independent Trustees' formal recommendation in support of the proposed ETF conversion and details of the arrangements with Purpose and Central Gold Managers.

Seven months and seven extensions later, Sprott's inadequate offer has repeatedly failed to gain sufficient support from GoldTrust unitholders to achieve their minimum tender condition of 66 2/3% of all units outstanding. Sprott now plans to use the powers of attorney granted by tendering unitholders for a different purpose; namely to replace your Board of Trustees with Sprott insiders if more than 50.1% of the outstanding units of GoldTrust are tendered to their offer. If they are successful, you could be denied the opportunity to consider the superior alternative that your Independent Trustees are unanimously recommending.