Central Fund of Canada (CEFA) 6-K Current report (foreign)

EXHIBIT 99.1

August 20, 2015

Central Fund of Canada Limited (Symbols: NYSE MKT - CEF, TORONTO - CEF.A) has today released selected comparative financial information relating to net assets and results of operations for the nine months ended July 31, 2015.

The interim financial statements of Central Fund of Canada Limited (“Central Fund” or the “Company”) are prepared and reported in United States (“U.S.”) dollars in accordance with International Accounting Standards (“IAS”) 34 “Interim Financial Reporting” and may not include all of the information required for full annual financial statements. The transition to IFRS has had no impact on the financial position or financial performance of the Company and has affected only the presentation of the Company’s statements.

STATEMENTS OF FINANCIAL POSITION

(expressed in U.S. dollars, unaudited)

	July 31,		October 31,
	2015		2014
Net assets:	$		$
Gold bullion at market		1,861,397,361		1,972,989,691
Silver bullion at market		1,120,597,341		1,246,818,470
Cash and cash equivalents		11,101,766		23,024,922
Other receivables and prepayments		372,980		313,748
Total assets:		2,993,469,448		3,243,146,831
Liabilities:
Dividends payable		-		2,544,327
Accrued liabilities		1,797,035		2,746,744
Total liabilities		1,797,035		5,291,071
Equity:
Share Capital Class A shares		2,419,770,678		2,419,770,678
Common shares		19,458		19,458
Retained earnings inclusive of unrealized appreciation of holdings		571,882,277		818,065,624
Total equity		2,991,672,413		3,237,855,760
Total liabilities and equity		2,993,469,448		3,243,146,831
Total equity per share:
Class A shares		11.76		12.72
Common shares		8.76		9.72
Exchange rate:U.S. $1.00 = Cdn.		1.3047		1.1275
Total equity per share expressed in Canadian dollars:
Class A shares		15.34		14.35
Common shares		11.43		10.96

The change in net assets as reported in U.S. dollars from period to period is primarily a result of the changing market prices of gold and silver and the proportion of each held by the Company. Changes in the value of the U.S. dollar relative to the Canadian dollar will also have an impact on net assets when reported in Canadian dollars.

Net assets decreased by $292.6 million or 8.9% during the three months ended July 31, 2015 primarily as a result of decreases in the price of gold and silver during the period of 6.9% and 11.9% respectively.

Net assets decreased by $246.2 million or 7.6% during the nine months ended July 31, 2015 primarily as a result of decreases in the prices of gold and silver during the period of 5.7% and 10.1% respectively.

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STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

(expressed in U.S. dollars, unaudited)

	Three months ended July 31,						Nine months ended July 31,
	2015			2014			2015			2014
Income:	$			$			$			$
Interest		7,686			17,937			30,060			57,593
Total income		7,686			17,937			30,060			57,593
Expenses:
Administration fees		1,484,334			1,714,098			4,570,380			5,107,195
Safekeeping fees and bank charges		900,380			1,088,581			2,752,686			3,199,700
Directors’ fees and expenses		60,306			58,705			163,012			158,821
Shareholder Information		35,882			34,335			166,612			166,705
Stock exchange fees		35,450			34,790			105,731			107,693
Audit and related regulatory fees		23,560			32,489			85,054			126,804
Legal fees		13,898			2,233			50,197			32,184
Registrar and transfer agent fees		13,835			15,886			51,363			53,665
Class A Shareholders’ Proceedings		427,369			-			427,369			-
Total expenses		2,995,014			2,981,117			8,372,404			8,952,767
Net loss from administrative activities		(2,987,328	)		(2,963,180	)		(8,342,344	)		(8,895,174	)
Change in unrealized appreciation of holdings		(289,569,221	)		103,013,246			(237,841,003	)		(181,894,197	)
Net income (loss) and comprehensive income (loss) inclusive of the change in unrealized appreciation of holdings		(292,556,549	)		100,050,066			(246,183,347	)		(190,789,371	)

Net loss, inclusive of the change in unrealized appreciation of holdings, for the three months ended July 31, 2015 was $292.6 million compared to net income of $100.1 million for the comparative period in 2014. Net loss, inclusive of the change in unrealized appreciation of holdings for the nine months ended July 31, 2015 was $246.2 million compared to a net loss of $190.8 million for the comparative period in 2014. Virtually all of the net income (loss) for both the three and nine-month periods ended July 31, 2015 was a result of the change in the unrealized appreciation of holdings during the period which was driven by the lower prices of gold and silver bullion during the nine-month period and costs associated with Class A Shareholders’ Proceedings. Certain expenses, such as administration fees and safekeeping fees, vary relative to net asset levels. Administration fees, which are scaled and are calculated monthly based on the total net assets at each month-end, decreased by $229,764 and $536,815 respectively during the three and nine-month periods ended July 31, 2015 as compared to the same periods in 2014. The decreases in administration fees were a direct result of the lower levels of average net assets under administration during the three and nine-month periods.

Expenses as a percentage of average month-end net assets (the “expense ratio”) for the three-month period ended July 31, was 0.09% compared to 0.08% for the three-month period in 2014. For the nine-month period ended July 31, 2015 the expense ratio was 0.26% compared to 0.24% for the comparative nine-month period ended July 31, 2014. For the twelve-month period ended July 31, 2015, the expense ratio was 0.34% compared to 0.32% for the twelve-month period ended July 31, 2014. The increases in the expense ratios were a direct result of costs incurred to address issues related to Class A Shareholders’ Proceedings. If not for these costs, the expense ratios would have remained unchanged from the comparative periods in 2014.

Central Fund of Canada Limited is a specialized investment holding company which invests primarily in long-term holdings of allocated, segregated and unencumbered gold and silver bullion and does not speculate in gold and silver prices. At July 31, 2015, the Class A shares of Central Fund were backed 99.7% by gold and silver bullion and may be purchased or sold with ease on either the NYSE MKT (Symbol: CEF) or the Toronto Stock Exchange (Symbols: CEF.A in Canadian dollars and CEF.U in U.S. dollars).

For further information please contact:

J.C. Stefan Spicer, Chairman, President & CEO

Email: info@centralfund.com        Website: www.centralfund.com       Telephone: 905-648-7878