Portfolio Update

THE THROGMORTON TRUST PLC

All information is at 31 July 2008 and unaudited.

Performance at month end with net income reinvested

                                      One       Three        One     Three     
                                    Month      Months       Year     Years     
                                                                               
Net asset value                     -9.1%      -12.6%     -35.3%     -7.9%                
                                                                               
Share price                        -11.7%      -11.5%     -33.8%     -4.0%                
                                                                               
HGSC ex Inv Trust + AIM (TR)        -7.4%      -13.6%     -27.6%      4.3%                 

Sources: BlackRock & Datastream

At month end                                                                   
                                                                               
Net asset value Capital only (debt at par value):          146.42p
                                                                               
Net asset value Capital only (debt at fair value):         140.42p                   
                                                                      
Net asset value incl Income (debt at par value):           148.19p                   
                                                                               
Net asset value incl Income (debt at fair value):          142.19p                   
                                                                              
Share price:                                               124.50p
                                                                               
Discount to Capital only NAV (debt at par value):            15.0%                   
                                                                               
Discount to Capital only NAV (debt at fair value):           11.3%                   
                                                                               
Net yield:                                                    1.8%                   
                                                                               
Total assets (Capital only):                               £233.1m                   
                                                                               
Gearing:                                                     16.0%                   
                                                                               
Ordinary shares in issue:                              137,251,872                   


Ten Largest Sector                                                             
Weightings                                                    % of Total Assets
                                                                               
Financial Services                                                         16.5
Software & Computer Services                                               15.0
Industrial Engineering                                                      8.7
Aerospace & Defence                                                         6.6
Mining                                                                      5.6
Pharmaceuticals & Biotechnology                                             5.3
Support Services                                                            4.2
Oil & Gas Producers                                                         3.9
Electronic & Electrical Equipment                                           3.5
Chemicals                                                                   3.2
                                                                           ----
Total                                                                      72.5
                                                                           ====

Ten Largest Equity Investments (in alphabetical order)                         
                                                                               
Company                                                                     
                                                                               
Accsys Technologies                                                            
Aveva                                                                          
Domino Printing Sciences                                                       
Endace                                                                         
Fenner                                                                         
Headlam Group                                                                  
Rathbone Brothers                                                              
Rensburg Sheppards                                                             
SDL                                                                            
UMECO                                                                          

Commenting on the markets, Mike Prentis and Richard Plackett, representing the
Investment Manager noted:

BlackRock took over management responsibility for the portfolio on 1 July 2008.
Our priorities since have been threefold: to increase cash levels; to sell
holdings we believe to be inappropriate; and to add holdings in which we have a
high level of confidence. The main aim of increasing cash levels is to generate
sufficient funds to retire the Company's two debentures; the process of
retiring the debentures is now underway. Authority is being sought from
shareholders to alter the Company's investment remit to allow the inclusion of
a CFD portfolio of approximately 30% of the Company's net assets together with
a tender offer to purchase up to 40% of the Company's shares in issue.

Stockmarkets conditions in July were very poor with continued nervousness about
the state of the world economy, and in particular the UK and US economies. July
saw further provisioning in the banking sector, and more attempts by the banks
to improve their balance sheets by raising new equity and curtailing lending to
higher risk customers and situations. In the UK the housing market is in
crisis, consumer spending is weakening and Government tax receipts look likely
to fall short of expectations with implications for Government spending and
debt. Resource prices fell during July, but it is too early to tell whether
this is a temporary pullback or a genuine indication of demand destruction.
Inflation remains high in most countries but providing resource prices do not
increase further, the effects of past resource prices increases will gradually
fall out of statistics, helping to bring inflation down in due course. GDP
growth in key countries such as China has reduced slightly partly due to
reduced demand from the US. However, a combination of continued infrastructure
build and structurally growing domestic consumption should see China and other
major emerging economies continue to grow strongly.

As far as the Company is concerned, our aim is benfit from sources of growth
around the world, and to avoid areas of weakness. We have reduced the
portfolio's exposure to UK consumers by selling retail holdings such as Findel
and Topps Tiles, and leisure holdings such as restaurant group Clapham House.
We have also sold companies which are, or are likely to be, less able to pass
on cost increases to customers; holdings sold include plastics manufacturer RPC
and food manufacturer Cranswick. We have started to reduce weightings in early
stage technology companies, which form a significant part of the Company's
portfolio. These include biotechnology companies, early stage information
technology companies and some early stage engineering/process companies.
However, many of these companies are exciting and have significant potential,
but our view is that the size of some individual holdings is too great given
the risks inevitably involved.

We have bought some of our favourite core holdings include Spirax-Sarco, a
leading designer of steam systems with almost 90% of revenues generated outside
the UK, and a beneficiary of high energy prices as its customers look to use
steam more efficiently. Other purchases include world leading PEEK manufacturer
Victrex; Chemring, who, inter alia, make decoys used to protect military
aircraft and personal from enemy attack; and Connaught, a leading provider of
services to improve and maintain local authority and housing association social
housing under long term contracts.

Overall performance in July was poor. The Company's NAV fell by 9.1% and the
benchmark index, the Hoare Govett Smaller Companies plus AIM (ex Investment
Companies) Index, fell by 7.4%, both on a cum income basis with debt at par. In
part the NAV fall reflects very weak markets, but also the impact of
reorganising the portfolio in such difficult markets when the portfolio is
fairly illiquid. The most significant relative underperformers were a group of
mining companies Albidon, International Ferrometals, Firestone Diamonds,
Cambrian Mining and Avocet Mining. Mining stocks generally had a poor month as
sentiment turned against the sector. Cost inflation remains high, production
can be very variable especially for smaller producers dependent on one mine,
and some metals prices have been weak, notably nickel, which Albidon produces.

The most significant relative outperformers were SDL, Vectura and Fenner.
Language translation software and services company SDL delivered a good trading
update which led to a strong share price movement with the shares up 28% on the
month. Vectura, a biotechnology company with a good range of potential products
and a powerful partner in Novartis, saw its shares also rally ahead of a
trading update, and Fenner delivered a good update talking of continuing strong
demand for conveyor belting, much of which is used in the mining sector!

During August we are continuing with the approach adopted in July, with an
emphasis on improving liquidity and the introduction of other holdings which
are well managed, cash generative, differentiated price setters, with strong
earnings growth records and sound balance sheets; companies in which we have a
high degree of confidence.

Latest information is available by typing www.blackrock.co.uk/its on the
internet, "BLRKINDEX" on Reuters, "BLRK" on Bloomberg or "8800" on Topic 3 (ICV
terminal).

3 September 2008