Final Results

NEW STAR INVESTMENT TRUST PLC

                  PRELIMINARY ANNOUNCEMENT OF FINAL RESULTS

The Directors announce the unaudited statement of consolidated
results for the year ended 30th June 2007 as follows:

                             CHAIRMAN'S STATEMENT

Your Company's total assets rose by 18.8% to £123.7 million over the year to
30th June 2007. This compares with an 18.4% rise in the FTSE All-Share Total
Return Index.

From inception in May 2000 to 30th June 2007, your Company has delivered a
total return of 84.1%. This compares with a 42.5% rise in the FTSE All-Share
Total Return Index, with your Company outperforming in each of its seven
reporting periods. Initially, holdings in bonds and hedge funds generated
outperformance but gains since 2001 have resulted from investments in equity
funds and quoted securities, particularly your management company, New Star
Asset Management Group.

Net revenue for the year under review was £865,000, which compares with
£50,000 during the previous year. Your Directors recommend the payment of a
final dividend of 1p net per Ordinary share. This compares with a dividend of
0.1p for 2006. However, this should not be taken as an indication of future
dividends as the policy of your Company is to achieve capital growth and
earnings per Ordinary share may fluctuate.

Global equities produced healthy returns during the year, with the FTSE World
Index returning 13.7% in sterling terms.

The progress was not unbroken and there were periods when increased risk
aversion resulted in cash being withdrawn from volatile securities and placed
in "safe haven" assets such as government bonds. The first occurred in
November 2006, when rising oil prices led investors to fear that the trade-off
between economic growth and inflation was deteriorating. The second, and more
serious, correction occurred in late February 2007 and early March, when US
sub-prime mortgage defaults heightened concerns that the US would experience a
significant economic growth slowdown or recession in late 2007 or early 2008.
The third period of profit taking occurred in June amid concerns that
increased inflationary pressures would lead to tighter central bank monetary
policies than had been expected.

Generally, however, equities experienced benign conditions, for which there
were four main reasons. First, liquidity was abundant, with the
inflation-adjusted money supply growth in the Group of Seven (G7) industrial
nations remaining above the level of industrial output growth, freeing cash
for financial market investment. Secondly, corporate profits were buoyant.
Thirdly, the takeover market remained active, with strong buying from
corporate purchasers and private equity firms. Lastly, the US Federal Reserve
was inactive, enabling equity investors to take European and Japanese monetary
tightening in their stride although divergent monetary policies affected
currency markets.

The Bank of England raised the bank rate from 4.5% to 5.5%, the European
Central Bank's repo rate rose from 2.75% to 4% and the Bank of Japan's target
policy rate rose from 0.15% to 0.5%. Partly as a result, the dollar fell 7.9%
against sterling and 5.6% against the euro.

Bonds were more subdued than equities, particularly in the second half, amid
nervousness about inflation. Generally, investors were rewarded for taking
risks, with emerging market debt and higher-yielding corporate bonds
outperforming government bonds, although riskier securities retreated towards
the year end in response to problems in the US sub-prime mortgage market.

Within the G7, Germany returned 37.5% while France added 23.0%, Canada added
21.1%, the UK returned 18.4% and Italy returned 16.6%. The two underperformers
were Japan, which fell 2.2% and the US, which gained 11.1%. Among the global
sectors, telecommunications did best, rising 32.1%, followed by basic
materials, up 31.4%, and utilities, up 24.1%. Notable underperformers included
healthcare, up 4.6% and financials, up 10.9%.

At the year end, it seemed likely that the major economies would experience a
significant economic growth slowdown. Strong growth in the money supply may
cushion this slowdown. There may, however, be a further deterioration in the
trade-off between economic growth and inflation because the slowdown so far
has been insufficient to relieve capacity pressures. This implies that central
banks may raise interest rates further in the present cycle. Tighter monetary
policies may weaken consumer-facing companies. Capacity utilisation within the
G7 has, however, risen above its long-term average, a trend that should
increase producer purchasing power and lead to greater capital spending.

Reflecting deteriorating economic conditions and the specific problems of the
US housing market, equity and fixed income markets experienced falls during
the summer of 2007 as investors re-evaluated their attitudes to risk. This may
inhibit private equity takeovers and lead to rotation away from cyclical
industries towards more defensive sectors. In such an environment, careful
stock selection will remain important.

Your Company's unaudited net asset value per Ordinary share at 31 August 2007
was 164.5p.

James Roe

Chairman

26th September 2007

                         INVESTMENT MANAGER'S REPORT

Your Company's strategy is to invest in funds managed by subsidiaries of the
New Star Asset Management Group, both long-only and hedge, in New Star Asset
Management Group shares and in other retail funds and special situations.

Within the portfolio, all but one of the 21 New Star retail funds and hedge
funds produced positive returns during the year under review.

The biggest contribution to your Company's overall return was its holding in
the New Star Asset Management Group, whose shares rose 24.1% during the year.
Other significant contributors to the overall return included the holdings in
the New Star European Growth Fund, the New Star European Hedge Fund and the
New Star Hidden Value Fund.

Among the pooled funds, the strongest relative performance was generated by
the Hidden Value Fund, which gained 31.9% and outperformed its benchmark by
13.5 percentage points. Other strong performers included the New Star Global
Financials Fund, which gained 24.1% and outperformed its benchmark by 13.2
percentage points, and the New Star UK Alpha Fund, which rose 22.9% and
outperformed its benchmark by 4.6 percentage points.

Among the hedge funds, the best performers were the New Star European Hedge
Fund, which gained 19.7%, and the New Star Financials Hedge Fund, which gained
10.5%.

There were various changes to the portfolio during the year of which the most
significant involved your Company's shareholding in New Star. Your Company
participated in a placing at 455p per share on 30th March, selling 418,460
shares or 7.8% of its holding. It also benefited from the 125p per share
capital repayment that coincided with New Star's transfer on 13th June from
the Alternative Investment Market to the Official List of the London Stock
Exchange.

In addition, your Company took partial profits on holdings in two larger New
Star retail funds, the European Growth Fund and the UK Growth Fund, and one
hedge fund, the Apollo Hedge Fund. Holdings in two other New Star hedge funds,
the Asia Renaissance Hedge Fund and the UK Hedge Fund, and a holding in the
Sagitta Healthcare Fund were sold completely.

The proceeds were mostly reinvested in New Star's institutional Global
Property Fund, the recently-launched New Star International Property Fund and
the New Star East European Portfolio. In addition, holdings were purchased in
two funds specialising in Africa, the Investec Africa Fund and the Sierra
Investment Fund, and in Corndon, a privately-owned flour milling business.

As a result, your Company ended the year under review with 58.0% of its
invested assets in retail funds, 19.0% in hedge funds, 15.2% in its holding in
New Star Asset Management Group and 7.8% in other equities and investment
trust shares. Geographically, 66.9% of the portfolio was exposed to the UK,
21.5% was exposed to Europe excluding the UK and the balance was invested
elsewhere.

Global equity markets rose to an all-time peak shortly after the end of the
year under review but then encountered a bout of profit taking as investors
became increasingly risk averse in response to escalating problems in the US
housing market and concerns about sub-prime mortgage debt and other riskier
fixed income securities. In early 2007, merger and acquisition activity, in
particular private equity activity, had been a particularly strong influence
on equity values. With investors beginning to shun higher-yielding corporate
debt, however, the underpinning provided by private equity transactions was
starting to erode. In the coming months, central banks may tighten monetary
policy further, potentially leading to further shifts by investors into more
defensive areas of the equity markets.

New Star Asset Management Limited

26th September 2007

                                      UNAUDITED CONSOLIDATED INCOME STATEMENT

                                         for the year ended 30th June 2007

                                  Year ended                       Year ended
                                30th June 2007                   30th June 2006
 
                          Revenue      Capital    Total    Revenue     Capital    Total
                           return       return              return      return
                            £'000        £'000    £'000      £'000       £'000    £'000
 
Investment Income           1,224            -    1,224        414           -      414
Other operating                93            -       93         84           -       84
income
Total income                1,317            -    1,317        498           -      498
 
GAINS AND LOSSES
 
ON INVESTMENTS
Gains on
investments at fair
value through
profit or loss                  -       18,432   18,432          -      23,111   23,111
Gains on index
future                          -            -        -          -         134      134
contracts

Gains on forward
currency contracts              -          708      708          -         308      308

Other exchange
losses/(gains)                  -         (27)     (27)          -          22       22
                            1,317       19,113   20,430        498      23,575   24,073
 
EXPENSES
Management fees             (265)            -    (265)      (208)           -    (208)
Other expenses              (222)            -    (222)      (206)         (3)    (209)
 
PROFIT BEFORE
FINANCE COSTS AND
TAX                           830       19,113   19,943         84      23,572   23,656

Finance costs                (39)            -     (39)          -           -        -
 
PROFIT BEFORE TAX             791       19,113   19,904         84      23,572   23,656
Tax                            74        (331)    (257)       (34)           -     (34)
PROFIT FOR THE YEAR           865       18,782   19,647         50      23,572   23,622
 
EARNINGS PER SHARE
Ordinary shares              1.22        26.44    27.66       0.07       33.19    33.26
(pence)
 
The total column of this statement represents the Group's Income
Statement, prepared in accordance with IFRS. The supplementary revenue return
and capital return columns are both prepared under guidance published by the
Association of Investment Trust Companies. All items in the above statement
derive from continuing operations.

All income is attributable to the equity holders of the parent
company. There are no minority interests.


                     UNAUDITED CONSOLIDATED BALANCE SHEET

                             as at 30th June 2007

                                               30th June     30th June
                                                    2007          2006
                                                   £'000         £'000
 
NON-CURRENT ASSETS
Investments at fair value through profit         118,168       103,364
or loss
 
CURRENT ASSETS
Other receivables                                  1,392           707
Cash and cash equivalents                          4,883           229
                                                   6,275           936
 
TOTAL ASSETS                                     124,443       104,300
 
CURRENT LIABILITIES
Other payables                                     (754)         (187)
 
NET ASSETS                                       123,689       104,113
 
CAPITAL AND RESERVES
Called up share capital                              710           710
Share premium                                     21,573        21,573
Special reserve                                   56,908        56,908
Retained earnings                                 44,498        24,922
TOTAL EQUITY                                     123,689       104,113
 
                                                   pence         pence

NET ASSET VALUE PER ORDINARY SHARE                174.15        146.59
(PENCE)
 
                        UNAUDITED CASH FLOW STATEMENTS

                      for the year ended 30th June 2007

                               Year ended  Year ended
                                30th June   30th June
                                     2007        2006
                                    Group       Group
                                    £'000       £'000
 
CASH FLOWS FROM OPERATING
ACTIVITIES

Profit before finance              19,943      23,656
costs and tax
Adjustments for:
 
Gains on investments             (14,804)    (25,313)
Operating cash flows
before                              5,139     (1,657)
movements in working
capital

(Increase)/decrease in              (685)         489
receivables
Increase/(decrease) in                207       (426)
payables
 
Net cash from operating
activities before finance
costs and income taxes              4,661     (1,594)
Taxation                            (257)        (34)
NET CASH FROM OPERATING
ACTIVITIES
                                    4,404     (1,628)
 
CASH FLOWS FROM FINANCING
ACTIVITIES
Dividend paid                        (71)        (71)
Interest paid                        (39)           -
NET CASH USED IN FINANCING
ACTIVITIES                          (110)        (71)
 
NET INCREASE/(DECREASE) IN
CASH AND CASH EQUIVALENTS           4,294     (1,699)
Cash and cash equivalents
at                                    229       1,928
beginning of year
 
CASH AND CASH EQUIVALENTS
AT END OF YEAR                      4,523         229
 
            UNAUDITED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

                      For the year ended 30th June 2007

                    Share         Share      Special   Retained    Total
                  capital       premium      reserve   earnings
                    £'000         £'000        £'000      £'000    £'000
AT 30TH JUNE          710        21,573       56,908     24,922  104,113
2006
Profit for the          -             -            -     19,647   19,647
year
Dividend paid           -             -            -       (71)     (71)
AT 30TH JUNE          710        21,573       56,908     44,498  123,689
2007

 
            UNAUDITED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

                      For the year ended 30th June 2006

                    Share         Share      Special   Retained    Total
                  capital       premium      reserve   earnings
                    £'000         £'000        £'000      £'000    £'000
AT 30TH JUNE          710        21,573       56,908      1,371   80,562
2005
Profit for the          -             -            -     23,622   23,622
year
Dividend paid           -             -            -       (71)     (71)
AT 30TH JUNE          710        21,573       56,908     24,922  104,113
2006

                              ANALYSIS OF INCOME

                      For the year ended 30th June 2007

                                  Year ended 30th   Year ended 30th
                                        June 2007         June 2006
                                            £'000             £'000
INCOME FROM LISTED INVESTMENTS                721               241
UK net dividend income                        503               173
UK unfranked investment income              1,224               414
 
OTHER OPERATING INCOME
Bank interest receivable                       93                85
Futures commission                              -               (1)
                                               93                84
TOTAL INCOME COMPRISES
Dividends                                   1,224               414
Other Income                                   93                84
                                            1,317               498
 
The above financial information for the year ended 30th June 2007 does not
constitute statutory accounts as defined in section 240 of the Companies Act
1985 and has been prepared on the basis of the accounting policies set out in
the statutory accounts of the Group for the year ended 30th June 2006.

The comparative financial information is based on the statutory final
statements for the year ended 30th June 2006. Those financial statements, upon
which the auditors issued an unqualified opinion and which contained no
statement under s237(2) or s237(3)of the Companies Act 1985, have been
delivered to the Registrar of Companies. Statutory financial statements for
the year ended 30th June 2007 will be delivered to the Registrar of Companies
in due course.

The annual report will be sent to shareholders in September and will be
available to members of the public from the registered office at 1
Knightsbridge Green, London SW1X 7NE. The Annual General Meeting of the
Company will be held on 21st November 2007 at 12 noon at 1 Knightsbridge
Green, London SW1X 7NE.

ENDS