Interim Management Statement

NEW STAR INVESTMENT TRUST PLC                         

                         INTERIM MANAGEMENT STATEMENT                          

Unaudited Interim Management Statement

for the quarter ended 30th September 2008

This is the Company's interim management statement for the quarter ended
30th September 2008. The statement is being made solely to comply with the
requirements of the UKLA's Disclosure and Transparency Rules and should not be
relied upon by third parties for any other purpose.

Investment Objective

The Company's objective is to achieve long-term capital growth.

Benchmarks

The Board has agreed that to measure the extent to which the Company is
achieving its investment objective, reference should be made to the returns of
the FTSE World Index and the FTSE All-Share Index.

Financial Summary

                                       30th September 2008     30th June 2008
                                                                             
Net asset value per share (mid)                     113.9p             136.1p
                                                                             
Net assets (mid)                               £80,408,468        £95,978,973
                                                                             
Share price                                          95.5p             105.5p

Ten largest holdings at 30th September 2008

                                                  Value at    % of Net Assets
                                                                             
                                       30th September 2008                   
                                                                             
                                                   (£'000)                   
                                                                             
New Star UK Alpha Fund                               6,726                8.9
                                                                             
Global Property Fund                                 4,095                5.4
                                                                             
Investec Africa Fund                                 4,083                5.4
                                                                             
New Star Global Financials Fund                      3,800                5.0
                                                                             
New Star European Hedge Fund                         3,790                5.0
                                                                             
New Star Euro High Yield Fund                        3,360                4.5
                                                                             
New Star Financials Hedge Fund                       3,351                4.5
                                                                             
New Star European Growth Fund                        3,201                4.2
                                                                             
New Star Hidden Value Fund                           2,981                4.0
                                                                             
New Star International Property                      2,956                3.9
Fund                                                                         
                                                                             
TOTAL                                               38,343               50.8

Financial performance

                                             Quarter ended          Financial
                                                                             
                                       30th September 2008       Year to date
                                                                             
Ordinary Share NAV                                 (16.3)%            (16.3)%
                                                                             
Share price                                         (9.5)%             (9.5)%
                                                                             
FTSE World Index                                    (7.0)%             (7.0)%
                                                                             
FTSE All-Share Index                               (13.0)%            (13.0)%

Capital Structure

The Company has a simple capital structure consisting of Ordinary shares. There
have been no changes to the Company's issued or authorised share capital which
remains: 305,000,000 Ordinary shares of £0.01 authorised and 71,023,695
Ordinary shares of £0.01 issued.

Material Events

With effect from July 2008, the Company's assets have been managed by Mark
Harris, head of investment for the Manager's fund of funds range.

The Company pays the Manager an investment management fee of 0.1875% per
quarter, i.e. 0.75% per annum, of total assets of the Company and its
subsidiaries, payable quarterly in arrears. To the extent that any fees are
payable to the Manager or its associates from pooled vehicles in the Company's
portfolio, the fees payable to the Manager by the Company are waived on that
proportion of the assets. On 1st September 2008, the Company entered into a new
investment management agreement with the Manager under the terms of which the
Manager is entitled to a performance fee of 15% of the growth in net assets
over a hurdle of three-month sterling LIBOR plus 1% per annum. The performance
fee is payable six monthly in arrears and is subject to a high watermark. The
aggregate of the management fee and performance fee are subject to a cap of
4.99% of net assets in any financial year.

On 1st October shareholders approved a new investment policy. Under the new
investment policy the Company will allocate its assets actively to global
investment opportunities while spreading investment risk through investment in
equity, bond, commodity, real estate, currency and other asset classes.
Aggregate asset class exposure to any one of the United States, the United
Kingdom, Europe ex UK, Asia ex Japan, Japan or Emerging Markets and to any
individual industry sector will be limited to 50% of the Company's net assets.
It is anticipated that under the new investment policy a lower proportion of
the Company's assets will be invested in funds managed by New Star. Full
details of the new investment policy may be found in the annual accounts for
the year ended 30th June 2008 and the Notice of Annual General Meeting dated
5th September 2008.

There have been no other any material events or related party transactions
between 1st July 2008 and the date of this statement's publication.

Further Information on the Company, including fact sheets and annual and
interim reports of the Company can be obtained from the Manager's website at 
www.newstaram.com

By order of the Board

New Star Asset Management Limited

Company Secretary

19th November 2008