Results to 30 June 1999

ACORN INCOME FUND LIMITED
27 September 1999



ACORN INCOME FUND LIMITED

INTERIM RESULTS FOR THE PERIOD ENDED 30 JUNE 1999


CHAIRMAN'S STATEMENT

I am pleased to report that, following the Company's formation on 5th January
1999, its investment policy has been implemented in accordance with the
Prospectus issued in February 1999 to provide Shareholders with a high annual
income and also the opportunity for some income and capital growth.

The Company began trading on 11th February with a listing on the London Stock
Exchange following the placing of 11 million ordinary shares at £1 each and
the draw down of £7.3 million under a bank term loan facility of £8 million. 
The Company subsequently achieved a secondary listing on the Channel Islands
Stock Exchange on 16th April.  A further issue of 1 million ordinary shares at
112p per share took place on 17th May ranking for dividend, at which time the
Company drew down the remaining balance of its bank facility of £700,000.

The Company is meeting its initial projections for the generation of income
and there is no reason to doubt that the expectations set out in the
Prospectus will be met.  A first interim dividend of 2p per share was paid to
shareholders on 2nd July and a second interim dividend of 2.75p will be paid
on 27th September.  It is the intention of the Board in respect of the period 
to 31st December 1999 to distribute income on a quarterly basis as it becomes
available and the distributions announced to date form part of our commitment
to meet the forecasts set out in the Prospectus.  At the time of writing our
most recent published net asset value as at 31st August has grown to 134.6p
per share, a growth of 40.2 per cent. on the initial asset value of 96p as at
11th February.  The Board remains confident that the Company will continue to
meet its investment objectives.


Martin Bralsford
24th September 1999


STATEMENT OF TOTAL RETURN
For the period 11th February to 30th June 1999 (unaudited)

                                      Revenue       Capital        Total
                                        £'000         £'000        £'000

Gains on investments                        -         2,831        2,831
Income                                    547             -          547
Investment management fee                 (18)          (53)         (71)
Other expenses                            (29)         (313)        (342)

Net return on ordinary activities
before finance costs                      500         2,465        2,965

Interest payable                          (50)         (148)        (198)

Return on ordinary activities for
  the period                              450         2,317        2,767

Interim dividend                         (240)            -         (240)

                                          210         2,317        2,527

Return per Ordinary Share                3.97p        20.45p       24.42p


The accounts have been prepared in accordance with UK generally accepted
accounting practice and using the accounting policies which will be adopted
for the Company's statutory annual accounts.


BALANCE SHEET
as at 30th June 1999 (unaudited)

                                                    £'000          £'000

Fixed assets
  Investments listed at market value                              22,146

Current assets
  Debtors                                             925
  Cash at bank                                        547
                                                    1,472

Creditors - amounts falling due within one year
  Creditors                                        (1,411)


Net current assets                                                    61

Creditors - amounts falling due after more than
  one year
  Long term bank loan                                             (8,000)

Net asset value                                                   14,207

Share capital and reserves
  Share capital                                                    3,000
  Share premium                                                    8,680
  Profit & Loss account                                              210
  Capital reserve                                                  2,317
                                              
                                                                  14,207

NET ASSET PER 25p per ORDINARY SHARE                               118.4p

These accounts are unaudited and are not the Company's 
statutory accounts.