Monthly Update

Lindsell Train Investment Trust PLC
30 May 2006


                                        The Lindsell Train Investment Trust PLC
                                                 As at 30th April 2006

Fund Objective

To maximise long-term total returns subject to the avoidance of loss of absolute
value and with a minimum objective to maintain the real purchasing power of
Sterling capital, as measured by the annual average yield on the 2.5%
Consolidated Loan Stock.

Net Asset Value                                                       GBP 135.48
Share Price                                                           GBP 132.50
Premium (Discount)                                                        (2.2%)
Market Capitalisation                                                 GBP 26.5mn
Benchmark (21/2% Con Ann Avg Yield +4.4%)                                   +0.4
Source: Bloomberg; NAV-Lindsell Train. Share Price
quoted is closing mid price. See Benchmark definition.

Performance History (based in         2001     2002       2003        2004            2005              YTD 2006
GBP)

Net Asset Value TR%                   +3.2     -9.6       +3.1        +23.7           +16.5               +1.4
Share Price TR%                       +18.5    -19.8      -8.7        +20.6           +27.5               +3.4

Source: LTL and S&P Micropal. Performance years listed Jan - Dec. Launch date 22
Jan 2001. TR=Total Return (with dividends reinvested) *Source: Lindsell Train
Ltd. Past performance is not a guide to future performance. The price of units
and the income from them may go down as well as up. Investors may not get back
what they invested.


2005 Performance      Jan   Feb   Mar   Apr   May   Jun   Jul   Aug     Sep       Oct           Nov            Dec

Net Asset Value TR%  +1.4  +0.3  +1.7  +0.2  +3.4  +2.9  +0.0   +0.2    +1.0      -1.5         +2.3*          +2.9
Share Price TR%      +8.6  +3.5  -3.4  +1.8  +2.6  +9.3  +0.4   -2.3    +2.4      -3.9         +1.2           +4.0

Source: LTL and S&P Micropal unless otherwise indicated. Performance years
listed Jan - Dec. Launch date 22 Jan 2001. TR=Total Return (with dividends
reinvested) *Source: Lindsell Train Ltd.


2006 Performance      Jan   Feb   Mar   Apr  May  Jun  Jul    Aug      Sep        Oct          Nov            Dec

Net Asset Value TR%  +0.9  +1.9  +1.2  -1.8
Share Price TR%      -3.0  +7.5  +1.5  +3.4

Source: LTL and S&P Micropal unless otherwise indicated. Performance years
listed Jan - Dec. Launch date 22 Jan 2001. TR=Total Return (with dividends
reinvested) *Source: Lindsell Train Ltd.

Past performance is not a guide to future performance. The price of units and
the income from them may go down as well as up. Investors may not get back what
they invested.


Industry Breakdown                                             % of NAV

Bonds                                                            19.7
Preference Shares                                                14.1
Equity - Media                                                   12.5
Equity - Banks & Investment Co.                                  6.6
Equity - Leisure & Ent.                                          10.9
Equity - Food & Beverage                                         28.1
Equity - Consumer Goods                                          1.8
Investment Fund                                                  20.7
Cash & Equivalent                                               (14.4)
Total                                                           100.0
Source: Lindsell Train


Top 10 Holdings                                             % of NAV

HBOS 9.25% Non Cum                                          11.0
Lindsell Train Global Media (Dist)                          10.9
Barr AG                                                     9.9
Cadbury Schweppes                                           7.8
Diageo                                                      7.7
US Gov Treasury 6.25%                                       7.5
21/2% Consolidated Loan Stock                               7.0
Lindsell Train Ltd                                          6.6
Wolverhampton & Dudley Breweries                            6.1
Lindsell Train Japan (Dist)                                 5.2
Source: Lindsell Train


Fund Exposure         Bonds      Prefs        Equity          Funds              Cash                 % of NAV

UK %                   12.2      14.1          49.2            4.6              (14.3)                  65.8
USA %                  7.5         -            1.4             -                5.1                    14.0
Europe (ex UK) %        -          -            4.5             -               (2.5)                    2.0
Japan %                 -          -            4.8            5.2              (2.7)                    7.3
Global %                -          -             -             10.9               -                     10.9
Total                  19.7      14.1          59.9            20.7             (14.4)                  100.0
Source: Lindsell
Train


Fund Manager's Comments

April, the first month of the Company's new financial year proved to be a
difficult one. Long-term fixed interest prices continue to decline in the face
of recent evidence of continued robust world growth and soaring commodity
prices. Further rises in interest rates look probable in the USA and maybe even
in the UK. Even though inflation remains subdued with core CPI at 2.3% in the
USA and RPI at 2.6% in the UK, bond markets in both countries are doing their
job of acting as vigilantes against the threat of future inflation rising more.
With Copper up 67% so far this year, average earnings in the US accelerating
from a low base and UK property prices advancing once again it is understandable
why bond investors should be nervous. We think the markets will do the job of
providing restraint so that this current inflation threat will subside leaving
the prospect of low or no inflation a reality in due course. However, while the
battle is on, rising bond prices provide a stiff headwind for the type of equity
assets we own. Most of our equity investments are in steadily rather than
dramatically growing businesses whose real intrinsic value lies in the
compounding effect of future free cash flows many years from now. As bond prices
rise the allure of high current guaranteed nominal yields becomes ever more
attractive versus the promise of future dividend income, especially as the
current rise in cost of funds will if anything depress demand from consumers and
businesses, thereby reducing the probability of the growth in that income today.

Although the Company's exposure to the US Dollar is lower than in the past,
mainly due to the appreciation of non-dollar assets, it still remains at 31%.
Its 5% fall versus Sterling had a negative effect on the net asset value over
the last month and was itself the cause of much of the 1.8% fall in the NAV.

Thus far most equities have held on or fallen in value marginally. One recent
exception is Nintendo, the only Japanese business the company owns directly. The
19% rise in its share price this year is largely attributable to the success
that its new handheld game platform, 'Nintendo DS', has had in expanding the
gaming population away from young boys in Japan. Recent games have appealed to
both girls and older players. As a result sales of the product are booming. Now
the company is additionally engaged in the launch of its successor product to
the 'Game Cube' (the console plugged in to the TV), now controversially, renamed
'Wii' from 'Revolution' (r's are no good for Japanese pronunciation). At the E3
game show in Los Angeles, a must attend event for all those in the gaming
industry, the innovative new console and, above all, its motion sensitive
controller was on display and stole the show. The plaudits from those who used
it were such that expectations for a successful launch later this year have
risen, as have the prospects for the product wresting some market share away
from the dominant platform, Playstation, the new version of which will be
released at around the same time. Significantly, 'Wii' should be priced at a
large discount to Playstation 3, maybe half the price or less, which is another
big positive for the system. Nintendo's business model requires minimal capital
expenditure, as all software development is expensed and hardware is
commissioned from other manufacturers. Over the years the company has amassed a
prodigious cash reserve that today amounts to £4bn, which the company describes
as precautionary, lest they need to suddenly invest in the face of an
unanticipated threat from well resourced competitors (ie. Microsoft and Sony).
Some investors have been critical of this practice, claiming, with some
justification, that low yielding cash depresses the return on equity of the
business, currently only 10%. But in a hint of change, the company first
attained this £4bn level in 2001 and have subsequently paid all free cash flows
to shareholders either as dividends (up 208% from 2001) or through share
buybacks (shares in issue have fallen 10% since 2001), such that, today, the
company's shares yield 2.1%, over double the market average. Should the company
be able to grow its business from here, as we now suspect, and should the
management consider that £4bn is enough precautionary cash to hold, as they seem
to have done since 2001, we should expect substantial further shareholder
payouts from the company in the future.


Fund Manager                            Launch Date                             Denomination
Nick Train                              22 Jan 2001                             GBP

Year End                                Dividend                                Benchmark
31st Mar                                Ex Date: July                           The annual average yield on the 21/2%
                                        Payment: July                           Consolidated Loan Stock.

The Board                               Management Fees                         Registered Address
Rhoddy Swire                            Standard Fee: 0.65%                     Lindsell Train Investment Trust
Michael Mackenzie                       Performance Fee: 10% of annual increase Springfield Lodge, Colchester Road
Donald Adamson                          in the share price, plus dividend,      Chelmsford
                                        above the gross annual yield of the 2   ESSEX  CM2 5PW
                                        1/2% Consolidated Loan Stock.

ISIN                                    Secretary                               Listing
GB0031977944                            Phoenix Administration Services Limited London Stock Exchange
Bloomberg
LTI LN

Disclaimer

This document is intended for use by persons who are authorised by the UK
Financial Services Authority ('FSA') and those who are permitted to receive such
information in the UK. The information contained in this document does not
constitute an offer or invitation to buy or sell any investments. Nothing in
this document constitutes investment, legal, tax or other advice. Lindsell Train
and/or persons connected with it may have an interest in this investment. The
value of any investment in securities or funds and the income generated from
them may go down as well as up and are not guaranteed. Past performance cannot
be used as a guide or guarantee of future performance. You may not get back the
original amount you have invested. Changes in foreign exchange rates may cause
the value of your investment to go up or down. Some funds with higher gearing
may be subject to higher volatility and the investment value may change
substantially. The net asset value (NAV) performance of an investment trust is
not the same as its market share price performance.

Issued by Lindsell Train Limited
Authorised and regulated by the Financial Services Authority
22 May 2006 LTL 000-036-5b

                                                Lindsell Train Limited
                                          35 Thurloe Street, London  SW7 2LQ
                                     Tel. [phone]  Fax. [phone]
                                   [e-mail]  www.lindselltrain.com

                Lindsell Train Limited is authorised and regulated by the Financial Services Authority.





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