Monthly Update

Lindsell Train Investment Trust PLC
25 October 2006


                                        The Lindsell Train Investment Trust PLC
                                                   As at 30 Sep 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 143.52
Share Price                                                           GBP 143.00
Premium (Discount)                                                        (0.4%)
Market Capitalisation                                                 GBP 28.6mn
Benchmark (21/2% Con Ann Avg Yield +4.3%)                                   +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               +8.8
Share Price TR%                       +18.5    -19.8      -8.7        +20.6           +27.5               +13.0
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 -2.0 +1.8 +1.7   +2.1     +3.2
Share Price TR%      -3.0  +7.5  +1.5  +3.4 -1.5 -2.6 +3.2   +4.1     +5.7
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                                                            17.9
Preference Shares                                                13.1
Equity - Media                                                   12.3
Equity - Banks & Investment Co.                                  5.6
Equity - Leisure & Ent.                                          12.5
Equity - Food & Beverage                                         28.6
Equity - Consumer Goods                                          1.7
Equity - Internet                                                1.6
Investment Fund                                                  20.5
Cash & Equivalent                                               (13.8)
Total                                                           100.0
Source: Lindsell Train


Top 10 Holdings                                                % of NAV
HBOS 9.25% Non Cum Pref Stk                                      13.1
Barr AG                                                          10.7
Lindsell Train Global Media (Dist)                               10.4
Cadbury Schweppes                                                 7.7
Diageo                                                            7.6
21/2% Consolidated Loan Stock                                     6.9
Wolverhampton & Dudley Brewery                                    6.4
Nintendo                                                          6.1
US Gov Treasury 6.25%                                             5.8
Lindsell Train Japan (Dist)                                       5.7
Source: Lindsell Train


Fund Exposure         Bonds      Prefs        Equity          Funds              Cash                 % of NAV
UK %                   12.1      13.1          49.1            4.4              (14.3)                  64.4
USA %                  5.8         -            2.7             -                5.1                    13.6
Europe (ex UK) %        -          -            4.4             -               (2.3)                    2.1
Japan %                 -          -            6.1            5.7              (2.3)                    9.5
Global %                -          -             -             10.4               -                     10.4
Total                  17.9      13.1          62.3            20.5             (13.8)                  100.0
Source: Lindsell
Train


Fund Manager's Comments

September saw new highs for the NAVs of both the Company (closing at £143.5, up 3.2% on the month) and its third
largest investment - the holding in the Lindsell Train Global Media Fund, at 10.4% of LTIT assets. The NAV of the Media
Fund hit $149.2, up 17.5% in US Dollar terms in 2006 to date, for a gain of a near 50.0% over the almost five years of
its life (it launched in November 2001). The Fund is important for your Company not only for the size of its
investment, but because several of the Company's direct equity positions are also held in the Fund. This overlap
reinforces the commitment we have made to the strategic ideas driving the Fund.

These ideas are simply stated. The increasing commercial application of digital technology has led to a proliferation
of the means to deliver media 'content' - whether information or entertainment - to users. This proliferation has two
important investment implications. First, the burgeoning of distribution platforms has intensified competition between
those platforms, on occasion severely damaging some previously successful business models. For instance, it seems
unlikely that free-to-air TV services in the UK will ever be as profitable as in the past, now ITV has lost its
effective monopoly to other platforms, notably satellite and Internet. Next, the digitisation of 'content' has rendered
it either more useful or more fun. This enhancement of the value of content enhances the stock market value of those
relatively rare companies that own or create 'must have' or 'must see' data or programming.

The Media Fund exists to exploit these two opportunities. The majority of the Fund's capital is committed to content
owners. In addition, taking advantage of its 'hedging' powers, The Fund shorts shares in media distribution companies,
although on a more modest scale. Our biggest successes to date have come from conventional, 'long' holdings - for
instance in outstanding franchises such as McGraw Hill (especially its Standard & Poors rating subsidiary), Manchester
United and Pixar, the last two both taken over. The Fund's net long position is 90.0%, reflecting our enthusiasm for
our long ideas. LTIT shareholders should also note that this 90.0% long position effectively adds another 9.0% equity
exposure for the Trust.

Over the life of the Fund, the FTSE Global Media Index is actually down, by 0.5%, reflecting the severity of the bear
market for media assets since the collapse of the TMT boom. In 2006, though, the sector is up c11.0%, outperforming the
MSCI World Equity Index. We hope this marks the beginning of a sustained phase of relative and absolute performance
from media companies. If this is to be so, it will be because, in our view, other investors remain traumatised by the
excesses of 7 years ago, but now underestimate the growth opportunity presented to strong media franchises.

We look for accelerating earnings growth from such franchises in the Fund - Disney, Dow Jones, eBay, Elsevier,
Nintendo, Pearson, Reuters, Sage and Wolters Kluwer - all major holdings. In addition, we are particularly enthusiastic
about the access we have in the Fund to rare sporting franchises - rare in the sense that there are few quoted
companies that offer participation in the escalating value of sports rights - Celtic Football Club, International
Speedway and World Wrestling Entertainment. LTIT shareholders will know that the following stocks are also held
directly in the Company - Dow Jones, eBay, Nintendo, Pearson, Reed Elsevier and Reuters. Recent performance from some
of these is encouraging for our thesis, we think. Reed, in particular, appears to have broken upwards out of a
multi-year share price consolidation, as the company benefits from the shift of its revenues away from paper to online.
Reuters, too, has seen a share rally, as investors acknowledge the strategic strengths of this company and recognise
that revenue growth from current levels is likely to be highly accretive for owners.

Nintendo is up over 65.0% in 2006 and now represents c8.5% of 'look through' portfolio value, once the holdings in it
in both the Lindsell Train funds are accounted for. Apple saw its shares rise from $10 in 2004 to $80 today, as
investors came to appreciate the importance of the iPod to its business. We believe that Nintendo offers a similar
opportunity with its new consoles, DS and Wii and that this year's gains are just the start.


Fund Manager                            Launch Date                             Denomination
Nick Train                              22 Jan 2001                             GBP
Year End                                Dividend                                Benchmark
31st Mar                                Ex Date: June                           The annual average yield on the 21/2%
                                        Payment: August                         Consolidated Loan Stock.
The Board                               Management Fees                         Registered Address
Rhoddy Swire                            Standard Fee: 0.65%                     Lindsell Train Investment Trust
Donald Adamson                          Performance Fee: 10% of annual increase Springfield Lodge, Colchester Road
Dominic Caldecott                       in the share price, plus dividend,      Chelmsford
Michael Lindsell                        above the gross annual yield of the 2   ESSEX  CM2 5PW
Michael Mackenzie                       1/2% Consolidated Loan Stock.
ISIN                                    Secretary                               Listing
GB0031977944                            Phoenix Administration Services Limited London Stock Exchange
Bloomberg
LTI LN

Disclaimer
Risk Warning This factsheet is intended for use by shareholders of the Lindsell Train Investment Trust ('LTIT') and/or
persons who are authorised by the UK Financial Services Authority or those who are permitted to receive such
information in the UK. Any opinion expressed whether in general or both on the performance of individual securities and
in a wider economic context represents Lindsell Train's views at the time of preparation. They are subject to change
without notice and should not be construed as investment advice or investment recommendation. Past performance is not a
guide to future performance and may not be repeated. The value of investments and income from them can go down as well
as up and you may not get back the amount originally invested. Lindsell Train Investment Trust plc is an investment
trust company listed on the London Stock Exchange. Investment trusts have the ability to borrow to invest which is
commonly referred to as gearing. Companies with higher gearing are subject to higher risks and therefore the investment
value may change substantially. The net asset value ('NAV') per share and its performance of an investment trust may
not be the same as its market share price per share and performance.

Issued by Lindsell Train Limited
Authorised and regulated by the Financial Services Authority
23 Oct 2006 LTL 000-040-5b

                                                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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