Portfolio Update

MONTANARO UK SMALLER COMPANIES IT PLC (the 'Company')

In accordance with UKLA Listing Rule 15.4.1l(2), the following list represents,
as at 30 September 2005, the Company's 10 largest investments and where
appropriate, any investment with a value greater than 5% of the Company's gross
assets:

Name of company            Class of share          Percentage Weighting      
                                                                             
DTZ Holdings               Ordinary                2.69                      
                                                                             
Fisher (James) & Sons      Ordinary                2.46                      
                                                                             
Chloride Group             Ordinary                2.25                      
                                                                             
Dignity                    Ordinary                2.21                      
                                                                             
Wilmington Group           Ordinary                2.13                      
                                                                             
Ultra Electronic           Ordinary                2.11                      
                                                                             
Dechra Pharmaceuticals     Ordinary                2.07                      
                                                                             
Vanco                      Ordinary                1.99                      
                                                                             
Codascisys                 Ordinary                1.92                      
                                                                             
Northgate                  Ordinary                1.86