Monthly Update

British Empire Sec & Gen Tst PLC
08 February 2005

BRITISH EMPIRE SECURITIES AND GENERAL TRUST PLC



Performance Commentary



Investment management report with performance figures as at 31 January 2005.



Over the month NAV was up 3.0%1.  This compares to an increase in the benchmark
of 1.1%2 and a decrease of 0.5%1 and an increase of 1.3%1 for the MSCI World (£)
and FTSE All Share indices respectively.



Financial year to date, net asset value rose 13.5%1 compared to a rise of 8.7%2
for the Datastream index, 4.4%1 for the MSCI World (£) and 8.1%1 for the FTSE
All Share.



Over three years NAV is up 54.1%1 while the FTSE All Share is up 8.0%1.



Manager's Comment


The Trust's NAV moved higher on the month with help from certain commodity
stocks, Japan and emerging markets.  Despite our long term positive view on
these areas, we are more cautious on the near term outlook.  Valuations have
become stretched, in some cases.


In addition, liquidity support for 'reflation trades' is threatened by the US
Fed's policy of increasing rates to 'neutral' after a long accommodative phase.
As a response, we are taking profits in certain stocks we feel are getting
frothy and allowing our cash levels to increase somewhat.



Statistics



                                Value     % 1 mo       % 1 yr       % 3 yr   % 5 yr

Price (£)1                      317.0       4.4          42.1          74.0  124.2

Net Asset Value1                304.2       3.0          27.0          50.6   69.8

Net Asset Value Total Return1               3.0          27.8          54.1   76.6 

Benchmark2 (£)                              1.1          13.2          7.1    -6.7



Annual Returns (%)       2004        2003       2002         2001      2000

Price1                   36.0        41.6      -12.2         0.8       26.0

MSCI World1                7.2       20.6      -27.4       -14.1       -5.8


1 Source: Fundamental Data

2 Datastream Global Growth Investment Trust Index(TR) Source: Thomson Financial

3 Benchmark index changed to Datastream Global Growth Investment Trust Index(TR)





Top 10 Equity Holdings                        %


Hansa Trust                                 6.14

Eurazeo                                     4.97

Jardine Strategic Holdings                  3.97

Law Debenture Corp                          3.38

Prospect Japan Fund                         3.12

Wendel Investissement                       2.50

CNP                                         2.46

European Asset Value Fund                   2.17

Encana                                      1.85

Paris Orleans                               1.76



Capital Structure as at 31 December 2004

Ordinary Shares                              160,080,089

10 3/8% Debenture stock 2011                  £8,514,940

8 1/8% Debenture stock 2023                  £15,000,000

Equities index unsecured loan stock 2013       3,013,267



Gross Assets / Gearing as at 31 December 2004



Gross Assets                                £501.5mil.

Debt                                        £ 30.7mil.

Actual Gearing (Debt less cash dividend 
  by net asset value)                         -10.2%



Fund Codes



Bloomberg                          Reuters Ticker / ISIN
BTEM                               GB0001335081




Geographical Breakdown


Continental Europe                             25.3%

Japan                                          11.5%

Canada / US                                     4.2%

Asia Pacific                                   13.3%

UK                                             22.9%
                                  
Liquidity                                      18.1%

EMEA                                            4.7%



All figures as at 31January 2005.  All sources Asset Value Investor unless
otherwise stated. British Empire Securities Trust is managed by Asset Value
Investors Ltd. The price of shares and the income from them may go down as well
as up; they can be affected by exchange rate movements between currencies and it
is possible that investors may not get back the full amount invested on disposal
of the shares.  Past performance is no guarantee of future performance.
Investments in emerging markets carries a greater degree of risk, in particular
the volatility of the markets and the local custody and registration
arrangements, which may be less developed than in more mature markets.  There is
no guarantee that the market price of shares in Investment Trusts will fully
reflect their underlying Net Asset Value (NAV). This Investment Trust should be
considered only as part of a balanced portfolio, of which it should not form a
disproportionate part. Under no circumstances should this information be
considered as an offer, or solicitation, to deal in investments. Issued by Asset
Value Investors Ltd., which is authorised and regulated by the Financial
Services Authority.


                      This information is provided by RNS
            The company news service from the London Stock Exchange