Portfolio Update

Capital Gearing Trust PLC
02 November 2006


Top Ten Investments


In accordance with Listing Rule 15.4.11(1), Capital Gearing Trust plc announces
that as at 31 October 2006 it had the following holdings in other UK listed
investment companies (including listed investment trusts) which do not have a
stated investment policy to invest no more than 15% of their gross assets in
other listed UK investment companies (including listed investment trusts):

Name                                                 Percentage of portfolio
------                                               ------------------------
                                                 
Utilico Investment Trust Zero Div Pref                                    2.45%
London & St Lawrence Investment Company Ord                               1.55%
Advance UK Trust                                                          1.37%
Advance Developing Markets Trust                                          1.36%
Bear Stearns Private Equity Ltd Zero div Pref                             0.08%

                                             Total                        6.81%


In accordance with Listing Rule 15.4.11(2), Capital Gearing Trust plc announces
that as at 31 October 2006 the ten largest investments were as follows:

Company                                               Percentage of portfolio
---------                                             ------------------------

Sweden ( Kingdom of ) 3.5% Bonds 01/12/28                                 6.02%
France (Govt of ) 5.5% OAT 25/04/29                                       4.64%
Treasury 2.5% Index Linked 2013                                           4.32%
TR Property Investment Trust                                              4.31%
Germany ( Fed Rep ) 4.75% Bunds 04/07/28                                  4.23%
Life Offices Opportunities Trust                                          3.33%
Canada ( Govt. of ) 4% Index-Linked 01/12/31                              3.05%
North Atlantic Smaller Companies                                          2.70%
Germany ( Fed Rep ) 4.0% Bunds 04/04/09                                   2.51%
Utilico Investment Trust Zero Div Pref                                    2.45%

                                             Total                       37.57%



There were no additional investments with a value greater that 5% of the
Company's portfolio.

It should be noted that the above percentages are calculated using 'bid prices'.



Enquiries


Alice Parker

Tel: [phone]

TMF Corporate Secretarial Services Limited



2 November 2006






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