Portfolio update

Monthly Portfolio Update

Capital Gearing Trust p.l.c announces that as at 30 September 2008 it
had the following investments in other listed closed-ended investment
funds, which do not have a stated investment policy to invest no more
than 15% of their total assets in other listed closed-ended
investment funds:


Name                                          Percentage of portfolio

Utilico Finance LTD Zero Div Pref 31/10/2012                    2.53%
London & St Lawrence Investment
Company                                                         1.92%
Utilico Finance LTD Zero Div Pref 2016                          0.61%
Utilico Ltd                                                     0.42%
Eclectic Investment Trust                                       0.19%

Total                                                           5.67%


Capital Gearing Trust p.l.c also announces that as at 30 September
2008 the ten largest investments were as follows:


Name                                          Percentage of portfolio

Sweden ( Kingdom of ) 3.5% Bonds 01/12/28                       6.49%
Switzerland (Govt of) 2% Bonds 2014                             5.88%
Life Offices Opportunities Trust                                5.46%
France (Govt of ) 5.5% OAT 25/04/29                             4.63%
Switzerland (Govt of ) 3.0% Bonds 2018                          4.63%
Treasury 2.5% Index Linked 2013                                 4.43%
Germany ( Fed Rep ) 4.75% Bunds 04/07/28                        4.29%
USA Treasury 2.0% TIPS 15/01/16                                 3.22%
Allianz Dresdner 2nd Endowment Policy Trust
2009                                                            2.84%
Utilico Finance LTD Zero Div Pref 31/10/2012                    2.53%

Total                                                          44.39%


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

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

Enquiries
Alice Parker, TMF Corporate Secretarial Services Limited
Email: [e-mail]

Date: 2 October 2008

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