Investment Portfolio Update

Foresight Technology VCT PLC
5 July 2000


Investment Portfolio Update

Against the background of recent volatility in the valuation  of
companies  in the technology sector, the Board has reviewed  the
investment  portfolio as at 30 June 2000 and  revised  the  book
value of certain investments.

As  you  will be aware, there are two funds, the Ordinary Shares
fund and the 'C' Shares fund and you will find below details  of
each of the investments that have been made to date.

Whilst the investments are valued in line with the current  BVCA
guidelines,  your  Board continues to take a very  cautious  and
prudent  view  of the valuation of individual investments.   AIM
and  OFEX  listed companies have been valued at  the  mid-market
closing price at the close of business on 30 June 2000.

The net asset value as at 30 June 2000 was 169.5p per share for the
Ordinary Shares fund (31 March 2000: 264.08p) and 99.5p per  share
for the 'C' Shares fund (31 March 2000: 94.07p).

ORDINARY SHARES FUND

The  significant events affecting the Ordinary Shares fund were:

* the  issue  of  1,960,324  further Ordinary  Shares  upon  the
  exercise  of performance warrants. This exercise was triggered
  by  the  return  to original investors of all  their  original
  investment  by  way  of a £1 per share dividend  paid  in  May
  2000;

* the  fall in the e-district.net plc share price from  110p  to
  86p,  in line with the general fall of quoted internet shares.
  e-district   is   the  Company's  single  largest   investment
  (representing  a  book value of 93.7p per Ordinary Share).  Your  
  investment adviser, VCF Partners, remains optimistic regarding 
  its long term prospects;

* the  appointment of an Administrative Receiver on 1 June  2000
  at Aran Software plc due  to  adverse trading conditions being 
  experienced  by  the   company coupled with a highly geared balance  
  sheet.  This   resulted  in  a  write-off  of  the  £1.4m  investment
  representing 10.7p per share.
  
* the  prudent revaluation of three investments, the details  of
  which are set out below. 


Sapphire International Limited

Owns the long established 'DataEase' family of computer database
software  products and has a worldwide base of  several  hundred
thousand users.

Although   Sapphire  Group  completed  a  second  round   equity
financing  with  a third party resulting in a premium  exceeding
80%  on  Foresight's  equity cost in  July  of  last  year,  the
valuation has been reduced by £484,337 to cost reflecting difficult  
trading in the first six months of this year.

Results  from the latest audited accounts for the year ended  31
December 1999: profit before tax £244,000, net assets £1,761,000

Date  of   Amount invested  Valuation  % Equity/     Loan Stock
Investment including Loan              Voting Rights
           Stock                     
                                   
July       £1,000,000       At cost    17.6%         £400,000 10%
1998                                                 Unsecured Loan
                                                     Stock


Actimax plc

Supplies digital telecommunications systems to small and  medium
sized   customers.   Actimax  installs  complex   computer   and
telephone combined systems using components from suppliers  such
as Ascom, Lucent and Intertel.

Since  Foresight's  investment  the  company  has  progressively
reduced   its   monthly  trading  losses  and  is  now   trading
profitably.

Results from the latest audited accounts for the period ended 31
December 1999: operating loss £220,108, net liabilities £411,280

Date of     Amount invested Valuation  % Equity/     Loan Stock
Investment  including Loan             Voting Rights
            Stock                    
                                     
November    £600,000        At cost    42% (plus 6%  £120,000 10%
1998                                   warrants)     Unsecured
                                                     Loan Stock


Survey and Development Services Limited

Is  a specialist geo-spatial data software products and services
company.   It serves the growing market for digital mapping  and
the  building of geographical information system databases.  The
products include a software system that creates digital maps and
a  system  that  uses satellite positioning in conjunction  with
video  for  recording  facilities for  utilities.   The  company
converts existing maps into digital format.

The  company  is  emerging from a difficult period  and  is  now
trading  profitably  on  a  month by  month  basis.   A  further
£250,000 has been raised from an outside investor, and a new Managing
Director has been appointed.  The provision made at the end of the 
last year against the cost of the investment continues.

Results  from the latest audited accounts for the year ended  30
June 1999: loss before tax £404,152, net assets £916,925.

Date of      Amount invested   Valuation  % Equity/      Loan
Investment   including Loan               Voting Rights  Stock
             Stock                        Rights
                                        
December 1998 £550,000         £300,000   29.2%          £50,000
                             

Cyberlife Technology Limited

Is  a  leading  artificial intelligence software  company.   The
range   of   products  under  development  covers  entertainment
software   (such   as   the  computer  game   'Creatures')   and
productivity tools.

The  company will shortly have a deeply discounted rights  issue
at a lower valuation than our cost, to fund the business until a
flotation planned for early next year.  The provision made  matches 
the valuation to the rights issue price.

Results  from the latest audited accounts for the year ended  31
August 1999:  loss before tax £1,322,150, net assets £3,178,459

Date of        Amount      Valuation      % Equity/Voting
Investment     invested                   Rights
                                               
January 1999   £1,000,000  £254,400       5.3%
                                 

Advanced Composites Group Limited

Is  a  well  established manufacturer of high technology  carbon
fibre  composite  material, with factories in  Heanor  north  of
Derby  and  Tulsa,  USA.  Successful markets include  F1  racing
cars, sports equipment, and aerospace applications.

The Company is ahead of budget and is trading profitably.

Results from the latest consolidated audited accounts for the
year ended 31 August 1999:  loss before tax £365,000, net assets
£3,505,000.

Date of        Amount      Valuation      % Equity/Voting
Investment     invested                   Rights
                                               
March 1999     £1,500,000  At cost        26%


e-district.net plc

Runs an internet portal site with an international community  of
over  2.1 million registered users which generated approximately
163  million  page  views in June 2000.  The  site  provides  an
increasing number of facilities including online games,  e-mail,
personal  home pages and chat, with e-commerce being introduced.
The  company was floated on the AIM market in March  2000  at  a
valuation of £149.7 million.  Foresight sold 6,623,030 shares in
the  flotation  at a placing price of 195p per  share  to  raise
£12.39 million net of expenses.  This money was used to repay to
the shareholders all their original investment.

Date of        Amount      Valuation       % Equity/Voting
Investment     invested                    Rights
                                                
March 1999     £341,319     £12,251,520    18.8%
                                 

Telecom plus plc (OFEX listed)

Offers low cost telephone services to private subscribers  using
relationship  marketing as a means of obtaining  new  customers.
Services  currently offered include the provision of fixed  wire
and  cellular  phone  services with  the  company  acting  as  a
switchless  reseller.  This business is now growing rapidly  and
Telecom  plus intends to add gas and electricity to its offering
shortly, allowing its customers to buy all major utilities  from
one source.

The  Company recently announced that it intends to apply  for  a
full  Stock  Exchange listing in late July.  This is  likely  to
result  in a satisfactory uplift to the previous, now suspended,
Ofex price.

Results  from the latest audited accounts for the year ended  31
March 2000:  loss before tax £363,000, net assets £2,238,000.

Date of       Amount     Valuation   % Equity/      Loan Stock
Investment    invested               Voting Rights
                                     
                                        
June 1999     £475,000    £2,403,000 1.5%           £250,000
  1999                                              Convertible


The e-Exchange Limited

Has designed and built an internet-based online trading exchange
to deal in the PC market.  The company went live with its site
in November 1999 and is now generating a growing volume of
completed trades.

Although a further financing round at a price 50% above our cost
was  completed  in March and the investment was  valued  at  the
increased  price some two months after the company's  investment
in  accordance with BVCA guidelines, the valuation has subsequently
been reduced by £466,500 to cost in the light of  the company's 
continued cash burn coupled with a more difficult fund  raising 
environment.

Results from the latest audited accounts for the period ended 31
December  1999:   operating loss US$ 6,755,000, net  liabilities
US$4,423,000

Date of      Amount     Valuation  % Equity/Voting  Warrants
Investment   invested               Rights
                           
June 1999    £933,000   At cost    3.7 %            100,000 warrants
 1999                                               exercisable at
                                                    $3.00 per share


THE 'C' SHARES FUND

UK Directory (Holdings) Limited (OFEX listed)

Operates  an internet directory with a search engine  containing
approximately 42,000 UK business web site addresses.  A magazine
which  lists  some  21,000 web sites and has  a  circulation  of
approximately  17,000.   France Telecom uses  the  UK  Directory
database  for  its 'Voila' web site.  Revenue is generated  from
advertising in various forms.

The  valuation is at the mid-market Ofex price at  quarter  end.
While the share price is currently at a disappointing level, your 
investment adviser, VCF Partners, believes the company is making 
good progress.  

Results  from the latest audited accounts for the period  ended
31 August 1999: loss before tax £2,519, net liabilities £44,224.

Date of        Amount invested      Valuation   % Equity/Voting
Investment     including Loan Stock               Rights
                                                       
March 2000     £1,000,000           £550,000    10%
                                         

eclipsis.com Group plc (trading as Travelstore.com)

This business has developed an internet-based travel site
focused on the business traveler/SME market.  The company is
growing partly by acquiring existing travel agents.  Their
target customers are frequent travelers, buying premium tickets,
interested in other services and motivated by loyalty
programmes.

Results from the latest audited accounts for the period ended 31
March 1999:  loss before tax £508,153, net assets £647,445.

Date of        Amount invested     Valuation   % Equity/Voting
Investment     including Loan Stock            Rights
                         
December 1999  £1,000,000          At cost     3.3%


KeepAhead Limited

Sends  out  a growing portfolio of quality email services  which
consumers can receive virtually every day, for free.  Revenue is
generated  from  advertising, and longer term  from  e-commerce.
The services cover subjects like sport and current affairs.  The
company has 100,000 registered users and is growing rapidly.

No  audited  accounts produced since incorporation  in  February
1999

Date of      Amount invested       Valuation   % Equity/Voting
Investment   including Loan Stock              Rights
                         
April 2000   £1,000,000            At cost     15% (plus 4%
                                               warrants)


themutual.net plc

Operates  an internet service provider offering its own  content
including hosted chat rooms involved specialist subject experts,
a formula very successfully employed in the USA.

The  company  listed on AIM shortly after the fund's  investment  
at  a price of five times cost.

Date of        Amount      Valuation   % Equity/Voting
Investment     invested                   Rights

June 2000      £500,000    £2,570,477  10%


PROSPECTS

To  date £3.5m of the 'C' Shares fund has been invested and  your
investment adviser, VCF Partners, is currently looking at a  number  
of  promising  new opportunities.   

Whilst  the  decline  in the Ordinary Shares  fund  is disappointing,  
although  in  line  with  the   volatility   of valuations  in  the 
technology  sector,  your  investment adviser, VCF Partners, is 
encouraged by the strong flow of potential investments and remain 
confident about the prospects for both portfolios.