Performance at Month End

Mercury Grosvenor Trust PLC
10 October 2001

MONTHLY PERFORMANCE

MERCURY GROSVENOR TRUST plc

All information is at 28 September 2001 and unaudited.

Performance at month end with net income reinvested

                     One month Three months      One Three years     Five years
                                                year
Net asset value          -1.6%        -5.0%    -5.7%       48.2%         101.5%
Share price              -7.7%       -20.9%   -16.7%       45.5%          93.1%
FTSE All-Share Index     -9.4%       -13.5%   -20.8%        7.2%          37.2%


Sources: Merrill Lynch Investment Managers, Standard & Poor's Micropal
At month end
Net asset value:*                                        389.62p
Share price:                                             298.50p
Discount:                                                23.4%
Total assets:                                            £95.8m
Net yield:                                               4.9%
Gearing:                                                 0.0%
Value of debt:                                           Nil
Ordinary shares in issue:                                25,186,755

*Includes current year net revenue of 9.3p.
The NAV is recalculated monthly with respect to cash, cash equivalents and
quoted investments in the portfolio.
Unquoted investments were last revalued at 30 June 2001.
UK Sector                                                           % Portfolio

Healthcare                                                                 22.1
Support Services                                                           15.1
Electronics                                                                 8.9
Information Technology                                                      7.8
Overseas Venture Funds                                                      7.5
Pharmaceuticals                                                             5.7
Hotels & Leisure                                                            2.6
Property                                                                    2.2
Distribution                                                                1.5
Engineering                                                                 1.1
Paper, Packaging & Printing                                                 0.5
Cash/Fixed Interest                                                        25.0
                                                                          100.0
Ten Largest Investments Company        % Portfolio Sector

PII Group                                     11.4 Support Services
Raymarine                                      7.1 Electronics
Tunstall Holdings                              6.6 Healthcare
Patientline**                                  6.1 Healthcare
Match Holdings                                 3.8 Healthcare
Orbiscom                                       2.9 Information Technology
Alizyme*                                       2.9 Pharmaceuticals
Weston Presidio III                            2.7 Overseas Funds
VTSI                                           2.7 Healthcare
Orbis*                                         2.5 Support Services
                                              48.7

* Listed on the London Stock Exchange
** Traded on the Alternative Investment Market

Ian Armitage, representing Hg Capital, commented:

Performance Summary
Over the three months to 30 September 2001 the net asset value (with net
income reinvested) fell by 5.0% to 389.62p which reflected a fall in the value
of the Company's small cap quoted holdings. With the discount to net asset
value rising significantly to 23.4%, the Company's share price declined by
20.9%. The FTSE All-Share Index fell by 13.5% over the same period.

Deal flow
Deal flow in Q3 2001 was up markedly on Q3 2000. Prices have yet to adjust to
the levels that fully reflect short and medium-term prospects. We do not
expect the situation to last as forced sellers hit the market.

Investments
-   Orbiscom: In August 2001, £2.8 million was invested in Orbiscom. The
company, based in Dublin, is a provider of secure payment software solutions
for global credit and debit card issuers.

-   A further £1.9 million of capital was deployed in follow-on investments.

Realisations
-   Greycoat: The Company received accrued income and receipts from loan stock
following realisations of £650,000 from the underlying property portfolio.

-   Some smaller realisations were made by the sale of some shares in
Clinphone and Power Leisure, yielding an additional £630,000.

Portfolio Companies
Unquoted investments will next be revalued at 31 December 2001.

The valuations of some quoted holdings such as Dechra, Patientline and Power
Leisure have held up well, while others such as Alizyme have fallen in line
with the market.

Markets/Investment Climate
The global macroeconomic climate has been dominated by a marked slowdown and
jittery financial markets. These problems have been exacerbated by the recent
terrorist attacks in the US. For many companies the burst of capital
expenditure made over the prior three years and the associated increases in
capacity have heightened pricing pressures experienced by companies. As a
result, the general short-term outlook for corporate earnings is unfavourable.

The private equity market has not escaped the downturn. Trading conditions
have become tougher for some portfolio companies, and private equity activity
has been declining in line with total merger and acquisition activity.

As companies are forced to re-evaluate their portfolios and distressed sellers
come to the market, we expect a substantial increase in investment
opportunities.

Latest information is available by typing www.mlim.co.uk/its on the internet,
'MLIMINDEX' on Reuters and 'MLIM' on Bloomberg or '8800' on Topic3 (ICV
terminal).



10 October 2001.