Pre-Close Trading Update

Tavistock Investments Plc

("Tavistock", or the "Company")

Pre-Close Trading Update

14 February 2019

Tavistock Investments Plc (AIM-TAVI) provides investors with a trading update

During the current financial year, headwinds, in the form of Brexit uncertainties, difficult global financial market conditions and investor anxiety, have slowed the pace at which the Company has been able to grow FUM (funds under discretionary management) and hence profitability. Unlike many competitors, FUM is increasing year on year and earnings (EBITDA) are expected to grow significantly, just not to the level management had hoped.

Whilst the Company's results for the current year will be lower than previously anticipated, they will still demonstrate meaningful growth and management retain their stated ambition to pay a maiden dividend.

Great strides have been made in the development of the business during the year, with the launch of two new protected products and significant investment in the development of i-stock, the Company's D2C smartphone app. Strategic partnerships have also been signed with Lighthouse Group and the Law Society. All of these initiatives are expected to bear fruit during the next financial year.

The new funds are protected by high watermark contractual guarantees from Morgan Stanley & Co International plc. Initial market response to these funds has been extremely positive and the current challenge is to organise distribution to the widest possible audience, to which end considerable progress is being made.

In November, the Company announced the creation of Tavistock Law, the only financial advice business in the UK to have received an endorsement by the Law Society. Its focus is on assisting solicitors engaged is trust and in court of protection work, where investment in Tavistock's protected funds would often be particularly beneficial.

In December, we announced a strategic alliance with Lighthouse Group plc (AIM; LGT) to establish an investment management service. This business will distribute the capital protection products under the Luceo brand (Lighthouse's proprietary range of investment solutions) to clients of Lighthouse through their adviser base.

It is estimated that Lighthouse Group currently has some £5 billion of assets under advice and places about £1 billion of new investment and pension fund investments on behalf of clients each year. The process of engaging with Lighthouse's 400 advisers has now begun and prospects are most encouraging.

The Company's direct to consumer smartphone app, i-stock, will be launched by year end. This will provide customers with the ability to open both ISA and general investment accounts to invest in a protected portfolio with a 90% guarantee underwriting its highest ever value.

Progress achieved with the initiatives referred to above means that the Company is well positioned for continued growth next year and its prospects remain excellent.

ENQUIRIES

Tavistock Investments Plc

Oliver Cooke / Brian Raven +44 (0)1753 867000

Arden Partners Plc - Nominated Adviser

Paul Shackleton +44 (0)20 7614 5900

Allenby Capital Limited - Broker

Nick Naylor / Nick Athanas +44 (0)20 3328 5656

Vested - PR Partner

Elspeth Rothwell +44 (0)20 3890 8118