Dear Reader,

My name is Mark Henley.

I’m the Finance Director at The Stanley Gibbons Group of Companies.

Over the past few months I’ve been listening to what our clients have had to say.

I’ve listened to their worries over the stock market and house prices...

I’ve listened to their concerns for the future...

It’s become obvious that the need to diversify your wealth has never been more urgent.

In recent years, investors have had it easy – however the start of the credit crunch marks the end of an era. Investors will find it difficult over the next three years.

I’ve deliberated over what our clients have told me...

...and I have devised the investment product they have been asking for.

Today, I will tell you about a unique investment to help secure your financial future.

Before I get into the details, let me make a couple of points clear.

First, you are unlikely to find a more secure way of diversifying your wealth.

Second, this is a one off opportunity to get involved. We have a strictly limited amount of annual capital return portfolios on offer.

Naturally we expect an unprecedented demand for this product. I would be surprised if it is not fully subscribed by December 31st 2007.

So, why do you need to do this?

You need to protect your wealth
...before it’s too late

An urgent investigation by “Money Week” makes the following four predictions of the economy by 2010:

- Oil prices soar to over $100 a barrel, stifling the economy and causing havoc for businesses

- Interest rates blast over 8%, causing property meltdown and repossessions, with tens of thousands thrown out of their homes

- Prices (of everything from food to cars) skyrocket at the fastest rate since the 1970s

- Shares, gilts and cash all lose value – destroying wealth and crushing retirement dreams

In other words, a flood of people will see their finances devastated over the next 3 years. And that could well include you.

We can help. We’ve listened to our clients. We’ve devised the ultimate investment product to help them secure their wealth.

By investing in rare stamps and historical signatures in this way, you too can be sheltered from this financial crisis.

This is the key: The prices of rare stamps and historical autographs are underpinned by collectors. At the top end – the market we deal in – the collectors are wealthy. In a nutshell they are less effected by global economic vagaries, they will always have money to spend on their passion.

Now remember that word “passion”.

This is what makes our market so different. Collecting is an all consuming passion. That is why the prices of rare stamps and historic signatures show no correlation with the stock market, property prices and other traditional forms of investment.

It’s simple economics. The supply of rare stamps and historical signatures diminishes over time. Paper is a perishable commodity – stamps can be damaged, lost or tied up in long term collections.

Demand in the future will be greater as baby boomers reach retirement age and rekindle childhood hobbies. The future prices of rare stamps and historical signatures will continue to be dictated by high net worth individuals and the prices they are willing to pay to build fantastic collections.

All the evidence points to a growing number of affluent passionate collectors, driven by the growth of the worldwide ageing population. Add to this the new wealth from emerging economies including Russia, India and China and we have the perfect recipe for growth.

Over 400,000 Chinese collectors visit our website each year. Their potential spending power over the next 10 years is absolutely enormous. You need to be 'in' before they start spending.

The perfect hedge against inflation:
best-case returns of 698% or more...

Rare stamps and signatures have historically provided the highest returns during periods of high inflation.

The last period of high inflation was in the 1970s, when the prices of everything from food to petroleum skyrocketed.

Rare stamps shot up around 698% during that period.

Inflation is on the up – higher food bills and rising fuel costs driven by record oil prices are to blame. A recent CBI* survey shows retailers are reporting the greatest price pressure since 1998.

(*Confederation of British Industry)

History tells us that when inflation starts to wipe out gains from stocks, bonds and properties...rare collectibles like rare stamps and historical signatures start to soar.

In other words, investing in rare stamps and historical signatures now is one of the best ways of protecting your wealth against the impact of inflation in the future.

A quote from one of our clients best sums this up:

“[Stanley Gibbons’ Guaranteed Minimum Returns Contracts] must be the investment equivalent of relaxing in front of an open fire, sipping a fine cognac, contemplating your collection of rare Victorian stamps – while all around you are losing their heads, as the markets crash and burn!”

- Andrew Merricks, Head of Investments, Skerritt Consultants Ltd.

Now let me explain our offer to you:

Your worst-case scenario:
A guaranteed 6% annual capital gain

If you are already the proud owner of one of our guaranteed minimum return investment contracts, you are probably wondering what’s different here. Let me explain:

Quite simply, instead of needing to wait until the end of the contract (three years+) to realise your gains we have developed an innovative new investment product which enables you to generate an annual cash investment return over the period of your contract.

Your worst-case return with this product is 6% per annum – and your upside is unlimited.

The key terms of our annual capital return portfolio service are:

- Take out a fixed term contract for a minimum 3 year investment term

- The minimum investment size is £30,000 over three year period

- The maximum investment term is 10 years (minimum investment £100,000)

- We will guarantee you a minimum annual capital return of 6% per annum

- The minimum returns are based on Stanley Gibbons re-purchasing a proportionate element of your portfolio on the anniversary date each year

- Your whole investment can be redeemed at any stage after the 3 year initial contract period has elapsed

- There is potential for higher returns based on underlying price increases of the stamps and autographs held within your portfolio

- Actual returns will be the higher of the 6% annual guaranteed return and 75% of market value of the underlying assets re-purchased by us from you each year

For the avoidance of doubt, you achieve annual cash returns by re-selling a part of your portfolio to us each year. As such, this is not an income product.

Our new annual capital return portfolio service offers unique advantages including:

- Protect yourself from the credit crunch with guaranteed minimum annual returns of 6%

- Annual minimum returns are better than current bank deposit rates

- Stanley Gibbons will exercise full discretion on items re-purchased annually enabling you to crystallise gains on “top performers” early

- Perfect for financial planning such as school fees or as a guaranteed retirement income

- Initial tie in period only 3 years – cash in full investment at any stage after this period

- Unlimited upside – history has shown strongest returns in high inflationary periods

How to get a total return of
at least 6.8% per annum

Let’s now look at how this works in practice. If you were to take out an annual capital return portfolio for £100,000 over 10 years the minimum returns would be as illustrated below:

* Assumes annual repayments deposited in savings account paying 5.5% interest.

In other words, you can beat your bank deposit interest rate by depositing the annual capital returns from our investment product into your savings account each year. Over a 10-year period you would increase your returns to an average of 6.8% per annum.

But remember, this is only the minimum return available.

Just take a look at the performance in recent years from a real-life example portfolio:

This 7 year contract taken out in the year 2000 would have almost trebled in value during the contract term. The average annual return over the 7 year period was 27%.

In short, you’ll get the upside from your investment whilst being protected by a guaranteed minimum annual return of 6%.

If you’re interested, I’d suggest getting in on this deal right away, because we can only accept a limited amount of money in our annual return contracts each year.

You see, we will only be able to offer examples of our best material in the annual contracts to make it work for us. And by working for us, it is sure to work for you.

You will benefit from guaranteed annual capital returns better than your bank and the potential to make outstanding investment returns.

We will benefit from getting the items we most want in stock back from you earlier.

Get in on the investment opportunity of a lifetime...before it’s too late

I cannot predict how long we can keep this offer open. I anticipate we might be fully subscribed before 31 December.

Study your economic history and you will see that, time and time again, financial wealth is destroyed when there is a stock market or property market crash as most investors are fully exposed in these areas.

In my opinion, still far too few intelligent investors appreciate and understand the benefits of diversification.

Our investment products are unique. Not only are they secure and profitable, but they provide you with a wonderful feeling of pride: You become the owner of an important piece of history.

Our annual capital return portfolios provide the best opportunity to utilise excellent tax advantages. Benefit from capital gains tax planning and negate or minimise your tax liability on gains realised.

To subscribe immediately, or to get more information, contact my colleague Adrian Roose.

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+44 (0) 1481 708 277
email investment@stanleygibbons.co.uk

TOLL FREE from the USA 1 866 644 6146
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Sincerely,

Mark Henley
Finance Director
Stanley Gibbons Ltd

P.S. We'll also offer to store and insure your investment for you, free of charge, if you wish.