NOTIFICATION OF TRANSACTIONS OF DIRECTORS, PERSONS DISCHARGING MANAGERIAL RESPONSIBILITY OR CONNECTED PERSONS

This form is intended for use by an issuer to make a RIS notification required by DR 3.1.4R(1).

(1) An issuer making a notification in respect of a transaction relating to the shares or debentures of the issuer should complete boxes 1 to 16, 23 and 24.

(2) An issuer making a notification in respect of a derivative relating the shares of the issuer should complete boxes 1 to 4, 6, 8,13, 14, 16, 23 and 24.

(3) An issuer making a notification in respect of options granted to a director /person discharging managerial responsibilities should complete boxes 1 to 3 and 17 to 24.

(4) An issuer making a notification in respect of a financial instrument relating to the shares of the issuer (other than a debenture) should complete boxes 1 to 4, 6, 8, 9, 11, 13, 14, 16, 23 and 24.

Please complete all relevant boxes should in block capital letters.

1. Name of the issuer 2. State whether the notification relates to (i) a transaction notified in accordance with DR 3.1.4R(1)(a); or (ii) DR 3.1.4(R)(1)(b) a disclosure made in accordance with section 324 (as extended by section 328) of the Companies Act 1985; or (iii) both (i) and (ii) NEW STAR ASSET MANAGEMENT GROUP (iii) PLC

3. Name of person discharging 4. State whether notification relates

managerial responsibilities/ to a person connected with a person director discharging managerial responsibilities/director named in 3 and identify the connected person RICHARD PEASE N/A

5. Indicate whether the notification 6. Description of shares (including

is in respect of a holding of the class), debentures or derivatives person referred to in 3 or 4 or financial instruments relating above or in respect of a to shares non-beneficial interest RESTRICTED BENEFICIAL INTEREST OF ORDINARY SHARES OF 25 PENCE EACH PERSON REFERRED TO IN 3

7. Name of registered shareholders 8 State the nature of the transaction

(s) and, if more than one, the number of shares held by each of them NS TWO LIMITED (AS TRUSTEE OF THE PURCHASE OF JOINT INTEREST IN NEW STAR 2008 EMPLOYEES' SHARE TR SHARES. UST (NO. 1) JOINTLY WITH PERSON NAMED IN 3

9. Number of shares, debentures or 10. Percentage of issued class acquired

financial instruments relating to (treasury shares of that class shares acquired should not be taken into account when calculating percentage) 2,000,000 0.74%

11. Number of shares, debentures or 12. Percentage of issued class disposed

financial instruments relating to (treasury shares of that class shares disposed should not be taken into account when calculating percentage) N/A N/A

13. Price per share or value of 14. Date and place of transaction

transaction 105.33p PER SHARE, RESTRICTED 04/09/08 INTEREST SEE 23

15. Total holding following 16. Date issuer informed of transaction

notification and total percentage holding following notification (any treasury shares should not be taken into account when calculating percentage) SEE 23 BELOW 04/09/08

If a person discharging managerial responsibilities has been granted options by the issuer complete the following boxes

17 Date of grant 18. Period during which or date on which it can be exercised N/A N/A

19. Total amount paid (if any) for 20. Description of shares or

grant of the option debentures involved (class and number) N/A N/A

21. Exercise price (if fixed at time 22. Total number of shares or

of grant) or indication that debentures over which options held price is to be fixed at the time following notification of exercise N/A N/A

23. Any additional information 24. Name of contact and telephone

number for queries SHARES HAVE BEEN ACQUIRED JOINTLY J BLOOM BY THE PERSON NAMED IN 3 AND THE TRUSTEE NAMED IN 7 PURSUANT TO 0207 225 9269 THE NEW STAR EMPLOYEE SHARED OWNERSHIP PLAN APPROVED BY SHAREHOLDERS ON 20 JUNE 2008. THE DIRECTOR'S INTEREST WILL VEST TO THE EXTENT THAT SPECIFIED PERFORMANCE TARGETS ARE ACHIEVED AND SUBJECT TO SERVICE CONDITIONS . SUBJECT TO VESTING, THE DIRECTOR WILL BENEFIT FROM THE GROWTH IN VALUE OF VESTED SHARES ABOVE 105.33p PER SHARE INCREASED BY AN ANNUAL 5% SIMPLE INTEREST CHARGE. MR PEASE IS ALSO INTERESTED IN 4,800,000 ORDINARY SHARES SUBJECT TO THE LOCK-IN ARRANGEMENT DESCRIBED IN THE COMPANY'S 2007 ANNUAL REPORT. Name and signature of duly authorised officer of issuer responsible for making notification JONATHAN BLOOM COMPANY SECRETARY

NEW STAR ASSET MANAGEMENT GROUP PLC __________________________________________________________

Date of notification 5 SEPTEMBER 2008