Canadian World Fund Limited Reports 2005 Second Quarter Results.

TORONTO -- In the second table, under Net asset value per share as at December 31, 2004, the amount should be 5.49 (sted 4.49).

E[acute accent]CANADIAN WORLD FUND LIMITED REPORTS 2005 SECOND QUARTER RESULTS

E[acute accent]Canadian World Fund Limited's (CWF) (TSX:CWF) net asset value per share (NAV) returns for the three, six and twelve month periods ended June 30, 2005 were -2.0%, -0.7% and 8.8%, respectively. By comparison, the returns of the benchmark, Morgan Stanley All-Country World Free Index for the same periods were 1.3%, 0.4% and -0.2%, when expressed in Canadian dollar terms. CWF's market returns were -2.4% for the second quarter, 3.8% year-to-date and 18.6% over the twelve months to June 30, 2005.

E[acute accent]CWF's net assets at June 30, 2005 were $22,334,000 compared to $20,546,000 at June 30, 2004. Correspondingly, the respective net asset value per share (NAV) amounts were $5.45 and $5.01.

E[acute accent]There was a net loss on investments of $32,000 for the six months ended June 30, 2005, comprised of a net realized gain on investments of $2,138,000 and a decrease in unrealized gain on investments of $2,170,000. This compares to a net gain on investments of $1,051,000 for the corresponding period in 2004. CWF's net investment loss for the first half of 2005 was $160,000, compared to a loss of $143,000 for the same period in 2004.

E[acute accent]Europe, including the U.K., and North America were the dominant portfolio segments with weightings of 36.9% and 36.3% respectively. Asia was the third largest segment with a weighting of 19.3%. The top three holdings as at June 30, 2005 were: The Stanley Gibbons Group Limited, a holding company for businesses which offer a community-based trading environment on the Internet for the stamp and collectibles markets; Oslo Bors Holding ASA, the stock exchange in Oslo, Norway; and Apple Computer Inc., the alternative computer maker having huge success with its consumer product, the iPod.

E[acute accent]Canadian World Fund Limited is a TSX listed global equities fund that provides one of few opportunities for bottom-up investment in securities of publicly traded primarily growth companies in a global portfolio.

Three Months Ended      Six Months Ended
                            ------------------     -----------------
                             June 30,  June 30,    June 30,  June 30,
                                2005      2004        2005      2004
                            -----------------------------------------
Net investment loss for the
 period                          (36)      (63)       (160)     (143)
Net realized gain on
 investments                   2,052       954       2,138     2,300
Change in unrealized gain on
 investments
- net of future income taxes  (2,492)   (1,651)     (2,170)   (1,249)
                              -------   -------     -------   -------
Increase (decrease) in net
 assets resulting from
 operations                     (476)     (760)       (192)      908
Increase (decrease) in net
 assets resulting from
 operations per share          (0.12)    (0.19)      (0.05)     0.22
                             -----------------------------------------


                                              As at
                                             -------
                              June 30,      December 31,      June 30,
                                 2005              2004          2004
                             -----------------------------------------
Net assets                     22,334            22,526        20,546
Net asset value per share        5.45              5.49          5.01

E[acute accent]Canadian World Fund Limited (TSX:CWF)