diff --git a/designer/designer.pp b/designer/designer.pp
index 6f04b63fd2..7acc948197 100644
--- a/designer/designer.pp
+++ b/designer/designer.pp
@@ -1443,7 +1443,7 @@ var
     ControlSelection.Clear;
 
     // find a parent for the new component
-    if FLookupRoot is TCustomForm then begin
+    if (FLookupRoot is TCustomForm) or (FLookupRoot is TCustomFrame) then begin
       if MouseDownComponent is TWinControl then
         NewParentControl:=TWinControl(MouseDownComponent)
       else