2024-07-12 19:37:30 ET
Summary
- ASG and USA are closed-end funds with managed distribution plans, providing higher distributions to income-investors quarterly.
- Both funds use a multi-manager approach to help manage different sleeves of their portfolio.
- ASG is trading at an attractive discount on an absolute and relative basis, though it also has been facing weaker performance for the last couple of years.
Written by Nick Ackerman, co-produced by Stanford Chemist
The last time we covered the Liberty All-Star Growth Fund ( ASG ), we were making a comparison with its sister fund, Liberty All-Star Equity Fund ( USA ). ASG's distinction is it is more "growth" oriented, as its name would suggest. USA, on the other hand, has a portfolio that has a slightly higher tilt toward value.
These closed-end funds have managed distribution plans, with ASG paying out 8% of net asset value per year and USA's portfolio having a slightly higher 10% distribution policy. Of course, the underlying investments they are holding don't provide sufficient dividend payments to cover these payouts....
Read the full article on Seeking Alpha
For further details see:
ASG Vs. USA: Equity Funds Paying Higher Distributions Through Managed Plans