Liberty All-Star® Equity Fund December 2025 Monthly Update
MWN-AI** Summary
The Liberty All-Star® Equity Fund (NYSE: USA) released its monthly update for December 2025, highlighting its investment strategy and performance. As a large-cap core fund, it employs a diversified approach by combining three value-style and two growth-style investment managers, which include notable firms such as Aristotle Capital Management and Sustainable Growth Advisers.
The fund's top 20 holdings, encapsulating 38.1% of its equity portfolio, are dominated by industry giants like NVIDIA Corp (5.0%), Microsoft Corp (4.5%), and Alphabet, Inc (4.1%). As of the end of December, the fund’s net asset value (NAV) stood at $6.84, while the market price was $6.28, resulting in a discount of 8.2%. This marked a monthly performance increase of 0.74% in NAV and 2.45% in market price, with year-to-date performances of 8.80% and -0.11%, respectively.
The fund maintains substantial investments in the Information Technology sector (24.9%), followed by Financials (19.7%) and Health Care (13.7%). Notably, new holdings introduced this month included IDEXX Laboratories and McCormick & Co., while Constellation Brands was liquidated.
Investors are reminded of the inherent risks associated with the fund, including the potential loss of principal and significant fluctuations in investment value. Distributions to shareholders may come from dividends, long-term capital gains, or return of capital, with final tax characterizations determined post-year end.
Overall, while the Liberty All-Star® Equity Fund is positioned for long-term growth through its diverse management strategy and strong holdings, investors should remain cognizant of market volatility and the risks involved.
MWN-AI** Analysis
The December 2025 Monthly Update for the Liberty All-Star Equity Fund (NYSE: USA) reveals a fund structured around a large-cap core investment approach, utilizing five seasoned investment managers. This diverse strategy combines both value and growth styles, which contributes to the fund’s relatively stable performance despite the fluctuating nature of equity markets.
The fund's assets, totaling approximately $2.06 billion, are primarily invested in large-cap technology and financial sectors, which collectively account for over 44% of its equity portfolio. Notable holdings, including top tech stocks like NVIDIA, Microsoft, and Alphabet, underscore a tilt towards technology, which remains a driver of growth. As of December, the fund achieved a year-to-date performance of 8.80% in its NAV, demonstrating resilience against broader market uncertainties.
Investors should take note of the fund’s trading at a discount, with market prices lower than NAV. At a discount of 8.2%, the current market price presents a potential entry point for investors looking for discounted equity exposure. This situation can provide opportunities for capital appreciation as market conditions improve.
However, caution is warranted given the fund's high concentration in specific sectors such as technology and financials, which heighten exposure to sector-specific risks. Additionally, the anticipated return of capital from distributions may influence tax implications for investors, necessitating strategic planning around these factors.
In summary, while the Liberty All-Star Equity Fund showcases a robust portfolio aimed at capitalizing on large-cap opportunities, investors should weigh the benefits of its diversified management approach against sector risks and market pricing dynamics. Long-term investors could consider this fund for potential gains, particularly given its established performance history and favorable value proposition at the current market discount.
**MWN-AI Summary and Analysis is based on asking OpenAI to summarize and analyze this news release.
Below is the December 2025 Monthly Update for the Liberty All-Star Equity Fund (NYSE: USA).
Liberty All-Star Equity Fund
Ticker: USA
Monthly Update, December 2025
Investment Approach:
Fund Style: Large-Cap Core
Fund Strategy: Combines three value-style and two growth-style investment managers. Those selected demonstrate a consistent investment philosophy, decision making process, continuity of key people and above-average long-term results compared to managers with similar styles.
Investment Managers:
Value Managers:
- Aristotle Capital Management, LLC
- Fiduciary Management, Inc.
- Pzena Investment Management, LLC
Growth Managers:
- Sustainable Growth Advisers, LP
- TCW Investment Management Company
Top 20 Holdings at Month-End:
(38.1% of equity portfolio) | ||
1 | NVIDIA Corp. | 5.0% |
2 | Microsoft Corp. | 4.5% |
3 | Alphabet, Inc. | 4.1% |
4 | Amazon.com, Inc. | 2.6% |
5 | Capital One Financial Corp. | 2.3% |
6 | Meta Platforms, Inc. | 1.7% |
7 | Visa, Inc. | 1.7% |
8 | Charles Schwab Corp. | 1.5% |
9 | Wells Fargo & Co. | 1.5% |
10 | Broadcom Inc. | 1.5% |
11 | Fresenius Medical Care AG | 1.3% |
12 | S&P Global, Inc. | 1.3% |
13 | ServiceNow, Inc. | 1.2% |
14 | Synopsys, Inc. | 1.2% |
15 | CVS Health Corp. | 1.2% |
16 | Parker-Hannifin Corp. | 1.2% |
17 | Sony Group Corp. | 1.1% |
18 | UnitedHealth Group, Inc. | 1.1% |
19 | Booking Holdings, Inc. | 1.1% |
20 | Baxter International, Inc. | 1.0% |
Holdings are subject to change.
Monthly Performance:
Performance | NAV | Market Price | Discount |
Beginning of month value | $6.79 | $6.13 | -9.7% |
End of month value | $6.84 | $6.28 | -8.2% |
Performance for month | 0.74% | 2.45% | |
Performance year-to-date | 8.80% | -0.11% | |
Net Assets at Month-End ():
Total | $2,061.7 | |
Equities | $2,022.5 | |
Percent Invested | 98.1% |
Sector Breakdown* (% of equity portfolio):
Information Technology | 24.9% |
Financials | 19.7% |
Health Care | 13.7% |
Consumer Discretionary | 10.8% |
Industrials | 10.4% |
Communication Services | 6.9% |
Materials | 4.9% |
Consumer Staples | 4.9% |
Energy | 2.0% |
Utilities | 1.3% |
Real Estate | 0.5% |
Total Market Value | 100.0% |
*Based on Standard & Poor's and MSCI Global Industry Classification Standard (GICS).
New Holdings:
IDEXX Laboratories, Inc.
McCormick & Co., Inc.
Holdings Liquidated:
Constellation Brands, Inc.
The net asset value (NAV) of a closed-end fund is the market value of the underlying investments (i.e., stocks and bonds) in the Fund’s portfolio, minus liabilities, divided by the total number of Fund shares outstanding. However, the Fund also has a market price; the value at which it trades on an exchange. If the market price is above the NAV the Fund is trading at a premium. If the market price is below the NAV the Fund is trading at a discount.
Performance returns for the Fund are total returns, which includes dividends, and are net of management fees and other Fund expenses. Returns are calculated assuming that a shareholder reinvested all distributions. Past performance cannot predict future investment results.
Performance will fluctuate with changes in market conditions. Current performance may be lower or higher than the performance data shown. Performance information shown does not reflect the deduction of taxes that shareholders would pay on Fund distributions or the sale of Fund shares. Shareholders must be willing to tolerate significant fluctuations in the value of their investment. An investment in the Fund involves risk, including loss of principal.
Sources of distributions to shareholders may include ordinary dividends, long-term capital gains and return of capital. The final determination of the source of all distributions in 2025 for tax reporting purposes will be made after year end. The actual amounts and sources of the amounts for tax reporting purposes will depend upon the Fund’s investment experience during its fiscal year and may be subject to changes based on tax regulations. Based on current estimates a portion of the distributions consist of a return of capital. These estimates may not match the final tax characterization (for the full year’s distributions) contained in shareholder 1099-DIV forms after the end of the year.
All data is as of December 31, 2025 unless otherwise noted.
View source version on businesswire.com: https://www.businesswire.com/news/home/20260116202294/en/
Liberty All-Star® Equity Fund
1-800-241-1850
www.all-starfunds.com
libinfo@alpsinc.com
FAQ**
How has the performance of the Liberty All-Star Equity Fund USA compared to its benchmark and peers year-to-date, particularly given its year-to-date returns of 8.80% for NAV?
What factors contributed to the significant investment in top holdings like NVIDIA and Microsoft within the Liberty All-Star Equity Fund USA, representing 9.5% of the equity portfolio?
Considering the current market discount of 8.2% for the Liberty All-Star Equity Fund USA, what strategies could the fund implement to narrow this gap?
How are changes in the sector breakdown of the Liberty All-Star Equity Fund USA expected to impact its overall performance and risk profile moving forward?
**MWN-AI FAQ is based on asking OpenAI questions about Liberty All-Star Equity Fund (NYSE: USA).
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