Liberty All-Star® Equity Fund January 2026 Monthly Update
MWN-AI** Summary
In the January 2026 Monthly Update for the Liberty All-Star® Equity Fund (NYSE: USA), the fund's focus remains on a large-cap core investment strategy, integrating the strengths of both value and growth managers. The fund employs five distinguished investment managers: three value managers—Aristotle Capital Management, Fiduciary Management, and Pzena Investment Management—and two growth managers—Sustainable Growth Advisers and TCW Investment Management. This diverse managerial approach is aimed at ensuring consistent, above-average long-term results.
As of January 31, 2026, the fund's top holdings reflect a substantial investment in prominent technology and financial firms, with NVIDIA Corp., Alphabet Inc., and Microsoft Corp. leading the pack. Together, the top 20 holdings account for approximately 37.1% of the equity portfolio, underscoring the fund's emphasis on established growth companies.
The fund's net asset value (NAV) began the month at $6.84, with a market price of $6.28, representing a discount of 8.2%. By month-end, the NAV had decreased to $6.65 and the market price to $6.06, extending the discount to 8.9%. The fund reported a slight performance increase of 0.11% for the month.
The sector breakdown indicates significant allocations in Information Technology (23.8%) and Financials (19.9%), suggesting a strategic prioritization of sectors poised for growth. New investments included Motorola Solutions, while SLB, Ltd. was liquidated from the portfolio.
Investors are reminded that while past performance is an indicator, it does not guarantee future results, and investments in the fund come with inherent risks, including potential loss of principal. Distributions to shareholders may include ordinary dividends, long-term capital gains, and return of capital.
MWN-AI** Analysis
The January 2026 Monthly Update for the Liberty All-Star® Equity Fund (NYSE: USA) shows a mixed performance amid ongoing market fluctuations. With a NAV of $6.65 and a market price of $6.06, the fund is currently trading at a discount of 8.9%. This trend warrants careful analysis for potential investors.
The fund's investment strategy, combining both value-oriented and growth-focused managers, appears robust, given the diverse holdings across major sectors, particularly Information Technology (23.8%) and Financials (19.9%). Top positions in companies like NVIDIA, Alphabet, and Microsoft reinforce the fund's alignment with growth sectors driving the economy. However, the fund also retains exposure to value stocks, lending it a balanced profile that could shield against volatility.
Performance year-to-date is stagnant with only a slight increase of 0.11%. This could be a cautionary signal for investors, suggesting a potential plateau in market momentum. Notably, the fund's top 20 holdings constitute 37.1% of its equity portfolio, which emphasizes concentration risk; should any of these key positions underperform, it may significantly affect overall returns.
Moreover, the recent shift of liquidating SLB, Ltd. and adding Motorola Solutions may reflect a tactical adjustment toward more stable growth prospects. However, investors should remain cautious of high concentrations in specific industries, particularly tech, which can experience rapid price shifts.
In light of the current discount and the mixed performance, potential investors might find value in entering at this lower price point, while existing shareholders should evaluate market conditions and consider whether to hold for potential recovery or adjust their positions. Overall, maintaining a vigilant approach in monitoring sector shifts and market conditions will be crucial in navigating the fund's performance moving forward.
**MWN-AI Summary and Analysis is based on asking OpenAI to summarize and analyze this news release.
Below is the January 2026 Monthly Update for the Liberty All-Star Equity Fund (NYSE: USA).
Liberty All-Star Equity Fund
Ticker: USA
Monthly Update, January 2026
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:
(37.1% of equity portfolio) | ||||||||
1 | NVIDIA Corp. | 5.0% | ||||||
2 | Alphabet, Inc. | 4.5% | ||||||
3 | Microsoft Corp. | 4.0% | ||||||
4 | Amazon.com, Inc. | 2.7% | ||||||
5 | Capital One Financial Corp. | 2.0% | ||||||
6 | Meta Platforms, Inc. | 1.8% | ||||||
7 | Broadcom Inc. | 1.6% | ||||||
8 | Charles Schwab Corp. | 1.6% | ||||||
9 | Visa, Inc. | 1.5% | ||||||
10 | Wells Fargo & Co. | 1.3% | ||||||
11 | Fresenius Medical Care AG | 1.3% | ||||||
12 | S&P Global, Inc. | 1.2% | ||||||
13 | Synopsys, Inc. | 1.2% | ||||||
14 | Ferguson Enterprises, Inc. | 1.1% | ||||||
15 | CVS Health Corp. | 1.1% | ||||||
16 | Baxter International, Inc. | 1.1% | ||||||
17 | Booking Holdings, Inc. | 1.1% | ||||||
18 | Mastercard, Inc. | 1.0% | ||||||
19 | Avery Dennison Corp. | 1.0% | ||||||
20 | Parker-Hannifin Corp. | 1.0% | ||||||
Holdings are subject to change. |
Monthly Performance:
Performance | NAV | Market Price | Discount |
Beginning of month value | $6.84 | $6.28 | -8.2% |
Distributions (Ex-Date January 22nd) | $0.18 | $0.18 | |
End of month value | $6.65 | $6.06 | -8.9% |
Performance for month | 0.11% | -0.64% | |
Performance year-to-date | 0.11% | -0.64% |
Net Assets at Month-End ():
Total | $2,005.8 | |||
Equities | $2,019.9 | |||
Percent Invested | 100.7% |
Sector Breakdown* (% of equity portfolio):
Information Technology | 23.8% |
Financials | 19.9% |
Health Care | 13.3% |
Consumer Discretionary | 10.8% |
Industrials | 10.4% |
Communication Services | 7.5% |
Consumer Staples | 5.4% |
Materials | 5.3% |
Energy | 1.8% |
Utilities | 1.2% |
Real Estate | 0.6% |
Total Market Value | 100.0% |
*Based on Standard & Poor's and MSCI Global Industry Classification Standard (GICS). |
New Holdings:
Motorola Solutions, Inc.
Holdings Liquidated:
SLB, Ltd.
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 2026 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 January 31, 2026 unless otherwise noted.
View source version on businesswire.com: https://www.businesswire.com/news/home/20260213495616/en/
Liberty All-Star® Equity Fund
1-800-241-1850
www.all-starfunds.com
libinfo@alpsinc.com
FAQ**
What factors have influenced the performance of the Liberty All-Star Equity Fund USA in January 2026, particularly in light of its net asset value and market price movements?
How do the investment strategies employed by the value and growth managers of the Liberty All-Star Equity Fund USA contribute to its overall risk-return profile?
Considering the sector breakdown of the Liberty All-Star Equity Fund USA, which sectors have shown the most significant growth potential, and how might this impact future performance?
What does the presence of new holdings like Motorola Solutions, Inc. and the liquidation of SLB, Ltd. indicate about the changing investment strategy of the Liberty All-Star Equity Fund USA?
**MWN-AI FAQ is based on asking OpenAI questions about Liberty All-Star Equity Fund (NYSE: USA).
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