Updates from Liberty All-Star Growth Fund for February 2025
Here we present the highlights from the monthly update for the Liberty All-Star Growth Fund, Inc. (NYSE: ASG). This analysis encompasses essential insights into the fund’s performance, investment approach, and changes in holdings throughout the month.
Investment Strategy Overview
The Liberty All-Star Growth Fund employs an all-cap growth investment strategy. This approach combines the expertise of three distinct investment managers, focusing on different market capitalizations: small-cap, mid-cap, and large-cap companies.
Investment Managers
The skillful management team includes the following firms:
- Weatherbie Capital, LLC - Specializing in small-cap growth.
- Congress Asset Management Company, LLP - Concentrating on mid-cap growth.
- Westfield Capital Management Company, L.P. - Focused on large-cap growth.
Performance Insights
As of the end of the February reporting period, the fund's portfolio includes strong positions in various top companies. Here are some critical details regarding the fund's top holdings:
Top 20 Holdings at Month-End
These holdings account for 39.5% of the equity portfolio, solidifying their importance:
- NVIDIA Corp. - 3.5%
- Amazon.com, Inc. - 3.1%
- Apple, Inc. - 3.0%
- Microsoft Corp. - 2.7%
- Alphabet, Inc. - 2.5%
- Meta Platforms, Inc. - 2.4%
- FirstService Corp. - 2.1%
- Ollie's Bargain Outlet Holdings, Inc. - 2.0%
- Casella Waste Systems, Inc. - 1.8%
- Upstart Holdings, Inc. - 1.8%
- Visa, Inc. - 1.7%
- Hamilton Lane, Inc. - 1.7%
- StepStone Group, Inc. - 1.7%
- SPS Commerce, Inc. - 1.6%
- Natera, Inc. - 1.5%
- Dexcom, Inc. - 1.5%
- Penumbra, Inc. - 1.3%
- TransDigm Group, Inc. - 1.2%
- Brown & Brown, Inc. - 1.2%
- Semtech Corp. - 1.2%
Monthly Performance Report
Examining the performance of the fund is crucial for shareholders. The NAV (Net Asset Value) and market prices indicated fluctuations over the month:
Beginning of month NAV: $6.19
End of month NAV: $5.70
Market price at month start: $5.70
Market price at month end: $5.24
This reflects a discount over the month's period, showcasing -7.9% NAV performance and -8.1% market price performance.
Net Assets and Sector Breakdown
The total net assets for the fund at month-end are reported at $348.3 million. The allocation among various sectors in the equity portfolio is as follows:
- Information Technology - 28.8%
- Industrials - 17.4%
- Health Care - 16.1%
- Financials - 13.9%
- Consumer Discretionary - 9.8%
- Communication Services - 6.3%
- Consumer Staples - 4.0%
- Real Estate - 2.1%
- Materials - 0.9%
- Energy - 0.7%
Holdings Adjustments
The fund has strategically adjusted its portfolio, introducing new holdings including:
- Axon Enterprise, Inc.
- Camtek, Ltd.
- Datadog, Inc.
- RadNet, Inc.
- Sterling Infrastructure, Inc.
- Stride, Inc.
Furthermore, liquidated holdings this month were:
- Block, Inc.
- CECO Environmental Corp.
- Regal Rexnord Corp.
- Savers Value Village, Inc.
- Valvoline, Inc.
- Watts Water Technologies, Inc.
Understanding the Fund's Value
The net asset value (NAV) conveys the market value of the assets within the fund's portfolio, minus its liabilities. Investors should track this value closely as it reflects the fund’s trading status—either at a premium or discount relative to the market price.
The performance metrics provided indicate the total returns, inclusive of dividends and net of expenses, which are vital for evaluating a shareholder's return on investment.
Frequently Asked Questions
What is the investment strategy of Liberty All-Star Growth Fund?
The fund employs an all-cap growth investment strategy, utilizing diverse managers focused on small, mid, and large-cap investments.
How are the fund’s top holdings determined?
Top holdings reflect the largest positions within the equity portfolio based on their percentage of total investments.
What does NAV stand for in the context of the fund?
NAV stands for Net Asset Value and represents the total market value of the fund’s portfolio minus liabilities.
What significant changes occurred in the fund's holdings this month?
New holdings were added to enhance the fund's value while several underperforming stocks were liquidated for better strategic fit.
Where can investors find more information about the Liberty All-Star Growth Fund?
Investors can visit the Liberty All-Star Growth Fund's website for detailed insights and updates about the fund's performance.
Liberty All-Star® Growth Fund, Inc.
1-800-241-1850
www.all-starfunds.com
