LIBERTY ALL-STAR® Growth Fund, Inc. Declares Distribution

Rhea-AI Summary

Liberty All-Star Growth Fund (NYSE: ASG) has announced a quarterly distribution of $0.12 per share, payable on March 10, 2025, to shareholders of record on January 24, 2025. This aligns with the Fund's policy of distributing approximately 8% of its net asset value annually in four quarterly installments of 2%.

The distribution will be paid in newly issued shares, except for shareholders not participating in the Dividend Reinvestment Plan who elect cash payments. Shares will be issued at the lower of February 21, 2025 NAV or market value, but not below 95% of market value.

The Fund, managed by ALPS Advisors, Inc., is a closed-end investment company with over $371 million in net assets as of January 10, 2025. Trading on the NYSE under symbol ASG, the Fund operates in the secondary market rather than continuously issuing shares.

Positive

• Maintains consistent 8% annual distribution policy
• Substantial asset base of $371 million
• Offers dividend reinvestment option for shareholders

Negative

• Distribution may include return of capital, not just income
• Share issuance for distributions could potentially dilute existing shareholders

Insights

Financial Analyst

Liberty All-Star Growth Fund's latest quarterly distribution announcement reveals several key aspects worth noting. The declared $0.12 per share distribution represents a 2% quarterly payout, aligning with their 8% annual distribution policy based on NAV. With current net assets of $371 million, this closed-end fund continues to maintain its commitment to shareholder returns.

The distribution structure is particularly interesting from an investment perspective. The fund's flexibility to source distributions from various channels - including capital gains and return of capital - provides tax-planning opportunities for investors. The dividend reinvestment plan's pricing mechanism, which uses the lower of NAV or market price (with a 95% market value floor), offers a built-in value protection mechanism for reinvesting shareholders.

For retail investors, it's important to understand that this closed-end fund trades on the secondary market, meaning its price can deviate from its NAV, creating potential arbitrage opportunities. The current market cap of $340.5 million versus $371 million in net assets indicates the fund is trading at a discount to NAV, which could represent a value opportunity for new investors.

BOSTON, Jan. 13, 2025 /PRNewswire/ -- The Board of Directors of Liberty All-Star Growth Fund, Inc. (NYSE: ASG) has declared a distribution of $0.12 per share payable on March 10, 2025 to shareholders of record on January 24, 2025. This distribution is in accordance with the Fund's current distribution policy of paying distributions on its shares totaling approximately 8 percent of its net asset value per year, payable in four quarterly installments of 2 percent. A portion of the distribution may be treated as paid from sources other than net income, including but not limited to short-term capital gain, long-term capital gain and return of capital. The final determination of the source of all distributions in 2025 for tax reporting purposes, including the percentage of qualified dividend income, will be made after year-end.

The distribution will be paid in newly issued shares to all shareholders except those who are not participating in Liberty All-Star Growth Fund's Dividend Reinvestment Plan and who elect to receive the distribution in cash. Shares will be issued at the lower of the February 21, 2025 net asset value per share or market value per share (but not less than 95% of market value). The market value of the Fund's shares for this purpose will be the last sales price on the New York Stock Exchange.

The Fund does not continuously issue shares and trades in the secondary market, investors wishing to buy or sell shares need to place orders through an intermediary or broker. The share price of a closed-end fund is based on the market's value. The Fund's shares are listed on the New York Stock Exchange under the ticker symbol ASG. ALPS Advisors, Inc. is the investment advisor of the Fund, a multi-managed, closed-end investment company with more than $371 million in net assets as of January 10, 2025.

Past performance cannot predict future results.
An investment in the Fund involves risk, including loss of principal.
Secondary market support provided to the Fund by ALPS Fund Services, Inc.'s affiliate ALPS Portfolio Solutions Distributor, Inc., a FINRA Member. ALPS Fund Services, Inc., ALPS Advisors, Inc. and ALPS Portfolio Solutions Distributor, Inc. are affiliated entities.

For Information Contact:
Liberty All-Star^® Growth Fund, Inc.
1-800-241-1850
www.all-starfunds.com

LAS001284

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SOURCE Liberty All-Star Growth Fund, Inc.

FAQ

What is the latest dividend amount announced by Liberty All-Star Growth Fund (ASG)?

Liberty All-Star Growth Fund (ASG) announced a quarterly distribution of $0.12 per share, payable on March 10, 2025.

When is the record date for ASG's Q1 2025 distribution?

The record date for ASG's distribution is January 24, 2025.

What is ASG's current distribution policy?

ASG maintains a distribution policy of approximately 8% of net asset value per year, paid in four quarterly installments of 2% each.

How will ASG's March 2025 distribution be paid to shareholders?

The distribution will be paid in newly issued shares, except for shareholders not participating in the Dividend Reinvestment Plan who elect to receive cash.

What was ASG's net asset value as of January 2025?

ASG reported net assets of more than $371 million as of January 10, 2025.