Liberty All-Star Equity Fund

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. » Mehr auf seekingalpha.com

For income investors, closed-end funds remain an attractive investment class that covers various asset classes and promises high distributions and reasonable total returns. Closed-end funds, or CEFs, are generally characterized by higher volatility and deeper draw-downs than the broader market. For these reasons, they are not suited for everyone. In this monthly series, we highlight five CEFs with solid track records that pay high distributions and offer "excess" discounts. We try to separate the wheat from the chaff using our filtering process to select just five CEFs every month from around 500 closed-end funds. » Mehr auf seekingalpha.com

A lot of income-focused investors would miss out on the power of diversified stocks if it weren't for closed-end funds like the Liberty All-Star Equity Fund, currently yielding 10.0%. However, a look under-the-hood reveals this popular fund is only an incremental improvement for many investors, and it omits many of the important qualities that make other funds so attractive. In this report, we review USA (including the strategy, distribution, expenses, leverage, holdings and price versus net asset value), and then conclude with our strong opinion on investing. » Mehr auf seekingalpha.com