Source: ALPS Advisors, Inc.

Liberty All-Star(R) Equity Fund July 2010 Monthly Update

Boston, MA--(Marketwire - August 19, 2010) -


Below is the July 2010 Monthly Update for the Liberty All-Star® Equity Fund. (NYSE: USA)

                         July 2010 Monthly Update

Performance                   NAV          Market Price         Discount
                             -----         ------------         --------
  Beginning of month value   $4.60             $3.98              13.5%
  Distributions                -                 -
  End of month value         $4.95             $4.28              13.5%
  Performance for month      7.61%             7.54%
  Performance year-to-date  -2.32%             2.33%

  For daily data visit the Fund's website at www.all-starfunds.com or call
  1-800-241-1850.  The Fund's daily NAV is also available by using the
  symbol XUSAX.  Past performance cannot predict future results.
--------------------------------------------------------------------------

Net Assets at Month-End ($millions)
-----------------------------------
  Total                            $ 904.0
  Equities                         $ 892.1
  Convertible Bonds                $   1.5

  Percent Invested                   98.9%
--------------------------------------------------------------------------

Top 20 Holdings at Month-End (27.5% of portfolio)
-------------------------------------------------
  (Rank from previous month)

 1 Apple, Inc. (1)              2.7%   11 Tyco Electronics Ltd.(11)   1.2%
 2 JPMorgan Chase & Co.(3)      2.4%   12 Hewlett-Packard Co.(23)     1.1%
 3 Dell, Inc.(4)                2.1%   13 C.H. Robinson
 4 Bank of America Corp.(2)     1.9%       Worldwide, Inc.(18)        1.1%
 5 QUALCOMM, Inc.(5)            1.6%   14 State Street Corp.(17)      1.1%
 6 Cisco Systems, Inc.(9)       1.3%   15 Wells Fargo & Co.(16)       1.1%
 7 Arch Coal, Inc.(12)          1.3%   16 The Boeing Co.(14)          1.0%
 8 The Western Union Co.(10)    1.2%   17 Google, Inc., Class A(19)   1.0%
 9 PNC Financial Services              18 Microsoft Corp.(20)         1.0%
    Group, Inc.(8)              1.2%   19 Morgan Stanley(24)          1.0%
10 The Allstate Corp.(6)        1.2%   20 Amazon.com, Inc.(15)        1.0%

      Holdings are subject to change
--------------------------------------------------------------------------

Sector Breakdown (% of portfolio) *    New Holdings
--------------------------------       ------------
   Information Technology      24.4%   VistaPrint Ltd.
   Financials                  19.9%
   Energy                      12.4%
   Health Care                 10.9%
   Consumer Discretionary      10.6%
   Industrials                 10.5%
   Consumer Staples             5.4%
   Materials                    2.8%
   Utilities                    2.5%
   Telecommunication Services   0.6%
                              ------
                              100.0%   Holdings Liquidated - None


* Based on Standard & Poor's and MSCI Barra Global Industry Classification
  Standard (GICS).
  The Liberty All-Star Equity Fund is a closed-end fund and does not
  continuously offer shares.

Contact Information: Contact Information: Liberty All-Star Equity Fund 1-800-241-1850 www.all-starfunds.com