ALL-STAR Growth July Update.

BOSTON--(BUSINESS WIRE)--Aug. 15, 1996-- Liberty ALL-STAR Growth Fund, Inc. (NYSE: ASG) Monthly Update: July 1996.

Performance                  NAV     Market Price   Premium/(Discount)
  Beginning of month value  $11.31     $9.625           -14.9%
  Distributions              -----      -----
  End of month value        $10.67     $8.875           -16.8%
  Performance for month       -5.7%      -7.8%
  Performance year-to-date     1.1%      -5.3%
  Performance Second Quarter
   1996                        2.0%       2.7%

(Please Note: Daily NAV and year-to-date NAV performance are
available by calling 1-800-542-3863.  Internet address:
http://www.lamco.com)

Net Assets at Month-End ($millions)
  Total                               $121.0
  Equities                            $114.7
  Percent Invested in Equities          94.8%

Top 20 Holdings at Month-End (26.7% of total portfolio)
 (Rank from previous month)

1 Microsoft (1)                 2.1%   11 Intel (22)               1.2%
2 Federal Home Loan Mort. (3)   1.8%   12 McDonnell Douglas (10)   1.2%
3 Federal National Mort. (2)    1.7%   13 EXEL Limited (15)        1.2%
4 First Data (4)                1.6%   14 ACE (14)                 1.2%
5 Pfizer (5)                    1.5%   15 Morgan Stanley (21)      1.2%
6 Citicorp (6)                  1.4%   16 AFLAC (34)               1.1%
7 Computer Associates Int'l(12) 1.4%   17 Arrow Electronic (29)    1.1%
8 Oracle (7)                    1.3%   18 Travelers (17)           1.1%
9 Varity (11)                   1.2%   19 Transamerica (9)         1.1%
10 Monsanto (8)                 1.2%   20 Lockheed Martin (24)     1.1%

Major Purchases & Sales for Month

New Holdings              Holdings Liquidated
  Credit Acceptance        Alco Standard
  MFS Communications       Automatic Data Processing
  Microchip Technology     Hewlett-Packard
  Mirage Resorts           Palmer Wireless
  Tejas Gas Corporation    3Com Corporation
  Weatherford Enterra      Unilever
                           United Healthcare

Major Increases ($400k +)      Major Reductions ($400k +)
  None                          None

-0-

(1) New purchase by one manager, and already held in fund by another
manager.
(2) Issue liquidated by one manager, but still held in fund by another
manager

CONTACT: Liberty Financial

Jeffrey Cathie [phone]