Fund Evaluator:
Kennedy Capital ESG SMID Cap I (KESGX)
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Best Performing in Small Blend Over the Last Year
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Fund Details
Kennedy Capital ESG SMID Cap I Overview
Kennedy Capital ESG SMID Cap I (KESGX) is an actively managed U.S. Equity Small Blend fund. Kennedy Capital Management launched the fund in 2019.
The investment seeks capital appreciation. Under normal circumstances, the fund invests at least 80% of its net assets (plus any borrowings for investment purposes) in securities of small and mid capitalization companies. The Advisor’s investment decisions for the fund are made primarily on the basis of bottom-up, fundamental research, integrated with an analysis of a company’s environmental, social and governance (“ESG”) characteristics. ESG factors are considered on both an inclusionary and exclusionary basis.
About Kennedy Capital ESG SMID Cap I (KESGX)
There are 1 members of the management team with an average tenure of 7.10 years: Christian McDonald (2019). Management tenure is more important for actively managed funds than passive index funds.
The fund has 2 primary benchmarks: Russell 3000 TR USD index with a weighting of 100% and Russell 2500 TR USD index with a weighting of 100%. Kennedy Capital ESG SMID Cap I has 100 securities in its portfolio. The top 10 holdings constitute 16.7% of the fund’s assets. The fund meets the SEC requirement of being classified as a diversified fund. The fund is considered to have an ESG focus with its investment selection and management.
Kennedy Capital ESG SMID Cap I is part of the Equity global asset class and is within the U.S. Equity fund group. Kennedy Capital ESG SMID Cap I has 2.7% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 93.5%. There is 2.7% allocated to foreign stock, and 0.0% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 0.0% (0.0% domestic bond, 0.0% foreign bond and 0.0% convertible bond). Kennedy Capital ESG SMID Cap I has 3.3% of the portfolio in cash.
Assets Under Management
The fund has $92 million in total assets, which is below the $685 million average for the Small Blend category. Normally, lower assets under management translates to higher average expense ratios, and greater total assets are desired. However, for some investment categories, such as small-cap investing, it may be difficult for the manager to fully employ the desired active strategy if assets grow too large or too quickly.
KESGX Performance and Fees
The expense ratio measures how much of a fund’s assets are used for administrative expenses and operating expenses, including adviser fees and fees for the transfer agent and custodial services. The Kennedy Capital ESG SMID Cap I expense ratio is high compared to funds in the Small Blend category. Kennedy Capital ESG SMID Cap I has an expense ratio of 0.82%, which is 22% lower than its category average, making the fund expense ratio grade a B. While it is difficult to predict returns, it is known that high annual expense ratios reduce your rate of return, and excessive fees are difficult to overcome. Active management normally comes with higher expense ratios than passive index management. Certain investment categories such as small company and foreign also normally have higher expense ratios. It is best to compare fund expense ratios against the category averages for meaningful assessments.
High portfolio turnover can translate to higher expenses and lower aftertax returns. Kennedy Capital ESG SMID Cap I has a portfolio turnover rate of 57%, indicating that holds its assets around 0.0 years. By way of comparison, the average portfolio turnover is 66% for the Small Blend category.
Recently, in the month of July 2026, Kennedy Capital ESG SMID Cap I returned -1.6%, which earned it a grade of A, as the Small Blend category had an average return of -2.8%. The letter grades of A, B, C, D and F are based upon relative rankings within the investment category. A grade of A, for example, would indicate that the return is in the highest 20% for that time period compared to all funds in that category.
Kennedy Capital ESG SMID Cap I has a trailing yield of 0.22%, which is below the 0.42% category average. The fund normally distributes its income annually.
It’s natural to seek the best-performing investments, but you must consider the relationship between risk and return and the impact of costs and taxes on your realized returns.
Kennedy Capital ESG SMID Cap I Grades
Year to date, the fund has returned 21.1%, 2.9 percentage points better than the category, which translates into a grade of B. The fund has returned 27.9% over the past year (grade of C), 14.8% over the past three years (grade of B) and 8.2% per year over the past five years (grade of B).
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KESGX Trailing NAV Total Returns Data as of 7/31/26
| Last Month |
Last Quarter |
Ann'l. 1Yr |
Ann'l. 3Yr |
Ann'l. 5Yr |
Ann'l. 10Yr |
|
| KESGX Return (NAV) | -1.6% | 9.1% | 27.9% | 14.8% | 8.2% | na |
| KESGX Grade | A | A | C | B | B | na |
| +/- Category | 1.3% | 3.9% | -0.4% | 1.4% | 0.6% | na |
| Small Blend Avg | -2.8% | 5.2% | 28.3% | 13.5% | 7.6% | 10.3% |
| KESGX Tax Cost Ratio | na | na | 1.2% | 0.5% | 0.7% | na |
KESGX Annual NAV Total ReturnsData as of 7/31/26
| 2026 | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | |
| KESGX Return (NAV) | 21.1% | 9.5% | 9.3% | 16.6% | -17.8% | 25.5% | 21.0% | na | na | na | na |
| KESGX Grade | B | B | D | C | D | B | A | na | na | na | na |
| +/- Category | 2.9% | 1.6% | -2.2% | 0.1% | -1.3% | 2.2% | 6.6% | na | na | na | na |
| Small Blend Avg | 18.2% | 7.9% | 11.6% | 16.5% | -16.5% | 23.2% | 14.4% | 25.5% | -11.8% | 14.1% | 20.2% |
| Risk Measures | |
| Standard Deviation: | 17.5% |
| Total Risk Index: | 1.43 - High |
| Category Risk Index: | 0.95 - Below Average |
| Category Risk Grade: | B (28% Rank) |
| Beta: | 1.03 |
| R-Squared: | 59% |
| Leveraged Fund: | No |
| Inverse Fund: | No |
| Portfolio Characteristics | |
| Equity Investment Style: | Small-Cap Blend |
| Bond Investment Style: | na |
| Yield: | 0.2% |
| Dividend Distribution: | Annually |
| Cap Gains Distribution: | |
| Total Assets: | $92 Mil |
| Fund Total Assets: | $ 92 Mil |
| Share Class Type: | Inst |
| Portfolio Turnover: | 57% |
Management Team
| Number of Managers: 1 | |||
| Longest Tenure: 7.1 years | |||
| Average Tenure: 7.1 years | |||
| Managers (Year): McDonald Christian (2019) | |||
Portfolio Composition (as of 3/31/26)
| # of Holdings: | 100 |
| % in Top 10 Holdings: | 16.7% |
| Fund is Non-Diversified: | No |
| % in Foreign Issues: | 2.7% |
Portfolio Allocation |
|
| Domestic Stock: | 93.5% |
| Foreign Stock: | 2.7% |
| Preferred Stock: | 0.0% |
| Domestic Bond: | 0.0% |
| Foreign Bond: | 0.0% |
| Convertible Bond: | 0.0% |
| Other: | 0.4% |
| Cash: | 3.3% |
Purchase Information
| Fund Family: | Kennedy Capital Management |
| Phone Number: | 877-882-8825 |
| Website: |
| Status: | Open |
| Inception Date: | June 28, 2019 |
| Min. Initial Purchase: | $5,000 |
| Min. Initial IRA Purchase: | $5,000 |
| True No-Load: | Yes |
| Front Load Maximum: | 0.00% |
| Deferred Charge Maximum: | 0.00% |
| Redemption Charge Maximum: | 0.00% |
| 12b-1 Fee: | na |
Expenses and Fees | |
| Expense Ratio (%): | 0.82% ( Rating : High ) |
| Category Average Expense Ratio (%): | 1.05% |
| Share Class: | Kennedy Capital ESG SMID Cap I |
| Min. Subsequent Purchase: | $ 100 |
| Min. Subsequent IRA Purchase: | $ 100 |
