Fund Evaluator:
Meridian Growth Legacy (MERDX)
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Best Performing in Small Growth Over the Last Year
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Fund Details
Meridian Growth Legacy Overview
Meridian Growth Legacy (MERDX) is an actively managed U.S. Equity Small Growth fund. Meridian launched the fund in 1984.
The investment seeks long-term growth of capital. Under normal circumstances, the fund emphasizes small- and mid-capitalization growth companies that the Investment Adviser believes may have prospects for above-average growth in revenues and earnings because of many factors, including high sales growth, high unit growth, industry growth, high or improving returns on assets and equity and a strong balance sheet. It may invest up to 25% of its total assets, calculated at the time of purchase, in securities of foreign companies, including emerging market companies.
About Meridian Growth Legacy (MERDX)
There are 2 members of the management team with an average tenure of 12.82 years: Chad Meade (2013), Brian Schaub (2013). 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 Growth TR USD index with a weighting of 100%. Meridian Growth Legacy has 86 securities in its portfolio. The top 10 holdings constitute 23.4% of the fund’s assets. The fund meets the SEC requirement of being classified as a diversified fund. The fund is not considered to have an ESG focus with its investment selection and management.
Meridian Growth Legacy is part of the Equity global asset class and is within the U.S. Equity fund group. Meridian Growth Legacy has 2.0% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 91.9%. There is 2.0% allocated to foreign stock, and 6.2% 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). Meridian Growth Legacy has -0.1% of the portfolio in cash.
Assets Under Management
The fund has $539 million in total assets, which is above the $454 million average for the Small Growth 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.
MERDX 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 Meridian Growth Legacy expense ratio is high compared to funds in the Small Growth category. Meridian Growth Legacy has an expense ratio of 0.91%, which is 23% 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. Meridian Growth Legacy has a portfolio turnover rate of 40%, indicating that holds its assets around 0.0 years. By way of comparison, the average portfolio turnover is 76% for the Small Growth category.
Recently, in the month of June 2026, Meridian Growth Legacy returned 4.2%, which earned it a grade of F, as the Small Growth category had an average return of 6.5%. 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.
Meridian Growth Legacy has a trailing yield of 0.00%, which is below the 0.07% category average. The fund normally distributes its income annually and its capital gains 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.
Meridian Growth Legacy Grades
Year to date, the fund has returned 9.7%, 12.4 percentage points worse than the category, which translates into a grade of F. The fund has returned 7.3% over the past year (grade of F), 3.0% over the past three years (grade of F) and -2.4% per year over the past five years (grade of F) and 7.6% per year over the past 10 years (grade of F).
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MERDX Trailing NAV Total Returns Data as of 6/30/26
| Last Month |
Last Quarter |
Ann'l. 1Yr |
Ann'l. 3Yr |
Ann'l. 5Yr |
Ann'l. 10Yr |
|
| MERDX Return (NAV) | 4.2% | 19.1% | 7.3% | 3.0% | -2.4% | 7.6% |
| MERDX Grade | F | F | F | F | F | F |
| +/- Category | -2.2% | -5.6% | -26.4% | -13.3% | -7.0% | -4.9% |
| Small Growth Avg | 6.5% | 24.7% | 33.7% | 16.4% | 4.6% | 12.5% |
| MERDX Tax Cost Ratio | na | na | 1.9% | 0.7% | 1.9% | 1.8% |
MERDX Annual NAV Total ReturnsData as of 6/30/26
| 2026 | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | |
| MERDX Return (NAV) | 9.7% | -6.3% | 6.3% | 15.3% | -29.3% | 15.1% | 24.9% | 27.6% | -6.9% | 25.6% | 16.3% |
| MERDX Grade | F | F | F | C | D | B | F | C | D | B | A |
| +/- Category | -12.4% | -14.3% | -9.2% | -1.4% | -1.3% | 4.6% | -16.9% | -2.3% | -2.8% | 1.5% | 6.1% |
| Small Growth Avg | 22.1% | 8.0% | 15.5% | 16.7% | -27.9% | 10.5% | 41.8% | 29.9% | -4.1% | 24.1% | 10.2% |
| Risk Measures | |
| Standard Deviation: | 17.7% |
| Total Risk Index: | 1.45 - High |
| Category Risk Index: | 0.88 - Below Average |
| Category Risk Grade: | B (21% Rank) |
| Beta: | 1.14 |
| R-Squared: | 71% |
| Leveraged Fund: | No |
| Inverse Fund: | No |
| Portfolio Characteristics | |
| Equity Investment Style: | Small-Cap Growth |
| Bond Investment Style: | na |
| Yield: | 0.0% |
| Dividend Distribution: | Annually |
| Cap Gains Distribution: | Annually |
| Total Assets: | $686 Mil |
| Fund Total Assets: | $ 540 Mil |
| Share Class Type: | Other |
| Portfolio Turnover: | 40% |
Management Team
| Number of Managers: 2 | |||
| Longest Tenure: 12.8 years | |||
| Average Tenure: 12.8 years | |||
| Managers (Year): Meade Chad (2013), Schaub Brian (2013) | |||
Portfolio Composition (as of 3/31/26)
| # of Holdings: | 86 |
| % in Top 10 Holdings: | 23.4% |
| Fund is Non-Diversified: | No |
| % in Foreign Issues: | 2.0% |
Portfolio Allocation |
|
| Domestic Stock: | 91.9% |
| Foreign Stock: | 2.0% |
| Preferred Stock: | 6.2% |
| Domestic Bond: | 0.0% |
| Foreign Bond: | 0.0% |
| Convertible Bond: | 0.0% |
| Other: | 0.0% |
| Cash: | -0.1% |
Purchase Information
| Fund Family: | Meridian |
| Phone Number: | 800-446-6662 |
| Website: | www.meridianfund.com |
| Status: | Closed |
| Inception Date: | August 1, 1984 |
| Min. Initial Purchase: | $1,000 |
| Min. Initial IRA Purchase: | $ 0 |
| True No-Load: | Yes |
| Front Load Maximum: | 0.00% |
| Deferred Charge Maximum: | 0.00% |
| Redemption Charge Maximum: | 2.00% |
| 12b-1 Fee: | na |
Expenses and Fees | |
| Expense Ratio (%): | 0.91% ( Rating : High ) |
| Category Average Expense Ratio (%): | 1.18% |
| Share Class: | Meridian Growth Legacy |
| Min. Subsequent Purchase: | $ 50 |
| Min. Subsequent IRA Purchase: | $ 0 |
