Merion Road Capital Management’s Q1 2026 Investor Letter

Merion Road Capital Management, an investment advisor, released its Q1 2026 Investor Letter. Merion Road Capital Management reported that its Merion Road Small Cap Fund gained 3.1% in the first quarter of 2026, outperforming the Russell 2000, which rose 0.9%. Merion Road’s long-only large-cap portfolio declined 3.7% amid broader market weakness reflected in the S&P 500. The performance in the small-cap fund was supported by strong contributions from holdings, driven by accelerating aerospace demand and margin expansion. The firm continues to position itself around long-term tailwinds in aerospace, defense, and advanced technologies, citing rising global military spending, ongoing geopolitical tensions, and increasing demand for mission-critical systems as key drivers shaping its constructive outlook despite near-term volatility. In addition, you can check the Fund’s top five holdings to determine its best picks for 2026.

A copy of Merion Road Capital Management’s Q1 2026 investor letter can be downloaded here.