Meridian Funds, managed by ArrowMark Partners, saw equities reach record highs in the third quarter, driven by tech gains and falling bond yields. Large tech stocks benefited from eased tariff rhetoric and increased AI investments. The U.S. Federal Reserve cut rates by 25 basis points in mid-September. The fund reported a -1.78% return compared to the Russell 2500 Growth Index’s 10.73% return in Q3 2025.

In its Q3 2025 investor letter, Meridian Growth Fund highlighted Alight, Inc. (NYSE: ALIT), a leading tech-enabled services company. ALIT had a one-month return of -17.45% and a 71.66% loss over 52 weeks. As of November 28, 2025, ALIT closed at $2.31 per share with a $1.269 billion market cap.

Meridian Growth Fund noted Alight, Inc. (NYSE: ALIT) as a leading cloud-based human capital tech provider with cost-saving software. ALIT underperformed due to sales and revenue challenges in Q3. The company’s transformation to the cloud and AI integration faced execution hurdles, leading to decreased customer retention and soft sales. Despite a compelling valuation, the fund reduced its position.

Alight, Inc. (NYSE: ALIT) is not among the 30 Most Popular Stocks Among Hedge Funds. In Q3 2025, 39 hedge funds held ALIT, down from 30 in the previous quarter. ALIT reported $533 million in revenue in Q3 2025, lower than the $555 million in the previous year. While ALIT shows investment potential, other AI stocks may offer greater upside with less risk amid tariff and onshoring trends.

Read more at Yahoo Finance: Meridian Growth Fund Reduced its Position in Alight (ALIT) in Q3