Private Credit Market Faces Sudden Investor Exodus Worth Billions
The $1.8 trillion private credit market is facing an unprecedented wave of investor redemption requests. Funds run by Apollo Global Management, BlackRock, and Ares Management have been hit hardest, with some blocking full withdrawals. Concerns about SaaS credit defaults, broader credit risks, and the Iran war are driving the exodus.
SaaSpocalypse. Credit defaults. The war in Iran. A lot of worries are hitting the $1.8 trillion private credit market at the same time, setting off a scramble by some investors to withdraw money from the industry’s giants. In recent weeks, funds managed by firms such as Apollo Global Management Inc., BlackRock Inc. and Ares Management Corp. have faced unprecedented requests for redemptions and, in many cases, have exercised their right to block investors from getting all their money out.