Cliffwater and Blackstone Cap Redemptions in Private Credit Funds
Cliffwater's flagship private credit fund has again limited redemptions to 5% for the third quarter, following investor requests to redeem approximately 16% of shares. Similarly, the $77 billion Blackstone Private Credit Fund also announced a redemption cap at 5%, after investors sought to withdraw around 10%. The move reflects increased pressure on liquidity as demand for redemptions rises amid market uncertainty. Both funds are among the largest business development companies (BDCs) in private credit, and their decision underscores broader challenges within the sector. Investors have been increasingly seeking access to cash during a period of economic volatility, prompting fund managers to impose restrictions to maintain stability.
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Topics: Blackstone Cliffwater private credit redemption caps