Blackstone caps withdrawals at $79bn BCRED fund as redemptions rise
Blackstone restricted withdrawals from its $79 billion BCRED private credit fund after redemption requests climbed from 7.9% to 10%, reigniting concerns over liquidity in private markets.
CNBC Top NewsBlackstone capped quarterly redemptions on its $79 billion BCRED private credit fund after investor withdrawal requests exceeded the pre-announced gate threshold. The firm noted the fund operates with a 5% quarterly and 20% annual structural cap, and redemption requests had reached 10% of net asset value, triggering the limit.
In a statement, Blackstone described the action as a 'contractual baseline' and said the fund's liquidity sleeve continues to meet investor demand. DBRS Morningstar analyst Stephanie Mah called the move 'a signal of broader stress in private credit markets' and added that pro-rata distribution mechanics may extend to peer funds.
The cap follows a similar restriction at Starwood's office-focused real estate fund last year. February's first review showed redemptions at 7.9%. Federal Reserve Chair Kevin Warsh's earlier comments on transparency in private markets have returned to the agenda. This is not investment advice.
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