BlackRock just told investors they can’t have their money back.


They got hit with $1.2B withdrawal requests this quarter, BlackRock only paid half and locked the rest.
Blackstone had the same problem, injected $400m of its own money just to cover redemptions. Blue Owl stopped paying altogether and sent IOUs instead.
BLK fell 4% at open.
The reason this keeps happening is that these funds hold illiquid loans, the cash isn’t there. BlackRock also just wrote a $25m loan to zero, it was valued at par 3 months ago.
Bill Eigen at JPMorgan said “bad news often happens all at once” in private credit. This is a $1.8 trillion industry and right now the 3 biggest names are struggling to give investors their money back.
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