Private Credit Monitor

Blue Owl caps OCIC, OTIC redemptions at 5% after 21.9%, 40.7% requests; AI/tech sector stress cited

Congress grills Blackstone, Apollo, BlackRock, Blue Owl, Carlyle, KKR on private credit fund operations

European insurance regulators review private credit valuations amid asset class concerns

Fed Chair Powell warns private credit stress could spill into broader financial system in Harvard speech

Treasury to convene insurance regulators on private credit; Bessent signals contagion concerns

WSJ: Apollo, Ares, Blackstone, Blue Owl understate software exposure—actual 25% vs reported 19%

WSJ's Greg Ip: 'Is Another Financial Crisis Lurking in Private Credit?' — fast-growing, opaque, intertwined with banks but lacks 2007 scale

Oaktree meets 8.5% redemptions in full on $7.7B Strategic Credit Fund (~$400M); Brookfield injects $80M to backstop payout

JPMorgan launches private credit interval fund with 7.5% quarterly redemptions; seeks SEC exemption for 2% monthly buybacks

Distressed exchanges account for 94% of private credit downgrades to D/SD in 12 months ending Feb 2026; defaults up 78% YoY

FSOC votes to publish guidance on nonbank financial company designations; shifts to activities-based oversight targeting 'Bermuda Triangle' structures

Morgan Stanley warns direct-lending defaults could surge to 8% (vs 2–2.5% historical avg); software sector 26% of BDC exposure

Ares caps $10.7B Strategic Income Fund at 5% after 11.6% redemption requests — every major private credit manager now gated

Apollo, Ares shares fall 4%+; Blackstone, KKR, TPG, Blue Owl all trade lower as sector-wide selloff deepens

Moody's downgrades FS KKR Capital Corp to junk (Ba1 from Baa3) — non-accruals at 5.5%, Q4 net loss $114M, software 16.4% of book

Apollo caps $25B Debt Solutions fund at 5% after 11.2% redemption requests; pays 45%; software is 12.3% of book; shares -2.6%

Ex-Goldman CEO Blankfein at Citadel event: 'It smells a bit like the global financial crisis... the horses have started to buck'

Stoneridge Asset Mgmt returns only 11% of LENDX redemption requests citing 'overwhelming' demand

Apollo preparing to publish daily valuations of private credit holdings — implicit concession on opacity crisis

BCRED posts first monthly loss since Sep 2022 (-0.4% Feb); Reuters calls it 'clearest sign of weakening in $1.8T market'

Hedgeye's Steiner: Regional banks carry $100-150B exposure to private credit; loan growth 'increasingly in doubt'

NPR: 'It's called private credit — and it could lead to big trouble on Wall Street'

BofA's Hartnett: 'Current conditions resemble mid-2007 to mid-2008'

Fortune: 'The $265 billion private credit meltdown' — PE stocks erased $265B in market cap from peaks

El-Erian echoes Dimon cockroach warning: 'Are these cockroaches or termites posing systemic risks?'

JPMorgan marks down software company loans used as collateral by private credit funds; tightens lending

Morgan Stanley caps withdrawals on $8B North Haven Private Income Fund; pays 45.8% of 11% redemption requests

Cliffwater's $33B flagship fund hit with 14% redemption requests; plans to honor ~half

Bloomberg: 'BlackRock, Blackstone Confront Withdrawals as Private Credit Redemptions Surge'

BlackRock caps redemptions on $26B HPS Corporate Lending Fund at 5% after requests hit 9.3%; pays out ~half

Saba Capital & Cox Capital launch tender offer for OBDC II shares at 33% discount to NAV

BlackRock writes down $25M Infinite Commerce loan from par to zero in single quarter

Blackstone shares fall 8% to two-year low; 25+ senior execs invest $150M personal capital to meet redemptions

Blue Owl shareholders file lawsuit alleging undisclosed redemption pressure on BDC asset base

Blue Owl permanently halts OBDC II redemptions; replaces quarterly tenders with return-of-capital distributions

Blue Owl sells $1.4B in loans across 3 funds at 99.7% par to fund investor liquidity; shares -9%

IESE: 'A reality check for private credit markets' — Tricolor lenders at 20x true leverage vs. reported 5x

Blue Owl terminates OBDC II merger after investors balk at 20% haircut; stock extends losses

CNN: 'Why Jamie Dimon is warning of cockroaches in the US' — parallels drawn to 2007 Bear Stearns hedge funds

First Brands and Tricolor show why private-credit lenders should worry

First Brands Group files Chapter 11 with $10B+ in hidden liabilities; DOJ opens criminal probe

Apollo Global reported shorting First Brands debt as distress deepens

Tricolor Holdings files Chapter 7 liquidation amid fraud allegations; JPM, Barclays exposed ~$500M