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Stock impact report

Private credit's retail experiment hits its first real storm [Wealth Professional (Canada)]

Ares Management Corporation Class A (ARES) 
Last ares management corporation class a earnings: 2/13 06:00 am Check Earnings Report
US:NYSE Investor Relations: ares-ir.com
Private credit promised higher yields with quarterly liquidity Now gates, writedowns and slowing inflows are testing that bargain just as more wealthy investors pile into the asset class. Wealthy and retail clients who channelled hundreds of billions into private credit are pulling back, cutting off a key funding source for giants such as Blackstone, Blue Owl, and Ares Management, according to the Financial Times New commitments to non-traded business development companies (BDCs) fell 40 percent to US$3.2bn in January versus December, based on data from RA Stanger cited by the FT These non-traded BDCs typically allow investors to redeem up to 5 percent of net assets each quarter. Funds had largely met withdrawal requests in the fourth quarter with fresh commitments from other wealth clients, limiting the need to sell assets. Now, executives told the FT they fear outflows could start to overwhelm inflows at some of the largest vehicles. One private credit head said this Show less Read more
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