Cliffwater has recently capped payouts at its flagship private credit fund, responding to a significant increase in redemption requests. In the first quarter, withdrawal requests reached 14%, indicating rising investor anxiety regarding private capital exposure.
The fund, which has net assets totaling $31 billion and is primarily aimed at retail investors, has seen redemption requests climb to 17%. This trend reflects a broader unease within the private credit sector.
The decision to limit withdrawals signals a potential exodus from private credit investments, as more investors reconsider their positions amid changing market conditions.
Updates
Update at 20:02 UTC on 2026-06-02
Financial Times reported Fund with net assets of $31bn aimed at retail investors limits withdrawals in latest sign of exodus from sector.
Sources: Financial Times