Blackstone limits credit fund withdrawals to 5%

Blackstone confirmed on 3 September 2026 that its flagship private credit fund, BCRED, kept its quarterly share repurchase cap at 5%. The decision followed third-quarter redemption requests totaling $4.3 billion, which accounted for 10% of the fund's outstanding shares. Total assets held by the fund stood at $77.2 billion.

The fund took in $750 million in gross new capital inflows during the third quarter, representing 2% of net asset value. Net outflows reached 3% of net asset value. For comparison, second-quarter redemption requests reached $4.5 billion, leaving $2.3 billion in unfulfilled requests. The fund expects a 75% fulfillment rate for combined second- and third-quarter requests.

The firm previously navigated elevated requests in the first quarter of 2026, when redemption demands hit 7.9% and prompted a temporary 7% cap alongside a $400 million capital injection from Blackstone and its employees. Across the broader non-traded business development company industry, the redemption backlog was estimated at $15 billion.

Liquidity remained supported by $17 billion in cash and undrawn borrowing facilities as of the second quarter, when loan repayments reached $2.7 billion. Together with new inflows, repayments offered a projected 160% coverage ratio over third-quarter repurchases. The fund maintained a debt-to-equity leverage ratio of 0.8x, a portfolio interest coverage ratio of 2.3x, and borrower EBITDA growth of 10% over the prior twelve months, with payment-in-kind income generating 5.6% of total investment income.

Since inception, Class I shares have delivered an annualized total return of 9%, representing an annualized spread of 290 basis points over leveraged loans.