BlackRock shares fell more than 5% following a new restriction on its HPS Corporate Lending Fund (HLEND). The firm enforced a 5% quarterly redemption limit on the vehicle. The fund manages approximately $26 billion in assets.
Investors submitted withdrawal requests totaling 9.3% of the fund's net asset value. BlackRock honored approximately $620 million of those requests. The firm cited the need to align the fund's liquidity framework with its long-term investments.
The move underscores rising anxiety within the $1.8 trillion private credit market. BlackRock’s decision contrasts with rival Blackstone, which recently used its own capital to meet all withdrawal requests for a similar fund.