🚨 SOMETHING BIG JUST HAPPENED:

BlackRock just blocked investors from withdrawing their own funds.
The world's largest asset manager is telling people: no, you cannot get your money back.
This has never happened before.
A private credit fund managed by BlackRock with $26 billion in assets faced withdrawal requests totaling $1.2 billion this quarter.
Investors wanted to withdraw 9.3% of their funds.
BlackRock said no. They limited it to 5%. Paid out $620 million and blocked the rest.
This means that nearly HALF of the people who wanted to exit couldn't do so.
And it's not just BlackRock.
A similar Blackstone fund saw RECORD 7.9% redemption requests.
They had to raise their withdrawal limit and inject $400 million of their own funds to cover the demand.
Blue Owl simply stopped executing redemptions. Replaced them with debt notes.
BLK dropped 5%. KKR, Carlyle, Apollo, Ares, Blue Owl, and TPG all fell 5-6% along with it.
The entire private credit sector sold off in one day.
These funds are issuing money into illiquid loans. Loans that can't be quickly sold.
So when too many investors want to exit at the same time, the fund doesn't have cash to pay everyone.
BlackRock also just wrote off a separate $25 million loan to ZERO.
It was valued at full value three months ago. Disappeared overnight.
Bill Egan from JPMorgan said it best: “Bad news often happens all at once. Opacity and leverage in the sector are concerning.”
This is a $1.8 TRILLION industry.
– Rising oil prices.
– War in the Middle East.
– Artificial intelligence is destroying software companies that heavily borrowed from these funds.
– Rate cuts are not up for discussion.
When the biggest funds in the world start telling investors they can't get their money back…
It’s a SIGNIFICANT warning.​​​​​​​​​​​​​​​​
By the way, I’ve been an investor for over 20 years, and when I take a new step in the market, I will announce it here publicly.
Many people will regret not following me earlier.