Cliffwater Cuts Withdrawal Limit as Investors Rush to Exit
Investment firm Cliffwater has cut its withdrawal limit to 5%. This came after investors asked to take out 17% of the fund's money.
The fund holds about $31 billion and is aimed at everyday investors. Earlier this year the limit was 7% after withdrawal requests of about 14%.
Many other firms in private credit have also limited withdrawals in 2026. These include BlackRock's HPS fund and Blue Owl.
Also affected are Ares and Apollo. The private credit market is worth $1.8 trillion overall.
Klear Note — Private credit funds let regular investors access loans to businesses. When many investors want their money back at once, funds limit withdrawals to stay stable.
Key Terms 3
- private credit Loans made by investment firms instead of banks
- redemption cap A limit on how much money investors can take out at once
- Cliffwater A US investment firm managing billions for everyday investors