Apollo Global Management Caps Private Credit Fund Redemptions at 5%

Apollo Global Management capped share redemptions at 5% for its $26 billion Apollo Debt Solutions private credit fund on June 22, 2026. The move followed a surge in withdrawal requests reaching 16.8% of the fund, totaling $2.4 billion in the second quarter. This represents a significant increase from the 11.2% requested in the previous quarter.

Gross outflows reached $700 million, outpacing $300 million in inflows. The company expects net outflows for the second quarter and year-to-date to be approximately $400 million, or 3% of the fund's net asset value. A regional disparity emerged as offshore investor redemptions rose to 12.5%, while onshore United States requests moderated to 4.3%.

The liquidity pressure stems from investor anxiety over asset quality and the potential for artificial intelligence to disrupt software companies within private credit portfolios. This trend extends across the sector, with Blackstone, BlackRock, Cliffwater LLC, and Morgan Stanley also implementing 5% redemption caps. Blue Owl Capital reported exit requests as high as 40% for some non-traded business development companies, and Partners Group Holding warned of possible curbs on redemptions.

Despite the volatility, Apollo noted strong demand from institutional investors. The firm expects institutional fundraising for its direct lending strategies to exceed the wealth channel this year.