Blackstone Stock (BX) Plunges as Private Credit Fund Sees Record Redemptions

FomoAnxiety · 2026-03-03T16:09:52+00:00

Blackstone's stock fell 7% due to record redemptions from its private credit fund BCRED, allowing 7% withdrawals of the $82 billion fund, exceeding the usual limit. This indicates growing investor concern in the private credit sector.

FomoAnxiety

2026-03-03 16:09:52

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Blackstone’s BX -7.20% ▼ stock is down 7% on news that the investment firm’s flagship private credit fund has experienced record redemptions.

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A regulatory filing shows that Blackstone has allowed investors to redeem 7% of the $82 billion private credit fund, commonly known as BCRED, so far in 2026. That amount exceeds the typical 5% withdrawal limit placed on such funds.

The record redemptions are the latest sign of trouble brewing in the private credit industry. Analysts say the news is likely to ripple across the private credit sector, which is already reeling from the troubles at Blue Owl Capital OWL -7.30% ▼ , a private equity firm that is seeing a big uptick in investor withdrawals.

Blackstone’s BCRED Fund

In all, Blackstone allowed investors to pull $3.7 billion out of its marquee private credit fund. The fund saw new commitments of $2 billion, leaving it with $1.7 billion worth of net withdrawals in the first months of this year.

JPMorgan Chase JPM -0.68% ▼ noted that the redemption requests for 7% of the net asset value marked a “notable uptick” from 4.5% in the fourth quarter of 2025 and just 1.8% in the third quarter of last year. Given that the BCRED fund is a flagship wealth product, JPMorgan said it views the latest development as a “significant expression of souring investor sentiment on direct lending.”

Is BX Stock a Buy?

Blackstone’s stock has a consensus Moderate Buy rating among 10 Wall Street analysts. That rating is based on five Buy and five Hold recommendations issued in the last three months. The average BX price target of $158.70 implies 48.03% upside from current levels.

Read more analyst ratings on BX stock

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