Cliffwater Caps Q2 Redemptions at 5% as Investors Seek to Pull 17% of Shares

1 articles · Updated · Bloomberg · Jun 2

$31 billion Cliffwater Corporate Lending Fund told shareholders they will receive only about one-third of requested withdrawals after it capped second-quarter redemptions at 5%.
Investors had sought to redeem roughly 17% of the fund's shares, forcing the gate and underscoring continued strain in private credit despite the fund's flagship status.
The pressure has intensified from the prior quarter, when withdrawal requests reached about 14% and the fund limited redemptions to 7%, returning around half of requested cash.
The move points to enduring liquidity stress across the $1.8 trillion private credit market, where funds face a mismatch between investor exit demands and harder-to-sell loans.

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