Blackstone's ​flagship private ‌credit fund ​has ​capped withdrawals ⁠at ​5% ​of shares in ​the ​second quarter, according ‌to ⁠a regulatory ​filing ​on ⁠Thursday.

Investors in a $31.3 billion private credit fund managed by ​Cliffwater submitted requests to withdraw 17% ‌of shares in the second quarter, but redemptions have been capped at 5%, according to a ​letter to shareholders seen by Reuters.

Investors in Cliffwater’s $31.3 billion flagship private-credit fund tendered about 17% of the shares in the fund for repayment in the second quarter, up from 14% in the first quarter of

Cliffwater LLC’s flagship private credit fund capped redemptions at 5% in the second quarter after investors looked to pull about 17% of shares, in a sign of enduring pressure on the $1.8 trillion market.

Shares of U.S. alternative asset managers fell in premarket trading on Wednesday as investors braced for second-quarter updates on redemptions from non-traded private ​credit funds, after withdrawals spiked in the prior quarter as concerns ‌rose about liquidity in the fast-growing sector.

Investors in the Blackstone Private Credit Fund requested to withdraw 10% of outstanding shares in the second quarter, Blackstone says.

Private credit investors have increasingly asked to withdraw funds over concerns about what they are invested in. Many private credit funds have exposure to software companies, which are struggling now due to concerns about artificial intelligence.

Blackstone has capped withdrawals at its ​flagship private credit fund as redemption requests rose in the second quarter, the