🇮🇷 Iran tensions just cracked Wall Street’s favorite piggy bank — BlackRock included

It turns out the world's largest asset manager can't actually give everyone their money back at once.

👉 BlackRock slapped a 5% withdrawal limit on its massive $26 billion private credit fund after investors tried to pull out a jaw-dropping $1.2 billion. The result? They only got about half of that—leaving the rest stuck inside, presumably refreshing their inboxes and stressing out.

But BlackRock wasn't the only one sweating. Over at Blackstone, things got so dicey they had to raise their own withdrawal cap and inject $400 million of their personal piggy bank money just to stay afloat after a record 7.9% of investors demanded to bounce. Meanwhile, Blue Owl ran out of ideas (and cash) entirely, handing out IOUs instead of actual dollars.

👀 The entire sector went into cardiac arrest on the same day, with heavyweights like Carlyle, KKR, Apollo, and Ares all tumbling 5-6%.

So, what spooked the horses? The Middle East escalation obviously. The tensions are pushing oil prices higher, which keeps interest rates painfully elevated. That makes it a whole lot harder for the companies carrying these loans to actually pay them back. On top of that, the conflict has spooked investors, triggering a simultaneous rush for the exit.

👍 US-Israel-Iran war | @geopolitics_prime