Private Credit Fund Managed by Ares Posts Steepest Ever Monthly Loss

Ares Management's private credit fund posted its steepest monthly loss on record in February, highlighting deteriorating performance in the $1.8 trillion private credit market. This raises downside risk for private-credit valuations and fundraising, and is likely to prompt risk-off positioning and tighter liquidity dynamics among allocators to the sector.

Analysis

Ares Management's private credit fund posted its steepest monthly loss on record in February, highlighting deteriorating performance in the $1.8 trillion private credit market. This raises downside risk for private-credit valuations and fundraising, and is likely to prompt risk-off positioning and tighter liquidity dynamics among allocators to the sector.