Apollo Global Management Inc. is once again limiting withdrawal requests from its largest non-traded private credit fund for retail investors, as broader concerns about the asset class persist.

Apollo Debt Solutions, which has roughly $25 billion in assets, capped withdrawals at 5% of outstanding shares on Monday after investors asked to redeem 16.8%, according to a shareholder letter. Redemption requests in the quarter were higher than the 11.2% investors wanted to pull in the prior period.

The fund reported that it has generated an 8.1% total net return since it was launched.

Apollo is the latest alternative asset manager to cap investor withdrawals for the second quarter running as concerns over private credit’s exposure to software firms and the potential for AI disruption rumble on.

Cliffwater LLC faced requests to pull 17% of shares from its flagship fund, while BlackRock Inc. received about 13% earlier this month. Both funds enforced a 5% cap for such funds, known as business development companies.

Apollo President Jim Zelter said in May that redemptions from BDCs are likely to continue for the next two quarters following a turbulent first quarter for the sector, and that such requests could even increase.

Apollo reported Monday that the majority of requests came from offshore investors, rising to 12.5% of all shares, while requests from US customers slowed to 4.3%

Written by: Laura Benitez and Olivia Fishlow — With assistance from Nathaniel Popper @Bloomberg

The post “Apollo Caps Private Credit Fund Again After 17% Request to Exit” first appeared on Bloomberg