Shares of alternative asset management companies and banks fell sharply on Friday, including BlackRock and Blue Owl, as a series of negative private credit events sparked renewed concerns about the health of the sector. Broader stock markets also declined, influenced by weaker-than-expected employment data and escalating Middle East conflicts.

Individual stock movements: BlackRock dropped over 5%; Ares Management fell 6.3%, KKR & Co Inc declined 6.3%, Blue Owl decreased 6%, Blackstone dropped 5.6%, and Apollo Global Management fell 5.5%.

Jefferies Financial Group dropped more than 10%; Western Alliance declined 13%.

The KBW Bank Index fell over 4%, with all 23 banking stocks declining by at least 2.9%.