1212 ET - It's a mistake for alternative asset managers to allow investors to redeem more than 5% of their investments in a given quarter, Oppenheimer analysts write in a note. Blackstone's $8.2 billion private credit fund allowed redemption requests for 7.9% of the fund, and Blue Owl paid out redemption requests for 15% of one of its funds in January. "While we understand why the Alt managers would want to soothe the aches and pains of their distribution system, if retail investors are to get the benefit of investing in illiquid alternative investments, then everyone needs to accept the reality that they are illiquid and act accordingly," the analysts write. "The limits on liquidity are a feature not a bug." Blue Owl is up 1.6%, Blackstone gains 3.1%. (elias.schisgall@wsj.com)

(END) Dow Jones Newswires

March 04, 2026 12:12 ET (17:12 GMT)

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