Apollo redemptions requests reach 16.8% as private credit investors await disaster. This follows an 11% redemption request from the first quarter.
The deposit withdrawals are limited to $26 billion from Apollo. Apollo did this by enforcing its 5% redemption policy. Investors seeking greater redemptions may seek liquidation through a secondary market, though, if successful, such liquidations come at a significant cost.
Advisors offering Apollo may have questions to answer. Prior to recommending such investments, advisors must understand the investment and recommend the investment only to investors with consistent risk tolerance and liquidity needs. Some advisors led their investors to believe that private credit was a conservative investment with only limited illiquidity.
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