CNBC’s Hugh Leask reports that the problems in private credit are spilling over into private equity, and that the issues that have faced America are now arising abroad, as Partners Group, a Swiss private markets company, has restricted its SICAV Fund and may restrict more. Leask reports:
On Wednesday, Partners Group said it was halting withdrawals from its Global Value SICAV vehicle at 5%, after redemption requests hit 9.8%.
It warned that another one of its funds — a Delaware-domiciled U.S. private equity vehicle — is also set to face redemption requests of about 6% of net asset value in the second quarter. Three other evergreen funds, whose assets together total approximately $9.7 billion, are also likely to experience second-quarter redemptions of 3.5%-5%, Partners Group said.
In its press release on the matter, Partners Group explained:
The industry has experienced a period of heightened volatility across open-ended evergreen fund flows. This trend started in private credit vehicles and has recently spilled over to private equity. Two of the firm’s private equity evergreen funds offered through the private wealth channel have been impacted by these dynamics. Partners Group Global Value SICAV (or “GV SICAV”), a Luxembourg-domiciled private equity evergreen fund, has experienced elevated redemption activity for the Q2 2026 redemption period, with redemption requests reaching approximately 9.8% of NAV.[2] Additionally, following the closing of the latest tender window in May 2026, the firm estimates that repurchase requests for a Delaware-domiciled private equity evergreen vehicle will be slightly above the 5% threshold issued via its tender offer for this period, at approximately 6% of NAV. The exact value of repurchase requests as well as the exact amount that will be repurchased will be finalized by end of July in accordance with standard fund procedures. Three other mature evergreen funds, with a total fund size of USD 9.7bn2, mainly from institutional investors, are estimated to see Q2 redemptions between 3.5% and 5%.
Partners Group has consistently communicated to clients and market participants that its evergreen vehicles are typically equipped with liquidity limits of up to 5% of NAV per quarter[3], and that these limits would be enacted whenever redemption activity reached the designed threshold. As a result, GV SICAV will operate the 5% quarterly liquidity limitation. The firm is prepared to enact the respective liquidity limitation mechanism across other funds.
David Layton, Chief Executive Officer, Partners Group, comments: “Liquidity features are designed to protect long-term investors, and to ensure that returns continue to be driven by the quality of the underlying private assets rather than by short-term flow dynamics. We have a strong underlying portfolio of high-quality companies currently undergoing significant value creation initiatives with substantial upside potential. We believe the opportunity set for our transformational investing approach in the coming periods will offer compelling investment outcomes. Since inception, our most established programs have returned more than five times the initial investments for clients.”
Action Line: Read more about private credit in my series: Private Equity Is the Next Big Thing Coming for YOU. And click here to subscribe to my free monthly Survive & Thrive letter.
