Shares of banks and other financial institutions rose, but not by as much as the broad market, as private-credit concerns continued to simmer.
A steady drumbeat of warnings have come from the investing category in recent weeks as firms such as Blue Owl, Blackstone and KKR continue to face redemption requests and questions over the value of the pools of corporate loans.
"The problem with private credit is when you have too many dollars chasing too few deals, something bad always happens," said Oliver Pursche, senior vice president at financial advisory Wealthspire. "Sometimes the bad is just poor returns, other times it's something much more drastic, like collapses. Other times, it's simply just a right-sizing."
Pursche said private credit will remain an important component of financial markets and economic activity after the current "right-sizing."
Write to Rob Curran at rob.curran@dowjones.com
(END) Dow Jones Newswires
03-25-26 1718ET
