Carlyle's $7 billion Tactical Private Credit Fund saw redemption requests of 16% of shares in Q1 2026.

This is the 3rd highest percentage in the industry, behind Blue Owl Technology Income at 41% and Blue Owl Credit Income at 22%.

The fund is paying out less than a third of what investors requested, capping withdrawals at 5%, meaning investors who asked to redeem ~$750 million received only ~$240 million.

Carlyle is not alone, as Apollo, Ares, Morgan Stanley, and BlackRock have all imposed similar caps in recent weeks.

In fact, EVERY single private credit BDC and interval fund in the industry saw a massive spike in redemption requests in Q1, with not a single fund was left untouched.

Concerns over AI disruption threatening software borrowers, weakening loan portfolios, and tightening lending standards are driving the rush for the exits.

The $1.8-$2.0 trillion private credit market is under more pressure than at any point in its history.