Morgan Stanley (MS) and Cliffwater LLC Cap Withdrawals from Multibillion-dollar Private Credit Funds, Reports Bloomberg

Morgan Stanley (NYSE:MS) is one of the Most Undervalued Stocks to Buy According to Analysts. On March 11, Bloomberg reported that Morgan Stanley (NYSE:MS) and Cliffwater LLC capped withdrawals from multibillion-dollar private credit funds. This move came after investors decided to redeem significantly more than the permitted limit. Morgan Stanley (NYSE:MS)’s North Haven Private Income Fund, with ~$8 billion in assets, had to return ~$169 million, or less than half of the investors’ tender requests. This was after the company capped redemptions at 5% of shares.

As per Bloomberg, in a letter to its clients, Morgan Stanley (NYSE:MS) hinted at challenges that the private credit industry has been grappling with. These include a contraction in asset yields and uncertainty related to the M&A environment. That being said, the company expects that some of the pressures might ease soon. As of January 31, North Haven had over $2.2 billion of liquidity and 8.9% annualized net return over 3 years.

Morgan Stanley (NYSE:MS) is a global financial services company that provides a range of investment banking, securities, wealth management, and investment management services to corporations, financial institutions, governments, and individuals.

READ NEXT: 10 Best FMCG Stocks to Invest In According to Analysts and 11 Best Long-Term Tech Stocks to Buy According to Analysts.

Disclosure: None. Follow Insider Monkey on Google News.