Blackstone and BlackRock cut private credit fund values as software borrowers struggle

Published on 7 May 2026

AI fears are now blamed for loan markdowns

Blackstone and BlackRock both reported lower values for their private credit funds in the first quarter, driven by markdowns on loans extended to struggling companies. The biggest pressure came from the software sector, where investors increasingly worry that AI is reshaping—or damaging—traditional business models. The update signals tightening credit conditions for riskier private lending.

Blackstone and BlackRock cut private credit fund values in Q1
Loan markdowns hit struggling companies, especially software firms
AI concerns are cited as a factor behind deteriorating models
Private credit valuations face growing pressure from credit stress

#private credit #ai #software sector #blackrock #blackstone

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Blackstone and BlackRock cut private credit fund values as software borrowers struggle

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