Blackstone’s Gray Says Alignment Helps Calm Private Credit Angst

A recent wave of investor redemption requests across the $1.8 trillion market for private credit prompted Blackstone Inc. to enlist senior executives in putting up capital to bolster its flagship fund, according to President Jon Gray.

The unusual tactic underlined to nervous investors that the firm’s employees believed in the Blackstone Private Credit Fund and were willing to risk their personal finances, Gray said. Like rivals Ares Management Corp. and Blue Owl Capital Inc., Blackstone had seen an increase in investor requests to pull their money. More than 25 staff at the firm pitched in some $150 million to Blackstone’s fund, people familiar with the matter said in March.