Episode Details

This video is a clip from BND: Strategy Room Live Stream on March 7, 2026. The approximately $1.8 Trillion private credit market turmoil has entered a new phase. It started last year with the failures of Tricolor Holdings, First Brands, and several other small companies. Now Blue Owl Capital is in free fall, BlackRock is restricting investors from withdrawing from one fund while marking down the value of another fund to ZERO, Blackstone had to put in $400 million of their own money to honor redemptions over 5% in one of their private credit funds, and other major players such as Apollo and KKR are seeing their stocks drop 30%+. UK mortgage lender MFS collapsed almost overnight and the ripples of that failure are just beginning. Lawsuits are flying all over the place involving JPMorgan, Barclays, Western Alliance, Jefferies, and more. The Basel Committee on Banking and Supervision warned banks about their high dependence on significant risk transfers (SRTs). All the while, banks continue to lend and sell their loans to Nondepository Financial Institutions (NDFIs) unabated.