Dr. Alan O'Sullivan

So again, it's not a good look when you get institutions telling investors you can't have your money, right?

So what we can see is that

The scale of the redemptions, something like 20 billion redemptions over a short enough period of time.

Big players like Cliffwater, Blue Owl.

What this chart shows is that the redemptions honored versus the unmet redemptions.

So the likes of Black Rock, I think Blackstone, I'm not sure.

Black Rock, definitely redemptions.

just give all the money back to investors.

Oak Tree, for example, was another one.

But then the likes of Apollo, Ares, Blackstone actually gave the money back as well.

But Blue Owl had redemptions of over $4 billion.

And I think approximately 25% of those have been met with the others then into some type of moratorium.

So the bottom line here is from looking at the pie chart above,

Whether this is systemic, the question of whether something like this is systemic is, what is the exposure of the systemically important banks, those big commercial banks, to this sector?

And it's low.

It looks like loans to private equity funds, private credit is around 3% each.

So most of the banks have learned their lesson post-financial crisis.

And

most of their asset books, their loans is commercial real estate.

Again, that could be a problem.