Blackstone Gains SEC Approval for New Private Credit Solution

Blackstone Credit and Insurance said it gained approval from the Securities and Exchange Commission for its private credit solution that will invest across private corporate credit, asset-based and real estate credit, structured credit and liquid credit.

The credit investor plans to make the Blackstone Private Multi-Asset Credit and Income Fund (BMACX) available for purchase in the second quarter, according to a Monday (March 10) press release.

“BMACX brings the full power of Blackstone’s credit platform to investors in a single fund,” Gilles Dellaert, global head of Blackstone Credit and Insurance, said in the release. “This multi-asset approach creates a core portfolio building block to tap into the expanding private credit markets, which we believe can offer enhanced yield with less volatility than traditional fixed income.”

The new product expands the company’s private credit investment solutions for individual investors, Joan Solotar, global head of private wealth solutions at Blackstone, said in the release.

It also features daily subscriptions through an interval fund structure, with low investment minimums, making it easier for investors to access a variety of credit opportunities, Heather von Zuben, CEO of BMACX at Blackstone, said in the release.

It was reported in February that J.P. Morgan Chase was earmarking another $50 billion for its direct lending efforts as it works to gain a greater foothold in the fast-growing private credit market.

J.P. Morgan Chase has in the last four years deployed over $10 billion across more than 100 private credit transactions while also working with lending partners to allocate an additional $15 billion in private credit.

“Pairing our vast origination platform with our lender client base has supercharged our ability to deliver in size for borrowers and increased deal flow for lenders,” Kevin Foley, global head of capital markets at J.P. Morgan Chase, said at the time.

It was reported in September that Apollo Global Management and State Street were launching a private-public credit exchange-traded fund in the latest attempt by large investment firms to sell alternative assets to retail investors to fund their next stage of growth.

“Private assets are one of the fastest growing sectors of the financial industry,” State Street CEO Ron O’Hanley said at the time.