Morgan Stanley Faces Withdrawal Surge in Private Credit Fund
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Mar 12 2026
0mins
Should l Buy MS?
Source: seekingalpha
Morgan Stanley's stock fell 4.48% as it hit a 20-day low amid broader market declines, with the Nasdaq-100 down 0.79% and the S&P 500 down 0.84%.
The decline in Morgan Stanley's stock is primarily due to a surge in redemption requests from its North Haven Private Income Fund, which faced about 11% of outstanding shares being requested for withdrawal. This prompted the firm to limit redemptions to avoid forced asset sales, highlighting increasing stress in the private lending market. The fund's rules allow only 5% of shares to be redeemed each quarter, resulting in approximately 45.8% of requests being fulfilled, which has raised concerns among investors about the stability of private credit markets.
This situation reflects broader market uncertainties and investor sentiment, as retail investors have been pulling money from several private credit funds, indicating a cautious approach towards private lending amid market volatility.
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Analyst Views on MS
Wall Street analysts forecast MS stock price to fall
14 Analyst Rating
7 Buy
7 Hold
0 Sell
Moderate Buy
Current: 190.170
Low
132.00
Averages
185.00
High
219.00
Current: 190.170
Low
132.00
Averages
185.00
High
219.00
About MS
Morgan Stanley is a global financial services company. The Company is engaged in providing a range of investment banking, securities, wealth management and investment management services. Its segments include Institutional Securities, Wealth Management and Investment Management. Its Institutional Securities segment provides a variety of products and services to corporations, governments, financial institutions and ultra-high net worth clients. Its Wealth Management segment provides an array of financial services and solutions to individual investors and small to medium-sized businesses and institutions. Its Investment Management segment provides a range of investment strategies and products that span geographies, asset classes, and public and private markets to a diverse group of clients across institutional and intermediary channels. Its investment banking services consist of capital raising and financial advisory services, including the underwriting of debt and other products.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Industry Risk Warning: The study highlights that if NuScale were to face bankruptcy, the historical recovery patterns would not apply, necessitating careful assessment of its financial health by investors.
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