Brown University Shrinks Its Share of Blue Owl Private Credit Fund

Brown University, which manages an $8 billion endowment, has cut its ownership of Blue Owl Capital’s publicly traded private credit fund by more than half. The university now holds only 1. 5 million shares of the fund, down from 3. 2 million at the end of last year. Despite this reduction, Brown keeps all of its shares in Blue Owl’s management company, amounting to about 2. 6 million. The move comes as publicly traded business development companies (BDCs) like Blue Owl’s fund are trading at deep discounts. Investors are increasingly wary of the valuations in the private credit market, which has faced rising stress and a wave of negative headlines. While large institutions still favor private credit, retail investors and high‑net‑worth individuals are stepping back from the sector.

Insurance giant AIG announced it is trimming its private credit exposure due to current market conditions. Blue Owl’s fund, launched in 2016, serves both institutional and retail investors, offering a diversified mix of private credit assets. Brown’s endowment is diversified across public equity, real assets, and private equity. In fiscal 2025 it recorded a return of 11. 9%. Quarterly filings like the 13‑F provide a snapshot of what firms own in U. S. stocks, offering clues about investment trends.

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