Blue Owl Capital Inc. reported a 14% rise in fee-related earnings to $427.5 million in Q3 2026, surpassing the $400 million estimate. Distributable earnings reached 24 cents per share, up from 22 cents a year ago. Assets under management grew 12% to $329.9 billion, though this was partially offset by distributions and redemptions.
The firm's real assets platform drove growth with a 27% increase in fee-paying assets. Blue Owl paid out $1.27 billion in redemptions during the quarter, down from $1.38 billion in Q2. The private credit market has faced pressure as investors seek to exit funds amid concerns over asset quality, particularly in software companies vulnerable to AI disruption.
Earlier in 2026, Blue Owl capped redemptions at 5% for two private credit funds after investors attempted to redeem 39% of shares in Blue Owl Technology Income Corp. and 16.8% in Blue Owl Credit Income Corp. The firm raised $12.6 billion in new capital commitments, down from $14.4 billion the previous year.
Source: Bloomberg Markets · Summarized by HeadlinesBriefing