Private-credit managers report liquidity metrics differently, with some using aggressive math to project strength. The lack of standardized definitions makes it difficult for investors to compare funds accurately. Some firms calculate liquidity based on asset-level cash flows, while others rely on fund-level credit facilities or secondary-market assumptions. This inconsistency can mask true redemption risks, especially during market stress.

Regulators and industry groups are pushing for clearer disclosure standards. The SEC has signaled interest in requiring more uniform reporting. Until then, allocators must dig into footnotes and ask detailed questions about methodology. Liquidity mismatches between fund terms and underlying assets remain a key concern.