Partners Group: The $15.6 Billion Redemption Question That Has Investors Running Scared

While Switzerland’s SMI index powers to fresh records above 14,400 points, Partners Group is delivering a starkly different script. The private-markets specialist has lost 32.38% of its value since the start of the year, and the forces behind the slide run deeper than a simple market rotation. A toxic combination of liquidity strains inside its own funds and a blistering attack from a prominent short-seller has left the stock trading at 738.40 euros — roughly 26% below its 200-day moving average.

The Liquidity Squeeze Hits Home

The damage has been building for months. During the second quarter, investors globally demanded roughly $15.6 billion back from private-credit funds, according to industry data. Fund managers paid out only a fraction of those requests. At Partners Group, the pressure reached a tipping point: redemption requests on one of its large ever-green funds reportedly hit 9.8%, triggering the mandatory 5% gate and effectively freezing withdrawals.

The problem is not limited to the Swiss firm. US rivals like Blackstone and Apollo have already grappled with similar capped payouts. But the arrival of this shadow in Switzerland has rattled confidence. Prominent investors are walking. US Representative Ann Wagner, for example, has been selling down her stakes in Partners Group vehicles and rotating into other segments — a move the market reads as a clear warning on sentiment.

Compounding the liquidity headache, short-seller Grizzly Research issued a critical report in late April. The firm dissected Partners Group’s capital structure and its largest ever-green funds, alleging that valuations in the Master Fund don’t match the reality of the underlying companies. Grizzly disclosed it holds a short position and stands to benefit from lower share prices. So far, the claims have not been independently verified or tested in court, but the uncertainty alone has weighed on the stock.

Technicals Point to Deep Distress, Not a Bottom

After touching a low of 686.80 euros, the stock has recovered only marginally. The current price sits miles below the 200-day average of 998.48 euros and a 50-day line that is even further off. Volatility remains above 51% — an unusually elevated level for an asset manager of this size. On a positive note, the relative strength index has dropped to 38.8, a reading that technically oriented traders often interpret as near oversold territory.

But the chart tells a tale of a long climb back. In August 2025, Partners Group shares changed hands at 1,213.50 euros. The distance from that peak underscores how much trust has evaporated.

Should investors sell immediately? Or is it worth buying Partners Group?

The Fundamental Crossroads

The company’s operating business remains intact on the surface. Partners Group ended 2025 with 2.6 billion Swiss francs in revenue, a 20% year-on-year increase. Assets under management stand at more than $185 billion, and management’s long-term target is $450 billion by 2033. That vision relies on institutional new business offsetting the retail outflows.

The core question for the next few weeks: can new mandate wins compensate for the redemption wave? If independent audits confirm any part of Grizzly’s critique of the valuation models, the damage could become structural. Retail investors, in particular, have become a meaningful source of new inflows. A frozen fund and a credibility gap will not help.

A July Reality Check

The direction will become clearer in July, when Partners Group publishes updated figures on assets under management. That data will show in black and white whether net flows have turned negative in the third quarter. If the institutional base holds steady, the stock may begin a gradual bottoming process. If the exit pressure intensifies, a test of the 686.80-euro low looks probable.

On the macro front, the US interest-rate outlook offers a potential tailwind. Weak labor market data last week pushed the probability of a September rate hike down to 35%. The ISM services index due Monday and the Federal Reserve minutes on Wednesday will be closely watched. Private equity longs for stable or falling rates; any signal of a looser policy stance would provide relief for the entire sector.

For now, Partners Group remains trapped between a redemption crisis and a short-seller’s allegations. The next set of real numbers — not speculation — will determine whether this is a buying opportunity or the start of a far deeper slide.