The slow-motion liquidity crisis in private credit has rolled into its third quarter, with Apollo gating another three months of withdrawal requests from its flagship retail private credit fund.

On Tuesday, the fund disappointed investors who had asked to cash out 14.7% of their shares. 

It will honor about two thirds less at just 5%, and has gated withdrawals for at least nine months.

The rationed exit is supposed to prevent a stampede for the exits that gating during the first and second quarters was supposed to alleviate.

Stock prices across the private credit market continue to crater. Apollo’s own common stock closed down 14% year-to-date, far underperforming the S&P 500 at +12% YTD.

Private credit peers are also underperforming their benchmarks year-to-date: Blackstone has lost 22%, Ares is down 24%, KKR is down 23%, Carlyle is down 33%, and Blue Owl has declined 36%.

Apollo Debt Solutions BDC, a private credit fund, is a retail vehicle holding a $25.9 billion portfolio of senior secured loans.

Investors wanted to redeem 11.2% of shares in the first quarter but were told to expect about 45 cents per dollar worth of requests.

In the second quarter, they asked for 16.8% of shares back, yet received just 5%.

Apollo has even titled its quarterly 5% limitation using corporate jargon. It prefers another name for denials of its customers’ full withdrawal requests: “Quarterly Liquidity: Considered & Intentional.”

Read more: Private credit firms prepare for bank run-type panic by gating investor withdrawals

Cliffwater’s $31 billion Corporate Lending Fund similarly limited withdrawals to 5% this month after investors asked for about 16%.

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