The exploratory exercise, which will publish its final report in early 2027, will evaluate the impact on the UK economy rather than identify vulnerabilities at individual firms. The BoE cannot compel participation because it does not regulate private equity or investment funds, but a group of major global asset managers has agreed to take part. Participants include Apollo Global Management, Bain Capital, Blackstone, Carlyle, CVC Credit Partners, Goldman Sachs Asset Management, KKR, and Permira. Together they account for about one third of UK leveraged buyout activity, half of private credit lending to large UK corporates, and 40% of employment in private equity-backed businesses. The test will run in two stages, allowing firms to indicate how they would react to the decisions of others during a crisis. It will examine how investors fund themselves and how shocks could cascade through financing structures for large British businesses. Venture capital and commercial real estate will...
learn more
