Partners Group finds itself caught between two pressure points that have dragged its stock down by a third this year. The Swiss private-markets firm is pursuing a rare criminal complaint against US short seller Grizzly Research, even as its open-ended funds face redemption requests that threaten to slow asset growth. The shares closed Friday at €745.40, up 2% on the day but still nursing a 31.74% decline since January and a 35.27% drop over twelve months.
Legal Offensive Against “Short and Distort” Claims
Board chairman Steffen Meister has taken the unusual step of personally vowing to file a criminal complaint against Grizzly Research, which published a report in the spring likening Partners Group to Wirecard – one of Europe’s most notorious corporate frauds. “We consider the allegations baseless and unlawful, and we are in the process of filing a criminal complaint against Grizzly,” the company said. Meister added that the decision to pursue legal action was deliberate, acknowledging that such a move carries both risks and potential rewards.
Under European rules, false or misleading reports fall under market manipulation prohibitions enforced by the European Securities and Markets Authority (ESMA). Critical research remains protected by free speech, but “short and distort” campaigns involving deliberate falsehoods constitute market abuse. Partners Group is betting that its case sits on the right side of that line, though a protracted legal battle could produce headlines that keep the controversy alive for months. The so-called Streisand effect – where a legal challenge amplifies the very attention it seeks to suppress – is a calculated risk.
Fund Outflows Undermine the Growth Narrative
The legal drama is only one layer of the story. The company’s evergreen funds, which offer periodic redemption windows, are under pressure. In the second quarter, the Partners Group Global Value SICAV received redemption requests equivalent to around 9.8% of its net asset value. The firm capped redemptions at 5% per quarter. A similar evergreen vehicle domiciled in Delaware saw buyback requests of roughly 6% of NAV after a May window.
Despite the outflow pressure, Partners Group has maintained its full-year guidance for gross new business from client mandates of between $26 billion and $32 billion. Fitch Ratings on July 10 affirmed the company’s long-term issuer default rating at A- with a stable outlook, signalling that the financial base remains solid. But the company itself expects the evergreen platform to drag net AUM growth by 1 to 2 percentage points in the second half of 2026 and into 2027.
Should investors sell immediately? Or is it worth buying Partners Group?
CEO David Layton has attributed the redemption pressure to broader uncertainty across the private-markets sector, and points to the built-in liquidity mechanisms designed to protect long-term investors. Around 80% of the firm’s assets under management come from institutional clients, who tend to be less skittish than private wealth investors. Yet the private wealth segment remains a meaningful slice of AUM, and macro headwinds – such as a 7.1% rise in German corporate insolvencies in April and a consumption divide in the US flagged by Bank of America – could complicate exit activity and portfolio valuations.
Chart Suggests a Fragile Stalemate
The stock’s technical picture mirrors the conflicting signals from the business. At €745.40, the share price sits 8.53% above its 52-week low of €686.80, hit on June 26. But it remains 38.57% below its 52-week high of €1,213.50 from August 2025. The 50-day moving average of €836.55 is 10.9% above the current price, while the 200-day average of €988.30 is 24.58% higher – a gap that would normally suggest a recovery is possible but not imminent.
The relative strength index of 44.4 indicates no extreme overbought or oversold conditions, leaving room for a technical bounce if fund outflow fears ease. But the annualised 30-day volatility of 52.43% underscores persistent market anxiety. Traders are watching the €700 level as a key support line; a break below that would put the 52-week low back in play.
First Real Test in September Half-Year Results
The next concrete data point arrives with the half-year results for the period ended June 30, due in early September. Those numbers will for the first time quantify the actual impact of redemption requests on assets under management. Before then, a close above the 50-day line would offer the bulls a first tangible victory. For now, Partners Group is fighting on two fronts – one in the courts, the other in the confidence of its fund investors – and neither battle has yet produced a clear winner.
Ad
Partners Group Stock: Buy or Sell?! New Partners Group Analysis from July 11 delivers the answer:
The latest Partners Group figures speak for themselves: Urgent action needed for Partners Group investors. Is it worth buying or should you sell? Find out what to do now in the current free analysis from July 11.
Partners Group: Buy or sell? Read more here...
