Private equity firms are facing considerable challenges following a market downturn that has prompted large investors, including pension funds and endowments, to seek exits from their investments. The recent market turmoil, described as a result of a 'Trump liberation day' plunge, has led to a significant decrease in the value of many companies owned by private equity, which typically relies on high levels of debt for acquisitions. Notable firms such as Blackstone ($BX), KKR ($KKR), Apollo Global Management ($APO), and Carlyle Group ($CG) are reportedly among those being affected as investors rush to liquidate their positions to raise cash. This situation is exacerbated by rising investor concerns regarding delays in distributions and the return of the denominator effect, which impacts the perceived value of investments in relation to overall portfolio size.