Morgan Stanley Direct Lending Fund
MSDL
139 hedge funds and large institutions have $499M invested in Morgan Stanley Direct Lending Fund in 2026 Q1 according to their latest regulatory filings, with 27 funds opening new positions, 48 increasing their positions, 43 reducing their positions, and 21 closing their positions.
29% more first-time investments, than exits
New positions opened: 27 | Existing positions closed: 21
12% more repeat investments, than reductions
Existing positions increased: 48 | Existing positions reduced: 43
4% more funds holding
Funds holding: 134 → 139 (+5)
0.07% less ownership
Funds ownership: 41.82% → 41.75% (-0.07%)
17% less capital invested
Capital invested by funds: $598M → $499M (-$99.1M)
25% less call options, than puts
Call options by funds: $2.1M | Put options by funds: $2.81M
40% less funds holding in top 10
Funds holding in top 10: 5 → 3 (-2)
Top Buyers
| Rank | Fund | Capital Flow |
|---|---|---|
| 1 |
DCM
DG Capital Management
New York
|
+$8.9M |
| 2 |
Russell Investments Group
London,
United Kingdom
|
+$7.42M |
| 3 |
AM
Ares Management
Los Angeles,
California
|
+$4.83M |
| 4 |
RCM
Rivernorth Capital Management
West Palm Beach,
Florida
|
+$4.45M |
| 5 |
HighTower Advisors
Chicago,
Illinois
|
+$4.1M |
Top Sellers
| Rank | Fund | Capital Flow |
|---|---|---|
| 1 |
HF
HRT Financial
New York
|
-$6.5M |
| 2 |
VanEck Associates
New York
|
-$6.29M |
| 3 |
THC
Truffle Hound Capital
Bethesda,
Maryland
|
-$5.27M |
| 4 |
AP
Americana Partners
Houston,
Texas
|
-$4.56M |
| 5 |
Jane Street
New York
|
-$4.2M |
MSDL Hedge Fund Activity: Q1 2026 in Review
139 of the 8,187 institutional investors tracked by Wall St. Rank reported a position in Morgan Stanley Direct Lending Fund (MSDL) for Q1 2026, worth a combined $499M — down 17% from $598M a quarter earlier.
Buyers outnumbered sellers: 27 funds opened new MSDL positions and 21 closed out — a net gain of 6 holders — while 48 added to existing stakes and 43 trimmed.
The largest buyer was DG Capital Management, opening a new position worth an estimated $8.9M. The largest seller was HRT Financial, exiting entirely with an estimated $6.5M sold.
- 139 institutional investors held Morgan Stanley Direct Lending Fund (MSDL) as of Q1 2026, up from 134 in Q4 2025.
- Funds reported $499M of Morgan Stanley Direct Lending Fund stock for Q1 2026, down 17% quarter-over-quarter.
- 27 funds opened new Morgan Stanley Direct Lending Fund positions in Q1 2026 and 21 closed out, a net change of +6 holders.
- The largest Morgan Stanley Direct Lending Fund buyer in Q1 2026 was DG Capital Management, an estimated $8.9M added.
- The largest Morgan Stanley Direct Lending Fund seller in Q1 2026 was HRT Financial, an estimated $6.5M sold.
Based on aggregated 13F filings for Q1 2026.