Can't install MacOSX guest from recovery partition

tinue-

Bit poster
I have a Mac Mini 2012, with MacOS 10.10.3. Parallels is at version 10.2.1. I tried to add a MacOSX virtual machine via "Install OS X from recovery partition".
After clicking, it starts to boot and gets roughly up to 1/3 of the progress bar, and then it shows the circle with slash. Of course I can't continue the installation from here.
Is Parallels incompatible with 10.10.3?
 
OSX 10.10.3 (inc supplemental) with PDE 10.1.3 (28868) works fine here with the VM in Bridged (which is only what we use.)
 
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