LA asset management firms are in crisis mode as wildfires devastate properties and displace employees
Los Angeles: The recent wildfires have left many asset management firms in a tough spot. With over $4 trillion in assets managed, these companies are scrambling to recover.
Anacapa Advisors, for instance, just moved into a new office in Pacific Palisades. Sadly, it burned down just four days later. Phil Pecsok, the founder, had to fight the flames at his home for hours, but thankfully, it survived.
However, not everyone was so lucky. Jordan Moore, the operations manager, lost her home and everything in it. The good news is that all employees are safe, and the firm activated its business continuity plan, which they had prepared for emergencies.
Now, Anacapa is looking for new office space in Santa Monica or Brentwood while staff work remotely. Pecsok mentioned that despite the chaos, the fund is still running smoothly.
TCW, managing $203 billion, reported that their staff is safe, but many have been displaced. Katie Koch, the CEO, shared that her family was among those affected.
Capital Group confirmed their headquarters were untouched, but they’re still assessing the impact on employees. Oaktree Capital, with over $200 billion in assets, is also operating normally, but many staff members have been affected.
DoubleLine, based in Florida, has its LA employees working from home due to poor air quality. The Milken Institute and Dimensional Fund Advisors are also encouraging remote work.
AccuWeather estimates damages from the fires could reach between $135 billion and $150 billion, which is a huge jump from initial estimates. JPMorgan analysts predict insured losses could hit $20 billion, with uninsured losses potentially exceeding $100 billion, making this disaster one of the costliest in U.S. history.
