Wildfires Disrupt Operations of Major LA Asset Management Firms

Asset management firms in Los Angeles, overseeing over $4 trillion in assets, are dealing with the disruptive impact of wildfires. Some firms have relocated offices and encouraged remote work due to property loss and safety concerns. This disruption coincides with rising U.S. Treasury yields amid fiscal worries.

Los Angeles asset management firms, controlling more than $4 trillion, face severe operational disruptions due to the region's rampant wildfires. Industry giants such as Capital Group, TCW Group, and Oaktree Capital are confronting these challenges head-on.

The disaster unfolds as the bond market reels from climbing U.S. Treasury yields sparked by prolonged high interest rate expectations. The fires have rendered neighborhoods uninhabitable, impacting both affluent areas and middle-class suburbs.

Among the hardest hit, Anacapa Advisors' new offices were devastated, forcing them to enact a remote work strategy. Similarly, firms like TCW and DoubleLine are adapting by allowing remote operations and focusing on employee safety and business continuity.

(With inputs from agencies.)