TCW: $1B ABF Business Launch
- The launch of TCW's ABF division signifies a strategic move to capitalize on the growing demand for non-bank lenders, potentially impacting financing markets and investment strategies.
- The TCW Group, a global investment firm managing over $200 billion in assets, has established a dedicated asset-backed finance (ABF) division.
- Based in Los Angeles, the firm's expanded alternative investment strategy will concentrate on lending against consumer assets, commercial and residential mortgages, hard assets, and financial assets.
TCW group has launched a $1 billion asset-backed finance (ABF) division,marking a strategic expansion into non-bank lending. Dylan Ross, from Brigade Capital, will lead the New York-based unit, focusing on consumer, mortgage, and hard asset lending. This move underscores TCW’s initiative to capitalize on increasing demands within the financial sector. News Directory 3 reports on the firm’s extensive investment strategy. What future opportunities will this create for investors?
TCW Group Launches $1B Asset-Backed Finance Business
Updated May 25, 2025
The TCW Group, a global investment firm managing over $200 billion in assets, has established a dedicated asset-backed finance (ABF) division. The new business is backed by over $1 billion in capital commitments from TCW, its partners, and affiliates.
Based in Los Angeles, the firm’s expanded alternative investment strategy will concentrate on lending against consumer assets, commercial and residential mortgages, hard assets, and financial assets. This leverages TCW’s existing $90 billion liquid securitized business.
Dylan Ross, formerly of Brigade Capital Management LP, will head the new unit as managing director and portfolio manager. Ross, who joined TCW this month, previously launched Brigade’s structured credit fund in 2014.
The new ABF business will operate out of new York. TCW is currently assembling a specialized investment team to execute the strategy, collaborating with the firm’s fixed income division and other alternative platforms, including its private credit and CLO operations.
In April, TCW announced a partnership with lakemore partners, a private credit investment firm, to grow its CLO platform. This move reflects TCW’s ongoing efforts to develop new sources of private capital as U.S. banks scale back from financing markets.
“the demand for non-bank lenders in asset-backed finance has never been more robust and I am confident that with the strong support of TCW’s leadership, its shareholders and my new colleagues, we will become a leading partner in this fast-growing asset class,” Dylan Ross, TCW Group said.
What’s next
TCW will continue building its specialized investment team in New York and further integrate the ABF division with its existing fixed income and alternative investment strategies.