How does the Business Journal pin down the fortunes of L.A.’s wealthiest? We start by asking them. That doesn’t usually get very far, but we do it anyway. Every year each candidate who made the list last year, who almost made the list, or who might have a chance of making the list, is sent a questionnaire asking for details of their holdings in property, investments and debt.
Some respond by telephone or in writing in detail, down to the last dollar but most do not.
Business Journal reporters then read Securities and Exchange Commission filings, public documents, estimates from experts and media reports. They ask questions and follow-up with candidates or designated assistants to make sure the subject is comfortable or at least aware of the Business Journal’s estimate of their net worth.
For those whose holdings are mostly in public companies, the numbers are relatively easy to come by. Those who run privately held companies, or concentrate their holdings in art or foreign real estate, for example, pose more of a challenge. That’s where interviews with experts and estimates of comparable companies or holdings come into play.
If a person’s wealth cannot be determined to meet the threshold this year it’s $760 million they are not included in the list. There’s always next year.
