Brookfield Asset Management is an alternative asset management company headquartered in Toronto and has offices in London, NYC, Rio De Janeiro, and Sydney. Run by Bruce Flatt, BAM focuses on infrastructure, private equity, real estate and renewable power.
On September 26, 2019, BAM held its Investor Day wherein they presented business updates including global market overview, strategic review, and financial review. A copy of the presentation can be downloaded below.
BAM seems to be in the next phase of global interest rate backdrop, so alternative allocations are increasing to over 60%. They also announced that their next level of flagships should be around $100 billion, including credit. Oaktree is set to assist the firm for its preparation for the next downturn.
Over the last year, BAM raised over $50 billion, deployed $33 billion, realized $19 billion, and added a premier credit franchise. The firm’s assets are now over $500 billion in total. It now has over 100,000 employees, over 1,800 institutional investors, businesses in over 30 countries, and over $227 billion fee bearing capital.
BAM’s growth strategy continues to focus on the following factors: increasing alternative allocations, growing product offerings, and investing wisely. They claim that their evolving private fund strategy involves flagship funds, perpetual core strategies, and bespoke opportunities. The firm saw growth in its flagship funds which include real estate ($15 billion), private equity (over $7.8 billion), infrastructure (over $15.2 billion), and credit ($12.5 billion).
In the past year, BAM highlighted its growing perpetual core and credit strategies and was able to exceed its perpetual capital commitments (from $2 billion in 2018 to $6 billion in 2019). Its long-term target is over $60 billion. Oaktree is highlighted in the presentation too as it adds to BAM’s current franchise.
You can download a copy of Absolute Return Partners’ October 2019 Letter – Part 1 here:
You can also see the list of our 2019 Q3 investor letters and download them on this page.