Brookfield Asset Management Primed for Growth

Brookfield Asset Management (BAM) had its Annual Investor Day Presentation presentation on 26th September 2018. Aseets Under Management (AUM) reached $300+B for the first time in its history with Fee Paying Assets Under Manement (FP AUM) trending to ~$130B.


With operations in 30+ countries and a growing investment footprint across Real Estate, Infrastructure and Private Equity the company is at the cusp of explosive growth over the next 5 years. BAM raised $20B in the last 12 months and invested a staggering $33B in the last 12 months. The quality of  assets purchased mostly in US, Canada, Brazil, Germany, India demonstrate that value investing is possible even when the Equity and Debt Capital Markets are at a peak. The distinguishing size of BAM and its large scale capital, operating expertise and the ability to make synergistic acquisitions and management with ownership mentality and long term focus are key  competitive advantages that make this possible.

Some of the high quality investments of BAM over the last 12-24 months are as below:

1. GGP Inc. ($15B Equity)
2. Westinhouse Electric ($1B Equity, $4B Enterprise Value)
3. Forest City Realty ($6.5B Equity, $11B Enterprise Value)
4. Enbridge Natural Gas Gathering Pipelines ($3.3B Equity)
5. Enercare ($3.3B Equity)
6. Asciano Ports and Logistics ($3.4B Equity, 50% ownership and select assets 100%)
7. NTS Brazil Natural Gas Pipeline ($5.2B Equity overall, 90% ownership)
8. BRK Ambiental Brazil Water Services Utility ($0.9B Equity for 70% ownership).
9. Potsdamer Platz in Berlin (Price Not Disclosed)
10. Powai Mumbai India Office Park ($1B Equity)
11. TerraForm Power and TerraForm Global ($1.5B Equity)
12. Isagen Colombia Hydro Assets ($2.2B Equity), Gas Natural Columbia Transmission Assets ($1.2B Equity) 

BAM is Primed for Growth over the next 5 years and price could reach from $42 recent price to a target price of 80 to $100 per ($80B to $100B Market Capital) if estimated growth in AUM, Fees and Growth in Invested Capital pans out.