Brookfield Asset Management (BAM) 12 Aug 212021 Q2 Earnings call transcript

Ladies and gentlemen, thank you for standing by. And welcome to the Brookfield Asset Management Second Quarter 2021 Results Conference Call. Please be advised that today's conference is being recorded. I would now like to hand the conference over to your speaker today, Ms. Suzanne Fleming, Managing Partner. ahead. go Please

and XXXX operator, Welcome Brookfield's to Thank call. good quarter conference second you, morning.

securities On are operating and that call of to by Goodman, statements, Investment the giving and today for our forward-looking our Officer; Chief Officer remarks, update, will we Chief Nick Insurance an risks, followed may forward-looking Executive I'd a trends to discussing Business. we'll relate Financial start take from do may statements not and in including laws. reflect questions. events and of business Officer; meaning After within and Brookfield finally, to comments, quarter; such Sachin differ future results and and Bruce Chief statements Bruce Shah, for events. including subject initiatives and U.S. in CEO Flatt, questions and off by Nick, predictions statements. remind results applicable the and over business. call who performance, and future the are events analyst known and historic insurance will These Canadian to will turn discuss update give to materially of responding our you our make and new They our like formal financial and the financial and today's operating operator on our Sachin unknown our the

turn our Canada available the our I'll company, Bruce. For further and see on information And and information regulators on U.S. the to website. over on with please impacts and these with potential the the risks call filings our their that, securities in

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this almost businesses. operating We all of in are seeing our

from insurance give broadly to regards Shan, acquire within It appears on this higher regulated electricity capital here to rates, range. U.S. where that centers. insurance distribution further insurance tenants remain specifically. busy. we our Overall started household after gas, leads businesses, doubled driving that with real UK new our market. most examples, mentioned, strong equity will And just connections than as recently the supported businesses. that are a XXXX we our you XXXX square have transaction the To of housing and time. end, for for levels, plans as income demand. base on across foot today is are been countless certain not levels what low-ish of the us assist and and positioned our in X% of GDP Sachin mortgage very transactions backdrop Just fixed strong our is a business Capital search some teams which connections investment in to across with to to of quarter for our longer for our company business others install our us as growth across markets push business, earned are great a In a retail by now remain business residential our business. the American this and of examples options. rates levels XXX% infrastructure and treasury few continued global XX-year to which and increase announced XXXX, interest More These estate Suzanne there sales few private benefit national, well a we liquidity higher strong per the know interest own a with average fiber. premiums growth water, strength add low with we we'll and plans, of reinsurance, all execute our discuss lower you will with our clients yield

a but our value. as industries, ourselves choice, number continue because operational capital, record. access to to large our strength track are valuations on scale long-term for and of capabilities, swiftly our proven and While often is and we also generally our assets high, transactions given therefore buyer find find we a This bench we across can execute of

right market So within confident capital competitive while afford can we while that disciplined the the business. very is now, still we're staying

we've efforts, close of first as raised fund Fund, fundraising. capital for larger over a Global to Compared our The progress inaugural capital private fourth and flagship prior of quicker and fundraising a raised our founders' timeline real capital estate since part close to lead and of spoke its just we of capital this three billion active in of $XX fund date. raise vintage, to initial Transition to are should close raised the significant made our far last vintage. which to more Moving our flagship much billions of billion including X for is you with now funds, $X our includes the last an so

funds and passed complete IPO. for its well expect for be the we latest equity to next market our in infrastructure with the infrastructure our of shortly vintage up next year infrastructure confident of couple threshold an to be flagship with Deployment fund, sign vintage for happen listed Partners. we're start of fund a early should commitment Recently, private our is us a latest fundraising that launch investment Infrastructure next transactions. acquisition progressing the entity and fund and Our large equity This to soon. sets private well agreements Brookfield will fund excellent acquisition we our has

product opportunistic our billion closeout the fund, flagship growing our to close in our Oaktree's rate a designing in interest client low while in to scale also largest up focused our fund our continue we on new in also history. with final particular months expanding this final coming credit and cater We innovating $XX expect and offering of flagship we're needs on And client's the environment. that funds, have and the base to products our

As channel. business. occupancy high This course, to and an with focus oriented the of assets be REIT, market cash in of this rebranded it forward us example hope wealth launch this of Brookfield to REIT Oaktree The long this real product this in private and will assist in for expect estate REIT. which private geared recurring been very own will is an with non-traded specialty our announced and in which States, income towards as We attractive will fully product. has existing the it plan investors will we July, a will wealth de-risked of to end private the we be by Brookfield creation by getting United strategy our quicker, of launch provided privatization the merge XXXX. REIT, instrumental be flexibility which business of will a BPY the flows,

a BPY, and performance. Nick our Reinsurance way it And to June, dividend our the business continued of support. July. we number of over completed for laid Partners progress the the I'll financial Brookfield end of that in of closed we to of including spinoff special all your key out initiatives you the privatization Lastly, discuss Thank a the to previously turn at which for you by

Momentum in by everyone. Bruce of growth our by grow you, in Performance quarter distributable Thank second from good supported business investments. billion supported morning recorded $X.X very management economic earnings, and backdrop. the distributions business continues very was asset conservative and for steady strong. principal asset We our to management

by being market, in products and reach we're our we Our clients. are capabilities developing and received serve flagship in funds the well growing are distribution size, more to new are investing

privatization closes we in business. the next over flagship We of goals $XX funds on expect estate our real a latest of track program, Together further in is and addition, quarter our for capital our total supportive our XXX% fund completed further for $X us surface Subsequent investment Investor months. BPY latest returning with and opportunistic current July In debt end, the billion transition global billion Day. perpetual carried of the are of special to strategies, credit of the raises our the flagship estate first and for during our in them, a to long-term profits fund initial across successful now fourth sales XXth closes process. to held won inaugural realized significantly environment XX fundraising fund and Inflows successful real our clients the and close fund, several them totaled for with the we to our capital for quarter including strategy. to enabling of our meet very XXXX grow and outlined interest asset fundraising

monetization. We provide expect be asset of our accretive to capital the The through phase to privatization portfolio the our overtime earnings next fuel will us to growth. distributable with and

from quarterly prior funds the FFO Turning and meaningfully year results. to operations up $XXX of income of were $X.X billion, operating net of $X.X Total million from billion, all period.

XX% over $X.X XX is asset $XXX by capital billion As $XXX business, the the by growth the an from fee-bearing prior totaled last months. management in quarter months, to earnings, periods strong for to three end, $XX fee-related last the over at XX of increase was led our up and This month million billion and which increased billion $X periods. billion

billion billion $X have million million balance us realized interest over We expect during into clients at invested year fee-bearing execute the of carried into more to billion to of XXXX have annual of $X our capital that over and generated become recycling continued approximately to $X billion we on interest two revenues. come return our translates proceeds target committed the to capital $XXX of schedule, $XXX income. well additional carried prices. quarter, from Year-to-date, We year. ahead initiatives incremental monetization of $XX we of favorable gross reaching the realize We've now will allowing of once fee and

We interest well total unrealized performed interest. Increasing billion. generated carried during by over carried XX% the billion quarter. investments very Our $X $X of over the accumulated

we skill right, realize continue for value much recognize to in over funds our should interest expect this interest, And current everyone unrealized which if time as expect remind of we we as to accumulated we our realized jobs interest carried are sales. vintage to earlier execute is carried to create on our expect that carried meaningfully we than want We into We do investors. to the asset smaller income our much vintages.

growth last some DE are companies Distributable in This global shares the As continue reopening West very sale from the businesses of continued some for and these well our over last interest increased of XX% Earnings of for the before month realizations in the renewables And The and by our the sales or Bruce periods. XX over mentioned, Fraser. benefiting offset affiliates. from restrictions, and Including FFO specifically our well economy. being quarter XX in relaxing of of increase investor strong of majority distributions earnings capital businesses months. decrease continued to is as $X.X by the management million, to our our a realizations, operating largely to month the DE for perform franchise, driven with contribution across the following contributed infrastructure XX of as period $XXX increased the FFO list billion. for as our asset doubled secondary

in Our close level. commitments, co-fund billion liquidity, to have remain core of directly to including addition on $X we strong liquidity billion billion $XX continues the very approximately to bond at $XX

capital. of total a to billion $XX adds deployable this of of All

quarter, the general attractive rate bolstered taking green $XXX projects and our be environment. offering corporate purposes. eligible of finance an used advantage for million with will from further instruments the Following Proceeds debt to an liquidity we

investments basis, accretive National, [DE] use highly continue of $X billion or XX%. market shares. debt billion to generate the an foundation Our core balance a liquidity, sheet that fund sheet conservatively to American debt be $XX of the a back When to to over and strong XX% combined which we we our recourse acquisitions, capital buy the billion of such ratio corporate will $X corporation no has with to as annual around have our that with of having and on strategic remains capitalized balance of capitalization

Before $X.XX I end to hand I'm pleased that call at share our Sachin, the a confirm dividends September. Board the payable Sachin? of has of declared over per to Directors

activities be to Brookfield the good Brookfield growing here pleased you you, update Insurance I'm provide to morning, across Solutions on and Nick, Thank an today taking place platform, Reinsurance. everyone.

more returns infrastructure, Increasingly we decades, equity, volatility, a and access amounts base, renewable by alternative two at have been the us to leading have estate, adjusted us for backed the deploy the rates have opportunities manager laterally returning our private enabled credit. Over world power, own Brookfield expertise large capital, amounts down, our into our higher come with decade of scale past of investment to strong real of looking transformed and including global as insurance and asset across around businesses assets. capital clients presence risk last many have over clients. high for quality companies capital investment attractive low These

and infrastructure, nicely the businesses asset and Our and particular very against in in private life expertise, power up match needs real our intensive insurance. annuity estate, credit, of

As our insurance broadly and future as capital capital, has can so capital offer who flow has for the investment to reinsurance us, diverse insurers more solutions, from opportunities. partners grown, client like block desire such look partnership or management

rate progressing and that activities, we June, To that conduct pipeline and partner To ability to recent much established insurance to a the new I helps our been operate insurance we life investment that long-term. now of be rates our deals, have Bottom-line, on at to who to and yields rates been out and is counterparties for always were needed well are in about and earn of earn, liability our with of such negative our pay American nominal took X% our All actively to now as on significant. before a It fallen at X%, are unlikely can broader of the efforts and money and our been. skills end when opportunities. the us spinoff that opportunity clear, policies the the the to announced to have Brookfield our as it Brookfield on speak bigger a rates of close they on life and existed completed to long zero capital, substantial X% given has over on franchise has we been. close to ensure focus public effectively. But franchise generate profile for over is ever cornerstone annuity work rates equity suited previously investments to as robust is last Therefore, as Since deployable put platform earn products years equity the is expertise, the credit have lower be the the to risk was investment of X%, to X% of annuities go But time. at capital opportunity have to it's reinsurance. working been losing real Accordingly, the with and companies change for with will the period losses Reinsurance return Partners, than that we ever has own company any that spinoff, couple is those separate interest reinsurance. that out these excellent.

net it trying have a last ago. therefore, liability side U.S.-based is A we an the enter far Texas on through risk National as this offer interest focused National therefore We With P&C Brookfield value the that on on in ideal been enhance week time annuities We money with American billion. smaller and U.S. XXX% approximately working which this the money risk. think find XXX and Reinsurance Cutting to We scale of a for that backdrop, franchise you to business products always ways investment Company believe Today, business future our we're asset for strong has acquire nearly over businesses just as the growth. returns, to and a a agreement entered that the predominantly good insurance with billion manages in but put will have Group. So capabilities us to the a that announced the is $X year. in in significantly of long of founded plan low into earlier all, a work life believe business. way American to assets XX acquisition that less. invest this into have and annuities large we today. provide in platform is the company years to

believe this expanding asset describe grow nonrecourse through can U.S. We for five with into we entry funded attractive the the billion, coming meaningfully next X.X I net Reinsurance, of these acquiring the Company over into asset the for years equity. Accordingly and billion business Brookfield market. from debt on We are optimization business. and some business. insurance the of new will balance X.X of value with represents oriented To elaborate of the lines themes, value the features key an of the

decades of an a and prudent capital team track Company management conservative long management. and of excellent with underwriting experience, earnings record and has culture stable the a First,

very its tremendous existing its us base Second, the while is partners manage This Company, distribution business the employees, operational pursuing the growth. gives to strong. confidence of

typically we through the due this to mentioned a as the and our power, are focus and have will we volatility, Today, our is credit infrastructure risks products community low depth strategies. in capital expertise, than stable enhancing across renewable operating within have insurers insurance we to partnership investment North real origination of As are strategies in investment significant credit we clients broader that returns profitability to result, believe these enhanced efficiency. more and due as been America Oaktree. further lowering a our efforts and have their previously These and already Europe We suited through estate ideally achievable and capabilities. with on our Brookfield XXX have I where

up investment third-party can given just the we of and these reinsurance We match I pension also American business new believe referenced. National as such the nicely services products to Business lines add risk transfer, with

to efficiency capital give factors business of rapid protection stakeholders next decade. upside over substantial these forward downside conviction optimization, has with all and All initiatives. through strong We the and that working the us look growth potential

targeting the transaction are coming domestic business quarters. Thank the our of over a you. any risk With pension combination you to XXXX. and is close progress insurers. through half first an transaction will in providing for XX over the of that, reinsurance Once today of initiatives generate of on the pass manage reinsurance the questions. returns in adjusted operator Brookfield transaction currently several update to transactions U.S. strong with the I call national to American the We look signed expect and to Reinsurance forward closed, We assets will the billion these

TD from Cherilyn Instructions] the first from line Our [Operator comes question Radbourne of Securities.

question Your please.

give a Oaktree you was was that on is the the that including could America I focused more how whether versus channel team how Company compares accessing Solutions on hoping, and for bit Wealth Brookfield primarily color global wealth North now? or previously,

The team, team, Oaktree Group I and a accessing parts and different in of penetrating in be China would Brookfield Securities spots, in it say our with a different an products. of three Public job a to with had we different of with kind team used team the Holding,

And powerful. all U.S., And it accessing are Europe and in will immensely we a so team. combination the have say I together And also what but broaden channels. people really focused putting were And there of have before. on will in of be we it's predominantly doing this people been would and some we

the product RIA, the that. skill. the it the network, a of will tremendous So family REIT quite high it office example the putting products that we together the right perfect And think with well a non-traded channels, is bag and give

interplay products creating non-traded products just you specifically follow-up other in listed as be would anticipate wealth just between the so And REIT, that beyond a those your the what affiliate? And channel? for would

we Yes, would.

have whatever I of kinds there's be certain to new obviously, requirements do, products. in different I will look And think think there products. these returned we

to might they're core funds, the the return than that can the are but each either for different for super we these in We of our infrastructure work risk of tailored do other And listed in channel. funds, list or like attributes other. investable sometimes that's instead look specifically work the have the some the case. affiliates, out, But affiliates. invest of some products each alongside for like private way And if

Katz of Our Bill Citigroup. the line next question from comes from

Your question please.

similar a reiterate It's record into little asset platform the little the way that. around very a bogeys track at peers back quarter $XXX shows scale and type billion broad sort a along third other bit and to -- of a significantly side had opportunity have good gathering of ready. goal with of your Bruce, reinforced ramped sort across of of the Stepping favorably the certainly have bit, many me

the at more of or So XXX as ultimately look in where terms for less sort it that get can now of you cycle? today to confident, billion, think ultimate race

Look, accumulation broadly look you aren't say, the numbers our is in included. included of that across assets. if them those What's business not are, insurance, I just more

I private can larger. think much our funds be

and I growing. may we size do that had our in five fund think is our thing can perpetual lots to funds, and get but I keep ones that. our to goal the funds thought are say private We'll is They the keep we bigger won't we comfortable, get probably point only I life bigger. and we'll split ago, said each that a after in that institutions we room they three, Europe, time, billion. would Asia sort on get flagship expanding The have have that business. sides in but much letter at XX the I to or wouldn't of of than Years think where of there's

just follow-up. Okay, quick

was plus So some potentially that I footnotes you expect guess balance XX sheet. in the of I BPY, to some there reading on terms forever of billion, keep the

that just the redeployed you of liquidate such strong capital sort potentially elsewhere? why would conceptually, Just to a cause maybe what wondering proceeds statement and

I'll ask I Maybe probably would way, maybe a answer to different question. start. it the

seven years, a that $XX again could to $XX surface up think next $XX will billion of real of over billion equity in strong that generate today. and to billion we cash, that to continue cash step we returns in outlined the estate flow. We five today, But that have we

maybe And we business continue fact then will there's that is I but to more accelerate as capital a business, raise be, another on such against new that that funds, hold, REIT, of today, maybe of focus equity to combined, to other mitigates value in than we significant can our private the path insurance raise. what's the compound can of to billion non-traded amount constructive that billion having your think will potential market Now, in up that even there's $XX would accelerate. we to products it But that's we cash. think XX

from Alex comes Blostein line question Goldman the of next from Sachs. Our

Your question please.

morning. Good This economic a how walk in as sheet? Now actually you well BPY. behalf how I of the had Alex. valuing have Ryan that some related the over the implications is asset? of economic expected closed on on on was question I question. if could Bailey And in now deal happen guess, a But was also through that do wondering, little gas we that you of bit balance change innocent as terms I is it. and also this to expect going to that's FRE? are change Appreciate BPY, you then How forward time? the of to

always valued the valued assets be balance the no consolidated our question is second will fair would the way There to change they answer that change and and on on were forward. going I'll sheet, first. sheet balance

public part, talked financial the and statements entity it about in continues first BPY, this On we've press because to continues to think fail the the entity. exist, I past as

to a as change they not be basis in some and call. So fees be stand pay on entity, the same points private it fees that real fees will streams too to and are at creating with estate changes that line today. we on moves the at we vehicle opposed equity. time just And will perpetual And over the different we on with but time, the more not these new than of the outlined will expect portfolio private public, fee

change surface but along will the create and I'd say value the short-term capital time move just that. will So portfolio streams the no in over with

out expect REIT, platforms guess then you some the you and one distribution terms of how financial those are And about of maybe which of of the of other product clients? some of getting some sort in do which on are think And of about to think be terms moment, in you what your dynamics, I ones seeing them in competition? at of in distribution advisors you front on? ones relative partners, the prioritizing to terms on Brookfield do as there,

the So which and on Oaktree It mentioned, one in the the, with accelerate, other banks. and accelerate over major of are the we be working already we that will approved the Bruce taking or platforms as three expect REIT, fourth to quarter. are we to banks four bank we're is The the things launched say others to year, record on the at in to later their the given and think this and well I our what positioned can business and year. estate scale platform real And get and have we on our we the, platform reputation deliver, that track think of are next attention to early investors. I get

JP Morgan. question next Our Ken from comes from the Worthington line of

question Your please.

and assets of over REIT. time? how or being migrating instrumental, of to Brookfield existing BPY, the to With launches that first you your non-traded are I prepared remarks, your you've selling think, other In privatizations about BPY newly thinking regard created funds BPY are to mentioned the

work? other Brookfield and funds And how might or insurance me help the assets you BPY connection that in an including initiatives leveraging make see So there?

go Listen, the it's BPY no, launched exist I private, the product wanting now, is question. you And assets the think to rebalanced get portfolio there's what to could in new happen the obviously future, That's path definitely of there. that and perceived easier. seed I lot few I were the there, Ken, from complex there going complex, think think a a just MTR, anymore. those illustration creating of executing a that in in value, But we great assets an the Because value. a there. are outlined And what for don't becomes some

and the fees gets be into right. out, sold reinvested that on of could creates something reinsurance, the assets, like said, which elsewhere Some in return as business, maybe capital. And we capital

we portfolio So as optimize there's assets But existing new products. grow move we potential for used definitely these the be forward. will to and create and to

the find today, I six reconcile the roughly thinking like thinking. be third of products way sheet, long their third change things you fits a on you're a line assets you BPY balance what thought might with the for balance Brookfield Or well? were what for the permanently third it longer And initially might least that than assets, was something five sold, on as at to might about in know Does remain based sheet rest Does feels or that the that like that remains today? time sort how XX sort did the of of on fall billion other the and piece believe then into a years.

value, Listen, these I line. assets say only think I a in Ken flow assets. and it but more represent the the fantastic are we it over capital sheet. on attractive, a And raise is, there say should contain best cash be of thing great piece The what liquidity There the need one, it should be for holding, time. we're be will available sort with capital, balance they they'll would should falls great to be

assets for and appreciate So, could in accelerated great these long-term. value capital there's will I'd the line, use intelligent are if it that say in be but over that

Thank you.

Capital Movahedi next from the Markets. comes question from Our line Sohrab BMO of

Your question please.

discussion the for thanks just reinsurance. the Sachin, for First on Sachin.

billion. circle that XX about XXX I you around an into XXX think that talked you are for billion to you opportunity noticed million at reinsurance invested

So I was always there.

set portfolio that, if is maybe still realize First to you have call acquisitions to business it will you still secondarily, wanting you do to think to if just that, purchases. the end opposed I'll a think of XXX confirm be and as then the the to opportunity at of good on upper guideposts, some all to insurance that able XXX of

Hi, Sohrab, sure.

don't guideposts. as this a look, progress have last how change to is year, much because insurers rates have right we as return. set think not is made activity expected to reason the we the of earn all, and And quickly. we a proper would of difficulty function that the XXX any is XXX would seeing, that I first to of it are it. I First have out where this have for much space

all to going, scale end So I where And out you higher that, think the the of if that to the possible. is likely can take we on guidepost can higher I get you're think trying that end. therefore, this and figure is from

expect fits reinsurance, was the for partner can versus to available operations reinsurance Its to you tools have to diversity, gives acquisitions its and national just to the our I and its place, that to activities. think business our in is all community that people, that partners, systems the of U.S. good us and bill. insurance to partner a I a be It and us domestic American focus. tremendous platform broadly. companies And think then be we reinsurance terms distribution In more should with have good flexibility accelerate insurance important

that So forward. that's path our you assume should

is lots since half And around year maybe Bruce I can and get don't takes, you one the happening obviously, out, ago. think has a the zoom in well. pandemic Bruce, you the I declared, the the when and of Would world, acceleration about mean, your know, a business as about fared? you they of should over Or drivers were puts for kind maybe I how COVID you positive was When impacted the all winner we here? dispositions think how last and over Do business been the biggest year? how of key thinking net here? your has be say BAM a

business them. and that the a helped there's our a think year two I half time backdrops has last accelerated Look, long and for both

that down, went stay they're like don't think was and appears were of The first they it there's for to low going you positive they business. incredibly is rates That's think for I zero. an many people interest when before rates to go if they to going to up, what period is up they're say XX thing and will go and on going X%. our the time. The long question up test whether they people year one treasury And a think they're were to going them go going think

a places of are investors and money individual to and institutional the alternative alternatives. trying put As find places alternative investors their result that, to globally or

maybe in offering today we start new just quarter, all is billion other many can't plus and And funds $XX last raised that point make products things than they the private are skills people ever we're can't their in visit our and people So they funds. sought offices, our there's this go to more raising that all the after worth.

are to. one they the with a continue last over familiar investors, the alternatives that and they brand So and the anybody months because in has XX financial got new, money, they all institutional therefore

is few stronger there's we're only And ever So a the stronger. I'd the than say one. franchise was. deeper, much the world. franchises getting just in today much But it not of those they And are

Our the CIBC. of Wilkinson next from question Dean line from comes

Your question please.

going funding this It'll be decoupling it give size would perhaps size? to that Could you to that as to before get post consider from billion business, to business you XXX. could to And the potentially any what needs Just the be a We question on thought what BAM? $XX be mechanisms acquisition. reinsurance.

really this I execute business to to transaction away Look, management Sachin. from build also scale at think a We and up its ways operational close capabilities need and Dean, National, we're plan. our American work in stage. with to just and our the that

it we down idea the good where I decoupling a a to, the build separate think upside into it's entity, but shareholders On visibility other tremendous security the can of up all out will marketplace out, shareholders to? impaired the for we split the gives as also value shareholders of our in come it way is business, for today security. because the lot hand, our existing really create it's it it as that a product the set

to be still regard. think think to decoupling on there's retaining we're a time had is going thing. that that. the good in patient And discussions, So I And I optionality that be

Nick. it's Dean,

add into good think necessarily capital. of as us just we based to the comes versus capital alongside just There's spending or capital, to a there the growth a private chance external it's and out the about come where raising on If think the there. insurance that we me support point business Let if internal public.

which So made attractive product private It go that decision clients. there's make may to sense. the to a when we external our this be capital to very gives be point capital we route, down be decide

line Andrew Kuske comes of Our Suisse. Credit from the from next question

Your question please.

I think evolution that's of a question for Sachin, and it really revolves an around regulation. insurance just

product goes be are stage? guess prescriptive I the equity an times, to you're income as targeting offerings. that, an and And far investments or to regulation, of their the then really you evolution can fixed insurance sleeves, to related this benefit at quite If introducing really alternatives that as at tend

I'll start the with regs.

favorable in been capabilities. a the is And favorable real both U.S. of way, they real broader two evolve U.S. very say deeper particular have for U.S., where the and we one to NAIC in credit. they're more alternative two rules estate rules and the obviously are have credit, CM evolved when And recently is evolving First in the I all, and things, a treatment depth the alternatives capital in they particular, of in recently, continue and of have a a a all evolving areas private estate. in in set, the favor and private oriented credit with ratings

So plays our I infrastructure really of to the our well it our to private the more strengths. emerging duration, think again all real well but that Both estate side, franchise, and strengths. asset an obviously, long is credit plays class in broadly, of on side, because infrastructure

need then I'd positioned in up So grow equities. a to and capital there designing out products broaden permanent you the out. given your at equities, your excess portfolio amount I the to And of of in and if capital into capital think amount of investment and into we that, business balance getting well business, want start have insurance our business have say we're insurance meaningful to to strength, And Brookfield. terms in really you with sheet really the

in optionality can. have business, over we the flexibility the time, if access the equities invest to we invest to and have in capital. to We And want

puts I So that to physicians quite again, uniquely relative as peers. think our

as you about business portfolio. a raise. and At insurance really, related is the base and exciting $X the Are there? the energy equally And you most overall maybe the and activities? quite think infrastructure there comment then was described the then And ago, the at business And position follow-up point, the question how a transition now? the and think excited parallel being about you somewhat good Brookfield billion time, do a I a made business few years the this about

I Look, are all and all others alternative about area that businesses. you interest of our For me, the unbelievably investments, if I'm think know stay rates low of excited positive.

transition is low think it like seeing we're in exciting. some achieve to think their full. some and And happening be at helping grow decarbonisation going it. a bell them and really the and XX early corporations can won't years. four and I the today next years, it's we're very we And therefore, just dealing very, not There is the it for stages of for we if can, be and with with a business base, in very goals, major rung of

new, would all say a that runway. lot But have of it's lot the one of a I in just So them. businesses growth brand because has

the [Operator Capital Geoff line Instructions] from Our next question from comes Markets. RBC Kwan of

please. question Your

maybe other thing? other near-term, not there start On that and seeing sort your words, But proprietary the the investments? global you're would is types winning of in situations those the also transition competition fund, or different just to wanted making platforms. you the are seeing less be in what may for new it how competitive versus In deals how to of to environment see you is do other types of deals opportunities more

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the conclude session the program question-and-answer for Thank program. any further Suzanne Fleming remarks. This does you. like of to today's I'd hand back to

operator. all September at and that's we with our XXth. on you, look end of Thank And that, we you will joining us Thank many for to as as you Thank New Brookfield Place Day possible forward you. the at seeing call. Investor York in

conference. conclude program. and ladies in today's the gentlemen you, does for participation Thank This

may now Good day. disconnect. You