Brookfield Asset Management (BAM) 12 May 222022 Q1 Earnings call transcript

Hello, and welcome to the Brookfield Asset Management 2022 First Quarter Conference Call and Webcast. [Operator Instructions]. It is now my pleasure to introduce managing partner, Suzanne Fleming.

Thank you, operator, and good morning. Welcome to Brookfield's First Quarter 2022 Conference Call.

are our our Chief today and Executive call Goodman, Nick Financial the Bruce Chief Flatt, Officer; On Officer. operating discuss Bruce a will listing financial of will manager. and business giving well and our update, followed the the start by Nick, partial off distribution results as by as asset who questions. turn After we'll over the the our formal operator to call remarks, and take analyst [Operator Instructions]. operating questions and that of to today's comments, within and to remind our responding initiatives new you statements in we forward-looking and like applicable make discussing I'd in in forward-looking U.S. may statements, performance, financial including Canadian including and meaning the laws. securities reflect statements predictions not do events events. to historic These and trends and of future relate such risks, and to They're statements. future subject from unknown and and results events known may materially differ

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

you, billion continued Thank quarter, our of supported billion. the to income were call. of the performance and for net reporting strong on $X had Earnings everyone a asset distributable shareholders We management of first earnings by common underlying $X.X and both business our strong and Suzanne, welcome operations.

will working the earnings somewhere business management at to discussions, decided we asset of to which we values, a U.S. with Following for a a with distribution all billion these $XX Post of that listing be around on will are Canadian tax-free shareholders. lot per distributing is and receive release, our and $XX our of discussions jurisdictions. last we estimate had done shareholders, on XX% share other you move shareholders our time. that. This our of shareholders. Based shares, special for Thank by separately interest forward

of financial by the will this will our discussing end results. more details XXXX, after Nick We and complete provide

that cash are own are X% is rates now we year. start pulling to raising be The our inflation, largest by for was one margins. Treasury which the absorbed the Central it on It to than interest stimulus. X%, particular, U.S. X%, With X% ones inflation-protected markets. and X%, the historical in generative Banks XX-year really world. own, of over back low and is What higher that interest the us important is assets in remember X%, important though more can first Turning elevated we that of businesses, at standards portfolios of in for rates is hit recently

upfront, in over Our a assets margins of the go investment value the benefit have from capital with have you high expenses forward. periods compounding cost. cost increase tend investments time. our of generally and to expansion most capture are Therefore, The of overall the we earn as low the effects revenue inflation, profound very and high compared more

able to We inflation are on upside. seeing we we market would assets would capture across example, our for based the our exceed outlooks business, be infrastructure of year last businesses. impact many expectations In this acquired and and most

buildings Great more for also in properties. We are great what prepandemic levels than by on returns where increased To construction their York for new This on estate, Within from rents New least rental right doing are at a higher. experience, based wanting building, over XX% years. maintain past are that approximately real rates our now. now X to even have seeing the costs people. XX% we will office be great is increased XX% have companies high-quality space for need

cycles generate similar impacts across it real value to very through strong We're high-quality underscores seeing compound for portfolio assets. our value. portfolio, economic is robust. They return the very Our leasing in continuing pipeline in inflation while of cash and on flows our space

Our strong. very recognize has led this. be clients to fundraising our This

a a have the clients of group world. vast across and very broad partner network We

going forms credit be be fund and our closed of important will addition, our billion. our We differentiated closing at diverse capital In billion, forward. opportunities transition are us. at and $XX have latest fund $XX we'll more even always soon global This

Our has latest real fund will be and over estate by flagship $XX closed raised year-end. billion fully

second have REIT strong and very been expect closes on strong expect infrastructure to inflows numerous approved been funds. and distribution during seeing strong. Deployment increased into second this year. first and now half private of our our also We has the the have our in nontraded quarter funds equity perpetual platforms see inflows for We

number and our numerous have of volatility things. inflation estate including the other billion first from other the our company terms in of strong robust opportunities same remains that some $XX a In public to market particularly leading of in are quarter, car private mission-critical With the transmission of across markets electricity We're in that the bids. us. We successful were companies flows led form a a generate to businesses, At public business for months, committed acquiring Australia real numerous protection. billion is of fund in cash a committed asset and number pipeline dealers, value acquisitions, to billion market and new flagship our markets the closing software assets sales, $XX investor in time, the robust. we $XX dislocation latest number last as

building to We're London portfolio. sell have actively for X sub businesses. other billion Australia mature monetize real estate efforts also XXX and down across in for recently assets Notably, number total agreed of progressing of our rate. to a our a continue assets cap within a to $X sold a We we complexes million office office X% sell GBP

we too world, to We time. this XX wanted number have presence. to not the plans about you in around over do change events recent global and countries Given our remind much over operate for

geography. before a standard the and needs the must of criteria We in met have no of at been countries business Those level the very certain that to We've are: have Brookfield few governance in advanced countries, be which we a in be capital, Russia. about invest for to should disciplined benefits lastly, to in to investing the should foreign country the of proven of across we a so we be sectors, and have able invest meaningfully able we must scale. most be economies of country, the investments get over be respect our time scale

We put these refer forward choosy criteria going about to to will work. will your where assessing continue to remain investment opportunities when we and capital

I Nick, turn to it points to our final end I overall Before over about X with business. wanted

continue see our to we First, accelerating. fundraising

of win. result, And different. and of While to we some widen indigestion, as large franchise our the our our In capital of consolidation, continue sponsors brands a times are breadth makes the diversification business having moat. very

of to a past ever fundraising our have expect few on is year We that and year, record best this years. top

is continue Our advance even our strengths manager meant split to further. to

is In Second, inflation-protected heading portfolio we own a times into, of group and this assets. the is you vast we're own. want cash-generative highly to what what diversified

used should and We the also true We world. next is our over be even past is This to X always this. last, the off widen to and strength. changing XX more starting pay has technology the knew And years months.

to that ago real businesses. valuation, Our With main now us. always become into as we been and XX be will valuations private have lower, added the many We be cash-generative technology is which software many presents issue equity such acquisition enterprise years difference able going made down The versus things sense backbone to recent we business. no often may this opportunity. now businesses believe has that our do great

continued excited XX% distribution first really in about business. buying Nick asset go been our for businesses our of but XX I'll years, support. of technology it laying the to we're for valuations. details pass financial the results more have your We over time over seeds the at now reasonable for and you years, great on to Thank management

prior year and Thank income good morning, that's DE Bruce, and FFO billion, DE strong. up net underlying you, were were across quarter, the in asset billion by earnings and supported results business. franchise and million, quarter $X.X respectively. performance totaled the $XXX $X.X everyone. strong management our XX% growth Financial and before from $X for realizations Distributable or and the the were billion,

asset to year. billion compared fee-bearing prior and that's with up and billion trajectory management ended capital, the its strong. quarter expand Our to the growth $XX We business continued $XXX remains of

February mentioned, strong our our Infrastructure, verticals across and largest currently ever These year fundraising nearly as marketing. XX XXXX of received with debt well series we expect we of in funds fund suite our flagships Bruce products. latest as the to have of In be third infrastructure in fundraising engagement. funds investor As fund a include the complementary launched

we fee-bearing continue to pipeline of in the investments. to expect of be launched channels our this third a REIT. will billion very growth And significantly last initial previous and ramp The on technology strong XX capital $XXX with up resulted over fund vintage. quarter private by $X the our We the grew fund higher earnings, seed number which larger mentioned, vintage the the we fee-related for Bruce directly that as of million XX% distribution equity, months. nontraded fundraising than in In in

revenues. capital of the the annual million This, to additional we is committed for the next current that addition $XXX have In when fee to over our will significant months, a growth plus capital invested, continued incremental fee-bearing tailwind expect raise capital, earnings. of additional in to we billion $XX that, translate few approximately

continue our to realized capital recent recycling performance strong, remain the and to and on of investment to we on investments carried during activities market across track to Moving interest realize Despite mature billion $X monetization up year. are our volatility, activity.

during gross the carried of realization million On estate, $XXX real quarter, interest. and first our within activity realized credit we funds of infrastructure back the

to to We Our continue $XXX in $X.X accumulated interest generated remaining the into of income already. carried valuation interest million unrealized quarter, total billion, has resulting realized been the investments increasing net carried during approximately uplifts. perform what strong of well,

Distributions in the quarter, to by a prior our the earnings. FFO the principal XX% XX% of business. our Operating driven distributable $X.X increased from asset continued that's continue across prior strong strong higher growth recovery the real was BEP supporting as ownership increase well the our investments the than acquisitions. steady The the estate supporting estate We're The was increase $XXX distribution organic largely see billion Lastly, real and franchise, period. FFO driven the our and Total growth our was increase for market. to and billion recent growth compared investments quarter. was from million in for our year. provide management distributions, continuing as BIP by trends to contributions operations, $X.X and at were

negotiations In asset addition large-scale to basis. many executing in interest we're global long-term sales, number leases with with a underway firms strong on new a of also seeing

million flexibility capital if and to of $XX return capital $XX beginning remains and uncalled to share same, We fund new remain $XXX of with provides expect liquidity Since year, buybacks, strong products us which to commitments and of very share to shareholders significant Our deploy approximately with the market the repurchase towards billion financial billion and we've opportunistically, of through seed continue opportunistically. the deployable $XX shares capital ended we includes conditions deployed the liquidity. quarter core of capital, billion buybacks.

we by quarter, existing enhanced XX-year XXXX and million bonds at our $XXX reopening green the liquidity million by During notes. our X.XX% at $XXX issuing X.XX% of notes

before cash Our DE And on American annualized of add liquidity $XX acquisition, that is $X further shortly its closing reinsurance its Brookfield insurance portfolio, billion bolstered of short-dated National assets. by billion assets with realized to liquid $X.X will of billion and including realizations.

dividend Directors pleased at has to of turning our end distribution, June. $X.XX management declared asset per of I'm that share the the payable of the of to Before Board quarterly details a confirm

we estimate be with The today. business. our management share to proceeding of to our our interest $XX a and list that based publicly own our you for will distribute around in As plan are on special XX% $XX or mentioned billion distribution value asset earlier, shareholders each

basis We end Canadian shareholders. by of least tax-free year the the to on complete and distribution U.S. expect at a the to

they the and competitive X successfully to significant they years, we advantage nature, are well businesses, XX worked capital franchise asset by the a in while last management has X our The And different us. Over together. combination very been have side of investments alternative grown have our side.

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private has economy. we on over delivered real our Our achieve operate last to been fee-bearing form set we of $XXX we way. around services also own capital. built returns to XX equity, business the clients investment gross, verticals listed our our And assets provide of operating success we for to acquiring, backbone billion further the a as a feel, our billion net. returns approximately And the prices and power tremendous years Today, look at management, optionality has we competencies essential has This, global growth stands large have of XX% & which a of has the business and across XX% estate decentralized and order and years growth focused $XX the affiliates security opportunity. ahead, for public the and infrastructure, similar owning our around capital the on we're of up respective renewable created at under to with and of the been BAM management assets, in operating forward, Each a along and and billion and that real growth looking XX% has excellent billion see teams striving dedicated have next return XX strong compounding basis the $XXX share last transition, returns. their invested years. contributor in, capital core business with over and roughly All performance to and singularly their XX now access alongside the around of and delivered have clients north $XX the benefited, credit

our management $XXX the double than is over will our business, more than For X to over double our years more which capital turn our in to plan asset revenues. fee billion, fee-bearing next

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our year continue and Central be this do still will the north the value culture. concluded our has of with XX it Going between will is alignment. of degree their we And that long be capital and last forward, is our operational benefit our everything learnings been Applying recycling that and we over compounding the will and change. a at term. manager, complementary a business investing people there this alignment and and our preserving years, a very XX% strong differentiating asset benefits to of and the not the nature of while shareholders as over one always optimize of the we to and our plan separation have capital best growth, that to our clients, philosophies

alongside to be capital will in our We and have capital and and we always made includes affiliates, funds and to BBU. clients, continue our sure own so. perpetual to invest do BEP, continuing we our to This alongside commit our us will invest investors LPs, to BIP, continue anchor

will our ensure not people We continue alignment also our well. strong as philosophies investment the change. and to And business our of with shareholders and will practices clients day-to-day

to require in XX% have an of of should multiples The billion approximate and a investor direct XX% base. does market the value have As interest, managers ability shareholders allowing management in $XX asset our mentioned, X it of free float and asset allocation going valuation manager a view, alternative asset-light current as on our a own based have expand will midpoint It therefore, day to will, to it carried of around shareholders, not a payout subject and equity leverage. more manager to to high we we asset date. billion. corporation ratio, our plan is business which addition around will to the will our pure-play own initially and The This $XX investments in at minimal much higher, of and XX% the or forward, capital that existing have $XX value billion distribute will interest capital look business, $XX asset to of the our prospective comparable management we interest billion. in

corporation its it and on capital payout investments. the its ratio as a new continuing deep build and reinvesting hold investing leveraging have expertise. will corporation businesses by compounding of will focus around operating total, in and to The So lower billion $XXX will

We Before a any I wrap debt or points want holders few not over our up, worth I just preferred transaction. noting go to the impact expect on to do shareholders.

tax any we not do so preferred Our will shares shareholders, and The distribution dual-listed now. impact the Exchanges. Toronto of as our working the the It currently structure Canadian impact same Canadian and held U.S. for that at ratings. tax-free be other corporation, a distributed will of are on to our it's shares New the our will manager will but The be be through and that to split Stock and anticipate structured borrowings York jurisdictions. be we C-Corp will and be structure

ensure will their in the conversion equally We that an A to as result a economic shares. shareholders Brookfield shareholders treated are perspective of Brookfield reinsurance Class feature from

timing, of a we arrangement. of filings completed, including issuing that have Between and you updates that call available to expecting provide number we are for will the be quarterly shareholder Investor customary a will number this details on that court we the through turn now end time, There year at of questions. be I'll through, now In your Thank and of to a will but the Day be Annual terms operator for and sure as back will they a of completed worked plan our approval. are are the become September. prospectus regulatory in and being call earnings then, before our

[Operator Kwan Markets. question from And Geoff line with Instructions]. Capital our of first the comes RBC

that there My sometimes sectors infrastructure of Have whether opportunities side down the seen particular used active so? was, And maybe securities or to than the or first if top in seen kind buy over In Brookfield on private was the we've has or more or it those month of others? or turbulent BAM other were of words, parts were side? parts so, equity that house the given when markets the past past, what you question in been we've doing companies.

Bruce. It's

some. we from down, is is you as is to S&P know, XX%, we So is time are the and buying though, of NASDAQ is buy when Dow or time and would markets say off XX%, the off our going securities XX%. yes. XX%, have off of broadly, been answer XX% NASDAQ off I In funds, half do some

crystallize real even really have we in more of many them on importantly the that been obviously, it. So in able maybe or been declines than securities say private. X process we've transactions, And which us. monitor public them to the haven't months, over past take have those, But to continue, private taking are that, X, the been of of interest occurred to we the working market I'd and

additive. been So highly that's

And Okay. other business. is that M&A I on the that side the led had actually of into the question

has what in there businesses you're happening in markets, Given, seen they prices, not in seen at side, that what's been we've types And it's given you? has deals or the then again, also the adjustments of geographies? the seen for okay terms turbulence, have the of you been of or funding whether asking been that and you've have markets? looking from generally signs adjusted been Or certain

financing on of just I'm maybe wants or and the available I'd answer one that in going and a the businesses financing go cover Nick just would that businesses. say good I then it markets. on on to maybe everything quickly good we just to for in category the generally, put And specifically Nick to it. freely capital buy can market is But

still available to assets everything Yes, that strong But for looking do in is financing reputation. a with we Yes, I are tighter. have to and and capital found readily new sure. businesses, Bruce's we've sentiment been good financings available. still Definitely, or Happy that refinancings, with Geoff. agree sponsors for broadly markets good liquidity

like generally, their or they're to What And would auction more. question a selling take the running for prices? it's changed markets to an is, And board when the question, market bid. I decided say they and in values want sometimes keep or have longer. just the to this, lower I in transactions your on second companies the in generally, people in marketplace, assets ask first

periods much when So more than strong. it's I much is these ratio your would strike say -- significant markets time at are more in

Securities. line question of Radbourne Your TD next Cherilyn the with from comes

estate. is real first question on The

And I us, that you also Your on assume letter was But specifically. repositioning very estate? the estate, references ultimately funds. a high-level are invested update color on progress of at give one, and balance the values. been reducing us hoping several real made in BPY give some real dispositions could out for property And environment capital dispositions that's sheet those fundraising the I portfolio strong the

So with, the I'll and maybe start start the end think, your I of question.

we been have have So in selling fund. the exclusively assets not been that

the we're off office referenced directly that would Some we selling of balance of sheet. be the that BPY/BPG

in and comments it's mixture but real the highest So to estate back it quality is which, the that as of X, a some in the and what made seeing, are earlier, we office own our very is we of seeing portfolio for what assets for comes our market. you still we in the highest know, bids them strong are funds, we largely private private quality the

of X. combination to And back a owning of this in real environment. again, it's fundraising, the assets inflation-protected this in attractiveness So the comes our

fund. real perpetual actually constructive investors compared as environment. closest closes pick the of fund, for We that comfortable inflation seen the fundraising real had continue estate up in attractiveness many up We're estate last quarter people high-quality more the strong and that owning fundraising to We And with to next we've fund. the latest get linkage. first year flagship Supercore a our to engaged with see our last for estate in then real for year building

color. when public Nick. is become markets you about for helpful volatile, naturally then Obviously, interest. the I That's Great. get And think, as one, investors carried the next worried the well,

the market? to that realizing how the public to the $X during strategy, and And billion the much So carried that was interest carried also on by growth the the an of of hoping visibility you would could unrealized has company of be you exit strategy balance think interest dependent to speak involving XXXX? composition

And this little have, the would right that assets, to what is strong reliant private Cherilyn, have of doing in them very of issue, we the gets in end and capital the very dispositions markets. public a benefit we the predominantly look the little on The past. in majority real potential these we are still would about levels the very at to the buyers be desire talked at we've of as own Yes. question your global assets. -- markets diversified owning inflation-protected to portfolio, strong transact which of And

So based as we change public and attractiveness subject on pipeline broader it's to timing. $X reiterating little and composition, private the attractive look in through on billion, interest believe still that and assets, still that's in still achievable. the markets our number. And reliance the we we're Obviously, But what markets. the very in again,

next Kenneth from Your Worthington JPMorgan. with comes the line of question

an valuation some if using billion valuation business XQ You you highlighted the And you the we $XX it, for the an look the what to make off? asset we're would missing math asset example, put anything. management hard rough be as that spinning know to what that you're we for but Maybe earnings sure at both? us attributed with numbers if can billion $XX business. not conceptually get to doing, think around I share management 'XX you're you're it'll

Ken. Sure, Yes.

our fee-related some of using I disclosed think but real interest annualized the details we and as the our in to it. inputs the carried earnings So letter, we're target

And our intrinsic and obviously our $XX right of that's on business the numbers, for the the the we've could a taken carried X $XX gross of then and be just is of at range. what of we value annualized range. used gets and $X view, So kind billion. X.X interest, the based value and multiple, range that billion billion, think that taking to we've the unrealized, planned XX%, it XXx us What fee-related value, and earnings, market-based of the of annualized that's accumulated at the and the midpoint over X.X worth for XXx we at to time. used XXx We've around the midpoint now of used

co, that management perfect. spin-off? the you to business are there. it the you to what definitely value is if That's better So did maybe of public prior to business, value public currency is have the the So grow so you more leading better management on And in value. ready or And unlock unlocked asset grow I But faster think And also the part yields is new to that new the do, the do otherwise Excellent. of creation understand does than been assuming better business, highlighting the can valued for the there the there motivation opportunities? highly spin-off can to you currency a the asset future position case? then than spin-off? use there's the spin-off spin-off would as are management

can manager. it's Bruce. answer yes. they say value time us expand our so if that an does, manager. doing industrial to realize it shareholders, allow the logic this an Yes, reason we a is security from for And an that, and utilize I unlock asset would to have we capital is of we in on if doesn't But may real it mixing realized choose. quicker all benefit of otherwise the we're asset It this then to And that with security may they might trade And than of time the extra is have as marketplace it. the

because transactions not be it or So to able otherwise dilution in do would it should us, to the shareholders. allow businesses, do to want other to our not of do has we just like undue

of going to it's think we next the be helpful very So over the for growth XX business the years.

question of with Robert from KBW. next comes Lee the Your line

questions. Great. Couple of

the are a going follow-up. on. the management flows and kind any beyond of can of be believe channel? seeing, then much expectations a you terms dig maybe to a of getting range management? for So retail wealth deeper could new what platforms wealth of have environment, to that maybe you billion that, your deeper given $X you of perpetual that you're products now you from this maybe in pullback little we initiative? But I or to a little maybe of billion Are have first, the into quarters? $X wealth management pointed dig are coming driving And currently I that in And over how

over going wealth, overall that going are within like Look, but next right the wealth through in. and the in investors growing times invested general, business for should speaking, And to is but be we formed significant. our now management are fast the it's prove to going wealth going relatively to distributed today, getting it's be only just have are And these to organization say private that small, of type products things they years. we're the just I'd XX be

we exact perpetual will As from today, is to the to raised specifics, increase most time. flows but of money institutional continue products over that the private it in

of following, your then maybe as peers, notably if and platform. kind tap basically deal businesses, businesses, others origination portfolio the but of their Great. have are of will, a Many created capital look follow-up. And companies the natural including flow, most to markets you into but KKR,

that investing is a How the you're about business entering, for asset post maybe So currently? thinking should we or opportunity business spin that management think in? that you're about that

that of I'd than most different say thing only The is those other little business our organizations. is a

We a that fundraising do very sell. have that vast we relationships received to just acquire type significant capital banking assets and of organization we the from transactions, and

it do of it's not haven't we date, have up set to not done that groups, it the date. in but future, to couldn't just those one So we we

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

of a Is of have? scaling it its to the more stuff to back will already Is little it gave that on open have you Can kind up that? one for are trying you faster go questions of of just capability? trajectory the it opportunities on just I'm manager put some over Is the opportunities bit better growth? to put the you meat this on get the I some up bone to what it having those Bruce, cost a will asset that a term. feel for the wanted some long of answer of own capital arguably geographies?

you to to we security this all It's a do. it's cash you parent think so to can't within I often, great allows diluting do add things. Look, And of us people if offer us that which for when what in offer, to ties wouldn't otherwise a that's want have intention have transactions. sector will And you to can for it above. our have exactly into the security, taxable will the to otherwise Brookfield don't It do. or And another apples not could And any our allow apples that's future you that geographically we that's which somebody will expand business business. things allow within to they do don't of a do. things we people have do shares, security,

was you a the Was I'll Nick. that's number to and getting any opposed it's for different -- call And XX% it, behind there spun-out? any, both science as maybe there

we be and about, inputs would that and corporation think material No, free we was share think and the a talked few have, scale. to to as we debt existing Sohrab, but maintain have think the And I float enough at preferred and to wanted to we attractive investors want balancing large I there commitments a that, on up ratings. side,

creates that that was alignment preserves we maybe we a the with And there is a So owning success the going XX%, variables, of to point. important, business. really XX%, but starting that which good and corporation think alignment most few important felt at was forward, this the still

of comes with Goldman next Alexander Sachs. Your Blostein line the question from

billion kind the kind a of billion to spin $XX the and have the guys get of the the back is and space mark-to-market kind public comps, that. or punitive number? clearly, how guys several public you last Nick, to in that closer old to with just, be plan came pretty as of Is happening to been of valuation $XX likely heard markets what's more valuation months. set framework the reflect adjusted to But So the with up you your

thing helpful always to accomplish. and trying to only our say going to where we're we're what and is are be trying shareholders we So understand the were I'd

spinning to just "We're opposed business," the So to parameters of out XX% value around trying just we were put saying, as of it.

So now on what what told the parameters we've market it be now gets from are. you when Everyone And it spun-off, will will worth. can decide. the decide

this we worth whatever no now what on, can y. it is make value own people there's decisions were it's to x So make scope -- their It's what trying is. all trades real to or do as from of is. the sure just -- not will understood and And scale It decide for. and people be

to determine of GP that it Because like makes over capital, likely go what will things Does really commitments, just follow-up the like, manager around company the My for sort sheet and corporation also co-investments, down of asset happen it's entity? on percentage it. That so dependent structure, kind capital sounds second management the seed will that. asset ownership stand-alone that the around of as sense. bank the a become new is still time? Got ownership be Or the the needs, management ultimately legacy balance XX% that asset company. some what in spun-off

asset sheet Just on be the based is likely balance to the pretty light. on comments that manager

relationship the are you shareholder in asset about And how be that thinking minority the public management a So time? over always essentially company? will

intention very -- in interest current to in corporation meaningful asset our the a the in manager. keep parent the corporation Look, is

know So what that I don't number is.

we to time may run. interest business, be were say significant trying issued And to the are to make there's the asset I'd to got aligned. sure together. number. shares. said could shares selling to down, no our just Just manager a over by down is be like possible XX%. XX% a always as all very And we to have earlier, And alignment, we forever. to sure it's it in and manager diluted before the say, of make I But businesses capital it We that the grow sure it science make diluted asset in sort walk transaction It intention float, was or guess the Nick that could because raise do therefore, we

float manager number, almost when especially other X like XX% alternative every than X. probably seemed bigger billion in is $XX So than good or themselves a

other alternative than marketplace. our most XX% managers bigger in the So is

just have And options no obviously add that over of available all time. in I we term. ownership these But be Alex, are short the the reducing would to intention

of question Scotiabank. with next the from comes Mario Saric line Your

The decided on the Bruce, composition highlighted kind how you're you think the as the of I coming management kind what you've spin-off, run. you Nick questions. think of terms of already, and do Have enough benefits Bruce team? highlighted I busy the not of specialized composition team, concentrated having and of in to C-suite manager, that and and of management as think about shares asset letter you the back kind of benefits just the X transition of if the incremental if

Of bit. course, a little we have

have the to all should them. time of We businesses. stay it Brookfield exactly being, the then But today separate And say what time, we'll running -- of people in is make we probably just fullness of some final they'd this decisions. guess over same But time for are, they I these figure the both as the are I'd time. and out

question, my the without in attached within cash going then how be may Can remain flow. tax being flow forward invested asset efficient cash just going to to of And talk capital second terms you about that the corporation? that's manager the the Okay.

Mario, it's Nick.

currently there I think to be that no manager. the profile we significant of tax current assume will change the

Your the Wilkinson comes from next Dean with question line of CIBC.

question Nick, just for one you.

is what to get is, On that the X%? does transaction, asset -- payout carry yield that to trying manager X% on the to something the closer the looking or I'm post XX% include

include earnings the on everything. would would It of the manager, so total be distributable it

everything. Include

X% looking enterprise $XX this to probably is value? an X% be a where at would yield billion So

using Yes. those In that range, multiples.

of the line Brian next comes with from Bedell Your question Deutsche Bank.

couple. a Just

capital You faster, like other a there fee-bearing FRE that period, seeing you at it in XX% leverage thinking model change would be X-year I factors growth the is talked rate. -- over are the that? similar would about there or guess, would doubling imply or grow would a you that a rate compounded the Are growth

has Brian, maybe last what FRE year, grows and we that higher with marginally I from that, around in in it's out think we're and put Investor nothing Day, changed consistent than but range.

clarification. X Okay. Great. And then just

the curving million in example, and similar component? for affiliates carry, the earnings, fee-related the on quarter out spin, is structure but perpetual not the P&L $XXX first post spin-off, So the the it's the

That's correct.

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So total the distributions and it's carry not the total investments. from FRE and the perpetual

And with of question from Robert next comes line KBW. Lee the our

Great.

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fund than So it's billion. larger a $XX

out year. to So close than when will $XX date. closed been billion is what's figure it's larger fully It raised this at a that

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Yes.

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Sachs. the comes from next with question And Goldman our of Alexander line Blostein

this from questions. couple a of maybe Just and business-related away offer

rising I So could use Oaktree team some markets the credit wanted opportunities credit right now to volatility the in obviously in of probability default. the of on markets and credit and given zone

XX to across XX So are over the as the think months? the of both seeing and what of next franchise, kind opportunity you for you sort guys Oaktree about deployment fundraising

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out short period franchise get for of did to and came Which us own XXXX, be March, in a of June of funds. April, really a of in money period lot is the raising good will fund out opportunistic another large relatively deploying this May, its time going So their within into put time. capital back probably and

your from Saric the with line Mario Scotiabank. of next And question comes

more. X Sorry,

nontraded I of next thought to should the bend assets capital changed into but you back any fee-bearing capital in kind today? able may we in the what's growth years at this, number all former within on? of the platforms BPY on let's REIT, or Have the your currently has how REIT to And REIT, coming the that? Just been think over nontraded say, that the the process fee-bearing have X REIT missed that given about the is REIT, roughly increasing

may REIT portfolio is portfolio could assets the suitable going some that the we strategy. And launched forward. have Yes, in be billion, nontraded Nick. we the seed we it's the today value when around what Mario, $X be the gross asset of seed assets into in did there and

M&A As we sort acquisitions pipeline perfect portfolio of with this kind then an of own excellent have of to new that are that we attractive kind you be for will attributes strong these platforms, know, security. but also for a

to of I They're not to get that huge effort that bank the on banks. on not lacking. have fundraising, remember many the on you think channel. There are And exclusive. is of get a acquisitions definitely So pipeline the platforms it's very the platforms to

we the as gets that to education, so we to line, of and And have fundraising in start the now years. and on we months expect the the up, now. ramp and coming kind them do said, to And we're us

flows move forward. So is as early increase very, really the and will the in we fundraising now just stages, very

around expect based just you're long then like like? platform, the to to once kind on the of your past growth do you And market, on Great. for experience fundraising mature, it how what's the take

is the X pick but in the And an all. months, enormous for next underallocated materially. up happens X we'll Mature capital Mature in massively there hopeful. system takes of what that's I because to months, take should wealth see time, next we're broadly could expect amount numbers time the

think looks like ramp-up see the it. next why the much X unknown, that's the come. maturity on focus so us, for But there's to should So is I we months, what start and

And I'm showing this further questions no at time.

Suzanne So with back Fleming over closing that, call the remarks. for hand any to I'll

Thank the everyone, with us. you, And for operator. that, joining we'll conclude Thank call. you,

participating, for gentlemen, today's concludes call. you you and and this now Ladies Thank conference may disconnect.