Brookfield Asset Management (BAM) investor relations material

Strategic priorities and growth levers

• Aims to double business size in less than five years by leveraging products, partnerships, performance, and individuals, focusing on digitalization, de-globalization, decarbonization, and AI megatrends.

• Over 70% of current fee revenue comes from products and strategies launched in the last decade, with complementary and ancillary products expected to drive two-thirds of fundraising in the next five years.

• Partnerships and bilateral deals have created $40 billion in deployment opportunities for 2025, supporting scaling of existing strategies and launching new ones, such as AI infrastructure and financial infrastructure funds.

• Individual and private wealth investors represent a major growth opportunity, with $10 billion expected to be raised this year and a focus on tailored products and dedicated teams.

• Building an investment-led insurance organization (BWS) to scale assets to $600B+, supporting sustainable growth and capital efficiency.

Financial performance and five-year plan

• Exceeded previous five-year targets, growing fee-bearing capital from $277B to $563B and fee-related earnings from $1.3B to $2.7B, despite market uncertainty.

• Achieved 22% annualized distributable earnings growth and 16% plan value growth over the past five years.

• Next five-year plan targets doubling to $1.2T in fee-bearing capital, with 16-18% annual growth in fee-related and distributable earnings, and 87% of capital base long-term or permanent, rising to 92% by 2030.

• Set to grow earnings per share at 20%+ annually over the next five years, with a diversified 25% CAGR earnings growth profile when including carried interest and capital allocation.

• Plan value per share projected to increase from $102 today to $210 by 2030, with a clear path to 15%+ annualized returns for shareholders.

Capital allocation and business model

• Maintains an owner-operator approach, investing significant capital alongside clients, focusing on essential, durable assets with long-term cash flows for resilience across cycles.

• Centralized, disciplined capital allocation framework reinvested $31B over five years, including $12B into BWS and $2B in share repurchases.

• Expecting $53B of free cash flow over the next five years, with $25B in excess cash flow available for new investments or shareholder returns.

• Investment-led insurance model focuses on real assets, low leverage, and high-quality, predictable earnings, targeting 15%+ ROE.

• Dividend policy targets an 85-90% payout ratio, with most capital returned to shareholders and remaining funds used for M&A and seeding new strategies.