Brookfield Asset Management (BAM) Investor Day 2024 summary

Strategic Vision and Market Positioning

• Plans to double assets under management to $2 trillion in less than five years, leveraging established and rapidly scaling strategies.

• Leadership in infrastructure, renewables, credit, and real estate, with a focus on digitalization, decarbonization, deglobalization, and artificial intelligence.

• Business model enables access to the largest and fastest-growing pools of capital, including institutional, retail, insurance, and public market channels.

• Operational excellence and a decentralized, owner-operator culture drive high returns and client loyalty.

• Expansion into new products and geographies is supported by a strong track record, scalable platforms, and strategic partnerships.

Financial Guidance and Growth Targets

• Targeting $1.1 trillion in fee-bearing capital within five years, with a 16% CAGR for fee-bearing capital and 17% CAGR in fee-related earnings.

• Expects to more than double cash flows and profits due to operating leverage, aiming for a 15%+ long-term annual dividend growth rate and a ~95% payout ratio.

• 87% of capital is long-term or permanent, projected to rise to 92%, supporting stable and predictable earnings.

• Credit business to grow from $238 billion to nearly $600 billion, with private credit expanding from 30% to 50% of the mix and targeting 20% CAGR.

• Revenues projected to reach almost $9 billion, with margins expanding to over 60% and distributable earnings growing at 18%-19% CAGR.

Business Development and Client Strategy

• Deepening relationships with top institutional investors, family offices, and insurers, while targeting underpenetrated segments and cross-selling tailored products.

• Retail wealth and insurance channels are rapidly scaling, with private wealth expected to grow at a 30%-50% CAGR and a $200B+ target for Brookfield Wealth Solutions.

• Product innovation includes tailored solutions for insurance, new verticals for private wealth, and expansion into sustainable and digital infrastructure.

• Co-investment and partnership mentality foster alignment and repeat business, with $40 billion in co-investments delivered over the past decade.

• Strategic partnerships and selective M&A, such as with Oaktree, 17Capital, and Castlelake, enhance capabilities and market reach.