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Brookfield Corporation Class A Limited Voting Shares (BN)
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Brookfield Asset Management Ltd. Class A Limited Voting Shares (BAM)
Q: What is the relationship between BN and BAM? I read that BAM just sold several different major assets at attractive prices, bur did not hear anything about whether BN would benefit from these sales. Does BN own a piece of BAM, or vice versa? Which is a better buy if i already own BIPC and BEPC?
5i Research Answer:
BN owns a 75% stake in BAM. BN is the holding company which owns stakes across the whole suite of Brookfield businesses. BN makes direct private equity investments with partners (including BAM). BAM is an asset manager that manages investments and capital from partners including BN. BAM is more income oriented while BN is more growth oriented. While it depends on ones risk tolerances, BIPC and BEPC both tilt on the income investment side so we think BN for growth could be beneficial. We have previously publsihed a blog here when Brookfield initially did its reorganization: https://www.5iresearch.ca/blog/brookfield-asset-management-bam-vs-bn