Investment Q&A

Q: as an owner of this Preferred I am interested in how Brookfield Properties is doing but never seem to be able to access their latest financials...lack of know how on my part...would you be kind enough to summarize the latest financial performance for me ...please and thank you

Q: I am considering taking a position in BPO.PR.C
Attractive yield, 6% min as well 5.18 above 5yr when resets.
The question is would BPO ever default?
Are they allowed to buy these back on the open market?
Your opinion please,,

Q: Please advise. Hold or sell. Forget buy, I'm not sure about your recent response to pat saying there were numerous responses to similar questions. There should have been so I assume I was doing something wrong in the search.

Q: This preferred has taken an awful dive, please speculate on causes, tia pat

Q: As an owner of these shares I am trying to ascertain the next call date for this security..is it 2026 or can it be called/redeemed earlier , and if so , when and at what price...Is there a resource available where this info is readily available to investors...thanking you in advance for your reply...Cheers

Q: in a follow up to my question on the above which i asked yesterday and you quickly responded to there was an announcement last night regarding the dividend rate for the next 5 years...my question today is the news release says "If declared "...does this mean that they may still redeem the preferreds or am I to assume the prefs will live for another 5 years....and assuming BAM is successful in taking over BPY then these shares would become a liability of BAM providing a credit rating boost...Correct ??...please deduct whatever credits are applicable and thanking you in advance for your response...Cheers

Q: Hello 5i Team
Further to Cam’s question on June 01 regarding BPO.PR.C and related BPO.PR.N
Brookfield Office Properties announced (see Brookfield Property Partners website) at days end on June 01 the new reset dividend rate.
For the readers information, the reset rate is usually stipulated in the prospectus as being set at end of business day 30 days before the reset date. Some companies are very prompt in issuing news releases for preferred reset issues and some are not!
Why do you think Brookfield did not redeem the BPO.PR.C issue? At the new reset rate of 6.117 %, I would have thought BAM/BPY would have been able to raise debt at much lower rate, considering BAM raised debt at sub 3 % in April 2021. Or was this a case of in-opportune timing, with the preferred share issue being available for redemption prior to the closing of the BAM/BPY takeover?
Thanks

Q: I currently own some of these shares and am trying to find out if they are being called at the end of June when they are subject to the 5 year rate reset...are you able to tell me if an announcement to that effect has been made yet and if not provide a good website where I would be able to ....I monitor the BPY news releases but have seen nothing yet...the date of the meeting for BAM. to acquire BPY is after the reset date and not sure if a redemption call could be made prior to the meeting...any insights you could provide would be much appreciated...many thanks

Q: with regards to the proposed takeover of BPY by BAM does this increase the credit quality of this preferred...ie..is it a direct obligation of BAM once completed....and does it increase the likelihood of redemption at par later this year...many thanks...Cheers

Q: I am currently looking at taking a position in a preferred issue. I have identified BPO.PR.C and TRP.PR.C. as two that might fit my portfolio. The concern i have with TRP.PR.C is that of it resetting on a floating rate basis viz a vis BPO.PR.C which would be less desirable. Both companies are creditworthy to varying depgrees, so it comes down to the reset standard and reset dates. Could you please provide your comments and feel free to add any other similar preferred issues.
Thanks, David

Q: Could i please have your thoughts on Brookfield Office Properties preferred shares. Are these worth investing in, ( safety of dividend, creditworthiness), and, if so which series would you consider.

Thanks,

David

Q: Hello 5i Team
I own several Brookfield entities (BAM.A, BEP/BEPC, BIP/BIPC, BPY/BPYU and BPO preferred) in various accounts based on tax effectiveness/reporting (based on my own interpretation).
1 - What would be a reasonable percentage of an entire portfolio (non-registered, RRSP and TFSA) that should be allocated to the "Brookfield Empire"? My thoughts are an investor should have no more 10 % of an entire portfolio invested in the various Brookfield entities as an optimum amount.
2 - What would be the absolute maximum of an entire portfolio (non-registered, RRSP and TFSA) that should be allocated to the "Brookfield Empire"? My thoughts are an investor should have no more than 15 % of an entire portfolio invested in the various Brookfield entities as an absolute amount.
3 - What would be the allocation of the amount invested to each of the Brookfield entities in the portfolio amount allocated to the Brookfield entities (i.e. BAM.A 25%; BEP/BEPC 25 %; BIP/BIPC 25 %; BPY/BPYU 20 %; BPO Preferred 5 %).
I have not included BBU as part of the question as I don't see the need to invest in it.
Thanks

Q: What is your opinion on these 6% minimum reset preferred. Are they still considered AAA and, as they (B.P.O.) are now under the Brookfield Real estate umbrella, how safe are the preferred dividends in the foreseeable future, anticipating some decline in Office occupancy worldwide?

Q: Regarding your earlier response concerning rate reset preferred shares with a minimum reset of 5% (ALA.PR.I, BPO.PR.C, BPO.PR.E, ENB.PF.I, PPL.PR.K, BIP.PR.B), what is the tax implications of the Brookfield ones noted above? Is it foreign income? Are they treated as eligible dividends? Any withholding tax from a U.S. partnership that cannot be recovered would impact the advertised yields. Thanks!

Q: Hello I notice that Brookfield office properties prefs have been rallying. Does 5i know why? Could it be due to Artis reit etfs recently being called at $21? Also, does bpo have a common stock listing?