Brookfield Asset Management - INVESTOR DAY SEPTEMBER 26, 2019

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Brookfield Asset Management - INVESTOR DAY SEPTEMBER 26, 2019
Brookfield Asset Management

I N V E S T O R D AY
SEPTEMBER 26, 2019
Brookfield Asset Management - INVESTOR DAY SEPTEMBER 26, 2019
Agenda

Global Market Overview
Fireside Chat with Erik Schatzker, Bloomberg TV Editor at Large &
Howard Marks, Co-Chairman of Oaktree Capital Management

Strategic Review
Bruce Flatt, Managing Partner & CEO

Financial Review
Brian Lawson, Managing Partner & CFO

Q&A

                                                                    2
Brookfield Asset Management - INVESTOR DAY SEPTEMBER 26, 2019
Global Market Overview

FIRESIDE CHAT

Erik Schatzker
Bloomberg Television Editor at Large

Howard Marks
Co-Chairman, Oaktree Capital Management

                                          3
Brookfield Asset Management - INVESTOR DAY SEPTEMBER 26, 2019
Strategic Review

Bruce Flatt
Managing Partner & CEO

                         4
Brookfield Asset Management - INVESTOR DAY SEPTEMBER 26, 2019
We have
four main takeaways
       for you

                      5
Brookfield Asset Management - INVESTOR DAY SEPTEMBER 26, 2019
1

     -2% to 2%
We seem to be in the next phase
of global interest rate backdrop

                                   6
Brookfield Asset Management - INVESTOR DAY SEPTEMBER 26, 2019
2

                            If so, alternatives allocations
                                   are increasing to

                                     60%+
 Alternatives are no longer Alternative

Notes/Assumptions:
1. Refer to slide 19 for details.

                                                              7
Brookfield Asset Management - INVESTOR DAY SEPTEMBER 26, 2019
3

Including credit, our next series of
  global flagships should be…..

    $100 Billion

                                       8
Brookfield Asset Management - INVESTOR DAY SEPTEMBER 26, 2019
4
Oaktree assists us to prepare for the next downturn

                                                      9
Brookfield Asset Management - INVESTOR DAY SEPTEMBER 26, 2019
Over the last year…

                                                      Raised over $50 billion

                                                        Deployed $33 billion

                                                        Realized $19 billion

                                                  Added a premier credit franchise

Notes/Assumptions:
1. For the period July 1, 2018 – June 30, 2019.

                                                                                     10
Total assets are now over $500 billion

  $509B 100,000+                                                             1,800+              30+         $227B
   ASSETS UNDER                                                              INSTITUTIONAL                   FEE BEARING
   MANAGEMENT                             EMPLOYEES                            INVESTORS         COUNTRIES     CAPITAL

Notes/Assumptions:
1. As at June 30, 2019. See Notice to Recipients and endnotes, including endnotes 1, 2, and 3.

                                                                                                                           11
But global risks are building

European rates are upside down

The technology nifty fifty is a large proportion of markets

Currency wars could be disruptive

Political extremes are everywhere

                                                              12
Our growth strategy continues to focus
             on three simple factors

   1                   2                   3
Increasing         Growing our       Investing wisely
alternative      product offerings
allocations

                                                        13
Across all major capital markets
interest rates are low, or negative

  U.S.          EU         Japan

                                      14
There are two consequences
  of this rate environment

                             15
1
                               Asset values are going up

                                    100   =       $20
                     basis point                 BAM value
                  cap rate reduction             per share

Notes/Assumptions:
1. Refer to slide 81 for details.

                                                             16
2
Allocations to alternatives are increasing

                       Since 2009, ~$6 trillion allocated
                               to private assets

Notes/Assumptions:
1. Source: 2019 Bain Global Private Equity Outlook.

                                                            17
And targets are growing at an accelerating rate…

                                                                     25%

                                              15%

                                               2016                  2018

Notes/Assumptions:
1. Source: Willis Towers Watson Global Pension Assets Study, 2019.

                                                                            18
But if we are in the world as described,
                           our 40% target will likely go to 60%

               20001                                                 2018                      20302

                                                                                           40%         60%+
                                                              75%           25%
             95%                     5%

                                          Equity/Fixed Income               Real Assets/Alternatives

Notes/Assumptions:
1. Source: Willis Towers Watson Global Pension Assets Study, 2019.
2. Brookfield estimate.

                                                                                                          19
Because investors have no alternative

                                        20
~$25 Trillion
                                         will flow to alternatives

Note/Assumption:
1. Brookfield estimate of target allocation to real assets/alternatives by 2030.

                                                                                   21
To sum up the opportunity

1   Alternatives are one of the few places returns exist

2   Institutions are continuing to increase allocations

3   Capital is increasing exponentially

                                                           22
Investors are also consolidating
   the number of managers
         they invest with

                                   23
According to a recent survey

                                            ~25%
                        of all capital raised was
                 by the top 10 largest asset managers

Note/Assumption:
1. Source: Alternatives in 2019 – Preqin.

                                                             24
Our private fund strategy is evolving

    1              2                3

 Flagship      Perpetual         Bespoke
  Funds      Core Strategies   Opportunities

                                               25
Our flagship funds are growing

       (billions)                                   Previous Three Vintages    Current

       Real Estate                                $1.0       $4.4       $9.0   $15.0

                                                                                       1
       Private Equity                             $0.8       $1.0       $4.0   $7.8+

                                                                                       1
       Infrastructure                             $2.7       $7.0      $14.0   $15.2+

                    2
       Credit                                     $14.5      $7.2       $5.1   $12.5

Notes/Assumptions:
1. Still in fundraising period.
2. Represents Oaktree distressed debt strategy.

                                                                                           26
Last year,
we highlighted our added focus
on growing our perpetual core
     and credit strategies
      Our clients need it to replace bonds

                                             27
In the past year, we more than doubled
 our perpetual capital commitments

                                    $60+

                    $6

        $2

        2018       2019        Long-Term Target
                  (billions)

                                                  28
And Oaktree adds to our current franchise:

      World class management team

      Scaled credit expertise

      Counter-cyclical fundraising strategy

      The ability to deliver scaled credit products

                                                      29
Today, the number of ways our clients can
   allocate capital to us is increasing

 Separately                      Special
  Managed                      Opportunities
 Accounts                        Program

              Co-investments

                                               30
Leading to a growing institutional investor franchise

                                                   +157%     1,800+

                                        700
                                        700
                                +150%

                     280

                            1                  1                          1
                     2014               2019               With Oaktree

Notes/Assumptions:
1. As at June 30.

                                                                              31
But investing is always competitive

So we try to use our competitive advantages in everything we do

     1                       2                       3
     Size              Global platform            Operating
                         and flexible             Expertise
                          mandates

                                                                  32
We invested over $33 billion in the last 12 months1

              84%
                                                       9%
              NORTH AMERICA

                                        $33B
                                                 ASIA & OTHER

                      4%
                      SOUTH AMERICA                   3%
                                                     EUROPE

Notes/Assumptions:
1. From July 1, 2018 – June 30, 2019.

                                                                33
New investments are currently being
      driven by four themes

                                      34
1. Special situations in North America

     Forest City                Westinghouse

     $6.8B                       $4.0B
LARGE-SCALE CAPITAL         LARGE-SCALE CAPITAL

                                                  35
2. The interest rate inversion, particularly in Europe

                                                         36
3. Banking stress in India

                             37
4. The reorganization of balance sheets in China

                                                   38
Irrespective of markets and politics,
           we continue to focus on:

1   Maintaining
    disciplined investing
    standards                2     Deploying
                                   capital
                                   for value

3   Being patient,
    waiting for
    market breaks            4     Recycling proceeds
                                   into higher yielding
                                   opportunities

                                                          39
Before getting into the numbers, we summarize:

       Our franchise is broader and deeper than ever before

       The backdrop for client capital is strong and increasing

       Despite lots of capital in the world, few people have the
       skills to transact in areas where we do

If we can execute, the next 10 years are set up to be better than the last 10!

                                                                                 40
Financial Review

Brian Lawson
Managing Partner & CFO

                         41
Agenda

Scorecard

Resiliency

Growth Profile

                 42
Our business is…

Straightforward   Transparent   Resilient   Growing

                                                      43
Scorecard

            1   44
We achieved solid growth since this time last year...

                            AS AT JUNE 30
                                                                                                        2018                     20191

                            Fee bearing capital ($b)                                             $        129               $        164                 27%

                                                                                                                                                         24%
                            Annualized fee revenues2($m)                                               1,435                     1,775

                            Target carried interest ($m)                                               1,115                     1,660                   49%

                                                                                                                                                         13%
                            Annualized CAFDAR3 ($m)                                                    1,875                     2,121

Notes/Assumptions:
1. Excludes Oaktree.
2. Annualized fee revenues as at June 30, 2019 exclude $60 million of annualized BPY fees that were subject to a fee waiver ended August 2019. The capital associated
    with such fees is in fee bearing capital as at June 30, 2019. Including these fees, annualized fee revenues would be $1,835, or $1,100 net of costs – an increase of 28%.
3. Cash available for distribution and/or reinvestment – excludes carried interest.

                                                                                                                                                                                45
…and are tracking above our 2018 business plan

                      Fee Related Earnings (millions)                                                        Fee Bearing Capital (billions)
   2500                                                                                  300
                                                                      $1,920 P
   2000                                                                                  250                                                            $245 P
                         $1,065 A                                                        200                 $164 A
   1500
                                                                                         150
   1000
                                                                                         100                 $147 P
     500                  $1,015 P
                                                                                           50
           0                                                                                 0
               2018      2019      2020      2021      2022     2023P                               2018      2019       2020      2021      2022    2023P

                         Carry Eligible Capital (billions)                                                       Net Invested Capital (billions)
    120                                                                                    60
                                                                      $111 P                                                                             $56 P
    100                                                                                    50
      80                 $72 A                                                             40                $34 A
                                                                                                                         2

      60                                                                                   30
                                                                                                               $35 P
      40                 $56 P                                                             20
      20                                                                                   10
       -                                                                                     0
               2018      2019      2020      2021      2022     2023P                               2018       2019      2020       2021      2022    2023P

Notes/Assumptions:
1. As at and annualized for the period ended June 30, 2019 unless otherwise noted.
2. Incudes investment in listed investments, based on share prices as at September 20, 2019, excluding BPY which is valued based on IFRS values.
3. A = Actual annualized results as at June 30, 2019.
4. P = Plan per September 2018 Investor Day.

                                                                                                                                                                 46
Our funds are tracking to
                             meet or exceed their target returns1...

                                                                         Total Carry                  Unrealized                                                       Target
                                                                            Eligible                     Carried                           Gross                       Gross
 AS AT JUNE 30, 2019
 (millions)                                 Vintage2                         Capital                    Interest                             IRR                         IRR
Real estate                               2005 – 2019                         $ 31,609                      $      907             13% – 20%                    12% – 20%

Infrastructure                            2008 – 2018                            29,842                            992                        15%               13% – 15%

Private equity                            2007 – 2018                            10,331                            638                        29%                          20%

Total                                                                         $ 71,782                      $ 2,537

                       Which means these funds are well over their preferred return
                              and should earn carry on each dollar of profit

Notes/Assumptions:
1. See Q2 2019 Supplemental Information for further disaggregation by investment strategy. The funds above include opportunistic, value add, credit and core plus
    strategies, and other strategies. Gross IRR excludes IRR for strategies categorized as “Other.” The table above excludes Oaktree funds. See Notice to Recipients and
    endnotes, including endnotes 4, 5 and 6.
2. Year of final close.

                                                                                                                                                                             47
…and our expectation of carried interest generated has
     grown and shifted forward since last year
                                                                 Existing Funds Only1
                                                                           (billions)
      $18

              2019 IR Day
      $16

      $14

      $12
              2018 IR Day
      $10

       $8

       $6

       $4

       $2

       $0
                2018          2019          2020         2021       2022         2023      2024       2025        2026   2027   2028

                                                       Generated - 2018 IR Day          Generated - 2019 IR Day

Notes/Assumptions:
1. Excludes Oaktree funds.
2. See Notice to Recipients and endnotes, including endnote 7.

                                                                                                                                       48
We increased plan values by over $10 billion…

                                                                                                                                            Plan Value

       AS AT JUNE 30
       (billions)                                                                      Multiple                   Ann.1                   2019                       2018
       Asset manager
       Annualized fee related earnings                                                         20x                $ 1.1           $        21.3                  $   17.2
       Net target carried interest                                                             10x                    1.2                  11.6                       8.1
       Accumulated unrealized carried interest, net                                                                                          1.8                      1.7
                                                                                                                                           34.7                      27.0
       Invested capital, net2                                                                                                              34.2                      31.2
       Total                                                                                                                      $        68.9                  $   58.2

                                                                                                                                   $10.7B

Notes/Assumptions:
1. Annualized as at June 30, 2019.
2. Investments in listed entities measured at closing prices on September 20, 2019, excluding BPY which is measured at its IFRS value. Gross invested capital,
    before $11 billion of leverage, is $45 billion.
3. See Notice to Recipients and endnotes, including endnotes 8, 9 and 10.

                                                                                                                                                                            49
…resulting in a 20% total return since last year

                                                                                                     $69

                                          $58                               20%
                                                                             Total
                                                                            Return1                  $34

                                            $31

                                                                                                     $35
                                            $27

                                           2018                                                      2019
                                                           Asset Manager          Invested Capital

Notes/Assumptions:
1. Per share basis, including dividends paid to BAM shareholders.
2. See Notice to Recipients and endnotes, including endnotes 8, 9 and 10.

                                                                                                            50
Which implies you get a 22% margin of safety

                                                                                                       2019
       (millions, except per share)                                                  2019 Total   Per Share

       Asset manager plus invested capital 1,2                                   $      68,939     $ 68.72

       Equity market capitalization                                                     54,072       53.90

       Discount to plan value                                                    $      14,867        22%

Notes/Assumptions:
1. Per share amount calculated using total diluted shares as at June 30, 2019.
2. Based on September 20, 2019 public pricing.
3. See Notice to Recipients and endnotes, including endnotes 8, 9 and 10.

                                                                                                              51
Resiliency

             2   52
Our business is strong and resilient

                    Sustainable Business

                    High Quality Assets

                    Stable Capital Structure

                    Strong Liquidity

                    Reliable High Growth Cash Flows

                    Transparency

Which allows us to continue to grow through all parts of the cycle

                                                                     53
Sustainable business

                       54
We are in one of the highest growth businesses…

        1                 2                     3
    High quality          Protect       Positive contribution
   critical assets   financial future     to communities
   and services        for investors    and employee base

       …and our activities contribute value
             in a number of ways

                                                                55
Our assets are high quality and are an
            essential part of our daily lives

Renewable Power   Office Buildings   Healthcare   Toll Roads

                                                               56
Our investors rely on us to protect their
       financial future and the future of others

Pension Plans    Insurers     Education     Research

                                                       57
We always operate with a high priority on ESG principles

Built into our investment approval              One of the world’s
 process, board mandates, and                    largest pure-play
   risk management activities               renewable energy portfolios

 90% of our core office portfolio           Maintaining an inclusive and
   is green building certified               diverse work environment

                      It is engrained in everything we do

                                                                           58
Stable capital structure

                           59
We have a solid balance sheet

 1       Conservative capitalization                                2   Strong corporate core liquidity

                                                                         $4B financial assets
                                  $7B long-term debt
                                                                         $2.5B undrawn credit facility
                                  $73B perpetual equity                  Investment-grade balance sheet

  3       Leverage ratios are declining                             4   CAFDAR2 exceeds any maturities
                                                                        $3
                                                                                                                                  $2.5
                   3.0x
                                                2.5x
                                                                        $2

                                                                                           $1.1             $1.2
                                                                        $1                                                 $0.6
                                                                                    $0.5            $0.5            $0.4
                                                                             $0.3
                                                                        $0
                   2015                        2019                          2021 2023 2024 2025 2026 2027 2028 2029+
             Debt / CAFDAR before interest expense                                                Maturities (billions)

Notes/Assumptions:
                                                        BAM is well positioned!
1. As at June 30, 2019. Comparative periods as at June 30.
2. Cash available for distribution and/or reinvestment.
                                                                                                                                     60
Listed issuers are self-sufficient
                             with strong access to capital

                           Available core liquidity of $8 billion:

                          Access to debt and/or equity capital markets

                          Undrawn credit facilities

                          Capital recycling programs

                          Strong free cash flow generation

Notes/Assumptions:
1. As at June 30, 2019.

                                                                         61
Strong financial discipline
             at the portfolio and asset level

Non-recourse debt at the portfolio company / asset level is:

           Sized appropriately for the asset being financed

           Raised in local currencies, on long-term basis

           Covenant friendly where possible

           Has no recourse to the listed issuers or BAM

                                                               62
Reliable high growth cash flows

                                  63
At BAM, we generate over $2 billion of cash
       available for distribution / reinvestment on an
        annualized basis, before carried interest…

ANNUALIZED AS AT JUNE 30
(millions)                                               2019

Fee related earnings                             $       1,065

Recurring dividends from invested capital                1,706
                                                         2,771

Financing and operating costs                            (650)

                                                 $       2,121

                                                                 64
We distribute ~ 30% to shareholders

ANNUALIZED AS AT JUNE 30
(millions)                                                               2019

Cash available for distribution / reinvestment                    $      2,121

Common share dividends                                                    (636)

Cash available for distribution / reinvestment, net                      1,485

Percent distributed to shareholders                                       30%

   The balance is available to reinvest for growth or return to shareholders

                                                                                  65
The majority of our fee revenues are
                                 contracted and predictable…

                         Fee Bearing Capital                                                                     Annualized Fee Revenues

10%                                                                                              7%
PUBLIC SECURITIES                                                                                PUBLIC SECURITIES

3%                                                                                               2%
LONG-LIFE PRIVATE FUNDS                                                                          LONG-LIFE PRIVATE FUNDS

39%                                                                       48%                    41%                                         50%
LISTED                                                           CLOSED-END                      CLOSED-END                                 LISTED
PARTNERSHIPS                                                   PRIVATE FUNDS                     PRIVATE FUNDS                        PARTNERSHIPS

                    90% of fee bearing capital is perpetual or long-term
                    Fee revenues are contracted based on long-term contracts and pre-defined incentives

Notes/Assumptions:
1. As at June 30, 2019.
2. Performance income includes incentive distributions, performance fees and carried interest.

                                                                                                                                                 66
…and our fee rates and margins are sustainable
                          as we grow
                Annualized Fee Related Earnings                                                          Average Fee Rate2
                                   (millions)                                                                   (basis points)
                                                                          2019
  Base Management Fees                                                                                                                  112 bps
    Private                                                     $         760
    Listed                                                                565
    Public                                                                116                102 bps
  Incentive distributions                                                 257
  Performance & other fees                                                 77
                                                                        1,775
Direct costs                                                             (710)                   2015   2016        2017         2018   2019
                                                                $       1,065

                        Fee Related Earnings                                                                   FRE Margin3
                                   (millions)                       $1,065
                                                    $861
                                     $774
                     $672                                                                                                                 61%
      $573

                                                                                             53%

      2015           2016            2017           2018            2019                        2015    2016        2017         2018   2019

Notes/Assumptions:
1. As at and annualized for the period ending June 30, unless otherwise stated.
2. Including fees associated with BPY capital issued relating to the privatization of GGP.
3. For the LTM period ended June 30, excluding BBU performance fees.

                                                                                                                                                  67
10-year carry realizations are now
                                  expected to total $15 billion
                                                                  Existing Funds Only1
      (billions)

      $16

      $14

      $12

      $10

        $8

        $6

        $4

        $2

        $0
                   2019        2020          2021          2022     2023   2024    2025   2026   2027   2028   2029

Notes/Assumptions:
1. Excludes Oaktree funds.
2. See Notice to Recipients and endnotes, including endnote 7.

                                                                                                                      68
Growth Profile

                 3   69
Over the past 20 years, BAM has grown at an 18%
      annual total return, or a 27.2x multiple of capital

                                                                                              $27.2

                                                                                    18%
                                                                                    Total
                                                                                   Return

                                                $1.0
                                                       1
                                               1999                                           2019

Notes/Assumptions:
1. Assumes $1 dollar of capital invested on June 30, 1999 and distributions are reinvested.

                                                                                                      70
But what is important is
  our future growth

                           71
Over five years, private fund and public securities
fee bearing capital should increase to nearly $300 billion

                                        Private Funds & Public Securities – Fee Bearing Capital
                                                                                      ($billions)
                                                                                                                            Credit &
                                                                                                                        Public Securities4     Outflows
                                                                                                                                                            $293B
                                                                    ------ Flagship Series ------       Core & Other3

                                                                                   Beginning 2024
                                                                   2021-2023

                                Oaktree
                                               $162B2

           $99B1

             2019                                                                       13%                                                                  2024
                                                                                        CAGR

 Notes/Assumptions:
 1. Opening private funds and public securities fee bearing capital as at June 30, 2019.
 2. Includes our share of Oaktree’s fee-generating AUM as if the merger closed on June 30, 2019.
 3. Core & Other includes the remainder of capital to be raised in our current vintage of flagship fundraising, to be completed by the first half 2020.
 4. Credit & Public Securities includes fundraising in BAM’s credit strategies as well as net growth in public securities and Oaktree fee-generating AUM.
 5. See Notice to Recipients and endnotes, including endnotes 2, 11 and 12.

                                                                                                                                                                    72
…and listed partnerships’ capitalization should
                      increase to over $100 billion

                                                   Listed Partnerships – Fee Bearing Capital
                                                                             ($billions)

                                                                                               Issuances   $103B
                                                                         Market Value Growth
                                                                             (BPY, BBU)

                                             Distribution Growth
                                           (BEP, BIP, TERP, BPY)

                 $65B1

                                                                               10%
                                                                               CAGR

Notes/Assumptions:
1. Opening listed partnership fee bearing capital as at June 30, 2019.
2. See Notice to Recipients and endnotes, including endnote 11.

                                                                                                                   73
In aggregate, we expect to increase our fee bearing
       capital to nearly $400 billion in the next five years

       AS AT JUNE 30
       (billions)                                                                                      20191                         ~5 Years1

       Listed partnerships                                                            $                      65            $                    103

       Private funds & public securities

                 Flagship private funds                                                                      53                                 112

                 Core and other funds                                                                        26                                   60

                 Credit & public securities2                                                                 83                                 121

                                                                                                           162                                  293

       Fee bearing capital                                                            $                    227             $                    396        +12%
                                                                                                                                                           CAGR

Notes/Assumptions:
1. Includes Brookfield’s share of its ownership in Oaktree.
2. Credit & public securities includes fundraising in BAM’s credit strategies as well as net growth in public securities and Oaktree fee-generating AUM.
3. See Notice to Recipients and endnotes, including endnotes 11 and 12.

                                                                                                                                                                  74
The increase in fee bearing capital should generate
             strong growth in fee related earnings

       AS AT JUNE 30
       (millions)                                                                20191        ~5 Years

       Base fees                                                             $   1,441    $      2,875

       IDRs                                                                       257             625

       Other fees                                                                  77             180

       Fee revenues                                                              1,775           3,680

       Direct costs                                                               (710)         (1,470)

       Brookfield FRE                                                            1,065           2,210

       Oaktree FRE2                                                               125             325
                                                                                                          +16%
       Fee related earnings                                                  $   1,190    $      2,535    CAGR

Notes/Assumptions:
1. Annualized as at June 30.
2. Oaktree fee related earnings at BAM’s share.
3. See Notice to Recipients and endnotes, including endnotes 8, 11 and 12.

                                                                                                                 75
And increase our potential to earn carried interest

                         Carry Eligible Capital                              Annualized Carried Interest, Gross
                                       (billions)                                           (billions)

                                                        $200                                                 $4.2

                                    16%                                                   18%
                                    CAGR                                                  CAGR

                       $94                                                         $1.8

                       2019                              2024                      2019                      2024
                              Brookfield            Oaktree 1                         Brookfield         Oaktree 1

Notes/Assumptions:
1. At BAM’s share.
2. As at June 30.
3. See Notice to Recipients and endnotes, including endnotes 8, 11 and 12.

                                                                                                                     76
Growing cash flows significantly increase
                              our invested capital

                                                                          Invested Capital
                                                                                  ($billions)

                                                                                                       Cash Retained –
                                                                                                       Distributions from        Capitalization
                                                                                                       Invested Capital          and Dividends
                                                                                                                                                             $75B
                                                                                                                                       -7
                                                                                                               12
                                                                               Cash Retained –
                                                                                Asset Manager

                                                                                      14
                                     5
                                                     Value Appreciation
                                                       (BBU, Other)2
                           Distribution Increase
                            (BEP, BIP, BPY)2                   4

        $45B1                        7

          2019                                                                       11%                                                                   ~5 Years
                                                                                    CAGR

                                                                                                  14
Notes/Assumptions:
1. Opening “Blended” invested capital value as at June 30, 2019, except investment in listed investments which are based on share prices as at September 20, 2019, excluding
    BPY which is valued based on June 30, 2019 IFRS values.
2. See Notice to Recipients and endnotes, including endnotes 9 and 13.

                                                                                                                                                                               77
Putting it all together

                          78
Plan value results in $141 per share
                                    over the next five years…

                                                                           ~5 Years                 Multiple                       ~5 Years
                                                                                 (millions)                                         (billions, except
                                                                                                                                per share amounts)

       Asset manager
       Fee related earnings                                                $ 2,535                           20x              $                 51
       Generated carried interest, net                                       2,740                           10x                                27
       Accumulated carried interest, net                                                                                                         7
                                                                                                                                                85
       Asset owner
       Invested capital                                                                                                                       75
       Leverage                                                                                                                              (11)
                                                                                                                                              64
       Total plan value                                                                                                       $              149        22%
                                                                                                                                                         Total
       Plan value per share1                                                                                                  $              141        Return2

Notes/Assumptions:
1. Per share amount calculated using total diluted shares as at June 30, 2019, plus the BAM shares issued in relation to the Oaktree transaction.
2. Total return includes dividends and is calculated using public pricing ($53.90 per share as at September 20, 2019).
3. See Notice to Recipients and endnotes, including endnotes 10, 11, 12 and 13.

                                                                                                                                                                  79
…driven by fundraising and investing

                                                                                                                                     Cash
                                                                                                                                    Retained               $141
                                                                                                        Value Creation –
                                                                                                        Invested Capital               18
                                                                                 Value Creation –
                                                                                      Carry                     11
                                                        Value Creation –
                                                      Fee Related Earnings              18

                                    Discount to                 25
                                    Plan Value2

               $54                       15

                                                                                      22%
             2019                                                                     Total                                                               ~5 Years
          Market Price                                                               Return

Notes/Assumptions:
1. All figures on a per share basis. 2019 per share basis calculated using total diluted shares as at June 30, 2019. 2024 per share calculated including the BAM shares
    issued in relation to the Oaktree transaction.
2. Current discount to plan value per slide 51, based on September 20, 2019 share price of $53.90.
3. See Notice to Recipients and endnotes, including endnotes 10, 11, 12 and 13.
                                                                                                                                                                          80
There is additional value creation potential
                                beyond our plan

                                                                                                             32
                                                                                                Fee Related Earnings     $167
                                                          Invested Capital                              6

                                                                  20
                          4 1
                         $141

                         22%                                                     -100bps                                   26%
                     Total Return                                                                                      Total Return
                                                                               DECREASE IN
                                                                             INTEREST RATES

Notes/Assumptions:
1. Plan value per share. See Notice to Recipients and endnotes, including endnotes 10 and 15.

                                                                                                                                      81
The cash available for distribution, before carried interest,
         should be over $5 billion annually…

       (millions)                                                             ~5 Years

       Fee related earnings1                                              $      2,535

       Distributions from investments                                            3,285

       Financing and corporate costs                                             (680)

       Cash available for distribution / reinvestment                     $      5,140

Notes/Assumptions:
1. Including our share of Oaktree’s fee related earnings.
2. See Notice to Recipients and endnotes, including endnotes 13 and 14.

                                                                                         82
… and over $6 billion with carried interest

                                                                                                                     $6.3
                                                                                                  $5.5

                                                                                          $4.3
                                                                      $3.6
                                            $3.3
                  $2.5
                                                                                                                     $5.1
                                                                                                   $4.4
                                                                                          $3.8
                                             $2.7                     $3.2
                   $2.1

                  2019                      2020                     2021                 2022    2023               2024
                                                                             (billions)

                                      Cash available for distribution and/or reinvestment, before carried interest
                                      Realized carried interest, net

Notes/Assumptions:
1. See Notice to Recipients and endnotes, including endnotes 7, 13 and 14.

                                                                                                                            83
Over the next five years, cumulative cash flow
                 generated should surpass $20 billion

           Cash flow will be allocated to:

                    1         Participate in the growth of our listed partnerships

                    2         Seed new investment strategies

                    3         Repurchase shares for value

                    4         Serve as additional liquidity at any stage of a market cycle

Notes/Assumptions:
1. See Notice to Recipients and endnotes, including endnotes 7 and 14.

                                                                                             84
And looking out 10 years… we can
        return more meaningful capital to shareholders

      (millions)
                                                                         Cumulative
                                                                          ~10 Years1
      Net cash from:
           Fee related earnings                                              $    25,000
           Net invested capital                                                   30,000
           Realized carried interest, net                                         15,000
                                                                                  65,000
            Cash investment into Listed Partnerships                             (10,000)
            Return of capital through dividends                                  (10,000)
            Available for share repurchases                              $       45,000

Notes/Assumptions:
1. Per Brookfield plan, consistent with 5-year plan assumptions.
2. See Notice to Recipients and endnotes, including endnotes 7 and 14.

                                                                                            85
We want to leave you with four important points

              1         Our business is resilient and growing rapidly

              2         We are generating over $2.5 billion, which is capable of
                        reaching $6 billion of annual cash flows over the next five years

              3         Carry is continuing to grow and is very meaningful

              4         Excess cash flow will be returned to owners unless better
                        alternatives are found

Notes/Assumptions:
1. Refer to slide 83.

                                                                                        86
Q&A

      87
Endnotes
1.    AUM is calculated as follows: (i) for investments that Brookfield consolidates for accounting purposes or actively manages, including investments of which Brookfield or a
      controlled investment vehicle is the largest shareholder or the primary operator or manager, at 100% of the investment’s total assets on a fair value basis and (ii) for all other
      investments, at Brookfield’s or its controlled investment vehicles’, as applicable, proportionate share of the investment’s total assets on a fair value basis. References to AUM of
      $509 billion as at June 30, 2019 is illustrative to include 100% of Oaktree AUM as at June 30, 2019, as if the merger had closed on such date.
2.    Fee bearing capital of $227 billion is illustrative to include our proportionate share of Oaktree fee-generating AUM as at June 30, 2019.
3.    Institutional investors include total institutional investors across Brookfield and Oaktree private fund strategies.
4.    Gross IRR on current Brookfield private funds, as presented on slide 47, is on existing carry eligible funds, excluding open-ended funds and funds categorized as “Other” in
      Brookfield’s Q2 2019 Supplemental Information available at brookfield.com.
5.    The actual realized returns on current unrealized investments may vary materially and are subject to market conditions and other factors and risks that are set out in our Notice to
      Recipients.
6.    Gross IRR, as presented on slide 47, reflects performance before fund expenses, management fees (or equivalent fees) and carried interest.
7.    Current and future gross generated carried interest on existing funds, as presented on slide 48, and gross realized carried interest expectations, as presented on slide 68, is
      illustrative only. Actual results may vary materially and are subject to market conditions and other factors and risks, as well as certain assumptions, that are set out in our Notice
      to Recipients.
8.    The value of the asset manager within our Plan Value assumes a 60% margin on annualized fee revenues and a 70% margin on gross target carried interest. The multiple reflects
      Brookfield's estimates of appropriate multiples applied to fee related earnings and carried interest in the alternative asset management industry based on, among other things,
      industry reports. These factors are used to translate earnings metrics into value in order to measure performance and value creation for business planning purposes.
9.    The value of our invested capital within our Plan Value represents blended value, which is the quoted value of listed investments and IFRS value of unlisted investments, subject
      to two adjustments. First, we reflect BPY at its IFRS value as we believe that this best reflects the fair value of the underlying properties. Second, we reflect Brookfield Residential
      at its privatization value.
10.   Illustrative stock price analysis is not intended to forecast or predict future events, but rather to provide information utilized by Brookfield in measuring performance for business
      planning purposes, based on the specific assumptions and other factors described herein and in our Notice to Recipient.
11.   Fee bearing capital, carry eligible capital and invested capital growth is illustrative only. Actual results may vary materially and are subject to market conditions and other factors
      and risks, as well as certain assumptions, that are set out in our Notice to Recipients.
12.   Growth assumptions relating to Oaktree are disclosed in the Form F-4 registration statement as filed with the Securities and Exchange Commission, effective June 20, 2019.
      Results may vary materially and are subject to market conditions and other factors and risks that are set out in our Notice to Recipients.
13.   Growth in invested capital relating to cash retained incudes cashflow from fee related earnings, realized carried interest, invested capital cash flow and dispositions of directly held
      assets. Accumulated balances are reinvested at 8%. Capitalization and dividends paid out during the period assume a constant capitalization level and 7% annual growth in BAM
      dividends.
14.   Growth in free cashflow includes growth in distributions from listed investments, assuming dividend growth at mid-point of target distribution growth rates, and 5% growth in
      corporate costs, and assumes current capitalization. Actual results may vary materially and are subject to market conditions and other factors and risks that are set out in our
      Notice to Recipients.
15.   Interest rate sensitivity for listed partnerships includes decrease in 100 bps to the current yield or capitalization rate of the listed and unlisted investments and reduces the
      expected yield on cash and financial assets by 100 bps.

                                                                                                                                                                                           88
Notice to Recipients
Investor Day 2019 – Notice to Readers
Brookfield is not making any offer or invitation of any kind by communication of this document to the recipient and under no circumstances is it to be construed as a prospectus or an
advertisement.
Except where otherwise indicated herein, the information provided herein is based on matters as they exist as of June 30, 2019 and not as of any future date, is subject to change, and,
unless required by law, will not be updated or otherwise revised to reflect information that subsequently becomes available or circumstances existing or changes occurring after the date
hereof.
Unless otherwise noted, all references to “$” or “Dollars” are to U.S. Dollars.
CAUTIONARY STATEMENTS REGARDING FORWARD-LOOKING STATEMENTS AND INFORMATION
This presentation contains “forward-looking information” within the meaning of Canadian provincial securities laws and “forward-looking statements” within the meaning of the U.S.
Securities Act of 1933, the U.S. Securities Exchange Act of 1934, and, “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995 and in any
applicable Canadian securities regulations. .
Forward-looking statements include statements that are predictive in nature, depend upon or refer to future events or conditions, include, but are not limited to, statements which reflect
management’s expectations regarding the operations, business, financial condition, expected financial results, performance, prospects, opportunities, priorities, targets, goals, ongoing
objectives, strategies and outlook of the Company and its subsidiaries, as well as the outlook for North American and international economies for the current fiscal year and subsequent
periods. Often, but not always, forward-looking information can be identified by the use of forward-looking terminology such as “expects,” “likely,” “anticipates,” “plans,” “believes,”
“estimates,” “seeks,” “intends,” “targets,” “projects,” “forecasts,” or negative versions thereof and other similar expressions, or future or conditional verbs such as “may,” “will,” “should,”
“would” and “could.”
Below are certain of the forward-looking statements that are contained in this presentation and a number of assumptions underlying them.
Where this presentation refers to “gross carried interest” or “carried interest,” carried interest for existing funds is based on June 30, 2019 carry eligible capital and carried interest for
future funds is based on Brookfield’s estimates of future fundraising as at June 30, 2019, as described below. In addition, this presentation assumes that existing and future funds meet
their target gross return. Target gross returns are typically 20+% for opportunistic funds; 13% to 15% for value-add funds; 12% to 15% for credit and core plus funds. Fee terms vary by
investment strategy (carried interest is approximately 15% to 20% subject to a preferred return and catch-up) and may change over time. This presentation assumes that capital is
deployed evenly over a four-year investment period and realized evenly over three years of sales. The year in which such sales commence varies by investment strategy and ranges
from year 6 to year 10.
Where this presentation refers to “future fundraising,” or “growth in fee bearing capital” we assume that flagship funds are raised every two to three years based on historical fund
series and non-flagship funds are raised annually within certain strategies, and in other strategies every two years. Fund series’ sizes remain constant and consistent with target funds
from period-to-period. This presentation also assumes that distributions are based on fund realizations evenly over three years of sales. The year in which such sales commence varies
by investment strategy and ranges from year 6 to year 10.
References to “distribution, growth, market valuation, and issuances relating to listed partnerships,” include the following assumptions: (i) BIP, BEP, and TERP grow at a rate
equal to the mid-point of their target distribution growth rate, assuming current yield; (ii) the market price to IFRS discount on BPY is eliminated; (iii) BBU share price grows at a 10%
annual rate; and (iv) total listed partnership capitalization includes issuances related to debt and preferred equity for BPY, BIP and BEP, based on a debt to total capitalization ratio of
20-30%.

                                                                                                                                                                                             89
Notice to Recipients cont’d
Where this presentation refers to “fee related earnings,” fee related earnings from listed partnerships and private funds are based on fee bearing capital increasing in accordance with
slide 74. The listed partnership management fees for BPY, BEP and TERP are fixed fees on initial capitalization and an additional fee of 1.25% on the amount in excess of initial
capitalization. Management fees for BIP and BBU are 1.25% of total capitalization. Fee terms for private funds vary by investment strategy (generally, within a range of approximately
1-2%). The incentive distribution rights of the listed partnerships are based on a mid-point of the applicable listed partnership’s distribution growth rate as described above. Other fees
include the BBU performance fee assuming a 10% BBU annual share price growth. Fee related earnings assumes a margin of 60%.
Although we believe that our anticipated future results, performance or achievements expressed or implied by the forward-looking statements and information are based upon
reasonable assumptions and expectations, the reader should not place undue reliance on forward- looking statements and information because they involve known and unknown risks,
uncertainties and other factors, many of which are beyond our control, which may cause our and our subsidiaries’ actual results, performance or achievements to differ materially from
anticipated future results, performance or achievements expressed or implied by such forward-looking statements and information.
Some of the factors, many of which are beyond Brookfield’s control and the effects of which can be difficult to predict, but may cause actual results to differ materially from those
contemplated or implied by forward-looking statements include, but are not limited to: (i) investment returns that are lower than target; (ii) the impact or unanticipated impact of general
economic, political and market factors in the countries in which we do business; (iii) the behavior of financial markets, including fluctuations in interest and foreign exchange rates;
(iv) global equity and capital markets and the availability of equity and debt financing and refinancing within these markets; (v) strategic actions including dispositions; the ability to
complete and effectively integrate acquisitions into existing operations and the ability to attain expected benefits; (vi) changes in accounting policies and methods used to report
financial condition (including uncertainties associated with critical accounting assumptions and estimates); (vii) the ability to appropriately manage human capital; (viii) the effect of
applying future accounting changes; (ix) business competition; (x) operational and reputational risks; (xi) technological change; (xii) changes in government regulation and legislation
within the countries in which we operate; (xiii) governmental investigations; (xiv) litigation; (xv) changes in tax laws; (xvi) ability to collect amounts owed; (xvii) catastrophic events, such
as earthquakes and hurricanes; (xviii) the possible impact of international conflicts and other developments including terrorist acts and cyberterrorism; (xix) the introduction, withdrawal,
success and timing of business initiatives and strategies; (xx) the failure of effective disclosure controls and procedures and internal controls over financial reporting and other risks;
(xxi) health, safety and environmental risks; (xxii) the maintenance of adequate insurance coverage; (xxiii) risks specific to our business segments including our real estate, renewable
power, infrastructure, private equity, and residential development activities; (xxiv) and factors detailed from time to time in our documents filed with the securities regulators in Canada
and the United States.
We caution that the foregoing list of important factors that may affect future results is not exhaustive. When relying on our forward-looking statements, investors and others should
carefully consider the foregoing factors and other uncertainties and potential events. Except as required by law, we undertake no obligation to publicly update or revise any forward-
looking statements or information in this presentation, whether as a result of new information, future events or otherwise.

CAUTIONARY STATEMENT REGARDING OAKTREE
This presentation includes information regarding Oaktree Capital Group, LLC. On March 13, 2019, Brookfield and Oaktree announced an agreement whereby Brookfield will acquire
approximately 62% of the Oaktree business. As of the date hereof, the transaction has not closed and remains subject to the satisfaction or waiver of any remaining conditions,
including regulatory approvals, necessary to complete the transaction. Information contained in this presentation regarding Oaktree may be subject to the closing of the transaction and
is forward-looking, included for illustrative purposes only.

                                                                                                                                                                                               90
Notice to Recipients cont’d
CAUTIONARY STATEMENT REGARDING PAST AND FUTURE PERFORMANCE AND TARGET RETURNS
Past performance is not indicative nor a guarantee of future results. There can be no assurance that comparable results will be achieved in the future, or that future investments or
fundraising efforts will be similar to the historic results presented herein (because of economic conditions, the availability of investment opportunities or otherwise). Any information
regarding prior investment activities and returns contained herein has not been calculated using generally accepted accounting principles and may not have been audited or verified by
an auditor or any independent party. Unless otherwise indicated, internal rates of return (including targeted rates of return) are presented on a “gross” basis (i.e., they do not reflect
management fees (or equivalent fees), carried interest (or incentive allocation), taxes, transaction costs and other expenses to be borne by investors, which in the aggregate are
expected to be substantial).
The target returns set forth herein are for illustrative and informational purposes only and have been presented based on various assumptions made by Brookfield in relation to the
investment strategies being pursued by the funds, any of which may prove to be incorrect. There can be no assurance that targeted returns, diversification, or asset allocations will be
met or that an investment strategy or investment objectives will be achieved. Due to various risks, uncertainties and changes (including changes in economic, operational, political or
other circumstances) beyond Brookfield’s control, the actual performance of the funds could differ materially from the target returns set forth herein. In addition, industry experts may
disagree with the assumptions used in presenting the target returns.
Any changes to assumptions could have a material impact on projections and actual returns. Actual returns on unrealized investments will depend on, among other factors, future
operating results, the value of the assets and market conditions at the time of disposition, legal and contractual restrictions on transfer that may limit liquidity, any related transaction
costs and the timing and manner of sale, all of which may differ from the assumptions and circumstances on which the valuations used in the prior performance data contained herein
are based. Accordingly, the actual realized returns on unrealized investments may differ materially from the returns indicated herein.
No assurance, representation or warranty is made by any person that the target returns will be achieved, and undue reliance should not be put on them. Prior performance is not
indicative of future results and there can be no guarantee that the funds will achieve the target returns or be able to avoid losses.
CAUTIONARY STATEMENT REGARDING USE OF NON-IFRS MEASURES
This presentation contains references to financial metrics that are not calculated in accordance with, and do not have any standardized meaning prescribed by, International Financial
Reporting Standards (“IFRS”). We believe such non-IFRS measures including, but not limited to, funds from operations (“FFO”) and invested capital, are useful supplemental measures
that may assist investors and others in assessing our financial performance and the financial performance of our subsidiaries. As these non-IFRS measures are not generally accepted
accounting measures under IFRS, references to FFO and invested capital, as examples, are therefore unlikely to be comparable to similar measures presented by other issuers and
entities. These non-IFRS measures have limitations as analytical tools. They should not be considered as the sole measure of our performance and should not be considered in
isolation from, or as a substitute for, analysis of our financial statements prepared in accordance with IFRS. For a more fulsome discussion regarding our use of non-IFRS measures
and their reconciliation to the most directly comparable IFRS measures refer to our documents filed with the securities regulators in Canada and the United States.
OTHER CAUTIONARY STATEMENTS
Certain of the information contained herein is based on or derived from information provided by independent third-party sources. While Brookfield believes that such information is
accurate as of the date it was produced and that the sources from which such information has been obtained are reliable, Brookfield does not guarantee the accuracy or completeness
of such information and has not independently verified such information or the assumptions on which such information is based. This document is subject to the assumptions (if any)
and notes contained herein.
The information in this document does not take into account your investment objectives, financial situation or particular needs and nothing contained herein should be construed as
legal, business or tax advice. Each prospective investor should consult its own attorney, business adviser and tax advisor as to legal, business, tax and related matters concerning the
information contained herein.

                                                                                                                                                                                           91
Brookfield Asset Management

I N V E S T O R D AY
SEPTEMBER 26, 2019
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