Brookfield Asset Management
Encyclopedia
Brookfield Asset Management Inc. is a Toronto
, Ontario
-based asset management company that manages a global portfolio of assets valued at over $150 billion. The firm's assets are concentrated in the following sectors: real estate, renewable power generation, infrastructure and private equity.
The Brookfield name was not widely known outside of investing circles until more recently when it came into the news mainstream as owners of Zuccotti Park, the home to the Occupy Wall Street movement.
Despite having assets valued at over $150 billion and $100 million in cash flow, Brookfield scored $168.9 million loan guarantee from the Department of Energy for a wind farm project, Granite Reliable in New Hampshire. The wind farm is already a subsidiary of Brookfield.
The company was originally founded as a builder and operator of electricity and transport infrastructure in Brazil; the company's earlier name of "Brascan" reflected this history ("Brasil" + "Canada"). The company provided electricity and tram services in Sao Paulo and Rio de Janeiro, and was known as "The Light," short for Brazilian Traction, Light and Power Co. Ltd. Over the past century, the company expanding steadily, and is now an owner and operator of $150 billion of real assets, with a focus on property, renewable power and infrastructure. Brookfield's public subsidiairies include Brookfield Office Properties, based in New York, Brookfield Infrastructure Partners, Brookfield Renewable Power, Brookfield Office Properties Canada, Brookfield Residential Properties and Brookfield Real Estate Services.
The company's asset management offerings include alternative-type investments, structured financial products, traditional fixed income and equities and finite-risk reinsurance. Its financial services group, Brookfield Financial, provides advisory services, acquisition financing, bridge loans and project financing. In addition, Brookfield Asset Management owns a significant stake in a real estate services company offering home relocations, property appraisals, move-in services and home transaction closing services, and capital market services, including financial advisory, securities underwriting, and property brokerage. Brookfield Asset Management's clients mainly include governments, institutions, corporations and high-net-worth individuals.
The company's corporate headquarters are located in Toronto
and New York City
.
Brookfield has $21 billion of assets under management
in Canada, $66 billion invested in the United States, $16 billion invested in Australia and Asia, $15 billion in South America and $4 billion in Europe and the Middle East.
Its major investments presently include the World Financial Center in New York, First Canadian Place in Toronto, PD Ports, Royal LePage
, Transelec and Brookfield Renewable Power Fund.
It formerly controlled such major companies as Noranda Inc., Falconbridge Limited, Labatt, Royal Trust, Macmillan Bloedel and London Life.
Toronto
Toronto is the provincial capital of Ontario and the largest city in Canada. It is located in Southern Ontario on the northwestern shore of Lake Ontario. A relatively modern city, Toronto's history dates back to the late-18th century, when its land was first purchased by the British monarchy from...
, Ontario
Ontario
Ontario is a province of Canada, located in east-central Canada. It is Canada's most populous province and second largest in total area. It is home to the nation's most populous city, Toronto, and the nation's capital, Ottawa....
-based asset management company that manages a global portfolio of assets valued at over $150 billion. The firm's assets are concentrated in the following sectors: real estate, renewable power generation, infrastructure and private equity.
The Brookfield name was not widely known outside of investing circles until more recently when it came into the news mainstream as owners of Zuccotti Park, the home to the Occupy Wall Street movement.
Despite having assets valued at over $150 billion and $100 million in cash flow, Brookfield scored $168.9 million loan guarantee from the Department of Energy for a wind farm project, Granite Reliable in New Hampshire. The wind farm is already a subsidiary of Brookfield.
The company was originally founded as a builder and operator of electricity and transport infrastructure in Brazil; the company's earlier name of "Brascan" reflected this history ("Brasil" + "Canada"). The company provided electricity and tram services in Sao Paulo and Rio de Janeiro, and was known as "The Light," short for Brazilian Traction, Light and Power Co. Ltd. Over the past century, the company expanding steadily, and is now an owner and operator of $150 billion of real assets, with a focus on property, renewable power and infrastructure. Brookfield's public subsidiairies include Brookfield Office Properties, based in New York, Brookfield Infrastructure Partners, Brookfield Renewable Power, Brookfield Office Properties Canada, Brookfield Residential Properties and Brookfield Real Estate Services.
Assets Under Management
- Property: $76 billion
- Power: $16 billion
- Infrastructure: $18 billion
- Public Securities: $21 billion
- Private Equity: $22 billion
- Development Activities: $15 billion
The company's asset management offerings include alternative-type investments, structured financial products, traditional fixed income and equities and finite-risk reinsurance. Its financial services group, Brookfield Financial, provides advisory services, acquisition financing, bridge loans and project financing. In addition, Brookfield Asset Management owns a significant stake in a real estate services company offering home relocations, property appraisals, move-in services and home transaction closing services, and capital market services, including financial advisory, securities underwriting, and property brokerage. Brookfield Asset Management's clients mainly include governments, institutions, corporations and high-net-worth individuals.
The company's corporate headquarters are located in Toronto
Toronto
Toronto is the provincial capital of Ontario and the largest city in Canada. It is located in Southern Ontario on the northwestern shore of Lake Ontario. A relatively modern city, Toronto's history dates back to the late-18th century, when its land was first purchased by the British monarchy from...
and New York City
New York City
New York is the most populous city in the United States and the center of the New York Metropolitan Area, one of the most populous metropolitan areas in the world. New York exerts a significant impact upon global commerce, finance, media, art, fashion, research, technology, education, and...
.
Brookfield has $21 billion of assets under management
Assets under management
Assets under management is a financial term used denote the market value of funds being managed by a financial instutition on behalf of its clients, investors, depositors, etc. This metric is a sign of size and success against competition...
in Canada, $66 billion invested in the United States, $16 billion invested in Australia and Asia, $15 billion in South America and $4 billion in Europe and the Middle East.
Its major investments presently include the World Financial Center in New York, First Canadian Place in Toronto, PD Ports, Royal LePage
Royal LePage
Royal LePage is a Canadian real estate franchiser and owner-operator with more than 600 locations and over 13,000 Realtors in Canada. Founded in 1913 by Albert E. LePage, Royal LePage is now owned by the Brookfield Real Estate Services Fund.-External links:...
, Transelec and Brookfield Renewable Power Fund.
It formerly controlled such major companies as Noranda Inc., Falconbridge Limited, Labatt, Royal Trust, Macmillan Bloedel and London Life.
Recent Initiatives
- Led $8 billion restructuring of leading U.S. mall operator General Growth Properties
- $6.1 billion acquisition of Multiplex Group (property and funds management businesses)
- Spin-out of publicly-traded company focused on owning and managing infrastructure operations (Brookfield Infrastructure Partners)
- Merged Brookfield Infrastructure Partners with Australia's Prime Infrastructure in $1 billion transaction
- Completed acquisition of Longview Fibre Company, expanding timberlands platform to 2.5 million acres (10,000 km²)
- Raised more than $18 billion of third party capital in 2010 in targeted sectors
- Run 21 private funds for institutional clients
History
- 1899: The São Paulo Railway, Light and Power Company was founded by William MackenzieWilliam Mackenzie (railway entrepreneur)Sir William Mackenzie was a Canadian railway contractor and entrepreneur.Born near Peterborough, Ontario, Mackenzie became a teacher and politician before entering business as the owner of a sawmill and gristmill in Kirkfield, Ontario...
, Frederick Stark PearsonFrederick Stark PearsonFrederick Stark Pearson was an American electrical engineer and entrepreneur.-Biography:Dr. Frederick Stark Pearson was the son of Ambrose and Hannah Pearson. He graduated from Tufts University in 1883 with an A.M.B. and received an A.M.M. degree one year later...
and others (the word "Railway" would later be changed to "Tramway"). - 1904: The Rio de Janeiro Tramway, Light and Power Company was founded by Mackenzie's group.
- 1912: Brazilian Traction, Light and Power Company Limited is incorporated in Toronto as a public company to develop hydro-electric power operations and other utility services in Brazil, becoming a holding company for the two previous companies.
- 1916: Great Lakes Power Company Limited is incorporated to provide hydro-electric power in Sault Ste. Marie and the Algoma District in Ontario.
- 1966: Brazilian Traction, Light and Power Company Limited changes its name to Brazilian Light and Power Company Limited.
- 1969: Brazilian Light and Power Company Limited changes its name to Brascan Limited (BL).
- 1979: the company's Brazilian assets are transferred to Brazilian ownership (e.g., EletropauloEletropauloAES Eletropaulo is a major Brazilian power distributor in the state of São Paulo, created in the breakup of the old state-owned power distribution company Eletropaulo that monopolized electricity distribution in São Paulo from 1981 to 1999...
and Light S.A.Light S.A.Light S.A., or just Light is a Private Company of public utility of Rio de Janeiro, Brasil. Founded 1904 in Toronto with The Rio de Janeiro Tramway, Light and Power Co. Ltd...
), the company meanwhile having diversified to other areas - 2005: changes its name to Brookfield Asset Management (BAM).