Have you been BIP-tized into the world of BAM?
Brookfield Asset Management
A host of companies
As a former shareholder, I have serious respect for BAM's long-term track record of delivering shareholder value from the assets that form its empire. Although shares have taken a beating since the housing crisis reared its ugly head, the past 20 years of stock appreciation tell a more captivating story. But no matter how well-managed the company may be, it simply couldn't escape a global economic upheaval this severe.
BAM remains profitable despite incredible challenges to several of its core businesses. The company earned $93 million in the first quarter, less than half what it brought in a year earlier, but still solidly in the black. Cash flow fell 38% to $273 million; BAM's specialty funds and investments combined for most of that decline, while income from commercial property rentals and power generation showed some resiliency. BAM's corporate property interests come from its 50% stake in Brookfield Properties
Brookfield Properties, in turn, spawned Brookfield Homes
The best of the lot
With that in mind, is there an attractive vehicle for exposure to the management expertise of the Brookfield empire without the unwanted exposure to housing? Fortunately, the answer is yes. Brookfield Infrastructure Partners
Brookfield Infrastructure Partners and USG are Motley Fool Inside Value selections. Brookfield Infrastructure Partners is also a Motley Fool Hidden Gems pick. Brookfield Asset Management is a Motley Fool Global Gains pick. Try any of our Foolish newsletter services free for 30 days.
Fool contributor Christopher Barker captains yachts and writes about stocks. He can also be found blogging actively and acting Foolishly within the CAPS community under the username TMFSinchiruna. He owns no shares in the companies mentioned. The Motley Fool has a disclosure policy.