BROOKFIELD ASSET MANAGEMENT LTD at Bank of America Financial Services Conference Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Craig Siegenthaler - BofA Global Research - Analyst : Great. So let's start with credit. That's an easy place to start. So you've taken on the role as newly created head of Brookfield's credit group. First, what is included in this segment, and why did Brookfield decide to create this role?

Question: Craig Siegenthaler - BofA Global Research - Analyst : Great. So as you look across the credit platform, what capabilities do you consider your strongest today? And then where are you investing and kind of excited about growth for the future?

Question: Craig Siegenthaler - BofA Global Research - Analyst : So your credit funds have historically been adjacent to your real asset businesses on the equity side. And I'm thinking really infrastructure and then real estate debt. Can you talk about what you're seeing in those verticals in terms of both fundraising and also deployment opportunities?

Question: Craig Siegenthaler - BofA Global Research - Analyst : All maturities coming, bank retrenchments, yields very high, makes fundraising easy. Is that kind of the equation?

Question: Craig Siegenthaler - BofA Global Research - Analyst : So let's refocus on distressed credit, Oaktree, and Howard Marks. So Howard Marks is still running the distressed debt funds on a day-to-day basis. I don't think there's been a lot of distressed debt opportunities over the last couple years, but he's raised big funds. So maybe provide an update on that business and the potential to grow. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. FEBRUARY 20, 2024 / NTS, BAM.N - BROOKFIELD ASSET MANAGEMENT LTD at Bank of America Financial Services Conference

Question: Craig Siegenthaler - BofA Global Research - Analyst : So inside of Oaktree, there's always been more of a focus on distressed debt. And the private direct origination effort was always quite small. I know you acquired a BDC a couple of years ago. But there's been a pivot inside of that business, more focus on direct lending, more focus on fundraising. How is the fundraising there going?

Question: Craig Siegenthaler - BofA Global Research - Analyst : The bond markets are pricing in a bunch of rate cuts, although after inflation day in the last two weeks, it's less cuts at this moment. But if you still assume rate cuts, how does that shift limited partner demand within the credit business among funds? Where does demand shift?

Question: Craig Siegenthaler - BofA Global Research - Analyst : So let's move the conversation into insurance. You already have a big insurance business, a couple businesses there. But it's going to get a lot bigger in a couple months when you close American Equity. You aren't alone in acquiring annuity businesses, fixed annuity, fixed index annuities, informing IM agreements. How is your insurance model different than the other large alts that have something that looks quite similar?

Question: Craig Siegenthaler - BofA Global Research - Analyst : So when you think about your origination capabilities in credit, what assets are you originating in BAM to essentially feed this growing liability stream? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. FEBRUARY 20, 2024 / NTS, BAM.N - BROOKFIELD ASSET MANAGEMENT LTD at Bank of America Financial Services Conference

Question: Craig Siegenthaler - BofA Global Research - Analyst : Great. Let's shift away from credit and insurance to fundraising for a moment. And I know you have a lot of experience with fundraising because I think you ran Brookfield's fundraising organization for a while. Brookfield had a very strong fundraising year last year. What do you attribute this to? Because the industry was dealing with different negative headwinds like denominator effect and crowded backdrop and not a lot of liquidity.

Question: Craig Siegenthaler - BofA Global Research - Analyst : So that was last year. Now we're in 2024. What's the fundraising outlook this year, given you have two large flagships in the market, renewables, real estate, and you also will likely close that large insurance deal, which will also supply you with a ton of AUM? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. FEBRUARY 20, 2024 / NTS, BAM.N - BROOKFIELD ASSET MANAGEMENT LTD at Bank of America Financial Services Conference

Question: Craig Siegenthaler - BofA Global Research - Analyst : So you stole the thunder in the next topic. We're going to hit on private wealth.

Question: Craig Siegenthaler - BofA Global Research - Analyst : So you have about 2% allocation levels to alts within US high net worth -- ultra-high net worth. The institutional channel is 25%. And now they're advising clients to go to 30% to 40%. So there's a lot of visibility into that upside trajectory. So I'm really interested, across Brookfield and Oaktree, what are your -- I don't use the word retail -- I use private wealth products today, including in the semi-liquid wrapper?

Question: Craig Siegenthaler - BofA Global Research - Analyst : Among those products, do you have any favorites in terms of five-year growth trajectory?

Question: Craig Siegenthaler - BofA Global Research - Analyst : So M&A came up on the last earnings call. And it sounds like you're looking at things, but you're looking at smaller managers that might offer good value. So how is Brookfield looking at M&A today?

Question: Craig Siegenthaler - BofA Global Research - Analyst : So Craig, you ran Brookfield's private fundraising effort for a while. So what did you do in that role? And specifically, how can that help you now as you're building the credit business, which is a relatively newer business inside of Brookfield? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. FEBRUARY 20, 2024 / NTS, BAM.N - BROOKFIELD ASSET MANAGEMENT LTD at Bank of America Financial Services Conference

Question: Craig Siegenthaler - BofA Global Research - Analyst : Great. At this moment, I want to see if there's any questions in the audience. We have one right here in the second row. Patrick. Unidentified Participant I guess as a European, I just sort of have to ask the presidential elections question. Do you see any impact of it, I mean, given that you are probably one of the more sustainable type of investors out there, I mean, looking at decarbonization and that kind of stuff which (multiple speakers) --?

Question: Craig Siegenthaler - BofA Global Research - Analyst : Any other questions? We got one here in the front row. Unidentified Participant Thank you. Thanks for being here. What do you think about the pension risk transfer business, and what do you expect for it to grow in 2024 and beyond?

Question: Craig Siegenthaler - BofA Global Research - Analyst : Great. Any other questions in the crowd? Unidentified Participant Thanks. Some of your peers have used their credit origination platforms to help fuel the capital markets business. So can you talk a little bit if you have any plans to build that out, as you build out your -- as you think about your origination platforms and want to scale those out, that some of that origination could be sold off to third parties and build a capital markets franchise?

Question: Craig Siegenthaler - BofA Global Research - Analyst : Great. I think with that, we can wrap it up. So, Craig, on behalf of all of us at Bank of America, I just wanted to thank you very much.

Question: Craig Siegenthaler - BofA Global Research - Analyst : Thank you (inaudible). Thank you, guys.