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  5. BX: As a curiosity I thought it would be interesting to compare these two, noting they seem to be competitors in many ways. [Blackstone Inc.]
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Investment Q&A

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Q: As a curiosity I thought it would be interesting to compare these two, noting they seem to be competitors in many ways. Frankly bit looks like Blackstone trounces Brookfield on stock performance over almost every time length. Do you have any thoughts on comparing the two and Blackstone’s value as a financial alternative asset holder?
Asked by Peter on August 16, 2023
5i Research Answer:

We would first be careful with a direct comparison, as BN's various stock spin outs are not included in most site's performance comparisons. For example, last year BN shareholders got 0.25 BAM shares for each BN share, and that is worth $11.50+ per share. Over a longer period there have also been several other spin outs which should be included in performance calculations. They are certainly in the same business, though, and subject to the same influences (economy, rates, valuation, sentiment). BX though we think is a solid investment overall in and of itself. It has done well, is poised to make more deals as rates peak, and offers a good dividend. It is not as cheap as BN on a P/E basis, and its earnings can be very volatile depending on whether any assets are monetized. We would be comfortable owning BX, certainly.