Q: hi, I feel "overbrookfielded" in my investments. I own BAM, BN, BEPC and BIPC. I'm thinking of selling BAM, and putting the proceeds into BIPC and BEPC ( my position in BN is large enough now ). my thinking is BAM has less potential for capital growth compared to BIPC/BEPC ( and the latter 2 also have a good dividend, like BAM ). I would keep BN for more growth focus. Does this sound reasonable to you ( overall my brookfield investments are about 2.5% of total ). cheers, chris
5i Research Answer:
BIPC and BEPC could have a better potential for near-term capital appreciation, as these stocks have been down quite meaningfully recently due to high interest rates.
Having said that, we think BAM is a high-quality, capital-light dividend grower, less exposed to the macro environment than BIPC or BEPC, and we expect BAM could do well three or five years from now. We would not object to the trade proposed, but this is not to imply we do not like BAM.