Brookfield Asset Management’s record fundraising accelerates growth in digital and green infrastructure in 2025

Brookfield Asset Management (BAM) delivered a robust third-quarter performance in 2025, underpinned by record fundraising, strong earnings growth, and accelerated capital deployment across its global real assets platform. According to the company’s earnings call, Brookfield’s fee-bearing capital rose 8% year-over-year to $581 billion, driven in part by the final close of its second global transition flagship fund and sustained inflows into complementary strategies. This momentum supported a 17% increase in quarterly fee-related earnings to $754 million, translating into $0.46 per share, alongside a 7% rise in distributable earnings to $661 million, or $0.41 per share.

Brookfield’s CEO Bruce Flatt emphasised the sustained strength of their franchise, highlighting the benefits of global scale, diversification, and long-term client relationships. The business is capitalising on key economic themes such as electrification, digital data infrastructure, and a recovering real estate market. The $30 billion of capital raised during the quarter contributed to an unprecedented $106 billion raised over the past year, marking the firm’s highest annual inflow ever. Significant deployment activity complemented fundraising, with nearly $70 billion invested over twelve months, including $30 billion in infrastructure and renewable energy projects – sectors pivotal to Brookfield’s growth strategy.

Among the quarter’s strategic highlights, Brookfield announced the pending acquisition of the remaining 26% stake in Oaktree Capital Management and a majority stake in Angel Oak, transactions expected to close in the first half of 2026 subject to regulatory approval. Management described these moves as steps to create an integrated credit platform that would leverage operational efficiencies and broaden product collaboration. The partnership with Oaktree, a leading credit investor, is anticipated to unlock synergies by consolidating balance sheets and streamlining operations, enhancing Brookfield’s ability to offer comprehensive credit solutions.

Brookfield also signalled its commitment to innovation and market leadership, announcing the final close of the largest-ever private energy transition fund at $20 billion, alongside new fund launches targeting AI infrastructure and core infrastructure strategies set for debut in 2026. The AI infrastructure fund is designed to capitalise on an anticipated $7 trillion investment opportunity over the next decade, reflecting the company’s strategic focus on integrated solutions across data centres, power generation, and related assets. CEO Flatt highlighted the strong pipeline of infrastructure and private equity flagships anticipated to propel a bumper fundraising year in 2026, forecasted to exceed 2025’s record levels.

Renewable power remains at the core of Brookfield’s growth narrative. President Connor Teskey underscored the mounting global demand for electricity driven by electrification trends and AI data centre growth, stressing a structural shortage in generation capacity. Brookfield’s platform spans low-cost wind and solar, hydro, nuclear, and energy storage, positioning the company well to meet accelerating power needs with sustainable and baseload solutions. Notably, the firm announced a landmark partnership with the U.S. government to develop $80 billion in nuclear reactors using Westinghouse technology, reinforcing its role in the clean energy transition and underscoring a historic opportunity in baseload power infrastructure.

The private equity business adheres to a strategy focused on essential service businesses that underpin the global economy, such as industrial and infrastructure-adjacent companies. Brookfield’s emphasis on hands-on operational improvement, rather than financial engineering or multiple expansion, has translated into sustained value creation, with the firm launching its seventh vintage private equity fund anticipated to be its largest ever. This fund’s launch has been met with strong investor interest, with a mirrored retail product aimed at individuals in the retirement market recently introduced in North America.

Real estate markets have also seen improved conditions, with $23 billion of property assets sold over the past year and strong capital markets activity. Brookfield closed its largest-ever real estate fund and executed over $35 billion in financings during 2025, benefiting from improved valuations, limited new supply, and recapitalization needs. The credit platform continues to expand, with $16 billion in capital raised across credit funds, including private credit and partner manager strategies. While one-off transaction fees from partner manager Castlelake boosted the blended fee rate temporarily, management stressed the underlying trend of rising fee rates across credit funds is sustainable. The business focuses on real asset-backed opportunities and avoids commoditized corporate direct lending segments, asserting resilience amid market-wide credit challenges.

Financial discipline remains a priority, with the company maintaining a strong liquidity position of $2.6 billion and judiciously using its balance sheet to seed new products and support strategic acquisitions. Margins held firm at 58% for the quarter, balancing the effects of partner manager acquisitions with growth in core margins. CFO Hadley Peer Marshall noted the business is on track to exceed its margin improvement targets, supported by increased operational efficiencies, including post-closing integration of Oaktree.

Brookfield’s five-year plan aims for fee-related earnings of $5.8 billion, distributable earnings of $5.9 billion, and fee-bearing capital of $1.2 trillion by 2030, targeting over 20% annualized growth driven by product innovation and market expansion. The plan notably excludes potential upside from new products, additional mergers and acquisitions, and entry into the substantial 401(k) retirement market, reflecting the firm’s confidence in multiple growth levers.

Overall, Brookfield’s quarterly results and strategic outlook showcase its strong positioning within transformative global trends of digitalisation, decarbonization, and deglobalization. With robust fundraising, expansive capital deployment, and innovative product offerings, the company is well poised to sustain its growth trajectory and deliver value in a dynamic investment environment.