Business Context and Reporting Period
This Form 13F-HR is a quarterly holdings report filed by Brookfield Asset Management Inc. (and two included managers) for the period ended June 30, 2012. The report discloses the institutional investment manager's equity holdings in U.S. securities as of the reporting date. It is not a financial performance report for Brookfield Corp itself, but rather a disclosure of the assets managed by the firm.
Key Financial Metrics
The filing provides aggregate portfolio data rather than corporate financial statements (revenue, profit, or cash flow are not applicable to this form type).
- Total Portfolio Value: $13,885,200,000 (approx. $13.9 billion).
- Total Number of Holdings: 157 entries.
- Reporting Managers: Brookfield Asset Management Inc. (Primary), Brookfield Investment Management Inc., and Brookfield Asset Management Private Institutional Capital Adviser (Canada) LP.
- Confidential Information: The filing notes that certain confidential information has been omitted and filed separately.
Material Changes and Portfolio Composition
As this is a snapshot of holdings, material changes versus prior periods cannot be calculated from this single document. However, the portfolio composition reveals significant concentration in specific sectors and related entities:
- Real Estate & REITs: The portfolio is heavily weighted toward real estate investment trusts (REITs) and property companies. Notable large positions include General Growth Properties Inc. ($6.4 billion), Brookfield Office Properties Inc. ($4.3 billion), Brookfield Residential Properties ($832 million), and Rouse Properties Inc. ($358 million).
- Energy & Infrastructure: Significant holdings in energy infrastructure and midstream companies, including TransCanada Corp ($54.8 million), Enbridge Inc. ($62.1 million), Kinder Morgan Inc. ($46.5 million), and Spectra Energy Corp ($33.4 million).
- Financials: Major positions in JP Morgan Chase & Co. ($26.1 million) and various Canadian banks (Bank of Montreal, Bank of Nova Scotia, Royal Bank of Canada).
- Related Party Transactions: The manager holds substantial positions in entities within the Brookfield ecosystem, including Brookfield Office Properties, Brookfield Residential Properties, and Brookfield Infrastructure Partners.
Guidance, Outlook, and Risks
Guidance and Outlook: Form 13F filings do not contain management guidance, earnings outlooks, or strategic commentary. This document is strictly a regulatory disclosure of holdings.
Risks and Contingencies: The filing does not explicitly list risk factors. However, the concentration of assets in real estate and energy sectors implies exposure to interest rate fluctuations, commodity price volatility, and sector-specific regulatory changes. The presence of "Defined" voting authority for many holdings indicates the manager exercises significant control or influence over these entities.
Important Facts for Investor Verification
- Portfolio Size: Verify the total reported value of approximately $13.9 billion against the firm's total assets under management (AUM) to understand the scope of this specific reporting entity.
- Related Party Exposure: Confirm the extent of the manager's holdings in Brookfield-affiliated entities (Office, Residential, Infrastructure) to assess potential conflicts of interest or concentration risk.
- Top Holdings: Note that General Growth Properties and Brookfield Office Properties represent the largest single-line items in the portfolio, dominating the value.
- Confidential Omissions: Acknowledge that the total value reported may not reflect the full scope of the manager's activities due to confidential information filed separately.
- Reporting Date: Ensure data is analyzed as of June 30, 2012, and does not reflect current market conditions or subsequent trading activity.