Brookfield Asset Management Inc (A) (BAM.A.TO)

It is not so economically sensitive. He would prefer something in capital markets. It looks okay, otherwise. It is a great company, but it won’t be one of the strongest performers although it will be predictable.

One of the best capital allocators that you can find globally. Their asset management fee growth has grown significantly over the last couple of years. They come to the market quite frequently, which causes a lot of grief. He has chosen to just go to the parent company. Any pullback has been positive and is happy to buy any time on a pullback.

This has lots of moving parts and you own the shares in the underlying subsidiaries. If you are not comfortable with the way this company goes about using the valuation or realizing capital gains, it is probably not one you want to be involved with. This is one of his recommendations.

He thinks the FED will try to raise rates, but the economy will slow in response at least to a second interest rate hike. He believes they will essentially stay near zero. He thinks it will be like the taper tantrum. This stock is starting to react the same way right now as it did in 2013.

Compared to Bell Canada (BCE-T)? When interest rates rise, this will be as affected as Bell. Telecom stocks are low growth, mostly for the dividend. BCE has done a really good job the last few years. However, this company is very much more diversified. Has pulled back recently and is as attractive as it has looked for quite a while. The combination is little growthier and a little less interest rate related.

He likes it. It is incredibly well run and understands the businesses they are in. This has been a great story and the infrastructure space is an incredible space. They are very good at understanding when assets are cheap and selling them well. They can do well over a long period of time.

He is a great fan of this. The one interesting thing about the asset management business is that it is less interest rate sensitive. As interest rates go up, this has an opportunity to outperform the REITs. This is his largest holding. On a dip like this, it is an opportunity to accumulate.

It is a wonderful company. There are no problems with the operations. They have some of the smartest people working there. Recent declines were based on problems in Brazil. He would not get scared out of it. He prefers OCX-T. And he holds the infrastructure company of Brookfield.

You can think of this as a mini Berkshire Hathaway. Focused primarily on asset management, tangible assets and have done very well as far as growing shareholder value and being opportunistic in getting to the areas. Not an easy company to analyse. If you own, continue to stick with it as you will do well over the long-term.

Likes this. Doing a 3 for 2 stock split today. Has come off a little, but is nothing to be worried about. Any time a company is raising money, there are some arbitrators that will go Short. This is a very strong company with some very good businesses.

Hit an all-time high of around $70 about a month ago, so they did what managers do at that point and did a share issue. Did a great big one and priced at a discount to the then market price, and the market had to absorb all those shares. It is not at all surprising that the stock went down. These are tremendously smart managers. One of the things that is very difficult to value are the partnerships they manage, but he thinks they are undervalued. Because of this, he is still a buyer.

He loves companies that buy back stock. But when it is at an all time high it is not a good idea to use it as currency. He wishes they would not do deals without thinking about the consequences. He believes you can park in it and forget it. They have infrastructure and companies that have pricing power.

Did a very, very large issue in the last week. Stock was near an all-time high at around $70 and they did it at $68.25. The stock has been underwater since, which surprises him. If it were to go down a little lower, he would be taking a look. Good company.

They are a really well run group. If they raise money they have a good idea of what they are going to do with the money. It has been consistently good so stay in it.

They have a lot of good things going for them. There are a lot of institutional clients diversifying away from equities and into the infrastructure space. There are good opportunities to grow the book. Keep a tight leash on it.