Brookfield Asset Management (A)

A stop loss is a great backstop, so you can cut your losses and let your winners run. Looks overbought right now. Start with a 2% position today, and add another 2% if there's a pullback. Large reach in emerging markets, and best way to access infrastructure all over the world. (Analysts’ price target is $85.00)

They’ve owned it for a long time, and it is a great model. Net asset values can change so he wouldn’t make decisions based on this. However, he thinks they will continue to earn a satisfactory return for shareholders and he believes in the management team.

Sell BAM and buy Onex? Don't chase this. This chart is straight up. It's running. Where do you enter? Hold onto Onex.

Sell Onex and buy BAM? Tailwinds are behind them because management has the confidence of the market.

Worth buying despite a strong run-up? Yes. For the past 10 years, investors have complained that BAM is fully priced. True, sometimes the chart looks stretched, but he believes in management.

The parent of the Brookfield family. He does not own it, due to its high valuation. It trades at 20 times EBITDA and 2 times book value. It has a lot of leverage. Good buyers of assets, just too expensive.

A long-term hold. It's the safest Brookfield stock. It was undervalued the past 12 months and now is fully valued. Expect single-digit returns from here on. He wouldn't buy until this falls to $64-65.

Doesn't see a problem here. Fine managers. He's watching it closely. Pays a lower yield than other Brookfield stocks, but is one of the better private equity players. It's near record highs now.

A good shelter during a macro economic slump. He would stick to this more than its subsidiaries to avoid corollary risk.

(A Top Pick Aug 16/18, Up 21%) If you want to own one international real estate holding -- this is it. They continue to raise lots of capital and have an army to deploy it. They charge fees to management assets and fees on the profits. The bigger the pool of assets, the bigger the fees they collect. Their inside owners interests are well aligned with investors. If markets do drop, they are best positioned to take advantage of opportunities. There could be some risk that regulations that come into the private equity market, but he is not too concerned it would impact their fees.

It's not too late to enter this. Interest rates keep falling, which makes a great environment for alternative assets, which BAM manages. They're global in outlook, too. They just closed the Oak Tree Capital deal, focussed on credit strategies which is an area BAM wanted to get into. Oak Tree is very well-run. BAM is counter-cyclical. Trades at a reasonable valuation and is a fine long-term hold. (Analysts’ price target is $79.12)

(A Top Pick Oct 10/18, Up 27%) Also a top pick today, so will discuss it there. Now is an entry point.

Terrific. It's an inflation hedge and worth holding in tough times. It's a long-time core holding. The one caveat is that they come to market regularly. But you can own this for a long, long time.

Defensive stock? Of all the Brookfield entities, BPY.UN-T is the one he likes the least. They have had a strategy of buying older shopping centres and malls that have not been doing well. He does not buy into the theory they are buying at lower prices. He would hold BAM.A-T instead.