Brookfield Corporation

Fee-related earnings grew each fiscal year from FY2021 through FY2025, as LP capital committed to 10-12-year fund cycles locks in recurring management fees with high re-up rates. Insurance spread on $143B of annuity assets and long-term contracted infrastructure revenues anchored distributable earnings before realizations at a record $5.4B in FY2025.

Three genuinely distinct business lines contributed to FY2025 distributable earnings before realizations: Asset Management ($2.8B), Wealth Solutions ($1.7B), and Operating Businesses ($1.6B), with no single segment above 47%. Within operating businesses, revenue draws from renewable power, infrastructure, real estate, and industrial services across different geographies and regulatory regimes.

Brookfield operates across 30-plus countries on five continents, with material operational revenues from North America, Latin America, Europe, and Asia-Pacific. Fund investors include sovereign wealth funds, pension funds, and endowments from over 100 countries, and no single geography holds a dominant share of distributable earnings.

Fee-related earnings at Brookfield Asset Management reached $3.0B in FY2025 on a largely fixed cost base against $603B of AUM, demonstrating operating leverage in the management business. At the operating level, long-lived infrastructure and renewable assets generate strong fixed-cost leverage post-construction, but the capital-intensive real asset build cycle limits consolidated scalability.

Management fees on committed LP capital are contractual and locked in through fund life, while infrastructure revenues run under decade-long concession agreements and power purchase contracts. The majority of distributable earnings before realizations flow from these non-discretionary, long-duration contractual obligations, with only realized carried interest remaining fully transactional.