Brookfield Asset Management (BAM) and BlackRock, Inc (BlackRock) are two of the largest asset management companies worldwide. The two dominate their peers in the top 10 rankings of the largest asset managers by total assets. Notably, the two asset managers take a very different approach to investment, but both have experienced great success in each of their niches. According to data presented by TradingPlatforms.com, two of the world’s largest asset managers, Brookfield Asset Management and BlackRock, Inc., account for 71% of the combined total assets of the entire top ten list of largest asset managers.
Brookfield and BlackRock combine for almost $500bn in total assets
The ten largest asset management companies in the world have over $677bn combined total assets as of 2021. BAM’s total assets stand at an estimated $316bn making it the largest asset management company worldwide followed by BlackRock’s total assets of almost $169bn. The two companies combined account for 71% of the top ten’s entire total assets.The success of the two companies was a result of two different approaches to investment. BAM’s principal investments are made in real estate and infrastructure while BlackRock’s largest share of investments is in Exchange Traded Funds (ETF).
BAM records best ever quarter to close strong 2020
Brookfield Asset Management recorded its strongest ever quarter at the end of 2020, setting them up for a strong 2021. BAM recorded its highest quarterly net income of $1.8bn in Q4 2020, an increase of 10.8% YoY. Funds From Operations in Q4 2020 also rose dramatically to $2.1bn – a 74% YoY increase.
BAM also invested heavily in 2020 setting up the foundation for further real estate investments. As CEO Bruce Flatt noted: “we expect 2021 to also be strong as we enter another important phase for our business. We recently started our next round of flagship fundraising… We invested $44bn in 2020, while pausing dispositions; but with strong capital markets our activity has picked up dramatically in the first quarter of 2021.”
BlackRock largest asset manager by assets managed
BlackRock differs from BAM in that its main business is in asset management as an ETF provider. As of February 2021, BlackRock was by far the largest ETFs provider with managed assets of an estimated $2.1trn.