Brookfield Asset Management (TSX:BAM.A)(NYSE:BAM) is an alternative asset manager with one of the best managers out there. The firm was firing on all cylinders until the COVID-19 crisis knocked shares into the ditch. Dragged down by its real estate exposure (malls in particular), Brookfield is now trading at a bargain-basement valuation that’s too good for most long-term thinkers to pass up.
With central banks committing to keeping interest rates near the floor for a longer duration of time, the appetite for alternative assets is likely to surge out of this pandemic. With more than enough liquidity in place to weather another storm of COVID cases, it’s tough to find a firm with a risk/reward in the same league as Brookfield Asset Management.
BAM.A is a buy now and on further weakness, especially for long-term thinkers looking to play the zero-to-negative interest rate environment.
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