This Financial Giant Just Increased Its Dividend 15%, and It's Promising Many More Double-Digit Raises to Come

Core Insights - Brookfield Asset Management (BAM) has increased its dividend by 15% in 2025 and anticipates robust dividend growth to continue until at least 2030 [1][8] - The company is one of the largest asset managers in Canada, with a significant global presence in infrastructure investments [2][5] - BAM's current dividend yield stands at 3.4%, with plans for double-digit annual dividend growth [2][10] Company Overview - Brookfield Asset Management primarily invests on behalf of others and charges fees based on the value of assets managed, focusing on fee-bearing capital rather than just assets under management (AUM) [3] - As of 2020, BAM had approximately $277 billion in fee-bearing capital, which grew to $563 billion by 2025, reflecting a 15% annualized growth rate [4][7] - The company operates across five major platforms: infrastructure, renewable power, private equity, real estate, and credit [5] Growth Strategy - BAM aims to double its fee-bearing capital again by 2030, targeting approximately $1.2 trillion [7] - The company is focused on three main themes: digitization, deglobalization, and decarbonization, which are seen as a $100 trillion opportunity [6] Dividend Growth Potential - The 2025 dividend increase of 15% is expected to support a similar growth rate in fee-related earnings, projected at around 17% annually [8] - If dividends continue to grow at 15%, they could roughly double within five years [9] Market Position - BAM's current market capitalization is $85 billion, with a gross margin of 94.86% [9] - The company's dividend yield of 3.4% is notably higher than the S&P 500's yield of 1.2%, making it an attractive option for dividend investors [10]