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BofA downgrades ‘expensive’ Brookfield Asset Management to Neutral

As previously reported, BofA downgraded Brookfield Asset Management (BAM) to Neutral from Buy with a $68 price target citing four rationale: the firm views the asset manager as “not best positioned” among peers for U.S. retail and 401(k) opportunities after President Trump’s executive order; it calls Brookfield the “most expensive asset manager in the world” following the stock’s price performance since April; it notes that Brookfield’s capital intensity has increased; and it views the addition of the stock to the S&P 500 as “unlikely” over the near-term.

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