Brookfield Asset Management said on Tuesday it had raised US$14 billion for its new global infrastructure fund, giving it a war chest to hunt for assets around the world.
Like many other global investors, the Canadian asset management firm views infrastructure as an increasingly attractive alternative to low-yielding government bonds and volatile global equity markets.
Brookfield said over 120 institutions had invested in Brookfield Infrastructure Fund III, including public and private pension plans, sovereign wealth funds, and other financial institutions. Brookfield itself committed US$4 billion.
“This fundraise demonstrates that demand for infrastructure investing is growing as investors continue to increase their allocations to real assets,” said Sam Pollock, head of Brookfield’s infrastructure business.
The fund has so far committed to invest more than US$3 billion in assets including a portfolio of U.S. hydroelectric facilities, a portfolio of Brazilian electricity transmission projects, a Colombian power generation company, a portfolio of Peruvian toll roads, and a U.S. water infrastructure project developer.
Update: Last month, the private equity group of Brookfield raised US$4 billion in the close of its fourth mid-market fund, Brookfield Capital Partners IV.
Including the infrastructure and private equity funds, Brookfield secured US$27 billion in its private fundraising over the past 18 months, the Toronto-based firm reported.
(Reporting by Matt Scuffham; Editing by Jonathan Oatis and Paul Simao)
(This story has been edited by Kirk Falconer, editor of PE Hub Canada)
Photo of Manitoba Seven Sisters Generating Station courtesy ©iStock/Richard Gillard