Brookfield closes fund IV at US$20bn hard cap

Brookfield Asset Management Inc has closed its latest flagship global infrastructure fund, Brookfield Infrastructure Fund IV, with total equity commitments of US$20 billion.

Based on strong investor demand, BIF IV attracted total capital commitments exceeding the original US$17 billion fundraising target. BIF IV’s predecessor fund closed in 2016 with US$14 billion of total capital commitments.

Over the last 24 months, Brookfield has raised more than US$50 billion across its flagship private fund strategies, including the closure of its flagship real estate fund, Brookfield Strategic Real Estate Partners III, at US$15 billion, and its flagship private equity fund, Brookfield Capital Partners V, at US$9 billion, and co-investment capital across each fund. All three flagship funds surpassed their fundraising targets.

Investors in BIF IV are a diverse group of 170 institutional investors from across the globe, including public and private pension plans, sovereign wealth funds, insurance companies, financial institutions, endowments and foundations, family offices, and private wealth investors. Approximately 75% of the third-party capital came from existing Brookfield investors, highlighting Brookfield’s focus on building long-term relationships with its limited partners.

Brookfield committed US$5 billion to the Fund, underscoring its strong alignment of interests with its investors. Brookfield’s commitment will be funded through Brookfield Infrastructure Partners L.P. and Brookfield Renewable Partners L.P.

To date, the Fund has invested or committed approximately US$8 billion, or 40% of its capital, to a diversified set of attractive infrastructure businesses, including the largest short-haul rail operator in North America, natural gas pipelines in North America, data infrastructure businesses in South America, New Zealand, India, and the U.K., and a global portfolio of renewable power assets.