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Nicholas Goodman, President & CFO, confirmed Brookfield is engaging with large clients for its AI strategy, similar to the launch of its transition fund. He explained that technology risk is mitigated by structuring investments to fund the infrastructure backbone, limiting downside exposure. He noted current carry comes from Oaktree and first-vintage global funds, with BIF two, BSREP two and three, and Oaktree funds ten and eleven being the next significant contributors.

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Nicholas Goodman, President & CFO, confirmed they are engaging with large clients for the AI strategy, similar to the transition fund's launch. He explained that obsolescence risk will be mitigated through investment structures with off-takers. He then detailed that current carry comes from Oaktree and first-vintage global funds, with the next wave expected from BIF two, BSREP two and three, and Oaktree funds ten and eleven.

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Nicholas Goodman, an executive, confirmed that the reorientation of global supply chains is an ongoing trend presenting attractive investment opportunities where Brookfield's scale, capital, and operating expertise provide a unique advantage. Sachin Shah, CEO of Wealth Solutions, explained that funding agreements are a hybrid product, combining the finite term and fixed rate of an annuity with the no-lapse-risk feature of a pension deal, making them an attractive and growing part of their offering.

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President Nick Goodman stated the intrinsic value increase was driven by broad-based growth, particularly the strong performance of the asset manager (BAM) and scaling earnings in the Wealth Solutions platform. He dismissed competitive concerns in private wealth, emphasizing the focus is on building sustainable, high-return products, not just maximizing intake volume.

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President Nick Goodman stated the primary focus for BAM is achieving U.S. index inclusion. While Brookfield has no specific target for its 73% stake, it intends to remain a significant long-term owner. Regarding insurance, he explained that global expansion into the U.K. and Asia provides flexibility to allocate capital to the best opportunities worldwide, noting they can find attractive returns despite competitive markets.

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President Connor Teskey affirmed this is a significant, multi-decade growth opportunity. He explained that while brand and scale are important, the ultimate winners will be firms with the right products. He emphasized Brookfield's leadership in real assets like infrastructure and power, which offer the long-duration, inflation-protected cash flows ideal for retirement portfolios.

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An Unknown Executive responded that the trend of blending asset classes highlights the growing importance of alternatives in standard portfolios, a space Brookfield is monitoring for future opportunities. They expressed high confidence in their differentiated, operationally-focused private equity strategy, which is well-suited for the current market, and confirmed plans to launch the next vintage this year, with a first close possible around year-end.

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President Connor Teskey explained that the beneficial market dynamic, characterized by high liquidity and significant capital needs, is expected to last through 2025 and potentially longer. Regarding the 401(k) market, he noted that while the timing is uncertain, the trend is increasingly positive, and Brookfield is well-positioned with its long-duration, inflation-indexed asset classes should regulations change.

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CEO James Flatt confirmed that an AI infrastructure-focused product is a top priority and would align with their existing infrastructure strategies. CFO Hadley Peer Marshall explained that the credit business maintains attractive margins due to a mix of fee structures, including full fees on capital allocated to their funds and the operating leverage from their built-out platform, which will support new third-party mandates without significant margin compression.

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CEO Sam Pollock attributed the increased transaction activity to investors re-engaging after being on the sidelines, supported by strong capital markets and BIP's strategic position in the AI infrastructure boom. Regarding Canadian midstream, he stated that while partial sales are always possible, the primary focus is on funding significant organic growth opportunities, potentially with new partners, given strong investor interest in the sector.

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CEO Sam Pollock explained that Brookfield's global investment teams provide the flexibility to shift capital to where returns are best, noting a current focus on the U.S. market. He added that public-to-private opportunities typically arise from company-specific issues like poor liquidity, rather than general market conditions, and that current conditions are only slightly more favorable for such deals than in the past.

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CEO Sam Pollock stated that Brookfield Infrastructure has successfully maintained its yield-to-cost on data center projects, citing increased contract rates and controlled costs. He also explained that while a strong U.S. dollar reflects a capital boom driving investment in the U.S., it does not directly dictate asset sale decisions, which are based on business plans and local market values. Roberto Marcogliese, Head of Telecom North America, added that the focus on power-constrained Tier 1 markets creates scarcity and supports premiums.

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CEO Sam Pollock clarified that while nuclear energy is a long-term solution, the immediate focus for powering data centers remains on renewables and natural gas. Regarding the decarbonization businesses, he explained that the company follows a decentralized model where regional operations run autonomously, with Brookfield facilitating the sharing of best practices and technology rather than seeking direct operational synergies.

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Interim Chief Commercial Officer Janet Drysdale noted that U.S.-bound traffic via Canada is less than 5% of total revenue and has seen good progress at Prince Rupert. CEO Tracy Robinson added that while CN is monitoring merger chatter, the company's resilient network, with 85% of volume originating on its lines, ensures the Prince Rupert advantage would persist. She emphasized that CN believes commercial arrangements offer similar benefits to mergers without the disruption.

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CEO Tracy Robinson emphasized CN's preference for partnerships, citing examples like the Falcon service with UP and FXE, to gain benefits without the significant regulatory and capital risks of mergers. She acknowledged the chatter around consolidation but stated that the high bar set by 2001 rules makes Class 1 mergers difficult, keeping CN's focus on leveraging its network and partnerships.

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Chief Commercial Officer Remi Lalonde explained that recovery was hindered by a November port strike but is off to a good start in January. He anticipates the majority of the recovery will occur after Q1 and Chinese Lunar New Year, aiming to normalize performance back to the strong levels seen in the first half of 2024.

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President and CEO Tracy Robinson explained that the company now conducts more extensive analysis on these issues to understand a range of potential outcomes for resource planning. She stated that while they may guide differently in the future, the primary focus remains on maintaining a resilient operating plan and high levels of customer service.

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CEO Andrew Hider expressed high confidence in returning to growth, citing a 1.23 book-to-bill ratio. CFO Ryan McLeod added the backlog is up 19.3% and clarified the control deficiency was a non-financial documentation issue found during SOX adoption. Hider detailed that Consumer backlog strength came from warehouse automation and Nuclear from refurbishments and new fuel work. McLeod noted that contracts and supply chain localization help mitigate tariff impacts.

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CEO Andrew Hider expressed strong confidence in returning to growth, citing a 1.23 book-to-bill ratio and strong customer demand in niche warehouse automation and multiple nuclear sub-sectors (CANDU, decommissioning, SMRs, and fuel). CFO Ryan McLeod added that the backlog is up 19.3% YoY, providing visibility. McLeod clarified the internal control issue was a documentation matter related to SOX adoption with no financial impact. He also noted that contracts provide good protection against tariffs, with a primary focus on supply chain localization.

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Andrew Hider, Chief Executive Officer, stated that while tariffs could create short-term complexity, ATS's global footprint is a long-term strategic advantage, and customer conversations are focused on ATS's ability to support regional production needs. He also noted that while labor market shifts could present mid-to-long-term opportunities in Food & Beverage automation, he would not characterize it as a short-term driver.

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