Brookfield Asset Management is ramping up efforts to grow its $314bn private credit business by selling portions of the debt it finances to external investors as it looks to boost fees and expand its footprint in the private debt market, according to a report by Bloomberg.
The report cites unnamed sources familiar with the matter as revealing that firm has established a syndication team within its Brookfield Capital Solutions unit to offload stakes in non-investment-grade debt it underwrites. The team, led by Craig Laurie, a Managing Partner in Brookfield’s credit division, is set to grow significantly, with plans to hire up to 15 staff over the next year, compared to the current team of four.
Brookfield’s move comes as asset managers increasingly target the lucrative $1.6tn private credit market, where syndication and fee-generating activities are gaining traction. Firms like Apollo Global Management and KKR & Co have already made strides in the space, with Apollo recently launching a private high-grade debt trading strategy under its capital solutions unit, and KKR’s capital markets division reporting a record $1bn in syndication fees in 2024.
Last year, Brookfield laid the foundation for its expansion by setting up a US broker-dealer, Brookfield Securities. Through this platform, the firm plans to syndicate debt across key investment areas such as infrastructure, real estate, renewable energy, and private equity. Brookfield’s funds and insurance units will also invest in portions of the syndicated debt.
