Reading time: approx. 6-7 minutes

A few weeks ago, I described the structural appreciation of the uranium market as part of the supercycle approach: Supply deficits, geopolitical upheavals and the political turnaround in favor of nuclear energy mark the beginning of a multi-year uptrend. Today, reality provides the next piece of evidence - and $CCO (+1,3%) (Cameco) is at the center of it.

Together with Westinghouse Electric and Brookfield Asset Management, the Canadian company is participating in a new $BAM (+1,3%) Brookfield Asset Management in a new 80 billion US dollar energy offensive by the US government. The aim is to massively expand nuclear power capacities in the United States. The initiative is more than just a political signal: it is seen as a turning point in industrial policy and is intended to cover the entire cycle of civilian nuclear energy - from uranium mining to fuel processing and reactor technology. Supported by state guarantees and tax incentives, it marks an attempt to reduce dependence on Russia and China in the global uranium market.

For Cameco, this represents a decisive step: the Group, previously one of the largest uranium producers in the world, is increasingly becoming a political and economic partner of the Western energy transition. The combination of technological expertise, access to first-class deposits and now also political backing gives the company a strategic role that goes beyond simply extracting raw materials.

For me, today's news underlines why uranium is currently one of the most exciting sectors for long-term investors. My own supercycle portfolio reflects this logic: a tiered exposure along the entire value chain - from producers to physical storage companies. Cameco forms the core, the foundation of the positioning. In addition, I rely on $YCA (-0,14%) (Yellow Cake) as a direct lever on the uranium price, as the company physically stores real stocks and thus offers pure price exposure. $NXE (-3,75%) (NexGen Energy) stands for the exploration growth portion: a developer that controls one of the most promising uranium deposits in the world with the Arrow project in Canada. $DML (-5,1%) (Denison Mines) contributes technological diversification - the focus is on the in-situ recovery method, which is intended to make uranium mining more efficient and environmentally friendly. Finally $PDN (-2,14%) (Paladin Energy) complements the geographic diversification with a strong production focus in Namibia - a leverage to the supply shortage outside North America.

Together, these five stocks form a balanced cluster of substance and dynamism. Cameco and Yellow Cake stand for stability, NexGen, Denison and Paladin for speculative momentum in the early cycle. It is precisely this mix that is characteristic of phases in which structural scarcity coincides with political tailwinds.

Today's US initiative fits into a bigger picture. Nuclear energy is making a comeback worldwide: France is extending operating times and planning new EPR plants, Japan is reactivating reactors, China is continuously expanding its network, while countries such as Poland, the Czech Republic and Finland are initiating their own projects for the first time. After decades of underinvestment, there is a massive surge in demand - and supply is barely growing. Cameco controls some of the most productive mines in the world and is benefiting directly from the structural deficit.

The current cycle is following a familiar pattern: first prices stabilize after a long bear market, then political programs and investment waves meet tight capacity. We are right in the middle of this acceleration phase. The momentum is not the result of short-term speculation, but of real bottlenecks and industrial policy realignment.

Of course, the environment is not without risks. After the strong performance of recent quarters, temporary consolidations are possible, and uranium prices are also sensitive to geopolitical shifts. Regulatory uncertainties regarding new projects could also delay schedules. But the overarching story remains intact: Nuclear power is back - and with it those companies that supply the fuel.

Cameco is at the forefront of a growing ecosystem that stretches from Canada to Australia and Namibia. Participation in the US's 80 billion offensive shows that uranium is no longer a marginal issue, but is seen as a security policy factor. Investing in this super cycle at an early stage means investing not only in energy, but also in geopolitical stability.

Strong earnings from the $BAM (+1,3%)

Brookfield Asset Management delivered strong results in Q1 2025 with record FRE of USD 698 million (+26%) and DE of USD 654 million (+20%). Fee-bearing capital grew by 20% to USD 549 billion, driven by USD 25 billion in new capital raised and USD 16.1 billion in investments. The credit and real estate segments were particularly strong, while renewable energy shone through large transactions such as NeOen. BAM's focus on long-term, stable revenues (87% of fee-bearing capital) and its strategic positioning in growth sectors such as decarbonization and digitalization underpin the potential for further growth. The robust liquidity and optimistic market outlook position BAM well for 2025.

1. financial results

Distributable Earnings (DE):

• In the first quarter of 2024, BAM achieved a distributable earnings of USD 552 millionan increase of 7 % compared to USD 515 million in Q1 2023. This corresponds to USD 0.38 per sharecompared to USD 0.35 in the previous year.
• The increase is due to higher fee-related income and improved carry income (performance-based income from funds).
• DE is a key indicator for BAM as it reflects the funds available for dividends, share buybacks and reinvestments.

Net income:

• The net profit amounted to USD 102 milliona decrease from USD 125 million in Q1 2023, due to one-time write-downs in certain real estate portfolios driven by challenging market conditions in the commercial real estate sector.
• Despite the decline, net income remains solid as BAM continues to benefit from diversified revenue streams.

Fee income:

• The fee-related income increased by 9 % to USD 459 millioncompared to USD 421 million in the previous year. This growth resulted from the increase in assets under management and new funds that generate management fees.
• The average fee basis (fee-bearing capital) grew by 10 % to USD 475 billion, underlining the scalability of BAM's business model.

Carry revenue:

• The realized carried interest-income (share of fund profits) amounted to USD 93 millionan increase from USD 85 million in Q1 2023, reflecting successful exits in private equity and infrastructure investments.
• Unbooked (unrealized) carried interest was USD 2.1 billion, signaling strong potential for future returns as funds are liquidated

Assets under management (AUM):

• The total assets under management exceeded the mark of 1 trillion USDan increase of 14 % compared to USD 880 billion in Q1 2023.
• This growth was supported by organic inflows, positive market developments and strategic acquisitions, particularly in the infrastructure and renewable energy sectors.

Capital raising:

• BAM raised in Q1 2024 USD 30 billion in new capital, of which:
• USD 15 billion for a new global real estate fund (Brookfield Strategic Real Estate Partners V).
• USD 10 billion for renewable energy and decarbonization funds.
• USD 5 billion for private equity and infrastructure funds.
• The strong fundraising underlines the confidence of institutional investors (e.g. pension funds, sovereign wealth funds) in BAM's expertise in alternative investments.

Dividend:

• BAM declared a quarterly dividend of USD 0.38 per sharepayable on June 28, 2024, representing an annualized dividend of USD 1.52 per share.
• The dividend was increased by 19 % compared to the previous year,

2. operational highlights

Demand for alternative investments:

• Demand for alternative investments (real estate, infrastructure, renewable energy, private equity, credit) remains robust, despite macroeconomic uncertainties such as inflation and geopolitical tensions.
• BAM benefits from its leading position in these sectors as institutional investors increasingly invest in real assets to achieve inflation protection and stable returns.

Segment results:

• Real EstateDespite challenges in the commercial real estate sector (e.g. office properties due to remote work), the real estate business remains a core pillar. The new real estate fund attracted USD 15 billion in capital due to the attractiveness of logistics and residential real estate.
• InfrastructureInfrastructure business grew strongly, supported by investments in digital infrastructure (e.g. data centers) and transportation. AUM in the infrastructure segment increased by 12%.
• Renewable energiesRenewable energy and decarbonization saw an inflow of USD 10 billion, driven by the global energy transition and investments in wind, solar and hydrogen projects.
• Private equity: Strong exits in this segment contributed to higher carried interest income. BAM focuses on technology-driven companies and SMEs.
• Credit: The lending business expanded as BAM increasingly provides debt capital for real estate and infrastructure projects, which generates stable margins.

Strategic initiatives:

• BAM launched several new funds, including:
• A global real estate fund with a target volume of USD 20 billion.
• A renewable energy fund with a focus on decarbonization.
• A private equity fund targeting technology and healthcare companies.
• The company entered into a strategic partnership with a leading pension fund to invest USD 5 billion in infrastructure projects.
• BAM is strengthening its presence in Asia, particularly in India and Southeast Asia, where demand for infrastructure and real estate is growing.

Market and economic outlook:

• Management is optimistic for the remainder of 2024 as interest rates become more stable in most markets and capital markets gain momentum.
• BAM expects the energy transition and the need for digital infrastructure (e.g. 5G, AI data centers) to continue to drive growth in the coming years.
• Challenges such as geopolitical uncertainties and inflationary pressures will be closely monitored, but BAM's diversified portfolio offers resilience.

3. commentary from management

• Bruce Flatt, CEO of BAMemphasized: "Our record first quarter results reflect the strength of our global business model and the continued demand for real assets. With over USD 1 trillion in assets under management and robust capital raising, we are well positioned to deliver further growth."
• Flatt emphasized that the new funds and strategic partnerships underscore BAM's ability to add value in a complex market environment.

4. financial stability and liquidity

• BAM has a solid balance sheet with liquidity of USD 10 billionincluding cash and unutilized credit facilities.
• Debt remains moderate, with a debt-to-AUM ratio below 20%, providing financial flexibility for new investments.
• In Q1, the company carried out a share buyback of USD 50 million in Q1 to increase shareholder value.

$BAM (+1,3%) with extremely strong earnings. Tomorrow it's BN's turn, then there will be more information. I am very pleased with the figures, BAM is delivering what it promised.

Financial results

• Fee-bearing capital (FBC) increased to USD 539 billion in the fourth quarter of 2024 (+18% year-on-year)
• Fee-related earnings reached USD 677 million (USD 0.42/share) in the quarter and USD 2.5 billion (USD 1.51/share) in the year (+17 % and +10 % respectively)
• Distributable earnings amounted to USD 649 million (USD 0.40/share) in the quarter and USD 2.4 billion (USD 1.45/share) in the year (+11 % and +5 % respectively).

Fundraising

• USD 29 billion raised in the fourth quarter and USD 137 billion for the year as a whole.
• Renewable energies: USD 4.2 billion (incl. USD 3.5 billion for global transformation fund).
• Infrastructure: USD 2.5 billion (strongest quarter in two years).
• Private equity: USD 1.8 billion, including USD 1.0 billion for Middle East funds.
• Real Estate: USD 700 million, including USD 500 million for flagship funds.
• Lending business: USD 20 billion, including USD 9.2 billion via Oaktree funds.

Investments and disposals

• Investments: USD 16 billion per quarter, USD 48 billion per year.
• Renewable energies: USD 4.5 billion (including USD 3.2 billion for Neoen acquisition).
• Real estate: USD 2.4 billion (e.g. US rental apartments & European logistics REITs).
• Lending business: USD 7.7 billion.
• Disposals: USD 9 bn per quarter, USD 30 bn per year.
• Renewable energies: USD 1.4 billion (including the sale of Saeta Yield).
• Real estate: USD 1.8 billion (e.g. sale of British shopping centers).
• Private equity: Clarios refinancing with USD 4.5 billion payout.

Strategic transactions & dividends

• BAM acquired 73 % of BN's stake in the asset management business and now holds 100 %. BN now holds BAM shares to further simplify the corporate structure.
• Quarterly dividend: USD 0.4375/share (+15%), payable on March 31, 2025.

Will Vici Properties $VICI (+0,4%) to the Bahamas next ?!?

The rumors that the Real Estate Investment Trust, which was spun off from Caesars Entertainment in 2017, may be interested in investing in Atlantis stem from the Central Bank of the Bahamas' latest quarterly report on economic and financial developments.

The bank's "Selected New Foreign Investment Projects" summary listed Vici and Atlantis owner Brookfield Asset Management $BAM (+1,3%) were listed as recently approved foreign companies for further investment in The Bahamas via New Providence.

Reports surfaced both in 2019 and last year that Brookfield was looking to sell Atlantis for around $2.5 billion. However, a takeover never materialized. Now Brookfield appears to have found a partner to invest in either ownership and/or expansion of the ocean-themed hotel.

The aforementioned 382 million dollar project could be a rejuvenation of a project that Atlantis 2022 launched in partnership with David Grutman of Groot Hospitality and music producer Pharrell Williams. The 400-room hotel called "Somewhere Else" was to be built near The Coral. However, the ground-breaking ceremony for the project never took place.

Vici might as well just buy a piece of Atlantis with its $382 million presentation, which was approved by the Central Bank of the Bahamas in September. Requests for comment from Vici, Brookfield and Atlantis have so far gone unanswered.