- Brookfield Reinsurance (BAMR) has announced financial results for the quarter ended March 31, 2022
- It recorded a net income of $128 million
- This was primarily driven by realized gains on its investment portfolio
- It closed 7 transactions in the quarter within its Pension Risk Transfer (PRT) business, representing $109 million of new premiums
- It added over $180 million of flow premiums from reinsurance treaties closed in late 2021
- Brookfield Asset Management Reinsurance Partners Ltd. opened trading at $61.14
Brookfield Asset Management Reinsurance Partners (BAMR) has announced financial results for the quarter ended March 31, 2022.
The company recognized $13 million of distributable operating earnings (DOE) for the three months ended March 31, 2022, compared to $1 million in the prior-year period. The increase was driven by net investment income on its corporate investments acquired over the last twelve months, which will be transferred into its insurance investment portfolios in the near term.
It recorded a net income of $128 million for the three months ended March 31, 2022, primarily driven by realized gains on its investment portfolio, as well as contributions from DOE as noted above.
Currently, Brookfield has approximately $1.8 billion of available corporate liquidity, with an additional $2.5 billion of liquidity within its insurance portfolios. This gives it the flexibility to invest as interest rates rise and if markets continue to present attractive opportunities.
The company closed 7 transactions in the quarter within its Pension Risk Transfer (PRT) business, representing $109 million of new premiums.
During the quarter, the company received over $180 million of flow business under its existing reinsurance treaty with American Equity Investment Life Holding Company (NYSE:AEL), bringing total premiums reinsured to date to nearly $5 billion under its $10 billion reinsurance agreement.
In addition, it completed the purchase of an additional 6,775,000 shares of common stock of AEL, bringing its total equity interest in AEL to approximately 17 per cent.
The acquisition of American National Group, Inc. (NASDAQ:ANAT), is anticipated to close in the coming weeks.
“We continue to progress our previously announced transactions while maintaining high levels of liquidity within our investment portfolios,” said Sachin Shah, CEO of Brookfield Reinsurance.
“Accordingly, as interest rates rise, we have significant financial flexibility to invest for value,” he added.
The Board declared a quarterly distribution of $0.14 per share, payable on June 30, 2022, to shareholders of record as of the close of business on June 15, 2022.
Brookfield Reinsurance was established on December 10, 2020 by Brookfield and on June 28, 2021 Brookfield completed the spin-off of the company, which was effected by way of a special dividend, to holders of Brookfield’s Class A and B Shares.
Brookfield Asset Management Reinsurance Partners Ltd. opened trading at $61.14.