Brookfield Asset Management Ltd.BAM

Brookfield Asset Management Ltd. Debt Disclosure

10-KFiled Mar 2, 20262 min read
CORPORATE BORROWINGS
BAM established a $750 million five-year revolving credit facility on August 29, 2024 through bilateral agreements with a group of lenders. The facility is available in U.S. and Canadian dollars, where U.S. dollar draws are subject to the U.S. Base Rate or SOFR plus a margin of 110 basis points, while Canadian dollar draws are subject to the Canadian Prime Rate or CORRA plus a margin of 110 basis points. The margins are subject to change based on the Company's credit rating. During the year ended December 31, 2025, BAM increased its revolving credit facility by $300 million to $1.05 billion.

During the year ended December 31, 2025, BAM completed three debt offerings, issuing an aggregate of $2.5 billion of senior unsecured notes. On April 24, 2025, BAM issued $750 million of 10-year senior unsecured notes at a fixed interest rate of 5.795%. On September 9, 2025, BAM issued $750 million of 30-year senior unsecured notes at a fixed interest rate of 6.077%. On November 18, 2025, BAM issued $600 million of 5-year senior unsecured notes at a fixed interest rate of 4.653%, and $400 million of 10-year senior unsecured notes at a fixed interest rate of 5.298%.

All or a portion of the senior unsecured notes may be redeemed at BAM's option in whole or in part, at any time and from time to time, prior to the stated maturity, at the redemption price set forth in the agreement. If a change of control triggering event occurs, subject to certain conditions, BAM will be required to make an offer to repurchase all outstanding senior unsecured notes in cash equal to 101% of the principal amount plus accrued and unpaid interest up to the date of, but not including, the date of repurchase.
BAM has the following debt obligations outstanding:
AS AT DECEMBER 31,
(MILLIONS)
20252024Remaining Maturity
Carrying ValueFair ValueCarrying ValueFair Value
Senior unsecured notes
4.653%, Due 11/15/2030
$600 $605 $— $— 58 months
5.795%, Due 4/24/2035
750 786 — — 113 months
5.298%, Due 1/15/2036
400 400 — — 121 months
6.077%, Due 9/15/2055
750 769 — — 357 months
Deferred financing costs(22)(22)— — N/A
Total corporate borrowings$2,478 $2,538 $— $— 
Fair value is determined by broker quote and these notes would be classified as level II within the fair value hierarchy.
Borrowings of Consolidated Funds
Certain consolidated funds also maintain revolving credit facilities that are secured by the limited partner commitments of the respective fund. The consolidated funds of BAM have the following borrowings:
AS AT DECEMBER 31,
(MILLIONS)
20252024Facility CapacityWeighted Average Interest RateWeighted Average Remaining MaturityCommitment fee rate
Consolidated funds
Revolving credit facilities$462 $251 $745 
6.1%
1 month
0.3 %
Total borrowings of consolidated funds$462 $251 
BAM was in compliance with all financial covenants associated with its corporate borrowings as of December 31, 2025 and 2024.

About Debt Disclosures

Debt disclosures detail a company's borrowing structure — the types of instruments, interest rates, maturity schedule, and covenant restrictions that define its financial obligations and flexibility. This section is essential for assessing refinancing risk, interest rate exposure, and the margin of safety against financial distress.

Key signals: the maturity schedule reveals concentration risk — large maturities within 1-2 years during tight credit markets can force dilutive refinancing or asset sales. Compare the fair value of debt against carrying amount to gauge whether the market views the company's credit risk differently than the balance sheet suggests. Watch covenant compliance disclosures for tightening cushions, especially leverage and interest coverage ratios. Variable-rate debt exposure quantifies sensitivity to interest rate changes. Secured versus unsecured mix affects recovery rates and future borrowing capacity. Compare net debt-to-EBITDA against industry peers and covenant limits to assess financial health.

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