Sumary of The Top Canadian Stock for Your Portfolio:
- The company owns and operates high-quality, long-life assets that generate stable cash flows, require relatively minimal maintenance capital expenditures and, by virtue of barriers to entry or other characteristics, tend to appreciate in value over time.
- Although the company’s current operations are utilities located in the U.K. and Brazil, shareholders have exposure to eight markets across the transport, midstream, and data operating segments by virtue of the exchange feature of the company’s exchangeable shares.
- The exchangeable shares of the company were structured with the intention of being economically equivalent to the units of the partnership.
- Exchangeable share feature Economic equivalence is achieved through identical dividends and distributions on the exchangeable shares and the partnership’s units;
- each share is exchangeable at the option of the holder for one unit of the partnership at any time.
- Given the economic equivalence, the market price of the exchangeable shares is significantly impacted by the market price of the partnership’s units and the combined business performance of Brookfield Infrastructure as a whole.
- The group’s mission appears to be to own and operate a globally diversified portfolio of high-quality infrastructure assets that generates sustainable and growing distributions over the long-term for the company’s shareholders.
- Operations-oriented approach As the business matures and cash flows have been de-risked, the company is looking to recycle capital and re-invest in assets that are expected to generate higher returns.