Wednesday, August 28, 2019

Recent Buy - Brookfield Infrastructure Partners L.P. (BIP)

Friday August 23, I bought 73 shares of Brookfield Infrastructure Partners L.P. (BIP) at $ 45.98 per share plus commission.

Brookfield Infrastructure Partners L.P. owns and operates utilities, transport, energy, and data infrastructure businesses. 
The Utilities segment operates approximately 2,000 kilometers (km) of natural gas transportation pipelines in the states of Rio de Janeiro, Sao Paulo, and Minas Gerais; approximately 2,200 km of electricity transmission lines in North and South America; and approximately 6.6 million electricity and natural gas connections and 1.1 million smart meters, as well as operates metallurgical coal export terminals. 
The Transport segment offers transportation, storage, and handling services for freight, bulk commodities, and passengers through a network of 5,500 km of track network in south of Western Australia; approximately 4,800 km of rail in South America; approximately 4,200 km of motorways in Brazil, Chile, Peru, and India; and 37 port terminals in North America, the United Kingdom, Australia, and Europe.

The Energy segment offers natural gas midstream and storage services through approximately 15,000 km of natural gas transmission pipelines; and 600 billion cubic feet of natural gas storage in the United States and Canada. This segment also provides heating and cooling services to customers, and energy solutions, as well as serves approximately 24,900 natural gas, water, and wastewater connections. In addition, the Energy segment provides water heater rental; heating, ventilation, and air conditioner rental; and other home services in Canada and the United States, as well as 270,000 contracted sub-metering services with in Canada.
The Data Infrastructure segment offers services and critical infrastructure to the media broadcasting and telecom sectors; and data storage services and infrastructure to enterprise customers.
The company was founded in 2007 and is based in Hamilton, Bermuda. Brookfield Infrastructure Partners L.P. is a subsidiary of Brookfield Asset Management Inc.

BIP is a Dividend Contenders with a 12 year streak of dividend increases. Dividend growth rates for 1, 3, 5 and 10 years are 8.0, 10.0, 10.4 and 12.3. (Dividend Champions.xls) Brookfield Infrastructure Partners L.P. now pays dividends of $ 0.5025 per share normally in March, Juni, September and December.

If you are interested, you can read Brookfield's analysis by Simply Safe Dividends here and by Brad Thomas at seeking Alpha here.

Details of my purchase:

Some ratings for BIP:

    Yahoo: Mean Recommendation 2.0, 1y Target Est $ 48.63
    Reuters: Mean Rating 2.00

In October last year I acquired the first BIP's shares in my portfolio and then after that I slowly increased their amount in my other broker account. After this purchase with price $ 45.98 plus commission ($ 16.70), I totally hold now 85 shares of BIP and my yield on cost is 4.44%. BIP's weight of my portfolio is about 0.75% and its share of future annual dividend income is approximately 0.73%.

At today's exchange rate, that purchase 73 shares of BIP will increase € 98.63 ($ 109.31) of my expected annual net dividend income and will increase my portfolio's projected annual passive net income to € 15,560.00.

Maybe I'm interested in adding BIP's share of my portfolio if and when the price drops below $ 40.

Click here to see my portfolio.

Full Disclosure: Long BIP

Thanks for stopping by!


  1. I've got some BEP . . . been thinking of getting BIP too. There's been some speculation that they may have expressed interest in acquiring IPL (Inter Pipeline).

  2. I initiated a position in BIP earlier this month. Lots to like about this company. Hard infrastructure assets won't be going anywhere plus an excellent management team with a great track record.

  3. Moi DH!

    Kiitos hyvästä blogista!

    Löysin hieman ristiriitaisia tietoja koettaessani etsiä miten meikäläisittäin näiden LP/MLP yritysmuotojen osinkojen/voitonjaon verotus menee.

    Maksatko näistä veroja kuten normaalista osingosta Jenkeistä, lähdevero 15% ja loput Suomeen vai onko verotus korkeampaa?


    1. Moi Matti ja kiitos!

      Lähdevero vaihtelee, joskus osa on pääomanpalautusta tai jostain muusta syystä verovapaata, suoraan sanoen en edes tiedä, mikä milloinkin on syynä. Kaikissa osingoissa, joita olen Brookfieldiltä saanut, on lähdevero ollut alle 15%, joten suomen verottajalle jää vielä ihan mukavasti maksettavaa.

      Kiitos vierailusta!