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CAPITAL MANAGEMENT
 6 Months Ended
Jun. 30, 2022
Disclosure of Capital Management [Abstract]  
CAPITAL MANAGEMENT CAPITAL MANAGEMENT
Our partnership’s approach to capital management is focused on maximizing returns to unitholders and ensuring capital is deployed in a manner consistent with achieving our investment return objectives.
Invested Capital, which tracks the amount of capital that has been contributed to our partnership, is a measure we utilize to assess returns on capital deployed, relative to targeted returns. Investment decisions are based on, amongst other measures and factors, targeted returns on Invested Capital of 12% to 15% annually over the long term. We measure return on Invested Capital as Adjusted Funds from Operations (“AFFO”), less estimated returns of capital on operations that are not perpetual in nature, divided by the weighted average Invested Capital for the period.
We define AFFO as FFO less capital expenditures required to maintain the current performance of our operations (maintenance capital expenditures). We define Invested Capital as partnership capital removing the impact of the following items: non-controlling interest in operating subsidiaries, retained earnings or deficit, accumulated other comprehensive income and ownership changes.
As of
US$ MILLIONSJune 30, 2022December 31, 2021
Partnership Capital$26,039 $26,391 
Remove impact of the following items since inception:
Non-controlling interest - in operating subsidiaries(15,720)(15,658)
Deficit2,865 2,520 
Accumulated other comprehensive income(393)(543)
Ownership changes and other(515)(515)
Invested Capital$12,276 $12,195 
The following table presents the change in Invested Capital during the three and six-month periods ended June 30, 2022 and 2021:
For the three-month
period ended June 30		For the six-month
period ended June 30
US$ MILLIONS2022202120222021
Opening balance$12,272 $9,410 $12,195 $9,213 
Net (redemption) issuance of preferred units— — (220)194 
Issuance of perpetual subordinated notes— — 293 — 
Issuance of limited partnership units 4 3 8 6 
Ending balance$12,276 $9,413 $12,276 $9,413 
Weighted Average Invested Capital$12,272 $9,410 $12,346 $9,386