Assets decline at Goldman Sachs in quarter, rise 2% in 2012

Goldman Sachs reported $854 billion in assets under management for its Goldman Sachs Asset Management and wealth management businesses as of Dec. 31, down 0.2% from the prior quarter but up 3% from the year before, according to its fourth-quarter earnings statement issued Wednesday.

Total net outflows for the quarter were $7 billion, driven by $10 billion in net outflows from fixed-income strategies, $5 billion from equity and $3 billion from alternative investments. Inflows were reported in money market strategies, at $11 billion.

In the third quarter, total net outflows were $1 billion, and in the fourth quarter 2011, total net outflows were $17 billion.

By asset class, Goldman Sachs reported $370 billion in fixed-income AUM, down 2% from the prior quarter; money market strategies had $218 billion in assets, up 5%; alternatives-related assets at $133 billion, down 2%; and equity AUM also at $133 billion, down 1%.

Investment management revenue for the latest quarter came to $1.52 billion, up 26% from three months earlier and 20% above the quarter ended Dec. 31, 2011. The year-over-year increase was attributed to “significantly higher incentive fees and higher management and other fees,” according to the earnings statement.

Total investment management fees were $1.067 billion, up 5% from both the previous quarter and the fourth quarter 2011.