United Asset Management today reported a 12% rise in first-quarter revenue to $241.8 million, from $215.5 million in 1997's first quarter. But net income for the quarter was $22.1 million vs. $24.1 million a year earlier. Diluted earnings per share were 31 cents, compared with 33 cents in the prior year. UAM also reported a $4.7 billion loss in client assets during the first quarter and predicted client losses will continue throughout the year. UAM's 45 affiliates had a record $213.9 billion in total assets under management, up from $197.5 billion reported at the end of the year.
In addition, UAM announced a strategic alliance with Tokio Marine and Fire Insurance to offer investments trusts to Japanese investors. The trusts will be subadvised by up to 10 of UAM's investment management firms and marketed in Japan by Tokio Marine. The funds primarily will contain non-Japanese assets and will include global equity and global tactical asset allocation.