Several money managers today reported increases in assets under management for the year ended June 30.
State Street Global Advisors reported $1.37 trillion in assets under management as of June 30, unchanged from the end of March but up 12% from the second quarter 2004. Parent company State Street Corp.'s second-quarter revenue from management fees came to $173 million, down 2% from the first quarter but up 13% from the year-earlier period. SSgA spokesman Brian Willinsky said the group doesn't break out net profit figures for the asset management arm. Second-quarter net income for State Street Corp. was $220 million, down 3% from the previous quarter but unchanged from the year before.
Mellon Financial reported $738 billion in assets under management at the end of the second quarter, a 1.2% increase from the first quarter and 9% higher than a year ago. The growth in the second quarter was mostly due to a $7 billion increase in the firm's institutional assets, which jumped to $126 billion as of June 30. Mellon's net income from operations was $203 million in the second quarter, 33% less than the first quarter but 13% higher than the second quarter of 2004. Mellon attributed the year's growth to a 15% increase in investment management fees, to $437 million as of June 30, spurred by "net inflows, improved market conditions, a higher level of performance fees and impact of acquisitions," according to a news release from Mellon.
BlackRock reported $414.4 billion in assets under management as of June 30, an increase of 6% from the previous quarter and a jump of 34% from the second quarter 2004, according to a company filing today. BlackRock attributed the second quarter gain to strong institutional flows, which resulted in $15.6 billion in net new assets. For the year, the growth in AUM is a result of both new institutional inflows and the acquisition earlier this year of State Street Research and Management; SSRM portfolios had $50.7 billion in assets under management at the end of the second quarter, according to the filing. BlackRock's overall net income in the second quarter was $53.3 million, an 11% increase from the $48 million reported a year earlier. Revenue was $271.4 million for the second quarter, a 48% increase from the $183.8 million at the same period last year. The firm attributed the increases to a rise in separate-account base fees, also related to increased flows and the SSRM acquisition.