AllianceBernstein reported $735 billion in assets under management in the first quarter, 8% below the previous quarter and a decline of 1% from a year earlier. Institutional assets were $471 billion, retail assets were $163 billion and private client assets were $101 billion, according to an earnings statement.
Net outflows for the quarter were $1.5 billion. Retail investors yanked $4.4 billion from the company during the first quarter while institutional investors and private clients poured in a combined $2.9 billion. Net inflows for the past 12 months were $17.3 billion.
Weak markets hurt returns and depreciated assets under management, CEO Lewis Sanders said in a news release. “Turbulent capital market conditions negatively impacted first-quarter results for our clients and the firm. Absolute investment returns were weak across our entire equity and hedge fund service suite. With few exceptions, returns in these services trailed benchmarks,” he said. “Fixed income portfolios generally produced positive returns, providing important ballast to client portfolios,” Mr. Sanders added.
Net income for the quarter was $247 million, down 8% from the first quarter of 2007.
