UBS Global Asset Management had 335 billion Swiss francs ($288.7 billion) in institutional assets under management as of Dec. 31, down 20% from 419 billion francs at the end of the third quarter and down 36% from the fourth quarter of 2007, UBS reported today.
Net institutional outflows were 16.7 billion francs vs. 21 billion francs and 15.3 billion francs for the respective time periods. Net outflows for the year ended Dec. 31 were 55.6 billion francs vs. 16.3 billion francs in 2007.
UBS Global’s pretax profit fell 43% to 236 million francs from the third quarter primarily because of lower management fees caused by market declines, currency fluctuations and outflows. But excluding the third-quarter sale of a minority stake in Adams Street Partners, fourth-quarter pretax profit was down just 4% from the third quarter.
Institutional revenue slid 30% in the fourth quarter to 1.66 billion francs from 2.37 billion francs as of Sept. 30; institutional revenue was hurt by lower performance fees from alternative and quantitative investments and the Brazilian asset management business, and by lower management fees, according to a company statement.
