Affiliated Managers Group on Tuesday reported combined assets under management of $384.6 billion for its money management affiliates as of June 30, up 5.7% from the prior quarter and 10% higher than the year before.
The second-quarter total was a record for the holding company.
For the latest period, AMG said net inflows of roughly $7.1 billion and the addition of $28 billion from the holding company's investments in wealth manager Veritable LP and equity boutique Yacktman Asset Management more than offset market-related declines of $14 billion.
The company's net inflows for the June quarter were little changed from the prior quarter's $7.1 billion in inflows but down slightly from inflows of $7.5 billion for the year-earlier period.
In a news release, Sean M. Healey, AMG's chairman and CEO, called the firm's latest tally — which marked the ninth consecutive quarter of inflows — “especially notable given the muted investor risk appetite observed by the industry generally.”
In a separate announcement Tuesday, AMG said it had increased its investment in global credit alternatives manager BlueMountain Capital Management. The announcement provided no further details. In its latest SEC filing, BlueMountain listed AMG as owning between 10% and 25% of the firm.
For the latest quarter, AMG's GAAP results showed net income of $6.6 million, down 82% from the prior quarter and off 85% from the year before.
In its earnings news release, the company attributed the decline to a “valuation adjustment of a non-amortizing intangible asset at a single affiliate.”
Without that valuation adjustment, AMG's net income would have come to $43.1 million, up 15% from the prior quarter but down 5.3% from the year before, according to the firm's news release.
AMG reported “economic net income,” which it defines as net income plus amortization, deferred taxes related to intangible assets and other affiliate-related expenses, of $1.66 per share for the quarter ended June 30, above the $1.64-per-share consensus estimate of analysts covering the company's stock.
Revenue, meanwhile, came to $429.6 million, up 2.8% from the prior quarter but down 7.1% from the year before.
