Bank of New York Mellon on Wednesday reported $1.53 trillion in combined assets under management for its BNY Mellon Investment Management and wealth management business as of Sept. 30, up 7% from three months earlier and 13% higher than 12 months ago.
The AUM increase was the result of net new business and higher market values, according to the firm's third-quarter earnings statement. Net long-term inflows in the third quarter were $32 billion, up from $21 billion in the second quarter, while net short-term inflows totaled $13 billion, compared with $1 billion in net outflows the previous quarter.
“Long-term inflows benefited from liability-driven investments, alternative investments, and active equity and index funds,” according to the statement.
Parent Bank of New York Mellon reported $27.4 trillion in assets under custody and administration as of Sept. 30, up 5% from June 30. Custody assets were up 4% from 12 months earlier.
Investment management and performance fees for the asset and wealth unit came to $821 million for the latest quarter, down 3% from the prior quarter and up 5% from the year before. The quarterly decrease was the result of “seasonally lower performance fees,” partially offset by net new business and higher equity market values, according to the earnings statement.
The parent company reported total net income of $967 million for the latest quarter, up from $833 million in the second quarter and net income of $720 million in the third quarter 2012.
Parent company revenue was $3.8 billion, down 6.1% from the prior quarter and up 2.5% from the third quarter of last year.