Bank of New York Mellon reported $1.646 trillion in combined assets under management for its BNY Mellon Investment Management and wealth management businesses as of Sept. 30, up 1% from three months earlier and 7% higher than a year ago, the company reported in its earnings statement Friday.
“We achieved continued momentum in investment management as we saw strong fee growth,” BNY Mellon CEO Gerald Hassell said in a conference call with investors and analysts. He added that “AUM increased to a new record driven by net new business.”
Long-term net inflows totaled $13 billion: $18 billion in net inflows to liability-driven investments, some of which was offset by net outflows of $3 billion from index funds and net outflows of $2 billion from equities. Short-term (or cash) net inflows totaled $19 billion.
For the previous quarter, long-term net outflows totaled $13 billion and short-term outflows, $18 billion; in the year-earlier quarter, long-term inflows totaled $32 billion and short-term inflows, $13 billion.
Investment management and performance fees during the third quarter of 2014 were $881 million, flat from the previous quarter and up 7% from the year-earlier period. The year-over-year increase reflects higher equity markets, the impact of a weaker U.S. dollar and higher performance fees, the earnings statement said.
Parent Bank of New York Mellon reported $28.3 trillion in assets under custody and administration as of Sept. 30, flat from June 30 but up 3% from Sept. 30, 2013.
Parent company revenue came to $4.61 billion for the second quarter, up 23% from the previous quarter and up 22% from the same period a year ago.
Net income for the parent company, meanwhile, came to $1.07 billion for the latest quarter, compared with $554 million in net income in the second quarter and $962 million in the year-earlier quarter.
