J.P. Morgan Asset Management’s assets under management totaled $1.744 trillion as of Dec. 31, up 2% from Sept. 30 and up 9% from a year earlier, said parent company J.P. Morgan Chase’s fourth-quarter earnings report issued Wednesday.
Net inflows for the quarter were $37 billion, driven by net inflows of $27 billion to liquidity strategies and $10 billion to long-term strategies. For the 12 months ended Dec. 31, net inflows were $98 billion, driven by net inflows of $80 billion to long-term strategies and $18 billion to liquidity strategies.
“Asset management had over $80 billion of net long-term inflows for the second consecutive year,” said James “Jamie” Dimon, J.P. Morgan Chase chairman and CEO, in the report.
Net income for the quarter ended Dec. 31 was $540 million, down 8% from the previous quarter and down 7% from the same period a year prior. Revenue was $3.2 billion, up 7% from the quarter ended Sept. 30 and unchanged from the quarter ended Dec. 31, 2013.
Assets under custody were $20.5 trillion as of Dec. 31, down 3% from three months earlier and flat from a year earlier.
In a call with the media, Mr. Dimon and Chief Financial Officer Marianne Lake dismissed a suggestion proposed by a recent Goldman Sachs report that the bank should break up its business.
“We’re going to maintain the franchise,” Mr. Dimon said. “The company has earned good returns in all its businesses throughout the crisis. That’s a sign of stability. The model works.”
Ms. Lake added: “It would be premature to make big strategic decisions that we don’t think would add shareholder value.”