Bank of New York Mellon reported $1.724 trillion in combined assets under management for its BNY Mellon Investment Management and wealth management businesses as of June 30, down 1% from three months earlier but 5% higher than a year prior, the company reported in its earnings statement Tuesday.
The company attributed the annual increase in assets to higher equity market values, the acquisition of Cutwater Asset Management, which added about $23 billion in AUM, and net new business, partially offset by the unfavorable impact of a stronger U.S. dollar.
Long-term net outflows totaled $15 billion in the second quarter, driven by net outflows of $12 billion from equities, $9 billion from index funds, and $2 billion from fixed income. These outflows were partially offset by $5 billion in net inflows to liability-driven investments and $3 billion of net inflows to alternatives.
Short-term (cash) net outflows totaled $11 billion.
For the previous quarter, long-term net inflows totaled $16 billion and short-term net inflows, $1 billion. In the year-earlier quarter, long-term net outflows totaled $13 billion, while short-term net outflows totaled $18 billion.
Investment management and performance fees during the quarter ended June 30 were $864 million, up 2% from the previous quarter but down 2% from the year-earlier period.
Parent Bank of New York Mellon reported $28.6 trillion in assets under custody and administration as of June 30, unchanged from either March 31 or from June 30, 2014.
Parent company revenue came to $3.87 billion for the first quarter, up 4% from the previous quarter and up 2% from the same period a year ago.
Net income for the parent company, meanwhile, came to $830 million for the latest quarter, compared to $766 million in net income in the first quarter of 2015 and $554 million in the year-earlier quarter.
