J.P. Morgan Asset Management's assets up 2.4% in quarter, 6.8% for year

J.P. Morgan Asset Management reported $2.077 trillion in assets under management as of Sept. 30, up 2.4% from the three months earlier and 6.8% higher than a year earlier.

Institutional assets under management totaled $945 billion as of Sept. 30, up 1.2% from June 30 and up 2.6% from Sept. 30, 2017, according to parent J.P. Morgan Chase & Co.'s quarterly earnings statement released Friday. Retail AUM was $556 billion and private banking client assets totaled $576 billion.

Total net inflows to JPMAM's investment strategies were $22 billion and performance gains were $27 billion in the third quarter, compared to net inflows of $21 billion and performance losses of $9 billion in the second quarter. Inflows were up a net $26 billion and investment gains were $43 billion in the quarter ended Sept. 30, 2017.

JPMAM experienced positive net inflows in all asset classes, said Marianne Lake, chief financial officer of J.P. Morgan Chase, during an earnings call Friday.

Assets in JPMAM's multiasset and alternative investment strategies rose to $705 billion as of Sept. 30, an increase of 1.7% compared to three months earlier and up 10.5% from a year earlier. Net inflows for the asset class were $4 billion in the quarter ended Sept. 30 and up $9 billion from both the previous quarter and the third quarter of 2017.

Liquidity assets attracted the highest net inflows — $14 billion — among JPMAM's asset class categories in the current quarter, bringing AUM for the category to $463 billion up 3.3% from June 30 and up 5% from Sept. 30, 2017. Net inflows for the asset class were $17 billion in the quarter ended June 30 and $5 billion in the third quarter of 2017.

Fixed-income assets totaled $457 billion as of Sept. 30, an increase of 1.1% from the end of the previous quarter and down 0.9% from the end of the year-earlier quarter. Net inflows to fixed income were $3 billion in the current quarter; net ouflows totaled $7 billion in the three-month period ended June 30; and net inflows were $17 billion in the quarter ended Sept. 30, 2017.

Client assets invested in equity strategies totaled $452 billion as of Sept. 30, an increase of 3.9% over AUM at the end of the second quarter and up 11.6% over the prior-year quarter. The asset class experienced net inflows of $1 billion and $2 billion in the quarters ended Sept. 30 and June 30, respectively, but had net outflows of $5 billion in the third quarter of 2017.

Overall, J.P. Morgan Chase had net revenue of $27.26 billion in the third quarter, down 1.8% from the previous quarter but up 6.6% compared to the year-earlier quarter.

Net income for the banking, money management and financial services company was $8.38 billion in the three months ended Sept. 30, a company record, Ms. Lake said during the earnings call. The quarter's net income was up a slight 0.8% over the second quarter but was up 24.5% over the third quarter of 2017.

Assets under custody at the end of the third quarter were $27.26 trillion, up 0.9% from the end of the previous quarter and up 7.3% from the end of the year-earlier quarter.