Affiliated Managers 3Q earnings up nearly 37 pct.

Affiliated Managers 3Q earnings up nearly 37 percent amid strong investment performance

Associated Press

BOSTON (AP) -- Asset manager Affiliated Managers Group Inc. said Wednesday its third-quarter earnings jumped nearly 37 percent, boosted by strong investment performance.

The company reported net income of $54.9 million, or $1.04 per share, in the July-September quarter, up from $40.1 million, or 76 cents per share, in the third quarter of 2011.

Third-quarter revenue rose 12.9 percent, to $467.3 million from $413.8 million a year earlier.

Excluding one-time costs, economic earnings per share were $1.91, up from $1.55 in last year's third quarter.

Analysts surveyed by FactSet forecast earnings per share of $1.87 on revenue of $486.4 million, on average.

Economic earnings exclude some expenses, such as amortization and deferred taxes related to intangible assets. Affiliated Managers Group considers economic earnings a key measure of performance because it represents operating performance before certain expenses tied to acquisitions of interests in affiliated management firms.

The company, based in Prides Crossing, Mass., said net client cash flows for the latest quarter were $10.9 billion. Assets under management as of Sept. 30 were about $416 billion, up from around $385 billion at the end of June.

Affiliated Managers said it continues to benefit from demand from global institutional clients for emerging markets stocks and alternative investments, which generate about 70 percent of its earnings.

Shares of Affiliated Managers rose $1.31 to $125.45 in afternoon trading.

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