NEW YORK (AP) -- In a story July 27 about Oppenheimer Holdings Inc.'s quarterly earnings, The Associated Press erroneously mentioned Oppenheimer Funds.
Oppenheimer Funds is not part of Oppenheimer Holdings. It is majority-owned by Massachusetts Mutual Life Insurance Company (MassMutual) and is a member of the MassMutual Financial Group, according to its website.
A corrected version of the story is below:
Oppenheimer turns 2Q profit as costs fall
Oppenheimer Holdings posts second-quarter profit as employee expenses and other costs drop
The Associated Press
NEW YORK (AP) -- Oppenheimer Holdings returned to a profit in the second quarter as compensation and other costs fell. The results sent the company's shares up 7 percent Friday.
The New York fund manager and investment bank reported net income of $2.4 million, or 18 cents per share, in the three months through June. In the same quarter of last year, the company reported a loss of $309,000, or 2 cents per share.
Employee pay and similar expenses dropped 6 percent to $150.9 million. A variety of other costs for equipment, interest payments and technology also dropped.
Revenue in the second quarter fell 5 percent to $233 million. The biggest hit came from a 26 percent decline in investment banking revenue.
Albert Lowenthal, the company's chairman and CEO, pointed to a host of problems for investors. The European debt crisis and slower growth in China as well as in the U.S. acted as a drag on Oppenheimer's revenue, he said.
Total assets under management were $81.8 billion as of June 30, up from $73.9 billion the year before.
Shares of Oppenheimer Holdings Inc. rose 97 cents to end the day at $14.54. The stock is down 9.7 percent so far this year.