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Asset managers' net nearly triples in Q1

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(Globalpost/GlobalPost)

SEOUL, Aug. 22 (Yonhap) -- Earnings by assets managers in South Korea nearly tripled in the first quarter of fiscal 2013 from three months earlier as they managed to reduce losses in their affiliates and other non-operating expenses.

A total of 85 asset management companies posted a combined net profit of 104.6 billion won (US$93.5 million) in the April-June period, compared with 35.8 billion won the previous quarter, according to the Financial Supervisory Service (FSS). The companies close their books on March 31.

The FSS said the asset managers reduced valuation losses by 26.1 billion won and non-operating costs such as loss reserves by 35 billion won over the cited period.

Their combined operating profit jumped 35.4 percent on-quarter to 129.3 billion won in the fiscal first quarter on a decrease in payroll costs.

Mirae Asset Management Co. topped other rivals in its first-quarter profit with 16.1 billion won, followed by KB Asset Management Co. with 12.4 billion won and Korea Investment Management Co. with 7.6 billion won.

As of the end of June, their total assets under management reached 340 trillion won, up 1.5 percent from three months earlier, the FSS added.

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