GLOBAL - Legg Mason saw its assets under management increase 6% during Q3 to reach a record $944.8bn as at end December 2006, of which $30.9bn was attributable to market appreciation.
Positive net client cash flows contributed $23bn, as positive net client cash flows in fixed income and liquidity assets were offset in small part by negative net client cash flows in equity assets.
Net income for the third quarter of fiscal 2007 was $174.6m, or $1.21 per diluted share, which reflected full-quarter contributions from the firm's acquisitions of Citigroup Asset Management and the Permal Group.
Legg Mason boasted increased AuM across all three of its asset classes - fixed income, equity and liquidity - and CEO Raymond Mason said he was pleased with the firm's record revenue, net income, and earnings per share from continuing operations.
"We also are pleased with our firm's diversification and balance - in terms of asset classes, product mix and broad geographic reach - which we believe make Legg Mason less vulnerable to the potential volatility of the markets."
Mason said the firm had set a "12-15 month timetable" for integrating Citigroup's asset management business, which was now "in the advanced stages."
"With the integration all but complete, we are focused on growth opportunities and leveraging the scope and scale of our global platform," said Mason.
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