Although the parent group's net income dipped in the third quarter, fees from wealth management work at Northern Trust rose, it said today.
Northern Trust today logged a year-on-year slip in net income of $294.5 million for the third quarter, against $384.6 million. The latest results included a $43.4 million pre-tax charge related to a corporate action processing error.
The Chicago-based group said that custody and administration and assets under management performed well, ending the quarter at $13.1 trillion, rising by 13 per cent and $1.3 trillion, up by 9 per cent from the prior year, respectively, it said in a statement.
Corporate and investment services, trust, investment and other servicing fees rose by 4 per cent year-on-year to $584.9 million, Northern Trust said. Wealth management fees, including work with family offices, rose by 1 per cent over the 12-month period to $418.9 million. Within family offices, fees were $72.2 million, up by 6 per cent.
Wealth management trust, investment and other servicing fees increased compared with the prior-year quarter, primarily due to favorable markets, partially offset by higher money market mutual fund waivers, it added.