IGM Financial Inc. , Canada's second-largest mutual fund operator, has reported a 37 per cent decline in first-quarter earnings to $133.5-million, down from $211.2-million a year ago.
Revenue slumped 22 per cent to $559.1-million from $714.2-million, as assets under management in IGM's Investors Group, Mackenzie and other funds shrank 17 per cent to $98.7-billion, compared with $119-billion at March 31 of last year.
IGM, a subsidiary of Power Financial Corp. , said Friday its quarterly earnings per share amounted to 51 cents, down from 79 cents a year ago.
Despite the impact of shaky financial markets, the industry-leading horde of Investors Group salespeople continued growing, to 4,486 at March 31, up from 4,342 a year ago.
"Although our clients' fund values have been affected by the global stock market volatility, total redemption amounts for the first quarter of 2009 were the lowest in the last 10 years' comparative periods and demonstrate our clients' continued confidence in their overall plans and consultant support," stated Investors Group president Murray Taylor.
Investors Group net sales were $309-million in the quarter, down from $510-million a year earlier.
Mackenzie, meanwhile, endured $299-million in net redemptions during the January-March period, worse than year-ago net redemptions of $102-million but better than the fourth quarter's $1.5-billion in net redemptions.Report Typo/Error