(Reuters) – Ameriprise Financial reported a rise in its first-quarter adjusted profit on Monday, helped by higher fees and assets under management (AUM).
Growing expectations of a soft landing for the economy — a scenario where inflation eases without causing unemployment to go up — have buoyed markets in recent months, aiding the fee-based income for financial advisers such as Ameriprise.
The company’s management and financial advice fees rose 12% to $2.4 billion in the quarter ended March 31, while its total client assets rose 19% to $954 billion.
Ameriprise’s assets under management and administration also climbed 15% to $1.4 trillion, driven by strong client net inflows and market appreciation.
Its wealth management practice primarily targets households with $500,000 to $5 million in investable assets.
The company’s adjusted operating earnings rose to $878 million, or $8.39 per share, in the three-month period, from $798 million, or $7.25 per share, a year earlier.
(Reporting by Pritam Biswas in Bengaluru; Editing by Shilpi Majumdar)
