Mutual fund company IGM Financial Inc. (TSX:IGM), part of the Power group of companies, says its revenue and profit in the fourth quarter were down from a year earlier.
IGM’s net earnings dropped to $202.9 million, or 80 cents per share.
That’s down from 89 cents per share or $230.6 million in the comparable period of 2011.
Fourth-quarter revenue was also down, falling to $632.7 million from $649.6 million.
The Winnipeg-based company is a publicly traded subsidiary of Power Financial Corp. (TSX:PFS) and its parent Power Corporation of Canada (TSX:POW). IGM operates mainly under two divisions: Investors Group and Mackenzie Financial Corp.
Investors Group reported mutual fund sales for the fourth quarter of 2012 were $1.42 billion compared to $1.29 billion in the prior year. But mutual fund net redemptions — which occur when outflows from mutual funds exceed inflows — were up at $261 million for the quarter, compared to net redemptions of $158 million a year ago.
Mackenzie sales for the fourth quarter of 2012 were $2.84 billion compared to $2.09 billion in the prior year. Total net redemptions for the fourth quarter were $1 billion compared to total net redemptions of $1.25 billion a year ago.