Strong sales of new funds increased helped IGM Financial Inc. post a fourth-quarter profit increase of 5.5%, the company said Friday.

Canada’s biggest mutual fund manager said net income climbed to $142 million (53¢ a share) vs $134.6 million (51¢) a year earlier. According to Bloomberg, that compares with the 59-cent-a-share average estimate of five analysts polled by Thomson Financial.

Mutual fund assets at Dec. 31 totalled $83.3 billion vs $74.7 billion a year earlier. “Mutual fund assets under management reached a record high in the quarter as a result of strong equity markets and positive mutual fund net sales,” Jeffrey Orr, President and CEO of the Winnipeg-based company, said in a release.

IGM, which owns the Investors Group and Mackenzie Financial brands of funds, had net new sales of $60.7 million during the three-month period.

Net income for the full year, ended Dec. 31, jumped 10.6% to $596.4 million ($2.24 a share) vs $539.1 million ($2.03) in 2003.