Pre-tax income, new assets slump at BNP Paribas

Pre-tax income at BNP Paribas’ wealth &
asset management (W&AM) division fell 33% in the third quarter,
while net asset inflows (NAI) at the wealth arm slumped by 72%.

The bank’s W&AM business reported €195m
($269m) in pre-tax income for the three months to 30 September,
compared to €290m in the second quarter.

Pre-tax income also declined by 22% on a
year-on-year basis.

Chinese sale inflates nine month
figures

In the nine months to September, pre-tax
income at BNP Paribas’ W&AM arm was ahead of last year’s
figures, despite the difficult third quarter results.

The sale of its stake in Chinese asset manager
ShenYing & Wanguo in the second quarter helped the W&AM arm
report €763m in pre-tax income for the nine months of 2011.

This represented a 4% year-on-year gain,
compared to €737m for the corresponding period a year ago.

AuM drops 4%, cost/income
rises

NAI at the wealth arm also dropped to €0.8bn,
representing a 72% quarter-on-quarter decline, compared to €3.1bn
as at 30 June.

NAI also saw a 54% year-on-year decline,
compared to €1.8bn as at 30 September 2010.

Clients’ assets under management (AuM) at the
bank’s wealth management division also dropped 4%. Asset levels
stood at €247bn as at 30 September, compared to €257bn in second
quarter.

AuM also declined by 2% on a year-on-year
basis, from €252bn for third quarter in 2010.

BNP Paribas’ cost/income ratio grew to 77%,
compared to 74% in the previous quarter.

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