Net income at Northern Trust rose 6 per cent from $179.6 million in the second quarter of 2012 to $191.1 million at June 30, 2013, with trust,
investment and other servicing fees up 8 per cent from a year ago. Since the end of this year’s first quarter, net income at
the New York-listed firm has shot up 17 per cent from $164 million.

Consolidated revenue of $1.02 billion in the current quarter
was up $32 million – 3 per cent – from $988.5 million in Q2 2012. Non-interest income, which represented 78 per cent of revenue,
increased $66.0 million, or 9 per cent, to $800.4 million from the prior year
quarter’s $734.4 million. This primarily reflects higher trust, investment and
other servicing fees and increased foreign exchange trading income, the firm
said.

Total assets under management slipped from $810.2 billion at
the end of March 2013 to $803 billion as at June 30, 2013, although AuM is up 14 per
cent year-on-year.

Trust, investment and other servicing fees within personal financial
services totaled $293.1 million at the end of June, rising $25.7 million, or 10
per cent, from $267.4 million a year ago.

“The increased fees in the current quarter are primarily
attributable to the favorable impact of equity markets on fees and new business,
partially offset by higher waived fees in money market mutual funds,” the firm
said in its latest earnings release.

The provision for credit losses was $5 million in both the
current quarter and prior year quarter.