US-listed BlackRock, the world’s largest fund management firm, said today that assets under management hit a record of $3.792 trillion at the end of 2012, a rise of 8 per cent from 2011, while the firm’s operating income and margins improved.

The firm, which among other services operates iShares, the largest provider of exchange traded funds, reported full year diluted earnings per share of $13.79, up by 11 per cent from 2011.

Revenues increased by 14 per cent in the fourth quarter from the same three months of 2011 and by 9 per cent from the previous three months of 2012, reflecting growth in markets, strength in base fees and higher performance fees, it said in a statement.

Operating income for fourth quarter and full year 2012 were $1.0 billion and $3.5 billion, respectively. The operating margin of 39.6 per cent for Q4 rose 330 basis points from a year before.

“BlackRock’s financial performance in 2012 was strong by any measure,” said Laurence Fink, chairman and chief executive of BlackRock. “We improved investment performance in key areas and our work with clients was rewarded with $107.7 billion of long-term net new business.”

Net inflows in long-term products totaled $47.0 billion, reflecting equity, fixed income and multi-asset class product net inflows of $31.2 billion, $12.4 billion and $4.1 billion, respectively. Net inflows were partially offset by alternatives net outflows of $0.7 billion, including $2.0 billion of return of capital. Total net inflows of $60.8 billion also included cash management net inflows of $14.4 billion and planned advisory distributions of $0.6 billion.