The recent weakness in the stock market has hurt mutual fund asset totals at The Phoenix Companies Inc.
Phoenix, Hartford, is reporting $20 million in net income for the second quarter on $629 million in revenue, compared with $22 million in net income on $624 million in revenue for the second quarter of 2005.
Annuity deposits rose 30% in the second quarter, to $104 million, but the company’s asset management unit lost $2.7 billion more assets than it attracted during the quarter. The net cash outflow figure increased from $1.8 billion in the second quarter of 2005.
Assets flowed out partly because of a poor match between the kinds of investment strategies investors were looking for and the kinds of strategies Phoenix typically offers, Phoenix says.
Phoenix notes that it is looking at a variety of “strategic initiatives” that could help the company’s performance.
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