Manulife Financial posts decline in wealth sales across Asia for the first quarter of 2014.

Manulife Financial, the Canadian financial services giant, posted a net income of $818 million for the three months to 31 March 2014, from $540 million in the year earlier period, helped mostly by its investment related growth.

However, the total earnings for the quarter were partly offset by the "negative impact of market-related factors" which totalled $90 million. Achieved wealth sales were up 5 per cent from the previous year globally, but was largely affected by lower sales in Asia. Total wealth sales in the region was down 37 per cent to $1.5 billion, with declines experienced across various markets.

Japan wealth sales dropped 53 per cent as investor preference shifted from bond funds to equities, Hong Kong wealth sales declined 36 per cent, Indonesia wealth sales dropped 62 per cent, while sales in other Asian countries fell 20 per cent. Reasons cited included lower sales in China and the timing of fund launches and were partly offset by increased sales in Taiwan and contributions from its acquisition in Malaysia. 

In its statement, Robert Cook, senior executive vice president and general manager for the Asia division, said that the latest quarters results continued to be at the levels seen in the second half of the previous year. The company has been launching new products and upping its marketing efforts in other areas, like insurance, to bolster earnings. In Hong Kong specifically, Manulife has increased its workforce by 13 per cent.

As at 31 March, the company records $635 billion in funds under management globally.