Earnings Miss Scrapes Legg

Asset manager Legg Mason(LM Quote) posted a 38% rise in first-quarter earnings, but the results missed Wall Street's forecast as the recent wild ride in the equity markets shrank assets under management.

For the quarter ended June 30, Legg Mason's net income rose to $156 million, or $1.08 a share, from $112.8 million, or 93 cents a share, a year earlier.

Revenue more than doubled to $1.04 billion from $437.7 million last year, driven by the acquisitions of Citigroup's(C Quote) asset management unit and Permal Group, which were completed at the end of last year. The Citigroup deal made Baltimore-based Legg one of the nation's largest money managers. ...