(BLK) - Get Report

missed analyst estimates for the fourth quarter due to mark-to-market losses on investments.

BlackRock's posted a profit of 40 cents per share, vs. earnings of $2.43 a share in the year ago quarter and $1.62 in the last quarter. Ten analysts polled by Thomson Reuters had been estimating a profit of $1.02 cents per share.

"Without question, 2008 has been the most difficult market environment in memory, with many markets frozen and assets suffering extreme price declines," read a statement from CEO and Chairman Laurence Fink.

BlackRock saw a decline in asset values of $217.1 billion in 2008, offsetting $167.6 billion in new business.

BlackRock's woes will add to the negativity around

Bank of America

(BAC) - Get Report

, which has a 49% stake in the asset manager through its acquisition of

Merrill Lynch

on Jan. 1. BofA's shares have taken a beating since it announced it would need additional money from the government to absorb the Merrill deal.