Bank of Montreal's wealth management business reported its first-quarter funds under management and administration at $852 billion.

The wealth management business of Canada-headquarted BMO Financial Group boosted its assets under management and administration by 43 per cent from last year's first quarter to $852 billion, the company reported in its first quarter results statement.

The group's acquisition of F&C Group last May accounted for a considerable 58 per cent or $148 billion of the enhanced funds. Excluding F&C Group's contribution, the business' funds under management and administration grew organically by 18 per cent, which BMO said was fuelled by a stronger US dollar, market appreciation and increased new client assets.

Adjusted net income for the wealth management business edged up to $186 million in 2015's first quarter, a $4 million climb from the same period last year. Traditional wealth dominated this sum with a $155 million share, up 28 per cent from $122 million a year ago.

Adjusted net income generated by the insurance business, which constituted the remaining $31 million, was down $29 million from the first quarter of 2014. BMO attributed this fall to a $41 million post-tax charge from “unfavorable movements in long-term interest rates in the current quarter relative to a $7 million after-tax charge a year ago”.

The group as a whole reported a 6 per cent dip in first quarter net income to $1 billion compared to the same three months last year. It blamed the “unsettled” economic backdrop, which included unfavorable movements in oil prices, long-term interest rates and the Canadian dollar.

“Our capital position remains strong with a common equity tier 1 ratio of 10.1 per cent. In addition, book value per share increased by 10 per cent from the prior quarter,” said BMO Financial Group's chief executive, Bill Downe, in the statement.

“Looking ahead, each of our operating businesses is well positioned to realize on the investments we have made over the past few years.”