Bank sees record profits driven by fund management arm

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An Australian bank has posted a record half-yearly profit on the back of its fund management business.

Macquarie saw its net income for the six months ending 30 September grow by 58% to $1.07bn, Bloomberg has reported. The bank beat forecasts for a 55% gain.

The bank was buoyed by its fund management business, along with lending and a falling Australian dollar.

Morningstar analyst David Ellis told Bloomberg that the diversity of Macquarie's business gave it an edge over other global investment banks.

"It is illustrated by the asset-management unit profit shooting the lights out and leasing businesses continuing to grow. There is massive demand for defensive income-generating assets and Macquarie is a big player in that segment,” Ellis said.