The Bank of New York Mellon, which is about to open its second office in Manchester, has reported income from continuing operations of $302 million (£150 million) in the second quarter of 2008.

Assets under management, excluding securities lending assets, amounted to $1.113 trillion at the end of the quarter, an increase of three per cent on the previous year.

Investment income amounted to $45 million, down from $77 million in the prior year but up from $23 million in the first quarter of 2008.

The bank's chief executive, Robert P Kelly, said that in a "very challenging environment" for the financial services sector, he is pleased that the company managed to generate 12 per cent revenue growth.

He continued: "During the second quarter we benefited from $13 billion of net flows in asset and wealth management and continued new business wins in securities servicing businesses."

The bank recently confirmed it is expanding its presence in Manchester with an additional 50,000 sq ft of office space in the city's Spinningfields business district near Deansgate.