Amvescap plc, the parent company of AIM Funds Management Inc., saw its profit weaken in the first quarter.

The firm recorded profit before tax, exceptional item and good will amortization for the three months ended March 31, 2002, of US $139.4 million, compared with US$191.7 million for the first quarter of 2001. Revenues totalled US$540.1 million for the 2002 quarter, compared with US$606.8 million in 2001.

“The global markets remained sluggish during the quarter due to the uncertainty in the Middle East, terrorism and the general economic climate,” said Charles Brady, executive chairman. “We expect these market conditions will continue further into the year, however, signs of some economic recovery appear to be surfacing. This recovery could be a positive for the later part of the year.”

Funds under management totalled US$400 billion at March 31, an increase of $2.1 billion from Dec. 31, 2001. Average funds under management amounted to $392.3-billion for the first quarter of 2002, compared with $384.9-billion for the fourth quarter of 2001 and $401.7-billion for the first quarter of 2001. Approximately 58% of the total funds under management were invested in equity securities.