MILAN, July 25 (Reuters) - Italian asset manager Banca Generali posted a 62 percent rise in net profit in the second quarter boosted by growth in net interest income as it continues to put to work cheap money borrowed from the European Central Bank.
Banca Generali, majority controlled by Italy’s biggest insurer Generali, took 200 million euros at the first auction of cheap, three-year funds issued by the ECB in December and more than 1 billion in the second auction in February.
The group had borrowed a further 300 million euros of mid-term ECB funds in December.
In a statement on Wednesday, Banca Generali said its net profit came in at 28.1 million euros ($33.96 million).
It said it expected the positive trend in the first six months of the year to continue in coming months.
The group’s Tier 1 capital ratio stood at 12.5 percent at the end of June compared to 11.0 percent a year earlier. ($1 = 0.8275 euros) (Reporting By Stephen Jewkes)