Isis Asset Management, the UK fund manager, swung into profit for the first half of the year thanks to stabilising stock markets and the successful integration last year of Royal&Sun Alliance Investments.

The company, which announced its merger with F&C this month, posted a pre-tax profit of £3.54m ($6.42m) in the six months to the end of June compared with a loss of £8.06m in the same period last year.