SEB Asset Management, the investment management arm of SEB, the Swedish financial services group, has posted a 11% drop in profits in the first half of 2002, compared with the same period last year.

Assets under management fell 9% to Skr513bn (€56bn) from Skr579bn mainly because of the downturn in financial markets. During the first half of the year the Swedish stock market fell by 22%, and the firm decreased the equity allocation of its assets to 41% from 52% at the end of last year.