Operating income at Putnam Investments, the fund manager which is owned by Marsh & McLennan, fell by 16% to $217m (€243.7m) in the first three months of the year compared with 2000's first quarter.

The fall follows a decline in the value of assets under management after market setbacks and marks a vivid contrast to profits growth at Putnam last year which led to Larry Lesser, president, receiving a record-breaking bonus of $33m, taking his total salary to $34m (Financial News, April 16).