Led by favorable stock market activity and a reputation still unmarked by the scandal, Fidelity Investments witnessed a 23% surge in net income in 2004. Profits at Boston-based Fidelity rose to $1.1 billion in 2004, versus $908 million in 2003, the firm's third-best year ever. Fidelity's average assets under management in 2004 grew to $1.0 trillion, an 18% hike compared to 2003. However, Jim Lovell, editor of Fidelity Investor, noted that probably 75% of the increase in assets was due to market activity.
Fidelity also added 21,000 new advisers in 2004 for a total of 47,000, launched nine new funds, added two institutional clients and expanded 30 of its institutional relationships with the addition of new funds to existing platforms and products.