(Bloomberg) -- Fidelity Investments, the second-largest U.S. mutual fund company, reported a 29% increase in operating income in 2014, as growth in its retirement business and cost cutting helped offset withdrawals from its actively managed offerings.

Earnings, excluding costs such as interest and taxes, increased to $3.4 billion from $2.6 billion in 2013, the Boston-based closely held firm said in its annual report to shareholders. Revenue rose 9% to $14.9 billion.

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