April 26 (Reuters) - Aon reported a rise in

first-quarter profit on Friday, powered by increases in interest

earned from investments as well as funds held in a fiduciary

capacity.

Interest income rose nearly six times to $28 million in the

first quarter ended March, primarily due to interest earned on

$5 billion investment of debt proceeds used to fund the purchase

of NFP.

Last year, Aon agreed to buy privately held NFP in a deal

valued at about $13.4 billion to tap the fast-growing

middle-market segment of insurance brokerage, wealth management

and retirement plan advisory.

Fiduciary investment income, which rose to $79 million in

the quarter from $52 million a year ago, refers to interest

earned on funds held in a fiduciary capacity by entities acting

in a custodial role. These funds are typically held on behalf of

policyholders, and the fiduciary has a legal obligation to

manage them in the best interests of clients.

The U.S. Federal Reserve's higher-for-longer interest rate

environment has helped such companies rake in higher income on

funds and investments.

Last week, peer Marsh & McLennan ( MMC ) also reported a

better-than-expected first-quarter profit as fiduciary interest

income rose 34% to $122 million.

Aon, which generates revenue through insurance, risk

management services, consulting and advisory, reported adjusted

net income attributable to shareholders of $1.13 billion, or

$5.66 a share, for three months ended March 31, compared to

$1.07 billion, or $5.17 a share, a year ago.

Revenue from commercial risk solutions unit rose about 2% to

$1.81 billion, while that from reinsurance rose 8% to $1.17

billion.