Jan 23 (Reuters) - Northern Trust ( NTRS ) on Thursday

reported a more than fourfold rise in fourth-quarter profit,

beating Wall Street estimates, as a rallying equity market

boosted the wealth manager's income from asset servicing and

management.

Investors have been pouring money into the equity markets in

the hopes of reaping a windfall from the Trump administration's

potential tax cuts and business-friendly policies.

This has sparked a market rally and boosted the value of

assets under management (AUM) and the corresponding fees earned

by firms such as Northern Trust ( NTRS ), which manages assets for

ultra-high-net-worth families, individuals and institutions.

The Chicago, Illinois-based wealth manager's trust,

investment and other servicing fees rose 12% to $1.22 billion in

the fourth quarter from a year ago, while its assets under

custody or administration gained 9% to $16.79 trillion.

Its net interest income (NII) - the difference between what

it earns on assets and pays out on liabilities - climbed 15% to

$574.3 million in the fourth quarter.

Northern Trust's ( NTRS ) quarterly earnings allocated to common and

potential common shares came in at $447 million, or $2.26 per

share, up from $106.5 million, or 52 cents, a year earlier.

Analysts on average were expecting earnings of $2.02 per

share, according to data compiled by LSEG.

Foreign exchange trading income rose 26% to $61.7 million,

driven by higher trading volumes.

In the fourth quarter of 2023, Northern Trust ( NTRS ) had recorded

certain one-time charges tied to the Federal Deposit Insurance

Corp's deposit insurance fund and a loss of $176.4 million on

the sale of debt securities during portfolio repositioning.

Peers State Street and BNY also reported a

rise in profit last week, boosted by an increase in their

fees-based income earned from managing client assets.