Wealth management firm Heartwood - which was bought by Swedish bank Handelsbanken last year - has recorded an increase in assets under management.

Wealth management firm Heartwoodd - which was bought by Swedish bank Handelsbanken last year - has recorded an increase in assets under management.

Assets have increased from £1.5 billion ($2.6 billion) to £2.1 billion since the acquisition was completed at the end of May 2013, Handelsbanken revealed during its second quarter results.

Overall, Sweden's Handelsbanken reported second-quarter operating profit above expectations thanks to lower loan losses and a boost from dividend income.

Operating profit in the quarter rose to SEK5.1 billion ($746,000) beating a mean forecast of SEK4.8 billion by a Reuters poll of analysts. 

Anders Bouvin, Handelsbanken’s UK chief executive, said last year that the purchase of Heartwood reflected customers’ growing demand for investment and wealth management services.

“It’s a good fit because wealth management services have been our only proper product gap,” Bouvin said, pointing out that the service was offered elsewhere in the group. “It’s the missing piece for us in the UK.”