(Adds RBA governor, performance fees, forecast)
Oct 27 (Reuters) - Australia's biggest investment bank Macquarie Group Ltd MQG.AX beat expectations on Friday by posting a record first-half profit on strong performance fees and upgraded its full-year earnings forecast.
The bank also said former Reserve Bank of Australia Governor Glenn Stevens will be appointed to its board and that it would buy back A$1 billion ($766 million) worth of its shares, subject to conditions.
Net profit jumped 19 percent to A$1.25 billion ($957.75 million), beating the average A$1.14 billion forecast of analysts according to Thomson Reuters I/B/E/S.
Macquarie said last month it expected first-half profit to rise. Its shares have since surged more than 10 percent and this week hit their highest level since the government slapped a levy on the country's biggest banks in early May. profit was boosted by growth in performance fees, which more than tripled to A$537 million during the six months-ended Sept. 30, the bank said in a statement.
The company added its expects full-year earnings to exceed last year's record profit of A$2.2 billion.
Meanwhile, profit contribution from the Commodities and Global Markets segment fell 23 percent during the period.
Macquarie, which this year broke into the top three banks for commodities, is trimming back its aggressive lending against metals, Reuters reported this earlier this month citing three sources familiar with the matter. [ nL8N1ML0QY]
Macquarie said it would pay an interim dividend of A$2.05 per share, up about 8 percent from the prior year.
($1 = 1.3055 Australian dollars)