* AGF Management Q3 revs up 1.2 pct
* Says loan assets declined 14.4 pct to C$3.2 bln
* Total assets under management up to C$42.6 bln
TORONTO, Sept 29 (Reuters) - AGF Management Ltd AGFb.TO said on Wednesday third-quarter profit rose nearly 22 percent at the Canadian wealth management company amid higher revenue and lower costs at its trust.
Net profit for the quarter was C$27.8 million, or 31 Canadian cents per share, compared to C$22.8 million, or 25 Canadian cents per share in the third quarter of 2009.
Total assets under management (AUM) rose 3.8 percent to C$42.6 billion at August 31, from C$41.0 billion at August 31, 2009 as markets improved and products were added in the past 12 months.
Revenue increased to C$148.7 million, compared to C$146.9 million in the third quarter of the prior year as investment management revenue rose 3.2 percent year-over-year.
Earnings before interest, taxes, depreciation and amortization (EBITDA) rose C$61.0 million from C$56.1 million in the third quarter of 2009.
In a management letter to shareholders, AGF noted that investor sentiment was cautious amid data pointing to a slower than expected recovery around the world and continued weakness in the U.S. economy.
Chief Executive Officer and Chairman Blake Goldring said that in Canada the economy appeared to be performing well, but with muted growth expectations due to a recent slowing in job growth, a cooling in the housing market and a slowdown in exports to the United States.
“Mutual fund investors remain cautious in face of this uncertainty and continue to favor less risky assets offering safety and income,” he said.
“Fixed income and balanced funds remain the industry’s top sellers while equity funds remain in net redemptions.” ($1=$1.03 Canadian) (Reporting by Pav Jordan; Editing by Derek Caney)