Source: The Canadian Press

AGF Management Ltd.’s third quarter results were up from last year as its trust operation reduced provisions for loan losses and its investment management arm increased revenue.

The Toronto-based company (TSX:AGF.B) said Wednesday that its net income was $27.8 million or 31 cents per diluted share in the three months ended Aug. 31, an increase from $22.8 million or 25 cents per share a year earlier.

AGF had $148.7 million of consolidated revenue from investment management and trust services, up from $146.9 million.

Its investment management operations accounted for $124.2 million of the quarter’s revenue, up 3.2% from $120.4 million in the comparable period of 2009.

AGF Trust’s revenue slipped 4.3% to $24.3 million from $25.4 million in the third quarter of fiscal 2009. However, the trust unit’s expenses fell even more, to $13.7 million from $16.2 million, as the provision for loan losses was reduced to $4.7 million from $7.2 million.

AGF had a total of $42.6 billion in assets under management as of Aug. 31.

About half of the assets, $21.4 billion at the end of August, are in mutual funds managed by AGF. Another $18.2 billion are managed for institutional and strategic accounts and $3 billion are managed for wealthy individuals.

AGF’s B shares traded at $15.74 on the Toronto Stock Exchange, up five cents.