Legg Mason swings to profit

BOSTON (Reuters) - Asset manager Legg Mason Inc (LM.N) said it swung to a profit in its fiscal second quarter on lower expenses.

Legg Mason, home of famed fund manager Bill Miller, reported net income of $45.8 million, or 30 cents per share, for the quarter, ended September 30, compared with a loss of $108.7 million, or 77 cents per share, in the same period a year ago.

Revenue fell to $659.9 million from $966.1 million, but expenses also declined, the company said.

Like other asset managers, Legg Mason has benefited from rising markets that increase the amount of client money it holds. Recent comebacks by Miller's funds, including Value Trust, have also helped.

Legg Mason shares are up 47 percent this year but still lag a key rival, BlackRock Inc (BLK.N), which is poised to become the world's largest asset manager later this year following an acquisition.

(Reporting by Ross Kerber; editing by John Wallace)