Ameriprise Financial Reports Third Quarter 2024 Results
Ameriprise Financial, Inc. (NYSE: AMP):
Earnings Per Diluted Share |
|
Return on Equity, ex AOCI (1) |
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|
Q3 2024 |
|
|
Q3 2024 |
||
GAAP |
$ |
5.00 |
|
GAAP |
40.1 |
% |
Adjusted Operating |
$ |
8.10 |
|
Adjusted Operating |
49.6 |
% |
Adjusted Operating, excluding unlocking and severance expense |
$ |
9.02 |
|
Adjusted Operating, excluding unlocking |
50.7 |
% |
|
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|
|
|
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Perspective from Jim Cracchiolo, Chairman and Chief Executive Officer
“Ameriprise delivered another very good quarter further demonstrating the strength of our client and advisor value propositions, complementary businesses, and strategic focus.
"We’re generating strong revenue and earnings growth across our business. With the positive market environment and our planning expertise, clients are investing more broadly. Flows into fee-based investment advisory accounts increased significantly, transactional activity remained strong and advisor productivity reached another new high.
"Across the firm, we continue to drive operating efficiencies while investing for growth. Our financial strength and free cash flow generation remain key differentiators and provide flexibility as we navigate market cycles and consistently generate strong results and return capital to shareholders.” |
(1) Return on equity excluding AOCI is calculated on a trailing 12-month basis. |
(2) Excludes unlocking and severance. |
(3) Excludes unlocking. Unlocking impacts reflect the company’s annual review of insurance and annuity valuation assumptions and model changes. |
Ameriprise Financial, Inc. |
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Third Quarter Summary |
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|
Quarter Ended September 30, |
%
|
|
Year-to-date September 30, |
%
|
||||||||||||
(in millions, except per share amounts, unaudited) |
2024 |
|
2023 |
|
2024 |
|
2023 |
||||||||||
GAAP net income |
$ |
511 |
|
$ |
872 |
|
(41 |
)% |
|
$ |
2,330 |
|
$ |
2,179 |
|
7 |
% |
Adjusted operating earnings |
$ |
828 |
|
$ |
745 |
|
11 |
% |
|
$ |
2,588 |
|
$ |
2,350 |
|
10 |
% |
Adjusted operating earnings excluding unlocking (see reconciliation on p. 24 & 25) |
$ |
902 |
|
$ |
823 |
|
10 |
% |
|
$ |
2,662 |
|
$ |
2,428 |
|
10 |
% |
Adjusted operating earnings excluding unlocking and severance expense (see reconciliation on p. 24 & 25) |
$ |
921 |
|
$ |
829 |
|
11 |
% |
|
$ |
2,705 |
|
$ |
2,434 |
|
11 |
% |
|
|
|
|
|
|
|
|
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GAAP net income per diluted share |
$ |
5.00 |
|
$ |
8.14 |
|
(39 |
)% |
|
$ |
22.53 |
|
$ |
20.08 |
|
12 |
% |
Adjusted operating earnings per diluted share |
$ |
8.10 |
|
$ |
6.96 |
|
16 |
% |
|
$ |
25.03 |
|
$ |
21.66 |
|
16 |
% |
Adjusted operating earnings per diluted share excluding unlocking (see reconciliation on p. 24 & 25) |
$ |
8.83 |
|
$ |
7.68 |
|
15 |
% |
|
$ |
25.74 |
|
$ |
22.38 |
|
15 |
% |
Adjusted operating earnings per diluted share excluding unlocking and severance expense (see reconciliation on p. 24 & 25) |
$ |
9.02 |
|
$ |
7.74 |
|
17 |
% |
|
$ |
26.15 |
|
$ |
22.43 |
|
17 |
% |
|
|
|
|
|
|
|
|
||||||||||
GAAP Return on Equity, ex. AOCI |
|
40.1 |
% |
|
44.4 |
% |
|
|
|
40.1 |
% |
|
44.4 |
% |
|
||
Adjusted Operating Return on Equity, ex. AOCI |
|
49.6 |
% |
|
48.4 |
% |
|
|
|
49.6 |
% |
|
48.4 |
% |
|
||
Adjusted Operating Return on Equity, ex. AOCI and unlocking (see reconciliation on p. 29) |
|
50.7 |
% |
|
49.6 |
% |
|
|
|
50.7 |
% |
|
49.6 |
% |
|
||
|
|
|
|
|
|
|
|
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GAAP Equity, ex. AOCI |
$ |
6,816 |
|
$ |
6,665 |
|
2 |
% |
|
$ |
6,816 |
|
$ |
6,665 |
|
2 |
% |
Available Capital for Capital Adequacy (see reconciliation on p. 27) |
$ |
5,523 |
|
$ |
5,247 |
|
5 |
% |
|
$ |
5,523 |
|
$ |
5,247 |
|
5 |
% |
|
|
|
|
|
|
|
|
||||||||||
Weighted average common shares outstanding: |
|
|
|
|
|
|
|
||||||||||
Basic |
|
100.4 |
|
|
104.9 |
|
|
|
|
101.6 |
|
|
106.4 |
|
|
||
Diluted |
|
102.2 |
|
|
107.1 |
|
|
|
|
103.4 |
|
|
108.5 |
|
|
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|
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Third quarter 2024 GAAP results included unfavorable market impacts on the valuation of derivatives and market risk benefits, while the prior year quarter included favorable market impacts on the valuation of derivatives and market risk benefits.
The company completed its annual actuarial assumption update in the quarter, which resulted in an unfavorable after-tax impact of $74 million or $0.73 per share. This was primarily related to updated persistency assumptions for variable annuities.
In addition, adjusted operating after-tax results included severance expenses of $19 million in the third quarter of 2024 and $43 million on a year-to-date basis. Severance was related to the company’s initiatives to enhance operational efficiency and effectiveness to further strengthen the client experience and future profitability.
Ameriprise Financial, Inc. |
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Advice & Wealth Management Segment Adjusted Operating Results |
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|
Quarter Ended September 30, |
% Better/
|
||||||||
(in millions, unaudited) |
2024 |
2023 |
||||||||
Adjusted operating net revenues |
$ |
2,742 |
|
$ |
2,407 |
|
14 |
% |
||
|
|
|
|
|||||||
Distribution expenses |
|
1,488 |
|
|
1,253 |
|
(19 |
)% |
||
Interest and debt expense |
|
9 |
|
|
6 |
|
(50 |
)% |
||
General and administrative expenses |
|
419 |
|
|
419 |
|
— |
% |
||
Adjusted operating expenses |
|
1,916 |
|
|
1,678 |
|
(14 |
)% |
||
Pretax adjusted operating earnings |
$ |
826 |
|
$ |
729 |
|
13 |
% |
||
|
|
|
|
|||||||
Pretax adjusted operating margin |
|
30.1 |
% |
|
30.3 |
% |
(20) bps |
|||
|
|
|
|
|||||||
|
|
|
|
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Quarter Ended September 30, |
% Better/
|
||||||||
(in billions, unless otherwise noted) |
|
2024 |
|
|
2023 |
|
||||
Total client assets |
$ |
1,024 |
|
$ |
816 |
|
26 |
% |
||
Total client net flows |
$ |
8.6 |
|
$ |
8.9 |
|
(3 |
)% |
||
Wrap net flows |
$ |
8.0 |
|
$ |
5.4 |
|
48 |
% |
||
AWM cash balances |
$ |
40.1 |
|
$ |
40.5 |
|
(1 |
)% |
||
Adjusted operating net revenue per advisor (TTM in thousands) |
$ |
997 |
$ |
901 |
11 |
% |
||||
|
|
|
|
|||||||
Advice & Wealth Management continued to demonstrate profitable organic growth with record high pretax adjusted operating earnings of $826 million and margins exceeded 30 percent driven by core business growth, as well as higher sustainable net investment income at the bank.
Adjusted operating net revenues increased 14 percent to $2.7 billion from growth in client assets, increased transactional activity and 6 percent growth in net investment income at the bank.
Adjusted operating expenses increased 14 percent to $1.9 billion compared to a year ago. General and administrative expenses were unchanged at $419 million. Excluding the $20 million regulatory accrual a year ago, general and administrative expenses grew 5 percent, primarily from volume-related expenses due to business growth.
Clients and advisors remained engaged and focused on positioning portfolios to meet financial planning goals across market cycles.
- Total client assets grew 26 percent to an all-time high of $1.0 trillion, with wrap assets up 28 percent to $569 billion.
- Wrap flows grew to $8.0 billion or a 6 percent annualized flow rate, an early indication of client preferences returning to advisory products.
- Transactional activity increased 19 percent with strong growth across all product areas.
- Total client cash was $83 billion, up $10.5 billion from a year ago. In the quarter, growth in third-party money market funds was partially offset by declines in term products such as brokered CDs and certificates.
- Client cash sweep balances were stable at approximately $28 billion.
- Bank assets grew 7 percent to $23.2 billion, providing sustainable net investment income in this forecasted lower rate environment.
- Adjusted operating net revenue per advisor on a trailing 12-month basis was $997,000, up 11 percent from enhanced productivity, business growth and market appreciation.
- Advisor headcount increased to 10,368, which reflects the addition of 71 experienced advisors in the quarter and continued strong advisor retention.
Ameriprise Financial, Inc. |
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Asset Management Segment Adjusted Operating Results |
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|
Quarter Ended September 30, |
% Better/
|
|||||||
(in millions, unaudited) |
|
2024 |
|
2023 |
|||||
Adjusted operating net revenues |
$ |
882 |
|
$ |
826 |
|
7 |
% |
|
|
|
|
|
||||||
Distribution expenses |
|
250 |
|
|
234 |
|
(7 |
)% |
|
Amortization of deferred acquisition costs |
|
2 |
|
|
1 |
|
NM |
|
|
Interest and debt expense |
|
2 |
|
|
2 |
|
— |
% |
|
General and administrative expenses |
|
383 |
|
|
390 |
|
2 |
% |
|
Adjusted operating expenses |
|
637 |
|
|
627 |
|
(2 |
)% |
|
Pretax adjusted operating earnings |
$ |
245 |
|
$ |
199 |
|
23 |
% |
|
|
|
|
|
||||||
Net pretax adjusted operating margin (1) |
|
40.9 |
% |
|
35.7 |
% |
|
||
|
|
|
|
||||||
|
|
|
|
||||||
|
Quarter Ended September 30, |
% Better/
|
|||||||
(in billions) |
2024 |
2023 |
|||||||
Total segment AUM |
$ |
672 |
|
$ |
587 |
|
14 |
% |
|
|
|
|
|
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Net Flows |
|
|
|
||||||
Global Retail net AUM flows, ex. legacy insurance partners |
$ |
(2.7 |
) |
$ |
(3.8 |
) |
29 |
% |
|
Model delivery AUA flows (2) |
|
1.2 |
|
|
0.2 |
|
NM |
|
|
Total retail net AUM flows and model delivery AUA flows (2) |
|
(1.5 |
) |
|
(3.6 |
) |
58 |
% |
|
|
|
|
|
||||||
Global Institutional net AUM flows, ex. legacy insurance partners |
|
— |
|
|
0.5 |
|
NM |
|
|
|
|
|
|
||||||
Legacy insurance partners AUM flows |
|
(0.9 |
) |
|
(0.9 |
) |
— |
% |
|
Total Net AUM and AUA flows (2) |
$ |
(2.4 |
) |
$ |
(4.0 |
) |
40 |
% |
|
|
|
|
|
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(1) See reconciliation on page 13. |
|
|
|
||||||
(2) Model Delivery Assets Under Advisement flows are estimated based on the period-to-period change in assets less calculated performance based on strategy returns on a one-quarter lag. |
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NM Not Meaningful - variance equal to or greater than 100% |
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Asset Management adjusted operating net revenues grew 7 percent to $882 million and pretax adjusted operating earnings increased 23 percent to $245 million. Financial results reflected equity market appreciation and the positive impact from expense management actions, which more than offset the cumulative impact of net outflows. Net pretax adjusted operating margin was 41 percent and above the company’s targeted range.
Adjusted operating expenses increased 2 percent. General and administrative expenses improved 2 percent from a year ago, reflecting initial benefits from the company’s initiatives to enhance operational efficiency and effectiveness to further strengthen the client experience and future profitability.
Total assets under management increased 14 percent to $672 billion. The underlying fee rate remained stable.
Total net outflows improved 40 percent to $2.4 billion and included $0.9 billion of outflows related to legacy insurance partners. Retail and model delivery net outflows were $1.5 billion, representing a $2.1 billion improvement from the prior year from stronger gross sales in both North America and EMEA, as well as strong model delivery net inflows.
Ameriprise Financial, Inc. |
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Retirement & Protection Solutions Segment Adjusted Operating Results |
||||||||||
|
Quarter Ended September 30, |
% Better/
|
||||||||
(in millions, unaudited) |
2024 |
2023 |
||||||||
Adjusted operating net revenues |
$ |
973 |
|
$ |
876 |
|
11 |
% |
||
Adjusted operating expenses |
|
855 |
|
|
776 |
|
(10 |
)% |
||
Pretax adjusted operating earnings (including unlocking) |
$ |
118 |
|
$ |
100 |
|
18 |
% |
||
Unlocking |
|
(90 |
) |
|
(104 |
) |
13 |
% |
||
Pretax adjusted operating earnings excluding unlocking |
$ |
208 |
|
$ |
204 |
|
2 |
% |
||
|
|
|
|
|||||||
Retirement & Protection Solutions pretax adjusted operating earnings excluding unlocking increased 2 percent to $208 million or $603 million on a year-to-date basis. The strong and consistent performance of the business reflects the benefit from stronger interest earnings and higher equity markets partially offset by higher distribution expenses associated with continued strong sales levels. These high-quality books of business continued to generate strong free cash flow and return on capital with a differentiated risk profile.
Retirement & Protection Solutions sales increased 15 percent to $1.4 billion fueled by Advice & Wealth Management client demand for structured variable annuities and variable universal life products.
Ameriprise Financial, Inc. |
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Corporate & Other Segment Adjusted Operating Results |
||||||||||
|
Quarter Ended September 30, |
% Better/
|
||||||||
(in millions, unaudited) |
2024 |
2023 |
||||||||
Corporate & Other |
$ |
(145 |
) |
$ |
(74 |
) |
(96 |
)% |
||
Closed Blocks (1) |
|
2 |
|
|
2 |
|
— |
% |
||
Pretax adjusted operating earnings |
$ |
(143 |
) |
$ |
(72 |
) |
(99 |
)% |
||
Unlocking |
|
(4 |
) |
|
5 |
|
NM |
|
||
Pretax adjusted operating earnings excluding unlocking |
$ |
(139 |
) |
$ |
(77 |
) |
(81 |
)% |
||
|
|
|
|
|||||||
Long Term Care excluding unlocking |
$ |
13 |
|
$ |
5 |
|
NM |
|
||
Fixed Annuities excluding unlocking |
|
(7 |
) |
|
(8 |
) |
13 |
% |
||
Pretax adjusted operating earnings excluding unlocking |
$ |
6 |
|
$ |
(3 |
) |
NM |
|
||
|
|
|
|
|||||||
(1) Long Term Care and Fixed Annuities. |
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NM Not Meaningful - variance equal to or greater than 100% |
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Corporate & Other, excluding Closed Blocks, pretax adjusted operating loss was $145 million, of which $56 million was related to $34 million of severance and severance program expenses, as well as $22 million of expenses to accelerate the firm’s transition to cloud-based technology platforms, higher compensation accruals related to strong performance and mark-to-market impacts on share-based compensation.
Long Term Care pretax adjusted operating earnings excluding unlocking were $13 million, or $41 million year-to-date, a continuation of an improved performance trend.
Fixed Annuities pretax adjusted operating loss excluding unlocking was in line with expectations at $7 million.
Taxes
The operating effective tax rate decreased to 20.8 percent for the third quarter and 20.1 percent on a year-to-date basis. The effective tax rate is expected to be in the 20 to 21 percent range for the full year.
About Ameriprise Financial
At Ameriprise Financial, we have been helping people feel confident about their financial future for 130 years. With extensive investment advice, global asset management capabilities and insurance solutions, and a nationwide network of more than 10,000 financial advisors, we have the strength and expertise to serve the full range of individual and institutional investors' financial needs.
Ameriprise Financial Services, LLC offers financial planning services, investments, insurance and annuity products. Columbia Funds are distributed by Columbia Management Investment Distributors, Inc., member FINRA and managed by Columbia Management Investment Advisers, LLC. Threadneedle International Limited, Columbia Threadneedle Asset Managers Limited, Columbia Threadneedle (EM) Investments Limited, and Pyrford International Ltd, are SEC- and FCA-registered investment adviser affiliates of Columbia Management Investment Advisers, LLC based in the U.K. RiverSource insurance and annuity products are issued by RiverSource Life Insurance Company, and in New York only by RiverSource Life Insurance Co. of New York, Albany, New York. Only RiverSource Life Insurance Co. of New York is authorized to sell insurance and annuity products in the state of New York. These companies are part of Ameriprise Financial, Inc. CA License #0684538. RiverSource Distributors, Inc. (Distributor), Member FINRA.
Non-GAAP Financial Measures
The company believes the presentation of adjusted operating measures, available capital for capital adequacy and other non-GAAP financial measures, and the corresponding ratios, best represents the underlying performance of our core operations and facilitates a more meaningful trend analysis without the distortion of various adjustment items. Management uses non-GAAP financial measures to evaluate our financial performance on a basis comparable to that used by some securities analysts and investors and to provide a valuable perspective for investors. These non-GAAP financial measures are taken into consideration, to varying degrees, for purposes of business planning and analysis and for certain compensation-related matters. Non-GAAP financial measures are intended to supplement investors’ understanding of our performance and should not be considered alternatives for financial measures presented in accordance with GAAP. These measures are discussed in more detail below and may not be comparable to other companies’ similarly titled non-GAAP financial measures. Non-GAAP financial measure reconciliations can be found on the subsequent pages.
Forward-Looking Statements
This news release contains forward-looking statements that reflect management’s plans, estimates and beliefs. Actual results could differ materially from those described in these forward-looking statements. Examples of such forward-looking statements include:
- statements of the company’s plans, intentions, positioning, expectations, objectives or goals, including those relating to asset flows, mass affluent and affluent client acquisition strategy, client retention and growth of our client base, financial advisor productivity, retention, recruiting and enrollments, the introduction, cessation, terms or pricing of new or existing products and services, general and administrative costs, net pretax adjusted operating margin, consolidated tax rate, return of capital to shareholders, and excess capital position and financial flexibility to capture additional growth opportunities;
- other statements about future economic performance, the performance of equity markets and interest rate variations and the economic performance of the United States and of global markets;
- statements estimating the financial impacts and future profitability arising from the company’s initiatives to enhance operational efficiency and effectiveness;
- statements about higher sustainable net investment income at the bank and the forecast for a lower rate environment;
- statements about continued improved performance of long term care operating earnings;
- statements estimating the expected full year 2024 operating effective tax rate; and
- statements of assumptions underlying such statements.
The words “believe,” “expect,” “anticipate,” “optimistic,” “intend,” “plan,” “aim,” “will,” “may,” “should,” “could,” “would,” “likely,” “forecast,” “on track,” “project,” ”continue,” “able to remain”, “resume,” “deliver,” “develop,” “evolve,” “drive,” ”enable,” “flexibility,” “commitment,” “scenario,” “case,” “appear,” “expands” and similar expressions are intended to identify forward-looking statements but are not the exclusive means of identifying such statements. Forward-looking statements are subject to risks and uncertainties, which could cause actual results to differ materially from such statements.
Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date on which they are made. Management cautions readers to carefully consider the risks described in the “Risk Factors” discussion under Part 1, Item 1A of and elsewhere in our Annual Report on Form 10-K for the year ended December 31, 2023 available at ir.ameriprise.com. Management undertakes no obligation to update publicly or revise any forward-looking statements.
The financial results discussed in this news release represent past performance only, which may not be used to predict or project future results. The financial results and values presented in this news release are based upon asset valuations that represent estimates as of the date of this news release and may be revised in the company’s Form 10-Q for the period ended September 30, 2024.
Ameriprise Financial announces financial and other information to investors through the company’s investor relations website at ir.ameriprise.com, as well as SEC filings, press releases, public conference calls and webcasts. Investors and others interested in the company are encouraged to visit the investor relations website from time to time, as information is updated and new information is posted. The website also allows users to sign up for automatic notifications in the event new materials are posted. The information found on the website is not incorporated by reference into this release or in any other report or document the company furnishes or files with the SEC.
Ameriprise Financial, Inc. |
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Consolidated GAAP Results |
||||||||||||||
(in millions, except per share amounts, unaudited) |
3 Qtr 2024 |
|
3 Qtr 2023 |
% Better/
|
2 Qtr 2024 |
% Better/
|
||||||||
Revenues |
|
|
|
|
|
|
||||||||
Management and financial advice fees |
$ |
2,573 |
|
|
$ |
2,287 |
|
13 |
% |
$ |
2,456 |
|
5 |
% |
Distribution fees |
|
513 |
|
|
|
463 |
|
11 |
% |
|
505 |
|
2 |
% |
Net investment income |
|
934 |
|
|
|
809 |
|
15 |
% |
|
921 |
|
1 |
% |
Premiums, policy and contract charges |
|
409 |
|
|
|
390 |
|
5 |
% |
|
381 |
|
7 |
% |
Other revenues |
|
131 |
|
|
|
127 |
|
3 |
% |
|
129 |
|
2 |
% |
Total revenues |
|
4,560 |
|
|
|
4,076 |
|
12 |
% |
|
4,392 |
|
4 |
% |
Banking and deposit interest expense |
|
163 |
|
|
|
151 |
|
(8 |
)% |
|
172 |
|
5 |
% |
Total net revenues |
|
4,397 |
|
|
|
3,925 |
|
12 |
% |
|
4,220 |
|
4 |
% |
|
|
|
|
|
|
|
||||||||
Expenses |
|
|
|
|
|
|
||||||||
Distribution expenses |
|
1,539 |
|
|
|
1,297 |
|
(19 |
)% |
|
1,450 |
|
(6 |
)% |
Interest credited to fixed accounts |
|
118 |
|
|
|
139 |
|
15 |
% |
|
185 |
|
36 |
% |
Benefits, claims, losses and settlement expenses |
|
430 |
|
|
|
120 |
|
NM |
|
|
331 |
|
(30 |
)% |
Remeasurement (gains) losses of future policy benefit reserves |
|
(22 |
) |
|
|
(12 |
) |
83 |
% |
|
(8 |
) |
NM |
|
Change in fair value of market risk benefits |
|
566 |
|
|
|
168 |
|
NM |
|
|
110 |
|
NM |
|
Amortization of deferred acquisition costs |
|
59 |
|
|
|
62 |
|
5 |
% |
|
61 |
|
3 |
% |
Interest and debt expense |
|
87 |
|
|
|
84 |
|
(4 |
)% |
|
83 |
|
(5 |
)% |
General and administrative expense |
|
975 |
|
|
|
950 |
|
(3 |
)% |
|
957 |
|
(2 |
)% |
Total expenses |
|
3,752 |
|
|
|
2,808 |
|
(34 |
)% |
|
3,169 |
|
(18 |
)% |
Pretax income |
|
645 |
|
|
|
1,117 |
|
(42 |
)% |
|
1,051 |
|
(39 |
)% |
Income tax provision |
|
134 |
|
|
|
245 |
|
(45 |
)% |
|
222 |
|
(40 |
)% |
Net income |
$ |
511 |
|
|
$ |
872 |
|
(41 |
)% |
$ |
829 |
|
(38 |
)% |
|
|
|
|
|
|
|
||||||||
Earnings per share |
|
|
|
|
|
|
||||||||
Basic earnings per share |
$ |
5.09 |
|
|
$ |
8.31 |
|
|
$ |
8.16 |
|
|
||
Earnings per diluted share |
$ |
5.00 |
|
|
$ |
8.14 |
|
|
$ |
8.02 |
|
|
||
|
|
|
|
|
|
|
||||||||
Weighted average common shares outstanding |
|
|
|
|
|
|
||||||||
Basic |
|
100.4 |
|
|
|
104.9 |
|
|
|
101.6 |
|
|
||
Diluted |
|
102.2 |
|
|
|
107.1 |
|
|
|
103.4 |
|
|
||
|
|
|
|
|
|
|
||||||||
NM Not Meaningful - variance equal to or greater than 100% |
||||||||||||||
Ameriprise Financial, Inc. |
||||||||||||||
Consolidated Highlights and Capital Summary |
||||||||||||||
(in millions unless otherwise noted, unaudited) |
3 Qtr 2024 |
|
3 Qtr 2023 |
% Better/
|
2 Qtr 2024 |
% Better/
|
||||||||
|
|
|
|
|
|
|
||||||||
Assets Under Management and Administration |
|
|
|
|
|
|||||||||
Advice & Wealth Management AUM |
$ |
565,152 |
|
|
$ |
440,703 |
|
28 |
% |
$ |
531,268 |
|
6 |
% |
Asset Management AUM |
|
672,110 |
|
|
|
587,171 |
|
14 |
% |
|
641,880 |
|
5 |
% |
Corporate AUM |
|
523 |
|
|
|
349 |
|
50 |
% |
|
490 |
|
7 |
% |
Eliminations |
|
(45,839 |
) |
|
|
(37,795 |
) |
(21 |
)% |
|
(44,136 |
) |
(4 |
)% |
Total Assets Under Management |
|
1,191,946 |
|
|
|
990,428 |
|
20 |
% |
|
1,129,502 |
|
6 |
% |
Total Assets Under Administration |
|
314,173 |
|
|
|
242,336 |
|
30 |
% |
|
298,468 |
|
5 |
% |
Total AUM and AUA |
$ |
1,506,119 |
|
|
$ |
1,232,764 |
|
22 |
% |
$ |
1,427,970 |
|
5 |
% |
|
|
|
|
|
|
|
||||||||
S&P 500 |
|
|
|
|
|
|
||||||||
Daily average |
|
5,546 |
|
|
|
4,456 |
|
24 |
% |
|
5,253 |
|
6 |
% |
Period end |
|
5,762 |
|
|
|
4,288 |
|
34 |
% |
|
5,460 |
|
6 |
% |
|
|
|
|
|
|
|
||||||||
Weighted Equity Index (WEI) (1) |
|
|
|
|
|
|
||||||||
Daily average |
|
3,528 |
|
|
|
2,903 |
|
22 |
% |
|
3,358 |
|
5 |
% |
Period end |
|
3,664 |
|
|
|
2,788 |
|
31 |
% |
|
3,456 |
|
6 |
% |
|
|
|
|
|
|
|
||||||||
Common shares |
|
|
|
|
|
|
||||||||
Beginning balance |
|
98.4 |
|
|
|
102.8 |
|
(4 |
)% |
|
99.6 |
|
(1 |
)% |
Repurchases |
|
(1.3 |
) |
|
|
(1.5 |
) |
13 |
% |
|
(1.3 |
) |
— |
% |
Issuances |
|
0.2 |
|
|
|
0.3 |
|
(33 |
)% |
|
0.1 |
|
NM |
|
Other |
|
(0.1 |
) |
|
|
(0.2 |
) |
50 |
% |
|
— |
|
— |
% |
Total common shares outstanding |
|
97.2 |
|
|
|
101.4 |
|
(4 |
)% |
|
98.4 |
|
(1 |
)% |
Restricted stock units |
|
2.5 |
|
|
|
2.6 |
|
(4 |
)% |
|
2.6 |
|
(4 |
)% |
Total basic common shares outstanding |
|
99.7 |
|
|
|
104.0 |
|
(4 |
)% |
|
101.0 |
|
(1 |
)% |
Total potentially dilutive shares |
|
1.9 |
|
|
|
2.2 |
|
(14 |
)% |
|
1.8 |
|
6 |
% |
Total diluted shares |
|
101.6 |
|
|
|
106.2 |
|
(4 |
)% |
|
102.8 |
|
(1 |
)% |
|
|
|
|
|
|
|
||||||||
Capital Returned to Shareholders |
|
|
|
|
|
|
||||||||
Dividends paid |
$ |
150 |
|
|
$ |
143 |
|
5 |
% |
$ |
151 |
|
(1 |
)% |
Common stock share repurchases |
|
563 |
|
|
|
520 |
|
8 |
% |
|
542 |
|
4 |
% |
Total Capital Returned to Shareholders |
$ |
713 |
|
|
$ |
663 |
|
8 |
% |
$ |
693 |
|
3 |
% |
|
|
|
|
|
|
|
||||||||
(1) Weighted Equity Index is an Ameriprise calculated proxy for equity market movements calculated using a weighted average of the S&P 500, Russell 2000, Russell Midcap and MSCI EAFE indices based on North America distributed equity assets. |
||||||||||||||
NM Not Meaningful - variance equal to or greater than 100% |
||||||||||||||
Ameriprise Financial, Inc. |
||||||||||||||
Advice & Wealth Management Segment Adjusted Operating Results |
||||||||||||||
(in millions, unaudited) |
3 Qtr 2024 |
3 Qtr 2023 |
% Better/
|
2 Qtr 2024 |
% Better/
|
|||||||||
|
||||||||||||||
Revenues |
|
|
|
|
|
|
|
|
||||||
Management and financial advice fees: |
|
|
|
|
|
|
|
|
||||||
Advisory fees |
$ |
1,451 |
|
$ |
1,228 |
|
18 |
% |
$ |
1,361 |
|
7 |
% |
|
Financial planning fees |
|
111 |
|
|
102 |
|
9 |
% |
|
110 |
|
1 |
% |
|
Transaction and other fees |
|
97 |
|
|
94 |
|
3 |
% |
|
100 |
|
(3 |
)% |
|
Total management and financial advice fees |
|
1,659 |
|
|
1,424 |
|
17 |
% |
|
1,571 |
|
6 |
% |
|
Distribution fees: |
|
|
|
|
|
|
|
|
||||||
Mutual funds |
|
209 |
|
|
184 |
|
14 |
% |
|
199 |
|
5 |
% |
|
Insurance and annuity |
|
266 |
|
|
226 |
|
18 |
% |
|
260 |
|
2 |
% |
|
Off-Balance sheet brokerage cash |
|
32 |
|
|
58 |
|
(45 |
)% |
|
40 |
|
(20 |
)% |
|
Other products |
|
107 |
|
|
84 |
|
27 |
% |
|
109 |
|
(2 |
)% |
|
Total distribution fees |
|
614 |
|
|
552 |
|
11 |
% |
|
608 |
|
1 |
% |
|
Net investment income |
|
554 |
|
|
517 |
|
7 |
% |
|
560 |
|
(1 |
)% |
|
Other revenues |
|
78 |
|
|
65 |
|
20 |
% |
|
77 |
|
1 |
% |
|
Total revenues |
|
2,905 |
|
|
2,558 |
|
14 |
% |
|
2,816 |
|
3 |
% |
|
Banking and deposit interest expense |
|
163 |
|
|
151 |
|
(8 |
)% |
|
172 |
|
5 |
% |
|
Adjusted operating total net revenues |
|
2,742 |
|
|
2,407 |
|
14 |
% |
|
2,644 |
|
4 |
% |
|
|
|
|
|
|
|
|
|
|
||||||
Expenses |
|
|
|
|
|
|
|
|
||||||
Distribution expenses |
|
1,488 |
|
|
1,253 |
|
(19 |
)% |
|
1,403 |
|
(6 |
)% |
|
Interest and debt expense |
|
9 |
|
|
6 |
|
(50 |
)% |
|
10 |
|
10 |
% |
|
General and administrative expense |
|
419 |
|
|
419 |
|
— |
% |
|
409 |
|
(2 |
)% |
|
Adjusted operating expenses |
|
1,916 |
|
|
1,678 |
|
(14 |
)% |
|
1,822 |
|
(5 |
)% |
|
Pretax adjusted operating earnings |
$ |
826 |
|
$ |
729 |
|
13 |
% |
$ |
822 |
|
— |
% |
|
|
|
|
|
|
|
|
|
|
||||||
Pretax adjusted operating margin |
|
30.1 |
% |
|
30.3 |
% |
|
|
31.1 |
% |
|
|||
|
|
|
|
|
|
|
|
|
||||||
Ameriprise Financial, Inc. |
||||||||||||||
Advice & Wealth Management Segment Operating Metrics |
||||||||||||||
(in millions unless otherwise noted, unaudited) |
3 Qtr 2024 |
3 Qtr 2023 |
% Better/
|
2 Qtr 2024 |
% Better/
|
|||||||||
|
|
|
|
|
|
|||||||||
AWM Total Client Assets |
$ |
1,024,467 |
|
$ |
816,019 |
|
26 |
% |
$ |
972,135 |
|
5 |
% |
|
|
|
|
|
|
|
|||||||||
Total Client Flows |
$ |
8,613 |
|
$ |
8,901 |
|
(3 |
)% |
$ |
6,604 |
|
30 |
% |
|
|
|
|
|
|
|
|||||||||
Total Wrap Accounts |
|
|
|
|
|
|||||||||
Beginning assets |
$ |
534,990 |
|
$ |
454,689 |
|
18 |
% |
$ |
521,722 |
|
3 |
% |
|
Net flows |
|
7,992 |
|
|
5,391 |
|
48 |
% |
|
7,521 |
|
6 |
% |
|
Market appreciation (depreciation) and other |
|
26,072 |
|
|
(16,019 |
) |
NM |
|
|
5,747 |
|
NM |
|
|
Total wrap ending assets |
$ |
569,054 |
|
$ |
444,061 |
|
28 |
% |
$ |
534,990 |
|
6 |
% |
|
|
|
|
|
|
|
|||||||||
Advisory wrap account assets ending balance (1) |
$ |
563,438 |
|
$ |
439,341 |
|
28 |
% |
$ |
529,642 |
|
6 |
% |
|
|
|
|
|
|
|
|||||||||
Brokerage Cash & Certificates Balances |
|
|
|
|
|
|||||||||
On-balance sheet (Net Investment Income) |
|
|
|
|
|
|||||||||
On-balance sheet - broker dealer |
$ |
2,633 |
|
$ |
2,554 |
|
3 |
% |
$ |
2,279 |
|
16 |
% |
|
On-balance sheet - bank |
|
21,731 |
|
|
20,970 |
|
4 |
% |
|
21,466 |
|
1 |
% |
|
On-balance sheet - certificate |
|
11,998 |
|
|
12,612 |
|
(5 |
)% |
|
12,526 |
|
(4 |
)% |
|
Total on-balance sheet |
$ |
36,362 |
|
$ |
36,136 |
|
1 |
% |
$ |
36,271 |
|
— |
% |
|
Off-balance sheet (Distribution Fees) |
|
|
|
|
|
|||||||||
Off-balance sheet - broker dealer |
$ |
3,714 |
|
$ |
4,347 |
|
(15 |
)% |
$ |
4,359 |
|
(15 |
)% |
|
Total brokerage cash & certificates balances |
$ |
40,076 |
|
$ |
40,483 |
|
(1 |
)% |
$ |
40,630 |
|
(1 |
)% |
|
|
|
|
|
|
|
|||||||||
Gross Fee Yield |
|
|
|
|
|
|||||||||
On-balance sheet - broker dealer |
|
5.27 |
% |
|
5.30 |
% |
|
|
5.34 |
% |
|
|||
On-balance sheet - bank |
|
5.02 |
% |
|
4.97 |
% |
|
|
5.15 |
% |
|
|||
On-balance sheet - certificates |
|
5.63 |
% |
|
5.40 |
% |
|
|
5.66 |
% |
|
|||
Off-balance sheet - broker dealer |
|
3.28 |
% |
|
4.28 |
% |
|
|
3.08 |
% |
|
|||
|
|
|
|
|
|
|||||||||
Financial Advisors |
|
|
|
|
|
|||||||||
Employee advisors |
|
2,212 |
|
|
2,104 |
|
5 |
% |
|
2,236 |
|
(1 |
)% |
|
Franchisee advisors |
|
8,156 |
|
|
8,154 |
|
— |
% |
|
8,156 |
|
— |
% |
|
Total financial advisors |
|
10,368 |
|
|
10,258 |
|
1 |
% |
|
10,392 |
|
— |
% |
|
|
|
|
|
|
|
|||||||||
Advisor Retention |
|
|
|
|
|
|||||||||
Employee |
|
92.5 |
% |
|
92.2 |
% |
|
|
93.2 |
% |
|
|||
Franchisee |
|
92.5 |
% |
|
92.8 |
% |
|
|
92.6 |
% |
|
|||
|
|
|
|
|
|
|||||||||
(1) Advisory wrap account assets represent those assets for which clients receive advisory services and are the primary driver of revenue earned on wrap accounts. Clients may hold non-advisory investments in their wrap accounts that do not incur an advisory fee. |
||||||||||||||
NM Not Meaningful - variance equal to or greater than 100% |
||||||||||||||
Ameriprise Financial, Inc. |
||||||||||||||
Asset Management Segment Adjusted Operating Results |
||||||||||||||
(in millions, unaudited) |
3 Qtr 2024 |
3 Qtr 2023 |
% Better/
|
2 Qtr 2024 |
% Better/
|
|||||||||
|
||||||||||||||
Revenues |
|
|
|
|
|
|||||||||
Management and financial advice fees: |
|
|
|
|
|
|||||||||
Asset management fees: |
|
|
|
|
|
|||||||||
Retail |
$ |
540 |
|
$ |
499 |
|
8 |
% |
$ |
522 |
|
3 |
% |
|
Institutional |
|
143 |
|
|
148 |
|
(3 |
)% |
|
140 |
|
2 |
% |
|
Model delivery (1) |
|
21 |
|
|
17 |
|
24 |
% |
|
21 |
|
— |
% |
|
Transaction and other fees |
|
52 |
|
|
50 |
|
4 |
% |
|
52 |
|
— |
% |
|
Revenue from other sources (2) |
|
4 |
|
|
3 |
|
33 |
% |
|
3 |
|
33 |
% |
|
Total management and financial advice fees |
|
760 |
|
|
717 |
|
6 |
% |
|
738 |
|
3 |
% |
|
Distribution fees: |
|
|
|
|
|
|||||||||
Mutual funds |
|
57 |
|
|
53 |
|
8 |
% |
|
56 |
|
2 |
% |
|
Insurance and annuity |
|
41 |
|
|
39 |
|
5 |
% |
|
40 |
|
3 |
% |
|
Total distribution fees |
|
98 |
|
|
92 |
|
7 |
% |
|
96 |
|
2 |
% |
|
Net investment income |
|
17 |
|
|
10 |
|
70 |
% |
|
12 |
|
42 |
% |
|
Other revenues |
|
7 |
|
|
7 |
|
— |
% |
|
2 |
|
NM |
|
|
Total revenues |
|
882 |
|
|
826 |
|
7 |
% |
|
848 |
|
4 |
% |
|
Banking and deposit interest expense |
|
— |
|
|
— |
|
— |
% |
|
— |
|
— |
% |
|
Adjusted operating total net revenues |
|
882 |
|
|
826 |
|
7 |
% |
|
848 |
|
4 |
% |
|
|
|
|
|
|
|
|||||||||
Expenses |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Distribution expenses |
|
250 |
|
|
234 |
|
(7 |
)% |
|
244 |
|
(2 |
)% |
|
Amortization of deferred acquisition costs |
|
2 |
|
|
1 |
|
NM |
|
|
1 |
|
NM |
|
|
Interest and debt expense |
|
2 |
|
|
2 |
|
— |
% |
|
1 |
|
NM |
|
|
General and administrative expense |
|
383 |
|
|
390 |
|
2 |
% |
|
384 |
|
— |
% |
|
Adjusted operating expenses |
|
637 |
|
|
627 |
|
(2 |
)% |
|
630 |
|
(1 |
)% |
|
Pretax adjusted operating earnings |
$ |
245 |
|
$ |
199 |
|
23 |
% |
$ |
218 |
|
12 |
% |
|
|
|
|
|
|
|
|||||||||
Net Pretax Adjusted Operating Margin Reconciliation |
|
|
|
|
||||||||||
Adjusted operating total net revenues |
$ |
882 |
|
$ |
826 |
|
7 |
% |
$ |
848 |
|
4 |
% |
|
Distribution pass through revenues |
|
(198 |
) |
|
(186 |
) |
(6 |
)% |
|
(192 |
) |
(3 |
)% |
|
Subadvisory and other pass through revenues |
|
(104 |
) |
|
(96 |
) |
(8 |
)% |
|
(98 |
) |
(6 |
)% |
|
Net adjusted operating revenues |
$ |
580 |
|
$ |
544 |
|
7 |
% |
$ |
558 |
|
4 |
% |
|
|
|
|
|
|
|
|||||||||
Pretax adjusted operating earnings |
$ |
245 |
|
$ |
199 |
|
23 |
% |
$ |
218 |
|
12 |
% |
|
Adjusted operating net investment income |
|
(17 |
) |
|
(10 |
) |
(70 |
)% |
|
(12 |
) |
(42 |
)% |
|
Amortization of intangibles |
|
9 |
|
|
5 |
|
80 |
% |
|
4 |
|
NM |
|
|
Net adjusted operating earnings |
$ |
237 |
|
$ |
194 |
|
22 |
% |
$ |
210 |
|
13 |
% |
|
|
|
|
|
|
|
|||||||||
Pretax adjusted operating margin |
|
27.8 |
% |
|
24.1 |
% |
|
|
25.7 |
% |
|
|||
Net pretax adjusted operating margin (3) |
|
40.9 |
% |
|
35.7 |
% |
|
|
37.6 |
% |
|
|||
|
|
|
|
|
|
|||||||||
Total Performance fees (4) |
|
|
|
|
|
|||||||||
Performance fees |
$ |
— |
|
$ |
7 |
|
NM |
|
$ |
2 |
|
NM |
|
|
General and administrative expense related to performance fees |
|
— |
|
|
1 |
|
NM |
|
|
1 |
|
NM |
|
|
Net performance fees |
$ |
— |
|
$ |
6 |
|
NM |
|
$ |
1 |
|
NM |
|
|
|
|
|
|
|
|
|||||||||
(1) Prior period amounts have been reclassified from Institutional to conform to current year presentation. |
||||||||||||||
(2) Includes revenue from separate accounts that qualify as investment contracts under insurance accounting standards. |
||||||||||||||
(3) Calculated as net adjusted operating earnings as a percentage of net adjusted operating revenues. |
||||||||||||||
(4) Performance fees do not include CLO incentive fees. |
||||||||||||||
NM Not Meaningful - variance equal to or greater than 100% |
||||||||||||||
|
||||||||||||||
Ameriprise Financial, Inc. |
||||||||||||||
Asset Management Segment Operating Metrics |
||||||||||||||
(in millions, unaudited) |
3 Qtr 2024 |
3 Qtr 2023 |
% Better/
|
2 Qtr 2024 |
% Better/
|
|||||||||
|
|
|
|
|
|
|||||||||
Managed Assets Rollforward |
|
|
|
|
|
|||||||||
Global Retail Funds |
|
|
|
|
|
|||||||||
Beginning assets |
$ |
347,460 |
|
$ |
327,420 |
|
6 |
% |
$ |
349,567 |
|
(1 |
)% |
|
Inflows |
|
13,129 |
|
|
11,223 |
|
17 |
% |
|
12,536 |
|
5 |
% |
|
Outflows |
|
(15,724 |
) |
|
(15,166 |
) |
(4 |
)% |
|
(18,658 |
) |
16 |
% |
|
Net VP/VIT fund flows |
|
(1,741 |
) |
|
(1,216 |
) |
(43 |
)% |
|
(1,607 |
) |
(8 |
)% |
|
Net new flows |
|
(4,336 |
) |
|
(5,159 |
) |
16 |
% |
|
(7,729 |
) |
44 |
% |
|
Reinvested dividends |
|
1,579 |
|
|
1,320 |
|
20 |
% |
|
1,758 |
|
(10 |
)% |
|
Net flows |
|
(2,757 |
) |
|
(3,839 |
) |
28 |
% |
|
(5,971 |
) |
54 |
% |
|
Distributions |
|
(1,770 |
) |
|
(1,514 |
) |
(17 |
)% |
|
(2,099 |
) |
16 |
% |
|
Market appreciation (depreciation) and other |
|
15,521 |
|
|
(8,478 |
) |
NM |
|
|
5,889 |
|
NM |
|
|
Foreign currency translation (1) |
|
3,965 |
|
|
(3,419 |
) |
NM |
|
|
74 |
|
NM |
|
|
Total ending assets |
|
362,419 |
|
|
310,170 |
|
17 |
% |
|
347,460 |
|
4 |
% |
|
% of total retail assets sub-advised |
|
16.2 |
% |
|
16.0 |
% |
|
|
16.0 |
% |
|
|||
|
|
|
|
|
|
|||||||||
Global Institutional |
|
|
|
|
|
|||||||||
Beginning assets |
|
294,420 |
|
|
289,178 |
|
2 |
% |
|
302,510 |
|
(3 |
)% |
|
Inflows (2) |
|
8,168 |
|
|
8,404 |
|
(3 |
)% |
|
10,273 |
|
(20 |
)% |
|
Outflows (2) |
|
(8,989 |
) |
|
(8,809 |
) |
(2 |
)% |
|
(16,360 |
) |
45 |
% |
|
Net flows |
|
(821 |
) |
|
(405 |
) |
NM |
|
|
(6,087 |
) |
87 |
% |
|
Market appreciation (depreciation) and other (3) |
|
7,840 |
|
|
(4,607 |
) |
NM |
|
|
(2,117 |
) |
NM |
|
|
Foreign currency translation (1) |
|
8,252 |
|
|
(7,165 |
) |
NM |
|
|
114 |
|
NM |
|
|
Total ending assets |
|
309,691 |
|
|
277,001 |
|
12 |
% |
|
294,420 |
|
5 |
% |
|
|
|
|
|
|
|
|||||||||
Total managed assets |
$ |
672,110 |
|
$ |
587,171 |
|
14 |
% |
$ |
641,880 |
|
5 |
% |
|
|
|
|
|
|
|
|||||||||
Total AUM net flows |
$ |
(3,578 |
) |
$ |
(4,244 |
) |
16 |
% |
$ |
(12,058 |
) |
70 |
% |
|
|
|
|
|
|
|
|||||||||
Legacy insurance partners flows |
$ |
(869 |
) |
$ |
(950 |
) |
9 |
% |
$ |
(9,104 |
) |
90 |
% |
|
|
|
|
|
|
|
|||||||||
Total Assets Under Advisement (4) |
$ |
33,297 |
|
$ |
26,756 |
|
24 |
% |
$ |
31,980 |
|
4 |
% |
|
Model delivery AUA flows (5) |
$ |
1,212 |
|
$ |
213 |
|
NM |
|
$ |
923 |
|
31 |
% |
|
|
|
|
|
|
|
|||||||||
Total AUM and AUA Flows (5) |
|
(2,366 |
) |
|
(4,031 |
) |
41 |
% |
|
(11,135 |
) |
79 |
% |
|
|
|
|
|
|
|
|||||||||
(1) Amounts represent local currency to US dollar translation for reporting purposes. |
||||||||||||||
(2) Global Institutional inflows and outflows include net flows from our RiverSource Structured Annuity product and Ameriprise Bank, FSB. |
||||||||||||||
(3) Included in Market appreciation (depreciation) and other for Global Institutional is the change in affiliated general account balance excluding net flows related to our Structured Annuity product and Ameriprise Bank, FSB. |
||||||||||||||
(4) Assets are presented on a one-quarter lag. |
||||||||||||||
(5) AUA flows are estimated flows based on the period-to-period change in assets less calculated performance based on strategy returns on a one-quarter lag. |
||||||||||||||
NM Not Meaningful - variance equal to or greater than 100% |
||||||||||||||
Ameriprise Financial, Inc. |
||||||||||||||
Asset Management Segment Operating Metrics |
||||||||||||||
(in millions, unaudited) |
3 Qtr 2024 |
3 Qtr 2023 |
% Better/
|
2 Qtr 2024 |
% Better/
|
|||||||||
|
|
|
|
|
|
|
|
|
||||||
Total Managed Assets by Type |
|
|
|
|
|
|
|
|
||||||
Equity |
$ |
353,812 |
|
|
$ |
299,078 |
|
18 |
% |
$ |
340,206 |
|
4 |
% |
Fixed income |
|
243,533 |
|
|
214,839 |
|
13 |
% |
|
226,655 |
|
7 |
% |
|
Money market |
|
21,672 |
|
|
|
22,719 |
|
(5 |
)% |
|
22,759 |
|
(5 |
)% |
Alternative |
|
33,303 |
|
|
|
33,602 |
|
(1 |
)% |
|
33,187 |
|
— |
% |
Hybrid and other |
|
19,790 |
|
|
|
16,933 |
|
17 |
% |
|
19,073 |
|
4 |
% |
Total managed assets by type |
$ |
672,110 |
|
|
$ |
587,171 |
|
14 |
% |
$ |
641,880 |
|
5 |
% |
|
|
|
|
|
|
|
|
|
||||||
Average Managed Assets by Type (1) |
|
|
|
|
|
|
|
|
||||||
Equity |
$ |
347,466 |
|
|
$ |
313,909 |
|
11 |
% |
$ |
336,469 |
|
3 |
% |
Fixed income |
|
235,845 |
|
|
|
222,745 |
|
6 |
% |
|
228,662 |
|
3 |
% |
Money market |
|
22,213 |
|
|
|
22,583 |
|
(2 |
)% |
|
22,540 |
|
(1 |
)% |
Alternative |
|
33,388 |
|
|
|
34,797 |
|
(4 |
)% |
|
33,014 |
|
1 |
% |
Hybrid and other |
|
19,457 |
|
|
|
17,533 |
|
11 |
% |
|
18,759 |
|
4 |
% |
Total average managed assets by type |
$ |
658,369 |
|
|
$ |
611,567 |
|
8 |
% |
$ |
639,444 |
|
3 |
% |
|
|
|
|
|
|
|
|
|
||||||
(1) Average ending balances are calculated using the average of the prior period’s ending balance and all months in the current period. |
||||||||||||||
Ameriprise Financial, Inc. |
||||||||
Asset Management Segment Performance Metrics |
||||||||
|
3 Qtr 2024 |
|||||||
|
|
|
|
|
||||
Retail Fund Rankings in Top 2 Quartiles or Above Index Benchmark - Asset Weighted |
1 year |
3 year |
5 year |
10 year |
||||
Equity |
40 |
% |
69 |
% |
78 |
% |
86 |
% |
Fixed Income |
88 |
% |
71 |
% |
81 |
% |
95 |
% |
Asset Allocation |
90 |
% |
57 |
% |
89 |
% |
90 |
% |
|
|
|
|
|
||||
4- or 5-star Morningstar rated funds |
Overall |
3 year |
5 year |
10 year |
||||
Number of Rated Funds |
118 |
|
73 |
|
87 |
|
103 |
|
|
|
|
|
|
||||
Retail Fund performance rankings for each fund are measured on a consistent basis against the most appropriate peer group or index. Peer groupings of Columbia funds are defined by Lipper category and are based on the Primary Share Class (i.e., Institutional if available, otherwise Advisor or Institutional 3 share class), net of fees. Peer groupings of Threadneedle funds are defined by either IA or Morningstar index and are based on Primary Share Class. Comparisons to Index are measured Gross of Fees. |
||||||||
|
|
|
|
|
||||
To calculate asset weighted performance, the sum of the total assets of the funds with above median ranking are divided by total assets of all funds. Funds with more assets will receive a greater share of the total percentage above or below median. |
||||||||
|
|
|
|
|
||||
Aggregated Asset Allocation Funds may include funds that invest in other Columbia or Threadneedle branded mutual funds included in both equity and fixed income. |
||||||||
|
|
|
|
|
||||
Morningstar as of 09/30/24. Columbia funds are available for purchase by U.S. customers. Out of 89 Columbia funds rated (based on primary share class), 4 received a 5-star Overall Rating and 42 received a 4-star Overall Rating. Out of 139 Threadneedle funds rated (based on highest-rated share class), 21 received a 5-star Overall Rating and 51 received a 4-star Overall Rating. The Overall Morningstar Rating is derived from a weighted average of the performance figures associated with its 3-, 5- and 10-year (if applicable) Morningstar Rating metrics. Not all funds are available in all jurisdictions, to all investors or through all firms. |
||||||||
|
||||||||
© 2024 Morningstar. All rights reserved. The Morningstar information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete, or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. |
||||||||
|
|
|
|
|
||||
Ameriprise Financial, Inc. |
||||||||||||||
Retirement & Protection Solutions Segment Adjusted Operating Results |
||||||||||||||
(in millions, unaudited) |
3 Qtr 2024 |
|
3 Qtr 2023 |
% Better/
|
2 Qtr 2024 |
% Better/
|
||||||||
|
|
|
|
|
|
|
||||||||
Revenues |
|
|
|
|
|
|
||||||||
Management and financial advice fees |
$ |
196 |
|
|
$ |
186 |
|
5 |
% |
$ |
189 |
|
NM |
|
Distribution fees |
|
106 |
|
|
|
101 |
|
5 |
% |
|
104 |
|
NM |
|
Net investment income |
|
281 |
|
|
|
215 |
|
31 |
% |
|
266 |
|
NM |
|
Premiums, policy and contract charges |
|
388 |
|
|
|
372 |
|
4 |
% |
|
367 |
|
NM |
|
Other revenues |
|
2 |
|
|
|
2 |
|
— |
% |
|
2 |
|
— |
% |
Total revenues |
|
973 |
|
|
|
876 |
|
11 |
% |
|
928 |
|
NM |
|
Banking and deposit interest expense |
|
— |
|
|
|
— |
|
— |
% |
|
— |
|
— |
% |
Adjusted operating total net revenues |
|
973 |
|
|
|
876 |
|
11 |
% |
|
928 |
|
NM |
|
|
|
|
|
|
|
|
||||||||
Expenses |
|
|
|
|
|
|
||||||||
Distribution expenses |
|
131 |
|
|
|
117 |
|
(12 |
)% |
|
129 |
|
(2 |
)% |
Interest credited to fixed accounts |
|
92 |
|
|
|
94 |
|
2 |
% |
|
93 |
|
1 |
% |
Benefits, claims, losses and settlement expenses |
|
253 |
|
|
|
168 |
|
(51 |
)% |
|
226 |
|
(12 |
)% |
Remeasurement (gains) losses of future policy benefit reserves |
|
(25 |
) |
|
|
(10 |
) |
NM |
|
|
(5 |
) |
NM |
|
Change in fair value of market risk benefits |
|
257 |
|
|
|
259 |
|
1 |
% |
|
142 |
|
(81 |
)% |
Amortization of deferred acquisition costs |
|
57 |
|
|
|
57 |
|
— |
% |
|
57 |
|
— |
% |
Interest and debt expense |
|
11 |
|
|
|
12 |
|
8 |
% |
|
12 |
|
8 |
% |
General and administrative expense |
|
79 |
|
|
|
79 |
|
— |
% |
|
78 |
|
(1 |
)% |
Adjusted operating expenses |
|
855 |
|
|
|
776 |
|
(10 |
)% |
|
732 |
|
(17 |
)% |
Pretax adjusted operating earnings |
$ |
118 |
|
|
$ |
100 |
|
18 |
% |
$ |
196 |
|
NM |
|
|
|
|
|
|
|
|
||||||||
NM Not Meaningful - variance equal to or greater than 100% |
||||||||||||||
Ameriprise Financial, Inc. |
||||||||||||||
Retirement & Protection Solutions Segment Operating Metrics |
||||||||||||||
(in millions, unaudited) |
3 Qtr 2024 |
|
3 Qtr 2023 |
% Better/
|
2 Qtr 2024 |
% Better/
|
||||||||
|
|
|
|
|
|
|
||||||||
Variable Annuities Rollforwards |
|
|
|
|
|
|
||||||||
Beginning balance |
$ |
84,534 |
|
|
$ |
78,549 |
|
8 |
% |
$ |
84,042 |
|
1 |
% |
Deposits |
|
1,231 |
|
|
|
1,087 |
|
13 |
% |
|
1,364 |
|
(10 |
)% |
Withdrawals and terminations |
|
(2,190 |
) |
|
|
(1,736 |
) |
(26 |
)% |
|
(2,127 |
) |
(3 |
)% |
Net flows |
|
(959 |
) |
|
|
(649 |
) |
(48 |
)% |
|
(763 |
) |
(26 |
)% |
Investment performance and interest credited |
|
4,078 |
|
|
|
(2,816 |
) |
NM |
|
|
1,255 |
|
NM |
|
Total ending balance - contract accumulation values |
$ |
87,653 |
|
|
$ |
75,084 |
|
17 |
% |
$ |
84,534 |
|
4 |
% |
|
|
|
|
|
|
|
||||||||
Variable annuities fixed sub-accounts |
$ |
3,837 |
|
|
$ |
4,395 |
|
(13 |
)% |
$ |
3,935 |
|
(2 |
)% |
|
|
|
|
|
|
|
||||||||
Life Insurance In Force |
$ |
198,198 |
|
|
$ |
198,527 |
|
— |
% |
$ |
198,340 |
|
— |
% |
|
|
|
|
|
|
|
||||||||
Net Amount at Risk (Life) |
$ |
37,895 |
|
|
$ |
37,917 |
|
— |
% |
$ |
38,203 |
|
(1 |
)% |
|
|
|
|
|
|
|
||||||||
Net Policyholder Reserves |
|
|
|
|
|
|
||||||||
VUL/UL |
$ |
15,984 |
|
|
$ |
13,814 |
|
16 |
% |
$ |
15,475 |
|
3 |
% |
Term and whole life |
|
182 |
|
|
|
175 |
|
4 |
% |
|
174 |
|
5 |
% |
Disability insurance |
|
503 |
|
|
|
500 |
|
1 |
% |
|
505 |
|
— |
% |
Other insurance |
|
513 |
|
|
|
542 |
|
(5 |
)% |
|
524 |
|
(2 |
)% |
Total net policyholder reserves |
$ |
17,182 |
|
|
$ |
15,031 |
|
14 |
% |
$ |
16,678 |
|
3 |
% |
|
|
|
|
|
|
|
||||||||
DAC Ending Balances |
|
|
|
|
|
|
||||||||
Variable Annuities DAC |
$ |
1,684 |
|
|
$ |
1,713 |
|
(2 |
)% |
$ |
1,692 |
|
— |
% |
Life and Health DAC |
$ |
955 |
|
|
$ |
963 |
|
(1 |
)% |
$ |
956 |
|
— |
% |
|
|
|
|
|
|
|
||||||||
NM Not Meaningful - variance equal to or greater than 100% |
||||||||||||||
Ameriprise Financial, Inc. |
||||||||||||||
Corporate Segment Adjusted Operating Results and Metrics |
||||||||||||||
(in millions, unaudited) |
3 Qtr 2024 |
|
3 Qtr 2023 |
% Better/
|
2 Qtr 2024 |
% Better/
|
||||||||
|
|
|
|
|
|
|
||||||||
Corporate Excluding Long Term Care and Fixed Annuities Adjusted Operating Income Statements |
|
|
|
|
|
|
||||||||
Revenues |
|
|
|
|
|
|
||||||||
Management and financial advice fees |
$ |
— |
|
|
$ |
— |
|
— |
% |
$ |
— |
|
— |
% |
Distribution fees |
|
— |
|
|
|
— |
|
— |
% |
|
— |
|
— |
% |
Net investment income |
|
(4 |
) |
|
|
17 |
|
NM |
|
|
(9 |
) |
56 |
% |
Premiums, policy and contract charges |
|
— |
|
|
|
— |
|
— |
% |
|
— |
|
— |
% |
Other revenues |
|
1 |
|
|
|
2 |
|
(50 |
)% |
|
3 |
|
(67 |
)% |
Total revenues |
|
(3 |
) |
|
|
19 |
|
NM |
|
|
(6 |
) |
50 |
% |
Banking and deposit interest expense |
|
7 |
|
|
|
6 |
|
(17 |
)% |
|
7 |
|
— |
% |
Adjusted operating total net revenues |
|
(10 |
) |
|
|
13 |
|
NM |
|
|
(13 |
) |
23 |
% |
|
|
|
|
|
|
|
||||||||
Expenses |
|
|
|
|
|
|
||||||||
Distribution expenses |
|
— |
|
|
|
— |
|
— |
% |
|
— |
|
— |
% |
Interest credited to fixed accounts |
|
— |
|
|
|
— |
|
— |
% |
|
— |
|
— |
% |
Benefits, claims, losses and settlement expenses |
|
— |
|
|
|
— |
|
— |
% |
|
— |
|
— |
% |
Remeasurement (gains) losses of future policy benefit reserves |
|
— |
|
|
|
— |
|
— |
% |
|
— |
|
— |
% |
Change in fair value of market risk benefits |
|
— |
|
|
|
— |
|
— |
% |
|
— |
|
— |
% |
Amortization of deferred acquisition costs |
|
— |
|
|
|
— |
|
— |
% |
|
— |
|
— |
% |
Interest and debt expense |
|
30 |
|
|
|
27 |
|
(11 |
)% |
|
24 |
|
(25 |
)% |
General and administrative expense |
|
105 |
|
|
|
60 |
|
(75 |
)% |
|
86 |
|
(22 |
)% |
Adjusted operating expenses |
|
135 |
|
|
|
87 |
|
(55 |
)% |
|
110 |
|
(23 |
)% |
Pretax adjusted operating earnings (loss) |
$ |
(145 |
) |
|
$ |
(74 |
) |
(96 |
)% |
$ |
(123 |
) |
(18 |
)% |
|
|
|
|
|
|
|
||||||||
NM Not Meaningful - variance equal to or greater than 100% |
||||||||||||||
Ameriprise Financial, Inc. |
||||||||||||||
Corporate Segment Adjusted Operating Results and Metrics |
||||||||||||||
(in millions, unaudited) |
3 Qtr 2024 |
|
3 Qtr 2023 |
% Better/
|
2 Qtr 2024 |
% Better/
|
||||||||
|
|
|
|
|
|
|
||||||||
Long Term Care Adjusted Operating Income Statements |
|
|
|
|
|
|
||||||||
Revenues |
|
|
|
|
|
|
||||||||
Management and financial advice fees |
$ |
— |
|
|
$ |
— |
|
— |
% |
$ |
— |
|
— |
% |
Distribution fees |
|
— |
|
|
|
— |
|
— |
% |
|
— |
|
— |
% |
Net investment income |
|
49 |
|
|
|
46 |
|
7 |
% |
|
48 |
|
2 |
% |
Premiums, policy and contract charges |
|
24 |
|
|
|
25 |
|
(4 |
)% |
|
22 |
|
9 |
% |
Other revenues |
|
— |
|
|
|
— |
|
— |
% |
|
— |
|
— |
% |
Total revenues |
|
73 |
|
|
|
71 |
|
3 |
% |
|
70 |
|
4 |
% |
Banking and deposit interest expense |
|
1 |
|
|
|
— |
|
— |
% |
|
— |
|
— |
% |
Adjusted operating total net revenues |
|
72 |
|
|
|
71 |
|
1 |
% |
|
70 |
|
3 |
% |
|
|
|
|
|
|
|
||||||||
Expenses |
|
|
|
|
|
|
||||||||
Distribution expenses |
|
(4 |
) |
|
|
(3 |
) |
33 |
% |
|
(2 |
) |
NM |
|
Interest credited to fixed accounts |
|
— |
|
|
|
— |
|
— |
% |
|
— |
|
— |
% |
Benefits, claims, losses and settlement expenses |
|
56 |
|
|
|
58 |
|
3 |
% |
|
56 |
|
— |
% |
Remeasurement (gains) losses of future policy benefit reserves |
|
3 |
|
|
|
(2 |
) |
NM |
|
|
(3 |
) |
NM |
|
Change in fair value of market risk benefits |
|
— |
|
|
|
— |
|
— |
% |
|
— |
|
— |
% |
Amortization of deferred acquisition costs |
|
— |
|
|
|
— |
|
— |
% |
|
— |
|
— |
% |
Interest and debt expense |
|
2 |
|
|
|
1 |
|
NM |
|
|
1 |
|
NM |
|
General and administrative expense |
|
6 |
|
|
|
7 |
|
14 |
% |
|
6 |
|
— |
% |
Adjusted operating expenses |
|
63 |
|
|
|
61 |
|
(3 |
)% |
|
58 |
|
(9 |
)% |
Pretax adjusted operating earnings (loss) |
$ |
9 |
|
|
$ |
10 |
|
(10 |
)% |
$ |
12 |
|
(25 |
)% |
|
|
|
|
|
|
|
||||||||
Long Term Care Policyholder Reserves, net of reinsurance |
$ |
2,702 |
|
|
$ |
2,456 |
|
10 |
% |
$ |
2,557 |
|
6 |
% |
|
|
|
|
|
|
|
||||||||
NM Not Meaningful - variance equal to or greater than 100% |
||||||||||||||
Ameriprise Financial, Inc. |
||||||||||||||
Corporate Segment Adjusted Operating Results and Metrics |
||||||||||||||
(in millions, unaudited) |
3 Qtr 2024 |
|
3 Qtr 2023 |
% Better/
|
2 Qtr 2024 |
% Better/
|
||||||||
|
|
|
|
|
|
|
||||||||
Fixed Annuities Adjusted Operating Income Statements |
|
|
|
|
|
|
||||||||
Revenues |
|
|
|
|
|
|
||||||||
Management and financial advice fees |
$ |
— |
|
|
$ |
— |
|
— |
% |
$ |
— |
|
— |
% |
Distribution fees |
|
— |
|
|
|
1 |
|
NM |
|
|
— |
|
— |
% |
Net investment income |
|
8 |
|
|
|
8 |
|
— |
% |
|
8 |
|
— |
% |
Premiums, policy and contract charges |
|
— |
|
|
|
— |
|
— |
% |
|
1 |
|
NM |
|
Other revenues |
|
44 |
|
|
|
50 |
|
(12 |
)% |
|
45 |
|
(2 |
)% |
Total revenues |
|
52 |
|
|
|
59 |
|
(12 |
)% |
|
54 |
|
(4 |
)% |
Banking and deposit interest expense |
|
(1 |
) |
|
|
— |
|
— |
% |
|
— |
|
— |
% |
Adjusted operating total net revenues |
|
53 |
|
|
|
59 |
|
(10 |
)% |
|
54 |
|
(2 |
)% |
|
|
|
|
|
|
|
||||||||
Expenses |
|
|
|
|
|
|
||||||||
Distribution expenses |
|
1 |
|
|
|
— |
|
— |
% |
|
— |
|
— |
% |
Interest credited to fixed accounts |
|
55 |
|
|
|
59 |
|
7 |
% |
|
54 |
|
(2 |
)% |
Benefits, claims, losses and settlement expenses |
|
— |
|
|
|
1 |
|
NM |
|
|
1 |
|
NM |
|
Remeasurement (gains) losses of future policy benefit reserves |
|
— |
|
|
|
— |
|
— |
% |
|
— |
|
— |
% |
Change in fair value of market risk benefits |
|
— |
|
|
|
— |
|
— |
% |
|
— |
|
— |
% |
Amortization of deferred acquisition costs |
|
— |
|
|
|
4 |
|
NM |
|
|
3 |
|
NM |
|
Interest and debt expense |
|
— |
|
|
|
— |
|
— |
% |
|
1 |
|
NM |
|
General and administrative expense |
|
4 |
|
|
|
3 |
|
(33 |
)% |
|
3 |
|
(33 |
)% |
Adjusted operating expenses |
|
60 |
|
|
|
67 |
|
10 |
% |
|
62 |
|
3 |
% |
Pretax adjusted operating earnings (loss) |
$ |
(7 |
) |
|
$ |
(8 |
) |
13 |
% |
$ |
(8 |
) |
13 |
% |
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
||||||||
NM Not Meaningful - variance equal to or greater than 100% |
|
|
|
|
|
|
||||||||
Ameriprise Financial, Inc. |
||||||||||||||
Eliminations (1) Adjusted Operating Results |
||||||||||||||
(in millions, unaudited) |
3 Qtr 2024 |
|
3 Qtr 2023 |
% Better/
|
2 Qtr 2024 |
% Better/
|
||||||||
|
|
|
|
|
|
|
||||||||
Revenues |
|
|
|
|
|
|
||||||||
Management and financial advice fees |
$ |
(40 |
) |
|
$ |
(38 |
) |
(5 |
)% |
$ |
(41 |
) |
2 |
% |
Distribution fees |
|
(305 |
) |
|
|
(283 |
) |
(8 |
)% |
|
(303 |
) |
(1 |
)% |
Net investment income |
|
(21 |
) |
|
|
(14 |
) |
(50 |
)% |
|
(15 |
) |
(40 |
)% |
Premiums, policy and contract charges |
|
(9 |
) |
|
|
(8 |
) |
(13 |
)% |
|
(8 |
) |
(13 |
)% |
Other revenues |
|
1 |
|
|
|
— |
|
— |
% |
|
— |
|
— |
% |
Total revenues |
|
(374 |
) |
|
|
(343 |
) |
(9 |
)% |
|
(367 |
) |
(2 |
)% |
Banking and deposit interest expense |
|
(7 |
) |
|
|
(6 |
) |
17 |
% |
|
(7 |
) |
— |
% |
Adjusted operating total net revenues |
|
(367 |
) |
|
|
(337 |
) |
(9 |
)% |
|
(360 |
) |
(2 |
)% |
|
|
|
|
|
|
|
||||||||
Expenses |
|
|
|
|
|
|
||||||||
Distribution expenses |
|
(327 |
) |
|
|
(304 |
) |
8 |
% |
|
(324 |
) |
1 |
% |
Interest credited to fixed accounts |
|
— |
|
|
|
— |
|
— |
% |
|
— |
|
— |
% |
Benefits, claims, losses and settlement expenses |
|
(5 |
) |
|
|
(4 |
) |
25 |
% |
|
(5 |
) |
— |
% |
Remeasurement (gains) losses of future policy benefit reserves |
|
— |
|
|
|
— |
|
— |
% |
|
— |
|
— |
% |
Change in fair value of market risk benefits |
|
— |
|
|
|
— |
|
— |
% |
|
— |
|
— |
% |
Amortization of deferred acquisition costs |
|
— |
|
|
|
— |
|
— |
% |
|
— |
|
— |
% |
Interest and debt expense |
|
(14 |
) |
|
|
(9 |
) |
56 |
% |
|
(9 |
) |
56 |
% |
General and administrative expense |
|
(21 |
) |
|
|
(20 |
) |
5 |
% |
|
(22 |
) |
(5 |
)% |
Adjusted operating expenses |
|
(367 |
) |
|
|
(337 |
) |
9 |
% |
|
(360 |
) |
2 |
% |
Pretax adjusted operating earnings (loss) |
$ |
— |
|
|
$ |
— |
|
— |
% |
$ |
— |
|
— |
% |
|
|
|
|
|
|
|
||||||||
(1) The majority of the amounts represent the impact of inter-segment transfer pricing for both revenues and expenses. |
||||||||||||||
Ameriprise Financial, Inc. |
|||||||||||
Capital Information |
|||||||||||
(in millions, unaudited) |
September 30,
|
September 30,
|
June 30,
|
||||||||
|
|
|
|
||||||||
Long-term Debt Summary |
|
|
|
||||||||
Senior notes |
$ |
3,400 |
|
$ |
3,550 |
|
$ |
3,400 |
|
||
Finance lease liabilities |
|
11 |
|
|
22 |
|
|
15 |
|
||
Other (1) |
|
(17 |
) |
|
(15 |
) |
|
(19 |
) |
||
Total Ameriprise Financial long-term debt |
|
3,394 |
|
|
3,557 |
|
|
3,396 |
|
||
Non-recourse debt of consolidated investment entities |
|
2,271 |
|
|
2,222 |
|
|
2,386 |
|
||
Total long-term debt |
$ |
5,665 |
|
$ |
5,779 |
|
$ |
5,782 |
|
||
|
|
|
|
||||||||
Total Ameriprise Financial long-term debt |
$ |
3,394 |
|
$ |
3,557 |
|
$ |
3,396 |
|
||
Finance lease liabilities |
|
(11 |
) |
|
(22 |
) |
|
(15 |
) |
||
Other (1) |
|
17 |
|
|
15 |
|
|
19 |
|
||
Total Ameriprise Financial long-term debt excluding finance lease liabilities and other |
$ |
3,400 |
|
$ |
3,550 |
|
$ |
3,400 |
|
||
|
|
|
|
||||||||
Total equity (2) |
$ |
5,715 |
|
$ |
3,825 |
|
$ |
4,993 |
|
||
Equity of consolidated investment entities |
|
(1 |
) |
|
(10 |
) |
|
(1 |
) |
||
Total equity excluding CIEs |
$ |
5,714 |
|
$ |
3,815 |
|
$ |
4,992 |
|
||
|
|
|
|
||||||||
Total Ameriprise Financial capital |
$ |
9,109 |
|
$ |
7,382 |
|
$ |
8,389 |
|
||
Total Ameriprise Financial capital excluding finance lease liabilities, other and equity of CIEs |
$ |
9,114 |
|
$ |
7,365 |
|
$ |
8,392 |
|
||
|
|
|
|
||||||||
Debt to capital |
|
|
|
||||||||
Total Ameriprise Financial long-term debt to total Ameriprise Financial capital |
|
37.3 |
% |
|
48.2 |
% |
|
40.5 |
% |
||
Total Ameriprise Financial long-term debt to total Ameriprise Financial capital excluding finance lease liabilities, other and equity of CIEs (2) |
|
37.3 |
% |
|
48.2 |
% |
|
40.5 |
% |
||
|
|
|
|
||||||||
Available Capital for Capital Adequacy |
$ |
5,523 |
|
$ |
5,247 |
|
$ |
5,245 |
|
||
|
|
|
|
||||||||
(1) Includes adjustments for net unamortized discounts, debt issuance costs and other lease obligations. |
|||||||||||
(2) Includes accumulated other comprehensive income, net of tax. |
|||||||||||
Ameriprise Financial, Inc. |
|||||||
Consolidated Balance Sheets |
|||||||
(in millions, unaudited) |
September 30,
|
|
December 31,
|
||||
|
|
|
|
||||
Assets |
|
|
|
||||
Cash and cash equivalents |
$ |
10,575 |
|
|
$ |
7,477 |
|
Cash of consolidated investment entities |
|
124 |
|
|
|
87 |
|
Investments |
|
56,703 |
|
|
|
55,489 |
|
Investments of consolidated investment entities |
|
2,243 |
|
|
|
2,099 |
|
Market risk benefits |
|
1,809 |
|
|
|
1,427 |
|
Separate account assets |
|
81,409 |
|
|
|
77,457 |
|
Receivables |
|
14,768 |
|
|
|
15,078 |
|
Receivables of consolidated investment entities |
|
18 |
|
|
|
28 |
|
Deferred acquisition costs |
|
2,686 |
|
|
|
2,713 |
|
Restricted and segregated cash and investments |
|
1,261 |
|
|
|
1,635 |
|
Other assets |
|
14,372 |
|
|
|
11,700 |
|
Other assets of consolidated investment entities |
|
1 |
|
|
|
1 |
|
Total Assets |
$ |
185,969 |
|
|
$ |
175,191 |
|
|
|
|
|
||||
Liabilities |
|
|
|
||||
Policyholder account balances, future policy benefits and claims |
$ |
41,332 |
|
|
$ |
37,545 |
|
Market risk benefits |
|
1,579 |
|
|
|
1,762 |
|
Separate account liabilities |
|
81,409 |
|
|
|
77,457 |
|
Customer deposits |
|
36,332 |
|
|
|
37,321 |
|
Short-term borrowings |
|
201 |
|
|
|
201 |
|
Long-term debt |
|
3,394 |
|
|
|
3,399 |
|
Debt of consolidated investment entities |
|
2,271 |
|
|
|
2,155 |
|
Accounts payable and accrued expenses |
|
2,581 |
|
|
|
2,603 |
|
Other liabilities |
|
11,072 |
|
|
|
7,974 |
|
Other liabilities of consolidated investment entities |
|
83 |
|
|
|
45 |
|
Total Liabilities |
|
180,254 |
|
|
|
170,462 |
|
|
|
|
|
||||
Equity |
|
|
|
||||
Ameriprise Financial |
|
|
|
||||
Common shares ($.01 par) |
|
3 |
|
|
|
3 |
|
Additional paid-in capital |
|
10,050 |
|
|
|
9,824 |
|
Retained earnings |
|
23,791 |
|
|
|
21,905 |
|
Treasury stock |
|
(27,028 |
) |
|
|
(25,237 |
) |
Accumulated other comprehensive income, net of tax |
|
(1,101 |
) |
|
|
(1,766 |
) |
Total Equity |
|
5,715 |
|
|
|
4,729 |
|
Total Liabilities and Equity |
$ |
185,969 |
|
|
$ |
175,191 |
|
|
|
|
|
||||
Supplemental Non-GAAP Information: |
|
|
|
||||
Available Capital for Capital Adequacy |
$ |
5,523 |
|
|
$ |
5,418 |
|
|
|
|
|
||||
Ameriprise Financial, Inc. |
|||||||||||||||||||||
Reconciliation Table: Earnings |
|||||||||||||||||||||
|
Quarter Ended
|
|
% Better/
|
|
Per Diluted Share
|
|
% Better/
|
||||||||||||||
(in millions, except per share amounts, unaudited) |
|
2024 |
|
|
|
2023 |
|
|
|
|
2024 |
|
|
|
2023 |
|
|
||||
Net income |
$ |
511 |
|
|
$ |
872 |
|
|
(41 |
)% |
|
$ |
5.00 |
|
|
$ |
8.14 |
|
|
(39 |
)% |
Adjustments: |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Net realized investment gains (losses) (1) |
|
(6 |
) |
|
|
(38 |
) |
|
|
|
|
(0.06 |
) |
|
|
(0.35 |
) |
|
|
||
Market impact on non-traditional long-duration products (1) |
|
(402 |
) |
|
|
211 |
|
|
|
|
|
(3.93 |
) |
|
|
1.96 |
|
|
|
||
Mean reversion-related impacts (1) |
|
1 |
|
|
|
— |
|
|
|
|
|
0.01 |
|
|
|
— |
|
|
|
||
Integration/restructuring charges (1) |
|
— |
|
|
|
(12 |
) |
|
|
|
|
— |
|
|
|
(0.11 |
) |
|
|
||
Net income (loss) attributable to consolidated investment entities |
|
5 |
|
|
|
— |
|
|
|
|
|
0.05 |
|
|
|
— |
|
|
|
||
Tax effect of adjustments (2) |
|
85 |
|
|
|
(34 |
) |
|
|
|
|
0.83 |
|
|
|
(0.32 |
) |
|
|
||
Adjusted operating earnings |
$ |
828 |
|
|
$ |
745 |
|
|
11 |
% |
|
$ |
8.10 |
|
|
$ |
6.96 |
|
|
16 |
% |
Pretax impact of annual unlocking |
|
(94 |
) |
|
|
(99 |
) |
|
|
|
|
(0.92 |
) |
|
|
(0.92 |
) |
|
|
||
Tax effect of annual unlocking (2) |
|
20 |
|
|
|
21 |
|
|
|
|
|
0.19 |
|
|
|
0.20 |
|
|
|
||
Adjusted operating earnings excluding unlocking |
$ |
902 |
|
|
$ |
823 |
|
|
10 |
% |
|
$ |
8.83 |
|
|
$ |
7.68 |
|
|
15 |
% |
Pretax impact of severance expense |
|
(24 |
) |
|
|
(7 |
) |
|
|
|
|
(0.24 |
) |
|
|
(0.07 |
) |
|
|
||
Tax effect of severance expense |
|
5 |
|
|
|
1 |
|
|
|
|
|
0.05 |
|
|
|
0.01 |
|
|
|
||
Adjusted operating earnings excluding unlocking and severance expense |
$ |
921 |
|
|
$ |
829 |
|
|
11 |
% |
|
$ |
9.02 |
|
|
$ |
7.74 |
|
|
17 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Weighted average common shares outstanding: |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Basic |
|
100.4 |
|
|
|
104.9 |
|
|
|
|
|
|
|
|
|
||||||
Diluted |
|
102.2 |
|
|
|
107.1 |
|
|
|
|
|
|
|
|
|
||||||
(1) Pretax adjusted operating adjustment. |
|||||||||||||||||||||
(2) Calculated using the statutory tax rate of 21%. |
|||||||||||||||||||||
Ameriprise Financial, Inc. |
|||||||||||||||||||||
Reconciliation Table: Earnings |
|||||||||||||||||||||
|
Year-to-date
|
|
% Better/
|
|
Per Diluted Share
|
|
% Better/
|
||||||||||||||
(in millions, except per share amounts, unaudited) |
|
2024 |
|
|
|
2023 |
|
|
|
|
2024 |
|
|
|
2023 |
|
|
||||
Net income |
$ |
2,330 |
|
|
$ |
2,179 |
|
|
7 |
% |
|
$ |
22.53 |
|
|
$ |
20.08 |
|
|
12 |
% |
Adjustments: |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Net realized investment gains (losses) (1) |
|
(9 |
) |
|
|
(32 |
) |
|
|
|
|
(0.09 |
) |
|
|
(0.29 |
) |
|
|
||
Market impact on non-traditional long-duration products (1) |
|
(322 |
) |
|
|
(137 |
) |
|
|
|
|
(3.11 |
) |
|
|
(1.27 |
) |
|
|
||
Mean reversion-related impacts (1) |
|
1 |
|
|
|
— |
|
|
|
|
|
0.01 |
|
|
|
— |
|
|
|
||
Integration/restructuring charges (1) |
|
— |
|
|
|
(47 |
) |
|
|
|
|
— |
|
|
|
(0.43 |
) |
|
|
||
Net income (loss) attributable to consolidated investment entities |
|
3 |
|
|
|
— |
|
|
|
|
|
0.03 |
|
|
|
— |
|
|
|
||
Tax effect of adjustments (2) |
|
69 |
|
|
|
45 |
|
|
|
|
|
0.66 |
|
|
|
0.41 |
|
|
|
||
Adjusted operating earnings |
$ |
2,588 |
|
|
$ |
2,350 |
|
|
10 |
% |
|
$ |
25.03 |
|
|
$ |
21.66 |
|
|
16 |
% |
Pretax impact of annual unlocking |
|
(94 |
) |
|
|
(99 |
) |
|
|
|
|
(0.91 |
) |
|
|
(0.91 |
) |
|
|
||
Tax effect of annual unlocking (2) |
|
20 |
|
|
|
21 |
|
|
|
|
|
0.20 |
|
|
|
0.19 |
|
|
|
||
Adjusted operating earnings excluding unlocking |
$ |
2,662 |
|
|
$ |
2,428 |
|
|
10 |
% |
|
$ |
25.74 |
|
|
$ |
22.38 |
|
|
15 |
% |
Pretax impact of severance expense |
|
(54 |
) |
|
|
(7 |
) |
|
|
|
|
(0.52 |
) |
|
|
(0.06 |
) |
|
|
||
Tax effect of severance expense (2) |
|
11 |
|
|
|
1 |
|
|
|
|
|
0.11 |
|
|
|
0.01 |
|
|
|
||
Adjusted operating earnings excluding unlocking and severance expense |
$ |
2,705 |
|
|
$ |
2,434 |
|
|
11 |
% |
|
$ |
26.15 |
|
|
$ |
22.43 |
|
|
17 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Weighted average common shares outstanding: |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Basic |
|
101.6 |
|
|
|
106.4 |
|
|
|
|
|
|
|
|
|
||||||
Diluted |
|
103.4 |
|
|
|
108.5 |
|
|
|
|
|
|
|
|
|
||||||
(1) Pretax adjusted operating adjustment. |
|||||||||||||||||||||
(2) Calculated using the statutory tax rate of 21%. |
|||||||||||||||||||||
Ameriprise Financial, Inc. |
|||||||
Reconciliation Table: Pretax Adjusted Operating Earnings |
|||||||
|
Quarter Ended September 30, |
||||||
(in millions, unaudited) |
|
2024 |
|
|
|
2023 |
|
Total net revenues |
$ |
4,397 |
|
|
$ |
3,925 |
|
Adjustments: |
|
|
|
||||
Net realized investment gains (losses) |
|
(6 |
) |
|
|
(38 |
) |
Market impact on non-traditional long-duration products |
|
5 |
|
|
|
3 |
|
CIEs revenue |
|
53 |
|
|
|
45 |
|
Adjusted operating total net revenues |
$ |
4,345 |
|
|
$ |
3,915 |
|
Annual unlocking |
|
(5 |
) |
|
|
1 |
|
Adjusted operating total net revenues excluding unlocking |
$ |
4,350 |
|
|
$ |
3,914 |
|
|
|
|
|
||||
Total expenses |
$ |
3,752 |
|
|
$ |
2,808 |
|
Adjustments: |
|
|
|
||||
CIEs expenses |
|
47 |
|
|
|
45 |
|
Integration/restructuring charges |
|
— |
|
|
|
12 |
|
Market impact on non-traditional long-duration products |
|
407 |
|
|
|
(208 |
) |
Mean reversion-related impacts |
|
(1 |
) |
|
|
— |
|
Adjusted operating expenses |
$ |
3,299 |
|
|
$ |
2,959 |
|
Annual unlocking |
|
89 |
|
|
|
100 |
|
Adjusted operating total net expenses excluding unlocking |
$ |
3,210 |
|
|
$ |
2,859 |
|
Severance expense |
|
24 |
|
|
|
7 |
|
Adjusted operating total net expenses excluding unlocking and severance expense |
$ |
3,186 |
|
|
$ |
2,852 |
|
|
|
|
|
||||
Pretax income |
$ |
645 |
|
|
$ |
1,117 |
|
Pretax adjusted operating earnings |
$ |
1,046 |
|
|
$ |
956 |
|
Pretax adjusted operating earnings excluding unlocking and severance expense |
$ |
1,164 |
|
|
$ |
1,062 |
|
|
|
|
|
||||
Pretax income margin |
|
14.7 |
% |
|
|
28.5 |
% |
Pretax adjusted operating margin |
|
24.1 |
% |
|
|
24.4 |
% |
Pretax adjusted operating margin excluding unlocking and severance expense |
|
26.8 |
% |
|
|
27.1 |
% |
|
|
|
|
||||
Ameriprise Financial, Inc. |
|||||||||||
Reconciliation Table: Available Capital for Capital Adequacy |
|||||||||||
(in millions, unaudited) |
September 30,
|
|
September 30,
|
|
June 30,
|
||||||
Ameriprise Financial GAAP Equity |
$ |
5,715 |
|
|
$ |
3,825 |
|
|
$ |
4,993 |
|
Less: AOCI |
|
(1,101 |
) |
|
|
(2,840 |
) |
|
|
(1,993 |
) |
Ameriprise Financial GAAP Equity, excl AOCI |
|
6,816 |
|
|
|
6,665 |
|
|
|
6,986 |
|
Less: RiverSource Life Insurance Co. GAAP Equity, excluding AOCI |
|
1,658 |
|
|
|
2,084 |
|
|
|
2,012 |
|
Add: RiverSource Life Insurance Co. statutory total adjusted capital |
|
2,721 |
|
|
|
2,842 |
|
|
|
2,598 |
|
Less: Goodwill and intangibles |
|
2,626 |
|
|
|
2,487 |
|
|
|
2,595 |
|
Add: Other adjustments |
|
270 |
|
|
|
311 |
|
|
|
268 |
|
Available Capital for Capital Adequacy |
$ |
5,523 |
|
|
$ |
5,247 |
|
|
$ |
5,245 |
|
|
|
|
|
|
|
||||||
Ameriprise Financial, Inc. |
||||||
Reconciliation Table: Effective Tax Rate |
||||||
|
Quarter Ended
|
|||||
(in millions, unaudited) |
GAAP |
Adjusted
|
||||
Pretax income |
$ |
1,117 |
|
$ |
956 |
|
Income tax provision |
$ |
245 |
|
$ |
211 |
|
|
|
|
||||
Effective tax rate |
|
21.8 |
% |
|
22.1 |
% |
|
|
|
||||
Ameriprise Financial, Inc. |
||||||
Reconciliation Table: Effective Tax Rate |
||||||
|
Quarter Ended
|
|||||
(in millions, unaudited) |
GAAP |
Adjusted
|
||||
Pretax income |
$ |
645 |
|
$ |
1,046 |
|
Income tax provision |
$ |
134 |
|
$ |
218 |
|
|
|
|
||||
Effective tax rate |
|
20.7 |
% |
|
20.8 |
% |
|
|
|
||||
Ameriprise Financial, Inc. |
||||||
Reconciliation Table: Effective Tax Rate |
||||||
|
Year-to-date
|
|||||
(in millions, unaudited) |
GAAP |
Adjusted
|
||||
Pretax income |
$ |
2,915 |
|
$ |
3,241 |
|
Income tax provision |
$ |
585 |
|
$ |
653 |
|
|
|
|
||||
Effective tax rate |
|
20.0 |
% |
|
20.1 |
% |
|
|
|
||||
Ameriprise Financial, Inc. |
|||||||||||
Reconciliation Table: Advice & Wealth Management General and Administrative Expense |
|||||||||||
|
Quarter Ended September 30, |
|
% Better/
|
||||||||
(in millions, unaudited) |
2024 |
|
2023 |
|
|||||||
AWM general and administrative expense |
$ |
419 |
|
$ |
419 |
|
— |
% |
|||
Less: Regulatory accrual |
|
— |
|
|
|
20 |
|
|
|
||
AWM general and administrative expense excluding accrual for regulatory matter |
$ |
419 |
|
|
$ |
399 |
|
|
(5 |
)% |
|
|
|
|
|
|
|
||||||
Ameriprise Financial, Inc. |
|||||||
Reconciliation Table: Return on Equity (ROE) Excluding Accumulated |
|||||||
Other Comprehensive Income “AOCI” |
|||||||
|
Twelve Months Ended
|
||||||
(in millions, unaudited) |
2024 |
2023 |
|||||
Net income |
$ |
2,707 |
|
$ |
2,828 |
|
|
Less: Adjustments (1) |
|
(642 |
) |
|
(254 |
) |
|
Adjusted operating earnings |
|
3,349 |
|
|
3,082 |
|
|
Less: Annual unlocking (2) |
|
(74 |
) |
|
(78 |
) |
|
Adjusted operating earnings excluding unlocking |
$ |
3,423 |
|
$ |
3,160 |
|
|
|
|
|
|||||
Total Ameriprise Financial, Inc. shareholders’ equity |
$ |
4,828 |
|
$ |
3,894 |
|
|
Less: Accumulated other comprehensive income, net of tax |
|
(1,926 |
) |
|
(2,477 |
) |
|
Total Ameriprise Financial, Inc. shareholders’ equity excluding AOCI |
|
6,754 |
|
|
6,371 |
|
|
Less: Equity impacts attributable to the consolidated investment entities |
|
(3 |
) |
|
(3 |
) |
|
Adjusted operating equity |
$ |
6,757 |
|
$ |
6,374 |
|
|
|
|
|
|||||
Return on equity excluding AOCI |
|
40.1 |
% |
|
44.4 |
% |
|
Adjusted operating return on equity excluding AOCI (3) |
|
49.6 |
% |
|
48.4 |
% |
|
Adjusted operating return on equity excluding AOCI and unlocking (3) |
|
50.7 |
% |
|
49.6 |
% |
|
|
|
|
|||||
(1) Adjustments reflect the sum of after-tax net realized investment gains/losses, net of the reinsurance accrual; the market impact on non-traditional long-duration products (including variable and fixed deferred annuity contracts and UL insurance contracts), net of hedges and related reinsurance accrual; mean reversion related impacts; block transfer reinsurance transaction impacts; the market impact of hedges to offset interest rate and currency changes on unrealized gains or losses for certain investments; gain or loss on disposal of a business that is not considered discontinued operations; integration and restructuring charges; income (loss) from discontinued operations; and net income (loss) from consolidated investment entities. After-tax is calculated using the statutory tax rate of 21%. |
|||||||
(2) After-tax is calculated using the statutory tax rate of 21%. |
|||||||
(3) Adjusted operating return on equity, excluding AOCI is calculated using adjusted operating earnings in the numerator, and Ameriprise Financial shareholders’ equity, excluding AOCI and the impact of consolidating investment entities using a five-point average of quarter-end equity in the denominator. After-tax is calculated using the statutory tax rate of 21%. |
|||||||
View source version on businesswire.com: https://www.businesswire.com/news/home/20241023254099/en/
Contact
Investor Relations:
Alicia A. Charity
Ameriprise Financial
(612) 671-2080
alicia.a.charity@ampf.com
Stephanie M. Rabe
Ameriprise Financial
(612) 671-4085
stephanie.m.rabe@ampf.com
Media Relations:
Paul W. Johnson
Ameriprise Financial
(612) 671-0625
paul.w.johnson@ampf.com
