Ameriprise Financial, Inc. (NYSE: AMP):
Earnings Per Diluted Share
Return on Equity, ex AOCI (1)
Q4
2021
Q4
2021
GAAP
$5.96
GAAP
51.2%
Adjusted Operating
$6.15
Adjusted Operating
50.6%
- Fourth quarter adjusted operating earnings per diluted share
was a record $6.15, up 36 percent from the prior year reflecting
strong business growth. Full year adjusted operating earnings per
diluted share excluding unlocking increased 35 percent to
$22.75.
Perspective from Jim Cracchiolo,
Chairman and Chief Executive Officer
“Ameriprise delivered another very strong
quarter and a record year for client flows, assets and financial
results.
“This significant organic growth was
complemented by strategic actions, including our acquisition of BMO
EMEA. In the quarter, we drove more than $40 billion in client net
inflows.
“Wealth and Asset Management generated 80%
of our 2021 adjusted operating earnings, and we continued to
deliver consistently strong results in our high-quality insurance
and annuity business. This allows us to generate a differentiated
level of capital return to shareholders, while investing in the
business and maintaining our balance sheet discipline.
“Ameriprise is well positioned to continue
navigating the current environment successfully, and rising
interest rates would be another positive. We remain focused on
serving our clients well and are energized about the opportunity
before us.”
- Fourth quarter GAAP net income per diluted share was $5.96,
versus $1.43 a year ago, from strong business performance and lower
market impact on derivatives, with BMO integration costs in the
current year period. Full year GAAP net income per diluted share
increased 89 percent to $23.00.
- Assets under management and administration increased to a
record high of $1.4 trillion. BMO’s EMEA Asset Management business
(BMO EMEA) added $136 billion of acquired assets.
- Net flows from Advice & Wealth Management and Asset
Management were over $40 billion, including a net $15 billion of
BMO-related flows primarily from the U.S. asset transfers in North
America mainly in December.
- Adjusted operating net revenue was $3.7 billion, an 18 percent
increase from strong organic growth.
- Ameriprise generated strong profitability with pretax adjusted
operating earnings up 33 percent to $894 million, driven by 45
percent earnings growth from Wealth and Asset Management. These
businesses represented 81 percent of operating earnings in the
quarter.
- Investment performance at Columbia Threadneedle Investments
remains excellent with 133 funds with 4- and 5-star Morningstar
ratings with more than 80% of funds above median on an
asset-weighted basis over 3-, 5- and 10-year time periods.
- The company returned $630 million of capital to shareholders in
the quarter for a total of $2.4 billion for the full year, which
was nearly 90 percent of adjusted operating earnings.
- The company announced a new share repurchase authorization of
$3.0 billion through March 31, 2024.
- On November 8, 2021, the company successfully closed the
acquisition of BMO EMEA and recognized $18 million of integration
expense on a GAAP basis in the quarter.
(1) Return on equity excluding AOCI is
calculated on a trailing 12-month basis.
Ameriprise Financial,
Inc.
Fourth Quarter Summary
Quarter Ended December
31,
% Over/ (Under)
Year-to-date December
31,
% Over/ (Under)
(in millions, except per share amounts,
unaudited)
2021
2020
2021
2020
GAAP net income
$ 701
$ 177
NM
$ 2,760
$ 1,534
80%
Adjusted operating earnings
$ 723
$ 559
29%
$ 2,724
$ 1,770
54%
Adjusted operating earnings excluding Q3
unlocking (see reconciliation starting on p. 25)
$ 723
$ 559
29%
$ 2,730
$ 2,119
29%
GAAP net income per diluted share
$ 5.96
$ 1.43
NM
$ 23.00
$ 12.20
89%
Adjusted operating earnings per diluted
share
$ 6.15
$ 4.53
36%
$ 22.70
$ 14.08
61%
Adjusted operating earnings per diluted
share excluding Q3 unlocking (see reconciliation starting on p.
255)
$ 6.15
$ 4.53
36%
$ 22.75
$ 16.86
35%
GAAP Return on Equity, ex. AOCI
51.2
%
26.1
%
51.2
%
26.1
%
Adjusted Operating Return on Equity, ex.
AOCI
50.6
%
30.2
%
50.6
%
30.2
%
Adjusted Operating Return on Equity, ex.
AOCI and Q3 unlocking
50.7
%
36.1
%
50.7
%
36.1
%
Weighted average common shares
outstanding:
Basic
114.6
120.9
117.3
123.8
Diluted
117.6
123.4
120.0
125.7
NM Not Meaningful - variance equal to or
greater than 100%
Fourth quarter 2021 GAAP results were modestly impacted by the
market changes that negatively affected credit spreads and the
valuation of derivatives, as well as integration costs from the
acquisition of BMO EMEA. The prior year quarter also included
significant negative impacts from market changes that affected
credit spreads and valuation of derivatives.
Ameriprise Financial,
Inc.
Advice & Wealth Management
Segment Adjusted Operating Results
Quarter Ended December
31,
% Over/ (Under)
(in millions, unaudited)
2021
2020
Net revenues
$
2,114
$
1,776
19
%
Distribution expenses
1,275
1,065
(20
)%
G&A / other expense
367
359
(2
)%
Pretax adjusted operating earnings
$
472
$
352
34
%
Pretax adjusted operating margin
22.3
%
19.8
%
250 bps
Quarter Ended December
31,
% Over/ (Under)
(in billions, unless otherwise noted)
2021
2020
Total client assets
$ 858
$
732
17
%
Total client net flows (1)
$ 12.5
$
9.7
29
%
Wrap net flows (1)
$ 10.5
$
9.0
17
%
AWM cash balance
$ 43.8
$
41.5
6
%
Average gross yield on cash balances (in
bps)
62
69
Adjusted operating net revenue per advisor
(TTM in thousands)
$ 796
$
674
18
%
Adjusted for interest rates (2)
$ 796
$
666
20
%
(1) See definition on page 133.
(2) Adjusted for impact from interest
rates. See reconciliation on page 28.
Advice & Wealth Management pretax adjusted operating
earnings increased 34 percent to a record $472 million driven by
robust client net flows, higher transactional activity, market
appreciation, increased bank profitability and disciplined expense
management. Pretax adjusted operating margin was 22.3 percent, up
250 basis points, which demonstrated our strategic focus on
profitable growth.
Adjusted operating net revenues grew 19 percent to $2.1 billion,
reflecting strong client net flows and transactional activity
levels, as well as market appreciation.
Distribution expenses were up 20 percent associated with robust
organic growth. General and administrative expense increased 2
percent, as higher activity-based expense and performance-based
compensation were partially offset by expense discipline.
Total client assets grew 17 percent to $858 billion. Substantial
organic growth across our advisor network was driven primarily by
increased new client acquisition, deeper client relationships from
existing clients, as well as experienced advisor recruiting. Total
client flows reached a new high of $12.5 billion in the quarter,
with a 17 percent increase in wrap flows and an 8 percent increase
in transactional activity. Wrap net flows were $10.5 billion,
representing the fifth consecutive quarter at or above $9.0
billion. Cash balances increased to $43.8 billion with an
opportunity for clients to put cash back to work in the future.
Adjusted operating net revenue per advisor on a trailing
12-month basis was $796,000. Excluding the decline in short-term
interest rates, adjusted operating net revenue per advisor
increased 20 percent. Total advisors increased 2 percent to 10,116,
with excellent advisor retention, as well as the addition of 86
experienced advisors in the quarter.
Ameriprise Financial,
Inc.
Asset Management Segment
Adjusted Operating Results
Quarter Ended December
31,
% Over/ (Under)
(in millions, unaudited)
2021
2020
Net revenues
$
1,060
$
798
33
%
Distribution expenses
294
254
(16
)%
G&A / other expenses
436
343
(27
)%
Pretax adjusted operating earnings
$
330
$
201
64
%
Net pretax adjusted operating margin
(1)
45.7
%
39.5
%
Quarter Ended December
31,
% Over/ (Under)
(in billions)
2021
2020
Total segment AUM
$
754
$
547
38
%
Net Flows
Global Retail net flows
$
13.6
$
7.8
74
%
Global Institutional net flows, ex. legacy
insurance partners flows
14.8
0.6
NM
Legacy insurance partners flows
(0.9
)
(1.4
)
32
%
Total segment net flows
$
27.5
$
7.0
NM
Model delivery AUA Flows (2)
$
0.8
$
0.2
NM
(1) See reconciliation on page 144.
(2) Estimated 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%
Asset Management pretax adjusted operating earnings
increased 64 percent to $330 million reflecting the cumulative
benefit of net inflows, higher performance fees and market
appreciation. Net pretax adjusted operating margin was 45.7
percent. The net pretax adjusted operating margin excluding the BMO
EMEA acquisition was 48.6 percent.
Adjusted operating revenues grew to $1.1 billion, up 33 percent
from strong performance fees, the addition of the recently acquired
EMEA Asset Management business from BMO, the cumulative benefit of
inflows, as well as higher equity markets. Excluding BMO EMEA,
revenue increased 25 percent.
Distribution expense increased 16 percent from strong equity
market appreciation. General and administrative expense grew 27
percent driven by the BMO EMEA acquisition and higher performance
fee compensation. Excluding BMO EMEA, G&A was well managed and
up 12 percent.
Total assets under management increased 38 percent to $754
billion reflecting the acquisition of BMO EMEA, equity market
appreciation and net inflows. Long term investment performance
remained very strong across equity, fixed income and
asset-allocation strategies.
In the quarter, net inflows were $27.5 billion, which included a
net $15.0 billion related to BMO. In the U.S., $16.9 billion of
inflows were related to clients that elected to transfer retail and
institutional assets to us resulting from the transition of
investment advisory services as part of an arrangement with BMO.
BMO EMEA had $1.9 billion of outflows, of which approximately 40
percent was associated with the acquisition.
- Retail net inflows were $13.6 billion, which included
reinvested dividends, $2.6 billion of BMO-related net inflows in
the U.S. and EMEA, and $2.4 billion of underlying outflows.
- Global institutional net inflows were $14.8 billion, which
included $14.0 billion of inflows from U.S. BMO asset management
clients, BMO EMEA outflows of $1.6 billion, and underlying $2.4
billion of net inflows across multiple strategies and geographies.
Ameriprise Financial,
Inc.
Retirement & Protection
Solutions Segment Adjusted Operating Results
Quarter Ended December
31,
% Over/ (Under)
(in millions, unaudited)
2021
2020
Net revenues
$
815
$
799
2
%
Expenses
632
619
(2
)%
Pretax adjusted operating earnings
$
183
$
180
2
%
Retirement & Protection Solutions pretax adjusted
operating earnings were $183 million as market appreciation was
largely offset by higher sales expense, net outflows in retirement
products and lower portfolio yields. Overall claims remain within
expected ranges.
The company continues its ongoing shift to lower-risk products.
In December, the company announced that it discontinued sales of
substantially all variable annuities with living benefit riders at
year end, with a full exit of new sales by mid-2022. In addition,
the company discontinued sales of universal life with secondary
guarantees and universal life/LTC combo products in the
quarter.
Retirement & Protection Solutions sales increased to $1.6
billion. Variable annuity sales increased 15 percent to $1.5
billion, with 67 percent of sales in products without living
benefit guarantees. Protection sales increased 41 percent to $97
million, reflecting a significant shift of sales to higher-margin
accumulation VUL products.
Ameriprise Financial,
Inc.
Corporate & Other Segment
Adjusted Operating Results
Quarter Ended December
31,
% Over/ (Under)
(in millions, unaudited)
2021
2020
Corporate & Other, excluding Closed
Blocks
$
(88
)
$
(79
)
(11
)%
Closed Blocks (1)
(3
)
19
NM
Pretax adjusted operating earnings
$
(91
)
$
(60
)
(52
)%
Long Term Care
$
4
$
21
(81
)%
Fixed Annuities
(7
)
(2
)
NM
Closed Blocks pretax adjusted operating
earnings
$
(3
)
$
19
NM
(1) Long Term Care and Fixed
Annuities.
NM Not Meaningful - variance equal to or
greater than 100%
Total Corporate & Other pretax adjusted operating
loss was $91 million.
Corporate & Other, excluding Closed Blocks, pretax
adjusted operating loss was $88 million. Results in the quarter
included a $12 million impact from share price appreciation on
compensation related expense.
Long Term Care pretax adjusted operating earnings were $4
million, down from last year as terminations and claim activity
returned to pre-COVID levels in the quarter.
Fixed Annuities pretax adjusted operating loss was $7
million.
Taxes
The operating effective tax rate was 19.1 percent for the fourth
quarter. The full year operating effective tax rate was 17.6
percent.
About Ameriprise Financial
At Ameriprise Financial, we have been helping people feel
confident about their financial future for more than 125 years.
With extensive advisory, asset management and insurance
capabilities and a nationwide network of over 10,000 financial
advisors, we have the strength and expertise to serve the full
range of individual and institutional investors' financial needs.
For more information, or to find an Ameriprise financial advisor,
visit ameriprise.com.
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, BMO
Asset Management Limited, LGM 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 all 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
earnings 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, acquisition integration, general and
administrative costs, consolidated tax rate, return of capital to
shareholders, and excess capital position and financial flexibility
to capture additional growth opportunities;
- statements about the expected trend in the shift to lower-risk
products, including the exit from variable annuities with living
benefit riders;
- 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;
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,” “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, 2020 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-K for the year ended December 31, 2021.
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.
Consolidated GAAP
Results
(in millions, except per share amounts,
unaudited)
4 Qtr 2021
4 Qtr 2020
% Over/ (Under)
3 Qtr 2021
% Over/ (Under)
Revenues
Management and financial advice fees
$
2,555
$
2,003
28
%
$
2,367
8
%
Distribution fees
462
422
9
%
458
1
%
Net investment income
255
318
(20
)%
773
(67
)%
Premiums, policy and contract charges
367
375
(2
)%
(805
)
NM
Other revenues
123
71
73
%
113
9
%
Total revenues
3,762
3,189
18
%
2,906
29
%
Banking and deposit interest expense
2
6
67
%
3
33
%
Total net revenues
3,760
3,183
18
%
2,903
30
%
Expenses
Distribution expenses
1,322
1,096
(21
)%
1,285
(3
)%
Interest credited to fixed accounts
145
121
(20
)%
172
16
%
Benefits, claims, losses and settlement
expenses
378
982
62
%
(719
)
NM
Amortization of deferred acquisition
costs
47
(72
)
NM
9
NM
Interest and debt expense
42
38
(11
)%
64
34
%
General and administrative expense
960
828
(16
)%
822
(17
)%
Total expenses
2,894
2,993
3
%
1,633
(77
)%
Pretax income
866
190
NM
1,270
(32
)%
Income tax provision
165
13
NM
239
31
%
Net income
$
701
$
177
NM
$
1,031
(32
)%
Earnings per share
Basic earnings per share
$
6.12
$
1.46
$
8.86
Earnings per diluted share
$
5.96
$
1.43
$
8.65
Weighted average common shares
outstanding
Basic
114.6
120.9
116.4
Diluted
117.6
123.4
119.2
NM Not Meaningful - variance equal to or
greater than 100%
Ameriprise Financial,
Inc.
Consolidated Highlights and
Capital Summary
(in millions unless otherwise noted,
unaudited)
4 Qtr 2021
4 Qtr 2020
% Over/ (Under)
3 Qtr 2021
% Over/ (Under)
Assets Under Management and
Administration
Advice & Wealth Management AUM
$
460,935
$
376,811
22
%
$
431,861
7
%
Asset Management AUM
754,056
546,613
38
%
583,398
29
%
Corporate AUM
136
82
66
%
104
31
%
Eliminations
(44,160
)
(37,483
)
(18
)%
(42,022
)
(5
)%
Total Assets Under Management
1,170,967
886,023
32
%
973,341
20
%
Total Assets Under
Administration
246,891
216,066
14
%
232,934
6
%
Total AUM and AUA
$
1,417,858
$
1,102,089
29
%
$
1,206,275
18
%
S&P 500
Daily average
4,600
3,555
29
%
4,425
4
%
Period end
4,766
3,756
27
%
4,308
11
%
Weighted Equity Index (WEI) (1)
Daily average
3,068
2,414
27
%
2,983
3
%
Period end
3,152
2,573
23
%
2,909
8
%
Common shares
Beginning balance
112.4
118.6
(5
)%
114.3
(2
)%
Repurchases
(1.6
)
(2.1
)
24
%
(2.1
)
24
%
Issuances
0.4
1.0
(60
)%
0.4
-
Other
(0.3
)
(0.7
)
57
%
(0.2
)
(50
)%
Total common shares outstanding
110.9
116.8
(5
)%
112.4
(1
)%
Restricted stock units
3.0
3.2
(6
)%
3.0
-
Total basic common shares
outstanding
113.9
120.0
(5
)%
115.4
(1
)%
Total potentially dilutive shares
2.9
2.5
16
%
2.9
-
Total diluted shares
116.8
122.5
(5
)%
118.3
(1
)%
Capital Returned to
Shareholders
Dividends paid
$
131
$
126
4
%
$
133
(2
)%
Common stock share repurchases
499
376
33
%
533
(6
)%
Total Capital Returned to
Shareholders
$
630
$
502
25
%
$
666
(5
)%
(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.
Ameriprise Financial,
Inc.
Advice & Wealth Management
Segment Adjusted Operating Results
(in millions, unaudited)
4 Qtr 2021
4 Qtr 2020
% Over/ (Under)
3 Qtr 2021
% Over/ (Under)
Revenues
Management and financial advice fees:
Advisory fees
$
1,209
$
953
27
%
$
1,189
2
%
Financial planning fees
114
100
14
%
91
25
%
Transaction and other fees
96
88
9
%
94
2
%
Total management and financial advice
fees
1,419
1,141
24
%
1,374
3
%
Distribution fees:
Mutual funds
220
197
12
%
219
-
Insurance and annuity
256
229
12
%
246
4
%
Other products
95
96
(1
)%
96
(1
)%
Total distribution fees
571
522
9
%
561
2
%
Net investment income
68
66
3
%
62
10
%
Other revenues
58
53
9
%
54
7
%
Total revenues
2,116
1,782
19
%
2,051
3
%
Banking and deposit interest expense
2
6
67
%
3
33
%
Adjusted operating total net
revenues
2,114
1,776
19
%
2,048
3
%
Expenses
Distribution expenses
1,275
1,065
(20
)%
1,238
(3
)%
Interest and debt expense
2
2
-
3
33
%
General and administrative expense
365
357
(2
)%
348
(5
)%
Adjusted operating expenses
1,642
1,424
(15
)%
1,589
(3
)%
Pretax adjusted operating
earnings
$
472
$
352
34
%
$
459
3
%
Pretax adjusted operating
margin
22.3
%
19.8
%
22.4
%
Pretax adjusted operating earnings by
product
Certificates and Banking - Combined
$
21
$
21
-
$
17
24
%
Wealth Management & Distribution
451
331
36
%
442
2
%
Pretax adjusted operating
earnings
$
472
$
352
34
%
$
459
3
%
Ameriprise Financial,
Inc.
Advice & Wealth Management
Segment Operating Metrics
(in millions unless otherwise noted,
unaudited)
4 Qtr 2021
4 Qtr 2020
% Over/ (Under)
3 Qtr 2021
% Over/ (Under)
AWM Total Client Assets
$
857,584
$
732,171
17
%
$
811,189
6
%
Total Client Flows (1)
$
12,542
$
9,697
29
%
$
10,043
25
%
Total Wrap Accounts
Beginning assets
$
435,375
$
339,950
28
%
$
430,003
1
%
Net flows (2)
10,541
8,999
17
%
9,404
12
%
Market appreciation (depreciation) and
other (2)
18,772
31,064
(40
)%
(4,032
)
NM
Total wrap ending assets
$
464,688
$
380,013
22
%
$
435,375
7
%
Advisory wrap account assets ending
balance (3)
$
459,499
$
375,657
22
%
$
430,546
7
%
Brokerage Cash & Certificates
Balances
On-balance sheet (Net Investment
Income)
On-balance sheet - broker dealer
$
3,513
$
3,487
1
%
$
3,441
2
%
On-balance sheet - bank
11,419
7,405
54
%
9,815
16
%
On-balance sheet - certificate
5,300
6,760
(22
)%
5,442
(3
)%
Total on-balance sheet
$
20,232
$
17,652
15
%
$
18,698
8
%
Off-balance sheet (Distribution
Fees)
Off-balance sheet - broker dealer
$
23,593
$
23,842
(1
)%
$
21,374
10
%
Total brokerage cash & certificates
balances
$
43,825
$
41,494
6
%
$
40,072
9
%
Gross Fee Yield
On-balance sheet - broker dealer
0.06
%
0.11
%
0.06
%
On-balance sheet - bank (4)
1.27
%
1.44
%
1.27
%
On-balance sheet - certificates
0.94
%
1.32
%
1.06
%
Off-balance sheet - broker dealer
0.26
%
0.29
%
0.28
%
Weighted Average Gross Fee Yield (4)
0.62
%
0.69
%
0.64
%
Financial Advisors
Employee advisors
2,128
2,117
1
%
2,112
1
%
Franchisee advisors
7,988
7,805
2
%
7,961
-
Total financial advisors
10,116
9,922
2
%
10,073
-
Advisor Retention
Employee
92.0
%
92.1
%
91.7
%
Franchisee
94.2
%
94.0
%
94.3
%
(1) Total client flows represent inflows
of client cash and securities less client outflows. Inflows include
dividends and interest; outflows include fees. Excludes short-term
and long-term capital gain distributions.
(2) Beginning in Q1 2021, wrap net flows
is calculated including dividends and interest less fees, which
were previously recorded in market appreciation (depreciation) and
other. Net flows excludes short-term and long-term capital gain
distributions. Prior periods have been restated.
(3) 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.
(4) The Gross Fee Yield for prior periods
have been restated.
NM Not Meaningful - variance equal to or
greater than 100%
Ameriprise Financial,
Inc.
Asset Management Segment
Adjusted Operating Results
(in millions, unaudited)
4 Qtr 2021
4 Qtr 2020
% Over/ (Under)
3 Qtr 2021
% Over/ (Under)
Revenues
Management and financial advice fees:
Asset management fees:
Retail
$
624
$
492
27
%
$
587
6
%
Institutional
248
134
85
%
143
73
%
Transaction and other fees
58
51
14
%
57
2
%
Revenue from other sources (1)
7
4
75
%
7
-
Total management and financial advice
fees
937
681
38
%
794
18
%
Distribution fees:
Mutual funds
70
63
11
%
70
-
Insurance and annuity
49
45
9
%
50
(2
)%
Total distribution fees
119
108
10
%
120
(1
)%
Net investment income
2
8
(75
)%
1
NM
Other revenues
2
1
NM
—
-
Total revenues
1,060
798
33
%
915
16
%
Banking and deposit interest expense
—
—
-
—
-
Adjusted operating total net
revenues
1,060
798
33
%
915
16
%
Expenses
Distribution expenses
294
254
(16
)%
288
(2
)%
Amortization of deferred acquisition
costs
3
3
-
3
-
Interest and debt expense
2
1
NM
1
NM
General and administrative expense
431
339
(27
)%
338
(28
)%
Adjusted operating expenses
730
597
(22
)%
630
(16
)%
Pretax adjusted operating
earnings
$
330
$
201
64
%
$
285
16
%
Net Pretax Adjusted Operating Margin
Reconciliation
Adjusted operating total net revenues
$
1,060
$
798
33
%
$
915
16
%
Distribution pass thru revenues
(234
)
(205
)
(14
)%
(231
)
(1
)%
Subadvisory and other pass thru
revenues
(97
)
(94
)
(3
)%
(97
)
-
Net adjusted operating revenues
$
729
$
499
46
%
$
587
24
%
Pretax adjusted operating earnings
$
330
$
201
64
%
$
285
16
%
Adjusted operating net investment
income
(2
)
(8
)
75
%
(1
)
NM
Amortization of intangibles
5
4
25
%
3
67
%
Net adjusted operating earnings
$
333
$
197
69
%
$
287
16
%
Pretax adjusted operating margin
31.1
%
25.2
%
31.1
%
Net pretax adjusted operating margin
(2)
45.7
%
39.5
%
48.9
%
Performance fees (3)
Performance fees
$
90
$
17
NM
$
13
NM
Performance fee related to general and
administrative expense
55
4
NM
—
-
Net performance fees
$
35
$
13
NM
$
13
NM
(1) Includes revenue from separate
accounts that qualify as investment contracts under insurance
accounting standards.
(2) Calculated as net adjusted operating
earnings as a percentage of net adjusted operating revenues.
(3) 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)
4 Qtr 2021
4 Qtr 2020
% Over/ (Under)
3 Qtr 2021
% Over/ (Under)
Managed Assets Rollforward
Global Retail Funds
Beginning assets
$
355,719
$
289,922
23
%
$
359,476
(1
)%
Inflows
20,358
16,922
20
%
16,442
24
%
Outflows
(19,111
)
(14,518
)
(32
)%
(15,509
)
(23
)%
Net VP/VIT fund flows
(1,093
)
(840
)
(30
)%
(1,101
)
1
%
Net new flows
154
1,564
(90
)%
(168
)
NM
Reinvested dividends
13,414
6,219
NM
2,001
NM
Net flows
13,568
7,783
74
%
1,833
NM
Distributions
(15,093
)
(7,088
)
NM
(2,151
)
NM
Acquired assets (1)
46,091
—
-
—
-
Market appreciation (depreciation) and
other
18,676
30,847
(39
)%
(2,282
)
NM
Foreign currency translation (2)
(717
)
2,019
NM
(1,157
)
38
%
Total ending assets
418,244
323,483
29
%
355,719
18
%
% of total retail assets sub-advised
15.4
%
17.7
%
16.0
%
Global Institutional
Beginning assets
227,679
208,082
9
%
233,890
(3
)%
Inflows (3)
24,175
5,378
NM
9,428
NM
Outflows (3)
(10,274
)
(6,177
)
(66
)%
(7,356
)
(40
)%
Net flows
13,901
(799
)
NM
2,072
NM
Acquired assets (1)
90,125
—
-
—
-
Market appreciation (depreciation) and
other (4)
5,046
11,388
(56
)%
(5,895
)
NM
Foreign currency translation (2)
(939
)
4,459
NM
(2,388
)
61
%
Total ending assets
335,812
223,130
51
%
227,679
47
%
Total managed assets
$
754,056
$
546,613
38
%
$
583,398
29
%
Total net flows
$
27,469
$
6,984
NM
$
3,905
NM
Legacy insurance partners flows
$
(920
)
$
(1,350
)
32
%
$
(1,402
)
34
%
Total Assets Under Advisement
(5)
$
20,194
$
13,929
45
%
$
19,742
2
%
Model delivery AUA flows (6)
$
820
$
226
NM
$
514
60
%
(1) Reflects the acquisition of BMO’s EMEA
Asset Management business that closed on November 8, 2021.
(2) Amounts represent local currency to US
dollar translation for reporting purposes.
(3) Global Institutional inflows and
outflows include net flows from our RiverSource Structured Annuity
product beginning in Q1 2020 and Ameriprise Bank, FSB beginning in
Q1 2021.
(4) 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 beginning in Q1 2020 and Ameriprise
Bank, FSB beginning in Q1 2021.
(5) Assets are presented on a one-quarter
lag.
(6) 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)
4 Qtr 2021
4 Qtr 2020
% Over/ (Under)
3 Qtr 2021
% Over/ (Under)
Total Managed Assets by Type
(1)
Equity
$
402,841
$
302,563
33
%
$
332,715
21
%
Fixed income
277,039
195,971
41
%
198,696
39
%
Money market
10,084
5,899
71
%
5,752
75
%
Alternative
39,872
22,456
78
%
23,389
70
%
Hybrid and other
24,220
19,724
23
%
22,846
6
%
Total managed assets by type
$
754,056
$
546,613
38
%
$
583,398
29
%
Average Managed Assets by Type (1)
(2)
Equity
$
372,152
$
279,128
33
%
$
340,804
9
%
Fixed income
251,533
191,679
31
%
200,106
26
%
Money market
8,258
5,397
53
%
5,831
42
%
Alternative
33,939
21,986
54
%
23,360
45
%
Hybrid and other
23,686
18,791
26
%
23,172
2
%
Total average managed assets by
type
$
689,568
$
516,981
33
%
$
593,273
16
%
(1) In Q4 2021, the definition of
Alternative AUM was changed to now include real estate, CLOs,
private equity, hedge funds (direct and funds of funds),
infrastructure and commodities. Prior periods have been restated to
reflect this change.
(2) 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
4 Qtr 2021
Retail Fund Rankings in Top 2 Quartiles
or Above Index Benchmark - Asset Weighted
1 year
3 year
5 year
10 year
Equity
61%
86%
82%
88%
Fixed Income
77%
96%
96%
92%
Asset Allocation
60%
83%
86%
90%
4- or 5-star Morningstar rated
funds
Overall
3 year
5 year
10 year
Number of Rated Funds
133
114
111
102
Percent of Rated Assets
70%
64%
60%
71%
Retail Fund performance rankings for each
fund is measured on a consistent basis against the most appropriate
peer group or index. Peer Groupings are defined by either Lipper,
IA, or Morningstar and based primarily on the Institutional Share
Class, Net of Fees. 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 12/31/21. Columbia funds
are available for purchase by U.S. customers. Out of 91 Columbia
funds (Inst. shares) rated, 16 received a 5-star Overall Rating and
37 received a 4-star Overall Rating. Out of 92 Threadneedle funds
(highest rated share class) rated, 19 received a 5-star Overall
Rating and 35 received a 4-star Overall Rating. Out of 62 BMO funds
(highest rated share class) rated, 8 received a 5-star Overall
Rating and 18 received a 4-star Over 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.
© 2021 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)
4 Qtr 2021
4 Qtr 2020
% Over/ (Under)
3 Qtr 2021
% Over/ (Under)
Revenues
Management and financial advice fees
$
237
$
219
8
%
$
239
(1
)%
Distribution fees
124
115
8
%
125
(1
)%
Net investment income
113
128
(12
)%
114
(1
)%
Premiums, policy and contract charges
337
337
-
353
(5
)%
Other revenues
4
—
-
3
33
%
Total revenues
815
799
2
%
834
(2
)%
Banking and deposit interest expense
—
—
-
—
-
Adjusted operating total net
revenues
815
799
2
%
834
(2
)%
Expenses
Distribution expenses
134
124
(8
)%
134
-
Interest credited to fixed accounts
96
97
1
%
99
3
%
Benefits, claims, losses and settlement
expenses
244
253
4
%
323
24
%
Amortization of deferred acquisition
costs
70
59
(19
)%
5
NM
Interest and debt expense
9
11
18
%
9
-
General and administrative expense
79
75
(5
)%
77
(3
)%
Adjusted operating expenses
632
619
(2
)%
647
2
%
Pretax adjusted operating
earnings
$
183
$
180
2
%
$
187
(2
)%
NM Not Meaningful - variance equal to or
greater than 100%
Ameriprise Financial,
Inc.
Retirement & Protection
Solutions Segment Operating Metrics
(in millions, unaudited)
4 Qtr 2021
4 Qtr 2020
% Over/ (Under)
3 Qtr 2021
% Over/ (Under)
Variable Annuities Rollforwards
Beginning balance
$
89,635
$
79,846
12
%
$
90,494
(1
)%
Deposit
1,530
1,327
15
%
1,421
8
%
Withdrawals and terminations
(2,011
)
(1,786
)
(13
)%
(1,900
)
(6
)%
Net flows
(481
)
(459
)
(5
)%
(479
)
-
Investment performance and interest
credited
3,138
6,387
(51
)%
(380
)
NM
Total ending balance - contract
accumulation values
$
92,292
$
85,774
8
%
$
89,635
3
%
Variable annuities fixed
sub-accounts
$
4,990
$
5,104
(2
)%
$
5,020
(1
)%
Life Insurance In Force
$
198,553
$
195,750
1
%
$
197,523
1
%
Net Amount at Risk (Life)
$
37,652
$
37,817
-
$
37,766
-
Net Policyholder Reserves
VUL/UL
$
15,049
$
13,738
10
%
$
14,565
3
%
Term and whole life
167
174
(4
)%
168
(1
)%
Disability insurance
483
504
(4
)%
488
(1
)%
Other insurance
608
643
(5
)%
623
(2
)%
Total net policyholder reserves
$
16,307
$
15,059
8
%
$
15,844
3
%
DAC Ending Balances
Variable Annuities DAC
$
1,876
$
1,711
10
%
$
1,840
2
%
Life and Health DAC
$
847
$
766
11
%
$
834
2
%
NM Not Meaningful - variance equal to or
greater than 100%
Ameriprise Financial,
Inc.
Corporate Segment Adjusted
Operating Results and Metrics
(in millions, unaudited)
4 Qtr 2021
4 Qtr 2020
% Over/ (Under)
3 Qtr 2021
% Over/ (Under)
Corporate Excluding Long Term Care and
Fixed Annuities Adjusted Operating Income Statements
Revenues
Management and financial advice fees
$
—
$
—
-
$
—
-
Distribution fees
—
—
-
—
-
Net investment income
(12
)
(13
)
8
%
(17
)
29
%
Premiums, policy and contract charges
(1
)
—
-
—
-
Other revenues
4
2
NM
1
NM
Total revenues
(9
)
(11
)
18
%
(16
)
44
%
Banking and deposit interest expense
1
1
-
—
-
Adjusted operating total net
revenues
(10
)
(12
)
17
%
(16
)
38
%
Expenses
Distribution expenses
—
—
-
—
-
Interest credited to fixed accounts
—
—
-
—
-
Benefits, claims, losses and settlement
expenses
(1
)
(1
)
-
—
-
Amortization of deferred acquisition
costs
(1
)
—
-
—
-
Interest and debt expense
13
10
(30
)%
13
-
General and administrative expense
67
58
(16
)%
44
(52
)%
Adjusted operating expenses
78
67
(16
)%
57
(37
)%
Pretax adjusted operating earnings
(loss)
$
(88
)
$
(79
)
(11
)%
$
(73
)
(21
)%
NM Not Meaningful - variance equal to or
greater than 100%
Ameriprise Financial,
Inc.
Corporate Segment Adjusted
Operating Results and Metrics
(in millions, unaudited)
4 Qtr 2021
4 Qtr 2020
% Over/ (Under)
3 Qtr 2021
% Over/ (Under)
Long Term Care Adjusted Operating
Income Statements
Revenues
Management and financial advice fees
$
—
$
—
-
$
—
-
Distribution fees
—
—
-
—
-
Net investment income
37
38
(3
)%
36
3
%
Premiums, policy and contract charges
25
26
(4
)%
26
(4
)%
Other revenues
—
—
-
—
-
Total revenues
62
64
(3
)%
62
-
Banking and deposit interest expense
—
—
-
—
-
Adjusted operating total net
revenues
62
64
(3
)%
62
-
Expenses
Distribution expenses
(3
)
(3
)
-
(3
)
-
Interest credited to fixed accounts
—
—
-
—
-
Benefits, claims, losses and settlement
expenses
53
39
(36
)%
58
9
%
Amortization of deferred acquisition
costs
—
—
-
—
-
Interest and debt expense
2
1
NM
3
33
%
General and administrative expense
6
6
-
5
(20
)%
Adjusted operating expenses
58
43
(35
)%
63
8
%
Pretax adjusted operating earnings
(loss)
$
4
$
21
(81
)%
$
(1
)
NM
Long Term Care Policyholder Reserves,
net of reinsurance (1)
Active Life Reserves
$
2,487
$
2,539
(2
)%
$
2,501
(1
)%
Disabled Life Reserves
565
564
-
558
1
%
Total long term care policyholder
reserves, net of reinsurance
$
3,052
$
3,103
(2
)%
$
3,059
-
(1) SFAS 115 requires GAAP reserves to
include all unrealized gains on available for sale securities in
the portfolio to be reported as if they were realized on the last
day of the accounting period with all financial impacts flowing
through other comprehensive income.
NM Not Meaningful - variance equal to or
greater than 100%
Ameriprise Financial,
Inc.
Corporate Segment Adjusted
Operating Results and Metrics
(in millions, unaudited)
4 Qtr 2021
4 Qtr 2020
% Over/ (Under)
3 Qtr 2021
% Over/ (Under)
Fixed Annuities Adjusted Operating
Income Statements
Revenues
Management and financial advice fees
$
—
$
—
-
$
—
-
Distribution fees
1
—
-
—
-
Net investment income
7
67
(90
)%
12
(42
)%
Premiums, policy and contract charges
1
—
-
—
-
Other revenues
55
15
NM
55
-
Total revenues
64
82
(22
)%
67
(4
)%
Banking and deposit interest expense
—
—
-
—
-
Adjusted operating total net
revenues
64
82
(22
)%
67
(4
)%
Expenses
Distribution expenses
—
1
NM
1
NM
Interest credited to fixed accounts
63
65
3
%
64
2
%
Benefits, claims, losses and settlement
expenses
1
1
-
1
-
Amortization of deferred acquisition
costs
3
3
-
1
NM
Interest and debt expense
—
5
NM
—
-
General and administrative expense
4
9
56
%
7
43
%
Adjusted operating expenses
71
84
15
%
74
4
%
Pretax adjusted operating earnings
(loss)
$
(7
)
$
(2
)
NM
$
(7
)
-
NM Not Meaningful - variance equal to or
greater than 100%
Ameriprise Financial,
Inc.
Eliminations (1) Adjusted
Operating Results
(in millions, unaudited)
4 Qtr 2021
4 Qtr 2020
% Over/ (Under)
3 Qtr 2021
% Over/ (Under)
Revenues
Management and financial advice fees
$
(37
)
$
(36
)
(3
)%
$
(38
)
3
%
Distribution fees
(353
)
(323
)
(9
)%
(348
)
(1
)%
Net investment income
(4
)
(5
)
20
%
(1
)
NM
Premiums, policy and contract charges
(8
)
(8
)
-
(8
)
-
Other revenues
1
—
-
—
-
Total revenues
(401
)
(372
)
(8
)%
(395
)
(2
)%
Banking and deposit interest expense
(1
)
(1
)
-
—
-
Adjusted operating total net
revenues
(400
)
(371
)
(8
)%
(395
)
(1
)%
Expenses
Distribution expenses
(378
)
(345
)
10
%
(373
)
1
%
Interest credited to fixed accounts
—
—
-
—
-
Benefits, claims, losses and settlement
expenses
(8
)
(5
)
60
%
(6
)
33
%
Amortization of deferred acquisition
costs
—
—
-
—
-
Interest and debt expense
(3
)
(4
)
(25
)%
(3
)
-
General and administrative expense
(11
)
(17
)
(35
)%
(13
)
(15
)%
Adjusted operating expenses
(400
)
(371
)
8
%
(395
)
1
%
Pretax adjusted operating earnings
(loss)
$
—
$
—
-
$
—
-
(1) The majority of the amounts represent
the impact of inter-segment transfer pricing for both revenues and
expenses.
NM Not Meaningful - variance equal to or
greater than 100%
Ameriprise Financial,
Inc.
Capital Information
(in millions, unaudited)
December 31,
2021
December 31,
2020
September 30,
2021
Long-term Debt Summary
Senior notes
$
2,800
$
2,800
$
2,800
Finance lease liabilities
40
44
41
Other (1)
(8
)
(13
)
(10
)
Total Ameriprise Financial long-term
debt
2,832
2,831
2,831
Non-recourse debt of consolidated
investment entities
2,164
1,913
2,163
Total long-term debt
$
4,996
$
4,744
$
4,994
Total Ameriprise Financial long-term
debt
$
2,832
$
2,831
$
2,831
Finance lease liabilities
(40
)
(44
)
(41
)
Other (1)
8
13
10
Total Ameriprise Financial long-term
debt excluding finance lease liabilities and other
$
2,800
$
2,800
$
2,800
Total equity (2)
$
5,685
$
5,867
$
5,707
Equity of consolidated investment
entities
(3
)
(3
)
(5
)
Total equity excluding CIEs
$
5,682
$
5,864
$
5,702
Total Ameriprise Financial capital
$
8,517
$
8,698
$
8,538
Total Ameriprise Financial capital finance
lease liabilities, other and equity of CIEs
$
8,482
$
8,664
$
8,502
Debt to capital
Total Ameriprise Financial long-term debt
to total Ameriprise Financial capital
33.3
%
32.5
%
33.2
%
Total Ameriprise Financial long-term debt
to total Ameriprise Financial capital excluding finance lease
liabilities, other and equity of CIEs (2)
33.0
%
32.3
%
32.9
%
(1) Includes adjustments for fair value of
hedges, unamortized discount, 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)
December 31,
2021
December 31,
2020
Assets
Cash and cash equivalents
$
7,127
$
6,751
Cash of consolidated investment
entities
121
94
Investments
35,810
41,031
Investments of consolidated investment
entities
2,184
1,918
Separate account assets
97,491
92,611
Receivables
16,205
7,819
Receivables of consolidated investment
entities
17
16
Deferred acquisition costs
2,782
2,532
Restricted and segregated cash and
investments
2,795
2,558
Other assets
11,444
10,551
Other assets of consolidated investment
entities
3
2
Total Assets
$
175,979
$
165,883
Liabilities
Policyholder account balances, future
policy benefits and claims
$
35,750
$
33,992
Separate account liabilities
97,491
92,611
Customer deposits
20,227
17,641
Short-term borrowings
200
200
Long-term debt
2,832
2,831
Debt of consolidated investment
entities
2,164
1,913
Accounts payable and accrued expenses
2,527
1,998
Other liabilities
8,966
8,761
Other liabilities of consolidated
investment entities
137
69
Total Liabilities
170,294
160,016
Equity
Ameriprise Financial
Common shares ($.01 par)
3
3
Additional paid-in capital
9,220
8,822
Retained earnings
17,525
15,292
Treasury stock
(21,066
)
(18,879
)
Accumulated other comprehensive income,
net of tax
3
629
Total Equity
5,685
5,867
Total Liabilities and Equity
$
175,979
$
165,883
Ameriprise Financial,
Inc.
Reconciliation Table:
Earnings
Quarter Ended December
31,
Per Diluted Share Quarter
Ended December 31,
% Over/ (Under)
(in millions, except per share amounts,
unaudited)
2021
2020
2021
2020
Net income
$
701
$
177
$
5.96
$
1.43
NM
Less: Net realized investment gains
(losses) (1)
9
8
0.08
0.06
Add: Market impact on non-traditional
long-duration products (1)
79
614
0.67
4.98
Add: Mean reversion-related impacts
(1)
(45
)
(117
)
(0.38
)
(0.95
)
Add: Market impact of hedges on
investments (1)
(18
)
—
(0.15
)
—
Add: Integration/restructuring charges
(1)
18
—
0.15
—
Less: Net income (loss) attributable to
consolidated investment entities
(2
)
5
(0.02
)
0.04
Add: Tax effect of adjustments (2)
(5
)
(102
)
(0.04
)
(0.83
)
Adjusted operating earnings
$
723
$
559
$
6.15
$
4.53
36
%
Weighted average common shares
outstanding:
Basic
114.6
120.9
Diluted
117.6
123.4
(1) Pretax adjusted operating
adjustment.
(2) Calculated using the statutory tax
rate of 21%.
NM Not Meaningful - variance equal to or
greater than 100%
Ameriprise Financial,
Inc.
Reconciliation Table:
Earnings
Year-to-date December
31,
Per Diluted Share Year-to-date
December 31,
% Over/ (Under)
(in millions, except per share amounts,
unaudited)
2021
2020
2021
2020
Net income
$
2,760
$
1,534
$
23.00
$
12.20
89
%
Less: Net realized investment gains
(losses) (1)
87
(10
)
0.73
(0.08
)
Add: Market impact on non-traditional
long-duration products (1)
656
375
5.47
2.98
Add: Mean reversion-related impacts
(1)
(152
)
(87
)
(1.27
)
(0.69
)
Add: Market impact of hedges on
investments (1)
22
—
0.18
—
Less: Block transfer reinsurance
transaction impacts (1)
521
—
4.34
—
Add: Integration/restructuring charges
(1)
32
4
0.27
0.03
Less: Net income (loss) attributable to
consolidated investment entities
(3
)
3
(0.03
)
0.02
Add: Tax effect of adjustments (2)
11
(63
)
0.09
(0.50
)
Adjusted operating earnings
$
2,724
$
1,770
$
22.70
$
14.08
61
%
Less: Pretax impact of annual
unlocking/loss recognition
(8
)
(442
)
(0.07
)
(3.52
)
Less: Tax effect of annual unlocking/loss
recognition
2
93
0.02
0.74
Adjusted operating earnings excluding
Unlocking
$
2,730
$
2,119
$
22.75
$
16.86
35
%
Weighted average common shares
outstanding:
Basic
117.3
123.8
Diluted
120.0
125.7
(1) Pretax adjusted operating
adjustment.
(2) Calculated using the statutory tax
rate of 21%.
Ameriprise Financial,
Inc.
Reconciliation Table: Pretax
Adjusted Operating Earnings and Pretax Adjusted Operating
Margin
Quarter Ended December
31,
(in millions, unaudited)
2021
2020
Total net revenues
$
3,760
$
3,183
Less: Net realized investment gains
(losses)
9
8
Less: Market impact on non-traditional
long-duration products
13
20
Less: Market impact of hedges on
investments
18
—
Less: CIEs revenue
15
19
Adjusted operating total net
revenues
$
3,705
$
3,136
Total expenses
$
2,894
$
2,993
Less: CIEs expenses
18
13
Less: Integration/restructuring
charges
18
—
Less: Market impact on non-traditional
long-duration products
92
634
Less: Mean reversion-related impacts
(45
)
(117
)
Adjusted operating expenses
$
2,811
$
2,463
Pretax income
$
866
$
190
Pretax adjusted operating earnings
$
894
$
673
Pretax income margin
23.0
%
6.0
%
Pretax adjusted operating margin
24.1
%
21.5
%
Ameriprise Financial,
Inc.
Reconciliation Table:
Effective Tax Rate
Quarter Ended December 31,
2020
(in millions, unaudited)
GAAP
Adjusted Operating
Pretax income
$
190
$
673
Income tax provision
$
13
$
114
Effective tax rate
6.5
%
16.9
%
Quarter Ended December 31,
2021
(in millions, unaudited)
GAAP
Adjusted Operating
Pretax income
$
866
$
894
Income tax provision
$
165
$
171
Effective tax rate
19.0
%
19.1
%
Year-to-date December 31,
2021
(in millions, unaudited)
GAAP
Adjusted Operating
Pretax income
$
3,350
$
3,304
Income tax provision
$
590
$
580
Effective tax rate
17.6
%
17.6
%
Ameriprise Financial,
Inc.
Reconciliation Table: Advice
& Wealth Management Adjusted Revenue Per Advisor
(unaudited)
1Q 2020
2Q 2020
3Q 2020
4Q 2020
1Q 2021
2Q 2021
3Q 2021
4Q 2021
% Over/Under
Total Net Revenue ($ in M)
$
1,695
$
1,537
$
1,667
$
1,776
$
1,879
$
1,980
$
2,048
$
2,114
Interest Revenue ($ in M)
$
(78
)
$
—
$
—
$
—
$
—
$
—
$
—
$
—
Advisor Count
9,878
9,894
9,905
9,922
10,031
10,047
10,073
10,116
Revenue Per Advisor ($ in K)
$
172
$
155
$
168
$
179
$
187
$
197
$
203
$
209
Revenue Per Advisor excluding short-term
interest rate impact ($ in K)
$
164
$
155
$
168
$
179
$
187
$
197
$
203
$
209
Revenue Per Advisor TTM ($ in K)
$
674
$
796
18
%
Revenue Per Advisor excluding short-term
interest rate impact TTM ($ in K)
$
666
$
796
20
%
Ameriprise Financial,
Inc.
Reconciliation Table: Pretax
Adjusted Operating Earnings Mix Shift
Quarter Ended December
31,
(in millions, unaudited)
2021
2020
Advice & Wealth Management
$
472
$
352
Asset Management
330
201
RPS
183
180
Pretax adjusted operating earnings ex
Corporate
$
985
$
733
Advice & Wealth Management
48
%
48
%
Asset Management
33
%
27
%
RPS
19
%
25
%
Subtotal pretax adjusted operating
earnings
100
%
100
%
AWM & AM
81
%
75
%
Ameriprise Financial,
Inc.
Reconciliation Table: Pretax
Adjusted Operating Earnings Mix Shift
Year-to-date December 31,
2021
(in millions, unaudited)
Advice & Wealth Management
$
1,743
Asset Management
1,096
RPS
735
Pretax adjusted operating earnings ex
Corporate
$
3,574
Advice & Wealth Management
49
%
Asset Management
31
%
RPS
20
%
Subtotal pretax adjusted operating
earnings
100
%
AWM & AM
80
%
Ameriprise Financial,
Inc.
Reconciliation Table: Asset
Management Net Pretax Adjusted Operating Margin
Quarter Ended December 31,
2021
(in millions, unaudited)
Asset Mgmt
BMO (2)
Asset Mgmt ex BMO
Adjusted operating total net revenues
$
1,060
$
59
$
1,001
Distribution, Subadvisory and other pass
thru revenues
(331
)
(1
)
(330
)
Net adjusted operating revenues
$
729
$
58
$
671
Pretax adjusted operating earnings
$
330
$
4
$
326
Operating net investment income and
amortization of intangibles
3
3
—
Net adjusted operating earnings
$
333
$
7
$
326
Pretax adjusted operating margin
31.1
%
6.8
%
32.6
%
Net pretax adjusted operating margin
(1)
45.7
%
12.1
%
48.6
%
(1) Calculated as net adjusted operating
earnings as a percentage of net adjusted operating revenues.
(2) Reflects the acquisition of BMO’s EMEA
Asset Management business that closed on November 8, 2021.
Ameriprise Financial,
Inc.
Reconciliation Table: Asset
Management Segment Operating Results
Quarter Ended December
31,
% Over/ (under)
(in millions, unaudited)
2021
2020
Total net revenues
$
1,060
$
798
33
%
BMO revenues
59
—
Total net revenues excluding BMO
$
1,001
$
798
25
%
Total G&A expenses
$
431
$
339
27
%
BMO G&A expenses
52
—
Total G&A expenses excluding BMO
$
379
$
339
12
%
Ameriprise Financial,
Inc.
Reconciliation Table: Return
on Equity (ROE) Excluding Accumulated
Other Comprehensive Income
“AOCI”
Twelve Months Ended December
31,
(in millions, unaudited)
2021
2020
Net income
$
2,760
$
1,534
Less: Adjustments (1)
36
(236
)
Adjusted operating earnings
2,724
1,770
Less: Annual unlocking/loss recognition,
net of tax (2)
(6
)
(349
)
Adjusted operating earnings excluding
Unlocking
$
2,730
$
2,119
Total Ameriprise Financial, Inc.
shareholders’ equity
$
5,689
$
6,171
Less: Accumulated other comprehensive
income, net of tax
301
301
Total Ameriprise Financial, Inc.
shareholders’ equity excluding AOCI
5,388
5,870
Less: Equity impacts attributable to the
consolidated investment entities
2
1
Adjusted operating equity
$
5,386
$
5,869
Return on equity excluding AOCI
51.2
%
26.1
%
Adjusted operating return on equity
excluding AOCI (3)
50.6
%
30.2
%
Adjusted operating return on equity
excluding AOCI and Unlocking
50.7
%
36.1
%
(1) Adjustments reflect the trailing
twelve months' sum of after-tax net realized investment
gains/losses, net of deferred sales inducement costs ("DSIC") and
deferred acquisition costs ("DAC") amortization, unearned revenue
amortization and the reinsurance accrual; the market impact on
non-traditional long-duration products, net of hedges and related
DAC amortization, unearned revenue amortization, and the
reinsurance accrual; mean reversion related impacts; block transfer
reinsurance transaction impacts; gain on disposal of
business; the market impact of hedges to offset interest rate
changes on unrealized gains or losses for certain investments;
integration/restructuring charges; and the impact of consolidating
certain 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 accumulated other comprehensive income (AOCI) is
calculated using the trailing twelve months of earnings excluding
the after-tax net realized investment gains/losses, net of DSIC and
DAC amortization, unearned revenue amortization and the reinsurance
accrual; the market impact on non-traditional long-duration
products, net of hedges and related DAC amortization, unearned
revenue amortization, and the reinsurance accrual; mean reversion
related impacts; block transfer reinsurance transaction impacts;
gain on the disposal of business; the market impact of hedges to
offset interest rate changes on unrealized gains or losses for
certain investments; integration/restructuring charges; the impact
of consolidating certain investment entities; and discontinued
operations 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/20220126005601/en/
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
Ameriprise Financial (NYSE:AMP)
Historical Stock Chart
Von Feb 2024 bis Mär 2024
Ameriprise Financial (NYSE:AMP)
Historical Stock Chart
Von Mär 2023 bis Mär 2024