Ameriprise Financial, Inc. · NYSE:AMP
Ameriprise Financial — Q4 2019 Earnings Presentation
51 slides from Ameriprise Financial's earnings presentation, Jan 29, 2020
Slide 1: Statistical Supplement Package (unaudited) Fourth Quarter 2019
Statistical Supplement Package (unaudited) Fourth Quarter 2019 1 of 51
Slide 2: Statistical Supplement Information Table of Contents
Ameriprise Financial, Inc. Statistical Supplement Information Table of Contents Page Ameriprise Financial, Inc. Statistical Supplement Presentation............................................................................................................ 4 Consolidated GAAP Income Statements.......
Slide 3: Consolidated Results
Statistical Supplement Package (unaudited) Fourth Quarter 2019 Consolidated Results 3 of 51
Slide 4: Statistical Supplement Presentation
Ameriprise Financial, Inc. Statistical Supplement Presentation Fourth Quarter 2019 Ameriprise Financial, Inc. ("Ameriprise Financial" or "the Company") prepares its financial statements in accordance with generally accepted accounting principles ("GAAP"). Management believes that adjusted operating
Slide 5: Consolidated GAAP Income Statements
Ameriprise Financial, Inc. Consolidated GAAP Income Statements Fourth Quarter 2019 Prior Year Comparisons (in millions, except per share amounts, unaudited) Year-to-Date Qtr Chg - 4Q YTD Chg - 4Q Seq Qtr Chg - 4Q 4 Qtr 2018 1 Qtr 2019 2 Qtr 2019 3 Qtr 2019 4 Qtr 2019 2018 2019 Diff. % Diff. % Diff.
Slide 6: Consolidated Adjusted Operating Results and Highlights
Ameriprise Financial, Inc. Consolidated Adjusted Operating Results and Highlights Fourth Quarter 2019 Prior Year Comparisons (in millions except per share amounts, unaudited) Year-to-Date Qtr Chg - 4Q YTD Chg - 4Q Seq Qtr Chg - 4Q 4 Qtr 2018 1 Qtr 2019 2 Qtr 2019 3 Qtr 2019 4 Qtr 2019 2018 2019 Diff
Slide 7: Consolidated Adjusted Operating Results and Highlights
Ameriprise Financial, Inc. Consolidated Adjusted Operating Results and Highlights Fourth Quarter 2019 Prior Year Comparisons (in millions except per share amounts, headcount and where noted, unaudited) Year-to-Date Qtr Chg - 4Q YTD Chg - 4Q Seq Qtr Chg - 4Q 4 Qtr 2018 1 Qtr 2019 2 Qtr 2019 3 Qtr 201
Slide 8: Common Share and Capital Summary
Ameriprise Financial, Inc. Common Share and Capital Summary Fourth Quarter 2019 Prior Year Comparisons (in millions unless otherwise noted, unaudited) Year-to-Date Qtr Chg - 4Q YTD Chg - 4Q Seq Qtr Chg - 4Q 4 Qtr 2018 1 Qtr 2019 2 Qtr 2019 3 Qtr 2019 4 Qtr 2019 2018 2019 Diff. % Diff. % Diff. % Comm
Slide 9: Segment Results
Statistical Supplement Package (unaudited) Fourth Quarter 2019 Segment Results 9 of 51
Slide 10: Segment Summary
Ameriprise Financial, Inc. Segment Summary Fourth Quarter 2019 Prior Year Comparisons (in millions unless otherwise noted, unaudited) Year-to-Date Qtr Chg - 4Q YTD Chg - 4Q Seq Qtr Chg - 4Q 4 Qtr 2018 1 Qtr 2019 2 Qtr 2019 3 Qtr 2019 4 Qtr 2019 2018 2019 Diff. % Diff. % Diff. % Segment Summary Advic
Slide 11: Advice & Wealth Management Segment
Statistical Supplement Package (unaudited) Fourth Quarter 2019 Advice & Wealth Management Segment 11 of 51
Slide 12: Advice & Wealth Management Segment Adjusted Operating Income Statements
Ameriprise Financial, Inc. Advice & Wealth Management Segment Fourth Quarter 2019 Prior Year Comparisons (in millions unless otherwise noted, unaudited) Year-to-Date Qtr Chg - 4Q YTD Chg - 4Q Seq Qtr Chg - 4Q 4 Qtr 2018 1 Qtr 2019 2 Qtr 2019 3 Qtr 2019 4 Qtr 2019 2018 2019 Diff. % Diff. % Diff. % Ad
Slide 13: Advice & Wealth Management Segment Metrics
Ameriprise Financial, Inc. Advice & Wealth Management Segment Fourth Quarter 2019 Prior Year Comparisons (in millions, except headcount and where noted, unaudited) Year-to-Date Qtr Chg - 4Q YTD Chg - 4Q Seq Qtr Chg - 4Q 4 Qtr 2018 1 Qtr 2019 2 Qtr 2019 3 Qtr 2019 4 Qtr 2019 2018 2019 Diff. % Diff. %
Slide 14: Asset Management Segment
Statistical Supplement Package (unaudited) Fourth Quarter 2019 Asset Management Segment 14 of 51
Slide 15: Asset Management Segment Adjusted Operating Income Statements
Ameriprise Financial, Inc. Asset Management Segment Fourth Quarter 2019 Prior Year Comparisons (in millions unless otherwise noted, unaudited) Year-to-Date Qtr Chg - 4Q YTD Chg - 4Q Seq Qtr Chg - 4Q 4 Qtr 2018 1 Qtr 2019 2 Qtr 2019 3 Qtr 2019 4 Qtr 2019 2018 2019 Diff. % Diff. % Diff. % Asset Manage
Slide 16: Asset Management Segment Managed Assets by Type
Ameriprise Financial, Inc. Asset Management Segment Fourth Quarter 2019 Prior Year Comparisons (in millions unless otherwise noted, unaudited) Year-to-Date Qtr Chg - 4Q YTD Chg - 4Q Seq Qtr Chg - 4Q 4 Qtr 2018 1 Qtr 2019 2 Qtr 2019 3 Qtr 2019 4 Qtr 2019 2018 2019 Diff. % Diff. % Diff. % Total Manage
Slide 17: Asset Management Managed Assets Rollforward
Ameriprise Financial, Inc. Asset Management Segment Fourth Quarter 2019 Prior Year Comparisons (in millions unless otherwise noted, unaudited) Year-to-Date Qtr Chg - 4Q YTD Chg - 4Q Seq Qtr Chg - 4Q 4 Qtr 2018 1 Qtr 2019 2 Qtr 2019 3 Qtr 2019 4 Qtr 2019 2018 2019 Diff. % Diff. % Diff. % Managed Asse
Slide 18: Asset Management Segment - Columbia Fund Rankings
Ameriprise Financial, Inc. Asset Management Segment - Columbia Fourth Quarter 2019 Mutual Fund Rankings in top 2 Lipper Quartiles 4 Qtr 2018 1 Qtr 2019 2 Qtr 2019 3 Qtr 2019 4 Qtr 2019 Domestic Equity Equal weighted 1 year 46 % 40 % 49 % 46 % 57 % 3 year 50 % 50 % 47 % 47 % 53 % 5 year 63 % 63 % 56
Slide 19: Asset Management Segment - Threadneedle Fund Rankings
Ameriprise Financial, Inc. Asset Management Segment - Threadneedle Fourth Quarter 2019 Retail Fund Rankings in Top 2 Morningstar Quartiles or Above Index Benchmark 4 Qtr 2018 1 Qtr 2019 2 Qtr 2019 3 Qtr 2019 4 Qtr 2019 Equity Equal weighted 1 year 40 % 50 % 60 % 65 % 87 % 3 year 41 % 49 % 57 % 64 %
Slide 20: Annuities Segment
Statistical Supplement Package (unaudited) Fourth Quarter 2019 Annuities Segment 20 of 51
Slide 21: Annuities Segment Adjusted Operating Income Statements
Ameriprise Financial, Inc. Annuities Segment Fourth Quarter 2019 Prior Year Comparisons (in millions unless otherwise noted, unaudited) Year-to-Date Qtr Chg - 4Q YTD Chg - 4Q Seq Qtr Chg - 4Q 4 Qtr 2018 1 Qtr 2019 2 Qtr 2019 3 Qtr 2019 4 Qtr 2019 2018 2019 Diff. % Diff. % Diff. % Annuities Segment A
Slide 22: Annuities Segment Product Information
Ameriprise Financial, Inc. Annuities Segment Fourth Quarter 2019 Prior Year Comparisons (in millions unless otherwise noted, unaudited) Year-to-Date Qtr Chg - 4Q YTD Chg - 4Q Seq Qtr Chg - 4Q 4 Qtr 2018 1 Qtr 2019 2 Qtr 2019 3 Qtr 2019 4 Qtr 2019 2018 2019 Diff. % Diff. % Diff. % Product Information
Slide 23: Protection Segment
Statistical Supplement Package (unaudited) Fourth Quarter 2019 Protection Segment 23 of 51
Slide 24: Protection Segment Adjusted Operating Income Statements
Ameriprise Financial, Inc. Protection Segment Fourth Quarter 2019 Prior Year Comparisons (in millions unless otherwise noted, unaudited) Year-to-Date Qtr Chg - 4Q YTD Chg - 4Q Seq Qtr Chg - 4Q 4 Qtr 2018 1 Qtr 2019 2 Qtr 2019 3 Qtr 2019 4 Qtr 2019 2018 2019 Diff. % Diff. % Diff. % Protection Segment
Slide 25: Protection Segment Cash Sales and Account Balances
Ameriprise Financial, Inc. Protection Segment Fourth Quarter 2019 Prior Year Comparisons (in millions unless otherwise noted, unaudited) Year-to-Date Qtr Chg - 4Q YTD Chg - 4Q Seq Qtr Chg - 4Q 4 Qtr 2018 1 Qtr 2019 2 Qtr 2019 3 Qtr 2019 4 Qtr 2019 2018 2019 Diff. % Diff. % Diff. % Cash Sales VUL / U
Slide 26: Corporate & Other Segment
Statistical Supplement Package (unaudited) Fourth Quarter 2019 Corporate & Other Segment 26 of 51
Slide 27: Corporate & Other Segment Product Information
Ameriprise Financial, Inc. Corporate & Other Segment Fourth Quarter 2019 Prior Year Comparisons (in millions unless otherwise noted, unaudited) Year-to-Date Qtr Chg - 4Q YTD Chg - 4Q Seq Qtr Chg - 4Q 4 Qtr 2018 1 Qtr 2019 2 Qtr 2019 3 Qtr 2019 4 Qtr 2019 2018 2019 Diff. % Diff. % Diff. % Product Inf
Slide 28: Eliminations Adjusted Operating Income Statements
Ameriprise Financial, Inc. Eliminations (1) Fourth Quarter 2019 Prior Year Comparisons (in millions unless otherwise noted, unaudited) Year-to-Date Qtr Chg - 4Q YTD Chg - 4Q Seq Qtr Chg - 4Q 4 Qtr 2018 1 Qtr 2019 2 Qtr 2019 3 Qtr 2019 4 Qtr 2019 2018 2019 Diff. % Diff. % Diff. % Eliminations Adjuste
Slide 29: Balance Sheet and Ratings Information
Statistical Supplement Package (unaudited) Fourth Quarter 2019 Balance Sheet and Ratings Information 29 of 51
Slide 30: Consolidated Balance Sheets
Ameriprise Financial, Inc. Consolidated Balance Sheets Fourth Quarter 2019 (in millions, unaudited) December 31, 2018 March 31, 2019 June 30, 2019 September 30, 2019 December 31, 2019 Assets Cash and cash equivalents $ 2,931 $ 3,259 $ 4,302 $ 5,290 $ 3,709 Cash of consolidated investment entities 16
Slide 31: Capital and Ratings Information
Ameriprise Financial, Inc. Capital and Ratings Information Fourth Quarter 2019 (in millions unless otherwise noted, unaudited) December 31, 2018 March 31, 2019 June 30, 2019 September 30, 2019 December 31, 2019 Long-term Debt Summary Senior notes $ 2,850 $ 3,350 $ 3,050 $ 3,050 $ 3,050 Finance Lease
Slide 32: Financial Investments
Ameriprise Financial, Inc. Ameriprise Financial Investments (1) Fourth Quarter 2019 (in millions unless otherwise noted, unaudited) December 31, 2018 March 31, 2019 June 30, 2019 September 30, 2019 December 31, 2019 Cash and cash equivalents $ 2,931 $ 3,259 $ 4,302 $ 5,290 $ 3,709 Investments - Endi
Slide 33: Non-GAAP Financial Information
Ameriprise Financial, Inc. Non-GAAP Financial Information Ameriprise Financial, Inc. (the Company) prepares its financial statements in accordance with accounting principles generally accepted in the United States (U.S. GAAP). This report includes information on both a U.S. GAAP and non-GAAP basis.
Slide 34: Glossary of Selected Terminology - Segments
Ameriprise Financial, Inc. Glossary of Selected Terminology - Segments Advice & Wealth Management - This segment provides financial planning and advice, as well as full service brokerage services, primarily to retail clients through our advisors. These services are centered on long-term, personal re
Slide 35: Glossary of Selected Terminology
Ameriprise Financial, Inc. Glossary of Selected Terminology Adjusted Operating Earnings - Net income attributable to Ameriprise Financial excluding the impact of CIEs, net of tax; integration and restructuring charges, net of tax; the market impact on variable annuity guaranteed benefits, net of hed
Slide 36: Glossary of Selected Terminology
Ameriprise Financial, Inc. Glossary of Selected Terminology Market Impact of Hedges on Investments - The market impact of hedges to offset interest rate changes on unrealized gains or losses for certain investments. Market Impact on Fixed Index Annuity Benefits - The impact of changes in financial m
Slide 37: Exhibit A Disclosed Items
Exhibit A Statistical Supplement Package (unaudited) Fourth Quarter 2019 Disclosed Items 37 of 51
Slide 38: Disclosed Items Excluded from Adjusted Operating Earnings
Ameriprise Financial, Inc. Disclosed Items 4 Qtr 2019 Excluded from Adjusted Operating Earnings Annuities Protection Corporate and Eliminations Mean Reversion Market Impact on Mean Reversion Market Impact on Gain on Market Impact Related VA Guaranteed Securities Related Securities Indexed Universal
Slide 39: Disclosed Items Excluded from Adjusted Operating Earnings
Ameriprise Financial, Inc. Disclosed Items 3 Qtr 2019 Excluded from Adjusted Operating Earnings Annuities Protection Corporate and Eliminations Mean Reversion Market Impact on Market Impact on Mean Reversion Market Impact on Market Impact Related Fixed Index VA Guaranteed Securities Related Securiti
Slide 40: Disclosed Items Excluded from Adjusted Operating Earnings
Ameriprise Financial, Inc. Disclosed Items 2 Qtr 2019 Excluded from Adjusted Operating Earnings Annuities Protection Corporate and Eliminations Mean Reversion Market Impact on Market Impact on Mean Reversion Market Impact on Market Impact Related Fixed Index VA Guaranteed Related Securities Indexed
Slide 41: Disclosed Items Excluded from Adjusted Operating Earnings
Ameriprise Financial, Inc. Disclosed Items 1 Qtr 2019 Excluded from Adjusted Operating Earnings Asset Management Annuities Protection Corporate and Eliminations Mean Reversion Market Impact on Mean Reversion Market Impact on Market Impact Securities Related Securities VA Guaranteed Related Securitie
Slide 42: Disclosed Items Excluded from Adjusted Operating Earnings
Ameriprise Financial, Inc. Disclosed Items 4 Qtr 2018 Excluded from Adjusted Operating Earnings Advice & Wealth Annuities Protection Corporate and Eliminations Management Mean Reversion Market Impact on Market Impact on Mean Reversion Market Impact on Market Impact Securities Related Securities VA G
Slide 43: Exhibit B Corporate & Other Segment Details
Exhibit B Statistical Supplement Package (unaudited) Fourth Quarter 2019 Corporate & Other Segment Details 43 of 51
Slide 44: Corporate Excluding Long Term Care and Auto & Home
Ameriprise Financial, Inc. Corporate Excluding Long Term Care and Auto & Home Fourth Quarter 2019 Prior Year Comparisons (in millions unless otherwise noted, unaudited) Year-to-Date Qtr Chg - 4Q YTD Chg - 4Q Seq Qtr Chg - 4Q 4 Qtr 2018 1 Qtr 2019 2 Qtr 2019 3 Qtr 2019 4 Qtr 2019 2018 2019 Diff. % Di
Slide 45: Long Term Care
Ameriprise Financial, Inc. Long Term Care Fourth Quarter 2019 Prior Year Comparisons (in millions unless otherwise noted, unaudited) Year-to-Date Qtr Chg - 4Q YTD Chg - 4Q Seq Qtr Chg - 4Q 4 Qtr 2018 1 Qtr 2019 2 Qtr 2019 3 Qtr 2019 4 Qtr 2019 2018 2019 Diff. % Diff. % Diff. % Long Term Care Adjuste
Slide 46: Exhibit C Non-GAAP Financial Measure Reconciliations
Exhibit C Statistical Supplement Package (unaudited) Fourth Quarter 2019 Non-GAAP Financial Measure Reconciliations 46 of 51
Slide 47: Non-GAAP Financial Measure Reconciliations
Ameriprise Financial, Inc. Non-GAAP Financial Measure Reconciliations Fourth Quarter 2019 (in millions unless otherwise noted, unaudited) Year-to-date 4 Qtr 2018 1 Qtr 2019 2 Qtr 2019 3 Qtr 2019 4 Qtr 2019 2018 2019 Return on Equity Net income (last twelve months) $ 2,098 $ 1,899 $ 1,929 $ 1,969 $ 1
Slide 48: Non-GAAP Financial Measure Reconciliations
Ameriprise Financial, Inc. Non-GAAP Financial Measure Reconciliations Fourth Quarter 2019 (in millions unless otherwise noted, unaudited) December 31, 2018 March 31, 2019 June 30, 2019 September 30, 2019 December 31, 2019 Long-term Debt Summary Senior notes $ 2,850 $ 3,350 $ 3,050 $ 3,050 $ 3,050 Fi
Slide 49: Exhibit D Revenue Detail by Product
Exhibit D Statistical Supplement Package (unaudited) Fourth Quarter 2019 Revenue Detail by Product 49 of 51
Slide 50: Advice & Wealth Management Segment Revenue From Contracts With Customers
Ameriprise Financial, Inc. Advice & Wealth Management Segment Revenue From Contracts With Customers Fourth Quarter 2019 Prior Year Comparisons (in millions, unaudited) Year-to-Date Qtr Chg - 4Q YTD Chg - 4Q Seq Qtr Chg - 4Q 4 Qtr 2018 1 Qtr 2019 2 Qtr 2019 3 Qtr 2019 4 Qtr 2019 2018 2019 Diff. % Dif
Slide 51: Asset Management Segment Revenue From Contracts With Customers
Ameriprise Financial, Inc. Asset Management Segment Revenue From Contracts With Customers Fourth Quarter 2019 Prior Year Comparisons (in millions, unaudited) Year-to-Date Qtr Chg - 4Q YTD Chg - 4Q Seq Qtr Chg - 4Q 4 Qtr 2018 1 Qtr 2019 2 Qtr 2019 3 Qtr 2019 4 Qtr 2019 2018 2019 Diff. % Diff. % Diff.