Financial Data and Key Metrics Changes - Revenues increased by 9% year-over-year, reaching a record of $4.2 billion, driven by positive business results in markets [7][14] - Earnings per share (EPS), excluding severance costs, rose by 17% to $8.72, marking a new high [7][14] - Free cash flow generation was strong at 90%, with $693 million returned to shareholders [7][15] - Return on equity (ROE) was nearly 50%, maintaining a best-in-class status [7][15] - Assets under management and administration grew by 12% year-over-year to $1.4 trillion [7][14] Business Line Data and Key Metrics Changes Wealth Management - Total client assets in wealth management increased by 17% to $972 billion [8][16] - Total client wrap assets rose by 18% to $535 billion, with wrap flows growing by 34% year-over-year to $7.5 billion [8][16] - Revenue per advisor reached a new high of $968,000, up 11% from the previous year [16] - Cash balances were reported at $81.9 billion, with a shift back to wrap and other products expected as markets normalize [16][17] Asset Management - Total assets under management increased by 4% to $642 billion, primarily due to market appreciation [10][19] - Operating earnings in asset management rose by 35% to $218 million, with a margin of 38% [19] - Net outflows improved by $1.3 billion from the previous year, with retail gross sales up by $1 billion [11][19] Retirement & Protection Solutions - Pre-tax adjusted operating earnings increased by 4% to $196 million, with protection sales up 21% [20] - Variable annuity sales grew by 45% to $1.4 billion, driven by strong momentum in structured products [20] Market Data and Key Metrics Changes - The company noted ongoing geopolitical instability and inflation concerns affecting client sentiment [6] - The advisor force grew to nearly 10,400, with 52 experienced advisors added in the quarter [9] Company Strategy and Development Direction - The company continues to focus on leveraging technology, digital capabilities, and analytics to enhance client engagement and operational efficiency [13][19] - Strategic investments are being made in wealth management and asset management to drive future growth [14][19] - The company aims to maintain expense discipline while selectively investing in growth areas [15][19] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to navigate market cycles and deliver strong results [6][13] - The expectation of a soft landing in the economy was noted, with inflation anticipated to decrease over time [6] - Management highlighted the importance of client engagement and the need to adapt to changing market conditions, especially with the upcoming U.S. election [6][66] Other Important Information - The company has a strong balance sheet with excess capital of $1.7 billion, supporting ongoing capital returns to shareholders [21] - The diversified business model contributes to stable free cash flow across all segments [15] Q&A Session Summary Question: Cash sweep commentary and competitive environment - Management indicated that cash sweep practices are aligned with regulatory standards and competitive rates are monitored, but no significant changes are planned [24][26] Question: Bank net interest income (NII) growth expectations - Management expects bank NII to be higher in 2024 compared to 2023, driven by investment strategies [27][29] Question: Client cash in wrap advisory accounts - Approximately $12 billion of client cash is held in wrap advisory accounts [30] Question: Advisor recruitment environment - A slight slowdown in recruiting experienced advisors was noted, with expectations for improvement in the pipeline [31][32] Question: Client capital deployment trends - Management observed clients beginning to put capital to work, with expectations for continued shifts from cash balances to investment products [33][37] Question: Asset Management margins and fee pressures - Management expressed confidence in maintaining operating margins above long-term targets through disciplined expense management and strategic investments [50][51] Question: Insurance business growth potential - Management highlighted strong growth in insurance and annuity products, with expectations for continued contributions to earnings [54][55] Question: Impact of the upcoming election on operations - Management noted that client concerns regarding the election may influence investment behaviors but does not foresee major operational impacts [64][66]

Ameriprise Financial, Inc. Minneapolis, MN NYSE: AMP July 24, 2024 | --- | --- | --- | --- | |-------------------------------------------------|-----------|---------------------------|---------------| | Earnings Per Diluted Share | \nQ2 2024 | Return on Equity, ex AOCI | (1) \nQ2 2024 | | GAAP | $8.02 | GAAP | 45.9% | | Adjusted Operating | $8.53 | Adjusted Operating | 48.9% | | Adjusted Operating, excluding severance expense | $8.72 | | | | --- | --- | |----------------------------------------------------- ...

Ameriprise Financial, Inc. (AMP) is scheduled to report second-quarter 2024 results on Jul 24, after market close. Its revenues and earnings in the to-be-reported quarter are anticipated to have increased on a year-over-year basis.In the last reported quarter, the company’s earnings surpassed the Zacks Consensus Estimate. Results were aided by growth in revenues, along with higher assets under management (AUM) and assets under administration (AUA) balances. However, increased expenses acted as a negative.Am ...

Have you been searching for a stock that might be well-positioned to maintain its earnings-beat streak in its upcoming report? It is worth considering Ameriprise Financial Services (AMP) , which belongs to the Zacks Financial - Investment Management industry.This financial services company has an established record of topping earnings estimates, especially when looking at the previous two reports. The company boasts an average surprise for the past two quarters of 2.31%.For the most recent quarter, Ameripri ...

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The continued shift in investor preference toward passive investment strategies is expected to hamper top-line growth of the Zacks Investment Management industry stocks. Elevated technology costs will likely hurt profitability to an extent.While investment management companies benefited from significantly higher volatility and client activity in the past, they are not likely to record impressive growth in their assets under management (AUM) balances in the near term due to volatile asset flows. Yet, firms l ...

Ameriprise Financial Services (AMP) could be a solid choice for investors given its recent upgrade to a Zacks Rank #2 (Buy). This upgrade primarily reflects an upward trend in earnings estimates, which is one of the most powerful forces impacting stock prices.The Zacks rating relies solely on a company's changing earnings picture. It tracks EPS estimates for the current and following years from the sell-side analysts covering the stock through a consensus measure -- the Zacks Consensus Estimate.The power of ...

Investors with an interest in Financial - Investment Management stocks have likely encountered both Ameriprise Financial Services (AMP) and Ares Management (ARES) . But which of these two companies is the best option for those looking for undervalued stocks? Let's take a closer look.There are plenty of strategies for discovering value stocks, but we have found that pairing a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system produces the best returns. The Zacks Rank ...

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UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period Ended March 31, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Transition Period from_______________________to_______________________ Commission File No. 1-32525 AMERIPRISE FINANCIAL, INC. (Exact name of registrant as specified in its charter) Delaware 13- ...