Financial Data and Key Metrics - Revenue growth for Q4 2023 was robust, up 8%, driven by organic growth and positive market conditions [6] - Earnings per share (EPS) increased by 10% (14% normalized) in Q4 2023, with a nearly 50% ROE, consistently among the best in the industry [6] - Full-year 2023 revenue was $15.4 billion, up 8%, with earnings increasing 18% to $3.3 billion and EPS reaching $30.46, up 24% [6] - Assets under management and administration reached a near all-time high of $1.4 trillion [6] - Adjusted operating net revenues for Wealth Management increased 8% to $2.4 billion in Q4 2023 [20] - Asset Management AUM grew 9% to $637 billion in Q4 2023, driven by market appreciation and positive foreign exchange [22] - Retirement & Protection Solutions pretax adjusted operating earnings increased 2% to $202 million in Q4 2023 [25] Business Line Performance - Wealth Management client assets increased 19% year-over-year to $901 billion, with $23 billion in client flows in Q4 2023 [7][19] - Adviser productivity in Wealth Management increased 11% to $916,000 per adviser in Q4 2023 [8] - Bank and certificate assets grew 28% to $37 billion in Q4 2023 [8] - Variable annuity sales increased 15% in Q4 2023, with protection sales up 6% [10] - Asset Management experienced U.S. retail mutual fund outflows in line with industry trends, while global institutional outflows were elevated due to portfolio management changes [11] - Retirement & Protection Solutions sales improved, with protection sales up 6% to $72 million and variable annuity sales growing 15% to $1.1 billion in Q4 2023 [25] Market Performance - Wealth Management client assets reached a record $901 billion, driven by strong organic growth and higher equity markets [19] - Asset Management AUM growth was supported by market appreciation and foreign exchange translation, despite net outflows [22] - Retirement & Protection Solutions benefited from higher investment yields, contributing to improved sales and earnings [25] Strategic Direction and Industry Competition - The company is focused on enhancing client experience through integrated technology, advanced analytics, and digital capabilities [9] - Ameriprise continues to invest in efficiency and organic growth, leveraging its strong brand awareness and market position [9] - The company is well-positioned to navigate market uncertainty, with a diversified business model and strong financial performance [6][18] - Ameriprise is recognized for its client satisfaction, employee engagement, and industry accolades, including being named one of the Best Managed Companies of 2023 [13][14] Management Commentary on Operating Environment and Future Outlook - Management highlighted the positive operating environment at the end of 2023 and the start of 2024, despite uncertainties around economic growth, inflation, and interest rates [5] - The company expects to maintain a flat expense base in 2024 while continuing to invest in growth, particularly in Wealth Management [16] - Ameriprise anticipates higher net interest income in 2024 and 2025, driven by favorable reinvestment rates and stable cash positions [30][38] - The company remains confident in sustaining its Wealth Management margin above 30%, supported by resilient spread revenues [48] Other Important Information - Ameriprise returned $587 million to shareholders in Q4 2023 and $2.5 billion for the full year, with a 25% reduction in share count over the past five years [13][18] - The company has a strong balance sheet, with $1.8 billion in net unrealized loss reduction and 90% free cash flow contributions across all business segments [17] - Ameriprise expanded its presence in the financial institutions channel through a partnership with Comerica Bank, adding $15 billion in client flows [18] Q&A Session Summary Question: Bank Maturities and Yield Expectations [29] - The company expects $3 billion in maturities in 2024 and 2025, with higher net interest income due to favorable reinvestment rates [30] Question: Off-Balance Sheet Broker-Dealer Yield Compression [31] - The yield compression was tied to the $2.5 billion Comerica cash sweep, which will transition over the next six months [33] Question: Net Interest Income Growth Expectations [35] - Net interest income is expected to be higher in 2024 and 2025, based on forward curve assumptions [36] Question: Cash Deployment Opportunities [40] - Advisers are expected to redeploy cash into wrap accounts and other investment products as markets normalize [42][43] Question: Asset Management Margin and Expense Management [44] - The company is managing expenses tightly and expects to sustain margins in the target range, with potential for improvement based on market conditions [45] Question: Wealth Management Margin Sustainability [47] - Ameriprise is confident in sustaining its Wealth Management margin above 30%, supported by resilient spread revenues [48] Question: Capital Return Trajectory [49] - The company expects to continue its capital return strategy, with a payout ratio around 80% [50] Question: Asset Management Expense Reductions and Commercial Impacts [52] - Expense reductions in Asset Management are part of a proactive strategy to improve efficiency, with manageable commercial impacts [53] Question: Cash Balance Trends [54] - Client cash balances are currently higher than usual, but are expected to normalize over time as rates stabilize [55] Question: Layoffs in Asset Management [59] - The company reduced 12 portfolio managers, with $2 billion in AUM affected, as part of a capital review and efficiency improvement initiative [60][62] Question: Free Cash Flow Conversion [67] - Ameriprise plans to maintain its free cash flow conversion strategy, with potential for opportunistic adjustments [68] Question: Expense Management Initiatives [70] - The company has implemented $26 million in severance expenses and expects to maintain a flat expense base in 2024 [71] Question: Reinsurance Opportunities [72] - Ameriprise is evaluating reinsurance opportunities, with recent industry developments creating potential alignment [73] Question: Cash Stabilization Trends [75] - Cash levels have stabilized in January, with no significant redeployments observed [76] Question: Retirement & Protection Investment Profile [77] - The company has completed its investment profile adjustments, taking advantage of favorable rate conditions [78] Question: Asset Management Growth Opportunities [80] - Ameriprise is focusing on fixed income and credit opportunities, with potential for growth in these areas [81] Question: Risk Transfer and Third-Party Sidecars [82] - The company is not currently interested in third-party sidecars, focusing instead on traditional risk transfer opportunities [83] Question: Affiliation Options and Tech Initiatives [85][87] - Ameriprise is expanding its RIA channel and investing in technology to enhance adviser capabilities and client engagement [86][88] Question: Gross Fee Yield on Client Cash [90] - The gross fee yield on client cash is around 5%, with new money yields slightly under 6% [91] Question: Net Interest Income Growth Confirmation [92] - Net interest income growth expectations for 2024 and 2025 apply to the bank segment [93]

Ameriprise Financial’s (AMP) fourth-quarter 2023 adjusted operating earnings (excluding regulatory accrual, severance and mark-to-market impacts on share-based compensation expenses) of $7.75 per share handily surpassed the Zacks Consensus Estimate of $7.67. The bottom line reflects a rise of 14% from the year-ago quarter.Results were aided by revenue growth, along with higher assets under management (AUM) and assets under administration (AUA) balances. However, an increase in expenses was a negative. Proba ...

For the quarter ended December 2023, Ameriprise Financial Services (AMP) reported revenue of $3.99 billion, up 9.5% over the same period last year. EPS came in at $7.75, compared to $6.94 in the year-ago quarter.The reported revenue compares to the Zacks Consensus Estimate of $3.87 billion, representing a surprise of +3.10%. The company delivered an EPS surprise of +1.04%, with the consensus EPS estimate being $7.67.While investors closely watch year-over-year changes in headline numbers -- revenue and earn ...

Ameriprise Financial Services (AMP) came out with quarterly earnings of $7.75 per share, beating the Zacks Consensus Estimate of $7.67 per share. This compares to earnings of $6.94 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 1.04%. A quarter ago, it was expected that this financial services company would post earnings of $7.58 per share when it actually produced earnings of $7.68, delivering a surprise of 1.32%.Over the la ...

MINNEAPOLIS--(BUSINESS WIRE)--The Board of Directors of Ameriprise Financial, Inc. (NYSE: AMP) has declared a quarterly cash dividend of $1.35 per common share payable on February 27, 2024 to shareholders of record at the close of business on February 9, 2024. At Ameriprise Financial, we have been helping people feel confident about their financial future for more than 125 years. With extensive investment advice, asset management and insurance capabilities and a nationwide network of more than 10,000 finan ...

MINNEAPOLIS--(BUSINESS WIRE)--Ameriprise Financial, Inc. (NYSE: AMP) announced today that financial advisor Roberto Vargas has moved his practice from J.P. Morgan Securities, Inc. where he managed over $100 million in client assets. Vargas chose to join Centennial Financial Services, a financial advisory practice of Ameriprise Financial Services, LLC within the Ameriprise Financial Institutions Group (AFIG) in Jupiter, Florida which provides advice and investment services to Centennial Bank branches in Flor ...

MINNEAPOLIS--(BUSINESS WIRE)--Financial advisor Bill Peacock, MBA recently joined the independent channel of Ameriprise Financial, Inc. (NYSE: AMP) from LPL Financial in San Angelo, Texas with more than $110 million in client assets. Peacock wanted to join a firm that offers an elevated level of service for advisors. “Ameriprise offers the best of both worlds – the opportunity to operate independently, while receiving a level of personalized service that we were previously missing,” said Peacock. When s ...

Investors are always looking for stocks that are poised to beat at earnings season and Ameriprise Financial, Inc. (AMP) may be one such company. The firm has earnings coming up pretty soon, and events are shaping up quite nicely for their report.That is because Ameriprise Financial is seeing favorable earnings estimate revision activity as of late, which is generally a precursor to an earnings beat. After all, analysts raising estimates right before earnings — with the most up-to-date information possible — ...

The upcoming report from Ameriprise Financial Services (AMP) is expected to reveal quarterly earnings of $7.67 per share, indicating an increase of 10.5% compared to the year-ago period. Analysts forecast revenues of $3.87 billion, representing an increase of 6.2% year over year.Over the last 30 days, there has been an upward revision of 0.5% in the consensus EPS estimate for the quarter, leading to its current level. This signifies the covering analysts' collective reconsideration of their initial forecast ...

MINNEAPOLIS--(BUSINESS WIRE)--Ameriprise Financial Inc., (NYSE: AMP) announced that 321 of the firm’s financial advisor teams were named to the Forbes list of Best-in-State Wealth Management Teams. Forbes recognizes the industry’s top teams according to several factors, which include quality of their practices, professionalism and success in the business. The rankings are finalized based on data provided by thousands of the nation’s most accomplished advisor teams. “Congratulations to the advisors and th ...