Ameriprise Financial, Inc. (NYSE:AMP):

Earnings Per Diluted Share		Return on Equity, ex AOCI ⁽¹⁾
	Q4 2023		Q4 2023
GAAP	$3.57	GAAP	39.9%
Adjusted Operating	$7.20	Adjusted Operating	48.5%
Adjusted Operating, excluding Regulatory Accrual, Severance and Mark-to-Market Impact on Share-Based Compensation Expense ⁽²⁾	$7.75

Fourth quarter adjusted operating earnings per diluted share was $7.20. Adjusted operating EPS grew 14 percent to $7.75 adjusted for $0.28 of expense related to a regulatory accrual, $0.14 from severance expense, and $0.13 from mark-to-market impacts on share-based compensation expense resulting from the company's share price appreciation in the quarter.		Perspective from Jim Cracchiolo, Chairman and Chief Executive Officer
		"Ameriprise delivered another strong quarter and record operating results in 2023. We're executing well, serving clients' needs and outperforming across market cycles. Our complementary businesses drove significant revenue and earnings growth, as well as strong free cash flow that we consistently invest in the business and return to shareholders at a differentiated rate. In 2024, we continue to be well-positioned, thanks to our compelling value propositions, growth investments and effective expense management."
Fourth quarter GAAP net income per diluted share was $3.57 compared to $5.83 a year ago, primarily from market impacts on the valuation of derivatives and market risk benefits. Full year 2023 GAAP net income per diluted share was $23.71 compared to $27.70 in 2022.
Full year 2023 adjusted operating earnings per diluted share increased 24 percent to $30.46 adjusted for unlocking and the items cited above.
Adjusted operating net revenues increased 8 percent from organic growth and higher spread revenues.
Assets under management and administration reached $1.4 trillion, up 15 percent from strong client net inflows and market appreciation.
General and administrative expense remained well managed, up 6 percent. Excluding the items cited above, G&A increased just 2 percent.
The company made growth investments in attractive areas and continued to execute plans to enhance operational efficiency and reduce expense.
Pretax adjusted operating margin was 24.8 percent, or 26.4 percent excluding the items cited above. Adjusted operating return on equity was 48.5 percent.
Strong free cash flow generation and balance sheet strength enabled consistent strong capital return to shareholders. The company returned $587 million of capital to shareholders in the quarter and $2.5 billion for the full year.
Ameriprise successfully closed on its partnership with Comerica Bank in November.
Ameriprise was recognized among the best-managed companies of 2023 on The Wall Street Journal Management Top 250 list.

⁽¹⁾ Return on equity excluding AOCI is calculated on a trailing 12-month basis.

⁽²⁾See page 2 for additional detail on the items in the quarter.

Ameriprise Financial, Inc.
Fourth Quarter Summary
	Quarter Ended December 31,						% Better/ (Worse)	Year-to-date December 31,						% Better/ (Worse)
(in millions, except per share amounts, unaudited)		2023			2022		% Better/ (Worse)		2023			2022		% Better/ (Worse)
GAAP net income	$	377		$	649		(42)%	$	2,556		$	3,149		(19)%
Adjusted operating earnings	$	761		$	732		4%	$	3,111		$	2,885		8%
Adjusted operating earnings excluding unlocking (see reconciliation starting on p. 24)	$	761		$	732		4%	$	3,189		$	2,778		15%

GAAP net income per diluted share	$	3.57		$	5.83		(39)%	$	23.71		$	27.70		(14)%
Adjusted operating earnings per diluted share	$	7.20		$	6.57		10%	$	28.86		$	25.37		14%
Adjusted operating earnings per diluted share excluding unlocking (see reconciliation starting on p. 24)	$	7.20		$	6.57		10%	$	29.58		$	24.43		21%

GAAP Return on Equity, ex. AOCI		39.9	%		53.0	%			39.9	%		53.0	%
Adjusted Operating Return on Equity, ex. AOCI		48.5	%		48.6	%			48.5	%		48.6	%
Adjusted Operating Return on Equity, ex. AOCI and unlocking (see reconciliation on p. 30)		49.7	%		46.8	%			49.7	%		46.8	%

GAAP Equity, ex. AOCI	$	6,495		$	6,349		2%	$	6,495		$	6,349		2%
Available Capital for Capital Adequacy (see reconciliation on p. 26)	$	5,418		$	5,209		4%	$	5,418		$	5,209		4%

Weighted average common shares outstanding:
Basic		103.5			108.9				105.7			111.3
Diluted		105.7			111.4				107.8			113.7

Current quarter GAAP results included unfavorable market impacts on the valuation of derivatives and market risk benefits, as well as $12 million of integration costs after-tax, primarily related to the acquisition of BMO EMEA.

In addition, adjusted operating after-tax results in the quarter included a $30 million accrual for an industry-wide regulatory matter relating to electronic communication recordkeeping requirements, $15 million of severance expense, and $14 million of mark-to-market impacts on share-based compensation expense resulting from the company's share price appreciation in the quarter.

Ameriprise Financial, Inc.
Advice & Wealth Management Segment Adjusted Operating Results
	Quarter Ended December 31,						% Better/ (Worse)
(in millions, unaudited)		2023			2022		% Better/ (Worse)
Adjusted operating net revenues	$	2,403		$	2,226		8%

Distribution expenses		1,266			1,153		(10)%
Interest and debt expense		8			2		NM
General and administrative expenses⁽¹⁾		431			406		(6)%
Adjusted operating expenses		1,705			1,561		(9)%
Pretax adjusted operating earnings	$	698		$	665		5%

Pretax adjusted operating margin ⁽¹⁾		29.0	%		29.9	%	(90) bps


⁽¹⁾ Excluding the $30 million regulatory accrual in the quarter ended December 31, 2023, margin increased 40 basis points to 30.3 percent and G&A declined 1 percent to $401 million.
NM Not Meaningful - variance equal to or greater than 100%

	Quarter Ended December 31,				% Better/ (Worse)
(in billions, unless otherwise noted)		2023		2022	% Better/ (Worse)
Total client assets	$	901	$	758	19%
Total client net flows	$	22.7	$	12.4	83%
Wrap net flows	$	7.0	$	6.2	12%
AWM cash balances	$	44.5	$	47.2	(6)%
Adjusted operating net revenue per advisor (TTM in thousands)	$	916	$	827	11%

Advice & Wealth Management pretax adjusted operating earnings were strong at $698 million. Excluding the regulatory accrual, pretax adjusted operating earnings increased 9 percent to $728 million and pretax adjusted operating margin was 30.3 percent.

Adjusted operating net revenues increased 8 percent to $2.4 billion from growth in client assets in both wrap and brokerage accounts, as well as higher interest earnings from cash products. Significant equity market appreciation during the quarter, particularly in December, was not fully reflected in fourth quarter results, as wrap fees are billed on beginning of month balances.

Adjusted operating expenses increased 9 percent to $1.7 billion compared to a year ago. Distribution expenses increased 10 percent. Excluding the regulatory accrual, general and administrative expense was $401 million, down 1 percent.

The Wealth Management business continued to deliver profitable organic growth. Clients and advisors remained engaged and focused on positioning portfolios to meet financial planning goals through the market cycle. Clients remain heavily concentrated in yield-oriented products and have not begun putting cash back to work given the current environment.

Total client net flows were $23 billion in the quarter and $53 billion for the full year.
Cash balances increased 10 percent to $44.5 billion on a sequential basis. Total client cash including third-party money market funds and brokered CDs increased to $81.5 billion.
Bank and certificate assets grew 28 percent year-over-year.
Advisor headcount was 10,367, reflecting good advisor retention coupled with the addition of 166 experienced advisors in the quarter.
Adjusted operating net revenue per advisor on a trailing 12-month basis was $916,000, up 11 percent from enhanced productivity, business growth and market appreciation.

Ameriprise Financial, Inc.
Asset Management Segment Adjusted Operating Results
	Quarter Ended December 31,						% Better/ (Worse)
(in millions, unaudited)		2023			2022		% Better/ (Worse)
Adjusted operating net revenues	$	845		$	785		8%

Distribution expenses		228			228		-
Amortization of deferred acquisition costs		2			1		NM
Interest and debt expense		2			2		-
General and administrative expenses		419			408		(3)%
Adjusted operating expenses		651			639		(2)%
Pretax adjusted operating earnings	$	194		$	146		33%

Net pretax adjusted operating margin ⁽¹⁾		32.4	%		28.6	%


	Quarter Ended December 31,						% Better/ (Worse)
(in billions)		2023			2022		% Better/ (Worse)
Total segment AUM	$	637		$	584		9%

Net Flows
Global Retail net flows, ex. legacy insurance partners flows	$	(0.9	)	$	(3.7	)	74%
Global Institutional net flows, ex. legacy insurance partners flows		(3.1	)		5.0		NM
Legacy insurance partners flows		(1.2	)		(1.7	)	27%
Total segment net flows	$	(5.2	)	$	(0.4	)	NM

Model delivery AUA Flows ⁽²⁾	$	0.3		$	1.1		(73)%

⁽¹⁾ See reconciliation on page 12.
⁽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 adjusted operating net revenues grew 8 percent to $845 million and pretax adjusted operating earnings increased 33 percent to $194 million. Financial results reflected equity market appreciation, disciplined expense management and performance fees, which more than offset the cumulative impact of net outflows. Net pretax adjusted operating margin was 32 percent, consistent with the company's targeted range of 31 to 35 percent.

Adjusted operating expenses increased 2 percent. General and administrative expenses declined 4 percent excluding the impact of foreign exchange translation and performance fee compensation. The company has been implementing more comprehensive expense management initiatives in light of the environment and its objective to maintain the operating margin in the targeted range.

Total assets under management increased 9 percent to $637 billion as equity market appreciation and foreign exchange translation more than offset net outflows. The underlying fee rate remained stable at 46 basis points. Long term 3-, 5- and 10-year investment performance continues to be very strong.

In the quarter, net outflows were $5.2 billion. Flows included $1.2 billion of outflows related to legacy insurance partners.

Retail net outflows were $0.9 billion reflecting gross sales consistent with the industry and year-over-year improvement in redemptions.
Global institutional outflows were $3.1 billion, primarily from outflows that were expected from proactive portfolio manager actions related to expense management initiatives.

Ameriprise Financial, Inc.
Retirement & Protection Solutions Segment Adjusted Operating Results
	Quarter Ended December 31,				% Better/ (Worse)
(in millions, unaudited)		2023		2022	% Better/ (Worse)
Adjusted operating net revenues	$	918	$	813	13%
Adjusted operating expenses		716		614	(17)%
Pretax adjusted operating earnings	$	202	$	199	2%

Retirement & Protection Solutions pretax adjusted operating earnings increased 2 percent to $202 million. 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 19 percent, primarily from strong sales growth in structured variable annuities. Protection sales grew 6 percent to $72 million with the majority of sales in higher margin accumulation VUL products.

Ameriprise Financial, Inc.
Corporate & Other Segment Adjusted Operating Results
	Quarter Ended December 31,						% Better/ (Worse)
(in millions, unaudited)		2023			2022		% Better/ (Worse)
Corporate & Other, excluding Closed Blocks	$	(117	)	$	(81	)	(44)%
Closed Blocks ⁽¹⁾		3			(6	)	NM
Pretax adjusted operating earnings / (loss)	$	(114	)	$	(87	)	(31)%

Long Term Care	$	10		$	1		NM
Fixed Annuities		(7	)		(7	)	-
Closed Blocks pretax adjusted operating earnings / (loss)	$	3		$	(6	)	NM

⁽¹⁾ Long Term Care and Fixed Annuities.