AMP » Topics » Third Quarter 2007 Consolidated Highlights

This excerpt taken from the AMP 8-K filed Oct 24, 2007.

Third Quarter 2007 Consolidated Highlights

 

We continued to drive improvements in the profitability and productivity of our distribution network:

 

                  Mass affluent and affluent client groups increased 11 percent from the year-ago period, with high rates of financial planning penetration for newly acquired clients in this core group.

 

                  Gross Dealer Concession (GDC) increased 14 percent from the year-ago period, reflecting continued strong advisor productivity gains.

 

                  The number of total advisors was 12,003, down 3 percent, as we continue to re-engineer the platform to strengthen employee advisor productivity and distribution economics. However, the number of franchisee advisors was 7,712, up 2 percent, reflecting continued strong franchisee advisor retention rates.

 

We successfully grew client assets:

 

                  Owned, managed and administered assets increased 12 percent from the prior-year period, reaching $492 billion at September 30, 2007.

 

                  Wrap account total ending assets increased 33 percent to $93 billion, including more than $2.6 billion of net inflows during the quarter.

 

                  Active Portfolios®, our new discretionary wrap platform, accumulated more than $2.2 billion in ending assets since its launch in February 2007.

 

                  RiverSource® Funds achieved net inflows of $0.4 billion from mutual funds and annuity variable accounts, with sales of long-term mutual funds increasing 84 percent compared to the prior-year period.

 

                  Strong sales in the Ameriprise and third party channels helped drive $1.3 billion in net inflows in annuity variable accounts. Overall annuity net inflows of $0.3 billion were impacted by continued net outflows from annuity fixed accounts.

 

                  Threadneedle Investments announced its acquisition of Convivo Capital Management, which further strengthens its alternative investment capabilities.

 

                  Life insurance in-force increased 8 percent year-over-year to $184 billion.

 

We completed our separation from American Express on budget and on schedule.

 

3



 

Ameriprise Financial, Inc.

This excerpt taken from the AMP 8-K filed Jul 25, 2007.

Second Quarter 2007 Consolidated Highlights

 

The Company continued to drive improvements in the profitability and productivity of its distribution network:

 

                  Mass affluent and affluent client groups increased 12 percent from the year-ago period, with high rates of financial planning penetration for newly acquired clients in this core group.

 

                  Gross Dealer Concession (GDC) increased 20 percent from the year-ago period, reflecting strong advisor productivity gains.

 

                  Franchisee advisor retention remained strong at 93 percent. The total number of advisors decreased 2 percent over the same time period, as the Company hired fewer employee advisors and continued to focus on further strengthening advisor productivity and distribution economics.

 

The Company successfully grew client assets:

 

                  Owned, managed and administered assets increased 13 percent from the prior-year period, reaching $484 billion at June 30, 2007.

 

                  RiverSource® Funds achieved net inflows of $0.7 billion from mutual funds and annuity variable accounts, primarily due to increasing sales driven by strong investment performance, increased penetration of goal-based solutions and effective wholesaling.

 

                  $3.5 billion of net inflows in wrap accounts in the quarter contributed to total ending wrap assets of $89 billion. This included more than $1.1 billion in ending assets in Active PortfoliosSM, a discretionary managed account platform launched in February 2007, which has been one of the Company’s most successful product launches and further strengthens its leadership position in wrap.

 

                  Strong sales in the branded advisor and third party channels helped drive $1.5 billion in net inflows in annuity variable accounts. Overall positive annuity flows were impacted by $1.1 billion in net outflows from annuity fixed accounts during the quarter, primarily due to the interest rate environment.

 

                  Threadneedle grew revenues from higher-margin retail and alternative portfolios while effectively managing expenses. Threadneedle continued to manage outflows in lower-margin institutional assets, primarily resulting from Zurich’s transfer of part of its U.K. annuity business during the quarter.

 

                  Life insurance in-force increased 8 percent year-over-year to $181 billion.

 

The Company has essentially completed its separation from American Express on budget and on schedule. All remaining separation costs are expected to be incurred in the second half of 2007.

 

3



 

Ameriprise Financial, Inc.

EXCERPTS ON THIS PAGE:

8-K
Oct 24, 2007
8-K
Jul 25, 2007

RELATED TOPICS for AMP:

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