Ameriprise 2011 Annual Report Download - page 93

Market
Appreciation/
January 1, (Depreciation) Foreign December 31,
2009 Net Flows & Other(1) Exchange 2009
(in billions)
Columbia Managed Assets:(2)
Retail Funds $ 63.9 $ (0.5) $ 13.5 $ — $ 76.9
Institutional Funds 54.7 2.6 5.0 — 62.3
Alternative Funds 9.4 (0.1) 0.6 — 9.9
Less: Eliminations (0.1) — — — (0.1)
Total Columbia Managed Assets 127.9 2.0 19.1 — 149.0
Threadneedle Managed Assets:
Retail Funds 16.3 4.9 6.1(3) 1.8 29.1
Institutional Funds 55.3 (1.4) 7.5 5.4 66.8
Alternative Funds 2.6 0.1 (1.0) 0.2 1.9
Total Threadneedle Managed Assets 74.2 3.6 12.6 7.4 97.8
Less: Sub-Advised Eliminations (2.5) 0.3 (1.4) — (3.6)
Total Managed Assets $ 199.6 $ 5.9 $ 30.3 $ 7.4 $ 243.2
(1) Distributions of Retail Funds are included in market appreciation/(depreciation) and other.
(2) Prior to the Columbia Management Acquisition, the domestic managed assets of our Asset Management segment, which are now
included in Columbia Managed Assets, were managed by RiverSource Investments.
(3) Included in Market appreciation/(depreciation) and other are assets due to the addition of Standard Chartered Bank’s World Express
Funds investment business.
Columbia assets under management were $355.5 billion at December 31, 2010 compared to $149.0 billion a year ago,
driven by the Columbia Management Acquisition and market appreciation, partially offset by net outflows. Equity and fixed
income investment performance remained strong across one-, three- and five-year periods. Retail net outflows of
$5.2 billion in 2010 were primarily in equity and subadvisory portfolios, reflecting industry-wide outflows in equities and
lower retail sales as a result of pending fund mergers. Institutional net outflows of $7.1 billion in 2010 were primarily in
lower basis point fixed income portfolios.
Threadneedle assets under management were $105.6 billion at December 31, 2010, up 8% from a year ago reflecting
year-over-year market appreciation and retail net inflows, partially offset by negative foreign currency translation and
institutional net outflows. Total net outflows of $0.5 billion in 2010 reflected net outflows in lower basis point institutional
portfolios, partially offset by retail net inflows from higher sales from European investors. Institutional net outflows in 2010
primarily reflected continued outflows in Zurich-related portfolios. Investment track records remained strong across one-,
three- and five-year periods.
The following table presents the results of operations of our Asset Management segment:
Years Ended December 31,
2010 2009
Less: Less:
GAAP Adjustments(1) Operating GAAP Adjustments(1) Operating Operating Change
(in millions)
Revenues
Management and financial advice
fees $ 1,979 $ — $ 1,979 $ 1,106 $ — $ 1,106 $ 873 79%
Distribution fees 358 — 358 216 — 216 142 66
Net investment income 17 3 14 18 (3) 21 (7) (33)
Other revenues 15 — 15 8 — 8 7 88
Total revenues 2,369 3 2,366 1,348 (3) 1,351 1,015 75
Banking and deposit interest
expense 1 — 1 2 — 2 (1) (50)
Total net revenues 2,368 3 2,365 1,346 (3) 1,349 1,016 75
Expenses
Distribution expenses 734 — 734 371 — 371 363 98
Amortization of deferred acquisition
costs 20 — 20 21 — 21 (1) (5)
General and administrative expense 1,296 95 1,201 894 30 864 337 39
Total expenses 2,050 95 1,955 1,286 30 1,256 699 56%
Pretax income $ 318 $ (92) $ 410 $ 60 $ (33) $ 93 $ 317 NM
NM Not Meaningful.
(1) Adjustments include net realized gains or losses and integration charges.
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