Ameriprise 2014 Annual Report Download - page 75

clients’ brokerage accounts. We generally record revenues received from administered assets as distribution fees. We do
not exercise management discretion over these assets and do not earn a management fee. These assets are not reported
on our Consolidated Balance Sheets. AUA also includes certain assets on our Consolidated Balance Sheets for which we
do not provide investment management services and do not recognize management fees, such as investments in
non-affiliated funds held in the separate accounts of our life insurance subsidiaries. These assets do not include assets
under advisement, for which we provide model portfolios but do not have full discretionary investment authority.
The following table presents detail regarding our AUM and AUA:
December 31,
2014 2013 Change
(in billions)
Assets Under Management and Administration
Advice & Wealth Management AUM $ 174.1 $ 153.1 $ 21.0 14%
Asset Management AUM 505.6 500.8 4.8 1
Corporate & Other AUM 0.8 0.9 (0.1) (11)
Eliminations (21.9) (20.5) (1.4) (7)
Total Assets Under Management 658.6 634.3 24.3 4
Total Assets Under Administration 147.6 137.0 10.6 8
Total AUM and AUA $ 806.2 $ 771.3 $ 34.9 5%
Total AUM increased $24.3 billion, or 4%, to $658.6 billion as of December 31, 2014 compared to $634.3 billion as of
December 31, 2013 due to a $21.0 billion increase in Advice & Wealth Management AUM driven by wrap account net
inflows and market appreciation and a $4.8 billion increase in Asset Management AUM primarily driven by market
appreciation, partially offset by retail fund distributions. See our segment results of operations discussion below for
additional information on changes in our AUM.
Consolidated Results of Operations
Year Ended December 31, 2014 Compared to Year Ended December 31, 2013
The following table presents our consolidated results of operations:
Years Ended
December 31,
2014 2013 Change
(in millions)
Revenues
Management and financial advice fees $ 5,810 $ 5,253 $ 557 11%
Distribution fees 1,894 1,771 123 7
Net investment income 1,741 1,889 (148) (8)
Premiums 1,385 1,282 103 8
Other revenues 1,466 1,035 431 42
Total revenues 12,296 11,230 1,066 9
Banking and deposit interest expense 28 31 (3) (10)
Total net revenues 12,268 11,199 1,069 10
Expenses
Distribution expenses 3,236 2,925 311 11
Interest credited to fixed accounts 713 806 (93) (12)
Benefits, claims, losses and settlement expenses 1,982 1,954 28 1
Amortization of deferred acquisition costs 367 207 160 77
Interest and debt expense 328 281 47 17
General and administrative expense 3,095 3,056 39 1
Total expenses 9,721 9,229 492 5
Income from continuing operations before income tax provision 2,547 1,970 577 29
Income tax provision 545 492 53 11
Income from continuing operations 2,002 1,478 524 35
Loss from discontinued operations, net of tax (2) (3) 1 33
Net income 2,000 1,475 525 36
Less: Net income attributable to noncontrolling interests 381 141 240 NM
Net income attributable to Ameriprise Financial $ 1,619 $ 1,334 $ 285 21%
NM Not Meaningful.
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