Ameriprise 2015 Annual Report Download - page 141

The following is a summary of net investment income:
Years Ended December 31,
2015 2014 2013
(in millions)
Investment income on fixed maturities $ 1,403 $ 1,479 $ 1,575
Net realized gains 437 7
Affordable housing partnerships (18) (25) (12)
Other 68 93 99
Consolidated investment entities 231 157 220
Total $ 1,688 $ 1,741 $ 1,889
Available-for-Sale securities distributed by type were as follows:
December 31, 2015
Gross Gross
Amortized Unrealized Unrealized Noncredit
Description of Securities Cost Gains Losses Fair Value OTTI(1)
(in millions)
Corporate debt securities $ 15,750 $ 894 $ (296) $ 16,348 $ 3
Residential mortgage backed securities 5,933 106 (66) 5,973 (12)
Commercial mortgage backed securities 2,400 70 (14) 2,456 —
Asset backed securities 1,273 34 (11) 1,296 —
State and municipal obligations 2,105 213 (28) 2,290 —
U.S. government and agencies obligations 66 2 — 68 —
Foreign government bonds and obligations 218 17 (11) 224 —
Common stocks 7 11 — 18 5
Total $ 27,752 $ 1,347 $ (426) $ 28,673 $ (4)
December 31, 2014
Gross Gross
Amortized Unrealized Unrealized Noncredit
Description of Securities Cost Gains Losses Fair Value OTTI(1)
(in millions)
Corporate debt securities $ 15,742 $ 1,482 $ (59) $ 17,165 $ 3
Residential mortgage backed securities 6,099 168 (60) 6,207 (15)
Commercial mortgage backed securities 2,513 120 (3) 2,630 —
Asset backed securities 1,417 59 (6) 1,470 —
State and municipal obligations 2,008 257 (26) 2,239 —
U.S. government and agencies obligations 43 4 — 47 —
Foreign government bonds and obligations 236 21 (6) 251 —
Common stocks 8 10 — 18 5
Total $ 28,066 $ 2,121 $ (160) $ 30,027 $ (7)
(1) Represents the amount of other-than-temporary impairment (‘‘OTTI’’) losses in AOCI. Amount includes unrealized gains and losses on
impaired securities subsequent to the initial impairment measurement date. These amounts are included in gross unrealized gains
and losses as of the end of the period.
As of December 31, 2015 and 2014, investment securities with a fair value of $1.0 billion and $1.3 billion, respectively,
were pledged to meet contractual obligations under derivative contracts and short-term borrowings, of which $478 million
and $769 million, respectively, may be sold, pledged or rehypothecated by the counterparty.
At both December 31, 2015 and 2014, fixed maturity securities comprised approximately 84% of Ameriprise Financial
investments. Rating agency designations are based on the availability of ratings from Nationally Recognized Statistical
Rating Organizations (‘‘NRSROs’’), including Moody’s Investors Service (‘‘Moody’s’’), Standard & Poor’s Ratings Services
(‘‘S&P’’) and Fitch Ratings Ltd. (‘‘Fitch’’). The Company uses the median of available ratings from Moody’s, S&P and Fitch,
or, if fewer than three ratings are available, the lower rating is used. When ratings from Moody’s, S&P and Fitch are
unavailable, the Company may utilize ratings from other NRSROs or rate the securities internally. As of December 31,
2015 and 2014, the Company’s internal analysts rated $1.3 billion and $1.4 billion, respectively, of securities using
criteria similar to those used by NRSROs.
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