Voya 2013 Annual Report Download - page 140

(1) Consists of assets where we are the investment manager.
As of December 31,
($ in millions) 2013 2012 2011
General Account ......................... $ 28,169.2 $ 27,222.6 $ 25,528.3
Separate Account ......................... 57,654.0 49,425.4 42,920.8
Mutual Fund/Institutional Funds ............. 19,413.7 13,823.2 11,028.6
AUA .................................. 237,777.1 213,675.5 208,366.0
Total AUM and AUA ................. $343,014.0 $304,146.7 $287,843.7
The following table summarizes a rollforward of AUM for our Retirement segment for the periods indicated:
Years Ended December 31,
($ in millions) 2013 2012 2011
Balance as of beginning of period ............... $ 90,471.2 $ 79,477.7 $ 76,537.8
Deposits ............................... 14,856.0 14,457.0 13,162.1
Surrenders, benefits and product charges ...... (12,397.5) (10,991.4) (10,160.4)
Net flows ............................... 2,458.5 3,465.6 3,001.7
Interest credited and investment performance . . 12,307.2 7,527.9 (61.8)
Balance as of end of period .................... $105,236.9 $ 90,471.2 $ 79,477.7
Retirement—Year Ended December 31, 2013 Compared to Year Ended December 31, 2012
Operating revenues
Net investment income and net realized gains (losses) increased $69.7 million from $1,499.9 million to
$1,569.6 million primarily due to $15.2 million of net investment income from Lehman Recovery/LIHTC in the
current period compared to a $48.1 million loss on the sale of certain alternative investments in the prior period.
In addition, there was a favorable variance due to higher prepayment fee income as well as higher investment
income due to increases in general account assets. General account assets increased from $27.2 billion to $28.2
billion primarily as a result of participants transferring funds from variable investment options into fixed
investment options. The increases were partially offset by lower Net investment income and net realized gains
(losses) primarily due to lower investment yields on the CMO-B portfolio and lower alternative investment
income as a result of portfolio restructuring in the prior period, coupled with lower reinvestment rates.
Fee income increased $44.9 million from $715.0 million to $759.9 million primarily due to increases in full
service plan fees, recordkeeping advisory fees and change order fees for the recordkeeping business. The increase
in fees related to full service retirement plans was driven by net increases in separate account and institutional/
mutual fund AUM. These increases were partially offset by a decrease in other recordkeeping fees primarily due
to terminated contracts.
Other revenue increased $12.1 million from $52.1 million to $64.2 million primarily due to an increase in
broker-dealer revenue and changes in market value adjustments related to plan sponsors upon surrender.
Operating benefits and expenses
Interest credited and other benefits to contract owners/policyholders increased $6.2 million from
$842.2 million to $848.4 million primarily due to an increase in general account liabilities, which corresponds to
the increase in general account assets as described above. This increase was mostly offset by a decrease in the
average credited rates due to actions taken in 2012 and January 2013 to reflect the continuing low interest rate
environment. Lower amortization of sales inducements also partially offset the increase.
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