Voya 2014 Annual Report Download - page 160

(2) Includes the impacts of the annual review of assumptions. See Unlocking of DAC/VOBA and other Contract
Owners/Policyholders Intangibles in Part II, Item 7. of this Annual Report on Form 10-K for further
description.
The following table presents AUM for our Annuities segment as of the dates indicated:
As of December 31,
($ in millions) 2014 2013 2012
AUM:
General account ......................... $21,795.5 $22,432.2 $22,915.8
Separate account ........................ 792.5 829.6 751.7
Mutual funds ........................... 4,062.0 3,384.9 2,433.6
Total AUM ................................ $26,650.0 $26,646.7 $26,101.1
The following table presents a rollforward of AUM for our Annuities segment for the periods indicated:
Year Ended December 31,
($ in millions) 2014 2013 2012
Balance at beginning of period ................. $26,646.7 $26,101.1 $27,690.2
Deposits ............................... 3,044.7 2,632.0 2,353.8
Surrenders, benefits and product charges ..... (4,115.1) (3,528.9) (5,086.1)
Net flows .......................... (1,070.4) (896.9) (2,732.3)
Interest credited and investment
performance .......................... 1,073.7 1,442.5 1,143.2
Balance as of end of period .................... $26,650.0 $26,646.7 $26,101.1
Annuities—Year Ended December 31, 2014 Compared to Year Ended December 31, 2013
Operating revenues
Net investment income and net realized gains (losses) decreased $40.3 million from $1,149.9 million to
$1,109.6 million primarily due to $20.3 million of net investment income from Lehman Recovery/LIHTC in
2013 that did not reoccur. In addition to the impact of Lehman Recovery/LIHTC, net investment income was
lower due to several factors, including lower CMO-B investment income driven by market conditions and
reinvestment rates that were lower than the yields of the investments that matured, lower general account assets
resulting from the continuing run-off of the Annual Reset/MYGAs, and reductions in required capital. Partially
offsetting these declines were higher investment income resulting from the growth in FIAs and higher investment
income resulting from changes to the mix of the portfolio.
Fee income increased $11.9 million from $45.1 million to $57.0 million due to growth in assets of mutual
fund custodial products. Average assets of the mutual fund custodial product increased 28% from $2.9 billion in
the prior year to $3.7 billion in the current year due to positive net flows and market performance.
Premiums increased $132.6 million from $36.4 million to $169.0 million due to higher premiums in
immediate annuities with life contingencies.
Other revenue increased $4.6 million from $13.2 million to $17.8 million due to changes in market value
adjustments related to annuities upon surrender.
Operating benefits and expenses
Interest credited and other benefits to contract owners/policyholders increased $82.2 million from $730.9
million to $813.1 million primarily due to an increase in immediate annuities with life contingencies and an
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