Ameriprise Financial September 2020 Forward-looking statements The forward-looking statements in this presentation reflect management’s expectations about future events, plans and performance. These forward-looking statements and the many assumptions upon which they are based involve risks and uncertainties. A list of factors that could cause actual results to be materially different from those expressed or implied by any of these forward-looking statements is detailed under the headings “Forward-Looking Statements” and “Risk Factors”, and elsewhere, in our Annual Report on Form 10-K for the year ended December 31, 2019 and elsewhere in our Quarterly Report on Form 10-Q for the quarter ended June 30, 2020. These forward-looking statements speak only as of today's date and we undertake no obligation to update publicly or revise them for any reason. For information about Ameriprise Financial, please refer to the Second Quarter 2020 Statistical Supplement available at ir.ameriprise.com.
Non-GAAP Financial Measures This presentation contains certain non-GAAP financial measures that our management feels best reflect the underlying performance of our operations. Reconciliations of such non-GAAP financial measures to the most directly comparable GAAP financial measure have been provided along with the presentation.
2 Update regarding developments from COVID 19 Ameriprise was well prepared to manage through the pandemic and its associated impacts
Business continuity program supporting ongoing business activities with ~95% of employees working from home • Quick mobilization to ensure advisors had the tools necessary to meet and exceed client needs • Technology enabled advisors to work with clients and solutions during extreme market volatility
Strong response in the pandemic positions Ameriprise to capture future opportunities • Demonstrated value from financial planning and advice for clients • Effective recruiting strategy that has led to an increase in engagement with potential advisors by 4 times • Global asset management wholesaler effectiveness and engagement strong in the first half of 2020, continuing improved trends though 2019 • Strong expense management and reengineering while remaining committed to work force
4 Strong business metrics and earnings with positive underlying trends in the first half of 2020 Wealth management clients flows remained strong through year to date 2020 • Wrap flows of $11.0 billion • Client flows of $10.5 billion • Brokerage cash balances increased to $32.7 billion as expected in March; started seeing money put back to work in the second quarter
Asset Management flows continued to improve with net inflows in second quarter • Retail gross sales momentum continued, with flow rate improvement relative to peers • Positive institutional flows
Adjusted operating earnings per diluted share was up 5%1 year to date to $8.07, reflecting challenging markets offset by strong underlying business performance
1. Excluding Auto & Home 5 Balance sheet fundamentals and ERM process demonstrated into and coming out of COVID-19 are a competitive advantage
Fundamental Proof Points as of 6/30/20 Success Drivers Parent Company $2.7 billion Liquidity Outcome of strong fundamentals: Excess Capital $1.9 billion • Increased quarterly dividend by 7% • Resumed share repurchase Manageable Earnings Hedge effectiveness of 95% program in May after brief, prudent Volatility pause Effective Operational Seamless work from home capabilities Risk Management • $2.1B net unrealized gain position(1) Underlying Asset • Only 3% below investment grade Quality • Average Rating of AA-
1. As of 6-30-20 6 Ameriprise Overview A diversified and differentiated financial services leader with a record of outperformance – well-positioned to capture future growth
8 Ameriprise – diversified and fully integrated
Advice & Wealth Management Industry-leading wealth manager with Strong investment differentiated advice Important solutions performance; value proposition meeting clients’ client-focused approach evolving needs
$947B More than ~100% $15B+ returned ~$1.9B in AUM/A tripled EPS free cash flow to shareholders excess capital since 2012 generation since 2012
Data as of 6-30-20. 9 One dynamic firm delivering significant value
Wealth Global Asset Benefits Management Management Wealth management drives ~85% of the firm’s revenue1
Columbia Deep, long-term client relationships Threadneedle Investments Captures assets and fees across Advice market cycles & Wealth Management Strong asset persistency Insurance & Annuities Benefits from critical expertise and capabilities across AMP Substantial free cash flow to reinvest for growth and return to shareholders
1. Represents AWM’s advisor network, excluding Auto & Home that was sold on 10-1-19. 10 Ameriprise is performing very well 18% EPS CAGR ~100% free cash flow since 2012 Adjusted operating $15B+ returned to ROE of 36%1 shareholders since 2012
Pretax Adjusted Operating Earnings2
23% 49% Advice & 2012 2020 Wealth Management 23% 50% $1.9B $2.8B Asset Management Insurance & Annuities 27% 28%
2020 represents trailing 12-months through 6-30-20. 1. Excludes unlocking. 2. Excludes Corporate & Other segment and unlocking. 2012 includes SOP market impact. 11 Advice & Wealth Management is delivering sustained profitable growth A longstanding leader in 9,894 financial planning and advice financial advisors (Top 5 branded)
Excellent client $669K trailing 12-month satisfaction adjusted operating net revenue per advisor Launched new 90%+ fee-based Bank capabilities revenue
$630B in client assets, incl. Strong branded $318B in wrap assets value proposition Respected brand with deep client relationships Data as of 6-30-20. 12 Recognized for our superior client satisfaction
A leader among A TOP Recognized for full service firms in PERFORMER™ providing an likelihood to in customer ratings, outstanding recommend to including “unbiased customer service friends and and puts clients’ best experience for colleagues interests first” phone support for advisors
96% of clients say their advisor provided advice that 4.9/5 addressed their client needs satisfaction
See source information in appendix. 13 Attractive and fast-growing market
Households Financial assets Financial assets (in millions) ($ in trillions) CAGR 2013 – 2019E
$5M+ 1.6M $20.3 11.8% U.S. household financial assets projected $500k – $4.999M 13.4M $19.0 5.3% to grow 4 – 6% $100k – $499K 23.9M $5.7 1.2% annually going forward
<$100K 89.8M $1.5 0.7%
Source: Federal Reserve Survey of Consumer Finances – 1998-2016; Federal Reserve; SBD Projections. 14 Within the opportunity, we are focused on the Responsible Mindset Who they are What they want $500K–$5M: Advice and anytime access Our primary target market
$17 trillion in financial assets 70% Want advice 60% Prefer beyond Consider a state-of-the-art comprehensive investments digital experience Attractive growth trajectory advice very important A personal relationship 66% male, 34% female
Want to work with under age 45 a firm and advisor 80% 8 out of 10 24% they trust Consider it essential Prefer quarterly to work face-to-face contact
Source: Ameriprise Financial Market Segmentation, February 2019. 15 Through our Client Experience, we will deliver advice to our full client base and generate significant value and client satisfaction
Comprehensive advice relationships generate:1 4 elements of the Client Experience 5.7x greater net flows 4.0x What clients 1:1 financial A personalized Anytime access Regular meetings greater can expect advice based on plan and to your investments to review your goals, GDC your goals and recommendations and digital tools to progress and for the diversified needs help you stay on investments portfolio to meet track your goals
1. 2018 Ameriprise Information Management (AIM) Value of Planning Study. 16 Multiple affiliation options to serve more clients and advisors
Ameriprise Ameriprise Ameriprise Ameriprise Financial Franchise Group Advisor Group Advisor Center Institutions Group
AFFILIATION AFFILIATION AFFILIATION AFFILIATION Independent Employee Employee Employee DESCRIPTION DESCRIPTION DESCRIPTION DESCRIPTION
Full-service advisors Full-service advisors Nationally licensed Full-service advisors financial teams that that are franchisees that are employees consistently deliver client based in banks and of the firm of the firm experience remotely credit unions
7,778 1,817 127 172
Data as of 6-30-20. 17 Adding banking to serve an important client need and capture significant growth opportunity
Many wealth managers generate a Ameriprise Bank, FSB substantial portion of earnings from banking Launched in 2019: OPPORTUNITY • $5.3B+ sweep deposits Initial target: ~10% of • 59+K clients with Ameriprise Visa credit cards earningsfrom Coming in 2020: banking by 2024 • Pledge loans • Savings deposits (piloted in January, launch in 2021)
Data as of 6-30-20. 18 Strong financial performance compared to peers Ameriprise is generating substantial increases in both revenue and assets per advisor
Adjusted Pretax Operating Margin Revenue Per Advisor vs. Peers 2012 to 2019 CAGR
AWM 23% AWM 8%
Regionals / Regionals / 12% 3% Independents Independents
Wirehouses 28% Wirehouses 3%
(Includes banking activity)
Data as of 12-31-19. Source: Company filings and S&P Cap IQ. Ameriprise 2012 Revenue Per Advisor includes 12b-1 fees. Regionals / Independents represents median of LPL, Raymond James PCG and Edward Jones. Wirehouses represents median of Morgan Stanley and Bank of America Wealth Management segments. 19 We have strong momentum and are poised for long term growth Advice and Wealth Management PTI Grow our client base and ($ in millions) move further up market
$1,509 Increase advisor productivity $1,389 1,432
$1,163
$910 Deepen client relationships $859 $792 $592 Ameriprise Bank will drive $434 substantial future growth
Attract more advisors 2012 2013 2014 2015 2016 2017 2018 2019 2020
2020 represents trailing 12-months through 6-30-20. 20 Insurance and Annuities provide important client solutions with a constrained growth profile Essential to our Confident Retirement® approach
$100B+ $ 100% client AUM affiliated distribution for life, health and variable annuities Strong returns Top 15 VUL insurance provider
Excellent Top 15 ratings variable annuity carrier 2019 J.D. Power #1 in annuities
Data as of 6-30-20. See source information in appendix. client satisfaction 21 Summary of strategic benefits
• Meet clients’ needs as part of their plans • Core component of wealth management relationship Client • Unmatched versus peer advisors at meeting client needs
• Enhances persistency of client relationships • Fosters strong protection and annuity productivity versus peers Advisor • Highly efficient and productive support model
• Strong and stable free cash flow with industry-leading returns • Well-designed and risk-controlled solutions • Diverse book of business and revenue streams • Well-contained growth profile Shareholder • Strategic and financial linkages to other Ameriprise segments
RiverSource Distributors, Inc. (Distributor), Member FINRA. Issued by RiverSource Life Insurance Company, Minneapolis, Minnesota, and in New York only, by RiverSource Life Insurance Co. of New York, Albany, New York. Columbia Management Investment Advisers, LLC (CMIA) is an investment adviser registered with the U.S. Securities and Exchange Com missi o n . Ameriprise Financial Services, Inc., Member FINRA and SIPC. 22 Insurance and Annuities have a lower risk profile with higher returns than peers
Lower VA Living Benefit NAR Relative to Equity Higher Returns Relative to Industry 32%
69% 27%
37% 12%
7%
5%
Annuities Life & Health AMP Peers
Data as of 12-31-19. Source: Company filings and Investment Banking Research. Represents Adjusted Pre-Tax Operating Return on Capital. Annuity peers include BHF, LNC, EQH. Life & Health peers include UNM, GL, PRI, LNC, FFG. GL. Pretax Adjusted Operating Earning implied from after-tax metric and trailing 12 months effective tax rate. 23 Insurance and Annuities will generate continued good free cash flow with a lower risk profile
Cash Dividends to Parent $ in millions Maintain strong risk/return discipline and effective hedging program $1,350 $1,300 Maintain steady profitability
Reinsure remainder of fixed annuity business $700 $750 Shift variable annuity product mix to non-living benefit and structured products
Continue to manage LTC exposure with premium rate actions and benefit reduction outreach 2017 2018 2019 2020 RBC Unlock value with additional reinsurance ~435% ~500% ~490% ~465% Ratio
2020 represents trailing 12-months through 6-30-20. 24 We are a leading asset manager with improving flow dynamics Global presence and capabilities $ $476B in AUM Benefiting from Top 15 strategic long-term mutual relationships funds in the U.S.
Strong institutional Top 10 retail ranking presence in the UK
115 Proven M&A four- and five-star experience Morningstar-rated funds $ Competitive margins and earnings growth
Data as of 6-30-20. See source information in appendix. 25 Our investment approach is a foundation for client success and sets us apart
Proprietary, differentiated research approach delivers global perspective Global investment teams in North America, UK/Europe and APAC Long-term Global approach Scalable Macro view: Global asset consistent turns information across a wide allocation with local insight returns into replicable range of client needs and Micro view: Sector-based teams, for clients insights product types in-depth security research, proprietary company ratings 5P investment oversight
26 This approach has delivered consistent, competitive investment performance Asset-weighted Sample of leading strategies Corporate Limited Duration Fixed Income performance Mortgage Opportunities U.S. Fixed Income Strategic Municipal Income U.S. funds U.S. Government Mortgage US High Yield International European High Yield 69% 71% 78% Fixed Income European Investment Grade Dividend Income 1 year 3 years 5 years Contrarian Core U.S. Equity Small Cap Growth U.S. Equity (Core Plus) Select Global Equity EMEA / Asia funds Emerging Markets Opportunity Global Technology Growth Seligman Global Technology Global Equity Global Developed Market Equities Composite 83% 85% 87% Global Small Cap Equities Composite 1 year 3 years 5 years International Equity Overseas Value Europe ex. UK Small Cap Europe ex. UK Equity (High Alpha) Composite Data as of 6-30-2020. Past performance does not guarantee future returns. U.S performance measured using Columbia Class Inst share (formerly known as Class Z) vs. full universe of funds. Regional Equity Greater China Asset weighted rankings include assets in funds with above Lipper median performance: Pacific/Asia EMEA/APAC performance measured on a consistent basis against the most appropriate benchmark – a peer group of similar funds or an index. Counts the assets in funds with above UK Equity Income median ranking (if measured against peer group) or above index performance (if measured against an index). 27 Broad global distribution capability
U.S. EMEA APAC 11 locations 13 locations 4 Locations
• $234B U.S. Intermediary AUM • $40B EMEA Wholesale AUM • Retail distribution operation in Singapore and Hong Kong • 5 unique intermediary sales channels: • Key countries / regions include: 1. Broker Dealer - UK • Malaysia, Thailand, Philippines (regional fly-in 2. Independent Advisors - Europe (especially Italy, Germany, Spain) model) 3. Ameriprise - Israel (sub advised) 4. Private Client Advisory (PCA): RIA and Bank of - Middle East • Exploring China retail via inorganic / America Private Bank partnership 5. Defined Contribution Investment Only (DCIO) • 200+ key local institutions and retail intermediaries • 800 retail intermediaries with >50,000 advisors Global Institutional 140+ people, deeply consultative led approach, $202B Institutional AUM and full product line, including multi-asset strategies - Broad geographic coverage of major client types - Global approach with regional variances by client type and investment requirements - Evolving to client-led, Solutions-based approach Anchor Clients
Data as of 6-30-20. 1. Source: ICI Complex Assets, Q4 2019 for Columbia Management Investment Advisors, LLC. 2. Source: Investment Management Association, data as of October 2019 for Threadneedle Investments, LLC. 28 Gaining traction and improving net flows Net flows (including former parent) $ in millions Adapting well to virtual $3,348 environment $2,597 ($1,277) Increased market share with ($1,927) ($2,359)
our focus broker-dealers Q2 2019 Q3 2019 Q4 2019 Q1 2020 Q2 2020 Improved segmentation Net flows (excluding former parent) and targeting $ in millions $4,264 Growing model business $2,904 Managing Brexit effectively $23 ($944) Growing Institutional ($1,556) distribution momentum Q2 2019 Q3 2019 Q4 2019 Q1 2020 Q2 2020
29 Generating strong margins
43.7% 42.5% 37.5% 36.3% 33.7% 30.9% 28.4% 26.6% 24.2% 23.8% 23.5%
Full year through 12-31-19. Adjusted operating margin for CTI, Invesco and Legg Mason. 30 Ameriprise is a unique shareholder value creation opportunity that should be re-rated
• Delivering higher growth with lower volatility
• Continuous free cash flow generation of approximately 100%
• Returned over $7 billion to shareholders since 2016 while maintaining substantial excess capital
• Excellent ROE exceeding 90% of S&P 500 financials
31 Increased free cash flow generation and return to shareholders with strong excess capital Excess Capital $ in billions
$2.0 Significant growth in earnings and free cash $1.9 flow from Wealth Management
Stable contribution from Asset Management Returned $7.2 billion of capital to shareholders and reduced share count by 22% Consistent distributable earnings from I&A
2016 2020 Generating ROE in excess of 30% Free Cash Flow ~90% ~135%2 Generation
2020 represents trailing 12-months through 6-30-20. 1. Reflects sale of Auto & Home business and Fixed Annuity reinsurance transaction. 2. Approximately 90% on a normalized basis. 32 We have consistently returned at least $1.7 billion of capital to shareholders annually Capital Returned to Shareholders $ in billions $2.4 $2.3 $2.1 $2.2 $2.1 $1.9 $1.8 $1.8 $1.7
2012 2013 2014 2015 2016 2017 2018 2019 2020 Dividends Share Repurchase
2020 represents trailing 12-months through 6-30-20. 33 Increasing and diversified sources of free cash flow as business mix shift continues
Pretax Adjusted Operating Earnings1
27% 2020 Continued 35% 2016 39% $2.8 50% Growth & $2.3 billion Mix Shift billion 23% 26%
Advice and Wealth Management Asset Management Annuities & Protection
2020 represents trailing 12-months through 6-30-20. 1. Excludes Corporate & Other segment and unlocking. 34 Adapted seamlessly to remote environment while continuing to meet and exceed client needs across our businesses
Significant opportunity to further grow as a wealth management and advice leader focused on deep client relationships
Continue to transform our global asset management business to meet the important and growing client need for active management
Managing well-developed insurance and annuities books of business focused on retirement asset accumulation solutions that generate strong, continuous cash flow
Continued focus on profitable growth, a sound balance sheet and generating high returns for shareholders
35 Appendix
36 Appendix: Sources
Rating based on responses to a consumer survey as part of the Temkin Group 2016 (#1 rating), 2017 (#2 rating) and 2018 (#4 rating) Net promoter Score® Benchmark Studies. 2018 is the most recent year in w hich this report w as published. Temkin Group joined Qualtrics in 10/2018. See https://w ww.qualtrics.com/xm-institute/. Many large companies use Net Promoter Score® (NPS) to evaluate their customers’ loyalty. The Temkin Group Net Promoter Score Benchmark Studies measured consumers’ overall brand perception of 340 companies across 20 industries. To determine a company’s NPS score, the Temkin Group surveyed 10,000 U.S. consumers in August 2016 (#1 rating), August 2017 (#2 rating) and August 2018 (#4 rating). Respondents answ ered the standard NPS question: how likely are you to recommend
Certified as of December 2019. J.D. Pow er 2019 Certified Customer Service ProgramSM recognition is based on successful completion of an evaluation and exceeding a customer satisfaction benchmark through a survey of recent servicing interactions. Our advisors evaluated our performance in these factors: satisfaction w ith the IVR routing process, and the customer service representative w hich includes know ledge, courtesy, concern, call duration/transfers/hold time, and timeliness of resolution in addition to overall satisfaction. Ameriprise engaged J.D. Pow er to be independently evaluated through this program and cite the results. For more information, visit w ww.jdpow er.com/ccc.
Ameriprise Financial Goal-Based Advice Survey. Results from July 2018 through March 2020, reflecting 3,232 client responses. The percentages cited reflect those w ho agree or strongly agree w ith each statement (on a 5-point scale). Clients may complete a survey via the secure site after their goals are published online.
A top performer in customer ratings – Wants & Pricing Report (April 2019) from the Hearts & Wallets Investor Quantitative™ Database. Hearts & Wallets conducts an annual syndicated survey in w hich respondents are asked to rate their financial services providers in a variety of areas on a scale of 1 (not at all satisfied) to 10 (extremely satisfied). In 2018, 5,441 respondents provided 8,748 sets of ratings. The report designates Hearts & Wallets Top Performer™ in areas w here customer ratings for one or more provider are “distinctively higher than customer ratings of other providers.” In areas w here no provider ratings are distinctively higher, no Top Performers are designated. This rating is not indicative of future performance and may not be representative of any one client’s experience, as the rating is an average of a sample of client experiences. Ameriprise paid a fee to Hearts & Wallets to cite the results of the survey.
4.9/5 client satisfaction - Clients can rate an advisor or practice, based on their overall satisfaction w ith the team or practice, on a scale of 1 to 5 (1= extremely dissatisfied to 5= extremely satisfied). Client experiences may vary and w orking w ith any Ameriprise Financial practice is not a guarantee of future financial results. Investors should not consider this rating a substitute for their ow n research and evaluation of a financial practice’s qualifications. Not all clients may respond to these questions, and only clients w ith access to the Ameriprise Secure Client Site may submit a rating. Ratings reflect an average of all client responses received betw een 3/13/2018 and 12/31/2019.
#1 in annuities for client satisfaction – RiverSource received the highest score among individual annuity providers in the J.D. Pow er 2019 U.S. Life Insurance Satisfaction Study of customers’ satisfaction w ith their annuity provider. Visit jdpow er.com/aw ards.
Top 15 VUL insurance provider and Top 15 VA carrier – LIMRA International, Q1 2019.
116 4- and 5-star Morningstar-rated funds. Past performance is no guarantee of future results. © 2019 Morningstar. All rights reserved. The Morningstar information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not w arranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information.
For each fund w ith at least a three-year history, Morningstar calculates a Morningstar RatingTM used to rank the fund against other funds in the same category. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a fund's monthly excess performance, w ithout any adjustments for loads (front-end, deferred, or redemption fees), placing more emphasis on dow nw ard variations and rew arding consistent performance. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. The top 10% of funds in each category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars and the bottom 10% receive 1 star (Each share class is counted as a fraction of one fund w ithin this scale and rated separately, w hich may cause slight variations in the distribution percentages). 37 Reconciliation Tables
Adjusted operating earnings per diluted share ($ in millions, except per share amounts) Per Diluted Share Q2 Q2 Q2 Q2 % Over/ 2019 2020 2019 2020 (Under) Net income $ 492 $ (539) $ 3.57 $ (4.31) NM Add: Basic to diluted share conversion - - - 0.04 Less: Net income (loss) attributable to the CIEs 1 - 0.01 - Add: Integration/restructuring charges(1) 2 2 0.01 0.02 Add: Market impact on variable annuity guaranteed benefits(1) 60 988 0.44 7.83 Add: Market impact on indexed universal life benefits(1) 26 122 0.19 0.97 Add: Market impact on fixed index annuity benefits(1) (1) 3 (0.01) 0.02 Add: Mean reversion related impacts(1) (18) (14) (0.13) (0.12) Add: Market impact of hedges on investments(1) 18 - 0.13 - Less: Net realized investment (losses) gains(1) - (2) - (0.02) Add: Tax effect of adjustments(2) (18) (231) (0.13) (1.83) Adjusted operating earnings $ 560 $ 333 $ 4.06 $ 2.64 (35)% Less: Pretax impact of Auto & Home core results 14 - 0.10 - Less: Tax effect of Auto & Home core results (3) - (0.02) - Adjusted operating earnings excluding Auto & Home $ 549 $ 333 $ 3.98 $ 2.64 (34)% Add: Reversal of the NOL from Q1 - $ 144 - 1.14 Adjusted operating earnings excluding Auto & Home $ 549 $ 477 $ 3.98 $ 3.78 (5)%
Weighted average common shares outstanding: Basic 136.1 125.0 Diluted 138.0 126.2 (1) Pretax adjusted operating adjustment. (2) Calculated using the statutory tax rate of 21%.
38 Reconciliation Tables
Year To Date Summary Year-to-date Per Diluted Share June 30, YTD June 30,
(in millions, except per share amounts, unaudited) 2020 2019 2020 2019
Adjusted operating earnings $ 1,027 $ 1,085 $ 8.07 $ 7.80 Less: Auto & Home, net of tax - 18 - 0.13
Adjusted operating earnings, excluding Auto & Home $ 1,027 $ 1,067 $ 8.07 $ 7.67
Weighted average common shares outstanding: Basic 125.7 137.4 Diluted 127.2 139.1
39 Reconciliation Tables Asset Management net pretax adjusted operating margin ($ in millions) Full Year 2019 Adjusted operating total net revenues $ 2,913 Less: Distribution pass through revenues 747 Less: Subadvisory and other pass through revenues 330 Net adjusted operating revenues $ 1,836
Pretax adjusted operating earnings $ 661 Less: Adjusted operating net investment income 15 Add: Amortization of intangibles 21 Net adjusted operating earnings $ 667
Pretax adjusted operating margin 22.7% Net pretax adjusted operating margin 36.3%
40 Reconciliation Tables
Adjusted operating return on equity ($ in millions) Twelve Months Ended Twelve Months Ended June 30, June 30, 2019 2020 Net income $ 1,929 $ 2,503 Less: Adjustments (1) (229) 371 Adjusted operating earnings $ 2,158 $ 2,132 Less: Auto & Home, net of Tax(2) 21 (8) Adjusted operating earnings excluding Auto & Home $ 2,137 $ 2,140
Total Ameriprise Financial, Inc. shareholders' equity $ 5,742 $ 6,190 Less: Accumulated other comprehensive income, net of tax (82) 194 Total Ameriprise Financial, Inc. shareholders' equity excluding AOCI 5,824 5,996 Less: Equity impacts attributable to the consolidated investment entities 1 - Adjusted operating equity $ 5,823 $ 5,996
Return on equity, excluding AOCI 33.1% 41.7% Adjusted operating return on equity, excluding AOCI (3) 37.1% 35.6% Adjusted operating return on equity, excluding AOCI and Auto & Home 36.7% 35.7% j g g / , ( ) acquisition costs ("DAC") amortization, unearned revenue amortization and the reinsurance accrual; the market impact on variable annuity guaranteed benefits, net of hedges and related DSIC and DAC amortization; the market impact on indexed universal life benefits, net of hedges and related DAC amortization, unearned revenue amortization, and the reinsurance accrual; the market impact on fixed index annuity benefits, net of hedges and the related DAC amortization; mean reversion related impacts; gain on disposal of business; the market impact of hedges to offset interest rate changes on unrealized gains or losses for certain investments; integration/restructuring charges; and the impact of consolidating certain investment entities. After-tax is calculated using the statutory tax rate of 21%. (2) After-tax is calculated using the statutory tax rate of 21%. (3) Adjusted operating return on equity excluding accumulated other comprehensive income (AOCI) is calculated using the trailing twelve months of earnings excluding the after-tax net realized investment gains/losses, net of DSIC and DAC amortization, unearned revenue amortization and the reinsurance accrual; market impact on variable annuity guaranteed benefits, net of hedges and related DSIC and DAC amortization; the market impact on indexed universal life benefits, net of hedges and related DAC amortization, unearned revenue amortization, and the reinsurance accrual; the market impact on fixed index annuity benefits, net of hedges and the related DAC amortization; mean reversion related impacts; gain on the disposal of business; the market impact of hedges to offset interest rate changes on unrealized gains or losses for certain investments; integration/restructuring charges; the impact of consolidating certain investment entities; and discontinued operations in the numerator, and Ameriprise Financial shareholders' equity excluding AOCI and the impact of consolidating investment entities using a five-point average of quarter-end equity in the denominator. After-tax is calculated using the statutory tax rate of 21%.
41 Reconciliation Tables
Mix Shift ($ in millions) Full Year Full Year TTM 2012 2016 6/30/2020 Advice & Wealth Management pretax adjusted operating earnings $ 434 $ 910 $ 1,432 Less: Unlocking - - - Pretax adjusted operating earnings excluding unlocking $ 434 $ 910 $ 1,432
Asset Management pretax adjusted operating earnings $ 535 $ 621 $ 649 Less: Unlocking - - - Pretax adjusted operating earnings excluding unlocking $ 535 $ 621 $ 649
Annuities and Protection pretax adjusted operating earnings 874 619 754 Less: Unlocking (73) (198) (12) Pretax adjusted operating earnings excluding unlocking $ 947 $ 817 $ 766
Percent pretax adjusted operating earnings from Advice & Wealth Management excluding unlocking 23% 39% 50%
Percent pretax adjusted operating earnings from Asset Management excluding unlocking 28% 26% 23%
Percent pretax adjusted operating earnings from Annuities and Protection excluding unlocking 49% 35% 27%
Excludes Corporate & Other Segment
42