Exhibit



Financial Highlights Unaudited (in millions, except percentages and per share data)
	Quarterly Trends															Δ				Year-to-Date						Δ
	3Q’18			4Q’18			1Q’19			2Q’19			3Q’19			Q/Q		Y/Y		2018			2019			Y/Y
SELECTED INCOME STATEMENT DATA
Net income (loss) available to AHL common shareholders	$	623		$	(104	)	$	708		$	720		$	276		(62	)%	(56	)%	$	1,157		$	1,704		47	%
Adjusted operating income available to common shareholders	371			240			287			370			243			(34	)%	(35	)%	900			900			—	%

FINANCIAL RATIOS
Return on assets (ROA)	2.14		%	(0.34		)%	2.19		%	2.12		%	0.78		%	(134)bps		(136)bps		1.44		%	1.68		%	24bps
Adjusted operating ROA	1.49		%	0.88		%	1.02		%	1.28		%	0.82		%	(46)bps		(67)bps		1.37		%	1.04		%	(33)bps
Net investment spread – Retirement Services	1.78		%	1.43		%	1.36		%	1.68		%	1.13		%	(55)bps		(65)bps		1.82		%	1.38		%	(44)bps
Return on equity (ROE)	28.6		%	(4.8		)%	30.8		%	25.6		%	8.5		%	NM		NM		17.0		%	20.8		%	380bps
Adjusted operating ROE	17.2		%	10.8		%	12.8		%	16.2		%	10.6		%	NM		NM		14.5		%	13.3		%	(120)bps
Adjusted operating ROE – Retirement Services	23.2		%	16.0		%	14.4		%	18.9		%	13.5		%	NM		NM		19.7		%	16.0		%	(370)bps

EARNINGS AND BOOK VALUE PER COMMON SHARE
Earnings per common share – basic¹	$	3.16		$	(0.53	)	$	3.65		$	3.76		$	1.50		(60	)%	(53	)%	$	5.86		$	8.97		53	%
Earnings per common share – diluted class A²	3.15			(0.53		)	3.64			3.75			1.50			(60	)%	(52	)%	5.85			8.95			53	%
Adjusted operating earnings per common share³	1.90			1.23			1.50			1.95			1.34			(31	)%	(29	)%	4.59			4.79			4	%
Book value per common share	45.51			42.45			52.12			66.69			74.20			11	%	63	%	45.51			74.20			63	%
Adjusted book value per common share³	45.53			45.59			47.30			49.50			50.74			3	%	11	%	45.53			50.74			11	%

SELECTED BALANCE SHEET DATA
Total assets	$	118,250		$	125,505		$	132,857		$	138,980		$	144,202		4	%	22	%	$	118,250		$	144,202		22	%
Invested assets	100,596			111,034			113,771			116,671			121,140			4	%	20	%	100,596			121,140			20	%
Total liabilities	109,272			117,229			122,740			126,615			130,657			3	%	20	%	109,272			130,657			20	%
Reserve liabilities	98,553			107,732			111,791			114,680			118,825			4	%	21	%	98,553			118,825			21	%
Debt	991			991			991			991			992			—	%	—	%	991			992			—	%
Total shareholders’ equity	8,978			8,276			10,117			12,365			13,545			10	%	51	%	8,978			13,545			51	%
Adjusted common shareholders’ equity	8,976			8,823			9,102			9,127			9,204			1	%	3	%	8,976			9,204			3	%

DEPOSITS
Retail	$	2,200		$	2,018		$	1,816		$	1,909		$	1,921		1	%	(13	)%	$	5,524		$	5,646		2	%
Flow reinsurance	610			1,136			1,020			1,125			609			(46	)%	—	%	1,287			2,754			114	%
Funding agreements	—			225			—			299			503			68	%	100	%	425			802			89	%
Pension risk transfer	476			1,785			1,923			706			2,604			269	%	NM		796			5,233			NM
Total organic deposits	3,286			5,164			4,759			4,039			5,637			40	%	72	%	8,032			14,435			80	%
Inorganic deposits	—			7,878			—			—			—			—	%	—	%	19,104			—			(100	)%
Total deposits	$	3,286		$	13,042		$	4,759		$	4,039		$	5,637		40	%	72	%	$	27,136		$	14,435		(47	)%

Note: “NM” represents changes that are not meaningful. Please refer to Notes to the Financial Supplement section and the Non-GAAP Measure Reconciliations for discussion on adjusted operating income available to common shareholders, adjusted operating ROE, adjusted operating ROA, net investment spread, adjusted book value per common share, invested assets, reserve liabilities, and adjusted common shareholders’ equity. 1 Basic earnings per common share, including basic weighted average common shares outstanding, includes all classes eligible to participate in dividends for each period presented. 2 Diluted earnings per common share on a GAAP basis for Class A common shares, including diluted Class A weighted average common shares outstanding, includes the dilutive impacts, if any, of Class B common shares, Class M common shares and any other stock-based awards. 3 Represents Class A common shares outstanding or weighted average common shares outstanding assuming conversion or settlement of all outstanding items that are able to be converted to or settled in Class A common shares, including the impacts of Class B common shares, Class M common shares and any other stock-based awards, but excluding any awards for which the exercise or conversion price exceeds the market value of our Class A common shares on the applicable measurement date.



Condensed Consolidated Statements of Income (GAAP view) Unaudited (in millions, except percentages)
	Quarterly Trends															Δ				Year-to-Date						Δ
	3Q’18			4Q’18			1Q’19			2Q’19			3Q’19			Q/Q		Y/Y		2018			2019			Y/Y
REVENUE
Premiums	$	526		$	1,833		$	1,966		$	733		$	2,605		255	%	NM		$	1,535		$	5,304		246	%
Product charges	119			128			125			132			135			2	%	13	%	321			392			22	%
Net investment income	1,070			1,121			1,066			1,161			1,070			(8	)%	—	%	2,883			3,297			14	%
Investment related gains (losses)	816			(1,902		)	1,772			1,316			688			(48	)%	(16	)%	578			3,776			NM
Other-than-temporary impairment investment losses
Other-than-temporary impairment losses	(7		)	(14		)	(2		)	(7		)	(34		)	NM		NM		(10		)	(43		)	NM
Other-than-temporary impairment losses reclassified to (from) other comprehensive income	4			2			1			1			9			NM		125	%	4			11			175	%
Net other-than-temporary impairment losses	(3		)	(12		)	(1		)	(6		)	(25		)	NM		NM		(6		)	(32		)	NM
Other revenues	10			4			12			9			6			(33	)%	(40	)%	22			27			23	%
Revenues related to consolidated variable interest entities
Net investment income	15			17			16			21			20			(5	)%	33	%	39			57			46	%
Investment related gains (losses)	23			(35		)	5			3			2			(33	)%	(91	)%	17			10			(41	)%
Total revenues	$	2,576		$	1,154		$	4,961		$	3,369		$	4,501		34	%	75	%	$	5,389		$	12,831		138	%

BENEFITS AND EXPENSES
Interest sensitive contract benefits	$	742		$	(825	)	$	1,516		$	1,094		$	801		(27	)%	8	%	$	1,115		$	3,411		206	%
Amortization of deferred sales inducements	23			(12		)	5			13			20			54	%	(13	)%	66			38			(42	)%
Future policy and other policy benefits	928			1,994			2,295			1,057			2,872			172	%	209	%	2,193			6,224			184	%
Amortization of deferred acquisition costs and value of business acquired	36			(33		)	231			261			323			24	%	NM		207			815			294	%
Dividends to policyholders	10			5			9			9			12			33	%	20	%	32			30			(6	)%
Policy and other operating expenses	158			172			165			185			194			5	%	23	%	454			544			20	%
Total benefits and expenses	1,897			1,301			4,221			2,619			4,222			61	%	123	%	4,067			11,062			172	%
Income (loss) before income taxes	679			(147		)	740			750			279			(63	)%	(59	)%	1,322			1,769			34	%
Income tax expense (benefit)	56			(43		)	32			30			(14		)	(147	)%	(125	)%	165			48			(71	)%
Net income (loss)	623			(104		)	708			720			293			(59	)%	(53	)%	1,157			1,721			49	%
Less: Preferred stock dividends	—			—			—			—			17			100	%	100	%	—			17			100	%
Net income (loss) available to Athene Holding Ltd. common shareholders	$	623		$	(104	)	$	708		$	720		$	276		(62	)%	(56	)%	$	1,157		$	1,704		47	%



Segment Results of Operations (Management view) Unaudited (in millions, except percentages and per share data)
	Quarterly Trends															Δ				Year-to-Date						Δ
	3Q’18			4Q’18			1Q’19			2Q’19			3Q’19			Q/Q		Y/Y		2018			2019			Y/Y
CONSOLIDATED
Fixed income and other investment income	$	1,036		$	1,142		$	1,154		$	1,175		$	1,168		(1	)%	13	%	$	2,755		$	3,497		27	%
Alternative investment income	90			62			49			170			124			(27	)%	38	%	273			343			26	%
Net investment earnings	1,126			1,204			1,203			1,345			1,292			(4	)%	15	%	3,028			3,840			27	%
Cost of crediting	(453		)	(516		)	(535		)	(547		)	(576		)	(5	)%	(27	)%	(1,143		)	(1,658		)	(45	)%
Other liability costs¹	(221		)	(332		)	(260		)	(295		)	(358		)	(21	)%	(62	)%	(649		)	(913		)	(41	)%
Cost of funds	(674		)	(848		)	(795		)	(842		)	(934		)	(11	)%	(39	)%	(1,792		)	(2,571		)	(43	)%
Operating expenses	(78		)	(82		)	(82		)	(87		)	(79		)	9	%	(1	)%	(221		)	(248		)	(12	)%
Interest expense	(13		)	(12		)	(13		)	(12		)	(12		)	—	%	8	%	(37		)	(37		)	—	%
Pre-tax adjusted operating income	361			262			313			404			267			(34	)%	(26	)%	978			984			1	%
Income tax (expense) benefit – operating	10			(22		)	(26		)	(34		)	(7		)	79	%	(170	)%	(78		)	(67		)	14	%
Adjusted operating income	371			240			287			370			260			(30	)%	(30	)%	900			917			2	%
Preferred stock dividends	—			—			—			—			(17		)	(100	)%	(100	)%	—			(17		)	(100	)%
Adjusted operating income available to common shareholders	$	371		$	240		$	287		$	370		$	243		(34	)%	(35	)%	$	900		$	900		—	%

Adjusted operating earnings per common share	$	1.90		$	1.23		$	1.50		$	1.95		$	1.34		(31	)%	(29	)%	$	4.59		$	4.79		4	%

RETIREMENT SERVICES
Fixed income and other investment income	$	1,021		$	1,132		$	1,151		$	1,170		$	1,159		(1	)%	14	%	$	2,693		$	3,480		29	%
Alternative investment income	87			99			20			151			105			(30	)%	21	%	264			276			5	%
Net investment earnings	1,108			1,231			1,171			1,321			1,264			(4	)%	14	%	2,957			3,756			27	%
Cost of crediting	(453		)	(516		)	(535		)	(547		)	(576		)	(5	)%	(27	)%	(1,143		)	(1,658		)	(45	)%
Other liability costs¹	(221		)	(332		)	(260		)	(295		)	(358		)	(21	)%	(62	)%	(649		)	(913		)	(41	)%
Cost of funds	(674		)	(848		)	(795		)	(842		)	(934		)	(11	)%	(39	)%	(1,792		)	(2,571		)	(43	)%
Operating expenses	(63		)	(65		)	(62		)	(68		)	(67		)	1	%	(6	)%	(177		)	(197		)	(11	)%
Interest expense	(2		)	—			(2		)	(1		)	—			100	%	100	%	(5		)	(3		)	40	%
Pre-tax adjusted operating income	369			318			312			410			263			(36	)%	(29	)%	983			985			—	%
Income tax (expense) benefit – operating	10			(22		)	(26		)	(34		)	(7		)	79	%	(170	)%	(78		)	(67		)	14	%
Adjusted operating income available to common shareholders	$	379		$	296		$	286		$	376		$	256		(32	)%	(32	)%	$	905		$	918		1	%

CORPORATE & OTHER
Fixed income and other investment income	$	15		$	10		$	3		$	5		$	9		80	%	(40	)%	$	62		$	17		(73	)%
Alternative investment income	3			(37		)	29			19			19			—	%	NM		9			67			NM
Net investment earnings	18			(27		)	32			24			28			17	%	56	%	71			84			18	%
Operating expenses	(15		)	(17		)	(20		)	(19		)	(12		)	37	%	20	%	(44		)	(51		)	(16	)%
Interest expense	(11		)	(12		)	(11		)	(11		)	(12		)	(9	)%	(9	)%	(32		)	(34		)	(6	)%
Pre-tax adjusted operating income (loss)	(8		)	(56		)	1			(6		)	4			167	%	150	%	(5		)	(1		)	80	%
Income tax (expense) benefit – operating	—			—			—			—			—			—	%	—	%	—			—			—	%
Adjusted operating income (loss)	(8		)	(56		)	1			(6		)	4			167	%	150	%	(5		)	(1		)	80	%
Preferred stock dividends	—			—			—			—			(17		)	(100	)%	(100	)%	—			(17		)	(100	)%
Adjusted operating income (loss) available to common shareholders	$	(8	)	$	(56	)	$	1		$	(6	)	$	(13	)	(117	)%	(63	)%	$	(5	)	$	(18	)	(260	)%

Note: Please refer to Notes to the Financial Supplement section and the Non-GAAP Measure Reconciliations for discussion on adjusted operating income available to common shareholders and adjusted operating earnings per common share. 1 Other liability costs primarily includes DAC, DSI and VOBA amortization and rider reserve changes for all products, the cost of liabilities on products other than deferred annuities and institutional costs including offsets for premiums, product charges and other revenues.



Reconciliation of Earnings Measures Unaudited (in millions, except percentages and per share data)
	Quarterly Trends															Δ				Year-to-Date						Δ
	3Q’18			4Q’18			1Q’19			2Q’19			3Q’19			Q/Q		Y/Y		2018			2019			Y/Y
RECONCILIATION OF NET INCOME (LOSS) AVAILABLE TO ATHENE HOLDING LTD. COMMON SHAREHOLDERS TO ADJUSTED OPERATING INCOME AVAILABLE TO COMMON SHAREHOLDERS
Net income (loss) available to Athene Holding Ltd. common shareholders	$	623		$	(104	)	$	708		$	720		$	276		(62	)%	(56	)%	$	1,157		$	1,704		47	%
Non-operating adjustments
Realized gains (losses) on sale of AFS securities	5			(20		)	12			41			46			12	%	NM		33			99			200	%
Unrealized, impairments and other investment gains (losses)	6			(40		)	29			10			(31		)	NM		NM		22			8			(64	)%
Change in fair value of reinsurance assets	(95		)	(100		)	616			570			314			(45	)%	NM		(302		)	1,500			NM
Offsets to investment gains (losses)	31			46			(199		)	(204		)	(163		)	20	%	NM		87			(566		)	NM
Investment gains (losses), net of offsets	(53		)	(114		)	458			417			166			(60	)%	NM		(160		)	1,041			NM
Change in fair values of derivatives and embedded derivatives – FIAs, net of offsets	376			(288		)	(27		)	(57		)	(117		)	(105	)%	(131	)%	530			(201		)	(138	)%
Integration, restructuring and other non-operating expenses	(2		)	(4		)	(1		)	(11		)	(34		)	(209	)%	NM		(18		)	(46		)	(156	)%
Stock compensation expense	(3		)	(3		)	(3		)	(3		)	(3		)	—	%	—	%	(8		)	(9		)	(13	)%
Income tax (expense) benefit – non-operating	(66		)	65			(6		)	4			21			NM		132	%	(87		)	19			122	%
Less: Total non-operating adjustments	252			(344		)	421			350			33			(91	)%	(87	)%	257			804			213	%
Adjusted operating income available to common shareholders	$	371		$	240		$	287		$	370		$	243		(34	)%	(35	)%	$	900		$	900		—	%

RECONCILIATION OF BASIC EARNINGS PER CLASS A COMMON SHARES TO ADJUSTED OPERATING EARNINGS PER COMMON SHARE
Basic earnings per share – Class A common shares	$	3.16		$	(0.53	)	$	3.65		$	3.76		$	1.50		(60	)%	(53	)%	$	5.86		$	8.97		53	%
Non-operating adjustments
Realized gains (losses) on sale of AFS securities	0.02			(0.11		)	0.06			0.21			0.25			19	%	NM		0.17			0.52			206	%
Unrealized, impairments and other investment gains (losses)	0.03			(0.20		)	0.16			0.05			(0.17		)	NM		NM		0.11			0.04			(64	)%
Change in fair value of reinsurance assets	(0.49		)	(0.51		)	3.20			3.01			1.72			(43	)%	NM		(1.54		)	7.97			NM
Offsets to investment gains (losses)	0.15			0.23			(1.04		)	(1.07		)	(0.89		)	17	%	NM		0.45			(3.01		)	NM
Investment gains (losses), net of offsets	(0.29		)	(0.59		)	2.38			2.20			0.91			(59	)%	NM		(0.81		)	5.52			NM
Change in fair values of derivatives and embedded derivatives – FIAs, net of offsets	1.91			(1.47		)	(0.14		)	(0.30		)	(0.65		)	(117	)%	(134	)%	2.71			(1.07		)	(139	)%
Integration, restructuring and other non-operating expenses	(0.02		)	(0.02		)	(0.01		)	(0.06		)	(0.18		)	(200	)%	NM		(0.10		)	(0.24		)	(140	)%
Stock compensation expense	(0.01		)	(0.01		)	(0.01		)	(0.02		)	(0.02		)	—	%	(100	)%	(0.04		)	(0.05		)	(25	)%
Income tax (expense) benefit – non-operating	(0.34		)	0.33			(0.03		)	0.02			0.12			NM		135	%	(0.44		)	0.10			123	%
Less: Total non-operating adjustments	1.25			(1.76		)	2.19			1.84			0.18			(90	)%	(86	)%	1.32			4.26			223	%
Effect of items convertible to or settled in Class A common shares	0.01			—			(0.04		)	(0.03		)	(0.02		)	33	%	(300	)%	(0.05		)	(0.08		)	(60	)%
Adjusted operating earnings per common share	$	1.90		$	1.23		$	1.50		$	1.95		$	1.34		(31	)%	(29	)%	$	4.59		$	4.79		4	%

Note: Please refer to Notes to the Financial Supplement section for discussion on adjusted operating income available to common shareholders.



Retirement Services Segment Highlights Unaudited (in millions, except percentages)
	Quarterly Trends															Δ				Year-to-Date						Δ
	3Q’18			4Q’18			1Q’19			2Q’19			3Q’19			Q/Q		Y/Y		2018			2019			Y/Y
NET INVESTMENT SPREAD – RETIREMENT SERVICES
Net investment earned rate	4.55		%	4.57		%	4.21		%	4.63		%	4.31		%	(32)bps		(24)bps		4.63		%	4.38		%	(25)bps
Cost of crediting	1.86		%	1.91		%	1.92		%	1.92		%	1.96		%	4bps		10bps		1.79		%	1.93		%	14bps
Other liability costs	0.91		%	1.23		%	0.93		%	1.03		%	1.22		%	19bps		31bps		1.02		%	1.07		%	5bps
Cost of funds	2.77		%	3.14		%	2.85		%	2.95		%	3.18		%	23bps		41bps		2.81		%	3.00		%	19bps
Net investment spread	1.78		%	1.43		%	1.36		%	1.68		%	1.13		%	(55)bps		(65)bps		1.82		%	1.38		%	(44)bps

Average invested assets	$	97,500		$	107,939		$	111,443		$	114,059		$	117,338		3	%	20	%	$	85,163		$	114,391		34	%

COST OF CREDITING – RETIREMENT SERVICES
FIA option costs	$	235		$	261		$	265		$	265		$	265		—	%	13	%	$	576		$	795		38	%
Fixed interest credited to policyholders	160			182			179			183			188			3	%	18	%	412			550			33	%
Cost of crediting on deferred annuities	395			443			444			448			453			1	%	15	%	988			1,345			36	%
Average account value on deferred annuities	79,673			88,874			89,809			90,675			91,467			1	%	15	%	68,421			90,638			32	%
Cost of crediting on deferred annuities rate	1.98		%	2.00		%	1.98		%	1.98		%	1.98		%	0bps		0bps		1.93		%	1.98		%	5bps

Cost of crediting on institutional products	$	58		$	73		$	91		$	99		$	123		24	%	112	%	$	155		$	313		102	%
Average institutional reserve liabilities	6,608			7,827			9,809			10,470			13,320			27	%	102	%	6,301			11,200			78	%
Cost of crediting on institutional products rate	3.54		%	3.74		%	3.69		%	3.76		%	3.68		%	(8)bps		14bps		3.29		%	3.71		%	42bps

Cost of crediting	$	453		$	516		$	535		$	547		$	576		5	%	27	%	$	1,143		$	1,658		45	%

OTHER LIABILITY COSTS – RETIREMENT SERVICES
Change in rider reserve	$	248		$	173		$	154		$	138		$	114		(17	)%	(54	)%	$	442		$	406		(8	)%
DAC, DSI and VOBA amortization	(44		)	130			91			125			226			81	%	NM		142			442			211	%
Other¹	17			29			15			32			18			(44	)%	6	%	65			65			—	%
Other liability costs	$	221		$	332		$	260		$	295		$	358		21	%	62	%	$	649		$	913		41	%

INVESTMENT MARGIN ON DEFERRED ANNUITIES – RETIREMENT SERVICES
Net investment earned rate	4.55		%	4.57		%	4.21		%	4.63		%	4.31		%	(32)bps		(24)bps		4.63		%	4.38		%	(25)bps
Cost of crediting on deferred annuities	1.98		%	2.00		%	1.98		%	1.98		%	1.98		%	0bps		0bps		1.93		%	1.98		%	5bps
Investment margin on deferred annuities	2.57		%	2.57		%	2.23		%	2.65		%	2.33		%	(32)bps		(24)bps		2.70		%	2.40		%	(30)bps

Note: Please refer to Notes to the Financial Supplement section and the Non-GAAP Reconciliations for discussion on net investment spread, investment margin on deferred annuities, net investment earned rate, cost of crediting on deferred annuities and other liability costs. 1 Other primarily includes payout annuities, policy maintenance costs, reinsurance expense allowances, excise taxes and non-deferred acquisition costs, net of product charges.



Condensed Consolidated Balance Sheets Unaudited (in millions, except percentages)
	December 31, 2018		September 30, 2019		Δ
ASSETS
Investments
Available-for-sale securities, at fair value	$	59,265	$	70,903	20	%
Trading securities, at fair value	1,949		2,411		24	%
Equity securities, at fair value	216		359		66	%
Mortgage loans, net of allowances	10,340		13,465		30	%
Investment funds	703		712		1	%
Policy loans	488		466		(5	)%
Funds withheld at interest	15,023		15,280		2	%
Derivative assets	1,043		2,386		129	%
Short-term investments, at fair value	191		571		199	%
Other investments	122		130		7	%
Total investments	89,340		106,683		19	%
Cash and cash equivalents	2,911		3,833		32	%
Restricted cash	492		199		(60	)%
Investments in related parties
Available-for-sale securities, at fair value	1,437		2,368		65	%
Trading securities, at fair value	249		306		23	%
Equity securities, at fair value	120		381		218	%
Mortgage loans	291		653		124	%
Investment funds	2,232		2,763		24	%
Funds withheld at interest	13,577		13,560		—	%
Other investments	386		387		—	%
Accrued investment income	682		781		15	%
Reinsurance recoverable	5,534		5,697		3	%
Deferred acquisition costs, deferred sales inducements and value of business acquired	5,907		4,960		(16	)%
Other assets	1,635		970		(41	)%
Assets of consolidated variable interest entities
Investments
Trading securities, at fair value	35		19		(46	)%
Equity securities, at fair value – related party	50		6		(88	)%
Investment funds	624		619		(1	)%
Cash and cash equivalents	2		3		50	%
Other assets	1		14		NM
Total assets	$	125,505	$	144,202	15	%



Condensed Consolidated Balance Sheets, continued Unaudited (in millions, except percentages)
	December 31, 2018			September 30, 2019		Δ
LIABILITIES
Interest sensitive contract liabilities	$	96,610		$	101,666	5	%
Future policy benefits	16,704			22,909		37	%
Other policy claims and benefits	142			129		(9	)%
Dividends payable to policyholders	118			115		(3	)%
Long-term debt	991			992		—	%
Derivative liabilities	85			46		(46	)%
Payables for collateral on derivatives	969			2,323		140	%
Funds withheld liability	721			768		7	%
Other liabilities	888			1,708		92	%
Liabilities of consolidated variable interest entities	1			1		—	%
Total liabilities	$	117,229		$	130,657	11	%

EQUITY
Preferred stock	$	—		$	—	—	%
Common stock	—			—		—	%
Additional paid-in-capital	3,462			4,435		28	%
Retained earnings	5,286			6,668		26	%
Accumulated other comprehensive income (loss)	(472		)	2,442		NM
Total shareholders’ equity	8,276			13,545		64	%
Total liabilities and equity	$	125,505		$	144,202	15	%



Investments (GAAP view) Unaudited (in millions, except percentages)
	December 31, 2018				September 30, 2019
	Carrying Value		Percent of Total		Carrying Value		Percent of Total
INVESTMENTS AND INVESTMENTS IN RELATED PARTIES SUMMARY
Investments
Available-for-sale securities, at fair value
U.S. government and agencies	$	57	0.1	%	$	37	0.0	%
U.S. state, municipal and political subdivisions	1,293		1.2	%	1,492		1.2	%
Foreign governments	161		0.1	%	328		0.3	%
Corporate	37,097		34.4	%	47,045		37.0	%
CLO	5,361		5.0	%	6,871		5.4	%
ABS	4,920		4.6	%	5,111		4.0	%
CMBS	2,357		2.2	%	2,765		2.2	%
RMBS	8,019		7.5	%	7,254		5.7	%
Total available-for-sale securities, at fair value	59,265		55.1	%	70,903		55.8	%
Trading securities, at fair value	1,949		1.8	%	2,411		1.9	%
Equity securities, at fair value	216		0.2	%	359		0.3	%
Mortgage loans, net of allowances	10,340		9.6	%	13,465		10.6	%
Investment funds	703		0.6	%	712		0.5	%
Policy loans	488		0.4	%	466		0.4	%
Funds withheld at interest	15,023		14.0	%	15,280		12.0	%
Derivative assets	1,043		1.0	%	2,386		1.9	%
Short-term investments, at fair value	191		0.2	%	571		0.4	%
Other investments	122		0.1	%	130		0.1	%
Total investments	89,340		83.0	%	106,683		83.9	%
Investment in related parties
Available-for-sale securities, at fair value	1,437		1.3	%	2,368		1.9	%
Trading securities, at fair value	249		0.2	%	306		0.2	%
Equity securities, at fair value	120		0.1	%	381		0.3	%
Mortgage loans	291		0.3	%	653		0.5	%
Investment funds	2,232		2.1	%	2,763		2.2	%
Funds withheld at interest	13,577		12.6	%	13,560		10.7	%
Other investments	386		0.4	%	387		0.3	%
Total investments in related parties	18,292		17.0	%	20,418		16.1	%
Total investments including related parties	$	107,632	100.0	%	$	127,101	100.0	%



Invested Assets (Management view) Unaudited (in millions, except percentages)
	December 31, 2018				September 30, 2019
	Invested Asset Value¹		Percent of Total		Invested Asset Value¹		Percent of Total
INVESTED ASSETS
Corporate	$	55,772	50.2	%	$	59,310	49.0	%
CLO	8,275		7.5	%	10,234		8.4	%
Credit	64,047		57.7	%	69,544		57.4	%
RMBS	9,814		8.9	%	8,537		7.0	%
Mortgage loans	14,423		13.0	%	18,514		15.3	%
CMBS	3,018		2.7	%	3,383		2.8	%
Real estate	27,255		24.6	%	30,434		25.1	%
ABS	7,706		6.9	%	8,935		7.4	%
Alternative investments	4,492		4.1	%	5,522		4.6	%
State, municipal, political subdivisions and foreign government	2,122		1.9	%	2,267		1.9	%
Equity securities	467		0.4	%	515		0.4	%
Short-term investments	765		0.7	%	623		0.5	%
U.S. government and agencies	134		0.1	%	53		0.0	%
Other investments	15,686		14.1	%	17,915		14.8	%
Cash and equivalents	2,881		2.6	%	2,041		1.7	%
Policy loans and other	1,165		1.0	%	1,206		1.0	%
Total invested assets	$	111,034	100.0	%	$	121,140	100.0	%

1 Please refer to Notes to the Financial Supplement for discussion on invested assets including alternative investments and Non-GAAP Measure Reconciliations for the reconciliation of investments including related parties to invested assets.



Investment Funds (GAAP view) Unaudited (in millions, except percentages)
	December 31, 2018				September 30, 2019
	Carrying Value		Percent of Total		Carrying Value		Percent of Total
INVESTMENT FUNDS INCLUDING RELATED PARTIES¹
Investment funds
Real estate	$	215	6.0	%	$	254	6.2	%
Credit funds	172		4.8	%	161		3.9	%
Private equity	253		7.1	%	231		5.7	%
Real assets	56		1.6	%	65		1.6	%
Natural resources	4		0.1	%	1		0.0	%
Other	3		0.1	%	—		—	%
Total investment funds	703		19.7	%	712		17.4	%
Investment funds – related parties
Differentiated investments
AmeriHome	463		13.0	%	469		11.5	%
Catalina	233		6.5	%	270		6.6	%
Athora	105		3.0	%	127		3.1	%
Venerable	92		2.6	%	94		2.3	%
Other	196		5.5	%	218		5.3	%
Total differentiated investments	1,089		30.6	%	1,178		28.8	%
Real estate	497		14.0	%	721		17.6	%
Credit funds	316		8.9	%	378		9.2	%
Private equity	18		0.5	%	69		1.7	%
Real assets	145		4.1	%	155		3.8	%
Natural resources	104		2.9	%	162		4.0	%
Public equities	63		1.8	%	100		2.4	%
Total investment funds – related parties	2,232		62.8	%	2,763		67.5	%
Investment funds – assets of consolidated VIEs
MidCap	553		15.5	%	556		13.6	%
Real estate	30		0.8	%	44		1.1	%
Real assets	41		1.2	%	19		0.4	%
Total investment funds – assets of consolidated VIEs	624		17.5	%	619		15.1	%
Total investment funds including related parties and funds owned by consolidated VIEs	$	3,559	100.0	%	$	4,094	100.0	%

1 Investment funds, including related parties and investment funds of consolidated VIE’s, is the GAAP measure which does not include investments that we view as alternative investments. Alternative investments include CLO equity tranche securities that are included in trading securities in the GAAP view, a nonredeemable preferred stock viewed as an alternative investment for management view but included in equity securities for GAAP view, investment funds included in our funds withheld at interest reinsurance portfolios, net assets of VIEs other than investment funds as well as royalties and other investments. Please refer to Notes to the Financial Supplement section for discussion on invested assets including alternative investments and the Non-GAAP Measure Reconciliations section for the reconciliation of investment funds to alternative investments.



Alternative Investments (Management view) Unaudited (in millions, except percentages)
	December 31, 2018				September 30, 2019
	Invested Asset Value¹		Percent of Total		Invested Asset Value¹		Percent of Total
ALTERNATIVE INVESTMENTS
Retirement Services
Differentiated investments
AmeriHome	$	568	12.6	%	$	574	10.4	%
MidCap	553		12.3	%	556		10.1	%
Catalina	232		5.2	%	270		4.9	%
Venerable	92		2.1	%	94		1.7	%
Other	229		5.1	%	210		3.8	%
Total differentiated investments	1,674		37.3	%	1,704		30.9	%
Real estate	1,015		22.6	%	1,311		23.7	%
Credit	537		11.9	%	1,118		20.3	%
Private equity	279		6.2	%	326		5.9	%
Real assets	276		6.2	%	311		5.6	%
Natural resources	55		1.2	%	62		1.1	%
Other	4		0.1	%	47		0.9	%
Total Retirement Services	3,840		85.5	%	4,879		88.4	%
Corporate & Other
Athora	130		2.9	%	138		2.5	%
Credit	203		4.5	%	138		2.5	%
Natural resources	213		4.8	%	266		4.8	%
Public equities²	100		2.2	%	101		1.8	%
Other	6		0.1	%	—		—	%
Total Corporate & Other	652		14.5	%	643		11.6	%
Total alternative investments¹	$	4,492	100.0	%	$	5,522	100.0	%

1 Alternative investments does not correspond to the total investment funds, including related parties and VIEs, on our condensed consolidated balance sheets. Alternative investments adjusts the GAAP presentation to include CLO equity tranche securities that are included in trading securities in the GAAP view, a nonredeemable preferred stock viewed as an alternative investment for management view but included in equity securities for GAAP view, investment funds included in our funds withheld at interest reinsurance portfolios, net assets of VIEs other than investment funds, as well as royalties and other investments. Please refer to Notes to the Financial Supplement section for discussion on invested assets including alternative investments and the Non-GAAP Measure Reconciliations section for the reconciliation of investment funds, including related parties and VIEs to alternative investments.
2 Public Equities include: OneMain Financial (OMF) - 2.8 million and 2.8 million of shares, respectively, as of September 30, 2019 and December 31, 2018; Caesars Entertainment (Ticker: CZR) - 0.0 million and 5.5 million of shares as of September 30, 2019 and December 31, 2018.



Funds Withheld at Interest (GAAP view) Unaudited (in millions, except percentages)
	December 31, 2018					September 30, 2019
	Carrying Value			Percent of Total		Carrying Value			Percent of Total
FUNDS WITHHELD AT INTEREST INCLUDING RELATED PARTIES
Fixed maturity securities
U.S. government and agencies	$	77		0.3	%	$	17		0.1	%
U.S. state, municipal and political subdivisions	563			2.0	%	488			1.7	%
Foreign governments	145			0.5	%	179			0.6	%
Corporate	16,267			56.9	%	15,143			52.5	%
CLO	1,990			7.0	%	2,470			8.6	%
ABS	1,601			5.6	%	2,142			7.4	%
CMBS	575			2.0	%	749			2.6	%
RMBS	1,876			6.6	%	1,619			5.6	%
Total fixed maturity securities	23,094			80.9	%	22,807			79.1	%
Equity securities	66			0.2	%	230			0.8	%
Mortgage loans	3,815			13.3	%	4,508			15.6	%
Investment funds	660			2.3	%	745			2.6	%
Derivative assets	77			0.3	%	188			0.6	%
Short-term investments	641			2.2	%	107			0.4	%
Cash and cash equivalents	455			1.6	%	405			1.4	%
Other assets and liabilities	(208		)	(0.8	)%	(150		)	(0.5	)%
Total funds withheld at interest including related parties¹	$	28,600		100.0	%	$	28,840		100.0	%

1 Funds withheld at interest represents a receivable for amounts contractually withheld by ceding companies in accordance with modco and funds withheld reinsurance agreements in which we act as the reinsurer. In managing our business we utilize invested assets, where we adjust the presentation for funds withheld and modco transactions to include or exclude the underlying investments based upon the contractual transfer of economic exposure to such underlying investments.



Net Investment Earned Rates (NIER) Unaudited (In millions, except percentages)
	Quarterly Trends															Δ				Year-to-Date						Δ
	3Q’18			4Q’18			1Q’19			2Q’19			3Q’19			Q/Q		Y/Y		2018			2019			Y/Y
NIER – CONSOLIDATED
Fixed income and other investments	4.33		%	4.35		%	4.28		%	4.26		%	4.11		%	(15)bps		(22)bps		4.38		%	4.21		%	(17)bps
Alternative investments	9.13		%	5.81		%	4.36		%	14.13		%	9.26		%	(487)bps		13bps		9.57		%	9.30		%	(27)bps
Total net investment earned rate	4.52		%	4.40		%	4.28		%	4.67		%	4.35		%	(32)bps		(17)bps		4.61		%	4.43		%	(18)bps

NIER SUMMARY – RETIREMENT SERVICES
Fixed income and other investments	4.33		%	4.35		%	4.28		%	4.26		%	4.11		%	(15)bps		(22)bps		4.38		%	4.21		%	(17)bps
Alternative investments	10.65		%	11.00		%	2.13		%	14.46		%	8.90		%	(556)bps		(175)bps		11.30		%	8.63		%	(267)bps
Total net investment earned rate	4.55		%	4.57		%	4.21		%	4.63		%	4.31		%	(32)bps		(24)bps		4.63		%	4.38		%	(25)bps

Fixed income and other investment income	$	1,021		$	1,132		$	1,151		$	1,170		$	1,159		(1	)%	14	%	$	2,693		$	3,480		29	%
Alternatives investment income	87			99			20			151			105			(30	)%	21	%	264			276			5	%
Total net investment earnings	$	1,108		$	1,231		$	1,171		$	1,321		$	1,264		(4	)%	14	%	$	2,957		$	3,756		27	%

Fixed income and other investments	$	94,227		$	104,342		$	107,641		$	109,888		$	112,611		2	%	20	%	$	82,050		$	110,126		34	%
Alternatives investments	3,273			3,597			3,802			4,171			4,727			13	%	44	%	3,113			4,265			37	%
Total average invested assets	$	97,500		$	107,939		$	111,443		$	114,059		$	117,338		3	%	20	%	$	85,163		$	114,391		34	%

NIER SUMMARY – CORPORATE & OTHER
Fixed income and other investments	4.33		%	4.34		%	4.28		%	4.26		%	4.12		%	(14)bps		(21)bps		4.68		%	3.99		%	(69)bps
Alternative investments	1.81		%	(22.46		)%	17.66		%	11.96		%	11.95		%	(1)bps		1,014bps		1.74		%	13.79		%	1,205bps
Total net investment earned rate	3.51		%	(7.57		)%	13.19		%	8.39		%	7.28		%	(111)bps		377bps		3.86		%	8.92		%	506bps

Fixed income and other investment income	$	15		$	10		$	3		$	5		$	9		80	%	(40	)%	$	62		$	17		(73	)%
Alternatives investment income	3			(37		)	29			19			19			—	%	NM		9			67			NM
Total net investment earnings	$	18		$	(27	)	$	32		$	24		$	28		17	%	56	%	$	71		$	84		18	%

Fixed income and other investments	$	1,422		$	824		$	320		$	539		$	935		73	%	(34	)%	$	1,785		$	627		(65	)%
Alternatives investments	681			660			639			623			632			1	%	(7	)%	688			635			(8	)%
Total average invested assets	$	2,103		$	1,484		$	959		$	1,162		$	1,567		35	%	(25	)%	$	2,473		$	1,262		(49	)%

Note: Please refer to Notes to the Financial Supplement section and the Non-GAAP Measure Reconciliations for discussion on net investment earned rate. The investment results above are presented net of investment management fees.



Net Investment Earned Rates (NIER), continued Unaudited (in millions, except percentages)
	Quarterly Trends										Δ		Year-to-Date				Δ
	3Q’18		4Q’18		1Q’19		2Q’19¹		3Q’19		Q/Q	Y/Y	2018		2019		Y/Y
NIER BY ASSET CLASS
Corporate securities	3.88	%	3.99	%	3.93	%	4.12	%	3.94	%	(18)bps	6bps	3.93	%	3.99	%	6bps
Structured securities
RMBS	6.04	%	6.03	%	6.03	%	5.07	%	4.39	%	(68)bps	(165)bps	5.78	%	5.21	%	(57)bps
CLO	4.95	%	4.69	%	4.76	%	4.73	%	4.57	%	(16)bps	(38)bps	5.03	%	4.69	%	(34)bps
ABS	4.59	%	4.55	%	3.95	%	4.34	%	4.14	%	(20)bps	(45)bps	4.58	%	4.15	%	(43)bps
CMBS	4.24	%	4.18	%	4.16	%	3.93	%	3.96	%	3bps	(28)bps	4.33	%	4.02	%	(31)bps
Total structured securities	5.19	%	5.07	%	4.90	%	4.64	%	4.33	%	(31)bps	(86)bps	5.15	%	4.63	%	(52)bps
State, municipal, political subdivisions and U.S. and foreign government	4.02	%	4.19	%	4.27	%	3.80	%	3.88	%	8bps	(14)bps	4.40	%	4.00	%	(40)bps
Mortgage loans	4.97	%	4.99	%	4.91	%	4.54	%	4.66	%	12bps	(31)bps	5.24	%	4.67	%	(57)bps
Alternative investments	9.13	%	5.81	%	4.36	%	14.13	%	9.26	%	(487)bps	13bps	9.57	%	9.30	%	(27)bps
Other U.S. and Bermuda invested assets	2.55	%	2.45	%	2.70	%	2.84	%	2.94	%	10bps	39bps	2.31	%	2.85	%	54bps
Consolidated net investment earned rate	4.52	%	4.40	%	4.28	%	4.67	%	4.35	%	(32)bps	(17)bps	4.61	%	4.43	%	(18)bps

Note: Please refer to Notes to the Financial Supplement section and the Non-GAAP Measure Reconciliations for discussion on net investment earned rate. The investment results above are presented net of investment management fees. 1 In the second quarter of 2019, we implemented a new management fee structure which changed the allocation of fees by asset class. Although the implementation of the new management fee structure had impacts on the allocation of fees by asset class, on a consolidated basis the impact was immaterial.



Credit Quality of Securities Unaudited (in millions, except percentages)
	December 31, 2018				September 30, 2019
CREDIT QUALITY OF AFS SECURITIES (GAAP VIEW)	Fair Value		Percent of Total		Fair Value		Percent of Total
NAIC designation
1	$	31,311	51.6	%	$	37,451	51.1	%
2	25,871		42.6	%	32,125		43.8	%
Total investment grade	57,182		94.2	%	69,576		94.9	%
3	2,746		4.5	%	2,845		3.9	%
4	533		0.9	%	709		1.0	%
5	232		0.4	%	124		0.2	%
6	9		0.0	%	17		0.0	%
Total below investment grade	3,520		5.8	%	3,695		5.1	%
Total AFS securities including related parties	$	60,702	100.0	%	$	73,271	100.0	%

NRSRO designation
AAA/AA/A	$	19,690	32.4	%	$	26,726	36.5	%
BBB	23,326		38.4	%	28,818		39.3	%
Non-rated¹	9,624		15.9	%	9,898		13.5	%
Total investment grade²	52,640		86.7	%	65,442		89.3	%
BB	2,670		4.4	%	3,126		4.3	%
B	875		1.4	%	887		1.2	%
CCC	2,340		3.9	%	2,083		2.8	%
CC and lower	1,296		2.1	%	1,171		1.6	%
Non-rated¹	881		1.5	%	562		0.8	%
Total below investment grade	8,062		13.3	%	7,829		10.7	%
Total AFS securities including related parties	$	60,702	100.0	%	$	73,271	100.0	%

	Invested Asset Value³		% NAIC 1 or 2		Invested Asset Value³		% NAIC 1 or 2
SUMMARY OF NAIC 1 & 2 DESIGNATIONS BY ASSET CLASS (MANAGEMENT VIEW)
Corporate securities	$	52,496	93.8	%	$	55,512	93.6	%
RMBS	9,410		96.0	%	8,161		95.6	%
CLO	7,823		94.5	%	10,061		98.3	%
ABS	7,146		92.8	%	8,160		91.3	%
CMBS	2,797		92.7	%	3,253		96.2	%
Total structured securities	27,176		94.3	%	29,635		95.3	%
State, municipal, political subdivisions and U.S. and foreign government	2,233		99.0	%	2,302		99.2	%
Short-term investments	775		100.0	%	593		95.2	%
Total NAIC 1 & 2 Designations	$	82,680			$	88,042

1 Securities denoted as non-rated by the NRSRO were classified as investment or non-investment grade according to the security’s respective NAIC designation. With respect to loan-backed and structured securities, the NAIC designation methodology differs in significant respects from the NRSRO rating methodology. 2 We view the NAIC designation methodology as the most appropriate way to view our AFS portfolio when evaluating credit risk since a large portion of our holdings were purchased at a significant discount to par. With respect to loan-backed and structured securities, the NAIC designation methodology differs in significant respects from the NRSRO rating methodology. NRSRO ratings methodology is focused on the likelihood of recovery of all contractual payments, including principal at par regardless of entry price, while the NAIC designation methodology considers our investment at amortized cost, and the likelihood of recovery of that book value as opposed to the likelihood of the recovery of all contractual payments. 3 Please refer to Notes to the Financial Supplement section for discussion on invested assets and Non-GAAP Measure Reconciliations section for the reconciliation of total investments including related parties to invested assets.



Credit Quality of Invested Assets (Management view) Unaudited (In millions, except percentages)
	December 31, 2018				September 30, 2019					December 31, 2018				September 30, 2019
	Inv. Asset Value¹		% of Total		Inv. Asset Value¹		% of Total			Inv. Asset Value¹		% of Total		Inv. Asset Value¹		% of Total
CREDIT QUALITY OF INVESTED ASSETS									CREDIT QUALITY OF INVESTED ASSETS
NAIC designation									NRSRO designation
1	$	45,287	51.7	%	$	46,916	50.2	%	AAA/AA/A	$	30,630	35.0	%	$	34,080	36.5	%
2	37,393		42.7	%	41,126		44.1	%	BBB	33,289		38.0	%	36,347		38.9	%
Non-rated³	—		—	%	—		—	%	Non-rated³	13,522		15.4	%	13,040		14.0	%
Total investment grade	82,680		94.4	%	88,042		94.3	%	Total investment grade	77,441		88.4	%	83,467		89.4	%
3	3,659		4.2	%	3,818		4.1	%	BB	3,587		4.1	%	3,934		4.2	%
4	930		1.1	%	1,133		1.2	%	B	1,316		1.5	%	1,365		1.5	%
5	315		0.3	%	315		0.4	%	CCC	2,610		3.0	%	2,317		2.5	%
6	22		0.0	%	34		0.0	%	CC and lower	1,412		1.6	%	1,251		1.3	%
Non-rated³	—		—	%	—		—	%	Non-rated³	1,240		1.4	%	1,008		1.1	%
Total below investment grade	4,926		5.6	%	5,300		5.7	%	Total below investment grade	10,165		11.6	%	9,875		10.6	%
Total NAIC designated assets²	87,606		100.0	%	93,342		100.0	%	Total NRSRO designated assets²	87,606		100.0	%	93,342		100.0	%

Assets without NAIC designation									Assets without NRSRO designation
Commercial mortgage loans									Commercial mortgage loans
CM1	4,276		39.3	%	4,061		29.1	%	CM1	4,276		39.3	%	4,061		29.1	%
CM2	4,184		38.4	%	5,844		41.8	%	CM2	4,184		38.4	%	5,844		41.8	%
CM3	1,894		17.4	%	3,633		26.0	%	CM3	1,894		17.4	%	3,633		26.0	%
CM4	393		3.6	%	393		2.8	%	CM4	393		3.6	%	393		2.8	%
CM5	138		1.3	%	40		0.3	%	CM5	138		1.3	%	40		0.3	%
CM6	—		—	%	—		—	%	CM6	—		—	%	—		—	%
CM7	—		—	%	—		—	%	CM7	—		—	%	—		—	%
Total CMLs	10,885		100.0	%	13,971		100.0	%	Total CMLs	10,885		100.0	%	13,971		100.0	%
Residential mortgage loans									Residential mortgage loans
In good standing	3,490		98.7	%	4,479		98.6	%	In good standing	3,490		98.7	%	4,479		98.6	%
90 days late	33		0.9	%	34		0.7	%	90 days late	33		0.9	%	34		0.7	%
In foreclosure	15		0.4	%	30		0.7	%	In foreclosure	15		0.4	%	30		0.7	%
Total RMLs	3,538		100.0	%	4,543		100.0	%	Total RMLs	3,538		100.0	%	4,543		100.0	%
Alternative investments	4,492				5,522				Alternative investments	4,492				5,522
Cash and equivalents	2,881				2,041				Cash and equivalents	2,881				2,041
Equity securities	467				515				Equity securities	467				515
Other⁴	1,165				1,206				Other⁴	1,165				1,206
Total invested assets	$	111,034			$	121,140			Total invested assets	$	111,034			$	121,140

1 Please refer to Notes to the Financial Supplement section for discussion on invested assets and Non-GAAP Measure Reconciliations section for the reconciliation of total investments including related parties to invested assets. 2 NAIC and NRSRO designations include corporates, CLO, RMBS, CMBS, ABS, state, municipal, political subdivisions and foreign government securities, short-term investments and U.S. government and agencies securities. 3 Securities denoted as non-rated by the NRSRO were classified as investment or non-investment grade according to the security’s respective NAIC designation. With respect to loan-backed and structured securities, the NAIC designation methodology differs in significant respects from the NRSRO rating methodology. 4 Other includes policy loans, accrued interest, and other invested assets.



Credit Quality of Invested Assets – RMBS, CLOs, ABS (Management view) Unaudited (In millions, except percentages)
	December 31, 2018				September 30, 2019					December 31, 2018				September 30, 2019
	Inv. Asset Value¹		% of Total		Inv. Asset Value¹		% of Total			Inv. Asset Value¹		% of Total		Inv. Asset Value¹		% of Total
CREDIT QUALITY OF RMBS – NAIC DESIGNATION									CREDIT QUALITY OF RMBS – NRSRO DESIGNATION
1	$	9,097	92.8	%	$	7,813	91.5	%	AAA/AA/A	$	1,129	11.5	%	$	829	9.7	%
2	313		3.2	%	348		4.1	%	BBB	314		3.2	%	442		5.2	%
Non-rated²	—		—	%	—		—	%	Non-rated²	3,337		34.0	%	2,983		34.9	%
Total investment grade	9,410		96.0	%	8,161		95.6	%	Total investment grade	4,780		48.7	%	4,254		49.8	%
3	248		2.5	%	190		2.2	%	BB	507		5.1	%	343		4.0	%
4	112		1.1	%	146		1.7	%	B	372		3.8	%	295		3.5	%
5	28		0.3	%	24		0.3	%	CCC	2,521		25.7	%	2,221		26.0	%
6	16		0.1	%	16		0.2	%	CC and lower	1,410		14.4	%	1,236		14.5	%
Non-rated²	—		—	%	—		—	%	Non-rated²	224		2.3	%	188		2.2	%
Total below investment grade	404		4.0	%	376		4.4	%	Total below investment grade	5,034		51.3	%	4,283		50.2	%
Total invested assets RMBS	$	9,814	100.0	%	$	8,537	100.0	%	Total invested assets RMBS	$	9,814	100.0	%	$	8,537	100.0	%

CREDIT QUALITY OF CLOs – NAIC DESIGNATION									CREDIT QUALITY OF CLOs – NRSRO DESIGNATION
1	$	4,666	56.4	%	$	5,761	56.3	%	AAA/AA/A	$	4,530	54.7	%	$	5,695	55.7	%
2	3,157		38.1	%	4,300		42.0	%	BBB	3,555		43.0	%	4,312		42.1	%
Non-rated²	—		—	%	—		—	%	Non-rated²	—		—	%	54		0.5	%
Total investment grade	7,823		94.5	%	10,061		98.3	%	Total investment grade	8,085		97.7	%	10,061		98.3	%
3	423		5.1	%	144		1.4	%	BB	161		1.9	%	144		1.4	%
4	22		0.3	%	22		0.2	%	B	29		0.4	%	22		0.2	%
5	7		0.1	%	7		0.1	%	CCC	—		—	%	7		0.1	%
6	—		—	%	—		—	%	CC and lower	—		—	%	—		—	%
Total below investment grade	452		5.5	%	173		1.7	%	Total below investment grade	190		2.3	%	173		1.7	%
Total invested assets CLOs	$	8,275	100.0	%	$	10,234	100.0	%	Total invested assets CLOs	$	8,275	100.0	%	$	10,234	100.0	%

CREDIT QUALITY OF ABS – NAIC DESIGNATION									CREDIT QUALITY OF ABS – NRSRO DESIGNATION
1	$	4,720	61.3	%	$	5,280	59.1	%	AAA/AA/A	$	3,319	43.1	%	$	4,265	47.7	%
2	2,426		31.5	%	2,880		32.2	%	BBB	1,948		25.3	%	2,165		24.2	%
Non-rated²	—		—	%	—		—	%	Non-rated²	1,661		21.5	%	1,729		19.4	%
Total investment grade	7,146		92.8	%	8,160		91.3	%	Total investment grade	6,928		89.9	%	8,159		91.3	%
3	369		4.8	%	499		5.6	%	BB	436		5.7	%	475		5.3	%
4	43		0.5	%	133		1.5	%	B	89		1.1	%	102		1.2	%
5	148		1.9	%	143		1.6	%	CCC	—		—	%	—		—	%
6	—		—	%	—		—	%	CC and lower	—		—	%	—		—	%
Non-rated²	—		—	%	—		—	%	Non-rated²	253		3.3	%	199		2.2	%
Total below investment grade	560		7.2	%	775		8.7	%	Total below investment grade	778		10.1	%	776		8.7	%
Total invested assets ABS	$	7,706	100.0	%	$	8,935	100.0	%	Total invested assets ABS	$	7,706	100.0	%	$	8,935	100.0	%

1 Please refer to Notes to the Financial Supplement section for discussion on invested assets and Non-GAAP Measure Reconciliations section for the reconciliation of total investments including related parties to invested assets. 2 Securities denoted as non-rated by the NRSRO were classified as investment or non-investment grade according to the security’s respective NAIC designation. With respect to loan-backed and structured securities, the NAIC designation methodology differs in significant respects from the NRSRO rating methodology.



Reserve Liabilities & Rollforwards Unaudited (in millions, except percentages)
	December 31, 2018				September 30, 2019
	Dollars		Percent of Total		Dollars		Percent of Total
RESERVE LIABILITIES
Fixed indexed annuities	$	73,224	68.0	%	$	77,065	64.8	%
Fixed rate annuities	17,802		16.5	%	18,960		16.0	%
Total deferred annuities	91,026		84.5	%	96,025		80.8	%
Pension risk transfer annuities	4,710		4.4	%	9,755		8.2	%
Payout annuities	6,009		5.6	%	6,217		5.2	%
Funding agreements	3,826		3.5	%	4,616		3.9	%
Life and other	2,161		2.0	%	2,212		1.9	%
Total reserve liabilities	$	107,732	100.0	%	$	118,825	100.0	%



	Quarterly Trends															Δ				Year-to-Date						Δ
	3Q’18			4Q’18			1Q’19			2Q’19			3Q’19			Q/Q		Y/Y		2018			2019			Y/Y
RESERVE LIABILITY ROLLFORWARD
Reserve liabilities – beginning	$	96,248		$	98,553		$	107,732		$	111,791		$	114,680		3	%	19	%	$	75,447		$	107,732		43	%
Deposits¹	3,407			5,269			4,860			4,153			5,759			39	%	69	%	8,336			14,772			77	%
Acquisition and block reinsurance²	—			7,878			—			—			—			—	%	—	%	19,104			—			(100	)%
Withdrawals	(2,167		)	(3,125		)	(2,780		)	(2,907		)	(2,807		)	3	%	(30	)%	(5,734		)	(8,494		)	(48	)%
Other reserve changes	1,065			(843		)	1,979			1,643			1,193			(27	)%	12	%	1,400			4,815			244	%
Reserve liabilities – ending	$	98,553		$	107,732		$	111,791		$	114,680		$	118,825		4	%	21	%	$	98,553		$	118,825		21	%

DEFERRED ANNUITY ACCOUNT VALUE ROLLFORWARD³
Account value – beginning	$	78,848		$	80,499		$	89,435		$	90,184		$	91,165		1	%	16	%	$	58,539		$	89,435		53	%
Deposits¹	2,783			3,110			2,800			2,976			2,483			(17	)%	(11	)%	6,828			8,259			21	%
Acquisition and block reinsurance²	—			7,815			—			—			—			—	%	—	%	17,721			—			(100	)%
Premium and interest bonuses	77			68			58			68			55			(19	)%	(29	)%	197			181			(8	)%
Fixed and index credits to policyholders	754			559			423			591			560			(5	)%	(26	)%	2,085			1,574			(25	)%
Surrenders and benefits paid	(1,867		)	(2,513		)	(2,431		)	(2,548		)	(2,382		)	7	%	(28	)%	(4,616		)	(7,361		)	(59	)%
Fee and product charges	(96		)	(103		)	(101		)	(106		)	(113		)	(7	)%	(18	)%	(255		)	(320		)	(25	)%
Account value – ending	$	80,499		$	89,435		$	90,184		$	91,165		$	91,768		1	%	14	%	$	80,499		$	91,768		14	%

INSTITUTIONAL RESERVE LIABILITY ROLLFORWARD (PENSION RISK TRANSFER AND FUNDING AGREEMENTS)
Reserve liabilities – beginning	$	6,426		$	6,862		$	8,536		$	10,404		$	11,354		9	%	77	%	$	6,038		$	8,536		41	%
Deposits	472			2,010			1,922			1,008			3,106			208	%	NM		1,222			6,036			NM
Withdrawals	(93		)	(405		)	(143		)	(158		)	(205		)	(30	)%	(120	)%	(541		)	(506		)	6	%
Other reserve changes	57			69			89			100			116			16	%	104	%	143			305			113	%
Reserve liabilities – ending	$	6,862		$	8,536		$	10,404		$	11,354		$	14,371		27	%	109	%	$	6,862		$	14,371		109	%

Note: Please refer to Notes to the Financial Supplement section and the Non-GAAP Measure Reconciliations for discussion on reserve liabilities. 1 Deposits equal deposits from our retail, flow reinsurance and institutional channels as well as premiums and deposits for life and products other than deferred annuities or our institutional products, renewal deposits on older blocks of business and annuitizations. 2 Acquisition and block reinsurance includes total reserves at inception. Q4 2018 includes Lincoln block reinsurance, while the year-to-date includes Voya block reinsurance in Q2 2018 as well. 3 The account value rollforwards on deferred annuities include our fixed rate and fixed indexed annuities and are net of ceded reinsurance activity.



Capitalization & Regulatory Capital Ratios Unaudited (in millions, except percentages)
	Quarterly Trends															Δ
	3Q’18			4Q’18			1Q’19			2Q’19			3Q’19			Q/Q		Y/Y
CAPITALIZATION
Total debt	$	991		$	991		$	991		$	991		$	992		—	%	—	%
Total shareholders’ equity	8,978			8,276			10,117			12,365			13,545			10	%	51	%
Total capitalization	9,969			9,267			11,108			13,356			14,537			9	%	46	%
Less: Accumulated other comprehensive income (loss) (AOCI)	33			(472		)	706			1,760			2,442			39	%	NM
Less: Accumulated change in fair value of reinsurance assets	(31		)	(75		)	309			639			727			14	%	NM
Total adjusted capitalization	$	9,967		$	9,814		$	10,093		$	10,957		$	11,368		4	%	14	%

EQUITY
Total shareholders’ equity	$	8,978		$	8,276		$	10,117		$	12,365		$	13,545		10	%	51	%
Less: Preferred stock	—			—			—			839			1,172			40	%	100	%
Total common shareholders’ equity	8,978			8,276			10,117			11,526			12,373			7	%	38	%
Less: AOCI	33			(472		)	706			1,760			2,442			39	%	NM
Less: Accumulated change in fair value of reinsurance assets	(31		)	(75		)	309			639			727			14	%	NM
Total adjusted common shareholders’ equity	$	8,976		$	8,823		$	9,102		$	9,127		$	9,204		1	%	3	%

EQUITY BY SEGMENT
Retirement Services	$	7,024		$	7,807		$	8,201		$	7,704		$	7,494		(3	)%	7	%
Corporate and Other	1,952			1,016			901			1,423			1,710			20	%	(12	)%
Total adjusted common shareholders’ equity	$	8,976		$	8,823		$	9,102		$	9,127		$	9,204		1	%	3	%

FINANCIAL LEVERAGE
Debt to capital ratio	9.9		%	10.7		%	8.9		%	7.4		%	6.8		%	(60)bps		(310)bps
AOCI	0.0		%	(0.5		)%	0.6		%	1.2		%	1.5		%	30bps		150bps
Accumulated change in fair value of reinsurance assets	0.0		%	(0.1		)%	0.3		%	0.4		%	0.4		%	0bps		40bps
Adjusted debt to capital ratio	9.9		%	10.1		%	9.8		%	9.0		%	8.7		%	(30)bps		(120)bps



	Quarterly Trends					Δ				Year-to-Date		Δ
	3Q’18	4Q’18	1Q’19	2Q’19	3Q’19	Q/Q		Y/Y		2018	2019	Y/Y
SHARE DATA
Weighted average common shares outstanding – basic¹	197.3	197.1	194.0	191.2	184.3	(4	)%	(7	)%	197.2	189.9	(4	)%
Weighted average shares outstanding – diluted – Class A common shares²	165.1	164.2	161.7	158.8	152.0	(4	)%	(8	)%	159.8	157.6	(1	)%
Weighted average common shares outstanding – adjusted operating³	196.1	195.5	192.2	189.4	182.3	(4	)%	(7	)%	196.0	188.1	(4	)%
Common shares outstanding⁴	197.3	195.0	194.1	185.4	182.5	(2	)%	(8	)%	197.3	182.5	(8	)%
Adjusted operating common shares outstanding³	197.2	193.5	192.4	184.4	181.4	(2	)%	(8	)%	197.2	181.4	(8	)%

1 Basic earnings per common share, including basic weighted average common shares outstanding, includes all classes eligible to participate in dividends for each period presented. 2 Diluted earnings per common share on a GAAP basis for Class A common shares, including diluted Class A weighted average common shares outstanding, includes the dilutive impacts, if any, of Class B common shares, Class M common shares and any other stock-based awards. 3 Represents Class A common shares outstanding or weighted average common shares outstanding assuming conversion or settlement of all outstanding items that are able to be converted to or settled in Class A common shares, including the impacts of Class B common shares, Class M common shares and any other stock-based awards, but excluding any awards for which the exercise or conversion price exceeds the market value of our Class A common shares on the applicable measurement date. 4 Represents common shares vested and outstanding for all classes eligible to participate in dividends for each period presented.

In addition to our results presented in accordance with GAAP, we present certain financial information that includes non-GAAP measures. Management believes the use of these non-GAAP measures, together with the relevant GAAP measures, provides information that may enhance an investor’s understanding of our results of operations and the underlying profitability drivers of our business. The majority of these non-GAAP measures are intended to remove from the results of operations the impact of market volatility (other than with respect to alternative investments) as well as integration, restructuring and certain other expenses which are not part of our underlying profitability drivers, as such items fluctuate from period to period in a manner inconsistent with these drivers. These measures should be considered supplementary to our results in accordance with GAAP and should not be viewed as a substitute for the corresponding GAAP measures. See Non-GAAP Measure Reconciliations for the appropriate reconciliations to the corresponding GAAP measures.

Adjusted operating ROE is a non-GAAP measure used to evaluate our financial performance excluding the impacts of AOCI and the cumulative change in fair value of funds withheld and modco reinsurance assets, in each case net of DAC, DSI, rider reserve and tax offsets. Adjusted common shareholders’ equity is calculated as the ending shareholders’ equity excluding AOCI, the cumulative change in fair value of funds withheld and modco reinsurance assets and preferred stock. Adjusted operating ROE is calculated as the adjusted operating income available to common shareholders, divided by average adjusted common shareholders’ equity. These adjustments fluctuate period to period in a manner inconsistent with our underlying profitability drivers as the majority of such fluctuation is related to the market volatility of the unrealized gains and losses associated with our AFS securities. Except with respect to reinvestment activity relating to acquired blocks of businesses, we typically buy and hold AFS investments to maturity throughout the duration of market fluctuations, therefore, the period-over-period impacts in unrealized gains and losses are not necessarily indicative of current operating fundamentals or future performance. Accordingly, we believe using measures which exclude AOCI and the cumulative change in fair value of funds withheld and modco reinsurance assets are useful in analyzing trends in our operating results. To enhance the ability to analyze these measures across periods, interim periods are annualized. Adjusted operating ROE should not be used as a substitute for ROE. However, we believe the adjustments to equity are significant to gaining an understanding of our overall financial performance.

Adjusted operating earnings per common share, weighted average common shares outstanding – adjusted operating and adjusted book value per common share are non-GAAP measures used to evaluate our financial performance and financial condition. The non-GAAP measures adjust the number of shares included in the corresponding GAAP measures to reflect the conversion or settlement of all shares and other stock-based awards outstanding. We believe using these measures represents an economic view of our share counts and provides a simplified and consistent view of our outstanding shares. Adjusted operating earnings per common share is calculated as the adjusted operating income available to common shareholders, over the weighted average common shares outstanding – adjusted operating. Adjusted book value per common share is calculated as the adjusted common shareholders’ equity divided by the adjusted operating common shares outstanding. Our Class B common shares are economically equivalent to Class A common shares and can be converted to Class A common shares on a one-for-one basis at any time. Our Class M common shares are in the legal form of shares but economically function as options as they are convertible into Class A shares after vesting and payment of the conversion price. In calculating Class A diluted earnings per share on a GAAP basis, we are required to apply sequencing rules to determine the dilutive impacts, if any, of our Class B common shares, Class M common shares and any other stock-based awards. To the extent our Class B common shares, Class M common shares and/or any other stock-based awards are not dilutive, after considering the dilutive effects of the more dilutive securities in the sequence, they are excluded. Weighted average common shares outstanding – adjusted operating and adjusted operating common shares outstanding assume conversion or settlement of all outstanding items that are able to be converted to or settled in Class A common shares, including the impacts of Class B common shares on a one-for-one basis, the impacts of all Class M common shares net of the conversion price and any other stock-based awards, but excluding any awards for which the exercise or conversion price exceeds the market value of our Class A common shares on the applicable measurement date. For certain historical periods, Class M shares were not included due to issuance restrictions which were contingent upon our IPO. Adjusted operating earnings per common share, weighted average common shares outstanding – adjusted operating and adjusted book value per common share should not be used as a substitute for basic earnings per share – Class A common shares, basic weighted average common shares outstanding – Class A or book value per common share. However, we believe the adjustments to the shares and equity are significant to gaining an understanding of our overall results of operations and financial condition.

In managing our business we analyze invested assets, which does not correspond to total investments, including investments in related parties, as disclosed in our consolidated financial statements and notes thereto. Invested assets represents the investments that directly back our reserve liabilities as well as surplus assets. Invested assets is used in the computation of net investment earned rate, which allows us to analyze the profitability of our investment portfolio. Invested assets includes (a) total investments on the consolidated balance sheets with AFS securities at cost or amortized cost, excluding derivatives, (b) cash and cash equivalents and restricted cash, (c) investments in related parties, (d) accrued investment income, (e) the consolidated VIE assets, liabilities and noncontrolling interest, (f) net investment payables and receivables and (g) policy loans ceded (which offset the direct policy loans in total investments). Invested assets also excludes assets associated with funds withheld liabilities related to business exited through reinsurance agreements and derivative collateral (offsetting the related cash positions). We include the underlying investments supporting our assumed funds withheld and modco agreements in our invested assets calculation in order to match the assets with the income received. We believe the adjustments for reinsurance provide a view of the assets for which we have economic exposure. Our invested assets are averaged over the number of quarters in the relevant period to compute our net investment earned rate for such period.

In managing our business we also analyze reserve liabilities, which does not correspond to total liabilities as disclosed in our consolidated financial statements and notes thereto. Reserve liabilities represents our policyholder liability obligations net of reinsurance and is used to analyze the costs of our liabilities. Reserve liabilities includes (a) the interest sensitive contract liabilities, (b) future policy benefits, (c) dividends payable to policyholders, and (d) other policy claims and benefits, offset by reinsurance recoverable, excluding policy loans ceded. Reserve liabilities is net of the ceded liabilities to third-party reinsurers as the costs of the liabilities are passed to such reinsurers and, therefore, we have no net economic exposure to such liabilities, assuming our reinsurance counterparties perform under our agreements. The majority of our ceded reinsurance is a result of reinsuring large blocks of life business following acquisitions. For such transactions, GAAP requires the ceded liabilities and related reinsurance recoverables to continue to be recorded in our consolidated financial statements despite the transfer of economic risk to the counterparty in connection with the reinsurance transaction.



Non-GAAP Reconciliations Unaudited (in millions, except per share data)
	Quarterly Trends															Year-to-Date
	3Q’18			4Q’18			1Q’19			2Q’19			3Q’19			2018		2019
RECONCILIATION OF BOOK VALUE PER COMMON SHARE TO ADJUSTED BOOK VALUE PER COMMON SHARE
Book value per common share	$	45.51		$	42.45		$	52.12		$	66.69		$	74.20
Preferred stock	—			—			—			(4.53		)	(6.42		)
AOCI	(0.17		)	2.42			(3.64		)	(9.49		)	(13.38		)
Accumulated change in fair value of reinsurance assets	0.16			0.39			(1.59		)	(3.45		)	(3.98		)
Effect of items convertible to or settled in Class A common shares	0.03			0.33			0.41			0.28			0.32
Adjusted book value per common share	$	45.53		$	45.59		$	47.30		$	49.50		$	50.74

RECONCILIATION OF AVERAGE SHAREHOLDERS’ EQUITY TO AVERAGE ADJUSTED COMMON SHAREHOLDERS’ EQUITY
Average shareholders’ equity	$	8,720		$	8,627		$	9,197		$	11,241		$	12,955		$	9,077	$	10,911
Less: Average preferred stock	—			—			—			420			1,006			—		586
Less: Average AOCI	90			(220		)	117			1,233			2,101			741		985
Less: Average accumulated change in fair value of reinsurance assets	(10		)	(53		)	117			474			683			65		326
Average adjusted common shareholders’ equity	$	8,640		$	8,900		$	8,963		$	9,114		$	9,165		$	8,271	$	9,014

Retirement Services	$	6,537		$	7,416		$	8,004		$	7,952		$	7,598		$	6,130	$	7,651
Corporate and Other	2,103			1,484			959			1,162			1,567			2,141		1,363
Average adjusted common shareholders’ equity	$	8,640		$	8,900		$	8,963		$	9,114		$	9,165		$	8,271	$	9,014

RECONCILIATION OF BASIC WEIGHTED AVERAGE COMMON SHARES OUTSTANDING – CLASS A TO WEIGHTED AVERAGE COMMON SHARES OUTSTANDING – ADJUSTED OPERATING
Basic weighted average common shares outstanding – Class A	164.5			164.2			161.3			158.5			151.6			159.3		157.2
Conversion of Class B shares to Class A shares	25.5			25.5			25.4			25.4			25.4			30.6		25.4
Conversion of Class M shares to Class A shares	5.6			5.2			5.1			5.1			4.9			5.6		5.1
Effect of other stock compensation plans	0.5			0.6			0.4			0.4			0.4			0.5		0.4
Weighted average common shares outstanding – adjusted operating	196.1			195.5			192.2			189.4			182.3			196.0		188.1

RECONCILIATION OF CLASS A COMMON SHARES OUTSTANDING TO ADJUSTED OPERATING COMMON SHARES OUTSTANDING
Class A common shares outstanding	164.6			162.2			161.3			152.6			149.8
Conversion of Class B common shares to Class A common shares	25.5			25.4			25.4			25.4			25.4
Conversion of Class M common shares to Class A common shares	6.0			4.9			5.0			5.3			5.1
Effect of other stock compensation plans	1.1			1.0			0.7			1.1			1.1
Adjusted operating common shares outstanding	197.2			193.5			192.4			184.4			181.4



Non-GAAP Reconciliations Unaudited (in millions, except percentages)
	Quarterly Trends															Year-to-Date
	3Q’18			4Q’18			1Q’19			2Q’19			3Q’19			2018			2019
RECONCILIATION OF NET INVESTMENT INCOME TO NET INVESTMENT EARNINGS
GAAP net investment income	$	1,070		$	1,121		$	1,066		$	1,161		$	1,070		$	2,883		$	3,297
Change in fair value of reinsurance assets	52			132			132			161			199			169			492
Net VIE earnings	39			(18		)	21			24			23			55			68
Alternative income gain (loss)	(14		)	(20		)	(5		)	12			6			(14		)	13
Held for trading amortization and other	(21		)	(11		)	(11		)	(13		)	(6		)	(65		)	(30		)
Total adjustments to arrive at net investment earnings	56			83			137			184			222			145			543
Total net investment earnings	$	1,126		$	1,204		$	1,203		$	1,345		$	1,292		$	3,028		$	3,840

Retirement Services	$	1,108		$	1,231		$	1,171		$	1,321		$	1,264		$	2,957		$	3,756
Corporate and Other	18			(27		)	32			24			28			71			84
Total net investment earnings	$	1,126		$	1,204		$	1,203		$	1,345		$	1,292		$	3,028		$	3,840

RECONCILIATION OF NET INVESTMENT INCOME RATE TO NET INVESTMENT EARNED RATE
GAAP net investment income rate	4.30		%	4.10		%	3.79		%	4.03		%	3.60		%	4.39		%	3.80		%
Change in fair value of reinsurance assets	0.20		%	0.48		%	0.47		%	0.56		%	0.67		%	0.26		%	0.57		%
Net VIE earnings	0.16		%	(0.07		)%	0.08		%	0.09		%	0.08		%	0.08		%	0.08		%
Alternative income gain (loss)	(0.06		)%	(0.07		)%	(0.02		)%	0.04		%	0.02		%	(0.02		)%	0.01		%
Held for trading amortization and other	(0.08		)%	(0.04		)%	(0.04		)%	(0.05		)%	(0.02		)%	(0.10		)%	(0.03		)%
Total adjustments to arrive at net investment earned rate	0.22		%	0.30		%	0.49		%	0.64		%	0.75		%	0.22		%	0.63		%
Consolidated net investment earned rate	4.52		%	4.40		%	4.28		%	4.67		%	4.35		%	4.61		%	4.43		%

Retirement Services	4.55		%	4.57		%	4.21		%	4.63		%	4.31		%	4.63		%	4.38		%
Corporate and Other	3.51		%	(7.57		)%	13.19		%	8.39		%	7.28		%	3.86		%	8.92		%
Consolidated net investment earned rate	4.52		%	4.40		%	4.28		%	4.67		%	4.35		%	4.61		%	4.43		%

Retirement Services	$	97,500		$	107,939		$	111,443		$	114,059		$	117,338		$	85,163		$	114,391
Corporate and Other	2,103			1,484			959			1,162			1,567			2,473			1,262
Consolidated average invested assets	$	99,603		$	109,423		$	112,402		$	115,221		$	118,905		$	87,636		$	115,653



Non-GAAP Reconciliations Unaudited (in millions, except percentages)
	Quarterly Trends															Year-to-Date
	3Q’18			4Q’18			1Q’19			2Q’19			3Q’19			2018			2019
RECONCILIATION OF INTEREST SENSITIVE CONTRACT BENEFITS TO COST OF CREDITING
GAAP interest sensitive contract benefits	$	742		$	(825	)	$	1,516		$	1,094		$	801		$	1,115		$	3,411
Interest credited other than deferred annuities and institutional products	14			35			55			50			63			30			168
FIA option costs	231			275			278			280			282			611			840
Product charges (strategy fees)	(25		)	(28		)	(28		)	(29		)	(31		)	(70		)	(88		)
Reinsurance embedded derivative impacts	29			14			15			14			14			35			43
Change in fair values of embedded derivatives – FIAs	(546		)	1,039			(1,311		)	(868		)	(560		)	(603		)	(2,739		)
Negative VOBA amortization	5			9			12			7			9			22			28
Other changes in interest sensitive contract liabilities	3			(3		)	(2		)	(1		)	(2		)	3			(5		)
Total adjustments to arrive at cost of crediting	(289		)	1,341			(981		)	(547		)	(225		)	28			(1,753		)
Retirement Services cost of crediting	$	453		$	516		$	535		$	547		$	576		$	1,143		$	1,658

GAAP interest sensitive contract benefits	3.04		%	(3.06		)%	5.44		%	3.84		%	2.73		%	1.75		%	3.98		%
Interest credited other than deferred annuities and institutional products	0.06		%	0.13		%	0.20		%	0.18		%	0.21		%	0.05		%	0.19		%
FIA option costs	0.95		%	1.02		%	1.00		%	0.98		%	0.96		%	0.96		%	0.98		%
Product charges (strategy fees)	(0.10		)%	(0.10		)%	(0.10		)%	(0.10		)%	(0.10		)%	(0.11		)%	(0.10		)%
Reinsurance embedded derivative impacts	0.12		%	0.05		%	0.05		%	0.05		%	0.05		%	0.05		%	0.05		%
Change in fair values of embedded derivatives – FIAs	(2.24		)%	3.85		%	(4.70		)%	(3.05		)%	(1.91		)%	(0.94		)%	(3.19		)%
Negative VOBA amortization	0.02		%	0.03		%	0.04		%	0.02		%	0.03		%	0.03		%	0.03		%
Other changes in interest sensitive contract liabilities	0.01		%	(0.01		)%	(0.01		)%	0.00		%	(0.01		)%	0.00		%	(0.01		)%
Total adjustments to arrive at cost of crediting	(1.18		)%	4.97		%	(3.52		)%	(1.92		)%	(0.77		)%	0.04		%	(2.05		)%
Retirement Services cost of crediting	1.86		%	1.91		%	1.92		%	1.92		%	1.96		%	1.79		%	1.93		%

Retirement Services cost of crediting on deferred annuities	1.98		%	2.00		%	1.98		%	1.98		%	1.98		%	1.93		%	1.98		%
Retirement Services cost of crediting on institutional products	3.54		%	3.74		%	3.69		%	3.76		%	3.68		%	3.29		%	3.71		%
Retirement Services cost of crediting	1.86		%	1.91		%	1.92		%	1.92		%	1.96		%	1.79		%	1.93		%

Retirement Services average invested assets	$	97,500		$	107,939		$	111,443		$	114,059		$	117,338		$	85,163		$	114,391
Average account value on deferred annuities	79,673			88,874			89,809			90,675			91,467			68,421			90,638
Average institutional reserve liabilities	6,608			7,827			9,809			10,470			13,320			6,301			11,200



Non-GAAP Reconciliations Unaudited (in millions)
	Quarterly Trends															Year-to-Date
	3Q’18			4Q’18			1Q’19			2Q’19			3Q’19			2018			2019
RECONCILIATION OF BENEFITS AND EXPENSES TO OTHER LIABILITY COSTS
GAAP benefits and expenses	$	1,897		$	1,301		$	4,221		$	2,619		$	4,222		$	4,067		$	11,062
Premiums	(526		)	(1,833		)	(1,966		)	(733		)	(2,605		)	(1,535		)	(5,304		)
Product charges	(119		)	(128		)	(125		)	(132		)	(135		)	(321		)	(392		)
Other revenues	(10		)	(4		)	(12		)	(9		)	(6		)	(22		)	(27		)
Cost of crediting	(193		)	(227		)	(242		)	(253		)	(280		)	(497		)	(775		)
Change in fair value of embedded derivatives - FIA, net of offsets	(768		)	1,266			(1,260		)	(817		)	(497		)	(939		)	(2,574		)
DAC, DSI and VOBA amortization related to investment gains and losses	28			36			(173		)	(181		)	(151		)	74			(505		)
Rider reserves	1			8			(28		)	(24		)	(9		)	8			(61		)
Policy and other operating expenses, excluding policy acquisition expenses	(98		)	(102		)	(103		)	(117		)	(130		)	(293		)	(350		)
AmerUs closed block fair value liability	8			14			(53		)	(59		)	(46		)	98			(158		)
Other	1			1			1			1			(5		)	9			(3		)
Total adjustments to arrive at other liability costs	(1,676		)	(969		)	(3,961		)	(2,324		)	(3,864		)	(3,418		)	(10,149		)
Other liability costs	$	221		$	332		$	260		$	295		$	358		$	649		$	913

Retirement Services	$	221		$	332		$	260		$	295		$	358		$	649		$	913
Corporate and Other	—			—			—			—			—			—			—
Consolidated other liability costs	$	221		$	332		$	260		$	295		$	358		$	649		$	913

RECONCILIATION OF POLICY AND OTHER OPERATING EXPENSES TO OPERATING EXPENSES
Policy and other operating expenses	$	158		$	172		$	165		$	185		$	194		$	454		$	544
Interest expense	(15		)	(13		)	(17		)	(15		)	(15		)	(44		)	(47		)
Policy acquisition expenses, net of deferrals	(60		)	(70		)	(62		)	(69		)	(63		)	(163		)	(194		)
Integration, restructuring and other non-operating expenses	(2		)	(4		)	(1		)	(11		)	(34		)	(18		)	(46		)
Stock compensation expenses	(3		)	(3		)	(3		)	(3		)	(3		)	(8		)	(9		)
Total adjustments to arrive at operating expenses	(80		)	(90		)	(83		)	(98		)	(115		)	(233		)	(296		)
Operating expenses	$	78		$	82		$	82		$	87		$	79		$	221		$	248

Retirement Services	$	63		$	65		$	62		$	68		$	67		$	177		$	197
Corporate and Other	15			17			20			19			12			44			51
Consolidated operating expenses	$	78		$	82		$	82		$	87		$	79		$	221		$	248



Non-GAAP Reconciliations Unaudited (in millions)
	December 31, 2018			September 30, 2019
RECONCILIATION OF TOTAL INVESTMENTS INCLUDING RELATED PARTIES TO INVESTED ASSETS
Total investments including related parties	$	107,632		$	127,101
Derivative assets	(1,043		)	(2,386		)
Cash and cash equivalents (including restricted cash)	3,403			4,032
Accrued investment income	682			781
Payables for collateral on derivatives	(969		)	(2,323		)
Reinsurance funds withheld and modified coinsurance	223			(1,698		)
VIE and VOE assets, liabilities and noncontrolling interest	718			669
Unrealized (gains) losses	808			(4,243		)
Ceded policy loans	(281		)	(277		)
Net investment receivables (payables)	(139		)	(516		)
Total adjustments to arrive at invested assets	3,402			(5,961		)
Total invested assets	$	111,034		$	121,140

RECONCILIATION OF INVESTMENT FUNDS INCLUDING RELATED PARTIES AND VIES TO ALTERNATIVE INVESTMENTS
Investment funds including related parties and VIEs	$	3,559		$	4,094
Nonredeemable preferred stock included in equity securities	—			506
CLO equities included in trading securities	125			101
Investment funds within funds withheld at interest	660			745
Royalties and other assets included in other investments	71			67
Net assets of the VIE, excluding investment funds	50			(2		)
Unrealized (gains) losses and other adjustments	27			11
Total adjustments to arrive at alternative investments	933			1,428
Alternative investments	$	4,492		$	5,522

RECONCILIATION OF TOTAL LIABILITIES TO RESERVE LIABILITIES
Total liabilities	$	117,229		$	130,657
Long-term debt	(991		)	(992		)
Derivative liabilities	(85		)	(46		)
Payables for collateral on derivatives	(969		)	(2,323		)
Funds withheld liability	(721		)	(768		)
Other liabilities	(888		)	(1,708		)
Liabilities of consolidated VIEs	(1		)	(1		)
Reinsurance ceded receivables	(5,534		)	(5,697		)
Policy loans ceded	(281		)	(277		)
Other	(27		)	(20		)
Total adjustments to arrive at reserve liabilities	(9,497		)	(11,832		)
Total reserve liabilities	$	107,732		$	118,825



Deferred Annuity Liability Characteristics Unaudited (in millions, except percentages)
	Surrender charge (gross)		Percent of total		Surrender charge (net of MVA)			Percent of total
SURRENDER CHARGE PERCENTAGES ON DEFERRED ANNUITIES ACCOUNT VALUE
No Surrender Charge	$	20,728	22.6	%	$	20,728		22.6	%
0.0% < 2.0%	888		1.0	%	2,692			2.9	%
2.0% < 4.0%	3,418		3.7	%	7,644			8.3	%
4.0% < 6.0%	8,885		9.7	%	15,161			16.5	%
6.0% or greater	57,849		63.0	%	45,543			49.7	%
	$	91,768	100.0	%	$	91,768		100.0	%

			Surrender charge (gross)		MVA benefit			Surrender charge (net)
Aggregate surrender charge protection			6.2	%	(0.6		)%	5.6	%



	Deferred annuities		Percent of total		Average surrender charge (gross)
YEARS OF SURRENDER CHARGE REMAINING ON DEFERRED ANNUITIES ACCOUNT VALUE
No Surrender Charge	$	20,728	22.6	%	—	%
Less than 2	15,988		17.4	%	5.2	%
2 to less than 4	17,051		18.6	%	6.7	%
4 to less than 6	12,409		13.5	%	8.2	%
6 to less than 8	10,680		11.6	%	9.5	%
8 to less than 10	11,188		12.2	%	10.4	%
10 or greater	3,724		4.1	%	14.2	%
	$	91,768	100.0	%



	At minimum guarantees		Total account value		Percent of total account value at minimum guarantees
MINIMUM GUARANTEES ON DEFERRED ANNUITIES
Fixed indexed annuities	$	16,447	$	73,092	23	%
Fixed rate annuities	7,642		18,676		41	%
Total deferred annuities	$	24,089	$	91,768	26	%

					September 30, 2019
Distance to guarantees¹					100 – 110

1 The distance to guarantee reflects the average distance in option costs between the current and guaranteed rates for indexed strategies and between current and guaranteed fixed rates for fixed strategies. The option costs used reflects an estimate of option cost in the market.



	December 31, 2018			September 30, 2019			Δ
DEFERRED ANNUITY RIDER RESERVE SUMMARY
Rider reserve	$	3,025		$	3,989		32	%
Account value with rider reserves	36,445			37,366			3	%
Rider reserve as a percentage of account value with rider reserves	8.3		%	10.7		%	240bps



	December 31, 2017		December 31, 2018		Δ
REGULATORY CAPITAL RATIOS
U.S. RBC ratio – Athene Annuity & Life Assurance Company	490	%	421	%	(6,900)bps
BSCR – Athene Life Re Ltd.	354	%	340	%	(1,400)bps
Athene Life Re Ltd. RBC ratio¹	562	%	405	%	(15,700)bps

1 ALRe RBC ratio, which is used in evaluating our capital position and the amount of capital needed to support our segment, is calculated by applying the NAIC RBC factors.



Table of Contents
FINANCIAL RESULTS
Financial Highlights	3
Condensed Consolidated Statements of Income (GAAP view)	4
Segment Results of Operations (Management view)	5
Reconciliation of Earnings Measures	6
Retirement Services Segment Highlights	7
Condensed Consolidated Balance Sheets	8

ASSETS
Investments (GAAP view)	10
Invested Assets (Management view)	11
Investment Funds (GAAP view)	12
Alternative Investments (Management view)	13
Funds Withheld at Interest (GAAP view)	14
Net Investment Earned Rates	15
Credit Quality of Securities & Invested Assets	17

LIABILITIES
Reserve Liabilities & Rollforwards	20
Deferred Annuity Liability Characteristics	21

CAPITAL
Capitalization & Regulatory Capital Ratios	22
Financial Strength, Credit Ratings & Share Data	23

ADDITIONAL INFORMATION
Notes to the Financial Supplement	24
Non-GAAP Reconciliations	26



Financial Strength, Credit Ratings & Share Data Unaudited (in millions, except percentages)
	A.M. Best	Standard & Poor’s	Fitch
FINANCIAL STRENGTH RATINGS
Athene Annuity & Life Assurance Company	A	A	A
Athene Annuity and Life Company	A	A	A
Athene Annuity & Life Assurance Company of New York	A	A	A
Athene Life Insurance Company of New York	A	Not Rated	Not Rated
Athene Life Re Ltd.	A	A	A

CREDIT RATINGS
Athene Holding Ltd.	bbb	BBB+	BBB+
Senior notes	bbb	BBB+	BBB


•	Integration, Restructuring, and Other Non-operating Expenses—Integration, restructuring, and other non-operating expenses consist of restructuring and integration expenses related to acquisitions and block reinsurance costs as well as certain other expenses which are not predictable or related to our underlying profitability drivers.


•	Stock Compensation Expense—Stock compensation expenses associated with our share incentive plans, excluding our long-term incentive plan, are not related to our underlying profitability drivers and fluctuate from time to time due to the structure of our plans.


•	Bargain Purchase Gain—Bargain purchase gains associated with acquisitions are adjustments to net income available to AHL common shareholders as they are not related to our underlying profitability drivers.


•	Cost of funds includes liability costs related to cost of crediting on both deferred annuities and institutional products as well as other liability costs. Cost of funds is computed as the total liability costs divided by the average invested assets for the relevant period. To enhance the ability to analyze these measures across periods, interim periods are annualized.