Variable Interest Entities (Tables)

12 Months Ended

Dec. 31, 2016

Consolidated Investment Entities [Abstract].

Schedule of assets and liabilities held by consolidated investment entities measured at fair value on a recurring basis

The following tables present the balances of assets and liabilities of Ameriprise Financial measured at fair value on a recurring basis:



	December 31, 2016
	Level 1		Level 2		Level 3		Total
	(in millions)
Assets
Cash equivalents	$	30	$	1,796	$	—	$	1,826
Available-for-Sale securities:
Corporate debt securities	—		14,925		1,311		16,236
Residential mortgage backed securities	—		6,650		268		6,918
Commercial mortgage backed securities	—		3,367		—		3,367
Asset backed securities	—		1,481		68		1,549
State and municipal obligations	—		2,358		—		2,358
U.S. government and agencies obligations	8		—		—		8
Foreign government bonds and obligations	—		261		—		261
Common stocks	8		8		1		17
Common stocks at NAV							5		⁽¹⁾
Total Available-for-Sale securities	16		29,050		1,648		30,719
Trading securities	9		16		—		25
Separate account assets at NAV							80,210		⁽¹⁾
Investments segregated for regulatory purposes	425		—		—		425
Other assets:
Interest rate derivative contracts	—		1,775		—		1,775
Equity derivative contracts	42		1,526		—		1,568
Credit derivative contracts	—		1		—		1
Foreign exchange derivative contracts	13		80		—		93
Other derivative contracts	1		8		—		9
Total other assets	56		3,390		—		3,446
Total assets at fair value	$	536	$	34,252	$	1,648	$	116,651

Liabilities
Policyholder account balances, future policy benefits and claims:
EIA embedded derivatives	$	—	$	5	$	—	$	5
IUL embedded derivatives	—		—		464		464
GMWB and GMAB embedded derivatives	—		—		614		614		⁽²⁾
Total policyholder account balances, future policy benefits and claims	—		5		1,078		1,083		⁽³⁾
Customer deposits	—		8		—		8
Other liabilities:
Interest rate derivative contracts	2		977		—		979
Equity derivative contracts	3		2,024		—		2,027
Foreign exchange derivative contracts	2		45		—		47
Other derivative contracts	—		118		—		118
Other	3		8		13		24
Total other liabilities	10		3,172		13		3,195
Total liabilities at fair value	$	10	$	3,185	$	1,091	$	4,286



	December 31, 2015
	Level 1		Level 2		Level 3		Total
	(in millions)
Assets
Cash equivalents	$	80	$	1,918	$	—	$	1,998
Available-for-Sale securities:
Corporate debt securities	—		14,923		1,425		16,348
Residential mortgage backed securities	—		5,755		218		5,973
Commercial mortgage backed securities	—		2,453		3		2,456
Asset backed securities	—		1,134		162		1,296
State and municipal obligations	—		2,290		—		2,290
U.S. government and agencies obligations	33		35		—		68
Foreign government bonds and obligations	—		224		—		224
Common stocks	5		8		—		13
Common stocks at NAV							5		⁽¹⁾
Total Available-for-Sale securities	38		26,822		1,808		28,673
Trading securities	6		18		—		24
Separate account assets at NAV							80,349		⁽¹⁾
Investments segregated for regulatory purposes	401		—		—		401
Other assets:
Interest rate derivative contracts	—		1,940		—		1,940
Equity derivative contracts	92		1,495		—		1,587
Credit derivative contracts	—		2		—		2
Foreign exchange derivative contracts	2		54		—		56
Other derivative contracts	—		2		—		2
Total other assets	94		3,493		—		3,587
Total assets at fair value	$	619	$	32,251	$	1,808	$	115,032

Liabilities
Policyholder account balances, future policy benefits and claims:
EIA embedded derivatives	$	—	$	5	$	—	$	5
IUL embedded derivatives	—		—		364		364
GMWB and GMAB embedded derivatives	—		—		851		851		⁽⁴⁾
Total policyholder account balances, future policy benefits and claims	—		5		1,215		1,220		⁽⁵⁾
Customer deposits	—		4		—		4
Other liabilities:
Interest rate derivative contracts	—		969		—		969
Equity derivative contracts	47		1,946		—		1,993
Foreign exchange derivative contracts	2		16		—		18
Other derivative contracts	—		96		—		96
Other	1		12		—		13
Total other liabilities	50		3,039		—		3,089
Total liabilities at fair value	$	50	$	3,048	$	1,215	$	4,313

⁽¹⁾Amounts are comprised of certain investments that are measured at fair value using the NAV per share (or its equivalent) as a practical expedient and have not been classified in the fair value hierarchy. See Note 3 for further information.

⁽²⁾The fair value of the GMWB and GMAB embedded derivatives included $880 million of individual contracts in a liability position and $266 million of individual contracts in an asset position at December 31, 2016.

⁽³⁾ The Company’s adjustment for nonperformance risk resulted in a $498 million cumulative decrease to the embedded derivatives at December 31, 2016.

⁽⁴⁾The fair value of the GMWB and GMAB embedded derivatives included $994 million of individual contracts in a liability position and $143 million of individual contracts in an asset position at December 31, 2015.

⁽⁵⁾The Company’s adjustment for nonperformance risk resulted in a $398 million cumulative decrease to the embedded derivatives at December 31, 2015.

Schedule of debt of the consolidated investment entities and the stated interest rates

The balances and the stated interest rates of outstanding debt of Ameriprise Financial were as follows:



	Outstanding Balance				Stated Interest Rate
	December 31,				December 31,
	2016		2015		2016		2015
	(in millions)
Long-term debt:
Senior notes due 2019	$	300	$	300	7.3	%	7.3	%
Senior notes due 2020	750		750		5.3		5.3
Senior notes due 2023	750		750		4.0		4.0
Senior notes due 2024	550		550		3.7		3.7
Senior notes due 2026	500		—		2.9		—
Junior subordinated notes due 2066	—		245		—		7.5
Capitalized lease obligations	49		60
Other ⁽¹⁾	18		37
Total long-term debt	2,917		2,692

Short-term borrowings:
Federal Home Loan Bank (“FHLB”) advances	150		150		0.8		0.5
Repurchase agreements	50		50		0.9		0.5
Total short-term borrowings	200		200
Total	$	3,117	$	2,892

⁽¹⁾ Amounts include adjustments for fair value hedges on the Company’s long-term debt and unamortized discount and debt issuance costs. See Note 16 for information on the Company’s fair value hedges.

Schedule of maturities of long-term debt

At December 31, 2016, future maturities of Ameriprise Financial long-term debt were as follows:



	(in millions)
2017	$	12
2018	13
2019	313
2020	761
2021	—
Thereafter	1,800
Total future maturities	$	2,899

Consolidated investment entities [Member]

Consolidated Investment Entities [Abstract].

Schedule of assets and liabilities held by consolidated investment entities measured at fair value on a recurring basis

The following tables present the balances of assets and liabilities held by consolidated investment entities measured at fair value on a recurring basis:



	December 31, 2016
	Level 1		Level 2		Level 3		Total
	(in millions)
Assets
Investments:
Corporate debt securities	$	—	$	19	$	—	$	19
Common stocks	22		6		5		33
Other investments	4		—		—		4
Syndicated loans	—		1,944		254		2,198
Total investments	26		1,969		259		2,254
Receivables	—		11		—		11
Total assets at fair value	$	26	$	1,980	$	259	$	2,265
Liabilities
Debt⁽¹⁾	$	—	$	2,319	$	—	$	2,319
Other liabilities	—		95		—		95
Total liabilities at fair value	$	—	$	2,414	$	—	$	2,414



	December 31, 2015
	Level 1		Level 2		Level 3		Total
	(in millions)
Assets
Investments:
Corporate debt securities	$	—	$	154	$	—	$	154
Common stocks	74		46		3		123
Other investments	4		22		—		26
Syndicated loans	—		5,738		529		6,267
Total investments	78		5,960		532		6,570
Receivables	—		70		—		70
Other assets	—		—		2,065		2,065
Total assets at fair value	$	78	$	6,030	$	2,597	$	8,705
Liabilities
Debt	$	—	$	—	$	6,630	$	6,630
Other liabilities	—		221		—		221
Total liabilities at fair value	$	—	$	221	$	6,630	$	6,851

⁽¹⁾ As the Company elected the measurement alternative effective January 1, 2016, the carrying value of the CLOs’ debt is set equal to the fair value of the CLOs’ assets. See Note 3 and below for additional discussion on the measurement alternative. The estimated fair value of the CLOs’ debt was $2.3 billion at December 31, 2016.

Schedule of changes in Level 3 assets and liabilities held by consolidated investment entities measured at fair value on a recurring basis

The following tables provide a summary of changes in Level 3 assets and liabilities held by consolidated investment entities measured at fair value on a recurring basis:



	Common Stocks				Syndicated Loans				Other Assets				Debt
	(in millions)
Balance, January 1, 2016	$	3			$	529			$	2,065			$	(6,630	)
Cumulative effect of change in accounting policies⁽³⁾	(2		)		(304		)		(2,065		)		6,630
Balance, January 1, 2016, as adjusted	1				225				—				—
Total gains included in:
Net income	2			⁽¹⁾	7			⁽¹⁾	1			⁽²⁾	—
Purchases	1				145				—				—
Sales	—				(24		)		(1		)		—
Settlements	—				(69		)		—				—
Transfers into Level 3	3				405				—				—
Transfers out of Level 3	(2		)		(435		)		—				—
Balance, December 31, 2016	$	5			$	254			$	—			$	—

Changes in unrealized gains included in income relating to assets and liabilities held at December 31, 2016	$	1		⁽¹⁾	$	3		⁽¹⁾	$	—			$	—



	Common Stocks				Syndicated Loans				Other Assets				Debt
	(in millions)
Balance, January 1, 2015	$	7			$	484			$	1,935			$	(6,030	)
Total gains (losses) included in:
Net income	(1		)	⁽¹⁾	(24		)	⁽¹⁾	170			⁽²⁾	215			⁽¹⁾
Other comprehensive loss	—				—				(154		)		—
Purchases	—				303				638				—
Sales	—				(36		)		(524		)		—
Issues	—				—				—				(1,267		)
Settlements	—				(161		)		—				452
Transfers into Level 3	7				776				—				—
Transfers out of Level 3	(10		)		(813		)		—				—
Balance, December 31, 2015	$	3			$	529			$	2,065			$	(6,630	)

Changes in unrealized gains (losses) included in income relating to assets and liabilities held at December 31, 2015	$	—			$	(19	)	⁽¹⁾	$	20		⁽²⁾	$	219		⁽¹⁾



	Corporate Debt Securities				Common Stocks				Syndicated Loans				Other Assets				Debt
	(in millions)
Balance, January 1, 2014	$	2			$	14			$	368			$	1,936			$	(4,804	)
Total gains (losses) included in:
Net income	1			⁽¹⁾	1			⁽¹⁾	2			⁽¹⁾	421			⁽²⁾	(34		)	⁽¹⁾
Other comprehensive income	—				—				—				(175		)		—
Purchases	2				—				417				289				—
Sales	(9		)		(2		)		(42		)		(547		)		—
Issues	—				—				—				—				(1,670		)
Settlements	—				—				(100		)		—				478
Transfers into Level 3	10				13				551				11				—
Transfers out of Level 3	(6		)		(19		)		(712		)		—				—
Balance, December 31, 2014	$	—			$	7			$	484			$	1,935			$	(6,030	)

Changes in unrealized gains (losses) included in income relating to assets and liabilities held at December 31, 2014	$	—			$	—			$	(3	)	⁽¹⁾	$	362		⁽²⁾	$	1		⁽¹⁾

⁽¹⁾ Included in net investment income in the Consolidated Statements of Operations.

⁽²⁾ Included in other revenues in the Consolidated Statements of Operations.

⁽³⁾ The cumulative effect of change in accounting policies includes the adoption impact of ASU 2015-02 and ASU 2014-13 – Consolidation: Measuring the Financial Assets and the Financial Liabilities of a Consolidated Collateralized Financing Entity (“ASU 2014-13”).

Significant unobservable inputs used in the fair value measurements of assets and liabilities held by consolidated investment entities

The following tables provide a summary of the significant unobservable inputs used in the fair value measurements developed by the Company or reasonably available to the Company of Level 3 assets and liabilities held by consolidated investment entities:



	December 31, 2015
	Fair Value		Valuation Technique	Unobservable Input	Range				Weighted Average
	(in millions)
Other assets (property funds)	$	2,060	Discounted cash flow/ market comparables	Equivalent yield	2.6	%	–	11.5%	5.8	%
				Expected rental value (per square foot)	$3		–	$159	$51
CLO debt	$	6,630	Discounted cash flow	Annual default rate	2.5%
				Discount rate	2.0	%	–	11.8%	3.4	%
				Constant prepayment rate	5.0	%	–	10.0%	9.9	%
				Loss recovery	36.4	%	–	63.6%	62.9	%

Schedule of fair value and unpaid principal balance of assets and liabilities carried at fair value under the fair value option

The following table presents the fair value and unpaid principal balance of loans and debt for which the fair value option has been elected:



	December 31,
	2016				2015
	(in millions)
Syndicated loans
Unpaid principal balance	$	2,281			$	6,635
Excess unpaid principal over fair value	(83		)		(368		)
Fair value	$	2,198			$	6,267
Fair value of loans more than 90 days past due	$	8			$	24
Fair value of loans in nonaccrual status	8				24
Difference between fair value and unpaid principal of loans more than 90 days past due, loans in nonaccrual status or both	34				72
Debt
Unpaid principal balance	$	2,459			$	7,063
Excess unpaid principal over fair value	(140		)		(433		)
Fair value	$	2,319		⁽¹⁾	$	6,630

⁽¹⁾As the Company elected the measurement alternative effective January 1, 2016, the carrying value of the CLOs’ debt is set equal to the fair value of the CLOs’ assets. See Note 3 and above for additional discussion on the measurement alternative. The estimated fair value of the CLOs’ debt was $2.3 billion at December 31, 2016.

Schedule of debt of the consolidated investment entities and the stated interest rates

Debt of the consolidated investment entities and the stated interest rates were as follows:



	Carrying Value					Weighted Average Interest Rate
	December 31,					December 31,
	2016			2015		2016		2015
	(in millions)
Debt of consolidated CLOs due 2019-2026	$	2,319		$	6,630	2.5	%	1.6	%
Floating rate revolving credit borrowings due 2017-2020	—		⁽¹⁾	901		—		2.8
Total	$	2,319		$	7,531

⁽¹⁾The floating rate revolving credit borrowings of property funds were deconsolidated effective January 1, 2016 upon adoption of ASU 2015-02

Schedule of maturities of long-term debt

At December 31, 2016, future maturities of debt were as follows:



	(in millions)
2017	$	—
2018	—
2019	54
2020	—
2021	—
Thereafter	2,405
Total future maturities	$	2,459

- Definition

Tabular disclosure of the application of the fair value option for measurement and reporting of eligible financial assets and liabilities (as defined), as well as certain other eligible items (as defined) included in the statement of financial position, whether such option is elected for a single eligible item or a group of similar eligible items and is in addition to other disclosures concerning fair value which the company may be required to provide. Such disclosure might be expected to include: (1) for items included in the statement of financial position: (a) for each line item in the statement of financial position that includes an item or items for which the fair value option has been elected, provide the aggregate carrying amount of ineligible items included in each line item in the balance sheet, if any; (b) the difference between the aggregate fair value and the aggregate unpaid principal balance (assuming contractual principal amounts and fair value option elected) of: (i) loans and long-term receivables (other than securities otherwise reported at fair value) and (ii) long-term debt instruments; (c) for loans held as assets for which the fair value option has been elected: (i) the aggregate fair value of loans that are 90 days or more past due, (ii) if the policy is to recognize interest income separately from other changes in fair value, the aggregate fair value of loans in nonaccrual status, and (iii) the difference between the aggregate fair value and the aggregate unpaid principal balance for loans that are 90 days or more past due, in nonaccrual status, or both; (2) for items included in the income statement: (a) the amounts of gains and losses from fair value changes included in earnings and in which line in the income statement those gains and losses are reported whether or not combined with gains and losses from items required to be accounted for at fair value; (b) for loans and other receivables held as assets, the estimated amount of gains or losses included in earnings attributable to changes in instrument-specific credit risk; (c) for liabilities with fair values that have been significantly affected during the reporting period by changes in the instrument-specific credit risk, the estimated amount of gains and losses from fair value changes included in earnings that are attributable to changes in the instrument-specific credit risk; and (3) certain other disclosures as required or determined to be provided.

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