Variable Interest Entities (Tables)

6 Months Ended

Jun. 30, 2018

Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]

Schedule of assets and liabilities held by consolidated investment entities measured at fair value on a recurring basis [Table Text Block]

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



	June 30, 2018
	Level 1		Level 2		Level 3		Total
	(in millions)
Assets
Cash equivalents	$	156	$	1,892	$	—	$	2,048
Available-for-Sale securities:
Corporate debt securities	—		13,212		1,040		14,252
Residential mortgage backed securities	—		5,866		120		5,986
Commercial mortgage backed securities	—		4,532		52		4,584
Asset backed securities	—		1,544		31		1,575
State and municipal obligations	—		2,370		—		2,370
U.S. government and agency obligations	1,424		—		—		1,424
Foreign government bonds and obligations	—		268		—		268
Total Available-for-Sale securities	1,424		27,792		1,243		30,459
Equity securities	1		1		—		2
Equity securities at net asset value (“NAV”)							6		⁽¹⁾
Trading securities	38		48		—		86
Separate account assets at NAV							85,258		⁽¹⁾
Investments segregated for regulatory purposes	399		—		—		399
Other assets:
Interest rate derivative contracts	—		716		—		716
Equity derivative contracts	62		2,139		—		2,201
Credit derivative contracts	—		4		—		4
Foreign exchange derivative contracts	12		35		—		47
Other derivative contracts	—		—		2		2
Total other assets	74		2,894		2		2,970
Total assets at fair value	$	2,092	$	32,627	$	1,245	$	121,228



Liabilities
Policyholder account balances, future policy benefits and claims:
Indexed annuity embedded derivatives	$	—	$	4	$	8		$	12
IUL embedded derivatives	—		—		620			620
GMWB and GMAB embedded derivatives	—		—		(425		)	(425		)	⁽²⁾
Total policyholder account balances, future policy benefits and claims	—		4		203			207			⁽³⁾
Customer deposits	—		10		—			10
Other liabilities:
Interest rate derivative contracts	—		544		—			544
Equity derivative contracts	24		2,680		—			2,704
Foreign exchange derivative contracts	6		25		—			31
Other	17		9		29			55
Total other liabilities	47		3,258		29			3,334
Total liabilities at fair value	$	47	$	3,272	$	232		$	3,551



	December 31, 2017
	Level 1		Level 2		Level 3		Total
	(in millions)
Assets
Cash equivalents	$	147	$	2,025	$	—	$	2,172
Available-for-Sale securities:
Corporate debt securities	—		13,936		1,139		15,075
Residential mortgage backed securities	—		6,456		155		6,611
Commercial mortgage backed securities	—		4,374		—		4,374
Asset backed securities	—		1,573		7		1,580
State and municipal obligations	—		2,463		—		2,463
U.S. government and agencies obligations	503		—		—		503
Foreign government bonds and obligations	—		314		—		314
Common stocks	1		—		—		1
Common stocks at NAV							6		⁽¹⁾
Total Available-for-Sale securities	504		29,116		1,301		30,927
Trading securities	10		34		—		44
Separate account assets at NAV							87,368		⁽¹⁾
Investments segregated for regulatory purposes	623		—		—		623
Other assets:
Interest rate derivative contracts	—		1,104		—		1,104
Equity derivative contracts	63		2,360		—		2,423
Foreign exchange derivative contracts	2		34		—		36
Total other assets	65		3,498		—		3,563
Total assets at fair value	$	1,349	$	34,673	$	1,301	$	124,697



Liabilities
Policyholder account balances, future policy benefits and claims:
Indexed annuity embedded derivatives	$	—	$	5	$	—		$	5
IUL embedded derivatives	—		—		601			601
GMWB and GMAB embedded derivatives	—		—		(49		)	(49		)	⁽⁴⁾
Total policyholder account balances, future policy benefits and claims	—		5		552			557			⁽⁵⁾
Customer deposits	—		10		—			10
Other liabilities:
Interest rate derivative contracts	1		415		—			416
Equity derivative contracts	7		2,876		—			2,883
Credit derivative contracts	—		2		—			2
Foreign exchange derivative contracts	4		23		—			27
Other	9		6		28			43
Total other liabilities	21		3,322		28			3,371
Total liabilities at fair value	$	21	$	3,337	$	580		$	3,938

⁽¹⁾ Amounts are comprised of certain financial instruments 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.

⁽²⁾ The fair value of the GMWB and GMAB embedded derivatives included $265 million of individual contracts in a liability position and $690 million of individual contracts in an asset position as of June 30, 2018.


⁽³⁾	The Company’s adjustment for nonperformance risk resulted in a $(444) million cumulative increase (decrease) to the embedded derivatives as of June 30, 2018.


⁽⁴⁾	The fair value of the GMWB and GMAB embedded derivatives included $443 million of individual contracts in a liability position and $492 million of individual contracts in an asset position as of December 31, 2017.


⁽⁵⁾	The Company’s adjustment for nonperformance risk resulted in a $(399) million cumulative increase (decrease) to the embedded derivatives as of December 31, 2017.

Schedule of debt of the consolidated investment entities and the stated interest rates [Table Text Block]

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



	Outstanding Balance					Stated Interest Rate
	June 30, 2018			December 31, 2017		June 30, 2018		December 31, 2017
	(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			500		2.9		2.9
Capitalized lease obligations	31			38
Other ⁽¹⁾	(6		)	3
Total long-term debt	2,875			2,891

Short-term borrowings:
Federal Home Loan Bank (“FHLB”) advances	150			150		2.1		1.5
Repurchase agreements	51			50		2.1		1.4
Total short-term borrowings	201			200
Total	$	3,076		$	3,091

⁽¹⁾ Amounts include adjustments for fair value hedges on the Company’s long-term debt and unamortized discount and debt issuance costs. See Note 13 for information on the Company’s fair value hedges.

Consolidated investment entities [Member]

Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]

Schedule of assets and liabilities held by consolidated investment entities measured at fair value on a recurring basis [Table Text Block]

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



	June 30, 2018
	Level 1		Level 2		Level 3		Total
	(in millions)
Assets
Investments:
Corporate debt securities	$	—	$	9	$	—	$	9
Common stocks	5		1		4		10
Other investments	4		—		—		4
Syndicated loans	—		1,163		111		1,274
Total investments	9		1,173		115		1,297
Receivables	—		17		—		17
Total assets at fair value	$	9	$	1,190	$	115	$	1,314

Liabilities
Debt ⁽¹⁾	$	—	$	1,416	$	—	$	1,416
Other liabilities	—		28		—		28
Total liabilities at fair value	$	—	$	1,444	$	—	$	1,444



	December 31, 2017
	Level 1		Level 2		Level 3		Total
	(in millions)
Assets
Investments:
Corporate debt securities	$	—	$	27	$	—	$	27
Common stocks	18		8		4		30
Other investments	5		—		—		5
Syndicated loans	—		1,889		180		2,069
Total investments	23		1,924		184		2,131
Receivables	—		25		—		25
Total assets at fair value	$	23	$	1,949	$	184	$	2,156

Liabilities
Debt ⁽¹⁾	$	—	$	2,206	$	—	$	2,206
Other liabilities	—		63		—		63
Total liabilities at fair value	$	—	$	2,269	$	—	$	2,269


⁽¹⁾	The carrying value of the CLOs’ debt is set equal to the fair value of the CLOs’ assets. The estimated fair value of the CLOs’ debt was $1.4 billion and $2.2 billion as of June 30, 2018 and December 31, 2017, respectively.

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

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



	Common Stocks			Syndicated Loans
	(in millions)
Balance, April 1, 2018	$	11		$	200
Total gains (losses) included in:
Net income	—			(1		)	⁽¹⁾
Purchases	—			24
Sales	(4		)	(35		)
Settlements	—			(19		)
Transfers into Level 3	—			17
Transfers out of Level 3	(3		)	(75		)
Balance, June 30, 2018	$	4		$	111
Changes in unrealized gains (losses) included in income relating to assets held at June 30, 2018	$	—		$	—



	Corporate Debt Securities			Common Stocks			Syndicated Loans
	(in millions)
Balance, April 1, 2017	$	2		$	4		$	223
Total gains (losses) included in:
Net income	—			—			(2		)	⁽¹⁾
Purchases	—			3			72
Sales	(2		)	(1		)	(7		)
Settlements	—			—			(30		)
Transfers into Level 3	—			1			41
Transfers out of Level 3	—			—			(112		)
Balance, June 30, 2017	$	—		$	7		$	185
Changes in unrealized gains (losses) included in income relating to assets held at June 30, 2017	$	—		$	—		$	(3	)	⁽¹⁾



	Common Stocks				Syndicated Loans

Balance, January 1, 2018	$	4			$	180
Total gains (losses) included in:
Net income	4			⁽¹⁾	1			⁽¹⁾
Purchases	—				42
Sales	(4		)		(36		)
Settlements	—				(30		)
Transfers into Level 3	4				78
Transfers out of Level 3	(4		)		(124		)
Balance, June 30, 2018	$	4			$	111
Changes in unrealized gains (losses) included in income relating to assets held at June 30, 2018	$	2		⁽¹⁾	$	—



	Corporate Debt Securities			Common Stocks			Syndicated Loans
	(in millions)
Balance, January 1, 2017	$	—		$	5		$	254
Total gains (losses) included in:
Net income	—			—			1			⁽¹⁾
Purchases	—			3			127
Sales	(2		)	(1		)	(15		)
Settlements	—			—			(53		)
Transfers into Level 3	2			2			113
Transfers out of Level 3	—			(2		)	(242		)
Balance, June 30, 2017	$	—		$	7		$	185
Changes in unrealized gains (losses) included in income relating to assets held at June 30, 2017	$	—		$	—		$	(1	)	⁽¹⁾

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

Schedule of fair value and unpaid principal balance of assets and liabilities carried at fair value under the fair value option [Table Text Block]

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



	June 30, 2018			December 31, 2017
	(in millions)
Syndicated loans
Unpaid principal balance	$	1,298		$	2,140
Excess unpaid principal over fair value	(24		)	(71		)
Fair value	$	1,274		$	2,069
Fair value of loans more than 90 days past due	$	7		$	24
Fair value of loans in nonaccrual status	7			24
Difference between fair value and unpaid principal of loans more than 90 days past due, loans in nonaccrual status or both	5			35

Debt
Unpaid principal balance	$	1,557		$	2,340
Excess unpaid principal over fair value	(141		)	(134		)
Carrying value ⁽¹⁾	$	1,416		$	2,206

⁽¹⁾ The carrying value of the CLOs’ debt is set equal to the fair value of the CLOs’ assets. The estimated fair value of the CLOs’ debt was $1.4 billion and $2.2 billion as of June 30, 2018 and December 31, 2017, respectively.

Schedule of debt of the consolidated investment entities and the stated interest rates [Table Text Block]

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



	Carrying Value				Weighted Average Interest Rate
	June 30, 2018		December 31, 2017		June 30, 2018		December 31, 2017
	(in millions)
Debt of consolidated CLOs due 2025-2026	$	1,416	$	2,206	3.5	%	2.8	%

- 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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