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Investments
 12 Months Ended
Dec. 31, 2018
Investments, Debt and Equity Securities [Abstract]  
Investments [Text Block] Investments
The following is a summary of investments:
 
December 31,
2018
 
2017
(in millions)
Available-for-Sale securities, at fair value
$
31,058

 
$
30,927

Mortgage loans, net
2,696

 
2,756

Policy and certificate loans
861

 
845

Other investments
1,210

 
1,397

Total
$
35,825

 
$
35,925


The carrying value of held-to-maturity certificates of deposit, which are included in other investments, was $7 million and $205 million as of December 31, 2018 and December 31, 2017, respectively, which approximates fair value due to the short time between the purchase of the instrument and its expected realization.
The following is a summary of net investment income:
 
Years Ended December 31,
2018
 
2017
 
2016
(in millions)
Investment income on fixed maturities
$
1,353

 
$
1,349

 
$
1,368

Net realized gains (losses)
10

 
46

 
6

Affordable housing partnerships
(58
)
 
(100
)
 
(44
)
Other
154

 
108

 
91

Consolidated investment entities
137

 
106

 
155

Total
$
1,596

 
$
1,509

 
$
1,576


Available-for-Sale securities distributed by type were as follows:
Description of Securities
December 31, 2018
Amortized
Cost
 
Gross
Unrealized
Gains
 
Gross
Unrealized
Losses
 
Fair Value
 
Noncredit
OTTI (1)
 
(in millions)
Corporate debt securities
$
13,741

 
$
555

 
$
(230
)
 
$
14,066

 
$
—

Residential mortgage backed securities
6,373

 
34

 
(78
)
 
6,329

 
—

Commercial mortgage backed securities
4,975

 
18

 
(116
)
 
4,877

 
—

Asset backed securities
1,373

 
36

 
(11
)
 
1,398

 
1

State and municipal obligations
2,166

 
192

 
(13
)
 
2,345

 
—

U.S. government and agency obligations
1,745

 
—

 
—

 
1,745

 
—

Foreign government bonds and obligations
298

 
9

 
(9
)
 
298

 
—

Total
$
30,671

 
$
844

 
$
(457
)
 
$
31,058

 
$
1

Description of Securities
December 31, 2017
Amortized
Cost
 
Gross
Unrealized
Gains
 
Gross
Unrealized
Losses
 
Fair Value
 
Noncredit
OTTI (1)
 
(in millions)
Corporate debt securities
$
13,976

 
$
1,131

 
$
(32
)
 
$
15,075

 
$
—

Residential mortgage backed securities
6,585

 
63

 
(37
)
 
6,611

 
—

Commercial mortgage backed securities
4,362

 
48

 
(36
)
 
4,374

 
—

Asset backed securities
1,549

 
36

 
(5
)
 
1,580

 
1

State and municipal obligations
2,215

 
259

 
(11
)
 
2,463

 
—

U.S. government and agency obligations
502

 
1

 
—

 
503

 
—

Foreign government bonds and obligations
298

 
20

 
(4
)
 
314

 
—

Common stocks
5

 
3

 
(1
)
 
7

 
—

Total
$
29,492

 
$
1,561

 
$
(126
)
 
$
30,927

 
$
1

(1)  Represents the amount of other-than-temporary impairment (“OTTI”) losses in AOCI. Amount includes unrealized gains and losses on impaired securities subsequent to the initial impairment measurement date. These amounts are included in gross unrealized gains and losses as of the end of the period.
As of December 31, 2018 and 2017, investment securities with a fair value of $1.5 billion and $1.7 billion, respectively, were pledged to meet contractual obligations under derivative contracts and short-term borrowings, of which $510 million and $803 million, respectively, may be sold, pledged or rehypothecated by the counterparty.
As of December 31, 2018 and 2017, fixed maturity securities comprised approximately 87% and 86%, respectively, of Ameriprise Financial investments. Rating agency designations are based on the availability of ratings from Nationally Recognized Statistical Rating Organizations (“NRSROs”), including Moody’s Investors Service (“Moody’s”), Standard & Poor’s Ratings Services (“S&P”) and Fitch Ratings Ltd. (“Fitch”). The Company uses the median of available ratings from Moody’s, S&P and Fitch, or, if fewer than three ratings are available, the lower rating is used. When ratings from Moody’s, S&P and Fitch are unavailable, the Company may utilize ratings from other NRSROs or rate the securities internally. As of December 31, 2018 and 2017, the Company’s internal analysts rated $755 million and $979 million, respectively, of securities using criteria similar to those used by NRSROs.
A summary of fixed maturity securities by rating was as follows:
Ratings
December 31, 2018
 
December 31, 2017
Amortized
Cost
 
Fair Value
 
Percent of Total Fair Value
Amortized
Cost
 
Fair Value
 
Percent of Total Fair Value
 
(in millions, except percentages)
AAA
$
13,399

 
$
13,252

 
43
%
 
$
11,293

 
$
11,331

 
37
%
AA
1,571

 
1,723

 
5

 
1,898

 
2,114

 
7

A
3,667

 
3,899

 
13

 
4,760

 
5,243

 
17

BBB
11,102

 
11,290

 
36

 
10,317

 
10,989

 
35

Below investment grade (1)
932

 
894

 
3

 
1,219

 
1,243

 
4

Total fixed maturities
$
30,671

 
$
31,058

 
100

 
$
29,487

 
$
30,920

 
100
%

(1) The amortized cost and fair value of below investment grade securities includes interest in CLOs managed by the Company of $5 million and $6 million, respectively, as of December 31, 2018, and $6 million and $7 million, respectively, as of December 31, 2017.
As of December 31, 2018 and 2017, approximately 36% and 37%, respectively, of the securities rated AAA were GNMA, FNMA and FHLMC mortgage backed securities. No holdings of any other issuer were greater than 10% of total equity.
The following tables provide information about Available-for-Sale securities with gross unrealized losses and the length of time that individual securities have been in a continuous unrealized loss position:
Description of Securities
December 31, 2018
Less than 12 months
 
12 months or more
 
Total
Number of Securities
 
Fair
Value
 
Unrealized
Losses
Number of Securities
 
Fair
Value
 
Unrealized
Losses
Number of Securities
 
Fair
Value
 
Unrealized
Losses
 
(in millions, except number of securities)
Corporate debt securities
345

 
$
5,522

 
$
(152
)
 
148

 
$
1,717

 
$
(78
)
 
493

 
$
7,239

 
$
(230
)
Residential mortgage backed securities
142

 
2,029

 
(18
)
 
175

 
2,132

 
(60
)
 
317

 
4,161

 
(78
)
Commercial mortgage backed securities
104

 
2,062

 
(30
)
 
112

 
1,806

 
(86
)
 
216

 
3,868

 
(116
)
Asset backed securities
38

 
491

 
(6
)
 
35

 
396

 
(5
)
 
73

 
887

 
(11
)
State and municipal obligations
81

 
255

 
(4
)
 
100

 
254

 
(9
)
 
181

 
509

 
(13
)
Foreign government bonds and obligations
17

 
86

 
(4
)
 
14

 
17

 
(5
)
 
31

 
103

 
(9
)
Total
727

 
$
10,445

 
$
(214
)
 
584

 
$
6,322

 
$
(243
)
 
1,311

 
$
16,767

 
$
(457
)
Description of Securities
December 31, 2017
Less than 12 months
 
12 months or more
 
Total
Number of Securities
 
Fair
Value
 
Unrealized
Losses
Number of Securities
 
Fair
Value
 
Unrealized
Losses
Number of Securities
 
Fair
Value
 
Unrealized
Losses
 
(in millions, except number of securities)
Corporate debt securities
150

 
$
1,791

 
$
(8
)
 
70

 
$
740

 
$
(24
)
 
220

 
$
2,531

 
$
(32
)
Residential mortgage backed securities
102

 
1,772

 
(11
)
 
130

 
1,467

 
(26
)
 
232

 
3,239

 
(37
)
Commercial mortgage backed securities
67

 
1,178

 
(12
)
 
58

 
783

 
(24
)
 
125

 
1,961

 
(36
)
Asset backed securities
36

 
424

 
(2
)
 
26

 
187

 
(3
)
 
62

 
611

 
(5
)
State and municipal obligations
76

 
141

 
(1
)
 
34

 
180

 
(10
)
 
110

 
321

 
(11
)
Foreign government bonds and obligations
3

 
6

 
—

 
15

 
23

 
(4
)
 
18

 
29

 
(4
)
Common and preferred stocks
—

 
—

 
—

 
4

 
1

 
(1
)
 
4

 
1

 
(1
)
Total
434

 
$
5,312

 
$
(34
)
 
337

 
$
3,381

 
$
(92
)
 
771

 
$
8,693

 
$
(126
)

As part of Ameriprise Financial’s ongoing monitoring process, management determined that the change in gross unrealized losses on its Available-for-Sale securities is primarily attributable to a rise in interest rates as well as wider credit spreads.
The following table presents a rollforward of the cumulative amounts recognized in the Consolidated Statements of Operations for other-than-temporary impairments related to credit losses on Available-for-Sale securities for which a portion of the securities’ total other-than-temporary impairments was recognized in OCI:
 
December 31,
2018
 
2017
 
2016
(in millions)
Beginning balance
$
2

 
$
69

 
$
85

Credit losses for which an other-than-temporary impairment was not previously recognized
—

 
—

 
1

Credit losses for which an other-than-temporary impairment was previously recognized
—

 
1

 
1

Reductions for securities sold during the period (realized)
—

 
(68
)
 
(18
)
Ending balance
$
2

 
$
2

 
$
69


Net realized gains and losses on Available-for-Sale securities, determined using the specific identification method, recognized in earnings were as follows:
 
Years Ended December 31,
2018
 
2017
 
2016
(in millions)
Gross realized gains
$
18

 
$
63

 
$
37

Gross realized losses
(9
)
 
(7
)
 
(13
)
Other-than-temporary impairments
—

 
(1
)
 
(2
)
Total
$
9

 
$
55

 
$
22


Other-than temporary impairments for the years ended December 31, 2017 and 2016 primarily related to credit losses on asset backed securities.
See Note 19 for a rollforward of net unrealized investment gains (losses) included in AOCI.
Available-for-Sale securities by contractual maturity as of December 31, 2018 were as follows:
 
Amortized Cost
 
Fair Value
(in millions)
Due within one year
$
3,621

 
$
3,624

Due after one year through five years
5,967

 
5,954

Due after five years through 10 years
3,899

 
3,870

Due after 10 years
4,463

 
5,006

 
17,950

 
18,454

Residential mortgage backed securities
6,373

 
6,329

Commercial mortgage backed securities
4,975

 
4,877

Asset backed securities
1,373

 
1,398

Total
$
30,671

 
$
31,058


Actual maturities may differ from contractual maturities because issuers may have the right to call or prepay obligations. Residential mortgage backed securities, commercial mortgage backed securities and asset backed securities are not due at a single maturity date. As such, these securities were not included in the maturities distribution.