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Variable Interest Entities (Tables)

9 Months Ended

Sep. 30, 2019

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:



	September 30, 2019
	Level 1		Level 2		Level 3		Total
	(in millions)
Assets
Cash equivalents	$	349	$	4,266	$	—	$	4,615
Available-for-Sale securities:
Corporate debt securities	—		11,714		794		12,508
Residential mortgage backed securities	—		7,958		154		8,112
Commercial mortgage backed securities	—		5,275		—		5,275
Asset backed securities	—		1,660		20		1,680
State and municipal obligations	—		1,428		—		1,428
U.S. government and agency obligations	1,693		—		—		1,693
Foreign government bonds and obligations	—		271		—		271
Total Available-for-Sale securities	1,693		28,306		968		30,967
Equity securities	1		—		—		1
Investments at net asset value (“NAV”)							6		⁽¹⁾
Trading and other securities	11		30		—		41
Separate account assets at NAV							84,067		⁽¹⁾
Investments and cash equivalents segregated for regulatory purposes	13		—		—		13
Other assets:
Interest rate derivative contracts	—		1,970		—		1,970
Equity derivative contracts	137		2,103		—		2,240
Credit derivative contracts	—		10		—		10
Foreign exchange derivative contracts	—		52		—		52
Total other assets	137		4,135		—		4,272
Total assets at fair value	$	2,204	$	36,737	$	968	$	123,982



Liabilities
Policyholder account balances, future policy benefits and claims:
Indexed annuity embedded derivatives	$	—	$	3	$	37	$	40
IUL embedded derivatives	—		—		822		822
GMWB and GMAB embedded derivatives	—		—		1,452		1,452		⁽²⁾
Total policyholder account balances, future policy benefits and claims	—		3		2,311		2,314		⁽³⁾
Customer deposits	—		13		—		13
Other liabilities:
Interest rate derivative contracts	—		521		—		521
Equity derivative contracts	19		2,811		—		2,830
Foreign exchange derivative contracts	1		33		—		34
Other	6		6		26		38
Total other liabilities	26		3,371		26		3,423
Total liabilities at fair value	$	26	$	3,387	$	2,337	$	5,750



	December 31, 2018
	Level 1		Level 2		Level 3		Total
	(in millions)
Assets
Cash equivalents	$	155	$	2,350	$	—	$	2,505
Available-for-Sale securities:
Corporate debt securities	—		13,153		913		14,066
Residential mortgage backed securities	—		6,193		136		6,329
Commercial mortgage backed securities	—		4,857		20		4,877
Asset backed securities	—		1,392		6		1,398
State and municipal obligations	—		2,345		—		2,345
U.S. government and agency obligations	1,745		—		—		1,745
Foreign government bonds and obligations	—		298		—		298
Total Available-for-Sale securities	1,745		28,238		1,075		31,058
Equity securities	—		1		—		1
Investments at NAV							6		⁽¹⁾
Trading and other securities	36		38		—		74
Separate account assets at NAV							77,925		⁽¹⁾
Investments and cash equivalents segregated for regulatory purposes	301		—		—		301
Other assets:
Interest rate derivative contracts	—		796		—		796
Equity derivative contracts	191		1,527		—		1,718
Foreign exchange derivative contracts	5		55		—		60
Total other assets	196		2,378		—		2,574
Total assets at fair value	$	2,433	$	33,005	$	1,075	$	114,444



Liabilities
Policyholder account balances, future policy benefits and claims:
Indexed annuity embedded derivatives	$	—	$	3	$	14	$	17
IUL embedded derivatives	—		—		628		628
GMWB and GMAB embedded derivatives	—		—		328		328		⁽⁴⁾
Total policyholder account balances, future policy benefits and claims	—		3		970		973		⁽⁵⁾
Customer deposits	—		6		—		6
Other liabilities:
Interest rate derivative contracts	—		424		—		424
Equity derivative contracts	78		2,076		—		2,154
Credit derivative contracts	—		18		—		18
Foreign exchange derivative contracts	4		31		—		35
Other	13		6		30		49
Total other liabilities	95		2,555		30		2,680
Total liabilities at fair value	$	95	$	2,564	$	1,000	$	3,659

⁽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 $1.6 billion of individual contracts in a liability position and $107 million of individual contracts in an asset position as of September 30, 2019.


⁽³⁾	The Company’s adjustment for nonperformance risk resulted in a $(704) million cumulative increase (decrease) to the embedded derivatives as of September 30, 2019.


⁽⁴⁾	The fair value of the GMWB and GMAB embedded derivatives included $646 million of individual contracts in a liability position and $318 million of individual contracts in an asset position as of December 31, 2018.


⁽⁵⁾	The Company’s adjustment for nonperformance risk resulted in a $(726) million cumulative increase (decrease) to the embedded derivatives as of December 31, 2018.

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
	September 30, 2019			December 31, 2018			September 30, 2019		December 31, 2018
	(in millions)
Long-term debt:
Senior notes due 2019	$	—		$	300		—	%	7.3	%
Senior notes due 2020	750			750			5.3		5.3
Senior notes due 2022	500			—			3.0		—
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
Finance lease liabilities	61			25
Other ⁽¹⁾	(10		)	(8		)
Total long-term debt	3,101			2,867

Short-term borrowings:
Federal Home Loan Bank (“FHLB”) advances	151			151			2.2		2.6
Repurchase agreements	50			50			2.5		2.6
Total short-term borrowings	201			201
Total	$	3,302		$	3,068

⁽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:



	September 30, 2019
	Level 1		Level 2		Level 3		Total
	(in millions)
Assets
Investments:
Corporate debt securities	$	—	$	9	$	—	$	9
Common stocks	1		—		—		1
Syndicated loans	—		1,505		135		1,640
Total investments	1		1,514		135		1,650
Receivables	—		20		—		20
Total assets at fair value	$	1	$	1,534	$	135	$	1,670

Liabilities
Debt ⁽¹⁾	$	—	$	1,670	$	—	$	1,670
Other liabilities	—		82		—		82
Total liabilities at fair value	$	—	$	1,752	$	—	$	1,752



	December 31, 2018
	Level 1		Level 2		Level 3		Total
	(in millions)
Assets
Investments:
Corporate debt securities	$	—	$	9	$	—	$	9
Common stocks	1		1		—		2
Other investments	4		—		—		4
Syndicated loans	—		1,465		226		1,691
Total investments	5		1,475		226		1,706
Receivables	—		12		—		12
Total assets at fair value	$	5	$	1,487	$	226	$	1,718

Liabilities
Debt ⁽¹⁾	$	—	$	1,743	$	—	$	1,743
Other liabilities	—		122		—		122
Total liabilities at fair value	$	—	$	1,865	$	—	$	1,865

⁽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 $1.7 billion as of both September 30, 2019 and December 31, 2018.

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, July 1, 2019	$	1		$	130
Total gains (losses) included in:
Net income	—			—
Purchases	—			26
Settlements	—			(25		)
Transfers into Level 3	—			81
Transfers out of Level 3	(1		)	(77		)
Balance, September 30, 2019	$	—		$	135

Changes in unrealized gains (losses) included in income relating to assets held at September 30, 2019	$	—		$	(1	)	⁽¹⁾



	Common Stocks			Syndicated Loans
	(in millions)
Balance, July 1, 2018	$	4		$	111
Total gains (losses) included in:
Net income	2		⁽¹⁾	1			⁽¹⁾
Purchases	—			9
Sales	—			(3		)
Settlements	—			(10		)
Transfers into Level 3	—			52
Transfers out of Level 3	—			(39		)
Balance, September 30, 2018	$	6		$	121

Changes in unrealized gains (losses) included in income relating to assets held at September 30, 2018	$	2	⁽¹⁾	$	—



	Common Stocks			Syndicated Loans
	(in millions)
Balance, January 1, 2019	$	—		$	226
Total gains (losses) included in:
Net income	—			(1		)	⁽¹⁾
Purchases	—			75
Sales	—			(8		)
Settlements	—			(36		)
Transfers into Level 3	1			165
Transfers out of Level 3	(1		)	(286		)
Balance, September 30, 2019	$	—		$	135

Changes in unrealized gains (losses) included in income relating to assets held at September 30, 2019	$	—		$	(2	)	⁽¹⁾



	Common Stocks				Syndicated Loans
	(in millions)
Balance, January 1, 2018	$	4			$	180
Total gains (losses) included in:
Net income	6			⁽¹⁾	2			⁽¹⁾
Purchases	—				51
Sales	(4		)		(39		)
Settlements	—				(40		)
Transfers into Level 3	4				130
Transfers out of Level 3	(4		)		(163		)
Balance, September 30, 2018	$	6			$	121

Changes in unrealized gains (losses) included in income relating to assets held at September 30, 2018	$	4		⁽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:



	September 30, 2019			December 31, 2018
	(in millions)
Syndicated loans
Unpaid principal balance	$	1,705		$	1,743
Excess unpaid principal over fair value	(65		)	(52		)
Fair value	$	1,640		$	1,691
Fair value of loans more than 90 days past due	$	10		$	—
Fair value of loans in nonaccrual status	46			—
Difference between fair value and unpaid principal of loans more than 90 days past due, loans in nonaccrual status or both	12			—

Debt
Unpaid principal balance	$	1,788		$	1,951
Excess unpaid principal over fair value	(118		)	(208		)
Carrying value ⁽¹⁾	$	1,670		$	1,743

⁽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 $1.7 billion as of both September 30, 2019 and December 31, 2018.

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
	September 30, 2019		December 31, 2018		September 30, 2019		December 31, 2018
	(in millions)
Debt of consolidated CLOs due 2025-2030	$	1,670	$	1,743	3.7	%	3.7	%