
The following is a summary of Ameriprise Financial investments:	June 30, 2020			December 31, 2019
			(in millions)
Available-for-Sale securities, at fair value (net of allowance for credit losses: 2020, $14)	$	34,442		$	33,129
Mortgage loans, net (net of allowance for credit losses: 2020, $28; 2019, $19)	2,809			2,778
Policy loans	856			868
Other investments (net of allowance for credit losses: 2020, $14; 2019, $5)	1,101			1,140
Total	$	39,208		$	37,915

Other investments primarily reflect the Company’s interests in affordable housing partnerships, trading securities, seed money investments, syndicated loans, credit card receivables and certificates of deposit with original or remaining maturities at the time of purchase of more than 90 days.


The following is a summary of net investment income:	Three Months Ended June 30,								Six Months Ended June 30,
	2020			2019		2020			2019
	(in millions)
Investment income on fixed maturities	$	290		$	344	$	612		$	697
Net realized gains (losses)	(3)		(1)	—		(22)		(1)	4
Affordable housing partnerships	(22)			(17)		(36)			(32)
Other	23			16		45			48
Consolidated investment entities	17			25		34			48
Total	$	305		$	368	$	633		$	765


Available-for-Sale securities distributed by type were as follows:	June 30, 2020
Description of Securities	Amortized Cost			Gross Unrealized Gains			Gross Unrealized Losses			Allowance for Credit Losses			Fair Value
		(in millions)
Corporate debt securities		$	11,197		$	1,549		$	(36)		$	(13)		$	12,697
Residential mortgage backed securities		9,783			185			(12)			—			9,956
Commercial mortgage backed securities		5,731			205			(56)			—			5,880
Asset backed securities		2,800			42			(28)			(1)			2,813
State and municipal obligations		1,092			275			(2)			—			1,365
U.S. government and agency obligations		1,464			1			—			—			1,465
Foreign government bonds and obligations		251			18			(3)			—			266

Total		$	32,318		$	2,275		$	(137)		$	(14)		$	34,442


Description of Securities	December 31, 2019
			Amortized Cost			Gross Unrealized Gains			Gross Unrealized Losses			Fair Value
	(in millions)
Corporate debt securities	$	10,847		$	1,344		$	(4)		$	12,187
Residential mortgage backed securities	9,954			94			(19)			10,029
Commercial mortgage backed securities	5,473			96			(6)			5,563
Asset backed securities	1,968			42			(4)			2,006
State and municipal obligations	1,131			238			(2)			1,367
U.S. government and agency obligations	1,679			1			—			1,680
Foreign government bonds and obligations	254			19			(2)			271
Other securities	26			—			—			26
Total	$	31,332		$	1,834		$	(37)		$	33,129

As of both June 30, 2020 and December 31, 2019, accrued interest of $177 million is excluded from the amortized cost basis of Available-for-Sale securities in the tables above and is recorded in receivables on the Consolidated Balance Sheets.

As of June 30, 2020 and December 31, 2019, investment securities with a fair value of $2.8 billion and $2.2 billion, respectively, were pledged to meet contractual obligations under derivative contracts and short-term borrowings, of which $426 million and $576 million, respectively, may be sold, pledged or rehypothecated by the counterparty.

As of June 30, 2020 and December 31, 2019, fixed maturity securities comprised approximately 88% and 87%, 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 June 30, 2020 and December 31, 2019, the Company’s internal analysts rated $614 million and $624 million, respectively, of securities using criteria similar to those used by NRSROs.


Ratings	June 30, 2020														December 31, 2019
			Amortized Cost			Fair Value			Percent of Total Fair Value			Amortized Cost			Fair Value		Percent of Total Fair Value
	(in millions, except percentages)
AAA	$	18,997		$	19,324		56	%		$	18,256		$	18,437	56	%
AA	1,080			1,311			4			1,113			1,304		4
A	3,185			3,724			11			3,008			3,474		10
BBB	7,865			8,870			26			8,178			9,102		28
Below investment grade ⁽¹⁾	1,191			1,213			3			777			812		2
Total fixed maturities	$	32,318		$	34,442		100	%		$	31,332		$	33,129	100	%

⁽¹⁾The amortized cost and fair value of below investment grade securities includes interest in CLOs managed by the Company of $4 million and $3 million, respectively, as of June 30, 2020, and $5 million and $6 million, respectively, as of December 31, 2019. These securities are not rated but are included in below investment grade due to their risk characteristics.

As of June 30, 2020 and December 31, 2019, approximately 39% and 45%, respectively, of securities rated AAA were GNMA, FNMA and FHLMC mortgage backed securities. No holdings of any 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	June 30, 2020
		Less than 12 months														12 months or more							Total
		Number of Securities			Fair Value			Unrealized Losses ⁽¹⁾		Number of Securities			Fair Value				Unrealized Losses ⁽¹⁾	Number of Securities		Fair Value		Unrealized Losses ⁽¹⁾
	(in millions, except number of securities)
Corporate debt securities	65		$	407		$	(40)		10		$	40		$	(9)		75	$	447	$	(49)
Residential mortgage backed securities	133		1,774			(8)			87		800			(4)			220	2,574		(12)
Commercial mortgage backed securities	50		1,433			(54)			9		140			(2)			59	1,573		(56)
Asset backed securities	79		1,308			(25)			10		171			(4)			89	1,479		(29)
State and municipal obligations	4		55			(2)			1		4			—			5	59		(2)
Foreign government bonds and obligations	6		22			(1)			9		10			(2)			15	32		(3)
Total	337		$	4,999		$	(130)		126		$	1,165		$	(21)		463	$	6,164	$	(151)


Description of Securities	December 31, 2019
		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	13		$	66		$	(1)		23		$	173		$	(3)		36	$	239	$	(4)
Residential mortgage backed securities	150		4,328			(10)			118		1,164			(9)			268	5,492		(19)
Commercial mortgage backed securities	52		1,622			(3)			31		314			(3)			83	1,936		(6)
Asset backed securities	34		598			(3)			16		213			(1)			50	811		(4)
State and municipal obligations	5		23			—			4		57			(2)			9	80		(2)
Foreign government bonds and obligations	1		—			—			10		15			(2)			11	15		(2)
Total	255		$	6,637		$	(17)		202		$	1,936		$	(20)		457	$	8,573	$	(37)

As part of the Company’s ongoing monitoring process, management determined that the change in gross unrealized losses on its Available-for-Sale securities during the six months ended June 30, 2020 is primarily attributable to wider credit spreads, partially offset by lower interest rates. Consistent with the accounting policy described in Note 2, the Company did not recognize these

unrealized losses in earnings because it was determined that such losses were due to non-credit factors. The Company does not intend to sell these securities and does not believe that it is more likely than not that the Company will be required to sell these securities before the anticipated recovery of the remaining amortized cost basis. As of June 30, 2020, 85% of the total of Available-for-Sale securities with gross unrealized losses were considered investment grade.


	Corporate Debt Securities			Asset Back Securities		Total
			(in millions)
Balance, April 1, 2020	$	13		$	—	$	13
Additions for which credit losses were not previously recorded	—			—		—
Additional increases (decreases) on securities that had an allowance recorded in a previous period	—			1		1
Balance, June 30, 2020	$	13		$	1	$	14


	Corporate Debt Securities			Asset Back Securities		Total
			(in millions)
Balance, January 1, 2020 ⁽¹⁾	$	—		$	—	$	—
Additions for which credit losses were not previously recorded	13			—		13
Additional increases (decreases) on securities that had an allowance recorded in a previous period	—			1		1
Balance, June 30, 2020	$	13		$	1	$	14

⁽¹⁾ Prior to January 1, 2020, credit losses on Available-for-Sale securities were not recorded in an allowance but were recorded as a reduction of the book value of the security if the security was other-than-temporarily impaired. There is no adoption impact due to the prospective transition for Available-for-Sale securities.


	Three Months Ended June 30,								Six Months Ended June 30,
			2020			2019			2020		2019
			(in millions)
Gross realized investment gains	$	5		$	3		$	13	$	22
Gross realized investment losses	—			(3)			(3)		(12)
Credit losses	(1)			—			(14)		(5)
Total	$	4		$	—		$	(4)	$	5

Credit losses for the three months and six months ended June 30, 2020 primarily related to recording an allowance for credit losses on certain corporate debt securities, primarily in the oil and gas industry. The Company recognized an impairment of $5 million in the first quarter of 2019 on investments held by Ameriprise Auto & Home Insurance (“AAH”) as the Company no longer intended to hold the securities until the recovery of fair value to book value.


	Amortized Cost			Fair Value
			(in millions)
Due within one year	$	2,759		$	2,774
Due after one year through five years	5,007			5,290
Due after five years through 10 years	2,273			2,545
Due after 10 years	3,965			5,184
	14,004			15,793
Residential mortgage backed securities	9,783			9,956
Commercial mortgage backed securities	5,731			5,880
Asset backed securities	2,800			2,813
Total	$	32,318		$	34,442