Fair Values of Assets and Liabilities (Tables)

9 Months Ended

Sep. 30, 2011

Fair Values of Assets and Liabilities

Schedule of assets and liabilities measured at fair value on a recurring basis

	September 30, 2011
	Level 1		Level 2		Level 3		Total
	(in millions)
Assets
Cash equivalents	$	3	$	2,217	$	—	$	2,220
Available-for-Sale securities:
Corporate debt securities	—		16,024		1,319		17,343
Residential mortgage backed securities	—		3,608		3,825		7,433
Commercial mortgage backed securities	—		4,833		52		4,885
Asset backed securities	—		1,539		495		2,034
State and municipal obligations	—		2,083		—		2,083
U.S. government and agencies obligations	22		51		—		73
Foreign government bonds and obligations	—		127		—		127
Common stocks	1		2		5		8
Other debt obligations	—		26		—		26
Total Available-for-Sale securities	23		28,293		5,696		34,012
Trading securities:
Seed money	184		33		12		229
Investments segregated for regulatory purposes	—		16		—		16
Fixed income and other	—		320		—		320
Total trading securities	184		369		12		565
Separate account assets	—		63,237		—		63,237
Other assets:
Interest rate derivative contracts	—		1,783		—		1,783
Equity derivative contracts	279		985		—		1,264
Credit derivative contracts	—		3		—		3
Foreign currency derivative contracts	—		7		—		7
Other	—		1		—		1
Total other assets	279		2,779		—		3,058
Assets held for sale	15		—		—		15
Total assets at fair value	$	504	$	96,895	$	5,708	$	103,107
Liabilities
Future policy benefits and claims:
EIA embedded derivatives	$	—	$	1	$	—	$	1
GMWB and GMAB embedded derivatives	—		—		1,600		1,600
Total future policy benefits and claims	—		1		1,600		1,601
Customer deposits	—		4		—		4
Other liabilities:
Interest rate derivative contracts	—		1,073		—		1,073
Equity derivative contracts	232		605		—		837
Foreign currency derivative contracts	1		5		—		6
Other	—		5		—		5
Total other liabilities	233		1,688		—		1,921
Total liabilities at fair value	$	233	$	1,693	$	1,600	$	3,526

	December 31, 2010
	Level 1		Level 2		Level 3		Total
	(in millions)
Assets
Cash equivalents	$	42	$	2,481	$	—	$	2,523
Available-for-Sale securities:
Corporate debt securities	—		15,281		1,325		16,606
Residential mortgage backed securities	—		3,011		4,247		7,258
Commercial mortgage backed securities	—		4,817		51		4,868
Asset backed securities	—		1,544		476		2,020
State and municipal obligations	—		1,582		—		1,582
U.S. government and agencies obligations	64		79		—		143
Foreign government bonds and obligations	—		108		—		108
Common stocks	2		3		5		10
Other debt obligations	—		24		—		24
Total Available-for-Sale securities	66		26,449		6,104		32,619
Trading securities:
Seed money	133		71		19		223
Investments segregated for regulatory purposes	2		14		—		16
Fixed income and other	—		323		—		323
Total trading securities	135		408		19		562
Separate account assets	—		68,330		—		68,330
Other assets:
Interest rate derivative contracts	—		438		—		438
Equity derivative contracts	32		420		—		452
Credit derivative contracts	—		4		—		4
Foreign currency derivative contracts	1		—		—		1
Other	—		2		—		2
Total other assets	33		864		—		897
Assets held for sale	—		15		—		15
Total assets at fair value	$	276	$	98,547	$	6,123	$	104,946
Liabilities
Future policy benefits and claims:
EIA embedded derivatives	$	—	$	3	$	—	$	3
GMWB and GMAB embedded derivatives	—		—		421		421
Total future policy benefits and claims	—		3		421		424
Customer deposits	—		14		—		14
Other liabilities:
Interest rate derivative contracts	—		379		—		379
Equity derivative contracts	18		722		—		740
Credit derivative contracts	—		1		—		1
Foreign currency derivative contracts	1		—		—		1
Other	—		2		—		2
Total other liabilities	19		1,104		—		1,123
Total liabilities at fair value	$	19	$	1,121	$	421	$	1,561

Schedule of changes in level 3 assets and liabilities measured at fair value on a recurring basis

																				Future Policy
																				Benefits
	Available-for-Sale Securities																			and Claims:
				Residential			Commercial													GMWB
	Corporate			Mortgage			Mortgage			Asset										and GMAB
	Debt			Backed			Backed			Backed			Common					Trading		Embedded
	Securities			Securities			Securities			Securities			Stocks		Total			Securities		Derivatives
	(in millions)
Balance, July 1, 2011	$	1,274		$	4,097		$	64		$	498		$	5	$	5,938		$	12	$	(316	)
Total gains (losses) included in:
Net income	—			52			—			4			—		56		(1)	—		(1,236		)(2)
Other comprehensive income	—			(107		)	(1		)	(15		)	—		(123		)	—		—
Purchases	71			57			15			43			—		186			—		—
Sales	—			—			—			—			—		—			—		—
Issues	—			—			—			—			—		—			—		(39		)
Settlements	(33		)	(274		)	(1		)	(27		)	—		(335		)	—		(9		)
Transfers into Level 3	7			—			—			14			—		21			—		—
Transfers out of Level 3	—			—			(25		)	(22		)	—		(47		)	—		—
Balance, September 30, 2011	$	1,319		$	3,825		$	52		$	495		$	5	$	5,696		$	12	$	(1,600	)
Changes in unrealized gains (losses) relating to assets and liabilities held at September 30, 2011 included in:
Net investment income	$	—		$	52		$	—		$	4		$	—	$	56		$	—	$	—
Benefits, claims, losses and settlement expenses	—			—			—			—			—		—			—		(1,241		)

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

(2) Included in benefits, claims, losses and settlement expenses in the Consolidated Statements of Operations.

																							Future Policy
																							Benefits
	Available-for-Sale Securities																						and Claims:
			Residential			Commercial																	GMWB
	Corporate		Mortgage			Mortgage			Asset														and GMAB
	Debt		Backed			Backed			Backed			Common					Trading			Other			Embedded
	Securities		Securities			Securities			Securities			Stocks		Total			Securities			Assets			Derivatives
	(in millions)
Balance, July 1, 2010	$	1,243	$	4,173		$	144		$	442		$	4	$	6,006		$	18		$	1		$	(1,083	)
Total gains (losses) included in:
Net income	—		20			—			2			—		22		(1)	1		(1)	—			(44		)(2)
Other comprehensive income	15		114			—			6			1		136			(1		)	—			—
Purchases, sales, issues and settlements, net	30		155			—			(12		)	—		173			2			(1		)	(26		)
Transfers into Level 3	25		—			—			—			—		25			—			—			—
Transfers out of Level 3	—		(21		)	(144		)	(13		)	—		(178		)	—			—			—
Balance, September 30, 2010	$	1,313	$	4,441		$	—		$	425		$	5	$	6,184		$	20		$	—		$	(1,153	)
Changes in unrealized gains (losses) relating to assets and liabilities held at September 30, 2010 included in:
Net investment income	$	—	$	19		$	—		$	2		$	—	$	21		$	—		$	—		$	—
Benefits, claims, losses and settlement expenses	—		—			—			—			—		—			—			—			(49		)

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

(2) Included in benefits, claims, losses and settlement expenses in the Consolidated Statements of Operations.

																					Future Policy
																					Benefits
	Available-for-Sale Securities																				and Claims:
				Residential			Commercial														GMWB
	Corporate			Mortgage			Mortgage			Asset											and GMAB
	Debt			Backed			Backed			Backed			Common					Trading			Embedded
	Securities			Securities			Securities			Securities			Stocks		Total			Securities			Derivatives
	(in millions)
Balance, January 1, 2011	$	1,325		$	4,247		$	51		$	476		$	5	$	6,104		$	19		$	(421	)
Total gains (losses) included in:
Net income	7			58			—			8			—		73		(1)	1		(1)	(1,061		)(2)
Other comprehensive income	11			(106		)	—			(13		)	—		(108		)	—			—
Purchases	145			556			104			123			—		928			2			—
Sales	—			(3		)	—			—			—		(3		)	(10		)	—
Issues	—			—			—			—			—		—			—			(107		)
Settlements	(166		)	(871		)	(2		)	(88		)	—		(1,127		)	—			(11		)
Transfers into Level 3	9			—			1			18			—		28			—			—
Transfers out of Level 3	(12		)	(56		)	(102		)	(29		)	—		(199		)	—			—
Balance, September 30, 2011	$	1,319		$	3,825		$	52		$	495		$	5	$	5,696		$	12		$	(1,600	)
Changes in unrealized gains (losses) relating to assets and liabilities held at September 30, 2011 included in:
Net investment income	$	—		$	69		$	—		$	8		$	—	$	77		$	—		$	—
Benefits, claims, losses and settlement expenses	—			—			—			—			—		—			—			(1,074		)

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

(2) Included in benefits, claims, losses and settlement expenses in the Consolidated Statements of Operations.

																											Future Policy
																											Benefits
	Available-for-Sale Securities																										and Claims:
				Residential			Commercial																				GMWB
	Corporate			Mortgage			Mortgage			Asset					Other												and GMAB
	Debt			Backed			Backed			Backed			Common		Structured						Trading			Other			Embedded
	Securities			Securities			Securities			Securities			Stocks		Investments			Total			Securities			Assets			Derivatives
	(in millions)
Balance, January 1, 2010	$	1,252		$	3,982		$	72		$	455		$	4	$	58		$	5,823		$	16		$	—		$	(299	)
Total gains (losses) included in:
Net income	1			35			1			10			—		—			47		(1)	3		(1)	1		(1)	(760		)(2)
Other comprehensive income	58			310			10			34			1		—			413			(2		)	—			—
Purchases, sales, issues and settlements, net	(23		)	135			61			(38		)	—		(58		)(3)	77			3			(1		)	(94		)
Transfers into Level 3	25			—			—			—			—		—			25			—			—			—
Transfers out of Level 3	—			(21		)	(144		)	(36		)	—		—			(201		)	—			—			—
Balance, September 30, 2010	$	1,313		$	4,441		$	—		$	425		$	5	$	—		$	6,184		$	20		$	—		$	(1,153	)
Changes in unrealized gains (losses) relating to assets and liabilities held at September 30, 2010 included in:
Net investment income	$	—		$	33		$	—		$	10		$	—	$	—		$	43		$	—		$	—		$	—
Benefits, claims, losses and settlement expenses	—			—			—			—			—		—			—			—			—			(769		)

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

(2)    Included in benefits, claims, losses and settlement expenses in the Consolidated Statements of Operations.

(3)    Represents the elimination of Ameriprise Financial’s investment in CDOs, which were consolidated due to the adoption of a new accounting standard.

Schedule of carrying value and estimated fair value of financial instruments

	September 30, 2011				December 31, 2010
	Carrying Value		Fair Value		Carrying Value		Fair Value
	(in millions)
Financial Assets
Commercial mortgage loans, net	$	2,520	$	2,708	$	2,577	$	2,671
Policy loans	741		709		733		808
Receivables	2,350		2,054		1,852		1,566
Restricted and segregated cash	1,378		1,378		1,516		1,516
Assets held for sale	19		18		18		18
Other investments and assets	398		390		331		338
Financial Liabilities
Future policy benefits and claims	$	15,091	$	15,806	$	15,328	$	15,768
Investment certificate reserves	2,813		2,791		3,127		3,129
Banking and brokerage customer deposits	6,807		6,807		5,638		5,642
Separate account liabilities	4,061		4,061		4,930		4,930
Debt and other liabilities	3,238		3,489		2,710		2,907