Company Overview

Ameriprise Financial, Inc., together with its subsidiaries, operates as a diversified financial services company in the United States and internationally. The company offers financial planning and advice services to individual and institutional clients. Ameriprise Financial is a leading diversified financial services firm with a proud, 130-year legacy of helping clients achieve their financial goals.

The company was formerly known as American Express Financial Corporation and changed its name to Ameriprise Financial, Inc. in September 2005. Ameriprise Financial, Inc. was founded in 1894 and is based in Minneapolis, Minnesota.

Business Segments

The company operates through three primary segments: Advice & Wealth Management, Asset Management, and Retirement & Protection Solutions.

Advice & Wealth Management

This segment provides financial planning and advice; brokerage products and services for retail and institutional clients; discretionary and non-discretionary investment advisory accounts; mutual funds; insurance and annuities products; cash management and banking products; and face-amount certificates.

Asset Management

The Asset Management segment offers investment management, advice, and products to retail, high net worth, and institutional clients through third-party financial institutions, advisor networks, direct retail, and its institutional sales force under the Columbia Threadneedle Investments brand name.

Its products include U.S. mutual funds and their non-U.S. equivalents, exchange-traded funds, variable product funds underlying insurance, and annuity separate accounts; and institutional asset management products, such as traditional asset classes, separately managed accounts, individually managed accounts, collateralized loan obligations, hedge funds, collective funds, and property and infrastructure funds.

Retirement & Protection Solutions

This segment provides variable annuity products, as well as life and disability income insurance products to retail clients.

Financial Performance and Market Position

Ameriprise Financial has evolved into a diversified financial services provider that generates a significant portion of its operating income from advice and wealth management. With substantial assets under management and advisory, and a large network of affiliated advisors, Ameriprise is positioned as one of the larger US-based wealth managers. The firm also boasts a reasonably large asset management franchise in Columbia Threadneedle.

Key Financial Highlights (Q4 2024 & FY 2024)

• Revenue (FY 2024): $17.93 billion, an increase of 11.37% compared to $16.10 billion in the previous year.

• Earnings (FY 2024): $3.40 billion, an increase of 33.06%.

• Advice & Wealth Management Performance: Delivered strong organic growth generating pretax adjusted operating earnings of $823 million, up 18 percent, with a margin of 29 percent driven by core business growth and equity market appreciation.

• Operating Tax Rate: The operating effective tax rate was 20.8 percent for the fourth quarter and 20.3 percent for the full year.

Market Position and Scale

Ameriprise Financial generates roughly 65% of its operating income from advice and wealth management. With more than $1 trillion in segment assets under management and advisory at year-end 2024, and with roughly 10,000 affiliated advisors, Ameriprise is one of the larger US-based wealth managers.

The firm also boasts a reasonably large asset management franchise in Columbia Threadneedle, which had $645 billion in assets under management at year-end 2024. After eliminations, Ameriprise had $1.5 trillion in assets under management and advisory across segments at year-end 2024.

Network and Capabilities

With extensive investment advice, global asset management capabilities, insurance solutions, and a nationwide network of more than 10,000 financial advisors, the company possesses the strength and expertise to serve the full range of individual and institutional investors' financial needs.

Operational Focus

In addition, adjusted operating after-tax results included severance expenses of $46 million for full year 2024 and $21 million for full year 2023 related to the company's initiatives to enhance operational efficiency and effectiveness, aimed at further strengthening the client experience and future profitability.

Trading Information

Ameriprise Financial Inc trades on the New York Stock Exchange under the ticker symbol "AMP". The company operates as a publicly traded corporation and regularly reports its financial performance to shareholders and the investment community through quarterly earnings releases and annual reports.

The company has demonstrated strong capital management practices, including reducing its share count by 22% over the past five years while steadily increasing its dividend. This approach reflects management's commitment to returning value to shareholders while maintaining the financial flexibility necessary to support business growth and expansion opportunities.