Wealth, Advisory Services Drive Up Ameriprise Q3 Earnings

Tom Burroughes

25 October 2019

Amerprise, the US-listed financial services group that provides wealth management in its offerings, reported third-quarter 2019 adjusted net income of $543 million, a rise of 18 per cent on the same period last year. Adjusted operating earnings rose by 14 per cent to $554 million, it said yesterday.

The firm’s assets under management and administration stood at $921 billion at the end of September. Advice and wealth management total client assets were $612 billion – both represented record highs. Wrap account net inflows were $4.1 billion. Wrap assets grew by 9 per cent to $298 billion and represented 49 per cent of total client assets.

Wealth management advice drove almost 80 per cent of Ameriprise adjusted operating net revenues, it said.

During the quarter, the firm returned $676 million to shareholders, leaving $1.8 billion for excess capital.

“Our capital strength is a clear differentiator. We remain focused on generating significant free cash flow that we invest for growth and return to shareholders at attractive levels. In the quarter, we returned nearly 120 per cent of our adjusted operating earnings to shareholders,” Jim Cracchiolo, chairman and chief executive, said.