v3.25.4
Fair Value of Assets and Liabilities (Tables)
 12 Months Ended
Dec. 31, 2025
Fair Values of Assets and Liabilities  
Summary of significant unobservable inputs used in fair value measurements of Level 3 assets and liabilities
The following tables provide a summary of the significant inputs and assumptions used in the fair value measurements developed by the Company or reasonably available to the Company of market risk benefits:
December 31, 2025
Fair ValueValuation TechniqueSignificant Inputs and AssumptionsRangeWeighted
 Average
(in millions)
Market risk benefits$(1,092)Discounted cash flow
Utilization of guaranteed withdrawals (1)
0.0%–52.8%12.2%
Surrender rate (2)
0.4%–75.0%3.6%
Market volatility (3)
0.0%–24.9%11.2%
Nonperformance risk (4)
65 bps65 bps
Mortality rate (5)
0.0%–41.6%1.8%
December 31, 2024
Fair ValueValuation TechniqueSignificant Inputs and AssumptionsRangeWeighted
 Average
(in millions)
Market risk benefits$(919)Discounted cash flow
Utilization of guaranteed withdrawals (1)
0.0%–52.8%11.9%
Surrender rate (2)
0.4%–75.0%3.3%
Market volatility (3)
0.0%–24.6%10.3%
Nonperformance risk (4)
65 bps65 bps
Mortality rate (5)
0.0%–41.6%1.7%
(1) The utilization of guaranteed withdrawals represents the percentage of contractholders that will begin withdrawing in any given year. The weighted average utilization rate represents the average assumption, weighted based on the benefit base. The calculation excludes policies that have already started taking withdrawals.
(2) The weighted average surrender rate represents the average assumption weighted based on the account value of each contract.
(3) Market volatility represents the implied volatility of each contractholder’s mix of funds. The weighted average market volatility represents the average volatility across all contracts, weighted by the size of the guaranteed benefit.
(4) The nonperformance risk is the spread added to the U.S. Treasury curve.
(5) The weighted average mortality rate represents the average assumption weighted based on the account value of each contract.
The following tables provide a summary of the significant unobservable inputs used in the fair value measurements developed by the Company or reasonably available to the Company of Level 3 assets and liabilities:
 
December 31, 2025
Fair ValueValuation TechniqueUnobservable InputRange Weighted
 Average
(in millions)
Corporate debt securities (private placements)$708 Discounted cash flow
Yield/spread to U.S. Treasuries (1)
0.9%– 1.6%1.2%
Asset backed securities$1 Discounted cash flow
Annual short-term default rate (2)
3.0%3.0%
Annual long-term default rate (2)
3.5%3.5%
Discount rate15.0%15.0%
Constant prepayment rate20.0%20.0%
Loss recovery60.0%60.0%
Fixed deferred indexed annuity ceded embedded derivatives$59 Discounted cash flow
Surrender rate (3)
0.5%–89.8%5.1%
Fixed deferred indexed annuity embedded derivatives$58 Discounted cash flow
Surrender rate (3)
0.5%– 89.8%5.1%
  
Nonperformance risk (4)
65 bps65 bps
IUL embedded derivatives$1,042 Discounted cash flow
Nonperformance risk (4)
65 bps65 bps
Structured variable annuity embedded derivatives$3,879 Discounted cash flow
Surrender rate (3)
0.5%–75.0%2.0%
Nonperformance risk (4)
65 bps65 bps
Contingent consideration liabilities$71 Discounted cash flow
Discount rate (5)
0.0 %–10.5%2.4%
 
December 31, 2024
Fair ValueValuation TechniqueUnobservable InputRange Weighted
 Average
(in millions)
Corporate debt securities (private placements)$583 Discounted cash flow
Yield/spread to U.S. Treasuries (1)
0.8%– 1.7%1.1%
Asset backed securities$1 Discounted cash flow
Annual short-term default rate (2)
3.5%3.5%
Annual long-term default rate (2)
3.5%3.5%
Discount rate15.3%15.3%
Constant prepayment rate20.0%20.0%
Loss recovery60.0%60.0%
Fixed deferred indexed annuity ceded embedded derivatives$55 Discounted cash flow
Surrender rate (3)
0.0%–89.1%10.6%
Fixed deferred indexed annuity embedded derivatives$53 Discounted cash flow
Surrender rate (3)
0.0%– 89.1%10.6%
Nonperformance risk (4)
65 bps65 bps
IUL embedded derivatives$1,002 Discounted cash flow
Nonperformance risk (4)
65 bps65 bps
Structured variable annuity embedded derivatives$2,461 Discounted cash flow
Surrender rate (3)
0.5%–75.0%1.7%
Nonperformance risk (4)
65 bps65 bps
Contingent consideration liabilities$68 Discounted cash flow
Discount rate (5)
0.0 %–10.5%3.3%
(1) The weighted average for the yield/spread to U.S. Treasuries for corporate debt securities (private placements) is weighted based on the security’s market value as a percentage of the aggregate market value of the securities.
(2) The weighted average annual default rates of asset backed securities is weighted based on the security’s market value as a percentage of the aggregate market value of the securities.
(3) The weighted average surrender rate represents the average assumption weighted based on the account value of each contract.
(4) The nonperformance risk is the spread added to the U.S. Treasury curve.
(5) The weighted average discount rate represents the average discount rate across all contingent consideration liabilities, weighted based on the size of the contingent consideration liability.
Schedule of carrying value and estimated fair value of financial instruments not reported at fair value
The following tables provide the carrying value and the estimated fair value of financial instruments that are not reported at fair value:
 
December 31, 2025
Carrying ValueFair Value
Level 1Level 2Level 3Total
(in millions)
Financial Assets
Mortgage loans, net$2,824 $— $774 $1,979 $2,753 
Policy loans1,056 — 1,056 — 1,056 
Receivables9,480 201 2,274 6,012 8,487 
Restricted and segregated cash616 616 — — 616 
Other investments and assets250 — 194 57 251 
Financial Liabilities
Policyholder account balances, future policy benefits and claims
$23,297 $— $— $19,636 $19,636 
Investment certificate reserves8,150 — — 8,128 8,128 
Banking and brokerage deposits25,611 25,596 15 — 25,611 
Separate account liabilities — investment contracts2,765 — 2,765 — 2,765 
Debt and other liabilities3,545 245 3,376 3 3,624 
 
December 31, 2024
Carrying ValueFair Value
Level 1Level 2Level 3Total
(in millions)
Financial Assets
Mortgage loans, net$2,354 $— $433 $1,768 $2,201 
Policy loans982 — 982 — 982 
Receivables9,236 218 1,879 5,964 8,061 
Restricted and segregated cash887 887 — — 887 
Other investments and assets272 — 220 53 273 
Financial Liabilities
Policyholder account balances, future policy benefits and claims
$20,097 $— $— $16,826 $16,826 
Investment certificate reserves11,205 — — 11,183 11,183 
Banking and brokerage deposits24,639 24,639 — — 24,639 
Separate account liabilities — investment contracts2,902 — 2,902 — 2,902 
Debt and other liabilities3,326 274 3,031 4 3,309 
Ameriprise Financial  
Fair Values of Assets and Liabilities  
Schedule of balances of assets and liabilities measured at fair value on a recurring basis
The following tables present the balances of assets and liabilities of Ameriprise Financial measured at fair value on a recurring basis (See Note 5 for the balances of assets and liabilities for consolidated investment entities): 
 
December 31, 2025
 
Level 1Level 2Level 3Total
(in millions)
Assets     
Cash equivalents$2,657 $3,864 $— $6,521  
Available-for-Sale securities:
Corporate debt securities— 15,131 711 15,842  
Residential mortgage backed securities— 28,149 24 28,173  
Commercial mortgage backed securities— 3,687 — 3,687  
Asset backed securities— 3,752 1 3,753  
State and municipal obligations— 677 — 677  
U.S. government and agency obligations1,359 99 — 1,458  
Foreign government bonds and obligations— 1 — 1  
Total Available-for-Sale securities1,359 51,496 736 53,591  
Investments at net asset value (“NAV”)13 (1)
Trading and other securities372 21 — 393  
Separate account assets at NAV80,044 (1)
Investments and cash equivalents segregated for regulatory purposes439 — — 439 
Market risk benefits— — 2,274 2,274 (2)
Receivables:
Fixed deferred indexed annuity ceded embedded derivatives— — 59 59 
Other assets:
Interest rate derivative contracts1 142 — 143  
Equity derivative contracts218 12,722 — 12,940  
Credit derivative contracts— 15 — 15 
Foreign exchange derivative contracts— 24 — 24  
Total other assets219 12,903 — 13,122  
Total assets at fair value$5,046 $68,284 $3,069 $156,456  
Liabilities
Policyholder account balances, future policy benefits and claims:
Fixed deferred indexed annuity embedded derivatives
$— $— $58 $58  
IUL embedded derivatives— — 1,042 1,042  
Structured variable annuity embedded derivatives
— — 3,879 3,879 
Total policyholder account balances, future policy benefits and claims— — 4,979 4,979 (3)
Market risk benefits
— — 1,182 1,182 (2)
Customer deposits— 4 — 4  
Other liabilities:
Interest rate derivative contracts1 218 — 219  
Equity derivative contracts346 7,651 — 7,997  
Foreign exchange derivative contracts— 1 — 1 
Other376 5 71 452  
Total other liabilities723 7,875 71 8,669  
Total liabilities at fair value$723 $7,879 $6,232 $14,834  
 
December 31, 2024
 
Level 1Level 2Level 3Total
(in millions)
Assets
Cash equivalents$2,526 $2,504 $— $5,030  
Available-for-Sale securities:
Corporate debt securities— 13,416 583 13,999  
Residential mortgage backed securities— 23,306 38 23,344  
Commercial mortgage backed securities— 5,126 — 5,126  
Asset backed securities— 6,316 126 6,442  
State and municipal obligations— 638 — 638  
U.S. government and agency obligations2,591 — — 2,591  
Foreign government bonds and obligations— 13 — 13  
Total Available-for-Sale securities2,591 48,815 747 52,153  
Investments at NAV12 (1)
Trading and other securities321 25 — 346  
Separate account assets at NAV78,114 (1)
Investments and cash equivalents segregated for regulatory purposes557 — — 557 
Market risk benefits— — 2,182 2,182 (2)
Receivables:
Fixed deferred indexed annuity ceded embedded derivatives— — 55 55 
Other assets:
Interest rate derivative contracts— 180 — 180  
Equity derivative contracts114 8,843 — 8,957  
Credit derivative contracts— 59 — 59 
Foreign exchange derivative contracts2 41 — 43  
Total other assets116 9,123 — 9,239  
Total assets at fair value$6,111 $60,467 $2,984 $147,688 
Liabilities
Policyholder account balances, future policy benefits and claims:
Fixed deferred indexed annuity embedded derivatives$— $— $53 $53  
IUL embedded derivatives— — 1,002 1,002  
Structured variable annuity embedded derivatives
— — 2,461 2,461 
Total policyholder account balances, future policy benefits and claims— — 3,516 3,516 (3)
Market risk benefits— — 1,263 1,263 (2)
Customer deposits— 7 — 7  
Other liabilities:
Interest rate derivative contracts1 323 — 324  
Equity derivative contracts173 5,189 — 5,362 
Credit derivative contracts— 4 — 4 
Foreign exchange derivative contracts— 13 — 13  
Other314 8 68 390  
Total other liabilities488 5,537 68 6,093 
Total liabilities at fair value$488 $5,544 $4,847 $10,879 
(1) Amounts are comprised of 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) See Note 13 for additional information related to market risk benefits, including the balances of and changes in market risk benefits as well as the significant inputs and assumptions used in the fair value measurements of market risk benefits.
(3) The Company’s adjustment for nonperformance risk resulted in a $258 million and $211 million cumulative decrease to the embedded derivatives as of December 31, 2025 and 2024, respectively.
Summary of changes in Level 3 assets measured at fair value on a recurring basis
The following tables provide a summary of changes in Level 3 assets and liabilities of Ameriprise Financial measured at fair value on a recurring basis:
 Available-for-Sale SecuritiesReceivables
Corporate Debt SecuritiesResidential Mortgage Backed SecuritiesAsset Backed SecuritiesTotalFixed Deferred Indexed Annuity Ceded Embedded Derivatives
(in millions)
Balance at January 1, 2025
$583 $38 $126 $747 $55 
Total gains (losses) included in:
Net income2 — — 2 (1)9 
Other comprehensive income (loss)18 — — 18 — 
Purchases169 49 — 218 — 
Settlements(61)(2)(58)(121)(5)
Transfers out of Level 3— (61)(67)(128)— 
Balance at December 31, 2025
$711 $24 $1 $736 $59 
Changes in unrealized gains (losses) in net income relating to assets held at December 31, 2025
$2 $— $— $2 (1)$— 
Changes in unrealized gains (losses) in other comprehensive income (loss) relating to assets held at December 31, 2025
$18 $— $— $18 $— 
Policyholder Account Balances, Future Policy Benefits and ClaimsOther Liabilities
Fixed Deferred Indexed Annuity Embedded DerivativesIUL Embedded DerivativesStructured Variable Annuity Embedded DerivativesTotal
(in millions)
Balance at January 1, 2025
$53 $1,002 $2,461 $3,516 $68 
Total (gains) losses included in:
Net income10 (2)204 (2)1,758 (3)1,972 (5)(4)
Other comprehensive income (loss)— — — — 1 
Issues— (20)102 82 41 
Settlements(5)(144)(442)(591)(34)
Balance at December 31, 2025
$58 $1,042 $3,879 $4,979 $71 
Changes in unrealized (gains) losses in net income relating to liabilities held at December 31, 2025
$— $204 (2)$1,758 (3)$1,962 $— 
 Available-for-Sale Securities Receivables
Corporate Debt SecuritiesResidential Mortgage Backed SecuritiesAsset Backed SecuritiesTotalFixed Deferred Indexed Annuity Ceded Embedded Derivatives
(in millions)
Balance at January 1, 2024
$469 $— $1 $470 $51 
Total gains (losses) included in:
Net income1 — — 1 (1)8 
Other comprehensive income (loss)1 — — 1 — 
Purchases
228 150 148 526 — 
Settlements
(116)(2)— (118)(4)
Transfers out of Level 3
— (110)(23)(133)— 
Balance at December 31, 2024
$583 $38 $126 $747 $55 
Changes in unrealized gains (losses) in net income relating to assets held at December 31, 2024
$1 $— $— $1 (1)$— 
Changes in unrealized gains (losses) in other comprehensive income (loss) relating to assets held at December 31, 2024
$(2)$— $— $(2)$— 
Policyholder Account Balances, Future Policy Benefits and ClaimsOther Liabilities
Fixed Deferred Indexed Annuity Embedded DerivativesIUL Embedded DerivativesStructured Variable Annuity Embedded DerivativesTotal
(in millions)
Balance at January 1, 2024
$49 $873 $1,011 

$1,933 $76 
Total (gains) losses included in:
Net income8 (2)255 (2)1,670 (3)1,933 2 (4)
Issues— 23 114 137 21 
Settlements(4)(149)(334)(487)(31)
Balance at December 31, 2024
$53 $1,002 $2,461 $3,516 $68 
Changes in unrealized (gains) losses in net income relating to liabilities held at December 31, 2024
$— $255 (2)$1,670 (3)$1,925 $— 
 Available-for-Sale Securities Receivables
Corporate Debt SecuritiesAsset Backed SecuritiesTotalFixed Deferred Indexed Annuity Ceded Embedded Derivatives
(in millions)
Balance at January 1, 2023
$405 $6 $411  $48 
Total gains (losses) included in:
Net income— — — 

6 
Other comprehensive income (loss)11 — 11 — 
Purchases
126 — 126 — 
Settlements
(73)(5)(78)(3)
Balance at December 31, 2023
$469 $1 $470 $51 
Changes in unrealized gains (losses) in other comprehensive income (loss) relating to assets held at December 31, 2023
$11 $— $11 $— 
Policyholder Account Balances, Future Policy Benefits and ClaimsOther Liabilities
Fixed Deferred Indexed Annuity Embedded DerivativesIUL Embedded DerivativesStructured Variable Annuity Embedded DerivativesTotal
(in millions)
Balance at January 1, 2023
$44 $739  $(137)(5)$646 $62 
Total (gains) losses included in:
Net income
8 (2)198 (2)1,166 (3)1,372 2 (4)
Other comprehensive income (loss)— — — — 1 
Issues
— 59 104 163 44 
Settlements
(3)(123)(122)(248)(33)
Balance at December 31, 2023
$49 $873 $1,011 

$1,933 $76 
Changes in unrealized (gains) losses in net income relating to liabilities held at December 31, 2023
$— $198 (2)$1,166 (3)$1,364 $— 
(1) Included in Net investment income.
(2) Included in Interest credited to fixed accounts.
(3) Included in Benefits, claims, losses and settlement expenses.
(4) Included in General and administrative expense.
(5) The fair value of the structured variable annuity embedded derivatives was a net asset as of January 1, 2023 and presented as a contra liability.
Summary of changes in Level 3 liabilities measured at fair value on a recurring basis
The following tables provide a summary of changes in Level 3 assets and liabilities of Ameriprise Financial measured at fair value on a recurring basis:
 Available-for-Sale SecuritiesReceivables
Corporate Debt SecuritiesResidential Mortgage Backed SecuritiesAsset Backed SecuritiesTotalFixed Deferred Indexed Annuity Ceded Embedded Derivatives
(in millions)
Balance at January 1, 2025
$583 $38 $126 $747 $55 
Total gains (losses) included in:
Net income2 — — 2 (1)9 
Other comprehensive income (loss)18 — — 18 — 
Purchases169 49 — 218 — 
Settlements(61)(2)(58)(121)(5)
Transfers out of Level 3— (61)(67)(128)— 
Balance at December 31, 2025
$711 $24 $1 $736 $59 
Changes in unrealized gains (losses) in net income relating to assets held at December 31, 2025
$2 $— $— $2 (1)$— 
Changes in unrealized gains (losses) in other comprehensive income (loss) relating to assets held at December 31, 2025
$18 $— $— $18 $— 
Policyholder Account Balances, Future Policy Benefits and ClaimsOther Liabilities
Fixed Deferred Indexed Annuity Embedded DerivativesIUL Embedded DerivativesStructured Variable Annuity Embedded DerivativesTotal
(in millions)
Balance at January 1, 2025
$53 $1,002 $2,461 $3,516 $68 
Total (gains) losses included in:
Net income10 (2)204 (2)1,758 (3)1,972 (5)(4)
Other comprehensive income (loss)— — — — 1 
Issues— (20)102 82 41 
Settlements(5)(144)(442)(591)(34)
Balance at December 31, 2025
$58 $1,042 $3,879 $4,979 $71 
Changes in unrealized (gains) losses in net income relating to liabilities held at December 31, 2025
$— $204 (2)$1,758 (3)$1,962 $— 
 Available-for-Sale Securities Receivables
Corporate Debt SecuritiesResidential Mortgage Backed SecuritiesAsset Backed SecuritiesTotalFixed Deferred Indexed Annuity Ceded Embedded Derivatives
(in millions)
Balance at January 1, 2024
$469 $— $1 $470 $51 
Total gains (losses) included in:
Net income1 — — 1 (1)8 
Other comprehensive income (loss)1 — — 1 — 
Purchases
228 150 148 526 — 
Settlements
(116)(2)— (118)(4)
Transfers out of Level 3
— (110)(23)(133)— 
Balance at December 31, 2024
$583 $38 $126 $747 $55 
Changes in unrealized gains (losses) in net income relating to assets held at December 31, 2024
$1 $— $— $1 (1)$— 
Changes in unrealized gains (losses) in other comprehensive income (loss) relating to assets held at December 31, 2024
$(2)$— $— $(2)$— 
Policyholder Account Balances, Future Policy Benefits and ClaimsOther Liabilities
Fixed Deferred Indexed Annuity Embedded DerivativesIUL Embedded DerivativesStructured Variable Annuity Embedded DerivativesTotal
(in millions)
Balance at January 1, 2024
$49 $873 $1,011 

$1,933 $76 
Total (gains) losses included in:
Net income8 (2)255 (2)1,670 (3)1,933 2 (4)
Issues— 23 114 137 21 
Settlements(4)(149)(334)(487)(31)
Balance at December 31, 2024
$53 $1,002 $2,461 $3,516 $68 
Changes in unrealized (gains) losses in net income relating to liabilities held at December 31, 2024
$— $255 (2)$1,670 (3)$1,925 $— 
 Available-for-Sale Securities Receivables
Corporate Debt SecuritiesAsset Backed SecuritiesTotalFixed Deferred Indexed Annuity Ceded Embedded Derivatives
(in millions)
Balance at January 1, 2023
$405 $6 $411  $48 
Total gains (losses) included in:
Net income— — — 

6 
Other comprehensive income (loss)11 — 11 — 
Purchases
126 — 126 — 
Settlements
(73)(5)(78)(3)
Balance at December 31, 2023
$469 $1 $470 $51 
Changes in unrealized gains (losses) in other comprehensive income (loss) relating to assets held at December 31, 2023
$11 $— $11 $— 
Policyholder Account Balances, Future Policy Benefits and ClaimsOther Liabilities
Fixed Deferred Indexed Annuity Embedded DerivativesIUL Embedded DerivativesStructured Variable Annuity Embedded DerivativesTotal
(in millions)
Balance at January 1, 2023
$44 $739  $(137)(5)$646 $62 
Total (gains) losses included in:
Net income
8 (2)198 (2)1,166 (3)1,372 2 (4)
Other comprehensive income (loss)— — — — 1 
Issues
— 59 104 163 44 
Settlements
(3)(123)(122)(248)(33)
Balance at December 31, 2023
$49 $873 $1,011 

$1,933 $76 
Changes in unrealized (gains) losses in net income relating to liabilities held at December 31, 2023
$— $198 (2)$1,166 (3)$1,364 $— 
(1) Included in Net investment income.
(2) Included in Interest credited to fixed accounts.
(3) Included in Benefits, claims, losses and settlement expenses.
(4) Included in General and administrative expense.
(5) The fair value of the structured variable annuity embedded derivatives was a net asset as of January 1, 2023 and presented as a contra liability.