Ameriprise Operating Earnings Decline 13%

   By Josh Beckerman

Ameriprise Financial Inc. (AMP) said second-quarter operating earnings fell 13%, reflecting equity-market volatility and low interest rates.

The financial-services company said clients "remain cautious, which is reflected in slower activity and high cash balances" but said retail client assets increased to an all-time high and adviser recruiting remained strong.

For the quarter ended June 30, net income was $335 million, or $1.97 a share, compared with $415 million, or $2.23 a share, a year earlier. Revenue fell 8% to $2.87 billion.

Operating earnings, which exclude realized gains and losses, market effects on variable annuity benefits and other items, fell to $379 million, or $2.23 a share, from $434 million, or $2.33 a share.

Analysts polled by Thomson Reuters expected per-share operating profit of $2.26 a share on revenue of $2.87 billion.

At the end of the period, total assets under management and administration were $773 billion and the company had 9,766 total advisers.

In after-hours trading, Ameriprise shares were flat at $96.60.

The company's Columbia Threadneedle Investments business said in May that it would buy Emerging Global Advisors LLC, which runs emerging-markets exchange-traded funds. Columbia Threadneedle was one of several firms that suspended investor redemptions at a U.K. property fund after the Brexit vote.

Ameriprise was spun off from American Express Co. in September 2005.

Write to Josh Beckerman at josh.beckerman@wsj.com

(END) Dow Jones Newswires

July 26, 2016 17:23 ET (21:23 GMT)

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