Ameriprise sees impressive growth in third quarter

investmentnews.com:

Ameriprise Financial Thursday announced a big hike in its adjusted profits for the third quarter and and attributed the success to a significant expansion in client assets and a surge in assets under management.

In a robust performance, the firm saw total client assets swell by almost 15%, reaching an impressive $816 billion, up from $711 billion in the same period the previous year.

The company’s assets under management and administration experienced a 12% jump to total $1.23 trillion at the end of the third quarter. This growth was fueled by what Ameriprise described as robust net inflows from clients and favorable market trends.

Jim Cracchiolo, CEO of Ameriprise, expressed his satisfaction with the results, highlighting the wealth management sector as a pivotal force driving the company’s growth. He underscored the strong interactions between clients and advisors as well as the healthy influx of client assets as key contributors to the firm’s success.

“Our advisors are focused on ensuring clients are highly engaged and deepening relationships with them,” Cracchiolo said in the conference call. “Importantly, client satisfaction remains at an excellent 4.9 out of 5 stars.

“We continue to attract more new clients and move up market as we grow our client base,” he said. “We know from industry research that more investors need guidance. In fact, among the fluid households, many investors in the marketplace still don’t have a formal plan to manage assets, income, expenses and retirement.”

When looking at the adjusted operating earnings, excluding unlocking, the firm reported $823 million, or $7.68 per share, for the quarter ended Sept. 30. This marks a notable increase from the $716 million, or $6.35 per share, reported