Advice and wealth management pre-tax operating earnings
increased 37 per cent at Ameriprise Financial to $152 million in the second
quarter 2013, which the firm said reflects “robust revenue growth and expense
controls.”

Earnings growth included a $15 million unfavorable impact in
the 2013 period from lower interest rates, as well as the absence of $18
million of earnings from former banking operations, it added.

The second-quarter 2013 pre-tax operating margin was 14.1 per
cent at the advice and wealth management unit, compared to 11.6 percent a year
ago. Results in the year ago quarter included earnings from former banking
operations, which contributed 150 basis points to operating margin, according
to its latest earnings release.

Meanwhile, operating net revenues grew 13 per cent to $1.1
billion, which was driven by asset growth in fee-based accounts from client
inflows and market appreciation, as well as improved client activity across
annuity, insurance and financial products.  

Operating expenses increased 10 per cent to $924 million as
business growth resulted in higher distribution expenses and higher accruals
for retention and performance-based compensation.  

Total retail client assets grew 13 per cent to what the firm
said was a record $373 billion. This was driven by client net inflows, client
acquisition and market appreciation, it said.