Ameriprise Financial (AMP) 23 Apr 242024 Q1 Earnings call transcript

Welcome to the Q1 2024 Earnings Call. My name is Briana, and I will be your operator for today's call. [Operator Instructions] As a reminder, the conference is being recorded.

I will now turn the call over to Alicia Charity. Alicia, you may begin.

morning. good and you, Thank Welcome to call. quarter Financial's first earnings Ameriprise

Jim me and Financial On with are Officer. Cracchiolo, Chief the call Berman, today Chairman Walter CEO; and

Following your to their be take remarks, we'd questions. happy

materials that to on X, statements. will you earnings forward-looking Turning a of are Slide discussion our see on our available website, presentation

GAAP believe found will non-GAAP the into company's today's Reconciliation of call, Specifically, to on non-GAAP insight during you our the be financial provide various to numbers their materials and respective numbers references in hear measures, can which we website. operations.

number make statements that events this Some and speak and forward be of looking, operating a of overall management's we performance. future risks on about and as call forward-looking statements date only may uncertainties. expectations These plans reflecting today's and involve

of our and results XXXX and report can update statements. be our could cause list obligation to forward-looking materially from quarter simple or first XXXX We XX-K release, our publicly revise report. that factors XXXX forward-looking these actual different risks earnings annual found statements make be no to shareholders A to in

see the results. more believes on reflecting the operating today you of quarter. see performance our meaningful Below adjusted you financial by call which the top results the X, adjusted understanding of the the that, underlying operations that a Slide core On makes management business our focus results, operating trend first enhances at of the of page and management facilitates our comments analysis. Many for will on GAAP our

that, it And I'll to Jim. turn with over

Equity clients capabilities business. benefiting have the and and the had is year-over-year first focused U.S. as to from a complex also economy dynamic. well climate, year. strong markets resilient. Clearly, environment positioned Ameriprise our [ Yesterday, good ] proving reported start morning. results remains operating the excellent submit Good on growth the across helping our we're We're quarter

not picture as above in sidelines, active move solutions. and business U.K. [ are and strong quality high. are rates opportunity EMEA. advice Fed's shorter-duration The and investors in for Overall, the is eventually interest target which remain However, on inflation This goal-based our therefore, many with the investments. ] products, the remains economic cash means our holding other to will

net With first results, to share diluted up XX% XX% $X.X quarter our to And that per backdrop from our revenue up management remains ex equity earnings return on to appreciation. XX% for trillion, increased and flows under client ago, market at AOCI were operating Earnings million, total adjusted a XX%. XX% assets $X.XX. $X.X billion. outstanding equity and and $XXX year by grew was Ameriprise driven administration

advisors advice In our our path that more Wealth provide client at of goal-based growth. are satisfying our speak Management, both first provide of consistently by referable to They practice experience. to remain a quarter on shared in and proposition a value number field differentiators real and I've backed had of our to to driving highly the level conferences. client opportunity the we satisfaction clients, we high and terms support

We XX%. saw nice quarter. activity, were XX% $X.X the assets up a in at to up inflows increased in client good billion, billion. increase Total $XXX transactional Client

were brokerage income. $XXX [ to maintaining the billion, XX%. has structured fixed starting ] platform in into $X.X holdings. grown as While is including and cash and other ], products are move into to billion, wrap such high clients Money [ products, Wrap still inflows up back

sitting a With generating reposition help than as still focus also cash, an holding spread hold as markets clients to bank $XX settle. in on very significant clients billion in assets we relationships of we revenue The good assets and currently have deepening $XX We're is portfolios and complement. elsewhere. important billion more opportunity bringing

some in growth of largest the again advisor. operating of one rates. per increased is up revenue XX% consistently Productivity force adjusted $XXX,XXX delivered advisor the net to industry, highest in we've Ameriprise Our the nicely and

in XX the our added experienced looks pipeline we year. recruiting, quarter, Regarding proceed good and advisors through as the we

our Ameriprise across advice segments. serve advice consumers continues need the well and to practices long-standing are advisor that affluent a growing mass consumer and in positioned As that grow. want the We leader the and advice, for know to affluent opportunity

people a among fact, From And And earn from unbiased, we things greater terms. me what even to can first today recent the they investors. the shares a say values, in of understands Top majority puts also explains advice in Hearts past. in affluent Wallets my of my quarter, interest understandable proud study, in were offer. need are and XX% and need investors there Performer more younger we than & More the XXXX in benefit

to invest simplify proven help significantly experience referrals. also suite, our a has advisors We technology which processes, fully provide great integrated drive a and deliver to client

shared, in we're that investing and As efficiency also further help we advanced to analytics can opportunity. drive

were recognized Award Bank Insurance Innovation capability, client a we Securities our e-meeting Association Technology also and exclusive greatly for simplifies preparation. which And in with quarter, enhances the meeting

best Regarding at among Management in Wealth the financials, nearly margins XX%. business our the remain in

Looking sustain planning strong equity dynamics. portfolios ahead, reflect rate our and market model clients adjust to margins positions as interest to us

structured first and XX both annuity annuities, enhancements Regarding the annuity the to up product, investor in these annuity more the our X sales adjusted structured we XX%, saw very in has industry. we Retirement our structured and consistent quarter. it a launched results appetite. ranks become deliver top-selling business. with strong Protection, among in help In with top and We were in increase solutions & since our good product sales years and also to recently annuities the advisors support VUL increase wholesaling efficiencies in made the Variable

sales the year. added universal the also very majority start good, X% of new of our sales we higher-margin at business, with insurance the the in our features life were increasing In where variable products, accumulation

interest generate business claim consistent the $XX levels. positive Overall, to we higher quarter, our earnings continued million rates Protection the of By and delivers earnings care consistently Retirement & as in profitability. strong and from benefited way, long-term

We clients fully on good generate Total in were to leveraging The strong under capabilities with $XXX our even X% earnings global flows efficiencies. focused Asset pressured. Management, being billion. and assets also performance to management up drive team delivered continue to for

investment area across 'XX, our lines. continue we good in that's medium- working fixed income performance our but was in numbers. weaker to One generate a product year long-term short-, performance, medium-term and Regarding to through difficult

That said, we have good overall performance.

Fund Columbia investor was ranked Threadneedle also top ranked by firms survey strength the asset asset fact, of XX. with XXX Columbia our rankings highlight of numbers recent a active most Threadneedle in out In the for Best in our where recent the the of management Xth I'll of top in Barron's that Families, managers issuers. ], [ engagement institutional reflected

improvement given in Though fixed and were in the pickup Europe, equities. net in in sales. net Continental America, remain the equity we and in did gross retail, quarter, we flows in remain see In also income inflows improved, and the North outflows pressured. In EMEA improved for we flows nice U.K.,

ran we lower due changes impacts slower redemptions portfolio and institutional, mandates to announced manager from in fee as previously In outflows as new fundings. well

capabilities bank client a strengthening expanding to the strong business. advancing flows. in better serve model CLO loan This demand our offering further drive real We our and U.S., as and delivery estate telling our includes are it as well have

in to X%. G&A see Asset we our efficiency expenses normalized Management, gains, continue synergies and and In drive down that you can

profitability, while performing Management faced of more North conditions. overall is market a EMEA the on pressure terms Asset America well In region bit based

Now through that gaining on focused integration in we're expenses. globally, EMEA, we're reducing our much better the while capabilities very leveraging efficiencies

to driven terms achieve excellent. level the overall, includes well. our is ability records, results and long-term by the Ameriprise records manage as consistently This what in of and of returns our we track For expenses track for our here invest excellent of And growth growth. we have well are as earnings very totality

annual Just looking last growth. the have an back delivered where I EPS XX% X years, would example, we over highlight as compounded

the Our great another additional industry the recognition and we the another across equity who in to In the start was is million results? very significant, capital we team. a $XXX XX%. Overall, many work just external talented in we year return dimensions. are announced dividend of we deliver Our of how on the return, differentiated quarter, among behind shareholder What's together. received increase of year. a our Also for returned it quarter, XX% we after level consistently in year and highest

Newsweek In put a Forbes fact, us one Women. In to large And significant highlight America's we employers and any unique industry. ranked on which of closing, Greatest is Ameriprise Workplaces for ranking. that June, XXXX XXXth milestone will their also anniversary, best America like mark our in in would I

I feel year. Also clients build continue in is our has to about evolve to on ability to future. invest our Ameriprise priority ability key position been for the always this growth, innovate our our for opportunities and Our our and and is going to clients. for navigate to good longevity

Now and share the on some the additional Walter? Walter will detail quarter numbers. of

grew growth financial the Jim. to of most services. you, XX% from us EPS nature with across The and apart segments. drives market performance consistent our in our Thank cycles financial business diversified across $X.XX, sets all

This XX% from and market year has Assets strong to [ in administration revenue management past $X.X under ] appreciation. over client resulted $XX of equity increased across businesses. XX% and over our growth benefiting trillion, billion flows the

expenses to only basis, expenses our operational to normalized G&A on margins. maintain manage driven by We tightly continue improvements. X% a strong grew efficiency

particularly in invest Management. future in We growth, areas selectively drive continue to will that Wealth business

plan to expenses will keep We in this and at G&A maintain XXXX levels. discipline XXXX

strong returns XX.X% Our return a and equity unlocking. Balance margin of and strong. excess of liquidity, fundamentals, on consolidated capital remains ] [ a excluding with remain including XX% best-in-class sheet

contributions market increase, you business were year shareholders of of segments. the quarter. In from Wealth benefits the model and we And year. higher funds dividend for XXXX, assets expect see flow flows Slide you $XXX XX%, the Our we differentiated to a from a XX% appreciation strong results and announced return $X.X saw, capital diversified ago. and free operating to business down a by all respectively, [ shareholders. On net of stable billion, cash money strong increased third-party and as X We in continuation earnings quarter across ] the past XX% in X, market wrap our into Client XX% XX% Client quarter from XXXX, net flows returned significant record. flows to over track Management. million driven

in transactional advisor in activity from quarter, net XX% than $XXX,XXX, sheet new the a revenue from increased per third-party revenues from In products. Cash cash the were offset balances investment This and more quarter, robust XX% market fairly assets, billion clients bank, ago. Total and billion high cash off-balance CDs, high patterns. reached the increase remain with drove which client billion, billion increased balances, up seasonal XX% this in income at $XX.X a normal stable quarter funds a lower net year yield-oriented down new growth operating tax reflecting cash. as money at to including in concentrated $X.X a in to fees broker only adjusted heavily sweep of $X $XX.X

] opportunity. The in put as to other increased operating the to increased including source $XXX at cash experienced the Comerica. distribution our time volume-related recruiting a and will of financial of in occlusion higher the clients as and in work higher reflecting growth, money X% business and payroll expenses the growth XX%, sustainable expenses going expect advisor We [ will in significant from activity, grew. G&A forward. Adjusted quarter Comerica, taxes reflecting and expenses platform rates back transactional products with over expenses be bank normalize, creates acceleration million, a which wrap XX%, markets business benefit up on significant and earnings, remains

to continue in maintaining in our growing discipline XXXX. We business expense while invest

operating are resulted increase approximately expenses well-managed the of [ for range G&A XX% margin in of the This full We mid-single-digit growth revenue a business the combination an in sustaining and targeting ]. year.

were Total and outflows. managers. to active And result in $XXX range X. business by Financial disciplined for AUM from X% Turning quarter, we as in challenging net which the Management quarter. the expense cumulative targeted than quarter, of continue on Asset Slide market partially appreciation, through the XX% a to $XXX at manage increased million appreciation, in to the well equity results our billion, a primarily the [ management, the very environment offset of margin strong equity to more higher asset market was ] of increased top end net our impact earnings XX% operating offset outflows. In

comprehensive a and On the and flat expenses year administrative Adjusted operating initiatives expenses from taken from last general expense with ago. XXXX. lower X%, than year, X% basis, was normalized increased expenses general management a benefits reflecting administrative since

looking globally, forward. especially so manage We operational we to in efficiencies EMEA, are well are positioned expenses enhance and going

reflecting rates, from operating in to the $XX up partially been billion, VUL. a good Protection momentum sales million, deliver Retirement free million, sales adjusted built period continued and time. increased interest product. and quarter X% to flow Pretax cash to sales of Let's from of to strong strong quality in has turn & business markets benefit strong high to our earnings offset in X% annuity Protection Solutions the with reflecting Slide that earnings Solutions Retirement long X. expense. Overall, grew the over quarter, higher generation, and $XXX the XX% primarily up structured with Variable drove growth, & higher-margin in which Protection $X.X distribution sales the

first our Turning cycles delivered track commitment profitable to of quarter, Ameriprise to the record X. which continuation is and growth the Slide growth. a long market excellent in across

unlocking. share ] Over increased the [ ROE XX% XXX excluding basis grew earnings last XX%, XX points, and months, revenue per grew

ROE XX% growth, the EPS XX services mix points. percentage companies, well our compounded business and past across Compared years trends multiple focus to growth growth, X% this performance revenue speak complementary [ with similar cycles to annual most growth. on nature the ] as had differentiated our profitable financial of improved We X over as

finish shareholders, capital growth. to billion sheet we cash generation flow our which XX. on $X.X support and invest to last let's business $XXX balance quarter. and ability remains the million consistently capital free in included year, Now shareholders strong to Balance for fundamentals sheet the returned return of and with future In the Slide

dividend announced quarterly XX%, to we the increase $X.XX taking addition, In our of share. annual per dividend

value. strategy drives Merit shareholder prices consistent capital return long-term

repurchase billion XX%. With of reduction the net take questions. of years, share resulting shares million in to the with we a Over count returned an we'll of $XX $XXX, XX at past shareholders price average in X our your that,

Brennan first Instructions] [Operator Hawken UBS question. your with from online is

experienced spoke You recruiting. growth advisor in to

And hoping So better pull FA you And do a environment some was market? now. provide that view, competitive why you based that? lean is it's recruiting view you time right the on I could for the perspective back maybe or think on into to how

first So high-quality into as the in business. XX you recruits we attracted quarter, saw the

quarter is that little think I little the put with the do the the believe ran, a that very is recruiting first staying competitive. a I slower in people were more. markets market

being regard. are of some that think, more competitors I a And the actually, little irrational in

become support type focused those And So quality do about that productive, we're associate. on that need want want more to they They where think people good need focused much more the to on. people really build they been practices, the of that. to we've are

That Yes. sense. makes

is in Okay. for maybe follow-up, And business. on has for We little tactical. impact all your then my sometimes something that taxes a more Cash balances big month focus. April have and know a an been

the or comment was out you date? sweep cash should those funded what in to could we expect largely trends here from you've vehicles? balances on And of taxes? So What impact other seen cash month were that

of basically taxes Okay. going out a What before in we've seen is April small out sweep. amount

it's seen patterns money markets. taxes, there, on sweep pattern have can't say stable, markets, We we've money I market, a clearly, see some on shifting but little and money third-party started is shifting market, third-party to money at Again, actually the

stable Got way right it. But sweep overall is to it? month-to-date, think the about

Absolutely.

comes Jefferies. question next Kamath Suneet from with Your

the wanted balance about just in terms go to you year investment see of the bank going comments next pull Management But Just can income that supplements. the and growth? XX%. your to that we number Obviously, curious, out into Wealth that's in back of not year rising where a the of net

numbers just put there? it and over you're expecting? curious, know be next XX%, just year you're I what seeing year. some last can wouldn't this what growth guess I year over would but talked about you this But year around broad you growth

Won't be XX%.

that are, $X will each you'll -- each at that on pick is that. billion see they you we that XXX points XXX reinvested, about year have what to listen, stay year, rates As I be should mentioned, figure and Suneet, we'll somewhere basis up where

bank. outstanding So that contribution be at will will a the make total XX% AUM our of that because almost

very to quite it but It's going it's XX going is and slow, So through we as as into continuing. and will we the year, ] [ be get progress healthy, obviously, profitability I it to good. the -- see

Got this handle it. about And I that the then spent is -- to I you side? And I talking seems the like I me on to are guess want and more call are what on on cost more it what mean, get calls. recent savings, we guess time to you trying on a seeing what revenue

revenue to other a savings than I what cost the we might it segments. It like when Obviously, talk would see to, of more Management there's there pressure. is are given seem tend in get responding you it incremental Asset pressure in sense Management, your about to just you Asset history, but me, a sounds want in to business? be pressure just lot it

No, Suneet.

believe an capabilities think the technology at what much in do type we put the we and efficiencies us together, our further get for we is Management, of have geographical opportunity focus. very Management, Asset Asset the I look that's when the there to makeup, with and the

across company including all in we, an In more regard business we that the place bit a and and a model there's us to a technology again, to combination of efficiency and the capabilities the for a corporate like the put more even based tighten geographically. other get on and our how bit perspective, operating, feel opportunity we're from even operating

that and pressure continue the good we've looking in analytics AI reengineer at we're that So technology and invest. and because making not we done of know per But investments new we platforms that. se. over It's and at and any time, something data as same It's you external cycles to are cybersecurity.

that know what dictate And for efficiencies And on again, gives base, flexibility. we know to can get want what expense we we're always we can't conditions do the if we it the so other us. market we that's are, but helpful that us to is some And trying invest.

recruits. Got it. had then on one I just just experienced advisor And comment the

given of quarters, helpful. recruits, number like which is been the there's size the think bringing also been us I of think that I for onboard. the you've practices many a change you've But in

think if some recruits, came you much of point, from be how at helpful. at period can is maybe So would a us give assets I time, in those this look over this that

Will do.

from James. Your next Raymond question Burdis with Wilma comes

longer? Is higher there interest more short-term rates any could benefits, from pass to especially for as through pressure the clients rate stay

a whether money et as Well, have be savings brokered invested bank Even own mean, et cetera. lot saw, it our we products, and market, CDs, certificate in, higher we you are I have a balances of our lot in cetera. cash programs, now,

So no, transactional overall because that your in the in is this of, maintain have they you and liquidity-type what's business left more bank sort and maintain moves. cash thing, were that like in activity account that sweep of within just but case,

So everything yes, the in answer was but if that's case. not sitting probably sweep, would the be then

you little bit can you then talk And acquisitions kind guys bit for little scale, A&WM especially space, there? in a of you're bit larger? Okay. curious, Just something how think -- seeing a little maybe what about about a

A&WM Is [ that ]? -- asset regarding

Yes.

we that firms Well, and can what is a we practices we client again, build roll join us looking network. we provide a But experience things to We not really it we to on up out and look look under their feel us. people look, perspective. said, and may to value can for make at from what look sense other for put Okay. we're to bring. that as add We that we associate people really what just

So go about about that's thinking the we it. way

Your comes Gallagher Evercore ISI. next with from Tom question

margin When getting I A&WM? billion what the provide inflows Jim, look color you can flows, to -- you're net is, at question I new $X.X on on of agree First about kind with of But growth, XX% impressive. your to kind some you we just to that think is in-force curious, do of comment your on what certainly earnings? going that's macro margins, assuming the keep margin organic as constant overall

margin. is So nice a even the in And quarter, side, we what that increase a core total the more activities. in the in the to on bit the business Tom, saw cash contribution like as little a you what came first off look you little -- had was

say they're when underlying there, of business, sidelines transactional what of on so and the us that cycling at the sitting back look particularly And that; in, totality certificates, opportunity would on cash there's which markets. kind back cash the of it's into based business the if you people good -- in brokered, -- a you like business margins, would there, give higher that's so things other combination wrap not I as probably coming fee

income, We cash. saw nice to than fixed rather -- in start short-term a just increase again,

So what and flow, of part that as I new think the that's of came what's is some will that, of you the Part it there. occur. of there's really in sitting said, from from core but

has in probably goes bit so say, I come or us brokerage that been market and in. cash year cash doesn't et money margin, as when into that give side. that would past of a into And should in And or back the CDs, the X, more that cetera, much

for And there. XX% a this say or way? incremental getting is the flows Walter, above would on new margin just it isolate follow-up so is below that just Jim, you you're Would or you the sorry, say would would level? maybe you -- If you --

of advisors say it it's right to market came I because our went probably I immediately would consistent didn't in. how flow at work into don't yet. look relatively exactly it comes new all the the much and when put

look at probably the would it's it point. I at same that probably relatively way this So that

to other I think you. mentioned last bundle potentially you Long-term That's just risk follow-up. Got your that? on at helpful. Walter, bids to care talk spread were with risks actively head quarter Can sort pursuing? about you [ is narrowing. encouraged transfer, And by where that? something then transact Would you that you of you're ] Is have that one

as at evaluating and we it, we So transaction, I last are. are certainly said really we looked quarter, manualized Tom, a

We moved evaluating the -- certainly, And do continue it and evaluate it's that that. to just the bar, trade-offs. we're and

Krueger Ryan with from comes question next KBW. Your

not growing some growth sense be bank sweep cash for asset it question more first in but bank, can XXXX, My us or give expectations NII, -- from of it your moving on organically? whether just you was

Yes.

buffers sweep account. we're at now. So we the have obviously, looking do that And in

will be picking certainly, So amount on going there's be potential And increased we've year. just basically interest to would -- $X increase. at the not the increase when course, but up it. will we we earnings to evaluate, it reposition it -- previously. yet, It's But billion we certainly on we're then, decided basically each of haven't levels the

I there, So -- say be increasing, then will too. also, products that launching would -- it's other but we'll be and

So we it's a certainly have and combo, room to do that.

Great. curious, And transfer RiverSource? to strategic question, -- then move transfer a extent back deal? you broad more rather than to are are in isolating I risk guess specifically Tom's guess, you with something just I Or would a you to -- with more guess, what broad RiverSource interested consider risk that's I

positive look possibilities. is as I performing I do really we evaluate if the in million. different last So earning over and mentioned now. had think X said, But our mean business you $XX stable some we even pretty But well. I we I even we think about income, nice that's quarters, long-term care,

us so to an came that. made that will with explore be type a on of a for strategic along type, if very open And good sense opportunity reinsurance we partner

solutions. think again, flow it side, a of good But us I and cash our shelves. real we complement we solutions on on good the gives large a have hand, the have a -- really a other lot and And of free

we're -- of provider the be to have we not. like not it's So

a we opportunity there's will pick we if for But better at again, spots. So always it. look But feel about we us. good our

Goldman Your next Alex question with comes Sachs. from Blostein

Just me. one for

little being and XXXX. across about great You to comment, versus of guys to earlier on bit management. broader there's a focus that efficiencies, the flat your organization talked maybe expense it's that's you a G&A holding see In held suggested effort

but [ one-off sort as we XXXX that of several -- on the think of kind beyond like years see think looking a the I of G&A trend benefit? prior the of what sort So how of efficiencies Should these a we multiyear being from or do you basis? ] guess below back 'XX, will growth

of So continue. then, expense the 'XX but reasonable in amount Alex, on of that a course, will in certainly we take and the the will be certainly, side, that and we there garner carryover -- will initiatives ones 'XX,

expect part trajectory, say, always at this, would should is you reengineer. improved as that an we So reengineering, look has to done process -- the I opportunities it, this of but we've and

Your next of from question America. with Bank comes Craig Siegenthaler

one on recruiting. First is

the And have grow you but XX% expect rates given roughly year. Q, last intensifying wondering comments to an last how front? I'm recruiting, the advisor transition changed your So on just grew X this loans I before to question in know them over how year XXXX. this assistance don't you recruiting your earlier also, disclose the competition And given on years, advisor

Okay.

So loans, and increased we certainly, have competitive. yes, on the advisor are we

you that [ certainly should you increasing that within loans those sure, limits. ] would are for on cash our would So have we we But advisors. the that. increase and to as proposals attracting But should that, see capacity expect as transcom and we start more stay more do and

Jim, on a I follow-up Wealth Manager efficiency. have operating

distribution the at elevated of ratio above relative time, hit distribution line mid-single-digit X%, but look remained distribution expenses to quarter. all-time year, you the this and if of payout that at high same at target the growth And it's sort revenues, expenses ratio So but year. -- which fees it's ratio, sorry, an was at for your in G&A with management last

first should ] Wealth forward in about the wondering, Manager And drove [ the within we how segment? quarter? up expenses trajectory just what the think I'm

distribution staying you have of elements have the us, as was indicated be target growth as area And you And investing, in a the first the it are of from -- that transactional what that's up, standpoint. part within for as high far course, but we've range. quarter digits payroll blip distribution, middle so taxes. does we is On X%, when usually we we'll single indicated, and the but

Cyprys with Stanley. from comes Michael Morgan next Your question

on wanted in I large to or over $XX and money balances to sidelines, the about fund your back so brokered amounts on cash commentary the of CDs. billion think customer overall, circle billion I $XX

to help see to this as of the what of speak you're was this over to terms facilitate what what And more cash hoping in what look in to view couple accounts of of possible, this you some to [ move in of backdrop do terms for into wrap could need make of rate portion cash the it be would meaningfully I as years, we [ the success if can your out into capturing do and cash? you taking ] you next wrap accounts? steps that ] movement frictionless

of to to conditions. I because when long the say I the back and on it again, if do they up mean, for come ran up is looked to about the an curve that market people strong. at nice, and dropped to like believe that think market been back and you fast I conditions, again, it's how where at listen, are see on longer there starting reasonable a look back hard now depend initially quickly fixed -- is bit start end so income the rates mean And it does up then term. opportunity as more level; rotating into But market equity by you a has little

in have over become sit equity of you is And markets the reliant call, clients as our as few active more, I high-tech advisors and X% money a do on As because a pull like traders so term, short are less the sense. what market. But and cetera, rotation the last month, sidelines. a in well rate to again, it's of would the see stocks, a to they et out just it of at that back in or if our not little the abnormal back will the speak, back amount, makes on the

able they read to they're more as it's and is what not that that start like getting the to caught believe over end, that that time do are I ]. they market feel money So [ on will rotate high

industry much goes we're different across you how no Now in, the out it's but We what than anyone's back today. guess, some flows. saw there see

on a Asset even same growth Management start but fixed in and example, up equities. an income, As in pick little side some thing our to

cycle. the year we will last that of some think go of was point I as but a So it money high hit back, because

just was pledged have you I advisors for Great. you your a lines their for assets, us follow-up maybe clients. solutions, And could including and hoping lending on that question. update

this to clients looking initiatives that Maybe like could speak where steps greater solutions. might of next from or X drive the in curious, over and to to advisors order be? to compared is out built the take you how the the amongst you'd Just lending year be you lending uptake offering and that to some

that is you deepening nature, know, a and capabilities there's at -- full that penetrate our that our mortgage looking totally is we'll bank a certainly we Air program we that a launching or CDs new And -- something base -- the Looking have also with will so and be clients and [ [Indiscernible] pledge aligned as Plus capabilities, are of be that to more. and that certainly certainly looking relationship. to building ], fairly relationship extensive and we the on checking

We a up that segment with as well. just came pledge of fixed of

grow. help so is going also And that to

pledge side some that the probably we're we opportunity yes, still us. others, be on will of compared underpenetrated it for So think an to

next Schmitt comes Blair. Jeff Your William with question from

for the competitors potential right you partnerships larger just channel given recently. So out your of there running financial or capacity pick to Is of signing maybe institution you've now? pace some that partnerships, for may been sign be up some to in

Yes. good that a planning Comerica, we for to that that we do aspects capabilities we We them a we we relationship. -- a have out -- really of feel the provide be and provide the from have basically and yes, not basically And value with very clients the pipeline satisfy with proposition, certainly standpoint. number evaluating turned certainly, has are that we to

And deals, to them, in are bringing we good. We and some our much there is put publicize as we small don't but other deals. pipeline signing out are them some

the again, Comerica we ones, do et So larger cetera. wanted really to well, really

And capabilities. so our up we a learned it from and set lot

So we in category. an well as opportunity that think there's

Ameriprise levels, Okay. either to or so sweep cash all how kind then half, have transition I you? that to the in is So they on with right of going do could Comerica Great. or And second that of have sitting guess, what is some leave much options And right? now? client to they the cash -- market

information idea a part probably we'll ]. about are better they is have what full This quarter. now see. the they going about It's will -- -- to of the program, the don't transitioning as [ -- at they of have billion just the $X.X that's And certainly and second end We be. is

comes question Piper Sandler. next with Your from John Barnidge

institutional most talk what maybe And slowdown pushback? you you the with in about Can being hearing that Is common are few cited? along as the asset management was the mandate conversion elongated discussions? rate

fixed elongated area the bit But it equities. in as or interest is mean again of the there fundings a back the cycle. well a expect growing would I even both income some was as the you in that Yes.

that So this up actually think into further we we pick will the year. go as

fee, of we pension, sort first in quarter like that sort the mandates the lower that, of that lumpy little a in And some a that they're lost regard. things were

there the but in that both forward more -- appetite out internationally. as the feel U.S. just but we can So that we industry, win some the we in there go is not

we're So very that. much focused on

follow-up my then question. And

Is I bit quarter. to ] there in prospectively was [ severance the all? a at think impact that expected of flows

some the out the But remnants in we came from flow had we picture. don't that changes first more no, We was that. expect quarter that made of in the the of

Research. comes Steven Chubak with final Wolfe Your from question

on is Michael closely? at point. BMO This thinking just integrated more strategic is look a here are How you're looking rather to about If build? buy guess, deployment? something capital. largely I capital this than couple you Anagnostakis And Steven. where might you on excess at for M&A so, prioritizing

we around continue than the I done, initially some as we we pick buyback as raised I little was again had take actually that that the but targeting will year. then that we And the we a -- XX% nicely. the And said, up Walter had in mark. So will think normally just dividend the less cash. quarter, mentioned go to we're we more of mean first through it

there there's now. se. or the us sheet. There's we organically on at an But out it. operating if have much focus business gives the particularly getting We're balance falls very a the we're acquire But opportunity Management value, look still to per market we'll Asset on healthy looking and in efficiencies, continuing to always invest not really focused out or something that

on good for and working ETFs, cycle product overall products. including feel like I what new we investment that, capabilities et we Management do a an active cetera. areas mean, about and Asset different we're And of for number our from technology us in

looking on cetera, CLO property business. build So good. we et We're out a little areas, our international our feel to further

well. we're organically don't out But bit we there things a in investing again, target but acquisitions, we're at that point. are more So looking rule as necessarily things not to this

given largely like Great. on expectation. still That's the organic payout built cash ramp back out, at? you're XXX% maybe generating more internal helpful. the on the are focused XX% just super focus the payout to historically XX% you banks It the But zone Okay. a you Why And less ratio is M&A and of here, sounds is guys to the buyback, so strong not investments. ran flow. that

areas growing a this But look good -- we other is Well, capacity said, yes, as at certainly, we and there stage. situation -- that the capacity evaluate we return be -- will I do we certainly the are on bank. the there listen, it. it to we and at have we that, level. do And have is as opportunistic feel We XX% an the

would So it additional. require

And this But feel stage, we the just times, the evaluate We it, you've at stage, say, up, appropriate seen look is We we I opportunistic. level. and this an have gone then would XX% in have prior we but capability. we it. at feel at it's

further We for have questions this today's at This you conference. participating. time. concludes no Thank

disconnect. now may You