American Express 2001 Annual Report Download - page 45

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axp_43
FINANCIAL REVIEW
Selected Statistical Information
(Millions, except percentages and where indicated)
Years Ended December 31, 2001 2000 1999
Life insurance in-force (billions) $ 107.9 $ 98.1 $ 89.2
Deferred annuities in-force (billions) $ 41.3 $ 45.3 $ 47.4
Assets owned, managed or administered (billions):
Assets managed for institutions $ 49.7 $ 55.0 $ 55.5
Assets owned, managed or administered for individuals:
Owned assets:
Separate account assets 27.3 32.3 35.9
Other owned assets 44.2 41.3 38.7
Total owned assets 71.5 73.6 74.6
Managed assets 98.7 112.0 115.1
Administered assets 33.4 34.4 24.8
Total $ 253.3 $ 275.0 $ 270.0
Market appreciation (depreciation) during the period:
Owned assets:
Separate account assets $ (5,752) $ (5,109) $ 8,172
Other owned assets $ 879 $ 106 $ (1,126)
Managed assets $ (18,662) $ (14,467) $ 23,774
Cash sales:
Mutual funds $ 33,581 $ 44,068 $ 34,269
Annuities 5,648 5,886 3,902
Investment certificates 3,788 3,297 3,591
Life and other insurance products 895 900 746
Institutional 5,006 6,601 5,012
Other 5,276 3,557 3,514
Total cash sales $ 54,194 $ 64,309 $ 51,034
Number of financial advisors 11,535 12,663 11,366
Fees from financial plans and advice services (thousands) $ 107,518 $ 97,680 $ 88,509
Percentage of total sales from
financial plans and advice services 72.5% 68.1% 66.7%
LIQUIDITY AND CAPITAL RESOURCES
Selected Balance Sheet Information
December 31, (Billions, except percentages) 2001 2000
Investments $ 33.6 $ 30.5
Separate account assets $ 27.3 $ 32.3
Deferred acquisition costs $ 3.7 $ 3.5
Total assets $ 71.5 $ 73.6
Client contract reserves $ 32.8 $ 31.4
Separate account liabilities $ 27.3 $ 32.3
Total liabilities $ 66.1 $ 69.2
Total shareholder’s equity $ 5.4 $ 4.4
Return on average equity* 1.0% 22.6%
*Excluding the effect of SFAS No. 115 and SFAS No. 133. The company adopted SFAS No. 133 on January 1, 2001.
AEFA’s total assets and liabilities decreased in both 2001 and 2000 due to declines in separate account assets and liabilities as a
result of market depreciation, partly offset by positive net sales. Investments are comprised primarily of corporate bonds and
mortgage-backed securities, including $1.3 billion and $3.7 billion in below investment grade debt securities, and $4.0 billion and
$4.1 billion in mortgage loans at December 31, 2001 and 2000, respectively. Non-performing assets relative to invested assets were