American Express 2002 Annual Report Download - page 22

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ganization of our fixed income group in Minneapolis;
and the acquisition of Dynamic Ideas, a respected
quantitative analysis firm.
We are encouraged by the early progress that is being
made in improving investment performance at AEFA.
Many of our equity portfolios have seen significant
performance improvement compared to their Lipper
peer groups over the past year. Of course, investment
track records are established over three to five years,
not in a single year. However, the initial signs suggest
we are on the right path to achieve consistent, superior
investment results.
In international retail financial services, we increased
our business volumes in Private Banking, and launched
several investment and insurance products in key
markets. For example, American Express Bank
expanded its distribution partnerships with financial
institutions to bring new investment products to
clients. During 2002, AEB launched several mutual
fund portfolios, including some sub-advised by AEFA.
In insurance, we introduced a variety of new products
including credit insurance in Mexico, hospital cash in
Japan and Global Assist®Travel Medical Insurance in
Canada. Additionally, to help better coordinate our
efforts in marketing to and serving customers, we more
closely integrated our non-card lending and deposit
business with our card businesses.
Consistency in Uncertain Times
The business conditions that we – and virtually all
companies – currently face are daunting. There is
uncertainty about economic conditions and the equity
markets; real and legitimate concern over national and
world security; and an understandable reduction in
the level of trust that the general public has in the
business community. In times like these, it is important
to have maximum flexibility to anticipate and react to
challenges. At the same time, it is essential to have a
clear sense of who you are and to adhere to your
traditional values.
We know who we are. We continue to be guided by
our corporate vision, which is to become the world’s
most respected service brand. The strategies we have
in place to grow our core business in global payments
I20 AXPI
REVITALI
AND WE ARE STRONGER AS AN ORGANIZATION, AS WE WORKED TOWARD THE