Voya Financial Inc
For the period ended Mar 31, 2025. Filed May 8, 2025.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Mar 31, 2025 · Filed May 8, 2025
VOYA$99.01+0.6%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2024-09-30; filed 2024-11-06.
0001535929-24-000103
Item 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2025-03-31; filed 2025-05-08.
0001535929-25-000040
Item 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 360 previous paragraphs and 280 current paragraphs.
163 unchanged; 49 reworded; 64 added; 138 removed; 10 previous and 4 current paragraphs rearranged.
Tables are not compared: 40 previous and 39 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (64)
Current report
Our Health Solutions segment also provides benefits and plan administration services to employers and health plans through our Benefitfocus business. Benefitfocus provides market-leading benefits enrollment and administration services to employers and plan enrollment services to health plans. It also provides a benefits marketplace through which employees can select and enroll in voluntary benefits offered by their employers. Our Benefitfocus platform is open-architecture and product-agnostic, enrolling and administering benefits from a variety of third-party carriers.
Current report
In addition, we also provide decision support tools through the Benefitfocus enrollment platform and through our MyVoyage mobile application, which provides a comprehensive guidance tool for employees to see their entire financial picture including their workplace benefits and savings. We support employers by taking on the administrative burden of benefits enrollment and administration, leave management, COBRA administration, and other obligations.
Current report
Market Conditions
Current report
We continue to monitor the rapidly changing global financial, political and economic environment, while actively managing the Company’s businesses, investment portfolios and liquidity needs in light of current trends and uncertainties.
Current report
In the first quarter of 2025, significant tariffs were announced on major U.S. trading partners, who have in turn responded with retaliatory actions. While many of these tariffs have been put on hold, there is significant uncertainty about the future direction of trade policies between the U.S. and its partners. This in turn has led to a significant increase in volatility across financial markets and has created more uncertainty in the economic outlook. We describe how such macroeconomic developments, risks, and uncertainties may impact the Company in Risk Factors in Part I, Item 1A, and in Management's Discussion and Analysis of Financial Condition and Results of Operations in Part II, Item 7. of our Annual Report on Form 10-K.
Current report
Total revenues decreased $82 million from $2,051 million to $1,969 million. The following items contributed to the overall decrease.
Current report
Net investment income increased $31 million from $529 million to $560 million primarily due to:
Current report
•income on fixed maturity securities which benefited from onboarded OneAmerica assets and interest rate movements.
Current report
•other interest income included in Other revenues in the current period.
Current report
Fee income increased $57 million from $513 million to $570 million primarily due to:
Current report
•onboarded OneAmerica assets, higher average equity markets, and positive defined contribution flows in Wealth Solutions; and
Current report
•strong commercial momentum and favorable market impacts in Investment Management.
Current report
Premiums decreased $63 million from $800 million to $737 million primarily due to:
Current report
•actions to improve the Stop Loss business, partially offset by growth in the Voluntary business in Health Solutions.
Current report
Net gains (losses) changed $77 million from a gain of $43 million to a loss of $34 million primarily due to:
Current report
•higher impairments in the current period compared to the prior period.
Current report
The unfavorable change was partially offset by:
Current report
Other revenue increased $16 million from $88 million to $104 million primarily due to:
Current report
•other interest income included in Net investment income in the prior period; and
Current report
•tax benefits associated with the acquired OneAmerica business transferred to the Company in cash.
Current report
Income (loss) related to consolidated investment entities decreased $46 million from $78 million to $32 million primarily due to:
Current report
Total benefits and expenses increased $32 million from $1,764 million to $1,796 million. The following items contributed to the overall increase.
Current report
•favorable loss reserve development in the current period associated with the Stop Loss business in Health Solutions.
Current report
•unfavorable claims development in Group Life and Voluntary products in Health Solutions;
Current report
•interest credited to participants associated with onboarded OneAmerica spread-based assets in Wealth Solutions;
Current report
•an unfavorable change in market risk benefits driven by equity market performance and interest rate movements; and
Current report
Operating expenses increased $25 million from $799 million to $824 million primarily due to:
Current report
•onboarded business from OneAmerica in Wealth Solutions;
Current report
•investments in Short-Term Disability and Leave Management in Health Solutions;
Current report
•higher seasonal expenses in Investment Management;
Current report
•higher severance costs in the current period; and
Current report
•closing costs incurred in the current period associated with the OneAmerica transaction.
Current report
•actions to efficiently manage spend; and
Current report
•lower integration costs associated with prior acquisitions in the current period.
Current report
Income Tax Expense/(Benefit)
Current report
•a change in noncontrolling interest.
Current report
The change was partially offset by:
Current report
(1)Primarily consists of acquisition and integration costs associated with recent transactions and amortization of acquisition-related intangible assets. For the three months ended March 31, 2025, also includes $8 million, pre-tax, of severance costs.
Current report
(2)Reflects Allianz's 24% ownership stake in the results of VIM Holdings LLC.
Current report
•unfavorable market risk benefit remeasurements primarily due to equity market performance and interest rate movements in the prior period; and
Showing the first 40 of 64 passages. Open the source sections for the rest.
Removed paragraphs (138)
Previous report
On August 1, 2023, we acquired all remaining equity interest in VFI SLK Global Services Private Limited previously held by SLK Software Private Limited ("SLK") and renamed the entity as Voya Global Services Private Limited ("Voya India"). Voya India was a private limited company in India formed pursuant to a joint venture agreement between us and SLK on August 1, 2019, with us and SLK holding 49% and 51% of ownership shares, respectively. The purpose of Voya India is to provide technology and business operation services to us. As a result of the acquisition, Voya India has become a wholly owned subsidiary of us and provides us with improved strategic and operational flexibility. As part of the purchase consideration, an upfront payment of approximately $53 million was made at closing. Net assets acquired as part of this transaction included goodwill of $102 million.
Previous report
On January 24, 2023, we completed the acquisition of Benefitfocus, Inc. ("Benefitfocus"), an industry-leading benefits administration technology company that serves U.S. employers, health plans and brokers for a total purchase price consideration of $595 million. The acquisition has expanded the Company’s capacity to meet the growing demand for comprehensive benefits and savings solutions and increases its ability to deliver innovative solutions for employers and health plans.
Previous report
We describe known material trends and uncertainties that might affect our business within Trends and Uncertainties in Management’s Discussion and Analysis of Financial Condition and Results of Operations in Part II, Item 7. of our Annual Report on Form 10-K, and in other sections of that document, including Risk Factors in Part I, Item 1A.
Previous report
Total revenues increased $133 million from $1,823 million to $1,956 million. The following items contributed to the overall increase.
Previous report
Net investment income decreased $41 million from $547 million to $506 million primarily due to:
Previous report
•lower investment income on fixed maturity securities primarily due to interest rate movements and lower average volume, partially offset by actions to improve the portfolio yield.
Previous report
Fee income increased $51 million from $489 million to $540 million primarily due to:
Previous report
•higher fee income in Wealth Solutions driven by an increase in fee-based assets primarily due to higher average equity markets; and
Previous report
•higher fee income in Investment Management primarily benefiting from positive capital markets and business growth in the current year.
Previous report
Premiums increased $114 million from $682 million to $796 million primarily due to:
Previous report
•higher premiums in Health Solutions driven by growth across all blocks of business.
Previous report
Net gains (losses) decreased $7 million from a loss of $7 million to a loss of $14 million primarily due to:
Previous report
•higher impairments incurred in the prior period; and
Previous report
•gains recorded in the current period on bond sales.
Previous report
Other revenue increased $22 million from $81 million to $103 million primarily due to:
Previous report
•an increase in other interest income due to float on cash balances.
Previous report
•the absence of transition services agreements revenue recognized in the prior period associated with the Individual Life transaction.
Previous report
Total benefits and expenses increased $189 million from $1,651 million to $1,840 million. The following items contributed to the overall increase.
Previous report
•an increase in benefits to policyholders in Health Solutions due to a higher loss ratio for stop loss and in-force business growth, partially offset by a favorable change from the annual assumption update; and
Previous report
•a smaller unfavorable impact from the annual assumption update recorded in businesses exited; and
Previous report
•lower interest credited in Wealth Solutions primarily due to lower spread-based assets, partially offset by a higher crediting rate.
Previous report
Operating expenses increased $58 million from $717 million to $775 million primarily due to:
Previous report
•an increase in operating segment expenses driven by growth and investments in our business, partially offset by expense save actions;
Previous report
•an increase in the deferred compensation plan liability due to equity market movements; and
Previous report
•lower integration costs associated with the AllianzGI and Benefitfocus businesses; and
Previous report
•the absence of costs incurred in the prior period which supported the remaining transition services agreements related to the Individual Life Transaction.
Previous report
Income Tax Expense
Previous report
Consolidated - Nine Months Ended September 30, 2024 Compared to Nine Months Ended September 30, 2023
Previous report
Total Revenues
Previous report
Total revenues increased $511 million from $5,529 million to $6,040 million. The following items contributed to the overall increase.
Previous report
Net investment income decreased $84 million from $1,637 million to $1,553 million primarily due to:
Previous report
•lower investment income on fixed maturity securities primarily due to lower average volume and interest rate movements, partially offset by actions to improve the portfolio yield.
Previous report
Fee income increased $143 million from $1,427 million to $1,570 million primarily due to:
Previous report
•higher fee income in Wealth Solutions driven by an increase in fee-based assets primarily due to higher average equity markets; and
Previous report
•higher fee income in Investment Management benefiting from positive capital markets and business growth in the current year.
Previous report
Premiums increased $342 million from $2,044 million to $2,386 million primarily due to:
Previous report
•higher premiums in Health Solutions driven by growth across all blocks of business.
Previous report
•lower amortization of the deferred profit liability associated with businesses exited primarily due to higher than expected terminations in the current period.
Previous report
Net gains (losses) changed $104 million from a loss of $79 million to a gain of $25 million primarily due to:
Previous report
•higher impairments incurred in the prior period.
Showing the first 40 of 138 passages. Open the source sections for the rest.
Reworded paragraphs (49)
Previous wording
The following discussion and analysis presents a review of our consolidated results of operations for the three and nine months ended September 30, 2024 and 2023 and financial condition as of September 30, 2024 and December 31, 2023. This item should be read in its entirety and in conjunction with the Condensed Consolidated Financial Statements and related notes contained in Part I, Item 1. of this Quarterly Report on Form 10-Q, as well as Management’s Discussion and Analysis of Financial Condition and Results of Operations ("MD&A") section contained in our Annual Report on Form 10-K.
Current wording
The following discussion and analysis presents a review of our consolidated results of operations for the three months ended March 31, 2025 and 2024 and financial condition as of March 31, 2025 and December 31, 2024. This item should be read in its entirety and in conjunction with the Condensed Consolidated Financial Statements and related notes contained in Part I, Item 1. of this Quarterly Report on Form 10-Q, as well as Management’s Discussion and Analysis of Financial Condition and Results of Operations ("MD&A") section contained in our Annual Report on Form 10-K.
Previous wording
We are a leading provider of workplace benefits and savings solutions and technologies to U.S. employers, enabling better financial outcomes for their employees and for those who depend on their employees through our retirement solutions, retail wealth services, and comprehensive portfolio of benefits products. We are also a leading international asset manager, built on a foundation of institutional-quality fixed income and private asset strategies, with a well-established presence in U.S. markets and a large and growing business managing retail and institutional equity, fixed income, and blended strategies for clients in Europe and Asia.
Current wording
We are a leading provider of workplace benefits and savings solutions and technologies to U.S. employers, enabling better financial outcomes for their employees and for those who depend on their employees through our retirement solutions, retail wealth services, and a comprehensive portfolio of benefits products. We are also a leading international asset manager, built on a foundation of institutional-quality fixed income and private asset strategies, with a well-established presence in U.S. markets and a large and growing business managing retail and institutional equity, fixed income and blended strategies for clients in Europe and Asia.
Previous wording
Since Voya’s IPO in 2013, we have evolved through the divestiture of substantially all of our closed block variable annuity, life insurance and legacy non-retirement annuity businesses and related assets. These divestitures align with our strategic focus on higher-return, capital-light businesses, while maximizing the capital returned to our shareholders.
Current wording
We have evolved as a company through the divestiture of substantially all of our closed block variable annuity, life insurance and legacy non-retirement annuity businesses and related assets. These divestitures align with our strategic focus on a capital light, high free cash flow business that maximizes value for our shareholders through capital return and accelerated profitable revenue growth while proactively managing risk.
Previous wording
We are focused on executing our mission to make a secure financial future possible—one person, one family and one institution at a time. Voya’s scale, business mix, risk profile, and strong free cash flow generation are competitive differentiators, and we have a clear path to Adjusted Operating Earnings Per Share growth via net revenue growth, margin expansion, and disciplined capital management. We provide our products and services principally through our Workplace Solutions business, which encompasses both our Wealth Solutions and Health Solutions business segments, and through our Investment Management segment.
Current wording
We are focused on executing our mission to make a secure financial future possible—one person, one family and one institution at a time. Voya’s scale, business mix, risk profile, and strong free cash flow generation are competitive differentiators, and we have a clear path to increasing free cash flow generation and Adjusted operating earnings growth via net revenue growth, margin expansion, and disciplined capital management. We provide our products and services principally through our Workplace Solutions business, which encompasses both our Wealth Solutions and Health Solutions business segments, and through our Investment Management segment.
Previous wording
Our Wealth Solutions segment earns revenue from a diverse and complementary business mix, primarily fee income from asset based and participant based administrative, recordkeeping and advisory fees as well as investment income on our general account assets and other funds. Because a significant portion of our revenues are tied to account values, our profitability is determined in part by the amount of assets we have under management, administration or advisement, which in turn depends on sales volumes to new and existing clients, net deposits from retirement plan participants, and changes in the market value of account assets. Our profitability also depends on the difference between the investment income we earn on our general account assets, or our portfolio yield, and crediting rates on client accounts.
Current wording
Revenue is earned from a diverse and complementary business mix and consists primarily of fee and investment income. Fee income is generated from asset based and participant based administrative, recordkeeping and advisory fees. Investment income derives from our general account assets and other funds. Because a significant portion of our revenues is tied to account values, our profitability is determined in part by the amount of assets we have under management, administration or advisement. This in turn depends on sales volumes to new and existing clients, net deposits from retirement plan participants, asset retention, and changes in the market value of account assets. Our profitability also depends on the difference between the investment income we earn on our general account assets, or our portfolio yield, and crediting rates on client accounts.
Previous wording
Our Health Solutions segment provides worksite employee benefits, Health Account Solutions (Health Savings Account ("HSA")/Flexible Spending Account ("FSA")/Health Reimbursement Arrangements ("HRA") and COBRA administration), leave management, financial wellness and decision support products and services to mid-size and large corporate employers and professional associations as well as benefits administration. In addition, our Health Solutions segment provides stop-loss coverage to employer plan sponsors that self-fund their pharmaceutical and medical benefits.
Current wording
Our Health Solutions segment provides worksite employee benefits, Health Account Solutions (Health Savings Account ("HSA")/Flexible Spending Account ("FSA")/Health Reimbursement Arrangements ("HRA") and COBRA administration), leave management, financial wellness, and decision support products and services to mid-size and large corporate employers and professional associations. In addition, our Health Solutions segment serves the employer market by providing stop-loss coverage to employer plan sponsors that self-fund their pharmaceutical and medical benefits plans.
Previous wording
Our Health Solutions segment generates revenue from premiums and fees, investment income, mortality and morbidity income and policy and other charges. Underwriting income comprises the majority of revenues in this segment and derives from the difference between premiums and mortality charges collected and benefits and expenses paid for group life, stop loss and voluntary benefits. Fee income is generated from margin on expenses for services provided on benefits administration, leave management, HSA/FSA/HRA and COBRA administration and proprietary decision support tools. Investment income is driven by the spread between investment yields and credited rates (the interest and income that is credited to the policies) to policyholders on voluntary universal life, whole life products, and HSA invested assets.
Current wording
The Health Solutions segment generates revenue from premiums and fees, investment income, mortality and morbidity income, and policy and other charges. Underwriting income comprises the majority of revenues in this segment and derives from the difference between premiums and mortality charges collected and benefits and expenses paid for group life, stop loss and voluntary benefits. Fee income is generated from services provided on benefits administration, leave management, HSA/FSA/HRA and COBRA administration and proprietary decision support tools. Investment income is driven by the spread between investment yields and credited rates (the interest and income that is credited to the policies) to policyholders on voluntary universal life, whole life products, and HSA invested assets, as well as the spread earned on policyholder reserves and target surplus.
Previous wording
Our Investment Management segment serves both individual and institutional customers, offering them domestic and international fixed income, equity, multi-asset and alternative investment products and solutions across a range of geographies, investment styles and capitalization spectrums. We aim to provide positive investment results that are repeatable and consistent, and deliver research-driven, risk-adjusted, client-oriented investment strategies and solutions and advisory services.
Current wording
With global distribution capabilities, we offer domestic and international fixed income, equity, alternatives and multi-asset products and solutions across market sectors and investment styles through our actively managed, full-service investment management business. We aim to provide positive investment results that are repeatable and consistent, and deliver research-driven, risk-adjusted, client-oriented investment strategies and solutions and advisory services across asset classes, geographies and investment styles.
Previous wording
Through our institutional distribution channel and our Workplace Solutions business, we serve a variety of institutional clients, including public, corporate and multiemployer defined benefit and defined contribution retirement plans, endowments and foundations, and insurance companies. We are a market leader in providing third-party general account management services to insurance companies, with a focus on public and private fixed income asset strategies, and a client service model adapted for the particular needs of insurance company clients. We also serve individual investors by offering our mutual funds, separately managed accounts, and private and alternative funds through an intermediary-focused distribution platform or through affiliate and third-party retirement platforms. Our scaled and growing international retail business is conducted through sub-advisory agreements with investment vehicles sponsored by affiliates and distributed in Europe and Asia.
Current wording
Through our institutional distribution channel and our Workplace Solutions business, we serve a variety of institutional clients, including public, corporate and multiemployer defined benefit and defined contribution retirement plans, endowments and foundations, and insurance companies. We are a market leader in providing third-party general account management services to insurance companies, with a focus on public and private fixed income asset strategies, and a client service model adapted for the particular needs of insurance company clients. We also serve individual investors by offering our mutual funds, separately managed accounts, and private and alternative funds through an intermediary-focused distribution platform or through affiliate and third-party retirement platforms. Our scaled and growing international retail business is conducted through sub-advisory agreements with investment vehicles sponsored by affiliates of AllianzGI and distributed in Europe and Asia.
Previous wording
Our Investment Management segment generates revenue through the collection of management fees on the assets we manage. These fees are typically based upon a percentage of AUM. In certain investment management fee arrangements, we may also receive performance-based incentive fees when the return on AUM exceeds certain benchmark returns or other performance hurdles. In addition, and to a lesser extent, Investment Management collects administrative fees on outside managed assets that are administered by our mutual fund platform and distributed primarily by our Wealth Solutions segment. Investment Management also receives fees as the primary investment manager of our general account, which is managed on a market-based pricing basis. Finally, Investment Management generates revenues from a portfolio of seed capital investments, collateralized loan obligations and various funds.
Current wording
Investment Management’s primary source of revenue is management fees collected on the assets we manage. These fees are typically based on a percentage of AUM. In certain investment management fee arrangements, we may also receive performance-based incentive fees when the return on AUM exceeds certain benchmark returns or other performance hurdles. In addition, and to a lesser extent, Investment Management collects administrative fees on outside managed assets that are administered by our mutual fund platform and distributed primarily by our Wealth Solutions segment. Investment Management also receives fees as the primary investment manager of our general account, which is managed on a market-based pricing basis. Finally, Investment Management generates revenues from a portfolio of seed capital investments in private equity, collateralized loan obligations and various funds.
Previous wording
On September 11, 2024, we announced a definitive agreement to acquire the full-service retirement plan business of OneAmerica Financial. This acquisition will be accomplished through the purchase of legal entities and an indemnity reinsurance agreement. The acquisition adds scale and a broader set of capabilities to our full-service business in Wealth Solutions, including incremental assets in attractive emerging and mid-market segments, employee stock ownership plan capabilities and new opportunities for distribution partnerships. The transaction, subject to customary closing conditions, is expected to close on January 1, 2025. The purchase consideration includes approximately $50 million in cash to be paid at closing and contingent consideration of up to $160 million based on plan persistency and transition incentives.
Current wording
On January 2, 2025, the Company acquired the full-service retirement plan business of OneAmerica Financial. This acquisition was accomplished through the purchase of legal entities and an indemnity reinsurance agreement. The acquisition adds scale and a broader set of capabilities to the Company's full-service business in Wealth Solutions, including incremental assets in emerging and mid-market segments, employee stock ownership plan capabilities and opportunities for distribution partnerships. The purchase consideration at closing included approximately $50 million in cash paid, and contingent consideration of up to $160 million payable in 2026, based on plan persistency and transition incentives.
Previous wording
•equity market impacts to limited partnership valuations; and
Current wording
•overall market impacts to limited partnership valuations; and
Previous wording
•equity market impacts to limited partnership valuations.
Current wording
•overall market impacts to limited partnership valuations.
Previous wording
Interest credited and other benefits to contract owners/policyholders increased $139 million from $799 million to $938 million primarily due to:
Current wording
Interest credited and other benefits to contract owners/policyholders decreased $16 million from $851 million to $835 million primarily due to:
Previous wording
Operating expenses related to consolidated investment entities increased $24 million from $123 million to $147 million primarily due to:
Current wording
Operating expenses related to consolidated investment entities increased $15 million from $28 million to $43 million primarily due to:
Previous wording
•an increase in interest costs of limited partnerships due to a larger loan; and
Current wording
•an increase in interest costs of limited partnerships.
Previous wording
Income tax expense/(benefit) changed $92 million from a benefit of $74 million to an expense of $18 million primarily due to:
Current wording
Income tax expense/(benefit) changed $23 million from a benefit of $1 million to an expense of $22 million primarily due to:
Previous wording
•the Security Life of Denver Company capital loss carryback recorded in 2023. For more details, see the Income Taxes Note to our Condensed Consolidated Financial Statements in Part I, Item 1. of this Quarterly Report on Form 10-Q.
Current wording
•the Security Life of Denver Company capital loss carryback recorded in 2024. For more details, see the Income Taxes Note to the Consolidated Financial Statements included in Part II, Item 8. of the Annual Report on Form 10-K.; and
Previous wording
•an increase in income before income taxes; and
Current wording
•a decrease in income before income taxes.
Previous wording
Net investment gains (losses) changed $75 million from a gain of $42 million to a loss of $33 million primarily due to:
Current wording
Net investment gains (losses) changed $65 million from a gain of $63 million to a loss of $2 million primarily due to:
Previous wording
Income (loss) related to businesses exited or to be exited through reinsurance or divestment improved $16 million from a loss of $68 million to a loss of $52 million primarily due to:
Current wording
Income (loss) related to businesses exited or to be exited through reinsurance or divestment decreased $7 million from a loss of $32 million to a loss of $39 million primarily due to:
Previous wording
Other adjustments to operating earnings improved $87 million from a loss of $150 million to a loss of $63 million primarily due to:
Current wording
Other adjustments to operating earnings decreased $7 million from a loss of $23 million to a loss of $30 million primarily due to:
Previous wording
Adjusted operating earnings before income taxes including Allianz noncontrolling interest increased $21 million from $168 million to $189 million primarily due to:
Current wording
Adjusted operating earnings before income taxes increased $21 million from $186 million to $207 million primarily due to:
Previous wording
The following table presents Net revenue and Adjusted operating margin for our Health Solutions segment as of the dates indicated:
Current wording
The following table presents Net revenue and Adjusted operating margin for our Health Solutions segment for the periods indicated:
Previous wording
Interest expense decreased $13 million from $102 million to $89 million primarily due to:
Current wording
Adjusted Operating earnings before income taxes decreased $13 million from $59 million to $46 million primarily due to:
Previous wording
Our Investment Management segment operating revenues include the following intersegment revenues, primarily consisting of asset-based management and administration fees.
Current wording
Our Investment Management segment operating revenues include the following intersegment revenues, primarily consisting of asset-based management and administration fees, for the periods indicated:
Previous wording
(3)Includes assets sourced by other segments and also reported as AUA or AUM by such other segments. Assets Under Advisement, presented in AUA, includes advisory assets, mutual fund, general account and stable value assets.
Current wording
(2)Includes assets sourced by other segments and also reported as AUA or AUM by such other segments. Assets Under Advisement, presented in AUA, includes advisory assets, mutual fund, general account and stable value assets.
Previous wording
Investment income on certain alternative investments can be volatile due to changes in market conditions. The following table presents the amount of investment income (loss) on certain alternative investments that is included in segment Adjusted operating earnings before income taxes and the average level of assets in each segment, prior to intercompany eliminations, which excludes alternative investments and income that are a component of Income (loss) related to businesses exited or to be exited through reinsurance or divestment. These alternative investments are carried at fair value, which is estimated based on the net asset value ("NAV") of these funds. While investment income on these assets can be volatile, based on current plans, we expect to earn 9% on these assets over the long term.
Current wording
Investment income on certain alternative investments can be volatile due to changes in market conditions. The following table presents the amount of investment income (loss) on certain alternative investments that is included in segment Adjusted operating earnings before income taxes and the average level of assets in each segment, prior to intercompany eliminations, which excludes alternative investments and income that are a component of Income (loss) related to businesses exited or to be exited through reinsurance or divestment. These alternative investments are carried at fair value, which is estimated based on the NAV of these funds. While investment income on these assets can be volatile, based on current plans, we expect to earn 9% on these assets over the long term.
Previous wording
We estimate that our excess capital (which we define as the amount of total adjusted capital in our insurance subsidiaries above our 375% RBC target, plus the amount of holding company liquidity above our $200 million target) as of September 30, 2024, was approximately $0.4 billion. As of September 30, 2024, our estimated combined RBC ratio, with adjustments for certain intercompany transactions, was 395%. Both excess capital and the estimated combined RBC ratio are adjusted for the anticipated payment of the 3.976% Senior Notes maturing February 15, 2025. See the Financing Agreements Note to our Condensed Consolidated Financial Statements in Part I, Item 1. of this Quarterly Report on Form 10-Q for additional details on the maturing debt.
Current wording
We estimate that our excess capital (which we define as the amount of total adjusted capital in our insurance subsidiaries above our 375% RBC target, plus the amount of holding company liquidity above our $200 million target) as of March 31, 2025, was approximately $150 million. As of March 31, 2025, our estimated combined RBC ratio was 385%. Excess capital and the estimated RBC ratio are both adjusted for certain intercompany loans and transactions.
Previous wording
(1) See Debt and Put Option Agreement for Senior Debt Issuance below for further detail.
Current wording
(1) See Put Option Agreement for Senior Debt Issuance below for further detail.
Previous wording
(3) Total exceeded the holding company's liquidity target of $200 million.
Current wording
(3) Total met or exceeded the holding company's liquidity target of $200 million. Total ending liquidity excludes $19 million of U.S. Treasury securities with a maturity of 397 days for the period ended March 31, 2025.
Previous wording
We manage liquidity through access to substantial investment portfolios as well as a variety of other sources of liquidity including committed credit facilities, securities lending and repurchase agreements. Our asset-liability management ("ALM") process takes into account the expected maturity of investments and expected benefit payments as well as the specific nature and risk profile of the liabilities. As part of our liquidity management process, we model different scenarios to determine whether existing assets are adequate to meet projected cash flows.
Current wording
We manage liquidity through access to substantial investment portfolios as well as a variety of other sources of liquidity including committed credit facilities, securities lending and repurchase agreements. Our asset-liability management ("ALM") process considers the expected maturity of investments and expected benefit payments as well as the specific nature and risk profile of the liabilities. As part of our liquidity management process, we model different scenarios to determine whether existing assets are adequate to meet projected cash flows.
Previous wording
See the Shareholders' Equity Note in our Condensed Consolidated Financial Statements in Part I, Item 1. of this Quarterly Report on Form 10-Q for information relating to authorizationsby the Board of Directors to repurchase our shares and amounts of common stock repurchased pursuant to such authorizations during the nine months ended September 30, 2024. As of September 30, 2024, our remaining repurchase capacity under the Board's authorization was $382 million.
Current wording
See the Shareholders' Equity Note in our Condensed Consolidated Financial Statements in Part I, Item 1. of this Quarterly Report on Form 10-Q for information relating to authorizations by the Board of Directors to repurchase our shares and amounts of common stock repurchased pursuant to such authorizations during the three months ended March 31, 2025. As of March 31, 2025, our remaining repurchase capacity under the Board's authorization was $761 million.
Previous wording
As of September 30, 2024, we had $397 million of short-term debt borrowings outstanding consisting entirely of the current portion of long-term debt. The following table summarizes our borrowing activities for the nine months ended September 30, 2024:
Current wording
As of March 31, 2025, we had $1 million of short-term debt borrowings outstanding consisting entirely of the current portion of long-term debt. The following table summarizes our borrowing activities for the three months ended March 31, 2025:
Previous wording
See the Financing Agreements Note to our Condensed Consolidated Financial Statements in Part I, Item 1. of this Quarterly Report on Form 10-Q for information on the Put Option and the 3.976% Senior Notes.
Current wording
See the Financing Agreements Note to our Condensed Consolidated Financial Statements in Part I, Item 1. of this Quarterly Report on Form 10-Q for information on the Put Option and the 3.976% Senior Notes due 2025. The Company repaid the $400 million outstanding principal amount of its 3.976% Senior Notes upon maturity on February 14, 2025. The put option agreement expired on February 15, 2025.
Previous wording
•Voya Financial, Inc. guarantees the obligations of Voya Holdings under the $13 million principal amount of Equitable Notes maturing in 2027, and provides a back-to-back guarantee to ING Group in respect of its guarantee of $218 million combined principal amount of Aetna Notes.
Current wording
•Voya Financial, Inc. guarantees the obligations of Voya Holdings under the $13 million principal amount of the 8.42% Equitable of Iowa Companies Capital Trust II Notes due 2027, and provides a back-to-back guarantee to ING Group in respect of its guarantee of $218 million combined principal amount of Aetna Notes.
Previous wording
We maintain revolving reciprocal loan agreements with a number of our life and non-life insurance subsidiaries that are used to fund short-term cash requirements that arise in the ordinary course of business. Under these agreements, either party may borrow up to the maximum allowable under the agreement for a term not more than 270 days. For life insurance subsidiaries, the amounts that either party may borrow under the agreement vary and are between 3% and 5% of the insurance subsidiary's statutory net admitted assets (excluding separate accounts) as of the previous year end depending on the state of domicile. As of September 30, 2024, the aggregate amount that may be borrowed or lent under agreements with life insurance subsidiaries was $1.2 billion. For non-life insurance subsidiaries, the maximum allowable under the agreement is based on the assets of the subsidiaries and their particular cash requirements. As of September 30, 2024, Voya Financial, Inc. had $195 million outstanding borrowings from subsidiaries and had loaned $572 million to its subsidiaries.
Current wording
We maintain revolving reciprocal loan agreements with a number of our life and non-life insurance subsidiaries that are used to fund short-term cash requirements that arise in the ordinary course of business. Under these agreements, either party may borrow up to the maximum allowable under the agreement for a term not more than 270 days. For life insurance subsidiaries, the amounts that either party may borrow under the agreement vary and are between 3% and 5% of the insurance subsidiary's statutory net admitted assets (excluding separate accounts) as of the previous year end depending on the state of domicile. As of March 31, 2025, the aggregate amount that may be borrowed or lent under agreements with life insurance subsidiaries was $1.4 billion. For non-life insurance subsidiaries, the maximum allowable under the agreement is based on the assets of the subsidiaries and their particular cash requirements. As of March 31, 2025, Voya Financial, Inc. had $799 million in outstanding borrowings from subsidiaries and had loaned $491 million to its subsidiaries.
Previous wording
In December of 2023, Moody’s confirmed its outlook for the U.S. life insurance sector as stable. In November 2023, Fitch changed its outlook from neutral to improving for the North American life insurance sector. Also, in April 2024, A.M. Best maintained a stable outlook on the U.S. life insurance and annuities sector.
Current wording
In December of 2024, Moody’s confirmed its outlook for the U.S. life insurance sector as stable. Also, in December of 2024, A.M. Best maintained a stable outlook on the U.S. life insurance sector and Fitch changed its outlook from improving to stable for the North American life insurance sector.
Previous wording
We have obligations for the return of non-cash collateral under an amendment to our securities lending program. Non-cash collateral received in connection with the securities lending program may not be sold or re-pledged by our lending agent, except in the event of default, and is not reflected on our Condensed Consolidated Balance Sheets. For information regarding obligations under this program, see the Investments (excluding Consolidated Investment Entities) Note in our Condensed Consolidated Financial Statements in Part I, Item 1. of this Quarterly Report on Form 10-Q.
Current wording
Off-balance sheet arrangements are mostly related to commitments to either purchase or sell securities, mortgage loans or money market instruments, at a specified future date and at a specified price or yield. In addition, off-balance sheet arrangements include obligations to return non-cash collateral under our securities lending program. Non-cash collateral received in connection with the securities lending program may not be sold or re-pledged by our lending agent, except in the event of default. For information regarding off-balance sheet arrangements, see the Investments (excluding Consolidated Investment Entities) Note and the Commitments and Contingencies Note in our Condensed Consolidated Financial Statements in Part I, Item 1. of this Quarterly Report on Form 10-Q.
Previous wording
Our Financial Leverage Ratio, excluding AOCI, increased from 27.8% at December 31, 2023 to 30.6% at September 30, 2024. This temporary increase was primarily due to the issuance on September 20, 2024 of $400 million of unsecured 5.0% Senior Notes due 2034. The Company expects the ratio to decrease upon repayment at maturity of the $400 million outstanding principal amount of 3.976% Senior Notes due February 15, 2025, using the proceeds of the recent issuance.
Current wording
Our Financial Leverage Ratio, excluding AOCI, decreased from 30.3% at December 31, 2024 to 27.5% at March 31, 2025. This decrease was primarily due to the repayment at maturity of the $400 million outstanding principal amount of 3.976% Senior Notes on February 14, 2025, using the proceeds from the September 20, 2024 issuance of $400 million of unsecured 5.0% Senior Notes due 2034.
Showing the first 40 of 49 pairs. Open the source sections for the rest.
Rearranged current paragraphs (4)
Current report — wording carried from elsewhere
•net unfavorable changes in derivative valuations due to interest rate movements; and
Current report — wording carried from elsewhere
The following table presents Net revenue and Adjusted operating margin for our Wealth Solutions segment for the periods indicated:
Current report — wording carried from elsewhere
(1) Total of Full Service and Recordkeeping.
Current report — wording carried from elsewhere
The following table presents Net revenue and Adjusted operating margin for our Investment Management segment for the periods indicated:
Rearranged previous paragraphs (10)
Previous report — wording carried elsewhere
•a favorable change in mark-to-market adjustments on securities subject to fair value option accounting primarily due to interest rate movements; and
Previous report — wording carried elsewhere
Interest credited and other benefits to contract owners/policyholders increased $400 million from $2,232 million to $2,632 million primarily due to:
Previous report — wording carried elsewhere
•unfavorable changes in the fair value of embedded derivatives associated with businesses exited primarily due to changes in interest rates, which are mostly offset by a corresponding amount in Net gains (losses).
Previous report — wording carried elsewhere
Income tax expense/(benefit) changed $92 million from a benefit of $34 million to an expense of $58 million primarily due to:
Previous report — wording carried elsewhere
•the difference in the Security Life of Denver Company capital loss carrybacks. For more details, see the Income Taxes Note to our Condensed Consolidated Financial Statements in Part I, Item 1. of this Quarterly Report on Form 10-Q;
Previous report — wording carried elsewhere
Adjustments to Income (loss) before income taxes
Previous report — wording carried elsewhere
•a favorable change in mark-to-market adjustments on securities subject to fair value option accounting primarily due to interest rate movements; and
Previous report — wording carried elsewhere
The following table presents Net revenue and Adjusted operating margin for our Wealth Solutions segment as of the dates indicated:
Previous report — wording carried elsewhere
The following table presents Net revenue and Adjusted operating margin for our Investment Management segment as of the dates indicated:
Previous report — wording carried elsewhere
Voya Financial, Inc. (the "Parent Issuer") has issued certain notes pursuant to transactions registered under the Securities Act of 1933. As of September 30, 2024, such securities consist of (i) the 3.976% senior notes due 2025, the 3.65% senior notes due