Accounts

Transaction-based brokerage accounts

Many of the products you purchase are held in your Ameriprise^® Brokerage account or Ameriprise ONE^® Financial Account.

Before purchasing financial products, be sure to read these documents at ameriprise.com/disclosures:

Brokerage fees

Transaction charges. You may pay commissions, sales charges and/or other fees on products purchased and sold in your brokerage account.

Account maintenance fees. The account maintenance fee will be deducted directly from the cash balance in your account. If there is not enough cash in your account to cover the fee, we may sell securities in your account in an amount sufficient to cover the full year’s fee. In some instances, the account maintenance fee may be waived by Ameriprise Financial or reimbursed by your advisor.

Service fees. If applicable, fees for wire transfers, returned checks, overnight delivery and similar services will be deducted directly from the cash balance in your account. Note that the fee schedule may be revised periodically. Service fees may be waived by Ameriprise Financial or reimbursed by your advisor.

Interest on margin account. If you have an account with margin-lending capabilities, you will be charged interest on any outstanding debit balance.

Other things to consider

You will not be charged an annual Asset-based Fee on products held in a brokerage account.
Your brokerage account maintenance fee or applicable service fees may be reimbursed under certain circumstances. For example, the account maintenance fee is reimbursed when you or your household maintains a certain balance. In addition, under certain circumstances, your financial advisor has the ability to reimburse your account for service fees or account maintenance fees through a program made available by Ameriprise Financial.

To learn more about available fee reimbursement and waiver programs, talk with your financial advisor.

Advisory solutions

With the Ameriprise^® Custom Advisory Relationship, you have access to all advisory solutions (Managed Accounts) at Ameriprise within a single advisory client agreement. All advisory solutions accounts have a single pricing framework:

Nondiscretionary advisory accounts provide you access to a broad array of mutual funds, exchange traded funds (ETF) and other publicly traded securities. You can bring all of your eligible investments together into one coordinated and flexible portfolio, allocated according to your investment needs, with the added benefits of ongoing financial advice and portfolio reviews.

Discretionary advisory accounts are available in a variety of solutions:

Portfolios comprised of mutual fund and/or ETF portfolios are overseen by professional investment managers who provide asset allocation, investment selection, and portfolio construction with ongoing monitoring and dynamic reallocation.
Your Ameriprise financial advisor directs the purchase or sale of a wide range of mutual funds and other publicly traded securities within a single account on your behalf. Your financial advisor will purchase and sell securities in your account that are suitable for you and consistent with your investment objectives, time horizon, financial situation and risk tolerance.
Separately Managed Accounts (SMAs) give you access to professional investment managers who typically provide services to institutional investors like pension plans and foundations. In addition, SMAs allow you direct ownership of securities, providing greater transparency of holdings, the potential for customization based on your individual values and personal tax-management opportunities.
Unified Managed Accounts (UMAs) are innovative investment vehicles that can hold SMAs, mutual funds and ETFs in a single account. UMAs give you access to top investment managers at lower asset levels, all in one unified account.

Before entering into a custom advisory relationship and associated account(s), be sure to read the following documents:

Ameriprise Managed Accounts Client Disclosure Brochure, or if you have elected to pay a consolidated advisory fee, the Ameriprise Managed Accounts and Financial Planning Service Disclosure Brochure
Ameriprise Custom Advisory Relationship Agreement
Ameriprise Brokerage Client Agreement
Other Important Brokerage Disclosures
Ameriprise Financial Schedule of Account and Service Fees
The Pension Protection Act (PPA) Advice Exemption: What Our Clients Should Know for applicable qualified accounts
Financial advisor(s) ADV Brochure supplement
Any applicable portfolio/strategy fact sheets
Mutual fund and ETF prospectuses and other investment product offering documents
Available information about the trading practices of each investment manager, including the average cost of step-out trades for the applicable investment strategy

Advisory service fees

Annual Asset-based Fee. For each account, you pay an annualized Asset-based Fee (wrap fee) based on the services provided and the assets held within your advisory account(s). This fee is calculated and deducted monthly.

Service fees. Fees, if applicable, are deducted directly from the cash balance in your account (e.g., wire transfers and returned check fees). A complete list can be viewed here.

Interest on margin account. You will be charged interest on the outstanding margin balance if you have a margin account. Margin is only available for nonqualified nondiscretionary investment advisory accounts.

Fees may vary. The components of the Asset-based Fee are separately itemized as an advisory fee, a platform fee and a manager fee. Based on the advisory program you select, the components of your Asset-based Fee will vary. Please consult the Ameriprise Managed Accounts Client Disclosure Brochure and the Ameriprise Custom Advisory Relationship Agreement, available here or from your financial advisor, for details.

Householding of account assets. The Asset-based Fee provides householding benefits across all advisory programs.

Other things to consider

You will not pay sales charges on investment advisory assets purchased in managed accounts. If Ameriprise receives 12b-1 fees for mutual funds held in managed accounts, they will be rebated to your account(s). Investment products you purchase within your advisory account have their own underlying fees and expenses. These costs are in addition to the Asset-based Fee that you pay directly from your account. They are paid indirectly by you; for example, as a shareholder in a mutual fund, through the product. Examples of those fees and expenses are described later in the investment product overviews.

You will not be charged an account maintenance fee for advisory programs.

The annualized Asset-based Fee covers transaction costs when trades are executed on an agency basis through our affiliated clearing agent, AEIS. If you invest in an SMA and the investment manager places transactions for execution with a third-party broker-dealer other than AEIS, referred to as “step-out trades,” any additional trading costs incurred will be passed along to you, are included in the purchase or sale price of the transacted security, and are in addition to the annualized Asset-based Fee.

If you purchase both financial planning services and an asset-based investment advisory account, it’s important that you understand what you’re paying for — financial planning services, investment advisory account services or both. If you enroll in both, you can choose to pay separate and distinct advisory fees for each service or you may have a consolidated advisory fee service for which you will pay an Ameriprise Financial Planning Service fee as part of the associated Managed Accounts Asset-based Fee.
Before selecting a Managed Account Program, you should consider, among other things, that the total compensation received by Ameriprise Financial and our affiliate in the aggregate includes third-party payments received for cost reimbursement services. Review the Ameriprise Managed Accounts Client Disclosure Brochure for more information.
A discretionary account is one in which you give your financial advisor or an advisory service provider authority to buy and sell securities in your account without obtaining your consent for each specific trade. In a nondiscretionary account, you must provide your consent before each transaction is executed on your behalf.

Individual retirement accounts (IRAs)

An IRA is designed to help you save for your retirement. The Internal Revenue Service (IRS) restricts the amount you can contribute to an IRA. Ameriprise Financial offers a variety of IRAs, including traditional IRAs, Roth IRAs, Simplified Employee Pension (SEP) IRAs and more. IRAs can include a variety of account types, including transaction-based brokerage, fee-based investment advisory and face-amount certificate accounts.

Before opening an IRA account, be sure to read the appropriate guide from the following documents:

Periodic fees and expenses

You may be required to pay an annual IRA custodial fee in addition to the fees and expenses related to your account and underlying investments.

We may reimburse your annual IRA custodial fee or applicable service fees under certain circumstances. For example, the fee is reimbursed when you or your household maintains a certain balance. The annual IRA custodial-fee waiver does not include fees or sales charges related to your transaction-based brokerage or fee-based investment advisory account or to the underlying investments within your IRA. To ensure that you are obtaining all available waivers, please talk with your financial advisor.

Service fees. If applicable, fees for wire transfers, returned checks, overnight delivery and similar services will be deducted directly from the cash balance in your account. Please note that the fees may be revised periodically. A fee schedule can be viewed here.

Other things to consider

Traditional IRAs offer the opportunity for tax-deferred growth of any earnings and may permit tax-deductible contributions.
Roth IRAs offer the opportunity for tax-free growth of any earnings, when all IRS conditions are met, but do not permit tax-deductible contributions.

529 plans

A 529 plan is a tax-advantaged savings plan designed to encourage saving for future education costs. Earnings in 529 plans are not subject to federal tax or, in most cases, state tax as long as withdrawals are used for eligible education expenses, such as tuition and room and board. Ameriprise Financial offers a variety of 529 plans from several different providers, including plans in many of the states that offer state tax deductions or credits on 529 contributions.

Ameriprise offers 529 plan accounts held both directly at the 529 plan sponsor and held in an Ameriprise^® brokerage account.

Before purchasing a 529 plan, be sure to read the 529 plan’s Official Statement, provided by your financial advisor.

Sales charges

Depending on the share class you purchase, you may pay a front-end load or a back-end load. See “Mutual funds” on the following page.

Periodic fees and expenses

The following fees may be charged by the 529 plan sponsor:

Annual maintenance fee, which may be reduced or waived based on certain criteria, such as making systematic purchases or maintaining a certain minimum balance.

For information on periodic fees and expenses of 529 plans held in an Ameriprise^® brokerage account, see Brokerage fees | Ameriprise Financial.

In addition:

Administration/management fees, based on a percentage of daily net assets, are paid monthly to the 529 plan sponsor for the investment management and administrative services it provides.
Expenses of underlying funds are paid indirectly through periodic fees and expenses charged by the underlying mutual funds in which your 529 plan invests.

Other things to consider

Favorable state income-tax treatment and benefits for investing in a 529 plan may be available only if you invest in a 529 plan offered by the state in which you pay taxes. Benefits vary from state to state. For more information, consult with a qualified tax professional or contact the 529 plan for the state in which you pay taxes.

You should consider the investment objectives, risks, charges and expenses of a mutual fund, certificate, variable annuity, structured annuity or variable life insurance product or 529 plan carefully before investing. For a free prospectus, disclosure documents or other important information about financial products, call 800.862.7919. Read the prospectus and/or disclosure information before you purchase or invest.