Voya Financial, Inc. - FORM 8-K - EX-99.2 - EXHIBIT 99.2

Attached files

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EX-99.1 - EXHIBIT 99.1 - Voya Financial, Inc.	q12018pressrelease.htm
8-K - 8-K - Voya Financial, Inc.	q12018voyafinancial8-k.htm

Exhibit 99.2

Quarterly Investor Supplement

March 31, 2018

This report should be read in conjunction with Voya Financial, Inc.'s Quarterly Report on Form 10-Q for the Three Months Ended March 31, 2018. Voya Financial's Annual Reports on Form 10-K, and Quarterly Reports on Form 10-Q, can be accessed upon filing at the Securities and Exchange Commission’s website at www.sec.gov, and at our website at investors.voya.com. All information is unaudited.




Corporate Offices:	Media Contact:	Investor Contact:

Voya Financial	Christopher Breslin	Michael Katz
230 Park Avenue	212-309-8941	212-309-8999
New York, New York 10169	Christopher.Breslin@voya.com	IR@voya.com

NYSE Ticker:		Web Site:
VOYA		investors.voya.com

Table of Contents



	Page		Page
Consolidated		Corporate
Explanatory Note on Non-GAAP Financial Information	3 - 5	Adjusted Operating Earnings	29
Key Metrics	6	Investment Information
Consolidated Statements of Operations	7	Portfolio Composition	31
Consolidated Adjusted Earnings Before Income Taxes	8	Portfolio Results	32
Adjusted Operating Earnings by Segment (QTD)	9	Alternative Investment Income	33
Consolidated Balance Sheets	10	Reconciliations
DAC/VOBA Segment Trends	11	Reconciliation of Consolidated Statements of Operations	35
Consolidated Capital Structure	12	Reconciliation of Adjusted Operating Revenues	36
Consolidated Assets Under Management/Assets Under Administration	13	Reconciliation of Adjusted Operating Earnings - excluding Unlocking
Retirement		Adjusted Return on Capital	37 - 38
Sources of Adjusted Operating Earnings and Key Metrics	15	Impacts of Prepayments and Alternative Income Above (Below) Long-
Assets Under Management Rollforward by Product Group	16	Term Expectations on Adjusted ROC (bps)	39
Investment Management		Reconciliation of Adjusted Operating Earnings Per Share; Book Value
Sources of Adjusted Operating Earnings	18	Per Share	40
Key Metrics	19	Reconciliation of Investment Management Operating Margin, Excluding
Account Value Rollforward by Source	20	Investment Capital	41
Account Value by Asset Type	21
Employee Benefits
Sources of Adjusted Operating Earnings	23
Key Metrics	24
Individual Life
Sources of Adjusted Operating Earnings	26
Key Metrics	27



Voya Financial	Page 3 of	41

Explanatory Note on Non-GAAP Financial Information

On December 20, 2017, we entered into an agreement to dispose of substantially all of our Closed Block Variable Annuity (“CBVA”) and annuities businesses (the "Transaction"). As a result, the assets and liabilities of the businesses to be sold have been classified as held for sale and the results of operations have been classified as discontinued operations for all periods presented in this Quarterly Investor Supplement. Pursuant to the Transaction, we evaluated our segments and determined that the retained CBVA and annuities policies that are not components of the disposed businesses described above ("Retained Business") have insignificant impacts to Adjusted operating earnings before taxes. As such, we have recorded the results of these retained businesses in Corporate.

Adjusted Operating Earnings Before Income Taxes

Adjusted operating earnings before income taxes is a measure used to evaluate segment performance. We believe that Adjusted operating earnings before income taxes provides a meaningful measure of its business and segment performances and enhances the understanding of our financial results by focusing on the operating performance and trends of the underlying business segments and excluding items that tend to be highly variable from period to period based on capital market conditions and/or other factors. We use the same accounting policies and procedures to measure segment Adjusted operating earnings before income taxes as we do for the directly comparable U.S. GAAP measure Income (loss) from continuing operations before income taxes.

Adjusted operating earnings before income taxes does not replace Income (loss) from continuing operations before income taxes as the comparable U.S. GAAP measure of our consolidated results of operations. Therefore, we believe that it is useful to evaluate both Income (loss) from continuing operations before income taxes and Adjusted operating earnings before income taxes when reviewing our financial and operating performance. Each segment’s Adjusted operating earnings before income taxes is calculated by adjusting Income (loss) from continuing operations before income taxes for the following items:

▪

Net investment gains (losses), net of related amortization of DAC, VOBA, sales inducements and unearned revenue, which are significantly influenced by economic and market conditions, including interest rates and credit spreads, and are not indicative of normal operations. Net investment gains (losses) include gains (losses) on the sale of securities, impairments, changes in the fair value of investments using the FVO unrelated to the implied loan-backed security income recognition for certain mortgage-backed obligations and changes in the fair value of derivative instruments, excluding realized gains (losses) associated with swap settlements and accrued interest;

•

Net guaranteed benefit hedging gains (losses), which are significantly influenced by economic and market conditions and are not indicative of normal operations, include changes in the fair value of derivatives related to guaranteed benefits, net of related reserve increases (decreases) and net of related amortization of DAC, VOBA and sales inducements, less the estimated cost of these benefits. The estimated cost, which is reflected in operating results, reflects the expected cost of these benefits if markets perform in line with our long-term expectations and includes the cost of hedging. Other derivative and reserve changes related to guaranteed benefits are excluded from operating results, including the impacts related to changes in nonperformance spread;

•

Income (loss) related to businesses exited through reinsurance or divestment that do not qualify as discontinued operations, which includes gains and (losses) associated with transactions to exit blocks of business (including net investment gains (losses) on securities sold and expenses directly related to these transactions) and residual run-off activity; these gains and (losses) are often related to infrequent events and do not reflect performance of operating segments. Excluding this activity better reveals trends in our core business, which would be obscured by including the effects of business exited, and more closely aligns Adjusted operating earnings before income taxes with how we manages our segments;


•	Income (loss) attributable to noncontrolling interest, which represents the interest of shareholders, other than those of Voya Financial, Inc., in the gains and (losses) of consolidated entities, or the attribution of results from consolidated VIEs or VOEs to which we are not economically entitled;


•	Income (loss) related to early extinguishment of debt, which includes losses incurred as a result of transactions where we repurchase outstanding principal amounts of debt; these losses are excluded from Adjusted operating earnings before income taxes since the outcome of decisions to restructure debt are not indicative of normal operations;


•	Impairment of goodwill, value of management contract rights and value of customer relationships acquired, which includes losses as a result of impairment analysis; these represent losses related to infrequent events and do not reflect normal, cash-settled expenses;

•

Immediate recognition of net actuarial gains (losses) related to our pension and other postretirement benefit obligations and gains (losses) from plan amendments and curtailments, which includes actuarial gains and losses as a result of differences between actual and expected experience on pension plan assets or projected benefit obligation during a given period. We immediately recognize actuarial gains and (losses) related to pension and other postretirement benefit obligations and gains and losses from plan adjustments and curtailments. These amounts do not reflect normal, cash-settled expenses and are not indicative of current Operating expense fundamentals; and

•

Other items not indicative of normal operations or performance of our segments or may be related to infrequent events including capital or organizational restructurings including certain costs related to debt and equity offerings as well as stock and/or cash based deal contingent awards; expenses associated with the rebranding of Voya Financial, Inc.; severance and other third-party expenses associated with restructuring. These items vary widely in timing, scope and frequency between periods as well as between companies to which we are compared. Accordingly, we adjust for these items as we believe that these items distort the ability to make a meaningful evaluation of the current and future performance of our segments. Additionally, with respect to restructuring, these costs represent changes in operations rather than investments in the future capabilities of our operating businesses.

Adjusted operating earnings before income taxes for Corporate includes Net investment gains (losses) and Net guaranteed benefit hedging gains (losses) associated with the Retained Business in prior periods. These retained amounts are insignificant and do not distort the ability to make a meaningful evaluation of the trends of Corporate activities.



Voya Financial	Page 4 of	41

Explanatory Note on Non-GAAP Financial Information

Income (loss) related to businesses exited through reinsurance or divestment (including net investment gains (losses) on securities sold and expenses directly related to these transactions) is excluded from the results of operations from Adjusted operating earnings before income taxes. When we present the adjustments to Income (loss) from continuing operations before income taxes on a consolidated basis, each adjustment excludes the relative portions attributable to businesses exited through reinsurance or divestment.

The most directly comparable U.S. GAAP measure to Adjusted operating earnings before income taxes is Income (loss) from continuing operations before income taxes. For a reconciliation of Adjusted operating earnings before income taxes to Income (loss) from continuing operations before income taxes, refer to the "Reconciliations" section in this document.

Adjusted Operating Earnings - excluding Unlocking

Adjusted operating earnings - excluding unlocking is also a non-GAAP financial measure. This measure excludes from Adjusted operating earnings before income taxes the following items:


•	DAC/VOBA and other intangibles unlocking; and


•	The net gains included in Adjusted operating earnings from a distribution of cash and securities in conjunction with a Lehman Brothers bankruptcy settlement ("Lehman Recovery"), and losses as a result of the decision to dispose of certain Low Income Housing Tax Credit partnerships ("LIHTC") as a mean of exiting this asset class.

Because DAC/VOBA and other intangibles unlocking can be volatile, excluding the effect of this item can improve period to period comparability. The net gain from the Lehman Brothers bankruptcy settlement and loss from the disposition of low-income housing tax credit partnerships affected run-rate results and we believe that this effect is not reflective of our ongoing performance.

Adjusted Operating Earnings per Share (Diluted); Shareholders' Equity/Book Value per Share, Excluding AOCI

In addition to Net income (loss) per share, we report Adjusted operating earnings per share (diluted) because we believe that Adjusted operating earnings before income taxes provides a meaningful measure of its business and segment performances and enhances the understanding of our financial results by focusing on the operating performance and trends of the underlying business segments and excluding items that tend to be highly variable from period to period based on capital market conditions and/or other factors.

In addition to book value per share including Accumulated other comprehensive income (AOCI), we also report book value per share excluding AOCI and shareholders' equity excluding AOCI. Included in AOCI are investment portfolio unrealized gains or losses. In the ordinary course of business we do not plan to sell most investments for the sole purpose of realizing gains or losses, and book value per share excluding AOCI and shareholders' equity excluding AOCI provide a measure consistent with that view. The Adjusted debt to capital excludes AOCI and includes a 25% equity treatment afforded to subordinated debt.

For a reconciliation of these non-GAAP measures to the most directly comparable U.S. GAAP measures, refer to the "Reconciliation of Adjusted Operating Earning Per Share; Book Value Per Share, Excluding AOCI" page of this document.

Adjusted Return on Capital

We report Adjusted return on capital ("ROC") because we believe this measure is a useful indicator of how effectively we use capital resources allocated to our segments apart from corporate and closed block activities, which include our Retirement, Investment Management, Individual Life and Employee Benefits segments. Capital is allocated to each of our segments in proportion to each segment’s target statutory capital, plus an allocation of the differences between statutory capital and total Voya Financial, Inc. shareholders' equity on a GAAP basis (excluding AOCI), based on each segment’s portion of these differences. Statutory surplus in excess of target statutory capital and certain corporate assets and liabilities, such as certain deferred tax assets and liabilities for unfunded pension plans, are allocated to Corporate.

Adjusted Operating Effective Tax Rate

The Adjusted operating effective tax rate for 2018 is based on the income tax expense for the current period related to Income (loss) from continuing operations, less estimated taxes on non-operating items assuming a 21% corporate tax rate. We assume a 21% tax rate on all components of Adjusted operating earnings described as “after-tax”. For purposes of calculating segment Adjusted ROC, we assume a 21% tax rate on segment Adjusted operating earnings, excluding unlocking, less the estimated benefit of the dividends received deduction in our Retirement segment. For periods before 2018, we assumed a 32% tax rate on Adjusted operating earnings and all components of Adjusted operating earnings described as after-tax, which reflects the estimated benefit of the dividends received deduction related to our segments.

Stranded Costs

As a result of the Transaction, the revenues and expenses of the businesses held for sale have been classified as discontinued operations. Expenses classified within discontinued operations include only direct operating expenses incurred by the businesses being sold that 1) are identifiable as costs of the businesses being sold, and 2) we will not continue to recognize after the close of the Transaction. Consequently, indirect costs, such as those related to corporate and shared service functions that were previously allocated to the businesses held for sale, are excluded from discontinued operations. In addition, certain direct costs related to the businesses being sold, for which we will continue to perform transition services and be reimbursed in a transaction services agreement, are excluded from discontinued operations. Both types of costs ("Stranded Costs") are included in Adjusted operating earnings and Income (loss) from continuing operations for all periods presented. We do not believe these Stranded Costs are representative of the future run-rate of expenses for our continuing operations, therefore they are currently allocated to Corporate. We will undertake efforts to eliminate some or all of the Stranded Costs through a cost reduction strategy.



Voya Financial	Page 5 of	41

Explanatory Note on Non-GAAP Financial Information

Adjusted Operating Revenues

Adjusted operating revenues is a measure of our segment revenues and a non-GAAP financial measure. Each segment's Adjusted operating revenues are calculated by adjusting Total revenues for the following items:

•

Net realized investment gains (losses) and related charges and adjustments, which are significantly influenced by economic and market conditions, including interest rates and credit spreads and are not indicative of normal operations. Net investment gains (losses) include gains (losses) on the sale of securities, impairments, changes in the fair value of investments using the FVO unrelated to the implied loan-backed security income recognition for certain mortgage-backed obligations and changes in the fair value of derivative instruments, excluding realized gains (losses) associated with swap settlements and accrued interest. These are net of related amortization of unearned revenue;

•

Gain (loss) on change in fair value of derivatives related to guaranteed benefits, which is significantly influenced by economic and market conditions and not indicative of normal operations, includes changes in the fair value of derivatives related to guaranteed benefits, less the estimated cost of these benefits. The estimated cost, which is reflected in operating results, reflects the expected cost of these benefits if markets perform in line with our long-term expectations and includes the cost of hedging. Other derivative and reserve changes related to guaranteed benefits are excluded from operating revenues, including the impacts related to changes in nonperformance spread;

•

Revenues related to businesses exited through reinsurance or divestment that do not qualify as discontinued operations, which includes revenues associated with transactions to exit blocks of business (including net investment gains (losses) on securities sold related to these transactions) and residual run-off activity; these gains and (losses) are often related to infrequent events and do not reflect performance of operating segments. Excluding this activity better reveals trends in our core business, which would be obscured by including the effects of business exited, and more closely aligns Operating revenues with how we manages our segments;

•

Revenues attributable to noncontrolling interest, which represents the interests of shareholders, other than those of Voya Financial, Inc., in consolidated entities. Revenues attributable to noncontrolling interest represents such shareholders' interests in the gains and losses of those entities, or the attribution of results from consolidated VIEs or VOEs to which we are not economically entitled; and


•	Other adjustments to total revenues primarily reflect fee income earned by our broker-dealers for sales of non-proprietary products, which are reflected net of commission expense in our segments’ operating revenues, other items where the income is passed on to third parties and the elimination of intercompany investment expenses included in operating revenues.

Adjusted operating revenues for Corporate includes Net investment gains (losses) and Gains (losses) on change in fair value of derivatives related to guaranteed benefits associated with the Retained Business in the prior periods. These retained amounts are insignificant and do not distort the ability to make a meaningful evaluation of the trends of Corporate activities.

The most directly comparable U.S. GAAP measure to Adjusted operating revenues is Total revenues. For a reconciliation of Adjusted operating revenues to Total revenues, refer to the "Reconciliations" section in this document.

Sources of Earnings

We analyze our segment performance based on the sources of earnings. We believe this supplemental information is useful in order to gain a better understanding of our Adjusted operating earnings before income taxes for the following reasons: (1) we analyze our business using this information and (2) this presentation can be helpful for investors to understand the main drivers of Adjusted operating earnings (loss) before income taxes. The sources of earnings are defined as such:


•	Investment spread and other investment income consists of net investment income and net realized investment gains (losses) associated with swap settlements and accrued interest, less interest credited to policyholder reserves.


•	Fee based margin consists primarily of fees earned on assets under management ("AUM"), assets under administration ("AUA"), and transaction based recordkeeping fees.

•

Net underwriting gain (loss) and other revenue contains the following: the difference between fees charged for insurance risks and incurred benefits, including mortality, morbidity, and surrender results, contractual charges for universal life and annuity contracts, the change in the unearned revenue reserve for universal life contracts, and that portion of traditional life insurance premiums intended to cover expenses and profits. Certain contract charges for universal life insurance are not recognized in income immediately, but are deferred as unearned revenues and are amortized into income in a manner similar to the amortization of DAC.


•	Administrative expenses are general expenses, net of amounts capitalized as acquisition expenses and exclude commission expenses and fees on letters of credit.


•	Trail commissions are commissions paid that are not deferred and thus recorded directly to expense.


•	For a detail explanation of DAC/VOBA and other intangibles amortization/unlocking see “Unlocking of DAC/VOBA and other Contract Owner/Policyholder Intangibles” in our SEC filings.

Other Information

Financial information, unless otherwise noted, is rounded to millions, therefore may not sum to its corresponding total.



Voya Financial	Page 6 of	41

Key Metrics



	Three Months Ended or As of										Year-to-Date or As of
(in millions USD, unless otherwise indicated)	3/31/2018		12/31/2017		9/30/2017		6/30/2017		3/31/2017		3/31/2018		3/31/2017
Income (loss) from continuing operations before income taxes	21		220		40		155		113		21		113
Income tax expense (benefit)	4		687		(40	)	—		93		4		93
Income (loss) from discontinued operations, net of tax ⁽¹⁾	429		(2,616	)	134		64		(162	)	429		(162	)
Net income (loss)	446		(3,083	)	214		219		(142	)	446		(142	)
Net income (loss) attributable to noncontrolling interest	—		82		65		52		1		—		1
Net income (loss) available to Voya Financial, Inc.'s common shareholders	446		(3,165	)	149		167		(143	)	446		(143	)
Adjusted operating earnings before income taxes - Consolidated ⁽²⁾	163		233		43		107		145		163		145
Total Voya Financial, Inc. Shareholders' Equity	9,378		10,009		13,653		13,353		12,891		9,378		12,891
Total Voya Financial, Inc. Shareholders' Equity - Excluding AOCI⁽²⁾	7,867		7,278		10,922		10,747		10,779		7,867		10,779
Net Deferred Tax Asset (DTA) (net of valuation allowance)	1,816		1,856		2,954		2,888		2,951		1,816		2,951
Total Voya Financial, Inc. Shareholders' Equity - Excluding AOCI & DTA ⁽³⁾	6,051		5,422		7,968		7,859		7,828		6,051		7,828
Debt to Capital:
Debt to Capital	26.9	%	25.7	%	20.2	%	20.6	%	21.2	%	26.9	%	21.2	%
Adjusted Debt to Capital ^{(2) (5)}	28.1	%	30.5	%	22.7	%	23.0	%	23.0	%	28.1	%	23.0	%
Per Share:
Adjusted operating effective tax rate ⁽⁶⁾	16.2	%	32.0	%	32.0	%	32.0	%	32.0	%	16.2	%	32.0	%
Net income (loss) available to shareholders per common share:
Basic	2.59		(17.64	)	0.83		0.90		(0.75	)	2.59		(0.75	)
Diluted	2.50		(17.64	)	0.81		0.89		(0.74	)	2.50		(0.74	)
Adjusted operating earnings per share (diluted) ^{(2) (4)}	0.77		0.87		0.16		0.39		0.51		0.77		0.51
Adjusted operating earnings per share (diluted) - ex unlocking ^{(2) (4)}	1.08		0.87		0.86		0.81		0.49		1.08		0.49
Book value per share (including AOCI)	54.65		58.19		75.98		74.30		67.88		54.65		67.88
Book value per share (excluding AOCI) ⁽⁴⁾	45.84		42.31		60.78		59.80		56.76		45.84		56.76
Shares:
Weighted-average common shares outstanding
Basic	172		179		180		186		192		172		192
Diluted	178		179		182		188		195		178		195
Ending shares outstanding	172		172		180		180		190		172		190
Returned to Shareholders:
Repurchase of common shares, excluding commissions	100		401		—		375		247		100		247
Dividends to shareholders	2		2		2		2		2		2		2
Total cash returned to shareholders	102		403		2		377		249		102		249
⁽¹⁾Income (loss) from discontinued operations, net of tax includes a $2.4 billion write down of assets of businesses held for sale to fair value less costs to sell in the period ended 12/31/2017, which was reduced by $0.4 billion in the period ended March 31, 2018.
⁽²⁾ This measure is a Non-GAAP financial measure. For an explanation of our use of Non-GAAP financial measures, refer the “Explanatory Note on Non-GAAP Financial Information” beginning on page 3 of this document. For a reconciliation of this item to the most directly comparable GAAP measure, refer to the “Reconciliations” section beginning on page 34 of this document.
⁽³⁾Deferred Tax Asset (DTA) related to Federal Net Operating Loss Carry Forwards (“Federal NOLs”), Life Subgroup Deferred Losses, Alternative Minimum Tax refundable in the short term under new tax legislation, and Non-Life Subgroup Deferred Losses related to tax-based goodwill, net of $447 million tax valuation allowance related to Federal NOLs for the period ended March 31, 2018.
⁽⁴⁾ For an explanation of the diluted weighted-average common share measures used for Adjusted operating earnings per share (diluted) please refer to "Reconciliation of Adjusted Operating Earnings Per Share; Book Value Per Share, Excluding AOCI" on page 40 of this document.
⁽⁵⁾ Includes a 25% equity treatment afforded to subordinated debt and excludes AOCI.
⁽⁶⁾ Consolidated effective tax rate used in the calculation of Adjusted operating earning per share. The effect of assumed tax rate vs actual tax rate is listed on page 40 of this document.



Voya Financial	Page 7 of	41

Consolidated Statements of Operations



	Three Months Ended										Year-to-Date
(in millions USD)	3/31/2018		12/31/2017		9/30/2017		6/30/2017		3/31/2017		3/31/2018		3/31/2017

Revenues
Net investment income	823		824		795		832		843		823		843
Fee income	676		668		683		639		637		676		637
Premiums	539		515		533		526		547		539		547
Net realized capital gains (losses)	(181	)	(63	)	(53	)	(25	)	(86	)	(181	)	(86	)
Income (loss) related to consolidated investment entities	11		136		140		129		27		11		27
Other revenues	99		106		86		90		89		99		89
Total revenues	1,967		2,186		2,184		2,191		2,057		1,967		2,057

Benefits and expenses
Interest credited and other benefits to contract owners/policyholders	(1,090	)	(1,159	)	(1,192	)	(1,136	)	(1,149	)	(1,090	)	(1,149	)
Operating expenses	(700	)	(682	)	(674	)	(630	)	(668	)	(700	)	(668	)
Net amortization of DAC/VOBA	(100	)	(61	)	(209	)	(195	)	(64	)	(100	)	(64	)
Interest expense	(49	)	(44	)	(49	)	(45	)	(46	)	(49	)	(46	)
Operating expenses related to consolidated investment entities	(7	)	(20	)	(20	)	(30	)	(17	)	(7	)	(17	)
Total benefits and expenses	(1,946	)	(1,966	)	(2,144	)	(2,036	)	(1,944	)	(1,946	)	(1,944	)
Income (loss) from continuing operations before income taxes	21		220		40		155		113		21		113
Less:
Net investment gains (losses) and related charges and adjustments	(61	)	(54	)	(12	)	2		(20	)	(61	)	(20	)
Net guaranteed benefit hedging gains (losses) and related charges and adjustments	(14	)	34		5		(1	)	8		(14	)	8
Income (loss) related to businesses exited through reinsurance or divestment	(45	)	(39	)	(2	)	1		(5	)	(45	)	(5	)
Income (loss) attributable to noncontrolling interests	—		82		65		52		1		—		1
Income (loss) on early extinguishment of debt	(3	)	—		(3	)	—		(1	)	(3	)	(1	)
Immediate recognition of net actuarial gains (losses) related to pension and other postretirement benefit obligations and gains (losses) from plan amendments and curtailments	—		(17	)	1		—		—		—		—
Other adjustments ⁽¹⁾	(19	)	(19	)	(57	)	(6	)	(15	)	(19	)	(15	)
Adjusted operating earnings before income taxes ⁽²⁾	163		233		43		107		145		163		145

⁽¹⁾ Includes restructuring expenses (severance, lease write-offs, etc.) and expenses associated with the rebranding of Voya Financial, Inc. from ING U.S., Inc.
⁽²⁾This measure is a Non-GAAP financial measure. For an explanation of our use of Non-GAAP financial measures, refer the “Explanatory Note on Non-GAAP Financial Information” beginning on page 3 of this document. For a reconciliation of this item to the most directly comparable GAAP measure, refer to the “Reconciliations” section beginning on page 34 of this document.



Voya Financial	Page 8 of	41

Consolidated Adjusted Operating Earnings Before Income Taxes



	Three Months Ended										Year-to-Date
(in millions USD)	3/31/2018		12/31/2017		9/30/2017		6/30/2017		3/31/2017		3/31/2018		3/31/2017
Consolidated Adjusted Operating Earnings Before Income Taxes
Adjusted operating revenues
Net investment income and net realized gains (losses)	741		753		736		758		728		741		728
Fee income	708		711		730		693		674		708		674
Premiums	537		514		532		524		546		537		546
Other revenue	37		45		29		36		37		37		37
Adjusted operating revenues⁽¹⁾	2,023		2,023		2,027		2,011		1,985		2,023		1,985

Adjusted operating benefits and expenses
Interest credited and other benefits to contract owners/policyholders	(1,115	)	(1,077	)	(1,158	)	(1,078	)	(1,122	)	(1,115	)	(1,122	)
Operating expenses	(578	)	(592	)	(568	)	(576	)	(604	)	(578	)	(604	)
Net amortization of DAC/VOBA	(118	)	(75	)	(212	)	(203	)	(67	)	(118	)	(67	)
Interest expense	(49	)	(46	)	(46	)	(47	)	(47	)	(49	)	(47	)
Adjusted operating benefits and expenses	(1,860	)	(1,790	)	(1,984	)	(1,904	)	(1,840	)	(1,860	)	(1,840	)
Adjusted operating earnings before income taxes ⁽¹⁾	163		233		43		107		145		163		145



Adjusted Operating Revenues and Adjusted Operating Earnings by Segment
Adjusted operating revenues
Retirement	662		649		634		630		625		662		625
Investment Management	185		185		171		204		171		185		171
Employee Benefits	453		431		446		443		447		453		447
Individual Life	631		635		669		629		630		631		630
Corporate	92		123		107		105		112		92		112
Adjusted operating revenues⁽¹⁾	2,023		2,023		2,027		2,011		1,985		2,023		1,985

Adjusted Operating Earnings
Retirement	109		168		107		33		148		109		148
Investment Management	61		60		54		85		49		61		49
Employee Benefits	32		31		58		27		11		32		11
Individual Life	17		64		(66	)	62		32		17		32
Corporate	(56	)	(90	)	(110	)	(100	)	(95	)	(56	)	(95	)
Adjusted operating earnings before income taxes ⁽¹⁾	163		233		43		107		145		163		145

⁽¹⁾This measure is a Non-GAAP financial measure. For an explanation of our use of Non-GAAP financial measures, refer the “Explanatory Note on Non-GAAP Financial Information” beginning on page 3 of this document. For a reconciliation of this item to the most directly comparable GAAP measure, refer to the “Reconciliations” section beginning on page 34 of this document.



Voya Financial	Page 9 of	41

Adjusted Operating Earnings by Segment



	Three Months Ended March 31, 2018
(in millions USD)	Retirement		Investment Management		Employee Benefits		Individual Life		Corporate		Consolidated

Adjusted operating revenues
Net investment income and net realized gains (losses)	423		11		27		218		61		741
Fee income	212		165		16		305		11		708
Premiums	2				411		105		20		537
Other revenue	25		9		(1	)	3		—		37
Adjusted operating revenues ⁽¹⁾	662		185		453		631		92		2,023

Adjusted operating benefits and expenses
Interest credited and other benefits to contract owners/policyholders	(237	)	—		(326	)	(495	)	(56	)	(1,115	)
Operating expenses	(248	)	(124	)	(91	)	(74	)	(41	)	(578	)
Net amortization of DAC/VOBA	(68	)	—		(4	)	(45	)	(2	)	(118	)
Interest expense	—		—		—		—		(49	)	(49	)
Adjusted operating benefits and expenses	(553	)	(124	)	(421	)	(614	)	(148	)	(1,860	)
Adjusted operating earnings before income taxes ⁽¹⁾	109		61		32		17		(56	)	163


	Three Months Ended March 31, 2017
	Retirement		Investment Management		Employee Benefits		Individual Life		Corporate		Consolidated
Adjusted operating revenues
Net investment income and net realized gains (losses)	427		9		27		211		54		728
Fee income	178		150		16		303		27		674
Premiums	(1	)	—		405		111		31		546
Other revenue	21		12		(1	)	5		—		37
Adjusted operating revenues ⁽¹⁾	625		171		447		630		112		1,985

Adjusted operating benefits and expenses
Interest credited and other benefits to contract owners/policyholders	(232	)	—		(343	)	(475	)	(72	)	(1,122	)
Operating expenses	(227	)	(122	)	(90	)	(78	)	(87	)	(604	)
Net amortization of DAC/VOBA	(18	)	—		(3	)	(45	)	(1	)	(67	)
Interest expense	—		—		—		—		(47	)	(47	)
Adjusted operating benefits and expenses	(477	)	(122	)	(436	)	(598	)	(207	)	(1,840	)
Adjusted operating earnings before income taxes ⁽¹⁾	148		49		11		32		(95	)	145

⁽¹⁾ This measure is a Non-GAAP financial measure. For an explanation of our use of Non-GAAP financial measures, refer the “Explanatory Note on Non-GAAP Financial Information” beginning on page 3 of this document. For a reconciliation of this item to the most directly comparable GAAP measure, refer to the “Reconciliations” section beginning on page 34 of this document.



Voya Financial	Page 10 of	41

Consolidated Balance Sheets



	Balances as of
(in millions USD)	3/31/2018		12/31/2017		9/30/2017		6/30/2017		3/31/2017

Assets
Total investments	64,608		66,087		65,918		64,976		63,987
Cash and cash equivalents	1,411		1,218		1,470		1,528		1,366
Assets held in separate accounts	77,949		77,605		77,613		72,747		70,444
Premium receivable and reinsurance recoverable	7,601		7,632		7,273		7,249		7,323
Short term investments under securities loan agreement and accrued investment income	2,170		2,293		2,603		1,408		1,273
Deferred policy acquisition costs, Value of business acquired	3,769		3,374		3,403		3,620		3,929
Deferred income taxes	1,022		781		1,293		1,375		1,632
Other assets ⁽¹⁾	1,388		1,314		1,477		1,581		1,598
Assets related to consolidated investment entities	2,826		3,176		3,618		3,679		4,144
Assets held for sale	57,080		59,052		62,325		62,026		61,681
Total Assets	219,824		222,532		226,993		220,189		217,377

Liabilities
Future policy benefits and contract owner account balances	65,732		65,805		65,100		64,778		64,639
Liabilities related to separate accounts	77,949		77,605		77,613		72,747		70,444
Payables under securities loan agreements, including collateral held	1,719		1,866		2,139		1,000		831
Short-term debt	—		337		337		736		736
Long-term debt	3,458		3,123		3,122		2,726		2,726
Other liabilities ⁽²⁾	2,752		2,775		2,816		2,681		2,721
Liabilities related to consolidated investment entities	1,347		1,705		2,168		2,155		2,544
Liabilities held for sale	56,458		58,277		59,087		59,073		58,858
Total Liabilities	209,415		211,493		212,382		205,896		203,499

Shareholders' Equity
Common stock	3		3		3		3		3
Treasury stock	(3,936	)	(3,827	)	(3,426	)	(3,426	)	(3,050	)
Additional paid-in capital	23,961		23,821		23,900		23,873		23,697
Retained earnings (deficit)	(12,161	)	(12,719	)	(9,555	)	(9,703	)	(9,871	)
Total Voya Financial, Inc. Shareholders' Equity - Excluding AOCI	7,867		7,278		10,922		10,747		10,779
Accumulated other comprehensive income	1,511		2,731		2,731		2,606		2,112
Total Voya Financial, Inc. Shareholders' Equity	9,378		10,009		13,653		13,353		12,891
Noncontrolling interest	1,031		1,030		958		940		987
Total Shareholders' Equity	10,409		11,039		14,611		14,293		13,878
Total Liabilities and Shareholders' Equity	219,824		222,532		226,993		220,189		217,377

⁽¹⁾ Includes Other assets, Sales inducements to contract holders, Current income taxes, Goodwill and other intangible assets.
⁽²⁾ Includes Other liabilities, Derivatives, Pension and other postretirement provisions, Funds held under reinsurance agreements, and Current income taxes.



Voya Financial	Page 11 of	41

DAC/VOBA Segment Trends



	Three Months Ended										Year-to-Date
(in millions USD)	3/31/2018		12/31/2017		9/30/2017		6/30/2017		3/31/2017		3/31/2018		3/31/2017
Retirement
Balance as of Beginning-of-Period	882		858		921		1,141		1,165		882		1,165
Deferrals of commissions and expenses	19		23		21		23		26		19		26
Amortization	(13	)	(27	)	(34	)	(33	)	(25	)	(13	)	(25	)
Unlocking ⁽¹⁾	(59	)	9		(39	)	(102	)	13		(59	)	13
Change in unrealized capital gains/losses	228		19		(11	)	(108	)	(38	)	228		(38	)
Balance as of End-of-Period	1,057		882		858		921		1,141		1,057		1,141
Deferred Sales Inducements as of End-of-Period	33		32		33		34		35		33		35
Individual Life
Balance as of Beginning-of-Period	2,366		2,424		2,575		2,658		2,702		2,366		2,702
Deferrals of commissions and expenses	26		31		26		31		35		26		35
Amortization	(1	)	(39	)	(44	)	(50	)	(43	)	(1	)	(43	)
Unlocking	(21	)	—		(83	)	(4	)	(4	)	(21	)	(4	)
Change in unrealized capital gains/losses	196		(50	)	(50	)	(60	)	(32	)	196		(32	)
Balance as of End-of-Period	2,566		2,366		2,424		2,575		2,658		2,566		2,658
Other ⁽²⁾
Balance as of Beginning-of-Period	126		121		124		130		130		126		130
Deferrals of commissions and expenses	6		7		6		8		6		6		6
Amortization	(6	)	(8	)	(5	)	(5	)	(7	)	(6	)	(7	)
Unlocking and loss recognition	—		1		(4	)	(1	)	2		—		2
Change in unrealized capital gains/losses	20		5		—		(8	)	(1	)	20		(1	)
Balance as of End-of-Period	146		126		121		124		130		146		130
Deferred Sales Inducements as of End-of-Period	1		1		1		1		2		1		2
Total
Balance as of Beginning-of-Period	3,374		3,403		3,620		3,929		3,997		3,374		3,997
Deferrals of commissions and expenses	51		61		53		62		67		51		67
Amortization	(20	)	(74	)	(83	)	(88	)	(75	)	(20	)	(75	)
Unlocking	(80	)	10		(126	)	(107	)	11		(80	)	11
Change in unrealized capital gains/losses	444		(26	)	(61	)	(176	)	(71	)	444		(71	)
Balance as of End-of-Period	3,769		3,374		3,403		3,620		3,929		3,769		3,929
Deferred Sales Inducements as of End-of-Period	34		33		34		35		37		34		37

⁽¹⁾ Beginning in the second quarter of 2017, we solicited customer consents to execute a change to reduce the guaranteed minimum interest rate ("GMIR") applicable to future deposits and transfers into fixed investment option for certain retirement plan contracts with above-market GMIRs. This change, which reduces our exposure to low interest rates on new deposits, transfers and in certain plans existing fixed account assets, resulted in unfavorable unlocking for the Retirement segment of $43 million, $92 million and $128 million, for the three months ended 3/31/2018, 9/30/2017 and 6/30/2017,respectively.
⁽²⁾ Includes Employee Benefits, Investment Management and closed blocks, including remaining annuities businesses.



Voya Financial	Page 12 of	41

Consolidated Capital Structure



	Balances as of
(in millions USD)	3/31/2018		12/31/2017		9/30/2017		6/30/2017		3/31/2017

Financial Debt
Senior bonds	2,357		2,703		2,702		2,705		2,705
Subordinated bonds	1,096		752		752		752		752
Other debt	5		5		5		5		5
Total Debt	3,458		3,460		3,459		3,462		3,462

Equity
Total common equity (Excluding AOCI) ⁽¹⁾	7,867		7,278		10,922		10,747		10,779
Accumulated other comprehensive income (AOCI)	1,511		2,731		2,731		2,606		2,112
Total Voya Financial, Inc. Shareholders' Equity	9,378		10,009		13,653		13,353		12,891


Total Equity (Excluding AOCI)⁽¹⁾	7,867		7,278		10,922		10,747		10,779

Capital
Total Capitalization	12,836		13,469		17,112		16,815		16,353
Total Capitalization (Excluding AOCI) ⁽¹⁾	11,325		10,738		14,381		14,209		14,241

Debt to Capital
Debt to Capital	26.9	%	25.7	%	20.2	%	20.6	%	21.2	%
Adjusted Debt to Capital ^{(1) (2)}	28.1	%	30.5	%	22.7	%	23.0	%	23.0	%

⁽¹⁾ This measure is a Non-GAAP financial measure. For an explanation of our use of Non-GAAP financial measures, refer the “Explanatory Note on Non-GAAP Financial Information” beginning on page 3 of this document. For a reconciliation of this item to the most directly comparable GAAP measure, refer to the “Reconciliations” section beginning on page 34 of this document.
⁽²⁾ Includes a 25% equity treatment afforded to subordinated debt and excludes AOCI.



Voya Financial	Page 13 of	41

Consolidated Assets Under Management/Assets Under Administration



As of March 31, 2018
(in millions USD)	General Account		Separate Account ⁽⁴⁾		Institutional/Mutual Funds		Total AUM - Assets Under Management		AUA - Assets Under Administration		Total AUM + AUA

Retirement ⁽¹⁾	32,480		70,361		40,875		143,716		226,101		369,817
Investment Management	81,893		44,733		95,825		222,451		49,008		271,459
Employee Benefits	1,779		15		—		1,794		—		1,794
Individual Life ⁽²⁾	12,833		2,755		—		15,588		—		15,588
Eliminations/Other	(47,092	)	(12,220	)	(10,705	)	(70,017	)	(47,205	)	(117,222	)
Total AUM and AUA ⁽³⁾	81,893		105,644		125,995		313,532		227,904		541,436

⁽¹⁾ Includes wrapped funds as well as unwrapped Voya-managed funds.
⁽²⁾ Includes assets backing interest and non-interest sensitive products.
⁽³⁾ Includes AUM balances related to annuities and variable annuities businesses held for sale, for which a substantial portion of the assets will continue to be managed by the Investment Management segment.
⁽⁴⁾ Includes separate account balances related to annuities and variable annuities businesses held for sale, which are reported as Assets held for sale on the balance sheet.

Retirement



Voya Financial	Page 15 of	41

Retirement Sources of Adjusted Operating Earnings and Key Metrics



	Three Months Ended or As of										Year-to-Date or As of
(in millions USD)	3/31/2018		12/31/2017		9/30/2017		6/30/2017		3/31/2017		3/31/2018		3/31/2017

Sources of operating earnings before income taxes:
Investment spread and other investment income	187		192		185		181		192		187		192
Fee based margin	241		221		212		208		202		241		202
Net underwriting gain (loss) and other revenue	(3	)	(9	)	(8	)	(4	)	(3	)	(3	)	(3	)
Administrative expenses	(194	)	(167	)	(159	)	(163	)	(184	)	(194	)	(184	)
Trail commissions	(53	)	(42	)	(41	)	(41	)	(40	)	(53	)	(40	)
DAC/VOBA and other intangibles amortization, excluding unlocking	(28	)	(35	)	(38	)	(35	)	(32	)	(28	)	(32	)
DAC/VOBA and other intangibles unlocking ⁽¹⁾	(41	)	7		(44	)	(114	)	13		(41	)	13
Adjusted operating earnings before income taxes	109		168		107		33		148		109		148
Adjusted Return on Capital ⁽²⁾	11.1	%	10.3	%	9.9	%	9.6	%	9.3	%	11.1	%	9.3	%
Gross investment income
Fixed income	381		386		390		386		385		381		385
Limited partnership income	1		2		2		3		1		1		1
Prepayment fee income	4		11		6		5		6		4		6
Total gross investment income	386		399		398		394		392		386		392
Investment expenses	(17	)	(17	)	(19	)	(17	)	(19	)	(17	)	(19	)
Credited interest	(228	)	(236	)	(237	)	(233	)	(230	)	(228	)	(230	)
Net margin	141		146		142		144		143		141		143
Other investment income ⁽³⁾	46		46		42		38		49		46		49
Investment spread and other investment income	187		192		185		181		192		187		192
Fee based margin
Fee based margin - excluding Recordkeeping	196		177		171		168		163		196		163
Fee based margin - Recordkeeping	45		44		41		40		39		45		39
Fee based margin	241		221		212		208		202		241		202
Assets Under Management by Fund Group
General account	32,480		32,571		32,761		32,625		32,496		32,480		32,496
Guaranteed separate account	7,541		7,695		7,771		7,104		7,186		7,541		7,186
Non-guaranteed separate account	62,820		63,538		60,705		58,386		56,381		62,820		56,381
Mutual funds / Institutional funds	40,875		34,387		33,348		31,619		30,380		40,875		30,380
Total AUM	143,716		138,191		134,585		129,735		126,443		143,716		126,443
AUA	226,101		244,517		227,284		213,499		209,308		226,101		209,308
Total AUM and AUA	369,817		382,708		361,868		343,234		335,751		369,817		335,751

⁽¹⁾Beginning in the second quarter of 2017, we solicited customer consents to execute a change to reduce the guaranteed minimum interest rate ("GMIR") applicable to future deposits and transfers into fixed investment option for certain retirement plan contracts with above-market GMIRs. This change, which reduces our exposure to low interest rates on new deposits, transfers and in certain plans existing fixed account assets, resulted in unfavorable unlocking for the Retirement segment of $43 million, $92 million and $128 million, for the three months ended 3/31/2018, 9/30/2017 and 6/30/2017,respectively.
⁽²⁾ Adjusted Return on Capital calculated using trailing twelve months.
⁽³⁾ Includes investment income on assets backing surplus that has been allocated from the corporate segment and income from policy loans.



Voya Financial	Page 16 of	41

Retirement AUM Rollforward by Product Group



	Three Months Ended										Year-to-Date
(in millions USD)	3/31/2018		12/31/2017		9/30/2017		6/30/2017		3/31/2017		3/31/2018		3/31/2017
Full service - Corporate markets
Assets under management, beginning of period	60,495		58,010		55,536		53,163		49,921		60,495		49,921
Transfer/Single deposits	1,066		1,597		1,212		1,430		1,499		1,066		1,499
Recurring deposits	1,670		1,219		1,307		1,296		1,502		1,670		1,502
Total Deposits	2,736		2,816		2,519		2,726		3,001		2,736		3,001
Surrenders, benefits, and product charges	(2,465	)	(2,656	)	(1,952	)	(1,881	)	(2,061	)	(2,465	)	(2,061	)
Net Flows	271		161		567		845		940		271		940
Interest credited and investment performance	(116	)	2,324		1,907		1,529		2,302		(116	)	2,302
Assets under management, end of period	60,650		60,495		58,010		55,536		53,163		60,650		53,163

Full service - Tax-exempt markets
Assets under management, beginning of period	62,070		60,590		58,549		57,185		55,497		62,070		55,497
Transfer/Single deposits	280		272		789		294		613		280		613
Recurring deposits	857		775		724		786		868		857		868
Total Deposits	1,137		1,047		1,513		1,080		1,481		1,137		1,481
Surrenders, benefits, and product charges	(1,361	)	(1,234	)	(1,155	)	(1,011	)	(1,729	)	(1,361	)	(1,729	)
Net Flows	(224	)	(187	)	358		69		(248	)	(224	)	(248	)
Interest credited and investment performance	108		1,667		1,684		1,295		1,935		108		1,935
Assets under management, end of period	61,954		62,070		60,590		58,549		57,185		61,954		57,185

Stable value ⁽¹⁾and Pension risk transfer
Assets under management, beginning of period	11,982		12,403		12,088		12,536		12,506		11,982		12,506
Transfer/Single deposits	101		137		415		25		158		101		158
Recurring deposits	104		67		95		87		133		104		133
Total Deposits	205		205		510		112		291		205		291
Surrenders, benefits, and product charges	(546	)	(620	)	(283	)	(670	)	(337	)	(546	)	(337	)
Net Flows	(341	)	(415	)	227		(558	)	(46	)	(341	)	(46	)
Interest credited and investment performance	(97	)	(6	)	89		111		76		(97	)	76
Assets under management, end of period	11,544		11,982		12,403		12,088		12,536		11,544		12,536

Retail wealth management
Assets under management, beginning of period	3,644		3,581		3,562		3,559		3,485		3,644		3,485
Transfer between Business Segments ⁽²⁾	6,016		—		—		—		—		6,016		—
Transfer/Single deposits	440		180		150		161		221		440		221
Recurring deposits	1		1		1		1		1		1		1
Total Deposits	441		181		151		162		222		441		222
Surrenders, benefits, and product charges	(509	)	(214	)	(211	)	(237	)	(259	)	(509	)	(259	)
Net Flows	(68	)	(33	)	(60	)	(75	)	(37	)	(68	)	(37	)
Interest credited and investment performance	(24	)	97		80		77		111		(24	)	111
Assets under management, end of period	9,568		3,644		3,581		3,562		3,559		9,568		3,559

Total AUM ⁽³⁾
Assets under management, beginning of period	138,191		134,585		129,735		126,443		121,408		138,191		121,408
Transfer between Business Segments ⁽²⁾	6,016		—		—		—		—		6,016		—
Transfer/Single deposits	1,887		2,186		2,565		1,909		2,491		1,887		2,491
Recurring deposits	2,632		2,062		2,126		2,171		2,505		2,632		2,505
Total Deposits	4,519		4,248		4,691		4,080		4,996		4,519		4,996
Surrenders, benefits, and product charges	(4,881	)	(4,724	)	(3,600	)	(3,800	)	(4,385	)	(4,881	)	(4,385	)
Net Flows	(362	)	(476	)	1,091		280		611		(362	)	611
Interest credited and investment performance	(129	)	4,082		3,759		3,012		4,424		(129	)	4,424
Assets under management, end of period	143,716		138,191		134,585		129,735		126,443		143,716		126,443

⁽¹⁾ Where Voya is the Investment Manager.
⁽²⁾ During the first quarter of 2018, results from certain investment-only products were moved from Corporate to the Retirement segment.
⁽³⁾ Excludes Recordkeeping and Stable Value where Voya is not the Investment Manager.

Investment Management



Voya Financial	Page 18 of	41

Investment Management Sources of Adjusted Operating Earnings



	Three Months Ended										Year-to-Date
(in millions USD)	3/31/2018		12/31/2017		9/30/2017		6/30/2017		3/31/2017		3/31/2018		3/31/2017

Sources of operating earnings before income taxes:
Investment capital and other investment income ⁽¹⁾	11		8		5		35		9		11		9
Fee based margin	174		177		166		169		162		174		162
Administrative expenses	(124	)	(125	)	(117	)	(119	)	(122	)	(124	)	(122	)
Adjusted operating earnings before income taxes	61		60		54		85		49		61		49

Fee based margin
Investment advisory and administrative revenue	165		164		160		158		150		165		150
Other fee based margin	9		13		6		11		12		9		12
Fee based margin	174		177		166		169		162		174		162

⁽¹⁾ Includes performance fees related to sponsored private equity funds (“carried interest”) that are subject to later reversal based on subsequent fund performance, to the extent that cumulative rates of investment return fall below specified investment hurdle rates. Should the market value of a portfolio increase in future periods, reversals of carried interest could be fully or partially recovered. No amounts for carried interest were reversed or recovered for the three months ended 3/31/2018 and 3/31/2017. For the three months ended 12/31/2017, 9/30/2017 and 6/30/2017, our carried interest net results included a gain (loss) of $9 million, $(2) million, and $28 million, respectively, including the recovery of $25 million of carried interest reversed in prior periods.



Voya Financial	Page 19 of	41

Investment Management Key Metrics



	Balances as of					Balances as of
(in millions USD)	3/31/2018	12/31/2017	9/30/2017	6/30/2017	3/31/2017	3/31/2018	3/31/2017

Client Assets by Source:
External clients
Investment Management sourced	85,411	85,804	83,070	80,158	76,195	85,411	76,195
Affiliate sourced	55,147	56,476	56,546	54,937	54,636	55,147	54,636
Subtotal external clients	140,558	142,280	139,616	135,095	130,831	140,558	130,831
General Account ⁽¹⁾	81,893	82,006	82,489	81,905	82,069	81,893	82,069
Total Client Assets (AUM)	222,451	224,286	222,105	217,000	212,900	222,451	212,900
Administration Only Assets (AUA)	49,008	50,018	50,460	50,920	50,519	49,008	50,519
Total AUM and AUA	271,459	274,304	272,565	267,920	263,419	271,459	263,419


	Three Months Ended					Year-to-Date
	3/31/2018	12/31/2017	9/30/2017	6/30/2017	3/31/2017	3/31/2018	3/31/2017
Analysis of investment advisory and administrative revenues, net, by source:⁽²⁾
External clients
Investment Management sourced	92	92	86	87	79	92	79
Affiliate sourced	28	28	29	27	29	28	29
Subtotal external clients	120	120	115	114	108	120	108
General Account	40	40	40	39	39	40	39
Total investment advisory and administrative revenues, net, from AUM	160	160	155	153	147	160	147
Administration Only Fees	5	4	5	5	3	5	3
Total investment advisory and administrative revenues, net, by source ⁽²⁾	165	164	160	158	150	165	150

Revenue Yield (bps): ^{(2) (3)}
External clients
Investment Management sourced	43.0	43.3	42.0	44.6	41.9	43.0	41.9
Affiliate sourced	19.5	19.5	21.0	19.9	21.2	19.5	21.2
Revenue Yield on Institutional/retail	33.7	33.8	33.5	34.4	33.2	33.7	33.2
General Account	19.5	19.5	19.3	19.0	18.9	19.5	18.9
Revenue Yield on Client Assets (AUM)	28.5	28.5	28.2	28.5	27.7	28.5	27.7
Revenue Yield on Administration Only Assets (AUA)	4.1	4.0	4.5	3.3	2.5	4.1	2.5
Total Revenue Yield on AUM and AUA (bps) ^{(2) (3)}	24.0	24.0	23.8	23.7	22.9	24.0	22.9

⁽¹⁾ General Account assets reported on a Statutory Book Value billing basis consistent with revenues earned.
⁽²⁾ Measures used by management to evaluate ongoing business performance, allowing for more appropriate comparisons with industry peers.
⁽³⁾ Revenue Yields calculated using average client assets for the period.



Voya Financial	Page 20 of	41

Investment Management Account Rollforward by Source



	Three Months Ended										Year-to-Date
(in millions USD)	3/31/2018		12/31/2017		9/30/2017		6/30/2017		3/31/2017		3/31/2018		3/31/2017

Investment Management Sourced AUM:
Beginning of period AUM	85,804		83,070		80,158		76,195		73,992		85,804		73,992
Inflows
Inflows from sub-advisor replacements	—		—		—		—		—		—		—
Inflows-other	3,704		4,219		5,290		5,500		3,832		3,704		3,832
Outflows	(3,648	)	(3,383	)	(4,062	)	(3,115	)	(3,264	)	(3,648	)	(3,264	)
Net Flows	56		836		1,228		2,385		568		56		568
Net Money Market Flows	(62	)	59		(24	)	20		(45	)	(62	)	(45	)
Change in Market Value	(93	)	1,975		1,445		1,488		1,805		(93	)	1,805
Other (Including Acquisitions / Divestitures)	(294	)	(136	)	263		70		(125	)	(294	)	(125	)
End of period AUM	85,411		85,804		83,070		80,158		76,195		85,411		76,195

Organic Growth (Net Flows / Beginning of period AUM)	0.07	%	1.01	%	1.53	%	3.13	%	0.77	%	0.07	%	0.77	%
Market Growth %	-0.11	%	2.38	%	1.80	%	1.95	%	2.44	%	-0.11	%	2.44	%

Affiliate Sourced AUM:
Beginning of period AUM	56,476		56,546		54,937		54,636		54,254		56,476		54,254
Inflows
Inflows from sub-advisor replacements	—		—		857		—		—		—		—
Inflows-other	1,013		904		1,452		873		1,130		1,013		1,130
Outflows	(2,234	)	(2,877	)	(2,025	)	(2,088	)	(2,852	)	(2,234	)	(2,852	)
Net Flows	(1,221	)	(1,973	)	284		(1,215	)	(1,722	)	(1,221	)	(1,722	)
Net Money Market Flows	(22	)	(82	)	(10	)	(83	)	(86	)	(22	)	(86	)
Change in Market Value	(319	)	1,941		1,466		1,275		2,167		(319	)	2,167
Other (Including Acquisitions / Divestitures)	233		44		(131	)	324		23		233		23
End of period AUM	55,147		56,476		56,546		54,937		54,636		55,147		54,636

Organic Growth (Net Flows / Beginning of period AUM)	-2.16	%	-3.49	%	0.52	%	-2.22	%	-3.17	%	-2.16	%	-3.17	%
Market Growth %	-0.56	%	3.43	%	2.67	%	2.33	%	3.99	%	-0.56	%	3.99	%

Other affiliate sourced net flows	(507	)	(530	)	1,232		(515	)	(307	)	(507	)	(307	)
Variable annuity net flows	(714	)	(1,443	)	(948	)	(700	)	(1,415	)	(714	)	(1,415	)
Total Affiliate Sourced Net Flows	(1,221	)	(1,973	)	284		(1,215	)	(1,722	)	(1,221	)	(1,722	)
Total Investment Management Sourced Net Flows	56		836		1,228		2,385		568		56		568
Total Net Flows	(1,165	)	(1,137	)	1,512		1,170		(1,154	)	(1,165	)	(1,154	)

Net Flows excluding sub-advisor replacements and variable annuity net flows	(451	)	305		1,603		1,870		262		(451	)	262



Voya Financial	Page 21 of	41

Investment Management Account Value by Asset Type



	Balances as of
(in millions USD)	3/31/2018	12/31/2017	9/30/2017	6/30/2017	3/31/2017

Institutional
Equity	23,037	22,905	21,868	21,554	20,485
Fixed Income	49,507	49,563	48,884	46,483	44,162
Real Estate	—	—	—	—	—
Money Market	—	—	—	—	—
Total	72,544	72,468	70,752	68,037	64,647

Retail
Equity	43,003	44,380	43,228	41,627	40,829
Fixed Income	21,257	21,077	20,524	20,310	19,853
Real Estate	2,353	2,873	3,611	3,588	3,905
Money Market	1,401	1,482	1,502	1,533	1,597
Total	68,014	69,812	68,865	67,058	66,184

General Account
Equity	240	217	218	245	246
Fixed Income	80,011	80,253	80,813	79,806	79,757
Real Estate	—	—	—	—	—
Money Market	1,642	1,536	1,458	1,854	2,066
Total	81,893	82,006	82,489	81,905	82,069

Combined Asset Type
Equity	66,280	67,502	65,313	63,426	61,561
Fixed Income	150,775	150,893	150,221	146,599	143,771
Real Estate	2,353	2,873	3,611	3,588	3,905
Money Market	3,043	3,018	2,960	3,387	3,663
Total	222,451	224,286	222,105	217,000	212,900

Employee Benefits



Voya Financial	Page 23 of	41

Employee Benefits Sources of Adjusted Operating Earnings



	Three Months Ended										Year-to-Date
(in millions USD)	3/31/2018		12/31/2017		9/30/2017		6/30/2017		3/31/2017		3/31/2018		3/31/2017
Sources of operating earnings before income taxes:
Investment spread and other investment income	13		13		14		13		12		13		12
Net underwriting gain (loss) and other revenue	113		102		128		101		92		113		92
Administrative expenses	(55	)	(51	)	(49	)	(51	)	(55	)	(55	)	(55	)
Trail commissions	(35	)	(31	)	(32	)	(32	)	(35	)	(35	)	(35	)
DAC/VOBA and other intangibles amortization, excluding unlocking	(3	)	(3	)	(2	)	(3	)	(2	)	(3	)	(2	)
DAC/VOBA and other intangibles unlocking	(1	)	—		(1	)	(1	)	(1	)	(1	)	(1	)
Adjusted operating earnings before income taxes	32		31		58		27		11		32		11

Adjusted Return on Capital ⁽¹⁾	28.3	%	24.4	%	24.3	%	20.8	%	21.6	%	28.3	%	21.6	%
Gross Investment Income
Fixed income	23		23		24		24		23		23		23
Limited partnership income	—		—		—		—		—		—		—
Prepayment fee income	—		1		1		1		—		—		—
Total gross investment income	23		24		25		24		23		23		23
Investment expenses	(1	)	(1	)	(1	)	(1	)	(1	)	(1	)	(1	)
Credited interest	(14	)	(14	)	(14	)	(14	)	(15	)	(14	)	(15	)
Net margin	8		9		10		9		7		8		7
Other investment income	5		4		4		4		5		5		5
Investment spread and other investment income	13		13		14		13		12		13		12
Group life
Premiums	123		117		118		116		115		123		115
Benefits	(98	)	(89	)	(88	)	(82	)	(96	)	(98	)	(96	)
Other ⁽²⁾	(2	)	(2	)	(2	)	(2	)	(2	)	(2	)	(2	)
Total	23		26		28		32		17		23		17
Loss Ratio (Interest adjusted)	79.3	%	76.1	%	74.4	%	70.5	%	83.2	%	79.3	%	83.2	%
Group stop loss
Premiums	226		233		241		238		241		226		241
Benefits	(181	)	(195	)	(194	)	(204	)	(195	)	(181	)	(195	)
Other ⁽²⁾	(1	)	(1	)	(1	)	(1	)	(1	)	(1	)	(1	)
Total	44		37		46		33		45		44		45
Loss Ratio	80.2	%	83.9	%	80.6	%	85.6	%	81.0	%	80.2	%	81.0	%
Voluntary Benefits, Disability, and Other	46		39		54		36		30		46		30

Net underwriting gain (loss) and other revenue	113		102		128		101		92		113		92

⁽¹⁾ Adjusted Return on Capital calculated using trailing twelve months.
⁽²⁾ Includes service fees, dividends, interest expenses, and other miscellaneous expenses. The Loss Ratio calculation does not include Other.



Voya Financial	Page 24 of	41

Employee Benefits Key Metrics



	Three Months Ended or As of					Year-to-Date or As of
(in millions USD)	3/31/2018	12/31/2017	9/30/2017	6/30/2017	3/31/2017	3/31/2018	3/31/2017

Sales by Product Line:
Group life (Basic / Sup / AD&D)	45	5	7	12	30	45	30
Group stop loss	179	7	19	12	248	179	248
Disability	15	2	3	2	16	15	16
Association (Life, DI, PAI)	—	4	1	—	1	—	1
Other (PAI)	—	—	4	—	—	—	—
Total group products	239	18	34	26	295	239	295
Voluntary products	65	9	5	10	46	65	46
Total sales by product line	304	27	39	36	341	304	341

Total gross premiums and deposits	462	440	456	452	458	462	458

Total annualized in-force premiums	1,891	1,849	1,873	1,874	1,888	1,891	1,888

Assets Under Management by Fund Group
General account	1,779	1,813	1,860	1,849	1,787	1,779	1,787
Separate account	15	16	15	15	15	15	15
Total AUM	1,794	1,829	1,875	1,864	1,802	1,794	1,802

Individual Life



Voya Financial	Page 26 of	41

Individual Life Sources of Adjusted Operating Earnings



	Three Months Ended										Year-to-Date
(in millions USD)	3/31/2018		12/31/2017		9/30/2017		6/30/2017		3/31/2017		3/31/2018		3/31/2017

Sources of operating earnings before income taxes:
Investment spread and other investment income	66		66		66		60		59		66		59
Fee based margin	3		4		3		3		4		3		4
Net underwriting gain (loss) and other revenue	69		98		96		98		82		69		82
Administrative expenses	(58	)	(50	)	(47	)	(50	)	(58	)	(58	)	(58	)
Trail commissions	(7	)	(5	)	(5	)	(5	)	(7	)	(7	)	(7	)
DAC/VOBA and other intangibles amortization, excluding unlocking	(27	)	(41	)	(37	)	(43	)	(40	)	(27	)	(40	)
DAC/VOBA and other intangibles unlocking	(29	)	(8	)	(143	)	(1	)	(8	)	(29	)	(8	)
Adjusted operating earnings before income taxes	17		64		(66	)	62		32		17		32

Adjusted Return on Capital ⁽¹⁾	10.8	%	11.2	%	9.5	%	7.5	%	6.6	%	10.8	%	6.6	%
Gross Investment Income
Fixed income	203		203		206		202		199		203		199
Limited partnership income	4		6		5		5		2		4		2
Prepayment fee income	2		2		2		1		3		2		3
Total gross investment income	209		211		212		207		203		209		203
Investment expenses	(8	)	(7	)	(6	)	(7	)	(7	)	(8	)	(7	)
Credited interest	(149	)	(150	)	(150	)	(150	)	(150	)	(149	)	(150	)
Net margin	52		54		56		51		47		52		47
Other investment income ⁽²⁾	14		12		10		9		12		14		12
Investment spread and other investment income	66		66		66		60		59		66		59

Net underwriting gain (loss) and other revenue
Fee revenue / Premiums	417		430		429		427		430		417		430
Net mortality, including Reinsurance	(371	)	(317	)	(310	)	(296	)	(331	)	(371	)	(331	)
Reserve change / Other	23		(15	)	(22	)	(33	)	(17	)	23		(17	)
Total net underwriting gain (loss) and other revenue	69		98		96		98		82		69		82

⁽¹⁾ Adjusted Return on Capital calculated using trailing twelve months.
⁽²⁾ Includes investment income on assets backing surplus that has been allocated from the corporate segment and income from policy loans.



Voya Financial	Page 27 of	41

Individual Life Key Metrics



	Three Months Ended or As of					Year-to-Date or As of
(in millions USD)	3/31/2018	12/31/2017	9/30/2017	6/30/2017	3/31/2017	3/31/2018	3/31/2017
Sales by Product Line:
Indexed	16	19	16	17	21	16	21
Accumulation	1	1	1	1	1	1	1
Total Universal life	17	20	17	18	22	17	22
Variable life	—	1	1	1	1	—	1
Term	—	—	—	—	2	—	2
Total sales by product line	17	21	18	18	25	17	25

Gross Premiums and Deposits by Product ⁽¹⁾
Interest sensitive	318	331	305	319	311	318	311
Non - interest sensitive	131	134	136	134	137	131	137
Total gross premiums and deposits	449	465	441	453	447	449	447

Applications
New business policy count (Paid)	1,060	1,108	1,144	1,235	3,045	1,060	3,045

End of Period:
In-Force Face Amount by Product ⁽¹⁾
Universal life	81,150	81,055	80,657	80,383	80,108	81,150	80,108
Variable life	21,330	21,695	22,110	22,381	22,681	21,330	22,681
Term	218,586	223,596	228,384	233,358	238,409	218,586	238,409
Whole life	1,743	1,774	1,782	1,797	1,806	1,743	1,806
Total in-force face amount	322,809	328,120	332,933	337,919	343,004	322,809	343,004

In-Force Policy Count (in whole numbers) ⁽¹⁾
Universal life	244,740	247,610	251,379	253,596	256,269	244,740	256,269
Variable life	51,112	51,922	52,656	53,383	54,182	51,112	54,182
Term	411,474	420,731	429,667	439,629	448,250	411,474	448,250
Whole life	109,841	111,673	112,088	113,272	115,886	109,841	115,886
Total in-force policy count	817,167	831,936	845,790	859,880	874,587	817,167	874,587

Assets Under Management by Fund Group ⁽¹⁾
General account	12,833	12,824	12,770	12,761	12,715	12,833	12,715
Separate account	2,755	2,809	2,724	2,657	2,626	2,755	2,626
Total AUM	15,588	15,633	15,494	15,418	15,341	15,588	15,341

⁽¹⁾ Excludes amounts transferred to third parties through reinsurance transactions.

Corporate



Voya Financial	Page 29 of	41

Corporate Adjusted Operating Earnings



	Three Months Ended										Year-to-Date
(in millions USD)	3/31/2018		12/31/2017		9/30/2017		6/30/2017		3/31/2017		3/31/2018		3/31/2017

Interest expense (including interest rate swap settlements)	(49	)	(47	)	(47	)	(49	)	(47	)	(49	)	(47	)
Amortization of intangibles	(9	)	(9	)	(9	)	(10	)	(8	)	(9	)	(8	)
Strategic investment program ⁽¹⁾	—		(16	)	(21	)	(23	)	(20	)	—		(20	)
Other	2		(18	)	(33	)	(19	)	(20	)	2		(20	)
Adjusted operating earnings before income taxes	(56	)	(90	)	(110	)	(100	)	(95	)	(56	)	(95	)

⁽¹⁾ In 2015, we announced that we would incur an incremental $350.0 million of expenses through 2018 for IT simplification, digital and analytics and cross-enterprise initiatives (“Strategic Investment Program”). In 2018, the remaining costs related to this program are insignificant and reflected in our segments.

Investment Information



Voya Financial	Page 31 of	41

Portfolio Composition



	Balances as of
(in millions USD)	3/31/2018				12/31/2017				9/30/2017				6/30/2017				3/31/2017
Composition of Investment Portfolio	Amount		% of Total		Amount		% of Total		Amount		% of Total		Amount		% of Total		Amount		% of Total
Fixed maturities, available for sale, at fair value, after consolidation	47,274		73.2	%	48,329		73.1	%	48,191		73.1	%	48,286		74.3	%	47,447		74.2	%
Fixed maturities, at fair value using the fair value option	2,903		4.5	%	3,018		4.6	%	3,080		4.7	%	3,120		4.8	%	3,039		4.7	%
Equity securities, available for sale, at fair value	382		0.6	%	380		0.6	%	397		0.6	%	281		0.4	%	275		0.4	%
Short-term investments	193		0.3	%	471		0.7	%	343		0.5	%	384		0.6	%	446		0.7	%
Mortgage loans on real estate	8,837		13.6	%	8,686		13.0	%	8,629		13.1	%	8,650		13.3	%	8,547		13.4	%
Policy loans	1,863		2.9	%	1,888		2.9	%	1,899		2.9	%	1,889		2.9	%	1,917		3.0	%
Limited partnerships/corporations, before consolidation	1,267		N/M		1,293		N/M		1,177		N/M		1,131		N/M		1,077		N/M
CLO/VOEs Adjustments ⁽¹⁾	(447	)	N/M		(509	)	N/M		(491	)	N/M		(457	)	N/M		(487	)	N/M
Limited partnerships/corporations, after consolidation	820		1.3	%	784		1.2	%	686		1.0	%	674		1.0	%	590		0.9	%
Derivatives	390		0.6	%	397		0.6	%	358		0.5	%	385		0.6	%	382		0.6	%
Other investments	77		0.1	%	47		0.1	%	48		0.1	%	40		0.2	%	43		0.1	%
Securities pledged to creditors	1,869		2.9	%	2,087		3.2	%	2,287		3.5	%	1,267		1.9	%	1,301		2.0	%
Total investments, after consolidation	64,608		100.0	%	66,087		100.0	%	65,918		100.0	%	64,976		100.0	%	63,987		100.0	%
Fixed Maturity Securities - Security Sector ⁽²⁾
U.S. Government agencies and authorities	2,522		4.8	%	2,797		5.2	%	2,812		5.3	%	2,897		5.5	%	2,884		5.6	%
U.S. Corporate - Public	22,083		42.5	%	23,258		43.4	%	23,458		43.9	%	23,458		44.5	%	23,278		44.9	%
U.S. Corporate - Private	5,665		10.9	%	5,833		10.9	%	5,737		10.7	%	5,567		10.6	%	5,281		10.2	%
Foreign Government / Agency	785		1.5	%	775		1.5	%	769		1.4	%	772		1.5	%	718		1.4	%
Foreign Corporate - Public	4,851		9.3	%	4,941		9.2	%	4,880		9.1	%	4,805		9.1	%	4,731		9.1	%
Foreign Corporate - Private	5,204		10.0	%	5,161		9.7	%	5,421		10.1	%	5,066		9.6	%	5,117		9.9	%
State, municipalities and political subdivisions	1,815		3.5	%	1,913		3.6	%	1,896		3.5	%	1,837		3.5	%	1,761		3.4	%
CMO-B Agency	2,102		4.1	%	2,156		4.1	%	2,263		4.2	%	2,339		4.4	%	2,325		4.5	%
CMO-B Non-Agency	914		1.8	%	813		1.5	%	801		1.5	%	721		1.4	%	574		1.1	%
Agency	1,004		1.9	%	989		1.9	%	1,127		2.1	%	1,195		2.3	%	1,442		2.8	%
Non-Agency ⁽³⁾	801		1.5	%	749		1.4	%	732		1.4	%	657		1.2	%	619		1.2	%
Total Residential mortgage-backed securities	4,821		9.3	%	4,707		8.9	%	4,923		9.2	%	4,912		9.3	%	4,960		9.6	%
Commercial mortgage-backed securities	2,871		5.5	%	2,704		5.1	%	2,514		4.7	%	2,310		4.4	%	2,173		4.2	%
Other asset-backed securities ⁽³⁾	1,429		2.7	%	1,345		2.5	%	1,148		2.1	%	1,049		2.0	%	884		1.7	%
Total fixed maturities, including securities pledged⁽⁵⁾	52,046		100.0	%	53,434		100.0	%	53,558		100.0	%	52,673		100.0	%	51,787		100.0	%
Fixed Maturity Securities - Contractual Maturity Dates, Due to mature:
Due in one year or less	1,061		2.0	%	1,001		1.9	%	1,410		2.6	%	1,372		2.6	%	1,395		2.7	%
Due after one year through five years	8,245		15.8	%	8,703		16.3	%	9,002		16.8	%	9,132		17.3	%	9,246		17.8	%
Due after five years through ten years	10,279		19.8	%	10,762		20.1	%	10,582		19.8	%	10,392		19.7	%	10,151		19.6	%
Due after ten years	23,340		44.9	%	24,212		45.3	%	23,979		44.8	%	23,506		44.7	%	22,978		44.4	%
CMO-B	3,016		5.9	%	2,969		5.6	%	3,064		5.7	%	3,060		5.8	%	2,899		5.6	%
Mortgage-backed securities	4,676		8.9	%	4,442		8.3	%	4,373		8.2	%	4,162		7.9	%	4,234		8.2	%
Other asset-backed securities ⁽³⁾	1,429		2.7	%	1,345		2.5	%	1,148		2.1	%	1,049		2.0	%	884		1.7	%
Total fixed maturities, including securities pledged ⁽⁵⁾	52,046		100.0	%	53,434		100.0	%	53,558		100.0	%	52,673		100.0	%	51,787		100.0	%
Fixed Maturity Securities - NAIC Quality Designation
1	29,831		57.4	%	30,942		57.9	%	30,801		57.4	%	30,549		58.0	%	30,229		58.4	%
2	19,696		37.8	%	19,947		37.3	%	20,172		37.7	%	19,667		37.3	%	19,065		36.8	%
3	1,822		3.5	%	1,889		3.5	%	2,016		3.8	%	1,879		3.6	%	1,944		3.8	%
4	488		0.9	%	512		1.0	%	413		0.8	%	416		0.8	%	387		0.7	%
5	87		0.2	%	33		0.1	%	48		0.1	%	48		0.1	%	46		0.1	%
6	122		0.2	%	111		0.2	%	108		0.2	%	114		0.2	%	116		0.2	%
Total fixed maturities, including securities pledged ^{(4) (5)}	52,046		100.0	%	53,434		100.0	%	53,558		100.0	%	52,673		100.0	%	51,787		100.0	%
Fixed Maturity Securities - ARO Quality Rating
AAA	9,267		17.8	%	9,702		18.2	%	9,842		18.4	%	9,892		18.8	%	9,946		19.2	%
AA	3,543		6.8	%	3,611		6.8	%	3,710		6.9	%	3,713		7.0	%	3,788		7.3	%
A	15,628		30.1	%	16,329		30.6	%	15,979		29.8	%	15,786		30.0	%	15,265		29.5	%
BBB	19,987		38.3	%	20,204		37.7	%	20,447		38.2	%	19,746		37.5	%	19,361		37.4	%
BB	2,224		4.3	%	2,058		3.8	%	2,147		4.0	%	2,018		3.8	%	2,041		3.9	%
B and below	1,397		2.7	%	1,530		2.9	%	1,433		2.7	%	1,518		2.9	%	1,386		2.7	%
Total fixed maturities, including securities pledged ⁽⁵⁾	52,046		100.0	%	53,434		100.0	%	53,558		100.0	%	52,673		100.0	%	51,787		100.0	%
⁽¹⁾ Adjustments include the elimination of intercompany transactions between the Company and its consolidated investment entities, primarily the elimination of the Company's equity at risk recorded as investments by the Company (before consolidation) against either equity (private equity and real estate partnership funds) or senior and subordinated debt (CLOs) of the funds.
⁽²⁾ Fixed Maturity Securities includes fixed maturities,available for sale , fixed maturities at fair value using the fair value option and securities pledged to creditors.
⁽³⁾ Subprime asset-backed securities are included as a component of Non-Agency RMBS under this presentation.
⁽⁴⁾ ARO ratings do not directly translate into NAIC ratings.
⁽⁵⁾ Includes fixed maturities securities related to businesses exited through reinsurance where assets are retained on the Company's balance sheet.



Voya Financial	Page 32 of	41

Portfolio Results



	Three Months Ended																				Year-to-Date
(in millions USD)	3/31/2018				12/31/2017				9/30/2017				6/30/2017				3/31/2017				3/31/2018				3/31/2017

Operating investment income and annualized yield ⁽¹⁾	Net Investment Income		Annualized Yield		Net Investment Income		Annualized Yield		Net Investment Income		Annualized Yield		Net Investment Income		Annualized Yield		Net Investment Income		Annualized Yield		Net Investment Income		Annualized Yield		Net Investment Income		Annualized Yield
Fixed maturity securities ⁽²⁾	584		5.07	%	582		4.99	%	588		5.06	%	583		5.03	%	580		4.98	%	584		5.07	%	580		4.98	%
Equity securities	3		3.96	%	3		4.43	%	2		2.26	%	2		5.35	%	2		4.73	%	3		3.96	%	2		4.73	%
Mortgage loans	94		4.39	%	93		4.40	%	93		4.39	%	93		4.44	%	91		4.47	%	94		4.39	%	91		4.47	%
Limited partnerships	43		15.12	%	41		19.82	%	36		13.40	%	59		23.34	%	35		13.94	%	43		15.12	%	35		13.94	%
Policy loans	25		5.41	%	23		5.06	%	25		5.31	%	25		5.35	%	25		5.28	%	25		5.41	%	25		5.28	%
Short-term investments	4		0.59	%	3		0.41	%	3		0.33	%	2		0.31	%	3		0.50	%	4		0.59	%	3		0.50	%
Derivatives ⁽²⁾	10		N/A		13		N/A		12		N/A		12		N/A		8		N/A		10		N/A		8		N/A
Prepayment fee income	7		0.04	%	16		0.10	%	10		0.06	%	8		0.05	%	10		0.06	%	7		0.04	%	10		0.06	%
Other assets	1		N/A		14		N/A		(1	)	N/A		3		N/A		6		N/A		1		N/A		6		N/A
Gross investment income before expenses and fees	771		5.10	%	788		5.17	%	768		5.01	%	787		5.26	%	760		5.09	%	771		5.10	%	760		5.09	%
Expenses and fees	(30	)	-0.20	%	(35	)	-0.24	%	(32	)	-0.22	%	(29	)	-0.20	%	(32	)	-0.22	%	(30	)	-0.20	%	(32	)	-0.22	%
Total investment income and annualized yield	741		4.90	%	753		4.93	%	736		4.79	%	758		5.06	%	728		4.87	%	741		4.90	%	728		4.87	%
Trading gains/losses ⁽¹⁾
Fixed maturities	(17	)			28				12				15				(31	)			(17	)			(31	)
Equity securities	(3	)			—				(1	)			—				—				(3	)			—
Mortgage loans	—				—				—				1				—				—				—
Other investments	9				(20	)			1				1				1				9				1
Total trading gains/losses	(11	)			8				12				17				(30	)			(11	)			(30	)
Impairments ⁽¹⁾
Fixed maturities	(14	)			(18	)			(2	)			—				(2	)			(14	)			(2	)
Equity securities	—				—				—				—				—				—				—
Mortgage loans	—				—				—				—				—				—				—
Other investments	—				—				—				—				—				—				—
Total impairments	(14	)			(18	)			(2	)			—				(2	)			(14	)			(2	)
Fair value adjustments ⁽³⁾	(74	)			(51	)			(12	)			11				(18	)			(74	)			(18	)
Derivatives, including change in fair value of derivatives related to guaranteed benefits	22				26				(12	)			(30	)			22				22				22
Net realized investment gains (losses) and Net guaranteed benefit hedging gains (losses) ⁽¹⁾	(77	)			(35	)			(14	)			(2	)			(28	)			(77	)			(28	)
Businesses exited through reinsurance ⁽⁴⁾	(36	)			30				29				52				24				(36	)			24
Consolidation/eliminations ⁽⁵⁾	14				13				(9	)			(1	)			33				14				33
Total investment income and realized capital gains (losses)	642				761				742				807				757				642				757

⁽¹⁾ Investment results related to businesses exited through reinsurance are excluded.
⁽²⁾ Operating income from CMO-B portfolio assets, including derivatives, is included in fixed maturity securities.
⁽³⁾ Fair value adjustments include adjustments related to CMO-B assets carried at fair value, among other income sources.
⁽⁴⁾ Income related to reinsurance transactions, in which investment results are passed directly to the reinsurers pursuant to contracted terms of the reinsurance agreement.
⁽⁵⁾ Includes i) the impact of consolidation of investment entities into the Consolidated Statements of Operations, net of the elimination of the Company's management fees expensed by the funds and recorded as operating revenues (before consolidation) by the Company, ii) the elimination of intersegment expenses, primarily consisting of asset-based management and administration fees charged by our Investment Management Segment, iii) and other intersegment eliminations.



Voya Financial	Page 33 of	41

Alternative Investment Income



	Three Months Ended					Year-to-Date
(in millions USD)	3/31/2018	12/31/2017	9/30/2017	6/30/2017	3/31/2017	3/31/2018	3/31/2017
Retirement
Average alternative investments	536	532	519	523	494	536	494
Alternative investment income	18	18	16	13	15	18	15
Investment Management
Average alternative investments	262	252	236	221	209	262	209
Alternative investment income ⁽¹⁾	11	8	5	35	9	11	9
Employee Benefits
Average alternative investments	51	49	49	50	46	51	46
Alternative investment income	2	2	2	1	2	2	2
Individual Life
Average alternative investments	312	293	270	252	220	312	220
Alternative investment income	9	10	8	8	5	9	5

The table above excludes alternative investments and income that are a component of Assets held for sale and Income (loss) from discontinued operations, net of tax, respectively, and alternative investments and income in Corporate.

⁽¹⁾ Includes performance fees related to sponsored private equity funds (“carried interest”) that are subject to later reversal based on subsequent fund performance, to the extent that cumulative rates of investment return fall below specified investment hurdle rates. Should the market value of a portfolio increase in future periods, reversals of carried interest could be fully or partially recovered. No amounts for carried interest were reversed or recovered for the three months ended 3/31/2018 and 3/31/2017. For the three months ended 12/31/2017, 9/30/2017 and 6/30/2017, our carried interest net results included a gain (loss) of $9 million, $(2) million, and $28 million, respectively, including the recovery of $25 million of carried interest reversed in prior periods.

Reconciliations



Voya Financial	Page 35 of	41

Reconciliation of Consolidated Statements of Operations



	Three Months Ended										Year-to-Date
(in millions USD)	3/31/2018		12/31/2017		9/30/2017		6/30/2017		3/31/2017		3/31/2018		3/31/2017

Revenues
Net investment income	823		824		795		832		843		823		843
Fee income	676		668		683		639		637		676		637
Premiums	539		515		533		526		547		539		547
Net realized capital gains (losses)	(181	)	(63	)	(53	)	(25	)	(86	)	(181	)	(86	)
Income (loss) related to consolidated investment entities	11		136		140		129		27		11		27
Other revenues	99		106		86		90		89		99		89
Total revenues	1,967		2,186		2,184		2,191		2,057		1,967		2,057

Benefits and expenses
Interest credited and other benefits to contract owners/policyholders	(1,090	)	(1,159	)	(1,192	)	(1,136	)	(1,149	)	(1,090	)	(1,149	)
Operating expenses	(700	)	(682	)	(674	)	(630	)	(668	)	(700	)	(668	)
Net amortization of DAC/VOBA	(100	)	(61	)	(209	)	(195	)	(64	)	(100	)	(64	)
Interest expense	(49	)	(44	)	(49	)	(45	)	(46	)	(49	)	(46	)
Operating expenses related to consolidated investment entities	(7	)	(20	)	(20	)	(30	)	(17	)	(7	)	(17	)
Total benefits and expenses	(1,946	)	(1,966	)	(2,144	)	(2,036	)	(1,944	)	(1,946	)	(1,944	)
Income (loss) from continuing operations before income taxes	21		220		40		155		113		21		113
Less:
Net investment gains (losses) and related charges and adjustments	(61	)	(54	)	(12	)	2		(20	)	(61	)	(20	)
Net guaranteed benefit hedging gains (losses) and related charges and adjustments	(14	)	34		5		(1	)	8		(14	)	8
Income (loss) related to businesses exited through reinsurance or divestment	(45	)	(39	)	(2	)	1		(5	)	(45	)	(5	)
Income (loss) attributable to noncontrolling interests	—		82		65		52		1		—		1
Income (loss) on early extinguishment of debt	(3	)	—		(3	)	—		(1	)	(3	)	(1	)
Immediate recognition of net actuarial gains (losses) related to pension and other postretirement benefit obligations and gains (losses) from plan amendments and curtailments	—		(17	)	1		—		—		—		—
Other adjustments ⁽¹⁾	(19	)	(19	)	(57	)	(6	)	(15	)	(19	)	(15	)
Adjusted operating earnings before income taxes	163		233		43		107		145		163		145

⁽¹⁾ Includes restructuring expenses (severance, lease write-offs, etc.) and expenses associated with the rebranding of Voya Financial, Inc. from ING U.S., Inc.



Voya Financial	Page 36 of	41

Reconciliation of Adjusted Operating Revenues



	Three Months Ended										Year-to-Date
(in millions USD)	3/31/2018		12/31/2017		9/30/2017		6/30/2017		3/31/2017		3/31/2018		3/31/2017

Total revenues	1,967		2,186		2,184		2,191		2,057		1,967		2,057

Less Adjustments
Net realized investment gains (losses) and related charges and adjustments	(73	)	(58	)	(14	)	(1	)	(27	)	(73	)	(27	)
Gain (loss) on change in fair value of derivatives related to guaranteed benefits	(7	)	35		7		1		9		(7	)	9
Revenues (losses) related to business exited through reinsurance or divestment	(40	)	27		27		48		20		(40	)	20
Revenues (loss) attributable to noncontrolling interests	6		100		85		82		19		6		19
Other adjustments ⁽¹⁾	58		59		52		50		51		58		51

Total adjusted operating revenues	2,023		2,023		2,027		2,011		1,985		2,023		1,985

Adjusted operating revenues by segment
Retirement	662		649		634		630		625		662		625
Investment Management	185		185		171		204		171		185		171
Employee Benefits	453		431		446		443		447		453		447
Individual Life	631		635		669		629		630		631		630
Corporate	92		123		107		105		112		92		112

Total adjusted operating revenues	2,023		2,023		2,027		2,011		1,985		2,023		1,985

⁽¹⁾ Includes fee income earned by the Company's broker-dealers for sales of non-proprietary products, which are reflected net of commission expense in the Company's segments’ operating revenues, other items where the income is passed on to third parties and the elimination of intercompany investment expenses included in operating revenues.



Voya Financial	Page 37 of	41

Reconciliation of Adjusted Operating Earnings - excluding Unlocking; Adjusted Return on Capital ⁽¹⁾



(in millions USD, unless otherwise indicated)	Twelve Months Ended ⁽¹⁾
Retirement	3/31/2018		12/31/2017		9/30/2017		6/30/2017		3/31/2017
Adjusted operating earnings before income taxes	417		456		431		387		494
Less:
DAC/VOBA and other intangibles unlocking	(191	)	(137	)	(148	)	(178	)	(54	)
Gain on Lehman Recovery	—		—		4		4		4
Adjusted Operating Earnings - excluding Unlocking before interest	608		593		574		561		544
Income tax expense	170		190		184		180		174
Adjusted Operating Earnings - excluding Unlocking before interest and after income taxes	438		403		391		381		370
Adjusted Operating effective tax rate, excluding Unlocking⁽²⁾	15.8	%	32.0	%	32.0	%	32.0	%	32.0	%
Adjusted Operating effective tax rate, excluding Unlocking - Trailing Twelve Months	28.0	%	32.0	%	32.0	%	32.0	%	32.0	%
Average Capital	3,946		3,928		3,956		3,974		3,982
Ending Capital	4,096		4,130		3,856		3,852		4,015
Adjusted Return on Capital	11.1	%	10.3	%	9.9	%	9.6	%	9.3	%

Investment Management
Adjusted operating earnings before income taxes	259		248		253		251		197
Less:
Gain on Lehman Recovery	—		—		—		3		3
Adjusted Operating Earnings - excluding Unlocking before interest	259		248		252		248		195
Income tax expense	76		79		81		79		62
Adjusted Operating Earnings - excluding Unlocking before interest and after income taxes	183		169		172		168		132

Adjusted Operating effective tax rate, excluding Unlocking⁽²⁾	21.0	%	32.0	%	32.0	%	32.0	%	32.0	%
Adjusted Operating effective tax rate, excluding Unlocking - Trailing Twelve Months	29.4	%	32.0	%	32.0	%	32.0	%	32.0	%
Average Capital	309		308		306		300		295
Ending Capital	319		290		311		319		309
Adjusted Return on Capital	59.3	%	54.9	%	56.1	%	56.1	%	44.8	%

⁽¹⁾ Due to rounding, trailing twelve month totals may not equal the sum of the quarters
⁽²⁾ Beginning in 2018, we assume a 21% tax rate on segment Adjusted operating earnings, excluding unlocking, less the estimated benefit of the dividends received deduction in our Retirement segment. For periods before 2018, we assume a 32% tax rate on Adjusted operating earnings and all components of Adjusted operating earnings described as after-tax, which reflects the estimated benefit of the dividends received deduction related to our segments.



Voya Financial	Page 38 of	41

Reconciliation of Adjusted Operating Earnings - excluding Unlocking; Adjusted Return on Capital ⁽¹⁾



(in millions USD, unless otherwise indicated)	Twelve Months Ended ⁽¹⁾
Employee Benefits	3/31/2018		12/31/2017		9/30/2017		6/30/2017		3/31/2017
Adjusted operating earnings before income taxes	148		127		128		111		116
Less:
DAC/VOBA and other intangibles unlocking	(3	)	(2	)	(2	)	(2	)	(2	)
Gain on Lehman Recovery	—		—		1		1		1
Adjusted Operating Earnings - excluding Unlocking before interest	151		129		129		112		117
Income tax expense	45		41		41		36		38
Adjusted Operating Earnings - excluding Unlocking before interest and after income taxes	106		88		87		76		80
Adjusted Operating effective tax rate, excluding Unlocking⁽²⁾	21.0	%	32.0	%	32.0	%	32.0	%	32.0	%
Adjusted Operating effective tax rate, excluding Unlocking - Trailing Twelve Months	29.6	%	32.0	%	32.0	%	32.0	%	32.0	%
Average Capital	375		360		359		365		370
Ending Capital	441		387		364		356		367
Adjusted Return on Capital	28.3	%	24.4	%	24.3	%	20.8	%	21.6	%

Individual Life
Adjusted operating earnings before income taxes	77		92		71		61		49
Less:
DAC/VOBA and other intangibles unlocking	(181	)	(160	)	(162	)	(141	)	(144	)
Gain on Lehman Recovery	—		—		8		8		8
Adjusted Operating Earnings - excluding Unlocking before interest	258		251		225		194		185
Income tax expense	78		80		72		62		59
Adjusted Operating Earnings - excluding Unlocking before interest and after income taxes	180		171		153		132		126
Adjusted Operating effective tax rate, excluding Unlocking⁽²⁾	21.0	%	32.0	%	32.0	%	32.0	%	32.0	%
Adjusted Operating effective tax rate, excluding Unlocking - Trailing Twelve Months	30.0	%	32.0	%	32.0	%	32.0	%	32.0	%
Average Capital	1,666		1,527		1,614		1,749		1,893
Ending Capital	2,141		2,141		1,476		1,546		1,488
Adjusted Return on Capital	10.8	%	11.2	%	9.5	%	7.5	%	6.6	%

⁽¹⁾Due to rounding, trailing twelve month totals may not equal the sum of the quarters.
⁽²⁾ Beginning in 2018, we assume a 21% tax rate on segment Adjusted operating earnings, excluding Unlocking, less the estimated benefit of the dividends received deduction in our Retirement segment. For periods before 2018, we assumed a 32% tax rate on Adjusted operating earnings and all components of Adjusted operating earnings described as after-tax, which reflects the estimated benefit of the dividends received deduction related to our segments.



Voya Financial	Page 39 of	41

Impacts of Prepayments and Alternative Income Above (Below) Long-Term Expectations on Adjusted ROC (bps)



	Twelve Months Ended
(in basis points)	3/31/2018		12/31/2017		12/31/2016

Prepayments Above (Below) Long-term Expectations ⁽¹⁾
Effect on ROC:
Retirement	(3	)	1		43
Employee Benefits	11		14		56
Life	(12	)	(8	)	18

Alternatives Above (Below) Long-term Expectations ^{(1) (2)}
Effect on ROC:
Retirement	31		26		(35	)
Employee Benefits	38		33		(37	)
Life	33		30		(25	)

Prepayments and Alternative Income Above (Below) Long-Term Expectations ^{(1) (2)}
Effect on ROC:
Retirement	28		27		8
Employee Benefits	49		47		19
Life	21		22		(7	)

⁽¹⁾ Basis point impacts are after DAC and after tax.
⁽²⁾ Amounts exclude gain on Lehman recovery.



Voya Financial	Page 40 of	41

Reconciliation of Adjusted Operating Earnings Per Share; Book Value Per Share, Excluding AOCI



	Three Months Ended or As of										Year-to-Date or As of
(in whole dollars)	3/31/2018		12/31/2017		9/30/2017		6/30/2017		3/31/2017		3/31/2018		3/31/2017

Income (loss) available to Voya Financial, Inc.'s common shareholders per common share (Diluted)	2.50		(17.64	)	0.81		0.89		(0.74	)	2.50		(0.74	)
Exclusion of per share impact of:
Net investment gains (losses) and related charges and adjustments	0.27		0.19		0.04		(0.01	)	0.07		0.27		0.07
Net guaranteed benefit hedging gains (losses) and related charges and adjustments	0.06		(0.12	)	(0.02	)	—		(0.03	)	0.06		(0.03	)
Income (loss) related to businesses exited through reinsurance or divestment	0.20		0.14		0.01		—		0.02		0.20		0.02
Income (loss) on early extinguishment of debt	0.01		—		0.01		—		—		0.01		—
Immediate recognition of net actuarial gains (losses) related to pension and other postretirement benefit obligations and gains (losses) from plan amendments and curtailments	—		0.06		—		—		—		—		—
Other adjustments to operating earnings	0.09		0.07		0.20		0.02		0.06		0.09		0.06
Effect of discontinued operations	(2.40	)	14.58		(0.73	)	(0.34	)	0.83		(2.40	)	0.83
Effect of assumed tax rate vs actual effective tax rate	0.04		3.53		(0.16	)	(0.17	)	0.30		0.04		0.30
Adjustment due to antidilutive effect of net loss in the current period	—		0.06		—		—		—		—		—
Adjusted operating earnings per share (Diluted) ⁽¹⁾	0.77		0.87		0.16		0.39		0.51		0.77		0.51
Impact of unlocking to earnings per share (Diluted)	0.31		—		0.70		0.42		(0.02	)	0.31		(0.02	)
Adjusted operating earnings per share (Diluted) - ex Unlocking	1.08		0.87		0.86		0.81		0.49		1.08		0.49

Book value per share, including AOCI	54.65		58.19		75.98		74.30		67.88		54.65		67.88
Per share impact of AOCI	(8.81	)	(15.88	)	(15.20	)	(14.50	)	(11.12	)	(8.81	)	(11.12	)
Book value per share, excluding AOCI	45.84		42.31		60.78		59.80		56.76		45.84		56.76

Reconciliation of shares used in Total Consolidated Adjusted Operating earnings per share (Diluted)
Weighted-average common shares outstanding - Diluted	178		179		182		188		195		178		195
Dilutive effect of the exercise or issuance of stock-based awards ⁽¹⁾	—		4		—		—		—		—		—
Weighted average common shares outstanding - Diluted (Adjusted Operating) ⁽¹⁾	178		183		182		188		195		178		195

Debt to capital	26.9	%	25.7	%	20.2	%	20.6	%	21.2	%	26.9	%	21.2	%
Capital impact of AOCI	3.6	%	6.5	%	3.9	%	3.8	%	3.1	%	3.6	%	3.1	%
Impact of 25% equity treatment afforded to subordinate debt	(2.4	)%	(1.7	)%	(1.4	)%	(1.4	)%	(1.3	)%	(2.4	)%	(1.3	)%
Adjusted Debt to capital	28.1	%	30.5	%	22.7	%	23.0	%	23.0	%	28.1	%	23.0	%

⁽¹⁾For periods in which there is a Net loss in Income from continuing operations, Adjusted operating earnings per share calculation includes additional dilutive shares, as the inclusion of these shares for stock compensation plans would not be anti-dilutive to the Adjusted operating earnings per share calculation.



Voya Financial	Page 41 of	41

Reconciliation of Investment Management Adjusted Operating Margin, Excluding Investment Capital



	Three Months Ended						Twelve Months Ended
(in millions USD, unless otherwise indicated)	3/31/2018		12/31/2017		3/31/2017		3/31/2018		12/31/2017		3/31/2017

Adjusted operating revenues	185		185		171		745		731		663
Adjusted operating expenses	(124	)	(125	)	(122	)	(486	)	(483	)	(468	)
Adjusted operating earnings before income taxes	61		60		49		259		248		195

Adjusted operating margin	32.9	%	32.3	%	28.8	%	34.8	%	33.9	%	29.3	%

Adjusted operating revenues	185		185		171		745		731		663
Less:
Investment Capital Results	11		8		9		59		57		13
Adjusted operating revenues excluding Investment Capital	174		177		163		686		674		650
Adjusted operating expenses	(124	)	(125	)	(122	)	(486	)	(483	)	(468	)
Adjusted operating earnings excluding Investment Capital	50		52		41		200		191		182

Adjusted operating margin excluding Investment Capital	28.6	%	29.3	%	25.0	%	29.1	%	28.3	%	28.0	%

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