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

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EX-99.1 - EX-99.1 - Voya Financial, Inc.	a2020q3pressrelease.htm
8-K - 8-K - Voya Financial, Inc.	voya-20201104.htm


						Exhibit 99.2


Voya Financial

Quarterly Investor Supplement

September 30, 2020

This report should be read in conjunction with Voya Financial, Inc.'s Quarterly Report on Form 10-Q for the Three Months Ended September 30, 2020. 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	30
Key Metrics	6	Investment Information
Normalized Adjusted Operating Earnings by Segment	7	Portfolio Composition	32
Normalized Effective Tax Rate	8	Portfolio Results	33
Consolidated Statements of Operations	9	Alternative Investment Income	34
Consolidated Adjusted Earnings Before Income Taxes	10	Reconciliations
Adjusted Operating Earnings by Segment (QTD)	11	Reconciliation of Consolidated Statements of Operations	36
Adjusted Operating Earnings by Segment (YTD)	12	Reconciliation of Adjusted Operating Revenues	37
Consolidated Balance Sheets	13	Reconciliation of Adjusted Operating Earnings - excluding Unlocking;
DAC/VOBA Segment Trends	14	Adjusted Return on Capital	38 - 39
Consolidated Capital Structure	15	Prepayments and Alternative Income Above (Below) Long-Term
Consolidated Assets Under Management, Assets Under Administration		Expectations	40
and Advisement	16	Reconciliation of Normalized Adjusted Operating Earnings and Earnings
Retirement		Per Common Share (Diluted) (QTD)	41
Sources of Normalized Adjusted Operating Earnings and Key Metrics	18	Reconciliation of Normalized Adjusted Operating Earnings and Earnings
Client Assets Rollforward by Product Group	19 - 20	Per Common Share (Diluted) (YTD)	42
Investment Management		Reconciliation of Book Value Per Common Share, Excluding AOCI	43
Sources of Normalized Adjusted Operating Earnings	22	Reconciliation of Investment Management Normalized Adjusted
Analysis of AUM and AUA	23	Operating Margin, Excluding Investment Capital	44
Account Value Rollforward by Source	24
Account Value by Asset Type	25
Employee Benefits
Sources of Normalized Adjusted Operating Earnings	27
Key Metrics	28


Voya Financial						Page 3 of 44

Explanatory Note on Non-GAAP Financial Information

On December 18, 2019, we entered into an agreement to dispose of substantially all of our Individual Life and other closed block non-retirement annuities businesses (the "Individual Life 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. For the quarter ended September 30, 2020, Income (loss) from discontinued operations, net of tax included $9 million estimated gain on sale, net of tax. As of September 30, 2020, the total estimated loss on sale, net of tax was $1.3 billion, which represents the excess of the estimated carrying value of the businesses held for sale over the estimated purchase price less cost to sell. Revenues and net results of the business that will be divested via reinsurance at closing of the Individual Life Transaction (including insignificant number of Individual Life, Annuities and Closed Block Variable Annuities ("CBVA") policies that were not part of the Individual Life and 2018 Transactions) are reported in businesses exited or to be exited through reinsurance or divestment and are excluded from adjusted operating earnings. All prior periods have been revised to reflect these changes. Refer to Business Held for Sale and Discontinued Operations in Part I, Item 1. of our Quarterly Report on Form 10-Q for further detail on discontinued operations.

Adjusted Operating Earnings Before Income Taxes

We believe that Adjusted operating earnings before income taxes provides a meaningful measure of its business and segment performance 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 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, which is 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 a 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 or to be exited through reinsurance or divestment, which includes gains and (losses) associated with transactions to exit blocks of business within continuing operations (including net investment gains (losses) on securities sold and expenses directly related to these transactions) and residual run-off activity (including an insignificant number of Individual Life, Annuities and CBVA policies that were not part of the Individual Life and 2018 Transactions). Excluding this activity, which also includes amortization of intangible assets related to businesses exited or to be exited, better reveals trends in our core business and more closely aligns Adjusted operating earnings before income taxes with how we manage 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;

•Dividend payments made to preferred shareholders are included as reductions to reflect the Adjusted operating earnings that is available to common shareholders;

•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;


Voya Financial						Page 4 of 44

Explanatory Note on Non-GAAP Financial Information

•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 events such as capital or organizational restructurings undertaken to achieve long-term economic benefits, including certain costs related to debt and equity offerings, acquisition / merger integration expenses, severance and other third-party expenses associated with such activities. 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.

Income (loss) related to businesses exited or to be exited through reinsurance or divestment (including net investment gains (losses) on securities sold and expenses directly related to these transactions, and insignificant number of Individual Life, Annuities and CBVA policies that were not part of the Individual Life and 2018 Transactions) are excluded 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 or to be 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.

Stranded Costs

As a result of the 2018 Transaction and the Individual Life Transaction, the historical revenues and certain expenses of the sold businesses have been classified as discontinued operations. Historical revenues and certain expenses of the businesses that will be divested via reinsurance at closing of the Individual Life Transaction (including an insignificant amount of Individual Life and closed block non retirement annuities that are not part of the transaction) are reported within continuing operations, but are excluded from adjusted operating earnings as businesses exited or to be exited through reinsurance or divestment. Expenses classified within discontinued operations and businesses exited or to be exited through reinsurance include only direct operating expenses incurred by these businesses and then only to the extent that the nature of such expenses was such that we would cease to incur such expenses upon the close of the 2018 Transaction and the Individual Life Transaction. Certain other direct costs of these businesses, including those which relate to activities for which we have or will provide transitional services and for which we have or will be reimbursed under transition services agreements (“TSAs”) are reported within continuing operations along with the associated revenues from the TSAs. Additionally, indirect costs, such as those related to corporate and shared service functions that were previously allocated to the businesses sold or divested via reinsurance, are reported within continuing operations. These costs ("Stranded Costs") and the associated revenues from the TSAs are reported within continuing operations in Corporate, since we do not believe they are representative of the future run-rate of revenues and expenses of our continuing operations. The Stranded Costs related to the 2018 Transaction were removed in the fourth quarter of 2019 and we plan to address the Stranded Costs related to the Individual Life Transaction through a cost reduction strategy.

Normalized Adjusted Operating Earnings

Normalized adjusted operating earnings excludes from Adjusted operating earnings before income taxes the following items:

•DAC/VOBA and other intangibles unlocking, including amortization of net cost of reinsurance and reserve adjustments;

•The amount by which Investment income from prepayment fees and alternative investments exceeds or is less than our long-term expectations reported on a pre-DAC basis;

•For periods ended on or prior to June 30, 2018, Investment Management adjusted operating earnings related to our fixed and variable annuities businesses, which we sold in a transaction that closed on June 1, 2018; and

•For periods ended on or prior to the closing of the Individual Life Transaction, stranded costs associated with the Individual Life Transaction where the corresponding revenue is now reported in discontinued operations or in businesses exited or to be exited through reinsurance or divestment; for periods after the closing of the Individual Life Transaction any remaining stranded costs and the associated revenues from future TSAs will be reported in normalized adjusted operating earnings.

Because DAC/VOBA and other intangibles unlocking can be volatile, excluding the effect of this item can improve period to period comparability.

Adjusted Operating Earnings per Common Share (Diluted) and Normalized Adjusted Operating Earnings per Common Share (Diluted)

In addition to Net income (loss) per common share, we report Adjusted operating earnings per common share (diluted) and Normalized adjusted operating earnings per common 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. For a reconciliation of these non-GAAP measures to the most directly comparable U.S. GAAP measures, refer to the "Reconciliation of Normalized Adjusted Operating Earning and Earnings Per Common Share" page of this document.

Shareholders' Equity/Book Value per Common Share, Excluding AOCI

In addition to book value per common share including Accumulated other comprehensive income (AOCI), we also report book value per common share excluding AOCI and shareholders' equity excluding AOCI and preferred stock. 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 common share excluding AOCI and common shareholders' equity excluding AOCI provide a measure consistent with that view. The Adjusted debt to capital ratio includes a 25% equity treatment afforded to subordinated debt, 100% equity treatment afforded to preferred stock and excludes AOCI. For a reconciliation of these non-GAAP measures to the most directly comparable U.S. GAAP measures, refer to the Reconciliation of Book Value Per Common Share, Excluding AOCI" page of this document.


Voya Financial						Page 5 of 44

Explanatory Note on Non-GAAP Financial Information

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 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 and Normalized Adjusted Operating Effective Tax Rate

Beginning in 2018, the normalized adjusted operating effective tax rate is based on the actual income tax expense for the current period related to Income (loss) from continuing operations, adjusted for estimated taxes on non-operating items and non-operating tax impacts, such as those related to restructuring, changes in a tax valuation allowance and changes to tax law. For non-operating items, we apply a 21% tax rate beginning in 2018.

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 or to be exited through reinsurance or divestment, which includes revenues associated with transactions to exit blocks of business within continuing operations (including net investment gains (losses) on securities sold related to these transactions) and residual run-off activity (including an insignificant number of Individual Life, Annuities and CBVA policies that were not part of the Individual Life and 2018 Transactions). Excluding this activity better reveals trends in our core business and more closely aligns Adjusted operating revenues with how we manage 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 revenues 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 Adjusted operating revenues.

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 and advisement ("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, surrender results, and contractual charges for annuity contracts.

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

•Net 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 44

Key Metrics


	Three Months Ended or As of										Year-to-Date or As of
(in millions USD, unless otherwise indicated)	9/30/2020		6/30/2020		3/31/2020		12/31/2019		9/30/2019		9/30/2020		9/30/2019
Net income (loss) available to Voya Financial, Inc.'s common shareholders	(333)		(71)		(98)		(776)		106		(502)		397
Per common share (basic)	(2.64)		(0.56)		(0.75)		(5.76)		0.77		(3.93)		2.77
Per common share (diluted)	(2.64)		(0.55)		(0.71)		(5.45)		0.74		(3.93)		2.67


Adjusted operating earnings: (1)
Before income taxes	40		17		134		178		122		190		413
After income taxes	39		20		115		153		114		174		361
Effective tax rate	0.9	%	(17.6)	%	14.3	%	14.2	%	7.5	%	8.7	%	12.6	%
Per common share (Adjusted diluted)	0.30		0.15		0.83		1.07		0.79		1.32		2.43
Normalized adjusted operating earnings: (1)
Before income taxes	185		169		180		199		179		533		525
After income taxes	154		140		151		170		159		445		450
Effective tax rate	16.7	%	17.2	%	16.0	%	14.9	%	11.7	%	16.6	%	14.4	%
Per common share (Adjusted diluted)	1.19		1.09		1.10		1.19		1.10		3.38		3.03


Shareholder's equity:
Total Voya Financial, Inc. Common Shareholders' Equity	9,045		8,936		6,815		8,796		9,939		9,045		9,939
Total Voya Financial, Inc. Common Shareholders' Equity - Excluding AOCI (1)	4,562		4,897		4,974		5,465		6,442		4,562		6,442
Deferred Tax Asset ("DTA") (2)	1,690		1,767		1,935		1,823		1,829		1,690		1,829
Total Voya Financial, Inc. Common Shareholders' Equity - Excluding AOCI & DTA (2)	2,872		3,130		3,039		3,642		4,613		2,872		4,613
Book value per common share (including AOCI)	71.67		70.86		54.09		66.49		73.73		71.67		73.73
Book value per common share (excluding AOCI) (1)	36.15		38.83		39.48		41.31		47.79		36.15		47.79
Debt to Capital:
Debt to Capital	24.0	%	24.2	%	29.1	%	24.4	%	22.4	%	24.0	%	22.4	%
Adjusted Debt to Capital (1)	33.7	%	32.4	%	32.1	%	30.4	%	27.4	%	33.7	%	27.4	%
Shares:
Weighted-average common shares outstanding
Basic	126		126		131		135		138		128		143
Dilutive effect of warrants	1		—		3		4		2		1		2
Other dilutive effects (3)	2		2		4		4		4		3		4
Diluted (4)	126		128		137		142		144		128		149
Adjusted Diluted (1)	129		128		137		142		144		132		149
Ending shares outstanding	126		126		126		132		135		126		135
Returned to Common Shareholders:
Repurchase of common shares, excluding commissions	—		—		406		160		290		406		936
Dividends to common shareholders	19		19		20		21		20		58		23
Total cash returned to common shareholders	19		19		426		181		310		464		959

(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 35 of this document.
(2) DTA primarily related to Federal Net Operating Loss Carry Forwards (“Federal NOLs”), net of $194 million tax valuation allowance for the periods beginning with quarter ended December 31, 2019 and $445 million for the periods presented prior to the quarter ended December 31, 2019. Periods beginning with quarter ended December 31, 2019 have been adjusted for the expected utilization of Federal NOLs related to the Individual Life Transaction.
(3) Includes stock-based compensation awards such as restricted stock units (RSU), performance stock units (PSU), or stock options.
(4) This is a GAAP financial measure. For the three and nine months ended September 30, 2020, weighted average shares used for calculating basic and diluted earnings per share (EPS) are the same, as the inclusion of the warrants, RSU awards, PSU awards, and stock options would be antidilutive to the EPS calculation due to the net loss from continuing operations available to common shareholders.


Voya Financial						Page 7 of 44

Normalized Adjusted Operating Earnings by Segment


	Three Months Ended										Year-to-Date
(in millions USD, unless otherwise indicated)	9/30/2020		6/30/2020		3/31/2020		12/31/2019		9/30/2019		9/30/2020		9/30/2019
Normalized adjusted operating earnings
Retirement	152		120		133		151		141		405		435
Investment Management	36		46		42		61		45		124		125
Employee Benefits	51		46		60		53		56		157		143
Corporate	(54)		(43)		(55)		(65)		(64)		(152)		(179)
Before income taxes	185		169		180		199		179		533		525
After income taxes	154		140		151		170		159		445		450
Effective tax rate	16.7	%	17.2	%	16.0	%	14.9	%	11.7	%	16.6	%	14.4	%
Per common share (Adjusted diluted)	1.19		1.09		1.10		1.19		1.10		3.38		3.03
Prepayment fees and alternative investment income above (below) long-term expectations (1)
Retirement	45		(92)		7		21		5		(41)		11
Investment Management	11		(27)		(2)		(2)		—		(18)		(5)
Employee Benefits	6		(10)		1		2		1		(3)		1

Before income taxes	61		(129)		6		21		6		(61)		7
After income taxes	48		(102)		5		17		5		(48)		6
Effective tax rate	21.0	%	21.0	%	21.0	%	21.0	%	21.0	%	21.0	%	21.0	%
Per common share (Adjusted diluted)	0.37		(0.79)		0.04		0.12		0.03		(0.37)		0.04
DAC/VOBA and other intangibles unlocking
Retirement	(172)		9		(16)		(10)		(29)		(179)		(20)



Before income taxes	(172)		9		(16)		(10)		(29)		(179)		(20)
After income taxes	(136)		7		(13)		(8)		(23)		(142)		(16)
Effective tax rate	21.0	%	21.0	%	21.0	%	21.0	%	21.0	%	21.0	%	21.0	%
Per common share (Adjusted diluted)	(1.05)		0.05		(0.09)		(0.06)		(0.16)		(1.08)		(0.11)
Individual Life transaction stranded costs(2)
Before income taxes	(34)		(32)		(36)		(33)		(34)		(102)		(99)
After income taxes	(27)		(25)		(28)		(26)		(27)		(81)		(78)
Effective tax rate	21.0	%	21.0	%	21.0	%	21.0	%	21.0	%	21.0	%	21.0	%
Per common share (Adjusted diluted)	(0.21)		(0.20)		(0.21)		(0.18)		(0.18)		(0.61)		(0.53)
Adjusted operating earnings
Retirement	25		37		124		162		117		185		426
Investment Management	47		20		40		59		46		106		121
Employee Benefits	56		36		61		55		57		154		144
Corporate	(88)		(75)		(91)		(98)		(98)		(254)		(278)
Before income taxes	40		17		134		178		122		190		413
After income taxes	39		20		115		153		114		174		361
Effective tax rate	0.9	%	(17.6)	%	14.3	%	14.2	%	7.5	%	8.7	%	12.6	%
Per common share (Adjusted diluted)	0.30		0.15		0.83		1.07		0.79		1.32		2.43

(1) The amount by which Investment income from prepayment fees and alternative investments exceeds or is less than our long-term expectations reported on a pre-DAC basis.
(2) For periods ended on or prior to the closing of the Individual Life Transaction, Stranded Costs associated with the Individual Life Transaction where the corresponding revenue is now reported in discontinued operations or in businesses exited or to be exited through reinsurance or divestment; for periods after the closing of the Individual Life Transaction any remaining Stranded Costs and the associated revenues from future TSAs will be reported in normalized adjusted operating earnings.


Voya Financial						Page 8 of 44

Normalized Effective Tax Rate


	Three Months Ended										Year-to-Date
(in millions USD, unless otherwise indicated)	9/30/2020		6/30/2020		3/31/2020		12/31/2019		9/30/2019		9/30/2020		9/30/2019
Normalized adjusted operating earnings
Before income taxes	185		169		180		199		179		533		525
Income taxes
Federal income taxes at 21% corporate rate	39		35		38		42		38		112		110
Tax adjustments (1)	(8)		(6)		(9)		(12)		(17)		(23)		(35)
Total taxes	31		29		29		30		21		89		75
Effective tax rate (2)	16.7	%	17.2	%	16.0	%	14.9	%	11.7	%	16.6	%	14.4	%

Prepayment fees and alternative investment income above (below) long-term expectations (3)
Before income taxes	61		(129)		6		21		6		(61)		7
Income taxes
Federal income taxes at 21% corporate rate	13		(27)		1		4		1		(13)		1

Total taxes	13		(27)		1		4		1		(13)		1
Effective tax rate (2)	21.0	%	21.0	%	21.0	%	21.0	%	21.0	%	21.0	%	21.0	%

DAC/VOBA and other intangibles unlocking
Before income taxes	(172)		9		(16)		(10)		(29)		(179)		(20)
Income taxes
Federal income taxes at 21% corporate rate	(36)		2		(3)		(2)		(6)		(38)		(4)

Total taxes	(36)		2		(3)		(2)		(6)		(38)		(4)
Effective tax rate (2)	21.0	%	21.0	%	21.0	%	21.0	%	21.0	%	21.0	%	21.0	%

Individual Life transaction stranded costs (4)
Before income taxes	(34)		(32)		(36)		(33)		(34)		(102)		(99)
Income taxes
Federal income taxes at 21% corporate rate	(7)		(7)		(8)		(7)		(7)		(21)		(21)
Total taxes	(7)		(7)		(8)		(7)		(7)		(21)		(21)
Effective tax rate (2)	21.0	%	21.0	%	21.0	%	21.0	%	21.0	%	21.0	%	21.0	%

Adjusted operating earnings
Before income taxes	40		17		134		178		122		190		413
Income taxes
Federal income taxes at 21% corporate rate	8		4		28		37		26		40		87
Tax adjustments (1)	(8)		(6)		(9)		(12)		(17)		(23)		(35)
Total taxes	—		(3)		19		25		9		17		52
Effective tax rate (2)	0.9	%	(17.6)	%	14.3	%	14.2	%	7.5	%	8.7	%	12.6	%

(1) Includes tax adjustments for the dividends received deduction (DRD) related to certain qualified dividends that are not subject to federal income taxes and tax credits, less certain expense items that are not deductible for federal income taxes such as preferred stock dividends, certain compensation expenses, etc.
(2) Effective tax rate calculations are based on un-rounded numbers.
(3) The amount by which Investment income from prepayment fees and alternative investments exceeds or is less than our long-term expectations reported on a pre-DAC basis.
(4) For periods ended on or prior to the closing of the Individual Life Transaction, Stranded Costs associated with the Individual Life Transaction where the corresponding revenue is now reported in discontinued operations or in businesses exited or to be exited through reinsurance or divestment; for periods after the closing of the Individual Life Transaction any remaining Stranded Costs and the associated revenues from future TSAs will be reported in normalized adjusted operating earnings.


Voya Financial						Page 9 of 44

Consolidated Statements of Operations


	Three Months Ended					Year-to-Date
(in millions USD)	9/30/2020	6/30/2020	3/31/2020	12/31/2019	9/30/2019	9/30/2020	9/30/2019

Revenues
Net investment income	800	586	698	735	687	2,084	2,057
Fee income	507	458	505	510	494	1,470	1,459
Premiums	604	607	608	556	565	1,819	1,717
Net realized capital gains (losses)	(70)	(1)	(233)	(159)	(20)	(304)	(7)
Other revenues	90	81	92	140	106	263	325
Income (loss) related to consolidated investment entities	140	(68)	15	28	43	87	115
Total revenues	2,071	1,663	1,685	1,810	1,875	5,419	5,666

Benefits and expenses
Interest credited and other benefits to contract owners/policyholders	(1,299)	(997)	(882)	(862)	(1,003)	(3,178)	(2,888)
Operating expenses	(630)	(643)	(640)	(767)	(627)	(1,913)	(1,979)
Net amortization of DAC/VOBA	(241)	(19)	(76)	(63)	(36)	(336)	(136)
Interest expense	(40)	(40)	(40)	(41)	(51)	(120)	(135)
Operating expenses related to consolidated investment entities	(6)	(12)	(3)	(11)	(9)	(21)	(34)
Total benefits and expenses	(2,216)	(1,711)	(1,641)	(1,744)	(1,726)	(5,568)	(5,172)
Income (loss) from continuing operations before income taxes	(145)	(48)	44	66	149	(149)	494
Less:
Net investment gains (losses) and related charges and adjustments	29	42	(8)	(47)	14	63	73
Net guaranteed benefit hedging gains (losses) and related charges and adjustments	16	38	(89)	8	(12)	(36)	(22)
Income (loss) related to businesses exited or to be exited through reinsurance or divestment	(342)	(55)	9	18	31	(387)	80
Income (loss) attributable to noncontrolling interests	106	(79)	6	6	19	33	44
Income (loss) on early extinguishment of debt	—	—	—	—	(12)	—	(12)
Immediate recognition of net actuarial gains (losses) related to pension and other postretirement benefit obligations and gains (losses) from plan amendments and curtailments	—	—	—	(63)	—	—	66
Dividend payments made to preferred shareholders	14	4	14	4	14	32	24
Other adjustments	(8)	(15)	(22)	(38)	(27)	(45)	(172)
Adjusted operating earnings before income taxes (1)	40	17	134	178	122	190	413

(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 35 of this document.


Voya Financial						Page 10 of 44

Consolidated Adjusted Operating Earnings Before Income Taxes


	Three Months Ended					Year-to-Date
(in millions USD)	9/30/2020	6/30/2020	3/31/2020	12/31/2019	9/30/2019	9/30/2020	9/30/2019
Consolidated Adjusted Operating Earnings Before Income Taxes
Adjusted operating revenues
Net investment income and net realized gains (losses)	523	336	479	498	479	1,338	1,433
Fee income	391	361	388	396	392	1,140	1,131
Premiums	494	506	502	459	460	1,502	1,405
Other revenue	26	22	28	68	34	76	120
Adjusted operating revenues (1)	1,434	1,225	1,397	1,421	1,365	4,056	4,089

Adjusted operating benefits and expenses
Interest credited and other benefits to contract owners/policyholders	(623)	(629)	(607)	(591)	(590)	(1,859)	(1,802)
Operating expenses	(519)	(515)	(558)	(564)	(537)	(1,592)	(1,608)
Net amortization of DAC/VOBA	(196)	(16)	(41)	(40)	(57)	(253)	(108)
Interest expense (2)	(57)	(48)	(57)	(48)	(59)	(162)	(158)
Adjusted operating benefits and expenses	(1,395)	(1,208)	(1,263)	(1,243)	(1,243)	(3,866)	(3,676)
Adjusted operating earnings before income taxes (1)	40	17	134	178	122	190	413


Adjusted Operating Revenues and Adjusted Operating Earnings by Segment
Adjusted operating revenues
Retirement	718	559	677	701	675	1,954	2,011
Investment Management	173	129	166	197	167	467	478
Employee Benefits	541	530	543	500	503	1,615	1,526

Corporate	2	7	11	23	20	20	74
Adjusted operating revenues (1)	1,434	1,225	1,397	1,421	1,365	4,056	4,089

Adjusted operating earnings
Retirement	25	37	124	162	117	185	426
Investment Management	47	20	40	59	46	106	121
Employee Benefits	56	36	61	55	57	154	144

Corporate	(88)	(75)	(91)	(98)	(98)	(254)	(278)
Adjusted operating earnings before income taxes (1)	40	17	134	178	122	190	413

(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 35 of this document.
(2) Includes dividend payments made to preferred shareholders.


Voya Financial						Page 11 of 44

Adjusted Operating Earnings by Segment


	Three Months Ended September 30, 2020
(in millions USD)	Retirement	Investment Management	Employee Benefits	Corporate	Consolidated

Adjusted operating revenues
Net investment income and net realized gains (losses)	473	16	33	1	523
Fee income	222	154	15	—	391
Premiums	—	—	494	—	494
Other revenue	23	4	(1)	1	26
Adjusted operating revenues (1)	718	173	541	2	1,434

Adjusted operating benefits and expenses
Interest credited and other benefits to contract owners/policyholders	(249)	—	(372)	(2)	(623)
Operating expenses	(254)	(126)	(108)	(30)	(519)
Net amortization of DAC/VOBA	(190)	—	(6)	—	(196)
Interest expense (2)	—	—	—	(57)	(57)
Adjusted operating benefits and expenses	(693)	(126)	(485)	(90)	(1,395)
Adjusted operating earnings before income taxes (1)	25	47	56	(88)	40


	Three Months Ended September 30, 2019
	Retirement	Investment Management	Employee Benefits	Corporate	Consolidated
Adjusted operating revenues
Net investment income and net realized gains (losses)	437	5	29	8	479
Fee income	218	158	16	—	392
Premiums	(1)	—	460	1	460
Other revenue	21	4	(2)	11	34
Adjusted operating revenues (1)	675	167	503	20	1,365

Adjusted operating benefits and expenses
Interest credited and other benefits to contract owners/policyholders	(238)	—	(341)	(11)	(590)
Operating expenses	(267)	(121)	(101)	(48)	(537)
Net amortization of DAC/VOBA	(53)	—	(4)	—	(57)
Interest expense (2)	—	—	—	(59)	(59)
Adjusted operating benefits and expenses	(558)	(121)	(446)	(118)	(1,243)
Adjusted operating earnings before income taxes (1)	117	46	57	(98)	122

(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 35 of this document.
(2) Includes dividend payments made to preferred shareholders.


Voya Financial						Page 12 of 44

Adjusted Operating Earnings by Segment


	Nine Months Ended September 30, 2020
(in millions USD)	Retirement	Investment Management	Employee Benefits	Corporate	Consolidated

Adjusted operating revenues
Net investment income and net realized gains (losses)	1,246	(3)	80	16	1,338
Fee income	635	459	46	—	1,140
Premiums	8	—	1,494	—	1,502
Other revenue	65	12	(5)	4	76
Adjusted operating revenues (1)	1,954	467	1,615	20	4,056

Adjusted operating benefits and expenses
Interest credited and other benefits to contract owners/policyholders	(724)	—	(1,119)	(16)	(1,859)
Operating expenses	(806)	(361)	(327)	(96)	(1,592)
Net amortization of DAC/VOBA	(238)	—	(15)	—	(253)
Interest expense (2)	—	—	—	(162)	(162)
Adjusted operating benefits and expenses	(1,769)	(361)	(1,461)	(274)	(3,866)
Adjusted operating earnings before income taxes (1)	185	106	154	(254)	190


	Nine Months Ended September 30, 2019
	Retirement	Investment Management	Employee Benefits	Corporate	Consolidated
Adjusted operating revenues
Net investment income and net realized gains (losses)	1,301	10	84	38	1,433
Fee income	628	455	48	—	1,131
Premiums	4	—	1,399	2	1,405
Other revenue	78	13	(5)	34	120
Adjusted operating revenues (1)	2,011	478	1,526	74	4,089

Adjusted operating benefits and expenses
Interest credited and other benefits to contract owners/policyholders	(707)	—	(1,066)	(29)	(1,802)
Operating expenses	(783)	(357)	(303)	(165)	(1,608)
Net amortization of DAC/VOBA	(95)	—	(13)	—	(108)
Interest expense (2)	—	—	—	(158)	(158)
Adjusted operating benefits and expenses	(1,585)	(357)	(1,382)	(352)	(3,676)
Adjusted operating earnings before income taxes (1)	426	121	144	(278)	413

(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 35 of this document.
(3) Includes dividend payments made to preferred shareholders.


Voya Financial						Page 13 of 44

Consolidated Balance Sheets


	Balances as of
(in millions USD)	9/30/2020	6/30/2020	3/31/2020	12/31/2019	9/30/2019
Assets
Total investments	56,081	55,536	52,570	53,687	54,159
Cash and cash equivalents	1,052	1,110	1,033	1,181	1,155
Assets held in separate accounts	82,879	78,521	68,937	81,670	78,714
Premium receivable and reinsurance recoverable, net	3,657	3,767	3,722	3,732	3,871
Short term investments under securities loan agreement and accrued investment income	1,209	2,166	2,724	1,900	2,114
Deferred policy acquisition costs, Value of business acquired	1,669	1,967	2,603	2,226	2,198
Current and deferred income taxes (1)	1,314	1,326	1,769	1,458	1,029
Other assets (2)	812	836	1,086	902	1,120
Assets related to consolidated investment entities	2,613	1,782	2,155	2,226	2,189
Assets held for sale	20,180	19,923	19,133	20,069	21,076
Total Assets	171,466	166,934	155,732	169,051	167,625
Liabilities
Future policy benefits and contract owner account balances	52,482	51,658	51,621	50,868	51,131
Liabilities related to separate accounts	82,879	78,521	68,937	81,670	78,714
Payables under securities loan agreements, including collateral held	575	1,608	2,065	1,373	1,499
Short-term debt	1	1	1	1	1
Long-term debt	3,043	3,043	3,042	3,042	3,041
Other liabilities (3)	2,237	2,906	2,789	2,243	2,360
Liabilities related to consolidated investment entities	1,372	874	1,040	1,126	1,212
Liabilities held for sale	18,232	18,034	17,972	18,498	18,401
Total Liabilities	160,821	156,645	147,467	158,821	156,359
Shareholders' Equity
Preferred stock	—	—	—	—	—
Common stock	2	2	2	2	3
Treasury stock	(889)	(887)	(882)	(460)	(5,955)
Additional paid-in capital	11,213	11,227	11,232	11,184	24,671
Retained earnings (deficit)	(5,152)	(4,833)	(4,766)	(4,649)	(11,665)
Total Voya Financial, Inc. Shareholders' Equity - Excluding AOCI	5,174	5,509	5,586	6,077	7,054
Accumulated other comprehensive income	4,483	4,039	1,841	3,331	3,497
Total Voya Financial, Inc. Shareholders' Equity	9,657	9,548	7,427	9,408	10,551
Noncontrolling interest	988	741	838	822	715
Total Shareholders' Equity	10,645	10,289	8,265	10,230	11,266
Total Liabilities and Shareholders' Equity	171,466	166,934	155,732	169,051	167,625

(1) Current and deferred income taxes:
Deferred Tax Asset primarily related to Federal NOL's	1,884	1,961	2,129	2,017	2,274
Tax valuation allowance related to Federal NOL's	(194)	(194)	(194)	(194)	(445)
Deferred Tax Asset (Liability) related to Unrealized Capital Gains and Losses	(1,096)	(978)	(394)	(789)	(833)
Other Net Deferred Tax Asset (Liability) related to DAC, reserves, and other temporary differences	720	537	228	424	33
Total Current and deferred income taxes	1,314	1,326	1,769	1,458	1,029
Gross Unrealized Gains (losses) reflected in AOCI	5,220	4,657	1,875	3,759	3,968
21% Tax Effect	(1,096)	(978)	(394)	(789)	(833)
(2) Includes Other assets, Sales inducements to contract holders, Goodwill and other intangible assets.
(3) Includes Other liabilities, Derivatives, Pension and other postretirement provisions, Funds held under reinsurance agreements, and Current income taxes.


Voya Financial						Page 14 of 44

DAC/VOBA Segment Trends


	Three Months Ended					Year-to-Date
(in millions USD)	9/30/2020	6/30/2020	3/31/2020	12/31/2019	9/30/2019	9/30/2020	9/30/2019
Retirement
Balance as of Beginning-of-Period	489	1,004	667	632	834	667	1,271
Deferrals of commissions and expenses	16	17	15	18	5	48	40
Amortization	(35)	(29)	(23)	(22)	(41)	(87)	(100)
Unlocking	(154)	38	(22)	(13)	(4)	(138)	39
Change in unrealized capital gains/losses (1)	(52)	(541)	367	52	(162)	(226)	(618)
Balance as of End-of-Period	264	489	1,004	667	632	264	632
Deferred Sales Inducements as of End-of-Period (2)	26	27	29	29	29	26	29
Other (3)
Balance as of Beginning-of-Period	125	129	118	113	116	118	106
Deferrals of commissions and expenses	11	10	11	11	11	32	39
Amortization	(7)	(6)	(6)	(3)	(4)	(19)	(13)
Unlocking	—	—	—	—	—	—	—
Change in unrealized capital gains/losses (1)	(3)	(8)	6	(3)	(10)	(5)	(19)
Balance as of End-of-Period	126	125	129	118	113	126	113
Total
Balance as of Beginning-of-Period	614	1,133	785	745	950	785	1,377
Deferrals of commissions and expenses	27	27	26	29	16	80	79
Amortization	(42)	(35)	(29)	(25)	(45)	(106)	(113)
Unlocking	(154)	38	(22)	(13)	(4)	(138)	39
Change in unrealized capital gains/losses (1)	(55)	(549)	373	49	(172)	(231)	(637)
Balance as of End-of-Period, excluding businesses to be exited through reinsurance or divestment	390	614	1,133	785	745	390	745
Balance as of End-of-Period, businesses to be exited through reinsurance or divestment (4)	1,279	1,353	1,470	1,441	1,453	1,279	1,453
Balance as of End-of-Period, including businesses to be exited through reinsurance or divestment	1,669	1,967	2,603	2,226	2,198	1,669	2,198

(1) Includes insignificant amounts related to the adoption of a new accounting standard (CECL) in Q1 '20.
(2) Deferred sales inducements in other segments are insignificant.
(3) Includes Employee Benefits.
(4) Represents amounts related to the Individual Life transaction.


Voya Financial						Page 15 of 44

Consolidated Capital Structure


	Balances as of
(in millions USD)	9/30/2020		6/30/2020		3/31/2020		12/31/2019		9/30/2019

Financial Debt
Senior bonds	1,943		1,943		1,941		1,941		1,941
Subordinated bonds	1,097		1,097		1,098		1,098		1,097
Other debt	4		4		4		4		4
Total Debt	3,044		3,044		3,043		3,043		3,042

Equity
Preferred equity (Excluding AOCI) (1)	612		612		612		612		612
Common equity (Excluding AOCI)	4,562		4,897		4,974		5,465		6,442
Total Equity (Excluding AOCI) (2)	5,174		5,509		5,586		6,077		7,054
Accumulated other comprehensive income (AOCI)	4,483		4,039		1,841		3,331		3,497
Total Voya Financial, Inc. Shareholders' Equity	9,657		9,548		7,427		9,408		10,551

Capital
Total Capitalization	12,701		12,592		10,470		12,451		13,593
Total Capitalization (Excluding AOCI) (2)	8,218		8,553		8,629		9,120		10,096

Debt to Capital
Debt to Capital	24.0	%	24.2	%	29.1	%	24.4	%	22.4	%
Adjusted Debt to Capital (2) (3)	33.7	%	32.4	%	32.1	%	30.4	%	27.4	%

(1) Includes Preferred stock par value and additional paid-in-capital.
(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 35 of this document.
(3) Includes 25% equity treatment afforded to subordinated debt, 100% equity treatment afforded to preferred stock and excludes AOCI.


Voya Financial						Page 16 of 44

Consolidated Assets Under Management, Assets Under Administration and Advisement


As of September 30, 2020
(in millions USD)	General Account	Separate Account (3)	Institutional/Mutual Funds	Total AUM - Assets Under Management	AUA - Assets Under Administration & Advisement (4)	Total AUM + AUA

Retirement (1)	34,382	78,388	62,884	175,654	306,892	482,546
Investment Management	57,815	28,752	151,633	238,200	53,241	291,441
Employee Benefits	1,864	15	—	1,879	—	1,879

Eliminations/Other	(36,246)	(22,803)	(11,083)	(70,132)	(48,256)	(118,388)
Total AUM and AUA (2)	57,815	84,352	203,434	345,601	311,877	657,478

(1) Includes wrapped funds as well as unwrapped Voya-managed funds.

(2) Includes AUM balances related to Individual Life, 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.
(3) Includes separate account balances related to Individual Life, Annuities and Variable Annuities businesses held for sale, which are reported as Assets held for sale on the balance sheet.
(4) Starting Q1 2019, AUA includes Assets Under Advisement. Retirement Assets under Administration and Advisement includes Recordkeeping, Stable Value investment-only wrap, Brokerage and Investment Advisory assets. Investment Management Assets under Administration and Advisement includes Mutual Fund, General Account and Stable Value assets where only administrative or ancillary services are performed.

Retirement


Voya Financial						Page 18 of 44

Retirement Sources of Normalized Adjusted Operating Earnings and Key Metrics


	Three Months Ended or As of											Year-to-Date or As of
(in millions USD)	9/30/2020		6/30/2020		3/31/2020		12/31/2019			9/30/2019		9/30/2020		9/30/2019
Sources of operating earnings before income taxes:



Gross investment income (normalized)	399		398		391		391			396		1,188		1,187
Investment expenses	(19)		(19)		(19)		(20)			(19)		(57)		(56)
Credited interest	(233)		(232)		(231)		(234)			(234)		(696)		(694)
Net margin	147		147		141		137			143		435		437
Other investment income (normalized) (1)	41		44		49		46			45		134		133
Investment spread and other investment income (normalized)	188		191		190		183		198	188		569		570





Full service fee based revenue	140		122		133		140			137		395		394
Recordkeeping and Other fee based revenue	112		99		113		119			111		324		330
Total fee based margin	251		220		246		259			248		717		724
Net underwriting gain (loss) and other revenue	(4)		(2)		(3)		(2)			(3)		(9)		—
Administrative expenses	(198)		(216)		(228)		(206)			(212)		(642)		(621)
Net Commissions	(57)		(53)		(52)		(55)			(54)		(162)		(159)
DAC/VOBA and other intangibles amortization, excluding unlocking	(29)		(21)		(20)		(28)			(26)		(70)		(79)
Normalized adjusted operating earnings before income taxes	152		120		133		151		141	141		405		435
Prepayment fees and alternative investment income above (below) long-term expectations	45		(92)		7		21			5		(41)		11
DAC/VOBA and other intangibles unlocking (2)	(172)		9		(16)		(10)			(29)		(179)		(20)
Adjusted operating earnings before income taxes	25		37		124		162			117		185		426
Adjusted Return on Capital (3)	11.8	%	10.9	%	13.6	%	13.2	%		13.2	%	11.8	%	13.2	%
Full Service Revenue (4)
Full Service Investment Spread and other investment income	218		97		187		194			182		502		546
Full Service Fee Based Revenue	140		122		133		140			137		395		394
Total Full Service Revenue	358		219		320		334			319		897		940

Client Assets
Spread Based	34,382		33,616		33,828		32,932			32,928		34,382		32,928
Fee Based	346,516		305,107		259,664		307,630			278,318		346,516		278,318
Retail Client Assets	59,739		57,783		52,579		63,108			60,221		59,739		60,221
Defined Contribution Investment-only Stable Value	41,909		40,784		39,806		36,373			36,343		41,909		36,343
Total Client Assets	482,546		437,290		385,877		440,043			407,810		482,546		407,810

(1) Includes investment income on assets backing surplus and income from policy loans.
(2) Includes $10 million reserve adjustment related to loss recognition in Q3 2020.
(3) Adjusted Return on Capital calculated using trailing twelve months.
(4) Excludes Net underwriting gain (loss) and other revenue.


Voya Financial						Page 19 of 44

Retirement Client Assets Rollforward by Product Group


	Three Months Ended					Year-to-Date
(in millions USD)	9/30/2020	6/30/2020	3/31/2020	12/31/2019	9/30/2019	9/30/2020	9/30/2019
Full service - Corporate markets
Client Assets, beginning of period	72,658	62,562	73,497	68,892	67,748	73,497	58,705
Transfers / Single deposits	1,605	821	1,179	1,310	1,338	3,605	3,518
Recurring deposits	1,714	1,689	2,059	1,596	1,653	5,462	5,142
Total Deposits	3,319	2,510	3,238	2,906	2,991	9,067	8,660
Surrenders, benefits, and product charges	(2,386)	(1,895)	(2,961)	(2,596)	(2,112)	(7,242)	(6,579)
Net Flows	933	616	277	310	879	1,826	2,081
Interest credited and investment performance	4,324	9,481	(11,212)	4,295	265	2,593	8,106
Client Assets, end of period - Corporate markets	77,915	72,658	62,562	73,497	68,892	77,915	68,892

Full service - Tax-exempt markets
Client Assets, beginning of period	68,926	62,504	70,109	66,636	65,978	70,109	60,514
Transfers / Single deposits	3,059	520	318	552	927	3,897	1,803
Recurring deposits	921	962	1,039	892	882	2,922	2,714
Total Deposits	3,980	1,482	1,357	1,444	1,809	6,819	4,517
Surrenders, benefits, and product charges	(1,383)	(2,025)	(1,305)	(1,488)	(1,416)	(4,713)	(4,760)
Net Flows	2,597	(543)	52	(43)	393	2,106	(244)
Interest credited and investment performance	3,231	6,965	(7,657)	3,231	265	2,539	6,366
Transfer between markets (5)	—	—	—	285	—	—	—
Client Assets, end of period - Tax-exempt markets	74,753	68,926	62,504	70,109	66,636	74,753	66,636

Full Service - Total
Client Assets, beginning of period	141,584	125,066	143,606	135,528	133,726	143,606	119,219
Transfers / Single deposits	4,664	1,341	1,497	1,862	2,265	7,502	5,321
Recurring deposits	2,635	2,651	3,098	2,488	2,535	8,384	7,856
Total Deposits	7,299	3,992	4,595	4,350	4,800	15,886	13,177
Surrenders, benefits, and product charges	(3,769)	(3,920)	(4,266)	(4,084)	(3,528)	(11,955)	(11,339)
Net Flows	3,530	73	329	267	1,272	3,932	1,837
Interest credited and investment performance	7,555	16,446	(18,869)	7,526	530	5,132	14,472
Transfer between markets (5)	—	—	—	285	—	—	—
Client Assets, end of period - Full Service Total	152,668	141,584	125,066	143,606	135,528	152,668	135,528

Full Service - Client Assets
Fee-based	120,121	109,748	93,016	112,477	104,422	120,121	104,422
Spread-based	32,547	31,836	32,050	31,129	31,106	32,547	31,106
Client Assets, end of period - Full Service Total	152,668	141,584	125,066	143,606	135,528	152,668	135,528


Voya Financial						Page 20 of 44

Retirement Client Assets Rollforward by Product Group


	Three Months Ended					Year-to-Date
(in millions USD)	9/30/2020	6/30/2020	3/31/2020	12/31/2019	9/30/2019	9/30/2020	9/30/2019
Recordkeeping
Client Assets, beginning of period	195,361	166,649	195,154	173,896	170,417	195,154	152,837
Transfers / Single deposits	22,627	4,998	2,345	24,806	4,086	29,970	5,687
Recurring deposits	3,349	3,631	4,361	3,219	3,148	11,341	10,109
Total Deposits	25,976	8,629	6,706	28,025	7,234	41,311	15,796
Surrenders, benefits, and product charges	(5,519)	(4,173)	(5,177)	(15,737)	(4,476)	(14,869)	(13,609)
Net Flows	20,457	4,456	1,529	12,288	2,758	26,442	2,187
Interest credited and investment performance	10,578	24,256	(30,034)	9,255	721	4,800	18,872
Transfer between markets (5)	—	—	—	(285)	—	—	—
Client Assets, end of period - Recordkeeping	226,396	195,361	166,649	195,154	173,896	226,396	173,896

Total Defined Contribution (1)
Client Assets, beginning of period	336,943	291,713	338,758	309,424	304,143	338,758	272,056
Transfers / Single deposits	27,291	6,340	3,843	26,667	6,351	37,474	11,008
Recurring deposits	5,984	6,282	7,458	5,707	5,684	19,724	17,965
Total Deposits	33,275	12,622	11,301	32,374	12,035	57,198	28,973
Surrenders, benefits, and product charges	(9,288)	(8,093)	(9,443)	(19,821)	(8,005)	(26,824)	(24,949)
Net Flows	23,987	4,529	1,858	12,553	4,030	30,374	4,024
Interest credited and investment performance	18,133	40,701	(48,903)	16,781	1,251	9,931	33,344
Client Assets, end of period - Total Defined Contribution	379,063	336,943	291,713	338,758	309,424	379,063	309,424

Defined Contribution Investment-only Stable Value (SV) (2)
Assets, beginning of period	40,784	39,807	36,374	36,343	35,679	36,374	34,078
Transfers / Single deposits	1,008	736	2,719	1,150	368	4,463	1,571
Recurring deposits	205	209	788	168	133	1,202	437
Total Deposits	1,213	945	3,507	1,318	501	5,665	2,008
Surrenders, benefits, and product charges	(639)	(583)	(913)	(1,314)	(620)	(2,135)	(2,043)
Net Flows	574	362	2,594	4	(119)	3,530	(35)
Interest credited and investment performance	550	615	839	27	783	2,004	2,300
Assets, end of period - Defined Contribution Investment-only SV	41,908	40,784	39,807	36,374	36,343	41,908	36,343

Retail Client Assets (3)	59,745	57,789	52,585	63,108	60,221	59,745	60,221

Other Assets (4)	1,828	1,774	1,771	1,802	1,822	1,828	1,822

Total Client Assets	482,546	437,290	385,877	440,043	407,810	482,546	407,810

(1) Total of Full Service and Recordkeeping
(2) Includes Stable Value Investment-only Wrap and Stable Value Separate Accounts.
(3) Includes assets of our Retail Wealth Management business, as well as assets in a proprietary IRA mutual fund product that is distributed by both VFA (affiliated) and non-affiliated advisors.
(4) Includes other guaranteed payout products.
(5) Transfer represents a plan moving from Recordkeeping to Full Service.

Investment Management


Voya Financial						Page 22 of 44

Investment Management Sources of Normalized Adjusted Operating Earnings


	Three Months Ended					Year-to-Date
(in millions USD)	9/30/2020	6/30/2020	3/31/2020	12/31/2019	9/30/2019	9/30/2020	9/30/2019

Sources of operating earnings before income taxes:
Investment capital and other investment income (normalized)	5	6	6	6	5	17	15
Fee based margin	157	150	162	193	162	469	468
Administrative expenses	(126)	(109)	(126)	(138)	(121)	(361)	(357)
Normalized adjusted operating earnings before income taxes	36	46	42	61	45	124	125
Prepayment fees and alternative investment income above (below) long-term expectations	11	(27)	(2)	(2)	—	(18)	(5)
Adjusted operating earnings before income taxes	47	20	40	59	46	106	121

Fee based margin
Investment advisory and administrative revenue	154	148	157	156	158	459	455
Other fee based margin	3	2	5	37	4	10	13
Fee based margin (normalized)	157	150	162	193	162	469	468


Voya Financial						Page 23 of 44

Investment Management Analysis of AUM and AUA


	Three Months Ended					Year-to-Date
(in millions USD)	9/30/2020	6/30/2020	3/31/2020	12/31/2019	9/30/2019	9/30/2020	9/30/2019
Client Assets:
External Clients
Institutional	110,019	105,573	93,662	94,424	92,912	110,019	92,912
Retail	70,367	67,359	60,168	72,398	68,014	70,367	68,014
Subtotal External Clients	180,385	172,932	153,830	166,822	160,926	180,385	160,926
General Account	57,815	56,997	56,873	56,651	56,336	57,815	56,336
Total Client Assets (AUM)	238,200	229,929	210,703	223,473	217,262	238,200	217,262
Administration Only Assets (AUA)	53,241	51,971	46,969	49,257	50,031	53,241	50,031
Total AUM and AUA	291,441	281,900	257,672	272,730	267,293	291,441	267,293


Investment Advisory and Administrative Revenues (1)
External Clients
Institutional	69	65	65	65	67	200	194
Retail	51	50	57	58	58	158	165
Subtotal External Clients	121	115	123	124	125	359	357
General Account	29	29	29	28	28	87	85
Total Investment Advisory and Administrative Revenues (AUM)	150	144	152	152	153	446	442
Administration Only Fees	4	4	5	4	5	13	13
Total Investment Advisory and Administrative Revenues	154	148	157	156	158	459	455


Revenue Yield (bps) (1)
External Clients
Institutional	25.6	25.7	27.5	27.8	29.0	26.2	28.9
Retail	29.9	30.9	33.5	33.5	34.4	30.9	33.3
Revenue Yield on External Clients	27.3	27.7	30.0	30.3	31.3	28.0	30.8
General Account	20.5	20.4	20.2	20.2	20.3	20.4	20.1
Revenue Yield on Client Assets (AUM)	25.6	25.9	27.5	27.7	28.4	26.1	27.9
Revenue Yield on Administration Only Assets (AUA)	3.5	3.3	4.3	3.4	3.6	3.5	3.3
Total Revenue Yield on AUM and AUA (bps)	21.6	21.7	23.3	23.2	23.7	22.0	23.3

Revenue Yield on Client Assets (AUM) - trailing twelve months	26.5	27.3	27.9	27.9	28.1	26.5	28.1

(1) Investment Advisory and Administrative Revenues and resulting Revenue Yields exclude any performance fees.


Voya Financial						Page 24 of 44

Investment Management Account Rollforward by Source


	Three Months Ended										Year-to-Date
(in millions USD)	9/30/2020		6/30/2020		3/31/2020		12/31/2019		9/30/2019		9/30/2020		9/30/2019
Institutional AUM:
Beginning of period AUM	105,573		93,662		94,424		92,912		91,116		94,424		85,918
Inflows	5,046		10,096		4,417		3,233		2,478		19,559		9,032
Outflows	(3,312)		(3,045)		(2,313)		(2,860)		(2,105)		(8,670)		(6,202)
Subtotal Investment Management Sourced Institutional Net Flows	1,734		7,051		2,104		373		373		10,889		2,830
Affiliate Sourced Institutional Inflows	600		694		1,674		610		426		2,968		2,240
Affiliate Sourced Institutional Outflows	(524)		(631)		(695)		(463)		(467)		(1,850)		(2,861)
Subtotal Affiliate Sourced Net Flows	76		63		979		147		(41)		1,118		(621)
Net flows- Institutional AUM	1,810		7,114		3,083		520		332		12,007		2,209
Net Money Market Flows	55		—		—		—		—		55		—
Change in Market Value	2,579		4,797		(3,845)		1,028		1,196		3,531		4,521
Other (Including Acquisitions / Divestitures) (1)	2		—		—		(36)		268		2		264
End of period AUM- Institutional	110,019		105,573		93,662		94,424		92,912		110,019		92,912
Organic Growth (Net Flows/Beginning of period AUM)	1.7	%	7.6	%	3.3	%	0.6	%	0.4	%	12.7	%	2.6	%
Market Growth %	2.4	%	5.1	%	-4.1	%	1.1	%	1.3	%	3.7	%	5.3	%
Retail AUM:
Beginning of period AUM	67,359		60,168		72,398		68,014		67,189		72,398		61,257
Inflows	1,958		1,892		2,700		2,204		2,153		6,550		5,794
Outflows	(1,589)		(1,923)		(2,996)		(1,665)		(1,189)		(6,508)		(5,067)
Sub-advised Retail Net Flows	(21)		(12)		(148)		(130)		(29)		(181)		(391)
Subtotal Investment Management Sourced Retail Net Flows (2)	348		(43)		(444)		409		935		(139)		336
Affiliate Sourced Retail Inflows	623		559		770		627		669		1,952		1,900
Affiliate Sourced Retail Outflows	(962)		(804)		(1,235)		(882)		(813)		(3,001)		(2,519)
Subtotal Affiliate Sourced Retail Net Flows (2)	(339)		(245)		(465)		(255)		(144)		(1,049)		(619)
Variable Annuity Net Flows	(605)		(520)		(702)		(839)		(621)		(1,827)		(1,787)
Inflows from Sub-advisor Replacements	—		—		—		1,690		219		—		1,116
Net flows- Retail AUM	(596)		(808)		(1,611)		1,005		389		(3,015)		(954)
Net Money Market Flows	32		2		320		—		16		354		(133)
Change in Market Value	3,632		8,300		(10,077)		3,490		691		1,855		8,481
Other (Including Acquisitions / Divestitures) (1)	(61)		(303)		(862)		(111)		(271)		(1,226)		(637)
End of period AUM- Retail	70,367		67,359		60,168		72,398		68,014		70,367		68,014
Retail Organic Growth excluding Variable Annuity Net Flows and Sub-advisor Replacements (Net Flows / Beginning of period AUM)	—	%	-0.5	%	-1.3	%	0.2	%	1.2	%	-1.6	%	-0.5	%
Market Growth %	5.4	%	13.8	%	-13.9	%	5.1	%	1.0	%	2.6	%	13.8	%
Total Investment Management Sourced Net Flows (2)	2,083		7,007		1,660		783		1,307		10,750		3,165
Total Affiliate Sourced Net Flows (2)	(264)		(182)		515		(109)		(184)		69		(1,239)
Total Variable Annuity Net Flows (1)	(605)		(520)		(702)		(839)		(621)		(1,827)		(1,787)
Total Inflows from Sub-advisor Replacements (3)	—		—		—		1,690		219		—		1,116
Total Net Flows	1,214		6,306		1,473		1,525		721		8,993		1,255
Net Flows excluding Variable Annuity Net Flows and Sub-advisor Replacements	1,819		6,826		2,175		674		1,123		10,820		1,926
Total External Clients Organic Growth (Net Flows (excludes VA and Sub-advisor Replacement) / Beginning of period AUM) (2)	1.1	%	4.4	%	1.3	%	0.4	%	0.7	%	6.5	%	1.3	%

(1) Includes Assets Under Management and Net Flows associated with the Variable Annuities business divested in June 2018.
(2) Affiliate Sourced Net Flows include Retirement distribution of Voya Investment Management retail funds.
(3) Reflects net flows mainly associated with outside managed funds.


Voya Financial						Page 25 of 44

Investment Management Account Value by Asset Type


	Balances as of
(in millions USD)	9/30/2020		6/30/2020		3/31/2020		12/31/2019		9/30/2019
Institutional
Equity	22,197		20,415		19,158		21,993		22,561
Fixed Income	87,822		85,158		74,504		72,431		70,351
Real Estate	—		—		—		—		—
Money Market	—		—		—		—		—
Total	110,019		105,573		93,662		94,424		92,912
Retail
Equity	41,285		39,667		34,182		44,567		41,149
Fixed Income	27,309		25,942		24,236		25,614		24,496
Real Estate	—		—		—		791		947
Money Market	1,773		1,750		1,750		1,426		1,422
Total	70,367		67,359		60,168		72,398		68,014
General Account
Equity	451		314		307		298		311
Fixed Income	56,254		55,505		55,544		55,126		54,962
Real Estate	—		—		—		—		—
Money Market	1,110		1,178		1,022		1,227		1,063
Total	57,815		56,997		56,873		56,651		56,336
Combined Asset Type
Equity	63,933		60,396		53,647		66,858		64,020
Fixed Income	171,384		166,605		154,284		153,171		149,810
Real Estate	—		—		—		791		947
Money Market	2,883		2,928		2,772		2,653		2,485
Total	238,200		229,929		210,703		223,473		217,262

Total Specialty Assets	72,064		69,973		69,523		69,827		68,330
% of Specialty Assets / Total AUM	30.3	%	30.4	%	33.0	%	31.2	%	31.5	%

Total Retirement and Wealth Management Assets	105,757		101,306		95,781		103,535		100,840
% of Retirement and Wealth Management Assets / Total AUM	44.4	%	44.1	%	45.5	%	46.3	%	46.4	%

Employee Benefits


Voya Financial						Page 27 of 44

Employee Benefits Sources of Normalized Adjusted Operating Earnings


	Three Months Ended										Year-to-Date
(in millions USD)	9/30/2020		6/30/2020		3/31/2020		12/31/2019		9/30/2019		9/30/2020		9/30/2019
Sources of operating earnings before income taxes:



Gross investment income (normalized)	23		24		22		23		23		69		69
Investment expenses	(1)		(1)		(1)		(1)		—		(3)		(2)
Credited interest	(14)		(14)		(14)		(14)		(14)		(42)		(42)

Net margin	8		9		7		8		9		24		25


Other investment income (normalized)	6		4		7		5		6		17		17
Investment spread and other investment income (normalized)	14		13		14		13		15		41		42
Net underwriting gain (loss) and other revenue	149		145		164		145		147		458		419
Administrative expenses	(66)		(66)		(70)		(60)		(63)		(201)		(188)
Net commissions	(41)		(42)		(43)		(42)		(39)		(126)		(117)
DAC/VOBA and other intangibles amortization, excluding unlocking	(6)		(4)		(5)		(3)		(4)		(15)		(13)
Normalized adjusted operating earnings before income taxes	51		46		60		53		56		157		143
Prepayment fees and alternative investment income above (below) long-term expectations	6		(10)		1		2		1		(3)		1
DAC/VOBA and other intangibles unlocking	—		—		—		—		—		—		—
Adjusted operating earnings before income taxes	56		36		61		55		57		154		144
Adjusted Return on Capital (1)	31.0	%	31.7	%	34.1	%	31.0	%	29.8	%	31.0	%	29.8	%

Group life:
Premiums	133		133		130		132		133		396		394
Benefits	(109)		(112)		(102)		(95)		(101)		(323)		(302)
Other (2)	(1)		(2)		(1)		(4)		(2)		(4)		(6)
Total Group life	23		19		27		33		30		69		86
Group Life Loss Ratio (Interest adjusted)	81.9	%	83.8	%	78.1	%	72.2	%	76.3	%	81.3	%	76.7	%
Group stop loss:
Premiums	268		266		264		250		250		798		759
Benefits	(214)		(208)		(193)		(193)		(196)		(615)		(597)
Other (2)	(1)		(1)		(1)		(1)		(1)		(3)		(3)
Total Group stop loss	53		57		70		56		53		180		159
Stop loss Loss Ratio	79.8	%	78.1	%	73.2	%	77.2	%	78.6	%	77.1	%	78.8	%
Voluntary Benefits, Disability, and Other	73		66		67		56		65		206		175

Net underwriting gain (loss) and other revenue
Premiums	516		519		515		481		482		1,550		1,455
Benefits	(364)		(374)		(349)		(331)		(331)		(1,087)		(1,026)
Other (2)	(2)		(3)		(2)		(5)		(3)		(7)		(9)
Total Net underwriting gain (loss) and other revenue	149		145		164		145		147		458		420
Total Aggregate Loss Ratio (1)	69.7	%	69.3	%	69.1	%	70.2	%	71.0	%	69.7	%	71.0	%

(1) Adjusted Return on Capital and Total Aggregate Loss Ratio are 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 28 of 44

Employee Benefits Key Metrics


	Three Months Ended or As of					Year-to-Date or As of
(in millions USD)	9/30/2020	6/30/2020	3/31/2020	12/31/2019	9/30/2019	9/30/2020	9/30/2019

Sales by Product Line:
Group life and Disability	11	21	81	9	7	113	124
Stop loss	35	17	241	12	25	293	270
Voluntary	8	41	80	8	6	129	106

Total sales by product line	54	79	402	29	38	535	500

Total gross premiums and deposits	554	563	560	511	515	1,677	1,568

Annualized In-force Premiums by Product Line:
Group life and Disability	702	716	704	710	715	702	715
Stop loss	1,091	1,075	1,084	1,038	1,037	1,091	1,037
Voluntary	474	477	483	390	392	474	392

Total annualized in-force premiums	2,267	2,268	2,271	2,138	2,144	2,267	2,144

Assets Under Management by Fund Group
General account	1,864	1,856	1,767	1,782	1,896	1,864	1,896
Separate account	15	14	13	15	15	15	15
Total AUM	1,879	1,870	1,780	1,797	1,911	1,879	1,911

Corporate


Voya Financial						Page 30 of 44

Corporate Adjusted Operating Earnings


	Three Months Ended					Year-to-Date
(in millions USD)	9/30/2020	6/30/2020	3/31/2020	12/31/2019	9/30/2019	9/30/2020	9/30/2019

Interest expense (excluding Preferred stock dividends) (1)	(43)	(44)	(43)	(43)	(45)	(130)	(133)
Preferred stock dividends	(14)	(4)	(14)	(4)	(14)	(32)	(24)
Amortization of intangibles	(6)	(8)	(9)	(9)	(9)	(23)	(26)
Other	9	13	11	(9)	4	33	4
Normalized adjusted operating earnings before income taxes	(54)	(43)	(55)	(65)	(64)	(152)	(179)
Individual Life transaction stranded costs (2)	(34)	(32)	(36)	(33)	(34)	(102)	(99)
Adjusted operating earnings before income taxes	(88)	(75)	(91)	(98)	(98)	(254)	(278)

(1) Includes interest expense related to intercompany loans and other operating expenses related to financing agreements.
(2) For periods ended on or prior to the closing of the Individual Life Transaction, Stranded Costs associated with the Individual Life Transaction where the corresponding revenue is now reported in discontinued operations or in businesses exited or to be exited through reinsurance or divestment; for periods after the closing of the Individual Life Transaction any remaining Stranded Costs and the associated revenues from future TSAs will be reported in normalized adjusted operating earnings.

Investment Information


Voya Financial						Page 32 of 44

Portfolio Composition


	Balances as of
(in millions USD)	9/30/2020			6/30/2020			3/31/2020			12/31/2019			9/30/2019
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	42,330	75.5	%	40,938	73.7	%	37,584	71.5	%	39,663	74.0	%	39,718	73.4	%
Fixed maturities, at fair value using the fair value option	3,014	5.4	%	3,098	5.6	%	2,855	5.4	%	2,707	5.0	%	2,676	4.9	%


Equity securities, available for sale, at fair value	371	0.7	%	225	0.4	%	176	0.3	%	196	0.4	%	335	0.6	%
Short-term investments	70	0.1	%	73	0.1	%	80	0.2	%	68	0.1	%	122	0.2	%
Mortgage loans on real estate, net	6,762	12.0	%	6,830	12.3	%	6,947	13.1	%	6,878	12.8	%	6,927	12.8	%

Policy loans	735	1.3	%	746	1.3	%	763	1.5	%	776	1.4	%	788	1.5	%
Limited partnerships/corporations, before consolidation	1,637	N/M		1,540	N/M		1,619	N/M		1,625	N/M		1,554	N/M
CLO/VOEs Adjustments (1)	(254)	N/M		(164)	N/M		(276)	N/M		(335)	N/M		(312)	N/M
Limited partnerships/corporations, after consolidation	1,383	2.5	%	1,376	2.5	%	1,343	2.6	%	1,290	2.4	%	1,242	2.3	%
Derivatives	270	0.5	%	809	1.5	%	875	1.7	%	316	0.6	%	439	0.8	%
Other investments	319	0.5	%	319	0.6	%	392	0.7	%	385	0.7	%	383	0.7	%
Securities pledged to creditors	827	1.5	%	1,122	2.0	%	1,555	3.0	%	1,408	2.6	%	1,529	2.8	%
Total investments, after consolidation	56,081	100.0	%	55,536	100.0	%	52,570	100.0	%	53,687	100.0	%	54,159	100.0	%
Fixed Maturity Securities - Security Sector (2)
U.S. Government agencies and authorities	1,644	3.5	%	1,647	3.6	%	1,695	4.0	%	1,477	3.4	%	1,538	3.5	%
U.S. Corporate - Public	15,689	34.2	%	15,042	33.3	%	13,956	33.2	%	14,938	34.0	%	15,157	34.5	%
U.S. Corporate - Private	6,199	13.4	%	6,219	13.8	%	5,643	13.4	%	6,035	13.8	%	6,000	13.6	%
Foreign Government / Agency	709	1.5	%	689	1.5	%	693	1.7	%	693	1.6	%	699	1.6	%
Foreign Corporate - Public	3,865	8.4	%	3,671	8.2	%	3,313	7.9	%	3,648	8.4	%	3,662	8.3	%
Foreign Corporate - Private	4,724	10.2	%	4,653	10.3	%	4,416	10.5	%	4,831	11.0	%	4,768	10.9	%
State, municipalities and political subdivisions	1,353	2.9	%	1,368	3.0	%	1,315	3.1	%	1,323	3.0	%	1,362	3.1	%
CMO-B	3,662	7.9	%	3,887	8.6	%	3,700	8.8	%	3,433	7.7	%	3,496	8.0	%
Agency	616	1.3	%	665	1.5	%	954	2.3	%	643	1.5	%	707	1.6	%
Non-Agency (3)	1,452	3.1	%	1,429	3.2	%	987	2.4	%	1,164	2.7	%	1,105	2.5	%
Total Residential mortgage-backed securities	5,730	12.3	%	5,981	13.3	%	5,641	13.5	%	5,240	11.9	%	5,308	12.1	%
Commercial mortgage-backed securities	4,203	9.1	%	3,847	8.5	%	3,484	8.3	%	3,574	8.2	%	3,379	7.7	%
Other asset-backed securities (3)	2,055	4.5	%	2,041	4.5	%	1,838	4.4	%	2,019	4.7	%	2,050	4.7	%
Total fixed maturities, including securities pledged (4)	46,171	100.0	%	45,158	100.0	%	41,994	100.0	%	43,778	100.0	%	43,923	100.0	%
Fixed Maturity Securities - Contractual Maturity Dates, Due to mature:
Due in one year or less	1,266	2.7	%	1,281	2.8	%	1,227	2.9	%	1,120	2.6	%	945	2.2	%
Due after one year through five years	5,311	11.5	%	5,259	11.6	%	5,019	12.0	%	5,638	12.9	%	5,975	13.6	%
Due after five years through ten years	8,529	18.5	%	8,652	19.2	%	8,117	19.3	%	8,667	19.8	%	8,434	19.2	%
Due after ten years	19,077	41.3	%	18,097	40.1	%	16,668	39.7	%	17,520	40.0	%	17,845	40.6	%
CMO-B	3,662	7.9	%	3,887	8.6	%	3,700	8.8	%	3,433	7.7	%	3,495	8.0	%
Mortgage-backed securities	6,271	13.6	%	5,941	13.2	%	5,425	12.9	%	5,381	12.4	%	5,191	11.8	%
Other asset-backed securities (3)	2,055	4.5	%	2,041	4.5	%	1,838	4.4	%	2,019	4.6	%	2,038	4.6	%
Total fixed maturities, including securities pledged (4)	46,171	100.0	%	45,158	100.0	%	41,994	100.0	%	43,778	100.0	%	43,923	100.0	%
Fixed Maturity Securities - NAIC Quality Designation
1	24,651	53.4	%	24,379	54.0	%	23,284	55.4	%	23,779	54.2	%	24,267	55.2	%
2	19,543	42.3	%	18,747	41.5	%	17,033	40.5	%	18,149	41.5	%	17,795	40.5	%
3	1,367	3.0	%	1,460	3.2	%	1,249	3.0	%	1,324	3.0	%	1,373	3.1	%
4	497	1.0	%	445	1.0	%	329	0.8	%	378	0.9	%	345	0.8	%
5	81	0.2	%	76	0.2	%	75	0.2	%	121	0.3	%	113	0.3	%
6	32	0.1	%	51	0.1	%	24	0.1	%	27	0.1	%	30	0.1	%
Total fixed maturities, including securities pledged (4) (5)	46,171	100.0	%	45,158	100.0	%	41,994	100.0	%	43,778	100.0	%	43,923	100.0	%
Fixed Maturity Securities - ARO Quality Rating
AAA	8,075	17.5	%	8,202	18.2	%	8,022	19.1	%	7,425	17.0	%	7,681	17.5	%
AA	3,669	7.9	%	3,384	7.5	%	3,143	7.5	%	3,199	7.3	%	3,131	7.1	%
A	12,083	26.2	%	12,153	26.9	%	11,381	27.1	%	11,803	27.0	%	11,896	27.1	%
BBB	19,512	42.3	%	18,799	41.6	%	17,154	40.8	%	18,763	42.8	%	18,672	42.5	%
BB	1,810	3.9	%	1,745	3.9	%	1,492	3.6	%	1,780	4.1	%	1,684	3.8	%
B and below	1,022	2.2	%	875	1.9	%	802	1.9	%	808	1.8	%	859	2.0	%
Total fixed maturities, including securities pledged (5)	46,171	100.0	%	45,158	100.0	%	41,994	100.0	%	43,778	100.0	%	43,923	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) Includes fixed maturities securities related to businesses exited through reinsurance where assets are retained on the Company's balance sheet.
(5) ARO ratings do not directly translate into NAIC ratings.


Voya Financial						Page 33 of 44

Portfolio Results


	Three Months Ended															Year-to-Date
(in millions USD)	9/30/2020			6/30/2020			3/31/2020			12/31/2019			9/30/2019			9/30/2020			9/30/2019

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)	453	4.78	%	446	4.72	%	451	4.82	%	463	4.94	%	466	5.02	%	1,350	4.77	%	1,412	5.10	%
Equity securities	3	4.00	%	3	5.39	%	2	4.87	%	3	7.15	%	2	5.58	%	8	4.62	%	5	4.52	%
Mortgage loans	70	4.22	%	71	4.25	%	72	4.28	%	72	4.30	%	73	4.31	%	213	4.25	%	222	4.35	%
Limited partnerships	71	19.72	%	(73)	(17.32)	%	49	13.01	%	51	13.58	%	42	11.67	%	47	4.05	%	101	10.59	%
Policy loans	11	6.05	%	12	2.70	%	10	5.60	%	9	4.82	%	7	3.62	%	33	4.07	%	28	4.99	%
Short-term investments	1	0.30	%	2	0.67	%	3	0.78	%	3	0.85	%	5	1.05	%	6	0.64	%	13	0.76	%
Derivatives (2)	—	N/A		(2)	N/A		1	N/A		2	N/A		1	N/A		—	N/A		4	N/A
Prepayment fee income	18	0.14	%	4	0.03	%	6	0.05	%	29	0.24	%	9	0.07	%	28	0.07	%	34	0.09	%
Other assets	54	N/A		(45)	N/A		13	N/A		6	N/A		4	N/A		22	N/A		26	N/A
Gross investment income before expenses and fees	681	5.68	%	418	3.36	%	607	5.02	%	638	5.27	%	609	5.01	%	1,706	4.67	%	1,845	5.12	%
Expenses and fees	(28)	-0.24	%	(31)	-0.25	%	(28)	-0.24	%	(33)	-0.28	%	(28)	-0.23	%	(87)	-0.24	%	(80)	-0.21	%
Total investment income and annualized yield	653	5.44	%	387	3.11	%	579	4.78	%	605	4.99	%	581	4.78	%	1,619	4.43	%	1,765	4.91	%


Trading gains/losses (1)




Fixed maturities	3			39			(15)			2			18			27			34
Equity securities	—			(2)			2			1			(2)			—			(6)
Mortgage loans	17			(50)			(7)			—			—			(40)			1
Other investments	—			(1)			—			3			1			(1)			2
Total trading gains/losses	20			(14)			(20)			6			17			(14)			31
Impairments (1)




Fixed maturities	(10)			(50)			(20)			(28)			1			(80)			(33)
Equity securities	—			—			—			—			—			—			—
Mortgage loans	—			—			—			(2)			—			—			(2)
Other investments	—			—			—			—			—			—			—
Total impairments	(10)			(50)			(20)			(30)			1			(80)			(35)
Fair value adjustments (3)	(5)			89			155			(84)			53			239			281
Derivatives, including change in fair value of derivatives related to guaranteed benefits	38			64			(217)			37			(51)			(115)			(219)
Net realized investment gains (losses) and Net guaranteed benefit hedging gains (losses) (1)	43			88			(102)			(71)			20			29			58

Businesses exited through reinsurance (4)	23			79			(29)			9			44			73			149
Consolidation/eliminations (5)	11			30			17			33			22			58			78
Total investment income and realized capital gains (losses)	730			585			465			576			667			1,780			2,050

(1) Investment results related to businesses exited through reinsurance or divestment are excluded. Investment results related to businesses to be exited through reinsurance or divestment as part of the Life Transaction are included.
(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 34 of 44

Alternative Investment Income


	Three Months Ended					Year-to-Date
(in millions USD)	9/30/2020	6/30/2020	3/31/2020	12/31/2019	9/30/2019	9/30/2020	9/30/2019
Retirement
Average alternative investments	852	897	883	834	773	877	733
Alternative investment income	62	(66)	31	27	25	27	57
Investment Management
Average alternative investments	242	214	230	229	226	229	221
Alternative investment income	16	(22)	3	3	5	(3)	10
Employee Benefits
Average alternative investments	100	100	95	92	86	98	84
Alternative investment income	7	(7)	3	3	3	4	7










The table above excludes alternative investments and income that are a component of Income (loss) from discontinued operations, net of tax and alternative investments.

Reconciliations


Voya Financial						Page 36 of 44

Reconciliation of Consolidated Statements of Operations


	Three Months Ended					Year-to-Date
(in millions USD)	9/30/2020	6/30/2020	3/31/2020	12/31/2019	9/30/2019	9/30/2020	9/30/2019

Revenues
Net investment income	800	586	698	735	687	2,084	2,057
Fee income	507	458	505	510	494	1,470	1,459
Premiums	604	607	608	556	565	1,819	1,717
Net realized capital gains (losses)	(70)	(1)	(233)	(159)	(20)	(304)	(7)
Other revenues	90	81	92	140	106	263	325
Income (loss) related to consolidated investment entities	140	(68)	15	28	43	87	115
Total revenues	2,071	1,663	1,685	1,810	1,875	5,419	5,666

Benefits and expenses
Interest credited and other benefits to contract owners/policyholders	(1,299)	(997)	(882)	(862)	(1,003)	(3,178)	(2,888)
Operating expenses	(630)	(643)	(640)	(767)	(627)	(1,913)	(1,979)
Net amortization of DAC/VOBA	(241)	(19)	(76)	(63)	(36)	(336)	(136)
Interest expense	(40)	(40)	(40)	(41)	(51)	(120)	(135)
Operating expenses related to consolidated investment entities	(6)	(12)	(3)	(11)	(9)	(21)	(34)
Total benefits and expenses	(2,216)	(1,711)	(1,641)	(1,744)	(1,726)	(5,568)	(5,172)
Income (loss) from continuing operations before income taxes	(145)	(48)	44	66	149	(149)	494
Less:
Net investment gains (losses) and related charges and adjustments	29	42	(8)	(47)	14	63	73
Net guaranteed benefit hedging gains (losses) and related charges and adjustments	16	38	(89)	8	(12)	(36)	(22)
Income (loss) related to businesses exited or to be exited through reinsurance or divestment	(342)	(55)	9	18	31	(387)	80
Income (loss) attributable to noncontrolling interests	106	(79)	6	6	19	33	44
Income (loss) on early extinguishment of debt	—	—	—	—	(12)	—	(12)
Immediate recognition of net actuarial gains (losses) related to pension and other postretirement benefit obligations and gains (losses) from plan amendments and curtailments	—	—	—	(63)	—	—	66
Dividend payments made to preferred shareholders	14	4	14	4	14	32	24
Other adjustments	(8)	(15)	(22)	(38)	(27)	(45)	(172)
Adjusted operating earnings before income taxes	40	17	134	178	122	190	413


Voya Financial						Page 37 of 44

Reconciliation of Adjusted Operating Revenues


	Three Months Ended					Year-to-Date
(in millions USD)	9/30/2020	6/30/2020	3/31/2020	12/31/2019	9/30/2019	9/30/2020	9/30/2019

Total revenues	2,071	1,663	1,685	1,810	1,875	5,419	5,666

Less Adjustments
Net realized investment gains (losses) and related charges and adjustments	27	41	(8)	(53)	16	60	71
Gain (loss) on change in fair value of derivatives related to guaranteed benefits	16	38	(90)	8	(12)	(36)	(21)
Revenues (losses) related to business exited or to be exited through reinsurance or divestment	399	332	344	315	401	1,075	1,216
Revenues (loss) attributable to noncontrolling interests	116	(66)	9	21	34	59	88
Other adjustments	80	93	33	98	71	205	223
Total adjusted operating revenues	1,434	1,225	1,397	1,421	1,365	4,056	4,089

Adjusted operating revenues by segment
Retirement	718	559	677	701	675	1,954	2,011
Investment Management	173	129	166	197	167	467	478
Employee Benefits	541	530	543	500	503	1,615	1,526

Corporate	2	7	11	23	20	20	74
Total adjusted operating revenues	1,434	1,225	1,397	1,421	1,365	4,056	4,089


Voya Financial						Page 38 of 44

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


	Twelve Months Ended (1)
(in millions USD, unless otherwise indicated)	9/30/2020		6/30/2020		3/31/2020		12/31/2019		9/30/2019

Retirement
Adjusted operating earnings before income taxes	347		440		583		588		596
Less:
DAC/VOBA and other intangibles unlocking	(189)		(46)		(50)		(30)		(33)
Adjusted Operating Earnings - excluding Unlocking before interest	536		486		633		618		629
Income tax expense	64		46		75		71		81
Adjusted Operating Earnings - excluding Unlocking before interest and after income taxes	472		440		558		547		549

Adjusted Operating effective tax rate, excluding Unlocking (2)	15.2	%	(19.4)	%	13.0	%	12.5	%	7.8	%
Adjusted Operating effective tax rate, excluding Unlocking - Trailing Twelve Months	11.9	%	9.4	%	11.9	%	11.5	%	12.8	%
Average Capital	3,993		4,054		4,094		4,130		4,170
Ending Capital	3,795		3,909		4,014		4,119		4,065
Adjusted Return on Capital	11.8	%	10.9	%	13.6	%	13.2	%	13.2	%

Investment Management


Adjusted Operating Earnings - excluding Unlocking before interest	166		165		186		180		165
Income tax expense	35		35		39		38		35
Adjusted Operating Earnings - excluding Unlocking before interest and after income taxes	131		130		147		142		130

Adjusted Operating effective tax rate, excluding Unlocking (2)	21.0	%	21.0	%	21.0	%	21.0	%	21.0	%
Adjusted Operating effective tax rate, excluding Unlocking - Trailing Twelve Months	21.0	%	21.0	%	21.0	%	21.0	%	21.0	%
Average Capital	321		315		311		307		303
Ending Capital	340		323		321		316		310
Adjusted Return on Capital	40.7	%	41.0	%	47.1	%	46.2	%	42.9	%

(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.


Voya Financial						Page 39 of 44

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


	Twelve Months Ended (1)
(in millions USD, unless otherwise indicated)	9/30/2020		6/30/2020		3/31/2020		12/31/2019		9/30/2019

Employee Benefits
Adjusted operating earnings before income taxes	208		209		222		199		187
Less:
DAC/VOBA and other intangibles unlocking	—		—		—		—		—
Adjusted Operating Earnings - excluding Unlocking before interest	208		209		222		199		187
Income tax expense	44		44		47		42		39
Adjusted Operating Earnings - excluding Unlocking before interest and after income taxes	164		165		175		157		148

Adjusted Operating effective tax rate, excluding Unlocking (2)	21.0	%	21.0	%	21.0	%	21.0	%	21.0	%
Adjusted Operating effective tax rate, excluding Unlocking - Trailing Twelve Months	21.0	%	21.0	%	21.0	%	21.0	%	21.0	%
Average Capital	546		522		515		507		495
Ending Capital	543		549		523		519		517
Adjusted Return on Capital	31.0	%	31.7	%	34.1	%	31.0	%	29.8	%















(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.


Voya Financial						Page 40 of 44

Prepayments and Alternative Income Above (Below) Long-Term Expectations


	Three Months Ended					Twelve Months Ended
(in millions USD)	9/30/2020	6/30/2020	3/31/2020	12/31/2019	9/30/2019	9/30/2020	9/30/2019

Prepayments Above (Below) Long-term Expectations (1)
Retirement	2	(7)	(4)	12	(1)	3	7
Investment Management	—	—	—	—	—	—	—
Employee Benefits	1	(1)	—	1	—	1	—
Total	3	(8)	(4)	13	(1)	4	7

Alternatives Above (Below) Long-term Expectations (1)
Retirement	43	(85)	11	9	6	(22)	15
Investment Management	11	(27)	(2)	(2)	—	(20)	(5)
Employee Benefits	5	(9)	1	1	1	(2)	2
Total	59	(121)	10	8	7	(44)	12

Prepayments and Alternative Income Above (Below) Long-Term Expectations (1)
Retirement	45	(92)	7	21	5	(19)	22
Investment Management	11	(27)	(2)	(2)	—	(20)	(5)
Employee Benefits	6	(10)	1	2	1	(1)	2
Total	61	(129)	6	21	6	(40)	19

(1) The amount by which Investment income from prepayment fees and alternative investments exceeds or is less than our long-term expectations reported on a pre-DAC basis.


Voya Financial						Page 41 of 44

Reconciliation of Normalized Adjusted Operating Earnings and Earnings Per Common Share (Diluted)


	Three Months Ended
(in millions except per share in whole dollars)	9/30/2020					6/30/2020					3/31/2020					12/31/2019					9/30/2019
	Pre-tax	After-tax		Per share (1)		Pre-tax	After-tax		Per share (1)		Pre-tax	After-tax		Per share (1)		Pre-tax	After-tax		Per share (1)		Pre-tax	After-tax		Per share (1)

Income (loss) available to Voya Financial, Inc.'s common shareholders		$	(333)	$	(2.64)		$	(71)	$	(0.55)		$	(98)	$	(0.71)		$	(776)	$	(5.45)		$	107	$	0.74
Plus: Net income (loss) attributable to noncontrolling interest		106		0.84			(79)		(0.61)			6		0.04			6		0.04			19		0.13
Less: Preferred stock dividends		(14)		(0.11)			(4)		(0.03)			(14)		(0.10)			(4)		(0.03)			(14)		(0.10)
Less: Income (loss) from discontinued operations		(140)		(1.11)			(93)		(0.72)			(128)		(0.93)			(1,084)		(7.62)			(4)		(0.03)
Income (loss) from continuing operations	(145)	(73)		(0.58)		(48)	(53)		(0.41)		44	50		0.36		66	318		2.23		149	144		1.00
Less:
Net investment gains (losses) and related charges and adjustments	29	23		0.18		42	34		0.26		(8)	(6)		(0.05)		(47)	(37)		(0.26)		14	11		0.08
Net guaranteed benefit hedging gains (losses) and related charges and adjustments	16	12		0.10		38	30		0.23		(89)	(70)		(0.51)		8	6		0.05		(12)	(9)		(0.06)
Income (loss) related to businesses exited or to be exited through reinsurance or divestment	(342)	(270)		(2.09)		(55)	(43)		(0.34)		9	7		0.05		18	14		0.10		31	24		0.17
Net income (loss) attributable to noncontrolling interest	106	106		0.84		(79)	(79)		(0.61)		6	6		0.04		6	6		0.04		19	19		0.13
Income (loss) on early extinguishment of debt	—	—		—		—	—		—		—	—		—		—	—		—		(12)	(10)		(0.07)
Immediate recognition of net actuarial gains (losses) related to pension and other postretirement benefit obligations and gains (losses) from plan amendments and curtailments	—	—		—		—	—		—		—	—		—		(63)	(50)		(0.35)		—	—		—
Dividend payments made to preferred shareholders	14	14		0.11		4	4		0.03		14	14		0.10		4	4		0.03		14	14		0.10
Other adjustments	(8)	2		0.02		(15)	(18)		(0.14)		(22)	(16)		(0.11)		(38)	222		1.56		(27)	(19)		(0.14)
Adjustment due to antidilutive effect of net loss in the current period (2)	—	—		(0.03)		—	—		—		—	—		—		—	—		—		—	—		—
Adjusted operating earnings	40	39		0.30		17	20		0.15		134	115		0.83		178	153		1.07		122	114		0.79
Less:
DAC, VOBA and other intangibles unlocking	(172)	(136)		(1.05)		9	7		0.05		(16)	(13)		(0.09)		(10)	(8)		(0.06)		(29)	(23)		(0.16)
Prepayment fees and alternative investment income above (below) long-term expectations	61	48		0.37		(129)	(102)		(0.79)		6	5		0.04		21	17		0.12		6	5		0.03
Individual Life transaction stranded costs	(34)	(27)		(0.21)		(32)	(25)		(0.20)		(36)	(28)		(0.21)		(33)	(26)		(0.18)		(34)	(27)		(0.18)

Normalized adjusted operating earnings	185	154		1.19		169	140		1.09		180	151		1.10		199	170		1.19		179	159		1.10

(1) Per share calculations are based on un-rounded numbers.
(2) For periods in which there is Net loss from continuing operations available to common shareholders, Normalized adjusted operating earnings per common share (EPS) calculation includes additional dilutive shares, as the inclusion of these shares for stock compensation plans would not be anti-dilutive to the Normalized adjusted operating EPS calculation.


Voya Financial						Page 42 of 44

Reconciliation of Normalized Adjusted Operating Earnings and Earnings Per Common Share (Diluted)


	Nine months ended
(in millions except per share in whole dollars)	9/30/2020					9/30/2019
	Pre-tax	After-tax		Per share (1)		Pre-tax	After-tax		Per share (1)

Income (loss) available to Voya Financial, Inc.'s common shareholders		$	(502)	$	(3.93)		$	397	$	2.67
Plus: Net income (loss) attributable to noncontrolling interest		33		0.26			44		0.30
Less: Preferred stock dividends		(32)		(0.25)			(24)		(0.16)
Less: Income (loss) from discontinued operations		(361)		(2.82)			18		0.12
Income (loss) from continuing operations	(149)	(76)		(0.60)		494	447		3.01
Less:
Net investment gains (losses) and related charges and adjustments	63	50		0.38		73	57		0.39
Net guaranteed benefit hedging gains (losses) and related charges and adjustments	(36)	(28)		(0.21)		(22)	(17)		(0.12)
Income (loss) related to businesses exited or to be exited through reinsurance or divestment	(387)	(306)		(2.32)		80	63		0.43
Net income (loss) attributable to noncontrolling interest	33	33		0.26		44	44		0.30
Income (loss) on early extinguishment of debt	—	—		—		(12)	(10)		(0.06)
Immediate recognition of net actuarial gains (losses) related to pension and other postretirement benefit obligations and gains (losses) from plan amendments and curtailments	—	—		—		66	52		0.35
Dividend payments made to preferred shareholders	32	32		0.25		24	24		0.16
Other adjustments	(45)	(31)		(0.24)		(172)	(128)		(0.86)
Adjustment due to antidilutive effect of net loss in the current period (2)	—	—		(0.03)		—	—		—
Adjusted operating earnings	190	174		1.32		413	361		2.43
Less:
DAC, VOBA and other intangibles unlocking	(179)	(142)		(1.08)		(20)	(16)		(0.11)
Prepayment fees and alternative investment income above (below) long-term expectations	(61)	(48)		(0.37)		7	6		0.04
Individual Life transaction stranded costs	(102)	(81)		(0.61)		(99)	(78)		(0.53)

Normalized adjusted operating earnings	533	445		3.38		525	450		3.03

(1) Per share calculations are based on un-rounded numbers.
(2) For periods in which there is Net loss from continuing operations available to common shareholders, Normalized adjusted operating earnings per common share (EPS) calculation includes additional dilutive shares, as the inclusion of these shares for stock compensation plans would not be anti-dilutive to the Normalized adjusted operating EPS calculation.


Voya Financial						Page 43 of 44

Reconciliation of Book Value Per Common Share, Excluding AOCI


	Three Months Ended or As of										Year-to-Date or As of
(in whole dollars)	9/30/2020		6/30/2020		3/31/2020		12/31/2019		9/30/2019		9/30/2020		9/30/2019
















Book value per common share, including AOCI	71.67		70.86		54.09		66.49		73.73		71.67		73.73
Per share impact of AOCI	(35.52)		(32.03)		(14.61)		(25.18)		(25.94)		(35.52)		(25.94)
Book value per common share, excluding AOCI	36.15		38.83		39.48		41.31		47.79		36.15		47.79

Debt to capital	24.0	%	24.2	%	29.1	%	24.4	%	22.4	%	24.0	%	22.4	%
Capital impact of AOCI	13.0	%	11.4	%	6.2	%	9.0	%	7.7	%	13.0	%	7.7	%
Impact of 25% equity treatment afforded to subordinate debt	-3.3	%	-3.2	%	-3.2	%	-3.0	%	-2.7	%	-3.3	%	-2.7	%
Adjusted Debt to capital	33.7	%	32.4	%	32.1	%	30.4	%	27.4	%	33.7	%	27.4	%

Reconciliation of shares used in Normalized adjusted operating earnings per common share (Diluted)
Weighted-average common shares outstanding - Basic	126.3		126.2		130.9		134.7		138.4		127.8		143.1
Dilutive effect of warrants	—		—		2.9		3.7		2.3		—		1.6
Other dilutive effects (1)	—		2.1		3.6		4.0		3.6		—		3.8
Weighted-average common shares outstanding - Diluted	126.3		128.3		137.4		142.4		144.3		127.8		148.5
Dilutive effect of the exercise or issuance of stock-based awards (2)	3.2		—		—		—		—		3.9		—
Weighted average common shares outstanding - Adjusted Diluted (2)	129.5		128.3		137.4		142.4		144.3		131.7		148.5

(1) Includes stock-based compensation awards such as restricted stock units (RSU), performance stock units (PSU), or stock options.
(2) For periods in which there is Net loss from continuing operations available to common shareholders, Normalized adjusted operating earnings per common share (EPS) calculation includes additional dilutive shares, as the inclusion of these shares for stock compensation plans would not be anti-dilutive to the Normalized adjusted operating EPS calculation.


Voya Financial						Page 44 of 44

Reconciliation of Investment Management Normalized Adjusted Operating Margin, Excluding Investment Capital


	Three Months Ended						Twelve Months Ended
(in millions USD, unless otherwise indicated)	9/30/2020		6/30/2020		9/30/2019		9/30/2020		6/30/2020		9/30/2019

Adjusted operating revenues	173		129		167		665		659		637
Adjusted operating expenses	(126)		(109)		(121)		(499)		(494)		(472)
Adjusted operating earnings before income taxes	47		20		46		166		165		165
Adjusted operating margin	27.3	%	15.2	%	27.4	%	24.9	%	24.9	%	25.9	%

Adjusted operating revenues	173		129		167		665		659		637
Less:
Investment Capital Results	16		(22)		5		—		(11)		15
Adjusted operating revenues excluding Investment Capital	157		151		162		665		670		622
Adjusted operating expenses	(126)		(109)		(121)		(499)		(494)		(472)
Adjusted operating earnings excluding Investment Capital	31		42		41		166		176		150
Adjusted operating margin excluding Investment Capital	19.7	%	27.4	%	25.0	%	24.8	%	26.0	%	24.1	%

Adjusted operating revenues	173		129		167		665		659		637
Less:
Investment Capital Results above (below) long-term expectations	11		(27)		—		(20)		(31)		(5)

Normalized adjusted operating revenues	162		156		167		685		690		642
Adjusted operating expenses	(126)		(109)		(121)		(499)		(494)		(472)
Normalized adjusted operating earnings	36		46		45		185		194		169
Normalized adjusted operating margin	22.4	%	29.7	%	27.3	%	27.0	%	28.2	%	26.4	%

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