MARKET RISK BENEFITS

12 Months Ended

Dec. 31, 2023

The following table presents the balances and changes to the balances for market risk benefits for the GMxB benefits on deferred variable annuities:


	Year Ended December 31,
	2023								2022
	Individual Retirement		Legacy						Individual Retirement		Legacy
	GMxB Core		GMxB Legacy		Purchased MRB (3)		Net Legacy		GMxB Core		GMxB Legacy		Purchased MRB (3)		Net Legacy
	(in millions)
Balance, beginning of year	$	530	$	14,699	$	(10,415)	$	4,284	$	1,061	$	20,236	$	(14,059)	$	6,177
Balance BOP before changes in the instrument specific credit risk	529		15,314		(10,358)		4,956		666		19,719		(14,051)		5,668
Model changes and effect of changes in cash flow assumptions	20		(11)		(33)		(44)		(5)		317		(143)		174
Actual market movement effect	(481)		(1,847)		986		(861)		1,074		3,402		(1,226)		2,176
Interest accrual	73		770		(555)		215		37		731		(489)		242
Attributed fees accrued (1)	407		843		(284)		559		399		882		(295)		587
Benefit payments	(47)		(1,354)		768		(586)		(37)		(1,179)		669		(510)
Actual policyholder behavior different from expected behavior	23		(14)		(41)		(55)		24		142		(102)		40
Changes in future economic assumptions	(203)		(673)		130		(543)		(1,626)		(8,700)		5,279		(3,421)
Issuances	1		—		—		—		(3)		—		—		—
Balance EOP before changes in the instrument-specific credit risk	322		13,028		(9,387)		3,641		529		15,314		(10,358)		4,956
Changes in the instrument-specific credit risk (2)	268		390		(33)		357		1		(615)		(57)		(672)
Balance, end of year	$	590	$	13,418	$	(9,420)	$	3,998	$	530	$	14,699	$	(10,415)	$	4,284

Weighted-average age of policyholders (years)	64.4		73.0		72.6		N/A		63.5		72.5		72.1		N/A
Net amount at risk (4)	$	2,995	$	21,136	$	11,343	N/A		$	3,530	$	22,631	$	11,755	N/A

_____________

(1)Attributed fees accrued represents the portion of the fees needed to fund future GMxB claims.

(2)Changes are recorded in OCI except for reinsurer credit which is reflected in the consolidated income statement.

(3)Purchased MRB is the impact of non-affiliated reinsurance.

(4)GMxB legacy and Purchased MRB prior period amounts have been revised for errors deemed immaterial to previously issued financial statements.


	December 31, 2021
	Individual Retirement		Legacy
	GMxB Core		GMxB Legacy		Purchased MRB (3)		Net Legacy

Balance, beginning of the period (“BOP”)	$	2,143	$	24,405	$	(2,763)	$	21,642
Balance BOP before changes in the instrument specific credit risk	$	1,639	23,944		(2,766)		21,178
Model changes and effect of changes in cash flow assumptions	(280)		(196)		36		(160)
Actual market movement effect	(665)		(3,026)		799		(2,227)
Interest accrual	7		197		(122)		75
Attributed fees accrued (1)	386		918		(194)		724
Benefit payments	(14)		(902)		350		(552)
Actual policyholder behavior different from expected behavior	(9)		135		(56)		79
Changes in future economic assumptions	(397)		(1,351)		(950)		(2,301)
Issuances	(1)		—		(11,148)		(11,148)
Balance EOP before changes in the instrument-specific credit risk	$	666	19,719		(14,051)		5,668
Changes in the instrument-specific credit risk (2)	395		517		(8)		509
Balance, end of the period (“EOP”)	$	1,061	$	20,236	$	(14,059)	$	6,177

Weighted-average age of policyholders (years)	62.6		71.9		71.5		N/A
Net amount at risk (4)	$	1,115	$	15,901	$	9,055	N/A

______________

(1) Attributed fees accrued represents the portion of the fees needed to fund future GMxB claims.

(2) Changes are recorded in OCI.

(3) Purchased MRB is the impact of non-affiliated reinsurance.

(4) GMxB legacy and Purchased MRB prior period amounts have been revised for errors deemed immaterial to previously issued financial statements.

The following table reconciles market risk benefits by the amounts in an asset position and amounts in a liability position to the market risk benefit amounts in the consolidated balance sheets:


	Year Ended December 31,
	2023										2022
	Direct Asset		Direct Liability		Net Direct MRB		Purchased MRB		Total		Direct Asset		Direct Liability		Net Direct MRB		Purchased MRB		Total
	(in millions)
Individual Retirement
GMxB Core	$	(418)	$	1,008	$	590	$	—	$	590	$	(387)	$	917	$	530	$	—	$	530
Legacy Segment
GMxB Legacy	(102)		13,520		13,418		(9,420)		3,998		(51)		14,749		14,699		(10,412)		4,287
Other (1)	(71)		84		13		(7)		6		(52)		100		47		(11)		36
Total	$	(591)	$	14,612	$	14,021	$	(9,427)	$	4,594	$	(490)	$	15,766	$	15,276	$	(10,423)	$	4,853

______________

(1)Other primarily includes Individual EQUI-VEST MRB.