Athene posts fourth-quarter net loss, but sees record asset growth

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Athene Holding Ltd., parent of Athene USA in West Des Moines, posted a net loss for the fourth quarter of $104 million, or 53 cents per share, compared with net income for the fourth quarter 2017 of $439 million, or $2.22 per share. The loss was driven by “unfavorable changes in reinsurance embedded derivatives due to credit spread widening, as well as unfavorable changes in fixed indexed annuity derivatives due to equity market depreciation.” Net income for the full year was $1.05 billion, compared with 2017 net income of $1.36 billion. The company increased its invested assets by more than 45 percent last year, “marking 2018 as a year of acceleration for Athene,” CEO Jim Belardi said in a release. “Our multi-channel distribution model generated record organic growth of more than $13 billion, and this was complemented by closing two inorganic transactions in a calendar year for the first time in our history, totaling an additional $27 billion. Importantly, we underwrote this new business to the same high return standards we have historically.”