SEC Filing | American Equity Investment Life Holding Company

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ael-20221107

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): November 07, 2022

AMERICAN EQUITY INVESTMENT LIFE HOLDING COMPANY

(Exact name of registrant as specified in its charter)


Iowa	001-31911	42-1447959
(State or other jurisdiction of incorporation)	(Commission File Number)	(IRS Employer Identification No.)

6000 Westown Parkway

West Des Moines, IA 50266

(Address of principal executive offices and zip code)

(515) 221-0002

(Registrant's telephone number, including area code)

Not Applicable

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class

Trading Symbol(s)

Name of each exchange on which registered

Common stock, par value $1

AEL

New York Stock Exchange

Depositary Shares, each representing a 1/1,000th interest in a share of 5.95% Fixed-Rate Reset Non-Cumulative Preferred Stock, Series A

AELPRA

New York Stock Exchange

Depositary Shares, each representing a 1/1,000th interest in a share of 6.625% Fixed-Rate Reset Non-Cumulative Preferred Stock, Series B

AELPRB

New York Stock Exchange

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 2.02 Results of Operations and Financial Condition

On November 7, 2022, the registrant issued a press release announcing its financial results for the quarter ended September 30, 2022, a copy of which is attached as Exhibit 99.1 and is incorporated herein by reference. The registrant's financial supplement for the quarter ended September 30, 2022, is attached as Exhibit 99.2 and is incorporated herein by reference.

The information, including exhibits attached hereto, furnished under this Item 2.02 shall not be deemed “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that Section. The information in this Current Report shall not be incorporated by reference into any registration statement or other document pursuant to the Securities Act of 1933, as amended, except as otherwise expressly stated in such filing.

Item 9.01. Financial Statements and Exhibits


Exhibit Number						Description
99.1						Press release dated November 7, 2022, announcing American Equity Investment Life Holding Company's financial results for the quarter ended September 30, 2022.
99.2						American Equity Investment Life Holding Company's Financial Supplement for the quarter ended September 30, 2022.
104						The cover page from this Current Report on Form 8-K, formatted in Inline XBRL.

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Date: November 7, 2022


			AMERICAN EQUITY
			INVESTMENT LIFE HOLDING COMPANY


			By:			/s/ Axel Andre
						Axel Andre
						Chief Financial Officer and Executive Vice President

Document

Exhibit 99.1


						For more information, contact:

						Steven D. Schwartz, Vice President-Investor Relations
						(515) 273-3763, sschwartz@american-equity.com


FOR IMMEDIATE RELEASE
November 7, 2022

American Equity Reports Strong Earnings Driven by Continued Execution of AEL 2.0 Strategy with Private Asset Allocation Growing to 18.4%

Company Highlights

•Q3 2022 net income available to common stockholders of $301.7 million, or $3.41 per diluted common share compared to $141.9 million, or $1.53 per diluted common share for Q3 2021

•Non-GAAP operating income1 available to common stockholders excluding notable items for the third quarter 2022 was $87.4 million, or $0.99 per diluted common share

•Only notable item this quarter, the annual actuarial update, positively impacted non-GAAP operating income1 by $26.6 million, or $0.30 per common diluted share

•American Equity Life ranked #1 annuity provider for Customer Satisfaction among Annuity Providers2 in the J.D. Power 2022 U.S. Individual Annuity Study

•Repurchased $154 million or 4.2 million common shares in Q3 2022 bringing total year-to-date to $522 million or 13.6 million shares

•Private asset deployment momentum continues with approximately $1.3 billion sourced in the quarter

•Approximately $500 million increase in notional value3 of reinsurance ceded to North End Re., a subsidiary of Brookfield Reinsurance, that earns recurring "fee-like" revenues for 6-7 years, growing total balance to $4.9 billion

WEST DES MOINES, Iowa (November 7, 2022) – American Equity Investment Life Holding Company (NYSE: AEL), a leading issuer of fixed index annuities (FIAs) today reported on its third quarter 2022 results. These results include improved yields in the investment portfolio through continued ramping of our investment portfolio toward target allocation to privately sourced assets, and continued share repurchase activities in-line with our capital return goals for this year.

American Equity's President and CEO, Anant Bhalla, noted a significant business achievement during the quarter, stating: "We are extraordinarily proud that American Equity Investment Life Insurance Company has been ranked #1 for Customer Satisfaction among Annuity Providers2 in the J.D. Power 2022 U.S. Individual Annuity Study. According to the research, AEL bucked the industry trends, exhibiting the largest year-over-year increase in Customer Satisfaction J.D. Power has ever seen in the study. Our Go-to-Market strategy is differentiated through a combination of industry leading product design and outstanding policyholder and advisor service."

Non-GAAP operating income1 available to common stockholders for the third quarter of 2022 was $114.0 million, or $1.29 per diluted common share, compared to non-GAAP operating income1 available to common stockholders of $79.5 million, or $0.85 per diluted common share for the third quarter of 2021. For the third quarter of 2022, non-GAAP operating income1, excluding notable items, was $87.4 million, or $0.99 per diluted common share compared to $136.3 million, or $1.46 per diluted common share for the third quarter of 2021.

The one notable item in each quarter, actuarial assumption revisions utilized in the determination of deferred policy acquisition costs, deferred sales inducements, and the liability for future policy benefits to be paid for lifetime income benefit riders (LIBR), positively impacted non-GAAP operating income by $26.6 million, or $0.30 per diluted common share, in the third quarter of 2022 while having a negative effect of $56.8 million, or $0.61 per diluted common share, in the third quarter of 2021.

The year-over-year change in quarterly non-GAAP operating income1 available to common stockholders excluding the impact of actuarial assumption revisions reflected reduced equity index credits due to the decline in equity markets and increases in amortization of the deferred acquisition cost and deferred sales inducement assets offset partly by a substantial increase in average yield on invested assets.

For the third quarter of 2022, net investment income increased $83 million from the comparable quarter of 2021 reflecting an increase in average yield on investments resulting from strong returns from partnerships, the benefit from higher short-term interest rates on our floating rate portfolio, lower cash balances, and the increase in allocation to higher yielding privately sourced assets to 18.4% of the investment portfolio.

Compared to the third quarter of 2021, the change in the liability for future benefits to be paid for LIBR decreased by $222 million. Excluding the impact of actuarial assumption revisions, the year-over-year change in liability for future policy benefits to be paid for LIBR was $64 million. In the third quarter of 2022, the expected change in the liability for future policy benefits to be paid for LIBR increased by $8 million for the on-going change in earnings patterns resulting from the impact of actuarial assumption revisions and $37 million for actual versus modeled experience primarily reflecting $23 million of additional expense associated with near zero index credits; actual versus modeled experience reduced the reserve by $14 million in the third quarter of 2021.

Compared to the third quarter of 2021, the change in amortization of deferred policy acquisition and sales inducement costs increased by $233 million. Excluding the impact of actuarial assumption revisions, amortization of deferred policy acquisition and sales inducement costs increased by $52 million from the third quarter of 2021. The change to earnings patterns resulting from the impact of actuarial assumption revisions increased total amortization by $11 million. Actual versus modeled expectations in the third quarter of 2022, primarily reflecting the level of equity index credits, interest margin and lapsation, offset in part by lower option budget, increased amortization by $7 million primarily reflecting $9 million of additional expense associated with near zero index credits. Amortization of deferred sales inducements and policy acquisition costs was positively affected by $12 million in the third quarter of 2021 from actual versus modeled expectations.

As of September 30, 2022, notional value3 under reinsurance agreements - generating six to seven years of "fee-like" return on asset (ROA) earnings - was $4.9 billion, up nearly $500 million from three months earlier.

STRONG INVESTMENT MANAGEMENT RESULTS

American Equity’s investment spread was 2.73% for the third quarter of 2022 compared to 2.64% for the second quarter of 2022 and 2.40% for the third quarter of 2021. On a sequential quarterly basis, the average yield on invested assets increased by 15 basis points - driven primarily by the increase in short-term interest rates - while the cost of money increased 6 basis points. Adjusted investment spread excluding non-trendable items4 increased to 2.70% in the third quarter of 2022 from 2.57% in the second quarter of 2022.

Average yield on invested assets was 4.48% in the third quarter of 2022 compared to 4.33% in the second quarter of 2022. The average adjusted yield on invested assets excluding non-trendable items4 was 4.45% in the third quarter of 2022 compared to 4.28% in the second quarter of 2022. Relative to the prior quarter, the increase in the average adjusted yield in the third quarter of 2022 was primarily driven by a 15 basis point benefit due to higher short term rates. While the benefit from residential real estate assets was lower than in the second quarter, this was more than offset by partnership income. Partnerships and other mark-to-market assets contributed 22 basis points to average yield in the third quarter of 2022 in excess of rates of return assumed in our investment process, compared to 20 basis points in the second quarter.

During the quarter, investment asset purchases totaled $1.5 billion and were made at an average rate of 6.42%, including approximately $1.3 billion of private assets at 6.5%.

The aggregate cost of money for annuity liabilities of 1.75% in the third quarter of 2022 was up 6 basis points compared to the second quarter of 2022, in line with market costs. The cost of money in the second quarter of 2022 was positively affected by 2 basis points of over-hedging of index-linked credits compared to a very minimal benefit in the quarter just ended.

SALES FOCUS ON FIA AND PRICING DISCIPLINE5

Third quarter sales were $752 million, of which 97%, or $730 million, were in fixed index annuities. This is in line with the company's focus on disciplined liability origination through a combination of value-added services to distribution, consistency of product offerings and leading customer service over chasing market share primarily with product rates as interest rates fluctuated during the quarter. Compared to the second quarter of 2022, total enterprise FIA sales decreased 6% reflecting a 7% decline at American Equity Life in the Independent Marketing Organization (IMO) channel, while Eagle Life FIA sales through banks and broker-dealers fell 2%.

CAUTION REGARDING FORWARD-LOOKING STATEMENTS

The forward-looking statements in this release or that American Equity uses on its conference call, such as ability, aim, anticipate, assume, become, believe, can, commit, continue, could, estimate, expect, exposure, forward, future, goal, grow, guidance, intend, likely, look to, may, might, model, opportunity, outlook, over time, plan, potential, prepare, project, ramp, risk, scenario, should, signal, strategy, stress test, target, to be, toward, trends, will, would, and their derivative forms and similar words, as well as any projections of future results, are based on assumptions and expectations that involve risks and uncertainties, including the "Risk Factors" the company describes in its U.S. Securities and Exchange Commission filings. The Company's future results could differ, and it has no obligation to correct or update any of these statements.

CONFERENCE CALL

American Equity will hold a conference call to discuss third quarter 2022 earnings on Tuesday, November 8, at 10:00 a.m. CST.

The conference call will be webcast live on the Internet. Investors and interested parties who wish to listen to the webcast may register to access it on our IR website at https://ir.american-equity.com. An audio replay will also be available via the same link on our website shortly after the completion of the call for 30 days.

The call may also be accessed by telephone. Investors and interested parties may register for the call with the form available at this link, and upon submission (and via follow-up email) will receive the dial-in number and a unique PIN to access the call. Registration is available now or any time up to and during the time of the call. Registration is also available by visiting our IR website at https://ir.american-equity.com.

ABOUT AMERICAN EQUITY

At American Equity Investment Life Holding Company, we think of ourselves as The Financial Dignity CompanyTM that offers solutions designed to create financial dignity in retirement. Our policyholders work with independent agents, banks and broker-dealers, through our wholly-owned operating subsidiaries, to choose one of our leading annuity products best suited for their personal needs. To deliver on our promises to policyholders, American Equity has reframed its investment focus, building a stronger emphasis on insurance liability driven asset allocation as well as the origination and management of private assets. Our company is headquartered in West Des Moines, Iowa with satellite offices slated to open in 2022 in Charlotte, NC and New York, NY. For more information, please visit www.american-equity.com.

1 Use of non-GAAP financial measures, including those that isolate notable items, is discussed in this release in the tables that follow the text of the release..

2 American Equity received the highest score in the J.D. Power 2022 U.S. Individual Annuity Study of customers’ satisfaction with annuity

providers. Visit jdpower.com/awards for more details.

3 Notional value represents the initial cash surrender value of business ceded subject to recurring fees under reinsurance agreements.

4 Non-trendable items are the impact of investment yield – additional prepayment income and cost of money effect of over (under) hedging as shown in our September 30, 2022 financial supplement on page 11, “Spread Results”.

5 For the purposes of this document, all references to sales are on a gross basis. Gross sales is defined as sales before the use of reinsurance.

###

American Equity Investment Life Holding Company

Unaudited (Dollars in thousands, except per share data)

Consolidated Statements of Operations


	Three Months Ended September 30,				Nine Months Ended September 30,
	2022		2021		2022		2021
Revenues:
Premiums and other considerations	$	2,839	$	15,841	$	16,748	$	43,649
Annuity product charges	60,819		58,480		168,688		182,321
Net investment income	609,737		526,366		1,769,468		1,522,876
Change in fair value of derivatives	(176,671)		(70,701)		(1,160,371)		826,484
Net realized gains (losses) on investments	(15,860)		4,933		(62,259)		(2,764)
Other revenue	10,989		7,644		28,773		7,644

Total revenues	491,853		542,563		761,047		2,580,210

Benefits and expenses:
Insurance policy benefits and change in future policy benefits	5,707		18,756		25,436		51,008
Interest sensitive and index product benefits	121,890		817,014		729,407		2,106,590
Amortization of deferred sales inducements	127,784		(17,172)		361,775		93,283
Change in fair value of embedded derivatives	(415,374)		(536,404)		(2,695,007)		(545,104)
Interest expense on notes payable	8,984		6,535		21,870		19,322
Interest expense on subordinated debentures	1,333		1,342		3,996		3,994
Amortization of deferred policy acquisition costs	183,182		(1,588)		550,962		185,329
Other operating costs and expenses	59,532		56,518		177,575		177,433
Total benefits and expenses	93,038		345,001		(823,986)		2,091,855
Income before income taxes	398,815		197,562		1,585,033		488,355
Income tax expense	86,214		44,697		345,633		107,500
Net income	312,601		152,865		1,239,400		380,855
Less: Net income (loss) available to noncontrolling interests	1		—		(3)		—
Net income available to American Equity Investment Life Holding Company stockholders	312,600		152,865		1,239,403		380,855
Less: Preferred stock dividends	10,918		10,918		32,756		32,756
Net income available to American Equity Investment Life Holding Company common stockholders	$	301,682	$	141,947	$	1,206,647	$	348,099

Earnings per common share	$	3.44	$	1.53	$	13.07	$	3.69
Earnings per common share - assuming dilution	$	3.41	$	1.53	$	12.94	$	3.67

Weighted average common shares outstanding (in thousands):
Earnings per common share	87,707		92,478		92,339		94,326
Earnings per common share - assuming dilution	88,581		93,044		93,270		94,867

Page 1

American Equity Investment Life Holding Company

Unaudited (Dollars in thousands, except per share data)

NON-GAAP FINANCIAL MEASURES

In addition to net income available to common stockholders, we have consistently utilized non-GAAP operating income available to common stockholders and non-GAAP operating income available to common stockholders per common share - assuming dilution, non-GAAP financial measures commonly used in the life insurance industry, as economic measures to evaluate our financial performance. Non-GAAP operating income available to common stockholders equals net income available to common stockholders adjusted to eliminate the impact of items that fluctuate from quarter to quarter in a manner unrelated to core operations, and we believe measures excluding their impact are useful in analyzing operating trends. The most significant adjustments to arrive at non-GAAP operating income available to common stockholders eliminate the impact of fair value accounting for our fixed index annuity business. These adjustments are not economic in nature but rather impact the timing of reported results. We believe the combined presentation and evaluation of non-GAAP operating income available to common stockholders together with net income available to common stockholders provides information that may enhance an investor’s understanding of our underlying results and profitability.

Reconciliation from Net Income Available to Common Stockholders to Non-GAAP Operating Income Available to Common Stockholders and Non-GAAP Operating Income Available to Common Stockholders, Excluding Notable Items


	Three Months Ended September 30,				Nine Months Ended September 30,
	2022		2021		2022		2021
Net income available to American Equity Investment Life Holding Company common stockholders	$	301,682	$	141,947	$	1,206,647	$	348,099
Adjustments to arrive at non-GAAP operating income available to common stockholders: (a)
Net realized (gains) losses on financial assets, including credit losses	9,738		(3,900)		51,595		2,528
Change in fair value of derivatives and embedded derivatives	(248,823)		(75,879)		(1,219,322)		(172,746)


Income taxes	51,403		17,285		256,120		36,801
Non-GAAP operating income available to common stockholders	114,000		79,453		295,040		214,682
Impact of excluding notable items (b)	(26,572)		56,801		(26,572)		56,801
Non-GAAP operating income available to common stockholders, excluding notable items	$	87,428	$	136,254	$	268,468	$	271,483

Per common share - assuming dilution:
Net income available to American Equity Investment Life Holding Company common stockholders	$	3.41	$	1.53	$	12.94	$	3.67
Adjustments to arrive at non-GAAP operating income available to common stockholders:


Net realized (gains) losses on financial assets, including credit losses	0.11		(0.04)		0.55		0.02
Change in fair value of derivatives and embedded derivatives	(2.81)		(0.82)		(13.07)		(1.82)


Income taxes	0.58		0.18		2.75		0.39
Non-GAAP operating income available to common stockholders	1.29		0.85		3.17		2.26
Impact of excluding notable items	(0.30)		0.61		(0.29)		0.60
Non-GAAP operating income available to common stockholders, excluding notable items	$	0.99	$	1.46	$	2.88	$	2.86

Notable Items


	Three Months Ended September 30,				Nine Months Ended September 30,
	2022		2021		2022		2021
Notable items impacting non-GAAP operating income available to common stockholders:

Impact of actuarial assumption updates	$	26,572	$	(56,801)	$	26,572	$	(56,801)

Total notable items (b)	$	26,572	$	(56,801)	$	26,572	$	(56,801)

(a)Adjustments to net income available to common stockholders to arrive at non-GAAP operating income available to common stockholders are presented net of related adjustments to amortization of deferred sales inducements (DSI) and deferred policy acquisition costs (DAC) and accretion of lifetime income benefit rider (LIBR) reserves where applicable.

(b)Notable items reflect the after-tax impact to non-GAAP operating income available to common stockholders for certain items that do not reflect the company's expected ongoing operations. Notable items primarily include the impact from actuarial assumption updates. The presentation of notable items is intended to help investors better understand our results and to evaluate and forecast those results.

Page 2

American Equity Investment Life Holding Company

Unaudited (Dollars in thousands, except share and per share data)

Book Value per Common Share


	Q3 2022









Total stockholders’ equity attributable to American Equity Investment Life Holding Company	$	3,207,698
Equity available to preferred stockholders (a)	(700,000)
Total common stockholders' equity (b)	2,507,698
Accumulated other comprehensive (income) loss (AOCI)	2,214,388
Total common stockholders’ equity excluding AOCI (b)	4,722,086
Net impact of fair value accounting for derivatives and embedded derivatives	(1,217,754)
Total common stockholders’ equity excluding AOCI and the net impact of fair value accounting for derivatives and embedded derivatives (b)	$	3,504,332

Common shares outstanding	85,966,505

Book Value per Common Share: (c)
Book value per common share	$	29.17
Book value per common share excluding AOCI (b)	$	54.93
Book value per common share excluding AOCI and the net impact of fair value accounting for derivatives and embedded derivatives (b)	$	40.76

(a)Equity available to preferred stockholders is equal to the redemption value of outstanding preferred stock plus share dividends declared but not yet issued.

(b)Total common stockholders' equity, total common stockholders' equity excluding AOCI and total common stockholders' equity excluding AOCI and the net impact of fair value accounting for derivatives and embedded derivatives, non-GAAP financial measures, exclude equity available to preferred stockholders. Total common stockholders’ equity and book value per common share excluding AOCI, non-GAAP financial measures, are based on common stockholders’ equity excluding the effect of AOCI. Since AOCI fluctuates from quarter to quarter due to unrealized changes in the fair value of available for sale securities, we believe these non-GAAP financial measures provide useful supplemental information. Total common stockholders' equity and book value per common share excluding AOCI and the net impact of fair value accounting for derivatives and embedded derivatives, non-GAAP financial measures, are based on common stockholders' equity excluding AOCI and the net impact of fair value accounting for derivatives and embedded derivatives. Since the net impact of fair value accounting for our derivatives and embedded derivatives fluctuates from quarter to quarter and the most significant impacts relate to fair value accounting for our fixed index annuity business and are not economic in nature but rather impact the timing of reported results, we believe these non-GAAP financial measures provide useful supplemental information.

(c)Book value per common share including and excluding AOCI and book value per common share excluding AOCI and the net impact of fair value accounting for derivatives and embedded derivatives are calculated as total common stockholders’ equity, total common stockholders’ equity excluding AOCI and total common stockholders' equity excluding AOCI and the net impact of fair value accounting for derivatives and embedded derivatives divided by the total number of shares of common stock outstanding.

Page 3

American Equity Investment Life Holding Company

Unaudited (Dollars in thousands)

NON-GAAP FINANCIAL MEASURES

Average Common Stockholders' Equity and Return on Average Common Stockholders' Equity

Return on average common stockholders' equity measures how efficiently we generate profits from the resources provided by our net assets. Return on average common stockholders' equity is calculated by dividing net income available to common stockholders, for the trailing twelve months, by average equity available to common stockholders. Non-GAAP operating return on average common stockholders' equity excluding average accumulated other comprehensive income (AOCI) and average net impact of fair value accounting for derivatives and embedded derivatives is calculated by dividing non-GAAP operating income available to common stockholders, for the trailing twelve months, by average common stockholders' equity excluding average AOCI and average net impact of fair value accounting for derivatives and embedded derivatives. We exclude AOCI because AOCI fluctuates from quarter to quarter due to unrealized changes in the fair value of available for sale investments. We exclude the net impact of fair value accounting for derivatives and embedded derivatives as the amounts are not economic in nature but rather impact the timing of reported results.


	Twelve Months Ended
	September 30, 2022
Average Common Stockholders' Equity Attributable to American Equity Investment Life Holding Company, Excluding Average AOCI and Average Net Impact of Fair Value Accounting for Derivatives and Embedded Derivatives
Average total stockholders’ equity	$	4,791,453
Average equity available to preferred stockholders	(700,000)
Average equity available to common stockholders	4,091,453
Average AOCI	128,707
Average common stockholders' equity excluding average AOCI	4,220,160
Average net impact of fair value accounting for derivatives and embedded derivatives	(741,386)
Average common stockholders' equity excluding average AOCI and average net impact of fair value accounting for derivatives and embedded derivatives	3,478,774
Impact of excluding notable items on average common stockholders' equity excluding average AOCI and average net impact of fair value accounting for derivatives and embedded derivatives	(2,669)
Average common stockholders' equity excluding average AOCI, average net impact of fair value accounting for derivatives and embedded derivatives and notables	$	3,476,105

Net income available to American Equity Investment Life Holding Company common stockholders	$	1,288,865
Adjustments to arrive at non-GAAP operating income available to common stockholders: (a)
Net realized losses on financial assets, including credit losses	59,366
Change in fair value of derivatives and embedded derivatives	(1,233,866)

Income taxes	256,503
Non-GAAP operating income available to common stockholders	370,868
Impact of excluding notable items (b)	(5,337)
Non-GAAP operating income available to common stockholders, excluding notable items	$	365,531

Return on Average Common Stockholders' Equity Attributable to American Equity Investment Life Holding Company
Net income available to common stockholders	31.5		%

Return on Average Common Stockholders' Equity Attributable to American Equity Investment Life Holding Company, Excluding Average AOCI and Average Net Impact of Fair Value Accounting for Derivatives and Embedded Derivatives

Non-GAAP operating income available to common stockholders	10.7		%
Non-GAAP operating income available to common stockholders, excluding notable items	10.5		%


Notable Items	Twelve Months Ended
	September 30, 2022
Notable items impacting non-GAAP operating income available to common stockholders:

Impact of actuarial assumption updates	$	5,337

Total notable items (b)	$	5,337

Page 4

Document

Exhibit 99.2

AMERICAN EQUITY INVESTMENT LIFE HOLDING COMPANY

Financial Supplement

September 30, 2022


A.	Financial Highlights
	Condensed Consolidated Balance Sheets	1
	Consolidated Statements of Operations	2
	Quarterly Summary - Most Recent 5 Quarters	3
	Non-GAAP Financial Measures
	Reconciliation from Net Income Available to Common Stockholders to Non-GAAP Operating Income Available to Common Stockholders and Non-GAAP Operating Income Available to Common Stockholders, Excluding Notable Items	5
	Summary of Adjustments to Arrive at Non-GAAP Operating Income Available to Common Stockholders	6
	Quarterly Summary - Reconciliation from Net Income Available to Common Stockholders to Non-GAAP Operating Income Available to Common Stockholders and Non-GAAP Operating Income Available to Common Stockholders, Excluding Notable Items	7
	Quarterly Summary - Summary of Adjustments to Arrive at Non-GAAP Operating Income Available to Common Stockholders	9
	Capitalization/Book Value per Common Share	10
	Spread Results	11

B.	Product Summary
	Summary of Cost of Money for Deferred Annuities	11
	Annuity Account Balance Rollforward	12
	Notional Values Subject to Recurring Fees Under Reinsurance Agreements	12
	Annuity Deposits by Product Type	13
	Surrender Charge Protection and Account Values by Product Type	13
	Annuity Liability Characteristics	14

C.	Investment Summary
	Summary of Invested Assets	17
	Credit Quality of Fixed Maturity Securities	17
	Watch List Securities	17
	Fixed Maturity Securities by Sector	18
	Mortgage Loans on Real Estate	19

D.	Shareholder Information	21

E.	Research Analyst Coverage	22

Table of Contents

AMERICAN EQUITY INVESTMENT LIFE HOLDING COMPANY

Financial Supplement - September 30, 2022

Unaudited (Dollars in thousands)

AMERICAN EQUITY INVESTMENT LIFE HOLDING COMPANY

CONDENSED CONSOLIDATED BALANCE SHEETS


	September 30, 2022		December 31, 2021
Assets
Investments:
Fixed maturity securities, available for sale, at fair value	$	41,087,911	$	51,305,943
Mortgage loans on real estate	6,601,445		5,687,998
Real estate investments	897,673		337,939
Derivative instruments	196,656		1,277,480
Other investments	2,636,152		1,767,144
Total investments	51,419,837		60,376,504

Cash and cash equivalents	1,808,132		4,508,982

Coinsurance deposits	8,848,418		8,850,608
Accrued investment income	516,649		445,097
Deferred policy acquisition costs	3,878,343		2,222,769
Deferred sales inducements	2,649,102		1,546,073
Deferred income taxes	246,492		—
Income taxes recoverable	103,838		166,586
Other assets	714,186		232,490
Total assets	$	70,184,997	$	78,349,109

Liabilities and Stockholders' Equity
Liabilities:
Policy benefit reserves	$	61,137,017	$	65,477,778
Other policy funds and contract claims	266,425		226,844
Notes and loan payable	794,831		496,250
Subordinated debentures	78,668		78,421

Deferred income taxes	—		541,972

Funds withheld for reinsurance liabilities	3,235,894		3,124,740
Other liabilities	1,461,534		2,079,977
Total liabilities	66,974,369		72,025,982

Stockholders' equity:
Preferred stock, Series A	16		16
Preferred stock, Series B	12		12
Common stock	85,967		92,514
Additional paid-in capital	1,362,022		1,614,374
Accumulated other comprehensive income (loss)	(2,214,388)		1,848,789
Retained earnings	3,974,069		2,767,422
Total stockholders' equity attributable to American Equity Investment Life Holding Company	3,207,698		6,323,127
Noncontrolling interests	2,930		—
Total stockholders' equity	3,210,628		6,323,127
Total liabilities and stockholders' equity	$	70,184,997	$	78,349,109

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Table of Contents

AMERICAN EQUITY INVESTMENT LIFE HOLDING COMPANY

Financial Supplement - September 30, 2022

Unaudited (Dollars in thousands, except per share data)

AMERICAN EQUITY INVESTMENT LIFE HOLDING COMPANY

CONSOLIDATED STATEMENTS OF OPERATIONS


	Three Months Ended September 30,				Nine Months Ended September 30,
	2022		2021		2022		2021
Revenues:
Premiums and other considerations	$	2,839	$	15,841	$	16,748	$	43,649
Annuity product charges	60,819		58,480		168,688		182,321
Net investment income	609,737		526,366		1,769,468		1,522,876
Change in fair value of derivatives	(176,671)		(70,701)		(1,160,371)		826,484
Net realized gains (losses) on investments	(15,860)		4,933		(62,259)		(2,764)
Other revenue	10,989		7,644		28,773		7,644

Total revenues	491,853		542,563		761,047		2,580,210

Benefits and expenses:
Insurance policy benefits and change in future policy benefits	5,707		18,756		25,436		51,008
Interest sensitive and index product benefits	121,890		817,014		729,407		2,106,590
Amortization of deferred sales inducements	127,784		(17,172)		361,775		93,283
Change in fair value of embedded derivatives	(415,374)		(536,404)		(2,695,007)		(545,104)
Interest expense on notes payable	8,984		6,535		21,870		19,322
Interest expense on subordinated debentures	1,333		1,342		3,996		3,994
Amortization of deferred policy acquisition costs	183,182		(1,588)		550,962		185,329
Other operating costs and expenses	59,532		56,518		177,575		177,433
Total benefits and expenses	93,038		345,001		(823,986)		2,091,855
Income before income taxes	398,815		197,562		1,585,033		488,355
Income tax expense	86,214		44,697		345,633		107,500
Net income	312,601		152,865		1,239,400		380,855
Less: Net income (loss) available to noncontrolling interests	1		—		(3)		—
Net income available to American Equity Investment Life Holding Company stockholders	312,600		152,865		1,239,403		380,855
Less: Preferred stock dividends	10,918		10,918		32,756		32,756
Net income available to American Equity Investment Life Holding Company common stockholders	$	301,682	$	141,947	$	1,206,647	$	348,099


Earnings per common share	$	3.44	$	1.53	$	13.07	$	3.69
Earnings per common share - assuming dilution	$	3.41	$	1.53	$	12.94	$	3.67

Weighted average common shares outstanding (in thousands):
Earnings per common share	87,707		92,478		92,339		94,326
Earnings per common share - assuming dilution	88,581		93,044		93,270		94,867

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Table of Contents

AMERICAN EQUITY INVESTMENT LIFE HOLDING COMPANY

Financial Supplement - September 30, 2022

Unaudited (Dollars in thousands, except per share data)

Quarterly Summary - Most Recent 5 Quarters


	Q3 2022		Q2 2022		Q1 2022		Q4 2021		Q3 2021
Revenues:
Traditional life insurance premiums	$	634	$	691	$	675	$	677	$	697
Life contingent immediate annuity considerations	2,205		3,140		9,403		13,876		15,144
Surrender charges	19,783		15,345		15,541		13,638		16,481
Lifetime income benefit rider fees	41,036		40,169		36,814		46,672		41,999
Net investment income	609,737		592,308		567,423		514,599		526,366
Change in fair value of derivatives	(176,671)		(506,181)		(477,519)		522,251		(70,701)
Net realized gains (losses) on investments	(15,860)		(33,272)		(13,127)		(10,478)		4,933
Other revenue (a)	10,989		9,195		8,589		8,026		7,644

Total revenues	491,853		121,395		147,799		1,109,261		542,563

Benefits and expenses:
Traditional life insurance policy benefits and change in future policy benefits	424		785		765		624		798
Life contingent immediate annuity benefits and change in future policy benefits	5,283		6,306		11,873		16,351		17,958
Interest sensitive and index product benefits (b)	121,890		234,855		372,662		574,816		817,014
Amortization of deferred sales inducements (c)	127,784		90,446		143,545		59,409		(17,172)
Change in fair value of embedded derivatives (d)	(415,374)		(885,984)		(1,393,649)		186,802		(536,404)
Interest expense on notes payable	8,984		6,461		6,425		6,259		6,535
Interest expense on subordinated debentures	1,333		1,346		1,317		1,330		1,342
Amortization of deferred policy acquisition costs (c)	183,182		142,354		225,426		82,999		(1,588)
Other operating costs and expenses	59,532		59,923		58,120		66,279		56,518
Total benefits and expenses	93,038		(343,508)		(573,516)		994,869		345,001
Income before income taxes	398,815		464,903		721,315		114,392		197,562
Income tax expense	86,214		104,327		155,092		21,255		44,697
Net income (b)(c)(d)	312,601		360,576		566,223		93,137		152,865
Less: Net income (loss) available to noncontrolling interests	1		(4)		—		—		—
Net income available to American Equity Investment Life Holding Company stockholders (b)(c)(d)	312,600		360,580		566,223		93,137		152,865
Less: Preferred stock dividends	10,918		10,919		10,919		10,919		10,918
Net income available to American Equity Investment Life Holding Company common stockholders (b)(c)(d)	$	301,682	$	349,661	$	555,304	$	82,218	$	141,947

Earnings per common share	$	3.44	$	3.78	$	5.73	$	0.89	$	1.53
Earnings per common share - assuming dilution (b)(c)(d)	$	3.41	$	3.74	$	5.67	$	0.88	$	1.53

Weighted average common shares outstanding (thousands):
Earnings per common share	87,707		92,544		96,866		92,479		92,478
Earnings per common share - assuming dilution	88,581		93,375		97,953		93,378		93,044

(a)Other revenue consists of $3.3 million in Q3 2022, $3.0 million in Q2 2022, $2.9 million in Q1 2022, $2.8 million in Q4 2021 and $2.7 million in Q3 2021 related to asset liability management fees and $7.7 million in Q3 2022, $6.2 million in Q2 2022, $5.7 million in Q1 2022, $5.3 million in Q4 2021 and $4.9 million in Q3 2021 related to amortization of the deferred gain associated with the cost of reinsurance. The deferred gain, which is recorded in Other liabilities on the Consolidated Balance Sheets, was $435.9 million and $321.7 million at September 30, 2022 and December 31, 2021, respectively. The deferred gain consists primarily of a difference between liabilities ceded and assets transferred and the present value of the ceding commissions offset by a reduction in deferred policy acquisition costs associated with the in-force business ceded.

(b)Q3 2022 includes a benefit from the update of assumptions used in determining reserves held for lifetime income benefit riders. The impact decreased interest sensitive and index products by $53.0 million and increased both net income and net income available to common stockholders by $41.6 million and increased earnings per common share - assuming dilution by $0.47 per share.

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Table of Contents

AMERICAN EQUITY INVESTMENT LIFE HOLDING COMPANY

Financial Supplement - September 30, 2022

Unaudited (Dollars in thousands, except per share data)

Q4 2021 includes expense from the update of assumptions used in determining reserves held for lifetime income benefit riders. The impact increased interest sensitive and index products by $10.5 million and decreased both net income and net income available to common stockholders by $8.2 million and decreased earnings per common share - assuming dilution by $0.09 per share.

Q3 2021 includes expense from the update of assumptions used in determining reserves held for lifetime income benefit riders. The impact increased interest sensitive and index products by $233.2 million and decreased both net income and net income available to common stockholders by $183.0 million and decreased earnings per common share - assuming dilution by $1.97 per share.

(c)Q3 2022 includes expense from the update of assumptions which increased amortization of deferred sales inducements and deferred policy acquisition costs by $45.7 million and $56.9 million, respectively, and decreased both net income and net income available to common stockholders by $80.5 million and decreased earnings per common share - assuming dilution by $0.91 per share.

Q4 2021 includes expense from the update of assumptions which increased amortization of deferred sales inducements and deferred policy acquisition costs by $6.3 million and $6.9 million, respectively, and decreased both net income and net income available to common stockholders by $10.4 million and decreased earnings per common share - assuming dilution by $0.11 per share

Q3 2021 includes a benefit from the update of assumptions which decreased amortization of deferred sales inducements and deferred policy acquisition costs by $51.4 million and $52.6 million, respectively, and increased both net income and net income available to common stockholders by $81.7 million and increased earnings per common share - assuming dilution by $0.88 per share.

(d)Q3 2022 includes a benefit from the update of assumptions used in determining the embedded derivative component of our fixed index annuity policy benefit reserves. The impact decreased change in fair value of embedded derivatives by $94.8 million and increased both net income and net income available to common stockholders by $74.4 million and increased earnings per common share - assuming dilution by $0.84 per share.

Q4 2021 includes expense from the update of assumptions used in determining the embedded derivative component of our fixed index annuity policy benefit reserves. The impact increased change in fair value of embedded derivatives by $3.5 million and decreased both net income and net income available to common stockholders by $2.7 million and decreased earnings per common share - assuming dilution by $0.03 per share.

Q3 2021 includes a benefit from the update of assumptions used in determining the embedded derivative component of our fixed index annuity policy benefit reserves. The impact decreased change in fair value of embedded derivatives by $125.8 million and increased both net income and net income available to common stockholders by $98.7 million and increased earnings per common share - assuming dilution by $1.06 per share.

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Table of Contents

AMERICAN EQUITY INVESTMENT LIFE HOLDING COMPANY

Financial Supplement - September 30, 2022

Unaudited (Dollars in thousands, except per share data)

NON-GAAP FINANCIAL MEASURES


	Three Months Ended September 30,				Nine Months Ended September 30,
	2022		2021		2022		2021
Net income available to American Equity Investment Life Holding Company common stockholders	$	301,682	$	141,947	$	1,206,647	$	348,099
Adjustments to arrive at non-GAAP operating income available to common stockholders: (a)
Net realized (gains) losses on financial assets, including credit losses	9,738		(3,900)		51,595		2,528
Change in fair value of derivatives and embedded derivatives	(248,823)		(75,879)		(1,219,322)		(172,746)


Income taxes	51,403		17,285		256,120		36,801
Non-GAAP operating income available to common stockholders	114,000		79,453		295,040		214,682
Impact of excluding notable items (b)	(26,572)		56,801		(26,572)		56,801
Non-GAAP operating income available to common stockholders, excluding notable items	$	87,428	$	136,254	$	268,468	$	271,483

Per common share - assuming dilution:
Net income available to American Equity Investment Life Holding Company common stockholders	$	3.41	$	1.53	$	12.94	$	3.67
Adjustments to arrive at non-GAAP operating income available to common stockholders:


Net realized (gains) losses on financial assets, including credit losses	0.11		(0.04)		0.55		0.02
Change in fair value of derivatives and embedded derivatives	(2.81)		(0.82)		(13.07)		(1.82)


Income taxes	0.58		0.18		2.75		0.39
Non-GAAP operating income available to common stockholders	1.29		0.85		3.17		2.26
Impact of excluding notable items	(0.30)		0.61		(0.29)		0.60
Non-GAAP operating income available to common stockholders, excluding notable items	$	0.99	$	1.46	$	2.88	$	2.86

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Table of Contents

AMERICAN EQUITY INVESTMENT LIFE HOLDING COMPANY

Financial Supplement - September 30, 2022

Unaudited (Dollars in thousands, except per share data)

Notable Items


	Three Months Ended September 30,				Nine Months Ended September 30,
	2022		2021		2022		2021
Notable items impacting non-GAAP operating income available to common stockholders:

Impact of actuarial assumption updates	$	26,572	$	(56,801)	$	26,572	$	(56,801)

Total notable items (b)	$	26,572	$	(56,801)	$	26,572	$	(56,801)

NON-GAAP FINANCIAL MEASURES

Summary of Adjustments to Arrive at Non-GAAP Operating Income Available to Common Stockholders


	Three Months Ended September 30,				Nine Months Ended September 30,
	2022		2021		2022		2021
Net realized (gains) losses on financial assets, including credit losses:
Net realized (gains) losses on financial assets, including credit losses	$	16,945	$	(4,016)	$	67,724	$	3,573
Amortization of DAC and DSI and accretion of LIBR reserves	(7,207)		116		(16,129)		(1,045)
Income taxes	(2,094)		838		(11,093)		(544)
	$	7,644	$	(3,062)	$	40,502	$	1,984
Change in fair value of derivatives and embedded derivatives:
Fixed index annuities	$	(299,168)	$	(125,075)	$	(1,218,988)	$	(287,606)
Reinsurance contracts	(116,230)		—		(518,096)		—
Interest rate swaps	14,446		—		18,112		—
Amortization of DAC and DSI	152,129		49,196		499,650		114,860
Income taxes	53,497		16,447		267,213		37,345
	$	(195,326)	$	(59,432)	$	(952,109)	$	(135,401)

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Table of Contents

AMERICAN EQUITY INVESTMENT LIFE HOLDING COMPANY

Financial Supplement - September 30, 2022

Unaudited (Dollars in thousands, except per share data)

NON-GAAP FINANCIAL MEASURES

Quarterly Summary - Most Recent 5 Quarters


	Q3 2022		Q2 2022		Q1 2022		Q4 2021		Q3 2021
Net income available to American Equity Investment Life Holding Company common stockholders	$	301,682	$	349,661	$	555,304	$	82,218	$	141,947
Adjustments to arrive at non-GAAP operating income available to common stockholders: (a)
Net realized (gains) losses on financial assets, including credit losses	9,738		31,572		10,285		7,771		(3,900)
Change in fair value of derivatives and embedded derivatives	(248,823)		(367,145)		(603,354)		(14,544)		(75,879)


Income taxes	51,403		77,056		127,661		383		17,285
Non-GAAP operating income available to common stockholders (b)(c)	114,000		91,144		89,896		75,828		79,453
Impact of excluding notable items (d)	(26,572)		—		—		21,235		56,801
Non-GAAP operating income available to common stockholders, excluding notable items	$	87,428	$	91,144	$	89,896	$	97,063	$	136,254

Per common share - assuming dilution:
Net income available to American Equity Investment Life Holding Company common stockholders	$	3.41	$	3.74	$	5.67	$	0.88	$	1.53
Adjustments to arrive at non-GAAP operating income available to common stockholders:


Net realized (gains) losses on financial assets, including credit losses	0.11		0.34		0.11		0.08		(0.04)
Change in fair value of derivatives and embedded derivatives	(2.81)		(3.93)		(6.16)		(0.15)		(0.82)


Income taxes	0.58		0.83		1.30		—		0.18
Non-GAAP operating income available to common stockholders (b)(c)	1.29		0.98		0.92		0.81		0.85
Impact of excluding notable items (d)	(0.30)		—		—		0.23		0.61
Non-GAAP operating income available to common stockholders, excluding notable items	$	0.99	$	0.98	$	0.92	$	1.04	$	1.46

Notable Items


	Q3 2022		Q2 2022		Q1 2022		Q4 2021		Q3 2021
Notable items impacting non-GAAP operating income available to common stockholders:

Impact of actuarial assumption updates (b)(c)	$	26,572	$	—	$	—	$	(21,235)	$	(56,801)

Total notable items (d)	$	26,572	$	—	$	—	$	(21,235)	$	(56,801)

(b)Q3 2022 includes a benefit from the update of assumptions used in determining reserves held for lifetime income benefit riders. The impact decreased interest sensitive and index products by $53.0 million and increased both non-GAAP operating income available to common stockholders and non-GAAP operating income available to common stockholders per share - assuming dilution by $41.6 million and $0.47 per share, respectively.

Q4 2021 includes expense from the update of assumptions used in determining reserves held for lifetime income benefit riders. The impact increased interest sensitive and index products by $10.5 million and decreased both non-GAAP operating income available to common stockholders and non-GAAP operating income available to common stockholders per share - assuming dilution by $8.2 million and $0.09 per share, respectively.

Q3 2021 includes expense from the update of assumptions used in determining reserves held for lifetime income benefit riders. The impact increased interest sensitive and index products by $233.2 million and decreased both non-GAAP operating income available to common stockholders and non-GAAP operating income available to common stockholders per share - assuming dilution by $183.0 million and $1.97 per share, respectively.

(c)Q3 2022 includes expense from the update of assumptions which increased amortization of deferred sales inducements and deferred policy acquisition costs by $8.7 million and $10.5 million, respectively, and decreased non-GAAP operating income available to common stockholders and non-GAAP operating income available to common stockholders per common share - assuming dilution by $15.1 million and $0.17 per share, respectively.

Q4 2021 includes expense from the update of assumptions which increased amortization of deferred sales inducements and deferred policy acquisition costs by $7.7 million and $8.8 million, respectively, and decreased non-GAAP operating income available to common stockholders and non-GAAP operating income available to common stockholders per common share - assuming dilution by $13.0 million and $0.14 per share, respectively.

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Table of Contents

AMERICAN EQUITY INVESTMENT LIFE HOLDING COMPANY

Financial Supplement - September 30, 2022

Unaudited (Dollars in thousands, except per share data)

Q3 2021 includes a benefit from the update of assumptions which decreased amortization of deferred sales inducements and deferred policy acquisition costs by $73.8 million and $87.0 million, respectively, and increased non-GAAP operating income available to common stockholders and non-GAAP operating income available to common stockholders per common share - assuming dilution by $126.2 million and $1.36 per share, respectively.

(d)Notable items reflect the after-tax impact to non-GAAP operating income available to common stockholders for certain items that do not reflect the company's expected ongoing operations. Notable items primarily include the impact from actuarial assumption updates. The presentation of notable items is intended to help investors better understand our results and to evaluate and forecast those results.

Page 8

Table of Contents

AMERICAN EQUITY INVESTMENT LIFE HOLDING COMPANY

Financial Supplement - September 30, 2022

Unaudited (Dollars in thousands)

NON-GAAP FINANCIAL MEASURES

Summary of Adjustments to Arrive at Non-GAAP Operating Income Available to Common Stockholders


	Q3 2022		Q2 2022		Q1 2022		Q4 2021		Q3 2021
Net realized (gains) losses on investments	$	15,860	$	33,272	$	13,127	$	10,478	$	(4,933)
Change in fair value of derivatives	14,423		415,171		546,442		(215,961)		411,330
Increase (decrease) in total revenues	30,283		448,443		559,569		(205,483)		406,397

Amortization of deferred sales inducements	(59,647)		(37,179)		(90,361)		(4,506)		(17,682)
Change in fair value of embedded derivatives	415,374		885,984		1,393,649		(186,802)		536,404
Interest sensitive and index product benefits (a)	502		(2,569)		143		971		(944)
Amortization of deferred policy acquisition costs	(86,861)		(62,220)		(150,793)		(8,373)		(31,602)

Increase (decrease) in total benefits and expenses	269,368		784,016		1,152,638		(198,710)		486,176
Decrease in income before income taxes	(239,085)		(335,573)		(593,069)		(6,773)		(79,779)
Decrease in income tax expense	(51,403)		(77,056)		(127,661)		(383)		(17,285)
Decrease in net income available to common stockholders	$	(187,682)	$	(258,517)	$	(465,408)	$	(6,390)	$	(62,494)

(a)Interest sensitive and index product benefits adjustment reflects the change in the allowance for credit losses on our reinsurance recoverable/coinsurance deposits. The change in this allowance is reflected in the net realized (gains) losses of financial assets, including credit losses line in the other Non-GAAP financial measures tables in this financial supplement.

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Table of Contents

AMERICAN EQUITY INVESTMENT LIFE HOLDING COMPANY

Financial Supplement - September 30, 2022

Unaudited (Dollars in thousands, except share and per share data)

Capitalization/Book Value per Common Share


	Q3 2022			Q2 2022			Q1 2022			Q4 2021			Q3 2021
Capitalization:
Notes and loan payable	$	800,000		$	500,000		$	500,000		$	500,000		$	500,000
Subordinated debentures payable to subsidiary trusts	78,668			78,584			78,502			78,421			78,342
Total debt	878,668			578,584			578,502			578,421			578,342
Total stockholders’ equity attributable to American Equity Investment Life Holding Company	3,207,698			3,882,217			5,171,086			6,323,127			6,375,208
Total capitalization	4,086,366			4,460,801			5,749,588			6,901,548			6,953,550
Accumulated other comprehensive (income) loss (AOCI)	2,214,388			1,387,968			(63,706)			(1,848,789)			(1,956,974)
Total capitalization excluding AOCI (a)	$	6,300,754		$	5,848,769		$	5,685,882		$	5,052,759		$	4,996,576

Total stockholders’ equity attributable to American Equity Investment Life Holding Company	$	3,207,698		$	3,882,217		$	5,171,086		$	6,323,127		$	6,375,208
Equity available to preferred stockholders (b)	(700,000)			(700,000)			(700,000)			(700,000)			(700,000)
Total common stockholders' equity (c)	2,507,698			3,182,217			4,471,086			5,623,127			5,675,208
Accumulated other comprehensive income	2,214,388			1,387,968			(63,706)			(1,848,789)			(1,956,974)
Total common stockholders’ equity excluding AOCI (c)	4,722,086			4,570,185			4,407,380			3,774,338			3,718,234
Net impact of fair value accounting for derivatives and embedded derivatives	(1,217,754)			(1,031,257)			(750,229)			(274,981)			(265,018)
Total common stockholders’ equity excluding AOCI and the net impact of fair value accounting for derivatives and embedded derivatives (c)	$	3,504,332		$	3,538,928		$	3,657,151		$	3,499,357		$	3,453,216

Common shares outstanding	85,966,505			90,168,512			95,019,904			92,513,517			92,513,517

Book Value per Common Share: (d)
Book value per common share	$	29.17		$	35.29		$	47.05		$	60.78		$	61.34
Book value per common share excluding AOCI (c)	$	54.93		$	50.68		$	46.38		$	40.80		$	40.19
Book value per common share excluding AOCI and the net impact of fair value accounting for derivatives and embedded derivatives (c)	$	40.76		$	39.25		$	38.49		$	37.83		$	37.33

Debt-to-Capital Ratios: (e)
Senior debt / Total capitalization	12.7		%	8.5		%	8.8		%	9.9		%	10.0		%
Total debt / Total capitalization	13.9		%	9.9		%	10.2		%	11.4		%	11.6		%

(a)Total capitalization excluding AOCI, a non-GAAP financial measure, is based on stockholders' equity excluding the effect of AOCI.

(b)Equity available to preferred stockholders is equal to the redemption value of outstanding preferred stock plus share dividends declared but not yet issued.

(c)Total common stockholders' equity, total common stockholders' equity excluding AOCI and total common stockholders' equity excluding AOCI and the net impact of fair value accounting for derivatives and embedded derivatives, non-GAAP financial measures, exclude equity available to preferred stockholders. Total common stockholders’ equity and book value per common share excluding AOCI, non-GAAP financial measures, are based on common stockholders’ equity excluding the effect of AOCI. Since AOCI fluctuates from quarter to quarter due to unrealized changes in the fair value of available for sale securities, we believe these non-GAAP financial measures provide useful supplemental information. Total common stockholders' equity and book value per common share excluding AOCI and the net impact of fair value accounting for derivatives and embedded derivatives, non-GAAP financial measures, are based on common stockholders' equity excluding AOCI and the net impact of fair value accounting for derivatives and embedded derivatives. Since the net impact of fair value accounting for our derivatives and embedded derivatives fluctuates from quarter to quarter and the most significant impacts relate to fair value accounting for our fixed index annuity business and are not economic in nature but rather impact the timing of reported results, we believe these non-GAAP financial measures provide useful supplemental information.

(d)Book value per common share including and excluding AOCI and book value per common share excluding AOCI and the net impact of fair value accounting for derivatives and embedded derivatives are calculated as total common stockholders’ equity, total common stockholders’ equity excluding AOCI and total common stockholders' equity excluding AOCI and the net impact of fair value accounting for derivatives and embedded derivatives divided by the total number of shares of common stock outstanding.

(e)Debt-to-capital ratios are computed using total capitalization excluding AOCI.

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AMERICAN EQUITY INVESTMENT LIFE HOLDING COMPANY

Financial Supplement - September 30, 2022

Unaudited (Dollars in thousands)

Spread Results


Nine Months Ended September 30,
2022	2021		Q3 2022	Q2 2022	Q1 2022	Q4 2021	Q3 2021
4.33%	3.71%	Average yield on invested assets	4.48%	4.33%	4.15%	3.80%	3.91%
1.69%	1.55%	Aggregate cost of money	1.75%	1.69%	1.64%	1.51%	1.51%
2.64%	2.16%	Aggregate investment spread	2.73%	2.64%	2.51%	2.29%	2.40%

		Impact of:
0.04%	0.11%	Investment yield - additional prepayment income	0.03%	0.05%	0.03%	0.12%	0.12%
0.02%	0.05%	Cost of money effect of over hedging	—%	0.02%	0.03%	0.14%	0.08%

$54,553,196	$54,865,298	Weighted average investments	$54,378,154	$54,768,966	$54,728,239	$54,407,554	$53,781,352
54,056,886	54,197,140	Ending investments	54,056,886	54,699,422	54,838,509	54,617,968	54,197,140

Weighted average investments include fixed maturity securities at amortized cost and mortgage loans on real estate and other investments at carrying values as reflected in the consolidated balance sheets. The numerator for average yield on invested assets includes net investment income and the tax effect of investment income that is exempt from income taxes.

Summary of Cost of Money for Deferred Annuities


Nine Months Ended September 30,
2022		2021			Q3 2022		Q2 2022		Q1 2022		Q4 2021		Q3 2021
				Included in interest sensitive and index product benefits:
$	301,431	$	1,535,320	Index credits	$	4,648	$	72,398	$	224,385	$	442,568	$	475,292
184,487		181,918		Interest credited	62,383		60,770		61,334		63,974		62,804
				Included in change in fair value of derivatives:
(308,072)		(1,559,495)		Proceeds received at option expiration	(4,865)		(75,115)		(228,092)		(459,982)		(489,902)
492,669		476,616		Pro rata amortization of option cost	167,197		165,375		160,097		153,399		150,262
$	670,515	$	634,359	Cost of money for deferred annuities	$	229,363	$	223,428	$	217,724	$	199,959	$	198,456

$	52,811,080	$	54,600,512	Weighted average liability balance outstanding	$	52,337,208	$	52,940,739	$	53,155,293	$	53,064,893	$	52,644,622

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AMERICAN EQUITY INVESTMENT LIFE HOLDING COMPANY

Financial Supplement - September 30, 2022

Unaudited (Dollars in thousands, except per share data)

Annuity Account Balance Rollforward


Nine Months Ended September 30,
2022		2021			Q3 2022		Q2 2022		Q1 2022		Q4 2021		Q3 2021
$	53,191,277	$	54,056,725	Account balances at beginning of period	$	52,762,558	$	53,119,291	$	53,191,277	$	52,938,493	$	56,630,138
(257,779)		(4,279,394)		Reserves ceded - in-force	(257,779)		—		—		—		(4,279,394)
52,933,498		49,777,331		Account balance at beginning of period, net of reinsurance ceded	52,504,779		53,119,291		53,191,277		52,938,493		52,350,744
1,734,231		4,669,315		Net deposits	496,940		562,366		674,925		815,890		1,090,461
74,074		71,684		Premium bonuses	27,385		23,547		23,142		23,476		22,021
485,918		1,717,238		Fixed interest credited and index credits	67,031		133,168		285,719		506,542		538,096
(50,669)		(54,019)		Surrender charges	(19,783)		(15,345)		(15,541)		(13,638)		(16,481)
(118,019)		(128,302)		Lifetime income benefit rider fees	(41,036)		(40,169)		(36,814)		(46,672)		(41,999)
(3,145,344)		(3,114,754)		Surrenders, withdrawals, deaths, etc.	(1,121,627)		(1,020,300)		(1,003,417)		(1,032,814)		(1,004,349)
$	51,913,689	$	52,938,493	Account balances at end of period	$	51,913,689	$	52,762,558	$	53,119,291	$	53,191,277	$	52,938,493

$	2,542,651	$	2,245,040	Lifetime income benefit rider reserves, excluding unrealized gain/loss adjustment	$	2,542,651	$	2,491,096	$	2,396,587	$	2,311,842	$	2,245,040

Notional Values Subject to Recurring Fees Under Reinsurance Agreements


Nine Months Ended September 30,
2022		2021			Q3 2022		Q2 2022		Q1 2022		Q4 2021		Q3 2021
$	4,083,301	$	3,736,355	Cash surrender value of business ceded at beginning of period subject to recurring fees	$	4,457,735	$	4,264,133	$	4,083,301	$	3,900,540	$	3,736,355
866,240		164,185		Cash surrender value of business ceded during the period subject to recurring fees	491,806		193,602		180,832		182,761		164,185
$	4,949,541	$	3,900,540	Cash surrender value of business ceded at end of period subject to recurring fees (a)	$	4,949,541	$	4,457,735	$	4,264,133	$	4,083,301	$	3,900,540

0.30%		0.30%		Asset liability management fee	0.30%		0.30%		0.30%		0.30%		0.30%
0.71%		0.53%		Weighted average ceding commission fee	0.71%		0.64%		0.60%		0.57%		0.53%

(a)The business ceded to Brookfield Asset Management Re receives an annual ceding commission equal to 49 basis points for business written before July 1, 2021 and 140 basis points for business written after July 1, 2021 and an annual asset liability management fee of 30 basis points calculated based on initial cash surrender value of liabilities ceded. These annual fees are fixed and contractually guaranteed for six years with the additional and final seventh year payment being contingent on certain performance obligations for both parties.

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AMERICAN EQUITY INVESTMENT LIFE HOLDING COMPANY

Financial Supplement - September 30, 2022

Unaudited (Dollars in thousands)

Annuity Deposits by Product Type


Nine Months Ended September 30,
2022		2021			Q3 2022		Q2 2022		Q1 2022		Q4 2021		Q3 2021
				American Equity Life:
$	2,055,120	$	1,947,241	Fixed index annuities	$	627,444	$	671,696	$	755,980	$	806,238	$	727,641
3,473		5,285		Annual reset fixed rate annuities	1,271		1,140		1,062		848		1,462
7,295		849,062		Multi-year fixed rate annuities	4,465		485		2,345		6,640		14,196
18,441		45,671		Single premium immediate annuities	1,915		3,073		13,453		14,145		16,282
2,084,329		2,847,259			635,095		676,394		772,840		827,871		759,581
				Eagle Life:
333,507		520,967		Fixed index annuities	102,379		104,374		126,754		176,101		187,611
150		337		Annual reset fixed rate annuities	143		—		7		13		—
17,147		1,556,391		Multi-year fixed rate annuities	14,684		123		2,340		40,901		362,769
350,804		2,077,695			117,206		104,497		129,101		217,015		550,380
				Consolidated:
2,388,627		2,468,208		Fixed index annuities	729,823		776,070		882,734		982,339		915,252
3,623		5,622		Annual reset fixed rate annuities	1,414		1,140		1,069		861		1,462
24,442		2,405,453		Multi-year fixed rate annuities	19,149		608		4,685		47,541		376,965
18,441		45,671		Single premium immediate annuities	1,915		3,073		13,453		14,145		16,282
2,435,133		4,924,954		Total before coinsurance ceded	752,301		780,891		901,941		1,044,886		1,309,961
682,461		209,968		Coinsurance ceded	253,446		215,452		213,563		214,851		203,218
$	1,752,672	$	4,714,986	Net after coinsurance ceded	$	498,855	$	565,439	$	688,378	$	830,035	$	1,106,743

Surrender Charge Protection and Account Values by Product Type

Annuity Surrender Charges and Net (of Coinsurance) Account Values at September 30, 2022:


	Surrender Charge			Net Account Value
Product Type	Avg. Years At Issue	Avg. Years Remaining	Avg. % Remaining	Dollars in Thousands		%
Fixed Index Annuities	12.6	4.9	8.0%	$	46,352,864	89.3	%
Annual Reset Fixed Rate Annuities	8.1	1.8	3.7%	1,373,539		2.6	%
Multi-Year Fixed Rate Annuities	3.9	1.9	7.6%	4,187,286		8.1	%
Total	11.8	4.6	7.8%	$	51,913,689	100.0	%

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AMERICAN EQUITY INVESTMENT LIFE HOLDING COMPANY

Financial Supplement - September 30, 2022

Unaudited (Dollars in thousands)

Annuity Liability Characteristics


Surrender Charge Percentages:	Fixed Annuities Account Value		Fixed Index Annuities Account Value
No surrender charge	$	900,020	$	4,130,378
0.0% < 2.0%	74,031		2,581,530
2.0% < 3.0%	81,350		4,540,041
3.0% < 4.0%	70,035		1,274,657
4.0% < 5.0%	11,501		3,196,346
5.0% < 6.0%	50,574		2,887,625
6.0% < 7.0%	61,002		2,756,994
7.0% < 8.0%	176,106		2,877,601
8.0% < 9.0%	3,767,463		3,103,889
9.0% < 10.0%	95,017		3,484,053
10.0% or greater	273,726		15,519,750
	$	5,560,825	$	46,352,864


Surrender Charge Expiration By Year:	Fixed and Fixed Index Annuities Account Value		Weighted Average Surrender Charge
Out of Surrender Charge	$	5,030,398	0.00	%
2022	442,192		2.16	%
2023	4,477,908		3.47	%
2024	5,983,423		4.70	%
2025	5,639,283		4.82	%
2026	6,028,979		6.67	%
2027	4,275,258		8.20	%
2028	3,796,062		9.37	%
2029	4,125,905		10.72	%
2030	2,826,420		13.19	%
2031	3,947,254		14.07	%
2032	2,828,819		14.77	%
2033	1,085,614		17.53	%
2034	686,554		18.11	%
2035	356,217		18.59	%
2036	187,964		19.08	%
2037	113,192		19.63	%
2038	82,247		20.00	%
	$	51,913,689	7.84	%

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AMERICAN EQUITY INVESTMENT LIFE HOLDING COMPANY

Financial Supplement - September 30, 2022

Unaudited (Dollars in thousands)

Annuity Liability Characteristics


Credited Rate vs. Ultimate Minimum Guaranteed Rate Differential:	Fixed Annuities Account Value		Fixed Index Annuities Account Value
No differential	$	990,150	$	1,033,902
› 0.00% - 0.25%	28,522		108,079
› 0.25% - 0.50%	206,872		6,020
› 0.50% - 1.00%	5,388		143
› 1.00% - 1.50%	4,652		—




1.00% ultimate guarantee - 2.12% wtd avg interest rate (a)	4,088,793		1,147,535
1.50% ultimate guarantee - 1.06% wtd avg interest rate (a)	125,570		2,795,498
1.75% ultimate guarantee - 1.84% wtd avg interest rate (a)	47,791		321,304
2.00% ultimate guarantee - 1.73% wtd avg interest rate (a)	63,087		—
2.25% ultimate guarantee - 1.57% wtd avg interest rate (a)	—		560,389
3.00% ultimate guarantee - 1.86% wtd avg interest rate (a)	—		1,142,066
Allocated to index strategies (see tables that follow)	—		39,237,928
	$	5,560,825	$	46,352,864

(a)The minimum guaranteed interest rate for the fixed rate or the fixed rate strategy ranges from 0.5% - 1.75%. The ultimate guaranteed rate is applied on less than 100% of the premium.

If all crediting rates were reduced to minimum guaranteed rates (subject to limitations imposed by ultimate minimum guaranteed rates where applicable) the weighted average crediting rate as of September 30, 2022 for fixed annuities and funds allocated to the fixed rate strategy for fixed index annuities would decrease by 0.14%.

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AMERICAN EQUITY INVESTMENT LIFE HOLDING COMPANY

Financial Supplement - September 30, 2022

Unaudited (Dollars in thousands)

Annuity Liability Characteristics

FIXED INDEX ANNUITIES ACCOUNT VALUE - INDEX STRATEGIES


Annual Monthly Average and Point-to-Point with Caps
	Minimum Guaranteed Cap
	1%		3%		4%		7%		8% +
Current Cap
At minimum	$	1,140	$	82,880	$	4,664,185	$	50,500	$	112,277
1.75% - 3%	7,296,416		—		—		—		—
3% - 4%	606,337		1,869		—		—		—
4% - 5%	1,959,195		487,045		510,316		—		—
5% - 6%	214,391		73,988		208		—		—
6% - 7%	7,963		—		268		—		—
>= 7%	23,891		16,143		324		4,336		—


Annual Monthly Average and Point-to-Point with Participation Rates
	Minimum Guaranteed Participation Rate
	10%		20% - 25%		35%		50% +
Current Participation Rate
At minimum	$	175,153	$	502,705	$	67,829	$	80,003
< 20%	1,618,059		—		—		—
20% - 40%	3,283,848		288,261		5,161		—
40% - 60%	470,700		12,927		32,295		—
60% - 100%	1,241,847		—		—		—
> 100%	1,639,644		—		—		—


S&P 500 Monthly Point-to-Point - Minimum Guaranteed Monthly Cap = 1.0%
Current Cap
At minimum	$	1,717,638
1.10% - 1.30%	5,899,649
1.40% - 1.60%	1,260,922
1.70% - 2.00%	356,566
>= 2.10%	23,618


Volatility Control Index
Current Asset Fee
At Maximum	$	—
0.75% - 1.75%	319,897
2.00% - 2.75%	164,645
3.00% - 3.50%	422,376
3.75% - 5.25%	3,345,174

If all caps and participation rates were reduced to minimum caps and participation rates and current asset fees were increased to their maximums, the cost of options would decrease by 0.93% based upon prices of options for the week ended October 1, 2022.

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AMERICAN EQUITY INVESTMENT LIFE HOLDING COMPANY

Financial Supplement - September 30, 2022

Unaudited (Dollars in thousands)

Summary of Invested Assets


	September 30, 2022				December 31, 2021
	Carrying Amount		Percent		Carrying Amount		Percent
Fixed maturity securities:
U.S. Government and agencies	$	169,538	0.3	%	$	1,078,746	1.9	%
States, municipalities and territories	4,042,851		8.3	%	3,758,761		6.5	%
Foreign corporate securities and foreign governments	837,199		1.7	%	375,097		0.6	%
Corporate securities	25,333,341		52.2	%	32,631,189		57.0	%
Residential mortgage backed securities	1,372,741		2.8	%	1,125,049		2.0	%
Commercial mortgage backed securities	3,471,595		7.2	%	4,682,900		8.2	%
Other asset backed securities	3,889,475		8.0	%	5,146,567		9.0	%
Total fixed maturity securities	39,116,740		80.5	%	48,798,309		85.2	%
Mortgage loans on real estate	6,452,614		13.3	%	5,650,480		9.9	%
Real estate investments	897,673		1.9	%	337,939		0.6	%
Derivative instruments	196,656		0.4	%	1,277,480		2.2	%
Other investments	1,881,117		3.9	%	1,210,464		2.1	%
Total investments, net of modified coinsurance investments	48,544,800		100.0	%	57,274,672		100.0	%
Modified coinsurance investments	2,875,037				3,101,832
Total investments	$	51,419,837			$	60,376,504

Credit Quality of Fixed Maturity Securities - September 30, 2022


NAIC Designation	Carrying Amount		Percent		Rating Agency Rating	Carrying Amount		Percent
1	$	23,405,353	59.8	%	Aaa/Aa/A	$	23,217,697	59.4	%
2	15,048,575		38.5	%	Baa	15,217,776		38.9	%
3	533,889		1.4	%	Ba	537,358		1.4	%
4	82,402		0.2	%	B	81,178		0.2	%
5	37,389		0.1	%	Caa	19,176		—	%
6	9,132		—	%	Ca and lower	43,555		0.1	%
	39,116,740		100.0	%		39,116,740		100.0	%
Modified coinsurance investments	1,971,171				Modified coinsurance investments	1,971,171
	$	41,087,911				$	41,087,911

Watch List Securities - September 30, 2022


General Description (a)	Amortized Cost		Allowance for Credit Losses		Amortized Cost, Net of Allowance		Net Unrealized Losses, Net of Allowance		Fair Value

Corporate securities - Public securities	$	12,974	$	—	$	12,974	$	(90)	$	12,884
Corporate securities - Private placement securities	10,646		(3,214)		7,432		(3,296)		4,136
Residential mortgage backed securities	29,207		(1,706)		27,501		(1,441)		26,060
Commercial mortgage backed securities	39,734		—		39,734		(2,353)		37,381
Other asset backed securities	2,835		—		2,835		(38)		2,797
Collateralized loan obligations	66,435		—		66,435		(13,634)		52,801
	$	161,831	$	(4,920)	$	156,911	$	(20,852)	$	136,059

(a)The watch list consists of all fixed maturity securities we have determined contain elevated credit risk, including those we have taken credit losses on.

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AMERICAN EQUITY INVESTMENT LIFE HOLDING COMPANY

Financial Supplement - September 30, 2022

Unaudited (Dollars in thousands)

Fixed Maturity Securities by Sector


	September 30, 2022				December 31, 2021
	Amortized Cost		Fair Value		Amortized Cost		Fair Value
Available for sale:
U.S. Government and agencies	$	172,754	$	169,538	$	1,046,029	$	1,078,746
States, municipalities and territories	4,557,947		4,042,851		3,325,468		3,758,761
Foreign corporate securities and foreign governments	909,508		837,199		353,198		375,097
Corporate securities:
Capital goods	2,141,047		1,913,583		2,329,169		2,666,627
Consumer discretionary	6,329,156		5,470,654		6,132,199		6,946,585
Energy	1,615,232		1,480,328		1,968,576		2,214,513
Financials	7,761,465		6,862,530		6,998,286		7,714,869

Government non-guaranteed	202,842		174,952		471,015		541,233
Industrials	239,750		210,634		377,631		425,201
Information technology	1,928,214		1,719,777		1,718,596		1,918,197
Materials	1,552,737		1,372,084		1,672,144		1,875,276

Telecommunications	1,597,196		1,355,333		1,569,176		1,756,741
Transportation	1,246,943		1,114,539		1,312,909		1,454,391
Utilities	4,094,960		3,598,741		4,156,578		4,716,397
Other	59,693		60,186		350,592		401,159
Residential mortgage backed securities:
Government agency	823,948		767,665		455,136		500,698

Prime	398,193		366,930		537,559		544,084
Alt-A	56,490		60,609		59,129		75,361
Non-qualified mortgage	81,790		73,167		—		—

Other	105,037		104,370		4,954		4,906
Commercial mortgage backed securities:
Government agency	181,367		168,771		380,339		415,026
Non-agency	3,640,186		3,302,824		4,169,970		4,267,874
Other asset backed securities:
Auto	47,868		45,634		218,106		222,364
Consumer discretionary	119,129		116,313		—		—

Financials	283,227		257,497		4,441		4,887

Collateralized loan obligations	3,456,944		3,093,776		3,789,984		3,745,452


Other	416,994		376,255		1,088,751		1,173,864
	44,020,617		39,116,740		44,489,935		48,798,309
Modified coinsurance investments	2,485,104		1,971,171		2,509,248		2,507,634
	$	46,505,721	$	41,087,911	$	46,999,183	$	51,305,943

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AMERICAN EQUITY INVESTMENT LIFE HOLDING COMPANY

Financial Supplement - September 30, 2022

Unaudited (Dollars in thousands)

Mortgage Loans on Real Estate


	September 30, 2022				December 31, 2021
	Principal		Percent		Principal		Percent
Geographic distribution: commercial mortgage loans
East	$	522,913	15.2	%	$	614,406	17.1	%
Middle Atlantic	253,929		7.4	%	283,494		7.9	%
Mountain	425,348		12.4	%	452,818		12.6	%
New England	51,262		1.5	%	60,172		1.7	%
Pacific	790,171		23.0	%	836,062		23.2	%
South Atlantic	892,915		25.9	%	785,679		21.8	%
West North Central	209,532		6.1	%	235,864		6.6	%
West South Central	293,879		8.5	%	326,819		9.1	%
	3,439,949		100.0	%	3,595,314		100.0	%
Modified coinsurance investments	149,903				37,817
	$	3,589,852			$	3,633,131

Property type distribution: commercial mortgage loans
Office	$	279,080	8.1	%	$	287,557	8.0	%
Medical Office	10,408		0.3	%	10,827		0.3	%
Retail	895,201		26.0	%	1,016,101		28.2	%
Industrial/Warehouse	848,979		24.7	%	924,779		25.7	%
Apartment	913,716		26.6	%	854,580		23.8	%
Hotel	286,271		8.3	%	283,500		7.9	%
Mixed Use/Other	206,294		6.0	%	217,970		6.1	%
	3,439,949		100.0	%	3,595,314		100.0	%
Modified coinsurance investments	149,903				37,817
	$	3,589,852			$	3,633,131

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AMERICAN EQUITY INVESTMENT LIFE HOLDING COMPANY

Financial Supplement - September 30, 2022

Unaudited (Dollars in thousands)


	September 30, 2022
	Commercial		Agricultural		Residential		Total
Credit exposure - by payment activity
Performing	$	3,439,949	$	579,383	$	2,392,286	$	6,411,618
In workout	—		—		—		—
Delinquent	—		3,135		31,676		34,811
Principal outstanding	3,439,949		582,518		2,423,962		6,446,429

Unamortized discounts and premiums, net	—		—		47,259		47,259
Deferred fees and costs, net	(5,188)		(1,723)		1,441		(5,470)
Amortized cost	3,434,761		580,795		2,472,662		6,488,218

Valuation allowance	(23,613)		(810)		(11,181)		(35,604)
Carrying value	3,411,148		579,985		2,461,481		6,452,614

Modified coinsurance investments	148,831		—		—		148,831
	$	3,559,979	$	579,985	$	2,461,481	$	6,601,445

	December 31, 2021
	Commercial		Agricultural		Residential		Total
Credit exposure - by payment activity
Performing	$	3,595,314	$	408,135	$	1,645,905	$	5,649,354
In workout	—		—		—		—
Delinquent	—		—		7,005		7,005
Principal outstanding	3,595,314		408,135		1,652,910		5,656,359

Unamortized discounts and premiums, net	—		—		22,143		22,143
Deferred fees and costs, net	(4,330)		(1,136)		1,468		(3,998)
Amortized cost	3,590,984		406,999		1,676,521		5,674,504

Valuation allowance	(17,926)		(519)		(5,579)		(24,024)
Carrying value	3,573,058		406,480		1,670,942		5,650,480

Modified coinsurance investments	37,518		—		—		37,518
	$	3,610,576	$	406,480	$	1,670,942	$	5,687,998

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AMERICAN EQUITY INVESTMENT LIFE HOLDING COMPANY

Financial Supplement - September 30, 2022

Shareholder Information

Corporate Offices:

American Equity Investment Life Holding Company

6000 Westown Parkway

West Des Moines, IA 50266

Inquiries:

Steven Schwartz, Vice President-Investor Relations

(515) 273-3763, sschwartz@american-equity.com

Common Stock and Dividend Information:

New York Stock Exchange symbol: “AEL”


	High	Low	Close	Dividend Declared
2022
First Quarter	$44.49	$35.05	$39.91	$0.00
Second Quarter	$42.18	$32.65	$36.57	$0.00
Third Quarter	$43.55	$33.22	$37.29	$0.00


2021
First Quarter	$32.54	$26.21	$31.53	$0.00
Second Quarter	$33.68	$29.18	$32.32	$0.00
Third Quarter	$33.79	$27.12	$29.57	$0.00
Fourth Quarter	$39.88	$29.46	$38.92	$0.34

2020
First Quarter	$34.16	$9.07	$18.80	$0.00
Second Quarter	$27.09	$14.76	$24.71	$0.00
Third Quarter	$27.32	$19.06	$21.99	$0.00
Fourth Quarter	$34.25	$22.37	$27.66	$0.32

Transfer Agent:

Computershare Trust Company, N.A.

P.O. Box 43010

Providence, RI 02940-0310

Phone: (877) 282-1169

Fax: (781) 575-2723

www.computershare.com

Annual Report and Other Information:

Shareholders may receive when available, without charge, a copy of American Equity’s Annual Report, SEC filings and/or press releases by calling Steven Schwartz, Vice President-Investor Relations, at (515) 273-3763 or by visiting our website at www.american-equity.com.

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Table of Contents

AMERICAN EQUITY INVESTMENT LIFE HOLDING COMPANY

Financial Supplement - September 30, 2022

Research Analyst Coverage

Erik Bass

Autonomous Research US LP

(646) 561-6248

ebass@autonomous.com

Andrew Kligerman

Credit Suisse Securities

(919) 593-7737

andrew.kligerman@credit-suisse.com

Thomas Gallagher

Evercore ISI

(212) 446-9439

thomas.gallagher@evercoreisi.com

Daniel Bergman

Jefferies

(617) 345-8688

dbergman@jefferies.com

Pablo Singzon II

JP Morgan

(212) 622-2295

pablo.s.singzon@jpmorgan.com

Ryan Krueger

Keefe, Bruyette & Woods

(860) 722-5930

rkrueger@kbw.com

Nigel Dally

Morgan Stanley Research

(212) 761-4132

Nigel.Dally@morganstanley.com

John Barnidge

Piper Sandler & Co.

(312) 281-3412

John.Barnidge@psc.com

Wilma Burdis

Raymond James & Associates, Inc.

(727) 567-8371

wilma.burdis@raymondjames.com

Mark A. Dwelle

RBC Capital Markets, LLC

(804) 782-4008

mark.dwelle@rbccm.com

Mark Hughes

Truist Securities

(615) 748-4422

mark.hughes@research.truist.com

Page 22