← Back to VOYA filing summaryOriginal filing text · Part I
Item 2 — Management's Discussion and Analysis
Voya Financial, Inc. · 10-Q · Q2 FY2026 · Period ended Jun 30, 2026
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For the purposes of this discussion, the terms "Voya," "the Company," "we," "our," and "us" refer to Voya Financial, Inc. and its subsidiaries.
The following discussion and analysis presents a review of our condensed consolidated results of operations for the three and six months ended June 30, 2026 and 2025 and financial condition as of June 30, 2026 and December 31, 2025. This item should be read in its entirety and in conjunction with the Condensed Consolidated Financial Statements and related notes contained in Part I, Item 1. of this Quarterly Report on Form 10-Q, as well as Management's Discussion and Analysis of Financial Condition and Results of Operations ("MD&A") section contained in our Annual Report on Form 10-K.
In addition to historical data, this discussion contains forward-looking statements about our business, operations and financial performance based on current expectations that involve risks, uncertainties and assumptions. Actual results may differ materially from those discussed in the forward-looking statements as a result of various factors. See the Note Concerning Forward-Looking Statements.
Overview
We are a leading provider of workplace benefits and savings solutions and technologies to U.S. employers, enabling better financial outcomes for their employees and for those who depend on their employees through our retirement solutions, retail wealth services, and a comprehensive portfolio of benefits products. We are also a leading international asset manager, built on a foundation of institutional-quality fixed income and private asset strategies, with a well-established presence in U.S. markets and a large and growing business managing retail and institutional equity, fixed income and blended strategies for clients in Europe and Asia.
We are focused on executing our mission to make a secure financial future possible—one person, one family and one institution at a time. Voya’s scale, business mix, risk profile, and strong excess capital generation are competitive differentiators, and we have a clear path to increasing excess capital generation and Adjusted operating earnings growth via net revenue growth, margin expansion, and disciplined capital management.
We provide products and services through three segments: Retirement, Investment Management and Employee Benefits.
Retirement
Our Retirement segment provides retirement plan solutions and administration technology and services to employers. These products and services include full-service and recordkeeping-only defined contribution plan administration, stable value and fixed general account investment products, and non-qualified plan administration. It also includes tools, guidance, and services to promote the financial well-being and retirement security of employees. Additionally, we provide individual retirement accounts and financial guidance and advisory services that enables us to deepen relationships with our retirement plan participants.
Revenue is earned from a diverse and complementary business mix and consists primarily of fee and investment income. Fee income is generated from asset-based and participant-based administrative, recordkeeping and advisory fees. Investment income derives from our general account assets and other funds. Because a significant portion of our revenues is tied to account values, our profitability is determined in part by the amount of assets we have under management, administration or advisement. This in turn depends on sales volumes from new and existing clients, net deposits from retirement plan participants, asset retention, and changes in the market value of account assets. Our profitability also depends on the difference between the investment income we earn on our general account assets, or our portfolio yield, and crediting rates on client accounts.
Investment Management
With global distribution capabilities, we offer domestic and international fixed income, equity, alternatives and multi-asset products and solutions across market sectors and investment styles through our actively managed, full-service investment management business. We aim to provide positive investment results that are repeatable and consistent, and deliver research-driven, risk-adjusted, client-oriented investment strategies and solutions and advisory services across asset classes, geographies and investment styles.
Through our institutional distribution channel and our Retirement and Employee Benefits businesses, we serve a variety of institutional clients, including public, corporate and multiemployer defined benefit and defined contribution retirement plans,
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endowments and foundations, and insurance companies. We are a market leader in providing third-party general account management services to insurance companies, with a focus on public and private fixed income asset strategies, and a client service model adapted for the particular needs of insurance company clients. We also serve individual investors by offering our mutual funds, separately managed accounts, and private and alternative funds through an intermediary-focused distribution platform or through affiliate and third-party retirement platforms. Our scaled and growing international retail business is conducted through sub-advisory agreements with investment vehicles sponsored by affiliates of AllianzGI and distributed in Europe and Asia.
Investment Management’s primary source of revenue is management fees collected on the assets we manage. These fees are typically based on a percentage of AUM. In certain investment management fee arrangements, we may also receive performance-based incentive fees when the return on AUM exceeds certain benchmark returns or other performance hurdles. In addition, and to a lesser extent, Investment Management collects administrative fees on outside managed assets that are administered by our mutual fund platform and distributed primarily by our Retirement segment. Investment Management also receives fees as the primary investment manager of our general account, which is managed on a market-based pricing basis. Finally, Investment Management generates revenues from a portfolio of seed capital investments in private equity, collateralized loan obligations and various funds.
Employee Benefits
Our Employee Benefits segment provides workplace employee benefits including group life insurance, disability insurance, leave management services, supplemental benefit insurance, financial wellness, and decision support products and services to mid-size and large corporate employers and professional associations. We serve the employer market by providing stop-loss coverage to employer plan sponsors that self-fund their pharmaceutical and medical benefits plans. In addition, we provide Health Account Solutions (Health Savings Account ("HSA")/Flexible Spending Account ("FSA")/Health Reimbursement Arrangements ("HRA") and COBRA administration).
Our Employee Benefits segment also provides benefits and plan administration services to employers and health plans through our Benefitfocus business. Benefitfocus provides market-leading benefits enrollment and administration services to employers and plan enrollment services to health plans. It also provides a benefits marketplace through which employees can select and enroll in voluntary benefits offered by their employers. Our Benefitfocus platform is open-architecture and product-agnostic, enrolling and administering benefits from a variety of third-party carriers.
In addition, we also provide decision support tools through the Benefitfocus enrollment platform and through our MyVoyage application, which provides a comprehensive guidance tool for employees to see their entire financial picture including their workplace benefits and savings. We support employers by taking on the administrative burden of benefits enrollment and administration, leave management, COBRA administration, and other obligations.
The Employee Benefits segment generates revenue from premiums and fees, investment income, mortality and morbidity income, and policy and other charges. Underwriting income comprises the majority of revenues in this segment and derives from the difference between premiums and mortality charges collected and benefits and expenses paid for group life, stop-loss and voluntary benefits. Fee income is generated from services provided on benefits administration, leave management, HSA/FSA/HRA and COBRA administration and proprietary decision support tools. Investment income is driven by the spread between investment yields and credited rates (the interest and income that is credited to the policies) to policyholders on voluntary universal life, whole life products, and HSA invested assets, as well as the spread earned on policyholder reserves and target surplus.
Business Update
On January 2, 2025, we completed the acquisition of the full-service retirement plan business of OneAmerica Financial through the purchase of legal entities and an indemnity reinsurance agreement. The acquisition adds scale and a broader set of capabilities to our full-service business in Retirement, including incremental assets in emerging and mid-market segments, employee stock ownership plan capabilities and new distribution partnerships. The purchase consideration included $50 million in cash paid at closing and contingent consideration based on plan persistency and transition incentives. During the first quarter of 2026, we paid $129 million of contingent consideration, with up to $20 million remaining payable later in 2026 based on the achievement of transition services incentives.
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Operating Measures
In this MD&A, we discuss Adjusted operating earnings before income taxes and Adjusted operating revenues, each of which is a measure used by management to evaluate segment performance. For additional information on each measure, see Note 9, Segments to our Condensed Consolidated Financial Statements in Part I, Item 1. of this Quarterly Report on Form 10-Q.
Assets Under Management ("AUM") and Assets Under Advisement ("AUA")
The following table presents AUM and AUA as of the dates indicated:
As of June 30,
($ in millions) 2026 2025
AUM and AUA:
Retirement $ 863,457 $ 757,244
Investment Management 439,877 413,119
Employee Benefits 1,892 1,963
Eliminations/Other(1) (121,454) (117,098)
Total AUM and AUA(2) $ 1,183,772 $ 1,055,228
AUM 623,169 582,945
AUA 560,603 472,283
Total AUM and AUA(2) $ 1,183,772 $ 1,055,228
(1) Includes eliminations for AUM and AUA in our Retirement and Employee Benefits segments that are managed by our Investment Management segment and also reported in their AUM and AUA.
(2) Includes AUM and AUA related to the divested businesses managed by our Investment Management segment.
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Results of Operations - Consolidated
The following table presents our Condensed Consolidated Statements of Operations for the periods indicated:
Three Months Ended June 30, Six Months Ended June 30,
($ in millions) 2026 2025 Change 2026 2025 Change
Revenues:
Net investment income $ 537 $ 584 $ (47) $ 1,106 $ 1,144 $ (38)
Fee income 620 577 43 1,224 1,147 77
Premiums 716 718 (2) 1,460 1,455 5
Net gains (losses) (40) (41) 1 (85) (75) (10)
Other revenue 112 100 12 221 204 17
Income (loss) related to CIEs (49) 43 (92) 1 75 (74)
Total revenues 1,896 1,981 (85) 3,927 3,950 (23)
Benefits and expenses:
Interest credited and other benefits to contract owners/policyholders 825 801 24 1,644 1,636 8
Operating expenses 898 857 41 1,746 1,681 65
Net amortization of DAC and VOBA 62 58 4 127 120 7
Interest expense 33 28 5 62 60 2
Operating expenses related to CIEs 44 49 (5) 84 92 (8)
Total benefits and expenses 1,862 1,793 69 3,663 3,589 74
Income (loss) before income taxes 34 188 (154) 264 361 (97)
Income tax expense (benefit) 16 27 (11) 51 49 2
Net income (loss) 18 161 (143) 213 312 (99)
Less: Net income (loss) attributable to noncontrolling interest and redeemable noncontrolling interest (76) (5) (71) (63) (10) (53)
Less: Preferred stock dividends 4 4 — 21 21 —
Net income (loss) available to our common shareholders $ 90 $ 162 $ (72) $ 255 $ 301 $ (46)
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Consolidated - Three Months Ended June 30, 2026 Compared to Three Months Ended June 30, 2025
Total revenues
Total revenues decreased $85 million from $1,981 million to $1,896 million. The following items contributed to the overall decrease.
Net investment income decreased $47 million from $584 million to $537 million primarily due to:
•overall market impacts to limited partnership valuations.
The decrease was partially offset by:
•higher investment income on fixed maturity securities primarily due to prepayments and actions to improve the portfolio yield.
Fee income increased $43 million from $577 million to $620 million primarily due to:
•higher average equity markets; and
•strong commercial momentum in Investment Management and Retirement .
Other revenue increased $12 million from $100 million to $112 million primarily due to:
•favorable market value adjustments in Retirement; and
•an increase in other interest income due to actions to increase yield on cash balances.
Income (loss) related to CIEs decreased $92 million from income of $43 million to a loss of $49 million primarily due to:
•overall market impacts to limited partnership valuations.
Total benefits and expenses
Total benefits and expenses increased $69 million from $1,793 million to $1,862 million. The following items contributed to the overall increase.
Interest credited and other benefits to contract owners/policyholders increased $24 million from $801 million to $825 million primarily due to:
•less favorable Stop Loss and Voluntary developments in the current period compared to the prior period in Employee Benefits.
The increase was partially offset by:
•favorable Group Life experience in Employee Benefits.
Operating expenses increased $41 million from $857 million to $898 million primarily due to:
•investments in Retirement;
•business growth; and
•higher severance expenses in the current period.
The increase was partially offset by:
•disciplined management of spend; and
•lower acquisition and integration costs.
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Income tax expense (benefit)
Income tax expense (benefit) decreased $11 million from $27 million to $16 million primarily due to:
•a decrease in Income (loss) before income taxes.
The decrease was partially offset by:
•an increase in the tax effect of Net income (loss) attributable to noncontrolling interest; and
•a decrease in the dividends received deduction ("DRD").
Consolidated - Six Months Ended June 30, 2026 Compared to Six Months Ended June 30, 2025
Total Revenues
Total revenues decreased $23 million from $3,950 million to $3,927 million. The following items contributed to the overall decrease.
Net investment income decreased $38 million from $1,144 million to $1,106 million primarily due to:
•overall market impacts to limited partnership valuations.
The decrease was partially offset by:
•higher investment income on fixed maturity securities primarily due to prepayments and actions to improve the portfolio yield.
Fee income increased $77 million from $1,147 million to $1,224 million primarily due to:
•higher average equity markets; and
•strong commercial momentum in Investment Management.
Income (loss) related to CIEs decreased $74 million from $75 million to $1 million primarily due to:
•overall market impacts to limited partnership valuations.
Total Benefits and Expenses
Total benefits and expenses increased $74 million from $3,589 million to $3,663 million. The following items contributed to the overall increase.
Operating expenses increased $65 million from $1,681 million to $1,746 million primarily due to:
•business growth;
•investments in Retirement; and
•higher severance expenses in the current period.
The increase was partially offset by:
•disciplined management of spend; and
•lower acquisition and integration costs.
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Adjustments from Income (loss) before income taxes to Adjusted operating earnings before income taxes
The summary below reconciles Income (loss) before income taxes to Adjusted operating earnings before income taxes for the periods indicated:
Three Months Ended June 30, Six Months Ended June 30,
($ in millions) 2026 2025 Change 2026 2025 Change
Income (loss) before income taxes $ 34 $ 188 $ (154) $ 264 $ 361 $ (97)
Less adjustments:
Net investment gains (losses) (21) (29) 8 (58) (31) (27)
Income (loss) related to businesses exited or to be exited through reinsurance or divestment (29) (30) 1 (55) (69) 14
Income (loss) attributable to noncontrolling interests (76) (5) (71) (63) (10) (53)
Dividend payments made to preferred shareholders 4 4 — 21 21 —
Other adjustments(1) (11) (41) 30 (5) (71) 66
Total adjustments to income (loss) before income taxes (133) (101) (32) (160) (160) —
Total adjusted operating earnings before income taxes $ 167 $ 289 $ (122) $ 424 $ 521 $ (97)
Adjusted operating earnings before income taxes by segment:
Retirement $ 190 $ 235 $ (45) $ 399 $ 442 $ (43)
Investment Management 74 65 9 133 118 15
Employee Benefits 22 69 (47) 85 115 (30)
Corporate(2)(3) (104) (67) (37) (167) (131) (36)
Total including noncontrolling interest 183 302 (119) 450 545 (95)
Less: Earning (loss) attributable to the noncontrolling interest 16 13 3 27 24 3
Total $ 167 $ 289 $ (122) $ 424 $ 521 $ (97)
(1) Primarily consists of acquisition and integration costs associated with recent transactions and amortization of acquisition-related intangible assets. For the three and six months ended June 30, 2026, also includes a $21 million, pre-tax, gain on the sale of an office building. For the three and six months ended June 30, 2025, also includes $23 million and $31 million, pre-tax of severance expenses, respectively.
(2) For the three and six months ended June 30, 2026, includes approximately $40 million, pre-tax, of severance expenses.
(3) Corporate is not a reportable segment.
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Consolidated - Three Months Ended June 30, 2026 Compared to Three Months Ended June 30, 2025
Adjustments to Income (loss) before income taxes
Net investment gains (losses) improved $8 million from a loss of $29 million to a loss of $21 million primarily due to:
•net favorable changes in derivative valuations due to interest rate movements; and
•lower credit allowances in the current year compared to the prior year.
This was partially offset by:
•an unfavorable change in mark-to-market adjustments on securities subject to fair value option accounting primarily due to interest rate movements.
Other adjustments to operating earnings improved $30 million from a loss of $41 million to a loss of $11 million primarily due to:
•lower acquisition costs, including lower integration and severance costs.
Consolidated - Six Months Ended June 30, 2026 Compared to Six Months Ended June 30, 2025
Adjustments to Income (loss) before income taxes
Net investment gains (losses) worsened $27 million from a loss of $31 million to a loss of $58 million primarily due to:
•an unfavorable change in mark-to-market adjustments on securities subject to fair value option accounting primarily due to interest rate movements; and
•an unfavorable change in market risk benefits driven by equity market performance and interest rate movements.
This was partially offset by:
•net favorable changes in derivative valuations due to interest rate movements; and
•lower credit allowances in the current year compared to the prior year.
Income (loss) related to businesses exited or to be exited through reinsurance or divestment improved $14 million from a loss of $69 million to a loss of $55 million primarily due to:
•lower amortization of intangibles reflecting business run-off; and
•net favorable market value changes on embedded derivatives primarily due to interest rate movements.
Other adjustments to operating earnings improved $66 million from a loss of $71 million to a loss of $5 million primarily due to:
•lower acquisition costs, including lower integration and severance costs; and
•a gain on the sale of an office building.
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Results of Operations - Segment by Segment
Adjusted operating earnings before income taxes is the measure of segment profit or loss management uses to evaluate segment performance. Adjusted operating earnings before income taxes should not be viewed as a substitute for GAAP pre-tax income. We believe the presentation of segment Adjusted operating earnings before income taxes as we measure it for management purposes enhances the understanding of our business by reflecting the underlying performance of our core operations and facilitating a more meaningful trend analysis. Refer to Note 9, Segments to our Condensed Consolidated Financial Statements in Part I, Item 1. of this Quarterly Report on Form 10-Q for further information on the presentation of segment results, our definition of Adjusted operating earnings before income taxes and Adjusted operating revenues, which are both non-GAAP financial measures, and a reconciliation to the most directly comparable GAAP measure.
Adjusted operating benefits and expenses is a measure of our segment operating benefits and expenses and a non-GAAP financial measure. Each segment’s Adjusted operating benefits and expenses are calculated by adjusting Total benefits and expenses for the following items:
•Changes in market risk benefits;
•Benefits and expenses related to businesses exited or to be exited through reinsurance or divestment;
•Expenses attributable to noncontrolling interests;
•Dividend payments made to preferred shareholders are included in adjusted operating benefits and expenses to reflect expenses related to our common shareholders;
•Other adjustments include:
◦Income (loss) related to early extinguishment of debt;
◦Impairment of goodwill and intangible assets;
◦Amortization of acquisition-related intangible assets as well as contingent consideration fair value adjustments incurred in connection with certain acquisitions;
◦Expected return on plan assets net of interest costs associated with our qualified defined benefit pension plan and immediate recognition of net actuarial gains (losses) related to all of our pension and other postretirement benefit obligations and gains (losses) from plan amendments and curtailments;
◦Commissions paid to our broker-dealers for sales of non-proprietary products, other items where the income is passed on to third parties, which are reflected in adjusted operating revenue with the fee income related to those products and the elimination of intercompany investment expenses included in Adjusted operating benefits and expenses;
◦Other items not indicative of normal operations or performance of our segments or that may be related to events such as capital or organizational restructurings, including certain costs related to debt and equity offerings, acquisition / merger integration expenses, severance and other third-party expenses associated with such activities, and expenses attributable to vacant real estate.
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The summary below reconciles Total benefits and expenses to Adjusted operating benefits and expenses for the periods indicated:
Three Months Ended June 30, Six Months Ended June 30,
($ in millions) 2026 2025 2026 2025
Total benefits and expenses $ 1,862 $ 1,793 $ 3,663 $ 3,589
Less adjustments:
Changes in market risk benefits (12) (9) 4 (12)
Benefits and expenses related to businesses exited or to be exited through reinsurance or divestment 50 60 95 127
Expenses attributable to noncontrolling interests 56 54 98 95
Dividend payments made to preferred shareholders (4) (4) (21) (21)
Other adjustments 71 95 121 158
Total adjusted operating benefits and expenses $ 1,701 $ 1,598 $ 3,366 $ 3,243
Adjusted operating benefits and expenses by segment:
Retirement $ 609 $ 589 $ 1,221 $ 1,180
Investment Management 181 174 373 364
Employee Benefits 799 763 1,591 1,558
Corporate 112 72 181 142
Total adjusted operating benefits and expenses $ 1,701 $ 1,598 $ 3,366 $ 3,243
Retirement
The following table presents Adjusted operating earnings before income taxes of our Retirement segment for the periods indicated:
Three Months Ended June 30, Six Months Ended June 30,
($ in millions) 2026 2025 2026 2025
Adjusted operating revenues:
Net investment income and net gains (losses) $ 422 $ 482 $ 878 $ 939
Fee income 350 319 691 637
Other revenue 28 24 52 46
Total adjusted operating revenues 799 824 1,620 1,622
Adjusted operating benefits and expenses:
Interest credited and other benefits to contract owners/policyholders 227 232 452 463
Operating expenses 356 330 714 662
Net amortization of DAC/VOBA 27 27 54 54
Total adjusted operating benefits and expenses 609 589 1,221 1,180
Adjusted operating earnings before income taxes $ 190 $ 235 $ 399 $ 442
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The following table presents Net revenue and Adjusted operating margin for our Retirement segment for the periods indicated:
Three Months Ended June 30, Six Months Ended June 30,
($ in millions) 2026 2025 2026 2025
Adjusted operating earnings before income taxes $ 190 $ 235 $ 399 $ 442
Total adjusted operating revenues 799 824 1,620 1,622
Less: Interest credited and other benefits to contract owners/policyholders 227 232 452 463
Net revenue $ 573 $ 592 $ 1,168 $ 1,159
Adjusted operating margin(1) 33.2 % 39.7 % 34.2 % 38.2 %
(1) Adjusted operating earnings before income taxes divided by Net revenue.
The following table presents Total Client Assets by product group, which comprise total AUM and AUA, for our Retirement segment as of the dates indicated:
As of June 30,
($ in millions) 2026 2025
Full Service $ 297,701 $ 270,477
Recordkeeping 493,823 419,669
Total Defined Contribution 791,524 690,146
Investment-only Stable Value 36,965 36,678
Wealth Management(1) 33,509 28,903
Other Assets(2) 6,547 5,503
Eliminations(3) (5,088) (3,986)
Total Client Assets by product group $ 863,457 $ 757,244
(1) Includes a proprietary IRA mutual fund product wholesaled as a manufacturer and sold to Wealth Management clients through a wholly owned broker-dealer and investment advisor, Voya Financial Advisors ("VFA"). Effective first quarter 2026, the VFA-sold or distributed portion previously eliminated through the Eliminations line is now eliminated within Wealth Management assets. This change did not affect Total Client Assets and prior periods have been recast for comparability.
(2) Other assets includes other guaranteed payout products and non-qualified retirement plans.
(3) Includes eliminations for certain client assets included in Recordkeeping and Investment-only Stable Value to better reflect the asset bases generating revenue.
The following table presents Total Client Assets by source of earnings, which comprise total AUM and AUA, for our Retirement segment as of the dates indicated:
As of June 30,
($ in millions) 2026 2025
Fee-based $ 766,014 $ 662,433
Spread-based(1) 32,057 33,220
Investment-only Stable Value 36,965 36,678
Wealth Management(2) 33,509 28,899
Eliminations (5,088) (3,986)
Total Client Assets by source of earnings $ 863,457 $ 757,244
(1) Spread-based client assets includes a portion of Full Service, as well as proprietary IRA mutual fund products and other guaranteed payout products.
(2) Includes a proprietary IRA mutual fund product wholesaled as a manufacturer and sold to Wealth Management clients through VFA. Effective first quarter 2026, the VFA-sold or distributed portion previously eliminated through the Eliminations line is now eliminated within Wealth Management assets. This change did not affect Total Client Assets and prior periods have been recast for comparability.
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The following table presents Full Service, Recordkeeping, and Stable Value net flows for our Retirement segment for the periods indicated:
Three Months Ended June 30, Six Months Ended June 30,
($ in millions) 2026 2025 2026 2025
Deposits $ 8,085 $ 7,571 $ 16,444 $ 16,046
Surrenders, benefits and product charges (11,083) (8,692) (23,706) (17,996)
Total Full Service Net flows (2,998) (1,121) (7,262) (1,949)
Recordkeeping Net Flows 11,077 12,732 6,143 42,964
Total Defined Contribution Net Flows(1) $ 8,079 $ 11,611 $ (1,118) $ 41,016
Investment-only Stable Value Net Flows $ 456 $ 252 $ 13 $ 1,411
(1) Total of Full Service and Recordkeeping.
Retirement - Three Months Ended June 30, 2026 Compared to Three Months Ended June 30, 2025
Adjusted operating earnings before income taxes decreased $45 million from $235 million to $190 million primarily due to:
•lower alternative investment income and spread based assets; and
•higher expenses driven by investments and business growth.
The decrease was partially offset by:
•higher fee income driven by higher average equity markets and business growth;
•active portfolio management; and
•disciplined management of spend.
Retirement - Six Months Ended June 30, 2026 Compared to Six Months Ended June 30, 2025
Adjusted operating earnings before income taxes decreased $43 million from $442 million to $399 million primarily due to:
•lower alternative investment income and spread based assets; and
•higher expenses driven by business growth and investments.
The decrease was partially offset by:
•higher fee income driven by higher average equity markets;
•active investment portfolio management; and
•disciplined management of spend.
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Investment Management
The following table presents Adjusted operating earnings before income taxes of our Investment Management segment for the periods indicated:
Three Months Ended June 30, Six Months Ended June 30,
($ in millions) 2026 2025 2026 2025
Adjusted operating revenues:
Net investment income and net gains (losses) $ 2 $ 5 $ 9 $ 11
Fee income 253 237 496 472
Other revenue 1 (3) 2 (1)
Total adjusted operating revenues 255 239 507 482
Adjusted operating benefits and expenses:
Operating expenses 181 174 373 364
Total adjusted operating benefits and expenses 181 174 373 364
Adjusted operating earnings before income taxes including noncontrolling interest 74 65 133 118
Less: Earnings (loss) attributable to the noncontrolling interest(1) 18 14 30 26
Adjusted operating earnings before income taxes $ 57 $ 51 $ 103 $ 92
(1) Reflects Allianz's 24% ownership stake in the results of VIM Holdings LLC.
The following table presents Net revenue and Adjusted operating margin for our Investment Management segment for the periods indicated:
Three Months Ended June 30, Six Months Ended June 30,
($ in millions) 2026 2025 2026 2025
Adjusted operating earnings before income taxes including noncontrolling interest $ 74 $ 65 $ 133 $ 118
Total adjusted operating revenues 255 239 507 482
Net revenue $ 255 $ 239 $ 507 $ 482
Adjusted operating margin(1) 29.1 % 27.3 % 26.3 % 24.5 %
(1) Adjusted operating earnings before income taxes divided by Net revenue.
Our Investment Management segment revenues include the following intersegment revenues, primarily consisting of asset-based management and administration fees, for the periods indicated:
Three Months Ended June 30, Six Months Ended June 30,
($ in millions) 2026 2025 2026 2025
Investment Management intersegment revenues $ 21 $ 21 $ 43 $ 43
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The following table presents AUM and AUA for our Investment Management segment as of the dates indicated:
As of June 30,
($ in millions) 2026 2025
External clients:
Institutional(1) $ 178,751 $ 166,833
Retail(1) 162,342 156,329
Total external clients 341,093 323,162
General account 36,118 36,428
Total AUM 377,211 359,589
AUA(2) 62,666 53,530
Total AUM and AUA $ 439,877 $ 413,119
(1) Includes assets associated with divested businesses.
(2) Includes assets sourced by other segments and also reported as AUA or AUM by such other segments. Assets Under Advisement, presented in AUA, includes advisory assets, mutual fund, general account and stable value assets.
The following table presents net flows for our Investment Management segment for the periods indicated:
Three Months Ended June 30, Six Months Ended June 30,
($ in millions) 2026 2025 2026 2025
AUM Net Flows:
Institutional $ 1,611 $ 952 $ 2,014 $ 6,139
Retail(1) (426) 874 (764) 3,370
Net Flows excluding Net Flows from Divested Businesses 1,185 1,826 1,250 9,509
Divested businesses (25) (259) (295) (633)
Total AUM Net Flows $ 1,160 $ 1,567 $ 955 $ 8,877
AUA Net Flows:
Assets Under Advisory Net Flows (AUA) $ 956 $ 1,967 $ 1,318 $ 2,897
AUA Net Flows from Divested Businesses (5) (29) (89) (78)
Total AUA Net Flows $ 951 $ 1,938 $ 1,229 $ 2,819
(1) Includes reinvested dividends.
Investment Management - Three Months Ended June 30, 2026 Compared to Three Months Ended June 30, 2025
Adjusted operating earnings before income taxes including noncontrolling interest increased $9 million from $65 million to $74 million primarily due to:
•higher fee-based revenues benefiting from positive net flows and capital markets; and
•disciplined management of spend.
The increase was partially offset by:
•higher operating expenses driven by business growth.
Investment Management - Six Months Ended June 30, 2026 Compared to Six Months Ended June 30, 2025
Adjusted operating earnings before income taxes including noncontrolling interest increased $15 million from $118 million to $133 million primarily due to:
•higher fee-based revenues benefiting from positive net flows and capital markets; and
•disciplined management of spend.
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The increase was partially offset by:
•higher operating expenses driven by business growth.
Employee Benefits
The following table presents Adjusted operating earnings before income taxes of the Employee Benefits segment for the periods indicated:
Three Months Ended June 30, Six Months Ended June 30,
($ in millions) 2026 2025 2026 2025
Adjusted operating revenues:
Net investment income and net gains (losses) $ 34 $ 43 $ 76 $ 80
Fee income 20 21 41 39
Premiums 717 720 1,456 1,454
Other revenue 50 48 102 100
Total adjusted operating revenues 821 832 1,675 1,673
Adjusted operating benefits and expenses:
Interest credited and other benefits to contract owners/policyholders 558 529 1,096 1,081
Operating expenses 229 227 469 461
Net amortization of DAC/VOBA 12 7 26 16
Total adjusted operating benefits and expenses 799 763 1,591 1,558
Adjusted operating earnings before income taxes $ 22 $ 69 $ 85 $ 115
The following table presents Net revenue and Adjusted operating margin for our Employee Benefits segment for the periods indicated:
Three Months Ended June 30, Six Months Ended June 30,
($ in millions) 2026 2025 2026 2025
Adjusted operating earnings before income taxes $ 22 $ 69 $ 85 $ 115
Total adjusted operating revenues 821 832 1,675 1,673
Less: Interest credited and other benefits to contract owners/policyholders 558 529 1,096 1,081
Net revenue $ 263 $ 303 $ 579 $ 592
Adjusted operating margin(1) 8.4 % 22.8 % 14.7 % 19.5 %
(1) Adjusted operating earnings before income taxes divided by Net revenue.
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The following table presents sales, gross premiums and in-force for our Employee Benefits segment for the periods indicated:
Three Months Ended June 30, Six Months Ended June 30,
($ in millions) 2026 2025 2026 2025
Sales by Product Line:
Group life and Disability $ 12 $ 22 $ 83 $ 96
Stop loss(1) 3 14 279 279
Total group products 15 36 362 375
Voluntary and Other(2) 29 37 150 136
Total sales by product line $ 44 $ 73 $ 512 $ 511
Total gross premiums and deposits $ 823 $ 843 $ 1,661 $ 1,689
Group life and Disability $ 913 $ 977 $ 913 $ 977
Stop loss 1,537 1,569 1,537 1,569
Voluntary and Other(1) 1,139 1,103 1,139 1,103
Total annualized in-force premiums and fees $ 3,589 $ 3,649 $ 3,589 $ 3,649
Loss Ratios:(3)
Group life (interest adjusted) 72.1 % 74.3 % 71.3 % 82.2 %
Stop loss 85.4 % 80.3 % 82.4 % 77.6 %
Total Aggregate Loss Ratio 75.0 % 70.7 % 72.2 % 71.4 %
Total Aggregate Loss Ratio Trailing Twelve Months 74.3 % 79.0 % 74.3 % 79.0 %
(1) Stop loss sales for the three months ended March 31, 2026 have been recast to remove a minor double count of sales in the previously reported figure.
(2) Includes benefit administration annual recurring revenue and Health Account Solutions products.
(3) Reported Loss ratios are net of reinsurance recoveries.
Employee Benefits - Three Months Ended June 30, 2026 Compared to Three Months Ended June 30, 2025
Adjusted Operating earnings before income taxes decreased $47 million from $69 million to $22 million primarily due to:
•less favorable Stop Loss and Voluntary developments in the current period compared to the prior period; and
•lower alternative investment income.
The decrease was partially offset by:
•favorable Group Life experience; and
•disciplined management of spend.
Employee Benefits - Six Months Ended June 30, 2026 Compared to Six Months Ended June 30, 2025
Adjusted Operating earnings before income taxes decreased $30 million from $115 million to $85 million primarily due to:
•less favorable Stop Loss and Voluntary developments in the current period compared to the prior period; and
•lower alternative investment income.
The decrease was partially offset by:
•favorable Group Life experience; and
•disciplined management of spend.
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Corporate
The following table presents Adjusted operating earnings before income taxes of Corporate for the periods indicated:
Three Months Ended June 30, Six Months Ended June 30,
($ in millions) 2026 2025 2026 2025
Adjusted operating revenues:
Net investment income and net gains (losses) $ 8 $ 5 $ 13 $ 10
Other revenue — — — 1
Total adjusted operating revenues 8 5 13 11
Adjusted operating benefits and expenses:
Operating expenses(1) 74 40 95 62
Interest expense(2) 38 32 86 80
Total adjusted operating benefits and expenses 112 72 181 142
Adjusted operating earnings before income taxes including noncontrolling interest (104) (67) (167) (131)
Less: Earnings (loss) attributable to the noncontrolling interest(3) (2) (1) (4) (2)
Adjusted operating earnings before income taxes $ (102) $ (67) $ (163) $ (129)
(1) Includes expenses from corporate activities and expenses not allocated to our segments.
(2) Includes dividend payments made to preferred shareholders.
(3) Reflects Allianz's 24% ownership stake in the results of VIM Holdings LLC.
Corporate - Three Months Ended June 30, 2026 Compared to Three Months Ended June 30, 2025
Adjusted operating earnings before income taxes including noncontrolling interest worsened $37 million from a loss of $67 million to a loss of $104 million primarily due to:
•severance costs in the current period.
Corporate - Six Months Ended June 30, 2026 Compared to Six Months Ended June 30, 2025
Adjusted operating earnings before income taxes including Allianz noncontrolling interest worsened $36 million from a loss of $131 million to a loss of $167 million primarily due to:
•severance costs in the current period.
Alternative Investment Income
Investment income on certain alternative investments can be volatile due to changes in market conditions. The following table presents the amount of investment income on certain alternative investments that is included in segment Adjusted operating earnings before income taxes and the average level of assets in each segment, prior to intercompany eliminations. This excludes alternative investments and income that are a component of Income (loss) related to businesses exited or to be exited through reinsurance or divestment. These alternative investments are carried at fair value, which is estimated based on the NAV of these funds. While investment income on these assets can be volatile, based on current plans, we expect to earn 9% on these assets over the long-term.
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The following table presents the alternative investment income and the average assets of alternative investments for the periods indicated:
Three Months Ended June 30, Six Months Ended June 30,
($ in millions) 2026 2025 2026 2025
Retirement:
Alternative investment income $ (12) $ 42 $ 17 $ 64
Average alternative investment 1,651 1,590 1,648 1,590
Investment Management:
Alternative investment income — 4 7 9
Average alternative investment 292 344 299 335
Employee Benefits:
Alternative investment income (3) 7 1 10
Average alternative investment 214 268 215 253
Liquidity and Capital Resources
Liquidity refers to our ability to access sufficient sources of cash to meet the requirements of our operating, investing and financing activities. Capital refers to our long-term financial resources available to support business operations and future growth. Our ability to generate and maintain sufficient liquidity and capital depends on the profitability of the businesses, timing of cash flows on investments and products, general economic conditions and access to the capital markets and the other sources of liquidity and capital described herein.
The following discussion presents an analysis of our sources and uses of liquidity and capital and should be read in its entirety and in conjunction with the Off-Balance Sheet Arrangements discussion included further below.
Consolidated Sources and Uses of Liquidity and Capital
Our principal available sources of liquidity are product charges, investment income, proceeds from the maturity and sale of investments, proceeds from debt issuance and borrowing facilities, equity securities issuance, repurchase agreements, contract deposits and securities lending. Primary uses of these funds are payments of policyholder benefits, commissions and operating expenses, interest credits, dividends, debt maturities and redemptions, share repurchases, investment purchases, business acquisitions and contract maturities, withdrawals and surrenders.
Parent Company Sources and Uses of Liquidity
Voya Financial, Inc. is largely dependent on cash flows from its operating subsidiaries to meet its obligations. The principal sources of funds available to Voya Financial, Inc. include dividends and returns of capital from its operating subsidiaries, as well as cash and short-term investments, and proceeds from debt issuances, borrowing facilities and equity securities issuances.
These sources of funds include the $500 million revolving credit sublimit of our senior unsecured credit facility, the $550 million undrawn capacity of our pre-capitalized trust securities ("P-Caps") and reciprocal borrowing facilities maintained with Voya Financial, Inc.'s subsidiaries as well as alternate sources of liquidity described below.
We estimate that our excess capital (which we define as the amount of total adjusted capital in our insurance subsidiaries above our 375% RBC target, plus the amount of holding company liquidity above our $200 million target) as of June 30, 2026, was approximately $0.2 billion. As of June 30, 2026, our estimated combined RBC ratio was 390%. Excess capital and the estimated RBC ratio are both adjusted for certain intercompany loans and transactions.
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Voya Financial, Inc.'s primary sources and uses of cash for the periods indicated are presented in the following table:
Six Months Ended June 30,
($ in millions) 2026 2025
Beginning cash and cash equivalents balance $ 155 $ 217
Sources:
Dividends and returns of capital from subsidiaries 640 422
Loans from subsidiaries, net of repayments 73 286
Debt issuance(1) 446 —
Amounts received from subsidiaries under tax sharing agreements, net 64 28
Refund of income taxes, net — 1
Settlement of amounts due from subsidiaries and affiliates, net 50 36
Collateral received, net 16 2
Derivatives, net 11 —
Total sources 1,300 775
Uses:
Payment of interest expense 61 53
Capital provided to subsidiaries 14 25
Payment for business acquisitions 129 50
Loans to subsidiaries, net of repayments 163 75
Payment of income taxes, net 4 —
Common stock acquired - share repurchase 300 —
Share-based compensation 30 36
Dividends paid on preferred stock 21 21
Dividends paid on common stock 86 87
Acquisition of short-term investments, net 11 60
Debt maturity(1) 447 400
Asset purchases and investment expense, net 14 —
Derivatives, net — 5
Other, net 26 31
Total uses 1,306 843
Net increase (decrease) in cash and cash equivalents (6) (68)
Ending cash and cash equivalents balance $ 149 $ 149
Liquid short-term investments(2) 89 80
Ending cash, cash equivalents and liquid short-term investments $ 238 $ 229
(1) See Debt below for further detail.
(2) Short-term investments have maturities of one year or less, but greater than three months, are liquid and primarily consist of commercial paper investments rated BBB+ or greater.
Liquidity
We manage liquidity through access to substantial investment portfolios as well as a variety of other sources of liquidity including committed credit facilities, securities lending and repurchase agreements. Our asset-liability management ("ALM") process considers the expected maturity of investments and expected benefit payments as well as the specific nature and risk profile of the liabilities. As part of our liquidity management process, we model different scenarios to determine whether existing assets are adequate to meet projected cash flows.
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Capitalization
The primary components of our capital structure consist of debt and equity securities. Our capital position is supported by cash flows within our operating subsidiaries, the availability of borrowed funds under liquidity facilities, and any additional capital we raise to invest in the growth of the business and for general corporate purposes. We manage our capital position based on a variety of factors including, but not limited to, our financial strength, the credit rating of Voya Financial, Inc. and of its insurance company subsidiaries and general macroeconomic conditions. We may repurchase or otherwise retire our debt and preferred stock and take other steps to reduce our debt and preferred stock or otherwise improve our financial position. These actions could include open market repurchases, negotiated repurchases, tender offers or other retirements of outstanding debt and opportunistic refinancing of debt. The amount that may be repurchased or otherwise retired, if any, will depend on market conditions, trading levels, cash position, compliance with covenants and other considerations.
See Note 19, Consolidated and Nonconsolidated Investment Entities to our Condensed Consolidated Financial Statements in Part I, Item 1. of this Quarterly Report on Form 10-Q for details regarding changes in noncontrolling interest during the year and their impact on capitalization.
Share Repurchase Program and Dividends to Common Shareholders
See Note 12, Shareholders' Equity to our Condensed Consolidated Financial Statements in Part I, Item 1. of this Quarterly Report on Form 10-Q for information relating to authorizations by the Board of Directors to repurchase our shares and amounts of common stock repurchased pursuant to such authorizations during the six months ended June 30, 2026. As of June 30, 2026, our remaining repurchase capacity under the Board's authorization was $263 million.
The following table provides a summary of common dividends and repurchases of common shares for the periods indicated:
Six Months Ended June 30,
($ in millions) 2026 2025
Dividends paid on common shares $ 86 $ 87
Repurchases of common shares (at cost) 300 —
Total $ 386 $ 87
Debt
As of June 30, 2026, we had $153 million of short-term debt borrowings outstanding consisting entirely of the current portion of long-term debt. The following table summarizes our borrowing activities for the six months ended June 30, 2026:
($ in millions) Beginning Balance Issuance Maturities and Repayment Other Changes(1) Ending Balance
Total long-term debt $ 1,518 $ 450 $ — $ (18) $ 1,950
(1) Other changes primarily represent the reclassification of $13 million of debt maturing in 2027 from long-term to short-term debt and the impact of debt issuance costs.
See Note 17, Financing Agreements and Note 12, Shareholders' Equity to our Condensed Consolidated Financial Statements in Part I, Item 1. of this Quarterly Report on Form 10-Q for additional details on changes in debt and equity during the year and their impact on capitalization.
Pre-capitalized Trust Securities
On May 21, 2025, we entered into a 10-year Facility Agreement with a Delaware trust (the "Trust") following the completion of a private placement of Trust securities for $600 million of P-Caps, conducted pursuant to Rule 144A under the Securities Act. The Trust invested the proceeds from this offering in a portfolio of U.S. Treasury principal and interest strips ("Treasury securities").
Under the Facility Agreement, we have the right, on one or more occasions, to issue and sell up to $600 million of its 6.012% Senior Notes to the Trust in exchange for a corresponding amount of Treasury securities held by the Trust. In consideration for this right, we pay the Trust a semi-annual facility fee at a rate of 1.5175% per annum on the unexercised portion of the facility.
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These fees are recorded in Operating expenses in the Condensed Consolidated Statements of Operations. We also reimburse the Trust for its administrative expenses.
We may redeem the notes before maturity at par or, if higher, at a make-whole redemption price, plus accrued and unpaid interest. The P-Caps will be redeemed by the Trust on May 15, 2035, or earlier upon redemption of the 6.012% Senior Notes.
As of June 30, 2026, the remaining capacity under the facility was $550 million.
Credit Facilities
See Note 17, Financing Agreements to our Condensed Consolidated Financial Statements in Part I, Item 1. of this Quarterly Report on Form 10-Q for information on credit facilities.
Voya Financial, Inc. Credit Support of Subsidiaries
Voya Financial, Inc. provides guarantees to certain of our subsidiaries to support various business requirements:
•Voya Financial, Inc. guarantees the obligations of Voya Holdings under the $13 million principal amount of the 8.42% Equitable of Iowa Companies Capital Trust II Notes, due 2027, and provides a back-to-back guarantee to ING Group in respect of its guarantee of $218 million combined principal amount of Aetna Notes.
•Voya Financial, Inc. and Voya Holdings provide a guarantee of payment of obligations to certain subsidiaries under certain surplus notes held by those subsidiaries.
As of June 30, 2026, we had neither recognized any asset or liability nor been required to perform under any intercompany indemnifications or guarantee agreement.
Borrowings from Subsidiaries
We maintain revolving reciprocal loan agreements with a number of our life and non-life insurance subsidiaries that are used to fund short-term cash requirements that arise in the ordinary course of business. Under these agreements, either party may borrow up to the maximum allowable under the agreement for a term not more than 270 days. For life insurance subsidiaries, the amounts that either party may borrow under the agreement vary and are between 3% and 5% of the insurance subsidiary's statutory net admitted assets (excluding separate accounts) as of the previous year end depending on the state of domicile. As of June 30, 2026, the aggregate amount that may be borrowed or lent under agreements with life insurance subsidiaries was $1.4 billion. For non-life insurance subsidiaries, the maximum allowable under the agreement is based on the assets of the subsidiaries and their particular cash requirements. As of June 30, 2026, Voya Financial, Inc. had $680 million in outstanding borrowings from subsidiaries and had loaned $468 million to its subsidiaries.
Ratings
Our access to funding and our related cost of borrowing, collateral requirements for derivative instruments and the attractiveness of certain of our products to customers are affected by our credit ratings and insurance financial strength ratings, which are periodically reviewed by the rating agencies. Financial strength ratings and credit ratings are important factors affecting public confidence in an insurer and its competitive position in marketing products. Credit ratings are also important to our ability to raise capital through the issuance of debt and for the cost of such financing.
A downgrade in our credit ratings or the credit or financial strength ratings of our rated subsidiaries could have a material adverse effect on our results of operations and financial condition. See A downgrade or a potential downgrade in our financial strength or credit ratings may result in a loss of business and adversely affect our results of operations and financial condition in Risk Factors in Part I, Item 1A. of our most current Annual Report on Form 10-K.
Financial strength ratings represent the opinions of rating agencies regarding the financial ability of an insurance company to meet its obligations under an insurance policy. Credit ratings represent the opinions of rating agencies regarding an entity's ability to repay its indebtedness. These ratings are not a recommendation to buy or hold any of our securities and they may be revised or revoked at any time at the sole discretion of the rating organization.
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Rating agencies use an "outlook" statement for both industry sectors and individual companies. A stable outlook from rating agencies is an opinion generally indicating that the rating is not likely to change over the medium term.
The financial strength and credit ratings of Voya Financial, Inc. and its principal subsidiaries as of the date of this Quarterly Report on Form 10-Q are summarized in the following table.
Rating Agency
A.M. Best Fitch, Inc. Moody's Investors Service, Inc. Standard & Poor's
("A.M. Best")(1) ("Fitch")(2) ("Moody's")(3) ("S&P")(4)
Long-term Issuer Credit Rating/Outlook:
Voya Financial, Inc. (5) A-/stable Baa2/stable BBB+/stable
Financial Strength Rating/Outlook:
Voya Retirement Insurance and Annuity Company (5) A+/stable A2/stable A+/stable
ReliaStar Life Insurance Company A/stable A+/stable A2/stable A+/stable
ReliaStar Life Insurance Company of New York A/stable A+/stable A2/stable A+/stable
(1) A.M. Best's financial strength ratings for insurance companies range from "A++ (superior)" to "s (suspended)." Long-term credit ratings range from "aaa (exceptional)" to "s (suspended)."
(2) Fitch's financial strength ratings for insurance companies range from "AAA (exceptionally strong)" to "C (distressed)." Long-term credit ratings range from "AAA (highest credit quality)," which denotes exceptionally strong capacity for timely payment of financial commitments, to "D (default)."
(3) Moody’s financial strength ratings for insurance companies range from "Aaa (exceptional)" to "C (lowest)." Numeric modifiers are used to refer to the ranking within the group, with 1 being the highest and 3 being the lowest. These modifiers are used to indicate relative strength within a category. Long-term credit ratings range from "Aaa (highest)" to "C (default)."
(4) S&P's financial strength ratings for insurance companies range from "AAA (extremely strong)" to "D (default)." Long-term credit ratings range from "AAA (extremely strong)" to "D (default)."
(5) Effective April 11, 2019, A.M. Best withdrew, at the Company’s request, its financial strength ratings with respect to Voya Financial, Inc. and Voya Retirement Insurance and Annuity Company.
In December 2025, Moody’s confirmed its outlook for the U.S. life insurance sector as stable and Fitch confirmed its neutral outlook for the North American life insurance sector. In November 2025, A.M. Best maintained a stable outlook on the U.S. life insurance sector.
Restrictions on Dividends and Returns of Capital from Subsidiaries
Our business is conducted through operating subsidiaries. U.S. insurance laws and regulations govern the payment of dividends and other distributions by our U.S. insurance subsidiaries to their respective parents. These restrictions are based in part on the prior year's statutory income and surplus. In general, dividends up to specified levels are considered ordinary and may be paid without prior approval. Dividends in larger amounts, or "extraordinary" dividends, are subject to approval by the insurance commissioner of the state of domicile of the insurance subsidiary proposing to pay the dividend. In addition, under the insurance laws of our principal insurance subsidiaries domiciled in Connecticut and Minnesota (these insurance subsidiaries are referred to collectively as our "Principal Insurance Subsidiaries"), no dividend or other distribution exceeding an amount equal to an insurance company's earned surplus may be paid without the domiciliary insurance regulator's prior approval.
Our Principal Insurance Subsidiaries domiciled in Connecticut and Minnesota both have ordinary dividend capacity for 2026. Any extraordinary dividend payment would be subject to domiciliary insurance regulatory approval, which can be granted or withheld at the discretion of the regulator.
We may receive dividends from or contribute capital to our wholly owned non-life insurance subsidiaries such as broker-dealers, investment management entities and intermediate holding companies.
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Insurance Subsidiaries - Dividends, Returns of Capital, and Capital Contributions
The following table summarizes dividends by each of the Company's Principal Insurance Subsidiaries to its parent for the periods indicated:
Dividends Paid(1)
Six Months Ended June 30,
($ in millions) 2026 2025
Subsidiary Name (State of domicile):
Voya Retirement Insurance and Annuity Company ("VRIAC") (CT) $ 373 $ 394
ReliaStar Life Insurance Company ("RLI") (MN) 267 —
(1) None of the dividends paid during the periods presented were considered extraordinary distributions.
Off-Balance Sheet Arrangements
Off-balance sheet arrangements are mostly related to commitments to either purchase or sell securities, mortgage loans or money market instruments, at a specified future date and at a specified price or yield. In addition, off-balance sheet arrangements include obligations to return non-cash collateral under our securities lending program. Non-cash collateral received in connection with the securities lending program may not be sold or re-pledged by our lending agent, except in the event of default. For information regarding off-balance sheet arrangements, see Note 2, Investments (excluding Consolidated Investment Entities) and Note 18, Commitments and Contingencies in our Condensed Consolidated Financial Statements in Part I, Item 1. of this Quarterly Report on Form 10-Q.
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Leverage Ratios
Our Leverage Ratios are a measure that we use to monitor the level of our debt relative to our total capitalization. The following table presents our leverage ratios for the periods indicated:
June 30, December 31,
($ in millions) 2026 2025
Financial Debt
Total financial debt $ 2,103 $ 2,104
Other financial obligations(1) 332 329
Total financial obligations 2,435 2,433
Mezzanine equity
Redeemable noncontrolling interest 230 222
Equity
Preferred equity(2) 612 612
Common equity, excluding AOCI 6,025 6,129
Total equity, excluding AOCI 6,637 6,741
AOCI (1,952) (1,788)
Total Voya Financial, Inc. shareholders' equity 4,685 4,953
Noncontrolling interest 1,727 1,864
Total shareholders' equity $ 6,412 $ 6,817
Capital
Capitalization(3) $ 6,788 $ 7,057
Adjusted capitalization excluding AOCI(4) $ 11,029 $ 11,260
Leverage Ratios
Debt-to-Capital Ratio(5) 31.0 % 29.8 %
Financial Leverage excluding AOCI(6) 27.6 % 27.0 %
(1) Includes operating leases, finance leases, and unfunded pension plan after-tax.
(2) Includes preferred stock par value and additional paid-in-capital.
(3) Includes Total Financial Debt and Total Voya Financial, Inc. Shareholders' Equity.
(4) Includes Total Financial Obligations, Mezzanine Equity and Total Shareholders' Equity excluding AOCI.
(5) Total Financial Debt divided by Capitalization.
(6) Total Financial Obligations and Preferred equity divided by Adjusted Capitalization excluding AOCI.
Our Financial Leverage Ratio, excluding AOCI, increased from 27.0% at December 31, 2025 to 27.6% at June 30, 2026. This increase was primarily due to the decrease in the noncontrolling interest.
Critical Accounting Judgments and Estimates
The preparation of financial statements in conformity with U.S. GAAP requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Critical estimates and assumptions are evaluated on an ongoing basis based on historical developments, market conditions, industry trends and other information that is reasonable under the circumstances. While these estimates are based on management’s judgment and current information, actual results may differ, and such differences may require future accounting adjustments to reflect changes in these estimates and assumptions, which could be material to the accompanying Condensed Consolidated Financial Statements.
In developing these accounting estimates, we make subjective and complex judgments that are inherently uncertain and subject to material changes as facts and circumstances develop. Although variability is inherent in these estimates, we believe that the amounts provided are appropriate based on the facts available upon preparation of the Condensed Consolidated Financial Statements.
For further information, refer to the critical accounting estimates described in Note 1, Business, Basis of Presentation and Significant Accounting Policies in our Consolidated Financial Statements in Part II, Item 8. of our Annual Report on Form 10-K.
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As of June 30, 2026, there have been no material changes to the disclosures made in Critical Accounting Judgments and Estimates in Part II, Item 7. of our Annual Report on Form 10-K.
Income Taxes
In August 2022, the Inflation Reduction Act of 2022 was signed into law, which includes a 15% corporate alternative minimum tax ("CAMT"). The CAMT is effective in taxable years beginning after December 31, 2022. In September 2024, the Department of Treasury issued proposed regulations providing additional guidance on the CAMT. While we do not expect to be subject to the CAMT for 2026, we are continuing to review the proposed regulations, and our CAMT determination will need to be evaluated in light of future guidance.
See Note 16, Income Taxes to our Condensed Consolidated Financial Statements in Part I, Item 1. of this Quarterly Report on Form 10-Q for more information.
Investments (excluding Consolidated Investment Entities)
Investments for our general account are primarily managed by our wholly owned asset manager, Voya Investment Management LLC, pursuant to investment advisory agreements with affiliates. In addition, our internal treasury group manages our holding company liquidity investments, primarily money market funds. See Management's Discussion and Analysis of Financial Condition and Results of Operations in Part II, Item 7. of our Annual Report on Form 10-K for information on our investment strategy.
See Note 2, Investments (excluding Consolidated Investment Entities) to our Condensed Consolidated Financial Statements in Part I, Item 1. of this Quarterly Report on Form 10-Q for more information on investments. Additionally, see the Condensed Consolidated Balance Sheets to our Condensed Consolidated Financial Statements Part I, Item 1. of this Quarterly Report on Form 10-Q for a composition of our investment portfolio.
Fixed Maturities Credit Quality - Ratings
For information regarding our fixed maturities credit quality ratings, see Management's Discussion and Analysis of Financial Condition and Results of Operations in Part II, Item 7. of our Annual Report on Form 10-K.
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The following tables present credit quality of fixed maturities, including securities pledged, using NAIC designations as of the dates indicated:
($ in millions) June 30, 2026
NAIC Quality Designation 1 2 3 4 5 6 Total Fair Value
U.S. Treasuries $ 649 $ — $ — $ — $ — $ — $ 649
U.S. Government agencies and authorities 30 — — — — — 30
State, municipalities and political subdivisions 419 29 2 — — — 450
U.S. corporate public securities 2,716 5,042 246 14 — — 8,018
U.S. corporate private securities 2,320 2,883 258 31 16 — 5,508
Foreign corporate public securities and foreign governments(1) 864 1,686 155 1 7 — 2,713
Foreign corporate private securities(1) 572 2,010 86 29 5 — 2,702
Residential mortgage-backed securities 4,123 36 3 2 9 4 4,177
Commercial mortgage-backed securities 1,976 166 85 75 27 5 2,334
Other asset-backed securities 2,239 336 23 9 — 145 2,752
Total fixed maturities $ 15,908 $ 12,188 $ 858 $ 161 $ 64 $ 154 $ 29,333
% of Fair Value 54.2% 41.6% 2.9% 0.6% 0.2% 0.5% 100.0%
(1) Primarily U.S. dollar denominated.
($ in millions) December 31, 2025
NAIC Quality Designation 1 2 3 4 5 6 Total Fair Value
U.S. Treasuries $ 614 $ — $ — $ — $ — $ — $ 614
U.S. Government agencies and authorities 31 — — — — — 31
State, municipalities and political subdivisions 476 32 2 — — — 510
U.S. corporate public securities 2,565 5,071 217 11 — — 7,864
U.S. corporate private securities 2,443 2,817 306 46 10 — 5,622
Foreign corporate public securities and foreign governments(1) 841 1,727 189 21 — — 2,778
Foreign corporate private securities(1) 509 2,185 101 9 5 — 2,809
Residential mortgage-backed securities 4,284 34 6 — 15 5 4,344
Commercial mortgage-backed securities 2,270 215 81 74 32 4 2,676
Other asset-backed securities 2,467 287 22 12 — 115 2,903
Total fixed maturities $ 16,500 $ 12,368 $ 924 $ 173 $ 62 $ 124 $ 30,151
% of Fair Value 54.7% 41.0% 3.1% 0.6% 0.2% 0.4% 100.0%
(1) Primarily U.S. dollar denominated.
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The following tables present credit quality of fixed maturities, including securities pledged, using NAIC acceptable rating organizations ("ARO") ratings as of the dates indicated:
($ in millions) June 30, 2026
ARO Quality Ratings AAA AA A BBB BB and Below Total Fair Value
U.S. Treasuries $ — $ 649 $ — $ — $ — $ 649
U.S. Government agencies and authorities — 30 — — — 30
State, municipalities and political subdivisions 25 235 156 29 5 450
U.S. corporate public securities 14 392 2,474 4,874 264 8,018
U.S. corporate private securities 38 305 1,891 2,845 429 5,508
Foreign corporate public securities and foreign governments(1) — 82 790 1,675 166 2,713
Foreign corporate private securities(1) — 55 489 2,019 139 2,702
Residential mortgage-backed securities 1,355 2,590 19 25 188 4,177
Commercial mortgage-backed securities 98 1,165 384 504 183 2,334
Other asset-backed securities 585 362 1,257 332 216 2,752
Total fixed maturities $ 2,115 $ 5,865 $ 7,460 $ 12,303 $ 1,590 $ 29,333
% of Fair Value 7.2% 20.0% 25.4% 42.0% 5.4% 100.0%
(1) Primarily U.S. dollar denominated.
($ in millions) December 31, 2025
ARO Quality Ratings AAA AA A BBB BB and Below Total Fair Value
U.S. Treasuries $ — $ 614 $ — $ — $ — $ 614
U.S. Government agencies and authorities — 31 — — — 31
State, municipalities and political subdivisions 22 285 169 32 2 510
U.S. corporate public securities 18 357 2,370 4,890 229 7,864
U.S. corporate private securities 29 298 2,071 2,743 481 5,622
Foreign corporate public securities and foreign governments(1) — 99 761 1,703 215 2,778
Foreign corporate private securities(1) — 37 450 2,174 148 2,809
Residential mortgage-backed securities 1,406 2,735 21 25 157 4,344
Commercial mortgage-backed securities 120 1,264 451 635 206 2,676
Other asset-backed securities 548 496 1,395 284 180 2,903
Total fixed maturities $ 2,143 $ 6,216 $ 7,688 $ 12,486 $ 1,618 $ 30,151
% of Fair Value 7.1 % 20.6 % 25.5 % 41.4 % 5.4 % 100.0 %
(1) Primarily U.S. dollar denominated.
Fixed maturities rated BB and below may have speculative characteristics and changes in economic conditions or other circumstances that are more likely to lead to a weakened capacity of the issuer to make principal and interest payments than is the case with higher rated fixed maturities.
As of June 30, 2026 and December 31, 2025, we held fixed maturities rated BBB of $12.3 billion and $12.5 billion, respectively. Our higher allocation to BBB relative to industry peers is a function of our underweight to high yield debt and preference for private credit, which is primarily a BBB market. Private credit within the BBB space provides issuer diversification, offers a higher overall return profile, and includes stronger credit protections that come with better covenant structures.
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Unrealized Capital Losses
As of June 30, 2026 and December 31, 2025, we held three fixed maturities with unrealized capital loss in excess of $10 million. As of June 30, 2026 and December 31, 2025, the unrealized capital losses on these fixed maturities equaled $36 million or 1.6% and $34 million or 1.6% of the total unrealized losses, respectively.
See Note 2, Investments (excluding Consolidated Investment Entities) in our Condensed Consolidated Financial Statements in Part I, Item 1. of this Quarterly Report on Form 10-Q for further information on unrealized capital losses.
CMO-B Portfolio
The following table presents fixed maturities balances held in the CMO-B portfolio by NAIC quality rating as of the dates indicated:
($ in millions) June 30, 2026 December 31, 2025
NAIC Quality Designation Amortized Cost Fair Value % Fair Value Amortized Cost Fair Value % Fair Value
1 $ 1,954 $ 1,957 99.4 % $ 1,952 $ 1,969 99.2 %
2 — — — % — — — %
3 — — — % — — — %
4 — — — % — — — %
5 5 8 0.4 % 8 12 0.6 %
6 3 4 0.2 % 4 4 0.2 %
Total $ 1,962 $ 1,969 100.0 % $ 1,964 $ 1,985 100.0 %
For CMO securities where we elected the FVO, amortized cost represents the market values. For details on the NAIC designation methodology, see Fixed Maturities Credit Quality-Ratings in Management's Discussion and Analysis of Financial Condition and Results of Operations in Part II, Item 7. of our Annual Report on Form 10-K.
The following table presents the notional amounts and fair values of interest rate derivatives not qualifying for hedge accounting and used in our CMO-B portfolio as of the dates indicated:
June 30, 2026 December 31, 2025
($ in millions) NotionalAmount Asset Fair Value Liability Fair Value NotionalAmount Asset Fair Value Liability Fair Value
Interest Rate Contracts $ 11,331 $ 82 $ 190 $ 10,901 $ 83 $ 226
The Company utilizes interest rate futures and interest rate swaps as a part of the CMO-B portfolio to hedge interest rate risk.
The following table presents our CMO-B fixed maturity securities balances and tranche type as of the dates indicated:
($ in millions) June 30, 2026 December 31, 2025
Tranche Type Amortized Cost Fair Value % Fair Value Amortized Cost Fair Value % Fair Value
Inverse Floater $ 655 $ 656 33.3 % $ 522 $ 532 26.8 %
Interest Only (IO) 803 804 40.8 % 849 849 42.7 %
Inverse IO 352 355 18.0 % 432 440 22.2 %
Principal Only (PO) 67 67 3.4 % 71 71 3.6 %
Floater 3 3 0.2 % 4 4 0.2 %
Agency Credit Risk Transfer 81 83 4.2 % 85 88 4.4 %
Other 1 1 0.1 % 1 1 0.1 %
Total $ 1,962 $ 1,969 100.0 % $ 1,964 $ 1,985 100.0 %
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During the six months ended June 30, 2026, the market value of our CMO-B securities portfolio was lower on a combination of transactional activity and valuation movements among tranche types.
The following table presents the returns of our CMO-B portfolio for the periods indicated:
Three Months Ended June 30, Six Months Ended June 30,
($ in millions) 2026 2025 2026 2025
Net investment income $ 75 $ 71 $ 152 $ 143
Net gains (losses)(1) (41) (33) (75) (58)
Income before income taxes $ 34 $ 38 $ 77 $ 85
(1) Net gains (losses) also include derivatives interest settlements, mark to market adjustments and realized gains (losses) on standalone derivatives contracts that are in the CMO-B portfolio.
In defining the Adjusted operating earnings before income taxes for our CMO-B portfolio (including CMO-B portfolio income (loss) related to businesses to be exited through reinsurance or divestment) certain recharacterizations are recognized. The net coupon settlement on interest rate swaps hedging CMO-B securities that is included in Net gains (losses) is reflected. In addition, the premium amortization and change in fair value for securities designated under the FVO are included in Net gains (losses), whereas the coupon for these securities is included in Net investment income. In order to present the economics of these fair value securities in a similar manner to those of an available for sale security, the premium amortization is reclassified from Net gains (losses).
After adjusting for the two items referenced immediately above, the following table presents a reconciliation of Income (loss) before income taxes from our CMO-B portfolio to Adjusted operating earnings before income taxes from our CMO-B portfolio for the periods indicated:
Three Months Ended June 30, Six Months Ended June 30,
($ in millions) 2026 2025 2026 2025
Income (loss) before income taxes $ 34 $ 38 $ 77 $ 85
Realized gains (losses) including impairment 1 — 1 (1)
Fair value adjustments — — (9) (9)
Total adjustments to income (loss) 1 — (8) (10)
Adjusted operating earnings before income taxes $ 35 $ 38 $ 69 $ 75
See Management's Discussion and Analysis of Financial Condition and Results of Operations in Part II, Item 7. of our Annual Report on Form 10-K for information on our CMO-B portfolio.
Structured Securities
Residential Mortgage-backed Securities
The following tables present our residential mortgage-backed securities as of the dates indicated:
June 30, 2026
($ in millions) Amortized Cost Gross Unrealized Capital Gains Gross Unrealized Capital Losses Embedded Derivatives Fair Value
Prime Agency $ 2,498 $ 21 $ 37 $ (4) $ 2,478
Prime Non-Agency 1,727 13 171 — 1,569
Alt-A 114 3 3 1 115
Sub-Prime(1) 19 1 — — 20
Total $ 4,358 $ 38 $ 211 $ (3) $ 4,182
(1) Includes subprime other asset backed securities.
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December 31, 2025
($ in millions) Amortized Cost Gross Unrealized Capital Gains Gross Unrealized Capital Losses Embedded Derivatives Fair Value
Prime Agency $ 2,621 $ 31 $ 29 $ — $ 2,623
Prime Non-Agency 1,688 18 167 — 1,539
Alt-A 132 4 3 1 134
Sub-Prime(1) 54 2 1 — 55
Total $ 4,495 $ 55 $ 200 $ 1 $ 4,351
(1) Includes subprime other asset backed securities.
Commercial Mortgage-backed Securities
The following tables present our commercial mortgage-backed securities by origination as of the dates indicated:
June 30, 2026
($ in millions) AAA AA A BBB BB and Below Total
Amortized Cost Fair Value Amortized Cost Fair Value Amortized Cost Fair Value Amortized Cost Fair Value Amortized Cost Fair Value Amortized Cost Fair Value
2026 $ — $ — $ 1 $ 1 $ 1 $ 1 $ 1 $ 1 $ — $ — $ 3 $ 3
2025 — — — — 13 13 — — — — 13 13
2024 — — 3 3 — — — — — — 3 3
2023 — — — — 3 4 — — — — 3 4
2022 13 12 89 61 52 49 52 49 4 4 210 175
Prior 90 86 1,331 1,100 344 317 510 454 217 179 2,492 2,136
Total $ 103 $ 98 $ 1,424 $ 1,165 $ 413 $ 384 $ 563 $ 504 $ 221 $ 183 $ 2,724 $ 2,334
December 31, 2025
($ in millions) AAA AA A BBB BB and Below Total
Amortized Cost Fair Value Amortized Cost Fair Value Amortized Cost Fair Value Amortized Cost Fair Value Amortized Cost Fair Value Amortized Cost Fair Value
2025 $ — $ — $ — $ — $ 14 $ 14 $ — $ — $ — $ — $ 14 $ 14
2024 — — 3 3 — — — — — — 3 3
2023 — — — — 4 4 — — — — 4 4
2022 13 12 97 72 76 72 62 60 4 5 252 221
2021 53 52 172 109 111 102 182 172 35 31 553 466
Prior 59 56 1,235 1,080 278 259 455 403 218 170 2,245 1,968
Total $ 125 $ 120 $ 1,507 $ 1,264 $ 483 $ 451 $ 699 $ 635 $ 257 $ 206 $ 3,071 $ 2,676
As of June 30, 2026, 84.7% and 7.1% of CMBS investments were designated as NAIC-1 and NAIC-2, respectively. As of December 31, 2025, 84.9% and 8.0% of CMBS investments were designated as NAIC-1 and NAIC-2, respectively.
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Other Asset-backed Securities
The following tables present our other asset-backed securities as of the dates indicated:
June 30, 2026
($ in millions) AAA AA A BBB BB and Below Total
Amortized Cost Fair Value Amortized Cost Fair Value Amortized Cost Fair Value Amortized Cost Fair Value Amortized Cost Fair Value Amortized Cost Fair Value
Collateralized Obligation $ 501 $ 501 $ 313 $ 315 $ 1,107 $ 1,113 $ 69 $ 69 $ 77 $ 59 $ 2,067 $ 2,057
Auto-Loans 5 5 — — 3 3 — — — — 8 8
Student Loans — — 35 31 — — — — — — 35 31
Credit Card loans 3 3 — — — — — — 7 7 10 10
Other Loans 79 75 16 15 149 141 266 262 140 148 650 641
Total(1) $ 588 $ 584 $ 364 $ 361 $ 1,259 $ 1,257 $ 335 $ 331 $ 224 $ 214 $ 2,770 $ 2,747
(1) Excludes subprime other asset backed securities.
December 31, 2025
($ in millions) AAA AA A BBB BB and Below Total
Amortized Cost Fair Value Amortized Cost Fair Value Amortized Cost Fair Value Amortized Cost Fair Value Amortized Cost Fair Value Amortized Cost Fair Value
Collateralized Obligation $ 457 $ 461 $ 430 $ 434 $ 1,226 $ 1,237 $ 80 $ 80 $ 74 $ 61 $ 2,267 $ 2,273
Auto-Loans 5 5 — — 3 3 — — — — 8 8
Student Loans — — 48 46 — — — — — — 48 46
Credit Card loans 4 4 — — — — — — 2 2 6 6
Other Loans 82 78 16 16 162 155 203 201 116 113 579 563
Total(1) $ 548 $ 548 $ 494 $ 496 $ 1,391 $ 1,395 $ 283 $ 281 $ 192 $ 176 $ 2,908 $ 2,896
(1) Excludes subprime other asset backed securities.
As of June 30, 2026, 81.4% and 12.2% of Other ABS investments were designated as NAIC-1 and NAIC-2, respectively. As of December 31, 2025, 85.0% and 9.9% of Other ABS investments were designated as NAIC-1 and NAIC-2, respectively.
Mortgage Loans on Real Estate
As of June 30, 2026, our mortgage loans on real estate portfolio had a weighted average DSC of 2.03 times and a weighted average LTV ratio of 42.4%. As of December 31, 2025, our mortgage loans on real estate portfolio had a weighted average DSC of 2.15 times, and a weighted average LTV ratio of 42.1%. See Note 2, Investments (excluding Consolidated Investment Entities) to our Condensed Consolidated Financial Statements in Part I, Item 1. of this Quarterly Report on Form 10-Q for further information on mortgage loans on real estate.
Impairments
We evaluate available-for-sale fixed maturities for impairment on a regular basis. The assessment of whether impairments have occurred is based on a case-by-case evaluation of the underlying reasons for the decline in estimated fair value. See Note 1, Business, Basis of Presentation and Significant Accounting Policies in our Consolidated Financial Statements in Part II, Item 8. of our Annual Report on Form 10-K for the policy used to evaluate whether the investments are impaired. Additionally, see Note 2, Investments (excluding Consolidated Investment Entities) to our Condensed Consolidated Financial Statements in Part I, Item 1. of this Quarterly Report on Form 10-Q for further information on impairments.
Derivatives
We use derivatives for a variety of hedging purposes. We also have embedded derivatives within fixed maturities instruments and certain product features. See Note 1, Business, Basis of Presentation and Significant Accounting Policies in our Consolidated Financial Statements in Part II, Item 8. of our Annual Report on Form 10-K for further information. See Note 3,
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Derivative Financial Instruments to our Condensed Consolidated Financial Statements in Part I, Item 1. of this Quarterly Report on Form 10-Q for further information on derivatives.
European Exposures
We quantify and allocate our exposure to the region by attempting to identify aspects of the region or country risk to which we are exposed. Among the factors we consider are the home country of the issuer, the home country of the issuer's ultimate parent, the corporate and economic relationship between the issuer and its parent, as well as the political, legal and economic environment in which each functions. By undertaking this assessment, we believe that we develop a more accurate assessment of the actual geographic risk, with a more integrated understanding of contributing factors to the full risk profile of the issuer.
In the normal course of our ongoing risk and portfolio management process, we closely monitor compliance with a credit limit hierarchy designed to minimize overly concentrated risk exposures by geography, sector and issuer. This framework considers various factors such as internal and external ratings, capital efficiency and liquidity and is overseen by a combination of Investment and Corporate Risk Management, as well as insurance portfolio managers focused specifically on managing the investment risk embedded in our portfolio.
As of June 30, 2026, our total European exposure had an amortized cost and fair value of $2.5 billion and $2.4 billion, respectively. Some of the major country level exposures were in the United Kingdom of $0.9 billion, in The Netherlands of $280 million, in France of $270 million, in Germany of $171 million, in Switzerland of $52 million, in Ireland of $153 million and in Belgium of $36 million.
Consolidated and Nonconsolidated Investment Entities
We use many forms of entities to achieve our business objectives and we have participated in varying degrees in the design and formation of these entities. These entities are considered to be VIEs or VOEs (collectively, "Consolidated Investment Entities"), or nonconsolidated VIEs, and we evaluate our involvement with each entity to determine whether consolidation is required.
We perform a quarterly consolidation analysis to assess if the consolidation of a fund is required. The consolidation process brings on the assets, liabilities, noncontrolling interest and operations of the VIE and/or VOE into our financial statements.
If the fund no longer meets the criteria for consolidation, the assets, liabilities, noncontrolling interest and operations of the fund are removed from our financial statements. This process of consolidation/deconsolidation could have a material impact on Total shareholders' equity.
See Consolidation and Noncontrolling Interests and Fair Value Measurement in Note 1, Business, Basis of Presentation and Significant Accounting Policies to our Consolidated Financial Statements in Part II, Item 8. of our Annual Report on Form 10-K. Additionally, see Note 19, Consolidated and Nonconsolidated Investment Entities to our Condensed Consolidated Financial Statements in Part I, Item 1. of this Quarterly Report on Form 10-Q for more information.
Securitizations
We invest in various tranches of securitization entities, including RMBS, CMBS and ABS. Refer to Note 19, Consolidated and Nonconsolidated Investment Entities and Note 4, Fair Value Measurements (excluding Consolidated Investment Entities) to our Condensed Consolidated Financial Statements in Part I, Item 1. of this Quarterly Report on Form 10-Q for an understanding over the Company's Securitizations. Refer to Note 2, Investments (excluding Consolidated Investment Entities) to our Condensed Consolidated Financial Statements in Part I, Item 1. of this Quarterly Report on Form 10-Q for details regarding the carrying amounts and classifications of these assets.
Guarantors and Issuers of Guaranteed Securities
Voya Financial, Inc. (the "Parent Issuer") has issued certain notes pursuant to transactions registered under the Securities Act of 1933. As of June 30, 2026, such securities consist of (i) the 5.0% senior notes due 2034, the 5.05% senior notes due 2036, the 6.012% senior notes due 2035, the 5.7% senior notes due 2043, and the 4.8% senior notes due 2046, with an aggregate principal amount of $1.6 billion (collectively, the "Senior Notes") and (ii) the 4.7% fixed-to-floating junior subordinated notes due 2048, with principal amount of $340 million (the "Junior Subordinated Notes" and, together with the Senior Notes, the "Registered Notes").
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Voya Holdings Inc. (the "Subsidiary Guarantor"), a wholly owned subsidiary of the Parent Issuer, has guaranteed each of the Registered Notes on a full and unconditional basis. No other subsidiary of the Parent Issuer has guaranteed any of the Registered Notes. The Parent Issuer and the Subsidiary Guarantor are hereby referred to below as the "Obligor Group."
The full and unconditional guarantees require the Subsidiary Guarantor to satisfy the obligations of the guaranteed security immediately, if and when the Parent Issuer has failed to make a scheduled payment thereunder. If the Subsidiary Guarantor does not make such payment, any holder of the guaranteed security may immediately bring suit directly against the Subsidiary Guarantor for payment of amounts due and payable.
Set forth below is summarized financial information of the Obligor Group, as presented on a combined basis. Intercompany transactions and balances within the Obligor Group have been eliminated. In addition, financial information of any non-issuer or non-guarantor subsidiaries, which would normally be consolidated by either the Parent Issuer or the Subsidiary Guarantor under U.S. generally accepted accounting principles, has been excluded from such presentation.
Refer to the Summarized Financial Information of the Obligor Group for the periods indicated:
As of and for the
($ in millions) Six Months Ended June 30, 2026 Year Ended December 31, 2025
Summarized Statements of Operations Information:
Total revenues $ 25 $ 62
Total benefits and expenses 88 211
Net income (loss) available to Obligor Group (63) (163)
Summarized Balance Sheets Information:
Total investments 104 87
Cash and cash equivalents 149 155
Deferred income taxes 759 783
Goodwill 94 94
Amounts receivable from non-obligated subsidiaries 475 308
Total assets 1,591 1,456
Amounts payable to non-obligated subsidiaries 589 574
Short-term debt 152 586
Long-term debt 1,950 1,518
Total liabilities $ 2,795 $ 2,931