“Although we foresee an increase in variable investment income, it will likely be balanced out by reduced earnings from the expiration of the interest rate caps.”

In context

“ount, which dampened growth by roughly 200 basis points, the underlying PFOs were up approximately 5% year-over-year, and at the midpoint of our 2024 target growth range of 4% to 6%. Group benefits 2Q 2024 year-to-date sales were up 11%, driven by strong growth across most products, including our suite of voluntary products. RIS adjusted earnings were $410 million, down 2% versus the prior year. Lower recurring interest margins were partially offset by higher variable investment income and strong volume growth. RIS investment spreads were 121 basis points, down 6 basis points sequentially, mainly due to the expiration of interest rate caps in the second quarter of 2024. We anticipate that spreads will remain between our annual target range of 115 and 140 basis points in the third quarter. Although we foresee an increase in variable investment income, it will likely be balanced out by reduced earnings from the expiration of the interest rate caps. RIS adjusted PFOs, excluding pension risk transfers, were up 4% year-over-year, primarily driven by strong sales of institutional income annuities as well as growth in UK longevity reinsurance. With regards to PRT, we had approximately $3.5 billion in deals in the second quarter and continue to see an active market. Moving to Asia. Adjusted earnings were $449 million, up 4% and 8% on a constant currency basis, primarily due to favorable underwriting margins and higher variable investment income. For Asia's key growth metrics, general account assets under management on an amortized cost basis were up 5% year-over-year on a constant currency basis. Sales were up 4% on a constant currency basis compared to a strong prior year quarter. While Japan sales were down 19% year-over-year on a const”