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Investments
 12 Months Ended
Dec. 31, 2017
Investments, Debt and Equity Securities [Abstract]  
Investments
Investments
Investments on the Consolidated Balance Sheets as of December 31, 2017 and 2016 included available-for-sale and trading securities. At December 31, 2017 and 2016, Federated held investments totaling $1.6 million and $130.8 million, respectively, in fluctuating-value Federated Funds that were classified as available-for-sale securities and were included in Investments—affiliates on the Consolidated Balance Sheets.

Available-for-sale securities were as follows at December 31:
 
 
2017
 
2016
 
 
 
 
Gross Unrealized
 
Estimated
Fair
Value
 
 
 
Gross Unrealized
 
Estimated
Fair
Value
in thousands
 
Cost

 
Gains

 
(Losses)

 
Cost

 
Gains

 
(Losses)

 
Equity funds
 
$
202

 
$
0

 
$
(27
)
 
$
175

 
$
23,883

 
$
2,112

 
$
(266
)
 
$
25,729

Fixed-income funds
 
1,297

 
107

 
0

 
1,404

 
105,514

 
92

 
(550
)
 
105,056

Total available-for-sale securities
 
$
1,499

 
$
107

 
$
(27
)
 
$
1,579

 
$
129,397

 
$
2,204

 
$
(816
)
 
$
130,785


The decrease in available-for-sale securities as of December 31, 2017 as compared to 2016 primarily related to net redemptions of available-for-sale securities during 2017.
Federated's trading securities totaled $51.7 million and $65.5 million at December 31, 2017 and 2016, respectively. The decrease primarily relates to the liquidation of three consolidated Federated Fund VREs during 2017. Federated consolidates certain Federated Funds into its Consolidated Financial Statements as a result of Federated's controlling financial interest in the Federated Fund (see Note (4)). All investments held by these Federated Funds were included in Investments—consolidated investment companies on Federated's Consolidated Balance Sheets. Investments—other on the Consolidated Balance Sheets represented other trading investments held in Separate Accounts.
Federated's trading securities as of December 31, 2017 and 2016, were primarily composed of domestic and foreign debt securities ($42.2 million and $45.5 million, respectively), stocks of large U.S. and international companies ($4.5 million and $7.2 million, respectively), stocks of small and medium-sized companies ($4.4 million and $2.8 million, respectively) and investments in Federated Funds ($0.6 million and $8.9 million, respectively).

The following table presents gains and losses recognized in Gain (loss) on securities, net on the Consolidated Statements of Income in connection with Federated's investments as well as economic derivatives held by certain consolidated Federated Funds for the years ended December 31:
in thousands
 
2017

 
2016

 
2015

Net unrealized gains (losses)
 
 
 
 
 
 
Trading securities
 
$
118

 
$
4,971

 
$
(1,359
)
Derivatives1
 
771

 
(348
)
 
119

Realized gains2
 
 
 
 
 
 
Available-for-sale securities
 
5,348

 
298

 
1,503

Trading securities
 
2,404

 
1,663

 
910

Derivatives1
 
1,648

 
1,032

 
301

Realized losses2
 
 
 
 
 
 
Available-for-sale securities3
 
(881
)
 
(1,647
)
 
(2,348
)
Trading securities
 
(917
)
 
(2,252
)
 
(2,760
)
Derivatives1
 
(419
)
 
(1,609
)
 
(1,630
)
Gain (loss) on securities, net4
 
$
8,072

 
$
2,108

 
$
(5,264
)

1
Amounts related to the settlement of economic derivatives held by certain consolidated Federated Funds.
2
Realized gains and losses are computed on a specific-identification basis.
3
The losses for the years ended December 31, 2016 and 2015 include $1.6 million and $1.3 million, respectively, for impairments of certain available-for-sale securities.
4
Amounts related to consolidated entities, primarily Federated Funds, totaled $3.0 million, $2.9 million and $(4.0) million for the years ended December 31, 2017, 2016 and 2015, respectively.