Fair Value Measurement (Tables)

12 Months Ended

Dec. 31, 2013

Fair Value Disclosures [Abstract]

Assets and liabilities measured at fair value on a recurring basis

The following table presents the asset and liabilities measured at fair value as of December 31, 2013 and 2012 by major product category and fair value hierarchy.

Assets and liabilities measured at fair value on a recurring basis
	Fair value hierarchy
December 31, 2013 (in millions)	Level 1		Level 2			Level 3			Netting adjustments			Total fair value
Federal funds sold and securities purchased under resale agreements	$	—	$	25,135		$	—		$	—		$	25,135
Securities borrowed	—		3,739			—			—			3,739
Trading assets:
Debt instruments:
Mortgage-backed securities:
U.S. government agencies(a)	4		25,582			1,005			—			26,591
Residential – nonagency	—		1,749			726			—			2,475
Commercial – nonagency	—		871			432			—			1,303
Total mortgage-backed securities	4		28,202			2,163			—			30,369
U.S. Treasury and government agencies(a)	14,933		10,547			—			—			25,480
Obligations of U.S. states and municipalities	—		6,538			1,382			—			7,920
Certificates of deposit, bankers’ acceptances and commercial paper	—		3,071			—			—			3,071
Non-U.S. government debt securities	25,762		22,379			143			—			48,284
Corporate debt securities	—		24,802			5,920			—			30,722
Loans(b)	—		17,331			13,455			—			30,786
Asset-backed securities	—		3,647			1,272			—			4,919
Total debt instruments	40,699		116,517			24,335			—			181,551
Equity securities	107,667		954			885			—			109,506
Physical commodities(c)	4,968		5,217			4			—			10,189
Other	—		5,659			2,000			—			7,659
Total debt and equity instruments(d)	153,334		128,347			27,224			—			308,905
Derivative receivables:
Interest rate	419		848,862			5,398			(828,897		)	25,782
Credit	—		79,754			3,766			(82,004		)	1,516
Foreign exchange	434		151,521			1,644			(136,809		)	16,790
Equity	—		45,892			7,039			(40,704		)	12,227
Commodity	320		34,696			722			(26,294		)	9,444
Total derivative receivables(e)	1,173		1,160,725			18,569			(1,114,708		)	65,759
Total trading assets	154,507		1,289,072			45,793			(1,114,708		)	374,664
Available-for-sale securities:
Mortgage-backed securities:
U.S. government agencies(a)	—		77,815			—			—			77,815
Residential – nonagency	—		61,760			709			—			62,469
Commercial – nonagency	—		15,900			525			—			16,425
Total mortgage-backed securities	—		155,475			1,234			—			156,709
U.S. Treasury and government agencies(a)	21,091		298			—			—			21,389
Obligations of U.S. states and municipalities	—		29,461			—			—			29,461
Certificates of deposit	—		1,041			—			—			1,041
Non-U.S. government debt securities	25,648		30,600			—			—			56,248
Corporate debt securities	—		21,512			—			—			21,512
Asset-backed securities:
Collateralized loan obligations	—		27,409			821			—			28,230
Other	—		11,978			267			—			12,245
Equity securities	3,142		—			—			—			3,142
Total available-for-sale securities	49,881		277,774			2,322			—			329,977
Loans	—		80			1,931			—			2,011
Mortgage servicing rights	—		—			9,614			—			9,614
Other assets:
Private equity investments(f)	606		429			6,474			—			7,509
All other	4,213		289			3,176			—			7,678
Total other assets	4,819		718			9,650			—			15,187
Total assets measured at fair value on a recurring basis	$	209,207	$	1,596,518	(g)	$	69,310	(g)	$	(1,114,708	)	$	760,327
Deposits	$	—	$	4,369		$	2,255		$	—		$	6,624
Federal funds purchased and securities loaned or sold under repurchase agreements	—		5,426			—			—			5,426
Other borrowed funds	—		11,232			2,074			—			13,306
Trading liabilities:
Debt and equity instruments(d)	61,262		19,055			113			—			80,430
Derivative payables:
Interest rate	321		822,014			3,019			(812,071		)	13,283
Credit	—		78,731			3,671			(80,121		)	2,281
Foreign exchange	443		156,838			2,844			(144,178		)	15,947
Equity	—		46,552			8,102			(39,935		)	14,719
Commodity	398		36,609			607			(26,530		)	11,084
Total derivative payables(e)	1,162		1,140,744			18,243			(1,102,835		)	57,314
Total trading liabilities	62,424		1,159,799			18,356			(1,102,835		)	137,744
Accounts payable and other liabilities	—		—			25			—			25
Beneficial interests issued by consolidated VIEs	—		756			1,240			—			1,996
Long-term debt	—		18,870			10,008			—			28,878
Total liabilities measured at fair value on a recurring basis	$	62,424	$	1,200,452		$	33,958		$	(1,102,835	)	$	193,999

	Fair value hierarchy
December 31, 2012 (in millions)	Level 1		Level 2			Level 3			Netting adjustments			Total fair value
Federal funds sold and securities purchased under resale agreements	$	—	$	24,258		$	—		$	—		$	24,258
Securities borrowed	—		10,177			—			—			10,177
Trading assets:
Debt instruments:
Mortgage-backed securities:
U.S. government agencies(a)	—		36,240			498			—			36,738
Residential – nonagency	—		1,509			663			—			2,172
Commercial – nonagency	—		1,565			1,207			—			2,772
Total mortgage-backed securities	—		39,314			2,368			—			41,682
U.S. Treasury and government agencies(a)(h)	15,170		7,255			—			—			22,425
Obligations of U.S. states and municipalities	—		16,726			1,436			—			18,162
Certificates of deposit, bankers’ acceptances and commercial paper	—		4,759			—			—			4,759
Non-U.S. government debt securities(h)	26,095		44,028			67			—			70,190
Corporate debt securities(h)	—		31,882			5,308			—			37,190
Loans(b)	—		30,754			10,787			—			41,541
Asset-backed securities	—		4,182			3,696			—			7,878
Total debt instruments	41,265		178,900			23,662			—			243,827
Equity securities	106,898		2,687			1,114			—			110,699
Physical commodities(c)	10,107		6,066			—			—			16,173
Other	—		3,483			863			—			4,346
Total debt and equity instruments(d)	158,270		191,136			25,639			—			375,045
Derivative receivables:
Interest rate(h)	476		1,295,239			6,617			(1,263,127		)	39,205
Credit	—		93,821			6,489			(98,575		)	1,735
Foreign exchange(h)	450		143,752			3,051			(133,111		)	14,142
Equity(h)	—		37,758			4,921			(33,413		)	9,266
Commodity(h)	316		42,300			1,155			(33,136		)	10,635
Total derivative receivables(e)	1,242		1,612,870			22,233			(1,561,362		)	74,983
Total trading assets	159,512		1,804,006			47,872			(1,561,362		)	450,028
Available-for-sale securities:
Mortgage-backed securities:
U.S. government agencies(a)	—		98,388			—			—			98,388
Residential – nonagency	—		74,189			450			—			74,639
Commercial – nonagency	—		12,948			255			—			13,203
Total mortgage-backed securities	—		185,525			705			—			186,230
U.S. Treasury and government agencies(a)(h)	11,089		1,041			—			—			12,130
Obligations of U.S. states and municipalities	35		21,489			187			—			21,711
Certificates of deposit	—		2,783			—			—			2,783
Non-U.S. government debt securities(h)	29,556		36,488			—			—			66,044
Corporate debt securities	—		38,609			—			—			38,609
Asset-backed securities:
Collateralized loan obligations	—		—			27,896			—			27,896
Other	—		12,843			128			—			12,971
Equity securities	2,733		38			—			—			2,771
Total available-for-sale securities	43,413		298,816			28,916			—			371,145
Loans	—		273			2,282			—			2,555
Mortgage servicing rights	—		—			7,614			—			7,614
Other assets:
Private equity investments(f)	578		—			7,181			—			7,759
All other	4,188		253			4,258			—			8,699
Total other assets	4,766		253			11,439			—			16,458
Total assets measured at fair value on a recurring basis	$	207,691	$	2,137,783	(g)	$	98,123	(g)	$	(1,561,362	)	$	882,235
Deposits	$	—	$	3,750		$	1,983		$	—		$	5,733
Federal funds purchased and securities loaned or sold under repurchase agreements	—		4,388			—			—			4,388
Other borrowed funds	—		9,972			1,619			—			11,591
Trading liabilities:
Debt and equity instruments(d)(h)	47,469		13,588			205			—			61,262
Derivative payables:
Interest rate(h)	490		1,256,989			3,295			(1,235,868		)	24,906
Credit	—		95,411			4,616			(97,523		)	2,504
Foreign exchange(h)	428		155,323			4,801			(141,951		)	18,601
Equity(h)	—		37,808			6,727			(32,716		)	11,819
Commodity(h)	176		46,548			901			(34,799		)	12,826
Total derivative payables(e)	1,094		1,592,079			20,340			(1,542,857		)	70,656
Total trading liabilities	48,563		1,605,667			20,545			(1,542,857		)	131,918
Accounts payable and other liabilities	—		—			36			—			36
Beneficial interests issued by consolidated VIEs	—		245			925			—			1,170
Long-term debt	—		22,312			8,476			—			30,788
Total liabilities measured at fair value on a recurring basis	$	48,563	$	1,646,334		$	33,584		$	(1,542,857	)	$	185,624

(a) At December 31, 2013 and 2012, included total U.S. government-sponsored enterprise obligations of $91.5 billion and $119.4 billion, respectively, which were predominantly mortgage-related.

(b) At December 31, 2013 and 2012, included within trading loans were $14.8 billion and $26.4 billion, respectively, of residential first-lien mortgages, and $2.1 billion and $2.2 billion, respectively, of commercial first-lien mortgages. Residential mortgage loans include conforming mortgage loans originated with the intent to sell to U.S. government agencies of $6.0 billion and $17.4 billion, respectively, and reverse mortgages of $3.6 billion and $4.0 billion, respectively.

(c) Physical commodities inventories are generally accounted for at the lower of cost or market. “Market” is a term defined in U.S. GAAP as not exceeding fair value less costs to sell (“transaction costs”). Transaction costs for the Firm’s physical commodities inventories are either not applicable or immaterial to the value of the inventory. Therefore, market approximates fair value for the Firm’s physical commodities inventories. When fair value hedging has been applied (or when market is below cost), the carrying value of physical commodities approximates fair value, because under fair value hedge accounting, the cost basis is adjusted for changes in fair value. For a further discussion of the Firm’s hedge accounting relationships, see Note 6 on pages 220–233 of this Annual Report. To provide consistent fair value disclosure information, all physical commodities inventories have been included in each period presented.

(d) Balances reflect the reduction of securities owned (long positions) by the amount of securities sold but not yet purchased (short positions) when the long and short positions have identical Committee on Uniform Security Identification Procedures numbers (“CUSIPs”).

(e) As permitted under U.S. GAAP, the Firm has elected to net derivative receivables and derivative payables and the related cash collateral received and paid when a legally enforceable master netting agreement exists. For purposes of the tables above, the Firm does not reduce derivative receivables and derivative payables balances for this netting adjustment, either within or across the levels of the fair value hierarchy, as such netting is not relevant to a presentation based on the transparency of inputs to the valuation of an asset or liability. Therefore, the balances reported in the fair value hierarchy table are gross of any counterparty netting adjustments. However, if the Firm were to net such balances within level 3, the reduction in the level 3 derivative receivables and payables balances would be $7.6 billion and $7.4 billion at December 31, 2013 and 2012, respectively; this is exclusive of the netting benefit associated with cash collateral, which would further reduce the level 3 balances.

(f) Private equity instruments represent investments within the Corporate/Private Equity line of business. The cost basis of the private equity investment portfolio totaled $8.0 billion and $8.4 billion at December 31, 2013 and 2012, respectively.

(g) Includes investments in hedge funds, private equity funds, real estate and other funds that do not have readily determinable fair values. The Firm uses net asset value per share when measuring the fair value of these investments. At December 31, 2013 and 2012, the fair values of these investments were $3.2 billion and $4.9 billion, respectively, of which $899 million and $1.1 billion, respectively were classified in level 2, and $2.3 billion and $3.8 billion, respectively, in level 3.

(h) The prior period amounts have been revised. This revision had no impact on the Firm’s Consolidated Balance Sheets or its results of operations.

Fair value inputs, assets and liabilities, quantitative information

Level 3 inputs(a)
December 31, 2013 (in millions, except for ratios and basis points)
Product/Instrument	Fair value			Principal valuation technique	Unobservable inputs	Range of input values				Weighted average
Residential mortgage-backed securities and loans	$	11,089		Discounted cash flows	Yield	3	%	-	18%	7%
					Prepayment speed	0	%	-	15%	7%
					Conditional default rate	0	%	-	100%	26%
					Loss severity	0	%	-	100%	21%
Commercial mortgage-backed securities and loans(b)	1,204			Discounted cash flows	Yield	6	%	-	29%	11%
					Conditional default rate	0	%	-	100%	10%
					Loss severity	0	%	-	40%	33%
Corporate debt securities, obligations of U.S. states and municipalities, and other(c)	15,209			Discounted cash flows	Credit spread	88 bps		-	255 bps	154 bps
					Yield	1	%	-	40%	10%
	5,843			Market comparables	Price	3		-	122	95
Net interest rate derivatives	2,379			Option pricing	Interest rate correlation	(75	)%	-	95%
					Interest rate spread volatility	0	%	-	60%
Net credit derivatives(b)(c)	95			Discounted cash flows	Credit correlation	34	%	-	82%
Net foreign exchange derivatives	(1,200		)	Option pricing	Foreign exchange correlation	45	%	-	75%
Net equity derivatives	(1,063		)	Option pricing	Equity volatility	20	%	-	55%
Net commodity derivatives	115			Discounted cash flows	Forward commodity price	$20		-	$160 per megawatt hour
Collateralized loan obligations	821			Discounted cash flows	Credit spread	214 bps		-	575 bps	234 bps
					Prepayment speed	20%				20%
					Conditional default rate	2%				2%
					Loss severity	40%				40%
	487			Market comparables	Price	0		-	114	88
Mortgage servicing rights (“MSRs”)	9,614			Discounted cash flows	Refer to Note 17 on pages 299–304 of this Annual Report.
Private equity direct investments	4,872			Market comparables	EBITDA multiple	4.0x		-	14.7x	8.1x
					Liquidity adjustment	0	%	-	37%	11%
Private equity fund investments(d)	1,602			Net asset value	Net asset value(f)
Long-term debt, other borrowed funds, and deposits(e)	13,282			Option pricing	Interest rate correlation	(75	)%	-	95%
					Foreign exchange correlation	0	%	-	75%
					Equity correlation	(50	)%	-	85%
	1,055			Discounted cash flows	Credit correlation	34	%	-	82%

(a) The categories presented in the table have been aggregated based upon the product type, which may differ from their classification on the Consolidated Balance Sheets.

(b) The unobservable inputs and associated input ranges for approximately $735 million of credit derivative receivables and $644 million of credit derivative payables with underlying mortgage risk have been included in the inputs and ranges provided for commercial mortgage-backed securities and loans.

(c) The unobservable inputs and associated input ranges for approximately $1.0 billion of credit derivative receivables and $890 million of credit derivative payables with underlying asset-backed securities risk have been included in the inputs and ranges provided for corporate debt securities, obligations of U.S. states and municipalities and other.

(d) As of December 31, 2013, $757 million of private equity fund exposure was carried at a discount to net asset value per share.

(e) Long-term debt, other borrowed funds and deposits include structured notes issued by the Firm that are predominantly financial instruments containing embedded derivatives. The estimation of the fair value of structured notes is predominantly based on the derivative features embedded within the instruments. The significant unobservable inputs are broadly consistent with those presented for derivative receivables.

(f) The range has not been disclosed due to the wide range of possible values given the diverse nature of the underlying investments.

Changes in level 3 recurring fair value measurements

	Fair value measurements using significant unobservable inputs
Year ended December 31, 2013 (in millions)	Fair value at January 1, 2013			Total realized/unrealized gains/(losses)															Transfers into and/or out of level 3(h)			Fair value at Dec. 31, 2013			Change in unrealized gains/(losses) related to financial instruments held at Dec. 31, 2013
								Purchases(g)			Sales					Settlements
Assets:
Trading assets:
Debt instruments:
Mortgage-backed securities:
U.S. government agencies	$	498		$	169			$	819		$	(381	)			$	(100	)	$	—		$	1,005		$	200
Residential – nonagency	663			407				780			(1,028		)			(91		)	(5		)	726			205
Commercial – nonagency	1,207			114				841			(1,522		)			(208		)	—			432			(4		)
Total mortgage-backed securities	2,368			690				2,440			(2,931		)			(399		)	(5		)	2,163			401
Obligations of U.S. states and municipalities	1,436			71				472			(251		)			(346		)	—			1,382			18
Non-U.S. government debt securities	67			4				1,449			(1,479		)			(8		)	110			143			(1		)
Corporate debt securities	5,308			103				7,602			(5,975		)			(1,882		)	764			5,920			466
Loans	10,787			665				10,411			(7,431		)			(685		)	(292		)	13,455			315
Asset-backed securities	3,696			191				1,912			(2,379		)			(292		)	(1,856		)	1,272			105
Total debt instruments	23,662			1,724				24,286			(20,446		)			(3,612		)	(1,279		)	24,335			1,304
Equity securities	1,114			(41		)		328			(266		)			(135		)	(115		)	885			46
Physical commodities	—			(4		)		—			(8		)			—			16			4			(4		)
Other	863			558				659			(95		)			(120		)	135			2,000			1,074
Total trading assets – debt and equity instruments	25,639			2,237			(c)	25,273			(20,815		)			(3,867		)	(1,243		)	27,224			2,420			(c)
Net derivative receivables:(a)
Interest rate	3,322			1,358				344			(220		)			(2,391		)	(34		)	2,379			107
Credit	1,873			(1,697		)		115			(12		)			(357		)	173			95			(1,449		)
Foreign exchange	(1,750		)	(101		)		3			(4		)			683			(31		)	(1,200		)	(110		)
Equity	(1,806		)	2,587				2,918			(3,783		)			(1,353		)	374			(1,063		)	872
Commodity	254			816				105			(3		)			(1,107		)	50			115			410
Total net derivative receivables	1,893			2,963			(c)	3,485			(4,022		)			(4,525		)	532			326			(170		)	(c)
Available-for-sale securities:
Asset-backed securities	28,024			4				579			(57		)			(57		)	(27,405		)	1,088			4
Other	892			26				508			(216		)			(6		)	30			1,234			25
Total available-for-sale securities	28,916			30			(d)	1,087			(273		)			(63		)	(27,375		)	2,322			29			(d)
Loans	2,282			81			(c)	1,065			(191		)			(1,306		)	—			1,931			(21		)	(c)
Mortgage servicing rights	7,614			1,612			(e)	2,215			(725		)			(1,102		)	—			9,614			1,612			(e)
Other assets:
Private equity investments	7,181			645			(c)	673			(1,137		)			(687		)	(201		)	6,474			262			(c)
All other	4,258			98			(f)	272			(730		)			(722		)	—			3,176			53			(f)
	Fair value measurements using significant unobservable inputs
Year ended December 31, 2013 (in millions)	Fair value at January 1, 2013			Total realized/unrealized (gains)/losses															Transfers into and/or out of level 3(h)			Fair value at Dec. 31, 2013			Change in unrealized (gains)/losses related to financial instruments held at Dec. 31, 2013
								Purchases(g)			Sales			Issuances		Settlements
Liabilities:(b)
Deposits	$	1,983		$	(82	)	(c)	$	—		$	—		$	1,248	$	(222	)	$	(672	)	$	2,255		$	(88	)	(c)
Other borrowed funds	1,619			(177		)	(c)	—			—			7,108		(6,845		)	369			2,074			291			(c)
Trading liabilities – debt and equity instruments	205			(83		)	(c)	(2,418		)	2,594			—		(54		)	(131		)	113			(100		)	(c)
Accounts payable and other liabilities	36			(2		)	(f)	—			—			—		(9		)	—			25			(2		)	(f)
Beneficial interests issued by consolidated VIEs	925			174			(c)	—			—			353		(212		)	—			1,240			167			(c)
Long-term debt	8,476			(435		)	(c)	—			—			6,830		(4,362		)	(501		)	10,008			(85		)	(c)

	Fair value measurements using significant unobservable inputs
Year ended December 31, 2012 (in millions)	Fair value at January 1, 2012			Total realized/unrealized gains/(losses)															Transfers into and/or out of level 3(h)			Fair value at Dec. 31, 2012			Change in unrealized gains/(losses) related to financial instruments held at Dec. 31, 2012
								Purchases(g)			Sales					Settlements
Assets:
Trading assets:
Debt instruments:
Mortgage-backed securities:
U.S. government agencies	$	86		$	(44	)		$	575		$	(103	)			$	(16	)	$	—		$	498		$	(21	)
Residential – nonagency	796			151				417			(533		)			(145		)	(23		)	663			74
Commercial – nonagency	1,758			(159		)		287			(475		)			(104		)	(100		)	1,207			(145		)
Total mortgage-backed securities	2,640			(52		)		1,279			(1,111		)			(265		)	(123		)	2,368			(92		)
Obligations of U.S. states and municipalities	1,619			37				336			(552		)			(4		)	—			1,436			(15		)
Non-U.S. government debt securities	104			(6		)		661			(668		)			(24		)	—			67			(5		)
Corporate debt securities	6,373			187				8,391			(6,186		)			(3,045		)	(412		)	5,308			689
Loans	12,209			836				5,342			(3,269		)			(3,801		)	(530		)	10,787			411
Asset-backed securities	7,965			272				2,550			(6,468		)			(614		)	(9		)	3,696			184
Total debt instruments	30,910			1,274				18,559			(18,254		)			(7,753		)	(1,074		)	23,662			1,172
Equity securities	1,177			(209		)		460			(379		)			(12		)	77			1,114			(112		)
Other	880			186				68			(108		)			(163		)	—			863			180
Total trading assets – debt and equity instruments	32,967			1,251			(c)	19,087			(18,741		)			(7,928		)	(997		)	25,639			1,240			(c)
Net derivative receivables:(a)
Interest rate	3,561			6,930				406			(194		)			(7,071		)	(310		)	3,322			905
Credit	7,732			(4,487		)		124			(84		)			(1,416		)	4			1,873			(3,271		)
Foreign exchange	(1,263		)	(800		)		112			(184		)			436			(51		)	(1,750		)	(957		)
Equity	(3,105		)	168				1,676			(2,579		)			899			1,135			(1,806		)	580
Commodity	(687		)	(673		)		74			64					1,278			198			254			(160		)
Total net derivative receivables	6,238			1,138			(c)	2,392			(2,977		)			(5,874		)	976			1,893			(2,903		)	(c)
Available-for-sale securities:
Asset-backed securities	24,958			135				9,280			(3,361		)			(3,104		)	116			28,024			118
Other	528			55				667			(113		)			(245		)	—			892			59
Total available-for-sale securities	25,486			190			(d)	9,947			(3,474		)			(3,349		)	116			28,916			177			(d)
Loans	1,647			695			(c)	1,536			(22		)			(1,718		)	144			2,282			12			(c)
Mortgage servicing rights	7,223			(635		)	(e)	2,833			(579		)			(1,228		)	—			7,614			(635		)	(e)
Other assets:
Private equity investments	6,751			420			(c)	1,545			(512		)			(977		)	(46		)	7,181			333			(c)
All other	4,374			(195		)	(f)	818			(238		)			(501		)	—			4,258			(200		)	(f)
	Fair value measurements using significant unobservable inputs
Year ended December 31, 2012 (in millions)	Fair value at January 1, 2012			Total realized/unrealized (gains)/losses															Transfers into and/or out of level 3(h)			Fair value at Dec. 31, 2012			Change in unrealized (gains)/losses related to financial instruments held at Dec. 31, 2012
								Purchases(g)			Sales			Issuances		Settlements
Liabilities:(b)
Deposits	$	1,418		$	212		(c)	$	—		$	—		$	1,236	$	(380	)	$	(503	)	$	1,983		$	185		(c)
Other borrowed funds	1,507			148			(c)	—			—			1,646		(1,774		)	92			1,619			72			(c)
Trading liabilities – debt and equity instruments	211			(16		)	(c)	(2,875		)	2,940			—		(50		)	(5		)	205			(12		)	(c)
Accounts payable and other liabilities	51			1			(f)	—			—			—		(16		)	—			36			1			(f)
Beneficial interests issued by consolidated VIEs	791			181			(c)	—			—			221		(268		)	—			925			143			(c)
Long-term debt	10,310			328			(c)	—			—			3,662		(4,511		)	(1,313		)	8,476			(101		)	(c)

	Fair value measurements using significant unobservable inputs
Year ended December 31, 2011 (in millions)	Fair value at January 1, 2011			Total realized/unrealized gains/(losses)															Transfers into and/or out of level 3(h)			Fair value at Dec. 31, 2011			Change in unrealized gains/(losses) related to financial instruments held at Dec. 31, 2011
								Purchases(g)			Sales					Settlements
Assets:
Trading assets:
Debt instruments:
Mortgage-backed securities:
U.S. government agencies	$	174		$	24			$	28		$	(39	)			$	(43	)	$	(58	)	$	86		$	(51	)
Residential – nonagency	687			109				708			(432		)			(221		)	(55		)	796			(9		)
Commercial – nonagency	2,069			37				796			(973		)			(171		)	—			1,758			33
Total mortgage-backed securities	2,930			170				1,532			(1,444		)			(435		)	(113		)	2,640			(27		)
Obligations of U.S. states and municipalities	2,257			9				807			(1,465		)			(1		)	12			1,619			(11		)
Non-U.S. government debt securities	202			35				552			(531		)			(80		)	(74		)	104			38
Corporate debt securities	4,946			32				8,080			(5,939		)			(1,005		)	259			6,373			26
Loans	13,144			329				5,532			(3,873		)			(2,691		)	(232		)	12,209			142
Asset-backed securities	8,460			90				4,185			(4,368		)			(424		)	22			7,965			(217		)
Total debt instruments	31,939			665				20,688			(17,620		)			(4,636		)	(126		)	30,910			(49		)
Equity securities	1,685			267				180			(541		)			(352		)	(62		)	1,177			278
Other	930			48				36			(39		)			(95		)	—			880			79
Total trading assets – debt and equity instruments	34,554			980			(c)	20,904			(18,200		)			(5,083		)	(188		)	32,967			308			(c)
Net derivative receivables:(a)
Interest rate	2,836			5,205				511			(219		)			(4,534		)	(238		)	3,561			1,497
Credit	5,386			2,240				22			(13		)			116			(19		)	7,732			2,744
Foreign exchange	(614		)	(1,913		)		191			(20		)			886			207			(1,263		)	(1,878		)
Equity	(2,446		)	(60		)		715			(1,449		)			37			98			(3,105		)	(132		)
Commodity	(805		)	596				328			(350		)			(294		)	(162		)	(687		)	208
Total net derivative receivables	4,357			6,068			(c)	1,767			(2,051		)			(3,789		)	(114		)	6,238			2,439			(c)
Available-for-sale securities:
Asset-backed securities	13,775			(95		)		15,268			(1,461		)			(2,529		)	—			24,958			(106		)
Other	512			—				57			(15		)			(26		)	—			528			8
Total available-for-sale securities	14,287			(95		)	(d)	15,325			(1,476		)			(2,555		)	—			25,486			(98		)	(d)
Loans	1,466			504			(c)	326			(9		)			(639		)	(1		)	1,647			484			(c)
Mortgage servicing rights	13,649			(7,119		)	(e)	2,603			—					(1,910		)	—			7,223			(7,119		)	(e)
Other assets:
Private equity investments	7,862			943			(c)	1,452			(2,746		)			(594		)	(166		)	6,751			(242		)	(c)
All other	4,179			(54		)	(f)	938			(139		)			(521		)	(29		)	4,374			(83		)	(f)
	Fair value measurements using significant unobservable inputs
Year ended December 31, 2011 (in millions)	Fair value at January 1, 2011			Total realized/unrealized (gains)/losses															Transfers into and/or out of level 3(h)			Fair value at Dec. 31, 2011			Change in unrealized (gains)/losses related to financial instruments held at Dec. 31, 2011
								Purchases(g)			Sales			Issuances		Settlements
Liabilities:(b)
Deposits	$	773		$	15		(c)	$	—		$	—		$	433	$	(386	)	$	583		$	1,418		$	4		(c)
Other borrowed funds	1,384			(244		)	(c)	—			—			1,597		(834		)	(396		)	1,507			(85		)	(c)
Trading liabilities – debt and equity instruments	54			17			(c)	(533		)	778			—		(109		)	4			211			(7		)	(c)
Accounts payable and other liabilities	236			(61		)	(f)	—			—			—		(124		)	—			51			5			(f)
Beneficial interests issued by consolidated VIEs	873			17			(c)	—			—			580		(679		)	—			791			(15		)	(c)
Long-term debt	13,044			60			(c)	—			—			2,564		(3,218		)	(2,140		)	10,310			288			(c)

(a) All level 3 derivatives are presented on a net basis, irrespective of underlying counterparty.

(b) Level 3 liabilities as a percentage of total Firm liabilities accounted for at fair value (including liabilities measured at fair value on a nonrecurring basis) were 18%, 18% and 22% at December 31, 2013, 2012 and 2011, respectively.

(c) Predominantly reported in principal transactions revenue, except for changes in fair value for Consumer & Community Banking (“CCB”) mortgage loans, lending-related commitments originated with the intent to sell, and mortgage loan purchase commitments, which are reported in mortgage fees and related income.

(d) Realized gains/(losses) on AFS securities, as well as other-than-temporary impairment losses that are recorded in earnings, are reported in securities gains. Unrealized gains/(losses) are reported in OCI. Realized gains/(losses) and foreign exchange remeasurement adjustments recorded in income on AFS securities were $17 million, $145 million, and $(240) million for the years ended December 31, 2013, 2012 and 2011, respectively. Unrealized gains/(losses) recorded on AFS securities in OCI were $13 million, $45 million and $145 million for the years ended December 31, 2013, 2012 and 2011, respectively.

(e) Changes in fair value for CCB mortgage servicing rights are reported in mortgage fees and related income.

(f) Largely reported in other income.

(g) Loan originations are included in purchases.

(h) All transfers into and/or out of level 3 are assumed to occur at the beginning of the quarterly reporting period in which they occur.

Credit adjustments

The following table provides the credit and funding adjustments, excluding the effect of any hedging activity, reflected within the Consolidated Balance Sheets as of the dates indicated.

December 31, (in millions)	2013			2012
Derivative receivables balance(a)	$	65,759		$	74,983
Derivative payables balance(a)	57,314			70,656
Derivatives CVA(b)(c)	(2,352		)	(4,238		)
Derivatives DVA and FVA(b)(d)	(322		)	830
Structured notes balance (net of structured notes DVA and FVA)(b)(e)	48,808			48,112
Structured notes DVA and FVA(b)(f)	952			1,712

(a) Balances are presented net of applicable credit and funding adjustments.

(b) Positive credit and funding adjustments represent amounts that increased receivable balances or decreased payable balances; negative credit and funding adjustments represent amounts that decreased receivable balances or increased payable balances.

(c) Derivatives CVA, gross of hedges, includes results managed by the Credit Portfolio and other lines of business within the CIB.

(d) At December 31, 2013 and 2012 included derivatives DVA of $715 million and $830 million, respectively.

(e) Structured notes are predominantly financial instruments containing embedded derivatives. At December 31, 2013 and 2012, included $1.1 billion and $1.1 billion, respectively, of financial instruments with with no embedded derivative for which the fair value option has been elected.

(f) At December 31, 2013 and 2012 included structured notes DVA of $1.4 billion and $1.7 billion, respectively.

Impact of credit adjustments on earnings

The following table provides the impact of credit and funding adjustments on earnings in the respective periods, excluding the effect of any hedging activity.

Year ended December 31, (in millions)	2013			2012			2011
Derivative CVA(a)	$	1,886		$	2,698		$	(2,574	)
Derivative DVA and FVA(b)	(1,152		)	(590		)	538
Structured notes DVA and FVA(c)(d)	(760		)	(340		)	899

(a) Derivatives CVA, gross of hedges, includes results managed by the Credit Portfolio and other lines of business within the CIB.

(b) At December 31, 2013, 2012 and 2011 included derivatives DVA of $(115) million, $(590) million and $538 million, respectively.

(c) Structured notes are measured at fair value based on the Firm’s election under the fair value option. For further information on these elections, see Note 4 on pages 215–218 of this Annual Report.

(d) At December 31, 2013, 2012 and 2011 included structured notes DVA of $(337) million, $(340) million and $899 million, respectively.

Carrying value and estimated fair value of financial assets and liabilities

The following table presents the carrying values and estimated fair values at December 31, 2013 and 2012, of financial assets and liabilities, excluding financial instruments which are carried at fair value on a recurring basis, and information is provided on their classification within the fair value hierarchy. For additional information regarding the financial instruments within the scope of this disclosure, and the methods and significant assumptions used to estimate their fair value, see pages 196–200 of this Note.

	December 31, 2013										December 31, 2012
			Estimated fair value hierarchy										Estimated fair value hierarchy
(in billions)	Carrying value		Level 1		Level 2		Level 3		Total estimated fair value		Carrying value		Level 1		Level 2		Level 3		Total estimated fair value
Financial assets
Cash and due from banks	$	39.8	$	39.8	$	—	$	—	$	39.8	$	53.7	$	53.7	$	—	$	—	$	53.7
Deposits with banks	316.1		309.7		6.4		—		316.1		121.8		114.1		7.7		—		121.8
Accrued interest and accounts receivable	65.2		—		64.9		0.3		65.2		60.9		—		60.3		0.6		60.9
Federal funds sold and securities purchased under resale agreements	223.0		—		223.0		—		223.0		272.0		—		272.0		—		272.0
Securities borrowed	107.7		—		107.7		—		107.7		108.8		—		108.8		—		108.8
Securities, held-to-maturity(a)	24.0		—		23.7		—		23.7		—		—		—		—		—
Loans, net of allowance for loan losses(b)	720.1		—		23.0		697.2		720.2		709.3		—		26.4		685.4		711.8
Other	58.1		—		54.5		4.3		58.8		49.7		—		42.7		7.4		50.1
Financial liabilities
Deposits	$	1,281.1	$	—	$	1,280.3	$	1.2	$	1,281.5	$	1,187.9	$	—	$	1,187.2	$	1.2	$	1,188.4
Federal funds purchased and securities loaned or sold under repurchase agreements	175.7		—		175.7		—		175.7		235.7		—		235.7		—		235.7
Commercial paper	57.8		—		57.8		—		57.8		55.4		—		55.4		—		55.4
Other borrowed funds	14.7		—		14.7		—		14.7		15.0		—		15.0		—		15.0
Accounts payable and other liabilities	160.2		—		158.2		1.8		160.0		156.5		—		153.8		2.5		156.3
Beneficial interests issued by consolidated VIEs	47.6		—		44.3		3.2		47.5		62.0		—		57.7		4.4		62.1
Long-term debt and junior subordinated deferrable interest debentures(c)	239.0		—		240.8		6.0		246.8		218.2		—		220.0		5.4		225.4

(a) Carrying value includes unamortized discount or premium.

(b) Fair value is typically estimated using a discounted cash flow model that incorporates the characteristics of the underlying loans (including principal, contractual interest rate and contractual fees) and other key inputs, including expected lifetime credit losses, interest rates, prepayment rates, and primary origination or secondary market spreads. For certain loans, the fair value is measured based on the value of the underlying collateral. The difference between the estimated fair value and carrying value of a financial asset or liability is the result of the different methodologies used to determine fair value as compared with carrying value. For example, credit losses are estimated for a financial asset’s remaining life in a fair value calculation but are estimated for a loss emergence period in the allowance for loan loss calculation; future loan income (interest and fees) is incorporated in a fair value calculation but is generally not considered in the allowance for loan losses. For a further discussion of the Firm’s methodologies for estimating the fair value of loans and lending-related commitments, see Valuation hierarchy on pages 196–200of this Annual Report.

(c) Carrying value includes unamortized original issue discount and other valuation adjustments.

The Carrying value and estimated fair value of wholesale lending- related commitments

The majority of the Firm’s lending-related commitments are not carried at fair value on a recurring basis on the Consolidated Balance Sheets, nor are they actively traded. The carrying value and estimated fair value of the Firm’s wholesale lending-related commitments were as follows for the periods indicated.

	December 31, 2013										December 31, 2012
			Estimated fair value hierarchy										Estimated fair value hierarchy
(in billions)	Carrying value(a)		Level 1		Level 2		Level 3		Total estimated fair value		Carrying value(a)		Level 1		Level 2		Level 3		Total estimated fair value
Wholesale lending-related commitments	$	0.7	$	—	$	—	$	1.0	$	1.0	$	0.7	$	—	$	—	$	1.9	$	1.9

(a) Represents the allowance for wholesale lending-related commitments. Excludes the current carrying values of the guarantee liability and the offsetting asset, each of which are recognized at fair value at the inception of guarantees.

Trading assets and liabilities average balances

Average trading assets and liabilities were as follows for the periods indicated.

Year ended December 31, (in millions)	2013		2012		2011
Trading assets – debt and equity instruments	$	340,449	$	349,337	$	393,890
Trading assets – derivative receivables	72,629		85,744		90,003
Trading liabilities – debt and equity instruments(a)	77,706		69,001		81,916
Trading liabilities – derivative payables	64,553		76,162		71,539

(a) Primarily represent securities sold, not yet purchased.