XML 48 R41.htm IDEA: XBRL DOCUMENT v3.24.3
Fair Value Disclosures (Tables)
 9 Months Ended
Sep. 30, 2024
Fair Value Disclosures [Abstract]  
Assets and Liabilities Measured at Fair Value on Recurring Basis

Assets and liabilities measured at fair value on a recurring basis

September 30, 2024
(in millions)

Quoted Prices
in Active
Markets for
Identical Assets
(Level 1)

 

 

Significant
Other
Observable
Inputs
(Level 2)

 

 

Significant
Unobservable
Inputs
(Level 3)

 

 

Investments
Measured at
NAV(1)

 

 

Other(2)

 

 

September 30,
 2024

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investments

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Debt securities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Trading securities

$

—

 

 

$

1,890

 

 

$

79

 

 

$

—

 

 

$

—

 

 

$

1,969

 

Held-to-maturity investments

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

566

 

 

 

566

 

Total debt securities

 

—

 

 

 

1,890

 

 

 

79

 

 

 

—

 

 

 

566

 

 

 

2,535

 

Equity securities at FVTNI:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Equity securities/mutual funds

 

2,532

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

2,532

 

Equity method:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Equity, fixed income, and multi-asset
   mutual funds

 

335

 

 

 

122

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

457

 

Hedge funds/funds of hedge
   funds/other

 

—

 

 

 

—

 

 

 

—

 

 

 

607

 

 

 

—

 

 

 

607

 

Private equity funds

 

—

 

 

 

—

 

 

 

—

 

 

 

1,104

 

 

 

—

 

 

 

1,104

 

Real assets funds

 

—

 

 

 

—

 

 

 

—

 

 

 

463

 

 

 

—

 

 

 

463

 

Investments related to deferred
   cash compensation plans

 

—

 

 

 

—

 

 

 

—

 

 

 

171

 

 

 

—

 

 

 

171

 

Total equity method

 

335

 

 

 

122

 

 

 

—

 

 

 

2,345

 

 

 

—

 

 

 

2,802

 

Loans held by CIPs

 

—

 

 

 

16

 

 

 

141

 

 

 

—

 

 

 

—

 

 

 

157

 

Federal Reserve Bank Stock

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

93

 

 

 

93

 

Carried interest

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,991

 

 

 

1,991

 

Other investments

 

14

 

 

 

—

 

 

 

—

 

 

 

260

 

 

 

155

 

 

 

429

 

Total investments

 

2,881

 

 

 

2,028

 

 

 

220

 

 

 

2,605

 

 

 

2,805

 

 

 

10,539

 

Other assets(3)

 

148

 

 

 

35

 

 

 

157

 

 

 

—

 

 

 

—

 

 

 

340

 

Separate account assets

 

34,676

 

 

 

21,494

 

 

 

—

 

 

 

—

 

 

 

519

 

 

 

56,689

 

Separate account collateral held under
 securities lending agreements:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Equity securities

 

3,790

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

3,790

 

Debt securities

 

—

 

 

 

2,565

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

2,565

 

Total separate account collateral held
   under securities lending agreements

 

3,790

 

 

 

2,565

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

6,355

 

Total

$

41,495

 

 

$

26,122

 

 

$

377

 

 

$

2,605

 

 

$

3,324

 

 

$

73,923

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Separate account collateral
   liabilities under securities
   lending agreements

$

3,790

 

 

$

2,565

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

6,355

 

Other liabilities(4)

 

—

 

 

 

13

 

 

 

279

 

 

 

—

 

 

 

—

 

 

 

292

 

Total

$

3,790

 

 

$

2,578

 

 

$

279

 

 

$

—

 

 

$

—

 

 

$

6,647

 

 

(1)
Amounts are comprised of certain investments measured at fair value using NAV (or its equivalent) as a practical expedient.
(2)
Amounts are comprised of investments held at amortized cost and cost, adjusted for observable price changes, and carried interest.
(3)
Level 1 amount includes a minority investment in a publicly traded company. Level 3 amount includes corporate minority private debt investments with changes in fair value recorded in AOCI, net of tax.
(4)
Level 2 amount primarily includes fair value of derivatives (See Note 8, Derivatives and Hedging, for more information). Level 3 amount primarily includes borrowings of a consolidated CLO classified based on the significance of unobservable inputs used for calculating the fair value of consolidated CLO assets, and contingent liabilities related to certain acquisitions.

December 31, 2023
(in millions)

Quoted Prices
in Active
Markets for
Identical Assets
(Level 1)

 

 

Significant
Other
Observable
Inputs
(Level 2)

 

 

Significant
Unobservable
Inputs
(Level 3)

 

 

Investments
Measured at
NAV(1)

 

 

Other(2)

 

 

December 31,
2023

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investments

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Debt securities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Trading securities

$

—

 

 

$

1,829

 

 

$

42

 

 

$

—

 

 

$

—

 

 

$

1,871

 

Held-to-maturity investments

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

617

 

 

 

617

 

Total debt securities

 

—

 

 

 

1,829

 

 

 

42

 

 

 

—

 

 

 

617

 

 

 

2,488

 

Equity securities at FVTNI:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Equity securities/mutual funds

 

1,585

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,585

 

Equity method:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Equity, fixed income, and multi-asset
   mutual funds

 

246

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

246

 

Hedge funds/funds of hedge
   funds/other

 

—

 

 

 

—

 

 

 

—

 

 

 

588

 

 

 

—

 

 

 

588

 

Private equity funds

 

—

 

 

 

—

 

 

 

—

 

 

 

1,264

 

 

 

—

 

 

 

1,264

 

Real assets funds

 

—

 

 

 

—

 

 

 

—

 

 

 

417

 

 

 

—

 

 

 

417

 

Investments related to deferred cash
   compensation plans

 

—

 

 

 

—

 

 

 

—

 

 

 

241

 

 

 

—

 

 

 

241

 

Total equity method

 

246

 

 

 

—

 

 

 

—

 

 

 

2,510

 

 

 

—

 

 

 

2,756

 

Loans held by CIPs

 

—

 

 

 

30

 

 

 

175

 

 

 

—

 

 

 

—

 

 

 

205

 

Federal Reserve Bank Stock

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

92

 

 

 

92

 

Carried interest

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,975

 

 

 

1,975

 

Other investments

 

15

 

 

 

—

 

 

 

—

 

 

 

467

 

 

 

157

 

 

 

639

 

Total investments

 

1,846

 

 

 

1,859

 

 

 

217

 

 

 

2,977

 

 

 

2,841

 

 

 

9,740

 

Other assets(3)

 

117

 

 

 

19

 

 

 

120

 

 

 

—

 

 

 

—

 

 

 

256

 

Separate account assets

 

34,621

 

 

 

20,810

 

 

 

—

 

 

 

—

 

 

 

667

 

 

 

56,098

 

Separate account collateral held under
securities lending agreements:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Equity securities

 

1,686

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,686

 

Debt securities

 

—

 

 

 

2,872

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

2,872

 

Total separate account collateral held
   under securities lending agreements

 

1,686

 

 

 

2,872

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

4,558

 

Total

$

38,270

 

 

$

25,560

 

 

$

337

 

 

$

2,977

 

 

$

3,508

 

 

$

70,652

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Separate account collateral
   liabilities under securities
   lending agreements

$

1,686

 

 

$

2,872

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

4,558

 

Other liabilities(4)

 

—

 

 

 

17

 

 

 

279

 

 

 

—

 

 

 

—

 

 

 

296

 

Total

$

1,686

 

 

$

2,889

 

 

$

279

 

 

$

—

 

 

$

—

 

 

$

4,854

 

 

(1)
Amounts are comprised of certain investments measured at fair value using NAV (or its equivalent) as a practical expedient.
(2)
Amounts are comprised of investments held at amortized cost and cost, adjusted for observable price changes, and carried interest.
(3)
Level 1 amount includes a minority investment in a publicly traded company. Level 3 amount includes a corporate minority private debt investment with changes in fair value recorded in AOCI, net of tax.
(4)
Level 2 amount primarily includes fair value of derivatives (See Note 8, Derivatives and Hedging, for more information). Level 3 amount primarily includes borrowings of a consolidated CLO classified based on the significance of unobservable inputs used for calculating the fair value of consolidated CLO assets, and a contingent liability related to certain acquisitions.
Changes in Level 3 Assets and Liabilities Measured at Fair Value on Recurring Basis

Changes in Level 3 Assets and Liabilities Measured at Fair Value on a Recurring Basis for the Three Months Ended September 30, 2024

(in millions)

 

June 30,
 2024

 

 

Realized
and
Unrealized
Gains
(Losses)

 

 

Purchases

 

 

Sales and
Maturities

 

 

Issuances and
Other
Settlements(1)

 

 

Transfers
into
Level 3

 

 

Transfers
out of
Level 3

 

 

September 30,
 2024

 

 

Total Net
Unrealized
Gains (Losses)
Included in
Earnings(2)

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investments:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Trading debt securities

 

$

82

 

 

$

(2

)

 

$

—

 

 

$

(1

)

 

$

—

 

 

$

—

 

 

$

—

 

 

$

79

 

 

$

(2

)

Loans

 

 

225

 

 

 

1

 

 

 

4

 

 

 

(87

)

 

 

—

 

 

 

2

 

 

 

(4

)

 

 

141

 

 

 

1

 

Total investments

 

 

307

 

 

 

(1

)

 

 

4

 

 

 

(88

)

 

 

—

 

 

 

2

 

 

 

(4

)

 

 

220

 

 

 

(1

)

Other assets

 

 

150

 

 

 

7

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

157

 

 

 

7

 

Total assets

 

$

457

 

 

$

6

 

 

$

4

 

 

$

(88

)

 

$

—

 

 

$

2

 

 

$

(4

)

 

$

377

 

 

$

6

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other liabilities

 

$

298

 

 

$

16

 

 

$

—

 

 

$

—

 

 

$

(3

)

 

$

—

 

 

$

—

 

 

$

279

 

 

$

16

 

 

(1)
Amounts include repayments of borrowings of a consolidated CLO.
(2)
Earnings attributable to the change in unrealized gains (losses) relating to assets and liabilities still held at the reporting date.

Changes in Level 3 Assets and Liabilities Measured at Fair Value on a Recurring Basis for the Nine Months Ended September 30, 2024

(in millions)

 

December 31,
2023

 

 

Realized
and
Unrealized
Gains
(Losses)

 

 

Purchases

 

 

Sales and
Maturities

 

 

Issuances and
Other
Settlements(1)

 

 

Transfers
into
Level 3

 

 

Transfers
out of
Level 3

 

 

September 30,
2024

 

 

Total Net
Unrealized
Gains (Losses)
Included in
Earnings(2)

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investments:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Trading debt securities

 

$

42

 

 

$

2

 

 

$

36

 

 

$

(1

)

 

$

—

 

 

$

—

 

 

$

—

 

 

$

79

 

 

$

2

 

Loans

 

 

175

 

 

 

1

 

 

 

402

 

 

 

(441

)

 

 

—

 

 

 

11

 

 

 

(7

)

 

 

141

 

 

 

1

 

Total investments

 

 

217

 

 

 

3

 

 

 

438

 

 

 

(442

)

 

 

—

 

 

 

11

 

 

 

(7

)

 

 

220

 

 

 

3

 

Other assets

 

 

120

 

 

 

—

 

 

 

37

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

157

 

 

 

—

 

Total assets

 

$

337

 

 

$

3

 

 

$

475

 

 

$

(442

)

 

$

—

 

 

$

11

 

 

$

(7

)

 

$

377

 

 

$

3

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other liabilities

 

$

279

 

 

$

19

 

 

$

—

 

 

$

—

 

 

$

19

 

 

$

—

 

 

$

—

 

 

$

279

 

 

$

19

 

 

(1)
Issuances and other settlements amount includes a contingent liability in connection with the acquisition of the remaining equity interest in SpiderRock Advisors ("SRA") in May 2024 (the "SpiderRock Transaction"), partially offset by repayments of borrowings of a consolidated CLO.
(2)
Earnings attributable to the change in unrealized gains (losses) relating to assets and liabilities still held at the reporting date.

Changes in Level 3 Assets and Liabilities Measured at Fair Value on a Recurring Basis for the Three Months Ended September 30, 2023

(in millions)

 

June 30,
2023

 

 

Realized
and
Unrealized
Gains
(Losses)

 

 

Purchases

 

 

Sales and
Maturities

 

 

Issuances and
Other
Settlements(1)

 

 

Transfers
into
Level 3

 

 

Transfers
out of
Level 3

 

 

September 30,
2023

 

 

Total Net
Unrealized
Gains (Losses)
Included in
Earnings(2)

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investments:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Trading debt securities

 

$

41

 

 

$

(1

)

 

$

2

 

 

$

(2

)

 

$

—

 

 

$

—

 

 

$

—

 

 

$

40

 

 

$

(1

)

Loans

 

 

266

 

 

 

(17

)

 

 

117

 

 

 

—

 

 

 

—

 

 

 

23

 

 

 

(8

)

 

 

381

 

 

 

(17

)

Total investments

 

 

307

 

 

 

(18

)

 

 

119

 

 

 

(2

)

 

 

—

 

 

 

23

 

 

 

(8

)

 

 

421

 

 

 

(18

)

Other assets

 

 

109

 

 

 

(2

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

107

 

 

 

(2

)

Total assets

 

$

416

 

 

$

(20

)

 

$

119

 

 

$

(2

)

 

$

—

 

 

$

23

 

 

$

(8

)

 

$

528

 

 

$

(20

)

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other liabilities

 

$

254

 

 

$

3

 

 

$

—

 

 

$

—

 

 

$

44

 

 

$

—

 

 

$

—

 

 

$

295

 

 

$

3

 

 

 

(1)
Amounts include repayments of borrowings of a consolidated CLO.
(2)
Earnings attributable to the change in unrealized gains (losses) relating to assets and liabilities still held at the reporting date.

Changes in Level 3 Assets and Liabilities Measured at Fair Value on a Recurring Basis for the Nine Months Ended September 30, 2023

(in millions)

 

December 31,
2022

 

 

Realized
and
Unrealized
Gains
(Losses)

 

 

Purchases

 

 

Sales and
Maturities

 

 

Issuances and
Other
Settlements(1)

 

 

Transfers
into
Level 3

 

 

Transfers
out of
Level 3

 

 

September 30,
2023

 

 

Total Net
Unrealized
Gains (Losses)
Included in
Earnings(2)

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investments:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Trading debt securities

 

$

52

 

 

$

(1

)

 

$

8

 

 

$

(19

)

 

$

—

 

 

$

—

 

 

$

—

 

 

$

40

 

 

$

(1

)

Loans

 

 

248

 

 

 

6

 

 

 

129

 

 

 

(21

)

 

 

—

 

 

 

33

 

 

 

(14

)

 

 

381

 

 

 

6

 

Total investments

 

 

300

 

 

 

5

 

 

 

137

 

 

 

(40

)

 

 

—

 

 

 

33

 

 

 

(14

)

 

 

421

 

 

 

5

 

Other assets

 

 

—

 

 

 

(2

)

 

 

109

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

107

 

 

 

(2

)

Total assets

 

$

300

 

 

$

3

 

 

$

246

 

 

$

(40

)

 

$

—

 

 

$

33

 

 

$

(14

)

 

$

528

 

 

$

3

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other liabilities

 

$

280

 

 

$

7

 

 

$

—

 

 

$

—

 

 

$

22

 

 

$

—

 

 

$

—

 

 

$

295

 

 

$

7

 

 

 

(1)
Amounts include repayments of borrowings of a consolidated CLO.
(2)
Earnings attributable to the change in unrealized gains (losses) relating to assets and liabilities still held at the reporting date.
Fair Value of Financial Assets and Financial Liabilities

Disclosures of Fair Value for Financial Instruments Not Held at Fair Value. At September 30, 2024 and December 31, 2023, the fair value of the Company’s financial instruments not held at fair value are categorized in the table below:

 

September 30, 2024

 

 

December 31, 2023

 

 

 

 

(in millions)

Carrying
Amount

 

 

Estimated
Fair Value

 

 

Carrying
Amount

 

 

Estimated
Fair Value

 

 

Fair Value
Hierarchy

 

Financial Assets(1):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

$

14,037

 

 

$

14,037

 

 

$

8,736

 

 

$

8,736

 

 

Level 1

(2)(3)

Other assets

$

87

 

 

$

87

 

 

$

80

 

 

$

80

 

 

Level 1

(2)(4)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Financial Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Long-term borrowings

$

12,370

 

 

$

12,279

 

 

$

7,918

 

 

$

7,413

 

 

Level 2

(5)

 

(1)
See Note 4, Investments, for further information on investments not held at fair value.
(2)
Cash and cash equivalents, other than money market funds, are carried at either cost or amortized cost, which approximates fair value due to their short-term maturities.
(3)
At September 30, 2024 and December 31, 2023, approximately $8.2 billion and $3.4 billion, respectively, of money market funds were recorded within cash and cash equivalents on the condensed consolidated statements of financial condition. Money market funds are valued based on quoted market prices, or $1.00 per share, which generally is the NAV of the fund.
(4)
At September 30, 2024 and December 31, 2023, other assets included cash collateral of approximately $70 million and $63 million, respectively. See Note 8, Derivatives and Hedging for further information on derivatives held by the Company. In addition, other assets included $17 million of restricted cash at both September 30, 2024 and December 31, 2023.
(5)
Long-term borrowings are recorded at amortized cost, net of debt issuance costs. The fair value of the long-term borrowings, including the current portion of long-term borrowings, is determined using market prices and the EUR/USD foreign exchange rate at the end of September 2024 and December 2023, respectively. See Note 13, Borrowings, for the fair value of each of the Company’s long-term borrowings.
Investments in Certain Entities that Calculate Net Asset Value per Share The following tables list information regarding all investments that use a fair value measurement to account for both their financial assets and financial liabilities in their calculation of a NAV per share (or equivalent).

September 30, 2024

 

 

 

 

 

 

 

 

 

 

 

 

(in millions)

 

Ref

 

Fair Value

 

 

Total
Unfunded
Commitments

 

 

Redemption
Frequency

 

Redemption
Notice Period

Equity method(1):

 

 

 

 

 

 

 

 

 

 

 

 

Hedge funds/funds of hedge
  funds/other

 

(a)

 

$

607

 

 

$

136

 

 

Daily/Monthly (11%)
Quarterly (9%)
N/R (80%)

 

1 – 90 days

Private equity funds

 

(b)

 

 

1,104

 

 

 

230

 

 

N/R

 

N/R

Real assets funds

 

(c)

 

 

463

 

 

 

222

 

 

Quarterly (8%)
N/R (92%)

 

60 days

Investments related to deferred
   cash compensation plan

 

(d)

 

 

171

 

 

 

—

 

 

Monthly

 

1 – 90 days

Consolidated sponsored
   investment products:

 

 

 

 

 

 

 

 

 

 

 

 

Real assets funds

 

(c)

 

 

161

 

 

 

46

 

 

N/R

 

N/R

Private equity funds

 

(e)

 

 

7

 

 

 

43

 

 

N/R

 

N/R

Hedge funds/other

 

(a)

 

 

92

 

 

 

63

 

 

Quarterly (60%)
N/R (40%)

 

90 days

Total

 

 

 

$

2,605

 

 

$

740

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31, 2023

 

 

 

 

 

 

 

 

 

 

 

 

(in millions)

 

Ref

 

Fair Value

 

 

Total
Unfunded
Commitments

 

 

Redemption
Frequency

 

Redemption
Notice Period

Equity method(1):

 

 

 

 

 

 

 

 

 

 

 

 

Hedge funds/funds of hedge
  funds/other

 

(a)

 

$

588

 

 

$

134

 

 

Daily/Monthly (4%)
Quarterly (8%)
N/R (88%)

 

1 – 90 days

Private equity funds

 

(b)

 

 

1,264

 

 

 

218

 

 

N/R

 

N/R

Real assets funds

 

(c)

 

 

417

 

 

 

210

 

 

Quarterly (10%)
N/R (90%)

 

60 days

Investments related to deferred
   cash compensation plan

 

(d)

 

 

241

 

 

 

—

 

 

Monthly

 

1 – 90 days

Consolidated sponsored
   investment products:

 

 

 

 

 

 

 

 

 

 

 

 

Real assets funds

 

(c)

 

 

154

 

 

 

62

 

 

N/R

 

N/R

Private equity funds

 

(e)

 

 

145

 

 

 

37

 

 

N/R

 

N/R

Hedge funds/other

 

(a)

 

 

168

 

 

 

64

 

 

Quarterly (83%)
N/R (17%)

 

90 days

Total

 

 

 

$

2,977

 

 

$

725

 

 

 

 

 

 

 

N/R – Not Redeemable

(1)
Comprised of equity method investments, which include investment companies that account for their financial assets and most financial liabilities under fair value measures; therefore, the Company’s investment in such equity method investees approximates fair value.
(a)
This category includes hedge funds, funds of hedge funds, and other funds that invest primarily in equities, fixed income securities, private credit, opportunistic and mortgage instruments and other third-party hedge funds. The fair values of the investments have been estimated using the NAV of the Company’s ownership interest in partners’ capital. The liquidation period for the investments in the funds that are not subject to redemption is unknown at both September 30, 2024 and December 31, 2023.
(b)
This category includes private equity funds that initially invest in nonmarketable securities of private companies, which ultimately may become public in the future. The fair values of these investments have been estimated using capital accounts representing the Company’s ownership interest in the funds and may also include other performance inputs. The Company’s investment in each fund is not subject to redemption and is normally returned through distributions as a result of the liquidation of the underlying assets of the private equity funds. The liquidation period for the investments in these funds is unknown at both September 30, 2024 and December 31, 2023.
(c)
This category includes several real assets funds that invest directly and indirectly in real estate or infrastructure. The fair values of the investments have been estimated using capital accounts representing the Company’s ownership interest in the funds. The Company’s investments that are not subject to redemption or are not currently redeemable are normally returned through distributions and realizations of the underlying assets of the funds. The liquidation period for the investments in the funds that are not subject to redemptions is unknown at both September 30, 2024 and December 31, 2023. The total remaining unfunded commitments were $268 million and $272 million at September 30, 2024 and December 31, 2023, respectively. The Company’s portion of the total remaining unfunded commitments was $241 million and $248 million at September 30, 2024 and December 31, 2023, respectively.
(d)
This category includes hedge funds and funds of hedge funds that invest primarily in equities, fixed income securities, mortgage instruments and other third-party hedge funds. The fair values of the investments have been estimated using the NAV of the Company's ownership interest in partners' capital. The investments in hedge funds will be redeemed upon settlement of certain deferred cash compensation liabilities.
(e)
This category includes the underlying third-party private equity funds within consolidated BlackRock sponsored private equity funds of funds. These investments are not subject to redemption or are not currently redeemable; however, for certain funds, the Company may sell or transfer its interest, which may need approval by the general partner of the underlying funds. Due to the nature of the investments in this category, the Company reduces its investment by distributions that are received through the realization of the underlying assets of the funds. The liquidation period for the underlying assets of these funds is unknown.
Summary of Information Related to Bank Loans and Borrowings of Consolidated CLO Recorded within Investments and Borrowings of Consolidated VIEs Respectively for which Fair Value Option was Elected

In addition, the Company elected the fair value option for bank loans and borrowings of a consolidated CLO, recorded within investments and other liabilities, respectively. The following table summarizes the information related to these bank loans and borrowings at September 30, 2024 and December 31, 2023:

 

 

September 30,

 

 

December 31,

 

(in millions)

 

2024

 

 

2023

 

CLO loans:

 

 

 

 

 

 

Aggregate principal amounts outstanding

 

$

170

 

 

$

203

 

Fair value

 

 

153

 

 

 

194

 

Aggregate unpaid principal balance in excess of (less than) fair value

 

$

17

 

 

$

9

 

 

 

 

 

 

 

CLO Borrowings:

 

 

 

 

 

 

Aggregate principal amounts outstanding

 

$

158

 

 

$

190

 

Fair value

 

$

142

 

 

$

180