Financial Instruments (Tables)

9 Months Ended

Sep. 30, 2024

Derivative

Notional exposure of derivative instruments

	September 30, 2024				December 31, 2023
	Long Notional Exposure		Short Notional Exposure		Long Notional Exposure		Short Notional Exposure
		(in millions)
Primary underlying risk:
Equity contracts	$	1,782	$	1,912	$	1,882	$	2,350
Credit contracts(1)		528		150		—		435
Commodity contracts		—		122		—		409

(1) The short notional amount on our credit default swap positions was approximately $0.8 billion and $2.5 billion at September 30, 2024 and December 31, 2023, respectively. However, because credit spreads cannot compress below zero, our downside short notional exposure to loss is approximately $0.15 billion and $0.4 billion as of September 30, 2024 and December 31, 2023, respectively.

Investment Segment

Derivative

Fair value and income recognized for derivatives not designated as hedging instruments

	Derivative Assets				Derivative Liabilities
	September 30, 2024		December 31, 2023		September 30, 2024		December 31, 2023
		(in millions)
Equity contracts	$	122	$	11	$	829	$	999
Credit contracts		27		39		1		2
Commodity contracts		30		14		—		3
Sub-total		179		64		830		1,004
Netting across contract types(1)		(152)		(25)		(152)		(25)
Total(1)	$	27	$	39	$	678	$	979

(1) Excludes netting of cash collateral received and posted. The total collateral posted at September 30, 2024 and December 31, 2023 was $1.4 billion and $1.7 billion, respectively, across all counterparties, which are included in cash held at consolidated affiliated partnerships and restricted cash in the condensed consolidated balance sheets.

The following table presents the amount of gain (loss) recognized in the condensed consolidated statements of operations for our Investment segment’s derivatives not designated as hedging instruments:

	Gain (loss) Recognized in Income (1)
	Three Months Ended September 30,				Nine Months Ended September 30,
	2024		2023		2024		2023
	(in millions)
Equity contracts	$	79	$	32	$	(132)	$	(618)
Credit contracts		29		(63)		3		(29)
Commodity contracts		32		(74)		15		(91)
	$	140	$	(105)	$	(114)	$	(738)

(1) Gains (losses) recognized on derivatives are classified in net (loss) gain from investment activities in our condensed consolidated statements of operations for our Investment segment.

Energy

Derivative

Fair value and income recognized for derivatives not designated as hedging instruments

	Derivative Assets				Derivative Liabilities
	September 30, 2024		December 31, 2023		September 30, 2024		December 31, 2023
		(in millions)
Commodity contracts	$	32	$	31	$	23	$	6
Netting across contract types(1)		(16)		(6)		(16)		(6)
Total(1)	$	16	$	25	$	7	$	—

(1) Excludes netting of derivatives primarily related to initial margin requirements of $12 million and $13 million at September 30, 2024 and December 31, 2023, respectively, which was not offset against derivatives liabilities, net in the condensed consolidated balance sheets.