TRADING ACCOUNT ASSETS AND LIABILITIES

Trading account assets and Trading account liabilities are carried at fair value, other than physical commodities accounted for at the lower of cost or fair value, and consist of the following at June 30, 2015 and December 31, 2014:



In millions of dollars	June 30, 2015		December 31, 2014
Trading account assets
Mortgage-backed securities⁽¹⁾
U.S. government-sponsored agency guaranteed	$	26,047	$	27,053
Prime	1,239		1,271
Alt-A	647		709
Subprime	1,010		1,382
Non-U.S. residential	919		1,476
Commercial	3,714		4,343
Total mortgage-backed securities	$	33,576	$	36,234
U.S. Treasury and federal agency securities
U.S. Treasury	$	20,192	$	18,906
Agency obligations	1,800		1,568
Total U.S. Treasury and federal agency securities	$	21,992	$	20,474
State and municipal securities	$	3,332	$	3,402
Foreign government securities	58,321		64,937
Corporate	21,539		27,797
Derivatives⁽²⁾	60,843		67,957
Equity securities	58,047		57,846
Asset-backed securities⁽¹⁾	5,731		4,546
Other trading assets⁽³⁾	15,816		13,593
Total trading account assets	$	279,197	$	296,786
Trading account liabilities
Securities sold, not yet purchased	$	72,979	$	70,944
Derivatives⁽²⁾	63,316		68,092
Total trading account liabilities	$	136,295	$	139,036

(1)

The Company invests in mortgage-backed and asset-backed securities. These securitizations are generally considered VIEs. The Company’s maximum exposure to loss from these VIEs is equal to the carrying amount of the securities, which is reflected in the table above. For mortgage-backed and asset-backed securitizations in which the Company has other involvement, see Note 20 to the Consolidated Financial Statements.


(2)	Presented net, pursuant to enforceable master netting agreements. See Note 21 to the Consolidated Financial Statements for a discussion regarding the accounting and reporting for derivatives.


(3)	Includes investments in unallocated precious metals, as discussed in Note 23 to the Consolidated Financial Statements. Also includes physical commodities accounted for at the lower of cost or fair value.