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Related Party Transactions (Tables)
 12 Months Ended
Dec. 31, 2015
Related Party Transactions [Abstract]  
Summary of Related Party Transactions
The following tables and discussions below present the more significant related party balances and the income (expense) generated by related party transactions:
At December 31,
2015
 
2014
 
(in millions)
Assets:
 
 
 
Cash and due from banks
$
169

 
$
140

Interest bearing deposits with banks
244

 
928

Securities purchased under agreements to resell(1)
4,000

 
—

Trading assets(2)
18,632

 
20,194

Loans
4,815

 
4,821

Other(3)
458

 
983

Total assets
$
28,318

 
$
27,066

Liabilities:
 
 
 
Deposits
$
13,486

 
$
16,596

Trading liabilities(2)
19,496

 
21,130

Short-term borrowings
2,004

 
847

Long-term debt
1,827

 
3,981

Other(3)
346

 
459

Total liabilities
$
37,159

 
$
43,013

 
(1) 
Reflects overnight purchases of U.S. Treasury securities which HSBC Securities (USA) Inc. ("HSI") has agreed to repurchase.
(2) 
Trading assets and trading liabilities do not reflect the impact of netting which allows the offsetting of amounts relating to certain contracts if certain conditions are met. Trading assets and liabilities primarily consist of derivatives contracts.
(3) 
Other assets and other liabilities primarily consist of derivative contracts.
Year Ended December 31,
2015
 
2014
 
2013
 
(in millions)
Income/(Expense):
 
 
 
 
 
Interest income
$
117

 
$
71

 
$
46

Interest expense
(63
)
 
(66
)
 
(78
)
Net interest income (expense)
54

 
5

 
(32
)
Trading revenue (expense)
402

 
(676
)
 
(2,611
)
Servicing and other fees from HSBC affiliates:
 
 
 
 
 
HSBC Bank plc
82

 
49

 
31

HSBC Finance Corporation
53

 
81

 
86

HSBC Markets (USA) Inc. ("HMUS")
25

 
22

 
20

Other HSBC affiliates
53

 
47

 
65

Total servicing and other fees from HSBC affiliates
213

 
199

 
202

Gain (loss) on instruments designed at fair value and related derivatives
(116
)
 
453

 
788

Support services from HSBC affiliates:
 
 
 
 
 
HMUS
(256
)
 
(248
)
 
(246
)
HSBC Technology & Services (USA) ("HTSU")
(999
)
 
(1,103
)
 
(1,000
)
Other HSBC affiliates
(180
)
 
(198
)
 
(213
)
Total support services from HSBC affiliates
(1,435
)
 
(1,549
)
 
(1,459
)
Stock based compensation expense with HSBC(1)
(49
)
 
(46
)
 
(34
)

 
(1) 
Employees may participate in one or more stock compensation plans sponsored by HSBC. These expenses are included in salaries and employee benefits in our consolidated statement of income (loss). Employees also may participate in a defined benefit pension plan and other postretirement plans sponsored by HSBC North America which are discussed in Note 20, "Pension and Other Postretirement Benefits."
Schedule of Assets by Related Party
At December 31, 2015 and 2014, we have the following loan balances outstanding with HSBC affiliates:
At December 31,
2015
 
2014
 
(in millions)
HSBC Finance Corporation
$
3,014

 
$
3,014

HSBC Markets (USA) Inc. ("HMUS") and subsidiaries
978

 
563

HSBC Bank Brasil S.A.
—

 
1,108

HSBC Mexico S.A.
725

 
75

Other short-term affiliate lending
98

 
61

Total loans
$
4,815

 
$
4,821