Financial Instruments Owned, at Fair Value and Financial Instruments Sold, But Not Yet Purchased, at Fair Value (Tables)

9 Months Ended

Sep. 30, 2016

Financial Instruments Owned and Financial Instruments Sold, But Not Yet Purchased

The table below presents the firm’s financial instruments owned, at fair value, and financial instruments sold, but not yet purchased, at fair value.


$ in millions	Financial Instruments Owned	Financial Instruments Sold, But Not Yet Purchased
As of September 2016
Commercial paper, certificates of deposit, time deposits and other money market instruments	$ 2,463	$ —

U.S. government and federal agency obligations	45,306	14,751

Non-U.S. government and agency obligations	38,036	19,589

Loans and securities backed by:
Commercial real estate	4,523	6

Residential real estate	9,411	—

Bank loans and bridge loans	9,859	468

Corporate debt securities	21,128	6,313

State and municipal obligations	1,705	—

Other debt obligations	1,163	2

Equities and convertible debentures	91,280	29,586

Commodities	5,943	—

Investments in funds at NAV	6,859	—
Subtotal	237,676	70,715

Derivatives	54,744	44,439
Total	$292,420	$115,154
As of December 2015
Commercial paper, certificates of deposit, time deposits and other money market instruments	$ 2,583	$ —

U.S. government and federal agency obligations	46,382	15,516

Non-U.S. government and agency obligations	31,772	14,973

Loans and securities backed by:
Commercial real estate	4,975	4

Residential real estate	13,183	2

Bank loans and bridge loans	12,164	461

Corporate debt securities	16,640	6,123

State and municipal obligations	992	2

Other debt obligations	1,595	2

Equities and convertible debentures	98,072	31,394

Commodities	3,935	—

Investments in funds at NAV	7,757	—
Subtotal	240,050	68,477

Derivatives	53,890	46,771
Total	$293,940	$115,248

Gains and Losses from Market Making and Other Principal Transactions

The table below presents “Market making” revenues by major product type, as well as “Other principal transactions” revenues.


	Three Months Ended September				Nine Months Ended September
$ in millions		2016	2015			2016	2015
Product Type
Interest rates		$ 821	$ (132	)		$1,091	$ 146

Credit		440	298			1,688	1,218

Currencies		544	(656	)		1,254	1,135

Equities		663	1,968			2,215	4,671

Commodities		247	252			819	794
Market making		2,715	1,730			7,067	7,964
Other principal transactions		1,163	543			1,978	3,822
Total		$3,878	$2,273			$9,045	$11,786

In the table above:

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Gains/(losses) include both realized and unrealized gains and losses, and are primarily related to the firm’s financial instruments owned, at fair value and financial instruments sold, but not yet purchased, at fair value, including both derivative and non-derivative financial instruments.

•

Gains/(losses) exclude related interest income and interest expense. See Note 23 for further information about interest income and interest expense.

•

Gains/(losses) on other principal transactions are included in the firm’s Investing & Lending segment. See Note 25 for net revenues, including net interest income, by product type for Investing & Lending, as well as the amount of net interest income included in Investing & Lending.

•

Gains/(losses) are not representative of the manner in which the firm manages its business activities because many of the firm’s market-making and client facilitation strategies utilize financial instruments across various product types. Accordingly, gains or losses in one product type frequently offset gains or losses in other product types. For example, most of the firm’s longer-term derivatives across product types are sensitive to changes in interest rates and may be economically hedged with interest rate swaps. Similarly, a significant portion of the firm’s cash instruments and derivatives across product types has exposure to foreign currencies and may be economically hedged with foreign currency contracts.