Fair Value (Tables)

12 Months Ended

Dec. 31, 2011

Schedule Of Fair Value Measurements On A Recurring Basis

Fair Value Measurements on a Recurring Basis
as of December 31, 2011

(In millions)

Quoted Market
Prices in Active
Markets
(Level 1)

Pricing Methods
with Significant
Observable Market
Inputs
(Level 2)

Pricing Methods
with Significant
Unobservable Market
Inputs
(Level 3)

Impact of
Netting⁽¹⁾

Total Net
Carrying Value
in Consolidated
Statement of
Condition

Assets:

Trading account assets:

U.S. government securities

Non-U.S. government securities

498

Other

138

189

Investment securities available for sale:

U.S. Treasury and federal agencies:

Direct obligations

1,727

1,109

2,836

Mortgage-backed securities

—

28,832

1,189

30,021

Asset-backed securities:

Student loans

—

15,685

860

16,545

Credit cards

—

10,396

10,487

Sub-prime

—

1,404

—

1,404

Other

—

667

2,798

3,465

Total asset-backed securities

—

28,152

3,749

31,901

Non-U.S. debt securities:

Mortgage-backed securities

—

9,418

1,457

10,875

Asset-backed securities

—

2,535

1,768

4,303

Government securities

—

1,671

—

1,671

Other

—

2,754

2,825

Total non-U.S. debt securities

—

16,378

3,296

19,674

State and political subdivisions

—

6,997

7,047

Collateralized mortgage obligations

—

3,753

227

3,980

Other U.S. debt securities

—

3,613

3,615

U.S. equity securities

—

640

—

640

Non-U.S. equity securities

117

—

118

Total investment securities available for sale

1,728

89,591

8,513

99,832

Other assets:

Derivative instruments:

Foreign exchange contracts

—

12,045

168

Interest-rate contracts

—

1,795

Other

—

Total derivative instruments

—

13,841

178

(7,653

)

6,366

Other

110

—

110

Total assets carried at fair value

2,407

103,570

8,691

(7,653

)

107,015

Liabilities:

Accrued expenses and other liabilities:

Derivative instruments:

Foreign exchange contracts

12,191

161

Interest-rate contracts

1,970

Other

Total derivative instruments

14,162

181

(7,653

)

6,690

Other

110

—

130

Total liabilities carried at fair value

110

14,162

201

(7,653

)

6,820

⁽¹⁾	Represents counterparty netting against level 2 financial assets and liabilities, where a legally enforceable master netting agreement exists between State Street and the counterparty. This netting cannot be disaggregated by type of derivative instrument.


	Fair Value Measurements on a Recurring Basis as of December 31, 2010
(In millions)	Quoted Market Prices in Active Markets (Level 1)		Pricing Methods with Significant Observable Market Inputs (Level 2)		Pricing Methods with Significant Unobservable Market Inputs (Level 3)		Impact of Netting⁽¹⁾			Total Net Carrying Value in Consolidated Statement of Condition
Assets:
Trading account assets:
U.S. government securities	$	20								$	20
Non-U.S. government securities		297									297
Other		40	$	122							162
Investment securities available for sale:
U.S. Treasury and federal agencies:
Direct obligations		6,529		1,048							7,577
Mortgage-backed securities		—		22,967	$	673					23,640
Asset-backed securities:
Student loans		—		13,181		1,234					14,415
Credit cards		—		7,560		43					7,603
Sub-prime		—		1,818		—					1,818
Other		—		569		2,000					2,569

Total asset-backed securities		—		23,128		3,277					26,405

Non-U.S. debt securities
Mortgage-backed securities		—		5,898		396					6,294
Asset-backed securities		—		1,046		740					1,786
Government securities		—		2,004		1					2,005
Other		—		1,924		8					1,932

Total non-U.S. debt securities		—		10,872		1,145					12,017

State and political subdivisions		—		6,554		50					6,604
Collateralized mortgage obligations		—		1,502		359					1,861
Other U.S. debt securities		—		2,533		3					2,536
U.S. equity securities		—		1,115		—					1,115
Non-U.S. equity securities		7		119		—					126

Total investment securities available for sale		6,536		69,838		5,507					81,881

Other assets:
Derivative instruments:
Foreign exchange contracts		—		7,804		254
Interest-rate contracts		—		165		—
Other		—		2		—

Total derivative instruments		—		7,971		254	$	(2,970	)		5,255
Other		168		—		—		—			168

Total assets carried at fair value	$	7,061	$	77,931	$	5,761	$	(2,970	)	$	87,783

Liabilities:
Accrued expenses and other liabilities:
Trading account liabilities:
U.S. government securities	$	210								$	210
Non-U.S. government securities		345									345
Derivative instruments:
Foreign exchange contracts		—	$	8,195	$	260
Interest-rate contracts		1		358		—
Other		—		1		9

Total derivative instruments		1		8,554		269	$	(2,970	)		5,854
Other		168		3		—		—			171

Total liabilities carried at fair value	$	724	$	8,557	$	269	$	(2,970	)	$	6,580

⁽¹⁾	Represents counterparty netting against level 2 financial assets and liabilities, where a legally enforceable master netting agreement exists between State Street and the counterparty. This netting cannot be disaggregated by type of derivative instrument.

Schedule Of Fair Value Measurements Using Significant Unobservable Inputs

The following tables present activity related to our financial assets and liabilities categorized in level 3 of the valuation hierarchy during the years indicated. Transfers into and out of level 3 are reported as of the beginning of the period. During 2011 and 2010, transfers out of level 3 were substantially related to certain mortgage- or asset-backed securities and non-U.S. debt securities, for which fair value was measured using prices for which observable market information became available.


	Fair Value Measurements Using Significant Unobservable Inputs Year Ended December 31, 2011
								Total Realized Unrealized Gains (Losses)																		Change in Unrealized Gains (Losses) Related to Financial Instruments Held at December 31, 2011
(In millions)	Fair Value at December 31, 2010		Transfers in to Level 3		Transfers out of Level 3			Included in Revenue			Included in Other Comprehensive Income			Purchases		Issuances		Sales			Settlements			Fair Value at December 31, 2011
Assets:
Investment securities available for sale:
U.S. Treasury and federal agencies:
Direct Obligations					$	(40	)							$	40
Mortgage-backed securities	$	673				(936	)				$	1			1,540						$	(89	)	$	1,189
Asset-backed securities:
Student loans		1,234				(785	)	$	3			(21	)		421							8			860
Credit cards		43				(285	)		4			(2	)		301							30			91
Sub-prime		—				—			—			—			—							—			—
Other		2,000	$	114		(245	)		31			6			1,073			$	(49	)		(132	)		2,798

Total asset-backed securities		3,277		114		(1,315	)		38			(17	)		1,795				(49	)		(94	)		3,749

Non-U.S. debt securities
Mortgage-backed securities		396		—		(838	)		—			(9	)		1,920				—			(12	)		1,457
Asset-backed securities		740		—		(939	)		1			7			2,179				(3	)		(217	)		1,768
Government securities		1		—		—			—			—			—				—			(1	)		—
Other		8		—		—			—			—			65				—			(2	)		71

Total non-U.S. debt securities		1,145		—		(1,777	)		1			(2	)		4,164				(3	)		(232	)		3,296

State and political subdivisions		50		1		(3	)		—			—			2				—			—			50
Collateralized mortgage obligations		359		—		(519	)		522			(4	)		428				—			(559	)		227
Other U.S. debt securities		3		—		—			—			—			—				—			(1	)		2

Total investment securities available for sale		5,507		115		(4,590	)		561			(22	)		7,969				(52	)		(975	)		8,513

Other assets:
Derivative instruments:
Foreign exchange contracts		254		—		—			(134	)		—			236				—			(188	)		168	$	(68	)
Interest-rate contracts		—		—		—			10			—			7				(7	)		—			10		9

Total derivative instruments		254		—		—			(124	)		—			243				(7	)		(188	)		178		(59	)

Total assets carried at fair value	$	5,761	$	115	$	(4,590	)	$	437		$	(22	)	$	8,212		—	$	(59	)	$	(1,163	)	$	8,691	$	(59	)


	Fair Value Measurements Using Significant Unobservable Inputs Year Ended December 31, 2011
							Total Realized Unrealized (Gains} Losses																		Change in Unrealized (Gains) Losses Related to Financial Instruments Held at December 31, 2011
(In millions)	Fair Value at December 31, 2010		Transfers in to Level 3		Transfers out of Level 3		Included in Revenue			Included in Other Comprehensive Income		Purchases			Issuances		Sales			Settlements			Fair Value at December 31, 2011
Liabilities:
Accrued expenses and other liabilities:
Derivative instruments:
Foreign exchange contracts	$	260					$	(122	)						$	219				$	(196	)	$	161	$	(60	)
Interest-rate contracts		—						11				$	(7	)		14	$	(7	)		—			11		10
Other		9						—								—		—			—			9		—

Total derivative instruments		269						(111	)				(7	)		233		(7	)		(196	)		181		(50	)
Other		—						—								20		—			—			20		—

Total liabilities carried at fair value	$	269		—		—	$	(111	)		—	$	(7	)	$	253	$	(7	)	$	(196	)	$	201	$	(50	)


	Fair Value Measurements Using Significant Unobservable Inputs Year Ended December 31, 2010
			Total Realized and Unrealized Gains (Losses)						Purchases, Issuances and Settlements, Net			Transfers Into and/or Out of Level 3			Fair Value at December 31, 2010		Change in Unrealized Gains (Losses) Related to Financial Instruments Held at December 31, 2010
(In millions)	Fair Value at December 31, 2009		Recorded in Revenue			Recorded in Other Comprehensive Income			Purchases, Issuances and Settlements, Net			Transfers Into and/or Out of Level 3			Fair Value at December 31, 2010
Assets:
Investment securities available for sale:
U.S. Treasury and federal agencies:
Mortgage-backed securities	$	58	$	(1	)	$	(1	)	$	659		$	(42	)	$	673
Asset-backed securities:
Student loans		3,175		9			81			(317	)		(1,714	)		1,234
Credit cards		312		17			(16	)		(31	)		(239	)		43
Sub-prime		3		1			—			—			(4	)		—
Other		2,507		92			160			(444	)		(315	)		2,000
Total asset-backed securities		5,997		119			225			(792	)		(2,272	)		3,277
Non-U.S. debt securities
Mortgage-backed securities		768		35			7			576			(990	)		396
Asset-backed securities		361		24			31			686			(362	)		740
Government securities		—		—			—			1			—			1
Other		40		(1	)		3			(39	)		5			8
Total non-U.S. debt securities		1,169		58			41			1,224			(1,347	)		1,145
State and political subdivisions		2		—			—			(1	)		49			50
Collateralized mortgage obligations		199		(35	)		6			362			(173	)		359
Other U.S. debt securities		3		—			—			—			—			3
Total investment securities available for sale		7,428		141			271			1,452			(3,785	)		5,507

Other assets:
Derivatives-foreign exchange contracts		128		(55	)		—			181			—			254	$	(41	)
Total assets carried at fair value	$	7,556	$	86		$	271		$	1,633		$	(3,785	)	$	5,761	$	(41	)


	Fair Value Measurements Using Significant Unobservable Inputs Year Ended December 31, 2010
			Total Realized and Unrealized (Gains) Losses					Purchases, Issuances and Settlements, Net		Transfers Into and/or Out of Level 3		Fair Value at December 31, 2010		Change in Unrealized (Gains) Losses Related to Financial Instruments Held at December 31, 2010
(In millions)	Fair Value at December 31, 2009		Recorded in Revenue			Recorded in Other Comprehensive Income		Purchases, Issuances and Settlements, Net		Transfers Into and/or Out of Level 3		Fair Value at December 31, 2010
Liabilities:
Accrued expenses and other liabilities:
Derivative instruments:
Foreign exchange contracts	$	138	$	(72	)			$	194			$	260	$	(36	)
Other		9		—					—				9		—

Total derivative instruments		147		(72	)		—		194		—		269		(36	)
Total liabilities carried at fair value	$	147	$	(72	)		—	$	194		—	$	269	$	(36	)

Level 3 Total Realized And Unrealized Gains And Losses Recorded In Revenue


	Year Ended December 31, 2011						Year Ended December 31, 2010					Year Ended December 31, 2009
(In millions)	Total Realized and Unrealized Gains (Losses) Recorded in Revenue			Change in Unrealized Gains (Losses) Related to Financial Instruments Held at December 31, 2011			Total Realized and Unrealized Gains (Losses) Recorded in Revenue		Change in Unrealized Gains (Losses) Related to Financial Instruments Held at December 31, 2010			Total Realized and Unrealized Gains (Losses) Recorded in Revenue			Change in Unrealized Gains (Losses) Related to Financial Instruments Held at December 31, 2009
Fee revenue:
Trading services	$	(13	)	$	(9	)	$	17	$	(5	)	$	38		$	(5	)
Processing fees and other		—			—			—		—			50			50

Total fee revenue		(13	)		(9	)		17		(5	)		88			45
Net interest revenue		561			—			141		—			(101	)		—

Total revenue	$	548		$	(9	)	$	158	$	(5	)	$	(13	)	$	45

Reported Amounts And Estimated Fair Values For Financial Instruments


	Reported		Fair
(In millions)	Amount		Value
2011:
Financial Assets:
Investment securities held to maturity	$	9,321	$	9,362
Net loans (excluding leases)		8,777		8,752
Financial Liabilities:
Long-term debt		8,131		8,206
2010:
Financial Assets:
Investment securities held to maturity	$	12,249	$	12,576
Net loans (excluding leases)		10,387		10,242
Financial Liabilities:
Long-term debt		8,550		8,498

- Definition

Tabular disclosure of the total amount of gains or losses for the period which are included in earnings or resulted in a change to net assets which gains or losses have arisen from the use of significant unobservable inputs (Level 3) to measure the fair value of assets and liabilities. Such gains or losses are attributable to the change in unrealized gains or losses relating to those assets and liabilities so valued which are still held at the reporting date and which change are also considered for disclosure; it may be expected that a description of where those unrealized gains or losses are reported in the statement of income or the statement of financial position would also be disclosed.

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- Definition

Tabular disclosure of the fair value measurement of assets using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes during the period attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets) and gains or losses recognized in other comprehensive income, and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issuances, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs), by class of asset.

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