8. Equity Method Investments

Overview

Equity method investments, other than certain investments in funds, are summarized below and are included in Other assets in the balance sheets with related income or loss included in Other revenues in the income statements. See the Fund Interests Measured Based on Net Asset Value table in Note 3 for the carrying value of the Firm’s fund interests, which are comprised of general and limited partnership interests, as well as any related performance-based fees in the form of carried interest.

• Includes impairments of the Investment Management business segment’s interest in a third-party asset manager of $46 million in 2018 and $53 million in 2017.

Japanese Securities Joint Venture

Included in equity method investments is the Firm’s 40% voting interest in Mitsubishi UFJ Morgan Stanley Securities Co., Ltd. (“MUMSS”). Mitsubishi UFJ Financial Group, Inc. (“MUFG”) holds the other 60% voting interest in MUMSS. The Firm accounts for its equity method investment in MUMSS within the Institutional Securities business segment.