| Investments |
5. Investments
A summary of the carrying value of total investments is as follows:
|
(in millions) |
|
December 31,
2021 |
|
|
December 31,
2020 |
|
|
Debt securities: |
|
|
|
|
|
|
|
|
|
Held-to-maturity investments |
|
$ |
430 |
|
|
$ |
310 |
|
|
Trading securities (including $1,140 trading debt securities of CIPs) |
|
|
1,186 |
|
|
|
1,964 |
|
|
Total debt securities |
|
|
1,616 |
|
|
|
2,274 |
|
|
Equity securities at FVTNI (including $1,485 equity securities at FVTNI of CIPs) |
|
|
1,738 |
|
|
|
2,317 |
|
|
Equity method investments(1) |
|
|
1,694 |
|
|
|
1,081 |
|
|
Bank loans |
|
|
284 |
|
|
|
248 |
|
|
Federal Reserve Bank stock(2) |
|
|
96 |
|
|
|
94 |
|
|
Carried interest(3) |
|
|
1,555 |
|
|
|
627 |
|
|
Other investments(4) |
|
|
279 |
|
|
|
278 |
|
|
Total investments |
|
$ |
7,262 |
|
|
$ |
6,919 |
|
|
(1) |
Equity method investments primarily include BlackRock’s direct investments in certain BlackRock sponsored investment funds. |
|
(2) |
At both December 31, 2021 and 2020, there were no indicators of impairment of Federal Reserve Bank stock, which is held for regulatory purposes and is restricted from sale. |
|
(3) |
Carried interest represents allocations to BlackRock’s general partner capital accounts from certain sponsored investment funds. These balances are subject to change upon cash distributions, additional allocations or reallocations back to limited partners within the respective funds. |
|
(4) |
Other investments include BlackRock’s investments in nonmarketable equity securities, which are measured at cost, adjusted for observable price changes and private equity and real asset investments of CIPs measured at fair value. |
Held-to-Maturity Investments
The carrying value of held-to-maturity investments was $430 million and $310 million at December 31, 2021 and 2020, respectively. Held-to-maturity investments included certain investments in BlackRock sponsored CLOs and foreign government debt held primarily for regulatory purposes. The amortized cost (carrying value) of these investments approximated fair value (primarily a Level 2 input). At December 31, 2021, $11 million of these investments mature between one year to five years, $140 million of these investments mature between five to ten years and $279 million mature after ten years.
Trading Debt Securities and Equity Securities at FVTNI
A summary of the cost and carrying value of trading debt securities and equity securities at FVTNI is as follows:
|
|
|
December 31, 2021 |
|
|
December 31, 2020 |
|
|
(in millions) |
|
Cost |
|
|
Carrying
Value |
|
|
Cost |
|
|
Carrying
Value |
|
|
Trading debt securities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Corporate debt |
|
$ |
703 |
|
|
$ |
701 |
|
|
$ |
1,591 |
|
|
$ |
1,641 |
|
|
Government debt |
|
|
365 |
|
|
|
363 |
|
|
|
203 |
|
|
|
210 |
|
|
Asset/mortgage backed debt |
|
|
126 |
|
|
|
122 |
|
|
|
132 |
|
|
|
113 |
|
|
Total trading debt securities |
|
$ |
1,194 |
|
|
$ |
1,186 |
|
|
$ |
1,926 |
|
|
$ |
1,964 |
|
|
Equity securities at FVTNI: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity securities/mutual funds |
|
$ |
1,451 |
|
|
$ |
1,738 |
|
|
$ |
2,055 |
|
|
$ |
2,317 |
|
|
Total equity securities at FVTNI |
|
$ |
1,451 |
|
|
$ |
1,738 |
|
|
$ |
2,055 |
|
|
$ |
2,317 |
|
|