INVESTMENTS.

The carrying values of our investments that are not part of the consolidated T. Rowe Price investment products are as follows:



(in millions)	12/31/2017		9/30/2018
Investments held at fair value
T. Rowe Price investment products ⁽¹⁾	$	692.1	$	1,344.2
T. Rowe Price investment products designated as an economic hedge of supplemental savings plan liability	268.2		294.6
Investment partnerships and other investments⁽²⁾	78.0		97.2
Equity method investments
T. Rowe Price investment products	277.4		514.2
26% interest in UTI Asset Management Company Limited (India)	155.8		158.6
Investment partnerships and other investments	4.8		4.6
U.S. Treasury note	1.0		1.0
Total	$	1,477.3	$	2,414.4

⁽¹⁾ Includes $597.1 million of investments at December 31, 2017, that were previously reported as available-for-sale investments prior to the adoption of the new financial instruments guidance on January 1, 2018. Refer to Note 1 for more information.

⁽²⁾ These investments at December 31, 2017, were carried at cost. Upon adoption of new financial guidance on January 1, 2018, these investments are carried at fair value using NAV per share as a practical expedient. Refer to Note 1 for more information.

The investment partnerships are carried at fair value using NAV per share as a practical expedient. Our interests in these partnerships are generally not redeemable and are subject to significant restrictions on transferability. The underlying investments of these partnerships have contractual terms through 2029, though we may receive distributions of liquidating assets over a longer term. The investment strategies of these partnerships include growth equity, buyout, venture capital, and real estate.

During the three- and nine-month periods ended September 30, 2018, we recognized in net gains on investments $11.3 million and $17.4 million, respectively, of net unrealized gains on investments held at fair value that were still held at September 30, 2018. For the three- and nine-month periods ended September 30, 2017, the majority of unrealized gains or losses on investments held at fair value are included and presented with other comprehensive income.

During the nine month periods ended September 30, 2017 and September 30, 2018, certain T. Rowe Price investment products in which we provided initial seed capital at the time of formation were deconsolidated, as we no longer had a controlling interest. Depending on our ownership interest, we are now reporting our residual interests in these T. Rowe Price investment products as either an equity method investment or an investment held at fair value. Additionally, during the nine month periods ended September 30, 2017 and September 30, 2018, certain T. Rowe Price investment products that were being accounted for as equity method investments were consolidated, as we regained a controlling interest. The net impact of these changes on our unaudited condensed consolidated balance sheets and statements of income as of the dates the portfolios were deconsolidated or reconsolidated is detailed below.



	Three months ended					Nine months ended
(in millions)	9/30/2017		9/30/2018			9/30/2017			9/30/2018
Net increase (decrease) in assets of consolidated T. Rowe Price investment products	$	13.5	$	(41.1	)	$	(1,060.5	)	$	(701.5	)
Net increase (decrease) in liabilities of consolidated T. Rowe Price investment products	$	—	$	(0.6	)	$	(133.6	)	$	17.9
Net increase (decrease) in redeemable non-controlling interests	$	7.9	$	(19.8	)	$	(779.3	)	$	(595.0	)

Gains (losses) recognized upon deconsolidation	$	.1	$	—		$	.1		$	3.6

The gains or losses recognized upon deconsolidation were the result of reclassifying currency translation adjustments accumulated on certain T. Rowe Price investment products with non-USD functional currencies from accumulated other comprehensive income to non-operating income.

During the third quarter of 2018, we sold our 10% holding in Daiwa SB Investments Ltd. The realized gain is recognized in net gains on investments on our unaudited condensed consolidated statement of income and represents the majority of the increase over the prior year periods.

VARIABLE INTEREST ENTITIES.

Our investments at December 31, 2017 and September 30, 2018, include interests in variable interest entities that we do not consolidate as we are not deemed the primary beneficiary. Our maximum risk of loss related to our involvement with these entities is as follows:



(in millions)	12/31/2017		9/30/2018
Investment carrying values	$	129.2	$	136.1
Unfunded capital commitments	38.8		30.6
Uncollected investment advisory and administrative fees	7.7		10.7
	$	175.7	$	177.4

The unfunded capital commitments totaling $38.8 million and $30.6 million at December 31, 2017 and September 30, 2018, respectively, relate primarily to the investment partnerships in which we have an existing investment. In addition to such amounts, a percentage of prior distributions may be called under certain circumstances.