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Investments | 6 Months Ended
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Jun. 30, 2025
Investments, Debt and Equity Securities [Abstract] |
Investments | 10. Investments Fixed Maturity Securities AFS Fixed Maturity Securities AFS by Sector The following table presents fixed maturity securities AFS by sector. U.S. corporate and foreign corporate sectors include redeemable preferred stock. Residential mortgage-backed securities (“RMBS”) includes agency, prime, prime investor, non-qualified residential mortgage, alternative, reperforming and sub-prime mortgage-backed securities. ABS & CLO includes securities collateralized by consumer loans, corporate loans, broadly syndicated bank loans, and other assets. Municipals includes taxable and tax-exempt revenue bonds and, to a much lesser extent, general obligations of states, municipalities and political subdivisions. Commercial mortgage-backed securities (“CMBS”) primarily includes securities collateralized by multiple commercial mortgage loans. RMBS, ABS & CLO and CMBS are, collectively, “Structured Products.”
|  | June 30, 2025 |  | December 31, 2024
|  | Amortized Cost |  |  |  | Gross Unrealized | Estimated Fair Value |  | Amortized Cost |  |  |  | Gross Unrealized | Estimated Fair Value
Sector |  | Allowance for Credit Loss (“ACL”) |  | Gains |  | Losses |  | ACL |  | Gains |  | Losses |
|  | (In millions)
U.S. corporate |  | $ | 88,484 |  |  | $ | (62) |  |  | $ | 1,509 |  |  | $ | 7,398 |  |  | $ | 82,533 |  |  | $ | 86,315 |  |  | $ | (59) |  |  | $ | 1,331 |  |  | $ | 8,213 |  |  | $ | 79,374 |
Foreign corporate |  | 61,640 |  |  | — |  |  | 2,201 |  |  | 4,598 |  |  | 59,243 |  |  | 58,646 |  |  | (18) |  |  | 1,478 |  |  | 6,347 |  |  | 53,759 |
Foreign government |  | 47,874 |  |  | (57) |  |  | 1,216 |  |  | 6,551 |  |  | 42,482 |  |  | 44,377 |  |  | (57) |  |  | 1,256 |  |  | 5,326 |  |  | 40,250 |
RMBS |  | 43,004 |  |  | (2) |  |  | 526 |  |  | 2,453 |  |  | 41,075 |  |  | 37,085 |  |  | (1) |  |  | 314 |  |  | 2,977 |  |  | 34,421 |
U.S. government and agency |  | 38,002 |  |  | — |  |  | 279 |  |  | 5,655 |  |  | 32,626 |  |  | 38,963 |  |  | — |  |  | 179 |  |  | 5,714 |  |  | 33,428 |
ABS & CLO |  | 21,409 |  |  | (5) |  |  | 253 |  |  | 433 |  |  | 21,224 |  |  | 20,973 |  |  | (9) |  |  | 153 |  |  | 526 |  |  | 20,591 |
Municipals |  | 11,314 |  |  | — |  |  | 138 |  |  | 1,515 |  |  | 9,937 |  |  | 11,205 |  |  | — |  |  | 166 |  |  | 1,498 |  |  | 9,873 |
CMBS |  | 10,008 |  |  | (25) |  |  | 107 |  |  | 473 |  |  | 9,617 |  |  | 9,857 |  |  | (16) |  |  | 104 |  |  | 598 |  |  | 9,347 |
Total fixed maturity securities AFS |  | $ | 321,735 |  |  | $ | (151) |  |  | $ | 6,229 |  |  | $ | 29,076 |  |  | $ | 298,737 |  |  | $ | 307,421 |  |  | $ | (160) |  |  | $ | 4,981 |  |  | $ | 31,199 |  |  | $ | 281,043 |
Maturities of Fixed Maturity Securities AFS The amortized cost, net of ACL, and estimated fair value of fixed maturity securities AFS, by contractual maturity date, were as follows at June 30, 2025:
|  | Due in One Year or Less |  | Due After One Year Through Five Years |  | Due After Five Years Through Ten Years |  | Due After Ten Years |  | Structured Products |  | Total Fixed Maturity Securities AFS
|  | (In millions)
Amortized cost, net of ACL |  | $ | 13,174 |  |  | $ | 48,581 |  |  | $ | 53,881 |  |  | $ | 131,559 |  |  | $ | 74,389 |  |  | $ | 321,584 |
Estimated fair value |  | $ | 13,291 |  |  | $ | 49,010 |  |  | $ | 53,426 |  |  | $ | 111,094 |  |  | $ | 71,916 |  |  | $ | 298,737 |
Actual maturities may differ from contractual maturities due to the exercise of call or prepayment options. Fixed maturity securities AFS not due at a single maturity date have been presented in the year of final contractual maturity. Structured Products are shown separately, as they are not due at a single maturity. Continuous Gross Unrealized Losses for Fixed Maturity Securities AFS by Sector The following table presents the estimated fair value and gross unrealized losses of fixed maturity securities AFS in an unrealized loss position without an ACL by sector and aggregated by length of time that the securities have been in a continuous unrealized loss position.
|  | June 30, 2025 |  | December 31, 2024
|  | Less than 12 Months |  | Equal to or Greater than 12 Months |  | Less than 12 Months |  | Equal to or Greater than 12 Months
Sector & Credit Quality |  | Estimated Fair Value |  | Gross Unrealized Losses |  | Estimated Fair Value |  | Gross Unrealized Losses |  | Estimated Fair Value |  | Gross Unrealized Losses |  | Estimated Fair Value |  | Gross Unrealized Losses
|  | (Dollars in millions)
U.S. corporate |  | $ | 14,604 |  |  | $ | 1,408 |  |  | $ | 35,147 |  |  | $ | 5,950 |  |  | $ | 17,222 |  |  | $ | 1,586 |  |  | $ | 35,940 |  |  | $ | 6,599 |
Foreign corporate |  | 6,014 |  |  | 452 |  |  | 23,035 |  |  | 4,146 |  |  | 10,516 |  |  | 709 |  |  | 24,454 |  |  | 5,625 |
Foreign government |  | 6,698 |  |  | 601 |  |  | 16,231 |  |  | 5,948 |  |  | 6,462 |  |  | 581 |  |  | 16,338 |  |  | 4,740 |
RMBS |  | 8,042 |  |  | 266 |  |  | 12,844 |  |  | 2,187 |  |  | 10,152 |  |  | 358 |  |  | 13,922 |  |  | 2,619 |
U.S. government and agency |  | 5,811 |  |  | 591 |  |  | 13,618 |  |  | 5,064 |  |  | 9,337 |  |  | 687 |  |  | 14,082 |  |  | 5,027 |
ABS & CLO |  | 4,175 |  |  | 93 |  |  | 4,142 |  |  | 337 |  |  | 2,840 |  |  | 88 |  |  | 5,831 |  |  | 436 |
Municipals |  | 2,244 |  |  | 259 |  |  | 4,493 |  |  | 1,256 |  |  | 2,012 |  |  | 226 |  |  | 4,621 |  |  | 1,272 |
CMBS |  | 1,053 |  |  | 46 |  |  | 4,202 |  |  | 418 |  |  | 1,272 |  |  | 39 |  |  | 4,788 |  |  | 559 |
Total fixed maturity securities AFS |  | $ | 48,641 |  |  | $ | 3,716 |  |  | $ | 113,712 |  |  | $ | 25,306 |  |  | $ | 59,813 |  |  | $ | 4,274 |  |  | $ | 119,976 |  |  | $ | 26,877 |
Investment grade |  | $ | 46,418 |  |  | $ | 3,612 |  |  | $ | 110,383 |  |  | $ | 24,850 |  |  | $ | 56,946 |  |  | $ | 4,132 |  |  | $ | 116,072 |  |  | $ | 26,325 |
Below investment grade |  | 2,223 |  |  | 104 |  |  | 3,329 |  |  | 456 |  |  | 2,867 |  |  | 142 |  |  | 3,904 |  |  | 552 |
Total fixed maturity securities AFS |  | $ | 48,641 |  |  | $ | 3,716 |  |  | $ | 113,712 |  |  | $ | 25,306 |  |  | $ | 59,813 |  |  | $ | 4,274 |  |  | $ | 119,976 |  |  | $ | 26,877 |
Total number of securities in an unrealized loss position |  | 6,118 |  |  |  |  | 9,686 |  |  |  |  | 7,220 |  |  |  |  | 10,468 |  |  |
Evaluation of Fixed Maturity Securities AFS for Credit Loss Evaluation and Measurement Methodologies See Note 11 of the Notes to the Consolidated Financial Statements included in the 2024 Annual Report for a description of the Company’s Evaluation and Measurement Methodologies of Fixed Maturity Securities AFS for Credit Loss. Evaluation of Fixed Maturity Securities AFS in an Unrealized Loss Position Gross unrealized losses on securities without an ACL decreased $2.1 billion for the six months ended June 30, 2025 to $29.0 billion primarily due to a decrease in interest rates. As shown in the table above, most of the gross unrealized losses on securities without an ACL that have been in a continuous gross unrealized loss position for 12 months or greater at June 30, 2025, relate to investment grade securities. These unrealized losses are principally due to widening credit spreads since purchase and, with respect to fixed-rate securities, rising interest rates since purchase. As of June 30, 2025, $456 million of gross unrealized losses on securities without an ACL that have been in a continuous gross unrealized loss position for 12 months or greater on below investment grade securities were concentrated in foreign government securities and the consumer, transportation, and communications sectors within U.S. and foreign corporate securities. These unrealized losses are the result of significantly wider credit spreads resulting from higher risk premiums since purchase, largely due to economic and market uncertainty and, with respect to fixed-rate securities, rising interest rates since purchase. At June 30, 2025, the Company did not intend to sell its securities in an unrealized loss position without an ACL, and it was not more likely than not that the Company would be required to sell these securities before the anticipated recovery of the remaining amortized cost. Therefore, the Company concluded that these securities had not incurred a credit loss and should not have an ACL at June 30, 2025. Future provisions for credit loss will depend primarily on economic fundamentals, issuer performance (including changes in the present value of future cash flows expected to be collected), changes in credit ratings and collateral valuation. Rollforward of ACL for Fixed Maturity Securities AFS By Sector The rollforward of ACL for fixed maturity securities AFS by sector was as follows:
| U.S. Corporate |  | Foreign Corporate |  | Foreign Government |  |  |  | RMBS |  | ABS & CLO |  | CMBS |  | Total
| (In millions)
Three Months Ended June 30, 2025 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Balance, at beginning of period | $ | 40 |  |  | $ | 6 |  |  | $ | 57 |  |  |  |  | $ | 2 |  |  | $ | 7 |  |  | $ | 25 |  |  | $ | 137 |
ACL not previously recorded | 16 |  |  | — |  |  | — |  |  |  |  | — |  |  | — |  |  | — |  |  | 16 |
Changes for securities with previously recorded ACL | 6 |  |  | (2) |  |  | — |  |  |  |  | — |  |  | (2) |  |  | — |  |  | 2 |
Securities sold or exchanged | — |  |  | (4) |  |  | — |  |  |  |  | — |  |  | — |  |  | — |  |  | (4) |
Balance, at end of period | $ | 62 |  |  | $ | — |  |  | $ | 57 |  |  |  |  | $ | 2 |  |  | $ | 5 |  |  | $ | 25 |  |  | $ | 151 |
Three Months Ended June 30, 2024 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Balance, at beginning of period | $ | 15 |  |  | $ | 2 |  |  | $ | 66 |  |  |  |  | $ | 1 |  |  | $ | 9 |  |  | $ | 20 |  |  | $ | 113 |
ACL not previously recorded | 14 |  |  | — |  |  | — |  |  |  |  | — |  |  | — |  |  | — |  |  | 14 |
Changes for securities with previously recorded ACL | 11 |  |  | — |  |  | (1) |  |  |  |  | — |  |  | — |  |  | — |  |  | 10 |
Securities sold or exchanged | (3) |  |  | — |  |  | (7) |  |  |  |  | — |  |  | — |  |  | (6) |  |  | (16) |
Balance, at end of period | $ | 37 |  |  | $ | 2 |  |  | $ | 58 |  |  |  |  | $ | 1 |  |  | $ | 9 |  |  | $ | 14 |  |  | $ | 121 |
| U.S. Corporate |  | Foreign Corporate |  | Foreign Government |  |  |  | RMBS |  | ABS & CLO |  | CMBS |  | Total
| (In millions)
Six Months Ended June 30, 2025 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Balance, at beginning of period | $ | 59 |  |  | $ | 18 |  |  | $ | 57 |  |  |  |  | $ | 1 |  |  | $ | 9 |  |  | $ | 16 |  |  | $ | 160 |
ACL not previously recorded | 16 |  |  | — |  |  | — |  |  |  |  | 1 |  |  | — |  |  | 7 |  |  | 24 |
Changes for securities with previously recorded ACL | 13 |  |  | (2) |  |  | — |  |  |  |  | — |  |  | (1) |  |  | 2 |  |  | 12 |
Securities sold or exchanged | (26) |  |  | (16) |  |  | — |  |  |  |  | — |  |  | (3) |  |  | — |  |  | (45) |
Balance, at end of period | $ | 62 |  |  | $ | — |  |  | $ | 57 |  |  |  |  | $ | 2 |  |  | $ | 5 |  |  | $ | 25 |  |  | $ | 151 |
Six Months Ended June 30, 2024 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Balance, at beginning of period | $ | 68 |  |  | $ | 2 |  |  | $ | 88 |  |  |  |  | $ | 1 |  |  | $ | 7 |  |  | $ | 18 |  |  | $ | 184 |
ACL not previously recorded | 14 |  |  | — |  |  | — |  |  |  |  | — |  |  | — |  |  | — |  |  | 14 |
Changes for securities with previously recorded ACL | 11 |  |  | — |  |  | (5) |  |  |  |  | — |  |  | 2 |  |  | 2 |  |  | 10 |
Securities sold or exchanged | (56) |  |  | — |  |  | (25) |  |  |  |  | — |  |  | — |  |  | (6) |  |  | (87) |
Balance, at end of period | $ | 37 |  |  | $ | 2 |  |  | $ | 58 |  |  |  |  | $ | 1 |  |  | $ | 9 |  |  | $ | 14 |  |  | $ | 121 |
Equity Securities The following table presents equity securities by security type:
|  | June 30, 2025 |  | December 31, 2024
|  | Cost |  | Net Unrealized Gains (Losses) (1) |  | Estimated Fair Value |  | Cost |  | Net Unrealized Gains (Losses) (1) |  | Estimated Fair Value
Security Type |  |  |  |  |
|  | (In millions)
Common stock (2) |  | $ | 411 |  |  | $ | 250 |  |  | $ | 661 |  |  | $ | 451 |  |  | $ | 167 |  |  | $ | 618 |
Non-redeemable preferred stock |  | 130 |  |  | (1) |  |  | 129 |  |  | 93 |  |  | 1 |  |  | 94 |
Total |  | $ | 541 |  |  | $ | 249 |  |  | $ | 790 |  |  | $ | 544 |  |  | $ | 168 |  |  | $ | 712 |
________________ (1) Represents cumulative changes in estimated fair value, recognized in earnings. (2) Includes common stock, exchange-traded funds, certain mutual funds and certain real estate investment trusts. Contractholder-Directed Equity Securities and FVO Securities The following table presents these investments by asset type. Unit-linked investments are primarily equity securities (including mutual funds). FVO securities include fixed maturity and equity securities to support asset and liability management strategies for certain insurance products and investments in certain separate accounts.
|  | June 30, 2025 |  | December 31, 2024
|  | Cost or Amortized Cost |  | Net Unrealized Gains (Losses) (1) |  | Estimated Fair Value |  | Cost or Amortized Cost |  | Net Unrealized Gains (Losses) (1) |  | Estimated Fair Value
Asset Type |  |  |  |  |
|  | (In millions)
Unit-linked investments |  | $ | 8,031 |  |  | $ | 1,935 |  |  | $ | 9,966 |  |  | $ | 7,398 |  |  | $ | 1,699 |  |  | $ | 9,097 |
FVO securities |  | 968 |  |  | 760 |  |  | 1,728 |  |  | 886 |  |  | 689 |  |  | 1,575 |
Total |  | $ | 8,999 |  |  | $ | 2,695 |  |  | $ | 11,694 |  |  | $ | 8,284 |  |  | $ | 2,388 |  |  | $ | 10,672 |
________________ (1)Represents cumulative changes in estimated fair value, recognized in earnings. Mortgage Loans Mortgage Loans by Portfolio Segment Mortgage loans are summarized as follows at:
|  | June 30, 2025 |  | December 31, 2024
Portfolio Segment |  | Carrying Value (1) |  | % of Total |  | Carrying Value (1) |  | % of Total
|  | (Dollars in millions)
Commercial |  | $ | 53,455 |  |  | 61.5 | % |  | $ | 56,310 |  |  | 63.3 | %
Agricultural |  | 19,323 |  |  | 22.3 |  |  | 19,313 |  |  | 21.7 |
Residential |  | 15,286 |  |  | 17.6 |  |  | 14,189 |  |  | 15.9 |
Total amortized cost |  | 88,064 |  |  | 101.4 |  |  | 89,812 |  |  | 100.9 |
ACL |  | (1,196) |  |  | (1.4) |  |  | (800) |  |  | (0.9) |
Total mortgage loans |  | $ | 86,868 |  |  | 100.0 | % |  | $ | 89,012 |  |  | 100.0 | %
__________________ (1)Includes certain mortgage loans originated for third parties of $7.0 billion at amortized cost ($6.7 billion commercial and $330 million agricultural) and the related ACL of $91 million, with the corresponding mortgage loan secured financing liability of $7.0 billion included in other liabilities on the consolidated balance sheet at June 30, 2025. The consolidated balance sheet at December 31, 2024 includes certain mortgage loans originated for third parties of $7.5 billion at amortized cost ($7.2 billion commercial and $283 million agricultural) and the related ACL of $77 million, with the corresponding mortgage loan secured financing liability of $7.5 billion included in other liabilities. The investment income on the mortgage loans originated for third parties and the interest expense on the mortgage loan secured financing liability was $77 million and $158 million for the three months and six months ended June 30, 2025, respectively, and recorded in investment income and investment expenses, within net investment income. The amount of net (discounts) premiums and deferred (fees) expenses, included within total amortized cost, primarily attributable to residential mortgage loans was ($821) million and ($879) million at June 30, 2025 and December 31, 2024, respectively. The accrued interest income for commercial, agricultural and residential mortgage loans at June 30, 2025 was $235 million, $189 million and $126 million, respectively. The accrued interest income for commercial, agricultural and residential mortgage loans at December 31, 2024 was $249 million, $199 million and $117 million, respectively. The accrued interest income related to mortgage loans is included in accrued investment income on the interim condensed consolidated balance sheets. Purchases of mortgage loans, consisting primarily of residential mortgage loans, were $797 million and $1.7 billion for the three months and six months ended June 30, 2025, respectively, and $263 million and $747 million for the three months and six months ended June 30, 2024, respectively. For both the three months and six months ended June 30, 2025, the Company exchanged, as part of loan restructurings, commercial mortgage loans with an amortized cost of $172 million for equity interests in REJVs. For both the three months and six months ended June 30, 2024, the Company contributed commercial mortgage loans with an amortized cost of $218 million to REJVs which subsequently completed foreclosure on those mortgage loans. Rollforward of ACL for Mortgage Loans by Portfolio Segment The rollforward of ACL for mortgage loans, by portfolio segment, was as follows:
| Six Months Ended June 30,
| 2025 |  | 2024
| Commercial |  | Agricultural |  | Residential |  | Total |  | Commercial |  | Agricultural |  | Residential |  | Total
| (In millions)
Balance, beginning of period | $ | 537 |  |  | $ | 84 |  |  | $ | 179 |  |  | $ | 800 |  |  | $ | 367 |  |  | $ | 172 |  |  | $ | 182 |  |  | $ | 721 |
Provision (release) | 410 |  |  | 10 |  |  | 27 |  |  | 447 |  |  | 155 |  |  | 6 |  |  | (41) |  |  | 120 |
Charge-offs, net of recoveries | (51) |  |  | — |  |  | — |  |  | (51) |  |  | (28) |  |  | (7) |  |  | — |  |  | (35) |
Balance, end of period | $ | 896 |  |  | $ | 94 |  |  | $ | 206 |  |  | $ | 1,196 |  |  | $ | 494 |  |  | $ | 171 |  |  | $ | 141 |  |  | $ | 806 |
The gross charge-offs of mortgage loans by origination year and portfolio segment for the six months ended June 30, 2025 was as follows:
|  | 2025 |  | 2024 |  | 2023 |  | 2022 |  | 2021 |  | Prior |  | Total
|  | (In millions)
Commercial |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 51 |  |  | $ | 51 |
ACL Methodology The Company records an allowance for expected lifetime credit loss in earnings within net investment gains (losses) in an amount that represents the portion of the amortized cost basis of mortgage loans that the Company does not expect to collect, resulting in mortgage loans being presented at the net amount expected to be collected. In determining the Company’s ACL, management applies significant judgment to estimate expected lifetime credit loss, including: (i) pooling mortgage loans that share similar risk characteristics, (ii) considering expected lifetime credit loss over the contractual term of its mortgage loans adjusted for expected prepayments and any extensions, and (iii) considering past events and current and forecasted economic conditions. Each of the Company’s commercial, agricultural and residential mortgage loan portfolio segments are evaluated separately. The ACL is calculated for each mortgage loan portfolio segment based on inputs unique to each loan portfolio segment. On a quarterly basis, mortgage loans within a portfolio segment that share similar risk characteristics, such as internal risk ratings or consumer credit scores, are pooled for calculation of ACL. On an ongoing basis, mortgage loans with dissimilar risk characteristics (i.e., loans with significant declines in credit quality), such as collateral dependent mortgage loans (i.e., when the borrower is experiencing financial difficulty, including when foreclosure is reasonably possible or probable), are evaluated individually for credit loss. The ACL for loans evaluated individually are established using the same methodologies for all three portfolio segments. For example, the ACL for a collateral dependent loan is established as the excess of amortized cost over the estimated fair value of the loan’s underlying collateral, less selling cost. Accordingly, the change in the estimated fair value of collateral dependent loans, which are evaluated individually for credit loss, is recorded as a change in the ACL which is recorded on a quarterly basis as a charge or credit to earnings in net investment gains (losses). Commercial and Agricultural Mortgage Loan Portfolio Segments Within each loan portfolio segment, commercial and agricultural loans are pooled by internal risk rating. Estimated lifetime loss rates, which vary by internal risk rating, are applied to the amortized cost of each loan, excluding accrued investment income, on a quarterly basis to develop the ACL. Internal risk ratings are based on an assessment of the loan’s credit quality, which can change over time. The estimated lifetime loss rates are based on several loan portfolio segment-specific factors, including (i) the Company’s experience with defaults and loss severity, (ii) expected default and loss severity over the forecast period, (iii) current and forecasted economic conditions including growth, inflation, interest rates and unemployment levels, (iv) loan specific characteristics including loan-to-value (“LTV”) ratios, and (v) internal risk ratings. These evaluations are revised as conditions change and new information becomes available. The Company uses its several decades of historical default and loss severity experience which capture multiple economic cycles. The Company uses a forecast of economic assumptions for a two-year period for most of its commercial and agricultural mortgage loans, while a one-year period is used for such loans originated in certain markets. After the applicable forecast period, the Company reverts to its historical loss experience using a straight-line basis over two years. For evaluations of commercial mortgage loans, in addition to historical experience, management considers factors that include the impact of a rapid change to the economy, which may not be reflected in the loan portfolio, recent loss and recovery trend experience as compared to historical loss and recovery experience, and loan specific characteristics including debt service coverage ratios (“DSCR”). In estimating expected lifetime credit loss over the term of its commercial mortgage loans, the Company adjusts for expected prepayment and extension experience during the forecast period using historical prepayment and extension experience considering the expected position in the economic cycle and the loan profile (i.e., floating rate, shorter-term fixed rate and longer-term fixed rate) and after the forecast period using long-term historical prepayment experience. For evaluations of agricultural mortgage loans, in addition to historical experience, management considers factors that include increased stress in certain sectors, which may be evidenced by higher delinquency rates, or a change in the number of higher risk loans. In estimating expected lifetime credit loss over the term of its agricultural mortgage loans, the Company’s experience is much less sensitive to the position in the economic cycle and by loan profile; accordingly, historical prepayment experience is used, while extension terms are not prevalent with the Company’s agricultural mortgage loans. Commercial mortgage loans are reviewed on an ongoing basis, which review includes, but is not limited to, an analysis of the property financial statements and rent roll, lease rollover analysis, property inspections, market analysis, estimated valuations of the underlying collateral, LTV ratios, DSCR and tenant creditworthiness. The monitoring process focuses on higher risk loans, which include those that are classified as restructured, delinquent or in foreclosure, as well as loans with higher LTV ratios and lower DSCR. Agricultural mortgage loans are reviewed on an ongoing basis, which review includes, but is not limited to, property inspections, market analysis, estimated valuations of the underlying collateral, LTV ratios and borrower creditworthiness, as well as reviews on a geographic and property-type basis. The monitoring process for agricultural mortgage loans also focuses on higher risk loans. For commercial mortgage loans, the primary credit quality indicator is the DSCR, which compares a property’s net operating income to amounts needed to service the principal and interest due under the loan. Generally, the lower the DSCR, the higher the risk of experiencing a credit loss. The Company also reviews the LTV ratio of its commercial mortgage loan portfolio. LTV ratios compare the unpaid principal balance of the loan to the estimated fair value of the underlying collateral. Generally, the higher the LTV ratio, the higher the risk of experiencing a credit loss. The DSCR and the values utilized in calculating the ratio are updated routinely. In addition, the LTV ratio is routinely updated for all but the lowest risk loans as part of the Company’s ongoing review of its commercial mortgage loan portfolio. For agricultural mortgage loans, the Company’s primary credit quality indicator is the LTV ratio. The values utilized in calculating this ratio are developed in connection with the ongoing review of the agricultural mortgage loan portfolio and are routinely updated. After commercial and agricultural mortgage loans are approved, the Company makes commitments to lend and, typically, borrowers draw down on some or all of the commitments. The timing of mortgage loan funding is based on the commitment expiration dates. A liability for credit loss for unfunded commercial and agricultural mortgage loan commitments that is not unconditionally cancellable is recognized in earnings and is reported within net investment gains (losses). The liability is based on estimated lifetime loss rates as described above and the amount of the outstanding commitments, which for lines of credit, considers estimated utilization rates. When the commitment is funded or expires, the liability is adjusted accordingly. Residential Mortgage Loan Portfolio Segment The Company’s residential mortgage loan portfolio is comprised primarily of purchased closed end, amortizing residential mortgage loans, including both performing loans purchased within 12 months of origination and reperforming loans purchased after they have been performing for at least 12 months post-modification. Residential mortgage loans are pooled by loan type (i.e., new origination and reperforming) and pooled by similar risk profiles (including consumer credit score and LTV ratios). Estimated lifetime loss rates, which vary by loan type and risk profile, are applied to the amortized cost of each loan excluding accrued investment income on a quarterly basis to develop the ACL. The estimated lifetime loss rates are based on several factors, including (i) industry historical experience and expected results over the forecast period for defaults, (ii) loss severity, (iii) prepayment rates, (iv) current and forecasted economic conditions including growth, inflation, interest rates and unemployment levels, and (v) loan pool specific characteristics including consumer credit scores, LTV ratios, payment history and home prices. These evaluations are revised as conditions change and new information becomes available. The Company uses industry historical experience which captures multiple economic cycles as the Company has purchased most of its residential mortgage loans in the last five years. The Company uses a forecast of economic assumptions for a two-year period for most of its residential mortgage loans. After the applicable forecast period, the Company reverts to industry historical loss experience using a straight-line basis over one year. For residential mortgage loans, the Company’s primary credit quality indicator is whether the loan is performing or nonperforming. The Company generally defines nonperforming residential mortgage loans as those that are 60 or more days past due and/or in nonaccrual status which is assessed monthly. Generally, nonperforming residential mortgage loans have a higher risk of experiencing a credit loss. Modifications to Borrowers Experiencing Financial Difficulty The Company may modify mortgage loans to borrowers. Each mortgage loan modification is evaluated to determine whether the borrower was experiencing financial difficulties. Disclosed below are those modifications, in materially impacted mortgage segments, where the borrower was determined to be experiencing financial difficulties and the mortgage loans were modified by any of the following means: principal forgiveness, interest rate reduction, other-than-insignificant payment delay or term extension. The amount, timing and extent of modifications granted and subsequent performance are considered in determining any ACL recorded. These mortgage loan modifications are summarized as follows:
| Three Months Ended June 30,
| 2025 |  | 2024
| Maturity Extension |  |  |  |  |  |  |  | Weighted Average Life Increase |  |  |  |  |  | Maturity Extension |  | Weighted Average Life Increase |  |
| Amortized Cost |  |  |  |  |  |  |  | Affected Loans (in Years) |  |  |  | % of Book Value |  | Amortized Cost |  | Affected Loans (in Years) |  | % of Book Value
| (Dollars in millions)
Commercial | $ | 339 |  |  |  |  |  |  |  |  | 5 |  |  |  |  |  | <1% |  | $ | 156 |  |  | Less than one year |  | <1%
| Six Months Ended June 30,
| 2025 |  | 2024
| Maturity Extension |  |  |  |  |  |  |  | Weighted Average Life Increase |  |  |  |  |  | Maturity Extension |  | Weighted Average Life Increase |  |
| Amortized Cost |  |  |  |  |  |  |  | Affected Loans (in Years) |  |  |  | % of Book Value |  | Amortized Cost |  | Affected Loans (in Years) |  | % of Book Value
| (Dollars in millions)
Commercial | $ | 589 |  |  |  |  |  |  |  |  | 5 |  |  |  |  |  | 1.1 | % |  | $ | 236 |  |  | Less than one year |  | <1%
For the three months and six months ended June 30, 2025, all commercial mortgage loans modified within the past 12 months to borrowers experiencing financial difficulties and still outstanding were current. For the three months ended June 30, 2024, commercial mortgage loans with an amortized cost of $182 million which were extended over the past 12 months became foreclosed. For the six months ended June 30, 2024, commercial mortgage loans with an amortized cost of $182 million which were extended over the past 12 months became delinquent and foreclosed. Credit Quality of Mortgage Loans by Portfolio Segment The amortized cost of commercial mortgage loans by credit quality indicator and vintage year was as follows at June 30, 2025:
Credit Quality Indicator |  | 2025 |  | 2024 |  | 2023 |  | 2022 |  | 2021 |  | Prior |  | Revolving Loans |  | Total |  | % of Total
|  | (Dollars in millions)
LTV ratios: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Less than 65% |  | $ | 1,398 |  |  | $ | 3,257 |  |  | $ | 2,301 |  |  | $ | 2,147 |  |  | $ | 3,020 |  |  | $ | 12,231 |  |  | $ | 2,218 |  |  | $ | 26,572 |  |  | 49.7 | %
65% to 75% |  | 130 |  |  | 790 |  |  | 496 |  |  | 2,908 |  |  | 1,837 |  |  | 4,292 |  |  | — |  |  | 10,453 |  |  | 19.6 |
76% to 80% |  | — |  |  | — |  |  | 4 |  |  | 173 |  |  | 175 |  |  | 2,636 |  |  | — |  |  | 2,988 |  |  | 5.6 |
Greater than 80% |  | 187 |  |  | 178 |  |  | 119 |  |  | 1,260 |  |  | 1,289 |  |  | 10,409 |  |  | — |  |  | 13,442 |  |  | 25.1 |
Total |  | $ | 1,715 |  |  | $ | 4,225 |  |  | $ | 2,920 |  |  | $ | 6,488 |  |  | $ | 6,321 |  |  | $ | 29,568 |  |  | $ | 2,218 |  |  | $ | 53,455 |  |  | 100.0 | %
DSCR: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
> 1.20x |  | $ | 1,384 |  |  | $ | 3,457 |  |  | $ | 2,141 |  |  | $ | 5,546 |  |  | $ | 5,029 |  |  | $ | 23,903 |  |  | $ | 2,218 |  |  | $ | 43,678 |  |  | 81.7 | %
1.00x - 1.20x |  | 136 |  |  | 475 |  |  | 493 |  |  | 471 |  |  | 932 |  |  | 3,054 |  |  | — |  |  | 5,561 |  |  | 10.4 |
<1.00x |  | 195 |  |  | 293 |  |  | 286 |  |  | 471 |  |  | 360 |  |  | 2,611 |  |  | — |  |  | 4,216 |  |  | 7.9 |
Total |  | $ | 1,715 |  |  | $ | 4,225 |  |  | $ | 2,920 |  |  | $ | 6,488 |  |  | $ | 6,321 |  |  | $ | 29,568 |  |  | $ | 2,218 |  |  | $ | 53,455 |  |  | 100.0 | %
The amortized cost of agricultural mortgage loans by credit quality indicator and vintage year was as follows at June 30, 2025:
Credit Quality Indicator |  | 2025 |  | 2024 |  | 2023 |  | 2022 |  | 2021 |  | Prior |  | Revolving Loans |  | Total |  | % of Total
|  | (Dollars in millions)
LTV ratios: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Less than 65% |  | $ | 628 |  |  | $ | 769 |  |  | $ | 1,228 |  |  | $ | 2,489 |  |  | $ | 2,428 |  |  | $ | 9,020 |  |  | $ | 1,353 |  |  | $ | 17,915 |  |  | 92.7 | %
65% to 75% |  | 5 |  |  | 8 |  |  | 51 |  |  | 227 |  |  | 316 |  |  | 620 |  |  | 79 |  |  | 1,306 |  |  | 6.8 |
76% to 80% |  | — |  |  | — |  |  | — |  |  | 24 |  |  | — |  |  | 9 |  |  | 4 |  |  | 37 |  |  | 0.2 |
Greater than 80% |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 64 |  |  | 1 |  |  | 65 |  |  | 0.3 |
Total |  | $ | 633 |  |  | $ | 777 |  |  | $ | 1,279 |  |  | $ | 2,740 |  |  | $ | 2,744 |  |  | $ | 9,713 |  |  | $ | 1,437 |  |  | $ | 19,323 |  |  | 100.0 | %
The amortized cost of residential mortgage loans by credit quality indicator and vintage year was as follows at June 30, 2025:
Credit Quality Indicator |  | 2025 |  | 2024 |  | 2023 |  | 2022 |  | 2021 |  | Prior |  | Revolving Loans |  | Total |  | % of Total
|  | (Dollars in millions)
Performance indicators: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Performing |  | $ | 505 |  |  | $ | 2,405 |  |  | $ | 847 |  |  | $ | 2,299 |  |  | $ | 1,749 |  |  | $ | 6,984 |  |  | $ | — |  |  | $ | 14,789 |  |  | 96.7 | %
Nonperforming (1) |  | 2 |  |  | 35 |  |  | 49 |  |  | 98 |  |  | 36 |  |  | 277 |  |  | — |  |  | 497 |  |  | 3.3 |
Total |  | $ | 507 |  |  | $ | 2,440 |  |  | $ | 896 |  |  | $ | 2,397 |  |  | $ | 1,785 |  |  | $ | 7,261 |  |  | $ | — |  |  | $ | 15,286 |  |  | 100.0 | %
__________________ (1)Includes residential mortgage loans in process of foreclosure with an amortized cost of $179 million and $140 million at June 30, 2025 and December 31, 2024, respectively. Past Due and Nonaccrual Mortgage Loans The Company has a high quality, well performing mortgage loan portfolio, with 98% of all mortgage loans classified as performing at both June 30, 2025 and December 31, 2024. The Company defines delinquency consistent with industry practice, when mortgage loans are past due more than two or more months, as applicable, by portfolio segment. The past due and nonaccrual mortgage loans at amortized cost, prior to ACL, by portfolio segment, were as follows:
|  | Past Due |  | Past Due and Still Accruing Interest |  | Nonaccrual
Portfolio Segment |  | June 30, 2025 |  | December 31, 2024 |  | June 30, 2025 |  | December 31, 2024 |  | June 30, 2025 |  | December 31, 2024
|  | (In millions)
Commercial |  | $ | 1,158 |  |  | $ | 773 |  |  | $ | 122 |  |  | $ | — |  |  | $ | 1,743 |  |  | $ | 1,123 |
Agricultural |  | 409 |  |  | 341 |  |  | 326 |  |  | 262 |  |  | 94 |  |  | 89 |
Residential |  | 497 |  |  | 464 |  |  | 21 |  |  | 18 |  |  | 481 |  |  | 446 |
Total |  | $ | 2,064 |  |  | $ | 1,578 |  |  | $ | 469 |  |  | $ | 280 |  |  | $ | 2,318 |  |  | $ | 1,658 |
Real Estate and REJV The Company’s real estate investment portfolio is diversified by property type, geography and income stream, including income from operating leases, operating income and equity in earnings from equity method REJV. Real estate investments, by income type, as well as income earned, were as follows at and for the periods indicated:
|  | June 30, 2025 |  | December 31, 2024 |  | Three Months Ended June 30, |  | Six Months Ended June 30,
|  |  |  | 2025 |  |  | 2024 |  | 2025 |  | 2024
Income Type |  | Carrying Value |  | Income
|  | (In millions)
Wholly-owned real estate: |  |  |  |  |  |  |  |  |  |  |  |  |
Leased real estate |  | $ | 4,679 |  |  | $ | 4,283 |  |  | $ | 89 |  |  |  | $ | 83 |  |  | $ | 178 |  |  | $ | 167 |
Other real estate |  | 677 |  |  | 650 |  |  | 96 |  |  |  | 78 |  |  | 171 |  |  | 125 |
REJV |  | 8,651 |  |  | 8,409 |  |  | 54 |  |  |  | (81) |  |  | 97 |  |  | (202) |
Total real estate and REJV |  | $ | 14,007 |  |  | $ | 13,342 |  |  | $ | 239 |  |  |  | $ | 80 |  |  | $ | 446 |  |  | $ | 90 |
Depreciation expense on real estate investments was $28 million and $57 million for the three months and six months ended June 30, 2025, respectively, and $29 million and $59 million for the three months and six months ended June 30, 2024, respectively. Real estate investments were net of accumulated depreciation of $1.1 billion and $1.0 billion at June 30, 2025 and December 31, 2024, respectively. Leased Real Estate Investments - Operating Leases The Company, as lessor, leases investment real estate, principally commercial real estate for office and retail use, through a variety of operating lease arrangements, which typically include tenant reimbursement for property operating costs and options to renew or extend the lease. In some circumstances, leases may include an option for the lessee to purchase the property. In addition, certain leases of retail space may stipulate that a portion of the income earned is contingent upon the level of the tenants’ revenues. The Company has elected a practical expedient of not separating non- lease components related to reimbursement of property operating costs from associated lease components. These property operating costs have the same timing and pattern of transfer as the related lease component, because they are incurred over the same period of time as the operating lease. Therefore, the combined component is accounted for as a single operating lease. Risk is managed through lessee credit analysis, property type diversification and geographic diversification. See Note 11 of the Notes to the Consolidated Financial Statements included in the 2024 Annual Report for a summary of leased real estate investments and income earned, by property type. Other Invested Assets Tax Equity Investments The Company invests in certain tax equity investments, including low income housing tax credit partnerships and renewable energy partnerships. The carrying value of tax equity investments, reported in other invested assets on the interim condensed consolidated balance sheets, was $661 million and $714 million at June 30, 2025 and December 31, 2024, respectively. For the three months and six months ended June 30, 2025, income tax credits and other income tax benefits of $31 million and $59 million, respectively, and amortized expenses of $34 million and $57 million, respectively, were recognized net as a component of income tax expense on the Company’s interim condensed consolidated statement of operations. For the three months and six months ended June 30, 2024, income tax credits and other income tax benefits of $38 million and $75 million, respectively, and amortized expenses of $34 million and $67 million, respectively, were recognized net as a component of income tax expense on the Company’s interim condensed consolidated statement of operations. Cash Equivalents Cash equivalents, which includes securities and other investments with an original or remaining maturity of three months or less at the time of purchase, was $11.8 billion and $11.9 billion, at estimated fair value, at June 30, 2025 and December 31, 2024, respectively. Concentrations of Credit Risk Investments in any counterparty that were greate r than 10% of the Company’s equity, other than the U.S. government and its agencies, at estimated fair value, were in fixed income securities of the following foreign governments and their agencies:
|  | June 30, 2025 |  | December 31, 2024
|  | (In millions)
Japan |  | $ | 18,695 |  |  | $ | 18,886 |
South Korea |  | $ | 6,754 |  |  | $ | 6,078 |
Mexico |  | $ | 4,024 |  |  | $ | 3,468 |
Securities Lending Transactions and Repurchase Agreements Securities, Collateral and Reinvestment Portfolio A summary of these transactions and agreements accounted for as secured borrowings were as follows:
|  |  | June 30, 2025 |  |  |  | December 31, 2024
|  |  | Securities (1) |  |  |  |  |  |  |  | Securities (1) |  |  |  |
Agreement Type |  |  | Estimated Fair Value |  | Cash Collateral Received from Counterparties (2) |  | Reinvestment Portfolio at Estimated Fair Value |  |  |  | Estimated Fair Value |  | Cash Collateral Received from Counterparties (2) |  | Reinvestment Portfolio at Estimated Fair Value
|  | (In millions)
Securities lending |  |  | $ | 12,257 |  |  | $ | 12,520 |  |  | $ | 12,485 |  |  |  |  | $ | 11,119 |  |  | $ | 11,404 |  |  | $ | 11,202 |
Repurchase agreements |  |  | $ | 2,995 |  |  | $ | 2,925 |  |  | $ | 2,909 |  |  |  |  | $ | 3,019 |  |  | $ | 2,975 |  |  | $ | 2,925 |
__________________ (1)These securities were included within fix ed maturity securities AFS, short-term investments and cash equivalents at June 30, 2025 and within fixed maturity securities AFS at December 31, 2024. (2)The liability for cash collateral is included within payables for collateral under securities loaned and other transactions. Contractual Maturities Contractual maturities of these transactions and agreements accounted for as secured borrowings were as follows:
|  | June 30, 2025 |  |  |  | December 31, 2024 |  |
|  | Remaining Maturities |  |  |  |  |  | Remaining Maturities |  |  |  |
Cash collateral liability by security type: |  | Open (1) |  | 1 Month or Less |  | Over 1 Month to 6 Months |  | Over 6 Months to 1 Year |  | Total |  |  |  | Open (1) |  | 1 Month or Less |  | Over 1 Month to 6 Months |  | Over 6 Months to 1 Year |  | Total |  |
|  | (In millions)
Securities lending: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
U.S. government and agency |  | $ | 2,823 |  |  | $ | 3,485 |  |  | $ | 4,796 |  |  | $ | — |  |  | $ | 11,104 |  |  |  |  | $ | 2,987 |  |  | $ | 4,986 |  |  | $ | 2,089 |  |  | $ | — |  |  | $ | 10,062 |  |  |
Foreign government |  | — |  |  | 798 |  |  | 458 |  |  | — |  |  | 1,256 |  |  |  |  | — |  |  | 677 |  |  | 493 |  |  | — |  |  | 1,170 |  |  |
Agency RMBS |  | — |  |  | 99 |  |  | 61 |  |  | — |  |  | 160 |  |  |  |  | — |  |  | 108 |  |  | 64 |  |  | — |  |  | 172 |  |  |
Total |  | $ | 2,823 |  |  | $ | 4,382 |  |  | $ | 5,315 |  |  | $ | — |  |  | $ | 12,520 |  |  |  |  | $ | 2,987 |  |  | $ | 5,771 |  |  | $ | 2,646 |  |  | $ | — |  |  | $ | 11,404 |  |  |
Repurchase agreements: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
U.S. government and agency |  | $ | — |  |  | $ | 2,925 |  |  | $ | — |  |  | $ | — |  |  | $ | 2,925 |  |  |  |  | $ | — |  |  | $ | 2,975 |  |  | $ | — |  |  | $ | — |  |  | $ | 2,975 |  |  |
__________________ (1)The related security could be returned to the Company on the next business day, which would require the Company to immediately return the cash collateral. If the Company is required to return significant amounts of cash collateral on short notice and is forced to sell investments to meet the return obligation, it may have difficulty selling such collateral that is invested in a timely manner, be forced to sell investments in a volatile or illiquid market for less than what otherwise would have been realized under normal market conditions, or both. The securities lending and repurchase agreement reinvestment portfolios consist principally of high quality, liquid, publicly traded fixed maturity securities AFS, short-term investments, cash equivalents or cash. If the securities in the reinvestment portfolio become less liquid, liquidity resources within the general account are available to meet any potential cash demands when securities are put back by the counterparty. Invested Assets on Deposit, Held in Trust and Pledged as Collateral Invested assets on deposit, held in trust and pledged as collateral are presented below at estimated fair value for all asset classes, except mortgage loans, which are presented at carrying value, and were as follows at:
|  | June 30, 2025 |  | December 31, 2024
|  | (In millions)
Invested assets on deposit (regulatory deposits) |  | $ | 1,568 |  |  | $ | 1,515 |
Invested assets held in trust (external reinsurance agreements) (1) |  | 1,344 |  |  | 1,255 |
Invested assets pledged as collateral (2) |  | 29,965 |  |  | 27,125 |
Total invested assets on deposit, held in trust and pledged as collateral |  | $ | 32,877 |  |  | $ | 29,895 |
__________________ (1)Represents assets held in trust related to third-party reinsurance agreements. Excludes assets held in trust related to reinsurance agreements between wholly-owned subsidiaries of $2.5 billion and $1.9 billion at June 30, 2025 and December 31, 2024, respectively. (2)The Company has pledged invested assets in connection with various agreements and transactions, including funding agreements, repurchase agreements and a collateral financing arrangement (see Notes 5, 16 and 17 of the Notes to the Consolidated Financial Statements included in the 2024 Annual Report). For information regarding invested assets pledged in connection with derivative transactions, see Note 11. See “— Securities Lending Transactions and Repurchase Agreements” for information regarding securities supporting securities lending transactions and repurchase agreements, and Note 9 f or information regarding investments designated to the closed block. In addition, the Company’s investment in Federal Home Loan Bank of New York common stock, included within other invested assets, which is considered restricted until redeemed by the issuer, was $700 million and $699 million at redemption value at June 30, 2025 and December 31, 2024, respectively. Variable Interest Entities The Company has invested in legal entities that are VIEs. In certain instances, the Company holds both the power to direct the most significant activities of the entity, as well as an economic interest in the entity and, as such, is deemed to be the primary beneficiary or consolidator of the entity. The determination of the VIE’s primary beneficiary requires an evaluation of the contractual and implied rights and obligations associated with each party’s relationship with or involvement in the entity. Consolidated VIEs Creditors or beneficial interest holders of VIEs where the Company is the primary beneficiary have no recourse to the general credit of the Company, as the Company’s obligation to the VIEs is limited to the amount of its committed investment. The following table presents the total assets and total liabilities relating to investment-related VIEs for which the Company has concluded that it is the primary beneficiary and which are consolidated at:
|  | June 30, 2025 |  | December 31, 2024
Asset Type |  | Total Assets |  | Total Liabilities |  | Total Assets |  | Total Liabilities
|  | (In millions)
Investment funds (primarily other invested assets) |  | $ | 731 |  |  | $ | 165 |  |  | $ | 635 |  |  | $ | 143 |
Renewable energy partnership (primarily other invested assets) |  | 54 |  |  | — |  |  | 57 |  |  | — |
Total |  | $ | 785 |  |  | $ | 165 |  |  | $ | 692 |  |  | $ | 143 |
Unconsolidated VIEs The carrying amount and maximum exposure to loss relating to VIEs in which the Company holds a significant variable interest but is not the primary beneficiary and which have not been consolidated were as follows at:
|  | June 30, 2025 |  | December 31, 2024
Asset Type |  | Carrying Amount |  | Maximum Exposure to Loss (1) |  | Carrying Amount |  | Maximum Exposure to Loss (1)
|  | (In millions)
Fixed maturity securities AFS (2) |  | $ | 67,298 |  |  | $ | 67,298 |  |  | $ | 60,386 |  |  | $ | 60,386 |
OLPI |  | 13,413 |  |  | 17,947 |  |  | 13,529 |  |  | 17,991 |
Other invested assets |  | 1,066 |  |  | 1,210 |  |  | 1,085 |  |  | 1,242 |
Other investments (REJV, FVO securities and mortgage loans) |  | 2,189 |  |  | 2,254 |  |  | 1,660 |  |  | 1,701 |
Total |  | $ | 83,966 |  |  | $ | 88,709 |  |  | $ | 76,660 |  |  | $ | 81,320 |
__________________ (1)The maximum exposure to loss relating to fixed maturity securities AFS and FVO securities is equal to their carrying amounts or the carrying amounts of retained interests. The maximum exposure to loss relating to OLPI, REJV and mortgage loans is equal to the carrying amounts plus any unrecognized unfunded commitments. For certain of its investments in other invested assets, the Company’s return is in the form of income tax credits which are guaranteed by creditworthy third parties. For such investments, the maximum exposure to loss is equal to the carrying amounts plus any unfunded commitments, reduced by income tax credits guaranteed by third parties. Such a maximum loss would be expected to occur only upon bankruptcy of the issuer or investee. (2)For variable interests in Structured Products included within fixed maturity securities AFS, the Company’s involvement is limited to that of a passive investor in mortgage-backed or asset-backed securities generally issued by trusts that do not have substantial equity. Collateral securing the reinsurance transaction with subsidiaries of Global Atlantic Financial Group was transferred to trusts that do not have substantial equity. The Company does not have a carrying amount related to the trusts but does manage a portion of the invested assets. For managing these assets, the Company receives an investment management fee which represents a variable interest. The Company’s maximum exposure to loss is limited to the investment management fee revenue that has been earned but not yet received. See Note 9 of the Notes to the Consolidated Financial Statements included in the 2024 Annual Report for further information on this reinsurance transaction. As described in Note 20, the Company makes commitments to fund partnership investments in the normal course of business. Excluding these commitments, the Company did not provide financial or other support to investees designated as VIEs for either the six months ended June 30, 2025 or 2024. Net Investment Income The composition of net investment income by asset type was as follows:
|  | Three Months Ended June 30, |  | Six Months Ended June 30,
Asset Type |  | 2025 |  | 2024 |  | 2025 |  | 2024
|  | (In millions)
Fixed maturity securities AFS |  | $ | 3,608 |  |  | $ | 3,355 |  |  | $ | 7,075 |  |  | $ | 6,643 |
Equity securities |  | 3 |  |  | 7 |  |  | 12 |  |  | 14 |
FVO securities |  | 107 |  |  | 22 |  |  | 87 |  |  | 107 |
Mortgage loans |  | 1,104 |  |  | 1,187 |  |  | 2,243 |  |  | 2,381 |
Policy loans |  | 113 |  |  | 110 |  |  | 220 |  |  | 223 |
Real estate and REJV |  | 239 |  |  | 80 |  |  | 446 |  |  | 90 |
OLPI |  | 124 |  |  | 325 |  |  | 344 |  |  | 626 |
Cash, cash equivalents and short-term investments |  | 254 |  |  | 250 |  |  | 504 |  |  | 541 |
Operating joint ventures |  | 38 |  |  | 22 |  |  | 58 |  |  | 44 |
Other |  | 100 |  |  | 192 |  |  | 339 |  |  | 343 |
Subtotal investment income |  | 5,690 |  |  | 5,550 |  |  | 11,328 |  |  | 11,012 |
Less: Investment expenses |  | 527 |  |  | 564 |  |  | 1,053 |  |  | 1,132 |
Subtotal, net |  | 5,163 |  |  | 4,986 |  |  | 10,275 |  |  | 9,880 |
Unit-linked investments |  | 498 |  |  | 219 |  |  | 271 |  |  | 761 |
Net investment income |  | $ | 5,661 |  |  | $ | 5,205 |  |  | $ | 10,546 |  |  | $ | 10,641 |
Net Investment Income Information |  |  |  |  |  |  |  |
Net realized and unrealized gains (losses) recognized in net investment income: |  |  |  |  |  |  |  |
Net realized gains (losses) from sales and disposals (primarily FVO securities and Unit-linked investments) |  | $ | 102 |  |  | $ | 66 |  |  | $ | 145 |  |  | $ | 134 |
Net unrealized gains (losses) from changes in estimated fair value (primarily FVO securities and Unit-linked investments) |  | 452 |  |  | 139 |  |  | 163 |  |  | 719 |
Net realized and unrealized gains (losses) recognized in net investment income |  | $ | 554 |  |  | $ | 205 |  |  | $ | 308 |  |  | $ | 853 |
Changes in estimated fair value subsequent to purchase of FVO securities and Unit-linked investments still held at the end of the respective periods and recognized in net investment income |  | $ | 532 |  |  | $ | 151 |  |  | $ | 248 |  |  | $ | 663 |
Equity method investments net investment income (primarily REJV, OLPI, tax credit and renewable energy partnerships and operating joint ventures) |  | $ | 238 |  |  | $ | 276 |  |  | $ | 505 |  |  | $ | 486 |
Net Investment Gains (Losses) Net Investment Gains (Losses) by Asset Type and Transaction Type The composition of net investment gains (losses) by asset type and transaction type was as follows:
|  | Three Months Ended June 30, |  | Six Months Ended June 30, |  |
Asset Type |  | 2025 |  | 2024 |  | 2025 |  | 2024 |  |
|  | (In millions) |  |
Fixed maturity securities AFS |  | $ | (124) |  |  | $ | (246) |  |  | $ | (368) |  |  | $ | (331) |  |  |
Equity securities |  | 45 |  |  | (19) |  |  | 33 |  |  | 9 |  |  |
Mortgage loans |  | (269) |  |  | (9) |  |  | (461) |  |  | (95) |  |  |
Real estate and REJV (excluding changes in estimated fair value) |  | 3 |  |  | 12 |  |  | 3 |  |  | 47 |  |  |
OLPI (excluding changes in estimated fair value) (1) |  | 21 |  |  | (9) |  |  | 20 |  |  | (59) |  |  |
Other gains (losses) |  | (33) |  |  | 23 |  |  | (38) |  |  | 29 |  |  |
Subtotal |  | (357) |  |  | (248) |  |  | (811) |  |  | (400) |  |  |
Change in estimated fair value of OLPI and REJV |  | (3) |  |  | 3 |  |  | — |  |  | 6 |  |  |
Non-investment portfolio gains (losses) |  | 87 |  |  | (176) |  |  | 151 |  |  | (402) |  |  |
Subtotal |  | 84 |  |  | (173) |  |  | 151 |  |  | (396) |  |  |
Net investment gains (losses) |  | $ | (273) |  |  | $ | (421) |  |  | $ | (660) |  |  | $ | (796) |  |  |
Transaction Type |  |  |  |  |  |  |  |  |  |
Realized gains (losses) on investments sold or disposed (1) |  | $ | (145) |  |  | $ | (195) |  |  | $ | (446) |  |  | $ | (330) |  |  |
Impairment (losses) |  | (2) |  |  | — |  |  | (7) |  |  | — |  |  |
Recognized gains (losses): |  |  |  |  |  |  |  |  |  |
Change in ACL recognized in earnings |  | (272) |  |  | (35) |  |  | (431) |  |  | (81) |  |  |
Unrealized net gains (losses) recognized in earnings |  | 59 |  |  | (15) |  |  | 73 |  |  | 17 |  |  |
Total recognized gains (losses) |  | (213) |  |  | (50) |  |  | (358) |  |  | (64) |  |  |
Non-investment portfolio gains (losses) |  | 87 |  |  | (176) |  |  | 151 |  |  | (402) |  |  |
Net investment gains (losses) |  | $ | (273) |  |  | $ | (421) |  |  | $ | (660) |  |  | $ | (796) |  |  |
Net Investment Gains (Losses) Information |  |  |  |  |  |  |  |  |  |
Changes in estimated fair value subsequent to purchase of equity securities still held at the end of the respective periods and recognized in net investment gains (losses) |  | $ | 46 |  |  | $ | (15) |  |  | $ | 38 |  |  | $ | 17 |  |  |
Other gains (losses) include: |  |  |  |  |  |  |  |  |  |
Gains (losses) on disposed investments which were previously in a qualified cash flow hedge relationship |  | $ | 10 |  |  | $ | — |  |  | $ | 9 |  |  | $ | — |  |  |
Foreign currency gains (losses) |  | $ | 70 |  |  | $ | (120) |  |  | $ | 145 |  |  | $ | (165) |  |  |
Net Realized Investment Gains (Losses) From Sales and Disposals of Investments |  |  |  |  |  |  |  |  |  |
Recognized in net investment gains (losses) |  | $ | (145) |  |  | $ | (195) |  |  | $ | (446) |  |  | $ | (330) |  |  |
Recognized in net investment income |  | 102 |  |  | 66 |  |  | 145 |  |  | 134 |  |  |
Net realized investment gains (losses) from sales and disposals of investments |  | $ | (43) |  |  | $ | (129) |  |  | $ | (301) |  |  | $ | (196) |  |  |
__________________ (1)Includes a net loss of $3 million for the three months ended June 30, 2024 for private equity investments sold. For the three months ended June 30, 2024, the Company sold a $57 million portfolio of investments to a fund for proceeds of $54 million in cash and receivables secured by the value of the fund. Includes a net loss of $2 million and $46 million for the six months ended June 30, 2025 and 2024, respectively. For the six months ended June 30, 2025 and 2024, the Company sold $43 million and $798 million, respectively, in portfolios of investments to a fund for proceeds of $41 million and $752 million, respectively, in cash and receivables secured by the value of the fund. The Company has entered into an agreement to serve as the investment manager of the fund for which it receives a management fee. Fixed Maturity Securities AFS and Equity Securities – Composition of Net Investment Gains (Losses) The composition of net investment gains (losses) for these securities was as follows:
|  | Three Months Ended June 30, |  | Six Months Ended June 30,
Fixed Maturity Securities AFS |  | 2025 |  | 2024 |  | 2025 |  | 2024
|  | (In millions)
Proceeds |  | $ | 6,143 |  |  | $ | 8,106 |  |  | $ | 13,384 |  |  | $ | 14,458 |
Gross investment gains |  | $ | 63 |  |  | $ | 121 |  |  | $ | 149 |  |  | $ | 277 |
Gross investment (losses) |  | (171) |  |  | (358) |  |  | (522) |  |  | (670) |
Realized gains (losses) on sales and disposals |  | (108) |  |  | (237) |  |  | (373) |  |  | (393) |
Net credit loss (provision) release (change in ACL recognized in earnings) |  | (14) |  |  | (9) |  |  | 10 |  |  | 62 |
Impairment (losses) |  | (2) |  |  | — |  |  | (5) |  |  | — |
Net credit loss (provision) release and impairment (losses) |  | (16) |  |  | (9) |  |  | 5 |  |  | 62 |
Net investment gains (losses) |  | $ | (124) |  |  | $ | (246) |  |  | $ | (368) |  |  | $ | (331) |
Equity Securities |  |  |  |  |  |  |  |
Realized gains (losses) on sales and disposals |  | $ | (18) |  |  | $ | — |  |  | $ | (40) |  |  | $ | (2) |
Unrealized net gains (losses) recognized in earnings |  | 63 |  |  | (19) |  |  | 73 |  |  | 11 |
Net investment gains (losses) |  | $ | 45 |  |  | $ | (19) |  |  | $ | 33 |  |  | $ | 9 |

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