XML 49 R36.htm IDEA: XBRL DOCUMENT
v3.25.1

Derivatives and Hedge Accounting (Tables) | 3 Months Ended
--- | ---
Mar. 31, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract] |
Schedule of Derivative Instruments | The following table presents the notional amounts of our derivatives and the fair value of derivative assets and liabilities in the Condensed Consolidated Balance Sheets:
| March 31, 2025 |  | December 31, 2024
| Gross Derivative Assets |  | Gross Derivative Liabilities |  | Gross Derivative Assets |  | Gross Derivative Liabilities
(in millions) |  | Notional Amount |  | Fair Value |  |  | Notional Amount |  | Fair Value |  |  | Notional Amount |  | Fair Value |  |  | Notional Amount |  | Fair Value
Derivatives designated as hedging instruments:(a) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Foreign exchange contracts | $ | 788 |  | $ | 46 |  |  | $ | 855 |  | $ | 71 |  |  | $ | 879 |  | $ | 66 |  |  | $ | 906 |  | $ | 109 |
Derivatives not designated as hedging instruments:(a) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Interest rate contracts |  | 874 |  |  | 250 |  |  |  | 948 |  |  | 278 |  |  |  | 841 |  |  | 277 |  |  |  | 913 |  |  | 304 |
Foreign exchange contracts |  | 2,465 |  |  | 163 |  |  |  | 2,047 |  |  | 151 |  |  |  | 3,095 |  |  | 230 |  |  |  | 1,707 |  |  | 158 |
Equity contracts |  | 21 |  |  | 15 |  |  |  | 21 |  |  | 15 |  |  |  | 29 |  |  | 20 |  |  |  | 29 |  |  | 20 |
Credit contracts(b) |  | 52 |  |  | 31 |  |  |  | 147 |  |  | 31 |  |  |  | 52 |  |  | 31 |  |  |  | 147 |  |  | 31 |
Other contracts(c) |  | — |  |  | — |  |  |  | — |  |  | — |  |  |  | — |  |  | — |  |  |  | — |  |  | — |
Total derivatives, gross | $ | 4,200 |  | $ | 505 |  |  | $ | 4,018 |  | $ | 546 |  |  | $ | 4,896 |  | $ | 624 |  |  | $ | 3,702 |  | $ | 622 |
Counterparty netting(d) |  |  |  | (225) |  |  |  |  |  | (225) |  |  |  |  |  | (270) |  |  |  |  |  | (270) |
Cash collateral(e) |  |  |  | (226) |  |  |  |  |  | (240) |  |  |  |  |  | (304) |  |  |  |  |  | (201) |
Total derivatives on Condensed Consolidated Balance Sheets(f) |  |  | $ | 54 |  |  |  |  | $ | 81 |  |  |  |  | $ | 50 |  |  |  |  | $ | 151 |
(a)Fair value amounts are shown before the effects of counterparty netting adjustments and offsetting cash collateral. (b)As of March 31, 2025 and December 31, 2024, included CDSs on super senior multi-sector CLO with a net notional amount of $46 million and $48 million (fair value liability of $30 million and $30 million, respectively). The net notional amount represents the maximum exposure to loss on the portfolio. (c)Consists primarily of stable value wraps and contracts with multiple underlying exposures. (d)Represents netting of derivative exposures covered by a qualifying master netting agreement. (e)Represents cash collateral posted and received that is eligible for netting. (f)Freestanding derivatives only, excludes embedded derivative s. Derivative instrument assets and liabilities are recorded in Other assets and Other liabilities, respectively. Fair value of assets related to bifurcated embedded derivatives was $3.2 billion at March 31, 2025 and $3.2 billion at December 31, 2024. Fair value of liabilities related to bifurcated embedded derivatives was zero at both March 31, 2025 and December 31, 2024. A bifurcated embedded derivative is generally presented with the host contract in the Condensed Consolidated Balance Sheets. Embedded derivatives are primarily related to the funds withheld arrangement with Fortitude Re. For additional information, see Note 8.
Schedule of Gain (Loss) Recognized in Income on Derivative Instruments in Fair Value Hedging Relationships | The following table presents the gain (loss) recognized in income on our derivative instruments in fair value hedging relationships in the Condensed Consolidated Statements of Income (Loss):
|  | Gains/(Losses) Recognized in Income for: |  |
(in millions) |  | Hedging Derivatives(a) |  | Excluded Components(b) |  | Hedged Items |  | Net Impact
Three Months Ended March 31, 2025 |  |  |  |  |  |  |  |
Foreign exchange contracts: |  |  |  |  |  |  |  |
Net realized gains/(losses) |  | $ | (1) |  |  | $ | (1) |  |  | $ | 1 |  |  | $ | (1) |
Three Months Ended March 31, 2024 |  |  |  |  |  |  |  |
Foreign exchange contracts: |  |  |  |  |  |  |  |
Net realized gains/(losses) |  | $ | (58) |  |  | $ | (12) |  |  | $ | 58 |  |  | $ | (12) |
(a)Gains and losses on derivative instruments designated and qualifying in fair value hedges that are included in the assessment of hedge effectiveness. (b)Gains and losses on derivative instruments designated and qualifying in fair value hedges that are excluded from the assessment of hedge effectiveness and recognized in income on a mark-to-market basis.
Derivatives Not Designated as Hedging Instruments | The following table presents the effect of derivative instruments not designated as hedging instruments in the Condensed Consolidated Statements of Income (Loss):
Three Months Ended March 31, |  |  |  |  |  |  | Gains (Losses) Recognized in Income
(in millions) |  |  |  |  |  |  | 2025 |  | 2024 |  |
By Derivative Type: |  |  |  |  |  |  |  |  |  |  |
Interest rate contracts |  |  |  |  |  |  | $ | (1) |  |  | $ | (2) |  |  |
Foreign exchange contracts |  |  |  |  |  |  | (33) |  |  | (39) |  |  |
Credit contracts |  |  |  |  |  |  | — |  |  | 1 |  |  |
Embedded derivatives |  |  |  |  |  |  | (41) |  |  | (9) |  |  |
Total |  |  |  |  |  |  | $ | (75) |  |  | $ | (49) |  |  |
By Classification: |  |  |  |  |  |  |  |  |  |  |
Net realized losses - excluding Fortitude Re funds withheld assets |  |  |  |  |  |  | (28) |  |  | (42) |  |  |
Net realized losses on Fortitude Re funds withheld assets* |  |  |  |  |  |  | (47) |  |  | (7) |  |  |
Total |  |  |  |  |  |  | $ | (75) |  |  | $ | (49) |  |  |
*Includes over-the-counter derivatives supporting the funds withheld arrangements with Fortitude Re and the embedded derivative contained within the funds withheld payable with Fortitude Re.

X
- References No definition available. + Details
Name: | us-gaap_DerivativeInstrumentsAndHedgingActivitiesDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of pertinent information about a derivative or group of derivatives on a disaggregated basis, such as for individual instruments, or small groups of similar instruments. May include a combination of the type of instrument, risks being hedged, notional amount, hedge designation, related hedged item, inception date, maturity date, or other relevant item. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Section 50 -Paragraph 2 -SubTopic 10 -Topic 815 -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-2 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 1A -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-1A Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 1B -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-1B Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 8 -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-8 Reference 5: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 4B -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-4B Reference 6: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 1 -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-1 Reference 7: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 4 -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-4 Reference 8: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 5 -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-5 Reference 9: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 4C -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-4C + Details
Name: | us-gaap_ScheduleOfDerivativeInstrumentsTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure for fair value hedging instruments of (a) the location and amount of gains and losses reported in the statement of financial performance and (b) the location and fair value amounts of the instruments reported in the statement of financial position. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 4C -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-4C + Details
Name: | us-gaap_ScheduleOfFairValueHedgingInstrumentsStatementsOfFinancialPerformanceAndFinancialPositionLocationTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of derivative instrument not designated or qualifying as hedging instrument. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 4C -Subparagraph (e) -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-4C Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef -Name Accounting Standards Codification -Section 50 -Paragraph 4CC -SubTopic 10 -Topic 815 -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-4CC + Details
Name: | us-gaap_ScheduleOfOtherDerivativesNotDesignatedAsHedgingInstrumentsStatementsOfFinancialPerformanceAndFinancialPositionLocationTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration