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Investments | 9 Months Ended
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Sep. 30, 2016
Investments [Abstract] |
Investments | INVESTMENTS Fixed Maturity Investments Trading The following table summarizes the fair value of fixed maturity investments trading:
|  | September 30, 2016 |  | December 31, 2015 |
| U.S. treasuries | $ | 2,564,635 |  |  | $ | 2,064,944 |  |
| Agencies | 120,761 |  |  | 137,976 |  |
| Municipal | 550,062 |  |  | 583,282 |  |
| Non-U.S. government (Sovereign debt) | 313,560 |  |  | 334,981 |  |
| Non-U.S. government-backed corporate | 129,423 |  |  | 138,994 |  |
| Corporate | 1,916,092 |  |  | 2,055,323 |  |
| Agency mortgage-backed | 521,851 |  |  | 504,368 |  |
| Non-agency mortgage-backed | 276,438 |  |  | 262,235 |  |
| Commercial mortgage-backed | 487,621 |  |  | 554,625 |  |
| Asset-backed | 207,976 |  |  | 128,277 |  |
| Total fixed maturity investments trading | $ | 7,088,419 |  |  | $ | 6,765,005 |  |
Fixed Maturity Investments Available For Sale The following table summarizes the amortized cost, fair value and related unrealized gains and losses and non-credit other-than-temporary impairments of fixed maturity investments available for sale:
|  |  |  | Included in Accumulated Other Comprehensive Income |  |  |  |  |
| September 30, 2016 | Amortized Cost |  | Gross Unrealized Gains |  | Gross Unrealized Losses |  | Fair Value |  | Non-Credit Other-Than- Temporary Impairments (1) |
| Agency mortgage-backed | $ | 136 |  |  | $ | — |  |  | $ | — |  |  | $ | 136 |  |  | $ | — |  |
| Non-agency mortgage-backed | 5,683 |  |  | 1,212 |  |  | — |  |  | 6,895 |  |  | 474 |  |
| Commercial mortgage-backed | 4,504 |  |  | 186 |  |  | — |  |  | 4,690 |  |  | — |  |
| Total fixed maturity investments available for sale | $ | 10,323 |  |  | $ | 1,398 |  |  | $ | — |  |  | $ | 11,721 |  |  | $ | 474 |  |
|  |  |  | Included in Accumulated Other Comprehensive Income |  |  |  |  |
| December 31, 2015 | Amortized Cost |  | Gross Unrealized Gains |  | Gross Unrealized Losses |  | Fair Value |  | Non-Credit Other-Than- Temporary Impairments (1) |
| Agency mortgage-backed | $ | 143 |  |  | $ | 7 |  |  | $ | — |  |  | $ | 150 |  |  | $ | — |  |
| Non-agency mortgage-backed | 7,005 |  |  | 1,523 |  |  | — |  |  | 8,528 |  |  | 550 |  |
| Commercial mortgage-backed | 6,578 |  |  | 293 |  |  | — |  |  | 6,871 |  |  | — |  |
| Asset-backed | 2,217 |  |  | 47 |  |  | — |  |  | 2,264 |  |  | — |  |
| Total fixed maturity investments available for sale | $ | 15,943 |  |  | $ | 1,870 |  |  | $ | — |  |  | $ | 17,813 |  |  | $ | 550 |  |
(1) | Represents the non-credit component of other-than-temporary impairments recognized in accumulated other comprehensive income adjusted for subsequent sales of securities. It does not include the change in fair value subsequent to the impairment measurement date.
Contractual maturities of fixed maturity investments are described in the following table. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.
|  | Trading |  | Available for Sale |  | Total Fixed Maturity Investments |
| September 30, 2016 | Amortized Cost |  | Fair Value |  | Amortized Cost |  | Fair Value |  | Amortized Cost |  | Fair Value |
| Due in less than one year | $ | 280,939 |  |  | $ | 280,850 |  |  | $ | — |  |  | $ | — |  |  | $ | 280,939 |  |  | $ | 280,850 |  |
| Due after one through five years | 4,083,141 |  |  | 4,102,622 |  |  | — |  |  | — |  |  | 4,083,141 |  |  | 4,102,622 |  |
| Due after five through ten years | 1,014,691 |  |  | 1,044,737 |  |  | — |  |  | — |  |  | 1,014,691 |  |  | 1,044,737 |  |
| Due after ten years | 159,118 |  |  | 166,324 |  |  | — |  |  | — |  |  | 159,118 |  |  | 166,324 |  |
| Mortgage-backed | 1,269,868 |  |  | 1,285,910 |  |  | 10,323 |  |  | 11,721 |  |  | 1,280,191 |  |  | 1,297,631 |  |
| Asset-backed | 206,807 |  |  | 207,976 |  |  | — |  |  | — |  |  | 206,807 |  |  | 207,976 |  |
| Total | $ | 7,014,564 |  |  | $ | 7,088,419 |  |  | $ | 10,323 |  |  | $ | 11,721 |  |  | $ | 7,024,887 |  |  | $ | 7,100,140 |  |
Equity Investments Trading The following table summarizes the fair value of equity investments trading:
|  | September 30, 2016 |  | December 31, 2015 |
| Financials | $ | 238,572 |  |  | $ | 193,716 |  |
| Communications and technology | 36,421 |  |  | 65,833 |  |
| Industrial, utilities and energy | 28,361 |  |  | 51,168 |  |
| Consumer | 20,846 |  |  | 40,918 |  |
| Healthcare | 17,966 |  |  | 36,148 |  |
| Basic materials | 3,399 |  |  | 6,094 |  |
| Total | $ | 345,565 |  |  | $ | 393,877 |  |
Pledged Investments At September 30, 2016, $2.4 billion of cash and investments at fair value were on deposit with, or in trust accounts for the benefit of various counterparties, including with respect to the Company’s letter of credit facilities (December 31, 2015 - $2.5 billion). Of this amount, $686.0 million is on deposit with, or in trust accounts for the benefit of, U.S. state regulatory authorities (December 31, 2015 - $664.6 million). Reverse Repurchase Agreements At September 30, 2016, the Company held $58.2 million (December 31, 2015 - $26.2 million) of reverse repurchase agreements. These loans are fully collateralized, are generally outstanding for a short period of time and are presented on a gross basis as part of short term investments on the Company’s consolidated balance sheets. The required collateral for these loans typically includes high-quality, readily marketable instruments at a minimum amount of 102% of the loan principal. Upon maturity, the Company receives principal and interest income. Net Investment Income The components of net investment income are as follows:
|  | Three months ended |  | Nine months ended |
|  | September 30, 2016 |  | September 30, 2015 |  | September 30, 2016 |  | September 30, 2015 |
| Fixed maturity investments | $ | 39,959 |  |  | $ | 37,023 |  |  | $ | 122,056 |  |  | $ | 96,753 |  |
| Short term investments | 1,174 |  |  | 267 |  |  | 3,401 |  |  | 761 |  |
| Equity investments | 797 |  |  | 1,791 |  |  | 3,325 |  |  | 6,308 |  |
| Other investments |  |  |  |  |  |  |  |
| Private equity investments | 4,572 |  |  | (14,505 | ) |  | (430 | ) |  | 1,333 |  |
| Other | 8,765 |  |  | 7,261 |  |  | 17,109 |  |  | 11,443 |  |
| Cash and cash equivalents | 246 |  |  | 80 |  |  | 584 |  |  | 355 |  |
|  | 55,513 |  |  | 31,917 |  |  | 146,045 |  |  | 116,953 |  |
| Investment expenses | (4,090 | ) |  | (3,579 | ) |  | (11,635 | ) |  | (10,304 | ) |
| Net investment income | $ | 51,423 |  |  | $ | 28,338 |  |  | $ | 134,410 |  |  | $ | 106,649 |  |
Net Realized and Unrealized Gains on Investments Net realized and unrealized gains on investments are as follows:
|  | Three months ended |  | Nine months ended |
|  | September 30, 2016 |  | September 30, 2015 |  | September 30, 2016 |  | September 30, 2015 |
| Gross realized gains | $ | 20,383 |  |  | $ | 9,160 |  |  | $ | 60,794 |  |  | $ | 39,364 |  |
| Gross realized losses | (3,363 | ) |  | (13,720 | ) |  | (25,832 | ) |  | (40,143 | ) |
| Net realized gains (losses) on fixed maturity investments | 17,020 |  |  | (4,560 | ) |  | 34,962 |  |  | (779 | ) |
| Net unrealized (losses) gains on fixed maturity investments trading | (4,235 | ) |  | 10,208 |  |  | 125,501 |  |  | (11,924 | ) |
| Net realized and unrealized gains (losses) on investments-related derivatives | 1,727 |  |  | (16,612 | ) |  | (26,873 | ) |  | (1,004 | ) |
| Net realized gains (losses) on equity investments trading | 127 |  |  | (114 | ) |  | 14,038 |  |  | 16,199 |  |
| Net unrealized gains (losses) on equity investments trading | 45,231 |  |  | (30,060 | ) |  | 43,667 |  |  | (28,593 | ) |
| Net realized and unrealized gains (losses) on investments | $ | 59,870 |  |  | $ | (41,138 | ) |  | $ | 191,295 |  |  | $ | (26,101 | ) |
The Company did not have any fixed maturity investments available for sale in an unrealized loss position at September 30, 2016 or December 31, 2015.

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