Investments and Related Matters.

Investment

Investments, and securities sold, not yet purchased consist of equities, bonds, bank debt and other corporate obligations, all of which are reported at fair value in our condensed consolidated balance sheets. These investments are considered trading securities. In addition, our Investment segment has certain derivative transactions which are discussed in Note 6, “Derivative Financial Instruments." The carrying value and detail by security type, including business sector for equity securities, with respect to investments and securities sold, not yet purchased held by our Investment segment consist of the following:



	March 31, 2017		December 31, 2016
Assets	(in millions)
Investments:
Equity securities:
Basic materials	$	975	$	963
Consumer, non-cyclical	2,896		2,677
Energy	1,479		1,278
Financial	2,280		2,385
Technology	847		911
Other	677		802
	9,154		9,023

Corporate debt securities	276		190
	$	9,430	$	9,213
Liabilities
Securities sold, not yet purchased, at fair value:
Equity securities:
Consumer, non-cyclical	$	71	$	—
Consumer, cyclical	1,880		968
Energy	100		19
Industrial	88		100
	2,139		1,087

Corporate debt securities	53		52
	$	2,192	$	1,139

The portion of trading gains (losses) that relates to trading securities still held by our Investment segment was $444 million and $(174) million for the three months ended March 31, 2017 and 2016, respectively.

As of March 31, 2017, the Investment Funds owned approximately 28.2% of the outstanding common stock of Hertz Global Holdings, Inc. ("Hertz"). Beginning in the fourth quarter of 2016, our Investment segment applied the fair value option to this investment because at such time this investment would have otherwise been subject to the equity method of accounting. Our Investment segment recorded a net loss of $94 million for the three months ended March 31, 2017, with respect to its investment in Hertz. As of March 31, 2017 and December 31, 2016, the aggregate fair value of our Investment segment's investment in Hertz was $411 million and $505 million, respectively, and is included in investments in our condensed consolidated balance sheets.

The Investment Funds also owned approximately 19.7% of the outstanding common stock of Herbalife Ltd. ("Herbalife") as of March 31, 2017. Beginning in the third quarter of 2016, our Investment segment applied the fair value option to this investment because at such time this investment would have otherwise been subject to the equity method of accounting after considering additional ownership in Herbalife by an affiliate of Mr. Icahn as well as the collective representation on the board of directors of Herbalife. Our Investment segment recorded a net gain of $182 million for the three months ended March 31, 2017, with respect to its investment in Herbalife. As of March 31, 2017 and December 31, 2016, the aggregate fair value of our Investment segment's investment in Herbalife was approximately $1.1 billion and $867 million, respectively.

Other Segments

With the exception of certain equity method investments at our operating subsidiaries disclosed in the table below, our investments are measured at fair value in our condensed consolidated balance sheets. The carrying value of investments held by our other segments and our Holding Company consist of the following:



	March 31, 2017		December 31, 2016
	(in millions)
Equity method investments	$	293	$	302
Other investments (measured at fair value)	364		366
	$	657	$	668