AIG 2013 Annual Report Download - page 271

The following table presents the fair value of other securities measured at fair value based on our election of
the fair value option:
Fixed maturity securities:
U.S. government and government sponsored entities $ 6,794 27%
Obligations of states, territories and political subdivisions – –
Non-U.S. governments 2–
Corporate debt 1,320 5
Mortgage-backed, asset-backed and collateralized:
RMBS 1,727 7
CMBS 2,227 9
CDO/ABS and other collateralized*12,506 50
Total mortgage-backed, asset-backed and collateralized 16,460 66
Other 8–
Total fixed maturity securities 24,584 98
Equity securities 662 2
Total $ 25,246 100%
* Includes $1.0 billion and $0.9 billion of U.S. Government agency backed ABS at December 31, 2013 and 2012, respectively.
The following table summarizes the carrying values of other invested assets:
Alternative investments(a) $ 18,990
Mutual funds 128
Investment real estate(b) 3,195
Aircraft asset investments(c) 984
Investments in life settlements 4,357
All other investments 1,463
Total $ 29,117
(a) Includes hedge funds, private equity funds, affordable housing partnerships, investments in life settlements and other investment partnerships.
(b) Net of accumulated depreciation of $513 million and $469 million in 2013 and 2012, respectively.
(c) Consist primarily of AIG Life and Retirement investments in aircraft equipment held in consolidated trusts.
Certain hedge funds, private equity funds, affordable housing partnerships and other investment partnerships for
which we have elected the fair value option are reported at fair value with changes in fair value recognized in Net
investment income with the exception of investments of AIG’s Other Operations, for which such changes are reported
in Other income. Other investments in hedge funds, private equity funds, affordable housing partnerships and other
investment partnerships in which our insurance operations do not hold aggregate interests sufficient to exercise more
than minor influence over the respective partnerships are reported at fair value with changes in fair value recognized
as a component of Accumulated other comprehensive income. These investments are subject to
other-than-temporary impairment evaluations (see discussion below on evaluating equity investments for
other-than-temporary impairment). The gross unrealized loss recorded in Other comprehensive income on such
Other Securities Measured at Fair Value
Other Invested Assets
Other Invested Assets Carried at Fair Value
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AIG 2013 Form 10-K 253
ITEM 8 / NOTE 6. INVESTMENTS
December 31, 2013 December 31, 2012
Fair Percent Fair Percent
(in millions) Value of Total Value of Total
$ 5,723 24%
121 1
2–
1,169 5
2,263 10
1,353 6
11,985 51
15,601 67
7–
22,623 97
834 3
$ 23,457 100%
December 31,
(in millions) 2013 2012
$ 19,709
85
3,113
763
3,601
1,388
$ 28,659
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