Barclays 2011 Annual Report Download - page 211

4 Net fee and commission income
Accounting for net fee and commission income
The Group applies IAS 18 Revenue. Fees and commissions charged for services provided or received by the Group are recognised as the services are
provided, for example on completion of the underlying transaction.
2011
£m
2010
£m
2009
£m
Banking, investment management and credit related fees and commissions 9,958 10,142 9,711
Brokerage fees 87 77 88
Foreign exchange commission 163 149 147
Fee and commission income 10,208 10,368 9,946
Fee and commission expense (1,586) (1,497) (1,528)
Net fee and commission income 8,622 8,871 8,418
5 Net trading income
Accounting for net trading income
In accordance with IAS 39, trading positions are held at fair value and the resulting gains and losses are included in the income statement, together
with interest and dividends arising from long and short positions and funding costs relating to trading activities.
Income arises from the sale and purchase of trading positions, margins which are achieved through market-making and customer business, and
from changes in fair value caused by movements in interest and exchange rates, equity prices and other market variables.
Own credit gains/(losses) arise from the fair valuation of financial liabilities designated at fair value through profit or loss. See Note 19 Financial
liabilities designated at fair value.
2011
£m
2010
£m
2009
£m
Trading income 4,952 7,687 8,821
Own credit gains/(losses) 2,708 391 (1,820)
Net trading income 7,660 8,078 7,001
Included within net trading income were losses of £16m (2010: £32m gain, 2009: £2,349m loss) on financial assets designated at fair value and gains
of £3,850m (2010: £903m loss, 2009: £3,158m loss) on financial liabilities designated at fair value.
6 Net investment income
Accounting for net investment income
Dividends are recognised when the right to receive the dividend has been established. Other accounting policies relating to net investment income
are set out in Note 18, Available for sale financial assets, and Note 16, Financial assets designated at fair value.
2011
£m
2010
£m
2009
£m
Net gain from disposal of available for sale assets 1,645 1,027 349
Dividend income 129 116 6
Net gain/(loss) from financial instruments designated at fair value 287 274 (208)
Other investment income/(losses) 244 60 (91)
Net investment income 2,305 1,477 56
Barclays PLC Annual Report 2011 www.barclays.com/annualreport 209
The strategic report Governance Risk management Financial review Financial statements Shareholder information