Goldman Sachs 2013 Annual Report Download - page 158

Notes to Consolidated Financial Statements
Other Financial Assets at Fair Value as of December 2012
in millions Level 1 Level 2 Level 3 Total
Securities segregated for regulatory and other purposes 1$21,549 $ 8,935 $ — $ 30,484
Securities purchased under agreements to resell — 141,053 278 141,331
Securities borrowed — 38,395 — 38,395
Receivables from customers and counterparties — 7,225 641 7,866
Other assets 24,420 8,499 507 313,426
Total $25,969 $204,107 $ 1,426 $231,502
Other Financial Liabilities at Fair Value as of December 2012
in millions Level 1 Level 2 Level 3 Total
Deposits $ — $ 4,741 $ 359 $ 5,100
Securities sold under agreements to repurchase — 169,880 1,927 171,807
Securities loaned — 1,558 — 1,558
Other secured financings — 28,925 1,412 30,337
Unsecured short-term borrowings — 15,011 2,584 17,595
Unsecured long-term borrowings — 10,676 1,917 12,593
Other liabilities and accrued expenses — 769 11,274 412,043
Total $ — $231,560 $19,473 $251,033
1. Includes securities segregated for regulatory and other purposes accounted for at fair value under the fair value option, which consists of securities borrowed and
resale agreements. The table above includes $21.55 billion of level 1 securities segregated for regulatory and other purposes accounted for at fair value under other
U.S. GAAP, consisting of U.S. Treasury securities and money market instruments.
2. Consists of assets classified as held for sale related to the firm’s Americas reinsurance business, primarily consisting of securities accounted for as available-for-sale
and insurance separate account assets which are accounted for at fair value under other U.S. GAAP.
3. Consists of insurance contracts and derivatives classified as held for sale related to the firm’s Americas reinsurance business. See “Insurance Contracts” above and
Note 7 for further information about valuation techniques and inputs related to insurance contracts and derivatives, respectively.
4. Includes $692 million of liabilities classified as held for sale related to the firm’s Americas reinsurance business accounted for at fair value under the fair value option.
Transfers Between Levels of the Fair Value Hierarchy
Transfers between levels of the fair value hierarchy are
reported at the beginning of the reporting period in which
they occur. There were no transfers of other financial assets
and financial liabilities between level 1 and level 2 during
2013 or 2012. The tables below present information about
transfers between level 2 and level 3.
Level 3 Rollforward
If a financial asset or financial liability was transferred to
level 3 during a reporting year, its entire gain or loss for the
year is included in level 3.
The tables below present changes in fair value for other
financial assets and financial liabilities accounted for at fair
value categorized as level 3 as of the end of the year. Level 3
other financial assets and liabilities are frequently
economically hedged with cash instruments and derivatives.
Accordingly, gains or losses that are reported in level 3 can
be partially offset by gains or losses attributable to level 1, 2
or 3 cash instruments or derivatives. As a result, gains or
losses included in the level 3 rollforward below do not
necessarily represent the overall impact on the firm’s results
of operations, liquidity or capital resources.
156 Goldman Sachs 2013 Annual Report