MetLife 2007 Annual Report Download - page 127

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Other Limited Partnership Interests
The carrying value of other limited partnership interests (which primarily represent ownership interests in pooled investment funds that
make private equity investments in companies in the United States and overseas) was $6.2 billion and $4.8 billion at December 31, 2007
and 2006, respectively. Included within other limited partnership interests at December 31, 2007 and 2006 are $1.6 billion and $1.2 billion,
respectively, of hedge funds. For the years ended December 31, 2007, 2006 and 2005, net investment income from other limited
partnership interests included $89 million, $98 million and $24 million respectively, related to hedge funds.
Funds Withheld at Interest
Funds withheld at interest, included in other invested assets, were $4.5 billion and $4.0 billion at December 31, 2007 and 2006,
respectively.
Net Investment Income
The components of net investment income are as follows:
2007 2006 2005
Years Ended December 31,
(In millions)
Fixedmaturitysecurities.............................................. $15,150 $14,049 $11,349
Equitysecurities................................................... 279 122 79
Mortgageandconsumerloans.......................................... 2,863 2,534 2,302
Policyloans...................................................... 637 603 572
Realestateandrealestatejointventures................................... 913 746 510
Otherlimitedpartnershipinterests ....................................... 1,309 945 709
Cash,cashequivalentsandshort-terminvestments............................ 503 519 400
Other.......................................................... 631 530 472
Totalinvestmentincome ............................................ 22,285 20,048 16,393
Less:Investmentexpenses............................................ 3,279 2,966 1,637
Netinvestmentincome ............................................. $19,006 $17,082 $14,756
Net Investment Gains (Losses)
The components of net investment gains (losses) are as follows:
2007 2006 2005
Years Ended December 31,
(In millions)
Fixed maturity securities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $(622) $(1,119) $(868)
Equitysecurities....................................................... 164 84 117
Mortgageandconsumerloans.............................................. 2 (8) 17
Realestateandrealestatejointventures....................................... 44 102 14
Otherlimitedpartnershipinterests ........................................... 16 1 42
Salesofbusinesses .................................................... — — 8
Derivatives........................................................... (414) (201) 391
Other.............................................................. 72 (241) 193
Net investment gains (losses) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $(738) $(1,382) $ (86)
The Company periodically disposes of fixed maturity and equity securities at a loss. Generally, such losses are insignificant in amount or
in relation to the cost basis of the investment, are attributable to declines in fair value occurring in the period of the disposition or are as a
result of management’s decision to sell securities based on current conditions or the Company’s need to shift the portfolio to maintain its
portfolio management objectives.
Losses from fixed maturity and equity securities deemed other-than-temporarily impaired, included within net investment gains (losses),
were $106 million, $82 million and $64 million for the years ended December 31, 2007, 2006 and 2005, respectively.
F-31MetLife, Inc.
MetLife, Inc.
Notes to Consolidated Financial Statements — (Continued)