Prudential 2015 Annual Report Download - page 178

PRUDENTIAL FINANCIAL, INC.
Notes to Consolidated Financial Statements
(1) This category invests in U.S. equity funds, primarily large cap equities whose objective is to track an index via pooled separate accounts and registered
investment companies.
(2) This category invests in U.S. equity funds, primarily large cap equities.
(3) This category invests in international equity funds, primarily large cap international equities whose objective is to track an index.
(4) This category fund invests in large cap international equity fund whose objective is to outperform an index.
(5) This category invests in U.S. government and corporate bond funds.
(6) This category invests in highly rated corporate bonds.
(7) This category invests in highly rated Collateralized Mortgage Obligations.
(8) Cash and cash equivalents, short-term investments, payables and receivables and open future contract positions (including fixed income collateral).
(9) In 2015, the contractual net value of the investment of securities lending collateral invested in primarily short-term bond funds is $2 million and the
liability for securities lending collateral is $2 million.
(10) In 2014, the contractual net value of the investment of securities lending collateral invested in primarily short-term bond funds is $10 million and the
liability for securities lending collateral is $10 million.
Changes in Fair Value of Level 3 Postretirement Assets
Year Ended December 31, 2015
Fixed
Maturities–
Corporate Debt–
Corporate
Bonds
Fixed
Maturities–
Corporate Debt–
Asset-
Backed
Fixed
Maturities–
Other
(in millions)
Fair Value, beginning of period ...................................................... $1 $1 $(5)
Actual Return on Assets:
Relating to assets still held at the reporting date ................................. 0 0 0
Relating to assets sold during the period ....................................... 0 0 0
Purchases, sales and settlements ................................................. 0 0 8
Transfers in and/or out of Level 3(1) .............................................. (1) (1) 0
Fair Value, end of period ........................................................... $0 $0 $3
(1) The transfers from level 3 to level 2 are due to the availability of external pricing sources.
Year Ended December 31, 2014
Fixed
Maturities–
Corporate Debt–
Corporate
Bonds
Fixed
Maturities–
Corporate Debt–
Asset-
Backed
Fixed
Maturities–
Other
(in millions)
Fair Value, beginning of period ...................................................... $1 $5 $(6)
Actual Return on Assets:
Relating to assets still held at the reporting date ................................. 0 0 0
Relating to assets sold during the period ....................................... 0 0 0
Purchases, sales and settlements ................................................. 0 1 1
Transfers in and/or out of Level 3(1) .............................................. 0 (5) 0
Fair Value, end of period ........................................................... $1 $1 $(5)
(1) The transfers from level 3 to level 2 are due to the availability of external pricing sources.
A summary of pension and postretirement plan asset allocation as of the year ended December 31, are as follows:
Pension Percentage of Plan Assets
Postretirement Percentage of Plan
Assets
2015 2014 2015 2014
Asset Category
U.S. Equities .................................................... 6% 7% 48% 57%
International Equities ............................................. 5 5 12 5
Fixed Maturities ................................................. 67 69 32 34
Short-term Investments ............................................ 0 0 8 4
Real Estate ..................................................... 8 6 0 0
Other .......................................................... 14 13 0 0
Total .......................................................... 100% 100% 100% 100%
176 Prudential Financial, Inc. 2015 Annual Report