Wells Fargo 2010 Annual Report Download - page 208

Note 19: Employee Benefits and Other Expenses (continued)
Fair Value of Plan Assets
The following table presents the balances of pension plan assets
and other benefit plan assets measured at fair value. Other
benefit plan assets include assets held in a 401(h) trust, which
are invested using the same asset allocation targets as the Cash
Balance Plan, and assets held in a VEBA trust. See Note 16 for
fair value hierarchy level definitions.
Carrying value at year end
Pension plan assets Other benefits plan assets
(in millions) Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total
December 31, 2010
Cash and cash equivalents $ 47 488 - 535 2 252 - 254
Intermediate (core) fixed income (1) 297 1,964 10 2,271 10 109 - 119
High-yield fixed income 1 406 1 408 - 14 - 14
International fixed income - 263 - 263 - 8 - 8
Specialty fixed income - 95 - 95 - 3 - 3
Domestic large-cap stocks (2) 1,323 867 4 2,194 43 40 - 83
Domestic mid-cap stocks 263 129 - 392 9 20 - 29
Domestic small-cap stocks (3) 851 37 - 888 28 20 - 48
International stocks (4) 948 403 6 1,357 31 46 - 77
Emerging market stocks - 700 - 700 - 23 - 23
Real estate/timber (5) 105 - 360 465 3 - 12 15
Multi-strategy hedge funds (6) - - 313 313 - - 10 10
Private equity - - 112 112 - - 4 4
Other - 31 41 72 - 2 22 24
Total plan investments $ 3,835 5,383 847 10,065 126 537 48 711
Payable upon return of securities loaned (145) (5)
Net receivables (payables) (281) (9)
Total plan assets $ 9,639 697
December 31, 2009
Cash and cash equivalents $ 52 515 - 567 2 38 - 40
Intermediate (core) fixed income (1) 277 1,827 9 2,113 9 95 - 104
High-yield fixed income 2 481 - 483 - 12 - 12
International fixed income - 376 - 376 - 3 - 3
Specialty fixed income - 76 - 76 - 2 - 2
Domestic large-cap stocks (2) 1,046 630 5 1,681 40 30 - 70
Domestic mid-cap stocks 205 103 - 308 7 16 - 23
Domestic small-cap stocks (3) 867 126 - 993 18 16 - 34
International stocks (4) 354 890 1 1,245 11 39 - 50
Emerging market stocks - 653 - 653 - 14 - 14
Real estate/timber (5) 78 - 353 431 2 - 4 6
Multi-strategy hedge funds (6) - - 339 339 - - 5 5
Private equity - 1 83 84 - - 2 2
Other - 25 46 71 - - 21 21
Total plan investments $ 2,881 5,703 836 9,420 89 265 32 386
Payable upon return of securities loaned (320) (10)
Net receivables (payables) 12 -
Total plan assets $ 9,112 376
(1) This category includes assets that are primarily intermediate duration, investment grade bonds held in investment strategies benchmarked to the Barclays Capital U.S.
Aggregate Bond Index. Includes U.S. Treasury securities, agency and non-agency asset-backed bonds and corporate bonds.
(2) This category covers a broad range of investment styles, both active and passive approaches, as well as style characteristics of value, core and growth emphasized
strategies. Assets in this category are currently diversified across ten unique investment strategies. For December 31, 2010 and 2009, respectively, approximately 33% and
40% of the assets within this category are passively managed to popular mainstream market indexes including the Standard & Poor's 500 Index; excluding the allocation to
the S&P 500 Index strategy, no single investment manager represents more than 2.5% of total plan assets.
(3) This category consists of a highly diversified combination of six distinct investment management strategies with no single strategy representing more than 2% of total plan
assets. Allocations in this category are primarily spread across actively managed approaches with distinct value and growth emphasized approaches in fairly equal
proportions.
(4) This category includes assets diversified across nine unique investment strategies providing exposure to companies based primarily in developed market, non-U.S. countries
with no single strategy representing more than 2.5% of total plan assets.
(5) This category primarily includes investments in private and public real estate, as well as timber specific limited partnerships; real estate holdings are diversified by
geographic location and sector (e.g., retail, office, apartments).
(6) This category consists of several investment strategies diversified over 30 hedge fund managers. Single manager allocation exposure is limited to 0.15% (15 basis points) of
total plan assets.
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