ING Direct 2008 Annual Report Download - page 110

2.1 Consolidated annual accounts
As at 31 December 2008, Trading assets included receivables of EUR 57,968 million (2007: EUR 114,897 million) with regard to reverse
repurchase transactions.
The large increase in Trading assets–derivatives in 2008 is substantially offset by a similar increase in Trading liabilities–derivatives.
The fair value of credit derivatives included in trading assets and held to mitigate exposure to credit risk was nil (2007: nil), and the change
in their fair value in the period was nil (2007: nil).
Investments for risk of policyholders by type
2008 2007
Equity securities 83,208 106,061
Debt securities 7,729 7,39 8
Loans and receivables 4,429 1,368
95,366 114, 827
The change in the fair value of the loans and receivables included in Investments for risk of policyholders attributable to changes
in the credit risk of the financial assets during 2008 was nil (2007: nil) and nil (2007: nil) on a cumulative basis.
The fair value of credit derivatives included in investments for risk of policyholders and held to mitigate exposure to credit risk was
EUR –12 million (2007: EUR –7 million), and the change in their fair value in the period was EUR –5 million (2007: EUR –7 million).
The cost of investments for risk of policyholders as at 31 December 2008 was EUR 115,929 million (2007: EUR 105,625 million).
Investments in investment funds (with underlying investments in debt, equity securities, real estate and derivatives) are included
under equity securities.
Non-trading derivatives by type
2008 2007
Derivatives used in:
– fair value hedges 3,862 1,952
– cash flow hedges 5,771 3,417
– hedges of net investments in foreign operations 670 281
Other non-trading derivatives 6,181 1,987
16,484 7,637
The fair value of credit derivatives included in non-trading derivatives and held to mitigate exposure to credit risk was
EUR –17 million (2007: EUR –10 million), and the change in their fair value in the period was EUR –7 million (2007: nil).
Other non-trading derivatives include mainly interest rate swaps for which no hedge accounting is applied. The increase is mainly due to
changes in fair value resulting from changes in market interest rates.
The increase is substantially mitigated by a similar increase in Other non-trading derivatives (liabilities) as disclosed in Note 20 ‘Financial
liabilities at fair value through profit and loss’.
Designated as at fair value through profit and loss by type
2008 2007
Equity securities 313 306
Debt securities 5,445 8,774
Loans and receivables 637 428
Other 1,882 1,945
8,277 11,453
The change in the fair value of the loans and receivables designated as at fair value through profit and loss attributable to changes
in the credit risk of the financial assets during 2008 was nil (2007: nil),and nil (2007: nil) on a cumulative basis.
Other includes investments in private equity funds, hedge funds, other non-traditional investment vehicles and limited partnerships.
Notes to the consolidated balance sheet of ING Group (continued)
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