JP Morgan Chase 2015 Annual Report Download - page 208

Notes to consolidated financial statements
198 JPMorgan Chase & Co./2015 Annual Report
Fair value measurements using significant unobservable inputs
Year ended
December 31, 2013
(in millions)
Fair value
at January
1, 2013
Total
realized/
unrealized
gains/
(losses)
Transfers into
and/or out of
level 3(i)
Fair value at
Dec. 31,
2013
Change in
unrealized gains/
(losses) related
to financial
instruments held
at Dec. 31, 2013Purchases(g) Sales Settlements(h)
Assets:
Trading assets:
Debt instruments:
Mortgage-backed securities:
U.S. government agencies $ 498 $ 169 $ 819 $ (381) $ (100) $ — $ 1,005 $ 200
Residential – nonagency 663 407 780 (1,028) (91) (5) 726 205
Commercial – nonagency 1,207 114 841 (1,522) (208) — 432 (4)
Total mortgage-backed
securities 2,368 690 2,440 (2,931) (399) (5) 2,163 401
Obligations of U.S. states and
municipalities 1,436 71 472 (251) (346) — 1,382 18
Non-U.S. government debt
securities 67 4 1,449 (1,479) (8) 110 143 (1)
Corporate debt securities 5,308 103 7,602 (5,975) (1,882) 764 5,920 466
Loans 10,787 665 10,411 (7,431) (685) (292) 13,455 315
Asset-backed securities 3,696 191 1,912 (2,379) (292) (1,856) 1,272 105
Total debt instruments 23,662 1,724 24,286 (20,446) (3,612) (1,279) 24,335 1,304
Equity securities 1,092 (37) 328 (266) (135) (115) 867 46
Physical commodities — (4) — (8) — 16 4 (4)
Other 863 558 659 (95) (120) 135 2,000 1,074
Total trading assets – debt and
equity instruments 25,617 2,241 (c) 25,273 (20,815) (3,867) (1,243) 27,206 2,420 (c)
Net derivative receivables:(a)
Interest rate 3,322 1,358 344 (220) (2,391) (34) 2,379 107
Credit 1,873 (1,697) 115 (12) (357) 173 95 (1,449)
Foreign exchange (1,750) (101) 3 (4) 683 (31) (1,200) (110)
Equity (1,806) 2,528 1,305 (2,111) (1,353) 374 (1,063) 872
Commodity 254 816 105 (3) (1,107) 50 115 410
Total net derivative receivables 1,893 2,904 (c) 1,872 (2,350) (4,525) 532 326 (170) (c)
Available-for-sale securities:
Asset-backed securities 28,024 4 579 (57) (57) (27,405) 1,088 4
Other 892 26 508 (216) (6) 30 1,234 25
Total available-for-sale securities 28,916 30 (d) 1,087 (273) (63) (27,375) 2,322 29 (d)
Loans 2,282 81 (c) 1,065 (191) (1,306) — 1,931 (21) (c)
Mortgage servicing rights 7,614 1,612 (e) 2,215 (725) (1,102) — 9,614 1,612 (e)
Other assets:
Private equity investments 5,590 824 (c) 537 (1,080) 140 (195) 5,816 42 (c)
All other 2,122 (17) (f) 49 (427) (345) — 1,382 (64) (f)
Fair value measurements using significant unobservable inputs
Year ended
December 31, 2013
(in millions)
Fair value
at January
1, 2013
Total
realized/
unrealized
(gains)/
losses
Transfers into
and/or out of
level 3(i)
Fair value at
Dec. 31,
2013
Change in
unrealized
(gains)/losses
related to
financial
instruments held
at Dec. 31, 2013Purchases(g) Sales Issuances Settlements(h)
Liabilities:(b)
Deposits $ 1,983 $ (82) (c) $ — $ — $ 1,248 $ (222) $ (672) $ 2,255 $ (88) (c)
Other borrowed funds 1,619 (177) (c) — — 7,108 (6,845) 369 2,074 291 (c)
Trading liabilities – debt and equity
instruments 205 (83) (c) (2,418) 2,594 — (54) (131) 113 (100) (c)
Accounts payable and other liabilities — — — — — — — — —
Beneficial interests issued by
consolidated VIEs 925 174 (c) — — 353 (212) — 1,240 167 (c)
Long-term debt 8,476 (435) (c) — — 6,830 (4,362) (501) 10,008 (85) (c)
Note: Effective April 1, 2015, the Firm adopted new accounting guidance for certain investments where the Firm measures fair value using the net asset value per share (or its
equivalent) as a practical expedient and excluded such investments from the fair value hierarchy. The guidance was required to be applied retrospectively, and accordingly, prior
period amounts have been revised to conform with the current period presentation. For further information, see page 190.