JP Morgan Chase 2015 Annual Report Download - page 214

Notes to consolidated financial statements
204 JPMorgan Chase & Co./2015 Annual Report
Changes in fair value under the fair value option election
The following table presents the changes in fair value included in the Consolidated statements of income for the years ended
December 31, 2015, 2014 and 2013, for items for which the fair value option was elected. The profit and loss information
presented below only includes the financial instruments that were elected to be measured at fair value; related risk
management instruments, which are required to be measured at fair value, are not included in the table.
2015 2014 2013
December 31, (in millions)
Principal
transactions
All other
income
Total
changes
in fair
value
recorded
Principal
transactions
All other
income
Total
changes
in fair
value
recorded
Principal
transactions
All other
income
Total
changes
in fair
value
recorded
Federal funds sold and securities
purchased under resale
agreements $ (38) $ — $ (38) $ (15) $ — $ (15) $ (454) $ — $ (454)
Securities borrowed (6) — (6) (10) — (10) 10 — 10
Trading assets:
Debt and equity instruments,
excluding loans 756 (10) (d) 746 639 — 639 582 7 (c) 589
Loans reported as trading
assets:
Changes in instrument-
specific credit risk 138 41 (c) 179 885 29 (c) 914 1,161 23 (c) 1,184
Other changes in fair value 232 818 (c) 1,050 352 1,353 (c) 1,705 (133) 1,833 (c) 1,700
Loans:
Changes in instrument-specific
credit risk 35 — 35 40 — 40 36 — 36
Other changes in fair value 4— 4 34 — 34 17 — 17
Other assets 79 (1) (d) 78 24 6 (d) 30 32 86 (d) 118
Deposits(a) 93 — 93 (287) — (287) 260 — 260
Federal funds purchased and
securities loaned or sold under
repurchase agreements 8— 8 (33) — (33) 73 — 73
Other borrowed funds(a) 1,996 — 1,996 (891) — (891) (399) — (399)
Trading liabilities (20) — (20) (17) — (17) (46) — (46)
Beneficial interests issued by
consolidated VIEs 49 — 49 (233) — (233) (278) — (278)
Other liabilities —— — (27) — (27) — — —
Long-term debt:
Changes in instrument-specific
credit risk(a) 300 — 300 101 — 101 (271) — (271)
Other changes in fair value(b) 1,088 — 1,088 (615) — (615) 1,280 — 1,280
(a) Total changes in instrument-specific credit risk (DVA) related to structured notes were $171 million, $20 million and $(337) million for the years ended
December 31, 2015, 2014 and 2013, respectively. These totals include such changes for structured notes classified within deposits and other borrowed funds, as
well as long-term debt.
(b) Structured notes are predominantly financial instruments containing embedded derivatives. Where present, the embedded derivative is the primary driver of risk.
Although the risk associated with the structured notes is actively managed, the gains/(losses) reported in this table do not include the income statement impact of
the risk management instruments used to manage such risk.
(c) Reported in mortgage fees and related income.
(d) Reported in other income.