Voya 2013 Annual Report Download - page 372

ING U.S., Inc.
Notes to the Consolidated Financial Statements
(Dollar amounts in millions, unless otherwise stated)
The reconciliation of the beginning and ending fair value measurements for Level 3 assets and liabilities using
significant unobservable inputs for the year ended December 31, 2012 is presented in the table below:
Fair Value
as of
January 1
Gains (Losses)
Included in the
Consolidated
Statement of
Operations Purchases Sales
Transfer in
to Level 3
Transfer
out of
Level 3
Fair Value
as of
December 31
Assets
VIEs—CLO entities:
Corporate loans, at fair
value using the fair value
option ............... $ — $ — $ — $ — $— $— $ —
VOEs—Private equity
funds and single strategy
hedge funds:
Limited partnerships/
corporations, at fair
value ............ 2,860.3 282.2 389.8 (601.1) — — 2,931.2
Total assets, at fair value . . $ 2,860.3 $ 282.2 $ 389.8 $(601.1) $— $— $ 2,931.2
Liabilities
VIEs—CLO entities:
CLO notes, at fair
value using the fair
value option ...... $(2,057.1) $(173.1) $(1,603.6) $ 4.4 $— $— $(3,829.4)
Total liabilities, at fair
value ................ $(2,057.1) $(173.1) $(1,603.6) $ 4.4 $— $— $(3,829.4)
Deconsolidation of Certain Investment Entities
During the years ended December 31, 2013 and 2012, the Company did not deconsolidate any investment
entities.
Nonconsolidated VIEs
CLO Entities
In addition to the consolidated CLO entities, the Company also holds variable interest in certain CLO entities that
are not consolidated as it has been determined that the Company is not the primary beneficiary. With these CLO
entities, the Company serves as the investment manager and receives investment management fees and
contingent performance fees. Generally, the Company does not hold any interest in the nonconsolidated CLO
entities but if it does, such ownership has been deemed to be insignificant. The Company has never provided, and
is not obligated to provide, any financial or other support to these entities.
The Company reviews its assumptions on a periodic basis to determine if conditions have changed such that the
projection of these contingent fees becomes significant enough to reconsider the Company’s consolidation status
as variable interest holder. As of December 31, 2013 and 2012, the Company does not hold any ownership
interests in these unconsolidated CLOs.
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