Quarterly report pursuant to Section 13 or 15(d)

Investment Securities (Tables)

v2.4.0.6
Investment Securities (Tables)
 3 Months Ended
Mar. 31, 2013
Investments, Debt and Equity Securities [Abstract]  
Investment
Investment securities reported on the Condensed Consolidated Balance Sheets at March 31, 2013 and December 31, 2012 are presented below.
(dollars in millions)
 
March 31, 2013
 
 
December 31, 2012
Investment securities
 

 
 
 

Available-for-sale
$
615

 
 
$
656

Other debt securities carried at fair value (1)
7,512

 
 
7,722

Non-qualifying
 

 
 
 

       Equity investments
2,080

 
 
2,627

       Other investments
2,880

 
 
2,620

Total
$
13,087

 
 
$
13,625

 
 
 
 
 

(1) Certain assets that are used for liquidity management purposes were reclassified from Trading assets to Other debt securities carried at fair value during the three months ended March 31, 2013. Prior period amounts have also been reclassified to conform with the current period presentation.
Available-for-sale Securities
Information regarding investment securities subject to Investment Accounting follows.
(dollars in millions)
 
March 31, 2013
 
Amortized
Cost
 
Fair
Value
Available-for-Sale
 
 
 
Securities, mortgage-backed and asset-backed:
 
 
 
Corporate ABS
$
175

 
$
175

Non-agency mortgage backed securities
37

 
37

Subtotal
212

 
212

U.S. Government and agencies
403

 
403

Total available-for-sale securities
$
615

 
$
615

 
 
 
 

(dollars in millions)
 
December 31, 2012
 
Amortized
Cost
 
Fair
Value
Available-for-Sale
 

 
 

Securities, mortgage-backed and asset-backed:
 

 
 

Corporate ABS
$
226

 
$
226

Non-agency mortgage backed securities
40

 
40

Subtotal
266

 
266

U.S. Government and agencies
390

 
390

Total available-for-sale securities
$
656

 
$
656

 
 
 
 
Investments Classified by Contractual Maturity Date
The amortized cost and fair value of available-for-sale debt securities by expected maturity for mortgage-backed securities and contractual maturity for other debt securities at March 31, 2013 are as follows:
 
 
Available-for-Sale
 
 
Amortized
Cost
 
Fair
Value
 
Due in one year or less
$
411

 
$
411

 
Due after one year through five years
99

 
99

 
Due after five years through ten years
105

 
105

 
Total(1)
$
615

 
$
615

 
 
 
 
 
 
(1)
Actual maturities may differ from contractual maturities because borrowers may have the right to call or prepay their obligations with or without prepayment penalties.
The following tables provide information regarding Merrill Lynch’s net credit default protection associated with its funded and unfunded commercial loans as of March 31, 2013 and December 31, 2012:

Net Credit Default Protection by Maturity Profile
 
 
March 31,
2013
December 31,
2012
Less than or equal to one year
27
%
25
%
Greater than one year and less than or equal to five years
73

75

Total net credit default protection
100
%
100
%
 
 
 
Realized Gain (Loss) on Investments
The proceeds and gross realized gains (losses) from the sale of available-for-sale securities during the three months ended March 31, 2013 and March 31, 2012 are as follows:
(dollars in millions)
 
Three Months Ended March 31, 2013
 
Three Months Ended March 31, 2012
Proceeds
$
—

 
$
3

Gross realized gains
—

 
—

Gross realized losses
—

 
—