The FHLBNY has classified its grantor trusts as equity investments. The carrying value of equity investments in the Statements of

Condition, and the types of assets in the grantor trusts were as follows (in thousands):

(a)The intent of the grantor trusts is to set aside cash to meet current and future payments for a supplemental unfunded pension

plan. Neither the pension plans nor the employees of the FHLBNY own the trusts.

(b)Changes in unrealized gains and losses are recorded through earnings, specifically in Other income in the Statements of Income.

(c)The grantor trusts invest in money market, equity and fixed income and bond funds. Daily net asset values (NAVs) are readily

available and investments are redeemable at short notice. NAVs are the fair values of the funds in the grantor trusts. The grantor