v3.26.1
Derivative and Hedging (Tables)
6 Months Ended
Jun. 30, 2026
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Summary of Fair Values of Derivatives Instruments Recognized in Condensed Consolidated Statements of Financial Condition

The following table presents the fair values of derivative instruments recognized in the condensed consolidated statements of financial condition at June 30, 2026 and December 31, 2025:

 

Assets

 

 

Liabilities

 

(in millions)

Statement of
Financial
Condition
Classification

 

June 30, 2026

 

 

December 31, 2025

 

 

Statement of
Financial
Condition
Classification

 

June 30, 2026

 

 

December 31, 2025

 

Derivative instruments

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Forward foreign currency
   exchange contracts

Other assets

 

$

5

 

 

$

10

 

 

Other liabilities

 

$

20

 

 

$

1

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Summary of Realized and Unrealized Gains (Losses) Recognized in Condensed Consolidated Statements of Income on Derivative Instruments

The following table presents realized and unrealized gains (losses) recognized in the condensed consolidated statements of income on derivative instruments:

 

 

 

 

Three Months Ended

 

 

Six Months Ended

 

 

 

 

 

June 30,

 

 

June 30,

 

 

 

Statement of Income

 

2026

 

 

2025

 

 

2026

 

 

2025

 

(in millions)

 

Classification

 

Gains (Losses)

 

 

Gains (Losses)

 

Derivative instruments

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Exchange-traded futures(1)

 

Net gain (loss) on investments

 

$

(93

)

 

$

(106

)

 

$

(79

)

 

$

(102

)

Forward foreign currency
   exchange contracts

 

General and administration expense

 

 

18

 

 

 

61

 

 

 

(17

)

 

 

108

 

Total gain (loss) from derivative
   instruments

 

 

 

$

(75

)

 

$

(45

)

 

$

(96

)

 

$

6

 

 

(1)
Amounts for the three months ended June 30, 2026 and 2025 include $125 million and $125 million of losses on futures used in a macro hedging strategy of seed investments, respectively, and $32 million and $19 million of gains on futures used to economically hedge certain deferred cash compensation plans, respectively. Amounts for the six months ended June 30, 2026 and 2025 include $100 million and $115 million of losses on futures used in a macro hedging strategy of seed investments, respectively, and $21 million and $13 million of gains on futures used to economically hedge certain deferred cash compensation plans, respectively.