v3.26.1
Investments
6 Months Ended
Jun. 30, 2026
Investments, All Other Investments [Abstract]  
Investments
4. Investments

The following table outlines the Company’s investments:

(In millions)June 30, 2026December 31, 2025
Asset Management
Investments, at fair value$2,173 $1,696 
Equity method investments1,143 1,278 
Performance allocations2,997 3,240 
Other investments12 12 
Total Investments – Asset Management
6,325 6,226 
Retirement Services
AFS securities, at fair value229,841 218,644 
Trading securities, at fair value7,608 6,863 
Equity securities, at fair value697 1,088 
Mortgage loans, at fair value101,523 93,404 
Investment funds3,506 2,257 
Policy loans293 301 
Funds withheld at interest17,589 19,628 
Derivative assets11,034 9,190 
Short-term investments248 193 
Other investments4,803 4,492 
Total Investments, including related parties – Retirement Services
377,142 356,060 
Total Investments$383,467 $362,286 
Asset Management

Net Gains (Losses) from Investment Activities

The following outlines realized and net change in unrealized gains (losses) reported in net gains (losses) from investment activities:

Three months ended June 30,Six months ended June 30,
(In millions)2026202520262025
Realized gains (losses) on sales of investments, net$16 $$(55)$(6)
Net change in unrealized gains (losses) due to changes in fair value47 (271)(280)
Net gains (losses) from investment activities$63 $(268)$(49)$(286)

Performance Allocations

Performance allocations receivable and those of consolidated VIEs are recorded within investments and investments of consolidated VIEs, respectively, in the condensed consolidated statements of financial condition. The following table presents the performance allocations:

(In millions)June 30, 2026December 31, 2025
Performance allocations$2,997 $3,240 
Performance allocations – consolidated VIEs233 314 
Total performance allocations$3,230 $3,554 

The table below provides a roll forward of the performance allocations balance:

(In millions)Total
Total performance allocations, January 1, 2026
$3,554 
Change in fair value of funds475 
Fund distributions to the Company(799)
Total performance allocations, June 30, 2026
$3,230 

The change in fair value of funds excludes the general partner obligation to return previously distributed performance allocations, which is recorded in due to related parties in the condensed consolidated statements of financial condition.

The timing of the payment of performance allocations due to the general partner or investment manager varies depending on the terms of the applicable fund agreements. Generally, performance allocations with respect to the equity funds and certain credit funds we manage are payable and are distributed to the fund’s general partner upon realization of an investment if the fund’s cumulative returns are in excess of the preferred return.
Retirement Services

AFS Securities

The following table represents the amortized cost, allowance for credit losses, gross unrealized gains and losses and fair value of Athene’s AFS investments by asset type:

June 30, 2026
(In millions)Amortized CostAllowance for Credit LossesGross Unrealized GainsGross Unrealized LossesFair Value
AFS securities
U.S. government and agencies$24,849 $— $27 $(1,460)$23,416 
U.S. state, municipal and political subdivisions690 — — (164)526 
Foreign governments2,384 — 29 (682)1,731 
Corporate101,635 (23)735 (9,422)92,925 
CLO21,061 — 362 (91)21,332 
ABS36,714 (185)484 (477)36,536 
CMBS12,620 (78)57 (315)12,284 
RMBS8,490 (417)217 (277)8,013 
Total AFS securities208,443 (703)1,911 (12,888)196,763 
AFS securities – related parties
Corporate3,354 — 23 (13)3,364 
CLO6,702 — 71 (27)6,746 
ABS23,040 (1)28 (210)22,857 
CMBS111 — — — 111 
Total AFS securities – related parties33,207 (1)122 (250)33,078 
Total AFS securities, including related parties$241,650 $(704)$2,033 $(13,138)$229,841 

December 31, 2025
(In millions)Amortized CostAllowance for Credit LossesGross Unrealized GainsGross Unrealized LossesFair Value
AFS securities
U.S. government and agencies$18,008 $— $116 $(1,226)$16,898 
U.S. state, municipal and political subdivisions954 — — (195)759 
Foreign governments2,225 — 32 (598)1,659 
Corporate97,166 (105)1,291 (8,921)89,431 
CLO25,730 — 648 (106)26,272 
ABS35,275 (171)823 (465)35,462 
CMBS13,351 (70)120 (317)13,084 
RMBS9,407 (411)300 (264)9,032 
Total AFS securities202,116 (757)3,330 (12,092)192,597 
AFS securities – related parties
Corporate2,287 — 43 (13)2,317 
CLO7,103 — 121 (21)7,203 
ABS16,500 (1)45 (178)16,366 
CMBS162 — — (1)161 
Total AFS securities – related parties26,052 (1)209 (213)26,047 
Total AFS securities, including related parties$228,168 $(758)$3,539 $(12,305)$218,644 
The amortized cost and fair value of AFS securities, including related parties, are shown by contractual maturity below:

June 30, 2026
(In millions)Amortized CostFair Value
AFS securities
Due in one year or less$2,170 $2,163 
Due after one year through five years26,658 26,302 
Due after five years through ten years26,515 25,488 
Due after ten years74,215 64,645 
CLO, ABS, CMBS and RMBS78,885 78,165 
Total AFS securities208,443 196,763 
AFS securities – related parties
Due in one year or less
Due after one year through five years1,133 1,149 
Due after five years through ten years844 849 
Due after ten years1,370 1,358 
CLO, ABS and CMBS29,853 29,714 
Total AFS securities – related parties33,207 33,078 
Total AFS securities, including related parties$241,650 $229,841 

Actual maturities can differ from contractual maturities as borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.

Unrealized Losses on AFS Securities

The following summarizes the fair value and gross unrealized losses for AFS securities, including related parties, for which an allowance for credit losses has not been recorded, aggregated by asset type and length of time the fair value has remained below amortized cost:

June 30, 2026
Less than 12 months12 months or moreTotal
(In millions)Fair ValueGross Unrealized LossesFair ValueGross Unrealized LossesFair ValueGross Unrealized Losses
AFS securities
U.S. government and agencies$15,091 $(502)$3,440 $(957)$18,531 $(1,459)
U.S. state, municipal and political subdivisions23 (1)498 (163)521 (164)
Foreign governments237 (9)1,271 (673)1,508 (682)
Corporate26,017 (679)35,199 (8,693)61,216 (9,372)
CLO5,379 (39)1,395 (44)6,774 (83)
ABS11,443 (153)4,339 (246)15,782 (399)
CMBS3,383 (26)1,694 (238)5,077 (264)
RMBS838 (6)941 (114)1,779 (120)
Total AFS securities62,411 (1,415)48,777 (11,128)111,188 (12,543)
AFS securities – related parties
Corporate1,498 (11)86 (2)1,584 (13)
CLO1,590 (16)64 (3)1,654 (19)
ABS2,582 (14)1,931 (179)4,513 (193)
CMBS15 — — 18 — 
Total AFS securities – related parties5,685 (41)2,084 (184)7,769 (225)
Total AFS securities, including related parties$68,096 $(1,456)$50,861 $(11,312)$118,957 $(12,768)
December 31, 2025
Less than 12 months12 months or moreTotal
(In millions)Fair ValueGross Unrealized LossesFair ValueGross Unrealized LossesFair ValueGross Unrealized Losses
AFS securities
U.S. government and agencies$5,987 $(96)$4,068 $(1,130)$10,055 $(1,226)
U.S. state, municipal and political subdivisions37 (1)707 (194)744 (195)
Foreign governments84 (11)1,326 (587)1,410 (598)
Corporate13,107 (284)38,209 (8,602)51,316 (8,886)
CLO11,891 (59)1,017 (45)12,908 (104)
ABS6,355 (165)4,873 (263)11,228 (428)
CMBS1,663 (20)1,446 (190)3,109 (210)
RMBS217 (2)839 (90)1,056 (92)
Total AFS securities39,341 (638)52,485 (11,101)91,826 (11,739)
AFS securities – related parties
Corporate170 (1)377 (12)547 (13)
CLO4,215 (19)95 (2)4,310 (21)
ABS2,069 (6)3,076 (162)5,145 (168)
CMBS70 (1)— 75 (1)
Total AFS securities – related parties6,524 (27)3,553 (176)10,077 (203)
Total AFS securities, including related parties$45,865 $(665)$56,038 $(11,277)$101,903 $(11,942)

The following summarizes the number of AFS securities that were in an unrealized loss position, including related parties, for which an allowance for credit losses has not been recorded:

June 30, 2026
Unrealized Loss PositionUnrealized Loss Position 12 Months or More
AFS securities6,551 4,820 
AFS securities – related parties177 66 

The unrealized losses on AFS securities can primarily be attributed to changes in market interest rates since acquisition of the securities. Athene did not recognize the unrealized losses in income, unless as required for hedge accounting, as it intends to hold these securities and it is not more likely than not it will be required to sell a security before the recovery of its amortized cost.
Allowance for Credit Losses

The following table summarizes the activity in the allowance for credit losses for AFS securities by asset type:
Three months ended June 30, 2026
AdditionsReductions
(In millions)Beginning balanceInitial credit lossesSecurities sold during the periodAdditions (reductions) to previously impaired securitiesEnding balance
AFS Securities
Corporate$56 $— $— $(33)$23 
ABS179 — — 185 
CMBS91 — (24)11 78 
RMBS417 (4)417 
Total AFS securities743 (28)(13)703 
AFS securities – related parties, ABS— — — 
Total AFS securities, including related parties$744 $$(28)$(13)$704 

Three months ended June 30, 2025
AdditionsReductions
(In millions)Beginning balanceInitial credit lossesSecurities sold during the periodAdditions (reductions) to previously impaired securitiesEnding balance
AFS securities
Corporate$174 $— $— $— $174 
ABS82 39 (2)11 130 
CMBS60 — — 62 
RMBS392 (3)394 
Total AFS securities708 42 (5)15 760 
AFS securities – related parties, ABS— — — 
Total AFS securities, including related parties$709 $42 $(5)$15 $761 

Six months ended June 30, 2026
AdditionsReductions
(In millions)Beginning balanceInitial credit lossesSecurities sold during the periodAdditions (reductions) to previously impaired securitiesEnding balance
AFS securities
Corporate$105 $— $(49)$(33)$23 
ABS171 — — 14 185 
CMBS70 — (24)32 78 
RMBS411 (18)22 417 
Total AFS securities757 (91)35 703 
AFS securities – related parties, ABS— — — 
Total AFS securities, including related parties$758 $$(91)$35 $704 
Six months ended June 30, 2025
AdditionsReductions
(In millions)Beginning balanceInitial credit lossesSecurities sold during the periodAdditions (reductions) to previously impaired securitiesEnding balance
AFS securities
Corporate$175 $— $— $(1)$174 
ABS76 40 (3)17 130 
CMBS60 — — 62 
RMBS397 (10)394 
Total AFS securities708 45 (13)20 760 
AFS securities – related parties, ABS— — — 
Total AFS securities, including related parties$709 $45 $(13)$20 $761 

Net Investment Income

Net investment income by asset class consists of the following:
Three months ended June 30,Six months ended June 30,
(In millions)2026202520262025
AFS securities$3,114 $2,877 $6,152 $5,541 
Trading securities142 66 264 108 
Equity securities12 29 28 44 
Mortgage loans1,588 1,262 3,132 2,385 
Investment funds18 127 12 165 
Funds withheld at interest222 244 437 509 
Other311 227 559 457 
Investment revenue5,407 4,832 10,584 9,209 
Investment expenses(57)(56)(95)(92)
Net investment income$5,350 $4,776 $10,489 $9,117 

Investment Related Gains (Losses)

Investment related gains (losses) by asset class consists of the following:
Three months ended June 30,Six months ended June 30,
(In millions)2026202520262025
AFS securities1
Gross realized gains on investment activity$745 $1,521 $867 $2,232 
Gross realized losses on investment activity(422)(142)(1,060)(377)
Net realized investment gains (losses) on AFS securities323 1,379 (193)1,855 
Net recognized investment gains (losses) on trading securities64 261 (181)341 
Net recognized investment gains (losses) on equity securities36 (30)51 
Net recognized investment gains (losses) on mortgage loans(588)785 (1,344)1,799 
Net derivative gains (losses)2,633 (1,075)1,692 (2,587)
Provision for credit losses(15)(56)(13)(64)
Other gains (losses), net571 (1,335)980 (2,228)
Investment related gains (losses)$2,989 $(5)$911 $(833)
1 Includes the effects of recognized gains or losses on AFS securities associated with designated hedges.

Proceeds from sales of AFS securities were $10,694 million and $5,865 million for the three months ended June 30, 2026 and 2025, respectively, and $18,462 million and $14,810 million for the six months ended June 30, 2026 and 2025, respectively.
The following table summarizes the change in unrealized gains (losses) on trading and equity securities held as of the respective period end:

Three months ended June 30,Six months ended June 30,
(In millions)2026202520262025
Trading securities$87 $118 $(127)$140 
Equity securities27 (6)39 

Repurchase Agreements

The following table summarizes the remaining contractual maturities of repurchase agreements:

(In millions)June 30, 2026December 31, 2025
Less than 30 days$— $2,796 
91 days to 1 year1,269 — 
Greater than 1 year1,975 3,247 
Payables for repurchase agreements
$3,244 $6,043 

The following table summarizes the securities pledged as collateral for repurchase agreements:

June 30, 2026December 31, 2025
(In millions)Amortized CostFair ValueAmortized CostFair Value
AFS securities
U.S. government and agencies$— $— $2,780 $2,787 
Foreign governments259 190 241 185 
Corporate2,102 1,813 2,022 1,785 
CLO594 590 611 608 
ABS524 505 584 568 
CMBS231 231 197 198 
RMBS87 88 93 94 
Total securities pledged under repurchase agreements$3,797 $3,417 $6,528 $6,225 

As of December 31, 2025, $907 million of repurchase agreements were presented net of reverse repurchase agreements on the condensed consolidated statements of financial condition, and the agreements were net settled during the first quarter of 2026.

Reverse Repurchase Agreements

As of June 30, 2026 and December 31, 2025, amounts loaned under reverse repurchase agreements were $142 million and $1,067 million, respectively, and the fair value of the collateral was $787 million of asset-backed securities and $1,822 million of asset-backed securities and short-term investments, respectively.
Mortgage Loans, including related parties and consolidated VIEs

Mortgage loans include both commercial and residential loans. Athene has elected the fair value option on its mortgage loan portfolio. See note 7 for further fair value option information. The following represents the mortgage loan portfolio, with fair value option loans presented at unpaid principal balance:

(In millions)June 30, 2026December 31, 2025
Commercial mortgage loans$48,372 $38,869 
Commercial mortgage loans under development1,802 1,787 
Total commercial mortgage loans50,174 40,656 
Mark to fair value(1,883)(1,585)
Commercial mortgage loans48,291 39,071 
Residential mortgage loans55,030 55,613 
Mark to fair value260 860 
Residential mortgage loans55,290 56,473 
Mortgage loans$103,581 $95,544 

Athene invests in commercial mortgage loans, primarily on income-producing properties including apartments, industrial properties, office buildings, hotels, and retail buildings. Athene diversifies the commercial mortgage loan portfolio by geographic region and property type to reduce concentration risk. Athene evaluates mortgage loans based on relevant current information to confirm whether properties are performing at a consistent and acceptable level to secure the related debt.

The distribution of commercial mortgage loans, including those under development, by property type and geographic region is as follows:

June 30, 2026December 31, 2025
(In millions, except percentages)Fair ValuePercentage of TotalFair ValuePercentage of Total
Property type
Apartment$15,640 32.4 %$15,458 39.5 %
Industrial10,467 21.6 %8,778 22.5 %
Office building6,367 13.2 %4,530 11.6 %
Hotels5,072 10.5 %2,773 7.1 %
Retail2,591 5.4 %2,061 5.3 %
Other commercial8,154 16.9 %5,471 14.0 %
Total commercial mortgage loans$48,291 100.0 %$39,071 100.0 %
U.S. region
East North Central$2,451 5.1 %$1,883 4.8 %
East South Central381 0.8 %447 1.1 %
Middle Atlantic10,747 22.3 %9,323 23.9 %
Mountain1,877 3.9 %1,605 4.1 %
New England1,184 2.5 %1,088 2.8 %
Pacific6,143 12.7 %6,021 15.4 %
South Atlantic8,404 17.4 %6,919 17.7 %
West North Central787 1.6 %842 2.2 %
West South Central4,128 8.5 %3,175 8.1 %
Total U.S. region36,102 74.8 %31,303 80.1 %
International region
United Kingdom5,336 11.0 %3,085 7.9 %
Other international1
6,853 14.2 %4,683 12.0 %
Total international region12,189 25.2 %7,768 19.9 %
Total commercial mortgage loans$48,291 100.0 %$39,071 100.0 %
1 Represents all other countries, with each individual country comprising less than 5% of the portfolio.
Athene’s residential mortgage loan portfolio primarily consists of first lien residential mortgage loans collateralized by properties in various geographic locations and is summarized by proportion of the portfolio in the following table:

June 30, 2026December 31, 2025
U.S. States
California22.8 %23.0 %
Texas15.6 %15.2 %
Florida10.5 %10.6 %
Other1
42.5 %42.5 %
Total U.S. residential mortgage loan percentage91.4 %91.3 %
International1
8.6 %8.7 %
Total residential mortgage loan percentage100.0 %100.0 %
1 Represents all other states or countries, with each individual state or country comprising less than 5% of the portfolio.

Investment Funds

Athene’s investment fund portfolio strategy primarily focuses on core holdings of origination and retirement services platforms, equity and credit, and other funds. Origination platforms include investments sourced by affiliated platforms that originate loans to third parties and in which Athene gains exposure directly to the loan or indirectly through its ownership of the origination platform and/or securitizations of assets originated by the origination platform. Retirement services platforms include investments in equity of financial services companies. The credit strategy comprises direct origination, asset-backed, multi-credit and opportunistic credit funds focused on generating excess returns through high-quality credit underwriting and origination. The equity strategy comprises private equity, hybrid value, secondaries equity, real estate equity, infrastructure and clean transition equity funds that raise capital from investors to pursue control-oriented investments across the universe of private assets. Investment funds can meet the definition of VIEs. The investment funds do not specify timing of distributions on the funds’ underlying assets.

The following summarizes Athene’s investment funds, including related parties and consolidated VIEs:

June 30, 2026December 31, 2025
(In millions, except percentages)Carrying ValuePercentage of TotalCarrying ValuePercentage of Total
Investment funds
Equity$276 0.9 %$108 0.4 %
Investment funds – related parties
Origination platforms37 0.1 %33 0.1 %
Retirement services platforms2,533 8.4 %1,538 5.9 %
Equity225 0.7 %260 1.0 %
Credit346 1.1 %313 1.2 %
Other89 0.3 %— %
Total investment funds – related parties3,230 10.6 %2,149 8.2 %
Investment funds – consolidated VIEs
Origination platforms9,868 32.6 %9,067 34.7 %
Equity11,164 36.9 %9,553 36.5 %
Credit3,526 11.6 %3,682 14.1 %
Other2,240 7.4 %1,586 6.1 %
Total investment funds – consolidated VIEs26,798 88.5 %23,888 91.4 %
Total investment funds, including related parties and consolidated VIEs$30,304 100.0 %$26,145 100.0 %
Concentrations—The following table represents Athene’s investment concentrations in excess of 10% of stockholders’ equity:

(In millions)June 30, 2026
Investments in Athora1
$3,191 
Investment-grade ABS debt issued by Fox Hedge L.P.3,150 
Investment-grade ABS debt issued by AMAPS 2, LLC1
3,000 
Investment-grade ABS debt issued by AMAPS 3, LLC1
2,995 
Investment-grade ABS debt issued by AP Alkaios (Luxembourg) S.à.r.l.2,775 
Investment-grade ABS debt issued by AMAPS 4, LLC1
2,571 
Investment-grade ABS debt issued by AMAPS 1, LLC1
2,544 
Investment-grade ABS debt issued by AMAPS 5, LLC1
2,405 
December 31, 2025
Investment-grade ABS debt issued by AP Grange Holdings, LLC (“AP Grange”)2
$5,080 
Investments in Atlas Securitized Products Holdings L.P. (“Atlas”)1
3,304 
Investment-grade ABS debt issued by Fox Hedge L.P.3,171 
Investment-grade ABS debt issued by AMAPS 2, LLC1
3,000 
Investment-grade ABS debt issued by AP Alkaios (Luxembourg) S.à.r.l.2,791 
Investment-grade ABS debt issued by AMAPS 1, LLC1
2,550 
1 Amounts are representative of single issuer risk and may only include a portion of the total investments associated with a related party. For Atlas and Athora, see note 16 for additional information.
2 During the second quarter of 2026, AP Grange called the ABS debt outstanding and, as a result, Athene recognized a gain of $673 million.