v3.26.1
FAIR VALUE OF FINANCIAL INSTRUMENTS
 6 Months Ended
Jun. 30, 2026
Disclosure of detailed information about financial instruments [abstract]  
FAIR VALUE OF FINANCIAL INSTRUMENTS RISK MANAGEMENT AND FINANCIAL INSTRUMENTS
a) Risk Management
The company’s activities expose it to a variety of financial risks, including market risk (i.e., commodity price risk, interest rate risk, and foreign currency risk), credit risk and liquidity risk. We use financial instruments primarily to manage these risks.
There have been no material changes to the company’s financial risk exposure or risk management activities since December 31, 2025. Please refer to Note 26 of the December 31, 2025 audited consolidated financial statements for a detailed description of the company’s financial risk exposure and risk management activities.
b) Financial Instruments
The following table lists the company’s financial instruments by their carrying value and fair value as at June 30, 2026 and December 31, 2025:
20262025
AS AT JUN. 30, 2026 AND DEC. 31, 2025
(MILLIONS)
Carrying
Value		Fair
Value		Carrying
Value		Fair
Value
Financial assets
Cash and cash equivalents$14,885 $14,885 $16,242 $16,242 
Other financial assets
Government bonds2,063 2,063 2,351 2,351 
Corporate bonds2,577 2,577 3,211 3,211 
Fixed income securities and other10,078 10,078 8,931 8,931 
Common shares and warrants7,315 7,315 6,589 6,589 
Loans and notes receivable10,486 10,486 8,951 8,951 
32,519 32,519 30,033 30,033 
Accounts receivable and other1
22,125 22,125 21,925 21,925 
$69,529 $69,529 $68,200 $68,200 
Financial liabilities
Corporate borrowings$14,711 $13,960 $14,301 $13,768 
Non-recourse borrowings of managed entities
Property-specific borrowings229,069 227,372 228,414 227,703 
Subsidiary borrowings21,202 21,147 16,897 17,044 
250,271 248,519 245,311 244,747 
Accounts payable and other2
43,351 43,351 47,257 47,257 
Subsidiary equity obligations3,931 3,931 3,808 3,808 
$312,264 $309,761 $310,677 $309,580 
1.Excludes prepaid expenses and other assets.
2.Excludes lease liabilities.
c) Fair Value Hierarchy Levels
The following table categorizes financial assets and liabilities, which are carried at fair value, based upon the fair value hierarchy levels:
20262025
AS AT JUN. 30, 2026 AND DEC. 31, 2025
(MILLIONS)
Level 1
Level 2
Level 3
Level 1Level 2Level 3
Financial assets
Other financial assets
Government bonds$69 $1,501 $— $42 $1,360 $— 
Corporate bonds— 1,640 929 — 1,658 810 
Fixed income securities and other945 979 7,964 304 943 7,412 
Common shares and warrants1,162 989 5,164 387 1,543 4,659 
2,176 5,109 14,057 733 5,504 12,881 
Accounts receivable and other1
— 1,988 1,332 — 1,861 1,207 
$2,176 $7,097 $15,389 $733 $7,365 $14,088 
Financial liabilities
Accounts payable and other1
$130 $3,770 $2,854 $156 $3,877 $2,349 
1.Financial assets and liabilities categorized in level 3 primarily relate to derivative assets and liabilities included in accounts receivable and other, and accounts payable and other, respectively.

Fair values of financial instruments are determined by reference to quoted bid or ask prices, as appropriate. If bid and ask prices are unavailable, the closing price of the most recent transaction of that instrument is used. In the absence of an active market, fair values are determined based on prevailing market rates for instruments with similar characteristics and risk profiles or internal or external valuation models, such as option pricing models and discounted cash flow analysis, using observable market inputs.
Fair values determined using valuation models requiring the use of unobservable inputs (Level 3 financial assets and liabilities) include assumptions concerning the amount and timing of estimated future cash flows and discount rates. In determining those unobservable inputs, the company uses observable external market inputs such as interest rate yield curves, currency rates and price and rate volatilities, as applicable, to develop assumptions regarding those unobservable inputs.
The following table presents the changes in the balance of financial assets and liabilities classified as Level 3 for the periods ended June 30, 2026:
Three Months EndedSix Months Ended
AS AT AND FOR THE PERIODS ENDED JUN. 30, 2026
(MILLIONS)
Financial
Assets		Financial
Liabilities		Financial
Assets		Financial
Liabilities
Balance, beginning of period$14,776 $2,686 $14,088 $2,349 
Fair value changes in net income937 (257)1,457 (239)
Fair value changes in other comprehensive income1
206 115 62 383 
Transfers in— — 605 — 
Transfers out(1,413)(175)(1,413)(199)
Additions, net883 485 590 560 
Balance, end of period$15,389 $2,854 $15,389 $2,854 
1.Includes foreign currency translation.