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Related Party Transactions (Tables)
 12 Months Ended
Dec. 31, 2013
Related Party Transactions [Abstract]  
Schedule of Related Party Transactions
The following tables and discussions below present the more significant related party balances and the income (expense) generated by related party transactions for continuing operations:
 
December 31, 2013
 
December 31, 2012
 
(in millions)
Assets:
 
 
 
Cash
$
172

 
$
193

Securities purchased under agreements to resell(1)
6,924

 
2,160

Other assets
86

 
105

Total assets
$
7,182

 
$
2,458

Liabilities:
 
 
 
Due to affiliates(2)
$
8,742

 
$
9,089

Derivative related liability
—

 
18

Other liabilities
51

 
83

Total liabilities
$
8,793

 
$
9,190

 
(1) 
Securities under an agreement to resell are purchased from HSI and generally have terms of 120 days or less. The collateral underlying the securities purchased under agreements to resell, however, is with an unaffiliated third party. Interest income recognized on these securities is reflected as interest income from HSBC affiliate in the table below.
(2) 
Due to affiliates includes amounts owed to HSBC and its subsidiaries as a result of direct debt issuances as well as HSBC's ownership of our subordinated debt and excludes preferred stock.
Year Ended December 31,
2013
 
2012
2011
 
(in millions)
Income/(Expense):
 
 
 
 
Interest income from HSBC affiliates
$
5

 
$
4

$
6

Interest expense paid to HSBC affiliates(1)
(474
)
 
(552
)
(578
)
Net interest income (loss)
$
(469
)
 
$
(548
)
$
(572
)
Gain (loss) on FVO debt with affiliate
$
18

 
$
(68
)
$
(10
)
Servicing and other fees from HSBC affiliates
26

 
35

20

Support services from HSBC affiliates
(281
)
 
(310
)
(270
)
Stock based compensation expense with HSBC(2)
(4
)
 
(10
)
(8
)

 
(1) 
Includes interest expense paid to HSBC affiliates for debt held by HSBC affiliates as well as net interest paid to or received from HSBC affiliates on risk management hedges related to non-affiliated debt.
(2) 
Employees participate in one or more stock compensation plans sponsored by HSBC. These expenses are included in Salary and employee benefits in our consolidated statement of income (loss). Employees also participate in a defined benefit pension plan and other postretirement benefit plans sponsored by HSBC North America which are discussed in Note 16, “Pension and Other Postretirement Benefits.”
Due to affiliates consists of the following:
 
December 31, 2013
 
December 31, 2012
 
(in millions)
HSBC Private Banking Holdings (Suisse) S.A. and subsidiaries
$
4,300

 
$
5,625

HSBC USA Inc.
3,012

 
2,012

HSBC Holdings plc (includes $496 million and $514 million at December 31, 2013 and December 31, 2012 carried at fair value, respectively)
820

 
842

HSBC North America Holdings Inc.
600

 
600

HSBC Asia Holdings BV
10

 
10

Due to affiliates
$
8,742

 
$
9,089