Trading Assets and Liabilities and Derivatives(Tables)

6 Months Ended

Jun. 30, 2015

Trading Assets and Liabilities and Derivatives [Abstract]

Trading Securities (and Certain Trading Assets) [Table Text Block]

(Dollars in millions)	June 30, 2015		December 31, 2014
Trading Assets and Derivative Instruments:
U.S. Treasury securities		$556		$267
Federal agency securities	560		547
U.S. states and political subdivisions	32		42
MBS - agency	612		545
CLO securities	2		3
Corporate and other debt securities	577		509
CP	165		327
Equity securities	58		45
Derivative instruments 1	1,208		1,307
Trading loans 2	2,668		2,610
Total trading assets and derivative instruments		$6,438		$6,202
Trading Liabilities and Derivative Instruments:
U.S. Treasury securities		$613		$485
MBS - agency	1		1
Corporate and other debt securities	294		279
Derivative instruments 1	400		462
Total trading liabilities and derivative instruments		$1,308		$1,227

¹ Amounts include the impact of offsetting cash collateral received from and paid to the same derivative counterparties and the impact of netting derivative assets and derivative liabilities when a legally enforceable master netting agreement or similar agreement exists.

² Includes loans related to TRS.

Trading Assets and Liabilities and Derivatives [Text Block]

NOTE 3 - TRADING ASSETS AND LIABILITIES AND DERIVATIVE INSTRUMENTS

The fair values of the components of trading assets and liabilities and derivative instruments were as follows:

(Dollars in millions)	June 30, 2015		December 31, 2014
Trading Assets and Derivative Instruments:
U.S. Treasury securities		$556		$267
Federal agency securities	560		547
U.S. states and political subdivisions	32		42
MBS - agency	612		545
CLO securities	2		3
Corporate and other debt securities	577		509
CP	165		327
Equity securities	58		45
Derivative instruments 1	1,208		1,307
Trading loans 2	2,668		2,610
Total trading assets and derivative instruments		$6,438		$6,202
Trading Liabilities and Derivative Instruments:
U.S. Treasury securities		$613		$485
MBS - agency	1		1
Corporate and other debt securities	294		279
Derivative instruments 1	400		462
Total trading liabilities and derivative instruments		$1,308		$1,227

¹ Amounts include the impact of offsetting cash collateral received from and paid to the same derivative counterparties and the impact of netting derivative assets and derivative liabilities when a legally enforceable master netting agreement or similar agreement exists.

² Includes loans related to TRS.

Various trading products and derivative instruments are used as part of the Company’s overall balance sheet management strategies and to support client requirements executed through the Bank and/or its broker/dealer subsidiary. The Company manages the potential market volatility associated with trading instruments with appropriate risk management strategies. The size, volume, and nature of the trading products and derivative instruments can vary based on economic conditions as well as client-specific and Company-specific asset or liability positions. Product offerings to clients include debt securities, loans traded in the secondary market, equity securities, derivative contracts, and other similar financial instruments. Other trading-related activities include acting as a market maker for certain debt and equity securities and derivatives transactions. The Company also uses derivatives to manage its interest rate and market risk from non-trading activities. The Company has policies and procedures to manage market risk associated with client trading and non-trading activities, and assumes a limited degree of market risk by managing the size and nature of its exposure.

The Company has pledged $1.1 billion of trading securities to secure $1.1 billion of repurchase agreements, and has pledged $40 million of trading securities under other arrangements at both June 30, 2015 and December 31, 2014, respectively. Additionally, the Company has pledged $341 million and $202 million of trading securities to secure certain derivative agreements at June 30, 2015 and December 31, 2014, respectively.