CASH, CASH EQUIVALENTS AND INVESTMENTS

Cadence’s cash, cash equivalents and short-term investments at fair value as of December 31, 2016 and January 2, 2016 were as follows:



	As of
	December 31, 2016		January 2, 2016
	(In thousands)
Cash and cash equivalents	$	465,232	$	616,686
Short-term investments	3,057		94,498
Cash, cash equivalents and short-term investments	$	468,289	$	711,184

Cash and Cash Equivalents

The following table summarizes Cadence’s cash and cash equivalents at fair value as of December 31, 2016 and January 2, 2016:



	As of
	December 31, 2016		January 2, 2016
	(In thousands)
Cash and interest bearing deposits	$	227,508	$	255,995
Money market funds	237,724		360,691
Total cash and cash equivalents	$	465,232	$	616,686

Short-Term Investments

The following tables summarize Cadence’s short-term investments as of December 31, 2016 and January 2, 2016:



	As of December 31, 2016
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
	(In thousands)
Marketable equity securities	$	2,131	$	926	$	—	$	3,057



	As of January 2, 2016
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
	(In thousands)
Corporate debt securities	$	34,905	$	1	$	(77	)	$	34,829
Bank certificates of deposit	15,049		1		(4		)	15,046
United States Treasury securities	36,372		2		(88		)	36,286
United States government agency securities	4,151		1		—			4,152
Commercial paper	1,993		—		—			1,993
Marketable debt securities	92,470		5		(169		)	92,306
Marketable equity securities	1,817		375		—			2,192
Total short-term investments	$	94,287	$	380	$	(169	)	$	94,498

Realized gains and losses from the sale of marketable debt and equity securities are recorded in other income, net in the consolidated income statements.

Non-Marketable Investments

Cadence’s non-marketable investments generally consist of voting preferred stock, convertible debt or other instruments of privately-held entities and are included in other assets on Cadence’s consolidated balance sheets. If Cadence determines that it has the ability to exercise significant influence over the issuer, which may include considering whether the investments are in-substance common stock, the investment is accounted for using the equity method.

Cadence records in the consolidated income statements as other income, net, realized gains and losses from the sale of non-marketable investments, write downs related to cost method investments due to other-than-temporary declines in value and its proportional share of issuers’ gains or losses related to equity method investments.

The equity method income or loss recorded by Cadence is based on its percentage ownership in the issuer.

Cadence’s non-marketable investments as of December 31, 2016 and January 2, 2016 were as follows:



	As of
	December 31, 2016		January 2, 2016
	(In thousands)
Cost method	$	532	$	1,081
Equity method	2,634		2,836
Total non-marketable investments	$	3,166	$	3,917