Investments and Related Matters.

Investment

Investments, and securities sold, not yet purchased consist of equities, bonds, bank debt and other corporate obligations, and derivatives, all of which are reported at fair value in our condensed consolidated balance sheets. See Note 5, "Fair Value Measurements - Investment," for details of the investments for our Investment segment.

Our Investment segment assesses the applicability of equity method accounting with respect to their investments based on a combination of qualitative and quantitative factors, including overall stock ownership of the Investment Funds combined with those of our affiliates along with board of directors representation.

Our Investment segment applied the fair value option to certain of its investments that would have otherwise been subject to the equity method of accounting. As of both June 30, 2015 and December 31, 2014, the fair value of these investments was less than $1 million. During the three months ended June 30, 2015 and 2014, our Investment segment recorded gains (losses) of $1 million and $(1) million, respectively, associated with these investments. During the six months ended June 30, 2015 and 2014, our Investment segment recorded (losses) gains of $(1) million and $1 million, respectively, associated with these investments. Such amounts are included in net gain from investment activities in our condensed consolidated statements of operations.

We believe that these investments to which we applied the fair value option are not material, individually or in the aggregate, to our condensed consolidated financial statements.

The portion of trading gains that relates to trading securities still held by our Investment segment for the three months ended June 30, 2015 and 2014 was $229 million and approximately $1.6 billion, respectively, and for the six months ended June 30, 2015 and 2014 was $624 million and approximately $1.7 billion, respectively.

Other Segments

The carrying value of investments held by our Automotive, Energy, Railcar, Gaming and Home Fashion segments and our Holding Company consist of the following:



	June 30, 2015		December 31, 2014
	(in millions)
Equity method investments	$	306	$	298
Other investments	208		241
	$	514	$	539

Our Holding Company applies the fair value option to its investments that would otherwise be subject to the equity method of accounting. We record unrealized gains and losses for the change in fair value of such investments as a component of net gain from investment activities in the condensed consolidated statements of operations.

During the six months ended June 30, 2015, our Energy segment received proceeds of $68 million for the sale of a portion of its investment in available-for-sale securities. The aggregate cost basis for the available-for-sale securities sold was $48 million. Upon the sale of the available-for-sale securities, our Energy segment reclassified an unrealized gain of $20 million from accumulated other comprehensive loss and recognized a realized gain in net gain from investment activities in the condensed consolidated statements of operations for the six months ended June 30, 2015. At the end of the first quarter of 2015, our Energy segment's remaining available-for-sale securities, with an aggregate cost basis of $26 million, were reclassified to trading securities based on our Energy segment's ability and intent with respect to the securities. In connection with the transfer to trading securities, an unrealized gain of $12 million previously recorded in accumulated other comprehensive loss was reclassified to net gain from investment activities in the condensed consolidated statements of operations for the six months ended June 30, 2015. During the three months ended June 30, 2015, the trading securities were sold, and our Energy segment received proceeds of $38 million and recognized an additional realized gain of less than $1 million in net gain from investment activities in the condensed consolidated statements of operations for the three and six months ended June 30, 2015.