
	March 31, 2020
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Market Value (A)
Type of issue:
Money market securities, cash and other cash equivalents	$	8,519.0	$	—	$	—	$	8,519.0
Available-for-sale securities:
Corporate bonds	10,802.4		226.4		(33.0)		10,995.8
Asset-backed securities	4,056.7		27.4		(42.1)		4,042.0
U.S. Treasury securities	3,585.9		129.4		—		3,715.3
U.S. government agency securities	1,491.4		61.0		—		1,552.4
Canadian government obligations and Canadian government agency obligations	1,007.0		16.2		(0.3)		1,022.9
Canadian provincial bonds	731.4		24.4		—		755.8
Municipal bonds	581.4		17.0		(0.5)		597.9
Other securities	1,291.9		50.7		(1.1)		1,341.5

Total available-for-sale securities	23,548.1		552.5		(77.0)		24,023.6

Total corporate investments and funds held for clients	$	32,067.1	$	552.5	$	(77.0)	$	32,542.6

(A) Included within available-for-sale securities are corporate investments with fair values of $3.2 million and funds held for clients with fair values of $24,020.4 million. All available-for-sale securities were included in Level 2 of the fair value hierarchy.


	June 30, 2019
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Market Value (B)
Type of issue:
Money market securities, cash and other cash equivalents	$	6,796.2	$	—	$	—	$	6,796.2
Available-for-sale securities:
Corporate bonds	10,691.8		182.8		(6.7)		10,867.9
Asset-backed securities	4,658.3		37.8		(5.4)		4,690.7
U.S. Treasury securities	2,933.0		23.8		(8.0)		2,948.8
U.S. government agency securities	2,612.0		17.7		(5.8)		2,623.9
Canadian government obligations and Canadian government agency obligations	1,164.1		7.0		(6.0)		1,165.1
Canadian provincial bonds	800.2		14.5		(0.5)		814.2
Municipal bonds	596.1		16.4		(0.1)		612.4
Other securities	1,116.1		20.6		(0.6)		1,136.1

Total available-for-sale securities	24,571.6		320.6		(33.1)		24,859.1

Total corporate investments and funds held for clients	$	31,367.8	$	320.6	$	(33.1)	$	31,655.3

(B) Included within available-for-sale securities are corporate investments with fair values of $271.9 million and funds held for clients with fair values of $24,587.2 million. All available-for-sale securities were included in Level 2 of the fair value hierarchy.

For a description of the fair value hierarchy and the Company's fair value methodologies, including the use of an independent third-party pricing service, see Note 1 “Summary of Significant Accounting Policies” in the Company's Annual Report on Form 10-K for fiscal 2019. The Company did not transfer any assets between Levels during the nine months ended March 31, 2020 or fiscal 2019. In addition, the Company concurred with and did not adjust the prices obtained from the independent pricing service. The Company had no available-for-sale securities included in Level 1 or Level 3 at March 31, 2020.


	March 31, 2020
	Securities in Unrealized Loss Position Less Than 12 Months						Securities in Unrealized Loss Position Greater Than 12 Months						Total
	Gross Unrealized Losses		Fair Market Value		Gross Unrealized Losses		Fair Market Value		Gross Unrealized Losses		Fair Market Value
Corporate bonds	$	(32.9)	$	2,811.0	$	(0.1)	$	12.0	$	(33.0)	$	2,823.0
Asset-backed securities	(41.2)		1,954.6		(0.9)		281.6		(42.1)		2,236.2
U.S. Treasury securities	—		2.5		—		—		—		2.5
U.S. government agency securities	—		—		—		—		—		—
Canadian government obligations and Canadian government agency obligations	(0.3)		24.6		—		—		(0.3)		24.6
Canadian provincial bonds	—		7.7		—		—		—		7.7
Municipal bonds	(0.5)		44.1		—		—		(0.5)		44.1
Other securities	(1.1)		89.1		—		3.2		(1.1)		92.3
	$	(76.0)	$	4,933.6	$	(1.0)	$	296.8	$	(77.0)	$	5,230.4


	June 30, 2019
	Securities in Unrealized Loss Position Less Than 12 Months						Securities in Unrealized Loss Position Greater Than 12 Months						Total
	Gross Unrealized Losses		Fair Market Value		Gross Unrealized Losses		Fair Market Value		Gross Unrealized Losses		Fair Market Value
Corporate bonds	$	(0.6)	$	151.9	$	(6.1)	$	2,055.6	$	(6.7)	$	2,207.5
Asset-backed securities	(0.2)		171.9		(5.2)		2,083.5		(5.4)		2,255.4
U.S. Treasury securities	—		1.8		(8.0)		1,159.4		(8.0)		1,161.2
U.S. government agency securities	—		—		(5.8)		1,671.4		(5.8)		1,671.4
Canadian government obligations and Canadian government agency obligations	(6.0)		662.7		—		1.1		(6.0)		663.8
Canadian provincial bonds	(0.3)		81.5		(0.2)		50.1		(0.5)		131.6
Municipal bonds	—		1.5		(0.1)		23.3		(0.1)		24.8
Other securities	(0.1)		36.4		(0.5)		148.1		(0.6)		184.5
	$	(7.2)	$	1,107.7	$	(25.9)	$	7,192.5	$	(33.1)	$	8,300.2

At March 31, 2020, Corporate bonds include investment-grade debt securities with a wide variety of issuers, industries, and sectors, primarily carry credit ratings of A and above, and have maturities ranging from April 2020 through March 2030.

At March 31, 2020, asset-backed securities include AAA-rated senior tranches of securities with predominantly prime collateral of fixed-rate auto loan, credit card, equipment lease, and rate reduction receivables with fair values of $2,045.2 million, $1,483.6 million, $391.5 million, and $121.0 million, respectively. These securities are collateralized by the cash flows of the

underlying pools of receivables. The primary risk associated with these securities is the collection risk of the underlying receivables. All collateral on such asset-backed securities has performed as expected through March 31, 2020.

At March 31, 2020, U.S. government agency securities primarily include debt directly issued by Federal Farm Credit Banks and Federal Home Loan Banks with fair values of $698.4 million and $648.5 million, respectively. U.S. government agency securities represent senior, unsecured, non-callable debt that primarily carry ratings of Aaa by Moody's, and AA+ by Standard & Poor's, with maturities ranging from April 2020 through December 2029.

At March 31, 2020, other securities and their fair value primarily include U.S. government agency commercial mortgage-backed securities of $859.0 million issued by Federal Home Loan Mortgage Corporation and Federal National Mortgage Association, AA-rated United Kingdom Gilt securities of $190.2 million, and AAA-rated and AA-rated supranational bonds of $91.7 million.


	March 31,		June 30,
	2020		2019
Corporate investments:
Cash and cash equivalents	$	1,705.0	$	1,949.2
Short-term marketable securities	3.2		10.5
Long-term marketable securities (a)	—		261.4
Total corporate investments	$	1,708.2	$	2,221.1

Funds held for clients represent assets that, based upon the Company's intent, are restricted for use solely for the purposes of satisfying the obligations to remit funds relating to the Company’s payroll and payroll tax filing services, which are classified as client funds obligations on our Consolidated Balance Sheets.


	March 31,		June 30,
	2020		2019
Funds held for clients:
Restricted cash and cash equivalents held to satisfy client funds obligations	$	6,814.0	$	4,847.0
Restricted short-term marketable securities held to satisfy client funds obligations	5,799.0		5,013.9
Restricted long-term marketable securities held to satisfy client funds obligations	18,221.4		19,573.3
Total funds held for clients	$	30,834.4	$	29,434.2

Client funds obligations represent the Company's contractual obligations to remit funds to satisfy clients' payroll, tax, and other payee payment obligations and are recorded on the Consolidated Balance Sheets at the time that the Company impounds funds from clients. The client funds obligations represent liabilities that will be repaid within one year of the balance sheet date. The Company has reported client funds obligations as a current liability on the Consolidated Balance Sheets totaling $30,359.0 million and $29,144.5 million at March 31, 2020 and June 30, 2019, respectively. The Company has classified funds held for clients as a current asset since these funds are held solely for the purpose of satisfying the client funds obligations. Of the Company’s funds held for clients at March 31, 2020 and June 30, 2019, $27,689.8 million and $26,648.0 million, respectively, are held in the grantor trust. The liabilities held within the trust are intercompany liabilities to other Company subsidiaries and are eliminated in consolidation.

The Company has reported the cash flows related to the purchases of corporate and client funds marketable securities and related to the proceeds from the sales and maturities of corporate and client funds marketable securities on a gross basis in the investing section of the Statements of Consolidated Cash Flows. The Company has reported the cash and cash equivalents related to client funds investments with original maturities of ninety days or less, within the beginning and ending balances of cash, cash equivalents, restricted cash, and restricted cash equivalents. These amounts have been reconciled to the Consolidated Balance Sheets on the Statements of Consolidated Cash Flows. The Company has reported the cash flows related to the cash

Approximately 77% of the available-for-sale securities held a AAA-rating or AA-rating at March 31, 2020, as rated by Moody's, Standard & Poor's, DBRS for Canadian dollar-denominated securities, and Fitch for asset-backed and commercial mortgage-backed securities. All available-for-sale securities were rated as investment grade at March 31, 2020.