XML 57 R34.htm IDEA: XBRL DOCUMENT v3.21.2
Consolidated Investment Products (CIP) (Tables)
6 Months Ended
Jun. 30, 2021
Consolidated Investment Products [Abstract]  
Balances Related To CIP
The following table presents the balances related to CIP that are included on the Condensed Consolidated Balance Sheets as well as Invesco’s net interest in the CIP for each period presented. See the company’s most recently filed Form 10-K for additional disclosures on valuation methodology and fair value.
As of
$ in millionsJune 30, 2021December 31, 2020
Cash and cash equivalents of CIP404.1 301.7 
Accounts receivable and other assets of CIP488.3 175.5 
Investments of CIP8,304.8 7,910.0 
Less: Debt of CIP (6,750.7)(6,714.1)
Less: Other liabilities of CIP(1,118.6)(588.6)
Less: Retained earnings0.1 0.1 
Less: Accumulated other comprehensive income, net of tax— — 
Less: Equity attributable to redeemable noncontrolling interests(363.9)(211.8)
Less: Equity attributable to nonredeemable noncontrolling interests(517.9)(446.3)
Invesco’s net interests in CIP446.2 426.5 
Condensed Consolidating Statement Of Income Line Items Reflecting Impact Of Consolidation Of Investment Products Into The Condensed Consolidated Statements Of Income The following table reflects the impact of consolidation of investment products into the Condensed Consolidated Statements of Income for the three and six months ended June 30, 2021 and 2020:
Three months ended June 30,Six months ended June 30,
$ in millions2021202020212020
Total operating revenues(10.2)(10.5)(20.3)(19.4)
Total operating expenses9.0 1.5 15.9 18.5 
Operating income(19.2)(12.0)(36.2)(37.9)
Equity in earnings of unconsolidated affiliates(27.2)53.4 (61.5)36.8 
Interest and dividend income— (0.1)— (0.3)
Other gains and losses, net(8.0)(28.6)(6.8)13.4 
Interest and dividend income of CIP66.5 79.7 135.2 164.9 
Interest expense of CIP(38.4)(52.5)(79.3)(109.4)
Other gains/(losses) of CIP, net93.9 (77.7)160.8 (126.1)
Income before income taxes67.6 (37.8)112.2 (58.6)
Income tax provision— — — — 
Net income67.6 (37.8)112.2 (58.6)
Net (income)/loss attributable to noncontrolling interests in consolidated entities
(67.6)37.7 (112.2)58.4 
Net income attributable to Invesco Ltd.— (0.1)— (0.2)
VIE Balance Sheets Consolidated In Period The table below illustrates the summary balance sheet amounts related to these products before consolidation into the company. The balances below are reflective of the balances existing at the consolidation date after the initial funding of the investments by the company and unrelated third-party investors. The current period activity for the consolidated funds, including the initial funding and subsequent investment of initial cash balances into underlying investments of CIP, is reflected in the company’s Condensed Consolidated Financial Statements.
For the six months ended June 30, 2021For the six months ended June 30, 2020
$ in millionsVIEsVOEsVIEsVOEs
Cash and cash equivalents of CIP7.7 — 9.1 — 
Accounts receivable and other assets of CIP3.4 1.0 1.2 — 
Investments of CIP242.9 131.4 114.2 — 
Total assets254.0 132.4 124.5 — 
Debt of CIP34.1 — 75.8 — 
Other liabilities of CIP206.2 1.0 37.8 — 
Total liabilities240.3 1.0 113.6 — 
Total equity13.7 131.4 10.9 — 
Total liabilities and equity254.0 132.4 124.5 — 
The amounts deconsolidated from the Condensed Consolidated Balance Sheets are illustrated in the table below. There was no net impact to the Condensed Consolidated Statements of Income for the six months ended June 30, 2021 and 2020 from the deconsolidation of these investment products.
For the six months ended June 30, 2021For the six months ended June 30, 2020
$ in millionsVIEsVOEsVIEsVOEs
Cash and cash equivalents of CIP6.1 0.1 0.3 0.2 
Accounts receivable and other assets of CIP1.8 0.1 2.8 1.1 
Investments of CIP284.4 27.6 216.8 134.1 
Total assets292.3 27.8 219.9 135.4 
Debt of CIP258.3 — — — 
Other liabilities of CIP17.3 — 2.0 — 
Total liabilities275.6 — 2.0 — 
Total equity16.7 27.8 217.9 135.4 
Total liabilities and equity292.3 27.8 219.9 135.4 
Fair Value Hierarchy Levels Of Investments Held And Notes Issued By Consolidated Investment Products
The following tables present the fair value hierarchy levels of certain CIP balances which are measured at fair value as of June 30, 2021 and December 31, 2020:
As of June 30, 2021
$ in millionsFair Value MeasurementsQuoted Prices in Active Markets for Identical Assets (Level 1)Significant Other Observable Inputs (Level 2)Significant Unobservable Inputs
(Level 3)
Investments Measured at NAV as a practical expedient
Assets:
Bank loans7,053.8 — 7,053.8 — — 
Bonds562.2 — 562.2 — — 
Equity securities343.7 258.1 85.6 — — 
Equity and fixed income mutual funds33.5 14.6 18.9 — — 
Investments in other private equity funds311.6 — 8.1 — 303.5 
Total assets at fair value8,304.8 272.7 7,728.6 — 303.5 
As of December 31, 2020
$ in millionsFair Value MeasurementsQuoted Prices in Active Markets for Identical Assets (Level 1)Significant Other Observable Inputs (Level 2)Significant Unobservable Inputs
(Level 3)
Investments Measured at NAV as a practical expedient
Assets:
Bank loans6,864.5 — 6,864.5 — — 
Bonds539.0 0.6 538.4 — — 
Equity securities137.2 61.3 75.9 — — 
Equity and fixed income mutual funds103.0 91.2 11.8 — — 
Investments in other private equity funds266.3 — 8.1 — 258.2 
Total assets at fair value7,910.0 153.1 7,498.7 — 258.2 
Beginning And Ending Fair Value Measurements For Level 3 Assets And Liabilities
The following tables show a reconciliation of the beginning and ending fair value measurements for level 3 assets using significant unobservable inputs:
Three months ended June 30, 2020Six months ended June 30, 2020
$ in millionsLevel 3 AssetLevel 3 Assets
Beginning balance89.4 78.6 
Deconsolidation of CIP(89.4)(89.4)
Gains and losses included in the Condensed Consolidated Statements of Income— 10.8 
Ending balance— — 
Fair Value Inputs, Assets and Liabilities, Quantitative Information, Consolidated Investment Products
The table below summarizes as of June 30, 2021 and December 31, 2020, the nature of investments that are valued using the NAV as a practical expedient and any related liquidation restrictions or other factors which may impact the ultimate value realized. These investments are valued on a three-month lag based on the availability of fund financial information.
June 30, 2021December 31, 2020
in millions, except term dataFair ValueTotal Unfunded Commitments
Weighted Average Remaining Term (2)
Fair ValueTotal Unfunded Commitments
Weighted Average Remaining Term (2)
Private equity funds (1)
$303.5 $87.46.6 years$258.2 $110.1 6.7 years
____________
(1)    These investments are not subject to redemption; however, for certain funds, the investors may sell or transfer their interest, which may require approval by the general partner of the underlying funds.
(2)    These investments are expected to be returned through distributions because of liquidations of the funds’ underlying assets over the weighted average periods indicated.