Investments
The Company earns income on cash balances and investments, as well as on premium trust balances that the Company maintains for premiums collected from insureds but not yet remitted to insurance companies, and funds held under the terms of certain outsourcing agreements to pay certain obligations on behalf of clients. Premium trust balances and a corresponding liability are included in Fiduciary assets and Fiduciary liabilities in the accompanying Consolidated Statements of Financial Position.
The Company's interest-bearing assets and other investments are included in the following categories in the Consolidated Statements of Financial Position (in millions):
|
| | | | | | | |
As of December 31 | 2013 | | 2012 |
Cash and cash equivalents | $ | 477 |
| | $ | 291 |
|
Short-term investments | 523 |
| | 346 |
|
Fiduciary assets (1) | 3,778 |
| | 4,029 |
|
Investments | 132 |
| | 165 |
|
| $ | 4,910 |
| | $ | 4,831 |
|
| |
(1) | Fiduciary assets include funds held on behalf of clients but does not include fiduciary receivables. |
The Company's investments are as follows (in millions): |
| | | | | | | |
As of December 31 | 2013 | | 2012 |
Equity method investments | $ | 113 |
| | $ | 102 |
|
Other investments, at cost (2) | 10 |
| | 43 |
|
Fixed-maturity securities (2) | 9 |
| | 20 |
|
| $ | 132 |
| | $ | 165 |
|
| |
(2) | The reductions in other investments and fixed-maturity securities are primarily due to sales. |
