We use derivatives and other financial instruments as part of our financial risk management programs and as part of our investment operations. Interest rate derivatives (such as interest rate futures, swaps and options), equity derivatives (such as equity futures, swaps and options) and fixed maturity securities are used to economically mitigate interest rate risk, equity risk and credit spread exposure associated with MRBs and embedded derivatives contained in insurance contract liabilities. Interest rate derivatives are used to manage interest rate risk associated with fixed maturity securities as well as other interest rate sensitive assets and liabilities. Equity derivatives are used to economically mitigate financial risk associated with embedded derivatives and MRBs in certain insurance liabilities. In addition, equity derivatives are used to economically hedge certain investments. Foreign exchange derivatives (principally foreign exchange forwards and swaps) are used to economically mitigate risk associated with foreign denominated investments, net capital exposures and foreign currency transactions. We use credit derivatives to manage our credit exposures. The derivatives are effective economic hedges of the exposures that they are meant to offset. As part of our strategy to enhance investment income, in addition to hedging activities, we also enter into derivative contracts with respect to investment operations, which may include, among other things, credit default swaps (“CDS”), total return swaps and purchases of investments with embedded derivatives, such as equity-linked notes and convertible bonds.

Interest rate, currency and equity swaps, credit contracts, swaptions, options and forward transactions are accounted for as derivatives, recorded on a trade-date basis and carried at fair value. Unrealized gains and losses are generally reflected in income, except in certain situations in which hedge accounting is applied and unrealized gains and losses are reflected in AOCI. Aggregate asset or liability positions are netted on the Condensed Consolidated Balance Sheets only to the extent permitted by qualifying master netting arrangements in place with each respective counterparty. Cash collateral posted with counterparties in conjunction with transactions supported by qualifying master netting arrangements is reported as a reduction of the corresponding net derivative liability, while cash collateral received in conjunction with transactions supported by qualifying master netting arrangements is reported as a reduction of the corresponding net derivative asset.

Derivatives, with the exception of embedded derivatives, are reported at fair value in the Condensed Consolidated Balance Sheets in Other assets and Other liabilities. Embedded derivatives are generally presented with the host contract in the Condensed Consolidated Balance Sheets. A bifurcated embedded derivative is measured at fair value and accounted for in the same manner as a freestanding derivative contract. The corresponding host contract is accounted for according to the accounting guidance applicable for that instrument.


	June 30, 2024								December 31, 2023
	Gross Derivative Assets				Gross Derivative Liabilities				Gross Derivative Assets				Gross Derivative Liabilities
(in millions)	Notional Amount		Fair Value		Notional Amount		Fair Value		Notional Amount		Fair Value		Notional Amount		Fair Value
Derivatives designated as hedging instruments:(a)
Interest rate contracts	$	1,560	$	217	$	4,977	$	85	$	2,213	$	238	$	833	$	18
Foreign exchange contracts	5,607		447		1,957		55		2,918		354		4,829		164
Derivatives not designated as hedging instruments:(a)
Interest rate contracts	53,412		3,318		35,930		3,330		41,056		2,709		41,225		3,260
Foreign exchange contracts	9,509		585		5,108		280		6,260		586		7,878		399
Equity contracts	81,499		3,498		22,247		1,679		76,561		2,017		14,144		745
Credit contracts(b)	2,005		76		5		—		305		8		5		—
Other contracts(c)	43,737		13		47		—		44,640		13		47		2
Total derivatives, gross	$	197,329	$	8,154	$	70,271	$	5,429	$	173,953	$	5,925	$	68,961	$	4,588
Counterparty netting(d)			(4,940)				(4,940)				(3,646)				(3,646)
Cash collateral(e)			(2,723)				(305)				(1,886)				(801)
Total derivatives on Condensed Consolidated Balance Sheets(f)			$	491			$	184			$	393			$	141

(f)Freestanding derivatives only, excludes embedded derivatives. Derivative instrument assets and liabilities are recorded in Other assets and Other liabilities, respectively. The fair value of assets related to bifurcated embedded derivatives were both zero at June 30, 2024 and December 31, 2023. The fair value of liabilities related to bifurcated embedded derivatives was $11.1 billion and $10.2 billion at June 30, 2024 and December 31, 2023, respectively. A bifurcated embedded derivative is generally presented with the host contract in the Condensed Consolidated Balance Sheets. Embedded derivatives are primarily related to guarantee features in fixed index annuities, index universal life contracts and bonds available-for-sale, which include equity and interest rate components and the funds withheld arrangement with Fortitude Re. For additional information, see Note 7.


	June 30, 2024								December 31, 2023
	Gross Derivative Assets				Gross Derivative Liabilities				Gross Derivative Assets				Gross Derivative Liabilities
(in millions)	Notional Amount		Fair Value		Notional Amount		Fair Value		Notional Amount		Fair Value		Notional Amount		Fair Value
Total derivatives with related parties	$	3,362	$	65	$	1	$	—	$	53,163	$	622	$	5,720	$	232
Total derivatives with third parties	193,967		8,089		70,270		5,429		120,790		5,303		63,241		4,356
Total derivatives, gross	$	197,329	$	8,154	$	70,271	$	5,429	$	173,953	$	5,925	$	68,961	$	4,588


	June 30, 2024				December 31, 2023
(in millions)	Carrying Amount of the Hedged Assets (Liabilities)		Cumulative Amount of Fair Value Hedging Adjustments Included In the Carrying Amount of the Hedged Assets Liabilities		Carrying Amount of the Hedged Assets (Liabilities)		Cumulative Amount of Fair Value Hedging Adjustments Included In the Carrying Amount of the Hedged Assets Liabilities
Balance sheet line item in which hedged item is recorded:
Fixed maturities, available-for-sale, at fair value	$	6,662	$	—	$	7,412	$	—
Commercial mortgage and other loans(a)	—		(22)		—		(24)
Policyholder contract deposits(b)	(7,422)		43		(4,756)		(31)

We engage in derivative transactions that are not subject to a clearing requirement directly with related parties and unaffiliated third parties, in most cases under International Swaps and Derivatives Association, Inc. (“ISDA”) Master Agreements. Many of the ISDA Master Agreements also include Credit Support Annex provisions, which provide for collateral postings that may vary based on criteria such as ratings and threshold levels. We attempt to reduce our risk with certain counterparties by entering into agreements that enable collateral to be obtained from a counterparty on an up-front or contingent basis. We minimize the risk that counterparties might be unable to fulfill their contractual obligations by monitoring counterparty credit exposure and collateral value and generally requiring additional collateral to be posted upon the occurrence of certain events or circumstances.

Collateral posted by us to third parties for derivative transactions was $1.1 billion and $1.4 billion at June 30, 2024 and December 31, 2023, respectively. No collateral was posted by us to related parties for derivative transactions at June 30, 2024 and December 31, 2023, respectively. In the case of collateral posted under derivative transactions that are not subject to clearing, this collateral can generally be repledged or resold by the counterparties. Collateral provided to us from third parties for derivative transactions was $3.2 billion and $1.9 billion at June 30, 2024 and December 31, 2023, respectively. Collateral provided to us from related parties for derivative transactions was $66 million and $377 million at June 30, 2024 and December 31, 2023, respectively. In the case of collateral provided to us under derivative transactions that are not subject to clearing, we generally can repledge or resell collateral.

We have elected to present all derivative receivables and derivative payables, and the related cash collateral received and paid, on a net basis on our Condensed Consolidated Balance Sheets when a legally enforceable ISDA Master Agreement exists between us and our derivative counterparty. An ISDA Master Agreement is an agreement governing multiple derivative transactions between two counterparties. The ISDA Master Agreement generally provides for the net settlement of all, or a specified group, of these derivative transactions, as well as transferred collateral, through a single payment, and in a single currency, as applicable. The net settlement provisions apply in the event of a default on, or affecting any, one derivative transaction or a termination event affecting all, or a specified group of, derivative transactions governed by the ISDA Master Agreement.

We designated certain derivatives entered into with related parties as fair value hedges of available-for-sale securities held by our insurance subsidiaries. The fair value hedges include foreign currency forwards and cross-currency swaps designated as hedges of the change in fair value of foreign currency denominated available-for-sale securities attributable to changes in foreign exchange rates. We also designated certain interest rate swaps entered into with related parties as fair value hedges of fixed rate GICs and commercial mortgage loans attributable to changes in benchmark interest rates.

In 2022, we designated certain interest rate swaps entered into with related parties as cash flow hedges of forecasted coupon payments associated with anticipated long-term debt issuances. For the three and six months ended June 30, 2024, $7 million and $14 million, respectively, and for the three and six months ended June 30, 2023, $7 million and $14 million, respectively, have been reclassified into Interest expense. The remaining amount in AOCI, of $160 million, will be reclassified into Interest expense over the life of the hedging relationship, which can extend up to 30 years. We expect $28 million to be reclassified into Interest expense over the next 12 months. There are no amounts excluded from the assessment of hedge effectiveness that are recognized in earnings.

We also designated certain interest rate swaps as cash flow hedges of floating-rate investment assets. Related to such swaps, for the three and six months ended June 30, 2024, we recognized derivative gains (losses) of $5 million and $(13) million, respectively, in AOCI and $(4) million and $(7) million, respectively, in net investment income. As it relates to such hedges, we do not expect any reclassifications into net investment income over the next 12 months and there are no amounts excluded from the assessment of hedge effectiveness that are recognized in earnings.

We use cross-currency swaps as hedging instruments in net investment hedge relationships to mitigate the foreign exchange risk associated with our non-U.S. dollar functional currency foreign subsidiaries. For net investment hedge relationships that use derivatives as hedging instruments, we assess hedge effectiveness and measure hedge ineffectiveness using changes in forward rates. We recognized gains (losses) for the three and six months ended June 30, 2024 of $1 million and $3 million, respectively, and for the three and six months ended June 30, 2023 of $(1) million and $(2) million, respectively, included in Change in foreign currency translation adjustment in OCI related to the net investment hedge relationships. The gains (losses) recognized primarily include transactions with related parties. A qualitative methodology is utilized to assess hedge effectiveness for net investment hedges, while regression analysis is employed for all other hedges.


	Gains/(Losses) Recognized in Earnings for:
(in millions)	Hedging Derivatives(a)(c)		Excluded Components(b)(c)		Hedged Items		Net Impact
Three Months Ended June 30, 2024
Interest rate contracts:

Interest credited to policyholder account balances	$	(10)	$	—	$	4	$	(6)

Foreign exchange contracts:
Realized gains (losses)	$	25	$	53	$	(25)	$	53
Three Months Ended June 30, 2023
Interest rate contracts:

Interest credited to policyholder account balances	$	(43)	$	—	$	37	$	(6)

Foreign exchange contracts:
Realized gains (losses)	$	(79)	$	30	$	79	$	30



Six Months Ended June 30, 2024
Interest rate contracts:
Interest credited to policyholder account balances	$	(69)	$	—	$	69	$	—

Foreign exchange contracts:
Realized gains (losses)	$	169	$	42	$	(169)	$	42
Six Months Ended June 30, 2023
Interest rate contracts:

Interest credited to policyholder account balances	$	43	$	—	$	(51)	$	(8)

Foreign exchange contracts:
Realized gains (losses)	(162)		109		162		109


	Gains (Losses) Recognized in Earnings
	Three Months Ended June 30,				Six Months Ended June 30,
(in millions)	2024		2023		2024		2023
By Derivative Type:
Interest rate contracts	$	3	$	(148)	$	(364)	$	(116)
Foreign exchange contracts	(60)		(123)		164		(190)
Equity contracts	14		(131)		203		(48)
Credit contracts	3		—		26		—
Other contracts	15		152		31		25
Embedded derivatives	(275)		(435)		(837)		(819)
Fortitude Re funds withheld embedded derivative	36		122		58		(903)
Total(a)	$	(264)	$	(563)	$	(719)	$	(2,051)
By Classification:
Policy fees	$	14	$	16	$	29	$	32
Net investment income (loss) - Fortitude Re funds withheld assets	6		—		11		(2)
Net realized gains (losses) - excluding Fortitude Re funds withheld assets(b)	(129)		9		169		(405)

Net realized losses on Fortitude Re funds withheld assets	(37)		(85)		(132)		(42)
Net realized gains (losses) on Fortitude Re funds withheld embedded derivatives	36		122		58		(903)
Policyholder benefits	—		(3)		—		—
Change in the Fair value of market risk benefits(c)	(154)		(622)		(854)		(731)
Total(a)	$	(264)	$	(563)	$	(719)	$	(2,051)

In addition to embedded derivatives within policyholder contract deposits, certain guaranteed benefits within insurance contracts are classified as MRBs. The change in the fair value of these benefits is disclosed in Note 14. The change in the fair value of MRBs and the derivative instruments that hedge those risks are recognized in “Change in the fair value of MRBs, net” in the Condensed Consolidated Statements of Income (Loss).

We invest in hybrid securities (such as credit-linked notes) with the intent of generating income, and not specifically to acquire exposure to embedded derivative risk. As is the case with our other investments in RMBS, CMBS, CLOs, ABS and collateralized debt obligations (“CDOs”), our investments in these hybrid securities are exposed to losses only up to the amount of our initial investment in the hybrid security. Other than our initial investment in the hybrid securities, we have no further obligation to make payments on the embedded credit derivatives in the related hybrid securities.

We elect to account for our investments in these hybrid securities with embedded written credit derivatives at fair value, with changes in fair value recognized in Net investment income. Our investments in these hybrid securities are reported as Other bond securities in the Condensed Consolidated Balance Sheets. The fair values of these hybrid securities were both zero at June 30, 2024 and December 31, 2023. These securities have par amounts of $25 million and $25 million at June 30, 2024 and December 31, 2023, respectively, and have remaining stated maturity dates that extend to 2052.