Cover Page
Cover Page - shares | 3 Months Ended | |
Mar. 31, 2022 | May 04, 2022 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2022 | |
Document Transition Report | false | |
Entity File Number | 001-34820 | |
Entity Registrant Name | KKR & CO. INC. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 26-0426107 | |
Entity Address, Address Line One | 30 Hudson Yards | |
Entity Address, City or Town | New York | |
Entity Address, State or Province | NY | |
Entity Address, Postal Zip Code | 10001 | |
City Area Code | 212 | |
Local Phone Number | 750-8300 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 592,607,251 | |
Entity Central Index Key | 0001404912 | |
Document Fiscal Year Focus | 2022 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false | |
Common Stock | ||
Document Information [Line Items] | ||
Title of 12(b) Security | Common Stock | |
Trading Symbol | KKR | |
Security Exchange Name | NYSE | |
6.00% Series C Mandatory Convertible Preferred Stock | ||
Document Information [Line Items] | ||
Title of 12(b) Security | 6.00% Series C Mandatory Convertible Preferred Stock | |
Trading Symbol | KKR PR C | |
Security Exchange Name | NYSE | |
KKR Issued 4.625% Notes Due 2061 | ||
Document Information [Line Items] | ||
Title of 12(b) Security | 4.625% Subordinated Notes due 2061 of KKR Group Finance Co. IX LLC | |
Trading Symbol | KKRS | |
Security Exchange Name | NYSE |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (UNAUDITED) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Assets | ||
Due from Affiliates | $ 1,277,574 | $ 1,224,283 |
Other Assets | 8,710,489 | 7,939,831 |
Liabilities and Equity | ||
Due to Affiliates | 457,668 | 462,722 |
Accrued Expenses and Other Liabilities | 11,857,627 | 11,160,463 |
Commitments and Contingencies (See Note 24) | ||
Redeemable Noncontrolling Interests | 81,793 | 82,491 |
Stockholders' Equity | ||
Common Stock | 5,905 | 5,957 |
Additional Paid-In Capital | 8,729,544 | 8,997,435 |
Retained Earnings | 7,510,671 | 7,670,182 |
Accumulated Other Comprehensive Income (Loss) ("AOCI") | (1,650,212) | (209,789) |
Total KKR & Co. Inc. Stockholders' Equity | 15,714,287 | 17,582,164 |
Noncontrolling Interests | 41,501,791 | 40,474,565 |
Total Equity | 57,216,078 | 58,056,729 |
Total Liabilities and Equity | 266,290,981 | 264,285,440 |
Consolidated VIEs | ||
Assets | ||
Total Assets | 101,317,834 | 94,122,344 |
Liabilities and Equity | ||
Total Liabilities | 29,876,954 | 30,216,388 |
Consolidated VIEs | Consolidated CLOs | ||
Assets | ||
Total Assets | 23,043,405 | 23,466,130 |
Liabilities and Equity | ||
Total Liabilities | 22,235,098 | 22,638,862 |
Consolidated VIEs | Consolidated Funds and Other Investment Vehicles | ||
Assets | ||
Total Assets | 52,512,510 | 48,598,754 |
Liabilities and Equity | ||
Total Liabilities | 6,623,904 | 6,982,580 |
Consolidated VIEs | Other VIEs | ||
Assets | ||
Total Assets | 25,761,919 | 22,057,460 |
Liabilities and Equity | ||
Total Liabilities | 1,017,952 | 594,946 |
Series C Mandatory Convertible Preferred Stock | ||
Stockholders' Equity | ||
Preferred Stock | 1,115,792 | 1,115,792 |
Series I Preferred Stock | ||
Stockholders' Equity | ||
Preferred Stock | 0 | 0 |
Series II Preferred Stock | ||
Stockholders' Equity | ||
Preferred Stock | 2,587 | 2,587 |
Asset Management | ||
Assets | ||
Cash and Cash Equivalents | 8,324,897 | 6,699,668 |
Restricted Cash and Cash Equivalents | 103,961 | 134,298 |
Investments | 88,770,480 | 88,775,514 |
Due from Affiliates | 1,277,574 | 1,224,283 |
Other Assets | 2,407,714 | 2,886,313 |
Total Assets | 100,884,626 | 99,720,076 |
Liabilities and Equity | ||
Debt Obligations | 36,112,872 | 36,669,755 |
Due to Affiliates | 457,668 | 462,722 |
Accrued Expenses and Other Liabilities | 7,241,786 | 7,896,897 |
Total Liabilities | 43,812,326 | 45,029,374 |
Asset Management | Consolidated VIEs | ||
Assets | ||
Cash and Cash Equivalents | 3,512,092 | 2,301,950 |
Restricted Cash and Cash Equivalents | 68,508 | 90,255 |
Investments | 71,388,242 | 68,857,404 |
Other Assets | 587,073 | 815,275 |
Total Assets | 75,555,915 | 72,064,884 |
Liabilities and Equity | ||
Debt Obligations | 27,160,296 | 27,562,376 |
Accrued Expenses and Other Liabilities | 1,698,706 | 2,059,066 |
Total Liabilities | 28,859,002 | 29,621,442 |
Asset Management | Consolidated VIEs | Consolidated CLOs | ||
Assets | ||
Cash and Cash Equivalents | 837,670 | 1,215,992 |
Restricted Cash and Cash Equivalents | 0 | 0 |
Investments | 22,014,866 | 22,076,809 |
Other Assets | 190,869 | 173,329 |
Total Assets | 23,043,405 | 23,466,130 |
Liabilities and Equity | ||
Debt Obligations | 21,213,206 | 21,271,084 |
Accrued Expenses and Other Liabilities | 1,021,892 | 1,367,778 |
Total Liabilities | 22,235,098 | 22,638,862 |
Asset Management | Consolidated VIEs | Consolidated Funds and Other Investment Vehicles | ||
Assets | ||
Cash and Cash Equivalents | 2,674,422 | 1,085,958 |
Restricted Cash and Cash Equivalents | 68,508 | 90,255 |
Investments | 49,373,376 | 46,780,595 |
Other Assets | 396,204 | 641,946 |
Total Assets | 52,512,510 | 48,598,754 |
Liabilities and Equity | ||
Debt Obligations | 5,947,090 | 6,291,292 |
Accrued Expenses and Other Liabilities | 676,814 | 691,288 |
Total Liabilities | 6,623,904 | 6,982,580 |
Asset Management | Consolidated VIEs | Other VIEs | ||
Assets | ||
Cash and Cash Equivalents | 0 | 0 |
Restricted Cash and Cash Equivalents | 0 | 0 |
Investments | 0 | 0 |
Other Assets | 0 | 0 |
Total Assets | 0 | 0 |
Liabilities and Equity | ||
Debt Obligations | 0 | 0 |
Accrued Expenses and Other Liabilities | 0 | 0 |
Total Liabilities | 0 | 0 |
Insurance | ||
Assets | ||
Cash and Cash Equivalents | 4,590,032 | 3,391,934 |
Restricted Cash and Cash Equivalents | 523,503 | 300,404 |
Investments | 122,799,871 | 123,763,675 |
Accrued Investment Income | 898,120 | 817,486 |
Reinsurance Recoverable | 24,639,148 | 25,062,256 |
Insurance Intangible Assets | 1,481,284 | 1,407,149 |
Other Assets | 6,302,775 | 5,053,518 |
Separate Account Assets | 5,069,742 | 5,586,428 |
Total Assets | 165,406,355 | 164,565,364 |
Liabilities and Equity | ||
Debt Obligations | 2,029,769 | 1,908,006 |
Policy Liabilities | 131,076,687 | 126,520,044 |
Funds Withheld Payable at Interest | 21,781,731 | 23,460,253 |
Accrued Expenses and Other Liabilities | 4,615,841 | 3,263,566 |
Reinsurance Liabilities | 607,014 | 378,549 |
Separate Account Liabilities | 5,069,742 | 5,586,428 |
Total Liabilities | 165,180,784 | 161,116,846 |
Insurance | Consolidated VIEs | ||
Assets | ||
Cash and Cash Equivalents | 1,365,544 | 1,406,974 |
Investments | 23,186,192 | 20,043,016 |
Accrued Investment Income | 137,575 | 100,693 |
Other Assets | 1,072,608 | 506,777 |
Total Assets | 25,761,919 | 22,057,460 |
Liabilities and Equity | ||
Accrued Expenses and Other Liabilities | 1,017,952 | 594,946 |
Insurance | Consolidated VIEs | Consolidated CLOs | ||
Assets | ||
Cash and Cash Equivalents | 0 | 0 |
Investments | 0 | 0 |
Accrued Investment Income | 0 | 0 |
Other Assets | 0 | 0 |
Total Assets | 0 | 0 |
Liabilities and Equity | ||
Accrued Expenses and Other Liabilities | 0 | 0 |
Insurance | Consolidated VIEs | Consolidated Funds and Other Investment Vehicles | ||
Assets | ||
Cash and Cash Equivalents | 0 | 0 |
Investments | 0 | 0 |
Accrued Investment Income | 0 | 0 |
Other Assets | 0 | 0 |
Total Assets | 0 | 0 |
Liabilities and Equity | ||
Accrued Expenses and Other Liabilities | 0 | 0 |
Insurance | Consolidated VIEs | Other VIEs | ||
Assets | ||
Cash and Cash Equivalents | 1,365,544 | 1,406,974 |
Investments | 23,186,192 | 20,043,016 |
Accrued Investment Income | 137,575 | 100,693 |
Other Assets | 1,072,608 | 506,777 |
Total Assets | 25,761,919 | 22,057,460 |
Liabilities and Equity | ||
Accrued Expenses and Other Liabilities | 1,017,952 | 594,946 |
Asset Management And Insurance Segments | ||
Assets | ||
Total Assets | 266,290,981 | 264,285,440 |
Liabilities and Equity | ||
Total Liabilities | $ 208,993,110 | $ 206,146,220 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (UNAUDITED) (Parenthetical) - $ / shares | Mar. 31, 2022 | Dec. 31, 2021 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 3,500,000,000 | 3,500,000,000 |
Common stock, shares issued (in shares) | 590,472,444 | 595,663,618 |
Common stock, shares outstanding (in shares) | 590,472,444 | 595,663,618 |
Series C Mandatory Convertible Preferred Stock | ||
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares issued (in shares) | 23,000,000 | 23,000,000 |
Preferred stock, shares outstanding (in shares) | 23,000,000 | 23,000,000 |
Series I Preferred Stock | ||
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares issued (in shares) | 1 | 1 |
Preferred stock, shares outstanding (in shares) | 1 | 1 |
Preferred stock, shares authorized (in shares) | 1 | 1 |
Series II Preferred Stock | ||
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares issued (in shares) | 258,726,163 | 258,726,163 |
Preferred stock, shares outstanding (in shares) | 258,726,163 | 258,726,163 |
Preferred stock, shares authorized (in shares) | 499,999,999 | 499,999,999 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Revenues [Abstract] | ||
Net Premiums | $ 372,144 | $ 1,176,142 |
Net Investment Income | 812,605 | 444,781 |
Total Revenues | 1,004,017 | 4,563,006 |
Expenses | ||
Total Expenses | 1,551,989 | 3,096,545 |
Investment Income (Loss) - Asset Management | ||
Net Gains (Losses) from Investment Activities | 914,261 | 2,696,200 |
Dividend Income | 662,350 | 75,746 |
Interest Income | 352,556 | 367,455 |
Interest Expense | (281,759) | (251,756) |
Total Investment Income (Loss) | 1,647,408 | 2,887,645 |
Income (Loss) Before Taxes | 1,099,436 | 4,354,106 |
Income Tax Expense (Benefit) | (3,166) | 438,739 |
Net Income (Loss) | 1,102,602 | 3,915,367 |
Net Income (Loss) Attributable to Redeemable Noncontrolling Interests | (63) | 0 |
Net Income (Loss) Attributable to Noncontrolling Interests | 1,159,185 | 2,245,531 |
Net Income (Loss) Attributable to KKR & Co. Inc. | (56,520) | 1,669,836 |
Net Income (Loss) Attributable to KKR & Co. Inc. Common Stockholders | (73,770) | 1,644,245 |
Series A Preferred Stock Dividends | ||
Investment Income (Loss) - Asset Management | ||
Preferred Stock Dividends | 0 | 5,822 |
Series B Preferred Stock Dividends | ||
Investment Income (Loss) - Asset Management | ||
Preferred Stock Dividends | 0 | 2,519 |
Series C Mandatory Convertible Preferred Stock | ||
Investment Income (Loss) - Asset Management | ||
Preferred Stock Dividends | $ 17,250 | $ 17,250 |
Common Stock | ||
Net Income (Loss) Attributable to KKR & Co. Inc. Per Share of Common Stock | ||
Basic (in dollars per share) | $ (0.12) | $ 2.85 |
Diluted (in dollars per share) | $ (0.12) | $ 2.68 |
Weighted Average Shares of Common Stock Outstanding | ||
Basic (in shares) | 592,202,835 | 576,727,967 |
Diluted (in shares) | 592,202,835 | 620,888,491 |
Asset Management | ||
Revenues [Abstract] | ||
Fees and Other | $ 780,511 | $ 493,311 |
Capital Allocation-Based Income (Loss) | (945,743) | 2,684,647 |
Total Revenues | (165,232) | 3,177,958 |
Expenses | ||
Compensation and Benefits | 283,672 | 1,306,797 |
Occupancy and Related Charges | 18,149 | 15,200 |
General, Administrative and Other | 234,665 | 166,997 |
Total Expenses | 536,486 | 1,488,994 |
Insurance | ||
Revenues [Abstract] | ||
Net Premiums | 372,144 | 1,176,142 |
Policy Fees | 318,436 | 201,683 |
Net Investment Income | 812,605 | 444,781 |
Net Investment-Related Gains (Losses) | (368,680) | (455,702) |
Other Income | 34,744 | 18,144 |
Total Revenues | 1,169,249 | 1,385,048 |
Expenses | ||
General, Administrative and Other | 167,214 | 79,955 |
Policy Benefits and Claims | 726,060 | 1,485,318 |
Amortization of Policy Acquisition Costs | (7,733) | (20,478) |
Interest Expense | 13,219 | 10,672 |
Insurance Expenses | 116,743 | 52,084 |
Total Expenses | $ 1,015,503 | $ 1,607,551 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (UNAUDITED) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Statement of Comprehensive Income [Abstract] | ||
Net Income (Loss) | $ 1,102,602 | $ 3,915,367 |
Other Comprehensive Income (Loss), Net of Tax: | ||
Unrealized Gains (Losses) on Available-For-Sale Securities and Other | (3,339,211) | (1,490,289) |
Foreign Currency Translation Adjustments | (22,281) | (15,257) |
Comprehensive Income (Loss) | (2,258,890) | 2,409,821 |
Comprehensive Income (Loss) Attributable to Redeemable Noncontrolling Interests | (63) | 0 |
Comprehensive Income (Loss) Attributable to Noncontrolling Interests | (761,884) | 1,366,143 |
Comprehensive Income (Loss) Attributable to KKR & Co. Inc. | $ (1,496,943) | $ 1,043,678 |
CONDENSED CONSOLIDATED STATEM_5
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (UNAUDITED) - USD ($) $ in Thousands | Total | Parent | Preferred StockSeries A And Series B Preferred Stock | Preferred StockSeries C Mandatory Convertible Preferred Stock | Preferred StockSeries I Preferred Stock | Preferred StockSeries II Preferred Stock | Common Stock | Additional Paid-In Capital | Retained Earnings | Retained EarningsSeries A Preferred Stock | Retained EarningsSeries B Preferred Stock | Retained EarningsSeries C Mandatory Convertible Preferred Stock | Accumulated Other Comprehensive Income (Loss) (net of tax) | Noncontrolling Interests |
Stockholders' equity, beginning balance at Dec. 31, 2020 | $ 482,554 | $ 1,115,792 | $ 0 | $ 2,756 | $ 5,729 | $ 8,687,817 | $ 3,440,782 | $ (18,612) | ||||||
Shares outstanding, beginning balance (in shares) at Dec. 31, 2020 | 20,000,000 | 23,000,000 | 1 | 275,626,493 | 572,893,738 | |||||||||
Increase (Decrease) in Stockholders' Equity | ||||||||||||||
Cancellation of Series II Preferred Stock | $ (23) | |||||||||||||
Cancellation of Series II Preferred Stock (in shares) | (2,258,781) | |||||||||||||
Share Issuance | $ 9 | 38,454 | ||||||||||||
Share issuance (in shares) | 964,871 | |||||||||||||
Exchange of KKR Holdings Units | $ 23 | 58,501 | (1,598) | |||||||||||
Exchange of KKR Holding Units (in shares) | 2,258,781 | |||||||||||||
Net Delivery of Common Stock | $ 37 | (55,910) | ||||||||||||
Net Delivery of Common Stock (in shares) | 3,657,470 | |||||||||||||
Clawback of Transfer Restricted Shares (in shares) | (4,263) | |||||||||||||
Repurchases of Common Stock | $ (15) | (71,351) | ||||||||||||
Repurchases of Common Stock (in shares) | (1,501,558) | |||||||||||||
Tax Effects - Exchange of KKR Holdings Units and Other | $ 4,627 | 4,627 | ||||||||||||
Equity-Based Compensation | 46,201 | |||||||||||||
Net Income (Loss) Attributable to KKR & Co. Inc. | 1,669,836 | 1,669,836 | ||||||||||||
Preferred Stock Dividends | $ (5,822) | $ (2,519) | $ (17,250) | |||||||||||
Common Stock Dividends | (77,804) | |||||||||||||
Other Comprehensive Income (Loss) | (15,257) | (626,158) | ||||||||||||
Shares outstanding, ending balance (in shares) at Mar. 31, 2021 | 20,000,000 | 23,000,000 | 1 | 273,367,712 | 578,269,039 | |||||||||
Stockholders' equity, ending balance at Mar. 31, 2021 | 46,210,785 | $ 14,676,056 | $ 482,554 | $ 1,115,792 | $ 0 | $ 2,733 | $ 5,783 | 8,708,339 | 5,007,223 | (646,368) | $ 31,534,729 | |||
Increase (Decrease) in Stockholders' Equity | ||||||||||||||
Redeemable non-controlling interests | 91,845 | |||||||||||||
Stockholders' equity, beginning balance at Dec. 31, 2021 | 58,056,729 | $ 0 | $ 1,115,792 | $ 0 | $ 2,587 | $ 5,957 | 8,997,435 | 7,670,182 | (209,789) | |||||
Shares outstanding, beginning balance (in shares) at Dec. 31, 2021 | 0 | 23,000,000 | 1 | 258,726,163 | 595,663,618 | |||||||||
Increase (Decrease) in Stockholders' Equity | ||||||||||||||
Cancellation of Series II Preferred Stock | $ 0 | |||||||||||||
Cancellation of Series II Preferred Stock (in shares) | 0 | |||||||||||||
Share Issuance | $ 0 | 0 | ||||||||||||
Share issuance (in shares) | 0 | |||||||||||||
Exchange of KKR Holdings Units | $ 0 | 0 | 0 | |||||||||||
Exchange of KKR Holding Units (in shares) | 0 | |||||||||||||
Net Delivery of Common Stock | $ 0 | 0 | ||||||||||||
Net Delivery of Common Stock (in shares) | 0 | |||||||||||||
Clawback of Transfer Restricted Shares (in shares) | 0 | |||||||||||||
Repurchases of Common Stock | $ (52) | (346,599) | ||||||||||||
Repurchases of Common Stock (in shares) | (5,191,174) | |||||||||||||
Tax Effects - Exchange of KKR Holdings Units and Other | 26,780 | 26,780 | ||||||||||||
Equity-Based Compensation | 51,928 | |||||||||||||
Net Income (Loss) Attributable to KKR & Co. Inc. | (56,520) | (56,520) | ||||||||||||
Preferred Stock Dividends | $ 0 | $ 0 | $ (17,250) | |||||||||||
Common Stock Dividends | (85,741) | |||||||||||||
Other Comprehensive Income (Loss) | (22,281) | (1,440,423) | ||||||||||||
Shares outstanding, ending balance (in shares) at Mar. 31, 2022 | 0 | 23,000,000 | 1 | 258,726,163 | 590,472,444 | |||||||||
Stockholders' equity, ending balance at Mar. 31, 2022 | 57,216,078 | $ 15,714,287 | $ 0 | $ 1,115,792 | $ 0 | $ 2,587 | $ 5,905 | $ 8,729,544 | $ 7,510,671 | $ (1,650,212) | $ 41,501,791 | |||
Increase (Decrease) in Stockholders' Equity | ||||||||||||||
Redeemable non-controlling interests | $ 81,793 |
CONDENSED CONSOLIDATED STATEM_6
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (UNAUDITED) (Parenthetical) - $ / shares | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Series A Preferred Stock | ||
Preferred stock, dividends declared (in dollars per share) | $ 0.421875 | |
Series B Preferred Stock | ||
Preferred stock, dividends declared (in dollars per share) | 0.406250 | |
Series C Mandatory Convertible Preferred Stock | ||
Preferred stock, dividends declared (in dollars per share) | $ 0.75 | 0.75 |
Common Stock | ||
Common stock, dividends declared (in dollars per share) | $ 0.145 | $ 0.135 |
CONDENSED CONSOLIDATED STATEM_7
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Operating Activities | ||
Net Income (Loss) | $ 1,102,602 | $ 3,915,367 |
Adjustments to Reconcile Net Income (Loss) to Net Cash Provided (Used) by Operating Activities: | ||
Equity-Based and Other Non-Cash Compensation | 168,792 | 88,162 |
Change in Unrealized (Gains) Losses - Asset Management | (634,632) | (2,111,819) |
Net Accretion and Amortization | 74,962 | 82,607 |
Other Non-Cash Amounts | (8,079) | 2,297 |
Cash Flows Due to Changes in Operating Assets and Liabilities: | ||
Change in Consolidation | 0 | (21,149) |
Change in Due from / to Affiliates | (68,560) | (212,300) |
Change in Other Assets | 570,262 | 308,439 |
Change in Accrued Expenses and Other Liabilities | (491,126) | 1,135,268 |
Net Cash Provided (Used) by Operating Activities | 916,818 | (73,166) |
Investing Activities | ||
Acquisition of Global Atlantic, Net of Cash Acquired | 0 | (415,640) |
Purchases of Fixed Assets | (11,888) | (27,727) |
Net Cash Provided (Used) by Investing Activities | (1,997,829) | (376,036) |
Financing Activities | ||
Common Stock Dividends | (85,741) | (77,804) |
Distributions to Redeemable Noncontrolling Interests | (635) | 0 |
Distributions to Noncontrolling Interests | (1,873,873) | (1,027,834) |
Contributions from Noncontrolling Interests | 3,494,333 | 3,164,049 |
Net Delivery of Common Stock (Equity Incentive Plans) | 0 | (55,873) |
Repurchases of Common Stock | (346,651) | (71,366) |
Private Placement Share Issuance | 0 | 38,463 |
Proceeds from Debt Obligations | 5,515,904 | 5,109,790 |
Repayment of Debt Obligations | (5,484,370) | (3,552,362) |
Financing Costs Paid | (42,816) | (921) |
Net Cash Provided (Used) by Financing Activities | 4,146,476 | 4,459,142 |
Effect of exchange rate changes on cash, cash equivalents and restricted cash | (49,376) | (25,722) |
Net Increase/(Decrease) in Cash, Cash Equivalents and Restricted Cash | 3,016,089 | 3,984,218 |
Cash, Cash Equivalents and Restricted Cash, Beginning of Period | 10,526,304 | 6,993,457 |
Cash, Cash Equivalents and Restricted Cash, End of Period | 13,542,393 | 10,977,675 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents [Abstract] | ||
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Total | 13,542,393 | 10,977,675 |
Supplemental Disclosures of Cash Flow Information | ||
Payments for Interest | 329,776 | 289,420 |
Payments for Income Taxes | 24,406 | 11,044 |
Payments for Operating Lease Liabilities | 11,600 | 9,846 |
Supplemental Disclosures of Non-Cash Investing and Financing Activities | ||
Equity-Based and Other Non-Cash Contributions | 134,964 | 82,517 |
Non-Cash Contribution from Noncontrolling Interests | 85,258 | 845,943 |
Debt Obligations - Net Gains (Losses), Translation and Other | 545,574 | 235,821 |
Tax Effects - Exchange of KKR Holdings L.P. Units and Other | 26,780 | 4,627 |
Right-of-Use Assets obtained in Exchange for new Operating Lease Liabilities | 1,211 | 31,003 |
Investments Acquired through Reinsurance Agreements | 2,697,956 | 368,328 |
Policyholder Liabilities and Accruals Acquired through Reinsurance Agreements | 236,698 | 1,112,370 |
Contractholder Deposit Funds Acquired through Reinsurance Agreements | 2,537,960 | 6,988 |
Change in Consolidation | ||
Investments | 0 | (49,403) |
Other Assets | 0 | (32,689) |
Debt Obligations | 0 | (26,165) |
Due to Affiliates | 0 | (238) |
Accrued Expenses and Other Liabilities | 0 | (10,350) |
Noncontrolling Interests | 0 | (66,488) |
Asset Management | ||
Adjustments to Reconcile Net Income (Loss) to Net Cash Provided (Used) by Operating Activities: | ||
Net Realized (Gains) Losses - Asset Management | (279,629) | (584,381) |
Change in Unrealized (Gains) Losses - Asset Management | (634,632) | (2,111,819) |
Capital Allocation-Based (Income) Loss - Asset Management | 945,743 | (2,684,647) |
Cash Flows Due to Changes in Operating Assets and Liabilities: | ||
Investments Purchased - Asset Management | (12,736,719) | (15,127,133) |
Proceeds from Investments - Asset Management | 12,123,184 | 13,823,098 |
Financing Activities | ||
Cash, Cash Equivalents and Restricted Cash, Beginning of Period | 6,833,966 | 6,993,457 |
Cash, Cash Equivalents and Restricted Cash, End of Period | 8,428,858 | 5,110,741 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents [Abstract] | ||
Cash and Cash Equivalents | 8,324,897 | 5,031,724 |
Restricted Cash and Cash Equivalents | 103,961 | 79,017 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Total | 8,428,858 | 5,110,741 |
Insurance | ||
Adjustments to Reconcile Net Income (Loss) to Net Cash Provided (Used) by Operating Activities: | ||
Net Realized (Gains) Losses - Insurance | (74,974) | 441,553 |
Interest Credited to Policyholder Account Balances (net of Policy Fees) - Insurance | 470,543 | 422,873 |
Cash Flows Due to Changes in Operating Assets and Liabilities: | ||
Reinsurance Transactions and Acquisitions, Net of Cash Provided - Insurance | 5,764 | 415,777 |
Change in Premiums, Notes Receivable and Reinsurance Recoverable, Net of Reinsurance Premiums Payable - Insurance | 291,418 | 295,131 |
Change in Deferred Policy Acquisition Costs - Insurance | (120,435) | (73,201) |
Change in Policy Liabilities and Accruals, Net - Insurance | (422,298) | (189,108) |
Investing Activities | ||
Investments Purchased - Insurance | (15,105,620) | (5,300,346) |
Proceeds from Investments - Insurance | 13,130,681 | 5,255,841 |
Other Investing Activities, Net - Insurance | (11,002) | 111,836 |
Financing Activities | ||
Additions to Contractholder Deposit Funds - Insurance | 5,066,018 | 2,433,498 |
Withdrawals from Contractholder Deposit Funds - Insurance | (2,628,071) | (1,475,176) |
Reinsurance Transactions, Net of Cash Provided - Insurance | 46,566 | 0 |
Other Financing Activity, Net - Insurance | 503,062 | 269 |
Cash, Cash Equivalents and Restricted Cash, Beginning of Period | 3,692,338 | 0 |
Cash, Cash Equivalents and Restricted Cash, End of Period | 5,113,535 | 5,866,934 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents [Abstract] | ||
Cash and Cash Equivalents | 4,590,032 | 5,467,012 |
Restricted Cash and Cash Equivalents | 523,503 | 399,922 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Total | 5,113,535 | 5,866,934 |
Series A And Series B Preferred Stock | ||
Financing Activities | ||
Preferred Stock Dividends | 0 | (8,341) |
Series C Mandatory Convertible Preferred Stock | ||
Financing Activities | ||
Preferred Stock Dividends | $ (17,250) | $ (17,250) |
ORGANIZATION
ORGANIZATION | 3 Months Ended |
Mar. 31, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
ORGANIZATION | ORGANIZATION KKR & Co. Inc. (NYSE: KKR), through its subsidiaries (collectively, "KKR"), is a leading global investment firm that offers alternative asset management as well as capital markets and insurance solutions. KKR aims to generate attractive investment returns by following a patient and disciplined investment approach, employing world-class people, and supporting growth in its portfolio companies and communities. KKR sponsors investment funds that invest in private equity, credit and real assets and has strategic partners that manage hedge funds. KKR’s insurance subsidiaries offer retirement, life and reinsurance products under the management of The Global Atlantic Financial Group LLC ("TGAFG" and, together with its subsidiaries, "Global Atlantic"). KKR & Co. Inc. is the parent company of KKR Group Holdings Corp., which is the general partner of KKR Group Partnership L.P. ("KKR Group Partnership"). KKR & Co. Inc. both indirectly controls KKR Group Partnership and indirectly holds Class A partner interests in KKR Group Partnership ("KKR Group Partnership Units") representing economic interests in KKR's business. The remaining KKR Group Partnership Units are held by KKR Holdings L.P. ("KKR Holdings"), which is not a subsidiary of KKR & Co. Inc., and holders of other exchangeable securities through KKR Holdings II L.P. As of March 31, 2022, KKR & Co. Inc. held indirectly approximately 69.4% of the KKR Group Partnership Units. The percentage ownership in KKR Group Partnership may continue to change as KKR Holdings and the holders of other exchangeable securities exchange their KKR Group Partnership Units for shares of common stock of KKR & Co. Inc. or when KKR & Co. Inc. otherwise issues or repurchases shares of common stock of KKR & Co. Inc. KKR Group Partnership also has outstanding limited partner interests that provide for a carry pool and preferred units with economic terms that mirror the Series C Mandatory Convertible Preferred Stock issued by KKR & Co. Inc. References to "KKR" in these financial statements refer to KKR & Co. Inc. and its subsidiaries, including Global Atlantic, unless the context requires otherwise, especially in sections where "KKR" is intended to refer to the asset management business only. References in these financial statements to "principals" are to KKR's current and former employees who hold interests in KKR's business through KKR Holdings. References to "Global Atlantic" in these financial statements includes the insurance companies of Global Atlantic, which are consolidated by KKR. Reorganization Agreement On October 8, 2021, KKR entered into a Reorganization Agreement (the "Reorganization Agreement") with KKR Holdings, KKR Management LLP (which holds the sole outstanding share of Series I preferred stock), KKR Associates Holdings L.P. and the other parties thereto. Pursuant to the Reorganization Agreement, the parties agreed to undertake a series of integrated transactions to effect a number of transformative structural and governance changes, including (a) the acquisition by KKR of KKR Holdings and all of the KKR Group Partnership Units held by it, (b) the future elimination of voting control by KKR Management LLP and its ownership of the Series I preferred stock, (c) the future establishment of voting rights for all common stock on a one vote per share basis, including with respect to the election of directors, and (d) the future control of the carry pool by KKR. In particular, the Reorganization Agreement provides for: i. a simplifying reorganization of KKR’s current corporate structure whereby all holders of common stock of KKR & Co. Inc. immediately prior to such reorganization and all holders of interests in KKR Holdings immediately prior to such reorganization will receive the same common stock in a new parent company of KKR (“New KKR Parent”), ii. the future elimination of control of New KKR Parent by KKR Management LLP by having all voting power vested in the common stock of New KKR Parent on a one vote per share basis on the Sunset Date (as defined below), iii. also on the Sunset Date, the future acquisition of control by KKR of KKR Associates Holdings L.P., the entity providing for the allocation of carry proceeds to KKR employees, also known as the carry pool, iv. the termination of KKR's tax receivable agreement with KKR Holdings other than with respect to exchanges prior to the closing of the mergers contemplated by the Reorganization Agreement, and v. in the merger of KKR Holdings with a subsidiary of New KKR Parent (the “Holdings Merger”), the issuance to limited partners of KKR Holdings of 8.5 million shares (as adjusted for any stock splits or similar adjustments) of common stock of New KKR Parent, which will not be transferrable (except in the case of death or for estate planning purposes) prior to the Sunset Date. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 3 Months Ended |
Mar. 31, 2022 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The accompanying unaudited financial statements of KKR & Co. Inc. have been prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") for interim financial information and the instructions to this Quarterly Report on Form 10-Q. The condensed consolidated financial statements (referred to hereafter as the "financial statements"), including these notes, are unaudited and exclude some of the disclosures required in annual financial statements. Management believes it has made all necessary adjustments (consisting of only normal recurring items) such that the financial statements are presented fairly and that estimates made in preparing the financial statements are reasonable and prudent. The operating results presented for interim periods are not necessarily indicative of the results that may be expected for any other interim period or for the entire year. The consolidated balance sheet data as of December 31, 2021 were derived from audited financial statements included in KKR & Co. Inc.'s Annual Report on Form 10-K for the year ended December 31, 2021, and the financial statements should be read in conjunction with the audited financial statements included therein. Additionally, in the accompanying financial statements, the condensed consolidated statements of financial condition are referred to hereafter as the "consolidated statements of financial condition"; the condensed consolidated statements of operations are referred to hereafter as the "consolidated statements of operations"; the condensed consolidated statements of comprehensive income (loss) are referred to hereafter as the "consolidated statements of comprehensive income (loss)"; the condensed consolidated statements of changes in equity and redeemable non-controlling interests are referred to hereafter as the "consolidated statements of changes in equity"; and the condensed consolidated statements of cash flows are referred to hereafter as the "consolidated statements of cash flows." KKR consolidates the financial results of KKR Group Partnership and its consolidated entities, which include the accounts of KKR's investment management and capital markets companies, the general partners of certain unconsolidated investment funds, general partners of consolidated investment funds and their respective consolidated investment funds, Global Atlantic’s insurance companies and certain other entities including CFEs. The presentations in the consolidated statement of financial condition and consolidated statement of operations reflect the significant industry diversification of KKR by its acquisition of Global Atlantic. Global Atlantic operates an insurance business, and KKR operates an asset management business, each of which possess distinct characteristics. As a result, KKR developed a two-tiered approach for the financial statements presentation, where Global Atlantic's insurance operations are presented separately from KKR's asset management business. KKR believes that these separate presentations provide a more informative view of the consolidated financial position and results of operations than traditional aggregated presentations and that reporting Global Atlantic’s insurance operations separately is appropriate given, among other factors, the relative significance of Global Atlantic’s policy liabilities, which are not obligations of KKR (other than the insurance companies that issued them). If a traditional aggregate presentation were to be used, KKR would expect to eliminate or combine several identical or similar captions, which would condense the presentations, but would also reduce the level of information presented. KKR also believes that using a traditional aggregate presentation would result in no new line items compared to the two-tier presentation included in the financial statements in this report . In the ordinary course of business, KKR’s Asset Management business and Global Atlantic enter into transactions with each other, which may include transactions pursuant to their investment management agreements and financing arrangements. The borrowings from these financing arrangements are non-recourse to KKR beyond the assets pledged to support such borrowings. All the investment management and financing arrangements between KKR's Asset Management business and Global Atlantic are eliminated in consolidation; however, KKR's allocated share of the net income from the consolidation of Global Atlantic is increased by the amount of fees earned from and decreased by the amount of interest expense incurred from noncontrolling interest holders in Global Atlantic. Accordingly, the elimination of these fees and interest impacts the net income (loss) attributable to KKR and KKR stockholders' equity for the pro-rata ownership of the noncontrolling interests in Global Atlantic. All intercompany transactions and balances have been eliminated. For a detailed discussion about KKR’s significant accounting policies and for further information on accounting updates adopted in the prior year, see Note 2 to the financial statements in the 2021 Form 10-K. During the three months ended March 31, 2022, there were no significant updates to KKR’s significant accounting policies. Use of Estimates The preparation of the financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues, expenses, and investment income (loss) during the reporting periods. Such estimates include but are not limited to (i) the valuation of investments and financial instruments, (ii) the determination of the income tax provision, (iii) the impairment of goodwill and intangible assets, (iv) the impairment of available-for-sale investments, (v) the valuation of insurance policy liabilities, (vi) the valuation of embedded derivatives, (vii) the determination of the allowance for loan losses, and (viii) amortization of deferred revenues and expenses associated with the insurance business. Certain events particular to each industry and country in which the portfolio companies conduct their operations, as well as general economic, political, regulatory and public health conditions, may have a significant negative impact on KKR’s investments and profitability. Such events are beyond KKR’s control, and the likelihood that they may occur and the effect on KKR's use of estimates cannot be predicted. Actual results could differ from those estimates, and such differences could be material to the financial statements. Adoption of new accounting pronouncements The Coronavirus Aid, Relief, and Economic Security Act ("CARES Act") and related regulatory actions On March 27, 2020, the CARES Act was enacted in response to the COVID-19 pandemic. The CARES Act, among other things, permits net operating loss ("NOL") carryovers and carrybacks to offset 100% of taxable income for taxable years beginning before 2021. In addition, the CARES Act allows NOLs incurred in 2018, 2019 and 2020 to be carried back to each of the five preceding taxable years to generate a refund of previously paid income taxes. The provisions of the CARES Act, as amended by the Consolidated Appropriations Act, also permit financial institutions to suspend requirements under U.S. GAAP for loan modifications that otherwise would be categorized as troubled debt restructurings ("TDRs") if (1) the borrower was not more than 30 days past due as of December 31, 2019, and (2) the modifications are related to arrangements that defer or delay the payment of principal or interest, or change the interest rate on the loan, provided the modifications are made between March 1, 2020 and the earlier of 60 days after the end of the national emergency related to the COVID-19 pandemic or January 1, 2022. Global Atlantic has applied this guidance before the permitted suspension period expired on January 1, 2022 to loan forbearance requests that meet the requirements. The application of this guidance did not have a material impact on the financial statements. See Note 8 "Investments" for additional information on loan modifications. Simplifying the accounting for income taxes On December 18, 2019, the Financial Accounting Standards Board (the "FASB") issued ASU No. 2019-12, which modifies ASC 740 to simplify the accounting for income taxes. This guidance eliminates the exceptions to the incremental approach, to accounting for basis differences when there are changes in ownership of foreign investments, and to interim period tax accounting for year-to-date losses that exceed anticipated losses. The guidance also simplifies the application of tax guidance related to franchise taxes, transactions with government entities, separate financial statements of legal entities that are not subject to tax, and enacted changes in tax laws in interim periods. The guidance is effective for public business entities that meet the definition of an SEC filer for fiscal years beginning after December 15, 2020, including interim period within those fiscal years. KKR adopted the standard effective January 1, 2021. The adoption of this new guidance did not have a material impact on the financial statements. Reference rate reform In March 2020, the FASB issued new guidance to ease the accounting implications of the transition away from the London Interbank Offering Rate ("LIBOR") and other reference rates which are scheduled to be discontinued, including LIBOR tenors after June 30, 2023. The new guidance offers a variety of optional expedients and exceptions related to accounting for contract modifications and hedging relationships. These expedients and exceptions apply only to contracts, hedging relationships and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. The new guidance is effective for contract modifications made and hedging relationships existing or entered into from January 1, 2020 through December 31, 2022. In the first quarter 2022, KKR elected to adopt the new guidance and, for the modifications that have occurred to date, the adoption of the guidance has not had a material impact on KKR’s consolidated financial statements. Future application of accounting standards Targeted improvements to the accounting for long-duration contracts In August 2018, the FASB issued new guidance for insurance and reinsurance companies that issue long-duration contracts such as life insurance and annuities. The objective of this guidance is to improve, simplify and enhance the financial reporting of long-duration contracts by providing financial statement users with useful information in a timely and transparent manner. The primary changes include: (1) more timely recognition of assumption changes in the liability for future policy benefits and use of a current rate for the discounting of future cash flows – The assumptions used to calculate the liability for future policy benefits on traditional and limited-payment contracts are required to be reviewed and updated periodically (versus set at inception and not changed under the current guidance). Cash flow assumptions are required to be reviewed at least annually with the impact recognized in net income. The standard also prescribes that the discount rate assumption should be based on a current upper-medium grade (i.e., low credit risk) fixed income instrument yield (e.g., a single A credit-rating) with the impact recognized in other comprehensive income ("OCI"). (2) standardization and improvement in the accounting for certain market-based options or guarantees associated with deposit (or account balance) contracts – The new guidance creates a new category of benefits referred to as market risk benefits, which are contracts or contract features that provide both protection to the policyholder from capital market risk and expose the insurer to other-than-nominal capital market risk. Market risk benefits are required to be measured at fair value with the change in fair value recognized in net income, except for changes in the entity’s non-performance risk, which is recognized in OCI. (3) simplification of the amortization of deferred acquisition costs - Deferred policy acquisition costs ("DAC") and other similar actuarial balances (e.g., deferred sales inducements) for life and annuity contracts are required to be amortized on a constant basis over the term of the related contracts. (4) enhanced disclosures – Additional disclosures are required including disaggregated roll-forwards of significant insurance liabilities as well as disclosures about significant inputs, judgments, assumptions and methods used in measurement. The guidance is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. Early adoption is permitted. For changes related to the liability for future policy benefits and deferred acquisition costs, the new guidance requires adoption using a modified retrospective approach upon transition with an option to elect a retrospective approach. For changes related to market risk benefits, the new guidance requires a retrospective approach. KKR intends to implement this standard using the retrospective approach for the liability for future policy benefits, deferred acquisition costs and market risk benefits with an adoption date of January 1, 2023. KKR has completed the design and planning phase of its implementation effort and has begun detailed implementation activities. KKR has established a governance framework to manage the implementation activities and support timely application of the guidance. KKR has made progress in the following areas: • High level impact assessment; • Identification of key accounting policy decisions; • Evaluation and selection of actuarial system solutions; • Development of detailed business requirements document inclusive of roll-forward disclosures; and • Preliminary modeling of market risk benefits. KKR continues to evaluate the impact of this guidance but anticipates that the new standard will have a material impact on the consolidated financial statements. The new guidance is expected to increase financial statement volatility primarily due to the requirement to measure market risk benefits at fair value, which is recorded in net income, except for changes in value attributable to changes in an entity’s non-performance risk, which is recognized in OCI. In addition, the new guidance is expected to have a significant impact on KKR’s systems, processes and controls. Troubled debt restructurings and vintage disclosures In March 2022, the FASB issued new guidance regarding the modification of receivables, which affects their recognition and measurement. The guidance eliminates the concept of troubled debt restructurings and instead requires all modifications to be analyzed to determine whether they result in a new receivable or a continuation of an existing receivable. The guidance also makes related updates to the measurement of expected credit losses for receivables. The new guidance requires additional disclosures for receivable modifications involving borrowers experiencing financial difficulty as well as disclosure of loan charge-offs by origination year (vintage). For entities that have already adopted ASC 326 (addressing credit losses on financial instruments), the guidance is effective for fiscal years beginning after December 15, 2022, including interim period within those fiscal years. Early adoption is permitted. KKR is currently evaluating the impact of this accounting standard update on its consolidated financial statements. |
REVENUES - ASSET MANAGEMENT
REVENUES - ASSET MANAGEMENT | 3 Months Ended |
Mar. 31, 2022 | |
Revenue from Contract with Customer [Abstract] | |
REVENUES - ASSET MANAGEMENT | REVENUES - ASSET MANAGEMENT For the three months ended March 31, 2022 and 2021, respectively, Asset Management revenues consisted of the following: Three Months Ended March 31, 2022 2021 Management Fees $ 398,046 $ 276,181 Fee Credits (187,745) (35,398) Transaction Fees 466,966 165,893 Monitoring Fees 39,400 35,388 Incentive Fees 7,057 3,438 Expense Reimbursements 41,303 27,729 Consulting Fees 15,484 20,080 Total Fees and Other 780,511 493,311 Carried Interest (783,688) 2,140,426 General Partner Capital Interest (162,055) 544,221 Total Capital Allocation-Based Income (Loss) (945,743) 2,684,647 Total Revenues - Asset Management $ (165,232) $ 3,177,958 |
ACQUISITIONS
ACQUISITIONS | 3 Months Ended |
Mar. 31, 2022 | |
Business Combination and Asset Acquisition [Abstract] | |
ACQUISITIONS | ACQUISITIONS Acquisition of Mitsubishi Corp-UBS Realty Inc. On March 17, 2022, KKR announced the signing of a strategic transaction by 76KK, an indirect subsidiary of KKR & Co. Inc., to acquire all of the outstanding shares of Mitsubishi Corp-UBS Realty Inc. from Mitsubishi Corporation and UBS Asset Management in an all-cash transaction valued at approximately ¥230 billion (or approximately $1.8 billion). On April 28, 2022, KKR completed the acquisition of Mitsubishi Corp-UBS Realty Inc., which changed its name to KJR Management ("KJRM"). Given the recent closing, the purchase accounting analysis is incomplete. Acquisition of Global Atlantic On July 7, 2020, indirect subsidiaries of KKR & Co. Inc., namely Magnolia Parent LLC and Magnolia Merger Sub Limited, entered into an Agreement and Plan of Merger (the “GA Merger Agreement”) with Global Atlantic Financial Group Limited ("GAFG"), Global Atlantic Financial Life Limited ("GAFLL"), LAMC LP, and Goldman Sachs & Co. LLC, solely in its capacity as the Equity Representative (as defined in the GA Merger Agreement). Pursuant to the GA Merger Agreement, at the closing of the acquisition of Global Atlantic by KKR (the "GA Acquisition"), among other things, Global Atlantic Financial Group Limited continued as the surviving entity in its merger with Magnolia Merger Sub Limited and became a direct subsidiary of Magnolia Parent LLC, which subsequently changed its name to The Global Atlantic Financial Group LLC (“TGAFG”). On February 1, 2021 (the “GA Acquisition Date”), the GA Acquisition was completed, and KKR acquired all of the voting interests in Global Atlantic and an economic ownership of 61.1% of Global Atlantic prior to certain post-closing purchase price adjustments discussed below and after taking into account GA Rollover Investors’ and GA Co-Investors’ (each as defined below) equity ownership of Global Atlantic. In addition to entering into the retirement and life insurance business through KKR's indirect ownership of Global Atlantic's insurance companies, KKR's flagship investment management company became the investment adviser for Global Atlantic’s insurance companies, which increases KKR’s presence in the insurance community. Furthermore, the transaction allows Global Atlantic to gain access to KKR’s origination and asset management capabilities. Under the GA Merger Agreement, KKR agreed to pay former shareholders of Global Atlantic Financial Group Limited an amount in cash equal to 1.0x U.S. GAAP Shareholders’ Equity of Global Atlantic Financial Group Limited, excluding Accumulated Other Comprehensive Income and subject to certain other purchase price adjustments ("GA Book Value," determined as $4.7 billion as of February 1, 2021 for purposes of the purchase price determination). The amount of consideration payable by KKR was reduced by the amount of equity rolled over by certain former shareholders of Global Atlantic Financial Group Limited who elected to continue their equity ownership in Global Atlantic at closing ("GA Rollover Investors"). In addition, KKR syndicated equity interests in Global Atlantic to minority co-investors ("GA Co-Investors"), which also had the effect of reducing the amount of consideration payable by KKR at closing. The purchase price is as follows (in thousands): Cash consideration paid by KKR $ 2,914,455 GA Co-Investors and GA Rollover Investors 1,824,239 Total Purchase Price $ 4,738,694 The purchase price paid at closing was subject to certain post-closing adjustments, which were finalized in June 2021, and KKR and certain GA Co-Investors paid incremental amounts of $55 million and $3 million, respectively ($58 million in total). As a result of the post-closing adjustments, KKR's economic ownership of Global Atlantic increased from 61.1% at closing to 61.5%. The GA Acquisition was accounted for as a business combination under FASB Accounting Standards Codification Topic 805, Business Combinations ("Topic 805"). Goodwill of $497.1 million has been recorded based on the amount that the purchase price exceeds the fair value of the net assets acquired less the amounts attributable to noncontrolling interests. Goodwill is primarily attributable to the scale, skill sets, operations, and synergies that can be achieved subsequent to the GA Acquisition. The goodwill recorded is not expected to be deductible for tax purposes and it has been allocated to the Insurance segment. The following table summarizes the fair value amounts recognized for the assets acquired and liabilities assumed and resulting goodwill as of the GA Acquisition Date: February 1, 2021 ($ in thousands) Consideration Transferred Cash Consideration paid by KKR $ 2,914,455 GA Co-Investors 978,296 GA Rollover Investors 845,943 Settlement of pre-existing relationships (1) (60,200) Total Consideration Transferred (2) $ 4,678,494 Recognized Amounts of Identifiable Assets Acquired and Liabilities Assumed: Cash, Cash Equivalents and Restricted Cash $ 3,358,772 Investments 99,544,755 Reinsurance Recoverable 15,753,030 Insurance Intangible Assets 1,024,520 Other Assets (3) 3,325,652 Separate Account Assets 5,371,060 Policy Liabilities (100,374,765) Debt Obligations (1,450,920) Funds Withheld Payable at Interest (13,800,969) Accrued Expenses and Other Liabilities (2,735,811) Reinsurance Liabilities (180,573) Separate Account Liabilities (5,371,060) Total Identifiable Net Assets 4,463,691 Redeemable non-controlling interests (4) (91,845) Other Noncontrolling interests (4) (190,405) Goodwill $ 497,053 (1) Represents KKR debt obligations held by Global Atlantic at the GA Acquisition Date. (2) At the GA Acquisition Date, the transaction was funded with a combination of (i) cash on hand by KKR, (ii) cash proceeds from syndication of the equity interests in Global Atlantic to minority co-investors and equity rolled over from certain former Global Atlantic shareholders. The equity held by GA co-investors and rollover investors are presented as noncontrolling interests in the financial statements. Acquisition of Global Atlantic, Net of Cash Acquired in the consolidated statements of cash flows represents the Total Consideration Transferred (excluding GA Rollover Investors) net of acquired Cash and Cash Equivalents and Restricted Cash and Cash Equivalents. (3) Includes $1.0 billion of deferred tax assets recognized from the step-up in basis under purchase accounting. (4) Represents the fair value of Noncontrolling Interests in consolidated renewable energy entities held by Global Atlantic on the GA Acquisition Date. Such interests do not represent ownership interests held by GA Rollover Investors or GA Co-Investors in Global Atlantic's equity. Measurement Period Adjustments KKR finalized the valuation of the acquired assets and assumed liabilities in December 2021. During the second quarter of 2021, KKR recognized measurement period adjustments to reflect new information obtained about facts and circumstances that existed as of the acquisition date. The measurement period adjustments also reflected the increase in the total consideration transferred of $58 million as a result of final purchase price adjustments. Measurement period adjustments consist primarily of a $50 million increase in the value of distribution agreements acquired, a $63 million increase in policy liabilities, a $25 million increase in investments, and a $46 million increase in goodwill. The related impact to net income that would have been recognized in previous periods if the adjustments were recognized as of the GA Acquisition Date was not material to the consolidated financial statements. KKR performed a valuation of the acquired investments, policy liabilities, value of business acquired ("VOBA"), other identifiable intangibles, and funds withheld at interest payables and receivables. The following is a summary of significant inputs to the valuation: Investments Global Atlantic’s investment portfolio primarily consists of fixed maturity securities, mortgage and other loan receivables, equity securities, and investments in real assets such as renewable energy and transportation assets. All of the assets included within the investment portfolio were measured and reported at their fair values on the GA Acquisition Date consistent with the valuation methodologies discussed in Note 2 "Summary of Significant Accounting Policies" in audited financial statements included in KKR & Co. Inc.'s Annual Report on Form 10-K for the year ended December 31, 2021. As a result, the cost basis of each respective investment was reset to equal fair value on the GA Acquisition Date. Policy liabilities Policy liabilities were remeasured based on generally accepted actuarial methods and reported at their fair values on the GA Acquisition Date. Assumptions for future mortality, persistency, policyholder behavior, expenses, investment return and other actuarial factors were based on an evaluation of Global Atlantic’s recent experience, industry experience, and anticipated future trends. These assumptions are intended to be representative of market assumptions used by buyers and sellers in similar transactions. The approach employed to develop these projection assumptions is described below: • Discount rates used to calculate fair value ranged from 11% to 15%, depending on product; • Mortality and persistency assumptions are based on both Global Atlantic and general industry experience; • Expenses were projected reflecting Global Atlantic’s unit expenses with an allocation of a portion of overhead expenses to in-force business; • Future investment income reflects a runoff of the existing asset portfolios and reinvestment strategies based on Global Atlantic’s assumptions for asset yield, quality, and maturity. The projections are based on forward interest rates implied by the Treasury yield curve. Credit rates reflect Global Atlantic’s target spreads; • Separate account and index account growth rates are based on long-term return expectations for different fund types and on the underlying mix of funds; and • Statutory reserves underlying the valuation reflect Global Atlantic’s current reserving methodologies. Value of business acquired ("VOBA") VOBA represents the estimated fair value of future net cash flows from in-force life and annuity insurance contracts acquired at the GA Acquisition Date. Other identifiable intangible assets Other identifiable intangible assets represent distribution relationships, trade names and state insurance licenses. The distribution relationships were valued using the excess earnings method, which derives value based on the present value of the cash flow attributable to the distribution relationships, less returns for contributory assets. The trade name intangible asset represents the Global Atlantic trade name, and was valued using the relief-from-royalty method giving consideration to publicly available third-party trade name royalty rates as well as expected premiums generated by the use of the trade name over its anticipated life. The state insurance licenses represent Global Atlantic’s jurisdictional insurance licenses, which include 52 insurance licenses, encompassing all 50 U.S. states, the District of Columbia, and the U.S. Virgin Islands. They were protected through registration and were valued using the market approach based on third-party market transactions from which the prices paid for state insurance licenses could be derived. Funds withheld at interest receivables and payables Funds withheld at interest receivables and payables were remeasured at fair value based on the fair value of assets held in the underlying portfolios supporting those receivables or payables. The fair value and weighted average estimated useful lives of Value of Business Acquired and Other Identifiable Intangible Assets acquired in the GA Acquisition consist of the following (dollars in thousands): Fair Value Average Useful Life ($ in thousands) (in years) VOBA (included within Insurance Intangible Assets) $ 1,024,520 28.6 Negative VOBA (included within Policy Liabilities) (1,273,414) 22.2 Total VOBA $ (248,894) Value of Distribution Agreements Acquired $ 250,000 16 to 21 Trade Names 50,000 15 to 18 State Insurance Licenses 10,000 Indefinite Total Identifiable Other Intangible Assets (included within Other Assets) $ 310,000 As of the GA Acquisition Date, Global Atlantic's financial results are reflected in these financial statements. Global Atlantic's revenues of $1.4 billion and net income before allocation to noncontrolling interest holders of $(203.9) million, respectively, are included in the consolidated statement of operations for the three months ended March 31, 2021. Pro- Forma Financial Information Unaudited pro-forma financial information for the three months ended March 31, 2021 is presented below. Pro-forma financial information presented does not include adjustments to reflect any potential revenue synergies or cost savings that may be achievable in connection with the GA Acquisition and assume the GA Acquisition occurred as of January 1, 2020. The unaudited pro forma financial information is presented for informational purposes only, and is not necessarily indicative of future operations or results had the GA Acquisition been completed as of January 1, 2020. Three months ended March 31, 2021 Total Revenues $ 5,077,184 Net Income Attributable to KKR & Co. Inc. Common Stockholders $ 1,738,106 Amounts above reflect certain pro forma adjustments that were directly attributable to the GA Acquisition. These adjustments include the following: • adjustment to reflect the elimination of historical amortization of Global Atlantic’s intangibles and the additional amortization of intangibles measured at fair value as of the GA Acquisition Date; • adjustment to reflect the prospective reclassification from accumulated other comprehensive earnings of the unrealized gains on available-for-sale securities to a premium which will be amortized into income based on the expected life of the investment securities; • adjustments to reflect the KKR pro-rata economic ownership as well as financing consummated by KKR to complete the acquisition; and • adjustments to reflect the adoption of ASC 326 "Financial Instruments - Credit Losses" in 2020 by Global Atlantic. |
NET GAINS (LOSSES) FROM INVESTM
NET GAINS (LOSSES) FROM INVESTMENT ACTIVITIES - ASSET MANAGEMENT | 3 Months Ended |
Mar. 31, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
NET GAINS (LOSSES) FROM INVESTMENT ACTIVITIES - ASSET MANAGEMENT | NET GAINS (LOSSES) FROM INVESTMENT ACTIVITIES - ASSET MANAGEMENT Net Gains (Losses) from Investment Activities in the consolidated statements of operations consist primarily of the realized and unrealized gains and losses on investments (including foreign exchange gains and losses attributable to foreign denominated investments and related activities) and other financial instruments, including those for which the fair value option has been elected. Unrealized gains or losses result from changes in the fair value of these investments and other financial instruments during a period. Upon disposition of an investment or financial instrument, previously recognized unrealized gains or losses are reversed and an offsetting realized gain or loss is recognized in the current period. The following table summarizes total Net Gains (Losses) from Investment Activities for the three months ended March 31, 2022 and 2021, respectively: Three Months Ended March 31, 2022 Net Realized Gains (Losses) Net Unrealized Gains (Losses) Total Private Equity (1) $ 198,380 $ (265,326) $ (66,946) Credit (1) (11,455) (188,974) (200,429) Investments of Consolidated CFEs (1) 2,949 (269,548) (266,599) Real Assets (1) (2,761) 1,297,270 1,294,509 Equity Method - Other (1) 14,284 (72,642) (58,358) Other Investments (1) 1,743 (15,015) (13,272) Foreign Exchange Forward Contracts and Options (2) 90,890 (147,007) (56,117) Securities Sold Short (2) 36,082 10,181 46,263 Other Derivatives (2) (12,005) 20,137 8,132 Debt Obligations and Other (3) (38,478) 265,556 227,078 Net Gains (Losses) From Investment Activities $ 279,629 $ 634,632 $ 914,261 Three Months Ended March 31, 2021 Net Realized Gains (Losses) Net Unrealized Gains (Losses) Total Private Equity (1) $ 756,347 $ 794,318 $ 1,550,665 Credit (1) 33,916 (4,509) 29,407 Investments of Consolidated CFEs (1) (2,628) 128,143 125,515 Real Assets (1) 39,749 234,398 274,147 Equity Method - Other (1) 5,187 396,514 401,701 Other Investments (1) (226,899) 433,080 206,181 Foreign Exchange Forward Contracts and Options (2) (5,643) 15,192 9,549 Securities Sold Short (2) 50,623 50,996 101,619 Other Derivatives (2) (30,521) 29,334 (1,187) Debt Obligations and Other (3) (35,750) 34,353 (1,397) Net Gains (Losses) From Investment Activities $ 584,381 $ 2,111,819 $ 2,696,200 (1) See Note 8 "Investments." (2) See Note 9 "Derivatives" and Note 15 "Other Assets and Accrued Expenses and Other Liabilities." |
NET INVESTMENT INCOME - INSURAN
NET INVESTMENT INCOME - INSURANCE | 3 Months Ended |
Mar. 31, 2022 | |
Investments, All Other Investments [Abstract] | |
NET INVESTMENT-RELATED GAINS (LOSSES) - INSURANCE | NET INVESTMENT INCOME - INSURANCE Net investment income for Global Atlantic is comprised primarily of interest income, including amortization of premiums and accretion of discounts, based on yields that change due to expectations in projected cash flows, dividend income from common and preferred stock, earnings from investments accounted for under equity method accounting, and lease income on other investments. The components of net investment income were as follows: Three Months Ended March 31, 2022 2021 Fixed maturity securities – interest and other income $ 691,293 $ 351,540 Mortgage and other loan receivables 324,141 122,466 Investments in transportation and other leased assets 67,679 36,743 Investments in renewable energy 25,218 796 Short-term and other investment income 20,697 5,113 Income assumed from funds withheld receivable at interest 19,605 13,473 Policy loans 7,911 1,847 Investments in real estate 3,903 1,084 Equity securities – dividends and other income — (484) Income ceded to funds withheld payable at interest (179,702) (29,839) Gross investment income 980,745 502,739 Less investment expenses: Investment management and administration 113,131 33,946 Transportation and renewable energy asset depreciation and maintenance 53,953 23,509 Interest expense on derivative collateral and repurchase agreements 1,056 503 Net investment income $ 812,605 $ 444,781 Net investment-related (losses) gains from insurance operations primarily consists of (i) realized gains and (losses) from the disposal of investments, (ii) unrealized gains and (losses) from investments held for trading, equity securities, real estate investments accounted for under investment company accounting, and investments with fair value remeasurements recognized in earnings as a result of the election of a fair-value option, (iii) unrealized gains and (losses) on funds withheld at interest, (iv) unrealized gains and (losses) from derivatives not designated in an hedging relationship, and (v) allowances for credit losses, and other impairments of investments. Net investment-related gains (losses) were as follows: Three Months Ended March 31, 2022 2021 Realized gains (losses) on equity investments $ — $ 2,243 Realized gains (losses) on available-for-sale fixed maturity debt securities (243,350) (45,640) Credit loss allowances on available-for-sale securities (10,602) (21,351) Credit loss allowances on mortgage and other loan receivables (26,085) (183,641) Allowances on unfunded commitments 6,790 (14,609) Unrealized gains (losses) on fixed maturity securities classified as trading (1,038,446) (317,052) Unrealized gains (losses) on investments recognized under the fair-value option (2,493) (12,166) Unrealized gains (losses) on real estate investments recognized at fair value under investment company accounting 77,692 — Net gains (losses) on derivative instruments 859,734 148,532 Realized gains (losses) on funds withheld at interest, payable portfolio (26,387) (7,378) Realized gains (losses) on funds withheld at interest, receivable portfolio 25,600 354 Other realized gains (losses) 8,867 (4,994) Net investment-related gains (losses) $ (368,680) $ (455,702) Allowance for credit losses Available-for-sale fixed maturity securities The table below presents a roll-forward of the allowance for credit losses recognized for fixed maturity securities held by Global Atlantic: Three Months Ended March 31, 2022 Corporate Structured Total Balance, as of beginning of period $ 3,238 $ 84,895 $ 88,133 Initial impairments for credit losses recognized on securities not previously impaired 122 15,758 15,880 Initial credit loss allowance recognized on purchased credit deteriorated ("PCD") securities — 140 140 Accretion of initial credit loss allowance on PCD securities — 477 477 Reductions due to sales (or maturities, pay downs or prepayments) during the period of securities previously identified as credit impaired — (2,444) (2,444) Net additions / reductions for securities previously impaired 1,640 (6,918) (5,278) Balance, as of end of period $ 5,000 $ 91,908 $ 96,908 Three Months Ended March 31, 2021 Corporate Structured Total Balance, as of beginning of period (1) $ — $ 120,895 $ 120,895 Initial impairments for credit losses recognized on securities not previously impaired — 27,423 27,423 Initial credit loss allowance recognized on PCD securities — 222 222 Accretion of initial credit loss allowance on PCD securities — 321 321 Reductions due to sales (or maturities, pay downs or prepayments) during the period of securities previously identified as credit impaired — (2,537) (2,537) Net additions / reductions for securities previously impaired — (6,072) (6,072) Balance, as of end of period $ — $ 140,252 $ 140,252 (1) Includes securities designated as purchased credit impaired as of the time of the acquisition of Global Atlantic. Mortgage and other loan receivables Changes in the allowance for credit losses on mortgage and other loan receivables held by Global Atlantic are summarized below: Three Months Ended March 31, 2022 Commercial Mortgage Loans Residential Mortgage Loans Consumer and Other Loan Receivables Total Balance, as of beginning of period $ 65,970 $ 72,082 $ 236,025 $ 374,077 Net provision (release) 15,566 15,501 (4,982) 26,085 Balance, as of end of period $ 81,536 $ 87,583 $ 231,043 $ 400,162 Three Months Ended March 31, 2021 Commercial Mortgage Loans Residential Mortgage Loans Consumer and Other Loan Receivables Total Balance, as of beginning of period (1) $ 58,203 $ 62,056 $ — $ 120,259 Net provision 21,853 16,683 145,105 183,641 Balance, as of end of period $ 80,056 $ 78,739 $ 145,105 $ 303,900 (1) Includes loans designated as purchased credit deteriorated as of the time of the acquisition of Global Atlantic. Proceeds and gross gains and losses from voluntary sales The proceeds from voluntary sales and the gross gains and losses on those sales of available-for-sale ("AFS") fixed maturity securities were as follows: Three Months Ended March 31, 2022 2021 AFS fixed maturity securities: Proceeds from voluntary sales $ 6,128,285 $ 1,903,120 Gross gains 8,942 4,776 Gross losses (245,871) (50,972) The following reflects the changes to the deferred policy acquisition costs ("DAC") asset: Three Months Ended March 31, 2022 2021 Balance, as of beginning of period $ 447,886 $ — Deferrals 114,935 76,694 Amortized to expense during the period (1) (9,343) 798 Adjustment for unrealized investment-related losses (gains) during the period (14,313) — Balance, as of end of period $ 539,165 $ 77,492 (1) These amounts are reported within amortization of policy acquisition costs in the consolidated statements of operations. The following reflects the changes to the value of business acquired ("VOBA") asset: Three Months Ended March 31, 2022 2021 Balance, as of beginning of period $ 959,263 $ 1,024,520 Amortized to expense during the period (1) (17,144) (12,182) Balance, as of end of period $ 942,119 $ 1,012,338 (1) These amounts are reported within amortization of policy acquisition costs in the consolidated statements of operations. The following reflects the changes to the negative VOBA liability: Three Months Ended March 31, 2022 2021 Balance, as of beginning of period $ 1,118,716 $ 1,273,414 Amortized to expense during the period (1) (34,220) (31,862) Balance, as of end of period $ 1,084,496 $ 1,241,552 (1) These amounts are reported within amortization of policy acquisition costs in the consolidated statements of operations. The following reflects the changes to the unearned revenue reserve ("URR") and unearned front-end load ("UFEL): Three Months Ended March 31, 2022 2021 Balance, as of beginning of period $ 33,603 $ — Deferrals 16,686 9,575 Amortized to revenue during the period (1) (5,934) (2,013) Adjustment for unrealized investment-related gains during the period (40,577) — Balance, as of end of period $ 3,778 $ 7,562 (1) These amounts are reported within policy fees in the consolidated statements of operations. |
NET INVESTMENT-RELATED GAINS (L
NET INVESTMENT-RELATED GAINS (LOSSES) - INSURANCE | 3 Months Ended |
Mar. 31, 2022 | |
Insurance [Abstract] | |
NET INVESTMENT-RELATED GAINS (LOSSES) - INSURANCE | NET INVESTMENT INCOME - INSURANCE Net investment income for Global Atlantic is comprised primarily of interest income, including amortization of premiums and accretion of discounts, based on yields that change due to expectations in projected cash flows, dividend income from common and preferred stock, earnings from investments accounted for under equity method accounting, and lease income on other investments. The components of net investment income were as follows: Three Months Ended March 31, 2022 2021 Fixed maturity securities – interest and other income $ 691,293 $ 351,540 Mortgage and other loan receivables 324,141 122,466 Investments in transportation and other leased assets 67,679 36,743 Investments in renewable energy 25,218 796 Short-term and other investment income 20,697 5,113 Income assumed from funds withheld receivable at interest 19,605 13,473 Policy loans 7,911 1,847 Investments in real estate 3,903 1,084 Equity securities – dividends and other income — (484) Income ceded to funds withheld payable at interest (179,702) (29,839) Gross investment income 980,745 502,739 Less investment expenses: Investment management and administration 113,131 33,946 Transportation and renewable energy asset depreciation and maintenance 53,953 23,509 Interest expense on derivative collateral and repurchase agreements 1,056 503 Net investment income $ 812,605 $ 444,781 Net investment-related (losses) gains from insurance operations primarily consists of (i) realized gains and (losses) from the disposal of investments, (ii) unrealized gains and (losses) from investments held for trading, equity securities, real estate investments accounted for under investment company accounting, and investments with fair value remeasurements recognized in earnings as a result of the election of a fair-value option, (iii) unrealized gains and (losses) on funds withheld at interest, (iv) unrealized gains and (losses) from derivatives not designated in an hedging relationship, and (v) allowances for credit losses, and other impairments of investments. Net investment-related gains (losses) were as follows: Three Months Ended March 31, 2022 2021 Realized gains (losses) on equity investments $ — $ 2,243 Realized gains (losses) on available-for-sale fixed maturity debt securities (243,350) (45,640) Credit loss allowances on available-for-sale securities (10,602) (21,351) Credit loss allowances on mortgage and other loan receivables (26,085) (183,641) Allowances on unfunded commitments 6,790 (14,609) Unrealized gains (losses) on fixed maturity securities classified as trading (1,038,446) (317,052) Unrealized gains (losses) on investments recognized under the fair-value option (2,493) (12,166) Unrealized gains (losses) on real estate investments recognized at fair value under investment company accounting 77,692 — Net gains (losses) on derivative instruments 859,734 148,532 Realized gains (losses) on funds withheld at interest, payable portfolio (26,387) (7,378) Realized gains (losses) on funds withheld at interest, receivable portfolio 25,600 354 Other realized gains (losses) 8,867 (4,994) Net investment-related gains (losses) $ (368,680) $ (455,702) Allowance for credit losses Available-for-sale fixed maturity securities The table below presents a roll-forward of the allowance for credit losses recognized for fixed maturity securities held by Global Atlantic: Three Months Ended March 31, 2022 Corporate Structured Total Balance, as of beginning of period $ 3,238 $ 84,895 $ 88,133 Initial impairments for credit losses recognized on securities not previously impaired 122 15,758 15,880 Initial credit loss allowance recognized on purchased credit deteriorated ("PCD") securities — 140 140 Accretion of initial credit loss allowance on PCD securities — 477 477 Reductions due to sales (or maturities, pay downs or prepayments) during the period of securities previously identified as credit impaired — (2,444) (2,444) Net additions / reductions for securities previously impaired 1,640 (6,918) (5,278) Balance, as of end of period $ 5,000 $ 91,908 $ 96,908 Three Months Ended March 31, 2021 Corporate Structured Total Balance, as of beginning of period (1) $ — $ 120,895 $ 120,895 Initial impairments for credit losses recognized on securities not previously impaired — 27,423 27,423 Initial credit loss allowance recognized on PCD securities — 222 222 Accretion of initial credit loss allowance on PCD securities — 321 321 Reductions due to sales (or maturities, pay downs or prepayments) during the period of securities previously identified as credit impaired — (2,537) (2,537) Net additions / reductions for securities previously impaired — (6,072) (6,072) Balance, as of end of period $ — $ 140,252 $ 140,252 (1) Includes securities designated as purchased credit impaired as of the time of the acquisition of Global Atlantic. Mortgage and other loan receivables Changes in the allowance for credit losses on mortgage and other loan receivables held by Global Atlantic are summarized below: Three Months Ended March 31, 2022 Commercial Mortgage Loans Residential Mortgage Loans Consumer and Other Loan Receivables Total Balance, as of beginning of period $ 65,970 $ 72,082 $ 236,025 $ 374,077 Net provision (release) 15,566 15,501 (4,982) 26,085 Balance, as of end of period $ 81,536 $ 87,583 $ 231,043 $ 400,162 Three Months Ended March 31, 2021 Commercial Mortgage Loans Residential Mortgage Loans Consumer and Other Loan Receivables Total Balance, as of beginning of period (1) $ 58,203 $ 62,056 $ — $ 120,259 Net provision 21,853 16,683 145,105 183,641 Balance, as of end of period $ 80,056 $ 78,739 $ 145,105 $ 303,900 (1) Includes loans designated as purchased credit deteriorated as of the time of the acquisition of Global Atlantic. Proceeds and gross gains and losses from voluntary sales The proceeds from voluntary sales and the gross gains and losses on those sales of available-for-sale ("AFS") fixed maturity securities were as follows: Three Months Ended March 31, 2022 2021 AFS fixed maturity securities: Proceeds from voluntary sales $ 6,128,285 $ 1,903,120 Gross gains 8,942 4,776 Gross losses (245,871) (50,972) The following reflects the changes to the deferred policy acquisition costs ("DAC") asset: Three Months Ended March 31, 2022 2021 Balance, as of beginning of period $ 447,886 $ — Deferrals 114,935 76,694 Amortized to expense during the period (1) (9,343) 798 Adjustment for unrealized investment-related losses (gains) during the period (14,313) — Balance, as of end of period $ 539,165 $ 77,492 (1) These amounts are reported within amortization of policy acquisition costs in the consolidated statements of operations. The following reflects the changes to the value of business acquired ("VOBA") asset: Three Months Ended March 31, 2022 2021 Balance, as of beginning of period $ 959,263 $ 1,024,520 Amortized to expense during the period (1) (17,144) (12,182) Balance, as of end of period $ 942,119 $ 1,012,338 (1) These amounts are reported within amortization of policy acquisition costs in the consolidated statements of operations. The following reflects the changes to the negative VOBA liability: Three Months Ended March 31, 2022 2021 Balance, as of beginning of period $ 1,118,716 $ 1,273,414 Amortized to expense during the period (1) (34,220) (31,862) Balance, as of end of period $ 1,084,496 $ 1,241,552 (1) These amounts are reported within amortization of policy acquisition costs in the consolidated statements of operations. The following reflects the changes to the unearned revenue reserve ("URR") and unearned front-end load ("UFEL): Three Months Ended March 31, 2022 2021 Balance, as of beginning of period $ 33,603 $ — Deferrals 16,686 9,575 Amortized to revenue during the period (1) (5,934) (2,013) Adjustment for unrealized investment-related gains during the period (40,577) — Balance, as of end of period $ 3,778 $ 7,562 (1) These amounts are reported within policy fees in the consolidated statements of operations. |
INVESTMENTS
INVESTMENTS | 3 Months Ended |
Mar. 31, 2022 | |
Investments [Abstract] | |
INVESTMENTS | 90 Days Total Corporate Securities $ — $ 519,752 $ — $ 309,292 $ 829,044 Total borrowing $ — $ 519,752 $ — $ 309,292 $ 829,044 As of December 31, 2021 Overnight <30 Days 30 - 90 Days > 90 Days Total Corporate Securities $ — $ — $ — $ 312,965 $ 312,965 Total borrowing $ — $ — $ — $ 312,965 $ 312,965 Other As of March 31, 2022 and December 31, 2021, the cost or amortized cost and fair value of the assets on deposit with various state and governmental authorities was $184.0 million and $165.6 million, and $182.6 million and $180.8 million, respectively." id="sjs-B4">INVESTMENTS Investments consist of the following: March 31, 2022 December 31, 2021 Asset Management Private Equity $ 26,180,914 $ 25,685,750 Credit 6,821,730 7,949,573 Investments of Consolidated CFEs 22,014,866 22,076,809 Real Assets 14,788,831 12,500,749 Equity Method - Other 4,667,571 4,877,592 Equity Method - Capital Allocation-Based Income 10,254,226 11,539,945 Other Investments 4,042,342 4,145,096 Investments - Asset Management $ 88,770,480 $ 88,775,514 Insurance Fixed maturity securities, available-for-sale, at fair value (1) $ 64,243,697 $ 68,870,886 Mortgage and other loan receivables 31,576,685 28,876,759 Fixed maturity securities, trading, at fair value (2) 13,061,360 13,753,573 Other investments 10,150,075 8,208,566 Funds withheld receivable at interest 2,966,803 2,999,448 Policy loans 762,460 765,310 Equity securities at fair value 38,791 289,133 Investments - Insurance $ 122,799,871 $ 123,763,675 Total Investments $ 211,570,351 $ 212,539,189 ( 1) Amortized cost of $69.1 billion and $69.5 billion, net of credit loss allowances of $96.9 million and $88.1 million. (2) Amortized cost of $14.2 billion and $13.9 billion. As of March 31, 2022 and December 31, 2021, there were no investments which represented greater than 5% of total investments. Fixed maturity securities The cost or amortized cost and fair value for AFS fixed maturity securities were as follows: Cost or amortized cost Allowance for Credit Losses (2)(3) Gross unrealized Fair value As of March 31, 2022 gains losses AFS fixed maturity securities portfolio by type: U.S. government and agencies $ 528,130 $ — $ 475 $ (37,431) $ 491,174 U.S. state, municipal and political subdivisions 5,330,590 — 2,677 (546,271) 4,786,996 Corporate 40,541,267 (5,000) 43,940 (3,634,576) 36,945,631 Residential mortgage-backed securities ("RMBS") 7,377,229 (50,060) 71,724 (235,551) 7,163,342 Commercial mortgage-backed securities ("CMBS") 6,622,204 (6,442) 3,679 (289,380) 6,330,061 Collateralized bond obligations ("CBOs") 3,089,089 (20,800) 2,807 (87,089) 2,984,007 Collateralized loan obligations ("CLOs") 2,685,279 (3,665) 1,009 (39,669) 2,642,954 All other structured securities (1) 2,968,505 (10,941) 19,967 (77,999) 2,899,532 Total AFS fixed maturity securities $ 69,142,293 $ (96,908) $ 146,278 $ (4,947,966) $ 64,243,697 (1) Includes primarily asset-backed securities ("ABS"). (2) Represents the cumulative amount of credit impairments that have been recognized in the consolidated statement of operations (as net investment (losses) gains) or that were recognized as a gross-up of the purchase price of PCD securities. Amount excludes unrealized losses related to non-credit impairment. (3) Includes credit loss allowances on purchase-credit deteriorated fixed-maturity securities of $(38.5) million. Cost or amortized cost Allowance for Credit Losses (2)(3) Gross unrealized Fair value As of December 31, 2021 gains losses AFS fixed maturity securities portfolio by type: U.S. government and agencies $ 785,144 $ — $ 4,171 $ (4,768) $ 784,547 U.S. state, municipal and political subdivisions 5,122,651 — 42,286 (55,240) 5,109,697 Corporate 41,433,757 (3,238) 190,516 (688,648) 40,932,387 RMBS 7,703,030 (50,975) 126,662 (113,359) 7,665,358 CMBS 5,952,656 (282) 16,332 (56,523) 5,912,183 CBOs 3,111,620 (22,160) 6,862 (27,466) 3,068,856 CLOs 2,985,098 (639) 6,554 (5,776) 2,985,237 All other structured securities (1) 2,425,540 (10,839) 19,990 (22,070) 2,412,621 Total AFS fixed maturity securities $ 69,519,496 $ (88,133) $ 413,373 $ (973,850) $ 68,870,886 (1) Includes primarily asset-backed securities ("ABS"). (2) Represents the cumulative amount of credit impairments that have been recognized in the consolidated statement of operations (as net investment (losses) gains) or that were recognized as a gross-up of the purchase price of PCD securities. Amount excludes unrealized losses related to non-credit impairment. (3) Includes credit loss allowances on purchase-credit deteriorated fixed-maturity securities of $(46.4) million. Actual maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties, or Global Atlantic may have the right to put or sell the obligations back to the issuers. The maturity distribution for AFS fixed maturity securities is as follows: As of March 31, 2022 Cost or Fair value Due in one year or less $ 850,975 $ 844,911 Due after one year through five years 8,531,656 8,218,579 Due after five years through ten years 9,999,591 9,505,003 Due after ten years 27,012,765 23,655,308 Subtotal 46,394,987 42,223,801 RMBS 7,327,169 7,163,342 CMBS 6,615,762 6,330,061 CBOs 3,068,289 2,984,007 CLOs 2,681,614 2,642,954 All other structured securities 2,957,564 2,899,532 Total AFS fixed maturity securities $ 69,045,385 $ 64,243,697 As of December 31, 2021 Cost or Fair value Due in one year or less $ 871,340 $ 869,287 Due after one year through five years 9,256,449 9,171,707 Due after five years through ten years 11,460,032 11,350,091 Due after ten years 25,750,493 25,435,546 Subtotal 47,338,314 46,826,631 RMBS 7,652,055 7,665,358 CMBS 5,952,374 5,912,183 CBOs 3,089,460 3,068,856 CLOs 2,984,459 2,985,237 All other structured securities 2,414,701 2,412,621 Total AFS fixed maturity securities $ 69,431,363 $ 68,870,886 Purchased credit deteriorated securities Certain securities purchased by Global Atlantic were assessed at acquisition as having experienced a more-than-insignificant deterioration in credit quality since their origination. These securities are identified as PCD, and a reconciliation of the difference between the purchase price and the par value of these PCD securities is below: Three Months Ended March 31, 2022 2021 Purchase price of PCD securities acquired during the current period $ 5,185 $ 1,591,176 Allowance for credit losses at acquisition 140 121,117 Discount (premium) attributable to other factors 1,207 277,480 Par value $ 6,532 $ 1,989,773 Securities in a continuous unrealized loss position The following tables provide information about AFS fixed maturity securities that have been continuously in an unrealized loss position: Less than 12 months 12 months or more Total As of March 31, 2022 Fair Unrealized losses Fair Unrealized losses Fair Unrealized losses AFS fixed maturity securities portfolio by type: U.S. government and agencies $ 296,069 $ (29,763) $ 92,301 $ (7,668) $ 388,370 $ (37,431) U.S. state, municipal and political subdivisions 4,312,737 (512,738) 252,147 (33,533) 4,564,884 (546,271) Corporate 27,551,887 (3,022,312) 4,842,176 (612,264) 32,394,063 (3,634,576) RMBS 3,997,811 (160,389) 845,265 (75,162) 4,843,076 (235,551) CBOs 2,209,873 (65,789) 507,754 (21,300) 2,717,627 (87,089) CMBS 5,668,051 (273,082) 202,155 (16,298) 5,870,206 (289,380) CLOs 2,259,867 (39,213) 26,875 (456) 2,286,742 (39,669) All other structured securities 1,801,889 (68,226) 187,510 (9,773) 1,989,399 (77,999) Total AFS fixed maturity securities in a continuous loss position $ 48,098,184 $ (4,171,512) $ 6,956,183 $ (776,454) $ 55,054,367 $ (4,947,966) Less than 12 months 12 months or more Total As of December 31, 2021 Fair Unrealized losses Fair Unrealized losses Fair Unrealized losses AFS fixed maturity securities portfolio by type: U.S. government and agencies $ 311,096 $ (4,768) $ — $ — $ 311,096 $ (4,768) U.S. state, municipal and political subdivisions 2,802,309 (55,240) — — 2,802,309 (55,240) Corporate 30,385,514 (688,648) — — 30,385,514 (688,648) RMBS 3,196,876 (113,359) — — 3,196,876 (113,359) CBOs 2,152,790 (27,466) — — 2,152,790 (27,466) CMBS 3,405,774 (56,523) — — 3,405,774 (56,523) CLOs 1,172,330 (5,776) — — 1,172,330 (5,776) All other structured securities 1,348,356 (22,070) — — 1,348,356 (22,070) Total AFS fixed maturity securities in a continuous loss position $ 44,775,045 $ (973,850) $ — $ — $ 44,775,045 $ (973,850) Unrealized gains and losses can be created by changing interest rates or several other factors, including changing credit spreads. Global Atlantic had gross unrealized losses on below investment grade AFS fixed maturity securities of $219.4 million and $77.0 million as of March 31, 2022 and December 31, 2021, respectively. The single largest unrealized loss on AFS fixed maturity securities was $27.2 million and $7.3 million as of March 31, 2022 and December 31, 2021, respectively. Global Atlantic had 5,729 and 4,370 securities in an unrealized loss position as of March 31, 2022 and December 31, 2021, respectively. As of March 31, 2022, AFS fixed maturity securities in an unrealized loss position for 12 months or more consisted of 814 debt securities. These debt securities primarily relate to Corporate, RMBS, and U.S. state, municipal and political subdivisions fixed maturity securities, which have depressed values due primarily to an increase in interest rates since the purchase of these securities. Unrealized losses were not recognized in net income on these debt securities since Global Atlantic neither intends to sell the securities nor does it believe that it is more likely than not that it will be required to sell these securities before recovery of their cost or amortized cost basis. For securities with significant declines in value, individual security level analysis was performed utilizing underlying collateral default expectations, market data and industry analyst reports. Mortgage and other loan receivables Mortgage and other loan receivables consist of the following: March 31, 2022 December 31, 2021 Commercial mortgage loans (1) $ 15,489,750 $ 13,824,772 Residential mortgage loans (1) 9,704,021 8,724,904 Consumer loans 6,137,735 5,617,925 Other loan receivables (2)(3) 645,341 1,083,235 Total mortgage and other loan receivables 31,976,847 29,250,836 Allowance for credit losses (4) (400,162) (374,077) Total mortgage and other loan receivables, net of allowance for loan losses $ 31,576,685 $ 28,876,759 (1) Includes $980.1 million and $805.4 million of loans carried at fair value using the fair value option as of March 31, 2022 and December 31, 2021, respectively. The fair value option was elected for these loans for asset-liability matching purposes. These loans had unpaid principal balances of $989.8 million and $794.1 million as of March 31, 2022 and December 31, 2021, respectively. (2) As of March 31, 2022 and December 31, 2021, other loan receivables consisted primarily of loans collateralized by aircraft of $410.8 million and $850.1 million, respectively. (3) Includes $28.2 million and $27.3 million of related party loans carried at fair value using the fair value option as of March 31, 2022 and December 31, 2021, respectively. These loans had unpaid principal balances of $28.2 million and $27.3 million as of March 31, 2022 and December 31, 2021, respectively. (4) Includes credit loss allowances on purchase-credit deteriorated mortgage and other loan receivables of $(85.1) million and $(77.9) million as of March 31, 2022 and December 31, 2021, respectively. The maturity distribution for residential and commercial mortgage loans was as follows as of March 31, 2022: Years Residential Commercial Total mortgage loans Remainder of 2022 $ 299,047 $ 1,000,106 $ 1,299,153 2023 127,475 1,193,881 1,321,356 2024 832,243 1,710,830 2,543,073 2025 17,770 1,262,962 1,280,732 2026 699,076 3,086,745 3,785,821 2027 118,413 2,571,094 2,689,507 2028 and thereafter 7,609,997 4,664,132 12,274,129 Total $ 9,704,021 $ 15,489,750 $ 25,193,771 Actual maturities could differ from contractual maturities, because borrowers may have the right to prepay (with or without prepayment penalties) and loans may be refinanced. Global Atlantic diversifies its mortgage loan portfolio by both geographic region and property type to reduce concentration risk. The following tables present the mortgage loans by geographic region and property type: Mortgage loans - carrying value by geographic region March 31, 2022 December 31, 2021 Pacific $ 7,313,819 $ 6,675,064 West South Central 2,957,751 2,675,890 South Atlantic 6,057,624 4,996,043 Middle Atlantic 3,377,082 3,142,973 East North Central 1,143,793 590,911 Mountain 2,257,201 1,957,099 New England 1,114,162 1,099,157 East South Central 577,278 1,035,764 West North Central 335,757 350,546 Other regions 59,304 26,229 Total by geographic region $ 25,193,771 $ 22,549,676 Mortgage loans - carrying value by property type March 31, 2022 December 31, 2021 Residential $ 9,704,021 $ 8,724,904 Office building 4,570,721 4,185,146 Apartment 7,240,838 6,194,819 Industrial 2,002,947 1,981,713 Retail 723,329 780,071 Other property types 753,879 483,560 Warehouse 198,036 199,463 Total by property type $ 25,193,771 $ 22,549,676 As of March 31, 2022 and December 31, 2021, Global Atlantic had $213.1 million and $202.7 million of mortgage loans that were 90 days or more past due or in the process of foreclosure, respectively. Global Atlantic ceases accrual of interest on loans that are more than 90 days past due and recognizes income as cash is received. As of March 31, 2022 and December 31, 2021, there were $213.1 million and $202.7 million of mortgage loans that were non-income producing, respectively. As of March 31, 2022 and December 31, 2021, less than 1% and 1% of residential mortgage loans have been granted forbearance due to COVID-19, respectively. This forbearance, which generally involves a 3-month period in which payments are not required (though must subsequently be made up), is not considered to result in troubled debt restructurings for the three months ended March 31, 2022 and 2021. Interest continues to accrue on loans in temporary forbearance. As of March 31, 2022 and December 31, 2021, Global Atlantic had $6.1 million and $5.1 million of consumer loans that were delinquent by more than 120 days or in default, respectively. Purchased credit deteriorated loans Certain residential mortgage loans purchased by Global Atlantic were assessed at acquisition as having experienced a more-than-insignificant deterioration in credit quality since their origination. These loans are identified as PCD, and a reconciliation of the difference between the purchase price and the par value of these PCD loans is below. There were no PCD loans purchased during the three months ended March 31, 2022: Three Months Ended March 31, March 31, 2021 Purchase price of PCD loans acquired during the current period $ 3,694,867 Allowance for credit losses at acquisition 120,259 Discount (premium) attributable to other factors (146,694) Par value $ 3,668,432 Credit quality indicators Mortgage and loan receivable performance status The following table represents the portfolio of mortgage and loan receivables by origination year and performance status: As of March 31, 2022 Performance status 2022 2021 2020 2019 2018 Prior Total Commercial mortgage loans Current $ 1,868,657 $ 6,951,312 $ 948,847 $ 1,751,631 $ 1,305,089 $ 2,664,214 $ 15,489,750 30 to 59 days past due — — — — — — — 60 to 89 days past due — — — — — — — Over 90 days past due — — — — — — — Total commercial mortgage loans $ 1,868,657 $ 6,951,312 $ 948,847 $ 1,751,631 $ 1,305,089 $ 2,664,214 $ 15,489,750 Residential mortgage loans Current $ 219,133 $ 5,336,585 $ 1,686,516 $ 357,644 $ 22,359 $ 1,621,706 $ 9,243,943 30 to 59 days past due — 74,146 12,931 13,197 1,025 90,602 191,901 60 to 89 days past due — 20,935 2,507 1,294 544 29,774 55,054 Over 90 days past due — 11,221 16,696 15,554 2,737 166,915 213,123 Total residential mortgage loans $ 219,133 $ 5,442,887 $ 1,718,650 $ 387,689 $ 26,665 $ 1,908,997 $ 9,704,021 Total mortgage loans $ 2,087,790 $ 12,394,199 $ 2,667,497 $ 2,139,320 $ 1,331,754 $ 4,573,211 $ 25,193,771 As of December 31, 2021 Performance status 2021 2020 2019 2018 2017 Prior Total Commercial mortgage loans Current $ 6,831,655 $ 976,369 $ 1,883,908 $ 1,373,865 $ 817,954 $ 1,941,021 $ 13,824,772 30 to 59 days past due — — — — — — — 60 to 89 days past due — — — — — — — Over 90 days past due — — — — — — — Total commercial mortgage loans $ 6,831,655 $ 976,369 $ 1,883,908 $ 1,373,865 $ 817,954 $ 1,941,021 $ 13,824,772 Residential mortgage loans Current $ 4,505,537 $ 1,576,342 $ 393,153 $ 123,995 $ 65,070 $ 1,711,156 $ 8,375,253 30 to 59 days past due 24,955 6,028 5,818 1,155 739 75,104 113,799 60 to 89 days past due 4,247 1,243 607 — — 27,028 33,125 Over 90 days past due 5,305 14,272 21,985 2,686 — 158,479 202,727 Total residential mortgage loans $ 4,540,044 $ 1,597,885 $ 421,563 $ 127,836 $ 65,809 $ 1,971,767 $ 8,724,904 Total mortgage loans $ 11,371,699 $ 2,574,254 $ 2,305,471 $ 1,501,701 $ 883,763 $ 3,912,788 $ 22,549,676 The following table represents the portfolio of consumer loan receivables by performance status: Performance status March 31, 2022 December 31, 2021 Consumer loans Current $ 6,043,214 $ 5,556,923 30 to 59 days past due 54,012 34,048 60 to 89 days past due 23,937 16,817 Over 90 days past due 16,572 10,137 Total consumer loans $ 6,137,735 $ 5,617,925 Loan-to-value ratio on mortgage loans The loan-to-value ratio is expressed as a percentage of the current amount of the loan relative to the value of the underlying collateral. The following table summarizes the loan-to-value ratios for commercial mortgage loans as of March 31, 2022 and December 31, 2021: Loan-to-value as of March 31, 2022, by year of origination Carrying value loan-to-value 70% and less Carrying value loan-to-value 71% - 90% Carrying value loan-to-value over 90% Total carrying value 2022 $ 1,716,958 $ 151,699 $ — $ 1,868,657 2021 4,965,273 1,986,039 — 6,951,312 2020 788,984 124,861 35,002 948,847 2019 1,615,931 135,700 — 1,751,631 2018 1,256,207 48,882 — 1,305,089 2017 767,459 44,829 — 812,288 Prior 1,848,431 3,495 — 1,851,926 Total commercial mortgage loans $ 12,959,243 $ 2,495,505 $ 35,002 $ 15,489,750 Loan-to-value as of December 31, 2021, by year of origination Carrying value loan-to-value 70% and less Carrying value loan-to-value 71% - 90% Carrying value loan-to-value over 90% Total carrying value 2021 $ 4,910,170 $ 1,921,485 $ — $ 6,831,655 2020 819,406 121,997 34,966 976,369 2019 1,747,656 136,252 — 1,883,908 2018 1,324,807 49,058 — 1,373,865 2017 772,989 44,965 — 817,954 2016 425,926 2,440 — 428,366 Prior 1,497,503 15,152 — 1,512,655 Total commercial mortgage loans $ 11,498,457 $ 2,291,349 $ 34,966 $ 13,824,772 Changing economic conditions affect the valuation of commercial mortgage loans. Changing vacancies and rents are incorporated into the discounted cash flow analysis that Global Atlantic performs for monitored loans and may contribute to the establishment of (or increase or decrease in) a commercial mortgage loan valuation allowance for credit losses. In addition, Global Atlantic continuously monitors its commercial mortgage loan portfolio to identify risk. Areas of emphasis are properties that have exposure to specific geographic events, or have deteriorating credit. The weighted average loan-to-value ratio for the residential mortgage loans was 66% and 68% as of March 31, 2022 and December 31, 2021, respectively . Other investments Other investments consist of the following: March 31, 2022 December 31, 2021 Investments in real estate (1) $ 3,564,803 $ 1,564,853 Investments in renewable energy (2) 3,510,579 3,573,811 Investments in transportation and other leased assets (3) 2,638,884 2,663,759 Other investment partnerships 250,796 234,301 FHLB common stock and other investments 185,013 171,842 Total other investments $ 10,150,075 $ 8,208,566 (1) Investments in real estate are held in consolidated investment companies that use fair value accounting. (2) Net of accumulated depreciation attributed to consolidated renewable energy assets of $177.9 million and $156.8 million as of March 31, 2022 and December 31, 2021, respectively. (3) Net of accumulated depreciation of $137.5 million and $105.1 million as of March 31, 2022 and December 31, 2021, respectively. The total amount of other investments accounted for using the equity method of accounting was $1.2 billion as of both March 31, 2022 and December 31, 2021 . Global Atlantic's maximum exposure to loss related to these equity method investments is limited to the carrying value of these investments plus unfunded commitments of $20.5 million and $22.4 million as of March 31, 2022 and December 31, 2021, respectively. In addition, Global Atlantic has investments that would otherwise require the equity method of accounting for which the fair value option has been elected. The carrying amount of these investments was $174.9 million and $147.8 million as of March 31, 2022 and December 31, 2021, respectively. Funding agreements Certain Global Atlantic subsidiaries are members of regional banks in the Federal Home Loan Bank ("FHLB") system. These subsidiaries have also entered into funding agreements with their respective FHLB. The funding agreements are issued in exchange for cash. The funding agreements require that Global Atlantic pledge eligible assets, such as commercial mortgage loans, as collateral. With respect to certain classes of eligible assets, the FHLB holds the pledged eligible assets in custody at the respective FHLB. The liabilities for the funding agreements are included in policy liabilities in the consolidated statements of financial condition. Information related to the FHLB investment and funding agreements as of March 31, 2022 and December 31, 2021 is as follows: Investment in common stock Funding agreements issued to FHLB member banks Collateral March 31, 2022 December 31, 2021 March 31, 2022 December 31, 2021 March 31, 2022 December 31, 2021 FHLB Indianapolis $ 80,640 $ 80,640 $ 1,616,408 $ 1,619,765 $ 2,584,557 $ 2,577,698 FHLB Des Moines 34,600 34,600 620,901 620,006 1,036,313 1,004,530 FHLB Boston 22,520 22,520 325,375 326,639 482,410 553,384 Total $ 137,760 $ 137,760 $ 2,562,684 $ 2,566,410 $ 4,103,280 $ 4,135,612 In addition, in January 2021, Global Atlantic launched an inaugural funding agreement backed note ("FABN") program, through which GA Global Funding Trust, a special purpose statutory trust, was established to offer its senior secured medium-term notes. Net proceeds from each sale of the aforementioned notes are used to purchase one or more funding agreements from Forethought Life Insurance Company, an insurance subsidiary of Global Atlantic. As of March 31, 2022 and December 31, 2021, Global Atlantic had $4.6 billion and $3.5 billion of such funding agreements outstanding, with $5.4 billion and $6.5 billion of remaining capacity under the program, respectively. Subsequent to quarter-end, in April 2022, Global Atlantic issued an additional $900 million of funding agreements in connection with the program. Repurchase agreement transactions As of March 31, 2022 and December 31, 2021, Global Atlantic participated in third-party repurchase agreements with a notional value of $810.5 million and $300.4 million, respectively. As collateral for these transactions, as of March 31, 2022 and December 31, 2021, Global Atlantic posted fixed maturity securities with a fair value and amortized cost of $829.0 million and $915.0 million, and $313.0 million and $317.0 million, respectively, which are included in Insurance - Investments in the consolidated statements of financial condition. The fair value of securities pledged for repurchase agreements by class of collateral and remaining contractual maturity as of March 31, 2022 and December 31, 2021 is presented in the following tables: As of March 31, 2022 Overnight <30 Days 30 - 90 Days > 90 Days Total Corporate Securities $ — $ 519,752 $ — $ 309,292 $ 829,044 Total borrowing $ — $ 519,752 $ — $ 309,292 $ 829,044 As of December 31, 2021 Overnight <30 Days 30 - 90 Days > 90 Days Total Corporate Securities $ — $ — $ — $ 312,965 $ 312,965 Total borrowing $ — $ — $ — $ 312,965 $ 312,965 Other As of March 31, 2022 and December 31, 2021, the cost or amortized cost and fair value of the assets on deposit with various state and governmental authorities was $184.0 million and $165.6 million, and $182.6 million and $180.8 million, respectively. |
DERIVATIVES
DERIVATIVES | 3 Months Ended |
Mar. 31, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVES | DERIVATIVES Asset Management KKR and certain of its consolidated funds have entered into derivative transactions as part of their overall risk management for the asset management business and investment strategies. These derivative contracts are not designated as hedging instruments for accounting purposes. Such contracts may include forward, swap and option contracts related to foreign currencies and interest rates to manage foreign exchange risk and interest rate risk arising from certain assets and liabilities. All derivatives are recognized in Other Assets or Accrued Expenses and Other Liabilities and are presented on a gross basis in the consolidated statements of financial condition and measured at fair value with changes in fair value recorded in Net Gains (Losses) from Investment Activities in the accompanying consolidated statements of operations. KKR's derivative financial instruments contain credit risk to the extent that its counterparties may be unable to meet the terms of the agreements. KKR attempts to reduce this risk by limiting its counterparties to major financial institutions with strong credit ratings. Insurance Global Atlantic holds derivative instruments that are primarily used in its hedge program. Global Atlantic has established a hedge program that seeks to mitigate economic impacts primarily from interest rate and equity price movements, while taking into consideration accounting and capital impacts. Global Atlantic hedges interest rate and equity market risks associated with its insurance liabilities including fixed-indexed annuities, indexed universal life policies, variable annuity policies and variable universal life policies, among others. For fixed-indexed annuities and indexed universal life policies, Global Atlantic generally seeks to use static hedges to offset the exposure primarily created by changes in its embedded derivative balances. Global Atlantic generally purchases options which replicate the crediting rate strategies, often in the form of call spreads. Call spreads are the purchase of a call option matched by the sale of a different call option. For variable annuities and variable universal life policies, Global Atlantic generally seeks to dynamically hedge its exposure to changes in the value of the guarantee it provides to policyholders. Doing so requires the active trading of several financial instruments to respond to changes in market conditions. In addition, Global Atlantic enters into inflation swaps to manage inflation risk associated with inflation-indexed preneed policies. In the context of specific reinsurance transactions in the institutional channel or acquisitions, Global Atlantic may also enter into hedges which are designed to limit short-term market risks to the economic value of the target assets. From time to time, Global Atlantic also enters into hedges designed to mitigate interest rate and credit risk in investment income, interest expense, and fair value of assets and liabilities. In addition, Global Atlantic enters into currency swaps and forwards to manage any foreign exchange rate risks that may arise from investments denominated in foreign currencies. Global Atlantic attempts to mitigate the risk of loss due to ineffectiveness under these derivative investments through a regular monitoring process which evaluates the program’s effectiveness. Global Atlantic is exposed to risk of loss in the event of non-performance by the counterparties and, accordingly, all option contracts are purchased from counterparties that have been evaluated for creditworthiness. All of these counterparties are nationally recognized financial institutions with a Moody’s or S&P investment-grade credit rating. Global Atlantic monitors its derivative activities by reviewing portfolio activities and risk levels. Global Atlantic also oversees all derivative transactions to ensure that the types of transactions entered into and the results obtained from those transactions are consistent with both Global Atlantic's risk management strategy and its policies and procedures. The restricted cash which was held in connection with open derivative transactions with exchange brokers was $363.7 million and $151.1 million as of March 31, 2022 and December 31, 2021, respectively. Global Atlantic also has embedded derivatives related to reinsurance contracts that are accounted for on a modified coinsurance and funds withheld basis. An embedded derivative exists because the arrangement exposes the reinsurer to third-party credit risk. These embedded derivatives are included in funds withheld receivable at interest in the consolidated balance sheets. Derivatives designated as accounting hedges Where Global Atlantic has derivative instruments that are designated and qualify as accounting hedges, these derivative instruments receive hedge accounting. Global Atlantic has designated interest rate swaps to hedge the interest rate risk associated with the $500 million senior unsecured notes due 2029, $650 million senior unsecured notes due 2031, FHLB and FABN funding agreement liabilities in fair value hedges. The 2029 Senior Notes and 2031 Senior Notes are reported in debt and FHLB and FABN funding agreement liabilities are reported in policy liabilities in the consolidated statements of financial condition and are hedged through their respective maturities. These hedges qualify for the shortcut method of assessing hedge effectiveness. The following table represents the gains (losses) recognized on derivative instruments and related hedged items in fair value hedging relationship: Three Months Ended March 31, 2022 Derivatives Hedged items Net 2029 Senior Notes $ (29,121) $ 29,121 $ — 2031 Senior Notes (41,439) 41,439 — FHLB funding agreement liabilities (18,791) 18,791 — FABN liabilities (102,583) 102,583 — Three Months Ended March 31, 2021 Derivatives Hedged items Net 2029 Senior Notes $ (26,379) $ 26,379 $ — FHLB funding agreement liabilities (5,325) 5,325 — The following table represents the carrying values and fair value adjustments for the hedged items: As of March 31, 2022 As of December 31, 2021 Carrying value Fair value of hedge adjustments Carrying value Fair value of hedge adjustments 2029 Senior Notes $ 436,868 $ (29,121) $ 473,890 $ (18,808) 2031 Senior Notes 608,561 (41,439) 644,439 (5,561) FHLB funding agreement liabilities 1,038,085 (18,791) 1,070,770 (16,092) FABN liabilities 3,921,609 (102,583) — — Global Atlantic has designated bond forwards to hedge the interest rate risk associated with the planned purchase of AFS debt securities in cash flow hedges. Regression analysis is used to assess the effectiveness of these hedges. As of March 31, 2022 and December 31, 2021, there was a cumulative (loss) gain of $(48.1) million and $9.4 million on the bond forwards recorded in accumulated other comprehensive (loss) income, respectively. Amounts deferred in accumulated other comprehensive (loss) income are reclassified to net investment income following the qualifying purchases of AFS securities, as an adjustment to the yield earned over the life of the purchased securities, using the effective interest method. These arrangements are hedging purchases from July 2021 through January 2027 and are expected to affect earnings until 2051. There were $2.9 million of securities purchased for the three months ended March 31, 2022. Global Atlantic estimates that the amount of gains/losses in accumulated other comprehensive (loss) income to be reclassified into earnings in the next 12 months will not be material. Global Atlantic has designated foreign exchange forward purchase contracts ("FX forwards") to hedge the foreign currency risk associated with foreign currency-denominated bonds in fair value hedges. These foreign currency-denominated bonds are accounted for as AFS fixed maturity securities. Changes in the fair value of the hedged AFS fixed maturity securities due to changes in spot exchange rates are reclassified from AOCI to earnings, which offsets the earnings impact of the spot changes of the FX forwards. The effectiveness of these hedges is assessed using the spot method. Changes in the fair value of the FX forwards related to changes in the spot-forward difference are excluded from the assessment of hedge effectiveness and are deferred in AOCI and recognized in earnings using a systematic and rational method over the life of the FX forwards. The following table represents the gains (losses) related to the FX forwards hedging instruments: Three Months Ended March 31, 2022 2021 Net investment-related gains (losses) $ 40,742 $ 2,825 AOCI 18,318 165 Amortization - excluded component 3,544 (839) The fair value and notional value of the derivative assets and liabilities were as follows: As of March 31, 2022 Notional Value Derivative Derivative Asset Management Foreign Exchange Contracts and Options $ 5,891,394,106 $ 367,079 $ 239,875 Other Derivatives 98,851,905 5,294 28,077 Total Asset Management 372,373 267,952 Insurance Equity market contracts $ 129,988,065 $ 931,021 $ 181,694 Interest rate contracts 11,794,558 297,358 509,816 Foreign currency contracts 2,209,118 47,866 20,988 Credit risk contracts 113,133 — 1,360 Impact of netting (1) (251,656) (251,656) Fair value included within derivative assets and derivative liabilities 1,024,589 462,202 Embedded derivative – indexed universal life products — 512,015 Embedded derivative – annuity products — 1,777,832 Fair value included within policy liabilities — 2,289,847 Embedded derivative – funds withheld at interest 8,196 (1,219,491) Total Insurance 1,032,785 1,532,558 Fair value included within total assets and liabilities $ 1,405,158 $ 1,800,510 (1) Represents netting of derivative exposures covered by qualifying master netting agreements. As of December 31, 2021 Notional Value Derivative Derivative Asset Management Foreign Exchange Contracts and Options $ 12,822,521 $ 590,637 $ 319,511 Other Derivatives 505,725 491 45,003 Total Asset Management 591,128 364,514 Insurance Equity market contracts $ 31,294,053 $ 1,216,843 $ 186,754 Interest rate contracts 16,692,035 198,658 101,245 Foreign currency contracts 1,517,434 32,464 7,639 Credit risk contracts 107,754 — 1,540 Impact of netting (1) (152,015) (152,015) Fair value included within derivative assets and derivative liabilities 1,295,950 145,163 Embedded derivative – indexed universal life products — 557,276 Embedded derivative – annuity products — 1,983,949 Fair value included within policy liabilities — 2,541,225 Embedded derivative – funds withheld at interest 31,740 (49,491) Total Insurance 1,327,690 2,636,897 Fair value included within total assets and liabilities $ 1,918,818 $ 3,001,411 (1) Represents netting of derivative exposures covered by qualifying master netting agreements. The amounts of derivative gains and losses recognized are reported in the consolidated statements of operations as follows: Derivative contracts not designated as hedges Three Months Ended March 31, 2022 2021 Asset Management Net Gains (Losses) from Investment Activities: Foreign Exchange Contracts and Options $ (56,117) $ 9,549 Other Derivatives 8,132 (1,187) Total included in Net Gains (Losses) from Investment Activities $ (47,985) $ 8,362 Insurance Net investment-related gains (losses): Funds withheld receivable embedded derivatives $ (33,980) $ 55,883 Funds withheld payable embedded derivatives 1,180,435 313,230 Equity index options (223,366) 104,021 Equity future contracts 79,796 (69,583) Interest rate contracts (150,176) (256,793) Credit risk contracts (1,532) (36) Total included in net investment-related gains (losses) $ 851,177 $ 146,722 Derivative contracts designated as hedges Three Months Ended March 31, 2022 2021 Insurance Revenues: Foreign currency forwards $ 8,557 $ 1,810 Total included in net investment-related gains (losses) $ 8,557 $ 1,810 Policy benefits and claims: Interest rate swap $ (129,931) $ (8,403) Total included in policy benefits and claims $ (129,931) $ (8,403) Interest expense: Interest rate swap $ (70,561) $ (24,776) Total included in interest expense $ (70,561) $ (24,776) The amount of Global Atlantic's net derivative assets and liabilities after consideration of collateral received or pledged were as follows: As of March 31, 2022 Gross amount recognized Gross amounts offset in the statement of financial position (1) Net amounts presented in the statement of financial condition Collateral (received) / pledged Net amount after collateral Derivative assets (excluding embedded derivatives) $ 1,276,245 $ (251,656) $ 1,024,589 $ (894,687) $ 129,902 Derivative liabilities (excluding embedded derivatives) $ 713,858 $ (251,656) $ 462,202 $ 79,070 $ 383,132 (1) Represents netting of derivative exposures covered by qualifying master netting agreements. As of December 31, 2021 Gross amount recognized Gross amounts offset in the statement of financial position (1) Net amounts presented in the statement of financial condition Collateral (received) / pledged Net amount after collateral Derivative assets (excluding embedded derivatives) $ 1,447,965 $ (152,015) $ 1,295,950 $ (1,086,061) $ 209,889 Derivative liabilities (excluding embedded derivatives) $ 297,178 $ (152,015) $ 145,163 $ 49,860 $ 95,303 (1) Represents netting of derivative exposures covered by qualifying master netting agreements. |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 3 Months Ended |
Mar. 31, 2022 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS | FAIR VALUE MEASUREMENTS The following tables summarize the valuation of assets and liabilities measured and reported at fair value by the fair value hierarchy. Investments classified as Equity Method - Other, for which the fair value option has not been elected, and Equity Method - Capital Allocation-Based Income have been excluded from the tables below. Assets, at fair value: March 31, 2022 Level I Level II Level III Total Asset Management Private Equity $ 1,906,139 $ 275,759 $ 23,999,016 $ 26,180,914 Credit — 1,506,877 5,314,853 6,821,730 Investments of Consolidated CFEs — 22,014,866 — 22,014,866 Real Assets — 1,496,708 13,292,123 14,788,831 Equity Method - Other 492,913 29,985 984,904 1,507,802 Other Investments 898,329 9,087 3,134,926 4,042,342 Total Investments 3,297,381 25,333,282 46,725,822 75,356,485 Foreign Exchange Contracts and Options — 367,079 — 367,079 Other Derivatives 547 4,042 705 (1) 5,294 Total Assets at Fair Value - Asset Management $ 3,297,928 $ 25,704,403 $ 46,726,527 $ 75,728,858 Insurance AFS fixed maturity securities: U.S. government and agencies $ 301,899 $ 189,275 $ — $ 491,174 U.S. state, municipal and political subdivisions — 4,786,996 — 4,786,996 Corporate — 28,975,437 7,970,195 36,945,632 Structured securities — 20,637,356 1,382,539 22,019,895 Total AFS fixed maturity securities 301,899 54,589,064 9,352,734 64,243,697 Trading fixed maturity securities: U.S. government and agencies 233,754 158,440 — 392,194 U.S. state, municipal and political subdivisions — 857,021 — 857,021 Corporate — 7,582,756 705,685 8,288,441 Structured securities — 2,893,125 630,579 3,523,704 Total trading fixed maturity securities 233,754 11,491,342 1,336,264 13,061,360 Equity securities 5,854 — 32,937 38,791 Mortgage and other loan receivables (2) — — 1,007,906 1,007,906 Other investments (3) — — 3,620,186 3,620,186 Funds withheld receivable at interest — — 8,196 8,196 Reinsurance recoverable — — 1,231,957 1,231,957 Derivative assets: Equity market contracts 57,568 873,453 — 931,021 Interest rate contracts 38,903 258,455 — 297,358 Foreign currency contracts — 47,866 — 47,866 Impact of netting (4) (38,609) (213,047) — (251,656) Total derivative assets 57,862 966,727 — 1,024,589 Separate account assets 5,069,742 — — 5,069,742 Total Assets at Fair Value - Insurance $ 5,669,111 $ 67,047,133 $ 16,590,180 $ 89,306,424 Total Assets at Fair Value $ 8,967,039 $ 92,751,536 $ 63,316,707 $ 165,035,282 December 31, 2021 Level I Level II Level III Total Asset Management Private Equity $ 2,044,380 $ 318,736 $ 23,322,634 $ 25,685,750 Credit — 2,122,912 5,826,661 7,949,573 Investments of Consolidated CFEs — 22,076,809 — 22,076,809 Real Assets — 1,111,219 11,389,530 12,500,749 Equity Method - Other 482,061 105,647 1,013,807 1,601,515 Other Investments 759,002 146,081 3,240,013 4,145,096 Total Investments 3,285,443 25,881,404 44,792,645 73,959,492 Foreign Exchange Contracts and Options — 590,637 — 590,637 Other Derivatives — 12 479 (1) 491 Total Assets at Fair Value - Asset Management $ 3,285,443 $ 26,472,053 $ 44,793,124 $ 74,550,620 Insurance AFS fixed maturity securities: U.S. government and agencies $ 500,325 $ 284,222 $ — $ 784,547 U.S. state, municipal and political subdivisions — 5,109,697 — 5,109,697 Corporate — 33,281,727 7,650,660 40,932,387 Structured securities — 21,215,854 828,401 22,044,255 Total AFS fixed maturity securities 500,325 59,891,500 8,479,061 68,870,886 Trading fixed maturity securities: U.S. government and agencies 371,366 252,266 — 623,632 U.S. state, municipal and political subdivisions — 879,463 — 879,463 Corporate — 8,486,922 565,025 9,051,947 Structured securities — 2,779,757 418,774 3,198,531 Total trading fixed maturity securities 371,366 12,398,408 983,799 13,753,573 Equity securities 256,196 — 32,937 289,133 Mortgage and other loan receivables (2) — — 832,674 832,674 Other investments (3) — — 1,603,345 1,603,345 Funds withheld receivable at interest — — 31,740 31,740 Reinsurance recoverable — — 1,293,791 1,293,791 Derivative assets: Equity market contracts 66,510 1,150,333 — 1,216,843 Interest rate contracts 44,472 154,186 — 198,658 Foreign currency contracts — 32,464 — 32,464 Impact of netting (4) (25,588) (126,427) — (152,015) Total derivative assets 85,394 1,210,556 — 1,295,950 Separate account assets 5,586,428 — — 5,586,428 Total Assets at Fair Value - Insurance $ 6,799,709 $ 73,500,464 $ 13,257,347 $ 93,557,520 Total Assets at Fair Value $ 10,085,152 $ 99,972,517 $ 58,050,471 $ 168,108,140 (1) Includes derivative assets that were valued using a third-party valuation firm. The approach used to estimate the fair value of these derivative assets was generally the discounted cash flow method, which includes consideration of the current portfolio, projected portfolio construction, projected portfolio realizations, portfolio volatility (based on the volatility, correlation, and size of each underlying asset class), and the discounting of future cash flows to the reporting date. (2) Includes related party balance of $28.2 million and $27.3 million in Level III for mortgage and other loan receivables as of March 31, 2022 and December 31, 2021, respectively. (3) Other investments excluded from the fair value hierarchy include certain real estate and private equity funds for which fair value is measured at net asset value per share as a practical expedient. As of March 31, 2022 and December 31, 2021, the fair value of these investments was $135.9 million and $108.7 million, respectively. (4) Represents netting of derivative exposures covered by qualifying master netting agreements. Liabilities, at fair value: March 31, 2022 Level I Level II Level III Total Asset Management Securities Sold Short $ 136,128 $ — $ — $ 136,128 Foreign Exchange Contracts and Options — 239,875 — 239,875 Unfunded Revolver Commitments — — 64,556 (1) 64,556 Other Derivatives — 28,077 — 28,077 Debt Obligations of Consolidated CFEs — 21,213,206 — 21,213,206 Total Liabilities at Fair Value - Asset Management $ 136,128 $ 21,481,158 $ 64,556 $ 21,681,842 Insurance Policy liabilities $ — $ — $ 466,408 $ 466,408 Closed block policy liabilities — — 1,269,991 1,269,991 Funds withheld payable at interest — — (1,219,491) (1,219,491) Derivative instruments payable: Equity market contracts 63,886 117,808 — 181,694 Interest rate contracts 72,352 437,464 — 509,816 Foreign currency contracts — 20,988 — 20,988 Credit contracts — 1,360 — 1,360 Impact of netting (2) (38,609) (213,047) — (251,656) Total derivative instruments payable 97,629 364,573 — 462,202 Embedded derivative – indexed universal life products — — 512,015 512,015 Embedded derivative – annuity products — — 1,777,832 1,777,832 Total Liabilities at Fair Value - Insurance $ 97,629 $ 364,573 $ 2,806,755 $ 3,268,957 Total Liabilities at Fair Value $ 233,757 $ 21,845,731 $ 2,871,311 $ 24,950,799 December 31, 2021 Level I Level II Level III Total Asset Management Securities Sold Short $ 249,383 $ — $ — $ 249,383 Foreign Exchange Contracts and Options — 319,511 — 319,511 Unfunded Revolver Commitments — — 64,276 (1) 64,276 Other Derivatives — 45,003 — 45,003 Debt Obligations of Consolidated CFEs — 21,271,084 — 21,271,084 Total Liabilities at Fair Value - Asset Management $ 249,383 $ 21,635,598 $ 64,276 $ 21,949,257 Insurance Policy liabilities $ — $ — $ 519,454 $ 519,454 Closed block policy liabilities — — 1,350,224 1,350,224 Funds withheld payable at interest — — (49,491) (49,491) Derivative instruments payable: Equity market contracts 33,933 152,821 — 186,754 Interest rate contracts 14,009 87,236 — 101,245 Foreign currency contracts — 7,639 — 7,639 Credit contracts — 1,540 — 1,540 Impact of netting (2) (25,588) (126,427) — (152,015) Total derivative instruments payable 22,354 122,809 — 145,163 Embedded derivative – indexed universal life products — — 557,276 557,276 Embedded derivative – annuity products — — 1,983,949 1,983,949 Total Liabilities at Fair Value - Insurance $ 22,354 $ 122,809 $ 4,361,412 $ 4,506,575 Total Liabilities at Fair Value $ 271,737 $ 21,758,407 $ 4,425,688 $ 26,455,832 (1) These unfunded revolver commitments are classified as Level III within the fair value hierarchy and valued using the same valuation methodologies as KKR's Level III credit investments. (2) Represents netting of derivative exposures covered by qualifying master netting agreement. The following tables summarize changes in assets and liabilities measured and reported at fair value for which Level III inputs have been used to determine fair value for the three months ended March 31, 2022 and 2021, respectively. For certain insurance disclosures, the beginning of the period represents balances as of the GA Acquisition Date. Three Months Ended March 31, 2022 Balance, Beg. of Period Transfers In / (Out) - Changes in Consolidation Transfers Transfers Out Net Purchases/Issuances/Sales/Settlements Net Unrealized and Realized Gains (Losses) Change in OCI Balance, End of Period Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date Changes in Net Unrealized Gains (Losses) Included in OCI related to Level III Assets and Liabilities still held as of the Reporting Date Assets Asset Management Private Equity $ 23,322,634 $ — $ — $ (138,220) $ 680,792 $ 133,810 $ — $ 23,999,016 $ 18,304 $ — Credit 5,826,661 — — — (383,841) (126,598) (1,369) 5,314,853 (58,683) (1,369) Real Assets 11,389,530 — — — 1,008,641 893,952 — 13,292,123 864,586 — Equity Method - Other 1,013,807 — — — 40,182 (69,085) — 984,904 (71,310) — Other Investments 3,240,013 — — — (86,258) (18,829) — 3,134,926 (14,995) — Other Derivatives 479 — — — 11,284 (11,058) — 705 (11,058) — Total Assets - Asset Management 44,793,124 — — (138,220) 1,270,800 802,192 (1,369) 46,726,527 726,844 (1,369) Insurance AFS fixed maturity securities: Corporate fixed maturity securities 7,650,660 — — — 391,605 1,275 (73,345) 7,970,195 — (46,123) Structured securities 828,401 — 343,338 — 228,734 (3,409) (14,525) 1,382,539 — (20,703) Total AFS fixed maturity securities 8,479,061 — 343,338 — 620,339 (2,134) (87,870) 9,352,734 — (66,826) Trading fixed maturity securities: Corporate fixed maturity securities 565,025 — — (31,407) 182,432 (10,365) — 705,685 (11,116) — Structured securities 418,774 — 98,307 (21,745) 144,203 (8,960) — 630,579 (10,412) — Total trading fixed maturity securities 983,799 — 98,307 (53,152) 326,635 (19,325) — 1,336,264 (21,528) — Equity securities 32,937 — — — — — — 32,937 20,292 — Mortgage and other loan receivables 832,674 — — — 203,197 (27,965) — 1,007,906 (9,559) — Other investments 1,603,345 — — — 1,920,480 96,361 — 3,620,186 108,587 — Funds withheld receivable at interest 31,740 — — — 10,435 (33,979) — 8,196 — — Reinsurance recoverable 1,293,791 — — — (14,375) (47,459) — 1,231,957 — — Total Assets - Insurance 13,257,347 — 441,645 (53,152) 3,066,711 (34,501) (87,870) 16,590,180 97,792 (66,826) Total $ 58,050,471 $ — $ 441,645 $ (191,372) $ 4,337,511 $ 767,691 $ (89,239) $ 63,316,707 $ 824,636 $ (68,195) Three Months Ended March 31, 2021 Balance, Beg. of Period Transfers In / (Out) - Changes in Consolidation Transfers In Transfers Out Net Purchases/Issuances/Sales/Settlements Net Unrealized and Realized Gains (Losses) Change in OCI Balance, End of Period Changes in Net Unrealized Gains (Losses) Included in Net Gains (Losses) from Investment Activities related to Level III Assets and Liabilities still held as of the Reporting Date Changes in Net Unrealized Gains (Losses) Included in OCI related to Level III Assets and Liabilities still held as of the Reporting Date Assets Asset Management Private Equity $ 15,234,904 $ — $ — $ — $ 130,309 $ 1,698,596 $ — $ 17,063,809 $ 1,622,804 $ — Credit 9,172,848 (1,021) 86,135 — 92,140 33,640 2,139 9,385,881 61,774 2,139 Real Assets 5,924,575 — — — 696,345 258,297 — 6,879,217 231,898 — Equity Method - Other 1,014,378 — — — (153,840) 181,242 — 1,041,780 180,258 — Other Investments 2,341,981 (2,879) — (105,644) 63,054 176,853 — 2,473,365 214,879 — Other Derivatives 6,668 — — — 3,574 (6,841) — 3,401 (6,841) — Total Assets - Asset Management 33,695,354 (3,900) 86,135 (105,644) 831,582 2,341,787 2,139 36,847,453 2,304,772 2,139 Insurance AFS fixed maturity securities: Corporate fixed maturity securities 3,519,368 — — — 244,578 — (24,416) 3,739,530 — (22,210) Structured securities 197,983 — — — (1,692) — (3,185) 193,106 — 474 Total AFS fixed maturity securities 3,717,351 — — — 242,886 — (27,601) 3,932,636 — (21,736) Trading fixed maturity securities: Corporate fixed maturity securities 674,380 — — — 55,699 (4,001) — 726,078 (3,600) — Structured securities 14,661 — — — 8,055 (183) — 22,533 (222) — Total trading fixed maturity securities 689,041 — — — 63,754 (4,184) — 748,611 (3,822) — Equity securities 66,660 — — — — 3,325 — 69,985 3,325 — Mortgage and other loan receivables 929,855 — — — 247,719 5,500 — 1,183,074 6,322 — Other investments 443,824 — — — — 1,058 — 444,882 6,092 — Funds withheld receivable at interest — — — — 334 55,549 — 55,883 — — Reinsurance recoverable — — — — — 1,317,962 — 1,317,962 — — Total Assets - Insurance 5,846,731 — — — 554,693 1,379,210 (27,601) 7,753,033 11,917 (21,736) Total $ 39,542,085 $ (3,900) $ 86,135 $ (105,644) $ 1,386,275 $ 3,720,997 $ (25,462) $ 44,600,486 $ 2,316,689 $ (19,597) Three Months Ended March 31, 2022 Purchases Issuances Sales Settlements Net Purchases/ Issuances/ Sales/ Settlements Assets Asset Management Private Equity $ 904,261 $ — $ (223,469) $ — $ 680,792 Credit 519,351 — (885,330) (17,862) (383,841) Real Assets 1,510,787 — (502,146) — 1,008,641 Equity Method - Other 41,819 — (1,637) — 40,182 Other Investments 161,876 — (248,134) — (86,258) Other Derivatives 11,284 — — — 11,284 Total Assets - Asset Management 3,149,378 — (1,860,716) (17,862) 1,270,800 Insurance AFS fixed maturity securities: Corporate fixed maturity securities 924,672 — (58,392) (474,675) 391,605 Structured securities 231,916 — — (3,182) 228,734 Total AFS fixed maturity securities 1,156,588 — (58,392) (477,857) 620,339 Trading fixed maturity securities: Corporate fixed maturity securities 189,017 — — (6,585) 182,432 Structured securities 155,253 — — (11,050) 144,203 Total trading fixed maturity securities 344,270 — — (17,635) 326,635 Mortgage and other loan receivables 220,225 — — (17,028) 203,197 Other investments 1,920,480 — — — 1,920,480 Funds withheld receivable at interest — 10,435 — — 10,435 Reinsurance recoverable — — — (14,375) (14,375) Total Assets - Insurance 3,641,563 10,435 (58,392) (526,895) 3,066,711 Total $ 6,790,941 $ 10,435 $ (1,919,108) $ (544,757) $ 4,337,511 Three Months Ended March 31, 2021 Purchases Issuances Sales Settlements Net Purchases/ Issuances/ Sales/ Settlements Assets Asset Management Private Equity $ 221,344 $ — $ (91,035) $ — $ 130,309 Credit 1,120,791 — (1,028,651) — 92,140 Real Assets 924,320 — (227,975) — 696,345 Equity Method - Other 144 — (153,984) — (153,840) Other Investments 89,502 — (26,448) — 63,054 Other Derivatives 3,574 — — — 3,574 Total Assets - Asset Management 2,359,675 — (1,528,093) — 831,582 Insurance AFS fixed maturity securities: Corporate fixed maturity securities 287,638 — (3,299) (39,761) 244,578 Structured securities 10 — — (1,702) (1,692) Total AFS fixed maturity securities 287,648 — (3,299) (41,463) 242,886 Trading fixed maturity securities: Corporate fixed maturity securities 57,451 — — (1,752) 55,699 Structured securities 8,110 — — (55) 8,055 Total trading fixed maturity securities 65,561 — — (1,807) 63,754 Mortgage and other loan receivables 254,995 — (5,076) (2,200) 247,719 Funds withheld receivable at interest — 334 — — 334 Total Assets - Insurance 608,204 334 (8,375) (45,470) 554,693 Total $ 2,967,879 $ 334 $ (1,536,468) $ (45,470) $ 1,386,275 Three Months Ended March 31, 2022 Balance, Beg. of Period Transfers In / (Out) - Changes in Consolidation Transfers In Transfers Out Net Purchases/Sales/Settlements/Issuances Net Unrealized and Realized Gains (Losses) Change in OCI Balance, End of Period Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date Liabilities Asset Management Unfunded Revolver Commitments $ 64,276 $ — $ — $ — $ — $ 280 $ — $ 64,556 $ 280 Total Liabilities - Asset Management 64,276 — — — — 280 — 64,556 280 Insurance Policy liabilities 519,454 — — — — (53,046) — 466,408 — Closed block policy liabilities 1,350,224 — — — (81,101) (2,992) 3,860 1,269,991 — Funds withheld payable at interest (49,491) — — — 10,435 (1,180,435) — (1,219,491) — Embedded derivative – indexed universal life products 557,276 — — — 3,302 (48,563) — 512,015 — Embedded derivative – annuity products 1,983,949 — — — 107,302 (313,419) — 1,777,832 — Total Liabilities - Insurance 4,361,412 — — — 39,938 (1,598,455) 3,860 2,806,755 — Total $ 4,425,688 $ — $ — $ — $ 39,938 $ (1,598,175) $ 3,860 $ 2,871,311 $ 280 Three Months Ended March 31, 2021 Balance, Beg. of Period Transfers In / (Out) - Changes in Consolidation Transfers In Transfers Out Net Purchases/Sales/Settlements/Issuances Net Unrealized and Realized Gains (Losses) Change in OCI Balance, End of Period Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date Liabilities Asset Management Unfunded Revolver Commitments $ 46,340 $ — $ — $ — $ 1,167 $ (11,870) $ — $ 35,637 $ (11,870) Total Liabilities - Asset Management $ 46,340 $ — $ — $ — $ 1,167 $ (11,870) $ — $ 35,637 $ (11,870) Insurance Policy liabilities 637,800 — — — — (72,158) — 565,642 — Closed block policy liabilities 1,395,746 — — — — (25,982) (2,885) 1,366,879 — Funds withheld payable at interest 59,230 — — — — (372,460) — (313,230) — Embedded derivative – indexed universal life products 386,746 — — — (931) 48,427 — 434,242 — Embedded derivative – annuity products 1,024,601 — — — 44,809 (84,500) — 984,910 — Total Liabilities - Insurance 3,504,123 — — — 43,878 (506,673) (2,885) 3,038,443 — Total 3,550,463 — — — 45,045 (518,543) (2,885) 3,074,080 (11,870) Three Months Ended March 31, 2022 Issuances Settlements Net Purchases/Issuances/Sales/Settlements Liabilities Asset Management Unfunded Revolver Commitments $ — $ — $ — Total Liabilities - Asset Management — — — Insurance Closed block policy liabilities — (81,101) (81,101) Funds withheld payable at interest 10,435 — 10,435 Embedded derivative – indexed universal life products 8,985 (5,683) 3,302 Embedded derivative – annuity products 107,302 — 107,302 Total Liabilities - Insurance 126,722 (86,784) 39,938 Total $ 126,722 $ (86,784) $ 39,938 Three Months Ended March 31, 2021 Issuances Settlements Net Issuances/Settlements Liabilities Asset Management Unfunded Revolver Commitments $ 1,167 $ — $ 1,167 Total Liabilities - Asset Management 1,167 — 1,167 Insurance Embedded derivative – indexed universal life products 5,607 (6,538) (931) Embedded derivative – annuity products 44,809 — 44,809 Total Liabilities - Insurance 50,416 (6,538) 43,878 Total $ 51,583 $ (6,538) $ 45,045 Total realized and unrealized gains and losses recorded for Asset Management - Level III assets and liabilities are reported in Net Gains (Losses) from Investment Activities in the accompanying consolidated statements of operations while Insurance - Level III assets and liabilities are reported in Net Investment Gains and Policy Benefits and Claims in the accompanying consolidated statements of operations. The following table presents additional information about valuation methodologies and significant unobservable inputs used for financial assets and liabilities that are measured and reported at fair value and categorized within Level III as of March 31, 2022. Because input information includes only those items for which information is reasonably available, balances shown below may not equal total amounts reported for such Level III assets and liabilities: Level III Assets Fair Value March 31, 2022 Valuation Unobservable Input(s) (1) Weighted Average (2) Range Impact to Valuation from an Increase in Input (3) ASSET MANAGEMENT Private Equity $ 23,999,016 Private Equity $ 21,320,867 Inputs to market comparables, discounted cash flow and transaction price Illiquidity Discount 6.7% 5.0% - 15.0% Decrease Weight Ascribed to Market Comparables 29.1% 0.0% - 100.0% (4) Weight Ascribed to Discounted Cash Flow 65.4% 0.0% - 100.0% (5) Weight Ascribed to Transaction Price 5.5% 0.0% - 100.0% (6) Market comparables Enterprise Value/LTM EBITDA Multiple 17.3x 8.2x - 31.2x Increase Enterprise Value/Forward EBITDA Multiple 15.1x 6.4x - 23.8x Increase Discounted cash flow Weighted Average Cost of Capital 9.2% 4.6% - 14.6% Decrease Enterprise Value/LTM EBITDA Exit Multiple 14.3x 6.0x - 20.0x Increase Growth Equity $ 2,678,149 Inputs to market comparables, discounted cash flow and milestones Illiquidity Discount 8.6% 5.0% - 20.0% Decrease Weight Ascribed to Market Comparables 37.6% 0.0% - 100.0% (4) Weight Ascribed to Discounted Cash Flow 2.1% 0.0% - 50.0% (5) Weight Ascribed to Milestones 60.3% 0.0% - 100.0% (6) Scenario Weighting Base 76.1% 70.0% - 80.0% Increase Downside 4.9% 0.0% - 10.0% Decrease Upside 19.0% 10.0% - 25.0% Increase Credit $ 5,314,853 Yield Analysis Yield 8.8% 5.0% - 40.6% Decrease Net Leverage 6.1x 0.3x - 33.6x Decrease EBITDA Multiple 13.8x 0.7x - 33.0x Increase Real Assets $ 13,292,123 Energy $ 1,434,690 Inputs to market comparables and discounted cash flow Weight Ascribed to Market Comparables 29.0% 0.0% - 50.0% (4) Weight Ascribed to Discounted Cash Flow 71.0% 50.0% - 100.0% (5) Market comparables Enterprise Value/LTM EBITDA Multiple 5.7x 5.7x - 5.7x Increase Enterprise Value/Forward EBITDA Multiple 5.9x 4.5x - 8.8x Increase Discounted cash flow Weighted Average Cost of Capital 12.8% 10.1% - 15.4% Decrease Average Price Per BOE (8) $48.63 $44.38 - $58.31 Increase Level III Assets Fair Value March 31, 2022 Valuation Unobservable Input(s) (1) Weighted Average (2) Range Impact to Valuation from an Increase in Input (3) Infrastructure $ 3,880,965 Inputs to market comparables, discounted cash flow and transaction price Illiquidity Discount 5.0% 5.0% - 5.0% Decrease Weight Ascribed to Market Comparables 1.7% 0.0% - 25.0% (4) Weight Ascribed to Discounted Cash Flow 69.7% 0.0% - 100.0% (5) Weight Ascribed to Transaction Price 28.6% 0.0% - 100.0% (6) Market comparables Enterprise Value/Forward EBITDA Multiple 11.4x 11.4x - 11.4x Increase Discounted cash flow Weighted Average Cost of Capital 6.7% 4.7% - 8.5% Decrease Enterprise Value/LTM EBITDA Exit Multiple 12.1x 10.0x - 13.0x Increase Real Estate $ 7,976,468 Inputs to direct income capitalization, discounted cash flow and transaction price Weight Ascribed to Direct Income Capitalization 18.4% 0.0% - 100.0% (7) Weight Ascribed to Discounted Cash Flow 72.4% 0.0% - 100.0% (5) Weight Ascribed to Transaction Price 9.2% 0.0% - 100.0% (6) Direct income capitalization Current Capitalization Rate 5.1% 3.6% - 7.4% Decrease Discounted cash flow Unlevered Discount Rate 6.2% 3.8% - 18.0% Decrease Equity Method - Other $ 984,904 Inputs to market comparables, discounted cash flow and transaction price Illiquidity Discount 7.5% 5.0% - 10.0% Decrease Weight Ascribed to Market Comparables 38.8% 0.0% - 100.0% (4) Weight Ascribed to Discounted Cash Flow 26.7% 0.0% - 100.0% (5) Weight Ascribed to Transaction Price 34.6% 0.0% - 100.0% (6) Market comparables Enterprise Value/LTM EBITDA Multiple 11.9x 5.7x - 18.1x Increase Enterprise Value/Forward EBITDA Multiple 12.0x 4.5x - 18.5x Increase Discounted cash flow Weighted Average Cost of Capital 10.2% 6.0% - 17.0% Decrease Enterprise Value/LTM EBITDA Exit Multiple 9.9x 6.0x - 15.0x Increase Other Investments $ 3,134,926 (9) Inputs to market comparables, discounted cash flow and transaction price Illiquidity Discount 11.1% 10.0% - 20.0% Decrease Weight Ascribed to Market Comparables 22.9% 0.0% - 100.0% (4) Weight Ascribed to Discounted Cash Flow 58.5% 0.0% - 100.0% (5) Weight Ascribed to Transaction Price 18.6% 0.0% - 100.0% (6) Market comparables Enterprise Value/LTM EBITDA Multiple 12.0x 0.8x - 25.0x Increase Enterprise Value/Forward EBITDA Multiple 11.2x 0.7x - 22.9x Increase Discounted cash flow Weighted Average Cost of Capital 14.4% 6.5% - 100.0% Decrease Enterprise Value/LTM EBITDA Exit Multiple 10.4x 5.5x - 23.1x Increase INSURANCE Corporate fixed maturity securities $ 1,620,204 Discounted cash flow Discount Spread 2.01% —% - 4.91% Decrease Structured securities $ 134,475 Discounted cash flow Discount Spread 3.00% 2.50% - 5.75% Decrease Constant Prepayment Rate 7.31% 5.00% - 15.00% Increase/Decrease Constant Default Rate 1.17% 1.00% - 2.50% Decrease Loss Severity 100% Decrease Other investments $ 1,445,961 Direct capitalization Current Capitalization Rate 5.36% 5.11% - 5.61% Decrease Vacancy rate 5.00% Decrease Discounted cash flow Yield 8.00% Decrease Rate 5.12% 5.00% - 5.25% Decrease Terminal capitalization rate 3.97% 3.70% - 4.25% Decrease Level III Assets Fair Value March 31, 2022 Valuation Unobservable Input(s) (1) Weighted Average (2) Range Impact to Valuation from an Increase in Input (3) Funds withheld receivable at interest $ 8,196 Discounted cash flow Duration/Weighted Average Life 9.56 years 0.0 years - 22.6 years Increase Contractholder Persistency 6.39% 3.50% - 17.20% Increase Nonperformance Risk 0.51% - 1.56% Decrease Reinsurance recoverable $ 1,231,957 Present value of expenses paid from the open block plus the cost of capital held in support of the liabilities. Expense assumption The average expense assumption is between $5.26 and $78.00 per policy, increased by inflation. Increase Unobservable inputs are a market participant’s view of the expenses, a risk margin on the uncertainty of the level of expenses and a cost of capital on the capital held in support of the liabilities. Expense risk margin 9.42% Decrease Cost of capital 3.69% - 13.85% Increase Discounted cash flow Mortality Rate 5.46% Increase Surrender Rate 2.01% Increase (1) In determining certain of these inputs, management evaluates a variety of factors including economic conditions, industry and market developments, market valuations of comparable companies and company specific developments including exit strategies and realization opportunities. KKR has determined that market participants would take these inputs into account when valuing the investments and debt obligations. "LTM" means last twelve months, and "EBITDA" means earnings before interest, taxes, depreciation and amortization. (2) Inputs were weighted based on the fair value of the investments included in the range. (3) Unless otherwise noted, this column represents the directional change in the fair value of the Level III investments that would result from an increase to the corresponding unobservable input. A decrease to the unobservable input would have the opposite effect. Significant increases and decreases in these inputs in isolation could result in significantly higher or lower fair value measurements. (4) The directional change from an increase in the weight ascribed to the market comparables approach would increase the fair value of the Level III investments if the market comparables approach results in a higher valuation than the discounted cash flow approach and transaction price. The opposite would be true if the market comparables approach results in a lower valuation than the discounted cash flow approach and transaction price. (5) The directional change from an increase in the weight ascribed to the discounted cash flow approach would increase the fair value of the Level III investments if the discounted cash flow approach results in a higher valuation than the market comparables approach, transaction price and direct income capitalization approach. The opposite would be true if the discounted cash flow approach results in a lower valuation than the market comparables approach, transaction price and direct income capitalization approach. (6) The directional change from an increase in the weight ascribed to the transaction price or milestones would increase the fair value of the Level III investments if the transaction price or milestones results in a higher valuation than the market comparables and discounted cash flow approach. The opposite would be true if the transaction price or milestones results in a lower valuation than the market comparables approach and discounted cash flow approach. (7) The directional change from an increase in the weight ascribed to the direct income capitalization approach would increase the fair value of the Level III investments if the direct income capitalization approach results in a higher valuation than the discounted cash flow approach. The opposite would be true if the direct income capitalization approach results in a lower valuation than the discounted cash flow approach. (8) The total energy fair value amount includes multiple investments (in multiple locations throughout North America) that are held in multiple investment funds and produce varying quantities of oil, condensate, natural gas liquids, and natural gas. Commodity price may be measured using a common volumetric equivalent where one barrel of oil equivalent ("BOE"), is determined using the ratio of six thousand cubic feet of natural gas to one barrel of oil, condensate or natural gas liquids. The price per BOE is provided to show the aggregate of all price inputs for the various investments over a common volumetric equivalent although the valuations for specific investments may use price inputs specific to the asset for purposes of our valuations. The discounted cash flows include forecasted production of liquids (oil, condensate, and natural gas liquids) and natural gas with a forecasted revenue ratio of approximately 87% liquids and 13% natural gas. (9) Consists primarily of investments in common stock, preferred stock, warrants and options of companies that are not private equity, real assets, credit, equity method - other or investments of consolidated CFEs. Level III Liabilities Fair Value March 31, 2022 Valuation Unobservable Input(s) (1) Weighted Average (2) Range Impact to Valuation from an Increase in Input (3) ASSET MANAGEMENT Unfunded Revolver Commitments $ 64,556 Yield Analysis Yield 5.8% 3.7% - 7.4% Decrease INSURANCE Policy liabilities $ 466,408 Present value of best estimate liability cash flows. Unobservable inputs include a market participant view of the risk margin included in the discount rate which reflects the variability of the cash flows. Risk Margin Rate 0.51% - 1.82% Decrease Policyholder behavior is also a significant unobservable input, including surrender and mortality. Surrender Rate 3.61% - 6.45% Increase Mortality Rate 3.65% - 8.59% Increase Closed block policy liabilities $ 1,269,991 Present value of expenses paid from the open block plus the cost of capital held in support of the liabilities. Expense assumption The average expense assumption is between $5.26 and $78.00 per policy, increased by inflation. Increase Nonperformance Risk 0.51% - 1.56% Decrease Unobservable inputs are a market participant’s view of the expenses, a risk margin on the uncertainty of the level of expenses and a cost of capital on the capital held in support of the liabilities. Expense Risk Margin 9.42% Decrease Cost of Capital 3.69% - 13.85% Increase Discounted cash flow Mortality Rate 5.46% Increase Surrender Rate 2.01% Increase Funds withheld payable at interest $ (1,219,491) Discounted cash flow Duration/Weighted Average Life 9.6 years 0.0 years - 18.9 years Decrease Contractholder Persistency 6.39% 3.50% - 17.20% Decrease Nonperformance Risk 0.51% - 1.56% Decrease Embedded derivative – indexed universal life products $ 512,015 Policy persistency is a significant unobservable input. Lapse Rate 3.86% Decrease Mortality Rate 0.71% Decrease Future costs for options used to hedge the contract obligations Option Budge Assumption 3.58% Increase Nonperformance Risk 0.51% - 1.56% Decrease Level III Liabilities Fair Value March 31, 2022 Valuation Unobservable Input(s) (1) Weighted Average (2) Range Impact to Valuation from an Increase in Input (3) Embedded derivative – annuity products $ 1,777,832 Policyholder behavior is a significant unobservable input, including utilization and lapse. Utilization: Fixed-indexed annuity 3.87% Decrease Variable annuity 4.21% 2.32% - 35.02% Decrease Surrender Rate: Fixed-indexed annuity 10.67% Decrease Variable annuity 4.09% - 39.60% Decrease Mortality Rate: Fixed-indexed annuity 1.99% Decrease Variable annuity 1.36% - 7.38% Decrease Future costs for options used to hedge the contract obligations Option Budge Assumption: |
FAIR VALUE OPTION
FAIR VALUE OPTION | 3 Months Ended |
Mar. 31, 2022 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE OPTION | FAIR VALUE OPTION The following table summarizes the financial instruments for which the fair value option has been elected: March 31, 2022 December 31, 2021 Assets Asset Management Credit $ 696,906 $ 2,019,229 Investments of Consolidated CFEs 22,014,866 22,076,809 Real Assets 207,543 182,858 Equity Method - Other 1,507,802 1,601,515 Other Investments 169,492 197,675 Total Asset Management $ 24,596,609 $ 26,078,086 Insurance Mortgage and other loan receivables $ 1,007,906 $ 832,674 Other investments 174,875 147,811 Reinsurance recoverable 1,231,957 1,293,791 Total Insurance $ 2,414,738 $ 2,274,276 Total Assets $ 27,011,347 $ 28,352,362 Liabilities Asset Management Debt Obligations of Consolidated CFEs $ 21,213,206 $ 21,271,084 Total Asset Management $ 21,213,206 $ 21,271,084 Insurance Policy liabilities $ 1,736,399 $ 1,869,678 Total Insurance $ 1,736,399 $ 1,869,678 Total Liabilities $ 22,949,605 $ 23,140,762 Three Months Ended March 31, 2022 Net Realized Net Unrealized Total Assets Asset Management Credit $ (37,515) $ (15,834) $ (53,349) Investments of Consolidated CFEs 2,949 (269,548) (266,599) Real Assets 85 24,685 24,770 Equity Method - Other (16,333) (45,468) (61,801) Other Investments 6,308 (7,685) (1,377) Total Asset Management $ (44,506) $ (313,850) $ (358,356) Insurance Mortgage and other loan receivables — (27,015) (27,015) Other investments — 27,737 27,737 Total Insurance $ — $ 722 $ 722 Total Assets $ (44,506) $ (313,128) $ (357,634) Liabilities Asset Management Debt Obligations of Consolidated CFEs (785) 226,058 225,273 Total Asset Management $ (785) $ 226,058 $ 225,273 Insurance Policy liabilities — 42,419 42,419 Total Insurance $ — $ 42,419 $ 42,419 Total Liabilities $ (785) $ 268,477 $ 267,692 Three Months Ended March 31, 2021 Net Realized Net Unrealized Total Assets Asset Management Credit $ (15,689) $ (18,745) $ (34,434) Investments of Consolidated CFEs (2,628) 128,143 125,515 Real Assets 47 727 774 Equity Method - Other 984 229,081 230,065 Other Investments 5,050 7,004 12,054 Total Asset Management $ (12,236) $ 346,210 $ 333,974 Insurance Mortgage and other loan receivables — 7,561 7,561 Other investments — 3,866 3,866 Total Insurance — 11,427 11,427 Total Assets $ (12,236) $ 357,637 $ 345,401 Liabilities Asset Management Debt Obligations of Consolidated CFEs $ (2,048) $ (44,096) $ (46,144) Total Asset Management $ (2,048) $ (44,096) $ (46,144) Insurance Policy liabilities $ — $ (65,834) $ (65,834) Total Insurance $ — $ (65,834) $ (65,834) Total Liabilities $ (2,048) $ (109,930) $ (111,978) |
INSURANCE INTANGIBLES, UNEARNED
INSURANCE INTANGIBLES, UNEARNED REVENUE RESERVES AND UNEARNED FRONT-END LOADS | 3 Months Ended |
Mar. 31, 2022 | |
Insurance [Abstract] | |
INSURANCE INTANGIBLES, UNEARNED REVENUE RESERVES AND UNEARNED FRONT-END LOADS | NET INVESTMENT INCOME - INSURANCE Net investment income for Global Atlantic is comprised primarily of interest income, including amortization of premiums and accretion of discounts, based on yields that change due to expectations in projected cash flows, dividend income from common and preferred stock, earnings from investments accounted for under equity method accounting, and lease income on other investments. The components of net investment income were as follows: Three Months Ended March 31, 2022 2021 Fixed maturity securities – interest and other income $ 691,293 $ 351,540 Mortgage and other loan receivables 324,141 122,466 Investments in transportation and other leased assets 67,679 36,743 Investments in renewable energy 25,218 796 Short-term and other investment income 20,697 5,113 Income assumed from funds withheld receivable at interest 19,605 13,473 Policy loans 7,911 1,847 Investments in real estate 3,903 1,084 Equity securities – dividends and other income — (484) Income ceded to funds withheld payable at interest (179,702) (29,839) Gross investment income 980,745 502,739 Less investment expenses: Investment management and administration 113,131 33,946 Transportation and renewable energy asset depreciation and maintenance 53,953 23,509 Interest expense on derivative collateral and repurchase agreements 1,056 503 Net investment income $ 812,605 $ 444,781 Net investment-related (losses) gains from insurance operations primarily consists of (i) realized gains and (losses) from the disposal of investments, (ii) unrealized gains and (losses) from investments held for trading, equity securities, real estate investments accounted for under investment company accounting, and investments with fair value remeasurements recognized in earnings as a result of the election of a fair-value option, (iii) unrealized gains and (losses) on funds withheld at interest, (iv) unrealized gains and (losses) from derivatives not designated in an hedging relationship, and (v) allowances for credit losses, and other impairments of investments. Net investment-related gains (losses) were as follows: Three Months Ended March 31, 2022 2021 Realized gains (losses) on equity investments $ — $ 2,243 Realized gains (losses) on available-for-sale fixed maturity debt securities (243,350) (45,640) Credit loss allowances on available-for-sale securities (10,602) (21,351) Credit loss allowances on mortgage and other loan receivables (26,085) (183,641) Allowances on unfunded commitments 6,790 (14,609) Unrealized gains (losses) on fixed maturity securities classified as trading (1,038,446) (317,052) Unrealized gains (losses) on investments recognized under the fair-value option (2,493) (12,166) Unrealized gains (losses) on real estate investments recognized at fair value under investment company accounting 77,692 — Net gains (losses) on derivative instruments 859,734 148,532 Realized gains (losses) on funds withheld at interest, payable portfolio (26,387) (7,378) Realized gains (losses) on funds withheld at interest, receivable portfolio 25,600 354 Other realized gains (losses) 8,867 (4,994) Net investment-related gains (losses) $ (368,680) $ (455,702) Allowance for credit losses Available-for-sale fixed maturity securities The table below presents a roll-forward of the allowance for credit losses recognized for fixed maturity securities held by Global Atlantic: Three Months Ended March 31, 2022 Corporate Structured Total Balance, as of beginning of period $ 3,238 $ 84,895 $ 88,133 Initial impairments for credit losses recognized on securities not previously impaired 122 15,758 15,880 Initial credit loss allowance recognized on purchased credit deteriorated ("PCD") securities — 140 140 Accretion of initial credit loss allowance on PCD securities — 477 477 Reductions due to sales (or maturities, pay downs or prepayments) during the period of securities previously identified as credit impaired — (2,444) (2,444) Net additions / reductions for securities previously impaired 1,640 (6,918) (5,278) Balance, as of end of period $ 5,000 $ 91,908 $ 96,908 Three Months Ended March 31, 2021 Corporate Structured Total Balance, as of beginning of period (1) $ — $ 120,895 $ 120,895 Initial impairments for credit losses recognized on securities not previously impaired — 27,423 27,423 Initial credit loss allowance recognized on PCD securities — 222 222 Accretion of initial credit loss allowance on PCD securities — 321 321 Reductions due to sales (or maturities, pay downs or prepayments) during the period of securities previously identified as credit impaired — (2,537) (2,537) Net additions / reductions for securities previously impaired — (6,072) (6,072) Balance, as of end of period $ — $ 140,252 $ 140,252 (1) Includes securities designated as purchased credit impaired as of the time of the acquisition of Global Atlantic. Mortgage and other loan receivables Changes in the allowance for credit losses on mortgage and other loan receivables held by Global Atlantic are summarized below: Three Months Ended March 31, 2022 Commercial Mortgage Loans Residential Mortgage Loans Consumer and Other Loan Receivables Total Balance, as of beginning of period $ 65,970 $ 72,082 $ 236,025 $ 374,077 Net provision (release) 15,566 15,501 (4,982) 26,085 Balance, as of end of period $ 81,536 $ 87,583 $ 231,043 $ 400,162 Three Months Ended March 31, 2021 Commercial Mortgage Loans Residential Mortgage Loans Consumer and Other Loan Receivables Total Balance, as of beginning of period (1) $ 58,203 $ 62,056 $ — $ 120,259 Net provision 21,853 16,683 145,105 183,641 Balance, as of end of period $ 80,056 $ 78,739 $ 145,105 $ 303,900 (1) Includes loans designated as purchased credit deteriorated as of the time of the acquisition of Global Atlantic. Proceeds and gross gains and losses from voluntary sales The proceeds from voluntary sales and the gross gains and losses on those sales of available-for-sale ("AFS") fixed maturity securities were as follows: Three Months Ended March 31, 2022 2021 AFS fixed maturity securities: Proceeds from voluntary sales $ 6,128,285 $ 1,903,120 Gross gains 8,942 4,776 Gross losses (245,871) (50,972) The following reflects the changes to the deferred policy acquisition costs ("DAC") asset: Three Months Ended March 31, 2022 2021 Balance, as of beginning of period $ 447,886 $ — Deferrals 114,935 76,694 Amortized to expense during the period (1) (9,343) 798 Adjustment for unrealized investment-related losses (gains) during the period (14,313) — Balance, as of end of period $ 539,165 $ 77,492 (1) These amounts are reported within amortization of policy acquisition costs in the consolidated statements of operations. The following reflects the changes to the value of business acquired ("VOBA") asset: Three Months Ended March 31, 2022 2021 Balance, as of beginning of period $ 959,263 $ 1,024,520 Amortized to expense during the period (1) (17,144) (12,182) Balance, as of end of period $ 942,119 $ 1,012,338 (1) These amounts are reported within amortization of policy acquisition costs in the consolidated statements of operations. The following reflects the changes to the negative VOBA liability: Three Months Ended March 31, 2022 2021 Balance, as of beginning of period $ 1,118,716 $ 1,273,414 Amortized to expense during the period (1) (34,220) (31,862) Balance, as of end of period $ 1,084,496 $ 1,241,552 (1) These amounts are reported within amortization of policy acquisition costs in the consolidated statements of operations. The following reflects the changes to the unearned revenue reserve ("URR") and unearned front-end load ("UFEL): Three Months Ended March 31, 2022 2021 Balance, as of beginning of period $ 33,603 $ — Deferrals 16,686 9,575 Amortized to revenue during the period (1) (5,934) (2,013) Adjustment for unrealized investment-related gains during the period (40,577) — Balance, as of end of period $ 3,778 $ 7,562 (1) These amounts are reported within policy fees in the consolidated statements of operations. |
REINSURANCE
REINSURANCE | 3 Months Ended |
Mar. 31, 2022 | |
Insurance [Abstract] | |
REINSURANCE | REINSURANCEGlobal Atlantic maintains a number of reinsurance treaties with third parties whereby Global Atlantic assumes fixed annuity, variable annuity, payout annuity, universal life, variable universal life and term life insurance policies on a coinsurance, modified coinsurance and funds withheld basis. Global Atlantic also maintains other reinsurance treaties including the cession of certain fixed annuity, variable annuity, payout annuity, universal life policies, individual disability income policies and discontinued accident and health insurance. The effects of all reinsurance agreements on the consolidated statement of financial condition were as follows: March 31, 2022 December 31, 2021 Policy liabilities: Direct $ 68,444,765 $ 67,131,818 Assumed 62,631,922 59,388,226 Total policy liabilities 131,076,687 126,520,044 Ceded (1) (24,625,159) (25,035,228) Net policy liabilities $ 106,451,528 $ 101,484,816 (1) Reported within reinsurance recoverable within the consolidated statement of financial condition. A key credit quality indicator is a counterparty’s A.M. Best financial strength rating. A.M. Best ratings are an independent opinion of a reinsurer’s ability to meet ongoing obligations to policyholders. Global Atlantic mitigates counterparty credit risk by requiring collateral and credit enhancements in various forms including engaging in funds withheld at interest and modified coinsurance transactions. The following shows the amortized cost basis of Global Atlantic’s reinsurance recoverable and funds withheld receivable at interest by credit quality indicator and any associated credit enhancements Global Atlantic has obtained to mitigate counterparty credit risk: As of March 31, 2022 As of December 31, 2021 A.M. Best Rating (1) Reinsurance recoverable and funds withheld receivable at interest (2) Credit enhancements (3) Net reinsurance credit exposure (4) Reinsurance recoverable and funds withheld receivable at interest (2) Credit enhancements (3) Net reinsurance credit exposure (4) A++ $ 8,810 $ — $ 8,810 $ 7,911 $ — $ 7,911 A+ 1,977,750 — 1,977,750 1,989,426 — 1,989,426 A 2,571,414 — 2,571,414 2,652,286 — 2,652,286 A- 5,587,142 4,822,173 764,969 5,645,633 5,166,559 479,074 B++ 37,176 — 37,176 33,410 — 33,410 B+ 1,564 — 1,564 1,122 — 1,122 B 9,290 — 9,290 9,227 — 9,227 B- 1,850 — 1,850 1,274 — 1,274 Not rated (5) 17,430,904 16,959,558 471,346 17,698,613 18,323,795 — Total $ 27,625,900 $ 21,781,731 $ 5,844,169 $ 28,038,902 $ 23,490,354 $ 5,173,730 (1) Ratings are periodically updated (at least annually) as A.M. Best issues new ratings. (2) At amortized cost, excluding any associated embedded derivative assets and liabilities. (3) Includes funds withheld payable at interest and deferred intangible reinsurance assets and liabilities. (4) Includes credit loss allowance of $28.1 million and $8.4 million as of March 31, 2022 and December 31, 2021, respectively, held against reinsurance recoverable. (5) Includes $17.4 billion and $17.7 billion as of March 31, 2022 and December 31, 2021, respectively, associated with cessions to Ivy Re Limited, a Bermuda insurance company and a subsidiary of an investment vehicle that participates in qualifying reinsurance transactions sourced by Global Atlantic. As of both March 31, 2022 and December 31, 2021, Global Atlantic had $3.0 billion of funds withheld receivable at interest, with six counterparties related to modified coinsurance and funds withheld contracts. The assets supporting these receivables were held in trusts and not part of the respective counterparty’s general accounts. The effects of reinsurance on the consolidated statements of operations were as follows: Three Months Ended March 31, 2022 2021 Premiums: Direct $ 36,573 $ 14,175 Assumed (1) 401,515 1,280,753 Ceded (65,944) (118,786) Net premiums $ 372,144 $ 1,176,142 (1) Includes related party activity of $2.7 million for the three months ended March 31, 2021. Three Months Ended March 31, 2022 2021 Policy fees: Direct $ 240,991 $ 148,999 Assumed (1) 77,778 52,955 Ceded (333) (271) Net policy fees $ 318,436 $ 201,683 (1) Includes related party activity of $2.1 million for the three months ended March 31, 2021. Three Months Ended March 31, 2022 2021 Policy benefits and claims: Direct $ 235,604 $ 182,801 Assumed (1) 604,233 1,467,127 Ceded (113,777) (164,610) Net policy benefits and claims $ 726,060 $ 1,485,318 (1) Includes related party activity of $22.5 million for the three months ended March 31, 2021. Global Atlantic holds collateral for and provides collateral to our reinsurance clients. Global Atlantic held $22.9 billion and $23.4 billion of collateral on behalf of our reinsurers as of March 31, 2022 and December 31, 2021, respectively. As of March 31, 2022 and December 31, 2021, reinsurers held collateral of $1.4 billion and $1.3 billion on behalf of Global Atlantic, respectively. A significant portion of the collateral that Global Atlantic provides to its reinsurance clients is provided in the form of assets held in a trust for the benefit of the counterparty. As of March 31, 2022 and December 31, 2021, these trusts held in excess of the $58.6 billion and $55.2 billion of assets it is required to hold in order to support reserves of $59.0 billion and $55.8 billion, respectively. Of the cash held in trust, Global Atlantic classified $159.7 million and $149.3 million as restricted as of March 31, 2022 and December 31, 2021, respectively. |
NET INCOME (LOSS) ATTRIBUTABLE
NET INCOME (LOSS) ATTRIBUTABLE TO KKR & CO. INC. PER SHARE OF COMMON STOCK | 3 Months Ended |
Mar. 31, 2022 | |
Earnings Per Share [Abstract] | |
NET INCOME (LOSS) ATTRIBUTABLE TO KKR & CO. INC. PER SHARE OF COMMON STOCK | NET INCOME (LOSS) ATTRIBUTABLE TO KKR & CO. INC. PER SHARE OF COMMON STOCK For the three months ended March 31, 2022 and 2021, basic and diluted Net Income (Loss) attributable to KKR & Co. Inc. per share of common stock were calculated as follows: Three Months Ended March 31, 2022 2021 Net Income (Loss) Available to KKR & Co. Inc. $ (73,770) $ 1,644,245 (+) Series C Mandatory Convertible Preferred Dividend (if dilutive) (1) — 17,250 Net Income (Loss) Available to KKR & Co. Inc. $ (73,770) $ 1,661,495 Basic Net Income (Loss) Per Share of Common Stock Weighted Average Shares of Common Stock Outstanding - Basic 592,202,835 576,727,967 Net Income (Loss) Attributable to KKR & Co. Inc. $ (0.12) $ 2.85 Diluted Net Income (Loss) Per Share of Common Stock Weighted Average Shares of Common Stock Outstanding - Basic 592,202,835 576,727,967 Incremental Common Shares: Assumed vesting of dilutive equity awards (2) — 17,337,924 Assumed conversion of Series C Mandatory Convertible Preferred Stock (1) — 26,822,600 Weighted Average Shares of Common Stock Outstanding - Diluted 592,202,835 620,888,491 Net Income (Loss) Attributable to KKR & Co. Inc. $ (0.12) $ 2.68 (1) For the three months ended March 31, 2022 the impact of Series C Mandatory Convertible Preferred Stock is excluded from the calculation of Diluted Net Income (Loss) Attributable to KKR & Co. Inc. Per Share of Common Stock because inclusion of such shares would be anti-dilutive having the effect of decreasing the loss per share of common stock. For the three months ended March 31, 2021, the impact of Series C Mandatory Convertible Preferred Stock calculated under the if-converted method was dilutive, and as such (i) 26.8 million shares of common stock (assuming a conversion ratio based on the average volume weighted average price per share of common stock over each reporting period) were included in the Weighted Average Shares of Common Stock Outstanding - Diluted and (ii) $17.3 million of Series C Mandatory Convertible Preferred dividends were added back to Net Income (Loss) Available to KKR & Co. Inc. Common Stockholders - Diluted. (2) For the three months ended March 31, 2021, Weighted Average Shares of Common Stock Outstanding – Diluted includes unvested equity awards, including certain equity awards that have met their market price-based vesting condition but have not satisfied their service-based vesting condition, which have been granted under the Equity Incentive Plans. Vesting of these equity awards dilute equityholders of KKR Group Partnership, including KKR & Co. Inc. and KKR Holdings pro rata in accordance with their respective ownership interests in KKR Group Partnership. For the three months ended March 31, 2022, all unvested shares of common stock are excluded from the calculation of Diluted Net Income (Loss) Attributable to KKR & Co. Inc. Per Share of Common Stock because inclusion of such unvested shares of common stock would be anti-dilutive having the effect of decreasing the loss per share of common stock. The adoption of ASU 2020-06 in 2022 did not result in a material impact to the calculation of the Net Income (Loss) Attributable to KKR & Co. Inc. Per Share of Common Stock – Diluted. For three months ended March 31, 2021 the Net Income (Loss) Attributable to KKR & Co. Inc. Per Share of Common Stock – Diluted was unchanged by the adoption of ASU 2020-06, and there was no impact to previously reported amounts. KKR Holdings Units For the three months ended March 31, 2022 and 2021 KKR Holdings units have been excluded from the calculation of Net Income (Loss) Attributable to KKR & Co. Inc. Per Share of Common Stock - Diluted since the exchange of these units would not dilute KKR & Co. Inc.'s ownership interests in KKR Group Partnership. Three Months Ended March 31, 2022 2021 Weighted Average KKR Holdings Units 258,726,163 274,748,078 Market Condition Awards For the three months ended March 31, 2022 and 2021, 17.0 million and 15.3 million, respectively, of unvested equity awards that are subject to market price based and service-based vesting conditions were excluded from the calculation of Net Income (Loss) Attributable to KKR & Co. Inc. Per Share of Common Stock - Diluted since the market price based vesting condition was not satisfied. See Note 19 "Equity Based Compensation." |
OTHER ASSETS AND ACCRUED EXPENS
OTHER ASSETS AND ACCRUED EXPENSES AND OTHER LIABILITIES | 3 Months Ended |
Mar. 31, 2022 | |
OTHER ASSETS AND ACCOUNTS PAYABLE, ACCRUED EXPENSES AND OTHER LIABILITIES | |
OTHER ASSETS AND ACCRUED EXPENSES AND OTHER LIABILITIES | OTHER ASSETS AND ACCRUED EXPENSES AND OTHER LIABILITIES Other Assets consist of the following: March 31, 2022 December 31, 2021 Asset Management Unsettled Investment Sales (1) $ 200,402 $ 182,267 Receivables 82,966 81,133 Due from Broker (2) 28,899 365,053 Deferred Tax Assets, net (See Note 18) 95,533 85,770 Interest Receivable 147,124 144,221 Fixed Assets, net (3) 819,069 820,143 Foreign Exchange Contracts and Options (4) 367,079 590,637 Goodwill (5) 83,500 83,500 Derivative Assets 5,294 491 Prepaid Taxes 65,692 93,296 Prepaid Expenses 37,127 29,290 Operating Lease Right of Use Assets (6) 220,458 228,363 Deferred Financing Costs 15,989 17,953 Other 238,582 164,196 Total Asset Management $ 2,407,714 $ 2,886,313 Insurance Unsettled Investment Sales (1) $ 1,613,094 $ 941,427 Deferred Tax Assets, net 1,536,986 755,876 Derivative Assets 1,024,589 1,295,950 Accrued Investment Income 898,120 817,486 Goodwill (8) 501,496 501,496 Intangible Assets and Deferred Sales Inducements (7) 289,412 293,824 Operating Lease Right of Use Assets (6) 171,344 160,888 Premiums and Other Account Receivables 117,997 86,524 Other 96,576 96,093 Current Income Tax Recoverable 53,161 103,954 Total Insurance $ 6,302,775 $ 5,053,518 Total Other Assets $ 8,710,489 $ 7,939,831 (1) Represents amounts due from third parties for investments sold for which cash settlement has not occurred. (2) Represents amounts held at clearing brokers resulting from securities transactions. (3) Net of accumulated depreciation and amortization of $153.5 million and $141.6 million as of March 31, 2022 and December 31, 2021, respectively. Depreciation and amortization expense of $12.7 million and $11.0 million for the three months ended March 31, 2022 and 2021, respectively, are included in General, Administrative and Other in the accompanying consolidated statements of operations. (4) Represents derivative financial instruments used to manage foreign exchange risk arising from certain foreign currency denominated investments. Such instruments are measured at fair value with changes in fair value recorded in Net Gains (Losses) from Investment Activities in the accompanying consolidated statements of operations. See Note 5 "Net Gains (Losses) from Investment Activities - Asset Management" for the net changes in fair value associated with these instruments. (5) As of March 31, 2022, the carrying value of goodwill is recorded and assessed for impairment at the reporting unit. (6) For Asset Management, non-cancelable operating leases consist of leases for office space in North America, Europe, Asia and Australia. KKR is the lessee under the terms of the operating leases. The operating lease cost was $12.2 million and $11.5 million for the three months ended March 31, 2022 and 2021, respectively. For Insurance, non-cancelable operating leases consist of leases for office space and land in the U.S. For the three months ended March 31, 2022 and 2021, the operating lease cost was $5.9 million and $2.6 million, respectively. Insurance lease right-of-use assets are reported net of $22.2 million and $22.7 million in deferred rent and lease incentives as of March 31, 2022 and December 31, 2021, respectively. The weighted average remaining lease term was 26.9 years and 27.9 years as of March 31, 2022 and December 31, 2021, respectively. (7) The definite life intangible assets are amortized by using the straight-line method over the useful life of the assets which is an average of 16 years. The indefinite life intangible assets are not subject to amortization. The amortization expense of definite life intangible assets was $4.4 million and $2.5 million for the three months ended March 31, 2022 and 2021, respectively. (8) The amounts include approximately $4.5 million of goodwill related to an immaterial acquisition of a residential mortgage platform, which Global Atlantic acquired in October 2021 for a purchase price consideration of $4.6 million. Accrued Expenses and Other Liabilities consist of the following: March 31, 2022 December 31, 2021 Asset Management Amounts Payable to Carry Pool (1) $ 3,138,465 $ 3,650,312 Unsettled Investment Purchases (2) 1,138,357 1,315,163 Securities Sold Short (3) 136,128 249,383 Derivative Liabilities 28,077 45,003 Accrued Compensation and Benefits 438,550 210,789 Interest Payable 161,358 162,801 Foreign Exchange Contracts and Options (4) 239,875 319,511 Accounts Payable and Accrued Expenses 170,398 187,564 Taxes Payable 104,796 42,745 Uncertain Tax Positions 54,975 78,226 Unfunded Revolver Commitments 64,556 64,276 Operating Lease Liabilities (5) 223,652 230,995 Deferred Tax Liabilities, net (See Note 18) 791,575 900,436 Other Liabilities 551,024 439,693 Total Asset Management $ 7,241,786 $ 7,896,897 Insurance Unsettled Investment Purchases (2) $ 1,138,365 $ 395,722 Collateral on Derivative Instruments 894,687 1,086,061 Accrued Expenses 753,160 747,237 Securities Sold Under Agreements to Repurchase 810,535 300,446 Derivative Liabilities 462,202 145,163 Accrued Employee Related Expenses 248,861 280,668 Operating Lease Liabilities (5) 190,855 180,574 Tax Payable to Former Parent Company 64,886 74,423 Interest Payable 32,353 12,930 Accounts and Commissions Payable 15,196 26,054 Other Tax Related Liabilities 4,741 14,288 Total Insurance $ 4,615,841 $ 3,263,566 Total Accrued Expenses and Other Liabilities $ 11,857,627 $ 11,160,463 (1) Represents the amount of carried interest payable to current and former KKR employees arising from KKR's investment funds and co-investment vehicles that provide for carried interest. (2) Represents amounts owed to third parties for investment purchases for which cash settlement has not occurred. (3) Represents the obligations of KKR to deliver a specified security at a future point in time. Such securities are measured at fair value with changes in fair value recorded in Net Gains (Losses) from Investment Activities in the accompanying consolidated statements of operations. See Note 5 "Net Gains (Losses) from Investment Activities - Asset Management" for the net changes in fair value associated with these instruments. (4) Represents derivative financial instruments used to manage foreign exchange risk arising from certain foreign currency denominated investments. Such instruments are measured at fair value with changes in fair value recorded in Net Gains (Losses) from Investment Activities in the accompanying consolidated statements of operations. See Note 5 "Net Gains (Losses) from Investment Activities - Asset Management" for the net changes in fair value associated with these instruments. (5) For Asset Management, operating leases have remaining lease terms that range from approximately 1 year to 14 years, some of which include options to extend the leases for up to 3 years. The weighted average remaining lease terms were 9.4 years and 9.5 years as of March 31, 2022 and December 31, 2021, respectively. The weighted average discount rates were 1.2% and 1.2% as of March 31, 2022 and December 31, 2021, respectively. For Insurance, operating leases for office space have remaining lease terms that range from approximately 1 year to 12 years, some of which include options to extend the leases for up to 10 years. The weighted average remaining lease terms was 7.6 years and 7.8 years as of March 31, 2022 and December 31, 2021, respectively. The weighted average discount rate was 2.9% as of both March 31, 2022 and December 31, 2021. |
VARIABLE INTEREST ENTITIES
VARIABLE INTEREST ENTITIES | 3 Months Ended |
Mar. 31, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
VARIABLE INTEREST ENTITIES | VARIABLE INTEREST ENTITIES Consolidated VIEs KKR consolidates certain variable interest entities ("VIEs") in which it is determined that KKR is the primary beneficiary. The consolidated VIEs are predominately CLOs and certain investment funds sponsored by KKR. The primary purpose of these VIEs is to provide strategy specific investment opportunities to earn investment gains, current income or both in exchange for management and performance income. KKR's investment strategies differ for these VIEs; however, the fundamental risks have similar characteristics, including loss of invested capital and loss of management and performance income. KKR does not provide performance guarantees and has no other financial obligation to provide funding to these consolidated VIEs, beyond amounts previously committed, if any. Furthermore, KKR consolidates certain VIEs, which are formed by Global Atlantic to hold investments, including investments in transportation, renewable energy, consumer and other loans and fixed maturity securities. Unconsolidated VIEs KKR holds variable interests in certain VIEs which are not consolidated as it has been determined that KKR is not the primary beneficiary. VIEs that are not consolidated predominantly include certain investment funds sponsored by KKR as well as certain investment partnerships where Global Atlantic retains an economic interest. KKR's investment strategies differ by investment fund; however, the fundamental risks have similar characteristics, including loss of invested capital and loss of management and performance income. KKR's maximum exposure to loss as a result of its investments in the unconsolidated investment funds is the carrying value of such investments, including KKR's capital interest and any unrealized carried interest. Accordingly, disaggregation of KKR's involvement by type of unconsolidated investment fund would not provide more useful information. For these unconsolidated investment funds in which KKR is the sponsor, KKR may have an obligation as general partner to provide commitments to such investment funds. As of March 31, 2022, KKR's commitments to these unconsolidated investment funds were $4.9 billion. KKR has not provided any financial support other than its obligated amount as of March 31, 2022. Additionally, Global Atlantic also has unfunded commitments of $23.7 million in relation to other limited partnership interests as of March 31, 2022. As of March 31, 2022 and December 31, 2021, the maximum exposure to loss, before allocations to the carry pool and noncontrolling interests, if any, for those VIEs in which KKR is determined not to be the primary beneficiary but in which it has a variable interest is as follows: March 31, 2022 December 31, 2021 Investments - Asset Management $ 10,254,226 $ 11,539,945 Due from (to) Affiliates, net 1,027,639 1,046,210 Maximum Exposure to Loss - Asset Management $ 11,281,865 $ 12,586,155 Other Investment in Partnership - Insurance $ 204,984 $ 190,106 Investment in Renewable Partnerships - Insurance 30,194 30,760 Maximum Exposure to Loss- Insurance $ 235,178 $ 220,866 Total Maximum Exposure to Loss $ 11,517,043 $ 12,807,021 |
DEBT OBLIGATIONS
DEBT OBLIGATIONS | 3 Months Ended |
Mar. 31, 2022 | |
Debt Disclosure [Abstract] | |
DEBT OBLIGATIONS | DEBT OBLIGATIONS Asset Management Debt Obligations In Asset Management, KKR enters into credit agreements and issues debt for its general operating and investment purposes. KKR consolidates and reports debt obligations of KKR Financial Holdings LLC, a KKR subsidiary ("KFN"), which are non-recourse to KKR beyond the assets of KFN. Certain of KKR's consolidated investment funds have entered into financing arrangements with financial institutions, generally to provide liquidity to such investment funds. These financing arrangements are generally not direct obligations of the general partners of KKR's investment funds (beyond KKR's capital interest) or its management companies. Such borrowings have varying maturities and bear interest at floating rates. Borrowings are generally secured by the investment purchased with the proceeds of the borrowing and/or the uncalled capital commitment of each respective fund. When an investment vehicle borrows, the proceeds are available only for use by that investment vehicle and are not available for the benefit of other investment vehicles or KKR. Collateral within each investment vehicle is also available only against borrowings by that investment vehicle and not against the borrowings of other investment vehicles or KKR. In certain other cases, investments and other assets held directly by majority-owned consolidated investment vehicles have been funded with borrowings that are collateralized by the investments and assets they own. These borrowings are non-recourse to KKR beyond the investments or assets serving as collateral or the capital that KKR has committed to fund such investment vehicles. Such borrowings have varying maturities and generally bear interest at fixed rates. In addition, consolidated CFEs issue debt securities to third-party investors which are collateralized by assets held by the CFE. Debt securities issued by CFEs are supported solely by the assets held at the CFEs and are not collateralized by assets of any other KKR entity. CFEs also may have warehouse facilities with banks to provide liquidity to the CFE. The CFE's debt obligations are non-recourse to KKR beyond the assets of the CFE. KKR's Asset Management debt obligations consisted of the following: March 31, 2022 December 31, 2021 Financing Available Borrowing Outstanding Fair Value Financing Available Borrowing Outstanding Fair Value Revolving Credit Facilities: Corporate Credit Agreement $ 1,000,000 $ — $ — $ 1,000,000 $ — $ — KCM Credit Agreement 728,493 — — 728,799 — — KCM 364-Day Revolving Credit Agreement 750,000 — — 750,000 — — Notes Issued: (1) KKR ¥25 billion (or $205.0 million) 0.509% Notes Due 2023 (4) — 204,706 204,479 — 216,881 216,818 KKR ¥5 billion (or $41.0 million) 0.764% Notes Due 2025 (4) — 40,661 40,881 — 43,082 43,452 KKR €650 million (or $723.8 million) 1.625% Notes Due 2029 (5) — 717,092 703,183 — 729,048 776,926 KKR $750 million 3.750% Notes Due 2029 (4) — 743,555 766,035 — 743,333 825,540 KKR ¥10.3 billion (or $84.5 million) 1.595% Notes Due 2038 (4) — 83,473 83,191 — 88,505 92,198 KKR $500 million 5.500% Notes Due 2043 (6) (4) — 491,451 567,543 — 491,153 661,351 KKR $1 billion 5.125% Notes Due 2044 (6) (4) — 956,647 1,074,160 — 951,462 1,237,888 KKR $500 million 3.625% Notes Due 2050 (4) — 492,553 447,275 — 492,486 535,550 KKR $750 million 3.500% Notes Due 2050 (6) (4) — 736,056 658,983 — 735,905 784,650 KKR $750 million 3.250% Notes Due 2051 (4) — 739,569 629,693 — 739,481 747,900 KKR $500 million 4.625% Notes Due 2061 (5) — 486,133 439,000 — 486,044 523,200 KFN $500 million 5.500% Notes Due 2032 (2) — 495,147 466,871 — 495,025 487,779 KFN $120 million 5.200% Notes Due 2033 (2) — 118,683 108,766 — 118,654 115,535 KFN $70 million 5.400% Notes Due 2033 (2) — 68,980 64,437 — 68,957 68,532 KFN Issued Junior Subordinated Notes (3) (2) — 236,467 186,989 — 236,138 178,335 2,478,493 6,611,173 6,441,486 2,478,799 6,636,154 7,295,654 Other Debt Obligations (6) 5,685,293 29,501,699 29,501,699 4,941,755 30,033,601 30,033,601 $ 8,163,786 $ 36,112,872 $ 35,943,185 $ 7,420,554 $ 36,669,755 $ 37,329,255 (1) Borrowing outstanding includes: (i) unamortized note discount (net of premium), as applicable and (ii) unamortized debt issuance costs, as applicable. Financing costs related to the issuance of the notes have been deducted from the note liability and are being amortized over the life of the notes. (2) These debt obligations are classified as Level III within the fair value hierarchy and valued using the same valuation methodologies as KKR's Level III credit investments. (3) KKR consolidates KFN and reports KFN's outstanding $258.5 million aggregate principal amount of junior subordinated notes. The weighted average interest rate is 2.6% and 2.6% and the weighted average years to maturity is 14.5 years and 14.8 years as of March 31, 2022 and December 31, 2021, respectively. (4) The notes are classified as Level II within the fair value hierarchy and fair value is determined by third party broker quotes. (5) The notes are classified as Level I within the fair value hierarchy and fair value is determined by quoted prices in active markets since the debt is publicly listed. (6) As of March 31, 2022 and December 31, 2021, the borrowing outstanding reflects the elimination for the portion of these debt obligations that are held by Global Atlantic. Asset Management Revolving Credit Facilities KCM Short-Term Credit Agreement On April 8, 2022, KKR Capital Markets Holdings L.P. and certain other capital markets subsidiaries (the "KCM Borrowers") entered into a 364-day revolving credit agreement (the "KCM Short-Term Credit Agreement”) with Mizuho Bank, Ltd., as administrative agent, and one or more lenders party thereto. The KCM Short-Term Credit Agreement replaces the prior 364-day revolving credit agreement, dated as of April 9, 2021, between the KCM Borrowers and the administrative agent, and one or more lenders party to the KCM Short-Term Agreement, which was terminated according to its terms on April 8, 2022. The KCM Short-Term Credit Agreement provides for revolving borrowings up to $750 million, expires on April 7, 2023, and ranks pari passu with the existing $750 million revolving credit facility provided by them for KKR's capital markets business (the "KCM Credit Agreement"). If a borrowing is made under the KCM Short-Term Credit Agreement, the interest rate will vary depending on the type of drawdown requested. If the borrowing is (i) denominated in U.S. dollars and a term rate, it will be based on the term Secured Overnight Financing Rate (SOFR), (ii) denominated in euros, it will be based on EURIBOR and (iii) denominated in pounds sterling, it will be based on the Sterling Overnight Interbank Average Rate (SONIA), in each case, plus the applicable margin which ranges initially between 1.50% and 2.75%, depending on the duration of the loan. If the borrowing is an ABR Loan, it will be based on the greater of (i) the federal funds rate plus 0.50% and (ii) term SOFR for one-month tenor plus 1.00%, in each case, plus the applicable margin which ranges initially between 0.50% and 1.75% depending on the amount and nature of the loan. Borrowings under the KCM Short-Term Credit Agreement may only be used to facilitate the settlement of debt transactions syndicated by KKR's capital markets business. Obligations under the KCM Short-Term Credit Agreement are limited to the KCM Borrowers, which are solely entities involved in KKR's capital markets business, and liabilities under the KCM Short-Term Credit Agreement are non-recourse to other parts of KKR. The KCM Short-Term Credit Agreement contains customary representations and warranties, events of default, and affirmative and negative covenants, including a financial covenant providing for a maximum debt to equity ratio for the KCM Borrowers. The KCM Borrowers' obligations under the KCM Short-Term Credit Agreement are secured by certain assets of the KCM Borrowers, including a pledge of equity interests of certain subsidiaries of the KCM Borrowers. Other Asset Management Debt Obligations As of March 31, 2022, other debt obligations consisted of the following: Financing Available Borrowing Fair Value Weighted Weighted Average Remaining Maturity in Years Financing Facilities of Consolidated Funds and Other (1) $ 5,685,293 $ 8,288,493 $ 8,288,493 3.5% 4.4 Debt Obligations of Consolidated CLOs — 21,213,206 21,213,206 (2) 10.5 $ 5,685,293 $ 29,501,699 $ 29,501,699 (1) Includes borrowings collateralized by fund investments, fund co-investments and other assets held by levered investment vehicles of $2.0 billion. (2) The senior notes of the consolidated CLOs had a weighted average interest rate of 1.9%. The subordinated notes of the consolidated CLOs do not have contractual interest rates but instead receive a pro rata amount of the net distributions from the excess cash flows of the respective CLO vehicle. Accordingly, weighted average borrowing rates for the subordinated notes are based on cash distributions during the period, if any. Debt obligations of consolidated CLOs are collateralized by assets held by each respective CLO vehicle and assets of one CLO vehicle may not be used to satisfy the liabilities of another. As of March 31, 2022, the fair value of the consolidated CLO assets was $23.0 billion. This collateral consisted of Cash and Cash Equivalents, Investments, and Other Assets. Insurance Debt Obligations Global Atlantic's debt obligations consisted of the following: March 31, 2022 December 31, 2021 Financing Available Borrowing Outstanding Fair Value (2) Financing Available Borrowing Outstanding Fair Value (2) Revolving Credit Facilities: Global Atlantic revolving credit facility, due August 2026 $ 800,000 $ 200,000 $ 200,000 $ 1,000,000 $ — $ — Notes Issued and Others: Global Atlantic senior notes, due October 2029 500,000 500,100 500,000 539,350 Global Atlantic senior notes, due June 2031 650,000 582,660 650,000 644,800 Global Atlantic subordinated debentures, due October 2051 750,000 710,625 750,000 761,475 2,100,000 $ 1,993,385 1,900,000 $ 1,945,625 Purchase accounting adjustments (1) 45,618 51,050 Debt issuance costs, net of accumulated amortization (18,413) (18,675) Fair value loss (gain) of hedged debt obligations, recognized in earnings (97,436) (24,369) $ 2,029,769 $ 1,908,006 (1) The amortization of the purchase accounting adjustments was $5.4 million and $2.0 million for the three months ended March 31, 2022 and 2021, respectively. (2) These debt obligations are classified as Level III within the fair value hierarchy and valued using the same valuation methodologies as KKR's Level III credit investments. Debt Covenants |
INCOME TAXES
INCOME TAXES | 3 Months Ended |
Mar. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES KKR & Co. Inc. is a domestic corporation for U.S. federal income tax purposes and is subject to U.S. federal, state and local income taxes at the entity level on its share of taxable income. In addition, KKR Group Partnership and certain of its subsidiaries operate as partnerships for U.S. federal tax purposes but as taxable entities for certain state, local or non-U.S. tax purposes. Moreover, certain corporate subsidiaries of KKR, including certain Global Atlantic subsidiaries, are domestic corporations for U.S. federal income tax purposes and are subject to U.S. federal, state, and local income taxes. Income taxes reported in these consolidated financial statements include the taxes described in this paragraph. The effective tax rates were (0.3)% and 10.1% for the three months ended March 31, 2022 and 2021. The effective tax rate differs from the statutory rate primarily because a substantial portion of the reported net income (loss) before taxes is not attributable to KKR but rather is attributable to noncontrolling interests held in KKR’s consolidated entities by KKR's principals or by third parties. Future realization of deferred tax assets is dependent on KKR generating sufficient taxable income before the tax benefits are expected to expire. KKR considers projections of taxable income in evaluating its ability to utilize those deferred tax assets. In projecting its taxable income, KKR begins with historical results and incorporates assumptions concerning the amount and timing of future pretax operating income. Those assumptions require significant judgment and are consistent with the plans and estimates that KKR uses to manage its business. As of March 31, 2022, $22.2 million of deferred tax assets are not considered to be more likely than not to be realized prior to the expiration of the related loss carryforwards. For that portion of the total deferred tax asset, a valuation allowance has been recorded. During the three months ended March 31, 2022, there was a decrease of $21.2 million to KKR’s uncertain tax positions primarily due to the settlement of state tax audits conducted for the years ended 2010 through 2014. |
EQUITY BASED COMPENSATION
EQUITY BASED COMPENSATION | 3 Months Ended |
Mar. 31, 2022 | |
Share-based Payment Arrangement [Abstract] | |
EQUITY BASED COMPENSATION | EQUITY BASED COMPENSATION Asset Management KKR Equity Incentive Plan Awards For the three months ended March 31, 2022 and 2021 KKR recorded equity based compensation expense of $115.1 million and $64.5 million, respectively. For the three months ended March 31, 2022 and 2021, $2.1 million and $0.2 million of equity based compensation related to our insurance business, respectively. Under KKR's Equity Incentive Plans, KKR is permitted to grant equity awards representing ownership interests in KKR & Co. Inc. common stock. On March 29, 2019, the 2019 Equity Incentive Plan became effective. Following the effectiveness of the 2019 Equity Incentive Plan, KKR no longer makes further grants under the 2010 Equity Incentive Plan, and the 2019 Equity Incentive Plan became KKR's only plan for providing new equity-based awards by KKR & Co. Inc. Outstanding awards under the 2010 Equity Incentive Plan will remain outstanding, unchanged and subject to the terms of the 2010 Equity Incentive Plan and their respective equity award agreements, until the vesting, expiration or lapse of such awards in accordance with their terms. The total number of equity awards representing shares of common stock that may be issued under the 2019 Equity Incentive Plan is equivalent to 15% of the aggregate number of the shares of common stock and KKR Group Partnership Units (excluding KKR Group Partnership Units held by KKR & Co. Inc. or its wholly-owned subsidiaries), subject to annual adjustment. As of March 31, 2022, 72,237,327 shares may be issued under the 2019 Equity Incentive Plan. Equity awards granted pursuant to the Equity Plans generally consist of (i) restricted stock units ("RSUs") that convert to shares of common stock of KKR & Co. Inc. (or cash equivalent) upon vesting and (ii) restricted holdings units ("RHUs") through KKR Holdings II L.P. that are exchangeable into shares of common stock of KKR & Co. Inc. upon vesting and certain other conditions. Vested awards under the Equity Incentive Plans dilute KKR & Co. Inc. common stockholders and KKR Holdings pro rata in accordance with their respective percentage interests in KKR Group Partnership. Service-Vesting Awards Under the Equity Incentive Plans, KKR grants RSUs and RHUs that are subject to service-based vesting, typically over a three Expense associated with the vesting of these Service-Vesting Awards is based on the closing price of KKR & Co. Inc. common stock on the date of grant, discounted for the lack of participation rights in the expected dividends on unvested equity awards. Expense is recognized on a straight line basis over the life of the award and assumes a forfeiture rate of up to 7% annually based upon expected turnover by class of recipient. As of March 31, 2022, there was approximately $576.0 million of total estimated unrecognized expense related to unvested Service-Vesting Awards, which is expected to be recognized over the weighted average remaining requisite service period of 1.7 years. A summary of the status of unvested Service-Vesting Awards granted under the Equity Incentive Plans from January 1, 2022 through March 31, 2022 is presented below: Shares Weighted Balance, January 1, 2022 19,307,041 $ 41.21 Granted 442,156 65.26 Vested (22,436) 29.05 Forfeitures (101,404) 35.66 Balance, March 31, 2022 19,625,357 $ 41.79 Market Condition Awards Under the Equity Incentive Plans, KKR also grants RSUs and RHUs that are subject to both a service-based vesting condition and a market price based vesting condition (referred to hereafter as "Market Condition Awards") for certain employees (other than the Co-CEO Awards discussed below). The number of Market Condition Awards that will vest depend upon (i) the market price of KKR common stock reaching certain price targets that range from $45.00 to $140.00 and (ii) the employee being employed by KKR on a certain date, which typically is five and a half years from the date of grant (with exceptions for involuntary termination without cause, death and permanent disability). The market price vesting condition is met when the average closing price of KKR common stock during 20 consecutive trading days meets or exceeds the stock price targets. Holders of the Market Condition Awards do not participate in dividends until such awards have met both their service-based and market price based vesting requirements. Additionally, these awards are subject to additional transfer restrictions and minimum retained ownership requirements after vesting. Due to the existence of the service requirement, the vesting period for these Market Condition Awards is explicit, and as such, compensation expense will be recognized on (i) a straight-line basis over the period from the date of grant through the date the award recipient is required to be employed by KKR and (ii) assumes a forfeiture rate of up to 7% annually based upon expected turnover. The fair value of the awards granted are based on a Monte-Carlo simulation valuation model. In addition, the grant date fair value assumes that holders of the Market Condition Awards will not participate in dividends until such awards have met all of their vesting requirements. Below is a summary of the grant date fair value based on the Monte Carlo simulation valuation model and the significant assumptions used to estimate the grant date fair value of these Market Condition Awards: Weighted Range Grant Date Fair Value $25.70 $19.87 - $66.80 Closing KKR share price as of valuation date $42.99 $37.93 - $76.31 Risk Free Rate 0.53% 0.41% - 1.40% Volatility 28.07% 28.00% - 30.00% Dividend Yield 1.41% 0.76% - 1.53% Expected Cost of Equity 10.59% 9.13% - 10.76% As of March 31, 2022, there was approximately $374.7 million of total estimated unrecognized expense related to these unvested Market Condition Awards, which is expected to be recognized over the weighted average remaining requisite service period of 4.2 years. A summary of the status of unvested Market Condition Awards granted under the Equity Incentive Plans from January 1, 2022 through March 31, 2022 is presented below: Shares Weighted Balance, January 1, 2022 21,370,847 $ 25.03 Granted 350,000 66.80 Vested — — Forfeitures — — Balance, March 31, 2022 21,720,847 $ 25.70 As of March 31, 2022, 19.7 million of these Market Condition awards have met their market price based vesting condition. Co-CEO Awards On December 9, 2021, the Board of Directors approved grants of 7.5 million RHUs to each of KKR’s Co-Chief Executive Officers that are subject to both a service-based vesting condition and a market price based vesting condition (referred to hereafter as "Co-CEOs Awards"). For both Co-Chief Executive Officers, 20% of the Co-CEOs Awards are eligible to vest at each of the following KKR common stock prices targets: $95.80, $105.80, $115.80, $125.80 and $135.80. The market price based vesting condition is met when the average closing price of KKR common stock during 20 consecutive trading days meets or exceeds the stock price targets. In addition to the market price based vesting conditions, in order for the Co-CEOs Awards to vest, the Co-Chief Executive Officer is required to be employed by KKR on December 31, 2026 (with exceptions for involuntary termination without cause, death and permanent disability). These awards will be automatically canceled and forfeited upon the earlier of the Co-Chief Executive Officer’s termination of service (except for involuntary termination without cause, death or permanent disability) or the failure to meet the market price based vesting condition by December 31, 2028 (for which continued service is required if the market price vesting condition is met after December 31, 2026). Co-CEO Awards do not participate in dividends until such awards have met both their service-based and market price based vesting requirements. Additionally, these awards are subject to additional transfer restrictions and minimum retained ownership requirements after vesting. Due to the existence of the service requirement, the vesting period for these Co-CEO Awards is explicit, and as such, compensation expense will be recognized on a straight-line basis over the period from the date of grant through December 31, 2026 given the derived service period is less than the explicit service period. The fair value of the awards granted are based on a Monte-Carlo simulation valuation model. In addition, the grant date fair value assumes that these Co-CEO Awards will not participate in dividends until such awards have met all of their vesting requirements. Below is a summary of the grant date fair value based on the Monte Carlo simulation valuation model and the significant assumptions used to estimate the grant date fair value of these Co-CEO Awards: Grant Date Fair Value $48.91 Closing KKR share price as of valuation date $75.76 Risk Free Rate 1.42% Volatility 28.0% Dividend Yield 0.77% Expected Cost of Equity 9.36% As of March 31, 2022, there was approximately $689.2 million of total estimated unrecognized expense related to these unvested Co-CEO Awards, which is expected to be recognized ratably from April 1, 2022 to December 31, 2026. As of March 31, 2022, none of these Co-CEO awards have met their market price based vesting condition. KKR Holdings Awards For the three months ended March 31, 2022 and 2021, KKR recorded equity based compensation expense of $19.8 million and $16.4 million, respectively. KKR Holdings units are exchangeable for KKR Group Partnership Units and allow for their exchange into common stock of KKR & Co. Inc. on a one-for-one basis. As of March 31, 2022 and 2021, KKR Holdings owned approximately 30.4% or 258,726,163 units and 32.1% or 273,367,712 units, respectively, of outstanding KKR Group Partnership Units. In the past, awards of KKR Holdings units generally had service-based vesting, typically over a three On October 8, 2021, as part of the transactions contemplated by the Reorganization, of the 3.3 million outstanding KKR Holdings units that remained unallocated as of September 30, 2021, KKR Holdings allocated 1,150,000 KKR Holdings units to each of KKR’s Co-CEOs, of which 70% vested immediately, on October 8, 2021, and the remaining 30% are subject to forfeiture if such Co-CEO is not employed by KKR on October 1, 2022 (except in the case of death or permanent disability). These KKR Holdings units (or shares of common stock to be received in respect thereof) are subject to customary one The fair value of awards granted out of KKR Holdings is generally based on the closing price of KKR & Co. Inc. common stock on the date of grant discounted for the lack of participation rights in the expected distributions on unvested units. KKR determined this to be the best evidence of fair value as KKR & Co. Inc. common stock is traded in an active market and has an observable market price. Additionally, a KKR Holdings unit is an instrument with terms and conditions similar to those of KKR & Co. Inc. common stock. Specifically, units in KKR Holdings and shares of KKR & Co. Inc. represent ownership interests in KKR Group Partnership Units and, subject to any vesting, minimum retained ownership requirements and transfer restrictions, each KKR Holdings unit is exchangeable into a KKR Group Partnership Unit and then into a share of KKR & Co. Inc. common stock on a one-for-one basis. KKR Holdings awards give rise to equity-based compensation in the consolidated statements of operations based on the grant-date fair value of the award discounted for the lack of participation rights in the expected distributions on unvested units. This discount is consistent with that noted above for shares issued under the Equity Incentive Plans. Expense is recognized on a straight line basis over the life of the award and assumes a forfeiture rate of up to 7% annually based on expected turnover by class of recipient. As of March 31, 2022, there was approximately $40.0 million of estimated unrecognized expense, which is expected to be recognized ratably from April 1, 2022 to October 1, 2022. A summary of the status of unvested awards granted under the KKR Holdings Plan from January 1, 2022 through March 31, 2022 is presented below: Units Weighted Balance, January 1, 2022 4,600,000 $ 21.88 Granted — — Vested — — Forfeitures — — Balance, March 31, 2022 4,600,000 $ 21.88 Insurance Global Atlantic recognized $20.6 million and $7.4 million of expense related equity-based compensation and long-term incentive awards for the three months ended March 31, 2022 and 2021, respectively. No equity-based compensation costs were capitalized during the three months ended March 31, 2022 and 2021, respectively. Equity Classified Awards - KKR Equity Incentive Plan Awards On February 1, 2021, in connection with the GA Acquisition, employees of Global Atlantic were awarded a one-time grant of RSUs under the 2019 Equity Incentive Plan. These awards (i) are subject to service-based vesting conditions and (ii) expense associated with the vesting of these awards is based on the closing price of KKR & Co. Inc. common stock on the date of grant, consistent with other awards granted under the 2019 Equity Incentive Plan as described above. On July 1, 2021, a grant of a Market Condition Award was made under the 2019 Equity Incentive Plan. This award is subject to meeting certain market price based vesting conditions of KKR common stock but has no service vesting condition. Expense associated with the grant date fair value of this award of $10.5 million was fully recognized in the three months ended September 30, 2021. Global Atlantic recognized $2.1 million and $0.2 million of total equity-based compensation expense for the three months ended March 31, 2022 and 2021 associated with these awards, respectively. Liability Classified Awards - Book Value Awards On February 1, 2021, Global Atlantic adopted the Global Atlantic Financial Company Book Value Award Plan ("GA Book Value Plan") to enhance the ability of Global Atlantic to attract, motivate and retain its employees and to promote the success of the Global Atlantic business. The GA Book Value Plan authorizes the grant of cash-settled awards ("book value awards") representing the right to receive one or more payments upon vesting equal to the product of an initial dollar value set by the award multiplied by a pre-determined formula as of each applicable vesting date. The predetermined formula is equal to the quotient determined by dividing the book value of one share of TGAFG on the applicable vesting date by the book value of a share on the original grant date, subject to adjustments. Book value awards generally vest in three equal, annual installments, subject to continued employment. On February 1, 2021, under the terms of the GA Merger Agreement and in accordance with applicable plan documentation, former Global Atlantic restricted share awards that were unvested immediately prior to the closing of the GA Acquisition converted into the right to receive a number of book value awards under the GA Book Value Plan having the same value and the same vesting schedule as the former Global Atlantic restricted share awards immediately prior to the closing of the GA Acquisition. An aggregate of 3,020,017 unvested former Global Atlantic restricted share awards having a fair value of $29.47 per share were converted to book value awards at an aggregate grant-date value of $89.0 million. On February 28, 2021, book value awards having an aggregate value of approximately $28.0 million vested as set forth in the former Global Atlantic grant agreements and resulted in a cash payment of $17.0 million to participants, net of applicable tax withholding. Also in connection with the GA Acquisition, on February 1, 2021, Global Atlantic employees were issued a one-time grant of book value awards having an aggregate initial value of $23.0 million. These one-time book value awards vest over five On March 1, 2021, pursuant to the GA Book Value Plan, book value awards having an aggregate initial value of approximately $32 million were granted. Such book value awards generally vest annually over three years in equal increments, subject to continued employment. Global Atlantic is recording compensation expense over the vesting schedule of the awards, net of an estimated forfeiture rate of 4%. Global Atlantic began recognizing long-term incentive expense for the book value awards described above at the grant dates, based on their initial value, net of a 4% estimated forfeiture rate. Global Atlantic adjusts expense periodically for changes in book value until the awards are settled or forfeited. Expense recognized on forfeited awards is reversed in the period of forfeiture. The table below presents the activity related to book value awards for the three months ended March 31, 2022 and 2021: Three Months Ended March 31, 2022 2021 Outstanding amount as of beginning of period $ 145,000 $ — Pre-acquisition awards converted to book-value awards on February 1, 2021 — 89,000 Granted 20,205 53,969 Forfeited (874) (957) Vested and issued (39,029) (30,280) Outstanding amount as of end of period $ 125,302 $ 111,732 Global Atlantic recognized $18.5 million and $7.2 million of compensation expense for the three months ended March 31, 2022 and 2021 associated with these awards, respectively. As of March 31, 2022 and December 31, 2021, the remaining unamortized compensation expenses of $108.1 million and $99.6 million are expected to be recognized over a remaining average period of 2.65 years and 2.67 years, respectively. GA Equity Incentive Plan Awards On June 24, 2021, Global Atlantic issued 1,000 non-voting incentive shares to a Bermuda exempted partnership owned by certain Global Atlantic employees, who are eligible to receive incentive units under Global Atlantic's Senior Management Equity Incentive Plan ("GA Equity Incentive Plan"). These incentive units represent an interest in the receipt of certain amounts based on Global Atlantic's book value, market value, and AUM, in each case as derived in part from the value of TGAFG’s fully-diluted equity shares. On June 24, 2021, Global Atlantic granted approximately 808 incentive units under the GA Equity Incentive Plan. The book value component of the incentive units vests 20% per year on the anniversary of the GA Acquisition Date, as long as the grantee remains then employed, and will be settled in cash. The market value and AUM components of the incentive units cliff vest upon the earlier to occur of (i) the fifth anniversary of the GA Acquisition Date, or (ii) a change of control, and will be settled in a variable number of TGAFG’s non-voting common shares. TGAFG shares issued under the AUM component of the Plan are exchangeable for shares of KKR. Except in the event of termination due to death or disability, generally, unvested market value and AUM amounts are forfeited upon a termination of employment. The GA Equity Incentive Plan is accounted for as a hybrid compensation plan, consisting of one component most closely aligned with a profit-sharing plan under ASC 710, Compensation - General , as well as other components within scope of ASC 718, Compensation - Stock Compensation , in all cases with obligations liability-classified. Accordingly, with regard to awards within scope of ASC 710, Global Atlantic records expense based on payouts deemed to be probable and reasonably estimable based on the book value growth of Global Atlantic at the grant date and at each reporting period. For award components subject to liability-classification under ASC 718, Global Atlantic records expense, net of a 0% estimated forfeiture rate, based on the fair value of awards granted, with periodic adjustments to expense for changes in fair value, over the requisite 5-year service period. The aggregate value of the GA Equity Incentive Plan awards at the initial date of grant was $197 million, based on the intrinsic value of the book value component at the date of grant ($5 million) and the fair value of the market value and AUM components at the date of grant ($192 million, collectively), based on the projected growth in value of each component over the 5-year vesting schedule and applying a forfeiture rate of 0%. Expense will be remeasured at each reporting period and adjusted as needed until the awards are forfeited or settled. During the three months ended March 31, 2022, no incentive units were granted to employees and approximately 8 incentive units were forfeited. As of March 31, 2022 and December 31, 2021, there were approximately 823 and 831 incentive units outstanding under the Plan, respectively. Global Atlantic recorded compensation expense of $17.3 million for the three months ended March 31, 2022 related to the GA Units granted under the GA Equity Incentive Plan, with a corresponding offset to other liabilities. As of March 31, 2022 and December 31, 2021, there was approximately $97.8 million and $104.1 million of unrecognized expense related to the GA Units granted under the GA Equity Incentive Plan with a weighted average service period remaining of 3.84 years and 4.09 years, respectively. |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 3 Months Ended |
Mar. 31, 2022 | |
Related Party Transactions [Abstract] | |
RELATED PARTY TRANSACTIONS | RELATED PARTY TRANSACTIONS Due from Affiliates consists of: March 31, 2022 December 31, 2021 Amounts due from portfolio companies $ 188,394 $ 114,514 Amounts due from unconsolidated investment funds 1,089,180 1,109,769 Due from Affiliates $ 1,277,574 $ 1,224,283 Due to Affiliates consists of: March 31, 2022 December 31, 2021 Amounts due to KKR Holdings - tax receivable agreement $ 396,127 $ 399,163 Amounts due to unconsolidated investment funds 61,541 63,559 Due to Affiliates $ 457,668 $ 462,722 |
SEGMENT REPORTING
SEGMENT REPORTING | 3 Months Ended |
Mar. 31, 2022 | |
Segment Reporting [Abstract] | |
SEGMENT REPORTING | SEGMENT REPORTING KKR operates through two reportable segments which are presented below and reflect how its chief operating decision-makers allocate resources and assess performance: • Asset Management - the asset management business offers a broad range of investment management services to investment funds, vehicles and accounts (including Global Atlantic) and provides capital markets services to portfolio companies and third parties. This reportable segment also reflects how its business lines operate collaboratively with predominantly a single expense pool. • Insurance - the insurance business is operated by Global Atlantic, which is a leading U.S. retirement and life insurance company that provides a broad suite of protection, legacy and savings products and reinsurance solutions to clients across individual and institutional markets. Global Atlantic primarily generates income by earning a spread between its investment income and the cost of policyholder benefits. KKR’s segment profitability measure used to make operating decisions and assess performance across KKR’s reportable segments is presented prior to giving effect to the allocation of income (loss) among KKR & Co. Inc., KKR Holdings and holders of other exchangeable securities, and the consolidation of the investment funds, vehicles and accounts that KKR advises, manages or sponsors (including CFEs). KKR's segment profitability measure excludes: (i) equity-based compensation charges, (ii) amortization of acquired intangibles, (iii) strategic transaction-related charges and (iv) non-recurring items, if any. Strategic transaction-related items arise from corporate actions and consist primarily of (i) impairments, (ii) non-monetary gains or losses on divestitures, (iii) transaction costs from strategic acquisitions, and (iv) depreciation on real estate that KKR owns and occupies. Inter-segment transactions are not eliminated from segment results when management considers those transactions in assessing the results of the respective segments. These transactions include (i) management fees earned by KKR as the investment adviser for Global Atlantic insurance companies and (ii) interest income and expense based on lending arrangements where one or more KKR subsidiaries borrow from a Global Atlantic insurance subsidiary. Inter-segment transactions are recorded by each segment based on the definitive documents that contain arms' length terms and comply with applicable regulatory requirements. Segment operating earnings for the Asset Management and Insurance segments is further defined as follows: • Asset Management Segment Operating Earnings is the profitability measure used to make operating decisions and to assess the performance of the Asset Management segment and is comprised of: (i) Fee Related Earnings, (ii) Realized Performance Income, (iii) Realized Performance Income Compensation, (iv) Realized Investment Income, and (v) Realized Investment Income Compensation. Asset Management Segment Operating Earnings excludes (i) unrealized carried interest, (ii) net unrealized gains (losses) on investments, and (iii) related unrealized performance income compensation. Management fees earned by KKR as the adviser, manager, or sponsor for its investment funds, vehicles and accounts, including its Global Atlantic insurance companies are included in Asset Management Segment Operating Earnings. • Insurance Segment Operating Earnings is the profitability measure used to make operating decisions and to assess the performance of the Insurance segment and is comprised of: (i) Net Investment Income, (ii) Net Cost of Insurance, (iii) General, Administrative, and Other Expenses, (iv) Income Taxes, and (v) Net Income Attributable to Noncontrolling Interests. The non-operating adjustments made to derive Insurance Segment Operating Earnings eliminate the impact of: (i) realized (gains) losses related to asset/liability matching investments strategies, (ii) unrealized investment (gains) losses, (iii) changes in the fair value of derivatives, embedded derivatives, and fair value liabilities for fixed-indexed annuities, indexed universal life contracts and variable annuities, and (iv) the associated income tax effects of all exclusions from Insurance Segment Operating Earnings except for equity-based compensation expense. Insurance Segment Operating Earnings includes (i) realized gains and losses not related to asset/liability matching investments strategies and (ii) the investment management fee expenses that are earned by KKR as the investment adviser of the Global Atlantic insurance companies. Segment Presentation The following tables set forth information regarding KKR's segment results: Three Months Ended March 31, 2022 2021 Asset Management Management Fees (1) $ 624,928 $ 439,740 Transaction and Monitoring Fees, Net 306,038 135,677 Fee Related Performance Revenues 12,051 10,296 Fee Related Compensation (212,220) (131,785) Other Operating Expenses (125,875) (90,161) Fee Related Earnings 604,922 363,767 Realized Performance Income 609,207 171,309 Realized Performance Income Compensation (383,635) (109,986) Realized Investment Income (2) 349,354 461,273 Realized Investment Income Compensation (52,403) (69,191) Asset Management Segment Operating Earnings 1,127,445 817,172 Insurance Net Investment Income (1) (2) 862,414 445,898 Net Cost of Insurance (493,649) (250,219) General, Administrative and Other (146,002) (75,489) Pre-tax Insurance Operating Earnings 222,763 120,190 Income Taxes (34,106) (16,626) Net Income Attributable to Noncontrolling Interest (72,669) (40,299) Insurance Segment Operating Earnings 115,988 63,265 Total Segment Operating Earnings $ 1,243,433 $ 880,437 (1) Includes intersegment management fees of $59.0 million and $22.9 million for the three months ended March 31, 2022 and 2021, respectively. (2) Includes intersegment interest expense and income of $25.8 million for the three months ended March 31, 2022. As of March 31, 2022 March 31, 2021 Segment Assets: Asset Management $ 31,921,809 $ 28,247,535 Insurance 167,492,964 131,350,085 Total Segment Assets $ 199,414,773 $ 159,597,620 Three Months Ended March 31, Noncash expenses excluded from Segment Operating Earnings 2022 2021 Equity Based Compensation and Other Asset Management $ 113,064 $ 64,317 Insurance 31,711 7,411 Total Non-cash expenses $ 144,775 $ 71,728 Reconciliations of Total Segment Amounts The following tables reconcile the Segment Revenues, Segment Operating Earnings, and Segment Assets to their equivalent GAAP measure: Three Months Ended March 31, 2022 2021 Total GAAP Revenues $ 1,004,017 $ 4,563,006 Impact of Consolidation and Other 213,400 123,448 Asset Management Adjustments: Capital Allocation-Based Income (GAAP) 945,743 (2,684,647) Realized Carried Interest 579,767 165,142 Realized Investment Income 349,354 461,273 Capstone Fees (15,485) (20,080) Expense Reimbursements (41,303) (27,729) Insurance Adjustments: Net Premiums (372,144) (1,176,142) Policy Fees (318,436) (201,683) Other Income (34,744) (18,144) Investment Gains and Losses 167,102 259,168 Derivative Gains and Losses 286,721 220,581 Total Segment Revenues (1) $ 2,763,992 $ 1,664,193 (1) Total Segment Revenues is comprised of (i) Management Fees, (ii) Transaction and Monitoring Fees, Net, (iii) Fee Related Performance Revenues, (iv) Realized Performance Income, (v) Realized Investment Income, and (vi) Net Investment Income. Three Months Ended March 31, 2022 2021 Income (Loss) Before Tax (GAAP) $ 1,099,436 $ 4,354,106 Impact of Consolidation and Other (1,232,320) (1,375,375) Interest Expense 69,460 57,545 Equity-based compensation - KKR Holdings 19,821 16,434 Asset Management Adjustments: Unrealized Carried Interest 1,290,033 (2,109,018) Net Unrealized (Gains) Losses 322,269 (1,316,644) Unrealized Carried Interest Compensation (Carry Pool) (513,987) 896,907 Strategic Corporate Transaction-Related Charges 19,898 4,875 Equity-based compensation 55,111 49,761 Equity-based compensation - Performance based 57,953 14,556 Insurance Adjustments: Net (Gains) Losses from Investments and Derivatives 48,735 289,235 Strategic Corporate Transaction-Related Charges 5,007 4,819 Equity-based and Other Compensation 31,711 7,411 Amortization of Acquired Intangibles 4,412 2,451 Income Taxes (34,106) (16,626) Total Segment Operating Earnings $ 1,243,433 $ 880,437 As of March 31, 2022 March 31, 2021 Total GAAP Assets $ 266,290,981 $ 216,445,114 Impact of Consolidation and Reclassifications (63,737,743) (54,032,166) Carry Pool Reclassifications (3,138,465) (2,815,328) Total Segment Assets $ 199,414,773 $ 159,597,620 |
EQUITY
EQUITY | 3 Months Ended |
Mar. 31, 2022 | |
Equity [Abstract] | |
EQUITY | EQUITY Stockholders' Equity Common Stock The common stock of KKR & Co. Inc. is entitled to vote as provided by its certificate of incorporation, Delaware General Corporation Law and the rules of the NYSE. Subject to preferences that apply to shares of Series C Mandatory Convertible Preferred Stock and any other shares of preferred stock outstanding at the time on which dividends are payable, the holders of common stock are entitled to receive dividends out of funds legally available if the board of directors, in its discretion, determines to declare dividends and then only at the times and in the amounts that the board of directors may determine. The common stock is not entitled to preemptive rights and is not subject to conversion, redemption or sinking fund provisions. Series I and Series II Preferred Stock Except for any distribution required by Delaware law to be made upon a dissolution event, the holders of Series I preferred stock and Series II preferred stock do not have any economic rights to receive dividends. Series I preferred stock is entitled to vote on various matters that may be submitted to vote of the stockholders and the other matters as set forth in the certificate of incorporation. For matters on which common stock is entitled to vote, so long as the ratio at which KKR Group Partnership Units are exchangeable for shares of common stock remains on a one-for-one basis, Series II preferred stock will vote together with common stock as a single class and on an equivalent basis, except Series II preferred stock will vote separately as a class on any amendment to the certificate of incorporation that changes certain terms, rights or preferences of Series II preferred stock. Upon a dissolution event, each holder of Series I preferred stock will be entitled to a payment equal to $0.01 per share of Series I preferred stock and each holder of Series II preferred stock will be entitled to a payment equal to $0.000000001 per share of Series II preferred stock. The Series II preferred stock will become eliminated upon the closing of the merger transactions contemplated by the Reorganization Agreement, subject to the satisfaction of the conditions to closing. The Series I preferred stock will become eliminated upon the closing of the transactions contemplated to occur on the Sunset Date (as defined in the Reorganization Agreement), which is scheduled to occur not later than December 31, 2026, subject to the closing of the prior merger transactions and the satisfaction of any other conditions to closing. Series C Mandatory Convertible Preferred Stock On August 14, 2020, KKR & Co. Inc. issued 23,000,000 shares, or $1.15 billion aggregate liquidation preference, of its 6.00% Series C Mandatory Convertible Preferred Stock (the "Series C Mandatory Convertible Preferred Stock"). Unless converted or redeemed earlier in accordance with the terms of the Series C Mandatory Convertible Preferred Stock, each share of Series C Mandatory Convertible Preferred Stock will automatically convert on the mandatory conversion date, which is expected to be September 15, 2023, into between 1.1662 shares and 1.4285 shares of common stock, in each case, subject to customary anti-dilution adjustments described in the certificate of designations related to the Series C Mandatory Convertible Preferred Stock. The number of shares of common stock issuable upon conversion will be determined based on the average volume weighted average price per share of common stock over the 20 consecutive trading day period beginning on, and including, the 21st scheduled trading day immediately prior to September 15, 2023. Dividends on the Series C Mandatory Convertible Preferred Stock will be payable on a cumulative basis when, as and if declared by our board of directors, or an authorized committee thereof, at an annual rate of 6.00% on the liquidation preference of $50.00 per share of Series C Mandatory Convertible Preferred Stock, and may be paid in cash or, subject to certain limitations, in shares of common stock or, subject to certain limitations, any combination of cash and shares of common stock. If declared, dividends on the Series C Mandatory Convertible Preferred Stock will be payable quarterly on March 15, June 15, September 15 and December 15 of each year to, and including, September 15, 2023, commencing on December 15, 2020. Upon KKR & Co. Inc.’s voluntary or involuntary liquidation, winding-up or dissolution, each holder of the Series C Mandatory Convertible Preferred Stock would be entitled to receive a liquidation preference in the amount of $50.00 per share of Series C Mandatory Convertible Preferred Stock, plus an amount equal to accumulated and unpaid dividends on such shares, whether or not declared, to, but excluding, the date fixed for liquidation, winding-up or dissolution, to be paid out of KKR & Co. Inc.’s assets legally available for distribution to its stockholders after satisfaction of debt and other liabilities owed to KKR & Co. Inc.’s creditors and holders of shares of its stock ranking senior to the Series C Mandatory Convertible Preferred Stock and before any payment or distribution is made to holders of any stock ranking junior to the Series C Mandatory Convertible Preferred Stock, including, without limitation, common stock. In connection with the issuance of the Series C Mandatory Convertible Preferred Stock, the limited partnership agreement of KKR Group Partnership was amended to provide for preferred units with economic terms designed to mirror those of the Series C Mandatory Convertible Preferred Stock. Share Repurchase Program Under KKR's repurchase program, shares of common stock of KKR & Co. Inc. may be repurchased from time to time in open market transactions, in privately negotiated transactions or otherwise. The timing, manner, price and amount of any repurchases will be determined by KKR in its discretion and will depend on a variety of factors, including legal requirements, price and economic and market conditions. In addition to the repurchases of common stock, the repurchase program will be used for the retirement (by cash settlement or the payment of tax withholding amounts upon net settlement) of equity awards granted pursuant to our Equity Incentive Plans representing the right to receive common stock. KKR expects that the program, which has no expiration date, will be in effect until the maximum approved dollar amount has been used. The program does not require KKR to repurchase or retire any specific number of shares of common stock or equity awards, respectively, and the program may be suspended, extended, modified or discontinued at any time. As of April 29, 2022, the remaining amount available under the repurchase program was approximately $108 million. The following table presents KKR & Co. Inc. common stock that has been repurchased or equity awards retired under the repurchase program: Three Months Ended March 31, 2022 2021 Shares of common stock repurchased 5,191,174 1,501,558 Equity awards for common stock retired — 1,325,853 Noncontrolling Interests Noncontrolling interests represent (i) noncontrolling interests in consolidated entities and (ii) noncontrolling interests held by KKR Holdings. Noncontrolling Interests in Consolidated Entities and Other Noncontrolling interests in consolidated entities represent the non-redeemable ownership interests in KKR that are held primarily by: (i) third party fund investors in KKR's consolidated funds and certain other entities; (ii) third parties entitled to up to 1% of the carried interest received by certain general partners of KKR's funds that have made investments on or prior to December 31, 2015; (iii) certain former principals and their designees representing a portion of the carried interest received by the general partners of KKR's private equity funds that was allocated to them with respect to private equity investments made during such former principals' tenure with KKR prior to October 1, 2009; (iv) certain current and former principals representing all of the capital invested by or on behalf of the general partners of KKR's private equity funds prior to October 1, 2009 and any returns thereon; (v) third parties in KKR's Capital Markets business line; (vi) holders of other exchangeable securities, which consist of vested restricted holdings units granted under the 2019 Equity Plan that are exchangeable into shares of common stock of KKR & Co. Inc.; and (vii) third parties in KKR's insurance business including GA Rollover Investors, GA Co-Investors and third party investors in Global Atlantic's consolidated renewable energy entities and certain other entities. Noncontrolling Interests held by KKR Holdings Noncontrolling interests held by KKR Holdings consist of economic interests held by principals indirectly in KKR Group Partnership Units. Such principals receive financial benefits from KKR's business in the form of distributions received from KKR Holdings and through their direct and indirect participation in the value of KKR Group Partnership Units held by KKR Holdings. These financial benefits are not paid by KKR & Co. Inc. and are borne by KKR Holdings. The following tables present the calculation of total noncontrolling interests: Three Months Ended March 31, 2022 Noncontrolling Interests in Consolidated Entities and Other Noncontrolling Interests Held by KKR Holdings Total Noncontrolling Interests Balance at the beginning of the period $ 32,043,699 $ 8,430,866 $ 40,474,565 Net income (loss) attributable to noncontrolling interests (1) 1,206,337 (47,152) 1,159,185 Other comprehensive income (loss), net of tax (2) (1,291,083) (629,986) (1,921,069) Equity-based and other non-cash compensation 63,571 19,821 83,392 Capital contributions 3,579,591 — 3,579,591 Capital distributions (1,831,897) (41,976) (1,873,873) Balance at the end of the period $ 33,770,218 $ 7,731,573 $ 41,501,791 Three Months Ended March 31, 2021 Noncontrolling Interests in Consolidated Entities and Other Noncontrolling Interests Held by KKR Holdings Total Noncontrolling Interests Balance at the beginning of the period $ 20,570,716 $ 6,512,382 $ 27,083,098 Net income (loss) attributable to noncontrolling interests (1) 1,241,877 1,003,654 2,245,531 Other comprehensive income (loss), net of tax (2) (581,154) (298,234) (879,388) Exchange of KKR Holdings Units to Common Stock (3) — (56,903) (56,903) Equity-based and other non-cash compensation 19,882 16,434 36,316 Capital contributions 4,009,967 25 4,009,992 Capital distributions (987,066) (40,768) (1,027,834) Impact of Acquisition (4) 190,405 — 190,405 Changes in consolidation (66,488) — (66,488) Balance at the end of the period $ 24,398,139 $ 7,136,590 $ 31,534,729 (1) Refer to the table below for calculation of net income (loss) attributable to noncontrolling interests held by KKR Holdings. (2) With respect to noncontrolling interests held by KKR Holdings, calculated on a pro rata basis based on the weighted average KKR Group Partnership Units held by KKR Holdings during the reporting period. (3) Calculated based on the proportion of KKR Holdings units exchanged for KKR & Co. Inc. common stock. The exchange agreement with KKR Holdings provides for the exchange of KKR Group Partnership Units held by KKR Holdings for KKR & Co. Inc. common stock. (4) Represents other noncontrolling interests at the GA Acquisition Date. Net income (loss) attributable to each of KKR & Co. Inc. common stockholders, KKR Holdings and holders of other exchangeable securities, with the exception of certain tax assets and liabilities that are directly allocable to KKR & Co. Inc., is attributed based on the percentage of the weighted average KKR Group Partnership Units directly or indirectly held by them. However, primarily because of the (i) contribution of certain expenses borne entirely by KKR Holdings and holders of other exchangeable securities, (ii) the periodic exchange of KKR Holdings units and other exchangeable securities for KR & Co. Inc. common stock pursuant to the exchange agreement and (iii) the contribution of certain expenses borne entirely by KKR associated with the Equity Incentive Plans, equity allocations shown in the consolidated statement of changes in equity differ from their respective pro rata ownership interests in KKR's net assets. The following table presents net income (loss) attributable to noncontrolling interests held by KKR Holdings: Three Months Ended March 31, 2022 2021 Net income (loss) $ 1,102,602 $ 3,915,367 (-) Net income (loss) attributable to Redeemable Noncontrolling Interests (63) — (-) Net income (loss) attributable to Noncontrolling Interests in consolidated entities and other 1,206,337 1,241,877 (-) Series A and B Preferred Stock Dividends — 8,341 (-) Series C Mandatory Convertible Preferred Stock Dividends 17,250 17,250 (+) Income tax expense (benefit) attributable to KKR & Co. Inc. (34,144) 462,930 Net income (loss) attributable to KKR & Co. Inc. $ (155,066) $ 3,110,829 Net income (loss) attributable to Noncontrolling Interests held by KKR Holdings $ (47,152) $ 1,003,654 |
REDEEMABLE NONCONTROLLING INTER
REDEEMABLE NONCONTROLLING INTERESTS | 3 Months Ended |
Mar. 31, 2022 | |
Noncontrolling Interest [Abstract] | |
REDEEMABLE NONCONTROLLING INTERESTS | REDEEMABLE NONCONTROLLING INTERESTSGlobal Atlantic has redeemable non-controlling interests related to renewable energy entities of approximately $81.8 million and $82.5 million as of March 31, 2022 and December 31, 2021 as determined by the hypothetical liquidation book value ("HLBV") method, respectively. The estimated redemption value of redeemable non-controlling interests is calculated as the discounted cash flows subsequent to the expected flip date of the respective renewable energy entity. The flip date represents the date at which the allocation of income and cash flows among the investors in the entity is adjusted, pursuant to the redeemable non-controlling interest investors having achieved an agreed-upon return. The flip date of renewable energy partnerships determines when the redeemable non-controlling interests are eligible to be redeemed. Eligible redemption dates range from 2022 to 2027. For the redeemable non-controlling interests outstanding as of both March 31, 2022 and December 31, 2021, the estimated redemption value that would be due at the respective redemption dates is $5.3 million. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 3 Months Ended |
Mar. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES Funding Commitments and Others As of March 31, 2022, KKR had unfunded commitments consisting of $11.3 billion to its investment funds and vehicles. KKR has also agreed for certain of its investment vehicles to fund or otherwise be liable for a portion of their investment losses (up to a maximum of approximately $116 million) and/or to provide them with liquidity upon certain termination events (the maximum amount of which is unknown until the scheduled termination date of the investment vehicle). In addition to these uncalled commitments and funding obligations to KKR's investment funds and vehicles, KKR has entered into contractual commitments primarily with respect to underwriting transactions, debt financing, revolving credit facilities, and syndications in KKR's Capital Markets business line. As of March 31, 2022, these commitments amounted to $1.5 billion. Whether these amounts are actually funded, in whole or in part, depends on the contractual terms of such commitments, including the satisfaction or waiver of any conditions to closing or funding. KKR's capital markets business has arrangements with third parties, which reduce its risk when underwriting certain debt transactions, and thus our unfunded commitments as of March 31, 2022 have been reduced to reflect the amount to be funded by such third parties. In the case of purchases of investments or assets in our Principal Activities business line, the amount to be funded includes amounts that are intended to be syndicated to third parties, and the actual amounts to be funded may be less. Global Atlantic has commitments to purchase or fund investments of $2.6 billion and $2.0 billion as of March 31, 2022 and December 31, 2021, respectively. These commitments include those related to commercial mortgage loans, other lending facilities and other investments. For those commitments that represent a contractual obligation to extend credit, Global Atlantic has recorded a liability of $14.9 million for current expected credit losses as of March 31, 2022. In addition, Global Atlantic has entered into certain forward flow agreements to purchase loans. Global Atlantic's obligations under these agreements are subject to change, curtailment, and cancellation based on various provisions including repricing mechanics, due diligence reviews, and performance or pool quality, among other factors. Non-cancelable Operating Leases KKR's non-cancelable operating leases consist of leases of office space around the world. There are no material rent holidays, contingent rent, rent concessions or leasehold improvement incentives associated with any of these property leases. In addition to base rentals, certain lease agreements are subject to escalation provisions and rent expense is recognized on a straight‑line basis over the term of the lease agreement. Global Atlantic also enters into land leases for its consolidated investments in renewable energy. Contingent Repayment Guarantees The partnership documents governing KKR's carry-paying investment funds and vehicles generally include a "clawback" provision that, if triggered, may give rise to a contingent obligation requiring the general partner to return amounts to the fund for distribution to the fund investors at the end of the life of the fund. Under a clawback obligation, upon the liquidation of a fund, the general partner is required to return, typically on an after-tax basis, previously distributed carry to the extent that, due to the diminished performance of later investments, the aggregate amount of carry distributions received by the general partner during the term of the fund exceed the amount to which the general partner was ultimately entitled, including the effects of any performance thresholds. As of March 31, 2022, approximately $400 million of carried interest was subject to this clawback obligation, assuming that all applicable carry-paying funds and their alternative investment vehicles were liquidated at their March 31, 2022 fair values. Although KKR would be required to remit the entire amount to fund investors that are entitled to receive the clawback payment, KKR would be entitled to seek reimbursement of approximately $160 million of that amount from KKR Associates Holdings L.P., which is not a KKR subsidiary. As of March 31, 2022, KKR Associates Holdings L.P. had access to cash reserves sufficient to reimburse the full $160 million that would be due to KKR. If the investments in all carrying-paying funds were to be liquidated at zero value the clawback obligation would have been approximately $2.7 billion, and KKR would be entitled to seek reimbursement of approximately $1.1 billion of that amount from KKR Associates Holdings L.P. KKR will acquire control of KKR Associates Holdings L.P. when a subsidiary of KKR becomes its general partner upon the closing of the transactions contemplated to occur on the Sunset Date (as defined in the Reorganization Agreement), which is scheduled to occur not later than December 31, 2026, subject to the closing of the mergers contemplated by the Reorganization Agreement and the satisfaction of the other conditions to closing. Carried interest is recognized in the consolidated statements of operations based on the contractual conditions set forth in the agreements governing the fund as if the fund were terminated and liquidated at the reporting date and the fund's investments were realized at the then estimated fair values. Amounts earned pursuant to carried interest are earned by the general partner of those funds to the extent that cumulative investment returns are positive and where applicable, preferred return thresholds have been met. If these investment amounts earned decrease or turn negative in subsequent periods, recognized carried interest will be reversed and to the extent that the aggregate amount of carry distributions received by the general partner during the term of the fund exceed the amount to which the general partner was ultimately entitled, a clawback obligation would be recorded. For funds that are consolidated, this clawback obligation, if any, is reflected as an increase in noncontrolling interests in the consolidated statements of financial condition. For funds that are not consolidated, this clawback obligation, if any, is reflected as a reduction of KKR's investment balance as this is where carried interest is initially recorded. Indemnifications and Other Guarantees KKR may incur contingent liabilities for claims that may be made against it in the future. KKR enters into contracts that contain a variety of representations, warranties and covenants, including indemnifications. For example, KKR (including KFN) and certain of KKR's investment funds have provided and provide certain indemnities relating to environmental and other matters and have provided and provide non-recourse carve-out guarantees for fraud, willful misconduct and other customary wrongful acts, each in connection with the financing of KKR's corporate real estate and certain real estate investments and for certain investment vehicles that KKR manages. KKR's maximum exposure under these arrangements is currently unknown and KKR's liabilities for these matters would require a claim to be made against KKR in the future. KKR provides credit support to certain of its subsidiaries' obligations in connection with a limited number of investment vehicles that KKR manages. For example, KKR has guaranteed the obligations of a general partner to post collateral on behalf of its investment vehicle in connection with such vehicle's derivative transactions. KKR also (i) provides credit support regarding repayment and funding obligations to third-party lenders to certain of its employees, excluding its executive officers, in connection with their personal investments in KKR investment funds and in an investment vehicle that includes third party investors and invests in KKR funds and alongside KKR funds and (ii) provides credit support to a hedge fund partnership. KKR is not a guarantor for any borrowings, credit facilities or debt securities of its Indian debt financing company. KKR may also become liable for certain fees payable to sellers of businesses or assets if a transaction does not close, subject to certain conditions, if any, specified in the acquisition agreements for such businesses or assets. The Global Atlantic business was formerly owned by The Goldman Sachs Group, Inc. (together with its subsidiaries, "Goldman Sachs"). In connection with the separation of Global Atlantic from Goldman Sachs in 2013, Global Atlantic entered into a tax benefit payment agreement with Goldman Sachs. Under the tax benefit payment agreement, Global Atlantic (Fin) Company ("GA FinCo") is obligated to make annual payments out of available cash, guaranteed by Global Atlantic Financial Group Limited ("GAFG"), to Goldman Sachs over an approximately 25-year period totaling $214 million. As of March 31, 2022, the present value of the remaining amount to be paid is $64.9 million. Although these payments are subordinated and deferrable, deferral of these payments would result in restrictions on distributions by GA FinCo and GAFG. In lieu of funding certain investments in loan facilities to third party borrowers in cash, Global Atlantic has arranged or participated in letters of credit issued by third-party banks on behalf of the borrowers in the amount of $39.7 million, as of March 31, 2022, with expiration dates between October 2022 to December 2024. Global Atlantic has available lines of credit that would allow for additional letters of credit to be issued on behalf of certain borrowers, up to $225.3 million, as of March 31, 2022. For accounting purposes, these letters of credit are considered guarantees of certain obligations of the borrowers. If a letter of credit were to be drawn, Global Atlantic would be obligated to repay the issuing third-party bank, and Global Atlantic would recognize a loan receivable from the borrowers on the consolidated statements of financial condition. Global Atlantic monitors the likelihood of these letters of credit being drawn, and any related contingent obligation. As of both March 31, 2022 and December 31, 2021, the expected credit loss on the contingent liability associated with these letters of credit was not material. Litigation From time to time, KKR (including Global Atlantic) is involved in various legal proceedings, lawsuits, arbitration and claims incidental to the conduct of KKR's businesses. KKR's asset management and insurance businesses are also subject to extensive regulation, which may result in regulatory proceedings against them. In December 2017, KKR & Co. L.P. (which is now KKR & Co. Inc.) and its then Co-Chief Executive Officers were named as defendants in a lawsuit filed in Kentucky state court alleging, among other things, the violation of fiduciary and other duties in connection with certain separately managed accounts that Prisma Capital Partners LP, a former subsidiary of KKR, manages for the Kentucky Retirement Systems. Also named as defendants in the lawsuit are certain current and former trustees and officers of the Kentucky Retirement Systems, Prisma Capital Partners LP, and various other service providers to the Kentucky Retirement Systems and their related persons. KKR and other defendants’ motions to dismiss were denied by the trial court in November 2018, but in April 2019 the Kentucky Court of Appeals vacated the trial court's opinion and order denying the motions to dismiss the case for lack of standing. The decision of the Court of Appeals was appealed by plaintiffs to the Supreme Court of Kentucky. On July 9, 2020, the Supreme Court of Kentucky reversed the trial court's order and remanded the case to the trial court with direction to dismiss the complaint for lack of constitutional standing. On July 20, 2020, the Office of the Attorney General, on behalf of the Commonwealth of Kentucky, filed a motion to intervene as a plaintiff in the lawsuit and on July 21, 2020 filed a new lawsuit in the same Kentucky trial court making essentially the same allegations against the defendants, including KKR & Co. Inc. and Messrs. Kravis and Roberts. On July 29, 2020, certain private plaintiffs in the original lawsuit filed a motion to further amend their original complaint and to add new plaintiffs. On July 30, 2020, KKR and other defendants filed objections to the Attorney General’s motion to intervene. On December 28, 2020, the trial court dismissed the complaint filed by the original plaintiffs and denied their motion to amend their original complaint and add new plaintiffs, but granted the Office of the Attorney General’s motion to intervene. In January 2021, some of the attorneys for the private plaintiffs in the original lawsuit filed a new lawsuit, and a motion to intervene in the original lawsuit, on behalf of a new set of plaintiffs, who claim to be "Tier 3" members of Kentucky Retirement Systems, alleging substantially the same allegations as in the original lawsuit. The motion to intervene in the original lawsuit was denied. These "Tier 3" plaintiffs appealed the denial of their motion to intervene but then voluntarily dismissed their appeal on January 31, 2022. In addition, the Kentucky Retirement Systems had commissioned an investigation into certain matters alleged in the Attorney General's complaint. The trial court ordered that this investigation be completed by May 17, 2021, and the Attorney General was permitted to amend its complaint after reviewing the investigation's report within ten days of the Attorney General's receipt of it. On May 24, 2021, the Attorney General filed a First Amended Complaint on behalf of the Commonwealth of Kentucky. This complaint continues to name KKR & Co. L.P. and its then Co-Chief Executive Officers, as defendants, and makes similar allegations against them. KKR and the other defendants moved to dismiss the First Amended Complaint on July 30, 2021. The court held oral argument on these motions to dismiss on December 14, 2021. On July 9, 2021, the individual plaintiffs served an amended complaint, which purports to assert, on behalf of a class of beneficiaries of Kentucky Retirement Systems, direct claims for breach of fiduciary duty and civil violations under the Racketeer Influenced and Corrupt Organizations Act ("RICO"). This complaint was removed to the U.S. District Court for the Eastern District of Kentucky, which has entered an order staying this case until the completion of the Attorney General’s lawsuit on behalf of the Commonwealth. On August 20, 2021, the same and other individual plaintiffs filed a second complaint in Kentucky state court, purportedly on behalf of Kentucky Retirement Systems' funds, alleging the same claims against KKR & Co. Inc. and Messrs. Kravis and Roberts as in the July 9 th amended complaint but without the RICO or class action allegations. KKR and the other defendants have moved to dismiss the August 20th complaint. On March 24, 2022, in a separate declaratory judgment action brought by the Commonwealth of Kentucky regarding the enforceability of certain indemnification provisions available to KKR & Co. Inc. and Prisma Capital Partners LP, the Kentucky state court found that it has personal jurisdiction over KKR & Co. Inc., and this finding is currently being appealed by KKR. KKR (including Global Atlantic) currently is and expects to continue to become, from time to time, subject to examinations, inquiries and investigations by various U.S. and non-U.S. governmental and regulatory agencies, including but not limited to the SEC, Department of Justice, U.S. state attorney generals, Financial Industry Regulatory Authority ("FINRA"), the U.K. Financial Conduct Authority, Central Bank of Ireland, Monetary Authority of Singapore, U.S. state insurance regulatory authorities, and the Bermuda Monetary Authority. Such examinations, inquiries and investigations may result in the commencement of civil, criminal or administrative proceedings or fines against KKR or its personnel. Moreover, in the ordinary course of business, KKR (including Global Atlantic) is and can be both the defendant and the plaintiff in numerous lawsuits with respect to acquisitions, bankruptcy, insolvency and other events. Such lawsuits may involve claims that adversely affect the value of certain investments owned by KKR's funds and Global Atlantic's insurance companies. KKR establishes an accrued liability for legal proceedings only when those matters present loss contingencies that are both probable and reasonably estimable. In such cases, there may be an exposure to loss in excess of any amounts accrued. No loss contingency is recorded for matters where such losses are either not probable or reasonably estimable (or both) at the time of determination. Such matters may be subject to many uncertainties, including among others: (i) the proceedings may be in early stages; (ii) damages sought may be unspecified, unsupportable, unexplained or uncertain; (iii) discovery may not have been started or is incomplete; (iv) there may be uncertainty as to the outcome of pending appeals or motions; (v) there may be significant factual issues to be resolved or (vi) there may be novel legal issues or unsettled legal theories to be presented or a large number of parties. Consequently, management is unable to estimate a range of potential loss, if any, related to these matters. In addition, loss contingencies may be, in part or in whole, subject to insurance or other payments such as contributions and/or indemnity, which may reduce any ultimate loss. KKR has included in its financial statements the reserve for regulatory, litigation and related matters that Global Atlantic includes in its financial statements, including with respect to matters arising from the conversion of life insurance policies from systems previously managed by Athene Holdings Limited to the platform of one of Global Atlantic's third party service providers, Alliance-One, a subsidiary of DXC Technology Company. It is not possible to predict the ultimate outcome of all pending legal proceedings, and some of the matters discussed above seek or may seek potentially large and/or indeterminate amounts. Based on information known by management, management has not concluded that the final resolutions of the matters above will have a material effect upon the financial statements. However, given the potentially large and/or indeterminate amounts sought or may be sought in certain of these matters and the inherent unpredictability of investigations and litigations, it is possible that an adverse outcome in certain matters could, from time to time, have a material effect on KKR's financial results in any particular period. Other Financing Arrangements Global Atlantic has financing arrangements with unaffiliated third parties to support the reserves of its affiliated captive reinsurers. Total fees expensed associated with these financing arrangements were $4.5 million and $4.0 million for the three months ended March 31, 2022 and 2021, respectively, and are included in insurance expenses in the consolidated statements of operations. As of both March 31, 2022 and December 31, 2021, the total capacity of the financing arrangements with third parties was $2.0 billion. Other than the matters disclosed above, there were no outstanding or unpaid balances from the financing arrangements with unaffiliated third parties as of both March 31, 2022 and December 31, 2021. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 3 Months Ended |
Mar. 31, 2022 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | SUBSEQUENT EVENTS Common Stock Dividend A dividend of $0.155 per share of common stock of KKR & Co. Inc. has been declared and was announced on May 3, 2022. This dividend will be paid on May 31, 2022 to common stockholders of record as of the close of business on May 16, 2022. KKR Holdings will receive its pro rata share of the distribution from KKR Group Partnership. Preferred Stock Dividends A dividend of $0.75 per share of Series C Mandatory Convertible Preferred Stock has been declared and was announced on May 3, 2022 and set aside for payment. This dividend will be paid on June 15, 2022 to holders of record of Series C Mandatory Convertible Preferred Stock as of the close of business on June 1, 2022. Yen Senior Notes On April 26, 2022, KKR Group Finance Co. XI LLC, an indirect subsidiary of KKR & Co. Inc., completed the offering of (i) ¥36.4 billion aggregate principal amount of its 1.054% Senior Notes due 2027 (the “2027 Yen Notes”), (ii) ¥4.9 billion aggregate principal amount of its 1.244% Senior Notes due 2029 (the “2029 Yen Notes”), (iii) ¥6.2 billion aggregate principal amount of its 1.437% Senior Notes due 2032 (the “2032 Yen Notes”), (iv) ¥7.5 billion aggregate principal amount of its 1.553% Senior Notes due 2034 (the “2034 Yen Notes”), and (v) ¥5.5 billion aggregate principal amount of its 1.795% Senior Notes due 2037 (the “2037 Yen Notes” and, together with the 2027 Yen Notes, the 2029 Yen Notes, the 2032 Yen Notes and the 2034 Yen Notes, the “Yen Notes”). The Yen Notes are guaranteed by KKR & Co. Inc. and KKR Group Partnership. The Yen Notes were issued pursuant to an indenture, dated April 26, 2022, as supplemented by a first supplemental indenture, dated April 26, 2022. |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 3 Months Ended |
Mar. 31, 2022 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited financial statements of KKR & Co. Inc. have been prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") for interim financial information and the instructions to this Quarterly Report on Form 10-Q. The condensed consolidated financial statements (referred to hereafter as the "financial statements"), including these notes, are unaudited and exclude some of the disclosures required in annual financial statements. Management believes it has made all necessary adjustments (consisting of only normal recurring items) such that the financial statements are presented fairly and that estimates made in preparing the financial statements are reasonable and prudent. The operating results presented for interim periods are not necessarily indicative of the results that may be expected for any other interim period or for the entire year. The consolidated balance sheet data as of December 31, 2021 were derived from audited financial statements included in KKR & Co. Inc.'s Annual Report on Form 10-K for the year ended December 31, 2021, and the financial statements should be read in conjunction with the audited financial statements included therein. Additionally, in the accompanying financial statements, the condensed consolidated statements of financial condition are referred to hereafter as the "consolidated statements of financial condition"; the condensed consolidated statements of operations are referred to hereafter as the "consolidated statements of operations"; the condensed consolidated statements of comprehensive income (loss) are referred to hereafter as the "consolidated statements of comprehensive income (loss)"; the condensed consolidated statements of changes in equity and redeemable non-controlling interests are referred to hereafter as the "consolidated statements of changes in equity"; and the condensed consolidated statements of cash flows are referred to hereafter as the "consolidated statements of cash flows." KKR consolidates the financial results of KKR Group Partnership and its consolidated entities, which include the accounts of KKR's investment management and capital markets companies, the general partners of certain unconsolidated investment funds, general partners of consolidated investment funds and their respective consolidated investment funds, Global Atlantic’s insurance companies and certain other entities including CFEs. The presentations in the consolidated statement of financial condition and consolidated statement of operations reflect the significant industry diversification of KKR by its acquisition of Global Atlantic. Global Atlantic operates an insurance business, and KKR operates an asset management business, each of which possess distinct characteristics. As a result, KKR developed a two-tiered approach for the financial statements presentation, where Global Atlantic's insurance operations are presented separately from KKR's asset management business. KKR believes that these separate presentations provide a more informative view of the consolidated financial position and results of operations than traditional aggregated presentations and that reporting Global Atlantic’s insurance operations separately is appropriate given, among other factors, the relative significance of Global Atlantic’s policy liabilities, which are not obligations of KKR (other than the insurance companies that issued them). If a traditional aggregate presentation were to be used, KKR would expect to eliminate or combine several identical or similar captions, which would condense the presentations, but would also reduce the level of information presented. KKR also believes that using a traditional aggregate presentation would result in no new line items compared to the two-tier presentation included in the financial statements in this report . In the ordinary course of business, KKR’s Asset Management business and Global Atlantic enter into transactions with each other, which may include transactions pursuant to their investment management agreements and financing arrangements. The borrowings from these financing arrangements are non-recourse to KKR beyond the assets pledged to support such borrowings. All the investment management and financing arrangements between KKR's Asset Management business and Global Atlantic are eliminated in consolidation; however, KKR's allocated share of the net income from the consolidation of Global Atlantic is increased by the amount of fees earned from and decreased by the amount of interest expense incurred from noncontrolling interest holders in Global Atlantic. Accordingly, the elimination of these fees and interest impacts the net income (loss) attributable to KKR and KKR stockholders' equity for the pro-rata ownership of the noncontrolling interests in Global Atlantic. All intercompany transactions and balances have been eliminated. |
Use of Estimates | Use of EstimatesThe preparation of the financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues, expenses, and investment income (loss) during the reporting periods. Such estimates include but are not limited to (i) the valuation of investments and financial instruments, (ii) the determination of the income tax provision, (iii) the impairment of goodwill and intangible assets, (iv) the impairment of available-for-sale investments, (v) the valuation of insurance policy liabilities, (vi) the valuation of embedded derivatives, (vii) the determination of the allowance for loan losses, and (viii) amortization of deferred revenues and expenses associated with the insurance business. Certain events particular to each industry and country in which the portfolio companies conduct their operations, as well as general economic, political, regulatory and public health conditions, may have a significant negative impact on KKR’s investments and profitability. Such events are beyond KKR’s control, and the likelihood that they may occur and the effect on KKR's use of estimates cannot be predicted. Actual results could differ from those estimates, and such differences could be material to the financial statements. |
Adoption of New Accounting Pronouncements and Future Application of Accounting Standards | Adoption of new accounting pronouncements The Coronavirus Aid, Relief, and Economic Security Act ("CARES Act") and related regulatory actions On March 27, 2020, the CARES Act was enacted in response to the COVID-19 pandemic. The CARES Act, among other things, permits net operating loss ("NOL") carryovers and carrybacks to offset 100% of taxable income for taxable years beginning before 2021. In addition, the CARES Act allows NOLs incurred in 2018, 2019 and 2020 to be carried back to each of the five preceding taxable years to generate a refund of previously paid income taxes. The provisions of the CARES Act, as amended by the Consolidated Appropriations Act, also permit financial institutions to suspend requirements under U.S. GAAP for loan modifications that otherwise would be categorized as troubled debt restructurings ("TDRs") if (1) the borrower was not more than 30 days past due as of December 31, 2019, and (2) the modifications are related to arrangements that defer or delay the payment of principal or interest, or change the interest rate on the loan, provided the modifications are made between March 1, 2020 and the earlier of 60 days after the end of the national emergency related to the COVID-19 pandemic or January 1, 2022. Global Atlantic has applied this guidance before the permitted suspension period expired on January 1, 2022 to loan forbearance requests that meet the requirements. The application of this guidance did not have a material impact on the financial statements. See Note 8 "Investments" for additional information on loan modifications. Simplifying the accounting for income taxes On December 18, 2019, the Financial Accounting Standards Board (the "FASB") issued ASU No. 2019-12, which modifies ASC 740 to simplify the accounting for income taxes. This guidance eliminates the exceptions to the incremental approach, to accounting for basis differences when there are changes in ownership of foreign investments, and to interim period tax accounting for year-to-date losses that exceed anticipated losses. The guidance also simplifies the application of tax guidance related to franchise taxes, transactions with government entities, separate financial statements of legal entities that are not subject to tax, and enacted changes in tax laws in interim periods. The guidance is effective for public business entities that meet the definition of an SEC filer for fiscal years beginning after December 15, 2020, including interim period within those fiscal years. KKR adopted the standard effective January 1, 2021. The adoption of this new guidance did not have a material impact on the financial statements. Reference rate reform In March 2020, the FASB issued new guidance to ease the accounting implications of the transition away from the London Interbank Offering Rate ("LIBOR") and other reference rates which are scheduled to be discontinued, including LIBOR tenors after June 30, 2023. The new guidance offers a variety of optional expedients and exceptions related to accounting for contract modifications and hedging relationships. These expedients and exceptions apply only to contracts, hedging relationships and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. The new guidance is effective for contract modifications made and hedging relationships existing or entered into from January 1, 2020 through December 31, 2022. In the first quarter 2022, KKR elected to adopt the new guidance and, for the modifications that have occurred to date, the adoption of the guidance has not had a material impact on KKR’s consolidated financial statements. Future application of accounting standards Targeted improvements to the accounting for long-duration contracts In August 2018, the FASB issued new guidance for insurance and reinsurance companies that issue long-duration contracts such as life insurance and annuities. The objective of this guidance is to improve, simplify and enhance the financial reporting of long-duration contracts by providing financial statement users with useful information in a timely and transparent manner. The primary changes include: (1) more timely recognition of assumption changes in the liability for future policy benefits and use of a current rate for the discounting of future cash flows – The assumptions used to calculate the liability for future policy benefits on traditional and limited-payment contracts are required to be reviewed and updated periodically (versus set at inception and not changed under the current guidance). Cash flow assumptions are required to be reviewed at least annually with the impact recognized in net income. The standard also prescribes that the discount rate assumption should be based on a current upper-medium grade (i.e., low credit risk) fixed income instrument yield (e.g., a single A credit-rating) with the impact recognized in other comprehensive income ("OCI"). (2) standardization and improvement in the accounting for certain market-based options or guarantees associated with deposit (or account balance) contracts – The new guidance creates a new category of benefits referred to as market risk benefits, which are contracts or contract features that provide both protection to the policyholder from capital market risk and expose the insurer to other-than-nominal capital market risk. Market risk benefits are required to be measured at fair value with the change in fair value recognized in net income, except for changes in the entity’s non-performance risk, which is recognized in OCI. (3) simplification of the amortization of deferred acquisition costs - Deferred policy acquisition costs ("DAC") and other similar actuarial balances (e.g., deferred sales inducements) for life and annuity contracts are required to be amortized on a constant basis over the term of the related contracts. (4) enhanced disclosures – Additional disclosures are required including disaggregated roll-forwards of significant insurance liabilities as well as disclosures about significant inputs, judgments, assumptions and methods used in measurement. The guidance is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. Early adoption is permitted. For changes related to the liability for future policy benefits and deferred acquisition costs, the new guidance requires adoption using a modified retrospective approach upon transition with an option to elect a retrospective approach. For changes related to market risk benefits, the new guidance requires a retrospective approach. KKR intends to implement this standard using the retrospective approach for the liability for future policy benefits, deferred acquisition costs and market risk benefits with an adoption date of January 1, 2023. KKR has completed the design and planning phase of its implementation effort and has begun detailed implementation activities. KKR has established a governance framework to manage the implementation activities and support timely application of the guidance. KKR has made progress in the following areas: • High level impact assessment; • Identification of key accounting policy decisions; • Evaluation and selection of actuarial system solutions; • Development of detailed business requirements document inclusive of roll-forward disclosures; and • Preliminary modeling of market risk benefits. KKR continues to evaluate the impact of this guidance but anticipates that the new standard will have a material impact on the consolidated financial statements. The new guidance is expected to increase financial statement volatility primarily due to the requirement to measure market risk benefits at fair value, which is recorded in net income, except for changes in value attributable to changes in an entity’s non-performance risk, which is recognized in OCI. In addition, the new guidance is expected to have a significant impact on KKR’s systems, processes and controls. Troubled debt restructurings and vintage disclosures In March 2022, the FASB issued new guidance regarding the modification of receivables, which affects their recognition and measurement. The guidance eliminates the concept of troubled debt restructurings and instead requires all modifications to be analyzed to determine whether they result in a new receivable or a continuation of an existing receivable. The guidance also makes related updates to the measurement of expected credit losses for receivables. The new guidance requires additional disclosures for receivable modifications involving borrowers experiencing financial difficulty as well as disclosure of loan charge-offs by origination year (vintage). For entities that have already adopted ASC 326 (addressing credit losses on financial instruments), the guidance is effective for fiscal years beginning after December 15, 2022, including interim period within those fiscal years. Early adoption is permitted. KKR is currently evaluating the impact of this accounting standard update on its consolidated financial statements. |
Noncontrolling Interests | Noncontrolling Interests Noncontrolling interests represent (i) noncontrolling interests in consolidated entities and (ii) noncontrolling interests held by KKR Holdings. Noncontrolling Interests in Consolidated Entities and Other Noncontrolling interests in consolidated entities represent the non-redeemable ownership interests in KKR that are held primarily by: (i) third party fund investors in KKR's consolidated funds and certain other entities; (ii) third parties entitled to up to 1% of the carried interest received by certain general partners of KKR's funds that have made investments on or prior to December 31, 2015; (iii) certain former principals and their designees representing a portion of the carried interest received by the general partners of KKR's private equity funds that was allocated to them with respect to private equity investments made during such former principals' tenure with KKR prior to October 1, 2009; (iv) certain current and former principals representing all of the capital invested by or on behalf of the general partners of KKR's private equity funds prior to October 1, 2009 and any returns thereon; (v) third parties in KKR's Capital Markets business line; (vi) holders of other exchangeable securities, which consist of vested restricted holdings units granted under the 2019 Equity Plan that are exchangeable into shares of common stock of KKR & Co. Inc.; and (vii) third parties in KKR's insurance business including GA Rollover Investors, GA Co-Investors and third party investors in Global Atlantic's consolidated renewable energy entities and certain other entities. Noncontrolling Interests held by KKR Holdings Noncontrolling interests held by KKR Holdings consist of economic interests held by principals indirectly in KKR Group Partnership Units. Such principals receive financial benefits from KKR's business in the form of distributions received from KKR Holdings and through their direct and indirect participation in the value of KKR Group Partnership Units held by KKR Holdings. These financial benefits are not paid by KKR & Co. Inc. and are borne by KKR Holdings. |
REVENUES - ASSET MANAGEMENT (Ta
REVENUES - ASSET MANAGEMENT (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Asset Management Revenues | For the three months ended March 31, 2022 and 2021, respectively, Asset Management revenues consisted of the following: Three Months Ended March 31, 2022 2021 Management Fees $ 398,046 $ 276,181 Fee Credits (187,745) (35,398) Transaction Fees 466,966 165,893 Monitoring Fees 39,400 35,388 Incentive Fees 7,057 3,438 Expense Reimbursements 41,303 27,729 Consulting Fees 15,484 20,080 Total Fees and Other 780,511 493,311 Carried Interest (783,688) 2,140,426 General Partner Capital Interest (162,055) 544,221 Total Capital Allocation-Based Income (Loss) (945,743) 2,684,647 Total Revenues - Asset Management $ (165,232) $ 3,177,958 |
ACQUISITIONS (Tables)
ACQUISITIONS (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Business Combination and Asset Acquisition [Abstract] | |
Schedule of Purchase Price | The purchase price is as follows (in thousands): Cash consideration paid by KKR $ 2,914,455 GA Co-Investors and GA Rollover Investors 1,824,239 Total Purchase Price $ 4,738,694 |
Amounts Recognized for Assets Acquired and Liabilities Assumed and Resulting Goodwill | The following table summarizes the fair value amounts recognized for the assets acquired and liabilities assumed and resulting goodwill as of the GA Acquisition Date: February 1, 2021 ($ in thousands) Consideration Transferred Cash Consideration paid by KKR $ 2,914,455 GA Co-Investors 978,296 GA Rollover Investors 845,943 Settlement of pre-existing relationships (1) (60,200) Total Consideration Transferred (2) $ 4,678,494 Recognized Amounts of Identifiable Assets Acquired and Liabilities Assumed: Cash, Cash Equivalents and Restricted Cash $ 3,358,772 Investments 99,544,755 Reinsurance Recoverable 15,753,030 Insurance Intangible Assets 1,024,520 Other Assets (3) 3,325,652 Separate Account Assets 5,371,060 Policy Liabilities (100,374,765) Debt Obligations (1,450,920) Funds Withheld Payable at Interest (13,800,969) Accrued Expenses and Other Liabilities (2,735,811) Reinsurance Liabilities (180,573) Separate Account Liabilities (5,371,060) Total Identifiable Net Assets 4,463,691 Redeemable non-controlling interests (4) (91,845) Other Noncontrolling interests (4) (190,405) Goodwill $ 497,053 (1) Represents KKR debt obligations held by Global Atlantic at the GA Acquisition Date. (2) At the GA Acquisition Date, the transaction was funded with a combination of (i) cash on hand by KKR, (ii) cash proceeds from syndication of the equity interests in Global Atlantic to minority co-investors and equity rolled over from certain former Global Atlantic shareholders. The equity held by GA co-investors and rollover investors are presented as noncontrolling interests in the financial statements. Acquisition of Global Atlantic, Net of Cash Acquired in the consolidated statements of cash flows represents the Total Consideration Transferred (excluding GA Rollover Investors) net of acquired Cash and Cash Equivalents and Restricted Cash and Cash Equivalents. (3) Includes $1.0 billion of deferred tax assets recognized from the step-up in basis under purchase accounting. (4) Represents the fair value of Noncontrolling Interests in consolidated renewable energy entities held by Global Atlantic on the GA Acquisition Date. Such interests do not represent ownership interests held by GA Rollover Investors or GA Co-Investors in Global Atlantic's equity. |
Acquired Finite-Lived and Indefinite-Lived Intangible Assets | The fair value and weighted average estimated useful lives of Value of Business Acquired and Other Identifiable Intangible Assets acquired in the GA Acquisition consist of the following (dollars in thousands): Fair Value Average Useful Life ($ in thousands) (in years) VOBA (included within Insurance Intangible Assets) $ 1,024,520 28.6 Negative VOBA (included within Policy Liabilities) (1,273,414) 22.2 Total VOBA $ (248,894) Value of Distribution Agreements Acquired $ 250,000 16 to 21 Trade Names 50,000 15 to 18 State Insurance Licenses 10,000 Indefinite Total Identifiable Other Intangible Assets (included within Other Assets) $ 310,000 |
Pro-Forma Financial Information | Unaudited pro-forma financial information for the three months ended March 31, 2021 is presented below. Pro-forma financial information presented does not include adjustments to reflect any potential revenue synergies or cost savings that may be achievable in connection with the GA Acquisition and assume the GA Acquisition occurred as of January 1, 2020. The unaudited pro forma financial information is presented for informational purposes only, and is not necessarily indicative of future operations or results had the GA Acquisition been completed as of January 1, 2020. Three months ended March 31, 2021 Total Revenues $ 5,077,184 Net Income Attributable to KKR & Co. Inc. Common Stockholders $ 1,738,106 |
NET GAINS (LOSSES) FROM INVES_2
NET GAINS (LOSSES) FROM INVESTMENT ACTIVITIES - ASSET MANAGEMENT (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of total net gains (losses) from investment activities | The following table summarizes total Net Gains (Losses) from Investment Activities for the three months ended March 31, 2022 and 2021, respectively: Three Months Ended March 31, 2022 Net Realized Gains (Losses) Net Unrealized Gains (Losses) Total Private Equity (1) $ 198,380 $ (265,326) $ (66,946) Credit (1) (11,455) (188,974) (200,429) Investments of Consolidated CFEs (1) 2,949 (269,548) (266,599) Real Assets (1) (2,761) 1,297,270 1,294,509 Equity Method - Other (1) 14,284 (72,642) (58,358) Other Investments (1) 1,743 (15,015) (13,272) Foreign Exchange Forward Contracts and Options (2) 90,890 (147,007) (56,117) Securities Sold Short (2) 36,082 10,181 46,263 Other Derivatives (2) (12,005) 20,137 8,132 Debt Obligations and Other (3) (38,478) 265,556 227,078 Net Gains (Losses) From Investment Activities $ 279,629 $ 634,632 $ 914,261 Three Months Ended March 31, 2021 Net Realized Gains (Losses) Net Unrealized Gains (Losses) Total Private Equity (1) $ 756,347 $ 794,318 $ 1,550,665 Credit (1) 33,916 (4,509) 29,407 Investments of Consolidated CFEs (1) (2,628) 128,143 125,515 Real Assets (1) 39,749 234,398 274,147 Equity Method - Other (1) 5,187 396,514 401,701 Other Investments (1) (226,899) 433,080 206,181 Foreign Exchange Forward Contracts and Options (2) (5,643) 15,192 9,549 Securities Sold Short (2) 50,623 50,996 101,619 Other Derivatives (2) (30,521) 29,334 (1,187) Debt Obligations and Other (3) (35,750) 34,353 (1,397) Net Gains (Losses) From Investment Activities $ 584,381 $ 2,111,819 $ 2,696,200 (1) See Note 8 "Investments." (2) See Note 9 "Derivatives" and Note 15 "Other Assets and Accrued Expenses and Other Liabilities." |
NET INVESTMENT INCOME - INSUR_2
NET INVESTMENT INCOME - INSURANCE (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Investments, All Other Investments [Abstract] | |
Investment Income | The components of net investment income were as follows: Three Months Ended March 31, 2022 2021 Fixed maturity securities – interest and other income $ 691,293 $ 351,540 Mortgage and other loan receivables 324,141 122,466 Investments in transportation and other leased assets 67,679 36,743 Investments in renewable energy 25,218 796 Short-term and other investment income 20,697 5,113 Income assumed from funds withheld receivable at interest 19,605 13,473 Policy loans 7,911 1,847 Investments in real estate 3,903 1,084 Equity securities – dividends and other income — (484) Income ceded to funds withheld payable at interest (179,702) (29,839) Gross investment income 980,745 502,739 Less investment expenses: Investment management and administration 113,131 33,946 Transportation and renewable energy asset depreciation and maintenance 53,953 23,509 Interest expense on derivative collateral and repurchase agreements 1,056 503 Net investment income $ 812,605 $ 444,781 |
NET INVESTMENT-RELATED GAINS _2
NET INVESTMENT-RELATED GAINS (LOSSES) - INSURANCE (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Insurance [Abstract] | |
Net Investment Gains | Net investment-related gains (losses) were as follows: Three Months Ended March 31, 2022 2021 Realized gains (losses) on equity investments $ — $ 2,243 Realized gains (losses) on available-for-sale fixed maturity debt securities (243,350) (45,640) Credit loss allowances on available-for-sale securities (10,602) (21,351) Credit loss allowances on mortgage and other loan receivables (26,085) (183,641) Allowances on unfunded commitments 6,790 (14,609) Unrealized gains (losses) on fixed maturity securities classified as trading (1,038,446) (317,052) Unrealized gains (losses) on investments recognized under the fair-value option (2,493) (12,166) Unrealized gains (losses) on real estate investments recognized at fair value under investment company accounting 77,692 — Net gains (losses) on derivative instruments 859,734 148,532 Realized gains (losses) on funds withheld at interest, payable portfolio (26,387) (7,378) Realized gains (losses) on funds withheld at interest, receivable portfolio 25,600 354 Other realized gains (losses) 8,867 (4,994) Net investment-related gains (losses) $ (368,680) $ (455,702) |
Roll-forward of the Allowance for Credit Losses for Fixed Maturity Securities | The table below presents a roll-forward of the allowance for credit losses recognized for fixed maturity securities held by Global Atlantic: Three Months Ended March 31, 2022 Corporate Structured Total Balance, as of beginning of period $ 3,238 $ 84,895 $ 88,133 Initial impairments for credit losses recognized on securities not previously impaired 122 15,758 15,880 Initial credit loss allowance recognized on purchased credit deteriorated ("PCD") securities — 140 140 Accretion of initial credit loss allowance on PCD securities — 477 477 Reductions due to sales (or maturities, pay downs or prepayments) during the period of securities previously identified as credit impaired — (2,444) (2,444) Net additions / reductions for securities previously impaired 1,640 (6,918) (5,278) Balance, as of end of period $ 5,000 $ 91,908 $ 96,908 Three Months Ended March 31, 2021 Corporate Structured Total Balance, as of beginning of period (1) $ — $ 120,895 $ 120,895 Initial impairments for credit losses recognized on securities not previously impaired — 27,423 27,423 Initial credit loss allowance recognized on PCD securities — 222 222 Accretion of initial credit loss allowance on PCD securities — 321 321 Reductions due to sales (or maturities, pay downs or prepayments) during the period of securities previously identified as credit impaired — (2,537) (2,537) Net additions / reductions for securities previously impaired — (6,072) (6,072) Balance, as of end of period $ — $ 140,252 $ 140,252 (1) Includes securities designated as purchased credit impaired as of the time of the acquisition of Global Atlantic. |
Changes in the Allowance for Loan Losses for Mortgages and Other Receivables | Changes in the allowance for credit losses on mortgage and other loan receivables held by Global Atlantic are summarized below: Three Months Ended March 31, 2022 Commercial Mortgage Loans Residential Mortgage Loans Consumer and Other Loan Receivables Total Balance, as of beginning of period $ 65,970 $ 72,082 $ 236,025 $ 374,077 Net provision (release) 15,566 15,501 (4,982) 26,085 Balance, as of end of period $ 81,536 $ 87,583 $ 231,043 $ 400,162 Three Months Ended March 31, 2021 Commercial Mortgage Loans Residential Mortgage Loans Consumer and Other Loan Receivables Total Balance, as of beginning of period (1) $ 58,203 $ 62,056 $ — $ 120,259 Net provision 21,853 16,683 145,105 183,641 Balance, as of end of period $ 80,056 $ 78,739 $ 145,105 $ 303,900 (1) Includes loans designated as purchased credit deteriorated as of the time of the acquisition of Global Atlantic. |
Proceeds from Voluntary Sales and Gross Gains and Losses for AFS Fixed Maturity Securities | The proceeds from voluntary sales and the gross gains and losses on those sales of available-for-sale ("AFS") fixed maturity securities were as follows: Three Months Ended March 31, 2022 2021 AFS fixed maturity securities: Proceeds from voluntary sales $ 6,128,285 $ 1,903,120 Gross gains 8,942 4,776 Gross losses (245,871) (50,972) |
INVESTMENTS (Tables)
INVESTMENTS (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Investments [Abstract] | |
Summary of Investments | Investments consist of the following: March 31, 2022 December 31, 2021 Asset Management Private Equity $ 26,180,914 $ 25,685,750 Credit 6,821,730 7,949,573 Investments of Consolidated CFEs 22,014,866 22,076,809 Real Assets 14,788,831 12,500,749 Equity Method - Other 4,667,571 4,877,592 Equity Method - Capital Allocation-Based Income 10,254,226 11,539,945 Other Investments 4,042,342 4,145,096 Investments - Asset Management $ 88,770,480 $ 88,775,514 Insurance Fixed maturity securities, available-for-sale, at fair value (1) $ 64,243,697 $ 68,870,886 Mortgage and other loan receivables 31,576,685 28,876,759 Fixed maturity securities, trading, at fair value (2) 13,061,360 13,753,573 Other investments 10,150,075 8,208,566 Funds withheld receivable at interest 2,966,803 2,999,448 Policy loans 762,460 765,310 Equity securities at fair value 38,791 289,133 Investments - Insurance $ 122,799,871 $ 123,763,675 Total Investments $ 211,570,351 $ 212,539,189 ( 1) Amortized cost of $69.1 billion and $69.5 billion, net of credit loss allowances of $96.9 million and $88.1 million. (2) Amortized cost of $14.2 billion and $13.9 billion. Other investments consist of the following: March 31, 2022 December 31, 2021 Investments in real estate (1) $ 3,564,803 $ 1,564,853 Investments in renewable energy (2) 3,510,579 3,573,811 Investments in transportation and other leased assets (3) 2,638,884 2,663,759 Other investment partnerships 250,796 234,301 FHLB common stock and other investments 185,013 171,842 Total other investments $ 10,150,075 $ 8,208,566 (1) Investments in real estate are held in consolidated investment companies that use fair value accounting. (2) Net of accumulated depreciation attributed to consolidated renewable energy assets of $177.9 million and $156.8 million as of March 31, 2022 and December 31, 2021, respectively. |
Schedule of AFS Fixed Maturity Securities | The cost or amortized cost and fair value for AFS fixed maturity securities were as follows: Cost or amortized cost Allowance for Credit Losses (2)(3) Gross unrealized Fair value As of March 31, 2022 gains losses AFS fixed maturity securities portfolio by type: U.S. government and agencies $ 528,130 $ — $ 475 $ (37,431) $ 491,174 U.S. state, municipal and political subdivisions 5,330,590 — 2,677 (546,271) 4,786,996 Corporate 40,541,267 (5,000) 43,940 (3,634,576) 36,945,631 Residential mortgage-backed securities ("RMBS") 7,377,229 (50,060) 71,724 (235,551) 7,163,342 Commercial mortgage-backed securities ("CMBS") 6,622,204 (6,442) 3,679 (289,380) 6,330,061 Collateralized bond obligations ("CBOs") 3,089,089 (20,800) 2,807 (87,089) 2,984,007 Collateralized loan obligations ("CLOs") 2,685,279 (3,665) 1,009 (39,669) 2,642,954 All other structured securities (1) 2,968,505 (10,941) 19,967 (77,999) 2,899,532 Total AFS fixed maturity securities $ 69,142,293 $ (96,908) $ 146,278 $ (4,947,966) $ 64,243,697 (1) Includes primarily asset-backed securities ("ABS"). (2) Represents the cumulative amount of credit impairments that have been recognized in the consolidated statement of operations (as net investment (losses) gains) or that were recognized as a gross-up of the purchase price of PCD securities. Amount excludes unrealized losses related to non-credit impairment. (3) Includes credit loss allowances on purchase-credit deteriorated fixed-maturity securities of $(38.5) million. Cost or amortized cost Allowance for Credit Losses (2)(3) Gross unrealized Fair value As of December 31, 2021 gains losses AFS fixed maturity securities portfolio by type: U.S. government and agencies $ 785,144 $ — $ 4,171 $ (4,768) $ 784,547 U.S. state, municipal and political subdivisions 5,122,651 — 42,286 (55,240) 5,109,697 Corporate 41,433,757 (3,238) 190,516 (688,648) 40,932,387 RMBS 7,703,030 (50,975) 126,662 (113,359) 7,665,358 CMBS 5,952,656 (282) 16,332 (56,523) 5,912,183 CBOs 3,111,620 (22,160) 6,862 (27,466) 3,068,856 CLOs 2,985,098 (639) 6,554 (5,776) 2,985,237 All other structured securities (1) 2,425,540 (10,839) 19,990 (22,070) 2,412,621 Total AFS fixed maturity securities $ 69,519,496 $ (88,133) $ 413,373 $ (973,850) $ 68,870,886 (1) Includes primarily asset-backed securities ("ABS"). (2) Represents the cumulative amount of credit impairments that have been recognized in the consolidated statement of operations (as net investment (losses) gains) or that were recognized as a gross-up of the purchase price of PCD securities. Amount excludes unrealized losses related to non-credit impairment. (3) Includes credit loss allowances on purchase-credit deteriorated fixed-maturity securities of $(46.4) million. Actual maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties, or Global Atlantic may have the right to put or sell the obligations back to the issuers. The maturity distribution for AFS fixed maturity securities is as follows: As of March 31, 2022 Cost or Fair value Due in one year or less $ 850,975 $ 844,911 Due after one year through five years 8,531,656 8,218,579 Due after five years through ten years 9,999,591 9,505,003 Due after ten years 27,012,765 23,655,308 Subtotal 46,394,987 42,223,801 RMBS 7,327,169 7,163,342 CMBS 6,615,762 6,330,061 CBOs 3,068,289 2,984,007 CLOs 2,681,614 2,642,954 All other structured securities 2,957,564 2,899,532 Total AFS fixed maturity securities $ 69,045,385 $ 64,243,697 As of December 31, 2021 Cost or Fair value Due in one year or less $ 871,340 $ 869,287 Due after one year through five years 9,256,449 9,171,707 Due after five years through ten years 11,460,032 11,350,091 Due after ten years 25,750,493 25,435,546 Subtotal 47,338,314 46,826,631 RMBS 7,652,055 7,665,358 CMBS 5,952,374 5,912,183 CBOs 3,089,460 3,068,856 CLOs 2,984,459 2,985,237 All other structured securities 2,414,701 2,412,621 Total AFS fixed maturity securities $ 69,431,363 $ 68,870,886 The following tables provide information about AFS fixed maturity securities that have been continuously in an unrealized loss position: Less than 12 months 12 months or more Total As of March 31, 2022 Fair Unrealized losses Fair Unrealized losses Fair Unrealized losses AFS fixed maturity securities portfolio by type: U.S. government and agencies $ 296,069 $ (29,763) $ 92,301 $ (7,668) $ 388,370 $ (37,431) U.S. state, municipal and political subdivisions 4,312,737 (512,738) 252,147 (33,533) 4,564,884 (546,271) Corporate 27,551,887 (3,022,312) 4,842,176 (612,264) 32,394,063 (3,634,576) RMBS 3,997,811 (160,389) 845,265 (75,162) 4,843,076 (235,551) CBOs 2,209,873 (65,789) 507,754 (21,300) 2,717,627 (87,089) CMBS 5,668,051 (273,082) 202,155 (16,298) 5,870,206 (289,380) CLOs 2,259,867 (39,213) 26,875 (456) 2,286,742 (39,669) All other structured securities 1,801,889 (68,226) 187,510 (9,773) 1,989,399 (77,999) Total AFS fixed maturity securities in a continuous loss position $ 48,098,184 $ (4,171,512) $ 6,956,183 $ (776,454) $ 55,054,367 $ (4,947,966) Less than 12 months 12 months or more Total As of December 31, 2021 Fair Unrealized losses Fair Unrealized losses Fair Unrealized losses AFS fixed maturity securities portfolio by type: U.S. government and agencies $ 311,096 $ (4,768) $ — $ — $ 311,096 $ (4,768) U.S. state, municipal and political subdivisions 2,802,309 (55,240) — — 2,802,309 (55,240) Corporate 30,385,514 (688,648) — — 30,385,514 (688,648) RMBS 3,196,876 (113,359) — — 3,196,876 (113,359) CBOs 2,152,790 (27,466) — — 2,152,790 (27,466) CMBS 3,405,774 (56,523) — — 3,405,774 (56,523) CLOs 1,172,330 (5,776) — — 1,172,330 (5,776) All other structured securities 1,348,356 (22,070) — — 1,348,356 (22,070) Total AFS fixed maturity securities in a continuous loss position $ 44,775,045 $ (973,850) $ — $ — $ 44,775,045 $ (973,850) |
Purchased Credit Deteriorated Securities | These securities are identified as PCD, and a reconciliation of the difference between the purchase price and the par value of these PCD securities is below: Three Months Ended March 31, 2022 2021 Purchase price of PCD securities acquired during the current period $ 5,185 $ 1,591,176 Allowance for credit losses at acquisition 140 121,117 Discount (premium) attributable to other factors 1,207 277,480 Par value $ 6,532 $ 1,989,773 Certain residential mortgage loans purchased by Global Atlantic were assessed at acquisition as having experienced a more-than-insignificant deterioration in credit quality since their origination. These loans are identified as PCD, and a reconciliation of the difference between the purchase price and the par value of these PCD loans is below. There were no PCD loans purchased during the three months ended March 31, 2022: Three Months Ended March 31, March 31, 2021 Purchase price of PCD loans acquired during the current period $ 3,694,867 Allowance for credit losses at acquisition 120,259 Discount (premium) attributable to other factors (146,694) Par value $ 3,668,432 |
Mortgage and Other Loans Receivable | Mortgage and other loan receivables consist of the following: March 31, 2022 December 31, 2021 Commercial mortgage loans (1) $ 15,489,750 $ 13,824,772 Residential mortgage loans (1) 9,704,021 8,724,904 Consumer loans 6,137,735 5,617,925 Other loan receivables (2)(3) 645,341 1,083,235 Total mortgage and other loan receivables 31,976,847 29,250,836 Allowance for credit losses (4) (400,162) (374,077) Total mortgage and other loan receivables, net of allowance for loan losses $ 31,576,685 $ 28,876,759 (1) Includes $980.1 million and $805.4 million of loans carried at fair value using the fair value option as of March 31, 2022 and December 31, 2021, respectively. The fair value option was elected for these loans for asset-liability matching purposes. These loans had unpaid principal balances of $989.8 million and $794.1 million as of March 31, 2022 and December 31, 2021, respectively. (2) As of March 31, 2022 and December 31, 2021, other loan receivables consisted primarily of loans collateralized by aircraft of $410.8 million and $850.1 million, respectively. (3) Includes $28.2 million and $27.3 million of related party loans carried at fair value using the fair value option as of March 31, 2022 and December 31, 2021, respectively. These loans had unpaid principal balances of $28.2 million and $27.3 million as of March 31, 2022 and December 31, 2021, respectively. (4) Includes credit loss allowances on purchase-credit deteriorated mortgage and other loan receivables of $(85.1) million and $(77.9) million as of March 31, 2022 and December 31, 2021, respectively. |
Maturity Distribution by Contractual Maturity for Residential and Commercial Mortgage Loans | The maturity distribution for residential and commercial mortgage loans was as follows as of March 31, 2022: Years Residential Commercial Total mortgage loans Remainder of 2022 $ 299,047 $ 1,000,106 $ 1,299,153 2023 127,475 1,193,881 1,321,356 2024 832,243 1,710,830 2,543,073 2025 17,770 1,262,962 1,280,732 2026 699,076 3,086,745 3,785,821 2027 118,413 2,571,094 2,689,507 2028 and thereafter 7,609,997 4,664,132 12,274,129 Total $ 9,704,021 $ 15,489,750 $ 25,193,771 |
Mortgage Loan Portfolio by Geographic Region and Property Type | Global Atlantic diversifies its mortgage loan portfolio by both geographic region and property type to reduce concentration risk. The following tables present the mortgage loans by geographic region and property type: Mortgage loans - carrying value by geographic region March 31, 2022 December 31, 2021 Pacific $ 7,313,819 $ 6,675,064 West South Central 2,957,751 2,675,890 South Atlantic 6,057,624 4,996,043 Middle Atlantic 3,377,082 3,142,973 East North Central 1,143,793 590,911 Mountain 2,257,201 1,957,099 New England 1,114,162 1,099,157 East South Central 577,278 1,035,764 West North Central 335,757 350,546 Other regions 59,304 26,229 Total by geographic region $ 25,193,771 $ 22,549,676 Mortgage loans - carrying value by property type March 31, 2022 December 31, 2021 Residential $ 9,704,021 $ 8,724,904 Office building 4,570,721 4,185,146 Apartment 7,240,838 6,194,819 Industrial 2,002,947 1,981,713 Retail 723,329 780,071 Other property types 753,879 483,560 Warehouse 198,036 199,463 Total by property type $ 25,193,771 $ 22,549,676 |
Receivables by Credit Quality Indicator | The following table represents the portfolio of mortgage and loan receivables by origination year and performance status: As of March 31, 2022 Performance status 2022 2021 2020 2019 2018 Prior Total Commercial mortgage loans Current $ 1,868,657 $ 6,951,312 $ 948,847 $ 1,751,631 $ 1,305,089 $ 2,664,214 $ 15,489,750 30 to 59 days past due — — — — — — — 60 to 89 days past due — — — — — — — Over 90 days past due — — — — — — — Total commercial mortgage loans $ 1,868,657 $ 6,951,312 $ 948,847 $ 1,751,631 $ 1,305,089 $ 2,664,214 $ 15,489,750 Residential mortgage loans Current $ 219,133 $ 5,336,585 $ 1,686,516 $ 357,644 $ 22,359 $ 1,621,706 $ 9,243,943 30 to 59 days past due — 74,146 12,931 13,197 1,025 90,602 191,901 60 to 89 days past due — 20,935 2,507 1,294 544 29,774 55,054 Over 90 days past due — 11,221 16,696 15,554 2,737 166,915 213,123 Total residential mortgage loans $ 219,133 $ 5,442,887 $ 1,718,650 $ 387,689 $ 26,665 $ 1,908,997 $ 9,704,021 Total mortgage loans $ 2,087,790 $ 12,394,199 $ 2,667,497 $ 2,139,320 $ 1,331,754 $ 4,573,211 $ 25,193,771 As of December 31, 2021 Performance status 2021 2020 2019 2018 2017 Prior Total Commercial mortgage loans Current $ 6,831,655 $ 976,369 $ 1,883,908 $ 1,373,865 $ 817,954 $ 1,941,021 $ 13,824,772 30 to 59 days past due — — — — — — — 60 to 89 days past due — — — — — — — Over 90 days past due — — — — — — — Total commercial mortgage loans $ 6,831,655 $ 976,369 $ 1,883,908 $ 1,373,865 $ 817,954 $ 1,941,021 $ 13,824,772 Residential mortgage loans Current $ 4,505,537 $ 1,576,342 $ 393,153 $ 123,995 $ 65,070 $ 1,711,156 $ 8,375,253 30 to 59 days past due 24,955 6,028 5,818 1,155 739 75,104 113,799 60 to 89 days past due 4,247 1,243 607 — — 27,028 33,125 Over 90 days past due 5,305 14,272 21,985 2,686 — 158,479 202,727 Total residential mortgage loans $ 4,540,044 $ 1,597,885 $ 421,563 $ 127,836 $ 65,809 $ 1,971,767 $ 8,724,904 Total mortgage loans $ 11,371,699 $ 2,574,254 $ 2,305,471 $ 1,501,701 $ 883,763 $ 3,912,788 $ 22,549,676 The following table represents the portfolio of consumer loan receivables by performance status: Performance status March 31, 2022 December 31, 2021 Consumer loans Current $ 6,043,214 $ 5,556,923 30 to 59 days past due 54,012 34,048 60 to 89 days past due 23,937 16,817 Over 90 days past due 16,572 10,137 Total consumer loans $ 6,137,735 $ 5,617,925 |
Loan-To-Value Ratios | The following table summarizes the loan-to-value ratios for commercial mortgage loans as of March 31, 2022 and December 31, 2021: Loan-to-value as of March 31, 2022, by year of origination Carrying value loan-to-value 70% and less Carrying value loan-to-value 71% - 90% Carrying value loan-to-value over 90% Total carrying value 2022 $ 1,716,958 $ 151,699 $ — $ 1,868,657 2021 4,965,273 1,986,039 — 6,951,312 2020 788,984 124,861 35,002 948,847 2019 1,615,931 135,700 — 1,751,631 2018 1,256,207 48,882 — 1,305,089 2017 767,459 44,829 — 812,288 Prior 1,848,431 3,495 — 1,851,926 Total commercial mortgage loans $ 12,959,243 $ 2,495,505 $ 35,002 $ 15,489,750 Loan-to-value as of December 31, 2021, by year of origination Carrying value loan-to-value 70% and less Carrying value loan-to-value 71% - 90% Carrying value loan-to-value over 90% Total carrying value 2021 $ 4,910,170 $ 1,921,485 $ — $ 6,831,655 2020 819,406 121,997 34,966 976,369 2019 1,747,656 136,252 — 1,883,908 2018 1,324,807 49,058 — 1,373,865 2017 772,989 44,965 — 817,954 2016 425,926 2,440 — 428,366 Prior 1,497,503 15,152 — 1,512,655 Total commercial mortgage loans $ 11,498,457 $ 2,291,349 $ 34,966 $ 13,824,772 |
FHLB Investment and Funding Agreements | Information related to the FHLB investment and funding agreements as of March 31, 2022 and December 31, 2021 is as follows: Investment in common stock Funding agreements issued to FHLB member banks Collateral March 31, 2022 December 31, 2021 March 31, 2022 December 31, 2021 March 31, 2022 December 31, 2021 FHLB Indianapolis $ 80,640 $ 80,640 $ 1,616,408 $ 1,619,765 $ 2,584,557 $ 2,577,698 FHLB Des Moines 34,600 34,600 620,901 620,006 1,036,313 1,004,530 FHLB Boston 22,520 22,520 325,375 326,639 482,410 553,384 Total $ 137,760 $ 137,760 $ 2,562,684 $ 2,566,410 $ 4,103,280 $ 4,135,612 |
Schedule of Repurchase Agreements | March 31, 2022 and December 31, 2021 is presented in the following tables: As of March 31, 2022 Overnight <30 Days 30 - 90 Days > 90 Days Total Corporate Securities $ — $ 519,752 $ — $ 309,292 $ 829,044 Total borrowing $ — $ 519,752 $ — $ 309,292 $ 829,044 As of December 31, 2021 Overnight <30 Days 30 - 90 Days > 90 Days Total Corporate Securities $ — $ — $ — $ 312,965 $ 312,965 Total borrowing $ — $ — $ — $ 312,965 $ 312,965 |
DERIVATIVES (Tables)
DERIVATIVES (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Gains and Losses | The following table represents the gains (losses) recognized on derivative instruments and related hedged items in fair value hedging relationship: Three Months Ended March 31, 2022 Derivatives Hedged items Net 2029 Senior Notes $ (29,121) $ 29,121 $ — 2031 Senior Notes (41,439) 41,439 — FHLB funding agreement liabilities (18,791) 18,791 — FABN liabilities (102,583) 102,583 — Three Months Ended March 31, 2021 Derivatives Hedged items Net 2029 Senior Notes $ (26,379) $ 26,379 $ — FHLB funding agreement liabilities (5,325) 5,325 — The following table represents the gains (losses) related to the FX forwards hedging instruments: Three Months Ended March 31, 2022 2021 Net investment-related gains (losses) $ 40,742 $ 2,825 AOCI 18,318 165 Amortization - excluded component 3,544 (839) The amounts of derivative gains and losses recognized are reported in the consolidated statements of operations as follows: Derivative contracts not designated as hedges Three Months Ended March 31, 2022 2021 Asset Management Net Gains (Losses) from Investment Activities: Foreign Exchange Contracts and Options $ (56,117) $ 9,549 Other Derivatives 8,132 (1,187) Total included in Net Gains (Losses) from Investment Activities $ (47,985) $ 8,362 Insurance Net investment-related gains (losses): Funds withheld receivable embedded derivatives $ (33,980) $ 55,883 Funds withheld payable embedded derivatives 1,180,435 313,230 Equity index options (223,366) 104,021 Equity future contracts 79,796 (69,583) Interest rate contracts (150,176) (256,793) Credit risk contracts (1,532) (36) Total included in net investment-related gains (losses) $ 851,177 $ 146,722 Derivative contracts designated as hedges Three Months Ended March 31, 2022 2021 Insurance Revenues: Foreign currency forwards $ 8,557 $ 1,810 Total included in net investment-related gains (losses) $ 8,557 $ 1,810 Policy benefits and claims: Interest rate swap $ (129,931) $ (8,403) Total included in policy benefits and claims $ (129,931) $ (8,403) Interest expense: Interest rate swap $ (70,561) $ (24,776) Total included in interest expense $ (70,561) $ (24,776) |
Schedule of Derivative Liabilities at Fair Value | The following table represents the carrying values and fair value adjustments for the hedged items: As of March 31, 2022 As of December 31, 2021 Carrying value Fair value of hedge adjustments Carrying value Fair value of hedge adjustments 2029 Senior Notes $ 436,868 $ (29,121) $ 473,890 $ (18,808) 2031 Senior Notes 608,561 (41,439) 644,439 (5,561) FHLB funding agreement liabilities 1,038,085 (18,791) 1,070,770 (16,092) FABN liabilities 3,921,609 (102,583) — — |
Fair Value and Notional Value of Derivative Assets and Liabilities | The fair value and notional value of the derivative assets and liabilities were as follows: As of March 31, 2022 Notional Value Derivative Derivative Asset Management Foreign Exchange Contracts and Options $ 5,891,394,106 $ 367,079 $ 239,875 Other Derivatives 98,851,905 5,294 28,077 Total Asset Management 372,373 267,952 Insurance Equity market contracts $ 129,988,065 $ 931,021 $ 181,694 Interest rate contracts 11,794,558 297,358 509,816 Foreign currency contracts 2,209,118 47,866 20,988 Credit risk contracts 113,133 — 1,360 Impact of netting (1) (251,656) (251,656) Fair value included within derivative assets and derivative liabilities 1,024,589 462,202 Embedded derivative – indexed universal life products — 512,015 Embedded derivative – annuity products — 1,777,832 Fair value included within policy liabilities — 2,289,847 Embedded derivative – funds withheld at interest 8,196 (1,219,491) Total Insurance 1,032,785 1,532,558 Fair value included within total assets and liabilities $ 1,405,158 $ 1,800,510 (1) Represents netting of derivative exposures covered by qualifying master netting agreements. As of December 31, 2021 Notional Value Derivative Derivative Asset Management Foreign Exchange Contracts and Options $ 12,822,521 $ 590,637 $ 319,511 Other Derivatives 505,725 491 45,003 Total Asset Management 591,128 364,514 Insurance Equity market contracts $ 31,294,053 $ 1,216,843 $ 186,754 Interest rate contracts 16,692,035 198,658 101,245 Foreign currency contracts 1,517,434 32,464 7,639 Credit risk contracts 107,754 — 1,540 Impact of netting (1) (152,015) (152,015) Fair value included within derivative assets and derivative liabilities 1,295,950 145,163 Embedded derivative – indexed universal life products — 557,276 Embedded derivative – annuity products — 1,983,949 Fair value included within policy liabilities — 2,541,225 Embedded derivative – funds withheld at interest 31,740 (49,491) Total Insurance 1,327,690 2,636,897 Fair value included within total assets and liabilities $ 1,918,818 $ 3,001,411 (1) Represents netting of derivative exposures covered by qualifying master netting agreements. |
Offsetting Assets | The amount of Global Atlantic's net derivative assets and liabilities after consideration of collateral received or pledged were as follows: As of March 31, 2022 Gross amount recognized Gross amounts offset in the statement of financial position (1) Net amounts presented in the statement of financial condition Collateral (received) / pledged Net amount after collateral Derivative assets (excluding embedded derivatives) $ 1,276,245 $ (251,656) $ 1,024,589 $ (894,687) $ 129,902 Derivative liabilities (excluding embedded derivatives) $ 713,858 $ (251,656) $ 462,202 $ 79,070 $ 383,132 (1) Represents netting of derivative exposures covered by qualifying master netting agreements. As of December 31, 2021 Gross amount recognized Gross amounts offset in the statement of financial position (1) Net amounts presented in the statement of financial condition Collateral (received) / pledged Net amount after collateral Derivative assets (excluding embedded derivatives) $ 1,447,965 $ (152,015) $ 1,295,950 $ (1,086,061) $ 209,889 Derivative liabilities (excluding embedded derivatives) $ 297,178 $ (152,015) $ 145,163 $ 49,860 $ 95,303 (1) Represents netting of derivative exposures covered by qualifying master netting agreements. |
Offsetting Liabilities | The amount of Global Atlantic's net derivative assets and liabilities after consideration of collateral received or pledged were as follows: As of March 31, 2022 Gross amount recognized Gross amounts offset in the statement of financial position (1) Net amounts presented in the statement of financial condition Collateral (received) / pledged Net amount after collateral Derivative assets (excluding embedded derivatives) $ 1,276,245 $ (251,656) $ 1,024,589 $ (894,687) $ 129,902 Derivative liabilities (excluding embedded derivatives) $ 713,858 $ (251,656) $ 462,202 $ 79,070 $ 383,132 (1) Represents netting of derivative exposures covered by qualifying master netting agreements. As of December 31, 2021 Gross amount recognized Gross amounts offset in the statement of financial position (1) Net amounts presented in the statement of financial condition Collateral (received) / pledged Net amount after collateral Derivative assets (excluding embedded derivatives) $ 1,447,965 $ (152,015) $ 1,295,950 $ (1,086,061) $ 209,889 Derivative liabilities (excluding embedded derivatives) $ 297,178 $ (152,015) $ 145,163 $ 49,860 $ 95,303 (1) Represents netting of derivative exposures covered by qualifying master netting agreements. |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Fair Value Disclosures [Abstract] | |
Schedule of assets and liabilities at fair value | The following tables summarize the valuation of assets and liabilities measured and reported at fair value by the fair value hierarchy. Investments classified as Equity Method - Other, for which the fair value option has not been elected, and Equity Method - Capital Allocation-Based Income have been excluded from the tables below. Assets, at fair value: March 31, 2022 Level I Level II Level III Total Asset Management Private Equity $ 1,906,139 $ 275,759 $ 23,999,016 $ 26,180,914 Credit — 1,506,877 5,314,853 6,821,730 Investments of Consolidated CFEs — 22,014,866 — 22,014,866 Real Assets — 1,496,708 13,292,123 14,788,831 Equity Method - Other 492,913 29,985 984,904 1,507,802 Other Investments 898,329 9,087 3,134,926 4,042,342 Total Investments 3,297,381 25,333,282 46,725,822 75,356,485 Foreign Exchange Contracts and Options — 367,079 — 367,079 Other Derivatives 547 4,042 705 (1) 5,294 Total Assets at Fair Value - Asset Management $ 3,297,928 $ 25,704,403 $ 46,726,527 $ 75,728,858 Insurance AFS fixed maturity securities: U.S. government and agencies $ 301,899 $ 189,275 $ — $ 491,174 U.S. state, municipal and political subdivisions — 4,786,996 — 4,786,996 Corporate — 28,975,437 7,970,195 36,945,632 Structured securities — 20,637,356 1,382,539 22,019,895 Total AFS fixed maturity securities 301,899 54,589,064 9,352,734 64,243,697 Trading fixed maturity securities: U.S. government and agencies 233,754 158,440 — 392,194 U.S. state, municipal and political subdivisions — 857,021 — 857,021 Corporate — 7,582,756 705,685 8,288,441 Structured securities — 2,893,125 630,579 3,523,704 Total trading fixed maturity securities 233,754 11,491,342 1,336,264 13,061,360 Equity securities 5,854 — 32,937 38,791 Mortgage and other loan receivables (2) — — 1,007,906 1,007,906 Other investments (3) — — 3,620,186 3,620,186 Funds withheld receivable at interest — — 8,196 8,196 Reinsurance recoverable — — 1,231,957 1,231,957 Derivative assets: Equity market contracts 57,568 873,453 — 931,021 Interest rate contracts 38,903 258,455 — 297,358 Foreign currency contracts — 47,866 — 47,866 Impact of netting (4) (38,609) (213,047) — (251,656) Total derivative assets 57,862 966,727 — 1,024,589 Separate account assets 5,069,742 — — 5,069,742 Total Assets at Fair Value - Insurance $ 5,669,111 $ 67,047,133 $ 16,590,180 $ 89,306,424 Total Assets at Fair Value $ 8,967,039 $ 92,751,536 $ 63,316,707 $ 165,035,282 December 31, 2021 Level I Level II Level III Total Asset Management Private Equity $ 2,044,380 $ 318,736 $ 23,322,634 $ 25,685,750 Credit — 2,122,912 5,826,661 7,949,573 Investments of Consolidated CFEs — 22,076,809 — 22,076,809 Real Assets — 1,111,219 11,389,530 12,500,749 Equity Method - Other 482,061 105,647 1,013,807 1,601,515 Other Investments 759,002 146,081 3,240,013 4,145,096 Total Investments 3,285,443 25,881,404 44,792,645 73,959,492 Foreign Exchange Contracts and Options — 590,637 — 590,637 Other Derivatives — 12 479 (1) 491 Total Assets at Fair Value - Asset Management $ 3,285,443 $ 26,472,053 $ 44,793,124 $ 74,550,620 Insurance AFS fixed maturity securities: U.S. government and agencies $ 500,325 $ 284,222 $ — $ 784,547 U.S. state, municipal and political subdivisions — 5,109,697 — 5,109,697 Corporate — 33,281,727 7,650,660 40,932,387 Structured securities — 21,215,854 828,401 22,044,255 Total AFS fixed maturity securities 500,325 59,891,500 8,479,061 68,870,886 Trading fixed maturity securities: U.S. government and agencies 371,366 252,266 — 623,632 U.S. state, municipal and political subdivisions — 879,463 — 879,463 Corporate — 8,486,922 565,025 9,051,947 Structured securities — 2,779,757 418,774 3,198,531 Total trading fixed maturity securities 371,366 12,398,408 983,799 13,753,573 Equity securities 256,196 — 32,937 289,133 Mortgage and other loan receivables (2) — — 832,674 832,674 Other investments (3) — — 1,603,345 1,603,345 Funds withheld receivable at interest — — 31,740 31,740 Reinsurance recoverable — — 1,293,791 1,293,791 Derivative assets: Equity market contracts 66,510 1,150,333 — 1,216,843 Interest rate contracts 44,472 154,186 — 198,658 Foreign currency contracts — 32,464 — 32,464 Impact of netting (4) (25,588) (126,427) — (152,015) Total derivative assets 85,394 1,210,556 — 1,295,950 Separate account assets 5,586,428 — — 5,586,428 Total Assets at Fair Value - Insurance $ 6,799,709 $ 73,500,464 $ 13,257,347 $ 93,557,520 Total Assets at Fair Value $ 10,085,152 $ 99,972,517 $ 58,050,471 $ 168,108,140 (1) Includes derivative assets that were valued using a third-party valuation firm. The approach used to estimate the fair value of these derivative assets was generally the discounted cash flow method, which includes consideration of the current portfolio, projected portfolio construction, projected portfolio realizations, portfolio volatility (based on the volatility, correlation, and size of each underlying asset class), and the discounting of future cash flows to the reporting date. (2) Includes related party balance of $28.2 million and $27.3 million in Level III for mortgage and other loan receivables as of March 31, 2022 and December 31, 2021, respectively. (3) Other investments excluded from the fair value hierarchy include certain real estate and private equity funds for which fair value is measured at net asset value per share as a practical expedient. As of March 31, 2022 and December 31, 2021, the fair value of these investments was $135.9 million and $108.7 million, respectively. (4) Represents netting of derivative exposures covered by qualifying master netting agreements. Liabilities, at fair value: March 31, 2022 Level I Level II Level III Total Asset Management Securities Sold Short $ 136,128 $ — $ — $ 136,128 Foreign Exchange Contracts and Options — 239,875 — 239,875 Unfunded Revolver Commitments — — 64,556 (1) 64,556 Other Derivatives — 28,077 — 28,077 Debt Obligations of Consolidated CFEs — 21,213,206 — 21,213,206 Total Liabilities at Fair Value - Asset Management $ 136,128 $ 21,481,158 $ 64,556 $ 21,681,842 Insurance Policy liabilities $ — $ — $ 466,408 $ 466,408 Closed block policy liabilities — — 1,269,991 1,269,991 Funds withheld payable at interest — — (1,219,491) (1,219,491) Derivative instruments payable: Equity market contracts 63,886 117,808 — 181,694 Interest rate contracts 72,352 437,464 — 509,816 Foreign currency contracts — 20,988 — 20,988 Credit contracts — 1,360 — 1,360 Impact of netting (2) (38,609) (213,047) — (251,656) Total derivative instruments payable 97,629 364,573 — 462,202 Embedded derivative – indexed universal life products — — 512,015 512,015 Embedded derivative – annuity products — — 1,777,832 1,777,832 Total Liabilities at Fair Value - Insurance $ 97,629 $ 364,573 $ 2,806,755 $ 3,268,957 Total Liabilities at Fair Value $ 233,757 $ 21,845,731 $ 2,871,311 $ 24,950,799 December 31, 2021 Level I Level II Level III Total Asset Management Securities Sold Short $ 249,383 $ — $ — $ 249,383 Foreign Exchange Contracts and Options — 319,511 — 319,511 Unfunded Revolver Commitments — — 64,276 (1) 64,276 Other Derivatives — 45,003 — 45,003 Debt Obligations of Consolidated CFEs — 21,271,084 — 21,271,084 Total Liabilities at Fair Value - Asset Management $ 249,383 $ 21,635,598 $ 64,276 $ 21,949,257 Insurance Policy liabilities $ — $ — $ 519,454 $ 519,454 Closed block policy liabilities — — 1,350,224 1,350,224 Funds withheld payable at interest — — (49,491) (49,491) Derivative instruments payable: Equity market contracts 33,933 152,821 — 186,754 Interest rate contracts 14,009 87,236 — 101,245 Foreign currency contracts — 7,639 — 7,639 Credit contracts — 1,540 — 1,540 Impact of netting (2) (25,588) (126,427) — (152,015) Total derivative instruments payable 22,354 122,809 — 145,163 Embedded derivative – indexed universal life products — — 557,276 557,276 Embedded derivative – annuity products — — 1,983,949 1,983,949 Total Liabilities at Fair Value - Insurance $ 22,354 $ 122,809 $ 4,361,412 $ 4,506,575 Total Liabilities at Fair Value $ 271,737 $ 21,758,407 $ 4,425,688 $ 26,455,832 (1) These unfunded revolver commitments are classified as Level III within the fair value hierarchy and valued using the same valuation methodologies as KKR's Level III credit investments. (2) Represents netting of derivative exposures covered by qualifying master netting agreement. |
Summary of changes in assets and liabilities reported at fair value for which Level III inputs have been used to determine fair value | The following tables summarize changes in assets and liabilities measured and reported at fair value for which Level III inputs have been used to determine fair value for the three months ended March 31, 2022 and 2021, respectively. For certain insurance disclosures, the beginning of the period represents balances as of the GA Acquisition Date. Three Months Ended March 31, 2022 Balance, Beg. of Period Transfers In / (Out) - Changes in Consolidation Transfers Transfers Out Net Purchases/Issuances/Sales/Settlements Net Unrealized and Realized Gains (Losses) Change in OCI Balance, End of Period Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date Changes in Net Unrealized Gains (Losses) Included in OCI related to Level III Assets and Liabilities still held as of the Reporting Date Assets Asset Management Private Equity $ 23,322,634 $ — $ — $ (138,220) $ 680,792 $ 133,810 $ — $ 23,999,016 $ 18,304 $ — Credit 5,826,661 — — — (383,841) (126,598) (1,369) 5,314,853 (58,683) (1,369) Real Assets 11,389,530 — — — 1,008,641 893,952 — 13,292,123 864,586 — Equity Method - Other 1,013,807 — — — 40,182 (69,085) — 984,904 (71,310) — Other Investments 3,240,013 — — — (86,258) (18,829) — 3,134,926 (14,995) — Other Derivatives 479 — — — 11,284 (11,058) — 705 (11,058) — Total Assets - Asset Management 44,793,124 — — (138,220) 1,270,800 802,192 (1,369) 46,726,527 726,844 (1,369) Insurance AFS fixed maturity securities: Corporate fixed maturity securities 7,650,660 — — — 391,605 1,275 (73,345) 7,970,195 — (46,123) Structured securities 828,401 — 343,338 — 228,734 (3,409) (14,525) 1,382,539 — (20,703) Total AFS fixed maturity securities 8,479,061 — 343,338 — 620,339 (2,134) (87,870) 9,352,734 — (66,826) Trading fixed maturity securities: Corporate fixed maturity securities 565,025 — — (31,407) 182,432 (10,365) — 705,685 (11,116) — Structured securities 418,774 — 98,307 (21,745) 144,203 (8,960) — 630,579 (10,412) — Total trading fixed maturity securities 983,799 — 98,307 (53,152) 326,635 (19,325) — 1,336,264 (21,528) — Equity securities 32,937 — — — — — — 32,937 20,292 — Mortgage and other loan receivables 832,674 — — — 203,197 (27,965) — 1,007,906 (9,559) — Other investments 1,603,345 — — — 1,920,480 96,361 — 3,620,186 108,587 — Funds withheld receivable at interest 31,740 — — — 10,435 (33,979) — 8,196 — — Reinsurance recoverable 1,293,791 — — — (14,375) (47,459) — 1,231,957 — — Total Assets - Insurance 13,257,347 — 441,645 (53,152) 3,066,711 (34,501) (87,870) 16,590,180 97,792 (66,826) Total $ 58,050,471 $ — $ 441,645 $ (191,372) $ 4,337,511 $ 767,691 $ (89,239) $ 63,316,707 $ 824,636 $ (68,195) Three Months Ended March 31, 2021 Balance, Beg. of Period Transfers In / (Out) - Changes in Consolidation Transfers In Transfers Out Net Purchases/Issuances/Sales/Settlements Net Unrealized and Realized Gains (Losses) Change in OCI Balance, End of Period Changes in Net Unrealized Gains (Losses) Included in Net Gains (Losses) from Investment Activities related to Level III Assets and Liabilities still held as of the Reporting Date Changes in Net Unrealized Gains (Losses) Included in OCI related to Level III Assets and Liabilities still held as of the Reporting Date Assets Asset Management Private Equity $ 15,234,904 $ — $ — $ — $ 130,309 $ 1,698,596 $ — $ 17,063,809 $ 1,622,804 $ — Credit 9,172,848 (1,021) 86,135 — 92,140 33,640 2,139 9,385,881 61,774 2,139 Real Assets 5,924,575 — — — 696,345 258,297 — 6,879,217 231,898 — Equity Method - Other 1,014,378 — — — (153,840) 181,242 — 1,041,780 180,258 — Other Investments 2,341,981 (2,879) — (105,644) 63,054 176,853 — 2,473,365 214,879 — Other Derivatives 6,668 — — — 3,574 (6,841) — 3,401 (6,841) — Total Assets - Asset Management 33,695,354 (3,900) 86,135 (105,644) 831,582 2,341,787 2,139 36,847,453 2,304,772 2,139 Insurance AFS fixed maturity securities: Corporate fixed maturity securities 3,519,368 — — — 244,578 — (24,416) 3,739,530 — (22,210) Structured securities 197,983 — — — (1,692) — (3,185) 193,106 — 474 Total AFS fixed maturity securities 3,717,351 — — — 242,886 — (27,601) 3,932,636 — (21,736) Trading fixed maturity securities: Corporate fixed maturity securities 674,380 — — — 55,699 (4,001) — 726,078 (3,600) — Structured securities 14,661 — — — 8,055 (183) — 22,533 (222) — Total trading fixed maturity securities 689,041 — — — 63,754 (4,184) — 748,611 (3,822) — Equity securities 66,660 — — — — 3,325 — 69,985 3,325 — Mortgage and other loan receivables 929,855 — — — 247,719 5,500 — 1,183,074 6,322 — Other investments 443,824 — — — — 1,058 — 444,882 6,092 — Funds withheld receivable at interest — — — — 334 55,549 — 55,883 — — Reinsurance recoverable — — — — — 1,317,962 — 1,317,962 — — Total Assets - Insurance 5,846,731 — — — 554,693 1,379,210 (27,601) 7,753,033 11,917 (21,736) Total $ 39,542,085 $ (3,900) $ 86,135 $ (105,644) $ 1,386,275 $ 3,720,997 $ (25,462) $ 44,600,486 $ 2,316,689 $ (19,597) Three Months Ended March 31, 2022 Purchases Issuances Sales Settlements Net Purchases/ Issuances/ Sales/ Settlements Assets Asset Management Private Equity $ 904,261 $ — $ (223,469) $ — $ 680,792 Credit 519,351 — (885,330) (17,862) (383,841) Real Assets 1,510,787 — (502,146) — 1,008,641 Equity Method - Other 41,819 — (1,637) — 40,182 Other Investments 161,876 — (248,134) — (86,258) Other Derivatives 11,284 — — — 11,284 Total Assets - Asset Management 3,149,378 — (1,860,716) (17,862) 1,270,800 Insurance AFS fixed maturity securities: Corporate fixed maturity securities 924,672 — (58,392) (474,675) 391,605 Structured securities 231,916 — — (3,182) 228,734 Total AFS fixed maturity securities 1,156,588 — (58,392) (477,857) 620,339 Trading fixed maturity securities: Corporate fixed maturity securities 189,017 — — (6,585) 182,432 Structured securities 155,253 — — (11,050) 144,203 Total trading fixed maturity securities 344,270 — — (17,635) 326,635 Mortgage and other loan receivables 220,225 — — (17,028) 203,197 Other investments 1,920,480 — — — 1,920,480 Funds withheld receivable at interest — 10,435 — — 10,435 Reinsurance recoverable — — — (14,375) (14,375) Total Assets - Insurance 3,641,563 10,435 (58,392) (526,895) 3,066,711 Total $ 6,790,941 $ 10,435 $ (1,919,108) $ (544,757) $ 4,337,511 Three Months Ended March 31, 2021 Purchases Issuances Sales Settlements Net Purchases/ Issuances/ Sales/ Settlements Assets Asset Management Private Equity $ 221,344 $ — $ (91,035) $ — $ 130,309 Credit 1,120,791 — (1,028,651) — 92,140 Real Assets 924,320 — (227,975) — 696,345 Equity Method - Other 144 — (153,984) — (153,840) Other Investments 89,502 — (26,448) — 63,054 Other Derivatives 3,574 — — — 3,574 Total Assets - Asset Management 2,359,675 — (1,528,093) — 831,582 Insurance AFS fixed maturity securities: Corporate fixed maturity securities 287,638 — (3,299) (39,761) 244,578 Structured securities 10 — — (1,702) (1,692) Total AFS fixed maturity securities 287,648 — (3,299) (41,463) 242,886 Trading fixed maturity securities: Corporate fixed maturity securities 57,451 — — (1,752) 55,699 Structured securities 8,110 — — (55) 8,055 Total trading fixed maturity securities 65,561 — — (1,807) 63,754 Mortgage and other loan receivables 254,995 — (5,076) (2,200) 247,719 Funds withheld receivable at interest — 334 — — 334 Total Assets - Insurance 608,204 334 (8,375) (45,470) 554,693 Total $ 2,967,879 $ 334 $ (1,536,468) $ (45,470) $ 1,386,275 Three Months Ended March 31, 2022 Balance, Beg. of Period Transfers In / (Out) - Changes in Consolidation Transfers In Transfers Out Net Purchases/Sales/Settlements/Issuances Net Unrealized and Realized Gains (Losses) Change in OCI Balance, End of Period Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date Liabilities Asset Management Unfunded Revolver Commitments $ 64,276 $ — $ — $ — $ — $ 280 $ — $ 64,556 $ 280 Total Liabilities - Asset Management 64,276 — — — — 280 — 64,556 280 Insurance Policy liabilities 519,454 — — — — (53,046) — 466,408 — Closed block policy liabilities 1,350,224 — — — (81,101) (2,992) 3,860 1,269,991 — Funds withheld payable at interest (49,491) — — — 10,435 (1,180,435) — (1,219,491) — Embedded derivative – indexed universal life products 557,276 — — — 3,302 (48,563) — 512,015 — Embedded derivative – annuity products 1,983,949 — — — 107,302 (313,419) — 1,777,832 — Total Liabilities - Insurance 4,361,412 — — — 39,938 (1,598,455) 3,860 2,806,755 — Total $ 4,425,688 $ — $ — $ — $ 39,938 $ (1,598,175) $ 3,860 $ 2,871,311 $ 280 Three Months Ended March 31, 2021 Balance, Beg. of Period Transfers In / (Out) - Changes in Consolidation Transfers In Transfers Out Net Purchases/Sales/Settlements/Issuances Net Unrealized and Realized Gains (Losses) Change in OCI Balance, End of Period Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date Liabilities Asset Management Unfunded Revolver Commitments $ 46,340 $ — $ — $ — $ 1,167 $ (11,870) $ — $ 35,637 $ (11,870) Total Liabilities - Asset Management $ 46,340 $ — $ — $ — $ 1,167 $ (11,870) $ — $ 35,637 $ (11,870) Insurance Policy liabilities 637,800 — — — — (72,158) — 565,642 — Closed block policy liabilities 1,395,746 — — — — (25,982) (2,885) 1,366,879 — Funds withheld payable at interest 59,230 — — — — (372,460) — (313,230) — Embedded derivative – indexed universal life products 386,746 — — — (931) 48,427 — 434,242 — Embedded derivative – annuity products 1,024,601 — — — 44,809 (84,500) — 984,910 — Total Liabilities - Insurance 3,504,123 — — — 43,878 (506,673) (2,885) 3,038,443 — Total 3,550,463 — — — 45,045 (518,543) (2,885) 3,074,080 (11,870) Three Months Ended March 31, 2022 Issuances Settlements Net Purchases/Issuances/Sales/Settlements Liabilities Asset Management Unfunded Revolver Commitments $ — $ — $ — Total Liabilities - Asset Management — — — Insurance Closed block policy liabilities — (81,101) (81,101) Funds withheld payable at interest 10,435 — 10,435 Embedded derivative – indexed universal life products 8,985 (5,683) 3,302 Embedded derivative – annuity products 107,302 — 107,302 Total Liabilities - Insurance 126,722 (86,784) 39,938 Total $ 126,722 $ (86,784) $ 39,938 Three Months Ended March 31, 2021 Issuances Settlements Net Issuances/Settlements Liabilities Asset Management Unfunded Revolver Commitments $ 1,167 $ — $ 1,167 Total Liabilities - Asset Management 1,167 — 1,167 Insurance Embedded derivative – indexed universal life products 5,607 (6,538) (931) Embedded derivative – annuity products 44,809 — 44,809 Total Liabilities - Insurance 50,416 (6,538) 43,878 Total $ 51,583 $ (6,538) $ 45,045 |
Summary of valuation methodologies used for assets, measured at fair value and categorized within Level III | The following table presents additional information about valuation methodologies and significant unobservable inputs used for financial assets and liabilities that are measured and reported at fair value and categorized within Level III as of March 31, 2022. Because input information includes only those items for which information is reasonably available, balances shown below may not equal total amounts reported for such Level III assets and liabilities: Level III Assets Fair Value March 31, 2022 Valuation Unobservable Input(s) (1) Weighted Average (2) Range Impact to Valuation from an Increase in Input (3) ASSET MANAGEMENT Private Equity $ 23,999,016 Private Equity $ 21,320,867 Inputs to market comparables, discounted cash flow and transaction price Illiquidity Discount 6.7% 5.0% - 15.0% Decrease Weight Ascribed to Market Comparables 29.1% 0.0% - 100.0% (4) Weight Ascribed to Discounted Cash Flow 65.4% 0.0% - 100.0% (5) Weight Ascribed to Transaction Price 5.5% 0.0% - 100.0% (6) Market comparables Enterprise Value/LTM EBITDA Multiple 17.3x 8.2x - 31.2x Increase Enterprise Value/Forward EBITDA Multiple 15.1x 6.4x - 23.8x Increase Discounted cash flow Weighted Average Cost of Capital 9.2% 4.6% - 14.6% Decrease Enterprise Value/LTM EBITDA Exit Multiple 14.3x 6.0x - 20.0x Increase Growth Equity $ 2,678,149 Inputs to market comparables, discounted cash flow and milestones Illiquidity Discount 8.6% 5.0% - 20.0% Decrease Weight Ascribed to Market Comparables 37.6% 0.0% - 100.0% (4) Weight Ascribed to Discounted Cash Flow 2.1% 0.0% - 50.0% (5) Weight Ascribed to Milestones 60.3% 0.0% - 100.0% (6) Scenario Weighting Base 76.1% 70.0% - 80.0% Increase Downside 4.9% 0.0% - 10.0% Decrease Upside 19.0% 10.0% - 25.0% Increase Credit $ 5,314,853 Yield Analysis Yield 8.8% 5.0% - 40.6% Decrease Net Leverage 6.1x 0.3x - 33.6x Decrease EBITDA Multiple 13.8x 0.7x - 33.0x Increase Real Assets $ 13,292,123 Energy $ 1,434,690 Inputs to market comparables and discounted cash flow Weight Ascribed to Market Comparables 29.0% 0.0% - 50.0% (4) Weight Ascribed to Discounted Cash Flow 71.0% 50.0% - 100.0% (5) Market comparables Enterprise Value/LTM EBITDA Multiple 5.7x 5.7x - 5.7x Increase Enterprise Value/Forward EBITDA Multiple 5.9x 4.5x - 8.8x Increase Discounted cash flow Weighted Average Cost of Capital 12.8% 10.1% - 15.4% Decrease Average Price Per BOE (8) $48.63 $44.38 - $58.31 Increase Level III Assets Fair Value March 31, 2022 Valuation Unobservable Input(s) (1) Weighted Average (2) Range Impact to Valuation from an Increase in Input (3) Infrastructure $ 3,880,965 Inputs to market comparables, discounted cash flow and transaction price Illiquidity Discount 5.0% 5.0% - 5.0% Decrease Weight Ascribed to Market Comparables 1.7% 0.0% - 25.0% (4) Weight Ascribed to Discounted Cash Flow 69.7% 0.0% - 100.0% (5) Weight Ascribed to Transaction Price 28.6% 0.0% - 100.0% (6) Market comparables Enterprise Value/Forward EBITDA Multiple 11.4x 11.4x - 11.4x Increase Discounted cash flow Weighted Average Cost of Capital 6.7% 4.7% - 8.5% Decrease Enterprise Value/LTM EBITDA Exit Multiple 12.1x 10.0x - 13.0x Increase Real Estate $ 7,976,468 Inputs to direct income capitalization, discounted cash flow and transaction price Weight Ascribed to Direct Income Capitalization 18.4% 0.0% - 100.0% (7) Weight Ascribed to Discounted Cash Flow 72.4% 0.0% - 100.0% (5) Weight Ascribed to Transaction Price 9.2% 0.0% - 100.0% (6) Direct income capitalization Current Capitalization Rate 5.1% 3.6% - 7.4% Decrease Discounted cash flow Unlevered Discount Rate 6.2% 3.8% - 18.0% Decrease Equity Method - Other $ 984,904 Inputs to market comparables, discounted cash flow and transaction price Illiquidity Discount 7.5% 5.0% - 10.0% Decrease Weight Ascribed to Market Comparables 38.8% 0.0% - 100.0% (4) Weight Ascribed to Discounted Cash Flow 26.7% 0.0% - 100.0% (5) Weight Ascribed to Transaction Price 34.6% 0.0% - 100.0% (6) Market comparables Enterprise Value/LTM EBITDA Multiple 11.9x 5.7x - 18.1x Increase Enterprise Value/Forward EBITDA Multiple 12.0x 4.5x - 18.5x Increase Discounted cash flow Weighted Average Cost of Capital 10.2% 6.0% - 17.0% Decrease Enterprise Value/LTM EBITDA Exit Multiple 9.9x 6.0x - 15.0x Increase Other Investments $ 3,134,926 (9) Inputs to market comparables, discounted cash flow and transaction price Illiquidity Discount 11.1% 10.0% - 20.0% Decrease Weight Ascribed to Market Comparables 22.9% 0.0% - 100.0% (4) Weight Ascribed to Discounted Cash Flow 58.5% 0.0% - 100.0% (5) Weight Ascribed to Transaction Price 18.6% 0.0% - 100.0% (6) Market comparables Enterprise Value/LTM EBITDA Multiple 12.0x 0.8x - 25.0x Increase Enterprise Value/Forward EBITDA Multiple 11.2x 0.7x - 22.9x Increase Discounted cash flow Weighted Average Cost of Capital 14.4% 6.5% - 100.0% Decrease Enterprise Value/LTM EBITDA Exit Multiple 10.4x 5.5x - 23.1x Increase INSURANCE Corporate fixed maturity securities $ 1,620,204 Discounted cash flow Discount Spread 2.01% —% - 4.91% Decrease Structured securities $ 134,475 Discounted cash flow Discount Spread 3.00% 2.50% - 5.75% Decrease Constant Prepayment Rate 7.31% 5.00% - 15.00% Increase/Decrease Constant Default Rate 1.17% 1.00% - 2.50% Decrease Loss Severity 100% Decrease Other investments $ 1,445,961 Direct capitalization Current Capitalization Rate 5.36% 5.11% - 5.61% Decrease Vacancy rate 5.00% Decrease Discounted cash flow Yield 8.00% Decrease Rate 5.12% 5.00% - 5.25% Decrease Terminal capitalization rate 3.97% 3.70% - 4.25% Decrease Level III Assets Fair Value March 31, 2022 Valuation Unobservable Input(s) (1) Weighted Average (2) Range Impact to Valuation from an Increase in Input (3) Funds withheld receivable at interest $ 8,196 Discounted cash flow Duration/Weighted Average Life 9.56 years 0.0 years - 22.6 years Increase Contractholder Persistency 6.39% 3.50% - 17.20% Increase Nonperformance Risk 0.51% - 1.56% Decrease Reinsurance recoverable $ 1,231,957 Present value of expenses paid from the open block plus the cost of capital held in support of the liabilities. Expense assumption The average expense assumption is between $5.26 and $78.00 per policy, increased by inflation. Increase Unobservable inputs are a market participant’s view of the expenses, a risk margin on the uncertainty of the level of expenses and a cost of capital on the capital held in support of the liabilities. Expense risk margin 9.42% Decrease Cost of capital 3.69% - 13.85% Increase Discounted cash flow Mortality Rate 5.46% Increase Surrender Rate 2.01% Increase (1) In determining certain of these inputs, management evaluates a variety of factors including economic conditions, industry and market developments, market valuations of comparable companies and company specific developments including exit strategies and realization opportunities. KKR has determined that market participants would take these inputs into account when valuing the investments and debt obligations. "LTM" means last twelve months, and "EBITDA" means earnings before interest, taxes, depreciation and amortization. (2) Inputs were weighted based on the fair value of the investments included in the range. (3) Unless otherwise noted, this column represents the directional change in the fair value of the Level III investments that would result from an increase to the corresponding unobservable input. A decrease to the unobservable input would have the opposite effect. Significant increases and decreases in these inputs in isolation could result in significantly higher or lower fair value measurements. (4) The directional change from an increase in the weight ascribed to the market comparables approach would increase the fair value of the Level III investments if the market comparables approach results in a higher valuation than the discounted cash flow approach and transaction price. The opposite would be true if the market comparables approach results in a lower valuation than the discounted cash flow approach and transaction price. (5) The directional change from an increase in the weight ascribed to the discounted cash flow approach would increase the fair value of the Level III investments if the discounted cash flow approach results in a higher valuation than the market comparables approach, transaction price and direct income capitalization approach. The opposite would be true if the discounted cash flow approach results in a lower valuation than the market comparables approach, transaction price and direct income capitalization approach. (6) The directional change from an increase in the weight ascribed to the transaction price or milestones would increase the fair value of the Level III investments if the transaction price or milestones results in a higher valuation than the market comparables and discounted cash flow approach. The opposite would be true if the transaction price or milestones results in a lower valuation than the market comparables approach and discounted cash flow approach. (7) The directional change from an increase in the weight ascribed to the direct income capitalization approach would increase the fair value of the Level III investments if the direct income capitalization approach results in a higher valuation than the discounted cash flow approach. The opposite would be true if the direct income capitalization approach results in a lower valuation than the discounted cash flow approach. (8) The total energy fair value amount includes multiple investments (in multiple locations throughout North America) that are held in multiple investment funds and produce varying quantities of oil, condensate, natural gas liquids, and natural gas. Commodity price may be measured using a common volumetric equivalent where one barrel of oil equivalent ("BOE"), is determined using the ratio of six thousand cubic feet of natural gas to one barrel of oil, condensate or natural gas liquids. The price per BOE is provided to show the aggregate of all price inputs for the various investments over a common volumetric equivalent although the valuations for specific investments may use price inputs specific to the asset for purposes of our valuations. The discounted cash flows include forecasted production of liquids (oil, condensate, and natural gas liquids) and natural gas with a forecasted revenue ratio of approximately 87% liquids and 13% natural gas. (9) Consists primarily of investments in common stock, preferred stock, warrants and options of companies that are not private equity, real assets, credit, equity method - other or investments of consolidated CFEs. Level III Liabilities Fair Value March 31, 2022 Valuation Unobservable Input(s) (1) Weighted Average (2) Range Impact to Valuation from an Increase in Input (3) ASSET MANAGEMENT Unfunded Revolver Commitments $ 64,556 Yield Analysis Yield 5.8% 3.7% - 7.4% Decrease INSURANCE Policy liabilities $ 466,408 Present value of best estimate liability cash flows. Unobservable inputs include a market participant view of the risk margin included in the discount rate which reflects the variability of the cash flows. Risk Margin Rate 0.51% - 1.82% Decrease Policyholder behavior is also a significant unobservable input, including surrender and mortality. Surrender Rate 3.61% - 6.45% Increase Mortality Rate 3.65% - 8.59% Increase Closed block policy liabilities $ 1,269,991 Present value of expenses paid from the open block plus the cost of capital held in support of the liabilities. Expense assumption The average expense assumption is between $5.26 and $78.00 per policy, increased by inflation. Increase Nonperformance Risk 0.51% - 1.56% Decrease Unobservable inputs are a market participant’s view of the expenses, a risk margin on the uncertainty of the level of expenses and a cost of capital on the capital held in support of the liabilities. Expense Risk Margin 9.42% Decrease Cost of Capital 3.69% - 13.85% Increase Discounted cash flow Mortality Rate 5.46% Increase Surrender Rate 2.01% Increase Funds withheld payable at interest $ (1,219,491) Discounted cash flow Duration/Weighted Average Life 9.6 years 0.0 years - 18.9 years Decrease Contractholder Persistency 6.39% 3.50% - 17.20% Decrease Nonperformance Risk 0.51% - 1.56% Decrease Embedded derivative – indexed universal life products $ 512,015 Policy persistency is a significant unobservable input. Lapse Rate 3.86% Decrease Mortality Rate 0.71% Decrease Future costs for options used to hedge the contract obligations Option Budge Assumption 3.58% Increase Nonperformance Risk 0.51% - 1.56% Decrease Level III Liabilities Fair Value March 31, 2022 Valuation Unobservable Input(s) (1) Weighted Average (2) Range Impact to Valuation from an Increase in Input (3) Embedded derivative – annuity products $ 1,777,832 Policyholder behavior is a significant unobservable input, including utilization and lapse. Utilization: Fixed-indexed annuity 3.87% Decrease Variable annuity 4.21% 2.32% - 35.02% Decrease Surrender Rate: Fixed-indexed annuity 10.67% Decrease Variable annuity 4.09% - 39.60% Decrease Mortality Rate: Fixed-indexed annuity 1.99% Decrease Variable annuity 1.36% - 7.38% Decrease Future costs for options used to hedge the contract obligations Option Budge Assumption: Retail RIA 1.60% Increase Fixed-indexed annuity 2.01% Increase Variable annuity n/a Nonperformance Risk 0.51% - 1.56% Decrease (1) In determining certain of these inputs, management evaluates a variety of factors including economic conditions, industry and market developments, market valuations of comparable companies and company specific developments including exit strategies and realization opportunities. KKR has determined that market participants would take these inputs into account when valuing the investments and debt obligations. "LTM" means last twelve months, and "EBITDA" means earnings before interest, taxes, depreciation and amortization. (2) Inputs were weighted based on the fair value of the investments included in the range. (3) Unless otherwise noted, this column represents the directional change in the fair value of the Level III investments that would result from an increase to the corresponding unobservable input. A decrease to the unobservable input would have the opposite effect. Significant increases and decreases in these inputs in isolation could result in significantly higher or lower fair value measurements. |
Summary of financial instruments not carried at fair value | The following tables present carrying amounts and fair values of Global Atlantic’s financial instruments which are not carried at fair value as of March 31, 2022 and December 31, 2021: Fair Value Hierarchy As of March 31, 2022 Carrying Value Level I Level II Level III Fair Value ($ in thousands) Financial assets: Insurance Mortgage and other loan receivables $ 30,568,779 $ — $ — $ 30,759,101 $ 30,759,101 Policy loans 762,460 — — 759,299 759,299 FHLB common stock and other investments 185,013 — — 185,013 185,013 Funds withheld receivables at interest 2,958,607 — 2,958,607 — 2,958,607 Cash and cash equivalents 4,590,032 4,590,032 — — 4,590,032 Restricted cash and cash equivalents 523,503 523,503 — — 523,503 Total financial assets $ 39,588,394 $ 5,113,535 $ 2,958,607 $ 31,703,413 $ 39,775,555 Financial liabilities: Insurance Other contractholder deposit funds $ 34,823,758 $ — $ 32,804,568 $ — $ 32,804,568 Supplementary contracts without life contingencies 11,765 — — 11,959 11,959 Funding agreements 2,562,684 — — 2,515,380 2,515,380 Funds withheld payables at interest 23,001,222 — 23,001,222 — 23,001,222 Debt obligations 2,029,769 — — 1,923,154 1,923,154 Securities sold under agreements to repurchase 810,535 — 810,535 — 810,535 Total financial liabilities $ 63,239,733 $ — $ 56,616,325 $ 4,450,493 $ 61,066,818 Fair Value Hierarchy As of December 31, 2021 Carrying Value Level I Level II Level III Fair Value ($ in thousands) Financial assets: Insurance Mortgage and other loan receivables $ 28,044,085 $ — $ — $ 28,645,675 $ 28,645,675 Policy loans 765,310 — — 754,530 754,530 FHLB common stock and other investments 171,842 — — 171,842 171,842 Funds withheld receivables at interest 2,967,708 — 2,967,708 — 2,967,708 Cash and cash equivalents 3,391,934 3,391,934 — — 3,391,934 Restricted cash and cash equivalents 300,404 300,404 — — 300,404 Total financial assets $ 35,641,283 $ 3,692,338 $ 2,967,708 $ 29,572,047 $ 36,232,093 Financial liabilities: Insurance Other contractholder deposit funds $ 30,295,965 $ — $ 28,419,520 $ — $ 28,419,520 Supplementary contracts without life contingencies 31,118 — — 31,311 31,311 Funding agreements 2,566,410 — — 2,549,494 2,549,494 Funds withheld payables at interest 23,509,744 — 23,509,744 — 23,509,744 Debt obligations 1,908,006 — — 1,953,631 1,953,631 Securities sold under agreements to repurchase 300,446 — 300,446 — 300,446 Total financial liabilities $ 58,611,689 $ — $ 52,229,710 $ 4,534,436 $ 56,764,146 |
FAIR VALUE OPTION (Tables)
FAIR VALUE OPTION (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Fair Value Disclosures [Abstract] | |
Summary of disclosures of financial instruments for which the fair value option was elected | The following table summarizes the financial instruments for which the fair value option has been elected: March 31, 2022 December 31, 2021 Assets Asset Management Credit $ 696,906 $ 2,019,229 Investments of Consolidated CFEs 22,014,866 22,076,809 Real Assets 207,543 182,858 Equity Method - Other 1,507,802 1,601,515 Other Investments 169,492 197,675 Total Asset Management $ 24,596,609 $ 26,078,086 Insurance Mortgage and other loan receivables $ 1,007,906 $ 832,674 Other investments 174,875 147,811 Reinsurance recoverable 1,231,957 1,293,791 Total Insurance $ 2,414,738 $ 2,274,276 Total Assets $ 27,011,347 $ 28,352,362 Liabilities Asset Management Debt Obligations of Consolidated CFEs $ 21,213,206 $ 21,271,084 Total Asset Management $ 21,213,206 $ 21,271,084 Insurance Policy liabilities $ 1,736,399 $ 1,869,678 Total Insurance $ 1,736,399 $ 1,869,678 Total Liabilities $ 22,949,605 $ 23,140,762 Three Months Ended March 31, 2022 Net Realized Net Unrealized Total Assets Asset Management Credit $ (37,515) $ (15,834) $ (53,349) Investments of Consolidated CFEs 2,949 (269,548) (266,599) Real Assets 85 24,685 24,770 Equity Method - Other (16,333) (45,468) (61,801) Other Investments 6,308 (7,685) (1,377) Total Asset Management $ (44,506) $ (313,850) $ (358,356) Insurance Mortgage and other loan receivables — (27,015) (27,015) Other investments — 27,737 27,737 Total Insurance $ — $ 722 $ 722 Total Assets $ (44,506) $ (313,128) $ (357,634) Liabilities Asset Management Debt Obligations of Consolidated CFEs (785) 226,058 225,273 Total Asset Management $ (785) $ 226,058 $ 225,273 Insurance Policy liabilities — 42,419 42,419 Total Insurance $ — $ 42,419 $ 42,419 Total Liabilities $ (785) $ 268,477 $ 267,692 Three Months Ended March 31, 2021 Net Realized Net Unrealized Total Assets Asset Management Credit $ (15,689) $ (18,745) $ (34,434) Investments of Consolidated CFEs (2,628) 128,143 125,515 Real Assets 47 727 774 Equity Method - Other 984 229,081 230,065 Other Investments 5,050 7,004 12,054 Total Asset Management $ (12,236) $ 346,210 $ 333,974 Insurance Mortgage and other loan receivables — 7,561 7,561 Other investments — 3,866 3,866 Total Insurance — 11,427 11,427 Total Assets $ (12,236) $ 357,637 $ 345,401 Liabilities Asset Management Debt Obligations of Consolidated CFEs $ (2,048) $ (44,096) $ (46,144) Total Asset Management $ (2,048) $ (44,096) $ (46,144) Insurance Policy liabilities $ — $ (65,834) $ (65,834) Total Insurance $ — $ (65,834) $ (65,834) Total Liabilities $ (2,048) $ (109,930) $ (111,978) |
INSURANCE INTANGIBLES, UNEARN_2
INSURANCE INTANGIBLES, UNEARNED REVENUE RESERVES AND UNEARNED FRONT-END LOADS (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Insurance [Abstract] | |
Changes to Deferred Policy Acquisition Costs | The following reflects the changes to the deferred policy acquisition costs ("DAC") asset: Three Months Ended March 31, 2022 2021 Balance, as of beginning of period $ 447,886 $ — Deferrals 114,935 76,694 Amortized to expense during the period (1) (9,343) 798 Adjustment for unrealized investment-related losses (gains) during the period (14,313) — Balance, as of end of period $ 539,165 $ 77,492 (1) These amounts are reported within amortization of policy acquisition costs in the consolidated statements of operations. |
Changes to Value of Business Acquired Asset | The following reflects the changes to the value of business acquired ("VOBA") asset: Three Months Ended March 31, 2022 2021 Balance, as of beginning of period $ 959,263 $ 1,024,520 Amortized to expense during the period (1) (17,144) (12,182) Balance, as of end of period $ 942,119 $ 1,012,338 (1) These amounts are reported within amortization of policy acquisition costs in the consolidated statements of operations. |
Changes to Value of Business Acquired Liability | The following reflects the changes to the negative VOBA liability: Three Months Ended March 31, 2022 2021 Balance, as of beginning of period $ 1,118,716 $ 1,273,414 Amortized to expense during the period (1) (34,220) (31,862) Balance, as of end of period $ 1,084,496 $ 1,241,552 (1) These amounts are reported within amortization of policy acquisition costs in the consolidated statements of operations. |
Changes to Unearned Revenue Reserve | The following reflects the changes to the unearned revenue reserve ("URR") and unearned front-end load ("UFEL): Three Months Ended March 31, 2022 2021 Balance, as of beginning of period $ 33,603 $ — Deferrals 16,686 9,575 Amortized to revenue during the period (1) (5,934) (2,013) Adjustment for unrealized investment-related gains during the period (40,577) — Balance, as of end of period $ 3,778 $ 7,562 (1) These amounts are reported within policy fees in the consolidated statements of operations. |
REINSURANCE (Tables)
REINSURANCE (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Insurance [Abstract] | |
Effects of Reinsurance Agreements | The effects of all reinsurance agreements on the consolidated statement of financial condition were as follows: March 31, 2022 December 31, 2021 Policy liabilities: Direct $ 68,444,765 $ 67,131,818 Assumed 62,631,922 59,388,226 Total policy liabilities 131,076,687 126,520,044 Ceded (1) (24,625,159) (25,035,228) Net policy liabilities $ 106,451,528 $ 101,484,816 (1) Reported within reinsurance recoverable within the consolidated statement of financial condition. The effects of reinsurance on the consolidated statements of operations were as follows: Three Months Ended March 31, 2022 2021 Premiums: Direct $ 36,573 $ 14,175 Assumed (1) 401,515 1,280,753 Ceded (65,944) (118,786) Net premiums $ 372,144 $ 1,176,142 (1) Includes related party activity of $2.7 million for the three months ended March 31, 2021. Three Months Ended March 31, 2022 2021 Policy fees: Direct $ 240,991 $ 148,999 Assumed (1) 77,778 52,955 Ceded (333) (271) Net policy fees $ 318,436 $ 201,683 (1) Includes related party activity of $2.1 million for the three months ended March 31, 2021. Three Months Ended March 31, 2022 2021 Policy benefits and claims: Direct $ 235,604 $ 182,801 Assumed (1) 604,233 1,467,127 Ceded (113,777) (164,610) Net policy benefits and claims $ 726,060 $ 1,485,318 (1) Includes related party activity of $22.5 million for the three months ended March 31, 2021. |
Reinsurance Recoverable and Funds Withheld Receivable at Interest by Credit Quality Indicator | The following shows the amortized cost basis of Global Atlantic’s reinsurance recoverable and funds withheld receivable at interest by credit quality indicator and any associated credit enhancements Global Atlantic has obtained to mitigate counterparty credit risk: As of March 31, 2022 As of December 31, 2021 A.M. Best Rating (1) Reinsurance recoverable and funds withheld receivable at interest (2) Credit enhancements (3) Net reinsurance credit exposure (4) Reinsurance recoverable and funds withheld receivable at interest (2) Credit enhancements (3) Net reinsurance credit exposure (4) A++ $ 8,810 $ — $ 8,810 $ 7,911 $ — $ 7,911 A+ 1,977,750 — 1,977,750 1,989,426 — 1,989,426 A 2,571,414 — 2,571,414 2,652,286 — 2,652,286 A- 5,587,142 4,822,173 764,969 5,645,633 5,166,559 479,074 B++ 37,176 — 37,176 33,410 — 33,410 B+ 1,564 — 1,564 1,122 — 1,122 B 9,290 — 9,290 9,227 — 9,227 B- 1,850 — 1,850 1,274 — 1,274 Not rated (5) 17,430,904 16,959,558 471,346 17,698,613 18,323,795 — Total $ 27,625,900 $ 21,781,731 $ 5,844,169 $ 28,038,902 $ 23,490,354 $ 5,173,730 (1) Ratings are periodically updated (at least annually) as A.M. Best issues new ratings. (2) At amortized cost, excluding any associated embedded derivative assets and liabilities. (3) Includes funds withheld payable at interest and deferred intangible reinsurance assets and liabilities. (4) Includes credit loss allowance of $28.1 million and $8.4 million as of March 31, 2022 and December 31, 2021, respectively, held against reinsurance recoverable. (5) Includes $17.4 billion and $17.7 billion as of March 31, 2022 and December 31, 2021, respectively, associated with cessions to Ivy Re Limited, a Bermuda insurance company and a subsidiary of an investment vehicle that participates in qualifying reinsurance transactions sourced by Global Atlantic. |
NET INCOME (LOSS) ATTRIBUTABL_2
NET INCOME (LOSS) ATTRIBUTABLE TO KKR & CO. INC. PER SHARE OF COMMON STOCK (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Earnings Per Share [Abstract] | |
Schedule of basic and diluted Net Income (Loss) attributable to KKR & Co. per share of common stock | For the three months ended March 31, 2022 and 2021, basic and diluted Net Income (Loss) attributable to KKR & Co. Inc. per share of common stock were calculated as follows: Three Months Ended March 31, 2022 2021 Net Income (Loss) Available to KKR & Co. Inc. $ (73,770) $ 1,644,245 (+) Series C Mandatory Convertible Preferred Dividend (if dilutive) (1) — 17,250 Net Income (Loss) Available to KKR & Co. Inc. $ (73,770) $ 1,661,495 Basic Net Income (Loss) Per Share of Common Stock Weighted Average Shares of Common Stock Outstanding - Basic 592,202,835 576,727,967 Net Income (Loss) Attributable to KKR & Co. Inc. $ (0.12) $ 2.85 Diluted Net Income (Loss) Per Share of Common Stock Weighted Average Shares of Common Stock Outstanding - Basic 592,202,835 576,727,967 Incremental Common Shares: Assumed vesting of dilutive equity awards (2) — 17,337,924 Assumed conversion of Series C Mandatory Convertible Preferred Stock (1) — 26,822,600 Weighted Average Shares of Common Stock Outstanding - Diluted 592,202,835 620,888,491 Net Income (Loss) Attributable to KKR & Co. Inc. $ (0.12) $ 2.68 |
Schedule of KKR Holdings shares excluded from the calculation of diluted Net Income (Loss) attributable to KKR & Co. L.P. per share of Common Stock - Diluted | Three Months Ended March 31, 2022 2021 Weighted Average KKR Holdings Units 258,726,163 274,748,078 |
OTHER ASSETS AND ACCRUED EXPE_2
OTHER ASSETS AND ACCRUED EXPENSES AND OTHER LIABILITIES (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
OTHER ASSETS AND ACCOUNTS PAYABLE, ACCRUED EXPENSES AND OTHER LIABILITIES | |
Schedule of other assets | Other Assets consist of the following: March 31, 2022 December 31, 2021 Asset Management Unsettled Investment Sales (1) $ 200,402 $ 182,267 Receivables 82,966 81,133 Due from Broker (2) 28,899 365,053 Deferred Tax Assets, net (See Note 18) 95,533 85,770 Interest Receivable 147,124 144,221 Fixed Assets, net (3) 819,069 820,143 Foreign Exchange Contracts and Options (4) 367,079 590,637 Goodwill (5) 83,500 83,500 Derivative Assets 5,294 491 Prepaid Taxes 65,692 93,296 Prepaid Expenses 37,127 29,290 Operating Lease Right of Use Assets (6) 220,458 228,363 Deferred Financing Costs 15,989 17,953 Other 238,582 164,196 Total Asset Management $ 2,407,714 $ 2,886,313 Insurance Unsettled Investment Sales (1) $ 1,613,094 $ 941,427 Deferred Tax Assets, net 1,536,986 755,876 Derivative Assets 1,024,589 1,295,950 Accrued Investment Income 898,120 817,486 Goodwill (8) 501,496 501,496 Intangible Assets and Deferred Sales Inducements (7) 289,412 293,824 Operating Lease Right of Use Assets (6) 171,344 160,888 Premiums and Other Account Receivables 117,997 86,524 Other 96,576 96,093 Current Income Tax Recoverable 53,161 103,954 Total Insurance $ 6,302,775 $ 5,053,518 Total Other Assets $ 8,710,489 $ 7,939,831 (1) Represents amounts due from third parties for investments sold for which cash settlement has not occurred. (2) Represents amounts held at clearing brokers resulting from securities transactions. (3) Net of accumulated depreciation and amortization of $153.5 million and $141.6 million as of March 31, 2022 and December 31, 2021, respectively. Depreciation and amortization expense of $12.7 million and $11.0 million for the three months ended March 31, 2022 and 2021, respectively, are included in General, Administrative and Other in the accompanying consolidated statements of operations. (4) Represents derivative financial instruments used to manage foreign exchange risk arising from certain foreign currency denominated investments. Such instruments are measured at fair value with changes in fair value recorded in Net Gains (Losses) from Investment Activities in the accompanying consolidated statements of operations. See Note 5 "Net Gains (Losses) from Investment Activities - Asset Management" for the net changes in fair value associated with these instruments. (5) As of March 31, 2022, the carrying value of goodwill is recorded and assessed for impairment at the reporting unit. (6) For Asset Management, non-cancelable operating leases consist of leases for office space in North America, Europe, Asia and Australia. KKR is the lessee under the terms of the operating leases. The operating lease cost was $12.2 million and $11.5 million for the three months ended March 31, 2022 and 2021, respectively. For Insurance, non-cancelable operating leases consist of leases for office space and land in the U.S. For the three months ended March 31, 2022 and 2021, the operating lease cost was $5.9 million and $2.6 million, respectively. Insurance lease right-of-use assets are reported net of $22.2 million and $22.7 million in deferred rent and lease incentives as of March 31, 2022 and December 31, 2021, respectively. The weighted average remaining lease term was 26.9 years and 27.9 years as of March 31, 2022 and December 31, 2021, respectively. (7) The definite life intangible assets are amortized by using the straight-line method over the useful life of the assets which is an average of 16 years. The indefinite life intangible assets are not subject to amortization. The amortization expense of definite life intangible assets was $4.4 million and $2.5 million for the three months ended March 31, 2022 and 2021, respectively. |
Schedule of accounts payable, accrued expenses and other liabilities | Accrued Expenses and Other Liabilities consist of the following: March 31, 2022 December 31, 2021 Asset Management Amounts Payable to Carry Pool (1) $ 3,138,465 $ 3,650,312 Unsettled Investment Purchases (2) 1,138,357 1,315,163 Securities Sold Short (3) 136,128 249,383 Derivative Liabilities 28,077 45,003 Accrued Compensation and Benefits 438,550 210,789 Interest Payable 161,358 162,801 Foreign Exchange Contracts and Options (4) 239,875 319,511 Accounts Payable and Accrued Expenses 170,398 187,564 Taxes Payable 104,796 42,745 Uncertain Tax Positions 54,975 78,226 Unfunded Revolver Commitments 64,556 64,276 Operating Lease Liabilities (5) 223,652 230,995 Deferred Tax Liabilities, net (See Note 18) 791,575 900,436 Other Liabilities 551,024 439,693 Total Asset Management $ 7,241,786 $ 7,896,897 Insurance Unsettled Investment Purchases (2) $ 1,138,365 $ 395,722 Collateral on Derivative Instruments 894,687 1,086,061 Accrued Expenses 753,160 747,237 Securities Sold Under Agreements to Repurchase 810,535 300,446 Derivative Liabilities 462,202 145,163 Accrued Employee Related Expenses 248,861 280,668 Operating Lease Liabilities (5) 190,855 180,574 Tax Payable to Former Parent Company 64,886 74,423 Interest Payable 32,353 12,930 Accounts and Commissions Payable 15,196 26,054 Other Tax Related Liabilities 4,741 14,288 Total Insurance $ 4,615,841 $ 3,263,566 Total Accrued Expenses and Other Liabilities $ 11,857,627 $ 11,160,463 (1) Represents the amount of carried interest payable to current and former KKR employees arising from KKR's investment funds and co-investment vehicles that provide for carried interest. (2) Represents amounts owed to third parties for investment purchases for which cash settlement has not occurred. (3) Represents the obligations of KKR to deliver a specified security at a future point in time. Such securities are measured at fair value with changes in fair value recorded in Net Gains (Losses) from Investment Activities in the accompanying consolidated statements of operations. See Note 5 "Net Gains (Losses) from Investment Activities - Asset Management" for the net changes in fair value associated with these instruments. (4) Represents derivative financial instruments used to manage foreign exchange risk arising from certain foreign currency denominated investments. Such instruments are measured at fair value with changes in fair value recorded in Net Gains (Losses) from Investment Activities in the accompanying consolidated statements of operations. See Note 5 "Net Gains (Losses) from Investment Activities - Asset Management" for the net changes in fair value associated with these instruments. (5) For Asset Management, operating leases have remaining lease terms that range from approximately 1 year to 14 years, some of which include options to extend the leases for up to 3 years. The weighted average remaining lease terms were 9.4 years and 9.5 years as of March 31, 2022 and December 31, 2021, respectively. The weighted average discount rates were 1.2% and 1.2% as of March 31, 2022 and December 31, 2021, respectively. For Insurance, operating leases for office space have remaining lease terms that range from approximately 1 year to 12 years, some of which include options to extend the leases for up to 10 years. The weighted average remaining lease terms was 7.6 years and 7.8 years as of March 31, 2022 and December 31, 2021, respectively. The weighted average discount rate was 2.9% as of both March 31, 2022 and December 31, 2021. |
VARIABLE INTEREST ENTITIES (Tab
VARIABLE INTEREST ENTITIES (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of maximum exposure to loss, before allocations to the carry pool and noncontrolling interests, if any, for VIEs | As of March 31, 2022 and December 31, 2021, the maximum exposure to loss, before allocations to the carry pool and noncontrolling interests, if any, for those VIEs in which KKR is determined not to be the primary beneficiary but in which it has a variable interest is as follows: March 31, 2022 December 31, 2021 Investments - Asset Management $ 10,254,226 $ 11,539,945 Due from (to) Affiliates, net 1,027,639 1,046,210 Maximum Exposure to Loss - Asset Management $ 11,281,865 $ 12,586,155 Other Investment in Partnership - Insurance $ 204,984 $ 190,106 Investment in Renewable Partnerships - Insurance 30,194 30,760 Maximum Exposure to Loss- Insurance $ 235,178 $ 220,866 Total Maximum Exposure to Loss $ 11,517,043 $ 12,807,021 |
DEBT OBLIGATIONS (Tables)
DEBT OBLIGATIONS (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Debt Disclosure [Abstract] | |
Schedule of borrowings | KKR's Asset Management debt obligations consisted of the following: March 31, 2022 December 31, 2021 Financing Available Borrowing Outstanding Fair Value Financing Available Borrowing Outstanding Fair Value Revolving Credit Facilities: Corporate Credit Agreement $ 1,000,000 $ — $ — $ 1,000,000 $ — $ — KCM Credit Agreement 728,493 — — 728,799 — — KCM 364-Day Revolving Credit Agreement 750,000 — — 750,000 — — Notes Issued: (1) KKR ¥25 billion (or $205.0 million) 0.509% Notes Due 2023 (4) — 204,706 204,479 — 216,881 216,818 KKR ¥5 billion (or $41.0 million) 0.764% Notes Due 2025 (4) — 40,661 40,881 — 43,082 43,452 KKR €650 million (or $723.8 million) 1.625% Notes Due 2029 (5) — 717,092 703,183 — 729,048 776,926 KKR $750 million 3.750% Notes Due 2029 (4) — 743,555 766,035 — 743,333 825,540 KKR ¥10.3 billion (or $84.5 million) 1.595% Notes Due 2038 (4) — 83,473 83,191 — 88,505 92,198 KKR $500 million 5.500% Notes Due 2043 (6) (4) — 491,451 567,543 — 491,153 661,351 KKR $1 billion 5.125% Notes Due 2044 (6) (4) — 956,647 1,074,160 — 951,462 1,237,888 KKR $500 million 3.625% Notes Due 2050 (4) — 492,553 447,275 — 492,486 535,550 KKR $750 million 3.500% Notes Due 2050 (6) (4) — 736,056 658,983 — 735,905 784,650 KKR $750 million 3.250% Notes Due 2051 (4) — 739,569 629,693 — 739,481 747,900 KKR $500 million 4.625% Notes Due 2061 (5) — 486,133 439,000 — 486,044 523,200 KFN $500 million 5.500% Notes Due 2032 (2) — 495,147 466,871 — 495,025 487,779 KFN $120 million 5.200% Notes Due 2033 (2) — 118,683 108,766 — 118,654 115,535 KFN $70 million 5.400% Notes Due 2033 (2) — 68,980 64,437 — 68,957 68,532 KFN Issued Junior Subordinated Notes (3) (2) — 236,467 186,989 — 236,138 178,335 2,478,493 6,611,173 6,441,486 2,478,799 6,636,154 7,295,654 Other Debt Obligations (6) 5,685,293 29,501,699 29,501,699 4,941,755 30,033,601 30,033,601 $ 8,163,786 $ 36,112,872 $ 35,943,185 $ 7,420,554 $ 36,669,755 $ 37,329,255 (1) Borrowing outstanding includes: (i) unamortized note discount (net of premium), as applicable and (ii) unamortized debt issuance costs, as applicable. Financing costs related to the issuance of the notes have been deducted from the note liability and are being amortized over the life of the notes. (2) These debt obligations are classified as Level III within the fair value hierarchy and valued using the same valuation methodologies as KKR's Level III credit investments. (3) KKR consolidates KFN and reports KFN's outstanding $258.5 million aggregate principal amount of junior subordinated notes. The weighted average interest rate is 2.6% and 2.6% and the weighted average years to maturity is 14.5 years and 14.8 years as of March 31, 2022 and December 31, 2021, respectively. (4) The notes are classified as Level II within the fair value hierarchy and fair value is determined by third party broker quotes. (5) The notes are classified as Level I within the fair value hierarchy and fair value is determined by quoted prices in active markets since the debt is publicly listed. (6) As of March 31, 2022 and December 31, 2021, the borrowing outstanding reflects the elimination for the portion of these debt obligations that are held by Global Atlantic. Global Atlantic's debt obligations consisted of the following: March 31, 2022 December 31, 2021 Financing Available Borrowing Outstanding Fair Value (2) Financing Available Borrowing Outstanding Fair Value (2) Revolving Credit Facilities: Global Atlantic revolving credit facility, due August 2026 $ 800,000 $ 200,000 $ 200,000 $ 1,000,000 $ — $ — Notes Issued and Others: Global Atlantic senior notes, due October 2029 500,000 500,100 500,000 539,350 Global Atlantic senior notes, due June 2031 650,000 582,660 650,000 644,800 Global Atlantic subordinated debentures, due October 2051 750,000 710,625 750,000 761,475 2,100,000 $ 1,993,385 1,900,000 $ 1,945,625 Purchase accounting adjustments (1) 45,618 51,050 Debt issuance costs, net of accumulated amortization (18,413) (18,675) Fair value loss (gain) of hedged debt obligations, recognized in earnings (97,436) (24,369) $ 2,029,769 $ 1,908,006 (1) The amortization of the purchase accounting adjustments was $5.4 million and $2.0 million for the three months ended March 31, 2022 and 2021, respectively. (2) These debt obligations are classified as Level III within the fair value hierarchy and valued using the same valuation methodologies as KKR's Level III credit investments. |
Schedule of other debt obligations | As of March 31, 2022, other debt obligations consisted of the following: Financing Available Borrowing Fair Value Weighted Weighted Average Remaining Maturity in Years Financing Facilities of Consolidated Funds and Other (1) $ 5,685,293 $ 8,288,493 $ 8,288,493 3.5% 4.4 Debt Obligations of Consolidated CLOs — 21,213,206 21,213,206 (2) 10.5 $ 5,685,293 $ 29,501,699 $ 29,501,699 (1) Includes borrowings collateralized by fund investments, fund co-investments and other assets held by levered investment vehicles of $2.0 billion. (2) The senior notes of the consolidated CLOs had a weighted average interest rate of 1.9%. The subordinated notes of the consolidated CLOs do not have contractual interest rates but instead receive a pro rata amount of the net distributions from the excess cash flows of the respective CLO vehicle. Accordingly, weighted average borrowing rates for the subordinated notes are based on cash distributions during the period, if any. |
EQUITY BASED COMPENSATION (Tabl
EQUITY BASED COMPENSATION (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Share-based Payment Arrangement [Abstract] | |
Schedule of unvested awards granted under equity incentive plan | A summary of the status of unvested Service-Vesting Awards granted under the Equity Incentive Plans from January 1, 2022 through March 31, 2022 is presented below: Shares Weighted Balance, January 1, 2022 19,307,041 $ 41.21 Granted 442,156 65.26 Vested (22,436) 29.05 Forfeitures (101,404) 35.66 Balance, March 31, 2022 19,625,357 $ 41.79 A summary of the status of unvested Market Condition Awards granted under the Equity Incentive Plans from January 1, 2022 through March 31, 2022 is presented below: Shares Weighted Balance, January 1, 2022 21,370,847 $ 25.03 Granted 350,000 66.80 Vested — — Forfeitures — — Balance, March 31, 2022 21,720,847 $ 25.70 |
Summary of significant assumptions used to estimate grant date fair value | Below is a summary of the grant date fair value based on the Monte Carlo simulation valuation model and the significant assumptions used to estimate the grant date fair value of these Market Condition Awards: Weighted Range Grant Date Fair Value $25.70 $19.87 - $66.80 Closing KKR share price as of valuation date $42.99 $37.93 - $76.31 Risk Free Rate 0.53% 0.41% - 1.40% Volatility 28.07% 28.00% - 30.00% Dividend Yield 1.41% 0.76% - 1.53% Expected Cost of Equity 10.59% 9.13% - 10.76% Below is a summary of the grant date fair value based on the Monte Carlo simulation valuation model and the significant assumptions used to estimate the grant date fair value of these Co-CEO Awards: Grant Date Fair Value $48.91 Closing KKR share price as of valuation date $75.76 Risk Free Rate 1.42% Volatility 28.0% Dividend Yield 0.77% Expected Cost of Equity 9.36% |
Schedule of unvested holding awards granted | A summary of the status of unvested awards granted under the KKR Holdings Plan from January 1, 2022 through March 31, 2022 is presented below: Units Weighted Balance, January 1, 2022 4,600,000 $ 21.88 Granted — — Vested — — Forfeitures — — Balance, March 31, 2022 4,600,000 $ 21.88 Three Months Ended March 31, 2022 2021 Outstanding amount as of beginning of period $ 145,000 $ — Pre-acquisition awards converted to book-value awards on February 1, 2021 — 89,000 Granted 20,205 53,969 Forfeited (874) (957) Vested and issued (39,029) (30,280) Outstanding amount as of end of period $ 125,302 $ 111,732 |
RELATED PARTY TRANSACTIONS (Tab
RELATED PARTY TRANSACTIONS (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Related Party Transactions [Abstract] | |
Schedule of due from and to affiliates | Due from Affiliates consists of: March 31, 2022 December 31, 2021 Amounts due from portfolio companies $ 188,394 $ 114,514 Amounts due from unconsolidated investment funds 1,089,180 1,109,769 Due from Affiliates $ 1,277,574 $ 1,224,283 Due to Affiliates consists of: March 31, 2022 December 31, 2021 Amounts due to KKR Holdings - tax receivable agreement $ 396,127 $ 399,163 Amounts due to unconsolidated investment funds 61,541 63,559 Due to Affiliates $ 457,668 $ 462,722 |
SEGMENT REPORTING (Tables)
SEGMENT REPORTING (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Segment Reporting [Abstract] | |
Information Regarding Segment Results and Reconciliations | The following tables set forth information regarding KKR's segment results: Three Months Ended March 31, 2022 2021 Asset Management Management Fees (1) $ 624,928 $ 439,740 Transaction and Monitoring Fees, Net 306,038 135,677 Fee Related Performance Revenues 12,051 10,296 Fee Related Compensation (212,220) (131,785) Other Operating Expenses (125,875) (90,161) Fee Related Earnings 604,922 363,767 Realized Performance Income 609,207 171,309 Realized Performance Income Compensation (383,635) (109,986) Realized Investment Income (2) 349,354 461,273 Realized Investment Income Compensation (52,403) (69,191) Asset Management Segment Operating Earnings 1,127,445 817,172 Insurance Net Investment Income (1) (2) 862,414 445,898 Net Cost of Insurance (493,649) (250,219) General, Administrative and Other (146,002) (75,489) Pre-tax Insurance Operating Earnings 222,763 120,190 Income Taxes (34,106) (16,626) Net Income Attributable to Noncontrolling Interest (72,669) (40,299) Insurance Segment Operating Earnings 115,988 63,265 Total Segment Operating Earnings $ 1,243,433 $ 880,437 (1) Includes intersegment management fees of $59.0 million and $22.9 million for the three months ended March 31, 2022 and 2021, respectively. (2) Includes intersegment interest expense and income of $25.8 million for the three months ended March 31, 2022. As of March 31, 2022 March 31, 2021 Segment Assets: Asset Management $ 31,921,809 $ 28,247,535 Insurance 167,492,964 131,350,085 Total Segment Assets $ 199,414,773 $ 159,597,620 Three Months Ended March 31, Noncash expenses excluded from Segment Operating Earnings 2022 2021 Equity Based Compensation and Other Asset Management $ 113,064 $ 64,317 Insurance 31,711 7,411 Total Non-cash expenses $ 144,775 $ 71,728 The following tables reconcile the Segment Revenues, Segment Operating Earnings, and Segment Assets to their equivalent GAAP measure: Three Months Ended March 31, 2022 2021 Total GAAP Revenues $ 1,004,017 $ 4,563,006 Impact of Consolidation and Other 213,400 123,448 Asset Management Adjustments: Capital Allocation-Based Income (GAAP) 945,743 (2,684,647) Realized Carried Interest 579,767 165,142 Realized Investment Income 349,354 461,273 Capstone Fees (15,485) (20,080) Expense Reimbursements (41,303) (27,729) Insurance Adjustments: Net Premiums (372,144) (1,176,142) Policy Fees (318,436) (201,683) Other Income (34,744) (18,144) Investment Gains and Losses 167,102 259,168 Derivative Gains and Losses 286,721 220,581 Total Segment Revenues (1) $ 2,763,992 $ 1,664,193 (1) Total Segment Revenues is comprised of (i) Management Fees, (ii) Transaction and Monitoring Fees, Net, (iii) Fee Related Performance Revenues, (iv) Realized Performance Income, (v) Realized Investment Income, and (vi) Net Investment Income. Three Months Ended March 31, 2022 2021 Income (Loss) Before Tax (GAAP) $ 1,099,436 $ 4,354,106 Impact of Consolidation and Other (1,232,320) (1,375,375) Interest Expense 69,460 57,545 Equity-based compensation - KKR Holdings 19,821 16,434 Asset Management Adjustments: Unrealized Carried Interest 1,290,033 (2,109,018) Net Unrealized (Gains) Losses 322,269 (1,316,644) Unrealized Carried Interest Compensation (Carry Pool) (513,987) 896,907 Strategic Corporate Transaction-Related Charges 19,898 4,875 Equity-based compensation 55,111 49,761 Equity-based compensation - Performance based 57,953 14,556 Insurance Adjustments: Net (Gains) Losses from Investments and Derivatives 48,735 289,235 Strategic Corporate Transaction-Related Charges 5,007 4,819 Equity-based and Other Compensation 31,711 7,411 Amortization of Acquired Intangibles 4,412 2,451 Income Taxes (34,106) (16,626) Total Segment Operating Earnings $ 1,243,433 $ 880,437 As of March 31, 2022 March 31, 2021 Total GAAP Assets $ 266,290,981 $ 216,445,114 Impact of Consolidation and Reclassifications (63,737,743) (54,032,166) Carry Pool Reclassifications (3,138,465) (2,815,328) Total Segment Assets $ 199,414,773 $ 159,597,620 |
EQUITY (Tables)
EQUITY (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Equity [Abstract] | |
Accelerated share repurchases | The following table presents KKR & Co. Inc. common stock that has been repurchased or equity awards retired under the repurchase program: Three Months Ended March 31, 2022 2021 Shares of common stock repurchased 5,191,174 1,501,558 Equity awards for common stock retired — 1,325,853 |
Schedule of calculation of noncontrolling interests | The following tables present the calculation of total noncontrolling interests: Three Months Ended March 31, 2022 Noncontrolling Interests in Consolidated Entities and Other Noncontrolling Interests Held by KKR Holdings Total Noncontrolling Interests Balance at the beginning of the period $ 32,043,699 $ 8,430,866 $ 40,474,565 Net income (loss) attributable to noncontrolling interests (1) 1,206,337 (47,152) 1,159,185 Other comprehensive income (loss), net of tax (2) (1,291,083) (629,986) (1,921,069) Equity-based and other non-cash compensation 63,571 19,821 83,392 Capital contributions 3,579,591 — 3,579,591 Capital distributions (1,831,897) (41,976) (1,873,873) Balance at the end of the period $ 33,770,218 $ 7,731,573 $ 41,501,791 Three Months Ended March 31, 2021 Noncontrolling Interests in Consolidated Entities and Other Noncontrolling Interests Held by KKR Holdings Total Noncontrolling Interests Balance at the beginning of the period $ 20,570,716 $ 6,512,382 $ 27,083,098 Net income (loss) attributable to noncontrolling interests (1) 1,241,877 1,003,654 2,245,531 Other comprehensive income (loss), net of tax (2) (581,154) (298,234) (879,388) Exchange of KKR Holdings Units to Common Stock (3) — (56,903) (56,903) Equity-based and other non-cash compensation 19,882 16,434 36,316 Capital contributions 4,009,967 25 4,009,992 Capital distributions (987,066) (40,768) (1,027,834) Impact of Acquisition (4) 190,405 — 190,405 Changes in consolidation (66,488) — (66,488) Balance at the end of the period $ 24,398,139 $ 7,136,590 $ 31,534,729 (1) Refer to the table below for calculation of net income (loss) attributable to noncontrolling interests held by KKR Holdings. (2) With respect to noncontrolling interests held by KKR Holdings, calculated on a pro rata basis based on the weighted average KKR Group Partnership Units held by KKR Holdings during the reporting period. (3) Calculated based on the proportion of KKR Holdings units exchanged for KKR & Co. Inc. common stock. The exchange agreement with KKR Holdings provides for the exchange of KKR Group Partnership Units held by KKR Holdings for KKR & Co. Inc. common stock. |
Schedule of net income (loss) attributable to noncontrolling interests held by KKR Holdings | The following table presents net income (loss) attributable to noncontrolling interests held by KKR Holdings: Three Months Ended March 31, 2022 2021 Net income (loss) $ 1,102,602 $ 3,915,367 (-) Net income (loss) attributable to Redeemable Noncontrolling Interests (63) — (-) Net income (loss) attributable to Noncontrolling Interests in consolidated entities and other 1,206,337 1,241,877 (-) Series A and B Preferred Stock Dividends — 8,341 (-) Series C Mandatory Convertible Preferred Stock Dividends 17,250 17,250 (+) Income tax expense (benefit) attributable to KKR & Co. Inc. (34,144) 462,930 Net income (loss) attributable to KKR & Co. Inc. $ (155,066) $ 3,110,829 Net income (loss) attributable to Noncontrolling Interests held by KKR Holdings $ (47,152) $ 1,003,654 |
ORGANIZATION - Narrative (Detai
ORGANIZATION - Narrative (Details) - shares | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Subsidiary of Limited Liability Company or Limited Partnership [Line Items] | ||
Stock excluded from earnings per share calculation (in shares) | 258,726,163 | 274,748,078 |
Reorganization Shares | ||
Subsidiary of Limited Liability Company or Limited Partnership [Line Items] | ||
Stock excluded from earnings per share calculation (in shares) | 8,500,000 | |
KKR Group Partnership | ||
Subsidiary of Limited Liability Company or Limited Partnership [Line Items] | ||
Percentage of economic interest held by parent entity | 69.40% |
REVENUES - ASSET MANAGEMENT (De
REVENUES - ASSET MANAGEMENT (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Advisory, Investment Management, Capital Markets and Other Services Fees [Line Items] | ||
Total Revenues - Asset Management | $ 1,004,017 | $ 4,563,006 |
Asset Management | ||
Advisory, Investment Management, Capital Markets and Other Services Fees [Line Items] | ||
Revenue from contract with customer (expense reimbursements) | 780,511 | 493,311 |
Carried Interest | (783,688) | 2,140,426 |
General Partner Capital Interest | (162,055) | 544,221 |
Capital Allocation-Based Income (Loss) | (945,743) | 2,684,647 |
Total Revenues - Asset Management | (165,232) | 3,177,958 |
Management Fees | Asset Management | ||
Advisory, Investment Management, Capital Markets and Other Services Fees [Line Items] | ||
Revenue from contract with customer (expense reimbursements) | 398,046 | 276,181 |
Fee Credits | Asset Management | ||
Advisory, Investment Management, Capital Markets and Other Services Fees [Line Items] | ||
Revenue from contract with customer (expense reimbursements) | (187,745) | (35,398) |
Transaction Fees | Asset Management | ||
Advisory, Investment Management, Capital Markets and Other Services Fees [Line Items] | ||
Revenue from contract with customer (expense reimbursements) | 466,966 | 165,893 |
Monitoring Fees | Asset Management | ||
Advisory, Investment Management, Capital Markets and Other Services Fees [Line Items] | ||
Revenue from contract with customer (expense reimbursements) | 39,400 | 35,388 |
Incentive Fees | Asset Management | ||
Advisory, Investment Management, Capital Markets and Other Services Fees [Line Items] | ||
Revenue from contract with customer (expense reimbursements) | 7,057 | 3,438 |
Expense Reimbursements | Asset Management | ||
Advisory, Investment Management, Capital Markets and Other Services Fees [Line Items] | ||
Revenue from contract with customer (expense reimbursements) | 41,303 | 27,729 |
Consulting Fees | Asset Management | ||
Advisory, Investment Management, Capital Markets and Other Services Fees [Line Items] | ||
Revenue from contract with customer (expense reimbursements) | $ 15,484 | $ 20,080 |
ACQUISITIONS - Additional Infor
ACQUISITIONS - Additional Information (Details) $ in Thousands, ¥ in Billions | Mar. 17, 2022JPY (¥) | Mar. 17, 2022USD ($) | Feb. 01, 2021USD ($)statelicense | Mar. 31, 2022USD ($) | Jun. 30, 2021USD ($) |
Mitsubishi Corp-UBS Realty Inc | |||||
Business Acquisition [Line Items] | |||||
Cash Consideration paid by KKR | ¥ 230 | $ 1,800,000 | |||
Global Atlantic | |||||
Business Acquisition [Line Items] | |||||
Cash Consideration paid by KKR | $ 2,914,455 | ||||
Equity interest acquired | 61.10% | 61.50% | |||
Total purchase price | $ 4,738,694 | ||||
Adjustment to consideration transferred | $ 58,000 | ||||
Goodwill | $ 497,053 | ||||
Adjustment to distribution agreements | 50,000 | ||||
Adjustment to policy liabilities | 63,000 | ||||
Adjustment to investments | 25,000 | ||||
Adjustment to goodwill | 46,000 | ||||
Revenues since acquisition date | $ 1,400,000 | ||||
Net income since acquisition date | $ (203,900) | ||||
Global Atlantic | Licensing Agreements | |||||
Business Acquisition [Line Items] | |||||
Number of insurance licenses | license | 52 | ||||
Number of states encompassing insurance licenses | state | 50 | ||||
Global Atlantic | Minimum | Unlevered Discount Rate | |||||
Business Acquisition [Line Items] | |||||
Policy liabilities, measurement input | 0.11 | ||||
Global Atlantic | Maximum | Unlevered Discount Rate | |||||
Business Acquisition [Line Items] | |||||
Policy liabilities, measurement input | 0.15 | ||||
Global Atlantic | KKR | |||||
Business Acquisition [Line Items] | |||||
Adjustment to consideration transferred | 55,000 | ||||
Global Atlantic | GA Co-Investors | |||||
Business Acquisition [Line Items] | |||||
Adjustment to consideration transferred | $ 3,000 |
ACQUISITIONS - Purchase Price (
ACQUISITIONS - Purchase Price (Details) - Global Atlantic $ in Thousands | Feb. 01, 2021USD ($) |
Business Acquisition [Line Items] | |
Cash consideration paid by KKR | $ 2,914,455 |
GA Co-Investors and GA Rollover Investors | 1,824,239 |
Total purchase price | $ 4,738,694 |
ACQUISITIONS - Assets Acquired,
ACQUISITIONS - Assets Acquired, Liabilities Assumed and Resulting Goodwill (Details) - Global Atlantic $ in Thousands | Feb. 01, 2021USD ($) |
Business Acquisition [Line Items] | |
Cash Consideration paid by KKR | $ 2,914,455 |
GA Rollover Investors | 4,738,694 |
Settlement of pre-existing relationships | (60,200) |
Total Consideration Transferred | 4,678,494 |
Recognized Amounts of Identifiable Assets Acquired and Liabilities Assumed: | |
Cash, Cash Equivalents and Restricted Cash | 3,358,772 |
Investments | 99,544,755 |
Reinsurance Recoverable | 15,753,030 |
Insurance Intangible Assets | 1,024,520 |
Other Assets(3) | 3,325,652 |
Separate Account Assets | 5,371,060 |
Policy Liabilities | (100,374,765) |
Debt Obligations | (1,450,920) |
Funds Withheld Payable at Interest | (13,800,969) |
Accrued Expenses and Other Liabilities | (2,735,811) |
Reinsurance Liabilities | (180,573) |
Separate Account Liabilities | (5,371,060) |
Total Identifiable Net Assets | 4,463,691 |
Goodwill | 497,053 |
Deferred tax assets | 1,000,000 |
GA Co-Investors | |
Business Acquisition [Line Items] | |
Cash Consideration paid by KKR | 978,296 |
GA Rollover Investors | |
Business Acquisition [Line Items] | |
GA Rollover Investors | 845,943 |
Redeemable Noncontrolling Interest | |
Recognized Amounts of Identifiable Assets Acquired and Liabilities Assumed: | |
Redeemable non-controlling interests | (91,845) |
Other Non-controlling interests | |
Recognized Amounts of Identifiable Assets Acquired and Liabilities Assumed: | |
Other Noncontrolling interests | $ (190,405) |
ACQUISITIONS - Intangible Asset
ACQUISITIONS - Intangible Assets Acquired (Details) - Global Atlantic $ in Thousands | Feb. 01, 2021USD ($) |
Business Acquisition [Line Items] | |
State Insurance Licenses | $ 10,000 |
Total Identifiable Other Intangible Assets (included within Other Assets) | 310,000 |
VOBA | |
Business Acquisition [Line Items] | |
Finite-lived intangible assets | 1,024,520 |
Negative VOBA (included within Policy Liabilities) | (1,273,414) |
Finite-lived intangible assets (liabilities) | $ (248,894) |
Average Useful Life | 28 years 7 months 6 days |
Average Useful Life | 22 years 2 months 12 days |
VODA | |
Business Acquisition [Line Items] | |
Finite-lived intangible assets | $ 250,000 |
VODA | Minimum | |
Business Acquisition [Line Items] | |
Average Useful Life | 16 years |
VODA | Maximum | |
Business Acquisition [Line Items] | |
Average Useful Life | 21 years |
Trade Names | |
Business Acquisition [Line Items] | |
Finite-lived intangible assets | $ 50,000 |
Trade Names | Minimum | |
Business Acquisition [Line Items] | |
Average Useful Life | 15 years |
Trade Names | Maximum | |
Business Acquisition [Line Items] | |
Average Useful Life | 18 years |
ACQUISITIONS - Pro Forma Financ
ACQUISITIONS - Pro Forma Financial Information (Details) - Global Atlantic $ in Thousands | 3 Months Ended |
Mar. 31, 2022USD ($) | |
Business Acquisition [Line Items] | |
Total Revenues | $ 5,077,184 |
Net Income Attributable to KKR & Co. Inc. Common Stockholders | $ 1,738,106 |
NET GAINS (LOSSES) FROM INVES_3
NET GAINS (LOSSES) FROM INVESTMENT ACTIVITIES - ASSET MANAGEMENT (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Gain (Loss) on Securities [Line Items] | ||
Net Realized Gains (Losses) | $ 279,629 | $ 584,381 |
Net Unrealized Gains (Losses) | 634,632 | 2,111,819 |
Net Gains (Losses) From Investment Activities | 914,261 | 2,696,200 |
Private Equity | ||
Gain (Loss) on Securities [Line Items] | ||
Net Realized Gains (Losses) | 198,380 | 756,347 |
Net Unrealized Gains (Losses) | (265,326) | 794,318 |
Net Gains (Losses) From Investment Activities | (66,946) | 1,550,665 |
Credit | ||
Gain (Loss) on Securities [Line Items] | ||
Net Realized Gains (Losses) | (11,455) | 33,916 |
Net Unrealized Gains (Losses) | (188,974) | (4,509) |
Net Gains (Losses) From Investment Activities | (200,429) | 29,407 |
Investments of Consolidated CFEs | ||
Gain (Loss) on Securities [Line Items] | ||
Net Realized Gains (Losses) | 2,949 | (2,628) |
Net Unrealized Gains (Losses) | (269,548) | 128,143 |
Net Gains (Losses) From Investment Activities | (266,599) | 125,515 |
Real Assets | ||
Gain (Loss) on Securities [Line Items] | ||
Net Realized Gains (Losses) | (2,761) | 39,749 |
Net Unrealized Gains (Losses) | 1,297,270 | 234,398 |
Net Gains (Losses) From Investment Activities | 1,294,509 | 274,147 |
Equity Method - Other | ||
Gain (Loss) on Securities [Line Items] | ||
Net Realized Gains (Losses) | 14,284 | 5,187 |
Net Unrealized Gains (Losses) | (72,642) | 396,514 |
Net Gains (Losses) From Investment Activities | (58,358) | 401,701 |
Other Investments | ||
Gain (Loss) on Securities [Line Items] | ||
Net Realized Gains (Losses) | 1,743 | (226,899) |
Net Unrealized Gains (Losses) | (15,015) | 433,080 |
Net Gains (Losses) From Investment Activities | (13,272) | 206,181 |
Foreign Exchange Forward Contracts and Options | ||
Gain (Loss) on Securities [Line Items] | ||
Net Realized Gains (Losses) | 90,890 | (5,643) |
Net Unrealized Gains (Losses) | (147,007) | 15,192 |
Net Gains (Losses) From Investment Activities | (56,117) | 9,549 |
Securities Sold Short | ||
Gain (Loss) on Securities [Line Items] | ||
Net Realized Gains (Losses) | 36,082 | 50,623 |
Net Unrealized Gains (Losses) | 10,181 | 50,996 |
Net Gains (Losses) From Investment Activities | 46,263 | 101,619 |
Other Derivatives | ||
Gain (Loss) on Securities [Line Items] | ||
Net Realized Gains (Losses) | (12,005) | (30,521) |
Net Unrealized Gains (Losses) | 20,137 | 29,334 |
Net Gains (Losses) From Investment Activities | 8,132 | (1,187) |
Debt Obligations and Other | ||
Gain (Loss) on Securities [Line Items] | ||
Net Realized Gains (Losses) | (38,478) | (35,750) |
Net Unrealized Gains (Losses) | 265,556 | 34,353 |
Net Gains (Losses) From Investment Activities | $ 227,078 | $ (1,397) |
NET INVESTMENT INCOME - INSUR_3
NET INVESTMENT INCOME - INSURANCE (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Net Investment Income [Line Items] | ||
Gross investment income | $ 980,745 | $ 502,739 |
Net Investment Income | 812,605 | 444,781 |
Investment management and administration | ||
Net Investment Income [Line Items] | ||
Investment expenses | 113,131 | 33,946 |
Transportation and renewable energy asset depreciation and maintenance | ||
Net Investment Income [Line Items] | ||
Investment expenses | 53,953 | 23,509 |
Derivative Collateral And Repurchase Agreements | ||
Net Investment Income [Line Items] | ||
Investment expenses | 1,056 | 503 |
Fixed maturity securities – interest and other income | ||
Net Investment Income [Line Items] | ||
Gross investment income | 691,293 | 351,540 |
Mortgage and other loan receivables | ||
Net Investment Income [Line Items] | ||
Gross investment income | 324,141 | 122,466 |
Investments in transportation and other leased assets | ||
Net Investment Income [Line Items] | ||
Gross investment income | 67,679 | 36,743 |
Short-term and other investment income | ||
Net Investment Income [Line Items] | ||
Gross investment income | 20,697 | 5,113 |
Policy loans | ||
Net Investment Income [Line Items] | ||
Gross investment income | 7,911 | 1,847 |
Investments in real estate | ||
Net Investment Income [Line Items] | ||
Gross investment income | 3,903 | 1,084 |
Investments in renewable energy | ||
Net Investment Income [Line Items] | ||
Gross investment income | 25,218 | 796 |
Equity securities – dividends and other income | ||
Net Investment Income [Line Items] | ||
Gross investment income | 0 | (484) |
Income assumed from funds withheld receivable at interest | ||
Net Investment Income [Line Items] | ||
Gross investment income | 19,605 | 13,473 |
Income ceded to funds withheld payable at interest | ||
Net Investment Income [Line Items] | ||
Gross investment income | $ (179,702) | $ (29,839) |
NET INVESTMENT-RELATED GAINS _3
NET INVESTMENT-RELATED GAINS (LOSSES) - INSURANCE - Net Investment Income (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Net Investment Income [Line Items] | ||
Credit loss allowances on mortgage and other loan receivables | $ (26,085) | $ (183,641) |
Insurance | ||
Net Investment Income [Line Items] | ||
Realized gains (losses) on equity investments | 0 | 2,243 |
Realized gains (losses) on available-for-sale fixed maturity debt securities | (243,350) | (45,640) |
Credit loss allowances on available-for-sale securities | (10,602) | (21,351) |
Credit loss allowances on mortgage and other loan receivables | (26,085) | (183,641) |
Allowances on unfunded commitments | 6,790 | (14,609) |
Unrealized gains (losses) on fixed maturity securities classified as trading | (1,038,446) | (317,052) |
Unrealized gains (losses) on investments recognized under the fair-value option | (2,493) | (12,166) |
Unrealized gains (losses) on real estate investments recognized at fair value under investment company accounting | 77,692 | 0 |
Net gains (losses) on derivative instruments | 859,734 | 148,532 |
Other realized gains (losses) | 8,867 | (4,994) |
Net investment-related gains (losses) | (368,680) | (455,702) |
Insurance | Payable Portfolio Segment | ||
Net Investment Income [Line Items] | ||
Realized gains (losses) on funds withheld at interest, payable portfolio | (26,387) | (7,378) |
Insurance | Receivable Portfolio Segment | ||
Net Investment Income [Line Items] | ||
Realized gains (losses) on funds withheld at interest, payable portfolio | $ 25,600 | $ 354 |
NET INVESTMENT-RELATED GAINS _4
NET INVESTMENT-RELATED GAINS (LOSSES) - INSURANCE - Allowance for Credit Losses (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Debt Securities, Available-for-sale, Allowance for Credit Loss [Roll Forward] | ||
Balance, as of beginning of period | $ 88,133 | $ 120,895 |
Initial impairments for credit losses recognized on securities not previously impaired | 15,880 | 27,423 |
Initial credit loss allowance recognized on purchased credit deteriorated ("PCD") securities | 140 | 222 |
Accretion of initial credit loss allowance on PCD securities | 477 | 321 |
Reductions due to sales (or maturities, pay downs or prepayments) during the period of securities previously identified as credit impaired | (2,444) | (2,537) |
Net additions / reductions for securities previously impaired | (5,278) | (6,072) |
Balance, as of end of period | 96,908 | 140,252 |
Corporate | ||
Debt Securities, Available-for-sale, Allowance for Credit Loss [Roll Forward] | ||
Balance, as of beginning of period | 3,238 | 0 |
Initial impairments for credit losses recognized on securities not previously impaired | 122 | 0 |
Initial credit loss allowance recognized on purchased credit deteriorated ("PCD") securities | 0 | 0 |
Accretion of initial credit loss allowance on PCD securities | 0 | 0 |
Reductions due to sales (or maturities, pay downs or prepayments) during the period of securities previously identified as credit impaired | 0 | 0 |
Net additions / reductions for securities previously impaired | 1,640 | 0 |
Balance, as of end of period | 5,000 | 0 |
Structured | ||
Debt Securities, Available-for-sale, Allowance for Credit Loss [Roll Forward] | ||
Balance, as of beginning of period | 84,895 | 120,895 |
Initial impairments for credit losses recognized on securities not previously impaired | 15,758 | 27,423 |
Initial credit loss allowance recognized on purchased credit deteriorated ("PCD") securities | 140 | 222 |
Accretion of initial credit loss allowance on PCD securities | 477 | 321 |
Reductions due to sales (or maturities, pay downs or prepayments) during the period of securities previously identified as credit impaired | (2,444) | (2,537) |
Net additions / reductions for securities previously impaired | (6,918) | (6,072) |
Balance, as of end of period | $ 91,908 | $ 140,252 |
NET INVESTMENT-RELATED GAINS _5
NET INVESTMENT-RELATED GAINS (LOSSES) - INSURANCE - Allowance for Credit Losses, Receivables (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||
Balance, beginning of period | $ 374,077 | $ 120,259 |
Net provision (release) | 26,085 | 183,641 |
Balance, end of period | 400,162 | 303,900 |
Commercial mortgage loans | ||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||
Balance, beginning of period | 65,970 | 58,203 |
Net provision (release) | 15,566 | 21,853 |
Balance, end of period | 81,536 | 80,056 |
Residential mortgage loans | ||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||
Balance, beginning of period | 72,082 | 62,056 |
Net provision (release) | 15,501 | 16,683 |
Balance, end of period | 87,583 | 78,739 |
Consumer and other loan receivables | ||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||
Balance, beginning of period | 236,025 | 0 |
Net provision (release) | (4,982) | 145,105 |
Balance, end of period | $ 231,043 | $ 145,105 |
NET INVESTMENT-RELATED GAINS _6
NET INVESTMENT-RELATED GAINS (LOSSES) - INSURANCE - Sales (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
AFS fixed maturity securities: | ||
Proceeds from voluntary sales | $ 6,128,285 | $ 1,903,120 |
Gross gains | 8,942 | 4,776 |
Gross losses | $ (245,871) | $ (50,972) |
INVESTMENTS - Summary of Invest
INVESTMENTS - Summary of Investments (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 | Mar. 31, 2021 | Dec. 31, 2020 |
Schedule of Investments [Line Items] | ||||
Total investments | $ 211,570,351 | $ 212,539,189 | ||
Cost or amortized cost | 69,142,293 | 69,519,496 | ||
Allowance for credit losses | 96,908 | 88,133 | $ 140,252 | $ 120,895 |
Asset Management | ||||
Schedule of Investments [Line Items] | ||||
Total investments | 88,770,480 | 88,775,514 | ||
Insurance | ||||
Schedule of Investments [Line Items] | ||||
Total investments | 122,799,871 | 123,763,675 | ||
Private Equity | Asset Management | ||||
Schedule of Investments [Line Items] | ||||
Total investments | 26,180,914 | 25,685,750 | ||
Credit | Asset Management | ||||
Schedule of Investments [Line Items] | ||||
Total investments | 6,821,730 | 7,949,573 | ||
Investments of Consolidated CFEs | Asset Management | ||||
Schedule of Investments [Line Items] | ||||
Total investments | 22,014,866 | 22,076,809 | ||
Real Assets | Asset Management | ||||
Schedule of Investments [Line Items] | ||||
Total investments | 14,788,831 | 12,500,749 | ||
Equity Method - Other | Asset Management | ||||
Schedule of Investments [Line Items] | ||||
Total investments | 4,667,571 | 4,877,592 | ||
Equity Method - Capital Allocation-Based Income | Asset Management | ||||
Schedule of Investments [Line Items] | ||||
Total investments | 10,254,226 | 11,539,945 | ||
Other investments | Asset Management | ||||
Schedule of Investments [Line Items] | ||||
Total investments | 4,042,342 | 4,145,096 | ||
Other investments | Insurance | ||||
Schedule of Investments [Line Items] | ||||
Total investments | 10,150,075 | 8,208,566 | ||
Fixed maturity securities, available-for-sale, at fair value | Insurance | ||||
Schedule of Investments [Line Items] | ||||
Total investments | 64,243,697 | 68,870,886 | ||
Cost or amortized cost | 69,100,000 | 69,500,000 | ||
Allowance for credit losses | 96,900 | 88,100 | ||
Mortgage and other loan receivables | Insurance | ||||
Schedule of Investments [Line Items] | ||||
Total investments | 31,576,685 | 28,876,759 | ||
Fixed maturity securities, trading, at fair value | Insurance | ||||
Schedule of Investments [Line Items] | ||||
Total investments | 13,061,360 | 13,753,573 | ||
Amortized cost, trading securities | 14,200,000 | 13,900,000 | ||
Embedded derivative – funds withheld at interest | Insurance | ||||
Schedule of Investments [Line Items] | ||||
Total investments | 2,966,803 | 2,999,448 | ||
Policy loans | Insurance | ||||
Schedule of Investments [Line Items] | ||||
Total investments | 762,460 | 765,310 | ||
Equity securities at fair value | Insurance | ||||
Schedule of Investments [Line Items] | ||||
Total investments | $ 38,791 | $ 289,133 |
INVESTMENTS - Narrative (Detail
INVESTMENTS - Narrative (Details) $ in Thousands | Apr. 30, 2022USD ($) | Mar. 31, 2022USD ($)security | Dec. 31, 2021USD ($)security |
Schedule of Investments [Line Items] | |||
Gross unrealized losses on AFS fixed maturity securities | $ 4,947,966 | $ 973,850 | |
Securities in unrealized loss position | security | 814 | ||
Mortgage loans 90 days past due or in process of foreclosure | $ 213,100 | 202,700 | |
Loans that were delinquent more than 120 days or in default | 6,100 | 5,100 | |
Equity method investment | 1,200,000 | 1,200,000 | |
Equity method investment, maximum exposure to loss | 20,500 | 22,400 | |
Investment in common stock | 10,150,075 | 8,208,566 | |
FABN outstanding | 4,600,000 | 3,500,000 | |
FABN remaining capacity | 5,400,000 | 6,500,000 | |
Repurchase agreements, notional value | 810,500 | 300,400 | |
Repurchase agreements, fair value | 829,044 | 312,965 | |
Repurchase agreements, amortized cost | $ 915,000 | $ 317,000 | |
Global Atlantic | |||
Schedule of Investments [Line Items] | |||
Securities in unrealized loss position | security | 5,729 | 4,370 | |
Subsequent Event | |||
Schedule of Investments [Line Items] | |||
Funding Agreement, Additional Amount Issued | $ 900,000 | ||
State And Governmental Authorities | |||
Schedule of Investments [Line Items] | |||
Investment in common stock | $ 184,000 | $ 182,600 | |
Investments, amortized cost | 165,600 | 180,800 | |
Investment, Fair Value Option | |||
Schedule of Investments [Line Items] | |||
Investment in common stock | 174,900 | 147,800 | |
Mortgage loans | |||
Schedule of Investments [Line Items] | |||
Mortgage loans, non-income producing | $ 213,100 | $ 202,700 | |
Loans granted forbearance due to COVID-19 | 1.00% | 1.00% | |
Residential mortgage loans | |||
Schedule of Investments [Line Items] | |||
Weighted average loan-to-value ratio | 66.00% | 68.00% | |
Below Investment Grade | |||
Schedule of Investments [Line Items] | |||
Gross unrealized losses on AFS fixed maturity securities | $ 219,400 | $ 77,000 | |
Gross unrealized losses on AFS fixed maturity securities, single largest loss | $ 27,200 | $ 7,300 | |
Investments | Investment Concentration Risk | |||
Schedule of Investments [Line Items] | |||
Threshold percentage of total investments (greater than) | 5.00% | 5.00% |
INVESTMENTS - AFS Fixed Maturit
INVESTMENTS - AFS Fixed Maturity Securities (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2022 | Dec. 31, 2021 | Mar. 31, 2021 | Dec. 31, 2020 | |
Debt Securities, Available-for-sale [Line Items] | ||||
Cost or amortized cost | $ 69,142,293 | $ 69,519,496 | ||
Allowance for Credit Losses | (96,908) | (88,133) | $ (140,252) | $ (120,895) |
Gross unrealized gains | 146,278 | 413,373 | ||
Gross unrealized losses | (4,947,966) | (973,850) | ||
Fair value | 64,243,697 | 68,870,886 | ||
Allowance for credit losses at acquisition | (38,500) | (46,400) | ||
U.S. government and agencies | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Cost or amortized cost | 528,130 | 785,144 | ||
Allowance for Credit Losses | 0 | 0 | ||
Gross unrealized gains | 475 | 4,171 | ||
Gross unrealized losses | (37,431) | (4,768) | ||
Fair value | 491,174 | 784,547 | ||
U.S. state, municipal and political subdivisions | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Cost or amortized cost | 5,330,590 | 5,122,651 | ||
Allowance for Credit Losses | 0 | 0 | ||
Gross unrealized gains | 2,677 | 42,286 | ||
Gross unrealized losses | (546,271) | (55,240) | ||
Fair value | 4,786,996 | 5,109,697 | ||
Corporate | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Cost or amortized cost | 40,541,267 | 41,433,757 | ||
Allowance for Credit Losses | (5,000) | (3,238) | $ 0 | $ 0 |
Gross unrealized gains | 43,940 | 190,516 | ||
Gross unrealized losses | (3,634,576) | (688,648) | ||
Fair value | 36,945,631 | 40,932,387 | ||
Residential mortgage-backed securities ("RMBS") | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Cost or amortized cost | 7,377,229 | 7,703,030 | ||
Allowance for Credit Losses | (50,060) | (50,975) | ||
Gross unrealized gains | 71,724 | 126,662 | ||
Gross unrealized losses | (235,551) | (113,359) | ||
Fair value | 7,163,342 | 7,665,358 | ||
Commercial mortgage-backed securities ("CMBS") | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Cost or amortized cost | 6,622,204 | 5,952,656 | ||
Allowance for Credit Losses | (6,442) | (282) | ||
Gross unrealized gains | 3,679 | 16,332 | ||
Gross unrealized losses | (289,380) | (56,523) | ||
Fair value | 6,330,061 | 5,912,183 | ||
Collateralized bond obligations ("CBOs") | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Cost or amortized cost | 3,089,089 | 3,111,620 | ||
Allowance for Credit Losses | (20,800) | (22,160) | ||
Gross unrealized gains | 2,807 | 6,862 | ||
Gross unrealized losses | (87,089) | (27,466) | ||
Fair value | 2,984,007 | 3,068,856 | ||
CLOs | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Cost or amortized cost | 2,685,279 | 2,985,098 | ||
Allowance for Credit Losses | (3,665) | (639) | ||
Gross unrealized gains | 1,009 | 6,554 | ||
Gross unrealized losses | (39,669) | (5,776) | ||
Fair value | 2,642,954 | 2,985,237 | ||
All other structured securities | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Cost or amortized cost | 2,968,505 | 2,425,540 | ||
Allowance for Credit Losses | (10,941) | (10,839) | ||
Gross unrealized gains | 19,967 | 19,990 | ||
Gross unrealized losses | (77,999) | (22,070) | ||
Fair value | $ 2,899,532 | $ 2,412,621 |
INVESTMENTS - Maturity Distribu
INVESTMENTS - Maturity Distribution for AFS Fixed Maturity Securities (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Cost or amortized cost (net of allowance) | ||
Due in one year or less | $ 850,975 | $ 871,340 |
Due after one year through five years | 8,531,656 | 9,256,449 |
Due after five years through ten years | 9,999,591 | 11,460,032 |
Due after ten years | 27,012,765 | 25,750,493 |
Subtotal | 46,394,987 | 47,338,314 |
Cost or amortized cost | 69,045,385 | 69,431,363 |
Fair value | ||
Due in one year or less | 844,911 | 869,287 |
Due after one year through five years | 8,218,579 | 9,171,707 |
Due after five years through ten years | 9,505,003 | 11,350,091 |
Due after ten years | 23,655,308 | 25,435,546 |
Subtotal | 42,223,801 | 46,826,631 |
Fair value | 64,243,697 | 68,870,886 |
Residential mortgage-backed securities ("RMBS") | ||
Cost or amortized cost (net of allowance) | ||
Without single maturity date | 7,327,169 | 7,652,055 |
Fair value | ||
Without single maturity date | 7,163,342 | 7,665,358 |
Fair value | 7,163,342 | 7,665,358 |
Commercial mortgage-backed securities ("CMBS") | ||
Cost or amortized cost (net of allowance) | ||
Without single maturity date | 6,615,762 | 5,952,374 |
Fair value | ||
Without single maturity date | 6,330,061 | 5,912,183 |
Fair value | 6,330,061 | 5,912,183 |
Collateralized bond obligations ("CBOs") | ||
Cost or amortized cost (net of allowance) | ||
Without single maturity date | 3,068,289 | 3,089,460 |
Fair value | ||
Without single maturity date | 2,984,007 | 3,068,856 |
Fair value | 2,984,007 | 3,068,856 |
CLOs | ||
Cost or amortized cost (net of allowance) | ||
Without single maturity date | 2,681,614 | 2,984,459 |
Fair value | ||
Without single maturity date | 2,642,954 | 2,985,237 |
Fair value | 2,642,954 | 2,985,237 |
All other structured securities | ||
Cost or amortized cost (net of allowance) | ||
Without single maturity date | 2,957,564 | 2,414,701 |
Fair value | ||
Without single maturity date | 2,899,532 | 2,412,621 |
Fair value | $ 2,899,532 | $ 2,412,621 |
INVESTMENTS - Purchased Credit
INVESTMENTS - Purchased Credit Deteriorated Securities (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | Dec. 31, 2021 | |
Debt Securities, Available-for-sale [Line Items] | |||
Allowance for credit losses at acquisition | $ 38,500 | $ 46,400 | |
Global Atlantic | |||
Debt Securities, Available-for-sale [Line Items] | |||
Purchase price of PCD securities acquired during the current period | 5,185 | $ 1,591,176 | |
Allowance for credit losses at acquisition | 140 | 121,117 | |
Discount (premium) attributable to other factors | 1,207 | 277,480 | |
Par value | $ 6,532 | $ 1,989,773 |
INVESTMENTS - AFS in Continuous
INVESTMENTS - AFS in Continuous Unrealized Loss Position (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months, Fair value | $ 48,098,184 | $ 44,775,045 |
Less than 12 months, Unrealized losses | (4,171,512) | (973,850) |
12 months or more, Fair value | 6,956,183 | 0 |
12 months or more, Unrealized losses | (776,454) | 0 |
Total, Fair value | 55,054,367 | 44,775,045 |
Total, Unrealized losses | (4,947,966) | (973,850) |
U.S. government and agencies | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months, Fair value | 296,069 | 311,096 |
Less than 12 months, Unrealized losses | (29,763) | (4,768) |
12 months or more, Fair value | 92,301 | 0 |
12 months or more, Unrealized losses | (7,668) | 0 |
Total, Fair value | 388,370 | 311,096 |
Total, Unrealized losses | (37,431) | (4,768) |
U.S. state, municipal and political subdivisions | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months, Fair value | 4,312,737 | 2,802,309 |
Less than 12 months, Unrealized losses | (512,738) | (55,240) |
12 months or more, Fair value | 252,147 | 0 |
12 months or more, Unrealized losses | (33,533) | 0 |
Total, Fair value | 4,564,884 | 2,802,309 |
Total, Unrealized losses | (546,271) | (55,240) |
Corporate | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months, Fair value | 27,551,887 | 30,385,514 |
Less than 12 months, Unrealized losses | (3,022,312) | (688,648) |
12 months or more, Fair value | 4,842,176 | 0 |
12 months or more, Unrealized losses | (612,264) | 0 |
Total, Fair value | 32,394,063 | 30,385,514 |
Total, Unrealized losses | (3,634,576) | (688,648) |
Residential mortgage-backed securities ("RMBS") | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months, Fair value | 3,997,811 | 3,196,876 |
Less than 12 months, Unrealized losses | (160,389) | (113,359) |
12 months or more, Fair value | 845,265 | 0 |
12 months or more, Unrealized losses | (75,162) | 0 |
Total, Fair value | 4,843,076 | 3,196,876 |
Total, Unrealized losses | (235,551) | (113,359) |
Commercial mortgage-backed securities ("CMBS") | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months, Fair value | 5,668,051 | 3,405,774 |
Less than 12 months, Unrealized losses | (273,082) | (56,523) |
12 months or more, Fair value | 202,155 | 0 |
12 months or more, Unrealized losses | (16,298) | 0 |
Total, Fair value | 5,870,206 | 3,405,774 |
Total, Unrealized losses | (289,380) | (56,523) |
Collateralized bond obligations ("CBOs") | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months, Fair value | 2,209,873 | 2,152,790 |
Less than 12 months, Unrealized losses | (65,789) | (27,466) |
12 months or more, Fair value | 507,754 | 0 |
12 months or more, Unrealized losses | (21,300) | 0 |
Total, Fair value | 2,717,627 | 2,152,790 |
Total, Unrealized losses | (87,089) | (27,466) |
CLOs | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months, Fair value | 2,259,867 | 1,172,330 |
Less than 12 months, Unrealized losses | (39,213) | (5,776) |
12 months or more, Fair value | 26,875 | 0 |
12 months or more, Unrealized losses | (456) | 0 |
Total, Fair value | 2,286,742 | 1,172,330 |
Total, Unrealized losses | (39,669) | (5,776) |
All other structured securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months, Fair value | 1,801,889 | 1,348,356 |
Less than 12 months, Unrealized losses | (68,226) | (22,070) |
12 months or more, Fair value | 187,510 | 0 |
12 months or more, Unrealized losses | (9,773) | 0 |
Total, Fair value | 1,989,399 | 1,348,356 |
Total, Unrealized losses | $ (77,999) | $ (22,070) |
INVESTMENTS - Mortgage and Othe
INVESTMENTS - Mortgage and Other Loans Receivable (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 | Mar. 31, 2021 | Dec. 31, 2020 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total mortgage and other loan receivables | $ 25,193,771 | $ 22,549,676 | ||
Allowance for credit losses | (400,162) | (374,077) | $ (303,900) | $ (120,259) |
Commercial mortgage loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total mortgage and other loan receivables | 15,489,750 | 13,824,772 | ||
Commercial mortgage loan, fair value option | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total mortgage and other loan receivables | 980,100 | 805,400 | ||
Total mortgage and other loan receivables, net of allowance for loan losses | 989,800 | 794,100 | ||
Residential mortgage loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total mortgage and other loan receivables | 9,704,021 | 8,724,904 | ||
Consumer loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total mortgage and other loan receivables | 6,137,735 | 5,617,925 | ||
Other loan receivables | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total mortgage and other loan receivables | 645,341 | 1,083,235 | ||
Loans collateralized by aircraft | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total mortgage and other loan receivables | 410,800 | 850,100 | ||
Related party loans, fair value option | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total mortgage and other loan receivables | 28,200 | 27,300 | ||
Total mortgage and other loan receivables, net of allowance for loan losses | 28,200 | 27,300 | ||
Mortgage and other loan receivables | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total mortgage and other loan receivables | 31,976,847 | 29,250,836 | ||
Allowance for credit losses | (400,162) | (374,077) | ||
Total mortgage and other loan receivables, net of allowance for loan losses | 31,576,685 | 28,876,759 | ||
Purchase-Credit Deteriorated Mortgage and Other Loan Receivables | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Allowance for credit losses | $ (85,100) | $ (77,900) |
INVESTMENTS - Maturity of Resid
INVESTMENTS - Maturity of Residential and Commercial Loans (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Remainder of 2022 | $ 1,299,153 | |
2023 | 1,321,356 | |
2024 | 2,543,073 | |
2025 | 1,280,732 | |
2026 | 3,785,821 | |
2027 | 2,689,507 | |
2028 and thereafter | 12,274,129 | |
Total | 25,193,771 | $ 22,549,676 |
Residential | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Remainder of 2022 | 299,047 | |
2023 | 127,475 | |
2024 | 832,243 | |
2025 | 17,770 | |
2026 | 699,076 | |
2027 | 118,413 | |
2028 and thereafter | 7,609,997 | |
Total | 9,704,021 | 8,724,904 |
Commercial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Remainder of 2022 | 1,000,106 | |
2023 | 1,193,881 | |
2024 | 1,710,830 | |
2025 | 1,262,962 | |
2026 | 3,086,745 | |
2027 | 2,571,094 | |
2028 and thereafter | 4,664,132 | |
Total | $ 15,489,750 | $ 13,824,772 |
INVESTMENTS - Mortgage Loan Por
INVESTMENTS - Mortgage Loan Portfolio (Details) - Mortgage loans - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans | $ 25,193,771 | $ 22,549,676 |
Residential | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans | 9,704,021 | 8,724,904 |
Office building | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans | 4,570,721 | 4,185,146 |
Apartment | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans | 7,240,838 | 6,194,819 |
Industrial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans | 2,002,947 | 1,981,713 |
Retail | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans | 723,329 | 780,071 |
Other property types | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans | 753,879 | 483,560 |
Warehouse | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans | 198,036 | 199,463 |
Pacific | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans | 7,313,819 | 6,675,064 |
West South Central | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans | 2,957,751 | 2,675,890 |
South Atlantic | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans | 6,057,624 | 4,996,043 |
Middle Atlantic | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans | 3,377,082 | 3,142,973 |
East North Central | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans | 1,143,793 | 590,911 |
Mountain | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans | 2,257,201 | 1,957,099 |
New England | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans | 1,114,162 | 1,099,157 |
East South Central | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans | 577,278 | 1,035,764 |
West North Central | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans | 335,757 | 350,546 |
Other regions | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Mortgage loans | $ 59,304 | $ 26,229 |
INVESTMENTS - PCD Loans (Detail
INVESTMENTS - PCD Loans (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2021USD ($) | |
Equity Method Investments and Joint Ventures [Abstract] | |
Purchase price of PCD loans acquired during the current period | $ 3,694,867 |
Allowance for credit losses at acquisition | 120,259 |
Discount (premium) attributable to other factors | (146,694) |
Par value | $ 3,668,432 |
INVESTMENTS - Receivables By Cr
INVESTMENTS - Receivables By Credit Quality Indicator (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | $ 2,087,790 | $ 11,371,699 |
2021 | 12,394,199 | 2,574,254 |
2020 | 2,667,497 | 2,305,471 |
2019 | 2,139,320 | 1,501,701 |
2018 | 1,331,754 | 883,763 |
Prior | 4,573,211 | 3,912,788 |
Total | 25,193,771 | 22,549,676 |
Commercial mortgage loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 1,868,657 | 6,831,655 |
2021 | 6,951,312 | 976,369 |
2020 | 948,847 | 1,883,908 |
2019 | 1,751,631 | 1,373,865 |
2018 | 1,305,089 | 817,954 |
Prior | 2,664,214 | 1,941,021 |
Total | 15,489,750 | 13,824,772 |
Commercial mortgage loans | Current | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 1,868,657 | 6,831,655 |
2021 | 6,951,312 | 976,369 |
2020 | 948,847 | 1,883,908 |
2019 | 1,751,631 | 1,373,865 |
2018 | 1,305,089 | 817,954 |
Prior | 2,664,214 | 1,941,021 |
Total | 15,489,750 | 13,824,772 |
Commercial mortgage loans | 30 to 59 days past due | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | 0 |
2021 | 0 | 0 |
2020 | 0 | 0 |
2019 | 0 | 0 |
2018 | 0 | 0 |
Prior | 0 | 0 |
Total | 0 | 0 |
Commercial mortgage loans | 60 to 89 days past due | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | 0 |
2021 | 0 | 0 |
2020 | 0 | 0 |
2019 | 0 | 0 |
2018 | 0 | 0 |
Prior | 0 | 0 |
Total | 0 | 0 |
Commercial mortgage loans | Over 90 days past due | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | 0 |
2021 | 0 | 0 |
2020 | 0 | 0 |
2019 | 0 | 0 |
2018 | 0 | 0 |
Prior | 0 | 0 |
Total | 0 | 0 |
Residential mortgage loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 219,133 | 4,540,044 |
2021 | 5,442,887 | 1,597,885 |
2020 | 1,718,650 | 421,563 |
2019 | 387,689 | 127,836 |
2018 | 26,665 | 65,809 |
Prior | 1,908,997 | 1,971,767 |
Total | 9,704,021 | 8,724,904 |
Residential mortgage loans | Current | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 219,133 | 4,505,537 |
2021 | 5,336,585 | 1,576,342 |
2020 | 1,686,516 | 393,153 |
2019 | 357,644 | 123,995 |
2018 | 22,359 | 65,070 |
Prior | 1,621,706 | 1,711,156 |
Total | 9,243,943 | 8,375,253 |
Residential mortgage loans | 30 to 59 days past due | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | 24,955 |
2021 | 74,146 | 6,028 |
2020 | 12,931 | 5,818 |
2019 | 13,197 | 1,155 |
2018 | 1,025 | 739 |
Prior | 90,602 | 75,104 |
Total | 191,901 | 113,799 |
Residential mortgage loans | 60 to 89 days past due | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | 4,247 |
2021 | 20,935 | 1,243 |
2020 | 2,507 | 607 |
2019 | 1,294 | 0 |
2018 | 544 | 0 |
Prior | 29,774 | 27,028 |
Total | 55,054 | 33,125 |
Residential mortgage loans | Over 90 days past due | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | 5,305 |
2021 | 11,221 | 14,272 |
2020 | 16,696 | 21,985 |
2019 | 15,554 | 2,686 |
2018 | 2,737 | 0 |
Prior | 166,915 | 158,479 |
Total | 213,123 | 202,727 |
Consumer loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 6,137,735 | 5,617,925 |
Consumer loans | Current | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 6,043,214 | 5,556,923 |
Consumer loans | 30 to 59 days past due | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 54,012 | 34,048 |
Consumer loans | 60 to 89 days past due | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | 23,937 | 16,817 |
Consumer loans | Over 90 days past due | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | $ 16,572 | $ 10,137 |
INVESTMENTS - Loan-To-Value (De
INVESTMENTS - Loan-To-Value (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | $ 2,087,790 | $ 11,371,699 |
2021 | 12,394,199 | 2,574,254 |
2020 | 2,667,497 | 2,305,471 |
2019 | 2,139,320 | 1,501,701 |
2018 | 1,331,754 | 883,763 |
Total | 25,193,771 | 22,549,676 |
Commercial mortgage loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 1,868,657 | 6,831,655 |
2021 | 6,951,312 | 976,369 |
2020 | 948,847 | 1,883,908 |
2019 | 1,751,631 | 1,373,865 |
2018 | 1,305,089 | 817,954 |
2017 | 812,288 | 428,366 |
Prior | 1,851,926 | 1,512,655 |
Total | 15,489,750 | 13,824,772 |
Carrying value loan-to-value 70% and less | Commercial mortgage loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 1,716,958 | 4,910,170 |
2021 | 4,965,273 | 819,406 |
2020 | 788,984 | 1,747,656 |
2019 | 1,615,931 | 1,324,807 |
2018 | 1,256,207 | 772,989 |
2017 | 767,459 | 425,926 |
Prior | 1,848,431 | 1,497,503 |
Total | 12,959,243 | 11,498,457 |
Carrying value loan-to-value 71% - 90% | Commercial mortgage loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 151,699 | 1,921,485 |
2021 | 1,986,039 | 121,997 |
2020 | 124,861 | 136,252 |
2019 | 135,700 | 49,058 |
2018 | 48,882 | 44,965 |
2017 | 44,829 | 2,440 |
Prior | 3,495 | 15,152 |
Total | 2,495,505 | 2,291,349 |
Carrying value loan-to-value over 90% | Commercial mortgage loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | 0 |
2021 | 0 | 34,966 |
2020 | 35,002 | 0 |
2019 | 0 | 0 |
2018 | 0 | 0 |
2017 | 0 | 0 |
Prior | 0 | 0 |
Total | $ 35,002 | $ 34,966 |
INVESTMENTS - Other Investments
INVESTMENTS - Other Investments (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Schedule of Investments [Line Items] | ||
Investment in common stock | $ 10,150,075 | $ 8,208,566 |
Investments in real estate | ||
Schedule of Investments [Line Items] | ||
Investment in common stock | 3,564,803 | 1,564,853 |
Investments in renewable energy | ||
Schedule of Investments [Line Items] | ||
Investment in common stock | 3,510,579 | 3,573,811 |
Accumulated depreciation | 177,900 | 156,800 |
Investments in transportation and other leased assets | ||
Schedule of Investments [Line Items] | ||
Investment in common stock | 2,638,884 | 2,663,759 |
Accumulated depreciation | 137,500 | 105,100 |
Other investment partnerships | ||
Schedule of Investments [Line Items] | ||
Investment in common stock | 250,796 | 234,301 |
FHLB common stock and other investments | ||
Schedule of Investments [Line Items] | ||
Investment in common stock | $ 185,013 | $ 171,842 |
INVESTMENTS - FHLB (Details)
INVESTMENTS - FHLB (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Schedule of Investments [Line Items] | ||
Investment in common stock | $ 10,150,075 | $ 8,208,566 |
Investment in FHLB | ||
Schedule of Investments [Line Items] | ||
Investment in common stock | 137,760 | 137,760 |
Funding agreements issued to FHLB member banks | 2,562,684 | 2,566,410 |
Collateral | 4,103,280 | 4,135,612 |
FHLB Indianapolis | Investment in FHLB | ||
Schedule of Investments [Line Items] | ||
Investment in common stock | 80,640 | 80,640 |
Funding agreements issued to FHLB member banks | 1,616,408 | 1,619,765 |
Collateral | 2,584,557 | 2,577,698 |
FHLB Des Moines | Investment in FHLB | ||
Schedule of Investments [Line Items] | ||
Investment in common stock | 34,600 | 34,600 |
Funding agreements issued to FHLB member banks | 620,901 | 620,006 |
Collateral | 1,036,313 | 1,004,530 |
FHLB Boston | Investment in FHLB | ||
Schedule of Investments [Line Items] | ||
Investment in common stock | 22,520 | 22,520 |
Funding agreements issued to FHLB member banks | 325,375 | 326,639 |
Collateral | $ 482,410 | $ 553,384 |
INVESTMENTS - Repurchase Agreem
INVESTMENTS - Repurchase Agreements (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Schedule of Investments [Line Items] | ||
Total | $ 829,044 | $ 312,965 |
Corporate Securities | ||
Schedule of Investments [Line Items] | ||
Total | 829,044 | 312,965 |
Overnight | ||
Schedule of Investments [Line Items] | ||
Total | 0 | 0 |
Overnight | Corporate Securities | ||
Schedule of Investments [Line Items] | ||
Total | 0 | 0 |
Less than 30 days | ||
Schedule of Investments [Line Items] | ||
Total | 519,752 | 0 |
Less than 30 days | Corporate Securities | ||
Schedule of Investments [Line Items] | ||
Total | 519,752 | 0 |
30 - 90 Days | ||
Schedule of Investments [Line Items] | ||
Total | 0 | 0 |
30 - 90 Days | Corporate Securities | ||
Schedule of Investments [Line Items] | ||
Total | 0 | 0 |
Greater than 90 days | ||
Schedule of Investments [Line Items] | ||
Total | 309,292 | 312,965 |
Greater than 90 days | Corporate Securities | ||
Schedule of Investments [Line Items] | ||
Total | $ 309,292 | $ 312,965 |
DERIVATIVES - Narrative (Detail
DERIVATIVES - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2022 | Dec. 31, 2021 | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Restricted cash held with open derivative transactions with exchange brokers | $ 363,700 | $ 151,100 |
Interest Rate Swap | Global Atlantic Senior Notes Due 2029 | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Gross amount recognized | 436,868 | 473,890 |
Interest Rate Swap | Global Atlantic Senior Notes due 2031 | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Gross amount recognized | 608,561 | 644,439 |
Interest Rate Swap | Debt And Lease Obligation | Global Atlantic Senior Notes Due 2029 | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Gross amount recognized | 500,000 | |
Interest Rate Swap | Debt And Lease Obligation | Global Atlantic Senior Notes due 2031 | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Gross amount recognized | 650,000 | |
Bond Forward | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
AOCI (loss) gain | (48,100) | $ 9,400 |
Securities purchased | $ 2,900 |
DERIVATIVES - Gain (Loss) on De
DERIVATIVES - Gain (Loss) on Derivatives and Related Hedges (Details) - Interest Rate Swap - USD ($) | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Global Atlantic Senior Notes Due 2029 | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivatives | $ (29,121,000) | $ (26,379,000) |
Hedged items | 29,121,000 | 26,379,000 |
Net | 0 | 0 |
Global Atlantic Senior Notes due 2031 | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivatives | (41,439,000) | |
Hedged items | 41,439,000 | |
Net | 0 | |
FHLB Funding Agreement Liabilities | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivatives | (18,791,000) | (5,325,000) |
Hedged items | 18,791,000 | 5,325,000 |
Net | 0 | $ 0 |
FABN Liabilities | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivatives | (102,583,000) | |
Hedged items | 102,583,000 | |
Net | $ 0 |
DERIVATIVES - Carrying Value of
DERIVATIVES - Carrying Value of Instruments (Details) - Interest Rate Swap - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Global Atlantic Senior Notes Due 2029 | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Carrying value | $ 436,868 | $ 473,890 |
Fair value of hedge adjustments | (29,121) | (18,808) |
Global Atlantic Senior Notes due 2031 | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Carrying value | 608,561 | 644,439 |
Fair value of hedge adjustments | (41,439) | (5,561) |
FHLB Funding Agreement Liabilities | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Carrying value | 1,038,085 | 1,070,770 |
Fair value of hedge adjustments | (18,791) | (16,092) |
FABN Liabilities | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Carrying value | 3,921,609 | 0 |
Fair value of hedge adjustments | $ (102,583) | $ 0 |
DERIVATIVES - Gains (Losses) on
DERIVATIVES - Gains (Losses) on Foreign Exchange Forwards (Details) - Foreign Exchange Contracts and Options - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Net gains (losses) on derivative instruments | $ 40,742 | $ 2,825 |
AOCI | 18,318 | 165 |
Amortization - excluded component | $ 3,544 | $ (839) |
DERIVATIVES - Derivative Assets
DERIVATIVES - Derivative Assets and Liabilities (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Derivative Assets | ||
Fair value derivative assets, including embedded derivative | $ 1,405,158 | $ 1,918,818 |
Derivative Liabilities | ||
Fair value derivative liabilities, including embedded derivative | 1,800,510 | 3,001,411 |
Asset Management | ||
Derivative Assets | ||
Gross amount recognized | 372,373 | 591,128 |
Derivative Liabilities | ||
Gross amount recognized | 267,952 | 364,514 |
Fair value derivative liabilities | 28,077 | 45,003 |
Asset Management | Foreign Exchange Contracts and Options, and Foreign currency contracts | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Notional Value | 5,891,394,106 | 12,822,521 |
Derivative Assets | ||
Gross amount recognized | 367,079 | 590,637 |
Derivative Liabilities | ||
Gross amount recognized | 239,875 | 319,511 |
Asset Management | Other Derivatives | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Notional Value | 98,851,905 | 505,725 |
Derivative Assets | ||
Gross amount recognized | 5,294 | 491 |
Derivative Liabilities | ||
Gross amount recognized | 28,077 | 45,003 |
Insurance | ||
Derivative Assets | ||
Gross amount recognized | 1,276,245 | 1,447,965 |
Impact of netting | (251,656) | (152,015) |
Fair value derivative assets | 1,024,589 | 1,295,950 |
Fair value derivative assets, including embedded derivative | 1,032,785 | 1,327,690 |
Derivative Liabilities | ||
Gross amount recognized | 713,858 | 297,178 |
Impact of netting | (251,656) | (152,015) |
Fair value derivative liabilities | 462,202 | 145,163 |
Fair value derivative liabilities, including embedded derivative | 1,532,558 | 2,636,897 |
Insurance | Indexed universal life | ||
Derivative Assets | ||
Embedded derivative | 0 | 0 |
Derivative Liabilities | ||
Embedded derivative | 512,015 | 557,276 |
Insurance | Fixed-rate annuity | ||
Derivative Assets | ||
Embedded derivative | 0 | 0 |
Derivative Liabilities | ||
Embedded derivative | 1,777,832 | 1,983,949 |
Insurance | Policy Liabilities | ||
Derivative Assets | ||
Embedded derivative | 0 | 0 |
Derivative Liabilities | ||
Embedded derivative | 2,289,847 | 2,541,225 |
Insurance | Embedded derivative – funds withheld at interest | ||
Derivative Assets | ||
Embedded derivative | 8,196 | 31,740 |
Derivative Liabilities | ||
Embedded derivative | (1,219,491) | (49,491) |
Insurance | Foreign Exchange Contracts and Options, and Foreign currency contracts | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Notional Value | 2,209,118 | 1,517,434 |
Derivative Assets | ||
Gross amount recognized | 47,866 | 32,464 |
Derivative Liabilities | ||
Gross amount recognized | 20,988 | 7,639 |
Insurance | Equity market contracts | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Notional Value | 129,988,065 | 31,294,053 |
Derivative Assets | ||
Gross amount recognized | 931,021 | 1,216,843 |
Derivative Liabilities | ||
Gross amount recognized | 181,694 | 186,754 |
Insurance | Interest rate contracts | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Notional Value | 11,794,558 | 16,692,035 |
Derivative Assets | ||
Gross amount recognized | 297,358 | 198,658 |
Derivative Liabilities | ||
Gross amount recognized | 509,816 | 101,245 |
Insurance | Credit risk contracts | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Notional Value | 113,133 | 107,754 |
Derivative Assets | ||
Gross amount recognized | 0 | 0 |
Derivative Liabilities | ||
Gross amount recognized | $ 1,360 | $ 1,540 |
DERIVATIVES - Derivative Gains
DERIVATIVES - Derivative Gains and Losses (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Derivative contracts not designated as hedges | Asset Management | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative gains (losses) | $ (47,985) | $ 8,362 |
Derivative contracts not designated as hedges | Asset Management | Foreign Exchange Contracts and Options | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative gains (losses) | (56,117) | 9,549 |
Derivative contracts not designated as hedges | Asset Management | Other Derivatives | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative gains (losses) | 8,132 | (1,187) |
Derivative contracts not designated as hedges | Insurance | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative gains (losses) | 851,177 | 146,722 |
Derivative contracts not designated as hedges | Insurance | Funds withheld receivable embedded derivatives | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative gains (losses) | (33,980) | 55,883 |
Derivative contracts not designated as hedges | Insurance | Funds withheld payable embedded derivatives | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative gains (losses) | 1,180,435 | 313,230 |
Derivative contracts not designated as hedges | Insurance | Equity market contracts | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative gains (losses) | (223,366) | 104,021 |
Derivative contracts not designated as hedges | Insurance | Equity future contracts | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative gains (losses) | 79,796 | (69,583) |
Derivative contracts not designated as hedges | Insurance | Interest rate contracts | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative gains (losses) | (150,176) | (256,793) |
Derivative contracts not designated as hedges | Insurance | Credit risk contracts | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative gains (losses) | (1,532) | (36) |
Derivative contracts designated as hedges | Insurance | Gain (Loss) on Investments | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative gains (losses) | 8,557 | 1,810 |
Derivative contracts designated as hedges | Insurance | Policy Benefits and Claims | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative gains (losses) | (129,931) | (8,403) |
Derivative contracts designated as hedges | Insurance | Interest Expense | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative gains (losses) | (70,561) | (24,776) |
Derivative contracts designated as hedges | Insurance | Foreign Exchange Contracts and Options | Gain (Loss) on Investments | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative gains (losses) | 8,557 | 1,810 |
Derivative contracts designated as hedges | Insurance | Interest rate swap | Policy Benefits and Claims | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative gains (losses) | (129,931) | (8,403) |
Derivative contracts designated as hedges | Insurance | Interest rate swap | Interest Expense | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Derivative gains (losses) | $ (70,561) | $ (24,776) |
DERIVATIVES - Offsetting Assets
DERIVATIVES - Offsetting Assets and Liabilities (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Derivative assets (excluding embedded derivatives) | ||
Collateral (received) / pledged | $ (894,687) | $ (1,086,061) |
Net amount after collateral | 129,902 | 209,889 |
Derivative liabilities (excluding embedded derivatives) | ||
Collateral (received) / pledged | 79,070 | 49,860 |
Net amount after collateral | 383,132 | 95,303 |
Insurance | ||
Derivative assets (excluding embedded derivatives) | ||
Gross amount recognized | 1,276,245 | 1,447,965 |
Gross amounts offset in the statement of financial position | (251,656) | (152,015) |
Net amounts presented in the statement of financial condition | 1,024,589 | 1,295,950 |
Derivative liabilities (excluding embedded derivatives) | ||
Gross amount recognized | 713,858 | 297,178 |
Gross amounts offset in the statement of financial position | (251,656) | (152,015) |
Net amounts presented in the statement of financial condition | $ 462,202 | $ 145,163 |
FAIR VALUE MEASUREMENTS - Asset
FAIR VALUE MEASUREMENTS - Assets and Liabilities at Fair Value (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Assets, at fair value: | ||
AFS fixed maturity securities | $ 64,243,697 | $ 68,870,886 |
Other investments | 10,150,075 | 8,208,566 |
Asset Management | ||
Liabilities, at fair value | ||
Derivative liabilities | 28,077 | 45,003 |
Insurance | ||
Assets, at fair value: | ||
Net amounts presented in the statement of financial condition | 1,024,589 | 1,295,950 |
Reinsurance Recoverable | 24,639,148 | 25,062,256 |
Impact of netting | (251,656) | (152,015) |
Separate account assets | 5,069,742 | 5,586,428 |
Liabilities, at fair value | ||
Derivative liabilities | 462,202 | 145,163 |
Impact of netting | (251,656) | (152,015) |
Funds withheld payable at interest | 607,014 | 378,549 |
Insurance | Indexed universal life | ||
Liabilities, at fair value | ||
Embedded derivative | 512,015 | 557,276 |
Insurance | Fixed-rate annuity | ||
Liabilities, at fair value | ||
Embedded derivative | 1,777,832 | 1,983,949 |
U.S. government and agencies | ||
Assets, at fair value: | ||
AFS fixed maturity securities | 491,174 | 784,547 |
U.S. state, municipal and political subdivisions | ||
Assets, at fair value: | ||
AFS fixed maturity securities | 4,786,996 | 5,109,697 |
Corporate | ||
Assets, at fair value: | ||
AFS fixed maturity securities | 36,945,631 | 40,932,387 |
Level III | Asset Management | ||
Liabilities, at fair value | ||
Unfunded Revolver Commitments | 64,556 | |
Level III | Insurance | ||
Assets, at fair value: | ||
Funds withheld receivable at interest | 8,196 | |
Reinsurance Recoverable | 1,231,957 | |
Liabilities, at fair value | ||
Policy liabilities | 466,408 | |
Closed block policy liabilities | 1,269,991 | |
Funds withheld payable at interest | (1,219,491) | |
Level III | Insurance | Indexed universal life | ||
Liabilities, at fair value | ||
Embedded derivative | 512,015 | |
Level III | Insurance | Fixed-rate annuity | ||
Liabilities, at fair value | ||
Embedded derivative | 1,777,832 | |
Level III | Corporate | Insurance | ||
Assets, at fair value: | ||
Trading fixed maturity securities | 1,620,204 | |
Level III | Structured securities | Insurance | ||
Assets, at fair value: | ||
Trading fixed maturity securities | 134,475 | |
Fair value measured on recurring basis | ||
Assets, at fair value: | ||
Total Assets at Fair Value | 165,035,282 | 168,108,140 |
Liabilities, at fair value | ||
Total Liabilities at Fair Value | 24,950,799 | 26,455,832 |
Fair value measured on recurring basis | Asset Management | ||
Assets, at fair value: | ||
Total Investments | 75,356,485 | 73,959,492 |
Total Assets at Fair Value | 75,728,858 | 74,550,620 |
Liabilities, at fair value | ||
Securities Sold Short | 136,128 | 249,383 |
Unfunded Revolver Commitments | 64,556 | 64,276 |
Total Liabilities at Fair Value | 21,681,842 | 21,949,257 |
Fair value measured on recurring basis | Insurance | ||
Assets, at fair value: | ||
Net amounts presented in the statement of financial condition | 1,024,589 | 1,295,950 |
AFS fixed maturity securities | 64,243,697 | 68,870,886 |
Trading fixed maturity securities | 13,061,360 | 13,753,573 |
Equity securities | 38,791 | 289,133 |
Mortgage and other loan receivables | 1,007,906 | 832,674 |
Other investments | 3,620,186 | 1,603,345 |
Funds withheld receivable at interest | 8,196 | 31,740 |
Reinsurance Recoverable | 1,231,957 | 1,293,791 |
Impact of netting | (251,656) | (152,015) |
Separate account assets | 5,069,742 | 5,586,428 |
Total Assets at Fair Value | 89,306,424 | 93,557,520 |
Liabilities, at fair value | ||
Derivative liabilities | 462,202 | 145,163 |
Reinsurance liabilities | 557,276 | |
Impact of netting | (251,656) | (152,015) |
Total Liabilities at Fair Value | 3,268,957 | |
Policy liabilities | 466,408 | 519,454 |
Closed block policy liabilities | 1,269,991 | 1,350,224 |
Funds withheld payable at interest | (1,219,491) | (49,491) |
Fair value measured on recurring basis | Insurance | Indexed universal life | ||
Liabilities, at fair value | ||
Embedded derivative | 512,015 | 1,983,949 |
Fair value measured on recurring basis | Insurance | Fixed-rate annuity | ||
Liabilities, at fair value | ||
Embedded derivative | 1,777,832 | 4,506,575 |
Fair value measured on recurring basis | U.S. government and agencies | Insurance | ||
Assets, at fair value: | ||
AFS fixed maturity securities | 491,174 | 784,547 |
Trading fixed maturity securities | 392,194 | 623,632 |
Fair value measured on recurring basis | U.S. state, municipal and political subdivisions | Insurance | ||
Assets, at fair value: | ||
AFS fixed maturity securities | 4,786,996 | 5,109,697 |
Trading fixed maturity securities | 857,021 | 879,463 |
Fair value measured on recurring basis | Corporate | Insurance | ||
Assets, at fair value: | ||
AFS fixed maturity securities | 36,945,632 | 40,932,387 |
Trading fixed maturity securities | 8,288,441 | 9,051,947 |
Fair value measured on recurring basis | Structured securities | Insurance | ||
Assets, at fair value: | ||
AFS fixed maturity securities | 22,019,895 | 22,044,255 |
Trading fixed maturity securities | 3,523,704 | 3,198,531 |
Fair value measured on recurring basis | Debt Obligations of Consolidated CFEs | Asset Management | ||
Liabilities, at fair value | ||
Debt Obligations of Consolidated CFEs | 21,213,206 | 21,271,084 |
Fair value measured on recurring basis | Foreign Exchange Contracts and Options | Asset Management | ||
Assets, at fair value: | ||
Net amounts presented in the statement of financial condition | 367,079 | 590,637 |
Liabilities, at fair value | ||
Derivative liabilities | 239,875 | 319,511 |
Fair value measured on recurring basis | Other Derivatives | Asset Management | ||
Assets, at fair value: | ||
Net amounts presented in the statement of financial condition | 5,294 | 491 |
Liabilities, at fair value | ||
Derivative liabilities | 28,077 | 45,003 |
Fair value measured on recurring basis | Equity market contracts | Insurance | ||
Assets, at fair value: | ||
Net amounts presented in the statement of financial condition | 931,021 | 1,216,843 |
Liabilities, at fair value | ||
Derivative liabilities | 181,694 | 186,754 |
Fair value measured on recurring basis | Interest rate contracts | Insurance | ||
Assets, at fair value: | ||
Net amounts presented in the statement of financial condition | 297,358 | 198,658 |
Liabilities, at fair value | ||
Derivative liabilities | 509,816 | 101,245 |
Fair value measured on recurring basis | Foreign currency contracts | Insurance | ||
Assets, at fair value: | ||
Net amounts presented in the statement of financial condition | 47,866 | 32,464 |
Liabilities, at fair value | ||
Derivative liabilities | 20,988 | 7,639 |
Fair value measured on recurring basis | Credit contracts | Insurance | ||
Liabilities, at fair value | ||
Derivative liabilities | 1,360 | 1,540 |
Fair value measured on recurring basis | Private Equity | Asset Management | ||
Assets, at fair value: | ||
Total Investments | 26,180,914 | 25,685,750 |
Fair value measured on recurring basis | Credit | Asset Management | ||
Assets, at fair value: | ||
Total Investments | 6,821,730 | 7,949,573 |
Fair value measured on recurring basis | Investments of Consolidated CFEs | Asset Management | ||
Assets, at fair value: | ||
Total Investments | 22,014,866 | 22,076,809 |
Fair value measured on recurring basis | Real Assets | Asset Management | ||
Assets, at fair value: | ||
Total Investments | 14,788,831 | 12,500,749 |
Fair value measured on recurring basis | Equity Method - Other | Asset Management | ||
Assets, at fair value: | ||
Total Investments | 1,507,802 | 1,601,515 |
Fair value measured on recurring basis | Other Investments | Asset Management | ||
Assets, at fair value: | ||
Total Investments | 4,042,342 | 4,145,096 |
Fair value measured on recurring basis | Level I | ||
Assets, at fair value: | ||
Total Assets at Fair Value | 8,967,039 | 10,085,152 |
Liabilities, at fair value | ||
Total Liabilities at Fair Value | 233,757 | 271,737 |
Fair value measured on recurring basis | Level I | Asset Management | ||
Assets, at fair value: | ||
Total Investments | 3,297,381 | 3,285,443 |
Total Assets at Fair Value | 3,297,928 | 3,285,443 |
Liabilities, at fair value | ||
Securities Sold Short | 136,128 | 249,383 |
Unfunded Revolver Commitments | 0 | 0 |
Total Liabilities at Fair Value | 136,128 | 249,383 |
Fair value measured on recurring basis | Level I | Insurance | ||
Assets, at fair value: | ||
Net amounts presented in the statement of financial condition | 57,862 | 85,394 |
AFS fixed maturity securities | 301,899 | 500,325 |
Trading fixed maturity securities | 233,754 | 371,366 |
Equity securities | 5,854 | 256,196 |
Mortgage and other loan receivables | 0 | 0 |
Other investments | 0 | 0 |
Funds withheld receivable at interest | 0 | 0 |
Reinsurance Recoverable | 0 | 0 |
Impact of netting | (38,609) | (25,588) |
Separate account assets | 5,069,742 | 5,586,428 |
Total Assets at Fair Value | 5,669,111 | 6,799,709 |
Liabilities, at fair value | ||
Derivative liabilities | 97,629 | 22,354 |
Reinsurance liabilities | 0 | |
Impact of netting | (38,609) | (25,588) |
Total Liabilities at Fair Value | 97,629 | |
Policy liabilities | 0 | 0 |
Closed block policy liabilities | 0 | 0 |
Funds withheld payable at interest | 0 | 0 |
Fair value measured on recurring basis | Level I | Insurance | Indexed universal life | ||
Liabilities, at fair value | ||
Embedded derivative | 0 | 0 |
Fair value measured on recurring basis | Level I | Insurance | Fixed-rate annuity | ||
Liabilities, at fair value | ||
Embedded derivative | 0 | 22,354 |
Fair value measured on recurring basis | Level I | U.S. government and agencies | Insurance | ||
Assets, at fair value: | ||
AFS fixed maturity securities | 301,899 | 500,325 |
Trading fixed maturity securities | 233,754 | 371,366 |
Fair value measured on recurring basis | Level I | U.S. state, municipal and political subdivisions | Insurance | ||
Assets, at fair value: | ||
AFS fixed maturity securities | 0 | 0 |
Trading fixed maturity securities | 0 | 0 |
Fair value measured on recurring basis | Level I | Corporate | Insurance | ||
Assets, at fair value: | ||
AFS fixed maturity securities | 0 | 0 |
Trading fixed maturity securities | 0 | 0 |
Fair value measured on recurring basis | Level I | Structured securities | Insurance | ||
Assets, at fair value: | ||
AFS fixed maturity securities | 0 | 0 |
Trading fixed maturity securities | 0 | 0 |
Fair value measured on recurring basis | Level I | Debt Obligations of Consolidated CFEs | Asset Management | ||
Liabilities, at fair value | ||
Debt Obligations of Consolidated CFEs | 0 | 0 |
Fair value measured on recurring basis | Level I | Foreign Exchange Contracts and Options | Asset Management | ||
Assets, at fair value: | ||
Net amounts presented in the statement of financial condition | 0 | 0 |
Liabilities, at fair value | ||
Derivative liabilities | 0 | 0 |
Fair value measured on recurring basis | Level I | Other Derivatives | Asset Management | ||
Assets, at fair value: | ||
Net amounts presented in the statement of financial condition | 547 | 0 |
Liabilities, at fair value | ||
Derivative liabilities | 0 | 0 |
Fair value measured on recurring basis | Level I | Equity market contracts | Insurance | ||
Assets, at fair value: | ||
Net amounts presented in the statement of financial condition | 57,568 | 66,510 |
Liabilities, at fair value | ||
Derivative liabilities | 63,886 | 33,933 |
Fair value measured on recurring basis | Level I | Interest rate contracts | Insurance | ||
Assets, at fair value: | ||
Net amounts presented in the statement of financial condition | 38,903 | 44,472 |
Liabilities, at fair value | ||
Derivative liabilities | 72,352 | 14,009 |
Fair value measured on recurring basis | Level I | Foreign currency contracts | Insurance | ||
Assets, at fair value: | ||
Net amounts presented in the statement of financial condition | 0 | 0 |
Liabilities, at fair value | ||
Derivative liabilities | 0 | 0 |
Fair value measured on recurring basis | Level I | Credit contracts | Insurance | ||
Liabilities, at fair value | ||
Derivative liabilities | 0 | 0 |
Fair value measured on recurring basis | Level I | Private Equity | Asset Management | ||
Assets, at fair value: | ||
Total Investments | 1,906,139 | 2,044,380 |
Fair value measured on recurring basis | Level I | Credit | Asset Management | ||
Assets, at fair value: | ||
Total Investments | 0 | 0 |
Fair value measured on recurring basis | Level I | Investments of Consolidated CFEs | Asset Management | ||
Assets, at fair value: | ||
Total Investments | 0 | 0 |
Fair value measured on recurring basis | Level I | Real Assets | Asset Management | ||
Assets, at fair value: | ||
Total Investments | 0 | 0 |
Fair value measured on recurring basis | Level I | Equity Method - Other | Asset Management | ||
Assets, at fair value: | ||
Total Investments | 492,913 | 482,061 |
Fair value measured on recurring basis | Level I | Other Investments | Asset Management | ||
Assets, at fair value: | ||
Total Investments | 898,329 | 759,002 |
Fair value measured on recurring basis | Level II | ||
Assets, at fair value: | ||
Total Assets at Fair Value | 92,751,536 | 99,972,517 |
Liabilities, at fair value | ||
Total Liabilities at Fair Value | 21,845,731 | 21,758,407 |
Fair value measured on recurring basis | Level II | Asset Management | ||
Assets, at fair value: | ||
Total Investments | 25,333,282 | 25,881,404 |
Total Assets at Fair Value | 25,704,403 | 26,472,053 |
Liabilities, at fair value | ||
Securities Sold Short | 0 | 0 |
Unfunded Revolver Commitments | 0 | 0 |
Total Liabilities at Fair Value | 21,481,158 | 21,635,598 |
Fair value measured on recurring basis | Level II | Insurance | ||
Assets, at fair value: | ||
Net amounts presented in the statement of financial condition | 966,727 | 1,210,556 |
AFS fixed maturity securities | 54,589,064 | 59,891,500 |
Trading fixed maturity securities | 11,491,342 | 12,398,408 |
Equity securities | 0 | 0 |
Mortgage and other loan receivables | 0 | 0 |
Other investments | 0 | 0 |
Funds withheld receivable at interest | 0 | 0 |
Reinsurance Recoverable | 0 | 0 |
Impact of netting | (213,047) | (126,427) |
Separate account assets | 0 | 0 |
Total Assets at Fair Value | 67,047,133 | 73,500,464 |
Liabilities, at fair value | ||
Derivative liabilities | 364,573 | 122,809 |
Reinsurance liabilities | 0 | |
Impact of netting | (213,047) | (126,427) |
Total Liabilities at Fair Value | 364,573 | |
Policy liabilities | 0 | 0 |
Closed block policy liabilities | 0 | 0 |
Funds withheld payable at interest | 0 | 0 |
Fair value measured on recurring basis | Level II | Insurance | Indexed universal life | ||
Liabilities, at fair value | ||
Embedded derivative | 0 | 0 |
Fair value measured on recurring basis | Level II | Insurance | Fixed-rate annuity | ||
Liabilities, at fair value | ||
Embedded derivative | 0 | 122,809 |
Fair value measured on recurring basis | Level II | U.S. government and agencies | Insurance | ||
Assets, at fair value: | ||
AFS fixed maturity securities | 189,275 | 284,222 |
Trading fixed maturity securities | 158,440 | 252,266 |
Fair value measured on recurring basis | Level II | U.S. state, municipal and political subdivisions | Insurance | ||
Assets, at fair value: | ||
AFS fixed maturity securities | 4,786,996 | 5,109,697 |
Trading fixed maturity securities | 857,021 | 879,463 |
Fair value measured on recurring basis | Level II | Corporate | Insurance | ||
Assets, at fair value: | ||
AFS fixed maturity securities | 28,975,437 | 33,281,727 |
Trading fixed maturity securities | 7,582,756 | 8,486,922 |
Fair value measured on recurring basis | Level II | Structured securities | Insurance | ||
Assets, at fair value: | ||
AFS fixed maturity securities | 20,637,356 | 21,215,854 |
Trading fixed maturity securities | 2,893,125 | 2,779,757 |
Fair value measured on recurring basis | Level II | Debt Obligations of Consolidated CFEs | Asset Management | ||
Liabilities, at fair value | ||
Debt Obligations of Consolidated CFEs | 21,213,206 | 21,271,084 |
Fair value measured on recurring basis | Level II | Foreign Exchange Contracts and Options | Asset Management | ||
Assets, at fair value: | ||
Net amounts presented in the statement of financial condition | 367,079 | 590,637 |
Liabilities, at fair value | ||
Derivative liabilities | 239,875 | 319,511 |
Fair value measured on recurring basis | Level II | Other Derivatives | Asset Management | ||
Assets, at fair value: | ||
Net amounts presented in the statement of financial condition | 4,042 | 12 |
Liabilities, at fair value | ||
Derivative liabilities | 28,077 | 45,003 |
Fair value measured on recurring basis | Level II | Equity market contracts | Insurance | ||
Assets, at fair value: | ||
Net amounts presented in the statement of financial condition | 873,453 | 1,150,333 |
Liabilities, at fair value | ||
Derivative liabilities | 117,808 | 152,821 |
Fair value measured on recurring basis | Level II | Interest rate contracts | Insurance | ||
Assets, at fair value: | ||
Net amounts presented in the statement of financial condition | 258,455 | 154,186 |
Liabilities, at fair value | ||
Derivative liabilities | 437,464 | 87,236 |
Fair value measured on recurring basis | Level II | Foreign currency contracts | Insurance | ||
Assets, at fair value: | ||
Net amounts presented in the statement of financial condition | 47,866 | 32,464 |
Liabilities, at fair value | ||
Derivative liabilities | 20,988 | 7,639 |
Fair value measured on recurring basis | Level II | Credit contracts | Insurance | ||
Liabilities, at fair value | ||
Derivative liabilities | 1,360 | 1,540 |
Fair value measured on recurring basis | Level II | Private Equity | Asset Management | ||
Assets, at fair value: | ||
Total Investments | 275,759 | 318,736 |
Fair value measured on recurring basis | Level II | Credit | Asset Management | ||
Assets, at fair value: | ||
Total Investments | 1,506,877 | 2,122,912 |
Fair value measured on recurring basis | Level II | Investments of Consolidated CFEs | Asset Management | ||
Assets, at fair value: | ||
Total Investments | 22,014,866 | 22,076,809 |
Fair value measured on recurring basis | Level II | Real Assets | Asset Management | ||
Assets, at fair value: | ||
Total Investments | 1,496,708 | 1,111,219 |
Fair value measured on recurring basis | Level II | Equity Method - Other | Asset Management | ||
Assets, at fair value: | ||
Total Investments | 29,985 | 105,647 |
Fair value measured on recurring basis | Level II | Other Investments | Asset Management | ||
Assets, at fair value: | ||
Total Investments | 9,087 | 146,081 |
Fair value measured on recurring basis | Level III | ||
Assets, at fair value: | ||
Total Assets at Fair Value | 63,316,707 | 58,050,471 |
Liabilities, at fair value | ||
Total Liabilities at Fair Value | 2,871,311 | 4,425,688 |
Fair value measured on recurring basis | Level III | Asset Management | ||
Assets, at fair value: | ||
Total Investments | 46,725,822 | 44,792,645 |
Total Assets at Fair Value | 46,726,527 | 44,793,124 |
Liabilities, at fair value | ||
Securities Sold Short | 0 | 0 |
Unfunded Revolver Commitments | 64,556 | 64,276 |
Total Liabilities at Fair Value | 64,556 | 64,276 |
Fair value measured on recurring basis | Level III | Insurance | ||
Assets, at fair value: | ||
Net amounts presented in the statement of financial condition | 0 | 0 |
AFS fixed maturity securities | 9,352,734 | 8,479,061 |
Trading fixed maturity securities | 1,336,264 | 983,799 |
Equity securities | 32,937 | 32,937 |
Mortgage and other loan receivables | 1,007,906 | 832,674 |
Other investments | 3,620,186 | 1,603,345 |
Funds withheld receivable at interest | 8,196 | 31,740 |
Reinsurance Recoverable | 1,231,957 | 1,293,791 |
Impact of netting | 0 | 0 |
Separate account assets | 0 | 0 |
Total Assets at Fair Value | 16,590,180 | 13,257,347 |
Liabilities, at fair value | ||
Derivative liabilities | 0 | 0 |
Reinsurance liabilities | 557,276 | |
Impact of netting | 0 | 0 |
Total Liabilities at Fair Value | 2,806,755 | |
Policy liabilities | 466,408 | 519,454 |
Closed block policy liabilities | 1,269,991 | 1,350,224 |
Funds withheld payable at interest | (1,219,491) | (49,491) |
Fair value measured on recurring basis | Level III | Insurance | Indexed universal life | ||
Liabilities, at fair value | ||
Embedded derivative | 512,015 | 1,983,949 |
Fair value measured on recurring basis | Level III | Insurance | Fixed-rate annuity | ||
Liabilities, at fair value | ||
Embedded derivative | 1,777,832 | 4,361,412 |
Fair value measured on recurring basis | Level III | Insurance | Amounts due from unconsolidated investment funds | ||
Assets, at fair value: | ||
Mortgage and other loan receivables | 28,200 | 27,300 |
Fair value measured on recurring basis | Level III | U.S. government and agencies | Insurance | ||
Assets, at fair value: | ||
AFS fixed maturity securities | 0 | 0 |
Trading fixed maturity securities | 0 | 0 |
Fair value measured on recurring basis | Level III | U.S. state, municipal and political subdivisions | Insurance | ||
Assets, at fair value: | ||
AFS fixed maturity securities | 0 | 0 |
Trading fixed maturity securities | 0 | 0 |
Fair value measured on recurring basis | Level III | Corporate | Insurance | ||
Assets, at fair value: | ||
AFS fixed maturity securities | 7,970,195 | 7,650,660 |
Trading fixed maturity securities | 705,685 | 565,025 |
Fair value measured on recurring basis | Level III | Structured securities | Insurance | ||
Assets, at fair value: | ||
AFS fixed maturity securities | 1,382,539 | 828,401 |
Trading fixed maturity securities | 630,579 | 418,774 |
Fair value measured on recurring basis | Level III | Debt Obligations of Consolidated CFEs | Asset Management | ||
Liabilities, at fair value | ||
Debt Obligations of Consolidated CFEs | 0 | 0 |
Fair value measured on recurring basis | Level III | Foreign Exchange Contracts and Options | Asset Management | ||
Assets, at fair value: | ||
Net amounts presented in the statement of financial condition | 0 | 0 |
Liabilities, at fair value | ||
Derivative liabilities | 0 | 0 |
Fair value measured on recurring basis | Level III | Other Derivatives | Asset Management | ||
Assets, at fair value: | ||
Net amounts presented in the statement of financial condition | 705 | 479 |
Liabilities, at fair value | ||
Derivative liabilities | 0 | 0 |
Fair value measured on recurring basis | Level III | Equity market contracts | Insurance | ||
Assets, at fair value: | ||
Net amounts presented in the statement of financial condition | 0 | 0 |
Liabilities, at fair value | ||
Derivative liabilities | 0 | 0 |
Fair value measured on recurring basis | Level III | Interest rate contracts | Insurance | ||
Assets, at fair value: | ||
Net amounts presented in the statement of financial condition | 0 | 0 |
Liabilities, at fair value | ||
Derivative liabilities | 0 | 0 |
Fair value measured on recurring basis | Level III | Foreign currency contracts | Insurance | ||
Assets, at fair value: | ||
Net amounts presented in the statement of financial condition | 0 | 0 |
Liabilities, at fair value | ||
Derivative liabilities | 0 | 0 |
Fair value measured on recurring basis | Level III | Credit contracts | Insurance | ||
Liabilities, at fair value | ||
Derivative liabilities | 0 | 0 |
Fair value measured on recurring basis | Level III | Private Equity | Asset Management | ||
Assets, at fair value: | ||
Total Investments | 23,999,016 | 23,322,634 |
Fair value measured on recurring basis | Level III | Credit | Asset Management | ||
Assets, at fair value: | ||
Total Investments | 5,314,853 | 5,826,661 |
Fair value measured on recurring basis | Level III | Investments of Consolidated CFEs | Asset Management | ||
Assets, at fair value: | ||
Total Investments | 0 | 0 |
Fair value measured on recurring basis | Level III | Real Assets | Asset Management | ||
Assets, at fair value: | ||
Total Investments | 13,292,123 | 11,389,530 |
Fair value measured on recurring basis | Level III | Equity Method - Other | Asset Management | ||
Assets, at fair value: | ||
Total Investments | 984,904 | 1,013,807 |
Fair value measured on recurring basis | Level III | Other Investments | Asset Management | ||
Assets, at fair value: | ||
Total Investments | 3,134,926 | 3,240,013 |
Fair value measured on recurring basis | Fair Value Measured at Net Asset Value Per Share | Real Estate and Private Equity Funds | Insurance | ||
Assets, at fair value: | ||
Other investments | $ 135,900 | $ 108,700 |
FAIR VALUE MEASUREMENTS - Chang
FAIR VALUE MEASUREMENTS - Changes in Level III Assets (Details) - Level III - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Fair value, assets measured on recurring basis, level 3 fair-value category reconciliation | ||
Net Purchases/Issuances/Sales/Settlements | $ 4,337,511 | $ 1,386,275 |
Asset Management | ||
Fair value, assets measured on recurring basis, level 3 fair-value category reconciliation | ||
Balance, Beg. of Period | 44,793,124 | 33,695,354 |
Transfers In / (Out) - Changes in Consolidation | 0 | (3,900) |
Transfers In | 0 | 86,135 |
Transfers Out | (138,220) | (105,644) |
Net Purchases/Issuances/Sales/Settlements | 1,270,800 | 831,582 |
Net Unrealized and Realized Gains (Losses) | 802,192 | 2,341,787 |
Change in OCI | (1,369) | 2,139 |
Balance, End of Period | 46,726,527 | 36,847,453 |
Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date | 726,844 | 2,304,772 |
Changes in Net Unrealized Gains (Losses) Included in OCI related to Level III Assets and Liabilities still held as of the Reporting Date | (1,369) | 2,139 |
Insurance | ||
Fair value, assets measured on recurring basis, level 3 fair-value category reconciliation | ||
Balance, Beg. of Period | 13,257,347 | 5,846,731 |
Transfers In / (Out) - Changes in Consolidation | 0 | 0 |
Transfers In | 441,645 | 0 |
Transfers Out | (53,152) | 0 |
Net Purchases/Issuances/Sales/Settlements | 3,066,711 | 554,693 |
Net Unrealized and Realized Gains (Losses) | (34,501) | 1,379,210 |
Change in OCI | (87,870) | (27,601) |
Balance, End of Period | 16,590,180 | 7,753,033 |
Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date | 97,792 | 11,917 |
Changes in Net Unrealized Gains (Losses) Included in OCI related to Level III Assets and Liabilities still held as of the Reporting Date | (66,826) | (21,736) |
AFS Fixed Maturity Securities | ||
Fair value, assets measured on recurring basis, level 3 fair-value category reconciliation | ||
Balance, Beg. of Period | 58,050,471 | 39,542,085 |
Transfers In / (Out) - Changes in Consolidation | 0 | (3,900) |
Transfers In | 441,645 | 86,135 |
Transfers Out | (191,372) | (105,644) |
Net Purchases/Issuances/Sales/Settlements | 4,337,511 | 1,386,275 |
Net Unrealized and Realized Gains (Losses) | 767,691 | 3,720,997 |
Change in OCI | (89,239) | (25,462) |
Balance, End of Period | 63,316,707 | 44,600,486 |
Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date | 824,636 | 2,316,689 |
Changes in Net Unrealized Gains (Losses) Included in OCI related to Level III Assets and Liabilities still held as of the Reporting Date | (68,195) | (19,597) |
AFS Fixed Maturity Securities | Insurance | ||
Fair value, assets measured on recurring basis, level 3 fair-value category reconciliation | ||
Balance, Beg. of Period | 8,479,061 | 3,717,351 |
Transfers In / (Out) - Changes in Consolidation | 0 | 0 |
Transfers In | 343,338 | 0 |
Transfers Out | 0 | 0 |
Net Purchases/Issuances/Sales/Settlements | 620,339 | 242,886 |
Net Unrealized and Realized Gains (Losses) | (2,134) | 0 |
Change in OCI | (87,870) | (27,601) |
Balance, End of Period | 9,352,734 | 3,932,636 |
Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date | 0 | 0 |
Changes in Net Unrealized Gains (Losses) Included in OCI related to Level III Assets and Liabilities still held as of the Reporting Date | (66,826) | (21,736) |
AFS Fixed Maturity Securities | Insurance | Corporate Securities | ||
Fair value, assets measured on recurring basis, level 3 fair-value category reconciliation | ||
Balance, Beg. of Period | 7,650,660 | 3,519,368 |
Transfers In / (Out) - Changes in Consolidation | 0 | 0 |
Transfers In | 0 | 0 |
Transfers Out | 0 | 0 |
Net Purchases/Issuances/Sales/Settlements | 391,605 | 244,578 |
Net Unrealized and Realized Gains (Losses) | 1,275 | 0 |
Change in OCI | (73,345) | (24,416) |
Balance, End of Period | 7,970,195 | 3,739,530 |
Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date | 0 | 0 |
Changes in Net Unrealized Gains (Losses) Included in OCI related to Level III Assets and Liabilities still held as of the Reporting Date | (46,123) | (22,210) |
AFS Fixed Maturity Securities | Insurance | Structured securities | ||
Fair value, assets measured on recurring basis, level 3 fair-value category reconciliation | ||
Balance, Beg. of Period | 828,401 | 197,983 |
Transfers In / (Out) - Changes in Consolidation | 0 | 0 |
Transfers In | 343,338 | 0 |
Transfers Out | 0 | 0 |
Net Purchases/Issuances/Sales/Settlements | 228,734 | (1,692) |
Net Unrealized and Realized Gains (Losses) | (3,409) | 0 |
Change in OCI | (14,525) | (3,185) |
Balance, End of Period | 1,382,539 | 193,106 |
Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date | 0 | 0 |
Changes in Net Unrealized Gains (Losses) Included in OCI related to Level III Assets and Liabilities still held as of the Reporting Date | (20,703) | 474 |
Trading Fixed Maturity Securities | Insurance | ||
Fair value, assets measured on recurring basis, level 3 fair-value category reconciliation | ||
Balance, Beg. of Period | 983,799 | 689,041 |
Transfers In / (Out) - Changes in Consolidation | 0 | 0 |
Transfers In | 98,307 | 0 |
Transfers Out | (53,152) | 0 |
Net Purchases/Issuances/Sales/Settlements | 326,635 | 63,754 |
Net Unrealized and Realized Gains (Losses) | (19,325) | (4,184) |
Change in OCI | 0 | 0 |
Balance, End of Period | 1,336,264 | 748,611 |
Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date | (21,528) | (3,822) |
Changes in Net Unrealized Gains (Losses) Included in OCI related to Level III Assets and Liabilities still held as of the Reporting Date | 0 | 0 |
Trading Fixed Maturity Securities | Insurance | Corporate Securities | ||
Fair value, assets measured on recurring basis, level 3 fair-value category reconciliation | ||
Balance, Beg. of Period | 565,025 | 674,380 |
Transfers In / (Out) - Changes in Consolidation | 0 | 0 |
Transfers In | 0 | 0 |
Transfers Out | (31,407) | 0 |
Net Purchases/Issuances/Sales/Settlements | 182,432 | 55,699 |
Net Unrealized and Realized Gains (Losses) | (10,365) | (4,001) |
Change in OCI | 0 | 0 |
Balance, End of Period | 705,685 | 726,078 |
Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date | (11,116) | (3,600) |
Changes in Net Unrealized Gains (Losses) Included in OCI related to Level III Assets and Liabilities still held as of the Reporting Date | 0 | 0 |
Trading Fixed Maturity Securities | Insurance | Structured securities | ||
Fair value, assets measured on recurring basis, level 3 fair-value category reconciliation | ||
Balance, Beg. of Period | 418,774 | 14,661 |
Transfers In / (Out) - Changes in Consolidation | 0 | 0 |
Transfers In | 98,307 | 0 |
Transfers Out | (21,745) | 0 |
Net Purchases/Issuances/Sales/Settlements | 144,203 | 8,055 |
Net Unrealized and Realized Gains (Losses) | (8,960) | (183) |
Change in OCI | 0 | 0 |
Balance, End of Period | 630,579 | 22,533 |
Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date | (10,412) | (222) |
Changes in Net Unrealized Gains (Losses) Included in OCI related to Level III Assets and Liabilities still held as of the Reporting Date | 0 | 0 |
Equity securities at fair value | Insurance | ||
Fair value, assets measured on recurring basis, level 3 fair-value category reconciliation | ||
Balance, Beg. of Period | 32,937 | 66,660 |
Transfers In / (Out) - Changes in Consolidation | 0 | 0 |
Transfers In | 0 | 0 |
Transfers Out | 0 | 0 |
Net Purchases/Issuances/Sales/Settlements | 0 | 0 |
Net Unrealized and Realized Gains (Losses) | 0 | 3,325 |
Change in OCI | 0 | 0 |
Balance, End of Period | 32,937 | 69,985 |
Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date | 20,292 | 3,325 |
Changes in Net Unrealized Gains (Losses) Included in OCI related to Level III Assets and Liabilities still held as of the Reporting Date | 0 | 0 |
Mortgage and other loan receivables | Insurance | ||
Fair value, assets measured on recurring basis, level 3 fair-value category reconciliation | ||
Balance, Beg. of Period | 832,674 | 929,855 |
Transfers In / (Out) - Changes in Consolidation | 0 | 0 |
Transfers In | 0 | 0 |
Transfers Out | 0 | 0 |
Net Purchases/Issuances/Sales/Settlements | 203,197 | 247,719 |
Net Unrealized and Realized Gains (Losses) | (27,965) | 5,500 |
Change in OCI | 0 | 0 |
Balance, End of Period | 1,007,906 | 1,183,074 |
Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date | (9,559) | 6,322 |
Changes in Net Unrealized Gains (Losses) Included in OCI related to Level III Assets and Liabilities still held as of the Reporting Date | 0 | 0 |
Other investments | Insurance | ||
Fair value, assets measured on recurring basis, level 3 fair-value category reconciliation | ||
Balance, Beg. of Period | 1,603,345 | 443,824 |
Transfers In / (Out) - Changes in Consolidation | 0 | 0 |
Transfers In | 0 | 0 |
Transfers Out | 0 | 0 |
Net Purchases/Issuances/Sales/Settlements | 1,920,480 | 0 |
Net Unrealized and Realized Gains (Losses) | 96,361 | 1,058 |
Change in OCI | 0 | 0 |
Balance, End of Period | 3,620,186 | 444,882 |
Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date | 108,587 | 6,092 |
Changes in Net Unrealized Gains (Losses) Included in OCI related to Level III Assets and Liabilities still held as of the Reporting Date | 0 | 0 |
Income assumed from funds withheld receivable at interest | Insurance | ||
Fair value, assets measured on recurring basis, level 3 fair-value category reconciliation | ||
Balance, Beg. of Period | 31,740 | 0 |
Transfers In / (Out) - Changes in Consolidation | 0 | 0 |
Transfers In | 0 | 0 |
Transfers Out | 0 | 0 |
Net Purchases/Issuances/Sales/Settlements | 10,435 | 334 |
Net Unrealized and Realized Gains (Losses) | (33,979) | 55,549 |
Change in OCI | 0 | 0 |
Balance, End of Period | 8,196 | 55,883 |
Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date | 0 | 0 |
Changes in Net Unrealized Gains (Losses) Included in OCI related to Level III Assets and Liabilities still held as of the Reporting Date | 0 | 0 |
Reinsurance recoverable | Insurance | ||
Fair value, assets measured on recurring basis, level 3 fair-value category reconciliation | ||
Balance, Beg. of Period | 1,293,791 | 0 |
Transfers In / (Out) - Changes in Consolidation | 0 | 0 |
Transfers In | 0 | 0 |
Transfers Out | 0 | 0 |
Net Purchases/Issuances/Sales/Settlements | (14,375) | 0 |
Net Unrealized and Realized Gains (Losses) | (47,459) | 1,317,962 |
Change in OCI | 0 | 0 |
Balance, End of Period | 1,231,957 | 1,317,962 |
Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date | 0 | 0 |
Changes in Net Unrealized Gains (Losses) Included in OCI related to Level III Assets and Liabilities still held as of the Reporting Date | 0 | 0 |
Private Equity | Investments | Asset Management | ||
Fair value, assets measured on recurring basis, level 3 fair-value category reconciliation | ||
Balance, Beg. of Period | 23,322,634 | 15,234,904 |
Transfers In / (Out) - Changes in Consolidation | 0 | 0 |
Transfers In | 0 | 0 |
Transfers Out | (138,220) | 0 |
Net Purchases/Issuances/Sales/Settlements | 680,792 | 130,309 |
Net Unrealized and Realized Gains (Losses) | 133,810 | 1,698,596 |
Change in OCI | 0 | 0 |
Balance, End of Period | 23,999,016 | 17,063,809 |
Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date | 18,304 | 1,622,804 |
Changes in Net Unrealized Gains (Losses) Included in OCI related to Level III Assets and Liabilities still held as of the Reporting Date | 0 | 0 |
Credit | Investments | Asset Management | ||
Fair value, assets measured on recurring basis, level 3 fair-value category reconciliation | ||
Balance, Beg. of Period | 5,826,661 | 9,172,848 |
Transfers In / (Out) - Changes in Consolidation | 0 | (1,021) |
Transfers In | 0 | 86,135 |
Transfers Out | 0 | 0 |
Net Purchases/Issuances/Sales/Settlements | (383,841) | 92,140 |
Net Unrealized and Realized Gains (Losses) | (126,598) | 33,640 |
Change in OCI | (1,369) | 2,139 |
Balance, End of Period | 5,314,853 | 9,385,881 |
Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date | (58,683) | 61,774 |
Changes in Net Unrealized Gains (Losses) Included in OCI related to Level III Assets and Liabilities still held as of the Reporting Date | (1,369) | 2,139 |
Real Assets | Investments | Asset Management | ||
Fair value, assets measured on recurring basis, level 3 fair-value category reconciliation | ||
Balance, Beg. of Period | 11,389,530 | 5,924,575 |
Transfers In / (Out) - Changes in Consolidation | 0 | 0 |
Transfers In | 0 | 0 |
Transfers Out | 0 | 0 |
Net Purchases/Issuances/Sales/Settlements | 1,008,641 | 696,345 |
Net Unrealized and Realized Gains (Losses) | 893,952 | 258,297 |
Change in OCI | 0 | 0 |
Balance, End of Period | 13,292,123 | 6,879,217 |
Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date | 864,586 | 231,898 |
Changes in Net Unrealized Gains (Losses) Included in OCI related to Level III Assets and Liabilities still held as of the Reporting Date | 0 | 0 |
Equity Method - Other | Investments | Asset Management | ||
Fair value, assets measured on recurring basis, level 3 fair-value category reconciliation | ||
Balance, Beg. of Period | 1,013,807 | 1,014,378 |
Transfers In / (Out) - Changes in Consolidation | 0 | 0 |
Transfers In | 0 | 0 |
Transfers Out | 0 | 0 |
Net Purchases/Issuances/Sales/Settlements | 40,182 | (153,840) |
Net Unrealized and Realized Gains (Losses) | (69,085) | 181,242 |
Change in OCI | 0 | 0 |
Balance, End of Period | 984,904 | 1,041,780 |
Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date | (71,310) | 180,258 |
Changes in Net Unrealized Gains (Losses) Included in OCI related to Level III Assets and Liabilities still held as of the Reporting Date | 0 | 0 |
Other Investments | Investments | Asset Management | ||
Fair value, assets measured on recurring basis, level 3 fair-value category reconciliation | ||
Balance, Beg. of Period | 3,240,013 | 2,341,981 |
Transfers In / (Out) - Changes in Consolidation | 0 | (2,879) |
Transfers In | 0 | 0 |
Transfers Out | 0 | (105,644) |
Net Purchases/Issuances/Sales/Settlements | (86,258) | 63,054 |
Net Unrealized and Realized Gains (Losses) | (18,829) | 176,853 |
Change in OCI | 0 | 0 |
Balance, End of Period | 3,134,926 | 2,473,365 |
Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date | (14,995) | 214,879 |
Changes in Net Unrealized Gains (Losses) Included in OCI related to Level III Assets and Liabilities still held as of the Reporting Date | 0 | 0 |
Other Derivatives | Investments | Asset Management | ||
Fair value, assets measured on recurring basis, level 3 fair-value category reconciliation | ||
Balance, Beg. of Period | 479 | 6,668 |
Transfers In / (Out) - Changes in Consolidation | 0 | 0 |
Transfers In | 0 | 0 |
Transfers Out | 0 | 0 |
Net Purchases/Issuances/Sales/Settlements | 11,284 | 3,574 |
Net Unrealized and Realized Gains (Losses) | (11,058) | (6,841) |
Change in OCI | 0 | 0 |
Balance, End of Period | 705 | 3,401 |
Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date | (11,058) | (6,841) |
Changes in Net Unrealized Gains (Losses) Included in OCI related to Level III Assets and Liabilities still held as of the Reporting Date | $ 0 | $ 0 |
FAIR VALUE MEASUREMENTS - Break
FAIR VALUE MEASUREMENTS - Breakout of Asset Net Purchases/Issuances/Sales/Settlements (Details) - Level III - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Purchases | $ 6,790,941 | $ 2,967,879 |
Issuances | 10,435 | 334 |
Sales | (1,919,108) | (1,536,468) |
Settlements | (544,757) | (45,470) |
Net Purchases/Issuances/Sales/Settlements | 4,337,511 | 1,386,275 |
Asset Management | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Purchases | 3,149,378 | 2,359,675 |
Issuances | 0 | 0 |
Sales | (1,860,716) | (1,528,093) |
Settlements | (17,862) | 0 |
Net Purchases/Issuances/Sales/Settlements | 1,270,800 | 831,582 |
Insurance | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Purchases | 3,641,563 | 608,204 |
Issuances | 10,435 | 334 |
Sales | (58,392) | (8,375) |
Settlements | (526,895) | (45,470) |
Net Purchases/Issuances/Sales/Settlements | 3,066,711 | 554,693 |
Investments | Private Equity | Asset Management | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Purchases | 904,261 | 221,344 |
Issuances | 0 | 0 |
Sales | (223,469) | (91,035) |
Settlements | 0 | 0 |
Net Purchases/Issuances/Sales/Settlements | 680,792 | 130,309 |
Investments | Credit | Asset Management | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Purchases | 519,351 | 1,120,791 |
Issuances | 0 | 0 |
Sales | (885,330) | (1,028,651) |
Settlements | (17,862) | 0 |
Net Purchases/Issuances/Sales/Settlements | (383,841) | 92,140 |
Investments | Real Assets | Asset Management | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Purchases | 1,510,787 | 924,320 |
Issuances | 0 | 0 |
Sales | (502,146) | (227,975) |
Settlements | 0 | 0 |
Net Purchases/Issuances/Sales/Settlements | 1,008,641 | 696,345 |
Investments | Equity Method - Other | Asset Management | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Purchases | 41,819 | 144 |
Issuances | 0 | 0 |
Sales | (1,637) | (153,984) |
Settlements | 0 | 0 |
Net Purchases/Issuances/Sales/Settlements | 40,182 | (153,840) |
Investments | Other Investments | Asset Management | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Purchases | 161,876 | 89,502 |
Issuances | 0 | 0 |
Sales | (248,134) | (26,448) |
Settlements | 0 | 0 |
Net Purchases/Issuances/Sales/Settlements | (86,258) | 63,054 |
Investments | Other Derivatives | Asset Management | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Purchases | 11,284 | 3,574 |
Issuances | 0 | 0 |
Sales | 0 | 0 |
Settlements | 0 | 0 |
Net Purchases/Issuances/Sales/Settlements | 11,284 | 3,574 |
AFS Fixed Maturity Securities | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Net Purchases/Issuances/Sales/Settlements | 4,337,511 | 1,386,275 |
AFS Fixed Maturity Securities | Insurance | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Purchases | 1,156,588 | 287,648 |
Issuances | 0 | 0 |
Sales | (58,392) | (3,299) |
Settlements | (477,857) | (41,463) |
Net Purchases/Issuances/Sales/Settlements | 620,339 | 242,886 |
AFS Fixed Maturity Securities | Insurance | Corporate Securities | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Purchases | 924,672 | 287,638 |
Issuances | 0 | 0 |
Sales | (58,392) | (3,299) |
Settlements | (474,675) | (39,761) |
Net Purchases/Issuances/Sales/Settlements | 391,605 | 244,578 |
AFS Fixed Maturity Securities | Insurance | Structured securities | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Purchases | 231,916 | 10 |
Issuances | 0 | 0 |
Sales | 0 | 0 |
Settlements | (3,182) | (1,702) |
Net Purchases/Issuances/Sales/Settlements | 228,734 | (1,692) |
Fixed maturity securities, trading, at fair value | Insurance | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Purchases | 344,270 | 65,561 |
Issuances | 0 | 0 |
Sales | 0 | 0 |
Settlements | (17,635) | (1,807) |
Net Purchases/Issuances/Sales/Settlements | 326,635 | 63,754 |
Fixed maturity securities, trading, at fair value | Insurance | Corporate Securities | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Purchases | 189,017 | 57,451 |
Issuances | 0 | 0 |
Sales | 0 | 0 |
Settlements | (6,585) | (1,752) |
Net Purchases/Issuances/Sales/Settlements | 182,432 | 55,699 |
Fixed maturity securities, trading, at fair value | Insurance | Structured securities | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Purchases | 155,253 | 8,110 |
Issuances | 0 | 0 |
Sales | 0 | 0 |
Settlements | (11,050) | (55) |
Net Purchases/Issuances/Sales/Settlements | 144,203 | 8,055 |
Equity securities at fair value | Insurance | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Net Purchases/Issuances/Sales/Settlements | 0 | 0 |
Mortgage and other loan receivables | Insurance | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Purchases | 220,225 | 254,995 |
Issuances | 0 | 0 |
Sales | 0 | (5,076) |
Settlements | (17,028) | (2,200) |
Net Purchases/Issuances/Sales/Settlements | 203,197 | 247,719 |
Other investments | Insurance | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Purchases | 1,920,480 | |
Issuances | 0 | |
Sales | 0 | |
Settlements | 0 | |
Net Purchases/Issuances/Sales/Settlements | 1,920,480 | 0 |
Reinsurance recoverable | Insurance | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Purchases | 0 | |
Issuances | 0 | |
Sales | 0 | |
Settlements | (14,375) | |
Net Purchases/Issuances/Sales/Settlements | (14,375) | 0 |
Income assumed from funds withheld receivable at interest | Insurance | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Purchases | 0 | 0 |
Issuances | 10,435 | 334 |
Sales | 0 | 0 |
Settlements | 0 | 0 |
Net Purchases/Issuances/Sales/Settlements | $ 10,435 | $ 334 |
FAIR VALUE MEASUREMENTS - Cha_2
FAIR VALUE MEASUREMENTS - Changes in Level III Liabilities (Details) - Level III - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Fair value, liabilities measured on recurring basis, level 3 fair-value category reconciliation | ||
Balance, Beg. of Period | $ 4,425,688 | $ 3,550,463 |
Transfers In / (Out) Due to Changes in Consolidation | 0 | 0 |
Transfers In | 0 | 0 |
Transfers Out | 0 | 0 |
Net Purchases/Sales/Settlements/Issuances | 39,938 | 45,045 |
Net Unrealized and Realized Gains (Losses) | (1,598,175) | (518,543) |
Change in OCI | 3,860 | (2,885) |
Balance, End of Period | 2,871,311 | 3,074,080 |
Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date | 280 | (11,870) |
Asset Management | ||
Fair value, liabilities measured on recurring basis, level 3 fair-value category reconciliation | ||
Balance, Beg. of Period | 64,276 | 46,340 |
Transfers In / (Out) Due to Changes in Consolidation | 0 | 0 |
Transfers In | 0 | 0 |
Transfers Out | 0 | 0 |
Net Purchases/Sales/Settlements/Issuances | 0 | 1,167 |
Net Unrealized and Realized Gains (Losses) | 280 | (11,870) |
Change in OCI | 0 | 0 |
Balance, End of Period | 64,556 | 35,637 |
Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date | 280 | (11,870) |
Insurance | ||
Fair value, liabilities measured on recurring basis, level 3 fair-value category reconciliation | ||
Balance, Beg. of Period | 4,361,412 | 3,504,123 |
Transfers In / (Out) Due to Changes in Consolidation | 0 | 0 |
Transfers In | 0 | 0 |
Transfers Out | 0 | 0 |
Net Purchases/Sales/Settlements/Issuances | 39,938 | 43,878 |
Net Unrealized and Realized Gains (Losses) | (1,598,455) | (506,673) |
Change in OCI | 3,860 | (2,885) |
Balance, End of Period | 2,806,755 | 3,038,443 |
Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date | 0 | 0 |
Unfunded Revolver Commitments | Asset Management | ||
Fair value, liabilities measured on recurring basis, level 3 fair-value category reconciliation | ||
Balance, Beg. of Period | 64,276 | 46,340 |
Transfers In / (Out) Due to Changes in Consolidation | 0 | 0 |
Transfers In | 0 | 0 |
Transfers Out | 0 | 0 |
Net Purchases/Sales/Settlements/Issuances | 0 | 1,167 |
Net Unrealized and Realized Gains (Losses) | 280 | (11,870) |
Change in OCI | 0 | 0 |
Balance, End of Period | 64,556 | 35,637 |
Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date | 280 | (11,870) |
Policy liabilities | Insurance | ||
Fair value, liabilities measured on recurring basis, level 3 fair-value category reconciliation | ||
Balance, Beg. of Period | 519,454 | 637,800 |
Transfers In / (Out) Due to Changes in Consolidation | 0 | 0 |
Transfers In | 0 | 0 |
Transfers Out | 0 | 0 |
Net Purchases/Sales/Settlements/Issuances | 0 | 0 |
Net Unrealized and Realized Gains (Losses) | (53,046) | (72,158) |
Change in OCI | 0 | 0 |
Balance, End of Period | 466,408 | 565,642 |
Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date | 0 | 0 |
Closed blocks | Insurance | ||
Fair value, liabilities measured on recurring basis, level 3 fair-value category reconciliation | ||
Balance, Beg. of Period | 1,350,224 | 1,395,746 |
Transfers In / (Out) Due to Changes in Consolidation | 0 | 0 |
Transfers In | 0 | 0 |
Transfers Out | 0 | 0 |
Net Purchases/Sales/Settlements/Issuances | (81,101) | 0 |
Net Unrealized and Realized Gains (Losses) | (2,992) | (25,982) |
Change in OCI | 3,860 | (2,885) |
Balance, End of Period | 1,269,991 | 1,366,879 |
Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date | 0 | 0 |
Income ceded to funds withheld payable at interest | Insurance | ||
Fair value, liabilities measured on recurring basis, level 3 fair-value category reconciliation | ||
Balance, Beg. of Period | (49,491) | 59,230 |
Transfers In / (Out) Due to Changes in Consolidation | 0 | 0 |
Transfers In | 0 | 0 |
Transfers Out | 0 | 0 |
Net Purchases/Sales/Settlements/Issuances | 10,435 | 0 |
Net Unrealized and Realized Gains (Losses) | (1,180,435) | (372,460) |
Change in OCI | 0 | 0 |
Balance, End of Period | (1,219,491) | (313,230) |
Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date | 0 | 0 |
Embedded derivative | Insurance | Indexed universal life | ||
Fair value, liabilities measured on recurring basis, level 3 fair-value category reconciliation | ||
Balance, Beg. of Period | 557,276 | 386,746 |
Transfers In / (Out) Due to Changes in Consolidation | 0 | 0 |
Transfers In | 0 | 0 |
Transfers Out | 0 | 0 |
Net Purchases/Sales/Settlements/Issuances | 3,302 | (931) |
Net Unrealized and Realized Gains (Losses) | (48,563) | 48,427 |
Change in OCI | 0 | 0 |
Balance, End of Period | 512,015 | 434,242 |
Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date | 0 | 0 |
Embedded derivative | Insurance | Fixed-rate annuity | ||
Fair value, liabilities measured on recurring basis, level 3 fair-value category reconciliation | ||
Balance, Beg. of Period | 1,983,949 | 1,024,601 |
Transfers In / (Out) Due to Changes in Consolidation | 0 | 0 |
Transfers In | 0 | 0 |
Transfers Out | 0 | 0 |
Net Purchases/Sales/Settlements/Issuances | 107,302 | 44,809 |
Net Unrealized and Realized Gains (Losses) | (313,419) | (84,500) |
Change in OCI | 0 | 0 |
Balance, End of Period | 1,777,832 | 984,910 |
Changes in Net Unrealized Gains (Losses) Included in Earnings related to Level III Assets and Liabilities still held as of the Reporting Date | $ 0 | $ 0 |
FAIR VALUE MEASUREMENTS - Bre_2
FAIR VALUE MEASUREMENTS - Breakout of Liability Issuances and Settlements (Details) - Level III - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Liabilities | ||
Issuances | $ 126,722 | $ 51,583 |
Settlements | (86,784) | (6,538) |
Net Purchases/Issuances/Sales/Settlements | 39,938 | 45,045 |
Asset Management | ||
Liabilities | ||
Issuances | 0 | 1,167 |
Settlements | 0 | 0 |
Net Purchases/Issuances/Sales/Settlements | 0 | 1,167 |
Asset Management | Unfunded Revolver Commitments | ||
Liabilities | ||
Issuances | 0 | 1,167 |
Settlements | 0 | 0 |
Net Purchases/Issuances/Sales/Settlements | 0 | 1,167 |
Insurance | ||
Liabilities | ||
Issuances | 126,722 | 50,416 |
Settlements | (86,784) | (6,538) |
Net Purchases/Issuances/Sales/Settlements | 39,938 | 43,878 |
Insurance | Policy liabilities | ||
Liabilities | ||
Net Purchases/Issuances/Sales/Settlements | 0 | 0 |
Insurance | Closed blocks | ||
Liabilities | ||
Net Purchases/Issuances/Sales/Settlements | (81,101) | 0 |
Insurance | Closed blocks | Indexed universal life | ||
Liabilities | ||
Issuances | 0 | |
Settlements | (81,101) | |
Insurance | Income ceded to funds withheld payable at interest | ||
Liabilities | ||
Net Purchases/Issuances/Sales/Settlements | 10,435 | 0 |
Insurance | Income ceded to funds withheld payable at interest | Indexed universal life | ||
Liabilities | ||
Issuances | 10,435 | |
Settlements | 0 | |
Insurance | Embedded derivative | Indexed universal life | ||
Liabilities | ||
Issuances | 8,985 | 5,607 |
Settlements | (5,683) | (6,538) |
Net Purchases/Issuances/Sales/Settlements | 3,302 | (931) |
Insurance | Embedded derivative | Fixed-rate annuity | ||
Liabilities | ||
Issuances | 107,302 | 44,809 |
Settlements | 0 | 0 |
Net Purchases/Issuances/Sales/Settlements | $ 107,302 | $ 44,809 |
FAIR VALUE MEASUREMENTS - Valua
FAIR VALUE MEASUREMENTS - Valuation Methodologies and Significant Unobservable Inputs (Details) | 3 Months Ended | |
Mar. 31, 2022USD ($) | Dec. 31, 2021USD ($) | |
Insurance | ||
Level III Assets | ||
Reinsurance recoverable, fair value | $ 24,639,148,000 | $ 25,062,256,000 |
Level III Liabilities | ||
Funds withheld payable at interest | 607,014,000 | 378,549,000 |
Insurance | Indexed universal life | ||
Level III Liabilities | ||
Embedded derivative, fair value | 512,015,000 | 557,276,000 |
Insurance | Fixed-rate annuity | ||
Level III Liabilities | ||
Embedded derivative, fair value | $ 1,777,832,000 | $ 1,983,949,000 |
Yield Analysis | Asset Management | Weighted Average | Yield | ||
Level III Liabilities | ||
Unfunded revolving commitments, measurement input | 0.058 | |
Level III | Asset Management | ||
Level III Assets | ||
Private equity, fair value | $ 23,999,016,000 | |
Credit, fair value | 5,314,853,000 | |
Real assets, fair value | 13,292,123,000 | |
Equity method - other, fair value | 984,904,000 | |
Other investments, fair value | 3,134,926,000 | |
Level III Liabilities | ||
Unfunded revolving commitments, fair value | 64,556,000 | |
Level III | Insurance | ||
Level III Assets | ||
Other investments, fair value | 1,445,961,000 | |
Funds withheld receivables at interest | 8,196,000 | |
Reinsurance recoverable, fair value | 1,231,957,000 | |
Level III Liabilities | ||
Policy liabilities, fair value | 466,408,000 | |
Closed block policy liabilities, fair value | 1,269,991,000 | |
Funds withheld payable at interest | (1,219,491,000) | |
Level III | Insurance | Indexed universal life | ||
Level III Liabilities | ||
Embedded derivative, fair value | 512,015,000 | |
Level III | Insurance | Fixed-rate annuity | ||
Level III Liabilities | ||
Embedded derivative, fair value | $ 1,777,832,000 | |
Level III | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Weighted Average | Weight Ascribed to Market Comparables | ||
Level III Assets | ||
Equity method - other, measurement input | 0.388 | |
Other investments, measurement input | 0.229 | |
Level III | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Weighted Average | Weight Ascribed to Discounted Cash Flow | ||
Level III Assets | ||
Equity method - other, measurement input | 0.267 | |
Other investments, measurement input | 0.585 | |
Level III | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Weighted Average | Weight Ascribed to Transaction Price | ||
Level III Assets | ||
Equity method - other, measurement input | 0.346 | |
Other investments, measurement input | 0.186 | |
Level III | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Weighted Average | Illiquidity Discount | ||
Level III Assets | ||
Equity method - other, measurement input | 0.075 | |
Other investments, measurement input | 0.111 | |
Level III | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Minimum | Weight Ascribed to Market Comparables | ||
Level III Assets | ||
Equity method - other, measurement input | 0 | |
Other investments, measurement input | 0 | |
Level III | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Minimum | Weight Ascribed to Discounted Cash Flow | ||
Level III Assets | ||
Equity method - other, measurement input | 0 | |
Other investments, measurement input | 0 | |
Level III | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Minimum | Weight Ascribed to Transaction Price | ||
Level III Assets | ||
Equity method - other, measurement input | 0 | |
Other investments, measurement input | 0 | |
Level III | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Minimum | Illiquidity Discount | ||
Level III Assets | ||
Equity method - other, measurement input | 0.050 | |
Other investments, measurement input | 0.100 | |
Level III | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Maximum | Weight Ascribed to Market Comparables | ||
Level III Assets | ||
Equity method - other, measurement input | 1 | |
Other investments, measurement input | 1 | |
Level III | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Maximum | Weight Ascribed to Discounted Cash Flow | ||
Level III Assets | ||
Equity method - other, measurement input | 1 | |
Other investments, measurement input | 1 | |
Level III | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Maximum | Weight Ascribed to Transaction Price | ||
Level III Assets | ||
Equity method - other, measurement input | 1 | |
Other investments, measurement input | 1 | |
Level III | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Maximum | Illiquidity Discount | ||
Level III Assets | ||
Equity method - other, measurement input | 0.100 | |
Other investments, measurement input | 0.200 | |
Level III | Market comparables | Asset Management | Weighted Average | Enterprise Value/LTM EBITDA Multiple | ||
Level III Assets | ||
Equity method - other, measurement input | 11.9 | |
Other investments, measurement input | 12 | |
Level III | Market comparables | Asset Management | Weighted Average | Enterprise Value/Forward EBITDA Multiple | ||
Level III Assets | ||
Equity method - other, measurement input | 12 | |
Other investments, measurement input | 11.2 | |
Level III | Market comparables | Asset Management | Minimum | Enterprise Value/LTM EBITDA Multiple | ||
Level III Assets | ||
Equity method - other, measurement input | 5.7 | |
Other investments, measurement input | 0.8 | |
Level III | Market comparables | Asset Management | Minimum | Enterprise Value/Forward EBITDA Multiple | ||
Level III Assets | ||
Equity method - other, measurement input | 4.5 | |
Other investments, measurement input | 0.7 | |
Level III | Market comparables | Asset Management | Maximum | Enterprise Value/LTM EBITDA Multiple | ||
Level III Assets | ||
Equity method - other, measurement input | 18.1 | |
Other investments, measurement input | 25 | |
Level III | Market comparables | Asset Management | Maximum | Enterprise Value/Forward EBITDA Multiple | ||
Level III Assets | ||
Equity method - other, measurement input | 18.5 | |
Other investments, measurement input | 22.9 | |
Level III | Discounted cash flow | Asset Management | Weighted Average | Weighted Average Cost of Capital | ||
Level III Assets | ||
Equity method - other, measurement input | 0.102 | |
Other investments, measurement input | 0.144 | |
Level III | Discounted cash flow | Asset Management | Weighted Average | Enterprise Value/LTM EBITDA Exit Multiple | ||
Level III Assets | ||
Equity method - other, measurement input | 9.9 | |
Other investments, measurement input | 10.4 | |
Level III | Discounted cash flow | Asset Management | Minimum | Weighted Average Cost of Capital | ||
Level III Assets | ||
Equity method - other, measurement input | 0.060 | |
Other investments, measurement input | 0.065 | |
Level III | Discounted cash flow | Asset Management | Minimum | Enterprise Value/LTM EBITDA Exit Multiple | ||
Level III Assets | ||
Equity method - other, measurement input | 6 | |
Other investments, measurement input | 5.5 | |
Level III | Discounted cash flow | Asset Management | Maximum | Weighted Average Cost of Capital | ||
Level III Assets | ||
Equity method - other, measurement input | 0.170 | |
Other investments, measurement input | 1 | |
Level III | Discounted cash flow | Asset Management | Maximum | Enterprise Value/LTM EBITDA Exit Multiple | ||
Level III Assets | ||
Equity method - other, measurement input | 15 | |
Other investments, measurement input | 23.1 | |
Level III | Discounted cash flow | Insurance | Yield | ||
Level III Assets | ||
Other investments, measurement input | 0.0800 | |
Level III | Discounted cash flow | Insurance | Mortality Rate | ||
Level III Assets | ||
Reinsurance recoverable, measurement input | 0.0546 | |
Level III Liabilities | ||
Closed block policy liabilities, measurement input | 0.0546 | |
Level III | Discounted cash flow | Insurance | Surrender Rate | ||
Level III Assets | ||
Reinsurance recoverable, measurement input | 0.0201 | |
Level III Liabilities | ||
Closed block policy liabilities, measurement input | 0.0201 | |
Level III | Discounted cash flow | Insurance | Weighted Average | Duration/Weighted Average Life | ||
Level III Assets | ||
Funds withheld receivable at interest, measurement input, term | 9 years 6 months 21 days | |
Level III Liabilities | ||
Funds withheld receivable at interest, measurement input, term | 9 years 7 months 6 days | |
Level III | Discounted cash flow | Insurance | Weighted Average | Contractholder Persistency | ||
Level III Assets | ||
Funds withheld receivable at interest, measurement input | 0.0639 | |
Funds withheld receivable at interest, measurement input | 0.0639 | |
Level III | Discounted cash flow | Insurance | Minimum | Duration/Weighted Average Life | ||
Level III Assets | ||
Funds withheld receivable at interest, measurement input, term | 0 years | |
Level III Liabilities | ||
Funds withheld receivable at interest, measurement input, term | 0 years | |
Level III | Discounted cash flow | Insurance | Minimum | Contractholder Persistency | ||
Level III Assets | ||
Funds withheld receivable at interest, measurement input | 0.0350 | |
Funds withheld receivable at interest, measurement input | 0.0350 | |
Level III | Discounted cash flow | Insurance | Minimum | Nonperformance Risk | ||
Level III Assets | ||
Funds withheld receivable at interest, measurement input | 0.0051 | |
Funds withheld receivable at interest, measurement input | 0.0051 | |
Level III | Discounted cash flow | Insurance | Maximum | Duration/Weighted Average Life | ||
Level III Assets | ||
Funds withheld receivable at interest, measurement input, term | 22 years 7 months 6 days | |
Level III Liabilities | ||
Funds withheld receivable at interest, measurement input, term | 18 years 10 months 24 days | |
Level III | Discounted cash flow | Insurance | Maximum | Contractholder Persistency | ||
Level III Assets | ||
Funds withheld receivable at interest, measurement input | 0.1720 | |
Funds withheld receivable at interest, measurement input | 0.1720 | |
Level III | Discounted cash flow | Insurance | Maximum | Nonperformance Risk | ||
Level III Assets | ||
Funds withheld receivable at interest, measurement input | 0.0156 | |
Funds withheld receivable at interest, measurement input | 0.0156 | |
Level III | Yield Analysis | Asset Management | Weighted Average | Yield | ||
Level III Assets | ||
Credit, measurement input | 0.088 | |
Level III | Yield Analysis | Asset Management | Weighted Average | Net Leverage | ||
Level III Assets | ||
Credit, measurement input | 6.1 | |
Level III | Yield Analysis | Asset Management | Weighted Average | EBITDA Multiple | ||
Level III Assets | ||
Credit, measurement input | 13.8 | |
Level III | Yield Analysis | Asset Management | Minimum | Yield | ||
Level III Assets | ||
Credit, measurement input | 0.050 | |
Level III Liabilities | ||
Unfunded revolving commitments, measurement input | 0.037 | |
Level III | Yield Analysis | Asset Management | Minimum | Net Leverage | ||
Level III Assets | ||
Credit, measurement input | 0.3 | |
Level III | Yield Analysis | Asset Management | Minimum | EBITDA Multiple | ||
Level III Assets | ||
Credit, measurement input | 0.7 | |
Level III | Yield Analysis | Asset Management | Maximum | Yield | ||
Level III Assets | ||
Credit, measurement input | 0.406 | |
Level III Liabilities | ||
Unfunded revolving commitments, measurement input | 0.074 | |
Level III | Yield Analysis | Asset Management | Maximum | Net Leverage | ||
Level III Assets | ||
Credit, measurement input | 33.6 | |
Level III | Yield Analysis | Asset Management | Maximum | EBITDA Multiple | ||
Level III Assets | ||
Credit, measurement input | 33 | |
Level III | Direct capitalization | Insurance | Vacancy rate | ||
Level III Assets | ||
Other investments, measurement input | 0.0500 | |
Level III | Direct capitalization | Insurance | Weighted Average | Current Capitalization Rate | ||
Level III Assets | ||
Other investments, measurement input | 0.0536 | |
Level III | Direct capitalization | Insurance | Weighted Average | Rate | ||
Level III Assets | ||
Other investments, measurement input | 0.0512 | |
Level III | Direct capitalization | Insurance | Weighted Average | Terminal capitalization rate | ||
Level III Assets | ||
Other investments, measurement input | 0.0397 | |
Level III | Direct capitalization | Insurance | Minimum | Current Capitalization Rate | ||
Level III Assets | ||
Other investments, measurement input | 0.0511 | |
Level III | Direct capitalization | Insurance | Minimum | Rate | ||
Level III Assets | ||
Other investments, measurement input | 0.0500 | |
Level III | Direct capitalization | Insurance | Minimum | Terminal capitalization rate | ||
Level III Assets | ||
Other investments, measurement input | 0.0370 | |
Level III | Direct capitalization | Insurance | Maximum | Current Capitalization Rate | ||
Level III Assets | ||
Other investments, measurement input | 0.0561 | |
Level III | Direct capitalization | Insurance | Maximum | Rate | ||
Level III Assets | ||
Other investments, measurement input | 0.0525 | |
Level III | Direct capitalization | Insurance | Maximum | Terminal capitalization rate | ||
Level III Assets | ||
Other investments, measurement input | 0.0425 | |
Level III | Present value of expenses paid from the open block plus the cost of capital held in support of the liabilities. | Insurance | Minimum | Expense assumption | ||
Level III Assets | ||
Reinsurance recoverable, measurement input, expense per policy | $ 5.26 | |
Level III Liabilities | ||
Closed block liabilities, measurement input, value | 5.26 | |
Level III | Present value of expenses paid from the open block plus the cost of capital held in support of the liabilities. | Insurance | Maximum | Expense assumption | ||
Level III Assets | ||
Reinsurance recoverable, measurement input, expense per policy | 78 | |
Level III Liabilities | ||
Closed block liabilities, measurement input, value | $ 78 | |
Level III | Unobservable inputs are a market participant’s view of the expenses, a risk margin on the uncertainty of the level of expenses and a cost of capital on the capital held in support of the liabilities. | Insurance | Expense risk margin | ||
Level III Assets | ||
Reinsurance recoverable, measurement input | 0.0942 | |
Level III Liabilities | ||
Closed block policy liabilities, measurement input | 0.0942 | |
Level III | Unobservable inputs are a market participant’s view of the expenses, a risk margin on the uncertainty of the level of expenses and a cost of capital on the capital held in support of the liabilities. | Insurance | Minimum | Cost of capital | ||
Level III Assets | ||
Reinsurance recoverable, measurement input | 0.0369 | |
Level III Liabilities | ||
Closed block policy liabilities, measurement input | 0.0369 | |
Level III | Unobservable inputs are a market participant’s view of the expenses, a risk margin on the uncertainty of the level of expenses and a cost of capital on the capital held in support of the liabilities. | Insurance | Maximum | Cost of capital | ||
Level III Assets | ||
Reinsurance recoverable, measurement input | 0.1385 | |
Level III Liabilities | ||
Closed block policy liabilities, measurement input | 0.1385 | |
Level III | Present value of best estimate liability cash flows. Unobservable inputs include a market participant view of the risk margin included in the discount rate which reflects the variability of the cash flows. | Insurance | Minimum | Risk Margin Rate | ||
Level III Liabilities | ||
Policy liabilities, measurement input | 0.0051 | |
Level III | Present value of best estimate liability cash flows. Unobservable inputs include a market participant view of the risk margin included in the discount rate which reflects the variability of the cash flows. | Insurance | Maximum | Risk Margin Rate | ||
Level III Liabilities | ||
Policy liabilities, measurement input | 0.0182 | |
Level III | Policyholder behavior is also a significant unobservable input, including surrender and mortality. | Insurance | Minimum | Mortality Rate | ||
Level III Liabilities | ||
Policy liabilities, measurement input | 0.0365 | |
Level III | Policyholder behavior is also a significant unobservable input, including surrender and mortality. | Insurance | Minimum | Surrender Rate | ||
Level III Liabilities | ||
Policy liabilities, measurement input | 0.0361 | |
Level III | Policyholder behavior is also a significant unobservable input, including surrender and mortality. | Insurance | Maximum | Mortality Rate | ||
Level III Liabilities | ||
Policy liabilities, measurement input | 0.0859 | |
Level III | Policyholder behavior is also a significant unobservable input, including surrender and mortality. | Insurance | Maximum | Surrender Rate | ||
Level III Liabilities | ||
Policy liabilities, measurement input | 0.0645 | |
Level III | Nonperformance Risk | Insurance | Minimum | ||
Level III Liabilities | ||
Closed block policy liabilities, measurement input | 0.0051 | |
Level III | Nonperformance Risk | Insurance | Maximum | ||
Level III Liabilities | ||
Closed block policy liabilities, measurement input | 0.0156 | |
Level III | Policy persistency is a significant unobservable input. | Insurance | Indexed universal life | Mortality Rate | ||
Level III Liabilities | ||
Embedded derivative, measurement input | 0.0071 | |
Level III | Policy persistency is a significant unobservable input. | Insurance | Indexed universal life | Lapse Rate | ||
Level III Liabilities | ||
Embedded derivative, measurement input | 0.0386 | |
Level III | Future costs for options used to hedge the contract obligations | Insurance | Indexed universal life | Option Budge Assumption | ||
Level III Liabilities | ||
Embedded derivative, measurement input | 0.0358 | |
Level III | Future costs for options used to hedge the contract obligations | Insurance | Weighted Average | Fixed-rate annuity | Mortality Rate | ||
Level III Liabilities | ||
Embedded derivative, measurement input | 0.0201 | |
Level III | Future costs for options used to hedge the contract obligations | Insurance | Weighted Average | Fixed-rate annuity | Option Budge Assumption | ||
Level III Liabilities | ||
Embedded derivative, measurement input | 0.0160 | |
Level III | Future costs for options used to hedge the contract obligations | Insurance | Minimum | Indexed universal life | Nonperformance Risk | ||
Level III Liabilities | ||
Embedded derivative, measurement input | 0.0051 | |
Level III | Future costs for options used to hedge the contract obligations | Insurance | Minimum | Variable annuity | Nonperformance Risk | ||
Level III Liabilities | ||
Embedded derivative, measurement input | 0.0051 | |
Level III | Future costs for options used to hedge the contract obligations | Insurance | Maximum | Indexed universal life | Nonperformance Risk | ||
Level III Liabilities | ||
Embedded derivative, measurement input | 0.0156 | |
Level III | Future costs for options used to hedge the contract obligations | Insurance | Maximum | Variable annuity | Nonperformance Risk | ||
Level III Liabilities | ||
Embedded derivative, measurement input | 0.0156 | |
Level III | Policyholder behavior is a significant unobservable input, including utilization and lapse. | Insurance | Weighted Average | Fixed-rate annuity | Mortality Rate | ||
Level III Liabilities | ||
Embedded derivative, measurement input | 0.0199 | |
Level III | Policyholder behavior is a significant unobservable input, including utilization and lapse. | Insurance | Weighted Average | Fixed-rate annuity | Surrender Rate | ||
Level III Liabilities | ||
Embedded derivative, measurement input | 0.1067 | |
Level III | Policyholder behavior is a significant unobservable input, including utilization and lapse. | Insurance | Weighted Average | Fixed-rate annuity | Utilization | ||
Level III Liabilities | ||
Embedded derivative, measurement input | 0.0387 | |
Level III | Policyholder behavior is a significant unobservable input, including utilization and lapse. | Insurance | Weighted Average | Variable annuity | Utilization | ||
Level III Liabilities | ||
Embedded derivative, measurement input | 0.0421 | |
Level III | Policyholder behavior is a significant unobservable input, including utilization and lapse. | Insurance | Minimum | Variable annuity | Mortality Rate | ||
Level III Liabilities | ||
Embedded derivative, measurement input | 0.0136 | |
Level III | Policyholder behavior is a significant unobservable input, including utilization and lapse. | Insurance | Minimum | Variable annuity | Surrender Rate | ||
Level III Liabilities | ||
Embedded derivative, measurement input | 0.0409 | |
Level III | Policyholder behavior is a significant unobservable input, including utilization and lapse. | Insurance | Minimum | Variable annuity | Utilization | ||
Level III Liabilities | ||
Embedded derivative, measurement input | 0.0232 | |
Level III | Policyholder behavior is a significant unobservable input, including utilization and lapse. | Insurance | Maximum | Variable annuity | Mortality Rate | ||
Level III Liabilities | ||
Embedded derivative, measurement input | 0.0738 | |
Level III | Policyholder behavior is a significant unobservable input, including utilization and lapse. | Insurance | Maximum | Variable annuity | Surrender Rate | ||
Level III Liabilities | ||
Embedded derivative, measurement input | 0.3960 | |
Level III | Policyholder behavior is a significant unobservable input, including utilization and lapse. | Insurance | Maximum | Variable annuity | Utilization | ||
Level III Liabilities | ||
Embedded derivative, measurement input | 0.3502 | |
Level III | Private Equity | Asset Management | ||
Level III Assets | ||
Private equity, fair value | $ 21,320,867,000 | |
Level III | Private Equity | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Weighted Average | Weight Ascribed to Market Comparables | ||
Level III Assets | ||
Private equity, measurement input | 0.291 | |
Level III | Private Equity | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Weighted Average | Weight Ascribed to Discounted Cash Flow | ||
Level III Assets | ||
Private equity, measurement input | 0.654 | |
Level III | Private Equity | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Weighted Average | Weight Ascribed to Transaction Price | ||
Level III Assets | ||
Private equity, measurement input | 0.055 | |
Level III | Private Equity | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Weighted Average | Illiquidity Discount | ||
Level III Assets | ||
Private equity, measurement input | 0.067 | |
Level III | Private Equity | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Minimum | Weight Ascribed to Market Comparables | ||
Level III Assets | ||
Private equity, measurement input | 0 | |
Level III | Private Equity | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Minimum | Weight Ascribed to Discounted Cash Flow | ||
Level III Assets | ||
Private equity, measurement input | 0 | |
Level III | Private Equity | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Minimum | Weight Ascribed to Transaction Price | ||
Level III Assets | ||
Private equity, measurement input | 0 | |
Level III | Private Equity | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Minimum | Illiquidity Discount | ||
Level III Assets | ||
Private equity, measurement input | 0.050 | |
Level III | Private Equity | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Maximum | Weight Ascribed to Market Comparables | ||
Level III Assets | ||
Private equity, measurement input | 1 | |
Level III | Private Equity | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Maximum | Weight Ascribed to Discounted Cash Flow | ||
Level III Assets | ||
Private equity, measurement input | 1 | |
Level III | Private Equity | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Maximum | Weight Ascribed to Transaction Price | ||
Level III Assets | ||
Private equity, measurement input | 1 | |
Level III | Private Equity | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Maximum | Illiquidity Discount | ||
Level III Assets | ||
Private equity, measurement input | 0.150 | |
Level III | Private Equity | Market comparables | Asset Management | Weighted Average | Enterprise Value/LTM EBITDA Multiple | ||
Level III Assets | ||
Private equity, measurement input | 17.3 | |
Level III | Private Equity | Market comparables | Asset Management | Weighted Average | Enterprise Value/Forward EBITDA Multiple | ||
Level III Assets | ||
Private equity, measurement input | 15.1 | |
Level III | Private Equity | Market comparables | Asset Management | Minimum | Enterprise Value/LTM EBITDA Multiple | ||
Level III Assets | ||
Private equity, measurement input | 8.2 | |
Level III | Private Equity | Market comparables | Asset Management | Minimum | Enterprise Value/Forward EBITDA Multiple | ||
Level III Assets | ||
Private equity, measurement input | 6.4 | |
Level III | Private Equity | Market comparables | Asset Management | Maximum | Enterprise Value/LTM EBITDA Multiple | ||
Level III Assets | ||
Private equity, measurement input | 31.2 | |
Level III | Private Equity | Market comparables | Asset Management | Maximum | Enterprise Value/Forward EBITDA Multiple | ||
Level III Assets | ||
Private equity, measurement input | 23.8 | |
Level III | Private Equity | Discounted cash flow | Asset Management | Weighted Average | Weighted Average Cost of Capital | ||
Level III Assets | ||
Private equity, measurement input | 0.092 | |
Level III | Private Equity | Discounted cash flow | Asset Management | Weighted Average | Enterprise Value/LTM EBITDA Exit Multiple | ||
Level III Assets | ||
Private equity, measurement input | 14.3 | |
Level III | Private Equity | Discounted cash flow | Asset Management | Minimum | Weighted Average Cost of Capital | ||
Level III Assets | ||
Private equity, measurement input | 0.046 | |
Level III | Private Equity | Discounted cash flow | Asset Management | Minimum | Enterprise Value/LTM EBITDA Exit Multiple | ||
Level III Assets | ||
Private equity, measurement input | 6 | |
Level III | Private Equity | Discounted cash flow | Asset Management | Maximum | Weighted Average Cost of Capital | ||
Level III Assets | ||
Private equity, measurement input | 0.146 | |
Level III | Private Equity | Discounted cash flow | Asset Management | Maximum | Enterprise Value/LTM EBITDA Exit Multiple | ||
Level III Assets | ||
Private equity, measurement input | 20 | |
Level III | Growth Equity | Asset Management | ||
Level III Assets | ||
Growth equity, fair value disclosure | $ 2,678,149,000 | |
Level III | Growth Equity | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Weighted Average | Weight Ascribed to Market Comparables | ||
Level III Assets | ||
Growth equity, measurement input | 0.376 | |
Level III | Growth Equity | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Weighted Average | Weight Ascribed to Discounted Cash Flow | ||
Level III Assets | ||
Growth equity, measurement input | 0.021 | |
Level III | Growth Equity | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Weighted Average | Illiquidity Discount | ||
Level III Assets | ||
Growth equity, measurement input | 0.086 | |
Level III | Growth Equity | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Weighted Average | Weight Ascribed to Milestones | ||
Level III Assets | ||
Growth equity, measurement input | 0.603 | |
Level III | Growth Equity | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Minimum | Weight Ascribed to Market Comparables | ||
Level III Assets | ||
Growth equity, measurement input | 0 | |
Level III | Growth Equity | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Minimum | Weight Ascribed to Discounted Cash Flow | ||
Level III Assets | ||
Growth equity, measurement input | 0 | |
Level III | Growth Equity | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Minimum | Illiquidity Discount | ||
Level III Assets | ||
Growth equity, measurement input | 0.050 | |
Level III | Growth Equity | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Minimum | Weight Ascribed to Milestones | ||
Level III Assets | ||
Growth equity, measurement input | 0 | |
Level III | Growth Equity | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Maximum | Weight Ascribed to Market Comparables | ||
Level III Assets | ||
Growth equity, measurement input | 1 | |
Level III | Growth Equity | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Maximum | Weight Ascribed to Discounted Cash Flow | ||
Level III Assets | ||
Growth equity, measurement input | 0.500 | |
Level III | Growth Equity | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Maximum | Illiquidity Discount | ||
Level III Assets | ||
Growth equity, measurement input | 0.200 | |
Level III | Growth Equity | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Maximum | Weight Ascribed to Milestones | ||
Level III Assets | ||
Growth equity, measurement input | 1 | |
Level III | Growth Equity | Scenario Weighting | Asset Management | Weighted Average | Base | ||
Level III Assets | ||
Growth equity, measurement input | 0.761 | |
Level III | Growth Equity | Scenario Weighting | Asset Management | Weighted Average | Downside | ||
Level III Assets | ||
Growth equity, measurement input | 0.049 | |
Level III | Growth Equity | Scenario Weighting | Asset Management | Weighted Average | Upside | ||
Level III Assets | ||
Growth equity, measurement input | 0.190 | |
Level III | Growth Equity | Scenario Weighting | Asset Management | Minimum | Base | ||
Level III Assets | ||
Growth equity, measurement input | 0.700 | |
Level III | Growth Equity | Scenario Weighting | Asset Management | Minimum | Downside | ||
Level III Assets | ||
Growth equity, measurement input | 0 | |
Level III | Growth Equity | Scenario Weighting | Asset Management | Minimum | Upside | ||
Level III Assets | ||
Growth equity, measurement input | 0.100 | |
Level III | Growth Equity | Scenario Weighting | Asset Management | Maximum | Base | ||
Level III Assets | ||
Growth equity, measurement input | 0.800 | |
Level III | Growth Equity | Scenario Weighting | Asset Management | Maximum | Downside | ||
Level III Assets | ||
Growth equity, measurement input | 0.100 | |
Level III | Growth Equity | Scenario Weighting | Asset Management | Maximum | Upside | ||
Level III Assets | ||
Growth equity, measurement input | 0.250 | |
Level III | Energy | Asset Management | ||
Level III Assets | ||
Real assets, fair value | $ 1,434,690,000 | |
Level III | Energy | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Weighted Average | Weight Ascribed to Market Comparables | ||
Level III Assets | ||
Real assets, measurement input | 0.290 | |
Level III | Energy | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Weighted Average | Weight Ascribed to Discounted Cash Flow | ||
Level III Assets | ||
Real assets, measurement input | 0.710 | |
Level III | Energy | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Minimum | Weight Ascribed to Market Comparables | ||
Level III Assets | ||
Real assets, measurement input | 0 | |
Level III | Energy | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Minimum | Weight Ascribed to Discounted Cash Flow | ||
Level III Assets | ||
Real assets, measurement input | 0.500 | |
Level III | Energy | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Maximum | Weight Ascribed to Market Comparables | ||
Level III Assets | ||
Real assets, measurement input | 0.500 | |
Level III | Energy | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Maximum | Weight Ascribed to Discounted Cash Flow | ||
Level III Assets | ||
Real assets, measurement input | 1 | |
Level III | Energy | Market comparables | Asset Management | Weighted Average | Enterprise Value/LTM EBITDA Multiple | ||
Level III Assets | ||
Real assets, measurement input | 5.7 | |
Level III | Energy | Market comparables | Asset Management | Weighted Average | Enterprise Value/Forward EBITDA Multiple | ||
Level III Assets | ||
Real assets, measurement input | 5.9 | |
Level III | Energy | Market comparables | Asset Management | Minimum | Enterprise Value/LTM EBITDA Multiple | ||
Level III Assets | ||
Real assets, measurement input | 5.7 | |
Level III | Energy | Market comparables | Asset Management | Minimum | Enterprise Value/Forward EBITDA Multiple | ||
Level III Assets | ||
Real assets, measurement input | 4.5 | |
Level III | Energy | Market comparables | Asset Management | Maximum | Enterprise Value/LTM EBITDA Multiple | ||
Level III Assets | ||
Real assets, measurement input | 5.7 | |
Level III | Energy | Market comparables | Asset Management | Maximum | Enterprise Value/Forward EBITDA Multiple | ||
Level III Assets | ||
Real assets, measurement input | 8.8 | |
Level III | Energy | Discounted cash flow | Liquids | ||
Level III Assets | ||
Revenue ratio of liquids | 87.00% | |
Level III | Energy | Discounted cash flow | Natural Gas | ||
Level III Assets | ||
Revenue ratio of natural gas | 13.00% | |
Level III | Energy | Discounted cash flow | Asset Management | Weighted Average | Weighted Average Cost of Capital | ||
Level III Assets | ||
Real assets, measurement input | 0.128 | |
Level III | Energy | Discounted cash flow | Asset Management | Weighted Average | Average Price Per BOE | ||
Level III Assets | ||
Real assets, measurement input, value | $ 48.63 | |
Level III | Energy | Discounted cash flow | Asset Management | Minimum | Weighted Average Cost of Capital | ||
Level III Assets | ||
Real assets, measurement input | 0.101 | |
Level III | Energy | Discounted cash flow | Asset Management | Minimum | Average Price Per BOE | ||
Level III Assets | ||
Real assets, measurement input, value | $ 44.38 | |
Level III | Energy | Discounted cash flow | Asset Management | Maximum | Weighted Average Cost of Capital | ||
Level III Assets | ||
Real assets, measurement input | 0.154 | |
Level III | Energy | Discounted cash flow | Asset Management | Maximum | Average Price Per BOE | ||
Level III Assets | ||
Real assets, measurement input, value | $ 58.31 | |
Level III | Infrastructure | Asset Management | ||
Level III Assets | ||
Real assets, fair value | $ 3,880,965,000 | |
Level III | Infrastructure | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Weighted Average | Weight Ascribed to Market Comparables | ||
Level III Assets | ||
Real assets, measurement input | 0.017 | |
Level III | Infrastructure | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Weighted Average | Weight Ascribed to Discounted Cash Flow | ||
Level III Assets | ||
Real assets, measurement input | 0.697 | |
Level III | Infrastructure | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Weighted Average | Weight Ascribed to Transaction Price | ||
Level III Assets | ||
Real assets, measurement input | 0.286 | |
Level III | Infrastructure | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Weighted Average | Illiquidity Discount | ||
Level III Assets | ||
Real assets, measurement input | 0.050 | |
Level III | Infrastructure | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Minimum | Weight Ascribed to Market Comparables | ||
Level III Assets | ||
Real assets, measurement input | 0 | |
Level III | Infrastructure | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Minimum | Weight Ascribed to Discounted Cash Flow | ||
Level III Assets | ||
Real assets, measurement input | 0 | |
Level III | Infrastructure | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Minimum | Weight Ascribed to Transaction Price | ||
Level III Assets | ||
Real assets, measurement input | 0 | |
Level III | Infrastructure | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Minimum | Illiquidity Discount | ||
Level III Assets | ||
Real assets, measurement input | 0.050 | |
Level III | Infrastructure | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Maximum | Weight Ascribed to Market Comparables | ||
Level III Assets | ||
Real assets, measurement input | 0.250 | |
Level III | Infrastructure | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Maximum | Weight Ascribed to Discounted Cash Flow | ||
Level III Assets | ||
Real assets, measurement input | 1 | |
Level III | Infrastructure | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Maximum | Weight Ascribed to Transaction Price | ||
Level III Assets | ||
Real assets, measurement input | 1 | |
Level III | Infrastructure | Inputs to market comparables, discounted cash flow and transaction price | Asset Management | Maximum | Illiquidity Discount | ||
Level III Assets | ||
Real assets, measurement input | 0.050 | |
Level III | Infrastructure | Market comparables | Asset Management | Weighted Average | Enterprise Value/Forward EBITDA Multiple | ||
Level III Assets | ||
Real assets, measurement input | 11.4 | |
Level III | Infrastructure | Market comparables | Asset Management | Minimum | Enterprise Value/Forward EBITDA Multiple | ||
Level III Assets | ||
Real assets, measurement input | 11.4 | |
Level III | Infrastructure | Market comparables | Asset Management | Maximum | Enterprise Value/Forward EBITDA Multiple | ||
Level III Assets | ||
Real assets, measurement input | 11.4 | |
Level III | Infrastructure | Discounted cash flow | Asset Management | Weighted Average | Weighted Average Cost of Capital | ||
Level III Assets | ||
Real assets, measurement input | 0.067 | |
Level III | Infrastructure | Discounted cash flow | Asset Management | Weighted Average | Enterprise Value/LTM EBITDA Exit Multiple | ||
Level III Assets | ||
Real assets, measurement input | 12.1 | |
Level III | Infrastructure | Discounted cash flow | Asset Management | Minimum | Weighted Average Cost of Capital | ||
Level III Assets | ||
Real assets, measurement input | 0.047 | |
Level III | Infrastructure | Discounted cash flow | Asset Management | Minimum | Enterprise Value/LTM EBITDA Exit Multiple | ||
Level III Assets | ||
Real assets, measurement input | 10 | |
Level III | Infrastructure | Discounted cash flow | Asset Management | Maximum | Weighted Average Cost of Capital | ||
Level III Assets | ||
Real assets, measurement input | 0.085 | |
Level III | Infrastructure | Discounted cash flow | Asset Management | Maximum | Enterprise Value/LTM EBITDA Exit Multiple | ||
Level III Assets | ||
Real assets, measurement input | 13 | |
Level III | Real Estate | Asset Management | ||
Level III Assets | ||
Real assets, fair value | $ 7,976,468,000 | |
Level III | Real Estate | Discounted cash flow | Asset Management | Weighted Average | Unlevered Discount Rate | ||
Level III Assets | ||
Real assets, measurement input | 0.062 | |
Level III | Real Estate | Discounted cash flow | Asset Management | Minimum | Unlevered Discount Rate | ||
Level III Assets | ||
Real assets, measurement input | 0.038 | |
Level III | Real Estate | Discounted cash flow | Asset Management | Maximum | Unlevered Discount Rate | ||
Level III Assets | ||
Real assets, measurement input | 0.180 | |
Level III | Real Estate | Inputs to direct income capitalization, discounted cash flow and transaction price | Asset Management | Weighted Average | Weight Ascribed to Discounted Cash Flow | ||
Level III Assets | ||
Real assets, measurement input | 0.724 | |
Level III | Real Estate | Inputs to direct income capitalization, discounted cash flow and transaction price | Asset Management | Weighted Average | Weight Ascribed to Transaction Price | ||
Level III Assets | ||
Real assets, measurement input | 0.092 | |
Level III | Real Estate | Inputs to direct income capitalization, discounted cash flow and transaction price | Asset Management | Weighted Average | Weight Ascribed to Direct Income Capitalization | ||
Level III Assets | ||
Real assets, measurement input | 0.184 | |
Level III | Real Estate | Inputs to direct income capitalization, discounted cash flow and transaction price | Asset Management | Minimum | Weight Ascribed to Discounted Cash Flow | ||
Level III Assets | ||
Real assets, measurement input | 0 | |
Level III | Real Estate | Inputs to direct income capitalization, discounted cash flow and transaction price | Asset Management | Minimum | Weight Ascribed to Transaction Price | ||
Level III Assets | ||
Real assets, measurement input | 0 | |
Level III | Real Estate | Inputs to direct income capitalization, discounted cash flow and transaction price | Asset Management | Minimum | Weight Ascribed to Direct Income Capitalization | ||
Level III Assets | ||
Real assets, measurement input | 0 | |
Level III | Real Estate | Inputs to direct income capitalization, discounted cash flow and transaction price | Asset Management | Maximum | Weight Ascribed to Discounted Cash Flow | ||
Level III Assets | ||
Real assets, measurement input | 1 | |
Level III | Real Estate | Inputs to direct income capitalization, discounted cash flow and transaction price | Asset Management | Maximum | Weight Ascribed to Transaction Price | ||
Level III Assets | ||
Real assets, measurement input | 1 | |
Level III | Real Estate | Inputs to direct income capitalization, discounted cash flow and transaction price | Asset Management | Maximum | Weight Ascribed to Direct Income Capitalization | ||
Level III Assets | ||
Real assets, measurement input | 1 | |
Level III | Real Estate | Direct income capitalization | Asset Management | Weighted Average | Current Capitalization Rate | ||
Level III Assets | ||
Real assets, measurement input | 0.051 | |
Level III | Real Estate | Direct income capitalization | Asset Management | Minimum | Current Capitalization Rate | ||
Level III Assets | ||
Real assets, measurement input | 0.036 | |
Level III | Real Estate | Direct income capitalization | Asset Management | Maximum | Current Capitalization Rate | ||
Level III Assets | ||
Real assets, measurement input | 0.074 | |
Level III | Corporate Securities | Insurance | ||
Level III Assets | ||
Securities, fair value | $ 1,620,204,000 | |
Level III | Corporate Securities | Discounted cash flow | Insurance | Weighted Average | Discount Spread | ||
Level III Assets | ||
Securities, measurement input | 0.0201 | |
Level III | Corporate Securities | Discounted cash flow | Insurance | Minimum | Discount Spread | ||
Level III Assets | ||
Securities, measurement input | 0 | |
Level III | Corporate Securities | Discounted cash flow | Insurance | Maximum | Discount Spread | ||
Level III Assets | ||
Securities, measurement input | 0.0491 | |
Level III | Structured securities | Insurance | ||
Level III Assets | ||
Securities, fair value | $ 134,475,000 | |
Level III | Structured securities | Discounted cash flow | Insurance | Loss Severity | ||
Level III Assets | ||
Securities, measurement input | 1 | |
Level III | Structured securities | Discounted cash flow | Insurance | Weighted Average | Discount Spread | ||
Level III Assets | ||
Securities, measurement input | 0.0300 | |
Level III | Structured securities | Discounted cash flow | Insurance | Weighted Average | Constant Prepayment Rate | ||
Level III Assets | ||
Securities, measurement input | 0.0731 | |
Level III | Structured securities | Discounted cash flow | Insurance | Weighted Average | Constant Default Rate | ||
Level III Assets | ||
Securities, measurement input | 0.0117 | |
Level III | Structured securities | Discounted cash flow | Insurance | Minimum | Discount Spread | ||
Level III Assets | ||
Securities, measurement input | 0.0250 | |
Level III | Structured securities | Discounted cash flow | Insurance | Minimum | Constant Prepayment Rate | ||
Level III Assets | ||
Securities, measurement input | 0.0500 | |
Level III | Structured securities | Discounted cash flow | Insurance | Minimum | Constant Default Rate | ||
Level III Assets | ||
Securities, measurement input | 0.0100 | |
Level III | Structured securities | Discounted cash flow | Insurance | Maximum | Discount Spread | ||
Level III Assets | ||
Securities, measurement input | 0.0575 | |
Level III | Structured securities | Discounted cash flow | Insurance | Maximum | Constant Prepayment Rate | ||
Level III Assets | ||
Securities, measurement input | 0.1500 | |
Level III | Structured securities | Discounted cash flow | Insurance | Maximum | Constant Default Rate | ||
Level III Assets | ||
Securities, measurement input | 0.0250 |
FAIR VALUE MEASUREMENTS - Instr
FAIR VALUE MEASUREMENTS - Instruments Not Carried At Fair Value (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 | Mar. 31, 2021 | Dec. 31, 2020 |
Financial liabilities: | ||||
Securities Sold Under Agreements to Repurchase | $ 829,044 | $ 312,965 | ||
Insurance | ||||
Financial assets: | ||||
Cash and cash equivalents | 4,590,032 | 3,391,934 | $ 5,467,012 | $ 0 |
Restricted cash and cash equivalents | 523,503 | 300,404 | $ 399,922 | $ 0 |
Financial liabilities: | ||||
Funds withheld payable at interest | 607,014 | 378,549 | ||
Securities Sold Under Agreements to Repurchase | 810,535 | 300,446 | ||
Insurance | Carrying Value | ||||
Financial assets: | ||||
Mortgage and other loan receivables | 30,568,779 | 28,044,085 | ||
Policy loans | 762,460 | 765,310 | ||
FHLB common stock and other investments | 185,013 | 171,842 | ||
Funds withheld receivables at interest | 2,958,607 | 2,967,708 | ||
Cash and cash equivalents | 4,590,032 | 3,391,934 | ||
Restricted cash and cash equivalents | 523,503 | 300,404 | ||
Total Assets at Fair Value | 39,588,394 | 35,641,283 | ||
Financial liabilities: | ||||
Other contractholder deposit funds | 34,823,758 | 30,295,965 | ||
Supplementary contracts without life contingencies | 11,765 | 31,118 | ||
Funding agreements | 2,562,684 | 2,566,410 | ||
Funds withheld payable at interest | 23,001,222 | 23,509,744 | ||
Debt obligations | 2,029,769 | 1,908,006 | ||
Securities Sold Under Agreements to Repurchase | 810,535 | 300,446 | ||
Total financial liabilities | 63,239,733 | 58,611,689 | ||
Insurance | Fair Value | ||||
Financial assets: | ||||
Mortgage and other loan receivables | 30,759,101 | 28,645,675 | ||
Policy loans | 759,299 | 754,530 | ||
FHLB common stock and other investments | 185,013 | 171,842 | ||
Funds withheld receivables at interest | 2,958,607 | 2,967,708 | ||
Cash and cash equivalents | 4,590,032 | 3,391,934 | ||
Restricted cash and cash equivalents | 523,503 | 300,404 | ||
Total Assets at Fair Value | 39,775,555 | 36,232,093 | ||
Financial liabilities: | ||||
Other contractholder deposit funds | 32,804,568 | 28,419,520 | ||
Supplementary contracts without life contingencies | 11,959 | 31,311 | ||
Funding agreements | 2,515,380 | 2,549,494 | ||
Funds withheld payable at interest | 23,001,222 | 23,509,744 | ||
Debt obligations | 1,923,154 | 1,953,631 | ||
Securities Sold Under Agreements to Repurchase | 810,535 | 300,446 | ||
Total financial liabilities | 61,066,818 | 56,764,146 | ||
Level I | Insurance | Fair Value | ||||
Financial assets: | ||||
Mortgage and other loan receivables | 0 | 0 | ||
Policy loans | 0 | 0 | ||
FHLB common stock and other investments | 0 | 0 | ||
Funds withheld receivables at interest | 0 | 0 | ||
Cash and cash equivalents | 4,590,032 | 3,391,934 | ||
Restricted cash and cash equivalents | 523,503 | 300,404 | ||
Total Assets at Fair Value | 5,113,535 | 3,692,338 | ||
Financial liabilities: | ||||
Other contractholder deposit funds | 0 | 0 | ||
Supplementary contracts without life contingencies | 0 | 0 | ||
Funding agreements | 0 | 0 | ||
Funds withheld payable at interest | 0 | 0 | ||
Debt obligations | 0 | 0 | ||
Securities Sold Under Agreements to Repurchase | 0 | 0 | ||
Total financial liabilities | 0 | 0 | ||
Level II | Insurance | Fair Value | ||||
Financial assets: | ||||
Mortgage and other loan receivables | 0 | 0 | ||
Policy loans | 0 | 0 | ||
FHLB common stock and other investments | 0 | 0 | ||
Funds withheld receivables at interest | 2,958,607 | 2,967,708 | ||
Cash and cash equivalents | 0 | 0 | ||
Restricted cash and cash equivalents | 0 | 0 | ||
Total Assets at Fair Value | 2,958,607 | 2,967,708 | ||
Financial liabilities: | ||||
Other contractholder deposit funds | 32,804,568 | 28,419,520 | ||
Supplementary contracts without life contingencies | 0 | 0 | ||
Funding agreements | 0 | 0 | ||
Funds withheld payable at interest | 23,001,222 | 23,509,744 | ||
Debt obligations | 0 | 0 | ||
Securities Sold Under Agreements to Repurchase | 810,535 | 300,446 | ||
Total financial liabilities | 56,616,325 | 52,229,710 | ||
Level III | Insurance | ||||
Financial assets: | ||||
Funds withheld receivables at interest | 8,196 | |||
Financial liabilities: | ||||
Other contractholder deposit funds | 466,408 | |||
Funds withheld payable at interest | (1,219,491) | |||
Level III | Insurance | Fair Value | ||||
Financial assets: | ||||
Mortgage and other loan receivables | 30,759,101 | 28,645,675 | ||
Policy loans | 759,299 | 754,530 | ||
FHLB common stock and other investments | 185,013 | 171,842 | ||
Funds withheld receivables at interest | 0 | 0 | ||
Cash and cash equivalents | 0 | 0 | ||
Restricted cash and cash equivalents | 0 | 0 | ||
Total Assets at Fair Value | 31,703,413 | 29,572,047 | ||
Financial liabilities: | ||||
Other contractholder deposit funds | 0 | 0 | ||
Supplementary contracts without life contingencies | 11,959 | 31,311 | ||
Funding agreements | 2,515,380 | 2,549,494 | ||
Funds withheld payable at interest | 0 | 0 | ||
Debt obligations | 1,923,154 | 1,953,631 | ||
Securities Sold Under Agreements to Repurchase | 0 | 0 | ||
Total financial liabilities | $ 4,450,493 | $ 4,534,436 |
FAIR VALUE OPTION - Financial I
FAIR VALUE OPTION - Financial Instruments (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Assets | $ 27,011,347 | $ 28,352,362 |
Liabilities | 22,949,605 | 23,140,762 |
Asset Management | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Assets | 24,596,609 | 26,078,086 |
Liabilities | 21,213,206 | 21,271,084 |
Insurance | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Assets | 2,414,738 | 2,274,276 |
Liabilities | 1,736,399 | 1,869,678 |
Credit | Asset Management | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Assets | 696,906 | 2,019,229 |
Investments of Consolidated CFEs | Asset Management | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Assets | 22,014,866 | 22,076,809 |
Real Assets | Asset Management | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Assets | 207,543 | 182,858 |
Equity Method - Other | Asset Management | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Assets | 1,507,802 | 1,601,515 |
Other Investments | Asset Management | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Assets | 169,492 | 197,675 |
Other Investments | Insurance | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Assets | 174,875 | 147,811 |
Mortgage and other loan receivables | Insurance | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Assets | 1,007,906 | 832,674 |
Reinsurance recoverable | Insurance | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Assets | 1,231,957 | 1,293,791 |
Debt Obligations of Consolidated CFEs | Asset Management | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Liabilities | 21,213,206 | 21,271,084 |
Policy loans | Insurance | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Liabilities | $ 1,736,399 | $ 1,869,678 |
FAIR VALUE OPTION - Change in F
FAIR VALUE OPTION - Change in Fair Value (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Fair value, option, assets, net realized gains (losses) | $ (44,506) | $ (12,236) |
Fair value, option, liabilities, net realized gains (losses) | (785) | (2,048) |
Fair value, option, assets, net unrealized gains (losses) | (313,128) | 357,637 |
Fair value, option, liabilities, net unrealized gains (losses) | 268,477 | (109,930) |
Fair value, option, assets, total gains (losses) | (357,634) | 345,401 |
Fair value, option, liabilities, total gains (losses) | 267,692 | (111,978) |
Asset Management | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Fair value, option, assets, net realized gains (losses) | (44,506) | (12,236) |
Fair value, option, liabilities, net realized gains (losses) | (785) | (2,048) |
Fair value, option, assets, net unrealized gains (losses) | (313,850) | 346,210 |
Fair value, option, liabilities, net unrealized gains (losses) | 226,058 | (44,096) |
Fair value, option, assets, total gains (losses) | (358,356) | 333,974 |
Fair value, option, liabilities, total gains (losses) | 225,273 | (46,144) |
Insurance | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Fair value, option, assets, net realized gains (losses) | 0 | 0 |
Fair value, option, liabilities, net realized gains (losses) | 0 | 0 |
Fair value, option, assets, net unrealized gains (losses) | 722 | 11,427 |
Fair value, option, liabilities, net unrealized gains (losses) | 42,419 | (65,834) |
Fair value, option, assets, total gains (losses) | 722 | 11,427 |
Fair value, option, liabilities, total gains (losses) | 42,419 | (65,834) |
Credit | Asset Management | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Fair value, option, assets, net realized gains (losses) | (37,515) | (15,689) |
Fair value, option, assets, net unrealized gains (losses) | (15,834) | (18,745) |
Fair value, option, assets, total gains (losses) | (53,349) | (34,434) |
Investments of Consolidated CFEs | Asset Management | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Fair value, option, assets, net realized gains (losses) | 2,949 | (2,628) |
Fair value, option, assets, net unrealized gains (losses) | (269,548) | 128,143 |
Fair value, option, assets, total gains (losses) | (266,599) | 125,515 |
Real Assets | Asset Management | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Fair value, option, assets, net realized gains (losses) | 85 | 47 |
Fair value, option, assets, net unrealized gains (losses) | 24,685 | 727 |
Fair value, option, assets, total gains (losses) | 24,770 | 774 |
Other Investments | Asset Management | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Fair value, option, assets, net realized gains (losses) | 6,308 | 5,050 |
Fair value, option, assets, net unrealized gains (losses) | (7,685) | 7,004 |
Fair value, option, assets, total gains (losses) | (1,377) | 12,054 |
Other Investments | Insurance | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Fair value, option, assets, net realized gains (losses) | 0 | 0 |
Fair value, option, assets, net unrealized gains (losses) | 27,737 | 3,866 |
Fair value, option, assets, total gains (losses) | 27,737 | 3,866 |
Equity Method - Other | Asset Management | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Fair value, option, assets, net realized gains (losses) | (16,333) | 984 |
Fair value, option, assets, net unrealized gains (losses) | (45,468) | 229,081 |
Fair value, option, assets, total gains (losses) | (61,801) | 230,065 |
Mortgage and other loan receivables | Insurance | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Fair value, option, assets, net realized gains (losses) | 0 | 0 |
Fair value, option, assets, net unrealized gains (losses) | (27,015) | 7,561 |
Fair value, option, assets, total gains (losses) | (27,015) | 7,561 |
Debt Obligations of Consolidated CFEs | Asset Management | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Fair value, option, liabilities, net realized gains (losses) | (785) | (2,048) |
Fair value, option, liabilities, net unrealized gains (losses) | 226,058 | (44,096) |
Fair value, option, liabilities, total gains (losses) | 225,273 | (46,144) |
Policy loans | Insurance | ||
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Fair value, option, liabilities, net realized gains (losses) | 0 | 0 |
Fair value, option, liabilities, net unrealized gains (losses) | 42,419 | (65,834) |
Fair value, option, liabilities, total gains (losses) | $ 42,419 | $ (65,834) |
INSURANCE INTANGIBLES, UNEARN_3
INSURANCE INTANGIBLES, UNEARNED REVENUE RESERVES AND UNEARNED FRONT-END LOADS - Deferred Policy Acquisition Costs (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Movement Analysis of Deferred Policy Acquisition Costs [Roll Forward] | ||
Balance, as of beginning of period | $ 447,886 | $ 0 |
Deferrals | 114,935 | 76,694 |
Amortized to expense during the period | (9,343) | 798 |
Adjustment for unrealized investment-related losses (gains) during the period | (14,313) | 0 |
Balance, as of end of period | $ 539,165 | $ 77,492 |
INSURANCE INTANGIBLES, UNEARN_4
INSURANCE INTANGIBLES, UNEARNED REVENUE RESERVES AND UNEARNED FRONT-END LOADS - Value of Business Acquired Asset (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Movement in Present Value of Future Insurance Profits [Roll Forward] | ||
Balance, as of beginning of period | $ 959,263 | $ 1,024,520 |
Amortized to expense during period | (17,144) | (12,182) |
Balance, as of end of period | $ 942,119 | $ 1,012,338 |
INSURANCE INTANGIBLES, UNEARN_5
INSURANCE INTANGIBLES, UNEARNED REVENUE RESERVES AND UNEARNED FRONT-END LOADS - Value of Business Acquired Liability (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Movement In Value Of Business Acquired Liability [Roll Forward] | ||
Balance, as of beginning of period | $ 1,118,716 | $ 1,273,414 |
Amortized to expense during period | (34,220) | (31,862) |
Balance, as of end of period | $ 1,084,496 | $ 1,241,552 |
INSURANCE INTANGIBLES, UNEARN_6
INSURANCE INTANGIBLES, UNEARNED REVENUE RESERVES AND UNEARNED FRONT-END LOADS - Unearned Revenue Reserve (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Change In Contract With Customer, Asset And Liability [Roll Forward] | ||
Balance, as of beginning of period | $ 33,603 | $ 0 |
Deferrals | 16,686 | 9,575 |
Amortized to expense during the period | (5,934) | (2,013) |
Adjustment for unrealized investment-related gains during the period | (40,577) | 0 |
Balance, as of end of period | $ 3,778 | $ 7,562 |
REINSURANCE - Effects of Reinsu
REINSURANCE - Effects of Reinsurance Agreements (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Policy liabilities: | ||
Direct | $ 68,444,765 | $ 67,131,818 |
Assumed | 62,631,922 | 59,388,226 |
Total policy liabilities | 131,076,687 | 126,520,044 |
Ceded | (24,625,159) | (25,035,228) |
Net policy liabilities | $ 106,451,528 | $ 101,484,816 |
REINSURANCE - Credit Quality In
REINSURANCE - Credit Quality Indicator (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Ceded Credit Risk [Line Items] | ||
Reinsurance recoverable and funds withheld receivable at interest | $ 27,625,900 | $ 28,038,902 |
Credit enhancements | 21,781,731 | 23,490,354 |
Credit loss allowance | 28,100 | 8,400 |
Affiliated Entity | ||
Ceded Credit Risk [Line Items] | ||
Net reinsurance credit exposure | 5,844,169 | 5,173,730 |
A++ | ||
Ceded Credit Risk [Line Items] | ||
Reinsurance recoverable and funds withheld receivable at interest | 8,810 | 7,911 |
Credit enhancements | 0 | 0 |
Net reinsurance credit exposure | 8,810 | 7,911 |
A+ | ||
Ceded Credit Risk [Line Items] | ||
Reinsurance recoverable and funds withheld receivable at interest | 1,977,750 | 1,989,426 |
Credit enhancements | 0 | 0 |
Net reinsurance credit exposure | 1,977,750 | 1,989,426 |
A | ||
Ceded Credit Risk [Line Items] | ||
Reinsurance recoverable and funds withheld receivable at interest | 2,571,414 | 2,652,286 |
Credit enhancements | 0 | 0 |
Net reinsurance credit exposure | 2,571,414 | 2,652,286 |
A- | ||
Ceded Credit Risk [Line Items] | ||
Reinsurance recoverable and funds withheld receivable at interest | 5,587,142 | 5,645,633 |
Credit enhancements | 4,822,173 | 5,166,559 |
Net reinsurance credit exposure | 764,969 | 479,074 |
B++ | ||
Ceded Credit Risk [Line Items] | ||
Reinsurance recoverable and funds withheld receivable at interest | 37,176 | 33,410 |
Credit enhancements | 0 | 0 |
Net reinsurance credit exposure | 37,176 | 33,410 |
B+ | ||
Ceded Credit Risk [Line Items] | ||
Reinsurance recoverable and funds withheld receivable at interest | 1,564 | 1,122 |
Credit enhancements | 0 | 0 |
Net reinsurance credit exposure | 1,564 | 1,122 |
B | ||
Ceded Credit Risk [Line Items] | ||
Reinsurance recoverable and funds withheld receivable at interest | 9,290 | 9,227 |
Credit enhancements | 0 | 0 |
Net reinsurance credit exposure | 9,290 | 9,227 |
B- | ||
Ceded Credit Risk [Line Items] | ||
Reinsurance recoverable and funds withheld receivable at interest | 1,850 | 1,274 |
Credit enhancements | 0 | 0 |
Net reinsurance credit exposure | 1,850 | 1,274 |
Not rated | ||
Ceded Credit Risk [Line Items] | ||
Reinsurance recoverable and funds withheld receivable at interest | 17,430,904 | 17,698,613 |
Credit enhancements | 16,959,558 | 18,323,795 |
Net reinsurance credit exposure | 471,346 | 0 |
Not rated | Affiliated Entity | ||
Ceded Credit Risk [Line Items] | ||
Net reinsurance credit exposure | $ 17,400,000 | $ 17,700,000 |
REINSURANCE - Additional Inform
REINSURANCE - Additional Information (Details) $ in Millions | Mar. 31, 2022USD ($)counterparty | Dec. 31, 2021USD ($)counterparty |
Effects of Reinsurance [Line Items] | ||
Funds withheld receivable at interest | $ 3,000 | $ 3,000 |
Number of counterparties | counterparty | 6 | 6 |
Collateral held on behalf of reinsurers | $ 22,900 | $ 23,400 |
Collateral held on our behalf by reinsurers | 1,400 | 1,300 |
Reinsurer collateral, minimum amount held by trusts | 58,600 | 55,200 |
Reinsurer collateral, reserves supported by trust assets | 59,000 | 55,800 |
Cash Held In Trust | ||
Effects of Reinsurance [Line Items] | ||
Restricted cash | $ 159.7 | $ 149.3 |
REINSURANCE - Effects of Rein_2
REINSURANCE - Effects of Reinsurance on Statements of Operations (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Premiums: | ||
Direct | $ 36,573 | $ 14,175 |
Assumed | 401,515 | 1,280,753 |
Ceded | (65,944) | (118,786) |
Net Premiums | 372,144 | 1,176,142 |
Policy fees: | ||
Direct | 240,991 | 148,999 |
Assumed | 77,778 | 52,955 |
Ceded | (333) | (271) |
Net policy fees | 318,436 | 201,683 |
Policyholder Benefits and Claims Incurred [Abstract] | ||
Direct | 235,604 | 182,801 |
Assumed | 604,233 | 1,467,127 |
Ceded | (113,777) | (164,610) |
Net policy benefits and claims | $ 726,060 | 1,485,318 |
Affiliated Entity | ||
Premiums: | ||
Assumed | 2,700 | |
Policy fees: | ||
Assumed | 2,100 | |
Policyholder Benefits and Claims Incurred [Abstract] | ||
Assumed | $ 22,500 |
NET INCOME (LOSS) ATTRIBUTABL_3
NET INCOME (LOSS) ATTRIBUTABLE TO KKR & CO. INC. PER SHARE OF COMMON STOCK - Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
NET INCOME (LOSS) ATTRIBUTABLE TO KKR & CO. INC. PER SHARE OF COMMON STOCK | ||
Net Income (Loss) Attributable to KKR & Co. Inc. Common Stockholders | $ (73,770) | $ 1,644,245 |
Accumulated Series C Mandatory Convertible Preferred Dividend (if dilutive) | 17,300 | |
Net Income (Loss) Available to KKR & Co. Inc. Common Stockholders - Diluted | (73,770) | 1,661,495 |
Series C Mandatory Convertible Preferred Stock | ||
NET INCOME (LOSS) ATTRIBUTABLE TO KKR & CO. INC. PER SHARE OF COMMON STOCK | ||
Accumulated Series C Mandatory Convertible Preferred Dividend (if dilutive) | $ 0 | $ 17,250 |
Incremental Common Shares: | ||
Assumed conversion of Series C Mandatory Convertible Preferred Stock (in shares) | 0 | 26,822,600 |
Common Stock | ||
Basic Net Income (Loss) Per Share of Common Stock | ||
Weighted Average Shares of Common Stock Outstanding - Basic (in shares) | 592,202,835 | 576,727,967 |
Net Income (Loss) Attributable to KKR & Co. Inc. Per Share of Common Stock - Basic (in dollars per share) | $ (0.12) | $ 2.85 |
Diluted Net Income (Loss) Per Share of Common Stock | ||
Weighted Average Shares of Common Stock Outstanding - Basic (in shares) | 592,202,835 | 576,727,967 |
Incremental Common Shares: | ||
Assumed vesting of dilutive equity awards (in shares) | 0 | 17,337,924 |
Weighted Average Shares of Common Stock Outstanding - Diluted (in shares) | 592,202,835 | 620,888,491 |
Net Income (Loss) Attributable to KKR & Co. Inc. Per Share of Common Stock - Diluted (in dollars per share) | $ (0.12) | $ 2.68 |
NET INCOME (LOSS) ATTRIBUTABL_4
NET INCOME (LOSS) ATTRIBUTABLE TO KKR & CO. INC. PER SHARE OF COMMON STOCK - Narrative (Details) - USD ($) $ in Thousands | Aug. 14, 2020 | Mar. 31, 2022 | Mar. 31, 2021 |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Accumulated Series C Mandatory Convertible Preferred Dividend (if dilutive) | $ 17,300 | ||
Stock excluded from earnings per share calculation (in shares) | 258,726,163 | 274,748,078 | |
Series C Mandatory Convertible Preferred Stock | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Assumed conversion of Series C Mandatory Convertible Preferred Stock (in shares) | 0 | 26,822,600 | |
Consecutive trading days | 20 days | ||
Trading days prior to period end | 21 days | ||
Accumulated Series C Mandatory Convertible Preferred Dividend (if dilutive) | $ 0 | $ 17,250 | |
Common Stock | Market Condition Awards | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Stock excluded from earnings per share calculation (in shares) | 17,000,000 | 15,300,000 |
NET INCOME (LOSS) ATTRIBUTABL_5
NET INCOME (LOSS) ATTRIBUTABLE TO KKR & CO. INC. PER SHARE OF COMMON STOCK - Antidilutive Securities (Details) - shares | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Earnings Per Share [Abstract] | ||
Weighted Average KKR Holding Units (in shares) | 258,726,163 | 274,748,078 |
OTHER ASSETS AND ACCRUED EXPE_3
OTHER ASSETS AND ACCRUED EXPENSES AND OTHER LIABILITIES - Other Assets (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | ||
Oct. 31, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | Dec. 31, 2021 | |
Segment Reporting, Asset Reconciling Item [Line Items] | ||||
Total Other Assets | $ 8,710,489 | $ 7,939,831 | ||
Operating lease, weighted average remaining lease term (in years) | 26 years 10 months 24 days | 27 years 10 months 24 days | ||
Immaterial acquisition | ||||
Segment Reporting, Asset Reconciling Item [Line Items] | ||||
GA Rollover Investors | $ 4,600 | |||
Asset Management | ||||
Segment Reporting, Asset Reconciling Item [Line Items] | ||||
Unsettled Investment Sales | $ 200,402 | $ 182,267 | ||
Receivables | 82,966 | 81,133 | ||
Due from Broker | 28,899 | 365,053 | ||
Deferred Tax Assets, net | 95,533 | 85,770 | ||
Interest Receivable | 147,124 | 144,221 | ||
Fixed Assets, net | 819,069 | 820,143 | ||
Foreign Exchange Contracts and Options | 367,079 | 590,637 | ||
Goodwill | 83,500 | 83,500 | ||
Derivative Assets | 5,294 | 491 | ||
Prepaid Taxes | 65,692 | 93,296 | ||
Prepaid Expenses | 37,127 | 29,290 | ||
Operating Lease Right of Use Assets | 220,458 | 228,363 | ||
Deferred Financing Costs | 15,989 | 17,953 | ||
Other | 238,582 | 164,196 | ||
Total Other Assets | 2,407,714 | 2,886,313 | ||
Accumulated depreciation and amortization of fixed assets | 153,500 | $ 141,600 | ||
Depreciation and amortization expense of fixed assets | 12,700 | $ 11,000 | ||
Operating lease cost | $ 12,200 | 11,500 | ||
Operating lease, weighted average remaining lease term (in years) | 9 years 4 months 24 days | 9 years 6 months | ||
Insurance | ||||
Segment Reporting, Asset Reconciling Item [Line Items] | ||||
Unsettled Investment Sales | $ 1,613,094 | $ 941,427 | ||
Deferred Tax Assets, net | 1,536,986 | 755,876 | ||
Goodwill | 501,496 | 501,496 | ||
Derivative Assets | 1,024,589 | 1,295,950 | ||
Accrued Investment Income | 898,120 | 817,486 | ||
Intangible Assets and Deferred Sales Inducements | 289,412 | 293,824 | ||
Operating Lease Right of Use Assets | 171,344 | 160,888 | ||
Deferred Financing Costs | 18,413 | 18,675 | ||
Other | 96,576 | 96,093 | ||
Premiums and Other Account Receivables | 117,997 | 86,524 | ||
Current Income Tax Recoverable | 53,161 | 103,954 | ||
Total Other Assets | 6,302,775 | 5,053,518 | ||
Operating lease cost | 5,900 | 2,600 | ||
Deferred rent and lease incentives | $ 22,200 | $ 22,700 | ||
Definite lived intangible assets, useful life | 16 years | |||
Amortization expense of definite lived intangible assets | $ 4,400 | $ 2,500 | ||
Operating lease, weighted average remaining lease term (in years) | 7 years 7 months 6 days | 7 years 9 months 18 days | ||
Insurance | Immaterial acquisition | ||||
Segment Reporting, Asset Reconciling Item [Line Items] | ||||
Goodwill | $ 4,500 |
OTHER ASSETS AND ACCRUED EXPE_4
OTHER ASSETS AND ACCRUED EXPENSES AND OTHER LIABILITIES - Accounts Payable, Accrued Expenses and Other Liabilities (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Dec. 31, 2021 | |
Lessee, Lease, Description [Line Items] | ||
Securities Sold Under Agreements to Repurchase | $ 829,044 | $ 312,965 |
Total Accrued Expenses and Other Liabilities | $ 11,857,627 | $ 11,160,463 |
Operating lease, weighted average remaining lease term (in years) | 26 years 10 months 24 days | 27 years 10 months 24 days |
Asset Management | ||
Lessee, Lease, Description [Line Items] | ||
Amounts Payable to Carry Pool | $ 3,138,465 | $ 3,650,312 |
Unsettled Investment Purchases | 1,138,357 | 1,315,163 |
Securities Sold Short | 136,128 | 249,383 |
Derivative Liabilities | 28,077 | 45,003 |
Accrued Compensation and Benefits | 438,550 | 210,789 |
Interest Payable | 161,358 | 162,801 |
Foreign Exchange Contracts and Options | 239,875 | 319,511 |
Accounts Payable and Accrued Expenses | 170,398 | 187,564 |
Taxes Payable | 104,796 | 42,745 |
Uncertain Tax Positions | 54,975 | 78,226 |
Unfunded Revolver Commitments | 64,556 | 64,276 |
Operating Lease Liabilities | 223,652 | 230,995 |
Deferred tax liabilities, net | 791,575 | 900,436 |
Other Liabilities | 551,024 | 439,693 |
Total Accrued Expenses and Other Liabilities | $ 7,241,786 | $ 7,896,897 |
Operating lease, maximum extension term (in years) | 3 years | |
Operating lease, weighted average remaining lease term (in years) | 9 years 4 months 24 days | 9 years 6 months |
Operating lease, weighted average discount rate (as a percentage) | 1.20% | 1.20% |
Insurance | ||
Lessee, Lease, Description [Line Items] | ||
Unsettled Investment Purchases | $ 1,138,365 | $ 395,722 |
Derivative Liabilities | 462,202 | 145,163 |
Interest Payable | 32,353 | 12,930 |
Operating Lease Liabilities | 190,855 | 180,574 |
Collateral on Derivative Instruments | 894,687 | 1,086,061 |
Accrued Expenses | 753,160 | 747,237 |
Securities Sold Under Agreements to Repurchase | 810,535 | 300,446 |
Accrued Employee Related Expenses | 248,861 | 280,668 |
Tax Payable to Former Parent Company | 64,886 | 74,423 |
Accounts and Commissions Payable | 15,196 | 26,054 |
Other Tax Related Liabilities | 4,741 | 14,288 |
Total Accrued Expenses and Other Liabilities | $ 4,615,841 | $ 3,263,566 |
Operating lease, weighted average remaining lease term (in years) | 7 years 7 months 6 days | 7 years 9 months 18 days |
Operating lease, weighted average discount rate (as a percentage) | 2.90% | 2.90% |
Operating lease, optional extension period | 10 years | |
Minimum | Asset Management | ||
Lessee, Lease, Description [Line Items] | ||
Operating lease, remaining lease term | 1 year | |
Minimum | Insurance | ||
Lessee, Lease, Description [Line Items] | ||
Operating lease, remaining lease term | 1 year | |
Maximum | Asset Management | ||
Lessee, Lease, Description [Line Items] | ||
Operating lease, remaining lease term | 14 years | |
Maximum | Insurance | ||
Lessee, Lease, Description [Line Items] | ||
Operating lease, remaining lease term | 12 years |
VARIABLE INTEREST ENTITIES - Na
VARIABLE INTEREST ENTITIES - Narrative (Details) - Investments in Unconsolidated Investment Funds $ in Millions | Mar. 31, 2022USD ($) |
KKR | |
Variable Interest Entity [Line Items] | |
Commitment to unconsolidated investment funds | $ 4,900 |
Global Atlantic | |
Variable Interest Entity [Line Items] | |
Unfunded commitments | $ 23.7 |
VARIABLE INTEREST ENTITIES - Ma
VARIABLE INTEREST ENTITIES - Maximum Exposure to Loss (Details) - Investments in Unconsolidated CLO Vehicles - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Variable Interest Entity [Line Items] | ||
Maximum Exposure to Loss | $ 11,517,043 | $ 12,807,021 |
Asset Management | ||
Variable Interest Entity [Line Items] | ||
Investments | 10,254,226 | 11,539,945 |
Due from (to) Affiliates, net | 1,027,639 | 1,046,210 |
Maximum Exposure to Loss | 11,281,865 | 12,586,155 |
Insurance | ||
Variable Interest Entity [Line Items] | ||
Investments | 204,984 | 190,106 |
Investment in Renewable Partnerships - Insurance | 30,194 | 30,760 |
Maximum Exposure to Loss | $ 235,178 | $ 220,866 |
DEBT OBLIGATIONS - KKR's Borrow
DEBT OBLIGATIONS - KKR's Borrowings (Details) - Asset Management | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2022USD ($) | Dec. 31, 2021USD ($) | Mar. 31, 2022JPY (¥) | Mar. 31, 2022EUR (€) | |
Debt Instrument [Line Items] | ||||
Financing Available | $ 8,163,786,000 | $ 7,420,554,000 | ||
Borrowing Outstanding | 36,112,872,000 | 36,669,755,000 | ||
Fair Value | 35,943,185,000 | 37,329,255,000 | ||
Other Debt Obligations | ||||
Debt Instrument [Line Items] | ||||
Financing Available | 5,685,293,000 | 4,941,755,000 | ||
Borrowing Outstanding | 29,501,699,000 | 30,033,601,000 | ||
Fair Value | 29,501,699,000 | 30,033,601,000 | ||
Secured Debt | ||||
Debt Instrument [Line Items] | ||||
Financing Available | 5,685,293,000 | |||
Borrowing Outstanding | 29,501,699,000 | |||
Fair Value | 29,501,699,000 | |||
Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Borrowing Outstanding | 6,611,173,000 | 6,636,154,000 | ||
Fair Value | 6,441,486,000 | 7,295,654,000 | ||
Senior Notes | KKR Issued 0.509% Notes Due 2023 | ||||
Debt Instrument [Line Items] | ||||
Borrowing Outstanding | 204,706,000 | 216,881,000 | ||
Fair Value | 204,479,000 | 216,818,000 | ||
Aggregate principal amount | $ 205,000,000 | ¥ 25,000,000,000 | ||
Interest rate, stated percentage | 0.509% | 0.509% | 0.509% | |
Senior Notes | KKR Issued 0.764% Notes Due 2025 | ||||
Debt Instrument [Line Items] | ||||
Borrowing Outstanding | $ 40,661,000 | 43,082,000 | ||
Fair Value | 40,881,000 | 43,452,000 | ||
Aggregate principal amount | $ 41,000,000 | ¥ 5,000,000,000 | ||
Interest rate, stated percentage | 0.764% | 0.764% | 0.764% | |
Senior Notes | KKR Issued 1.625% Notes Due 2029 | ||||
Debt Instrument [Line Items] | ||||
Borrowing Outstanding | $ 717,092,000 | 729,048,000 | ||
Fair Value | 703,183,000 | 776,926,000 | ||
Aggregate principal amount | $ 723,800,000 | € 650,000,000 | ||
Interest rate, stated percentage | 1.625% | 1.625% | 1.625% | |
Senior Notes | KKR Issued 3.750% Notes Due 2029 | ||||
Debt Instrument [Line Items] | ||||
Borrowing Outstanding | $ 743,555,000 | 743,333,000 | ||
Fair Value | 766,035,000 | 825,540,000 | ||
Aggregate principal amount | $ 750,000,000 | |||
Interest rate, stated percentage | 3.75% | 3.75% | 3.75% | |
Senior Notes | KKR Issued 1.595% Notes Due 2038 | ||||
Debt Instrument [Line Items] | ||||
Borrowing Outstanding | $ 83,473,000 | 88,505,000 | ||
Fair Value | 83,191,000 | 92,198,000 | ||
Aggregate principal amount | $ 84,500,000 | ¥ 10,300,000,000 | ||
Interest rate, stated percentage | 1.595% | 1.595% | 1.595% | |
Senior Notes | KKR Issued 5.500% Notes Due 2043 | ||||
Debt Instrument [Line Items] | ||||
Borrowing Outstanding | $ 491,451,000 | 491,153,000 | ||
Fair Value | 567,543,000 | 661,351,000 | ||
Aggregate principal amount | $ 500,000,000 | |||
Interest rate, stated percentage | 5.50% | 5.50% | 5.50% | |
Senior Notes | KKR Issued 5.125% Notes Due 2044 | ||||
Debt Instrument [Line Items] | ||||
Borrowing Outstanding | $ 956,647,000 | 951,462,000 | ||
Fair Value | 1,074,160,000 | 1,237,888,000 | ||
Aggregate principal amount | $ 1,000,000,000 | |||
Interest rate, stated percentage | 5.125% | 5.125% | 5.125% | |
Senior Notes | KKR Issued 3.625% Notes Due 2050 | ||||
Debt Instrument [Line Items] | ||||
Borrowing Outstanding | $ 492,553,000 | 492,486,000 | ||
Fair Value | 447,275,000 | 535,550,000 | ||
Aggregate principal amount | $ 500,000,000 | |||
Interest rate, stated percentage | 3.625% | 3.625% | 3.625% | |
Senior Notes | KKR Issued 3.500% Notes Due 2050 | ||||
Debt Instrument [Line Items] | ||||
Borrowing Outstanding | $ 736,056,000 | 735,905,000 | ||
Fair Value | 658,983,000 | 784,650,000 | ||
Aggregate principal amount | $ 750,000,000 | |||
Interest rate, stated percentage | 3.50% | 3.50% | 3.50% | |
Senior Notes | Senior Notes 3.250 Percent Due 2051 | ||||
Debt Instrument [Line Items] | ||||
Borrowing Outstanding | $ 739,569,000 | 739,481,000 | ||
Fair Value | 629,693,000 | 747,900,000 | ||
Aggregate principal amount | $ 750,000,000 | |||
Interest rate, stated percentage | 3.25% | 3.25% | 3.25% | |
Senior Notes | KKR Issued 4.625% Notes Due 2061 | ||||
Debt Instrument [Line Items] | ||||
Borrowing Outstanding | $ 486,133,000 | 486,044,000 | ||
Fair Value | 439,000,000 | 523,200,000 | ||
Aggregate principal amount | $ 500,000,000 | |||
Interest rate, stated percentage | 4.625% | 4.625% | 4.625% | |
Senior Notes | KFN Issued 5.500% Notes Due 2032 | KFN | ||||
Debt Instrument [Line Items] | ||||
Borrowing Outstanding | $ 495,147,000 | 495,025,000 | ||
Fair Value | 466,871,000 | 487,779,000 | ||
Aggregate principal amount | $ 500,000,000 | |||
Interest rate, stated percentage | 5.50% | 5.50% | 5.50% | |
Senior Notes | KFN Issued 5.200% Notes Due 2033 | KFN | ||||
Debt Instrument [Line Items] | ||||
Borrowing Outstanding | $ 118,683,000 | 118,654,000 | ||
Fair Value | 108,766,000 | 115,535,000 | ||
Aggregate principal amount | $ 120,000,000 | |||
Interest rate, stated percentage | 5.20% | 5.20% | 5.20% | |
Senior Notes | KFN Issued 5.400% Notes Due 2033 | KFN | ||||
Debt Instrument [Line Items] | ||||
Borrowing Outstanding | $ 68,980,000 | 68,957,000 | ||
Fair Value | 64,437,000 | 68,532,000 | ||
Aggregate principal amount | $ 70,000,000 | |||
Interest rate, stated percentage | 5.40% | 5.40% | 5.40% | |
Senior Notes | KFN Issued Junior Subordinated Notes | KFN | ||||
Debt Instrument [Line Items] | ||||
Borrowing Outstanding | $ 236,467,000 | 236,138,000 | ||
Fair Value | 186,989,000 | $ 178,335,000 | ||
Aggregate principal amount | $ 258,500,000 | |||
Weighted average interest rate (percentage) | 2.60% | 2.60% | 2.60% | 2.60% |
Weighted average remaining maturity (in years) | 14 years 6 months | 14 years 9 months 18 days | ||
Revolving Credit Facility | ||||
Debt Instrument [Line Items] | ||||
Financing Available | $ 2,478,493,000 | $ 2,478,799,000 | ||
Revolving Credit Facility | Corporate Credit Agreement | ||||
Debt Instrument [Line Items] | ||||
Financing Available | 1,000,000,000 | 1,000,000,000 | ||
Borrowing Outstanding | 0 | 0 | ||
Fair Value | 0 | 0 | ||
Revolving Credit Facility | KCM Credit Agreement | ||||
Debt Instrument [Line Items] | ||||
Financing Available | 728,493,000 | 728,799,000 | ||
Borrowing Outstanding | 0 | 0 | ||
Fair Value | 0 | 0 | ||
Revolving Credit Facility | KCM 364-Day Revolving Credit Agreement | ||||
Debt Instrument [Line Items] | ||||
Financing Available | 750,000,000 | 750,000,000 | ||
Borrowing Outstanding | 0 | 0 | ||
Fair Value | $ 0 | $ 0 |
DEBT OBLIGATIONS - Asset Manage
DEBT OBLIGATIONS - Asset Management Revolving Credit Facilities (Details) - Revolving Credit Facility - KCM Short-term Credit Agreement | Apr. 09, 2021USD ($) |
Debt Instrument [Line Items] | |
Debt instrument, term | 364 days |
Line of credit facility, maximum borrowing capacity | $ 750,000,000 |
LIBOR | Minimum | Revolving Credit Facilities | |
Debt Instrument [Line Items] | |
Debt instrument, basis spread on variable rate | 1.50% |
LIBOR | Maximum | Revolving Credit Facilities | |
Debt Instrument [Line Items] | |
Debt instrument, basis spread on variable rate | 2.75% |
Base Rate | Minimum | Revolving Credit Facilities | |
Debt Instrument [Line Items] | |
Debt instrument, basis spread on variable rate | 0.50% |
Base Rate | Maximum | Revolving Credit Facilities | |
Debt Instrument [Line Items] | |
Debt instrument, basis spread on variable rate | 1.75% |
Federal Funds Rate | Revolving Credit Facilities | |
Debt Instrument [Line Items] | |
Debt instrument, basis spread on variable rate | 0.50% |
Secured Overnight Financing Rate (SOFR) | Maximum | Revolving Credit Facilities | |
Debt Instrument [Line Items] | |
Debt instrument, basis spread on variable rate | 1.00% |
DEBT OBLIGATIONS - Other Debt O
DEBT OBLIGATIONS - Other Debt Obligations (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Dec. 31, 2021 | |
Consolidated VIEs | ||
Debt Instrument [Line Items] | ||
Fair value of consolidated assets | $ 101,317,834 | $ 94,122,344 |
Consolidated VIEs | Consolidated CLOs | ||
Debt Instrument [Line Items] | ||
Fair value of consolidated assets | 23,043,405 | 23,466,130 |
Asset Management | ||
Debt Instrument [Line Items] | ||
Financing Available | 8,163,786 | 7,420,554 |
Borrowing Outstanding | 36,112,872 | 36,669,755 |
Fair Value | 35,943,185 | 37,329,255 |
Fair value of consolidated assets | 100,884,626 | 99,720,076 |
Asset Management | Consolidated VIEs | ||
Debt Instrument [Line Items] | ||
Borrowing Outstanding | 27,160,296 | 27,562,376 |
Fair value of consolidated assets | 75,555,915 | 72,064,884 |
Asset Management | Consolidated VIEs | Consolidated CLOs | ||
Debt Instrument [Line Items] | ||
Borrowing Outstanding | 21,213,206 | 21,271,084 |
Fair value of consolidated assets | 23,043,405 | $ 23,466,130 |
Financing Facilities of Consolidated Funds and Other | Asset Management | ||
Debt Instrument [Line Items] | ||
Financing Available | 5,685,293 | |
Borrowing Outstanding | 8,288,493 | |
Fair Value | $ 8,288,493 | |
Weighted Average Interest Rate | 3.50% | |
Weighted Average Remaining Maturity in Years | 4 years 4 months 24 days | |
Debt Obligations of Consolidated CFEs | Asset Management | ||
Debt Instrument [Line Items] | ||
Financing Available | $ 5,685,293 | |
Borrowing Outstanding | 29,501,699 | |
Fair Value | $ 29,501,699 | |
Debt Obligations of Consolidated CFEs | Consolidated CLO | ||
Debt Instrument [Line Items] | ||
Weighted Average Interest Rate | 1.90% | |
Borrowings collateralized by fund investments | $ 2,000,000 | |
Debt Obligations of Consolidated CFEs | Consolidated CLO | Asset Management | ||
Debt Instrument [Line Items] | ||
Financing Available | 0 | |
Borrowing Outstanding | 21,213,206 | |
Fair Value | $ 21,213,206 | |
Weighted Average Remaining Maturity in Years | 10 years 6 months |
DEBT OBLIGATIONS - Global Atlan
DEBT OBLIGATIONS - Global Atlantic's Borrowings (Details) - Insurance - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Dec. 31, 2021 | |
Debt Instrument [Line Items] | |||
Borrowings Outstanding, net | $ 2,100,000 | $ 1,900,000 | |
Purchase Accounting Adjustments | 45,618 | 51,050 | |
Debt issuance costs, net of accumulated amortization | (18,413) | (18,675) | |
Fair value loss (gain) of hedged debt obligations, recognized in earnings | (97,436) | (24,369) | |
Borrowing Outstanding, Gross | 2,029,769 | 1,908,006 | |
Fair Value | 1,993,385 | 1,945,625 | |
Amortization of purchase accounting adjustments | 5,400 | $ 2,000 | |
Global Atlantic Revolving Credit Facility Due August 2026 | Revolving Credit Facility | |||
Debt Instrument [Line Items] | |||
Financing Available | 800,000 | 1,000,000 | |
Borrowings Outstanding, net | 200,000 | 0 | |
Fair Value | 200,000 | 0 | |
Global Atlantic Senior Notes Due 2029 | Senior Notes | |||
Debt Instrument [Line Items] | |||
Borrowings Outstanding, net | 500,000 | 500,000 | |
Fair Value | 500,100 | 539,350 | |
Global Atlantic Senior Notes due 2031 | Senior Notes | |||
Debt Instrument [Line Items] | |||
Borrowings Outstanding, net | 650,000 | 650,000 | |
Fair Value | 582,660 | 644,800 | |
Global Atlantic Subordinated Debentures Due 2051 | Subordinated Debt | |||
Debt Instrument [Line Items] | |||
Borrowings Outstanding, net | 750,000 | 750,000 | |
Fair Value | $ 710,625 | $ 761,475 |
INCOME TAXES - Narrative (Detai
INCOME TAXES - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Income Tax Disclosure [Abstract] | ||
Effective income tax rate | (0.30%) | 10.10% |
Deferred tax assets, valuation allowance | $ 22.2 | |
Decrease in uncertain tax positions | $ 21.2 |
EQUITY BASED COMPENSATION - KKR
EQUITY BASED COMPENSATION - KKR Equity Incentive Plans Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | Dec. 31, 2020 | |
Asset Management | Equity Based Awards | |||
Equity Based Payments | |||
Portion of awards vested having one-year transfer restriction period (as a percent) | 50.00% | ||
Portion of awards vested having two-year transfer restriction period (as a percent) | 50.00% | ||
Insurance | |||
Equity Based Payments | |||
Equity-based compensation - KKR Holdings | $ 31,711 | $ 7,411 | |
KKR Equity Incentive Plans | Service-Vesting Awards | |||
Equity Based Payments | |||
Minimum retained ownership required to continuously hold common share equivalents to as percentage of cumulatively vested interests | 15.00% | ||
Forfeiture rate assumed (as a percent) | 7.00% | ||
KKR Equity Incentive Plans | Service-Vesting Awards | KKR Holdings | |||
Equity Based Payments | |||
Minimum transfer restriction period with respect to one-half awards vested (in years) | 1 year | ||
Minimum transfer restriction period with respect to remaining one-half awards vested (in years) | 2 years | ||
KKR Equity Incentive Plans | Minimum | Service-Vesting Awards | |||
Equity Based Payments | |||
Vesting period (in years) | 3 years | ||
KKR Equity Incentive Plans | Maximum | Service-Vesting Awards | |||
Equity Based Payments | |||
Vesting period (in years) | 5 years | ||
KKR Equity Incentive Plans | Asset Management | |||
Equity Based Payments | |||
Equity-based compensation - KKR Holdings | $ 115,100 | 64,500 | |
KKR Equity Incentive Plans | Asset Management | KKR Holdings | |||
Equity Based Payments | |||
Portion of awards vested having one-year transfer restriction period (as a percent) | 50.00% | ||
Portion of awards vested having two-year transfer restriction period (as a percent) | 50.00% | ||
KKR Equity Incentive Plans | Asset Management | Service-Vesting Awards | |||
Equity Based Payments | |||
Vesting period (in years) | 1 year 8 months 12 days | ||
Estimated unrecognized equity-based payment expense | $ 576,000 | ||
KKR Equity Incentive Plans | Insurance | |||
Equity Based Payments | |||
Equity-based compensation - KKR Holdings | $ 2,100 | $ 200 | |
KKR 2019 Equity Incentive Plan | |||
Equity Based Payments | |||
Total awards issuable as a percentage of diluted common stock outstanding | 15.00% | ||
Number of shares authorized (in shares) | 72,237,327 |
EQUITY BASED COMPENSATION - Awa
EQUITY BASED COMPENSATION - Awards Rollforward (Details) | 3 Months Ended |
Mar. 31, 2022$ / sharesshares | |
KKR Equity Incentive Plans | Service-Vesting Awards | |
Shares | |
Balance at the beginning of the period (in shares) | shares | 19,307,041 |
Granted (in shares) | shares | 442,156 |
Vested (in shares) | shares | (22,436) |
Forfeitures (in shares) | shares | (101,404) |
Balance at the end of the period (in shares) | shares | 19,625,357 |
Weighted Average Grant Date Fair Value | |
Balance at the beginning of the period (in dollars per share) | $ / shares | $ 41.21 |
Granted (in dollars per share) | $ / shares | 65.26 |
Vested (in dollars per share) | $ / shares | 29.05 |
Forfeitures (in dollars per share) | $ / shares | 35.66 |
Balance at the end of the period (in dollars per share) | $ / shares | $ 41.79 |
KKR Equity Incentive Plans | Market Condition Awards | Asset Management | |
Shares | |
Balance at the beginning of the period (in shares) | shares | 21,370,847 |
Granted (in shares) | shares | 350,000 |
Vested (in shares) | shares | 0 |
Forfeitures (in shares) | shares | 0 |
Balance at the end of the period (in shares) | shares | 21,720,847 |
Weighted Average Grant Date Fair Value | |
Balance at the beginning of the period (in dollars per share) | $ / shares | $ 25.03 |
Granted (in dollars per share) | $ / shares | 66.80 |
Vested (in dollars per share) | $ / shares | 0 |
Forfeitures (in dollars per share) | $ / shares | 0 |
Balance at the end of the period (in dollars per share) | $ / shares | $ 25.70 |
KKR Holdings Awards | Equity Based Awards | Asset Management | |
Shares | |
Balance at the beginning of the period (in shares) | shares | 4,600,000 |
Granted (in shares) | shares | 0 |
Vested (in shares) | shares | 0 |
Forfeitures (in shares) | shares | 0 |
Balance at the end of the period (in shares) | shares | 4,600,000 |
Weighted Average Grant Date Fair Value | |
Balance at the beginning of the period (in dollars per share) | $ / shares | $ 21.88 |
Granted (in dollars per share) | $ / shares | 0 |
Vested (in dollars per share) | $ / shares | 0 |
Forfeitures (in dollars per share) | $ / shares | 0 |
Balance at the end of the period (in dollars per share) | $ / shares | $ 21.88 |
EQUITY BASED COMPENSATION - Mar
EQUITY BASED COMPENSATION - Market Condition Awards Narrative (Details) - Market Condition Awards - KKR Equity Incentive Plans $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended |
Mar. 31, 2022USD ($)consecutiveTradingDay$ / sharesshares | |
Equity Based Payments | |
Estimated unrecognized equity-based payment expense | $ | $ 374.7 |
Remaining requisite service period | 4 years 2 months 12 days |
Asset Management | |
Equity Based Payments | |
Stock price target consecutive trading days threshold | consecutiveTradingDay | 20 |
Forfeiture rate assumed | 7.00% |
Number of shares that met vesting conditions (in shares) | shares | 19.7 |
Asset Management | Minimum | |
Equity Based Payments | |
Stock price target (in dollars per share) | $ 45 |
Asset Management | Maximum | |
Equity Based Payments | |
Stock price target (in dollars per share) | $ 140 |
EQUITY BASED COMPENSATION - Co-
EQUITY BASED COMPENSATION - Co-CEO Awards Narrative (Details) - Restricted Holding Units (RHUs) - KKR Equity Incentive Plans - Asset Management $ / shares in Units, shares in Millions, $ in Millions | Dec. 09, 2021consecutiveTradingDay$ / sharesshares | Mar. 31, 2022USD ($) |
Equity Based Payments | ||
Granted (in shares) | shares | 7.5 | |
Stock price target consecutive trading days threshold | consecutiveTradingDay | 20 | |
Estimated unrecognized equity-based payment expense | $ | $ 689.2 | |
Tranche one | ||
Equity Based Payments | ||
Vesting percentage | 20.00% | |
Stock price target (in dollars per share) | $ 95.80 | |
Tranche two | ||
Equity Based Payments | ||
Vesting percentage | 20.00% | |
Stock price target (in dollars per share) | $ 105.80 | |
Tranche three | ||
Equity Based Payments | ||
Vesting percentage | 20.00% | |
Stock price target (in dollars per share) | $ 115.80 | |
Tranche four | ||
Equity Based Payments | ||
Vesting percentage | 20.00% | |
Stock price target (in dollars per share) | $ 125.80 | |
Tranche five | ||
Equity Based Payments | ||
Vesting percentage | 20.00% | |
Stock price target (in dollars per share) | $ 135.80 |
EQUITY BASED COMPENSATION - Ass
EQUITY BASED COMPENSATION - Assumptions Used to Estimate Fair Value (Details) - KKR Equity Incentive Plans - Asset Management | 3 Months Ended |
Mar. 31, 2022$ / shares | |
Restricted Holding Units (RHUs) | |
Equity Based Payments | |
Grant Date Fair Value (in dollars per share) | $ 48.91 |
Closing KKR share price as of valuation date (in dollars per share) | $ 75.76 |
Risk Free Rate | 1.42% |
Volatility | 28.00% |
Dividend Yield | 0.77% |
Expected Cost of Equity | 9.36% |
Weighted Average | Market Condition Awards | |
Equity Based Payments | |
Grant Date Fair Value (in dollars per share) | $ 25.70 |
Closing KKR share price as of valuation date (in dollars per share) | $ 42.99 |
Risk Free Rate | 0.53% |
Volatility | 28.07% |
Dividend Yield | 1.41% |
Expected Cost of Equity | 10.59% |
Minimum | Market Condition Awards | |
Equity Based Payments | |
Grant Date Fair Value (in dollars per share) | $ 19.87 |
Closing KKR share price as of valuation date (in dollars per share) | $ 37.93 |
Risk Free Rate | 0.41% |
Volatility | 28.00% |
Dividend Yield | 0.76% |
Expected Cost of Equity | 9.13% |
Maximum | Market Condition Awards | |
Equity Based Payments | |
Grant Date Fair Value (in dollars per share) | $ 66.80 |
Closing KKR share price as of valuation date (in dollars per share) | $ 76.31 |
Risk Free Rate | 1.40% |
Volatility | 30.00% |
Dividend Yield | 1.53% |
Expected Cost of Equity | 10.76% |
EQUITY BASED COMPENSATION - K_2
EQUITY BASED COMPENSATION - KKR Holdings Awards Narrative (Details) - KKR Holdings Awards - Asset Management $ in Thousands | Oct. 08, 2021shares | Mar. 31, 2022USD ($)shares | Mar. 31, 2021USD ($)shares | Sep. 30, 2021shares |
Equity Based Payments | ||||
Equity-based compensation - KKR Holdings | $ | $ 19,800 | $ 16,400 | ||
KKR Group Partnerships | KKR Holdings | ||||
Equity Based Payments | ||||
Percentage owned by KKR Holdings L.P. | 30.40% | 32.10% | ||
Equity Based Awards | ||||
Equity Based Payments | ||||
Common units conversion basis | 1 | |||
Number of common units owned in KKR Group Partnership Units (in shares) | 258,726,163 | 273,367,712 | ||
Minimum transfer restriction period with respect to one-half awards vested (in years) | 1 year | |||
Minimum transfer restriction period with respect to remaining one-half awards vested (in years) | 2 years | |||
Minimum retained ownership required to continuously hold common share equivalents to as percentage of cumulatively vested interests | 25.00% | |||
Percentage of outstanding units not granted (less than) | 0.50% | |||
Number of common units unallocated in KKR Group Partnership Units (in shares) | 3,300,000 | |||
Number of common units allocated during period in KKR Group Partnership Units (in shares) | 1,150,000 | |||
Forfeiture rate assumed (as a percent) | 7.00% | |||
Estimated unrecognized equity-based payment expense | $ | $ 40,000 | |||
Equity Based Awards | Tranche one | ||||
Equity Based Payments | ||||
Vesting percentage | 70.00% | |||
Equity Based Awards | Tranche two | ||||
Equity Based Payments | ||||
Vesting percentage | 30.00% | |||
Equity Based Awards | Minimum | ||||
Equity Based Payments | ||||
Vesting period (in years) | 3 years | |||
Award transfer restrictions period | 1 year | |||
Equity Based Awards | Maximum | ||||
Equity Based Payments | ||||
Vesting period (in years) | 5 years | |||
Award transfer restrictions period | 2 years |
EQUITY BASED COMPENSATION - Equ
EQUITY BASED COMPENSATION - Equity Based Compensation - Insurance Narrative (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Equity Based Payments | ||
Equity-based compensation costs capitalized | $ 0 | $ 0 |
GA Plan | ||
Equity Based Payments | ||
Equity-based compensation - KKR Holdings | $ 20,600,000 | $ 7,400,000 |
EQUITY BASED COMPENSATION - Cla
EQUITY BASED COMPENSATION - Classified Awards Narrative (Details) | Mar. 01, 2021USD ($) | Feb. 28, 2021USD ($) | Feb. 01, 2021USD ($)installmentpayment$ / sharesshares | Mar. 31, 2022USD ($) | Sep. 30, 2021USD ($) | Mar. 31, 2021USD ($) | Dec. 31, 2021USD ($) |
Insurance | |||||||
Equity Based Payments | |||||||
Equity-based compensation - KKR Holdings | $ 31,711,000 | $ 7,411,000 | |||||
KKR Equity Incentive Plans | Insurance | |||||||
Equity Based Payments | |||||||
Equity-based compensation - KKR Holdings | 2,100,000 | 200,000 | |||||
GA Plan | |||||||
Equity Based Payments | |||||||
Equity-based compensation - KKR Holdings | 20,600,000 | 7,400,000 | |||||
Market Condition Awards | |||||||
Equity Based Payments | |||||||
Equity-based compensation - KKR Holdings | $ 10,500,000 | ||||||
Market Condition Awards | KKR Equity Incentive Plans | |||||||
Equity Based Payments | |||||||
Estimated unrecognized equity-based payment expense | $ 374,700,000 | ||||||
Remaining requisite service period | 4 years 2 months 12 days | ||||||
Restricted Stock Units (RSUs) | KKR Equity Incentive Plans | Insurance | |||||||
Equity Based Payments | |||||||
Equity-based compensation - KKR Holdings | $ 2,100,000 | 200,000 | |||||
Book-Value Awards | GA Plan | |||||||
Equity Based Payments | |||||||
Remaining requisite service period | 2 years 7 months 24 days | 2 years 8 months 1 day | |||||
Book-Value Awards | GA Plan | Insurance | |||||||
Equity Based Payments | |||||||
Number of payments authorized to be received upon vesting | payment | 1 | ||||||
Book value used in payment calculation, number of shares (in shares) | shares | 1 | ||||||
Number of vesting installments | installment | 3 | ||||||
Pre-acquisition awards converted to book-value awards on February 1, 2021 | $ 89,000,000 | $ 0 | 89,000,000 | ||||
Value of awards vested | $ 28,000,000 | ||||||
Cash payment to settle awards | $ 17,000,000 | ||||||
Granted | $ 32,000,000 | $ 23,000,000 | |||||
Vesting period (in years) | 3 years | 5 years | |||||
Forfeiture rate assumed (as a percent) | 4.00% | 4.00% | |||||
Estimated unrecognized equity-based payment expense | 108,100,000 | $ 99,600,000 | |||||
Book-Value Awards | GA Plan | Insurance | Tranche one | |||||||
Equity Based Payments | |||||||
Vesting percentage | 25.00% | ||||||
Book-Value Awards | GA Plan | Insurance | Tranche two | |||||||
Equity Based Payments | |||||||
Vesting percentage | 25.00% | ||||||
Restricted Stock | GA Plan | Insurance | |||||||
Equity Based Payments | |||||||
Shares converted (in shares) | shares | 3,020,017 | ||||||
Fair value of shares converted (in dollars per share) | $ / shares | $ 29.47 | ||||||
Equity Based Awards | GA Plan | Insurance | |||||||
Equity Based Payments | |||||||
Equity-based compensation - KKR Holdings | $ 18,500,000 | $ 7,200,000 |
EQUITY BASED COMPENSATION - Boo
EQUITY BASED COMPENSATION - Book Value Awards Activity (Details) - Book-Value Awards - GA Plan - Insurance - USD ($) $ in Thousands | Feb. 01, 2021 | Mar. 31, 2022 | Mar. 31, 2021 |
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward] | |||
Outstanding amount as of beginning of period | $ 145,000 | $ 0 | |
Pre-acquisition awards converted to book-value awards on February 1, 2021 | $ 89,000 | 0 | 89,000 |
Granted | 20,205 | 53,969 | |
Forfeited | (874) | (957) | |
Vested and issued | (39,029) | (30,280) | |
Outstanding amount as of end of period | $ 125,302 | $ 111,732 |
EQUITY BASED COMPENSATION - GA
EQUITY BASED COMPENSATION - GA Equity Incentive Plan Awards Narrative (Details) - Service-Vesting Awards - GA Equity Incentive Plan - USD ($) $ in Millions | Jun. 24, 2021 | Mar. 31, 2022 | Dec. 31, 2021 |
Equity Based Payments | |||
Incentive shares issued (in shares) | 1,000 | ||
Incentive shares granted (in shares) | 808 | ||
Vesting percentage | 20.00% | ||
Forfeiture rate assumed (as a percent) | 0.00% | 0.00% | |
Vesting period (in years) | 5 years | 3 years 10 months 2 days | 4 years 1 month 2 days |
Aggregate value at grant date | $ 197 | ||
Intrinsic value of book value at grant date | 5 | ||
Fair value of market value and AUM at grant date | $ 192 | ||
Equity-based compensation - KKR Holdings | $ 17.3 | ||
Estimated unrecognized equity-based payment expense | $ 97.8 | $ 104.1 | |
Share-based Payment Arrangement, Employee | |||
Equity Based Payments | |||
Incentive shares forfeited (in shares) | 8 | ||
Incentive units outstanding (in shares) | 823 | 831 |
RELATED PARTY TRANSACTIONS - Sc
RELATED PARTY TRANSACTIONS - Schedule of Related Party Transactions (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Related Party Transaction [Line Items] | ||
Due from Affiliates | $ 1,277,574 | $ 1,224,283 |
Due to Affiliates | 457,668 | 462,722 |
Amounts due from portfolio companies | ||
Related Party Transaction [Line Items] | ||
Due from Affiliates | 188,394 | 114,514 |
Amounts due from unconsolidated investment funds | ||
Related Party Transaction [Line Items] | ||
Due from Affiliates | 1,089,180 | 1,109,769 |
Due to Affiliates | 61,541 | 63,559 |
Amounts due to KKR Holdings - tax receivable agreement | ||
Related Party Transaction [Line Items] | ||
Due to Affiliates | $ 396,127 | $ 399,163 |
SEGMENT REPORTING - Information
SEGMENT REPORTING - Information Regarding Segment Results (Details) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2022USD ($)segment | Mar. 31, 2021USD ($) | Dec. 31, 2021USD ($) | |
Segment Reporting Information [Line Items] | |||
Number of reportable segments | segment | 2 | ||
Number of operating segments | segment | 2 | ||
Net (Income) Attributable to Noncontrolling Interest | $ (1,159,185) | $ (2,245,531) | |
Total Segment Operating Earnings | 1,243,433 | 880,437 | |
Total Non-cash expenses | 144,775 | 71,728 | |
Asset Management And Insurance Segments | |||
Segment Reporting Information [Line Items] | |||
Total Segment Assets | 266,290,981 | 216,445,114 | $ 264,285,440 |
Asset Management And Insurance Segments | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Total Segment Assets | 199,414,773 | 159,597,620 | |
Asset Management And Insurance Segments | Management Fees | Intersegment Eliminations | |||
Segment Reporting Information [Line Items] | |||
Revenue from contract with customer (expense reimbursements) | 59,000 | 22,900 | |
Asset Management | |||
Segment Reporting Information [Line Items] | |||
Revenue from contract with customer (expense reimbursements) | 780,511 | 493,311 | |
Compensation | (283,672) | (1,306,797) | |
General, Administrative and Other | (234,665) | (166,997) | |
Total Segment Assets | 100,884,626 | 99,720,076 | |
Total Non-cash expenses | 113,064 | 64,317 | |
Asset Management | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Other Operating Expenses | (125,875) | (90,161) | |
Fee Related Earnings | 604,922 | 363,767 | |
Total Segment Operating Earnings | 1,127,445 | 817,172 | |
Total Segment Assets | 31,921,809 | 28,247,535 | |
Asset Management | Management Fees | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Revenue from contract with customer (expense reimbursements) | 624,928 | 439,740 | |
Asset Management | Transaction and Monitoring Fees, Net | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Revenue from contract with customer (expense reimbursements) | 306,038 | 135,677 | |
Asset Management | Fee Related | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Revenue from contract with customer (expense reimbursements) | 12,051 | 10,296 | |
Compensation | (212,220) | (131,785) | |
Asset Management | Performance | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Revenue from contract with customer (expense reimbursements) | 609,207 | 171,309 | |
Compensation | (383,635) | (109,986) | |
Asset Management | Investment | |||
Segment Reporting Information [Line Items] | |||
Revenue from contract with customer (expense reimbursements) | (349,354) | (461,273) | |
Asset Management | Investment | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Revenue from contract with customer (expense reimbursements) | 349,354 | 461,273 | |
Compensation | (52,403) | (69,191) | |
Asset Management | Interest Income (Expense) | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Revenue from contract with customer (expense reimbursements) | 25,800 | ||
Insurance | |||
Segment Reporting Information [Line Items] | |||
Net Cost of Insurance | (116,743) | (52,084) | |
General, Administrative and Other | (167,214) | (79,955) | |
Income Taxes | (34,106) | (16,626) | |
Total Segment Assets | 165,406,355 | $ 164,565,364 | |
Total Non-cash expenses | 31,711 | 7,411 | |
Insurance | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Net Cost of Insurance | (493,649) | (250,219) | |
General, Administrative and Other | (146,002) | (75,489) | |
Pre-tax Insurance Operating Earnings | 222,763 | 120,190 | |
Income Taxes | (34,106) | (16,626) | |
Net (Income) Attributable to Noncontrolling Interest | (72,669) | (40,299) | |
Total Segment Operating Earnings | 115,988 | 63,265 | |
Total Segment Assets | 167,492,964 | 131,350,085 | |
Insurance | Investment | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Revenue from contract with customer (expense reimbursements) | $ 862,414 | $ 445,898 |
SEGMENT REPORTING - Reconciliat
SEGMENT REPORTING - Reconciliation to Total Segment Revenues (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Segment Reporting Information [Line Items] | ||
Total Revenues - Asset Management | $ 1,004,017 | $ 4,563,006 |
Impact of Consolidation and Other | 213,400 | 123,448 |
Net Premiums | (372,144) | (1,176,142) |
Asset Management And Insurance Segments | ||
Segment Reporting Information [Line Items] | ||
Total Revenues - Asset Management | 2,763,992 | 1,664,193 |
Asset Management | ||
Segment Reporting Information [Line Items] | ||
Total Revenues - Asset Management | (165,232) | 3,177,958 |
Capital Allocation-Based Income | 945,743 | (2,684,647) |
Realized Carried Interest | 579,767 | 165,142 |
Revenue from contract with customer (expense reimbursements) | (780,511) | (493,311) |
Capstone Fees | (15,485) | (20,080) |
Asset Management | Investment | ||
Segment Reporting Information [Line Items] | ||
Revenue from contract with customer (expense reimbursements) | 349,354 | 461,273 |
Asset Management | Expense Reimbursements | ||
Segment Reporting Information [Line Items] | ||
Revenue from contract with customer (expense reimbursements) | (41,303) | (27,729) |
Insurance | ||
Segment Reporting Information [Line Items] | ||
Total Revenues - Asset Management | 1,169,249 | 1,385,048 |
Net Premiums | (372,144) | (1,176,142) |
Policy Fees | (318,436) | (201,683) |
Other Income | (34,744) | (18,144) |
Investment Gains and Losses | 167,102 | 259,168 |
Derivative Gains and Losses | $ 286,721 | $ 220,581 |
SEGMENT REPORTING - Total Distr
SEGMENT REPORTING - Total Distributable Operating Earnings Reconciliation (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Segment Reporting Information [Line Items] | ||
Income (Loss) Before Tax (GAAP) | $ 1,099,436 | $ 4,354,106 |
Interest Expense | 281,759 | 251,756 |
Total Segment Operating Earnings | 1,243,433 | 880,437 |
Asset Management | ||
Segment Reporting Information [Line Items] | ||
Unrealized Carried Interest | 1,290,033 | (2,109,018) |
Net Unrealized (Gains) Losses | 322,269 | (1,316,644) |
Unrealized Carried Interest Compensation (Carry Pool) | (513,987) | 896,907 |
Strategic Corporate Transaction-Related Charges | 19,898 | 4,875 |
Asset Management | Non-Performance Based Awards | ||
Segment Reporting Information [Line Items] | ||
Equity-based compensation - KKR Holdings | 55,111 | 49,761 |
Asset Management | Performance Based Awards | ||
Segment Reporting Information [Line Items] | ||
Equity-based compensation - KKR Holdings | 57,953 | 14,556 |
Insurance | ||
Segment Reporting Information [Line Items] | ||
Equity-based compensation - KKR Holdings | 31,711 | 7,411 |
Strategic Corporate Transaction-Related Charges | 5,007 | 4,819 |
Net (Gains) Losses from Investments and Derivatives | 48,735 | 289,235 |
Amortization of Acquired Intangibles | 4,412 | 2,451 |
Income Taxes | (34,106) | (16,626) |
Segment Reconciling Items | ||
Segment Reporting Information [Line Items] | ||
Impact of Consolidation and Other | (1,232,320) | (1,375,375) |
Interest Expense | 69,460 | 57,545 |
Equity-based compensation - KKR Holdings | $ 19,821 | $ 16,434 |
SEGMENT REPORTING - Total Segme
SEGMENT REPORTING - Total Segment Assets (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 | Mar. 31, 2021 |
Asset Management And Insurance Segments | |||
Segment Reporting Information [Line Items] | |||
Fair value of consolidated assets | $ 266,290,981 | $ 264,285,440 | $ 216,445,114 |
Impact of Consolidation and Reclassifications | (63,737,743) | (54,032,166) | |
Carry Pool Reclassifications | (3,138,465) | (2,815,328) | |
Asset Management | |||
Segment Reporting Information [Line Items] | |||
Fair value of consolidated assets | 100,884,626 | $ 99,720,076 | |
Operating Segments | Asset Management And Insurance Segments | |||
Segment Reporting Information [Line Items] | |||
Fair value of consolidated assets | 199,414,773 | 159,597,620 | |
Operating Segments | Asset Management | |||
Segment Reporting Information [Line Items] | |||
Fair value of consolidated assets | $ 31,921,809 | $ 28,247,535 |
EQUITY - Narrative (Details)
EQUITY - Narrative (Details) - USD ($) $ / shares in Units, $ in Millions | Aug. 14, 2020 | Dec. 31, 2015 | Apr. 29, 2022 | Mar. 31, 2022 |
Class of Stock [Line Items] | ||||
Convertible preferred stock, shares issued upon conversion of one unit of stock (in shares) | 1 | |||
Percentage of carried interest received by general partners (up to) | 1.00% | |||
Subsequent Event | ||||
Class of Stock [Line Items] | ||||
Remaining amount available for repurchase | $ 108 | |||
Series I Preferred Stock | ||||
Class of Stock [Line Items] | ||||
Preferred stock redemption price (in dollars per share) | $ 0.01 | |||
Series II Preferred Stock | ||||
Class of Stock [Line Items] | ||||
Preferred stock redemption price (in dollars per share) | $ 0.00 | |||
Series C Mandatory Convertible Preferred Stock | ||||
Class of Stock [Line Items] | ||||
Preferred stock redemption price (in dollars per share) | $ 50 | |||
Stock issued (in shares) | 23,000,000 | |||
Aggregate liquidation preference | $ 1,150 | |||
Preferred stock dividend rate (as a percentage) | 6.00% | |||
Consecutive trading days | 20 days | |||
Trading days prior to period end | 21 days | |||
Common Units | Minimum | ||||
Class of Stock [Line Items] | ||||
Convertible preferred stock, shares issued upon conversion of one unit of stock (in shares) | 1.1662 | |||
Common Units | Maximum | ||||
Class of Stock [Line Items] | ||||
Convertible preferred stock, shares issued upon conversion of one unit of stock (in shares) | 1.4285 |
EQUITY - Repurchase Program (De
EQUITY - Repurchase Program (Details) - Common Stock - Share Repurchase Program - shares | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Class of Stock [Line Items] | ||
Stock repurchased (in shares) | 5,191,174 | 1,501,558 |
Stock retired (in shares) | 0 | 1,325,853 |
EQUITY - Noncontrolling Interes
EQUITY - Noncontrolling Interests Held by KKR Holdings (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Noncontrolling Interests Held by KKR Holdings | ||
Stockholders' Equity Attributable to Noncontrolling Interest [Roll Forward] | ||
Net income (loss) attributable to noncontrolling interests | $ (47,152) | $ 1,003,654 |
Noncontrolling Interests | ||
Stockholders' Equity Attributable to Noncontrolling Interest [Roll Forward] | ||
Balance at the beginning of the period | 40,474,565 | 27,083,098 |
Net income (loss) attributable to noncontrolling interests | 1,159,185 | 2,245,531 |
Other comprehensive income (loss), net of tax | (1,921,069) | (879,388) |
Exchange of KKR Holdings Units to Common Stock | (56,903) | |
Equity-based and other non-cash compensation | 83,392 | 36,316 |
Capital contributions | 3,579,591 | 4,009,992 |
Capital distributions | (1,873,873) | (1,027,834) |
Impact of Acquisition | 190,405 | |
Changes in consolidation | (66,488) | |
Balance at the end of the period | 41,501,791 | 31,534,729 |
Noncontrolling Interests | Noncontrolling Interests in Consolidated Entities and Other | ||
Stockholders' Equity Attributable to Noncontrolling Interest [Roll Forward] | ||
Balance at the beginning of the period | 32,043,699 | 20,570,716 |
Net income (loss) attributable to noncontrolling interests | 1,206,337 | 1,241,877 |
Other comprehensive income (loss), net of tax | (1,291,083) | (581,154) |
Exchange of KKR Holdings Units to Common Stock | 0 | |
Equity-based and other non-cash compensation | 63,571 | 19,882 |
Capital contributions | 3,579,591 | 4,009,967 |
Capital distributions | (1,831,897) | (987,066) |
Impact of Acquisition | 190,405 | |
Changes in consolidation | (66,488) | |
Balance at the end of the period | 33,770,218 | 24,398,139 |
Noncontrolling Interests | Noncontrolling Interests Held by KKR Holdings | ||
Stockholders' Equity Attributable to Noncontrolling Interest [Roll Forward] | ||
Balance at the beginning of the period | 8,430,866 | 6,512,382 |
Net income (loss) attributable to noncontrolling interests | (47,152) | 1,003,654 |
Other comprehensive income (loss), net of tax | (629,986) | (298,234) |
Exchange of KKR Holdings Units to Common Stock | (56,903) | |
Equity-based and other non-cash compensation | 19,821 | 16,434 |
Capital contributions | 0 | 25 |
Capital distributions | (41,976) | (40,768) |
Impact of Acquisition | 0 | |
Changes in consolidation | 0 | |
Balance at the end of the period | $ 7,731,573 | $ 7,136,590 |
EQUITY - Net Income (Loss) Attr
EQUITY - Net Income (Loss) Attributable To Noncontrolling Interests Held by KKR Holdings (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||
Net income (loss) | $ 1,102,602 | $ 3,915,367 |
Net Income (Loss) Attributable to Redeemable Noncontrolling Interests | (63) | 0 |
Less Net income (loss) attributable to Noncontrolling Interests in consolidated entities and other | 1,206,337 | 1,241,877 |
Plus Income tax expense (benefit) attributable to KKR & Co. Inc. | (34,144) | 462,930 |
Net income (loss) attributable to KKR & Co. Inc. Common Stockholders and KKR Holdings | (155,066) | 3,110,829 |
Series A And Series B Preferred Stock | ||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||
Less Preferred Stock Dividends | 0 | 8,341 |
Series C Mandatory Convertible Preferred Stock | ||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||
Less Preferred Stock Dividends | 17,250 | 17,250 |
KKR Holdings | ||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||
Net income (loss) attributable to Noncontrolling Interests held by KKR Holdings | $ (47,152) | $ 1,003,654 |
REDEEMABLE NONCONTROLLING INT_2
REDEEMABLE NONCONTROLLING INTERESTS (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 | Mar. 31, 2021 |
Redeemable Noncontrolling Interest [Line Items] | |||
Redeemable non-controlling interests | $ 81,793 | $ 91,845 | |
Global Atlantic | |||
Redeemable Noncontrolling Interest [Line Items] | |||
Redeemable non-controlling interests | 81,800 | $ 82,500 | |
Estimated redemption value | $ 5,300 | $ 5,300 |
COMMITMENTS AND CONTINGENCIES -
COMMITMENTS AND CONTINGENCIES - Additional Information (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Dec. 31, 2013 | Dec. 31, 2021 | |
Revolving Credit Facility | Global Atlantic Credit Agreement | ||||
Other Commitments [Line Items] | ||||
Borrowings outstanding | $ 225,300,000 | |||
KKR | ||||
Other Commitments [Line Items] | ||||
Private equity fund carried interest amount subject to clawback provision assuming liquidation at fair value | 400,000,000 | |||
Global Atlantic | Unaffiliated Third Parties | ||||
Other Commitments [Line Items] | ||||
Total fees expensed | 4,500,000 | $ 4,000,000 | ||
Total capacity of financing arrangements | 2,000,000,000 | $ 2,000,000,000 | ||
Global Atlantic | Payment Guarantee | ||||
Other Commitments [Line Items] | ||||
Guarantor period | 25 years | |||
Payment obligation | 64,900,000 | $ 214,000,000 | ||
Global Atlantic | Financial Standby Letter of Credit | ||||
Other Commitments [Line Items] | ||||
Contingent guarantee | 39,700,000 | |||
Private and Public Markets Investment Funds | KKR | ||||
Other Commitments [Line Items] | ||||
Unfunded commitments | 11,300,000,000 | |||
Certain Investment Vehicles | KKR | ||||
Other Commitments [Line Items] | ||||
Unfunded commitments | 116,000,000 | |||
Capital Markets | KKR | ||||
Other Commitments [Line Items] | ||||
Unfunded commitments | 1,500,000,000 | |||
Purchase or Funding of Investments | Global Atlantic | ||||
Other Commitments [Line Items] | ||||
Unfunded commitments | 2,600,000,000 | $ 2,000,000,000 | ||
Commitment to Extend Credit | Global Atlantic | ||||
Other Commitments [Line Items] | ||||
Liability for current expected credit losses | 14,900,000 | |||
Clawback Obligation Attributable to Certain and Former KKR Employees | KKR | ||||
Other Commitments [Line Items] | ||||
Private equity fund carried interest amount subject to clawback provision assuming liquidation at fair value | 160,000,000 | |||
Liquidation value for clawback obligation | 0 | |||
Clawback obligation amount if private equity vehicles liquidated at fair value | 2,700,000,000 | |||
Amount entitled to seek for reimbursement | $ 1,100,000,000 |
SUBSEQUENT EVENTS (Details)
SUBSEQUENT EVENTS (Details) ¥ in Billions | May 03, 2022$ / shares | Mar. 31, 2022$ / shares | Mar. 31, 2021$ / shares | Apr. 26, 2022JPY (¥) |
Series C Mandatory Convertible Preferred Stock | ||||
Subsequent Events | ||||
Preferred stock, dividends declared (in dollars per share) | $ / shares | $ 0.75 | $ 0.75 | ||
Subsequent Event | ||||
Subsequent Events | ||||
Dividend declared (in dollars per share) | $ / shares | $ 0.155 | |||
Subsequent Event | 2032 Yen Notes | Senior Notes | ||||
Subsequent Events | ||||
Interest rate, stated percentage | 1.437% | |||
Aggregate principal amount | ¥ 6.2 | |||
Subsequent Event | 2034 Yen Notes | Senior Notes | ||||
Subsequent Events | ||||
Interest rate, stated percentage | 1.553% | |||
Aggregate principal amount | ¥ 7.5 | |||
Subsequent Event | 2037 Yen Notes | Senior Notes | ||||
Subsequent Events | ||||
Interest rate, stated percentage | 1.795% | |||
Aggregate principal amount | ¥ 5.5 | |||
Subsequent Event | 2027 Yen Notes | Senior Notes | ||||
Subsequent Events | ||||
Interest rate, stated percentage | 1.054% | |||
Aggregate principal amount | ¥ 36.4 | |||
Subsequent Event | 2029 Yen Notes | Senior Notes | ||||
Subsequent Events | ||||
Interest rate, stated percentage | 1.244% | |||
Aggregate principal amount | ¥ 4.9 | |||
Subsequent Event | Series C Mandatory Convertible Preferred Stock | ||||
Subsequent Events | ||||
Preferred stock, dividends declared (in dollars per share) | $ / shares | $ 0.75 |