Document and Entity Information
Document and Entity Information - $ / shares | 6 Months Ended | |
Jun. 30, 2016 | Jul. 22, 2016 | |
Document and Entity Information [Abstract] | ||
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2016 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Period Focus | Q2 | |
Document Fiscal Year Focus | 2,016 | |
Entity Registrant Name | PRICE T ROWE GROUP INC | |
Entity Incorporation, State Country Name | Maryland | |
Entity Tax Identification Number | 522,264,646 | |
Entity Address, Address Line One | 100 East Pratt Street | |
Entity Address, City or Town | Baltimore | |
Entity Address, State or Province | Maryland | |
Entity Address, Postal Zip Code | 21,202 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Listing, Par Value Per Share (in dollars per share) | $ 0.20 | |
Entity Common Stock, Shares Outstanding (shares) | 248,552,147 | |
Entity Central Index Key | 1,113,169 | |
Amendment Flag | false |
UNAUDITED CONDENSED CONSOLIDATE
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) | Jun. 30, 2016 | Dec. 31, 2015 |
ASSETS | ||
Cash and cash equivalents | $ 1,382,600,000 | $ 1,172,300,000 |
Total assets | 6,581,700,000 | 5,106,900,000 |
LIABILITIES | ||
Total liabilities | 610,400,000 | 344,900,000 |
Commitments and contingent liabilities | ||
Redeemable non-controlling interests | 1,110,400,000 | 0 |
STOCKHOLDERS’ EQUITY | ||
Preferred stock, undesignated, $.20 par value – authorized and unissued 20,000,000 shares | 0 | 0 |
Common stock, $.20 par value - authorized 750,000,000; issued 250,469,000 shares at December 31, 2015, and 248,502,000 at June 30, 2016 | 49,700,000 | 50,100,000 |
Additional capital in excess of par value | 703,700,000 | 654,600,000 |
Retained earnings | 4,081,200,000 | 3,970,700,000 |
Accumulated other comprehensive income | 26,300,000 | 86,600,000 |
Total stockholders’ equity | 4,860,900,000 | 4,762,000,000 |
Total liabilities, redeemable non-controlling interests, and stockholders’ equity | 6,581,700,000 | 5,106,900,000 |
Parent company [Member] | ||
ASSETS | ||
Cash and cash equivalents | 1,275,200,000 | 1,172,300,000 |
Accounts receivable and accrued revenue | 427,400,000 | 446,000,000 |
Investments | 1,122,200,000 | 1,961,200,000 |
Property and equipment, net | 620,800,000 | 607,100,000 |
Goodwill | 665,700,000 | 665,700,000 |
Other assets | 327,200,000 | 196,900,000 |
LIABILITIES | ||
Accounts payable and accrued expenses | 180,600,000 | 170,600,000 |
Accrued compensation and related costs | 343,000,000 | 153,100,000 |
Income taxes payable | 8,900,000 | 21,200,000 |
Consolidated sponsored investment portfolios [Member] | ||
ASSETS | ||
Cash and cash equivalents | 107,400,000 | 0 |
Investments | 1,937,500,000 | |
Total assets | 2,143,200,000 | 57,700,000 |
Other assets | 98,300,000 | |
LIABILITIES | ||
Total liabilities | $ 77,900,000 | $ 0 |
UNAUDITED CONDENSED CONSOLIDAT3
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Millions | Jun. 30, 2016 | Dec. 31, 2015 |
Assets of consolidated sponsored investment portfolios | $ 6,581.7 | $ 5,106.9 |
Liabilities of consolidated sponsored investment portfolios | $ 610.4 | $ 344.9 |
Stockholders' equity | ||
Preferred stock, par value (in dollars per share) | $ 0.2 | $ 0.2 |
Preferred stock, shares authorized | 20,000,000 | 20,000,000 |
Common stock, par value (in dollars per share) | $ 0.2 | $ 0.2 |
Common stock, shares authorized | 750,000,000 | 750,000,000 |
Common stock, shares issued | 248,502,000 | 250,469,000 |
Variable interest entity, primary beneficiary [Member] | ||
Assets of consolidated sponsored investment portfolios | $ 1,894 | $ 0 |
Liabilities of consolidated sponsored investment portfolios | $ 63.2 | $ 0 |
UNAUDITED CONDENSED CONSOLIDAT4
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Revenues | ||||
Investment advisory fees | $ 920.6 | $ 942.2 | $ 1,791.4 | $ 1,838.7 |
Administrative fees | 88.5 | 91.6 | 177.9 | 184.6 |
Distribution and servicing fees | 35.6 | 38.6 | 69.5 | 76.1 |
Net revenues | 1,044.7 | 1,072.4 | 2,038.8 | 2,099.4 |
Operating expenses | ||||
Compensation and related costs | 371 | 360.9 | 726.2 | 707.4 |
Advertising and promotion | 14.9 | 14.2 | 38 | 39.5 |
Distribution and servicing costs | 35.6 | 38.6 | 69.5 | 76.1 |
Depreciation and amortization of property and equipment | 33.8 | 32.2 | 66 | 61.3 |
Occupancy and facility costs | 40.8 | 39.9 | 82.2 | 78.2 |
Other operating expenses | 98.9 | 78.8 | 196.3 | 151.3 |
Nonrecurring charge related to Dell appraisal rights matter | 166.2 | 0 | 166.2 | 0 |
Total operating expenses | 761.2 | 564.6 | 1,344.4 | 1,113.8 |
Net operating income | 283.5 | 507.8 | 694.4 | 985.6 |
Non-operating income | ||||
Other income (expenses) | (0.2) | 0.2 | (0.2) | (0.9) |
Total non-operating income | 41.5 | 33 | 126.6 | 59.8 |
Income before income taxes | 325 | 540.8 | 821 | 1,045.4 |
Provision for income taxes | 121.8 | 207.6 | 313.4 | 402.7 |
Net income | 203.2 | 333.2 | 507.6 | 642.7 |
Less: net income attributable to redeemable non-controlling interests | 7.9 | 0 | 17.1 | 0 |
Net income attributable to T. Rowe Price Group | $ 195.3 | $ 333.2 | $ 490.5 | $ 642.7 |
Earnings per share on common stock of T. Rowe Price Group | ||||
Basic (in dollars per share) | $ 0.78 | $ 1.28 | $ 1.95 | $ 2.45 |
Diluted (in dollars per share) | 0.76 | 1.24 | 1.91 | 2.39 |
Dividends declared per share (in dollars per share) | $ 0.54 | $ 0.52 | $ 1.08 | $ 3.04 |
Parent company [Member] | ||||
Operating expenses | ||||
Depreciation and amortization of property and equipment | $ 66 | |||
Non-operating income | ||||
Non-operating investment income | $ 15.3 | $ 34.1 | 76.6 | $ 60 |
Net income | 490.5 | |||
Consolidated sponsored investment portfolios [Member] | ||||
Operating expenses | ||||
Depreciation and amortization of property and equipment | 0 | |||
Total operating expenses | 3.5 | 6.1 | ||
Non-operating income | ||||
Non-operating investment income | 26.4 | $ (1.3) | 50.2 | $ 0.7 |
Income before income taxes | $ 22.9 | 44.1 | ||
Net income | $ 44.1 |
UNAUDITED CONDENSED CONSOLIDAT5
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Net income | $ 203.2 | $ 333.2 | $ 507.6 | $ 642.7 |
Other comprehensive loss | ||||
Net unrealized holding gains (losses) on available-for-sale investments | 5.4 | 5.1 | (0.9) | 22.1 |
Reclassification adjustments recognized in non-operating investment income: net gains realized on dispositions determined using average cost | 0 | (22.7) | (52.3) | (39.3) |
Total net unrealized holding gains (losses) recognized in other comprehensive income | 5.4 | (17.6) | (53.2) | (17.2) |
Total currency translation adjustments | (26.9) | (1.9) | 13.2 | (4.1) |
Other comprehensive loss before income taxes | (21.5) | (19.5) | (40) | (21.3) |
Net deferred tax benefits | 1.8 | 7.1 | 18.2 | 10.7 |
Total other comprehensive loss | (19.7) | (12.4) | (21.8) | (10.6) |
Total comprehensive income | 183.5 | 320.8 | 485.8 | 632.1 |
Less: comprehensive income (loss) attributable to redeemable non-controlling interests | (9) | 0 | 23.1 | 0 |
Comprehensive income attributable to T. Rowe Price Group | 192.5 | 320.8 | 462.7 | 632.1 |
Consolidated sponsored investment portfolios - variable interest entities [Member] | ||||
Other comprehensive loss | ||||
Total currency translation adjustments | (26.9) | 0 | 14 | 0 |
Equity method investments [Member] | ||||
Other comprehensive loss | ||||
Total currency translation adjustments | $ 0 | $ (1.9) | $ (0.8) | $ (4.1) |
UNAUDITED CONDENSED CONSOLIDAT6
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (See Note 11) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Cash flows from operating activities | ||
Net income | $ 507.6 | $ 642.7 |
Adjustments to reconcile net income to net cash provided by (used in) operating activities | ||
Depreciation and amortization of property and equipment | 66 | 61.3 |
Stock-based compensation expense | 75.6 | 66.6 |
Realized gains on dispositions of available-for-sale sponsored investment portfolios | (52.3) | (39.3) |
Net gains recognized on investments | (16.9) | (5.8) |
Net change in trading securities held by consolidated sponsored investment portfolios | (717.2) | (5.4) |
Other changes in assets and liabilities | 105.7 | 166.6 |
Net cash provided by (used in) operating activities | (31.5) | 886.7 |
Cash flows from investing activities | ||
Purchases of available-for-sale sponsored fund investments | 0 | (146.4) |
Dispositions of available-for-sale sponsored fund investments | 89.2 | 195.6 |
Net cash of sponsored investment portfolios on consolidation (deconsolidation) | 68.3 | 0 |
Additions to property and equipment | (79.2) | (79.9) |
Other investing activity | 83.7 | (3.2) |
Net cash provided by (used in) investing activities | 162 | (33.9) |
Cash flows from financing activities | ||
Repurchases of common stock | (244) | (353.8) |
Common share issuances under stock-based compensation plans | 59.4 | 42 |
Excess tax benefits from stock-based compensation plans | 17.3 | 16.6 |
Dividends paid to common stockholders of T. Rowe Price Group | (271.6) | (794.5) |
Net subscriptions received from redeemable non-controlling interest holders | 540 | 0 |
Net cash provided by (used in) financing activities | 101.1 | (1,089.7) |
Effect of exchange rate changes on cash and cash equivalents of consolidated sponsored investment portfolios | (21.3) | 0 |
Net change in cash and cash equivalents during period | 210.3 | (236.9) |
Cash and cash equivalents at beginning of year | 1,172.3 | 1,506.1 |
Cash and cash equivalents at end of period | $ 1,382.6 | $ 1,269.2 |
UNAUDITED CONDENSED CONSOLIDAT7
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (See Note 11) (Parenthetical) - USD ($) $ in Millions | Jun. 30, 2016 | Dec. 31, 2015 | Jun. 30, 2015 |
Cash and cash equivalents at end of period | $ 1,382.6 | $ 1,172.3 | $ 1,269.2 |
Consolidated sponsored investment portfolios [Member] | |||
Cash and cash equivalents at end of period | $ 107.4 | $ 0 |
UNAUDITED CONDENSED CONSOLIDAT8
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY - USD ($) shares in Thousands, $ in Millions | Total | Redeemable noncontrolling interests [Member] | Common stock [Member] | Additional capital in excess of par value [Member] | Retained earnings [Member] | Accumulated other comprehensive income [Member] |
Reclassification of sponsored investment portfolios upon adoption of new accounting guidance on January 1, 2016 | Accounting standards update 2015-02 [Member] | $ 32.5 | $ (32.5) | ||||
Balances (shares) (As previously reported [Member]) at Dec. 31, 2015 | 250,469 | |||||
Balances (shares) at Dec. 31, 2015 | 250,469 | |||||
Balances (As previously reported [Member]) at Dec. 31, 2015 | $ 4,762 | $ 50.1 | $ 654.6 | 3,970.7 | 86.6 | |
Balances at Dec. 31, 2015 | 4,762 | 54.1 | ||||
Consolidation of sponsored investment portfolios upon adoption of new accounting guidance on January 1, 2016 portion attributable to redeemable noncontrolling interests at Dec. 31, 2015 | 0 | |||||
Consolidation of sponsored investment portfolios upon adoption of new accounting guidance on January 1, 2016 portion attributable to redeemable noncontrolling interests (Accounting standards update 2015-02 [Member]) at Dec. 31, 2015 | $ 672.7 | |||||
Net income | 490.5 | 490.5 | ||||
Net income attributable to redeemable non-controlling interests | 17.1 | 17.1 | ||||
Other comprehensive income (loss), net of tax, portion attributable to parent | (27.8) | (27.8) | ||||
Other comprehensive income (loss), net of tax, portion attributable to noncontrolling interest | 6 | |||||
Dividends declared | (271.8) | (271.8) | ||||
Common stock-based compensation plans activity | ||||||
Shares issued upon option exercises (shares) | 1,657 | |||||
Shares issued upon option exercises | 59.9 | $ 0.3 | 59.6 | |||
Restricted shares issued, net of shares withheld for taxes (shares) | 1 | |||||
Restricted shares issued, net of shares withheld for taxes | (0.1) | $ 0 | (0.1) | |||
Shares issued upon vesting of restricted stock units, net of shares withheld for taxes (shares) | 17 | |||||
Shares issued upon vesting of restricted stock units, net of shares withheld for taxes | (0.2) | $ 0 | (0.2) | |||
Forfeiture of restricted awards (shares) | (32) | |||||
Forfeiture of restricted awards | 0 | $ 0 | ||||
Net tax benefits | 16.8 | 16.8 | ||||
Stock-based compensation expense | 75.6 | 75.6 | ||||
Common shares repurchased (shares) | (3,610) | |||||
Common shares repurchased | $ (244) | $ (0.7) | (102.6) | (140.7) | ||
Net subscriptions into sponsored investment portfolios | 575.9 | |||||
Net deconsolidations of sponsored investment portfolios | (161.3) | |||||
Balances (shares) at Jun. 30, 2016 | 248,502 | 248,502 | ||||
Balances at Jun. 30, 2016 | $ 4,860.9 | $ 49.7 | $ 703.7 | $ 4,081.2 | $ 26.3 | |
Balances attributable to redeemable non-controlling interests at Jun. 30, 2016 | $ 1,110.4 | $ 1,110.4 |
THE COMPANY AND BASIS OF PREPAR
THE COMPANY AND BASIS OF PREPARATION. | 6 Months Ended |
Jun. 30, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
The company and basis of preparation | NOTE 1 – THE COMPANY AND BASIS OF PREPARATION. T. Rowe Price Group (Price Group) derives its consolidated revenues and net income primarily from investment advisory services that its subsidiaries provide to individual and institutional investors in the sponsored T. Rowe Price U.S. mutual funds and other investment portfolios, including separately managed accounts, subadvised funds, and other sponsored investment portfolios. We also provide our investment advisory clients with related administrative services, including distribution, mutual fund transfer agent, accounting, and shareholder services; participant recordkeeping and transfer agent services for defined contribution retirement plans; brokerage; and trust services. Investment advisory revenues depend largely on the total value and composition of assets under our management. Accordingly, fluctuations in financial markets and in the composition of assets under management impact our revenues and results of operations. These unaudited condensed consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States, which require the use of estimates and reflect all adjustments that are, in the opinion of management, necessary to a fair statement of our results for the interim periods presented. All such adjustments are of a normal recurring nature. Actual results may vary from our estimates. Certain prior year amounts have been reclassified to conform to the 2016 presentation. The unaudited interim financial information contained in these condensed consolidated financial statements should be read in conjunction with the consolidated financial statements contained in our 2015 Annual Report. NEW ACCOUNTING GUIDANCE. We implemented Accounting Standards Update No. 2015-02 - Consolidation (Topic 810): Amendments to the Consolidation Analysis on January 1, 2016, which did not require the restatement of prior year periods. In connection with the adoption of this guidance, we reevaluated all of our investments for consolidation, including our investments in sponsored investment portfolios. The adoption of the guidance resulted in sponsored investment products regulated outside the U.S. previously accounted for as voting interest entities (VOE) to be evaluated as variable interest entities (VIE) and led to the consolidation of an additional 24 portfolios that were previously accounted for as available-for-sale securities. The adoption also resulted in the consolidation of an additional eight U.S. sponsored investment portfolios that were previously accounted for as available-for sale-securities. The impact to the condensed consolidated balance sheet upon adoption was the consolidation of $1.6 billion of assets, $21.3 million of liabilities, and $672.7 million of non-controlling interests. We also reclassified $32.5 million in accumulated comprehensive income to retained earnings. The consolidation guidance provides a scope exception for reporting entities with interests in legal entities that are required to comply with or operate in accordance with requirements similar to those in Rule 2a-7 of the Investment Company Act of 1940 for registered money market funds. Additional disclosures relating to consolidated voting interest entities and variable interest entities, and the impact the new accounting guidance has had on the quarter and year to date period are included in Note 5. CONSOLIDATION. Our condensed consolidated financial statements include the accounts of all subsidiaries and sponsored investment portfolios in which we have a controlling interest. We are generally deemed to have a controlling interest when we own the majority of the voting interest of an entity or are deemed to be the primary beneficiary of a VIE. We perform an analysis of our investments to determine if the investment entity is a VOE or VIE. Our analysis involves judgment and considers several factors, including an entity’s legal organization, capital structure, the rights of the equity investment holders, our ownership interest in the entity, and our contractual involvement with the entity. We continually review and reconsider our VIE or VOE conclusions upon the occurrence of certain events, such as changes to our ownership interest, changes to an entity’s legal structure, or amendments to governing documents. All material accounts and transactions between consolidated entities are eliminated in consolidation. Upon consolidation of sponsored investment portfolios, the Company retains the specialized investment company accounting principles of the underlying funds. All of the underlying investments held by these portfolios are carried at fair value with corresponding changes in the investments’ fair values reflected in non-operating income (expense) on the condensed consolidated statements of income. Variable interest entities VIEs are entities that, by design (i ) lack sufficient equity to permit the entity to finance its activities independently, or (ii) have equity holders that do not have the power to direct the activities of the entity that most significantly impact the entity’s economic performance, the obligation to absorb the entity’s losses, or the rights to receive the entity’s residual returns. We consolidate a VIE when we are the primary beneficiary, which is the party that has both (i) the power to direct the activities of the VIE that most significantly impact its economic performance and (ii) the obligation to absorb losses of the entity or the right to receive benefits from the VIE that could potentially be significant. Our Luxembourg-based SICAV (Société d'Investissement à Capital Variable) funds and other sponsored investment portfolios regulated outside the U.S. are determined to be VIEs. Along with VIEs that we consolidate, we also hold variable interests in other VIEs, including several investment partnerships, that are not consolidated because we are not the primary beneficiary. Redeemable non-controlling interests We recognize redeemable non-controlling interests for the portion of the net assets of our consolidated sponsored investment portfolios held by unrelated third party investors as their interest is convertible to cash and other assets at their option. As such, we reflect redeemable non-controlling interests as temporary equity in our condensed consolidated balance sheet. |
INFORMATION ABOUT RECEIVABLES,
INFORMATION ABOUT RECEIVABLES, REVENUES, AND SERVICES. | 6 Months Ended |
Jun. 30, 2016 | |
Information about Receivables, Revenues, and Services [Abstract] | |
Information about receivables, revenues, and services | NOTE 2 – INFORMATION ABOUT RECEIVABLES, REVENUES, AND SERVICES. Accounts receivable from our sponsored U.S. mutual funds for advisory fees and advisory-related administrative services aggregate $252.8 million at December 31, 2015 , and $246.7 million at June 30, 2016 . Revenues (in millions) from advisory services provided under agreements with our sponsored U.S. mutual funds and other investment clients include: Three months ended Six months ended 6/30/2015 6/30/2016 6/30/2015 6/30/2016 Sponsored U.S. mutual funds Stock and blended asset $ 575.5 $ 551.1 $ 1,118.7 $ 1,070.6 Bond and money market 107.5 118.0 210.2 230.6 683.0 669.1 1,328.9 1,301.2 Other investment portfolios Stock and blended asset 220.0 210.3 433.0 408.2 Bond, money market, and stable value 39.2 41.2 76.8 82.0 259.2 251.5 509.8 490.2 Total $ 942.2 $ 920.6 $ 1,838.7 $ 1,791.4 We voluntarily waived $12.5 million and $3.3 million in money market related fees, including advisory fees and fund expenses, in the second quarter of 2015 and 2016 , respectively, in order to maintain a positive yield for fund investors. Fees waived during the six months ended June 30, 2015 and 2016 total $26.2 million and $7.3 million respectively. The following table summarizes the investment portfolios and assets under management (in billions) on which we earn advisory fees. Average during Average during the second quarter of the first half of 2015 2016 2015 2016 Sponsored U.S. mutual funds Stock and blended asset $ 398.9 $ 383.6 $ 390.2 $ 372.4 Bond and money market 107.3 108.5 106.5 106.4 506.2 492.1 496.7 478.8 Other investment portfolios Stock and blended asset 214.2 209.9 211.9 203.2 Bond, money market, and stable value 63.2 70.7 62.8 68.4 277.4 280.6 274.7 271.6 Total $ 783.6 $ 772.7 $ 771.4 $ 750.4 As of 12/31/2015 6/30/2016 Sponsored U.S. mutual funds Stock and blended asset $ 383.0 $ 384.8 Bond and money market 104.1 109.6 487.1 494.4 Other investment portfolios Stock and blended asset 209.8 209.8 Bond, money market, and stable value 66.2 72.4 276.0 282.2 Total $ 763.1 $ 776.6 Investors that we serve are primarily domiciled in the U.S.; investment advisory clients outside the U.S. account for 4.9% and 4.8% of our assets under management at December 31, 2015 , and June 30, 2016 , respectively. The following table summarizes the other fees (in millions) earned from our sponsored U.S. mutual funds. Three months ended Six months ended 6/30/2015 6/30/2016 6/30/2015 6/30/2016 Administrative fees $ 74.6 $ 69.7 $ 150.6 $ 142.0 Distribution and servicing fees $ 38.6 $ 35.6 $ 76.1 $ 69.5 |
INVESTMENTS.
INVESTMENTS. | 6 Months Ended |
Jun. 30, 2016 | |
Investments [Abstract] | |
Investments | NOTE 3 - INVESTMENTS. The carrying value of investments (in millions) we do not consolidate are as follows: 12/31/2015 6/30/2016 Available-for-sale sponsored investment portfolios $ 1,612.3 $ 579.1 Equity method investments Sponsored investment portfolios 113.7 296.1 26% interest in UTI Asset Management Company Limited (India) 132.8 137.3 Investment partnerships 6.2 5.6 Trading investments Sponsored investment portfolios 25.8 28.9 Other — 4.2 Cost method investments 69.4 70.0 U.S. Treasury note 1.0 1.0 Total $ 1,961.2 $ 1,122.2 In connection with the adoption of the new consolidation accounting guidance on January 1, 2016, we reevaluated all of our investments for consolidation, including our investments in sponsored investment portfolios. We determined that our interests in a number of our available-for-sale holdings held at December 31, 2015, were deemed controlling interests under the new accounting standard and resulted in these sponsored investment portfolios being consolidated on January 1, 2016. During the first six months of 2016, certain sponsored investment portfolios were deconsolidated, in which we provided initial seed capital at the time of formation, as we no longer had a controlling interest. Additionally, a sponsored investment portfolio that was being accounted for as an equity method investment was consolidated as we regained a controlling interest. The net impact on our condensed consolidated balance sheet was a net reduction of portfolio assets of $363.2 million , liabilities of $2.2 million and redeemable non-controlling interests of $161.3 million , which were the carrying values on the deconsolidation and consolidation dates. Since our consolidated investment portfolios are carried at fair value, and the investment portfolio's functional currency was U.S. dollars, we did not recognize any gain or loss in our consolidated statement of income upon deconsolidation. Depending on our ownership interest, we are now reporting our residual interests in deconsolidated sponsored investment portfolios as either equity method or available-for-sale investments. AVAILABLE-FOR-SALE SPONSORED INVESTMENT PORTFOLIOS. The available-for-sale sponsored investment portfolios (in millions) include: Aggregate cost Unrealized holding Aggregate fair value gains losses December 31, 2015 Stock and blended asset funds $ 428.6 $ 180.3 $ (9.1 ) $ 599.8 Bond funds 990.5 39.1 (17.1 ) 1,012.5 Total $ 1,419.1 $ 219.4 $ (26.2 ) $ 1,612.3 June 30, 2016 Stock and blended asset funds $ 108.0 $ 87.0 $ (.1 ) $ 194.9 Bond funds 380.3 5.3 (1.4 ) 384.2 Total $ 488.3 $ 92.3 $ (1.5 ) $ 579.1 The following table details the number of holdings, the unrealized holding losses, and the aggregate fair value of available-for-sale sponsored investment portfolios with unrealized losses categorized by the length of time they have been in a continuous unrealized loss position: Number of holdings Unrealized holding losses Aggregate December 31, 2015 Less than 12 months 18 $ (15.8 ) $ 419.6 12 months or more 4 (10.4 ) 298.6 Total 22 $ (26.2 ) $ 718.2 June 30, 2016 Less than 12 months 5 $ (.1 ) $ 1.7 12 months or more 1 (1.4 ) 169.3 Total 6 $ (1.5 ) $ 171.0 In addition to the duration of the impairments, we reviewed the severity of the impairment as well as our intent and ability to hold the investments for a period of time sufficient for an anticipated recovery in fair value. Accordingly, impairment of these investment holdings is considered temporary at December 31, 2015 , and June 30, 2016 . VARIABLE INTEREST ENTITIES. Our investments at June 30, 2016 , include $83.6 million of investments in variable interest entities that we do not consolidate as we are not deemed the primary beneficiary. Our maximum risk of loss related to our involvement with these entities at June 30, 2016 , is $140.7 million , which includes our carrying value, any unfunded capital commitments, and uncollected investment advisory and administrative fees. |
FAIR VALUE MEASUREMENTS.
FAIR VALUE MEASUREMENTS. | 6 Months Ended |
Jun. 30, 2016 | |
Parent company [Member] | |
Fair value measurements | |
Fair value measurements | NOTE 4 – FAIR VALUE MEASUREMENTS. We determine the fair value of our cash equivalents and certain investments using the following broad levels of inputs as defined by related accounting standards: Level 1 – quoted prices in active markets for identical securities. Level 2 – observable inputs other than Level 1 quoted prices including, but not limited to, quoted prices for similar securities, interest rates, prepayment speeds, and credit risk. These inputs are based on market data obtained from independent sources. We do not value any investments using Level 2 inputs. Level 3 – unobservable inputs reflecting our own assumptions based on the best information available. We do not value any investments using Level 3 inputs. These levels are not necessarily an indication of the risk or liquidity associated with our investments. There have been no transfers between the levels. The following table summarizes our investments (in millions) that are recognized in our condensed consolidated balance sheets using fair value measurements determined based on the differing levels of inputs. Level 1 December 31, 2015 Cash equivalents $ 997.5 Available-for-sale sponsored investment portfolios 1,612.3 Sponsored investment portfolios held as trading 25.8 Total $ 2,635.6 June 30, 2016 Cash equivalents $ 1,085.5 Available-for-sale sponsored investment portfolios 579.1 Sponsored investment portfolios held as trading 28.9 Other trading investments 4.2 Total $ 1,697.7 The table above excludes investments held by consolidated sponsored investment portfolios which are presented separately on our condensed consolidated balance sheets and are detailed in Note 5. |
CONSOLIDATED SPONSORED INVESTME
CONSOLIDATED SPONSORED INVESTMENT PORTFOLIOS. | 6 Months Ended |
Jun. 30, 2016 | |
Consolidated Sponsored Investment Portfolios [Abstract] | |
Consolidated sponsored investment portfolios | NOTE 5 - CONSOLIDATED SPONSORED INVESTMENT PORTFOLIOS. The sponsored investment portfolios that we consolidate in our condensed consolidated financial statements are generally those products we provided initial seed capital at the time of their formation and have a controlling interest. Our U.S. sponsored investment portfolios are considered voting interest entities while those regulated outside the United States are considered variable interest entities. The following table details the net assets of consolidated sponsored investment portfolios at June 30, 2016 . Voting interest entities Variable interest entities Total Cash and cash equivalents $ 12.1 $ 95.3 $ 107.4 Investments 221.5 1,716.0 1,937.5 Other assets 15.6 82.7 98.3 Total assets 249.2 1,894.0 2,143.2 Liabilities 14.7 63.2 77.9 Net assets $ 234.5 $ 1,830.8 $ 2,065.3 Attributable to redeemable non-controlling interests $ 73.3 $ 1,037.1 $ 1,110.4 Attributable to T. Rowe Price Group 161.2 793.7 954.9 $ 234.5 $ 1,830.8 $ 2,065.3 Although we can redeem our net interest in these sponsored investment portfolios at any time, we cannot directly access or sell the assets held by the portfolios to obtain cash for general operations. Additionally, the assets of these investment portfolios are not available to our general creditors. Since third party investors in these investment funds have no recourse to our credit, our overall risk related to the net assets of consolidated sponsored investment portfolios is limited to valuation changes associated with our net interest. We, however, are required to recognize the valuation changes associated with all underlying investments held by these portfolios in our condensed consolidated statements of income, and disclose the portion attributable to third party investors as net income attributable to redeemable non-controlling interests. The operating results (in millions) of the consolidated sponsored investment portfolios for the three- and six- months ended June 30, 2016 , are reflected in our condensed consolidated statement of income as follows: Three months ended 6/30/2016 Six months ended 6/30/2016 Voting Variable interest entities Total Voting Variable interest entities Total Operating expenses reflected in net operating income $ (.3 ) $ (3.2 ) $ (3.5 ) $ (.8 ) $ (5.3 ) $ (6.1 ) Net investment income reflected in non-operating income 5.8 20.6 26.4 12.1 38.1 50.2 Impact on income before taxes $ 5.5 $ 17.4 $ 22.9 $ 11.3 $ 32.8 $ 44.1 Attributable to T. Rowe Price Group 3.9 11.1 15.0 7.7 19.3 27.0 Attributable to redeemable non-controlling interests $ 1.6 $ 6.3 $ 7.9 $ 3.6 $ 13.5 $ 17.1 $ 5.5 $ 17.4 $ 22.9 $ 11.3 $ 32.8 $ 44.1 The operating expenses of these consolidated portfolios are reflected in other operating expenses. For the three- and six- months ended June 30, 2016 , we eliminated $1.8 million and $3.1 million , respectively, of these expenses against our investment advisory and administrative fees earned in preparing our condensed consolidated financial statements. The net investment income reflected in non-operating income includes dividend and interest income, and realized and unrealized gains and losses on the underlying securities held by the consolidated sponsored investment portfolios. The table below details the impact of these consolidated investment portfolios on the individual lines of our condensed consolidated statement of cash flows (in millions) for the six months ended June 30, 2016 . Six months ended 6/30/2016 Voting Variable interest entities Total Net cash provided by (used in) operating activities $ (40.9 ) $ (632.4 ) $ (673.3 ) Net cash provided by (used in) investing activities 25.4 42.9 68.3 Net cash provided by (used in) financing activities 27.6 706.1 733.7 Effect of exchange rate changes on cash and cash equivalents of consolidated sponsored investment portfolios — (21.3 ) (21.3 ) Net change in cash and cash equivalents during period 12.1 95.3 107.4 Cash and cash equivalents at beginning of year — — — Cash and cash equivalents at end of period $ 12.1 $ 95.3 $ 107.4 The net cash provided by (used in) financing activities during the first half of 2016 includes $193.7 million of net subscriptions we made into the consolidated sponsored investment portfolios, net of dividends received. These cash flows were eliminated in consolidation. FAIR VALUE MEASUREMENTS. We determine the fair value of investments held by consolidated sponsored investment portfolios using the following broad levels of inputs as defined by related accounting standards: Level 1 – quoted prices in active markets for identical securities. Level 2 – observable inputs other than Level 1 quoted prices including, but not limited to, quoted prices for similar securities, interest rates, prepayment speeds, and credit risk. These inputs are based on market data obtained from independent sources. Level 3 – unobservable inputs reflecting our own assumptions based on the best information available. We do not value any investments using Level 3 inputs. These levels are not necessarily an indication of the risk or liquidity associated with these investment holdings. There have been no material transfers between the levels. The following table summarizes the investment holdings held by our consolidated sponsored investment portfolios (in millions) using fair value measurements determined based on the differing levels of inputs. Level 1 Level 2 December 31, 2015 Assets Equity securities $ 2.8 $ 11.2 Fixed income securities — 43.0 Other investments .7 — $ 3.5 $ 54.2 June 30, 2016 Assets Cash equivalents $ 10.8 $ 1.1 Equity securities 213.4 326.6 Fixed income securities — 1,370.6 Other investments .3 26.6 $ 224.5 $ 1,724.9 Liabilities $ 3.3 $ 21.1 |
STOCKHOLDERS' EQUITY.
STOCKHOLDERS' EQUITY. | 6 Months Ended |
Jun. 30, 2016 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' equity | NOTE 6 – STOCKHOLDERS’ EQUITY. DIVIDENDS. Regular cash dividends declared per share during the first six months of 2015 and 2016 were $1.04 and $1.08 , respectively. A $2.00 per share special dividend was also declared and paid in the first six months of 2015. |
STOCK-BASED COMPENSATION.
STOCK-BASED COMPENSATION. | 6 Months Ended |
Jun. 30, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-based compensation | NOTE 7 – STOCK-BASED COMPENSATION. STOCK OPTIONS. The following table summarizes the status of and changes in our stock options during the first half of 2016 . Options Weighted- average exercise price Outstanding at December 31, 2015 30,818,229 $ 59.24 Non-employee director grants 13,050 $ 75.29 Exercised (2,254,311 ) $ 46.27 Forfeited (259,173 ) $ 71.55 Expired (16,107 ) $ 77.65 Outstanding at June 30, 2016 28,301,688 $ 60.16 Exercisable at June 30, 2016 17,625,997 $ 53.02 RESTRICTED SHARES AND STOCK UNITS. The following table summarizes the status of and changes in our nonvested restricted shares and restricted stock units during the first half of 2016 . Restricted shares Restricted stock units Weighted-average fair value Nonvested at December 31, 2015 1,470,827 2,216,431 $ 74.66 Time-based grants 2,600 1,498,275 $ 70.33 Performance-based grants — 200,223 $ 70.26 Vested (17,460 ) (16,276 ) $ 77.09 Forfeited (31,547 ) (47,491 ) $ 74.78 Nonvested at June 30, 2016 1,424,420 3,851,162 $ 73.24 The nonvested at June 30, 2016 , includes 21,600 performance-based restricted shares and 394,834 performance-based restricted stock units. These performance-based restricted shares and units include 21,600 restricted shares and 134,385 restricted stock units for which the performance period has lapsed and the performance threshold has been met. FUTURE STOCK-BASED COMPENSATION EXPENSE. The following table presents the compensation expense (in millions) to be recognized over the remaining vesting periods of the stock-based awards outstanding at June 30, 2016 . Estimated future compensation expense will change to reflect future option grants; future awards of unrestricted shares and restricted stock units; changes in estimated forfeitures; changes in the probability of performance thresholds being met; and adjustments for actual forfeitures. Third quarter 2016 39.3 Fourth quarter 2016 35.6 2017 102.5 2018 through 2021 101.6 Total $ 279.0 |
EARNINGS PER SHARE CALCULATIONS
EARNINGS PER SHARE CALCULATIONS. | 6 Months Ended |
Jun. 30, 2016 | |
Earnings Per Share [Abstract] | |
Earnings per share calculations | NOTE 8 – EARNINGS PER SHARE CALCULATIONS. The following table presents the reconciliation (in millions) of net income attributable to T. Rowe Price Group to net income allocated to our common stockholders and the weighted-average shares (in millions) that are used in calculating the basic and diluted earnings per share on our common stock. Weighted-average common shares outstanding assuming dilution reflect the potential dilution, determined using the treasury stock method, that could occur if outstanding stock options were exercised and non-participating stock awards vested. Three months ended Six months ended 6/30/2015 6/30/2016 6/30/2015 6/30/2016 Net income attributable to T. Rowe Price Group $ 333.2 $ 195.3 $ 642.7 $ 490.5 Less: net income allocated to outstanding restricted stock and stock unit holders 4.1 3.8 9.8 9.4 Net income allocated to common stockholders $ 329.1 $ 191.5 $ 632.9 $ 481.1 Weighted-average common shares Outstanding 257.7 246.9 258.2 246.8 Outstanding assuming dilution 264.6 252.1 265.1 251.8 The following table shows the weighted-average outstanding stock options (in millions) that are excluded from the calculation of diluted earnings per common share as the inclusion of such shares would be anti-dilutive. Three months ended Six months ended 6/30/2015 6/30/2016 6/30/2015 6/30/2016 Weighted-average outstanding stock options excluded 5.7 7.7 5.1 9.2 |
OTHER COMPREHENSIVE INCOME AND
OTHER COMPREHENSIVE INCOME AND ACCUMULATED OTHER COMPREHENSIVE INCOME. | 6 Months Ended |
Jun. 30, 2016 | |
Stockholders' Equity Note [Abstract] | |
Other comprehensive income and accumulated other comprehensive income | NOTE 9 - OTHER COMPREHENSIVE INCOME AND ACCUMULATED OTHER COMPREHENSIVE INCOME. The following table presents the impact of the components (in millions) of other comprehensive income or loss on deferred tax benefits (income taxes). Three months ended Six months ended 6/30/2015 6/30/2016 6/30/2015 6/30/2016 Net deferred tax benefits on: Net unrealized holding gains or losses $ (2.4 ) $ (2.1 ) $ (5.5 ) $ .4 Reclassification adjustments recognized in the provision for income taxes: Net gains realized on dispositions 8.8 — 14.7 20.6 Net deferred tax benefits on net unrealized holding gains or losses 6.4 (2.1 ) 9.2 21.0 Total deferred tax benefits (income taxes) on currency translation adjustments .7 3.9 1.5 (2.8 ) Total net deferred tax benefits $ 7.1 $ 1.8 $ 10.7 $ 18.2 The changes (in millions) in each component of accumulated other comprehensive income, including reclassification adjustments for the first half of 2016 are presented in the table below. Currency translation adjustments Net unrealized holding gains Equity method investments Consolidated sponsored investment portfolios - variable interest entities Total currency translation adjustments Total Balances at December 31, 2015 $ 120.3 $ (30.9 ) $ (2.8 ) $ (33.7 ) $ 86.6 Reclassification of accumulated other comprehensive income to retained earnings upon adoption of the new consolidation accounting guidance (32.0 ) (.5 ) — (.5 ) (32.5 ) Balance at January 1, 2016 88.3 (31.4 ) (2.8 ) (34.2 ) 54.1 Other comprehensive income (loss) before reclassifications and income taxes (.9 ) (.8 ) 8.0 7.2 6.3 Reclassification adjustments recognized in non-operating income (52.3 ) — — — (52.3 ) (53.2 ) (.8 ) 8.0 7.2 (46.0 ) Net deferred tax benefits 21.0 .3 (3.1 ) (2.8 ) 18.2 Other comprehensive income (loss) (32.2 ) (.5 ) 4.9 4.4 (27.8 ) Balances at June 30, 2016 $ 56.1 $ (31.9 ) $ 2.1 $ (29.8 ) $ 26.3 |
DELL APPRAISAL RIGHTS MATTER.
DELL APPRAISAL RIGHTS MATTER. | 6 Months Ended |
Jun. 30, 2016 | |
Extraordinary and Unusual Items [Abstract] | |
Dell appraisal rights matter | NOTE 10 - DELL APPRAISAL RIGHTS MATTER. During the second quarter of 2016, we recognized a nonrecurring operating charge of $166.2 million to compensate certain T. Rowe Price mutual funds, trusts, separately managed accounts, and subadvised clients (collectively, “Clients”) for the difference in valuation plus statutory interest, resulting from the denial of their appraisal rights by the Delaware Chancery Court (Court) in connection with the 2013 leveraged buyout of Dell, Inc. (Dell). The Court ruled on May 11, 2016, that the Clients could not pursue an appraisal of any shares they held that were voted in favor of the Dell merger. The appraisal statute governing the transaction required the record holder to vote against or abstain from voting on the transaction in order to assert appraisal rights. After previously voting against prior transaction proposals, the voting instructions submitted on behalf of the Clients in connection with voting on the final proposed transaction were incorrectly submitted in favor of the transaction. On May 31, 2016, the Court determined that the fair value of Dell at the time of the merger was $17.62 per share, as opposed to the $13.75 price offered in the transaction. As a result, any shareholder perfecting appraisal rights is entitled to a payment at $17.62 per share plus statutory interest from the date the Dell transaction closed. The compensation to Clients was intended to make them whole for the voting discrepancy that resulted in the denial of their appraisal rights. |
SUPPLEMENTARY CONSOLIDATING CAS
SUPPLEMENTARY CONSOLIDATING CASH FLOW STATEMENT. | 6 Months Ended |
Jun. 30, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Supplementary consolidating cash flow statement | NOTE 11 - SUPPLEMENTARY CONSOLIDATING CASH FLOW STATEMENT. The following table summarizes the cash flows (in millions) that are attributable to Price Group and our consolidated sponsored investment portfolios for the six months ended June 30, 2016 . The table also reflects the eliminations required in preparing our condensed consolidated statement of cash flow for the six months ended June 30, 2016 and a condensed consolidated statement of cash flow for the six months ended June 30, 2015. For six months ended 6/30/2016 As reported for the six months ended 6/30/2015 Cash flow attributable to Price Group Cash flow attributable to consolidated sponsored investment portfolios Eliminations As reported on statement of cash flows Cash flows from operating activities Net income $ 642.7 $ 490.5 $ 44.1 $ (27.0 ) $ 507.6 Adjustments to reconcile net income to net cash provided by (used in) operating activities Depreciation and amortization of property and equipment 61.3 66.0 — — 66.0 Stock-based compensation expense 66.6 75.6 — — 75.6 Realized gains on dispositions of available-for-sale sponsored investment portfolios (39.3 ) (52.3 ) — — (52.3 ) Net gains recognized on investments (5.8 ) (43.9 ) — 27.0 (16.9 ) Net change in trading securities held by consolidated sponsored investment portfolios (5.4 ) — (717.2 ) — (717.2 ) Other changes in assets and liabilities 166.6 109.0 (0.2 ) (3.1 ) 105.7 Net cash provided by (used in) operating activities 886.7 644.9 (673.3 ) (3.1 ) (31.5 ) Net cash provided by (used in) investing activities (33.9 ) (103.1 ) 68.3 196.8 162.0 Net cash provided by (used in) financing activities (1,089.7 ) (438.9 ) 733.7 (193.7 ) 101.1 Effect of exchange rate changes on cash and cash equivalents of consolidated sponsored investment portfolios — — (21.3 ) — (21.3 ) Net change in cash and cash equivalents during period (236.9 ) 102.9 107.4 — 210.3 Cash and cash equivalents at beginning of year 1,506.1 1,172.3 — — 1,172.3 Cash and cash equivalents at end of period $ 1,269.2 $ 1,275.2 $ 107.4 $ — $ 1,382.6 |
THE COMPANY AND BASIS OF PREP20
THE COMPANY AND BASIS OF PREPARATION. (Policies) | 6 Months Ended |
Jun. 30, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
New accounting guidance | NEW ACCOUNTING GUIDANCE. We implemented Accounting Standards Update No. 2015-02 - Consolidation (Topic 810): Amendments to the Consolidation Analysis on January 1, 2016, which did not require the restatement of prior year periods. In connection with the adoption of this guidance, we reevaluated all of our investments for consolidation, including our investments in sponsored investment portfolios. The adoption of the guidance resulted in sponsored investment products regulated outside the U.S. previously accounted for as voting interest entities (VOE) to be evaluated as variable interest entities (VIE) and led to the consolidation of an additional 24 portfolios that were previously accounted for as available-for-sale securities. The adoption also resulted in the consolidation of an additional eight U.S. sponsored investment portfolios that were previously accounted for as available-for sale-securities. The impact to the condensed consolidated balance sheet upon adoption was the consolidation of $1.6 billion of assets, $21.3 million of liabilities, and $672.7 million of non-controlling interests. We also reclassified $32.5 million in accumulated comprehensive income to retained earnings. The consolidation guidance provides a scope exception for reporting entities with interests in legal entities that are required to comply with or operate in accordance with requirements similar to those in Rule 2a-7 of the Investment Company Act of 1940 for registered money market funds. Additional disclosures relating to consolidated voting interest entities and variable interest entities, and the impact the new accounting guidance has had on the quarter and year to date period are included in Note 5. |
Consolidation | CONSOLIDATION. Our condensed consolidated financial statements include the accounts of all subsidiaries and sponsored investment portfolios in which we have a controlling interest. We are generally deemed to have a controlling interest when we own the majority of the voting interest of an entity or are deemed to be the primary beneficiary of a VIE. We perform an analysis of our investments to determine if the investment entity is a VOE or VIE. Our analysis involves judgment and considers several factors, including an entity’s legal organization, capital structure, the rights of the equity investment holders, our ownership interest in the entity, and our contractual involvement with the entity. We continually review and reconsider our VIE or VOE conclusions upon the occurrence of certain events, such as changes to our ownership interest, changes to an entity’s legal structure, or amendments to governing documents. All material accounts and transactions between consolidated entities are eliminated in consolidation. Upon consolidation of sponsored investment portfolios, the Company retains the specialized investment company accounting principles of the underlying funds. All of the underlying investments held by these portfolios are carried at fair value with corresponding changes in the investments’ fair values reflected in non-operating income (expense) on the condensed consolidated statements of income. Variable interest entities VIEs are entities that, by design (i ) lack sufficient equity to permit the entity to finance its activities independently, or (ii) have equity holders that do not have the power to direct the activities of the entity that most significantly impact the entity’s economic performance, the obligation to absorb the entity’s losses, or the rights to receive the entity’s residual returns. We consolidate a VIE when we are the primary beneficiary, which is the party that has both (i) the power to direct the activities of the VIE that most significantly impact its economic performance and (ii) the obligation to absorb losses of the entity or the right to receive benefits from the VIE that could potentially be significant. Our Luxembourg-based SICAV (Société d'Investissement à Capital Variable) funds and other sponsored investment portfolios regulated outside the U.S. are determined to be VIEs. Along with VIEs that we consolidate, we also hold variable interests in other VIEs, including several investment partnerships, that are not consolidated because we are not the primary beneficiary. Redeemable non-controlling interests We recognize redeemable non-controlling interests for the portion of the net assets of our consolidated sponsored investment portfolios held by unrelated third party investors as their interest is convertible to cash and other assets at their option. As such, we reflect redeemable non-controlling interests as temporary equity in our condensed consolidated balance sheet. |
INFORMATION ABOUT RECEIVABLES21
INFORMATION ABOUT RECEIVABLES, REVENUES, AND SERVICES. (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Information about Receivables, Revenues, and Services [Abstract] | |
Components of revenues from advisory services | Revenues (in millions) from advisory services provided under agreements with our sponsored U.S. mutual funds and other investment clients include: Three months ended Six months ended 6/30/2015 6/30/2016 6/30/2015 6/30/2016 Sponsored U.S. mutual funds Stock and blended asset $ 575.5 $ 551.1 $ 1,118.7 $ 1,070.6 Bond and money market 107.5 118.0 210.2 230.6 683.0 669.1 1,328.9 1,301.2 Other investment portfolios Stock and blended asset 220.0 210.3 433.0 408.2 Bond, money market, and stable value 39.2 41.2 76.8 82.0 259.2 251.5 509.8 490.2 Total $ 942.2 $ 920.6 $ 1,838.7 $ 1,791.4 |
Components of assets under management | The following table summarizes the investment portfolios and assets under management (in billions) on which we earn advisory fees. Average during Average during the second quarter of the first half of 2015 2016 2015 2016 Sponsored U.S. mutual funds Stock and blended asset $ 398.9 $ 383.6 $ 390.2 $ 372.4 Bond and money market 107.3 108.5 106.5 106.4 506.2 492.1 496.7 478.8 Other investment portfolios Stock and blended asset 214.2 209.9 211.9 203.2 Bond, money market, and stable value 63.2 70.7 62.8 68.4 277.4 280.6 274.7 271.6 Total $ 783.6 $ 772.7 $ 771.4 $ 750.4 As of 12/31/2015 6/30/2016 Sponsored U.S. mutual funds Stock and blended asset $ 383.0 $ 384.8 Bond and money market 104.1 109.6 487.1 494.4 Other investment portfolios Stock and blended asset 209.8 209.8 Bond, money market, and stable value 66.2 72.4 276.0 282.2 Total $ 763.1 $ 776.6 |
Components of other fees | The following table summarizes the other fees (in millions) earned from our sponsored U.S. mutual funds. Three months ended Six months ended 6/30/2015 6/30/2016 6/30/2015 6/30/2016 Administrative fees $ 74.6 $ 69.7 $ 150.6 $ 142.0 Distribution and servicing fees $ 38.6 $ 35.6 $ 76.1 $ 69.5 |
INVESTMENTS. (Tables)
INVESTMENTS. (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Investments [Abstract] | |
Unconsolidated investments | The carrying value of investments (in millions) we do not consolidate are as follows: 12/31/2015 6/30/2016 Available-for-sale sponsored investment portfolios $ 1,612.3 $ 579.1 Equity method investments Sponsored investment portfolios 113.7 296.1 26% interest in UTI Asset Management Company Limited (India) 132.8 137.3 Investment partnerships 6.2 5.6 Trading investments Sponsored investment portfolios 25.8 28.9 Other — 4.2 Cost method investments 69.4 70.0 U.S. Treasury note 1.0 1.0 Total $ 1,961.2 $ 1,122.2 |
Investments in sponsored funds reconciliation | The available-for-sale sponsored investment portfolios (in millions) include: Aggregate cost Unrealized holding Aggregate fair value gains losses December 31, 2015 Stock and blended asset funds $ 428.6 $ 180.3 $ (9.1 ) $ 599.8 Bond funds 990.5 39.1 (17.1 ) 1,012.5 Total $ 1,419.1 $ 219.4 $ (26.2 ) $ 1,612.3 June 30, 2016 Stock and blended asset funds $ 108.0 $ 87.0 $ (.1 ) $ 194.9 Bond funds 380.3 5.3 (1.4 ) 384.2 Total $ 488.3 $ 92.3 $ (1.5 ) $ 579.1 |
Continuous unrealized loss positions | The following table details the number of holdings, the unrealized holding losses, and the aggregate fair value of available-for-sale sponsored investment portfolios with unrealized losses categorized by the length of time they have been in a continuous unrealized loss position: Number of holdings Unrealized holding losses Aggregate December 31, 2015 Less than 12 months 18 $ (15.8 ) $ 419.6 12 months or more 4 (10.4 ) 298.6 Total 22 $ (26.2 ) $ 718.2 June 30, 2016 Less than 12 months 5 $ (.1 ) $ 1.7 12 months or more 1 (1.4 ) 169.3 Total 6 $ (1.5 ) $ 171.0 |
FAIR VALUE MEASUREMENTS. (Table
FAIR VALUE MEASUREMENTS. (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Parent company [Member] | |
Fair value measurements | |
Fair value measurements table | The following table summarizes our investments (in millions) that are recognized in our condensed consolidated balance sheets using fair value measurements determined based on the differing levels of inputs. Level 1 December 31, 2015 Cash equivalents $ 997.5 Available-for-sale sponsored investment portfolios 1,612.3 Sponsored investment portfolios held as trading 25.8 Total $ 2,635.6 June 30, 2016 Cash equivalents $ 1,085.5 Available-for-sale sponsored investment portfolios 579.1 Sponsored investment portfolios held as trading 28.9 Other trading investments 4.2 Total $ 1,697.7 |
CONSOLIDATED SPONSORED INVEST24
CONSOLIDATED SPONSORED INVESTMENT PORTFOLIOS. (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Consolidated sponsored investment portfolios | |
Cash flows of consolidated sponsored investment portfolios table | The following table summarizes the cash flows (in millions) that are attributable to Price Group and our consolidated sponsored investment portfolios for the six months ended June 30, 2016 . The table also reflects the eliminations required in preparing our condensed consolidated statement of cash flow for the six months ended June 30, 2016 and a condensed consolidated statement of cash flow for the six months ended June 30, 2015. For six months ended 6/30/2016 As reported for the six months ended 6/30/2015 Cash flow attributable to Price Group Cash flow attributable to consolidated sponsored investment portfolios Eliminations As reported on statement of cash flows Cash flows from operating activities Net income $ 642.7 $ 490.5 $ 44.1 $ (27.0 ) $ 507.6 Adjustments to reconcile net income to net cash provided by (used in) operating activities Depreciation and amortization of property and equipment 61.3 66.0 — — 66.0 Stock-based compensation expense 66.6 75.6 — — 75.6 Realized gains on dispositions of available-for-sale sponsored investment portfolios (39.3 ) (52.3 ) — — (52.3 ) Net gains recognized on investments (5.8 ) (43.9 ) — 27.0 (16.9 ) Net change in trading securities held by consolidated sponsored investment portfolios (5.4 ) — (717.2 ) — (717.2 ) Other changes in assets and liabilities 166.6 109.0 (0.2 ) (3.1 ) 105.7 Net cash provided by (used in) operating activities 886.7 644.9 (673.3 ) (3.1 ) (31.5 ) Net cash provided by (used in) investing activities (33.9 ) (103.1 ) 68.3 196.8 162.0 Net cash provided by (used in) financing activities (1,089.7 ) (438.9 ) 733.7 (193.7 ) 101.1 Effect of exchange rate changes on cash and cash equivalents of consolidated sponsored investment portfolios — — (21.3 ) — (21.3 ) Net change in cash and cash equivalents during period (236.9 ) 102.9 107.4 — 210.3 Cash and cash equivalents at beginning of year 1,506.1 1,172.3 — — 1,172.3 Cash and cash equivalents at end of period $ 1,269.2 $ 1,275.2 $ 107.4 $ — $ 1,382.6 |
Consolidated sponsored investment portfolios [Member] | |
Consolidated sponsored investment portfolios | |
Condensed Balance Sheet [Table Text Block] | The following table details the net assets of consolidated sponsored investment portfolios at June 30, 2016 . Voting interest entities Variable interest entities Total Cash and cash equivalents $ 12.1 $ 95.3 $ 107.4 Investments 221.5 1,716.0 1,937.5 Other assets 15.6 82.7 98.3 Total assets 249.2 1,894.0 2,143.2 Liabilities 14.7 63.2 77.9 Net assets $ 234.5 $ 1,830.8 $ 2,065.3 Attributable to redeemable non-controlling interests $ 73.3 $ 1,037.1 $ 1,110.4 Attributable to T. Rowe Price Group 161.2 793.7 954.9 $ 234.5 $ 1,830.8 $ 2,065.3 |
Condensed Income Statement [Table Text Block] | The operating results (in millions) of the consolidated sponsored investment portfolios for the three- and six- months ended June 30, 2016 , are reflected in our condensed consolidated statement of income as follows: Three months ended 6/30/2016 Six months ended 6/30/2016 Voting Variable interest entities Total Voting Variable interest entities Total Operating expenses reflected in net operating income $ (.3 ) $ (3.2 ) $ (3.5 ) $ (.8 ) $ (5.3 ) $ (6.1 ) Net investment income reflected in non-operating income 5.8 20.6 26.4 12.1 38.1 50.2 Impact on income before taxes $ 5.5 $ 17.4 $ 22.9 $ 11.3 $ 32.8 $ 44.1 Attributable to T. Rowe Price Group 3.9 11.1 15.0 7.7 19.3 27.0 Attributable to redeemable non-controlling interests $ 1.6 $ 6.3 $ 7.9 $ 3.6 $ 13.5 $ 17.1 $ 5.5 $ 17.4 $ 22.9 $ 11.3 $ 32.8 $ 44.1 |
Cash flows of consolidated sponsored investment portfolios table | The table below details the impact of these consolidated investment portfolios on the individual lines of our condensed consolidated statement of cash flows (in millions) for the six months ended June 30, 2016 . Six months ended 6/30/2016 Voting Variable interest entities Total Net cash provided by (used in) operating activities $ (40.9 ) $ (632.4 ) $ (673.3 ) Net cash provided by (used in) investing activities 25.4 42.9 68.3 Net cash provided by (used in) financing activities 27.6 706.1 733.7 Effect of exchange rate changes on cash and cash equivalents of consolidated sponsored investment portfolios — (21.3 ) (21.3 ) Net change in cash and cash equivalents during period 12.1 95.3 107.4 Cash and cash equivalents at beginning of year — — — Cash and cash equivalents at end of period $ 12.1 $ 95.3 $ 107.4 |
Fair value of investments held by consolidated investment portfolios measurements table | The following table summarizes the investment holdings held by our consolidated sponsored investment portfolios (in millions) using fair value measurements determined based on the differing levels of inputs. Level 1 Level 2 December 31, 2015 Assets Equity securities $ 2.8 $ 11.2 Fixed income securities — 43.0 Other investments .7 — $ 3.5 $ 54.2 June 30, 2016 Assets Cash equivalents $ 10.8 $ 1.1 Equity securities 213.4 326.6 Fixed income securities — 1,370.6 Other investments .3 26.6 $ 224.5 $ 1,724.9 Liabilities $ 3.3 $ 21.1 |
STOCK-BASED COMPENSATION. (Tabl
STOCK-BASED COMPENSATION. (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Rollforward of stock options | The following table summarizes the status of and changes in our stock options during the first half of 2016 . Options Weighted- average exercise price Outstanding at December 31, 2015 30,818,229 $ 59.24 Non-employee director grants 13,050 $ 75.29 Exercised (2,254,311 ) $ 46.27 Forfeited (259,173 ) $ 71.55 Expired (16,107 ) $ 77.65 Outstanding at June 30, 2016 28,301,688 $ 60.16 Exercisable at June 30, 2016 17,625,997 $ 53.02 |
Rollforward of nonvested restricted shares and restricted stock units | The following table summarizes the status of and changes in our nonvested restricted shares and restricted stock units during the first half of 2016 . Restricted shares Restricted stock units Weighted-average fair value Nonvested at December 31, 2015 1,470,827 2,216,431 $ 74.66 Time-based grants 2,600 1,498,275 $ 70.33 Performance-based grants — 200,223 $ 70.26 Vested (17,460 ) (16,276 ) $ 77.09 Forfeited (31,547 ) (47,491 ) $ 74.78 Nonvested at June 30, 2016 1,424,420 3,851,162 $ 73.24 |
Future stock-based compensation expense | The following table presents the compensation expense (in millions) to be recognized over the remaining vesting periods of the stock-based awards outstanding at June 30, 2016 . Estimated future compensation expense will change to reflect future option grants; future awards of unrestricted shares and restricted stock units; changes in estimated forfeitures; changes in the probability of performance thresholds being met; and adjustments for actual forfeitures. Third quarter 2016 39.3 Fourth quarter 2016 35.6 2017 102.5 2018 through 2021 101.6 Total $ 279.0 |
EARNINGS PER SHARE CALCULATIO26
EARNINGS PER SHARE CALCULATIONS. (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Earnings Per Share [Abstract] | |
Earnings per share reconciliation | The following table presents the reconciliation (in millions) of net income attributable to T. Rowe Price Group to net income allocated to our common stockholders and the weighted-average shares (in millions) that are used in calculating the basic and diluted earnings per share on our common stock. Weighted-average common shares outstanding assuming dilution reflect the potential dilution, determined using the treasury stock method, that could occur if outstanding stock options were exercised and non-participating stock awards vested. Three months ended Six months ended 6/30/2015 6/30/2016 6/30/2015 6/30/2016 Net income attributable to T. Rowe Price Group $ 333.2 $ 195.3 $ 642.7 $ 490.5 Less: net income allocated to outstanding restricted stock and stock unit holders 4.1 3.8 9.8 9.4 Net income allocated to common stockholders $ 329.1 $ 191.5 $ 632.9 $ 481.1 Weighted-average common shares Outstanding 257.7 246.9 258.2 246.8 Outstanding assuming dilution 264.6 252.1 265.1 251.8 |
Anti-dilutive securities | The following table shows the weighted-average outstanding stock options (in millions) that are excluded from the calculation of diluted earnings per common share as the inclusion of such shares would be anti-dilutive. Three months ended Six months ended 6/30/2015 6/30/2016 6/30/2015 6/30/2016 Weighted-average outstanding stock options excluded 5.7 7.7 5.1 9.2 |
OTHER COMPREHENSIVE INCOME AN27
OTHER COMPREHENSIVE INCOME AND ACCUMULATED OTHER COMPREHENSIVE INCOME. (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Stockholders' Equity Note [Abstract] | |
Impact of the components of other comprehensive income (loss) on deferred tax benefit (income tax) | The following table presents the impact of the components (in millions) of other comprehensive income or loss on deferred tax benefits (income taxes). Three months ended Six months ended 6/30/2015 6/30/2016 6/30/2015 6/30/2016 Net deferred tax benefits on: Net unrealized holding gains or losses $ (2.4 ) $ (2.1 ) $ (5.5 ) $ .4 Reclassification adjustments recognized in the provision for income taxes: Net gains realized on dispositions 8.8 — 14.7 20.6 Net deferred tax benefits on net unrealized holding gains or losses 6.4 (2.1 ) 9.2 21.0 Total deferred tax benefits (income taxes) on currency translation adjustments .7 3.9 1.5 (2.8 ) Total net deferred tax benefits $ 7.1 $ 1.8 $ 10.7 $ 18.2 |
Changes in accumulated other comprehensive income | The changes (in millions) in each component of accumulated other comprehensive income, including reclassification adjustments for the first half of 2016 are presented in the table below. Currency translation adjustments Net unrealized holding gains Equity method investments Consolidated sponsored investment portfolios - variable interest entities Total currency translation adjustments Total Balances at December 31, 2015 $ 120.3 $ (30.9 ) $ (2.8 ) $ (33.7 ) $ 86.6 Reclassification of accumulated other comprehensive income to retained earnings upon adoption of the new consolidation accounting guidance (32.0 ) (.5 ) — (.5 ) (32.5 ) Balance at January 1, 2016 88.3 (31.4 ) (2.8 ) (34.2 ) 54.1 Other comprehensive income (loss) before reclassifications and income taxes (.9 ) (.8 ) 8.0 7.2 6.3 Reclassification adjustments recognized in non-operating income (52.3 ) — — — (52.3 ) (53.2 ) (.8 ) 8.0 7.2 (46.0 ) Net deferred tax benefits 21.0 .3 (3.1 ) (2.8 ) 18.2 Other comprehensive income (loss) (32.2 ) (.5 ) 4.9 4.4 (27.8 ) Balances at June 30, 2016 $ 56.1 $ (31.9 ) $ 2.1 $ (29.8 ) $ 26.3 |
SUPPLEMENTARY CONSOLIDATING C28
SUPPLEMENTARY CONSOLIDATING CASH FLOW STATEMENT. (Tables) | 6 Months Ended |
Jun. 30, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Supplementary consolidating cash flow statement | The following table summarizes the cash flows (in millions) that are attributable to Price Group and our consolidated sponsored investment portfolios for the six months ended June 30, 2016 . The table also reflects the eliminations required in preparing our condensed consolidated statement of cash flow for the six months ended June 30, 2016 and a condensed consolidated statement of cash flow for the six months ended June 30, 2015. For six months ended 6/30/2016 As reported for the six months ended 6/30/2015 Cash flow attributable to Price Group Cash flow attributable to consolidated sponsored investment portfolios Eliminations As reported on statement of cash flows Cash flows from operating activities Net income $ 642.7 $ 490.5 $ 44.1 $ (27.0 ) $ 507.6 Adjustments to reconcile net income to net cash provided by (used in) operating activities Depreciation and amortization of property and equipment 61.3 66.0 — — 66.0 Stock-based compensation expense 66.6 75.6 — — 75.6 Realized gains on dispositions of available-for-sale sponsored investment portfolios (39.3 ) (52.3 ) — — (52.3 ) Net gains recognized on investments (5.8 ) (43.9 ) — 27.0 (16.9 ) Net change in trading securities held by consolidated sponsored investment portfolios (5.4 ) — (717.2 ) — (717.2 ) Other changes in assets and liabilities 166.6 109.0 (0.2 ) (3.1 ) 105.7 Net cash provided by (used in) operating activities 886.7 644.9 (673.3 ) (3.1 ) (31.5 ) Net cash provided by (used in) investing activities (33.9 ) (103.1 ) 68.3 196.8 162.0 Net cash provided by (used in) financing activities (1,089.7 ) (438.9 ) 733.7 (193.7 ) 101.1 Effect of exchange rate changes on cash and cash equivalents of consolidated sponsored investment portfolios — — (21.3 ) — (21.3 ) Net change in cash and cash equivalents during period (236.9 ) 102.9 107.4 — 210.3 Cash and cash equivalents at beginning of year 1,506.1 1,172.3 — — 1,172.3 Cash and cash equivalents at end of period $ 1,269.2 $ 1,275.2 $ 107.4 $ — $ 1,382.6 |
THE COMPANY AND BASIS OF PREP29
THE COMPANY AND BASIS OF PREPARATION. (Details) $ in Millions | Jan. 01, 2016USD ($)fund_holdings | Dec. 31, 2015USD ($) |
Accounting standards update 2015-02 [Member] | Accumulated other comprehensive income [Member] | ||
New accounting guidance | ||
Reclassification of sponsored investment portfolios upon adoption of new accounting guidance on January 1, 2016 | $ (32.5) | |
Accounting standards update 2015-02 [Member] | Retained earnings [Member] | ||
New accounting guidance | ||
Reclassification of sponsored investment portfolios upon adoption of new accounting guidance on January 1, 2016 | $ 32.5 | |
Accounting standards update 2015-02 [Member] | Assets [Member] | ||
New accounting guidance | ||
Reclassification of sponsored investment portfolios upon adoption of new accounting guidance on January 1, 2016 | $ (1,600) | |
Accounting standards update 2015-02 [Member] | Liability [Member] | ||
New accounting guidance | ||
Reclassification of sponsored investment portfolios upon adoption of new accounting guidance on January 1, 2016 | 21.3 | |
Accounting standards update 2015-02 [Member] | Redeemable noncontrolling interests [Member] | ||
New accounting guidance | ||
Reclassification of sponsored investment portfolios upon adoption of new accounting guidance on January 1, 2016 | $ 672.7 | |
Variable interest entity, primary beneficiary [Member] | ||
New accounting guidance | ||
Number of sponsored investment portfolios initially consolidated | fund_holdings | 24 | |
Majority voting interest entity [Member] | ||
New accounting guidance | ||
Number of sponsored investment portfolios initially consolidated | fund_holdings | 8 |
INFORMATION ABOUT RECEIVABLES30
INFORMATION ABOUT RECEIVABLES, REVENUES, AND SERVICES. (Receivables from Sponsored U.S. Mutual Funds) (Detail) - USD ($) $ in Millions | Jun. 30, 2016 | Dec. 31, 2015 |
Sponsored U.S. mutual funds [Member] | ||
Receivables from sponsored mutual funds | ||
Accounts receivable for advisory fees and advisory-related administrative services | $ 246.7 | $ 252.8 |
INFORMATION ABOUT RECEIVABLES31
INFORMATION ABOUT RECEIVABLES, REVENUES, AND SERVICES. (Investment Advisory Services) (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | Dec. 31, 2015 | |
Investment advisory services | |||||
Revenues from advisory services | $ 920.6 | $ 942.2 | $ 1,791.4 | $ 1,838.7 | |
Average assets under management | 772,700 | 783,600 | 750,400 | 771,400 | |
Period end assets under management | 776,600 | 776,600 | $ 763,100 | ||
Sponsored U.S. mutual funds [Member] | |||||
Investment advisory services | |||||
Revenues from advisory services | 669.1 | 683 | 1,301.2 | 1,328.9 | |
Average assets under management | 492,100 | 506,200 | 478,800 | 496,700 | |
Period end assets under management | 494,400 | 494,400 | 487,100 | ||
Sponsored U.S. mutual funds [Member] | Stock and blended asset [Member] | |||||
Investment advisory services | |||||
Revenues from advisory services | 551.1 | 575.5 | 1,070.6 | 1,118.7 | |
Average assets under management | 383,600 | 398,900 | 372,400 | 390,200 | |
Period end assets under management | 384,800 | 384,800 | 383,000 | ||
Sponsored U.S. mutual funds [Member] | Bond and money market [Member] | |||||
Investment advisory services | |||||
Revenues from advisory services | 118 | 107.5 | 230.6 | 210.2 | |
Average assets under management | 108,500 | 107,300 | 106,400 | 106,500 | |
Period end assets under management | 109,600 | 109,600 | 104,100 | ||
Other investment portfolios [Member] | |||||
Investment advisory services | |||||
Revenues from advisory services | 251.5 | 259.2 | 490.2 | 509.8 | |
Average assets under management | 280,600 | 277,400 | 271,600 | 274,700 | |
Period end assets under management | 282,200 | 282,200 | 276,000 | ||
Other investment portfolios [Member] | Stock and blended asset [Member] | |||||
Investment advisory services | |||||
Revenues from advisory services | 210.3 | 220 | 408.2 | 433 | |
Average assets under management | 209,900 | 214,200 | 203,200 | 211,900 | |
Period end assets under management | 209,800 | 209,800 | 209,800 | ||
Other investment portfolios [Member] | Bond, money market, and stable value [Member] | |||||
Investment advisory services | |||||
Revenues from advisory services | 41.2 | 39.2 | 82 | 76.8 | |
Average assets under management | 70,700 | 63,200 | 68,400 | 62,800 | |
Period end assets under management | 72,400 | 72,400 | $ 66,200 | ||
Waived money market related fees [Member] | |||||
Investment advisory services | |||||
Revenues from advisory services | $ 3.3 | $ 12.5 | $ 7.3 | $ 26.2 |
INFORMATION ABOUT RECEIVABLES32
INFORMATION ABOUT RECEIVABLES, REVENUES, AND SERVICES. (Revenues and Services Concentration) (Detail) - Geographic concentration [Member] | Jun. 30, 2016 | Dec. 31, 2015 |
Revenues and services concentration | ||
Concentration risk, additional characteristic | investment advisory clients outside the U.S. | investment advisory clients outside the U.S. |
Concentration risk, percentage | 4.80% | 4.90% |
Concentration risk, benchmark description | assets under management at June 30, 2016 | assets under management at December 31, 2015 |
INFORMATION ABOUT RECEIVABLES33
INFORMATION ABOUT RECEIVABLES, REVENUES, AND SERVICES. (Other Fees Earned from Sponsored U.S. Mutual Funds) (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Other fees earned from sponsored U.S. mutual funds | ||||
Administrative fees | $ 88.5 | $ 91.6 | $ 177.9 | $ 184.6 |
Distribution and servicing fees | 35.6 | 38.6 | 69.5 | 76.1 |
Sponsored U.S. mutual funds [Member] | ||||
Other fees earned from sponsored U.S. mutual funds | ||||
Administrative fees | 69.7 | 74.6 | 142 | 150.6 |
Distribution and servicing fees | $ 35.6 | $ 38.6 | $ 69.5 | $ 76.1 |
INVESTMENTS. (Investments) (Det
INVESTMENTS. (Investments) (Detail) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2016 | Dec. 31, 2015 | |
Assets [Member] | ||
Investments | ||
Deconsolidation value | $ 363.2 | |
Liability [Member] | ||
Investments | ||
Deconsolidation value | (2.2) | |
Redeemable noncontrolling interests [Member] | ||
Investments | ||
Deconsolidation value | (161.3) | |
Parent company [Member] | ||
Investments | ||
Available-for-sale sponsored investment portfolios | 579.1 | $ 1,612.3 |
Cost method investments | 70 | 69.4 |
U.S. Treasury note | 1 | 1 |
Total | 1,122.2 | 1,961.2 |
Parent company [Member] | Sponsored portfolio equity method investments [Member] | ||
Investments | ||
Equity method investments | 296.1 | 113.7 |
Parent company [Member] | 26% interest in UTI Asset Management Company Limited (India) [Member] | ||
Investments | ||
Equity method investments | $ 137.3 | $ 132.8 |
Equity method investment (ownership percentage) | 26.00% | 26.00% |
Parent company [Member] | Investment partnerships [Member] | ||
Investments | ||
Equity method investments | $ 5.6 | $ 6.2 |
Parent company [Member] | Sponsored portfolio trading securities [Member] | ||
Investments | ||
Trading investments | 28.9 | 25.8 |
Parent company [Member] | Other trading investments [Member] | ||
Investments | ||
Trading investments | $ 4.2 | $ 0 |
INVESTMENTS. (Available-For-Sal
INVESTMENTS. (Available-For-Sale Sponsored Investment Portfolios) (Detail) - Parent company [Member] $ in Millions | Jun. 30, 2016USD ($)security | Dec. 31, 2015USD ($)security |
Schedule of available-for-sale securities | ||
Aggregate cost | $ 488.3 | $ 1,419.1 |
Unrealized holding gains | 92.3 | 219.4 |
Unrealized holding losses | (1.5) | (26.2) |
Aggregate fair value | $ 579.1 | $ 1,612.3 |
Fund holdings with temporary unrealized losses shorter than 12 months (number of securities) | security | 5 | 18 |
Fund holdings with temporary unrealized losses longer than 12 months (number of securities) | security | 1 | 4 |
Fund holdings with temporary unrealized holding losses (number of securities) | security | 6 | 22 |
Unrealized holding losses on fund holdings that were in a continuous loss for less than 12 months | $ (0.1) | $ (15.8) |
Unrealized holding losses on fund holdings that were in a continuous loss for greater than 12 months | (1.4) | (10.4) |
Unrealized holding losses for less than 12 months at period end are attributable to fund holdings with an aggregate fair value of | 1.7 | 419.6 |
Unrealized holding losses for longer than 12 months at period end are attributable to fund holdings with an aggregate fair value of | 169.3 | 298.6 |
Unrealized holding losses at period end are attributable to fund holdings with an aggregate fair value of | 171 | 718.2 |
Stock and blended asset funds [Member] | ||
Schedule of available-for-sale securities | ||
Aggregate cost | 108 | 428.6 |
Unrealized holding gains | 87 | 180.3 |
Unrealized holding losses | (0.1) | (9.1) |
Aggregate fair value | 194.9 | 599.8 |
Bond funds [Member] | ||
Schedule of available-for-sale securities | ||
Aggregate cost | 380.3 | 990.5 |
Unrealized holding gains | 5.3 | 39.1 |
Unrealized holding losses | (1.4) | (17.1) |
Aggregate fair value | $ 384.2 | $ 1,012.5 |
INVESTMENTS. (Variable Interest
INVESTMENTS. (Variable Interest Entities) (Detail) - Variable interest entity, not primary beneficiary [Member] $ in Millions | Jun. 30, 2016USD ($) |
Variable interest entity | |
Maximum risk of loss related to nonconsolidated variable interest entities | $ 140.7 |
Investments [Member] | |
Variable interest entity | |
Nonconsolidated variable interest entity investments | $ 83.6 |
FAIR VALUE MEASUREMENTS. (Detai
FAIR VALUE MEASUREMENTS. (Detail) - Parent company [Member] - USD ($) $ in Millions | Jun. 30, 2016 | Dec. 31, 2015 |
Fair value measurements | ||
Available-for-sale sponsored investment portfolios | $ 579.1 | $ 1,612.3 |
Level 1 [Member] | Fair value, measurements, recurring [Member] | ||
Fair value measurements | ||
Cash equivalents | 1,085.5 | 997.5 |
Available-for-sale sponsored investment portfolios | 579.1 | 1,612.3 |
Total | 1,697.7 | 2,635.6 |
Sponsored portfolio trading securities [Member] | ||
Fair value measurements | ||
Trading investments | 28.9 | 25.8 |
Sponsored portfolio trading securities [Member] | Level 1 [Member] | Fair value, measurements, recurring [Member] | ||
Fair value measurements | ||
Trading investments | 28.9 | 25.8 |
Other trading investments [Member] | ||
Fair value measurements | ||
Trading investments | 4.2 | $ 0 |
Other trading investments [Member] | Level 1 [Member] | Fair value, measurements, recurring [Member] | ||
Fair value measurements | ||
Trading investments | $ 4.2 |
CONSOLIDATED SPONSORED INVEST38
CONSOLIDATED SPONSORED INVESTMENT PORTFOLIOS. (Net Assets and Operating Results) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | Dec. 31, 2015 | Dec. 31, 2014 | |
Consolidated sponsored investment portfolios | ||||||
Cash and cash equivalents | $ 1,382.6 | $ 1,269.2 | $ 1,382.6 | $ 1,269.2 | $ 1,172.3 | $ 1,506.1 |
Total assets | 6,581.7 | 6,581.7 | 5,106.9 | |||
Liabilities | 610.4 | 610.4 | 344.9 | |||
Stockholders' equity including portion attributable to noncontrolling interest | 4,860.9 | 4,860.9 | 4,762 | |||
Operating expenses | (761.2) | (564.6) | (1,344.4) | (1,113.8) | ||
Income before income taxes | 325 | 540.8 | 821 | 1,045.4 | ||
Investment advisory and administrative fees | 1,044.7 | 1,072.4 | 2,038.8 | 2,099.4 | ||
Consolidation eliminations [Member] | ||||||
Consolidated sponsored investment portfolios | ||||||
Cash and cash equivalents | 0 | 0 | 0 | |||
Investment advisory and administrative fees | 1.8 | 3.1 | ||||
Majority voting interest entity [Member] | ||||||
Consolidated sponsored investment portfolios | ||||||
Cash and cash equivalents | 12.1 | 12.1 | 0 | |||
Investments | 221.5 | 221.5 | ||||
Other assets | 15.6 | 15.6 | ||||
Total assets | 249.2 | 249.2 | ||||
Liabilities | 14.7 | 14.7 | ||||
Net assets | 234.5 | 234.5 | ||||
Operating expenses | (0.3) | (0.8) | ||||
Non-operating investment income | 5.8 | 12.1 | ||||
Income before income taxes | 5.5 | 11.3 | ||||
Majority voting interest entity [Member] | Consolidation eliminations [Member] | ||||||
Consolidated sponsored investment portfolios | ||||||
Stockholders' equity including portion attributable to noncontrolling interest | 234.5 | 234.5 | ||||
Variable interest entity, primary beneficiary [Member] | ||||||
Consolidated sponsored investment portfolios | ||||||
Cash and cash equivalents | 95.3 | 95.3 | 0 | |||
Investments | 1,716 | 1,716 | ||||
Other assets | 82.7 | 82.7 | ||||
Total assets | 1,894 | 1,894 | 0 | |||
Liabilities | 63.2 | 63.2 | 0 | |||
Net assets | 1,830.8 | 1,830.8 | ||||
Operating expenses | (3.2) | (5.3) | ||||
Non-operating investment income | 20.6 | 38.1 | ||||
Income before income taxes | 17.4 | 32.8 | ||||
Variable interest entity, primary beneficiary [Member] | Consolidation eliminations [Member] | ||||||
Consolidated sponsored investment portfolios | ||||||
Stockholders' equity including portion attributable to noncontrolling interest | 1,830.8 | 1,830.8 | ||||
Consolidated sponsored investment portfolios [Member] | ||||||
Consolidated sponsored investment portfolios | ||||||
Cash and cash equivalents | 107.4 | 107.4 | 0 | |||
Investments | 1,937.5 | 1,937.5 | ||||
Other assets | 98.3 | 98.3 | ||||
Total assets | 2,143.2 | 2,143.2 | 57.7 | |||
Liabilities | 77.9 | 77.9 | $ 0 | |||
Net assets | 2,065.3 | 2,065.3 | ||||
Operating expenses | (3.5) | (6.1) | ||||
Non-operating investment income | 26.4 | $ (1.3) | 50.2 | $ 0.7 | ||
Income before income taxes | 22.9 | 44.1 | ||||
Consolidated sponsored investment portfolios [Member] | Consolidation eliminations [Member] | ||||||
Consolidated sponsored investment portfolios | ||||||
Stockholders' equity including portion attributable to noncontrolling interest | 2,065.3 | 2,065.3 | ||||
Operating expenses | (1.8) | (3.1) | ||||
Other Shareholders [Member] | Majority voting interest entity [Member] | ||||||
Consolidated sponsored investment portfolios | ||||||
Income before income taxes | 1.6 | 3.6 | ||||
Other Shareholders [Member] | Majority voting interest entity [Member] | Consolidation eliminations [Member] | ||||||
Consolidated sponsored investment portfolios | ||||||
Stockholders' equity including portion attributable to noncontrolling interest | 73.3 | 73.3 | ||||
Other Shareholders [Member] | Variable interest entity, primary beneficiary [Member] | ||||||
Consolidated sponsored investment portfolios | ||||||
Income before income taxes | 6.3 | 13.5 | ||||
Other Shareholders [Member] | Variable interest entity, primary beneficiary [Member] | Consolidation eliminations [Member] | ||||||
Consolidated sponsored investment portfolios | ||||||
Stockholders' equity including portion attributable to noncontrolling interest | 1,037.1 | 1,037.1 | ||||
Other Shareholders [Member] | Consolidated sponsored investment portfolios [Member] | ||||||
Consolidated sponsored investment portfolios | ||||||
Income before income taxes | 7.9 | 17.1 | ||||
Other Shareholders [Member] | Consolidated sponsored investment portfolios [Member] | Consolidation eliminations [Member] | ||||||
Consolidated sponsored investment portfolios | ||||||
Stockholders' equity including portion attributable to noncontrolling interest | 1,110.4 | 1,110.4 | ||||
Controlling Interest Shareholder [Member] | Majority voting interest entity [Member] | ||||||
Consolidated sponsored investment portfolios | ||||||
Income before income taxes | 3.9 | 7.7 | ||||
Controlling Interest Shareholder [Member] | Majority voting interest entity [Member] | Consolidation eliminations [Member] | ||||||
Consolidated sponsored investment portfolios | ||||||
Stockholders' equity including portion attributable to noncontrolling interest | 161.2 | 161.2 | ||||
Controlling Interest Shareholder [Member] | Variable interest entity, primary beneficiary [Member] | ||||||
Consolidated sponsored investment portfolios | ||||||
Income before income taxes | 11.1 | 19.3 | ||||
Controlling Interest Shareholder [Member] | Variable interest entity, primary beneficiary [Member] | Consolidation eliminations [Member] | ||||||
Consolidated sponsored investment portfolios | ||||||
Stockholders' equity including portion attributable to noncontrolling interest | 793.7 | 793.7 | ||||
Controlling Interest Shareholder [Member] | Consolidated sponsored investment portfolios [Member] | ||||||
Consolidated sponsored investment portfolios | ||||||
Income before income taxes | 15 | 27 | ||||
Controlling Interest Shareholder [Member] | Consolidated sponsored investment portfolios [Member] | Consolidation eliminations [Member] | ||||||
Consolidated sponsored investment portfolios | ||||||
Stockholders' equity including portion attributable to noncontrolling interest | $ 954.9 | $ 954.9 |
CONSOLIDATED SPONSORED INVEST39
CONSOLIDATED SPONSORED INVESTMENT PORTFOLIOS. (Statement of Cash Flows) (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Condensed cash flow statement | ||
Net cash provided by operating activities | $ (31.5) | $ 886.7 |
Net cash provided by (used in) investing activities | 162 | (33.9) |
Net cash used in financing activities | 101.1 | (1,089.7) |
Effect of exchange rate changes on cash and cash equivalents of consolidated sponsored investment portfolios | (21.3) | 0 |
Net change in cash and cash equivalents during period | 210.3 | (236.9) |
Cash and cash equivalents at beginning of year | 1,172.3 | 1,506.1 |
Cash and cash equivalents at end of period | 1,382.6 | $ 1,269.2 |
Majority voting interest entity [Member] | ||
Condensed cash flow statement | ||
Net cash provided by operating activities | (40.9) | |
Net cash provided by (used in) investing activities | 25.4 | |
Net cash used in financing activities | 27.6 | |
Effect of exchange rate changes on cash and cash equivalents of consolidated sponsored investment portfolios | 0 | |
Net change in cash and cash equivalents during period | 12.1 | |
Cash and cash equivalents at beginning of year | 0 | |
Cash and cash equivalents at end of period | 12.1 | |
Variable interest entity, primary beneficiary [Member] | ||
Condensed cash flow statement | ||
Net cash provided by operating activities | (632.4) | |
Net cash provided by (used in) investing activities | 42.9 | |
Net cash used in financing activities | 706.1 | |
Effect of exchange rate changes on cash and cash equivalents of consolidated sponsored investment portfolios | (21.3) | |
Net change in cash and cash equivalents during period | 95.3 | |
Cash and cash equivalents at beginning of year | 0 | |
Cash and cash equivalents at end of period | 95.3 | |
Consolidated sponsored investment portfolios [Member] | ||
Condensed cash flow statement | ||
Net cash provided by operating activities | (673.3) | |
Net cash provided by (used in) investing activities | 68.3 | |
Net cash used in financing activities | 733.7 | |
Effect of exchange rate changes on cash and cash equivalents of consolidated sponsored investment portfolios | (21.3) | |
Net change in cash and cash equivalents during period | 107.4 | |
Cash and cash equivalents at beginning of year | 0 | |
Cash and cash equivalents at end of period | 107.4 | |
Consolidation eliminations [Member] | ||
Condensed cash flow statement | ||
Net cash provided by operating activities | (3.1) | |
Net cash provided by (used in) investing activities | 196.8 | |
Net cash used in financing activities | (193.7) | |
Effect of exchange rate changes on cash and cash equivalents of consolidated sponsored investment portfolios | 0 | |
Net change in cash and cash equivalents during period | 0 | |
Cash and cash equivalents at beginning of year | 0 | |
Cash and cash equivalents at end of period | 0 | |
Consolidation eliminations [Member] | Consolidated sponsored investment portfolios [Member] | ||
Condensed cash flow statement | ||
Net cash used in financing activities | $ 193.7 |
CONSOLIDATED SPONSORED INVEST40
CONSOLIDATED SPONSORED INVESTMENT PORTFOLIOS. (Fair Value Measurements) (Details) - Consolidated sponsored investment portfolios [Member] - Fair value, measurements, recurring [Member] - USD ($) $ in Millions | Jun. 30, 2016 | Dec. 31, 2015 |
Level 1 [Member] | ||
Fair value measurements | ||
Cash equivalents | $ 10.8 | |
Total | 224.5 | $ 3.5 |
Liabilities | 3.3 | |
Level 2 [Member] | ||
Fair value measurements | ||
Cash equivalents | 1.1 | |
Total | 1,724.9 | 54.2 |
Liabilities | 21.1 | |
Equity securities | Level 1 [Member] | ||
Fair value measurements | ||
Trading investments | 213.4 | 2.8 |
Equity securities | Level 2 [Member] | ||
Fair value measurements | ||
Trading investments | 326.6 | 11.2 |
Fixed income securities [Member] | Level 1 [Member] | ||
Fair value measurements | ||
Trading investments | 0 | 0 |
Fixed income securities [Member] | Level 2 [Member] | ||
Fair value measurements | ||
Trading investments | 1,370.6 | 43 |
Other investments [Member] | Level 1 [Member] | ||
Fair value measurements | ||
Trading investments | 0.3 | 0.7 |
Other investments [Member] | Level 2 [Member] | ||
Fair value measurements | ||
Trading investments | $ 26.6 | $ 0 |
STOCKHOLDERS' EQUITY. (Dividend
STOCKHOLDERS' EQUITY. (Dividends) (Detail) - $ / shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Dividends | ||||
Cash dividends declared per share | $ 0.54 | $ 0.52 | $ 1.08 | $ 3.04 |
Regular cash dividend [Member] | ||||
Dividends | ||||
Cash dividends declared per share | $ 1.08 | 1.04 | ||
Special cash dividend [Member] | ||||
Dividends | ||||
Cash dividends declared per share | 2 | |||
Cash dividends paid per share | $ 2 |
STOCK-BASED COMPENSATION. (Stoc
STOCK-BASED COMPENSATION. (Stock Options) (Detail) | 6 Months Ended |
Jun. 30, 2016$ / sharesshares | |
Stock-based compensation | |
Outstanding at December 31, 2015 | shares | 30,818,229 |
Exercised | shares | (2,254,311) |
Forfeited | shares | (259,173) |
Expired | shares | (16,107) |
Outstanding at June 30, 2016 | shares | 28,301,688 |
Exercisable at June 30, 2016 | shares | 17,625,997 |
Weighted-average exercise price of options outstanding at December 31, 2015 | $ / shares | $ 59.24 |
Weighted-average exercise price of options exercised | $ / shares | 46.27 |
Weighted-average exercise price of options forfeited | $ / shares | 71.55 |
Weighted-average exercise price of options expired | $ / shares | 77.65 |
Weighted-average exercise price of options outstanding at March 31, 2016 | $ / shares | 60.16 |
Weighted-average exercise price of options exercisable at March 31, 2016 | $ / shares | $ 53.02 |
Non employee director [Member] | |
Stock-based compensation | |
Non-employee director grants | shares | 13,050 |
Weighted-average exercise price of option grants | $ / shares | $ 75.29 |
STOCK-BASED COMPENSATION. (Rest
STOCK-BASED COMPENSATION. (Restricted Shares and Stock Units) (Detail) | 6 Months Ended |
Jun. 30, 2016$ / sharesshares | |
Stock-based compensation | |
Weighted-average fair value of nonvested restricted shares and restricted stock units at December 31, 2015 (in dollars per share) | $ / shares | $ 74.66 |
Weighted-average fair value of restricted shares and restricted stock units vested (in dollars per share) | $ / shares | 77.09 |
Weighted-average fair value of restricted shares and restricted stock units forfeited (in dollars per share) | $ / shares | 74.78 |
Weighted-average fair value of nonvested restricted shares and restricted stock units at March 31, 2016 (in dollars per share) | $ / shares | 73.24 |
Time-based [Member] | |
Stock-based compensation | |
Weighted-average fair value of restricted shares and restricted stock units granted (in dollars per share) | $ / shares | 70.33 |
Performance-based [Member] | |
Stock-based compensation | |
Weighted-average fair value of restricted shares and restricted stock units granted (in dollars per share) | $ / shares | $ 70.26 |
Restricted shares [Member] | |
Stock-based compensation | |
Nonvested at December 31, 2015 | 1,470,827 |
Vested | (17,460) |
Forfeited | (31,547) |
Nonvested at June 30, 2016 | 1,424,420 |
Restricted shares [Member] | Time-based [Member] | |
Stock-based compensation | |
Grants | 2,600 |
Restricted shares [Member] | Performance-based [Member] | |
Stock-based compensation | |
Grants | 0 |
Nonvested at June 30, 2016 | 21,600 |
Restricted shares [Member] | Performance-based [Member] | Performance threshold met [Member] | |
Stock-based compensation | |
Nonvested at June 30, 2016 | 21,600 |
Restricted stock units [Member] | |
Stock-based compensation | |
Nonvested at December 31, 2015 | 2,216,431 |
Vested | (16,276) |
Forfeited | (47,491) |
Nonvested at June 30, 2016 | 3,851,162 |
Restricted stock units [Member] | Time-based [Member] | |
Stock-based compensation | |
Grants | 1,498,275 |
Restricted stock units [Member] | Performance-based [Member] | |
Stock-based compensation | |
Grants | 200,223 |
Nonvested at June 30, 2016 | 394,834 |
Restricted stock units [Member] | Performance-based [Member] | Performance threshold met [Member] | |
Stock-based compensation | |
Nonvested at June 30, 2016 | 134,385 |
STOCK-BASED COMPENSATION. (Futu
STOCK-BASED COMPENSATION. (Future Stock-Based Compensation Expense) (Detail) $ in Millions | Jun. 30, 2016USD ($) |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized [Abstract] | |
Third quarter 2016 | $ 39.3 |
Fourth quarter 2016 | 35.6 |
2,017 | 102.5 |
2018 through 2021 | 101.6 |
Total | $ 279 |
EARNINGS PER SHARE CALCULATIO45
EARNINGS PER SHARE CALCULATIONS. (Detail) - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Earnings Per Share [Abstract] | ||||
Net income attributable to T. Rowe Price Group | $ 195.3 | $ 333.2 | $ 490.5 | $ 642.7 |
Less: net income allocated to outstanding restricted stock and stock unit holders (basic) | 3.8 | 4.1 | 9.4 | 9.8 |
Less: net income allocated to outstanding restricted stock and stock unit holders (diluted) | 3.8 | 4.1 | 9.4 | 9.8 |
Net income allocated to common stockholders (basic) | 191.5 | 329.1 | 481.1 | 632.9 |
Net income allocated to common stockholders (diluted) | $ 191.5 | $ 329.1 | $ 481.1 | $ 632.9 |
Weighted-average common shares | ||||
Outstanding (shares) | 246.9 | 257.7 | 246.8 | 258.2 |
Outstanding assuming dilution (shares) | 252.1 | 264.6 | 251.8 | 265.1 |
Weighted-average outstanding stock options excluded (options) | 7.7 | 5.7 | 9.2 | 5.1 |
OTHER COMPREHENSIVE INCOME AN46
OTHER COMPREHENSIVE INCOME AND ACCUMULATED OTHER COMPREHENSIVE INCOME. (Deferred Tax Benefit (Income Tax)) (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Accumulated other comprehensive income | ||||
Total net deferred tax benefits | $ 1.8 | $ 7.1 | $ 18.2 | $ 10.7 |
Net unrealized holding gains or losses [Member] | ||||
Accumulated other comprehensive income | ||||
Net deferred tax benefits on other comprehensive income (loss) before reclassifications | (2.1) | (2.4) | 0.4 | (5.5) |
Net deferred tax benefits on reclassifications from AOCI | 0 | 8.8 | 20.6 | 14.7 |
Total net deferred tax benefits | (2.1) | 6.4 | 21 | 9.2 |
Currency translation adjustments [Member] | ||||
Accumulated other comprehensive income | ||||
Total net deferred tax benefits | 3.9 | 0.7 | (2.8) | 1.5 |
Total accumulated other comprehensive income [Member] | ||||
Accumulated other comprehensive income | ||||
Total net deferred tax benefits | $ 1.8 | $ 7.1 | $ 18.2 | $ 10.7 |
OTHER COMPREHENSIVE INCOME AN47
OTHER COMPREHENSIVE INCOME AND ACCUMULATED OTHER COMPREHENSIVE INCOME. (Accumulated Other Comprehensive Income) (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | Dec. 31, 2015 | |
Accumulated other comprehensive income | |||||
Balances | $ 4,762 | ||||
Net deferred tax benefits | $ 1.8 | $ 7.1 | 18.2 | $ 10.7 | |
Other comprehensive income (loss) | (27.8) | ||||
Balances | 4,860.9 | 4,860.9 | |||
Net unrealized holding gains [Member] | |||||
Accumulated other comprehensive income | |||||
Balances | 88.3 | ||||
Other comprehensive income (loss) before reclassifications and income taxes | (0.9) | ||||
Reclassification adjustments recognized in non-operating investment income | (52.3) | ||||
Other comprehensive income (loss), before taxes | (53.2) | ||||
Net deferred tax benefits | (2.1) | 6.4 | 21 | 9.2 | |
Other comprehensive income (loss) | (32.2) | ||||
Balances | 56.1 | 56.1 | |||
Net unrealized holding gains [Member] | Accounting standards update 2015-02 [Member] | |||||
Accumulated other comprehensive income | |||||
Reclassification of accumulated other comprehensive income to retained earnings upon adoption of the new consolidation accounting guidance | $ (32) | ||||
Currency translation adjustments [Member] | |||||
Accumulated other comprehensive income | |||||
Balances | (34.2) | ||||
Other comprehensive income (loss) before reclassifications and income taxes | 7.2 | ||||
Reclassification adjustments recognized in non-operating investment income | 0 | ||||
Other comprehensive income (loss), before taxes | 7.2 | ||||
Net deferred tax benefits | 3.9 | 0.7 | (2.8) | 1.5 | |
Other comprehensive income (loss) | 4.4 | ||||
Balances | (29.8) | (29.8) | |||
Currency translation adjustments [Member] | Accounting standards update 2015-02 [Member] | |||||
Accumulated other comprehensive income | |||||
Reclassification of accumulated other comprehensive income to retained earnings upon adoption of the new consolidation accounting guidance | (0.5) | ||||
Currency translation adjustments [Member] | Consolidated sponsored investment portfolios - variable interest entities [Member] | |||||
Accumulated other comprehensive income | |||||
Balances | (2.8) | ||||
Other comprehensive income (loss) before reclassifications and income taxes | 8 | ||||
Reclassification adjustments recognized in non-operating investment income | 0 | ||||
Other comprehensive income (loss), before taxes | 8 | ||||
Net deferred tax benefits | (3.1) | ||||
Other comprehensive income (loss) | 4.9 | ||||
Balances | 2.1 | 2.1 | |||
Currency translation adjustments [Member] | Consolidated sponsored investment portfolios - variable interest entities [Member] | Accounting standards update 2015-02 [Member] | |||||
Accumulated other comprehensive income | |||||
Reclassification of accumulated other comprehensive income to retained earnings upon adoption of the new consolidation accounting guidance | 0 | ||||
Currency translation adjustments [Member] | Equity method investments [Member] | |||||
Accumulated other comprehensive income | |||||
Balances | (31.4) | ||||
Other comprehensive income (loss) before reclassifications and income taxes | (0.8) | ||||
Reclassification adjustments recognized in non-operating investment income | 0 | ||||
Other comprehensive income (loss), before taxes | (0.8) | ||||
Net deferred tax benefits | 0.3 | ||||
Other comprehensive income (loss) | (0.5) | ||||
Balances | (31.9) | (31.9) | |||
Currency translation adjustments [Member] | Equity method investments [Member] | Accounting standards update 2015-02 [Member] | |||||
Accumulated other comprehensive income | |||||
Reclassification of accumulated other comprehensive income to retained earnings upon adoption of the new consolidation accounting guidance | (0.5) | ||||
Total accumulated other comprehensive income [Member] | |||||
Accumulated other comprehensive income | |||||
Balances | 54.1 | ||||
Other comprehensive income (loss) before reclassifications and income taxes | 6.3 | ||||
Reclassification adjustments recognized in non-operating investment income | (52.3) | ||||
Other comprehensive income (loss), before taxes | (46) | ||||
Net deferred tax benefits | 1.8 | $ 7.1 | 18.2 | $ 10.7 | |
Other comprehensive income (loss) | (27.8) | ||||
Balances | $ 26.3 | 26.3 | |||
Total accumulated other comprehensive income [Member] | Accounting standards update 2015-02 [Member] | |||||
Accumulated other comprehensive income | |||||
Reclassification of accumulated other comprehensive income to retained earnings upon adoption of the new consolidation accounting guidance | $ (32.5) | ||||
As previously reported [Member] | |||||
Accumulated other comprehensive income | |||||
Balances | 4,762 | ||||
As previously reported [Member] | Net unrealized holding gains [Member] | |||||
Accumulated other comprehensive income | |||||
Balances | 120.3 | ||||
As previously reported [Member] | Currency translation adjustments [Member] | |||||
Accumulated other comprehensive income | |||||
Balances | (33.7) | ||||
As previously reported [Member] | Currency translation adjustments [Member] | Consolidated sponsored investment portfolios - variable interest entities [Member] | |||||
Accumulated other comprehensive income | |||||
Balances | (2.8) | ||||
As previously reported [Member] | Currency translation adjustments [Member] | Equity method investments [Member] | |||||
Accumulated other comprehensive income | |||||
Balances | (30.9) | ||||
As previously reported [Member] | Total accumulated other comprehensive income [Member] | |||||
Accumulated other comprehensive income | |||||
Balances | $ 86.6 |
OTHER COMPREHENSIVE INCOME AN48
OTHER COMPREHENSIVE INCOME AND ACCUMULATED OTHER COMPREHENSIVE INCOME (Reclassification Adjustments) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Reclassification adjustment out of accumulated other comprehensive income | ||||
Provision for income taxes | $ 121.8 | $ 207.6 | $ 313.4 | $ 402.7 |
Reclassification out of accumulated other comprehensive income [Member] | Net unrealized holding gains or losses [Member] | ||||
Reclassification adjustment out of accumulated other comprehensive income | ||||
Non-operating investment income | (52.3) | |||
Provision for income taxes | $ 0 | $ 8.8 | 20.6 | $ 14.7 |
Reclassification out of accumulated other comprehensive income [Member] | Currency translation adjustments [Member] | ||||
Reclassification adjustment out of accumulated other comprehensive income | ||||
Non-operating investment income | 0 | |||
Reclassification out of accumulated other comprehensive income [Member] | Total accumulated other comprehensive income [Member] | ||||
Reclassification adjustment out of accumulated other comprehensive income | ||||
Non-operating investment income | $ (52.3) |
DELL APPRAISAL RIGHTS MATTER. (
DELL APPRAISAL RIGHTS MATTER. (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Unusual or Infrequent Item [Line Items] | ||||
Nonrecurring charge related to Dell appraisal rights matter | $ 166.2 | $ 0 | $ 166.2 | $ 0 |
Dell appraisal rights matter [Member] | ||||
Unusual or Infrequent Item [Line Items] | ||||
Nonrecurring charge related to Dell appraisal rights matter | $ 166.2 | |||
Court determined fair value per share | $ 17.62 | |||
Price offered per share | 13.75 | |||
Payment per share | $ 17.62 |
SUPPLEMENTARY CONSOLIDATING C50
SUPPLEMENTARY CONSOLIDATING CASH FLOW STATEMENT. (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Net income | $ 203.2 | $ 333.2 | $ 507.6 | $ 642.7 |
Adjustments to reconcile net income to net cash provided by (used in) operating activities | ||||
Depreciation and amortization of property and equipment | 33.8 | 32.2 | 66 | 61.3 |
Stock-based compensation expense | 75.6 | 66.6 | ||
Realized gains on dispositions of available-for-sale sponsored investment portfolios | (52.3) | (39.3) | ||
Net gains recognized on investments | (16.9) | (5.8) | ||
Net change in trading securities held by consolidated sponsored investment portfolios | (717.2) | (5.4) | ||
Other changes in assets and liabilities | 105.7 | 166.6 | ||
Net cash provided by (used in) operating activities | (31.5) | 886.7 | ||
Net cash provided by (used in) investing activities | 162 | (33.9) | ||
Net cash provided by (used in) financing activities | 101.1 | (1,089.7) | ||
Effect of exchange rate changes on cash and cash equivalents of consolidated sponsored investment portfolios | (21.3) | 0 | ||
Net change in cash and cash equivalents during period | 210.3 | (236.9) | ||
Cash and cash equivalents at beginning of year | 1,172.3 | 1,506.1 | ||
Cash and cash equivalents at end of period | 1,382.6 | $ 1,269.2 | 1,382.6 | $ 1,269.2 |
Consolidation eliminations [Member] | ||||
Net income | (27) | |||
Adjustments to reconcile net income to net cash provided by (used in) operating activities | ||||
Depreciation and amortization of property and equipment | 0 | |||
Stock-based compensation expense | 0 | |||
Realized gains on dispositions of available-for-sale sponsored investment portfolios | 0 | |||
Net gains recognized on investments | 27 | |||
Net change in trading securities held by consolidated sponsored investment portfolios | 0 | |||
Other changes in assets and liabilities | (3.1) | |||
Net cash provided by (used in) operating activities | (3.1) | |||
Net cash provided by (used in) investing activities | 196.8 | |||
Net cash provided by (used in) financing activities | (193.7) | |||
Effect of exchange rate changes on cash and cash equivalents of consolidated sponsored investment portfolios | 0 | |||
Net change in cash and cash equivalents during period | 0 | |||
Cash and cash equivalents at beginning of year | 0 | |||
Cash and cash equivalents at end of period | 0 | 0 | ||
Parent company [Member] | ||||
Net income | 490.5 | |||
Adjustments to reconcile net income to net cash provided by (used in) operating activities | ||||
Depreciation and amortization of property and equipment | 66 | |||
Stock-based compensation expense | 75.6 | |||
Realized gains on dispositions of available-for-sale sponsored investment portfolios | (52.3) | |||
Net gains recognized on investments | (43.9) | |||
Net change in trading securities held by consolidated sponsored investment portfolios | 0 | |||
Other changes in assets and liabilities | 109 | |||
Net cash provided by (used in) operating activities | 644.9 | |||
Net cash provided by (used in) investing activities | (103.1) | |||
Net cash provided by (used in) financing activities | (438.9) | |||
Effect of exchange rate changes on cash and cash equivalents of consolidated sponsored investment portfolios | 0 | |||
Net change in cash and cash equivalents during period | 102.9 | |||
Cash and cash equivalents at beginning of year | 1,172.3 | |||
Cash and cash equivalents at end of period | 1,275.2 | 1,275.2 | ||
Consolidated sponsored investment portfolios [Member] | ||||
Net income | 44.1 | |||
Adjustments to reconcile net income to net cash provided by (used in) operating activities | ||||
Depreciation and amortization of property and equipment | 0 | |||
Stock-based compensation expense | 0 | |||
Realized gains on dispositions of available-for-sale sponsored investment portfolios | 0 | |||
Net gains recognized on investments | 0 | |||
Net change in trading securities held by consolidated sponsored investment portfolios | (717.2) | |||
Other changes in assets and liabilities | (0.2) | |||
Net cash provided by (used in) operating activities | (673.3) | |||
Net cash provided by (used in) investing activities | 68.3 | |||
Net cash provided by (used in) financing activities | 733.7 | |||
Effect of exchange rate changes on cash and cash equivalents of consolidated sponsored investment portfolios | (21.3) | |||
Net change in cash and cash equivalents during period | 107.4 | |||
Cash and cash equivalents at beginning of year | 0 | |||
Cash and cash equivalents at end of period | $ 107.4 | 107.4 | ||
Consolidated sponsored investment portfolios [Member] | Consolidation eliminations [Member] | ||||
Adjustments to reconcile net income to net cash provided by (used in) operating activities | ||||
Net cash provided by (used in) financing activities | $ 193.7 |