Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2018 | Oct. 31, 2018 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2018 | |
Document Fiscal Year Focus | 2,018 | |
Document Fiscal Period Focus | Q3 | |
Trading Symbol | BLK | |
Entity Registrant Name | BlackRock Inc. | |
Entity Central Index Key | 1,364,742 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Common Stock, Shares Outstanding | 157,712,287 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Financial Condition - USD ($) $ in Millions | Sep. 30, 2018 | Dec. 31, 2017 |
Assets | ||
Cash and cash equivalents | $ 6,358 | $ 6,894 |
Accounts receivable | 2,682 | 2,699 |
Investments | 1,760 | 1,981 |
Separate account assets | 107,982 | 149,937 |
Separate account collateral held under securities lending agreements | 19,575 | 24,190 |
Property and equipment (net of accumulated depreciation of $765 and $658 at September 30,2018 and December 31, 2017, respectively) | 588 | 592 |
Intangible assets (net of accumulated amortization of $229 and $219 at September 30, 2018and December 31, 2017, respectively) | 17,854 | 17,389 |
Goodwill | 13,526 | 13,220 |
Other assets | 1,919 | 1,636 |
Total assets | 174,862 | 220,241 |
Liabilities | ||
Accrued compensation and benefits | 1,611 | 2,153 |
Accounts payable and accrued liabilities | 1,403 | 1,161 |
Borrowings | 4,991 | 5,014 |
Separate account liabilities | 107,982 | 149,937 |
Separate account collateral liabilities under securities lending agreements | 19,575 | 24,190 |
Deferred income tax liabilities | 3,555 | 3,527 |
Other liabilities | 2,114 | 1,626 |
Total liabilities | 141,789 | 187,977 |
Commitments and contingencies (Note 12) | ||
Temporary equity | ||
Redeemable noncontrolling interests | 603 | 416 |
Permanent Equity | ||
Shares authorized: 500,000,000 at September 30, 2018 and December 31, 2017;Shares issued: 171,252,185 at September 30, 2018 and December 31, 2017;Shares outstanding: 158,837,718 and 159,977,115 at September 30, 2018 andDecember 31, 2017, respectively | 2 | 2 |
Preferred stock (Note 17) | 0 | 0 |
Additional paid-in capital | 19,048 | 19,256 |
Retained earnings | 18,852 | 16,939 |
Accumulated other comprehensive loss | (616) | (432) |
Treasury stock, common, at cost (12,414,467 and 11,275,070 shares held at September 30, 2018 and December 31, 2017, respectively) | (4,871) | (3,967) |
Total BlackRock, Inc. stockholders’ equity | 32,415 | 31,798 |
Nonredeemable noncontrolling interests | 55 | 50 |
Total permanent equity | 32,470 | 31,848 |
Total liabilities, temporary equity and permanent equity | 174,862 | 220,241 |
Consolidated Variable Interest Entities [Member] | ||
Assets | ||
Cash and cash equivalents | 222 | 144 |
Investments | 2,217 | 1,493 |
Other assets | 179 | 66 |
Liabilities | ||
Borrowings | 44 | |
Other liabilities | 514 | 369 |
Permanent Equity | ||
Nonredeemable noncontrolling interests | $ 598 | $ 375 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Financial Condition (Parenthetical) - USD ($) $ in Millions | Sep. 30, 2018 | Dec. 31, 2017 |
Statement Of Financial Position [Abstract] | ||
Property and equipment, accumulated depreciation | $ 765 | $ 658 |
Intangible assets, accumulated amortization | $ 229 | $ 219 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 500,000,000 | 500,000,000 |
Common stock, shares issued | 171,252,185 | 171,252,185 |
Common stock, shares outstanding | 158,837,718 | 159,977,115 |
Treasury stock, common shares | 12,414,467 | 11,275,070 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Income - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Revenue | ||||
Total revenue | $ 3,576 | $ 3,508 | $ 10,764 | $ 9,836 |
Expense | ||||
Employee compensation and benefits | 1,097 | 1,087 | 3,300 | 3,106 |
Distribution and servicing costs | 408 | 419 | 1,255 | 1,230 |
Direct fund expense | 249 | 231 | 774 | 658 |
General and administration | 413 | 355 | 1,189 | 996 |
Amortization of intangible assets | 13 | 27 | 35 | 77 |
Total expense | 2,180 | 2,119 | 6,553 | 6,067 |
Operating income | 1,396 | 1,389 | 4,211 | 3,769 |
Nonoperating income (expense) | ||||
Net gain (loss) on investments | 50 | 41 | 68 | 128 |
Interest and dividend income | 29 | 15 | 63 | 35 |
Interest expense | (46) | (46) | (138) | (159) |
Total nonoperating income (expense) | 33 | 10 | (7) | 4 |
Income before income taxes | 1,429 | 1,399 | 4,204 | 3,773 |
Income tax expense | 226 | 443 | 829 | 1,085 |
Net income | 1,203 | 956 | 3,375 | 2,688 |
Net income (loss) attributable to noncontrolling interests | (13) | 12 | (3) | 31 |
Net income attributable to BlackRock, Inc. | $ 1,216 | $ 944 | $ 3,378 | $ 2,657 |
Earnings per share attributable to BlackRock, Inc. common stockholders: | ||||
Basic | $ 7.59 | $ 5.83 | $ 21.01 | $ 16.35 |
Diluted | 7.54 | 5.76 | 20.83 | 16.17 |
Cash dividends declared and paid per share | $ 3.13 | $ 2.50 | $ 8.89 | $ 7.50 |
Weighted-average common shares outstanding: | ||||
Basic | 160,141,506 | 161,872,716 | 160,786,768 | 162,459,737 |
Diluted | 161,378,217 | 163,773,546 | 162,140,879 | 164,289,042 |
Investment Advisory, Administration Fees and Securities Lending Revenue [Member] | ||||
Revenue | ||||
Total revenue | $ 2,883 | $ 2,781 | $ 8,774 | $ 7,971 |
Investment Advisory, Administration Fees and Securities Lending Revenue [Member] | Related Parties [Member] | ||||
Revenue | ||||
Total revenue | 2,045 | 1,982 | 6,244 | 5,627 |
Investment Advisory, Administration Fees and Securities Lending Revenue [Member] | Other Third Parties [Member] | ||||
Revenue | ||||
Total revenue | 838 | 799 | 2,530 | 2,344 |
Investment Advisory Performance Fees [Member] | ||||
Revenue | ||||
Total revenue | 151 | 191 | 312 | 309 |
Technology Services Revenue [Member] | ||||
Revenue | ||||
Total revenue | 200 | 169 | 582 | 481 |
Distribution Fees [Member] | ||||
Revenue | ||||
Total revenue | 279 | 298 | 884 | 877 |
Advisory and Other Revenue [Member] | ||||
Revenue | ||||
Total revenue | $ 63 | $ 69 | $ 212 | $ 198 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | ||
Statement Of Income And Comprehensive Income [Abstract] | |||||
Net income | $ 1,203 | $ 956 | $ 3,375 | $ 2,688 | |
Other comprehensive income: | |||||
Foreign currency translation adjustments | [1] | (41) | 102 | (176) | 244 |
Other | (2) | (1) | |||
Other comprehensive income (loss) | (41) | 102 | (178) | 243 | |
Comprehensive income | 1,162 | 1,058 | 3,197 | 2,931 | |
Less: Comprehensive income (loss) attributable to noncontrolling interests | (13) | 12 | (3) | 31 | |
Comprehensive income attributable to BlackRock, Inc. | $ 1,175 | $ 1,046 | $ 3,200 | $ 2,900 | |
[1] | Amounts for the three months ended September 30, 2018 and 2017 include a gain from a net investment hedge of $4 million (net of a tax expense of $1 million) and a loss of $18 million (net of a tax benefit of $11 million), respectively. Amounts for the nine months ended September 30, 2018 and 2017 include a gain from a net investment hedge of $22 million (net of a tax expense of $7 million) and a loss of $56 million (net of a tax benefit of $33 million), respectively. |
Condensed Consolidated Statem_5
Condensed Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Gain (loss) from net investment hedging, net of tax | $ 4 | $ (18) | $ 22 | $ (56) |
Gain (loss) from net investment hedging, tax (expense) benefit | $ (1) | $ 11 | $ (7) | $ 33 |
Condensed Consolidated Statem_6
Condensed Consolidated Statements of Changes in Equity - USD ($) $ in Millions | Total | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Treasury Stock Common [Member] | Total BlackRock Stockholders' Equity [Member] | Nonredeemable Noncontrolling Interests [Member] | Redeemable Noncontrolling Interests / Temporary Equity [Member] | |
Balance at Dec. 31, 2016 | $ 29,140 | $ 19,339 | [1] | $ 13,650 | $ (716) | $ (3,185) | $ 29,088 | $ 52 | $ 194 |
Net income | 2,660 | 2,657 | 2,657 | 3 | 28 | ||||
Dividends paid | (1,259) | (1,259) | (1,259) | ||||||
Stock-based compensation | 417 | 417 | [1] | 417 | |||||
PNC preferred stock capital contribution | 193 | 193 | [1] | 193 | |||||
Retirement of preferred stock | (193) | (193) | [1] | (193) | |||||
Issuance of common shares related to employee stock transactions | 9 | (612) | [1] | 621 | 9 | ||||
Employee tax withholdings related to employee stock transactions | (308) | (308) | (308) | ||||||
Shares repurchased | (825) | (825) | (825) | ||||||
Subscriptions (redemptions/distributions) — noncontrolling interest holders | (14) | (14) | 338 | ||||||
Net consolidations (deconsolidations) of sponsored investment funds | 14 | 14 | (240) | ||||||
Other comprehensive income (loss) | 243 | 243 | 243 | ||||||
Adoption of new accounting pronouncements | 1 | 3 | [1] | (2) | 1 | ||||
Balance at Sep. 30, 2017 | 30,078 | 19,147 | [1] | 15,046 | (473) | (3,697) | 30,023 | 55 | 320 |
Balance at Jun. 30, 2017 | (575) | ||||||||
Other comprehensive income (loss) | 102 | 102 | |||||||
Balance at Sep. 30, 2017 | 30,078 | 19,147 | [1] | 15,046 | (473) | (3,697) | 30,023 | 55 | 320 |
Balance at Dec. 31, 2017 | 31,848 | 19,258 | [2] | 16,939 | (432) | (3,967) | 31,798 | 50 | 416 |
Net income | 3,379 | 3,378 | 3,378 | 1 | (4) | ||||
Dividends paid | (1,471) | (1,471) | (1,471) | ||||||
Stock-based compensation | 431 | 431 | [2] | 431 | |||||
PNC preferred stock capital contribution | 58 | 58 | [2] | 58 | |||||
Retirement of preferred stock | (58) | (58) | [2] | (58) | |||||
Issuance of common shares related to employee stock transactions | 12 | (639) | [2] | 651 | 12 | ||||
Employee tax withholdings related to employee stock transactions | (420) | (420) | (420) | ||||||
Shares repurchased | (1,135) | (1,135) | (1,135) | ||||||
Subscriptions (redemptions/distributions) — noncontrolling interest holders | 4 | 4 | 742 | ||||||
Net consolidations (deconsolidations) of sponsored investment funds | (551) | ||||||||
Other comprehensive income (loss) | (178) | (178) | (178) | ||||||
Adoption of new accounting pronouncements | 6 | (6) | |||||||
Balance at Sep. 30, 2018 | 32,470 | 19,050 | [2] | 18,852 | (616) | (4,871) | 32,415 | 55 | 603 |
Balance at Jun. 30, 2018 | (575) | ||||||||
Other comprehensive income (loss) | (41) | (41) | |||||||
Balance at Sep. 30, 2018 | $ 32,470 | $ 19,050 | [2] | $ 18,852 | $ (616) | $ (4,871) | $ 32,415 | $ 55 | $ 603 |
[1] | Amounts include $2 million of common stock at both September 30, 2017 and December 31, 2016. | ||||||||
[2] | Amounts include $2 million of common stock at both September 30, 2018 and December 31, 2017. |
Condensed Consolidated Statem_7
Condensed Consolidated Statements of Changes in Equity (Parenthetical) - USD ($) $ in Millions | Sep. 30, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Dec. 31, 2016 |
Additional Paid-in Capital, value of stock | $ 32,470 | $ 31,848 | $ 30,078 | $ 29,140 |
Common Stock [Member] | ||||
Additional Paid-in Capital, value of stock | $ 2 | $ 2 | $ 2 | $ 2 |
Condensed Consolidated Statem_8
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
Cash flows from operating activities | ||
Net income | $ 3,375 | $ 2,688 |
Adjustments to reconcile net income to cash flows from operating activities: | ||
Depreciation and amortization | 164 | 190 |
Stock-based compensation | 431 | 417 |
Deferred income tax expense (benefit) | (187) | 170 |
Other gains | (50) | |
Net (gains) losses within consolidated VIEs | 21 | (95) |
Net (purchases) proceeds within consolidated VIEs | (1,107) | (148) |
(Earnings) losses from equity method investees | (92) | (92) |
Distributions of earnings from equity method investees | 23 | 24 |
Changes in operating assets and liabilities: | ||
Accounts receivable | (5) | (361) |
Investments, trading | 161 | (145) |
Other assets | (191) | (572) |
Accrued compensation and benefits | (594) | (267) |
Accounts payable and accrued liabilities | 164 | 217 |
Other liabilities | 439 | 514 |
Cash flows from operating activities | 2,552 | 2,540 |
Cash flows from investing activities | ||
Purchases of investments | (259) | (400) |
Proceeds from sales and maturities of investments | 400 | 121 |
Distributions of capital from equity method investees | 18 | 26 |
Net consolidations (deconsolidations) of sponsored investment funds (VIEs/VREs) | (52) | (56) |
Acquisitions, net of cash acquired | (699) | (102) |
Purchases of property and equipment | (108) | (100) |
Cash flows from investing activities | (700) | (511) |
Cash flows from financing activities | ||
Proceeds from long-term borrowings | 697 | |
Repayments of long-term borrowings | (700) | |
Cash dividends paid | (1,471) | (1,259) |
Repurchases of common stock | (1,555) | (1,133) |
Net (redemptions/distributions paid)/subscriptions received from noncontrolling interest holders | 746 | 324 |
Other financing activities | (13) | (12) |
Cash flows from financing activities | (2,293) | (2,083) |
Effect of exchange rate changes on cash, cash equivalents and restricted cash | (58) | 161 |
Net increase (decrease) in cash, cash equivalents and restricted cash | (499) | 107 |
Cash, cash equivalents and restricted cash, beginning of period | 7,096 | 6,192 |
Cash, cash equivalents and restricted cash, end of period | 6,597 | 6,299 |
Supplemental disclosure of cash flow information: | ||
Interest | 123 | 150 |
Income taxes (net of refunds) | 765 | 916 |
Supplemental schedule of noncash investing and financing transactions: | ||
Issuance of common stock | 639 | 612 |
PNC preferred stock capital contribution | 58 | 193 |
Increase (decrease) in noncontrolling interests due to net consolidation (deconsolidation) of sponsored investment funds | $ (551) | $ (226) |
Business Overview
Business Overview | 9 Months Ended |
Sep. 30, 2018 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Business Overview | 1. Business Overview BlackRock, Inc. (together, with its subsidiaries, unless the context otherwise indicates, “BlackRock” or the “Company”) is a leading publicly traded investment management firm providing a broad range of investment and technology services to institutional and retail clients worldwide. BlackRock’s diverse platform of alpha-seeking active, index and cash management investment strategies across asset classes enables the Company to tailor investment outcomes and asset allocation solutions for clients. Product offerings include single- and multi-asset portfolios investing in equities, fixed income, alternatives and money market instruments. Products are offered directly and through intermediaries in a variety of vehicles, including open-end and closed-end mutual funds, iShares ® BlackRock also offers technology services, including the investment and risk management technology platform, Aladdin ® At September 30, 2018, The PNC Financial Services Group, Inc. (“PNC”) held 21.4% of the Company’s voting common stock and 21.9% of the Company’s capital stock, which includes outstanding common and nonvoting preferred stock. |
Significant Accounting Policies
Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2018 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies | 2. Significant Accounting Policies Basis of Presentation These condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) and include the accounts of the Company and its controlled subsidiaries. Noncontrolling interests on the condensed consolidated statements of financial condition represents the portion of consolidated sponsored investment funds in which the Company does not have direct equity ownership. Accounts and transactions between consolidated entities have been eliminated. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expense during the reporting periods. Actual results could differ from those estimates. Certain financial information that normally is included in annual financial statements, including certain financial statement footnotes, is not required for interim reporting purposes and has been condensed or omitted herein. These condensed consolidated financial statements should be read in conjunction with the Company’s consolidated financial statements and notes related thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2017, which was filed with the Securities and Exchange Commission (“SEC”) on February 28, 2018 (“2017 Form 10-K”). The interim financial information at September 30, 2018 and for the three and nine months ended September 30, 2018 and 2017 is unaudited. However, in the opinion of management, the interim information includes all normal recurring adjustments necessary for the fair presentation of the Company’s results for the periods presented. The results of operations for interim periods are not necessarily indicative of results to be expected for the full year. Certain prior period presentations and disclosures, while not required to be recast, were reclassified to ensure comparability with current period classifications. Accounting Pronouncements Adopted in the Nine Months Ended September 30, 2018 Revenue from Contracts with Customers. The Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2 014-09, , and several amendments (collectively, “ASU 2014-09”). ASU 2014-09 outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes most previous revenue recognition guidance, including industry-specific guidance. The guidance also changes the accounting for certain contract costs and revises the criteria for determining if an entity is acting as a principal or agent in certain arrangements. The Company adopted ASU 2014-09 effective January 1, 2018 on a full retrospective basis, which required the Company to recast 2016 and 2017 previously reported amounts. The most significant impact to the Company relates to the presentation of certain distribution costs, which were previously presented net against revenue (contra-revenue) and are now presented as an expense on a gross basis. Revenue recognition related to investment advisory, administration fees and securities lending revenue as well as performance fees remained unchanged, which represents a substantial portion of the Company’s revenue. However, under ASU 2014-09, the Company may recognize certain performance fees, including carried interest, earlier than under the prior revenue recognition guidance. The impact to the condensed consolidated statement of financial condition upon adoption was related to a change in timing of recognition for certain technology services revenue and related costs that resulted in an increase to other assets and other liabilities of $19 million and $25 million, respectively. The cumulative adjustment to retained earnings as of January 1, 2016 was a net decrease of $6 million. The following table presents the impact of the adoption to the condensed consolidated statements of income for the three and nine months ended September 30, 2017. Three Months Ended Nine Months Ended September 30, 2017 September 30, 2017 (in millions, except shares and per share data) Previously Reported Adoption of the New Revenue Standard Adjustment Recast Previously Reported Adoption of the New Revenue Standard Adjustment Recast Total revenue $ 3,233 $ 275 $ 3,508 $ 9,022 $ 814 $ 9,836 Total expense 1,839 280 2,119 5,239 828 6,067 Operating income $ 1,394 $ (5 ) $ 1,389 $ 3,783 $ (14 ) $ 3,769 Income tax expense $ 445 $ (2 ) $ 443 $ 1,090 $ (5 ) $ 1,085 Net income $ 959 $ (3 ) $ 956 $ 2,697 $ (9 ) $ 2,688 Net income attributable to BlackRock, Inc. $ 947 $ (3 ) $ 944 $ 2,666 $ (9 ) $ 2,657 Earnings per share attributable to BlackRock, Inc. common stockholders: Basic $ 5.85 $ (0.02 ) $ 5.83 $ 16.41 $ (0.06 ) $ 16.35 Diluted $ 5.78 $ (0.02 ) $ 5.76 $ 16.23 $ (0.06 ) $ 16.17 Recognition and Measurement of Financial Instruments . In January 2016, the FASB issued ASU 2016-01, (“ASU 2016-01”). ASU 2016-01 amends guidance on the classification and measurement of financial instruments, including requiring an entity to measure substantially all equity securities (other than those accounted for under the equity method of accounting) at fair value through earnings. ASU 2016-01 also amends certain disclosures associated with the fair value of financial instruments. The Company adopted ASU 2016-01 using a modified retrospective approach on January 1, 2018. The reclassification of unrealized gains (losses) on equity securities within accumulated other comprehensive income (“AOCI”) to retained earnings was not material upon adoption. Cash Flow Classification. In August 2016, the FASB issued ASU 2016-15, Classification of Certain Cash Receipts and Cash Payments (“ASU 2016-15”), which amends and clarifies the current guidance to reduce diversity in practice of the classification of certain cash receipts and payments in the consolidated statement of cash flows. The Company adopted ASU 2016-15 on January 1, 2018 retrospectively to all periods presented . The adoption of ASU 2016-15 did not have a material impact on the condensed consolidated statements of cash flows. Restricted Cash. In November 2016, the FASB issued 2016-18, (“ASU 2016-18”), which clarifies the classification and presentation of restricted cash in the statement of cash flows. The Company adopted ASU 2016-18 on January 1, 2018 retrospectively to all periods presented. The adoption of ASU 2016-18 did not have a material impact on the condensed consolidated statements of cash flows. See Note 3, , for additional disclosures related to restricted cash. Reclassifications from Accumulated Other Comprehensive Income. In February 2018, the FASB issued ASU 2018-02, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income (“ASU 2018-02”). ASU 2018-02 allows reclassification from AOCI to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act. The Company adopted ASU 2018-02 prospectively on January 1, 2018. The adoption of ASU 2018-02 did not have a material impact on the condensed consolidated statement of financial condition. Fair Value Disclosure Requirements. In August 2018, the FASB issued ASU 2018-13, (“ASU 2018-13”), which adds, modifies and removes certain disclosure requirements for fair value measurements. The Company early adopted the provisions of ASU 2018-13 that remove and modify disclosure requirements effective July 1, 2018, which included the removal of the estimated liquidation periods for investments measured at net asset value on a retrospective basis and removal of the valuation processes discussion for Level 3 fair value measurements. The additional disclosure requirements under ASU 2018-13 are required to be applied prospectively and are effective for the Company on January 1, 2020. The Company does not expect the additional disclosure requirements to have a material impact on its consolidated financial statements. Revenue Recognition Revenue is recognized upon transfer of control of promised services to customers in an amount to which the Company expects to be entitled in exchange for those services. The Company enters into contracts that can include multiple services, which are accounted for separately if they are determined to be distinct. Consideration for the Company’s services is generally in the form of variable consideration because the amount of fees is subject to market conditions that are outside of the Company’s influence. The Company includes variable consideration in revenue when it is no longer probable of significant reversal, i.e. when the associated uncertainty is resolved. For some contracts with customers, the Company has discretion to involve a third party in providing services to the customer. Generally, the Company is deemed to be the principal in these arrangements because the Company controls the promised services before they are transferred to customers, and accordingly presents the revenue gross of related costs. Investment Advisory, Administration Fees and Securities Lending Revenue. Investment advisory and administration fees are recognized as the services are performed over time and are primarily based on agreed-upon percentages of assets under management (“AUM”). Such fees are affected by changes in AUM, including market appreciation or depreciation, foreign exchange translation and net inflows or outflows. Investment advisory and administration fees for investment funds are shown net of fee waivers. In addition, the Company may contract with third parties to provide sub-advisory services on its behalf. The Company presents the investment advisory fees and associated costs to such third-party advisors on a gross basis where it is deemed to be the principal and on a net basis where it is deemed to be the agent. Management judgment involved in making these assessments is focused on ascertaining whether the Company is primarily responsible for fulfilling the promised service. The Company earns revenue by lending securities on behalf of clients, primarily to highly rated banks and broker-dealers. Revenue is recognized over time as services are performed. Generally, the securities lending fees are shared between the Company and the funds or other third-party accounts managed by the Company from which the securities are borrowed. Investment Advisory Performance Fees / Carried Interest. The Company receives investment advisory performance fees, including incentive allocations (carried interest) from certain actively managed investment funds and certain separately managed accounts. These performance fees are dependent upon exceeding specified relative or absolute investment return thresholds, which may vary by product or account, and include monthly, quarterly, annual or longer measurement periods. The Company is allocated carried interest from certain alternative investment products upon exceeding performance thresholds. The Company may be required to reverse/return all, or part, of such carried interest allocations/distributions depending upon future performance of these funds. Therefore, carried interest subject to such clawback provisions is recorded in investments/investments of consolidated variable interest entities (“VIEs”) or cash/cash of consolidated VIEs to the extent that it is distributed, on its condensed consolidated statements of financial condition. Performance fees, including carried interest, are recognized when it is determined that they are no longer probable of significant reversal (such as upon the sale of a fund’s investment or when the amount of AUM becomes known as of the end of a specified measurement period). Given the unique nature of each fee arrangement, contracts with customers are evaluated on an individual basis to determine the timing of revenue recognition. Significant judgement is involved in making such determination. Performance fees typically arise from investment management services that began in prior reporting periods. Consequently, a portion of the fees the Company recognizes may be partially related to the services performed in prior periods that meet the recognition criteria in the current period. At each reporting date, the Company considers various factors in estimating performance fees to be recognized, including carried interest. These factors include but are not limited to whether: (1) the fees are dependent on the market and thus are highly susceptible to factors outside the Company’s influence; (2) the fees have a large number and a broad range of possible amounts; and (3) the funds or separately managed accounts have the ability to invest or reinvest their sales proceeds. The Company records a liability for deferred carried interest to the extent it receives cash or capital allocations related to carried interest prior to meeting the revenue recognition criteria. A portion of the deferred carried interest may also be paid to certain employees. The ultimate timing of the recognition of performance fee revenue and related compensation expense, if any, for these products is unknown. Technology services revenue. The Company offers investment management technology systems, risk management services, wealth management and digital distribution tools on a fee basis. Clients include banks, insurance companies, official institutions, pension funds, asset managers, retail distributors and other investors. Fees earned for technology services revenue are recorded as services are performed over time and are generally determined using the value of positions on the Aladdin platform or on a fixed-rate basis. Distribution Fees. The Company accounts for fund distribution services and shareholder servicing as distinct services, separate from fund management services, because customers can benefit from each of the services on their own and because the services are separately identifiable (that is, the nature of the promised services is to transfer each service individually). The Company records upfront and ongoing sales commissions as distribution fee revenue for serving as the principal underwriter and/or distributor for certain managed mutual funds. Fund distribution services are satisfied at the point in time when an investor makes an investment in a share class of the managed mutual funds. Accordingly, the Company recognizes the upfront fees for front-end load funds on a trade date basis when the services are performed and the amount is known. However, the on-going distribution fees (e.g., 12b-1 fees) from the back-end load funds are based on net asset values over the investment period and are recognized when the amount is known. Consequently, a portion of the on-going distribution fees the Company recognized may be related to the services performed in prior periods that meet the recognition criteria in the current period. Generally, retail products offered outside of the United States do not generate a separate distribution fee as the quoted management fee rate is inclusive of these services. The Company recognizes ongoing shareholder servicing fee revenue as shareholder services are performed over time. On-going distribution fees are largely passed through as a distribution expense to third-party distributors who distribute the funds. The Company contracts with third parties for various fund distribution services and shareholder servicing of certain funds to be performed on its behalf. These arrangements are generally priced as a portion of the fee paid to the Company by the fund or as an agreed-upon percentage of net asset value. The Company presents its distribution fees and distribution and servicing costs incurred on a gross basis in the condensed consolidated statements of income because it has primary responsibility for fulfilling the promise to provide the specified services. Advisory and other revenue. Advisory and other revenue primarily includes fees earned for advisory services, fees earned for transition management services primarily comprised of commissions recognized in connection with buying and selling securities on behalf of customers, and equity method investment earnings related to certain strategic investments. Advisory services fees are determined using fixed-rate fees and are recognized over time as the related services are performed. Commissions related to transition management services are recorded on a trade-date basis as securities transactions occur. Investments Investments in Debt Securities. The Company classifies debt investments as available-for-sale, held-to-maturity or trading based on the Company’s intent to sell the security or, its intent and ability to hold the debt security to maturity. Available-for-sale debt securities are those securities that are not classified as trading or held-to-maturity. Available-for-sale debt securities include certain investments in collateralized loan obligations (“CLOs”) and are carried at fair value on the condensed consolidated statements of financial condition with changes in fair value recorded in AOCI within stockholders’ equity in the period of the change. Upon the disposition of an available-for-sale security, the Company reclassifies the gain or loss on the security from AOCI to nonoperating income (expense) on the condensed consolidated statements of income. Held-to-maturity debt securities are purchased with the positive intent and ability to be held to maturity and are recorded at amortized cost on the condensed consolidated statements of financial condition. Trading securities are those investments that are purchased principally for the purpose of selling them in the near term. Trading securities are carried at fair value on the condensed consolidated statements of financial condition with changes in fair value recorded in nonoperating income (expense) on the condensed consolidated statements of income. Trading securities include certain investments in CLOs for which the fair value option is elected in order to reduce operational complexity of bifurcating embedded derivatives. Investments in Equity Securities. Equity securities are generally carried at fair value on the condensed consolidated statements of financial condition with changes in the fair value recorded through net income (“FVTNI”) within nonoperating income (expense). For nonmarketable equity securities, the Company generally elects to apply the practicality exception to apply fair value measurement, under which such securities will be measured at cost, less impairment, plus or minus observable price changes for identical or similar securities of the same issuer with such changes recorded in the condensed consolidated statements of income. Dividends received are recorded as dividend income within nonoperating income (expense). Equity Method. For equity investments where the Company does not control the investee, and where it is not the primary beneficiary (“PB”) of a VIE, but can exert significant influence over the financial and operating policies of the investee, the Company follows the equity method of accounting. The Company’s share of the investee’s underlying net income or loss is recorded as net gain (loss) on investments within nonoperating income (expense) and as other revenue for certain strategic investments since such companies are considered to be an extension of the Company’s core business. The Company’s share of net income of the investee is recorded based upon the most current information available at the time, which may precede the date of the condensed consolidated statement of financial condition. Distributions received reduce the Company’s carrying value of the investee and the cost basis if deemed to be a return of capital. Impairments of Investments. Management periodically assesses equity method, available-for-sale and held-to-maturity investments for other-than-temporary impairment (“OTTI”). If an OTTI exists, an impairment charge would be recorded for the excess of the carrying amount of the investment over its estimated fair value in the condensed consolidated statements of income. For equity method investments and held-to-maturity investments, if circumstances indicate that an OTTI may exist, the investments are evaluated using market values, where available, or the expected future cash flows of the investment. For the Company’s investments in CLOs, the Company reviews cash flow estimates over the life of each CLO investment. On a quarterly basis, if the present value of the estimated future cash flows is lower than the carrying value of the investment and there is an adverse change in estimated cash flows, an impairment is considered to be other-than-temporary. In addition, for nonmarketable equity securities that are accounted for under the measurement alternative to fair value, the Company applies the impairment model that does not require the Company to consider whether the impairment is other-than-temporary. Fair Value Measurements Hierarchy of Fair Value Inputs . The Company uses a fair value hierarchy that prioritizes inputs to valuation approaches used to measure fair value. The fair value hierarchy gives the highest priority to quoted prices (unadjusted) in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. Assets and liabilities measured and reported at fair value are classified and disclosed in one of the following categories: Level 1 Inputs: Quoted prices (unadjusted) in active markets for identical assets or liabilities at the reporting date. • Level 1 assets may include listed mutual funds, ETFs, listed equities and certain exchange-traded derivatives. Level 2 Inputs: Quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities that are not active; quotes from pricing services or brokers for which the Company can determine that orderly transactions took place at the quoted price or that the inputs used to arrive at the price are observable; and inputs other than quoted prices that are observable, such as models or other valuation methodologies. • Level 2 assets may include debt securities, investments in CLOs, bank loans, Level 3 Inputs: Unobservable inputs for the valuation of the asset or liability, which may include nonbinding broker quotes. Level 3 assets include investments for which there is little, if any, market activity. These inputs require significant management judgment or estimation. • Level 3 assets may include direct private equity investments held within consolidated funds, investments in CLOs and bank loans of consolidated CLOs • Level 3 liabilities include contingent liabilities related to acquisitions valued based upon discounted cash flow analyses using unobservable market data and borrowings of a consolidated CLO. Significance of Inputs. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the financial instrument. Valuation Approaches. The fair values of certain Level 3 assets and liabilities were determined using various valuation approaches as appropriate, including third-party pricing vendors, broker quotes and market and income approaches. A significant number of inputs used to value equity, debt securities, investments in CLOs and bank loans is sourced from third-party pricing vendors. Generally, prices obtained from pricing vendors are categorized as Level 1 inputs for identical securities traded in active markets and as Level 2 for other similar securities if the vendor uses observable inputs in determining the price. In addition, quotes obtained from brokers generally are nonbinding and categorized as Level 3 inputs. However, if the Company is able to determine that market participants have transacted for the asset in an orderly manner near the quoted price or if the Company can determine that the inputs used by the broker are observable, the quote is classified as a Level 2 input. Investments Measured at Net Asset Values. As a practical expedient, the Company uses net asset value (“NAV”) as the fair value for certain investments. The inputs to value these investments may include the Company’s capital accounts for its partnership interests in various alternative investments, including hedge funds, real assets and private equity funds, which may be adjusted by using the returns of certain market indices. The various partnerships generally are investment companies, which record their underlying investments at fair value based on fair value policies established by management of the underlying fund. Fair value policies at the underlying fund generally require the fund to utilize pricing/valuation information from third-party sources, including independent appraisals. However, in some instances, current valuation information for illiquid securities or securities in markets that are not active may not be available from any third-party source or fund management may conclude that the valuations that are available from third-party sources are not reliable. In these instances, fund management may perform model-based analytical valuations that could be used as an input to value these investments. Fair Value of Asset and Liabilities of Consolidated CLO. The Company applies the fair value option provisions for eligible assets, including bank loans, held by a consolidated CLO. As the fair value of the financial assets of the consolidated CLO is more observable than the fair value of the borrowings of the consolidated CLO, the Company measures the fair value of the borrowings of the consolidated CLO as the fair value of the assets of the consolidated CLO less the fair value of the Company’s economic interest in the CLO. Derivative Instruments and Hedging Activities . The Company does not use derivative financial instruments for trading or speculative purposes. The Company uses derivative financial instruments primarily for purposes of hedging exposures to fluctuations in foreign currency exchange rates of certain assets and liabilities, and market exposures for certain seed investments. However, certain consolidated sponsored investment funds may also utilize derivatives as a part of their investment strategy. Changes in the fair value of the Company’s derivative financial instruments are recognized in earnings and, where applicable, are offset by the corresponding gain or loss on the related foreign-denominated assets or liabilities or hedged investments, on the condensed consolidated statements of income. The Company may also use financial instruments designated as net investment hedges for accounting purposes to hedge net investments in international subsidiaries whose functional currency is not U.S. dollars. The gain or loss from revaluing accounting hedges of net investments in foreign operations at the spot rate is deferred and reported within AOCI on the condensed consolidated statements of financial condition. The Company reassesses the effectiveness of its net investment hedge on a quarterly basis. Separate Account Assets and Liabilities . Separate account assets are maintained by BlackRock Life Limited, a wholly owned subsidiary of the Company, which is a registered life insurance company in the United Kingdom, and represent segregated assets held for purposes of funding individual and group pension contracts. The life insurance company does not underwrite any insurance contracts that involve any insurance risk transfer from the insured to the life insurance company. The separate account assets primarily include equity securities, debt securities, money market funds and derivatives. The separate account assets are not subject to general claims of the creditors of the Company. These separate account assets and the related equal and offsetting liabilities are recorded as separate account assets and separate account liabilities on the condensed consolidated statements of financial condition. The net investment income attributable to separate account assets supporting individual and group pension contracts accrues directly to the contract owner and is not reported on the condensed consolidated statements of income. While the Company has no economic interest in these separate account assets and liabilities, the Company earns policy administration and management fees associated with these products, which are included in investment advisory, administration fees and securities lending revenue on the condensed consolidated statements of income. Separate Account Collateral Assets Held and Liabilities Under Securities Lending Agreements. The Company facilitates securities lending arrangements whereby securities held by separate accounts maintained by BlackRock Life Limited are lent to third parties under global master securities lending agreements. In exchange, the Company receives legal title to the collateral with minimum values generally ranging from approximately 102% to 112% of the value of the securities lent in order to reduce counterparty risk. The required collateral value is calculated on a daily basis. The global master securities lending agreements provide the Company the right to request additional collateral or, in the event of borrower default, the right to liquidate collateral. The securities lending transactions entered into by the Company are accompanied by an agreement that entitles the Company to request the borrower to return the securities at any time; therefore, these transactions are not reported as sales. The Company records on the condensed consolidated statements of financial condition the cash and noncash collateral received under these BlackRock Life Limited securities lending arrangements as its own asset in addition to an equal and offsetting collateral liability for the obligation to return the collateral. The securities lending revenue earned from lending securities held by the separate accounts is included in investment advisory, administration fees and securities lending revenue on the condensed consolidated statements of income. During the nine months ended September 30, 2018 and 2017, the Company had not resold or repledged any of the collateral received under these arrangements. At September 30, 2018 and December 31, 2017, the fair value of loaned securities held by separate accounts was approximately $17.8 billion and $22.3 billion, respectively, and the fair value of the collateral held under these securities lending agreements was approximately $19.6 billion and $24.2 billion, respectively. Recent Accounting Pronouncements Not Yet Adopted Leases. In February 2016, the FASB issued ASU 2016-02, , and several amendments (collectively, “ASU 2016-02”), which requires lessees to recognize assets and liabilities arising from most operating leases on the condensed consolidated statements of financial condition. The Company expects to record assets and liabilities for its current operating leases upon adoption of ASU 2016-02 and does not expect the adoption to have a material impact on its results of operations or cash flows. In July 2018, the FASB issued ASU 2018-11, Targeted Improvements The Company will adopt ASU 2016-02 on its effective date of January 1, 2019 on a modified retrospective basis applying the transition option permitted by ASU 2018-11. The Company intends to elect the package of practical expedients that will alleviate certain operational complexities related to the adoption. See Note 13 of the 2017 Form 10-K for information on the Company’s operating lease commitments. |
Cash, Cash Equivalents and Rest
Cash, Cash Equivalents and Restricted Cash | 9 Months Ended |
Sep. 30, 2018 | |
Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents [Abstract] | |
Cash, Cash Equivalents and Restricted Cash | 3. Cash, Cash Equivalents and Restricted Cash The following table provides a reconciliation of cash and cash equivalents reported within the condensed consolidated statements of financial condition to the cash, cash equivalents, and restricted cash reported within the condensed consolidated statements of cash flows. September 30, December 31, (in millions) 2018 2017 Cash and cash equivalents $ 6,358 $ 6,894 Cash and cash equivalents of consolidated VIEs 222 144 Restricted cash included in other assets 17 58 Total cash, cash equivalents and restricted cash $ 6,597 $ 7,096 |
Investments
Investments | 9 Months Ended |
Sep. 30, 2018 | |
Investments Debt And Equity Securities [Abstract] | |
Investments | 4. Investments A summary of the carrying value of total investments is as follows: September 30, (in millions) 2018 (1) Debt securities: Available-for-sale investments $ 42 Held-to-maturity investments 145 Trading securities ($148 debt securities of consolidated sponsored investment funds) 176 Total debt securities 363 Equity securities at FVTNI ($283 equity securities of consolidated sponsored investment funds) 508 Equity method investments (2) 779 Federal Reserve Bank stock (3) 92 Carried interest (4) 18 Total investments $ 1,760 (in millions) December 31, 2017 (1) Available-for-sale investments $ 103 Held-to-maturity investments 102 Trading investments: Consolidated sponsored investment funds: Debt securities 267 Equity securities 245 Other equity and debt securities 267 Deferred compensation plan mutual funds 56 Total trading investments 835 Equity method investments (2) 816 Cost method investments (3) 93 Carried interest (4) 32 Total investments $ 1,981 (1) Amounts at September 30, 2018 reflect the adoption of ASU 2016-01. See Note 2, Significant Accounting Policies (2) Equity method investments primarily include BlackRock’s direct investments in certain BlackRock sponsored investment funds. (3) Amounts include Federal Reserve Bank stock, which is held for regulatory purposes and is restricted from sale. At December 31, 2017, amount also includes other nonmarketable securities, which were immaterial. At September 30, 2018 and December 31, 2017, there were no indicators of impairment on these investments. (4) Carried interest of consolidated sponsored investment funds accounted for as voting rights entities (“VREs”) represents allocations to BlackRock’s general partner capital accounts from certain funds. These balances are subject to change upon cash distributions, additional allocations or reallocations back to limited partners within the respective funds. Available-for-Sale Investments At both September 30, 2018 and December 31, 2017, available-for-sale investments primarily included certain investments in CLOs. The cost of these investments approximated carrying value. At September 30, 2018, $42 million of these investments mature after ten years. Held-to-Maturity Investments The carrying value of held-to-maturity investments was $145 million and $102 million at September 30, 2018 and December 31, 2017, respectively. Held-to-maturity investments included foreign government debt held primarily for regulatory purposes and certain investments in CLOs. The amortized cost (carrying value) of these investments approximated fair value (primarily a Level 2 input). At September 30, 2018, $11 million of these investments mature between five to Equity and Trading Debt Securities A summary of the cost and carrying value of equity and trading debt securities is as follows: September 30, 2018 (1) (in millions) Cost Carrying Value Trading debt securities: Corporate debt $ 94 $ 92 Government debt 46 39 Asset/mortgage-backed debt 49 45 Total debt securities 189 176 Equity securities at FVTNI: Equity securities/multi-asset mutual funds 475 472 Deferred compensation plan mutual funds 21 36 Total equity securities at FVTNI 496 508 Total equity and trading debt securities $ 685 $ 684 December 31, 2017 (1) (in millions) Cost Carrying Value Trading investments: Deferred compensation plan mutual funds $ 34 $ 56 Equity securities/multi-asset mutual funds 446 493 Debt securities Corporate debt 152 157 Government debt 72 73 Asset/mortgage backed debt 56 56 Total trading investments $ 760 $ 835 (1) Amounts at September 30, 2018 reflect the adoption of ASU 2016-01. See Note 2, Significant Accounting Policies Other In addition, the Company accounts for its interest in PennyMac Financial Services, Inc. (“PennyMac”) as an equity method investment. At September 30, 2018 and December 31, 2017, the Company’s investment in PennyMac is included in other assets on the condensed consolidated statements of financial condition. The carrying value and market value of the Company’s interest (approximately 20% or 16 million shares and units) was approximately $384 million and $325 million, respectively, at September 30, 2018 and approximately $342 million and $348 million, respectively, at December 31, 2017. The market value of the Company’s interest reflected the PennyMac stock price at September 30, 2018 and December 31, 2017, respectively (a Level 1 input). The estimated market value of the Company’s interest in the non-public units held of PennyMac is based on the stock price of the PennyMac public securities at September 30, 2018 and December 31, 2017. The Company performed an other-than-temporary impairment analysis as of September 30, 2018 and believes the shortfall of market value versus book value is temporary. |
Consolidated Voting Rights Enti
Consolidated Voting Rights Entities | 9 Months Ended |
Sep. 30, 2018 | |
Text Block [Abstract] | |
Consolidated Voting Rights Entities | 5. Consolidated Voting Rights Entities The Company consolidates certain sponsored investment funds accounted for as VREs because it is deemed to control such funds. The following table presents the amounts related to these consolidated VREs that were recorded on the condensed consolidated statements of financial condition, including BlackRock’s net interest in these funds: September 30, December 31, (in millions) 2018 2017 Cash and cash equivalents $ 58 $ 63 Investments: Trading debt securities 148 267 Equity securities at FVTNI 283 245 Total investments 431 512 Other assets 12 13 Other liabilities (52 ) (37 ) Noncontrolling interests ("NCI") (60 ) (91 ) BlackRock’s net interests in consolidated VREs $ 389 $ 460 BlackRock’s total exposure to consolidated VREs represents the value of its economic ownership interest in these sponsored investment funds. Valuation changes associated with investments held at fair value by these consolidated VREs are reflected in nonoperating income (expense) and partially offset in net income (loss) attributable to noncontrolling interests for the portion not attributable to BlackRock. The Company cannot readily access cash and cash equivalents held by consolidated VREs to use in its operating activities. |
Variable Interest Entities
Variable Interest Entities | 9 Months Ended |
Sep. 30, 2018 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Variable Interest Entities | 6. Variable Interest Entities In the normal course of business, the Company is the manager of various types of sponsored investment vehicles, which may be considered VIEs. The Company may from time to time own equity or debt securities or enter into derivatives with the vehicles, each of which are considered variable interests. The Company’s involvement in financing the operations of the VIEs is generally limited to its investments in the entity. The Company consolidates entities when it is determined to be the PB. Consolidated VIEs. The Company’s consolidated VIEs include certain sponsored investment products in which BlackRock has an investment and as the investment manager is deemed to have both the power to direct the most significant activities of the products and the right to receive benefits (or the obligation to absorb losses) that could potentially be significant to these sponsored investment products. The assets of these VIEs are not available to creditors of the Company. In addition, the investors in these VIEs have no recourse to the credit of the Company. Consolidated VIE assets and liabilities are presented after intercompany eliminations in the following table: September 30, December 31, (in millions) 2018 2017 Assets of consolidated VIEs: Cash and cash equivalents $ 222 $ 144 Investments: Trading debt securities 973 475 Equity securities at FVTNI 600 440 Bank loans 53 — Other investments 285 312 Carried interest 306 266 Other assets 179 66 Total investments and other assets 2,396 1,559 Liabilities of consolidated VIEs: Borrowings (44 ) — Other liabilities (514 ) (369 ) Noncontrolling interests (598 ) (375 ) BlackRock's net interests in consolidated VIEs $ 1,462 $ 959 Net gain (loss) related to consolidated VIEs is presented in the following table: Three Months Ended Nine Months Ended September 30, September 30, (in millions) 2018 2017 2018 2017 Nonoperating net gain (loss) on consolidated VIEs $ (9 ) $ 29 $ (21 ) $ 95 Net income (loss) attributable to NCI on consolidated VIEs $ (14 ) $ 10 $ (3 ) $ 28 Nonconsolidated VIEs . At September 30, 2018 and December 31, 2017, the Company’s carrying value of assets and liabilities included on the condensed consolidated statements of financial condition pertaining to nonconsolidated VIEs and its maximum risk of loss related to VIEs for which it held a variable interest, but for which it was not the PB, was as follows: (in millions) At September 30, 2018 Investments Advisory Fee Receivables Other Net Assets (Liabilities) Maximum Risk of Loss (1) Sponsored investment products $ 335 $ 40 $ (6 ) $ 392 At December 31, 2017 Sponsored investment products $ 263 $ 15 $ (7 ) $ 295 (1) At both September 30, 2018 and December 31, 2017, BlackRock’s maximum risk of loss associated with these VIEs primarily related to BlackRock’s investments and the collection of advisory fee receivables. The net assets of sponsored investment products that are nonconsolidated VIEs approximated $8 billion and $5 billion at September 30, 2018 and December 31, 2017, respectively. |
Fair Value Disclosures
Fair Value Disclosures | 9 Months Ended |
Sep. 30, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value Disclosures | 7. Fair Value Disclosures Fair Value Hierarchy Assets and liabilities measured at fair value on a recurring basis and other assets not held at fair value September 30, 2018 (1) (in millions) Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Investments Measured at NAV (2) Other Assets Not Held at Fair Value (3) September 30, 2018 Assets: Investments: Equity securities at FVTNI: Deferred compensation plan mutual funds $ 36 $ — $ — $ — $ — $ 36 Equity securities/Multi-asset mutual funds 472 — — — — 472 Total equity securities at FVTNI 508 — — — — 508 Debt securities: Available-for-sale — 42 — — — 42 Trading securities — 176 — — — 176 Held-to-maturity securities — — — — 145 145 Total debt securities — 218 — — 145 363 Equity method: Equity and fixed income mutual funds 140 — — 14 — 154 Other — — — 622 3 625 Total equity method 140 — — 636 3 779 Federal Reserve Bank Stock — — — — 92 92 Carried interest — — — — 18 18 Total investments 648 218 — 636 258 1,760 Investments of consolidated VIEs: Equity securities at FVTNI 600 — — — — 600 Trading debt securities — 973 — — — 973 Bank loans — 9 44 — — 53 Private equity (4) — — 105 49 74 228 Other — — — 57 — 57 Carried interest — — — — 306 306 Total investments of consolidated VIEs 600 982 149 106 380 2,217 Separate account assets 79,607 27,667 — — 708 107,982 Separate account collateral held under securities lending agreements: Equity securities 17,392 — — — — 17,392 Debt securities — 2,183 — — — 2,183 Total separate account collateral held under securities lending agreements 17,392 2,183 — — — 19,575 Total $ 98,247 $ 31,050 $ 149 $ 742 $ 1,346 $ 131,534 Liabilities: Borrowings of consolidated VIEs (5) $ — $ — $ 44 $ — $ — $ 44 Separate account collateral liabilities under securities lending agreements 17,392 2,183 — — — 19,575 Other liabilities (6) — 6 259 — — 265 Total $ 17,392 $ 2,189 $ 303 $ — $ — $ 19,884 (1) Significant Accounting Policies (2) Amounts are comprised of certain investments measured at fair value using NAV (or its equivalent) as a practical expedient. (3) Amounts are comprised of investments held at cost or amortized cost, carried interest and certain equity method investments, which include sponsored investment funds and other assets, which are not accounted for under a fair value measure. In accordance with GAAP, certain equity method investees do not account for both their financial assets and liabilities under fair value measures; therefore, the Company’s investment in such equity method investees may not represent fair value. (4) Level 3 amounts primarily include direct investments in private equity companies held by private equity funds. (5) Borrowings of consolidated VIEs are classified based on the more significant inputs, which are unobservable, used for calculating the fair value of consolidated CLO assets. (6) Amounts primarily include contingent liabilities related to certain acquisitions (see Note 12, Commitments and Contingencies Assets and liabilities measured at fair value on a recurring basis and other assets not held at fair value December 31, 2017 (1) (in millions) Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Investments Measured at NAV (2) Other Assets Not Held at Fair Value (3) December 31, 2017 Assets: Investments Available-for-sale $ 7 $ 96 $ — $ — $ — $ 103 Held-to-maturity debt securities — — — — 102 102 Trading: Deferred compensation plan mutual funds 56 — — — — 56 Equity/Multi-asset mutual funds 493 — — — — 493 Debt securities / fixed income mutual funds 2 284 — — — 286 Total trading 551 284 — — — 835 Equity method: Equity and fixed income mutual funds 183 — — 12 — 195 Other — — — 609 12 621 Total equity method 183 — — 621 12 816 Cost method investments — — — — 93 93 Carried interest — — — — 32 32 Total investments 741 380 — 621 239 1,981 Separate account assets 114,422 34,582 — — 933 149,937 Separate account collateral held under securities lending agreements: Equity securities 18,778 — — — — 18,778 Debt securities — 5,412 — — — 5,412 Total separate account collateral held under securities lending agreements 18,778 5,412 — — — 24,190 Investments of consolidated VIEs: Trading: Equity securities 440 — — — — 440 Debt securities — 475 — — — 475 Private / public equity (4) 6 2 116 59 76 259 Other — — — 53 — 53 Carried interest — — — — 266 266 Total investments of consolidated VIEs 446 477 116 112 342 1,493 Total $ 134,387 $ 40,851 $ 116 $ 733 $ 1,514 $ 177,601 Liabilities: Separate account collateral liabilities under securities lending agreements $ 18,778 $ 5,412 $ — $ — $ — $ 24,190 Other liabilities (5) — 7 236 — — 243 Total $ 18,778 $ 5,419 $ 236 $ — $ — $ 24,433 (1) Amounts at December 31, 2017 reflect accounting guidance prior to ASU 2016-01. (2) Amounts are comprised of certain investments measured at fair value using NAV (or its equivalent) as a practical expedient. (3) Amounts are comprised of investments held at cost or amortized cost, carried interest and certain equity method investments, which include sponsored investment funds and other assets, which are not accounted for under a fair value measure. In accordance with GAAP, certain equity method investees do not account for both their financial assets and liabilities under fair value measures; therefore, the Company’s investment in such equity method investees may not represent fair value. (4) Level 3 amounts include direct investments in private equity companies held by private equity funds. (5) Amounts primarily include contingent liabilities related to certain acquisitions (see Note 12, Commitments and Contingencies Level 3 Assets. Level 3 assets may include investments in CLOs and bank loans of consolidated CLOs valued based on single-broker nonbinding quotes and direct private equity investments valued using the market or income approach as described below. Level 3 investments of consolidated VIEs of $149 million and $116 million at September 30, 2018 and December 31, 2017, respectively, related to direct investments in private equity companies held by consolidated private equity funds. At September 30, 2018, level 3 investments of consolidated VIEs also included bank loans of a consolidated CLO Direct investments in private equity companies may be valued using the market approach or the income approach, or a combination thereof, and were valued based on an assessment of each underlying investment, incorporating evaluation of additional significant third-party financing, changes in valuations of comparable peer companies, the business environment of the companies, market indices, assumptions relating to appropriate risk adjustments for nonperformance and legal restrictions on disposition, among other factors. The fair value derived from the methods used is evaluated and weighted, as appropriate, considering the reasonableness of the range of values indicated. Under the market approach, fair value may be determined by reference to multiples of market-comparable companies or transactions, including earnings before interest, taxes, depreciation and amortization (“EBITDA”) multiples. Under the income approach, fair value may be determined by discounting the expected cash flows to a single present value amount using current expectations about those future amounts. Unobservable inputs used in a discounted cash flow model may include projections of operating performance generally covering a five-year period and a terminal value of the private equity direct investment. For investments utilizing a discounted cash flow valuation technique, a significant increase (decrease) in the discount rate, risk premium or discount for lack of marketability in isolation could have resulted in a significantly lower (higher) fair value measurement as of September 30, 2018. For investments utilizing the market-comparable valuation technique, a significant increase (decrease) in a valuation multiple in isolation could have resulted in a significantly higher (lower) fair value measurement as of September 30, 2018. Level 3 Liabilities. Level 3 other liabilities primarily include recorded contingent liabilities related to certain acquisitions, which were valued based upon discounted cash flow analyses using unobservable market data inputs and borrowings of consolidated VIEs, which were valued based on the fair value of the assets of the consolidated CLO less fair value of the Company’s economic interest in the CLO. Changes in Level 3 Assets and Liabilities Measured at Fair Value on a Recurring Basis for the Three Months Ended September 30, 2018 (in millions) June 30, 2018 (1) Realized and Unrealized Gains (Losses) in Earnings and OCI Purchases Sales and Maturities Issuances and other Settlements (2) Transfers into Level 3 Transfers out of Level 3 September 30, 2018 (1) Total Net Unrealized Gains (Losses) Included in Earnings (3) Assets: Assets of consolidated VIEs: Private equity $ 104 $ 1 $ — $ — $ — $ — $ — $ 105 Bank loans (4) — — — — 44 — — 44 Total Assets of consolidated VIEs $ 104 $ 1 $ — $ — $ 44 $ — $ — $ 149 $ 1 Liabilities: Borrowings of consolidated VIEs (4) $ — $ — $ — $ — $ 44 $ — $ — $ 44 Other liabilities 223 (30 ) — — 6 — — 259 Total Level 3 liabilities $ 223 $ (30 ) $ — $ — $ 50 $ — $ — $ 303 $ (30 ) (1) Amounts reflect the adoption of ASU 2016-01. See Note 2, Significant Accounting Policies (2) Other liabilities amount includes a contingent liability in connection with an acquisition, partially offset by a contingent liability payment in connection with a prior acquisition. (3) Earnings attributable to the change in unrealized gains (losses) relating to assets and liabilities still held at the reporting date. (4) Bank loans and borrowings of consolidated VIEs amounts are related to the consolidation of one additional CLO. Changes in Level 3 Assets and Liabilities Measured at Fair Value on a Recurring Basis for the Nine Months Ended September 30, 2018 (in millions) December 31, 2017 Realized and Unrealized Gains (Losses) in Earnings and OCI Purchases Sales and Maturities Issuances and other Settlements (1) Transfers into Level 3 Transfers out of Level 3 September 30, 2018 (2) Total Net Unrealized Gains (Losses) Included in Earnings (3) Assets: Investments: Debt securities: Available-for-sale securities (4) $ — $ — $ 26 $ — $ — $ — $ (26 ) $ — Trading securities — — 5 — — — (5 ) — Total debt securities — — 31 — — — (31 ) — Total investments — — 31 — — — (31 ) — Assets of consolidated VIEs: Private equity 116 1 — (12 ) — — — 105 Bank loans (5) — — — — 44 — — 44 Total Assets of consolidated VIEs 116 1 — (12 ) 44 — — 149 Total Level 3 assets $ 116 $ 1 $ 31 $ (12 ) $ 44 $ — $ (31 ) $ 149 $ 1 Liabilities: Borrowings of consolidated VIEs (5) $ — $ — $ — $ — $ 44 $ — $ — $ 44 Other liabilities 236 (33 ) — — (10 ) — — 259 Total Level 3 liabilities $ 236 $ (33 ) $ — $ — $ 34 $ — $ — $ 303 $ (33 ) (1) Other liabilities amount includes contingent liability payments in connection with certain prior acquisitions, partially offset by a contingent liability in connection with an acquisition. (2) Amounts reflect the adoption of ASU 2016-01. See Note 2, Significant Accounting Policies (3) Earnings attributable to the change in unrealized gains (losses) relating to assets and liabilities still held at the reporting date. (4) Amounts include investments in CLOs. (5) Bank loans and borrowings of consolidated VIEs amounts are related to the consolidation of one additional CLO. Changes in Level 3 Assets and Liabilities Measured at Fair Value on a Recurring Basis for the Three Months Ended September 30, 2017 (1) (in millions) June 30, 2017 Realized and Unrealized Gains (Losses) in Earnings and OCI Purchases Sales and Maturities Issuances and other Settlements (2) Transfers into Level 3 Transfers out of Level 3 September 30, 2017 Total Net Unrealized Gains (Losses) Included in Earnings (3) Assets: Investments: Available-for-sale securities (4) $ 23 $ — $ — $ — $ — $ — $ — $ 23 Trading 4 — — — — — (2 ) 2 Total investments 27 — — — — — (2 ) 25 Assets of consolidated VIEs - Private equity 113 1 — — — — — 114 $ 1 Total Level 3 assets $ 140 $ 1 $ — $ — $ — $ — $ (2 ) $ 139 Liabilities: Other liabilities (5) $ 218 $ (7 ) $ — $ — $ 3 $ — $ — $ 228 $ (7 ) (1) Amounts reflect accounting guidance prior to ASU 2016-01. (2) Issuance and other settlements amount includes a contingent liability of $9 million in connection with the acquisition of Cachematrix in July 2017 (“Cachematrix Transaction”) and a contingent liability payment in connection with a prior acquisition. (3) Earnings attributable to the change in unrealized gains (losses) relating to assets and liabilities still held at the reporting date. (4) Amounts include investments in CLOs. (5) Other liabilities amount includes contingent liabilities in connection with certain acquisitions. Changes in Level 3 Assets and Liabilities Measured at Fair Value on a Recurring Basis for the Nine Months Ended September 30, 2017 (1) (in millions) December 31, 2016 Realized and Unrealized Gains (Losses) in Earnings and OCI Purchases Sales and Maturities Issuances and other Settlements (2) Transfers into Level 3 Transfers out of Level 3 (3) September 30, 2017 Total Net Unrealized Gains (Losses) Included in Earnings (4) Assets: Investments: Available-for-sale securities (5) $ 24 $ — $ 23 $ — $ — $ — $ (24 ) $ 23 Trading 7 — 4 — — — (9 ) 2 Total investments 31 — 27 — — — (33 ) 25 Assets of consolidated VIEs - Private equity 112 2 — — — — — 114 $ 2 Total Level 3 assets $ 143 $ 2 $ 27 $ — $ — $ — $ (33 ) $ 139 Liabilities: Other liabilities (6) $ 115 $ (2 ) $ — $ — $ 111 $ — $ — $ 228 $ (2 ) (1) Amounts reflect accounting guidance prior to ASU 2016-01. (2) Issuance and other settlements amount includes $120 million and $9 million of contingent liabilities in connection with the acquisition of the equity infrastructure franchise of First Reserve in June 2017 (“First Reserve Transaction”) and the Cachematrix Transaction, respectively, and contingent liability payments in connection with certain prior acquisitions. ( 3 ) Amounts include transfers out of Level 3 due to availability of observable market inputs from pricing vendors. (4 ) Earnings attributable to the change in unrealized gains (losses) relating to assets and liabilities still held at the reporting date. (5 ) Amounts include investments in CLOs. (6 ) Other liabilities amount includes contingent liabilities in connection with certain acquisitions. Realized and Unrealized Gains (Losses) for Level 3 Assets and Liabilities. Realized and unrealized gains (losses) recorded for Level 3 assets and liabilities are reported in nonoperating income (expense) on the condensed consolidated statements of income. A portion of net income (loss) for consolidated sponsored investment funds is allocated to noncontrolling interests to reflect net income (loss) not attributable to the Company. Transfers in and/or out of Levels. Transfers in and/or out of levels are reflected when significant inputs, including market inputs or performance attributes, used for the fair value measurement become observable/unobservable, or when the carrying value of certain equity method investments no longer represents fair value as determined under valuation methodologies. Disclosures of Fair Value for Financial Instruments Not Held at Fair Value . At September 30, 2018 and December 31, 2017, the fair value of the Company’s financial instruments not held at fair value are categorized in the table below: September 30, 2018 December 31, 2017 (in millions) Carrying Amount Estimated Fair Value Carrying Amount Estimated Fair Value Fair Value Hierarchy Financial Assets (1) Cash and cash equivalents $ 6,358 $ 6,358 $ 6,894 $ 6,894 Level 1 (2) (3) Cash and cash equivalents of consolidated VIEs 222 222 144 144 Level 1 (2) (3) Other assets 26 26 70 70 Level 1 (2) (4) Financial Liability: Long-term borrowings 4,991 5,033 5,014 5,225 Level 2 (5) (1) See Note 4, Investments (2) Cash and cash equivalents are carried at either cost or amortized cost, which approximates fair value due to their short-term maturities. ( 3 ) At September 30, 2018 and December 31, 2017, approximately $131 million and $163 million, respectively, of money market funds were recorded within cash and cash equivalents on the condensed consolidated statements of financial condition. In addition, at September 30, 2018 and December 31, 2017, approximately $12 million and $14 million, respectively, of money market funds were recorded within cash and cash equivalents of consolidated VIEs. Money market funds are valued based on quoted market prices, or $1.00 per share, which generally is the NAV of the fund. ( 4 ) Other assets primarily include restricted cash. ( 5 ) Long-term borrowings are recorded at amortized cost net of debt issuance costs. The fair value of the long-term borrowings, including the current portion of long-term borrowings, is estimated using market prices at the end of September 2018 and December 2017, respectively. See Note 11, Borrowings Investments in Certain Entities that Calculate Net Asset Value Per Share As a practical expedient to value certain investments that do not have a readily determinable fair value and have attributes of an investment company, the Company uses NAV as the fair value. The following tables list information regarding all investments that use a fair value measurement to account for both their financial assets and financial liabilities in their calculation of a NAV per share (or equivalent). September 30, 2018 (in millions) Ref Fair Value Total Unfunded Commitments Redemption Frequency Redemption Notice Period Equity method: (1) Hedge funds/funds of hedge funds (a) $ 176 $ 94 Daily/Monthly (31%) Quarterly (18%) N/R (51%) 1 – 90 days Private equity funds (b) 111 88 N/R N/R Real assets funds (c) 335 91 Quarterly (73%) N/R (27%) 60 days Other 14 17 Daily/Monthly (79%) N/R (21%) 3 – 5 days Consolidated VIEs: Private equity funds of funds (d) 49 18 N/R N/R Hedge fund (a) 3 — Quarterly 90 days Real assets funds (c) 54 45 N/R N/R Total $ 742 $ 353 December 31, 2017 (in millions) Ref Fair Value Total Unfunded Commitments Redemption Frequency Redemption Notice Period Equity method: (1) Hedge funds/funds of hedge funds (a) $ 230 $ 48 Daily/Monthly (21%) Quarterly (49%) N/R (30%) 1 – 90 days Private equity funds (b) 94 86 N/R N/R Real assets funds (c) 282 69 Quarterly (83%) N/R (17%) 60 days Other 15 14 Daily (80%) N/R (20%) 5 days Consolidated VIEs: Private equity funds of funds (d) 59 20 N/R N/R Hedge fund (a) 19 — Quarterly 90 days Real assets funds (c) 34 49 N/R N/R Total $ 733 $ 286 N/R – not redeemable (1) Comprised of equity method investments, which include investment companies, which account for their financial assets and most financial liabilities under fair value measures; therefore, the Company’s investment in such equity method investees approximates fair value. (a) This category includes hedge funds and funds of hedge funds that invest primarily in equities, fixed income securities, distressed credit, opportunistic and mortgage instruments and other third-party hedge funds. The fair values of the investments have been estimated using the NAV of the Company’s ownership interest in partners’ capital. The liquidation period for the investments in the funds that are not subject to redemption is unknown at both September 30, 2018 and December 31, 2017. (b) This category includes several private equity funds that initially invest in nonmarketable securities of private companies, which ultimately may become public in the future. The fair values of these investments have been estimated using capital accounts representing the Company’s ownership interest in the funds as well as other performance inputs. The Company’s investment in each fund is not subject to redemption and is normally returned through distributions as a result of the liquidation of the underlying assets of the private equity funds . The liquidation period for the investments in these funds is unknown at both September 30, 2018 and December 31, 2017. (c) This category includes several real assets funds that invest directly and indirectly in real estate or infrastructure. The fair values of the investments have been estimated using capital accounts representing the Company’s ownership interest in the funds. The Company’s investments that are not subject to redemption or are not currently redeemable are normally returned through distributions and realizations of the underlying assets of the funds . The liquidation periods for the investments in the funds that are not subject to redemptions is unknown at both September 30, 2018 and December 31, 2017. (d) funds. The liquidation period for the underlying assets of these funds is unknown at both September 30, 2018 and December 31, 2017. The total remaining Fair Value Option . As of September 30, 2018, the Company elected the fair value option for certain trading debt securities of approximately $28 million reported within investments. The following table summarizes information at September 30, 2018 related to assets and liabilities of a consolidated CLO, recorded within investments and borrowings of consolidated VIEs, respectively, for which the fair value option was elected: September 30, (in millions) 2018 CLO Bank loans: Aggregate principal amounts outstanding $ 53 Fair value 53 Aggregate unpaid principal balance in excess of (less than) fair value $ — CLO Borrowings: Aggregate principal amounts outstanding $ 43 Fair value $ 44 At September 30, 2018, the principal amounts outstanding of the borrowings issued by the CLOs mature in 2030. During the three and nine months ended September 30, 2018, the net gains (losses) from the change in fair value of the bank loans and borrowings held by the consolidated CLO were not material and were recorded in net gain (loss) on consolidated VIEs on the consolidated statements of income. The change in fair value of the assets and liabilities included interest income and expense, respectively. As of December 31, 2017, assets for which the fair value option was elected were not material to the condensed consolidated financial statements. |
Derivatives and Hedging
Derivatives and Hedging | 9 Months Ended |
Sep. 30, 2018 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Derivatives and Hedging | 8. Derivatives and Hedging The Company maintains a program to enter into swaps to hedge against market price and interest rate exposures with respect to certain seed investments in sponsored investment products. At September 30, 2018 and December 31, 2017, the Company had outstanding total return swaps with aggregate notional values of approximately $546 million and approximately $587 million, respectively. At both September 30, 2018 and December 31, 2017, the Company had a derivative providing credit protection of approximately $17 million to a counterparty, representing the Company’s maximum risk of loss with respect to the provision of credit protection. The Company carries the derivative at fair value based on the expected discounted future cash outflows under the arrangement. The fair values of the outstanding total return swaps and the credit default swap were not material to the condensed consolidated statement of financial condition at both September 30, 2018 and December 31, 2017. The Company executes forward foreign currency exchange contracts to mitigate the risk of certain foreign exchange movements. At September 30, 2018 and December 31, 2017, the Company had outstanding forward foreign currency exchange contracts with aggregate notional values of approximately $2.3 billion and $1.5 billion, respectively. The fair value of the outstanding forward foreign currency exchange contracts was not material to the condensed consolidated statement of financial condition The following table presents gains (losses) recognized in the condensed consolidated statements of income on derivative instruments: Three Months Ended Nine Months Ended September 30, September 30, (in millions) 2018 2017 2018 2017 Derivative Instruments Statement of Income Classification Gains (Losses) Gains (Losses) Total return swaps Nonoperating income (expense) $ (12 ) $ (26 ) $ (5 ) $ (90 ) Interest rate swaps Nonoperating income (expense) — — — (2 ) Forward foreign currency exchange contracts Other general and administration expense (27 ) 29 (90 ) 58 Total gain (loss) from derivative instruments $ (39 ) $ 3 $ (95 ) $ (34 ) The Company consolidates certain sponsored investment funds, which may utilize derivative instruments as a part of the funds’ investment strategies. The change in fair value of such derivatives, which is recorded in nonoperating income (expense), was not material for the three months and nine months ended September 30, 2018 and 2017. See Note 12, Borrowings |
Goodwill
Goodwill | 9 Months Ended |
Sep. 30, 2018 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill | 9. Goodwill Goodwill activity during the nine months ended September 30, 2018 was as follows: (in millions) December 31, 2017 $ 13,220 Acquisitions (1) 314 Goodwill adjustments related to Quellos (2) (8 ) September 30, 2018 $ 13,526 (1) Amount includes $184 million of goodwill related to the acquisition of Tennenbaum Capital Partners, LLC, a middle market credit and special situation credit opportunities manager, in August 2018 (“TCP Transaction”). The Company believes the acquisition will enhance its ability to provide clients with private credit solutions across a range of risk level, liquidity and geography. Total cash consideration paid at closing for the TCP Transaction was approximately $393 million. The amount also includes $130 million of goodwill related to the acquisition of the asset management business of Citibanamex, a subsidiary of Citigroup, Inc. in September 2018 (“Citibanamex Transaction”). The Company acquired AUM across local fixed income, equity and multi-asset products, enabling the Company to offer a full range of local and international investment solutions for clients in Mexico. Total consideration at closing for the Citibanamex Transaction was approximately $360 million, including contingent consideration. (2) The decrease in goodwill during the nine months ended September 30, 2018 resulted from a decline related to tax benefits realized from tax-deductible goodwill in excess of book goodwill from the acquisition of the fund-of-funds business of Quellos Group, LLC in October 2007 (the “Quellos Transaction”). Goodwill related to the Quellos Transaction will continue to be reduced in future periods by the amount of tax benefits realized from tax-deductible goodwill in excess of book goodwill from the Quellos Transaction. The balance of the Quellos tax-deductible goodwill in excess of book goodwill was approximately $145 million and $168 million at September 30, 2018 and December 31, 2017, respectively. |
Intangible Assets
Intangible Assets | 9 Months Ended |
Sep. 30, 2018 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Intangible Assets | 10. Intangible Assets The carrying amounts of identifiable intangible assets are summarized as follows: (in millions) Indefinite-lived Finite-lived Total December 31, 2017 $ 17,178 $ 211 $ 17,389 Amortization expense — (35 ) (35 ) Acquisitions (1) 400 100 500 September 30, 2018 $ 17,578 $ 276 $ 17,854 (1) Amount includes $145 million of indefinite-lived management contracts and $69 million of finite-lived assets with a weighted-average estimated life of approximately eight years related to the TCP Transaction, and $255 million of indefinite-lived management contracts and $31 million of finite-lived management contracts with a weighted-average estimated life of approximately eight years related to the Citibanamex Transaction. |
Borrowings
Borrowings | 9 Months Ended |
Sep. 30, 2018 | |
Debt Disclosure [Abstract] | |
Borrowings | 11. Borrowings Short-Term Borrowings 2018 Revolving Credit Facility. The Company’s credit facility has an aggregate commitment amount of $4.0 billion and was amended in April 2018 to extend the maturity date to March 2023 (the “2018 credit facility”). The 2018 credit facility permits the Company to request up to an additional $1.0 billion of borrowing capacity, subject to lender credit approval, increasing the overall size of the 2018 credit facility to an aggregate principal amount not to exceed $5.0 billion. Interest on borrowings outstanding accrues at a rate based on the applicable London Interbank Offered Rate plus a spread. The 2018 credit facility requires the Company not to exceed a maximum leverage ratio (ratio of net debt to earnings before interest, taxes, depreciation and amortization, where net debt equals total debt less unrestricted cash) of 3 to 1, which was satisfied with a ratio of less than 1 to 1 at September 30, 2018. The 2018 credit facility provides back-up liquidity to fund ongoing working capital for general corporate purposes and various investment opportunities. At September 30, 2018, the Company had no amount outstanding under the credit facility. Commercial Paper Program. The Company can issue unsecured commercial paper notes (the “CP Notes”) on a private-placement basis up to a maximum aggregate amount outstanding at any time of $4.0 billion. The commercial paper program is currently supported by the 2018 credit facility. At September 30, 2018, BlackRock had no CP Notes outstanding. Long-Term Borrowings The carrying value and fair value of long-term borrowings estimated using market prices and foreign exchange rates at September 30, 2018 included the following: (in millions) Maturity Amount Unamortized Discount and Debt Issuance Costs Carrying Value Fair Value 5.00% Notes due 2019 $ 1,000 $ — $ 1,000 $ 1,021 4.25% Notes due 2021 750 (1 ) 749 768 3.375% Notes due 2022 750 (4 ) 746 750 3.50% Notes due 2024 1,000 (5 ) 995 999 1.25% Notes due 2025 813 (5 ) 808 823 3.20% Notes due 2027 700 (7 ) 693 672 Total Long-term Borrowings $ 5,013 $ (22 ) $ 4,991 $ 5,033 See Note 12, Borrowings |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2018 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 12. Commitments and Contingencies Investment Commitments. At September 30, 2018, the Company had $348 million of various capital commitments to fund sponsored investment funds, including consolidated VIEs. These funds include private equity funds, real assets funds and opportunistic funds. This amount excludes additional commitments made by consolidated funds of funds to underlying third-party funds as third-party noncontrolling interest holders have the legal obligation to fund the respective commitments of such funds of funds. Generally, the timing of the funding of these commitments is unknown and the commitments are callable on demand at any time prior to the expiration of the commitment. These unfunded commitments are not recorded on the condensed consolidated statements of financial condition. These commitments do not include potential future commitments approved by the Company that are not yet legally binding. The Company intends to make additional capital commitments from time to time to fund additional investment products for, and with, its clients. Lease Commitment. In May 2017, the Company entered into an agreement with 50 HYMC Owner LLC, for the lease of approximately 847,000 square feet of office space located at 50 Hudson Yards, New York, New York. The term of the lease is twenty years from the date that rental payments begin, expected to occur in May 2023, with the option to renew for a specified term. The lease requires annual base rental payments of approximately $51 million per year during the first five years of the lease term, increasing every five years to $58 million, $66 million and $74 million per year (or approximately $1.2 billion in base rent over its twenty-year term). Contingencies Contingent Payments Related to Business Acquisitions . In connection with certain acquisitions, BlackRock is required to make contingent payments, subject to achieving specified performance targets, which may include revenue related to acquired contracts or new capital commitments for certain products. The fair value of the remaining aggregate contingent payments at September 30, 2018 totaled $259 million, and is included in other liabilities on the condensed consolidated statements of financial condition. Other Contingent Payments. The Company acts as the portfolio manager in a derivative transaction and has a maximum potential exposure of $17 million between the Company and counterparty. See Note 8, , for further discussion. Legal Proceedings. From time to time, BlackRock receives subpoenas or other requests for information from various U.S. federal, state governmental and regulatory authorities and international regulatory authorities in connection with industry-wide or other investigations or proceedings. It is BlackRock’s policy to cooperate fully with such inquiries. The Company and certain of its subsidiaries have been named as defendants in various legal actions, including arbitrations and other litigation arising in connection with BlackRock’s activities. Additionally, BlackRock-advised investment portfolios may be subject to lawsuits, any of which potentially could harm the investment returns of the applicable portfolio or result in the Company being liable to the portfolios for any resulting damages. On May 27, 2014, certain investors in the BlackRock Global Allocation Fund, Inc. and the BlackRock Equity Dividend Fund (collectively, the “Funds”) filed a consolidated complaint (the “Consolidated Complaint”) in the U.S. District Court for the District of New Jersey against BlackRock Advisors, LLC, BlackRock Investment Management, LLC and BlackRock International Limited under the caption In re BlackRock Mutual Funds Advisory Fee Litigation On June 16, 2016, iShares iShares iShares On April 5, 2017, BlackRock, Inc., BlackRock Institutional Trust Company, N.A. (“BTC”), the BlackRock, Inc. Retirement Committee and various sub-committees, and a BlackRock employee were named as defendants in a purported class action lawsuit brought in the U.S. District Court for the Northern District of California by a former employee on behalf of all participants and beneficiaries in the BlackRock employee 401(k) Plan (the “Plan”) from April 5, 2011 to the present. The lawsuit generally alleges that the defendants breached their duties towards Plan participants in violation of the Employee Retirement Income Security Act of 1974 by, among other things, offering investment options that were overly expensive, underperformed peer funds, focused disproportionately on active versus passive strategies, and were unduly concentrated in investment options managed by BlackRock. On October 18, 2017, the plaintiffs filed an Amended Complaint, which, among other things, added as defendants certain current and former members of the BlackRock Retirement and Investment Committees. The Amended Complaint also included a new purported class claim on behalf of investors in certain Collective Trust Funds (“CTFs”) managed by BTC. Specifically, the plaintiffs allege that BTC, as fiduciary to the CTFs, engaged in self-dealing by, most significantly, selecting itself as the securities lending agent on terms that plaintiffs claim were excessive. The Amended Complaint also alleged that BlackRock took undue risks in its management of securities lending cash reinvestment vehicles (“STIFs”) during the financial crisis. On August 23, 2018, the court granted permission to plaintiffs to file a Second Amended Complaint (“SAC”) which, most significantly, added as defendants the BlackRock, Inc. Management Development and Compensation Committee, the Plan’s independent investment consultant and the Plan’s Administrative Committee and its members. On October 22, 2018, BlackRock filed a motion to dismiss the SAC. The defendants believe the claims in this lawsuit are without merit and are vigorously defending the action. Management, after consultation with legal counsel, currently does not anticipate that the aggregate liability arising out of regulatory matters or lawsuits will have a material effect on BlackRock’s results of operations, financial position, or cash flows. However, there is no assurance as to whether any such pending or threatened matters will have a material effect on BlackRock’s results of operations, financial position or cash flows in any future reporting period. Due to uncertainties surrounding the outcome of these matters, management cannot reasonably estimate the possible loss or range of loss that may arise from these matters. Indemnifications. In the ordinary course of business or in connection with certain acquisition agreements, BlackRock enters into contracts pursuant to which it may agree to indemnify third parties in certain circumstances. The terms of these indemnities vary from contract to contract and the amount of indemnification liability, if any, cannot be determined or the likelihood of any liability is considered remote. Consequently, no liability has been recorded on the condensed consolidated statements of financial condition. In connection with securities lending transactions, BlackRock has issued certain indemnifications to certain securities lending clients against potential loss resulting from a borrower’s failure to fulfill its obligations under the securities lending agreement should the value of the collateral pledged by the borrower at the time of default be insufficient to cover the borrower’s obligation under the securities lending agreement. At September 30, 2018, the Company indemnified certain of its clients for their securities lending loan balances of approximately $211 billion. The Company held, as agent, cash and securities totaling $225 billion as collateral for indemnified securities on loan at September 30, 2018. The fair value of these indemnifications was not material at September 30, 2018. |
Revenue
Revenue | 9 Months Ended |
Sep. 30, 2018 | |
Revenue From Contract With Customer [Abstract] | |
Revenue | 13. Revenue The table below presents the Company’s revenue for the three and nine months ended September 30, 2018 and 2017, respectively, and disaggregates investment advisory, administration fees and securities lending revenue by product type and investment style. See Note 2, Significant Accounting Policies Three Months Ended Nine Months Ended September 30, September 30, (in millions) 2018 2017 2018 2017 Investment advisory, administration fees and securities lending revenue: Equity: Active $ 405 $ 418 $ 1,269 $ 1,229 iShares ETFs 885 835 2,722 2,332 Non-ETF Index 169 168 532 503 Equity subtotal 1,459 1,421 4,523 4,064 Fixed income: Active 460 437 1,374 1,268 iShares ETFs 205 210 620 595 Non-ETF Index 98 88 292 257 Fixed income subtotal 763 735 2,286 2,120 Multi-asset 298 289 889 843 Alternatives: Core 185 169 539 469 Currency and commodities 24 23 75 67 Alternatives subtotal 209 192 614 536 Long-term 2,729 2,637 8,312 7,563 Cash management 154 144 462 408 Total base fees 2,883 2,781 8,774 7,971 Investment advisory performance fees: Equity 7 30 68 57 Fixed income — 9 2 20 Multi-asset 1 2 15 14 Alternatives 143 150 227 218 Total performance fees 151 191 312 309 Technology services revenue 200 169 582 481 Distribution fees: Retrocessions 168 175 541 490 12b-1 fees (U.S. mutual funds distribution fees) 102 113 313 356 Other 9 10 30 31 Total distribution fees 279 298 884 877 Advisory and other revenue: Advisory 26 25 80 74 Other 37 44 132 124 Total advisory and other revenue 63 69 212 198 Total revenue $ 3,576 $ 3,508 $ 10,764 $ 9,836 The table below presents the investment advisory, administration fees and securities lending revenue by client type, investment style and product type, respectively: Three Months Ended Nine Months Ended September 30, September 30, (in millions) 2018 2017 2018 2017 By client type: Retail $ 860 $ 827 $ 2,573 $ 2,410 iShares ETFs 1,113 1,067 3,414 2,990 Institutional: Active 504 495 1,542 1,429 Index 252 248 783 734 Total institutional 756 743 2,325 2,163 Long-term 2,729 2,637 8,312 7,563 Cash management 154 144 462 408 Total $ 2,883 $ 2,781 $ 8,774 $ 7,971 By investment style: Active $ 1,346 $ 1,309 $ 4,063 $ 3,796 Index and iShares 1,383 1,328 4,249 3,767 Long-term 2,729 2,637 8,312 7,563 Cash management 154 144 462 408 Total $ 2,883 $ 2,781 $ 8,774 $ 7,971 By product type: Equity $ 1,459 $ 1,420 $ 4,523 $ 4,064 Fixed income 763 736 2,286 2,120 Multi-asset 298 289 889 843 Alternatives 209 192 614 536 Long-term 2,729 2,637 8,312 7,563 Cash management 154 144 462 408 Total $ 2,883 $ 2,781 $ 8,774 $ 7,971 Investment advisory and administration fees The table below presents estimated investment advisory and administration fees expected to be recognized in the future related to the unsatisfied portion of the performance obligations at September 30, 2018: Remainder of (in millions) 2018 2019 2020 2021 Thereafter Total Investment advisory and administration fees: Alternatives (1)(2) $ 21 $ 74 $ 63 $ 49 $ 46 $ 253 (1) Investment advisory and administration fees include management fees related to certain alternative products, which are based on contractual committed capital outstanding at September 30, 2018. Actual management fees could be higher to the extent additional committed capital is raised. These fees are generally billed on a quarterly basis in arrears. (2) The Company elected the following practical expedients and therefore does not include amounts related to (1) performance obligations with an original duration of one year or less, (2) variable consideration related to future service periods, and (3) the comparative prior period as of September 30, 2017. Investment advisory performance fees / Carried interest The table below presents changes in the deferred carried interest liability (including the portion related to consolidated VIEs) for the three and nine months ended September 30, 2018 and 2017: Three Months Ended Nine Months Ended September 30, September 30, (in millions) 2018 2017 2018 2017 Beginning balance $ 242 $ 169 $ 219 $ 152 Net increase (decrease) in unrealized allocations 17 23 44 54 Performance fee revenue recognized that was included in the beginning balance (2 ) — (6 ) (14 ) Ending balance $ 257 $ 192 $ 257 $ 192 Technology services revenue The table below presents estimated technology services revenue expected to be recognized in the future related to the unsatisfied portion of the performance obligations at September 30, 2018: Remainder of (in millions) 2018 2019 2020 2021 Thereafter Total Technology services revenue (1)(2) $ 8 $ 27 $ 23 $ 18 $ 15 $ 91 (1) Technology services revenue primarily includes upfront payments from customers, which the Company generally recognizes as services are performed. (2) The Company elected the following practical expedients and therefore does not include amounts related to (1) performance obligations with an original duration of one year or less, (2) variable consideration related to future service periods, and (3) the comparative prior period as of September 30, 2017. In addition to amounts disclosed in the table above, certain technology services contracts require fixed minimum fees, which are billed on a monthly or quarterly basis in arrears. The Company recognizes such revenue as services are performed. As of September 30, 2018, the estimated fixed minimum fees for the remainder of 2018 for currently outstanding contracts approximated $133 million. The term for these contracts, which are either in their initial or renewal period, ranges from one to five years. The table below presents changes in the technology services deferred revenue liability for the three and nine months ended September 30, 2018 and 2017, which is included in other liabilities on the condensed consolidated statements of financial condition: Three Months Ended Nine Months Ended September 30, September 30, (in millions) 2018 2017 2018 2017 Beginning balance $ 64 $ 52 $ 62 $ 42 Additions 11 13 31 33 Revenue recognized that was included in the beginning balance (10 ) (7 ) (28 ) (17 ) Ending balance $ 65 $ 58 $ 65 $ 58 |
Stock-Based Compensation
Stock-Based Compensation | 9 Months Ended |
Sep. 30, 2018 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock-Based Compensation | 14. Stock-Based Compensation Restricted Stock and RSUs. Restricted stock and restricted stock units (“RSUs”) activity for the nine months ended September 30, 2018 is summarized below. Outstanding at Restricted Stock and RSUs Weighted- Average Grant Date Fair Value December 31, 2017 2,608,668 $ 342.79 Granted 830,424 $ 560.16 Converted (1,247,109 ) $ 338.06 Forfeited (49,678 ) $ 421.08 September 30, 2018 (1) 2,142,305 $ 428.08 (1) At September 30, 2018, approximately 2.0 million awards are expected to vest and 0.2 million awards have vested but have not been converted. In January 2018, the Company granted 527,337 RSUs or shares of restricted stock to employees as part of 2017 annual incentive compensation that vest ratably over three years from the date of grant and 209,201 RSUs or shares of restricted stock to employees that cliff vest 100% on January 31, 2021. The Company values restricted stock and RSUs at their grant-date fair value as measured by BlackRock’s common stock price. The total fair market value of RSUs/restricted stock granted to employees during the nine months ended September 30, 2018 was $465 million. At September 30, 2018, the intrinsic value of outstanding RSUs was $1.0 billion, reflecting a closing stock price of $471.33. At September 30, 2018, total unrecognized stock-based compensation expense related to unvested RSUs was $410 million. The unrecognized compensation cost is expected to be recognized over the remaining weighted-average period of 1.1 years. Performance-Based RSUs. Performance-based RSU activity for the nine months ended September 30, 2018 is summarized below. Outstanding at Performance- Based RSUs Weighted- Average Grant Date Fair Value December 31, 2017 903,525 $ 335.12 Granted 199,068 $ 566.44 Additional shares granted due to attainment of performance measures 23,376 $ 343.86 Converted (269,648 ) $ 343.86 Forfeited (11,036 ) $ 405.47 September 30, 2018 845,285 $ 386.13 In January 2018, the Company granted 199,068 performance-based RSUs to certain employees that cliff vest 100% on January 31, 2021. These awards are amortized over a service period of three years. The number of shares distributed at vesting could be higher or lower than the original grant based on the level of attainment of predetermined Company performance measures. In January 2018, the Company granted 23,376 additional RSUs to certain employees based on the attainment of Company performance measures during the performance period. The Company initially values performance-based RSUs at their grant-date fair value as measured by BlackRock’s common stock price. The total grant-date fair market value of performance-based RSUs granted to employees during the nine months ended September 30, 2018 was $121 million. At September 30, 2018, the intrinsic value of outstanding performance-based RSUs was $398 million, reflecting a closing stock price of $471.33. At September 30, 2018, total unrecognized stock-based compensation expense related to unvested performance-based awards was $140 million. The unrecognized compensation cost is expected to be recognized over the remaining weighted-average period of 1.2 years. See Note 14, Stock-Based Compensation, Market Performance-based RSUs. Market performance-based RSUs activity for the nine months ended September 30, 2018 is summarized below. Outstanding at Market Performance- Based RSUs Weighted- Average Grant Date Fair Value December 31, 2017 286,336 $ 195.33 Converted (286,336 ) $ 195.33 September 30, 2018 — $ — See Note 14, Stock-Based Compensation, Long-Term Incentive Plans Funded by PNC. Under a share surrender agreement, PNC committed to provide up to 4 million shares of BlackRock stock, held by PNC, to fund certain BlackRock long-term incentive plans (“LTIP”), including performance-based and market performance-based RSUs. The current share surrender agreement commits PNC to provide BlackRock Series C nonvoting participating preferred stock to fund the remaining committed shares. As of September 30, 2018, 3.9 million shares had been surrendered by PNC, including 103,064 shares in the first quarter of 2018. At September 30, 2018, the available remaining shares committed by PNC were 0.1 million. Performance-based Stock Options. Stock option activity for the nine months ended September 30, 2018 is summarized below. Outstanding at Shares Under Option Weighted Average Exercise Price December 31, 2017 2,147,562 $ 513.50 Forfeited (41,080 ) $ 513.50 September 30, 2018 2,106,482 $ 513.50 At September 30, 2018, total unrecognized stock-based compensation expense related to unvested performance-based stock options was $174 million. The unrecognized compensation cost is expected to be recognized over the remaining weighted-average period of 5.2 years. See Note 14, Stock-Based Compensation, |
Net Capital Requirements
Net Capital Requirements | 9 Months Ended |
Sep. 30, 2018 | |
Regulatory Capital Requirements [Abstract] | |
Net Capital Requirements | 15. Net Capital Requirements The Company is required to maintain net capital in certain regulated subsidiaries within a number of jurisdictions, which is partially maintained by retaining cash and cash equivalent investments in those subsidiaries or jurisdictions. As a result, such subsidiaries of the Company may be restricted in their ability to transfer cash between different jurisdictions and to their parents. Additionally, transfers of cash between international jurisdictions may have adverse tax consequences that could discourage such transfers. At September 30, 2018, the Company was required to maintain approximately $1.8 billion in net capital in certain regulated subsidiaries, including BlackRock Institutional Trust Company, N.A. (a wholly owned subsidiary of the Company that is chartered as a national bank whose powers are limited to trust and other fiduciary activities and which is subject to regulatory capital requirements administered by the Office of the Comptroller of the Currency), entities regulated by the Financial Conduct Authority and Prudential Regulation Authority in the United Kingdom, and the Company’s broker-dealers. The Company was in compliance with all applicable regulatory net capital requirements. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 9 Months Ended |
Sep. 30, 2018 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | 16. Accumulated Other Comprehensive Income (Loss) The following tables present changes in accumulated other comprehensive income (loss) by component for the three and nine months ended September 30, 2018 and 2017: (in millions) Foreign currency translation adjustments (1) Other (2) Total For the Three Months Ended September 30, 2018 June 30, 2018 $ (577 ) $ 2 $ (575 ) Net other comprehensive income (loss) for the three months ended September 30, 2018 (41 ) — (41 ) September 30, 2018 $ (618 ) $ 2 $ (616 ) For the Nine Months Ended September 30, 2018 December 31, 2017 $ (436 ) $ 4 $ (432 ) Net other comprehensive income (loss) for the nine months ended September 30, 2018 (176 ) (2 ) (178 ) Reclassification as a result of adoption of ASU 2018-02 (6 ) — (6 ) September 30, 2018 $ (618 ) $ 2 $ (616 ) (1) Amounts for the three and nine months ended September 30, 2018 include gains from a net investment hedge of $4 million (net of a tax expense of $1 million) and $22 million (net of a tax expense of $7 million), respectively. (2) (in millions) Foreign currency translation adjustments (1) Other (2) Total For the Three Months Ended September 30, 2017 June 30, 2017 $ (579 ) $ 4 $ (575 ) Net other comprehensive income (loss) for the three months ended September 30, 2017 102 — 102 September 30, 2017 $ (477 ) $ 4 $ (473 ) For the Nine Months Ended September 30, 2017 December 31, 2016 $ (721 ) $ 5 $ (716 ) Net other comprehensive income (loss) for the nine months ended September 30, 2017 244 (1 ) 243 September 30, 2017 $ (477 ) $ 4 $ (473 ) ( 1) (2) |
Capital Stock
Capital Stock | 9 Months Ended |
Sep. 30, 2018 | |
Equity [Abstract] | |
Capital Stock | 17. Capital Stock Nonvoting Participating Preferred Stock . The Company’s preferred shares authorized, issued and outstanding consisted of the following: September 30, December 31, 2018 2017 Series A Shares authorized, $0.01 par value 20,000,000 20,000,000 Shares issued and outstanding — — Series B Shares authorized, $0.01 par value 150,000,000 150,000,000 Shares issued and outstanding (1) 823,188 823,188 Series C Shares authorized, $0.01 par value 6,000,000 6,000,000 Shares issued and outstanding (1) 143,458 246,522 Series D Shares authorized, $0.01 par value 20,000,000 20,000,000 Shares issued and outstanding — — (1) Shares held by PNC. Share Repurchases . The Company repurchased 2.2 million common shares in open market transactions under the share repurchase program for approximately $1,135 million during the nine months ended September 30, 2018. At September 30, 2018, there were 4.2 million shares still authorized to be repurchased. PNC Capital Contribution . During the three months ended March 31, 2018, PNC surrendered to BlackRock 103,064 shares of BlackRock Series C Preferred to fund certain LTIP awards. |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 18. Income Taxes On December 22, 2017, The Tax Cuts and Jobs Act (the “2017 Tax Act”) was enacted. The 2017 Tax Act significantly revises the U.S. tax code, including, but not limited to, (1) reducing the U.S. federal corporate tax rate from 35 percent to 21 percent, (2) requiring companies to pay a one-time tax on certain unrepatriated earnings of foreign subsidiaries, (3) generally eliminating U.S. federal income taxes on dividends from foreign subsidiaries, (4) creating new taxes on certain earnings of controlled foreign corporations, and (5) creating a new limitation on deductible net interest expense. BlackRock’s results in 2017 included a $1.2 billion net tax benefit related to the 2017 Tax Act. The Company has not made any additional measurement-period adjustments during the nine months ended September 30, 2018. The Company may record adjustments to the provisional amounts during the measurement period as additional guidance from the U.S. Department of the Treasury is provided, as changes in the Company’s assumptions occur, and as further information and interpretations become available. For further information on the 2017 Tax Act, see Note 21, Income Taxes The three and nine months ended September 30, 2018 income tax expense reflected a reduced tax rate associated with the 2017 Tax Act and $90 million of discrete tax benefits, primarily related to changes in the Company’s organizational entity structure. The nine months ended September 30, 2018 income tax expense also included a discrete tax benefit of $58 million related to stock-based compensation awards that vested in 2018. The three and nine months ended September 30, 2017 income tax expense included net noncash expense of $19 million related to the revaluation of certain deferred income tax liabilities as a result of domestic state and local tax changes. The nine months ended September 30, 2017 income tax expense also included a discrete tax benefit of $84 million related to stock-based compensation awards that vested in 2017. |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Sep. 30, 2018 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | 19. Earnings Per Share Due to the similarities in terms between BlackRock nonvoting participating preferred stock and the Company’s common stock, the Company considers its participating preferred stock to be a common stock equivalent for purposes of earnings per share (“EPS”) calculations. As such, the Company has included the outstanding nonvoting participating preferred stock in the calculation of average basic and diluted shares outstanding. The following table sets forth the computation of basic and diluted EPS for the three and nine months ended September 30, 2018 and 2017 under the treasury stock method: Three Months Ended Nine Months Ended September 30, September 30, (in millions, except shares and per share data) 2018 2017 2018 2017 Net income attributable to BlackRock $ 1,216 $ 944 $ 3,378 $ 2,657 Basic weighted-average shares outstanding 160,141,506 161,872,716 160,786,768 162,459,737 Dilutive effect of nonparticipating RSUs and stock options 1,236,711 1,900,830 1,354,111 1,829,305 Total diluted weighted-average shares outstanding 161,378,217 163,773,546 162,140,879 164,289,042 Basic earnings per share $ 7.59 $ 5.83 $ 21.01 $ 16.35 Diluted earnings per share $ 7.54 $ 5.76 $ 20.83 $ 16.17 |
Segment Information
Segment Information | 9 Months Ended |
Sep. 30, 2018 | |
Segment Reporting [Abstract] | |
Segment Information | 20. Segment Information The Company’s management directs BlackRock’s operations as one business, the asset management business. The Company utilizes a consolidated approach to assess performance and allocate resources. As such, the Company operates in one business segment. The following table illustrates total revenue for the three and nine months ended September 30, 2018 and 2017 by geographic region. These amounts are aggregated on a legal entity basis and do not necessarily reflect where the customer resides or affiliated services are provided. Three Months Ended Nine Months Ended (in millions) September 30, September 30, Revenue 2018 2017 2018 2017 Americas $ 2,328 $ 2,219 $ 6,989 $ 6,378 Europe 1,083 1,121 3,258 2,992 Asia-Pacific 165 168 517 466 Total revenue $ 3,576 $ 3,508 $ 10,764 $ 9,836 See Note 13, Revenue The following table illustrates long-lived assets that consist of goodwill and property and equipment at September 30, 2018 and December 31, 2017 by geographic region. These amounts are aggregated on a legal entity basis and do not necessarily reflect where the asset is physically located. (in millions) September 30, December 31, Long-lived Assets 2018 2017 Americas $ 13,737 $ 13,560 Europe 295 168 Asia-Pacific 82 84 Total long-lived assets $ 14,114 $ 13,812 Americas is primarily comprised of the United States and Canada, while Europe is primarily comprised of United Kingdom and Luxembourg. Asia-Pacific is primarily comprised of Hong Kong, Australia, Japan and Singapore. |
Subsequent Events
Subsequent Events | 9 Months Ended |
Sep. 30, 2018 | |
Subsequent Events [Abstract] | |
Subsequent Events | 21. Subsequent Events The Company conducted a review for subsequent events and determined that no subsequent events had occurred that would require accrual or additional disclosures. |
Significant Accounting Polici_2
Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2018 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation These condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) and include the accounts of the Company and its controlled subsidiaries. Noncontrolling interests on the condensed consolidated statements of financial condition represents the portion of consolidated sponsored investment funds in which the Company does not have direct equity ownership. Accounts and transactions between consolidated entities have been eliminated. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expense during the reporting periods. Actual results could differ from those estimates. Certain financial information that normally is included in annual financial statements, including certain financial statement footnotes, is not required for interim reporting purposes and has been condensed or omitted herein. These condensed consolidated financial statements should be read in conjunction with the Company’s consolidated financial statements and notes related thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2017, which was filed with the Securities and Exchange Commission (“SEC”) on February 28, 2018 (“2017 Form 10-K”). The interim financial information at September 30, 2018 and for the three and nine months ended September 30, 2018 and 2017 is unaudited. However, in the opinion of management, the interim information includes all normal recurring adjustments necessary for the fair presentation of the Company’s results for the periods presented. The results of operations for interim periods are not necessarily indicative of results to be expected for the full year. Certain prior period presentations and disclosures, while not required to be recast, were reclassified to ensure comparability with current period classifications. |
Accounting Pronouncements Adopted in the Nine Months Ended September 30, 2018 | Accounting Pronouncements Adopted in the Nine Months Ended September 30, 2018 Revenue from Contracts with Customers. The Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2 014-09, , and several amendments (collectively, “ASU 2014-09”). ASU 2014-09 outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes most previous revenue recognition guidance, including industry-specific guidance. The guidance also changes the accounting for certain contract costs and revises the criteria for determining if an entity is acting as a principal or agent in certain arrangements. The Company adopted ASU 2014-09 effective January 1, 2018 on a full retrospective basis, which required the Company to recast 2016 and 2017 previously reported amounts. The most significant impact to the Company relates to the presentation of certain distribution costs, which were previously presented net against revenue (contra-revenue) and are now presented as an expense on a gross basis. Revenue recognition related to investment advisory, administration fees and securities lending revenue as well as performance fees remained unchanged, which represents a substantial portion of the Company’s revenue. However, under ASU 2014-09, the Company may recognize certain performance fees, including carried interest, earlier than under the prior revenue recognition guidance. The impact to the condensed consolidated statement of financial condition upon adoption was related to a change in timing of recognition for certain technology services revenue and related costs that resulted in an increase to other assets and other liabilities of $19 million and $25 million, respectively. The cumulative adjustment to retained earnings as of January 1, 2016 was a net decrease of $6 million. The following table presents the impact of the adoption to the condensed consolidated statements of income for the three and nine months ended September 30, 2017. Three Months Ended Nine Months Ended September 30, 2017 September 30, 2017 (in millions, except shares and per share data) Previously Reported Adoption of the New Revenue Standard Adjustment Recast Previously Reported Adoption of the New Revenue Standard Adjustment Recast Total revenue $ 3,233 $ 275 $ 3,508 $ 9,022 $ 814 $ 9,836 Total expense 1,839 280 2,119 5,239 828 6,067 Operating income $ 1,394 $ (5 ) $ 1,389 $ 3,783 $ (14 ) $ 3,769 Income tax expense $ 445 $ (2 ) $ 443 $ 1,090 $ (5 ) $ 1,085 Net income $ 959 $ (3 ) $ 956 $ 2,697 $ (9 ) $ 2,688 Net income attributable to BlackRock, Inc. $ 947 $ (3 ) $ 944 $ 2,666 $ (9 ) $ 2,657 Earnings per share attributable to BlackRock, Inc. common stockholders: Basic $ 5.85 $ (0.02 ) $ 5.83 $ 16.41 $ (0.06 ) $ 16.35 Diluted $ 5.78 $ (0.02 ) $ 5.76 $ 16.23 $ (0.06 ) $ 16.17 Recognition and Measurement of Financial Instruments . In January 2016, the FASB issued ASU 2016-01, (“ASU 2016-01”). ASU 2016-01 amends guidance on the classification and measurement of financial instruments, including requiring an entity to measure substantially all equity securities (other than those accounted for under the equity method of accounting) at fair value through earnings. ASU 2016-01 also amends certain disclosures associated with the fair value of financial instruments. The Company adopted ASU 2016-01 using a modified retrospective approach on January 1, 2018. The reclassification of unrealized gains (losses) on equity securities within accumulated other comprehensive income (“AOCI”) to retained earnings was not material upon adoption. Cash Flow Classification. In August 2016, the FASB issued ASU 2016-15, Classification of Certain Cash Receipts and Cash Payments (“ASU 2016-15”), which amends and clarifies the current guidance to reduce diversity in practice of the classification of certain cash receipts and payments in the consolidated statement of cash flows. The Company adopted ASU 2016-15 on January 1, 2018 retrospectively to all periods presented . The adoption of ASU 2016-15 did not have a material impact on the condensed consolidated statements of cash flows. Restricted Cash. In November 2016, the FASB issued 2016-18, (“ASU 2016-18”), which clarifies the classification and presentation of restricted cash in the statement of cash flows. The Company adopted ASU 2016-18 on January 1, 2018 retrospectively to all periods presented. The adoption of ASU 2016-18 did not have a material impact on the condensed consolidated statements of cash flows. See Note 3, , for additional disclosures related to restricted cash. Reclassifications from Accumulated Other Comprehensive Income. In February 2018, the FASB issued ASU 2018-02, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income (“ASU 2018-02”). ASU 2018-02 allows reclassification from AOCI to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act. The Company adopted ASU 2018-02 prospectively on January 1, 2018. The adoption of ASU 2018-02 did not have a material impact on the condensed consolidated statement of financial condition. Fair Value Disclosure Requirements. In August 2018, the FASB issued ASU 2018-13, (“ASU 2018-13”), which adds, modifies and removes certain disclosure requirements for fair value measurements. The Company early adopted the provisions of ASU 2018-13 that remove and modify disclosure requirements effective July 1, 2018, which included the removal of the estimated liquidation periods for investments measured at net asset value on a retrospective basis and removal of the valuation processes discussion for Level 3 fair value measurements. The additional disclosure requirements under ASU 2018-13 are required to be applied prospectively and are effective for the Company on January 1, 2020. The Company does not expect the additional disclosure requirements to have a material impact on its consolidated financial statements. |
Revenue Recognition | Revenue Recognition Revenue is recognized upon transfer of control of promised services to customers in an amount to which the Company expects to be entitled in exchange for those services. The Company enters into contracts that can include multiple services, which are accounted for separately if they are determined to be distinct. Consideration for the Company’s services is generally in the form of variable consideration because the amount of fees is subject to market conditions that are outside of the Company’s influence. The Company includes variable consideration in revenue when it is no longer probable of significant reversal, i.e. when the associated uncertainty is resolved. For some contracts with customers, the Company has discretion to involve a third party in providing services to the customer. Generally, the Company is deemed to be the principal in these arrangements because the Company controls the promised services before they are transferred to customers, and accordingly presents the revenue gross of related costs. Investment Advisory, Administration Fees and Securities Lending Revenue. Investment advisory and administration fees are recognized as the services are performed over time and are primarily based on agreed-upon percentages of assets under management (“AUM”). Such fees are affected by changes in AUM, including market appreciation or depreciation, foreign exchange translation and net inflows or outflows. Investment advisory and administration fees for investment funds are shown net of fee waivers. In addition, the Company may contract with third parties to provide sub-advisory services on its behalf. The Company presents the investment advisory fees and associated costs to such third-party advisors on a gross basis where it is deemed to be the principal and on a net basis where it is deemed to be the agent. Management judgment involved in making these assessments is focused on ascertaining whether the Company is primarily responsible for fulfilling the promised service. The Company earns revenue by lending securities on behalf of clients, primarily to highly rated banks and broker-dealers. Revenue is recognized over time as services are performed. Generally, the securities lending fees are shared between the Company and the funds or other third-party accounts managed by the Company from which the securities are borrowed. Investment Advisory Performance Fees / Carried Interest. The Company receives investment advisory performance fees, including incentive allocations (carried interest) from certain actively managed investment funds and certain separately managed accounts. These performance fees are dependent upon exceeding specified relative or absolute investment return thresholds, which may vary by product or account, and include monthly, quarterly, annual or longer measurement periods. The Company is allocated carried interest from certain alternative investment products upon exceeding performance thresholds. The Company may be required to reverse/return all, or part, of such carried interest allocations/distributions depending upon future performance of these funds. Therefore, carried interest subject to such clawback provisions is recorded in investments/investments of consolidated variable interest entities (“VIEs”) or cash/cash of consolidated VIEs to the extent that it is distributed, on its condensed consolidated statements of financial condition. Performance fees, including carried interest, are recognized when it is determined that they are no longer probable of significant reversal (such as upon the sale of a fund’s investment or when the amount of AUM becomes known as of the end of a specified measurement period). Given the unique nature of each fee arrangement, contracts with customers are evaluated on an individual basis to determine the timing of revenue recognition. Significant judgement is involved in making such determination. Performance fees typically arise from investment management services that began in prior reporting periods. Consequently, a portion of the fees the Company recognizes may be partially related to the services performed in prior periods that meet the recognition criteria in the current period. At each reporting date, the Company considers various factors in estimating performance fees to be recognized, including carried interest. These factors include but are not limited to whether: (1) the fees are dependent on the market and thus are highly susceptible to factors outside the Company’s influence; (2) the fees have a large number and a broad range of possible amounts; and (3) the funds or separately managed accounts have the ability to invest or reinvest their sales proceeds. The Company records a liability for deferred carried interest to the extent it receives cash or capital allocations related to carried interest prior to meeting the revenue recognition criteria. A portion of the deferred carried interest may also be paid to certain employees. The ultimate timing of the recognition of performance fee revenue and related compensation expense, if any, for these products is unknown. Technology services revenue. The Company offers investment management technology systems, risk management services, wealth management and digital distribution tools on a fee basis. Clients include banks, insurance companies, official institutions, pension funds, asset managers, retail distributors and other investors. Fees earned for technology services revenue are recorded as services are performed over time and are generally determined using the value of positions on the Aladdin platform or on a fixed-rate basis. Distribution Fees. The Company accounts for fund distribution services and shareholder servicing as distinct services, separate from fund management services, because customers can benefit from each of the services on their own and because the services are separately identifiable (that is, the nature of the promised services is to transfer each service individually). The Company records upfront and ongoing sales commissions as distribution fee revenue for serving as the principal underwriter and/or distributor for certain managed mutual funds. Fund distribution services are satisfied at the point in time when an investor makes an investment in a share class of the managed mutual funds. Accordingly, the Company recognizes the upfront fees for front-end load funds on a trade date basis when the services are performed and the amount is known. However, the on-going distribution fees (e.g., 12b-1 fees) from the back-end load funds are based on net asset values over the investment period and are recognized when the amount is known. Consequently, a portion of the on-going distribution fees the Company recognized may be related to the services performed in prior periods that meet the recognition criteria in the current period. Generally, retail products offered outside of the United States do not generate a separate distribution fee as the quoted management fee rate is inclusive of these services. The Company recognizes ongoing shareholder servicing fee revenue as shareholder services are performed over time. On-going distribution fees are largely passed through as a distribution expense to third-party distributors who distribute the funds. The Company contracts with third parties for various fund distribution services and shareholder servicing of certain funds to be performed on its behalf. These arrangements are generally priced as a portion of the fee paid to the Company by the fund or as an agreed-upon percentage of net asset value. The Company presents its distribution fees and distribution and servicing costs incurred on a gross basis in the condensed consolidated statements of income because it has primary responsibility for fulfilling the promise to provide the specified services. Advisory and other revenue. Advisory and other revenue primarily includes fees earned for advisory services, fees earned for transition management services primarily comprised of commissions recognized in connection with buying and selling securities on behalf of customers, and equity method investment earnings related to certain strategic investments. Advisory services fees are determined using fixed-rate fees and are recognized over time as the related services are performed. Commissions related to transition management services are recorded on a trade-date basis as securities transactions occur. |
Investments | Investments Investments in Debt Securities. The Company classifies debt investments as available-for-sale, held-to-maturity or trading based on the Company’s intent to sell the security or, its intent and ability to hold the debt security to maturity. Available-for-sale debt securities are those securities that are not classified as trading or held-to-maturity. Available-for-sale debt securities include certain investments in collateralized loan obligations (“CLOs”) and are carried at fair value on the condensed consolidated statements of financial condition with changes in fair value recorded in AOCI within stockholders’ equity in the period of the change. Upon the disposition of an available-for-sale security, the Company reclassifies the gain or loss on the security from AOCI to nonoperating income (expense) on the condensed consolidated statements of income. Held-to-maturity debt securities are purchased with the positive intent and ability to be held to maturity and are recorded at amortized cost on the condensed consolidated statements of financial condition. Trading securities are those investments that are purchased principally for the purpose of selling them in the near term. Trading securities are carried at fair value on the condensed consolidated statements of financial condition with changes in fair value recorded in nonoperating income (expense) on the condensed consolidated statements of income. Trading securities include certain investments in CLOs for which the fair value option is elected in order to reduce operational complexity of bifurcating embedded derivatives. Investments in Equity Securities. Equity securities are generally carried at fair value on the condensed consolidated statements of financial condition with changes in the fair value recorded through net income (“FVTNI”) within nonoperating income (expense). For nonmarketable equity securities, the Company generally elects to apply the practicality exception to apply fair value measurement, under which such securities will be measured at cost, less impairment, plus or minus observable price changes for identical or similar securities of the same issuer with such changes recorded in the condensed consolidated statements of income. Dividends received are recorded as dividend income within nonoperating income (expense). Equity Method. For equity investments where the Company does not control the investee, and where it is not the primary beneficiary (“PB”) of a VIE, but can exert significant influence over the financial and operating policies of the investee, the Company follows the equity method of accounting. The Company’s share of the investee’s underlying net income or loss is recorded as net gain (loss) on investments within nonoperating income (expense) and as other revenue for certain strategic investments since such companies are considered to be an extension of the Company’s core business. The Company’s share of net income of the investee is recorded based upon the most current information available at the time, which may precede the date of the condensed consolidated statement of financial condition. Distributions received reduce the Company’s carrying value of the investee and the cost basis if deemed to be a return of capital. Impairments of Investments. Management periodically assesses equity method, available-for-sale and held-to-maturity investments for other-than-temporary impairment (“OTTI”). If an OTTI exists, an impairment charge would be recorded for the excess of the carrying amount of the investment over its estimated fair value in the condensed consolidated statements of income. For equity method investments and held-to-maturity investments, if circumstances indicate that an OTTI may exist, the investments are evaluated using market values, where available, or the expected future cash flows of the investment. For the Company’s investments in CLOs, the Company reviews cash flow estimates over the life of each CLO investment. On a quarterly basis, if the present value of the estimated future cash flows is lower than the carrying value of the investment and there is an adverse change in estimated cash flows, an impairment is considered to be other-than-temporary. In addition, for nonmarketable equity securities that are accounted for under the measurement alternative to fair value, the Company applies the impairment model that does not require the Company to consider whether the impairment is other-than-temporary. |
Fair Value Measurements | Fair Value Measurements Hierarchy of Fair Value Inputs . The Company uses a fair value hierarchy that prioritizes inputs to valuation approaches used to measure fair value. The fair value hierarchy gives the highest priority to quoted prices (unadjusted) in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. Assets and liabilities measured and reported at fair value are classified and disclosed in one of the following categories: Level 1 Inputs: Quoted prices (unadjusted) in active markets for identical assets or liabilities at the reporting date. • Level 1 assets may include listed mutual funds, ETFs, listed equities and certain exchange-traded derivatives. Level 2 Inputs: Quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities that are not active; quotes from pricing services or brokers for which the Company can determine that orderly transactions took place at the quoted price or that the inputs used to arrive at the price are observable; and inputs other than quoted prices that are observable, such as models or other valuation methodologies. • Level 2 assets may include debt securities, investments in CLOs, bank loans, Level 3 Inputs: Unobservable inputs for the valuation of the asset or liability, which may include nonbinding broker quotes. Level 3 assets include investments for which there is little, if any, market activity. These inputs require significant management judgment or estimation. • Level 3 assets may include direct private equity investments held within consolidated funds, investments in CLOs and bank loans of consolidated CLOs • Level 3 liabilities include contingent liabilities related to acquisitions valued based upon discounted cash flow analyses using unobservable market data and borrowings of a consolidated CLO. Significance of Inputs. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the financial instrument. Valuation Approaches. The fair values of certain Level 3 assets and liabilities were determined using various valuation approaches as appropriate, including third-party pricing vendors, broker quotes and market and income approaches. A significant number of inputs used to value equity, debt securities, investments in CLOs and bank loans is sourced from third-party pricing vendors. Generally, prices obtained from pricing vendors are categorized as Level 1 inputs for identical securities traded in active markets and as Level 2 for other similar securities if the vendor uses observable inputs in determining the price. In addition, quotes obtained from brokers generally are nonbinding and categorized as Level 3 inputs. However, if the Company is able to determine that market participants have transacted for the asset in an orderly manner near the quoted price or if the Company can determine that the inputs used by the broker are observable, the quote is classified as a Level 2 input. Investments Measured at Net Asset Values. As a practical expedient, the Company uses net asset value (“NAV”) as the fair value for certain investments. The inputs to value these investments may include the Company’s capital accounts for its partnership interests in various alternative investments, including hedge funds, real assets and private equity funds, which may be adjusted by using the returns of certain market indices. The various partnerships generally are investment companies, which record their underlying investments at fair value based on fair value policies established by management of the underlying fund. Fair value policies at the underlying fund generally require the fund to utilize pricing/valuation information from third-party sources, including independent appraisals. However, in some instances, current valuation information for illiquid securities or securities in markets that are not active may not be available from any third-party source or fund management may conclude that the valuations that are available from third-party sources are not reliable. In these instances, fund management may perform model-based analytical valuations that could be used as an input to value these investments. Fair Value of Asset and Liabilities of Consolidated CLO. The Company applies the fair value option provisions for eligible assets, including bank loans, held by a consolidated CLO. As the fair value of the financial assets of the consolidated CLO is more observable than the fair value of the borrowings of the consolidated CLO, the Company measures the fair value of the borrowings of the consolidated CLO as the fair value of the assets of the consolidated CLO less the fair value of the Company’s economic interest in the CLO. |
Derivative Instruments and Hedging Activities | Derivative Instruments and Hedging Activities . The Company does not use derivative financial instruments for trading or speculative purposes. The Company uses derivative financial instruments primarily for purposes of hedging exposures to fluctuations in foreign currency exchange rates of certain assets and liabilities, and market exposures for certain seed investments. However, certain consolidated sponsored investment funds may also utilize derivatives as a part of their investment strategy. Changes in the fair value of the Company’s derivative financial instruments are recognized in earnings and, where applicable, are offset by the corresponding gain or loss on the related foreign-denominated assets or liabilities or hedged investments, on the condensed consolidated statements of income. The Company may also use financial instruments designated as net investment hedges for accounting purposes to hedge net investments in international subsidiaries whose functional currency is not U.S. dollars. The gain or loss from revaluing accounting hedges of net investments in foreign operations at the spot rate is deferred and reported within AOCI on the condensed consolidated statements of financial condition. The Company reassesses the effectiveness of its net investment hedge on a quarterly basis. |
Separate Account Assets and Liabilities | Separate Account Assets and Liabilities . Separate account assets are maintained by BlackRock Life Limited, a wholly owned subsidiary of the Company, which is a registered life insurance company in the United Kingdom, and represent segregated assets held for purposes of funding individual and group pension contracts. The life insurance company does not underwrite any insurance contracts that involve any insurance risk transfer from the insured to the life insurance company. The separate account assets primarily include equity securities, debt securities, money market funds and derivatives. The separate account assets are not subject to general claims of the creditors of the Company. These separate account assets and the related equal and offsetting liabilities are recorded as separate account assets and separate account liabilities on the condensed consolidated statements of financial condition. The net investment income attributable to separate account assets supporting individual and group pension contracts accrues directly to the contract owner and is not reported on the condensed consolidated statements of income. While the Company has no economic interest in these separate account assets and liabilities, the Company earns policy administration and management fees associated with these products, which are included in investment advisory, administration fees and securities lending revenue on the condensed consolidated statements of income. |
Separate Account Collateral Assets Held and Liabilities Under Securities Lending Agreements | Separate Account Collateral Assets Held and Liabilities Under Securities Lending Agreements. The Company facilitates securities lending arrangements whereby securities held by separate accounts maintained by BlackRock Life Limited are lent to third parties under global master securities lending agreements. In exchange, the Company receives legal title to the collateral with minimum values generally ranging from approximately 102% to 112% of the value of the securities lent in order to reduce counterparty risk. The required collateral value is calculated on a daily basis. The global master securities lending agreements provide the Company the right to request additional collateral or, in the event of borrower default, the right to liquidate collateral. The securities lending transactions entered into by the Company are accompanied by an agreement that entitles the Company to request the borrower to return the securities at any time; therefore, these transactions are not reported as sales. The Company records on the condensed consolidated statements of financial condition the cash and noncash collateral received under these BlackRock Life Limited securities lending arrangements as its own asset in addition to an equal and offsetting collateral liability for the obligation to return the collateral. The securities lending revenue earned from lending securities held by the separate accounts is included in investment advisory, administration fees and securities lending revenue on the condensed consolidated statements of income. During the nine months ended September 30, 2018 and 2017, the Company had not resold or repledged any of the collateral received under these arrangements. At September 30, 2018 and December 31, 2017, the fair value of loaned securities held by separate accounts was approximately $17.8 billion and $22.3 billion, respectively, and the fair value of the collateral held under these securities lending agreements was approximately $19.6 billion and $24.2 billion, respectively. |
Recent Accounting Pronouncements Not Yet Adopted | Recent Accounting Pronouncements Not Yet Adopted Leases. In February 2016, the FASB issued ASU 2016-02, , and several amendments (collectively, “ASU 2016-02”), which requires lessees to recognize assets and liabilities arising from most operating leases on the condensed consolidated statements of financial condition. The Company expects to record assets and liabilities for its current operating leases upon adoption of ASU 2016-02 and does not expect the adoption to have a material impact on its results of operations or cash flows. In July 2018, the FASB issued ASU 2018-11, Targeted Improvements The Company will adopt ASU 2016-02 on its effective date of January 1, 2019 on a modified retrospective basis applying the transition option permitted by ASU 2018-11. The Company intends to elect the package of practical expedients that will alleviate certain operational complexities related to the adoption. See Note 13 of the 2017 Form 10-K for information on the Company’s operating lease commitments. |
Significant Accounting Polici_3
Significant Accounting Policies (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Accounting Standards Update 2014-09 [Member] | |
Impact of ASU 2014-09 Adoption to Condensed Consolidated Statements of Income | The following table presents the impact of the adoption to the condensed consolidated statements of income for the three and nine months ended September 30, 2017. Three Months Ended Nine Months Ended September 30, 2017 September 30, 2017 (in millions, except shares and per share data) Previously Reported Adoption of the New Revenue Standard Adjustment Recast Previously Reported Adoption of the New Revenue Standard Adjustment Recast Total revenue $ 3,233 $ 275 $ 3,508 $ 9,022 $ 814 $ 9,836 Total expense 1,839 280 2,119 5,239 828 6,067 Operating income $ 1,394 $ (5 ) $ 1,389 $ 3,783 $ (14 ) $ 3,769 Income tax expense $ 445 $ (2 ) $ 443 $ 1,090 $ (5 ) $ 1,085 Net income $ 959 $ (3 ) $ 956 $ 2,697 $ (9 ) $ 2,688 Net income attributable to BlackRock, Inc. $ 947 $ (3 ) $ 944 $ 2,666 $ (9 ) $ 2,657 Earnings per share attributable to BlackRock, Inc. common stockholders: Basic $ 5.85 $ (0.02 ) $ 5.83 $ 16.41 $ (0.06 ) $ 16.35 Diluted $ 5.78 $ (0.02 ) $ 5.76 $ 16.23 $ (0.06 ) $ 16.17 |
Cash, Cash Equivalents and Re_2
Cash, Cash Equivalents and Restricted Cash (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents [Abstract] | |
Schedule of Reconciliation of Cash, Cash Equivalents and Restricted Cash | The following table provides a reconciliation of cash and cash equivalents reported within the condensed consolidated statements of financial condition to the cash, cash equivalents, and restricted cash reported within the condensed consolidated statements of cash flows. September 30, December 31, (in millions) 2018 2017 Cash and cash equivalents $ 6,358 $ 6,894 Cash and cash equivalents of consolidated VIEs 222 144 Restricted cash included in other assets 17 58 Total cash, cash equivalents and restricted cash $ 6,597 $ 7,096 |
Investments (Tables)
Investments (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Investments Debt And Equity Securities [Abstract] | |
Summary of Carrying Value of Total Investments | A summary of the carrying value of total investments is as follows: September 30, (in millions) 2018 (1) Debt securities: Available-for-sale investments $ 42 Held-to-maturity investments 145 Trading securities ($148 debt securities of consolidated sponsored investment funds) 176 Total debt securities 363 Equity securities at FVTNI ($283 equity securities of consolidated sponsored investment funds) 508 Equity method investments (2) 779 Federal Reserve Bank stock (3) 92 Carried interest (4) 18 Total investments $ 1,760 (in millions) December 31, 2017 (1) Available-for-sale investments $ 103 Held-to-maturity investments 102 Trading investments: Consolidated sponsored investment funds: Debt securities 267 Equity securities 245 Other equity and debt securities 267 Deferred compensation plan mutual funds 56 Total trading investments 835 Equity method investments (2) 816 Cost method investments (3) 93 Carried interest (4) 32 Total investments $ 1,981 (1) Amounts at September 30, 2018 reflect the adoption of ASU 2016-01. See Note 2, Significant Accounting Policies (2) Equity method investments primarily include BlackRock’s direct investments in certain BlackRock sponsored investment funds. (3) Amounts include Federal Reserve Bank stock, which is held for regulatory purposes and is restricted from sale. At December 31, 2017, amount also includes other nonmarketable securities, which were immaterial. At September 30, 2018 and December 31, 2017, there were no indicators of impairment on these investments. (4) Carried interest of consolidated sponsored investment funds accounted for as voting rights entities (“VREs”) represents allocations to BlackRock’s general partner capital accounts from certain funds. These balances are subject to change upon cash distributions, additional allocations or reallocations back to limited partners within the respective funds. |
Summary of Cost and Carrying Value of Equity and Trading Debt Securities | A summary of the cost and carrying value of equity and trading debt securities is as follows: September 30, 2018 (1) (in millions) Cost Carrying Value Trading debt securities: Corporate debt $ 94 $ 92 Government debt 46 39 Asset/mortgage-backed debt 49 45 Total debt securities 189 176 Equity securities at FVTNI: Equity securities/multi-asset mutual funds 475 472 Deferred compensation plan mutual funds 21 36 Total equity securities at FVTNI 496 508 Total equity and trading debt securities $ 685 $ 684 December 31, 2017 (1) (in millions) Cost Carrying Value Trading investments: Deferred compensation plan mutual funds $ 34 $ 56 Equity securities/multi-asset mutual funds 446 493 Debt securities Corporate debt 152 157 Government debt 72 73 Asset/mortgage backed debt 56 56 Total trading investments $ 760 $ 835 (1) Amounts at September 30, 2018 reflect the adoption of ASU 2016-01. See Note 2, Significant Accounting Policies |
Consolidated Voting Rights En_2
Consolidated Voting Rights Entities (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Text Block [Abstract] | |
Consolidated VREs Included in Condensed Consolidated Statements of Financial Condition | The following table presents the amounts related to these consolidated VREs that were recorded on the condensed consolidated statements of financial condition, including BlackRock’s net interest in these funds: September 30, December 31, (in millions) 2018 2017 Cash and cash equivalents $ 58 $ 63 Investments: Trading debt securities 148 267 Equity securities at FVTNI 283 245 Total investments 431 512 Other assets 12 13 Other liabilities (52 ) (37 ) Noncontrolling interests ("NCI") (60 ) (91 ) BlackRock’s net interests in consolidated VREs $ 389 $ 460 |
Variable Interest Entities (Tab
Variable Interest Entities (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Consolidated Variable Interest Entities [Member] | |
Variable Interest Entity [Line Items] | |
Schedule of VIE Assets and Liabilities | Consolidated VIE assets and liabilities are presented after intercompany eliminations in the following table: September 30, December 31, (in millions) 2018 2017 Assets of consolidated VIEs: Cash and cash equivalents $ 222 $ 144 Investments: Trading debt securities 973 475 Equity securities at FVTNI 600 440 Bank loans 53 — Other investments 285 312 Carried interest 306 266 Other assets 179 66 Total investments and other assets 2,396 1,559 Liabilities of consolidated VIEs: Borrowings (44 ) — Other liabilities (514 ) (369 ) Noncontrolling interests (598 ) (375 ) BlackRock's net interests in consolidated VIEs $ 1,462 $ 959 |
Schedule of Net Gain (Loss) Related to Consolidated VIEs | Net gain (loss) related to consolidated VIEs is presented in the following table: Three Months Ended Nine Months Ended September 30, September 30, (in millions) 2018 2017 2018 2017 Nonoperating net gain (loss) on consolidated VIEs $ (9 ) $ 29 $ (21 ) $ 95 Net income (loss) attributable to NCI on consolidated VIEs $ (14 ) $ 10 $ (3 ) $ 28 |
Variable Interest Entity, Not Primary Beneficiary [Member] | |
Variable Interest Entity [Line Items] | |
Schedule of VIE Assets and Liabilities | At September 30, 2018 and December 31, 2017, the Company’s carrying value of assets and liabilities included on the condensed consolidated statements of financial condition pertaining to nonconsolidated VIEs and its maximum risk of loss related to VIEs for which it held a variable interest, but for which it was not the PB, was as follows: (in millions) At September 30, 2018 Investments Advisory Fee Receivables Other Net Assets (Liabilities) Maximum Risk of Loss (1) Sponsored investment products $ 335 $ 40 $ (6 ) $ 392 At December 31, 2017 Sponsored investment products $ 263 $ 15 $ (7 ) $ 295 (1) At both September 30, 2018 and December 31, 2017, BlackRock’s maximum risk of loss associated with these VIEs primarily related to BlackRock’s investments and the collection of advisory fee receivables. |
Fair Value Disclosures (Tables)
Fair Value Disclosures (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Fair Value Disclosures [Abstract] | |
Assets and Liabilities Measured at Fair Value on Recurring Basis | Assets and liabilities measured at fair value on a recurring basis and other assets not held at fair value September 30, 2018 (1) (in millions) Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Investments Measured at NAV (2) Other Assets Not Held at Fair Value (3) September 30, 2018 Assets: Investments: Equity securities at FVTNI: Deferred compensation plan mutual funds $ 36 $ — $ — $ — $ — $ 36 Equity securities/Multi-asset mutual funds 472 — — — — 472 Total equity securities at FVTNI 508 — — — — 508 Debt securities: Available-for-sale — 42 — — — 42 Trading securities — 176 — — — 176 Held-to-maturity securities — — — — 145 145 Total debt securities — 218 — — 145 363 Equity method: Equity and fixed income mutual funds 140 — — 14 — 154 Other — — — 622 3 625 Total equity method 140 — — 636 3 779 Federal Reserve Bank Stock — — — — 92 92 Carried interest — — — — 18 18 Total investments 648 218 — 636 258 1,760 Investments of consolidated VIEs: Equity securities at FVTNI 600 — — — — 600 Trading debt securities — 973 — — — 973 Bank loans — 9 44 — — 53 Private equity (4) — — 105 49 74 228 Other — — — 57 — 57 Carried interest — — — — 306 306 Total investments of consolidated VIEs 600 982 149 106 380 2,217 Separate account assets 79,607 27,667 — — 708 107,982 Separate account collateral held under securities lending agreements: Equity securities 17,392 — — — — 17,392 Debt securities — 2,183 — — — 2,183 Total separate account collateral held under securities lending agreements 17,392 2,183 — — — 19,575 Total $ 98,247 $ 31,050 $ 149 $ 742 $ 1,346 $ 131,534 Liabilities: Borrowings of consolidated VIEs (5) $ — $ — $ 44 $ — $ — $ 44 Separate account collateral liabilities under securities lending agreements 17,392 2,183 — — — 19,575 Other liabilities (6) — 6 259 — — 265 Total $ 17,392 $ 2,189 $ 303 $ — $ — $ 19,884 (1) Significant Accounting Policies (2) Amounts are comprised of certain investments measured at fair value using NAV (or its equivalent) as a practical expedient. (3) Amounts are comprised of investments held at cost or amortized cost, carried interest and certain equity method investments, which include sponsored investment funds and other assets, which are not accounted for under a fair value measure. In accordance with GAAP, certain equity method investees do not account for both their financial assets and liabilities under fair value measures; therefore, the Company’s investment in such equity method investees may not represent fair value. (4) Level 3 amounts primarily include direct investments in private equity companies held by private equity funds. (5) Borrowings of consolidated VIEs are classified based on the more significant inputs, which are unobservable, used for calculating the fair value of consolidated CLO assets. (6) Amounts primarily include contingent liabilities related to certain acquisitions (see Note 12, Commitments and Contingencies Assets and liabilities measured at fair value on a recurring basis and other assets not held at fair value December 31, 2017 (1) (in millions) Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Investments Measured at NAV (2) Other Assets Not Held at Fair Value (3) December 31, 2017 Assets: Investments Available-for-sale $ 7 $ 96 $ — $ — $ — $ 103 Held-to-maturity debt securities — — — — 102 102 Trading: Deferred compensation plan mutual funds 56 — — — — 56 Equity/Multi-asset mutual funds 493 — — — — 493 Debt securities / fixed income mutual funds 2 284 — — — 286 Total trading 551 284 — — — 835 Equity method: Equity and fixed income mutual funds 183 — — 12 — 195 Other — — — 609 12 621 Total equity method 183 — — 621 12 816 Cost method investments — — — — 93 93 Carried interest — — — — 32 32 Total investments 741 380 — 621 239 1,981 Separate account assets 114,422 34,582 — — 933 149,937 Separate account collateral held under securities lending agreements: Equity securities 18,778 — — — — 18,778 Debt securities — 5,412 — — — 5,412 Total separate account collateral held under securities lending agreements 18,778 5,412 — — — 24,190 Investments of consolidated VIEs: Trading: Equity securities 440 — — — — 440 Debt securities — 475 — — — 475 Private / public equity (4) 6 2 116 59 76 259 Other — — — 53 — 53 Carried interest — — — — 266 266 Total investments of consolidated VIEs 446 477 116 112 342 1,493 Total $ 134,387 $ 40,851 $ 116 $ 733 $ 1,514 $ 177,601 Liabilities: Separate account collateral liabilities under securities lending agreements $ 18,778 $ 5,412 $ — $ — $ — $ 24,190 Other liabilities (5) — 7 236 — — 243 Total $ 18,778 $ 5,419 $ 236 $ — $ — $ 24,433 (1) Amounts at December 31, 2017 reflect accounting guidance prior to ASU 2016-01. (2) Amounts are comprised of certain investments measured at fair value using NAV (or its equivalent) as a practical expedient. (3) Amounts are comprised of investments held at cost or amortized cost, carried interest and certain equity method investments, which include sponsored investment funds and other assets, which are not accounted for under a fair value measure. In accordance with GAAP, certain equity method investees do not account for both their financial assets and liabilities under fair value measures; therefore, the Company’s investment in such equity method investees may not represent fair value. (4) Level 3 amounts include direct investments in private equity companies held by private equity funds. (5) Amounts primarily include contingent liabilities related to certain acquisitions (see Note 12, Commitments and Contingencies |
Changes in Level 3 Assets and Liabilities Measured at Fair Value on Recurring Basis | Changes in Level 3 Assets and Liabilities Measured at Fair Value on a Recurring Basis for the Three Months Ended September 30, 2018 (in millions) June 30, 2018 (1) Realized and Unrealized Gains (Losses) in Earnings and OCI Purchases Sales and Maturities Issuances and other Settlements (2) Transfers into Level 3 Transfers out of Level 3 September 30, 2018 (1) Total Net Unrealized Gains (Losses) Included in Earnings (3) Assets: Assets of consolidated VIEs: Private equity $ 104 $ 1 $ — $ — $ — $ — $ — $ 105 Bank loans (4) — — — — 44 — — 44 Total Assets of consolidated VIEs $ 104 $ 1 $ — $ — $ 44 $ — $ — $ 149 $ 1 Liabilities: Borrowings of consolidated VIEs (4) $ — $ — $ — $ — $ 44 $ — $ — $ 44 Other liabilities 223 (30 ) — — 6 — — 259 Total Level 3 liabilities $ 223 $ (30 ) $ — $ — $ 50 $ — $ — $ 303 $ (30 ) (1) Amounts reflect the adoption of ASU 2016-01. See Note 2, Significant Accounting Policies (2) Other liabilities amount includes a contingent liability in connection with an acquisition, partially offset by a contingent liability payment in connection with a prior acquisition. (3) Earnings attributable to the change in unrealized gains (losses) relating to assets and liabilities still held at the reporting date. (4) Bank loans and borrowings of consolidated VIEs amounts are related to the consolidation of one additional CLO. Changes in Level 3 Assets and Liabilities Measured at Fair Value on a Recurring Basis for the Nine Months Ended September 30, 2018 (in millions) December 31, 2017 Realized and Unrealized Gains (Losses) in Earnings and OCI Purchases Sales and Maturities Issuances and other Settlements (1) Transfers into Level 3 Transfers out of Level 3 September 30, 2018 (2) Total Net Unrealized Gains (Losses) Included in Earnings (3) Assets: Investments: Debt securities: Available-for-sale securities (4) $ — $ — $ 26 $ — $ — $ — $ (26 ) $ — Trading securities — — 5 — — — (5 ) — Total debt securities — — 31 — — — (31 ) — Total investments — — 31 — — — (31 ) — Assets of consolidated VIEs: Private equity 116 1 — (12 ) — — — 105 Bank loans (5) — — — — 44 — — 44 Total Assets of consolidated VIEs 116 1 — (12 ) 44 — — 149 Total Level 3 assets $ 116 $ 1 $ 31 $ (12 ) $ 44 $ — $ (31 ) $ 149 $ 1 Liabilities: Borrowings of consolidated VIEs (5) $ — $ — $ — $ — $ 44 $ — $ — $ 44 Other liabilities 236 (33 ) — — (10 ) — — 259 Total Level 3 liabilities $ 236 $ (33 ) $ — $ — $ 34 $ — $ — $ 303 $ (33 ) (1) Other liabilities amount includes contingent liability payments in connection with certain prior acquisitions, partially offset by a contingent liability in connection with an acquisition. (2) Amounts reflect the adoption of ASU 2016-01. See Note 2, Significant Accounting Policies (3) Earnings attributable to the change in unrealized gains (losses) relating to assets and liabilities still held at the reporting date. (4) Amounts include investments in CLOs. (5) Bank loans and borrowings of consolidated VIEs amounts are related to the consolidation of one additional CLO. Changes in Level 3 Assets and Liabilities Measured at Fair Value on a Recurring Basis for the Three Months Ended September 30, 2017 (1) (in millions) June 30, 2017 Realized and Unrealized Gains (Losses) in Earnings and OCI Purchases Sales and Maturities Issuances and other Settlements (2) Transfers into Level 3 Transfers out of Level 3 September 30, 2017 Total Net Unrealized Gains (Losses) Included in Earnings (3) Assets: Investments: Available-for-sale securities (4) $ 23 $ — $ — $ — $ — $ — $ — $ 23 Trading 4 — — — — — (2 ) 2 Total investments 27 — — — — — (2 ) 25 Assets of consolidated VIEs - Private equity 113 1 — — — — — 114 $ 1 Total Level 3 assets $ 140 $ 1 $ — $ — $ — $ — $ (2 ) $ 139 Liabilities: Other liabilities (5) $ 218 $ (7 ) $ — $ — $ 3 $ — $ — $ 228 $ (7 ) (1) Amounts reflect accounting guidance prior to ASU 2016-01. (2) Issuance and other settlements amount includes a contingent liability of $9 million in connection with the acquisition of Cachematrix in July 2017 (“Cachematrix Transaction”) and a contingent liability payment in connection with a prior acquisition. (3) Earnings attributable to the change in unrealized gains (losses) relating to assets and liabilities still held at the reporting date. (4) Amounts include investments in CLOs. (5) Other liabilities amount includes contingent liabilities in connection with certain acquisitions. Changes in Level 3 Assets and Liabilities Measured at Fair Value on a Recurring Basis for the Nine Months Ended September 30, 2017 (1) (in millions) December 31, 2016 Realized and Unrealized Gains (Losses) in Earnings and OCI Purchases Sales and Maturities Issuances and other Settlements (2) Transfers into Level 3 Transfers out of Level 3 (3) September 30, 2017 Total Net Unrealized Gains (Losses) Included in Earnings (4) Assets: Investments: Available-for-sale securities (5) $ 24 $ — $ 23 $ — $ — $ — $ (24 ) $ 23 Trading 7 — 4 — — — (9 ) 2 Total investments 31 — 27 — — — (33 ) 25 Assets of consolidated VIEs - Private equity 112 2 — — — — — 114 $ 2 Total Level 3 assets $ 143 $ 2 $ 27 $ — $ — $ — $ (33 ) $ 139 Liabilities: Other liabilities (6) $ 115 $ (2 ) $ — $ — $ 111 $ — $ — $ 228 $ (2 ) (1) Amounts reflect accounting guidance prior to ASU 2016-01. (2) Issuance and other settlements amount includes $120 million and $9 million of contingent liabilities in connection with the acquisition of the equity infrastructure franchise of First Reserve in June 2017 (“First Reserve Transaction”) and the Cachematrix Transaction, respectively, and contingent liability payments in connection with certain prior acquisitions. ( 3 ) Amounts include transfers out of Level 3 due to availability of observable market inputs from pricing vendors. (4 ) Earnings attributable to the change in unrealized gains (losses) relating to assets and liabilities still held at the reporting date. (5 ) Amounts include investments in CLOs. (6 ) Other liabilities amount includes contingent liabilities in connection with certain acquisitions. |
Fair Value of Financial Assets and Financial Liabilities | Disclosures of Fair Value for Financial Instruments Not Held at Fair Value . At September 30, 2018 and December 31, 2017, the fair value of the Company’s financial instruments not held at fair value are categorized in the table below: September 30, 2018 December 31, 2017 (in millions) Carrying Amount Estimated Fair Value Carrying Amount Estimated Fair Value Fair Value Hierarchy Financial Assets (1) Cash and cash equivalents $ 6,358 $ 6,358 $ 6,894 $ 6,894 Level 1 (2) (3) Cash and cash equivalents of consolidated VIEs 222 222 144 144 Level 1 (2) (3) Other assets 26 26 70 70 Level 1 (2) (4) Financial Liability: Long-term borrowings 4,991 5,033 5,014 5,225 Level 2 (5) (1) See Note 4, Investments (2) Cash and cash equivalents are carried at either cost or amortized cost, which approximates fair value due to their short-term maturities. ( 3 ) At September 30, 2018 and December 31, 2017, approximately $131 million and $163 million, respectively, of money market funds were recorded within cash and cash equivalents on the condensed consolidated statements of financial condition. In addition, at September 30, 2018 and December 31, 2017, approximately $12 million and $14 million, respectively, of money market funds were recorded within cash and cash equivalents of consolidated VIEs. Money market funds are valued based on quoted market prices, or $1.00 per share, which generally is the NAV of the fund. ( 4 ) Other assets primarily include restricted cash. ( 5 ) Long-term borrowings are recorded at amortized cost net of debt issuance costs. The fair value of the long-term borrowings, including the current portion of long-term borrowings, is estimated using market prices at the end of September 2018 and December 2017, respectively. See Note 11, Borrowings |
Investments in Certain Entities that Calculate Net Asset Value per Share | The following tables list information regarding all investments that use a fair value measurement to account for both their financial assets and financial liabilities in their calculation of a NAV per share (or equivalent). September 30, 2018 (in millions) Ref Fair Value Total Unfunded Commitments Redemption Frequency Redemption Notice Period Equity method: (1) Hedge funds/funds of hedge funds (a) $ 176 $ 94 Daily/Monthly (31%) Quarterly (18%) N/R (51%) 1 – 90 days Private equity funds (b) 111 88 N/R N/R Real assets funds (c) 335 91 Quarterly (73%) N/R (27%) 60 days Other 14 17 Daily/Monthly (79%) N/R (21%) 3 – 5 days Consolidated VIEs: Private equity funds of funds (d) 49 18 N/R N/R Hedge fund (a) 3 — Quarterly 90 days Real assets funds (c) 54 45 N/R N/R Total $ 742 $ 353 December 31, 2017 (in millions) Ref Fair Value Total Unfunded Commitments Redemption Frequency Redemption Notice Period Equity method: (1) Hedge funds/funds of hedge funds (a) $ 230 $ 48 Daily/Monthly (21%) Quarterly (49%) N/R (30%) 1 – 90 days Private equity funds (b) 94 86 N/R N/R Real assets funds (c) 282 69 Quarterly (83%) N/R (17%) 60 days Other 15 14 Daily (80%) N/R (20%) 5 days Consolidated VIEs: Private equity funds of funds (d) 59 20 N/R N/R Hedge fund (a) 19 — Quarterly 90 days Real assets funds (c) 34 49 N/R N/R Total $ 733 $ 286 N/R – not redeemable (1) Comprised of equity method investments, which include investment companies, which account for their financial assets and most financial liabilities under fair value measures; therefore, the Company’s investment in such equity method investees approximates fair value. (a) This category includes hedge funds and funds of hedge funds that invest primarily in equities, fixed income securities, distressed credit, opportunistic and mortgage instruments and other third-party hedge funds. The fair values of the investments have been estimated using the NAV of the Company’s ownership interest in partners’ capital. The liquidation period for the investments in the funds that are not subject to redemption is unknown at both September 30, 2018 and December 31, 2017. (b) This category includes several private equity funds that initially invest in nonmarketable securities of private companies, which ultimately may become public in the future. The fair values of these investments have been estimated using capital accounts representing the Company’s ownership interest in the funds as well as other performance inputs. The Company’s investment in each fund is not subject to redemption and is normally returned through distributions as a result of the liquidation of the underlying assets of the private equity funds . The liquidation period for the investments in these funds is unknown at both September 30, 2018 and December 31, 2017. (c) This category includes several real assets funds that invest directly and indirectly in real estate or infrastructure. The fair values of the investments have been estimated using capital accounts representing the Company’s ownership interest in the funds. The Company’s investments that are not subject to redemption or are not currently redeemable are normally returned through distributions and realizations of the underlying assets of the funds . The liquidation periods for the investments in the funds that are not subject to redemptions is unknown at both September 30, 2018 and December 31, 2017. (d) funds. The liquidation period for the underlying assets of these funds is unknown at both September 30, 2018 and December 31, 2017. The total remaining |
Summary of Information Related to Assets and Liabilities of Consolidated CLO for which Fair Value Option was Elected | The following table summarizes information at September 30, 2018 related to assets and liabilities of a consolidated CLO, recorded within investments and borrowings of consolidated VIEs, respectively, for which the fair value option was elected: September 30, (in millions) 2018 CLO Bank loans: Aggregate principal amounts outstanding $ 53 Fair value 53 Aggregate unpaid principal balance in excess of (less than) fair value $ — CLO Borrowings: Aggregate principal amounts outstanding $ 43 Fair value $ 44 |
Derivative and Hedging (Tables)
Derivative and Hedging (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Summary of Gains (Losses) Recognized in Condensed Consolidated Statements of Income on Derivative Instruments | The following table presents gains (losses) recognized in the condensed consolidated statements of income on derivative instruments: Three Months Ended Nine Months Ended September 30, September 30, (in millions) 2018 2017 2018 2017 Derivative Instruments Statement of Income Classification Gains (Losses) Gains (Losses) Total return swaps Nonoperating income (expense) $ (12 ) $ (26 ) $ (5 ) $ (90 ) Interest rate swaps Nonoperating income (expense) — — — (2 ) Forward foreign currency exchange contracts Other general and administration expense (27 ) 29 (90 ) 58 Total gain (loss) from derivative instruments $ (39 ) $ 3 $ (95 ) $ (34 ) |
Goodwill (Tables)
Goodwill (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill Activity | Goodwill activity during the nine months ended September 30, 2018 was as follows: (in millions) December 31, 2017 $ 13,220 Acquisitions (1) 314 Goodwill adjustments related to Quellos (2) (8 ) September 30, 2018 $ 13,526 (1) Amount includes $184 million of goodwill related to the acquisition of Tennenbaum Capital Partners, LLC, a middle market credit and special situation credit opportunities manager, in August 2018 (“TCP Transaction”). The Company believes the acquisition will enhance its ability to provide clients with private credit solutions across a range of risk level, liquidity and geography. Total cash consideration paid at closing for the TCP Transaction was approximately $393 million. The amount also includes $130 million of goodwill related to the acquisition of the asset management business of Citibanamex, a subsidiary of Citigroup, Inc. in September 2018 (“Citibanamex Transaction”). The Company acquired AUM across local fixed income, equity and multi-asset products, enabling the Company to offer a full range of local and international investment solutions for clients in Mexico. Total consideration at closing for the Citibanamex Transaction was approximately $360 million, including contingent consideration. (2) The decrease in goodwill during the nine months ended September 30, 2018 resulted from a decline related to tax benefits realized from tax-deductible goodwill in excess of book goodwill from the acquisition of the fund-of-funds business of Quellos Group, LLC in October 2007 (the “Quellos Transaction”). Goodwill related to the Quellos Transaction will continue to be reduced in future periods by the amount of tax benefits realized from tax-deductible goodwill in excess of book goodwill from the Quellos Transaction. The balance of the Quellos tax-deductible goodwill in excess of book goodwill was approximately $145 million and $168 million at September 30, 2018 and December 31, 2017, respectively. |
Intangible Assets (Tables)
Intangible Assets (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Carrying Amounts of Identifiable Intangible Assets | The carrying amounts of identifiable intangible assets are summarized as follows: (in millions) Indefinite-lived Finite-lived Total December 31, 2017 $ 17,178 $ 211 $ 17,389 Amortization expense — (35 ) (35 ) Acquisitions (1) 400 100 500 September 30, 2018 $ 17,578 $ 276 $ 17,854 (1) Amount includes $145 million of indefinite-lived management contracts and $69 million of finite-lived assets with a weighted-average estimated life of approximately eight years related to the TCP Transaction, and $255 million of indefinite-lived management contracts and $31 million of finite-lived management contracts with a weighted-average estimated life of approximately eight years related to the Citibanamex Transaction. |
Borrowings (Tables)
Borrowings (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Debt Disclosure [Abstract] | |
Carrying Value and Fair Value of Long-Term Borrowings | The carrying value and fair value of long-term borrowings estimated using market prices and foreign exchange rates at September 30, 2018 included the following: (in millions) Maturity Amount Unamortized Discount and Debt Issuance Costs Carrying Value Fair Value 5.00% Notes due 2019 $ 1,000 $ — $ 1,000 $ 1,021 4.25% Notes due 2021 750 (1 ) 749 768 3.375% Notes due 2022 750 (4 ) 746 750 3.50% Notes due 2024 1,000 (5 ) 995 999 1.25% Notes due 2025 813 (5 ) 808 823 3.20% Notes due 2027 700 (7 ) 693 672 Total Long-term Borrowings $ 5,013 $ (22 ) $ 4,991 $ 5,033 |
Revenue (Tables)
Revenue (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Revenue From Contract With Customer [Abstract] | |
Summary of Investment Advisory, Administration Fees and Securities Lending Revenue by Type | The table below presents the Company’s revenue for the three and nine months ended September 30, 2018 and 2017, respectively, and disaggregates investment advisory, administration fees and securities lending revenue by product type and investment style. See Note 2, Significant Accounting Policies Three Months Ended Nine Months Ended September 30, September 30, (in millions) 2018 2017 2018 2017 Investment advisory, administration fees and securities lending revenue: Equity: Active $ 405 $ 418 $ 1,269 $ 1,229 iShares ETFs 885 835 2,722 2,332 Non-ETF Index 169 168 532 503 Equity subtotal 1,459 1,421 4,523 4,064 Fixed income: Active 460 437 1,374 1,268 iShares ETFs 205 210 620 595 Non-ETF Index 98 88 292 257 Fixed income subtotal 763 735 2,286 2,120 Multi-asset 298 289 889 843 Alternatives: Core 185 169 539 469 Currency and commodities 24 23 75 67 Alternatives subtotal 209 192 614 536 Long-term 2,729 2,637 8,312 7,563 Cash management 154 144 462 408 Total base fees 2,883 2,781 8,774 7,971 Investment advisory performance fees: Equity 7 30 68 57 Fixed income — 9 2 20 Multi-asset 1 2 15 14 Alternatives 143 150 227 218 Total performance fees 151 191 312 309 Technology services revenue 200 169 582 481 Distribution fees: Retrocessions 168 175 541 490 12b-1 fees (U.S. mutual funds distribution fees) 102 113 313 356 Other 9 10 30 31 Total distribution fees 279 298 884 877 Advisory and other revenue: Advisory 26 25 80 74 Other 37 44 132 124 Total advisory and other revenue 63 69 212 198 Total revenue $ 3,576 $ 3,508 $ 10,764 $ 9,836 The table below presents the investment advisory, administration fees and securities lending revenue by client type, investment style and product type, respectively: Three Months Ended Nine Months Ended September 30, September 30, (in millions) 2018 2017 2018 2017 By client type: Retail $ 860 $ 827 $ 2,573 $ 2,410 iShares ETFs 1,113 1,067 3,414 2,990 Institutional: Active 504 495 1,542 1,429 Index 252 248 783 734 Total institutional 756 743 2,325 2,163 Long-term 2,729 2,637 8,312 7,563 Cash management 154 144 462 408 Total $ 2,883 $ 2,781 $ 8,774 $ 7,971 By investment style: Active $ 1,346 $ 1,309 $ 4,063 $ 3,796 Index and iShares 1,383 1,328 4,249 3,767 Long-term 2,729 2,637 8,312 7,563 Cash management 154 144 462 408 Total $ 2,883 $ 2,781 $ 8,774 $ 7,971 By product type: Equity $ 1,459 $ 1,420 $ 4,523 $ 4,064 Fixed income 763 736 2,286 2,120 Multi-asset 298 289 889 843 Alternatives 209 192 614 536 Long-term 2,729 2,637 8,312 7,563 Cash management 154 144 462 408 Total $ 2,883 $ 2,781 $ 8,774 $ 7,971 |
Schedule of Estimated Investment Advisory, Administration Fees Expected to be Recognized in Future, Related to Unsatisfied Portion of Performance Obligations | The table below presents estimated investment advisory and administration fees expected to be recognized in the future related to the unsatisfied portion of the performance obligations at September 30, 2018: Remainder of (in millions) 2018 2019 2020 2021 Thereafter Total Investment advisory and administration fees: Alternatives (1)(2) $ 21 $ 74 $ 63 $ 49 $ 46 $ 253 (1) Investment advisory and administration fees include management fees related to certain alternative products, which are based on contractual committed capital outstanding at September 30, 2018. Actual management fees could be higher to the extent additional committed capital is raised. These fees are generally billed on a quarterly basis in arrears. (2) The Company elected the following practical expedients and therefore does not include amounts related to (1) performance obligations with an original duration of one year or less, (2) variable consideration related to future service periods, and (3) the comparative prior period as of September 30, 2017. |
Schedule of Changes in Deferred Carried Interest Liability | The table below presents changes in the deferred carried interest liability (including the portion related to consolidated VIEs) for the three and nine months ended September 30, 2018 and 2017: Three Months Ended Nine Months Ended September 30, September 30, (in millions) 2018 2017 2018 2017 Beginning balance $ 242 $ 169 $ 219 $ 152 Net increase (decrease) in unrealized allocations 17 23 44 54 Performance fee revenue recognized that was included in the beginning balance (2 ) — (6 ) (14 ) Ending balance $ 257 $ 192 $ 257 $ 192 |
Schedule of Estimated Technology Services Revenue Expected to Be Recognized in Future, Related to Unsatisfied Portion of Performance Obligations | The table below presents estimated technology services revenue expected to be recognized in the future related to the unsatisfied portion of the performance obligations at September 30, 2018: Remainder of (in millions) 2018 2019 2020 2021 Thereafter Total Technology services revenue (1)(2) $ 8 $ 27 $ 23 $ 18 $ 15 $ 91 (1) Technology services revenue primarily includes upfront payments from customers, which the Company generally recognizes as services are performed. (2) The Company elected the following practical expedients and therefore does not include amounts related to (1) performance obligations with an original duration of one year or less, (2) variable consideration related to future service periods, and (3) the comparative prior period as of September 30, 2017. |
Schedule of Changes in Technology Services Deferred Revenue Liability | The table below presents changes in the technology services deferred revenue liability for the three and nine months ended September 30, 2018 and 2017, which is included in other liabilities on the condensed consolidated statements of financial condition: Three Months Ended Nine Months Ended September 30, September 30, (in millions) 2018 2017 2018 2017 Beginning balance $ 64 $ 52 $ 62 $ 42 Additions 11 13 31 33 Revenue recognized that was included in the beginning balance (10 ) (7 ) (28 ) (17 ) Ending balance $ 65 $ 58 $ 65 $ 58 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Restricted Stock and RSU Activity | Restricted stock and restricted stock units (“RSUs”) activity for the nine months ended September 30, 2018 is summarized below. Outstanding at Restricted Stock and RSUs Weighted- Average Grant Date Fair Value December 31, 2017 2,608,668 $ 342.79 Granted 830,424 $ 560.16 Converted (1,247,109 ) $ 338.06 Forfeited (49,678 ) $ 421.08 September 30, 2018 (1) 2,142,305 $ 428.08 (1) At September 30, 2018, approximately 2.0 million awards are expected to vest and 0.2 million awards have vested but have not been converted. |
Performance-Based RSUs [Member] | |
Restricted Stock and RSU Activity | Performance-based RSU activity for the nine months ended September 30, 2018 is summarized below. Outstanding at Performance- Based RSUs Weighted- Average Grant Date Fair Value December 31, 2017 903,525 $ 335.12 Granted 199,068 $ 566.44 Additional shares granted due to attainment of performance measures 23,376 $ 343.86 Converted (269,648 ) $ 343.86 Forfeited (11,036 ) $ 405.47 September 30, 2018 845,285 $ 386.13 |
Market Performance-Based RSUs [Member] | |
Restricted Stock and RSU Activity | Market performance-based RSUs activity for the nine months ended September 30, 2018 is summarized below. Outstanding at Market Performance- Based RSUs Weighted- Average Grant Date Fair Value December 31, 2017 286,336 $ 195.33 Converted (286,336 ) $ 195.33 September 30, 2018 — $ — |
Performance-Based Stock Options [Member] | |
Stock Option Activity | Stock option activity for the nine months ended September 30, 2018 is summarized below Outstanding at Shares Under Option Weighted Average Exercise Price December 31, 2017 2,147,562 $ 513.50 Forfeited (41,080 ) $ 513.50 September 30, 2018 2,106,482 $ 513.50 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Loss) (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Equity [Abstract] | |
Changes in Accumulated Other Comprehensive Income (Loss) | The following tables present changes in accumulated other comprehensive income (loss) by component for the three and nine months ended September 30, 2018 and 2017: (in millions) Foreign currency translation adjustments (1) Other (2) Total For the Three Months Ended September 30, 2018 June 30, 2018 $ (577 ) $ 2 $ (575 ) Net other comprehensive income (loss) for the three months ended September 30, 2018 (41 ) — (41 ) September 30, 2018 $ (618 ) $ 2 $ (616 ) For the Nine Months Ended September 30, 2018 December 31, 2017 $ (436 ) $ 4 $ (432 ) Net other comprehensive income (loss) for the nine months ended September 30, 2018 (176 ) (2 ) (178 ) Reclassification as a result of adoption of ASU 2018-02 (6 ) — (6 ) September 30, 2018 $ (618 ) $ 2 $ (616 ) (1) Amounts for the three and nine months ended September 30, 2018 include gains from a net investment hedge of $4 million (net of a tax expense of $1 million) and $22 million (net of a tax expense of $7 million), respectively. (2) (in millions) Foreign currency translation adjustments (1) Other (2) Total For the Three Months Ended September 30, 2017 June 30, 2017 $ (579 ) $ 4 $ (575 ) Net other comprehensive income (loss) for the three months ended September 30, 2017 102 — 102 September 30, 2017 $ (477 ) $ 4 $ (473 ) For the Nine Months Ended September 30, 2017 December 31, 2016 $ (721 ) $ 5 $ (716 ) Net other comprehensive income (loss) for the nine months ended September 30, 2017 244 (1 ) 243 September 30, 2017 $ (477 ) $ 4 $ (473 ) ( 1) (2) |
Capital Stock (Tables)
Capital Stock (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Equity [Abstract] | |
Preferred Shares Authorized, Issued and Outstanding | Nonvoting Participating Preferred Stock . The Company’s preferred shares authorized, issued and outstanding consisted of the following: September 30, December 31, 2018 2017 Series A Shares authorized, $0.01 par value 20,000,000 20,000,000 Shares issued and outstanding — — Series B Shares authorized, $0.01 par value 150,000,000 150,000,000 Shares issued and outstanding (1) 823,188 823,188 Series C Shares authorized, $0.01 par value 6,000,000 6,000,000 Shares issued and outstanding (1) 143,458 246,522 Series D Shares authorized, $0.01 par value 20,000,000 20,000,000 Shares issued and outstanding — — (1) Shares held by PNC. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Earnings Per Share [Abstract] | |
Computation of Basic and Diluted EPS under Treasury Stock Method | The following table sets forth the computation of basic and diluted EPS for the three and nine months ended September 30, 2018 and 2017 under the treasury stock method: Three Months Ended Nine Months Ended September 30, September 30, (in millions, except shares and per share data) 2018 2017 2018 2017 Net income attributable to BlackRock $ 1,216 $ 944 $ 3,378 $ 2,657 Basic weighted-average shares outstanding 160,141,506 161,872,716 160,786,768 162,459,737 Dilutive effect of nonparticipating RSUs and stock options 1,236,711 1,900,830 1,354,111 1,829,305 Total diluted weighted-average shares outstanding 161,378,217 163,773,546 162,140,879 164,289,042 Basic earnings per share $ 7.59 $ 5.83 $ 21.01 $ 16.35 Diluted earnings per share $ 7.54 $ 5.76 $ 20.83 $ 16.17 |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Segment Reporting [Abstract] | |
Total Revenue by Geographic Region | The following table illustrates total revenue for the three and nine months ended September 30, 2018 and 2017 by geographic region. These amounts are aggregated on a legal entity basis and do not necessarily reflect where the customer resides or affiliated services are provided. Three Months Ended Nine Months Ended (in millions) September 30, September 30, Revenue 2018 2017 2018 2017 Americas $ 2,328 $ 2,219 $ 6,989 $ 6,378 Europe 1,083 1,121 3,258 2,992 Asia-Pacific 165 168 517 466 Total revenue $ 3,576 $ 3,508 $ 10,764 $ 9,836 |
Schedule of Long-Lived Assets by Geographic Region | The following table illustrates long-lived assets that consist of goodwill and property and equipment at September 30, 2018 and December 31, 2017 by geographic region. These amounts are aggregated on a legal entity basis and do not necessarily reflect where the asset is physically located. (in millions) September 30, December 31, Long-lived Assets 2018 2017 Americas $ 13,737 $ 13,560 Europe 295 168 Asia-Pacific 82 84 Total long-lived assets $ 14,114 $ 13,812 |
Business Overview - Additional
Business Overview - Additional Information (Detail) - PNC [Member] | Sep. 30, 2018 |
Related Party Transaction [Line Items] | |
Percentage of common stock of parent owned | 21.40% |
Percentage of capital stock of parent owned | 21.90% |
Significant Accounting Polici_4
Significant Accounting Policies - Additional Information (Detail) - USD ($) $ in Millions | Sep. 30, 2018 | Jan. 01, 2018 | Dec. 31, 2017 |
Significant Accounting Policies [Line Items] | |||
Other assets | $ 1,919 | $ 1,636 | |
Other liabilities | 2,114 | 1,626 | |
Fair value of loaned securities | 17,800 | 22,300 | |
Fair value of collateral held for loan securities | $ 19,575 | $ 24,190 | |
Minimum [Member] | |||
Significant Accounting Policies [Line Items] | |||
Collateral cash and securities received in exchange of value of securities lent in order to reduce counterparty risk | 102.00% | ||
Maximum [Member] | |||
Significant Accounting Policies [Line Items] | |||
Collateral cash and securities received in exchange of value of securities lent in order to reduce counterparty risk | 112.00% | ||
Accounting Standards Update 2014-09 [Member] | Adoption of the New Revenue Standard Adjustment [Member] | |||
Significant Accounting Policies [Line Items] | |||
Other assets | $ 19 | ||
Other liabilities | 25 | ||
Net decrease in retained earnings | $ 6 |
Significant Accounting Polici_5
Significant Accounting Policies - Impact of ASU 2014-09 Adoption to Condensed Consolidated Statements of Income (Detail) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Significant Accounting Policies [Line Items] | ||||
Total revenue | $ 3,576 | $ 3,508 | $ 10,764 | $ 9,836 |
Total expense | 2,180 | 2,119 | 6,553 | 6,067 |
Operating income | 1,396 | 1,389 | 4,211 | 3,769 |
Income tax expense | 226 | 443 | 829 | 1,085 |
Net income | 1,203 | 956 | 3,375 | 2,688 |
Net income attributable to BlackRock, Inc. | $ 1,216 | $ 944 | $ 3,378 | $ 2,657 |
Earnings per share attributable to BlackRock, Inc. common stockholders: | ||||
Basic | $ 7.59 | $ 5.83 | $ 21.01 | $ 16.35 |
Diluted | $ 7.54 | $ 5.76 | $ 20.83 | $ 16.17 |
Accounting Standards Update 2014-09 [Member] | Previously Reported [Member] | ||||
Significant Accounting Policies [Line Items] | ||||
Total revenue | $ 3,233 | $ 9,022 | ||
Total expense | 1,839 | 5,239 | ||
Operating income | 1,394 | 3,783 | ||
Income tax expense | 445 | 1,090 | ||
Net income | 959 | 2,697 | ||
Net income attributable to BlackRock, Inc. | $ 947 | $ 2,666 | ||
Earnings per share attributable to BlackRock, Inc. common stockholders: | ||||
Basic | $ 5.85 | $ 16.41 | ||
Diluted | $ 5.78 | $ 16.23 | ||
Accounting Standards Update 2014-09 [Member] | Adoption of the New Revenue Standard Adjustment [Member] | ||||
Significant Accounting Policies [Line Items] | ||||
Total revenue | $ 275 | $ 814 | ||
Total expense | 280 | 828 | ||
Operating income | (5) | (14) | ||
Income tax expense | (2) | (5) | ||
Net income | (3) | (9) | ||
Net income attributable to BlackRock, Inc. | $ (3) | $ (9) | ||
Earnings per share attributable to BlackRock, Inc. common stockholders: | ||||
Basic | $ (0.02) | $ (0.06) | ||
Diluted | $ (0.02) | $ (0.06) |
Cash, Cash Equivalents and Re_3
Cash, Cash Equivalents and Restricted Cash - Schedule of Reconciliation of Cash, Cash Equivalents and Restricted Cash (Details) - USD ($) $ in Millions | Sep. 30, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Dec. 31, 2016 |
Restricted Cash And Cash Equivalents Items [Line Items] | ||||
Cash and cash equivalents | $ 6,358 | $ 6,894 | ||
Restricted cash included in other assets | $ 17 | $ 58 | ||
Restricted Cash, Asset, Statement of Financial Position [Extensible List] | us-gaap:OtherAssetsMember | us-gaap:OtherAssetsMember | ||
Total cash, cash equivalents and restricted cash | $ 6,597 | $ 7,096 | $ 6,299 | $ 6,192 |
Consolidated Variable Interest Entities [Member] | ||||
Restricted Cash And Cash Equivalents Items [Line Items] | ||||
Cash and cash equivalents | $ 222 | $ 144 |
Investments - Summary of Carryi
Investments - Summary of Carrying Value of Total Investments (Detail) - USD ($) $ in Millions | Sep. 30, 2018 | Dec. 31, 2017 |
Investment [Line Items] | ||
Available-for-sale investments, Debt securities | $ 42 | |
Available-for-sale investments | $ 103 | |
Held-to-maturity investments | 145 | 102 |
Trading securities ($148 debt securities of consolidated sponsored investment funds) | 176 | |
Total trading investments | 835 | |
Total debt securities | 363 | |
Equity securities at FVTNI ($283 equity securities of consolidated sponsored investment funds) | 508 | |
Total investments | 1,760 | 1,981 |
Other Equity and Debt Securities [Member] | ||
Investment [Line Items] | ||
Total trading investments | 267 | |
Deferred Compensation Plan Fund [Member] | ||
Investment [Line Items] | ||
Total trading investments | 56 | |
Equity securities at FVTNI ($283 equity securities of consolidated sponsored investment funds) | 36 | |
Consolidated Sponsored Investment Funds [Member] | Debt securities [Member] | ||
Investment [Line Items] | ||
Total trading investments | 148 | 267 |
Consolidated Sponsored Investment Funds [Member] | Equity securities [Member] | ||
Investment [Line Items] | ||
Total trading investments | 245 | |
Equity securities at FVTNI ($283 equity securities of consolidated sponsored investment funds) | 283 | |
Equity Method Investments [Member] | ||
Investment [Line Items] | ||
Total investments | 779 | 816 |
Cost Method Investments [Member] | ||
Investment [Line Items] | ||
Total investments | 93 | |
Federal Reserve Bank Stock [Member] | ||
Investment [Line Items] | ||
Total investments | 92 | |
Consolidated Entities [Member] | Carried Interest [Member] | ||
Investment [Line Items] | ||
Total investments | $ 18 | $ 32 |
Investments - Summary of Carr_2
Investments - Summary of Carrying Value of Total Investments (Parenthetical) (Detail) - USD ($) $ in Millions | Sep. 30, 2018 | Dec. 31, 2017 |
Investment [Line Items] | ||
Total trading investments | $ 835 | |
Equity securities | $ 508 | |
Consolidated Sponsored Investment Funds [Member] | Debt securities [Member] | ||
Investment [Line Items] | ||
Total trading investments | 148 | 267 |
Consolidated Sponsored Investment Funds [Member] | Equity securities [Member] | ||
Investment [Line Items] | ||
Total trading investments | $ 245 | |
Equity securities | $ 283 |
Investments - Additional Inform
Investments - Additional Information (Detail) - USD ($) shares in Millions, $ in Millions | 9 Months Ended | 12 Months Ended |
Sep. 30, 2018 | Dec. 31, 2017 | |
Investment [Line Items] | ||
Available-for-sale investments, after ten years | $ 42 | |
Held-to-maturity investments | 145 | $ 102 |
Foreign government debt, after five years through ten years | 11 | |
Investments in CLOs, after ten years | $ 134 | |
PennyMac [Member] | ||
Investment [Line Items] | ||
Ownership percentage | 20.00% | 20.00% |
Shares and units | 16 | 16 |
Carrying value - equity method investment | $ 384 | $ 342 |
Market value of equity method investments | $ 325 | $ 348 |
Investments - Summary of Cost a
Investments - Summary of Cost and Carrying Value of Equity and Trading Debt Securities (Detail) - USD ($) $ in Millions | Sep. 30, 2018 | Dec. 31, 2017 |
Schedule of Investments [Line Items] | ||
Total debt securities, Cost | $ 189 | |
Equity securities at FVTNI, Cost | 496 | |
Total equity and trading debt securities, Cost | 685 | |
Total debt, Carrying Value | 176 | |
Equity securities at FVTNI, Carrying Value | 508 | |
Total equity and trading debt securities, Carrying Value | 684 | |
Total trading investments, Cost | $ 760 | |
Total trading investments, Carrying Value | 835 | |
Corporate Debt [Member] | ||
Schedule of Investments [Line Items] | ||
Total debt securities, Cost | 94 | |
Total debt, Carrying Value | 92 | |
Total trading investments, Cost | 152 | |
Total trading investments, Carrying Value | 157 | |
Government Debt [Member] | ||
Schedule of Investments [Line Items] | ||
Total debt securities, Cost | 46 | |
Total debt, Carrying Value | 39 | |
Total trading investments, Cost | 72 | |
Total trading investments, Carrying Value | 73 | |
Asset/Mortgage-Backed Debt [Member] | ||
Schedule of Investments [Line Items] | ||
Total debt securities, Cost | 49 | |
Total debt, Carrying Value | 45 | |
Total trading investments, Cost | 56 | |
Total trading investments, Carrying Value | 56 | |
Deferred Compensation Plan Fund [Member] | ||
Schedule of Investments [Line Items] | ||
Equity securities at FVTNI, Cost | 21 | |
Equity securities at FVTNI, Carrying Value | 36 | |
Total trading investments, Cost | 34 | |
Total trading investments, Carrying Value | 56 | |
Equity Securities/Multi-Asset Mutual Funds [Member] | ||
Schedule of Investments [Line Items] | ||
Equity securities at FVTNI, Cost | 475 | |
Equity securities at FVTNI, Carrying Value | $ 472 | |
Total trading investments, Cost | 446 | |
Total trading investments, Carrying Value | $ 493 |
Consolidated VREs Recorded in C
Consolidated VREs Recorded in Condensed Consolidated Statements of Financial Condition (Detail) - USD ($) $ in Millions | Sep. 30, 2018 | Dec. 31, 2017 |
Consolidated Sponsored Investment Funds [Line Items] | ||
Cash and cash equivalents | $ 6,358 | $ 6,894 |
Investments: | ||
Total trading investments | 835 | |
Equity securities | 508 | |
Total investments | 1,760 | 1,981 |
Other assets | 1,919 | 1,636 |
Other liabilities | (2,114) | (1,626) |
Noncontrolling interests ("NCI") | (55) | (50) |
Equity Securities/Multi-Asset Mutual Funds [Member] | ||
Investments: | ||
Total trading investments | 493 | |
Equity securities | 472 | |
Consolidated Voting Rights Entities [Member] | ||
Consolidated Sponsored Investment Funds [Line Items] | ||
Cash and cash equivalents | 58 | 63 |
Investments: | ||
Total trading investments | 148 | 267 |
Total investments | 431 | 512 |
Other assets | 12 | 13 |
Other liabilities | (52) | (37) |
Noncontrolling interests ("NCI") | (60) | (91) |
BlackRock’s net interests in consolidated VREs | 389 | 460 |
Consolidated Voting Rights Entities [Member] | Equity Securities/Multi-Asset Mutual Funds [Member] | ||
Investments: | ||
Equity securities | $ 283 | $ 245 |
Variable Interest Entities Refl
Variable Interest Entities Reflects adoption of ASU 2015-12 - Schedule of VIE Assets and Liabilities (Detail) - USD ($) $ in Millions | Sep. 30, 2018 | Dec. 31, 2017 |
Variable Interest Entity [Line Items] | ||
Cash and cash equivalents | $ 6,358 | $ 6,894 |
Investments: | ||
Trading debt securities | 176 | |
Equity securities | 508 | |
Other assets | 1,919 | 1,636 |
Liabilities of consolidated VIEs: | ||
Borrowings | (4,991) | (5,014) |
Other liabilities | (2,114) | (1,626) |
Noncontrolling interests | (55) | (50) |
Consolidated Variable Interest Entities [Member] | ||
Variable Interest Entity [Line Items] | ||
Cash and cash equivalents | 222 | 144 |
Investments: | ||
Trading debt securities | 973 | 475 |
Equity securities | 600 | 440 |
Bank loans | 53 | |
Other investments | 285 | 312 |
Carried interest | 306 | 266 |
Other assets | 179 | 66 |
Total investments and other assets | 2,396 | 1,559 |
Liabilities of consolidated VIEs: | ||
Borrowings | (44) | |
Other liabilities | (514) | (369) |
Noncontrolling interests | (598) | (375) |
BlackRock's net interests in consolidated VIEs | $ 1,462 | $ 959 |
Variable Interest Entities Re_2
Variable Interest Entities Reflects adoption of ASU 2015-12 - Schedule of Net Gain (Loss) Related to Consolidated VIEs (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Variable Interest Entity [Line Items] | ||||
Nonoperating net gain (loss) on consolidated VIEs | $ 50 | $ 41 | $ 68 | $ 128 |
Net income (loss) attributable to noncontrolling interests | (13) | 12 | (3) | 31 |
Consolidated Variable Interest Entities [Member] | ||||
Variable Interest Entity [Line Items] | ||||
Nonoperating net gain (loss) on consolidated VIEs | (9) | 29 | (21) | 95 |
Net income (loss) attributable to noncontrolling interests | $ (14) | $ 10 | $ (3) | $ 28 |
Variable Interest Entities Re_3
Variable Interest Entities Reflects adoption of ASU 2015-12 - Balances Relating to Variable Interest Entities in which BlackRock is Not Primary Beneficiary (Detail) - Variable Interest Entity, Not Primary Beneficiary [Member] - USD ($) | Sep. 30, 2018 | Dec. 31, 2017 |
Investments [Member] | ||
Variable Interest Entity [Line Items] | ||
Sponsored investment products | $ 335,000,000 | $ 263,000,000 |
Advisory Fee Receivables [Member] | ||
Variable Interest Entity [Line Items] | ||
Sponsored investment products | 40,000,000 | 15,000,000 |
Other Net Assets (Liabilities) [Member] | ||
Variable Interest Entity [Line Items] | ||
Sponsored investment products | (6,000,000) | (7,000,000) |
Maximum Risk of Loss [Member] | ||
Variable Interest Entity [Line Items] | ||
Sponsored investment products | $ 392,000,000 | $ 295,000,000 |
Variable Interest Entities Re_4
Variable Interest Entities Reflects adoption of ASU 2015-12 - Additional Information (Detail) - USD ($) $ in Billions | Sep. 30, 2018 | Dec. 31, 2017 |
Variable Interest Entity, Not Primary Beneficiary [Member] | Sponsored Investment Products [Member] | ||
Variable Interest Entity [Line Items] | ||
Net assets of investments funds | $ 8 | $ 5 |
Fair Value Disclosures - Assets
Fair Value Disclosures - Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) - USD ($) $ in Millions | Sep. 30, 2018 | Dec. 31, 2017 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total equity securities at FVTNI | $ 508 | |
Trading securities ($148 debt securities of consolidated sponsored investment funds) | 176 | |
Available-for-sale | $ 103 | |
Total trading investments | 835 | |
Separate account assets | 107,982 | 149,937 |
Total separate account collateral held under securities lending agreements | 19,575 | 24,190 |
Equity Securities/Multi-Asset Mutual Funds [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total equity securities at FVTNI | 472 | |
Total trading investments | 493 | |
Fair Value, Measurements, Recurring [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total equity securities at FVTNI | 508 | |
Total debt securities | 363 | |
Held-to-maturity securities | 145 | 102 |
Available-for-sale | 103 | |
Total trading investments | 835 | |
Total equity method | 779 | 816 |
Federal Reserve Bank Stock | 92 | |
Cost method investments | 93 | |
Carried interest | 18 | 32 |
Total investments | 1,760 | 1,981 |
Total investments of consolidated VIEs | 2,217 | 1,493 |
Separate account assets | 107,982 | 149,937 |
Total separate account collateral held under securities lending agreements | 19,575 | 24,190 |
Total | 131,534 | 177,601 |
Borrowings of consolidated VIEs | 44 | |
Separate account collateral liabilities under securities lending agreements | 19,575 | 24,190 |
Other liabilities | 265 | 243 |
Total liabilities measured at fair value | 19,884 | 24,433 |
Fair Value, Measurements, Recurring [Member] | Deferred Compensation Plan Mutual Funds [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total equity securities at FVTNI | 36 | 56 |
Fair Value, Measurements, Recurring [Member] | Equity Securities/Multi-asset Mutual Funds [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total equity securities at FVTNI | 472 | |
Total trading investments | 493 | |
Fair Value, Measurements, Recurring [Member] | Debt Securities/ Fixed Income Mutual Funds [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Trading securities ($148 debt securities of consolidated sponsored investment funds) | 176 | |
Total trading investments | 286 | |
Fair Value, Measurements, Recurring [Member] | Equity And Fixed Income Mutual Funds [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total equity method | 154 | 195 |
Fair Value, Measurements, Recurring [Member] | Other Types Of Investments [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total equity method | 625 | 621 |
Total investments of consolidated VIEs | 57 | 53 |
Fair Value, Measurements, Recurring [Member] | Private/ Public Equity [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investments of consolidated VIEs | 228 | 259 |
Fair Value, Measurements, Recurring [Member] | Carried Interest [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investments of consolidated VIEs | 306 | 266 |
Fair Value, Measurements, Recurring [Member] | Bank Loans [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investments of consolidated VIEs | 53 | |
Fair Value, Measurements, Recurring [Member] | Equity Securities/Multi-Asset Mutual Funds [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investments of consolidated VIEs | 600 | 440 |
Total separate account collateral held under securities lending agreements | 17,392 | 18,778 |
Fair Value, Measurements, Recurring [Member] | Debt Securities [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investments of consolidated VIEs | 973 | 475 |
Total separate account collateral held under securities lending agreements | 2,183 | 5,412 |
Fair Value, Measurements, Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total equity securities at FVTNI | 508 | |
Available-for-sale | 7 | |
Total trading investments | 551 | |
Total equity method | 140 | 183 |
Total investments | 648 | 741 |
Total investments of consolidated VIEs | 600 | 446 |
Separate account assets | 79,607 | 114,422 |
Total separate account collateral held under securities lending agreements | 17,392 | 18,778 |
Total | 98,247 | 134,387 |
Separate account collateral liabilities under securities lending agreements | 17,392 | 18,778 |
Total liabilities measured at fair value | 17,392 | 18,778 |
Fair Value, Measurements, Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Deferred Compensation Plan Mutual Funds [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total equity securities at FVTNI | 36 | 56 |
Fair Value, Measurements, Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Equity Securities/Multi-asset Mutual Funds [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total equity securities at FVTNI | 472 | |
Total trading investments | 493 | |
Fair Value, Measurements, Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Debt Securities/ Fixed Income Mutual Funds [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total trading investments | 2 | |
Fair Value, Measurements, Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Equity And Fixed Income Mutual Funds [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total equity method | 140 | 183 |
Fair Value, Measurements, Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Private/ Public Equity [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investments of consolidated VIEs | 6 | |
Fair Value, Measurements, Recurring [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Equity Securities/Multi-Asset Mutual Funds [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investments of consolidated VIEs | 600 | 440 |
Total separate account collateral held under securities lending agreements | 17,392 | 18,778 |
Fair Value, Measurements, Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total debt securities | 218 | |
Available-for-sale | 96 | |
Total trading investments | 284 | |
Total investments | 218 | 380 |
Total investments of consolidated VIEs | 982 | 477 |
Separate account assets | 27,667 | 34,582 |
Total separate account collateral held under securities lending agreements | 2,183 | 5,412 |
Total | 31,050 | 40,851 |
Separate account collateral liabilities under securities lending agreements | 2,183 | 5,412 |
Other liabilities | 6 | 7 |
Total liabilities measured at fair value | 2,189 | 5,419 |
Fair Value, Measurements, Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member] | Debt Securities/ Fixed Income Mutual Funds [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Trading securities ($148 debt securities of consolidated sponsored investment funds) | 176 | |
Total trading investments | 284 | |
Fair Value, Measurements, Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member] | Private/ Public Equity [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investments of consolidated VIEs | 2 | |
Fair Value, Measurements, Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member] | Bank Loans [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investments of consolidated VIEs | 9 | |
Fair Value, Measurements, Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member] | Debt Securities [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investments of consolidated VIEs | 973 | 475 |
Total separate account collateral held under securities lending agreements | 2,183 | 5,412 |
Fair Value, Measurements, Recurring [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investments of consolidated VIEs | 149 | 116 |
Total | 149 | 116 |
Borrowings of consolidated VIEs | 44 | |
Other liabilities | 259 | 236 |
Total liabilities measured at fair value | 303 | 236 |
Fair Value, Measurements, Recurring [Member] | Significant Unobservable Inputs (Level 3) [Member] | Private/ Public Equity [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investments of consolidated VIEs | 105 | 116 |
Fair Value, Measurements, Recurring [Member] | Significant Unobservable Inputs (Level 3) [Member] | Bank Loans [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investments of consolidated VIEs | 44 | |
Fair Value, Measurements, Recurring [Member] | Available-for-sale [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total debt securities | 42 | |
Fair Value, Measurements, Recurring [Member] | Available-for-sale [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total debt securities | 42 | |
Fair Value, Measurements, Recurring [Member] | Investments Measured At NAV [Member] | Investment in NAV [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total equity method | 636 | 621 |
Total investments | 636 | 621 |
Total investments of consolidated VIEs | 106 | 112 |
Total | 742 | 733 |
Fair Value, Measurements, Recurring [Member] | Investments Measured At NAV [Member] | Investment in NAV [Member] | Equity And Fixed Income Mutual Funds [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total equity method | 14 | 12 |
Fair Value, Measurements, Recurring [Member] | Investments Measured At NAV [Member] | Investment in NAV [Member] | Other Types Of Investments [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total equity method | 622 | 609 |
Total investments of consolidated VIEs | 57 | 53 |
Fair Value, Measurements, Recurring [Member] | Investments Measured At NAV [Member] | Investment in NAV [Member] | Private/ Public Equity [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investments of consolidated VIEs | 49 | 59 |
Fair Value, Measurements, Recurring [Member] | Other Assets Not Held at Fair Value [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total debt securities | 145 | |
Held-to-maturity securities | 145 | 102 |
Total equity method | 3 | 12 |
Federal Reserve Bank Stock | 92 | |
Cost method investments | 93 | |
Carried interest | 18 | 32 |
Total investments | 258 | 239 |
Total investments of consolidated VIEs | 380 | 342 |
Separate account assets | 708 | 933 |
Total | 1,346 | 1,514 |
Fair Value, Measurements, Recurring [Member] | Other Assets Not Held at Fair Value [Member] | Other Types Of Investments [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total equity method | 3 | 12 |
Fair Value, Measurements, Recurring [Member] | Other Assets Not Held at Fair Value [Member] | Private/ Public Equity [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investments of consolidated VIEs | 74 | 76 |
Fair Value, Measurements, Recurring [Member] | Other Assets Not Held at Fair Value [Member] | Carried Interest [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investments of consolidated VIEs | $ 306 | $ 266 |
Fair Value Disclosures - Additi
Fair Value Disclosures - Additional Information (Detail) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2018 | Dec. 31, 2017 | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Trading debt securities for which fair value option elected | $ 176 | |
Collateralized loan obligations outstanding borrowings maturity year | 2,030 | |
Fair Value Option [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Trading debt securities for which fair value option elected | $ 28 | |
Consolidated Variable Interest Entities [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Trading debt securities for which fair value option elected | 973 | $ 475 |
Significant Unobservable Inputs (Level 3) [Member] | Private/ Public Equity [Member] | Consolidated Variable Interest Entities [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total investments | $ 149 | $ 116 |
Fair Value Disclosures - Change
Fair Value Disclosures - Changes in Level 3 Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Assets measured at fair value, beginning balance | $ 140 | $ 116 | $ 143 | |
Realized and Unrealized Gains (Losses) in Earnings and OCI, Assets | 1 | 1 | 2 | |
Purchases, Assets | 31 | 27 | ||
Sales and Maturities, Assets | (12) | |||
Issuances and other Settlements, Assets | 44 | |||
Transfers out of Level 3, Assets | (2) | (31) | (33) | |
Assets measured at fair value, ending balance | $ 149 | 139 | 149 | 139 |
Total Net Unrealized Gains (Losses) Included in Earnings | 1 | |||
Liabilities measured at fair value, beginning balance | 223 | 236 | ||
Realized and Unrealized Gains (Losses) in Earnings and OCI, Liabilities | (30) | (33) | ||
Issuances and other Settlements, Liabilities | 50 | 34 | ||
Liabilities measured at fair value, ending balance | 303 | 303 | ||
Total Net Unrealized Gains (Losses) Included in Earnings | (30) | (33) | ||
Available-for-sale Securities [Member] | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Assets measured at fair value, beginning balance | 23 | 24 | ||
Purchases, Assets | 23 | |||
Transfers out of Level 3, Assets | (24) | |||
Assets measured at fair value, ending balance | 23 | 23 | ||
Trading Securities [Member] | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Assets measured at fair value, beginning balance | 4 | 7 | ||
Purchases, Assets | 4 | |||
Transfers out of Level 3, Assets | (2) | (9) | ||
Assets measured at fair value, ending balance | 2 | 2 | ||
Investments [Member] | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Assets measured at fair value, beginning balance | 27 | 31 | ||
Purchases, Assets | 31 | 27 | ||
Transfers out of Level 3, Assets | (2) | (31) | (33) | |
Assets measured at fair value, ending balance | 25 | 25 | ||
Other Liabilities [Member] | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Liabilities measured at fair value, beginning balance | 223 | 218 | 236 | 115 |
Realized and Unrealized Gains (Losses) in Earnings and OCI, Liabilities | (30) | (7) | (33) | (2) |
Issuances and other Settlements, Liabilities | 6 | 3 | (10) | 111 |
Liabilities measured at fair value, ending balance | 259 | 228 | 259 | 228 |
Total Net Unrealized Gains (Losses) Included in Earnings | (7) | (2) | ||
Debt securities [Member] | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Purchases, Assets | 31 | |||
Transfers out of Level 3, Assets | (31) | |||
Debt securities [Member] | Available-for-sale Securities [Member] | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Purchases, Assets | 26 | |||
Transfers out of Level 3, Assets | (26) | |||
Debt securities [Member] | Trading Securities [Member] | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Purchases, Assets | 5 | |||
Transfers out of Level 3, Assets | (5) | |||
Consolidated Variable Interest Entities [Member] | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Assets measured at fair value, beginning balance | 104 | 116 | ||
Realized and Unrealized Gains (Losses) in Earnings and OCI, Assets | 1 | 1 | ||
Sales and Maturities, Assets | (12) | |||
Issuances and other Settlements, Assets | 44 | 44 | ||
Assets measured at fair value, ending balance | 149 | 149 | ||
Total Net Unrealized Gains (Losses) Included in Earnings | 1 | |||
Consolidated Variable Interest Entities [Member] | Borrowings [Member] | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Issuances and other Settlements, Liabilities | 44 | 44 | ||
Liabilities measured at fair value, ending balance | 44 | 44 | ||
Consolidated Variable Interest Entities [Member] | Bank Loans [Member] | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Issuances and other Settlements, Assets | 44 | 44 | ||
Assets measured at fair value, ending balance | 44 | 44 | ||
Consolidated Variable Interest Entities [Member] | Private/ Public Equity [Member] | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Assets measured at fair value, beginning balance | 104 | 113 | 116 | 112 |
Realized and Unrealized Gains (Losses) in Earnings and OCI, Assets | 1 | 1 | 1 | 2 |
Sales and Maturities, Assets | (12) | |||
Assets measured at fair value, ending balance | $ 105 | 114 | $ 105 | 114 |
Total Net Unrealized Gains (Losses) Included in Earnings | $ 1 | $ 2 |
Fair Value Disclosures - Chan_2
Fair Value Disclosures - Changes in Level 3 Assets and Liabilities Measured at Fair Value on Recurring Basis (Parenthetical) (Detail) - USD ($) $ in Millions | Jul. 31, 2017 | Jun. 30, 2017 |
Cachematrix Transaction [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Contingent liability included in issuance and other settlements | $ 9 | $ 9 |
First Reserve Transaction [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Contingent liability included in issuance and other settlements | $ 120 |
Fair Value Disclosures - Fair V
Fair Value Disclosures - Fair Value of Financial Assets and Financial Liabilities (Detail) - USD ($) $ in Millions | Sep. 30, 2018 | Dec. 31, 2017 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and cash equivalents | $ 6,358 | $ 6,894 |
Long-term borrowings | 4,991 | 5,014 |
Consolidated Variable Interest Entities [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and cash equivalents | 222 | 144 |
Long-term borrowings | 44 | |
Carrying Amount [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and cash equivalents | 6,358 | 6,894 |
Other assets | 26 | 70 |
Carrying Amount [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term borrowings | 4,991 | 5,014 |
Carrying Amount [Member] | Consolidated Variable Interest Entities [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and cash equivalents | 222 | 144 |
Estimated Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and cash equivalents | 6,358 | 6,894 |
Other assets | 26 | 70 |
Estimated Fair Value [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term borrowings | 5,033 | 5,225 |
Estimated Fair Value [Member] | Consolidated Variable Interest Entities [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and cash equivalents | $ 222 | $ 144 |
Fair Value Disclosures - Fair_2
Fair Value Disclosures - Fair Value of Financial Assets and Financial Liabilities (Parenthetical) (Detail) - USD ($) $ / shares in Units, $ in Millions | Sep. 30, 2018 | Dec. 31, 2017 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and cash equivalents | $ 6,358 | $ 6,894 |
Money market valuation per share floor | $ 1 | |
Money Market Funds [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and cash equivalents | $ 131 | 163 |
Consolidated Variable Interest Entities [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and cash equivalents | 222 | 144 |
Consolidated Variable Interest Entities [Member] | Money Market Funds [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and cash equivalents | $ 12 | $ 14 |
Fair Value Disclosures - Invest
Fair Value Disclosures - Investments in Certain Entities Calculate Net Asset Value per Share (Detail) - USD ($) $ in Millions | 9 Months Ended | 12 Months Ended |
Sep. 30, 2018 | Dec. 31, 2017 | |
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Total Unfunded Commitments | $ 353 | $ 286 |
Fair Value Measured at NAV per share [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Fair Value | 742 | 733 |
Hedge Funds/Funds of Hedge Funds [Member] | Consolidated Variable Interest Entities [Member] | Fair Value Measured at NAV per share [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Fair Value | $ 3 | $ 19 |
Hedge Funds/Funds of Hedge Funds [Member] | Maximum [Member] | Consolidated Variable Interest Entities [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Redemption Notice Period, days | 90 days | 90 days |
Real Assets Funds [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Total Unfunded Commitments | $ 136 | $ 117 |
Real Assets Funds [Member] | Consolidated Variable Interest Entities [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Total Unfunded Commitments | 45 | 49 |
Real Assets Funds [Member] | Consolidated Variable Interest Entities [Member] | Fair Value Measured at NAV per share [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Fair Value | 54 | 34 |
Private Equity Funds Of Funds [Member] | Consolidated Variable Interest Entities [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Total Unfunded Commitments | 18 | 20 |
Private Equity Funds Of Funds [Member] | Consolidated Variable Interest Entities [Member] | Fair Value Measured at NAV per share [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Fair Value | 49 | 59 |
Equity Method Investments [Member] | Hedge Funds/Funds of Hedge Funds [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Total Unfunded Commitments | $ 94 | $ 48 |
Redemption Frequency (Daily) | 31.00% | 21.00% |
Redemption Frequency (Monthly) | 31.00% | 21.00% |
Redemption Frequency (Quarterly) | 18.00% | 49.00% |
Redemption Frequency (Not Redeemable) | 51.00% | 30.00% |
Equity Method Investments [Member] | Hedge Funds/Funds of Hedge Funds [Member] | Fair Value Measured at NAV per share [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Fair Value | $ 176 | $ 230 |
Equity Method Investments [Member] | Hedge Funds/Funds of Hedge Funds [Member] | Minimum [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Redemption Notice Period, days | 1 day | 1 day |
Equity Method Investments [Member] | Hedge Funds/Funds of Hedge Funds [Member] | Maximum [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Redemption Notice Period, days | 90 days | 90 days |
Equity Method Investments [Member] | Private Equity Funds [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Total Unfunded Commitments | $ 88 | $ 86 |
Equity Method Investments [Member] | Private Equity Funds [Member] | Fair Value Measured at NAV per share [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Fair Value | 111 | 94 |
Equity Method Investments [Member] | Real Assets Funds [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Total Unfunded Commitments | $ 91 | $ 69 |
Redemption Frequency (Quarterly) | 73.00% | 83.00% |
Redemption Frequency (Not Redeemable) | 27.00% | 17.00% |
Redemption Notice Period, Not Redeemable | 60 days | |
Equity Method Investments [Member] | Real Assets Funds [Member] | Fair Value Measured at NAV per share [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Fair Value | $ 335 | $ 282 |
Equity Method Investments [Member] | Real Assets Funds [Member] | Maximum [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Redemption Notice Period, days | 60 days | |
Equity Method Investments [Member] | Other Types Of Investments [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Total Unfunded Commitments | $ 17 | $ 14 |
Redemption Frequency (Daily) | 79.00% | 80.00% |
Redemption Frequency (Monthly) | 79.00% | |
Redemption Frequency (Not Redeemable) | 21.00% | 20.00% |
Equity Method Investments [Member] | Other Types Of Investments [Member] | Fair Value Measured at NAV per share [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Fair Value | $ 14 | $ 15 |
Equity Method Investments [Member] | Other Types Of Investments [Member] | Minimum [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Redemption Notice Period, days | 3 days | |
Equity Method Investments [Member] | Other Types Of Investments [Member] | Maximum [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Redemption Notice Period, days | 5 days | 5 days |
Fair Value Disclosures - Inve_2
Fair Value Disclosures - Investments in Certain Entities Calculate Net Asset Value per Share (Parenthetical) (Detail) - USD ($) $ in Millions | Sep. 30, 2018 | Dec. 31, 2017 |
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Total Unfunded Commitments | $ 353 | $ 286 |
Real Assets Funds [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Total Unfunded Commitments | 136 | 117 |
Amount of unfunded commitments contractually obligated to fund | 120 | 98 |
Real Assets Funds [Member] | Consolidated Variable Interest Entities [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Total Unfunded Commitments | 45 | 49 |
Private Equity Funds Of Funds [Member] | Consolidated Variable Interest Entities [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Total Unfunded Commitments | 18 | 20 |
Amount of unfunded commitments contractually obligated to fund | $ 23 | $ 23 |
Fair Value Disclosures - Summar
Fair Value Disclosures - Summary of Information Related to Assets and Liabilities of Consolidated CLO Recorded within Investments and Borrowings of Consilidated VIEs Respetively for which Fair Value Option was Elected (Detail) $ in Millions | Sep. 30, 2018USD ($) |
CLO Bank Loans [Member] | |
Fair Value Option Quantitative Disclosures [Line Items] | |
Aggregate principal amounts outstanding | $ 53 |
Fair value | 53 |
CLO Borrowings [Member] | |
Fair Value Option Quantitative Disclosures [Line Items] | |
Aggregate principal amounts outstanding | 43 |
Fair value | $ 44 |
Derivatives and Hedging - Addit
Derivatives and Hedging - Additional Information (Detail) - USD ($) $ in Millions | Sep. 30, 2018 | Dec. 31, 2017 |
Derivative [Line Items] | ||
Derivative maximum risk of loss for credit protection | $ 17 | $ 17 |
Forward Foreign Currency Exchange Contracts [Member] | ||
Derivative [Line Items] | ||
Notional value | 2,300 | 1,500 |
Total Return Swaps [Member] | ||
Derivative [Line Items] | ||
Notional value | $ 546 | $ 587 |
Derivatives and Hedging - Summa
Derivatives and Hedging - Summary of Gains (Losses) Recognized in Condensed Consolidated Statements of Income on Derivative Instruments (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Derivative Instruments Gain Loss [Line Items] | ||||
Total gain (loss) from derivative instruments | $ (39) | $ 3 | $ (95) | $ (34) |
Interest Rate Swaps [Member] | Nonoperating Income (Expense) [Member] | ||||
Derivative Instruments Gain Loss [Line Items] | ||||
Total gain (loss) from derivative instruments | (2) | |||
Forward Foreign Currency Exchange Contracts [Member] | Other General and Administration Expense [Member] | ||||
Derivative Instruments Gain Loss [Line Items] | ||||
Total gain (loss) from derivative instruments | (27) | 29 | (90) | 58 |
Total Return Swaps [Member] | Nonoperating Income (Expense) [Member] | ||||
Derivative Instruments Gain Loss [Line Items] | ||||
Total gain (loss) from derivative instruments | $ (12) | $ (26) | $ (5) | $ (90) |
Goodwill - Goodwill Activity (D
Goodwill - Goodwill Activity (Detail) $ in Millions | 9 Months Ended |
Sep. 30, 2018USD ($) | |
Goodwill Roll Forward | |
Beginning balance | $ 13,220 |
Acquisitions | 314 |
Goodwill adjustment related to Quellos | (8) |
Ending balance | $ 13,526 |
Goodwill - Goodwill Activity (P
Goodwill - Goodwill Activity (Parenthetical) (Detail) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2018 | Dec. 31, 2017 | |
Goodwill [Line Items] | ||
Acquisitions | $ 314 | |
Excess of tax goodwill over book goodwill | 145 | $ 168 |
Tennenbaum Capital Partners, LLC [Member] | ||
Goodwill [Line Items] | ||
Acquisitions | 184 | |
Total cash consideration paid for acquisitions | 393 | |
Citibanamex [Member] | ||
Goodwill [Line Items] | ||
Acquisitions | 130 | |
Total consideration at closing for acquisitions | $ 360 |
Intangible Assets - Carrying Am
Intangible Assets - Carrying Amounts of Identifiable Intangible Assets (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Goodwill And Intangible Assets Disclosure [Abstract] | ||||
Indefinite-lived intangible assets, Beginning balance | $ 17,178 | |||
Indefinite-lived intangible assets, acquisitions | 400 | |||
Indefinite-lived intangible assets, Ending balance | $ 17,578 | 17,578 | ||
Finite-lived intangible assets, Beginning balance | 211 | |||
Finite-lived intangible assets, amortization expense | (13) | $ (27) | (35) | $ (77) |
Finite-lived intangible assets, acquisitions | 100 | |||
Finite-lived intangible assets, Ending balance | 276 | 276 | ||
Intangible assets, Beginning balance | 17,389 | |||
Intangible assets, acquisitions | 500 | |||
Intangible assets, Ending balance | $ 17,854 | $ 17,854 |
Intangible Assets - Carrying _2
Intangible Assets - Carrying Amounts of Identifiable Intangible Assets (Parenthetical) (Detail) $ in Millions | 9 Months Ended |
Sep. 30, 2018USD ($) | |
Schedule Of Intangible Assets [Line Items] | |
Indefinite-lived intangible assets, acquired | $ 400 |
Finite-lived intangible assets, acquired | 100 |
Tennenbaum Capital Partners, LLC [Member] | Indefinite-lived Management Contracts [Member] | |
Schedule Of Intangible Assets [Line Items] | |
Indefinite-lived intangible assets, acquired | 145 |
Tennenbaum Capital Partners, LLC [Member] | Finite-lived Management Contracts [Member] | |
Schedule Of Intangible Assets [Line Items] | |
Finite-lived intangible assets, acquired | $ 69 |
Acquired finite-lived intangible assets weighted-average useful life | 8 years |
Citibanamex [Member] | Indefinite-lived Management Contracts [Member] | |
Schedule Of Intangible Assets [Line Items] | |
Indefinite-lived intangible assets, acquired | $ 255 |
Citibanamex [Member] | Finite-lived Management Contracts [Member] | |
Schedule Of Intangible Assets [Line Items] | |
Finite-lived intangible assets, acquired | $ 31 |
Acquired finite-lived intangible assets weighted-average useful life | 8 years |
Borrowings - Additional Informa
Borrowings - Additional Information (Detail) | 9 Months Ended |
Sep. 30, 2018USD ($) | |
Commercial Paper [Member] | |
Debt Instrument [Line Items] | |
Maximum amount available under facility | $ 4,000,000,000 |
Amount outstanding under credit facility | 0 |
2018 Revolving Credit Facility [Member] | |
Debt Instrument [Line Items] | |
Unsecured revolving credit facility | 4,000,000,000 |
Additional amount available, subject to lender credit approval | 1,000,000,000 |
Maximum amount available under facility | 5,000,000,000 |
Amount outstanding under credit facility | $ 0 |
Extended debt instrument maturity date | 2023-03 |
Line of credit facility, covenant terms | The 2018 credit facility requires the Company not to exceed a maximum leverage ratio (ratio of net debt to earnings before interest, taxes, depreciation and amortization, where net debt equals total debt less unrestricted cash) of 3 to 1 |
Line of credit facility, covenant compliance | satisfied with a ratio of less than 1 to 1 |
Borrowings - Carrying Value and
Borrowings - Carrying Value and Fair Value of Long-Term Borrowings (Detail) - USD ($) $ in Millions | Sep. 30, 2018 | Dec. 31, 2017 |
Debt Instrument [Line Items] | ||
Maturity Amount | $ 5,013 | |
Unamortized Discount and Debt Issuance Costs | (22) | |
Carrying Value | 4,991 | $ 5,014 |
Fair Value | 5,033 | |
5.00% Notes due 2019 [Member] | ||
Debt Instrument [Line Items] | ||
Maturity Amount | 1,000 | |
Carrying Value | 1,000 | |
Fair Value | 1,021 | |
4.25% Notes due 2021 [Member] | ||
Debt Instrument [Line Items] | ||
Maturity Amount | 750 | |
Unamortized Discount and Debt Issuance Costs | (1) | |
Carrying Value | 749 | |
Fair Value | 768 | |
3.375% Notes due 2022 [Member] | ||
Debt Instrument [Line Items] | ||
Maturity Amount | 750 | |
Unamortized Discount and Debt Issuance Costs | (4) | |
Carrying Value | 746 | |
Fair Value | 750 | |
3.50% Notes due 2024 [Member] | ||
Debt Instrument [Line Items] | ||
Maturity Amount | 1,000 | |
Unamortized Discount and Debt Issuance Costs | (5) | |
Carrying Value | 995 | |
Fair Value | 999 | |
1.25% Notes due 2025 [Member] | ||
Debt Instrument [Line Items] | ||
Maturity Amount | 813 | |
Unamortized Discount and Debt Issuance Costs | (5) | |
Carrying Value | 808 | |
Fair Value | 823 | |
3.20% Notes due 2027 [Member] | ||
Debt Instrument [Line Items] | ||
Maturity Amount | 700 | |
Unamortized Discount and Debt Issuance Costs | (7) | |
Carrying Value | 693 | |
Fair Value | $ 672 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) $ in Millions | 9 Months Ended | |
Sep. 30, 2018USD ($)ft² | Dec. 31, 2017USD ($) | |
Commitment And Contingencies [Line Items] | ||
Various capital commitments to fund sponsored investment funds, including funds of private equity funds, real assets funds, opportunistic funds and distressed credit funds | $ 348 | |
Derivative maximum risk of loss for credit protection | 17 | $ 17 |
Securities lending loan balances indemnified | 211,000 | |
Collateral for indemnified securities | 225,000 | |
Other Liabilities [Member] | ||
Commitment And Contingencies [Line Items] | ||
Contingent consideration at fair value | $ 259 | |
Operating Lease [Member] | ||
Commitment And Contingencies [Line Items] | ||
Area of office space | ft² | 847,000 | |
Operating leases, term of contract | 20 years | |
Expected lease commencement date | May 31, 2023 | |
Annual base rental payments first five years | $ 51 | |
Annual base rental payments five to ten years | 58 | |
Annual base rental payments ten to fifteen years | 66 | |
Annual base rental payments fifteen to twenty years | 74 | |
Total operating lease minimum commitments | $ 1,200 |
Revenue - Summary of Investment
Revenue - Summary of Investment Advisory, Administration Fees and Securities Lending Revenue by Type (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | $ 3,576 | $ 3,508 | $ 10,764 | $ 9,836 |
Investment Advisory, Administration Fees and Securities Lending Revenue [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 2,883 | 2,781 | 8,774 | 7,971 |
Investment Advisory, Administration Fees and Securities Lending Revenue [Member] | Equity Active Product [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 405 | 418 | 1,269 | 1,229 |
Investment Advisory, Administration Fees and Securities Lending Revenue [Member] | Equity iShares ETFs [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 885 | 835 | 2,722 | 2,332 |
Investment Advisory, Administration Fees and Securities Lending Revenue [Member] | Equity Non-ETF Index [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 169 | 168 | 532 | 503 |
Investment Advisory, Administration Fees and Securities Lending Revenue [Member] | Equity [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 1,459 | 1,421 | 4,523 | 4,064 |
Investment Advisory, Administration Fees and Securities Lending Revenue [Member] | Fixed Income Active [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 460 | 437 | 1,374 | 1,268 |
Investment Advisory, Administration Fees and Securities Lending Revenue [Member] | Fixed Income iShares ETFs [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 205 | 210 | 620 | 595 |
Investment Advisory, Administration Fees and Securities Lending Revenue [Member] | Fixed Income Non-ETF Index [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 98 | 88 | 292 | 257 |
Investment Advisory, Administration Fees and Securities Lending Revenue [Member] | Fixed Income [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 763 | 735 | 2,286 | 2,120 |
Investment Advisory, Administration Fees and Securities Lending Revenue [Member] | Multi-asset [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 298 | 289 | 889 | 843 |
Investment Advisory, Administration Fees and Securities Lending Revenue [Member] | Alternatives [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 209 | 192 | 614 | 536 |
Investment Advisory, Administration Fees and Securities Lending Revenue [Member] | Alternatives [Member] | Core [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 185 | 169 | 539 | 469 |
Investment Advisory, Administration Fees and Securities Lending Revenue [Member] | Alternatives [Member] | Currency and Commodities [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 24 | 23 | 75 | 67 |
Investment Advisory, Administration Fees and Securities Lending Revenue [Member] | Cash Management [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 154 | 144 | 462 | 408 |
Investment Advisory Performance Fees [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 151 | 191 | 312 | 309 |
Investment Advisory Performance Fees [Member] | Equity [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 7 | 30 | 68 | 57 |
Investment Advisory Performance Fees [Member] | Fixed Income [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 9 | 2 | 20 | |
Investment Advisory Performance Fees [Member] | Multi-asset [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 1 | 2 | 15 | 14 |
Investment Advisory Performance Fees [Member] | Alternatives [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 143 | 150 | 227 | 218 |
Technology Services Revenue [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 200 | 169 | 582 | 481 |
Distribution Fees [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 279 | 298 | 884 | 877 |
Distribution Fees [Member] | Retrocessions [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 168 | 175 | 541 | 490 |
Distribution Fees [Member] | 12b-1 Fees (U.S. Mutual Funds Distribution Fees) [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 102 | 113 | 313 | 356 |
Distribution Fees [Member] | Other Distribution Fees [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 9 | 10 | 30 | 31 |
Advisory and Other Revenue [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 63 | 69 | 212 | 198 |
Long-term [Member] | Investment Advisory, Administration Fees and Securities Lending Revenue [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 2,729 | 2,637 | 8,312 | 7,563 |
Advisory [Member] | Advisory and Other Revenue [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 26 | 25 | 80 | 74 |
Other [Member] | Advisory and Other Revenue [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | $ 37 | $ 44 | $ 132 | $ 124 |
Revenue - Summary of Investme_2
Revenue - Summary of Investment Advisory, Administration Fees and Securities Lending Revenue by Client Type, Investment Style and Product Type (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | $ 3,576 | $ 3,508 | $ 10,764 | $ 9,836 |
Revenue by Client Type [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 2,883 | 2,781 | 8,774 | 7,971 |
Revenue by Client Type [Member] | Retail | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 860 | 827 | 2,573 | 2,410 |
Revenue by Client Type [Member] | Institutional Active [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 504 | 495 | 1,542 | 1,429 |
Revenue by Client Type [Member] | iShares ETFs [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 1,113 | 1,067 | 3,414 | 2,990 |
Revenue by Client Type [Member] | Institutional Index [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 252 | 248 | 783 | 734 |
Revenue by Client Type [Member] | Institutional [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 756 | 743 | 2,325 | 2,163 |
Revenue by Client Type [Member] | Cash Management [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 154 | 144 | 462 | 408 |
Revenue by Client Type [Member] | Long-term [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 2,729 | 2,637 | 8,312 | 7,563 |
Revenue by Investment Style [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 2,883 | 2,781 | 8,774 | 7,971 |
Revenue by Investment Style [Member] | Active [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 1,346 | 1,309 | 4,063 | 3,796 |
Revenue by Investment Style [Member] | Cash Management [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 154 | 144 | 462 | 408 |
Revenue by Investment Style [Member] | Index and iShares ETFs [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 1,383 | 1,328 | 4,249 | 3,767 |
Revenue by Investment Style [Member] | Long-term [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 2,729 | 2,637 | 8,312 | 7,563 |
Revenue by Product Type [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 2,883 | 2,781 | 8,774 | 7,971 |
Revenue by Product Type [Member] | Cash Management [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 154 | 144 | 462 | 408 |
Revenue by Product Type [Member] | Equity [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 1,459 | 1,420 | 4,523 | 4,064 |
Revenue by Product Type [Member] | Fixed Income [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 763 | 736 | 2,286 | 2,120 |
Revenue by Product Type [Member] | Multi-asset [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 298 | 289 | 889 | 843 |
Revenue by Product Type [Member] | Alternatives [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | 209 | 192 | 614 | 536 |
Revenue by Product Type [Member] | Long-term [Member] | ||||
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | ||||
Total revenue | $ 2,729 | $ 2,637 | $ 8,312 | $ 7,563 |
Revenue - Schedule of Estimated
Revenue - Schedule of Estimated Investment Advisory, Administration Fees Expected to be Recognized in Future, Related to Unsatisfied Portion of Performance Obligations (Detail) - Investment Advisory, Administration Fees and Securities Lending Revenue [Member] $ in Millions | Sep. 30, 2018USD ($) |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2018-10-01 | |
Schedule of Investment Advisory Administration Fees and Performance Fees by Type [line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 3 months |
Revenue, Remaining Performance Obligation | $ 21 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2019-01-01 | |
Schedule of Investment Advisory Administration Fees and Performance Fees by Type [line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year |
Revenue, Remaining Performance Obligation | $ 74 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2020-01-01 | |
Schedule of Investment Advisory Administration Fees and Performance Fees by Type [line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year |
Revenue, Remaining Performance Obligation | $ 63 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2021-01-01 | |
Schedule of Investment Advisory Administration Fees and Performance Fees by Type [line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year |
Revenue, Remaining Performance Obligation | $ 49 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2022-01-01 | |
Schedule of Investment Advisory Administration Fees and Performance Fees by Type [line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | |
Revenue, Remaining Performance Obligation | $ 46 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: (nil) | |
Schedule of Investment Advisory Administration Fees and Performance Fees by Type [line Items] | |
Revenue, Remaining Performance Obligation | $ 253 |
Revenue - Schedule of Changes i
Revenue - Schedule of Changes in Deferred Carried Interest Liability (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Revenue From Contract With Customer [Abstract] | ||||
Beginning balance | $ 242 | $ 169 | $ 219 | $ 152 |
Net increase (decrease) in unrealized allocations | 17 | 23 | 44 | 54 |
Performance fee revenue recognized that was included in the beginning balance | (2) | (6) | (14) | |
Ending balance | $ 257 | $ 192 | $ 257 | $ 192 |
Revenue - Schedule of Estimat_2
Revenue - Schedule of Estimated Technology Services Revenue Expected to Be Recognized in Future, Related to Unsatisfied Portion of Performance Obligations (Detail) - Technology Services Revenue [Member] $ in Millions | Sep. 30, 2018USD ($) |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2018-10-01 | |
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 3 months |
Revenue, Remaining Performance Obligation | $ 8 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2019-01-01 | |
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year |
Revenue, Remaining Performance Obligation | $ 27 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2020-01-01 | |
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year |
Revenue, Remaining Performance Obligation | $ 23 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2021-01-01 | |
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year |
Revenue, Remaining Performance Obligation | $ 18 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2022-01-01 | |
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | |
Revenue, Remaining Performance Obligation | $ 15 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: (nil) | |
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | |
Revenue, Remaining Performance Obligation | $ 91 |
Revenue - Additional Informatio
Revenue - Additional Information (Detail) $ in Millions | 9 Months Ended |
Sep. 30, 2018USD ($) | |
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | |
Estimated annual fixed minimum fees for currently outstanding contracts | $ 133 |
Minimum [Member] | |
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | |
Term of currently outstanding contracts | 1 year |
Maximum [Member] | |
Schedule of Investment Advisory Administration Fees and Securities Lending Revenue and Performance Fees by Type [line Items] | |
Term of currently outstanding contracts | 5 years |
Revenue - Schedule of Changes_2
Revenue - Schedule of Changes in Technology Services Deferred Revenue Liability (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Revenue From Contract With Customer [Abstract] | ||||
Beginning balance | $ 64 | $ 52 | $ 62 | $ 42 |
Additions | 11 | 13 | 31 | 33 |
Revenue recognized that was included in the beginning balance | (10) | (7) | (28) | (17) |
Ending balance | $ 65 | $ 58 | $ 65 | $ 58 |
Stock-Based Compensation - Rest
Stock-Based Compensation - Restricted Stock and RSU Activity (Detail) - $ / shares | 1 Months Ended | 9 Months Ended |
Jan. 31, 2018 | Sep. 30, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Restricted Stock and RSUs, beginning of period | 2,608,668 | 2,608,668 |
Restricted Stock and RSUs, Granted | 830,424 | |
Restricted Stock and RSUs, Converted | (1,247,109) | |
Restricted Stock and RSUs, Forfeited | (49,678) | |
Restricted Stock and RSUs, end of period | 2,142,305 | |
Weighted-Average Grant Date Fair Value, beginning of period | $ 342.79 | $ 342.79 |
Weighted-Average Grant Date Fair Value, Granted | 560.16 | |
Weighted-Average Grant Date Fair Value, Converted | 338.06 | |
Weighted-Average Grant Date Fair Value, Forfeited | 421.08 | |
Weighted-Average Grant Date Fair Value, end of period | $ 428.08 | |
Performance-Based RSUs [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Restricted Stock and RSUs, beginning of period | 903,525 | 903,525 |
Restricted Stock and RSUs, Granted | 199,068 | 199,068 |
Restricted Stock and RSUs, Additional Grants | 23,376 | 23,376 |
Restricted Stock and RSUs, Converted | (269,648) | |
Restricted Stock and RSUs, Forfeited | (11,036) | |
Restricted Stock and RSUs, end of period | 845,285 | |
Weighted-Average Grant Date Fair Value, beginning of period | $ 335.12 | $ 335.12 |
Weighted-Average Grant Date Fair Value, Granted | 566.44 | |
Weighted-Average Grant Date Fair Value, Additional Grants | 343.86 | |
Weighted-Average Grant Date Fair Value, Converted | 343.86 | |
Weighted-Average Grant Date Fair Value, Forfeited | 405.47 | |
Weighted-Average Grant Date Fair Value, end of period | $ 386.13 | |
Market Performance-Based RSUs [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Restricted Stock and RSUs, beginning of period | 286,336 | 286,336 |
Restricted Stock and RSUs, Converted | (286,336) | |
Weighted-Average Grant Date Fair Value, beginning of period | $ 195.33 | $ 195.33 |
Weighted-Average Grant Date Fair Value, Converted | $ 195.33 |
Stock-Based Compensation - Re_2
Stock-Based Compensation - Restricted Stock and RSU Activity (Parenthetical) (Detail) shares in Millions | Sep. 30, 2018shares |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Share-based compensation awards expected to vest | 2 |
Awards vested, not converted | 0.2 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Millions | 1 Months Ended | 9 Months Ended |
Jan. 31, 2018 | Sep. 30, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Restricted Stock and RSUs, Granted | 830,424 | |
Fair value of RSUs/restricted stock granted to employees | $ 465 | |
RSUs/Restricted Stock [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Restricted Stock and RSUs, Granted | 527,337 | |
Award vesting period, years | 3 years | |
Awards to employees cliff vesting | 209,201 | |
RSUs to employees that cliff vest, percentage | 100.00% | |
RSUs to employees that cliff vest, date | Jan. 31, 2021 | |
Restricted Stock Units (RSUs) [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Intrinsic value of outstanding RSUs | $ 1,000 | |
Stock price | $ 471.33 | |
Unrecognized stock-based compensation expense | $ 410 | |
Remaining weighted-average period | 1 year 1 month 6 days | |
Performance-Based RSUs [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Restricted Stock and RSUs, Granted | 199,068 | 199,068 |
Award vesting period, years | 3 years | |
Awards to employees cliff vesting | 199,068 | |
RSUs to employees that cliff vest, percentage | 100.00% | |
RSUs to employees that cliff vest, date | Jan. 31, 2021 | |
Intrinsic value of outstanding RSUs | $ 398 | |
Stock price | $ 471.33 | |
Unrecognized stock-based compensation expense | $ 140 | |
Remaining weighted-average period | 1 year 2 months 12 days | |
Restricted Stock and RSUs, Additional Grants | 23,376 | 23,376 |
Fair value of RSUs/restricted stock granted to employees | $ 121 | |
Long-Term Incentive Plans Funded by PNC [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Aggregate number of shares surrendered | 3,900,000 | |
Number of additional shares surrendered | 103,064 | |
Available remaining shares committed by PNC for long-term incentive plans | 100,000 | |
Long-Term Incentive Plans Funded by PNC [Member] | Maximum [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Shares committed to fund long-term incentive plans | 4,000,000 | |
Performance-Based Stock Options [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Unrecognized stock-based compensation expense | $ 174 | |
Remaining weighted-average period | 5 years 2 months 12 days |
Stock-Based Compensation - Stoc
Stock-Based Compensation - Stock Option Activity (Detail) - Performance-Based Stock Options [Member] | 9 Months Ended |
Sep. 30, 2018$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Outstanding, Shares Under Option, Beginning of Period | shares | 2,147,562 |
Outstanding, Shares Under Option, Forfeited | shares | (41,080) |
Outstanding, Shares Under Option, End of Period | shares | 2,106,482 |
Weighted Average Exercise Price, Beginning of Period | $ / shares | $ 513.50 |
Weighted Average Exercise Price, Forfeited | $ / shares | 513.50 |
Weighted Average Exercise Price, End of Period | $ / shares | $ 513.50 |
Net Capital Requirements - Addi
Net Capital Requirements - Additional Information (Detail) $ in Billions | Sep. 30, 2018USD ($) |
Regulatory Capital Requirements [Abstract] | |
Net capital requirement in certain regulated subsidiaries | $ 1.8 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Loss) - Changes in Accumulated Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Balance | $ 31,848 | $ 29,140 | ||
Other comprehensive income (loss) | $ (41) | $ 102 | (178) | 243 |
Balance | 32,470 | 30,078 | 32,470 | 30,078 |
Foreign Currency Translation Adjustments [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Balance | (577) | (579) | (436) | (721) |
Other comprehensive income (loss) | (41) | 102 | (176) | 244 |
Reclassification as a result of adoption of ASU 2018-02 | (6) | |||
Balance | (618) | (477) | (618) | (477) |
Other [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Balance | 2 | 4 | 4 | 5 |
Other comprehensive income (loss) | (2) | (1) | ||
Balance | 2 | 4 | 2 | 4 |
Accumulated Other Comprehensive Income (Loss) [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Balance | (575) | (575) | (432) | (716) |
Other comprehensive income (loss) | (41) | 102 | (178) | 243 |
Reclassification as a result of adoption of ASU 2018-02 | (6) | |||
Balance | $ (616) | $ (473) | $ (616) | $ (473) |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Income (Loss) - Changes in Accumulated Other Comprehensive Income (Loss) (Parenthetical) (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Amounts Reclassified Out Of Accumulated Other Comprehensive Income Loss [Abstract] | ||||
Gains (losses) from net investment hedging, net of tax | $ 4 | $ (18) | $ 22 | $ (56) |
Gains (losses) from net investment hedging, tax (expense) benefit | $ (1) | $ 11 | $ (7) | $ 33 |
Capital Stock - Preferred Share
Capital Stock - Preferred Shares Authorized, Issued and Outstanding (Detail) - shares | Sep. 30, 2018 | Dec. 31, 2017 |
Series A Nonvoting Participating Preferred Stock [Member] | ||
Class of Stock [Line Items] | ||
Shares authorized, $0.01 par value | 20,000,000 | 20,000,000 |
Shares issued | 0 | 0 |
Shares outstanding | 0 | 0 |
Series B Nonvoting Participating Preferred Stock [Member] | ||
Class of Stock [Line Items] | ||
Shares authorized, $0.01 par value | 150,000,000 | 150,000,000 |
Shares issued | 823,188 | 823,188 |
Shares outstanding | 823,188 | 823,188 |
Series C Nonvoting Participating Preferred Stock [Member] | ||
Class of Stock [Line Items] | ||
Shares authorized, $0.01 par value | 6,000,000 | 6,000,000 |
Shares issued | 143,458 | 246,522 |
Shares outstanding | 143,458 | 246,522 |
Series D Nonvoting Participating Preferred Stock [Member] | ||
Class of Stock [Line Items] | ||
Shares authorized, $0.01 par value | 20,000,000 | 20,000,000 |
Shares issued | 0 | 0 |
Shares outstanding | 0 | 0 |
Capital Stock - Preferred Sha_2
Capital Stock - Preferred Shares Authorized, Issued and Outstanding (Parenthetical) (Detail) - $ / shares | Sep. 30, 2018 | Dec. 31, 2017 |
Series A Nonvoting Participating Preferred Stock [Member] | ||
Class of Stock [Line Items] | ||
Preferred stock, par value | $ 0.01 | $ 0.01 |
Series B Nonvoting Participating Preferred Stock [Member] | ||
Class of Stock [Line Items] | ||
Preferred stock, par value | 0.01 | 0.01 |
Series C Nonvoting Participating Preferred Stock [Member] | ||
Class of Stock [Line Items] | ||
Preferred stock, par value | 0.01 | 0.01 |
Series D Nonvoting Participating Preferred Stock [Member] | ||
Class of Stock [Line Items] | ||
Preferred stock, par value | $ 0.01 | $ 0.01 |
Capital Stock - Additional Info
Capital Stock - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |
Mar. 31, 2018 | Sep. 30, 2018 | Sep. 30, 2017 | |
Schedule of Capitalization, Equity [Line Items] | |||
Common shares repurchased | 2,200,000 | ||
Common shares repurchased, value | $ 1,135 | $ 825 | |
Shares authorized to be repurchased | 4,200,000 | ||
Series C Nonvoting Participating Preferred Stock [Member] | PNC [Member] | |||
Schedule of Capitalization, Equity [Line Items] | |||
Surrender of share of series non- voting preferred stock | 103,064 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | Dec. 31, 2017 | |
Income Taxes Disclosure [Line Items] | |||||
Federal statutory tax rate | 21.00% | 35.00% | |||
Net tax benefit related to 2017 tax act | $ 1,200 | ||||
Tax cuts and jobs act, discrete tax benefit | $ 90 | 90 | |||
Discrete income tax benefit for vested stock awards | $ 58 | $ 84 | |||
State and Local Jurisdiction [Member] | |||||
Income Taxes Disclosure [Line Items] | |||||
Deferred tax expense associated with the revaluation of deferred income tax liabilities as a result of tax changes | $ 19 | $ 19 |
Earnings Per Share - Computatio
Earnings Per Share - Computation of Basic and Diluted EPS under Treasury Stock Method (Detail) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Earnings Per Share [Abstract] | ||||
Net income attributable to BlackRock | $ 1,216 | $ 944 | $ 3,378 | $ 2,657 |
Basic weighted-average shares outstanding | 160,141,506 | 161,872,716 | 160,786,768 | 162,459,737 |
Dilutive effect of nonparticipating RSUs and stock options | 1,236,711 | 1,900,830 | 1,354,111 | 1,829,305 |
Total diluted weighted-average shares outstanding | 161,378,217 | 163,773,546 | 162,140,879 | 164,289,042 |
Basic earnings per share | $ 7.59 | $ 5.83 | $ 21.01 | $ 16.35 |
Diluted earnings per share | $ 7.54 | $ 5.76 | $ 20.83 | $ 16.17 |
Segment Information - Additiona
Segment Information - Additional Information (Detail) | 9 Months Ended |
Sep. 30, 2018Segment | |
Segment Reporting [Abstract] | |
Number of business segments | 1 |
Segment Information - Total Rev
Segment Information - Total Revenue by Geographic Region (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Segment Reporting Information [Line Items] | ||||
Revenue | $ 3,576 | $ 3,508 | $ 10,764 | $ 9,836 |
Americas [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 2,328 | 2,219 | 6,989 | 6,378 |
Europe [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 1,083 | 1,121 | 3,258 | 2,992 |
Asia-Pacific [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | $ 165 | $ 168 | $ 517 | $ 466 |
Segment Information - Schedule
Segment Information - Schedule of Long-Lived Assets by Geographic Region (Detail) - USD ($) $ in Millions | Sep. 30, 2018 | Dec. 31, 2017 |
Segment Reporting Information [Line Items] | ||
Long-lived assets | $ 14,114 | $ 13,812 |
Americas [Member] | ||
Segment Reporting Information [Line Items] | ||
Long-lived assets | 13,737 | 13,560 |
Europe [Member] | ||
Segment Reporting Information [Line Items] | ||
Long-lived assets | 295 | 168 |
Asia-Pacific [Member] | ||
Segment Reporting Information [Line Items] | ||
Long-lived assets | $ 82 | $ 84 |