2020 Universal registration document and annual financial report - BNP PARIBAS 225
4Consolidated finanCial statements for the year ended 31 deCemBer 2020
4
Notes to the financial statements
4.i FINANCIAL INVESTMENTS OF INSURANCE ACTIVITIES
In millions of euros
31 December 2020 31 December 2019
Assets not representative
of unit-linked insurance contracts
Assets representative
of unit-linked insurance contracts
(financial risk supported by
policyholders) Total
Assets not representative
of unit-linked insurance contracts
Assets representative
of unit-linked insurance contracts
(financial risk supported by
policyholders) Total
Financial instruments designated as at fair value through profit or loss 45,867 73,151 119,018 44,292 71,043 115,335
Derivative financial instruments 1,365 1,365 1,115 1,115
Available-for-sale financial assets 130,594 130,594 126,596 126,596
Held-to-maturity financial assets 1,443 1,443 1,914 1,914
Loans and receivables 3,214 3,214 3,089 3,089
Equity-method investments 354 354 359 359
Investment property 2,857 3,732 6,589 3,094 3,464 6,558
TOTAL 185,694 76,883 262,577 180,459 74,507 254,966
Reinsurers share of technical reserves 2,779 2,779 2,852 2,852
FINANCIAL INVESTMENTS OF INSURANCE ACTIVITIES 188,473 76,883 265,356 183,311 74,507 257,818
Investments in financial instruments of insurance activities are accounted for according to IAS 39 principles.
The fair value of financial assets with contractual cash-flows corresponding only to payments of principal and interest on principal amounts to EUR 116.4 billion as at 31 December 2020. It amounted to EUR 116.9 billion as at 31 December 2019, which represents a variation of EUR -0.5 billion over the period.
The fair value of other financial assets amounts to EUR 146.5 billion, and corresponds to all financial instruments that do not meet the previously mentioned criteria, derivatives and financial assets managed on a market value basis. It amounted to EUR 138.3 billion as at 31 December 2019, which represents a variation of EUR +8.2 billion over the period.
The fair value of investment properties which are not representative of unit-linked insurance contracts accounted for at amortised cost amounts to EUR 4.3 billion as at 31 December 2020, compared with EUR 4.6 billion as at 31 December 2019.
➤ MEASUREMENT OF THE FAIR VALUE OF FINANCIAL INSTRUMENTS
The criteria for allocating instruments to the levels of the fair value hierarchy, the corresponding valuation methodologies and the principles of transfer between the levels of the hierarchy for insurance investments are similar to those applied for the Group s other financial instruments (note 4.d).
In millions of euros
31 December 2020 31 December 2019
Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total
Available-for-sale financial assets 112,156 18,218 220 130,594 103,419 22,887 290 126,596
Equity instruments 7,963 1,370 195 9,528 6,551 1,179 248 7,978
Debt securities 104,193 16,848 25 121,066 96,868 21,708 42 118,618
Financial instruments designated as at fair value through profit or loss 90,733 21,419 6,865 119,017 88,724 19,296 7,315 115,335
Equity instruments 89,691 13,036 6,804 109,531 87,084 12,774 6,549 106,407
Debt securities 1,042 8,383 61 9,486 1,640 6,522 766 8,928
Derivative financial instruments - 1,162 203 1,365 - 859 256 1,115
FINANCIAL ASSETS MEASURED AT FAIR VALUE 202,889 40,799 7,288 250,976 192,143 43,042 7,861 243,046
