Statement of Financial Condition slide image

Statement of Financial Condition

UBS Securities LLC Notes to the Statement of Financial Condition (continued) (In Thousands) 7. Derivative Instruments The table below presents the notional and fair value amounts of the Company's derivative activity recorded in Financial instruments owned, at fair value and Financial instruments sold, not yet purchased, at fair value on the Company's statement of financial condition. Notional amounts are disclosed on a gross basis. Equity contracts Interest rate contracts $ Notional (¹) 180,622 $ 5,932,562 6,113,184 $ Fair Value Derivative Assets 11,152 $ 4,652 15,804 $ Fair Value Derivative Liabilities 11,153 4,800 15,953 (¹) Represents the total notional amount of derivative assets and liabilities outstanding. 8. Employee Benefit Plans The Company participates with affiliates in a non-contributory defined benefit pension plan (including a Supplemental Executive Retirement plan), which is sponsored by the Parent and provides retirement benefits to eligible employees. This plan was closed to new participants in 2001. The Company also participates in a Parent sponsored post-retirement medical plan. Retiree medical premiums are subsidized for eligible employees who retired prior to 2014. The post- retirement medical plan is funded on a pay-as-you-go basis. The Company also participates in a defined contribution 401(k) plan of the Parent that provides retirement benefits to eligible employees. Under the defined contribution 401(k) plan, participants may contribute a portion of their eligible compensation with the Company matching some portion of those contributions. The Company's matching contributions to each participant is limited to an annual amount of $8. Eligible participants may also receive a retirement contribution under the defined contribution 401(k) plan equal to 2.0% - 3.5% of eligible compensation depending on a participant's date of employment and compensation level. Contributions are subject to certain limitations prescribed by the Internal Revenue Code. 26
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