Schedule HC-D: Trading Assets and Liabilities Guide¶
Form: FR Y-9C (Consolidated Financial Statements for Holding Companies) Schedule: HC-D - Trading Assets and Liabilities Frequency: Quarterly Purpose: Detail all trading book positions held at fair value
Overview¶
Schedule HC-D provides the breakdown of trading positions summarized on the main balance sheet. Trading assets and liabilities are held at fair value with changes recognized in the income statement.
Key Characteristics¶
- Valuation: Mark-to-market (fair value)
- Intent: Held for short-term profit, market-making, or customer facilitation
- P&L Impact: All gains/losses flow through income statement
- Regulatory: Subject to Volcker Rule limitations on proprietary trading
Schedule Structure¶
TRADING ASSETS (Items 1-12)
├── Securities (Items 1-5)
│ ├── Item 1: U.S. Treasury securities
│ ├── Item 2: U.S. Government agency obligations
│ ├── Item 3: Municipal securities
│ ├── Item 4: Mortgage-backed securities
│ │ ├── 4.a: Agency residential pass-through (FNMA/FHLMC/GNMA)
│ │ ├── 4.b: Other agency-guaranteed residential MBS
│ │ ├── 4.c: All other residential MBS
│ │ ├── 4.d: Agency commercial MBS
│ │ └── 4.e: All other commercial MBS
│ └── Item 5: Other debt securities
│ ├── 5.a: Structured financial products
│ └── 5.b: All other debt securities
├── Loans (Item 6)
│ ├── 6.a.(1): 1-4 family residential
│ ├── 6.a.(2): All other loans secured by real estate
│ ├── 6.b: Commercial and industrial
│ ├── 6.c: Consumer loans
│ └── 6.d: Other loans
├── Items 7-8: Not applicable
├── Item 9: Other trading assets
├── Item 10: Not applicable
├── Item 11: Derivatives positive fair value → Links to HC-L
└── Item 12: TOTAL TRADING ASSETS → Equals HC Item 5
TRADING LIABILITIES (Items 13-15)
├── Item 13: Short positions and other
│ ├── 13.a.(1): Equity short positions
│ ├── 13.a.(2): Debt short positions
│ ├── 13.a.(3): Other short positions
│ └── 13.b: Other trading liabilities
├── Item 14: Derivatives negative fair value → Links to HC-L
└── Item 15: TOTAL TRADING LIABILITIES → Equals HC Item 15
Trading Assets Detail¶
Item 1: U.S. Treasury Securities¶
| MDRM | Period | Description |
|---|---|---|
| BHCM3531 | 2018+ | Treasury securities (domestic + foreign consolidated) |
| BHCK3531 | Pre-2018 | Treasury securities (legacy domestic only) |
Risk: Zero credit risk; interest rate risk only
Item 2: U.S. Government Agency Obligations¶
| MDRM | Period | Description |
|---|---|---|
| BHCM3532 | 2018+ | Agency securities (non-MBS) |
| BHCK3532 | Pre-2018 | Legacy code |
Includes: FNMA, FHLMC, FHLB, GNMA debt obligations (not MBS)
Item 3: Municipal Securities¶
| MDRM | Period | Description |
|---|---|---|
| BHCM3533 | 2018+ | States and political subdivisions |
| BHCK3533 | Pre-2018 | Legacy code |
Item 4: Mortgage-Backed Securities¶
Structure (current FR Y-9C):
Item 4: MBS Total
├── 4.a: Residential pass-through, FNMA/FHLMC/GNMA (BHCKG379)
├── 4.b: Other agency-guaranteed residential MBS, incl. CMOs/REMICs/stripped (BHCKG380)
├── 4.c: All other residential MBS (BHCKG381)
├── 4.d: Agency commercial MBS (BHCKK197)
└── 4.e: All other commercial MBS (BHCKK198)
| Line | MDRM | Description | Start Date |
|---|---|---|---|
| 4.a | BHCKG379 | Residential pass-through (FNMA/FHLMC/GNMA) | 2009-06-30 |
| 4.b | BHCKG380 | Other agency-guaranteed residential MBS (CMOs/REMICs/stripped) | 2009-06-30 |
| 4.c | BHCKG381 | All other residential MBS | 2009-06-30 |
| 4.d | BHCKK197 | Agency commercial MBS | 2011-03-31 |
| 4.e | BHCKK198 | All other commercial MBS | 2011-03-31 |
Note: codes K199/K200/K201/K202 are NOT trading-MBS codes (K199/K200 are end-dated consumer-loan codes; K201/K202 are life-insurance asset codes in HC-F). Earlier releases mis-mapped these.
Item 5: Other Debt Securities¶
| Line | MDRM | Description | Start Date |
|---|---|---|---|
| 5.a | BHCKHT62 | Structured financial products (CDOs, CLOs) | 2018-06-30 |
| 5.b | BHCKG386 | All other debt securities (incl. ABS) | 2009-06-30 |
Item 6: Loans Held for Trading¶
| Line | MDRM | Description | Start Date |
|---|---|---|---|
| 6.a.(1) | BHCKHT63 | Loans secured by 1-4 family residential properties | 2018-06-30 |
| 6.a.(2) | BHCKHT64 | All other loans secured by real estate | 2018-06-30 |
| 6.b | BHCKF614 | Commercial and industrial loans | 2008-03-31 |
| 6.c | BHCKHT65 | Consumer loans | 2018-06-30 |
| 6.d | BHCKF618 | Other loans | 2008-03-31 |
Item 9: Other Trading Assets¶
| MDRM | Period | Description |
|---|---|---|
| BHCM3541 | 2018+ | Other trading assets |
| BHCK3541 | Pre-2018 | Legacy code |
Includes: Equity securities, precious metals, physical commodities, other
Item 11: Derivatives with Positive Fair Value¶
| MDRM | Description | Links To |
|---|---|---|
| BHCM3543 | Gross positive fair value of derivatives (domestic offices; current code) | HC-L Fair Value items |
| BHCT3543 | Legacy variant | — |
Reconciliation to HC-L:
BHCM3543 = Trading Positive FV + Non-Trading Positive FV
= (BHCK8733 + BHCK8734 + BHCK8735 + BHCK8736)
+ (BHCK8741 + BHCK8742 + BHCK8743 + BHCK8744)
Item 12: Total Trading Assets¶
| MDRM | Description | Ties To |
|---|---|---|
| BHCT3545 | Total trading assets | HC Item 5 |
Reconciliation:
Item 12 = Items 1 + 2 + 3 + 4 + 5 + 6 + 9 + 11
Schedule HC Item 5 = HC-D Item 12
Trading Liabilities Detail¶
Item 13: Short Positions and Other¶
| Line | MDRM | Description | Start Date |
|---|---|---|---|
| 13.a.(1) | BHCKG209 | Short positions - equity securities | 2009-03-31 |
| 13.a.(2) | BHCKG210 | Short positions - debt securities | 2009-03-31 |
| 13.a.(3) | BHCKG211 | Short positions - other assets | 2009-03-31 |
| 13.b | BHCKF624 | Other trading liabilities | 2008-03-31 |
Short Positions: Securities sold short but not yet purchased; obligation to deliver
Item 14: Derivatives with Negative Fair Value¶
| MDRM | Description | Links To |
|---|---|---|
| BHCK3547 | Gross negative fair value of derivatives (current code) | HC-L Fair Value items |
| BHCT3547 | Legacy variant | — |
Reconciliation to HC-L:
BHCK3547 = Trading Negative FV + Non-Trading Negative FV
= (BHCK8737 + BHCK8738 + BHCK8739 + BHCK8740)
+ (BHCK8745 + BHCK8746 + BHCK8747 + BHCK8748)
Item 15: Total Trading Liabilities¶
| MDRM | Description | Ties To |
|---|---|---|
| BHCT3548 | Total trading liabilities | HC Item 15 |
Reconciliation:
Item 15 = Items 13 + 14
Schedule HC Item 15 = HC-D Item 15
Key Reconciliation Rules¶
Schedule HC Balance Sheet¶
HC Item 5 (Trading Assets) = HC-D Item 12 (BHCT3545)
HC Item 15 (Trading Liabs) = HC-D Item 15 (BHCT3548)
Schedule HC-L Derivatives¶
HC-D Item 11 (Deriv Pos FV) = Sum of HC-L positive fair value items
HC-D Item 14 (Deriv Neg FV) = Sum of HC-L negative fair value items
Internal Consistency¶
Item 12 = Sum(Items 1,2,3,4,5,6,9,11)
Item 15 = Sum(Items 13,14)
Analytical Considerations¶
Trading Intensity¶
Trading Intensity = (Trading Assets + Trading Liabilities) / Total Assets
- Investment banks: 30-50%
- Universal banks: 15-25%
- Regional/commercial banks: <5%
Net Trading Position¶
Net Trading Position = Trading Assets - Trading Liabilities
= BHCT3545 - BHCT3548
Derivatives as % of Trading¶
Derivatives Share = (Item 11 + Item 14) / (Item 12 + Item 15)
Historical Evolution¶
| Date | Change |
|---|---|
| 1989-09-30 | Initial trading liability reporting |
| 1995-12-31 | Enhanced trading assets reporting |
| 2008-03-31 | Loan trading detail added (F614, F618) |
| 2009-03-31 | Short position breakout (G209-G211) |
| 2009-06-30 | Residential MBS / other-debt detail (G379-G386) |
| 2011-03-31 | Commercial MBS detail added (K197, K198) |
| 2018-06-30 | Structured products and loan detail (HT62-HT65) |
MDRM Quick Reference¶
| Line | MDRM | Description |
|---|---|---|
| 1 | BHCM3531 | Treasury securities |
| 2 | BHCM3532 | Agency securities |
| 3 | BHCM3533 | Municipal securities |
| 4.a | BHCKG379 | Agency residential pass-through MBS |
| 4.b | BHCKG380 | Other agency-guaranteed residential MBS |
| 4.c | BHCKG381 | All other residential MBS |
| 4.d | BHCKK197 | Agency commercial MBS |
| 4.e | BHCKK198 | All other commercial MBS |
| 5.a | BHCKHT62 | Structured products |
| 5.b | BHCKG386 | All other debt securities |
| 6.a.(1) | BHCKHT63 | 1-4 family residential trading loans |
| 6.a.(2) | BHCKHT64 | Other RE trading loans |
| 6.b | BHCKF614 | C&I loans (trading) |
| 6.c | BHCKHT65 | Consumer trading loans |
| 6.d | BHCKF618 | Other trading loans |
| 9 | BHCM3541 | Other trading assets |
| 11 | BHCM3543 | Derivatives positive FV |
| 12 | BHCT3545 | TOTAL TRADING ASSETS |
| 13.a.(1) | BHCKG209 | Short equity |
| 13.a.(2) | BHCKG210 | Short debt |
| 13.a.(3) | BHCKG211 | Short other assets |
| 13.b | BHCKF624 | Other trading liabilities |
| 14 | BHCK3547 | Derivatives negative FV |
| 15 | BHCT3548 | TOTAL TRADING LIABS |
| M.1–M.10 | (see CSV) | Memoranda (UPB at FV, past-due, SFP by collateral, pledged, ABS, equity, pending securitization, commodities, itemized other) |
See also: Trading Activities Deep Dive for comprehensive HC-D and HC-L analysis
Last Updated: 2026-01-28 Reference: FR Y-9C Instructions (March 2024)