# ASC 210-946-45: Balance Sheet — Financial Services—Investment Companies — 45 Other Presentation Matters Source: FASB Accounting Standards Codification, Basic View [Read online](https://asc.understandingaccounting.org/asc/210/946/#45-other-presentation-matters) Study and research edition. Verify current requirements with the official source. Summaries, enrichment, and tags are machine-generated study aids. Paragraph html preserves source markup; snippet is abbreviated. Pending content is not necessarily effective. Tables and mathematical or amendment markup are retained as HTML where Markdown would lose structure. Source downloaded (UTC): 2026-09-09T23:01:38.323Z to 2026-09-09T23:01:38.323Z Record version: sha256:81caa0cf4a0bd14bc45c0594f1dccebd8d73c7a7e639430c199449606376c2c3 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 210-946-45: 45 Other Presentation Matters [Read section](https://asc.understandingaccounting.org/asc/210/946/#45-other-presentation-matters) SEC content: no #### Reporting Financial Position ##### [210-946-45-1](https://asc.understandingaccounting.org/asc/210/946/#210-946-45-1) Pending content: no Source downloaded (UTC): 2026-09-09T23:01:38.323Z to 2026-09-09T23:01:38.323Z Record version: sha256:e8ab578d7a4d0447fcc5d5a786567ec2040ffd0af1bb24ed2421c634cb833a51 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Investment companies report financial position by presenting either a statement of assets and liabilities or a statement of net assets. ##### [210-946-45-2](https://asc.understandingaccounting.org/asc/210/946/#210-946-45-2) Pending content: no Source downloaded (UTC): 2026-09-09T23:01:38.323Z to 2026-09-09T23:01:38.323Z Record version: sha256:3619c79a9a82c8d90f10bde8f4c6f28ae5c96c2e3fa6fba0f99c687d06091fcf Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. A statement of net assets includes a schedule of investments (see Section 946-210-50). Details of [related-party](https://asc.understandingaccounting.org/glossary/r/#related-parties "Related parties include: Affiliates of the entity Entities for which investments in their equity securities would be required, absent the election of the fair value option under the Fair Value Option Subsection of Section 825-10-15, to be accounted for by the equity method by the investing entity Trusts for the benefit of employees, such as pension and profit-sharing trusts that are managed by or under the trusteeship of management Principal owners of the entity and members of their immediate families Management of the entity and members of their immediate families Other parties with which the entity may deal if one party controls or can significantly influence the management or operating policies of the other to an extent that one of the transacting parties might be prevented from fully pursuing its own separate interests Other parties that can significantly influence the management or operating policies of the transacting parties or that have an ownership interest in one of the transacting parties and can significantly influence the other to an extent that one or more of the transacting parties might be prevented from fully pursuing its own separate interests.") balances and other assets and liabilities shall be presented in the statement of net assets or in the notes to financial statements. #### Complex Capital Structures ##### [210-946-45-3](https://asc.understandingaccounting.org/asc/210/946/#210-946-45-3) Pending content: no Source downloaded (UTC): 2026-09-09T23:01:38.323Z to 2026-09-09T23:01:38.323Z Record version: sha256:8527d65b256fce307bb793f8f02082a6f679c37b57695f1891dda239b7bd32d9 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Management investment companies that have multiple classes of shares or master-feeder structures shall apply the following guidance when preparing a statement of assets and liabilities. ##### [210-946-45-4](https://asc.understandingaccounting.org/asc/210/946/#210-946-45-4) Pending content: no Source downloaded (UTC): 2026-09-09T23:01:38.323Z to 2026-09-09T23:01:38.323Z Record version: sha256:c5c5cfb1cc9dd792fe561f896fe7dd5f8d98fe2dcab74a9a18c9a4fcee210b40 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The composition of net assets shall be reported in total, but [net asset value per share](https://asc.understandingaccounting.org/glossary/n/#net-asset-value-per-share "Net asset value per share is the amount of net assets attributable to each share of capital stock (other than senior equity securities, that is, preferred stock) outstanding at the close of the period. It excludes the effects of assuming conversion of outstanding convertible securities, whether or not their conversion would have a diluting effect.") and shares outstanding shall be reported for each class. ##### [210-946-45-5](https://asc.understandingaccounting.org/asc/210/946/#210-946-45-5) Pending content: no Source downloaded (UTC): 2026-09-09T23:01:38.323Z to 2026-09-09T23:01:38.323Z Record version: sha256:3610a0f0d5668cbe41e26a3fe93fa53fc11aa47872b8f20d582c5902724dd3e7 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Master funds usually are organized as trusts with flow-through accounting treatment to their feeder funds. As such, the statement of assets and liabilities of the master fund usually shall not report the components of net assets, shares outstanding, or net asset value per share. The portfolio of investments shall be included only in the master fund's financial statements. ##### [210-946-45-6](https://asc.understandingaccounting.org/asc/210/946/#210-946-45-6) Pending content: no Source downloaded (UTC): 2026-09-09T23:01:38.323Z to 2026-09-09T23:01:38.323Z Record version: sha256:d13017aa7218721e759d3757b324f479b26aacd732c855966bdfac9bebafffdc Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Each feeder fund's statement of assets and liabilities shall show an investment in the master fund, which is the sole or principal investment of the feeder fund. The total of all feeder funds' investments in the master fund shall equal the total net assets of the master fund. A schedule of portfolio investments shall not be presented at the feeder level. The net asset value per share, total shares outstanding, and the components of net assets shall be reported. Should the feeder fund have a multiple-class structure, it would report the multiple-class information specified in this Subtopic. ##### [210-946-45-7](https://asc.understandingaccounting.org/asc/210/946/#210-946-45-7) Pending content: no Source downloaded (UTC): 2026-09-09T23:01:38.323Z to 2026-09-09T23:01:38.323Z Record version: sha256:19f15eed1e631fe79086012ebf53a6080a86dd1caaa46b6891860834aac1f1d3 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The reporting fund may list the investee (portfolio) funds directly on the statement of assets and liabilities. Additional disclosures may be required for those funds that hold a mixture of investments in other investment companies and direct investments in securities. However, there is usually no need for a separate schedule of investments. Fund management shall consider if an investment in a single [underlying](https://asc.understandingaccounting.org/glossary/u/#underlying "A specified interest rate, security price, commodity price, foreign exchange rate, index of prices or rates, or other variable (including the occurrence or nonoccurrence of a specified event such as a scheduled payment under a contract). An underlying may be a price or rate of an asset or liability but is not the asset or liability itself. An underlying is a variable that, along with either a notional amount or a payment provision, determines the settlement of a derivative instrument.") fund is so significant to the fund of funds as to make the presentation of financial statements in a manner similar to a master-feeder fund more appropriate. #### Credit Enhancements ##### [210-946-45-8](https://asc.understandingaccounting.org/asc/210/946/#210-946-45-8) Pending content: no Source downloaded (UTC): 2026-09-09T23:01:38.323Z to 2026-09-09T23:01:38.323Z Record version: sha256:bc70da4cdf98f7869d69e649e792b7f5b22cd737a65537689f2bb5d763538d1e Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Credit enhancements shall be shown as a component of the security description in the schedule of investments. #### Fully Benefit-Responsive Investment Contracts ##### [210-946-45-9](https://asc.understandingaccounting.org/asc/210/946/#210-946-45-9) Pending content: no Source downloaded (UTC): 2026-09-09T23:01:38.323Z to 2026-09-09T23:01:38.323Z Record version: sha256:44f056451de94eb60cfa5087bfe124b3c3d1f06bf9a6a2df7a72363c1c2c8243 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. This guidance describes the limited circumstances in which the net assets of an investment company (also referred to as a fund) shall reflect the contract value (which generally equals the principal balance plus accrued interest) of certain investments that it holds. ##### [210-946-45-10](https://asc.understandingaccounting.org/asc/210/946/#210-946-45-10) Pending content: no Source downloaded (UTC): 2026-09-09T23:01:38.323Z to 2026-09-09T23:01:38.323Z Record version: sha256:6552377941e6fc67cbb24196355da8858ed4f5ad9b9ece0975a7f1aaa74062a5 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. For purposes of this Subtopic, the term _investment contract_ refers to any of the following: 1. a A traditional or separate account guaranteed investment contract 2. b A bank investment contract 3. c A synthetic guaranteed investment contract composed of a wrapper contract and the underlying wrapped portfolio of individual investments 4. d A contract with similar characteristics. ##### [210-946-45-11](https://asc.understandingaccounting.org/asc/210/946/#210-946-45-11) Pending content: no Source downloaded (UTC): 2026-09-09T23:01:38.323Z to 2026-09-09T23:01:38.323Z Record version: sha256:a43c699bcae5c124903c658e1cf1ebcc826b94a24fcda65ae76962757802e427 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Contract value is the relevant measurement attribute for that portion of the net assets of an investment company attributable to [fully benefit-responsive investment contracts](https://asc.understandingaccounting.org/glossary/f/#fully-benefit-responsive-investment-contract "An investment contract is considered fully benefit-responsive if all of the following criteria are met for that contract, analyzed on an individual basis: The investment contract is effected directly between the plan and the issuer and prohibits the plan from assigning or selling the contract or its proceeds to another party without the consent of the issuer. Either of the following conditions exists: The repayment of principal and interest credited to participants in the plan is a financial obligation of the issuer of the investment contract. Prospective interest crediting rate adjustments are provided to participants in the plan on a designated pool of investments held by the plan or the contract issuer, whereby a financially responsible third party, through a contract generally referred to as a wrapper, must provide assurance that the adjustments to the interest crediting rate will not result in a future interest crediting rate that is less than zero. If an event has occurred such that realization of full contract value for a particular investment contract is no longer probable (for example, a significant decline in creditworthiness of the contract issuer or wrapper provider), the investment contract shall no longer be considered fully benefit-responsive. The terms of the investment contract require all permitted participant-initiated transactions with the plan to occur at contract value with no conditions, limits, or restrictions. Permitted participant-initiated transactions are those transactions allowed by the plan, such as any of the following: Withdrawals for benefits Loans Transfers to other funds within the plan. An event that limits the ability of the plan to transact at contract value with the issuer and that also limits the ability of the plan to transact at contract value with the participants in the plan, such as any of the following, must be probable of not occurring: Premature termination of the contracts by the plan Plant closings Layoffs Plan termination Bankruptcy Mergers Early retirement incentives. The plan itself must allow participants reasonable access to their funds. If access to funds is substantially restricted by plan provisions, investment contracts held by those plans may not be considered to be fully benefit-responsive. For example, if plan participants are allowed access at contract value to all or a portion of their account balances only upon termination of their participation in the plan, it would not be considered reasonable access and, therefore, investment contracts held by that plan would generally not be deemed to be fully benefit-responsive. However, in plans with a single investment fund that allow reasonable access to assets by inactive participants, restrictions on access to assets by active participants consistent with the objective of the plan (for example, retirement or health and welfare benefits) will not affect the benefit responsiveness of the investment contracts held by those single-fund plans. Also, if a plan limits participants' access to their account balances to certain specified times during the plan year (for example, semiannually or quarterly) to control the administrative costs of the plan, that limitation generally would not affect the benefit responsiveness of the investment contracts held by that plan. In addition, administrative provisions that place short-term restrictions (for example, three or six months) on transfers to competing fixed-rate investment options to limit arbitrage among those investment options (equity wash provisions) would not affect a contract's benefit responsiveness.") provided that the investment company is established under a trust whereby the trust itself is adopted as part of one or more qualified employer-sponsored defined contribution plans (including both health and welfare and pension plans). A qualified plan refers to a plan that qualifies under the U.S. Internal Revenue Code by allowing full or partial tax-deferred contributions and tax-deferred investment gains on those contributions. ##### [210-946-45-12](https://asc.understandingaccounting.org/asc/210/946/#210-946-45-12) Pending content: no Source downloaded (UTC): 2026-09-09T23:01:38.323Z to 2026-09-09T23:01:38.323Z Record version: sha256:fcf9a173f04ac5be12449281c3b9daa6e847912272daf3326399894c27e3437d Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. In applying the characteristic in item (c) of the definition of fully benefit-responsive investment contract (that is, execution of transaction at contract value), an investment company registered under the Investment Company Act of 1940 would not meet this requirement because Rule 22c-1 under the Act requires transactions between the investment company and its shareholders to be executed at current net asset value. The definition of fully benefit-responsive investment contract includes guidance for determining whether certain restrictions violate the provision that participants in the investment company have reasonable access to their funds. Restrictions that do not violate this provision shall also not be considered to violate the provisions in item (c) of the definition. ##### [210-946-45-13](https://asc.understandingaccounting.org/asc/210/946/#210-946-45-13) Pending content: no Source downloaded (UTC): 2026-09-09T23:01:38.323Z to 2026-09-09T23:01:38.323Z Record version: sha256:34f0a2638a64c12d26d8b0d1c27926f3ca62f41c683615db819c72a70b0b8f6d Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. If any portion of an investment company's net assets is held by another investment company, the lower-level (investee) fund shall look through to the higher level (investor) fund in determining whether the lower level fund is within the scope of this guidance. ##### [210-946-45-14](https://asc.understandingaccounting.org/asc/210/946/#210-946-45-14) Pending content: no Source downloaded (UTC): 2026-09-09T23:01:38.323Z to 2026-09-09T23:01:38.323Z Record version: sha256:bba02a6568d2a8ad6f756200bd9009beee742ea126baed0197defaa88b578da4 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Under Rule 2a-4 of the Investment Company Act of 1940, current net asset value is computed using the [fair value](https://asc.understandingaccounting.org/glossary/f/#fair-value "The price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.") of the investment company's portfolio securities. ##### [210-946-45-15](https://asc.understandingaccounting.org/asc/210/946/#210-946-45-15) Pending content: no Source downloaded (UTC): 2026-09-09T23:01:38.323Z to 2026-09-09T23:01:38.323Z Record version: sha256:71b7d0525cbf408f6c2dbd63ea12bb95ec769c1ac8e967342707d17538c154ff Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The following line items shall be separately reported on the statement of assets and liabilities with a parenthetical reference that such amounts are being reported at fair value: 1. a Investments (including traditional guaranteed investment contracts) 2. b Wrapper contracts. ##### [210-946-45-16](https://asc.understandingaccounting.org/asc/210/946/#210-946-45-16) Pending content: no Source downloaded (UTC): 2026-09-09T23:01:38.323Z to 2026-09-09T23:01:38.323Z Record version: sha256:9f0f1355fd6bd65ba05f097e3db1fb34bbb076a2647143014051c490a0160b91 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The statement of assets and liabilities of the fund shall present amounts for all of the following: 1. a Total assets 2. b Total liabilities 3. c Net assets reflecting all investments at fair value 4. d Net assets. Amount (d) represents the amount at which participants can transact with the fund. That amount shall be used also for purposes of preparing the per-share disclosures required by Section 946-205-50 and as the beginning and ending balance in the statement of changes in net assets of the fund. The amount representing the difference between (c) and (d) shall be presented on the face of the statement of assets and liabilities as a single amount, calculated as the sum of the amounts necessary to adjust the portion of net assets attributable to each fully benefit-responsive investment contract from fair value to contract value. ##### [210-946-45-17](https://asc.understandingaccounting.org/asc/210/946/#210-946-45-17) Pending content: no Source downloaded (UTC): 2026-09-09T23:01:38.323Z to 2026-09-09T23:01:38.323Z Record version: sha256:835150e223c24494be564dd0067e185463be6b07a7be26b2d3b24680d4da50c7 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The statements of operations and changes in net assets of the fund shall be prepared on a basis that reflects income credited to participants in the fund and realized and unrealized gains and losses only on those investment contracts that are not deemed fully benefit-responsive. ##### [210-946-45-18](https://asc.understandingaccounting.org/asc/210/946/#210-946-45-18) Pending content: no Source downloaded (UTC): 2026-09-09T23:01:38.323Z to 2026-09-09T23:01:38.323Z Record version: sha256:2a8b78502a5cb58aa893d1cb2d1d900d3a55c1b830fc89b2ba63e93d7a9e29ed Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The following information shall be disclosed in the financial statements as part of the schedule of investments, to the extent that schedule is already required under paragraph [946-210-50-1](https://asc.understandingaccounting.org/asc/210/946/#210-946-50-1), and shall reconcile to corresponding line items on the statement of assets and liabilities: 1. a The fair value of each investment contract, including separate disclosure of both of the following: 1. 1 The fair value of the wrapper contract 2. 2 The fair value of each of the corresponding underlying investments, if held by the fund, included in that investment contract. 2. b Adjustment from fair value to contract value for each investment contract (if the investment contract is fully benefit-responsive) 3. c Major credit ratings of the issuer or wrapper provider for each investment contract. ##### [210-946-45-18A](https://asc.understandingaccounting.org/asc/210/946/#210-946-45-18A) Pending content: no Source downloaded (UTC): 2026-09-09T23:01:38.323Z to 2026-09-09T23:01:38.323Z Record version: sha256:09b7077a44ff850e47c464ff24f0bb36a99e7212b704f8ebce0c0e677059c8cc Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. To be considered within the scope of paragraphs [946-210-45-15 through 45-18](https://asc.understandingaccounting.org/asc/210/946/#210-946-45-15) , any portion of the net assets of the investment company attributable to a particular plan investee that is not held in trust for the benefit of participants in a qualified employer-sponsored defined-contribution plan is not permitted to increase, except for reinvestment of income earned. ##### [210-946-45-19](https://asc.understandingaccounting.org/asc/210/946/#210-946-45-19) Pending content: no Source downloaded (UTC): 2026-09-09T23:01:38.323Z to 2026-09-09T23:01:38.323Z Record version: sha256:b76a120844b584afe38f52d7f918b8e9d97f131e1958da794338dde1fe2603d9 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Example 2 (see paragraph [946-210-55-2](https://asc.understandingaccounting.org/asc/210/946/#210-946-55-2)) illustrates the application of this guidance. #### Cash and Cash Equivalents ##### [210-946-45-20](https://asc.understandingaccounting.org/asc/210/946/#210-946-45-20) Pending content: no Source downloaded (UTC): 2026-09-09T23:01:38.323Z to 2026-09-09T23:01:38.323Z Record version: sha256:21e8c3cd8d907ef10cf8193ab204199120247d5a5fe10af027d1e5f85b3e05a0 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Cash on hand and demand deposits shall be included under the general caption _cash_. ##### [210-946-45-21](https://asc.understandingaccounting.org/asc/210/946/#210-946-45-21) Pending content: no Source downloaded (UTC): 2026-09-09T23:01:38.323Z to 2026-09-09T23:01:38.323Z Record version: sha256:83f902774830ff2a63cb3da401ec0467f1ac9385e109ba3ed29dd5f54bba25b1 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Amounts held in foreign currencies shall be presented separately at value, with acquisition cost shown parenthetically.