statement of assets and liabilities

This subtopic governs how an investment company presents its financial position — either a statement of assets and liabilities or a statement of net assets — and the schedule (or condensed schedule) of investments that accompanies it. It sets bright-line disclosure thresholds (1 percent of net assets for registered/other investment companies; 5 percent for nonregistered investment partnerships), special presentation rules for multiple-class, master-feeder, and fund-of-funds structures, and requires contract-value reporting for fully benefit-responsive investment contracts held by qualified defined contribution plan trusts.

This Subtopic governs how an investment company presents receivables in its statement of assets and liabilities. Receivables must be listed separately at net realizable value by category — dividends and interest, investment securities sold, capital stock sold, and other accounts receivable (including related-party and affiliate expense-reimbursement receivables and variation margin on open futures contracts). Foreign-currency-denominated receivables are translated into the functional currency at current exchange rates and may be grouped with the corresponding functional currency receivables.

This Subtopic gives presentation guidance for liabilities in an investment company's statement of assets and liabilities. It requires accounts payable to be broken out separately for investment securities purchased and for capital stock reacquired, and describes what falls into "other liabilities." Foreign-currency payables are translated at current exchange rates and may be grouped with the corresponding functional currency payables.