DTE Energy 2011 Annual Report Download - page 35

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Fair Value Measurements at December 31, 2010(a)
(in Millions)
Asset Category:
Short-term investments (b)
Equity securities
U.S. Large Cap (c)
U.S. Small/Mid Cap (d)
Non U.S (e)
Fixed income securities (f)
Other types of investments
Hedge Funds and Similar Investments (g)
Private Equity and Other (h)
Total
Level 1
$ —
42
20
27
1
26
—
$ 116
Level 2
$ 3
21
19
41
85
16
—
$ 185
Level 3
$ —
—
—
—
—
30
15
$ 45
Balance at
December 31, 2010
$ 3
63
39
68
86
72
15
$ 346
(a) See Note 3 — Fair Value for a description of levels within the fair value hierarchy.
(b) This category predominantly represents certain short-term fixed income securities and money market investments that are
managed in separate accounts or commingled funds. Pricing for investments in this category are obtained from quoted
prices in actively traded markets or valuations from brokers or pricing services.
(c) This category comprises both actively and not actively managed portfolios that track the S&P 500 low cost equity index
funds. Investments in this category are exchange-traded securities whereby unadjusted quote prices can be obtained.
Exchange-traded securities held in a commingled fund are classified as Level 2 assets.
(d) This category represents portfolios of small and medium capitalization domestic equities. Investments in this category are
exchange-traded securities whereby unadjusted quote prices can be obtained. Exchange-traded securities held in a
commingled fund are classified as Level 2 assets.
(e) This category primarily consists of portfolios of non-U.S. developed and emerging market equities. Investments in this
category are exchange-traded securities whereby unadjusted quote prices can be obtained. Exchange-traded securities held
in a commingled fund are classified as Level 2 assets.
(f) This category includes corporate bonds from diversified industries, U.S. Treasuries, and mortgage backed securities. Pricing
for investments in this category is obtained from quoted prices in actively traded markets and quotations from broker or
pricing services. Non-exchange traded securities and exchange-traded securities held in commingled funds are classified as
Level 2 assets.
(g) This category utilizes a diversified group of strategies that attempt to capture financial market inefficiencies and includes
publicly traded debt and equity, publicly traded mutual funds, commingled and limited partnership funds and non-exchange
traded securities. Pricing for Level 1 and Level 2 assets in this category is obtained from quoted prices in actively traded
markets and quoted prices from broker or pricing services. Non-exchanged traded securities held in commingled funds are
classified as Level 2 assets. Valuations for some Level 3 assets in this category may be based on limited observable inputs
as there may be little, if any, publicly available pricing.
(h) This category includes a diversified group of funds and strategies that primarily invests in private equity partnerships. This
category also includes investments in timber and private mezzanine debt. Pricing for investments in this category is based
on limited observable inputs as there is little, if any, publicly available pricing. Valuations for assets in this category may be
based on discounted cash flow analyses, relative publicly-traded comparables and comparable transactions.