The breakdown of this heading is as follows:
| 31/12/2020 | 31/12/2019 | 31/12/2018 | |||
| Equity instruments | 1,414 | 2,407 | 3,565 | ||
| Shares in listed companies | 843 | 1,618 | 2,697 | ||
| Shares in non-listed companies | 571 | 789 | 868 | ||
| Debt securities * | 17,895 | 15,964 | 18,323 | ||
| Spanish government debt securities | 13,966 | 10,173 | 14,194 | ||
| Foreign government debt securities | 2,206 | 4,023 | 3,014 | ||
| Issued by credit institutions | 581 | 211 | 144 | ||
| Other Spanish issuers | 42 | 38 | 36 | ||
| Other foreign issuers | 1,100 | 1,519 | 935 | ||
| TOTAL | 19,309 | 18,371 | 21,888 | ||
| Equity instruments | |||||
| Of which: gross unrealised gains | 109 | 110 | 75 | ||
| Of which: gross unrealised losses | (1,877) | (1,155) | (965) | ||
| Debt securities | |||||
| Of which: gross unrealised gains | 596 | 503 | 368 | ||
| Of which: gross unrealised losses | (5) | (3) | |||
(*) See ratings classification in Note 3.4.1. "Concentration according to credit quality".
13.1
The breakdown of the changes under this heading is as follows:
| 31/12/2019 | ACQUISITIONS AND CAPITAL INCREASES | DISPOSALS AND CAPITAL DECREASES | GAINS (-) / LOSSES (+) TRANSFERRED TO RESERVES | ADJUSTMENTS TO MARKET VALUE AND EXCHANGE DIFFERENCES | TRANSFERS AND OTHER | 31/12/2020 | |
| Telefónica * | 1,617 | (774) | 843 | ||||
| Banco Fomento de Angola | 414 | (80) | 334 | ||||
| Other ** | 376 | 3 | (153) | (61) | 72 | 237 | |
| TOTAL | 2,407 | 3 | (153) | (61) | (782) | 0 | 1,414 |
(*) In March 2020, coverage of fair value was cancelled on 1% of said holding (conducted through an equity swap), recording a capital gain of EUR 177 million under the heading "Accumulated other comprehensive income" of net equity. From 10 July 2020, the stake in Telefónica, SA became 4.9% due to the dilutive effect of the scrip dividend (5.0% on 31 December 2019).
(**) Dated 25 June 2020, CaixaBank Group sold its direct and indirect stake of 11.51% in Caser, after receiving the pertinent administrative authorisations, for the price of EUR 139 million. The operation did not have a significant material impact for the Group.
| 31/12/2018 | ACQUISITIONS AND CAPITAL INCREASES | DISPOSALS AND CAPITAL DECREASES | GAINS (-) / LOSSES (+) TRANSFERRED TO RESERVES | ADJUSTMENTS TO MARKET VALUE AND EXCHANGE DIFFERENCES | TRANSFERS AND OTHER | 31/12/2019 | |
| Telefónica | 1,905 | (288) | 1,617 | ||||
| Repsol (Note 16) | 786 | (943) | 106 | 51 | 0 | ||
| Banco Fomento de Angola | 522 | (108) | 414 | ||||
| Other | 352 | 2 | (12) | (7) | 35 | 6 | 376 |
| TOTAL | 3,565 | 2 | (955) | 99 | (310) | 6 | 2,407 |
| 31/12/2017 | 1st APPLICATION OF IFRS 9 (NOTE 1) | 01/01/2018 | ACQUISITIONS AND CAPITAL INCREASES | DISPOSALS AND CAPITAL DECREASES | GAINS (-) / LOSSES (+) TRANSFERRED TO RESERVES | ADJUSTMENTS TO MARKET VALUE AND EXCHANGE DIFFERENCES | TRANSFERS AND OTHER | 31/12/2018 | |
| Telefónica | 2,109 | 2,109 | (204) | 1,905 | |||||
| Repsol (Note 16) | (337) | 4 | (161) | 1,280 | 786 | ||||
| Banco Fomento de Angola (Note 16) | 522 | 522 | |||||||
| Other | 774 | (243) | 531 | 11 | (70) | (30) | (97) | 7 | 352 |
| TOTAL | 2,883 | (243) | 2,640 | 11 | (407) | (26) | (462) | 1,287 | 3,565 |
The estimate of the fair value of Banco de Fomento de Angola (BFA) is based on a dividend discount model (DDM), subsequently compared to comparison multiple methodologies. The main assumptions used in the dividend discount model are set out below:
| BFA | |||
| 31/12/2020 | 31/12/2019 | 31/12/2018 | |
| Forecast periods | 5 years | 5 years | 5 years |
| Discount rate (1) | 19.3% | 20.6% | 23.3% |
| Objective capital ratio | 15% | 15% | 15% |
(1) In 2020, this is calculated using the interest rate of the US treasury bond plus a country risk premium and another market risk premium. In 2019 and 2018 it was calculated on the yield of the Angolan 10-year bond, plus a risk premium.
For the stake in BFA, the exercise to determine the fair value considers the sensitivity with respect to the discount rate [-1.0%; +1.0%] with no significant variations concluded in the estimated fair value in the baseline scenario.
The relevant financial information of the most relevant equity instruments classified in this section is as follows:
| CORPORATE NAME | REGISTERED ADDRESS | % OWNERSHIP | % VOTING RIGHTS | EQUITY | LATEST PUBLISHED PROFIT/(LOSS) |
| Telefónica (1) | Madrid - Spain | 4.87% | 4.87% | 17,416 | 671 |
| Sociedad de gestión de Activos Procedentes de la Reestructuración Bancaria (Sareb) (2) | Madrid - Spain | 12.24% | 12.24% | (7,512) | (947) |
| Banco Fomento de Angola (BFA) (2) | Angola | 48.1% | 48.1% | 855 | 282 |
(1) Listed company. The information on equity and the last published profit/(loss) is at 30-09-2020. The capital increase carried out on 30 December 2020 determines the share at 4.698%, and was registered in the Commercial Register on 5 January 2021.
(2) Non-listed companies. The information on equity and the last published profit/(loss) is at 31-12-2019.
13.2
The breakdown of the changes under this heading is as follows:
| 2020 | 2019 | 2018 | ||||||||||
| STAGE 1: | STAGE 2: | STAGE 3: | STAGE 1: | STAGE 2: | STAGE 3: | STAGE 1: | STAGE 2: | STAGE 3: | ||||
| Opening balance | 15,964 | 0 | 0 | 18,323 | 66,672 | |||||||
| 1st application of IFRS 9 (Appendix 7) | (49,454) | |||||||||||
| Adjusted balance at start of the year | 15,964 | 18,323 | 17,218 | |||||||||
| Plus: | 0 | |||||||||||
| Additions due to business combinations | 0 | 0 | ||||||||||
| Acquisitions | 8,657 | 10,579 | 9,234 | |||||||||
| Interest | (116) | 0 | 51 | |||||||||
| Gains/(losses) recognised with adjustments to equity (Note 24.2) | 98 | 225 | (194) | |||||||||
| Less: | 0 | |||||||||||
| Sales and redemptions | (6,735) | (12,816) | (7,938) | |||||||||
| Implicit accrued interest | (10) | (184) | 0 | |||||||||
| Reclassifications and transfers | 0 | 0 | ||||||||||
| Amounts transferred to statement of profit or loss (Note 32) * | 115 | (163) | (48) | |||||||||
| Impairment losses (Note 36) | 0 | 0 | 0 | |||||||||
| Exchange differences and other | (78) | |||||||||||
| CLOSING BALANCE | 17,895 | 0 | 0 | 15,964 | 0 | 0 | 18,323 | 0 | 0 | |||
(*) In 2020 there have been fixed income portfolio sales with a nominal amount of EUR 4,979 million and a profit of EUR 69 million, recorded under the heading "Gains/(losses) on derecognition of financial assets and liabilities not measured at fair value through profit or loss, net".
(*) In 2019 there have been fixed income portfolio sales with a nominal amount of EUR 7,036 million and a profit of EUR 171 million, including the profit due to the cancellation of associated hedges.
(*) In 2018 there were fixed income portfolio sales with a nominal amount of EUR 4,540 million and a profit of EUR 126 million, including the profit due to the cancellation of associated hedges.
