em to the contract maker. These agreements act as a hedge for regular securities because they have an inverse relationship with the market.
The net trading assets increased by $20 billion, or 67%. Repurchase agreement liabilities increased by about $19.5 billion. Apparently they are selling more securities short and have the funds to cover the agreements. Marketable securities for this firm are not as risky as they would be if the account was comprised only of the securities themselves.
Citigroup had a relatively profitable year. Basic earnings per share were up 84 cents, including a 6 cent reduction due to an accounting change. All classes of revenues went up, save restructuring-related items and other interest and dividends which would have included revenue from discontinued operations.
Credit losses were down almost 20%, which is excellent considering the uninspired economy. Policyholder benefits and claims were up slightly, but so were insurance issuing expenses and insurance premiums. Apparently that part of the business is simply growing.
The subsidiaries which make up Citigroup met with varying levels of success this year. The Proprietary Investment Activities an
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