U.S. International Investment Position, Third Quarter 2020
The U.S. net international investment position, the difference between U.S. residents' foreign financial assets and liabilities, was –$13.95 trillion at the end of the third quarter of 2020, according to statistics released by the U.S. Bureau of Economic Analysis (BEA). Assets totaled $29.41 trillion and liabilities were $43.36 trillion.
At the end of the second quarter, the net investment position was –$13.08 trillion (Table 1).
The –$865.6 billion change in the net investment position from the second quarter to the third quarter came from net financial transactions of –$219.9 billion and net other changes in position, such as price and exchange rate changes, of –$645.7 billion (Table A).
Table A. Quarterly Change in the U.S. Net International Investment Position
Billions of dollars, not seasonally adjusted
|Change in position in 2020 Q3||Position,
in position 1
|U.S. net international investment position||-13,084.6||-865.6||-219.9||-645.7||-13,950.2|
|Net position excluding financial derivatives||-13,106.8||-870.3||-243.9||-626.4||-13,977.1|
|Financial derivatives other than reserves, net||22.2||4.7||24.0||-19.3||26.9|
|Assets excluding financial derivatives||26,028.3||834.8||-69.8||904.6||26,863.1|
|Financial derivatives other than reserves||2,750.8||-205.6||(2)||(2)||2,545.2|
|Liabilities excluding financial derivatives||39,135.1||1,705.1||174.1||1,531.0||40,840.3|
|Financial derivatives other than reserves||2,728.6||-210.3||(2)||(2)||2,518.2|
1. Disaggregation of other changes in position into price changes, exchange rate changes, and other changes in volume and valuation is presented for annual statistics released in June each year.
2. Financial transactions and other changes in financial derivatives positions are available on a net basis; they are not separately available for U.S. assets and U.S. liabilities.
U.S. assets increased by $629.2 billion, to a total of $29.41 trillion at the end of the third quarter, reflecting increases in portfolio investment and direct investment assets that were partly offset by decreases in other investment assets and in financial derivatives. Portfolio investment assets increased by $684.7 billion, to $13.07 trillion, and direct investment assets increased by $370.8 billion, to $8.32 trillion, driven mainly by the appreciation of major foreign currencies against the U.S. dollar and by foreign stock price increases that raised the value of these assets.
U.S. liabilities increased by $1.49 trillion, to a total of $43.36 trillion at the end of the third quarter, reflecting increases in portfolio investment and direct investment liabilities that were partly offset by decreases in financial derivatives and in other investment liabilities. Portfolio investment liabilities increased by $967.8 billion, to $23.01 trillion, and direct investment liabilities increased by $762.3 billion, to $10.85 trillion, driven mainly by U.S. stock price increases that raised the value of these liabilities.
Updates to Second Quarter 2020 International Investment Position Aggregates
Trillions of dollars, not seasonally adjusted
|Preliminary estimate||Revised estimate|
|U.S. net international investment position||–13.05||–13.08|
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Next release: March 31, 2021, at 8:30 A.M. EDT
U.S. International Investment Position, Fourth Quarter and Year 2020
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U.S. International Investment Position Release Dates in 2021
|Fourth Quarter and Year 2020||March 31|
|First Quarter 2021 and Annual Update||June 30|
|Second Quarter 2021||September 28|
|Third Quarter 2021||December 30|