Strategic Shareholder Climate and Risk Financial Financial Barclays PLC 340 report information sustainability report Governance review review statements Annual Report 2022 Risk performance - Credit risk (continued) Analysis of derivatives The tables below set out the fair values of the derivative assets together with the value of those assets subject to enforceable counterparty netting arrangements for which the Group holds offsetting liabilities and eligible collateral. Derivative assets (audited) 2022 2021 Balance sheet Counterparty Net Balance sheet Counterparty Net assets netting exposure assets netting exposure As at 31 December £m £m £m £m £m £m Foreign exchange 109,938 88,096 21,842 76,975 60,525 16,450 Interest rate 134,579 101,646 32,933 125,905 92,669 33,236 Credit derivatives 5,423 4,356 1,067 5,682 4,525 1,157 Equity and stock index 48,665 41,200 7,465 51,723 43,084 8,639 Commodity derivatives 3,775 3,039 736 2,287 1,717 570 Total derivative assets 302,380 238,337 64,043 262,572 202,520 60,052 Cash collateral held 34,547 34,598 Net exposure less collateral 29,496 25,454 Derivative asset exposures would be £273bn (2021: £237bn) lower than reported under IFRS if netting were permitted for assets and liabilities with the same counterparty or for which the Group holds cash collateral. Similarly, derivative liabilities would be £(264)bn (2021: £(235)bn) lower reflecting counterparty netting and collateral placed. In addition, non-cash collateral of £11bn (2021: £6bn) was held in respect of derivative assets. The Group received collateral from clients in support of over the counter derivative transactions. These transactions are generally undertaken under International Swaps and Derivative Association (ISDA) agreements governed by either UK or New York law. The table below sets out the fair value and notional amounts of OTC derivative instruments by type of collateral arrangement. Derivatives by collateral arrangement 2022 2021 Fair value Fair value Notional contract Notional contract amount Assets Liabilities amount Assets Liabilities £m £m £m £m £m £m Unilateral in favour of Barclays Foreign exchange 37,149 1,130 (677) 26,905 437 (635) Interest rate 17,967 151 (57) 6,790 816 (6) Credit derivatives 823 26 (224) 1,200 24 (202) Equity and stock index 19 3 (2) 245 33 (4) Total unilateral in favour of Barclays 55,958 1,310 (960) 35,140 1,310 (847) Unilateral in favour of counterparty Foreign exchange 22,673 638 (637) 22,987 385 (883) Interest rate 61,158 2,270 (2,752) 36,230 3,162 (3,684) Credit derivatives 144 — — 152 1 — Equity and stock index 492 96 (26) 507 159 (21) Total unilateral in favour of counterparty 84,467 3,004 (3,415) 59,876 3,707 (4,588) Bilateral arrangement Foreign exchange 5,381,723 102,077 (95,377) 5,261,708 71,624 (68,186) Interest rate 14,566,844 124,463 (107,895) 13,956,001 116,656 (108,723) Credit derivatives 582,943 3,635 (3,790) 570,968 3,635 (4,190) Equity and stock index 393,664 9,505 (12,280) 259,066 12,749 (15,965) Commodity derivatives 4,303 14 (50) 4,485 54 (102) Total bilateral arrangement 20,929,477 239,694 (219,392) 20,052,228 204,718 (197,166) Uncollateralised derivatives Foreign exchange 349,569 5,638 (6,979) 403,523 4,348 (4,526) Interest rate 287,026 3,119 (6,864) 227,093 3,244 (1,759) Credit derivatives 35,933 601 (717) 34,184 347 (360) Equity and stock index 16,101 3,075 (4,416) 18,865 5,881 (8,478) Commodity derivatives 108 — (1) 185 2 (5) Total uncollateralised derivatives 688,737 12,433 (18,977) 683,850 13,822 (15,128) Total OTC derivative assets/(liabilities) 21,758,639 256,441 (242,744) 20,831,094 223,557 (217,729)