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Revenues. The Company recognizes fees from providing investment management and fundadministration services (“investment management fees”), shareholder servicing fees and distribution fees asearned, over the period in which services are rendered, except for performance-based investmentmanagement fees, which are recognized when earned. The Company recognizes underwriting commissionsrelated to the sale of shares of its sponsored investment products on trade date. Investment management feesare generally determined based on a percentage of assets under management, except for performance-basedinvestment management fees, which are based on performance targets established in the related investmentmanagement contracts. Generally, shareholder servicing fees are calculated based on the number and type ofaccounts serviced while distribution fees are generally based on a percentage of assets under management.Assets under management is calculated for the sponsored investment products using fair value methodsderived primarily from unadjusted quoted market prices, unadjusted independent third-party broker ordealer price quotes in active markets, or adjusted market prices or price quotes. The fair values of securitiesfor which market prices are not readily available are internally valued using various methodologies asappropriate for each security type. Securities for which market prices are not readily available generallyrepresent a de minimus amount of the total assets under management. The pricing of the securities held bythe sponsored investment products is governed by a global valuation and pricing policy, which definesvaluation and pricing conventions for each security type, including practices for responding to unexpectedor unusual market events.Advertising and Promotion. The Company expenses costs of advertising and promotion as incurred.Income Taxes. Deferred tax assets and liabilities are recorded for temporary differences between thetax basis of assets and liabilities and the reported amounts in the consolidated financial statements using thestatutory tax rates in effect for the year when the reported amount of the asset or liability is recovered orsettled, respectively. The effect on deferred tax assets and liabilities of a change in tax rates is recognized inthe results of operations in the period that includes the enactment date. A valuation allowance is recorded toreduce the carrying values of deferred tax assets to the amount that is more likely than not to be realized.For each tax position taken or expected to be taken in a tax return, the Company determines whether it ismore likely than not that the position will be sustained upon examination based on the technical merits ofthe position, including resolution of any related appeals or litigation. A tax position that meets the morelikely than not recognition threshold is measured to determine the amount of benefit to recognize. The taxposition is measured at the largest amount of benefit that is greater than 50% likely of being realized uponsettlement. The Company recognizes the accrual of interest on uncertain tax positions in interest expenseand penalties in other operating expenses.As a multinational corporation, the Company operates in various locations outside the United Statesand generates earnings from its non-U.S. subsidiaries. The Company indefinitely reinvests the undistributedearnings of its non-U.S. subsidiaries, except for Subpart F income taxed in the U.S., subject to regulatory orcontractual repatriation restrictions, and the excess net earnings after debt service payments and regulatorycapital requirements of its Canadian and United Kingdom (“U.K.”) consolidated subsidiaries.Foreign Currency Translation. Assets and liabilities of non-U.S. subsidiaries that operate in a localcurrency environment, where that local currency is the functional currency, are translated at currentexchange rates as of the end of the accounting period. The related revenues and expenses are translated ataverage exchange rates in effect during the period. Net exchange gains and losses resulting from translationare excluded from income and are recorded as part of accumulated other comprehensive income. Foreigncurrency transaction gains and losses are reflected in investment and other income, net in the consolidatedstatements of income.79