(f) Fair value measurements The following tables present major categories of plan assets and the allocation to each category. (1) (2) U.S. plans Canadian plans Pension plans Retiree welfare plans Pension plans Retiree welfare plans As at December 31, 2022 Fair value % of total Fair value % of total Fair value % of total Fair value % of total Cash and cash equivalents $ 35 1% $ 22 4% $ 9 1% $ – – (3) Public equity securities 377 15% 41 8% 233 20% – – Public debt securities 1,509 58% 445 85% 898 79% – – (4) Other investments 660 26% 15 3% 1 0% – – Total $ 2,581 100% $ 523 100% $ 1,141 100% $ – – (1) (2) U.S. plans Canadian plans Pension plans Retiree welfare plans Pension plans Retiree welfare plans As at December 31, 2021 Fair value % of total Fair value % of total Fair value % of total Fair value % of total Cash and cash equivalents $ 90 3% $ 21 4% $ 14 1% $ – – (3) Public equity securities 600 20% 57 10% 322 22% – – Public debt securities 1,863 61% 501 85% 1,144 77% – – (4) Other investments 475 16% 8 1% 2 0% – – Total $ 3,028 100% $ 587 100% $ 1,482 100% $ – – (1) The U.S. pension and retiree welfare plan assets have daily quoted prices in active markets, except for the private debt, infrastructure, private equity, real estate, timber and agriculture assets. In the aggregate, the latter assets represent approximately 15% of all U.S. pension and retiree welfare plan assets as at December 31, 2022 (2021 – 7%). (2) All the Canadian pension plan assets have daily quoted prices in active markets, except for the group annuity contract assets that represent approximately 0.1% of all Canadian pension plan assets as at December 31, 2022 (2021 – 0.1%). (3) Equity securities include direct investments in MFC common shares of $1.2 (2021 – $1.2) in the U.S. retiree welfare plan and $nil (2021 – $nil) in Canada. (4) Other U.S. plan assets include investment in real estate, private debt, infrastructure, private equity, timberland and agriculture, and managed futures. Other Canadian pension plan assets include investment in the group annuity contract. (g) NetbenefitcostrecognizedintheConsolidatedStatementsofIncome The following table presents components of the net benefit cost for the pension plans and retiree welfare plans. Pension plans Retiree welfare plans For the years ended December 31, 2022 2021 2022 2021 (1) Defined benefit current service cost $43$44 $– $– Defined benefit administrative expenses 11 9 2 2 Past service cost-plan amendments and curtailments (6) – – – Service cost 48 53 2 2 Interest on net defined benefit (asset) liability 2 6 – 1 Defined benefit cost 50 59 2 3 Defined contribution cost 85 90 – – Net benefit cost $ 135 $ 149 $2 $3 (1) There are no significant current service costs for the retiree welfare plans as they are closed and mostly frozen. The remeasurement gain or loss on these plans is due to the volatility of discount rates and investment returns. (h) Re-measurementeffectsrecognizedinOtherComprehensiveIncome The following table presents components of the re-measurement effects recognized in Other Comprehensive Income for the pension plans and retiree welfare plans. Pension plans Retiree welfare plans For the years ended December 31, 2022 2021 2022 2021 Actuarial gains (losses) on defined benefit obligations due to: Experience $(5)$ (3) $13 $– Demographic assumption changes – (7) – (1) Economic assumption changes 835 194 112 29 Return on plan assets (excluding interest income) (869) 70 (91) (1) Change in effect of asset limit (excluding interest) (10) (37) – – Total re-measurement effects $ (49) $ 217 $34 $27 203