Net Investment Income. Our financial guarantynet investment income decreased during 2012 compared to 2011, and in  2011 compared to 2010, primarily due to a decline in our total investment balance resulting from negative cash flows, as well as  a shift from higher yielding securities in our investment portfolio to lower yielding investments.  All three periods include an  allocation to the financial guaranty segment of net investment income from Radian Group based on relative GAAP  equity for  this segment.  Net Gains on Investments. The components of the net gains on investments for the periods indicated are as follows:  During 2012, as market prices of our investments strengthened, we made the decision to sell securities in our portfolio.  The realized gains from these sales, some of which had previously been unrealized, also increased the respective statutory  capital positions of our subsidiaries that held the investments. Net gains on investments for  2011 were impacted by our sale of  our investment in a portfolio of tobacco bonds for which we recognized a $32.0 million realized loss in our financial guaranty  segment that was more than of fset by gains on sales of other securities in our trading portfolio during  2011. Radian Group’s five-year CDS spread is presented below as an illustration of the market’ s view of our non-performance  risk; the CDS spread used in the valuation of specific liabilities is typically based on the remaining term of the instrument.  The  non-performance risk is commonly measured by default probability , which lowers as the spread tightens. Radian Group’ s five- year CDS spread at December 31, 2012 implies a market view that there is a 47.7% probability that Radian Group will default  in the next five years, as compared to an  83.5% implied probability of default at  December 31, 2011 and a 32.0% probability of  default at December 31, 2010.  The following tables quantify the impact of our non-performance risk on our derivative assets, derivative liabilities and  net VIE liabilities (in aggregate by type) presented in our consolidated balance sheets:  Impact of Radian’s Non-performance Risk on Financial Guaranty Results Year Ended December 31, (In millions) 2012 2011 2010 Net unrealized (losses) gains related to change in fair value of  trading securities and other investments . . . . . . . . . . . . . . . . . . . $ (15.4 ) $ 58.6 $ 17.9 Net realized gains on sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 96.6 17.4 38.0 Net gains on investments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 81.2 $ 76.0 $ 55.9 December 31, (In basis points) 2012 2011 2010 2009 Radian Group’s five-year CDS spread. . . . . . . 913 2,732 465 1,530 (In millions) Fair Value Liability before Consideration of Radian Non-Performance Risk December 31, 2012 Impact of Radian Non- Performance Risk  December 31, 2012 Fair Value (Asset) Liability Recorded  December 31, 2012 Product Corporate CDOs . . . . . . . . . . . . . . . . . . . . . . . . . $ 98.8 $ 101.6 $ (2.8 ) Non-Corporate CDO-related. . . . . . . . . . . . . . . . 689.1 509.3 179.8 Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 787.9 $ 610.9 $ 177.0 130