Q32 Bio Inc. 10-Q

Item 3. Quantitative and Qualitative Disclosures About Market Risk. We are exposed to market risks in the ordinary course of our business. These risks primarily include interest rate sensitivities. Our interest-earning assets consist of cash and cash equivalents of $178.0 million, or 77.9% of our total assets at September 30, 2020, and $262.4 million, or 84.5% of our total assets at December 31, 2019. Interest income earned on these assets was $1.6 million and $4.6 million for the nine months ended September 30, 2020 and 2019, respectively. Our interest income is sensitive to changes in the general level of interest rates, primarily U.S. interest rates. If a 10% change in interest rates were to have immediately occurred on September 30, 2020, this change would not have had a material effect on the fair value of our investment portfolio as of that date. At September 30, 2020, our cash equivalents consisted of bank deposits and money market funds. Such interest-earning instruments carry 39 a degree of interest rate risk; however, historical fluctuations in interest income have not been significant for us. We had no debt outstanding a s of September 30, 2020 and December 31, 2019 .