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Equity Method Investments in Affiliates
 9 Months Ended
Sep. 30, 2023
Equity Method Investments and Joint Ventures [Abstract]  
Equity Method Investments in Affiliates Equity Method Investments in Affiliates
In August 2023, the Company completed its minority investment in Forbion Group Holding B.V. (“Forbion”), a leading European private markets firm focused on investing in high-quality life sciences companies. The Company’s provisional purchase price allocation is measured using financial models that include assumptions of expected market performance, net client cash flows, and discount rates. The associated provisional amounts may be revised upon completion of the final valuation.
The financial results of certain Affiliates accounted for under the equity method are recognized in the Consolidated Financial Statements one quarter in arrears.
Equity method investments in Affiliates (net) consisted of the following:
December 31,
2022		September 30,
2023
Goodwill$1,262.4 $1,300.3 
Definite-lived acquired client relationships (net)479.4 525.7 
Indefinite-lived acquired client relationships (net)119.0 122.6 
Undistributed earnings and tangible capital278.7 86.3 
Equity method investments in Affiliates (net)$2,139.5 $2,034.9 
The following table presents the change in Equity method investments in Affiliates (net):
Equity Method Investments in Affiliates (Net)
Balance, as of December 31, 2022$2,139.5 
Investments in Affiliates145.9 
Earnings217.3 
Intangible amortization and impairments(63.0)
Distributions of earnings (423.1)
Foreign currency translation37.5 
Other(19.2)
Balance, as of September 30, 2023$2,034.9 
Definite-lived acquired client relationships at the Company’s Affiliates accounted for under the equity method are amortized over their expected period of economic benefit. The Company recorded amortization expense for these relationships of $31.4 million and $89.3 million for the three and nine months ended September 30, 2022, respectively, and $21.2 million and $63.0 million for the three and nine months ended September 30, 2023, respectively. Based on relationships existing as of September 30, 2023, the Company estimates the amortization expense attributable to its Affiliates will be approximately $23 million for the remainder of 2023, approximately $60 million in each of 2024 and 2025, approximately $50 million in each of 2026 and 2027, and approximately $40 million in 2028.
The Company had 20 and 21 Affiliates accounted for under the equity method as of December 31, 2022 and September 30, 2023, respectively. The majority of these Affiliates are partnerships with structured interests that define how the Company will participate in Affiliate earnings, typically based upon a fixed percentage of revenue reduced by, in some cases, certain agreed-upon expenses. The partnership agreements do not define a fixed percentage for the Company’s ownership of the equity of the Affiliate. These percentages would be subject to a separate future negotiation if an Affiliate were to be sold or liquidated.
In October 2023, the Company completed its minority investment in Ara Partners Group, LLC (“Ara Partners”), a private markets firm specializing in industrial decarbonization. Following the close of the transaction, Ara Partners’ management continues to hold a significant majority of the equity of the business and directs its day-to-day operations.