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Stock-Based Awards
 6 Months Ended
Jun. 30, 2025
Stock-Based Awards [Abstract]  
Stock-Based Awards

15. Stock-Based Awards

On July 15, 2022, the Company’s stockholders approved the 2022 Equity Plan under which the Company may issue up to 16,000,000 shares of common stock (less one share for every share granted under the 2016 Equity Plan since March 31, 2022 and inclusive of shares available under the 2016 Equity Plan as of March 31, 2022) in the form of stock options and other stock-based awards.

The Company grants equity awards to employees and directors, which include restricted stock awards (“RSAs”), restricted stock units (“RSUs”), including deferred RSUs to non-employee directors, performance-based restricted stock units (“PRSUs”) and stock options. Certain awards described below are subject to acceleration under certain conditions.

 Stock options:Generally issued for terms of ten years and may vest after at least one year of service and have an exercise price equal to the Company’s stock price on the grant date. The Company estimates the fair value of stock options (when granted) using the Black-Scholes option pricing model.

RSAs/RSUs:Awards are valued based on the Company’s stock price on grant date and generally vest ratably, on an annual basis, over three years. For non-employee directors, such awards generally vest on the one-year anniversary of the grant date.

 Deferred RSUs:Awards are valued based on the Company’s stock price on grant date and generally vest on the one-year anniversary of the grant date. The awards are issued pursuant to the Company’s Non-Employee Director Deferred Compensation Program and are settled based on timing elected by the recipient in advance.
PRSUs:These awards cliff vest three years from the grant date and contain a market condition whereby the number of PRSUs ultimately vesting is tied to how the Company’s total shareholder return (“TSR”) compares to a peer group of other publicly traded asset managers over the three-year period. A Monte Carlo simulation is used to value these awards.
PRSUs:

The number of PRSUs vesting ranges from 0% to 200% of the target number of PRSUs granted, as follows:

●    If the relative TSR is below the 25th percentile, then 0% of the target number of PRSUs granted will vest;

●    If the relative TSR is at the 25th percentile, then 50% of the target number of PRSUs granted will vest;

●    If the relative TSR is above the 25th percentile, then linear scaling is applied such that the percent of the target number of PRSUs vesting is 100% at the 50th percentile and capped at 200% of the target number of PRSUs granted for performance at the 85th percentile; and

●    If the Company’s TSR is negative, the target number of PRSUs vesting is capped at 100% regardless of the relative TSR percentile.

Stock-based compensation expense was $5,527 and $11,765, respectively, during the three and six months ended June 30, 2025 and $5,592 and $10,755, respectively, during the comparable periods in 2024.

A summary of unrecognized stock-based compensation expense and average remaining vesting period is as follows:

   June 30, 2025
  

Unrecognized 

Stock-Based
Compensation

 

Weighted-Average

Remaining Vesting 

Period (Years)

Employees and directors  $26,359    1.14 

A summary of stock-based compensation award activity (shares) during the three months ended June 30, 2025 is as follows:

   RSA  RSU  PRSU
Balance at April 1, 2025   3,966,044    286,969    1,416,571 
Granted   39,484    39,484    
—
 
Vested   (40,608)   
—
    
—
 
Forfeited   (12,000)   
—
    
—
 
Stock dividends accrued   
—
    454    4,494 
Balance at June 30, 2025   3,952,920    326,907(1)    1,421,065 

_____________________________

(1)Includes 145,251 deferred RSUs that have vested.