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Consolidation (Tables) | 9 Months Ended
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Sep. 30, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract] |
Schedule of Condensed Consolidated Balance Sheets | The following table presents the balances of CIP that, after intercompany eliminations, were reflected on the Condensed Consolidated Balance Sheets as of September 30, 2024 and December 31, 2023:
| As of
| September 30, 2024 |  | December 31, 2023
| VOEs |  | VIEs |  | VOEs |  | VIEs
(in thousands) |  |  | CLOs |  | GFs |  |  |  | CLOs |  | GFs
Cash and cash equivalents | $ | 10,294 |  |  | $ | 105,261 |  |  | $ | 825 |  |  | $ | 1,223 |  |  | $ | 98,101 |  |  | $ | 2,088 |
Investments | 23,032 |  |  | 1,973,688 |  |  | 78,690 |  |  | 30,985 |  |  | 1,972,342 |  |  | 79,386 |
Other assets | 157 |  |  | 30,041 |  |  | 2,427 |  |  | 174 |  |  | 41,985 |  |  | 1,076 |
Notes payable | — |  |  | (1,940,085) |  |  | — |  |  | — |  |  | (1,922,243) |  |  | — |
Securities purchased payable and other liabilities | (719) |  |  | (80,817) |  |  | (2,290) |  |  | (740) |  |  | (89,167) |  |  | (616) |
Noncontrolling interests | (7,917) |  |  | (3,676) |  |  | (31,180) |  |  | (7,316) |  |  | (4,363) |  |  | (23,327) |
Net interests in CIP | $ | 24,847 |  |  | $ | 84,412 |  |  | $ | 48,472 |  |  | $ | 24,326 |  |  | $ | 96,655 |  |  | $ | 58,607 |
Schedule of VIE Consolidated Investment Product | Although these beneficial interests are eliminated upon consolidation, the application of the measurement alternative prescribed by ASU 2014-13, Consolidation (Topic 810) ("ASU 2014-13"), results in the net assets of the consolidated CLOs shown above to be equivalent to the beneficial interests retained by the Company at September 30, 2024, as shown in the table below:
| (in thousands)
Subordinated notes | $ | 83,366 |
Accrued investment management fees | 1,046 |
Total Beneficial Interests | $ | 84,412 |
The following table represents income and expenses of the consolidated CLOs included on the Company’s Condensed Consolidated Statements of Operations for the period indicated:
| Nine Months Ended September 30, 2024
| (in thousands)
Income: |
Realized and unrealized gain (loss), net | $ | (21,594) |
Interest income | 148,370 |
Total Income | 126,776 |
Expenses: |
Other operating expenses | 3,425 |
Interest expense | 120,035 |
Total Expense | 123,460 |
Noncontrolling interests | (119) |
Net Income (Loss) Attributable to CLOs | $ | 3,197 |
The following table represents the Company’s own economic interests in the consolidated CLOs, which are eliminated upon consolidation:
| Nine Months Ended September 30, 2024 |  |
| (in thousands) |  |
Distributions received and unrealized gains (losses) on the subordinated notes held by the Company | $ | (3,334) |  |  |
Investment management fees | 6,531 |  |  |
Total Economic Interests | $ | 3,197 |  |  |
Schedule of Assets and Liabilities Measured at Fair Value on Recurring Basis | The Company’s assets and liabilities measured at fair value on a recurring basis, excluding the assets and liabilities of CIP discussed in Note 16, as of September 30, 2024 and December 31, 2023 by fair value hierarchy level were as follows: September 30, 2024
(in thousands) | Level 1 |  | Level 2 |  | Level 3 |  | Total
Assets |  |  |  |  |  |  |
Cash equivalents | $ | 164,878 |  |  | $ | — |  |  | $ | — |  |  | $ | 164,878 |
Investment securities - fair value |  |  |  |  |  |  |
Sponsored funds | 80,303 |  |  | — |  |  | — |  |  | 80,303 |
Equity securities | 21,693 |  |  | — |  |  | — |  |  | 21,693 |
Debt securities | 259 |  |  | 1,216 |  |  | 24,443 |  |  | 25,918 |
Nonqualified retirement plan assets | 14,927 |  |  | — |  |  | — |  |  | 14,927 |
Total assets measured at fair value | $ | 282,060 |  |  | $ | 1,216 |  |  | $ | 24,443 |  |  | $ | 307,719 |
Liabilities |  |  |  |  |  |  |
Contingent consideration | $ | — |  |  | $ | — |  |  | $ | 34,408 |  |  | $ | 34,408 |
Total liabilities measured at fair value | $ | — |  |  | $ | — |  |  | $ | 34,408 |  |  | $ | 34,408 |
December 31, 2023
(in thousands) | Level 1 |  | Level 2 |  | Level 3 |  | Total
Assets |  |  |  |  |  |  |
Cash equivalents | $ | 197,240 |  |  | $ | — |  |  | $ | — |  |  | $ | 197,240 |
Investment securities - fair value |  |  |  |  |  |  |
Sponsored funds | 77,433 |  |  | — |  |  | — |  |  | 77,433 |
Equity securities | 19,871 |  |  | — |  |  | — |  |  | 19,871 |
Nonqualified retirement plan assets | 12,682 |  |  | — |  |  | — |  |  | 12,682 |
Total assets measured at fair value | $ | 307,226 |  |  | $ | — |  |  | $ | — |  |  | $ | 307,226 |
Liabilities |  |  |  |  |  |  |
Contingent consideration | $ | — |  |  | $ | — |  |  | $ | 56,200 |  |  | $ | 56,200 |
Total liabilities measured at fair value | $ | — |  |  | $ | — |  |  | $ | 56,200 |  |  | $ | 56,200 |
The assets and liabilities of CIP measured at fair value on a recurring basis as of September 30, 2024 and December 31, 2023 by fair value hierarchy level were as follows: As of September 30, 2024
(in thousands) | Level 1 |  | Level 2 |  | Level 3 |  | Total
Assets |  |  |  |  |  |  |
Cash equivalents | $ | 113,951 |  |  | $ | — |  |  | $ | — |  |  | $ | 113,951 |
Debt investments | 427 |  |  | 1,998,089 |  |  | 53,632 |  |  | 2,052,148 |
Equity investments | 20,982 |  |  | 74 |  |  | 2,206 |  |  | 23,262 |
Derivatives | 242 |  |  | — |  |  | — |  |  | 242 |
Total assets measured at fair value | $ | 135,602 |  |  | $ | 1,998,163 |  |  | $ | 55,838 |  |  | $ | 2,189,603 |
Liabilities |  |  |  |  |  |  |
Notes payable | $ | — |  |  | $ | 1,940,085 |  |  | $ | — |  |  | $ | 1,940,085 |
Short sales | 415 |  |  | — |  |  | — |  |  | 415 |
Derivatives | 83 |  |  | — |  |  | — |  |  | 83 |
Total liabilities measured at fair value | $ | 498 |  |  | $ | 1,940,085 |  |  | $ | — |  |  | $ | 1,940,583 |
As of December 31, 2023
(in thousands) | Level 1 |  | Level 2 |  | Level 3 |  | Total
Assets |  |  |  |  |  |  |
Cash equivalents | $ | 98,101 |  |  | $ | — |  |  | $ | — |  |  | $ | 98,101 |
Debt investments | 241 |  |  | 2,012,760 |  |  | 36,616 |  |  | 2,049,617 |
Equity investments | 32,642 |  |  | 8 |  |  | 446 |  |  | 33,096 |
Total assets measured at fair value | $ | 130,984 |  |  | $ | 2,012,768 |  |  | $ | 37,062 |  |  | $ | 2,180,814 |
Liabilities |  |  |  |  |  |  |
Notes payable | $ | — |  |  | $ | 1,922,243 |  |  | $ | — |  |  | $ | 1,922,243 |
Short sales | 518 |  |  | — |  |  | — |  |  | 518 |
Total liabilities measured at fair value | $ | 518 |  |  | $ | 1,922,243 |  |  | $ | — |  |  | $ | 1,922,761 |
Schedule of Reconciliation of Assets of Consolidated Sponsored Investment Products For Level 3 Investments, Unobservable Inputs Used to Determine Fair Value | The following table presents a reconciliation of beginning and ending balances of the Company's Level 3 debt securities:
| Three Months Ended September 30, |  | Nine Months Ended September 30,
(in thousands) | 2024 |  | 2023 |  | 2024 |  | 2023
Debt securities, beginning of period | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |
Purchases (sales), net | 24,443 |  |  | 24,339 |  |  | 24,443 |  |  | 24,339 |
Debt securities, end of period | $ | 24,443 |  |  | $ | 24,339 |  |  | $ | 24,443 |  |  | $ | 24,339 |
The following table is a reconciliation of assets of CIP for Level 3 investments for which significant unobservable inputs were used to determine fair value:
| Nine Months Ended September 30, |  |
(in thousands) | 2024 |  | 2023 |  |
Balance at beginning of period | $ | 37,062 |  |  | $ | 43,581 |  |  |
Realized and unrealized gains (losses), net | 918 |  |  | (42) |  |  |
Purchases | 19 |  |  | 3,430 |  |  |
Sales | (36,452) |  |  | (7,890) |  |  |
Transfers to Level 2 | (71,236) |  |  | (79,288) |  |  |
Transfers from Level 2 | 125,527 |  |  | 103,491 |  |  |
Balance at end of period (1) | $ | 55,838 |  |  | $ | 63,282 |  |  |
(1)The investments that are categorized as Level 3 were valued utilizing third-party pricing information without adjustment. Transfers in and/or out of levels are reflected when significant inputs, including market inputs or performance attributes, used for the fair value measurement become observable/unobservable at period end.

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