Financial Instruments (Tables)

9 Months Ended

Sep. 30, 2013

Securities Owned and Securities Sold, But Not Yet Purchased at Fair Value

Securities Owned and Securities Sold, But Not Yet Purchased at Fair Value

(Expressed in thousands)


	September 30, 2013				December 31, 2012
	Owned		Sold		Owned		Sold
U.S. Government, agency & sovereign obligations	$	805,586	$	169,795	$	525,255	$	131,930
Corporate debt and other obligations		29,622		12,115		14,428		1,858
Mortgage and other asset-backed securities		3,626		4		2,920		18
Municipal obligations		77,421		629		59,010		467
Convertible bonds		46,870		19,618		49,130		8,868
Corporate equities		50,740		40,663		43,708		29,884
Other		68,604		241		65,291		425

Total	$	1,082,469	$	243,065	$	759,742	$	173,450

Quantitative Information about Level 3 Fair Value Measurements

Additional information regarding the valuation technique and inputs used is as follows:

(Expressed in thousands)

Quantitative Information about Level 3 Fair Value Measurements at September 30, 2013

Product

Principal

Valuation
Adjustment

Fair Value

Valuation Technique

Unobservable Input

Range

Weighted
Average

Auction Rate Securities⁽¹⁾

122,132

7,917

114,215

Discounted Cash Flow

Discount Rate

1.10% to 3.21%

1.59

Duration

4 to 7 Years

4.4 Years

Current Yield⁽²⁾

0.12% to 1.29%

0.27

(1)	Includes ARS owned by the Company of $85.9 million included in the condensed consolidated balance sheet at September 30, 2013 as well as additional commitments to purchase ARS from clients of $36.2 million which is disclosed in these notes to the condensed consolidated financial statements.

(2)	Based on current auctions in comparable securities that have not failed.

Investments in Company-Sponsored Funds

The following table provides information about the Company’s investments in Company-sponsored funds at September 30, 2013:

(Expressed in thousands)


	Fair Value		Unfunded Commitments		Redemption Frequency	Redemption Notice Period
Hedge funds (1)	$	1,777	$	—	Quarterly - Annually	30 - 120 Days
Private equity funds (2)		3,662		802	N/A	N/A

	$	5,439	$	802

(1)	Includes investments in hedge funds and hedge fund of funds that pursue long/short, event-driven, and activist strategies.

(2)	Includes private equity funds and private equity fund of funds with a focus on diversified portfolios, real estate and global natural resources. Due to the illiquid nature these funds, investors are not permitted to make withdrawals without consent of the general partner.

Assets and Liabilities Measured at Fair Value on Recurring Basis

The Company’s assets and liabilities, recorded at fair value on a recurring basis as of September 30, 2013 and December 31, 2012, have been categorized based upon the above fair value hierarchy as follows:

Assets and liabilities measured at fair value on a recurring basis as of September 30, 2013

(Expressed in thousands)


	Fair Value Measurements at September 30, 2013
	Level 1		Level 2		Level 3		Total
Assets
Cash equivalents	$	48,476	$	—	$	—	$	48,476
Securities segregated for regulatory and other purposes		11,500		—		—		11,500
Deposits with clearing organizations		9,094		—		—		9,094
Securities owned
U.S Treasury securities		774,540		—		—		774,540
U.S. Agency securities		11,675		17,558		—		29,233
Sovereign obligations		—		1,813		—		1,813
Corporate debt and other obligations		—		29,622		—		29,622
Mortgage and other asset-backed securities		—		3,626		—		3,626
Municipal obligations		—		63,919		13,502		77,421
Convertible bonds		—		46,870		—		46,870
Corporate equities		50,740		—		—		50,740
Other		1,439		—		67,165		68,604

Securities owned, at fair value		838,394		163,408		80,667		1,082,469
Investments ⁽¹⁾		10,636		44,732		6,126		61,494
TBAs		—		3,403		—		3,403

Total	$	918,100	$	211,543	$	86,793	$	1,216,436

Liabilities
Securities sold, but not yet purchased
U.S Treasury securities	$	164,770	$	—	$	—	$	164,770
U.S. Agency securities		4,999		26		—		5,025
Sovereign obligations		—		—		—		—
Corporate debt and other obligations		—		12,115		—		12,115
Mortgage and other asset-backed securities		—		4		—		4
Municipal obligations		—		629		—		629
Convertible bonds		—		19,618		—		19,618
Corporate equities		40,663		—		—		40,663
Other		241		—		—		241

Securities sold, but not yet purchased at fair value		210,673		32,392		—		243,065
Investments		408		—		—		408
Derivative contracts		771		204		2,412		3,387
TBAs		—		536		—		536

Total	$	211,852	$	33,132	$	2,412	$	247,396

(1)	Included in other assets on the condensed consolidated balance sheet.

Assets and liabilities measured at fair value on a recurring basis as of December 31, 2012

(Expressed in thousands)


	Fair Value Measurements at December 31, 2012
	Level 1		Level 2		Level 3		Total
Assets
Cash equivalents	$	58,945	$	—	$	—	$	58,945
Securities segregated for regulatory and other purposes		11,499		—		—		11,499
Deposits with clearing organizations		9,095		—		—		9,095
Securities owned
U.S Treasury securities		497,546		—		—		497,546
U.S. Agency securities		—		27,690		—		27,690
Sovereign obligations		—		19		—		19
Corporate debt and other obligations		2,459		11,969		—		14,428
Mortgage and other asset-backed securities		—		2,880		40		2,920
Municipal obligations		—		49,616		9,394		59,010
Convertible bonds		—		49,130		—		49,130
Corporate equities		31,958		11,750		—		43,708
Other		2,328		—		62,963		65,291

Securities owned, at fair value		534,291		153,054		72,397		759,742
Investments ⁽¹⁾		10,477		37,088		12,954		60,519
TBAs		—		3,188		—		3,188

	$	624,307	$	193,330	$	85,351	$	902,988

Liabilities
Securities sold, but not yet purchased
U.S Treasury securities	$	131,899	$	—	$	—	$	131,899
U.S. Agency securities		—		31		—		31
Corporate debt and other obligations		—		1,858		—		1,858
Mortgage and other asset-backed securities		—		18		—		18
Municipal obligations		—		467		—		467
Convertible bonds		—		8,868		—		8,868
Corporate equities		20,946		8,938		—		29,884
Other		325		—		100		425

Securities sold, but not yet purchased at fair value		153,170		20,180		100		173,450
Investments		258		—		—		258
Derivative contracts		286		124		2,647		3,057
TBAs		—		175		—		175

	$	153,714	$	20,479	$	2,747	$	176,940

(1)	Included in other assets on the condensed consolidated balance sheet.

Changes in Level 3 Assets and Liabilities Measured at Fair Value on Recurring Basis

The following tables present changes in Level 3 assets and liabilities measured at fair value on a recurring basis for the three months ended September 30, 2013 and 2012:

(Expressed in thousands)


	Level 3 Assets and Liabilities
	For the Three Months Ended September 30, 2013
	Beginning Balance		Total Realized and Unrealized Gains (Losses)⁽⁵⁾⁽⁶⁾			Purchases and Issuances		Sales and Settlements			Transfers In (Out)			Ending Balance
Assets
Mortgage and other asset-backed securities ⁽¹⁾	$	67	$	—		$	—	$	(8	)	$	(59	)	$	—
Municipals ⁽²⁾		11,569		(192	)		2,275		(150	)		—			13,502
Other ⁽³⁾		66,743		(53	)		475		—			—			67,165
Investments ⁽⁴⁾		12,974		(413	)		1,000		(7,435	)		—			6,126
Liabilities
Other ⁽³⁾		—		—			—		—			—			—
Derivative contracts		2,329		(83	)		—		—			—			2,412

(1)	Represents private placements of non-agency collateralized mortgage obligations.

(2)	Includes municipal auction rate securities.

(3)	Represents auction rate preferred securities and student loan auction rate securities that failed in the auction rate market.

(4)	Primarily represents general partner ownership interests in hedge funds and private equity funds sponsored by the Company.

(5)	Included in principal transactions on the condensed consolidated statement of operations, except for investments which are included in other income on the condensed consolidated statement of operations.

(6)	Unrealized gains (losses) are attributable to assets or liabilities that are still held at the reporting date.

(Expressed in thousands)


	Level 3 Assets and Liabilities
	For the Three Months Ended September 30, 2012
	Beginning Balance		Total Realized and Unrealized Gains (Losses)⁽⁵⁾⁽⁶⁾			Purchases and Issuances		Sales and Settlements			Transfers In (Out)		Ending Balance
Assets
Mortgage and other asset-backed securities ⁽¹⁾	$	12	$	3		$	11	$	—		$	—	$	26
Municipals ⁽²⁾		10,120		(13	)		655		(90	)		—		10,672
Other ⁽³⁾		64,644		410			5,950		(4,625	)		—		66,379
Investments ⁽⁴⁾		12,760		(41	)		231		(145	)		—		12,805
Liabilities
Derivative contracts		2,334		81			—		—			—		2,253

(1)	Represents private placements of non-agency collateralized mortgage obligations.

(2)	Includes municipal auction rate securities.

(3)	Represents auction rate preferred securities and student loan auction rate securities that failed in the auction rate market.

(4)	Primarily represents general partner ownership interests in hedge funds and private equity funds sponsored by the Company.

(5)	Included in principal transactions on the condensed consolidated statement of operations, except for investments which are included in other income on the condensed consolidated statement of operations.

(6)	Unrealized gains (losses) are attributable to assets or liabilities that are still held at the reporting date.

The following tables present changes in Level 3 assets and liabilities measured at fair value on a recurring basis for the nine months ended September 30, 2013 and 2012:

(Expressed in thousands)


	Level 3 Assets and Liabilities
	For the Nine Months Ended September 30, 2013
	Beginning Balance		Total Realized and Unrealized Gains (Losses)⁽⁵⁾⁽⁶⁾			Purchases and Issuances		Sales and Settlements			Transfers In (Out)			Ending Balance
Assets
Mortgage and other asset-backed securities ⁽¹⁾	$	40	$	—		$	—	$	(8	)	$	(32	)	$	—
Municipals ⁽²⁾		9,394		733			3,725		(350	)		—			13,502
Other ⁽³⁾		62,963		(1,173	)		9,450		(4,075	)		—			67,165
Investments ⁽⁴⁾		12,954		210			1,000		(8,038	)		—			6,126
Liabilities
Other ⁽³⁾		100		—			100		—			—			—
Derivative contracts		2,647		235			—		—			—			2,412

(1)	Represents private placements of non-agency collateralized mortgage obligations.

(2)	Includes municipal auction rate securities.

(3)	Represents auction rate preferred securities and student loan auction rate securities that failed in the auction rate market.

(4)	Primarily represents general partner ownership interests in hedge funds and private equity funds sponsored by the Company.

(5)	Included in principal transactions on the condensed consolidated statement of operations, except for investments which are included in other income on the condensed consolidated statement of operations.

(6)	Unrealized gains (losses) are attributable to assets or liabilities that are still held at the reporting date.

(Expressed in thousands)


	Level 3 Assets and Liabilities
	For the Nine Months Ended September 30, 2012
	Beginning Balance		Total Realized and Unrealized Gains (Losses)⁽⁵⁾⁽⁶⁾			Purchases and Issuances		Sales and Settlements			Transfers In (Out)			Ending Balance
Assets
Mortgage and other asset-backed securities ⁽¹⁾	$	16	$	(3	)	$	95	$	(80	)	$	(2	)	$	26
Municipals ⁽²⁾		3,562		(510	)		9,960		(2,340	)		—			10,672
Other ⁽³⁾		65,001		(351	)		20,675		(18,946	)		—			66,379
Investments ⁽⁴⁾		12,482		396			358		(442	)		11			12,805
Liabilities
Other ⁽³⁾		50		—			50		—			—			—
Derivative contracts		2,347		94			—		—			—			2,253

(1)	Represents private placements of non-agency collateralized mortgage obligations.

(2)	Includes municipal auction rate securities.

(3)	Represents auction rate preferred securities and student loan auction rate securities that failed in the auction rate market.

(4)	Primarily represents general partner ownership interests in hedge funds and private equity funds sponsored by the Company.

(5)	Included in principal transactions on the condensed consolidated statement of operations, except for investments which are included in other income on the condensed consolidated statement of operations.

(6)	Unrealized gains (losses) are attributable to assets or liabilities that are still held at the reporting date.

Assets and Liabilities Not Measured at Fair Value on Recurring Basis

Assets and liabilities not measured at fair value on a recurring basis as of September 30, 2013

(Expressed in thousands)


					Fair Value Measurement: Assets
	As of September 30, 2013				As of September 30, 2013
	Carrying Value		Fair Value		Level 1		Level 2		Level 3		Total
Cash	$	56,881	$	56,881	$	56,881	$	—	$	—	$	56,881
Cash segregated for regulatory and other purposes		25,069		25,069		25,069		—		—		25,069
Deposits with clearing organization		15,960		15,960		15,960		—		—		15,960
Receivable from brokers and clearing organizations
Deposits paid for securities borrowed		299,037		299,037		—		299,037		—		299,037
Receivables from brokers		44,222		44,222		—		44,222		—		44,222
Securities failed to deliver		33,649		33,649		—		33,649		—		33,649
Clearing organizations		100		100		—		100		—		100
Omnibus accounts		17,524		17,524		—		17,524		—		17,524
Other		975		975		—		975		—		975

		395,507		395,507		—		395,507		—		395,507
Receivable from customers		873,433		873,433		—		873,433		—		873,433
Notes receivable		43,113		43,113		—		—		43,113		43,113
Other assets
Mortgage servicing rights (MSRs)		28,121		38,453		—		—		38,453		38,453
Mortgage receivable ⁽¹⁾		65,757		65,757		—		65,757		—		65,757
Escrow deposit ⁽²⁾		25,000		25,000		25,000		—		—		25,000

(1)

Mortgage receivable balance represents loan amounts outstanding after funding but prior to Government National Mortgage Association (“GNMA”) securitization. Amount funded by warehouse facility (warehouse payable) is included in accounts payable and other liabilities on condensed consolidated balance sheet (see note 4 below). Residual amount between asset and liability is funded with internally generated funds.

(2)	Represent escrow monies deposited with commercial bank. Corresponds with payable to third party in accounts payable and other liabilities on condensed consolidated balance sheet (see note 4 below).

(Expressed in thousands)


					Fair Value Measurement: Liabilities
	As of September 30, 2013				As of September 30, 2013
	Carrying Value		Fair Value		Level 1		Level 2		Level 3		Total
Drafts payable	$	36,165	$	36,165	$	36,165	$	—	$	—	$	36,165
Bank call loans		94,800		94,800		94,800		—		—		94,800
Payables to brokers and clearing organizations
Deposits received for securities loaned		251,751		251,751		—		251,751		—		251,751
Securities failed to receive		12,774		12,774		—		12,774		—		12,774
Clearing organizations and other		1,418		1,418		—		1,418		—		1,418

		265,943		265,943		—		265,943		—		265,943
Payables to customers		690,911		690,911		—		690,911		—		690,911
Securities sold under agreements to repurchase		630,853		630,853		—		630,853		—		630,853
Accounts payable and other liabilities
Warehouse payable ⁽³⁾		49,137		49,137		—		49,137		—		49,137
Payable to third party ⁽⁴⁾		25,000		25,000		25,000		—		—		25,000
Senior secured notes		195,000		208,529		—		208,529		—		208,529

(3)	Warehouse payable represents loans outstanding under warehouse facility provided by commercial bank but prior to GNMA securitization. Used to fund mortgage receivable in other assets on condensed consolidated balance sheet (see note 1 above).

(4)	Corresponds with escrow deposit in other assets on condensed consolidated balance sheet (see note 2 above).

Notional Amounts and Fair Values of Derivatives by Product

The notional amounts and fair values of the Company’s derivatives at September 30, 2013 and December 31, 2012 by product were as follows:

(Expressed in thousands)


	Fair Value of Derivative Instruments at September 30, 2013
	Description	Notional		Fair Value
Liabilities
Derivatives not designated as hedging instruments ⁽¹⁾
Commodity contracts	U.S. Treasury Futures ⁽²⁾	$	73,600	$	771
	Federal Funds Futures ⁽²⁾		5,920,000		180
	Euro Dollars Futures ⁽²⁾		105,000		24
Other contracts	ARS purchase commitments ⁽³⁾		36,197		2,412

		$	6,134,797	$	3,387

(1)	See “Fair Value of Derivative Instruments” above for description of derivative financial instruments.

(2)	Included in payable to brokers and clearing organizations on the condensed consolidated balance sheet.

(3)	Included in other liabilities on the condensed consolidated balance sheet.

(Expressed in thousands)


	Fair Value of Derivative Instruments at December 31, 2012
	Description	Notional		Fair Value
Liabilities
Derivatives not designated as hedging instruments ⁽¹⁾
Commodity contracts	U.S. Treasury Futures ⁽²⁾	$	56,000	$	286
	Federal Funds Futures ⁽²⁾		6,070,000		120
	Euro Dollars Futures ⁽²⁾		15,000		4
Other contracts	ARS purchase commitments ⁽³⁾		38,343		2,647

		$	6,179,343	$	3,057

(1)	See “Fair Value of Derivative Instruments” above for description of derivative financial instruments.

(2)	Included in payable to brokers and clearing organizations on the condensed consolidated balance sheet.

(3)	Included in other liabilities on the condensed consolidated balance sheet.

Fair Value Amounts of Derivative Instruments and their Effect on Statement of Operations

The following table presents the location and fair value amounts of the Company’s derivative instruments and their effect on the condensed consolidated statement of operations for the three months ended September 30, 2013 and 2012:

(Expressed in thousands)


	The Effect of Derivative Instruments on the Statement of Operations
	For the Three Months Ended September 30, 2013
		Recognized in Income on Derivatives (pre-tax)
Types	Description	Location	Gain (Loss)
Commodity contracts	U.S. Treasury Futures	Principal transaction revenue	$	(356	)
	Federal Funds Futures	Principal transaction revenue		(235	)
	Euro Dollars Futures	Principal transaction revenue		(36	)
Other contracts	ARS purchase commitment	Principal transaction revenue		83

			$	(544	)

(Expressed in thousands)


	The Effect of Derivative Instruments on the Statement of Operations
	For the Three Months Ended September 30, 2012
		Recognized in Income on Derivatives (pre-tax)
Types	Description	Location	Gain (Loss)
Interest rate contracts	Caps ⁽¹⁾	N/A	$	—
Commodity contracts	U.S. Treasury Futures	Principal transaction revenue		(395	)
	Federal Funds Futures	Principal transaction revenue		(334	)
	Euro Dollars Futures	Principal transaction revenue		18
Other contracts	ARS purchase commitment	Principal transaction revenue		81

			$	(630	)

(1)

As noted above in “Cash flow hedges used for asset and liability management”, interest rate caps are used to hedge interest rate risk associated with the Subordinated Note due 2014 ($100.0 million). With the repayment of the Subordinated Note in the second quarter of 2011, this cap is no longer designated as a cash flow hedge. The cap expired worthless on December 31, 2012.

(Expressed in thousands)


	The Effect of Derivative Instruments on the Statement of Operations
	For the Nine Months Ended September 30, 2013
		Recognized in Income on Derivatives (pre-tax)
Types	Description	Location	Gain (Loss)
Commodity contracts	U.S. Treasury Futures	Principal transaction revenue	$	446
	Federal Funds Futures	Principal transaction revenue		(287	)
	Euro Dollars Futures	Principal transaction revenue		35
Other contracts	ARS purchase commitment	Principal transaction revenue		(235	)

			$	(41	)

(Expressed in thousands)


	The Effect of Derivative Instruments on the Statement of Operations
	For the Nine Months Ended September 30, 2012
		Recognized in Income on Derivatives (pre-tax)
Types	Description	Location	Gain (Loss)
Interest rate contracts	Caps ⁽¹⁾	N/A	$	(12	)
Commodity contracts	U.S. Treasury Futures	Principal transaction revenue		(1,032	)
	Federal Funds Futures	Principal transaction revenue		(74	)
	Euro Dollars Futures	Principal transaction revenue		(9	)
Other contracts	ARS purchase commitment	Principal transaction revenue		94

			$	(1,033	)

(1)

Notional and Fair Values of TBAs

The following table summarizes the notional and fair values of the TBAs as of September 30, 2013 and December 31, 2012:

(Expressed in thousands)


	September 30, 2013				December 31, 2012
	Notional Amount		Fair Value		Notional Amount		Fair Value
Sale of TBAs ⁽¹⁾	$	381,124	$	3,403	$	449,065	$	3,188
Purchase of TBAs	$	42,709	$	536	$	117,573	$	175
Funding Commitments		266,273				304,390

	$	308,982			$	421,963

(1)

TBAs are used to offset exposures related to commitments to provide funding for Federal Housing Administration (“FHA”) loans at OMHHF. At September 30, 2013, the loan commitments balance was $266.3 million ($304.4 million at December 31, 2012). In addition, at September 30, 2013, OMHHF had a loan receivable balance (included in other assets in the condensed consolidated balance sheet) of $65.8 million ($22.9 million at December 31, 2012) which relates to prior loan commitments that have been funded but have not yet been securitized. The “when issued” securitizations of these loans have been sold to market counterparties.

Schedule of Gross Amounts and Offsetting Amounts of Reverse Repurchase Agreements, Repurchase Agreements, Securities Borrowed and Securities Lending Transactions

The following tables present the gross amounts and the offsetting amounts of reverse repurchase agreements, repurchase agreements, securities borrowed and securities loaned transactions as of September 30, 2013 and December 31, 2012:

As of September 30, 2013

(Expressed in thousands)


							Gross Amounts Not Offset on the Balance Sheet
	Gross Amounts of Recognized Assets		Gross Amounts Offset in the Statement of Financial Position		Net Amounts of Assets Presented on the Balance Sheet		Financial Instruments			Cash Collateral Received		Net Amount
Reverse repurchase agreements	$	2,568,939	$	2,568,939	$	—	$	—		$	—	$	—
Securities borrowed ⁽¹⁾		299,037		—		299,037		(299,037	)		—		—

Total	$	2,867,976	$	2,568,939	$	299,037	$	(299,037	)	$	—	$	—

(1)	Included in receivable from brokers, dealers and clearing organizations on the condensed consolidated balance sheet.


							Gross Amounts Not Offset on the Balance Sheet
	Gross Amounts of Recognized Liabilities		Gross Amounts Offset in the Statement of Financial Position		Net Amounts of Liabilities Presented on the Balance Sheet		Financial Instruments			Cash Collateral Pledged		Net Amount
Repurchase agreements	$	3,199,792	$	2,568,939	$	630,853	$	(630,853	)	$	—	$	—
Securities loaned ⁽²⁾		251,751		—		251,751		(251,751	)		—		—

Total	$	3,451,543	$	2,568,939	$	882,604	$	(882,604	)	$	—	$	—

(2)	Included in payable to brokers, dealers and clearing organizations on the condensed consolidated balance sheet.

As of December 31, 2012

(Expressed in thousands)


							Gross Amounts Not Offset on the Balance Sheet
	Gross Amounts of Recognized Assets		Gross Amounts Offset in the Statement of Financial Position		Net Amounts of Assets Presented on the Balance Sheet		Financial Instruments			Cash Collateral Received		Net Amount
Reverse repurchase agreements	$	1,160,239	$	1,160,239	$	—	$	—		$	—	$	—
Securities borrowed ⁽¹⁾		365,642		—		365,642		(365,642	)		—		—

Total	$	1,525,881	$	1,160,239	$	365,642	$	(365,642	)	$	—	$	—

(1)	Included in receivable from brokers, dealers and clearing organizations on the condensed consolidated balance sheet.


							Gross Amounts Not Offset on the Balance Sheet
	Gross Amounts of Recognized Liabilities		Gross Amounts Offset in the Statement of Financial Position		Net Amounts of Liabilities Presented on the Balance Sheet		Financial Instruments			Cash Collateral Pledged		Net Amount
Repurchase agreements	$	1,552,630	$	1,160,239	$	392,391	$	(392,391	)	$	—	$	—
Securities loaned ⁽²⁾		190,387		—		190,387		(190,387	)		—		—

Total	$	1,743,017	$	1,160,239	$	582,778	$	(582,778	)	$	—	$	—

(2)	Included in payable to brokers, dealers and clearing organizations on the condensed consolidated balance sheet.

Variable Interest Entities

The following tables set forth the total VIE assets, the carrying value of the subsidiaries’ variable interests, and the Company’s maximum exposure to loss in Company-sponsored non-consolidated VIEs in which the Company holds variable interests and other non-consolidated VIEs in which the Company holds variable interests at September 30, 2013 and December 31, 2012:

(Expressed in thousands)


	September 30, 2013
									Maximum
									Exposure
			Carrying Value of the						to Loss in
	Total		Company’s Variable Interest				Capital		Non-consolidated
	VIE Assets (1)		Assets (2)		Liabilities		Commitments		VIEs
Hedge funds	$	2,064,368	$	284	$	—	$	—	$	284
Private equity funds		108,463		32		—		7		39

Total	$	2,172,831	$	316	$	—	$	7	$	323

(1)	Represents the total assets of the VIEs and does not represent the Company’s interests in the VIEs.

(2)	Represents the Company’s interests in the VIEs and is included in other assets on the condensed consolidated balance sheet.

(Expressed in thousands)


	December 31, 2012
									Maximum
									Exposure
			Carrying Value of the						to Loss in
	Total		Company’s Variable Interest				Capital		Non-consolidated
	VIE Assets (1)		Assets (2)		Liabilities		Commitments		VIEs
Hedge funds	$	1,868,178	$	372	$	—	$	—	$	372
Private equity funds		171,169		32		—		8		40

Total	$	2,039,347	$	404	$	—	$	8	$	412

(1)	Represents the total assets of the VIEs and does not represent the Company’s interests in the VIEs.

(2)	Represents the Company’s interests in the VIEs and is included in other assets on the condensed consolidated balance sheet.