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FAIR VALUE MEASUREMENTS (Tables) | 9 Months Ended
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Sep. 30, 2025
Fair Value Disclosures [Abstract] |
Schedules of Fair Value Measurements, Recurring and Nonrecurring | The assets and liabilities measured at estimated fair value on a recurring basis and their corresponding placement in the fair value hierarchy are presented in the tables below. The Company evaluates its estimates and judgments on an ongoing basis. The Company bases its estimates on historical experience and or other relevant assumptions that the Company believes to be reasonable under the circumstances. Actual results may differ materially from management’s estimates.
| Fair Value Hierarchy
As of September 30, 2025 | Level 1 |  | Level 2 |  | Level 3 |  | Total
Assets: |  |  |  |  |  |  |
Life settlement policies, at fair value | $ | — |  |  | $ | — |  |  | $ | 423,782,347 |  |  | $ | 423,782,347 |
Available-for-sale securities, at fair value | — |  |  | — |  |  | 3,194,593 |  |  | 3,194,593 |
Total assets held at fair value | $ | — |  |  | $ | — |  |  | $ | 426,976,940 |  |  | $ | 426,976,940 |
Liabilities: |  |  |  |  |  |  |
Current portion of long-term debt, at fair value | $ | — |  |  | $ | — |  |  | $ | 118,498,871 |  |  | $ | 118,498,871 |
Total liabilities held at fair value: | $ | — |  |  | $ | — |  |  | $ | 118,498,871 |  |  | $ | 118,498,871 |
| Fair Value Hierarchy
As of December 31, 2024 | Level 1 |  | Level 2 |  | Level 3 |  | Total
Assets: |  |  |  |  |  |  |
Life settlement policies, at fair value | $ | — |  |  | $ | — |  |  | $ | 370,398,447 |  |  | $ | 370,398,447 |
Available-for-sale securities, at fair value | — |  |  | — |  |  | 2,205,904 |  |  | 2,205,904 |
Total assets held at fair value | $ | — |  |  | $ | — |  |  | $ | 372,604,351 |  |  | $ | 372,604,351 |
Liabilities: |  |  |  |  |  |  |
Current portion of long-term debt, at fair value | $ | — |  |  | $ | — |  |  | $ | 37,430,336 |  |  | $ | 37,430,336 |
Long-term debt, at fair value | — |  |  | — |  |  | 105,120,100 |  |  | 105,120,100 |
Private Placement Warrants | — |  |  | — |  |  | 9,345,000 |  |  | 9,345,000 |
Total liabilities held at fair value: | $ | — |  |  | $ | — |  |  | $ | 151,895,436 |  |  | $ | 151,895,436 |
Schedules of Fair Value Measurement Inputs and Valuation Techniques | The following table provides quantitative information about significant unobservable inputs for Level 3 fair value measurements as of September 30, 2025:
Fair Value |  | Valuation Technique |  | Significant Unobservable Inputs |  | Weighted Average |  | Range
$ | 423,782,347 |  |  | Discounted cash flow with Monte Carlo simulation |  | Discount rate supported by historical realized gains by risk category |  | 15% |  | 14% —18%
|  |  |  | Historical realized gains by risk category |  | 24% |  | 6% —56%1
|  |  |  | Life expectancy (months) |  | 50 months |  | 2 months —270 months
|  |  |  | Risk score |  | 1.98 |  | 1 —5
1 Historical realized gains represents the evenly spread weighted average realized gains on a quarterly basis over the last 8 quarters of issued financial statements. The following table provides quantitative information about significant unobservable inputs for Level 3 fair value measurements as of December 31, 2024:
Fair Value |  | Valuation Technique |  | Significant Unobservable Inputs |  | Weighted Average |  | Range
$ | 370,398,447 |  |  | Discounted cash flow with Monte Carlo simulation |  | Discount rate supported by historical realized gains by risk category |  | 20% |  | 17% —21%
|  |  |  | Historical realized gains by risk category |  | 20% |  | 6% —56%1
|  |  |  | Life expectancy (months) |  | 71 months |  | 5 months —311 months
|  |  |  | Risk score |  | 1.86 |  | 1 —5
1 Historical realized gains represents the evenly spread weighted average realized gains on a quarterly basis over the last 6 quarters of issued financial statements. If the discount rate increased or decreased by one percentage point and the other assumptions used to estimate fair value remained the same, the change in estimated fair value as of September 30, 2025, would be as follows:
| Fair Value |  | Change in Fair Value |  | Implied Realized Gain
+1% | $ | 416,087,778 |  |  | $ | (7,694,569) |  |  | 22 | %
No change | 423,782,347 |  |  |  |  | 24 | %
-1% | 444,968,231 |  |  | 21,185,884 |  |  | 30 | %
If the historical realized gains increased or decreased by one percentage point and the other assumptions used to estimate fair value remained the same, the change in estimated fair value as of September 30, 2025, would be as follows:
| Fair Value |  | Change in Fair Value
+1% | $ | 427,229,303 |  |  | $ | 3,446,956 |
No change | 423,782,347 |  |  |
-1% | 420,335,391 |  |  | (3,446,956) |
The following table presents the key assumptions in the analysis as of the Merger Closing Date:
| Private Placement Warrants
Expected implied volatility | de minimis
Risk-free interest rate | 4.09%
Term to expiration | 5.0 years
Exercise price | $11.50
Common Stock Price | $10.03
Dividend Yield | —%
Schedules of Concentration of Risk, by Risk Factor | The following table provides information about the life insurance issuer concentrations that exceed 10% of total face value or 10% of total fair value of the Company’s life insurance policies as of September 30, 2025:
Carrier | Percentage of Face Value |  | Percentage of Fair Value |  | Carrier Rating 1
Lincoln National Life Insurance Company | 12.7 | % |  | 13.2 | % |  | A
Transamerica | 10.8 | % |  | 12.9 | % |  | A
John Hancock Life Insurance Company (U.S.A.) | 15.9 | % |  | 12.1 | % |  | A+
1 Carrier ratings are based on AB Best ratings.
Schedules of Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation | The following table provides a rollforward of the fair value of life insurance policies for the nine months ended September 30, 2025:
Fair value at December 31, 2024 | $ | 370,398,447 |
Policies purchased | 301,259,528 |
Matured/sold policies | (281,476,598) |
Unrealized gain on held policies | 33,600,970 |
Fair value at September 30, 2025 | $ | 423,782,347 |
Schedules of Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation | The following table provides a rollforward of the fair value of the outstanding debt for the nine months ended September 30, 2025:
Fair value at December 31, 2024 | $ | 142,550,436 |
Debt issued to third parties | 25,410,115 |
Repayment of debt | (46,423,206) |
Change in estimated fair value of debt | (3,362,103) |
LMA Income Series, LP excess return accrual | 143,630 |
Deferred issuance costs | 179,999 |
Fair value at September 30, 2025 | $ | 118,498,871 |

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