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FAIR VALUE MEASUREMENTS
 6 Months Ended
Jun. 30, 2024
Fair Value Disclosures [Abstract]  
FAIR VALUE MEASUREMENTS FAIR VALUE MEASUREMENTS
ASC 820, Fair Value Measurements, defines fair value, establishes a framework for measuring fair value and requires disclosures regarding certain fair value measurements. ASC 820 establishes a three-tier hierarchy for measuring fair value, as follows:
•Level 1 – quoted market prices in active markets for identical assets
•Level 2 – inputs other than quoted prices that are directly or indirectly observable
•Level 3 – significant unobservable inputs where there is little or no market activity
Our strategic investments in InvestCloud, Vista and Texas Stock Exchange, discussed in Note 6 “Investments,” are excluded from the recurring fair value table shown below because we have elected to apply the measurement alternative for those investments.
The following table summarizes the values of our investments measured at fair value on a recurring basis within the fair value hierarchy as of the dates indicated (in thousands):
Level 1Level 2Level 3
Investments Measured at NAV (1)
Total
As of June 30, 2024:
Investments in trading securities$20,364 $— $— $— $20,364 
Private investment funds— — — 1,825 1,825 
Total assets measured at fair value$20,364 $— $— $1,825 $22,189 
Salient Acquisition contingent consideration— — 10,176 — 10,176 
Total liabilities measured at fair value$— $— $10,176 $— $10,176 
As of December 31, 2023:
Investments in trading securities$32,674 $— $— $— $32,674 
Private investment fund— — — 241 241 
Total assets measured at fair value$32,674 $— $— $241 $32,915 
Salient Acquisition contingent consideration— — 10,133 — 10,133 
Total liabilities measured at fair value$— $— $10,133 $— $10,133 
(1) Comprised of certain investments measured at fair value using NAV as a practical expedient. The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the amounts presented on our Condensed Consolidated Balance Sheets.

Prior to our exchange of Charis shares for shares in Vista in 2023, our investment in Charis was included within Level 3 of the fair value hierarchy as we valued it utilizing inputs not observable in the market. Historically, our investment was measured at fair value on a recurring basis using a market approach based on either a price to tangible book value multiple range determined to be reasonable in the current environment, or on market transactions. On April 3, 2023, Charis was acquired by Vista in a transaction in which the Company exchanged its shares in Charis for shares in Vista.

The following table summarizes the changes in Level 3 investments measured at fair value on a recurring basis for the periods presented (in thousands):
Fair Value using Significant Unobservable Inputs (Level 3)
Three Months Ended June 30, 2023Six Months Ended June 30, 2023
Beginning balance$2,792 $2,792 
Exchange of shares(2,792)(2,792)
Ending balance$— $— 

The following table summarizes the changes in Level 3 liabilities measured at fair value on a recurring basis for the periods presented (in thousands):
Fair Value using Significant Unobservable Inputs (Level 3)
Three Months Ended June 30,Six Months Ended June 30,
2024202320242023
Beginning balance$7,184 $11,841 $10,133 $12,901 
Payments(1,815)— $(1,815)— 
Total (gains) losses included in earnings4,807 (4,078)1,858 (5,138)
Ending balance$10,176 $7,763 $10,176 $7,763