v3.25.4
Note 6 - Receivables From and Payables to Brokers, Dealers, and Clearing Agencies
12 Months Ended
Dec. 31, 2025
Notes to Financial Statements  
Due to and from Broker-Dealers and Clearing Organizations Disclosure [Text Block]

6. RECEIVABLES FROM AND PAYABLES TO BROKERS, DEALERS, AND CLEARING AGENCIES

 

Amounts receivable from brokers, dealers, and clearing agencies consisted of the following.

 

 

 

RECEIVABLES FROM BROKERS, DEALERS, AND CLEARING AGENCIES

(Dollars in Thousands)

 

  

December 31, 2025

  

December 31, 2024

 

Deposits with clearing agencies

 $250  $250 

Unsettled regular way trades, net

  3,281   2,263 

Receivable from clearing organizations

  42,663   43,137 

Receivables from brokers, dealers, and clearing agencies

 $46,194  $45,650 

 

Amounts payable to brokers, dealers, and clearing agencies consisted of the following.

 

 

 

PAYABLES TO BROKERS, DEALERS, AND CLEARING AGENCIES

(Dollars in Thousands)

 

  

December 31, 2025

  

December 31, 2024

 

Margin payable

 $4  $66,655 

Payables to brokers, dealers, and clearing agencies

 $4  $66,655 

 

Deposits with clearing agencies represent contractual amounts the Company is required to deposit with its clearing agents. 

 

Securities transactions that settle in the regular way are recorded on the trade date, as if they had settled. The related amounts receivable and payable for unsettled securities transactions are recorded net in receivables from or payables to brokers, dealers, and clearing agencies on the Company’s consolidated balance sheets.

 

Receivables from clearing agencies are primarily comprised of cash received by the Company upon execution of short trades that are restricted from withdrawal by the clearing agent.

 

Margin payable represents amounts borrowed from Pershing, LLC to finance the Company’s trading portfolio and the related accrued interest.  As of December 31, 2025, the Company had no margin payable to Perching LLC; the amount shown in the table above represents interest expense on a margin loan balance during the month of December 2025. See note 5 for interest expense incurred on margin payable. All of the Company's securities included in investments-trading and a portion of the Company's securities included in other investments, at fair value serve as collateral for this margin loan.  See note 8.