Fair Value of Financial Assets and Liabilities (Tables)

6 Months Ended

Jun. 30, 2020

Fair Value Disclosures [Abstract]

Fair Value Hierarchy of Financial Assets and Liabilities under U.S. GAAP Guidance

The following tables set forth by level within the fair value hierarchy financial assets and liabilities accounted for at fair value under U.S. GAAP guidance (in thousands):

	Assets at Fair Value at June 30, 2020
	Level 1		Level 2		Level 3		Netting and Collateral			Total
Marketable securities	$	278	$	—	$	—	$	—		$	278
Government debt		57,975		—		—		—			57,975
Securities owned—Equities		163		—		—		—			163
FX/commodities options		112		—		—		(2	)		110
Forwards		—		173		—		(12	)		161
FX swaps		—		698		—		(74	)		624
Futures		—		42,521		—		(42,521	)		—
Corporate Bonds		—		547		—		—			547
Total	$	58,528	$	43,939	$	—	$	(42,609	)	$	59,858

	Liabilities at Fair Value at June 30, 2020
	Level 1		Level 2		Level 3		Netting and Collateral			Total
FX/commodities options	$	2	$	—	$	—	$	(2	)	$	—
FX swaps		—		389		—		(74	)		315
Forwards		—		1,901		—		(12	)		1,889
Futures		—		43,138		—		(42,521	)		617
Contingent consideration		—		—		35,107		—			35,107
Total	$	2	$	45,428	$	35,107	$	(42,609	)	$	37,928

	Assets at Fair Value at December 31, 2019
	Level 1		Level 2		Level 3		Netting and Collateral			Total
Marketable securities	$	14,228	$	—	$	—	$	—		$	14,228
Government debt		56,761		—		—		—			56,761
Securities owned—Equities		36		—		—		—			36
FX/commodities options		26		—		—		—			26
Forwards		—		706		—		(142	)		564
FX swaps		—		1,672		—		(394	)		1,278
Futures		—		2,044		—		(2,044	)		—
Corporate Bonds		—		728		—		—			728
Total	$	71,051	$	5,150	$	—	$	(2,580	)	$	73,621

	Liabilities at Fair Value at December 31, 2019
	Level 1		Level 2		Level 3		Netting and Collateral			Total
FX/commodities options	$	—	$	—	$	—	$	—		$	—
FX swaps		—		2,638		—		(394	)		2,244
Forwards		—		1,427		—		(142	)		1,285
Futures		—		2,668		—		(2,044	)		624
Contingent consideration		—		—		42,159		—			42,159
Total	$	—	$	6,733	$	42,159	$	(2,580	)	$	46,312

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

Level 3 Financial Liabilities

Changes in Level 3 liabilities measured at fair value on a recurring basis for the three months ended June 30, 2020 were as follows (in thousands):

	Opening Balance as of April 1, 2020		Total realized and unrealized (gains) losses included in Net income (loss)1			Unrealized (gains) losses included in Other comprehensive income (loss)2			Purchases/ Issuances		Sales/ Settlements			Closing Balance at June 30, 2020		Unrealized (gains) losses for the period included in Net income (loss) on Level 3 Assets / Liabilities Outstanding at June 30, 2020			Unrealized (gains) for the period included in Other comprehensive income (loss) on Level 3 Assets / Liabilities Outstanding at June 30, 2020
Liabilities
Accounts payable, accrued and    other liabilities:
Contingent consideration	$	38,709	$	(772	)	$	(8	)	$	—	$	(4,382	)	$	35,107	$	(772	)	$	(8	)

¹ Realized and unrealized gains (losses) are reported in “Other expenses” and “Other income (loss),” as applicable, in the Company’s unaudited condensed consolidated statements of operations.

² Unrealized gains (losses) are reported in “Foreign currency translation adjustments,” in the Company’s unaudited condensed consolidated statements of comprehensive income (loss).

Changes in Level 3 liabilities measured at fair value on a recurring basis for the three months ended June 30, 2019 were as follows (in thousands):

	Opening Balance as of April 1, 2019		Total realized and unrealized (gains) losses included in Net income (loss)			Unrealized (gains) losses included in Other comprehensive income (loss)		Purchases/ Issuances		Sales/ Settlements			Closing Balance at June 30, 2019		Unrealized (gains) losses for the period on Level 3 Assets / Liabilities Outstanding at June 30, 2019
Liabilities
Accounts payable, accrued and    other liabilities:
Contingent consideration1	$	42,139	$	(1,940	)	$	295	$	—	$	(1,632	)	$	42,152	$	(1,645	)

¹Realized and unrealized gains (losses) are reported in “Other expenses” and “Other income (loss),” as applicable, in the Company’s unaudited condensed consolidated statements of operations.

Changes in Level 3 liabilities measured at fair value on a recurring basis for the six months ended June 30, 2020 were as follows (in thousands):

															Unrealized (gains)  for the period included in:
	Opening Balance as of January 1, 2020		Total realized and unrealized (gains) losses included in Net income (loss)1		Unrealized (gains) losses included in Other comprehensive income (loss)2			Purchases/ Issuances		Sales/ Settlements			Closing Balance at June 30, 2020		Net income (loss) on Level 3 Assets / Liabilities Outstanding  at June 30, 2020		Unrealized (gains)  for the period included in Other comprehensive income (loss) Level 3 Assets / Liabilities Outstanding at June 30, 2020
Liabilities
Accounts payable, accrued and    other liabilities:
Contingent consideration1	$	42,159	$	369	$	(67	)	$	2,959	$	(9,709	)	$	35,107	$	369	$	(67	)

¹ Realized and unrealized gains (losses) are reported in “Other expenses” and “Other income (loss),” as applicable, in the Company’s unaudited condensed consolidated statements of operations.

²Unrealized gains (losses) are reported in “Foreign currency translation adjustments,” in the Company’s unaudited condensed consolidated statements of comprehensive income (loss).

Changes in Level 3 liabilities measured at fair value on a recurring basis for the six months ended June 30, 2019 were as follows (in thousands):

	Opening Balance as of January 1, 2019		Total realized and unrealized (gains) losses included in Net income (loss)			Unrealized (gains) losses included in Other comprehensive income (loss)			Purchases/ Issuances		Sales/ Settlements			Closing Balance at June 30, 2019		Unrealized (gains) losses for the period on Level 3 Assets / Liabilities Outstanding at June 30, 2019
Liabilities
Accounts payable, accrued and    other liabilities:
Contingent consideration1	$	45,984	$	(3,422	)	$	(280	)	$	—	$	(7,534	)	$	42,152	$	(3,702	)

¹Realized and unrealized gains (losses) are reported in “Other expenses” and “Other income (loss),” as applicable, in the Company’s unaudited condensed consolidated statements of operations.

Quantitative Information about Level 3 Fair Value Measurements on Recurring Basis

The following tables present quantitative information about the significant unobservable inputs utilized by the Company in the fair value measurement of Level 3 liabilities measured at fair value on a recurring basis (in thousands):

	Fair Value as of June 30, 2020
	Assets		Liabilities		Valuation Technique	Unobservable Inputs	Range	Weighted Average
Contingent consideration	$	—	$	35,107	Present value of expected payments	Discount rate1 Probability of meeting earnout and contingencies	6.8%-10.3% 39%-100%	9.5% 78.5%2

¹ The discount rate is based on the Company’s calculated weighted-average cost of capital.

² The probability of meeting the earnout targets was based on the acquirees’ projected future financial performance, including revenues.

	Fair Value as of December 31, 2019
	Assets		Liabilities		Valuation Technique	Unobservable Inputs	Range	Weighted Average
Contingent consideration	$	—	$	42,159	Present value of expected payments	Discount rate Probability of meeting earnout and contingencies	9.2%-10.3% 70%-100%	9.8% 90.2%1

¹ The probability of meeting the earnout targets was based on the acquirees’ projected future financial performance, including revenues.