Related Party Transactions

12 Months Ended

Dec. 31, 2022

Related Party Transactions [Abstract]

Related Party Transactions

D. Related Party Transactions

At December 31, 2022 and 2021, the Company had an investment of $2,259,801 and $ 2,859,939, respectively, in The Gabelli U.S. Treasury Money Market Fund advised by Gabelli Funds, which is an affiliate of the Company. The amount was recorded in cash and cash equivalents in the consolidated statements of financial condition. Income earned from this investment in 2022 and 2021 totaled $33,520 and $232, respectively, and was included in dividends and interest in the consolidated statements of operations.

In 2022 and 2021, the Company earned $1,179,888 and $1,243,412, or approximately 61% and 55%, respectively, of its commission revenue from transactions executed on behalf of funds advised by Gabelli Funds and private wealth management clients advised by GAMCO Asset Management Inc., each affiliates of the Company.

The Company participated in the secondary offerings of the preferred stock of affiliated closed end funds during the year ended December 31, 2021 as participants in the underwriting syndicate and selling groups earning $702,035. The Company did not participate in any offering transactions entered into by affiliates for the year ended December 31, 2022.

The Company’s rent is currently being accounted for on a month-to-month basis. GAMI allocates this expense to the Company based on the percentage of square footage occupied by the Company’s employees (including pro rata allocation of common space).  Pursuant to the arrangement, GAMI and its affiliates shall pay a monthly fixed lease amount for the twelve month period. For the years ended December 31, 2022 and 2021, the Company paid $56,562 and $80,518, respectively, under the rent arrangement. These amounts are included within occupancy and equipment expenses on the consolidated statements of operations. At December 31, 2021, a $500,000 placement fee was due from the Gabelli Equity Trust and was included in a receivable in other assets.