CONSOLIDATION (Tables)

3 Months Ended

Mar. 31, 2018

Condensed Financial Information of Parent Company Only Disclosure [Abstract]

The Company's interests and the Consolidated Funds' interests in consolidated and non-consolidated VIEs, as presented in the Condensed Consolidated Statements of Financial Condition, and their respective maximum exposure to loss relating to non-consolidated VIEs are as follows:



	As of March 31,		As of December 31,
	2018		2017
Maximum exposure to loss attributable to the Company's investment in non-consolidated VIEs	$	266,833	$	251,376
Maximum exposure to loss attributable to the Company's investment in consolidated VIEs	$	174,849	$	175,620
Assets of consolidated VIEs	$	6,126,584	$	6,231,245
Liabilities of consolidated VIEs	$	5,417,561	$	5,538,054



	For the Three Months Ended March 31,
	2018		2017
Net income attributable to non-controlling interests related to consolidated VIEs	$	367	$	15,855

Schedule of consolidating effects of the Consolidated Funds on the Company's financial condition

The following supplemental financial information illustrates the consolidating effects of the Consolidated Funds on the Company's financial condition as of March 31, 2018 and December 31, 2017 and results from operations for the three months ended March 31, 2018 and 2017.



	As of March 31, 2018
	Consolidated Company Entities			Consolidated Funds		Eliminations			Consolidated
Assets
Cash and cash equivalents	$	115,540		$	—	$	—		$	115,540
Investments ($1,113,435 of accrued carried interest, and $17,575 of pledged collateral)	1,986,678			—		(174,849		)	1,811,829
Due from affiliates	177,601			—		(8,791		)	168,810
Deferred tax asset, net	50,986			—		—			50,986
Other assets	105,187			—		—			105,187
Intangible assets, net	37,178			—		—			37,178
Goodwill	143,968			—		—			143,968
Assets of Consolidated Funds
Cash and cash equivalents	—			532,470		—			532,470
Investments, at fair value	—			5,479,136		—			5,479,136
Due from affiliates	—			17,782		—			17,782
Dividends and interest receivable	—			12,096		—			12,096
Receivable for securities sold	—			83,718		—			83,718
Other assets	—			1,382		—			1,382
Total assets	$	2,617,138		$	6,126,584	$	(183,640	)	$	8,560,082
Liabilities
Accounts payable, accrued expenses and other liabilities	$	78,771		$	—	$	—		$	78,771
Accrued compensation	49,944			—		—			49,944
Due to affiliates	21,018			—		—			21,018
Performance related compensation payable	856,421			—		—			856,421
Debt obligations	590,169			—		—			590,169
Liabilities of Consolidated Funds
Accounts payable, accrued expenses and other liabilities	—			81,508		—			81,508
Due to affiliates	—			8,791		(8,791		)	—
Payable for securities purchased	—			239,139		—			239,139
CLO loan obligations, at fair value	—			4,947,470		(10,206		)	4,937,264
Fund borrowings	—			140,653		—			140,653
Total liabilities	1,596,323			5,417,561		(18,997		)	6,994,887
Commitments and contingencies
Preferred equity (12,400,000 shares issued and outstanding)	298,761			—		—			298,761
Non-controlling interest in Consolidated Funds	—			709,023		(164,643		)	544,380
Non-controlling interest in Ares Operating Group entities	348,820			—		—			348,820
Controlling interest in Ares Management, L.P.:
Shareholders' equity (97,514,500 shares issued and outstanding)	377,235			—		—			377,235
Accumulated other comprehensive loss, net of tax	(4,001		)	—		—			(4,001		)
Total controlling interest in Ares Management, L.P.	373,234			—		—			373,234
Total equity	1,020,815			709,023		(164,643		)	1,565,195
Total liabilities and equity	$	2,617,138		$	6,126,584	$	(183,640	)	$	8,560,082



	As of December 31, 2017
	As adjusted
	Consolidated Company Entities			Consolidated Funds		Eliminations			Consolidated
Assets
Cash and cash equivalents	$	118,929		$	—	$	—		$	118,929
Investments ($1,077,236 of accrued carried interest, and $0 of pledged collateral)	1,900,191			—		(175,620		)	1,724,571
Due from affiliates	171,701			—		(5,951		)	165,750
Deferred tax asset, net	8,326			—		—			8,326
Other assets	135,674			—		(5,333		)	130,341
Intangible assets, net	40,465			—		—			40,465
Goodwill	143,895			—		—			143,895
Assets of Consolidated Funds
Cash and cash equivalents	—			556,500		—			556,500
Investments, at fair value	—			5,582,842		—			5,582,842
Due from affiliates	—			15,884		—			15,884
Dividends and interest receivable	—			12,568		—			12,568
Receivable for securities sold	—			61,462		—			61,462
Other assets	—			1,989		—			1,989
Total assets	$	2,519,181		$	6,231,245	$	(186,904	)	$	8,563,522
Liabilities
Accounts payable, accrued expenses and other liabilities	$	81,955		$	—	$	—		$	81,955
Accrued compensation	27,978			—		—			27,978
Due to affiliates	14,642			—		—			14,642
Performance related compensation payable	846,626			—		—			846,626
Debt obligations	616,176			—		—			616,176
Liabilities of Consolidated Funds
Accounts payable, accrued expenses and other liabilities	—			64,316		—			64,316
Due to affiliates	—			11,285		(11,285		)	—
Payable for securities purchased	—			350,145		—			350,145
CLO loan obligations, at fair value	—			4,974,110		(10,916		)	4,963,194
Fund borrowings	—			138,198		—			138,198
Total liabilities	1,587,377			5,538,054		(22,201		)	7,103,230
Commitments and contingencies
Preferred equity (12,400,000 shares issued and outstanding)	298,761			—		—			298,761
Non-controlling interest in Consolidated Funds	—			693,191		(164,703		)	528,488
Non-controlling interest in Ares Operating Group entities	358,186			—		—			358,186
Controlling interest in Ares Management, L.P.:
Shareholders' equity (82,280,033 shares issued and outstanding)	279,065			—		—			279,065
Accumulated other comprehensive loss, net of tax	(4,208		)	—		—			(4,208		)
Total controlling interest in Ares Management, L.P.	274,857			—		—			274,857
Total equity	931,804			693,191		(164,703		)	1,460,292
Total liabilities and equity	$	2,519,181		$	6,231,245	$	(186,904	)	$	8,563,522

Schedule of results from operations



	For the Three Months Ended March 31, 2018
	Consolidated Company Entities			Consolidated Funds			Eliminations			Consolidated
Revenues
Management fees (includes ARCC Part I Fees of $28,417)	$	196,826		$	—		$	(7,311	)	$	189,515
Carried interest allocation	54,129			—			—			54,129
Incentive fees	5,071			—			—			5,071
Principal investment income	2,708			—			2,201			4,909
Administrative, transaction and other fees	12,465			—			—			12,465
Total revenues	271,199			—			(5,110		)	266,089
Expenses
Compensation and benefits	134,639			—			—			134,639
Performance related compensation	25,878			—			—			25,878
General, administrative and other expense	44,450			—			—			44,450
Expenses of the Consolidated Funds	—			8,629			(7,313		)	1,316
Total expenses	204,967			8,629			(7,313		)	206,283
Other income (expense)
Net realized and unrealized loss on investments	(1,178		)	—			339			(839		)
Interest and dividend income	3,347			—			—			3,347
Interest expense	(6,869		)	—			—			(6,869		)
Other income (expense), net	147			—			(458		)	(311		)
Net realized and unrealized loss on investments of the Consolidated Funds	—			(12,452		)	(633		)	(13,085		)
Interest and other income of the Consolidated Funds	—			64,422			—			64,422
Interest expense of the Consolidated Funds	—			(44,718		)	293			(44,425		)
Total other income (expense)	(4,553		)	7,252			(459		)	2,240
Income (loss) before taxes	61,679			(1,377		)	1,744			62,046
Income tax benefit	(12,375		)	—			—			(12,375		)
Net income (loss)	74,054			(1,377		)	1,744			74,421
Less: Net income (loss) attributable to non-controlling interests in Consolidated Funds	—			(1,377		)	1,744			367
Less: Net income attributable to non-controlling interests in Ares Operating Group entities	33,106			—			—			33,106
Net income attributable to Ares Management, L.P.	40,948			—			—			40,948
Less: Preferred equity dividend paid	5,425			—			—			5,425
Net income attributable to Ares Management, L.P. common shareholders	$	35,523		$	—		$	—		$	35,523



	For the Three Months Ended March 31, 2017
	As adjusted
	Consolidated Company Entities				Consolidated Funds				Eliminations				Consolidated
Revenues
Management fees (includes ARCC Part I Fees of $33,257)	$	176,781			$	—			$	(4,736	)		$	172,045
Carried interest allocation	53,015				—				(1,008		)		52,007
Incentive fees	5,027				—				(1,862		)		3,165
Principal investment income	13,169				—				(10,582		)		2,587
Administrative, transaction and other fees	14,440				—				—				14,440
Total revenues	262,432				—				(18,188		)		244,244
Expenses
Compensation and benefits	124,339				—				—				124,339
Performance related compensation	40,702				—				—				40,702
General, administrative and other expense	47,338				—				—				47,338
Transaction support expense	275,177												275,177
Expenses of the Consolidated Funds	—				10,509				(6,598		)		3,911
Total expenses	487,556				10,509				(6,598		)		491,467
Other income (expense)
Net realized and unrealized gain on investments	3,753				—				(2,865		)		888
Interest and dividend income	2,843				—				(919		)		1,924
Interest expense	(4,879		)		—				—				(4,879		)
Other income, net	16,496				—				—				16,496
Net realized and unrealized gain on investments of the Consolidated Funds	—				30,439				1,597				32,036
Interest and other income of the Consolidated Funds	—				41,492				—				41,492
Interest expense of Consolidated Funds	—			—	(33,486		)	—	2,164			—	(31,322		)
Total other income	18,213				38,445				(23		)		56,635
Income (loss) before taxes	(206,911		)		27,936				(11,613		)		(190,588		)
Income tax expense (benefit)	(34,732		)		468				—				(34,264		)
Net income (loss)	(172,179		)		27,468				(11,613		)		(156,324		)
Less: Net income attributable to non-controlling interests in Consolidated Funds	—				27,468				(11,613		)		15,855
Less: Net loss attributable to non-controlling interests in Ares Operating Group entities	(131,045		)		—				—				(131,045		)
Net loss attributable to Ares Management, L.P.	(41,134		)		—				—				(41,134		)
Less: Preferred equity dividend paid	5,425				—				—				5,425
Net loss attributable to Ares Management, L.P. common shareholders	$	(46,559	)		$	—			$	—			$	(46,559	)

- Definition

Tabular disclosure of the significant judgments and assumptions made in determining whether a variable interest (as defined) held by the entity requires the variable interest entity (VIE) (as defined) to be consolidated and (or) disclose information about its involvement with the VIE, individually or in aggregate (as applicable); the nature of restrictions, if any, on the consolidated VIE's assets and on the settlement of its liabilities reported by an entity in its statement of financial position, including the carrying amounts of such assets and liabilities; the nature of, and changes in, the risks associated with involvement in the VIE; how involvement with the VIE affects the entity's financial position, financial performance, and cash flows; the lack of recourse if creditors (or beneficial interest holders) of the consolidated VIE have no recourse to the general credit of the primary beneficiary (if applicable); the terms of arrangements, giving consideration to both explicit arrangements and implicit variable interests, if any, that could require the entity to provide financial support to the VIE, including events or circumstances that could expose the entity to a loss; the methodology used by the entity for determining whether or not it is the primary beneficiary of the variable interest entity; the significant factors considered and judgments made in determining that the power to direct the activities of a VIE that most significantly impact the VIE's economic performance are shared (as defined); the carrying amounts and classification of assets and liabilities of the VIE included in the statement of financial position; the entity's maximum exposure to loss, if any, as a result of its involvement with the VIE, including how the maximum exposure is determined and significant sources of the entity's exposure to the VIE; a comparison of the carrying amounts of the assets and liabilities and the entity's maximum exposure to loss; information about any liquidity arrangements, guarantees, and (or) other commitments by third parties that may affect the fair value or risk of the entity's variable interest in the VIE; whether or not the entity has provided financial support or other support (explicitly or implicitly) to the VIE that it was not previously contractually required to provide or whether the entity intends to provide that support, including the type and amount of the support and the primary reasons for providing the support; and supplemental information the entity determines necessary to provide.

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