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DEBT
 9 Months Ended
Sep. 30, 2021
Debt Disclosure [Abstract]  
DEBT
8. DEBT
The following table summarizes the Company’s and its subsidiaries’ debt obligations:
As of September 30, 2021As of December 31, 2020
Debt Origination DateMaturityOriginal Borrowing AmountCarrying
Value		Interest RateCarrying
Value		Interest Rate
Credit Facility(1)
Revolver3/31/2026N/A$150,000 1.13%$— —%
2024 Senior Notes(2)
10/8/201410/8/2024$250,000 247,802 4.21247,285 4.21
2030 Senior Notes(3)
6/15/20206/15/2030400,000 396,045 3.28395,713 3.28
2051 Subordinated Notes(4)
6/30/20216/30/2051450,000 444,478 4.13— —
Total debt obligations$1,238,325 $642,998 
(1)The AOG entities are borrowers under the Credit Facility, which provides a $1.090 billion revolving line of credit. It has a variable interest rate based on LIBOR or a base rate plus an applicable margin with an unused commitment fee paid quarterly, which is subject to change with the Company’s underlying credit agency rating. On March 31, 2021, the Company amended the Credit Facility to, among other things, extend the maturity date from March 2025 to March 2026. As of September 30, 2021, base rate loans bear interest calculated based on the base rate plus 0.125% and the LIBOR rate loans bear interest calculated based on LIBOR plus 1.125%. The unused commitment fee is 0.10% per annum. There is a base rate and LIBOR floor of zero.     
(2)The 2024 Senior Notes were issued in October 2014 by Ares Finance Co. LLC, an indirect subsidiary of the Company, at 98.27% of the face amount with interest paid semi-annually. The Company may redeem the 2024 Senior Notes prior to maturity, subject to the terms of the indenture governing the 2024 Notes.
(3)The 2030 Senior Notes were issued in June 2020 by Ares Finance Co. II LLC, an indirect subsidiary of the Company, at 99.77% of the face amount with interest paid semi-annually. The Company may redeem the 2030 Senior Notes prior to maturity, subject to the terms of the indenture governing the 2030 Notes.
(4)The 2051 Subordinated Notes were issued in June 2021 by Ares Finance Co. III LLC, an indirect subsidiary of the Company, at 100.00% of par with interest paid semi-annually at a fixed-rate of 4.125%. Beginning June 30, 2026, the interest rate will reset on every fifth year based on the five-year U.S. Treasury Rate plus 3.237%. The Company may redeem the 2051 Subordinated Notes prior to maturity or defer interest payments up to five consecutive years, subject to the terms of the indenture governing the 2051 Subordinated Notes.

As of September 30, 2021, the Company and its subsidiaries were in compliance with all covenants under the debt obligations.
The Company typically incurs and pays debt issuance costs when entering into a new debt obligation or when amending an existing debt agreement. Debt issuance costs related to the 2024 and 2030 Senior Notes (the “Senior Notes”) and 2051 Subordinated Notes are recorded as a reduction of the corresponding debt obligation, and debt issuance costs related to the Credit Facility are included in other assets in the Condensed Consolidated Statements of Financial Condition. All debt issuance costs are amortized over the remaining term of the related obligation into interest expense in the Condensed Consolidated Statements of Operations.
The following table presents the activity of the Company's debt issuance costs:
Credit FacilitySenior
Notes		Subordinated Notes
Unamortized debt issuance costs as of December 31, 2020$5,232 $4,283 $— 
Debt issuance costs incurred1,282 — 5,568 
Amortization of debt issuance costs(929)(446)(46)
Unamortized debt issuance costs as of September 30, 2021$5,585 $3,837 $5,522 

Loan Obligations of the Consolidated CLOs
Loan obligations of the Consolidated Funds that are CLOs (“Consolidated CLOs”) represent amounts due to holders of debt securities issued by the Consolidated CLOs. The Company measures the loan obligations of the Consolidated CLOs using the fair value of the financial assets of its Consolidated CLOs.
The following loan obligations were outstanding and classified as liabilities of the Consolidated CLOs:
As of September 30, 2021As of December 31, 2020
Loan
Obligations		Fair Value of
Loan Obligations		Weighted 
Average
 Remaining Maturity 
In Years 		Loan
Obligations		Fair Value of Loan ObligationsWeighted
Average
Remaining
Maturity 
In Years 
Senior secured notes(1)
$9,577,725 $9,561,079 9.5$9,796,442 $9,665,804 10.1
Subordinated notes(2)
723,567 613,715 8.3482,391 292,272 10.2
Total loan obligations of Consolidated CLOs$10,301,292 $10,174,794 $10,278,833 $9,958,076 
(1)Original borrowings under the senior secured notes totaled $9.6 billion, with various maturity dates ranging from September 2026 to July 2034. The weighted average interest rate as of September 30, 2021 was 1.96%.
(2)Original borrowings under the subordinated notes totaled $723.6 million, with various maturity dates ranging from September 2026 to July 2034. The notes do not have contractual interest rates; instead, holders of the notes receive distributions from the excess cash flows generated by each Consolidated CLO.
Loan obligations of the Consolidated CLOs are collateralized by the assets held by the Consolidated CLOs, consisting of cash and cash equivalents, corporate loans, corporate bonds and other securities. The assets of one Consolidated CLO may not be used to satisfy the liabilities of another Consolidated CLO. Loan obligations of the Consolidated CLOs include floating rate notes, deferrable floating rate notes, revolving lines of credit and subordinated notes. Amounts borrowed under the notes are repaid based on available cash flows subject to priority of payments under each Consolidated CLO’s governing documents. Based on the terms of these facilities, the creditors of the facilities have no recourse to the Company.
Credit Facilities of the Consolidated Funds
Certain Consolidated Funds maintain credit facilities to fund investments between capital drawdowns. These facilities generally are collateralized by the unfunded capital commitments of the Consolidated Funds’ limited partners, bear an annual commitment fee based on unfunded commitments and contain various affirmative and negative covenants and reporting obligations, including restrictions on additional indebtedness, liens, margin stock, affiliate transactions, dividends and distributions, release of capital commitments and portfolio asset dispositions. The creditors of these facilities have no recourse to the Company and only have recourse to a subsidiary of the Company to the extent the debt is guaranteed by such subsidiary. As of September 30, 2021 and December 31, 2020, the Consolidated Funds were in compliance with all covenants under such credit facilities.
The Consolidated Funds had the following revolving bank credit facilities and term loan outstanding:
As of September 30, 2021As of December 31, 2020
Consolidated Funds' Debt FacilitiesMaturity DateTotal Capacity
Outstanding
Loan(1)
Effective Rate
Outstanding Loan(1)
Effective Rate
Credit Facilities:
3/4/2022$71,500 $71,500 1.59%$71,500 1.59%
7/1/202318,000 17,740 1.6317,909 1.75
1/15/2022(2)
— — —32,500 2.75
7/23/202475,000 10,000 2.65N/AN/A
9/24/2026150,000 — N/AN/AN/A
Total borrowings of Consolidated Funds$99,240 $121,909 
(1)The fair values of the borrowings approximate the carrying value as the interest rate on the borrowings is a floating rate.
(2)On July 23, 2021, the credit facility was terminated at the Consolidated Fund’s discretion.