GOODWILL AND INTANGIBLE ASSETS

12 Months Ended

Dec. 31, 2021

Goodwill and Intangible Assets Disclosure [Abstract]

4. GOODWILL AND INTANGIBLE ASSETS

Intangible Assets, Net

The following table summarizes the carrying value, net of accumulated amortization, of the Company's intangible assets:


	Weighted Average Amortization Period as of December 31, 2021 In Years	As of December 31,

		2021		2020
Management contracts	6.3	$	641,737	$	210,857
Client relationships	10.9	229,501		25,141
Trade name	8.4	11,079		11,079
Finite-lived intangible assets		882,317		247,077
Foreign currency translation		1,792		3,093
Total finite-lived intangible assets		884,109		250,170
Less: accumulated amortization		(115,791)		(28,082)
Finite-lived intangible assets, net		768,318		222,088
Management contracts		567,800		—
Trade name		86,200		—
Other		500		—
Indefinite-lived intangible assets		654,500		—
Intangible assets, net		$	1,422,818	$	222,088

In connection with the Black Creek Acquisition, the Company allocated $576.2 million and $7.2 million of the purchase consideration to the fair value of management contracts and client relationships, respectively. Certain management contracts were determined to have indefinite useful lives at the time of the Black Creek Acquisition and are not subject to amortization. The remaining management contracts and client relationships had a weighted average amortization period as of the acquisition date of 6.1 years and 12.0 years, respectively.

In connection with the SSG Acquisition during the third quarter of 2020, the Company allocated $171.7 million, $18.8 million and $10.7 million of the purchase price to the fair value of the acquired management contracts, client relationships and trade name, respectively. The acquired management contracts, client relationships and trade name had a weighted average amortization period from the date of acquisition of 5.8 years, 10.0 years and 10.0 years, respectively.

In connection with the acquisition of certain membership interests from Crestline Denali Capital LLC during the first quarter of 2020, the Company allocated $34.7 million of the purchase price to the fair value of the acquired collateral management contracts. The acquired management contracts had a weighted average amortization period from the date of acquisition of 6.6 years.

Amortization expense associated with intangible assets was $91.3 million, $24.5 million and $3.4 million for the years ended December 31, 2021, 2020 and 2019, respectively, and is presented within general, administrative and other expenses within the Consolidated Statements of Operations. During the year ended December 31, 2021, the Company accelerated the amortization of a collateral management contract due to the redemption of that CLO and removed $3.4 million of intangible assets that were fully amortized.

During the year ended December 31, 2019, the Company recorded a non-cash impairment charge of $20.0 million to general, administrative and other expenses within the Consolidated Statements of Operations related to certain intangible assets recorded in connection with the Company’s acquisition of Energy Investors Funds (“EIF”). The primary indicators of impairment were lower legacy EIF investor commitments into successor funds from the Company’s original projections and the Company’s decision to no longer introduce successor funds under its EIF trade name. As a result, the Company expects a decrease in the future expected cash flows from management fees generated by EIF’s existing client relationships and a decrease in royalties attributed to EIF’s trade name. The Company determined that the carrying value of these intangible assets exceeded the expected undiscounted future cash flows and recorded an impairment charge equal to the difference between its carrying value of each asset and the asset’s estimated fair value, as calculated using a discounted cash flow methodology. Following the recognition of the impairment charge, the Company removed $35.1 million of the client relationships and trade name intangible assets to reflect the adjusted carrying value to be amortized over the remaining useful life.

At December 31, 2021, future annual amortization of finite-lived intangible assets for the years 2022 through 2026 and thereafter is estimated to be:


Year	Amortization
2022	$	122,051
2023	118,574
2024	111,905
2025	103,714
2026	76,918
Thereafter	235,156
Total	$	768,318

Goodwill

The following table summarizes the carrying value of goodwill that is presented within other assets in the Consolidated Statements of Financial Condition:


	Credit Group		Private Equity Group		Real Estate Group		Secondary Solutions Group		Strategic Initiatives		Total
Balance as of December 31, 2019	$	32,196	$	58,600	$	53,059	$	—	$	—	$	143,855
Acquisitions	—		—		—		—		224,601		224,601
Foreign currency translation	—		—		61		—		2,530		2,591
Balance as of December 31, 2020	$	32,196	$	58,600	$	53,120	$	—	$	227,131	$	371,047
Acquisitions	—		—		—		417,753		—		417,753
Foreign currency translation	—		—		219		(15)		(1,032)		(828)
Balance as of December 31, 2021	$	32,196	$	58,600	$	53,339	$	417,738	$	226,099	$	787,972

In connection with the SSG Acquisition during the third quarter of 2020, the Company allocated $224.6 million of the purchase price to goodwill.

There was no impairment of goodwill recorded during the years ended December 31, 2021 and 2020. The impact of foreign currency translation is reflected within other comprehensive income.