Deferred Compensation

12 Months Ended

Dec. 31, 2021

Share-based Payment Arrangement [Abstract]

Deferred Compensation

Note 13 — Deferred Compensation

Restricted Stock Units

The Company has an equity incentive plan to motivate its employees and allow them to participate in the ownership of its stock. Under the Company’s plan, restricted stock units, which represent a right to a future payment equal to one share of common stock, may be awarded to employees, directors and certain other non-employees as selected by the Compensation Committee. Awards granted under the plan are generally amortized ratably over a three to five-year service period following the date of the grant. Holders of restricted stock units are entitled to receive dividends declared on the underlying common stock to the extent the restricted stock units ultimately vest.

The activity related to the restricted stock units is set forth below:

	Restricted Stock Units Outstanding
	2021			2020
	Units	Grant Date Weighted Average Fair Value		Units	Grant Date Weighted Average Fair Value
Outstanding, January 1,	7,587,078	$	14.68	6,781,475	$	21.60
Granted	2,591,646	13.26		3,921,260	8.82
Delivered	(1,967,355)	17.00		(1,895,249)	26.44
Forfeited	(411,860)	13.91		(1,220,408)	15.72
Outstanding, December 31,	7,799,509	$	13.78	7,587,078	$	14.68

For the years ended December 31, 2021, 2020 and 2019, the Company recognized compensation expense from the amortization of restricted stock units, net of forfeitures, of $31.1 million, $31.8 million and $45.8 million, respectively.

The weighted-average grant date fair value for restricted stock units granted during the years ended December 31, 2021, 2020 and 2019 was $13.26, $8.82 and $22.55, respectively. As of December 31, 2021, unrecognized restricted stock units compensation expense was $38.7 million, with such unrecognized compensation expense expected to be recognized over a weighted average period of approximately 1.6 years.

The Company awards restricted stock units to employees under the equity incentive plan, primarily in connection with its annual bonus awards and compensation agreements for new hires. In certain jurisdictions, the Company may settle share-based payment awards in cash in lieu of shares of common stock to obtain tax deductibility. In these circumstances, the awards are settled in the cash equivalent value of the Company’s shares of common stock based upon their value at settlement date. These cash-settled share-based awards are remeasured at fair value at each reporting period.

The Company also awards performance-based restricted stock units as part of long-term incentive compensation to a limited number of key employees. The actual performance relative to target performance is measured quarterly and the probability-weighted likelihood of achievement is recorded.

Deferred Cash Compensation

As part of its long-term incentive award program, the Company grants deferred cash retention awards to certain eligible employees. The deferred awards, which generally vest ratably over a three to five year service period, provide the employee with the right to receive future cash compensation payments, which are non-interest bearing. Deferred cash compensation of $12.3 million and $10.0 million as of December 31, 2021 and 2020, respectively, is included in compensation payable in the consolidated statements of financial condition. As of December 31, 2021, total unrecognized deferred cash compensation (prior to the consideration of forfeitures) was approximately $11.4 million and is expected to be recognized over a weighted-average period of 1.5 years.

For the years ended December 31, 2021, 2020 and 2019, the Company recognized compensation expense from the amortization of deferred cash compensation, net of estimated forfeitures, of $10.3 million, $7.2 million and $8.9 million, respectively.