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Segment Operating Results
 6 Months Ended
Jun. 30, 2022
Segment Reporting [Abstract]  
Segment Operating Results Segment Operating Results
Business Segments – The Company's business results are categorized into the following two segments: Investment Banking and Investment Management. Investment Banking includes providing advice to clients on significant mergers, acquisitions, divestitures and other strategic corporate transactions, as well as services related to securities underwriting, private placement services and commissions for agency-based equity trading services and equity research. Investment Management includes Wealth Management and interests in private equity funds which are not managed by the Company.
The Company's segment information for the three and six months ended June 30, 2022 and 2021 is prepared using the following methodology:
•Revenue, expenses and income (loss) from equity method investments directly associated with each segment are included in determining pre-tax income.
•Expenses not directly associated with specific segments are allocated based on the most relevant measures applicable, including headcount, square footage and other performance and time-based factors.
•Segment assets are based on those directly associated with each segment, or for certain assets shared across segments, those assets are allocated based on the most relevant measures applicable, including headcount and other factors.
•Investment gains and losses, interest income and interest expense are allocated between the segments based on the segment in which the underlying asset or liability is held.
Other Revenue, net, included in each segment's Net Revenues includes the following:
•Interest income and income (losses) on investment securities, including the Company's investment funds which are used as an economic hedge against the Company's deferred cash compensation program, certificates of deposit, cash
and cash equivalents, long-term accounts receivable and on the Company’s debt security investment in G5 (through June 25, 2021, the date G5 repaid its outstanding debentures with the Company in full. See Note 7 for further information.)
•A gain on the sale of a portion of the Company's interests in ABS in the first quarter of 2022. See Note 7 for further information
•Gains (losses) resulting from foreign currency fluctuations
•Realized and unrealized gains and losses on interests in private equity funds which are not managed by the Company
•Interest expense associated with the Company’s Notes Payable and lines of credit
•Adjustments to amounts due pursuant to the Company’s tax receivable agreement, subsequent to its initial establishment, related to changes in enacted tax rates
Each segment's Operating Expenses include: a) employee compensation and benefits expenses that are incurred directly in support of the segment and b) non-compensation expenses, which include expenses for premises and occupancy, professional fees, travel and entertainment, communications and information services, execution, clearing and custody fees, equipment and indirect support costs (including compensation and other operating expenses related thereto) for administrative services. Such administrative services include, but are not limited to, accounting, tax, legal, technology, human capital, facilities management and senior management activities.
Other Expenses includes the following:
•Special Charges, Including Business Realignment Costs – Includes expenses in 2022 related to charges associated with the prepayment of the Company's Series B Notes during the second quarter, as well as certain professional fees related to the ongoing liquidation of the Company's operations in Mexico.
•Acquisition and Transition Costs – Includes costs incurred in connection with acquisitions, divestitures and other ongoing business development initiatives, primarily comprised of professional fees for legal and other services.
The Company evaluates segment results based on net revenues and pre-tax income, both including and excluding the impact of the Other Expenses.
One client accounted for more than 10% of the Company's Consolidated Net Revenues for the three months ended June 30, 2022. No client accounted for more than 10% of the Company's Consolidated Net Revenues for the six months ended June 30, 2022.
The following information presents each segment's contribution.
 For the Three Months Ended June 30, For the Six Months Ended June 30,
 2022202120222021
Investment Banking
Net Revenues(1)
$615,250 $670,820 $1,319,551 $1,318,105 
Operating Expenses470,540 468,160 971,112 924,686 
Other Expenses(2)
532 — 532 7 
Operating Income144,178 202,660 347,907 393,412 
Income from Equity Method Investments164 549 538 718 
Pre-Tax Income $144,342 $203,209 $348,445 $394,130 
Identifiable Segment Assets$2,859,302 $2,775,859 $2,859,302 $2,775,859 
Investment Management
Net Revenues(1)
$15,667 $17,045 $34,220 $32,070 
Operating Expenses13,663 12,692 26,581 24,261 
Operating Income2,004 4,353 7,639 7,809 
Income from Equity Method Investments2,110 2,845 4,248 5,700 
Pre-Tax Income$4,114 $7,198 $11,887 $13,509 
Identifiable Segment Assets$152,186 $171,589 $152,186 $171,589 
Total
Net Revenues(1)
$630,917 $687,865 $1,353,771 $1,350,175 
Operating Expenses484,203 480,852 997,693 948,947 
Other Expenses(2)
532 — 532 7 
Operating Income146,182 207,013 355,546 401,221 
Income from Equity Method Investments2,274 3,394 4,786 6,418 
Pre-Tax Income$148,456 $210,407 $360,332 $407,639 
Identifiable Segment Assets$3,011,488 $2,947,448 $3,011,488 $2,947,448 
(1)Net Revenues include Other Revenue, net, allocated to the segments as follows:
 For the Three Months Ended June 30, For the Six Months Ended June 30,
 2022202120222021
Investment Banking(A)
$(26,996)$11,233 $(34,463)$13,817 
Investment Management(301)862 1,137 938 
Total Other Revenue, net$(27,297)$12,095 $(33,326)$14,755 
(A)Other Revenue, net, from Investment Banking includes interest expense on the Notes Payable and lines of credit of $4,258 and $8,508 for the three and six months ended June 30, 2022, respectively, and $4,306 and $8,876 for the three and six months ended June 30, 2021, respectively.
(2)Other Expenses are as follows:
 For the Three Months Ended June 30, For the Six Months Ended June 30,
 2022202120222021
Investment Banking
Special Charges, Including Business Realignment Costs$532 $— $532 $— 
Acquisition and Transition Costs— — — 7 
Total Investment Banking532 — 532 7 
Investment Management
Total Investment Management— — — — 
Total Other Expenses$532 $— $532 $7 
Geographic Information – The Company manages its business based on the profitability of the enterprise as a whole.
The Company's revenues were derived from clients located and managed in the following geographical areas:
 For the Three Months Ended June 30, For the Six Months Ended June 30,
 2022202120222021
Net Revenues:(1)
United States$423,189 $528,322 $1,033,920 $988,970 
Europe and Other234,968 145,117 347,033 343,731 
Latin America57 2,331 6,144 2,719 
Total$658,214 $675,770 $1,387,097 $1,335,420 
(1)Excludes Other Revenue, Including Interest and Investments, and Interest Expense.
The Company's total assets are located in the following geographical areas:
June 30, 2022December 31, 2021
Total Assets:
United States$2,419,561 $3,199,435 
Europe and Other591,927 603,222 
Total$3,011,488 $3,802,657