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Segment Operating Results
 12 Months Ended
Dec. 31, 2023
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 & Equities and Investment Management. The Investment Banking & Equities segment 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. The Investment Management segment includes Wealth Management and interests in private equity funds which are not managed by the Company.
The Company's segment information for the years ended December 31, 2023, 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, including accretion, 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 10 for further information.)
•A gain on the sale of a portion of the Company's interests in ABS in 2022. See Note 10 for further information
•Gains (losses) resulting from foreign currency exchange rate fluctuations and foreign currency exchange forward contracts used as an economic hedge
•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 include the following:
•Special Charges, Including Business Realignment Costs – Includes the following:
◦2023 – Expenses related to the write-off of non-recoverable assets in connection with the wind-down of the Company's operations in Mexico
◦2022 – Expenses related to charges associated with the prepayment of the Company's Series B Notes, as well as certain professional fees, separation benefits and other charges related to the wind-down of the Company's operations in Mexico
◦2021 – Expenses related to the write-down of certain assets associated with a legacy private equity investment relationship which, consistent with the Company's investment strategy, the Company decided to wind-down during 2021
•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.
No client accounted for more than 10% of the Company's Consolidated Net Revenues for the years ended December 31, 2023, 2022 and 2021, respectively.
The following information presents each segment's contribution.
 For the Years Ended December 31,
 202320222021
Investment Banking & Equities
Net Revenues(1)
$2,355,943 $2,696,125 $3,223,889 
Operating Expenses2,010,757 2,009,913 2,125,871 
Other Expenses(2)
2,921 3,126 7 
Operating Income342,265 683,086 1,098,011 
Income from Equity Method Investments620 1,217 1,337 
Pre-Tax Income $342,885 $684,303 $1,099,348 
Identifiable Segment Assets$3,541,886 $3,446,075 $3,605,332 
Investment Management
Net Revenues(1)
$70,006 $65,923 $65,610 
Operating Expenses53,136 52,967 52,629 
Other Expenses(2)
— — 8,554 
Operating Income16,870 12,956 4,427 
Income from Equity Method Investments6,035 6,782 12,824 
Pre-Tax Income$22,905 $19,738 $17,251 
Identifiable Segment Assets$161,412 $174,848 $197,325 
Total
Net Revenues(1)
$2,425,949 $2,762,048 $3,289,499 
Operating Expenses2,063,893 2,062,880 2,178,500 
Other Expenses(2)
2,921 3,126 8,561 
Operating Income359,135 696,042 1,102,438 
Income from Equity Method Investments6,655 7,999 14,161 
Pre-Tax Income$365,790 $704,041 $1,116,599 
Identifiable Segment Assets$3,703,298 $3,620,923 $3,802,657 
(1)Net Revenues include Other Revenue, net, allocated to the segments as follows:
 For the Years Ended December 31,
 202320222021
Investment Banking & Equities(A)
$78,281 $(25,668)$19,370 
Investment Management2,965 1,440 (174)
Total Other Revenue, net$81,246 $(24,228)$19,196 
(A)Other Revenue, net, from the Investment Banking & Equities segment includes interest expense on the Notes Payable and lines of credit of $16,717, $16,850 and $17,586 for the years ended December 31, 2023, 2022 and 2021, respectively.
(2)Other Expenses are as follows:
 For the Years Ended December 31,
 202320222021
Investment Banking & Equities
Special Charges, Including Business Realignment Costs$2,921 $3,126 $— 
Acquisition and Transition Costs— — 7 
Total Investment Banking & Equities2,921 3,126 7 
Investment Management
Special Charges, Including Business Realignment Costs— — 8,554 
Total Investment Management— — 8,554 
Total Other Expenses$2,921 $3,126 $8,561 
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 Years Ended December 31,
 202320222021
Net Revenues:(1)
United States$1,719,337 $1,989,387 $2,553,806 
Europe and Other609,723 787,658 710,660 
Latin America15,643 9,231 5,837 
Total$2,344,703 $2,786,276 $3,270,303 
(1)Excludes Other Revenue, Including Interest and Investments, and Interest Expense.
The Company's total assets are located in the following geographical areas:
December 31,
20232022
Total Assets:
United States$3,146,756 $2,902,153 
Europe and Other556,542 718,770 
Total$3,703,298 $3,620,923