In the normal course of business, the Company enters into agreements that include indemnities in favor of third parties, such as engagement letters with advisers and consultants. In certain cases, the Company may have recourse against third parties with respect to these indemnities. The Company maintains insurance policies that may provide coverage against certain claims under these indemnities. The Company has had no claims or payments pursuant to these agreements, and it believes the likelihood of a claim being made is remote. Utilizing the methodology in the Guarantees Topic of the FASB ASC, the Company’s estimate of the value of such guarantees is de minimis, therefore, no accrual has been made in the consolidated financial statements.

The Company leases office space under a non-cancelable operating lease agreement, which expires on December 31, 2025. The Company recognizes minimum lease expense for its headquarters on a straight-line basis over the lease term. The Company entered into a four-year sublease agreement commencing on October 1, 2016, which terminated on January 31, 2019. We entered into a new sublease agreement commencing on February 1, 2019, that expires on December 31, 2025. The sublease agreement is cancelable by either the Company or sublessee given appropriate notice four months prior to February 1, 2021, and each annual period thereafter. Sublease income will continue to decrease annual lease expense by approximately $0.4 million per year.

During December 2018, the Company signed a non-cancellable amendment to the corporate headquarters lease to obtain additional space that expires on December 31, 2025. In accordance with ASC 842, Leases, the lease term commenced on February 1, 2019 and the Company recorded a Right-of-use Asset and Lease Liability on the consolidated statements of financial condition associated with the new lease.

During the three months ended March 31, 2019, lease expenses were $0.7 million are included in general and administrative expense. During the three months ended March 31, 2018, lease expenses were $0.5 million. This lease expense includes short-term lease expenses associated with the Company's office spaces in the U.K. and Australia. Short-term lease expense was $0.1 million for the three months ended March 31, 2019. Lease expenses for the three months ended March 31, 2019 were net of $0.1 million of sublease income. Lease expenses for the three months ended March 31, 2018 were net of $0.1 million of sublease income.

The following table presents the components of operating lease expense, as well as supplemental cash flow information, related to the Company’s leases:

	For the Three Months Ended March 31,
	2019
	(in thousands)
Operating lease expense¹	$	583
Supplemental cash flow information:
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	495
Right-of-use assets obtained in exchange for lease obligations	$	3,507

1	Amounts have not been reduced by sublease income of $0.1 million recognized during the three months ended March 31, 2019.

The following table presents information regarding the Company’s operating leases:

	As of
	March 31, 2019
	(in thousands)
Operating lease right-of-use assets	$	14,704
Operating lease liabilities	$	15,066
Weighted-average remaining lease term (in years)		6.8
Weighted-average discount rate		4.4	%

Year Ending December 31,	Operating Leases
2019 (excluding the three months ended March 31, 2019)	$	1,881
2020		2,574
2021		2,574
2022		2,574
2023		2,596
2024		2,607
Thereafter		2,607
Total undiscounted lease payments	$	17,413
Less discount		(2,347	)
Total lease liabilities	$	15,066