Cash, Cash Equivalents and Restricted Cash

9 Months Ended

Sep. 30, 2022

Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents [Abstract]

Cash, Cash Equivalents and Restricted Cash

Cash, Cash Equivalents and Restricted Cash

Cash and cash equivalents include cash held in bank accounts and cash held in money market funds on an overnight basis.

The Company is required to maintain certain cash balances with counterparties for securities and derivatives trading activity, servicing activities and collateral for the Company’s borrowings in restricted accounts. The Company has also placed cash in a restricted account pursuant to a letter of credit on an office space lease.

The following table presents the Company’s restricted cash balances as of September 30, 2022 and December 31, 2021:

(in thousands)	September 30, 2022		December 31, 2021
Restricted cash balances held by trading counterparties:
For securities trading activity	$	5,890	$	23,800
For derivatives trading activity	261,744		136,271
For servicing activities	15,348		26,704
As restricted collateral for borrowings	559,492		747,979
Total restricted cash balances held by trading counterparties	842,474		934,754
Restricted cash balance pursuant to letter of credit on office lease	60		60
Total	$	842,534	$	934,814

The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported on the Company’s condensed consolidated balance sheets as of September 30, 2022 and December 31, 2021 that sum to the total of the same such amounts shown in the statements of cash flows:

(in thousands)	September 30, 2022		December 31, 2021
Cash and cash equivalents	$	732,482	$	1,153,856
Restricted cash	842,534		934,814
Total cash, cash equivalents and restricted cash	$	1,575,016	$	2,088,670