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Derivative Financial Instruments (Tables)
 9 Months Ended
Sep. 30, 2016
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Summary of Fair Value and Derivative Instruments in Consolidated Statements of Financial Condition
The following tables summarize the fair value and number of derivative instruments held at September 30, 2016 and December 31, 2015. These instruments include those classified as Financial instruments, owned at fair value, Financial instruments sold, not yet purchased at fair value, as well as futures contracts and bi-lateral over the counter swaps which are reported within Receivable from brokers, dealers and clearing organizations in the Consolidated Statements of Financial Condition. The fair value of assets/liabilities are shown gross of counterparty netting and cash collateral received and pledged. The following tables also provide information regarding 1) the extent to which, under enforceable master netting agreements, such balances are presented net in the Consolidated Statements of Financial Condition as appropriate under GAAP and 2) the extent to which other rights of setoff associated with these agreements exist and could have an effect on our financial position (in thousands, except contract amounts):
 
 
 
September 30, 2016
 
Financial Statements
 
Assets
 
Liabilities
 
Location
 
Fair Value
 
Contracts
 
Fair Value
 
Contracts
Foreign currency
 
 
 
 
 
 
 
 
 
Futures contracts
Receivable from brokers, dealers and clearing organizations
 
$
292

 
1,932

 
$
1,651

 
3,440

Forward contracts (1)
Financial instruments owned, at fair value
 
—

 
—

 
302

 
1

Equity
 
 
 
 
 
 
 
 
 
Futures contracts
Receivable from brokers, dealers and clearing organizations
 
1,560

 
2,321

 
2,000

 
2,723

Swap contracts
Receivable from brokers, dealers and clearing organizations
 
8

 
1

 
146

 
1

Listed options
Financial instruments owned/sold, not yet purchased, at fair value
 
12,190

 
78,269

 
16,319

 
81,367

Fixed income
 
 
 
 
 
 
 
 
 
Futures contracts
Receivable from brokers, dealers and clearing organizations
 
5,075

 
4,162

 
6,059

 
3,924

Commodity
 
 
 
 
 
 
 
 
 
Futures contracts
Receivable from brokers, dealers and clearing organizations
 
66,562

 
37,977

 
65,970

 
38,373

Gross derivative assets/liabilities, before netting
 
$
85,687

 
 
 
$
92,447

 
 
Less: Legally enforceable master netting agreements
 
 
 
 
 
 
 
 
Exchange traded (2)
 
(72,993
)
 
 
 
(75,680
)
 
 
Bi-lateral over-the-counter (3)
 
—

 
 
 
(448
)
 
 
Net amounts per Consolidated Statement of Financial Condition (4)
 
$
12,694

 
 
 
$
16,319

 
 
 
 
 
December 31, 2015
 
Financial Statements
 
Assets
 
Liabilities
 
Location
 
Fair Value
 
Contracts
 
Fair Value
 
Contracts
Foreign currency
 
 
 
 
 
 
 
 
 
Futures contracts
Receivable from brokers, dealers and clearing organizations
 
$
578

 
3,675

 
$
955

 
6,586

Forward contracts (1)
Financial instruments owned, at fair value
 
445

 
1

 
—

 
—

Equity
 
 
 
 
 
 
 
 
 
Futures contracts
Receivable from brokers, dealers and clearing organizations
 
1,558

 
4,038

 
1,743

 
3,432

Swap contracts
Receivable from brokers, dealers and clearing organizations
 
—

 
—

 
281

 
2

Listed options
Financial instruments owned/sold, not yet purchased, at fair value
 
178,360

 
360,469

 
151,893

 
390,949

Fixed income
 
 
 
 
 
 
 
 
 
Futures contracts
Receivable from brokers, dealers and clearing organizations
 
4,265

 
6,195

 
4,037

 
4,891

Commodity
 
 
 
 
 
 
 
 
 
Futures contracts
Receivable from brokers, dealers and clearing organizations
 
35,441

 
22,424

 
35,814

 
24,261

Gross derivative assets/liabilities, before netting
 
$
220,647

 
 
 
$
194,723

 
 
Less: Legally enforceable master netting agreements
 
 
 
 
 
 
 
 
Exchange traded (2)
 
(41,146
)
 
 
 
(42,549
)
 
 
Bi-lateral over-the-counter (3)
 
—

 
 
 
(281
)
 
 
Net amounts per Consolidated Statement of Financial Condition (4)
 
$
179,501

 
 
 
$
151,893

 
 
(1) 
The foreign currency forward contract represents a net investment hedge and is designated as a hedging instrument.
(2) 
Exchange traded instruments comprise futures contracts.
(3) 
Bi-lateral over-the-counter instruments comprise swaps and forward contracts.
(4) 
The Company has not received or pledged additional collateral under master netting agreements and or other credit support agreements that is eligible to be offset beyond what is offset in the Consolidated Statements of Financial Condition.
Summary of Fair Value and Derivative Instruments in Consolidated Statements of Operations
The following table summarizes the gains and losses included in the Consolidated Statements of Operations for the three and nine months ended September 30, 2016 and 2015.
 
 
 
 
Gain (Loss) Recognized
 
 
Financial Statements
 
For the three months 
 ended September 30,
 
For the nine months 
 ended September 30,
 
 
Location
 
2016
 
2015
 
2016
 
2015
Derivative instruments not designated as hedging instruments:
 
 
 
 
 
 
 
 
 
 
Foreign currency
 
 
 
 
 
 
 
 
 
 
Futures contracts
 
Trading revenues, net
 
$
1,964

 
$
1,868

 
$
3,529

 
$
2,674

Forward contracts
 
Investment income and other, net
 
—

 
—

 
—

 
(10
)
Equity
 
 
 
 
 
 
 
 
 
 
  Futures contracts
 
Trading revenues, net
 
(5,008
)
 
13,849

 
6,395

 
27,587

  Swap contracts
 
Trading revenues, net
 
(232
)
 
1,792

 
2,480

 
2,860

  Listed options
 
Trading revenues, net
 
(557
)
 
1,149

 
(222
)
 
(15,032
)
Fixed income
 
 
 
 
 
 
 
 
 
 
  Futures contracts
 
Trading revenues, net
 
2,670

 
10,918

 
16,627

 
35,839

Commodity
 
 
 
 
 
 
 
 
 
 
  Futures contracts
 
Trading revenues, net
 
9,949

 
14,852

 
31,506

 
39,855

 
 
 
 
$
8,786

 
$
44,428

 
$
60,315

 
$
93,773

Derivative instruments designated as hedging instruments:
 
 
 
 
 
 
 
 
 
 
Foreign exchange - forward contract
 
Accumulated other comprehensive income
 
$
(197
)
 
$
(44
)
 
$
(571
)
 
$
(50
)
Revision of Previously Disclosed Gains (Losses) on Future Contracts
The Company evaluated the materiality of these errors in accordance with SEC Staff Accounting Bulletin No. 99, Materiality, and SEC Staff Accounting Bulletin No. 108, Considering the Effects of Prior Year Misstatements When Quantifying Misstatements in Current Year Financial Statements, and concluded that this error was immaterial to the Consolidated Financial Statements for all prior periods. While the adjustments were immaterial, the Company revised its previously disclosed gains and losses from futures contracts in the above table as follows:
 
 
 
 
Gain (Loss) Recognized
 
 
Financial Statements
 
For the three months 
 ended September 30, 2015
 
For the nine months 
 ended September 30, 2015
 
 
Location
 
As Previously Reported
 
Revised
 
As Previously Reported
 
Revised
Derivative instruments not designated as hedging instruments:
 
 
 
 
 
 
 
 
 
 
Equity
 
 
 
 
 
 
 
 
 
 
  Futures contracts
 
Trading revenues, net
 
(2,122
)
 
13,849

 
11,616

 
27,587

Fixed income
 
 
 
 
 
 
 
 
 
 
  Futures contracts
 
Trading revenues, net
 
5,256

 
10,918

 
30,177

 
35,839

Commodity
 
 
 
 
 
 
 
 
 
 
  Futures contracts
 
Trading revenues, net
 
12,339

 
14,852

 
37,342

 
39,855