Fair Value Measurements

3 Months Ended

Mar. 31, 2023

5. Fair Value Measurements

The following tables present information about the Company’s financial assets measured at fair value on a recurring basis and indicate the level of the fair value hierarchy utilized to determine such fair values:


	Fair Value Measurements as of March 31, 2023
	Level 1		Level 2		Level 3		Total
Cash equivalents
Money market funds	$	178,062	$	—	$	—	$	178,062
Commercial paper		—		4,997		—		4,997
Marketable Securities
US Treasury obligations		—		64,583		—		64,583
US Government agency securities		—		33,600		—		33,600
Commercial paper		—		246,131		—		246,131
Corporate bonds		—		82,144		—		82,144
Asset-backed securities		—		10,775		—		10,775
Total	$	178,062	$	442,230	$	—	$	620,292


	Fair Value Measurements as of December 31, 2022
	Level 1		Level 2		Level 3		Total
Cash equivalents
Money market funds	$	167,584	$	—	$	—	$	167,584
Marketable Securities
US Treasury obligations		—		59,118		—		59,118
US Government agency securities		—		14,941		—		14,941
Commercial paper		—		310,433		—		310,433
Corporate bonds		—		61,249		—		61,249
Asset-backed securities		—		12,508		—		12,508
Total	$	167,584	$	458,249	$	—	$	625,833

The Company’s assets with fair value categorized as Level 1 within the fair value hierarchy include money market funds. Money market funds are publicly traded mutual funds and are presented as cash equivalents on the unaudited condensed consolidated balance sheets as of March 31, 2023 and December 31, 2022.

The Company's assets with fair value categorized as Level 2 within the fair value hierarchy include commercial paper, governmental and corporate bonds and asset-backed securities with fair values determined by utilizing information from third party pricing sources for identical or similar assets and liabilities in active market.

There were no transfers among Level 1, Level 2 or Level 3 categories in the three months ended March 31, 2023.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

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