EQUITY METHOD INVESTMENTS

12 Months Ended

Dec. 31, 2016

EQUITY METHOD INVESTMENTS.

EQUITY METHOD INVESTMENTS

5.    EQUITY METHOD INVESTMENTS

Investment in Joint Venture

On April 1, 2010, the Company entered into a 50‑50 joint venture in Moelis Australia Holdings, investing a combination of cash and certain net assets of its wholly‑owned subsidiary, Moelis Australia, in exchange for its interests. The remaining 50% is owned by an Australian trust established by and for the benefit of Moelis Australia senior executives.

During the year ended December 31, 2014, the Company made a cash contribution to Moelis Australia Holdings in the amount of $4,180. The Company treated this contribution as an increase in equity method investments in the consolidated and combined financial statements.

For the years ended December 31, 2016, 2015 and 2014, income of $3,383, income of $308 and a loss of $2,185 was recorded on this investment, respectively.

Other Equity Method Investment

In June 2014, the Company made an investment of $265 into a general partner entity which invests third‑party funds and is controlled by a related party, Moelis Asset Management LP. The Company has determined that it should account for this investment as an equity method investment on its consolidated and combined financial statements. For the years ended December 31, 2016, 2015 and 2014, $1,693,  $4,168 and $0 of income was recorded on this investment, respectively.

During the years ended December 31, 2016, 2015 and 2014, the Company received cash distributions from this entity in the amounts of $1,427,  $4,669 and $0, respectively. The investment was substantially liquidated during the year ended December 31, 2016. As of December 31, 2016, the Company’s remaining investment in the entity was approximately $30, which is primarily cash held in escrow for fees and potential contingencies.