|
ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934
|
|
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934
|
|
|
|
(State or other jurisdiction of incorporation or organization)
|
(I.R.S. Employer Identification No.)
|
|
(
|
|
(Address of principal executive offices)(Zip Code)
|
(Registrant’s telephone number, including area code)
|
Title of each class
|
Trading Symbol
|
Name of each exchange on which registered
|
||
|
|
|
Large accelerated filer ☐
|
Accelerated filer ☐
|
|
|
Smaller reporting company
|
|
Emerging growth company
|
Part I
|
|||
Item 1
|
4
|
||
6 | |||
7
|
|||
7 | |||
7
|
|||
10
|
|||
Item 1A
|
10 | ||
Item 1B
|
10 | ||
Item 2
|
10 | ||
Item 3
|
10 | ||
Item 4
|
11 | ||
Part II
|
|||
Item 5
|
11 | ||
Item 6
|
11 | ||
Item 7
|
11 | ||
Item 7A
|
18 | ||
Item 8
|
19 | ||
Item 9
|
50 | ||
Item 9A
|
50 | ||
Item 9B
|
51 | ||
Item 9C
|
51 |
||
Part III
|
|||
Item 10
|
51 | ||
Item 11
|
51
|
||
Item 12
|
51
|
||
Item 13
|
51 | ||
Item 14
|
51 | ||
Part IV
|
|||
Item 15
|
51 | ||
Item 16
|
53 | ||
54 | |||
55 | |||
Certifications
|
|||
PART 1: |
OVERVIEW
|
ITEM 1: |
BUSINESS
|
December 31,
|
||||||||
2021
|
2020
|
|||||||
Merger Arbitrage
|
$
|
1,542
|
$
|
1,126
|
||||
Event-Driven Value (a)
|
195
|
180
|
||||||
Other (b)
|
44
|
45
|
||||||
Total (c)
|
$
|
1,781
|
$
|
$ 1,351
|
(a) |
Excluding merger arbitrage.
|
(b) |
Includes investment vehicles focused on private equity, merchant banking, non-investment-grade credit and capital structure arbitrage.
|
(c) |
Includes $238 and $235 of proprietary capital, respectively.
|
• |
Gabelli Private Equity Partners, LLC (“GPEP”), formed in August 2017 with $150 million of authorized capital as a “fund-less” sponsor.
|
• |
Gabelli Special Purpose Acquisition Vehicles (“SPAC”), which commenced in 2018 with the launch of the Gabelli Value for Italy S.p.a., a general sector SPAC (VALU) that was
listed on the London Stock Exchange’s Borsa Italiana AIM segment.
|
• |
Finally, Gabelli Principal Strategies Group, LLC (“GPS”) was created to pursue strategic operating initiatives broadly.
|
ITEM 1A: |
RISK FACTORS
|
ITEM 1B: |
UNRESOLVED STAFF COMMENTS
|
ITEM 2: |
PROPERTIES
|
ITEM 3: |
LEGAL PROCEEDINGS
|
ITEM 4: |
MINE SAFETY DISCLOSURES
|
ITEM 5: |
MARKET FOR THE REGISTRANT’S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES
|
Period
|
Total
Number
of Shares
Repurchased
|
Average
Price Paid Per
Share, net of
Commissions
|
Total Number of
Shares Repurchased
as Part of Publicly
Announced Plans
or Programs
|
Maximum
Number of Shares
That May Yet Be
Purchased Under the
Plans or Programs
|
||||||||||||
10/01/21 - 10/31/21
|
2,276
|
$
|
36.86
|
2,276
|
679,170
|
|||||||||||
11/01/21 - 11/30/21
|
2,026
|
36.08
|
2,026
|
677,144
|
||||||||||||
12/01/21 - 12/31/21
|
-
|
-
|
-
|
677,144
|
||||||||||||
Totals
|
4,302
|
$
|
36.49
|
4,302
|
ITEM 6: |
SELECTED FINANCIAL DATA
|
ITEM 7: |
MANAGEMENT’S DISCUSSION AND ANALYSIS (“MD&A”) OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
|
Fourth Quarter
|
Full Year
|
|||||||||||||||
2021
|
2020
|
2021
|
2020
|
|||||||||||||
AUM - end of period (in millions)
|
$
|
1,781
|
$
|
1,351
|
$
|
1,781
|
$
|
1,351
|
||||||||
AUM - average (in millions)
|
1,735
|
1,286
|
1,595
|
1,399
|
||||||||||||
Net income/(loss) per share-diluted
|
$
|
0.43
|
$
|
2.29
|
$
|
2.68
|
$
|
0.84
|
||||||||
Book Value Per Share
|
$
|
42.48
|
$
|
40.36
|
$
|
42.48
|
$
|
40.36
|
December 31, 2021
|
||||||||||||
Prior to
Consolidation
|
Consolidated
Entities
|
As Reported
|
||||||||||
Assets
|
||||||||||||
Cash
|
315,009
|
4,039
|
319,048
|
|||||||||
Investments
|
606,382
|
16,709
|
623,091
|
|||||||||
Other
|
69,713
|
191,484
|
261,197
|
|||||||||
Total assets
|
$
|
991,104
|
$
|
212,232
|
$
|
1,203,336
|
||||||
Liabilities and equity
|
||||||||||||
Total liabilities
|
45,024
|
20,510
|
65,534
|
|||||||||
Redeemable noncontrolling interests
|
-
|
202,456
|
202,456
|
|||||||||
Total Associated Capital Group, Inc. equity(1)
|
946,080
|
(8,978
|
)
|
937,102
|
||||||||
Noncontrolling interests(1)
|
-
|
(1,756
|
)
|
(1,756
|
)
|
|||||||
Total liabilities and equity
|
$
|
991,104
|
$
|
212,232
|
$
|
1,203,336
|
December 31, 2020
|
||||||||||||
Prior to
Consolidation
|
Consolidated
Entities
|
As Reported
|
||||||||||
Assets
|
||||||||||||
Cash
|
32,347
|
7,162
|
39,509
|
|||||||||
Investments
|
869,751
|
19,188
|
888,939
|
|||||||||
Other
|
45,709
|
200,388
|
246,097
|
|||||||||
Total assets
|
$
|
947,807
|
$
|
226,738
|
$
|
1,174,545
|
||||||
Liabilities and equity
|
||||||||||||
Total liabilities
|
46,418
|
19,910
|
66,328
|
|||||||||
Redeemable noncontrolling interests
|
-
|
206,828
|
206,828
|
|||||||||
Total equity
|
901,389
|
-
|
|
901,389
|
||||||||
Total liabilities and equity
|
$
|
947,807
|
$
|
226,738
|
$
|
1,174,545
|
Year Ended December 31,
|
||||||||||||
2021
|
2020
|
% Change
|
||||||||||
Merger Arbitrage
|
$
|
1,542
|
$
|
1,126
|
36.90
|
|||||||
Event-Driven Value
|
195
|
180
|
8.33
|
|||||||||
Other
|
44
|
45
|
(2.22
|
)
|
||||||||
Total AUM (a)
|
$
|
1,781
|
$
|
1,351
|
31.83
|
(a) |
Includes $238 million and $235 million of proprietary capital, respectively.
|
Year Ended December 31, 2021
|
||||||||||||||||||||
Beginning
|
Inflows
|
Outflows
|
Investment
Return
|
Ending
|
||||||||||||||||
Merger Arbitrage
|
$
|
1,126
|
$
|
566
|
$
|
(200
|
)
|
$
|
50
|
$
|
1,542
|
|||||||||
Event-Driven Value
|
180
|
5
|
(12
|
)
|
22
|
195
|
||||||||||||||
Other
|
45
|
-
|
(3
|
)
|
2
|
44
|
||||||||||||||
Total AUM
|
$
|
1,351
|
$
|
571
|
$
|
(215
|
)
|
$
|
74
|
$
|
1,781
|
Year Ended December 31,
|
Change
|
|||||||||||||||
2021
|
2020
|
$
|
%
|
|||||||||||||
Investment advisory and incentive fees
|
$
|
20,530
|
$
|
18,288
|
$
|
2,242
|
12.3
|
|||||||||
Other revenues
|
394
|
695
|
(301
|
)
|
(43.3
|
)
|
||||||||||
Total revenues
|
$
|
$ 20,924
|
$
|
$ 18,983
|
$
|
1,941
|
10.2
|
Year Ended December 31,
|
||||||||
2021
|
2020
|
|||||||
Cash flows provided by (used in) continuing operations:
|
||||||||
Operating activities
|
$
|
238,194
|
$
|
(279,483
|
)
|
|||
Investing activities
|
65,285
|
(174,072
|
)
|
|||||
Financing activities
|
(14,394
|
)
|
150,949
|
|||||
Net increase from continuing operations
|
289,085
|
(302,606
|
)
|
|||||
Cash flows provided by (used in) discontinued operations:
|
||||||||
Operating activities
|
-
|
114
|
||||||
Net increase in cash, cash equivalents and restricted cash
|
289,085
|
(302,492
|
)
|
|||||
Cash, cash equivalents and restricted cash at beginning of period
|
39,509
|
342,001
|
||||||
Cash, cash equivalents and restricted cash at end of period
|
$
|
328,594
|
$
|
39,509
|
ITEM 7A: |
QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
|
ITEM 8: |
FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA
|
Page
|
|
Report of Independent Registered Public Accounting Firm (PCAOB ID # )
|
20
|
Consolidated Financial Statements:
|
|
21
|
|
22
|
|
23
|
|
24-25
|
|
26
|
|
28
|
|
28 |
|
29 |
|
36 |
|
36 |
|
37 |
|
41 |
|
42 |
|
44 |
|
45 |
|
47 |
|
48 |
|
48 |
|
49 |
|
49 |
|
49 |
Year Ended December 31,
|
||||||||
2021
|
2020
|
|||||||
Revenues
|
||||||||
Investment advisory and incentive fees
|
$
|
|
$
|
|
||||
Other revenues
|
|
|
||||||
Total revenues
|
|
|
||||||
Expenses
|
||||||||
Compensation
|
|
|
||||||
Management fee
|
|
|
||||||
Other operating expenses
|
|
|
||||||
Total expenses
|
|
|
||||||
Operating loss
|
(
|
)
|
(
|
)
|
||||
Other income/(expense)
|
||||||||
Net gain from investments
|
|
|
||||||
Interest and dividend income
|
|
|
||||||
Interest expense
|
(
|
)
|
(
|
)
|
||||
Shareholder-designated contribution
|
(
|
)
|
(
|
)
|
||||
Total other income, net
|
|
|
||||||
Income/(loss) before income taxes
|
|
|
||||||
Income tax expense/(benefit)
|
|
|
||||||
Income/(loss) from continuing operations, net of taxes
|
|
|
||||||
Income/(loss) from discontinued operations, net of taxes
|
|
(
|
)
|
|||||
Income/(loss) before noncontrolling interests
|
|
|
||||||
Income/(loss) attributable to noncontrolling interests
|
|
|
||||||
Net income/(loss) attributable to Associated Capital Group, Inc.’s shareholders
|
$
|
|
$
|
|
||||
Net income/(loss) per share attributable to Associated Capital Group, Inc.’s shareholders:
|
||||||||
Basic - Continuing operations
|
$
|
|
$
|
|
||||
Basic - Discontinued operations
|
|
(
|
)
|
|||||
Basic - Total
|
$
|
|
$
|
|
||||
Diluted - Continuing operations
|
$
|
|
$
|
|
||||
Diluted - Discontinued operations
|
|
(
|
)
|
|||||
Diluted - Total
|
$
|
|
$
|
|
||||
Weighted average shares outstanding:
|
||||||||
Basic
|
|
|
||||||
Diluted
|
|
|
||||||
Actual shares outstanding
|
|
|
Year Ended December 31,
|
||||||||
2021
|
2020
|
|||||||
Income/(loss) before noncontrolling interests
|
$
|
|
$
|
|
||||
Less: Comprehensive income/(loss) attributable to noncontrolling interests
|
|
|
||||||
Comprehensive income/(loss) attributable to Associated Capital Group, Inc.
|
$
|
|
$
|
|
December 31,
2021
|
December 31,
2020
|
|||||||
ASSETS
|
||||||||
Cash and cash equivalents
|
$
|
|
$
|
|
||||
Investments in U.S. Treasury Bills
|
|
|
||||||
Investments in equity securities (Including GBL stock with a value of $
|
|
|
||||||
Investments in affiliated registered investment companies
|
|
|
||||||
Investments in partnerships
|
|
|
||||||
Receivable from brokers
|
|
|
||||||
Investment advisory fees receivable
|
|
|
||||||
Receivable and investment in note receivable from affiliates
|
|
|
||||||
Deferred tax assets, net
|
|
|
||||||
Goodwill
|
|
|
||||||
Other assets
|
|
|
||||||
Investments in marketable securities held in trust
|
|
|
||||||
Total assets
|
$
|
|
$
|
|
||||
LIABILITIES, REDEEMABLE NONCONTROLLING INTERESTS AND EQUITY
|
||||||||
Payable to brokers
|
$
|
|
$
|
|
||||
Income taxes payable, including deferred tax liabilities, net
|
|
|
||||||
Compensation payable
|
|
|
||||||
Securities sold, not yet purchased
|
|
|
||||||
Payable to affiliates
|
|
|
||||||
Accrued expenses and other liabilities
|
|
|
||||||
Deferred underwriting fee payable
|
|
|
||||||
PMV warrant liability
|
|
|
||||||
Total liabilities
|
|
|
||||||
Redeemable noncontrolling interests
|
|
|
||||||
Commitments and contingencies (Note J)
|
||||||||
Equity:
|
||||||||
Preferred stock, $
|
||||||||
Class A Common Stock, $
|
|
|
||||||
Class B Common Stock, $
|
|
|
||||||
Additional paid-in capital
|
|
|
||||||
Retained earnings
|
|
|
||||||
Treasury stock, at cost (
|
(
|
)
|
(
|
)
|
||||
Total Associated Capital Group, Inc. equity
|
|
|
||||||
Noncontrolling interests
|
(
|
)
|
|
|||||
Total equity
|
|
|
||||||
Total liabilities and equity
|
$
|
|
$
|
|
||||
As of December 31, 2021 and 2020, certain balances include amounts related to consolidated variable interest entities (“VIEs”) and voting interest entities (“VOEs”).
See Footnote E.
|
Associated Capital Group, Inc. shareholders
|
||||||||||||||||||||||||||||||||
Common
Stock
|
Retained
Earnings
|
Additional
Paid-in
Capital
|
Treasury
Stock
|
Total
|
Noncontrolling
Interests
|
Total
Equity
|
Redeemable
Noncontrolling
Interests
|
|||||||||||||||||||||||||
Balance at December 31, 2020
|
$
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
$
|
|
$
|
|
$
|
|
|||||||||||||||
Contributions from redeemable noncontrolling interests
|
|
|||||||||||||||||||||||||||||||
Redemptions of noncontrolling interests
|
|
|
|
|
|
|
(
|
)
|
||||||||||||||||||||||||
Net income
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
Purchase of treasury stock
|
|
|
|
(
|
)
|
(
|
)
|
|
(
|
)
|
|
|||||||||||||||||||||
Balance at March 31, 2021
|
$
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
$
|
|
$
|
|
$
|
|
|||||||||||||||
Contributions from redeemable noncontrolling interests
|
|
|||||||||||||||||||||||||||||||
Net income/(loss)
|
|
|
|
|
|
|
|
(
|
)
|
|||||||||||||||||||||||
Dividends declared ($
|
|
(
|
)
|
|
|
(
|
)
|
|
(
|
)
|
|
|||||||||||||||||||||
Purchase of treasury stock
|
|
|
|
(
|
)
|
(
|
)
|
|
(
|
)
|
|
|||||||||||||||||||||
Accretion of redeemable noncontrolling interest
|
|
|
(
|
)
|
|
(
|
)
|
(
|
)
|
(
|
)
|
|
||||||||||||||||||||
Other changes to redeemable noncontrolling interests
|
(
|
)
|
||||||||||||||||||||||||||||||
Balance at June 30, 2021
|
$
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
$
|
(
|
)
|
$
|
|
$
|
|
||||||||||||||
Redemptions of noncontrolling interests
|
|
|
|
|
|
|
|
(
|
)
|
|||||||||||||||||||||||
Net income/(loss)
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
Purchase of treasury stock
|
|
|
|
(
|
)
|
(
|
)
|
|
(
|
)
|
|
|||||||||||||||||||||
Accretion of redeemable noncontrolling interest
|
|
|
(
|
)
|
|
(
|
)
|
(
|
)
|
(
|
)
|
|
||||||||||||||||||||
Balance at September 30, 2021
|
$
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
$
|
(
|
)
|
$
|
|
$
|
|
||||||||||||||
Redemptions of noncontrolling interests
|
|
|
|
|
(
|
)
|
||||||||||||||||||||||||||
Net income/(loss)
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
Dividends declared ($
|
|
(
|
)
|
|
|
(
|
)
|
|
(
|
)
|
|
|||||||||||||||||||||
Purchase of treasury stock
|
|
|
|
(
|
)
|
(
|
)
|
|
(
|
)
|
|
|||||||||||||||||||||
Accretion of redeemable noncontrolling interest
|
|
|
(
|
)
|
|
(
|
)
|
(
|
)
|
(
|
)
|
|
||||||||||||||||||||
Other changes to redeemable noncontrolling interests
|
|
|
|
|
|
|
|
(
|
)
|
|||||||||||||||||||||||
Balance at December 31, 2021
|
$
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
$
|
(
|
)
|
$
|
|
$
|
|
Associated Capital Group, Inc. shareholders
|
||||||||||||||||||||||||||||||||
Common Stock
|
Retained Earnings/
(Accumulated Deficit)
|
Additional Paid-in Capital
|
Treasury Stock
|
Total
|
Noncontrolling Interest
|
Total Equity
|
Redeemable Noncontrolling Interests
|
|||||||||||||||||||||||||
Balance at December 31, 2019
|
$
|
|
$
|
(
|
)
|
$
|
|
$
|
(
|
)
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||||||
Redemptions of noncontrolling interests
|
|
|
|
|
|
|
(
|
)
|
||||||||||||||||||||||||
Net income/(loss)
|
|
(
|
)
|
|
|
(
|
)
|
(
|
)
|
(
|
)
|
(
|
)
|
|||||||||||||||||||
Purchase of treasury stock
|
|
|
|
(
|
)
|
(
|
)
|
|
(
|
)
|
|
|||||||||||||||||||||
Balance at March 31, 2020
|
$
|
|
$
|
(
|
)
|
$
|
|
$
|
(
|
)
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||||||
Redemptions of noncontrolling interests
|
|
|
|
|
|
|
|
(
|
)
|
|||||||||||||||||||||||
Net income/(loss)
|
|
|
|
|
|
(
|
)
|
|
|
|||||||||||||||||||||||
Dividends declared ($
|
|
(
|
)
|
|
|
(
|
)
|
|
(
|
)
|
|
|||||||||||||||||||||
Purchase of treasury stock
|
|
|
|
(
|
)
|
(
|
)
|
|
(
|
)
|
|
|||||||||||||||||||||
Balance at June 30, 2020
|
$
|
|
$
|
(
|
)
|
$
|
|
$
|
(
|
)
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||||||
Contributions from redeemable noncontrolling interests
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
Spin-off of MGHL
|
|
|
(
|
)
|
|
(
|
)
|
(
|
)
|
(
|
)
|
|
||||||||||||||||||||
PMV Sponsor members’ interest
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
Net income
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
Purchase of treasury stock
|
|
|
|
(
|
)
|
(
|
)
|
|
(
|
)
|
|
|||||||||||||||||||||
Balance at September 30, 2020
|
$
|
|
$
|
(
|
)
|
$
|
|
$
|
(
|
)
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||||||
Contributions from redeemable noncontrolling interests
|
|
|
|
|
|
|
||||||||||||||||||||||||||
PMV Sponsor members’ interest
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
Net income/(loss)
|
|
|
|
|
|
|
||||||||||||||||||||||||||
Dividends declared ($
|
|
(
|
)
|
|
(
|
)
|
(
|
)
|
|
|||||||||||||||||||||||
Purchase of treasury stock
|
|
|
|
(
|
)
|
(
|
)
|
(
|
)
|
|
||||||||||||||||||||||
Balance at December 31, 2020
|
$
|
|
$
|
|
$
|
|
$
|
(
|
)
|
$
|
|
$
|
|
$
|
|
$
|
|
Year Ended December 31,
|
||||||||
2021
|
2020
|
|||||||
Operating activities
|
||||||||
Net income/(loss)
|
$
|
|
$
|
|
||||
Less: Loss from discontinued operations, net of taxes
|
|
|
||||||
Income/(loss) from continuing operations
|
|
|
||||||
Adjustments to reconcile net income/(loss) to net cash provided by/(used in) operating activities:
|
||||||||
Equity in net (gains) from partnerships
|
(
|
)
|
(
|
)
|
||||
Depreciation and amortization
|
|
|
||||||
Deferred income taxes
|
|
(
|
)
|
|||||
Donated securities
|
|
|
||||||
Unrealized (gains)/losses on securities
|
(
|
)
|
(
|
)
|
||||
Dividends received as securities
|
(
|
)
|
|
|||||
Realized (gains)/losses on sales of securities
|
(
|
)
|
|
|||||
(Increase)/decrease in assets:
|
||||||||
Investments in trading securities
|
|
(
|
)
|
|||||
Investments in partnerships:
|
||||||||
Contributions to partnerships
|
(
|
)
|
(
|
)
|
||||
Distributions from partnerships
|
|
|
||||||
Receivable from affiliates
|
(
|
)
|
(
|
)
|
||||
Receivable from brokers
|
(
|
)
|
(
|
)
|
||||
Investment advisory fees receivable
|
(
|
)
|
|
|||||
Other assets
|
(
|
)
|
(
|
)
|
||||
Increase/(decrease) in liabilities:
|
||||||||
Payable to affiliates
|
(
|
)
|
|
|||||
Payable to brokers
|
|
(
|
)
|
|||||
Income taxes payable
|
(
|
)
|
|
|||||
Compensation payable
|
|
(
|
)
|
|||||
Accrued expenses and other liabilities
|
(
|
)
|
|
|||||
Total adjustments
|
|
(
|
)
|
|||||
Net cash provided by/(used in) operating activities
|
|
(
|
)
|
|||||
Investing activities
|
||||||||
Maturities of marketable securities held in trust
|
|
|
||||||
Purchases of marketable securities held in trust, net
|
(
|
)
|
|
|||||
Purchases of securities
|
(
|
)
|
(
|
)
|
||||
Proceeds from sales of securities
|
|
|
||||||
Return of capital on securities
|
|
|
||||||
Purchase of building
|
|
(
|
)
|
|||||
Investment of cash in Trust Account
|
|
(
|
)
|
|||||
Net cash provided by/(used in) investing activities
|
$
|
|
$
|
(
|
)
|
Year Ended December 31,
|
||||||||
2021
|
2020
|
|||||||
Financing activities
|
||||||||
Dividends paid
|
(
|
)
|
(
|
)
|
||||
Purchase of treasury stock
|
(
|
)
|
(
|
)
|
||||
Contributions/(redemptions) from/(of) redeemable noncontrolling interests
|
(
|
)
|
|
|||||
Contributions from nonredeemable noncontrolling interests
|
|
|
||||||
Net cash provided by (used in) financing activities
|
(
|
)
|
|
|||||
Cash flows of discontinued operations
|
||||||||
Net cash provided by (used in) operating activities
|
|
|
||||||
Net increase in cash, cash equivalents and restricted cash
|
|
(
|
)
|
|||||
Cash, cash equivalents and restricted cash at beginning of period
|
|
|
||||||
Cash, cash equivalents and restricted cash at end of period
|
$
|
|
$
|
|
||||
Supplemental disclosures of cash flow information: | ||||||||
Cash paid for interest | $ | $ | ||||||
Cash paid/(received) for taxes | $ | $ | ||||||
Reconciliation to cash, cash equivalents and restricted cash |
||||||||
Cash and cash equivalents |
||||||||
Restricted cash included in receivable from brokers |
||||||||
Cash, cash equivalents and restricted cash |
$ | $ |
- |
On September 21, 2020 a deferred underwriting fee of $
|
- |
On December 30, 2020 equity securities in the amount of $
|
• |
Level 1 inputs are unadjusted quoted prices in active markets for identical assets or liabilities at the reporting date. Level 1 assets include cash equivalents, government obligations, open-end mutual funds,
closed-end funds and equities.
|
• |
Level 2 inputs are inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted prices for similar assets and
liabilities in active markets, quoted prices for identical or similar assets or liabilities that are not active and inputs other than quoted prices that are observable for the asset or liability such as interest rates and yield curves that
are observable at commonly-quoted intervals. Assets included in this category are over-the-counter derivatives that have valuation inputs that can generally be corroborated by observable market data.
|
• |
Level 3 inputs are unobservable inputs for the asset or liability, and include situations where there is little, if any, market activity for the asset or liability. Assets in this category generally include
equities that trade infrequently and direct private equity investments.
|
a) |
Asset-based advisory fees – The Company receives a management fee, payable monthly in advance based on value of the net assets of the client. It is generally set at a rate of
|
b) |
Performance-based advisory fees – Certain client contracts call for additional fees and or allocations of income tied to a certain percentage, generally
|
c) |
Sub-advisory fees – Pursuant to agreements with other investment advisors, the Company receives a percentage of advisory fees received by such advisors from certain of their investment fund clients. These fees
may be either asset- or performance-based. In addition, they may be subject to reduction by certain expenses as set forth in the respective agreements. Sub-advisory fee revenue which is asset-based is recognized ratably as the services are
performed over the relevant contractual performance period. Sub-advisory fee revenue which is performance-based is recognized only when it becomes fixed and not subject to adjustment.
|
2021
|
2020
|
|||||||
Buildings
|
$
|
|
$
|
|
||||
Equipment
|
|
|
||||||
Total
|
|
|
||||||
Less: accumulated depreciation
|
(
|
)
|
(
|
)
|
||||
Net book value
|
$
|
|
$
|
|
Year Ended December 31,
|
||||||||
2021
|
2020
|
|||||||
Revenues
|
||||||||
Investment advisory and incentive fees
|
||||||||
Asset-based advisory fees
|
$
|
|
$
|
|
||||
Performance-based advisory fees
|
|
|
||||||
Sub-advisory fees
|
|
|
||||||
|
|
|||||||
Other
|
||||||||
Miscellaneous
|
|
|
||||||
|
|
|||||||
Total
|
$
|
|
$
|
|
2021
|
2020
|
|||||||||||||||
Cost
|
Fair Value
|
Cost
|
Fair Value
|
|||||||||||||
Debt - Trading Securities:
|
||||||||||||||||
U.S. Treasury Bills
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Equity Securities:
|
||||||||||||||||
Common stocks
|
|
|
|
|
||||||||||||
Mutual funds
|
|
|
|
|
||||||||||||
Other investments
|
|
|
|
|
||||||||||||
Total equity securities
|
|
|
|
|
||||||||||||
Total investments in securities
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Investments in marketable securities held in trust | $ |
$ |
December 31, 2021
|
||||||||||||||||
Amortized Cost
|
Gross Unrealized Holding Gains
|
Gross Unrealized Holding Losses
|
Estimated
Fair Value
|
|||||||||||||
Held to maturity:
|
||||||||||||||||
Investment in note receivable from affiliate (1)
|
$
|
$
|
|
$
|
|
$
|
|
December 31, 2020
|
||||||||||||||||
Amortized Cost
|
Gross Unrealized Holding Gains
|
Gross Unrealized Holding Losses
|
Estimated
Fair Value
|
|||||||||||||
Held to maturity:
|
||||||||||||||||
Investments in marketable securities held in trust (2)
|
$
|
|
$
|
$
|
$
|
2021
|
2020
|
|||||||||||||||
Cost
|
Fair Value
|
Cost
|
Fair Value
|
|||||||||||||
Equity securities:
|
||||||||||||||||
Common stocks
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Other investments
|
|
|
|
|
||||||||||||
Total securities sold, not yet purchased
|
$
|
|
$
|
|
$
|
|
$
|
|
2021
|
2020
|
|||||||||||||||
Cost
|
Fair Value
|
Cost
|
Fair Value
|
|||||||||||||
Equity securities:
|
||||||||||||||||
Closed-end funds
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Mutual funds
|
|
|
|
|
||||||||||||
Total investments in affiliated registered investment companies
|
$
|
|
$
|
|
$
|
|
$
|
|
(in millions)
|
||||||||
2021
|
2020
|
|||||||
Total assets
|
$
|
|
$
|
|
||||
Total liabilities
|
|
|
||||||
Total equity
|
|
|
Year Ended December 31,
|
||||||||
2021
|
2020
|
|||||||
Net income/(loss)
|
|
|
December 31, 2021
|
||||||||||||
Prior to
Consolidation
|
Consolidated
Entities
|
As Reported
|
||||||||||
Assets
|
||||||||||||
Cash and cash equivalents
|
$
|
|
$
|
|
$
|
|
||||||
Investments in U.S. Treasury Bills
|
|
|
|
|||||||||
Investments in securities
|
|
|
|
|||||||||
Investments in affiliated registered investment companies
|
|
(
|
)
|
|
||||||||
Investments in partnerships
|
|
(
|
)
|
|
||||||||
Receivable from brokers
|
|
|
|
|||||||||
Investment advisory fees receivable
|
|
(
|
)
|
|
||||||||
Other assets (1)
|
|
(
|
)
|
|
||||||||
Investments in marketable securities held in trust
|
|
|
|
|||||||||
Total assets
|
$
|
|
$
|
|
$
|
|
||||||
Liabilities and equity
|
||||||||||||
Securities sold, not yet purchased
|
$
|
|
$
|
|
$
|
|
||||||
Accrued expenses and other liabilities (1)
|
|
|
|
|||||||||
Redeemable noncontrolling interests
|
|
|
|
|||||||||
Total equity
|
|
(
|
)
|
|
||||||||
Total liabilities and equity
|
$
|
|
$
|
|
$
|
|
December 31, 2020
|
||||||||||||
Prior to
Consolidation
|
Consolidated
Entities
|
As Reported
|
||||||||||
Assets
|
||||||||||||
Cash and cash equivalents
|
$
|
|
$
|
|
$
|
|
||||||
Investments in U.S. Treasury Bills
|
|
|
|
|||||||||
Investments in securities
|
|
|
|
|||||||||
Investments in affiliated registered investment companies
|
|
(
|
)
|
|
||||||||
Investments in partnerships
|
|
(
|
)
|
|
||||||||
Receivable from brokers
|
|
|
|
|||||||||
Investment advisory fees receivable
|
|
(
|
)
|
|
||||||||
Other assets (1)
|
|
|
|
|||||||||
Investments in marketable securities held in trust
|
|
|
||||||||||
Total assets
|
$
|
|
$
|
|
$
|
|
||||||
Liabilities and equity
|
||||||||||||
Securities sold, not yet purchased
|
$
|
|
$
|
|
$
|
|
||||||
Accrued expenses and other liabilities (1)
|
|
|
|
|||||||||
Redeemable noncontrolling interests
|
|
|
|
|||||||||
Total equity
|
|
|
|
|||||||||
Total liabilities and equity
|
$
|
|
$
|
|
$
|
|
(1) |
|
Year Ended December 31, 2021
|
||||||||||||
Prior to
Consolidation
|
Consolidated
Entities
|
As Reported
|
||||||||||
Total revenues
|
$
|
|
$
|
(
|
)
|
$
|
|
|||||
Total expenses
|
|
|
|
|||||||||
Operating loss
|
(
|
)
|
(
|
)
|
(
|
)
|
||||||
Total other income, net
|
|
|
|
|||||||||
Income before income taxes
|
|
|
|
|||||||||
Income tax expense
|
|
|
|
|||||||||
Income before noncontrolling interests
|
|
|
|
|||||||||
Income attributable to noncontrolling interests
|
|
|
|
|||||||||
Net income
|
$
|
|
$
|
|
$
|
|
Year Ended December 31, 2020
|
||||||||||||
Prior to
Consolidation
|
Consolidated
Entities
|
As Reported
|
||||||||||
Total revenues
|
$
|
|
$
|
(
|
)
|
$
|
|
|||||
Total expenses
|
|
|
|
|||||||||
Operating loss
|
(
|
)
|
(
|
)
|
(
|
)
|
||||||
Total other income, net
|
|
|
|
|||||||||
Income before income taxes
|
|
|
|
|||||||||
Income tax expense/(benefit)
|
|
(
|
)
|
|
||||||||
Income from continuing operations, net of taxes
|
|
|
|
|||||||||
Loss from discontinued operations, net of taxes
|
(
|
)
|
|
(
|
)
|
|||||||
Income before noncontrolling interests
|
|
|
|
|||||||||
Income/(loss) attributable to noncontrolling interests
|
(
|
)
|
|
|
||||||||
Net income
|
$
|
|
$
|
|
$
|
|
December 31,
2021
|
December 31,
2020
|
|||||||
Cash and cash equivalents
|
$
|
|
$
|
|
||||
Investments in securities
|
|
|
||||||
Receivable from brokers
|
|
|
||||||
Investments in partnerships and affiliates
|
|
|
||||||
Investments in marketable securities held in trust
|
|
|
||||||
Other assets
|
|
|
||||||
Accrued expenses and other liabilities
|
(
|
)
|
(
|
)
|
||||
PMV Warrant liability
|
(
|
)
|
|
|||||
Redeemable noncontrolling interests
|
(
|
)
|
(
|
)
|
||||
Nonredeemable noncontrolling interests
|
|
(
|
)
|
|||||
AC Group’s net interests in consolidated VIEs
|
$
|
|
$
|
|
December 31, 2021
|
||||||||||||||||
Assets
|
Quoted Prices in Active
Markets for Identical
Assets (Level 1)
|
Significant Other
Observable
Inputs (Level 2)
|
Significant
Unobservable
Inputs (Level 3)
|
Total
|
||||||||||||
Cash equivalents
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Investments in securities (including GBL stock):
|
||||||||||||||||
Trading - U.S. Treasury Bills
|
|
|
|
|
||||||||||||
Common stocks
|
|
|
|
|
||||||||||||
Mutual funds
|
|
|
|
|
||||||||||||
Other
|
|
|
|
|
||||||||||||
Total investments in securities
|
|
|
|
|
||||||||||||
Investments in affiliated registered investment companies:
|
||||||||||||||||
Closed-end funds
|
|
|
|
|
||||||||||||
Mutual funds
|
|
|
|
|
||||||||||||
Total investments in affiliated registered investment companies
|
|
|
|
|
||||||||||||
Total investments held at fair value
|
|
|
|
|
||||||||||||
Total assets at fair value
|
$ |
$
|
|
$
|
|
$
|
|
|||||||||
Liabilities
|
||||||||||||||||
Common stocks
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Other
|
|
|
|
|
||||||||||||
Securities sold, not yet purchased
|
|
|
|
|
||||||||||||
PMV warrant liability
|
|
|
|
|
||||||||||||
Total liabilities at fair value
|
$
|
|
$
|
|
$
|
|
$
|
|
December 31, 2020
|
||||||||||||||||
Assets
|
Quoted Prices in Active
Markets for Identical
Assets (Level 1)
|
Significant Other
Observable
Inputs (Level 2)
|
Significant
Unobservable
Inputs (Level 3)
|
Total
|
||||||||||||
Cash equivalents
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Investments in securities (including GBL stock):
|
||||||||||||||||
Trading - U.S. Treasury Bills
|
|
|
|
|
||||||||||||
Common stocks
|
|
|
|
|
||||||||||||
Mutual funds
|
|
|
|
|
||||||||||||
Other
|
|
|
|
|
||||||||||||
Total investments in securities
|
|
|
|
|
||||||||||||
Investments in affiliated registered investment companies:
|
||||||||||||||||
Closed-end funds
|
|
|
|
|
||||||||||||
Mutual funds
|
|
|
|
|
||||||||||||
Total investments in affiliated registered investment companies
|
|
|
|
|
||||||||||||
Total investments held at fair value
|
|
|
|
|
||||||||||||
Total assets at fair value
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Liabilities
|
||||||||||||||||
Common stocks
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||
Other
|
|
|
|
|
||||||||||||
Securities sold, not yet purchased
|
$
|
|
$
|
|
$
|
|
$
|
|
Year Ended December 31, 2021
|
Year Ended December 31, 2020
|
|||||||||||||||||||||||
Common
Stocks
|
Other
|
Total
|
Common
Stocks
|
Other
|
Total
|
|||||||||||||||||||
Assets:
|
||||||||||||||||||||||||
Beginning balance
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||||
Total gains/(losses)
|
|
(
|
)
|
(
|
)
|
(
|
)
|
|
(
|
)
|
||||||||||||||
Purchases
|
|
|
|
|
|
|
||||||||||||||||||
Sales/return of capital
|
|
(
|
)
|
(
|
)
|
|
(
|
)
|
(
|
)
|
||||||||||||||
Transfers
|
|
(
|
)
|
(
|
)
|
|
|
|
||||||||||||||||
Ending balance
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
||||||||||||
Changes in net unrealized gain/(loss) included in net gain from investments related to Level 3 assets still held as of the reporting date
|
$
|
|
$
|
(
|
)
|
$
|
(
|
)
|
$
|
(
|
)
|
$
|
(
|
)
|
$
|
(
|
)
|
Year Ended December 31, 2021
|
||||||||||||
PMV Warrant
Liability
|
Other
|
Total
|
||||||||||
Liabilities:
|
||||||||||||
Beginning balance
|
$
|
|
$
|
|
$
|
|
||||||
Total (gains)/losses
|
(
|
)
|
|
(
|
)
|
|||||||
Issuances
|
|
|
|
|||||||||
Transfers | ( |
) | ( |
) | ||||||||
Ending balance
|
$
|
|
$
|
|
$
|
|
||||||
Changes in net unrealized (gain) included in net gain from investments related to Level 3 assets still held as of the reporting date
|
$
|
|
$
|
|
$
|
|
As of December 31, 2021
|
||||||||||||
Assets
|
Level Within
Fair Value
Hierarchy
|
Fair Value
|
Amortized Cost
|
|||||||||
Investment in note receivable from affiliate (1)
|
2
|
$
|
|
$
|
|
|||||||
Total assets
|
$
|
|
$
|
|
(1) |
|
2021 |
2020
|
|||||||
Federal:
|
||||||||
Current
|
$
|
|
$
|
|
||||
Deferred
|
|
(
|
)
|
|||||
State and local:
|
||||||||
Current
|
|
|
||||||
Deferred
|
|
(
|
)
|
|||||
Foreign:
|
||||||||
Current
|
|
|
||||||
Deferred
|
|
|
||||||
Total
|
$
|
|
$
|
|
2021
|
2020
|
|||||||
Statutory Federal income tax rate
|
|
%
|
|
%
|
||||
State income tax, net of Federal benefit
|
|
|
||||||
Dividends received deduction
|
(
|
)
|
(
|
)
|
||||
Deferred tax asset valuation allowance
|
(
|
)
|
|
|||||
Foreign investments
|
(
|
)
|
|
|||||
Foreign-derived intangible income |
( |
) | ||||||
Noncontrolling interests
|
(
|
)
|
(
|
)
|
||||
Nondeductible compensation
|
|
|
||||||
Other
|
|
|
||||||
Effective income tax rate
|
|
%
|
|
%
|
2021
|
2020
|
|||||||
Deferred tax assets:
|
||||||||
Stock-based compensation expense
|
$
|
|
$
|
|
||||
Deferred compensation
|
|
|
||||||
Shareholder-designated contribution carryover
|
|
|
||||||
Other
|
|
|
||||||
|
|
|||||||
Deferred tax liabilities:
|
||||||||
Investments in securities and partnerships
|
(
|
)
|
(
|
)
|
||||
Other liabilities
|
(
|
)
|
(
|
)
|
||||
(
|
)
|
(
|
)
|
|||||
Gross deferred tax assets /(liabilities)
|
(
|
)
|
|
|||||
Valuation allowance
|
(
|
)
|
(
|
)
|
||||
Net deferred tax assets/(liabilities)
|
$
|
(
|
)
|
$
|
|
Year Ended December 31,
|
||||||||
(In thousands, except per share amounts)
|
2021
|
2020
|
||||||
Income/(loss) from continuing operations
|
$
|
|
$
|
|
||||
Less:
|
||||||||
Income/(loss) attributable to noncontrolling interests
|
|
|
||||||
Net income/(loss) from continuing operations attributable to Associated Capital Group, Inc.’s shareholders
|
|
|
||||||
Income/(loss) from discontinued operations
|
|
(
|
)
|
|||||
Net income/(loss) attributable to Associated Capital Group, Inc.’s shareholders
|
$
|
|
$
|
|
||||
Weighted average number of shares of Common Stock outstanding - basic
|
|
|
||||||
Weighted average number of shares of Common Stock outstanding - diluted
|
|
|
||||||
Basic
|
||||||||
Net income/(loss) from continuing operations
|
$
|
|
$
|
|
||||
Net income/(loss) from discontinued operations
|
|
(
|
)
|
|||||
Net income/(loss) attributable to Associated Capital Group, Inc.’s shareholders per share
|
$
|
|
$
|
|
||||
Diluted:
|
||||||||
Net income/(loss) from continuing operations
|
$
|
|
$
|
|
||||
Net income/(loss) from discontinued operations
|
|
(
|
)
|
|||||
Net income/(loss) attributable to Associated Capital Group, Inc.’s shareholders per share
|
$
|
|
$
|
|
Year Ended December 31,
|
||||||||
(In thousands, unless otherwise noted)
|
2021
|
2020
|
||||||
Stock-based compensation expense
|
$
|
|
$
|
(
|
)
|
|||
Remaining expense to be recognized if all vesting conditions are met (1)
|
$
|
|
$
|
|
||||
Weighted average remaining contractual term (in years)
|
|
|
RSA’s
|
Weighted
Average Grant
Date Fair Value
|
|||||||
Balance at January 1, 2021
|
|
$
|
|
|||||
Granted
|
|
|
||||||
Forfeited
|
(
|
)
|
|
|||||
Vested
|
(
|
)
|
|
|||||
Balance at December 31, 2021
|
|
$
|
|
Number of shares
purchased
|
Average price per
share
|
|||||||
Remaining repurchase authorization January 1, 2020
|
|
|||||||
Share repurchase plan (1)
|
(
|
)
|
$
|
|
||||
Remaining repurchase authorization December 31, 2020
|
|
|||||||
Share repurchase plan (1)
|
(
|
)
|
$
|
|
||||
Remaining repurchase authorization December 31, 2021
|
|
Year Ended December 31, (1)
|
||||
2020
|
||||
Revenues
|
||||
Institutional research services
|
$
|
|
||
Other
|
|
|||
Total revenues
|
|
|||
Expenses
|
||||
Compensation
|
|
|||
Other operating expenses
|
|
|||
Total expenses
|
|
|||
Operating loss
|
(
|
)
|
||
Other income (expense)
|
||||
Net loss from investments
|
(
|
)
|
||
Interest and dividend income
|
|
|||
Total other income, net
|
|
|||
Income/(loss) from discontinued operations before income taxes
|
(
|
)
|
||
Income tax provision/(benefit)
|
(
|
)
|
||
Income/(loss) from discontinued operations, net of taxes
|
(
|
)
|
||
Net income/(loss) attributable to noncontrolling interests
|
(
|
)
|
||
Net income/(loss) attributable to AC shareholders discontinued operations, net of taxes
|
$
|
(
|
)
|
(1) |
|
ITEM 9: |
CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE
|
ITEM 9A. |
CONTROLS AND PROCEDURES
|
i) |
adding additional SEC reporting and technical accounting experience,
|
ii) |
implementing new policies, procedures and processes,
|
iii) |
enhancing certain controls, and
|
iv) |
expanding the use of our financial systems used for accounting and financial reporting.
|
ITEM 9B: |
OTHER INFORMATION
|
ITEM 9C: |
DISCLOSURE REGARDING FOREIGN JURISDICTIONS THAT PREVENT INSPECTIONS
|
ITEM 10: |
DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE
|
ITEM 11: |
EXECUTIVE COMPENSATION
|
ITEM 12: |
SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS
|
ITEM 13: |
CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE
|
ITEM 14: |
PRINCIPAL ACCOUNTANT FEES AND SERVICES
|
ITEM 15: |
EXHIBITS, FINANCIAL STATEMENT SCHEDULES
|
(a) |
List of documents filed as part of this Report:
|
(1) |
Consolidated Financial Statements and Independent Registered Public Accounting Firm’s Reports included herein:
|
(2) |
Financial Statement Schedules
|
(3) |
List of Exhibits:
|
Exhibit
Number
|
Description of Exhibit
|
Separation and Distribution Agreement, dated November 30, 2015, between GAMCO Investors, Inc., a Delaware corporation (“GAMCO”), and Associated Capital
Group, Inc., a Delaware corporation (the “Company”). (Incorporated by reference to Exhibit 2.1 to the Company’s Form 8-K dated November 30, 2015 filed with the Securities and Exchange Commission on December 4, 2015).
|
|
Amended and Restated Certificate of Incorporation of the Company. (Incorporated by reference to Exhibit 3.1 to the Company’s Form 8-K dated November 19,
2015 filed with the Securities and Exchange Commission on November 25, 2015).
|
|
Amended and Restated Bylaws of the Company. (Incorporated by reference to Exhibit 3.2 to the Company’s Report on Form 8-K dated November 19, 2015 filed
with the Securities and Exchange Commission on November 25, 2015).
|
|
Form of Common Stock Certificate. (Incorporated by reference to Exhibit 4.1 to Amendment No. 4 to the Company’s Registration Statement on Form 10 filed
with the Securities and Exchange Commission on October 21, 2015).
|
|
Description of The Registrant’s Securities Registered Pursuant to Section 12 of the Securities Exchange Act of 1934. (Incorporated by reference to
Exhibit 4.2 of the Company’s Report on Form 10-K filed with the Commission on March 16, 2020).
|
|
Service Mark and Name License Agreement, dated November 30, 2015, by and between the Company and GAMCO. (Incorporated by reference to Exhibit 10.1 to the Company’s Form 8-K
dated November 30, 2015 filed with the Commission on December 4, 2015).
|
|
Transitional Administrative and Management Services Agreement, dated November 30, 2015, by and between the Company and GAMCO. (Incorporated by reference
to Exhibit 10.2 to the Company’s Form 8-K dated November 30, 2015 filed with the Commission on December 4, 2015).
|
|
Employment Agreement between the Company and Mario J. Gabelli dated November 30, 2015 (Incorporated by reference to Exhibit 10.3 to the Company’s Form
8-K dated November 30, 2015 filed with the Commission on December 4, 2015).
|
|
Promissory Note in aggregate principal amount of $250,000,000, dated November 30, 2015, issued by GAMCO in favor of the Company (Incorporated by
reference to Exhibit 10.4 to the Company’s Form 8-K dated November 30, 2015 filed with the Commission on December 4, 2015).
|
|
Tax Indemnity and Sharing Agreement, dated November 30, 2015, by and between the Company and GAMCO. (Incorporated by reference to Exhibit 10.5 to the
Company’s Form 8-K dated November 30, 2015 filed with the Commission on December 4, 2015).
|
|
2015 Stock Award Incentive Plan (Incorporated by reference to Exhibit 10.11 to Amendment No. 4 to the Company’s Registration Statement on Form 10 filed
with the Securities and Exchange Commission on October 21, 2015).
|
|
Form of Indemnification Agreement by and between the Company and the Indemnitee defined therein (Incorporated by reference to Exhibit 10.7 to Amendment
No. 4 to the Company’s Registration Statement on Form 10 filed with the Securities and Exchange Commission on October 21, 2015).
|
|
Agreement and Plan of Merger, dated as of October 31, 2019, by and among Morgan Group Holding Co., G.R. acquisition, LLC, G.research, LLC, Institutional
Services Holdings, LLC and Associated Capital Group, Inc. (Incorporated by reference to Exhibit 2.1 to the Current Report on Form 8-K of Morgan Group Holding Co. filed with the Securities and Exchange Commission on November 6, 2019).
|
|
Subsidiaries of the Company.
|
|
Powers of Attorney (included on page 55 of this Report).
|
|
Certification of CEO pursuant to Rule 13a-14(a).
|
|
Certification of CFO pursuant to Rule 13a-14(a).
|
Certification of CEO pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
|
|
Certification of CFO pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes- Oxley Act of 2002.
|
|
101.INS
|
Inline XBRL Instance Document (the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline
XBRL document)
|
101.SCH
|
Inline XBRL Taxonomy Extension Schema Document
|
101.CAL
|
Inline XBRL Taxonomy Extension Calculation Linkbase Document
|
101.DEF
|
Inline XBRL Taxonomy Extension Definition Linkbase Document
|
101.LAB
|
Inline XBRL Taxonomy Extension Label Linkbase Document
|
101.PRE
|
Inline XBRL Taxonomy Extension Presentation Linkbase Document
|
104
|
Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101)
|
By: /s/ Timothy H. Schott
|
|
Name: Timothy H. Schott
|
|
Title: Chief Financial Officer
|
|
Date: March 17, 2022
|
Signature
|
Title
|
Date
|
||
/s/ Douglas R. Jamieson
|
President,
|
March 17, 2022
|
||
Douglas R. Jamieson
|
Chief Executive Officer and Director
|
|||
(Principal Executive Officer)
|
||||
/s/ Timothy H. Schott
|
Chief Financial Officer
|
March 17, 2022
|
||
Timothy H. Schott
|
(Principal Financial Officer)
|
|||
/s/ Mario J. Gabelli
|
Executive Chair of the
|
March 17, 2022
|
||
Mario J. Gabelli
|
Board and Director
|
|||
/s/ Marc Gabelli
|
Director
|
March 17, 2022
|
||
Marc Gabelli
|
||||
/s/ Daniel R. Lee
|
Director
|
March 17, 2022
|
||
Daniel R. Lee
|
||||
/s/ Bruce M. Lisman
|
Director
|
March 17, 2022
|
||
Bruce M. Lisman
|
||||
/s/ Richard T. Prins
|
Director
|
March 17, 2022
|
||
Richard T. Prins | ||||
/s/ Frederic V. Salerno
|
Director
|
March 17, 2022
|
||
Frederic V. Salerno
|
||||
/s/ Salvatore F. Sodano
|
Director
|
March 17, 2022
|
||
Salvatore F. Sodano
|
||||
/s/ Elisa M. Wilson
|
Director
|
March 17, 2022
|
||
Elisa M. Wilson
|
Name
|
Jurisdiction of Incorporation or Organization
|
|
Gabelli & Company Investment Advisers, Inc.
|
Delaware
|
|
(100%-owned by the Company)
|
||
Gabelli & Partners, LLC
|
Delaware
|
|
(100%-owned by Gabelli & Company Investment Advisers, Inc.)
|
1. |
I have reviewed this annual report on Form 10-K of Associated Capital Group, Inc.;
|
2. |
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in
light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3. |
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial
condition, results of income and cash flows of the registrant as of, and for, the periods presented in this report;
|
4. |
The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules
13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
a) |
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material
information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
b) |
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide
reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
c) |
Evaluated the effectiveness of the registrant’s disclosure controls and procedures as of the end of the period covered by this report; and
|
d) |
Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the
registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
|
5. |
The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s
auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
|
a) |
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely
affect the registrant’s ability to record, process, summarize and report financial information; and
|
b) |
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial
reporting.
|
By:
|
/s/ Douglas R. Jamieson
|
|
Name:
|
Douglas R. Jamieson
|
|
Title:
|
Chief Executive Officer
|
|
Date:
|
March 17, 2022
|
1. |
I have reviewed this annual report on Form 10-K of Associated Capital Group, Inc.;
|
2. |
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in
light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3. |
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial
condition, results of income and cash flows of the registrant as of, and for, the periods presented in this report;
|
4. |
The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules
13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
a) |
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material
information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
b) |
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide
reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
c) |
Evaluated the effectiveness of the registrant’s disclosure controls and procedures as of the end of the period covered by this report; and
|
d) |
Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the
registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
|
5. |
The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s
auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
|
a) |
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely
affect the registrant’s ability to record, process, summarize and report financial information; and
|
b) |
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial
reporting.
|
/s/ Timothy H. Schott
|
||
Name:
|
Timothy H. Schott
|
|
Title:
|
Chief Financial Officer
|
|
Date:
|
March 17, 2022
|
(1) |
The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and
|
(2) |
The information contained in the Report fairly presents, in all material respects, the financial condition and results of income of the Company.
|
By:
|
/s/ Douglas R. Jamieson
|
|
Name:
|
Douglas R. Jamieson
|
|
Title:
|
Chief Executive Officer
|
|
Date:
|
March 17, 2022
|
(1) |
The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and
|
(2) |
The information contained in the Report fairly presents, in all material respects, the financial condition and results of income of the Company.
|
By:
|
/s/ Timothy H. Schott
|
|
Name:
|
Timothy H. Schott
|
|
Title:
|
Chief Financial Officer
|
|
Date:
|
March 17, 2022
|
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands |
12 Months Ended | |
---|---|---|
Dec. 31, 2021 |
Dec. 31, 2020 |
|
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME [Abstract] | ||
Income/(loss) before noncontrolling interests | $ 63,634 | $ 19,877 |
Less: Comprehensive income/(loss) attributable to noncontrolling interests | 4,431 | 1,061 |
Comprehensive income/(loss) attributable to Associated Capital Group, Inc. | $ 59,203 | $ 18,816 |
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (Parenthetical) - USD ($) $ in Millions |
Dec. 31, 2021 |
Dec. 31, 2020 |
---|---|---|
ASSETS | ||
Investment in GBL stock | $ 60.4 | $ 48.9 |
Equity: | ||
Preferred stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized (in shares) | 10,000,000 | 10,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, shares outstanding (in shares) | 22,058,000 | 22,274,000 |
Treasury stock, shares outstanding (in shares) | 3,534,085 | 3,318,127 |
Class A [Member] | ||
Equity: | ||
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized (in shares) | 100,000,000 | 100,000,000 |
Common stock, shares issued (in shares) | 6,629,254 | 6,629,254 |
Common stock, shares outstanding (in shares) | 3,095,169 | 3,311,127 |
Class B [Member] | ||
Equity: | ||
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized (in shares) | 100,000,000 | 100,000,000 |
Common stock, shares issued (in shares) | 19,196,792 | 19,196,792 |
Common stock, shares outstanding (in shares) | 18,962,918 | 18,962,918 |
CONSOLIDATED STATEMENTS OF EQUITY - USD ($) $ in Thousands |
Common Stock [Member] |
Retained Earnings/Accumulated Deficit [Member] |
Additional Paid-in Capital [Member] |
Treasury Stock [Member] |
Parent [Member] |
Noncontrolling Interests [Member] |
Total |
Redeemable Noncontrolling Interests [Member] |
---|---|---|---|---|---|---|---|---|
Balance at Dec. 31, 2019 | $ 25 | $ (701) | $ 1,003,450 | $ (106,342) | $ 896,432 | $ 1,003 | $ 897,435 | $ 50,385 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Redemptions of noncontrolling interests | 0 | 0 | 0 | 0 | 0 | 0 | 0 | (531) |
Net income/(loss) | 0 | (73,355) | 0 | 0 | (73,355) | (52) | (73,407) | (3,945) |
Purchase of treasury stock | 0 | 0 | 0 | (3,225) | (3,225) | 0 | (3,225) | 0 |
Balance at Mar. 31, 2020 | 25 | (74,056) | 1,003,450 | (109,567) | 819,852 | 951 | 820,803 | 45,909 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Redemptions of noncontrolling interests | 0 | 0 | 0 | 0 | 0 | 0 | 0 | (1,167) |
Net income/(loss) | 0 | 35,237 | 0 | 0 | 35,237 | (48) | 35,189 | 2,436 |
Dividends declared ($0.10 per share) | 0 | (2,237) | 0 | 0 | (2,237) | 0 | (2,237) | 0 |
Purchase of treasury stock | 0 | 0 | 0 | (1,068) | (1,068) | 0 | (1,068) | 0 |
Balance at Jun. 30, 2020 | 25 | (41,056) | 1,003,450 | (110,635) | 851,784 | 903 | 852,687 | 47,178 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Contributions from redeemable noncontrolling interests | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 156,049 |
Spin-off of MGHL | 0 | 0 | (4,403) | 0 | (4,403) | (903) | (5,306) | 0 |
PMV Sponsor members' interest | 0 | 0 | 0 | 0 | 0 | 2,072 | 2,072 | 0 |
Net income/(loss) | 0 | 5,815 | 0 | 0 | 5,815 | 0 | 5,815 | 937 |
Purchase of treasury stock | 0 | 0 | 0 | (1,101) | (1,101) | 0 | (1,101) | 0 |
Balance at Sep. 30, 2020 | 25 | (35,241) | 999,047 | (111,736) | 852,095 | 2,072 | 854,167 | 204,164 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Contributions from redeemable noncontrolling interests | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 1,031 |
PMV Sponsor members' interest | 0 | 0 | 0 | 0 | 0 | 379 | 379 | 0 |
Net income/(loss) | 0 | 51,120 | 0 | 0 | 51,120 | 0 | 51,120 | 1,633 |
Dividends declared ($0.10 per share) | 0 | (2,230) | 0 | 0 | (2,230) | 0 | (2,230) | 0 |
Purchase of treasury stock | 0 | 0 | 0 | (2,047) | (2,047) | 0 | (2,047) | 0 |
Balance at Dec. 31, 2020 | 25 | 13,649 | 999,047 | (113,783) | 898,938 | 2,451 | 901,389 | 206,828 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Contributions from redeemable noncontrolling interests | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 136 |
Redemptions of noncontrolling interests | 0 | 0 | 0 | 0 | 0 | 0 | 0 | (12,066) |
Net income/(loss) | 0 | 18,555 | 0 | 0 | 18,555 | 0 | 18,555 | 172 |
Purchase of treasury stock | 0 | 0 | 0 | (4,198) | (4,198) | 0 | (4,198) | 0 |
Balance at Mar. 31, 2021 | 25 | 32,204 | 999,047 | (117,981) | 913,295 | 2,451 | 915,746 | 195,070 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Contributions from redeemable noncontrolling interests | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 665 |
Net income/(loss) | 0 | 29,716 | 0 | 0 | 29,716 | 0 | 29,716 | (532) |
Dividends declared ($0.10 per share) | 0 | (2,211) | 0 | 0 | (2,211) | 0 | (2,211) | 0 |
Purchase of treasury stock | 0 | 0 | 0 | (1,893) | (1,893) | 0 | (1,893) | 0 |
Accretion of redeemable noncontrolling interests to redemption value | 0 | 0 | (6,001) | 0 | (6,001) | (2,892) | (8,893) | 8,893 |
Other changes to redeemable noncontrolling interests | 0 | 0 | 0 | 0 | 0 | 0 | 0 | (7,527) |
Balance at Jun. 30, 2021 | 25 | 59,709 | 993,046 | (119,874) | 932,906 | (441) | 932,465 | 196,569 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Redemptions of noncontrolling interests | 0 | 0 | 0 | 0 | 0 | 0 | 0 | (2,161) |
Net income/(loss) | 0 | 1,503 | 0 | 0 | 1,503 | 122 | 1,625 | 3,879 |
Purchase of treasury stock | 0 | 0 | 0 | (1,396) | (1,396) | 0 | (1,396) | 0 |
Accretion of redeemable noncontrolling interests to redemption value | 0 | 0 | (1,028) | 0 | (1,028) | (478) | (1,506) | 1,506 |
Balance at Sep. 30, 2021 | 25 | 61,212 | 992,018 | (121,270) | 931,985 | (797) | 931,188 | 199,793 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Redemptions of noncontrolling interests | 0 | 0 | 0 | 0 | 0 | 0 | 0 | (973) |
Net income/(loss) | 0 | 9,429 | 0 | 0 | 9,429 | 15 | 9,444 | 775 |
Dividends declared ($0.10 per share) | 0 | (2,206) | 0 | 0 | (2,206) | 0 | (2,206) | 0 |
Purchase of treasury stock | 0 | 0 | 0 | (157) | (157) | 0 | (157) | 0 |
Accretion of redeemable noncontrolling interests to redemption value | 0 | 0 | (1,949) | 0 | (1,949) | (974) | (2,923) | 2,923 |
Other changes to redeemable noncontrolling interests | 0 | 0 | 0 | 0 | 0 | 0 | 0 | (62) |
Balance at Dec. 31, 2021 | $ 25 | $ 68,435 | $ 990,069 | $ (121,427) | $ 937,102 | $ (1,756) | $ 935,346 | $ 202,456 |
CONSOLIDATED STATEMENTS OF EQUITY (Parenthetical) - $ / shares |
3 Months Ended | |||
---|---|---|---|---|
Dec. 31, 2021 |
Jun. 30, 2021 |
Dec. 31, 2020 |
Jun. 30, 2020 |
|
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Dividends declared (in dollars per share) | $ 0.10 | $ 0.10 | $ 0.10 | $ 0.10 |
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands |
12 Months Ended | |
---|---|---|
Dec. 31, 2021 |
Dec. 31, 2020 |
|
Operating activities | ||
Net income/(loss) | $ 63,634 | $ 19,877 |
Less: Loss from discontinued operations, net of taxes | 0 | 632 |
Income/(loss) from continuing operations | 63,634 | 20,509 |
Adjustments to reconcile net income/(loss) to net cash provided by/(used in) operating activities: | ||
Equity in net (gains) from partnerships | (23,392) | (15,000) |
Depreciation and amortization | 379 | 52 |
Deferred income taxes | 8,742 | (209) |
Donated securities | 2,213 | 891 |
Unrealized (gains)/losses on securities | (26,791) | (20,213) |
Dividends received as securities | (5,066) | 0 |
Realized (gains)/losses on sales of securities | (38,971) | 3,299 |
(Increase)/decrease in assets: | ||
Investments in trading securities | 281,986 | (295,795) |
Investments in partnerships: | ||
Contributions to partnerships | (15,172) | (4,829) |
Distributions from partnerships | 11,308 | 35,847 |
Receivable from affiliates | (285) | (405) |
Receivable from brokers | (10,097) | (1,535) |
Investment advisory fees receivable | (916) | 2,236 |
Other assets | (1,454) | (4,383) |
Increase/(decrease) in liabilities: | ||
Payable to affiliates | (2,188) | 1,705 |
Payable to brokers | 2,843 | (8,393) |
Income taxes payable | (7,706) | 6,176 |
Compensation payable | 1,163 | (970) |
Accrued expenses and other liabilities | (2,036) | 1,534 |
Total adjustments | 174,560 | (299,992) |
Net cash provided by/(used in) operating activities | 238,194 | (279,483) |
Investing activities | ||
Maturities of marketable securities held in trust | 175,109 | 0 |
Purchases of marketable securities held in trust, net | (175,109) | 0 |
Purchases of securities | (8,738) | (2,749) |
Proceeds from sales of securities | 35,329 | 13,115 |
Return of capital on securities | 38,694 | 1,646 |
Purchase of building | 0 | (11,084) |
Investment of cash in Trust Account | 0 | (175,000) |
Net cash provided by/(used in) investing activities | 65,285 | (174,072) |
Financing activities | ||
Dividends paid | (4,417) | (6,716) |
Purchase of treasury stock | (7,644) | (7,441) |
Contributions/(redemptions) from/(of) redeemable noncontrolling interests | (2,333) | 162,655 |
Contributions from nonredeemable noncontrolling interests | 0 | 2,451 |
Net cash provided by (used in) financing activities | (14,394) | 150,949 |
Cash flows from discontinued operations | ||
Net cash provided by (used in) operating activities | 0 | 114 |
Net increase in cash, cash equivalents and restricted cash | 289,085 | (302,492) |
Cash, cash equivalents and restricted cash at beginning of period | 39,509 | 342,001 |
Cash, cash equivalents and restricted cash at end of period | 328,594 | 39,509 |
Supplemental disclosures of cash flow information: | ||
Cash paid for interest | 310 | 177 |
Cash paid/(received) for taxes | 16,741 | 2,000 |
Reconciliation to cash, cash equivalents and restricted cash | ||
Cash and cash equivalents | 319,048 | 39,509 |
Restricted cash included in receivable from brokers | 9,546 | 0 |
Cash, cash equivalents and restricted cash | $ 328,594 | $ 39,509 |
CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) - USD ($) $ in Millions |
Dec. 30, 2020 |
Sep. 21, 2020 |
---|---|---|
Non-cash activity: | ||
Deferred underwriting fee accrued | $ 6.1 | |
Equity securities distributed from investments in partnerships | $ 4.2 |
Organization |
12 Months Ended |
---|---|
Dec. 31, 2021 | |
Organization [Abstract] | |
Organization |
A. Organization
Unless we have indicated otherwise, or the context otherwise requires, references in this report to “Associated Capital Group, Inc.,” “AC
Group,” “the Company,” “AC,” “we,” “us” and “our” or similar terms are to Associated Capital Group, Inc., its predecessors and its subsidiaries.
We are a Delaware corporation that provides alternative investment management, and we derive investment income/(loss) from proprietary
investment of cash and other assets in our operating business.
GCIA and its wholly-owned subsidiary, Gabelli & Partners, LLC (“Gabelli & Partners”), collectively serve as general partners or
investment managers to investment funds including limited partnerships and offshore companies (collectively, “Investment Partnerships”), and separate accounts. We primarily manage assets across a range of risk and event arbitrage portfolios and
in equity event-driven value strategies. The businesses earn management and incentive fees from their advisory activities. Management fees are largely based on a percentage of assets under management. Incentive fees are based on a percentage of
the investment returns of certain clients’ portfolios. GCIA is an investment adviser registered with the Securities and Exchange Commission under the Investment Advisers Act of 1940, as amended (the “Advisers Act”).
PMV Consumer Acquisition Corp.
On September 22, 2020, Associated Capital announced the $175 million initial public offering of its special purpose acquisition corporation, PMV Consumer Acquisition Corp. (NYSE:PMVC).
PMV Consumer Acquisition Corp. (“PMV”, or “PMV SPAC”) was created to pursue an initial business combination following the consumer globally with
companies having an enterprise valuation in the range of $200 million to $3.5 billion. PMV Consumer Acquisition Holding Company, LLC (“Sponsor”) was created to assist PMV in sourcing, analyzing and consummating acquisition opportunities for that initial business
combination.
The Sponsor and PMV have been consolidated in the financial statements of AC beginning in September 2020 because AC has a controlling financial
interest in these entities. This resulted in the consolidation of $163.8 million of assets, $11.5 million of liabilities, $161.8 million of redeemable
noncontrolling interests and $1.8 million of noncontrolling interests relating to PMV and the Sponsor as of December 31, 2021. In
addition, there are several other entities that are consolidated within the financial statements. The details on the impact of consolidating these entities on the consolidated financial statements can be seen in Note E.
Investment Partnerships and Other Entities.
See Note E for a further discussion of PMV Consumer Acquisition Corp. as well as its registration statement, Annual Reports, and Quarterly
Reports, which are all located on the U.S. Securities and Exchange Commission website https://www.sec.gov under the symbol PMVC.
AC Spin-off
On November 30, 2015, GAMCO Investors, Inc. (“GAMCO” or “GBL”) distributed all the outstanding shares of each class of AC common stock on a pro
rata one-for-one basis
to the holders of each class of GAMCO’s common stock (the “Spin-off”).
As part of the Spin-off, AC received 4,393,055
shares of GAMCO Class A common stock for $150 million. The Company currently holds 2,417,500 shares as of December 31, 2021.
Morgan Group Spin-off
On March 16, 2020, the Company’s Board of Directors approved the spin-off of Morgan Group Holding Co. (“Morgan Group”) to AC’s shareholders. On
August 5, 2020, AC distributed its 83.3% stake in Morgan Group to shareholders of record as of July 30, 2020. Following the 1 for 100 reverse split on June 10, 2020, AC shareholders received approximately 0.022356 shares of Morgan Group common stock for each share of AC common stock they held.
The historical financial results of Morgan Group have been reflected in the Company’s consolidated financial statements as discontinued
operations for all periods presented through August 5, 2020.
|
Significant Accounting Policies |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Significant Accounting Policies [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Significant Accounting Policies |
B. Significant Accounting Policies
Consolidated Financial Statements
All material intercompany transactions and balances have been eliminated. Subsidiaries are fully consolidated from the date the Company obtains
control and continue to be consolidated until the date that such control ceases. The Company’s principal market is in the United States.
Amounts in Note E, Investment Partnerships and Other Entities, related to PMV SPAC were reported in the impact of consolidating VOE table as of December 31, 2020. This
prior year disclosure in Note E has been revised to correctly include the assets, liabilities, redeemable noncontrolling interests and total net interests of PMV SPAC of $14.1 million in the VIE table.
Use of Estimates
The preparation of the consolidated financial statements in conformity with accounting principles generally accepted in the United States of America
(“GAAP”) requires management to make estimates and assumptions that affect the amounts reported on the consolidated financial statements and accompanying notes. Actual results could differ from those estimates.
Cash and Cash Equivalents
Cash equivalents primarily consist of an affiliated money market mutual fund which is highly liquid. U.S. Treasury Bills and Notes with maturities
of three months or less at the time of purchase are also considered cash equivalents.
Investments in Securities
Securities owned are recorded at fair value in the statements of financial condition with any unrealized gains or losses reported in current period
earnings in net gain from investments on the consolidated statements of income. Securities transactions and any related gains and losses are recorded on a trade date basis. Realized gains and losses from securities transactions are recorded on the
specific identified cost basis and are included in net gain from investments on the consolidated statements of income.
Management determines the appropriate classification of debt securities at the time of purchase. Government debt securities with maturities of
greater than three months at the time of purchase are considered investments in debt securities. A majority of our investments in debt securities are accounted for as trading securities, except in 2020 in which investments in marketable securities
held in trust by PMV were accounted for as held to maturity.
Investments in securities are reflected in U.S. Treasury Bills, investments in equity securities, investments in affiliated registered investment
companies and investments in marketable securities held in trust.
Securities sold, but not yet purchased are recorded on the trade date, and are stated at fair value and represent obligations of AC to purchase the
securities at prevailing market prices. Therefore, the future satisfaction of such obligations may be for an amount greater or less than the amounts recorded on the consolidated statements of financial condition. The ultimate gains or losses
recognized are dependent upon the prices at which these securities are purchased to settle the obligations under the sales commitments. Unrealized gains and losses and realized gains and losses from covers of securities sold, not yet purchased
transactions are included in net gain from investments on the consolidated statements of income.
Fair Value of Financial Instruments
The Company’s assets and liabilities recorded at fair value have been categorized based upon a fair value hierarchy in accordance with the guidance
on fair value measurement. The levels of the fair value hierarchy and their applicability to the Company are described below:
In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, the level in the
fair value hierarchy in which the fair value measurement in its entirety falls has been determined based on the lowest level input that is significant to the fair value measurement in its entirety. The Company’s assessment of the significance of a
particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the asset or liability.
The availability of observable inputs can vary from instrument to instrument and is affected by a wide
variety of factors, including, for example, the type of instrument, whether the instrument is new and not yet established in the marketplace, and other characteristics particular to the
instrument. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of judgment exercised by the Company in
determining fair value is greatest for instruments categorized as Level 3.
In the absence of a closing price, an average of the bid and ask price is used. Bid prices reflect the highest price that market participants are willing to pay for an
asset. Ask prices represent the lowest price that market participants are willing to accept for an asset.
Cash equivalents—Cash equivalents primarily consist of short-term Treasury Bills and an affiliated money market
mutual fund which is invested solely in U.S. Treasury securities and valued based on the net asset value of the fund. Other cash equivalents are valued using unadjusted quoted market prices. Accordingly, cash equivalents are categorized in Level 1
of the fair value hierarchy.
Investments in securities—Investments in securities and securities sold not yet purchased are generally valued based
on quoted prices from an exchange. To the extent these securities are actively traded, valuation adjustments are not applied, and they are categorized in Level 1 of the fair value hierarchy. Securities categorized as Level 2 investments are valued
using other observable inputs. Nonpublic and infrequently traded investments are included in Level 3 of the fair value hierarchy because significant inputs to measure fair value are unobservable.
Investment in note receivable from affiliate – Investment in note receivable from affiliate is not measured at fair
value on a recurring basis, however fair value is estimated based on observed market inputs for similar instruments and therefore, is classified as Level 2.
PMV warrant liability - PMV warrant liability is valued based on quoted prices from an exchange and is categorized
in Level 1 of the fair value hierarchy.
Investments in marketable securities held in trust account
At December 31, 2021 and 2020, debt securities of our consolidated SPAC, PMV, are held in a trust account and consist of U.S. Treasury Bills accounted for as trading and
held-to-maturity, respectively, in accordance with ASC 320 “Investments – Debt and Equity Securities.” Trading securities are recorded at fair value, with changes in fair value recorded in the consolidated statements of income. Held-to-maturity
treasury securities are recorded at amortized cost on the accompanying consolidated balance sheet and adjusted for the amortization or accretion of premiums or discounts.
Receivables from Affiliates and Payables to Affiliates
Receivables from affiliates consist primarily of sub-advisory fees due from Gabelli Funds, LLC, a subsidiary of GAMCO. Payables to affiliates primarily consist of expenses paid by affiliates on
behalf of the Company pursuant to a transitional services agreement with GAMCO entered into in connection with the AC Spin-off.
Receivables from and Payables to Brokers
Receivables from and payables to brokers consist of amounts related to purchases and sales of securities, restricted cash held on deposit and cash amounts
held in anticipation of investment.
Consolidation
The Company assesses all entities with which it is involved for consolidation on a case by case basis depending on the specific facts and
circumstances surrounding each entity. Pursuant to accounting guidance, the Company first evaluates whether it holds a variable interest in an entity. The Company considers all economic interests, including proportionate interests through related
parties, to determine if such interests are considered a variable interest. Fees paid to the Company that are customary and commensurate with the level of services provided from entities in which the Company does not hold more than an insignificant
economic interest are not considered as a variable interest.
For any entity where the Company has determined that it does hold a variable interest, the Company performs an assessment to determine whether it
qualifies as a variable interest entity (“VIE”). The granting of substantive kick-out or participating rights is a key consideration in determining whether a limited partnership or similar entity is a VIE and whether or not that entity should be
consolidated. The Company evaluates for consolidation on a case by case basis those VIEs in which substantive kick-out or participating rights have been granted to the unaffiliated investors to either dissolve the fund or remove the general partner.
Under the variable interest entity model, the Company consolidates those entities where it is determined that the Company is the primary beneficiary
of the entity. The Company is determined to be the primary beneficiary when it has a controlling financial interest in the VIE, which is defined as possessing both (i) the power to direct the activities of the VIE that most significantly impact the
VIE’s economic performance and (ii) the obligation to absorb losses of the VIE or the right to receive benefits from the VIE that could potentially be significant to the VIE. When the Company alone is not considered to have a controlling financial
interest in the VIE but the Company and its related parties under common control in the aggregate have a controlling financial interest in the VIE, the Company will be deemed the primary beneficiary if it is the party that is most closely associated
with the VIE. When the Company and its related parties not under common control in the aggregate have a controlling financial interest in the VIE, the Company would be deemed to be the primary beneficiary if substantially all the activities of the
entity are performed on behalf of the Company.
The Company determines whether it is the primary beneficiary of a VIE at the time it becomes initially involved with the VIE and reconsiders that
conclusion as required. Investments and redemptions (either by the Company, related parties or third parties) or amendments to the governing documents of the respective entity may affect an entity’s status as a VIE or the determination of the primary
beneficiary.
Entities that do not qualify as VIEs are assessed for consolidation as voting interest entities (“VOEs”) under the voting interest model. The
Company evaluates whether the entity should be evaluated under the guidance for partnerships and similar entities, or corporations, and consolidates those entities it controls through a majority voting interest or other means. If the Company is the
general partner or managing member it generally will not be required to consolidate a VOE.
The Company records noncontrolling interests in consolidated entities for which the Company’s ownership is less than 100%. Refer to Noncontrolling Interests below for additional information.
Investments in Partnerships and Affiliates
The Company is general partner or co-general partner of various affiliated entities. We also have investments in unaffiliated partnerships, offshore
funds and other entities (collectively, “unaffiliated entities”). Given that we are not a general partner or investment manager in any unaffiliated entity, we neither earn any management or incentive fees nor have a controlling financial interest in
such entity. We do not consolidate any unaffiliated entity.
The balance sheet caption investments in partnerships includes investments in both affiliated and unaffiliated entities.
The Company accounts for its investments in partnerships and affiliates under the equity method. Substantially all of the Company’s equity method
investees are entities that record their underlying investments at fair value and are included in investments in partnerships. Therefore, under the equity method of accounting, the Company’s share of the investee’s underlying net income
predominantly represents fair value adjustments in the investments held by the equity method investees. The Company’s share of the investee’s underlying net income or loss is based upon the most currently available information and is recorded as net
gain from investments on the consolidated statements of income. Capital contributions are recorded as an increase in investments when paid, and withdrawals and distributions are recorded as reductions of the investments when received. Depending on
the terms of the investment, the Company may be restricted as to the timing and amounts of withdrawals.
Derivative Financial Instruments
The Company recognizes all derivatives as either assets or liabilities measured at fair value and includes such derivatives in either investments in
securities or securities sold, not yet purchased on the consolidated statements of financial condition. From time to time, the Company will enter into hedging transactions to manage its exposure to foreign currencies or equity prices related to its
proprietary investments. Except for a foreign exchange contract entered into by the Company, these transactions are not designated as hedges for accounting purposes, and changes in fair values of these derivatives are included in net gain from
investments on the consolidated statements of income. See Note D, Investments in Securities, for additional information.
Major Revenue-Generating Services and Revenue Recognition
The Company’s revenues are derived primarily from investment advisory and incentive fees.
Investment advisory and incentive fees are directly influenced by the level and mix of AUM as fees are derived from a contractually-determined
percentage of the balance of each account as well as a percentage of the investment performance of certain accounts. Management fees from Investment Partnerships and offshore funds are computed either monthly or quarterly, and amounts receivable are
included in investment advisory fees receivable on the consolidated statements of financial condition. These revenues vary depending upon the level of capital flows, financial market conditions, investment performance and the fee rates applicable to
each account.
Incentive allocations or fees are generally recognized at the end of an annual measurement period and amounts receivable are included in investment
advisory fees receivable on the consolidated statements of financial condition.
The Company’s major revenue sources are as follows:
Investment advisory and incentive fees. The Company and its subsidiaries act as general partner, investment manager or sub-advisor to investment funds and/or separately managed accounts of institutional investors (e.g., corporate pension plans). The fees that are
paid to the Company are set forth in the offering documents for the investment fund or the separately managed account agreement. Investment advisory and incentive fee revenue consists of:
The Company reserves the right to waive or reduce asset-based and performance-based fees with respect to certain investors in the investment funds
which may include investments by employees and other related parties. Advisory and incentive fees payable by investment funds are typically approved by third-party administrators and paid directly from the accounts’ assets. Such fees attributable to
separate accounts may be subject to review and approval by the client and may be paid either from the accounts’ assets or directly by the client.
Our advisory fee revenues are influenced by both the amount of AUM and the investment performance of our products. An overall decline in the prices
of securities may cause our advisory fees to decline by either causing the value of our AUM to decrease or causing our clients to withdraw funds in favor of investments they perceive to offer greater opportunity or lower risk. Similarly, success in
the investment management business is dependent on investment performance as well as distribution and client services. Good performance can stimulate sales of our investment products and tends to keep withdrawals and redemptions low, which generates
higher asset-based management fees. Conversely, poor performance, both in absolute terms and/or relative to peers and industry benchmarks, tends to result in decreased sales, increased withdrawals and redemptions and in the loss of clients, with
corresponding decreases in revenues to us.
Depreciation
Fixed assets are recorded at cost and depreciated using the straight-line method over their estimated useful lives of
to thirty-nine years and are included
in other assets on the consolidated statements of financial condition.Fixed assets as of December 31, 2021 and 2020 consisted of the following:
Allocated Expenses
The Company is charged or incurs certain overhead expenses that are paid by, or paid on our behalf by, other affiliates and are included in other
operating expenses on the consolidated statements of income. These overhead expenses primarily relate to centralized functions including finance and accounting, legal, compliance, treasury, tax, internal audit, information technology, human resources
and risk management. These overhead expenses are allocated to the Company by other affiliates (primarily GAMCO) or allocated by the Company to other affiliates as the expenses are incurred, based upon direct usage when identifiable, or by revenue,
headcount, space or other allocation methodologies periodically reviewed by the management of the Company and the affiliates.
The compensation expense and related payroll taxes and benefits of certain dual employees that provide services to both AC and affiliates are
allocated based upon the relative time each employee devotes to each affiliate. These allocated compensation expenses are included in compensation on the consolidated statements of income.
All of the allocations and estimates in the financial statements are based on assumptions that management of AC believes are reasonable. However,
these allocations may not be indicative of the actual expenses we would have incurred or may incur in the future.
Management Fee
Management fee expense in the amount of 10%
of the aggregate pre-tax profits, before consideration of this fee and before consideration of the income attributable to consolidated funds and partnerships, is paid to the Executive Chair or his designees in accordance with his employment
agreement.
Stock-Based Compensation
From time to time, the Company’s Board of Directors approves grants of Phantom Restricted Stock awards (“Phantom RSAs”). The Phantom RSAs are
settled by a cash payment, net of applicable withholding tax, on the vesting dates. In addition, an amount equivalent to the cumulative dividends declared on shares of the Company’s Class A common stock during the vesting period will be paid to
participants on vesting.
The Phantom RSAs are accounted for as a liability because cash settlement is required and compensation will be recognized over the vesting period.
The Company amortizes each award based on the applicable vesting period. In determining the compensation expense to be recognized each period, the Company will remeasure the fair value of the liability at each reporting date taking into account the
remaining vesting period attributable to each award and the current market value of the Company’s Class A stock. In making these determinations, the Company will consider the impact of Phantom RSAs that have been forfeited prior to vesting (e.g., due
to an employee termination). The Company has elected to consider forfeitures as they occur.
Goodwill
Goodwill is initially measured as the excess of the cost of an acquired business over the sum of the fair value assigned to assets acquired less the
liabilities assumed. Goodwill is tested for impairment at least annually on November 30th and whenever certain triggering events are met. In assessing the recoverability of goodwill as of November 30, 2021 and 2020, we performed a qualitative
assessment of whether it was more likely than not that an impairment had occurred and concluded that a quantitative analysis was not required. As such, no
impairment was recorded during 2021 or 2020.
Income Taxes
For purposes of the preparation of the consolidated financial statements, the provision for income taxes is computed using the asset and liability
method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the consolidated financial statements. Under this method, deferred tax assets and liabilities
are determined based on the differences between the financial statement and tax basis of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to reverse. The effect of a change in tax rates on
deferred tax assets and liabilities is recognized in income tax expense/benefit in the period that includes the enactment date of the change in tax rate.
The Company records net deferred tax assets to the extent the Company believes these assets will more likely than not be realized. A valuation
allowance would be recorded to reduce the carrying value of deferred tax assets to the amount that is more likely than not to be realized. In making such a determination of whether a valuation allowance is necessary, the Company considers all
available positive and negative evidence, including future reversals of existing taxable temporary differences, projected future taxable income, tax-planning strategies, and results of recent operations. In the event the Company were to determine
that the Company would be able to realize the Company’s deferred income tax assets in the future in excess of their net recorded amount, the Company would make an adjustment to the deferred tax asset valuation allowance, which would reduce the
provision for income taxes.
For uncertain tax positions the Company first determines whether it is more likely than not that the tax positions will be sustained based on the
technical merits of the position. For those tax positions that meet the more-likely-than-not recognition threshold, the Company recognizes the largest amount of tax benefit that is greater than 50% likely to be realized upon ultimate settlement with
the related tax authority. The Company recognizes the accrual of interest on uncertain tax positions and penalties in income tax provision on the consolidated statements of income. Accrued interest and penalties on uncertain tax positions are
included within accrued expenses and other liabilities on the consolidated statements of financial condition.
Noncontrolling Interests
Noncontrolling interests in Investment Partnerships or other entities that are redeemable at the option of the holder are classified as redeemable
noncontrolling interests in the mezzanine section of the consolidated statements of financial condition between liabilities and equity. Noncontrolling interests in other entities that are not redeemable at the option of the holder are classified as
such as a separate component of shareholder’s equity.
Redeemable noncontrolling Interests-PMV
The Company accounts for the common stock held by noncontrolling interest holders of our consolidated SPAC, PMV, as subject to possible redemption
in accordance with the guidance in Accounting Standards Codification (“ASC”) Topic 480 “Distinguishing Liabilities from Equity.” Conditionally redeemable common stock (including common stock that features redemption rights that is either within the
control of the holder or subject to redemption upon the occurrence of uncertain events not solely within the Company’s control) is classified as temporary equity. PMVs common stock features certain redemption rights that are considered to be outside
of the Company’s control and subject to occurrence of uncertain future events. Accordingly, at December 31, 2021, common stock held by noncontrolling interest holders is presented at redemption value in redeemable noncontrolling interests, outside of
the stockholders’ equity section of the Company’s balance sheet.
The discount amount related to the issuance of redeemable noncontrolling interest is being amortized
over a period of 18 months through an adjustment to additional paid-in capital and noncontrolling interest (proportionate to our ownership of the SPAC Sponsor) and is also adjusted periodically for income/loss allocated to redeemable
noncontrolling interest.
For the years ended December 31, 2021 and 2020, net income/(loss) attributable to noncontrolling interests on the consolidated statements of income
represents the share of net income/(loss) attributable to third-party investors in consolidated funds.
PMV Warrant Liability
In connection with their initial public offering, PMV sold 17,500,000 Units, at $10.00 per Unit. Each Unit consists of one share of Class A common stock and
of one redeemable warrant (“Public Warrant”).The Company accounts for warrants as either equity-classified or liability-classified instruments based on an assessment of the warrant’s specific
terms and applicable authoritative guidance in Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 480, Distinguishing Liabilities from Equity (“ASC 480”) and ASC 815, Derivatives and Hedging (“ASC 815”). The
assessment considers whether the warrants are freestanding financial instruments pursuant to ASC 480, meet the definition of a liability pursuant to ASC 480, and whether the warrants meet all of the requirements for equity classification under ASC
815, including whether the warrants are indexed to the Company’s own ordinary shares, among other conditions for equity classification. This assessment, which requires the use of professional judgment, is conducted at the time of warrant issuance and
as of each subsequent quarterly period end date while the warrants are outstanding.
For warrants that do not meet all the criteria for equity classification, the warrants are required to be recorded at their initial fair value on
the date of issuance, and each balance sheet date thereafter. Changes in the estimated fair value of the warrants are recognized in net gain from investments on the consolidated statements of income.
The warrant liability related to the Public Warrant was charged against the redeemable noncontrolling interest of PMV.
Offering Costs
Offering costs incurred by the initial public offering of PMV consist of legal, accounting, underwriting fees and other costs. Offering costs
amounting to $9,957,390, including deferred underwriting fees of $6,125,000, net of a $175,000 credit paid by the underwriter, were allocated as
follows, $502,848 in offering costs was charged to expense and $9,454,542 was charged to redeemable noncontrolling interest of PMV, similar to the warrant liability.
Concentration of Credit Risk
Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash and cash equivalents and
receivables from brokers. The Company maintains cash and cash equivalents primarily in the Gabelli U.S. Treasury Money Market Fund, which invests fully in instruments issued by the U.S. government. Receivables from brokers and financial institutions
can exceed the federally insured limit. The concentration of credit risk with respect to advisory fees and incentive fees, which are included in investment advisory fees receivable and receivables from affiliates on the consolidated statements of
financial condition, is generally limited due to the short payment terms extended to clients by the Company. All investments in securities are held at third party brokers or custodians.
Business Segment
The Company operates in one business
segment. The Company’s chief operating decision maker reviews the Company’s financial performance at an aggregate level.
Recent Accounting Developments
In June 2016, the FASB issued ASU 2016-13, Accounting for Financial Instruments - Credit Losses (Topic 326)
(“ASU 2016-13”), which requires an organization to measure all expected credit losses for financial assets held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Currently, U.S. GAAP
requires an “incurred loss” methodology that delays recognition until it is probable a loss has been incurred. Under ASU 2016-13, the allowance for credit losses must be deducted from the amortized cost of the financial asset to present the net
amount expected to be collected. The Statement of Income will reflect the measurement of credit losses for newly recognized financial assets as well as the expected increases or decreases of expected credit losses that have taken place during the
period. In November 2019, the FASB issued ASU 2019-10, which deferred the effective date of this guidance for smaller reporting companies for three years. This guidance is effective for the Company on January 1, 2023 and requires a modified
retrospective transition method, which will result in a cumulative-effect adjustment in retained earnings upon adoption. Early adoption is permitted. The Company is currently assessing the potential impact of this new guidance on the Company’s
consolidated financial statements.
In January 2017, the FASB issued ASU 2017-04, Intangibles – Goodwill and Other, to simplify the process
used to test for impairment of goodwill. Under the new standard, an impairment loss must be recognized in an amount equal to the excess of the carrying amount of a reporting unit over its fair value, limited to the total amount of goodwill allocated
to that reporting unit. As a smaller reporting company pursuant to ASU 2019-10, the ASU is effective for the Company on January 1, 2023. Further, a prospective transition method and early adoption is permitted. The Company is currently evaluating
the potential effect of this new guidance on the Company’s consolidated financial statements.
In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes. The amendments simplify the
accounting for income taxes by removing certain exceptions to the general principles in Topic 740. The amendments also improve consistent application of and simplify US GAAP for other areas of Topic 740 by clarifying and amending the existing
guidance. We adopted this standard prospectively on January 1, 2021. The adoption of this standard did not have a material impact on our financial condition or results of operations.
|
Revenue |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenue [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenue |
C. Revenue
The Company’s revenue is accounted for as contracts with customers, and the timing of revenue recognition is based on the Company’s analysis of
the provisions of each respective contract. Depending upon the specific terms, revenue may be recognized over time or at a point in time. Modifications to contracts may affect the timing of the satisfaction of performance obligations, the
determination of the transaction price, and the allocation of the price to performance obligations, any of which may impact the timing of the recognition of the related revenue.
Total revenues by type were as follows for the years ended December 31, 2021 and 2020 (in thousands):
|
Investments in Securities |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investments in Securities [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investments in Securities |
D. Investments in Securities
Investments in securities at December 31, 2021 and 2020 consisted of the following (in thousands):
Our held to maturity investments at December 31, 2021 and 2020 consisted of the following (in thousands):
(1) Investment in note
receivable from affiliate relates to 2-Year Puttable and Callable Subordinated Notes due 2023 issued as part of a 2021 special
dividend on GAMCO’s Class A Common Stock and Class B Common Stock. The Company has the intent to hold these investments until maturity, and as such they were recorded at amortized cost.
(2) At December 31, 2020,
marketable securities held in the trust account through PMV were comprised primarily of U.S. Treasury Bills which mature in less than one year with an amortized cost and fair value of approximately $175 million, due to the short maturity profile.
Securities sold, not yet purchased at December 31, 2021 and 2020 consisted of the following (in thousands):
Investments in affiliated registered investment companies at December 31, 2021 and 2020 consisted of the following (in thousands):
|
Investment Partnerships and Other Entities |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investment Partnerships and Other Entities [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investment Partnerships and Other Entities |
E. Investment Partnerships and Other Entities
The Company is general partner or co-general partner of various affiliated entities whose underlying assets consist primarily of marketable
securities (“Affiliated Entities”). We also had investments in unaffiliated partnerships, offshore funds and other entities of $41.9
and $24.9 million at December 31, 2021 and 2020, respectively (“Unaffiliated Entities”). We evaluate each entity to determine its
appropriate accounting treatment and disclosure. Certain of the Affiliated Entities, and none of the Unaffiliated Entities, are consolidated.
Investments in partnerships that are not required to be consolidated are accounted for using the equity method and are included in investments
in partnerships on the consolidated statements of financial condition. The Company had investments in Affiliated Entities totaling $112.6
million and $99.1 million at December 31, 2021 and 2020 respectively. The Company reflects the equity in earnings of these Affiliated
Entities and Unaffiliated Entities as net gain from investments on the consolidated statements of income.
The summarized financial information of the Company’s equity method investments as of and for the years ended December 31, 2021 and 2020 are as
follows:
Capital may generally be redeemed from Affiliated Entities on a monthly basis upon adequate notice as determined in the sole discretion of each
entity’s investment manager. Capital invested in Unaffiliated Entities may generally be redeemed at various intervals ranging from monthly to annually upon notice of 30 to 95 days. Certain Unaffiliated Entities and Affiliated Entities may
require a minimum investment period before capital can be voluntarily redeemed (a “Lockup Period”). No investment in an Unaffiliated Entity has an unexpired Lockup Period. The Company has no outstanding capital commitments to any Affiliated or
Unaffiliated Entity.
PMV Consumer Acquisition Corp.
The Company consolidates the assets, liabilities and the results of operations of both PMV and Sponsor. The Company invested $4.0 million, or approximately 62% of
the $6.48 million total Sponsor partnership commitment. The Sponsor is managed primarily by Company executives. The Company has
determined that the Sponsor is a variable interest entity (VIE) and that the Company is the primary beneficiary and therefore consolidates the assets and liabilities and results of operations of the Sponsor. In addition, the Company has
determined that PMV is a VIE due to the lack of equity at risk and therefore is consolidated by the Sponsor, who is deemed to be the primary beneficiary. Neither AC nor PMV have a right to the benefits from nor does it bear the risks associated
with the U.S Treasury Bills held in trust assets held by PMV. Further, if the Company were to liquidate, the marketable securities held in trust assets would not be available to its general creditors, and as a result, the Company does not
consider these assets available for the benefit of its investors.
The registration statement for the PMV initial public offering was declared effective on September 21, 2020. On September 24, 2020, PMV
consummated the initial public offering of 17,500,000 units (the “Units” and, with respect to the shares of common stock included in
the Units Sold, the “Public Shares”), at $10.00 per Unit, generating gross proceeds of $175,000,000.
Simultaneously with the closing of the initial public offering, PMV consummated the sale of 6,150,000 warrants (the “Private Warrants”) at a price of $1.00
per Private Warrant in a private placement to the Sponsor, generating gross proceeds of $6,150,000.
AC invested $10 million in the
Class A shares in PMV and the Sponsor invested $6.15 million in Private Warrants, both of which eliminate in the consolidation of PMV.
Following the closing of the initial public offering on September 24, 2020, an amount of $175,000,000 ($10.00 per Unit) from the net proceeds of the sale of the Units
in the initial public offering and the sale of the Private Warrants was placed in a trust account (the “Trust Account”) located in the United States, which are generally invested in U.S. Treasury Bills.
PMV will have until September 24, 2022 to complete a business combination. If PMV is unable to complete a business combination by September 24,
2022, PMV will cease all operations except for the purpose of winding up, and as promptly as reasonably possible but not more than
business days thereafter, redeem the Public Shares, at a per-share price, payable in cash, equal to the aggregate amount then on deposit in the Trust Account including interest earned on the funds held in the Trust Account. The deferred fee will
be forfeited by the underwriters solely in the event that we fail to complete a business combination within the required time period, subject to the terms of the underwriting agreement.The following table reflects the net impact of the consolidated investment partnerships and other entities (“Consolidated Entities”) on the
consolidated statements of financial condition (in thousands):
The following table reflects the net impact of the Consolidated Entities on the consolidated statements of income (in thousands):
Variable Interest Entities
With respect to each consolidated VIE, its assets may only be used to satisfy its obligations. The investors and creditors of any consolidated
VIE have no recourse to the Company’s general assets. In addition, the Company neither benefits from such VIE’s assets nor bears the related risk beyond its beneficial interest in the VIE.
The following table presents the balances related to VIEs that are consolidated and included on the consolidated statements of financial
condition as well as the Company’s net interest in these VIEs (in thousands):
Voting Interest Entities
We have an investment partnership that is consolidated as a VOE for both 2021 and 2020 because AC has a controlling interest in the entity. This
resulted in the consolidation of $109.3 million of assets, $8.4 million of liabilities, and $40.1 million of redeemable noncontrolling
interests for 2021 and $112.6 million of assets, $13.6 million of liabilities, and $39.4 million of redeemable noncontrolling
interests for 2020. AC’s net interest in the consolidated VOE for 2021 and 2021 was $60.8 million and $59.6 million, respectively.
Equity Method Investments
The Company’s equity method investments include investments in partnerships and offshore funds. These equity method investments are not
consolidated but on an aggregate basis exceed 10% of the Company’s consolidated total assets or income.
|
Fair Value |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value |
F. Fair Value
The following tables present information about the Company’s assets and liabilities by major category measured at fair value on a recurring
basis as of December 31, 2021 and 2020 and indicate the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value.
The following tables present assets and liabilities measured at fair value on a recurring basis as of the dates specified (in thousands):
The following table presents additional information about assets and liabilities by major category measured at fair value on a recurring basis
as of the dates specified (in thousands) and for which the Company has utilized Level 3 inputs to determine fair value:
There was no PMV Warrant
liability balance for the year ended December 31, 2020.
Total realized and unrealized gains and losses for level 3 assets are reported in net gain from investments in the consolidated statements of
income.
During the year ended December 31, 2021, the Company transferred no investments from Level 1 to Level 3. For the year ended December 31, 2020,
the Company transferred investments with a value of approximately $2,221,000, respectively, from Level 1 to Level 3 due to the
unavailability of observable inputs. For the years ended December 31, 2021 and 2020, the Company transferred investments with a value of approximately $359,000
and $109,000 from Level 3 to Level 1 due to increased availability of market price quotations.
Transfers out of Level 3 liabilities during the year ended December 31, 2021 reflected the transfer of the PMV Warrant Liability to Level 1
principally due to increased availability of market price quotations.
The aforementioned warrant liabilities are not subject to qualified hedge accounting.
The following table presents the carrying amounts and estimated fair values of financial assets that are not measured at fair value on a
recurring basis (in thousands) and their respective levels within the fair value hierarchy:
|
Income Taxes |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income Taxes [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income Taxes |
G. Income Taxes
The provision for income taxes for the years ended December 31, 2021 and 2020 consisted of the following (in thousands):
A reconciliation of the federal statutory rate to the effective tax rate for the years ended December 31, 2021 and 2020 is set forth below:
Significant components of our deferred tax assets and liabilities as of December 31, 2021 and 2020 are as follows (in thousands):
The Company believes that it is more-likely-than-not that the benefit from a portion of the shareholder-designated charitable contribution
carryforwards will not be realized. In recognition of this risk, the Company has provided a valuation allowance of $1,336 and $1,844 as of December 31, 2021 and 2020, respectively, on the deferred tax assets related to these charitable contribution carryforwards.
The Company records penalties and interest related to tax uncertainties in income taxes. These amounts are included in accrued expenses and
other liabilities on the consolidated statements of financial condition. As of and for the periods ended December 31, 2021 and 2020, the Company had not established a liability for uncertain tax positions as no such positions existed.
The Company remains subject to income tax examination by the IRS for the years 2018 through 2020 and state examinations for years after 2016.
Prior to 2021 the Company filed certain state and local tax returns jointly with GAMCO under a tax sharing agreement.
|
Earnings per Share |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings per Share [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings per Share |
H. Earnings per Share
Basic earnings per share is computed by dividing net income/(loss) attributable to our shareholders by the weighted average number of shares
outstanding during the period. Diluted earnings per share is computed by dividing net income/(loss) attributable to our shareholders by the weighted average number of shares, plus any potentially dilutive securities (if any) outstanding during
the period.
The computations of basic and diluted net income/(loss) per share are as follows (in thousands, except per share data):
|
Related Party Transactions |
12 Months Ended |
---|---|
Dec. 31, 2021 | |
Related Party Transactions [Abstract] | |
Related Party Transactions |
I. Related Party Transactions
The following is a summary of certain related party transactions.
GGCP, Inc., a private company controlled by the Executive Chair, indirectly owns a majority of our Class B stock, representing approximately 96% of the combined voting power and 84%
of the outstanding shares of our common stock at December 31, 2021.
Investments in Securities
At December 31, 2021 and 2020, the value of the Company’s investment in GAMCO common stock (GBL) was $60.4 million and $48.9 million, respectively. As of December
31, 2021 and 2020, AC and its subsidiaries own approximately 2.4 million and 2.8 million shares respectively of GAMCO Class A stock. The Company recorded investment income of $5.4 million and $2.8 million in 2021 and 2020, respectively
from GAMCO which is included in interest and dividend income on the consolidated statements of income. For the year, the GBL stock price increased 40.8%
to $24.98 per share, resulting in a $20.4
million net realized and unrealized gain for the Company versus a net realized and unrealized loss of $5.5 million in 2020.
At December 31, 2021 and 2020, the Company invested $6.0 million and $31.5 million, respectively, in the Gabelli U.S. Treasury Money Market Fund, which is
recorded in cash and cash equivalents on the consolidated statements of financial condition. For the year ended December 31, 2021, the Company earned insignificant interest and for the year ended December 31, 2020, the Company earned $1.6 million from the investment in this fund.
Investments in equity mutual funds advised by our affiliates (primarily Gabelli Funds, an investment advisor under common control with the
Company), totaled $134.5 million and $170.7
million at December 31, 2021 and 2020, respectively, and are included in investments in affiliated registered investment companies on the consolidated statements of financial condition. Included in other income/(expense) are $24.2 million and $12.0 million of gains
from investments and dividends related to these funds for the years ending December 31, 2021 and 2020, respectively.
Investments in Partnerships
The Company serves as an investment advisor and/or general partner for certain affiliated investment partnerships and receives management fees
and performance-based incentive fees for providing such services. Investment advisory and incentive fees relating to such services were $12.0
million and $10.5 million for the years ending December 31, 2021 and 2020 respectively, and are included in investment advisory and
incentive fees on the consolidated statements of income. We had an aggregate investment in these affiliated Investment Partnerships of approximately $112.6
million and $99.1 million at December 31, 2021 and 2020, respectively.
Investment Advisory Services
Pursuant to a sub-advisory agreement between Gabelli & Company Investment Advisors, Inc.
(“GCIA”), a wholly owned subsidiary of the Company, and Gabelli Funds, Gabelli Funds pays GCIA 90% of the net revenues received by
Gabelli Funds related to investment advisory services provided to GAMCO International SICAV – GAMCO Merger Arbitrage, an investment company incorporated under the laws of Luxembourg (the “SICAV”). For this purpose, net revenues are defined as
gross advisory fees less expenses related to payouts and expenses of the SICAV paid by Gabelli Funds. GCIA received $8.9 million and
$7.2 million during 2021 and 2020, respectively under this sub-advisory agreement. These payments are included in investment advisory
and incentive fees on the consolidated statements of income. In addition, GAMCO makes certain payments to employees of the company primarily related to marketing of SICAV.
The Company also serves as sub-advisor to Gabelli Merger Plus+ Trust Plc., a closed-ended investment company based in the United Kingdom, which
is consolidated due the Company’s controlling interest in the entity. As such, the Company’s portion of management and/or incentive fees received for services provided are eliminated in the consolidation of the entity.
Compensation
In accordance with an employment agreement, the Company pays the Executive Chair, or his designated assignees, a management fee equal to 10% of the Company’s pretax profits before consideration of this fee and before consolidation of Investment Partnerships. In 2021 and 2020, the
Company recorded management fee expense of $8.4 million and $3.1 million, respectively. These fees are recorded as management fee on the consolidated statements of income.
Affiliated Receivables/Payables
At December 31, 2021 and 2020, the receivable and investment in note receivable from affiliates consisted primarily of sub-advisory fees due
from Gabelli Funds, and for 2021 the balance also included the 2-Year Puttable and Callable Subordinated Notes due 2023 issued as part
of a 2021 special dividend on GAMCO’s Class A Common Stock and Class B Common Stock.
There were no material payables to affiliates at December 31, 2021. At December 31, 2020, the payable to affiliates primarily consisted of
expenses paid by affiliates on behalf of the Company which were settled in 2021.
Leases
Our offices are owned by a wholly owned subsidiary of AC and are located at 191 Mason Street, Greenwich, CT 06830. A portion of the office space
is leased to affiliates. During 2021 AC received $118.1 thousand from affiliates (primarily GAMCO) pursuant to lease agreements for
this property. These amounts are included in other revenues on the consolidated statements of income.
AC acquired a building at 3 St. James Place, London, UK on March 3, 2020 which is fully leased to GAMCO commencing 2021. For the year ended
December 31, 2021, the Company received $275.4 thousand under the lease agreement. These amounts are included in other revenues on the
consolidated statements of income.
In June 2016, AC entered into a sublease agreement with GBL which is subject to annual renewal. Pursuant to the sublease, AC and its
subsidiaries pay a monthly fixed lease amount based on the percentage of square footage occupied by its employees (including pro rata allocation of common space) at GBL’s Rye office. For the years ended December 31, 2021 and 2020, the Company
paid $73.7 thousand and $144
thousand under the sublease agreement. These amounts are included in other operating expenses on the consolidated statements of income.
Other
AC and GBL entered into a transitional administrative and management services agreement in connection with the spin-off of AC from GBL on November 30, 2015. The
agreement calls for GBL to provide to AC certain administrative services including but not limited to: human resources, compliance, legal, payroll, information technology, and operations. The agreement is terminable by either party on 30 days’ prior written notice to the other party. All services provided under the agreement by GBL to AC or by AC to GBL are charged at cost. Amounts
charged under this agreement are included in compensation expense, if related to fixed or variable compensation, or other operating expenses, on the consolidated statements of income. For the years ended December 31, 2021 and 2020 we recorded $5.5 million and $4.1 million,
respectively, of compensation expense related to employees shared with GBL. In addition, we recorded approximately $1.8 million and $0.9 million of other operating expense, primarily related to GBL’s share of management and incentive fees in funds we consolidate and the ancillary
services provided by GBL as noted above, for the years ended December 31, 2021 and 2020 respectively. Certain officers and employees of the Company receive additional compensation from GBL.
|
Equity |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity |
J. Equity
Voting Rights
The holders of Class A Common stock (“Class A Stock”) and Class B Common stock (“Class B Stock”) have identical rights except that holders of
Class A Stock are entitled to one vote per share, while holders of Class B Stock are entitled to ten votes per share on all matters to be voted on by shareholders in general. Holders of each share class, however, are not eligible to vote on
matters relating exclusively to the other share class.
Stock Award and Incentive Plan
The Company maintains one stock
award and incentive plan (the “Plan”) approved by the shareholders on May 3, 2016, which is designed to provide incentives to attract and retain individuals key to the success of AC through direct or indirect ownership of our common stock.
Benefits under the Plan may be granted in any one or a combination of stock options, stock appreciation rights, restricted stock, restricted stock units, stock awards, dividend equivalents and other stock or cash-based awards. A maximum of 2 million shares of Class A Stock have been reserved for issuance under the Plan by the Compensation Committee of the Board of Directors (the
“Compensation Committee”) which is responsible for administering the Plan. Under the Plan, the Compensation Committee may grant restricted stock awards (“RSAs”) and either incentive or nonqualified stock options with a term not to exceed ten years from the grant date and at an exercise price that it may determine. Through December 31, 2021, approximately 0.7 million shares have been awarded under the Plan leaving approximately 1.3 million shares for future grants.
There were no RSAs
outstanding as of December 31, 2021 or 2020.
Based on the closing price of the Company’s Class A Common Stock on December 31, 2021 and 2020, the total liability recorded by the Company in
compensation payable in our consolidated statements of financial condition with respect to the Phantom RSAs was $3.0 million and $1.8 million, respectively.
The following table summarizes our stock-based compensation as well as unrecognized compensation for the periods ended December 31, 2021 and
2020 respectively. Stock-based compensation expense is included in compensation expense in the consolidated statements of income:
(1) Does not include an estimate for projected future dividends.
The following table summarizes Phantom RSA activity:
Stock Repurchase Program
In December 2015, the Board of Directors established a stock repurchase program authorizing the Company to repurchase up to 500,000 shares. On February 7, 2017, the Board of Directors reset the available number of shares to be purchased under the stock repurchase program to
500,000 shares. On August 3, 2017 and May 8, 2018, the Board of Directors authorized the repurchase of an additional 1 million and 500,000 shares,
respectively. Our stock repurchase program is not subject to an expiration date.
The following table presents the Company’s stock repurchase activity and remaining authorization:
(1) Repurchases totaled $7.6 million and $7.4 million in 2021
and 2020, respectively.
Dividends
During 2021 and 2020, the Company declared and paid dividends of $0.20 per share to class A and class B shareholders totaling $4.4 and $4.5 million, respectively.
|
Retirement Plan |
12 Months Ended |
---|---|
Dec. 31, 2021 | |
Retirement Plan [Abstract] | |
Retirement Plan |
K. Retirement Plan
The Company participates in an incentive savings plan (the “Savings Plan”) covering substantially all employees. Company contributions to the
Savings Plan are determined annually by management of the Company but may not exceed the amount permitted as a deductible expense under the Internal Revenue Code of 1986, as amended. The expense for contributions to the Savings Plan was
approximately $7,200 and $19,000
in 2021 and 2020, respectively, and is included in compensation on the consolidated statements of income.
|
Guarantees, Contingencies and Commitments |
12 Months Ended |
---|---|
Dec. 31, 2021 | |
Guarantees, Contingencies and Commitments [Abstract] | |
Guarantees, Contingencies and Commitments |
L. Guarantees, Contingencies and Commitments
From time to time, the Company may be named in legal actions and proceedings. These actions may seek substantial or indeterminate compensatory
as well as punitive damages or injunctive relief. We are also subject to governmental or regulatory examinations or investigations. The examinations or investigations could result in adverse judgments, settlements, fines, injunctions,
restitutions or other relief. For any such matters, the consolidated financial statements include the necessary provisions for losses, if any, that the Company believes are probable and estimable. Furthermore, the Company evaluates whether losses
exist which may be reasonably possible and will, if material, make the necessary disclosures. Management believes, however, that such amounts, both those that are probable and those that are reasonably possible, are not material to the Company’s
financial condition, results of operations or cash flows at December 31, 2021.
The Company has also entered into arrangements with various other third parties, many of which provide for indemnification of the third parties
against losses, costs, claims and liabilities arising from the performance of obligations under the agreements. The Company has had no claims or payments pursuant to these or prior agreements and believes the likelihood of a claim being made is
remote, and, therefore, no accrual has been made on the consolidated financial statements.
|
Shareholder Designated Contribution Plan |
12 Months Ended |
---|---|
Dec. 31, 2021 | |
Shareholder Designated Contribution Plan [Abstract] | |
Shareholder Designated Contribution Plan |
M. Shareholder Designated Contribution Plan
The Company has established a Shareholder Designated Charitable Contribution program. Under the program, from time to time each shareholder is
eligible to designate a charity to which the Company would make a donation at a rate of $0.30 per share based upon the actual number of
shares registered in the shareholder’s name. The Company recorded an expense of $4.8 million and $3.0 million related to this program for the years ended December 31, 2021 and 2020, respectively, which is included in shareholder-designated
contribution in the consolidated statements of income. As of December 31, 2021 and 2020, the Company has reflected a liability in the amount of $1.5
million and $2.0 million, respectively, in connection with this program which is included in accrued expenses and other liabilities on
the consolidated statement of financial condition.
|
Discontinued Operations |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Discontinued Operations [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Discontinued Operations |
N. Discontinued Operations
As a result of the Morgan Group spin-off, the results of its operations through August 5, 2020 have been classified in the consolidated
statements of income as discontinued operations for all periods presented. There was no gain or loss on the spin-off for the Company, and it was a tax-free spin-off to AC’s shareholders.
Other than a transition services agreement, Associated Capital does not have any significant continuing involvement in the operations of Morgan
Group after the spin-off, and Associated Capital will not have the ability to influence operating or financial policies of Morgan Group. All stockholders received 0.022356 shares of Morgan Group stock for each share of AC stock that they held on the record date for the distribution.
Operating results for the period from January 1, 2020 through August 5, 2020 were as follows:
For the year ended December 31, 2020, operating cash flows from discontinued operations was $114 thousand provided by operating activities. There were no
investing or financing cash flows for the period.
|
Subsequent Events |
12 Months Ended |
---|---|
Dec. 31, 2021 | |
Subsequent Events [Abstract] | |
Subsequent Events |
O. Subsequent Events
The Company evaluated subsequent events and transactions that occurred after the balance sheet date up to the date that the financial statements
were issued. Based upon this review, the Company did not identify any subsequent events that would have required adjustment or disclosure in the financial statements.
|
Organization (Policies) |
12 Months Ended |
---|---|
Dec. 31, 2021 | |
Organization [Abstract] | |
Organization |
Unless we have indicated otherwise, or the context otherwise requires, references in this report to “Associated Capital Group, Inc.,” “AC
Group,” “the Company,” “AC,” “we,” “us” and “our” or similar terms are to Associated Capital Group, Inc., its predecessors and its subsidiaries.
We are a Delaware corporation that provides alternative investment management, and we derive investment income/(loss) from proprietary
investment of cash and other assets in our operating business.
GCIA and its wholly-owned subsidiary, Gabelli & Partners, LLC (“Gabelli & Partners”), collectively serve as general partners or
investment managers to investment funds including limited partnerships and offshore companies (collectively, “Investment Partnerships”), and separate accounts. We primarily manage assets across a range of risk and event arbitrage portfolios and
in equity event-driven value strategies. The businesses earn management and incentive fees from their advisory activities. Management fees are largely based on a percentage of assets under management. Incentive fees are based on a percentage of
the investment returns of certain clients’ portfolios. GCIA is an investment adviser registered with the Securities and Exchange Commission under the Investment Advisers Act of 1940, as amended (the “Advisers Act”).
|
Acquisition and Spin-offs |
PMV Consumer Acquisition Corp.
On September 22, 2020, Associated Capital announced the $175 million initial public offering of its special purpose acquisition corporation, PMV Consumer Acquisition Corp. (NYSE:PMVC).
PMV Consumer Acquisition Corp. (“PMV”, or “PMV SPAC”) was created to pursue an initial business combination following the consumer globally with
companies having an enterprise valuation in the range of $200 million to $3.5 billion. PMV Consumer Acquisition Holding Company, LLC (“Sponsor”) was created to assist PMV in sourcing, analyzing and consummating acquisition opportunities for that initial business
combination.
The Sponsor and PMV have been consolidated in the financial statements of AC beginning in September 2020 because AC has a controlling financial
interest in these entities. This resulted in the consolidation of $163.8 million of assets, $11.5 million of liabilities, $161.8 million of redeemable
noncontrolling interests and $1.8 million of noncontrolling interests relating to PMV and the Sponsor as of December 31, 2021. In
addition, there are several other entities that are consolidated within the financial statements. The details on the impact of consolidating these entities on the consolidated financial statements can be seen in Note E.
Investment Partnerships and Other Entities.
See Note E for a further discussion of PMV Consumer Acquisition Corp. as well as its registration statement, Annual Reports, and Quarterly
Reports, which are all located on the U.S. Securities and Exchange Commission website https://www.sec.gov under the symbol PMVC.
AC Spin-off
On November 30, 2015, GAMCO Investors, Inc. (“GAMCO” or “GBL”) distributed all the outstanding shares of each class of AC common stock on a pro
rata one-for-one basis
to the holders of each class of GAMCO’s common stock (the “Spin-off”).
As part of the Spin-off, AC received 4,393,055
shares of GAMCO Class A common stock for $150 million. The Company currently holds 2,417,500 shares as of December 31, 2021.
Morgan Group Spin-off
On March 16, 2020, the Company’s Board of Directors approved the spin-off of Morgan Group Holding Co. (“Morgan Group”) to AC’s shareholders. On
August 5, 2020, AC distributed its 83.3% stake in Morgan Group to shareholders of record as of July 30, 2020. Following the 1 for 100 reverse split on June 10, 2020, AC shareholders received approximately 0.022356 shares of Morgan Group common stock for each share of AC common stock they held.
The historical financial results of Morgan Group have been reflected in the Company’s consolidated financial statements as discontinued
operations for all periods presented through August 5, 2020.
|
Significant Accounting Policies (Policies) |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Significant Accounting Policies [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Use of Estimates |
Use of Estimates
The preparation of the consolidated financial statements in conformity with accounting principles generally accepted in the United States of America
(“GAAP”) requires management to make estimates and assumptions that affect the amounts reported on the consolidated financial statements and accompanying notes. Actual results could differ from those estimates.
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash and Cash Equivalents |
Cash and Cash Equivalents
Cash equivalents primarily consist of an affiliated money market mutual fund which is highly liquid. U.S. Treasury Bills and Notes with maturities
of three months or less at the time of purchase are also considered cash equivalents.
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investments in Securities |
Investments in Securities
Securities owned are recorded at fair value in the statements of financial condition with any unrealized gains or losses reported in current period
earnings in net gain from investments on the consolidated statements of income. Securities transactions and any related gains and losses are recorded on a trade date basis. Realized gains and losses from securities transactions are recorded on the
specific identified cost basis and are included in net gain from investments on the consolidated statements of income.
Management determines the appropriate classification of debt securities at the time of purchase. Government debt securities with maturities of
greater than three months at the time of purchase are considered investments in debt securities. A majority of our investments in debt securities are accounted for as trading securities, except in 2020 in which investments in marketable securities
held in trust by PMV were accounted for as held to maturity.
Investments in securities are reflected in U.S. Treasury Bills, investments in equity securities, investments in affiliated registered investment
companies and investments in marketable securities held in trust.
Securities sold, but not yet purchased are recorded on the trade date, and are stated at fair value and represent obligations of AC to purchase the
securities at prevailing market prices. Therefore, the future satisfaction of such obligations may be for an amount greater or less than the amounts recorded on the consolidated statements of financial condition. The ultimate gains or losses
recognized are dependent upon the prices at which these securities are purchased to settle the obligations under the sales commitments. Unrealized gains and losses and realized gains and losses from covers of securities sold, not yet purchased
transactions are included in net gain from investments on the consolidated statements of income.
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value of Financial Instruments |
Fair Value of Financial Instruments
The Company’s assets and liabilities recorded at fair value have been categorized based upon a fair value hierarchy in accordance with the guidance
on fair value measurement. The levels of the fair value hierarchy and their applicability to the Company are described below:
In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, the level in the
fair value hierarchy in which the fair value measurement in its entirety falls has been determined based on the lowest level input that is significant to the fair value measurement in its entirety. The Company’s assessment of the significance of a
particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the asset or liability.
The availability of observable inputs can vary from instrument to instrument and is affected by a wide
variety of factors, including, for example, the type of instrument, whether the instrument is new and not yet established in the marketplace, and other characteristics particular to the
instrument. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of judgment exercised by the Company in
determining fair value is greatest for instruments categorized as Level 3.
In the absence of a closing price, an average of the bid and ask price is used. Bid prices reflect the highest price that market participants are willing to pay for an
asset. Ask prices represent the lowest price that market participants are willing to accept for an asset.
Cash equivalents—Cash equivalents primarily consist of short-term Treasury Bills and an affiliated money market
mutual fund which is invested solely in U.S. Treasury securities and valued based on the net asset value of the fund. Other cash equivalents are valued using unadjusted quoted market prices. Accordingly, cash equivalents are categorized in Level 1
of the fair value hierarchy.
Investments in securities—Investments in securities and securities sold not yet purchased are generally valued based
on quoted prices from an exchange. To the extent these securities are actively traded, valuation adjustments are not applied, and they are categorized in Level 1 of the fair value hierarchy. Securities categorized as Level 2 investments are valued
using other observable inputs. Nonpublic and infrequently traded investments are included in Level 3 of the fair value hierarchy because significant inputs to measure fair value are unobservable.
Investment in note receivable from affiliate – Investment in note receivable from affiliate is not measured at fair
value on a recurring basis, however fair value is estimated based on observed market inputs for similar instruments and therefore, is classified as Level 2.
PMV warrant liability - PMV warrant liability is valued based on quoted prices from an exchange and is categorized
in Level 1 of the fair value hierarchy.
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investments in Marketable Securities Held in Trust Account |
Investments in marketable securities held in trust account
At December 31, 2021 and 2020, debt securities of our consolidated SPAC, PMV, are held in a trust account and consist of U.S. Treasury Bills accounted for as trading and
held-to-maturity, respectively, in accordance with ASC 320 “Investments – Debt and Equity Securities.” Trading securities are recorded at fair value, with changes in fair value recorded in the consolidated statements of income. Held-to-maturity
treasury securities are recorded at amortized cost on the accompanying consolidated balance sheet and adjusted for the amortization or accretion of premiums or discounts.
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Receivables from Affiliates and Payables to Affiliates |
Receivables from Affiliates and Payables to Affiliates
Receivables from affiliates consist primarily of sub-advisory fees due from Gabelli Funds, LLC, a subsidiary of GAMCO. Payables to affiliates primarily consist of expenses paid by affiliates on
behalf of the Company pursuant to a transitional services agreement with GAMCO entered into in connection with the AC Spin-off.
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Receivables from and Payables to Brokers |
Receivables from and Payables to Brokers
Receivables from and payables to brokers consist of amounts related to purchases and sales of securities, restricted cash held on deposit and cash amounts
held in anticipation of investment.
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Consolidation |
Consolidation
The Company assesses all entities with which it is involved for consolidation on a case by case basis depending on the specific facts and
circumstances surrounding each entity. Pursuant to accounting guidance, the Company first evaluates whether it holds a variable interest in an entity. The Company considers all economic interests, including proportionate interests through related
parties, to determine if such interests are considered a variable interest. Fees paid to the Company that are customary and commensurate with the level of services provided from entities in which the Company does not hold more than an insignificant
economic interest are not considered as a variable interest.
For any entity where the Company has determined that it does hold a variable interest, the Company performs an assessment to determine whether it
qualifies as a variable interest entity (“VIE”). The granting of substantive kick-out or participating rights is a key consideration in determining whether a limited partnership or similar entity is a VIE and whether or not that entity should be
consolidated. The Company evaluates for consolidation on a case by case basis those VIEs in which substantive kick-out or participating rights have been granted to the unaffiliated investors to either dissolve the fund or remove the general partner.
Under the variable interest entity model, the Company consolidates those entities where it is determined that the Company is the primary beneficiary
of the entity. The Company is determined to be the primary beneficiary when it has a controlling financial interest in the VIE, which is defined as possessing both (i) the power to direct the activities of the VIE that most significantly impact the
VIE’s economic performance and (ii) the obligation to absorb losses of the VIE or the right to receive benefits from the VIE that could potentially be significant to the VIE. When the Company alone is not considered to have a controlling financial
interest in the VIE but the Company and its related parties under common control in the aggregate have a controlling financial interest in the VIE, the Company will be deemed the primary beneficiary if it is the party that is most closely associated
with the VIE. When the Company and its related parties not under common control in the aggregate have a controlling financial interest in the VIE, the Company would be deemed to be the primary beneficiary if substantially all the activities of the
entity are performed on behalf of the Company.
The Company determines whether it is the primary beneficiary of a VIE at the time it becomes initially involved with the VIE and reconsiders that
conclusion as required. Investments and redemptions (either by the Company, related parties or third parties) or amendments to the governing documents of the respective entity may affect an entity’s status as a VIE or the determination of the primary
beneficiary.
Entities that do not qualify as VIEs are assessed for consolidation as voting interest entities (“VOEs”) under the voting interest model. The
Company evaluates whether the entity should be evaluated under the guidance for partnerships and similar entities, or corporations, and consolidates those entities it controls through a majority voting interest or other means. If the Company is the
general partner or managing member it generally will not be required to consolidate a VOE.
The Company records noncontrolling interests in consolidated entities for which the Company’s ownership is less than 100%. Refer to Noncontrolling Interests below for additional information.
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investments in Partnerships and Affiliates |
Investments in Partnerships and Affiliates
The Company is general partner or co-general partner of various affiliated entities. We also have investments in unaffiliated partnerships, offshore
funds and other entities (collectively, “unaffiliated entities”). Given that we are not a general partner or investment manager in any unaffiliated entity, we neither earn any management or incentive fees nor have a controlling financial interest in
such entity. We do not consolidate any unaffiliated entity.
The balance sheet caption investments in partnerships includes investments in both affiliated and unaffiliated entities.
The Company accounts for its investments in partnerships and affiliates under the equity method. Substantially all of the Company’s equity method
investees are entities that record their underlying investments at fair value and are included in investments in partnerships. Therefore, under the equity method of accounting, the Company’s share of the investee’s underlying net income
predominantly represents fair value adjustments in the investments held by the equity method investees. The Company’s share of the investee’s underlying net income or loss is based upon the most currently available information and is recorded as net
gain from investments on the consolidated statements of income. Capital contributions are recorded as an increase in investments when paid, and withdrawals and distributions are recorded as reductions of the investments when received. Depending on
the terms of the investment, the Company may be restricted as to the timing and amounts of withdrawals.
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Derivative Financial Instruments |
Derivative Financial Instruments
The Company recognizes all derivatives as either assets or liabilities measured at fair value and includes such derivatives in either investments in
securities or securities sold, not yet purchased on the consolidated statements of financial condition. From time to time, the Company will enter into hedging transactions to manage its exposure to foreign currencies or equity prices related to its
proprietary investments. Except for a foreign exchange contract entered into by the Company, these transactions are not designated as hedges for accounting purposes, and changes in fair values of these derivatives are included in net gain from
investments on the consolidated statements of income. See Note D, Investments in Securities, for additional information.
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Major Revenue-Generating Services and Revenue Recognition |
Major Revenue-Generating Services and Revenue Recognition
The Company’s revenues are derived primarily from investment advisory and incentive fees.
Investment advisory and incentive fees are directly influenced by the level and mix of AUM as fees are derived from a contractually-determined
percentage of the balance of each account as well as a percentage of the investment performance of certain accounts. Management fees from Investment Partnerships and offshore funds are computed either monthly or quarterly, and amounts receivable are
included in investment advisory fees receivable on the consolidated statements of financial condition. These revenues vary depending upon the level of capital flows, financial market conditions, investment performance and the fee rates applicable to
each account.
Incentive allocations or fees are generally recognized at the end of an annual measurement period and amounts receivable are included in investment
advisory fees receivable on the consolidated statements of financial condition.
The Company’s major revenue sources are as follows:
Investment advisory and incentive fees. The Company and its subsidiaries act as general partner, investment manager or sub-advisor to investment funds and/or separately managed accounts of institutional investors (e.g., corporate pension plans). The fees that are
paid to the Company are set forth in the offering documents for the investment fund or the separately managed account agreement. Investment advisory and incentive fee revenue consists of:
The Company reserves the right to waive or reduce asset-based and performance-based fees with respect to certain investors in the investment funds
which may include investments by employees and other related parties. Advisory and incentive fees payable by investment funds are typically approved by third-party administrators and paid directly from the accounts’ assets. Such fees attributable to
separate accounts may be subject to review and approval by the client and may be paid either from the accounts’ assets or directly by the client.
Our advisory fee revenues are influenced by both the amount of AUM and the investment performance of our products. An overall decline in the prices
of securities may cause our advisory fees to decline by either causing the value of our AUM to decrease or causing our clients to withdraw funds in favor of investments they perceive to offer greater opportunity or lower risk. Similarly, success in
the investment management business is dependent on investment performance as well as distribution and client services. Good performance can stimulate sales of our investment products and tends to keep withdrawals and redemptions low, which generates
higher asset-based management fees. Conversely, poor performance, both in absolute terms and/or relative to peers and industry benchmarks, tends to result in decreased sales, increased withdrawals and redemptions and in the loss of clients, with
corresponding decreases in revenues to us.
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Depreciation |
Depreciation
Fixed assets are recorded at cost and depreciated using the straight-line method over their estimated useful lives of
to thirty-nine years and are included
in other assets on the consolidated statements of financial condition.Fixed assets as of December 31, 2021 and 2020 consisted of the following:
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Allocated Expenses |
Allocated Expenses
The Company is charged or incurs certain overhead expenses that are paid by, or paid on our behalf by, other affiliates and are included in other
operating expenses on the consolidated statements of income. These overhead expenses primarily relate to centralized functions including finance and accounting, legal, compliance, treasury, tax, internal audit, information technology, human resources
and risk management. These overhead expenses are allocated to the Company by other affiliates (primarily GAMCO) or allocated by the Company to other affiliates as the expenses are incurred, based upon direct usage when identifiable, or by revenue,
headcount, space or other allocation methodologies periodically reviewed by the management of the Company and the affiliates.
The compensation expense and related payroll taxes and benefits of certain dual employees that provide services to both AC and affiliates are
allocated based upon the relative time each employee devotes to each affiliate. These allocated compensation expenses are included in compensation on the consolidated statements of income.
All of the allocations and estimates in the financial statements are based on assumptions that management of AC believes are reasonable. However,
these allocations may not be indicative of the actual expenses we would have incurred or may incur in the future.
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Management Fee |
Management Fee
Management fee expense in the amount of 10%
of the aggregate pre-tax profits, before consideration of this fee and before consideration of the income attributable to consolidated funds and partnerships, is paid to the Executive Chair or his designees in accordance with his employment
agreement.
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock-Based Compensation |
Stock-Based Compensation
From time to time, the Company’s Board of Directors approves grants of Phantom Restricted Stock awards (“Phantom RSAs”). The Phantom RSAs are
settled by a cash payment, net of applicable withholding tax, on the vesting dates. In addition, an amount equivalent to the cumulative dividends declared on shares of the Company’s Class A common stock during the vesting period will be paid to
participants on vesting.
The Phantom RSAs are accounted for as a liability because cash settlement is required and compensation will be recognized over the vesting period.
The Company amortizes each award based on the applicable vesting period. In determining the compensation expense to be recognized each period, the Company will remeasure the fair value of the liability at each reporting date taking into account the
remaining vesting period attributable to each award and the current market value of the Company’s Class A stock. In making these determinations, the Company will consider the impact of Phantom RSAs that have been forfeited prior to vesting (e.g., due
to an employee termination). The Company has elected to consider forfeitures as they occur.
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Goodwill |
Goodwill
Goodwill is initially measured as the excess of the cost of an acquired business over the sum of the fair value assigned to assets acquired less the
liabilities assumed. Goodwill is tested for impairment at least annually on November 30th and whenever certain triggering events are met. In assessing the recoverability of goodwill as of November 30, 2021 and 2020, we performed a qualitative
assessment of whether it was more likely than not that an impairment had occurred and concluded that a quantitative analysis was not required. As such, no
impairment was recorded during 2021 or 2020.
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income Taxes |
Income Taxes
For purposes of the preparation of the consolidated financial statements, the provision for income taxes is computed using the asset and liability
method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the consolidated financial statements. Under this method, deferred tax assets and liabilities
are determined based on the differences between the financial statement and tax basis of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to reverse. The effect of a change in tax rates on
deferred tax assets and liabilities is recognized in income tax expense/benefit in the period that includes the enactment date of the change in tax rate.
The Company records net deferred tax assets to the extent the Company believes these assets will more likely than not be realized. A valuation
allowance would be recorded to reduce the carrying value of deferred tax assets to the amount that is more likely than not to be realized. In making such a determination of whether a valuation allowance is necessary, the Company considers all
available positive and negative evidence, including future reversals of existing taxable temporary differences, projected future taxable income, tax-planning strategies, and results of recent operations. In the event the Company were to determine
that the Company would be able to realize the Company’s deferred income tax assets in the future in excess of their net recorded amount, the Company would make an adjustment to the deferred tax asset valuation allowance, which would reduce the
provision for income taxes.
For uncertain tax positions the Company first determines whether it is more likely than not that the tax positions will be sustained based on the
technical merits of the position. For those tax positions that meet the more-likely-than-not recognition threshold, the Company recognizes the largest amount of tax benefit that is greater than 50% likely to be realized upon ultimate settlement with
the related tax authority. The Company recognizes the accrual of interest on uncertain tax positions and penalties in income tax provision on the consolidated statements of income. Accrued interest and penalties on uncertain tax positions are
included within accrued expenses and other liabilities on the consolidated statements of financial condition.
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Noncontrolling Interests |
Noncontrolling Interests
Noncontrolling interests in Investment Partnerships or other entities that are redeemable at the option of the holder are classified as redeemable
noncontrolling interests in the mezzanine section of the consolidated statements of financial condition between liabilities and equity. Noncontrolling interests in other entities that are not redeemable at the option of the holder are classified as
such as a separate component of shareholder’s equity.
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Redeemable noncontrolling Interests-PMV |
Redeemable noncontrolling Interests-PMV
The Company accounts for the common stock held by noncontrolling interest holders of our consolidated SPAC, PMV, as subject to possible redemption
in accordance with the guidance in Accounting Standards Codification (“ASC”) Topic 480 “Distinguishing Liabilities from Equity.” Conditionally redeemable common stock (including common stock that features redemption rights that is either within the
control of the holder or subject to redemption upon the occurrence of uncertain events not solely within the Company’s control) is classified as temporary equity. PMVs common stock features certain redemption rights that are considered to be outside
of the Company’s control and subject to occurrence of uncertain future events. Accordingly, at December 31, 2021, common stock held by noncontrolling interest holders is presented at redemption value in redeemable noncontrolling interests, outside of
the stockholders’ equity section of the Company’s balance sheet.
The discount amount related to the issuance of redeemable noncontrolling interest is being amortized
over a period of 18 months through an adjustment to additional paid-in capital and noncontrolling interest (proportionate to our ownership of the SPAC Sponsor) and is also adjusted periodically for income/loss allocated to redeemable
noncontrolling interest.
For the years ended December 31, 2021 and 2020, net income/(loss) attributable to noncontrolling interests on the consolidated statements of income
represents the share of net income/(loss) attributable to third-party investors in consolidated funds.
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
PMV Warrant Liability |
PMV Warrant Liability
In connection with their initial public offering, PMV sold 17,500,000 Units, at $10.00 per Unit. Each Unit consists of one share of Class A common stock and
of one redeemable warrant (“Public Warrant”).The Company accounts for warrants as either equity-classified or liability-classified instruments based on an assessment of the warrant’s specific
terms and applicable authoritative guidance in Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 480, Distinguishing Liabilities from Equity (“ASC 480”) and ASC 815, Derivatives and Hedging (“ASC 815”). The
assessment considers whether the warrants are freestanding financial instruments pursuant to ASC 480, meet the definition of a liability pursuant to ASC 480, and whether the warrants meet all of the requirements for equity classification under ASC
815, including whether the warrants are indexed to the Company’s own ordinary shares, among other conditions for equity classification. This assessment, which requires the use of professional judgment, is conducted at the time of warrant issuance and
as of each subsequent quarterly period end date while the warrants are outstanding.
For warrants that do not meet all the criteria for equity classification, the warrants are required to be recorded at their initial fair value on
the date of issuance, and each balance sheet date thereafter. Changes in the estimated fair value of the warrants are recognized in net gain from investments on the consolidated statements of income.
The warrant liability related to the Public Warrant was charged against the redeemable noncontrolling interest of PMV.
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Offering Costs |
Offering Costs
Offering costs incurred by the initial public offering of PMV consist of legal, accounting, underwriting fees and other costs. Offering costs
amounting to $9,957,390, including deferred underwriting fees of $6,125,000, net of a $175,000 credit paid by the underwriter, were allocated as
follows, $502,848 in offering costs was charged to expense and $9,454,542 was charged to redeemable noncontrolling interest of PMV, similar to the warrant liability.
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Concentration of Credit Risk |
Concentration of Credit Risk
Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash and cash equivalents and
receivables from brokers. The Company maintains cash and cash equivalents primarily in the Gabelli U.S. Treasury Money Market Fund, which invests fully in instruments issued by the U.S. government. Receivables from brokers and financial institutions
can exceed the federally insured limit. The concentration of credit risk with respect to advisory fees and incentive fees, which are included in investment advisory fees receivable and receivables from affiliates on the consolidated statements of
financial condition, is generally limited due to the short payment terms extended to clients by the Company. All investments in securities are held at third party brokers or custodians.
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Business Segment |
Business Segment
The Company operates in one business
segment. The Company’s chief operating decision maker reviews the Company’s financial performance at an aggregate level.
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Recent Accounting Developments |
Recent Accounting Developments
In June 2016, the FASB issued ASU 2016-13, Accounting for Financial Instruments - Credit Losses (Topic 326)
(“ASU 2016-13”), which requires an organization to measure all expected credit losses for financial assets held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Currently, U.S. GAAP
requires an “incurred loss” methodology that delays recognition until it is probable a loss has been incurred. Under ASU 2016-13, the allowance for credit losses must be deducted from the amortized cost of the financial asset to present the net
amount expected to be collected. The Statement of Income will reflect the measurement of credit losses for newly recognized financial assets as well as the expected increases or decreases of expected credit losses that have taken place during the
period. In November 2019, the FASB issued ASU 2019-10, which deferred the effective date of this guidance for smaller reporting companies for three years. This guidance is effective for the Company on January 1, 2023 and requires a modified
retrospective transition method, which will result in a cumulative-effect adjustment in retained earnings upon adoption. Early adoption is permitted. The Company is currently assessing the potential impact of this new guidance on the Company’s
consolidated financial statements.
In January 2017, the FASB issued ASU 2017-04, Intangibles – Goodwill and Other, to simplify the process
used to test for impairment of goodwill. Under the new standard, an impairment loss must be recognized in an amount equal to the excess of the carrying amount of a reporting unit over its fair value, limited to the total amount of goodwill allocated
to that reporting unit. As a smaller reporting company pursuant to ASU 2019-10, the ASU is effective for the Company on January 1, 2023. Further, a prospective transition method and early adoption is permitted. The Company is currently evaluating
the potential effect of this new guidance on the Company’s consolidated financial statements.
In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes. The amendments simplify the
accounting for income taxes by removing certain exceptions to the general principles in Topic 740. The amendments also improve consistent application of and simplify US GAAP for other areas of Topic 740 by clarifying and amending the existing
guidance. We adopted this standard prospectively on January 1, 2021. The adoption of this standard did not have a material impact on our financial condition or results of operations.
|
Significant Accounting Policies (Tables) |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Significant Accounting Policies [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fixed Assets |
Fixed assets as of December 31, 2021 and 2020 consisted of the following:
|
Revenue (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenue [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenues by Type |
Total revenues by type were as follows for the years ended December 31, 2021 and 2020 (in thousands):
|
Investments in Securities (Tables) |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investments in Securities [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investments in Securities |
Investments in securities at December 31, 2021 and 2020 consisted of the following (in thousands):
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Held to Maturity Investments |
Our held to maturity investments at December 31, 2021 and 2020 consisted of the following (in thousands):
(1) Investment in note
receivable from affiliate relates to 2-Year Puttable and Callable Subordinated Notes due 2023 issued as part of a 2021 special
dividend on GAMCO’s Class A Common Stock and Class B Common Stock. The Company has the intent to hold these investments until maturity, and as such they were recorded at amortized cost.
(2) At December 31, 2020,
marketable securities held in the trust account through PMV were comprised primarily of U.S. Treasury Bills which mature in less than one year with an amortized cost and fair value of approximately $175 million, due to the short maturity profile.
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Securities Sold, Not Yet Purchased |
Securities sold, not yet purchased at December 31, 2021 and 2020 consisted of the following (in thousands):
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investments in Affiliated Registered Investment Companies |
Investments in affiliated registered investment companies at December 31, 2021 and 2020 consisted of the following (in thousands):
|
Investment Partnerships and Other Entities (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investment Partnerships and Other Entities [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summarized Financial Information of Aggregate Equity Method Investments |
The summarized financial information of the Company’s equity method investments as of and for the years ended December 31, 2021 and 2020 are as
follows:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Condensed Consolidated Statements of Financial Condition by Entity Consolidated |
The following table reflects the net impact of the consolidated investment partnerships and other entities (“Consolidated Entities”) on the
consolidated statements of financial condition (in thousands):
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Condensed Consolidated Statements of Income by Entity Consolidated |
The following table reflects the net impact of the Consolidated Entities on the consolidated statements of income (in thousands):
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net Interests in Consolidated VIE's |
The following table presents the balances related to VIEs that are consolidated and included on the consolidated statements of financial
condition as well as the Company’s net interest in these VIEs (in thousands):
|
Fair Value (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Assets and Liabilities Measured at Fair Value on a Recurring Basis |
The following tables present assets and liabilities measured at fair value on a recurring basis as of the dates specified (in thousands):
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Changes in Level 3 Assets |
The following table presents additional information about assets and liabilities by major category measured at fair value on a recurring basis
as of the dates specified (in thousands) and for which the Company has utilized Level 3 inputs to determine fair value:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Changes in Level 3 Liabilities |
The following table presents additional information about assets and liabilities by major category measured at fair value on a recurring basis
as of the dates specified (in thousands) and for which the Company has utilized Level 3 inputs to determine fair value:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Carrying Amounts and Estimated Fair Values of Financial Assets |
The following table presents the carrying amounts and estimated fair values of financial assets that are not measured at fair value on a
recurring basis (in thousands) and their respective levels within the fair value hierarchy:
|
Income Taxes (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income Taxes [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Provision for Income Taxes |
The provision for income taxes for the years ended December 31, 2021 and 2020 consisted of the following (in thousands):
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Reconciliation of Federal Statutory Income Tax Rate to Effective Tax Rate |
A reconciliation of the federal statutory rate to the effective tax rate for the years ended December 31, 2021 and 2020 is set forth below:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Significant Components of Deferred Tax Assets and Liabilities |
Significant components of our deferred tax assets and liabilities as of December 31, 2021 and 2020 are as follows (in thousands):
|
Earnings per Share (Tables) |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings per Share [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Computations of Basic and Diluted Net Income (Loss) Per Share |
The computations of basic and diluted net income/(loss) per share are as follows (in thousands, except per share data):
|
Equity (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Expense Related to Stock-based Compensation Arrangements |
The following table summarizes our stock-based compensation as well as unrecognized compensation for the periods ended December 31, 2021 and
2020 respectively. Stock-based compensation expense is included in compensation expense in the consolidated statements of income:
(1) Does not include an estimate for projected future dividends.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Phantom Restricted Stock Awards Activity |
The following table summarizes Phantom RSA activity:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock Repurchase Activity and Remaining Authorization |
The following table presents the Company’s stock repurchase activity and remaining authorization:
(1) Repurchases totaled $7.6 million and $7.4 million in 2021
and 2020, respectively.
|
Discontinued Operations (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Discontinued Operations [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Discontinued Operations |
Operating results for the period from January 1, 2020 through August 5, 2020 were as follows:
|
Organization (Details) $ in Thousands |
Sep. 22, 2020
USD ($)
|
Jul. 30, 2020
shares
|
Jun. 10, 2020 |
Nov. 30, 2015
USD ($)
shares
|
Dec. 31, 2021
USD ($)
shares
|
Dec. 31, 2020
USD ($)
|
Aug. 05, 2020 |
---|---|---|---|---|---|---|---|
The Spin-off and Related Transactions [Abstract] | |||||||
Number of AC shares issued for each GAMCO shares in connection with spin-off (in shares) | shares | 1 | ||||||
Acquisition [Abstract] | |||||||
Assets | $ 1,203,336 | $ 1,174,545 | |||||
Liabilities | 65,534 | 66,328 | |||||
Redeemable noncontrolling interests | 202,456 | 206,828 | |||||
Noncontrolling interest | (1,756) | $ 2,451 | |||||
Number of shares received by each shareholder on the record date (in shares) | shares | 0.022356 | ||||||
PMV Consumer Acquisition Corp. [Member] | |||||||
The Spin-off and Related Transactions [Abstract] | |||||||
Proceeds from initial public offering for capital amount | $ 175,000 | ||||||
Acquisition [Abstract] | |||||||
Assets | 163,800 | ||||||
Liabilities | 11,500 | ||||||
Redeemable noncontrolling interests | 161,800 | ||||||
Noncontrolling interest | $ 1,800 | ||||||
PMV Consumer Acquisition Corp. [Member] | Minimum [Member] | |||||||
Acquisition [Abstract] | |||||||
Enterprise valuation amount | 200,000 | ||||||
PMV Consumer Acquisition Corp. [Member] | Maximum [Member] | |||||||
Acquisition [Abstract] | |||||||
Enterprise valuation amount | $ 3,500,000 | ||||||
Morgan Group Holding, Co. [Member] | |||||||
Acquisition [Abstract] | |||||||
Ownership interest | 83.30% | ||||||
Reverse stock split ratio | 0.01 | ||||||
GAMCO [Member] | |||||||
The Spin-off and Related Transactions [Abstract] | |||||||
Number of GAMCO shares exchanged for each AC shares in connection with spin-off (in shares) | shares | 1 | ||||||
GAMCO [Member] | Class A [Member] | |||||||
The Spin-off and Related Transactions [Abstract] | |||||||
Number of shares of common stock acquired (in shares) | shares | 4,393,055 | ||||||
Value of common stock acquired (in shares) | $ 150,000 | ||||||
Number of shares of common stock held (in shares) | shares | 2,417,500 |
Significant Accounting Policies, Consolidated Financial Statements (Details) - VIEs [Member] - USD ($) $ in Thousands |
Dec. 31, 2021 |
Dec. 31, 2020 |
---|---|---|
Consolidated Financial Statements [Abstract] | ||
Net interests | $ 16,545 | $ 27,828 |
Revision of Prior Period, Adjustment [Member] | PMV SPAC [Member] | ||
Consolidated Financial Statements [Abstract] | ||
Net interests | $ 14,100 |
Significant Accounting Policies, Consolidation (Details) |
12 Months Ended |
---|---|
Dec. 31, 2021 | |
Consolidation [Abstract] | |
Maximum threshold percentage of ownership interest for recording noncontrolling interests in consolidated entities | 100.00% |
Significant Accounting Policies, Major Revenue-Generating Services and Revenue Recognition (Details) |
12 Months Ended |
---|---|
Dec. 31, 2021 | |
Asset-Based Advisory Fees [Member] | Minimum [Member] | |
Major Revenue Sources [Abstract] | |
Percentage of management fee | 1.00% |
Asset-Based Advisory Fees [Member] | Maximum [Member] | |
Major Revenue Sources [Abstract] | |
Percentage of management fee | 1.50% |
Performance-Based Advisory Fees [Member] | |
Major Revenue Sources [Abstract] | |
Percentage of investment performance calculated for additional fees | 20.00% |
Significant Accounting Policies, Depreciation (Details) - USD ($) $ in Thousands |
12 Months Ended | |
---|---|---|
Dec. 31, 2021 |
Dec. 31, 2020 |
|
Fixed assets [Abstract] | ||
Fixed assets | $ 17,951 | $ 17,913 |
Less: accumulated depreciation | (761) | (383) |
Net book value | $ 17,190 | 17,530 |
Minimum [Member] | ||
Depreciation [Abstract] | ||
Estimated useful life of assets | 4 years | |
Maximum [Member] | ||
Depreciation [Abstract] | ||
Estimated useful life of assets | 39 years | |
Buildings [Member] | ||
Fixed assets [Abstract] | ||
Fixed assets | $ 17,745 | 17,727 |
Equipment [Member] | ||
Fixed assets [Abstract] | ||
Fixed assets | $ 206 | $ 186 |
Significant Accounting Policies, Management Fee (Details) |
Dec. 31, 2021 |
---|---|
Management Fee [Abstract] | |
Management fee expense percentage | 10.00% |
Significant Accounting Policies, Goodwill (Details) - USD ($) $ in Thousands |
12 Months Ended | |
---|---|---|
Dec. 31, 2021 |
Dec. 31, 2020 |
|
Goodwill [Abstract] | ||
Impairment | $ 0 | $ 0 |
Significant Accounting Policies, Redeemable noncontrolling Interests-PMV (Details) |
12 Months Ended |
---|---|
Dec. 31, 2021 | |
Redeemable Noncontrolling Interests-PMW [Abstract] | |
Accretion of redeemable noncontrolling interest discount amortization period | 18 months |
Significant Accounting Policies, PMV Warrant Liability (Details) - PMV Consumer Acquisition Corp. [Member] - Initial Public Offering [Member] [Member] |
Sep. 24, 2020
$ / shares
shares
|
---|---|
Common Stock [Member] | |
PMV Warrant Liability [Abstract] | |
Number of unit issued (in shares) | 17,500,000 |
Security price (in dollars per share) | $ / shares | $ 10.00 |
Common Stock [Member] | Class A [Member] | |
PMV Warrant Liability [Abstract] | |
Number of securities to be called by each unit (in shares) | 1 |
Public Warrant [Member] | |
PMV Warrant Liability [Abstract] | |
Number of securities called by each warrant (in shares) | 0.5 |
Significant Accounting Policies, Offering Costs (Details) - USD ($) |
12 Months Ended | |
---|---|---|
Dec. 31, 2021 |
Dec. 31, 2020 |
|
Offering Costs [Abstract] | ||
Deferred underwriting fees | $ 6,125,000 | $ 6,125,000 |
PMV Consumer Acquisition Corp. [Member] | ||
Offering Costs [Abstract] | ||
Offering costs | 9,957,390 | |
Deferred underwriting fees | 6,125,000 | |
Amount paid by underwriter | 175,000 | |
Offering costs, allocated to expense | 502,848 | |
Offering costs, allocated to redeemable noncontrolling interest | $ 9,454,542 |
Significant Accounting Policies, Business Segment (Details) |
12 Months Ended |
---|---|
Dec. 31, 2021
Segment
| |
Business Segment [Abstract] | |
Number of operating segments | 1 |
Revenue (Details) - USD ($) $ in Thousands |
12 Months Ended | |
---|---|---|
Dec. 31, 2021 |
Dec. 31, 2020 |
|
Revenues by type [Abstract] | ||
Revenues | $ 20,924 | $ 18,983 |
Investment Advisory and Incentive Fees [Member] | ||
Revenues by type [Abstract] | ||
Revenues | 20,530 | 18,288 |
Asset-Based Advisory Fees [Member] | ||
Revenues by type [Abstract] | ||
Revenues | 5,021 | 5,415 |
Performance-Based Advisory Fees [Member] | ||
Revenues by type [Abstract] | ||
Revenues | 7,006 | 5,706 |
Sub-Advisory Fees [Member] | ||
Revenues by type [Abstract] | ||
Revenues | 8,503 | 7,167 |
Other [Member] | ||
Revenues by type [Abstract] | ||
Revenues | 394 | 695 |
Miscellaneous [Member] | ||
Revenues by type [Abstract] | ||
Revenues | $ 394 | $ 695 |
Investments in Securities, Investment in Securities (Details) - USD ($) $ in Thousands |
Dec. 31, 2021 |
Dec. 31, 2020 |
|||
---|---|---|---|---|---|
Investments in securities [Abstract] | |||||
Fair value | $ 60,996 | $ 344,453 | |||
Cost | 246,160 | 248,592 | |||
Fair value | 273,087 | 249,887 | |||
Total investment securities, cost | 307,152 | 592,959 | |||
Total investment securities, fair value | 334,083 | 594,340 | |||
Investments in marketable securities held in trust, cost | 175,109 | 175,040 | [1] | ||
Investments in marketable securities held in trust, fair value | 175,109 | 175,040 | [1] | ||
US Treasury Bill [Member] | |||||
Investments in securities [Abstract] | |||||
Cost | 60,992 | 344,367 | |||
Fair value | 60,996 | 344,453 | |||
Common Stock [Member] | |||||
Investments in securities [Abstract] | |||||
Cost | 239,383 | 239,240 | |||
Fair value | 265,156 | 237,377 | |||
Mutual Funds [Member] | |||||
Investments in securities [Abstract] | |||||
Cost | 524 | 546 | |||
Fair value | 1,351 | 1,294 | |||
Other Investments [Member] | |||||
Investments in securities [Abstract] | |||||
Cost | 6,253 | 8,806 | |||
Fair value | $ 6,580 | $ 11,216 | |||
|
Investments in Securities, Held to Maturity Investments (Details) - USD ($) $ in Thousands |
12 Months Ended | ||||||
---|---|---|---|---|---|---|---|
Dec. 31, 2021 |
Dec. 31, 2020 |
||||||
Held to maturity [Abstract] | |||||||
Investment in note receivable from affiliate, amortized cost | [1] | $ 5,066 | |||||
Investment in note receivable from affiliate, gross unrealized holding gains | [1] | 0 | |||||
Investment in note receivable from affiliate, gross unrealized holding losses | [1] | 0 | |||||
Investment in note receivable from affiliate, fair value | [1] | 5,066 | |||||
Investments in marketable securities held in trust, amortized cost | 175,109 | $ 175,040 | [2] | ||||
Investments in marketable securities held in trust, gross unrealized holding gains | [2] | 0 | |||||
Investments in marketable securities held in trust, gross unrealized holding losses | [2] | 0 | |||||
Investments in marketable securities held in trust, fair value | $ 175,109 | $ 175,040 | [2] | ||||
Puttable Subordinated Notes Due 2023 [Member] | |||||||
Held to maturity [Abstract] | |||||||
Subordinated notes term | 2 years | ||||||
|
Investments in Securities, Securities Sold, Not Yet Purchased (Details) - USD ($) $ in Thousands |
Dec. 31, 2021 |
Dec. 31, 2020 |
---|---|---|
Equity securities [Abstract] | ||
Cost | $ 11,788 | $ 15,578 |
Fair value | 12,905 | 17,571 |
Common Stock [Member] | ||
Equity securities [Abstract] | ||
Cost | 9,021 | 14,369 |
Fair value | 9,838 | 16,090 |
Other Investments [Member] | ||
Equity securities [Abstract] | ||
Cost | 2,767 | 1,209 |
Fair value | $ 3,067 | $ 1,481 |
Investments in Securities, Investment in Affiliated Registered Investment Companies (Details) - USD ($) $ in Thousands |
Dec. 31, 2021 |
Dec. 31, 2020 |
---|---|---|
Total investments in affiliated registered investment companies [Abstract] | ||
Cost | $ 91,846 | $ 124,857 |
Fair value | 134,548 | 170,605 |
Closed-end Funds [Member] | ||
Total investments in affiliated registered investment companies [Abstract] | ||
Cost | 42,484 | 76,462 |
Fair value | 64,381 | 106,719 |
Mutual Funds [Member] | ||
Total investments in affiliated registered investment companies [Abstract] | ||
Cost | 49,362 | 48,395 |
Fair value | $ 70,167 | $ 63,886 |
Investment Partnerships and Other Entities, Equity Method Investments (Details) - USD ($) $ in Thousands |
12 Months Ended | ||||||||
---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2021 |
Dec. 31, 2020 |
Sep. 30, 2021 |
Jun. 30, 2021 |
Mar. 31, 2021 |
Sep. 30, 2020 |
Jun. 30, 2020 |
Mar. 31, 2020 |
Dec. 31, 2019 |
|
Investments In Affiliated and Unaffiliated Entities [Abstract] | |||||||||
Investments in unaffiliated entities | $ 41,900 | $ 24,900 | |||||||
Investments in affiliated entities | 112,600 | 99,100 | |||||||
Summarized Financial Information [Abstract] | |||||||||
Total assets | 1,203,336 | 1,174,545 | |||||||
Total liabilities | 65,534 | 66,328 | |||||||
Total equity | 935,346 | 901,389 | $ 931,188 | $ 932,465 | $ 915,746 | $ 854,167 | $ 852,687 | $ 820,803 | $ 897,435 |
Net income/(loss) | 59,203 | 18,816 | |||||||
Equity Method Investment [Member] | |||||||||
Summarized Financial Information [Abstract] | |||||||||
Total assets | 1,818,000 | 1,653,000 | |||||||
Total liabilities | 358,000 | 326,000 | |||||||
Total equity | 1,460,000 | 1,327,000 | |||||||
Net income/(loss) | $ 239,000 | $ 64,000 | |||||||
Unaffiliated [Member] | Minimum [Member] | |||||||||
Summarized Financial Information [Abstract] | |||||||||
Notice period for redeeming investments | 30 days | ||||||||
Unaffiliated [Member] | Maximum [Member] | |||||||||
Summarized Financial Information [Abstract] | |||||||||
Notice period for redeeming investments | 95 days |
Investment Partnerships and Other Entities, Breakdown of Consolidated Entities and Investments in Partnerships Line by Accounting Method (Details) - USD ($) |
12 Months Ended | ||
---|---|---|---|
Sep. 24, 2020 |
Sep. 22, 2020 |
Dec. 31, 2021 |
|
Acquisition [Abstract] | |||
Direct Investment in Sponsor | $ 4,000,000.0 | ||
Sponsor partnership investment percentage | 62.00% | ||
Sponsor partnership commitment amount | $ 6,480,000 | ||
Maximum [Member] | |||
Acquisition [Abstract] | |||
Number of business days to cease all operations except for the purposes of winding up | 10 days | ||
PMV Consumer Acquisition Corp. [Member] | |||
Acquisition [Abstract] | |||
Proceeds from initial public offering | $ 175,000,000 | ||
PMV Consumer Acquisition Corp. [Member] | Class A [Member] | |||
Acquisition [Abstract] | |||
Common stock invested | $ 10,000,000 | ||
PMV Consumer Acquisition Corp. [Member] | Private Warrants [Member] | |||
Acquisition [Abstract] | |||
Value of warrants invested by Sponsor | $ 6,150,000 | ||
PMV Consumer Acquisition Corp. [Member] | Initial Public Offering [Member] [Member] | Common Stock [Member] | |||
Acquisition [Abstract] | |||
Number of unit issued (in shares) | 17,500,000 | ||
Security price (in dollars per share) | $ 10.00 | ||
Proceeds from initial public offering | $ 175,000,000 | ||
PMV Consumer Acquisition Corp. [Member] | Private Placement [Member] | Private Warrants [Member] | |||
Acquisition [Abstract] | |||
Warrants issued (in shares) | 6,150,000 | ||
Per share price of warrants issued (in dollars per share) | $ 1.00 | ||
Proceeds from issuance of warrants | $ 6,150,000 |
Investment Partnerships and Other Entities, Net Impact by Line Item on Financial Statements (Details) - USD ($) $ in Thousands |
12 Months Ended | |||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2021 |
Dec. 31, 2020 |
Sep. 30, 2021 |
Jun. 30, 2021 |
Mar. 31, 2021 |
Sep. 30, 2020 |
Jun. 30, 2020 |
Mar. 31, 2020 |
Dec. 31, 2019 |
||||||
Assets [Abstract] | ||||||||||||||
Cash and cash equivalents | $ 319,048 | $ 39,509 | ||||||||||||
Investments in U.S. Treasury Bills | 60,996 | 344,453 | ||||||||||||
Investments in securities | 273,087 | 249,887 | ||||||||||||
Investments in affiliated registered investment companies | 134,548 | 170,605 | ||||||||||||
Investments in partnerships | 154,460 | 123,994 | ||||||||||||
Receivable from brokers | 42,478 | 24,677 | ||||||||||||
Investment advisory fees receivable | 8,315 | 7,346 | ||||||||||||
Other assets | [1] | 35,295 | 39,034 | |||||||||||
Investments in marketable securities held in trust | 175,109 | 175,040 | [2] | |||||||||||
Total assets | 1,203,336 | 1,174,545 | ||||||||||||
Liabilities and equity [Abstract] | ||||||||||||||
Securities sold, not yet purchased | 12,905 | 17,571 | ||||||||||||
Accrued expenses and other liabilities | [1] | 52,629 | 48,757 | |||||||||||
Redeemable noncontrolling interests | 202,456 | 206,828 | ||||||||||||
Total equity | 935,346 | 901,389 | $ 931,188 | $ 932,465 | $ 915,746 | $ 854,167 | $ 852,687 | $ 820,803 | $ 897,435 | |||||
Total liabilities and equity | 1,203,336 | 1,174,545 | ||||||||||||
Consolidated Statements of Income [Abstract] | ||||||||||||||
Total revenues | 20,924 | 18,983 | ||||||||||||
Total expenses | 40,000 | 31,452 | ||||||||||||
Operating loss | (19,076) | (12,469) | ||||||||||||
Total other income, net | 100,415 | 42,352 | ||||||||||||
Income/(loss) before income taxes | 81,339 | 29,883 | ||||||||||||
Income tax expense | 17,705 | 9,374 | ||||||||||||
Income/(loss) from continuing operations, net of taxes | 63,634 | 20,509 | ||||||||||||
Income/(loss) from discontinued operations, net of taxes | 0 | (632) | ||||||||||||
Income/(loss) before noncontrolling interests | 63,634 | 19,877 | ||||||||||||
Income/(loss) attributable to noncontrolling interests | 4,431 | 1,061 | ||||||||||||
Net income/(loss) attributable to Associated Capital Group, Inc.'s shareholders | 59,203 | 18,816 | ||||||||||||
Consolidated Entities [Member] | ||||||||||||||
Assets [Abstract] | ||||||||||||||
Cash and cash equivalents | 4,039 | 7,162 | ||||||||||||
Investments in U.S. Treasury Bills | 0 | 9,499 | ||||||||||||
Investments in securities | 88,858 | 82,570 | ||||||||||||
Investments in affiliated registered investment companies | (51,926) | (50,713) | ||||||||||||
Investments in partnerships | (20,223) | (22,168) | ||||||||||||
Receivable from brokers | 20,485 | 18,015 | ||||||||||||
Investment advisory fees receivable | (5) | (54) | ||||||||||||
Other assets | [1] | (4,105) | 7,387 | |||||||||||
Investments in marketable securities held in trust | 175,109 | 175,040 | ||||||||||||
Total assets | 212,232 | 226,738 | ||||||||||||
Liabilities and equity [Abstract] | ||||||||||||||
Securities sold, not yet purchased | 1,706 | 8,057 | ||||||||||||
Accrued expenses and other liabilities | [1] | 18,804 | 11,853 | |||||||||||
Redeemable noncontrolling interests | 202,456 | 206,828 | ||||||||||||
Total equity | (10,734) | 0 | ||||||||||||
Total liabilities and equity | 212,232 | 226,738 | ||||||||||||
Consolidated Statements of Income [Abstract] | ||||||||||||||
Total revenues | (2,928) | (490) | ||||||||||||
Total expenses | 755 | 2,800 | ||||||||||||
Operating loss | (3,683) | (3,290) | ||||||||||||
Total other income, net | 8,114 | 4,319 | ||||||||||||
Income/(loss) before income taxes | 4,431 | 1,029 | ||||||||||||
Income tax expense | 0 | (52) | ||||||||||||
Income/(loss) from continuing operations, net of taxes | 1,081 | |||||||||||||
Income/(loss) from discontinued operations, net of taxes | 0 | |||||||||||||
Income/(loss) before noncontrolling interests | 4,431 | 1,081 | ||||||||||||
Income/(loss) attributable to noncontrolling interests | 4,431 | 1,081 | ||||||||||||
Net income/(loss) attributable to Associated Capital Group, Inc.'s shareholders | 0 | 0 | ||||||||||||
Prior to Consolidation [Member] | ||||||||||||||
Assets [Abstract] | ||||||||||||||
Cash and cash equivalents | 315,009 | 32,347 | ||||||||||||
Investments in U.S. Treasury Bills | 60,996 | 334,954 | ||||||||||||
Investments in securities | 184,229 | 167,317 | ||||||||||||
Investments in affiliated registered investment companies | 186,474 | 221,318 | ||||||||||||
Investments in partnerships | 174,683 | 146,162 | ||||||||||||
Receivable from brokers | 21,993 | 6,662 | ||||||||||||
Investment advisory fees receivable | 8,320 | 7,400 | ||||||||||||
Other assets | [1] | 39,400 | 31,647 | |||||||||||
Investments in marketable securities held in trust | 0 | 0 | ||||||||||||
Total assets | 991,104 | 947,807 | ||||||||||||
Liabilities and equity [Abstract] | ||||||||||||||
Securities sold, not yet purchased | 11,199 | 9,514 | ||||||||||||
Accrued expenses and other liabilities | [1] | 33,825 | 36,904 | |||||||||||
Redeemable noncontrolling interests | 0 | 0 | ||||||||||||
Total equity | 946,080 | 901,389 | ||||||||||||
Total liabilities and equity | 991,104 | 947,807 | ||||||||||||
Consolidated Statements of Income [Abstract] | ||||||||||||||
Total revenues | 23,852 | 19,473 | ||||||||||||
Total expenses | 39,245 | 28,652 | ||||||||||||
Operating loss | (15,393) | (9,179) | ||||||||||||
Total other income, net | 92,301 | 38,033 | ||||||||||||
Income/(loss) before income taxes | 76,908 | 28,854 | ||||||||||||
Income tax expense | 17,705 | 9,426 | ||||||||||||
Income/(loss) from continuing operations, net of taxes | 19,428 | |||||||||||||
Income/(loss) from discontinued operations, net of taxes | (632) | |||||||||||||
Income/(loss) before noncontrolling interests | 59,203 | 18,796 | ||||||||||||
Income/(loss) attributable to noncontrolling interests | 0 | (20) | ||||||||||||
Net income/(loss) attributable to Associated Capital Group, Inc.'s shareholders | $ 59,203 | $ 18,816 | ||||||||||||
|
Investment Partnerships and Other Entities, Variable Interest Entities (Details) - USD ($) $ in Thousands |
Dec. 31, 2021 |
Dec. 31, 2020 |
|||||
---|---|---|---|---|---|---|---|
Balances related to VIEs [Abstract] | |||||||
Cash and cash equivalents | $ 319,048 | $ 39,509 | |||||
Receivable from brokers | 42,478 | 24,677 | |||||
Investments in marketable securities held in trust | 175,109 | 175,040 | [1] | ||||
Other assets | 21,682 | 28,565 | |||||
Accrued expenses and other liabilities | [2] | (52,629) | (48,757) | ||||
PMV warrant liability | (5,280) | 0 | |||||
Redeemable noncontrolling interests | (202,456) | (206,828) | |||||
VIEs [Member] | |||||||
Balances related to VIEs [Abstract] | |||||||
Cash and cash equivalents | 1,911 | 3,930 | |||||
Investments in securities | 11,227 | 14,589 | |||||
Receivable from brokers | 1,106 | 2,784 | |||||
Investments in partnerships and affiliates | 0 | 376 | |||||
Investments in marketable securities held in trust | 175,109 | 175,040 | |||||
Other assets | 103 | 7,367 | |||||
Accrued expenses and other liabilities | (7,074) | (6,425) | |||||
PMV warrant liability | (5,280) | 0 | |||||
Redeemable noncontrolling interests | (162,314) | (167,382) | |||||
Nonredeemable noncontrolling interests | 1,757 | (2,451) | |||||
AC Group's net interests in consolidated entities | $ 16,545 | $ 27,828 | |||||
|
Investment Partnerships and Other Entities, Voting Interest Entities (Details) - USD ($) $ in Thousands |
Dec. 31, 2021 |
Dec. 31, 2020 |
---|---|---|
Balances related to VOE's [Abstract] | ||
Assets | $ 1,203,336 | $ 1,174,545 |
Liabilities | 65,534 | 66,328 |
Redeemable noncontrolling interests | (202,456) | (206,828) |
Voting Interest Entities [Member] | ||
Balances related to VOE's [Abstract] | ||
Assets | 109,300 | 112,600 |
Liabilities | 8,400 | 13,600 |
Redeemable noncontrolling interests | 40,100 | 39,400 |
AC Group's net interests in consolidated entities | $ 60,800 | $ 59,600 |
Fair Value, Assets and Liabilities Measured at Fair Value on a Recurring Basis (Details) - USD ($) $ in Thousands |
Dec. 31, 2021 |
Dec. 31, 2020 |
---|---|---|
Assets [Abstract] | ||
Investments in government securities | $ 60,996 | $ 344,453 |
Investments in securities | 273,087 | 249,887 |
Investments in affiliated registered investment companies | 134,548 | 170,605 |
Liabilities [Abstract] | ||
Securities sold, not yet purchased | 12,905 | 17,571 |
PMV warrant liability | 5,280 | 0 |
Trading - U.S. Treasury Bills [Member] | ||
Assets [Abstract] | ||
Investments in government securities | 60,996 | 344,453 |
Common Stocks [Member] | ||
Assets [Abstract] | ||
Investments in securities | 265,156 | 237,377 |
Closed-end Funds [Member] | ||
Assets [Abstract] | ||
Investments in affiliated registered investment companies | 64,381 | 106,719 |
Mutual Funds [Member] | ||
Assets [Abstract] | ||
Investments in securities | 1,351 | 1,294 |
Investments in affiliated registered investment companies | 70,167 | 63,886 |
Other [Member] | ||
Assets [Abstract] | ||
Investments in securities | 6,580 | 11,216 |
Recurring Basis [Member] | ||
Assets [Abstract] | ||
Cash equivalents | 314,172 | 34,010 |
Investments in securities | 334,083 | 594,340 |
Investments in affiliated registered investment companies | 134,548 | 170,605 |
Total investments held at fair value | 468,631 | 764,945 |
Total assets at fair value | 782,803 | 798,955 |
Liabilities [Abstract] | ||
Securities sold, not yet purchased | 12,905 | 17,571 |
PMV warrant liability | 5,280 | |
Total liabilities at fair value | 18,185 | |
Recurring Basis [Member] | Trading - U.S. Treasury Bills [Member] | ||
Assets [Abstract] | ||
Investments in government securities | 60,996 | 344,453 |
Recurring Basis [Member] | Common Stocks [Member] | ||
Assets [Abstract] | ||
Investments in securities | 265,156 | 237,377 |
Liabilities [Abstract] | ||
Trading | 9,838 | 16,090 |
Recurring Basis [Member] | Closed-end Funds [Member] | ||
Assets [Abstract] | ||
Investments in affiliated registered investment companies | 64,381 | 106,719 |
Recurring Basis [Member] | Mutual Funds [Member] | ||
Assets [Abstract] | ||
Investments in securities | 1,351 | 1,294 |
Investments in affiliated registered investment companies | 70,167 | 63,886 |
Recurring Basis [Member] | Other [Member] | ||
Assets [Abstract] | ||
Investments in securities | 6,580 | 11,216 |
Liabilities [Abstract] | ||
Trading | 3,067 | 1,481 |
Recurring Basis [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Assets [Abstract] | ||
Cash equivalents | 314,172 | 34,010 |
Investments in securities | 327,943 | 583,781 |
Investments in affiliated registered investment companies | 126,548 | 168,605 |
Total investments held at fair value | 454,491 | 752,386 |
Total assets at fair value | 768,663 | 786,396 |
Liabilities [Abstract] | ||
Securities sold, not yet purchased | 11,797 | 16,633 |
PMV warrant liability | 5,280 | |
Total liabilities at fair value | 17,077 | |
Recurring Basis [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Trading - U.S. Treasury Bills [Member] | ||
Assets [Abstract] | ||
Investments in government securities | 60,996 | 344,453 |
Recurring Basis [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Common Stocks [Member] | ||
Assets [Abstract] | ||
Investments in securities | 260,763 | 231,901 |
Liabilities [Abstract] | ||
Trading | 9,838 | 16,090 |
Recurring Basis [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Closed-end Funds [Member] | ||
Assets [Abstract] | ||
Investments in affiliated registered investment companies | 56,381 | 104,719 |
Recurring Basis [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Mutual Funds [Member] | ||
Assets [Abstract] | ||
Investments in securities | 1,351 | 1,294 |
Investments in affiliated registered investment companies | 70,167 | 63,886 |
Recurring Basis [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Other [Member] | ||
Assets [Abstract] | ||
Investments in securities | 4,833 | 6,133 |
Liabilities [Abstract] | ||
Trading | 1,959 | 543 |
Recurring Basis [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Assets [Abstract] | ||
Cash equivalents | 0 | 0 |
Investments in securities | 3,540 | 6,061 |
Investments in affiliated registered investment companies | 0 | 0 |
Total investments held at fair value | 3,540 | 6,061 |
Total assets at fair value | 3,540 | 6,061 |
Liabilities [Abstract] | ||
Securities sold, not yet purchased | 1,108 | 938 |
PMV warrant liability | 0 | |
Total liabilities at fair value | 1,108 | |
Recurring Basis [Member] | Significant Other Observable Inputs (Level 2) [Member] | Trading - U.S. Treasury Bills [Member] | ||
Assets [Abstract] | ||
Investments in government securities | 0 | 0 |
Recurring Basis [Member] | Significant Other Observable Inputs (Level 2) [Member] | Common Stocks [Member] | ||
Assets [Abstract] | ||
Investments in securities | 2,320 | 5,440 |
Liabilities [Abstract] | ||
Trading | 0 | 0 |
Recurring Basis [Member] | Significant Other Observable Inputs (Level 2) [Member] | Closed-end Funds [Member] | ||
Assets [Abstract] | ||
Investments in affiliated registered investment companies | 0 | 0 |
Recurring Basis [Member] | Significant Other Observable Inputs (Level 2) [Member] | Mutual Funds [Member] | ||
Assets [Abstract] | ||
Investments in securities | 0 | 0 |
Investments in affiliated registered investment companies | 0 | 0 |
Recurring Basis [Member] | Significant Other Observable Inputs (Level 2) [Member] | Other [Member] | ||
Assets [Abstract] | ||
Investments in securities | 1,220 | 621 |
Liabilities [Abstract] | ||
Trading | 1,108 | 938 |
Recurring Basis [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Assets [Abstract] | ||
Cash equivalents | 0 | 0 |
Investments in securities | 2,600 | 4,498 |
Investments in affiliated registered investment companies | 8,000 | 2,000 |
Total investments held at fair value | 10,600 | 6,498 |
Total assets at fair value | 10,600 | 6,498 |
Liabilities [Abstract] | ||
Securities sold, not yet purchased | 0 | 0 |
PMV warrant liability | 0 | |
Total liabilities at fair value | 0 | |
Recurring Basis [Member] | Significant Unobservable Inputs (Level 3) [Member] | Trading - U.S. Treasury Bills [Member] | ||
Assets [Abstract] | ||
Investments in government securities | 0 | 0 |
Recurring Basis [Member] | Significant Unobservable Inputs (Level 3) [Member] | Common Stocks [Member] | ||
Assets [Abstract] | ||
Investments in securities | 2,073 | 36 |
Liabilities [Abstract] | ||
Trading | 0 | 0 |
Recurring Basis [Member] | Significant Unobservable Inputs (Level 3) [Member] | Closed-end Funds [Member] | ||
Assets [Abstract] | ||
Investments in affiliated registered investment companies | 8,000 | 2,000 |
Recurring Basis [Member] | Significant Unobservable Inputs (Level 3) [Member] | Mutual Funds [Member] | ||
Assets [Abstract] | ||
Investments in securities | 0 | 0 |
Investments in affiliated registered investment companies | 0 | 0 |
Recurring Basis [Member] | Significant Unobservable Inputs (Level 3) [Member] | Other [Member] | ||
Assets [Abstract] | ||
Investments in securities | 527 | 4,462 |
Liabilities [Abstract] | ||
Trading | $ 0 | $ 0 |
Fair Value, Changes in Level 3 Assets Measured at Fair Value on a Recurring Basis (Details) - USD ($) $ in Thousands |
12 Months Ended | |
---|---|---|
Dec. 31, 2021 |
Dec. 31, 2020 |
|
Changes in Level 3 Assets Measured at Fair Value on a Recurring Basis [Roll Forward] | ||
Beginning balance | $ 6,498 | $ 4,223 |
Total gains/(losses) | (546) | (37) |
Purchases | 6,053 | 2,000 |
Sales/return of capital | (1,046) | (1,800) |
Transfers | (359) | 2,112 |
Ending balance | 10,600 | 6,498 |
Changes in net unrealized gain/(loss) included in net gain from investments related to Level 3 assets still held as of the reporting date | (546) | (53) |
Common Stocks [Member] | ||
Changes in Level 3 Assets Measured at Fair Value on a Recurring Basis [Roll Forward] | ||
Beginning balance | 36 | 89 |
Total gains/(losses) | 9 | (53) |
Purchases | 0 | 0 |
Sales/return of capital | 0 | 0 |
Transfers | 0 | 0 |
Ending balance | 45 | 36 |
Changes in net unrealized gain/(loss) included in net gain from investments related to Level 3 assets still held as of the reporting date | 9 | (31) |
Other [Member] | ||
Changes in Level 3 Assets Measured at Fair Value on a Recurring Basis [Roll Forward] | ||
Beginning balance | 6,462 | 4,134 |
Total gains/(losses) | (555) | 16 |
Purchases | 6,053 | 2,000 |
Sales/return of capital | (1,046) | (1,800) |
Transfers | (359) | 2,112 |
Ending balance | 10,555 | 6,462 |
Changes in net unrealized gain/(loss) included in net gain from investments related to Level 3 assets still held as of the reporting date | $ (555) | $ (22) |
Fair Value, Changes in Level 3 Liabilities Measured at Fair Value on a Recurring Basis (Details) - USD ($) |
12 Months Ended | |
---|---|---|
Dec. 31, 2021 |
Dec. 31, 2020 |
|
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning balance | $ 0 | |
Total (gains)/losses | (3,053,000) | |
Issuances | 8,333,000 | |
Transfers | (5,280,000) | |
Ending balance | 0 | $ 0 |
Changes in net unrealized (gain) included in net gain from investments related to Level 3 assets still held as of the reporting date | 0 | |
Unobservable Inputs Reconciliation, Transfers [Abstract] | ||
Transfers into level 3 | 2,221,000 | |
Transfers into level 1 | 359,000 | 109,000 |
PMV Warrant Liability [Member] | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning balance | 0 | |
Total (gains)/losses | (3,053,000) | |
Issuances | 8,333,000 | |
Transfers | (5,280,000) | |
Ending balance | 0 | 0 |
Changes in net unrealized (gain) included in net gain from investments related to Level 3 assets still held as of the reporting date | 0 | |
Other [Member] | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning balance | 0 | |
Total (gains)/losses | 0 | |
Issuances | 0 | |
Transfers | 0 | |
Ending balance | 0 | $ 0 |
Changes in net unrealized (gain) included in net gain from investments related to Level 3 assets still held as of the reporting date | $ 0 |
Fair Value, Carrying Amounts and Estimated Fair Values of Financial Assets (Details) - USD ($) $ in Thousands |
Dec. 31, 2021 |
Dec. 31, 2020 |
|||||
---|---|---|---|---|---|---|---|
Carrying Amounts and Estimated Fair Values of Financial Assets [Abstract] | |||||||
Investment in note receivable from affiliate | [1] | $ 5,066 | |||||
Fair Value [Member] | |||||||
Carrying Amounts and Estimated Fair Values of Financial Assets [Abstract] | |||||||
Total assets at fair value | 5,066 | ||||||
Fair Value [Member] | Level 2 [Member] | |||||||
Carrying Amounts and Estimated Fair Values of Financial Assets [Abstract] | |||||||
Investment in note receivable from affiliate | 5,066 | [2] | $ 0 | ||||
Amortized Cost [Member] | |||||||
Carrying Amounts and Estimated Fair Values of Financial Assets [Abstract] | |||||||
Total assets at fair value | 5,066 | ||||||
Amortized Cost [Member] | Level 2 [Member] | |||||||
Carrying Amounts and Estimated Fair Values of Financial Assets [Abstract] | |||||||
Investment in note receivable from affiliate | $ 5,066 | [2] | $ 0 | ||||
|
Income Taxes (Details) - USD ($) $ in Thousands |
12 Months Ended | |
---|---|---|
Dec. 31, 2021 |
Dec. 31, 2020 |
|
Federal [Abstract] | ||
Current | $ 8,512 | $ 9,051 |
Deferred | 7,966 | (193) |
State and local [Abstract] | ||
Current | 453 | 532 |
Deferred | 722 | (16) |
Foreign [Abstract] | ||
Current | 36 | 0 |
Deferred | 16 | 0 |
Total | $ 17,705 | $ 9,374 |
Reconciliation of the Federal statutory rate to the effective tax rate [Abstract] | ||
Statutory Federal income tax rate | 21.00% | 21.00% |
State income tax, net of Federal benefit | 1.20% | 1.30% |
Dividends received deduction | (1.00%) | (1.40%) |
Deferred tax asset valuation allowance | (0.50%) | 1.50% |
Foreign investments | (0.50%) | 9.90% |
Foreign-derived intangible income | (0.70%) | 0.00% |
Noncontrolling interests | (1.10%) | (1.30%) |
Nondeductible compensation | 2.00% | 0.00% |
Other | 1.40% | 0.40% |
Effective income tax rate | 21.80% | 31.40% |
Deferred tax assets [Abstract] | ||
Stock-based compensation expense | $ 683 | $ 430 |
Deferred compensation | 277 | 1,825 |
Shareholder-designated contribution carryover | 2,990 | 3,244 |
Other | 755 | 53 |
Total deferred tax assets | 4,705 | 5,552 |
Deferred tax liabilities [Abstract] | ||
Investments in securities and partnerships | (9,683) | (1,300) |
Other liabilities | (182) | (201) |
Total deferred tax liabilities | (9,865) | (1,501) |
Gross deferred tax liabilities | (5,160) | |
Gross deferred tax assets | 4,051 | |
Valuation allowance | (1,336) | (1,844) |
Net deferred tax liabilities | $ (6,496) | |
Net deferred tax assets | $ 2,207 |
Earnings per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands |
12 Months Ended | |
---|---|---|
Dec. 31, 2021 |
Dec. 31, 2020 |
|
Earnings per Share [Abstract] | ||
Income/(loss) from continuing operations | $ 63,634 | $ 20,509 |
Less: Income/(loss) attributable to noncontrolling interests | 4,431 | 1,061 |
Net income/(loss) from continuing operations attributable to Associated Capital Group, Inc.'s shareholders | 59,203 | 19,448 |
Income/(loss) from discontinued operations | 0 | (632) |
Net income/(loss) attributable to Associated Capital Group, Inc.'s shareholders | $ 59,203 | $ 18,816 |
Weighted average number of shares of Common Stock outstanding - basic (in shares) | 22,120 | 22,369 |
Weighted average number of shares of Common Stock outstanding - diluted (in shares) | 22,120 | 22,369 |
Basic [Abstract] | ||
Net income/(loss) from continuing operations (in dollars per share) | $ 2.68 | $ 0.87 |
Net income/(loss) from discontinued operations (in dollars per share) | 0 | (0.03) |
Basic - Total (in dollars per share) | 2.68 | 0.84 |
Diluted [Abstract] | ||
Net income/(loss) from continuing operations (in dollars per share) | 2.68 | 0.87 |
Net income/(loss) from discontinued operations (in dollars per share) | 0 | (0.03) |
Diluted - Total (in dollars per share) | $ 2.68 | $ 0.84 |
Related Party Transactions (Details) - GGCP [Member] - Class B Common Stock [Member] |
Dec. 31, 2021 |
---|---|
Ownership Percentage [Abstract] | |
Ownership percentage of voting rights | 96.00% |
Ownership interest | 84.00% |
Related Party Transactions, Investments (Details) - USD ($) $ / shares in Units, $ in Thousands, shares in Millions |
12 Months Ended | |
---|---|---|
Dec. 31, 2021 |
Dec. 31, 2020 |
|
Investments in Securities [Abstract] | ||
Net realized and unrealized (loss) gain on investments | $ 93,405 | $ 36,864 |
Investments in Gabelli U.S. Treasury Money Market Fund | 6,000 | 31,500 |
Investments in affiliated equity mutual funds | 134,500 | 170,700 |
Gains from investments and dividends | 12,109 | 8,675 |
Investments in Partnerships [Abstract] | ||
Revenues | 20,924 | 18,983 |
Investment in affiliated investment partnerships | 112,600 | 99,100 |
Investment Advisory and Incentive Fees [Member] | ||
Investments in Partnerships [Abstract] | ||
Revenues | $ 12,000 | 10,500 |
GAMCO [Member] | ||
Investments in Securities [Abstract] | ||
Percentage of increase in stock price | 40.80% | |
Share price (in dollars per share) | $ 24.98 | |
Net realized and unrealized (loss) gain on investments | $ 20,400 | (5,500) |
GAMCO [Member] | Common Stock [Member] | ||
Investments in Securities [Abstract] | ||
Investment value | 60,400 | 48,900 |
Dividend income | $ 5,400 | $ 2,800 |
GAMCO [Member] | Common Stock [Member] | Class A [Member] | ||
Investments in Securities [Abstract] | ||
Number of shares owned (in shares) | 2.4 | 2.8 |
GCIA [Member] | ||
Investments in Securities [Abstract] | ||
Interest earned on investments | $ 1,600 | |
Gains from investments and dividends | $ 24,200 | 12,000 |
Investment Advisory Services [Abstract] | ||
Percentage of revenue transferred | 90.00% | |
Amounts of transaction | $ 8,900 | $ 7,200 |
Related Party Transactions, Compensation and Others (Details) - USD ($) |
12 Months Ended | |
---|---|---|
Dec. 31, 2021 |
Dec. 31, 2020 |
|
Compensation [Abstract] | ||
Management fee expense percentage | 10.00% | |
Management fee expense | $ 8,426,000 | $ 3,101,000 |
Other [Abstract] | ||
Notice period for termination of agreement | 30 days | |
Compensation | $ 24,457,000 | 19,436,000 |
Other operating expense | 7,117,000 | 8,915,000 |
3 St. James Place, London, UK [Member] | ||
Leases [Abstract] | ||
Revenue under lease agreement | $ 275,400 | |
Puttable Subordinated Notes Due 2023 [Member] | ||
Affiliated Receivables/Payables [Abstract] | ||
Subordinated notes term | 2 years | |
GAMCO [Member] | ||
Leases [Abstract] | ||
Rent paid | $ 73,700 | 144,000 |
Other [Abstract] | ||
Compensation | 5,500,000 | 4,100,000 |
Other operating expense | 1,800,000 | $ 900,000 |
GAMCO [Member] | 191 Mason Street, Greenwich, CT 06830 [Member] | ||
Leases [Abstract] | ||
Revenue under lease agreement | $ 118,100 |
Equity (Details) $ / shares in Units, $ in Thousands |
3 Months Ended | 12 Months Ended | ||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
May 08, 2018
shares
|
Aug. 03, 2017
shares
|
Dec. 31, 2021
USD ($)
$ / shares
shares
|
Jun. 30, 2021
$ / shares
|
Dec. 31, 2020
USD ($)
$ / shares
shares
|
Jun. 30, 2020
$ / shares
|
Dec. 31, 2021
USD ($)
Vote
Plan
$ / shares
shares
|
Dec. 31, 2020
USD ($)
$ / shares
shares
|
Feb. 07, 2017
shares
|
Dec. 31, 2015
shares
|
|||||
Stock Award and Incentive Plan [Abstract] | ||||||||||||||
Number of stock award and incentive plans | Plan | 1 | |||||||||||||
Number of shares awarded (in shares) | 700,000 | |||||||||||||
Shares available for future issuance (in shares) | 1,300,000 | 1,300,000 | ||||||||||||
Compensation payable | $ | $ 19,730 | $ 18,567 | $ 19,730 | $ 18,567 | ||||||||||
Share-based compensation [Abstract] | ||||||||||||||
Stock-based compensation expense | $ | 2,092 | (163) | ||||||||||||
Remaining expense to be recognized if all vesting conditions are met | $ | [1] | $ 6,640 | $ 3,674 | $ 6,640 | $ 3,674 | |||||||||
Weighted average remaining contractual term (in years) | 2 years 2 months 12 days | 2 years 3 months 18 days | ||||||||||||
Stock Repurchase Program [Abstract] | ||||||||||||||
Number of shares available under stock repurchase program (in shares) | 677,144 | 893,102 | 677,144 | 893,102 | 500,000 | |||||||||
Number of additional shares authorized to be repurchased under stock repurchase program (in shares) | 500,000 | 1,000,000 | ||||||||||||
Number of shares purchased [Abstract] | ||||||||||||||
Remaining repurchase authorization, beginning of period (in shares) | 893,102 | 1,094,356 | ||||||||||||
Share repurchase plan (in shares) | [2] | (215,958) | (201,254) | |||||||||||
Remaining repurchase authorization, end of period (in shares) | 677,144 | 893,102 | 677,144 | 893,102 | ||||||||||
Average price per share [Abstract] | ||||||||||||||
Share repurchase plan (in dollars per share) | $ / shares | [2] | $ 35.40 | $ 36.98 | |||||||||||
Total repurchases | $ | $ 7,600 | $ 7,400 | ||||||||||||
Dividends [Abstract] | ||||||||||||||
Dividends declared (in dollars per share) | $ / shares | $ 0.10 | $ 0.10 | $ 0.10 | $ 0.10 | ||||||||||
Maximum [Member] | ||||||||||||||
Stock Award and Incentive Plan [Abstract] | ||||||||||||||
Term of RSAs and stock options | 10 years | |||||||||||||
Stock Repurchase Program [Abstract] | ||||||||||||||
Number of shares authorized under stock repurchase program (in shares) | 500,000 | |||||||||||||
Dividend Declared in 2021 [Member] | ||||||||||||||
Dividends [Abstract] | ||||||||||||||
Total dividends declared | $ | $ 4,400 | |||||||||||||
Dividend Declared in 2020 [Member] | ||||||||||||||
Dividends [Abstract] | ||||||||||||||
Total dividends declared | $ | $ 4,500 | |||||||||||||
Class A [Member] | ||||||||||||||
Voting Rights [Abstract] | ||||||||||||||
Number of votes per share | Vote | 1 | |||||||||||||
Class A [Member] | Maximum [Member] | ||||||||||||||
Stock Award and Incentive Plan [Abstract] | ||||||||||||||
Shares reserved for future issuance (in shares) | 2,000,000 | 2,000,000 | ||||||||||||
Class A [Member] | Dividend Declared in 2021 [Member] | ||||||||||||||
Dividends [Abstract] | ||||||||||||||
Dividends declared (in dollars per share) | $ / shares | $ 0.20 | |||||||||||||
Class A [Member] | Dividend Declared in 2020 [Member] | ||||||||||||||
Dividends [Abstract] | ||||||||||||||
Dividends declared (in dollars per share) | $ / shares | $ 0.20 | |||||||||||||
Class B [Member] | ||||||||||||||
Voting Rights [Abstract] | ||||||||||||||
Number of votes per share | Vote | 10 | |||||||||||||
Class B [Member] | Dividend Declared in 2021 [Member] | ||||||||||||||
Dividends [Abstract] | ||||||||||||||
Dividends declared (in dollars per share) | $ / shares | $ 0.20 | |||||||||||||
Class B [Member] | Dividend Declared in 2020 [Member] | ||||||||||||||
Dividends [Abstract] | ||||||||||||||
Dividends declared (in dollars per share) | $ / shares | $ 0.20 | |||||||||||||
Restricted Stock Awards [Member] | ||||||||||||||
Stock Award and Incentive Plan [Abstract] | ||||||||||||||
Shares outstanding (in shares) | 0 | 0 | 0 | 0 | ||||||||||
RSA's [Roll Forward] | ||||||||||||||
Balance, beginning of period (in shares) | 0 | |||||||||||||
Balance, end of period (in shares) | 0 | 0 | 0 | 0 | ||||||||||
Phantom RSAs [Member] | ||||||||||||||
Stock Award and Incentive Plan [Abstract] | ||||||||||||||
Shares outstanding (in shares) | 222,905 | 155,500 | 222,905 | 155,500 | ||||||||||
Compensation payable | $ | $ 3,000 | $ 1,800 | $ 3,000 | $ 1,800 | ||||||||||
RSA's [Roll Forward] | ||||||||||||||
Balance, beginning of period (in shares) | 155,500 | |||||||||||||
Granted (in shares) | 100,500 | |||||||||||||
Forfeited (in shares) | (8,000) | |||||||||||||
Vested (in shares) | (25,095) | |||||||||||||
Balance, end of period (in shares) | 222,905 | 155,500 | 222,905 | 155,500 | ||||||||||
Weighted Average Grant Date Fair Value [Abstract] | ||||||||||||||
Balance, beginning of period (in dollars per share) | $ / shares | $ 36.42 | |||||||||||||
Granted (in dollars per share) | $ / shares | 35.82 | |||||||||||||
Forfeited (in dollars per share) | $ / shares | 36.64 | |||||||||||||
Vested (in dollars per share) | $ / shares | 37.40 | |||||||||||||
Balance, end of period (in dollars per share) | $ / shares | $ 36.03 | $ 36.42 | $ 36.03 | $ 36.42 | ||||||||||
|
Retirement Plan (Details) - USD ($) |
12 Months Ended | |
---|---|---|
Dec. 31, 2021 |
Dec. 31, 2020 |
|
Retirement Plan [Abstract] | ||
Allocated contributions | $ 7,200 | $ 19,000 |
Shareholder Designated Contribution Plan (Details) - USD ($) $ / shares in Units, $ in Thousands |
12 Months Ended | |
---|---|---|
Dec. 31, 2021 |
Dec. 31, 2020 |
|
Shareholder Designated Contribution Plan [Abstract] | ||
Contribution price (in dollars per share) | $ 0.30 | |
Shareholder designated contribution | $ 4,789 | $ 3,007 |
Liability related to shareholder designated contribution program | $ 1,500 | $ 2,000 |
Discontinued Operations, Summary (Details) |
Aug. 05, 2020
shares
|
---|---|
Morgan Group Holding, Co. [Member] | |
Discontinued Operations and Disposal Groups [Abstract] | |
Number of shares received against each share (in shares) | 0.022356 |
Discontinued Operations, Operating Results (Details) - USD ($) $ in Thousands |
12 Months Ended | |||
---|---|---|---|---|
Dec. 31, 2021 |
Dec. 31, 2020 |
|||
Other income (expense) [Abstract] | ||||
Income/(loss) from discontinued operations, net of taxes | $ 0 | $ (632) | ||
Net income/(loss) attributable to AC shareholders discontinued operations, net of taxes | $ 0 | (632) | ||
Morgan Group Holding, Co. [Member] | ||||
Revenue [Abstract] | ||||
Revenues | [1] | 2,960 | ||
Expenses [Abstract] | ||||
Compensation | [1] | 2,276 | ||
Other operating expenses | [1] | 1,699 | ||
Total expenses | [1] | 3,975 | ||
Operating loss | [1] | (1,015) | ||
Other income (expense) [Abstract] | ||||
Net loss from investments | [1] | (8) | ||
Interest and dividend income | [1] | 81 | ||
Total other income, net | [1] | 73 | ||
Income/(loss) from discontinued operations before income taxes | [1] | (942) | ||
Income tax provision/(benefit) | [1] | (205) | ||
Income/(loss) from discontinued operations, net of taxes | [1] | (737) | ||
Net income/(loss) attributable to noncontrolling interests | [1] | (105) | ||
Net income/(loss) attributable to AC shareholders discontinued operations, net of taxes | [1] | (632) | ||
Morgan Group Holding, Co. [Member] | Institutional Research Services [Member] | ||||
Revenue [Abstract] | ||||
Revenues | [1] | 2,924 | ||
Morgan Group Holding, Co. [Member] | Other [Member] | ||||
Revenue [Abstract] | ||||
Revenues | [1] | $ 36 | ||
|
Discontinued Operations, Cash Flows from Discontinued Operations (Details) - USD ($) $ in Thousands |
12 Months Ended | |
---|---|---|
Dec. 31, 2021 |
Dec. 31, 2020 |
|
Cash flows from discontinued operations [Abstract] | ||
Net cash provided by operating activities | $ 0 | $ 114 |
Net cash provided by (used in) investing activities | 0 | |
Net cash provided by (used in) financing activities | $ 0 |
:EO8 XLM%RRM&TL$
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M&0Y6OJ@L)(X-:K![H*,+5.D&NL#=IWS_?FO/N\%PYUTGS%8@Y!?(6 L?+EK)T%75 &1(DX U6Z
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M%W:HA:293#>I[%;N 'RF$UD,/4\IVV:HOH'$3)A[@HC0ZOXR2,84:Q@W&@/67@'"(.(QXS0G\8E:T(9V@5821W3
MPFTT$*!_&2/[:$GB(+3@GTT+/DJS-$-[QPBA,6&VX%:$PQG?9@&VY)];I.8&
M'!=30)KA?V4*\?S"/%@ ^=')QE3"JML!5[YG0
4DB
&ULM5I;;]O(%7[GKQBXWD(&&)GW2S8)X'BS;8#-)HBS"8JB#Y0TLHA0))=#
MVE9_?;]SAJ1(2E:7
M:KF1VT3-BU+F>+(NJFU2XV=U>ZG*2B8KWK3-+AW+"BZW29J?O7K!]SY4KUX4
M39VEN?Q0"=5LMTFU>RVSXO[EF7W6W?B8WFYJNG'YZD69W,H;6?]1?JCPZ[*G
MLDJW,E=ID8M*KE^>7=G/7WNTGA=\3N6]&EP+DF11%%_IQ]O5RS.+&)*97-9$
M(<&?.WDMLXP(@8T_6YIG_9&T<7C=4?^5985N34R[GY;8)!T:,=#/LN&[-GS8
M1IO@V00>K))V*MHJJ$X>P$5(KAJAE/%<[()3N7&W' LZ;BD&0J#0L^YB3/%1
M?_9C2@(M]0!2,!CPUJ2NJQ1E:E=3GX@)O5W_OY_-0[$M^7.LZ7^
Y%4YUH=(^^SB)O22.>FQ1!*8)>%!0*)?JB3:>>,=/A"&]?5.6%] =3OUI
MD#@CXNF87: 5P+U4%I*[NNX\;*QG!N;45NDMTV275>Y4Y+EP]4]X-B?_$5)I
MF$&/!)==L04ULSYV=SNM+8J]\#EU7A0. ^]=]VA >Z+Q607A<*5C7XA*Y-)Z
MX3#"+_:NY8/,8*0A]P4