Related Party Transactions

9 Months Ended

Sep. 30, 2020

The Company enters into transactions with Refinitiv and its affiliates which are considered to be related party transactions. The Company also enters into transactions with the Bank Stockholders and their respective affiliates. Prior to the Reorganization Transactions, the Bank Stockholders were collectively considered to be related parties of the Company. As a result of the Reorganization Transactions, they are no longer considered to be related parties. As a result, the related party transactions listed below include transactions with affiliates of Refinitiv for all periods presented and only includes transactions with affiliates of the Bank Stockholders for pre-IPO periods.

At September 30, 2020 and December 31, 2019, the following balances with such affiliates were included in the consolidated statements of financial condition in the following line items (in thousands):


	September 30, 2020		December 31, 2019
Accounts receivable	$	2,609	$	—
Receivable from affiliates	36		2,525

Accounts payable, accrued expenses and other liabilities	539		—
Deferred revenue	4,185		4,733
Payable to affiliates	4,977		1,506

The following balances with such affiliates were included in the consolidated statements of income in the following line items (in thousands):


	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2020		2019		2020		2019
Revenue:
Transaction fees (1)	$	—	$	—	$	—	$	59,643
Subscription fees (1)	—		—		—		5,670
Commissions (1)	—		—		—		16,186
Refinitiv market data fees (2)	14,273		13,251		43,466		40,252
Other Income and Expenses:(3)
Interest income	—		—		—		858
Shared Services Fees: (4)
Technology and communications	740		740		2,220		2,220
General and administrative	—		24		(596)		406
Occupancy	—		123		15		434

(1)For pre-IPO periods, represents fees and commissions from affiliates of the Bank Stockholders.

(2)The Company maintains a market data license agreement with Refinitiv. Under the agreement, the Company delivers to Refinitiv certain market data feeds which Refinitiv redistributes to its customers. The Company earns license fees and royalties for these feeds.

(3)For pre-IPO periods, represents interest income from money market funds invested with and savings accounts deposited with affiliates of the Bank Stockholders.

(4)The Company maintains a shared services agreement with Refinitiv. Under the terms of the agreement, Refinitiv provides the Company with certain real estate, payroll, benefits administration, insurance, content, financial reporting and tax support.

The Company reimburses affiliates of Refinitiv for expenses paid on behalf of the Company for various services including salaries and bonuses, marketing, professional fees, communications, data costs and certain other administrative services. For the three and nine months ended September 30, 2020, the Company reimbursed such affiliates a net amount of approximately $0.1 million and $1.3 million, respectively, for these expenses. For the three and nine months ended September 30, 2019, the Company reimbursed such affiliates approximately $1.2 million and $5.5 million, respectively, for these expenses.

The Company engaged Blackstone Advisory Partners L.P., an affiliate of Blackstone, to provide certain financial consulting services in connection with the IPO, the October 2019 follow-on offering and the April 2020 follow-on offering for fees of $1.0 million, $0.5 million, and $0.5 million, respectively, which fees, with respect to the October 2019 follow-on offering and the April 2020 follow-on offering, were reimbursed by the underwriters. $2.0 million is included in additional paid-in capital on the September 30, 2020 consolidated statement of financial condition related to these offering costs.