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INVESTMENTS (Tables)
 9 Months Ended
Sep. 30, 2025
Investments, Debt and Equity Securities [Abstract]  
Schedule of Debt Securities, Available-for-Sale Below is a
disaggregated presentation of our investments in loans and securities, including fair value adjustments, accrued interest income and net of the allowance for credit losses, as applicable (in thousands):
 Carrying Value
September 30, 2025December 31, 2024
Investments in loans and securities
Securitization notes, available for sale$333,166 $240,273 
Securitization certificates, available for sale504,202 533,243 
Other loans and receivables, at amortized cost1,610 4,893 
Total838,978 778,409 
Investments in securities, under the fair value option
Securitization notes11,597 — 
Securitization certificates37,161 — 
Total48,758 — 
Total investments in loans and securities$887,736 $778,409 
The amortized cost, gross unrealized gains and losses, allowance for credit losses, and fair value of investments in securities as of September 30, 2025 and December 31, 2024 were as follows (in thousands). As provided in Note 6, a portion of these investments in securities are consolidated as a result of the Company’s determination that it is the primary beneficiary of certain VIEs.
As of September 30, 2025
Investments in securities, available for sale(1):Amortized
Cost		Gross
Unrealized
Gains		Gross
Unrealized
Non-Credit Related Adjustments		Allowance for Credit LossesFair Value
Securitization notes$335,533 $559 $(53)$(2,873)$333,166 
Securitization certificates979,623 11,759 (53,719)(433,461)504,202 

(1) Includes accrued interest receivable of $21.7 million.
As of December 31, 2024
Investments in securities, available for sale(2):Amortized
Cost		Gross
Unrealized
Gains		Gross
Unrealized
Non-Credit Related Adjustments		Allowance for Credit LossesFair Value
Securitization notes$240,396 $386 $(509)$— $240,273 
Securitization certificates1,048,734 7,926 (14,676)(508,741)533,243 
(2) Includes accrued interest receivable of $14.3 million, previously reported within “Fee receivables” as of December 31, 2024, has been reclassified to conform to the current period’s presentation.
The following table sets forth the amortized cost and fair value of investments in securities by contractual maturities, as of the date indicated (in thousands):

As of September 30, 2025
Within 1 yearGreater than 1 year, less than or equal to 5 yearsTotal
Investments in securities, available for sale(1):Amortized CostFair ValueAmortized CostFair ValueAmortized CostFair Value
Securitization notes$2,352 $5,834 $333,181 $327,332 $335,533 $333,166 
Securitization certificates20,332 18,406 959,291 485,796 979,623 504,202 
Schedule of Debt Securities, Available-for-Sale, Unrealized Loss Position, Fair Value
The following tables set forth the fair value and gross unrealized losses on investments in securities without an allowance for credit losses aggregated by investment category and length of time that individual securities had been in a continuous unrealized loss position, as of the dates indicated (in thousands):

As of September 30, 2025
Less than or equal to 1 yearGreater than 1 yearTotal
Investments in securities, available for sale:Fair ValueUnrealized LossesFair ValueUnrealized LossesFair ValueUnrealized Losses
Securitization notes$74 $— $7,076 $(53)$7,150 $(53)
Schedule of Debt Securities, Held-to-Maturity
As of December 31, 2024
Less than or equal to 1 yearGreater than 1 yearTotal
Investments in securities, available for sale:Fair ValueUnrealized LossesFair ValueUnrealized LossesFair ValueUnrealized Losses
Securitization notes$66 $(1)$27,295 $(508)$27,361 $(509)
As of December 31, 2024
Within 1 yearGreater than 1 year, less than or equal to 5 yearsTotal
Investments in securities, available for sale(1)(2):Amortized CostFair ValueAmortized CostFair ValueAmortized CostFair Value
Securitization notes$9,907 $9,903 $230,489 $230,370 $240,396 $240,273 
Securitization certificates11,554 11,554 1,037,180521,6891,048,734533,243
(1) Based on expected maturity date cash flows.
(2) Includes accrued interest receivable of $14.3 million, previously reported within “Fee and other receivables” as of December 31, 2024, has been reclassified to conform to the current period’s presentation.
Schedule of Realized Gain (Loss)
The following table sets forth gross proceeds and related investment gains and losses, as well as losses on write-downs and the allowance for credit losses of securities, for the periods indicated (in thousands):
Three Months Ended September 30,
Nine Months Ended September 30,
2025202420252024
Investments in loans and securities:
Proceeds from sales/maturities/prepayments$48,845 $23,083 $178,196 $89,905 
Gross investment gains from sales and maturities$(12)$— $(8,702)$— 
Gross investment losses from sales and maturities$16,288 $— $16,288 $— 
Write-offs charged against the allowance$211 $4,810 $804 $7,109 
Reductions (additions) to allowance for credit losses$57,385 $(79,171)$72,216 $(159,085)
Schedule of Debt Securities, Available-for-Sale, Allowance for Credit Loss
The following tables set forth the activity in the allowance for credit losses for investments in loans and securities, as of the dates indicated (in thousands):
Three Months Ended September 30, 2025
Securitization notesSecuritization certificatesOther Loans and ReceivablesTotal
Balance, beginning of period$(2,873)$(490,897)$(1,100)$(494,870)
Additions to allowance for credit losses not previously recorded— (11,510)— (11,510)
Reductions for securities sold during the period— 72,443 — 72,443 
Additions (reductions) on securities with previous allowance— (3,497)(51)(3,548)
Write-offs charged against the allowance— — 211 211 
Balance, end of period$(2,873)$(433,461)$(940)$(437,274)

Nine Months Ended September 30, 2025
Securitization notesSecuritization certificatesOther Loans and ReceivablesTotal
Balance, beginning of period$— $(508,741)$(1,553)$(510,294)
Additions to allowance for credit losses not previously recorded(2,873)(57,630)— (60,503)
Reductions for securities sold during the period— 150,766 — 150,766 
Additions (reductions) on securities with previous allowance— (17,856)(191)(18,047)
Write-offs charged against the allowance— — 804 804 
Balance, end of period$(2,873)$(433,461)$(940)$(437,274)

Three Months Ended September 30, 2024
Securitization notesSecuritization certificatesOther Loans and ReceivablesTotal
Balance, beginning of period$— $(174,077)$(4,053)$(178,130)
Additions to allowance for credit losses not previously recorded— (21,118)— (21,118)
Additions (reductions) on securities with previous allowance— (55,930)(2,123)(58,053)
Write-offs charged against the allowance— — 4,810 4,810 
Recoveries of amounts previously written off— — (443)(443)
Balance, end of period$— $(251,125)$(1,809)$(252,934)

Nine Months Ended September 30, 2024
Securitization notesSecuritization certificatesOther Loans and ReceivablesTotal
Balance, beginning of period$— $(98,679)$(2,279)$(100,958)
Additions to allowance for credit losses not previously recorded— (112,263)— (112,263)
Additions to the allowance for credit losses arising from purchases — — (3,246)(3,246)
Additions (reductions) on securities with previous allowance— (40,183)(3,393)(43,576)
Write-offs charged against the allowance— — 7,109 7,109 
Recoveries of amounts previously written off— — — — 
Balance, end of period$— $(251,125)$(1,809)$(252,934)
Schedule of Investments in Loans and Securities
The following table presents activities of investments in securities for which we elected the fair value option. See Note 10 for the assumptions used in our fair value model (in thousands):

Three Months Ended September 30,
Nine Months Ended September 30,
Investments in securities under the fair value option2025202420252024
Balance, beginning of period$32,888 $— $— $— 
Purchases7,829 — 28,855 — 
Principal payments(9,010)— (9,010)— 
Change in fair value
17,051 — 28,913 — 
Balance, end of period$48,758 $— $48,758 $— 
The following tables summarize the activity related to the fair value of the investments in loans and securities available for sale (Level 3 only) for the three and nine months ended September 30, 2025 and 2024 (in thousands):
Three Months Ended September 30,Nine Months Ended September 30,
2025202420252024
Balance, beginning of period$736,735 $853,418 $663,189 $626,368 
Transfer from Level 2—— — 10,469 
Additions67,811 130,271 316,789 536,966 
Cash received(40,407)(13,077)(148,423)(55,649)
Gain on sale of Investments in loans and securities2 — 8,595 — 
Loss on sale of Investments in loans and securities(16,279)— (16,279)— 
Change in accrued interest on investments10,599 — 20,497 — 
Change in fair value and other adjustments (OCI)(14,134)(19,711)(36,892)(87,342)
Credit-related impairment loss, net of recoveries8,137 (76,049)(55,012)(155,960)
Balance, end of period$752,464$874,852$752,464$874,852
Schedule of Equity Method Investments
The following investments, including those accounted for under the equity method, are included within Equity method and other investments in the unaudited condensed consolidated balance sheets as of September 30, 2025 and December 31, 2024 (in thousands):

 Carrying Value
September 30, 2025December 31, 2024
Investments in Pagaya SmartResi F1 Fund, LP (1)$9,689 $12,530 
Other (2)5,158 9,403 
Total$14,847 $21,933 

(1) The Company owns approximately 5.4% and is the general partner of Pagaya Smartresi F1 Fund LP.
(2) Represents the Company’s proprietary investments. Income (loss) from these investments is included in Investment income (loss), net in the unaudited condensed consolidated statements of operations.