Marketable Securities

Investments Available For Sale

Investments available for sale classified as non-current assets consist of:



	At December 31, 2012
	Cost		Gross Unrealized Gains		Gross Unrealized (Losses)			Fair Value
SEI-sponsored mutual funds	$	12,953	$	376	$	(13	)	$	13,316
Equities and other mutual funds	2,610		—		—			2,610
Debt securities	55,923		4,020		—			59,943
	$	71,486	$	4,396	$	(13	)	$	75,869



	At December 31, 2011
	Cost		Gross Unrealized Gains		Gross Unrealized (Losses)			Fair Value
SEI-sponsored mutual funds	$	8,243	$	48	$	(360	)	$	7,931
Other mutual funds	69		10		—			79
Debt securities	70,604		4,394		—			74,998
	$	78,916	$	4,452	$	(360	)	$	83,008

Net unrealized holding gains at December 31, 2012 and 2011 were $2,829 (net of income tax expense of $1,554) and $2,574 (net of income tax expense of $1,518), respectively. These net unrealized gains are reported as a separate component of Accumulated other comprehensive income on the accompanying Consolidated Balance Sheets.

There were no material gross realized gains or losses from available-for-sale securities during 2012, 2011 and 2010. Gains and losses from available-for-sale securities are reflected in Net gain from investments on the accompanying Consolidated Statements of Operations.

The Company’s debt securities are issued by the Government National Mortgage Association and are backed by the full faith and credit of the U.S. government. These securities were purchased to satisfy applicable regulatory requirements of SPTC and have maturity dates which range from 2020 to 2041.

Trading Securities

Trading securities of the Company consist of:



	At December 31, 2012
	Cost		Gross Unrealized Gains		Gross Unrealized (Losses)			Fair Value
LSV-sponsored mutual funds	$	2,049	$	2,657	$	—		$	4,706
Other investments	1,228		—		(25		)	1,203
	$	3,277	$	2,657	$	(25	)	$	5,909



	At December 31, 2011
	Cost		Gross Unrealized Gains		Gross Unrealized (Losses)			Fair Value
SIV securities	$	146,363	$	—	$	(94,955	)	$	51,408
LSV-sponsored mutual funds	2,049		1,653		—			3,702
Other investments	1,215		—		—			1,215
	$	149,627	$	1,653	$	(94,955	)	$	56,325

The Company records all of its trading securities on the accompanying Consolidated Balance Sheets at fair value. Unrealized gains and losses from the change in fair value of these securities are recognized in Net gain from investments on the accompanying Consolidated Statements of Operations.

During 2012, 2011 and 2010, the Company recognized net gains from SIV securities of $13,240, $3,390 and $44,247 respectively. Of the net gains recognized during 2012, gains of $6,776 resulted from cash payments received from the SIV securities and $1,142 was from a net increase in fair value. In November 2012, the Company sold the senior notes issued by Gryphon and recognized a gain of $5,322 from the sale. The Company no longer owns any SIV securities.

During 2011, the Company recognized gains from SIV securities of $3,390, of which $10,614 resulted from cash payments received from the SIV securities offset by losses of $7,224 which resulted from a decrease in fair value at December 31, 2011. In January 2011, the Company sold the senior note issued by Stanfield Victoria. There was no gain or loss recognized by the Company from the sale of the note as the fair value of the Stanfield Victoria note at December 31, 2010 was not different than the sale price received.

During 2010, the Company recognized gains from SIV securities of $44,247, of which $27,510 resulted from cash payments received from the SIV securities and $16,460 was from a net increase in fair value at December 31, 2010. The net gains from the SIV securities are reflected in Net gain from investments on the accompanying Consolidated Statements of Operations.

The Company has an investment related to the startup of mutual funds sponsored by LSV. These are U.S. dollar denominated funds that invests primarily in securities of Canadian, Australian and Japanese companies as well as various other global securities. The underlying securities held by the funds are translated into U.S. dollars within the funds. Net gains from the change in fair value of the funds were $1,004 during 2012. There were no material net gains or losses from the change in fair value of the funds during 2011.

Securities Owned

The Company’s broker-dealer subsidiary, SIDCO, has investments in U.S. government agency and commercial paper securities with maturity dates less than one year. These investments are reflected as Securities owned on the accompanying Consolidated Balance Sheets. Due to specialized accounting practices applicable to investments by broker-dealers, the securities are reported at fair value and changes in fair value are recorded in current period earnings. The securities had a fair value of $20,088 and $20,949 at December 31, 2012 and 2011, respectively. There were no material net gains or losses from the change in fair value of the securities during 2012 and 2011.