Investments (Tables)

12 Months Ended

Jun. 30, 2014

Investments, All Other Investments [Abstract]

Schedule of Trading and Available-for-Sale Securities

The following details the components of the Company’s investments recorded at fair value as of June 30, 2014, and 2013:



	June 30, 2014
(dollars in thousands)	Cost		Gains		(Losses)			Fair Value
Trading securities ¹
Offshore fund	$	1,184	$	—	$	(186	)	$	998
Mutual funds - Fixed income	16,241		92		—			16,333
Mutual funds - Domestic equity	535		—		(76		)	459
Other	107		—		(80		)	27
Total trading securities	$	18,067	$	92	$	(342	)	$	17,817

Available-for-sale securities ²
Common stock - Domestic	$	535	$	586	$	(3	)	$	1,118
Common stock - International	607		802		—			1,409
Corporate debt	1,706		—		(74		)	1,632
Mutual funds - Fixed income	1,228		21		(2		)	1,247
Mutual funds - Domestic equity	543		7		—			550
Other	232		9		(1		)	240
Total available-for-sale securities ³	$	4,851	$	1,425	$	(80	)	$	6,196



	June 30, 2013
(dollars in thousands)	Cost		Gains		(Losses)			Fair Value
Trading securities ¹
Offshore fund	$	1,184	$	—	$	(398	)	$	786
Mutual funds - International equity	516		—		(156		)	360
Mutual funds - Fixed income	3,116		75		—			3,191
Mutual funds - Domestic equity	535		—		(136		)	399
Other	107		—		(85		)	22
Total trading securities	$	5,458	$	75	$	(775	)	$	4,758

Available-for-sale securities ²
Common stock - Domestic	$	266	$	313	$	—		$	579
Common stock - International	604		216		(5		)	815
Offshore fund	5,000		—		(288		)	4,712
Mutual funds - Fixed income	1,000		4		—			1,004
Mutual funds - Domestic equity	1,010		756		—			1,766
Other	185		—		(8		)	177
Total available-for-sale securities ³	$	8,065	$	1,289	$	(301	)	$	9,053


¹	Unrealized and realized gains and losses on trading securities are included in earnings in the statement of operations.


²	Unrealized gains and losses on available-for-sale securities are excluded from earnings and recorded in other comprehensive income (loss) as a separate component of shareholders’ equity until realized.


³	Net unrealized gains on available-for-sale securities gross and net of tax as of June 30, 2014, are $1,345 and $888, respectively, and as of June 30, 2013, are $988 and $652, respectively.

Investment Income (Loss) Reflected in Earnings

The following summarizes investment income (loss) reflected in earnings for the periods presented:



(dollars in thousands)	Year Ended June 30,
Investment Income (Loss)	2014			2013			2012
Realized losses on sales of trading securities	$	(163	)	$	(245	)	$	(2	)
Realized gains on sales of available-for-sale securities	1,044			266			179
Unrealized gains (losses) on trading securities	450			45			(485		)
Realized gain on Galileo acquisition	290			—			—
Realized foreign currency gains (losses)	1			1			(2		)
Other-than-temporary declines in available-for-sale securities	(3		)	(47		)	(19		)
Dividend and interest income	526			188			152
Total Investment Income (Loss)	$	2,145		$	208		$	(177	)

Summary of Gross Unrealized Losses and Fair Values of Available-for-Sale Investment Securities

The following tables show the gross unrealized losses and fair values of available-for-sale investment securities with unrealized losses aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position:



	June 30, 2014
	Less Than 12 Months					12 Months or Greater					Total
(dollars in thousands)	Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses
Available-for-sale securities
Common stock - Domestic	$	125	$	(3	)	$	—	$	—		$	125	$	(3	)
Corporate debt	1,382		(74		)	—		—			1,382		(74		)
Mutual funds - Fixed income	151		(2		)	—		—			151		(2		)
Other	118		(1		)	—		—			118		(1		)
Total available-for-sale securities	$	1,776	$	(80	)	$	—	$	—		$	1,776	$	(80	)

	June 30, 2013
	Less Than 12 Months					12 Months or Greater					Total
(dollars in thousands)	Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses
Available-for-sale securities
Common stock - International	$	95	$	(5	)	$	—	$	—		$	95	$	(5	)
Offshore fund	—		—			4,712		(288		)	4,712		(288		)
Other	166		(8		)	—		—			166		(8		)
Total available-for-sale securities	$	261	$	(13	)	$	4,712	$	(288	)	$	4,973	$	(301	)

Fair Value Measurements on Recurring Basis

The following presents fair value measurements, as of each balance sheet date, for the major categories of U.S. Global’s investments measured at fair value on a recurring basis:



	June 30, 2014
	Fair Value Measurement using
(dollars in thousands)	Quoted Prices (Level 1)		Significant Other Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Trading securities
Offshore fund	$	—	$	998	$	—	$	998
Mutual funds - Fixed income	16,333		—		—		16,333
Mutual funds - Domestic equity	459		—		—		459
Other	27		—		—		27
Total trading securities	16,819		998		—		17,817

Available-for-sale securities
Common stock - Domestic	1,118		—		—		1,118
Common stock - International	1,406		3		—		1,409
Corporate debt	292		1,090		250		1,632
Mutual funds - Fixed income	1,247		—		—		1,247
Mutual funds - Domestic equity	550		—		—		550
Other	240		—		—		240
Total available-for-sale securities	4,853		1,093		250		6,196

Total	$	21,672	$	2,091	$	250	$	24,013

	June 30, 2013
	Fair Value Measurement using
(dollars in thousands)	Quoted Prices (Level 1)		Significant Other Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Trading securities
Offshore fund	$	—	$	786	$	—	$	786
Mutual funds - International equity	360		—		—		360
Mutual funds - Fixed income	3,191		—		—		3,191
Mutual funds - Domestic equity	399		—		—		399
Other	22		—		—		22
Total trading securities	3,972		786		—		4,758

Available-for-sale securities
Common stock - Domestic	579		—		—		579
Common stock - International	720		—		95		815
Offshore fund	—		4,712		—		4,712
Mutual funds - Fixed income	1,004		—		—		1,004
Mutual funds - Domestic equity	1,766		—		—		1,766
Other	14		—		163		177
Total available-for-sale securities	4,083		4,712		258		9,053

Total	$	8,055	$	5,498	$	258	$	13,811

Summary of Investments Measured at Fair Value on Recurring Basis

The following table is a reconciliation of investments recorded at fair value for which unobservable inputs (Level 3) were used in determining fair value during the years ended June 30, 2014, and 2013:



	Changes in Level 3 Assets Measured at Fair Value on a Recurring Basis
	Year Ended June 30,
	2014								2013
(dollars in thousands)	Common Stock - International			Corporate Debt		Other			Common Stock - International		Other
Beginning Balance	$	95		$	—	$	163		$	—	$	168
Return of capital	—			—		(43		)	—		—
Total gains or losses (realized/unrealized)
Included in earnings (investment income)	—			—		—			—		—
Included in other comprehensive income (loss)	5			—		5			—		(5		)
Purchases	—			250		160			95		—
Sales	—			—		—			—		—
Transfers into Level 3	—			—		—			—		—
Transfers out of Level 3	(100		)	—		(285		)	—		—
Ending Balance	$	—		$	250	$	—		$	95	$	163

- Definition

Tabular disclosure of the fair value measurement of assets using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes during the period attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets) and gains or losses recognized in other comprehensive income (loss), and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issues, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs), by class of asset.

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- Definition

Tabular disclosure of the realized and unrealized gains and losses reported in the statement of income which have resulted from the sale and holding of marketable securities, respectively, as well as the sale or disposal of cost method investments. Such amounts would include realized gains and losses on the sale or disposal of trading, available-for-sale, and held-to-maturity securities, unrealized gains and losses on trading securities, unrealized gains and losses on available-for-sale and held-to-maturity securities transferred to the trading securities category, realized gains and losses on the sale or disposal of cost method investments, and losses recognized for other than temporary impairments (OTTI) of such investments.

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