Segment Information

3 Months Ended

Mar. 31, 2016

Segment Reporting [Abstract]

Segment Information

Segment information

The Company has determined its reportable segments based on the Company’s method of internal reporting, which disaggregates its retail business by branch and its proprietary and investment banking businesses by product. The Company evaluates the performance of its segments and allocates resources to them based upon profitability.

The Company’s reportable segments are:

Private Client—includes commissions and a proportionate amount of fee income earned on assets under management ("AUM"), net interest earnings on client margin loans and cash balances, fees from money market funds, net contributions from stock loan activities and financing activities, and direct expenses associated with this segment;

Asset Management—includes a proportionate amount of fee income earned on AUM from investment management services of Oppenheimer Asset Management Inc. Oppenheimer’s asset management divisions employ various programs to professionally manage client assets either in individual accounts or in funds, and includes direct expenses associated with this segment;

Capital Markets—includes investment banking, institutional equities sales, trading, and research, taxable fixed income sales, trading, and research, public finance and municipal trading, as well as the Company’s operations in the United Kingdom, Hong Kong and Israel, and direct expenses associated with this segment;

Commercial Mortgage Banking—includes loan origination and servicing fees from the Company’s subsidiary, OMHHF; and

Corporate/Other—the Company does not allocate costs associated with certain infrastructure support groups that are centrally managed for its reportable segments. These areas include, but are not limited to, legal, compliance, operations, accounting, and internal audit. Costs associated with these groups are separately reported in a Corporate/Other category and primarily include compensation and benefits.

The table below presents information about the reported revenue and net income before taxes of the Company for the three months ended March 31, 2016 and 2015. Asset information by reportable segment is not reported, since the Company does not produce such information for internal use by the chief operating decision maker.

(Expressed in thousands)
	For the Three Months Ended March 31,
	2016			2015
Revenue
Private client (1)	$	127,544		$	139,932
Asset management (1)	22,974			24,461
Capital markets	61,065			72,166
Commercial mortgage banking	3,738			8,386
Corporate/Other	3,373			616
Total	$	218,694		$	245,561
Income (loss) before income tax provision (benefit)
Private client (1)	$	16,317		$	16,757
Asset management (1)	6,768			7,886
Capital markets	(6,798		)	6,735
Commercial mortgage banking	(657		)	4,037
Corporate/Other	(23,627		)	(25,564		)
Total	$	(7,997	)	$	9,851

(1)    Asset management fees are allocated 22.5% to the Asset Management and 77.5% to the Private Client segments.

Revenue, classified by the major geographic areas in which it was earned for the three months ended March 31, 2016 and 2015, was as follows:

(Expressed in thousands)
	For the Three Months Ended March 31,
	2016		2015
Americas	$	207,207	$	233,031
Europe/Middle East	10,592		10,972
Asia	895		1,558
Total	$	218,694	$	245,561