Segment Information

9 Months Ended

Sep. 30, 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; 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 Commercial Mortgage Banking segment was discontinued during the second quarter of 2016. See Note 3 for further details.

The table below presents information about the reported revenue and net income before taxes from continuing operations of the Company for the three and nine months ended September 30, 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 September 30,						For the Nine Months Ended September 30,
	2016			2015			2016			2015
Revenue
Private client (1)	$	127,835		$	122,324		$	376,737		$	396,039
Asset management (1)	23,234			23,849			68,978			73,654
Capital markets	60,703			60,585			187,292			202,282
Corporate/Other	32			720			5,827			637
Total	$	211,804		$	207,478		$	638,834		$	672,612
Income (loss) before income taxes from continuing operations
Private client (1)	$	20,137		$	14,905		$	50,799		$	45,064
Asset management (1)	9,380			7,563			21,851			23,250
Capital markets	(1,103		)	(2,016		)	(3,856		)	8,342
Corporate/Other	(30,224		)	(23,025		)	(83,190		)	(74,516		)
Total	$	(1,810	)	$	(2,573	)	$	(14,396	)	$	2,140

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

Revenue, from continuing operations, classified by the major geographic areas in which it was earned for the three and nine months ended September 30, 2016 and 2015, was as follows:

(Expressed in thousands)
	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2016		2015		2016		2015
Americas	$	199,878	$	197,973	$	606,168	$	641,366
Europe/Middle East	11,118		8,715		30,150		28,019
Asia	808		790		2,516		3,227
Total	$	211,804	$	207,478	$	638,834	$	672,612