Regulatory requirements

12 Months Ended

Dec. 31, 2023

Regulated Operations [Abstract]

Regulatory requirements

Regulatory requirements

The Company's U.S. broker dealer subsidiaries, Oppenheimer and Freedom, are subject to the uniform net capital requirements of the SEC under Rule 15c3-1 (the "Rule") promulgated under the Exchange Act. Oppenheimer computes its net capital requirements under the alternative method provided for in the Rule which requires that Oppenheimer maintain net capital equal to two percent of aggregate customer-related debit items, as defined in SEC Rule 15c3-3. As of December 31, 2023, the net capital of Oppenheimer as calculated under the Rule was $453.6 million or 48.86% of Oppenheimer's aggregate debit items. This was $435.0 million in excess of the minimum required net capital at that date. Freedom computes its net capital requirement under the basic method provided for in the Rule, which requires that Freedom maintain net capital equal to the greater of $100,000 or 6-2/3% of aggregate indebtedness, as defined. As of December 31, 2023, Freedom had net capital of $4.1 million, which was $4.0 million in excess of the $100,000 required to be maintained at that date.

As of December 31, 2023, the capital required and held under the FCA's Investment Firms' Prudential Regime ("IFPR") for Oppenheimer Europe Ltd. was as follows:

•Common Equity Tier 1 ratio 134.0% (required 56.0%);

•Tier 1 Capital ratio 134.0% (required 75.0%); and

•Total Capital ratio 182.0% (required 100.0%).

Effective January 2022, IFPR changed its minimum capital requirement, which is now sterling 750,000 (previously it was Euro 730,000). Capital ratios are now expressed differently, but are effectively unchanged when comparing performance to required regulatory minimums. As of December 31, 2023, Oppenheimer Europe Ltd. was in compliance with its regulatory requirements.

As of December 31, 2023, the regulatory capital of Oppenheimer Investments Asia Limited was $4.0 million, which was $3.6 million in excess of the $384,120 required to be maintained on that date. Oppenheimer Investments Asia Limited computes its regulatory capital pursuant to the requirements of the Securities and Futures Commission of Hong Kong. As of December 31, 2023, Oppenheimer Investments Asia Limited was in compliance with its regulatory requirements.

As of December 31, 2023, Oppenheimer Trust is required to maintain minimal capital of $4.15 million. Oppenheimer Trust was in compliance with its capital requirements.