Segment information

3 Months Ended

Mar. 31, 2026

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’s chief operating decision maker (“CODM”) is the chief executive officer.

The CODM evaluates the performance of the Company’s reportable segments based on their year-over-year revenue and pre-tax profit or loss and uses this measure to allocate resources (including employee, financial and/or capital resources), largely in conjunction with monthly and/or quarterly reviews of segment financial performance. The CODM also uses segment profit or loss in evaluating the incentive and other compensation of segment employees as well as capital investment for facilities and information technology development.

The Company's reportable segments are:

Wealth Management — includes commissions and fee income earned on assets under management ("AUM"), net interest earnings on client margin loans and cash balances, fees from money market funds, custodian fees, net contributions from stock loan activities and financing activities, and direct expenses; and

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.

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 costs of certain centralized or shared functions are allocated based on methodologies that reflect utilization. The Company also includes activities associated with BondWave, LLC in Corporate/Other.

The tables below present information about the Company’s reported segment revenues, segment pre-tax income or loss, compensation expenses, and other segment items for the three months ended March 31, 2026 and 2025. There are no

adjustments or reconciling items for any of the periods presented. Asset information by reportable segment is not reported, since the Company does not produce such information for internal use by the CODM.

(Expressed in thousands)
	For the Three Months Ended March 31, 2026
	Wealth Management		Capital Markets		Corporate/Other		Total
Revenue	$	253,680	$	189,122	$	2,293	$	445,095
Less :
Compensation expenses (1)	155,800		112,639		27,562		296,001
Other segment items (2)	54,326		41,042		80,727		176,095
Pre-tax income (loss)	$	43,554	$	35,441	$	(105,996)	$	(27,001)

(1) Includes compensation expenses related to liability-based stock appreciation rights totaling $22.3 million.

(2) Other segment items include communication and technology expenses, occupancy and equipment costs, clearing and exchange fees, interest, legal accrual for the settlement of the “cash sweep” program litigation and other expenses.

(Expressed in thousands)
	For the Three Months Ended March 31, 2025
	Wealth Management		Capital Markets		Corporate/Other		Total
Revenue	$	241,986	$	123,261	$	2,578	$	367,825
Less :
Compensation expenses (1)	119,648		87,344		20,099		227,091
Other segment items (2)	54,474		41,014		3,870		99,358
Pre-tax income (loss)	$	67,864	$	(5,097)	$	(21,391)	$	41,376

(1) Includes a reduction to compensation expenses related to liability-based stock appreciation rights totaling $2.7 million.

(2) Other segment items include communication and technology expenses, occupancy and equipment costs, clearing and exchange fees, interest and other expenses.

Revenue, classified by the major geographic areas in which it was earned, for the three months ended March 31, 2026 and 2025 was:

(Expressed in thousands)
	For the Three Months Ended March 31,
	2026		2025
Americas	$	423,036	$	354,709
Europe/Middle East	21,358		12,352
Asia	701		764
Total	$	445,095	$	367,825