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Consolidation (Tables)

9 Months Ended

Sep. 30, 2025

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Schedule of Condensed Consolidated Balance Sheets

The following table presents the balances of CIP that, after intercompany eliminations, were reflected on the Condensed Consolidated Balance Sheets as of September 30, 2025 and December 31, 2024:


	As of
	September 30, 2025						December 31, 2024
	VOEs		VIEs				VOEs		VIEs
(in thousands)			CLOs		GFs				CLOs		GFs
Cash and cash equivalents	$	4,048	$	85,952	$	1,680	$	5,179	$	125,995	$	3,247
Investments	52,332		2,079,838		106,548		40,678		2,141,626		88,413
Other assets	605		50,259		1,599		403		172,707		1,261
Notes payable	—		(2,030,580)		—		—		(2,171,946)		—
Securities purchased payable and other liabilities	(371)		(94,366)		(1,207)		(4,271)		(151,922)		(1,840)
Noncontrolling interests	(14,512)		(1,075)		(49,973)		(12,452)		(4,143)		(33,215)
Net interests in CIP	$	42,102	$	90,028	$	58,647	$	29,537	$	112,317	$	57,866

Schedule of VIE Consolidated Investment Product

results in the net assets of the consolidated CLOs shown above to be equivalent to the beneficial interests retained by the Company at September 30, 2025, as shown in the table below:





	(in thousands)
Subordinated notes	$	88,609
Accrued investment management fees	1,419
Total Beneficial Interests	$	90,028

The following table represents income and expenses of the consolidated CLOs included in the Company’s Condensed Consolidated Statements of Operations for the period indicated:


	Nine Months Ended September 30, 2025
	(in thousands)
Income:
Realized and unrealized gain (loss), net	$	(31,172)
Interest income	133,080

Total Income	101,908

Expenses:
Other operating expenses	1,322
Interest expense	101,346
Total Expense	102,668
Noncontrolling interests	932
Net Income (Loss) Attributable to CLOs	$	172

The following table represents the Company’s own economic interests in the consolidated CLOs, which are eliminated upon consolidation:


	Nine Months Ended September 30, 2025
	(in thousands)
Distributions received and unrealized gains (losses) on the subordinated notes held by the Company	$	(6,795)
Investment management fees	6,967

Total Economic Interests	$	172

Schedule of Assets and Liabilities Measured at Fair Value on Recurring Basis

The Company’s assets and liabilities measured at fair value on a recurring basis, excluding the assets and liabilities of CIP discussed in Note 14, as of September 30, 2025 and December 31, 2024 by fair value hierarchy level were as follows:

September 30, 2025


(in thousands)	Level 1		Level 2		Level 3		Total
Assets
Cash equivalents	$	331,918	$	—	$	—	$	331,918
Investment securities - fair value
Sponsored funds	56,383		—		—		56,383
Equity securities	22,124		—		—		22,124
Debt securities	—		2,403		29,651		32,054

Nonqualified retirement plan assets	19,606		—		—		19,606
Total assets measured at fair value	$	430,031	$	2,403	$	29,651	$	462,085

Liabilities
Contingent consideration	$	—	$	—	$	20,000	$	20,000
Total liabilities measured at fair value	$	—	$	—	$	20,000	$	20,000

December 31, 2024


(in thousands)	Level 1		Level 2		Level 3		Total
Assets
Cash equivalents	$	225,736	$	—	$	—	$	225,736
Investment securities - fair value
Sponsored funds	63,296		—		—		63,296
Equity securities	19,019		—		—		19,019
Debt securities	—		1,456		—		1,456

Nonqualified retirement plan assets	15,159		—		—		15,159
Total assets measured at fair value	$	323,210	$	1,456	$	—	$	324,666

Liabilities
Contingent consideration	$	—	$	—	$	36,100	$	36,100
Total liabilities measured at fair value	$	—	$	—	$	36,100	$	36,100

The assets and liabilities of CIP measured at fair value on a recurring basis as of September 30, 2025 and December 31, 2024 by fair value hierarchy level were as follows:


As of September 30, 2025
(in thousands)	Level 1		Level 2		Level 3		Total
Assets
Cash equivalents	$	85,952	$	—	$	—	$	85,952
Debt investments	53		2,163,678		28,649		2,192,380
Equity investments	45,736		25		577		46,338

Total assets measured at fair value	$	131,741	$	2,163,703	$	29,226	$	2,324,670
Liabilities
Notes payable	$	—	$	2,030,580	$	—	$	2,030,580
Short sales	272		—		—		272

Total liabilities measured at fair value	$	272	$	2,030,580	$	—	$	2,030,852


As of December 31, 2024
(in thousands)	Level 1		Level 2		Level 3		Total
Assets
Cash equivalents	$	127,695	$	—	$	—	$	127,695
Debt investments	—		2,239,924		6,676		2,246,600
Equity investments	22,993		111		1,013		24,117

Total assets measured at fair value	$	150,688	$	2,240,035	$	7,689	$	2,398,412
Liabilities
Notes payable	$	—	$	2,171,946	$	—	$	2,171,946

Short sales	356		—		—		356
Total liabilities measured at fair value	$	356	$	2,171,946	$	—	$	2,172,302

Schedule of Reconciliation of Assets of Consolidated Sponsored Investment Products For Level 3 Investments, Unobservable Inputs Used to Determine Fair Value

The following table presents a reconciliation of beginning and ending balances of the Company's Level 3 debt securities:


	Three Months Ended September 30,				Nine Months Ended September 30,
(in thousands)	2025		2024		2025		2024
Debt securities, beginning of period	$	—	$	—	$	—	$	—

Purchases (sales), net	29,651		24,443		29,651		24,443


Debt securities, end of period	$	29,651	$	24,443	$	29,651	$	24,443

The following table is a reconciliation of assets of CIP for Level 3 investments for which significant unobservable inputs were used to determine fair value:


	Nine Months Ended September 30,
(in thousands)	2025		2024
Balance at beginning of period	$	7,689	$	37,062


Realized and unrealized gains (losses), net	(1,872)		918

Purchases	2,398		19


Sales	(49,282)		(36,452)
Transfers to Level 2	(50,208)		(71,236)
Transfers from Level 2	120,501		125,527
Balance at end of period (1)	$	29,226	$	55,838

(1)The investments that are categorized as Level 3 were valued utilizing third-party pricing information without adjustment. Transfers in and/or out of levels are reflected when significant inputs, including market inputs or performance attributes, used for the fair value measurement become observable/unobservable at period end.

- 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 significant judgments and assumptions made in determining whether a variable interest (as defined) held by the entity requires the variable interest entity (VIE) (as defined) to be consolidated and (or) disclose information about its involvement with the VIE, individually or in aggregate (as applicable); the nature of restrictions, if any, on the consolidated VIE's assets and on the settlement of its liabilities reported by an entity in its statement of financial position, including the carrying amounts of such assets and liabilities; the nature of, and changes in, the risks associated with involvement in the VIE; how involvement with the VIE affects the entity's financial position, financial performance, and cash flows; the lack of recourse if creditors (or beneficial interest holders) of the consolidated VIE have no recourse to the general credit of the primary beneficiary (if applicable); the terms of arrangements, giving consideration to both explicit arrangements and implicit variable interests, if any, that could require the entity to provide financial support to the VIE, including events or circumstances that could expose the entity to a loss; the methodology used by the entity for determining whether or not it is the primary beneficiary of the variable interest entity; the significant factors considered and judgments made in determining that the power to direct the activities of a VIE that most significantly impact the VIE's economic performance are shared (as defined); the carrying amounts and classification of assets and liabilities of the VIE included in the statement of financial position; the entity's maximum exposure to loss, if any, as a result of its involvement with the VIE, including how the maximum exposure is determined and significant sources of the entity's exposure to the VIE; a comparison of the carrying amounts of the assets and liabilities and the entity's maximum exposure to loss; information about any liquidity arrangements, guarantees, and (or) other commitments by third parties that may affect the fair value or risk of the entity's variable interest in the VIE; whether or not the entity has provided financial support or other support (explicitly or implicitly) to the VIE that it was not previously contractually required to provide or whether the entity intends to provide that support, including the type and amount of the support and the primary reasons for providing the support; and supplemental information the entity determines necessary to provide.

+ References + Details