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Fair Value Disclosures (Tables)

9 Months Ended

Aug. 31, 2020

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

The following is a summary of our financial assets and liabilities that are accounted for at fair value on a recurring basis, excluding Investments at fair value based on net asset value ("NAV") of $928.2 million and $586.9 million at August 31, 2020 and November 30, 2019, respectively, by level within the fair value hierarchy (in thousands):


	August 31, 2020
	Level 1		Level 2		Level 3		Counterparty and Cash Collateral Netting (1)		Total
Assets:
Financial instruments owned, at fair value:
Corporate equity securities	$	2,594,722	$	63,256	$	77,941	$	—	$	2,735,919
Corporate debt securities	—		2,720,644		23,269		—		2,743,913
Collateralized debt obligations and collateralized loan obligations	—		68,287		36,122		—		104,409
U.S. government and federal agency securities	3,164,472		92,036		—		—		3,256,508
Municipal securities	—		358,292		—		—		358,292
Sovereign obligations	1,686,522		877,334		—		—		2,563,856
Residential mortgage-backed securities	—		975,166		28,317		—		1,003,483
Commercial mortgage-backed securities	—		1,091,406		4,663		—		1,096,069
Other asset-backed securities	—		48,734		63,337		—		112,071
Loans and other receivables	—		2,117,162		162,941		—		2,280,103
Derivatives	2,897		2,086,407		52,195		(1,611,815)		529,684
Investments at fair value	—		45,156		172,498		—		217,654
FXCM term loan	—		—		56,542		—		56,542

Total financial instruments owned, at fair value, excluding investments at fair value based on NAV	$	7,448,613	$	10,543,880	$	677,825	$	(1,611,815)	$	17,058,503

Loans to and investments in associated companies	$	—	$	8,404	$	34,688	$	—	$	43,092
Securities received as collateral, at fair value	$	4,413	$	—	$	—	$	—	$	4,413









Liabilities:
Financial instruments sold, not yet purchased, at fair value:
Corporate equity securities	$	2,295,391	$	12,533	$	4,367	$	—	$	2,312,291
Corporate debt securities	—		1,448,558		148		—		1,448,706
U.S. government and federal agency securities	2,722,907		—		—		—		2,722,907

Sovereign obligations	1,452,399		1,096,176		—		—		2,548,575

Commercial mortgage-backed securities	—		—		35		—		35
Loans	—		1,432,113		46,594		—		1,478,707
Derivatives	1,031		2,207,365		74,620		(1,799,681)		483,335
Total financial instruments sold, not yet purchased, at fair value	$	6,471,728	$	6,196,745	$	125,764	$	(1,799,681)	$	10,994,556
Short-term borrowings	$	—	$	21,829	$	—	$	—	$	21,829
Other secured financings	$	—	$	—	$	3,402	$	—	$	3,402
Long-term debt	$	—	$	891,845	$	630,260	$	—	$	1,522,105
Obligation to return securities received as collateral, at fair value	$	4,413	$	—	$	—	$	—	$	4,413


	November 30, 2019
	Level 1		Level 2		Level 3		Counterparty and Cash Collateral Netting (1)		Total
Assets:
Financial instruments owned, at fair value:
Corporate equity securities	$	2,507,164	$	218,403	$	58,426	$	—	$	2,783,993
Corporate debt securities	—		2,472,245		7,490		—		2,479,735
Collateralized debt obligations and collateralized loan obligations	—		124,225		28,788		—		153,013
U.S. government and federal agency securities	2,101,624		158,618		—		—		2,260,242
Municipal securities	—		742,326		—		—		742,326
Sovereign obligations	1,330,026		1,405,827		—		—		2,735,853
Residential mortgage-backed securities	—		1,069,066		17,740		—		1,086,806
Commercial mortgage-backed securities	—		424,060		6,110		—		430,170
Other asset-backed securities	—		303,847		42,563		—		346,410
Loans and other receivables	—		2,460,551		114,080		—		2,574,631
Derivatives	2,809		1,833,907		14,889		(1,433,197)		418,408
Investments at fair value	—		32,688		205,412		—		238,100
FXCM term loan	—		—		59,120		—		59,120
Total financial instruments owned, at fair value, excluding investments at fair value based on NAV	$	5,941,623	$	11,245,763	$	554,618	$	(1,433,197)	$	16,308,807


Securities purchased under agreements to resell	$	—	$	—	$	25,000	$	—	$	25,000
Securities received as collateral, at fair value	$	9,500	$	—	$	—	$	—	$	9,500

Liabilities:
Financial instruments sold, not yet purchased, at fair value:
Corporate equity securities	$	2,755,601	$	7,438	$	4,487	$	—	$	2,767,526
Corporate debt securities	—		1,471,142		340		—		1,471,482
U.S. government and federal agency securities	1,851,981		—		—		—		1,851,981
Sovereign obligations	1,363,475		941,065		—		—		2,304,540
Commercial mortgage-backed securities	—		—		35		—		35
Loans	—		1,600,228		9,463		—		1,609,691
Derivatives	871		2,066,455		92,057		(1,632,178)		527,205
Total financial instruments sold, not yet purchased, at fair value	$	5,971,928	$	6,086,328	$	106,382	$	(1,632,178)	$	10,532,460

Short-term borrowings	$	—	$	20,981	$	—	$	—	$	20,981
Long-term debt	$	—	$	735,216	$	480,069	$	—	$	1,215,285
Obligation to return securities received as collateral, at fair value	$	9,500	$	—	$	—	$	—	$	9,500

(1)Represents counterparty and cash collateral netting across the levels of the fair value hierarchy for positions with the same counterparty.

Investments Measured at Fair Value Based on Net Asset Value

The following tables present information about our investments in entities that have the characteristics of an investment company (in thousands):


	Fair Value (1)		Unfunded Commitments
August 31, 2020
Equity Long/Short Hedge Funds (2)	$	322,020	$	—
Equity Funds (3)	31,477		13,510
Commodity Fund (4)	16,204		—
Multi-asset Funds (5)	558,452		—
Other Funds (6)	65		—
Total	$	928,218	$	13,510

November 30, 2019
Equity Long/Short Hedge Funds (2)	$	291,593	$	—
Equity Funds (3)	44,576		14,621
Commodity Fund (4)	16,025		—
Multi-asset Funds (5)	234,583		—
Other Funds (6)	157		—
Total	$	586,934	$	14,621

(1)Where fair value is calculated based on NAV, fair value has been derived from each of the funds' capital statements.

(2)This category includes investments in hedge funds that invest, long and short, primarily in both public and private equity securities in domestic and international markets. At August 31, 2020 and November 30, 2019, 6% and 6%, respectively, of investments in this category are redeemable quarterly with 60 days prior written notice.

(3)The investments in this category include investments in equity funds that invest in the equity of various U.S. and foreign private companies. These investments cannot be redeemed; instead distributions are received through the liquidation of the underlying assets of the funds, which are expected to be liquidated in approximately one to eight years.

(4)This category includes investments in a hedge fund that invests, long and short, primarily in commodities. Investments in this category are redeemable quarterly with 60 days prior written notice.

(5)This category includes investments in hedge funds that invest, long and short, primarily in multi-asset securities in domestic and international markets in both the public and private sectors. At August 31, 2020 and November 30, 2019, investments representing approximately 58% and 5%, respectively, of the fair value of investments in this category are redeemable monthly with 30 or 60 days prior written notice.

(6)This category includes investments in a fund that invests in loans secured by a first trust deed on property, domestic and international public high yield debt, private high yield investments, senior bank loans, public leveraged equities, distressed debt and private equity investments and there are no redemption provisions. This category also includes investments in a fund of funds that invests in various private equity funds that are managed by us and have no redemption provisions. Investments in the fund of funds are gradually being liquidated, however, the timing of when the proceeds will be received is uncertain.

Summary of Changes in Fair Value of Financial Assets and Liabilities Classified as Level 3

The following is a summary of changes in fair value of our financial assets and liabilities that have been categorized within Level 3 of the fair value hierarchy for the three months ended August 31, 2020 (in thousands):


Three Months Ended August 31, 2020
	Balance, May 31, 2020		Total gains/ losses (realized and unrealized) (1)		Purchases		Sales		Settlements		Issuances		Net transfers into (out of) Level 3		Balance, August 31, 2020		Changes in unrealized gains/losses included in earnings relating to instruments still held at August 31, 2020 (1)
Assets:
Financial instruments owned, at fair value:
Corporate equity securities	$	76,140	$	(597)	$	779	$	—	$	—	$	—	$	1,619	$	77,941	$	(597)
Corporate debt securities	25,178		(889)		4		(394)		—		—		(630)		23,269		(881)
CDOs and CLOs	31,551		3,813		39		(7,539)		(2,318)		—		10,576		36,122		159


Residential mortgage-backed securities	22,339		1,240		—		—		(774)		—		5,512		28,317		1,262
Commercial mortgage-backed securities	4,461		202		—		—		—		—		—		4,663		198
Other asset-backed securities	86,062		(1,585)		3,313		—		(7,442)		—		(17,011)		63,337		(5,101)
Loans and other receivables	121,129		13,109		18,492		(13,897)		(355)		—		24,463		162,941		13,440
Investments at fair value	154,238		24,179		7,183		—		(13,102)		—		—		172,498		23,030
FXCM term loan	53,765		2,777		—		—		—		—		—		56,542		2,777
Loans to and investments in associated companies	—		—		—		—		—		—		34,688		34,688		—


Liabilities:
Financial instruments sold, not yet purchased, at fair value:
Corporate equity securities	$	4,190	$	(12)	$	—	$	—	$	—	$	—	$	189	$	4,367	$	12
Corporate debt securities	163		(15)		—		—		—		—		—		148		15

Commercial mortgage-backed securities	140		—		(140)		35		—		—		—		35		—
Loans	10,674		6,636		(23,001)		3,558		—		—		48,727		46,594		(6,591)
Net derivatives (2)	45,131		(12,175)		(1,404)		13,089		(648)		—		(21,568)		22,425		12,007
Other secured financings	—		(617)		—		—		—		4,019		—		3,402		617
Long-term debt (1)	497,040		130,463		—		—		—		5,749		(2,992)		630,260		(42,163)

(1)Realized and unrealized gains/losses are primarily reported in Principal transactions revenues in the Consolidated Statements of Operations. Changes in instrument specific credit risk related to structured notes are included in the Consolidated Statements of Comprehensive Income (Loss), net of tax. Changes in unrealized gains/losses included in other comprehensive income (loss) for instruments still held at August 31, 2020 were losses of $88.3 million during the three months ended August 31, 2020.

(2)Net derivatives represent Financial instruments owned, at fair value - Derivatives and Financial instruments sold, not yet purchased, at fair value - Derivatives.

The following is a summary of changes in fair value of our financial assets and liabilities that have been categorized within Level 3 of the fair value hierarchy for the nine months ended August 31, 2020 (in thousands):


Nine Months Ended August 31, 2020
	Balance, November 30, 2019		Total gains/ losses (realized and unrealized) (1)		Purchases		Sales		Settlements		Issuances		Net transfers into (out of) Level 3		Balance, August 31, 2020		Changes in unrealized gains/losses included in earnings relating to instruments still held at August 31, 2020 (1)
Assets:
Financial instruments owned, at fair value:
Corporate equity securities	$	58,426	$	(3,914)	$	3,406	$	(13,555)	$	—	$	—	$	33,578	$	77,941	$	(775)
Corporate debt securities	7,490		(162)		285		(489)		(602)		—		16,747		23,269		(591)
CDOs and CLOs	28,788		(8,000)		10,883		(20,935)		(6,847)		—		32,233		36,122		(20,739)


Residential mortgage-backed securities	17,740		(1,347)		7,625		—		(496)		—		4,795		28,317		(1,811)
Commercial mortgage-backed securities	6,110		232		—		—		(1,785)		—		106		4,663		807
Other asset-backed securities	42,563		(3,495)		29,096		(664)		(22,125)		—		17,962		63,337		(13,012)
Loans and other receivables	114,080		966		309,982		(208,958)		(57,371)		—		4,242		162,941		1,291
Investments at fair value	205,412		(62,415)		42,771		(168)		(13,102)		—		—		172,498		(64,263)
FXCM term loan	59,120		(2,578)		—		—		—		—		—		56,542		(2,578)
Loans to and investments in associated companies	—		—		—		—		—		—		34,688		34,688		—
Securities purchased under agreements to resell	25,000		—		—		—		(25,000)		—		—		—		—

Liabilities:
Financial instruments sold, not yet purchased, at fair value:
Corporate equity securities	$	4,487	$	258	$	(567)	$	—	$	—	$	—	$	189	$	4,367	$	98
Corporate debt securities	340		(261)		(325)		394		—		—		—		148		20

Commercial mortgage-backed securities	35		—		(35)		35		—		—		—		35		—
Loans	9,463		2,986		(5,760)		38,531		—		—		1,374		46,594		(3,366)
Net derivatives (2)	77,168		(63,367)		(6,732)		26,656		(1,567)		—		(9,733)		22,425		60,257
Other secured financings	—		(617)		—		—		—		4,019		—		3,402		617
Long-term debt (1)	480,069		10,851		—		—		(2,000)		202,046		(60,706)		630,260		(28,153)

(1)Realized and unrealized gains/losses are primarily reported in Principal transactions revenues in the Consolidated Statements of Operations. Changes in instrument specific credit risk related to structured notes are included in the Consolidated Statements of Comprehensive Income (Loss), net of tax. Changes in unrealized gains/losses included in other comprehensive income (loss) for instruments still held at August 31, 2020 were gains of $17.3 million during the nine months ended August 31, 2020.

(2)Net derivatives represent Financial instruments owned, at fair value - Derivatives and Financial instruments sold, not yet purchased, at fair value - Derivatives.


Three Months Ended August 31, 2019
	Balance, May 31 2019		Total gains/ losses (realized and unrealized) (1)		Purchases		Sales		Settlements		Issuances		Net transfers into (out of) Level 3		Balance, August 31, 2019		Changes in unrealized gains/ losses included in earnings relating to instruments still held at August 31, 2019 (1)
Assets:
Financial instruments owned, at fair value:
Corporate equity securities	$	59,572	$	12,547	$	16,508	$	(17,502)	$	—	$	—	$	(20,255)	$	50,870	$	12,067
Corporate debt securities	8,346		(3,072)		1,175		(1,942)		(85)		—		4,866		9,288		(3,047)
CDOs and CLOs	25,912		(1,499)		—		—		(609)		—		6,454		30,258		(2,097)


Residential mortgage-backed securities	17,266		(1,917)		—		(65)		(22)		—		2,667		17,929		(1,435)
Commercial mortgage-backed securities	12,530		(2,003)		—		(1,703)		(3,362)		—		—		5,462		(3,143)
Other asset-backed securities	43,185		(1,689)		13,497		(6,975)		(5,500)		—		(7,920)		34,598		(1,068)
Loans and other receivables	98,484		(2,847)		26,921		(33,409)		(1,287)		—		(12,299)		75,563		(2,392)
Investments at fair value	408,739		(152,162)		1,067		(296)		—		—		35,135		292,483		(152,162)
FXCM term loan	56,600		2,293		—		—		(303)		—		—		58,590		2,293

Securities purchased under agreements to resell	25,000		—		—		—		—		—		—		25,000		—

Liabilities:
Financial instruments sold, not yet purchased, at fair value:
Corporate equity securities	$	221	$	401	$	(221)	$	—	$	(190)	$	—	$	—	$	211	$	(35)
Corporate debt securities	669		(650)		(34)		—		(369)		—		1,586		1,202		649

Commercial mortgage-backed securities	—		—		—		35		—		—		—		35		—
Loans	9,428		(520)		(10,281)		5,384		—		—		12,619		16,630		531
Net derivatives (2)	47,449		(19,519)		—		6,766		(14)		—		16,081		50,763		18,507
Long-term debt (1)	236,562		7,455		—		—		—		114,641		(10,595)		348,063		(8,162)

(1)Realized and unrealized gains/losses are primarily reported in Principal transactions revenues in the Consolidated Statements of Operations. Changes in instrument specific credit risk related to structured notes are included in the Consolidated Statements of Comprehensive Income (Loss), net of tax. Changes in unrealized gains/losses included in other comprehensive income (loss) for instruments still held at August 31, 2019 were gains of $0.7 million during the three months ended August 31, 2019.

(2)Net derivatives represent Financial instruments owned, at fair value - Derivatives and Financial instruments sold, not yet purchased, at fair value - Derivatives.


Nine Months Ended August 31, 2019
	Balance, November 30, 2018		Total gains/ losses (realized and unrealized) (1)		Purchases		Sales		Settlements		Issuances		Net transfers into (out of) Level 3		Balance, August 31, 2019		Changes in unrealized gains/ losses included in earnings relating to instruments still held at August 31, 2019 (1)
Assets:
Financial instruments owned, at fair value:
Corporate equity securities	$	52,192	$	15,499	$	23,172	$	(25,431)	$	(669)	$	—	$	(13,893)	$	50,870	$	14,071
Corporate debt securities	9,484		(4,904)		6,080		(10,544)		(553)		—		9,725		9,288		(5,325)
CDOs and CLOs	36,105		(4,320)		48,112		(43,230)		(3,014)		—		(3,395)		30,258		(6,781)


Residential mortgage-backed securities	19,603		(2,573)		2,166		(2,022)		(171)		—		926		17,929		(2,166)
Commercial mortgage-backed securities	10,886		(2,196)		11		(2,023)		(6,638)		—		5,422		5,462		(4,326)
Other asset-backed securities	53,175		(929)		14,698		(2,494)		(30,623)		—		771		34,598		(961)
Loans and other receivables	46,985		3,933		178,069		(166,496)		(8,379)		—		21,451		75,563		682
Investments at fair value	396,254		(119,110)		42,579		(18,598)		—		—		(8,642)		292,483		(119,110)
FXCM term loan	73,150		(8,669)		1,500		—		(7,391)		—		—		58,590		(8,669)

Securities purchased under agreements to resell	—		—		—		—		—		25,000		—		25,000		—

Liabilities:
Financial instruments sold, not yet purchased, at fair value:
Corporate equity securities	$	—	$	401	$	—	$	—	$	(190)	$	—	$	—	$	211	$	(35)
Corporate debt securities	522		(867)		—		—		(524)		—		2,071		1,202		867

Commercial mortgage-backed securities	—		—		—		35		—		—		—		35		—
Loans	6,376		(1,342)		(8,553)		9,929		—		—		10,220		16,630		1,583
Net derivatives (2)	21,614		(48,746)		(2,829)		16,313		1,609		—		62,802		50,763		40,052
Long-term debt (1)	200,745		(5,286)		—		—		(11,250)		204,710		(40,856)		348,063		(4,517)

(1)Realized and unrealized gains/losses are primarily reported in Principal transactions revenues in the Consolidated Statements of Operations. Changes in instrument specific credit risk related to structured notes are included in the Consolidated Statements of Comprehensive Income (Loss), net of tax. Changes in unrealized gains (losses) included in other comprehensive income (loss) for instruments still held at August 31, 2019 were gains of $9.8 million during the nine months ended August 31, 2019.

(2)Net derivatives represent Financial instruments owned, at fair value - Derivatives and Financial instruments sold, not yet purchased, at fair value - Derivatives.

Quantitative Information About Significant Unobservable Inputs Used in Level 3 Fair Value Measurements

The tables below present information on the valuation techniques, significant unobservable inputs and their ranges for our financial assets and liabilities, subject to threshold levels related to the market value of the positions held, measured at fair value on a recurring basis with a significant Level 3 balance. The range of unobservable inputs could differ significantly across different firms given the range of products across different firms in the financial services sector. The inputs are not representative of the inputs that could have been used in the valuation of any one financial instrument (i.e., the input used for valuing one financial instrument within a particular class of financial instruments may not be appropriate for valuing other financial instruments within that given class). Additionally, the ranges of inputs presented below should not be construed to represent uncertainty regarding the fair values of our financial instruments; rather, the range of inputs is reflective of the differences in the underlying characteristics of the financial instruments in each category.

For certain categories, we have provided a weighted average of the inputs allocated based on the fair values of the financial instruments comprising the category. We do not believe that the range or weighted average of the inputs is indicative of the reasonableness of uncertainty of our Level 3 fair values. The range and weighted average are driven by the individual financial instruments within each category and their relative distribution in the population. The disclosed inputs when compared with the inputs as disclosed in other periods should not be expected to necessarily be indicative of changes in our estimates of unobservable inputs for a particular financial instrument as the population of financial instruments comprising the category will vary from period to period based on purchases and sales of financial instruments during the period as well as transfers into and out of Level 3 each period.


August 31, 2020
	Fair Value (in thousands)		Valuation Technique	Significant Unobservable Input(s)	Input/Range						Weighted Average
Financial instruments owned, at fair value

Corporate equity securities	$	77,442
Non-exchange-traded securities			Market approach	Price	$1		to	$213	$84
				EBITDA multiple	$3		to	$4	$3

Corporate debt securities	$	23,269	Market approach	Price	$69						—
			Scenario analysis	Estimated recovery percentage	22%						—

CDOs and CLOs	$	36,122	Discounted cash flows	Constant prepayment rate	2	%	to	20%	19	%
				Constant default rate	1	%	to	2%	2	%
				Loss severity	25	%	to	50%	28	%
				Discount rate/yield	6	%	to	26%	17	%
			Scenario analysis	Estimated recovery percentage	2	%	to	35%	24	%

Residential mortgage- backed securities	$	28,317	Discounted cash flows	Cumulative loss rate	2	%	to	32%	5	%
				Duration (years)	1.0 year		to	13.0 years	9.7 years
				Discount rate/yield	4	%	to	14%	5	%

Commercial mortgage- backed securities	$	4,663	Scenario analysis	Estimated recovery percentage	44%						—

Other asset-backed securities	$	63,337	Discounted cash flows	Cumulative loss rate	7	%	to	72%	18	%
				Duration (years)	0.3 years		to	4.2 years	1.8 years
				Discount rate/yield	4	%	to	15%	10	%
			Market approach	Price	$100						—

Loans and other receivables	$	104,212	Market approach	Price	$6		to	$100	$76
			Scenario analysis	Estimated recovery percentage	2	%	to	100%	62	%

Derivatives	$	50,637
Loans total return swaps			Market approach	Price	$97		to	$99	$98
Interest rate swaps			Market approach	Basis points upfront	3		to	20	9

Investments at fair value	$	76,654
Private equity securities			Market approach	Price	$2		to	$169	$42
			Scenario analysis	Estimated recovery percentage	33%						—
				Discount rate/yield	19	%	to	21%	20	%
				Revenue growth	0%						—

Investment in FXCM	$	56,542
Term loan			Discounted cash flows	Term based on the pay off (years)	0 months		to	1.5 years	1.5 years

Loans to and investments in associated companies	$	34,688
Non-exchange-traded warrants			Market approach	Underlying stock price	$506						—
				Underlying stock price	€15		to	€18	€17
				Volatility	23	%	to	59%	25	%


August 31, 2020
	Fair Value (in thousands)		Valuation Technique	Significant Unobservable Input(s)	Input/Range						Weighted Average

Financial instruments sold, not yet purchased, at fair value
Corporate equity securities	$	4,367	Market approach	Transaction level	$1						—

Corporate debt securities	$	148	Scenario analysis	Estimated recovery percentage	22%						—

Loans	$	46,594	Market approach	Price	$31		to	$97	$70
			Scenario analysis	Estimated recovery percentage	2%						—

Derivatives	$	69,615
Equity options			Volatility benchmarking	Volatility	32	%	to	46%	39	%
Interest rate swaps			Market approach	Basis points upfront	3		to	20	9
Unfunded commitments				Price	$97		to	$99	$98

Other secured financings	$	3,402	Scenario analysis	Estimated recovery percentage	60	%	to	100%	79	%

Long-term debt
Structured notes	$	630,260	Market approach	Price	$77		to	$105	$99
				Price	€69		to	€107	€91


November 30, 2019
	Fair Value (in thousands)		Valuation Technique	Significant Unobservable Input(s)	Input/Range						Weighted Average

Financial instruments owned, at fair value
Corporate equity securities	$	29,017
Non-exchange-traded securities			Market approach	Price	$1		to	$140	$55
				Underlying stock price	$3		to	$5	$4

Corporate debt securities	$	7,490	Scenario analysis	Estimated recovery percentage	23	%	to	85%	46	%
				Volatility	44%						—
				Credit spread	750						—
				Underlying stock price	£0.4						—

CDOs and CLOs	$	28,788	Discounted cash flows	Constant prepayment rate	20%						—
				Constant default rate	1	%	to	2%	2	%
				Loss severity	25	%	to	37%	29	%
				Discount rate/yield	12	%	to	21%	15	%
			Scenario analysis	Estimated recovery percentage	3.25	%	to	36.5%	25	%

Residential mortgage- backed securities	$	17,740	Discounted cash flows	Cumulative loss rate	2%						—
				Duration (years)	6.3 years						—
				Discount rate/yield	3%						—

Commercial mortgage- backed securities	$	6,110	Discounted cash flows	Cumulative loss rate	7.3%						—
				Duration (years)	0.2 years						—
				Discount rate/yield	85%						—
			Scenario analysis	Estimated recovery percentage	44%						—

Other asset-backed securities	$	42,563	Discounted cash flows	Cumulative loss rate	7	%	to	31%	16	%
				Duration (years)	0.5 years		to	3 years	1.5 years
				Discount rate/yield	7	%	to	15%	11	%

Loans and other receivables	$	112,574	Market approach	Price	$36		to	$100	$90
			Scenario analysis	Estimated recovery percentage	87	%	to	104%	99	%
			Discounted cash flows	Term based on the pay off (years)	0 months		to	0.1 years	0.1 years

Derivatives	$	13,826
Interest rate swaps			Market approach	Basis points upfront	0		to	16	6
Unfunded commitments				Price	$88						—
Equity options			Volatility benchmarking	Volatility	45%						—

Investments at fair value	$	157,504
Private equity securities			Market approach	Price	$8		to	$250	$80
			Scenario analysis	Discount rate/yield	19	%	to	21%	20	%
				Revenue growth	0%						—

Investment in FXCM	$	59,120
Term loan			Discounted cash flows	Term based on the pay off (years)	0 months		to	1.2 years	1.2 years






Securities purchased under agreements to resell	$	25,000	Market approach	Spread to 6 month LIBOR	500						—
				Duration (years)	1.5 years						—


November 30, 2019
	Fair Value (in thousands)		Valuation Technique	Significant Unobservable Input(s)	Input/Range						Weighted Average

Financial instruments sold, not yet purchased, at fair value
Corporate equity securities	$	4,487	Market approach	Transaction level	$1						—

Loans	$	9,463	Market approach	Price	$50		to	$100	$88
			Scenario analysis	Estimated recovery percentage	1%						—

Derivatives	$	92,057
Equity options			Volatility benchmarking	Volatility	21	%	to	61%	43	%
Interest rate swaps			Market approach	Basis points upfront	0		to	22	13
Cross currency swaps				Basis points upfront	2						—
Unfunded commitments				Price	$88						—

Long-term debt
Structured notes	$	480,069	Market approach	Price	$84		to	$108	$96
				Price	€74		to	€103	€91

Summary of Gains (Losses) Due to Changes in Instrument Specific Credit Risk for Loans and Other Receivables and Loan Commitments Measured at Fair Value Under Fair Value Option

The following is a summary of gains (losses) due to changes in instrument specific credit risk on loans, other receivables and debt instruments and gains (losses) due to other changes in fair value on short-term borrowings, other secured financings and long-term debt measured at fair value under the fair value option (in thousands):


	For the Three Months Ended						For the Nine Months Ended
	August 31, 2020		August 31, 2019		August 31, 2020		August 31, 2019
Financial instruments owned, at fair value:
Loans and other receivables	$	1,704	$	2,040	$	(11,256)	$	(5,458)

Financial instruments sold, not yet purchased, at fair value:
Loans	$	367	$	—	$	(610)	$	—
Loan commitments	1,875		(443)		464		(1,200)

Short-term borrowings:
Changes in instrument specific credit risk (1)	$	(23)	$	—	$	(92)	$	—
Other changes in fair value (2)	(1,115)		—		(959)		—

Other secured financings:
Other changes in fair value (2)	$	617	$	—	$	617	$	—

Long-term debt:
Changes in instrument specific credit risk (1)	$	(177,801)	$	6,922	$	49,369	$	34,414
Other changes in fair value (2)	(9,943)		(46,003)		(78,567)		(93,311)

(1) Changes in instrument specific credit risk related to structured notes are included in the Consolidated Statements of Comprehensive Income (Loss), net of tax.

(2) Other changes in fair value are included in Principal transactions revenues in the Consolidated Statements of Operations

Summary of Amount by Which Contractual Principal Exceeds Fair Value for Loans and Other Receivables Measured at Fair Value Under Fair Value Option

The following is a summary of the amount by which contractual principal exceeds fair value for loans and other receivables, long-term debt and short-term borrowings and other secured financings measured at fair value under the fair value option (in thousands):


	August 31, 2020		November 30, 2019
Financial instruments owned, at fair value:
Loans and other receivables (1)	$	1,839,249	$	1,546,516

Loans and other receivables on nonaccrual status and/or 90 days or greater past due (1) (2)	334,504		197,215
Long-term debt and short-term borrowings	74,197		74,408
Other secured financings	923		—

(1) Interest income is recognized separately from other changes in fair value and is included in Interest income in the Consolidated Statements of Operations.

(2) Amounts include all loans and other receivables 90 days or greater past due by which contractual principal exceeds fair value of $29.0 million and $22.2 million at August 31, 2020 and November 30, 2019, respectively