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Goodwill and Intangible Assets

12 Months Ended

Nov. 30, 2024

Goodwill and Intangible Assets Disclosure [Abstract]

Note 13. Goodwill and Intangible Assets

Goodwill


	Year Ended November 30, 2024
$ in thousands	Investment Banking and Capital Markets	Asset Management	Total
Balance, at beginning of period ...................	$1,532,172	$315,684	$1,847,856
Currency translation and other adjustments ..............................................	841	(3,107)	(2,266)
Measurement period adjustments (1) ........	—	(26,230)	(26,230)
Goodwill relating to acquisitions by Tessellis ..........................................................	—	8,578	8,578
Balance, at end of period .............................	$1,533,013	$294,925	$1,827,938

(1)Includes the impact of Tessellis and Go Internet. Refer to Note 4, Business

Acquisitions for further information.


	Year Ended November 30, 2023
$ in thousands	Investment Banking and Capital Markets	Asset Management	Total
Balance, at beginning of period ...................	$1,552,944	$183,170	$1,736,114
Currency translation and other adjustments ..............................................	3,228	—	3,228
Goodwill acquired during the period (1) .....	—	132,514	132,514
Goodwill reclassified as held for sale (2) ...	(24,000)	—	(24,000)
Balance, at end of period .............................	$1,532,172	$315,684	$1,847,856

(1)Refer to Note 4, Business Acquisitions for further discussion.

(2)Refer to Note 5, Assets Held for Sale and Discontinued Operations for further

discussion.

Carrying values of goodwill by reporting unit:


	November 30,
$ in millions	2024	2023
Investment banking ...................................................................	$700.7	$700.2
Equities and wealth management ...........................................	255.4	255.3
Fixed income ..............................................................................	576.9	576.6
Asset management ...................................................................	143.0	143.0
Other investments .....................................................................	151.9	172.8
Total.............................................................................................	$1,827.9	$1,847.9

Goodwill Impairment Testing

The goodwill impairment test is performed at the level of the

reporting unit. A reporting unit is an operating segment or one

level below an operating segment. The fair value of each

reporting unit is compared with its carrying value, including

goodwill and allocated intangible assets. If the fair value is in

excess of the carrying value, the goodwill for the reporting unit is

considered not to be impaired. If the fair value is less than the

carrying value, then an impairment loss is recognized for the

amount by which the carrying value of the reporting unit exceeds

the reporting unit’s fair value.

We test goodwill allocated to our Investment Banking, Equities,

Fixed Income and Asset Management reporting units annually on

August 1 and test goodwill allocated to other individual

investments annually on November 30. Our annual goodwill

impairment testing at August 1, 2024 did not indicate any

goodwill impairment in any of our Investment Banking, Equities

and Fixed Income reporting units, which are part of our

Investment Banking and Capital Markets reportable segment and

did not indicate any goodwill impairment in our Asset

Management reporting unit. The results of our assessment

indicated that each of these reporting units had a fair value in

excess of their carrying amounts based on current projections.

Estimating the fair value of a reporting unit requires management

judgment. Estimated fair values for our reporting units were

determined using methodologies that include a market valuation

method that incorporated price-to-earnings and price-to-book

multiples of comparable public companies and/or projected cash

flows. Under the market valuation approach, the key assumptions

are the selected multiples and our internally developed

projections of future profitability, growth and return on equity for

each reporting unit. The weight assigned to the multiples requires

judgment in qualitatively and quantitatively evaluating the size,

profitability and the nature of the business activities of the

reporting units as compared to the comparable publicly-traded

companies. In addition, as the fair values determined under the

market valuation approach represent a noncontrolling interest,

we applied a control premium to arrive at the estimated fair value

of each reporting unit on a controlling basis. We engaged an

independent valuation specialist to assist us in our valuation

process at August 1.

Intangible Assets

Intangible assets are included in Other assets.


	November 30, 2024					Weighted Average Remaining Lives (Years)
$ in thousands	Gross Cost	Assets Acquired (1)	Impairment Losses	Accumulated Amortization	Net Carrying Amount	Weighted Average Remaining Lives (Years)
Customer relationships	$136,049	$26,450	$—	$(104,539)	$57,960	5.6
Trademarks and trade names ..............................	146,032	8,533	—	(45,412)	109,153	21.4
Exchange and clearing organization membership interests and registrations ............	8,715	—	(10)	—	8,705	N/A
Other ................................	50,930	26,316	—	(26,693)	50,553	3.9
Total ................................	$341,726	$61,299	$(10)	$(176,644)	$226,371

(1)Includes a $39.3 million measurement period adjustment recorded during the

first quarter of 2024 related to the OpNet acquisition. Refer to Note 4,

Business Acquisitions for further information.


	November 30, 2023					Weighted Average Remaining Lives (Years)
$ in thousands	Gross Cost	Assets Acquired	Impairment Losses	Accumulated Amortization	Net Carrying Amount	Weighted Average Remaining Lives (Years)
Customer relationships	$126,449	$9,801	$—	$(93,966)	$42,284	6.3
Trademarks and trade names ..............................	127,899	18,513	—	(39,340)	107,072	23.5
Exchange and clearing organization membership interests and registrations ............	7,405	1,390	(78)	—	8,717	N/A
Other ................................	14,958	37,026	—	(13,137)	38,847	5.0
Total ................................	$276,711	$66,730	$(78)	$(146,443)	$196,920

At August 1, 2024, we performed our annual impairment testing

of intangible assets with an indefinite useful life consisting of

exchange and clearing organization membership interests and

registrations. We utilized quantitative assessments of

membership interests and registrations that have available

quoted sales prices as well as certain other membership

interests and registrations that have declined in utilization and

qualitative assessments were performed on the remainder of our

indefinite-life intangible assets. In applying our quantitative

assessments, we recognized immaterial impairment losses on

certain exchange membership interests and registrations. With

regard to our qualitative assessments of the remaining indefinite

life intangible assets, based on our assessments of market

conditions, the utilization of the assets and the replacement

costs associated with the assets, we have concluded that it is not

more likely than not that the intangible assets are impaired.

Amortization Expense

For finite life intangible assets, we recognized aggregate

amortization expense of $30.3 million, $9.3 million and $10.9

million for the years ended November 30, 2024, 2023 and 2022,

respectively. These expenses are included in Depreciation and

amortization.

Estimated future amortization expense (in thousands):


Year ending November 30, 2025 ............................................................	$32,143
Year ending November 30, 2026 ............................................................	31,485
Year ending November 30, 2027 ............................................................	28,138
Year ending November 30, 2028 ............................................................	26,541
Year ending November 30, 2029 ............................................................	15,322