Stockholders' Equity (Tables)

6 Months Ended

Jun. 30, 2017

Stockholders' Equity

Components of basic and diluted earnings per share

	Three months ended			Six months ended
	June 30,			June 30,
	2017		2016	2017		2016
	(in thousands, except per share amounts)
Net income attributable to Waddell & Reed Financial, Inc.	$	23,307	33,695	$	56,363	70,663
Weighted average shares outstanding, basic and diluted		83,611	82,947		83,843	82,526
Earnings per share, basic and diluted	$	0.28	0.41	$	0.67	0.86

Summary of other comprehensive income (loss) activity

			Change in
			valuation
			allowance for
			unrealized		Pension and	Total
	Unrealized		gains		postretirement	accumulated
	gains (losses)		(losses) on		benefits	other
	on investment		investment		unrealized	comprehensive
Three months ended June 30, 2017	securities		securities		gains (losses)	income (loss)
	(in thousands)
Balance at March 31, 2017	$	(2,641)		(1,120)	(45,183)	(48,944)
Other comprehensive income before reclassification		722		619	—	1,341
Amount reclassified from accumulated other comprehensive income (loss)		(67)		(39)	727	621
Net current period other comprehensive income		655		580	727	1,962
Balance at June 30, 2017	$	(1,986)	$	(540)	(44,456)	(46,982)

			Change in
			valuation
			allowance for
			unrealized		Pension and	Total
	Unrealized		gains		postretirement	accumulated
	gains (losses)		(losses) on		benefits	other
	on investment		investment		unrealized	comprehensive
Three months ended June 30, 2016	securities		securities		gains (losses)	income (loss)
	(in thousands)
Balance at March 31, 2016	$	(3,682)		(3,211)	(53,459)	(60,352)
Other comprehensive income before reclassification		1,554		919	—	2,473
Amount reclassified from accumulated other comprehensive income (loss)		(370)		(219)	960	371
Net current period other comprehensive income		1,184		700	960	2,844
Balance at June 30, 2016	$	(2,498)	$	(2,511)	(52,499)	(57,508)

			Change in
			valuation
			allowance for
			unrealized		Pension and	Total
	Unrealized		gains		postretirement	accumulated
	gains (losses)		(losses) on		benefits	other
	on investment		investment		unrealized	comprehensive
Six months ended June 30, 2017	securities		securities		gains (losses)	income (loss)
	(in thousands)
Balance at December 31, 2016	$	(3,972)		(3,388)	(45,969)	(53,329)
Other comprehensive income before reclassification		2,145		2,942	—	5,087
Amount reclassified from accumulated other comprehensive income (loss)		(159)		(94)	1,513	1,260
Net current period other comprehensive income		1,986		2,848	1,513	6,347
Balance at June 30, 2017	$	(1,986)	$	(540)	(44,456)	(46,982)

			Change in
			valuation
			allowance for
			unrealized		Pension and	Total
	Unrealized		gains		postretirement	accumulated
	(gains) losses		(losses) on		benefits	other
	on investment		investment		unrealized	comprehensive
Six months ended June 30, 2016	securities		securities		gains (losses)	income (loss)
	(in thousands)
Balance at December 31, 2015	$	(3,729)		(3,240)	(54,536)	(61,505)
Other comprehensive income before reclassification		1,550		917	—	2,467
Amount reclassified from accumulated other comprehensive income (loss)		(319)		(188)	2,037	1,530
Net current period other comprehensive income		1,231		729	2,037	3,997
Balance at June 30, 2016	$	(2,498)	$	(2,511)	(52,499)	(57,508)

Summary of reclassifications from accumulated other comprehensive income (loss) and included in net income

		For the three months ended June 30, 2017
			Tax
			(expense)
	Pre-tax		benefit	Net of tax	Statement of income line item
	(in thousands)
Reclassifications included in net income:
Sponsored funds investment gains	$	106	(39)	67	Investment and other income (loss)
Valuation allowance		—	39	39	Provision for income taxes
Amortization of pension and postretirement benefits		(1,156)	429	(727)	Underwriting and distribution expense and Compensation and related costs
Total	$	(1,050)	429	(621)

	For the three months ended June 30, 2016
			Tax
			(expense)
	Pre-tax		benefit	Net of tax	Statement of income line item
	(in thousands)
Reclassifications included in net income:
Sponsored funds investment gains	$	589	(219)	370	Investment and other income (loss)
Valuation allowance		—	219	219	Provision for income taxes
Amortization of pension and postretirement benefits		(1,526)	566	(960)	Underwriting and distribution expense and Compensation and related costs
Total	$	(937)	566	(371)

		For the six months ended June 30, 2017
			Tax
			(expense)
	Pre-tax		benefit	Net of tax	Statement of income line item
	(in thousands)
Reclassifications included in net income:
Sponsored funds investment gains	$	253	(94)	159	Investment and other income (loss)
Valuation allowance		—	94	94	Provision for income taxes
Amortization of pension and postretirement benefits		(2,407)	894	(1,513)	Underwriting and distribution expense and Compensation and related costs
Total	$	(2,154)	894	(1,260)

	For the six months ended June 30, 2016
			Tax
			(expense)
	Pre-tax		benefit	Net of tax	Statement of income line item
	(in thousands)
Reclassifications included in net income:
Sponsored funds investment gains	$	508	(189)	319	Investment and other income (loss)
Valuation allowance		—	188	188	Provision for income taxes
Amortization of pension and postretirement benefits		(3,222)	1,185	(2,037)	Underwriting and distribution expense and Compensation and related costs
Total	$	(2,714)	1,184	(1,530)