5. RECEIVABLES FROM AND PAYABLES TO BROKERS, DEALERS, AND CLEARING AGENCIES

Amounts receivable from brokers, dealers, and clearing agencies consisted of the following.



RECEIVABLES FROM BROKERS, DEALERS, AND CLEARING AGENCIES
(Dollars in Thousands)

	September 30, 2017		December 31, 2016
Deposits with clearing agencies	$	750	$	750
Unsettled regular way trades, net		14,520		3,337
Receivables from clearing agencies		93,600		77,091
Receivables from brokers, dealers, and clearing agencies	$	108,870	$	81,178

Amounts payable to brokers, dealers, and clearing agencies consisted of the following.



PAYABLES TO BROKERS, DEALERS, AND CLEARING AGENCIES
(Dollars in Thousands)

	September 30, 2017		December 31, 2016
Margin payable	$	32,602	$	85,761
Payables to brokers, dealers, and clearing agencies	$	32,602	$	85,761

Deposits with clearing agencies represent contractual amounts the Company is required to deposit with its clearing agents.

Securities transactions that settle in the regular way are recorded on the trade date, as if they had settled. The related amounts receivable and payable for unsettled securities transactions are recorded net in receivables from or payables to brokers, dealers, and clearing agencies on the Company’s consolidated balance sheet.

Receivables from clearing agencies are primarily comprised of cash received by the Company upon execution of short trades that is restricted from withdrawal by the clearing agency.

Margin payable represents amounts borrowed from Pershing, LLC to finance the Company’s trading portfolio. Effectively, all of the Company’s investments-trading, deposits with clearing agencies, and receivables from clearing agencies serve as collateral for the margin payable. These assets are held by the Company’s clearing agency, Pershing, LLC. The Company incurred interest on margin payable of $517 and $450 for the nine months ended September 30, 2017 and 2016, respectively, and $161 and $171 for the three months ended September 30, 2017 and 2016, respectively. Interest incurred on margin payable is included as a component of net trading in the consolidate statement of operations.