The Company holds investments in fixed-maturity securities that are classified as available-for-sale. At September 30, 2022 and December 31, 2021, the cost or amortized cost, allowance for credit loss, gross unrealized gains and losses, and estimated fair value of the Company’s available-for-sale securities by security type were as follows:


	Cost or Amortized		Allowance for Credit		Gross Unrealized		Gross Unrealized			Estimated Fair
	Cost		Loss		Gain		Loss			Value
As of September 30, 2022
U.S. Treasury and U.S. government agencies	$	339,666	$	—	$	1	$	(9,814	)	$	329,853
Corporate bonds		29,642		—		—		(1,410	)		28,232
States, municipalities, and political subdivisions		1,762		—		—		(11	)		1,751
Exchange-traded debt		700		—		3		(2	)		701
Redeemable preferred stock		107		—		—		(5	)		102
Total	$	371,877	$	—	$	4	$	(11,242	)	$	360,639
As of December 31, 2021
U.S. Treasury and U.S. government agencies	$	17,046	$	—	$	64	$	(86	)	$	17,024
Corporate bonds		21,913		—		632		(53	)		22,492
States, municipalities, and political subdivisions		1,759		—		49		—			1,808
Exchange-traded debt		767		—		44		—			811
Redeemable preferred stock		468		—		—		(20	)		448
Total	$	41,953	$	—	$	789	$	(159	)	$	42,583

Expected maturities may differ from contractual maturities as borrowers may have the right to call or prepay obligations with or without penalties. The scheduled contractual maturities of fixed-maturity securities as of September 30, 2022 and December 31, 2021 are as follows:


	September 30, 2022				December 31, 2021
	Cost or		Estimated		Cost or		Estimated
	Amortized Cost		Fair Value		Amortized Cost		Fair Value
Available-for-sale
Due in one year or less	$	124,676	$	124,402	$	10,734	$	10,826
Due after one year through five years		242,499		232,166		19,222		19,820
Due after five years through ten years		4,208		3,577		11,503		11,403
Due after ten years		494		494		494		534
	$	371,877	$	360,639	$	41,953	$	42,583

Proceeds received, and the gross realized gains and losses from sales of available-for-sale fixed-maturity securities, for the three and nine months ended September 30, 2022 and 2021 were as follows:


			Gross Realized		Gross Realized
	Proceeds		Gains		Losses
Three months ended September 30, 2022	$	200	$	—	$	(5	)
Three months ended September 30, 2021	$	4,158	$	94	$	(6	)
Nine months ended September 30, 2022	$	11,694	$	13	$	(439	)
Nine months ended September 30, 2021	$	18,838	$	671	$	(6	)

Securities with gross unrealized loss positions at September 30, 2022 and December 31, 2021, aggregated by investment category and length of time the individual securities have been in a continuous loss position, are as follows:


	Less Than Twelve Months					Twelve Months or Longer					Total
	Gross			Estimated		Gross			Estimated		Gross			Estimated
	Unrealized			Fair		Unrealized			Fair		Unrealized			Fair
As of September 30, 2022	Loss			Value		Loss			Value		Loss			Value
U.S. Treasury and U.S. government agencies	$	(9,677	)	$	324,643	$	(137	)	$	2,233	$	(9,814	)	$	326,876
Corporate bonds		(1,164	)		26,947		(246	)		1,285		(1,410	)		28,232
States, municipalities, and political subdivisions		(11	)		1,751		—			—		(11	)		1,751
Exchange-traded debt		(2	)		517		—			—		(2	)		517
Redeemable preferred stock		(5	)		102		—			—		(5	)		102
Total available-for-sale securities	$	(10,859	)	$	353,960	$	(383	)	$	3,518	$	(11,242	)	$	357,478


	Less Than Twelve Months					Twelve Months or Longer					Total
	Gross			Estimated		Gross			Estimated		Gross			Estimated
	Unrealized			Fair		Unrealized			Fair		Unrealized			Fair
As of December 31, 2021	Loss			Value		Loss			Value		Loss			Value
U.S. Treasury and U.S. government agencies	$	(73	)	$	9,809	$	(13	)	$	616	$	(86	)	$	10,425
Corporate bonds		(53	)		4,452		—			—		(53	)		4,452
Redeemable preferred stock		(20	)		442		—			—		(20	)		442
Total available-for-sale securities	$	(146	)	$	14,703	$	(13	)	$	616	$	(159	)	$	15,319

At September 30, 2022 and December 31, 2021, there were 88 and 23 securities, respectively, in an unrealized loss position.

The Company regularly reviews its individual investment securities for credit impairment. The Company considers various factors in determining whether a credit loss exists for each individual security, including-

The Company holds investments in equity securities measured at fair values which are readily determinable. At September 30, 2022 and December 31, 2021, the cost, gross unrealized gains and losses, and estimated fair value of the Company’s equity securities were as follows:

The table below presents the portion of unrealized gains and losses in the Company’s consolidated statements of income related to equity securities still held.


	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2022			2021			2022			2021
Net (losses) gains recognized	$	(1,279	)	$	(916	)	$	(9,144	)	$	2,620
Exclude: Net realized (losses) gains recognized for securities sold		(932	)		953			(987	)		3,269
Net unrealized losses recognized	$	(347	)	$	(1,869	)	$	(8,157	)	$	(649	)

Proceeds received, and the gross realized gains and losses from sales of equity securities, for the three and nine months ended September 30, 2022 and 2021 were as follows:


			Gross Realized		Gross Realized
	Proceeds		Gains		Losses
Three months ended September 30, 2022	$	4,889	$	135	$	(1,067	)
Three months ended September 30, 2021	$	24,781	$	1,141	$	(188	)
Nine months ended September 30, 2022	$	29,316	$	1,988	$	(2,975	)
Nine months ended September 30, 2021	$	81,292	$	4,266	$	(997	)

The Company has interests in limited partnerships that are not registered or readily tradeable on a securities exchange. These partnerships are private equity funds managed by general partners who make decisions with regard to financial policies and operations. As such, the Company is not the primary beneficiary and does not consolidate these partnerships. The following table provides information related to the Company’s investments in limited partnerships:


	September 30, 2022						December 31, 2021
	Carrying		Unfunded				Carrying		Unfunded
Investment Strategy	Value		Balance		(%) (a)		Value		Balance		(%) (a)
Primarily in senior secured loans and, to a limited extent, in other debt and equity securities of private U.S. lower-middle-market companies. (b)(c)(e)	$	4,120	$	—		15.37	$	6,076	$	2,085		15.37
Value creation through active distressed debt investing primarily in bank loans, public and private corporate bonds, asset-backed securities, and equity securities received in connection with debt restructuring. (b)(d)(e)		3,312		—		1.67		3,423		—		1.69
High returns and long-term capital appreciation through investments in the power, utility and energy industries, and in the infrastructure sector. (b)(f)(g)		4,421		—		0.18		6,270		1,401		0.18
Value-oriented investments in less liquid and mispriced senior and junior debts of private equity-backed companies. (b)(h)(i)		3,757		—		0.57		4,437		—		0.57
Value-oriented investments in mature real estate private equity funds and portfolios globally. (b)(j)		7,103		3,633		1.32		5,977		4,537		1.36
Risk-adjusted returns on credit and equity investments, primarily in private equity-owned companies. (b)(k)		2,692		2,629		1.07		1,950		3,050		0.47
Total	$	25,405	$	6,262			$	28,133	$	11,073

(a)

Represents the Company’s percentage investment in the fund at each balance sheet date.

(b)

Except under certain circumstances, withdrawals from the funds or any assignments are not permitted. Distributions, except income from late admission of a new limited partner, will be received when underlying investments of the funds are liquidated.

(c)

The term is expected to be the later of ten years or two years following the maturity of the fund’s outstanding leverage. Although the capital commitment period has expired, follow-on investments and pending commitments may require additional fundings.

(d)

The term has been extended for a second additional one-year period to June 30, 2023. Although the capital commitment period has ended, the general partner could still request an additional funding under certain circumstances.

(e)

At the fund manager’s discretion, the term of the fund may be extended for up to two additional one-year periods.

(f)

Expected to have a ten-year term. The capital commitment period has expired but the general partner may request additional funding for follow-on investment.

(g)

With the consent of a supermajority of partners, the term of the fund may be extended for up to three additional one-year periods.

(h)

Expected to have an eight-year term from the commencement date, which can be extended for up to two additional one-year periods with the consent of either the advisory committee or a majority of limited partners.

(i)

The capital commitment period has ended but an additional funding may be requested.

(j)

The term is expected to end November 27, 2027. The term may be extended for up to four additional one-year periods at the general partner’s discretion, and up to two additional one-year periods with the consent of the advisory committee.

(k)

Expected to have an eight-year term after the final admission date. The term may be extended for an additional one-year period at the general partner’s discretion, and up to two additional one-year periods with the consent of either the advisory committee or a majority of limited partners.

The following is the summary of aggregated unaudited financial information of limited partnerships included in the investment strategy table above, which in certain cases is presented on a three-month lag due to the unavailability of information at the Company’s respective balance sheet dates. The financial statements of these limited partnerships are audited annually.


	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2022			2021			2022			2021
Operating results:
Total income	$	208,468		$	(13,796	)	$	724,413		$	359,885
Total expenses		(45,537	)		(24,828	)		(117,877	)		(105,548	)
Net income (loss)	$	162,931		$	(38,624	)	$	606,536		$	254,337


	September 30,		December 31,
	2022		2021
Balance sheet:
Total assets	$	5,488,857	$	5,855,616
Total liabilities	$	409,604	$	564,732

For the three and nine months ended September 30, 2022, the Company recognized net investment income of $1,265 and $3,064, respectively. During the three and nine months ended September 30, 2022, the Company received total cash distributions of $2,768 and $7,149, respectively, including returns on investment of $371 and $2,417, respectively.

For the three and nine months ended September 30, 2021, the Company recognized net investment income of $1,132 and $3,491, respectively. During the three and nine months ended September 30, 2021, the Company

received total cash distributions of $1,535 and $5,980, respectively, including returns on investment of $553 and $2,345, respectively.

At September 30, 2022 and December 31, 2021, the Company’s net cumulative contributed capital to the partnerships at each respective balance sheet date totaled $24,996 and $28,371, respectively, and the Company’s maximum exposure to loss aggregated $25,405 and $28,133, respectively.

Melbourne FMA, LLC, a wholly owned subsidiary, currently has an equity investment in FMKT Mel JV, a Florida limited liability company treated as a joint venture under U.S. GAAP. At September 30, 2022 and December 31, 2021, the Company’s maximum exposure to loss relating to the variable interest entity was $18 and $363, respectively, representing the carrying value of the investment. In June 2022, the joint venture sold its last outparcel and recognized a gain of $572. During the three and nine months ended September 30, 2022, the Company received a cash distribution of $840, including return on investment of $489. During the three and nine months ended September 30, 2021, the Company received a cash distribution of $737, including return on investment of $114. At September 30, 2022 and December 31, 2021, there was no undistributed income from this equity method investment. The following tables provide FMJV’s summarized unaudited financial results and the unaudited financial positions:


	Three Months Ended					Nine Months Ended
	September 30,					September 30,
	2022		2021			2022			2021
Operating results:
Total revenues	$	—	$	540		$	572		$	540
Total expenses		—		(14	)		(22	)		(70	)
Net income	$	—	$	526		$	550		$	470
The Company’s share of net income*	$	—	$	473		$	495		$	423

* Included in net investment income in the Company’s consolidated statements of income.


	September 30,		December 31,
	2022		2021
Balance sheet:
Property and equipment, net	$	—	$	357
Cash		2		29
Other		18		18
Total assets	$	20	$	404

Members’ capital	$	20	$	404
Total members’ capital	$	20	$	404
Investment in unconsolidated joint venture, at equity**	$	18	$	363

** Includes the 90% share of FMKT Mel JV’s operating results.

Real estate investments consist of the following as of September 30, 2022 and December 31, 2021:


	September 30,			December 31,
	2022			2021
Land	$	38,327		$	39,720
Land improvements		12,138			11,917
Buildings and building improvements		29,410			29,405
Tenant and leasehold improvements		1,554			1,511
Other		1,462			1,265
Total, at cost		82,891			83,818
Less: accumulated depreciation and amortization		(11,391	)		(9,922	)
Real estate investments	$	71,500		$	73,896

In May 2022, the Company sold one outparcel in Sorrento, Florida for net proceeds of $667. On July 1, 2022, the Company closed on its agreement to sell 1.5 acres of land in Tampa, Florida for net proceeds of $14,500 to the Florida Department of Transportation (“FDOT”) in connection with an eminent domain proceeding for a planned road improvement project. See additional information under f) Net Investment Income (Loss) below. Depreciation and amortization expense related to real estate investments was $480 and $475 for the three months ended September 30, 2022 and 2021, respectively, and $1,469 and $1,445 for the nine months ended September 30, 2022 and 2021, respectively.

Net investment income (loss), by source, is summarized as follows:


	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2022			2021			2022			2021
Available-for-sale fixed-maturity securities	$	2,125		$	266		$	3,710		$	1,091
Equity securities		288			322			875			1,013
Investment expense		(117	)		(134	)		(367	)		(388	)
Limited partnership investments		1,265			1,132			3,064			3,491
Real estate investments		13,897			305			15,782			3,646
Net income from unconsolidated joint venture		—			473			495			423
Cash and cash equivalents		1,072			156			1,523			473
Net investment income	$	18,530		$	2,520		$	25,082		$	9,749

For the three months ended September 30, 2022, income from real estate investments included a net realized gain of $13,402 resulting from the sale of 1.5 acres of land in Tampa, Florida in July 2022 for net proceeds of $14,500 to the FDOT in connection with an eminent domain proceeding for a planned road improvement project. For the nine months ended September 30, 2022, in addition to the aforementioned sale of land, income from real estate investments included a net gain of $376 resulting from the sale of the outparcel described in e) Real Estate Investments and $451 of income from selling the liquor license previously owned by the Company’s restaurant business which was discontinued in 2020. For the nine months ended September 30, 2021, income from real estate investments included a net gain of $2,790 resulting from a legal settlement with The Kroger Co. in a lawsuit filed by a real estate subsidiary of the Company to enforce a guaranty of a commercial lease.

From time to time, the Company may invest in financial assets other than stocks, mutual funds and bonds. For the three months ended September 30, 2022 and 2021, net realized gains related to other investments were $53 and $191, respectively, and $209 and $1,018 for the nine months ended September 30, 2022 and 2021, respectively.