Goodwill and Intangible Assets

12 Months Ended

Dec. 31, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets

Goodwill and Intangible Assets

The Company has two operating segments: (i) Market Making; and (ii) Execution Services; and one non-operating segment: Corporate. As of December 31, 2022 and December 31, 2021, the Company’s total amount of goodwill recorded was $1,148.9 million. No goodwill impairment was recognized during the years ended December 31, 2022 and 2021.

The following table presents the details of goodwill by segment as of December 31, 2022 and December 31, 2021:

(in thousands)	Market Making		Execution Services		Corporate		Total
Balance as of period-end	$	755,292	$	393,634	$	—	$	1,148,926

As of December 31, 2022 and December 31, 2021, the Company's total amount of intangible assets recorded was $321.5 million and $386.3 million, respectively. Acquired intangible assets consisted of the following as of December 31, 2022 and December 31, 2021:

	As of December 31, 2022
(in thousands)	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Useful Lives (Years)
Customer relationships	$	486,600	$	(189,986)	$	296,614	10	to	12
Technology	136,000		(118,119)		17,881		1	to	6
Favorable occupancy leases	5,895		(4,408)		1,487		3	to	15
Exchange memberships	3,998		—		3,998		Indefinite
Trade name	3,600		(3,600)		—			3
ETF issuer relationships	950		(950)		—			9
ETF buyer relationships	950		(950)		—			9
Other	$	1,500	$	—	$	1,500	Indefinite
	$	639,493	$	(318,013)	$	321,480

	As of December 31, 2021
(in thousands)	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Useful Lives (Years)
Customer relationships	$	486,600	$	(142,142)	$	344,458	10	to	12
Technology	136,000		(102,088)		33,912		1	to	6
Favorable occupancy leases	5,895		(3,631)		2,264		3	to	15
Exchange memberships	3,998		—		3,998		Indefinite
Trade name	3,600		(3,400)		200			3
ETF issuer relationships	950		(950)		—			9
ETF buyer relationships	950		(950)		—			9
Other	$	1,500	$	—	$	1,500	Indefinite
	$	639,493	$	(253,161)	$	386,332

Amortization expense relating to finite-lived intangible assets was approximately $64.8 million, $69.7 million and $74.3 million for the years ended December 31, 2022, 2021, and 2020, respectively. This is included in Amortization of purchased intangibles and acquired capitalized software in the accompanying Consolidated Statements of Comprehensive Income.

The Company expects to record amortization expense as follows over the next five subsequent years:

(in thousands)
2023	63,960
2024	50,845
2025	47,879
2026	47,879
2027	47,879