Fair Value Measurements (Tables)

12 Months Ended

Oct. 31, 2012

Fair Value Measurements Disclosure Table [Abstract]

Summary of the assets and liabilites measured at fair value on a recurring basis and their assigned levels within the hierarchy.

October 31, 2012
(in thousands)		Level 1		Level 2		Level 3			Other Assets Not Held at Fair Value		Total

Financial assets:
Cash equivalents	$	16,390	$	139,469	$	-		$	-	$	155,859
Investments:
Investment securities, trading – debt		4,512		66,293			-		-		70,805
Investment securities, trading – equity		87,991		31,457			-		-		119,448
Investment securities, available-for-sale		26,736		4,412		-			-		31,148
Investment in non-consolidated CLO
entity⁽¹⁾		-		-		-			350		350
Investments in equity method investees⁽²⁾		-		-		-			257,652		257,652
Investments, other⁽³⁾		-		60		-			7,470		7,530
Derivative instruments		-		2,229		-			-		2,229
Assets of consolidated CLO entity:
Cash equivalents		34,561		-		-			-		34,561
Bank loans and other investments		98		428,282		2,203			-		430,583
Total financial assets	$	170,288	$	672,202	$	2,203		$	265,472	$	1,110,165

Financial liabilities:
Derivative instruments	$	-	$	788	$	-		$	-	$	788
Securities sold, not yet purchased		-		26,142		-			-		26,142
Liabilities of consolidated CLO entity:
Senior and subordinated note obligations		-		2,659		443,946			-		446,605
Total financial liabilities	$	-	$	29,589	$	443,946		$	-	$	473,535

October 31, 2011
(in thousands)			Level 1		Level 2		Level 3			Other Assets Not Held at Fair Value		Total

Financial assets:
Cash equivalents		$	6,691	$	360,676	$	-		$	-	$	367,367
Investments:
Investment securities, trading – debt			11,308		73,914			-		-		85,222
Investment securities, trading – equity			102,790		5,197			-		-		107,987
Investment securities, available-for-sale			36,128		3,713		-			-		39,841
Investment in non-consolidated CLO
entity⁽¹⁾			-		-		-			278		278
Investments in equity method investees⁽²⁾			-		-		-			46,900		46,900
Investments, other⁽³⁾			-		37		-			7,470		7,507
Derivative instruments			-		1,060		-			-		1,060
Assets of consolidated CLO entity:
Cash equivalents			15,829		-		-			-		15,829
Bank loans and other investments			85		456,591		5,910			-		462,586
Total financial assets		$	172,831	$	901,188	$	5,910		$	54,648	$	1,134,577

Financial liabilities:
Derivative instruments		$	-	$	6,654	$	-		$	-	$	6,654
Securities sold, not yet purchased			-		6,270		-			-		6,270
Liabilities of consolidated CLO entity:
Senior and subordinated note obligations			-		-		477,699			-		477,699
Total financial liabilities		$	-	$	12,924	$	477,699		$	-	$	490,623

⁽¹⁾	The Company’s investment in this CLO entity is measured at fair value on a non-recurring basis using Level 3 inputs.
	The investment is carried at amortized cost unless facts and circumstances indicate that the investment has been
	impaired, at which time the investment is written down to fair value. There was no re-measurement of this asset during
	the years ended October 31, 2012 or 2011.
⁽²⁾	Investments in equity method investees are not measured at fair value in accordance with GAAP.
⁽³⁾	Investments, other, include investments carried at cost which are not measured at fair value in accordance with GAAP.

Summary of fair value transfers between level 1 and level 2

(in thousands)		2012
Transfers from Level 1 into Level 2⁽¹⁾		$	9,237
Transfers from Level 2 into Level 1			-

⁽¹⁾	Transfers from Level 1 into Level 2 primarily represent debt and equity securities that were valued based on prices
	of similar securities because unadjusted quoted market prices were not available in the current period.

Summary of the changes in Level 3 assets and liabilities measured at fair value on a recurring basis

				2012				2011
(in thousands)				Bank loans and other investments of consolidated CLO entity		Senior and subordinated note obligations of consolidated CLO entity		Bank loans and other investments of consolidated CLO entity		Senior and subordinated note obligations of consolidated CLO entity

Beginning balance			$	5,910	$	477,699	$	-	$	-
Adjustment for adoption of new
	consolidation guidance			-		-		5,265		444,087
Net gains (losses) on investments and
	note obligations included in net
	income⁽¹⁾			(333)		(2,480)		1,314		33,612
Payment-in-kind				5		-		0		-
Principal paydown				0		(28,614)		0		-
Purchases, sales and settlements, net				0		0		(1,353)		-
Transfers into Level 3⁽²⁾				437		-		-		-
Transfers out of Level 3⁽³⁾				(3,816)		(2,659)		-		-
Net transfers in and/or out of Level 3				-		-		684		-
Ending balance			$	2,203	$	443,946	$	5,910	$	477,699
Change in unrealized (losses) gains
	included in net income relating to
	assets and liabilities held		$	(333)	$	(2,480)	$	1,314	$	33,612



(1)		Substantially all net gains and losses on investments and note obligations attributable to the assets and borrowings of the Company's
		consolidated CLO entity are allocated to non-controlling and other beneficial interests on the Company's Consolidated Statements of Income.
(2)		Transfers into Level 3 were the result of a reduction in the availability of significant observable inputs used in determining the fair value of
		the securities including a second lien bank loan defaulted during the period. Fair value for these securities was determined utilizing a
		discounted cash flow analysis. In addition the transfers were the result of equity securities for which only one non-binding quote was utilized.
(3)		Transfers out of Level 3 into Level 2 were due to an increase in the observability of the inputs used in determining the fair value of certain
		instruments attributable to an increase in the number of price quotes received.

Summary of quantitative information about Level 3 fair value measurements

			Fair Value at	Valuation	Unobservable
	($ in thousands)		October 31, 2012	Technique	Inputs⁽¹⁾	Range

	Liabilities of consolidated CLO entity:
					Prepayment rate	30 percent
					Recovery rate	70 percent
	Senior and subordinated				Default rate	200 bps
	note obligations	$	443,946	Income approach	Discount rate	135-700 bps

⁽¹⁾	Discount rate refers to spread over LIBOR. Lower spreads relate to the more senior tranches in the CLO note structure;
	higher spreads relate to the less senior tranches. The default rate refers to the constant annual default rate. Prepayment rate
	is the rate at which the underlying collateral is expected to repay principal. Recovery rate is the expected recovery of defaulted
	amounts received through asset sale or recovery through bankruptcy restructuring or other settlement processes.