Financial Instruments with Off-Balance Sheet Risk

6 Months Ended

Jun. 30, 2024

Financial Instruments with Off-Balance Sheet Risk [Abstract]

Financial Instruments with Off-Balance Sheet Risk

17. Financial Instruments with Off-Balance Sheet Risk

The Company enters into various transactions to meet the needs of customers, conduct trading activities, and manage market risks and is, therefore, subject to varying degrees of market and credit risk. Refer to the below as well as Note 20 – Financial Instruments with Off-Balance Sheet Risk in the Company’s 2023 Form 10-K for further information.

As of June 30, 2024, the Company had margin loans extended to its customers of approximately $373.6 million, of which $74.9 million is within the line item “Receivables from customers” on the statements of financial condition. As of December 31, 2023, the Company had margin loans extended to its customers of approximately $338.1 million, of which $72.8 million is in the line item “Receivables from customers” on the statements of financial condition. There were no material losses for unsettled customer transactions for the three and six months ended June 30, 2024 and 2023.

The following table presents information about the Company’s securities borrowing and lending activity depicting the potential effect of rights of setoff between these recognized assets and liabilities.

	As of June 30, 2024
	Gross Amounts of Recognized Assets and Liabilities		Gross Amounts Offset in the Consolidated Statements of Financial Condition1		Net Amounts Presented in the Consolidated Statements of Financial Condition		Collateral Received or Pledged2		Net Amount3
Assets
Securities borrowed	$	253,781,000		—	$	253,781,000	$	242,713,000	$	11,068,000
Liabilities
Securities loaned	$	272,515,000		—	$	272,515,000	$	260,842,000	$	11,673,000
		As of December 31, 2023
		Gross Amounts of Recognized Assets and Liabilities		Gross Amounts Offset in the Consolidated Statements of Financial Condition1		Net Amounts Presented in the Consolidated Statements of Financial Condition		Collateral Received or Pledged2		Net Amount3
Assets
Securities borrowed	$	394,709,000		—	$	394,709,000	$	371,076,000	$	23,633,000
Liabilities
Securities loaned	$	419,433,000		—	$	419,433,000	$	404,312,000	$	15,121,000

1)	Amounts represent recognized assets and liabilities that are subject to enforceable master agreements with rights of setoff.
2)	Represents the fair value of collateral the Company had received or pledged under enforceable master agreements.
3)	Represents the amount for which, in the case of net recognized assets, the Company had not received collateral, and in the case of net recognized liabilities, the Company had not pledged collateral.