Variable Interest Entities and Consolidation of Investment Vehicles (Tables)

12 Months Ended

Mar. 31, 2014

Noncontrolling Interest [Line Items]

Condensed Balance Sheet [Table Text Block]



	March 31, 2014									March 31, 2013
	Balance Before Consolidation of CIVs		CIVs		Eliminations			Consolidated Totals		Balance Before Consolidation of CIVs		CIVs		Eliminations			Consolidated Totals
Current assets	$	2,032,827	$	138,537	$	(42,981	)	$	2,128,383	$	1,908,932	$	73,320	$	(39,390	)	$	1,942,862
Non-current assets	4,950,948		32,018		—			4,982,966		5,115,181		211,617		—			5,326,798
Total assets	$	6,983,775	$	170,555	$	(42,981	)	$	7,111,349	$	7,024,113	$	284,937	$	(39,390	)	$	7,269,660
Current liabilities	$	735,737	$	89,055	$	(3,547	)	$	821,245	$	692,261	$	10,539	$	(334	)	$	702,466
Long-term debt of CIVs	—		—		—			—		—		207,835		—			207,835
Other non-current liabilities	1,520,236		—		—			1,520,236		1,517,069		2,930		—			1,519,999
Total liabilities	2,255,973		89,055		(3,547		)	2,341,481		2,209,330		221,304		(334		)	2,430,300
Redeemable non-controlling interests	3,172		26,325		15,647			45,144		1,355		—		19,654			21,009
Total stockholders’ equity	4,724,630		55,175		(55,081		)	4,724,724		4,813,428		63,633		(58,710		)	4,818,351
Total liabilities and equity	$	6,983,775	$	170,555	$	(42,981	)	$	7,111,349	$	7,024,113	$	284,937	$	(39,390	)	$	7,269,660

Condensed Income Statement [Table Text Block]

Consolidating Statements of Income (Loss)



	Year Ended
	March 31, 2014
	Balance Before Consolidation of CIVs			CIVs			Eliminations			As Reported
Total operating revenues	$	2,743,707		$	—		$	(1,950	)	$	2,741,757
Total operating expenses	2,310,444			2,376			(1,956		)	2,310,864
Operating income (loss)	433,263			(2,376		)	6			430,893
Total other non-operating income (expense)	(10,333		)	2,445			(3,364		)	(11,252		)
Income before income tax provision (benefit)	422,930			69			(3,358		)	419,641
Income tax provision (benefit)	137,805			—			—			137,805
Net income	285,125			69			(3,358		)	281,836
Less: Net income (loss) attributable to noncontrolling interests	341			—			(3,289		)	(2,948		)
Net income attributable to Legg Mason, Inc.	$	284,784		$	69		$	(69	)	$	284,784



	Year Ended
	March 31, 2013
	Balance Before Consolidation of CIVs			CIVs			Eliminations			As Reported
Total operating revenues	$	2,615,047		$	—		$	(2,397	)	$	2,612,650
Total operating expenses	3,046,587			2,965			(2,403		)	3,047,149
Operating income (loss)	(431,540		)	(2,965		)	6			(434,499		)
Total other non-operating income (expense)	(72,177		)	(2,864		)	(1,067		)	(76,108		)
Income (loss) before income tax provision (benefit)	(503,717		)	(5,829		)	(1,061		)	(510,607		)
Income tax provision (benefit)	(150,859		)	—			—			(150,859		)
Net income (loss)	(352,858		)	(5,829		)	(1,061		)	(359,748		)
Less: Net income (loss) attributable to noncontrolling interests	469			—			(6,890		)	(6,421		)
Net income (loss) attributable to Legg Mason, Inc.	$	(353,327	)	$	(5,829	)	$	5,829		$	(353,327	)



	Year Ended
	March 31, 2012
	Balance Before Consolidation of CIVs			CIVs			Eliminations			As Reported
Total operating revenues	$	2,665,668		$	—		$	(3,094	)	$	2,662,574
Total operating expenses	2,323,213			3,709			(3,101		)	2,323,821
Operating income (loss)	342,455			(3,709		)	7			338,753
Total other non-operating income (expense)	(49,236		)	18,336			(4,770		)	(35,670		)
Income (loss) before income tax provision (benefit)	293,219			14,627			(4,763		)	303,083
Income tax provision (benefit)	72,052			—			—			72,052
Net income (loss)	221,167			14,627			(4,763		)	231,031
Less: Net income (loss) attributable to noncontrolling interests	350			—			9,864			10,214
Net income (loss) attributable to Legg Mason, Inc.	$	220,817		$	14,627		$	(14,627	)	$	220,817

Consolidated Investment Vehicles [Member]

Noncontrolling Interest [Line Items]

Fair Value Measurements, Recurring and Nonrecurring [Table Text Block]



	Quoted prices in active markets (Level 1)		Significant other observable inputs (Level 2)			Significant unobservable inputs (Level 3)			Value as of March 31, 2014
Assets:
Trading investments:
Hedge funds	$	1,110	$	3,941		$	17,888		$	22,939
Proprietary Funds	27,524		—			—			$	27,524
Total trading investments	28,634		3,941			17,888			50,463
Investments:
Private equity funds	—		—			31,810			31,810
	$	28,634	$	3,941		$	49,698		$	82,273

Liabilities:
CLO debt	$	—	$	—		$	(79,179	)	$	(79,179	)
Derivative liabilities	—		(1,888		)	—			(1,888		)
	$	—	$	(1,888	)	$	(79,179	)	$	(81,067	)



	Quoted prices in active markets (Level 1)		Significant other observable inputs (Level 2)			Significant unobservable inputs (Level 3)			Value as of March 31, 2013
Assets:
Trading investments:
Hedge funds	$	2,076	$	3,268		$	19,448		$	24,792
Investments:
CLO loans	—		172,519			—			172,519
CLO bonds	—		11,052			—			11,052
Private equity funds	—		—			26,982			26,982
Total investments	—		183,571			26,982			210,553
	$	2,076	$	186,839		$	46,430		$	235,345

Liabilities:
CLO debt	$	—	$	—		$	(207,835	)	$	(207,835	)
Derivative liabilities	—		(2,930		)	—			(2,930		)
	$	—	$	(2,930	)	$	(207,835	)	$	(210,765	)

Fair Value Inputs, Liabilities, Quantitative Information [Table Text Block]



Value as of March 31, 2013			Valuation technique	Unobservable input	Range (weighted-average)
$	(207,835	)	Discounted cash flow	Discount rate	1.1	%	-	11.0	%	(2.3%)
				Default rate	3.0	%	-	4.0	%	(3.5%)
				Constant prepayment rate				25.0	%

Fair Value Assets and Liabilities Measured on Recurring Basis, Unobservable Input, Reconciliation [Table Text Block] [Table Text Block]



	Value as of March 31, 2013			Purchases		Sales			Settlements / Other		Transfers		Realized and unrealized gains/(losses), net			Value as of March 31, 2014
Assets:
Hedge funds	$	19,448		$	3,516	$	(8,037	)	$	—	$	—	$	2,961		$	17,888
Private equity funds	26,982			1,811		—			—		—		3,017			31,810
	$	46,430		$	5,327	$	(8,037	)	$	—	$	—	$	5,978		$	49,698
Liabilities:
CLO debt	$	(207,835	)	$	—	$	—		$	133,047	$	—	$	(4,391	)	$	(79,179	)
Total realized and unrealized gains (losses), net													$	1,587



	Value as of March 31, 2012			Purchases		Sales			Settlements / Other		Transfers		Realized and unrealized gains/(losses), net			Value as of March 31, 2013
Assets:
Hedge funds	$	24,116		$	1,980	$	(6,602	)	$	—	$	—	$	(46	)	$	19,448
Private equity funds	25,071			2,622		(2,030		)	—		—		1,319			26,982
	$	49,187		$	4,602	$	(8,632	)	$	—	$	—	$	1,273		$	46,430
Liabilities:
CLO debt	$	(271,707	)	$	—	$	—		$	75,798	$	—	$	(11,926	)	$	(207,835	)
Total realized and unrealized gains (losses), net													$	(10,653	)

Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Table Text Block]



		Fair Value Determined Using NAV						As of March 31, 2014
Category of Investment	Investment Strategy	March 31, 2014			March 31, 2013			Unfunded Commitments		Remaining Term
Hedge funds	Global macro, fixed income, long/short equity, systematic, emerging market, U.S. and European hedge	$	22,939	⁽¹⁾	$	24,792	⁽²⁾	n/a		n/a
Private equity funds	Long/short equity	31,810		⁽³⁾	26,982		⁽³⁾	$	2,707	4 years
Total		$	54,749		$	51,774		$	2,707

n/a – not applicable


(1)	10% daily redemption; 6% monthly redemption; 2% quarterly redemption; and 82% are subject to three to five year lock-up or side pocket provisions.


(2)	11% daily redemption; 8% monthly redemption; 2% quarterly redemption; and 79% are subject to three to five year lock-up or side pocket provisions.


(3)	Liquidations are expected over the remaining term.

Fair Value, Option, Quantitative Disclosures

The following table presents the fair value and unpaid principal balance of CLO loans, bonds and debt carried at fair value under the fair value option as of March 31, 2014 and March 31, 2013:



	March 31, 2014			March 31, 2013
CLO loans and bonds
Unpaid principal balance	$	—		$	186,839
Unpaid principal balance in excess of fair value	—			(3,268		)
Fair value	$	—		$	183,571

CLO debt
Principal amounts outstanding	$	92,114		$	225,161
Excess unpaid principal over fair value	(12,935		)	(17,326		)
Fair value	$	79,179		$	207,835

Legg Mason, Inc

Noncontrolling Interest [Line Items]

Schedule of Variable Interest Entities [Table Text Block]



	As of March 31, 2014				As of March 31, 2013
	Equity Interests on the Consolidated Balance Sheet ⁽¹⁾		Maximum Risk of Loss ⁽²⁾		Equity Interests on the Consolidated Balance Sheet ⁽¹⁾		Maximum Risk of Loss ⁽²⁾
CLOs	$	—	$	911	$	—	$	496
Real Estate Investment Trust	1,442		3,715		989		2,644
Other sponsored investment funds	34,126		78,521		43,104		87,121
Total	$	35,568	$	83,147	$	44,093	$	90,261


(1)	Includes $23,404 and $33,918 related to investments in proprietary funds products as of March 31, 2014 and 2013, respectively.


(2)	Includes equity investments the Company has made or is required to make and any earned but uncollected management fees.

- Definition

Tabular disclosure of financial instruments measured at fair value, including those classified in shareholders' equity measured on a recurring or nonrecurring basis. Disclosures include, but are not limited to, fair value measurements recorded and the reasons for the measurements, level within the fair value hierarchy in which the fair value measurements are categorized and transfers between levels 1 and 2. Nonrecurring fair value measurements are those that are required or permitted in the statement of financial position in particular circumstances.

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- Definition

Tabular disclosure of the fair value of investees that calculate net asset value per share (including by unit, membership interest, or other equity (ownership interest) unit measure) (alternative investments), whether measured at fair value on a recurring or nonrecurring basis, by major category of assets and liabilities (as defined), including, for example, (i) fair value measurements at the reporting date, (ii) the level within the fair value hierarchy in which the fair value measurements fall, (iii) a reconciliation of beginning and ending balances for those alternative investments that are measured at fair value using unobservable inputs (Level 3 - fair value hierarchy fair value measurement inputs), (iv) the inputs and valuation techniques used to measure fair value, (v) a discussion of changes to valuation techniques and inputs, if any, during the period, (vi) a description of the nature and risk associated with the alternative investments, and (vii) a discussion of the probability that any of the alternative investments are to be sold.

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- Definition

Tabular disclosure of the application of the fair value option for measurement and reporting of eligible financial assets and liabilities (as defined), as well as certain other eligible items (as defined) included in the statement of financial position, whether such option is elected for a single eligible item or a group of similar eligible items and is in addition to other disclosures concerning fair value which the company may be required to provide. Such disclosure might be expected to include: (1) for items included in the statement of financial position: (a) for each line item in the statement of financial position that includes an item or items for which the fair value option has been elected, provide the aggregate carrying amount of ineligible items included in each line item in the balance sheet, if any; (b) the difference between the aggregate fair value and the aggregate unpaid principal balance (assuming contractual principal amounts and fair value option elected) of: (i) loans and long-term receivables (other than securities otherwise reported at fair value) and (ii) long-term debt instruments; (c) for loans held as assets for which the fair value option has been elected: (i) the aggregate fair value of loans that are 90 days or more past due, (ii) if the policy is to recognize interest income separately from other changes in fair value, the aggregate fair value of loans in nonaccrual status, and (iii) the difference between the aggregate fair value and the aggregate unpaid principal balance for loans that are 90 days or more past due, in nonaccrual status, or both; (2) for items included in the income statement: (a) the amounts of gains and losses from fair value changes included in earnings and in which line in the income statement those gains and losses are reported whether or not combined with gains and losses from items required to be accounted for at fair value; (b) for loans and other receivables held as assets, the estimated amount of gains or losses included in earnings attributable to changes in instrument-specific credit risk; (c) for liabilities with fair values that have been significantly affected during the reporting period by changes in the instrument-specific credit risk, the estimated amount of gains and losses from fair value changes included in earnings that are attributable to changes in the instrument-specific credit risk; and (3) certain other disclosures as required or determined to be provided.

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- Definition

Tabular disclosure of the significant judgments and assumptions made in determining whether a variable interest (as defined) held by the entity requires the variable interest entity (VIE) (as defined) to be consolidated and (or) disclose information about its involvement with the VIE, individually or in aggregate (as applicable); the nature of restrictions, if any, on the consolidated VIE's assets and on the settlement of its liabilities reported by an entity in its statement of financial position, including the carrying amounts of such assets and liabilities; the nature of, and changes in, the risks associated with involvement in the VIE; how involvement with the VIE affects the entity's financial position, financial performance, and cash flows; the lack of recourse if creditors (or beneficial interest holders) of the consolidated VIE have no recourse to the general credit of the primary beneficiary (if applicable); the terms of arrangements, giving consideration to both explicit arrangements and implicit variable interests, if any, that could require the entity to provide financial support to the VIE, including events or circumstances that could expose the entity to a loss; the methodology used by the entity for determining whether or not it is the primary beneficiary of the variable interest entity; the significant factors considered and judgments made in determining that the power to direct the activities of a VIE that most significantly impact the VIE's economic performance are shared (as defined); the carrying amounts and classification of assets and liabilities of the VIE included in the statement of financial position; the entity's maximum exposure to loss, if any, as a result of its involvement with the VIE, including how the maximum exposure is determined and significant sources of the entity's exposure to the VIE; a comparison of the carrying amounts of the assets and liabilities and the entity's maximum exposure to loss; information about any liquidity arrangements, guarantees, and (or) other commitments by third parties that may affect the fair value or risk of the entity's variable interest in the VIE; whether or not the entity has provided financial support or other support (explicitly or implicitly) to the VIE that it was not previously contractually required to provide or whether the entity intends to provide that support, including the type and amount of the support and the primary reasons for providing the support; and supplemental information the entity determines necessary to provide.

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