Financial Instruments Owned And Financial Instruments Sold, But Not Yet Purchased

12 Months Ended

Dec. 31, 2018

Investments Debt And Equity Securities [Abstract]

Financial Instruments Owned And Financial Instruments Sold, But Not Yet Purchased

NOTE 6 – Financial Instruments Owned and Financial Instruments Sold, But Not Yet Purchased

The components of financial instruments owned and financial instruments sold, but not yet purchased, at December 31, 2018 and 2017, are as follows (in thousands):

	December 31,
	2018		2017
Financial instruments owned:
U.S. government securities	$	42,121	$	13,466
U.S. government agency securities		72,532		147,223
Mortgage-backed securities:
Agency		564,111		302,445
Non-agency		25,727		29,356
Asset-backed securities		25,905		76,752
Corporate securities:
Fixed income securities		310,457		325,471
Equity securities		57,911		46,802
Sovereign debt		14,063		32,470
State and municipal securities		154,622		169,699
	$	1,267,449	$	1,143,684
Financial instruments sold, but not yet purchased:
U.S. government securities	$	534,817	$	442,402
U.S. government agency securities		32,755		10,348
Mortgage-backed securities:
Agency		123,456		86,612
Corporate securities:
Fixed income securities		208,725		180,755
Equity securities		36,117		38,510
Sovereign debt		11,429		20,236
State and municipal securities		7		—
	$	947,306	$	778,863

At December 31, 2018 and 2017, financial instruments owned in the amount of $669.0 million and $810.3 million, respectively, were pledged as collateral (on a settlement-date basis) for our repurchase agreements and short-term borrowings. Our financial instruments owned are presented on a trade-date basis in the consolidated statements of financial condition.

Financial instruments sold, but not yet purchased, represent obligations of our company to deliver the specified security at the contracted price, thereby creating a liability to purchase the security in the market at prevailing prices in future periods. We are obligated to acquire the securities sold short at prevailing market prices in future periods, which may exceed the amount reflected in the consolidated statements of financial condition.