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

3 Months Ended

Mar. 31, 2019

Investments Debt And Equity Securities [Abstract]

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

NOTE 5 – 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 March 31, 2019 and December 31, 2018 are as follows (in thousands):

	March 31, 2019		December 31, 2018
Financial instruments owned:
U.S. government securities	$	27,326	$	42,121
U.S. government agency securities		117,701		72,532
Mortgage-backed securities:
Agency		514,718		564,111
Non-agency		8,159		25,727
Asset-backed securities		56,514		25,905
Corporate securities:
Fixed income securities		336,317		310,457
Equity securities		54,779		57,911
Sovereign debt		2,351		14,063
State and municipal securities		179,626		154,622
	$	1,297,491	$	1,267,449
Financial instruments sold, but not yet purchased:
U.S. government securities	$	548,357	$	534,817
U.S. government agency securities		49		32,755
Mortgage-backed securities:
Agency		180,287		123,456
Corporate securities:
Fixed income securities		195,642		208,725
Equity securities		53,182		36,117
Sovereign debt		1,599		11,429
State and municipal securities		—		7
	$	979,116	$	947,306

At March 31, 2019 and December 31, 2018, financial instruments owned in the amount of $860.3 million and $669.0 million, respectively, were pledged as collateral 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.