v3.25.1
INVESTMENTS AND FAIR VALUE DISCLOSURES (Tables)
 3 Months Ended
Mar. 31, 2025
Fair Value Disclosures [Abstract]  
Schedule of Components of the Company's Investments
The following table presents the components of the Company’s investments:
(dollars in thousands)March 31,
2025		December 31,
2024
Preferred equity investment, at fair value$268,263 $267,169 
Equity investments in the Company’s products, at fair value
73,276 96,956 
Equity investments in the Company’s products, equity method62,252 63,465 
Loans and deferred purchase price receivable, at amortized cost (includes $48,586 and $48,094 of investments in the Company’s products, respectively)
54,643 54,186 
Investments in the Company’s CLOs, at fair value7,702 5,169 
Total$466,136 $486,945 
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis
The tables below summarizes the Company’s assets and liabilities measured at fair value on a recurring basis as of March 31, 2025 and December 31, 2024:
March 31, 2025
(dollars in thousands)Level ILevel IILevel IIITotal
Investments, at Fair Value
Preferred equity investment$— $— $268,263 $268,263 
Equity investments in the Company’s products— 73,276 — 73,276 
CLOs— — 7,702 7,702 
Total Assets, at Fair Value$— $73,276 $275,965 $349,241 
Liabilities, at Fair Value
TRA liability$— $— $97,228 $97,228 
Earnout liability— 526 305,680 306,206 
Total Liabilities, at Fair Value$— $526 $402,908 $403,434 
December 31, 2024
(dollars in thousands)Level ILevel IILevel IIITotal
Investments, at Fair Value
Preferred equity investment$— $— $267,169 $267,169 
Equity investments in the Company’s products— 96,956 — 96,956 
CLOs— — 5,169 5,169 
Total Assets, at Fair Value$— $96,956 $272,338 $369,294 
Liabilities, at Fair Value
TRA liability$— $— $108,257 $108,257 
Earnout liability— 529 167,912 168,441 
Total Liabilities, at Fair Value$— $529 $276,169 $276,698 
Schedule of Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation The following table sets forth a summary of changes in the fair value of the Level III measurements for the three months ended March 31, 2025 and 2024:
Three Months Ended March 31, 2025Level III Assets
(dollars in thousands)Preferred EquityCLOsTotal
Beginning balance$267,169 $5,169 $272,338 
Purchases(1)
8,081 3,986 12,067 
Net losses(6,987)(1,453)(8,440)
Ending Balance$268,263 $7,702 $275,965 
Change in net unrealized losses on assets still recognized at the reporting date$(6,987)$(1,453)$(8,440)
(1)Preferred equity purchases includes $8.1 million of cumulative unpaid cash preferential dividends that compound quarterly and are payable when declared.
Three Months Ended March 31, 2024Level III Assets
(dollars in thousands)CLOsTotal
Beginning balance$2,521 $2,521 
Net losses(144)(144)
Ending Balance$2,377 $2,377 
Change in net unrealized losses on assets still recognized at the reporting date$(144)$(144)
    
Three Months Ended March 31, 2025Level III Liabilities
(dollars in thousands)TRA LiabilityEarnout LiabilityTotal
Beginning balance$108,257 $167,912 $276,169 
Issuances— 140,083 140,083 
Settlements(14,556)— (14,556)
Net (gains) losses3,527 (2,315)1,212 
Ending Balance$97,228 $305,680 $402,908 
Change in net unrealized (gains) losses on liabilities still recognized at the reporting date$3,527 $(2,315)$1,212 
Three Months Ended March 31, 2024Level III Liabilities
(dollars in thousands)TRA LiabilityWarrant LiabilityEarnout LiabilityTotal
Beginning balance$116,398 $22,600 $92,119 $231,117 
Settlements(8,551)— (82,875)(91,426)
Net (gains) losses(536)14,700 402 14,566 
Ending Balance$107,311 $37,300 $9,646 $154,257 
Change in net unrealized (gains) losses on liabilities still recognized at the reporting date$(536)$14,700 $402 $14,566 
Schedule of Fair Value Measurement Inputs and Valuation Techniques
The following table summarizes the quantitative inputs and assumptions used for the Company’s Level III measurements as of March 31, 2025:
(dollars in thousands)Fair ValueValuation TechniqueSignificant Unobservable InputsRangeWeighted AverageImpact to Valuation from an Increase in Input
Assets
Preferred equity$268,263 Discounted cash flowDiscount Rate13 %-13%13 %Decrease
CLOs 7,702 Discounted cash flowYield10 %-15%11 %Decrease
Total Assets, at Fair Value$275,965 
Liabilities
TRA liability$97,228 Discounted cash flowDiscount Rate13 %-13%13 %Decrease
Earnout liability:
180,364 Monte Carlo SimulationVolatility21 %-37%24 %Increase
125,316 Discounted cash flowDiscount Rate0 %-6%0 %Decrease
305,680 
Total Liabilities, at Fair Value$402,908 
The following table summarizes the quantitative inputs and assumptions used for the Company’s Level III measurements as of December 31, 2024:
(dollars in thousands)Fair ValueValuation TechniqueSignificant Unobservable InputsRangeWeighted AverageImpact to Valuation from an Increase in Input
Assets
Preferred equity$267,169 Discounted cash flowDiscount Rate13 %-13%13 %Decrease
CLOs 5,169 Discounted cash flowYield10 %-16%12 %Decrease
Total Assets, at Fair Value$272,338 
Liabilities
TRA liability$108,257 Discounted cash flowDiscount Rate13 %-13%13 %Decrease
Earnout liability:
163,001 Monte Carlo SimulationVolatility20 %-37%29 %Increase
4,911 Discounted cash flowDiscount Rate6 %-6%6 %Decrease
167,912 
Total Liabilities, at Fair Value$276,169