Realized and unrealized gains and losses arising from freestanding derivatives were recorded in the condensed consolidated statements of operations as follows:


	Three months ended March 31,
		2025		2024

Investment income (loss)		$	—	$	6,067
General and administrative expense (1)		—		(5,757)
Total gain (loss)		$	—	$	310

(1) To the extent that the Company’s freestanding derivatives are utilized to hedge its foreign-currency exposure to investment income earned from consolidated funds, the related hedged items are eliminated in consolidation, with the derivative impact (a positive number reflects a reduction in expenses) reflected in consolidated general and administrative expense.

Certain consolidated funds utilize derivatives in their ongoing investment operations. These derivatives primarily consist of foreign-currency forward contracts and options utilized to manage currency risk, interest-rate swaps to hedge interest-rate risk, options and futures used to hedge certain exposures for specific securities, and total-return swaps utilized mainly to obtain exposure to leveraged loans or to participate in foreign markets not readily accessible. The primary risk exposure for options and futures is price, while the primary risk exposure for total-return swaps is credit. None of the derivative instruments are accounted for as a hedging instrument utilizing hedge accounting.

The fair value of derivatives held by the consolidated funds consisted of the following:


	Assets				Liabilities
	Notional		Fair Value		Notional		Fair Value
As of March 31, 2025
Foreign-currency forward contracts	$	780,526	$	3,723	$	(161,599)	$	(20,129)
Total-return and interest-rate and credit default swaps	218,038		18,043		—		—
Options and futures	—		—		(28,803)		(6,161)


Total	$	998,564	$	21,766	$	(190,402)	$	(26,290)

As of December 31, 2024
Foreign-currency forward contracts	$	797,475	$	17,578	$	(81,625)	$	(8,513)
Total-return and interest-rate and credit default swaps	15,207		15,771		(203,533)		(19)
Options and futures	—		—		(13,435)		(4,853)

Total	$	812,682	$	33,349	$	(298,593)	$	(13,385)

The impact of derivatives held by the consolidated funds in the condensed consolidated statements of operations was as follows:


	Three months ended March 31,
	2025				2024
	Net Realized Gain (Loss) on Investments		Net Change in Unrealized Appreciation (Depreciation) on Investments		Net Realized Gain (Loss) on Investments		Net Change in Unrealized Appreciation (Depreciation) on Investments

Foreign-currency forward contracts	$	5,455	$	(25,471)	$	(351)	$	5,735
Total-return and interest-rate and credit default swaps	(627)		716		—		633
Options and futures	1,239		(1,880)		(206)		(388)
Commodity swaps	—		—		4,493		(1,581)

Total	$	6,067	$	(26,635)	$	3,936	$	4,399

Balance Sheet Offsetting

The Company recognizes all derivatives as assets or liabilities at fair value in its condensed consolidated statements of financial condition. In connection with its derivative activities, the Company generally enters into agreements subject to enforceable master netting arrangements that allow the Company to offset derivative assets and liabilities in the same currency by specific derivative type or, in the event of default by the counterparty, to offset derivative assets and liabilities with the same counterparty. While these derivatives are eligible to be offset in accordance with applicable accounting guidance, the Company has elected to present derivative assets and liabilities based on gross fair value in its condensed consolidated statements of financial condition. The table below sets forth the setoff rights and related arrangements associated with derivatives held by the Company. The “gross amounts not offset in statements of financial condition” columns represent derivatives that management has elected not to offset in the condensed consolidated statements of financial condition even though they are eligible to be offset in accordance with applicable accounting guidance.


	Gross Amounts of Assets (Liabilities) Presented		Gross Amounts Not Offset in Statements of Financial Condition				Net Amount
As of March 31, 2025			Derivative Assets (Liabilities)		Cash Collateral Received (Pledged)
Derivative Assets:



Derivative assets of consolidated funds:
Foreign-currency forward contracts	3,723		—		—		3,723
Total-return and interest-rate and credit default swaps	18,043		—		—		18,043
Options and futures	—		—		—		—

Total	$	21,766	$	—	$	—	$	21,766

Derivative Liabilities:

Derivative liabilities of consolidated funds:
Foreign-currency forward contracts	(20,129)		—		—		(20,129)
Total-return and interest-rate and credit default swaps	—		—		—		—
Options and futures	(6,161)		—		—		(6,161)


Total	$	(26,290)	$	—	$	—	$	(26,290)


	Gross Amounts of Assets (Liabilities) Presented		Gross Amounts Not Offset in Statements of Financial Condition				Net Amount
As of December 31, 2024			Derivative Assets (Liabilities)		Cash Collateral Received (Pledged)
Derivative Assets:



Derivative assets of consolidated funds:
Foreign-currency forward contracts	$	17,578	$	—	$	—	$	17,578
Total-return and interest-rate and credit default swaps	15,771		—		—		15,771
Options and futures	—		—		—		—

Total	$	33,349	$	—	$	—	$	33,349

Derivative Liabilities:

Derivative liabilities of consolidated funds:
Foreign-currency forward contracts	$	(8,513)	$	—	$	—	$	(8,513)
Total-return and interest-rate and credit default swaps	(19)		—		—		(19)
Options and futures	(4,853)		—		—		(4,853)


Total	$	(13,385)	$	—	$	—	$	(13,385)