v3.25.2
Equity Method Investments and Other
 12 Months Ended
Dec. 31, 2024
Equity Method Investments and Joint Ventures [Abstract]  
Equity Method Investments and Other Equity Method Investments and Other
The following table sets forth the carrying value and ownership percentage of the Company’s equity method investments as of December 31, 2024 and 2023:
($ in thousands)December 31, 2024December 31, 2023
Carrying ValueOwnership %Carrying ValueOwnership %
Arena Special Opportunities Fund, LP units$34,936 15.3 %$41,046 16.2 %
JVM Funds LLC units17,229 10.1 %20,061 10.1 %
RISCOM5,013 20.0 %4,121 20.0 %
Hudson Ventures Fund 2 LP units4,967 2.5 %4,669 2.5 %
Arena SOP LP units1,474 10.9 %2,463 12.3 %
Brewer Lane Ventures Fund II LP units1,040 2.4 %560 2.5 %
Dowling Capital Partners LP units666 5.0 %1,708 6.2 %
$65,325 $74,628 
The following table sets forth the components of net investment income (loss) from equity method investments for the years ended December 31, 2024, 2023 and 2022:
($ in thousands)202420232022
Arena Special Opportunities Fund, LP units$2,375 $(2,880)$3,719 
RISCOM1,492 884 1,471 
Dowling Capital Partners LP units1,463 927 502 
Universa Black Swan LP units— (988)(3,028)
Brewer Lane Ventures Fund II LP(110)(78)— 
Hudson Ventures Fund II LP units(153)170 379 
Arena SOP LP units(989)(6,271)3,042 
JVM Funds LLC(1,554)(1,198)(70)
$2,524 $(9,434)$6,015 
The following table sets forth the unfunded commitment of equity method investments as of December 31, 2024 and 2023:
($ in thousands)December 31, 2024December 31, 2023
Brewer Lane Ventures Fund II LP units$4,077 $4,610 
Hudson Ventures Fund 2 LP units397 848 
Dowling Capital Partners LP units386 386 
$4,860 $5,844 
The difference between the cost of an investment and its proportionate share of the underlying equity in net assets is allocated to the various assets and liabilities of the equity method investment. The Company amortizes the difference in net assets over the same useful life of a similar asset as the underlying equity method investment. For investment in RISCOM, a similar asset would be agent relationships. The Company amortizes this difference over a 15-year useful life.
The following table sets forth the Company’s recorded investment in RISCOM compared to its share of underlying equity as of December 31, 2024 and 2023:
($ in thousands)December 31, 2024December 31, 2023
Investment in RISCOM:
Underlying equity$3,756 $2,620 
Difference1,258 1,501 
Recorded investment balance$5,013 $4,121 
The following table sets forth the Company’s recorded investment in JVM Funds LLC compared to its share of underlying equity as of December 31, 2024 and 2023:
($ in thousands)December 31, 2024December 31, 2023
Investment in JVM Funds LLC:
Underlying equity$16,624 $19,304 
Difference605 757 
Recorded investment balance$17,229 $20,061 
Investment in Indirect Loans and Loan Collateral
As of December 31, 2024 and 2023, the Company held indirect investments in collateralized loans and loan collateral through SMA1 and SMA2.
The carrying value of the SMA1 and SMA2 as of December 31, 2024 and 2023 were as follows:
($ in thousands)December 31, 2024December 31, 2023
SMA1$20,296 $30,816 
SMA212,973 5,209 
Investment in indirect loans and loan collateral$33,269 $36,025