Fair Value Measurements (Tables)

3 Months Ended

Mar. 31, 2026

Fair Value Disclosure, Measurement of Contingent Consideration Using Monte-Carlo Simulation Model

The following tables summarize inputs used in the measurement of contingent consideration (dollars in thousands):


		Quantitative Information About Level 3 Fair Value Measurements
March 31, 2026		Type	Valuation Techniques	Unobservable Inputs	Range
$	113,760	Contingent Consideration	Monte-Carlo Simulation Model	Forecasted Growth Rates	1.6	%	-	17.5	%
				Discount Rate	11.0	%	-	14.3	%
				Equivalency Rate(1)	4.6	%	-	4.6	%
20,517		Contingent Consideration	Contractually Determined(2)	Actual Performance(2)	n/m(2)		-	n/m(2)
$	134,277

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(1)Equivalency rate is defined as the prevailing market interest rate used to discount future payments.

(2)As of March 31, 2026 the fair value of certain contingent consideration obligations are based on actual results as determined by and calculated in accordance with the underlying contractual terms and therefore a range is not meaningful. Prior to the resolution of the uncertainty, these obligations were measured using either a Monte-Carlo Simulation model or a Probability Weighted Expected Return method.


		Quantitative Information About Level 3 Fair Value Measurements
December 31, 2025		Type	Valuation Techniques	Unobservable Inputs	Range
$	115,464	Contingent Consideration	Monte-Carlo Simulation Model	Forecasted Growth Rates	1.3	%	-	26.0	%
				Discount Rate	12.0	%	-	17.9	%
				Equivalency Rate(1)	4.7	%	-	5.9	%
8,574		Contingent Consideration	Probability Weighted Expected Return Method	Equivalency Rate(1)	5.3	%	-	5.3	%
				Conversion Rate	—	%	-	100.0	%
$	124,038

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(1)Equivalency rate is defined as the prevailing market interest rate used to discount future payments.

Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation

The following table summarizes the changes in fair value for the Company’s Level 3 liabilities during the periods presented (in thousands):


	Three Months Ended March 31,
	2026		2025
Balance - Beginning of period	$	124,038	$	196,898
Additions and purchase accounting adjustments	16,755		129
Payments	(14,039)		(42,249)
Fair value adjustments	7,523		6,594
Balance - End of period	$	134,277	$	161,372

Financial assets and financial liabilities measured at fair value on a recurring basis

The following table summarizes the Company’s financial assets and financial liabilities measured at fair value on a recurring basis (in thousands):


March 31, 2026	Level 1		Level 2		Level 3		Total
Assets
Cash equivalents	$	104,892	$	—	$	—	$	104,892
Cash equivalents segregated under federal or other regulations	796,515		—		—		796,515
Restricted cash	127,227		—		—		127,227
Investment securities — trading:
Mutual funds	42,417		—		—		42,417
U.S. treasury obligations	39,683		—		—		39,683

Equity securities	2,157		—		—		2,157
Debt securities	—		605		—		605

Total investment securities — trading	84,257		605		—		84,862
Other assets:
Deferred compensation plan	1,086,120		—		—		1,086,120
Fractional shares — investment(1)	370,121		—		—		370,121
Other investments	—		1,810		—		1,810
Total other assets:	1,456,241		1,810		—		1,458,051
Total assets at fair value	$	2,569,132	$	2,415	$	—	$	2,571,547
Liabilities
Other liabilities:
Securities sold, but not yet purchased:
Equity securities	$	94	$	—	$	—	$	94


Total securities sold, but not yet purchased	94		—		—		94
Fractional shares — repurchase obligation(1)	370,121		—		—		370,121
Contingent consideration	—		—		134,277		134,277
Total other liabilities	370,215		—		134,277		504,492
Total liabilities at fair value	$	370,215	$	—	$	134,277	$	504,492

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(1)Investment in and related repurchase obligation for fractional shares resulting from the Company’s dividend reinvestment program (“DRIP”).

The following table summarizes the Company’s financial assets and financial liabilities measured at fair value on a recurring basis (in thousands):


December 31, 2025	Level 1		Level 2		Level 3		Total
Assets
Cash equivalents	$	104,377	$	—	$	—	$	104,377
Cash equivalents segregated under federal or other regulations	821,334		—		—		821,334
Restricted cash	127,585		—		—		127,585
Investment securities — trading:
U.S. treasury obligations	40,029		—		—		40,029
Mutual funds	33,559		—		—		33,559

Equity securities	2,505		—		—		2,505
Debt securities	—		15		—		15
Total investment securities — trading	76,093		15		—		76,108
Other assets:
Deferred compensation plan	1,097,514		—		—		1,097,514
Fractional shares — investment(1)	371,683		—		—		371,683
Other investments	—		2,423		—		2,423
Total other assets	1,469,197		2,423		—		1,471,620
Total assets at fair value	$	2,598,586	$	2,438	$	—	$	2,601,024
Liabilities
Other liabilities:
Securities sold, but not yet purchased:
Equity securities	$	174	$	—	$	—	$	174

Total securities sold, but not yet purchased	174		—		—		174
Fractional shares — repurchase obligation(1)	371,683		—		—		371,683
Contingent consideration	—		—		124,038		124,038
Total other liabilities	371,857		—		124,038		495,895
Total liabilities at fair value	$	371,857	$	—	$	124,038	$	495,895

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(1)Investment in and related repurchase obligation for fractional shares resulting from the Company’s DRIP.

Fair Value Disclosure of Asset and Liability Not Measured at Fair Value

The following tables summarize the carrying values, fair values and fair value hierarchy level classification of financial instruments that are not measured at fair value (in thousands):


March 31, 2026	Carrying Value		Level 1		Level 2		Level 3		Total Fair Value
Assets
Cash	$	919,567	$	919,567	$	—	$	—	$	919,567
Cash segregated under federal or other regulations	859,208		859,208		—		—		859,208
Restricted cash	98,538		98,538		—		—		98,538
Receivables from clients, net	866,500		—		866,500		—		866,500
Receivables from brokers, dealers and clearing organizations	100,003		—		100,003		—		100,003
Advisor repayable loans, net(1)	387,545		—		—		328,975		328,975
Other receivables, net	1,359,790		—		1,359,790		—		1,359,790
Investment securities — held-to-maturity securities	15,460		—		15,477		—		15,477
Other assets:
Securities borrowed	853		—		853		—		853
Deferred compensation plan(2)	11,838		11,838		—		—		11,838
Other investments(3)	7,632		—		7,632		—		7,632
Total other assets	20,323		11,838		8,485		—		20,323
Liabilities
Client payables	$	2,116,992	$	—	$	2,116,992	$	—	$	2,116,992
Payables to brokers, dealers and clearing organizations	307,677		—		307,677		—		307,677
Corporate debt and other borrowings, net	7,182,102		—		7,226,449		—		7,226,449


December 31, 2025	Carrying Value		Level 1		Level 2		Level 3		Total Fair Value
Assets
Cash	$	933,001	$	933,001	$	—	$	—	$	933,001
Cash segregated under federal or other regulations	970,730		970,730		—		—		970,730
Restricted cash	97,713		97,713		—		—		97,713
Receivables from clients, net	803,206		—		803,206		—		803,206
Receivables from brokers, dealers and clearing organizations	70,897		—		70,897		—		70,897
Advisor repayable loans, net(1)	406,793		—		—		335,050		335,050
Other receivables, net	1,203,539		—		1,203,539		—		1,203,539
Investment securities - held-to-maturity securities	15,420		—		15,520		—		15,520
Other assets:
Deferred compensation plan(2)	10,038		10,038		—		—		10,038
Securities borrowed	1,789		—		1,789		—		1,789
Other investments(3)	7,874		—		7,874		—		7,874
Total other assets	19,701		10,038		9,663		—		19,701
Liabilities
Client payables	$	2,308,275	$	—	$	2,308,275	$	—	$	2,308,275
Payables to brokers, dealers and clearing organizations	150,520		—		150,520		—		150,520
Corporate debt and other borrowings, net	7,258,694		—		7,420,447		—		7,420,447

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(1)Includes repayable loans and forgivable loans which have converted to repayable upon advisor termination or change in agreed upon terms.

(2)Includes cash balances awaiting investment or distribution to plan participants.

(3)Other investments include Depository Trust Company common shares and Federal Reserve stock.