v3.26.1
VARIABLE INTEREST ENTITIES
3 Months Ended
Mar. 31, 2026
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
VARIABLE INTEREST ENTITIES .    VARIABLE INTEREST ENTITIES
The Company consolidates certain VIEs for which it is the primary beneficiary either directly or indirectly, through another consolidated entity. VIEs include certain credit focused entities within the Oaktree platform, whereby the purpose of such VIEs is to provide a vehicle that allocates our share of its performance-based fees between the Company and BN, as well as certain consolidated funds where BAM is the primary beneficiary. The fundamental risks of these consolidated VIEs, mainly include loss of invested capital and performance-based fees. The Company does not provide performance guarantees and has no other financial obligation to provide funding to consolidated VIEs. The assets of consolidated VIEs may only be used to settle obligations of these entities. In addition, there is no recourse to the Company for the consolidated VIEs’ liabilities. As of March 31, 2026, the Company had unfunded commitments of $500 million to the consolidated funds.
AS OF MARCH 31, AND DECEMBER 31,
(MILLIONS)
20262025
Cash and cash equivalents$ $— 
Cash of consolidated funds51 — 
Investments410 411 
Investments of consolidated funds2,387 505 
Other assets — 
Total Assets$2,848 $916 
Due to affiliates of consolidated funds$63 $— 
Borrowings of consolidated funds451 462 
Deferred income tax liabilities41 — 
Other liabilities — 
Total Liabilities$555 $462 
The Company holds variable interests in certain VIEs which are not consolidated as it has been determined that the Company is not the primary beneficiary. VIEs that are not consolidated predominately include investment funds sponsored by or managed by the Company. The Company's investment strategies differ by investment fund; however, the fundamental risks have similar characteristics, including loss of invested capital and loss of management and performance income. The Company's maximum exposure to loss as a result of its investments in the unconsolidated investment funds is the carrying value of such investments, including the Company's capital interest and any unrealized carried interest. For the three months ended March 31, 2026 and 2025, the Company did not provide any financial and other support to unconsolidated VIEs other than its obligated commitments.
The assets and liabilities recognized in the Company's condensed consolidated balance sheets related to its maximum exposure to loss of those VIEs of which the Company is determined not to be the primary beneficiary, the non-consolidated VIEs, are as follows:
AS OF MARCH 31, AND DECEMBER 31,
(MILLIONS)
20262025
Investments$1,027 $1,130 
Due from affiliates3 
VIE related assets1,030 1,134 
Maximum exposure to loss$1,030 $1,134